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<p style="margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 11pt Times New Roman Bold,serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"><b>1.	Background
of Company and Basis of Presentation </b></font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"> AGAU
Mines, Inc., predecessor of United States Antimony Corporation ("USAC" or "the Company"), was incorporated
in June 1968 as a Delaware corporation to mine gold and silver. USAC was incorporated in Montana in January 1970 to mine and produce
antimony products. In June 1973, AGAU Mines, Inc. was merged into USAC. In December 1983, the Company suspended its antimony mining
operations when it became possible to purchase antimony raw materials more economically from foreign sources. The principal business
of the Company has been the production and sale of antimony products. </font></p>
<p style="font: 11pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"> During
2000, the Company formed a 75% owned subsidiary, Bear River Zeolite Company ("BRZ"), to mine and market zeolite and
zeolite products from a mineral deposit in southeastern Idaho. In 2001, an operating plant was constructed at the zeolite site
and zeolite production and sales commenced. During 2002, the Company acquired the remaining 25% of BRZ and continued to produce
and sell zeolite products. </font></p>
<p style="font: 11pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"> During
2005, the Company formed a 100% owned subsidiary, Antimonio de Mexico S.A. de C.V. (“AM”), to explore and develop
potential antimony properties in Mexico. </font></p>
<p style="font: 11pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"> During
2006, the Company acquired 100% ownership in United States Antimony, Mexico S.A. de C.V. (“USAMSA”), which became
a wholly-owned subsidiary of the Company. </font></p>
<p style="margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="margin: 0pt; font: 8pt Times New Roman, Times, Serif"> </p>
<p style="font: 8pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><b>2.	Concentrations of Risk</b></p>
<p style="font: 8pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><b> </b></p>
<p style="margin: 0pt; font: 8pt Times New Roman, Times, Serif"></p>
<table border="0" cellpadding="0" cellspacing="0" style="width: 100%; border-collapse: collapse; font: 8pt Times New Roman, Times, Serif">
<tr style="vertical-align: bottom; font: 8pt Times New Roman, Times, Serif">
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: left">Sales to Three</td>
<td style="font: 8pt Times New Roman, Times, Serif"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: left"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right">         For the  Year Ended</td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: left"> </td>
<td style="font: 8pt Times New Roman, Times, Serif"> </td></tr>
<tr style="vertical-align: bottom; font: 8pt Times New Roman, Times, Serif">
<td style="font: bold 8pt Times New Roman, Times, Serif">Largest Customers</td>
<td style="font: 8pt Times New Roman, Times, Serif"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; border-bottom: windowtext 1pt solid; text-align: center">December 31, 2011</td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: center"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; border-bottom: windowtext 1pt solid; text-align: center">December 31, 2010</td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: center"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; border-bottom: windowtext 1pt solid; text-align: center">December 31, 2009</td></tr>
<tr style="vertical-align: bottom; font: 8pt Times New Roman, Times, Serif">
<td style="font: 8pt Times New Roman, Times, Serif">   Customer A</td>
<td style="font: 8pt Times New Roman, Times, Serif"> </td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif">$         1,771,173</td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif">$          602,980</td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif">$          194,920</td></tr>
<tr style="vertical-align: bottom; font: 8pt Times New Roman, Times, Serif">
<td style="font: 8pt Times New Roman, Times, Serif">   Customer B</td>
<td style="font: 8pt Times New Roman, Times, Serif"> </td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif">2,941,143</td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif">2,435,978</td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif">1,034,860</td></tr>
<tr style="vertical-align: bottom; font: 8pt Times New Roman, Times, Serif">
<td style="font: 8pt Times New Roman, Times, Serif">   Customer C</td>
<td style="font: 8pt Times New Roman, Times, Serif"> </td>
<td style="border-bottom: windowtext 0.5pt solid; font: 8pt Times New Roman, Times, Serif; text-align: right">2,887,862</td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="border-bottom: windowtext 0.5pt solid; font: 8pt Times New Roman, Times, Serif; text-align: right">666,600</td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="border-bottom: windowtext 0.5pt solid; font: 8pt Times New Roman, Times, Serif; text-align: right">559,480</td></tr>
<tr style="vertical-align: bottom; font: 8pt Times New Roman, Times, Serif">
<td style="font: 8pt Times New Roman, Times, Serif"> </td>
<td style="font: 8pt Times New Roman, Times, Serif"> </td>
<td style="border-bottom: windowtext 2pt double; font: 8pt Times New Roman, Times, Serif; text-align: right">$         7,600,178</td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="border-bottom: windowtext 2pt double; font: 8pt Times New Roman, Times, Serif; text-align: right">$       3,705,558</td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="border-bottom: windowtext 2pt double; font: 8pt Times New Roman, Times, Serif; text-align: right">$       1,789,260</td></tr>
<tr style="vertical-align: bottom; font: 8pt Times New Roman, Times, Serif">
<td style="font: 8pt Times New Roman, Times, Serif">% of total revenues</td>
<td style="font: 8pt Times New Roman, Times, Serif"> </td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif">57.90%</td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif">40.80%</td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif">43.60%</td></tr>
<tr style="vertical-align: bottom; font: 8pt Times New Roman, Times, Serif">
<td style="font: 8pt Times New Roman, Times, Serif"> </td>
<td style="font: 8pt Times New Roman, Times, Serif"> </td>
<td style="font: 8pt Times New Roman, Times, Serif"> </td>
<td style="font: 8pt Times New Roman, Times, Serif"> </td>
<td style="font: 8pt Times New Roman, Times, Serif"> </td>
<td style="font: 8pt Times New Roman, Times, Serif"> </td>
<td style="font: 8pt Times New Roman, Times, Serif"> </td></tr>
<tr style="vertical-align: bottom; font: 8pt Times New Roman, Times, Serif">
<td style="font: bold 8pt Times New Roman, Times, Serif">Three Largest</td>
<td style="font: 8pt Times New Roman, Times, Serif"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: left"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right">         For the  Year Ended</td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: left"> </td>
<td style="font: 8pt Times New Roman, Times, Serif"> </td></tr>
<tr style="vertical-align: bottom; font: 8pt Times New Roman, Times, Serif">
<td style="font: bold 8pt Times New Roman, Times, Serif">Accounts Receivable</td>
<td style="font: 8pt Times New Roman, Times, Serif"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; border-bottom: windowtext 1pt solid; text-align: center">December 31, 2011</td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: center"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; border-bottom: windowtext 1pt solid; text-align: center">December 31, 2010</td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: center"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; border-bottom: windowtext 1pt solid; text-align: center">December 31, 2009</td></tr>
<tr style="vertical-align: bottom; font: 8pt Times New Roman, Times, Serif">
<td style="font: 8pt Times New Roman, Times, Serif">   Customer 1</td>
<td style="font: 8pt Times New Roman, Times, Serif"> </td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif">$            299,273</td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif">$          226,600</td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif">$            27,443</td></tr>
<tr style="vertical-align: bottom; font: 8pt Times New Roman, Times, Serif">
<td style="font: 8pt Times New Roman, Times, Serif">   Customer 2</td>
<td style="font: 8pt Times New Roman, Times, Serif"> </td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif">254,940</td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif">196,810</td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif">18,647</td></tr>
<tr style="vertical-align: bottom; font: 8pt Times New Roman, Times, Serif">
<td style="font: 8pt Times New Roman, Times, Serif">   Customer 3</td>
<td style="font: 8pt Times New Roman, Times, Serif"> </td>
<td style="border-bottom: windowtext 0.5pt solid; font: 8pt Times New Roman, Times, Serif; text-align: right">252,000</td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="border-bottom: windowtext 0.5pt solid; font: 8pt Times New Roman, Times, Serif; text-align: right">62,454</td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="border-bottom: windowtext 0.5pt solid; font: 8pt Times New Roman, Times, Serif; text-align: right">13,112</td></tr>
<tr style="vertical-align: bottom; font: 8pt Times New Roman, Times, Serif">
<td style="font: 8pt Times New Roman, Times, Serif"> </td>
<td style="font: 8pt Times New Roman, Times, Serif"> </td>
<td style="border-bottom: windowtext 2pt double; font: 8pt Times New Roman, Times, Serif; text-align: right">$            806,213</td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="border-bottom: windowtext 2pt double; font: 8pt Times New Roman, Times, Serif; text-align: right">$          485,864</td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="border-bottom: windowtext 2pt double; font: 8pt Times New Roman, Times, Serif; text-align: right">$            59,202</td></tr>
<tr style="vertical-align: bottom; font: 8pt Times New Roman, Times, Serif">
<td style="font: 8pt Times New Roman, Times, Serif">% of total receivables</td>
<td style="font: 8pt Times New Roman, Times, Serif"> </td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif">64.20%</td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif">61.20%</td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif">43.60%</td></tr>
</table>
<p style="margin: 0pt; font: 8pt Times New Roman, Times, Serif"> </p>
<p style="margin: 0pt; font: 8pt Times New Roman, Times, Serif"></p>
<p style="font: 8pt Times New Roman, Times, Serif; margin: 0 0 0 0pt; text-align: justify">The Company's revenues from antimony
sales are strongly influenced by world prices for such commodities, which fluctuate and are affected by numerous factors beyond
the Company's control, including inflation and worldwide forces of supply and demand. The aggregate effect of these factors is
not possible to predict accurately.</p>
<p style="margin: 0pt 0pt 0pt -40pt; font: 8pt Times New Roman, Times, Serif"></p>
<p style="margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 11pt Times New Roman Bold,serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"><b>3.	Summary
of Significant Accounting Policies  </b></font></p>
<p style="font: 11pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"></p>
<p style="font: 11pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"><u>Principles
of Consolidation  </u></font></p>
<p style="font: 11pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"></p>
<p style="font: 11pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif">The
Company's consolidated financial statements include the accounts of BRZ, USAMSA and AM, all wholly-owned subsidiaries. Intercompany
balances and transactions are eliminated in consolidation.  </font></p>
<p style="font: 11pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"></p>
<p style="font: 11pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"><u>Use
of Estimates  </u></font></p>
<p style="font: 11pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"></p>
<p style="font: 11pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif">The
preparation of financial statements in conformity with accounting principles generally accepted in the United States of America
requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure
of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses
during the reporting period. Significant and critical estimates include property, plant and equipment impairment, accounts receivable
allowance, deferred income taxes, environmental remediation liabilities and asset retirement obligations. Actual results could
differ from those estimates.  </font></p>
<p style="font: 11pt Times New Roman Bold,serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"></p>
<p style="font: 11pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"><u>Reclassifications  </u></font></p>
<p style="font: 11pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"></p>
<p style="font: 11pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif">Certain
reclassifications have been made to the 2010 and 2009 financial statements in order to conform to the 2011 presentation. These
reclassifications have no effect on net income (loss), total assets or stockholders' equity as previously reported.  </font></p>
<p style="font: 11pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"></p>
<p style="font: 11pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"><u>Cash
and Cash Equivalents  </u></font></p>
<p style="font: 11pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"></p>
<p style="font: 11pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif">The
Company considers cash in banks and investments with original maturities of three months or less when purchased to be cash equivalents.  </font></p>
<p style="font: 11pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"><u>Restricted
Cash  </u></font></p>
<p style="font: 11pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif">Restricted
cash at December 31, 2011 and 2010 consists of cash held for reclamation performance bonds, and is held as certificates of deposit
with financial institutions.  </font></p>
<p style="font: 11pt Arial, Helvetica, Sans-Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"><u>Accounts
Receivable  </u></font></p>
<p style="font: 11pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif">Accounts
receivable are stated at the amount that management expects to collect from outstanding balances. Management provides for probable
uncollectible amounts through an allowance for doubtful accounts. Changes to the allowance for doubtful accounts are based on
management’s judgment, considering historical write-offs, collections and current credit conditions. Balances which remain
outstanding after management has used reasonable collection efforts are written off through a charge to the allowance for doubtful
accounts and a credit to the applicable accounts receivable. Payments received on receivables subsequent to being written off
are considered a bad debt recovery.  </font></p>
<p style="font: 11pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"><u>Inventories  </u></font></p>
<p style="font: 11pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif">Inventories
at December 31, 2011 and 2010 consisted primarily of finished antimony products, antimony metal, antimony ore, and finished zeolite
products that are stated at the lower of first-in, first-out cost or estimated net realizable value. Finished antimony products,
antimony metal and finished zeolite products costs include raw materials, direct labor and processing facility overhead costs
and freight allocated based on production quantity. Since the Company's antimony inventory is a commodity with a sales value that
is subject to world prices for antimony that are beyond the Company's control, a significant change in the world market price
of antimony could have a significant effect on the net realizable value of inventories. The Company periodically reviews its inventories
to identify excess and obsolete inventories and to estimate reserves for obsolete inventories as necessary to reflect inventories
at net realizable value.  </font></p>
<p style="font: 11pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"><u>Properties,
Plants and Equipment  </u></font></p>
<p style="font: 11pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif">Properties,
plants and equipment are stated at historical cost and are depreciated using the straight-line method over estimated useful lives
of five to fifteen years. Vehicles and office equipment are stated at cost and are depreciated using the straight-line method
over estimated useful lives of three to seven years. Maintenance and repairs are charged to operations as incurred. Betterments
of a major nature are capitalized. Expenditures for new property plant, equipment and improvements that extend the useful life
or functionality of the asset are capitalized. The Company capitalized $2,473,750 and $996,024 in plant construction and other
capital costs for the years ended December 31, 2011 and 2010, respectively. These amounts include capitalized interest of $10,888
and none, respectively. When assets are retired or sold, the costs and related accumulated depreciation are eliminated from the
accounts and any resulting gain or loss is reflected in operations.  </font></p>
<p style="font: 11pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif">Management
of the Company periodically reviews the net carrying value of all of its long-lived assets. These reviews consider the net realizable
value of each asset or group to determine whether a permanent impairment in value has occurred and the need for any asset write-down.
