7. EQUIPMENT

Cost		Drilling equipment
At July 31, 2023	$	644,847
At July 31, 2024	$	644,847
At July 31, 2025	$	-

Accumulated depreciation
At July 31, 2023	$	116,382
Depreciation	$	16,935
At July 31, 2024	$	133,317
Depreciation	$	-
At July 31, 2025	$	-

Total carrying value, July 31, 2023	$	528,465

Total carrying value, July 31, 2024	$	511,530
Assets held for sale	$	(511,530	)
Total carrying value, July 31, 2025	$	-

Assets Held for Sale

During the year ended July 31, 2024, the Company approved a plan to sell its drilling equipment. No impairment loss was recognized on reclassification to asset held for sale as the Company estimated the fair value (estimated based on recent market prices of similar assets) less cost to sell to be higher than the carrying amount. As a result, the net carrying amount of $511,530 was reclassified. On May 16, 2025, the Company entered into an agreement to sell its drilling equipment for a sale price of $100,000 plus $100,000 in contingent payments. $100,000 was received on June 6, 2025 and subsequent payments of $50,000 payable for each of the two drilling rigs sold may be received when each rig drills its first hole to a depth of 200m, no later than four months following delivery. A loss of $411,530 on the sale of assets was recognized for the year ended July 31, 2025. The sale closed subsequent to year end and, as at July 31, 2025, the Company recorded a deposit liability of $100,000 pertaining to the first payment of $100,000 received on June 6, 2025.