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Note 7 - Notes Payable
 3 Months Ended 12 Months Ended
Mar. 31, 2015
Dec. 31, 2014
Debt Disclosure [Abstract]    
Debt Disclosure [Text Block]

NOTE 6 - NOTES PAYABLE


Notes payable at March 31, 2015 and December 31, 2014 consist of the following:


   

March 31,

    

December 31,

  
   

2015

    

2014

  
                 

Note payable for mining equipment, payable $1,339 monthly, including interest (a)

   $ 52,414     $ 55,720  

Note payable for mining equipment, payable $950 monthly, including interest (b)

     11,579       14,057  

Note payable for mining equipment, payable $6,060 monthly, including interest (c)

     --       6,033  

Note payable for lab equipment, payable $9,122 monthly, including interest (d)

     ----       18,246  

Note payable for mine site vehicle, payable $628 monthly (e)

     18,851       20,736  

Note payable to an insurance company, payable $21,531monthly, including interest (f)

     85,422       149,036  

Note payable to an insurance company, payable $6,094 monthly, including interest (g)

     24,215       42,211  
      192,481       306,039  

Less: Current Portion

     (142,417

)

     (246,894

)

Notes Payable, Long-Term Portion

   $ 50,064     $ 59,145  

 

(a)

On October 31,2014, the Company purchased mining equipment for $57,900 by issuing a note with an interest rate of 5.2%. The note is collateralized by the mining equipment with payments of $1,339 for 48 months, which started on November 30,2014.

 

(b)

On April 17, 2012, the Company purchased mining equipment for $40,565 by issuing a note with an effective interest rate of 11.279%. The note is collateralized by the mining equipment with payments of $950 for 48 months, which started on May 1, 2012.

 

(c)

On July 23, 2012, the Company purchased mining equipment for $169,500 by issuing a note with an interest rate of 5.5%. The note is collateralized by the mining equipment with payments of $6,060 for 30 months, which started on August 25, 2012.

 

(d)

On April 16, 2014, the Company purchased lab equipment for $109,493 by depositing and issuing a non-interest bearing note in the amount of $91,229. The note is collateralized by the lab equipment with payments of $9,122 for ten months, which started in May 2014.

 

(e)

On September 20, 2012, the Company purchased a vehicle for the mine site for $37,701 by issuing a non-interest bearing note. The note is collateralized by the vehicle with payments of $628 for 60 months, which started on October 20, 2012.

 

(f)

The Company signed a note payable with an insurance company dated October 31, 2014 for directors’ and officers’ insurance, due in monthly installments, including interest at 3.15%. The note will mature on July 2015.

 

(g)

The Company signed a note payable with an insurance company dated October 31, 2014 for liability insurance, due in monthly installments, including interest at 3.15%. The note will mature on July 2015.

The following is a schedule of the principal maturities on these notes for the next four years:


April 2015 – March 2016

   $ 142,417  

April 2016 – March 2017

     21,929  

April 2017 – March 2018

     18,925  

April 2018 – March 2019

     9,210  

Total Notes Payable

   $ 192,481  

During the three months ended March 31, 2015 and 2014, the Company's interest payments totaled $4,178 and $3,745, respectively.

NOTE 7 - NOTES PAYABLE


Notes payable at December 31, 2014 and 2013 consist of the following:


   

December 31,

  
   

2014

    

2013

  
                 

Note payable for mining equipment, payable $5,556 monthly, including interest (a)

   $ --     $ 42,927  

Note payable for mining equipment, payable $950 monthly, including interest (b)

     14,057       23,302  

Note payable for mining equipment, payable $6,060 monthly, including interest (c)

     6,033       76,313  

Note payable for lab equipment, payable $9,122 monthly, including interest (d)

     18,246       --  

Note payable for mining equipment, payable $1,339 monthly, including interest (e)

     55,720       --  

Note payable for mine site vehicle, payable $628 monthly (f)

     20,736       28,276  

Note payable for mining equipment, payable $5,000 monthly, including interest (g)

     --       9,932  

Note payable for mining equipment, payable $2,250 monthly, including interest (h)

     --       8,898  

Note payable to an insurance company, payable $21,531monthly, including interest (i)

     149,036       --  

Note payable to an insurance company, payable $6,094 monthly, including interest (j)

     42,211       --  

Note payable to an insurance company, payable $4,447 monthly, including interest (k)

     --       132,576  

Note payable to an insurance company, payable $4,447 monthly, including interest (l)

     --       29,767  
      306,039       351,991  

Less: Current Portion

     (246,894 )     (311,165 )

Notes Payable, Long-Term Portion

   $ 59,145     $ 40,826  

 

(a)

On July 7, 2011, the Company purchased mining equipment for $198,838 by issuing a note with an implicit interest rate of 9.34%. The note is collateralized by the mining equipment with payments of $5,556 for 36 months, which started on August 15, 2011.

 

(b)

On April 17, 2012, the Company purchased mining equipment for $40,565 by issuing a note with an effective interest rate of 11.279%. The note is collateralized by the mining equipment with payments of $950 for 48 months, which started on May 1, 2012.

 

(c)

On July 23, 2012, the Company purchased mining equipment for $169,500 by issuing a note with an interest rate of 5.5%. The note is collateralized by the mining equipment with payments of $6,060 for 30 months, which started on August 25, 2012.

 

(d)

On April 16, 2014, the Company purchased lab equipment for $109,493 by depositing and issuing a non-interest bearing note in the amount of $91,229. The note is collateralized by the lab equipment with payments of $9,122 for ten months, which started in May 2014.

 

(e)

On October 31, 2014, the Company purchased mining equipment for $65,120 by depositing and issuing a note in the amount of $57,900 with an interest rate of 5.2%. The note is collateralized by the mining equipment with payments of $1,339 for 48 months, which started on November 30, 2014.

 

(f)

On September 20, 2012, the Company purchased a vehicle for the mine site for $37,701 by issuing a non-interest bearing note. The note is collateralized by the vehicle with payments of $628 for 60 months, which started on October 20, 2012.

 

(g)

On November 16, 2012, the Company purchased a piece of mining equipment that had been leased for $67,960 by issuing a note with an effective interest rate of 5.5%. The note is collateralized by the mining equipment with payments of $3,518 for three months, then $5,000 for twelve months.

 

(h)

On November 16, 2012, the Company purchased a piece of mining equipment that had been leased for $33,748 by issuing a note with an effective interest rate of 5.5%. The note is collateralized by the mining equipment with payments of $1,632 for five months, then $2,250 for twelve months

 

(i)

The Company signed a note payable with an insurance company dated October 31, 2014 for directors’ and officers’ insurance, due in monthly installments, including interest at 3.15%. The note will mature on July 2015.

 

(j)

The Company signed a note payable with an insurance company dated October 31, 2014 for liability insurance, due in monthly installments, including interest at 3.15%. The note will mature on July 2015.

 

(k)

The Company signed a note payable with an insurance company dated October 17, 2012 for directors' and officers' insurance, due in monthly installments, including interest at 3.15%. The note matured in September 2013 and was repaid.

 

(l)

The Company signed a note payable with an insurance company dated October 17, 2012 for liability insurance, due in monthly installments, including interest at 4.732%. The note matured in July 2013 and was repaid.

The following is a schedule of the principal maturities on these notes for the next four years:


2015

   $ 246,894  

2016

     25,457  

2017

     20,615  

2018

     13,073  

Total Notes Payable

   $ 306,039  

During the 2014 and 2013, the Company's interest payments totaled $10,460 and $23,180, respectively.