Document_and_Entity_Informatio
Document and Entity Information | 6 Months Ended | |
Apr. 30, 2015 | Jun. 12, 2015 | |
Document And Entity Information [Abstract] | ||
Document Type | 10-Q | |
Amendment Flag | FALSE | |
Document Period End Date | 30-Apr-15 | |
Document Fiscal Year Focus | 2015 | |
Document Fiscal Period Focus | Q2 | |
Entity Registrant Name | SILVER BULL RESOURCES, INC. | |
Entity Central Index Key | 1031093 | |
Current Fiscal Year End Date | -21 | |
Entity Filer Category | Smaller Reporting Company | |
Entity Common Stock, Shares Outstanding | 159,072,657 | |
Entity Current Reporting Status | Yes |
CONDENSED_CONSOLIDATED_BALANCE
CONDENSED CONSOLIDATED BALANCE SHEETS (USD $) | Apr. 30, 2015 | Oct. 31, 2014 |
CURRENT ASSETS | ||
Cash and cash equivalents | $1,975,279 | $1,879,318 |
Value-added tax receivable, net of allowance for uncollectible taxes of $106,707 and $116,274 respectively (Note 6) | 137,743 | 163,032 |
Income tax receivable | 1,717 | 2,027 |
Other receivables | 35,193 | 28,637 |
Prepaid expenses and deposits | 146,988 | 219,717 |
Assets of discontinued operations held for sale (Note 4) | 1,281,518 | |
Total Current Assets | 2,296,920 | 3,574,249 |
Office and mining equipment, net (Note 7) | 330,028 | 363,519 |
Property concessions (Note 8) | 5,563,263 | 5,563,263 |
Goodwill (Note 9) | 18,495,031 | 18,495,031 |
TOTAL ASSETS | 26,685,242 | 27,996,062 |
CURRENT LIABILITIES | ||
Accounts payable | 194,912 | 253,419 |
Accrued liabilities and expenses | 241,747 | 354,792 |
Income tax payable | 14,000 | 10,000 |
Liabilities of discontinued operations held for sale (Note 4) | 8,894 | |
Total Current Liabilities | 450,659 | 627,105 |
COMMITMENTS AND CONTINGENCIES (Notes 1, 10 and 14) | ||
STOCKHOLDERS' EQUITY (Notes 10, 11 and 12) | ||
Common stock, $0.01 par value; 300,000,000 shares authorized, 159,072,657 and 159,072,657 shares issued and outstanding, respectively | 1,590,726 | 1,590,726 |
Additional paid-in capital | 124,982,164 | 124,921,150 |
Deficit accumulated during exploration stage | -100,556,982 | -99,301,107 |
Other comprehensive income | 218,675 | 158,188 |
Total Stockholders' Equity | 26,234,583 | 27,368,957 |
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY | $26,685,242 | $27,996,062 |
CONDENSED_CONSOLIDATED_BALANCE1
CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) (USD $) | Apr. 30, 2015 | Oct. 31, 2014 |
CONDENSED CONSOLIDATED BALANCE SHEETS [Abstract] | ||
Allowance for uncollectible taxes, current | $106,707 | $116,274 |
Common stock, par value | $0.01 | $0.01 |
Common stock, shares authorized | 300,000,000 | 300,000,000 |
Common stock, shares issued | 159,072,657 | 159,072,657 |
Common stock, shares outstanding | 159,072,657 | 159,072,657 |
CONDENSED_CONSOLIDATED_STATEME
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE LOSS (USD $) | 3 Months Ended | 6 Months Ended | ||
Apr. 30, 2015 | Apr. 30, 2014 | Apr. 30, 2015 | Apr. 30, 2014 | |
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE LOSS [Abstract] | ||||
REVENUES | ||||
EXPLORATION AND PROPERTY HOLDING COSTS | ||||
Exploration and property holding costs | 138,570 | 239,668 | 410,667 | 724,660 |
Depreciation and asset impairment | 14,949 | 348,660 | 32,581 | 380,288 |
TOTAL EXPLORATION AND PROPERTY HOLDING COSTS | 153,519 | 588,328 | 443,248 | 1,104,948 |
GENERAL AND ADMINISTRATIVE EXPENSES | ||||
Personnel | 131,114 | 152,183 | 285,164 | 333,126 |
Office and administrative | 124,204 | 128,390 | 284,463 | 304,524 |
Professional services | 65,063 | 77,525 | 165,445 | 178,260 |
Directors' fees | 50,517 | 57,233 | 106,560 | 115,788 |
Provision for uncollectible value-added taxes | 6,485 | 10,870 | 6,235 | 19,132 |
Depreciation | 444 | 853 | 889 | 1,770 |
TOTAL GENERAL AND ADMINISTRATIVE EXPENSES | 377,827 | 427,054 | 848,756 | 952,600 |
LOSS FROM OPERATIONS | -531,346 | -1,015,382 | -1,292,004 | -2,057,548 |
OTHER INCOME (EXPENSES) | ||||
Interest and investment income | 382 | 4,320 | 640 | 6,749 |
Foreign currency transaction gain (loss) | 12,763 | 20,648 | -85,999 | 5,377 |
Miscellaneous income | 763 | 44,048 | ||
TOTAL OTHER INCOME (EXPENSES) | 13,145 | 25,731 | -85,359 | 56,174 |
LOSS FROM CONTINUING OPERATIONS BEFORE INCOME TAXES | -518,201 | -989,651 | -1,377,363 | -2,001,374 |
INCOME TAX EXPENSE | 3,070 | 7,386 | 4,641 | 10,933 |
LOSS FROM CONTINUING OPERATIONS | -521,271 | -997,037 | -1,382,004 | -2,012,307 |
Loss from discontinued operations, net of income taxes (Note 4) | -272,167 | -159,277 | -334,286 | |
(Loss) gain on sale of assets of discontinued operations, net of income taxes (Note 4) | -10,963 | 285,406 | ||
NET LOSS | -532,234 | -1,269,204 | -1,255,875 | -2,346,593 |
OTHER COMPREHENSIVE INCOME (LOSS) | ||||
Foreign currency translation adjustments | 2,977 | -566 | 53,324 | -1,666 |
Realized foreign currency translation gain on sale of assets of discontinued operations (Note 4) | 7,163 | |||
TOTAL OTHER COMPREHENSIVE INCOME (LOSS) | 2,977 | -566 | 60,487 | -1,666 |
COMPREHENSIVE LOSS | ($529,257) | ($1,269,770) | ($1,195,388) | ($2,348,259) |
BASIC AND DILUTED NET LOSS PER COMMON SHARE | ||||
Loss from continuing operations | ($0.01) | ($0.01) | ($0.01) | |
Loss from discontinued operations | ||||
Net loss | ($0.01) | ($0.01) | ($0.01) | |
BASIC AND DILUTED WEIGHTED AVERAGE NUMBER OF COMMON SHARES OUTSTANDING | 159,072,657 | 159,072,657 | 159,072,657 | 159,072,657 |
CONDENSED_CONSOLIDATED_STATEME1
CONDENSED CONSOLIDATED STATEMENT OF STOCKHOLDERS' EQUITY (USD $) | Total | Common Stock [Member] | Additional Paid-in Capital [Member] | Deficit Accumulated During Exploration Stage [Member] | Other Comprehensive Income [Member] |
Balance at Oct. 31, 2014 | $27,368,957 | $1,590,726 | $124,921,150 | ($99,301,107) | $158,188 |
Balance, shares at Oct. 31, 2014 | 159,072,657 | 159,072,657 | |||
Stock option activity as follows: | |||||
Stock based compensation for options issued to officers, employees, consultants and directors | 61,014 | 61,014 | |||
Other Comprehensive Income | 60,487 | 60,487 | |||
Net loss | -1,255,875 | -1,255,875 | |||
Balance at Apr. 30, 2015 | $26,234,583 | $1,590,726 | $124,982,164 | ($100,556,982) | $218,675 |
Balance, shares at Apr. 30, 2015 | 159,072,657 | 159,072,657 |
CONDENSED_CONSOLIDATED_STATEME2
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (USD $) | 6 Months Ended | ||
Apr. 30, 2015 | Apr. 30, 2014 | ||
CASH FLOWS FROM OPERATING ACTIVITIES: | |||
Net loss | ($1,255,875) | ($2,346,593) | |
Adjustments to reconcile net loss to net cash used by operating activities: | |||
Depreciation and asset impairment | 36,775 | 580,901 | |
Provision for uncollectible value-added taxes | 6,235 | 19,132 | |
Gain on sale of assets of discontinued operations (Note 4) | -285,406 | ||
Other income | -41,427 | ||
Foreign currency transaction loss (gain) | 176,430 | -19,805 | |
Stock options issued for compensation | 61,014 | 111,926 | |
Changes in operating assets and liabilities: | |||
Value-added tax receivable | 46 | -4,306 | |
Income taxes receivable | 77 | ||
Other receivables | -9,769 | 28,429 | |
Prepaid expenses and deposit | 71,224 | 72,365 | |
Accounts payable | -64,405 | -327,733 | |
Accrued liabilities and expenses | -70,042 | -57,288 | |
Income tax payable | 4,000 | 9,678 | |
Net cash used in operating activities | -1,329,696 | -1,974,721 | |
CASH FLOWS FROM INVESTING ACTIVITIES: | |||
Other assets | 80,238 | ||
Proceeds from sale of equipment | 85,970 | ||
Acquisition of property concessions | -247,845 | ||
Net proceeds from sale of discontinued operations (Note 4) | 1,362,883 | ||
Net cash provided by (used in) investing activities | 1,443,121 | -161,875 | |
CASH FLOWS FROM FINANCING ACTIVITIES: | |||
Net cash provided by financing activities | |||
Effect of exchange rates on cash and cash equivalents | -24,315 | 6,854 | |
Net increase (decrease) in cash and cash equivalents | 89,110 | -2,129,742 | |
Cash and cash equivalents, beginning of period | 1,886,169 | [1] | 5,251,003 |
Cash and cash equivalents end of period | 1,975,279 | 3,121,261 | |
SUPPLEMENTAL CASH FLOW DISCLOSURES: | |||
Income taxes paid | 2,846 | 10,398 | |
Interest paid | |||
NON-CASH INVESTING AND FINANCING ACTIVITIES: | |||
Property concessions capitalized and included in accrued liabilities | $100,000 | ||
[1] | Cash and cash equivalents at October 31, 2014 included $6,851 in assets of discontinued operations held for sale. |
CONDENSED_CONSOLIDATED_STATEME3
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (Parenthetical) (USD $) | Apr. 30, 2015 | Oct. 31, 2014 |
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS [Abstract] | ||
Discontinued operations, cash and cash equivalents | $6,851 |
ORGANIZATION_DESCRIPTION_OF_BU
ORGANIZATION, DESCRIPTION OF BUSINESS AND LIQUIDITY | 6 Months Ended |
Apr. 30, 2015 | |
ORGANIZATION, DESCRIPTION OF BUSINESS AND LIQUIDITY [Abstract] | |
ORGANIZATION, DESCRIPTION OF BUSINESS AND LIQUIDITY | NOTE 1 – ORGANIZATION, DESCRIPTION OF BUSINESS AND LIQUIDITY |
Silver Bull Resources, Inc. (the “Company”) was incorporated in the State of Nevada on November 8, 1993 as the Cadgie Company for the purpose of acquiring and developing mineral properties. The Cadgie Company was a spin-off from its predecessor, Precious Metal Mines, Inc. On June 28, 1996, the Company's name was changed to Metalline Mining Company. On April 21, 2011, the Company's name was changed to Silver Bull Resources, Inc. The Company's fiscal year-end is October 31. The Company has not realized any revenues from its planned operations and is considered an exploration stage company. The Company has not established any reserves with respect to its exploration projects and may never enter into the development stage with respect to any of its projects. | |