An impairment loss is recognized when the estimated future cash flows (undiscounted and without interest) expected to result from
the use of an asset are less than the carrying amount of the asset. Measurement of an impairment loss is based on the estimated
fair value of the asset if the asset is expected to be held and used.  </font></p>
<p style="font: 11pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"><u>Translations
of Foreign Currencies  </u></font></p>
<p style="font: 11pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif">All
amounts are presented in US Dollars, and the US Dollar is the functional currency of the Company and its foreign subsidiaries.
All transactions are carried out in US Dollars, or translated at the time of the transaction. There are no accounts carried in
foreign currencies that would require translation at year end.  </font></p>
<p style="font: 11pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"><u>Mineral
Rights  </u></font></p>
<p style="font: 11pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif">The
cost to obtain the legal right to explore, extract and retain at least a portion of the benefits from mineral deposits are capitalized
as mineral rights in the year of acquisition. These capitalized costs will be amortized to the statement of operations using the
unit of production method when placed into production. Mineral rights are assessed for impairment when facts and circumstances
indicate that the potential for impairment exists. No impairment has been indicated for the years ended December 31, 2011 or 2010
as a result of this assessment. Mineral rights are subject to write down in the period the property is abandoned.  </font></p>
<p style="font: 11pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"><u>Exploration
and Development  </u></font></p>
<p style="font: 11pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif">The
Company records exploration costs as operating expenses in the period they occur, and capitalizes development costs on discrete
mineralized bodies that have proven reserves in compliance with SEC Industry Guide 7, and are in development or production.  </font></p>
<p style="font: italic 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"> </p>
<p style="font: italic 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"><u>Reclamation
and Remediation  </u></font></p>
<p style="font: 11pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"></p>
<p style="font: 11pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif">All
of the Company's mining operations are subject to reclamation and remediation requirements. Minimum standards for mine reclamation
have been established by various governmental agencies. Costs are estimated based primarily upon environmental and regulatory
requirements and are accrued. The liability for reclamation is classified as current or noncurrent based on the expected timing
of expenditures. Reclamation differs from an asset retirement obligation in that no associated asset is recorded in the case of
reclamation liabilities.  </font></p>
<p style="font: 11pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"></p>
<p style="font: 11pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif">The
Company records the fair value of an asset retirement obligation as a liability in the period in which the Company incurs a legal
obligation for the retirement of long-lived assets, it is probable that such costs will be incurred and they are reasonably estimable.
A corresponding asset is also recorded and depreciated over the life of the assets on a units of production basis. After the initial
measurement of the asset retirement obligation, the liability will be adjusted at the end of each reporting period to reflect
changes in the estimated future cash flows underlying the obligation. Determination of any amounts recognized upon adoption is
based upon numerous estimates and assumptions, including future retirement costs, future inflation rates, and the credit-adjusted
risk-free interest rates.  </font></p>
<p style="font: 11pt Times New Roman Bold,serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif">It
is reasonably possible that because of uncertainties associated with defining the nature and extent of environmental contamination,
application of laws and regulations by regulatory authorities, and changes in remediation technology, the ultimate cost of remediation
and reclamation could change in the future. The Company continually reviews its accrued liabilities for such remediation and reclamation
costs as evidence becomes available indicating that its remediation and reclamation liability has changed.  </font></p>
<p style="font: 11pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"> <u>Off-Balance
Sheet Arrangements  </u></font></p>
<p style="font: 11pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"> The
Company has considered whether any off-balance sheet arrangements exist as a result of transactions occurring during the year
and has determined that there are none at December 31, 2011 and 2010.  </font></p>
<p style="font: 11pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"> <u>Revenue
Recognition  </u></font></p>
<p style="font: 11pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif">Sales
of antimony and zeolite products are recorded upon shipment and when title passes to the customer. Prepayments received from customers
prior to the time that products are shipped are recorded as deferred revenue. When the related products are shipped, the amount
recorded as deferred revenue is recognized as revenue. The Company's sales agreements provide for no product returns or allowances.  </font></p>
<p style="font: 11pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif">Revenue
from exclusive sales agreements with multiple elements is recognized pro-rata over the duration of each element within the contracts.  </font></p>
<p style="font: 11pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif">Sales
of precious metals (a by-product of the antimony production process) are recognized when pervasive evidence of an arrangement
exists, the price is fixed and determinable, the product has been delivered, title has transferred, and collection is reasonably
assured.  </font></p>
<p style="font: 11pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"><u>Common
Stock Issued for Consideration Other than Cash  </u></font></p>
<p style="font: 11pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif">All
transactions in which goods or services are received for the issuance of shares of the Company’s common stock are accounted
for based on the fair value of the consideration received or the fair value of the common stock issued, whichever is more readily
determinable.  </font></p>
<p style="font: 11pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"><u>Income
Taxes  </u></font></p>
<p style="font: 11pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif">Income
taxes are accounted for under the liability method. Under this method, deferred income tax liabilities or assets are determined
at the end of each period using the tax rate expected to be in effect when the taxes are actually paid or recovered. A valuation
allowance is recognized on deferred tax assets when it is more likely than not that some or all of these deferred tax assets will
not be realized.  </font></p>
<p style="font: 11pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif">The
Company applies generally accepted accounting principles for recognition of uncertainty in income taxes and prescribing a recognition
threshold and measurement attribute for the recognition and measurement of a tax position taken or expected to be taken in a tax
return.  </font></p>
<p style="font: 11pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"><u>Income
(Loss) Per Common Share  </u></font></p>
<p style="font: 11pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif">Basic
earnings per share is calculated by dividing net income (loss) available to common stockholders by the weighted average number
of common shares outstanding during the period. Diluted earnings per share is calculated based on the weighted average number
of common shares outstanding during the period plus the effect of potentially dilutive common stock equivalents, including warrants
to purchase the Company's common stock and convertible preferred stock. Management has determined that the calculation of diluted
earnings per share for the year ended December 31, 2011 and 2010 adds 9,280,852 and 5,643,307 shares, respectively to basic weighted
average shares, related to common stock purchase warrants and convertible preferred stock. Total dilution presented related to
convertible preferred stock was limited as of December 31, 2010 as there were not sufficient authorized and unissued common shares
available.  </font></p>
<p style="font: 11pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif">As
of December 31, 2011, 2010 and 2009, the remaining potentially dilutive common stock equivalents not included in the calculation
of diluted earnings per share are as follows:   </font></p>
<table cellpadding="0" cellspacing="0" style="width: 100%; font: 10pt Times New Roman, Times, Serif">
<tr style="vertical-align: bottom">
<td style="text-align: center"> </td><td style="font-weight: bold; padding-bottom: 1pt"> </td>
<td colspan="3" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid">December 31,     2011</td><td style="font-weight: bold; padding-bottom: 1pt"> </td>
<td colspan="3" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid">December 31,     2010</td><td style="font-weight: bold; padding-bottom: 1pt"> </td>
<td colspan="3" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid">December 31,     2009</td></tr>
<tr style="vertical-align: bottom">
<td style="width: 46%">Warrants</td><td style="width: 5%"> </td>
<td style="width: 1%; text-align: left"> </td><td style="width: 11%; text-align: right">—  </td><td style="width: 1%; text-align: left"> </td><td style="width: 5%"> </td>
<td style="width: 1%; text-align: left"> </td><td style="width: 11%; text-align: right">—  </td><td style="width: 1%; text-align: left"> </td><td style="width: 5%"> </td>
<td style="width: 1%; text-align: left"> </td><td style="width: 11%; text-align: right">921,734</td><td style="width: 1%; text-align: left"> </td></tr>
<tr style="vertical-align: bottom">
<td style="padding-bottom: 1pt">Convertible preferred stock</td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">—  </td><td style="padding-bottom: 1pt; text-align: left"> </td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">3,333,079</td><td style="padding-bottom: 1pt; text-align: left"> </td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">2,466,889</td><td style="padding-bottom: 1pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom">
<td style="padding-bottom: 2.5pt">Total possible dilution</td><td style="padding-bottom: 2.5pt"> </td>
<td style="border-bottom: Black 2.5pt double; text-align: left"> </td><td style="border-bottom: Black 2.5pt double; text-align: right">—  </td><td style="padding-bottom: 2.5pt; text-align: left"> </td><td style="padding-bottom: 2.5pt"> </td>
<td style="border-bottom: Black 2.5pt double; text-align: left"> </td><td style="border-bottom: Black 2.5pt double; text-align: right">3,333,079</td><td style="padding-bottom: 2.5pt; text-align: left"> </td><td style="padding-bottom: 2.5pt"> </td>
<td style="border-bottom: Black 2.5pt double; text-align: left"> </td><td style="border-bottom: Black 2.5pt double; text-align: right">3,388,623</td><td style="padding-bottom: 2.5pt; text-align: left"> </td></tr>
</table>
<p style="margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"></p>
<p style="margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"></p>
<p style="font: 11pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"><u>Fair
Value of Financial Instruments </u></font></p>
<p style="font: 11pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"></p>
<p style="font: 11pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif">The
Company’s financial instruments include cash, restricted cash and long-term debt. The carrying value of restricted cash
and long-term debt approximate fair value based on the contractual terms of those instruments. </font></p>
<p style="font: 11pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"></p>
<p style="font: 11pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"><u>Fair
Value Measures </u></font></p>
<p style="font: 11pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"></p>
<p style="font: 11pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif">ASC
820, “Fair Value Measurements and Disclosures”, requires an entity to maximize the use of observable inputs and minimize
the use of unobservable inputs when measuring fair value. ASC 820 establishes a fair value hierarchy based on the level of independent,
objective evidence surrounding the inputs used to measure fair value. A financial instrument’s categorization within the
fair value hierarchy is based upon the lowest level of input that is significant to the fair value measurement. ASC 820 prioritizes
the inputs into three levels that may be used to measure fair value: </font></p>
<p style="font: 11pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif">·</font>        
Level 1: Applies to assets or liabilities for which there are quoted prices in active markets for identical assets or liabilities. </p>
<p style="font: 11pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif">·</font>        
Level 2: Applies to assets or liabilities for which there are inputs other than quoted prices that are observable for the asset
or liability such as quoted prices for similar assets or liabilities in active markets; quoted prices for identical assets or
liabilities in markets with insufficient volume or infrequent transactions (less active markets); or model-derived valuations
in which significant inputs are observable or can be derived principally from, or corroborated by, observable market data. </p>
<p style="font: 11pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif">·</font>        
Level 3: Applies to assets or liabilities for which there are unobservable inputs to the valuation methodology that are significant
to the measurement of the fair value of the assets or liabilities. </p>
<p style="font: 11pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"></font></p>
<p style="font: 11pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif">The
table below sets forth our financial assets and liabilities that were accounted for at fair value on a recurring basis as of December
31, 2011 and 2010, respectively, and the fair value calculation input hierarchy level that we have determined applies to each
asset and liability category. </font></p>
<p style="margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"></p>
<table cellpadding="0" cellspacing="0" style="width: 100%; font: 11pt Times New Roman, Times, Serif">
<tr style="vertical-align: bottom">
<td style="font-family: Arial, Helvetica, Sans-serif; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td><td style="font-family: Arial, Helvetica, Sans-serif; padding-bottom: 1pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td colspan="3" style="font-family: Arial, Helvetica, Sans-serif; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td><td style="font-family: Arial, Helvetica, Sans-serif; padding-bottom: 1pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td colspan="3" style="font-family: Arial, Helvetica, Sans-serif; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td><td style="font-weight: bold; padding-bottom: 1pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td colspan="3" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"><font style="font: 10pt Times New Roman, Times, Serif">Input
Hierarchy Level</font></td></tr>
<tr style="vertical-align: bottom">
<td style="font-family: Arial, Helvetica, Sans-serif; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td><td style="font-weight: bold; padding-bottom: 1pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td colspan="3" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"><font style="font: 10pt Times New Roman, Times, Serif">2011</font></td><td style="font-weight: bold; padding-bottom: 1pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td colspan="3" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"><font style="font: 10pt Times New Roman, Times, Serif">2010</font></td><td style="padding-bottom: 1pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td colspan="3" style="text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom">
<td><font style="font: 10pt Times New Roman, Times, Serif">Assets:</font></td><td style="font-weight: bold"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font-weight: bold; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td><td style="font-weight: bold; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td><td style="font-weight: bold; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td><td style="font-weight: bold"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font-weight: bold; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td><td style="font-weight: bold; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td><td style="font-weight: bold; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td><td style="font-weight: bold"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font-weight: bold; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td><td style="font-weight: bold; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td><td style="font-weight: bold; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom">
<td style="width: 46%; text-align: left; padding-left: 12px"><font style="font: 10pt Times New Roman, Times, Serif">Cash and
cash equivalents</font></td><td style="width: 5%"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="width: 1%; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif">$</font></td><td style="width: 11%; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">5,247</font></td><td style="width: 1%; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td><td style="width: 5%"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="width: 1%; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif">$</font></td><td style="width: 11%; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">448,861</font></td><td style="width: 1%; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td><td style="width: 5%"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="width: 1%; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td><td style="width: 11%; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">Level
1</font></td><td style="width: 1%; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom">
<td style="text-align: left; padding-left: 12px"><font style="font: 10pt Times New Roman, Times, Serif">Restricted cash</font></td><td><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">74,777</font></td><td style="text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td><td><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">74,311</font></td><td style="text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td><td><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">Level
1</font></td><td style="text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
</table>
<p style="margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"></p>
<p style="margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: justify"> </p>
<p style="font: italic bold 11pt Times New Roman Bold,serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: justify"><font style="letter-spacing: 0pt">4.	Sales
of Accounts Receivable </font></p>
<p style="font: 9pt Arial, Helvetica, Sans-Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"> The
Company sells selected accounts receivable to a financing company pursuant to the terms of a factoring agreement. According to
the terms of the agreement, the receivables are sold with full recourse and the Company assumes all risks of collectability. Accordingly,
the Company's allowance for doubtful accounts is based upon the expected collectability of all trade receivables. The performance
of all obligations and payments to the factoring company is personally guaranteed by John C. Lawrence, the Company's president
and a director. As consideration for Mr. Lawrence's guarantee, the Company granted a mortgaged security interest to Mr. Lawrence
collateralized by the Company's real and personal property. </font></p>
<p style="font: 11pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"></p>
<p style="font: 11pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif">The
factoring agreement requires the Company to pay a financing fee equal to 2% of the face amount of receivables sold. Factoring
fees paid by the Company during the years ended December 31, 2011, 2010 and 2009 were $154,206, $119,107 and $90,124, respectively.
