Document_And_Entity_Informatio
Document And Entity Information (USD $) | 12 Months Ended | ||
Dec. 31, 2013 | Mar. 27, 2014 | Jun. 30, 2013 | |
Document Information [Line Items] | ' | ' | ' |
Document Type | '10-K | ' | ' |
Amendment Flag | 'false | ' | ' |
Document Period End Date | 31-Dec-13 | ' | ' |
Entity Registrant Name | 'Searchlight Minerals Corp. | ' | ' |
Entity Central Index Key | '0001084226 | ' | ' |
Current Fiscal Year End Date | '--12-31 | ' | ' |
Document Fiscal Year Focus | '2013 | ' | ' |
Document Fiscal Period Focus | 'FY | ' | ' |
Entity Filer Category | 'Smaller Reporting Company | ' | ' |
Entity Common Stock, Shares Outstanding | ' | 135,768,318 | ' |
Entity Public Float | ' | ' | $39,074,122 |
Entity Voluntary Filers | 'No | ' | ' |
Entity Well-known Seasoned Issuer | 'No | ' | ' |
Entity Current Reporting Status | 'Yes | ' | ' |
CONSOLIDATED_BALANCE_SHEETS
CONSOLIDATED BALANCE SHEETS (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
Current assets | ' | ' |
Cash | $2,065,824 | $3,931,591 |
Prepaid expenses | 137,603 | 129,639 |
Total current assets | 2,203,427 | 4,061,230 |
Property and equipment, net | 9,455,439 | 10,715,976 |
Deferred financing fees | 120,236 | 0 |
Reclamation bond and deposits, net | 14,241 | 11,252 |
Total non-current assets | 157,513,296 | 158,558,527 |
Total assets | 159,716,723 | 162,619,757 |
Current liabilities | ' | ' |
Accounts payable and accrued liabilities | 195,541 | 314,678 |
Accounts payable - related party | 46,535 | 15,000 |
Derivative warrant liability | 81,574 | 274,706 |
VRIC payable, current portion - related party | 290,156 | 267,919 |
Total current liabilities | 613,806 | 872,303 |
Long-term liabilities | ' | ' |
VRIC payable, net of current portion - related party | 713,965 | 1,004,121 |
Convertible notes, net of discount | 2,798,506 | 0 |
Derivative liability - convertible debt | 755,709 | 0 |
Deferred tax liability | 37,322,971 | 39,648,681 |
Total long-term liabilities | 41,591,151 | 40,652,802 |
Total liabilities | 42,204,957 | 41,525,105 |
Commitments and contingencies - Note 15 | ' | ' |
Stockholders' equity | ' | ' |
Common stock, $0.001 par value; 400,000,000 shares authorized, 135,768,318 and 135,768,318 shares, respectively, issued and outstanding | 135,768 | 135,768 |
Additional paid-in capital | 154,268,204 | 153,975,856 |
Accumulated deficit during exploration stage | -36,892,206 | -33,016,972 |
Total stockholders' equity | 117,511,766 | 121,094,652 |
Total liabilities and stockholders' equity | 159,716,723 | 162,619,757 |
Mining Claims [Member] | ' | ' |
Current assets | ' | ' |
Mineral properties | 16,947,419 | 16,947,419 |
Slag Project [Member] | ' | ' |
Current assets | ' | ' |
Mineral properties | 121,759,811 | 121,667,730 |
Smelter Site and Slag Pile [Member] | ' | ' |
Current assets | ' | ' |
Land | 5,916,150 | 5,916,150 |
Remaining Amount [Member] | ' | ' |
Current assets | ' | ' |
Land | $3,300,000 | $3,300,000 |
CONSOLIDATED_BALANCE_SHEETS_Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
Common stock, par value per share | $0.00 | $0.00 |
Common stock, shares authorized | 400,000,000 | 400,000,000 |
Common stock, shares issued | 135,768,318 | 135,768,318 |
Common stock, shares outstanding | 135,768,318 | 135,768,318 |
CONSOLIDATED_STATEMENTS_OF_OPE
CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE LOSS (USD $) | 12 Months Ended | 168 Months Ended | |
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | |
Revenue | $0 | $0 | $0 |
Operating expenses | ' | ' | ' |
Administrative - Clarkdale site | 168,192 | 280,144 | 3,944,691 |
Loss on equipment disposition | 0 | 25,897 | 611,517 |
Depreciation | 1,460,589 | 1,371,548 | 5,970,199 |
Total operating expenses | 6,778,132 | 7,272,434 | 56,556,413 |
Loss from operations | -6,778,132 | -7,272,434 | -56,556,413 |
Other income (expense) | ' | ' | ' |
Rental revenue | 25,440 | 27,540 | 201,645 |
Gain on dispute resolution | 0 | 0 | 502,586 |
Change in fair value of derivative liabilities | 698,708 | -274,706 | 4,705,991 |
Interest expense | -149,635 | 0 | -163,778 |
Interest and dividend income | 2,675 | 10,952 | 657,461 |
Total other income (expense) | 577,188 | -236,214 | 5,903,905 |
Loss from continuing operations before income taxes | -6,200,944 | -7,508,648 | -50,652,508 |
Income tax benefit | 2,325,710 | 2,107,419 | 17,512,325 |
Loss from continuing operations | -3,875,234 | -5,401,229 | -33,140,183 |
Discontinued operations | ' | ' | ' |
Loss from discontinued operations | 0 | 0 | -3,752,023 |
Net loss | -3,875,234 | -5,401,229 | -36,892,206 |
Comprehensive loss | -3,875,234 | -5,401,229 | -36,892,206 |
Loss per common share - basic and diluted | ' | ' | ' |
Loss from continuing operations | ($0.03) | ($0.04) | ' |
Loss from discontinued operations | $0 | $0 | ' |
Net loss | ($0.03) | ($0.04) | ' |
Weighted average common shares outstanding - | ' | ' | ' |
Basic | 135,768,318 | 133,714,356 | ' |
Diluted | 135,768,318 | 133,714,356 | ' |
All Other [Member] | ' | ' | ' |
Operating expenses | ' | ' | ' |
Mineral exploration and evaluation expenses | 2,416,343 | 2,594,835 | 18,094,136 |
General and administrative | 2,336,489 | 2,630,319 | 24,390,569 |
Related Party Transactions [Member] | ' | ' | ' |
Operating expenses | ' | ' | ' |
Mineral exploration and evaluation expenses | 243,982 | 241,495 | 2,703,795 |
General and administrative | $152,537 | $128,196 | $841,506 |
CONSOLIDATED_STATEMENTS_OF_STO
CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY (USD $) | Total | Common Stock [Member] | Additional Paid-in Capital [Member] | Common Stock Subscribed [Member] | Accumulated Deficit During Exploration Stage [Member] |
Balance at Jan. 13, 2000 | $0 | $0 | $0 | $0 | $0 |
Balance (Shares) at Jan. 13, 2000 | ' | 0 | ' | ' | ' |
Issuance of common stock (recapitalized) | 1 | 50,000 | -25,000 | 0 | -24,999 |
Issuance of common stock (recapitalized), shares | ' | 50,000,000 | ' | ' | ' |
Net loss | -231,969 | 0 | 0 | 0 | -231,969 |
Balance at Dec. 31, 2000 | -231,968 | 50,000 | -25,000 | 0 | -256,968 |
Balance (Shares) at Dec. 31, 2000 | ' | 50,000,000 | ' | ' | ' |
Issuance of common stock in reverse merger | 0 | 10,300 | -5,150 | 0 | -5,150 |
Issuance of common stock in reverse merger, shares | ' | 10,300,000 | ' | ' | ' |
Net loss | -767,798 | 0 | 0 | 0 | -767,798 |
Balance at Dec. 31, 2001 | -999,766 | 60,300 | -30,150 | 0 | -1,029,916 |
Balance (Shares) at Dec. 31, 2001 | ' | 60,300,000 | ' | ' | ' |
Capital contribution | 1,037,126 | 0 | 1,037,126 | 0 | 0 |
Beneficial conversion feature associated with debt | 300,000 | 0 | 300,000 | 0 | 0 |
Net loss | -1,249,644 | 0 | 0 | 0 | -1,249,644 |
Balance at Dec. 31, 2002 | -912,284 | 60,300 | 1,306,976 | 0 | -2,279,560 |
Balance (Shares) at Dec. 31, 2002 | ' | 60,300,000 | ' | ' | ' |
Debt exchanged for common stock | 1,200,000 | 48,000 | 1,152,000 | 0 | 0 |
Debt exchanged for common stock, shares | ' | 48,000,000 | ' | ' | ' |
Deferred compensation | 10,387 | 0 | 10,387 | 0 | 0 |
Net loss | -1,283,872 | 0 | 0 | 0 | -1,283,872 |
Balance at Dec. 31, 2003 | -985,769 | 108,300 | 2,469,363 | 0 | -3,563,432 |
Balance (Shares) at Dec. 31, 2003 | ' | 108,300,000 | ' | ' | ' |
Deferred compensation | 2,196 | 0 | 2,196 | 0 | 0 |
Net loss | -700,444 | 0 | 0 | 0 | -700,444 |
Balance at Dec. 31, 2004 | -1,684,017 | 108,300 | 2,471,559 | 0 | -4,263,876 |
Balance (Shares) at Dec. 31, 2004 | ' | 108,300,000 | ' | ' | ' |
Return and cancellation of 70,000,000 shares of common stock | 0 | -70,000 | 70,000 | 0 | 0 |
Return and cancellation of 70,000,000 shares of common stock, shares | ' | -70,000,000 | ' | ' | ' |
Issuance of 12,000,000 warrants in consideration of joint venture option, $0.375 per share | 1,310,204 | 0 | 1,310,204 | 0 | 0 |
Issuance of common stock in satisfaction of debt, $0.625 per share | 125,000 | 200 | 124,800 | 0 | 0 |
Issuance of common stock in satisfaction of debt, $0.625 per share, shares | ' | 200,000 | ' | ' | ' |
Issuance of common stock for mineral claims | 490,000 | 1,400 | 488,600 | 0 | 0 |
Issuance of common stock for mineral claims, shares | ' | 1,400,000 | ' | ' | ' |
Issuance of common stock for cash, transaction one | 2,690,807 | 12,250 | 2,678,557 | 0 | 0 |
Issuance of common stock for cash, shares, transaction one | ' | 12,250,000 | ' | ' | ' |
Issuance of stock options for 500,000 shares of common stock in satisfaction of debt | 300,000 | 0 | 300,000 | 0 | 0 |
Common stock subscribed, $0.45 per share | 270,000 | 0 | 0 | 270,000 | 0 |
Share-based compensation | 399,782 | 0 | 399,782 | 0 | 0 |
Net loss | -1,201,424 | 0 | 0 | 0 | -1,201,424 |
Balance at Dec. 31, 2005 | 2,700,352 | 52,150 | 7,843,502 | 270,000 | -5,465,300 |
Balance (Shares) at Dec. 31, 2005 | ' | 52,150,000 | ' | ' | ' |
Issuance of common stock for mineral claims | 3,080,000 | 1,400 | 3,078,600 | 0 | 0 |
Issuance of common stock for mineral claims, shares | ' | 1,400,000 | ' | ' | ' |
Issuance of common stock for cash, transaction one | 1,397,250 | 3,900 | 1,663,350 | -270,000 | 0 |
Issuance of common stock for cash, shares, transaction one | ' | 3,900,000 | ' | ' | ' |
Issuance of common stock from deemed exercise of penalty warrants under Registration Rights Agreement, $0.001 share | 0 | 1,225 | -1,225 | 0 | 0 |
Issuance of common stock from deemed exercise of penalty warrants under Registration Rights Agreement, $0.001 share, shares | ' | 1,225,000 | ' | ' | ' |
Issuance of common stock to officer for recruitment, $2.06 per share | 103,000 | 50 | 102,950 | 0 | 0 |
Issuance of common stock to officer for recruitment, $2.06 per share | ' | 50,000 | ' | ' | ' |
Issuance of common stock for cash from exercise of warrants, transaction one | 4,210,938 | 6,738 | 4,204,200 | 0 | 0 |
Issuance of common stock for cash from exercise of warrants, shares, transaction one | ' | 6,737,500 | ' | ' | ' |
Issuance of common stock for cash from exercise of warrants, transaction two | 663,188 | 1,768 | 661,420 | 0 | 0 |
Issuance of common stock for cash from exercise of warrants, shares, transaction two | ' | 1,768,500 | ' | ' | ' |
Share-based compensation | 186,094 | 0 | 186,094 | 0 | 0 |
Net loss | -2,540,978 | 0 | 0 | 0 | -2,540,978 |
Balance at Dec. 31, 2006 | 9,799,844 | 67,231 | 17,738,891 | 0 | -8,006,278 |
Balance (Shares) at Dec. 31, 2006 | ' | 67,231,000 | ' | ' | ' |
Issuance of common stock for mineral claims | 4,508,000 | 1,400 | 4,506,600 | 0 | 0 |
Issuance of common stock for mineral claims, shares | ' | 1,400,000 | ' | ' | ' |
Issuance of common stock for cash, transaction one | 20,773,141 | 7,322 | 20,765,819 | 0 | 0 |
Issuance of common stock for cash, shares, transaction one | ' | 7,321,827 | ' | ' | ' |
Issuance of common stock for cash from exercise of warrants, transaction one | 325,000 | 400 | 259,600 | 65,000 | 0 |
Issuance of common stock for cash from exercise of warrants, shares, transaction one | ' | 400,000 | ' | ' | ' |
Issuance of common stock for cash, transaction two | 5,000,000 | 3,281 | 4,996,719 | 0 | 0 |
Issuance of common stock for cash, shares, transaction two | ' | 3,281,250 | ' | ' | ' |
Issuance of common stock in connection with the acquisition | 66,879,375 | 16,825 | 66,862,550 | 0 | 0 |
Issuance of common stock in connection with the acquisition, shares | ' | 16,825,000 | ' | ' | ' |
Issuance of common stock for cash, exercise of nonemployee stock options | 125,000 | 400 | 99,600 | 25,000 | 0 |
Issuance of common stock for cash, exercise of nonemployee stock options, shares | ' | 400,000 | ' | ' | ' |
Issuance of common stock for directors' compensation, transaction one | 18,000 | 6 | 17,994 | 0 | 0 |
Issuance of common stock for directors' compensation, shares, transaction one | ' | 6,314 | ' | ' | ' |
Issuance of common stock for directors' compensation | 18,000 | 0 | 0 | 18,000 | 0 |
Capitalization of Phage related party liability to equity | 742,848 | 0 | 742,848 | 0 | 0 |
Share-based compensation | 233,286 | 0 | 233,286 | 0 | 0 |
Net loss | -2,221,818 | 0 | 0 | 0 | -2,221,818 |
Balance at Dec. 31, 2007 | 106,200,676 | 96,865 | 116,223,907 | 108,000 | -10,228,096 |
Balance (Shares) at Dec. 31, 2007 | ' | 96,865,391 | ' | ' | ' |
Issuance of common stock for mineral claims | 2,632,000 | 1,400 | 2,630,600 | 0 | 0 |
Issuance of common stock for mineral claims, shares | ' | 1,400,000 | ' | ' | ' |
Issuance of common stock for cash, transaction one | 2,463,500 | 3,890 | 2,524,610 | -65,000 | 0 |
Issuance of common stock for cash, shares, transaction one | ' | 3,890,000 | ' | ' | ' |
Issuance of common stock for cash, transaction two | 5,250,000 | 3,362 | 5,246,638 | 0 | 0 |
Issuance of common stock for cash, shares, transaction two | ' | 3,361,250 | ' | ' | ' |
Issuance of common stock for cash, exercise of nonemployee stock options | 50,000 | 300 | 74,700 | -25,000 | 0 |
Issuance of common stock for cash, exercise of nonemployee stock options, shares | ' | 300,000 | ' | ' | ' |
Issuance of common stock for directors' compensation, transaction one | 0 | 6 | 17,994 | -18,000 | 0 |
Issuance of common stock for directors' compensation, shares, transaction one | ' | 6,428 | ' | ' | ' |
Issuance of common stock for directors' compensation, transaction two | 18,000 | 5 | 17,995 | 0 | 0 |
Issuance of common stock for directors' compensation, shares, transaction two | ' | 5,340 | ' | ' | ' |
Issuance of common stock for directors' compensation, transaction three | 18,000 | 9 | 17,991 | 0 | 0 |
Issuance of common stock for directors' compensation, shares, transaction three | ' | 8,652 | ' | ' | ' |
Issuance of common stock for directors' compensation, transaction four | 18,000 | 10 | 17,990 | 0 | 0 |
Issuance of common stock for directors' compensation, shares, transaction four | ' | 10,284 | ' | ' | ' |
Issuance of common stock for directors' compensation, transaction five | 18,000 | 7 | 17,993 | 0 | 0 |
Issuance of common stock for directors' compensation, shares, transaction five | ' | 7,346 | ' | ' | ' |
Modification of investor warrants | 1,826,670 | 0 | 1,826,670 | 0 | 0 |
Share-based compensation | 64,342 | 0 | 64,342 | 0 | 0 |
Net loss | -4,955,056 | 0 | 0 | 0 | -4,955,056 |
Balance at Dec. 31, 2008 | 113,604,132 | 105,854 | 128,681,430 | 0 | -15,183,152 |
Balance (Shares) at Dec. 31, 2008 | ' | 105,854,691 | ' | ' | ' |
Issuance of common stock for cash, transaction one | 13,751,172 | 12,079 | 13,739,093 | 0 | 0 |
Issuance of common stock for cash, shares, transaction one | ' | 12,078,596 | ' | ' | ' |
Issuance of common stock for cash, exercise of nonemployee stock options | 200,000 | 800 | 199,200 | 0 | 0 |
Issuance of common stock for cash, exercise of nonemployee stock options, shares | ' | 800,000 | ' | ' | ' |
Issuance of common stock for directors' compensation, transaction one | 18,000 | 7 | 17,993 | 0 | 0 |
Issuance of common stock for directors' compensation, shares, transaction one | ' | 6,568 | ' | ' | ' |
Issuance of common stock for directors' compensation, transaction two | 18,000 | 7 | 17,993 | 0 | 0 |
Issuance of common stock for directors' compensation, shares, transaction two | ' | 7,378 | ' | ' | ' |
Issuance of common stock for directors' compensation, transaction three | 18,000 | 10 | 17,990 | 0 | 0 |
Issuance of common stock for directors' compensation, shares, transaction three | ' | 9,890 | ' | ' | ' |
Issuance of common stock for directors' compensation, transaction four | 18,000 | 11 | 17,989 | 0 | 0 |
Issuance of common stock for directors' compensation, shares, transaction four | ' | 11,250 | ' | ' | ' |
Modification of investor warrants | 3,170,285 | 0 | 3,170,285 | 0 | 0 |
Derivative warrant liability | -4,281,989 | 0 | -4,281,989 | 0 | 0 |
Share-based compensation | 164,857 | 0 | 164,857 | 0 | 0 |
Net loss | -7,277,131 | 0 | 0 | 0 | -7,277,131 |
Balance at Dec. 31, 2009 | 119,403,326 | 118,768 | 141,744,841 | 0 | -22,460,283 |
Balance (Shares) at Dec. 31, 2009 | ' | 118,768,373 | ' | ' | ' |
Issuance of common stock for directors' compensation, transaction one | 18,000 | 15 | 17,985 | 0 | 0 |
Issuance of common stock for directors' compensation, shares, transaction one | ' | 15,000 | ' | ' | ' |
Issuance of common stock for directors' compensation, transaction two | 18,000 | 26 | 17,974 | 0 | 0 |
Issuance of common stock for directors' compensation, shares, transaction two | ' | 25,714 | ' | ' | ' |
Issuance of common stock for directors' compensation, transaction three | 9,000 | 9 | 8,991 | 0 | 0 |
Issuance of common stock for directors' compensation, shares, transaction three | ' | 9,231 | ' | ' | ' |
Issuance of common stock for cash from the exercise of stock options | 528,000 | 1,200 | 526,800 | 0 | 0 |
Issuance of common stock for cash from the exercise of stock options, shares | ' | 1,200,000 | ' | ' | ' |
Issuance of common stock for cash under Common Stock Purchase Agreement, transaction one | 1,514,060 | 3,000 | 1,511,060 | 0 | 0 |
Issuance of common stock for cash under Common Stock Purchase Agreement, shares, transaction one | ' | 3,000,000 | ' | ' | ' |
Share-based compensation | 391,864 | 0 | 391,864 | 0 | 0 |
Net loss | -1,740,115 | 0 | 0 | 0 | -1,740,115 |
Balance at Dec. 31, 2010 | 120,142,135 | 123,018 | 144,219,515 | 0 | -24,200,398 |
Balance (Shares) at Dec. 31, 2010 | ' | 123,018,318 | ' | ' | ' |
Issuance of common stock for cash under Common Stock Purchase Agreement, transaction one | 659,395 | 1,000 | 658,395 | 0 | 0 |
Issuance of common stock for cash under Common Stock Purchase Agreement, shares, transaction one | ' | 1,000,000 | ' | ' | ' |
Issuance of common stock for cash under Common Stock Purchase Agreement, transaction two | 489,480 | 1,000 | 488,480 | 0 | 0 |
