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Note 3 - Talapoosa Impairment
12 Months Ended
Sep. 30, 2018
Notes  
Note 3 - Talapoosa Impairment:

NOTE 3 – TALAPOOSA IMPAIRMENT:

 

On March 12, 2015, the Company entered into a property option agreement (“Agreement”) with Gunpoint Exploration Ltd. (“Gunpoint”), which closed on March 31, 2015 and was amended on October 19, 2016 (“Amended Agreement”). Pursuant to the Agreement, Gunpoint granted the Company an exclusive and irrevocable option (“Option”) to purchase a 100% interest in Gunpoint’s Talapoosa project in western Nevada.

 

Pursuant to the Amended Agreement, during the Amended Option Period, among other requirements, the Company was required to pay $2 million and issue one million common shares of the Company by March 31, 2018. The Company did not make the payment of $2 million nor issue the one million common shares of the Company by March 31, 2018, and, therefore, the Amended Agreement was terminated per its terms on March 31, 2018. As a result, on March 31, 2018, the Company wrote off the Company’s entire investment of $3,231,700, including $17,500 the Company invested in the Talapoosa property during the year ended September 30, 2018. The Company received payment of $50,000 from a third party to release the nondisclosure agreement with Gunpoint regarding the Talapoosa property. The payment is included in Miscellaneous other income on the Consolidated Statements of Operations and Comprehensive Income (Loss).