Document And Entity Information
Document And Entity Information - USD ($) | 12 Months Ended | ||
Dec. 31, 2015 | Mar. 22, 2016 | Jun. 30, 2015 | |
Entity Registrant Name | Applied Minerals, Inc. | ||
Entity Central Index Key | 8,328 | ||
Trading Symbol | amnl | ||
Current Fiscal Year End Date | --12-31 | ||
Entity Filer Category | Non-accelerated Filer | ||
Entity Current Reporting Status | Yes | ||
Entity Voluntary Filers | No | ||
Entity Well-known Seasoned Issuer | No | ||
Entity Common Stock, Shares Outstanding (in shares) | 97,236,250 | ||
Entity Public Float | $ 56,036,168 | ||
Document Type | POS AM | ||
Document Period End Date | Dec. 31, 2015 | ||
Document Fiscal Year Focus | 2,015 | ||
Document Fiscal Period Focus | FY | ||
Amendment Flag | false |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) | Dec. 31, 2015 | Dec. 31, 2014 |
PIK Note Derivative Liability [Member] | ||
Long-Term Liabilities | ||
PIK Note derivative | $ 5,138,857 | $ 10,035,625 |
Cash and cash equivalents | 1,803,131 | 10,701,666 |
Accounts receivable | 176,205 | 112,831 |
Deposits and prepaid expenses | 322,922 | 289,644 |
Other current receivables | 94,647 | 0 |
Total Current Assets | 2,396,905 | 11,104,141 |
Property and Equipment, net | 5,206,825 | 7,055,874 |
Deferred Financing Costs | 21,250 | 28,750 |
Deposits | 269,202 | 268,937 |
Assets Held for Sale | 445,180 | 0 |
Total Other Assets | 735,632 | 297,687 |
TOTAL ASSETS | 8,339,362 | 18,457,702 |
Accounts payable and accrued liabilities | 1,623,152 | 2,608,364 |
Current portion of notes payable | 210,429 | 246,894 |
Total Current Liabilities | 1,833,581 | 2,855,258 |
Long-term portion of notes payable | 33,688 | 59,145 |
PIK Notes payable, net of $17,572,885 and $18,400,297 debt discount, respectively | 17,072,886 | 13,024,439 |
Total Long-Term Liabilities | 22,245,431 | 23,119,209 |
Total Liabilities | $ 24,079,012 | $ 25,974,467 |
Commitments and Contingencies (Note 14) | ||
Stockholders’ (Deficit) | ||
Preferred stock, $0.001 par value, 10,000,000 shares authorized, none issued and outstanding | ||
Common stock, $0.001 par value, 200,000,000 shares authorized, 97,144,736 and 95,054,552 shares issued and outstanding at December 31, 2015 and 2014, respectively | $ 97,145 | $ 95,055 |
Additional paid-in capital | 66,106,631 | 64,526,469 |
Accumulated deficit prior to the exploration stage | (20,009,496) | (20,009,496) |
Accumulated deficit during the exploration stage | (61,933,930) | (52,128,793) |
Total Stockholders’ (Deficit) | (15,739,650) | (7,516,765) |
TOTAL LIABILITIES AND STOCKHOLDERS’ (DEFICIT) | $ 8,339,362 | $ 18,457,702 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parentheticals) - USD ($) | Dec. 31, 2015 | Dec. 31, 2014 |
Debt Discount | $ 17,572,885 | $ 18,400,297 |
Preferred stock, par value (in dollars per share) | $ 0.001 | $ 0.001 |
Preferred stock, shares authorized (in shares) | 10,000,000 | 10,000,000 |
Preferred stock, shares issued (in shares) | 0 | 0 |
Preferred stock, shares outstanding (in shares) | 0 | 0 |
Common stock, par value (in dollars per share) | $ 0.001 | $ 0.001 |
Common stock, shares authorized (in shares) | 200,000,000 | 200,000,000 |
Common stock, shares issued (in shares) | 97,144,736 | 95,054,552 |
Common stock, shares outstanding (in shares) | 97,144,736 | 95,054,552 |
Consolidated Statements of Oper
Consolidated Statements of Operations - USD ($) | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Warrant Derivative Liability [Member] | |||
OTHER INCOME (EXPENSE): | |||
Gain on revaluation of warrant derivative | $ 0 | $ 830,000 | $ 995,000 |
PIK Note Derivative Liability [Member] | |||
OTHER INCOME (EXPENSE): | |||
Gain on revaluation of warrant derivative | 5,328,515 | 1,470,798 | (195,000) |
REVENUES | 507,474 | 234,221 | 54,825 |
Production costs | 9,204 | 49,464 | 17,244 |
Exploration costs | 4,245,478 | 4,626,139 | 4,551,666 |
General and administrative | 4,857,015 | 5,195,830 | 8,569,413 |
Depreciation expense | 1,312,585 | 1,164,366 | 317,570 |
Loss from disposition of equipment | 0 | 0 | 2,482 |
Total Operating Expenses | 10,424,282 | 11,035,799 | 13,458,375 |
Operating Loss | (9,916,808) | (10,801,578) | (13,403,550) |
Interest expense, net, including amortization of deferred financing cost and debt discount | (4,567,952) | (1,667,285) | (497,187) |
Gain on revaluation of warrant derivative | 830,000 | 995,000 | |
Gain on revaluation of stock awards | 0 | 110,000 | 44,000 |
Other expense | (648,892) | (258,252) | (6,789) |
Total Other Income | 111,671 | 485,261 | 340,024 |
Net loss | $ (9,805,137) | $ (10,316,317) | $ (13,063,526) |
Net Loss Per Share (Basic and Diluted) (in dollars per share) | $ (0.10) | $ (0.11) | $ (0.14) |
Weighted Average Shares Outstanding (Basic and Diluted) (in shares) | 96,033,553 | 94,895,194 | 94,303,264 |
Consolidated Statement of Stock
Consolidated Statement of Stockholders' Equity (Deficit) - USD ($) | Common Stock [Member] | Additional Paid-in Capital [Member] | Accumulated Deficit Prior to Exploration Stage [Member] | Accumulated Deficit During Exploration Stage [Member] | Total |
Balance (in shares) at Dec. 31, 2012 | 90,619,444 | ||||
Balance at Dec. 31, 2012 | $ 90,619 | $ 52,634,064 | $ (20,009,496) | $ (28,748,950) | $ 3,966,237 |
Stock Issued During Period, Shares, Issued for Services | 269,812 | ||||
Stock Issued During Period, Value, Issued for Services | $ 270 | 316,205 | 316,475 | ||
Shares issued for cash (in shares) | 3,756,757 | ||||
Shares issued for cash | $ 3,757 | 5,556,243 | 5,560,000 | ||
Stock-based compensation expense | 4,707,381 | 4,707,381 | |||
Net Income (Loss) Attributable to Parent | (13,063,526) | (13,063,526) | |||
Balance (in shares) at Dec. 31, 2013 | 94,646,013 | ||||
Balance at Dec. 31, 2013 | $ 94,646 | 63,213,893 | (20,009,496) | (41,812,476) | 1,486,567 |
Shares issued for directors fees and other services (in shares) | 269,812 | ||||
Shares issued for directors fees and other services | $ 270 | 316,205 | 316,475 | ||
Stock-based compensation expense | 4,707,381 | 4,707,381 | |||
Net Loss | (13,063,526) | (13,063,526) | |||
Stock Issued During Period, Shares, Issued for Services | 408,539 | ||||
Stock Issued During Period, Value, Issued for Services | $ 409 | 326,860 | 327,269 | ||
Stock-based compensation expense | 865,716 | 865,716 | |||
Net Income (Loss) Attributable to Parent | (10,316,317) | (10,316,317) | |||
Balance (in shares) at Dec. 31, 2014 | 95,054,552 | ||||
Balance at Dec. 31, 2014 | $ 95,055 | 64,526,469 | (20,009,496) | (52,128,793) | (7,516,765) |
Shares issued for directors fees and other services (in shares) | 408,539 | ||||
Shares issued for directors fees and other services | $ 409 | 326,860 | 327,269 | ||
Warrant Cancellation | 120,000 | 120,000 | |||
Stock-based compensation expense | 865,716 | 865,716 | |||
Net Loss | (10,316,317) | (10,316,317) | |||
Stock Issued During Period, Shares, Issued for Services | 1,045,788 | ||||
Stock Issued During Period, Value, Issued for Services | $ 1,046 | 378,890 | 379,936 | ||
Stock-based compensation expense | 397,417 | 397,417 | |||
Net Income (Loss) Attributable to Parent | (9,805,137) | (9,805,137) | |||
Balance (in shares) at Dec. 31, 2015 | 97,144,736 | ||||
Balance at Dec. 31, 2015 | $ 97,145 | 66,106,631 | $ (20,009,496) | (61,933,930) | (15,739,650) |
Shares issued for directors fees and other services (in shares) | 1,045,788 | ||||
Shares issued for directors fees and other services | $ 1,046 | 378,890 | 379,936 | ||
Stock-based compensation expense | 397,417 | 397,417 | |||
Net Loss | $ (9,805,137) | (9,805,137) | |||
Shares issued for employee bonus (in shares) | 29,310 | ||||
Shares issued for employee bonus | $ 29 | 63,859 | 63,888 | ||
Shares issued for liquidated damages (in shares) | 1,015,086 | ||||
Shares issued for liquidated damages | $ 1,015 | $ 739,996 | $ 741,011 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Cash Flows From Operating Activities: | |||
Net Income (Loss) Attributable to Parent | $ (9,805,137) | $ (10,316,317) | $ (13,063,526) |
Adjustments to reconcile net loss to net cash used in operations: | |||
Depreciation | 1,312,585 | 1,164,366 | 317,570 |
Amortization of discount – PIK Notes | 1,259,159 | 218,031 | $ 41,583 |
Amortization of deferred financing costs | 7,500 | 1,250 | |
Paid-in-Kind Interest | 3,221,035 | 1,076,250 | |
Stock issued for director and consulting services | 379,936 | 327,269 | $ 316,475 |
Stock-based compensation expense | 397,417 | 865,716 | 4,707,381 |
Stock issued for liquidated damages | 741,011 | ||
Stock issued for employee compensation | $ 63,888 | ||
(Gain) on revaluation of warrant derivative | (830,000) | (995,000) | |
(Gain) Loss on revaluation of PIK Notes | $ (5,328,515) | (1,470,798) | 195,000 |
(Gain) on revaluation of stock awards for non-employees | $ (110,000) | (44,000) | |
Loss of disposal of equipment | 2,482 | ||
Reversal of doubtful accounts | (25,106) | ||
Change in operating assets and liabilities: | |||
Accounts receivable | $ (63,374) | $ (107,075) | $ 27,128 |
Other receivables | (94,646) | ||
Deposits and prepaid expenses | (33,543) | $ 149,239 | $ 189,656 |
Accounts payable and accrued expenses | (642,873) | 1,028,218 | 125,256 |
Net Cash (Used In) Operating Activities | (8,585,557) | (8,003,851) | (8,205,101) |
Cash Flows From Investing Activities: | |||
Purchases of property and equipment | $ (251,055) | $ (2,039,562) | (64,345) |
Construction-in-progress | (1,982,013) | ||
Net Cash (Used In) Investing Activities | $ (251,055) | $ (2,039,562) | (2,046,358) |
Cash Flows From Financing Activities: | |||
Payments on notes payable | $ (61,923) | (440,471) | (479,092) |
Proceeds from Convertible Debt | $ 12,499,998 | 10,500,000 | |
Proceeds from Issuance of Common Stock | 5,560,000 | ||
Net Cash (Used In) Provided By Financing Activities | $ (61,923) | $ 12,059,527 | 15,580,908 |
Net (decrease) increase in cash and cash equivalents | (8,898,535) | 2,016,114 | 5,329,449 |
Cash and cash equivalents at beginning of year | 10,701,666 | 8,685,552 | 3,356,103 |
Cash And Cash Equivalents At End Of Year | 1,803,131 | 10,701,666 | 8,685,552 |
Cash paid during the period for: | |||
Interest | 12,839 | 10,460 | 23,180 |
Income Taxes | $ 13,017 | 1,431 | $ 3,841 |
Supplemental disclosure of noncash investing and financing activities: | |||
Property and equipment financed with note payable | 149,129 | ||
Construction-in-progress in accounts payable | 120,000 | $ 299,563 | |
Prepaid insurance financed with note payable | $ 233,940 | 245,390 | $ 233,187 |
Reclassification of Construction in Progress to building and equipment | $ 3,091,163 |
Note 1 - Organization and Descr
Note 1 - Organization and Description of Business | 12 Months Ended |
Dec. 31, 2015 | |
Notes to Financial Statements | |
Organization, Consolidation and Presentation of Financial Statements Disclosure [Text Block] | NOTE 1 – ORGANIZATION AND DESCRIPTION OF BUSINESS Applied Minerals, Inc. (the “Company”) is the owner of the Dragon Mine located in the Tintic Mining District of the State of Utah from where it produces halloysite clay and iron oxide. The Company is currently in various phases of commercial scale trials with several organizations in various markets with respects to uses of halloysite clay and iron oxide. Applied Minerals, Inc. is a publicly traded company incorporated in the state of Delaware. The common stock trades on the OTC Bulletin Board under the symbol AMNL. |
Note 2 - Liquidity and Basis of
Note 2 - Liquidity and Basis of Presentation | 12 Months Ended |
Dec. 31, 2015 | |
Notes to Financial Statements | |
Liquidity [Text Block] | NOTE 2 - LIQUIDITY AND BASIS OF PRESENTATION The accompanying consolidated financial statements have been prepared on a going concern basis. The Company has incurred recurring losses from operations and used cash in operating activities while in the process of developing and commercializing halloysite clay and iron oxide. For the year ended December 31, 2015, the Company’s net loss was $9,805,137 and cash used in operating activities was $8,585,557. At December 31, 2015, the Company has working capital of $563,324, which may not be sufficient to fund its operations for the next twelve months after giving consideration to management’s plans and the transactions discussed below. In addition, the Company last obtained financing in November 2014 of $12,500,000 through the private placements of convertible notes; however, the Company cannot provide any assurance that it will be able to raise additional capital if needed. Collectively these factors raise substantial doubt regarding the Company’s ability to continue as going concern. On November 2, 2015 , the Company announced that it entered into a 5-year take-or-pay supply agreement. An initial purchase order of $5 million worth of AMIRON products was received and was to be delivered over the course of 18 months with deliveries commencing on December 1, 2015. On November 2, 2015, the Company announced that it had begun the implementation of a number of cost-saving initiatives to strengthen its operational model and enhance its liquidity position as it executes the next steps of its strategy to penetrate the application markets for both its DRAGONITE halloysite clay and AMIRON iron oxide products. The savings realized from these initiatives are anticipated to be derived from efficiencies realized from all aspects of the business, both corporate and operational, putting the Company in a stronger position to execute on its current business and pipeline of opportunities. The Company anticipates that these cost savings actions are expected to reduce the fixed component of annual expenses from $9.0 million to under $6.0 million. On December 15, 2015, the Company, through an auction held in Coeur D’Alene, Idaho, offered for sale four non-core real estate totaling approximately 1,017 acres located throughout the Silver Valley region of Idaho. In January, 2016, three of the four properties sold for total gross proceeds of $172,948. Net proceeds received by the Company were $155,187. On March 23, 2016, the Company entered into an agreement to sell the fourth property for gross proceeds of $418,000. Net proceeds to the Company are expected to be $380,000, adjusted for a 10% buyers premium paid to the auction firm, J.P. King. Based on the Company’s current cash usage expectations for 2016, it believes it will have sufficient liquidity to fund its operations for at least the next 12 months only if (i) it successfully accelerates the fulfillment of the aforementioned take-or-pay agreement to December 2016; (ii) implements its cost-cutting initiatives; and (iii) during 2016, closes the sale of its Mullan, Idaho property. However, the Company can provide no assurances that these initiatives will succeed. These financial statements do not include any adjustments to the recoverability and classification of recorded asset amounts and classification of liabilities that might be necessary should the Company not be able to continue as a going concern. |
Note 3 - Summary of Significant
Note 3 - Summary of Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2015 | |
Notes to Financial Statements | |