Issuance of common stock for cash under Common Stock Purchase Agreement, shares, transaction two | ' | 1,000,000 | ' | ' | ' |
Issuance of common stock for cash under Common Stock Purchase Agreement, transaction three | 474,435 | 1,000 | 473,435 | 0 | 0 |
Issuance of common stock for cash under Common Stock Purchase Agreement, shares, transaction three | ' | 1,000,000 | ' | ' | ' |
Issuance of common stock for cash under Common Stock Purchase Agreement, transaction four | 445,960 | 1,000 | 444,960 | 0 | 0 |
Issuance of common stock for cash under Common Stock Purchase Agreement, shares, transaction four | ' | 1,000,000 | ' | ' | ' |
Issuance of common stock for cash under Common Stock Purchase Agreement, transaction five | 616,895 | 1,000 | 615,895 | 0 | 0 |
Issuance of common stock for cash under Common Stock Purchase Agreement, shares, transaction five | ' | 1,000,000 | ' | ' | ' |
Issuance of common stock for cash under Common Stock Purchase Agreement, transaction six | 925,530 | 1,000 | 924,530 | 0 | 0 |
Issuance of common stock for cash under Common Stock Purchase Agreement, shares, transaction six | ' | 1,000,000 | ' | ' | ' |
Issuance of common stock for cash under Common Stock Purchase Agreement, transaction seven | 677,075 | 1,000 | 676,075 | 0 | 0 |
Issuance of common stock for cash under Common Stock Purchase Agreement, shares, transaction seven | ' | 1,000,000 | ' | ' | ' |
Issuance of common stock for cash under Common Stock Purchase Agreement, transaction eight | 558,420 | 1,000 | 557,420 | 0 | 0 |
Issuance of common stock for cash under Common Stock Purchase Agreement, shares, transaction eight | ' | 1,000,000 | ' | ' | ' |
Warrants cancelled in dispute resolution | -502,586 | 0 | -502,586 | 0 | 0 |
Share-based compensation | 686,299 | 0 | 686,299 | 0 | 0 |
Net loss | -3,415,345 | 0 | 0 | 0 | -3,415,345 |
Balance at Dec. 31, 2011 | 121,757,693 | 131,018 | 149,242,418 | 0 | -27,615,743 |
Balance (Shares) at Dec. 31, 2011 | ' | 131,018,318 | ' | ' | ' |
Issuance of common stock for cash from exercise of warrants, transaction one | 93,750 | 250 | 93,500 | 0 | 0 |
Issuance of common stock for cash from exercise of warrants, shares, transaction one | ' | 250,000 | ' | ' | ' |
Issuance of common stock for cash from the exercise of stock options, shares | 0 | ' | ' | ' | ' |
Issuance of common stock for cash under Common Stock Purchase Agreement, transaction one | 4,047,960 | 4,500 | 4,043,460 | 0 | 0 |
Issuance of common stock for cash under Common Stock Purchase Agreement, shares, transaction one | ' | 4,500,000 | ' | ' | ' |
Share-based compensation | 596,478 | 0 | 596,478 | 0 | 0 |
Net loss | -5,401,229 | 0 | 0 | 0 | -5,401,229 |
Balance at Dec. 31, 2012 | 121,094,652 | 135,768 | 153,975,856 | 0 | -33,016,972 |
Balance (Shares) at Dec. 31, 2012 | ' | 135,768,318 | ' | ' | ' |
Issuance of common stock for cash from the exercise of stock options, shares | 0 | ' | ' | ' | ' |
Share-based compensation | 292,348 | 0 | 292,348 | 0 | 0 |
Net loss | -3,875,234 | 0 | 0 | 0 | -3,875,234 |
Balance at Dec. 31, 2013 | $117,511,766 | $135,768 | $154,268,204 | $0 | ($36,892,206) |
Balance (Shares) at Dec. 31, 2013 | ' | 135,768,318 | ' | ' | ' |
CONSOLIDATED_STATEMENTS_OF_STO1
CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY (Parenthetical) (USD $) | 12 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||
Dec. 31, 2005 | Dec. 31, 2006 | Dec. 31, 2006 | Dec. 31, 2005 | Dec. 31, 2008 | Dec. 31, 2007 | Dec. 31, 2006 | Dec. 31, 2005 | Dec. 31, 2010 | Dec. 31, 2009 | Dec. 31, 2006 | Dec. 31, 2005 | Dec. 31, 2008 | Dec. 31, 2007 | Dec. 31, 2008 | Dec. 31, 2007 | Dec. 31, 2005 | Dec. 31, 2006 | Dec. 31, 2006 | Dec. 31, 2007 | Dec. 31, 2009 | Dec. 31, 2008 | Dec. 31, 2007 | Dec. 31, 2010 | Dec. 31, 2009 | Dec. 31, 2008 | Dec. 31, 2007 | Dec. 31, 2010 | Dec. 31, 2009 | Dec. 31, 2008 | Dec. 31, 2007 | Dec. 31, 2010 | Dec. 31, 2009 | Dec. 31, 2008 | Dec. 31, 2009 | Dec. 31, 2008 | Dec. 31, 2008 | Dec. 31, 2012 | Dec. 31, 2010 | Dec. 31, 2011 | Dec. 31, 2011 | Dec. 31, 2011 | Dec. 31, 2011 | Dec. 31, 2011 | Dec. 31, 2011 | Dec. 31, 2011 | Dec. 31, 2011 | |
Issuance Of Common Stock From Warrants Exercised [Member] | Issuance Of Common Stock From Warrants Exercised [Member] | Issuance Of Common Stock From Warrants Exercised [Member] | Issuance Of Common Stock For Satisfaction Of Debt [Member] | Issuance Of Common Stock For Purchase Of Mineral Claims [Member] | Issuance Of Common Stock For Purchase Of Mineral Claims [Member] | Issuance Of Common Stock For Purchase Of Mineral Claims [Member] | Issuance Of Common Stock For Purchase Of Mineral Claims [Member] | Issuance Of Common Stock For Cash [Member] | Issuance Of Common Stock For Cash [Member] | Issuance Of Common Stock For Cash [Member] | Issuance Of Common Stock For Cash [Member] | Issuance Of Common Stock For Cash [Member] | Issuance Of Common Stock For Cash [Member] | Issuance Of Common Stock For Cash [Member] | Issuance Of Common Stock For Cash [Member] | Issuance Of Common Stock Subscribed [Member] | Issuance Of Common Stock From Deemed Penalty Warrants Under Registration Rights Agreement [Member] | Issuance Of Common Stock To Officer For Recruitment [Member] | Issuance Of Common Stock From Acquisitions [Member] | Issuance Of Common Stock Exercise Of Nonemployee Stock Options [Member] | Issuance Of Common Stock Exercise Of Nonemployee Stock Options [Member] | Issuance Of Common Stock Exercise Of Nonemployee Stock Options [Member] | Issuance Of Common Stock For Directors Compensation [Member] | Issuance Of Common Stock For Directors Compensation [Member] | Issuance Of Common Stock For Directors Compensation [Member] | Issuance Of Common Stock For Directors Compensation [Member] | Issuance Of Common Stock For Directors Compensation [Member] | Issuance Of Common Stock For Directors Compensation [Member] | Issuance Of Common Stock For Directors Compensation [Member] | Issuance Of Common Stock For Directors Compensation [Member] | Issuance Of Common Stock For Directors Compensation [Member] | Issuance Of Common Stock For Directors Compensation [Member] | Issuance Of Common Stock For Directors Compensation [Member] | Issuance Of Common Stock For Directors Compensation [Member] | Issuance Of Common Stock For Directors Compensation [Member] | Issuance Of Common Stock For Directors Compensation [Member] | Issuance Of Common Stock Under Common Stock Purchase Agreement [Member] | Issuance Of Common Stock Under Common Stock Purchase Agreement [Member] | Issuance Of Common Stock Under Common Stock Purchase Agreement [Member] | Issuance Of Common Stock Under Common Stock Purchase Agreement [Member] | Issuance Of Common Stock Under Common Stock Purchase Agreement [Member] | Issuance Of Common Stock Under Common Stock Purchase Agreement [Member] | Issuance Of Common Stock Under Common Stock Purchase Agreement [Member] | Issuance Of Common Stock Under Common Stock Purchase Agreement [Member] | Issuance Of Common Stock Under Common Stock Purchase Agreement [Member] | Issuance Of Common Stock Under Common Stock Purchase Agreement [Member] | |
Equity Issuance Transaction One [Member] | Equity Issuance Transaction Two [Member] | Equity Issuance Transaction One [Member] | Equity Issuance Transaction One [Member] | Equity Issuance Transaction Two [Member] | Equity Issuance Transaction Two [Member] | Equity Issuance Transaction One [Member] | Equity Issuance Transaction One [Member] | Equity Issuance Transaction One [Member] | Equity Issuance Transaction One [Member] | Equity Issuance Transaction Two [Member] | Equity Issuance Transaction Two [Member] | Equity Issuance Transaction Two [Member] | Equity Issuance Transaction Two [Member] | Equity Issuance Transaction Three [Member] | Equity Issuance Transaction Three [Member] | Equity Issuance Transaction Three [Member] | Equity Issuance Transaction Four [Member] | Equity Issuance Transaction Four [Member] | Equity Issuance Transaction Five [Member] | Equity Issuance Transaction One [Member] | Equity Issuance Transaction Two [Member] | Equity Issuance Transaction Three [Member] | Equity Issuance Transaction Four [Member] | Equity Issuance Transaction Five [Member] | Equity Issuance Transaction Six [Member] | Equity Issuance Transaction Seven [Member] | Equity Issuance Transaction Eight [Member] | ||||||||||||||||||||
Number of warrants issued | 12,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Equity issuance, price per share | $0.38 | $0.63 | $0.38 | $0.63 | $1.88 | $3.22 | $2.20 | $0.35 | $0.44 | $1.25 | $0.45 | $0.25 | $0.65 | $3 | $1.60 | $1.60 | $0.45 | $0.00 | $2.06 | $3.98 | $0.25 | $0.25 | $0.25 | $1.20 | $2.74 | $2.80 | $2.85 | $0.70 | $2.44 | $3.37 | $2.80 | $0.98 | $1.82 | $2.08 | $1.60 | $1.75 | $2.45 | $0.90 | $0.53 | $0.66 | $0.49 | $0.48 | $0.45 | $0.62 | $0.93 | $0.68 | $0.56 |
Stock issuance costs | ' | ' | ' | ' | ' | ' | ' | ' | ' | $1,347,073 | $87,750 | $371,693 | ' | $1,192,344 | $128,000 | $250,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $2,040 | $79,690 | $2,500 | $2,500 | $2,500 | $2,500 | $2,500 | $2,500 | $2,500 | $2,500 |
Common stock issued in connection with exercise of options, shares issued | ' | ' | ' | 500,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
CONSOLIDATED_STATEMENTS_OF_CAS
CONSOLIDATED STATEMENTS OF CASH FLOWS (USD $) | 12 Months Ended | 168 Months Ended | |
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | |
CASH FLOWS FROM OPERATING ACTIVITIES | ' | ' | ' |
Net loss | ($3,875,234) | ($5,401,229) | ($36,892,206) |
Loss from discontinued operations | 0 | 0 | -3,752,023 |
Loss from continuing operations | -3,875,234 | -5,401,229 | -33,140,183 |
Adjustments to reconcile net loss to net cash used in operating activities: | ' | ' | ' |
Depreciation | 1,460,589 | 1,371,548 | 5,970,199 |
Stock based expenses | 292,348 | 596,478 | 8,340,305 |
Loss on disposition of fixed assets | 0 | 25,897 | 612,866 |
Amortization of prepaid expense | 349,028 | 429,386 | 2,031,557 |
Amortization of debt financing fees and debt discount | 66,001 | 0 | 66,001 |
Deferred income taxes | -2,325,710 | -2,107,419 | -17,512,325 |
Change in fair value of derivative liabilities | -698,708 | 274,706 | -4,705,991 |
Gain on dispute resolution | 0 | 0 | -502,586 |
Changes in operating assets and liabilities: | ' | ' | ' |
Prepaid expenses | -356,992 | -412,220 | -2,169,159 |
Reclamation bond and deposits | -2,989 | 3,520 | -14,241 |
Accounts payable and accrued liabilities | -87,602 | 255,457 | -92,337 |
Net cash used in operating activities | -5,179,269 | -4,963,876 | -41,115,894 |
Net cash used in operating activities from discontinued operations | 0 | 0 | -2,931,324 |
CASH FLOWS FROM INVESTING ACTIVITIES | ' | ' | ' |
Cash paid for additional acquisition costs | 0 | 0 | -130,105 |
Proceeds from property and equipment disposition | 0 | 500 | 366,513 |
Purchase of property and equipment | -200,052 | -1,048,626 | -15,649,228 |
Net cash used in investing activities | -200,052 | -1,048,126 | -26,289,954 |
Net cash used in investing activities from discontinued operations | 0 | 0 | -452,618 |
CASH FLOWS FROM FINANCING ACTIVITIES | ' | ' | ' |
Proceeds from stock issuance | 0 | 4,143,750 | 70,330,435 |
Stock issuance costs | 0 | -2,040 | -2,126,373 |
Proceeds from convertible notes | 4,000,000 | 0 | 4,000,000 |
Convertible notes issuance costs | -126,446 | 0 | -126,446 |
Principal payments on capital lease payable | 0 | 0 | -116,238 |
Payments on VRIC payable - related party | -360,000 | -360,000 | -2,490,001 |
Net cash provided by financing activities | 3,513,554 | 3,781,710 | 69,471,377 |
Net cash provided by financing activities from discontinued operations | 0 | 0 | 3,384,237 |
NET CHANGE IN CASH | -1,865,767 | -2,230,292 | 2,065,824 |
CASH AT BEGINNING OF PERIOD | 3,931,591 | 6,161,883 | 0 |
CASH AT END OF PERIOD | 2,065,824 | 3,931,591 | 2,065,824 |
SUPPLEMENTAL INFORMATION | ' | ' | ' |
Interest paid, net of capitalized amounts | 3,834 | 0 | 68,728 |
Income taxes paid | 0 | 0 | 0 |
Non-cash investing and financing activities: | ' | ' | ' |
Capital equipment purchased through accounts payable and financing | 0 | 0 | 444,690 |
Assets acquired for liabilities incurred in acquisition | 0 | 0 | 2,628,188 |
Net deferred tax liability assumed | 0 | 0 | 55,197,465 |
Merger option payment applied to acquisition | 0 | 0 | 200,000 |
Reclassify joint venture option agreement to slag project | 0 | 0 | 690,000 |
Warrants issued in connection with joint venture option agreement related to slag project | 0 | 0 | 1,310,204 |
Common stock issued for satisfaction of liability | 0 | 0 | 1,500,000 |
Capitalization of related party liability to equity | 0 | 0 | 742,848 |
Investor warrants issued with non-customary anti-dilution provisions | 0 | 0 | 4,281,989 |
Derivative liability - convertible debt | 1,261,285 | 0 | 1,261,285 |
Accounts Payable [Member] | ' | ' | ' |
Non-cash investing and financing activities: | ' | ' | ' |
Common stock issued for satisfaction of liability | 0 | 0 | 125,000 |
Acquisitions [Member] | ' | ' | ' |
Non-cash investing and financing activities: | ' | ' | ' |
Common stock issued for mineral properties acquired | 0 | 0 | 66,879,375 |
Mining Claims [Member] | ' | ' | ' |
CASH FLOWS FROM INVESTING ACTIVITIES | ' | ' | ' |
Cash paid on mineral property claims | 0 | 0 | -87,134 |
Non-cash investing and financing activities: | ' | ' | ' |
Common stock issued for mineral properties acquired | 0 | 0 | 10,220,000 |
Corporate Joint Venture [Member] | ' | ' | ' |
CASH FLOWS FROM INVESTING ACTIVITIES | ' | ' | ' |
Cash paid on mineral property claims | 0 | 0 | -890,000 |
Slag Project [Member] | ' | ' | ' |
CASH FLOWS FROM INVESTING ACTIVITIES | ' | ' | ' |
Cash paid on mineral property claims | $0 | $0 | ($9,900,000) |
CONSOLIDATED_STATEMENTS_OF_CAS1
CONSOLIDATED STATEMENTS OF CASH FLOWS (Parenthetical) (USD $) | 168 Months Ended |
Dec. 31, 2013 | |
Stock issued for conversion of accounts payable, shares | 200,000 |
Stock issued for conversion of accounts payable, per share value | $0.63 |
DESCRIPTION_OF_BUSINESS_HISTOR
DESCRIPTION OF BUSINESS, HISTORY AND SUMMARY OF SIGNIFICANT POLICIES | 12 Months Ended | |||
Dec. 31, 2013 | ||||
Accounting Policies [Abstract] | ' | |||
DESCRIPTION OF BUSINESS, HISTORY AND SUMMARY OF SIGNIFICANT POLICIES | ' | |||
1 | DESCRIPTION OF BUSINESS, HISTORY AND SUMMARY OF SIGNIFICANT POLICIES | |||
Description of business - Searchlight Minerals Corp. (the “Company”) is considered an exploration stage company since its formation, and the Company has not yet realized any revenues from its planned operations. The Company is primarily focused on the exploration, acquisition and development of mining and mineral properties. Upon the location of commercially minable reserves, the Company plans to prepare for mineral extraction and enter the development stage. | ||||
History - The Company was incorporated on January 12, 1999 pursuant to the laws of the State of Nevada under the name L.C.M. Equity, Inc. From 1999 to 2005, the Company operated primarily as a biotechnology research and development company with its headquarters in Canada and an office in the United Kingdom (the “UK”). On November 2, 2001, the Company entered into an acquisition agreement with Regma Bio Technologies, Ltd. pursuant to which Regma Bio Technologies, Ltd. entered into a reverse merger with the Company with the surviving entity named “Regma Bio Technologies Limited”. On November 26, 2003, the Company changed its name from “Regma Bio Technologies Limited” to “Phage Genomics, Inc” (“Phage”). | ||||
In February 2005, the Company announced its reorganization from a biotechnology research and development company to a company focused on the development and acquisition of mineral properties. In connection with its reorganization the Company entered into mineral option agreements to acquire an interest in the Searchlight Claims. The Company has consequently been considered as an exploration stage enterprise. Also in connection with its corporate restructuring, its Board of Directors approved a change in its name from Phage to "Searchlight Minerals Corp.” effective June 23, 2005. | ||||
Going concern - The Company incurred cumulative net losses of $36,892,206 from operations as of December 31, 2013 and has not commenced its commercial mining and mineral processing operations; rather, it is still in the exploration stage. The accompanying financial statements have been prepared on a going concern basis, which contemplates the realization of assets and satisfaction of liabilities in the normal course of business. For the year ended December 31, 2013, the Company incurred a net loss of $3,875,234, had negative cash flows from operating activities of $5,179,269 and will incur additional future losses due to planned continued exploration stage expenses. | ||||
These matters raise substantial doubt as to the Company’s ability to continue as a going concern. The financial statements do not include any adjustments relating to the recoverability of assets and the amount or classification of liabilities that might be necessary should the Company be unable to continue as a going concern. The Company will seek additional sources of capital through the issuance of debt or equity financing, but there can be no assurance the Company will be successful in accomplishing its objectives. | ||||
Basis of presentation - The accompanying financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America. The Company’s fiscal year-end is December 31. | ||||
