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Subsequent Events
12 Months Ended
Jun. 30, 2022
Subsequent Events [Abstract]  
Subsequent Events

14. Subsequent Events

 

On July 21, 2022, the Company exercised the option to purchase the rights to 305 unpatented lode claims in the Tonopah Flats Lithium Project. Payment for the claims is due in two equal installments. Under the terms of the agreement, the Company has the option to pay each installment in cash or stock. The Company elected to pay $4 million in cash for the first installment.

 

On August 1, 2022, the Company entered into an employment agreement (“Agreement”) with the CEO, Ryan Melsert. The Agreement is a two-year term and provides for an annual base salary of $425,000 per year. At Mr. Melsert’s request, a portion of this compensation may be elected to be received as restricted stock units (RSUs) and the Annual Base Salary will be reduced to $325,000 per year from the Employment Date of this Agreement through December 31, 2022 as the Company ramps up additional revenue-generating operations, in exchange for 60,000 RSUs which fully vest on January 1, 2023. The agreement also provides for a cash bonus of 75% of the annual base salary, based on the achievement of certain milestones, and other standard employment benefits. The Agreement also provides for, subject to approval by the Board of Directors, an award of RSUs equal to $1,000,000 divided by the 20-day trailing volume-weighted average price prior to the grant date, and $3,000,000-worth of warrants with a five-year expiration of a quantity and exercise price as calculated by Black-Scholes at the time of grant, which shall be conditioned on Mr. Melsert achieving certain performance milestones as defined in the Agreement. The 4-year vesting schedule for these RSUs and warrants is defined in the Agreement. The details surrounding the Bonus Equity Compensation may be memorialized by the Board in a separate award agreement, subject to the Company 2021 Equity Retention Plan, at the discretion of the Board.

 

On August 5, 2022, the Company entered into a purchase and sale agreement to sell 92 mining claims in Railroad Valley for $100,000.  

 

The Company has evaluated subsequent events through the date the financial statements were available to be issued and has not identified any additional subsequent events requiring adjustments to, or disclosures in, the accompanying financial statements.