For the years ended December 31, 2011, 2010 and 2009, net accounts receivable of approximately $7.39 million, $5.96 million and
$3.07 million, respectively, were sold under the agreement. </font></p>
<p style="font: 11pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"></p>
<p style="margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif">Proceeds
from the sales were used to fund inventory purchases and operating expenses. The agreement is for a term of one year with automatic
renewal for additional one-year terms.</font> </p>
<p style="margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: justify"> </p>
<p style="margin: 0pt"> </p>
<p style="font: italic bold 11pt Times New Roman Bold,serif; margin: 0; text-align: justify"><font style="letter-spacing: 0pt">5.	Inventories</font></p>
<p style="font: 9pt Arial, Helvetica, Sans-Serif; margin: 0; text-align: justify"> </p>
<p style="font: 11pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
major components of the Company's inventories at December 31, 2011 and 2010 were as follows: </font></p>
<p style="margin: 0pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="margin: 0pt"></p>
<table cellpadding="0" cellspacing="0" style="width: 100%; font: 11pt Times New Roman, Times, Serif">
<tr style="vertical-align: bottom">
<td style="text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td><td style="font-weight: bold; padding-bottom: 1pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td colspan="3" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"><font style="font: 10pt Times New Roman, Times, Serif">2011</font></td><td style="font-weight: bold; padding-bottom: 1pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td colspan="3" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"><font style="font: 10pt Times New Roman, Times, Serif">2010</font></td></tr>
<tr style="vertical-align: bottom">
<td style="width: 56%"><font style="font: 10pt Times New Roman, Times, Serif">Antimony Metal</font></td><td style="width: 8%"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="width: 1%; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td><td style="width: 12%; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">152,026</font></td><td style="width: 1%; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td><td style="width: 8%"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="width: 1%; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif">$</font></td><td style="width: 12%; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">97,187</font></td><td style="width: 1%; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom">
<td><font style="font: 10pt Times New Roman, Times, Serif">Antimony Oxide</font></td><td><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">180,404</font></td><td style="text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td><td><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">7,233</font></td><td style="text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom">
<td style="padding-bottom: 1pt"><font style="font: 10pt Times New Roman, Times, Serif">Antimony Ore</font></td><td style="padding-bottom: 1pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1pt solid; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 1pt solid; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">644,113</font></td><td style="padding-bottom: 1pt; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 1pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1pt solid; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 1pt solid; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">—  </font></td><td style="padding-bottom: 1pt; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom">
<td><font style="font: 10pt Times New Roman, Times, Serif">    Total antimony</font></td><td><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">976,543</font></td><td style="text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td><td><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">104,420</font></td><td style="text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom">
<td style="padding-bottom: 1pt"><font style="font: 10pt Times New Roman, Times, Serif">Zeolite</font></td><td style="padding-bottom: 1pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1pt solid; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 1pt solid; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">90,270</font></td><td style="padding-bottom: 1pt; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 1pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1pt solid; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 1pt solid; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">38,871</font></td><td style="padding-bottom: 1pt; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom">
<td style="padding-bottom: 2.5pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 2.5pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 2.5pt double; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif">$</font></td><td style="border-bottom: Black 2.5pt double; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">1,066,813</font></td><td style="padding-bottom: 2.5pt; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 2.5pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 2.5pt double; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif">$</font></td><td style="border-bottom: Black 2.5pt double; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">143,291</font></td><td style="padding-bottom: 2.5pt; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
</table>
<p style="margin: 0pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="margin: 0pt"></p>
<p style="font: 11pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif">At
December 31, 2011 and 2010, antimony metal consisted principally of recast metal from antimony-based compounds, and metal purchased
from foreign suppliers. Antimony oxide inventory consisted of finished product oxide held at the Company's plant. Antimony ore
was held primarily at sites in Mexico and is essentially raw material, carried at cost. The Company's zeolite inventory consists
of salable zeolite material held at BRZ's Idaho mining and production facility. </font></p>
<p style="margin: 0pt"></p>
<p style="margin: 0pt"> </p>
<p style="font: italic bold 11pt Times New Roman Bold,serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: justify"><font style="letter-spacing: 0pt">6.	Properties,
Plants and Equipment </font></p>
<p style="font: 4pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: justify"> </p>
<p style="font: 11pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif">The
major components of the Company's properties, plants and equipment at December 31, 2011 and 2010 are shown below. Approximately
$1.6 million and $63,000 of capitalized costs at December 31, 2011 and 2010, respectively, related primarily to the construction
of an antimony mill in Mexico, have not yet been placed in service and, therefore, have not been subject to depreciation. </font></p>
<p style="margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: justify"></p>
<table cellpadding="0" cellspacing="0" style="width: 100%; font: 10pt Times New Roman, Times, Serif">
<tr style="vertical-align: bottom">
<td style="text-align: justify; padding-left: 5.4pt"> </td><td style="font-weight: bold"> </td>
<td style="font-weight: bold; text-align: left"> </td><td style="font-weight: bold; text-align: right">2011</td><td style="font-weight: bold; text-align: left"> </td><td style="font-weight: bold"> </td>
<td style="font-weight: bold; text-align: left"> </td><td style="font-weight: bold; text-align: right">2010</td><td style="font-weight: bold; text-align: left"> </td></tr>
<tr style="vertical-align: bottom">
<td style="text-align: justify; padding-left: 5.4pt">Antimony:</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom">
<td style="width: 56%; text-align: justify; padding-left: 5.4pt">Equipment</td><td style="width: 8%"> </td>
<td style="width: 1%; text-align: left">$</td><td style="width: 12%; text-align: right">2,209,542</td><td style="width: 1%; text-align: left"> </td><td style="width: 8%"> </td>
<td style="width: 1%; text-align: left">$</td><td style="width: 12%; text-align: right">1,803,107</td><td style="width: 1%; text-align: left"> </td></tr>
<tr style="vertical-align: bottom">
<td style="text-align: justify; padding-left: 5.4pt">Buildings</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">1,436,149</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">863,933</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom">
<td style="text-align: justify; padding-left: 5.4pt">Mineral rights and obligations</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">807,906</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">473,940</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom">
<td style="text-align: justify; padding-bottom: 1pt; padding-left: 5.4pt">Land</td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">1,567,327</td><td style="padding-bottom: 1pt; text-align: left"> </td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">597,063</td><td style="padding-bottom: 1pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom">
<td style="text-align: justify; padding-left: 5.4pt"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">6,020,924</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">3,738,044</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom">
<td style="text-align: justify; padding-bottom: 1pt; padding-left: 5.4pt">Accumulated depreciation</td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">(1,616,266</td><td style="padding-bottom: 1pt; text-align: left">)</td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">(1,416,751</td><td style="padding-bottom: 1pt; text-align: left">)</td></tr>
<tr style="vertical-align: bottom">
<td style="text-align: justify; padding-bottom: 1pt; padding-left: 5.4pt">Total Antimony, net</td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">4,404,658</td><td style="padding-bottom: 1pt; text-align: left"> </td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">2,321,293</td><td style="padding-bottom: 1pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom">
<td style="text-align: justify; padding-left: 5.4pt"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom">
<td style="text-align: justify; padding-left: 5.4pt">Zeolite:</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom">
<td style="text-align: justify; padding-left: 5.4pt">Equipment</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">2,239,348</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">2,125,748</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom">
<td style="text-align: justify; padding-bottom: 1pt; padding-left: 5.4pt">Buildings</td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">1,663,554</td><td style="padding-bottom: 1pt; text-align: left"> </td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">1,452,284</td><td style="padding-bottom: 1pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom">
<td style="text-align: justify; padding-left: 5.4pt"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">3,902,902</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">3,578,032</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom">
<td style="text-align: justify; padding-bottom: 1pt; padding-left: 5.4pt">Accumulated depreciation</td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">(2,260,556</td><td style="padding-bottom: 1pt; text-align: left">)</td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">(2,054,325</td><td style="padding-bottom: 1pt; text-align: left">)</td></tr>
<tr style="vertical-align: bottom">
<td style="text-align: justify; padding-bottom: 1pt; padding-left: 5.4pt">Total Zeolite, net</td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">1,642,346</td><td style="padding-bottom: 1pt; text-align: left"> </td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">1,523,707</td><td style="padding-bottom: 1pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom">
<td style="text-align: justify; padding-bottom: 2.5pt; padding-left: 5.4pt">Properties, plants and equipment, net</td><td style="padding-bottom: 2.5pt"> </td>
<td style="border-bottom: Black 2.5pt double; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; text-align: right">6,047,004</td><td style="padding-bottom: 2.5pt; text-align: left"> </td><td style="padding-bottom: 2.5pt"> </td>
<td style="border-bottom: Black 2.5pt double; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; text-align: right">3,845,000</td><td style="padding-bottom: 2.5pt; text-align: left"> </td></tr>
</table>
<p style="font: 11pt Times New Roman, Times, Serif; margin: 0 0 0 27.35pt; text-align: justify"> </p>
<p style="font: 11pt Times New Roman Bold,serif; margin: 0; text-align: justify"></p>
<p style="font: 11pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p>
<p style="font: 11pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif">During
2010 the Company incurred an impairment charge of $199,302 on certain constructed assets at its Cal Los Arcos Mexican mill site
because it was determined that the mill site was no longer viable. Assets such as installation costs and concrete work that were
unable to be transported to the new mill site at Corral Blanco were deemed to be impaired and therefore written off. </font></p>
<p style="font: 11pt Times New Roman Bold,serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 11pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif">During
2011, the Company assessed the obligation for removal and remediation costs relating to its plants and mine in Mexico. Management
assigned a cost to the expected work involved in complying with the requirements of the Mexico operating permits. Management applied,
based on a 20 year life, an cost inflation factor, and then discounted that cost to a current net present value based on a discount
rate of 6% (management’s estimate of its credit-adjusted interest rate). Management determined a future cost in 2031 of
approximately $430,000 with a net present value of $134,000. </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 27.35pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table align="center" cellspacing="0" cellpadding="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-left: 5.4pt; border-collapse: collapse">
<tr style="vertical-align: bottom">
<td nowrap="nowrap" style="width: 47%; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; font-size: 11pt; font-weight: bold"><font style="font: 10pt Times New Roman, Times, Serif">Asset
Retirement</font></td>
<td nowrap="nowrap" style="width: 22%; padding-right: 5.4pt; padding-left: 5.4pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td nowrap="nowrap" style="width: 31%; padding-right: 5.4pt; padding-left: 5.4pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom">
<td nowrap="nowrap" style="padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; font-size: 11pt; font-weight: bold"><font style="font: 10pt Times New Roman, Times, Serif">  
Obligation:</font></td>
<td nowrap="nowrap" style="padding-right: 5.4pt; padding-left: 5.4pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td nowrap="nowrap" style="padding-right: 5.4pt; padding-left: 5.4pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom">
<td nowrap="nowrap" colspan="2" style="padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; font-size: 11pt"><font style="font: 10pt Times New Roman, Times, Serif">  
Balance December 31, 2010</font></td>
<td nowrap="nowrap" style="padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; font-size: 11pt; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">$             
-</font></td></tr>
<tr style="vertical-align: bottom">
<td nowrap="nowrap" style="padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; font-size: 11pt"><font style="font: 10pt Times New Roman, Times, Serif">  
Additions during 2011</font></td>
<td nowrap="nowrap" style="padding-right: 5.4pt; padding-left: 5.4pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td nowrap="nowrap" style="border-bottom: windowtext 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; font-size: 11pt; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">134,000</font></td></tr>
<tr style="vertical-align: bottom">
<td nowrap="nowrap" colspan="2" style="padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; font-size: 11pt"><font style="font: 10pt Times New Roman, Times, Serif">  
Balance December 31, 2011</font></td>
<td nowrap="nowrap" style="border-bottom: windowtext 2.25pt double; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; font-size: 11pt; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">$
134,000</font></td></tr>
</table>
<p style="font: 11pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 11pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
asset retirement obligation liability is combined with reclamation obligations for Idaho and Montana operations of $107,500 at
December 31, 2011. </font></p>
<p style="margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: justify"></p>
<p style="margin: 0pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: italic bold 11pt Times New Roman Bold,serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif; letter-spacing: 0pt">7.	Long-Term
Debt</font></p>
<p style="font: 11pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="margin: 0"><font style="font: 10pt Times New Roman, Times, Serif">Long-term debt at December 31, 2011 and 2010 is as
follows:</font></p>
<p style="margin: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="margin: 0"></p>
<table border="0" cellpadding="0" cellspacing="0" style="width: 100%; border-collapse: collapse; font: 11pt Times New Roman, Times, Serif">
<tr style="vertical-align: bottom">
<td style="width: 72%"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="width: 3%"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: windowtext 0.5pt solid; font-weight: bold; text-align: center; width: 11%"><font style="font: 10pt Times New Roman, Times, Serif">2011</font></td>
<td style="font-weight: bold; width: 3%"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: windowtext 0.5pt solid; font-weight: bold; text-align: center; width: 11%"><font style="font: 10pt Times New Roman, Times, Serif">2010</font></td></tr>
<tr style="vertical-align: bottom">
<td style="text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Note payable to Western States Equipment
Co., bearing interest</font></td>
<td style="font-family: Arial, Helvetica, Sans-Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom">
<td style="padding-left: 12px; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif">at 6.4%; payable in