Certain prior period amounts have been reclassified to conform to the current year presentation. These reclassifications had no impact on the Company’s financial position, results of operations or cash flows. | ||||
Principles of consolidation - The consolidated financial statements include the accounts of the Company and its wholly-owned subsidiaries, Clarkdale Minerals, LLC (“CML”) and Clarkdale Metals Corp. (“CMC”). Significant intercompany accounts and transactions have been eliminated. | ||||
Use of estimates - The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America (“GAAP”) requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenue and expenses during the reporting period. By their nature, these estimates are subject to measurement uncertainty and the effect on the financial statements of changes in such estimates in future periods could be significant. Significant areas requiring management’s estimates and assumptions include the valuation of stock-based compensation and derivative liabilities, impairment analysis of long-lived assets, and realizability of deferred tax assets. Actual results could differ from those estimates. | ||||
Capitalized interest cost - The Company capitalizes interest cost related to acquisition, development and construction of property and equipment which is designed as integral parts of the manufacturing process. The capitalized interest is recorded as part of the asset it relates to and will be amortized over the asset’s useful life once production commences. | ||||
Mineral properties - Costs of acquiring mineral properties are capitalized upon acquisition. Exploration costs and costs to maintain mineral properties are expensed as incurred while the project is in the exploration stage. Once mineral reserves are established, development costs and costs to maintain mineral properties are capitalized as incurred while the property is in the development stage. When a property reaches the production stage, the related capitalized costs are amortized using the units-of-production method over the proven and probable reserves. | ||||
Mineral exploration and development costs - Exploration expenditures incurred prior to entering the development stage are expensed and included in mineral exploration and evaluation expense. | ||||
Property and equipment - Property and equipment is stated at cost less accumulated depreciation. Depreciation is provided principally on the straight-line method over the estimated useful lives of the assets, which are generally 3 to 39 years. The cost of repairs and maintenance is charged to expense as incurred. Expenditures for property betterments and renewals are capitalized. Upon sale or other disposition of a depreciable asset, cost and accumulated depreciation are removed from the accounts and any gain or loss is reflected in operating expenses. | ||||
Impairment of long-lived assets - The Company reviews and evaluates its long-lived assets for impairment at each balance sheet date due to its planned exploration stage losses and documents such impairment testing. Mineral properties in the exploration stage are monitored for impairment based on factors such as the Company’s continued right to explore the property, exploration reports, drill results, technical reports and continued plans to fund exploration programs on the property. | ||||
The tests for long-lived assets in the exploration, development or producing stage that would have a value beyond proven and probable reserves would be monitored for impairment based on factors such as current market value of the mineral property and results of exploration, future asset utilization, business climate, mineral prices and future undiscounted cash flows expected to result from the use of the related assets. Recoverability of assets to be held and used is measured by a comparison of the carrying amount of an asset to the estimated future net cash flows expected to be generated by the asset, including evaluating its reserves beyond proven and probable amounts. | ||||
The Company's policy is to record an impairment loss in the period when it is determined that the carrying amount of the asset may not be recoverable either by impairment or by abandonment of the property. The impairment loss is calculated as the amount by which the carrying amount of the assets exceeds its fair value. To date, no such impairments have been identified. | ||||
Deferred financing fees – Deferred financing fees represent fees paid in connection with obtaining debt financing. These fees are amortized using the effective interest method over the term of the financing. | ||||
Convertible notes – derivative liabilities – The Company evaluates the embedded features of convertible notes to determine if they are required to be bifurcated and recorded as a derivative liability. If more than one feature is required to be bifurcated, the features are accounted for as a single compound derivative. The fair value of the compound derivative is recorded as a derivative liability and a debt discount. The carrying value of the convertible notes was recorded on the date of issuance at its original value less the fair value of the compound derivative. | ||||
The derivative liability is measured at fair value on a recurring basis with changes reported in other income (expense). Fair value is determined using a model which incorporates estimated probabilities and inputs calculated by both the Binomial Lattice model and present values. The debt discount is amortized to non-cash interest expense using the effective interest method over the life of the notes. If a conversion of the underlying note occurs, a proportionate share of the unamortized amount is immediately expensed. | ||||
Reclamation and remediation costs - For its exploration stage properties, the Company accrues the estimated costs associated with environmental remediation obligations in the period in which the liability is incurred or becomes determinable. Until such time that a project life is established, the Company records the corresponding cost as an exploration stage expense. The costs of future expenditures for environmental remediation are not discounted to their present value unless subject to a contractually obligated fixed payment schedule. | ||||
Future reclamation and environmental-related expenditures are difficult to estimate in many circumstances due to the early stage nature of the exploration project, the uncertainties associated with defining the nature and extent of environmental disturbance, the application of laws and regulations by regulatory authorities and changes in reclamation or remediation technology. The Company periodically reviews accrued liabilities for such reclamation and remediation costs as evidence indicating that the liabilities have potentially changed becomes available. Changes in estimates are reflected in the consolidated statement of operations in the period an estimate is revised. | ||||
The Company is in the exploration stage and is unable to determine the estimated timing of expenditures relating to reclamation accruals. It is reasonably possible that the ultimate cost of reclamation and remediation could change in the future and that changes to these estimates could have a material effect on future operating results as new information becomes known. | ||||
Fair value of financial instruments - The Company’s financial instruments consist principally of derivative liabilities and the Verde River Iron Company, LLC (“VRIC”) payable. Assets and liabilities measured at fair value are categorized based on whether the inputs are observable in the market and the degree that the inputs are observable. The categorization of financial instruments within the valuation hierarchy is based on the lowest level of input that is significant to the fair value measurement. The hierarchy is prioritized into three levels defined 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). | |||
The Company’s financial instruments consist of the VRIC payable (described in Note 9) and derivative liabilities. The VRIC payable is classified within Level 2 of the fair value hierarchy. The fair value approximates carrying value as the imputed interest rate is considered to approximate a market interest rate. | ||||
The Company calculates the fair value of its derivative liabilities using various models which are all Level 3 inputs. The fair value of the derivative warrant liability (described in Note 6) is calculated using the Binomial Lattice model, and the fair value of the derivative liability - convertible notes (described in Note 8) is calculated using a model which incorporates estimated probabilities and inputs calculated by both the Binomial Lattice model and present values. The change in fair value of the derivative liabilities is classified in other income (expense) in the consolidated statement of operations. The Company generally does not use derivative financial instruments to hedge exposures to cash flow, market or foreign currency risks. | ||||
There has been no change in the valuation technique used for the derivative warrant liability since its inception. The valuation technique for the derivative liability – convertible debt was adopted upon its inception, in the third quarter of 2013. The Company does not have any non-financial assets or liabilities that it measures at fair value. During the years ended December 31, 2013 and 2012, there were no transfers of assets or liabilities between levels. | ||||
Per share amounts - Basic earnings (loss) per share is computed by dividing net income (loss) by the weighted average number of common shares outstanding. In computing diluted earnings per share, the weighted average number of shares outstanding is adjusted to reflect the effect of potentially dilutive securities. Potentially dilutive shares, such as stock options and warrants, are excluded from the calculation when their inclusion would be anti-dilutive, such as when the exercise price of the instrument exceeds the fair market value of the Company’s common stock and when a net loss is reported. The dilutive effect of convertible debt securities is reflected in the diluted earnings (loss) per share calculation using the if-converted method. Conversion of the debt securities is not assumed for purposes of calculating diluted earnings (loss) per share if the effect is anti-dilutive. At December 31, 2013 and 2012, 36,751,266 and 26,184,390 stock options, warrants and common shares issuable upon the conversion of notes were outstanding, respectively, but were not considered in the computation of diluted earnings per share as their inclusion would be anti-dilutive. | ||||
Stock-based compensation - Stock-based compensation awards are recognized in the consolidated financial statements based on the grant date fair value of the award which is estimated using the Binomial Lattice option pricing model. The Company believes that this model provides the best estimate of fair value due to its ability to incorporate inputs that change over time, such as volatility and interest rates, and to allow for the actual exercise behavior of option holders. The compensation cost is recognized over the requisite service period which is generally equal to the vesting period. Upon exercise, shares issued will be newly issued shares from authorized common stock. | ||||
The fair value of performance-based stock option grants is determined on their grant date through the use of the Binomial Lattice option pricing model. The total value of the award is recognized over the requisite service period only if management has determined that achievement of the performance condition is probable. The requisite service period is based on management’s estimate of when the performance condition will be met. Changes in the requisite service period or the estimated probability of achievement can materially affect the amount of stock-based compensation recognized in the financial statements. | ||||
The Company accounts for stock options issued to non-employees based on the estimated fair value of the awards using the Binomial Lattice option pricing model. The measurement of stock-based compensation to non-employees is subject to periodic adjustments as the underlying equity instruments vest, and the resulting change in value, if any, is recognized in the Company’s consolidated statements of operations during the period the related services are rendered. | ||||
Income taxes - The Company follows the liability method of accounting for income taxes. This method recognizes certain temporary differences between the financial reporting basis of liabilities and assets and the related income tax basis for such liabilities and assets. This method generates either a net deferred income tax liability or asset as measured by the statutory tax rates in effect. The effect of a change in tax rates is recognized in operations in the period that includes the enactment date. The Company records a valuation allowance against any portion of those deferred income tax assets when it believes, based on the weight of available evidence, it is more likely than not that some portion or all of the deferred income tax asset will not be realized. | ||||
For acquired properties that do not constitute a business, a deferred income tax liability is recorded on GAAP basis over income tax basis using statutory federal and state rates. The resulting estimated future income tax liability associated with the temporary difference between the acquisition consideration and the tax basis is computed in accordance with Accounting Standards Codification (“ASC”) 740-10-25-51, Acquired Temporary Differences in Certain Purchase Transactions that are Not Accounted for as Business Combinations, and is reflected as an increase to the total purchase price which is then applied to the underlying acquired assets in the absence of there being a goodwill component associated with the acquisition transactions. | ||||
Recent accounting standards - From time to time, new accounting pronouncements are issued by the Financial Accounting Standards Board (“FASB”) that are adopted by the Company as of the specified effective date. Unless otherwise discussed, management believes that the impact of recently issued standards did not or will not have a material impact on the Company’s consolidated financial statements upon adoption. | ||||
In July 2013, the FASB issued ASU No. 2013-11, Presentation of an Unrecognized Tax Benefit When a Net Operating Loss Carryforward, a Similar Tax Loss, or a Tax Credit Carryforward Exists (“ASU 2013-11”), which provides guidance on the presentation of unrecognized tax benefits when net operating loss carryforwards, similar tax losses, or tax credit carryforwards exist. The amendments in this update are effective for fiscal years (and interim periods within those years) beginning after December 15, 2013. Early adoption is permitted. The amendments should be applied prospectively to all unrecognized tax benefits that exist at the effective date. Retrospective application is permitted. The Company does not expect ASU 2013-11 to have a material effect on its financial condition, results of operation, or cash flows. | ||||
PROPERTY_AND_EQUIPMENT
PROPERTY AND EQUIPMENT | 12 Months Ended | |||||||||||||||||||
Dec. 31, 2013 | ||||||||||||||||||||
PROPERTY AND EQUIPMENT [Abstract] | ' | |||||||||||||||||||
PROPERTY AND EQUIPMENT | ' | |||||||||||||||||||
2 | PROPERTY AND EQUIPMENT | |||||||||||||||||||
Property and equipment consisted of the following: | ||||||||||||||||||||
December 31, 2013 | December 31, 2012 | |||||||||||||||||||
Accumulated | Net Book | Accumulated | Net Book | |||||||||||||||||
Cost | Depreciation | Value | Cost | Depreciation | Value | |||||||||||||||
Furniture and fixtures | $ | 38,255 | $ | -35,759 | $ | 2,496 | $ | 38,255 | $ | -32,055 | $ | 6,200 | ||||||||
Lab equipment | 249,061 | -240,258 | 8,803 | 249,061 | -190,446 | 58,615 | ||||||||||||||
Computers and equipment | 91,002 | -67,775 | 23,227 | 86,635 | -57,836 | 28,799 | ||||||||||||||
Income property | 309,750 | -18,311 | 291,439 | 309,750 | -15,664 | 294,086 | ||||||||||||||
Vehicles | 47,675 | -44,758 | 2,917 | 44,175 | -44,175 | - | ||||||||||||||
Slag conveyance equipment | 300,916 | -230,124 | 70,792 | 300,916 | -157,114 | 143,802 | ||||||||||||||
Demo module building | 6,630,063 | -3,200,854 | 3,429,209 | 6,630,063 | -2,537,848 | 4,092,215 | ||||||||||||||
Grinding circuit | 913,678 | -1,666 | 912,012 | 863,678 | - | 863,678 | ||||||||||||||
Extraction circuit | 898,909 | -89,891 | 809,018 | 879,962 | - | 879,962 | ||||||||||||||
Leaching and filtration | 1,300,618 | -780,371 | 520,247 | 1,300,618 | -520,247 | 780,371 | ||||||||||||||
Fero-silicate storage | 4,326 | -1,298 | 3,028 | 4,326 | -865 | 3,461 | ||||||||||||||
Electrowinning building | 1,492,853 | -447,856 | 1,044,997 | 1,492,853 | -298,571 | 1,194,282 | ||||||||||||||
Site improvements | 1,651,143 | -467,306 | 1,183,837 | 1,534,856 | -350,554 | 1,184,302 | ||||||||||||||
Site equipment | 360,454 | -309,051 | 51,403 | 353,503 | -269,314 | 84,189 | ||||||||||||||
Construction in progress | 1,102,014 | - | 1,102,014 | 1,102,014 | - | 1,102,014 | ||||||||||||||
$ | 15,390,717 | $ | -5,935,278 | $ | 9,455,439 | $ | 15,190,665 | $ | -4,474,689 | $ | 10,715,976 | |||||||||
Depreciation expense was $1,460,589 and $1,371,548 for the years ended December 31, 2013 and 2012, respectively. At December 31, 2013, construction in progress included the gold, copper, and zinc extraction circuits and electrowinning equipment at the Clarkdale Slag Project. | ||||||||||||||||||||
