7. MINERAL PROPERTY COMMITMENTS - RELATED PARTY

12 Months Ended

Jun. 30, 2015

Mineral Industries Disclosures Related Pary [Abstract]

Mineral Industries Disclosures Related Pary

7. MINERAL PROPERTY COMMITMENTS - RELATED PARTY

For the following properties, the related party is a shareholder (not an officer or director) who exercises voting rights over 9.1% percent of the Company's common stock.  He is also the Company's consulting geologist and a member of the Company's Technical Advisory Committee.  The Eagleville Property has an additional related party who serves as the Company's CEO and Chairman of its Board of Directors and controls less than 4% of the Company's common stock.  The Company has satisfied its work commitments on all properties to date.  Work commitments include, but are not limited to, annual claim fees, exploration, mapping, sampling, drilling and administration costs.

Klondike North Property.  On October 24, 2011, the Company entered into an Exploration and Mining Lease and Option to Purchase Agreement for the Klondike North Property, which consists of 38 unpatented lode-mining claims located on Bureau

of Land Management lands in the Klondike Mining District, Esmerelda County, Nevada.  The Company has the right to conduct all customary mineral exploration activities in return for the following commitments:

Advanced Royalty Payments

Date	Payment Amount			Common Shares
Upon execution of Agreement – October 24, 2011	$	-			500,000
First Anniversary of the Agreement – 2012		10,000			-
Second Anniversary of the Agreement – 2013		20,000	*		-
Third Anniversary of the Agreement – 2014		30,000			-
Fourth Anniversary of the Agreement – 2015		40,000			-
Fifth through the tenth Anniversary		50,000			-
Eleventh Anniversary and thereafter		100,000			-

The Company valued the 500,000 shares issued for the above acquisition of mineral rights at $0.02, based on the most recent sale of common shares, and recorded $10,000 as mineral property in the fiscal year ended June 30, 2012.

*The Company, with agreement from the sellers, satisfied its Second Anniversary obligation with 200,000 shares of common stock issued with a fair value of $0.10 per share in the fiscal year ended June 30, 2014.

Work Commitment

Lease Year	Amount
First Lease Year	$	5,000
Second Lease Year		25,000
Third Lease Year		50,000
Fourth Lease Year		75,000
Fifth Lease Year and thereafter		100,000

Divide Property.  In February 2015, the Company terminated its Exploration and Mining Lease and Option to Purchase Agreement for the Divide Property and returned the underlying claims to the lessor and recorded an impairment charge for the full capitalized cost of $32,000 for the mineral interests.  The Company dropped the Divide Property in order to focus its resources on its remaining properties.

Eagleville Property.  In June 2015, the Company notified the lessors that it would terminate its Exploration and Mining Lease and Option to Purchase Agreement for the Eagleville Property in July 2015.  The Company subsequently did so and returned the underlying claims to the lessors and recorded an impairment charge for the full capitalized cost of $87,000 for the mineral interests.  The Company dropped the Eagleville Property in order to focus its resources on its remaining properties.

Green Monster-Danville Property.  On October 31, 2014, the Company entered into an Exploration and Mining Lease and Option to Purchase Agreement for the Green Monster-Danville Property, which consists of 91 unpatented lode-mining claims located on Bureau of Land Management lands in the Danville Mining District, Nye County, Nevada.  The Company has the right to conduct all customary mineral exploration activities in return for the following commitments:

Advanced Royalty Payments

Date	Payment Amount
Upon execution of Agreement – October 31, 2014	$	2,500	*
First Anniversary of the Agreement – 2015		5,000
Second Anniversary of the Agreement - 2016		10,000
Third Anniversary of the Agreement – 2017		20,000
Fourth Anniversary of the Agreement – 2018		30,000
Fifth Anniversary of the Agreement – 2019		40,000
Sixth  Anniversary through the tenth anniversary		50,000
Eleventh Anniversary through the fifteenth		75,000
Sixteenth Anniversary and thereafter		100,000

*Plus reimbursement of the 2014 -15 BLM Annual Maintenance Fee of $12,245 and Nye County Notice to Intent to Hold Fee of $834, which has been paid.

Work Commitment

Lease Year	Amount
First Lease Year	$	5,000
Second Lease Year		10,000
Third Lease Year and thereafter		50,000