monthly installments of $2,066; maturing</font></td>
<td style="font-family: Arial, Helvetica, Sans-Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom">
<td style="padding-left: 12px; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif">December 2013; collateralized
by equipment</font></td>
<td style="font-family: Arial, Helvetica, Sans-Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> $          
-</font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> $   67,645</font></td></tr>
<tr style="vertical-align: bottom">
<td style="padding-left: 12px; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font-family: Arial, Helvetica, Sans-Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom">
<td style="text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Note payable to Western States Equipment
Co., bearing interest</font></td>
<td style="font-family: Arial, Helvetica, Sans-Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font-family: Arial, Helvetica, Sans-Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font-family: Arial, Helvetica, Sans-Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font-family: Arial, Helvetica, Sans-Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom">
<td style="padding-left: 12px; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif">at 6.15%; payable
in monthly installments of $2,032; maturing</font></td>
<td style="font-family: Arial, Helvetica, Sans-Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom">
<td style="padding-left: 12px; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif">June 2015; collateralized
by equipment</font></td>
<td style="font-family: Arial, Helvetica, Sans-Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">      77,040</font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">             
-</font></td></tr>
<tr style="vertical-align: bottom">
<td style="padding-left: 12px; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font-family: Arial, Helvetica, Sans-Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom">
<td><font style="font: 10pt Times New Roman, Times, Serif">Note payable to CNH Capital America, LLC, bearing interest</font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom">
<td><font style="font: 10pt Times New Roman, Times, Serif">   at 4.5%; payable in monthly installments of $505;
maturing</font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom">
<td><font style="font: 10pt Times New Roman, Times, Serif">   June 2013; collateralized by equipment</font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">8,648</font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">14,052</font></td></tr>
<tr style="vertical-align: bottom">
<td><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom">
<td style="text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Note payable to GE Capital, bearing
interest at 6.32%; payable in</font></td>
<td style="font-family: Arial, Helvetica, Sans-Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom">
<td style="padding-left: 12px; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif">monthly installments
of $908; maturing June 2011; collateralized by</font></td>
<td style="font-family: Arial, Helvetica, Sans-Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom">
<td style="padding-left: 12px; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif">equipment</font></td>
<td style="font-family: Arial, Helvetica, Sans-Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">             
-</font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">5,235</font></td></tr>
<tr style="vertical-align: bottom">
<td><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom">
<td style="text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Note payable to GE Capital, bearing
interest at 2.25%; payable in</font></td>
<td style="font-family: Arial, Helvetica, Sans-Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom">
<td style="padding-left: 12px; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif">monthly installments
of $359; maturing July 2013; collateralized by</font></td>
<td style="font-family: Arial, Helvetica, Sans-Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom">
<td style="padding-left: 12px; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif">equipment</font></td>
<td style="font-family: Arial, Helvetica, Sans-Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">6,531</font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">10,639</font></td></tr>
<tr style="vertical-align: bottom">
<td><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom">
<td style="text-align: left"><font style="font: 10pt Times New Roman, Times, Serif">Note payable to Robert (a deceased and
former director) and Phyllis</font></td>
<td style="font-family: Arial, Helvetica, Sans-Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom">
<td style="padding-left: 12px; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif">Rice, bearing interest
at 1%; payable in monthly installments of</font></td>
<td style="font-family: Arial, Helvetica, Sans-Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom">
<td style="padding-left: 12px; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif">$1,000; maturing April
2011; collateralized by equipment</font></td>
<td style="font-family: Arial, Helvetica, Sans-Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif">             
-</font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">3,082</font></td></tr>
<tr style="vertical-align: bottom">
<td><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom">
<td style="text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Note payable to Robert and Phyllis
Rice, bearing interest</font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font-family: Arial, Helvetica, Sans-Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font-family: Arial, Helvetica, Sans-Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font-family: Arial, Helvetica, Sans-Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom">
<td style="padding-left: 12px; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif">at 1%; payable in
monthly installments of $2,000; maturing</font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom">
<td style="padding-left: 12px; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif">March 2015; collateralized
by equipment</font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif">      80,882</font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif">             
-</font></td></tr>
<tr style="vertical-align: bottom">
<td><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom">
<td style="text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Note payable to De Lage Landen Financial
Services</font></td>
<td style="font-family: Arial, Helvetica, Sans-Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font-family: Arial, Helvetica, Sans-Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font-family: Arial, Helvetica, Sans-Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom">
<td style="padding-left: 12px; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif">at 5.2%; payable in
monthly installments of $709; maturing</font></td>
<td style="font-family: Arial, Helvetica, Sans-Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom">
<td style="padding-left: 12px; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif">July 2014; collateralized
by equipment</font></td>
<td style="font-family: Arial, Helvetica, Sans-Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">      19,229</font></td>
<td style="text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">      27,143</font></td></tr>
<tr style="vertical-align: bottom">
<td><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom">
<td style="text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Note payable to Catepillar Finance,
bearing interest</font></td>
<td style="font-family: Arial, Helvetica, Sans-Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom">
<td style="padding-left: 12px; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif">at 6.15%; payable
in monthly installments of $766; maturing</font></td>
<td style="font-family: Arial, Helvetica, Sans-Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom">
<td style="padding-left: 12px; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif">August 2014; collateralized
by equipment</font></td>
<td style="font-family: Arial, Helvetica, Sans-Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">      21,990</font></td>
<td style="text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">             
-</font></td></tr>
<tr style="vertical-align: bottom">
<td style="padding-left: 12px; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font-family: Arial, Helvetica, Sans-Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom">
<td style="text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Note payable to De Lage Landen Financial
Services</font></td>
<td style="font-family: Arial, Helvetica, Sans-Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font-family: Arial, Helvetica, Sans-Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font-family: Arial, Helvetica, Sans-Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom">
<td style="padding-left: 12px; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif">at 5.2%; payable in
monthly installments of $697; maturing</font></td>
<td style="font-family: Arial, Helvetica, Sans-Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom">
<td style="padding-left: 12px; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif">January 2015; collateralized
by equipment</font></td>
<td style="font-family: Arial, Helvetica, Sans-Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: windowtext 0.5pt solid; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">     
23,529</font></td>
<td style="text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: windowtext 0.5pt solid; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">             
-</font></td></tr>
<tr style="vertical-align: bottom">
<td><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif">    237,849</font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif">    127,796</font></td></tr>
<tr style="vertical-align: bottom">
<td><font style="font: 10pt Times New Roman, Times, Serif">Less current portion</font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif">    (79,631)</font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif">    (45,389)</font></td></tr>
<tr style="vertical-align: bottom">
<td><font style="font: 10pt Times New Roman, Times, Serif">Noncurrent portion</font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="border-top: windowtext 0.5pt solid; border-bottom: windowtext 2pt double"><font style="font: 10pt Times New Roman, Times, Serif"> $
158,218</font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="border-top: windowtext 0.5pt solid; border-bottom: windowtext 2pt double"><font style="font: 10pt Times New Roman, Times, Serif"> $  
82,407</font></td></tr>
</table>
<p style="margin: 0"> </p>
<p style="margin: 0"></p>
<p style="margin: 0pt"><font style="font: 10pt Times New Roman, Times, Serif">At December 31, 2011, principal payments on debt
are due as follows:</font></p>
<p style="margin: 0pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="margin: 0pt"></p>
<table cellpadding="0" cellspacing="0" style="width: 100%; font: 10pt Times New Roman, Times, Serif">
<tr style="vertical-align: bottom">
<td style="font-weight: bold; text-align: center; vertical-align: top">Year Ending December 31,</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom">
<td style="width: 70%; text-align: center">2012</td><td style="width: 10%"> </td>
<td style="width: 1%; text-align: left">$</td><td style="width: 18%; text-align: right">79,631</td><td style="width: 1%; text-align: left"> </td></tr>
<tr style="vertical-align: bottom">
<td style="text-align: center">2013</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">76,189</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom">
<td style="text-align: center">2014</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">61,167</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom">
<td style="text-align: center; padding-bottom: 1pt">2015</td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">20,862</td><td style="padding-bottom: 1pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom">
<td style="text-align: center; padding-bottom: 2.5pt"> </td><td style="padding-bottom: 2.5pt"> </td>
<td style="border-bottom: Black 2.5pt double; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; text-align: right">237,849</td><td style="padding-bottom: 2.5pt; text-align: left"> </td></tr>
</table>
<p style="margin: 0pt"></p>
<p style="margin: 0pt"> </p>
<p style="margin: 0pt"></p>
<p style="margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"> </p>
<p style="font: 11pt Times New Roman Bold,serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"><b>8.	Stockholders'
Equity </b></font></p>
<p style="font: 11pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"><u>Issuance
of Common Stock for Cash </u></font></p>
<p style="font: 11pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"></p>
<p style="font: 11pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif">In
2011, 2010, and 2009, the Company sold an aggregate of 3,041,918, 3,492,502, and 5,600,234 shares, respectively, of its unregistered
common stock to existing stockholders and other parties for $1,160,217, $799,522 and $1,122,243, respectively. In connection with
sales of the Company’s common stock in 2010, 350,000 warrants to purchase shares of the Company’s common stock (200,000
for $0.30 per share and 150,000 for $0.40) were issued. No warrants to purchase shares of the Company’s common stock were
granted in 2011or 2009. </font></p>
<p style="font: 11pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"></p>
<p style="font: 11pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"><u>Issuance
of Common Stock for Services and Property </u></font></p>
<p style="font: 11pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"></p>
<p style="font: 11pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif">During
2011, the Company declared, but did not issue 95,835 shares of unregistered common stock to be paid to its directors for services,
having a fair value of $230,004, based on the current stock price at the date declared. This expense is classified with general
and administrative expense in the consolidated statement of operations. </font></p>
<p style="font: 11pt Times New Roman Bold,serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"></p>
<p style="font: 11pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif">During
2010 and 2009, the Company awarded 260,000 and 130,000 shares, respectively, of unregistered common stock to its directors for
services, having fair values of $117,000 and $39,000, respectively, based on the current stock price at date of grant. The expense
is classified as general and administrative expense in the consolidated statement of operations. </font></p>
<p style="font: 11pt Times New Roman Bold,serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"></p>
<p style="font: 11pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"><u>Common
Stock Warrants </u></font></p>
<p style="font: 11pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"></p>
<p style="font: 11pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif">The
Company's Board of Directors has the authority to issue stock warrants for the purchase of preferred or unregistered common stock
to directors and employees of the Company. </font></p>
<p style="font: 11pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"></p>
<p style="font: 11pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif">Transactions
in common stock warrants are as follows: </font></p>
<p style="font: 11pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"></p>
<table cellpadding="0" cellspacing="0" style="width: 100%">
<tr style="vertical-align: bottom">
<td style="text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td><td style="font: bold 11pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td colspan="3" style="font: bold 11pt Times New Roman, Times, Serif; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif">Number
of</font></td><td style="font: bold 11pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: bold 11pt Times New Roman, Times, Serif; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif">Exercise</font></td></tr>
<tr style="vertical-align: bottom">
<td style="text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td><td style="font: bold 11pt Times New Roman, Times, Serif; padding-bottom: 1pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td colspan="3" style="font: bold 11pt Times New Roman, Times, Serif; text-align: center; border-bottom: Black 1pt solid"><font style="font: 10pt Times New Roman, Times, Serif">Warrants</font></td><td style="font: bold 11pt Times New Roman, Times, Serif; padding-bottom: 1pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: bold 11pt Times New Roman, Times, Serif; text-align: center; border-bottom: Black 1pt solid"><font style="font: 10pt Times New Roman, Times, Serif">Prices</font></td></tr>
<tr style="vertical-align: bottom">
<td style="width: 70%; font: 11pt Times New Roman, Times, Serif; padding-left: 5.4pt"><font style="font: 10pt Times New Roman, Times, Serif">Balance,
December 31, 2009</font></td><td style="width: 10%; font: 11pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="width: 1%; font: 11pt Times New Roman, Times, Serif; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td><td style="width: 18%; font: 11pt Times New Roman, Times, Serif; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">921,734</font></td><td style="width: 1%; font: 11pt Times New Roman, Times, Serif; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td><td style="width: 10%; font: 11pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 11pt Times New Roman, Times, Serif; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif"> $0.20-$0.75</font></td></tr>
<tr style="vertical-align: bottom">
<td style="font: 11pt Times New Roman, Times, Serif; padding-left: 5.4pt"><font style="font: 10pt Times New Roman, Times, Serif">   Granted
in connection with sales of common stock</font></td><td style="font: 11pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 11pt Times New Roman, Times, Serif; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td><td style="font: 11pt Times New Roman, Times, Serif; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">350,000</font></td><td style="font: 11pt Times New Roman, Times, Serif; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td><td style="font: 11pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 11pt Times New Roman, Times, Serif; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif"> $0.30-$0.40</font></td></tr>
