ASSET RETIREMENT OBLIGATION

12 Months Ended

Dec. 31, 2023

ASSET RETIREMENT OBLIGATION

ASSET RETIREMENT OBLIGATION

NOTE 7 – ASSET RETIREMENT OBLIGATION

Changes in the asset retirement obligations for the years ended December 31, 2023 and 2022 were as follows:

	Year ended December 31,
	2023		2022
Asset retirement obligation, beginning of period	$	224,511	$	191,149
Revisions to estimate of retirement obligations		1,075,061		15,596
Accretion expense		13,471		17,766
Changes in asset retirement obligation estimates		324,984		-
Asset retirement obligation, end of period	$	1,638,027	$	224,511

The Company recalculated its asset retirement obligations based on indications that the associated costs had changed. Based on these changes in the estimate of cash flow costs and timing, the Company's asset retirement obligation liability increased by $1,075,061 and $15,596 and the Company’s asset retirement obligation expense increased by $324,984 and $nil during the years ended December 31, 2023 and 2022, respectively. The Company added layers to its asset retirement obligations and assets at its credit-adjusted risk-free rate of 6.65% and 6% during the years ended December 31, 2023 and 2022, respectively. At December 31, 2022, the Company had an asset retirement obligation and an accrued reclamation liability of $332,011, which included accrued reclamation liabilities for Montana and Idaho totaling $107,500.