Cover
Cover - shares | 6 Months Ended | |
Jun. 30, 2022 | Aug. 16, 2022 | |
Cover [Abstract] | ||
Entity Registrant Name | UNITED STATES ANTIMONY CORPORATION | |
Entity Central Index Key | 0000101538 | |
Document Type | 10-Q | |
Amendment Flag | false | |
Current Fiscal Year End Date | --12-31 | |
Entity Small Business | true | |
Entity Shell Company | false | |
Entity Emerging Growth Company | false | |
Entity Current Reporting Status | Yes | |
Document Period End Date | Jun. 30, 2022 | |
Entity Filer Category | Non-accelerated Filer | |
Document Fiscal Period Focus | Q2 | |
Document Fiscal Year Focus | 2022 | |
Entity Common Stock Shares Outstanding | 106,240,361 | |
Document Quarterly Report | true | |
Document Transition Report | false | |
Entity File Number | 001-08675 | |
Entity Incorporation State Country Code | MT | |
Entity Tax Identification Number | 81-0305822 | |
Entity Interactive Data Current | Yes | |
Entity Address Address Line 1 | P.O. Box 643 | |
Entity Address City Or Town | Thompson Falls | |
Entity Address State Or Province | MT | |
Entity Address Postal Zip Code | 59873 | |
City Area Code | 406 | |
Local Phone Number | 827-3523 | |
Security 12b Title | Common Stock, $0.01 par value | |
Trading Symbol | UAMY | |
Security Exchange Name | NYSE |
CONDENSED CONSOLIDATED BALANCE
CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($) | Jun. 30, 2022 | Dec. 31, 2021 |
CURRENT ASSETS | ||
Cash and cash equivalents | $ 8,312,469 | $ 21,363,048 |
Certificates of deposit | 259,210 | 259,210 |
Accounts receivable | 1,604,660 | 891,314 |
Prepaid expenses | 60,916 | 0 |
Inventories (NOTE 5) | 590,204 | 1,055,420 |
Investments (NOTE 11) | 13,299,393 | 0 |
Total current assets | 24,126,852 | 23,568,992 |
Properties, plants and equipment, net (NOTE 6) | 11,242,721 | 11,133,733 |
Restricted cash for reclamation bonds | 57,281 | 57,281 |
IVA receivable and other assets | 329,163 | 242,721 |
Total assets | 35,756,017 | 35,002,727 |
CURRENT LIABILITIES: | ||
Accounts payable | 679,597 | 1,385,752 |
Payable to related parties | 4,084 | 0 |
Accrued liabilities | 685,918 | 621,873 |
Long-term debt, current portion (NOTE 8) | 91,347 | 13,230 |
Total current liabilities | 1,460,946 | 2,020,855 |
Long-term debt, net of current portion (NOTE 8) | 265,636 | 201,920 |
Stock payable to directors for services | 187,500 | 112,500 |
Asset retirement obligations and accrued reclamation costs (NOTE 7) | 325,657 | 298,649 |
Total liabilities | 2,239,739 | 2,633,924 |
STOCKHOLDERS' EQUITY | ||
Common stock, $.001 par value; 300,000,000 shares authorized; 106,240,361 shares issued and outstanding | 1,062,402 | 1,062,402 |
Additional paid-in capital | 63,991,459 | 63,991,459 |
Accumulated deficit | (31,563,788) | (32,711,263) |
Total stockholders' equity | 33,516,278 | 32,368,803 |
Total liabilities and stockholders' equity | 35,756,017 | 35,002,727 |
Series A Preferred Stock [Member] | ||
STOCKHOLDERS' EQUITY | ||
Series A: 0 shares issued and outstanding | 0 | 0 |
Series B Preferred Stock [Member] | ||
STOCKHOLDERS' EQUITY | ||
Series A: 0 shares issued and outstanding | 7,500 | 7,500 |
Series C Preferred Stock [Member] | ||
STOCKHOLDERS' EQUITY | ||
Series A: 0 shares issued and outstanding | 1,779 | 1,779 |
Series D Preferred Stock Member | ||
STOCKHOLDERS' EQUITY | ||
Series A: 0 shares issued and outstanding | $ 16,926 | $ 16,926 |
CONDENSED CONSOLIDATED BALANC_2
CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) | Jun. 30, 2022 | Dec. 31, 2021 |
Common stock, par value | $ 0.001 | $ 0.001 |
Common stock, authorized shares | 300,000,000 | 300,000,000 |
Common stock, issued shares | 106,240,361 | 106,240,361 |
Common stock, outstanding shares | 106,240,361 | 106,240,361 |
Preferred stock, par value | $ 0.01 | $ 0.01 |
Preferred stock, authorized shares | 10,000,000 | 10,000,000 |
Series A Preferred Stock [Member] | ||
Preferred stock, issued shares | 0 | 0 |
Preferred stock, outstanding shares | 0 | 0 |
Series B Preferred Stock [Member] | ||
Preferred stock, issued shares | 750,000 | 750,000 |
Preferred stock, outstanding shares | 750,000 | 750,000 |
Preferred stock liquidation preference | $ 956,250 | $ 952,500 |
Series C Preferred Stock [Member] | ||
Preferred stock, issued shares | 177,904 | 177,904 |
Preferred stock, outstanding shares | 177,904 | 177,904 |
Preferred stock liquidation preference | $ 97,847 | $ 97,847 |
Series D Preferred Stock Member | ||
Preferred stock, issued shares | 1,692,672 | 1,692,672 |
Preferred stock, outstanding shares | 1,692,672 | 1,692,672 |
Preferred stock liquidation preference | $ 4,979,632 | $ 4,979,632 |
CONDENSED CONSOLIDATED STATEMEN
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (UNAUDITED) - USD ($) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (UNAUDITED) | ||||
REVENUE | $ 3,587,925 | $ 2,275,562 | $ 7,168,231 | $ 3,528,849 |
COST OF REVENUE | 2,865,515 | 2,079,164 | 5,306,433 | 3,120,294 |
GROSS PROFIT | 722,410 | 196,398 | 1,861,798 | 408,555 |
OPERATING EXPENSES | ||||
General and administrative | 220,591 | 290,111 | 381,272 | 460,161 |
Salaries and benefits | 72,912 | 77,278 | 146,047 | 153,937 |
Other operating expenses | 14,045 | 0 | 17,960 | 184,037 |
Legal and professional fees | 47,927 | 61,199 | 170,004 | 184,336 |
TOTAL OPERATING EXPENSES | 355,475 | 428,588 | 715,283 | 982,471 |
INCOME (LOSS) FROM OPERATIONS | 366,935 | (232,190) | 1,146,515 | (573,916) |
OTHER INCOME (EXPENSE) | ||||
Interest expense | (3,081) | (880) | (6,063) | (3,135) |
Interest and investment income | 30,052 | 13,389 | 39,706 | 21,882 |
Change in fair value of investments | (93,458) | 0 | (93,458) | 0 |
Trademark and licensing income | 60,775 | 0 | 60,775 | 0 |
Gain on forgiveness - CARES Act debt | 0 | 443,400 | 0 | 443,400 |
Gain on settlement of Hillgrove advance | 0 | 113,422 | 0 | 113,422 |
TOTAL OTHER INCOME (EXPENSE) | (5,712) | 569,331 | 960 | 575,569 |
NET INCOME | 361,223 | 337,141 | 1,147,475 | 1,653 |
Preferred dividends | (11,819) | (12,162) | (23,639) | (24,325) |
Net income available to common stockholders | $ 349,404 | $ 324,979 | $ 1,123,836 | $ (22,672) |
Net income per share of common stock | ||||
Basic and diluted | $ 0.01 | |||
Weighted average shares outstanding: | ||||
Basic | 106,240,361 | 106,315,419 | 106,240,361 | 99,513,378 |
Diluted | 106,240,361 | 108,696,704 | 106,240,361 | 99,513,378 |
CONDENSED CONSOLIDATED STATEM_2
CONDENSED CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS EQUITY (UNAUDITED) - USD ($) | Total | Preferred Stock | Common Stock | Additional Paid-In Capital | Accumulated Deficit |
Balance, shares at Dec. 31, 2020 | 2,678,909 | 75,949,757 | |||
Balance, amount at Dec. 31, 2020 | $ 7,186,389 | $ 26,788 | $ 759,496 | $ 39,050,899 | $ (32,650,794) |
Common shares issued for cash, shares | 26,290,000 | ||||
Common shares issued for cash, amount | 24,997,000 | 0 | $ 262,900 | 24,734,100 | 0 |
Common stock issuance costs | (1,654,820) | 0 | $ 0 | (1,654,820) | 0 |
Common stock issued for exercise of warrants, shares | 3,723,810 | ||||
Common stock issued for exercise of warrants, amount | 1,763,619 | 0 | $ 37,238 | 1,726,381 | 0 |
Net income (loss) | (335,488) | $ 0 | $ 0 | 0 | (335,488) |
Balance, shares at Mar. 31, 2021 | 2,678,909 | 105,963,567 | |||
Balance, amount at Mar. 31, 2021 | 31,956,700 | $ 26,788 | $ 1,059,634 | 63,856,560 | (32,986,282) |
Balance, shares at Dec. 31, 2020 | 2,678,909 | 75,949,757 | |||
Balance, amount at Dec. 31, 2020 | 7,186,389 | $ 26,788 | $ 759,496 | 39,050,899 | (32,650,794) |
Net income (loss) | 1,653 | ||||
Balance, shares at Jun. 30, 2021 | 2,678,909 | 106,005,234 | |||
Balance, amount at Jun. 30, 2021 | 32,320,925 | $ 26,788 | $ 1,060,051 | 63,883,227 | (32,649,141) |
Balance, shares at Mar. 31, 2021 | 2,678,909 | 105,963,567 | |||