Significant Accounting Policies [Text Block] | NOTE 3 – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Exploration-Stage Company From 1997 through 2008, the Company’s sole source of revenue and income was derived from its contract mining business through which it provided shaft sinking, underground mine development and mine labor services. At December 31, 2008, the Company discontinued its contract mining efforts due to economic conditions and the desire to concentrate its efforts on the commercialization of the halloysite clay deposit at the Dragon Mine. Effective January 1, 2009, the Company was, and still is, classified as an exploration company as the existence of proven or probable reserves have not been demonstrated and no significant revenue has been earned from the mine. Under the SEC’s Industry Guide 7, a mining company is considered an exploration stage company until it has declared mineral reserves determined in accordance with the guide and staff interpretations thereof. Principles of Consolidation The accompanying consolidated financial statements include the accounts of Applied Minerals, Inc. and its inactive subsidiary, which holds 100 acres of timber and mineral property in northern Idaho. Use of Estimates The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America (“GAAP”) requires management to make estimates and assumptions that affect reported amounts of assets and liabilities, disclosure of contingent assets and liabilities at the date of the financial statements and reported amounts of revenues and expenses during the reporting period. In these consolidated financial statements, the warrant and PIK note derivative liabilities, stock compensation, impairment of long-lived assets and valuation allowance on income taxes involve extensive reliance on management’s estimates. Actual results could differ from those estimates. Cash and Cash Equivalents Cash and cash equivalents include all highly liquid investments with a maturity of three months or less. The Company minimizes its credit risk by investing its cash and cash equivalents, which sometimes exceeds FDIC limits, with major financial institutions located in the United States with a high credit rating. Receivables Trade receivables are reported at outstanding principal amounts, net of an allowance for doubtful accounts. Management evaluates the collectability of receivable account balances to determine the allowance, if any. Management considers the other party’s credit risk and financial condition, as well as current and projected economic and market conditions, in determining the amount of the allowance. Receivable balances are written off when management determines that the balance is uncollectable. No allowance was required at December 31, 2015 and 2014. Property and Equipment Property and equipment are carried at cost net of accumulated depreciation and amortization. Depreciation and amortization is computed on the straight-line method over the estimated useful lives of the assets, or the life of the lease, whichever is shorter, as follows: Estimated Useful Life (years) Building and Building Improvements 5 – 40 Mining equipment 2 – 7 Office and shop furniture and equipment 3 – 7 Vehicles 5 Depreciation expense for the years ended December 31, 2015, 2014 and, 2013 totaled $1,312,585, $1,164,366, and $317,570, respectively. Impairment of Long-lived Assets The Company periodically reviews the carrying amounts of long-lived assets to determine whether current events or circumstances warrant adjustment to such carrying amounts. Long-lived assets are tested for recoverability whenever events or changes in circumstances indicate that its carrying amount may not be recoverable. When such events occur, the Company compares the sum of the undiscounted cash flows expected to result from the use and eventual disposition of the asset to its carrying amount. If this comparison indicates that there is an impairment, the amount of the impairment is typically calculated using discounted expected future cash flows where observable fair values are not readily determinable. Considerable management judgment is necessary to estimate the fair value of assets. Assets to be disposed of are carried at the lower of their financial statement carrying amount or fair value, less cost to sell. Revenue Recognition Revenue includes sales of halloysite clay and iron oxide, and is recognized when title passes to the buyer and when collectability is reasonably assured. Title passes to the buyer based on terms of the sales contract. Product pricing is determined based on contractual arrangements with the Company’s customers. Mining Exploration and Development Costs Land and mining property are carried at cost. The Company expenses prospecting and mining exploration costs. At the point when a property is determined to have proven and probable reserves, subsequent development costs will be capitalized and will be charged to operations using the units-of-production method over proven and probable reserves. Upon abandonment or sale of a mineral property, all capitalized costs relating to the specific property are written off in the period abandoned or sold and a gain or loss is recognized. Income taxes The Company uses an asset and liability approach which results in the recognition of deferred tax liabilities and assets for the expected future tax consequences or benefits of temporary differences between the financial reporting basis and the tax basis of assets and liabilities, as well as operating loss and tax credit carry forwards, using enacted tax rates in effect in the years in which the differences are expected to reverse. In assessing the realizability of deferred tax assets, management considers whether it is more likely than not that some portion or all of its deferred tax assets will not be realized. Management considers the scheduled reversal of deferred tax liabilities, projected future taxable income and tax planning strategies in making this assessment. A full valuation allowance has been provided for the Company’s net deferred tax assets as it is more likely than not that they will not be realized. Authoritative guidance provides that the tax effects from an uncertain tax position taken or expected to be taken in a tax return can be recognized in our financial statements only if the position is more likely than not of being sustained on audit based on the technical merits of the position. As of December 31, 2015 no benefit from uncertain tax positions was recognized in our financial statements. The Company has elected to classify interest and/or penalties related to income tax matters in income tax expense. Stock Options and Warrants The Company follows ASC 718 (Stock Compensation) and 505-50 (Equity-Based Payments to Non-employees), which provide guidance in accounting for share-based awards exchanged for services rendered and requires companies to expense the estimated fair value of these awards over the requisite service period. The Company instituted a formal long-term and short-term incentive plan on November 20, 2012, which was approved by its shareholders. Prior to that date, we did not have a formal equity plan, but all equity grants, including stock options and warrants, were approved by our Board of Directors. We determine the fair value of the stock-based compensation awards granted to non-employees as either the fair value of the consideration received or the fair value of the equity instruments issued, whichever is more reliably measurable. If the fair value of the equity instruments issued is used, it is measured using the stock price and other measurement assumptions as of the earlier of either of (1) the date at which a commitment for performance by the counterparty to earn the equity instruments is reached, or (2) the date at which the counterparty’s performance is complete. Beginning in the quarter ended June 30, 2013 the Company began using the simplified method to determine the expected term for any options granted because the Company did not have sufficient historical exercise data to provide a reasonable basis upon which to estimate expected term. The Company previously utilized the contractual term as the expected term. Environmental Matters Expenditures for ongoing compliance with environmental regulations that relate to current operations are expensed or capitalized as appropriate. Expenditures resulting from the remediation of existing conditions caused by past operations that do not contribute to future revenue generations are expensed. Liabilities are recognized when environmental assessments indicate that remediation efforts are probable and the costs can be reasonably estimated. Estimates of such liabilities are based upon currently available facts, existing technology and presently enacted laws and regulations taking into consideration the likely effects of inflation and other societal and economic factors, and include estimates of associated legal costs. These amounts also reflect prior experience in remediating contaminated sites, other companies’ clean-up experience and data released by The Environmental Protection Agency or other organizations. Such estimates are by their nature imprecise and can be expected to be revised over time because of changes in government regulations, operations, technology and inflation. Recoveries are evaluated separately from the liability and, when recovery is assured, the Company records and reports an asset separately from the associated liability. Based upon management’s current assessment of its environmental responsibilities, it does not believe that any reclamation or remediation liability exists at December 31, 2015. Recent Accounting Pronouncements In May 2014, the Financial Accounting Standards Board (“FASB”) issued new accounting guidance, Accounting Standards Update (“ASU”) No. 2014-09, Revenue from Contracts with Customers, on revenue recognition. The new standard provides for a single five-step model to be applied to all revenue contracts with customers as well as requires additional financial statement disclosures that will enable users to understand the nature, amount, timing and uncertainty of revenue and cash flows relating to customer contracts. Companies have an option to use either a retrospective approach or cumulative effect adjustment approach to implement the standard. Accounting Standards Update No. 2014-09 is effective for annual reporting periods beginning after December 15, 2017, including interim periods within that reporting period. Early adoption is permitted, but not before the original effective date of the standard. The Company is currently evaluating the impact of the new guidance on our consolidated financial statements. On June 2014, the FASB issued ASU No. 2014-12, Accounting for Share-Based Payments When the Terms of an Award Provide That a Performance Target Could Be Achieved after the Requisite Service Period, which clarifies that entities should treat performance targets that can be met after the requisite service period of a share-based payment award as performance conditions that affect vesting. Under the ASU, an entity would not record compensation expense related to an award for which transfer to the employee is contingent on the entity’s satisfaction of a performance target until it becomes probable that the performance target will be met. The adoption of this ASU will be required, either on a retrospective basis or prospective basis, beginning with the quarter ending March 31, 2016. The adoption of this ASU is not expected to have a material impact on our consolidated financial statements. In August 2014, the FASB issued ASU No. 2014-15, “Presentation of Financial Statements – Going Concern (Subtopic 205-10): Disclosure of Uncertainties about an Entity’s Ability to Continue as a Going Concern” (“ASU 2014-15”) ASU 2014-15 is intended to define management’s responsibility to evaluate whether there is substantial doubt about an entity’s ability to continue as a going concern and to provide related footnote disclosures. Specifically, ASU 2014-15 provides a definition of the term substantial doubt and requires an assessment for a period of one year after the date the financial statements are issued. It also requires certain disclosures when substantial doubt is alleviated as a result of consideration of management’s plans and requires an express statement and other disclosures when substantial doubt is not alleviated. The new standard will be effective for reporting periods beginning after December 15, 2016 with early adoption permitted. Management is currently evaluating the impact of the adoption of ASU 2014-14 on our financial disclosures. In April 2015, the FASB issued an ASU 2015-03, which requires that debt issuance costs be presented in the balance sheet as a direct reduction to the carrying amount of the associated debt liability, consistent with debt discounts. Currently debt issuance costs are recognized as an asset. The ASU is effective for the Company in the first quarter of 2016 and is required to be applied retrospectively. Early adoption is permitted. The Company does not expect the adoption of this standard to have a material impact on its balance sheets. In February 2016, the FASB issued ASU No. 2016-02, Leases, which is effective for fiscal years, and interim periods within those years, beginning after December 15, 2018 with early adoption permitted. Under Accounting Standards Update 2016-02, lessees will be required to recognize for all 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-to-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. The Company is currently evaluating the effect that the new guidance will have on its financial statements and related disclosures. |
Note 4 - Property and Equipment
Note 4 - Property and Equipment | 12 Months Ended |
Dec. 31, 2015 | |
Notes to Financial Statements | |
Property, Plant and Equipment Disclosure [Text Block] | NOTE 4 – PROPERTY AND EQUIPMENT The following is a summary of property, plant, and equipment – at cost, less accumulated depreciation: 2015 2014 Land (a) $ 500,000 $ 945,180 Land improvements 164,758 164,758 Buildings 3,116,515 3,308,465 Mining equipment 1,697,583 1,684,197 Milling equipment 2,702,969 2,620,300 Laboratory equipment 594,451 594,451 Office equipment 69,625 72,174 Vehicles 148,673 148,673 8,994,574 9,538,198 Less: Accumulated depreciation 3,787,749 2,482,324 Total $ 5,206,825 $ 7,055,874 (a) Includes the Dragon Mine with a carrying value of $500,000 and in 2014 also includes the Atlas Mine near Mullan, Idaho with a carrying value of $445,180 (See Note 5). |
Note 5 - Asset Held for Sale
Note 5 - Asset Held for Sale | 12 Months Ended |
Dec. 31, 2015 | |
Notes to Financial Statements | |
Asset Held for Sale [Text Block] | NOTE 5 – ASSETS HELD FOR SALE During the third quarter of 2015, the Company reclassified its non-core Atlas Mine properties, located in and around Mullan, Idaho, from property and equipment to assets held for sale as the Company began exploring various strategic options to further monetize the value of the land and any associated mineral resources. In December 2015, the Company put four parcels owned in Idaho up for auction. Three of the four properties sold but settled in January 2016 for a gross sales price of $172,948. The Company received net process of $155,187, net of $17,761 of selling expenses. On March 23, 2016, the Company entered into an agreement to sell the fourth parcel for gross proceeds of $418,000. Net proceeds to be received by the Company are expected to be $380,000, adjusted for a 10% buyer’s premium paid to the auction house, J.P. King. At year-end, the carrying value of the parcels was tested for impairment, noting fair value exceeded the carrying value of $445,180 and therefore no impairment was necessary. |
Note 6 - Fair Value Measurement
Note 6 - Fair Value Measurement and Financial Instruments | 12 Months Ended |
Dec. 31, 2015 | |
Notes to Financial Statements | |
Fair Value Disclosures [Text Block] | NOTE 6 – FAIR VALUE MEASUREMENTS AND FINANCIAL INSTRUMENTS ASC Topic 820, Fair Value Measurement and Disclosures ● Level 1 – Quoted prices in active markets for identical assets and liabilities; ● Level 2 – Inputs other than level one inputs that are either directly or indirectly observable; and ● Level 3 – Unobservable inputs developed using estimates and assumptions, which are developed by the reporting entity and reflect those assumptions that a market participant would use. Liabilities measured at fair value on a recurring basis are summarized as follows: Fair value measurement using inputs Carrying amount Level 1 Level 2 Level 3 December 31, 2015 December 31, 2014 Financial instruments: Series 2023 Note Derivative $ -0- $ -0- $ 262,764 $ 262,764 $ 478,149 Series A Note Derivative $ -0- $ -0- $ 4,876,093 $ 4,876,093 $ 9,557,476 The following table summarizes the activity for financial instruments at fair value using Level 3 inputs for 2015 and 2014: 2015 2014 Balance at beginning of year $ 10,035,625 $ 0 Transfer to Level 3 0 2,250,000 Issuance of additional Series 2023 Notes 36,665 44,138 Issuance of additional Series A Notes 395,082 9,212,285 Net unrealized gain included in operations (5,328,515 ) (1,470,798 ) Balance at December 31, 2015 $ 5,138,857 $ 10,035,625 The recorded value of certain financial assets and liabilities, which consist primarily of cash and cash equivalents, receivables, and accounts payable and accrued expenses approximate their fair value at December 31, 2015 and 2014 based upon the short-term nature of the assets and liabilities. Based on borrowing rates currently available to the Company for loans with similar terms, and the remaining short term period outstanding, the carrying value of notes payable other than PIK notes approximate fair value. The estimated fair value of the PIK Notes Payable was approximately $21,800,000 and $27,500,000 at December 31, 2015 and 2014 (Level 3), respectively. For the Company's warrant and PIK note derivative liabilities, Level 3 fair value hierarchy was estimated using a Monte Carlo Model using the following assumptions: Series 2023 Note derivative liability Fair Value Measurements Using Inputs December 31, 2015 December 31, 2014 Market price and estimated fair value of stock $ 0.28 $ 0.73 Exercise price $ 1.36 $ 1.33 Term (years) 7.58 8.58 Dividend yield $ -0- $ -0- Expected volatility * 72.9 % 52.0 % Risk-free interest rate 2.12 % 2.08 % Series A Note derivative liability Fair Value Measurements Using Inputs December 31, 2015 December 31, 2014 Market price and estimated fair value of stock $ 0.28 $ 0.73 Exercise price $ 0.92 $ 0.92 Term (years) 2.82 3.83 Dividend yield $ -0- $ -0- Expected volatility 72.9 % 52.0 % Risk-free interest rate 2.12 % 2.08 % * During the first quarter of 2014, the Company revised its assumption for expected volatility by switching from a peer-group average volatility to the Company’s three-year historical volatility in measuring the value of the derivative liabilities mentioned above. Prior to 2011, the occurrence of certain corporate events would not have made the historical volatility calculations meaningful or accurate if included. This reduction in volatility led to a reduced valuation for both the Warrant and Series 2023 Note derivative liabilities of approximately $118,500 and $126,000, respectively, in 2014 . The remaining decrease in the valuation is attributable to the decline in stock price. |