CLARKDALE_SLAG_PROJECT
CLARKDALE SLAG PROJECT | 12 Months Ended | |||||||
Dec. 31, 2013 | ||||||||
Business Combinations [Abstract] | ' | |||||||
CLARKDALE SLAG PROJECT | ' | |||||||
3 | CLARKDALE SLAG PROJECT | |||||||
On February 15, 2007, the Company completed a merger with Transylvania International, Inc. (“TI”) which provided the Company with 100% ownership of the Clarkdale Slag Project in Clarkdale, Arizona, through its wholly owned subsidiary CML. This acquisition superseded the joint venture option agreement to acquire a 50% ownership interest as a joint venture partner pursuant to Nanominerals Corp. (“NMC”) interest in a joint venture agreement (“JV Agreement”) dated May 20, 2005 between NMC and VRIC. One of the Company’s former directors was an affiliate of VRIC. The former director joined the Company’s board subsequent to the acquisition. | ||||||||
The Company also formed a second wholly owned subsidiary, CMC, for the purpose of developing a processing plant at the Clarkdale Slag Project. | ||||||||
The Company believes the acquisition of the Clarkdale Slag Project was beneficial because it provides for 100% ownership of the properties, thereby eliminating the need to finance and further develop the projects in a joint venture environment. | ||||||||
This merger was treated as a statutory merger for tax purposes whereby CML was the surviving merger entity. | ||||||||
The Company applied Emerging Issues Task Force (“EITF”) 98-03 (which has been superseded by ASC 805-10-25-1) with regard to the acquisition of the Clarkdale Slag Project. The Company determined that the acquisition of the Clarkdale Slag Project did not constitute an acquisition of a business as that term is defined in ASC 805-10-55-4, and the Company recorded the acquisition as a purchase of assets. | ||||||||
The $130.3 million purchase price was comprised of a combination of the cash paid, the deferred tax liability assumed in connection with the acquisition, and the fair value of our common shares issued, based on the closing market price of our common stock, using the average of the high and low prices of our common stock on the closing date of the acquisition. The Clarkdale Slag Project is without known reserves and the project is exploratory in nature in accordance with Industry Guides promulgated by the Commission, Guide 7 paragraph (a)(4)(i). As required by ASC 930-805-30, Mining – Business Combinations – Initial Recognition, and ASC 740-10-25-49-55, Income Taxes – Overall – Recognition – Acquired Temporary Differences in Certain Purchase Transactions that are Not Accounted for as Business Combinations, the Company then allocated the purchase price among the assets as follows (and also further described in this Note 3 to the financial statements): $5,916,150 of the purchase price was allocated to the slag pile site, $3,300,000 to the remaining land acquired, and $309,750 to income property and improvements. The remaining $120,766,877 of the purchase price was allocated to the Clarkdale Slag Project, which has been capitalized as a tangible asset in accordance with ASC 805-20-55-37, Use Rights. Upon commencement of commercial production, the asset will be amortized using the unit-of-production method over the life of the Clarkdale Slag Project. | ||||||||
Closing of the TI acquisition occurred on February 15, 2007, (the “Closing Date”) and was subject to, among other things, the following terms and conditions: | ||||||||
a) | The Company paid $200,000 in cash to VRIC on the execution of a letter agreement; | |||||||
b) | The Company paid $9,900,000 in cash to VRIC on the Closing Date; | |||||||
c) | The Company issued 16,825,000 shares of its common stock, valued at $3.975 per share using the average of the high and low price on the Closing Date, to the designates of VRIC on the closing pursuant to Section 4(2) and Regulation D of the Securities Act of 1933; | |||||||
In addition to the cash and equity consideration paid and issued upon closing, the acquisition agreement contains the following payment terms and conditions: | ||||||||
d) | The Company agreed to continue to pay VRIC $30,000 per month until the earlier of: (i) the date that is 90 days after receipt of a bankable feasibility study by the Company (the “Project Funding Date”), or (ii) the tenth anniversary of the date of the execution of the letter agreement; | |||||||
The acquisition agreement also contains the following additional contingent payment terms which are based on the Project Funding Date as defined in the agreement: | ||||||||
e) | The Company has agreed to pay VRIC $6,400,000 on the Project Funding Date; | |||||||
f) | The Company has agreed to pay VRIC a minimum annual royalty of $500,000, commencing on the Project Funding Date (the “Advance Royalty”), and an additional royalty consisting of 2.5% of the net smelter returns (“NSR”) on any and all proceeds of production from the Clarkdale Slag Project (the “Project Royalty”). The Advance Royalty remains payable until the first to occur of: (i) the end of the first calendar year in which the Project Royalty equals or exceeds $500,000 or (ii) February 15, 2017. In any calendar year in which the Advance Royalty remains payable, the combined Advance Royalty and Project Royalty will not exceed $500,000 in any calendar year; and | |||||||
g) | The Company has agreed to pay VRIC an additional amount of $3,500,000 from the net cash flow of the Clarkdale Slag Project. The Company has accounted for this as a contingent payment and upon meeting the contingency requirements, the purchase price of the Clarkdale Slag Project will be adjusted to reflect the additional consideration. | |||||||
Under the original JV Agreement, the Company agreed to pay NMC a 5% royalty on NSR payable from the Company’s 50% joint venture interest in the production from the Clarkdale Slag Project. Upon the assignment to the Company of VRIC’s 50% interest in the Joint Venture Agreement in connection with the reorganization with TI, the Company continues to have an obligation to pay NMC a royalty consisting of 2.5% of the NSR on any and all proceeds of production from the Clarkdale Slag Project. On July 25, 2011, the Company agreed to pay NMC an advance royalty payment of $15,000 per month effective January 1, 2011. The advance royalty payment is more fully discussed in Note 15. | ||||||||
The following table reflects the recorded purchase consideration for the Clarkdale Slag Project: | ||||||||
Purchase price: | ||||||||
Cash payments | $ | 10,100,000 | ||||||
Joint venture option acquired in 2005 for cash | 690,000 | |||||||
Warrants issued for joint venture option | 1,918,481 | |||||||
Common stock issued | 66,879,375 | |||||||
Monthly payments, current portion | 167,827 | |||||||
Monthly payments, net of current portion | 2,333,360 | |||||||
Acquisition costs | 127,000 | |||||||
Total purchase price | 82,216,043 | |||||||
Net deferred income tax liability assumed - Clarkdale Slag Project | 48,076,734 | |||||||
Total | $ | 130,292,777 | ||||||
The following table reflects the components of the Clarkdale Slag Project: | ||||||||
Allocation of acquisition cost: | ||||||||
Clarkdale Slag Project (including net deferred income tax liability assumed of $48,076,734) | $ | 120,766,877 | ||||||
Land - smelter site and slag pile | 5,916,150 | |||||||
Land | 3,300,000 | |||||||
Income property and improvements | 309,750 | |||||||
Total | $ | 130,292,777 | ||||||
The Company agreed to continue to pay VRIC $30,000 per month until the earlier of the Project Funding Date or the tenth anniversary of the date of the execution of the letter agreement. As of December 31, 2013 and 2012, the cumulative interest cost capitalized and included in the Slag Project was $992,934 and $900,853, respectively. | ||||||||
The following table sets forth the change in the Slag Project for the years ended December 31: | ||||||||
2013 | 2012 | |||||||
Slag Pile, beginning balance | $ | 121,667,730 | $ | 121,555,117 | ||||
Capitalized interest costs | 92,081 | 112,613 | ||||||
Slag Pile, ending balance | $ | 121,759,811 | $ | 121,667,730 | ||||
MINERAL_PROPERTIES_MINING_CLAI
MINERAL PROPERTIES - MINING CLAIMS | 12 Months Ended | ||
Dec. 31, 2013 | |||
MINERAL PROPERTIES - MINING CLAIMS [Abstract] | ' | ||
MINERAL PROPERTIES - MINING CLAIMS | ' | ||
4 | MINERAL PROPERTIES - MINING CLAIMS | ||
As of December 31, 2013, mining claims consisted of 3,200 acres located near Searchlight, Nevada. The 3,200 acre property is staked as twenty 160 acre claims, most of which are also double-staked as 142 twenty acre claims. At December 31, 2013 and 2012, the mineral properties balance was $16,947,419. | |||
The mining claims were acquired with issuance of 5,600,000 shares of the Company’s common stock over a three year period ending in June 2008. On June 25, 2008, the Company issued the final tranche of shares and received the title to the mining claims in consideration of the satisfaction of the option agreement. | |||
The mining claims were capitalized as tangible assets. Upon commencement of commercial production, the claims will be amortized using the unit-of-production method. If the Company does not continue with exploration after the completion of the feasibility study, the claims will be expensed at that time. | |||
In connection with the Company’s Plan of Operations for the Searchlight Gold Project, the Company has a bond with the Bureau of Land Management (“BLM”) amounting to $11,466 and $7,802 as of December 31, 2013 and 2012, respectively. | |||
ACCOUNTS_PAYABLE_AND_ACCRUED_L
ACCOUNTS PAYABLE AND ACCRUED LIABILITIES | 12 Months Ended | |||||||
Dec. 31, 2013 | ||||||||
ACCOUNTS PAYABLE AND ACCRUED LIABILITIES [Abstract] | ' | |||||||
ACCOUNTS PAYABLE AND ACCRUED LIABILITIES | ' | |||||||
5 | ACCOUNTS PAYABLE AND ACCRUED LIABILITIES | |||||||
Accounts payable and accrued liabilities at December 31, 2013 and 2012 consisted of the following: | ||||||||
2013 | 2012 | |||||||
Trade accounts payable | $ | 70,272 | $ | 252,782 | ||||
Accrued compensation and related taxes | 45,469 | 61,896 | ||||||
Accrued interest | 79,800 | - | ||||||
$ | 195,541 | $ | 314,678 | |||||
Accounts payable – related party are discussed in Note 18. | ||||||||
DERIVATIVE_WARRANT_LIABILITY
DERIVATIVE WARRANT LIABILITY | 12 Months Ended | |||||||
Dec. 31, 2013 | ||||||||
Derivative Instruments and Hedging Activities Disclosure [Abstract] | ' | |||||||
DERIVATIVE WARRANT LIABILITY | ' | |||||||
6 | DERIVATIVE WARRANT LIABILITY | |||||||
On November 12, 2009, the Company issued an aggregate of 12,078,596 units of securities to certain investors, consisting of 12,078,596 shares of common stock and warrants to purchase an additional 6,039,298 shares of common stock, in a private placement to various accredited investors pursuant to a Securities Purchase Agreement. The Company paid commissions to agents in connection with the private placement in the amount of approximately $1,056,877 and warrants to purchase up to 301,965 shares of common stock. | ||||||||
The warrants issued to the purchasers in the private placement became exercisable on November 12, 2009. The warrants had an initial expiration date of November 12, 2012 and an initial exercise price of $1.85 per share. The warrants have anti-dilution provisions, including provisions for the adjustment to the exercise price and to the number of warrants granted if the Company issues common stock or common stock equivalents at a price less than the exercise price. | ||||||||
The Company determined that the warrants were not afforded equity classification because the warrants are not freestanding and are not considered to be indexed to the Company’s own stock due to the anti-dilution provisions. In addition, the Company determined that the anti-dilution provisions shield the warrant holders from the dilutive effects of subsequent security issuances and therefore the economic characteristics and risks of the warrants are not clearly and closely related to the Company’s common stock. Accordingly, the warrants are treated as a derivative liability and are carried at fair value. | ||||||||
On November 1, 2012 and on October 25, 2013, the Company’s Board of Directors unilaterally determined, without any negotiations with the warrant holders to amend these private placement warrants. The expiration date of the warrants was extended from November 12, 2012 to November 12, 2013 and again from November 12, 2013 to November 12, 2014. In all other respects, the terms and conditions of the warrants remained the same. With respect to the extensions, the Company did not recognize any additional expense as the fair values of the warrants were calculated at zero using the Binomial Lattice model with the following assumptions: | ||||||||
October 25, 2013 | November 1, 2012 | |||||||
Risk-free interest rate | 0.11% | 0.19% | ||||||
Expected volatility | 114.79% | 94.94% | ||||||
Expected life (years) | 1 | 1 | ||||||
As of December 31, 2013, the cumulative adjustment to the warrants was as follows: (i) the exercise price was adjusted from $1.85 per share to $1.62 per share, and (ii) the number of warrants was increased by 817,285 warrants. In connection with the financing completed with Luxor on June 7, 2012, Luxor Capital Partners, L.P. and its affiliates (“Luxor”) waived its right to the anti-dilution adjustments on 4,252,883 warrants it holds from the 2009 private placement. Future anti-dilution adjustments were not waived. The adjusted exercise price of the Luxor 2009 private placements warrants is $1.65 per share. 269,956 of the warrants originally held by Luxor have been transferred to another entity. Additional warrants issued for each year ended December 31, 2013 and 2012 as a result of these adjustments are presented in Note 10. | ||||||||
The total warrants accounted for as a derivative liability was 7,158,548 and 6,685,825 as of December 31, 2013 and 2012, respectively. | ||||||||
The following table sets forth the changes in the fair value of derivative liability for the years ended December 31: | ||||||||
2013 | 2012 | |||||||
Beginning balance | $ | -274,706 | $ | - | ||||
Adjustment to warrants | - | -734 | ||||||
Change in fair value | 193,132 | -273,972 | ||||||
Ending balance | $ | -81,574 | $ | -274,706 | ||||
The Company estimates the fair value of the derivative liabilities by using the Binomial Lattice pricing-model, with the following assumptions used for the years ended December 31: | ||||||||
2013 | 2012 | |||||||
Dividend yield | - | - | ||||||
Expected volatility | 90.98% - 121.32% | 31.48% - 90.98% | ||||||
Risk-free interest rate | 0.01% - 0.13% | 0.08% - 0.16% | ||||||
Expected life (years) | 0.10 - 0.90 | 0.17 - 0.87 | ||||||
The expected volatility is based on the historical volatility levels on the Company’s common stock. The risk-free interest rate is based on the implied yield available on US Treasury zero-coupon issues over equivalent lives of the options. The expected life is impacted by all of the underlying assumptions and calibration of the Company’s model. Significant increases or decreases in inputs would result in a significantly lower or higher fair value measurement. | ||||||||
CONVERTIBLE_NOTES
CONVERTIBLE NOTES | 12 Months Ended | ||||
Dec. 31, 2013 | |||||
Convertible Debt [Abstract] | ' | ||||
CONVERTIBLE NOTES | ' | ||||
7 | CONVERTIBLE NOTES | ||||
On September 18, 2013, the Company completed a private placement of secured convertible notes (the “Notes”) to certain investors resulting in gross proceeds of $4,000,000. The term of the Notes is five years, but the Notes can be called on the second anniversary date of issuance and every six month period ended thereafter. The Notes bear interest at 7% which is payable semi-annually. The Notes have customary provisions relating to events of default including an increase in the interest rate to 9%.The Notes are secured by a first priority lien on all of the assets of the Company including its subsidiaries. | |||||
The Company has agreed not to incur any additional secured indebtedness or any other indebtedness with a maturity prior to that of the Notes without the written consent of the holders of the majority-in-interest of the Notes. In the event of a change of control of the Company, the Notes will become due and payable at 120% of the principal balance. The holders of the Notes have the right to purchase, pro rata, up to $600,000 of additional separate notes by the first anniversary of the issuance date on the same general terms and conditions as the original Notes. | |||||
The Notes are convertible at any time into shares of common stock at $0.40 per share, subject to certain adjustments. At December 31, 2013, the Notes are convertible into 10,000,000 shares of common stock and the if-converted value equaled the principal amount of the Notes. Certain embedded features in the Notes were required to be bifurcated and accounted for as a single compound derivative and reported at fair value as further discussed in Note 8. | |||||
On the issuance date, the fair value of the compound derivative amounted to $1,261,285 and was recorded as both a derivative liability and a debt discount. The debt discount is being amortized to interest expense over the term of the Notes and the derivative liability is carried at fair value until conversion or maturity. | |||||
The carrying value of the convertible debt, net of discount was comprised of the following at December 31, 2013: | |||||