Balance, amount at Mar. 31, 2021 | 31,956,700 | $ 26,788 | $ 1,059,634 | 63,856,560 | (32,986,282) |
Common stock issued for exercise of warrants, shares | 41,667 | ||||
Common stock issued for exercise of warrants, amount | 27,084 | 0 | $ 417 | 26,667 | 0 |
Net income (loss) | 337,141 | $ 0 | $ 0 | 0 | 337,141 |
Balance, shares at Jun. 30, 2021 | 2,678,909 | 106,005,234 | |||
Balance, amount at Jun. 30, 2021 | 32,320,925 | $ 26,788 | $ 1,060,051 | 63,883,227 | (32,649,141) |
Balance, shares at Dec. 31, 2021 | 2,620,576 | 106,240,361 | |||
Balance, amount at Dec. 31, 2021 | 32,368,803 | $ 26,205 | $ 1,062,402 | 63,991,459 | (32,711,263) |
Net income (loss) | 786,252 | $ 0 | $ 0 | 0 | 786,252 |
Balance, shares at Mar. 31, 2022 | 2,620,576 | 106,240,361 | |||
Balance, amount at Mar. 31, 2022 | 33,155,055 | $ 26,205 | $ 1,062,402 | 63,991,459 | (31,925,011) |
Balance, shares at Dec. 31, 2021 | 2,620,576 | 106,240,361 | |||
Balance, amount at Dec. 31, 2021 | 32,368,803 | $ 26,205 | $ 1,062,402 | 63,991,459 | (32,711,263) |
Net income (loss) | 1,147,475 | ||||
Balance, shares at Jun. 30, 2022 | 2,620,576 | 106,240,361 | |||
Balance, amount at Jun. 30, 2022 | 33,516,278 | $ 26,205 | $ 1,062,402 | 63,991,459 | (31,563,788) |
Balance, shares at Mar. 31, 2022 | 2,620,576 | 106,240,361 | |||
Balance, amount at Mar. 31, 2022 | 33,155,055 | $ 26,205 | $ 1,062,402 | 63,991,459 | (31,925,011) |
Net income (loss) | 361,223 | $ 0 | $ 0 | 0 | 361,223 |
Balance, shares at Jun. 30, 2022 | 2,620,576 | 106,240,361 | |||
Balance, amount at Jun. 30, 2022 | $ 33,516,278 | $ 26,205 | $ 1,062,402 | $ 63,991,459 | $ (31,563,788) |
CONDENSED CONSOLIDATED STATEM_3
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED) - USD ($) | 6 Months Ended | |
Jun. 30, 2022 | Jun. 30, 2021 | |
CASH FLOWS FROM OPERATING ACTIVITIES: | ||
Net income | $ 1,147,475 | $ 1,653 |
Adjustments to reconcile net income to net cash used by operating activities: | ||
Depreciation and amortization | 451,207 | 442,408 |
Accretion of asset retirement obligation | 11,412 | 1,732 |
Common stock payable for directors fees | 75,000 | 56,250 |
Gain on settlement of Hillgrove advance | 0 | (113,422) |
Gain on forgiveness of Cares Act debt | 0 | (443,400) |
Write down of inventory to net realizable value | 136,836 | 66,054 |
Change in fair value of investments | 93,458 | 0 |
Changes in operating assets and liabilities: | ||
Accounts receivable | (713,346) | (362,681) |
Inventories | 328,380 | 17,448 |
Prepaid expenses | (60,916) | 0 |
IVA receivable and other assets | (86,442) | (15,402) |
Accounts payable | (706,155) | (519,570) |
Accrued liabilities | 64,045 | (92,927) |
Export tax assessment payable | 0 | (1,120,730) |
Payable to related parties | 4,084 | (154,022) |
Net cash provided (used) by operating activities | 745,038 | (2,236,609) |
CASH FLOWS FROM INVESTING ACTIVITIES: | ||
Proceeds from redemption of certificates of deposit | 0 | 210,184 |
Purchase of investments | (13,789,772) | 0 |
Proceeds from sales of investments | 396,921 | 0 |
Purchase of properties, plants and equipment | (382,999) | (115,127) |
Net cash provided (used) by investing activities | (13,775,850) | 95,057 |
CASH FLOWS FROM FINANCING ACTIVITIES: | ||
Change in checks issued and payable | 0 | (86,685) |
Payments on advances from related party | 0 | (56,416) |
Proceeds from issuance of common stock, net of issuance costs | 0 | 23,342,180 |
Proceeds from exercise of warrants | 0 | 1,790,703 |
Payments on Hillgrove advances payable | 0 | (1,020,799) |
Principal paid on notes payable to bank | 0 | (100,000) |
Principal payments of long-term debt | (19,767) | (27,926) |
Net cash provided (used) by financing activities | (19,767) | 23,841,057 |
NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS AND RESTRICTED CASH | (13,050,579) | 21,699,505 |
CASH AND CASH EQUIVALENTS AND RESTRICTED CASH AT BEGINNING OF PERIOD | 21,420,329 | 722,377 |
CASH AND CASH EQUIVALENTS AND RESTRICTED CASH AT END OF PERIOD | 8,369,750 | 22,421,882 |
NON-CASH FINANCING AND INVESTING ACTIVITIES: | ||
Equipment purchased with note payable | 161,600 | 0 |
Common stock payable to directors | 0 | 130,483 |
Payable to related party satisfied with exercise of stock purchase warrants | $ 0 | $ 62,500 |
NATURE OF OPERATIONS
NATURE OF OPERATIONS | 6 Months Ended |
Jun. 30, 2022 | |
NATURE OF OPERATIONS | |
1. NATURE OF OPERATIONS | NOTE 1 - NATURE OF OPERATIONS AGAU Mines, Inc., predecessor of United States Antimony Corporation (“USAC” or “the Company”), was incorporated in June 1968 as a Delaware corporation to mine gold and silver. USAC was incorporated in Montana in January 1970 to mine and produce antimony products. In June 1973, AGAU Mines, Inc. was merged into USAC. In December 1983, the Company suspended its antimony mining operations when it became possible to purchase antimony raw materials more economically from foreign sources. The principal business of the Company has been the production and sale of antimony products. During 2000, the Company formed a 75% owned subsidiary, Bear River Zeolite Company (“BRZ”), to mine and market zeolite and zeolite products from a mineral deposit in southeastern Idaho. In 2001, an operating plant was constructed at the zeolite site and zeolite production and sales commenced. During 2002, the Company acquired the remaining 25% of BRZ and continued to produce and sell zeolite products. During 2005, the Company formed a 100% owned subsidiary, Antimonio de Mexico S.A. de C.V. (“AM”), to explore and develop potential antimony properties in Mexico. During 2006, the Company acquired 100% ownership in United States Antimony, Mexico S.A. de C.V. (“USAMSA”), which became a wholly-owned subsidiary of the Company. In 2018, the Company acquired 100% ownership in Stibnite Holding Company US Inc. (previously Lanxess Holding Company US Inc.), Antimony Mining and Milling US LLC (previously Lanxess Laurel US LLC), a Delaware limited liability company and Lanxess Laurel de Mexico, S.A. de C.V (“Lanxess Laurel Mexico”), a Mexico corporation, both of which became a wholly-owned subsidiary of the Company. In its operations in Montana, the Company produces antimony oxide, antimony metal, and precious metals. Antimony oxide is a fine, white powder that is used primarily in conjunction with a halogen to form a synergistic flame-retardant system for plastics, rubber, fiberglass, textile goods, paints, coatings and paper. Antimony oxide is also used as a color fastener in paint, as a catalyst for production of polyester resins for fibers and film, as a catalyst for production of polyethylene pthalate in plastic bottles, as a phosphorescent agent in fluorescent light bulbs, and as an opacifier for porcelains. The Company also sells antimony metal for use in bearings, storage batteries and ordnance. In its operations in Idaho, the Company produces zeolite, a group of industrial minerals used in a variety of purposes including soil amendment and fertilizer. Zeolite is also used for water filtration, sewage treatment, nuclear waste and other environmental cleanup, odor control, gas separation and other miscellaneous applications. |
BASIS OF PRESENTATION AND SIGNI
BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES | 6 Months Ended |
Jun. 30, 2022 | |
BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES | |
2. BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES | NOTE 2 – BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES In the opinion of the Company, the accompanying unaudited condensed consolidated financial statements contain all adjustments, consisting of only normal recurring adjustments, necessary for a fair statement of its financial position as of June 30, 2022, and its results of operations for the three and six months ended June 30, 2022, and 2021, and cash flows for the six months ended June 30, 2022 and 2021. The condensed consolidated balance sheet at December 31, 2021, was derived from audited annual financial statements but does not contain all of the footnote disclosures from the annual financial statements. Operating results for the three and six month periods ended June 30, 2022, are not necessarily indicative of the results that may be expected for the fiscal year ending December 31, 2022. These unaudited interim financial statements have been prepared by management in accordance with generally accepted accounting principles used in the United States of America (“U.S. GAAP”). These unaudited interim financial statements should be read in conjunction with the annual audited financial statements included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2021 filed with the Securities and Exchange Commission on March 31, 2022. This summary of significant accounting policies of the Company is presented to assist in understanding the Company’s financial statements. The financial statements and notes are representations of the Company’s management, which is responsible for their integrity and objectivity. These accounting policies conform to U.S. GAAP and have been consistently applied in the preparation of the financial statements. Reclassifications Certain reclassifications have been made to conform prior periods’ amounts to the current presentation. These reclassifications have no effect on the results of operations, stockholders’ equity and cash flows as previously reported. COVID -19 The Company’s operations and business have experienced disruption due to the unprecedented conditions surrounding the COVID-19 pandemic spreading throughout the United States and elsewhere, causing disruptions to the Company’s business operations and management. These disruptions are most evident in the Company’s ability to retain and house employees and properly manage them while maintaining proper social distancing and with delays in obtaining materials and supplies. The effects of the continued outbreak of COVID-19 and related government responses could also include extended disruptions to supply chains and capital markets, reduced availability of contractors and a prolonged reduction in economic activity. These effects could have a variety of adverse impacts on the Company, including its ability to conduct operations. The Company has taken steps to mitigate the potential risks to suppliers and employees posed by the spread of COVID-19, including work from home policies where appropriate. The Company will continue to monitor developments affecting both its workforce and contractors, and will take additional precautions as necessary. The ultimate impact of COVID-19 depends on factors beyond management’s knowledge or control, including its duration and third-party actions to contain its spread and mitigate its public health effects. Therefore, the Company cannot estimate the potential future impact to its financial position, results of operations and cash flows, but the impacts could be material. Investments The Company determines the appropriate classification of investments at the time of acquisition and re-evaluates such determinations at each reporting date. Equity securities that have a readily determinable fair value are carried at fair value determined using Level 1 fair value measurement inputs with the change in fair value recognized as unrealized gain (loss) in the consolidated statement of operations each reporting period. Gains and losses on the sale of securities are recognized on a specific identification basis. New Accounting Pronouncements Accounting standards that have been issued or proposed by the Financial Accounting Standards Board (“FASB”) that do not require adoption until a future date are not expected to have a material impact on the financial statements upon adoption. |
EARNINGS PER SHARE
EARNINGS PER SHARE | 6 Months Ended |
Jun. 30, 2022 | |
Net income per share of common stock | |
3. EARNINGS PER SHARE | NOTE 3– EARNINGS PER SHARE Basic Earnings Per Share (“EPS”) is computed as net income (loss) available to common stockholders divided by the weighted average number of common shares outstanding for the period. Diluted EPS reflects the potential dilution that could occur from common shares issuable through stock options and warrants. At June 30, 2022 and 2021, the potentially dilutive common stock equivalents not included in the calculation of diluted earnings per share as their effect would have been anti-dilutive are as follows: June 30, 2022 June 30, 2021 Warrants 12,489,922 2,471,089 Convertible preferred stock 1,692,672 1,751,005 TOTAL POSSIBLE DILUTIVE SHARES 14,182,594 4,222,094 |
REVENUE RECOGNITION
REVENUE RECOGNITION | 6 Months Ended |
Jun. 30, 2022 | |
REVENUE RECOGNITION | |
4. REVENUE RECOGNITION | NOTE 4 – REVENUE RECOGNITION Products consist of the following: · Antimony: includes antimony oxide, sodium antimonate, antimony trisulfide and antimony metal · Zeolite: includes coarse and fine zeolite crushed in various sizes · Precious metals: includes unrefined and refined gold and silver Sales of products for the three-months ended June 30, 2022 and 2021 were as follows: For the three months ended June 30, 2022 June 30, 2021 Antimony $ 2,472,081 $ 1,428,939 Zeolite 1,020,391 716,428 Precious metals 95,453 130,195 TOTAL REVENUE BY PRODUCT $ 3,587,925 $ 2,275,562 Sales of products for the six months ended June 30, 2022 and 2021 were as follows: For the six months ended June 30, 2022 June 30, 2021 Antimony $ 5,301,011 $ 2,086,046 Zeolite 1,694,433 1,236,375 Precious metals 172,787 206,428 TOTAL REVENUE BY PRODUCT $ 7,168,231 $ 3,528,849 For the three and six months ended June 30, 2022, the Company also received royalties related to a trademark and licensing agreement in its antimony business segment. For the three and six months ended June 30, 2022, trademark and licensing income of $60,775 is included in other income in the antimony business segment (Note 12). For the three and six months ended June 30, 2021, trademark and licensing income was $Nil. The Company’s trade accounts receivable balance related to contracts with customers was $1,604,660 at June 30, 2022 and $891,314 at December 31, 2021. The Company’s products do not involve any warranty agreements and product returns are not typical. |
INVENTORIES
INVENTORIES | 6 Months Ended |
Jun. 30, 2022 | |
INVENTORIES | |
5. INVENTORIES | NOTE 5– INVENTORIES Inventories at June 30, 2022 and December 31, 2021 consisted primarily of finished antimony products, antimony metal, antimony ore, and finished zeolite products that are stated at the lower of first-in, first-out cost or estimated net realizable value. Finished antimony products, antimony metal and finished zeolite products costs include raw materials, direct labor and processing facility overhead costs and freight. Inventories at June 30, 2022 and December 31, 2021 are as follows: June 30, 2022 December 31, 2021 Antimony Metal $ 128,591 $ 234,461 Antimony Oxide 278,134 439,086 Antimony Ore Concentrates 28,392 119,046 Total antimony 435,117 792,593 Zeolite 155,087 262,827 TOTAL INVENTORIES $ 590,204 $ 1,055,420 Inventories are valued at cost except for the portion related to Mexican operations which are valued at net realizable value because the production costs of the Mexican inventory were greater than the amount the Company expected to receive on the sale of the pounds of antimony contained in inventory. The adjustment to inventory, which is included in cost of revenue on the statements of operations was $136,836 and $66,054 for the six months ended June 30, 2022 and 2021, respectively. Antimony oxide and metal inventory consisted of finished product held at the Company’s plants in Montana and Mexico. Antimony concentrates and ore were held primarily at sites in Mexico. The Company’s zeolite inventory consists of saleable zeolite material. |