<tr style="vertical-align: bottom">
<td style="font: 11pt Times New Roman, Times, Serif; padding-bottom: 1pt; text-indent: 11pt; padding-left: 5.4pt"><font style="font: 10pt Times New Roman, Times, Serif">Warrants
expired and cancelled</font></td><td style="font: 11pt Times New Roman, Times, Serif; padding-bottom: 1pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1pt solid; font: 11pt Times New Roman, Times, Serif; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 1pt solid; font: 11pt Times New Roman, Times, Serif; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">(546,734</font></td><td style="padding-bottom: 1pt; font: 11pt Times New Roman, Times, Serif; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif">)</font></td><td style="font: 11pt Times New Roman, Times, Serif; padding-bottom: 1pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1pt solid; font: 11pt Times New Roman, Times, Serif; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif"> $0.30-$0.60</font></td></tr>
<tr style="vertical-align: bottom">
<td style="font: 11pt Times New Roman, Times, Serif; padding-left: 5.4pt"><font style="font: 10pt Times New Roman, Times, Serif">Balance,
December 31, 2010</font></td><td style="font: 11pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 11pt Times New Roman, Times, Serif; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td><td style="font: 11pt Times New Roman, Times, Serif; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">725,000</font></td><td style="font: 11pt Times New Roman, Times, Serif; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td><td style="font: 11pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 11pt Times New Roman, Times, Serif; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif"> $0.20-$0.75</font></td></tr>
<tr style="vertical-align: bottom">
<td style="font: 11pt Times New Roman, Times, Serif; padding-bottom: 1pt; text-indent: 11pt; padding-left: 5.4pt"><font style="font: 10pt Times New Roman, Times, Serif">Warrants
exercised</font></td><td style="font: 11pt Times New Roman, Times, Serif; padding-bottom: 1pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1pt solid; font: 11pt Times New Roman, Times, Serif; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 1pt solid; font: 11pt Times New Roman, Times, Serif; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">(125,000</font></td><td style="padding-bottom: 1pt; font: 11pt Times New Roman, Times, Serif; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif">)</font></td><td style="font: 11pt Times New Roman, Times, Serif; padding-bottom: 1pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1pt solid; font: 11pt Times New Roman, Times, Serif; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif"> $0.20-$0.75</font></td></tr>
<tr style="vertical-align: bottom">
<td style="font: 11pt Times New Roman, Times, Serif; padding-bottom: 2.5pt; padding-left: 5.4pt"><font style="font: 10pt Times New Roman, Times, Serif">Balance,
December 31, 2011</font></td><td style="font: 11pt Times New Roman, Times, Serif; padding-bottom: 2.5pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 2.5pt double; font: 11pt Times New Roman, Times, Serif; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 2.5pt double; font: 11pt Times New Roman, Times, Serif; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">600,000</font></td><td style="padding-bottom: 2.5pt; font: 11pt Times New Roman, Times, Serif; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td><td style="font: 11pt Times New Roman, Times, Serif; padding-bottom: 2.5pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 2.5pt double; font: 11pt Times New Roman, Times, Serif; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif"> $0.20-$0.75</font></td></tr>
<tr style="vertical-align: bottom">
<td style="padding-left: 5.4pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td><td><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td><td style="text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom">
<td style="font: 11pt Times New Roman, Times, Serif; padding-left: 5.4pt"><font style="font: 10pt Times New Roman, Times, Serif">The
above common stock warrants expire as follows:</font></td><td><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td><td style="text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom">
<td style="font: bold 11pt Times New Roman, Times, Serif; padding-left: 5.4pt"><font style="font: 10pt Times New Roman, Times, Serif"> <br />Year
Ended December 31:</font></td><td><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td><td style="text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom">
<td style="font: 11pt Times New Roman, Times, Serif; text-indent: 77pt; padding-left: 5.4pt"><font style="font: 10pt Times New Roman, Times, Serif">2012</font></td><td style="font: 11pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 11pt Times New Roman, Times, Serif; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td><td style="font: 11pt Times New Roman, Times, Serif; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">350,000</font></td><td style="font: 11pt Times New Roman, Times, Serif; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom">
<td style="font: 11pt Times New Roman, Times, Serif; padding-bottom: 1pt; text-indent: 77pt; padding-left: 5.4pt"><font style="font: 10pt Times New Roman, Times, Serif">Thereafter</font></td><td style="font: 11pt Times New Roman, Times, Serif; padding-bottom: 1pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1pt solid; font: 11pt Times New Roman, Times, Serif; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 1pt solid; font: 11pt Times New Roman, Times, Serif; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">250,000</font></td><td style="padding-bottom: 1pt; font: 11pt Times New Roman, Times, Serif; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom">
<td style="padding-bottom: 2.5pt; padding-left: 5.4pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td><td style="font: 11pt Times New Roman, Times, Serif; padding-bottom: 2.5pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 2.5pt double; font: 11pt Times New Roman, Times, Serif; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 2.5pt double; font: 11pt Times New Roman, Times, Serif; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">600,000</font></td><td style="padding-bottom: 2.5pt; font: 11pt Times New Roman, Times, Serif; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
</table>
<p style="font: 11pt Times New Roman, Times, Serif; margin: 0 0 0 27.35pt; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 11pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"><u>Preferred
Stock </u></font></p>
<p style="font: 11pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"> The
Company's Articles of Incorporation authorize 10,000,000 shares of $0.01 par value preferred stock available for issuance with
such rights and preferences, including liquidation, dividend, conversion, and voting rights, as the Board of Directors may determine. </font></p>
<p style="font: 11pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"> <u>Series
B </u></font></p>
<p style="font: 11pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"> During
1993, the Board established a Series B preferred stock, consisting of 750,000 shares. The Series B preferred stock has preference
over the Company's common stock and Series A preferred stock; has no voting rights (absent default in payment of declared dividends);
and is entitled to cumulative dividends of $0.01 per share per year, payable if and when declared by the Board of Directors. In
the event of dissolution or liquidation of the Company, the preferential amount payable to Series B preferred stockholders is
$1.00 per share plus dividends in arrears. No dividends have been declared or paid with respect to the Series B preferred stock.
At December 31, 2011, cumulative dividends in arrears on the outstanding Series B shares were $127,500 or $0.17 per share. At
December 31, 2010, cumulative dividends in arrears on the outstanding Series B shares were $120,000, or $0.16 per share. </font></p>
<p style="font: 11pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"> <u>Series
C </u></font></p>
<p style="font: 11pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif">During
2000, the Board established a Series C preferred stock, consisting of 205,996 shares. The Series C preferred stock has preference
over the Company’s common stock and has voting rights, but no dividend rights. In the event of dissolution or liquidation
of the Company, the preferential amount payable to Series C preferred stockholders is $0.55 per share. </font></p>
<p style="font: 11pt Times New Roman Bold,serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"></p>
<p style="font: 11pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"><u>Series
D </u></font></p>
<p style="font: 11pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif">During
2002, the Board established a Series D preferred stock, authorizing the issuance of up to 2,500,000 shares. The Series D preferred
stock has preference over the Company’s common stock but is subordinate to the liquidation preferences of the holders of
the Company’s outstanding Series A, Series B and Series C preferred stock. Series D preferred stock carries voting rights
and is entitled to annual dividends of $0.0235 per share. The dividends are cumulative and payable after payment and satisfaction
of the Series A, B and C preferred stock dividends. No dividends have been declared or paid with respect to the Series D preferred
stock. At December 31, 2011 and 2010, cumulative dividends in arrears on the 1,751,005 outstanding Series D shares were $336,920
and $295,771, respectively, payable if and when declared by the Board of Directors. In the event of dissolution or liquidation
of the Company, the preferential amount payable to Series D preferred stockholders is $2.50 per share. At December 31, 2011 and
2010, the liquidation preference for Series D preferred stock was $4,377,513. Holders of the Series D preferred stock have the
right, subject to the availability of authorized but unissued common stock, to convert their shares at $0.20 into shares of the
Company's common stock without payment of additional consideration and are not redeemable unless by mutual consent. The majority
of Series D preferred shares are held by John Lawrence, president of the Company. </font></p>
<p style="font: 11pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="margin: 0pt"> </p>
<p style="font: 11pt Times New Roman Bold,serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"><b>9.	2000
Stock Plan </b></font></p>
<p style="font: 11pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif">In
January 2000, the Company's Board of Directors resolved to create the United States Antimony Corporation 2000 Stock Plan ("the
Plan"). The purpose of the Plan is to attract and retain the best available personnel for positions of substantial responsibility
and to provide additional incentive to employees, directors and consultants of the Company to promote the success of the Company's
business. The maximum number of shares of common stock or options to purchase common stock that may be issued pursuant to the
Plan is 500,000. At December 31, 2011 and 2010, 300,000 shares of the Company's common stock had been issued under the Plan. There
were no issuances under the Plan during 2011 and 2010.  </font></p>
<p style="margin: 0pt"></p>
<p style="margin: 0pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 11pt Times New Roman Bold,serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"><b>10.	Income
Taxes</b></font></p>
<p style="font: 11pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">  </font></p>
<p style="font: 11pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
Company recorded a state and federal tax provision of $105,610 for 2011, a deferred income tax benefit of $493,000 for 2010, and
did not recognize a tax provision or benefit for 2009. (The following table is only for two years since it relates to balance
sheet accounts.) </font></p>
<p style="font: 11pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> At
December 31, 2011, 2010 and 2009, the Company had net deferred tax assets as follows: </font></p>
<p style="font: 11pt Times New Roman, Times, Serif; margin: 0 0 0 27.35pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table align="center" cellspacing="0" cellpadding="0" style="width: 100%; margin-left: 4.65pt; border-collapse: collapse">
<tr style="vertical-align: bottom">
<td nowrap="nowrap" style="width: 11%; padding-right: 5.4pt; padding-left: 5.4pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td nowrap="nowrap" style="width: 57%; padding-right: 5.4pt; padding-left: 5.4pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td nowrap="nowrap" style="width: 13%; border-bottom: windowtext 1pt solid; font: bold 11pt Times New Roman, Times, Serif; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif">2011</font></td>
<td nowrap="nowrap" style="width: 3%; padding-right: 5.4pt; padding-left: 5.4pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td nowrap="nowrap" style="width: 13%; border-bottom: windowtext 1pt solid; font: bold 11pt Times New Roman, Times, Serif; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif">2010</font></td>
<td nowrap="nowrap" style="width: 3%; padding-right: 5.4pt; padding-left: 5.4pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom">
<td nowrap="nowrap" style="padding-right: 5.4pt; padding-left: 5.4pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td nowrap="nowrap" style="font: 11pt Times New Roman, Times, Serif; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none"><font style="font: 10pt Times New Roman, Times, Serif">Differences
in the book and tax basis of</font></td>
<td nowrap="nowrap" style="padding-right: 5.4pt; padding-left: 5.4pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td nowrap="nowrap" style="padding-right: 5.4pt; padding-left: 5.4pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td nowrap="nowrap" style="padding-right: 5.4pt; padding-left: 5.4pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td nowrap="nowrap" style="padding-right: 5.4pt; padding-left: 5.4pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom">
<td nowrap="nowrap" style="padding-right: 5.4pt; padding-left: 5.4pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td nowrap="nowrap" style="font: 11pt Times New Roman, Times, Serif; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-indent: 11pt"><font style="font: 10pt Times New Roman, Times, Serif">properties,
plants and equipment</font></td>
<td nowrap="nowrap" style="font: 11pt Times New Roman, Times, Serif; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif"> $    
79,164</font></td>
<td nowrap="nowrap" style="padding-right: 5.4pt; padding-left: 5.4pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td nowrap="nowrap" style="font: 11pt Times New Roman, Times, Serif; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif"> $  
28,000</font></td>
<td nowrap="nowrap" style="padding-right: 5.4pt; padding-left: 5.4pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom">
<td nowrap="nowrap" style="padding-right: 5.4pt; padding-left: 5.4pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td nowrap="nowrap" style="font: 11pt Times New Roman, Times, Serif; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none"><font style="font: 10pt Times New Roman, Times, Serif">Other</font></td>
<td nowrap="nowrap" style="font: 11pt Times New Roman, Times, Serif; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">         
2,926</font></td>
<td nowrap="nowrap" style="padding-right: 5.4pt; padding-left: 5.4pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td nowrap="nowrap" style="font: 11pt Times New Roman, Times, Serif; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">-</font></td>
<td nowrap="nowrap" style="padding-right: 5.4pt; padding-left: 5.4pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom">
<td nowrap="nowrap" style="padding-right: 5.4pt; padding-left: 5.4pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td nowrap="nowrap" style="font: 11pt Times New Roman, Times, Serif; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none"><font style="font: 10pt Times New Roman, Times, Serif">Limitation
in deduction of foreign</font></td>
<td nowrap="nowrap" style="padding-right: 5.4pt; padding-left: 5.4pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td nowrap="nowrap" style="padding-right: 5.4pt; padding-left: 5.4pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td nowrap="nowrap" style="padding-right: 5.4pt; padding-left: 5.4pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td nowrap="nowrap" style="padding-right: 5.4pt; padding-left: 5.4pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom">
<td nowrap="nowrap" style="padding-right: 5.4pt; padding-left: 5.4pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td nowrap="nowrap" style="font: 11pt Times New Roman, Times, Serif; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-indent: 11pt"><font style="font: 10pt Times New Roman, Times, Serif">exploration
costs</font></td>
<td nowrap="nowrap" style="font: 11pt Times New Roman, Times, Serif; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">     
249,309</font></td>
<td nowrap="nowrap" style="padding-right: 5.4pt; padding-left: 5.4pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td nowrap="nowrap" style="font: 11pt Times New Roman, Times, Serif; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">     
256,000</font></td>
<td nowrap="nowrap" style="padding-right: 5.4pt; padding-left: 5.4pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom">
<td nowrap="nowrap" style="font: 11pt Times New Roman, Times, Serif; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td nowrap="nowrap" style="font: 11pt Times New Roman, Times, Serif; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none"><font style="font: 10pt Times New Roman, Times, Serif">Foreign
net operating loss carryforward</font></td>
<td nowrap="nowrap" style="font: 11pt Times New Roman, Times, Serif; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">390,000</font></td>
<td nowrap="nowrap" style="font: 11pt Times New Roman, Times, Serif; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td nowrap="nowrap" style="font: 11pt Times New Roman, Times, Serif; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">210,000</font></td>
