Note 6 - Notes Payable

6 Months Ended

Jun. 30, 2015

Debt Disclosure [Abstract]

Debt Disclosure [Text Block]

NOTE 6 - NOTES PAYABLE

Notes payable at June 30, 2015 and December 31, 2014 consist of the following:

	June 30,			December 31,
	2015			2014
Note payable for mining equipment, payable $1,339 monthly, including interest (a)	$	49,065		$	55,720
Note payable for mining equipment, payable $950 monthly, including interest (b)		9,030			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)		16,966			20,736
Note payable to an insurance company, payable $21,531 monthly, including interest (f)		21,460			149,036
Note payable to an insurance company, payable $6,094 monthly, including interest (g)		6,078			42,211
		102,599			306,039
Less: Current Portion		(57,948	)		(246,894	)
Notes Payable, Long-Term Portion	$	44,651		$	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:

July 2015 – June 2016	$	57,948
July 2016 – June 2017		22,116
July 2017 – June 2018		17,238
July 2018 – June 2019		5,297
Total Notes Payable	$	102,599

During the three and six months ended June 30, 2015, the Company's interest payments totaled related to these notes $1,776 and $5,974, respectively.