PROPERTIES PLANTS AND EQUIPMENT
PROPERTIES PLANTS AND EQUIPMENT | 6 Months Ended |
Jun. 30, 2022 | |
PROPERTIES PLANTS AND EQUIPMENT | |
6. PROPERTIES, PLANTS AND EQUIPMENT | NOTE 6 – PROPERTIES, PLANTS AND EQUIPMENT The major components of the Company’s properties, plants and equipment by segment at June 30, 2022 and December 31, 2021 are shown below: Antimony Segment Zeolite Segment Precious Metals June 30, 2022 USAC USAMSA BRZ Segment TOTAL Plant and equipment $ 1,759,271 $ 9,197,870 $ 4,051,016 $ 1,347,912 $ 16,356,069 Buildings 243,248 590,128 801,764 - 1,635,140 Construction in progress - 280,406 332,629 - 613,035 Land and other 2,431,387 2,656,037 16,753 - 5,104,177 4,433,906 12,724,441 5,202,162 1,347,912 23,708,421 Accumulated depreciation (2,747,396 ) (5,904,748 ) (3,318,286 ) (495,270 ) (12,465,700 ) $ 1,686,510 $ 6,819,693 $ 1,883,876 $ 852,642 $ 11,242,721 Antimony Segment Zeolite Segment Precious Metals December 31, 2021 USAC USAMSA BRZ Segment TOTAL Plant and equipment $ 1,684,977 $ 8,905,899 $ 3,853,056 $ 1,330,394 $ 15,774,326 Buildings 243,248 870,534 801,764 - 1,915,546 Construction in progress - 280,406 184,972 - 465,378 Land and other 2,431,387 2,640,441 16,753 - 5,088,581 $ 4,359,612 $ 12,697,280 $ 4,856,545 $ 1,330,394 $ 23,243,831 Accumulated depreciation (2,732,809 ) (5,622,555 ) (3,314,658 ) (440,076 ) (12,110,098 ) $ 1,626,803 $ 7,074,725 $ 1,541,887 $ 890,318 $ 11,133,733 At June 30, 2022 and December 31, 2021, the Company had $613,035 and $665,175, respectively, of assets that were not yet placed in service and have not yet been depreciated. |
ASSET RETIREMENT OBLIGATION AND
ASSET RETIREMENT OBLIGATION AND ACCRUED RECLAMATION COSTS | 6 Months Ended |
Jun. 30, 2022 | |
ASSET RETIREMENT OBLIGATION AND ACCRUED RECLAMATION COSTS | |
7. ASSET RETIREMENT OBLIGATION AND ACCRUED RECLAMATION COSTS | NOTE 7 – ASSET RETIREMENT OBLIGATION AND ACCRUED RECLAMATION COSTS Changes in the asset retirement obligation for the three and six months ended June 30, 2022 and 2021 are as follows: Three months ended June 30, 2022 2021 Asset retirement obligation, beginning of period $ 192,881 $ 184,219 Change in estimate of asset retirement obligation 15,596 - Accretion expense 9,680 1,732 Asset retirement obligation, end of period $ 218,157 $ 185,951 Six months ended June 30, 2022 2021 Asset retirement obligation, beginning of period $ 191,149 $ 184,219 Change in estimate of asset retirement obligation 15,596 - Accretion expense 11,412 1,732 Asset retirement obligation, end of period $ 218,157 $ 185,951 The Company’s total asset retirement obligation and accrued reclamation costs of $325,657 and $298,649, at June 30, 2022 and December 31, 2021, respectively, includes reclamation obligations for the Idaho and Montana operations of $107,500. |
DEBT
DEBT | 6 Months Ended |
Jun. 30, 2022 | |
DEBT | |
8. DEBT | NOTE 8 – DEBT Long term debt at June 30, 2022 and December 31, 2021 is as follows: June 30, 2022 December 31, 2021 Promissory note payable to First Security Bank of Missoula, bearing interest at 2.25%, payable in 59 monthly installments of $1,409 with a final payment of $152,726 maturing November 9, 2026; collateralized by a lien on Certificate of Deposit $ 208,046 $ 215,150 Installment contract payable to Caterpillar Financial Services, bearing interest at 6.65%, payable in 24 monthly installments of $7,210 maturing April 28, 2024; collateralized by 2007 Caterpillar 740 articulated truck 148,937 - 356,983 215,150 Less current portion (91,347 ) (13,230 ) Long term portion $ 265,636 $ 201,920 At June 30, 2022, principal payments on debt are due as follows: Twelve months ending June 30, Principal payment 2023 $ 91,347 2024 82,573 2025 12,925 2026 13,219 2027 156,919 $ 356,983 |
COMMITMENTS AND CONTINGENCIES
COMMITMENTS AND CONTINGENCIES | 6 Months Ended |
Jun. 30, 2022 | |
COMMITMENTS AND CONTINGENCIES | |
9. COMMITMENTS AND CONTINGENCIES | NOTE 9 – COMMITMENTS AND CONTINGENCIES The Company follows U.S. GAAP guidance in determining its accrual and disclosures with respect to loss contingencies, and evaluate such accruals and contingencies for each reporting period. Accordingly, estimated losses from loss contingencies are accrued by a charge to income when information available prior to issuance of the financial statements indicates that it is probable that a liability could be incurred and the amount of the loss can be reasonably estimated. Legal expenses associated with the contingency are expensed as incurred. If a loss contingency is not probable or reasonably estimable, disclosure of the loss contingency is made in the financial statements when it is at least reasonably possible that a material loss could be incurred. From time to time, the Company is assessed fines and penalties by the Mine Safety and Health Administration (“MSHA”). Using appropriate regulatory channels, management may contest these proposed assessments. At June 30, 2022 and December 31, 2021, the Company had accrued liabilities of $1,270 and $Nil, respectively, relating to such assessments. The Company pays various royalties on the sale of zeolite products. On a combined basis, royalties vary from 8%-13%. During the three months ended June 30, 2022 and 2021, the Company incurred royalty expense of $85,870 and $69,437, respectively. During the six months ended June 30, 2022 and 2021, the Company incurred royalty expense of $147,900 and $131,567 respectively. Royalty expense is included in cost of goods sold on the condensed consolidated statement of operations. At June 30, 2022 and December 31, 2021, the Company had accrued royalties payable of $409,887 and $346,242 respectively, which is included in accrued liabilities on the condensed consolidated balance sheets. The Company is currently in negotiations with certain royalty holders to modify the terms of the agreements. |
STOCKHOLDERS EQUITY
STOCKHOLDERS EQUITY | 6 Months Ended |
Jun. 30, 2022 | |
STOCKHOLDERS' EQUITY | |
10. STOCKHOLDERS' EQUITY | NOTE 10 – STOCKHOLDERS’ EQUITY During the six months ended June 30, 2021, the Company sold shares of its common stock in two separate transactions: on February 3, 2021, 15,300,000 shares were sold at $0.70 for gross proceeds of $10,710,000; and on February 18, 2021, 10,990,000 shares were sold at $1.30 for gross proceeds of $14,287,000. A total of $1,654,820 of issuance costs were incurred on these sales. During the six months ended June 30, 2021, the Company issued 3,765,477 shares of common stock and received $1,790,703 in cash from the exercise of warrants. During the three months ended June 30, 2022 and June 30, 2021, the Company expensed $46,875 and $28,125, respectively, in directors’ fees payable that are anticipated to be paid in common stock. During the six months ended June 30, 2022 and June 30, 2021, the Company expensed $75,000 and $28,125, respectively in directors’ fees payable At June 30, 2022 and December 31, 2021, the accrued balance of stock payable to directors fees for services was $187,500 and $112,500, respectively. The Company issued no shares of common stock during the three or six months ended June 30, 2022. During the three and six months ended June 30, 2022, no warrants were exercised. Common stock warrants In February 2021, concurrent with sale of common stock, the Company issued warrants to purchase 7,650,000 shares of common stock at an exercise price of $0.85 per share. The warrants are initially exercisable six months following issuance and expire five and one-half years from the issuance date. In connection with the February 2021 sales of common stock, the Company also issued 1,606,500 warrants with an exercise price of $0.85 and 804,000 warrants with an exercise price of $0.46 as commission to the placement agent. There were no warrants exercised during the three or six months ended June 30, 2022. The Company issued no warrants to purchase common stock during the three or six months ended June 30, 2022. The following is a summary of the Company’s warrants to purchase shares of common stock activity: Number of warrants Exercise prices Balance outstanding at December 31, 2020 6,194,899 $ 0.65 Issued 10,060,500 $0.46 - $0.85 Exercised (3,765,477 ) $0.46 - $0.65 Balance outstanding at December 31, 2021 and June 30, 2022 12,489,922 $ 0.75 The composition of the Company’s warrants outstanding at June 30, 2022 is as follows: Number of warrants Exercise Price Expiration Date Remaining life (years) 143,707 $ 0.65 8/12/2022 0.12 2,285,715 0.46 7/31/2025 3.09 804,000 0.46 1/27/2026 3.58 7,650,000 0.85 8/3/2026 4.10 1,606,500 0.85 2/1/2026 3.59 12,489,922 |
