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Note 3- Going Concern
9 Months Ended
Sep. 30, 2012
Notes  
Note 3- Going Concern

Note 3- Going Concern

 

The financial statements have been prepared on a going concern basis.  The going concern basis of presentation assumes that the Company will continue operations for the foreseeable future and will be able to realize its assets and discharge its liabilities and commitments in the normal course of operation.

 

The Company has incurred a net loss of $1,294,158 for the nine month period ended September 30, 2012, and a working capital deficit of $523,914 as of September 30, 2012. As an exploration stage entity, the Company has not yet commenced its mining operations and accordingly does not have any revenue. This casts doubt on the Company’s ability to continue as a going concern unless it can begin to raise adequate financing and generate net profit.

 

The Company has been seeking additional debt or equity financing to support its operations until it becomes cash flow positive.  There can be no assurances that action and plan such as above will be sufficient for the Company to continue operating as a going concern.

 

The financial statements do not include any adjustments relating to the recoverability and classification of recorded asset amounts or amounts classified as liabilities that might be necessary should the Company be unable to continue in existence. These adjustments could be material.