<td nowrap="nowrap" style="font: 11pt Times New Roman, Times, Serif; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom">
<td nowrap="nowrap" style="padding-right: 5.4pt; padding-left: 5.4pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td nowrap="nowrap" style="font: 11pt Times New Roman, Times, Serif; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none"><font style="font: 10pt Times New Roman, Times, Serif">Federal
net operating loss carryforward</font></td>
<td nowrap="nowrap" style="border-bottom: windowtext 1pt solid; font: 11pt Times New Roman, Times, Serif; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">       
65,159</font></td>
<td nowrap="nowrap" style="padding-right: 5.4pt; padding-left: 5.4pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td nowrap="nowrap" style="border-bottom: windowtext 1pt solid; font: 11pt Times New Roman, Times, Serif; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">     
698,000</font></td>
<td nowrap="nowrap" style="padding-right: 5.4pt; padding-left: 5.4pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom">
<td nowrap="nowrap" style="padding-right: 5.4pt; padding-left: 5.4pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td nowrap="nowrap" style="font: 11pt Times New Roman, Times, Serif; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none"><font style="font: 10pt Times New Roman, Times, Serif">Total
deferred tax assets</font></td>
<td nowrap="nowrap" style="font: 11pt Times New Roman, Times, Serif; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">     
786,558</font></td>
<td nowrap="nowrap" style="padding-right: 5.4pt; padding-left: 5.4pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td nowrap="nowrap" style="font: 11pt Times New Roman, Times, Serif; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">  
1,192,000</font></td>
<td nowrap="nowrap" style="padding-right: 5.4pt; padding-left: 5.4pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom">
<td nowrap="nowrap" style="font: 11pt Times New Roman, Times, Serif; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td nowrap="nowrap" style="padding-right: 5.4pt; padding-left: 5.4pt"><p style="font: 11pt Times New Roman, Times, Serif; margin: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 11pt Times New Roman, Times, Serif; margin: 0"><font style="font: 10pt Times New Roman, Times, Serif">Valuation
allowance (foreign)</font></p></td>
<td nowrap="nowrap" style="font: 11pt Times New Roman, Times, Serif; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">(390,000)</font></td>
<td nowrap="nowrap" style="font: 11pt Times New Roman, Times, Serif; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td nowrap="nowrap" style="font: 11pt Times New Roman, Times, Serif; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">(210,000)</font></td>
<td nowrap="nowrap" style="font: 11pt Times New Roman, Times, Serif; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom">
<td nowrap="nowrap" style="padding-right: 5.4pt; padding-left: 5.4pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td nowrap="nowrap" style="font: 11pt Times New Roman, Times, Serif; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none"><font style="font: 10pt Times New Roman, Times, Serif">Valuation
allowance (federal)</font></td>
<td nowrap="nowrap" style="font: 11pt Times New Roman, Times, Serif; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">               
-  </font></td>
<td nowrap="nowrap" style="padding-right: 5.4pt; padding-left: 5.4pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td nowrap="nowrap" style="font: 11pt Times New Roman, Times, Serif; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif"> (489,000)</font></td>
<td nowrap="nowrap" style="padding-right: 5.4pt; padding-left: 5.4pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom">
<td nowrap="nowrap" style="padding-right: 5.4pt; padding-left: 5.4pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td nowrap="nowrap" style="font: 11pt Times New Roman, Times, Serif; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-indent: 11pt"><font style="font: 10pt Times New Roman, Times, Serif">Net
deferred tax assets</font></td>
<td nowrap="nowrap" style="border-top: windowtext 1pt solid; border-bottom: windowtext 2.25pt double; font: 11pt Times New Roman, Times, Serif; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif"> $  
396,558</font></td>
<td nowrap="nowrap" style="padding-right: 5.4pt; padding-left: 5.4pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td nowrap="nowrap" style="border-top: windowtext 1pt solid; border-bottom: windowtext 2.25pt double; font: 11pt Times New Roman, Times, Serif; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif"> $  
493,000</font></td>
<td nowrap="nowrap" style="padding-right: 5.4pt; padding-left: 5.4pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
</table>
<p style="font: 11pt Times New Roman Bold,serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"><b> </b></font></p>
<p style="font: 11pt Times New Roman Bold,serif; margin: 0; text-align: justify"></p>
<p style="font: 11pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif">The
deferred tax assets were calculated based on an estimated 38.5% combined federal and state income tax rate for 2011, and an estimated
34% income tax rate for 2010 and 2009. Existing and forecasted pretax earnings for financial reporting purposes are sufficient
to generate the estimated required future taxable income required to realize the recognized (federal) net deferred tax asset as
of December 31, 2011. </font></p>
<p style="font: 11pt Times New Roman Bold,serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif">At
December 31, 2011, the Company had unexpired federal regular tax net operating loss carryforwards of approximately $170,000, which
expire between 2026 and 2029. In addition, the Company has unexpired Montana state net operating loss carryforwards of $20,000
which expire between 2013 and 2016 and approximately $1.3 million in Mexico which expires between 2019 and 2021. </font></p>
<p style="font: 11pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif">The
income tax provision (benefit) differs from the amount of income tax determined by applying the U.S. federal income tax rate to
pretax income (loss) for the years ended December 31, 2011, 2010 and 2009 due to the following: </font></p>
<p style="font: 11pt Times New Roman, Times, Serif; margin: 0 0 0 27.6pt; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellspacing="0" cellpadding="0" style="width: 100%; font: 11pt Times New Roman, Times, Serif; margin-left: 27.6pt; border-collapse: collapse">
<tr style="vertical-align: top">
<td style="border: windowtext 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="border: windowtext 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif">2011</font></td>
<td colspan="2" style="border: windowtext 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif">2010</font></td>
<td colspan="2" style="border: windowtext 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif">2009</font></td></tr>
<tr style="vertical-align: top">
<td style="width: 38%; border: windowtext 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Computed
expected tax provision (benefit)</font></td>
<td style="width: 14%; border-right: windowtext 1pt solid; border-bottom: windowtext 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">$ 
   252,460</font></td>
<td style="width: 10%; border-right: windowtext 1pt solid; border-bottom: windowtext 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif">34.0%</font></td>
<td style="width: 12%; border-right: windowtext 1pt solid; border-bottom: windowtext 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">$ 
106,000</font></td>
<td style="width: 9%; border-right: windowtext 1pt solid; border-bottom: windowtext 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif">34.0%</font></td>
<td style="width: 10%; border-right: windowtext 1pt solid; border-bottom: windowtext 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">$(99,000)</font></td>
<td style="width: 7%; border-right: windowtext 1pt solid; border-bottom: windowtext 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif">(34%)</font></td></tr>
<tr style="vertical-align: top">
<td style="border: windowtext 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="border-right: windowtext 1pt solid; border-bottom: windowtext 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="border-right: windowtext 1pt solid; border-bottom: windowtext 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="border-right: windowtext 1pt solid; border-bottom: windowtext 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="border-right: windowtext 1pt solid; border-bottom: windowtext 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="border-right: windowtext 1pt solid; border-bottom: windowtext 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="border-right: windowtext 1pt solid; border-bottom: windowtext 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: top">
<td style="border: windowtext 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Effect
of permanent differences</font></td>
<td style="border-right: windowtext 1pt solid; border-bottom: windowtext 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">4,662</font></td>
<td style="border-right: windowtext 1pt solid; border-bottom: windowtext 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif">0.6%</font></td>
<td style="border-right: windowtext 1pt solid; border-bottom: windowtext 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">30,000</font></td>
<td style="border-right: windowtext 1pt solid; border-bottom: windowtext 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif">9.6%</font></td>
<td style="border-right: windowtext 1pt solid; border-bottom: windowtext 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">23,000</font></td>
<td style="border-right: windowtext 1pt solid; border-bottom: windowtext 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif">7.9%</font></td></tr>
<tr style="vertical-align: top">
<td style="border: windowtext 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Foreign
taxes</font></td>
<td style="border-right: windowtext 1pt solid; border-bottom: windowtext 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">24,000</font></td>
<td style="border-right: windowtext 1pt solid; border-bottom: windowtext 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif">3.2%</font></td>
<td style="border-right: windowtext 1pt solid; border-bottom: windowtext 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">-</font></td>
<td style="border-right: windowtext 1pt solid; border-bottom: windowtext 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif">-</font></td>
<td style="border-right: windowtext 1pt solid; border-bottom: windowtext 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">-</font></td>
<td style="border-right: windowtext 1pt solid; border-bottom: windowtext 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif">-</font></td></tr>
<tr style="vertical-align: top">
<td style="border: windowtext 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Other
(1)</font></td>
<td style="border-right: windowtext 1pt solid; border-bottom: windowtext 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">133,488</font></td>
<td style="border-right: windowtext 1pt solid; border-bottom: windowtext 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif">118%</font></td>
<td style="border-right: windowtext 1pt solid; border-bottom: windowtext 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">-</font></td>
<td style="border-right: windowtext 1pt solid; border-bottom: windowtext 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif">-</font></td>
<td style="border-right: windowtext 1pt solid; border-bottom: windowtext 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">-</font></td>
<td style="border-right: windowtext 1pt solid; border-bottom: windowtext 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif">-</font></td></tr>
<tr style="vertical-align: top">
<td style="border: windowtext 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Increase
in valuation allowance</font></td>
<td style="border-right: windowtext 1pt solid; border-bottom: windowtext 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">-</font></td>
<td style="border-right: windowtext 1pt solid; border-bottom: windowtext 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif">-</font></td>
<td style="border-right: windowtext 1pt solid; border-bottom: windowtext 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">-</font></td>
<td style="border-right: windowtext 1pt solid; border-bottom: windowtext 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif">-</font></td>
<td style="border-right: windowtext 1pt solid; border-bottom: windowtext 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">76,000</font></td>
<td style="border-right: windowtext 1pt solid; border-bottom: windowtext 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif">26.1%</font></td></tr>
<tr style="vertical-align: top">
<td style="border: windowtext 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Release
in valuation allowance</font></td>
<td style="border-right: windowtext 1pt solid; border-bottom: windowtext 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">(309,000)</font></td>
<td style="border-right: windowtext 1pt solid; border-bottom: windowtext 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif">(142%)</font></td>
<td style="border-right: windowtext 1pt solid; border-bottom: windowtext 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">(629,000)</font></td>
<td style="border-right: windowtext 1pt solid; border-bottom: windowtext 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif">(202%)</font></td>
<td style="border-right: windowtext 1pt solid; border-bottom: windowtext 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">-</font></td>
<td style="border-right: windowtext 1pt solid; border-bottom: windowtext 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif">-</font></td></tr>
<tr style="vertical-align: top">
<td style="border: windowtext 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="border-right: windowtext 1pt solid; border-bottom: windowtext 1.5pt double; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">$
    105,610</font></td>
<td style="border-right: windowtext 1pt solid; border-bottom: windowtext 1.5pt double; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif">13.9%</font></td>
<td style="border-right: windowtext 1pt solid; border-bottom: windowtext 1.5pt double; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">$
(493,000)</font></td>
<td style="border-right: windowtext 1pt solid; border-bottom: windowtext 1.5pt double; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif">(158%)</font></td>
<td style="border-right: windowtext 1pt solid; border-bottom: windowtext 1.5pt double; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">$           
-</font></td>
<td style="border-right: windowtext 1pt solid; border-bottom: windowtext 1.5pt double; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif">-</font></td></tr>
</table>
<p style="font: 11pt Times New Roman, Times, Serif; margin: 0 0 0 27.6pt; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif">(1)</font>  
Rate differential as management has refined their estimate to 38.5% currently </p>
<p style="font: 11pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"> During
the years ended December 31, 2011, 2010, and 2009, there were no material uncertain tax positions taken by the Company. The Company
has determined that it is subject to examination of our income tax filings in the United States jurisdictions for the 2008 through
2011 tax years, and 2010 and 2011 in Mexico. In the event that the Company is assessed penalties and or interest, penalties will
be charged to other operating expense and interest will be charged to interest expense. </font></p>
<p style="margin: 0pt"></p>
<p style="margin: 0pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 11pt Times New Roman Bold,serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"><b>11.	Related-Party
Transactions</b></font></p>
<p style="font: 9pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 11pt Times New Roman, Times, Serif; margin: 0 0 0 27.35pt; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Amounts
due to related parties at December 31, 2011 and 2010 were as follows:</font></p>
<p style="font: 11pt Times New Roman, Times, Serif; margin: 0 0 0 27.35pt; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table align="center" cellspacing="0" cellpadding="0" style="width: 100%; margin-left: 4.65pt; border-collapse: collapse">
<tr style="vertical-align: bottom">
<td nowrap="nowrap" style="width: 71%; font: 11pt Times New Roman, Times, Serif; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none"><font style="font: 10pt Times New Roman, Times, Serif">           </font></td>
<td nowrap="nowrap" style="width: 10%; border-bottom: windowtext 1pt solid; font: bold 11pt Times New Roman, Times, Serif; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif">2011</font></td>
<td nowrap="nowrap" style="width: 3%; padding-right: 5.4pt; padding-left: 5.4pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td nowrap="nowrap" style="width: 12%; border-bottom: windowtext 1pt solid; font: bold 11pt Times New Roman, Times, Serif; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif">2010</font></td>
<td nowrap="nowrap" style="width: 4%; padding-right: 5.4pt; padding-left: 5.4pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom">
<td nowrap="nowrap" style="font: 11pt Times New Roman, Times, Serif; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">Payable
to officer for antimony ore</font></td>
<td nowrap="nowrap" style="font: 11pt Times New Roman, Times, Serif; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">54,131</font></td>
<td nowrap="nowrap" style="font: 11pt Times New Roman, Times, Serif; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td nowrap="nowrap" style="font: 11pt Times New Roman, Times, Serif; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">-</font></td>
<td nowrap="nowrap" style="font: 11pt Times New Roman, Times, Serif; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom">
<td nowrap="nowrap" style="font: 11pt Times New Roman, Times, Serif; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">John
C. Lawrence, president and director(1)</font></td>
<td nowrap="nowrap" style="font: 11pt Times New Roman, Times, Serif; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">  
47,843</font></td>