The Company engages in the business of mineral exploration. The Company currently owns or has the option to acquire a number of property concessions in Mexico (collectively known as the “Sierra Mojada Property”). The Company conducts its operations in Mexico through its wholly-owned subsidiary corporations, Minera Metalin S.A. de C.V. (“Minera”) and Contratistas de Sierra Mojada S.A. de C.V. (“Contratistas”) and through Minera's wholly-owned subsidiary Minas de Coahuila SBR S.A. de C.V. (“Minas”). | |
On April 16, 2010, Metalline Mining Delaware, Inc., a wholly-owned subsidiary of the Company, was merged with and into Dome Ventures Corporation (“Dome”). As a result, Dome became a wholly-owned subsidiary of the Company. Dome has a wholly-owned subsidiary Dome Asia Inc. (“Dome Asia”), which is incorporated in the British Virgin Islands. Dome Asia has a wholly-owned subsidiary incorporated in Gabon, African Resources SARL Gabon (“African Resources”), as well as a 99.99%-owned subsidiary, Dome Minerals Nigeria Limited, incorporated in Nigeria. In January 2015, the Company completed the sale of its subsidiary Dome International Global Inc. (“Dome International”), including Dome International's wholly-owned subsidiary Dome Ventures SARL Gabon (“Dome Gabon”), which held the Ndjole Prospect in Gabon (Note 4). | |
The Company's efforts have been concentrated in expenditures related to exploration properties, principally in the Sierra Mojada Property located in Coahuila, Mexico. The Company has not determined whether its exploration properties contain ore reserves that are economically recoverable. The ultimate realization of the Company's investment in exploration properties is dependent upon the success of future property sales, the existence of economically recoverable reserves, and the ability of the Company to obtain financing or make other arrangements for exploration, development, and future profitable production activities. The ultimate realization of the Company's investment in exploration properties cannot be determined at this time. Accordingly, no provision for any asset impairment that may result, in the event the Company is not successful in developing or selling these properties, has been made in the accompanying condensed consolidated financial statements, except as disclosed in Notes 4 and 8. | |
Liquidity, Financial Commitments and Management's Plans | |
Since its inception in November 1993, the Company has not generated revenue and has incurred a deficit of $100,556,982. Accordingly, the Company has not generated cash flow from operations, and since inception the Company has relied primarily upon proceeds from private placements and registered direct offerings of the Company's equity securities and warrant exercises as the primary sources of financing to fund the Company's operations. As of April 30, 2015, the Company had working capital of $1,846,261 and cash and cash equivalents of $1,975,279. Management will continue to evaluate the Company's ability to raise additional capital, and if it determines that additional capital is unavailable or available on terms that the Company determines are unacceptable, then the Company will reduce exploration expenditures on the Company's property concessions and reduce general and administrative expenditures. | |
BASIS_OF_PRESENTATION
BASIS OF PRESENTATION | 6 Months Ended |
Apr. 30, 2015 | |
BASIS OF PRESENTATION [Abstract] | |
BASIS OF PRESENTATION | NOTE 2 – BASIS OF PRESENTATION |
The Company's unaudited interim condensed consolidated financial statements have been prepared in accordance with generally accepted accounting principles in the United States of America (“GAAP”) and applicable rules of the U.S. Securities and Exchange Commission (“SEC”) regarding interim reporting. All intercompany transactions and balances have been eliminated during consolidation. Certain information and note disclosures normally included in financial statements prepared in accordance with GAAP have been condensed or omitted pursuant to such rules and regulations. The condensed consolidated balance sheet at October 31, 2014 was derived from the audited consolidated financial statements. Accordingly, these unaudited interim condensed consolidated financial statements should be read in conjunction with the consolidated financial statements and notes thereto contained in the Company's Annual Report on Form 10-K for the year ended October 31, 2014. | |
The unaudited interim condensed consolidated financial statements have been prepared on the same basis as the audited consolidated financial statements, except as disclosed in Note 3. In the opinion of management, these unaudited interim condensed consolidated financial statements furnished herein include all adjustments, all of which are of a normal recurring nature, necessary for a fair statement of the results for the interim periods presented. Uncertainties with respect to estimates and assumptions are inherent in the preparation of the Company's condensed consolidated financial statements; accordingly, operating results for the six months ended April 30, 2015 are not necessary indicative of the results that may be expected for the fiscal year ending October 31, 2015. | |
SIGNIFICANT_ACCOUNTING_POLICIE
SIGNIFICANT ACCOUNTING POLICIES | 6 Months Ended |
Apr. 30, 2015 | |
SIGNIFICANT ACCOUNTING POLICIES [Abstract] | |
SIGNIFICANT ACCOUNTING POLICIES | NOTE 3 – SIGNIFICANT ACCOUNTING POLICIES |
The significant accounting policies are defined in the Company's Annual Report on Form 10-K for the year ended October 31, 2014 filed on January 26, 2015, except as follows. | |
Recent Accounting Pronouncements Adopted in the Six Month Period Ended April 30, 2015 | |
Effective November 1, 2014, the Company adopted Accounting Standards Update (“ASU”) 2013-11, “Income Taxes (Topic 740): Presentation of an Unrecognized Tax Benefit When a Net Operating Loss Carry Forward, a Similar Tax Loss, or a Tax Credit Carry Forward Exists.” The updated guidance requires an entity to net its unrecognized tax benefits against the deferred tax assets for all same jurisdiction net operating loss carry forwards, a similar tax loss, or tax credit carry forwards. A gross presentation will be required only if such carry forwards are not available or would not be used by the entity to settle any additional income taxes resulting from disallowance of the uncertain tax provision. The adoption of this update did not have a material impact on the Company's financial position, results of operations or cash flows and disclosures at this time. | |
Effective November 1, 2014, the Company adopted ASU 2013-05, “Foreign Currency Matters (Topic 830): Parent's Accounting for the Cumulative Translation Adjustment.” The updated standard clarifies the applicable guidance for a parent company's accounting for the release of the cumulative translation adjustment into net income upon derecognition of certain subsidiaries or groups of assets within a foreign entity or of an investment in a foreign entity. The adoption of this update did not have a material impact on the Company's financial position, results of operations or cash flows and disclosures at this time. | |
Recent Accounting Pronouncements Not Yet Adopted | |
In April 2015, the Financial Accounting Standards Board (“FASB”) issued ASU 2015-03, “Simplifying the Presentation of Debt Issuance Costs,” which requires that debt issuance costs related to a recognized debt liability be presented as a reduction to the carrying amount of that debt liability, not as an asset. These changes become effective prospectively for the Company's fiscal year beginning November 1, 2016. The Company has not determined the effects of this update on the Company's financial position, result of operations or cash flows and disclosures at this time. | |
In February 2015, the FASB issued ASU 2015-02, “Consolidation (Topic 810): Amendments to the Consolidation Analysis,” which amends the consolidation requirements in ASC 810. These changes become effective prospectively for the Company's fiscal year beginning November 1, 2016. The Company has not determined the effects of this update on the Company's financial position, results of operations or cash flows and disclosures at this time. | |
In April 2014, the FASB issued ASU 2014-08, “Presentation of Financial Statements (Topic 205) and Property, Plant, and Equipment (Topic 360): Reporting Discontinued Operations and Disclosures of Disposals of Components of an Entity.” Under ASU 2014-08, only disposals of a component or group of components of an entity representing a strategic shift that has (or will have) a major effect on an entity's operations and financial results are presented as discontinued operations. In addition, ASU 2014-08 requires expanded disclosures about discontinued operations that will provide additional information about the assets, liabilities, income, and expenses of discontinued operations. ASU 2014-08 also requires disclosure of the pre-tax income attributable to a disposal of a significant part of an organization that does not qualify for discontinued operations reporting. The update is effective prospectively for fiscal years, and interim periods within those years, beginning after December 15, 2014. The Company has not determined the effects of this update on the Company's financial position, results of operations or cash flows and disclosures at this time. | |
In May 2014, the FASB issued ASU 2014-09, "Revenue from Contracts with Customers (Topic 606)." The updated guidance provides a five-step approach to be applied to all contracts with customers and requires expanded disclosures about revenue recognition. The update is effective for annual periods ending after December 15, 2017, and interim periods within annual periods beginning after December 15, 2017. Early application is permitted. The Company has not determined the effects of this update on the Company's financial position, results of operations or cash flows and disclosures at this time. | |