Note 7 - Notes Payable
Note 7 - Notes Payable | 12 Months Ended |
Dec. 31, 2015 | |
Notes to Financial Statements | |
Debt Disclosure [Text Block] | Notes payable at December 31, 2015 and 2014 consist of the following: December 31, 2015 2014 Note payable for mining equipment, payable $950 monthly, including interest (a) $ 3,714 $ 14,057 Note payable for mining equipment, payable $6,060 monthly, including interest (b) -- 6,033 Note payable for equipment, payable $9,122 monthly, including interest (c) -- 18,246 Note payable for equipment, payable $1,339 monthly, including interest (d) 42,235 55,720 Note payable for mine site vehicle, payable $628 monthly (e) 13,196 20,736 Note payable to an insurance company, payable $21,531monthly, including interest (f) -- 149,036 Note payable to an insurance company, payable $6,094 monthly, including interest (g) -- 42,211 Note payable to an insurance company, payable $9,055 monthly, including interest (h) 60,953 -- Note payable to an insurance company, payable $18,609 monthly, including interest (i) 124,019 -- 244,117 306,039 Less: Current Portion (210,429 ) (246,894 ) Notes Payable, Long-Term Portion $ 33,688 $ 59,145 (a) On April 17, 2012, the Company purchased mining equipment for $40,565 by issuing a note with an effective interest rate of 11.279%. The note is collateralized by the mining equipment with payments of $950 for 48 months, which started on May 1, 2012. (b) On July 23, 2012, the Company purchased mining equipment for $169,500 by issuing a note with an interest rate of 5.5%. The note is collateralized by the mining equipment with payments of $6,060 for 30 months, which started on August 25, 2012. (c) On April 1, 2014, the Company purchased lab equipment for $109,493 by paying deposit and issuing a non-interest bearing note in the amount of $91,229. The note is collateralized by the lab equipment with payments of $9,122 for ten months, which started in November 2014. (d) On October 31, 2014, the Company purchased mining equipment for $65,120 by paying deposit and issuing a note in the amount of $57,900 with an interest rate of 5.2%. The note is collateralized by the mining equipment with payments of $1,339 for 48 months, which started on November 30, 2014. (e) On September 20, 2012, the Company purchased a vehicle for the mine site for $37,701 by issuing a non-interest bearing note. The note is collateralized by the vehicle with payments of $628 for 60 months, which started on October 20, 2012. (f) The Company signed a note payable with an insurance company dated October 17, 2014 for directors' and officers' insurance, due in monthly installments, including interest at 3.15%. The note matured in June 2015 and was repaid. (g) The Company signed a note payable with an insurance company dated October 17, 2014 for liability insurance, due in monthly installments, including interest at 4.732%. The note matured in July 2015 and was repaid. (h) The Company signed a note payable with an insurance company dated October 21, 2015 for liability insurance, due in monthly installments, including interest at 11.845%. (i) The Company signed a note payable with an insurance company dated October 17, 2015 for liability insurance, due in monthly installments, including interest at 3.000%. The following is a schedule of the principal maturities on these notes as of December 31, 2015: 2016 $ 210,429 2017 20,615 2018 13,073 Total Notes Payable $ 244,117 During the 2015 and 2014, the Company's interest payments totaled $12,839 and $10,460, respectively. |
Note 8 - Convertible Debt (PIK
Note 8 - Convertible Debt (PIK Notes) | 12 Months Ended |
Dec. 31, 2015 | |
Notes to Financial Statements | |
Convertible Debt [Text Block] | NOTE 8 – CONVERTIBLE DEBT (PIK NOTES) The Company raised $23 million of financing through the issuance of two series of Paid-In-Kind (“PIK”)-Election Convertible Notes in 2013 and 2014, with key terms highlighted in the table below: Key Terms Series 2023 Notes Series A Notes Inception Date 08/05/2013 11/03/2014 Cash Received $10,500,000 $12,500,000 Principal (Initial Liability) $10,500,000 $19,848,486 Maturity (Term) 10 years, but convertible after 1 year based on the market price of the Company’s stock 4 years, but may range between 2 years to the full maturity of the Series 2023 Notes, depending on whether a Specified Event occurs and/or an Extension Option is elected (see below for further details) Exercise Price $1.40 at inception, adjusted downward based on anti-dilution provisions/downround protection $0.92 at inception, adjusted downward based on anti-dilution provisions/down-round protection; also may be reduced by $0.10 based if Extension Option is elected (see below) Stated Interest 10% per annum, due semiannually 10% per annum, due semiannually, may be reduced to 1% if a Specified Event occurs Derivative Liability $2,055,000 established at inception due to the existence of down-round protection; revalued every quarter using Monte Carlo model $9,212,285 established at inception due to existence of down-round protection; revalued every quarter using a Monte Carlo model As of December 31, 2015, the liability components of the PIK Notes on the Company’s balance sheet are listed in the following table: Series 2023 Notes Series A Notes Total PIK Note Payable, Gross $ 12,762,816 $ 21,882,955 $ 34,645,771 Less: Discount (1,854,894 ) (15,717,991 ) (17,572,885 ) PIK Note Payable, Net $ 10,907,922 $ 6,164,964 $ 17,072,886 PIK Note Derivative Liability $ 262,764 $ 4,876,093 $ 5,138,857 As of December 31, 2014, the liability components of the PIK Notes on the Company’s balance sheet are listed in the following table: Series 2023 Notes Series A Notes Total PIK Note Payable, Gross $ 11,576,250 $ 19,848,486 $ 31,424,736 Less: Discount (1,949,555 ) (16,450,742 ) (18,400,297 ) PIK Note Payable, Net $ 9,626,695 $ 3,397,744 $ 13,024,439 PIK Note Derivative Liability $ 478,149 $ 9,557,476 $ 10,035,625 Series A Notes On November 3, 2014 (“Issue Date”), the Company issued, in a private placement pursuant to investment agreements, $19,848,486 principal amount of 10% PIK-Election Convertible Notes due 2018 ("Series A Notes") in exchange for $12,500,000 in cash and the cancellation of previously-issued warrants held by one investor. Below are key terms of the Series A Notes: ● Maturity ● Exercise Price ● Stated Interest provided ● Specified Event second anniversary ● Extension Option ● Liquidated Damages ● The number of shares issuable under the Notes may be affected by the anti-dilution provisions of the Notes. The antidilition provisions adjust the Exercise Price of the Notes in the event of stock dividends and splits, issuance below the market price of the common stock, issuances below the conversion price of the Notes, pro rata distribution of assets, rights plans, tender offers, and exchange offers. The Series A Notes are mandatorily convertible by the Company at any time that is two years after issuance only if either of the following conditions exist: (A) (i) the maturity date of the Series A Notes has not been extended, (ii) the VWAP over the preceding 10 trading days is at or in excess of $1.00 per share, (iii) the closing market price of the common stock is at or in excess of $1.00 per share on the day before a mandatory conversion notice is issued, (iv) all outstanding amounts, if any, of the Series 2023 Notes or replacement financing for the Series 2023 Notes have been converted into common stock and (v) a registration statement is effective or a holder of the Series A Notes may sell the conversion shares under Rule 144 or These Series A Notes were not issued with the intent of effectively hedging any future cash flow, fair value of any asset, liability or any net investment in a foreign operation. In addition to the customary anti-dilution provisions the notes contain a down-round provision whereby the conversion price would be adjusted downward in the event that additional shares of the Company’s common stock or securities exercisable, convertible or exchangeable for the Company’s common stock were issued for cash consideration (e.g. a capital raise) at a price less than the conversion price. Therefore, the estimated fair value of the conversion feature of $9,212,285 (based on observable inputs using a Monte Carlo model) was bifurcated from the Series A Notes and accounted for as a separate derivative liability, which resulted in a corresponding amount of debt discount on the Series A Notes. In addition, an additional debt discount of $7,348,486 was recorded as a result of the difference between the $12,500,000 of cash received and the $19,848,486 of principal on the Series A Notes. This combined debt discount of $16,560,771 is being amortized using the effective interest method over the 4-year term of the Notes as Interest Expense, while the PIK Note Derivative is carried at fair value (using a Monte Carlo model) until the Notes are converted or otherwise extinguished. Any changes in fair value are recognized in earnings. In May 2015 and November 2015, the Company issued $992,424 and $1,042,045, respectively, in additional PIK Notes to the holders to pay the semi-annual interest. At December 31, 2015, the fair value of the Series A Note Derivative was estimated to be $4,876,093, which includes the value of the derivative related to the additional PIK Notes issued in May and November 2015 for the semi-annual interest payments due. During the year ended December 31, 2015, the Company amortized $732,751 of debt discount relating to the Series A Notes Payable and issued additional PIK Notes in lieu of interest payments of $2,034,469, increasing the Series A Notes Payable carrying value to $6,164,964 as of December 31, 2015. Series 2023 Notes In August 2013, the Company received $10,500,000 of financing through the private placement of 10% mandatory convertible Notes due 2023 ("Series 2023 Notes"). The principal amount of the Notes is due on maturity. The Company can elect to pay semi-annual interest on the Series 2023 Notes with additional PIK Notes containing the same terms as the Series 2023 Notes, except interest will accrue from issuance of such notes. The Company can also elect to pay interest in cash. In February 2015 and August 2015, the Company issued $578,813 and $607,753, respectively, in additional PIK Notes to the holders to pay the semi-annual interest. In February 2014 and August 2014, the Company issued $525,000 and $551,250, respectively, in additional PIK Notes to the holders to pay the semi-annual interest. The Series 2023 Notes convert into the Company’s common stock at a conversion price of $1.40 per share, which is subject to customary anti-dilution adjustments; these anti-dilution adjustments reduced the conversion price to $1.36 after the issuance of the Series A Notes. As of issuance, principal amount of the Series 2023 Notes were convertible into 7,500,000 shares of the common stock and into 7,720,588 shares after the issuance of the Series A Notes. The holders may convert the Series 2023 Notes at any time. The Series 2023 Notes are mandatorily convertible after one year when the weighted average trading price of a share of the common stock for the preceding ten trading days is in excess of the conversion price. The Series 2023 Notes contain customary representations and warranties and several covenants. The proceeds are being used for general corporate purposes. No broker was used and no commission was paid in connection with the sale of the Series 2023 Notes. As of December 31, 2015, the Company was in compliance with the covenants. These Series 2023 Notes were not issued with the intent of effectively hedging any future cash flow, fair value of any asset, liability or any net investment in a foreign operation. In addition to the customary anti-dilution provisions the notes contain a down-round provision whereby the conversion price would be adjusted downward in the event that additional shares of the Company’s common stock or securities exercisable, convertible or exchangeable for the Company’s common stock were issued for cash consideration (e.g. a capital raise) at a price less than the conversion price. Therefore, the estimated fair value of the conversion feature of $2,055,000 (based on observable inputs using a Monte Carlo model) was bifurcated from the Series 2023 Notes and accounted for as a separate derivative liability, which resulted in a corresponding amount of debt discount on the Series 2023 Notes. The debt discount is being amortized using the effective interest method over the 10-year term of the Series 2023 Notes as Interest Expense, while the PIK Note Derivative is carried at fair value (using a Monte Carlo model) until the Series 2023 Notes are converted or otherwise extinguished. Any changes in fair value are recognized in earnings. At December 31, 2015, the fair value of the PIK Note Derivative was estimated to be $262,764, which includes the value of the derivative related to additional PIK Notes issued 2015 and 2014 for the semi-annual interest payments due. During 2015, the Company recorded $36,665 of additional debt discount from the February and August 2015 issuances above, and also amortized $131,326 of debt discount relating to the Series 2023 Notes Payable, resulting in a total debt discount of $1,854,894 as of December 31, 2015, and increasing the Series 2023 Notes Payable carrying value to $10,907,922 as of December 31, 2015. |
Note 9 - Stockholders' Equity
Note 9 - Stockholders' Equity | 12 Months Ended |
Dec. 31, 2015 | |
Notes to Financial Statements | |
Stockholders' Equity Note Disclosure [Text Block] | NOTE 9 – STOCKHOLDERS’ EQUITY Preferred Stock The Company is authorized to issue 10,000,000 shares of noncumulative, non-voting, nonconvertible preferred stock, $0.001 par value per share. At December 31, 2015 and 2014, no shares of preferred stock were outstanding. Common Stock On November 20, 2012, stockholders of the Company approved to increase the authorized shares of common stock from 120,000,000 to 200,000,000 shares, $0.001 par value per share. At December 31, 2015 and 2014, 97,144,736 and 95,054,552 shares were issued and outstanding, respectively. 2015 During 2015 the Company issued a total of 1,045,788 shares of common stock valued at $379,936 to directors and consultants as payments of fees. 2 01 4 During 2014 the Company issued a total of 408,539 shares of common stock valued at $327,269 to directors and consultants as payments of fees. 2013 During 2013 the Company issued a total of 269,812 shares of common stock valued at $316,475 to directors and consultants as payments of fees. In addition, on January 23, 2013 the Company sold, in a privately negotiated transaction, 3,756,757 shares of its common stock at $1.48 per share for gross proceeds of $5,560,000. No broker was used and no commission was paid as part of this transaction. |
Note 10 - Options and Warrants
Note 10 - Options and Warrants to Purchase Common Stock | 12 Months Ended |
Dec. 31, 2015 | |
Notes to Financial Statements | |