INVESTMENTS
INVESTMENTS | 6 Months Ended |
Jun. 30, 2022 | |
INVESTMENTS | |
11 - INVESTMENTS | NOTE 11 – INVESTMENTS In April 2022, the Company opened an investment account composed of U.S. Treasury bonds which are measured using Level 1 fair value inputs that are based on quoted prices in active markets. For the three and six months ended June 30, 2022, the Company recognized $93,458 in the change in fair value of investments on the condensed consolidated statement of operations. As of June 30, 2022, the cost and fair value of the investment portion of the account was $13,492,655 and $13,431,774, respectively. As of June 30, 2022, the cash and cash equivalent portion of the account was $132,380, which is included in cash and cash equivalents on the condensed consolidated balance sheet. |
BUSINESS SEGEMENTS
BUSINESS SEGEMENTS | 6 Months Ended |
Jun. 30, 2022 | |
BUSINESS SEGEMENTS | |
12.BUSINESS SEGEMENTS | NOTE 12 – BUSINESS SEGEMENTS The Company is currently organized and managed by four segments, which represent our operating units: United States antimony operations, Mexican antimony operations, precious metals recovery and United States zeolite operations. The Puerto Blanco mill and the Madero smelter at the Company’s Mexico operation bring antimony up to an intermediate or finished stage, which may be sold directly or shipped to the United States operation for finishing at the Thompson Falls, Montana plant. The Puerto Blanco mill in Mexico is the site of our crushing and flotation plant, and a cyanide leach plant which will recover precious metals after the ore goes through the crushing and flotation cycles. A precious metals recovery plant is operated in conjunction with the antimony processing plant at Thompson Falls, Montana, where a 99% precious metals mix will be produced. The zeolite operation produces zeolite near Preston, Idaho. Almost all of the sales of products from the United States antimony and zeolite operations are to customers in the United States, although the Company does have a sales operation in Canada. For the three months ended June 30, For the six months ended June 30, Capital expenditures 2022 2021 2022 2021 Antimony United States $ 51,927 $ - $ 80,277 $ - Mexico 10,724 4,872 11,565 9,744 Subtotal antimony 62,651 4,872 91,842 9,744 Precious metals 9,138 18,921 17,518 37,347 Zeolite 299,865 68,036 435,239 68,036 Total $ 371,654 $ 91,829 $ 544,599 $ 115,127 Total Assets: June 30, 2022 December 31, 2021 Antimony United States $ 24,552,558 $ 24,130,348 Mexico 7,446,054 7,771,515 Subtotal antimony 31,998,612 31,901,863 Precious metals United States 183,713 107,464 Mexico 668,929 782,854 Subtotal precious metals 852,642 890,318 Zeolite 2,904,763 2,210,546 TOTAL $ 35,756,017 $ 35,002,727 Segment operations for the three months ended June 30, 2022 Antimony - USA Antimony -Mexico Total antimony Precious Metals Zeolite Total Total revenues $ 1,644,259 $ 827,822 $ 2,472,081 $ 95,453 $ 1,020,391 $ 3,587,925 Depreciation and amortization $ 11,101 $ 143,736 $ 154,837 $ 27,674 $ 48,546 $ 231,057 Income from operations $ 120,636 $ 24,396 $ 145,032 $ 67,779 $ 154,124 $ 366,935 Other income (expense) (3,975) - (3,975) - (1,737) (5,712) NET INCOME $ 116,661 $ 24,396 $ 141,057 $ 67,779 $ 152,387 $ 361,223 Segment operations for the three months ended June 30, 2021 Antimony - USA Antimony -Mexico Total antimony Precious Metals Zeolite Total Total revenues $ 1,428,939 $ - $ 1,428,939 $ 130,195 $ 716,428 $ 2,275,562 Depreciation and amortization $ 7,893 $ 144,999 $ 152,892 $ 28,226 $ 38,826 $ 219,944 Income (loss) from operations $ 99,642 $ (575,363 ) $ (475,721 ) $ 101,969 $ 141,562 $ (232,190 ) Other income (expense) 456,725 113,422 570,147 - (816 ) 569,331 NET LOSS $ 556,367 $ (461,941 ) $ 94,426 $ 101,969 $ 140,746 $ 337,141 Segment operations for the six months ended June 30, 2022 Antimony - USA Antimony -Mexico Total antimony Precious Metals Zeolite Total Total revenues $ 4,473,189 $ 827,822 $ 5,301,011 $ 172,787 $ 1,694,433 $ 7,168,231 Depreciation and amortization $ 20,570 $ 282,193 $ 302,763 $ 55,194 $ 93,250 $ 451,207 Income (loss) from operations $ 1,512,148 $ (659,641 ) $ 852,507 $ 117,593 $ 176,415 $ 1,146,515 Other income (expense) 3,335 - 3,335 - (2,375 ) 960 NET INCOME (LOSS) $ 1,515,483 $ (659,641 ) $ 855,842 $ 117,593 $ 174,040 $ 1,147,475 Segment operations for the six months ended June 30, 2021 Antimony - USA Antimony -Mexico Total antimony Precious Metals Zeolite Total Total revenues $ 2,086,046 $ - $ 2,086,046 $ 206,428 $ 1,236,375 $ 3,528,849 Depreciation and amortization $ 15,784 $ 289,951 $ 305,735 $ 55,830 $ 80,843 $ 442,408 Income (loss) from operations $ (119,027 ) $ (813,931 ) $ (932,958 ) $ 150,598 $ 208,444 $ (573,916 ) Other income (expense) 463,360 113,422 576,782 - (1,213 ) 575,569 NET INCOME (LOSS) $ 344,333 $ (700,509 ) $ (356,176 ) $ 150,598 $ 207,231 $ 1,653 |
SUBSEQUENT EVENTS
SUBSEQUENT EVENTS | 6 Months Ended |
Jun. 30, 2022 | |
SUBSEQUENT EVENTS | |
13.SUBSEQUENT EVENTS | NOTE 13 – SUBSEQUENT EVENTS On August 8, 2022, the Company executed a Purchase Option Agreement (the ‘agreement”) with SB Wadley SA de CV (“Wadley”) whereby the Company leases, with an option to acquire, mining claims located in Mexico known as the Wadley Property. Under the agreement, the Company will pay Wadley eight monthly installments of $11,600 for the right to mine and conduct geological and resource studies on the Wadley Property. At the end of the eight months, should the Company choose to exercise the option following due diligence and assessment of geological and resource studies, the Company will pay Wadley $2,230,000 and seven annual payments of $1,160,000. |
BASIS OF PRESENTATION AND SIG_2
BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES (Policies) | 6 Months Ended |
Jun. 30, 2022 | |
BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES (Policies) | |
Reclassifications | Certain reclassifications have been made to conform prior periods’ amounts to the current presentation. These reclassifications have no effect on the results of operations, stockholders’ equity and cash flows as previously reported. |