In August 2014, the FASB issued ASU 2014-15, "Presentation of Financial Statements—Going Concern (Subtopic 205-40): Disclosure of Uncertainties About an Entity's Ability To Continue as a Going Concern." ASU 2014-15 is intended to define management's responsibility to evaluate whether there is substantial doubt about an organization's ability to continue as a going concern and to provide related footnote disclosures. The update provides guidance to an organization's management, with principles and definitions that are intended to reduce diversity in the timing and content of disclosures that are commonly provided by organizations today in the financial statement footnotes. The amendments are effective for annual periods beginning after December 15, 2016, and interim periods within annual periods beginning after December 15, 2016. Early application is permitted. The Company has not determined the effects of this update on the Company's financial position, results of operations or cash flows and disclosures at this time. | |
Other recent accounting pronouncements issued by the FASB (including its Emerging Issues Task Force) and the SEC did not or are not believed to have a material impact on the Company's present or future consolidated financial statements. | |
DISCONTINUED_OPERATIONS
DISCONTINUED OPERATIONS | 6 Months Ended | |||||||||||||||||||||
Apr. 30, 2015 | ||||||||||||||||||||||
DISCONTINUED OPERATIONS [Abstract] | ||||||||||||||||||||||
DISCONTINUED OPERATIONS | NOTE 4 – DISCONTINUED OPERATIONS | |||||||||||||||||||||
On January 23, 2015, the Company closed the sale to BHK Mining Corp. (formerly BHK Resources, Inc.) (“BHK”) of 100% of the issued and outstanding securities of the Company's former subsidiary, Dome International, which holds, indirectly, a 100% interest in the Ndjole concession. Under the terms of the share purchase agreement, the Company received cash consideration of $1,500,000 and reimbursement of the Company's expenses of $75,000 in cash. In addition, the Company incurred transaction costs of $212,117. As a result of this transaction, the Company realized a gain on the sale of assets of discontinued operation of $285,406, net of income taxes. | ||||||||||||||||||||||
During the six months ended April 30, 2014, the Company determined that the Ndjole concession was impaired as its carrying amount was not recoverable based on the implied fair value from the proposed sale proceeds. An impairment loss of $187,981 was recognized | ||||||||||||||||||||||
The following table details selected financial information included in the (income) loss from discontinued operations for the three months and six months ended April 30, 2015 and 2014 | ||||||||||||||||||||||
For the Three Months Ended | For the Six Months Ended | |||||||||||||||||||||
April 30, | April 30, | |||||||||||||||||||||
2015 | 2014 | 2015 | 2014 | |||||||||||||||||||
Exploration and property holding costs | $ | — | $ | 86,102 | $ | 85,542 | $ | 139,144 | ||||||||||||||
Depreciation and asset impairment | — | 195,166 | 3,305 | 198,843 | ||||||||||||||||||
Foreign currency transaction (gain) loss | — | (9,101 | ) | 70,430 | (3,701 | ) | ||||||||||||||||
Loss (gain) on sale of discontinued operations, net of taxes | 10,963 | — | (285,406 | ) | — | |||||||||||||||||
Loss (income) from discontinued operations, net of income taxes | $ | 10,963 | $ | 272,167 | $ | (126,129 | ) | $ | 334,286 | |||||||||||||
The major classes of assets and liabilities of Dome International and its subsidiary Dome Gabon are presented as assets held for sale in the consolidated balance sheets are as follows: | ||||||||||||||||||||||
April 30, | October 31, | |||||||||||||||||||||
2015 | 2014 | |||||||||||||||||||||
Assets | ||||||||||||||||||||||
Cash and cash equivalents | $ | — | $ | 6,851 | ||||||||||||||||||
Restricted cash | — | 1,417 | ||||||||||||||||||||
Value-added tax receivable | — | 8,053 | ||||||||||||||||||||
Prepaid expenses and deposits | — | 6,796 | ||||||||||||||||||||
Other assets | — | 80,238 | ||||||||||||||||||||
Office and mining equipment, net | — | 9,536 | ||||||||||||||||||||
Property concession | — | 1,168,627 | ||||||||||||||||||||
Total assets of discontinued operations held for sale | $ | — | $ | 1,281,518 | ||||||||||||||||||
Liabilities | ||||||||||||||||||||||
Accounts payable | $ | — | $ | 8,894 | ||||||||||||||||||
Total liabilities of discontinued operations held for sale | $ | — | $ | 8,894 | ||||||||||||||||||
LOSS_PER_SHARE
LOSS PER SHARE | 6 Months Ended |
Apr. 30, 2015 | |
LOSS PER SHARE [Abstract] | |
LOSS PER SHARE | NOTE 5 – LOSS PER SHARE |
The Company had stock options and warrants to purchase common stock in the aggregate of 10,330,358 shares and 21,788,977 shares outstanding at April 30, 2015 and April 30, 2014, respectively. They were not included in the calculation of loss per share because they would have been considered anti-dilutive. | |
VALUEADDED_TAX_RECEIVABLE
VALUE-ADDED TAX RECEIVABLE | 6 Months Ended | |||
Apr. 30, 2015 | ||||
VALUE-ADDED TAX RECEIVABLE [Abstract] | ||||
VALUE-ADDED TAX RECEIVABLE | NOTE 6 – VALUE-ADDED TAX RECEIVABLE | |||
Value-added tax (“VAT”) receivable relates to VAT paid in Mexico and Gabon. The Company estimates net VAT of $137,743 will be received within 12 months of the balance sheet date. The allowance for uncollectible VAT taxes was estimated by management based upon a number of factors including the length of time the returns have been outstanding, responses received from tax authorities, general economic conditions in Mexico and Gabon and estimated net recovery after commissions. During the six months ended April 30, 2015, a provision for uncollectible VAT of $6,235 has been recorded. | ||||
A summary of the changes in the allowance for uncollectible VAT taxes for the six months ended April 30, 2015 is as follows: | ||||
Allowance for uncollectible VAT taxes – October 31, 2014 | $ | 116,274 | ||
Provision of uncollectible VAT taxes | 6,235 | |||
Foreign currency translation adjustment | (13,546 | ) | ||
Write-off VAT receivable | (2,256 | ) | ||
Allowance for uncollectible VAT taxes – April 30, 2015 | $ | 106,707 | ||
OFFICE_AND_MINING_EQUIPMENT
OFFICE AND MINING EQUIPMENT | 6 Months Ended | |||||||||
Apr. 30, 2015 | ||||||||||
OFFICE AND MINING EQUIPMENT [Abstract] | ||||||||||
OFFICE AND MINING EQUIPMENT | NOTE 7 – OFFICE AND MINING EQUIPMENT | |||||||||
The following is a summary of the Company's office and mining equipment at April 30, 2015 and October 31, 2014, respectively: | ||||||||||
April 30, | October 31, | |||||||||
2015 | 2014 | |||||||||
Mining equipment | $ | 504,451 | $ | 504,451 | ||||||
Vehicles | 81,261 | 81,261 | ||||||||
Buildings and structures | 191,966 | 191,966 | ||||||||
Computer equipment and software | 84,989 | 84,989 | ||||||||
Well equipment | 39,637 | 39,637 | ||||||||
Office equipment | 52,931 | 52,931 | ||||||||
955,235 | 955,235 | |||||||||
Less: Accumulated depreciation | -625,207 | -591,716 | ||||||||
Office and mining equipment, net | $ | 330,028 | $ | 363,519 | ||||||
PROPERTY_CONCESSIONS
PROPERTY CONCESSIONS | 6 Months Ended | |||
Apr. 30, 2015 | ||||
PROPERTY CONCESSIONS [Abstract] | ||||
PROPERTY CONCESSIONS | NOTE 8 – PROPERTY CONCESSIONS | |||
The following is a summary of the Company's property concessions in Sierra Mojada, Mexico as at April 30, 2015 and October 31, 2014, respectively: | ||||
Property concessions – October 31, 2014 | $ | 5,563,263 | ||
Property concessions – April 30, 2015 | $ | 5,563,263 | ||
During the six months ended April 30, 2014, the Company decided not to pursue further work on a concession in Sierra Mojada, Mexico. As a result, the Company has written off the capitalized property concession balance related to this concession of $8,971. | ||||
During the six months ended April 30, 2014, the Company has written off the capitalized property concession balance related to the Mitzic concession of $324,560 as the recoverability is highly uncertain. | ||||
GOODWILL
GOODWILL | 6 Months Ended | |||
Apr. 30, 2015 | ||||
GOODWILL [Abstract] | ||||
GOODWILL | NOTE 9 – GOODWILL | |||
Goodwill represents the excess, at the date of acquisition, of the purchase price of the business acquired over the fair value of the net tangible and intangible assets acquired. At April 30, 2015 the Company did not elect to perform a qualitative assessment to determine whether it is more likely than not that the fair value of the reporting unit is less than its carrying amount and therefore performed the two-step goodwill impairment test. Based on this test the Company determined that the fair value of the reporting unit exceeded the carrying amount and no impairment was necessary. | ||||
The following is a summary of the Company's goodwill balance as at April 30, 2015 and October 31, 2014, respectively: | ||||
Goodwill – October 31, 2014 | $ | 18,495,031 | ||
Goodwill – April 30, 2015 | $ | 18,495,031 | ||
SHAREHOLDER_RIGHTS_PLAN
SHAREHOLDER RIGHTS PLAN | 6 Months Ended |
Apr. 30, 2015 | |
SHAREHOLDER RIGHTS PLAN [Abstract] | |
SHAREHOLDER RIGHTS PLAN | NOTE 10 – SHAREHOLDER RIGHTS PLAN |
On June 11, 2007, the Board of Directors adopted a Shareholders' Right Plan through the adoption of a Rights Agreement, which became effective immediately. In connection with the adoption of the Rights Agreement, the Board of Directors declared a distribution of one Right for each outstanding share of the Company's common stock, payable to shareholders of record at the close of business on June 22, 2007. In accordance with the Rights Plan, one Right is attached to each share of Company common stock issued since that date. Each Right is attached to the underlying common stock and will remain with the common stock if the stock is sold or transferred. As of April 30, 2015, there are 159,072,657 shares outstanding with Rights attached. | |