Convertible notes at face value | $ | 4,000,000 | |||
Unamortized discount | -1,201,494 | ||||
Convertible notes, net of discount | $ | 2,798,506 | |||
The Company incurred $126,446 of financing fees related to the Notes. Such amounts were capitalized and recorded as deferred financing fees and are being amortized to interest expense over the term of the Notes. The effective interest rate on the Notes is 15.4% which included the following components and amounts for the year ended December 31, 2013: | |||||
Interest rate at 7% | $ | 79,800 | |||
Amortization of debt discount | 59,791 | ||||
Amortization of deferred financing fees | 6,210 | ||||
Total interest expense on convertible notes | $ | 145,801 | |||
DERIVATIVE_LIABILITY_CONVERTIB
DERIVATIVE LIABILITY - CONVERTIBLE NOTES | 12 Months Ended | ||||
Dec. 31, 2013 | |||||
Derivative Liability And Convertible Debt [Abstract] | ' | ||||
DERIVATIVE LIABILITY - CONVERTIBLE NOTES | ' | ||||
8 | DERIVATIVE LIABILITY – CONVERTIBLE NOTES | ||||
As further discussed in Note 7, on September 18, 2013, the Company completed a private placement of Notes to certain investors resulting in gross proceeds of $4,000,000. The Notes are convertible at any time into shares of common stock at $0.40 per share. | |||||
The Notes have several embedded conversion and redemption features as well as the provision for additional investments. The Company determined that two of the features were required to be bifurcated and accounted for under derivative accounting as follows: | |||||
1 | The embedded conversion feature includes a provision for the adjustment to the conversion price if the Company issues common stock or common stock equivalents at a price less than the exercise price. Derivative accounting was required for this feature due to this anti-dilution provision. | ||||
2 | One embedded redemption feature requires the Company to pay 120% of the principal balance due upon a change of control. Derivative accounting was required for this feature as the debt involves a substantial discount, the option is only contingently exercisable and its exercise is not indexed to either an interest rate or credit risk. | ||||
These two embedded features have been accounted for together as a single compound derivative. The Company estimated the fair value of the compound derivative using a model with estimated probabilities and inputs calculated by the Binomial Lattice model and present values. The assumptions included in the calculations are highly subjective and subject to interpretation. Assumptions used for the year ended December 31, 2013 included redemption and conversion estimates/behaviors, estimates regarding future anti-dilutive financing agreements and the following other significant estimates: | |||||
Expected volatility | 93.11% - 101.74% | ||||
Risk-free interest rate | 1.39% - 1.75% | ||||
Expected life (years) | 4.25 - 4.75 | ||||
The expected volatility is based on the historical volatility levels on the Company’s common stock. The risk-free interest rate is based on the implied yield available on US Treasury zero-coupon issues over equivalent lives of the options. The expected life is impacted by all of the underlying assumptions and calibration of the Company’s model. Significant increases or decreases in inputs would result in a significantly lower or higher fair value measurement. | |||||
The following table sets forth the changes in the fair value of the derivative liability for the year ended December 31, 2013: | |||||
Beginning balance | $ | - | |||
Issuance of convertible debt | 1,261,285 | ||||
Change in fair value | -505,576 | ||||
Ending balance | $ | 755,709 | |||
VRIC_PAYABLE_RELATED_PARTY
VRIC PAYABLE - RELATED PARTY | 12 Months Ended | ||||
Dec. 31, 2013 | |||||
Other Liabilities Disclosure [Abstract] | ' | ||||
VRIC PAYABLE - RELATED PARTY | ' | ||||
9 | VRIC PAYABLE - RELATED PARTY | ||||
Pursuant to the Clarkdale acquisition agreement, the Company agreed to pay VRIC $30,000 per month until the Project Funding Date. Mr. Harry Crockett, one of the Company’s former directors, was an affiliate of VRIC. Mr. Crockett joined the Board of Directors subsequent to the acquisition. Mr. Crockett passed away in 2010. | |||||
The Company has recorded a liability for this commitment using imputed interest based on its best estimate of its incremental borrowing rate. The effective interest rate used was 8.00%, resulting in an initial present value of $2,501,187 and a debt discount of $1,128,813. The discount is being amortized over the expected term of the debt using the effective interest method. The expected term used was 10 years which represents the maximum term the VRIC liability is payable if the Company does not obtain project funding. Interest costs related to this obligation were $92,081 and $112,614 for the years ended December 31, 2013 and 2012, respectively. Interest costs incurred have been capitalized and included in the Slag Project. | |||||
The following table represents future minimum payments on the VRIC payable for each of the years ending December 31, | |||||
2014 | $ | 360,000 | |||
2015 | 360,000 | ||||
2016 | 360,000 | ||||
2017 | 60,000 | ||||
Thereafter | - | ||||
Total minimum payments | 1,140,000 | ||||
Less: amount representing interest | -135,879 | ||||
Present value of minimum payments | 1,004,121 | ||||
VRIC payable, current portion | 290,156 | ||||
VRIC payable, net of current portion | $ | 713,965 | |||
The acquisition agreement also contains payment terms which are based on the Project Funding Date as defined in the agreement. The terms and conditions of these payments are discussed in more detail in Notes 3 and 15. | |||||
STOCKHOLDERS_EQUITY
STOCKHOLDERS' EQUITY | 12 Months Ended | ||||||||
Dec. 31, 2013 | |||||||||
STOCKHOLDERS' EQUITY [Abstract] | ' | ||||||||
STOCKHOLDERS' EQUITY | ' | ||||||||
10 | STOCKHOLDERS’ EQUITY | ||||||||
During the year ended December 31, 2013 the Company’s stockholders’ equity activity consisted of the following: | |||||||||
a) | On October 25, 2013, the Company’s Board of Directors unilaterally determined, without any negotiations with the warrant holders, to amend the private placement warrants in connection with the February 23, 2007, March 22, 2007, December 26, 2007, February 7, 2008 and November 12, 2009 private placement offerings. The expiration date of the warrants was extended from November 12, 2013 to November 12, 2014. In all other respects, the terms and conditions of the warrants remain the same. The Company calculated the fair value of the warrants at zero using the Binomial Lattice model with the following assumptions: | ||||||||
Risk-free interest rate | 0.11 | % | |||||||
Expected volatility | 114.79 | % | |||||||
Expected life (years) | 1 | ||||||||
During the year ended December 31, 2012, the Company’s stockholders’ equity activity consisted of the following: | |||||||||
a) | On November 1, 2012, the Company’s Board of Directors unilaterally determined, without any negotiations with the warrant holders, to amend the private placement warrants in connection with the February 23, 2007, March 22, 2007, December 26, 2007, February 7, 2008 and November 12, 2009 private placement offerings. The expiration date of the warrants was extended from November 12, 2012 to November 12, 2013. In all other respects, the terms and conditions of the warrants remain the same. The Company calculated the fair value of the warrants at zero using the Binomial Lattice model with the following assumptions: | ||||||||
Risk-free interest rate | 0.19 | % | |||||||
Expected volatility | 94.94 | % | |||||||
Expected life (years) | 1 | ||||||||
b) | On June 7, 2012, the Company issued 4,500,000 shares of common stock in a private placement with Luxor at a price of $0.90 per share for gross proceeds of $4,050,000. Total fees related to this issuance were $2,040. In connection with the offering, the Company entered into a Securities Purchase Agreement (“SPA”) and a Registration Rights Agreement (“RRA”) with the purchasers. The RRA is discussed in Note 15. The SPA contains representations and warranties of the Company and the purchasers that are customary for transactions of the type contemplated in connection with the offering. | ||||||||
c) | On May 24, 2012, the Company issued 250,000 shares of common stock from the exercise of stock warrants resulting in cash proceeds of $93,750. The stock options had an exercise price of $0.375 and an expiration date of June 15, 2015. | ||||||||
During the year ended December 31, 2011, the Company’s stockholders’ equity activity consisted of the following: | |||||||||
Common stock Purchase Agreement - The Company entered into a Purchase Agreement with Seaside 88 LP (“Seaside”) on December 22, 2010 for the sale of 3,000,000 shares of common stock, followed by the sale of up to 1,000,000 shares of common stock on approximately the 15th day of the month for ten consecutive months. The final closing was completed on December 15, 2011. The Company issued a total of 11,000,000 shares under the Purchase Agreement. | |||||||||
a) | On December 15, 2011, the Company issued 1,000,000 shares of common stock to Seaside at a price of $0.56092 per share under the Purchase Agreement for gross proceeds of $560,920. Total fees related to this issuance were $2,500. | ||||||||
b) | On November 15, 2011, the Company issued 1,000,000 shares of common stock to Seaside at a price of $0.67958 per share under the Purchase Agreement for gross proceeds of $679,575. Total fees related to this issuance were $2,500. | ||||||||
c) | On October 15, 2011, the Company issued 1,000,000 shares of common stock to Seaside at a price of $0.92803 per share under the Purchase Agreement for gross proceeds of $928,030. Total fees related to this issuance were $2,500. | ||||||||
d) | On September 15, 2011, the Company issued 1,000,000 shares of common stock to Seaside at a price of $0.619395 per share under the Purchase Agreement for gross proceeds of $619,395. Total fees related to this issuance were $2,500. | ||||||||
e) | On April 15, 2011, the Company issued 1,000,000 shares of common stock to Seaside at a price of $0.44846 per share under the Purchase Agreement for gross proceeds of $448,460. Total fees related to this issuance were $2,500. | ||||||||
f) | On March 15, 2011, the Company issued 1,000,000 shares of common stock to Seaside at a price of $0.47694 per share under the Purchase Agreement for gross proceeds of $476,935. Total fees related to this issuance were $2,500. | ||||||||
g) | On February 15, 2011, the Company issued 1,000,000 shares of common stock to Seaside at a price of $0.49198 per share under the Purchase Agreement for gross proceeds of $491,980. Total fees related to this issuance were $2,500. | ||||||||
h) | On January 18, 2011, the Company issued 1,000,000 shares of common stock to Seaside at a price of $0.661895 per share under the Purchase Agreement for gross proceeds of $661,895. Total fees related to this issuance were $2,500. | ||||||||
During the year ended December 31, 2010, the Company’s stockholders’ equity activity consisted of the following: | |||||||||
a) | On December 23, 2010, the Company issued 3,000,000 shares of common stock to Seaside under the Purchase Agreement for gross proceeds of $1,593,750. Total fees related to this issuance were $79,690. | ||||||||
b) | In November 2010, the Company issued 1,136,567 shares of common stock to an officer, a former officer and a director from the exercise of stock options resulting in cash proceeds of $500,090. The stock options had an exercise price of $0.44 and an expiration date of November 21, 2010. | ||||||||
c) | In October 2010, the Company issued 63,433 shares of common stock to a director and an officer from the exercise of stock options resulting in cash proceeds of $27,910. The stock options had an exercise price of $0.44 and an expiration date of November 21, 2010. | ||||||||
d) | On September 30, 2010, the Company awarded and issued 9,231 shares of common stock to a non-officer director pursuant to its directors’ compensation policy. The share award was priced at $0.975 per share and was recorded as directors’ compensation expense of $9,000. | ||||||||
e) | On June 30, 2010, the Company awarded and issued 12,857 shares of common stock to each of its two non-officer directors pursuant to its directors’ compensation policy. The share awards were priced at $0.70 per share and were recorded as directors’ compensation expense of $18,000. | ||||||||
f) | On March 31, 2010, the Company awarded and issued 7,500 shares of common stock to each of its two non-officer directors pursuant to its directors’ compensation policy. The share awards were priced at $1.20 per share and were recorded as directors’ compensation expense of $18,000. | ||||||||
During the year ended December 31, 2009, the Company’s stockholders’ equity activity consisted of the following: | |||||||||
a) | On December 31, 2009, the Company awarded and issued 5,625 shares of common stock to each of its two non-officer directors pursuant to its directors’ compensation policy. The share award was priced at $1.60 per share and has been recorded as directors’ compensation expense of $18,000. | ||||||||
b) | On November 16, 2009, the Company issued 100,000 shares of common stock from the exercise of stock options resulting in cash proceeds of $25,000. Options exercised were for 100,000 shares of common stock at $0.25 per share. These stock options were subject to an expiration date of November 23, 2010. | ||||||||
c) | On November 12, 2009, the Company completed a private placement offering for gross proceeds of $15,098,245 to US accredited investors pursuant to Rule 506 of Regulation D promulgated by the Securities Act of 1933. A total of 12,078,596 units were issued at a price of $1.25. Each unit sold consisted of one share of the Company’s common stock and one-half of one share purchase warrant. Each whole share purchase warrant entitles the holder to purchase one additional share of the Company’s common stock at an originally adjusted price of $1.85 per share for a period of three years from the date of issuance. Due to anti-dilution provisions the exercise price of the warrants has been decreased and the number of warrants has been increased as a result of subsequent financing transactions. These adjustments are further discussed Note 6. | ||||||||
Under certain specified circumstances, the warrants may be exercised by means of a “cashless exercise”. | |||||||||
If at any time after one year from the closing there is no effective Registration Statement registering, or no current prospectus available for, the resale of the warrant shares by the Holder, then this warrant may also be exercised at such time by means of a “cashless exercise” in which the Holder shall be entitled to receive a certificate for the number of Warrant Shares equal to the quotient obtained by dividing [(A-B) (X)] by (A), where: | |||||||||
(A) =he VWAP on the trading day immediately preceding the date of such election; | |||||||||
(B) =he exercise price of this warrant, as adjusted; and | |||||||||
(X) =he number of warrant shares issuable upon exercise of this warrant in accordance with the terms of this warrant by means of a cash exercise rather than a cashless exercise. | |||||||||
The warrants contain non-customary anti-dilution provisions and are therefore not afforded equity classification. Accordingly, the warrants are treated as a derivative liability and are carried at fair value as further discussed in Note 6. | |||||||||
In connection with this offering, the Company paid commissions to agents in the amount of $1,056,877 and issued warrants to purchase up to 301,965 shares of common stock. Additional costs related to this financing issuance were $290,196. | |||||||||
On November 12, 2009, the Company’s Board of Directors unilaterally determined, without any negotiations with the warrant holders, to amend the private placement warrants from the February 23, 2007, March 22, 2007, December 26, 2007 and February 7, 2008 private placement offerings. The following amendments to the private placement warrants were adopted: (i) the expiration date of the private placement warrants has been extended to November 12, 2012 and (ii) the exercise price of the private placement warrants has been decreased to $1.85 per share. In all other respects, the terms and conditions of the warrants remain the same. | |||||||||
The warrant modification resulted in an increase in the value of the warrants of $3,170,285 which was categorized as warrant modification expense and included in general and administrative expense. The increase in warrant value was calculated using the Binomial Lattice model with the following assumptions used: | |||||||||
Risk-free interest rate | 1.36 | % | |||||||
Expected volatility | 71.76 | % | |||||||
Expected life (years) | 2.75 | ||||||||
d) | On September 30, 2009, the Company awarded and issued 4,945 shares of common stock to each of its two non-officer directors pursuant to its directors’ compensation policy. The share award was priced at $1.82 per share and has been recorded as directors’ compensation expense of $18,000. | ||||||||
e) | On July 29, 2009, the Company issued 100,000 shares of common stock from the exercise of stock options resulting in cash proceeds of $25,000. Options exercised were for 100,000 shares of common stock at $0.25 per share. These stock options were subject to an expiration date of November 23, 2010. | ||||||||