<td nowrap="nowrap" style="padding-right: 5.4pt; padding-left: 5.4pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td nowrap="nowrap" style="font: 11pt Times New Roman, Times, Serif; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">  
18,060</font></td>
<td nowrap="nowrap" style="padding-right: 5.4pt; padding-left: 5.4pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom">
<td nowrap="nowrap" style="padding-right: 5.4pt; padding-left: 5.4pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td nowrap="nowrap" style="border-top: windowtext 1pt solid; border-bottom: windowtext 2.25pt double; font: 11pt Times New Roman, Times, Serif; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif"> $101,974</font></td>
<td nowrap="nowrap" style="padding-right: 5.4pt; padding-left: 5.4pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td nowrap="nowrap" style="border-top: windowtext 1pt solid; border-bottom: windowtext 2.25pt double; font: 11pt Times New Roman, Times, Serif; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif"> $
18,060</font></td>
<td nowrap="nowrap" style="padding-right: 5.4pt; padding-left: 5.4pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
</table>
<p style="font: 11pt Times New Roman, Times, Serif; margin: 0; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 11pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">(1)
Transactions affecting the payable to Mr. Lawrence during 2011, 2010 and 2009 were as follows: </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: right; text-indent: 27.35pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table align="center" cellspacing="0" cellpadding="0" style="font: 11pt Times New Roman, Times, Serif; width: 100%; margin-left: 4.65pt; border-collapse: collapse">
<tr style="vertical-align: bottom">
<td nowrap="nowrap" style="width: 66%; padding-right: 5.4pt; padding-left: 5.4pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td nowrap="nowrap" style="width: 9%; border-bottom: windowtext 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; font-weight: bold; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">2011</font></td>
<td nowrap="nowrap" style="width: 2%; padding-right: 5.4pt; padding-left: 5.4pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td nowrap="nowrap" style="width: 9%; border-bottom: windowtext 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; font-weight: bold; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">2010</font></td>
<td nowrap="nowrap" style="width: 4%; padding-right: 5.4pt; padding-left: 5.4pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td nowrap="nowrap" style="width: 10%; border-bottom: windowtext 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; font-weight: bold; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">2009</font></td></tr>
<tr style="vertical-align: bottom">
<td nowrap="nowrap" style="padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">Balance,
beginning of year</font></td>
<td nowrap="nowrap" style="padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif"> $18,060</font></td>
<td nowrap="nowrap" style="padding-right: 5.4pt; padding-left: 5.4pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td nowrap="nowrap" style="padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif"> $  
8,394</font></td>
<td nowrap="nowrap" style="padding-right: 5.4pt; padding-left: 5.4pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td nowrap="nowrap" style="padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">$324,158</font></td></tr>
<tr style="vertical-align: bottom">
<td nowrap="nowrap" style="padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">Aircraft
rental charges</font></td>
<td nowrap="nowrap" style="padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">  
86,058</font></td>
<td nowrap="nowrap" style="padding-right: 5.4pt; padding-left: 5.4pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td nowrap="nowrap" style="padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif"> 129,177</font></td>
<td nowrap="nowrap" style="padding-right: 5.4pt; padding-left: 5.4pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td nowrap="nowrap" style="padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif"> 
102,049</font></td></tr>
<tr style="vertical-align: bottom">
<td nowrap="nowrap" style="padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">Conversion
of payables and exercise of warrants</font></td>
<td nowrap="nowrap" style="padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">            
-</font></td>
<td nowrap="nowrap" style="padding-right: 5.4pt; padding-left: 5.4pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td nowrap="nowrap" style="padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">            
-</font></td>
<td nowrap="nowrap" style="padding-right: 5.4pt; padding-left: 5.4pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td nowrap="nowrap" style="padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">(328,132)</font></td></tr>
<tr style="vertical-align: bottom">
<td nowrap="nowrap" style="padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">Payments
and advances, net</font></td>
<td nowrap="nowrap" style="padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif"> (52,675)</font></td>
<td nowrap="nowrap" style="padding-right: 5.4pt; padding-left: 5.4pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td nowrap="nowrap" style="padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">(119,511)</font></td>
<td nowrap="nowrap" style="padding-right: 5.4pt; padding-left: 5.4pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td nowrap="nowrap" style="padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif"> 
(89,681)</font></td></tr>
<tr style="vertical-align: bottom">
<td nowrap="nowrap" style="padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">Balance,
end of year</font></td>
<td nowrap="nowrap" style="border-top: windowtext 1pt solid; border-bottom: windowtext 2.25pt double; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif"> $47,843</font></td>
<td nowrap="nowrap" style="padding-right: 5.4pt; padding-left: 5.4pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td nowrap="nowrap" style="border-top: windowtext 1pt solid; border-bottom: windowtext 2.25pt double; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif"> $
18,060</font></td>
<td nowrap="nowrap" style="padding-right: 5.4pt; padding-left: 5.4pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td nowrap="nowrap" style="border-top: windowtext 1pt solid; border-bottom: windowtext 2.25pt double; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif"> $  
8,394</font></td></tr>
</table>
<p style="font: 11pt Times New Roman Bold,serif; margin: 0; text-align: justify"></p>
<p style="font: 11pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: justify"></p>
<p style="font: 11pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif">In
addition to transactions described above and in Note 9,<b> </b>during 2011, 2010, and 2009, the Company had the following transactions
with related parties: </font></p>
<p style="font: 11pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif">During
2009 a convertible note payable to John C. Lawrence, the Company's president and a director, was converted into 500,000 shares
of the Company’s common stock. In addition, during 2009 $200,000 of payable to related parties payable, including outstanding
accrued interest payable, was used by Mr. Lawrence to exercise warrants initially issued in connection with the convertible note
payable, for the purchase of 1,000,000 shares of common stock. </font></p>
<p style="font: 11pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif">During
2011, members of the audit committee were paid $24,000 in cash during 2011. </font></p>
<p style="font: 11pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif">During
2011, 2010, and 2009, the Company paid $107,359, $55,469 and $159,995, respectively to a director for development of Mexican mill
sites and consulting fees. </font></p>
<p style="font: 11pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif">A
director of the Company acted as legal counsel to the Company. During the years ended December 31, 2011, 2010 and 2009, the Company
paid legal fees and expenses to this director in the amount of $37,083, $32,000 and $23,500, respectively. </font></p>
<p style="font: 11pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif">Royalty
expense based on sales of zeolite of $45,515, $54,587 and $46,867 was incurred for the years ended December 31, 2011, 2010 and
2009, respectively, to a company controlled by Al Dugan, a significant stockholder and the father of a director. </font></p>
<p style="margin: 0pt"></p>
<p style="margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: justify"> </p>
<p style="font: 11pt Times New Roman Bold,serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"><b>12.	Commitments
and Contingencies </b></font></p>
<p style="font: 11pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif">In
2005, AM signed an option agreement that gives AM the exclusive right to explore and develop the San Miguel I and San Miguel II
concessions for an annual payment of $50,000, and an option to purchase payment of $100,000 annually. Total payments will not
exceed $1,430,344, reduced by taxes paid. During the years ended December 31, 2011, 2010 and 2009, $186,956, $186,956 and $86,956
was paid or accrued and capitalized as mineral rights in accordance with the Company’s accounting policies. </font></p>
<p style="font: 11pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif">From
time to time, the Company is assessed fines and penalties by the Mine Safety and Health Administration (“MSHA”). Using
appropriate regulatory channels, management may contest these proposed assessments, and has accrued $27,503 and $40,604 in other
accrued liabilities as of December 31, 2011, and 2010, respectively, related to these settled claims. </font></p>
<p style="margin: 0pt"></p>
<p style="margin: 0pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 11pt Times New Roman Bold,serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"><b>13.	Business
Segments </b></font></p>
<p style="font: 11pt Arial, Helvetica, Sans-Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
Company has two operating segments, antimony and zeolite. Management reviews and evaluates the operating segments exclusive of
interest and factoring expenses. Therefore, interest and factoring expense is not allocated to the segments. </font></p>
<p style="font: 11pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
Madero smelter at the Company’s Mexico operation brings antimony up to an intermediate stage, which must then be shipped
to the United States operation for finishing. </font></p>
<p style="font: 11pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Selected
information with respect to segments for the years ended December 31, 2011, 2010 and 2009 is as follows: </font></p>
<p style="margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: justify"></p>
<table cellpadding="0" cellspacing="0" style="width: 100%; font: 10pt Times New Roman, Times, Serif">
<tr style="vertical-align: bottom">
<td style="text-align: center"> </td><td style="font-weight: bold; padding-bottom: 1pt"> </td>
<td colspan="3" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid">2011</td><td style="font-weight: bold; padding-bottom: 1pt"> </td>
<td colspan="3" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid">2010</td><td style="font-weight: bold; padding-bottom: 1pt"> </td>
<td colspan="3" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid">2009</td></tr>
<tr style="vertical-align: bottom">
<td style="font-weight: bold; text-align: left; padding-left: 12px">Antimony Division - United States:</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom">
<td style="width: 46%; text-align: left; padding-left: 24px">Revenues - Antimony</td><td style="width: 5%"> </td>
<td style="width: 1%; text-align: left">$</td><td style="width: 11%; text-align: right">10,406,636</td><td style="width: 1%; text-align: left"> </td><td style="width: 5%"> </td>
<td style="width: 1%; text-align: left">$</td><td style="width: 11%; text-align: right">6,174,062</td><td style="width: 1%; text-align: left"> </td><td style="width: 5%"> </td>
<td style="width: 1%; text-align: left">$</td><td style="width: 11%; text-align: right">2,526,663</td><td style="width: 1%; text-align: left"> </td></tr>
<tr style="vertical-align: bottom">
<td style="text-align: left; padding-bottom: 1pt; padding-left: 24px">Revenues - Precious metals</td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">667,813</td><td style="padding-bottom: 1pt; text-align: left"> </td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">483,307</td><td style="padding-bottom: 1pt; text-align: left"> </td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">40,444</td><td style="padding-bottom: 1pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom">
<td style="text-align: left; padding-bottom: 1pt; padding-left: 24px"> </td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">11,074,449</td><td style="padding-bottom: 1pt; text-align: left"> </td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">6,657,369</td><td style="padding-bottom: 1pt; text-align: left"> </td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">2,567,107</td><td style="padding-bottom: 1pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom">
<td style="text-align: left; padding-left: 24px">Domestic cost of sales:</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom">
<td style="text-align: left; padding-left: 36px">Production costs</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">7,294,421</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">4,786,197</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">1,617,041</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom">
<td style="text-align: left; padding-left: 36px">Depreciation</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">29,963</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">27,387</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">71,929</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom">
<td style="text-align: left; padding-left: 36px">Freight and delivery</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">216,668</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">236,623</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">121,144</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom">
<td style="text-align: left; padding-left: 36px">General and administrative</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">280,853</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">80,267</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">78,587</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom">
<td style="text-align: left; padding-bottom: 1pt; padding-left: 36px">Direct sales expense</td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">64,421</td><td style="padding-bottom: 1pt; text-align: left"> </td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">45,447</td><td style="padding-bottom: 1pt; text-align: left"> </td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">46,875</td><td style="padding-bottom: 1pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom">
<td style="text-align: left; padding-bottom: 1pt; padding-left: 36px">      Total domestic antimony cost of sales</td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">7,886,326</td><td style="padding-bottom: 1pt; text-align: left"> </td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">5,175,921</td><td style="padding-bottom: 1pt; text-align: left"> </td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">1,935,576</td><td style="padding-bottom: 1pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom">
<td style="text-align: left; padding-left: 36px"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom">
<td style="text-align: left; padding-left: 24px">Cost of sales - Mexico</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom">
<td style="text-align: left; padding-left: 36px">Production costs</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">1,182,730</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">294,391</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">125,949</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom">
<td style="text-align: left; padding-left: 36px">Depreciation</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">169,552</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">141,421</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">—  </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom">
<td style="text-align: left; padding-left: 36px">Freight and delivery</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">121,432</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">5,578</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">—  </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom">
<td style="text-align: left; padding-left: 36px">Other mine and mill costs</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">—  </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">—  </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom">
<td style="text-align: left; padding-bottom: 1pt; padding-left: 36px">General and administrative</td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">158,396</td><td style="padding-bottom: 1pt; text-align: left"> </td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">136,498</td><td style="padding-bottom: 1pt; text-align: left"> </td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">153,418</td><td style="padding-bottom: 1pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom">
<td style="text-align: left; padding-bottom: 1pt; padding-left: 36px">      Total Mexico antimony cost of sales</td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">1,632,110</td><td style="padding-bottom: 1pt; text-align: left"> </td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">577,888</td><td style="padding-bottom: 1pt; text-align: left"> </td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">279,367</td><td style="padding-bottom: 1pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom">
<td style="text-align: left; padding-left: 24px"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom">
<td style="text-align: left; padding-bottom: 1pt; padding-left: 36px">    Total revenues - antimony</td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">11,074,449</td><td style="padding-bottom: 1pt; text-align: left"> </td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">6,657,369</td><td style="padding-bottom: 1pt; text-align: left"> </td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">2,567,107</td><td style="padding-bottom: 1pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom">
