Mineral Property Interests

9 Months Ended

Sep. 30, 2018

Mineral Industries Disclosures [Abstract]

Mineral Property Interests

NOTE 4 – MINERAL PROPERTY INTERESTS

Garfield Flats Project

On June 7, 2017, the Company entered into an exploration lease and option agreement (the “Garfield Agreement”) with Goodsprings Development LLC (the “Vendor”), a Nevada limited liability corporation on the Garfield Flats Project (the “Garfield Property”), consisting of six Orsa Claims and six Lazy Claims totaling 240 acres. The term of the Garfield Agreement was ten years, and was subject to extension for two additional terms of ten years each.

In order to retain the rights to the exploration lease, the Company was required to make the following minimum annual payments:

	Minimum Payment
Upon execution of the option agreement (the “Effective Date”)(paid)	$	15,000
First anniversary of the Effective Date (verbal extension granted)	$	15,000
Second and third anniversaries of the Effective Date	$	20,000
Fourth and fifth anniversaries of the Effective Date	$	25,000
Sixth and each succeeding anniversary of the Effective Date in perpetuity	$	40,000

In addition to the minimum annual payments, the Company agreed to pay the Vendor a 2% production royalty based on the gross returns from the production and sale of minerals from the Garfield Property.

At any time during the term of the Garfield Agreement the Company had a right to acquire 100% ownership of the Garfield Property for a one-time payment of $300,000 (the “Purchase Price”).

During the year ended December 31, 2017, the Company staked an additional 69 Orsa Claims and 75 Lazy Claims, with a total paid cost of $54,152. These claims were added to the Garfield Flats Project.

On July 11, 2018, the Company entered into a definitive purchase agreement with Walker River Resources (“WRR”) for the sale of the Garfield Agreement for cash consideration of $55,000 (the “Garfield Purchase Agreement”). In lieu of the cash consideration, WRR agreed to extinguish the $55,000 note payable the Company issued to WRR during its fiscal 2017. The mineral property interests associated with the Garfield Agreement as well as the note payable to WRR were therefore derecognized, and the Company recorded $14,152 as loss on the sale of its mineral property.

On August 2, 2017, the Company entered into an exploration lease agreement (the “Lazy Claims Agreement”) with Tarsis Resources US Inc. (“Tarsis”), a Nevada corporation, to lease the Lazy Claims, consisting of three claims. These claims were added to the Garfield Flats Project. The term of the Lazy Claims Agreement is ten years, and is subject to extension for additional two consecutive 10-year terms. Full consideration of the Lazy Claims Agreement consists of the following: an initial cash payment of $1,000 to Tarsis, paid upon the execution of the Lazy Claims Agreement, with $2,000 payable to Tarsis on each subsequent anniversary of the effective date. The Company agreed to pay Tarsis a 2% production royalty (the “Lazy Claims Royalty”) based on the gross returns from the production and sale of minerals from the Lazy Claims. Should the Lazy Claims Royalty payments to Tarsis be in excess of $2,000 per year, the Company will not be required to pay a $2,000 annual minimum payment.

The Lazy Claims were excluded from the Garfield Purchase Agreement, and as such the Company continues to have a right to explore the Lazy Claims, and continues to have financial obligations specified under the Lazy Claims Agreement.

During the period ended September 30, 2018, the Company paid $2,511 for its mineral property interests, of which $2,000 represented annual minimum payment required under the Lazy Claims Agreement and $511 in annual mining claim fees, paid to the Bureau of Land Management.