Options And Warrants To Purchase Common Stock [Text Block] | NOTE 10 – OPTIONS AND WARRANTS TO PURCHASE COMMON STOCK Derivative Instruments - Warrants The Company issued 5,000,000 warrants (“Samlyn Warrants”) in connection with the December 22, 2011 private placement of 10,000,000 shares of common stock. The strike price of these warrants was $2.00 per share at the date of grant. These warrants were not issued with the intent of effectively hedging any future cash flow, fair value of any asset, liability or any net investment in a foreign operation. In addition to the customary anti-dilution provisions the notes contain a down-round provision whereby the exercise price would be adjusted downward in the event that additional shares of the Company's common stock or securities exercisable, convertible or exchangeable for the Company's common stock were issued at a price less than the exercise price. Therefore, the fair value of these warrants (based on observable inputs) was recorded as a liability in the balance sheet until they were canceled. During the first quarter of 2013, the Company issued 3,756,757 shares of its common stock for gross proceeds of $5,560,000, which triggered a down-round adjustment of $0.03 from $2.00 to $1.97 in the strike price of the Samlyn Warrants at that time. As discussed in Note 8, during August 2013, the Company issued $10,500,000 of 10% mandatorily convertible Series 2023 Notes in a private placement, which triggered a down-round adjustment of $0.04 from $1.97 to $1.93 in the strike price of the Samlyn Warrants. On November 3, 2014, the Company cancelled the warrant arrangement, resulting in a $120,000 credit to equity. During 2014 and 2013, the Company recorded other income of $830,000 and $995,000, respectively, resulting from the changes in the fair value of the warrant liability, mainly due to a lower stock price and a change in the volatility utilized by the Company. Outstanding Stock Warrants A summary of the status of the warrants outstanding and exercisable at December 31, 2015 is presented below: Warrants Outstanding and Exercisable Exercise Price Number Outstanding Weighted Average Remaining Contractual Life (years) Weighted Average Exercise Price $ 0.78 213,402 0.09 $ 0.78 $ 1.15 461,340 5.33 $ 1.15 $ 2.00 54,367 0.59 $ 2.00 729,109 3.44 $ 1.11 During 2015, warrants to acquire 443,821 shares of common stock expired. No warrants were issued during 2013, 2014 and 2015. Outstanding Stock Options On November 20, 2012, the shareholders of the Company approved the adoption of the Applied Minerals, Inc. 2012 Long-Term Incentive Plan (“LTIP”) and the Short-Term Incentive Plan (“STIP”) and the performance criteria used in setting performance goals for awards intended to be performance-based. Under the LTIP, 8,900,000 shares are authorized for issuance. The STIP does not refer to a particular number of shares under the LTIP, but would use the shares authorized in the LTIP for issuance under the STIP. The CEO, the CFO, and named executive officers, and directors, among others are eligible to participate in the LTIP and STIP. Prior to the adoption of the LTIP and STIP, stock options were granted under individual arrangements between the Company and the grantees, and approved by the Board of Directors. The fair value of each of the Company's stock option awards is estimated on the date of grant using the Black-Scholes option-pricing model that uses the assumptions noted in the table below. Expected volatility is based on an average of historical volatility of the Company's common stock. The risk-free interest rate for periods within the contractual life of the stock option award is based on the yield curve of a zero-coupon U.S. Treasury Bond on the date the award is granted with a maturity equal to the expected term of the award. The significant assumptions relating to the valuation of the Company's options issued for 2015 and 2014 were as follows on a weighted average basis: 2015 2014 Dividend Yield 0 % 0 % Expected Life (in years) 7.00 5.5 Expected Volatility 72.9 % 56.1 % Risk Free Interest Rate 2.00 % 1.79 % A summary of the status and changes of the options granted under stock option plans and other agreements for 2015 and 2014 is as follows: December 31, 2015 December 31, 2014 Weighted Weighted Average Average Shares Exercise Price Shares Exercise Price Outstanding at beginning of period 17,053,116 $ 1.02 15,878,116 $ 1.03 Issued 1,138,356 0.63 1,175,000 0.84 Exercised -- -- -- -- Forfeited (235,000 ) $ 0.77 -- -- Outstanding at end of period 17,956,472 $ 1.00 17,053,116 $ 1.02 During the year ended December 31, 2015, the Company granted 1,138,356 options to purchase the Company’s common stock with a weighted average exercise price of $0.63. Of the 1,138,356 options granted, the options vest as follows: Vesting Information Shares Frequency Begin Date End Date 200,000 Immediately 2/12/2015 2/12/2015 38,356 Immediately 4/15/2015 4/15/2015 100,000 Monthly 4/7/2015 4/7/2016 100,000 Monthly 9/16/2015 9/16/2016 200,000 Annually 2/5/2015 2/5/2018 350,000 Annually 6/1/2015 6/1/2018 150,000 Annually 11/10/2015 11/10/2018 A summary of the status of the options outstanding at December 31, 2015 is presented below: Options Outstanding Options Exercisable Weighted Average Weighted Weighted Average Average Exercise Number Exercise Number Outstanding Life (years) Price Exercisable Price 100,000 4.72 $ 0.22 25,002 $ 0.22 150,000 4.87 $ 0.50 -0- $ N/A 200,000 9.13 $ 0.66 200,000 $ 0.66 150,000 9.11 $ 0.68 -0- $ N/A 7,233,277 2.99 $ 0.70 7,233,277 $ 0.70 488,356 9.38 $ 0.73 94,178 $ 0.73 3,405,134 5.69 $ 0.83 3,405,134 $ 0.83 975,000 8.45 $ 0.84 691,667 $ 0.84 300,000 7.64 $ 1.10 200,000 $ 1.10 300,000 7.48 $ 1.15 233,333 $ 1.15 100,000 2.09 $ 1.24 100,000 $ 1.24 115,000 5.24 $ 1.35 115,000 $ 1.35 125,000 2.09 $ 1.45 125,000 $ 1.45 330,000 5.95 $ 1.55 330,000 $ 1.55 7,645 2.09 $ 1.58 7,645 $ 1.58 3,077,060 6.89 $ 1.66 3,077,060 $ 1.66 900,000 5.64 $ 1.90 900,000 $ 1.90 17,956,472 5.12 $ 1.00 16,737,296 $ 1.01 Compensation expense of $397,417, $865,716, and $4,707,381 has been recognized for the vested options for the years ended December 31, 2015, 2014 and 2013, respectively. The aggregate intrinsic value of the outstanding options at December 31, 2015 was $6,500. At December 31, 2015, $354,284 of unamortized compensation expense for unvested options will be recognized over the next 5.12 years on a weighted average basis. |
Note 11 - Per Share Data
Note 11 - Per Share Data | 12 Months Ended |
Dec. 31, 2015 | |
Notes to Financial Statements | |
Earnings Per Share [Text Block] | NOTE 11 - PER SHARE DATA The computation of basic earnings (loss) per share of common stock is based on the weighted average number of shares outstanding during the year. The computation of diluted earnings per common share is based on the weighted average number of shares outstanding during the year plus the common stock equivalents that would arise from the exercise of stock options and warrants outstanding under the treasury method and the average market price per share during the year as well as the conversion of notes. At December 31, 2015, there were options outstanding to purchase 17,956,742 shares of common stock of the Company, warrants outstanding to purchase 729,109 shares of common stock of the Company and notes payable outstanding convertible into 33,170,241 shares of common stock of the Company. At December 31, 2014, there were options outstanding to purchase 17,053,116 shares of common stock of the Company, warrants outstanding to purchase 1,172,930 shares of common stock of the Company and notes payable outstanding convertible into 30,086,389 shares of common stock of the Company. At December 31, 2013, there were options outstanding to purchase 15,878,166 shares of common stock of the Company, warrants outstanding to purchase 6,240,930 shares of common stock of the Company and notes payable outstanding convertible into 7,500,000 shares of common stock of the Company. |
Note 12 - Income Taxes
Note 12 - Income Taxes | 12 Months Ended |
Dec. 31, 2015 | |
Notes to Financial Statements | |
Income Tax Disclosure [Text Block] | NOTE 12 – INCOME TAXES The Company calculates its deferred tax assets and liabilities using the federal tax rate of 35% and the following effective state rates, net of federal benefits: Idaho (0.1%), Utah (2.55%), and New York State/New York City (0.35%). The tax effect of items that give rise to the deferred tax assets and liabilities are as follows: December 31, 2015 December 31, 2014 Deferred tax assets: Net operating loss carryforward $ 28,475,616 $ 23,246,809 Stock-based compensation 4,240,612 4,121,311 Total deferred tax assets 32,716,228 27,368,120 Deferred tax liabilities: Fixed assets (348,869 ) (673,241 ) Less: valuation allowance (32,367,359 ) (26,694,879 ) $ -- $ -- In assessing the realization of deferred tax assets, management determines whether it is more likely than not some, or all, of the deferred tax assets will not be realized. The ultimate realization of deferred tax assets is dependent upon the generation of future taxable income during the carryforward period as well as the period in which those temporary differences become deductible. Management considers the reversal of taxable temporary differences, projected taxable income and tax planning strategies in making this assessment. Based upon historical losses and the possibility of continued losses over the periods that the deferred tax assets are deductible, management believes it is more likely than not that the Company will not realize the benefits of these deferred tax assets and thus recorded a valuation allowance against the entire deferred tax asset balance. The valuation allowance increased by $5,672,480, $4,935,303, and $5,034,877 in the years ended December 31, 2015, 2014, and 2013, respectively. At December 31, 2015, the Company had net operating loss carry-forwards of $76,126,103for federal income tax purposes and $51,205,132 for state and local income tax purposes. The federal net operating loss carry-forwards are available to be utilized against future taxable income through fiscal year 2035 and state loss carry-forwards expire from 2024 through 2035, subject to substantial restrictions on the utilization of net operating losses in the event of an “ownership change” as defined by the Internal Revenue Code. Utilization of the Company’s federal and state net operating loss carry-forwards are subject to limitations as a result of these restrictions. No amounts were provided for unrecognized tax benefits attributable to uncertain tax positions as of December 31, 2015 and 2014. A reconciliation of the differences between the effective and statutory income tax rates is as follows: December 31, 2015 December 31, 2014 December 31, 2013 Federal statutory rate $ (3,457,068 ) 35.0 % $ (3,610,711 ) 35.0 % $ (4,572,234 ) 35.0 % State income taxes – Idaho (7,652 ) 0.1 % (11,016 ) 0.1 % (14,264 ) 0.1 % State income taxes - Utah (243,973 ) 2.5 % (239,093 ) 2.3 % (199,166 ) 1.5 % State and local income taxes - NY (30,468 ) 0.3 % (46,372 ) 0.4 % (58,721 ) 0.5 % Change in valuation allowance related to derivatives 5,672,480 (57.5% ) 4,935,302 (47.8% ) 5,034,877 (39.0% ) Net nontaxable income related to derivatives (2,005,896 ) 20.3 % (843,861 ) 8.2 % (290,623 ) 2.2 % Miscellaneous 72,577 (0.70% ) (184,249 ) 2.0 % 100,131 (0.3% ) $ -- 0 % $ -- 0 % $ -- 0 % |
Note 13 - Related Parties
Note 13 - Related Parties | 12 Months Ended |
Dec. 31, 2015 | |
Notes to Financial Statements | |
Related Party Transactions Disclosure [Text Block] | NOTE 13 – RELATED PARTIES David A. Taft, a director, is the president of IBS Capital LLC (“IBS”), a Massachusetts limited liability company, whose principal business is investing in securities. IBS is the general partner of the IBS Turnaround Fund (QP), which is a Massachusetts limited partnership, IBS Turnaround Fund (LP), which is a Massachusetts limited partnership and the IBS Opportunity Fund, Ltd. Mr. Taft participated in the Series A Note financing described in Note 8, with the following investments, which were utilized by the Company to fund its operations: Investor Investment OID/Discount Principal Shares Issuable at 0.92 (excluding interest) IBS Turnaround Fund (A Limited Partnership) $ 531,960 $ 0.66 $ 806,000 876,087 IBS Turnaround Fund QP (A Limited Partnership) 1,118,040 0.66 1,694,000 1,841,304 IBS Opportunity Fund, Ltd. 350,000 0.66 530,303 576,416 $ 2,000,000 $ 3,030,303 3,293,807 |
Note 14 - Commitments and Conti
Note 14 - Commitments and Contingencies | 12 Months Ended |
Dec. 31, 2015 | |
Notes to Financial Statements | |
Commitments and Contingencies Disclosure [Text Block] | NOTE 14 – COMMITMENTS AND CONTINGENCIES Contingencies The Company was named as the defendant in a lawsuit filed on April 18, 2014 in state district court in Salt Lake City, Utah. The plaintiff is Tekko Enterprises, Inc., which was hired in 2012 as project manager for the construction of a processing plant at the Company’s Dragon Mine property and terminated in 2013 before the completion of the plant. The complaint seeks damages of $346,000, unpaid amounts that the plaintiff claims it is entitled to under the project management agreement and two purchase orders. The Company intends to vigorously defend against the claims and to counterclaim. Office Lease The Company extended their lease agreement for office space through December 31, 2016 at a monthly rent of $13,131 for an aggregate commitment of approximately $157,575 at December 31, 2015, payable over the next year. |
Note 15 - Financial Information
Note 15 - Financial Information by Quarter (Unaudited) | 12 Months Ended |
Dec. 31, 2015 | |
Notes to Financial Statements | |
Quarterly Financial Information [Text Block] | NOTE 15 - FINANCIAL INFORMATION BY QUARTER (UNAUDITED) 2015 For Quarter Ended December 31 September 30 June 30 March 31 Revenue $ 235,586 $ 43,293 $ 65,848 $ 162,747 Operating loss $ (2,022,257 ) $ (2,415,818 ) $ (2,803,433 ) $ (2,675,300 ) Net income (loss) $ (4,674,752 ) $ 1,792,956 $ (2,728,876 ) $ (4,194,465 ) Income (Loss) Per Share (Basic and Diluted) $ (0.02 ) $ 0.02 $ (0.03 ) $ (0.04 ) 2014 For Quarter Ended December 31 September 30 June 30 March 31 Revenue $ 119,533 $ 55,681 $ 47,993 $ 11,014 Operating loss $ (3,147,929 ) $ (2,389,291 ) $ (2,712,065 ) $ (2,552,293 ) Net loss $ (4,346,638 ) $ (2,576,750 ) $ (3,035,704 ) $ (357,225 ) Loss Per Share (Basic and Diluted) $ (0.05 ) $ (0.03 ) $ (0.03 ) $ (0.00 ) |
Note 16 - Subsequent Event
Note 16 - Subsequent Event | 12 Months Ended |
Dec. 31, 2015 | |
Notes to Financial Statements | |
Subsequent Events [Text Block] | NOTE 16 - SUBSEQUENT EVENT On March 23, 2016 the Company entered into an agreement to sell the fourth parcel, located in Mullan, Idaho, for gross proceeds of $418,000. Net proceeds to be received by the Company are expected to be $380,000, adjusted for a 10% buyers premium paid to the auction firm, J.P. King. |
Schedule II - Valuation and Qua
Schedule II - Valuation and Qualifying Accounts | 12 Months Ended |
Dec. 31, 2015 | |
Notes to Financial Statements | |
Schedule of Valuation and Qualifying Accounts Disclosure [Text Block] | SCHEDULE II—VALUATION AND QUALIFYING ACCOUNTS Balance at Beginning of Year Additions Charged to Expenses/ Other Accounts Net (Deductions) Recoveries Balance at End of Year Allowance for doubtful accounts 2015 $-- $-- $-- $-- 2014 $-- $-- $-- $-- 2013 $25,106 $-- $25,106 $-- Valuation allowance for deferred tax assets 2015 $26,694,879 $5,672,480 $-- $32,367,359 2014 $21,759,577 $4,935,302 $-- $26,694,879 2013 $16,724,700 $5,034,877 $-- $21,759,577 |
Significant Accounting Policies
Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2015 | |
Accounting Policies [Abstract] | |
Exploration Stage Company [Policy Text Block] | Exploration-Stage Company From 1997 through 2008, the Company’s sole source of revenue and income was derived from its contract mining business through which it provided shaft sinking, underground mine development and mine labor services. At December 31, 2008, the Company discontinued its contract mining efforts due to economic conditions and the desire to concentrate its efforts on the commercialization of the halloysite clay deposit at the Dragon Mine. Effective January 1, 2009, the Company was, and still is, classified as an exploration company as the existence of proven or probable reserves have not been demonstrated and no significant revenue has been earned from the mine. Under the SEC’s Industry Guide 7, a mining company is considered an exploration stage company until it has declared mineral reserves determined in accordance with the guide and staff interpretations thereof. |
Consolidation, Policy [Policy Text Block] | Principles of Consolidation The accompanying consolidated financial statements include the accounts of Applied Minerals, Inc. and its inactive subsidiary, which holds 100 acres of timber and mineral property in northern Idaho. |