<td style="text-align: left; padding-bottom: 1pt; padding-left: 36px">    Total cost of sales - antimony</td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">9,518,436</td><td style="padding-bottom: 1pt; text-align: left"> </td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">5,753,809</td><td style="padding-bottom: 1pt; text-align: left"> </td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">2,214,943</td><td style="padding-bottom: 1pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom">
<td style="text-align: left; padding-bottom: 1pt; padding-left: 36px">    Total gross profit - antimony</td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">1,556,013</td><td style="padding-bottom: 1pt; text-align: left"> </td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">903,560</td><td style="padding-bottom: 1pt; text-align: left"> </td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">352,164</td><td style="padding-bottom: 1pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom">
<td style="text-align: left; padding-left: 36px"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom">
<td style="font-weight: bold; text-align: left; padding-left: 12px">Zeolite Division:</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom">
<td style="text-align: left; padding-bottom: 1pt; padding-left: 24px">Revenues</td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">2,043,641</td><td style="padding-bottom: 1pt; text-align: left"> </td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">2,415,955</td><td style="padding-bottom: 1pt; text-align: left"> </td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">1,536,233</td><td style="padding-bottom: 1pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom">
<td style="text-align: left; padding-left: 24px">Cost of sales:</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom">
<td style="text-align: left; padding-left: 36px">Production costs</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">1,221,101</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">1,254,375</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">830,065</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom">
<td style="text-align: left; padding-left: 36px">Depreciation</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">206,231</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">187,068</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">190,523</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom">
<td style="text-align: left; padding-left: 36px">Freight and delivery</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">103,630</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">16,637</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">68,117</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom">
<td style="text-align: left; padding-left: 36px">General and administrative</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">117,420</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">188,251</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">158,144</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom">
<td style="text-align: left; padding-left: 36px">Royalties</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">197,371</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">229,352</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">202,736</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom">
<td style="text-align: left; padding-bottom: 1pt; padding-left: 36px">Direct sales expense</td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">79,703</td><td style="padding-bottom: 1pt; text-align: left"> </td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">70,100</td><td style="padding-bottom: 1pt; text-align: left"> </td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">69,766</td><td style="padding-bottom: 1pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom">
<td style="text-align: left; padding-bottom: 1pt; padding-left: 36px">      Total cost of sales</td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">1,925,456</td><td style="padding-bottom: 1pt; text-align: left"> </td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">1,945,783</td><td style="padding-bottom: 1pt; text-align: left"> </td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">1,519,351</td><td style="padding-bottom: 1pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom">
<td style="text-align: left; padding-bottom: 1pt; padding-left: 36px">          Gross profit - zeolite</td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">118,185</td><td style="padding-bottom: 1pt; text-align: left"> </td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">470,172</td><td style="padding-bottom: 1pt; text-align: left"> </td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">16,882</td><td style="padding-bottom: 1pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom">
<td style="text-align: left; padding-left: 24px"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom">
<td style="text-align: left; padding-left: 24px">Total revenues - combined</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">13,118,090</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">9,073,324</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">4,103,340</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom">
<td style="text-align: left; padding-bottom: 1pt; padding-left: 24px">Total cost of sales - combined</td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">11,443,892</td><td style="padding-bottom: 1pt; text-align: left"> </td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">7,699,592</td><td style="padding-bottom: 1pt; text-align: left"> </td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">3,734,294</td><td style="padding-bottom: 1pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom">
<td style="text-align: left; padding-bottom: 2.5pt; padding-left: 24px">Total gross profit - combined</td><td style="padding-bottom: 2.5pt"> </td>
<td style="border-bottom: Black 2.5pt double; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; text-align: right">1,674,198</td><td style="padding-bottom: 2.5pt; text-align: left"> </td><td style="padding-bottom: 2.5pt"> </td>
<td style="border-bottom: Black 2.5pt double; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; text-align: right">1,373,732</td><td style="padding-bottom: 2.5pt; text-align: left"> </td><td style="padding-bottom: 2.5pt"> </td>
<td style="border-bottom: Black 2.5pt double; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; text-align: right">369,046</td><td style="padding-bottom: 2.5pt; text-align: left"> </td></tr>
</table>
<p style="margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: justify"></p>
<table align="center" cellspacing="0" cellpadding="0" style="width: 100%; margin-left: 4.65pt; border-collapse: collapse">
<tr style="vertical-align: bottom">
<td nowrap="nowrap" style="width: 59%; padding-right: 5.4pt; padding-left: 5.4pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td nowrap="nowrap" style="width: 19%; border-bottom: windowtext 1pt solid; font: bold 11pt Times New Roman, Times, Serif; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif">2011</font></td>
<td nowrap="nowrap" style="width: 5%; padding-right: 5.4pt; padding-left: 5.4pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td nowrap="nowrap" style="width: 17%; border-bottom: windowtext 1pt solid; font: bold 11pt Times New Roman, Times, Serif; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif">2010</font></td></tr>
<tr style="vertical-align: bottom">
<td nowrap="nowrap" style="font: 11pt Times New Roman, Times, Serif; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none"><font style="font: 10pt Times New Roman, Times, Serif">Capital
expenditures:</font></td>
<td nowrap="nowrap" style="padding-right: 5.4pt; padding-left: 5.4pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td nowrap="nowrap" style="padding-right: 5.4pt; padding-left: 5.4pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td nowrap="nowrap" style="padding-right: 5.4pt; padding-left: 5.4pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom">
<td nowrap="nowrap" style="font: 11pt Times New Roman, Times, Serif; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-indent: 22pt"><font style="font: 10pt Times New Roman, Times, Serif">Antimony</font></td>
<td nowrap="nowrap" style="padding-right: 5.4pt; padding-left: 5.4pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td nowrap="nowrap" style="padding-right: 5.4pt; padding-left: 5.4pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td nowrap="nowrap" style="padding-right: 5.4pt; padding-left: 5.4pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom">
<td nowrap="nowrap" style="font: 11pt Times New Roman, Times, Serif; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-indent: 33pt"><font style="font: 10pt Times New Roman, Times, Serif">United
States</font></td>
<td nowrap="nowrap" style="font: 11pt Times New Roman, Times, Serif; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif"> $  
160,536</font></td>
<td nowrap="nowrap" style="padding-right: 5.4pt; padding-left: 5.4pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td nowrap="nowrap" style="font: 11pt Times New Roman, Times, Serif; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif"> $  
31,300</font></td></tr>
<tr style="vertical-align: bottom">
<td nowrap="nowrap" style="font: 11pt Times New Roman, Times, Serif; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-indent: 33pt"><font style="font: 10pt Times New Roman, Times, Serif">Mexico
(1)</font></td>
<td nowrap="nowrap" style="border-bottom: windowtext 1pt solid; font: 11pt Times New Roman, Times, Serif; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif"> 1,988,345</font></td>
<td nowrap="nowrap" style="padding-right: 5.4pt; padding-left: 5.4pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td nowrap="nowrap" style="border-bottom: windowtext 1pt solid; font: 11pt Times New Roman, Times, Serif; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">   
927,131</font></td></tr>
<tr style="vertical-align: bottom">
<td nowrap="nowrap" style="font: 11pt Times New Roman, Times, Serif; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-indent: 33pt"><font style="font: 10pt Times New Roman, Times, Serif">Subtotal
Antimony</font></td>
<td nowrap="nowrap" style="font: 11pt Times New Roman, Times, Serif; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif"> 2,148,881</font></td>
<td nowrap="nowrap" style="padding-right: 5.4pt; padding-left: 5.4pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td nowrap="nowrap" style="font: 11pt Times New Roman, Times, Serif; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">   
958,431</font></td></tr>
<tr style="vertical-align: bottom">
<td nowrap="nowrap" style="font: 11pt Times New Roman, Times, Serif; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-indent: 22pt"><font style="font: 10pt Times New Roman, Times, Serif">Zeolite</font></td>
<td nowrap="nowrap" style="font: 11pt Times New Roman, Times, Serif; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">   
324,869</font></td>
<td nowrap="nowrap" style="padding-right: 5.4pt; padding-left: 5.4pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td nowrap="nowrap" style="font: 11pt Times New Roman, Times, Serif; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">     
36,300</font></td></tr>
<tr style="vertical-align: bottom">
<td nowrap="nowrap" style="padding-right: 5.4pt; padding-left: 5.4pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td nowrap="nowrap" style="border-top: windowtext 1pt solid; border-bottom: windowtext 2.25pt double; font: 11pt Times New Roman, Times, Serif; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">$2,473,750</font></td>
<td nowrap="nowrap" style="padding-right: 5.4pt; padding-left: 5.4pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td nowrap="nowrap" style="border-top: windowtext 1pt solid; border-bottom: windowtext 2.25pt double; font: 11pt Times New Roman, Times, Serif; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif"> $
994,731</font></td></tr>
<tr style="vertical-align: bottom">
<td nowrap="nowrap" style="padding-right: 5.4pt; padding-left: 5.4pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td nowrap="nowrap" style="padding-right: 5.4pt; padding-left: 5.4pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td nowrap="nowrap" style="padding-right: 5.4pt; padding-left: 5.4pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td nowrap="nowrap" style="padding-right: 5.4pt; padding-left: 5.4pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom">
<td nowrap="nowrap" style="font: 11pt Times New Roman, Times, Serif; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none"><font style="font: 10pt Times New Roman, Times, Serif">Total
Assets:</font></td>
<td nowrap="nowrap" style="padding-right: 5.4pt; padding-left: 5.4pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td nowrap="nowrap" style="padding-right: 5.4pt; padding-left: 5.4pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td nowrap="nowrap" style="padding-right: 5.4pt; padding-left: 5.4pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom">
<td nowrap="nowrap" style="font: 11pt Times New Roman, Times, Serif; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-indent: 22pt"><font style="font: 10pt Times New Roman, Times, Serif">Antimony</font></td>
<td nowrap="nowrap" style="padding-right: 5.4pt; padding-left: 5.4pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td nowrap="nowrap" style="padding-right: 5.4pt; padding-left: 5.4pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td nowrap="nowrap" style="padding-right: 5.4pt; padding-left: 5.4pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom">
<td nowrap="nowrap" style="font: 11pt Times New Roman, Times, Serif; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-indent: 33pt"><font style="font: 10pt Times New Roman, Times, Serif">United
States</font></td>
<td nowrap="nowrap" style="font: 11pt Times New Roman, Times, Serif; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">$1,187,322</font></td>
<td nowrap="nowrap" style="padding-right: 5.4pt; padding-left: 5.4pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td nowrap="nowrap" style="font: 11pt Times New Roman, Times, Serif; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">$1,379,369</font></td></tr>
<tr style="vertical-align: bottom">
<td nowrap="nowrap" style="font: 11pt Times New Roman, Times, Serif; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-indent: 33pt"><font style="font: 10pt Times New Roman, Times, Serif">Mexico</font></td>
<td nowrap="nowrap" style="border-bottom: windowtext 1pt solid; font: 11pt Times New Roman, Times, Serif; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif"> 
4,992,250</font></td>
<td nowrap="nowrap" style="padding-right: 5.4pt; padding-left: 5.4pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td nowrap="nowrap" style="border-bottom: windowtext 1pt solid; font: 11pt Times New Roman, Times, Serif; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif"> 
2,719,630</font></td></tr>
<tr style="vertical-align: bottom">
<td nowrap="nowrap" style="font: 11pt Times New Roman, Times, Serif; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-indent: 33pt"><font style="font: 10pt Times New Roman, Times, Serif">Subtotal
Antimony</font></td>
<td nowrap="nowrap" style="font: 11pt Times New Roman, Times, Serif; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif"> 
6,179,572</font></td>
<td nowrap="nowrap" style="padding-right: 5.4pt; padding-left: 5.4pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td nowrap="nowrap" style="font: 11pt Times New Roman, Times, Serif; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif"> 
3,599,076</font></td></tr>
<tr style="vertical-align: bottom">
<td nowrap="nowrap" style="font: 11pt Times New Roman, Times, Serif; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-indent: 22pt"><font style="font: 10pt Times New Roman, Times, Serif">Zeolite</font></td>
<td nowrap="nowrap" style="font: 11pt Times New Roman, Times, Serif; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif"> 
2,813,956</font></td>
<td nowrap="nowrap" style="padding-right: 5.4pt; padding-left: 5.4pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td nowrap="nowrap" style="font: 11pt Times New Roman, Times, Serif; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif"> 
1,763,903</font></td></tr>
<tr style="vertical-align: bottom">
<td nowrap="nowrap" style="padding-right: 5.4pt; padding-left: 5.4pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td nowrap="nowrap" style="border-top: windowtext 1pt solid; border-bottom: windowtext 2.25pt double; font: 11pt Times New Roman, Times, Serif; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif"> $8,993,528</font></td>
<td nowrap="nowrap" style="padding-right: 5.4pt; padding-left: 5.4pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td nowrap="nowrap" style="border-top: windowtext 1pt solid; border-bottom: windowtext 2.25pt double; font: 11pt Times New Roman, Times, Serif; padding-right: 5.4pt; padding-left: 5.4pt; text-autospace: none; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif"> $5,862,902</font></td></tr>
</table>
<p style="margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: justify"></p>
<p style="margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: justify"></p>
<p style="font: 11pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Segment
disclosures regarding sales to major customers and for inventories and property, plant and equipment are located in Notes 2, 5
and 6, respectively. </font></p>
<p style="margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="margin: 0pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 11pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"><b>14.	Subsequent
Events</b></font></p>
<p style="font: 10pt Times New Roman Bold,serif; margin: 0; text-align: justify; text-indent: 27.35pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 11pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">On
January 9, 2012, the Company issued 1,102,500 shares of common stock for $2.00 per share. Total cash raised in the offering was
$2,205,000. Each share was accompanied by a warrant to purchase an additional share for $2.50 for a period of two years after
the issuance date. </font></p>
<p style="margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: justify"> </p>
This amendment is being filed to comply with regulations.