f) | On June 30, 2009, the Company awarded and issued 3,689 shares of common stock to each of its two non-officer directors pursuant to its directors’ compensation policy. The share award was priced at $2.44 per share and has been recorded as directors’ compensation expense of $18,000. | ||||||||
g) | On April 30, 2009, the Company’s Board of Directors unilaterally determined, without any negotiations with the warrant holders, to amend the private placement warrants from the February 23, 2007 and March 22, 2007 private placement offerings. The call provisions in the private placement warrants were restated so that the terms of such amended and restated call provisions are identical to the terms of the private placement warrants on their original dates of issuance. As a result: (i) all of the investor warrants are callable for cancellation by the Company if the volume weighted average price of the common stock exceeds $6.50 per share for 20 consecutive trading days and there is an effective registration statement registering the shares of common stock underlying the investor warrants at the time of the call of the investor warrants, (ii) the broker warrants will not have a call provision, and (iii) the previously adopted amendments with respect to the extension of the expiration dates and the reduction of the exercise price for the private placement warrants will remain unchanged. | ||||||||
h) | On April 14, 2009, the Company issued 100,000 shares of common stock from the exercise of stock options resulting in cash proceeds of $25,000. Options exercised were for 100,000 shares of common stock at $0.25 per share. These stock options were subject to an expiration date of November 23, 2010. | ||||||||
i) | On March 31, 2009, the Company awarded and issued 3,284 shares of common stock to each of its two non-officer directors pursuant to its directors’ compensation policy. The share award was priced at $2.74 per share and has been recorded as directors’ compensation expense of $18,000. | ||||||||
j) | On January 30, 2009, the Company issued 100,000 shares of common stock from the exercise of stock options resulting in cash proceeds of $25,000. Options exercised were for 100,000 shares of common stock at $0.25 per share. These stock options were subject to an expiration date of November 23, 2010. | ||||||||
k) | On January 12, 2009, the Company issued 400,000 shares of common stock from the exercise of stock options resulting in cash proceeds of $100,000. Options exercised were for 400,000 shares of common stock at $0.25 per share. These stock options were subject to an expiration date of February 16, 2009. | ||||||||
During the year ended December 31, 2008, the Company’s stockholders’ equity activity consisted of the following: | |||||||||
a) | On December 31, 2008, the Company awarded and issued 3,673 shares of common stock to each of its two non-officer directors pursuant to its directors’ compensation policy. The share award was priced at $2.45 per share and has been recorded as directors’ compensation expense of $18,000. | ||||||||
b) | On December 29, 2008, the Company amended the private placement warrants from the February 23, 2007 and March 22, 2007 private placement offerings. The following amendments to the private placement warrants were adopted: (i) the expiration date of the private placement warrants has been extended to March 1, 2010, (ii) the exercise price of the private placement warrants has been decreased to $2.40 per share, (iii) the call provision in the investor warrants is now included in the broker warrants, and (iv) the call provision in the private placement warrants has been amended so that all of such private placement warrants callable for cancellation by the Company if the volume weighted average price of the common stock exceeds $4.40 per share for 20 consecutive trading days and there is an effective registration statement registering the shares of common stock underlying the private placement warrants at the time of the call of the private placement warrants. | ||||||||
The warrant modification resulted in an increase in the value of the warrants of $1,826,760 which was categorized as warrant modification expense and included in general and administrative expense. The increase in warrant value was calculated using the Binomial Lattice model with the following assumptions used: | |||||||||
Risk-free interest rate | 0.36 | % | |||||||
Expected volatility | 76.59 | % | |||||||
c) | On September 30, 2008, the Company awarded and issued 5,142 shares of common stock to each of its two non-officer directors pursuant to its directors’ compensation policy. The share award was priced at $1.75 per share and has been recorded as directors’ compensation expense of $18,000. | ||||||||
d) | On August 26, 2008, the Company issued 100,000 shares of common stock from the exercise of nonemployee stock options resulting in cash proceeds of $25,000. Options exercised were for 100,000 shares of common stock at $0.25 per share. These stock options were subject to an expiration date of November 22, 2010. | ||||||||
e) | On June 30, 2008, the Company awarded 4,326 shares of common stock to each of its two non-officer directors pursuant to its directors’ compensation policy. The share award was priced at $2.08 per share and has been recorded as directors’ compensation expense of $18,000. The Company issued the shares on September 30, 2008. | ||||||||
f) | On June 25, 2008, the Company issued 1,400,000 shares to the owners of the Searchlight Claims. The issuance was the final of four required share payments to complete the acquisition of the mining claims totaling 5,600,000 shares. | ||||||||
g) | On June 16, 2008, the Company issued 100,000 shares of common stock from the exercise of nonemployee stock options resulting in cash proceeds of $25,000. Options exercised were for 100,000 shares of common stock at $0.25 per share. These stock options were subject to an expiration date of November 23, 2010. | ||||||||
h) | On May 5, 2008, the Company issued 100,000 shares of common stock from the exercise of nonemployee stock options resulting in cash proceeds of $25,000. Options exercised were for 100,000 shares of common stock at $0.25 per share. These stock options were subject to an expiration date of February 16, 2009. | ||||||||
i) | On March 31, 2008, the Company awarded 2,670 shares of common stock each to each of its two non-officer directors pursuant to its directors’ compensation policy. The share award was priced at $3.37 per share and has been recorded as directors’ compensation expense of $18,000. The Company issued the shares on May 15, 2008. | ||||||||
j) | On February 7, 2008, the Company completed a private placement offering for gross proceeds of $2,620,000 to non-US persons in reliance of Regulation S promulgated under the Securities Act of 1933. A total of 1,637,500 units were issued at a price of $1.60. Each unit sold consisted of one share of the Company’s common stock and one-half of one share purchase warrant. Each whole share purchase warrant entitles the holder to purchase one additional share of the Company’s common stock at a price of $2.40 per share for a period of two years from the date of issuance. A total of 80,000 shares of the Company’s common stock were issued by the Company as commission to agents in connection with the offering. | ||||||||
k) | On February 7, 2008, the Company completed a private placement offering for gross proceeds of $2,630,000 to US accredited investors pursuant to Rule 506 of Regulation D promulgated under the Securities Act of 1933. A total of 1,643,750 units were issued at a price of $1.60. Each unit sold consisted of one share of the Company’s common stock and one-half of one share purchase warrant. Each whole share purchase warrant entitles the holder to purchase one additional share of the Company’s common stock at a price of $2.40 per share for a period of two years from the date of issuance. There was no commission paid or payable to agents in connection with this offering. | ||||||||
l) | On January 30, 2008, the Company received gross proceeds of $2,528,500 by issuing an aggregate of 3,890,000 shares of its common stock on the exercise of warrants issued by the Company in January 2006. Each warrant entitled the holder to purchase one share of the Company’s common stock at a price of $0.65 per share on or before January 18, 2008. The warrant holders delivered their notices of exercise, and paid the exercise price of $0.65 per share, prior to the expiration date. A total of 3,690,000 shares were issued to US accredited investors as defined in Rule 501 of Regulation D promulgated under the Securities Act of 1933. An additional 200,000 shares were issued to one non-US person as defined in Regulation S of the Securities Act. | ||||||||
During the year ended December 31, 2007, the Company’s stockholders’ equity activity consisted of the following: | |||||||||
a) | On December 31, 2007, the Company awarded 3,214 shares of common stock to each of its two non-officer directors pursuant to its directors’ compensation policy. The share award was priced at $2.80 per share and has been recorded as directors’ compensation expense of $18,000. | ||||||||
b) | On December 26, 2007, the Company completed a private placement to the Arlington Group Limited of a total of 3,125,000 units at $1.60 per unit for total proceeds of $5,000,000. Each unit is comprised of one share of the Company’s common stock and one-half of one share purchase warrant. Each whole share purchase warrant entitles the holder to purchase one additional share of the Company’s common stock at a price of $2.40 per share for a period of two years from the date of issuance. In addition, the Company has issued an additional 156,250 shares of its common stock to the Arlington Group Limited, equal to 5% of the total number of units subscribed for by the Arlington Group Limited. Including the shares issued as a commission, the Company has issued an aggregate of 3,281,250 shares of its common stock and 1,562,500 share purchase warrants to the Arlington Group Limited under the private placement. The private placement was completed pursuant to the provisions of Regulation S under the Securities Act of 1933. | ||||||||
c) | On December 13, 2007, the Company issued 400,000 shares of common stock from the exercise of stock options resulting in cash proceeds of $100,000. Stock options exercised were for 400,000 shares at $0.25 per share. Each of the stock options was set to expire on November 23, 2010. | ||||||||
d) | On December 12, 2007, the Company received $65,000 for exercise of warrants to purchase 100,000 shares at $0.65 per share. The transaction was recorded as common stock subscribed as of December 31, 2007 pending execution of documents and issuance of shares. | ||||||||
e) | On September 30, 2007, the Company awarded 3,157 shares of common stock to each of its two non-officer directors pursuant to its directors’ compensation policy. The share award was priced at the nearest closing date to quarter end of $2.85 per share and has been recorded as directors’ compensation expense of $18,000. The Company issued the shares on November 13, 2007. | ||||||||
f) | On August 16, 2007, the Company received $25,000 for exercise of options to purchase 100,000 shares at $0.25 per share. The transaction was recorded as common stock subscribed as of December 31, 2007 pending execution of documents and issuance of shares. | ||||||||
g) | On August 9, 2007, the Company issued 400,000 shares of common stock from the exercise of warrants resulting in cash proceeds of $260,000. Warrants exercised were for 400,000 shares at $0.65 per share. Each of the warrants was set to expire on January 18, 2008. | ||||||||
h) | On June 29, 2007, the Company issued 1,400,000 shares of common stock to the owners of the Searchlight claims. The issuance was the third of four required share payments to complete the acquisition of the mining claims totaling 5,600,000 shares. | ||||||||
i) | On March 22, 2007, the Company closed a private placement offering for gross proceeds of $6,678,483 (the "March Offering"). The securities sold pursuant to the March Offering were issued to non-US investors in accordance with the terms of Regulation S of the Securities Act of 1933. In connection with the March Offering, the Company entered into an Agency Agreement dated March 21, 2007 (the "Agency Agreement"). The securities were sold to subscribers on a best efforts agency basis. Pursuant to the terms of the Agency Agreement, the Company sold an aggregate of 2,226,161 units for gross proceeds of $6,678,483, with each unit consisting of one share of its common stock and one half of one share purchase warrant, with each whole warrant entitling the subscriber to purchase one additional share for a period of two years from the closing date at an exercise price of $4.50 per share. The warrants are callable by Searchlight if its common stock trades above $6.50 per share for 20 consecutive trading days. Also under the terms of the March Offering, the Company agreed to use its best efforts to file with the Securities and Exchange Commission a registration statement on Form SB-2, or on such other form as is available, registering the offered securities within four months after the closing of the March Offering. The Company agreed not to exercise its call rights until the registration statement registering the securities underlying the units sold has been declared effective by the SEC. An aggregate commission and corporate finance fee totaling $525,386 was paid by the company to the Agent in connection with the March Offering, and the Agent also received warrants to purchase 75,175 shares of its common stock at a price of $4.50 per share, exercisable for a period of two years from the closing date. Issuance costs related to this private placement were $85,513. | ||||||||
j) | On February 23, 2007, the Company closed a private placement offering and issued 4,520,666 units for aggregate gross proceeds of $13,562,002 to accredited investors resident in the US pursuant to Regulation D of the Securities Act of 1933 (the “US Offering”). Each unit consisted of one share of its common stock and one half of one share purchase warrant, with each whole warrant entitling the subscriber to purchase one additional share for a period of two years from the closing date at an exercise price of $4.50 per share. The warrants are callable by the Company if its common stock trades above $6.50 per share for 20 consecutive trading days. Pursuant to the terms of the US Offering, the Company agreed to use its best efforts to file a registration statement declared effective by the SEC within four months of the closing date of the US Offering. The Company agreed not to exercise its call rights until the registration statement registering the securities underlying the units sold has been declared effective by the SEC. The Company further agreed to keep the registration statement effective pursuant to Rule 415 of the Securities Act for a period of eighteen months following the date the registration statement is declared effective by the SEC. A portion of the US Offering was sold on a best efforts agency basis. Commissions paid to agents in connection with the US Offering totaled $381,990, and the agents also received warrants to purchase 90,870 shares of its common stock at a price of $4.50 per share, exercisable for a period of two years from the closing date. Issuance costs related to this private placement were $79,513. | ||||||||
k) | On February 23, 2007, the Company closed a private placement offering and issued 575,000 units for aggregate gross proceeds of $1,725,000 to non-US investors pursuant to Regulation S of the Securities Act of 1933 (the “February Offering”). Each unit consisted of one share of its common stock and one half of one share purchase warrant, with each whole warrant entitling the subscriber to purchase one additional share for a period of two years from the closing date at an exercise price of $4.50 per share. The warrants are callable by us if its common stock trades above $6.50 per share for 20 consecutive trading days. Pursuant to the terms of the Non-US Offering, the Company agreed to use its best efforts to file a registration statement declared effective by the SEC within four months of the closing date of the February Offering. The Company agreed not to exercise its call rights until the registration statement registering the securities underlying the units sold has been declared effective by the SEC. The Company further agreed to keep the registration statement effective pursuant to Rule 415 of the Securities Act for a period of eighteen months following the date the registration statement is declared effective by the SEC. Commissions paid to agents in connection with the February Offering totaled $111,100 and the agents also received warrants to purchase 12,300 shares of its common stock at a price of $4.50 per share, exercisable for a period of two years from the closing date. Issuance costs related to this private placement were $8,842. | ||||||||
l) | On February 15, 2007, the Company approved the issuance of 16,825,000 shares of its common stock at $3.975 per share to five investors in connection with the Agreement and Plan of Merger dated February 15, 2007. The issuance was completed pursuant to Section 4(2) and Regulation D of the Securities Act of 1933 on the basis that each investor was a sophisticated investor and was in a position of access to relevant material information regarding its operations. Each investor delivered appropriate investment representations satisfactory to us with respect to this transaction and consented to the imposition of restrictive legends upon the certificates evidencing such share certificates. | ||||||||