Use of Estimates, Policy [Policy Text Block] | Use of Estimates The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America (“GAAP”) requires management to make estimates and assumptions that affect reported amounts of assets and liabilities, disclosure of contingent assets and liabilities at the date of the financial statements and reported amounts of revenues and expenses during the reporting period. In these consolidated financial statements, the warrant and PIK note derivative liabilities, stock compensation, impairment of long-lived assets and valuation allowance on income taxes involve extensive reliance on management’s estimates. Actual results could differ from those estimates. |
Cash and Cash Equivalents, Policy [Policy Text Block] | Cash and Cash Equivalents Cash and cash equivalents include all highly liquid investments with a maturity of three months or less. The Company minimizes its credit risk by investing its cash and cash equivalents, which sometimes exceeds FDIC limits, with major financial institutions located in the United States with a high credit rating. |
Receivables, Policy [Policy Text Block] | Receivables Trade receivables are reported at outstanding principal amounts, net of an allowance for doubtful accounts. Management evaluates the collectability of receivable account balances to determine the allowance, if any. Management considers the other party’s credit risk and financial condition, as well as current and projected economic and market conditions, in determining the amount of the allowance. Receivable balances are written off when management determines that the balance is uncollectable. No allowance was required at December 31, 2015 and 2014. |
Property, Plant and Equipment, Policy [Policy Text Block] | Property and Equipment Property and equipment are carried at cost net of accumulated depreciation and amortization. Depreciation and amortization is computed on the straight-line method over the estimated useful lives of the assets, or the life of the lease, whichever is shorter, as follows: Estimated Useful Life (years) Building and Building Improvements 5 – 40 Mining equipment 2 – 7 Office and shop furniture and equipment 3 – 7 Vehicles 5 Depreciation expense for the years ended December 31, 2015, 2014 and, 2013 totaled $1,312,585, $1,164,366, and $317,570, respectively. |
Impairment or Disposal of Long-Lived Assets, Policy [Policy Text Block] | Impairment of Long-lived Assets The Company periodically reviews the carrying amounts of long-lived assets to determine whether current events or circumstances warrant adjustment to such carrying amounts. Long-lived assets are tested for recoverability whenever events or changes in circumstances indicate that its carrying amount may not be recoverable. When such events occur, the Company compares the sum of the undiscounted cash flows expected to result from the use and eventual disposition of the asset to its carrying amount. If this comparison indicates that there is an impairment, the amount of the impairment is typically calculated using discounted expected future cash flows where observable fair values are not readily determinable. Considerable management judgment is necessary to estimate the fair value of assets. Assets to be disposed of are carried at the lower of their financial statement carrying amount or fair value, less cost to sell. |
Revenue Recognition, Policy [Policy Text Block] | Revenue Recognition Revenue includes sales of halloysite clay and iron oxide, and is recognized when title passes to the buyer and when collectability is reasonably assured. Title passes to the buyer based on terms of the sales contract. Product pricing is determined based on contractual arrangements with the Company’s customers. |
Exploitation Costs, Policy [Policy Text Block] | Mining Exploration and Development Costs Land and mining property are carried at cost. The Company expenses prospecting and mining exploration costs. At the point when a property is determined to have proven and probable reserves, subsequent development costs will be capitalized and will be charged to operations using the units-of-production method over proven and probable reserves. Upon abandonment or sale of a mineral property, all capitalized costs relating to the specific property are written off in the period abandoned or sold and a gain or loss is recognized. |
Income Tax, Policy [Policy Text Block] | Income taxes The Company uses an asset and liability approach which results in the recognition of deferred tax liabilities and assets for the expected future tax consequences or benefits of temporary differences between the financial reporting basis and the tax basis of assets and liabilities, as well as operating loss and tax credit carry forwards, using enacted tax rates in effect in the years in which the differences are expected to reverse. In assessing the realizability of deferred tax assets, management considers whether it is more likely than not that some portion or all of its deferred tax assets will not be realized. Management considers the scheduled reversal of deferred tax liabilities, projected future taxable income and tax planning strategies in making this assessment. A full valuation allowance has been provided for the Company’s net deferred tax assets as it is more likely than not that they will not be realized. Authoritative guidance provides that the tax effects from an uncertain tax position taken or expected to be taken in a tax return can be recognized in our financial statements only if the position is more likely than not of being sustained on audit based on the technical merits of the position. As of December 31, 2015 no benefit from uncertain tax positions was recognized in our financial statements. The Company has elected to classify interest and/or penalties related to income tax matters in income tax expense. |
Share-based Compensation, Option and Incentive Plans Policy [Policy Text Block] | Stock Options and Warrants The Company follows ASC 718 (Stock Compensation) and 505-50 (Equity-Based Payments to Non-employees), which provide guidance in accounting for share-based awards exchanged for services rendered and requires companies to expense the estimated fair value of these awards over the requisite service period. The Company instituted a formal long-term and short-term incentive plan on November 20, 2012, which was approved by its shareholders. Prior to that date, we did not have a formal equity plan, but all equity grants, including stock options and warrants, were approved by our Board of Directors. We determine the fair value of the stock-based compensation awards granted to non-employees as either the fair value of the consideration received or the fair value of the equity instruments issued, whichever is more reliably measurable. If the fair value of the equity instruments issued is used, it is measured using the stock price and other measurement assumptions as of the earlier of either of (1) the date at which a commitment for performance by the counterparty to earn the equity instruments is reached, or (2) the date at which the counterparty’s performance is complete. Beginning in the quarter ended June 30, 2013 the Company began using the simplified method to determine the expected term for any options granted because the Company did not have sufficient historical exercise data to provide a reasonable basis upon which to estimate expected term. The Company previously utilized the contractual term as the expected term. |
Environmental Costs, Policy [Policy Text Block] | Environmental Matters Expenditures for ongoing compliance with environmental regulations that relate to current operations are expensed or capitalized as appropriate. Expenditures resulting from the remediation of existing conditions caused by past operations that do not contribute to future revenue generations are expensed. Liabilities are recognized when environmental assessments indicate that remediation efforts are probable and the costs can be reasonably estimated. Estimates of such liabilities are based upon currently available facts, existing technology and presently enacted laws and regulations taking into consideration the likely effects of inflation and other societal and economic factors, and include estimates of associated legal costs. These amounts also reflect prior experience in remediating contaminated sites, other companies’ clean-up experience and data released by The Environmental Protection Agency or other organizations. Such estimates are by their nature imprecise and can be expected to be revised over time because of changes in government regulations, operations, technology and inflation. Recoveries are evaluated separately from the liability and, when recovery is assured, the Company records and reports an asset separately from the associated liability. Based upon management’s current assessment of its environmental responsibilities, it does not believe that any reclamation or remediation liability exists at December 31, 2015. |
New Accounting Pronouncements, Policy [Policy Text Block] | Recent Accounting Pronouncements In May 2014, the Financial Accounting Standards Board (“FASB”) issued new accounting guidance, Accounting Standards Update (“ASU”) No. 2014-09, Revenue from Contracts with Customers, on revenue recognition. The new standard provides for a single five-step model to be applied to all revenue contracts with customers as well as requires additional financial statement disclosures that will enable users to understand the nature, amount, timing and uncertainty of revenue and cash flows relating to customer contracts. Companies have an option to use either a retrospective approach or cumulative effect adjustment approach to implement the standard. Accounting Standards Update No. 2014-09 is effective for annual reporting periods beginning after December 15, 2017, including interim periods within that reporting period. Early adoption is permitted, but not before the original effective date of the standard. The Company is currently evaluating the impact of the new guidance on our consolidated financial statements. On June 2014, the FASB issued ASU No. 2014-12, Accounting for Share-Based Payments When the Terms of an Award Provide That a Performance Target Could Be Achieved after the Requisite Service Period, which clarifies that entities should treat performance targets that can be met after the requisite service period of a share-based payment award as performance conditions that affect vesting. Under the ASU, an entity would not record compensation expense related to an award for which transfer to the employee is contingent on the entity’s satisfaction of a performance target until it becomes probable that the performance target will be met. The adoption of this ASU will be required, either on a retrospective basis or prospective basis, beginning with the quarter ending March 31, 2016. The adoption of this ASU is not expected to have a material impact on our consolidated financial statements. In August 2014, the FASB issued ASU No. 2014-15, “Presentation of Financial Statements – Going Concern (Subtopic 205-10): Disclosure of Uncertainties about an Entity’s Ability to Continue as a Going Concern” (“ASU 2014-15”) ASU 2014-15 is intended to define management’s responsibility to evaluate whether there is substantial doubt about an entity’s ability to continue as a going concern and to provide related footnote disclosures. Specifically, ASU 2014-15 provides a definition of the term substantial doubt and requires an assessment for a period of one year after the date the financial statements are issued. It also requires certain disclosures when substantial doubt is alleviated as a result of consideration of management’s plans and requires an express statement and other disclosures when substantial doubt is not alleviated. The new standard will be effective for reporting periods beginning after December 15, 2016 with early adoption permitted. Management is currently evaluating the impact of the adoption of ASU 2014-14 on our financial disclosures. In April 2015, the FASB issued an ASU 2015-03, which requires that debt issuance costs be presented in the balance sheet as a direct reduction to the carrying amount of the associated debt liability, consistent with debt discounts. Currently debt issuance costs are recognized as an asset. The ASU is effective for the Company in the first quarter of 2016 and is required to be applied retrospectively. Early adoption is permitted. The Company does not expect the adoption of this standard to have a material impact on its balance sheets. In February 2016, the FASB issued ASU No. 2016-02, Leases, which is effective for fiscal years, and interim periods within those years, beginning after December 15, 2018 with early adoption permitted. Under Accounting Standards Update 2016-02, lessees will be required to recognize for all 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-to-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. The Company is currently evaluating the effect that the new guidance will have on its financial statements and related disclosures. |
Note 3 - Summary of Significa25
Note 3 - Summary of Significant Accounting Policies (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Notes Tables | |
Property, Plant and Equipment [Table Text Block] | Estimated Useful Life (years) Building and Building Improvements 5 – 40 Mining equipment 2 – 7 Office and shop furniture and equipment 3 – 7 Vehicles 5 |
Note 4 - Property and Equipme26
Note 4 - Property and Equipment (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Notes Tables | |
Property, Plant, And Equipment, Carrying Value [Table Text Block] | 2015 2014 Land (a) $ 500,000 $ 945,180 Land improvements 164,758 164,758 Buildings 3,116,515 3,308,465 Mining equipment 1,697,583 1,684,197 Milling equipment 2,702,969 2,620,300 Laboratory equipment 594,451 594,451 Office equipment 69,625 72,174 Vehicles 148,673 148,673 8,994,574 9,538,198 Less: Accumulated depreciation 3,787,749 2,482,324 Total $ 5,206,825 $ 7,055,874 |
Note 6 - Fair Value Measureme27
Note 6 - Fair Value Measurement and Financial Instruments (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Notes Tables | |
Fair Value, Liabilities Measured on Recurring Basis [Table Text Block] | Fair value measurement using inputs Carrying amount Level 1 Level 2 Level 3 December 31, 2015 December 31, 2014 Financial instruments: Series 2023 Note Derivative $ -0- $ -0- $ 262,764 $ 262,764 $ 478,149 Series A Note Derivative $ -0- $ -0- $ 4,876,093 $ 4,876,093 $ 9,557,476 |
Fair Value, Net Derivative Asset (Liability) Measured on Recurring Basis, Unobservable Input Reconciliation [Table Text Block] | 2015 2014 Balance at beginning of year $ 10,035,625 $ 0 Transfer to Level 3 0 2,250,000 Issuance of additional Series 2023 Notes 36,665 44,138 Issuance of additional Series A Notes 395,082 9,212,285 Net unrealized gain included in operations (5,328,515 ) (1,470,798 ) Balance at December 31, 2015 $ 5,138,857 $ 10,035,625 |
Schedule of Share-based Payment Award, Employee Stock Purchase Plan, Valuation Assumptions [Table Text Block] | Series 2023 Note derivative liability Fair Value Measurements Using Inputs December 31, 2015 December 31, 2014 Market price and estimated fair value of stock $ 0.28 $ 0.73 Exercise price $ 1.36 $ 1.33 Term (years) 7.58 8.58 Dividend yield $ -0- $ -0- Expected volatility * 72.9 % 52.0 % Risk-free interest rate 2.12 % 2.08 % Series A Note derivative liability Fair Value Measurements Using Inputs December 31, 2015 December 31, 2014 Market price and estimated fair value of stock $ 0.28 $ 0.73 Exercise price $ 0.92 $ 0.92 Term (years) 2.82 3.83 Dividend yield $ -0- $ -0- Expected volatility 72.9 % 52.0 % Risk-free interest rate 2.12 % 2.08 % |
Note 7 - Notes Payable (Tables)
Note 7 - Notes Payable (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Notes Tables | |
Schedule of Debt [Table Text Block] | December 31, 2015 2014 Note payable for mining equipment, payable $950 monthly, including interest (a) $ 3,714 $ 14,057 Note payable for mining equipment, payable $6,060 monthly, including interest (b) -- 6,033 Note payable for equipment, payable $9,122 monthly, including interest (c) -- 18,246 Note payable for equipment, payable $1,339 monthly, including interest (d) 42,235 55,720 Note payable for mine site vehicle, payable $628 monthly (e) 13,196 20,736 Note payable to an insurance company, payable $21,531monthly, including interest (f) -- 149,036 Note payable to an insurance company, payable $6,094 monthly, including interest (g) -- 42,211 Note payable to an insurance company, payable $9,055 monthly, including interest (h) 60,953 -- Note payable to an insurance company, payable $18,609 monthly, including interest (i) 124,019 -- 244,117 306,039 Less: Current Portion (210,429 ) (246,894 ) Notes Payable, Long-Term Portion $ 33,688 $ 59,145 |
Schedule of Maturities of Long-term Debt [Table Text Block] | 2016 $ 210,429 2017 20,615 2018 13,073 Total Notes Payable $ 244,117 |
