Property and Equipment

9 Months Ended

Jun. 30, 2013

Property and Equipment [Abstract]

Property and Equipment

3. Property and Equipment:

On June 15, 2012, the Company acquired property and equipment from 2023682 Ontario Inc., a commonly-controlled related party (see Note 6). The cost of these acquired assets was recorded at the same historical carrying values reflected in the accounts of 2023682 Ontario Inc.

Equipment and buildings consist of the following: as of June 30, 2013 and September 30, 2012:

	June 30, 2013		September 30, 2012
Equipment	$	94,044	$	102,417
Less accumulated depreciation		10,964		3,083
Net equipment		83,080		99,334
Buildings		31,701		16,973
Less accumulated depreciation		2,689		511
Net buildings		29,012		16,462
Net property and equipment	$	112,092	$	115,796

Depreciation expense was $3,640 and $10,662 for the three and nine months ended June 30, 2013, respectively. Equipment and buildings are depreciated on a straight line basis over their estimated useful lives: equipment 15 years, and buildings 20 years.

Patented Claims:

At June 30, 2013, the Company also has mining property patent claims of $9,672. These patent claims provide the Company with mining rights to certain land located in Coleman Township, District of Temiskaming, Ontario, Canada. On February 4, 2013 the Company made its first shipment of mineralized material for refining.

Amortization was $NIL for the three and nine months ended June 30, 2013. The patented claim was purchased in May 2012, in a related party transaction at CDN$10,200 (4,000MT of concentrate and book value of related party).  No amortization was taken for the three and nine months ended June 30, 2013 as amortization is based on units of production and the Company's production volume for the three and nine months periods is minimum.