During the year ended December 31, 2006, the Company’s stockholders’ equity activity consisted of the following: | |||||||||
a) | On July 27, 2006, the Company issued 1,400,000 shares to the owners of the Searchlight Claims. The issuance was the second of four required share payments to complete the acquisition of the Searchlight Claims totaling 5,600,000 shares. | ||||||||
b) | On June 21, 2006, the Company issued 8,506,000 shares of common stock from the exercise of warrants resulting in cash proceeds of $4,874,126. Warrants exercised were for 6,737,500 shares at $0.625 per share and 1,768,500 shares at $0.375 per share. Each of the warrants was set to expire between June 2 and June 7, 2006. | ||||||||
c) | On June 14, 2006, the Company issued 50,000 shares at $2.06 per share as consideration for an employment contract entered into on June 14, 2006 with the Chief Financial Officer. | ||||||||
d) | On February 9, 2006, the Company issued 1,225,000 shares of common stock and warrants to purchase an additional 612,500 shares of common stock with an exercise price of $0.625 expiring between June 2 and June 7, 2006. The shares were related to the penalty shares and warrants for the late registration of shares with the Securities and Exchange Commission pursuant to the private placements completed in September 2005. Pursuant to the private placements, subscribers received penalty units consisting of one share and one half of one share purchase warrant. The penalty units were exercisable into 1/10th of the total number of units issued in the private placement if a registration statement on Form SB-2 was not declared effective within four months and one day of the closing date of the private placements. The Registration Statement was not effective prior to the filing deadline resulting in the issuance of the penalty units. | ||||||||
e) | On January 18, 2006, the Company issued 39 units for $45,000 per unit where each unit consisted of 100,000 shares and 100,000 purchase warrants. Each purchase warrant was exercisable into one share at a price of $0.65 expiring on January 18, 2008. Total gross proceeds for this offering were $1,755,000. | ||||||||
Warrants associated with equity issuances from 2006 through 2013 do not constitute a registration payment arrangement. | |||||||||
During the year ended December 31, 2005, the Company’s stockholders’ activities consisted of the following: | |||||||||
a) | On September 30, 2005, the Company effectuated a two-for-one forward stock split on its common stock. As a result of the stock split, the Company’s authorized number of common stock increased from 200,000,000 shares to 400,000,000 shares. Accordingly, the accompanying financial statements have been adjusted on a retroactive basis for the forward stock split to the Company’s date of inception. | ||||||||
b) | On September 7, 2005, the Company issued 5,400,000 units for $0.25 per unit, where each unit consisted of one common share, one half of one purchase warrant and one nontransferable warrant exercisable into one tenth (1/10) of one unit for no additional consideration if registration requirements are not met within four months after the closing. Each purchase warrant was exercisable into one share at a price of $0.625 and expired on June 7, 2006. Total gross proceeds of this offering were $1,350,000. In connection with this brokered offering, 540,000 Brokers Warrants, exercisable at $0.25 and expiring on June 7, 2006, were issued. Each Broker Warrant was exercisable into one common share and one half of one purchase warrant. Each purchase warrant was exercisable into one common share at $0.625 and expired on June 7, 2006. Commissions paid related to this issuance were $135,000. | ||||||||
c) | On September 6, 2005, the Company issued 460,000 units for $0.25 per unit, where each unit consisted of one common share, one half of one purchase warrant and one nontransferable warrant exercisable into one tenth (1/10) of one unit for no additional consideration if registration requirements are not met within four months after the closing. Each purchase warrant was exercisable into one share at a price of $0.625 and expired on June 6, 2006. Total gross proceeds of this offering were $115,000. | ||||||||
d) | On September 2, 2005, the Company issued 6,390,000 units for $0.25 per unit, where each unit consisted of one common share, one half of one purchase warrant and one nontransferable warrant exercisable into one tenth (1/10) of one unit for no additional consideration if registration requirements were not met within four months after the closing. Each purchase warrant was exercisable into one share at a price of $0.625 and expired on June 2, 2006. Total gross proceeds of this offering were $1,597,500. In connection with this brokered offering, 639,000 Brokers Warrants, exercisable at $0.25 and expiring on June 2, 2006, were issued. Each Broker Warrant was exercisable into one common share and one half of one purchase warrant. Each purchase warrant was exercisable into one common share at $0.625 and expired on June 2, 2006. Commissions paid related to this issuance were $205,250. Issuance fees related to this offering were $31,443. | ||||||||
e) | On July 7, 2005, the Company issued 1,400,000 shares of common stock for the purchase of 20 mineral claims. The issuance was the first of four required share payments to complete the acquisition of the Searchlight Claims totaling 5,600,000 shares. | ||||||||
f) | On July 6, 2005, the Company issued 200,000 shares of common stock at $0.625 per share for reduction of debt at $125,000 as negotiated with the debtor. | ||||||||
g) | On June 1, 2005, the Company approved the issuance of stock warrants for 12,000,000 shares of common stock with a strike price of $0.375 per share in connection with the Clarkdale Slag Project option. Satisfaction of the financing related closing conditions of the assignment agreement were met on September 7, 2005. On October 24, 2005, the issuance of the warrants was completed. The warrants contain an expiration date of June 1, 2015. | ||||||||
h) | On February 14, 2005, the Company cancelled all of the stock options that were outstanding at December 31, 2004. | ||||||||
i) | On February 11, 2005, 70,000,000 shares of the Company were returned to the Company and cancelled at its par value of $0.001 per share. | ||||||||
The following table summarizes the Company’s private placement warrant activity for the years ended December 31, 2013 and 2012: | |||||||||
Weighted | |||||||||
Average | |||||||||
Remaining | |||||||||
Weighted | Contractual | ||||||||
Number of | Average | Life | |||||||
Shares | Exercise Price | (Years) | |||||||
Balance, December 31, 2011 | 13,784,549 | $ | 1.8 | 0.87 | |||||
Warrants granted | 43,633 | 1.71 | 0.42 | ||||||
Warrants expired | - | - | - | ||||||
Warrants exercised | - | - | - | ||||||
Balance, December 31, 2012 | 13,828,212 | 1.79 | 0.87 | ||||||
Warrants granted | 372,723 | 1.64 | 0.87 | ||||||
Warrants expired | - | - | - | ||||||
Warrants exercised | - | - | - | ||||||
Balance, December 31, 2013 | 14,200,935 | $ | 1.74 | 0.87 | |||||
In addition to the private placement warrants in the table above, the Company issued 12,000,000 warrants on June 1, 2005 in connection with the Clarkdale Slag Project option. The warrants had an exercise price of $0.375 per share and an expiration date of June 1, 2015. In the third quarter of 2011, 3,000,000 of these warrants were cancelled upon the resolution of a dispute with a shareholder. The Company recorded a gain of $502,586 related to the settlement. During the year ended December 31, 2012, 250,000 of these warrants were exercised. As of December 31, 2013, 8,750,000 of these warrants were outstanding. | |||||||||
STOCKBASED_COMPENSATION
STOCK-BASED COMPENSATION | 12 Months Ended | ||||||||||||||
Dec. 31, 2013 | |||||||||||||||
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | ' | ||||||||||||||
STOCK-BASED COMPENSATION | ' | ||||||||||||||
11 | STOCK-BASED COMPENSATION | ||||||||||||||
Stock-based compensation includes grants of stock options and purchase warrants to eligible directors, employees and consultants as determined by the board of directors. | |||||||||||||||
Stock option plans - The Company has adopted several stock option plans, all of which have been approved by the Company’s stockholders that authorize the granting of stock option awards subject to certain conditions. At December 31, 2013, the Company had 10,552,576 of its common shares available for issuance for stock option awards under the Company’s stock option plans. | |||||||||||||||
At December 31, 2013, the Company had the following stock option plans available: | |||||||||||||||
⋅ | 2009 Incentive Plan – The terms of the 2009 Incentive Plan, as amended, allow for up to 7,250,000 options to be issued to eligible participants. Under the plan, the exercise price is generally equal to the fair market value of the Company’s common stock on the grant date and the maximum term of the options is generally ten years. No participants shall receive more than 500,000 options under this plan in any one calendar year. For grantees who own more than 10% of the Company’s common stock on the grant date, the exercise price may not be less than 110% of the fair market value on the grant date and the term is limited to five years. The plan was approved by the Company’s stockholders on December 15, 2009 and the amendment was approved by the Company’s stockholders on May 8, 2012. As of December 31, 2013, the Company had granted 1,222,500 options under the 2009 Incentive Plan with a weighted average exercise price of $1.16 per share. As of December 31, 2013, 1,190,000 of the options granted were outstanding. | ||||||||||||||
⋅ | 2009 Directors Plan - The terms of the 2009 Directors Plan, as amended, allow for up to 2,750,000 options to be issued to eligible participants. Under the plan, the exercise price may not be less than 100% of the fair market value of the Company’s common stock on the grant date and the term may not exceed ten years. No participants shall receive more than 250,000 options under this plan in any one calendar year. The plan was approved by the Company’s stockholders on December 15, 2009 and the amendment was approved by the Company’s stockholders on May 8, 2012. As of December 31, 2013, the Company had granted 1,272,877 options under the 2009 Directors Plan with a weighted average exercise price of $0.95 per share. As of December 31, 2013, all of the options granted were outstanding. | ||||||||||||||
⋅ | 2007 Plan - Under the terms of the 2007 Plan, options to purchase up to 4,000,000 shares of common stock may be granted to eligible participants. Under the plan, the option price for incentive stock options is the fair market value of the stock on the grant date and the option price for non-qualified stock options shall be no less than 85% of the fair market value of the stock on the grant date. The maximum term of the options under the plan is ten years from the grant date. The 2007 Plan was approved by the Company’s stockholders on June 15, 2007. As of December 31, 2013, the Company had granted 952,047 options under the 2007 Plan with a weighted average exercise price of $1.03 per share. As of December 31, 2013, 837,454 of the options granted were outstanding. | ||||||||||||||
The Company has also granted 300,000 stock options to one of its executives on October 1, 2010 and 200,000 warrants to one of its consultants on January 13, 2011 outside of the aforementioned stock option plans, all of which remain outstanding at December 31, 2013. | |||||||||||||||
Non-Employee Directors Equity Compensation Policy – Non-employee directors have a choice between receiving $9,000 value of common stock per quarter, where the number of shares is determined by the closing price of the Company’s stock on the last trading day of each quarter, or a number of options to purchase twice the number of shares of common stock that the director would otherwise receive if the director elected to receive shares, with an exercise price based on the closing price of the Company’s common stock on the last trading day of each quarter. Effective April 1, 2011, the Board of Directors implemented a policy whereby the number of options granted for quarterly compensation to each director is limited to 18,000 options per quarter. | |||||||||||||||
Stock warrants – Upon approval of the Board of Directors, the Company may grant stock warrants to consultants for services performed. | |||||||||||||||
Valuation of awards - At December 31, 2013, the Company had options outstanding that vest on two different types of vesting schedules, service-based and performance-based. For both service-based and performance-based stock option grants, the Company estimates the fair value of stock-based compensation awards by using the Binomial Lattice option pricing model with the following assumptions used for the years ended December 31, 2013 and 2012: | |||||||||||||||
2013 | 2012 | ||||||||||||||
Risk-free interest rate | 0.77% - 1.75% | 0.37% - 1.04% | |||||||||||||
Dividend yield | - | - | |||||||||||||
Expected volatility | 90.39% - 101.74% | 84.94% - 97.79% | |||||||||||||
Expected life (years) | 4.25 | 2.00 - 4.55 | |||||||||||||
The expected volatility is based on the historical volatility levels on the Company’s common stock. The risk-free interest rate is based on the implied yield available on US Treasury zero-coupon issues over equivalent lives of the options. | |||||||||||||||
The expected life of awards represents the weighted-average period the stock options or warrants are expected to remain outstanding and is a derived output of the Binomial Lattice model. The expected life is impacted by all of the underlying assumptions and calibration of the Company’s model. The Binomial Lattice model estimates the probability of exercise as a function of these two variables based on the entire history of exercises and cancellations on all past option grants made by the Company. | |||||||||||||||
Stock-based compensation activity - During the year ended December 31, 2013, the Company granted stock-based awards as follows: | |||||||||||||||
a) | On December 31, 2013, the Company granted stock options under the 2009 Directors Plan for the purchase of 54,000 shares of common stock at $0.24 per share. The options were granted to three of the Company’s non-management directors for directors’ compensation, are fully vested and expire on December 31, 2018. The exercise price of the stock options equaled the closing price of the Company’s common stock for the grant date. | ||||||||||||||
b) | On September 30, 2013, the Company granted stock options under the 2009 Directors Plan for the purchase of 54,000 shares of common stock at $0.365 per share. The options were granted to three of the Company’s non-management directors for directors’ compensation, are fully vested and expire on September 30, 2018. The exercise price of the stock options equaled the closing price of the Company’s common stock for the grant date. | ||||||||||||||
c) | On June 30, 2013, the Company granted stock options under the 2009 Directors Plan for the purchase of 54,000 shares of common stock at $0.288 per share. The options were granted to three of the Company’s non-management directors for directors’ compensation, are fully vested and expire on June 30, 2018. The exercise price of the stock options equaled the closing price of the Company’s common stock for the grant date. | ||||||||||||||
d) | On March 31, 2013, the Company granted stock options under the 2009 Directors Plan for the purchase of 54,000 shares of common stock at $0.48 per share. The options were granted to three of the Company’s non-management directors for directors’ compensation, are fully vested and expire on March 31, 2018. The exercise price of the stock options equaled the closing price of the Company’s common stock for the grant date. | ||||||||||||||
e) | On March 31, 2013, the Company granted stock options under the 2007 Plan for the purchase of 18,000 shares of common stock at $0.48 per share. The options were granted to a consultant, are fully vested and expire on March 31, 2018. The exercise price of the stock options equaled the closing price of the Company’s common stock for the grant date. | ||||||||||||||
During the year ended December 31, 2012, the Company granted stock-based awards as follows: | |||||||||||||||
a) | On December 31, 2012, the Company granted stock options under the 2009 Directors Plan for the purchase of 54,000 shares of common stock at $0.60 per share. The options were granted to the Company’s non-management directors for directors’ compensation. All of the options are fully vested and expire on December 31, 2017. The exercise price of the stock options equaled the closing price of the Company’s common stock on the grant date. | ||||||||||||||
b) | On December 31, 2012, the Company granted stock options under the 2007 Plan for the purchase of 18,000 shares of common stock at $0.60 per share. The options were granted to a consultant, are fully vested and expire on December 31, 2017. The exercise price of the stock options equaled the closing price of the Company’s common stock on the grant date. | ||||||||||||||