Note 8 - Convertible Debt (PI29
Note 8 - Convertible Debt (PIK Notes) (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Notes Tables | |
Convertible Debt [Table Text Block] | Series 2023 Notes Series A Notes Total PIK Note Payable, Gross $ 12,762,816 $ 21,882,955 $ 34,645,771 Less: Discount (1,854,894 ) (15,717,991 ) (17,572,885 ) PIK Note Payable, Net $ 10,907,922 $ 6,164,964 $ 17,072,886 PIK Note Derivative Liability $ 262,764 $ 4,876,093 $ 5,138,857 Series 2023 Notes Series A Notes Total PIK Note Payable, Gross $ 11,576,250 $ 19,848,486 $ 31,424,736 Less: Discount (1,949,555 ) (16,450,742 ) (18,400,297 ) PIK Note Payable, Net $ 9,626,695 $ 3,397,744 $ 13,024,439 PIK Note Derivative Liability $ 478,149 $ 9,557,476 $ 10,035,625 |
Note 10 - Options and Warrant30
Note 10 - Options and Warrants to Purchase Common Stock (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Notes Tables | |
Schedule of Stockholders' Equity Note, Warrants or Rights [Table Text Block] | Warrants Outstanding and Exercisable Exercise Price Number Outstanding Weighted Average Remaining Contractual Life (years) Weighted Average Exercise Price $ 0.78 213,402 0.09 $ 0.78 $ 1.15 461,340 5.33 $ 1.15 $ 2.00 54,367 0.59 $ 2.00 729,109 3.44 $ 1.11 |
Schedule of Share-based Payment Award, Stock Options, Valuation Assumptions [Table Text Block] | 2015 2014 Dividend Yield 0 % 0 % Expected Life (in years) 7.00 5.5 Expected Volatility 72.9 % 56.1 % Risk Free Interest Rate 2.00 % 1.79 % |
Schedule of Share-based Compensation, Stock Options, Activity [Table Text Block] | December 31, 2015 December 31, 2014 Weighted Weighted Average Average Shares Exercise Price Shares Exercise Price Outstanding at beginning of period 17,053,116 $ 1.02 15,878,116 $ 1.03 Issued 1,138,356 0.63 1,175,000 0.84 Exercised -- -- -- -- Forfeited (235,000 ) $ 0.77 -- -- Outstanding at end of period 17,956,472 $ 1.00 17,053,116 $ 1.02 |
Summary Of Vesting Information For Stock Options [Table Text Block] | Vesting Information Shares Frequency Begin Date End Date 200,000 Immediately 2/12/2015 2/12/2015 38,356 Immediately 4/15/2015 4/15/2015 100,000 Monthly 4/7/2015 4/7/2016 100,000 Monthly 9/16/2015 9/16/2016 200,000 Annually 2/5/2015 2/5/2018 350,000 Annually 6/1/2015 6/1/2018 150,000 Annually 11/10/2015 11/10/2018 |
Schedule of Share-based Compensation, Shares Authorized under Stock Option Plans, by Exercise Price Range [Table Text Block] | Options Outstanding Options Exercisable Weighted Average Weighted Weighted Average Average Exercise Number Exercise Number Outstanding Life (years) Price Exercisable Price 100,000 4.72 $ 0.22 25,002 $ 0.22 150,000 4.87 $ 0.50 -0- $ N/A 200,000 9.13 $ 0.66 200,000 $ 0.66 150,000 9.11 $ 0.68 -0- $ N/A 7,233,277 2.99 $ 0.70 7,233,277 $ 0.70 488,356 9.38 $ 0.73 94,178 $ 0.73 3,405,134 5.69 $ 0.83 3,405,134 $ 0.83 975,000 8.45 $ 0.84 691,667 $ 0.84 300,000 7.64 $ 1.10 200,000 $ 1.10 300,000 7.48 $ 1.15 233,333 $ 1.15 100,000 2.09 $ 1.24 100,000 $ 1.24 115,000 5.24 $ 1.35 115,000 $ 1.35 125,000 2.09 $ 1.45 125,000 $ 1.45 330,000 5.95 $ 1.55 330,000 $ 1.55 7,645 2.09 $ 1.58 7,645 $ 1.58 3,077,060 6.89 $ 1.66 3,077,060 $ 1.66 900,000 5.64 $ 1.90 900,000 $ 1.90 17,956,472 5.12 $ 1.00 16,737,296 $ 1.01 |
Note 12 - Income Taxes (Tables)
Note 12 - Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Notes Tables | |
Schedule of Deferred Tax Assets and Liabilities [Table Text Block] | December 31, 2015 December 31, 2014 Deferred tax assets: Net operating loss carryforward $ 28,475,616 $ 23,246,809 Stock-based compensation 4,240,612 4,121,311 Total deferred tax assets 32,716,228 27,368,120 Deferred tax liabilities: Fixed assets (348,869 ) (673,241 ) Less: valuation allowance (32,367,359 ) (26,694,879 ) $ -- $ -- |
Schedule of Effective Income Tax Rate Reconciliation [Table Text Block] | December 31, 2015 December 31, 2014 December 31, 2013 Federal statutory rate $ (3,457,068 ) 35.0 % $ (3,610,711 ) 35.0 % $ (4,572,234 ) 35.0 % State income taxes – Idaho (7,652 ) 0.1 % (11,016 ) 0.1 % (14,264 ) 0.1 % State income taxes - Utah (243,973 ) 2.5 % (239,093 ) 2.3 % (199,166 ) 1.5 % State and local income taxes - NY (30,468 ) 0.3 % (46,372 ) 0.4 % (58,721 ) 0.5 % Change in valuation allowance related to derivatives 5,672,480 (57.5% ) 4,935,302 (47.8% ) 5,034,877 (39.0% ) Net nontaxable income related to derivatives (2,005,896 ) 20.3 % (843,861 ) 8.2 % (290,623 ) 2.2 % Miscellaneous 72,577 (0.70% ) (184,249 ) 2.0 % 100,131 (0.3% ) $ -- 0 % $ -- 0 % $ -- 0 % |
Note 13 - Related Parties (Tabl
Note 13 - Related Parties (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Notes Tables | |
Schedule of Related Party Transactions [Table Text Block] | Investor Investment OID/Discount Principal Shares Issuable at 0.92 (excluding interest) IBS Turnaround Fund (A Limited Partnership) $ 531,960 $ 0.66 $ 806,000 876,087 IBS Turnaround Fund QP (A Limited Partnership) 1,118,040 0.66 1,694,000 1,841,304 IBS Opportunity Fund, Ltd. 350,000 0.66 530,303 576,416 $ 2,000,000 $ 3,030,303 3,293,807 |
Note 15 - Financial Informati33
Note 15 - Financial Information by Quarter (Unaudited) (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Notes Tables | |
Schedule of Quarterly Financial Information [Table Text Block] | 2015 For Quarter Ended December 31 September 30 June 30 March 31 Revenue $ 235,586 $ 43,293 $ 65,848 $ 162,747 Operating loss $ (2,022,257 ) $ (2,415,818 ) $ (2,803,433 ) $ (2,675,300 ) Net income (loss) $ (4,674,752 ) $ 1,792,956 $ (2,728,876 ) $ (4,194,465 ) Income (Loss) Per Share (Basic and Diluted) $ (0.02 ) $ 0.02 $ (0.03 ) $ (0.04 ) 2014 For Quarter Ended December 31 September 30 June 30 March 31 Revenue $ 119,533 $ 55,681 $ 47,993 $ 11,014 Operating loss $ (3,147,929 ) $ (2,389,291 ) $ (2,712,065 ) $ (2,552,293 ) Net loss $ (4,346,638 ) $ (2,576,750 ) $ (3,035,704 ) $ (357,225 ) Loss Per Share (Basic and Diluted) $ (0.05 ) $ (0.03 ) $ (0.03 ) $ (0.00 ) |
Schedule II - Valuation and Q34
Schedule II - Valuation and Qualifying Accounts (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Notes Tables | |
Summary of Valuation Allowance [Table Text Block] | Balance at Beginning of Year Additions Charged to Expenses/ Other Accounts Net (Deductions) Recoveries Balance at End of Year Allowance for doubtful accounts 2015 $-- $-- $-- $-- 2014 $-- $-- $-- $-- 2013 $25,106 $-- $25,106 $-- Valuation allowance for deferred tax assets 2015 $26,694,879 $5,672,480 $-- $32,367,359 2014 $21,759,577 $4,935,302 $-- $26,694,879 2013 $16,724,700 $5,034,877 $-- $21,759,577 |
Note 2 - Liquidity and Basis 35
Note 2 - Liquidity and Basis of Presentation (Details Textual) | Mar. 23, 2016USD ($) | Nov. 03, 2015USD ($) | Nov. 02, 2015USD ($) | Nov. 03, 2014USD ($) | Jan. 31, 2016USD ($) | Dec. 31, 2015USD ($) | Nov. 30, 2014USD ($) | Aug. 31, 2013USD ($) | Dec. 31, 2015USD ($) | Sep. 30, 2015USD ($) | Jun. 30, 2015USD ($) | Mar. 31, 2015USD ($) | Dec. 31, 2014USD ($) | Sep. 30, 2014USD ($) | Jun. 30, 2014USD ($) | Mar. 31, 2014USD ($) | Dec. 31, 2015USD ($) | Dec. 31, 2014USD ($) | Dec. 31, 2013USD ($) | Dec. 31, 2014USD ($) | Dec. 15, 2015a |
Payment in Kind (PIK) Note [Member] | Series A Notes [Member] | |||||||||||||||||||||
Proceeds from Convertible Debt | $ 12,500,000 | $ 12,500,000 | |||||||||||||||||||
Payment in Kind (PIK) Note [Member] | |||||||||||||||||||||
Proceeds from Convertible Debt | $ 23,000,000 | ||||||||||||||||||||
Non-core [Member] | Subsequent Event [Member] | |||||||||||||||||||||
Disposal Group, Including Discontinued Operation, Consideration | $ 172,948 | ||||||||||||||||||||
Proceeds from Sale of Real Estate | $ 155,187 | ||||||||||||||||||||
Non-core [Member] | |||||||||||||||||||||
Number of Real Estate Properties | 4 | ||||||||||||||||||||
Area of Real Estate Property | a | 1,017 | ||||||||||||||||||||
Real Estate, Number Of Properties Sold | 3 | ||||||||||||||||||||
Real Estate, Number Of Properties Not Sold | 1 | ||||||||||||||||||||
Subsequent Event [Member] | |||||||||||||||||||||
Proceeds from Sale of Real Estate | $ 418,000 | ||||||||||||||||||||
Proceeds from Sale of Real Estate, Net | $ 380,000 | ||||||||||||||||||||
Premium Paid to Auction | 10.00% | ||||||||||||||||||||
Exclusive Supply Agreement, Term | 5 years | ||||||||||||||||||||
Net Income (Loss) Attributable to Parent | $ (4,674,752) | $ 1,792,956 | $ (2,728,876) | $ (4,194,465) | $ (4,346,638) | $ (2,576,750) | $ (3,035,704) | $ (357,225) | $ (9,805,137) | $ (10,316,317) | $ (13,063,526) | ||||||||||
Net Cash Provided by (Used in) Operating Activities, Continuing Operations | (8,585,557) | (8,003,851) | (8,205,101) | ||||||||||||||||||
Working Capital | $ 563,324 | $ 563,324 | $ 563,324 | ||||||||||||||||||
Proceeds from Convertible Debt | $ 10,500,000 | $ 12,499,998 | $ 10,500,000 | ||||||||||||||||||
Initial Purchase Order | $ 5,000,000 | ||||||||||||||||||||
Product Delivery Period | 1 year 180 days | ||||||||||||||||||||
Annual Fixed Costs | $ 6,000,000 | $ 9,000,000 |
Note 3 - Summary of Significa36
Note 3 - Summary of Significant Accounting Policies (Details Textual) | 12 Months Ended | ||
Dec. 31, 2015USD ($)a | Dec. 31, 2014USD ($) | Dec. 31, 2013USD ($) | |
Park Copper Mining Company [Member] | |||
Volume Of Timber And Mineral Property Held | a | 100 | ||
Allowance for Doubtful Accounts Receivable | $ 0 | $ 0 | |
Unrecognized Tax Benefits | 0 | 0 | |
Depreciation | $ 1,312,585 | $ 1,164,366 | $ 317,570 |
Note 3 - Property and Equipment
Note 3 - Property and Equipment (Details) | 12 Months Ended |
Dec. 31, 2015 | |
Building and Building Improvements [Member] | Minimum [Member] | |
Property, Plant and Equipment, Useful Life | 5 years |
Building and Building Improvements [Member] | Maximum [Member] | |
Property, Plant and Equipment, Useful Life | 40 years |
Mining Equipment [Member] | Minimum [Member] | |
Property, Plant and Equipment, Useful Life | 2 years |
Mining Equipment [Member] | Maximum [Member] | |
Property, Plant and Equipment, Useful Life | 7 years |
Furniture and Fixtures [Member] | Minimum [Member] | |
Property, Plant and Equipment, Useful Life | 3 years |
Furniture and Fixtures [Member] | Maximum [Member] | |
Property, Plant and Equipment, Useful Life | 7 years |
Vehicles [Member] | |
Property, Plant and Equipment, Useful Life | 5 years |
Note 4 - Property and Equipme38
Note 4 - Property and Equipment (Details Textual) - USD ($) | Dec. 31, 2015 | Dec. 31, 2014 |
Dragon Mine [Member] | ||
Disposal Group, Including Discontinued Operation, Other Assets, Noncurrent | $ 500,000 | |
Contract Mining Operations [Member] | ||
Disposal Group, Including Discontinued Operation, Other Assets, Noncurrent | $ 445,180 |
Note 4 - Property, Plant, and E
Note 4 - Property, Plant, and Equipment (Details) - USD ($) | Dec. 31, 2015 | Dec. 31, 2014 | |
Land [Member] | |||
Property, Plant and Equipment, Gross | [1] | $ 500,000 | $ 945,180 |
Land Improvements [Member] | |||
Property, Plant and Equipment, Gross | 164,758 | 164,758 | |
Building [Member] | |||
Property, Plant and Equipment, Gross | 3,116,515 | 3,308,465 | |
Mining Equipment [Member] | |||
Property, Plant and Equipment, Gross | 1,697,583 | 1,684,197 | |
Milling Equipment [Member] | |||
Property, Plant and Equipment, Gross | 2,702,969 | 2,620,300 | |
Laboratory Equipment [Member] | |||
Property, Plant and Equipment, Gross | 594,451 | 594,451 | |
Office Equipment [Member] | |||
Property, Plant and Equipment, Gross | 69,625 | 72,174 | |
Vehicles [Member] | |||
Property, Plant and Equipment, Gross | 148,673 | 148,673 | |
Property, Plant and Equipment, Gross | 8,994,574 | 9,538,198 | |
Less: Accumulated depreciation | 3,787,749 | 2,482,324 | |
Total | $ 5,206,825 | $ 7,055,874 | |
[1] | Year 2015 value is the Dragon Mine, with a carrying value of $500,000. Year 2014 value includes the Atlas Mine near Mullan, Idaho with a carrying value of $445,180 (Note 5), and the Dragon Mine with a carrying value of $500,000. |
Note 5 - Asset Held for Sale (D
Note 5 - Asset Held for Sale (Details Textual) | Mar. 23, 2016USD ($) | Jan. 31, 2016USD ($) | Dec. 31, 2015USD ($) | Dec. 15, 2015 | Dec. 31, 2014USD ($) |
Non-core [Member] | Subsequent Event [Member] | |||||
Disposal Group, Including Discontinued Operation, Consideration | $ 172,948 | ||||
Proceeds from Sale of Real Estate | 155,187 | ||||
Proceeds from Sale of Real Estate, Allocated to Selling Expense | $ 17,761 | ||||
Non-core [Member] | |||||
Number of Real Estate Properties | 4 | ||||
Real Estate, Number Of Properties Sold | 3 | ||||
Subsequent Event [Member] | |||||
Proceeds from Sale of Real Estate | $ 418,000 | ||||
Proceeds from Sale of Real Estate, Net | $ 380,000 | ||||
Premium Paid to Auction | 10.00% | ||||
Assets Held-for-sale, Not Part of Disposal Group | $ 445,180 | $ 0 |
Note 6 - Fair Value Measureme41
Note 6 - Fair Value Measurement and Financial Instruments (Details Textual) - USD ($) | 3 Months Ended | ||
Mar. 31, 2014 | Dec. 31, 2015 | Dec. 31, 2014 | |
Payment in Kind (PIK) Note [Member] | Fair Value, Inputs, Level 3 [Member] | |||
Convertible Debt, Fair Value Disclosures | $ 21,800,000 | $ 27,500,000 | |
Warrant Derivative Liability [Member] | |||
DerivativeLiabilitiesChangeInValuation | $ (118,500) | ||
PIK Note Derivative Liability [Member] | |||
DerivativeLiabilitiesChangeInValuation | $ (126,000) |
Note 6 - Liabilities Measured a
Note 6 - Liabilities Measured at Fair Value on a Recurring Basis (Details) - USD ($) | Dec. 31, 2015 | Dec. 31, 2014 |
Series 2023 PIK Note Derivative Liability [Member] | Fair Value, Inputs, Level 1 [Member] | ||
Derivative liability | $ 0 | |
Series 2023 PIK Note Derivative Liability [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Derivative liability | 0 | |
Series 2023 PIK Note Derivative Liability [Member] | Fair Value, Inputs, Level 3 [Member] | ||
Derivative liability | 262,764 | |
Series 2023 PIK Note Derivative Liability [Member] | ||
Derivative liability | 262,764 | $ 478,149 |
Series A PIK Note Derivative Liability [Member] | Fair Value, Inputs, Level 1 [Member] | ||
Derivative liability | 0 | |
Series A PIK Note Derivative Liability [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Derivative liability | 0 | |
Series A PIK Note Derivative Liability [Member] | Fair Value, Inputs, Level 3 [Member] | ||
Derivative liability | 4,876,093 | |
Series A PIK Note Derivative Liability [Member] | ||
Derivative liability | $ 4,876,093 | $ 9,557,476 |
Note 6 - Derivatives Measured a
Note 6 - Derivatives Measured at Fair Value (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2015 | Dec. 31, 2014 | |
Series 2023 PIK Note Derivative Liability [Member] | Fair Value, Inputs, Level 3 [Member] | ||
Derivative Issuance | $ 36,665 | $ 44,138 |
Series A PIK Note Derivative Liability [Member] | Fair Value, Inputs, Level 3 [Member] | ||
Derivative Issuance | 395,082 | 9,212,285 |
Balance at beginning of year | 10,035,625 | 0 |
Transfer to Level 3 | 0 | 2,250,000 |
Net unrealized gain included in operations | (5,328,515) | (1,470,798) |
Balance at December 31, 2015 | $ 5,138,857 | $ 10,035,625 |
Note 6 - Valuation Assumptions
Note 6 - Valuation Assumptions (Details) - Fair Value, Inputs, Level 3 [Member] - $ / shares | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | ||
Series 2023 PIK Note Derivative Liability [Member] | |||
Share Price | $ 0.28 | $ 0.73 | |
Exercise price (in dollars per share) | $ 1.36 | $ 1.33 | |
Term (years) | 7 years 211 days | 8 years 211 days | |
Expected volatility | [1] | 72.90% | 52.00% |
Risk-free interest rate | 2.12% | 2.08% | |
Series A PIK Note Derivative Liability [Member] | |||
Share Price | $ 0.28 | $ 0.73 | |
Exercise price (in dollars per share) | $ 0.92 | $ 0.92 | |
Term (years) | 2 years 299 days | 3 years 302 days | |
Expected volatility | 72.90% | 52.00% | |
Risk-free interest rate | 2.12% | 2.08% | |
[1] | During the first quarter of 2014, the Company revised its assumption for expected volatility by switching from a peer-group average volatility to the Company’s three-year historical volatility in measuring the value of the derivative liabilities mentioned above. Prior to 2011, the occurrence of certain corporate events would not have made the historical volatility calculations meaningful or accurate if included. This reduction in volatility led to a reduced valuation for both the Warrant and Series 2023 Note derivative liabilities of approximately $118,500 and $126,000, respectively, in 2015. The remaining decrease in the valuation is attributable to the decline in stock price. |
Note 7 - Notes Payable (Details
Note 7 - Notes Payable (Details Textual) - USD ($) | Oct. 31, 2014 | Apr. 01, 2014 | Sep. 20, 2012 | Jul. 23, 2012 | Apr. 17, 2012 | Dec. 31, 2015 | Dec. 31, 2014 | Oct. 21, 2015 | Oct. 17, 2015 | Oct. 17, 2014 |