COVID -19 | The Company’s operations and business have experienced disruption due to the unprecedented conditions surrounding the COVID-19 pandemic spreading throughout the United States and elsewhere, causing disruptions to the Company’s business operations and management. These disruptions are most evident in the Company’s ability to retain and house employees and properly manage them while maintaining proper social distancing and with delays in obtaining materials and supplies. The effects of the continued outbreak of COVID-19 and related government responses could also include extended disruptions to supply chains and capital markets, reduced availability of contractors and a prolonged reduction in economic activity. These effects could have a variety of adverse impacts on the Company, including its ability to conduct operations. The Company has taken steps to mitigate the potential risks to suppliers and employees posed by the spread of COVID-19, including work from home policies where appropriate. The Company will continue to monitor developments affecting both its workforce and contractors, and will take additional precautions as necessary. The ultimate impact of COVID-19 depends on factors beyond management’s knowledge or control, including its duration and third-party actions to contain its spread and mitigate its public health effects. Therefore, the Company cannot estimate the potential future impact to its financial position, results of operations and cash flows, but the impacts could be material. |
Investments | The Company determines the appropriate classification of investments at the time of acquisition and re-evaluates such determinations at each reporting date. Equity securities that have a readily determinable fair value are carried at fair value determined using Level 1 fair value measurement inputs with the change in fair value recognized as unrealized gain (loss) in the consolidated statement of operations each reporting period. Gains and losses on the sale of securities are recognized on a specific identification basis. |
New Accounting Pronouncements | Accounting standards that have been issued or proposed by the Financial Accounting Standards Board (“FASB”) that do not require adoption until a future date are not expected to have a material impact on the financial statements upon adoption. |
EARNINGS PER SHARE (Tables)
EARNINGS PER SHARE (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Net income per share of common stock | |
Antidilutive securities excluded from computation of earnings per share | June 30, 2022 June 30, 2021 Warrants 12,489,922 2,471,089 Convertible preferred stock 1,692,672 1,751,005 TOTAL POSSIBLE DILUTIVE SHARES 14,182,594 4,222,094 |
REVENUE RECOGNITION (Tables)
REVENUE RECOGNITION (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
REVENUE RECOGNITION | |
Disaggregation of revenue | For the three months ended June 30, 2022 June 30, 2021 Antimony $ 2,472,081 $ 1,428,939 Zeolite 1,020,391 716,428 Precious metals 95,453 130,195 TOTAL REVENUE BY PRODUCT $ 3,587,925 $ 2,275,562 For the six months ended June 30, 2022 June 30, 2021 Antimony $ 5,301,011 $ 2,086,046 Zeolite 1,694,433 1,236,375 Precious metals 172,787 206,428 TOTAL REVENUE BY PRODUCT $ 7,168,231 $ 3,528,849 |
INVENTORIES (Tables)
INVENTORIES (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
INVENTORIES | |
Total inventories | June 30, 2022 December 31, 2021 Antimony Metal $ 128,591 $ 234,461 Antimony Oxide 278,134 439,086 Antimony Ore Concentrates 28,392 119,046 Total antimony 435,117 792,593 Zeolite 155,087 262,827 TOTAL INVENTORIES $ 590,204 $ 1,055,420 |
PROPERTIES PLANTS AND EQUIPME_2
PROPERTIES PLANTS AND EQUIPMENT (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
PROPERTIES PLANTS AND EQUIPMENT | |
Major components of the Company's properties | Antimony Segment Zeolite Segment Precious Metals June 30, 2022 USAC USAMSA BRZ Segment TOTAL Plant and equipment $ 1,759,271 $ 9,197,870 $ 4,051,016 $ 1,347,912 $ 16,356,069 Buildings 243,248 590,128 801,764 - 1,635,140 Construction in progress - 280,406 332,629 - 613,035 Land and other 2,431,387 2,656,037 16,753 - 5,104,177 4,433,906 12,724,441 5,202,162 1,347,912 23,708,421 Accumulated depreciation (2,747,396 ) (5,904,748 ) (3,318,286 ) (495,270 ) (12,465,700 ) $ 1,686,510 $ 6,819,693 $ 1,883,876 $ 852,642 $ 11,242,721 Antimony Segment Zeolite Segment Precious Metals December 31, 2021 USAC USAMSA BRZ Segment TOTAL Plant and equipment $ 1,684,977 $ 8,905,899 $ 3,853,056 $ 1,330,394 $ 15,774,326 Buildings 243,248 870,534 801,764 - 1,915,546 Construction in progress - 280,406 184,972 - 465,378 Land and other 2,431,387 2,640,441 16,753 - 5,088,581 $ 4,359,612 $ 12,697,280 $ 4,856,545 $ 1,330,394 $ 23,243,831 Accumulated depreciation (2,732,809 ) (5,622,555 ) (3,314,658 ) (440,076 ) (12,110,098 ) $ 1,626,803 $ 7,074,725 $ 1,541,887 $ 890,318 $ 11,133,733 |
ASSET RETIREMENT OBLIGATION A_2
ASSET RETIREMENT OBLIGATION AND ACCRUED RECLAMATION COSTS (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
ASSET RETIREMENT OBLIGATION AND ACCRUED RECLAMATION COSTS | |
Changes in the asset retirement obligation | Three months ended June 30, 2022 2021 Asset retirement obligation, beginning of period $ 192,881 $ 184,219 Change in estimate of asset retirement obligation 15,596 - Accretion expense 9,680 1,732 Asset retirement obligation, end of period $ 218,157 $ 185,951 Six months ended June 30, 2022 2021 Asset retirement obligation, beginning of period $ 191,149 $ 184,219 Change in estimate of asset retirement obligation 15,596 - Accretion expense 11,412 1,732 Asset retirement obligation, end of period $ 218,157 $ 185,951 |
DEBT (Tables)
DEBT (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
DEBT | |
Long-term debt | June 30, 2022 December 31, 2021 Promissory note payable to First Security Bank of Missoula, bearing interest at 2.25%, payable in 59 monthly installments of $1,409 with a final payment of $152,726 maturing November 9, 2026; collateralized by a lien on Certificate of Deposit $ 208,046 $ 215,150 Installment contract payable to Caterpillar Financial Services, bearing interest at 6.65%, payable in 24 monthly installments of $7,210 maturing April 28, 2024; collateralized by 2007 Caterpillar 740 articulated truck 148,937 - 356,983 215,150 Less current portion (91,347 ) (13,230 ) Long term portion $ 265,636 $ 201,920 |
Principal payments on debt | Twelve months ending June 30, Principal payment 2023 $ 91,347 2024 82,573 2025 12,925 2026 13,219 2027 156,919 $ 356,983 |
STOCKHOLDERS EQUITY (Tables)
STOCKHOLDERS EQUITY (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
STOCKHOLDERS EQUITY (Tables) | |
Common stock warrant activity | Number of warrants Exercise prices Balance outstanding at December 31, 2020 6,194,899 $ 0.65 Issued 10,060,500 $0.46 - $0.85 Exercised (3,765,477 ) $0.46 - $0.65 Balance outstanding at December 31, 2021 and June 30, 2022 12,489,922 $ 0.75 |
Warrants outstanding | Number of warrants Exercise Price Expiration Date Remaining life (years) 143,707 $ 0.65 8/12/2022 0.12 2,285,715 0.46 7/31/2025 3.09 804,000 0.46 1/27/2026 3.58 7,650,000 0.85 8/3/2026 4.10 1,606,500 0.85 2/1/2026 3.59 12,489,922 |
BUSINESS SEGEMENTS (Tables)
BUSINESS SEGEMENTS (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
BUSINESS SEGEMENTS | |
Summary of capital expenditure | For the three months ended June 30, For the six months ended June 30, Capital expenditures 2022 2021 2022 2021 Antimony United States $ 51,927 $ - $ 80,277 $ - Mexico 10,724 4,872 11,565 9,744 Subtotal antimony 62,651 4,872 91,842 9,744 Precious metals 9,138 18,921 17,518 37,347 Zeolite 299,865 68,036 435,239 68,036 Total $ 371,654 $ 91,829 $ 544,599 $ 115,127 |
Segment information | Total Assets: June 30, 2022 December 31, 2021 Antimony United States $ 24,552,558 $ 24,130,348 Mexico 7,446,054 7,771,515 Subtotal antimony 31,998,612 31,901,863 Precious metals United States 183,713 107,464 Mexico 668,929 782,854 Subtotal precious metals 852,642 890,318 Zeolite 2,904,763 2,210,546 TOTAL $ 35,756,017 $ 35,002,727 |