In certain circumstances, in the event that any person acquires beneficial ownership of 20% or more of the outstanding shares of the Company's common stock, each holder of a Right, other than the acquirer, would be entitled to receive, upon payment of the purchase price, which is initially set at $20 per Right, a number of shares of the Company's common stock having a value equal to two times such purchase price. The Rights will expire on June 11, 2017. | |
COMMON_STOCK
COMMON STOCK | 6 Months Ended |
Apr. 30, 2015 | |
COMMON STOCK [Abstract] | |
COMMON STOCK | NOTE 11 - COMMON STOCK |
No common stock was issued during the six months ended April 30, 2015 and April 30, 2014. | |
STOCK_OPTIONS
STOCK OPTIONS | 6 Months Ended | |||||||||||||||||||||||
Apr. 30, 2015 | ||||||||||||||||||||||||
STOCK OPTIONS [Abstract] | ||||||||||||||||||||||||
STOCK OPTIONS | NOTE 12 - STOCK OPTIONS | |||||||||||||||||||||||
The Company has two active stock option plans. Under the 2006 Stock Option Plan (the “2006 Plan”), the Company may grant non-statutory and incentive options to employees, directors and consultants for up to a total of 5,000,000 shares of common stock. Under the 2010 Stock Option and Stock Bonus Plan (the “2010 Plan”), the lesser of (i) 30,000,000 shares or (ii) 10% of the total shares outstanding are reserved for issuance upon the exercise of options or the grant of stock bonuses. | ||||||||||||||||||||||||
Options are typically granted with an exercise price equal to the closing market price of the Company's stock at the date of grant, have a graded vesting schedule over approximately one to two years and have a contractual term of two to 10 years. | ||||||||||||||||||||||||
No options were granted or exercised during the six months ended April 30, 2015 and April 30, 2014. | ||||||||||||||||||||||||
The following is a summary of stock option activity for the six months ended April 30, 2015: | ||||||||||||||||||||||||
Options | Shares | Weighted | Weighted | Aggregate | ||||||||||||||||||||
Average | Intrinsic | |||||||||||||||||||||||
Average | Remaining | Value | ||||||||||||||||||||||
Exercise | ||||||||||||||||||||||||
Price | Contractual | |||||||||||||||||||||||
Life (Years) | ||||||||||||||||||||||||
Outstanding at October 31, 2014 | 11,422,144 | $ | 0.5 | 3 | — | |||||||||||||||||||
Forfeited or Cancelled | (1,091,786 | ) | 0.6 | |||||||||||||||||||||
Outstanding at April 30, 2015 | 10,330,358 | $ | 0.49 | 2.44 | $ | — | ||||||||||||||||||
Vested or Expected to Vest at April 30, 2015 | 10,330,358 | $ | 0.49 | 2.44 | $ | — | ||||||||||||||||||
Exercisable at April 30, 2015 | 8,402,858 | $ | 0.54 | 2.09 | $ | — | ||||||||||||||||||
The Company recognized stock-based compensation costs for stock options of $61,014 and $111,926 for the six months ended April 30, 2015 and 2014, respectively. The Company typically does not recognize any tax benefits for stock options due to the Company's recurring losses. The Company currently expects all outstanding options to vest. Compensation cost is revised if subsequent information indicates that the actual number of options that will vest is likely to differ from previous estimates. | ||||||||||||||||||||||||
Summarized information about stock options outstanding and exercisable at April 30, 2015 is as follows: | ||||||||||||||||||||||||
Options Outstanding | Options Exercisable | |||||||||||||||||||||||
Exercise | Number | Weighted | Weighted | Number | Weighted | |||||||||||||||||||
Price | Outstanding | Ave. | Average | Exercisable | Average | |||||||||||||||||||
Remaining | Exercise | Exercise | ||||||||||||||||||||||
Contractual | Price | Price | ||||||||||||||||||||||
Life (Years) | ||||||||||||||||||||||||
$ | 0.26 | 2,712,500 | 4.03 | $ | 0.26 | 1,149,999 | $ | 0.26 | ||||||||||||||||
0.37 | 1,865,000 | 3.03 | 0.37 | 1,500,001 | 0.37 | |||||||||||||||||||
0.44 – 0.73 | 5,110,000 | 1.58 | 0.58 | 5,110,000 | 0.58 | |||||||||||||||||||
1.05 – 1.20 | 600,000 | 0.8 | 1.09 | 600,000 | 1.09 | |||||||||||||||||||
2.18 | 42,858 | 2.72 | 2.18 | 42,858 | 2.18 | |||||||||||||||||||
$ | 0.26 - 2.18 | 10,330,358 | 2.44 | $ | 0.49 | 8,402,858 | $ | 0.54 | ||||||||||||||||
As of April 30, 2015, there was $66,952 of total unrecognized compensation costs related to non-vested share-based compensation arrangements granted under the qualified stock option plans. That cost is expected to be recognized over a weighted average period of 0.46 years. | ||||||||||||||||||||||||
FINANCIAL_INSTRUMENTS
FINANCIAL INSTRUMENTS | 6 Months Ended | ||
Apr. 30, 2015 | |||
FINANCIAL INSTRUMENTS [Abstract] | |||
FINANCIAL INSTRUMENTS | NOTE 13 – FINANCIAL INSTRUMENTS | ||
Fair Value Measurements | |||
All financial assets and financial liabilities are recorded at fair value on initial recognition. Transaction costs are expensed when they are incurred, unless they are directly attributable to the acquisition of financial assets or the assumption of liabilities carried at amortized cost, in which case the transaction costs adjust the carrying amount. | |||
The three levels of the fair value hierarchy are as follows: | |||
Level 1 | Unadjusted quoted prices in active markets that are accessible at the measurement date for identical, unrestricted assets or liabilities; | ||
Level 2 | Quoted prices in markets that are not active, or inputs that are observable, either directly or indirectly, for substantially the full term of the asset or liability; and | ||
Level 3 | Prices or valuation techniques that require inputs that are both significant to the fair value measurement and unobservable (supported by little or no market activity). | ||
Under fair value accounting, assets and liabilities are classified in their entirety based on the lowest level of input that is significant to the fair value measurement. As of April 30, 2015 and October 31, 2014, the Company had no financial assets or liabilities required to be reported for fair value purposes. | |||
The carrying amounts of the Company's financial instruments, including cash and cash equivalents, other receivables, accounts payable and accrued liabilities and expenses approximate fair value at April 30, 2015 and October 31, 2014 due to the short maturities of these financial instruments. | |||
Credit Risk | |||
Credit risk is the risk that the counterparty to a financial instrument will cause a financial loss for the Company by failing to discharge its obligations. To mitigate exposure to credit risk on financial assets the Company has established policies to ensure liquidity of funds and ensure that counterparties demonstrate minimum acceptable credit worthiness. | |||
The Company maintains its U.S. Dollar and Canadian Dollar (“$CDN”) cash and cash equivalents in bank and demand deposit accounts with major financial institutions with high credit standings. Cash deposits held in the United States are insured by the Federal Deposit Insurance Corporation (“FDIC”) for up to $250,000 and $CDN cash deposits held in Canada are insured by the Canada Deposit Insurance Corporation (“CDIC”) for up to $CDN 100,000. Certain United States and Canadian bank accounts held by the Company exceed these federally insured limits or are uninsured as they related to U.S. Dollar deposits held in Canadian financial institutions. As of April 30, 2015 and October 31, 2014, the Company's cash and cash equivalent balances held in United States and Canadian financial institutions included $1,876,734 and $1,681,759 respectively, which was not insured by the FDIC or CDIC. The Company has not experienced any losses on such accounts and management believes that using major financial institutions with high credit ratings mitigates the credit risk in cash and cash equivalents. | |||
The Company also maintains cash in bank accounts in Mexico and Gabon. These accounts are denominated in the local currency and are considered uninsured. As of April 30, 2015 and October 31, 2014, the U.S. dollar equivalent balance for these accounts was $15,509 and $115,686 respectively. | |||
Interest Rate Risk | |||
The Company holds substantially all of the Company's cash and cash equivalents in bank and demand deposit accounts with major financial institutions. The interest rates received on these balances may fluctuate with changes in economic conditions. Based on the average cash and cash equivalent balances during the six months ended April 30, 2015, a 1% decrease in interest rates would have resulted in a reduction of approximately $300 in interest income for the period. | |||
Foreign Currency Exchange Risk | |||
Certain purchases of labor, operating supplies and capital assets are denominated in $CDN, Mexican Peso (“$MXN”), Central African Francs (“$CFA”) or other currencies. As a result, currency exchange fluctuations may impact the costs of our operations. Specifically, the appreciation of the $MXN, $CDN or $CFA against the U.S. dollar may result in an increase in operating expenses and capital costs in U.S. dollar terms. As of April 30, 2015, the Company maintained the majority of its cash balance in U.S. Dollars. The Company currently does not engage in any currency hedging activities. | |||
COMMITMENTS_AND_CONTINGENCIES
COMMITMENTS AND CONTINGENCIES | 6 Months Ended | ||
Apr. 30, 2015 | |||
COMMITMENTS AND CONTINGENCIES [Abstract] | |||
COMMITMENTS AND CONTINGENCIES | NOTE 14 - COMMITMENTS AND CONTINGENCIES | ||
Compliance with Environmental Regulations | |||
The Company's activities are subject to laws and regulations controlling not only the exploration and mining of mineral properties, but also the effect of such activities on the environment. Compliance with such laws and regulations may necessitate additional capital outlays or affect the economics of a project, and cause changes or delays in the Company's activities. | |||
Property Concessions in Mexico | |||
To properly maintain property concessions in Mexico, the Company is required to pay a semi-annual fee to the Mexican government and complete annual assessment work. | |||
