4. Debt Obligations

12 Months Ended

May. 31, 2015

Notes

4. Debt Obligations

Note 7. NOTES PAYABLE

As part of the consideration for the acquisition of certain mining claims, the Company issued promissory notes, in addition, shareholders have made advances to the Company.  These are detailed below:

Claim	Current Portion	Long - Term	Term of Note
Note for acquisition of Golden Eagle #2 mining claim	$  76,815	-	The Company defaulted on the final principal payment which was due February 1, 2015; as a result of the default, interest is now due at 15% and a penalty of 5% is assessed on late payments.
Equipment financing lease	12,685	$     14,707-	Monthly payments of $1,175 are due through June 1, 2017; interest is at the rate of 6.55%
Convertible notes due to officer and directors	85,000 48,000 105,325	- - -	Due 5/31/16, with interest at 16% Notes are due on demand and do not bear interest Notes are due on demand with interest at 5%
Total notes payable	$327,825	$ 14,707

The following is a table of payment requirements associated with this debt:

Fiscal Year Ended
May 31, 2016	$327,825
May 31, 2017	13,539
May 31, 2018	1,168
	$342,532