Note Payable Mining Equipment 2 [Member] | ||||||||||
Debt Instrument, Face Amount | $ 40,565 | |||||||||
Debt Instrument, Interest Rate, Effective Percentage | 11.279% | |||||||||
Debt Instrument, Periodic Payment | $ 950 | $ 6,060 | $ 6,060 | |||||||
Debt Instrument, Term | 4 years | |||||||||
Note Payable Mining Equipment 3 [Member] | ||||||||||
Debt Instrument, Face Amount | $ 169,500 | |||||||||
Debt Instrument, Periodic Payment | $ 6,060 | 9,122 | 9,122 | |||||||
Debt Instrument, Term | 2 years 180 days | |||||||||
Debt Instrument, Interest Rate, Stated Percentage | 5.50% | |||||||||
Note Payable for Laboratory Equipment [Member] | ||||||||||
Debt Instrument, Face Amount | $ 91,229 | |||||||||
Debt Instrument, Periodic Payment | $ 9,122 | |||||||||
Debt Instrument, Term | 300 days | |||||||||
Note Payable, Mining Equipment, Purchased in October 2014 [Member] | ||||||||||
Debt Instrument, Face Amount | $ 57,900 | |||||||||
Debt Instrument, Periodic Payment | $ 1,339 | |||||||||
Debt Instrument, Term | 4 years | |||||||||
Debt Instrument, Interest Rate, Stated Percentage | 5.20% | |||||||||
Note Payable Mining Site Vehicle [Member] | ||||||||||
Debt Instrument, Face Amount | $ 37,701 | |||||||||
Debt Instrument, Periodic Payment | $ 628 | 628 | 628 | |||||||
Debt Instrument, Term | 5 years | |||||||||
Note Payable Insurance Company [Member] | ||||||||||
Debt Instrument, Periodic Payment | 21,531 | 21,531 | ||||||||
Debt Instrument, Interest Rate, Stated Percentage | 3.15% | |||||||||
Note Payable Insurance Company 1 [Member] | ||||||||||
Debt Instrument, Interest Rate, Stated Percentage | 11.845% | 3.00% | 4.732% | |||||||
Laboratory Equipment [Member] | ||||||||||
Property, Plant and Equipment, Gross | $ 109,493 | 594,451 | 594,451 | |||||||
Mining Equipment [Member] | ||||||||||
Property, Plant and Equipment, Gross | $ 65,120 | 1,697,583 | 1,684,197 | |||||||
Property, Plant and Equipment, Gross | 8,994,574 | 9,538,198 | ||||||||
Debt Instrument, Periodic Payment, Interest | $ 12,839 | $ 10,460 |
Note 7 - Summary of Note Payabl
Note 7 - Summary of Note Payable (Details) - USD ($) | Dec. 31, 2015 | Dec. 31, 2014 | |
Note Payable Mining Equipment [Member] | |||
Note payable | [1] | $ 3,714 | $ 14,057 |
Note Payable Mining Equipment 2 [Member] | |||
Note payable | [2] | 6,033 | |
Note Payable Mining Equipment 3 [Member] | |||
Note payable | [3] | 18,246 | |
Note Payable Mining Equipment 4 [Member] | |||
Note payable | $ 42,235 | 55,720 | |
Note Payable Mining Site Vehicle [Member] | |||
Note payable | $ 13,196 | 20,736 | |
Note Payable Insurance Company [Member] | |||
Note payable | 149,036 | ||
Note Payable Insurance Company 2 [Member] | |||
Note payable | [4] | $ 42,211 | |
Note Payable Insurance Company 3 [Member] | |||
Note payable | [5] | $ 60,953 | |
Note Payable Insurance Company 4 [Member] | |||
Note payable | 124,019 | ||
Note payable | 244,117 | $ 306,039 | |
Less: Current Portion | (210,429) | (246,894) | |
Notes Payable, Long-Term Portion | $ 33,688 | $ 59,145 | |
[1] | On October 31, 2014, the Company purchased mining equipment for $57,900 by issuing a note with an interest rate of 5.2%. The note is collateralized by the mining equipment with payments of $1,339 for 48 months, which started on November 30, 2014. | ||
[2] | On April 17, 2012, the Company purchased mining equipment for $40,565 by issuing a note with an effective interest rate of 11.279%. The note is collateralized by the mining equipment with payments of $950 for 48 months, which started on May 1, 2012. | ||
[3] | On April 16, 2014, the Company purchased lab equipment for $109,493 by depositing and issuing a non-interest bearing note in the amount of $91,229. The note is collateralized by the lab equipment with payments of $9,122 for ten months, which started in May 2014. | ||
[4] | The Company signed a note payable with an insurance company dated October 31, 2014 for directors’ and officers’ insurance, due in monthly installments, including interest at 3.15%. The note will mature on July 2015. | ||
[5] | The Company signed a note payable with an insurance company dated October 31, 2014 for liability insurance, due in monthly installments, including interest at 3.15%. The note will mature on July 2015. |
Note 7 - Summary of Note Paya47
Note 7 - Summary of Note Payable (Details) (Parentheticals) - USD ($) | 12 Months Ended | |
Dec. 31, 2015 | Dec. 31, 2014 | |
Note Payable Mining Equipment [Member] | ||
Note payable, monthly payment | $ 950 | $ 950 |
Note Payable Mining Equipment 2 [Member] | ||
Note payable, monthly payment | 6,060 | 6,060 |
Note Payable Mining Equipment 3 [Member] | ||
Note payable, monthly payment | 9,122 | 9,122 |
Note Payable Mining Equipment 4 [Member] | ||
Note payable, monthly payment | 1,339 | 1,339 |
Note Payable Mining Site Vehicle [Member] | ||
Note payable, monthly payment | 628 | 628 |
Note Payable Insurance Company [Member] | ||
Note payable, monthly payment | 21,531 | 21,531 |
Note Payable Insurance Company 2 [Member] | ||
Note payable, monthly payment | 6,094 | 6,094 |
Note Payable Insurance Company 3 [Member] | ||
Note payable, monthly payment | 9,055 | 9,055 |
Note Payable Insurance Company 4 [Member] | ||
Note payable, monthly payment | $ 18,609 | $ 18,609 |
Note 7 - Future Minimum Note Pa
Note 7 - Future Minimum Note Payments (Details) | Dec. 31, 2015USD ($) |
2,016 | $ 210,429 |
2,017 | 20,615 |
2,018 | 13,073 |
Total Notes Payable | $ 244,117 |
Note 8 - Convertible Debt (PI49
Note 8 - Convertible Debt (PIK Notes) (Details Textual) | Nov. 03, 2014USD ($)$ / shares | Aug. 05, 2013USD ($)$ / shares | Nov. 30, 2015USD ($) | Aug. 31, 2015USD ($) | May. 31, 2015USD ($) | Feb. 28, 2015USD ($) | Nov. 30, 2014USD ($) | Aug. 31, 2014USD ($) | Feb. 28, 2014USD ($) | Aug. 31, 2013USD ($) | Jun. 30, 2015USD ($)shares | Dec. 31, 2015USD ($)$ / shares | Dec. 31, 2014USD ($) | Dec. 31, 2013USD ($) | Dec. 31, 2014USD ($) |
Payment in Kind (PIK) Note [Member] | Series 2023 Notes [Member] | Result of Anti-Dilution Adjustment [Member] | |||||||||||||||
Debt Instrument, Convertible, Conversion Price | $ / shares | $ 1.36 | ||||||||||||||
Payment in Kind (PIK) Note [Member] | Series 2023 Notes [Member] | After Series A Notes Issuance [Member] | |||||||||||||||
Debt Instrument, Convertible, Number of Equity Instruments | 7,720,588 | ||||||||||||||
Payment in Kind (PIK) Note [Member] | Series 2023 Notes [Member] | Additional Discount from February and August 2015 Issuance [Member] | |||||||||||||||
Debt Instrument, Unamortized Discount | $ 36,665 | ||||||||||||||
Payment in Kind (PIK) Note [Member] | Series 2023 Notes [Member] | |||||||||||||||
Debt Instrument, Term | 10 years | ||||||||||||||
Proceeds from Convertible Debt | $ 10,500,000 | ||||||||||||||
Debt Instrument, Face Amount | $ 10,500,000 | 12,762,816 | $ 11,576,250 | $ 11,576,250 | |||||||||||
Debt Instrument, Interest Rate, Stated Percentage | 10.00% | ||||||||||||||
Debt Instrument, Convertible, Conversion Price | $ / shares | $ 1.40 | ||||||||||||||
Debt Instrument, Convertible, Beneficial Conversion Feature | $ 2,055,000 | ||||||||||||||
Debt Instrument, Unamortized Discount | 1,854,894 | 1,949,555 | 1,949,555 | ||||||||||||
Paid-in-Kind Interest | $ 607,753 | $ 578,813 | $ 551,250 | $ 525,000 | |||||||||||
Derivative Liability | 262,764 | 478,149 | 478,149 | ||||||||||||
Amortization of Debt Discount (Premium) | 131,326 | ||||||||||||||
Convertible Notes Payable | 10,907,922 | 9,626,695 | 9,626,695 | ||||||||||||
Debt Instrument, Convertible, Number of Equity Instruments | 7,500,000 | ||||||||||||||
Financial Instruments Subject to Mandatory Conversion Earliest Conversion | 1 year | ||||||||||||||
Financial Instrument Subject to Mandatory Conversion Period for Calculation of Conversion Feature | 10 days | ||||||||||||||
Payment in Kind (PIK) Note [Member] | Series A Notes [Member] | Minimum [Member] | |||||||||||||||
Convertible Debt, Number of Written Days Notice | 30 days | ||||||||||||||
Payment in Kind (PIK) Note [Member] | Series A Notes [Member] | Maximum [Member] | |||||||||||||||
Convertible Debt, Number of Written Days Notice | 90 days | ||||||||||||||
Payment in Kind (PIK) Note [Member] | Series A Notes [Member] | Result of Extension Option [Member] | |||||||||||||||
Debt Instrument, Convertible, Conversion Price | $ / shares | $ 0.10 | ||||||||||||||
Payment in Kind (PIK) Note [Member] | Series A Notes [Member] | Mandatory Conversion of Note if Condition 1 Exists [Member] | |||||||||||||||
Debt Instrument, Convertible, Threshold Consecutive Trading Days | 10 days | ||||||||||||||
Debt Instrument, Convertible, Stock Price Trigger | $ / shares | $ 1 | ||||||||||||||
Payment in Kind (PIK) Note [Member] | Series A Notes [Member] | Mandatory Conversion of Note if Condition 2 Exists [Member] | |||||||||||||||
Debt Instrument, Convertible, Threshold Consecutive Trading Days | 20 days | ||||||||||||||
Debt Instrument, Convertible, Stock Price Trigger | $ / shares | $ 1.40 | ||||||||||||||
Payment in Kind (PIK) Note [Member] | Series A Notes [Member] | Specified Event [Member] | |||||||||||||||
Debt Instrument, Interest Rate, Stated Percentage | 1.00% | ||||||||||||||
Payment in Kind (PIK) Note [Member] | Series A Notes [Member] | Combined Discount [Member] | |||||||||||||||
Debt Instrument, Unamortized Discount | $ 16,560,771 | ||||||||||||||
Payment in Kind (PIK) Note [Member] | Series A Notes [Member] | |||||||||||||||
Debt Instrument, Term | 4 years | ||||||||||||||
Proceeds from Convertible Debt | $ 12,500,000 | $ 12,500,000 | |||||||||||||
Debt Instrument, Face Amount | $ 19,848,486 | $ 21,882,955 | 19,848,486 | 19,848,486 | |||||||||||
Debt Instrument, Interest Rate, Stated Percentage | 10.00% | ||||||||||||||
Debt Instrument, Convertible, Conversion Price | $ / shares | $ 0.92 | $ 1.36 | |||||||||||||
Shares Issued For Liquidated Damages, Shares | shares | 1,015,086 | ||||||||||||||
Shares Issued For Liquidated Damages | $ 741,011 | ||||||||||||||
Debt Instrument, Convertible, Beneficial Conversion Feature | $ 9,212,285 | ||||||||||||||
Debt Instrument, Unamortized Discount | $ 7,348,486 | $ 15,717,991 | 16,450,742 | 16,450,742 | |||||||||||
Derivative Liability | 4,876,093 | 9,557,476 | 9,557,476 | ||||||||||||
Amortization of Debt Discount (Premium) | 732,751 | ||||||||||||||
Interest Payable | 2,034,469 | ||||||||||||||
Convertible Notes Payable | 6,164,964 | 3,397,744 | $ 3,397,744 | ||||||||||||
Payment in Kind (PIK) Note [Member] | Minimum [Member] | |||||||||||||||
Debt Instrument, Convertible, Remaining Discount Amortization Period | 2 years | ||||||||||||||
Payment in Kind (PIK) Note [Member] | |||||||||||||||
Proceeds from Convertible Debt | $ 23,000,000 | ||||||||||||||
Debt Instrument, Face Amount | 34,645,771 | 31,424,736 | 31,424,736 | ||||||||||||
Debt Instrument, Unamortized Discount | 17,572,885 | 18,400,297 | 18,400,297 | ||||||||||||
Paid-in-Kind Interest | $ 1,042,045 | $ 992,424 | |||||||||||||
Derivative Liability | 5,138,857 | 10,035,625 | 10,035,625 | ||||||||||||
Convertible Notes Payable | $ 17,072,886 | 13,024,439 | 13,024,439 | ||||||||||||
Proceeds from Convertible Debt | $ 10,500,000 | 12,499,998 | $ 10,500,000 | ||||||||||||
Accrued Liquidated Damages | $ 541,011 | 200,000 | 200,000 | ||||||||||||
Shares Issued For Liquidated Damages | 741,011 | ||||||||||||||
Debt Instrument, Unamortized Discount | 17,572,885 | 18,400,297 | 18,400,297 | ||||||||||||
Paid-in-Kind Interest | 3,221,035 | 1,076,250 | |||||||||||||
Derivative Liability | $ 5,138,857 | $ 10,035,625 | $ 0 | $ 10,035,625 |
Note 8 - Convertible Debt PIK N
Note 8 - Convertible Debt PIK Notes (Details) - USD ($) | Dec. 31, 2015 | Dec. 31, 2014 | Nov. 03, 2014 | Dec. 31, 2013 | Aug. 05, 2013 |
Payment in Kind (PIK) Note [Member] | Series 2023 Notes [Member] | |||||
Debt Instrument, Face Amount | $ 12,762,816 | $ 11,576,250 | $ 10,500,000 | ||
Less: Discount | (1,854,894) | (1,949,555) | |||
Convertible Notes Payable | 10,907,922 | 9,626,695 | |||
Derivative Liability | 262,764 | 478,149 | |||
Payment in Kind (PIK) Note [Member] | Series A Notes [Member] | |||||
Debt Instrument, Face Amount | 21,882,955 | 19,848,486 | $ 19,848,486 | ||
Less: Discount | (15,717,991) | (16,450,742) | $ (7,348,486) | ||
Convertible Notes Payable | 6,164,964 | 3,397,744 | |||
Derivative Liability | 4,876,093 | 9,557,476 | |||
Payment in Kind (PIK) Note [Member] | |||||
Debt Instrument, Face Amount | 34,645,771 | 31,424,736 | |||
Less: Discount | (17,572,885) | (18,400,297) | |||
Convertible Notes Payable | 17,072,886 | 13,024,439 | |||
Derivative Liability | 5,138,857 | 10,035,625 | |||
Less: Discount | (17,572,885) | (18,400,297) | |||
Derivative Liability | $ 5,138,857 | $ 10,035,625 | $ 0 |
Note 9 - Stockholders' Equity (
Note 9 - Stockholders' Equity (Details Textual) - USD ($) | Jan. 23, 2013 | Dec. 22, 2011 | Mar. 31, 2013 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | Nov. 20, 2012 |
Directors and Consultants [Member] | |||||||
Stock Issued During Period, Shares, Issued for Services | 1,045,788 | 408,539 | 269,812 | ||||
Stock Issued During Period, Value, Issued for Services | $ 379,936 | $ 327,269 | $ 316,475 | ||||
Common Stock [Member] | |||||||
Stock Issued During Period, Shares, Issued for Services | 1,045,788 | 408,539 | 269,812 | ||||
Stock Issued During Period, Value, Issued for Services | $ 1,046 | $ 409 | $ 270 | ||||
Stock Issued During Period, Shares, New Issues | 3,756,757 | 3,756,757 | |||||
Share Price | $ 1.48 | ||||||
Proceeds from Issuance of Common Stock | $ 5,560,000 | ||||||
Preferred Stock, Shares Outstanding | 0 | 0 | |||||
Preferred Stock, Shares Authorized | 10,000,000 | 10,000,000 | |||||
Preferred Stock, Par or Stated Value Per Share | $ 0.001 | $ 0.001 | |||||
Common Stock, Shares Authorized | 200,000,000 | 200,000,000 | 120,000,000 | ||||
Common Stock, Par or Stated Value Per Share | $ 0.001 | $ 0.001 | |||||
Common Stock, Shares, Outstanding | 97,144,736 | 95,054,552 | |||||
Stock Issued During Period, Value, Issued for Services | $ 379,936 | $ 327,269 | $ 316,475 | ||||
Stock Issued During Period, Shares, New Issues | 10,000,000 | 3,756,757 | |||||
Proceeds from Issuance of Common Stock | $ 5,560,000 | $ 5,560,000 |
Note 10 - Options and Warrant52
Note 10 - Options and Warrants to Purchase Common Stock (Details Textual) - USD ($) | Nov. 03, 2014 | Aug. 31, 2013 | Dec. 22, 2011 | Mar. 31, 2013 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | Nov. 20, 2012 |
LTIP [Member] | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized | 8,900,000 | |||||||
Employee Stock Option [Member] | ||||||||
Allocated Share-based Compensation Expense | $ 397,417 | $ 865,716 | $ 4,707,381 | |||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Intrinsic Value | 6,500 | |||||||
Employee Service Share-based Compensation, Nonvested Awards, Compensation Not yet Recognized, Stock Options | $ 354,284 | |||||||
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized, Period for Recognition | 5 years 43 days | |||||||
Warrants Issued | 5,000,000 | 0 | 0 | 0 | ||||
Stock Issued During Period, Shares, New Issues | 10,000,000 | 3,756,757 | ||||||
Class of Warrant or Right, Exercise Price of Warrants or Rights | $ 1.93 | $ 2 | $ 1.97 | $ 1.11 | ||||
Proceeds from Issuance of Common Stock | $ 5,560,000 | $ 5,560,000 | ||||||
Class of Warrant or Right, Exercise Price Adjustment | $ 0.04 | $ 0.03 | ||||||
Proceeds from Convertible Debt | $ 10,500,000 | $ 12,499,998 | 10,500,000 | |||||
Mandatorily Convertible PIK Notes, Interest Rate | 10.00% | |||||||
Warrants Cancelled During Period, Writeoff to Derivative Liability and Equity | $ 120,000 | |||||||
Unrealized Gain (Loss) on Derivatives | $ 830,000 | $ 995,000 | ||||||
Class of Warrant or Right, Expired During Period | 443,821 | |||||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross | 1,138,356 | 1,175,000 | ||||||
Share-based Compensation Arrangements by Share-based Payment Award, Options, Grants in Period, Weighted Average Exercise Price | $ 0.63 | $ 0.84 |
Note 10 - Summary of the Status
Note 10 - Summary of the Status of the Warrants Outstanding (Details) | 12 Months Ended |
Dec. 31, 2015$ / sharesshares | |
Exercise Price 1 [Member] | |
Number Outstanding (in shares) | shares | 213,402 |
Weighted Average Remaining Contractual Life | 32 days |
Class of Warrant or Right, Exercise Price of Warrants or Rights | $ / shares | $ 0.78 |
Exercise Price 4 [Member] | |
Number Outstanding (in shares) | shares | 461,340 |
Weighted Average Remaining Contractual Life | 5 years 120 days |
Class of Warrant or Right, Exercise Price of Warrants or Rights | $ / shares | $ 1.15 |
Exercise Price 5 [Member] | |
Number Outstanding (in shares) | shares | 54,367 |