In addition two of the concessions in the Sierra Mojada project are subject to options to purchase from existing third party concession owners. Pursuant to the option purchase agreements, the Company is required to make certain payments over the terms of these contracts to obtain full ownership of these concessions as set forth in the table below: | |||
Nuevo Dulces Nombres (Centenario) and Yolanda III (2 concessions) | |||
Payment Date | Payment Amount(1) (2) | ||
June 2015 | $ 30,000 | ||
Monthly payment beginning August | $20,000 per month | ||
2016 and ending July 2018 | |||
(1) | Until July 2018, the Company has the option of acquiring Nuevo Dulces Nombres (100% interest) for $4 million and Yolanda III (100% interest) for $2 million plus a lump sum payment equal to any remaining monthly payments. | ||
(2) | If a change of control occurs prior to May 30, 2016 the Company is required to make a payment of $200,000 within 20 days of the change of control. | ||
Royalty | |||
The Company has agreed to pay a 2% net smelter return royalty on certain property concessions within the Sierra Mojada Property. Total payments under this royalty are limited to $6.875 million (the “Royalty”). | |||
Litigation and Claims | |||
In July 2014 a local cooperative named Sociedad Cooperativa de Exploración Minera Mineros Norteños, S.C.L. (“Mineros Norteños”) filed an action before the First Court in Civil Matters in Chihuahua City, Mexico against the Company's subsidiary, Minera Metalin, claiming that the Company breached an agreement regarding the development of the Sierra Mojada Project. Mineros Norteños is seeking payment of the Royalty, including interest at a rate of 6% per annum from August 30, 2004, notwithstanding that no revenue has been produced from the applicable mining concessions. Mineros Norteños is also seeking payment of wages to the cooperative's members from August 30, 2004, notwithstanding that none of the individuals were ever hired or performed work for the Company. The Company and the Company's Mexican legal counsel believe that this claim is without merit and have asserted all applicable defenses. The Company has not accrued any amounts in the financial statements with respect to this claim. | |||
From time to time, the Company is involved in other disputes, claims, proceedings and legal actions arising in the ordinary course of business. The Company intends to vigorously defend all claims against the Company, and pursue its full legal rights in cases where the Company has been harmed. Although the ultimate outcome of these proceedings cannot be accurately predicted due to the inherent uncertainty of litigation, in the opinion of management, based upon current information, no other currently pending or overtly threatened proceeding is expected to have a material adverse effect on the Company's business, financial condition or results of operations. | |||
Office Lease Commitment | |||
The Company entered into a five-year office lease agreement from April 1, 2012 to March 31, 2017 for the Company's corporate office in Vancouver, Canada. The monthly lease payment is $CDN 7,743 until March 31, 2016, increasing to $CDN 7,981 on April 1, 2016. As of April 30, 2015, one U.S. dollar approximates $CDN 1.21. | |||
SEGMENT_INFORMATION
SEGMENT INFORMATION | 6 Months Ended | |||||||||||||||||||
Apr. 30, 2015 | ||||||||||||||||||||
SEGMENT INFORMATION [Abstract] | ||||||||||||||||||||
SEGMENT INFORMATION | NOTE 15 – SEGMENT INFORMATION | |||||||||||||||||||
The Company operates in a single reportable segment: the exploration of mineral property interests. The Company has mineral property interests in Sierra Mojada, Mexico and Gabon, Africa. | ||||||||||||||||||||
Approximate financial information by geography is as follows: | ||||||||||||||||||||
For the Three Months Ended | For the Six Months Ended | |||||||||||||||||||
April 30, | April 30, | |||||||||||||||||||
2015 | 2014 | 2015 | 2014 | |||||||||||||||||
Net (loss) income for the period | ||||||||||||||||||||
Mexico | $ | -168,000 | $ | -247,000 | $ | -455,000 | $ | -704,000 | ||||||||||||
Canada | -359,000 | -418,000 | -833,000 | -937,000 | ||||||||||||||||
Gabon | 6,000 | -332,000 | -94,000 | -371,000 | ||||||||||||||||
Loss from Continuing Operations | -521,000 | -997,000 | -1,382,000 | -2,012,000 | ||||||||||||||||
(Loss) Income from Discontinued Operations | -11,000 | -272,000 | 126,000 | -334,000 | ||||||||||||||||
Net Loss | $ | -532,000 | $ | -1,269,000 | $ | -1,256,000 | $ | -2,346,000 | ||||||||||||
The following table details allocation of assets included in the accompanying balance sheet at April 30, 2015: | ||||||||||||||||||||
Canada | Mexico | Gabon | Total | |||||||||||||||||
Cash and cash equivalents | $ | 1,960,000 | $ | 2,000 | $ | 14,000 | $ | 1,976,000 | ||||||||||||
Value-added tax receivable, net | - | 136,000 | 2,000 | 138,000 | ||||||||||||||||
Other receivables | 5,000 | 20,000 | 10,000 | 35,000 | ||||||||||||||||
Prepaid expenses and deposits | 71,000 | 77,000 | - | 148,000 | ||||||||||||||||
Office and mining equipment, net | - | 330,000 | - | 330,000 | ||||||||||||||||
Property concessions | - | 5,563,000 | - | 5,563,000 | ||||||||||||||||
Goodwill | - | 18,495,000 | - | 18,495,000 | ||||||||||||||||
$ | 2,036,000 | $ | 24,623,000 | $ | 26,000 | $ | 26,685,000 | |||||||||||||
The following table details allocation of assets included in the accompanying balance sheet at October 31, 2014: | ||||||||||||||||||||
Canada | Mexico | Gabon | Total | |||||||||||||||||
Cash and cash equivalents | $ | 1,770,000 | $ | 96,000 | $ | 13,000 | $ | 1,879,000 | ||||||||||||
Value-added tax receivable, net | - | 160,000 | 3,000 | 163,000 | ||||||||||||||||
Other receivables | 5,000 | 25,000 | - | 30,000 | ||||||||||||||||
Prepaid expenses and deposits | 140,000 | 79,000 | 1,000 | 220,000 | ||||||||||||||||
Assets of discontinued operations held for sale | - | - | 1,282,000 | 1,282,000 | ||||||||||||||||
Office and mining equipment, net | 1,000 | 363,000 | - | 364,000 | ||||||||||||||||
Property concessions | - | 5,563,000 | - | 5,563,000 | ||||||||||||||||
Goodwill | - | 18,495,000 | - | 18,495,000 | ||||||||||||||||
$ | 1,916,000 | $ | 24,781,000 | $ | 1,299,000 | $ | 27,996,000 | |||||||||||||
The Company has significant assets in Coahuila, Mexico. Although Mexico is generally considered economically stable, it is always possible that unanticipated events in Mexico could disrupt the Company's operations. Neither the Mexican government nor the Gabonese government requires foreign entities to maintain cash reserves in its respective country. | ||||||||||||||||||||
The following table details allocation of exploration and property holding costs for the exploration properties: | ||||||||||||||||||||
For the Three Months Ended | For the Six Months Ended | |||||||||||||||||||
April 30, | April 30, | |||||||||||||||||||
2015 | 2014 | 2015 | 2014 | |||||||||||||||||
Exploration and property holding (costs) recovery for the period | ||||||||||||||||||||
Mexico Sierra Mojada | $ | -158,000 | $ | -242,000 | $ | -431,000 | $ | -727,000 | ||||||||||||
Gabon Mitzic | 4,000 | -346,000 | -12,000 | -378,000 | ||||||||||||||||
$ | -154,000 | $ | -588,000 | $ | -443,000 | $ | -1,105,000 |
SIGNIFICANT_ACCOUNTING_POLICIE1
SIGNIFICANT ACCOUNTING POLICIES (Policy) | 6 Months Ended |
Apr. 30, 2015 | |
SIGNIFICANT ACCOUNTING POLICIES [Abstract] | |
Recent Accounting Pronouncements | Recent Accounting Pronouncements Adopted in the Six Month Period Ended April 30, 2015 |
Effective November 1, 2014, the Company adopted Accounting Standards Update (“ASU”) 2013-11, “Income Taxes (Topic 740): Presentation of an Unrecognized Tax Benefit When a Net Operating Loss Carry Forward, a Similar Tax Loss, or a Tax Credit Carry Forward Exists.” The updated guidance requires an entity to net its unrecognized tax benefits against the deferred tax assets for all same jurisdiction net operating loss carry forwards, a similar tax loss, or tax credit carry forwards. A gross presentation will be required only if such carry forwards are not available or would not be used by the entity to settle any additional income taxes resulting from disallowance of the uncertain tax provision. The adoption of this update did not have a material impact on the Company's financial position, results of operations or cash flows and disclosures at this time. | |
Effective November 1, 2014, the Company adopted ASU 2013-05, “Foreign Currency Matters (Topic 830): Parent's Accounting for the Cumulative Translation Adjustment.” The updated standard clarifies the applicable guidance for a parent company's accounting for the release of the cumulative translation adjustment into net income upon derecognition of certain subsidiaries or groups of assets within a foreign entity or of an investment in a foreign entity. The adoption of this update did not have a material impact on the Company's financial position, results of operations or cash flows and disclosures at this time. | |
Recent Accounting Pronouncements Not Yet Adopted | |
In April 2015, the Financial Accounting Standards Board (“FASB”) issued ASU 2015-03, “Simplifying the Presentation of Debt Issuance Costs,” which requires that debt issuance costs related to a recognized debt liability be presented as a reduction to the carrying amount of that debt liability, not as an asset. These changes become effective prospectively for the Company's fiscal year beginning November 1, 2016. The Company has not determined the effects of this update on the Company's financial position, result of operations or cash flows and disclosures at this time. | |
In February 2015, the FASB issued ASU 2015-02, “Consolidation (Topic 810): Amendments to the Consolidation Analysis,” which amends the consolidation requirements in ASC 810. These changes become effective prospectively for the Company's fiscal year beginning November 1, 2016. The Company has not determined the effects of this update on the Company's financial position, results of operations or cash flows and disclosures at this time. | |