Summary of segement operation | Segment operations for the three months ended June 30, 2022 Antimony - USA Antimony -Mexico Total antimony Precious Metals Zeolite Total Total revenues $ 1,644,259 $ 827,822 $ 2,472,081 $ 95,453 $ 1,020,391 $ 3,587,925 Depreciation and amortization $ 11,101 $ 143,736 $ 154,837 $ 27,674 $ 48,546 $ 231,057 Income from operations $ 120,636 $ 24,396 $ 145,032 $ 67,779 $ 154,124 $ 366,935 Other income (expense) (3,975) - (3,975) - (1,737) (5,712) NET INCOME $ 116,661 $ 24,396 $ 141,057 $ 67,779 $ 152,387 $ 361,223 Segment operations for the three months ended June 30, 2021 Antimony - USA Antimony -Mexico Total antimony Precious Metals Zeolite Total Total revenues $ 1,428,939 $ - $ 1,428,939 $ 130,195 $ 716,428 $ 2,275,562 Depreciation and amortization $ 7,893 $ 144,999 $ 152,892 $ 28,226 $ 38,826 $ 219,944 Income (loss) from operations $ 99,642 $ (575,363 ) $ (475,721 ) $ 101,969 $ 141,562 $ (232,190 ) Other income (expense) 456,725 113,422 570,147 - (816 ) 569,331 NET LOSS $ 556,367 $ (461,941 ) $ 94,426 $ 101,969 $ 140,746 $ 337,141 Segment operations for the six months ended June 30, 2022 Antimony - USA Antimony -Mexico Total antimony Precious Metals Zeolite Total Total revenues $ 4,473,189 $ 827,822 $ 5,301,011 $ 172,787 $ 1,694,433 $ 7,168,231 Depreciation and amortization $ 20,570 $ 282,193 $ 302,763 $ 55,194 $ 93,250 $ 451,207 Income (loss) from operations $ 1,512,148 $ (659,641 ) $ 852,507 $ 117,593 $ 176,415 $ 1,146,515 Other income (expense) 3,335 - 3,335 - (2,375 ) 960 NET INCOME (LOSS) $ 1,515,483 $ (659,641 ) $ 855,842 $ 117,593 $ 174,040 $ 1,147,475 Segment operations for the six months ended June 30, 2021 Antimony - USA Antimony -Mexico Total antimony Precious Metals Zeolite Total Total revenues $ 2,086,046 $ - $ 2,086,046 $ 206,428 $ 1,236,375 $ 3,528,849 Depreciation and amortization $ 15,784 $ 289,951 $ 305,735 $ 55,830 $ 80,843 $ 442,408 Income (loss) from operations $ (119,027 ) $ (813,931 ) $ (932,958 ) $ 150,598 $ 208,444 $ (573,916 ) Other income (expense) 463,360 113,422 576,782 - (1,213 ) 575,569 NET INCOME (LOSS) $ 344,333 $ (700,509 ) $ (356,176 ) $ 150,598 $ 207,231 $ 1,653 |
NATURE OF OPERATIONS (Details N
NATURE OF OPERATIONS (Details Narrative) | 6 Months Ended |
Jun. 30, 2022 | |
BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES (Policies) | |
Name of Subsidiary 1 | Bear River Zeolite Company |
Place of Subsidiary 1 | Idaho |
Owned Percentage 1 | 75% |
Owned Remaining Percentage 1 | 25% |
Name of Subsidiary 2 | Antimonio de Mexico S.A. de C.V |
Place of Subsidiary 2 | Mexico |
Owned Percentage 2 | 100% |
Name of Subsidiary 3 | Mexico S.A. de C.V |
Place of Subsidiary 3 | United States |
Owned Percentage 3 | 100% |
Owned Percentage 4 | 100% |
Name of Subsidiary 4 | Stibnite Holding Company US Inc. |
Owned Percentage 5 | 100% |
Name of Subsidiary 5 | Antimony Mining and Milling US LLC |
Place of Subsidiary 5 | Delaware |
Owned Percentage 6 | 100% |
Place of Subsidiary 6 | Mexico |
Name of Subsidiary 6 | Lanxess Laurel de Mexico, S.A. de C.V |
EARNINGS PER SHARE (Details)
EARNINGS PER SHARE (Details) - shares | 6 Months Ended | |
Jun. 30, 2022 | Jun. 30, 2021 | |
Total possible dilution | 14,182,594 | 4,222,094 |
Cumulative Preferred Stock | ||
Total possible dilution | 1,692,672 | 1,751,005 |
Warrants | ||
Total possible dilution | 12,489,922 | 2,471,089 |
REVENUE RECOGNITION (Details)
REVENUE RECOGNITION (Details) - USD ($) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
TOTAL REVENUE BY PRODUCT | $ 3,587,925 | $ 2,275,562 | $ 7,168,231 | $ 3,528,849 |
Precious Metals | ||||
TOTAL REVENUE BY PRODUCT | 95,453 | 130,195 | 172,787 | 206,428 |
Zeolite | ||||
TOTAL REVENUE BY PRODUCT | 1,020,391 | 716,428 | 1,694,433 | 1,236,375 |
Antimony | ||||
TOTAL REVENUE BY PRODUCT | $ 2,472,081 | $ 1,428,939 | $ 5,301,011 | $ 2,086,046 |
REVENUE RECOGNITION (Details Na
REVENUE RECOGNITION (Details Narrative) - USD ($) | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | Dec. 31, 2021 | |
REVENUE RECOGNITION | |||||
Trademark and licensing income | $ 60,775 | $ 0 | $ 60,775 | $ 0 | |
Accounts receivable | $ 1,604,660 | $ 1,604,660 | $ 891,314 |
INVENTORIES (Details)
INVENTORIES (Details) - USD ($) | Jun. 30, 2022 | Dec. 31, 2021 |
Inventories | $ 590,204 | $ 1,055,420 |
Antimony | ||
Inventories | 435,117 | 792,593 |
zeolite products | ||
Inventories | 155,087 | 262,827 |
Antimony Metals | ||
Inventories | 128,591 | 234,461 |
Antimony Oxides | ||
Inventories | 278,134 | 439,086 |
Antimony Ore Concentrates | ||
Inventories | $ 28,392 | $ 119,046 |
INVENTORIES (Details Narrative)
INVENTORIES (Details Narrative) - USD ($) | Jun. 30, 2022 | Jun. 30, 2021 |
INVENTORIES | ||
Inventories adjustmentincluded in cost of revenue | $ 136,836 | $ 66,054 |
PROPERTIES PLANTS AND EQUIPME_3
PROPERTIES PLANTS AND EQUIPMENT (Details) - USD ($) | Jun. 30, 2022 | Dec. 31, 2021 |
Plant and equipment | $ 16,356,069 | $ 15,774,326 |
Buildings | 1,635,140 | 1,915,546 |
Construction in progress | 613,035 | 465,378 |
Land and other | 5,104,177 | 5,088,581 |
Total | 23,708,421 | 23,243,831 |
Accumulated depreciation | (12,465,700) | (12,110,098) |
Properties, plants and equipment, net | 11,242,721 | 11,133,733 |
Antimony Segment USAC | ||
Plant and equipment | 1,759,271 | 1,684,977 |
Buildings | 243,248 | 243,248 |
Construction in progress | 0 | 0 |
Land and other | 2,431,387 | 2,431,387 |
Total | 4,433,906 | 4,359,612 |
Accumulated depreciation | (2,747,396) | (2,732,809) |
Properties, plants and equipment, net | 1,686,510 | 1,626,803 |
Antimony Segment USAMSA | ||
Plant and equipment | 9,197,870 | 8,905,899 |
Buildings | 590,128 | 870,534 |
Construction in progress | 280,406 | 280,406 |
Land and other | 2,656,037 | 2,640,441 |
Total | 12,724,441 | 12,697,280 |
Accumulated depreciation | (5,904,748) | (5,622,555) |
Properties, plants and equipment, net | 6,819,693 | 7,074,725 |
Zeolite Segment BRZ | ||
Plant and equipment | 4,051,016 | 3,853,056 |
Buildings | 801,764 | 801,764 |
Construction in progress | 332,629 | 184,972 |
Land and other | 16,753 | 16,753 |
Total | 5,202,162 | 4,856,545 |
Accumulated depreciation | (3,318,286) | (3,314,658) |
Properties, plants and equipment, net | 1,883,876 | 1,541,887 |
Precious Metals Segment | ||
Plant and equipment | 1,347,912 | 1,330,394 |
Buildings | 0 | 0 |
Construction in progress | 0 | 0 |
Land and other | 0 | 0 |
Total | 1,347,912 | 1,330,394 |
Accumulated depreciation | (495,270) | (440,076) |
Properties, plants and equipment, net | $ 852,642 | $ 890,318 |
PROPERTIES PLANTS AND EQUIPME_4
PROPERTIES PLANTS AND EQUIPMENT (Details Narrative) - USD ($) | Jun. 30, 2022 | Dec. 31, 2021 |
PROPERTIES PLANTS AND EQUIPMENT (Details) | ||
Assets not yet placed in service | $ 613,035 | $ 665,175 |
ASSET RETIREMENT OBLIGATION A_3
ASSET RETIREMENT OBLIGATION AND ACCRUED RECLAMATION COSTS (Details) - USD ($) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
ASSET RETIREMENT OBLIGATION AND ACCRUED RECLAMATION COSTS (Details) | ||||
Asset retirement obligation, beginning of period | $ 192,881 | $ 184,219 | $ 191,149 | $ 184,219 |
Accretion Expense | 15,596 | 0 | 15,596 | 0 |
Change in estimate of asset retirement obligation | 9,680 | 1,732 | 11,412 | 1,732 |
Asset retirement obligation, end of period | $ 218,157 | $ 185,951 | $ 218,157 | $ 185,951 |
ASSET RETIREMENT OBLIGATION A_4
ASSET RETIREMENT OBLIGATION AND ACCRUED RECLAMATION COSTS (Details Narrative) - USD ($) | Jun. 30, 2022 | Dec. 31, 2021 |
ASSET RETIREMENT OBLIGATION AND ACCRUED RECLAMATION COSTS (Details) | ||
Asset retirement obligation liability with reclamation obligations | $ 325,657 | $ 298,649 |
Reclamation obligations | $ 107,500 |
DEBT (Details)
DEBT (Details) - USD ($) | Jun. 30, 2022 | Dec. 31, 2021 |
Noncurrent portion | $ 356,983 | $ 215,150 |
Less current portion | (91,347) | (13,230) |
Long term portion | 265,636 | 201,920 |
First Security Bank of Missoula | ||
Long term portion | 208,046 | 215,150 |