Weighted Average Remaining Contractual Life | 215 days |
Class of Warrant or Right, Exercise Price of Warrants or Rights | $ / shares | $ 2 |
Number Outstanding (in shares) | shares | 729,109 |
Weighted Average Remaining Contractual Life | 3 years 160 days |
Class of Warrant or Right, Exercise Price of Warrants or Rights | $ / shares | $ 1.11 |
Note 10 - Significant Assumptio
Note 10 - Significant Assumptions Relating to the Valuation of Stock Options (Details) - Employee Stock Option [Member] | 12 Months Ended | |
Dec. 31, 2015 | Dec. 31, 2014 | |
Minimum [Member] | ||
Dividend Yield | 0.00% | |
Expected Life (in years) | 5 years 182 days | |
Expected Volatility | 56.10% | |
Risk Free Interest Rate | 1.79% | |
Dividend Yield | 0.00% | |
Expected Life (in years) | 7 years | |
Expected Volatility | 72.90% | |
Risk Free Interest Rate | 2.00% |
Note 10 - Summary of the Stat55
Note 10 - Summary of the Status and Changes of the Options Granted Under the Stock Option Plans and Other Agreements (Details) - $ / shares | 12 Months Ended | |
Dec. 31, 2015 | Dec. 31, 2014 | |
Outstanding at beginning of period (in shares) | 17,053,116 | 15,878,116 |
Outstanding at beginning of period (in dollars per share) | $ 1.02 | $ 1.03 |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross | 1,138,356 | 1,175,000 |
Share-based Compensation Arrangements by Share-based Payment Award, Options, Grants in Period, Weighted Average Exercise Price | $ 0.63 | $ 0.84 |
Forfeited (in shares) | (235,000) | |
Forfeited (in dollars per share) | $ 0.77 | |
Outstanding at end of period (in shares) | 17,956,472 | 17,053,116 |
Outstanding at end of period (in dollars per share) | $ 1 | $ 1.02 |
Note 10 - Summary of the Vestin
Note 10 - Summary of the Vesting Periods of Options (Details) | 12 Months Ended |
Dec. 31, 2015shares | |
Vesting Period from February 12 2015 to February 12 2015 [Member] | |
Stock Options Granted (in shares) | 200,000 |
Vesting Period from April 15 2015 to April 15 2015 [Member] | |
Stock Options Granted (in shares) | 38,356 |
Vesting Period from April 7 2015 to April 7 2016 [Member] | |
Stock Options Granted (in shares) | 100,000 |
Vesting Period From September, 16 2015 To September, 16 2016 [Member] | |
Stock Options Granted (in shares) | 100,000 |
Vesting Period from February 5 2015 to February 5 2018 [Member] | |
Stock Options Granted (in shares) | 200,000 |
Vesting Period from June 1 2015 to June 1 2018 [Member] | |
Stock Options Granted (in shares) | 350,000 |
Vesting Period from November 10 2015 to November 10 2018 [Member] | |
Stock Options Granted (in shares) | 150,000 |
Stock Options Granted (in shares) | 1,138,356 |
Note 10 - Summary of the Stat57
Note 10 - Summary of the Status of the Options Outstanding (Details) | 12 Months Ended |
Dec. 31, 2015$ / sharesshares | |
Exercise Price 1 [Member] | |
Options Outstanding, Number (in shares) | 100,000 |
Options Outstanding, Weighted Average Remaining Contractual Life | 4 years 262 days |
Options Outstanding, Weighted Average Exercise Price (in dollars per share) | $ / shares | $ 0.22 |
Options Exercisable, Number (in shares) | 25,002 |
Options Exercisable, Weighted Average Exercise Price (in dollars per share) | $ / shares | $ 0.22 |
Exercise Price 2 [Member] | |
Options Outstanding, Number (in shares) | 150,000 |
Options Outstanding, Weighted Average Remaining Contractual Life | 4 years 317 days |
Options Outstanding, Weighted Average Exercise Price (in dollars per share) | $ / shares | $ 0.50 |
Options Exercisable, Number (in shares) | 0 |
Exercise Price 3 [Member] | |
Options Outstanding, Number (in shares) | 200,000 |
Options Outstanding, Weighted Average Remaining Contractual Life | 9 years 47 days |
Options Outstanding, Weighted Average Exercise Price (in dollars per share) | $ / shares | $ 0.66 |
Options Exercisable, Number (in shares) | 200,000 |
Options Exercisable, Weighted Average Exercise Price (in dollars per share) | $ / shares | $ 0.66 |
Exercise Price 4 [Member] | |
Options Outstanding, Number (in shares) | 150,000 |
Options Outstanding, Weighted Average Remaining Contractual Life | 9 years 40 days |
Options Outstanding, Weighted Average Exercise Price (in dollars per share) | $ / shares | $ 0.68 |
Options Exercisable, Number (in shares) | 0 |
Exercise Price 5 [Member] | |
Options Outstanding, Number (in shares) | 7,233,277 |
Options Outstanding, Weighted Average Remaining Contractual Life | 2 years 361 days |
Options Outstanding, Weighted Average Exercise Price (in dollars per share) | $ / shares | $ 0.70 |
Options Exercisable, Number (in shares) | 7,233,277 |
Options Exercisable, Weighted Average Exercise Price (in dollars per share) | $ / shares | $ 0.70 |
Exercise Price 6 [Member] | |
Options Outstanding, Number (in shares) | 488,356 |
Options Outstanding, Weighted Average Remaining Contractual Life | 9 years 138 days |
Options Outstanding, Weighted Average Exercise Price (in dollars per share) | $ / shares | $ 0.73 |
Options Exercisable, Number (in shares) | 94,178 |
Options Exercisable, Weighted Average Exercise Price (in dollars per share) | $ / shares | $ 0.73 |
Exercise Price 7 [Member] | |
Options Outstanding, Number (in shares) | 3,405,134 |
Options Outstanding, Weighted Average Remaining Contractual Life | 5 years 251 days |
Options Outstanding, Weighted Average Exercise Price (in dollars per share) | $ / shares | $ 0.83 |
Options Exercisable, Number (in shares) | 3,405,134 |
Options Exercisable, Weighted Average Exercise Price (in dollars per share) | $ / shares | $ 0.83 |
Exercise Price 8 [Member] | |
Options Outstanding, Number (in shares) | 975,000 |
Options Outstanding, Weighted Average Remaining Contractual Life | 8 years 164 days |
Options Outstanding, Weighted Average Exercise Price (in dollars per share) | $ / shares | $ 0.84 |
Options Exercisable, Number (in shares) | 691,667 |
Options Exercisable, Weighted Average Exercise Price (in dollars per share) | $ / shares | $ 0.84 |
Exercise Price 9 [Member] | |
Options Outstanding, Number (in shares) | 300,000 |
Options Outstanding, Weighted Average Remaining Contractual Life | 7 years 233 days |
Options Outstanding, Weighted Average Exercise Price (in dollars per share) | $ / shares | $ 1.10 |
Options Exercisable, Number (in shares) | 200,000 |
Options Exercisable, Weighted Average Exercise Price (in dollars per share) | $ / shares | $ 1.10 |
Exercise Price 10 [Member] | |
Options Outstanding, Number (in shares) | 300,000 |
Options Outstanding, Weighted Average Remaining Contractual Life | 7 years 175 days |
Options Outstanding, Weighted Average Exercise Price (in dollars per share) | $ / shares | $ 1.15 |
Options Exercisable, Number (in shares) | 233,333 |
Options Exercisable, Weighted Average Exercise Price (in dollars per share) | $ / shares | $ 1.15 |
Exercise Price 11 [Member] | |
Options Outstanding, Number (in shares) | 100,000 |
Options Outstanding, Weighted Average Remaining Contractual Life | 2 years 32 days |
Options Outstanding, Weighted Average Exercise Price (in dollars per share) | $ / shares | $ 1.24 |
Options Exercisable, Number (in shares) | 100,000 |
Options Exercisable, Weighted Average Exercise Price (in dollars per share) | $ / shares | $ 1.24 |
Exercise Price 12 [Member] | |
Options Outstanding, Number (in shares) | 115,000 |
Options Outstanding, Weighted Average Remaining Contractual Life | 5 years 87 days |
Options Outstanding, Weighted Average Exercise Price (in dollars per share) | $ / shares | $ 1.35 |
Options Exercisable, Number (in shares) | 115,000 |
Options Exercisable, Weighted Average Exercise Price (in dollars per share) | $ / shares | $ 1.35 |
Exercise Price 13 [Member] | |
Options Outstanding, Number (in shares) | 125,000 |
Options Outstanding, Weighted Average Remaining Contractual Life | 2 years 32 days |
Options Outstanding, Weighted Average Exercise Price (in dollars per share) | $ / shares | $ 1.45 |
Options Exercisable, Number (in shares) | 125,000 |
Options Exercisable, Weighted Average Exercise Price (in dollars per share) | $ / shares | $ 1.45 |
Exercise Price 14 [Member] | |
Options Outstanding, Number (in shares) | 330,000 |
Options Outstanding, Weighted Average Remaining Contractual Life | 5 years 346 days |
Options Outstanding, Weighted Average Exercise Price (in dollars per share) | $ / shares | $ 1.55 |
Options Exercisable, Number (in shares) | 330,000 |
Options Exercisable, Weighted Average Exercise Price (in dollars per share) | $ / shares | $ 1.55 |
Exercise Price 15 [Member] | |
Options Outstanding, Number (in shares) | 7,645 |
Options Outstanding, Weighted Average Remaining Contractual Life | 2 years 32 days |
Options Outstanding, Weighted Average Exercise Price (in dollars per share) | $ / shares | $ 1.58 |
Options Exercisable, Number (in shares) | 7,645 |
Options Exercisable, Weighted Average Exercise Price (in dollars per share) | $ / shares | $ 1.58 |
Exercise Price 16 [Member] | |
Options Outstanding, Number (in shares) | 3,077,060 |
Options Outstanding, Weighted Average Remaining Contractual Life | 6 years 324 days |
Options Outstanding, Weighted Average Exercise Price (in dollars per share) | $ / shares | $ 1.66 |
Options Exercisable, Number (in shares) | 3,077,060 |
Options Exercisable, Weighted Average Exercise Price (in dollars per share) | $ / shares | $ 1.66 |
Exercise Price 17 [Member] | |
Options Outstanding, Number (in shares) | 900,000 |
Options Outstanding, Weighted Average Remaining Contractual Life | 5 years 233 days |
Options Outstanding, Weighted Average Exercise Price (in dollars per share) | $ / shares | $ 1.90 |
Options Exercisable, Number (in shares) | 900,000 |
Options Exercisable, Weighted Average Exercise Price (in dollars per share) | $ / shares | $ 1.90 |
Options Outstanding, Number (in shares) | 17,956,472 |
Options Outstanding, Weighted Average Remaining Contractual Life | 5 years 43 days |
Options Outstanding, Weighted Average Exercise Price (in dollars per share) | $ / shares | $ 1 |
Options Exercisable, Number (in shares) | 16,737,296 |
Options Exercisable, Weighted Average Exercise Price (in dollars per share) | $ / shares | $ 1.01 |
Note 11 - Per Share Data (Detai
Note 11 - Per Share Data (Details Textual) - shares | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Employee Stock Option [Member] | |||
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount | 17,956,742 | 17,053,116 | 15,878,166 |
Warrant [Member] | |||
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount | 729,109 | 1,172,930 | 6,240,930 |
Convertible Debt Securities [Member] | |||
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount | 33,170,241 | 30,086,389 | 7,500,000 |
Note 12 - Income Taxes (Details
Note 12 - Income Taxes (Details Textual) - USD ($) | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
State and Local Jurisdiction [Member] | IDAHO [Member] | |||
Effective Income Tax Rate Reconciliation, State and Local Income Taxes, Percent | 0.10% | 0.10% | 0.10% |
State and Local Jurisdiction [Member] | UTAH [Member] | |||
Effective Income Tax Rate Reconciliation, State and Local Income Taxes, Percent | 2.55% | 2.30% | 1.50% |
State and Local Jurisdiction [Member] | NEW YORK [Member] | |||
Effective Income Tax Rate Reconciliation, State and Local Income Taxes, Percent | 0.35% | 0.40% | 0.50% |
State and Local Jurisdiction [Member] | |||
Operating Loss Carryforwards | $ 51,205,132 | ||
Domestic Tax Authority [Member] | |||
Operating Loss Carryforwards | 76,126,103 | ||
Unrecognized Tax Benefits | $ 0 | $ 0 | |
Effective Income Tax Rate Reconciliation, at Federal Statutory Income Tax Rate, Percent | 35.00% | 35.00% | 35.00% |
Valuation Allowance, Deferred Tax Asset, Increase (Decrease), Amount | $ 5,672,480 | $ 4,935,303 | $ 5,034,877 |
Note 12 - Summary of Deferred T
Note 12 - Summary of Deferred Tax Assets (Details) - USD ($) | Dec. 31, 2015 | Dec. 31, 2014 |
Deferred tax assets: | ||
Net operating loss carryforward | $ 28,475,616 | $ 23,246,809 |
Stock-based compensation | 4,240,612 | 4,121,311 |
Total deferred tax assets | 32,716,228 | 27,368,120 |
Deferred tax liabilities: | ||
Fixed assets | (348,869) | (673,241) |
Less: valuation allowance | $ (32,367,359) | $ (26,694,879) |
Note 12 - Reconciliation of Dif
Note 12 - Reconciliation of Differences between Effective and Statutory Income Tax Rates (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
State and Local Jurisdiction [Member] | IDAHO [Member] | |||
State income taxes – Idaho | $ (7,652) | $ (11,016) | $ (14,264) |
Effective Income Tax Rate Reconciliation, State and Local Income Taxes, Percent | 0.10% | 0.10% | 0.10% |
State and Local Jurisdiction [Member] | UTAH [Member] | |||
State income taxes – Idaho | $ (243,973) | $ (239,093) | $ (199,166) |
Effective Income Tax Rate Reconciliation, State and Local Income Taxes, Percent | 2.55% | 2.30% | 1.50% |
State and Local Jurisdiction [Member] | NEW YORK [Member] | |||
State income taxes – Idaho | $ (30,468) | $ (46,372) | $ (58,721) |
Effective Income Tax Rate Reconciliation, State and Local Income Taxes, Percent | 0.35% | 0.40% | 0.50% |
Federal statutory rate | $ (3,457,068) | $ (3,610,711) | $ (4,572,234) |
Effective Income Tax Rate Reconciliation, at Federal Statutory Income Tax Rate, Percent | 35.00% | 35.00% | 35.00% |
Change in valuation allowance related to derivatives | $ 5,672,480 | $ 4,935,302 | $ 5,034,877 |
Change in valuation allowance related to derivatives | (57.50%) | (47.80%) | (39.00%) |
Net nontaxable income related to derivatives | $ (2,005,896) | $ (843,861) | $ (290,623) |
Net nontaxable income related to derivatives | 20.30% | 8.20% | 2.20% |
Miscellaneous | $ 72,577 | $ (184,249) | $ 100,131 |
Miscellaneous | (0.70%) | 2.00% | (0.30%) |
0.00% | 0.00% | 0.00% |
Note 13 - Related Party Transac
Note 13 - Related Party Transactions (Details) | Dec. 31, 2015USD ($)$ / sharesshares |
The IBS Turnaround Fund (LP) (A Limited Partnership) [Member] | IBS Capital LLC [Member] | |
Investment | $ 531,960 |
OID/Discount (in dollars per share) | $ / shares | $ 0.66 |
Principal | $ 806,000 |
Shares Issuable at 0.92, excluding interest (in shares) | shares | 876,087 |
The IBS Turnaround Fund (QP) (A Limited Partnership) [Member] | IBS Capital LLC [Member] | |
Investment | $ 1,118,040 |
OID/Discount (in dollars per share) | $ / shares | $ 0.66 |
Principal | $ 1,694,000 |
Shares Issuable at 0.92, excluding interest (in shares) | shares | 1,841,304 |
The IBS Opportunity Fund Ltd. [Member] | IBS Capital LLC [Member] | |
Investment | $ 350,000 |
OID/Discount (in dollars per share) | $ / shares | $ 0.66 |
Principal | $ 530,303 |
Shares Issuable at 0.92, excluding interest (in shares) | shares | 576,416 |
Investment | $ 2,000,000 |
Principal | $ 3,030,303 |
Shares Issuable at 0.92, excluding interest (in shares) | shares | 3,293,807 |
Note 14 - Commitments and Con63
Note 14 - Commitments and Contingencies (Details Textual) | Apr. 18, 2014USD ($) | Dec. 31, 2015USD ($) |
Office Space Leases [Member] | ||
Operating Leases Monthly Rent | $ 13,131 | |
Operating Leases, Future Minimum Payments Due | $ 157,575 | |
Loss Contingency, Damages Sought, Value | $ 346,000 | |
Number of Purchase Orders | 2 |
Note 15 - Quarterly Financial I
Note 15 - Quarterly Financial Information (Details) - USD ($) | 3 Months Ended | |||||||
Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | |
Revenue | $ 235,586 | $ 43,293 | $ 65,848 | $ 162,747 | $ 119,533 | $ 55,681 | $ 47,993 | $ 11,014 |
Operating loss | (2,022,257) | (2,415,818) | (2,803,433) | (2,675,300) | (3,147,929) | (2,389,291) | (2,712,065) | (2,552,293) |
Net income (loss) | $ (4,674,752) | $ 1,792,956 | $ (2,728,876) | $ (4,194,465) | $ (4,346,638) | $ (2,576,750) | $ (3,035,704) | $ (357,225) |
Income (Loss) Per Share (Basic and Diluted) (in dollars per share) | $ (0.02) | $ 0.02 | $ (0.03) | $ (0.04) | $ (0.05) | $ (0.03) | $ (0.03) | $ 0 |
Note 16 - Subsequent Event (Det
Note 16 - Subsequent Event (Details Textual) - Subsequent Event [Member] | Mar. 23, 2016USD ($) |
Proceeds from Sale of Real Estate | $ 418,000 |
Proceeds from Sale of Real Estate, Net | $ 380,000 |
Premium Paid to Auction | 10.00% |
Schedule II - Valuation and Q66
Schedule II - Valuation and Qualifying Accounts (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Allowance for Doubtful Accounts [Member] | |||
Balance at Beginning of Year | $ 25,106 | ||
Additions Charged to Expenses/ Other Accounts | |||
Net Recoveries | $ 25,106 | ||
Balance at End of Year | |||
Valuation Allowance of Deferred Tax Assets [Member] | |||
Balance at Beginning of Year | $ 26,694,879 | $ 21,759,577 | $ 16,724,700 |
Additions Charged to Expenses/ Other Accounts | $ 5,672,480 | $ 4,935,302 | $ 5,034,877 |
Net Recoveries | |||
Balance at End of Year | $ 32,367,359 | $ 26,694,879 | $ 21,759,577 |