In April 2014, the FASB issued ASU 2014-08, “Presentation of Financial Statements (Topic 205) and Property, Plant, and Equipment (Topic 360): Reporting Discontinued Operations and Disclosures of Disposals of Components of an Entity.” Under ASU 2014-08, only disposals of a component or group of components of an entity representing a strategic shift that has (or will have) a major effect on an entity's operations and financial results are presented as discontinued operations. In addition, ASU 2014-08 requires expanded disclosures about discontinued operations that will provide additional information about the assets, liabilities, income, and expenses of discontinued operations. ASU 2014-08 also requires disclosure of the pre-tax income attributable to a disposal of a significant part of an organization that does not qualify for discontinued operations reporting. The update is effective prospectively for fiscal years, and interim periods within those years, beginning after December 15, 2014. The Company has not determined the effects of this update on the Company's financial position, results of operations or cash flows and disclosures at this time. | |
In May 2014, the FASB issued ASU 2014-09, "Revenue from Contracts with Customers (Topic 606)." The updated guidance provides a five-step approach to be applied to all contracts with customers and requires expanded disclosures about revenue recognition. The update is effective for annual periods ending after December 15, 2017, and interim periods within annual periods beginning after December 15, 2017. Early application is permitted. The Company has not determined the effects of this update on the Company's financial position, results of operations or cash flows and disclosures at this time. | |
In August 2014, the FASB issued ASU 2014-15, "Presentation of Financial Statements—Going Concern (Subtopic 205-40): Disclosure of Uncertainties About an Entity's Ability To Continue as a Going Concern." ASU 2014-15 is intended to define management's responsibility to evaluate whether there is substantial doubt about an organization's ability to continue as a going concern and to provide related footnote disclosures. The update provides guidance to an organization's management, with principles and definitions that are intended to reduce diversity in the timing and content of disclosures that are commonly provided by organizations today in the financial statement footnotes. The amendments are effective for annual periods beginning after December 15, 2016, and interim periods within annual periods beginning after December 15, 2016. Early application is permitted. The Company has not determined the effects of this update on the Company's financial position, results of operations or cash flows and disclosures at this time. | |
Other recent accounting pronouncements issued by the FASB (including its Emerging Issues Task Force) and the SEC did not or are not believed to have a material impact on the Company's present or future consolidated financial statements. | |
DISCONTINUED_OPERATIONS_Tables
DISCONTINUED OPERATIONS (Tables) | 6 Months Ended | |||||||||||||||||||||
Apr. 30, 2015 | ||||||||||||||||||||||
DISCONTINUED OPERATIONS [Abstract] | ||||||||||||||||||||||
Schedule of Financial Information Included in (Income) Loss and Balance Sheet from Discontinued Operations | For the Three Months Ended | For the Six Months Ended | ||||||||||||||||||||
April 30, | April 30, | |||||||||||||||||||||
2015 | 2014 | 2015 | 2014 | |||||||||||||||||||
Exploration and property holding costs | $ | — | $ | 86,102 | $ | 85,542 | $ | 139,144 | ||||||||||||||
Depreciation and asset impairment | — | 195,166 | 3,305 | 198,843 | ||||||||||||||||||
Foreign currency transaction (gain) loss | — | (9,101 | ) | 70,430 | (3,701 | ) | ||||||||||||||||
Loss (gain) on sale of discontinued operations, net of taxes | 10,963 | — | (285,406 | ) | — | |||||||||||||||||
Loss (income) from discontinued operations, net of income taxes | $ | 10,963 | $ | 272,167 | $ | (126,129 | ) | $ | 334,286 | |||||||||||||
April 30, | October 31, | |||||||||||||||||||||
2015 | 2014 | |||||||||||||||||||||
Assets | ||||||||||||||||||||||
Cash and cash equivalents | $ | — | $ | 6,851 | ||||||||||||||||||
Restricted cash | — | 1,417 | ||||||||||||||||||||
Value-added tax receivable | — | 8,053 | ||||||||||||||||||||
Prepaid expenses and deposits | — | 6,796 | ||||||||||||||||||||
Other assets | — | 80,238 | ||||||||||||||||||||
Office and mining equipment, net | — | 9,536 | ||||||||||||||||||||
Property concession | — | 1,168,627 | ||||||||||||||||||||
Total assets of discontinued operations held for sale | $ | — | $ | 1,281,518 | ||||||||||||||||||
Liabilities | ||||||||||||||||||||||
Accounts payable | $ | — | $ | 8,894 | ||||||||||||||||||
Total liabilities of discontinued operations held for sale | $ | — | $ | 8,894 | ||||||||||||||||||
VALUEADDED_TAX_RECEIVABLE_Tabl
VALUE-ADDED TAX RECEIVABLE (Tables) | 6 Months Ended | |||
Apr. 30, 2015 | ||||
VALUE-ADDED TAX RECEIVABLE [Abstract] | ||||
Summary of the Changes in the Allowance for Uncollectible Taxes | Allowance for uncollectible VAT taxes – October 31, 2014 | $ | 116,274 | |
Provision of uncollectible VAT taxes | 6,235 | |||
Foreign currency translation adjustment | (13,546 | ) | ||
Write-off VAT receivable | (2,256 | ) | ||
Allowance for uncollectible VAT taxes – April 30, 2015 | $ | 106,707 |
OFFICE_AND_MINING_EQUIPMENT_Ta
OFFICE AND MINING EQUIPMENT (Tables) | 6 Months Ended | |||||||||
Apr. 30, 2015 | ||||||||||
OFFICE AND MINING EQUIPMENT [Abstract] | ||||||||||
Summary of Office and Mining Equipment | April 30, | October 31, | ||||||||
2015 | 2014 | |||||||||
Mining equipment | $ | 504,451 | $ | 504,451 | ||||||
Vehicles | 81,261 | 81,261 | ||||||||
Buildings and structures | 191,966 | 191,966 | ||||||||
Computer equipment and software | 84,989 | 84,989 | ||||||||
Well equipment | 39,637 | 39,637 | ||||||||
Office equipment | 52,931 | 52,931 | ||||||||
955,235 | 955,235 | |||||||||
Less: Accumulated depreciation | -625,207 | -591,716 | ||||||||
Office and mining equipment, net | $ | 330,028 | $ | 363,519 |
PROPERTY_CONCESSIONS_Tables
PROPERTY CONCESSIONS (Tables) | 6 Months Ended | |||
Apr. 30, 2015 | ||||
PROPERTY CONCESSIONS [Abstract] | ||||
Summary of Property Concessions | Property concessions – October 31, 2014 | $ | 5,563,263 | |
Property concessions – April 30, 2015 | $ | 5,563,263 |
GOODWILL_Tables
GOODWILL (Tables) | 6 Months Ended | |||
Apr. 30, 2015 | ||||
GOODWILL [Abstract] | ||||
Summary of the Goodwill Balance | ||||
Goodwill – October 31, 2014 | $ | 18,495,031 | ||
Goodwill – April 30, 2015 | $ | 18,495,031 |
STOCK_OPTIONS_Tables
STOCK OPTIONS (Tables) | 6 Months Ended | |||||||||||||||||||||||
Apr. 30, 2015 | ||||||||||||||||||||||||
STOCK OPTIONS [Abstract] | ||||||||||||||||||||||||
Schedule of Stock Option Activity | Options | Shares | Weighted | Weighted | Aggregate | |||||||||||||||||||
Average | Intrinsic | |||||||||||||||||||||||
Average | Remaining | Value | ||||||||||||||||||||||
Exercise | ||||||||||||||||||||||||
Price | Contractual | |||||||||||||||||||||||
Life (Years) | ||||||||||||||||||||||||
Outstanding at October 31, 2014 | 11,422,144 | $ | 0.5 | 3 | — | |||||||||||||||||||
Forfeited or Cancelled | (1,091,786 | ) | 0.6 | |||||||||||||||||||||
Outstanding at April 30, 2015 | 10,330,358 | $ | 0.49 | 2.44 | $ | — | ||||||||||||||||||
Vested or Expected to Vest at April 30, 2015 | 10,330,358 | $ | 0.49 | 2.44 | $ | — | ||||||||||||||||||
Exercisable at April 30, 2015 | 8,402,858 | $ | 0.54 | 2.09 | $ | — | ||||||||||||||||||
Schedule of Stock Options Outstanding and Exercisable by Exercise Price Range | Options Outstanding | Options Exercisable | ||||||||||||||||||||||
Exercise | Number | Weighted | Weighted | Number | Weighted | |||||||||||||||||||
Price | Outstanding | Ave. | Average | Exercisable | Average | |||||||||||||||||||
Remaining | Exercise | Exercise | ||||||||||||||||||||||
Contractual | Price | Price | ||||||||||||||||||||||
Life (Years) | ||||||||||||||||||||||||
$ | 0.26 | 2,712,500 | 4.03 | $ | 0.26 | 1,149,999 | $ | 0.26 | ||||||||||||||||
0.37 | 1,865,000 | 3.03 | 0.37 | 1,500,001 | 0.37 | |||||||||||||||||||
0.44 – 0.73 | 5,110,000 | 1.58 | 0.58 | 5,110,000 | 0.58 | |||||||||||||||||||
1.05 – 1.20 | 600,000 | 0.8 | 1.09 | 600,000 | 1.09 | |||||||||||||||||||
2.18 | 42,858 | 2.72 | 2.18 | 42,858 | 2.18 | |||||||||||||||||||
$ | 0.26 - 2.18 | 10,330,358 | 2.44 | $ | 0.49 | 8,402,858 | $ | 0.54 |
COMMITMENTS_AND_CONTINGENCIES_
COMMITMENTS AND CONTINGENCIES (Tables) | 6 Months Ended | ||
Apr. 30, 2015 | |||
COMMITMENTS AND CONTINGENCIES [Abstract] | |||
Schedule of Payments Required to Obtain Full Ownership of Property Concessions | Nuevo Dulces Nombres (Centenario) and Yolanda III (2 concessions) | ||
Payment Date | Payment Amount(1) (2) | ||
June 2015 | $ 30,000 | ||
Monthly payment beginning August | $20,000 per month | ||
2016 and ending July 2018 | |||
(1) | Until July 2018, the Company has the option of acquiring Nuevo Dulces Nombres (100% interest) for $4 million and Yolanda III (100% interest) for $2 million plus a lump sum payment equal to any remaining monthly payments. | ||
(2) | If a change of control occurs prior to May 30, 2016 the Company is required to make a payment of $200,000 within 20 days of the change of control. |
SEGMENT_INFORMATION_Tables
SEGMENT INFORMATION (Tables) | 6 Months Ended | |||||||||||||||||||
Apr. 30, 2015 | ||||||||||||||||||||
SEGMENT INFORMATION [Abstract] | ||||||||||||||||||||
Schedule of Net Income (Loss) by Segment | For the Three Months Ended | For the Six Months Ended | ||||||||||||||||||
April 30, | April 30, | |||||||||||||||||||
2015 | 2014 | 2015 | 2014 | |||||||||||||||||
Net (loss) income for the period | ||||||||||||||||||||
Mexico | $ | -168,000 | $ | -247,000 | $ | -455,000 | $ | -704,000 | ||||||||||||
Canada | -359,000 | -418,000 | -833,000 | -937,000 | ||||||||||||||||