Caterpillar Financial Services | ||
Long term portion | $ 148,937 | $ 0 |
DEBT (Details 1)
DEBT (Details 1) | Jun. 30, 2022 USD ($) |
DEBT | |
2023 | $ 91,347 |
2024 | 82,573 |
2025 | 12,925 |
2026 | 13,219 |
2027 | 156,919 |
Total | $ 356,983 |
COMMITMENTS AND CONTINGENCIES (
COMMITMENTS AND CONTINGENCIES (Details Narrative) - USD ($) | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | Dec. 31, 2021 | |
Royalty expense | $ 85,870 | $ 69,437 | $ 147,900 | $ 131,567 | |
Accrued liabilities | 1,270 | 1,270 | $ 0 | ||
Accrued royalties payable | $ 409,887 | $ 409,887 | $ 346,242 | ||
Minimum [Member] | |||||
Royalties percentage | 8% | ||||
Maximum [Member] | |||||
Royalties percentage | 13% |
STOCKHOLDERS EQUITY (Details)
STOCKHOLDERS EQUITY (Details) - $ / shares | 6 Months Ended | 12 Months Ended |
Jun. 30, 2022 | Dec. 31, 2021 | |
Number of warrants, beginning | 6,194,899 | 6,194,899 |
Issued | 10,060,500 | 10,060,500 |
Exercised | (3,765,477) | (3,765,477) |
Number of warrants, ending | 12,489,922 | 6,194,899 |
Exercise prices, Balance outstanding, Beginning Balance | $ 0.65 | $ 0.65 |
Exercise prices, Balance outstanding, Ending Balance | 0.75 | 0.75 |
Minimum [Member] | ||
Issued | 0.46 | 0.46 |
Exercised | 0.46 | 0.46 |
Maximum [Member] | ||
Issued | 0.85 | 0.85 |
Exercised | $ 0.65 | $ 0.65 |
STOCKHOLDERS EQUITY (Details 1)
STOCKHOLDERS EQUITY (Details 1) | 6 Months Ended |
Jun. 30, 2022 $ / shares shares | |
Warrant 1 | |
Shares | 143,707 |
Exercise Price | $ / shares | $ 0.65 |
Remaining life | 1 month 13 days |
Expiration date | 8/12/2022 |
Warrant 2 | |
Shares | 2,285,715 |
Exercise Price | $ / shares | $ 0.46 |
Remaining life | 3 years 1 month 2 days |
Expiration date | 7/31/ |
Warrant 3 | |
Shares | 804,000 |
Exercise Price | $ / shares | $ 0.46 |
Remaining life | 3 years 6 months 29 days |
Expiration date | 1/27/ |
Warrant 4 | |
Shares | 7,650,000 |
Exercise Price | $ / shares | $ 0.85 |
Remaining life | 4 years 1 month 6 days |
Expiration date | 8/3/2026 |
Warrant 5 | |
Shares | 1,606,500 |
Exercise Price | $ / shares | $ 0.85 |
Remaining life | 3 years 7 months 2 days |
Expiration date | 2/1/2026 |
Warrants | |
Shares | 12,489,922 |
STOCKHOLDERS EQUITY (Details Na
STOCKHOLDERS EQUITY (Details Narrative) - USD ($) | 1 Months Ended | 3 Months Ended | 6 Months Ended | ||||
Feb. 03, 2021 | Feb. 18, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | Dec. 31, 2021 | |
Common stock Issued | 3,765,477 | 3,765,477 | |||||
Directors' fees payable | $ 46,875 | $ 28,125 | $ 75,000 | $ 28,125 | |||
Accrued balance of stock payable | $ 187,500 | 187,500 | $ 112,500 | ||||
Gross proceeds from shares sold | 1,790,703 | ||||||
February 2021 [Member] | |||||||
Gross proceeds from shares sold | $ 10,710,000 | $ 14,287,000 | |||||
Common stock shares sold | 15,300,000 | 10,990,000 | |||||
Total cash issuance cost | $ 1,654,820 | ||||||
Shares sold price per share | $ 0.70 | $ 1.30 | |||||
Warrant 1 | |||||||
Warrants sold to purchase shares of common stock | 1,606,500 | ||||||
Warrants, exercise price | $ 0.85 | $ 0.85 | |||||
Warrant 2 | |||||||
Warrants sold to purchase shares of common stock | 804,000 | ||||||
Warrants, exercise price | $ 0.46 | $ 0.46 | |||||
Common Stock Warrants | |||||||
Warrants sold to purchase shares of common stock | 7,650,000 | ||||||
Warrants, exercise price | $ 0.85 |
INVESTMENTS (Details Narrative)
INVESTMENTS (Details Narrative) - USD ($) | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2022 | Jun. 30, 2022 | Dec. 31, 2021 | Jun. 30, 2021 | Dec. 31, 2020 | |
Cash and cash equivalent | $ 8,369,750 | $ 8,369,750 | $ 21,420,329 | $ 22,421,882 | $ 722,377 |
Investment account | |||||
Change in fair value of investments | 93,458 | 93,458 | |||
Fair value of investment | 13,431,774 | 13,431,774 | |||
Cost of investment | 13,492,655 | 13,492,655 | |||
Cash and cash equivalent | $ 132,380 | $ 132,380 |
BUSINESS SEGEMENTS (Details)
BUSINESS SEGEMENTS (Details) - USD ($) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Capital expenditures | $ 371,654 | $ 91,829 | $ 544,599 | $ 115,127 |
Precious Metals | ||||
Capital expenditures | 9,138 | 18,921 | 17,518 | 37,347 |
Zeolite | ||||
Capital expenditures | 299,865 | 68,036 | 435,239 | 68,036 |
United States Antimony | ||||
Capital expenditures | 51,927 | 0 | 80,277 | 0 |
Mexico Antimony | ||||
Capital expenditures | 10,724 | 4,872 | 11,565 | 9,744 |
Subtotal Antimony | ||||
Capital expenditures | $ 62,651 | $ 4,872 | $ 91,842 | $ 9,744 |
BUSINESS SEGEMENTS (Details 1)
BUSINESS SEGEMENTS (Details 1) - USD ($) | Jun. 30, 2022 | Dec. 31, 2021 |
Total assets | $ 35,756,017 | $ 35,002,727 |
United States Precious Metals | ||
Total assets | 183,713 | 107,464 |
Zeolite | ||
Total assets | 2,904,763 | 2,210,546 |
United States Antimony | ||
Total assets | 24,552,558 | 24,130,348 |
Mexico Antimony | ||
Total assets | 7,446,054 | 7,771,515 |
Subtotal Antimony | ||
Total assets | 31,998,612 | 31,901,863 |
Mexico Precious Metals [Member] | ||
Total assets | 668,929 | 782,854 |
Subtotal Precious Metals [Member] | ||
Total assets | $ 852,642 | $ 890,318 |
BUSINESS SEGEMENTS (Details 2)
BUSINESS SEGEMENTS (Details 2) - USD ($) | 3 Months Ended | 6 Months Ended | ||||
Jun. 30, 2022 | Mar. 31, 2022 | Jun. 30, 2021 | Mar. 31, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Revenues | $ 3,587,925 | $ 2,275,562 | $ 7,168,231 | $ 3,528,849 | ||
Depreciation and amortization | 231,057 | 219,944 | 451,207 | 442,408 | ||
Income (loss) from operations | 366,935 | (232,190) | 1,146,515 | (573,916) | ||
Total other income (expense) | (5,712) | 569,331 | 960 | 575,569 | ||
NET INCOME (LOSS) | 361,223 | $ 786,252 | 337,141 | $ (335,488) | 1,147,475 | 1,653 |
Precious Metals | ||||||
Revenues | 95,453 | 130,195 | 172,787 | 206,428 | ||
Depreciation and amortization | 27,674 | 28,226 | 55,194 | 55,830 | ||
Income (loss) from operations | 67,779 | 101,969 | 117,593 | 150,598 | ||
Total other income (expense) | 0 | 0 | 0 | 0 | ||
NET INCOME (LOSS) | 67,779 | 101,969 | 117,593 | 150,598 | ||
Zeolite | ||||||
Revenues | 1,020,391 | 716,428 | 1,694,433 | 1,236,375 | ||
Depreciation and amortization | 48,546 | 38,826 | 93,250 | 80,843 | ||
Income (loss) from operations | 154,124 | 141,562 | 176,415 | 208,444 | ||
Total other income (expense) | (1,737) | (816) | (2,375) | (1,213) | ||
NET INCOME (LOSS) | 152,387 | 140,746 | 174,040 | 207,231 | ||
United States Antimony | ||||||
Revenues | 1,644,259 | 1,428,939 | 4,473,189 | 2,086,046 | ||
Depreciation and amortization | 11,101 | 7,893 | 20,570 | 15,784 | ||
Income (loss) from operations | 120,636 | 99,642 | 1,512,148 | (119,027) | ||
Total other income (expense) | (3,975) | 456,725 | (3,335) | 463,360 | ||
NET INCOME (LOSS) | 116,661 | 556,367 | 1,515,483 | 344,333 | ||
Mexico Antimony | ||||||
Revenues | 827,822 | 0 | 827,822 | 0 | ||
Depreciation and amortization | 143,736 | 144,999 | 282,193 | 289,951 | ||
Income (loss) from operations | 24,396 | (575,363) | (659,641) | (813,931) | ||
Total other income (expense) | 0 | 113,422 | 0 | 113,422 | ||
NET INCOME (LOSS) | 24,396 | (461,941) | (659,641) | (700,509) | ||
Subtotal Antimony | ||||||
Revenues | 2,472,081 | 1,428,939 | 5,301,011 | 2,086,046 | ||
Depreciation and amortization | 154,837 | 152,892 | 302,763 | 305,735 | ||
Income (loss) from operations | 145,032 | (475,721) | 852,507 | (932,958) | ||
Total other income (expense) | (3,975) | 570,147 | (3,335) | 576,782 | ||
NET INCOME (LOSS) | $ 141,057 | $ 94,426 | $ 855,842 | $ (356,176) |
SUBSEQUENT EVENTS (Details Narr
SUBSEQUENT EVENTS (Details Narrative) - Aug,8,2022 - SubsequentEvent | Aug. 08, 2022 USD ($) |
Eight monthly installments | $ 11,600 |
Payment to Wadley | 2,230,000 |
Seven annual payments | $ 1,160,000 |