Gabon | 6,000 | -332,000 | -94,000 | -371,000 | ||||||||||||||||
Loss from Continuing Operations | -521,000 | -997,000 | -1,382,000 | -2,012,000 | ||||||||||||||||
(Loss) Income from Discontinued Operations | -11,000 | -272,000 | 126,000 | -334,000 | ||||||||||||||||
Net Loss | $ | -532,000 | $ | -1,269,000 | $ | -1,256,000 | $ | -2,346,000 | ||||||||||||
Schedule of the Allocation of Assets by Segment | Canada | Mexico | Gabon | Total | ||||||||||||||||
Cash and cash equivalents | $ | 1,960,000 | $ | 2,000 | $ | 14,000 | $ | 1,976,000 | ||||||||||||
Value-added tax receivable, net | - | 136,000 | 2,000 | 138,000 | ||||||||||||||||
Other receivables | 5,000 | 20,000 | 10,000 | 35,000 | ||||||||||||||||
Prepaid expenses and deposits | 71,000 | 77,000 | - | 148,000 | ||||||||||||||||
Office and mining equipment, net | - | 330,000 | - | 330,000 | ||||||||||||||||
Property concessions | - | 5,563,000 | - | 5,563,000 | ||||||||||||||||
Goodwill | - | 18,495,000 | - | 18,495,000 | ||||||||||||||||
$ | 2,036,000 | $ | 24,623,000 | $ | 26,000 | $ | 26,685,000 | |||||||||||||
Canada | Mexico | Gabon | Total | |||||||||||||||||
Cash and cash equivalents | $ | 1,770,000 | $ | 96,000 | $ | 13,000 | $ | 1,879,000 | ||||||||||||
Value-added tax receivable, net | - | 160,000 | 3,000 | 163,000 | ||||||||||||||||
Other receivables | 5,000 | 25,000 | - | 30,000 | ||||||||||||||||
Prepaid expenses and deposits | 140,000 | 79,000 | 1,000 | 220,000 | ||||||||||||||||
Assets of discontinued operations held for sale | - | - | 1,282,000 | 1,282,000 | ||||||||||||||||
Office and mining equipment, net | 1,000 | 363,000 | - | 364,000 | ||||||||||||||||
Property concessions | - | 5,563,000 | - | 5,563,000 | ||||||||||||||||
Goodwill | - | 18,495,000 | - | 18,495,000 | ||||||||||||||||
$ | 1,916,000 | $ | 24,781,000 | $ | 1,299,000 | $ | 27,996,000 | |||||||||||||
Schedule of Exploration and Property Holding Costs by Segment | For the Three Months Ended | For the Six Months Ended | ||||||||||||||||||
April 30, | April 30, | |||||||||||||||||||
2015 | 2014 | 2015 | 2014 | |||||||||||||||||
Exploration and property holding (costs) recovery for the period | ||||||||||||||||||||
Mexico Sierra Mojada | $ | -158,000 | $ | -242,000 | $ | -431,000 | $ | -727,000 | ||||||||||||
Gabon Mitzic | 4,000 | -346,000 | -12,000 | -378,000 | ||||||||||||||||
$ | -154,000 | $ | -588,000 | $ | -443,000 | $ | -1,105,000 |
ORGANIZATION_DESCRIPTION_OF_BU1
ORGANIZATION, DESCRIPTION OF BUSINESS AND LIQUIDITY (Details) (USD $) | Apr. 30, 2015 | Oct. 31, 2014 |
ORGANIZATION, DESCRIPTION OF BUSINESS AND LIQUIDITY [Abstract] | ||
Accumulated Deficit | $100,556,982 | |
Working capital | 1,846,261 | |
Cash and cash equivalents | $1,975,279 | $1,879,318 |
DISCONTINUED_OPERATIONS_Narrat
DISCONTINUED OPERATIONS (Narrative) (Details) (USD $) | 0 Months Ended | 6 Months Ended |
Jan. 23, 2015 | Apr. 30, 2014 | |
DISCONTINUED OPERATIONS [Abstract] | ||
Ownership percentage held by entity | 100.00% | |
Cash consideration | $1,500,000 | |
Reimbursement expenses | 75,000 | |
Transaction costs | 212,117 | |
Impairment loss | $187,981 |
DISCONTINUED_OPERATIONS_Schedu
DISCONTINUED OPERATIONS (Schedule of Financial Information Included in (Income) Loss from Discontinued Operations) (Details) (USD $) | 3 Months Ended | 6 Months Ended | ||
Apr. 30, 2015 | Apr. 30, 2014 | Apr. 30, 2015 | Apr. 30, 2014 | |
DISCONTINUED OPERATIONS [Abstract] | ||||
Exploration and property holding costs | $86,102 | $85,542 | $139,144 | |
Depreciation and asset impairment | 195,166 | 3,305 | 198,843 | |
Foreign currency transaction (gain) loss | -9,101 | 70,430 | -3,701 | |
Loss (gain) on sale of discontinued operations, net of taxes | 10,963 | -285,406 | ||
Loss (income) from discontinued operations, net of income taxes | $10,963 | $272,167 | ($126,129) | $334,286 |
DISCONTINUED_OPERATIONS_Schedu1
DISCONTINUED OPERATIONS (Schedule of Major Classes of Assets and Liabilities Held for Sale in Balance Sheet) (Details) (USD $) | Apr. 30, 2015 | Oct. 31, 2014 |
Assets | ||
Cash and cash equivalents | $6,851 | |
Restricted cash | 1,417 | |
Value-added tax receivable | 8,053 | |
Prepaid expenses and deposits | 6,796 | |
Other assets | 80,238 | |
Office and mining equipment, net | 9,536 | |
Property concession | 1,168,627 | |
Total assets of discontinued operations held for sale | 1,281,518 | |
Liabilities | ||
Accounts payable | 8,894 | |
Total liabilities of discontinued operations held for sale | $8,894 |
LOSS_PER_SHARE_Details
LOSS PER SHARE (Details) | 6 Months Ended | |
Apr. 30, 2015 | Apr. 30, 2014 | |
LOSS PER SHARE [Abstract] | ||
Anti-dilutive shares, stock options and warrants | 10,330,358 | 21,788,977 |
VALUEADDED_TAX_RECEIVABLE_Narr
VALUE-ADDED TAX RECEIVABLE (Narrative) (Details) (USD $) | 3 Months Ended | 6 Months Ended | |||
Apr. 30, 2015 | Apr. 30, 2014 | Apr. 30, 2015 | Apr. 30, 2014 | Oct. 31, 2014 | |
Income Tax Examination [Line Items] | |||||
Value-added tax receivable, current | $137,743 | $137,743 | $163,032 | ||
Provision for uncollectible value-added taxes | $6,485 | $10,870 | $6,235 | $19,132 |
VALUEADDED_TAX_RECEIVABLE_Summ
VALUE-ADDED TAX RECEIVABLE (Summary of the Changes in the Allowance for Uncollectible Taxes) (Details) (USD $) | 3 Months Ended | 6 Months Ended | ||
Apr. 30, 2015 | Apr. 30, 2014 | Apr. 30, 2015 | Apr. 30, 2014 | |
VALUE-ADDED TAX RECEIVABLE [Abstract] | ||||
Allowance for uncollectible VAT taxes, beginning balance | $116,274 | |||
Provision of uncollectible VAT taxes | 6,485 | 10,870 | 6,235 | 19,132 |
Foreign currency translation adjustment | -13,546 | |||
Write-off VAT receivable | -2,256 | |||
Allowance for uncollectible VAT taxes, ending balance | $106,707 | $106,707 |
OFFICE_AND_MINING_EQUIPMENT_De
OFFICE AND MINING EQUIPMENT (Details) (USD $) | Apr. 30, 2015 | Oct. 31, 2014 |
Property, Plant and Equipment [Line Items] | ||
Office and mining equipment, gross | $955,235 | $955,235 |
Less: Accumulated depreciation | -625,207 | -591,716 |
Office and mining equipment, net | 330,028 | 363,519 |
Mining equipment [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Office and mining equipment, gross | 504,451 | 504,451 |
Vehicles [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Office and mining equipment, gross | 81,261 | 81,261 |
Building and structures [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Office and mining equipment, gross | 191,966 | 191,966 |
Computer equipment and software [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Office and mining equipment, gross | 84,989 | 84,989 |
Well equipment [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Office and mining equipment, gross | 39,637 | 39,637 |
Office equipment [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Office and mining equipment, gross | $52,931 | $52,931 |
PROPERTY_CONCESSIONS_Details
PROPERTY CONCESSIONS (Details) (USD $) | 6 Months Ended | ||
Apr. 30, 2014 | Apr. 30, 2015 | Oct. 31, 2014 | |
Property Concessions [Line Items] | |||
Property concessions, beginning balance | $5,563,263 | $5,563,263 | |
Property concessions, ending balance | 5,563,263 | 5,563,263 | |
Mexico, Sierra Mojada [Member] | |||
Property Concessions [Line Items] | |||
Capitalized property concessions write-off | 8,971 | ||
Mitzic, Gabon [Member] | |||
Property Concessions [Line Items] | |||
Capitalized property concessions write-off | $324,560 |
GOODWILL_Narrative_Details
GOODWILL (Narrative) (Details) (USD $) | 6 Months Ended |
Apr. 30, 2015 | |
GOODWILL [Abstract] | |
Goodwill impairment loss | $0 |
GOODWILL_Summary_of_the_Goodwi
GOODWILL (Summary of the Goodwill Balance) (Details) (USD $) | Apr. 30, 2015 | Oct. 31, 2014 |
GOODWILL [Abstract] | ||
Goodwill | $18,495,031 | $18,495,031 |
SHAREHOLDER_RIGHTS_PLAN_Detail
SHAREHOLDER RIGHTS PLAN (Details) (USD $) | 6 Months Ended | |
Apr. 30, 2015 | Oct. 31, 2014 | |
Class of Warrant or Right [Line Items] | ||
Common stock, shares outstanding | 159,072,657 | 159,072,657 |
Shareholder Rights [Member] | ||
Class of Warrant or Right [Line Items] | ||
Shareholder Rights, record date | 22-Jun-07 | |
Common stock, shares outstanding | 159,072,657 | |
Expiration date of Shareholders Rights | 11-Jun-07 | |
Minimum purchase of ownership percentage to activate Rights | 20.00% | |
Purchase price per Right | $20 |
COMMON_STOCK_Details
COMMON STOCK (Details) | 6 Months Ended | |
Apr. 30, 2015 | Apr. 30, 2014 | |
Stockholders Equity Note [Line Items] | ||
Stock issued during period, shares | 0 | 0 |
STOCK_OPTIONS_Narrative_Detail
STOCK OPTIONS (Narrative) (Details) (USD $) | 6 Months Ended | |
Apr. 30, 2015 | Apr. 30, 2014 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Stock-based compensation costs recognized during the period | $61,014 | $111,926 |
Total unrecognized compensation costs related to non-vested share-based compensation arrangements granted under qualified stock option plans | $66,952 | |
Stock Options [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Weighted-average period for remaining compensation costs to be recognized | 5 months 16 days | |
Minimum [Member] | Stock Options [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Vesting period for plan | 1 year | |
Contractual term for options | 2 years | |
Maximum [Member] | Stock Options [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Vesting period for plan | 2 years | |
Contractual term for options | 10 years | |
2006 Stock Option Plan [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
The number of shares authorized under the plan | 5,000,000 | |
2010 Stock Option and Stock Bonus Plan | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
The number of shares authorized under the plan | 30,000,000 |
STOCK_OPTIONS_Schedule_of_Assu
STOCK OPTIONS (Schedule of Assumptions Used to Value Stock Options Granted) (Details) | 6 Months Ended | |
Apr. 30, 2015 | Apr. 30, 2014 | |
Minimum [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Contractual term | 0 years | 0 years |
Maximum [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Contractual term | 0 years | 0 years |
STOCK_OPTIONS_Summary_of_Stock
STOCK OPTIONS (Summary of Stock Option Activity) (Details) (USD $) | 6 Months Ended | 12 Months Ended |
Apr. 30, 2015 | Oct. 31, 2014 | |
Shares | ||
Outstanding, beginning | 11,422,144 | |
Forfeited or Cancelled | -1,091,786 | |
Outstanding, ending | 10,330,358 | 11,422,144 |
Weighted Average Exercise Price | ||
Outstanding, beginning | $0.50 | |
Forfeited or Cancelled | $0.60 | |
Outstanding, ending | $0.49 | $0.50 |
Weighted average remaining contractual life, Outstanding | 2 years 5 months 8 days | 3 years |
Aggregate intrinsic value, Outstanding | ||
Vested or Expected to Vest: | ||
Shares | 10,330,358 | |
Weighted average exercise price | $0.49 | |
Weighted average remaining contractual life | 2 years 5 months 8 days | |
Aggregate intrinsic value | ||
Exercisable | ||
Shares | 8,402,858 | |
Weighted average exercise price | $0.54 | |
Weighted average remaining contractual life, Exercisable | 2 years 1 month 2 days | |
Aggregate intrinsic value, Exercisable |
STOCK_OPTIONS_Summarized_Infor
STOCK OPTIONS (Summarized Information of Stock Options Outstanding and Exercisable) (Details) (USD $) | 6 Months Ended |
Apr. 30, 2015 | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |
Minimum exercise price | $0.26 |
Maximum exercise price | $2.18 |
Number of options outstanding | 10,330,358 |
Weighted Average Remaining Contractual Life (Years) | 2 years 5 months 8 days |
Weighted Average Exercise Price | $0.49 |
Number Exercisable | 8,402,858 |
Options Exercisable - Weighted Average Exercise Price | $0.54 |
0.26 [Member] | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |
Number of options outstanding | 2,712,500 |
Weighted Average Remaining Contractual Life (Years) | 4 years 11 days |
Weighted Average Exercise Price | $0.26 |
Number Exercisable | 1,149,999 |
Options Exercisable - Weighted Average Exercise Price | $0.26 |
0.37 [Member] | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |
Number of options outstanding | 1,865,000 |
Weighted Average Remaining Contractual Life (Years) | 3 years 11 days |
Weighted Average Exercise Price | $0.37 |
Number Exercisable | 1,500,001 |
Options Exercisable - Weighted Average Exercise Price | $0.37 |
0.44 - 0.73 [Member] | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |
Minimum exercise price | $0.44 |
Maximum exercise price | $0.73 |
Number of options outstanding | 5,110,000 |
Weighted Average Remaining Contractual Life (Years) | 1 year 6 months 29 days |
Weighted Average Exercise Price | $0.58 |
Number Exercisable | 5,110,000 |
Options Exercisable - Weighted Average Exercise Price | $0.58 |
1.05 - 1.20 [Member] | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |
Minimum exercise price | $1.05 |
Maximum exercise price | $1.20 |
Number of options outstanding | 600,000 |
Weighted Average Remaining Contractual Life (Years) | 9 months 18 days |
Weighted Average Exercise Price | $1.09 |
Number Exercisable | 600,000 |
Options Exercisable - Weighted Average Exercise Price | $1.09 |
2.18 [Member] | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |
Number of options outstanding | 42,858 |
Weighted Average Remaining Contractual Life (Years) | 2 years 8 months 19 days |
Weighted Average Exercise Price | $2.18 |
Number Exercisable | 42,858 |
Options Exercisable - Weighted Average Exercise Price | $2.18 |
FINANCIAL_INSTRUMENTS_Details
FINANCIAL INSTRUMENTS (Details) | 6 Months Ended | ||
Apr. 30, 2015 | Apr. 30, 2015 | Oct. 31, 2014 | |
USD ($) | CAD | USD ($) | |
FINANCIAL INSTRUMENTS [Abstract] | |||
Cash balance insured by FDIC per financial institution | $250,000 | ||
Cash balance insured by CDIC per financial institution | 100,000 | ||
Total uninsured cash balances held with U.S. and Canadien financial institutions | 1,876,734 | 1,681,759 | |
Value of total cash accounts held in Mexico and Gabon | 15,509 | 115,686 | |
Effect of a 1% decrease in interest rates on interest income | $300 |
COMMITMENTS_AND_CONTINGENCIES_1
COMMITMENTS AND CONTINGENCIES (Narrative) (Details) (CAD) | 6 Months Ended |
Apr. 30, 2015 | |
Office Lease Commitment: | |
Monthly rental payment due from lease inception through year two | 7,743 |
Monthly rental payment due from year two through year four | 7,981 |
Lease term | 5 years |
Foreign currency exchange rate translation | 1.21 |
Lease expiration | 31-Mar-17 |
Litigation and Claims: | |
Interest rate sought on the Royalty | 6.00% |
COMMITMENTS_AND_CONTINGENCIES_2
COMMITMENTS AND CONTINGENCIES (Property Concessions) (Details) (USD $) | 6 Months Ended | |
Apr. 30, 2015 | ||
Property Concessions By Location Of Concessions [Line Items] | ||
Foreign currency exchange rate translation | 1.21 | |
Nuevo Dulces Nombres (Centenario) and Yolanda III [Member] | ||
Property Concessions By Location Of Concessions [Line Items] | ||
Monthly payment through 48 months after the initial payment date to obtain full ownership of concession | $20,000 | [1],[2] |
Payment required to obtain full ownership of property concessions, payment one | 30,000 | [1],[2] |
Half yearly payment required to maintain acquisition option of concessions | 200,000 | |
Payment date of first property concession payment | 1-Aug-16 | |
Date the property acquisition option expires | 31-Jul-18 | |
Nuevo Dulces Nombres [Member] | ||
Property Concessions By Location Of Concessions [Line Items] | ||
Purchase price for the acquisition of 100% of the concession | 4,000,000 | |
Yolanda III [Member] | ||
Property Concessions By Location Of Concessions [Line Items] | ||
Purchase price for the acquisition of 100% of the concession | 2,000,000 | |
Sierra Mojada [Member] | ||
Property Concessions By Location Of Concessions [Line Items] | ||
Percentage rate of net smelter return royalties | 2.00% | |
The maximum net smelter return royalties that can be paid | $6,875,000 | |
[1] | Until July 2018, the Company has the option of acquiring Nuevo Dulces Nombres (100% interest) for $4 million and Yolanda III (100% interest) for $2 million plus a lump sum payment equal to any remaining monthly payments. | |
[2] | If a change of control occurs prior to May 30, 2016 the Company is required to make a payment of $200,000 within 20 days of the change of control. |
SEGMENT_INFORMATION_Schedule_o
SEGMENT INFORMATION (Schedule of Segment Net Loss) (Details) (USD $) | 3 Months Ended | 6 Months Ended | ||
Apr. 30, 2015 | Apr. 30, 2014 | Apr. 30, 2015 | Apr. 30, 2014 | |
Segment Reporting Information [Line Items] | ||||
Loss from Continuing Operations | ($521,271) | ($997,037) | ($1,382,004) | ($2,012,307) |
(Loss) Income from Discontinued Operations | -10,963 | -272,167 | 126,129 | -334,286 |
Net Loss | -532,234 | -1,269,204 | -1,255,875 | -2,346,593 |
Mexico [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Loss from Continuing Operations | -168,000 | -247,000 | -455,000 | -704,000 |
Canada [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Loss from Continuing Operations | -359,000 | -418,000 | -833,000 | -937,000 |
Gabon [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Loss from Continuing Operations | $6,000 | ($332,000) | ($94,000) | ($371,000) |
SEGMENT_INFORMATION_Schedule_o1
SEGMENT INFORMATION (Schedule of Segment Assets) (Details) (USD $) | Apr. 30, 2015 | Oct. 31, 2014 |
Segment Reporting Information [Line Items] | ||
Cash and cash equivalents | $1,975,279 | $1,879,318 |
Value-added tax receivable, net | 137,743 | 163,032 |
Other receivables | 35,193 | 28,637 |
Prepaid expenses and deposits | 146,988 | 219,717 |
Assets of discontinued operations held for sale | 1,281,518 | |
Office and mining equipment, net | 330,028 | 363,519 |
Property concessions | 5,563,263 | 5,563,263 |
Goodwill | 18,495,031 | 18,495,031 |
TOTAL ASSETS | 26,685,242 | 27,996,062 |
Canada [Member] | ||
Segment Reporting Information [Line Items] | ||
Cash and cash equivalents | 1,960,000 | 1,770,000 |
Value-added tax receivable, net | ||
Other receivables | 5,000 | 5,000 |
Prepaid expenses and deposits | 71,000 | 140,000 |
Assets of discontinued operations held for sale | ||
Office and mining equipment, net | 1,000 | |
Property concessions | ||
Goodwill | ||
TOTAL ASSETS | 2,036,000 | 1,916,000 |
Mexico [Member] | ||
Segment Reporting Information [Line Items] | ||
Cash and cash equivalents | 2,000 | 96,000 |
Value-added tax receivable, net | 136,000 | 160,000 |
Other receivables | 20,000 | 25,000 |
Prepaid expenses and deposits | 77,000 | 79,000 |
Assets of discontinued operations held for sale | ||
Office and mining equipment, net | 330,000 | 363,000 |
Property concessions | 5,563,000 | 5,563,000 |
Goodwill | 18,495,000 | 18,495,000 |
TOTAL ASSETS | 24,623,000 | 24,781,000 |
Gabon [Member] | ||
Segment Reporting Information [Line Items] | ||
Cash and cash equivalents | 14,000 | 13,000 |
Value-added tax receivable, net | 2,000 | 3,000 |
Other receivables | 10,000 | |
Prepaid expenses and deposits | 1,000 | |
Assets of discontinued operations held for sale | 1,282,000 | |
Office and mining equipment, net | ||
Property concessions | ||
Goodwill | ||
TOTAL ASSETS | $26,000 | $1,299,000 |
SEGMENT_INFORMATION_Schedule_o2
SEGMENT INFORMATION (Schedule of Segment Exploration and Property Holding Costs) (Details) (USD $) | 3 Months Ended | 6 Months Ended | ||
Apr. 30, 2015 | Apr. 30, 2014 | Apr. 30, 2015 | Apr. 30, 2014 | |
Segment Reporting Information [Line Items] | ||||
Exploration and property holding (costs) recovery for the period | ($153,519) | ($588,328) | ($443,248) | ($1,104,948) |
Mexico, Sierra Mojada [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Exploration and property holding (costs) recovery for the period | -158,000 | -242,000 | -431,000 | -727,000 |
Mitzic, Gabon [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Exploration and property holding (costs) recovery for the period | $4,000 | ($346,000) | ($12,000) | ($378,000) |