c) | On December 19, 2012, the Company granted stock options for the purchase of 75,000 and 37,500 shares of common stock at $0.60 per share to two employees, respectively. The options vest on December 19, 2013 and expire on December 19, 2017. The exercise price of the stock options equaled the closing price of the Company’s common stock on the grant date. | ||||||||||||||
d) | On September 30, 2012, the Company granted stock options under the 2009 Directors Plan for the purchase of 54,000 shares of common stock at $0.85 per share. The options were granted to the Company’s non-management directors for directors’ compensation. All of the options are fully vested and expire on September 30, 2017. The exercise price of the stock options equaled the closing price of the Company’s common stock on the grant date. | ||||||||||||||
e) | On September 30, 2012, the Company granted stock options under the 2007 Plan for the purchase of 18,000 shares of common stock at $0.85 per share. The options were granted to a consultant, are fully vested and expire on September 30, 2017. The exercise price of the stock options equaled the closing price of the Company’s common stock on the grant date. | ||||||||||||||
f) | On July 3, 2012, the Company granted stock options for the purchase of 200,000 shares of common stock at $0.89 per share to a director. The options vest 25% each on July 3, 2013, 2014, 2015 and 2016. The options expire five years after the date that they vest. The exercise price of the options exceeded the closing price of the Company’s common stock which was $0.87 on the grant date. | ||||||||||||||
g) | On June 30, 2012, the Company granted stock options under the 2009 Directors Plan for the purchase of 54,053 shares of common stock at $0.94 per share. 40,800 of the options were granted to three of the Company’s non-management directors and 13,253 options were granted to a former director for directors’ compensation. All of the options are fully vested and expire on June 30, 2017. The exercise price of the stock options equaled the closing price of the Company’s common stock on the grant date. | ||||||||||||||
h) | On June 30, 2012, the Company granted stock options under the 2007 Plan for the purchase of 4,747 shares of common stock at $0.94 per share. The options were granted to a consultant, are fully vested and expire on June 30, 2017. The exercise price of the stock options equaled the closing price of the Company’s common stock on the grant date. | ||||||||||||||
i) | On June 7, 2012, the Company modified the terms of a stock option grant made to a director by extending the expiration date from June 30, 2012 to November 4, 2015. All other option terms remained unchanged. The modification resulted in additional expense of $53,613. | ||||||||||||||
j) | On March 31, 2012, the Company granted stock options under the 2009 Directors Plan for the purchase of 28,125 shares of common stock at $1.92 per share. The options were granted to three of the Company’s non-management directors for directors’ compensation, are fully vested and expire on March 31, 2017. The exercise price of the stock options equaled the closing price of the Company’s common stock for the grant date. | ||||||||||||||
Expenses related to the granting, vesting and modifying of stock-based compensation awards were $292,348 and $596,478 for the years ended December 31, 2013 and 2012, respectively. Such expenses have been included in general and administrative and mineral exploration and evaluation expense. | |||||||||||||||
The following table summarizes the Company’s stock-based compensation activity for the years ended December 31, 2013 and 2012: | |||||||||||||||
Weighted | |||||||||||||||
Average | |||||||||||||||
Weighted | Remaining | ||||||||||||||
Average Grant | Weighted | Contractual | Aggregate | ||||||||||||
Number of | Date Fair | Average | Life | Intrinsic | |||||||||||
Shares | Value | Exercise Price | (Years) | Value | |||||||||||
Outstanding, December 31, 2011 | 3,230,953 | $ | 0.62 | $ | 1.17 | 5.07 | |||||||||
Options/warrants granted | 543,425 | 0.45 | 0.84 | 5.61 | |||||||||||
Options/warrants expired | -168,200 | -1.03 | -2.68 | - | |||||||||||
Options/warrants forfeited | - | - | - | - | |||||||||||
Options/warrants exercised | - | - | - | - | |||||||||||
Outstanding, December 31, 2012 | 3,606,178 | 0.59 | 1.05 | 4.69 | |||||||||||
Options/warrants granted | 234,000 | 0.18 | 0.35 | 4.6 | |||||||||||
Options/warrants expired | -39,847 | -0.61 | -1.45 | - | |||||||||||
Options/warrants forfeited | - | - | - | - | |||||||||||
Options/warrants exercised | - | - | - | - | |||||||||||
Outstanding, December 31, 2013 | 3,800,331 | $ | 0.56 | $ | 1.01 | 3.76 | $ | - | |||||||
Exercisable, December 31, 2013 | 3,350,331 | $ | 0.51 | $ | 0.99 | 3.32 | $ | - | |||||||
Aggregate intrinsic value represents the value of the Company’s closing stock price on the last trading day of the year ended December 31, 2013 in excess of the weighted-average exercise price multiplied by the number of options outstanding or exercisable. | |||||||||||||||
Unvested awards - The following table summarizes the changes of the Company’s stock-based compensation awards subject to vesting for the year ended December 31, 2013: | |||||||||||||||
Weighted | |||||||||||||||
Number of | Average | ||||||||||||||
Shares Subject | Grant Date | ||||||||||||||
to Vesting | Fair Value | ||||||||||||||
Unvested, December 31, 2012 | 1,112,500 | $ | 0.8 | ||||||||||||
Options/warrants granted | - | - | |||||||||||||
Options/warrants vested | -662,500 | -0.7 | |||||||||||||
Options/warrants cancelled | - | - | |||||||||||||
Unvested, December 31, 2013 | 450,000 | $ | 0.95 | ||||||||||||
For the years ended December 31, 2013 and 2012, the total grant date fair value of shares vested was $466,451 and $270,900, respectively. As of December 31, 2013, there was $65,835 of total unrecognized compensation cost related to unvested stock-based compensation awards. The weighted average period over which this cost will be recognized was 0.80 years as of December 31, 2013. Included in the total of unvested stock options at December 31, 2013, was 250,000 performance-based stock options. At December 31, 2013, management determined that achievement of the performance targets was probable. The weighted average period over which the related expense will be recognized was 0.50 years as of December 31, 2013. | |||||||||||||||
STOCKHOLDER_RIGHTS_AGREEMENT
STOCKHOLDER RIGHTS AGREEMENT | 12 Months Ended | ||
Dec. 31, 2013 | |||
Stockholder Rights Agreement [Abstract] | ' | ||
STOCKHOLDER RIGHTS AGREEMENT | ' | ||
12 | STOCKHOLDER RIGHTS AGREEMENT | ||
The Company adopted a Stockholder Rights Agreement (the “Rights Agreement”) in August 2009 to protect stockholders from attempts to acquire control of the Company in a manner in which the Company’s Board of Directors determines is not in the best interest of the Company or its stockholders. Under the agreement, each currently outstanding share of the Company’s common stock includes, and each newly issued share will include, a common share purchase right. The rights are attached to and trade with the shares of common stock and generally are not exercisable. The rights will become exercisable if a person or group acquires, or announces an intention to acquire, 15% or more of the Company’s outstanding common stock. The Rights Agreement was not adopted in response to any specific effort to acquire control of the Company. The issuance of rights had no dilutive effect, did not affect the Company’s reported earnings per share and was not taxable to the Company or its stockholders. | |||
On June 7, 2012, the Company agreed to waive the 15% limitation currently in the Rights Agreements with respect to Luxor, and to allow Luxor to become the beneficial owners of up to 17.5% of the Company’s common stock, without being deemed to be an “acquiring person” under the Rights Agreement. In connection with the convertible notes offering completed on September 18, 2013, the Company agreed to waive the 17.5% limitation currently in the Rights Agreement with respect to Luxor, and allow Luxor to become the beneficial owners of up to 22% of the Company’s common stock, without being deemed to be an “acquiring person” under the Rights Agreement. Following the Offering, Luxor became the beneficial owner of approximately 21% of the Company’s common stock (including giving effect to derivative securities or other rights to purchase or acquire shares of the Company’s common stock). | |||
PROPERTY_RENTAL_AGREEMENTS_AND
PROPERTY RENTAL AGREEMENTS AND LEASES | 12 Months Ended | ||
Dec. 31, 2013 | |||
PROPERTY RENTAL AGREEMENTS AND LEASES [Abstract] | ' | ||
PROPERTY RENTAL AGREEMENTS AND LEASES | ' | ||
13 | PROPERTY RENTAL AGREEMENTS AND LEASES | ||
The Company, through its subsidiary CML, has the following lease and rental agreements as lessor: | |||
Clarkdale Arizona Central Railroad – rental – CML rents land to Clarkdale Arizona Central Railroad on month-to-month terms at $1,700 per month. | |||
Commercial building rental - CML rents commercial building space to various tenants. Rental arrangements are minor in amount and are typically month-to-month. | |||
Land lease - wastewater effluent - Pursuant to the acquisition of TI, the Company became party to a lease dated August 25, 2004 with the Town of Clarkdale, AZ (“Clarkdale”). The Company provides approximately 60 acres of land to Clarkdale for disposal of Class B effluent. In return, the Company has first right to purchase up to 46,000 gallons per day of the effluent for its use at fifty percent (50%) of the potable water rate. In addition, if Class A effluent becomes available, the Company may purchase that at seventy-five percent (75%) of the potable water rate. | |||
The lease agreement expires August 25, 2014. At such time as Clarkdale no longer uses the property for effluent disposal, and for a period of 25 years measured from the date of the lease, the Company has a continuing right to purchase Class B effluent, and if available, Class A effluent at then market rates. | |||
INCOME_TAXES
INCOME TAXES | 12 Months Ended | |||||||
Dec. 31, 2013 | ||||||||
Income Tax Disclosure [Abstract] | ' | |||||||
INCOME TAXES | ' | |||||||
14 | INCOME TAXES | |||||||
The Company is a Nevada corporation and is subject to federal, Arizona and Colorado income taxes. Nevada does not impose a corporate income tax. | ||||||||
Significant components of the Company’s net deferred income tax assets and liabilities at December 31, 2013 and 2012 were as follows: | ||||||||
2013 | 2012 | |||||||
Deferred income tax assets: | ||||||||
Net operating loss carryforward | $ | 16,822,317 | $ | 14,724,543 | ||||
Option compensation | 763,779 | 673,271 | ||||||
Property, plant & equipment | 1,021,685 | 773,542 | ||||||
Gross deferred income tax assets | 18,607,781 | 16,171,356 | ||||||
Less: valuation allowance | -733,287 | -622,572 | ||||||
Net deferred income tax assets | 17,874,494 | 15,548,784 | ||||||
Deferred income tax liabilities: | ||||||||
Acquisition related liabilities | -55,197,465 | -55,197,465 | ||||||
Net deferred income tax liability | $ | -37,322,971 | $ | -39,648,681 | ||||
The realizability of deferred tax assets are reviewed at each balance sheet date. The majority of the Company’s deferred tax liabilities are related to depletable assets. Such depletion will begin with the processing of mineralized material once production has commenced. Therefore, the deferred tax liabilities will reverse in similar time periods as the deferred tax assets. The reversal of the deferred tax liabilities is sufficient to support the deferred tax assets. The valuation allowance relates to state net operating loss carryforwards which may expire unused due to their shorter life. | ||||||||
Deferred income tax liabilities were recorded on GAAP basis over income tax basis using statutory federal and state rates with the corresponding increase in the purchase price allocation to the assets acquired. | ||||||||
The resulting estimated future federal and state income tax liabilities associated with the temporary difference between the acquisition consideration and the tax basis are reflected as an increase to the total purchase price which has been applied to the underlying mineral and slag project assets in the absence of there being a goodwill component associated with the acquisition transactions. | ||||||||
A reconciliation of the deferred income tax benefit for the years ended December 31, 2013 and 2012 at US federal and state income tax rates to the actual tax provision recorded in the financial statements consisted of the following components: | ||||||||
2013 | 2012 | |||||||
Deferred tax benefit at statutory rates | $ | 2,170,330 | $ | 2,628,027 | ||||
State deferred tax benefit, net of federal benefit | 186,028 | 225,259 | ||||||
Increase (decrease) in deferred tax benefit from: | ||||||||
Change in valuation allowance | -110,715 | -251,471 | ||||||
Change in state NOL’s | -139,362 | -235,131 | ||||||
Gain (loss) on the change in fair value of derivative liabilities | 265,509 | -104,388 | ||||||
Permanent differences | -46,080 | -154,877 | ||||||
Deferred income tax benefit | $ | 2,325,710 | $ | 2,107,419 | ||||
The Company had cumulative net operating losses of $45,254,765 as of December 31, 2013 for federal income tax purposes. The federal net operating loss carryforwards will expire between 2025 and 2033. | ||||||||
State income tax allocation - The Company had cumulative net operating losses of $24,818,346 as of December 31, 2013 for state income tax purposes. The Company has placed a valuation allowance against state net operating loss carryforwards expected to expire unused. The remaining net operating loss carryforwards expire at various dates through 2033. | ||||||||
Tax returns subject to examination - The Company and its subsidiaries file income tax returns in the United States. These tax returns are subject to examination by taxation authorities provided the years remain open under the relevant statutes of limitations, which may result in the payment of income taxes and/or decreases in its net operating losses available for carryforward. The Company has losses from inception to date, and thus all years remain open for examination. While the Company believes that its tax filings do not include uncertain tax positions, the results of potential examinations or the effect of changes in tax law cannot be ascertained at this time. The Company’s federal tax return for the year ended December 31, 2010 is currently under examination by the Internal Revenue Service. | ||||||||
COMMITMENTS_AND_CONTINGENCIES
COMMITMENTS AND CONTINGENCIES | 12 Months Ended | ||||
Dec. 31, 2013 | |||||
Commitments and Contingencies Disclosure [Abstract] | ' | ||||
COMMITMENTS AND CONTINGENCIES | ' | ||||
15 | COMMITMENTS AND CONTINGENCIES | ||||
Lease obligations – The Company leases corporate office space under a sublease agreement from a related party as further discussed in Note 18. The lease agreement commenced September 1, 2013 and is for a 2 year period. The following table represents future rent payments for each of the years ending December 31, | |||||
2014 | $ | 29,220 | |||
2015 | 13,336 | ||||
Thereafter | - | ||||
$ | 42,556 | ||||
Total rent expense was $32,136 and $35,760 for the years ended December 31, 2013 and 2012, respectively. | |||||
Severance agreements – The Company has severance agreements with two executive officers that provide for various payments if the officer’s employment agreement is terminated by the Company, other than for cause. At December 31, 2013, the total potential liability for severance agreements was $112,500. | |||||
Purchase consideration Clarkdale Slag Project - In consideration of the acquisition of the Clarkdale Slag Project from VRIC, the Company has agreed to certain additional contingent payments. The acquisition agreement contains payment terms which are based on the Project Funding Date as defined in the agreement: | |||||
a) | The Company has agreed to pay VRIC $6,400,000 on the Project Funding Date; | ||||
b) | The Company has agreed to pay VRIC a minimum annual royalty of $500,000, commencing on the Project Funding Date (the “Advance Royalty”), and an additional royalty consisting of 2.5% of the NSR on any and all proceeds of production from the Clarkdale Slag Project (the “Project Royalty”). The Advance Royalty remains payable until the first to occur of: (i) the end of the first calendar year in which the Project Royalty equals or exceeds $500,000 or (ii) February 15, 2017. In any calendar year in which the Advance Royalty remains payable, the combined Advance Royalty and Project Royalty will not exceed $500,000; and, | ||||
c) | The Company has agreed to pay VRIC an additional amount of $3,500,000 from the net cash flow of the Clarkdale Slag Project. | ||||
The Advance Royalty shall continue for a period of ten years from the Agreement Date or until such time that the Project Royalty shall exceed $500,000 in any calendar year, at which time the Advance Royalty requirement shall cease. | |||||
Clarkdale Slag Project royalty agreement - NMC - Under the original JV Agreement, the Company agreed to pay NMC a 5% royalty on NSR payable from the Company’s 50% joint venture interest in the production from the Clarkdale Slag Project. Upon the assignment to the Company of VRIC’s 50% interest in the Joint Venture Agreement in connection with the reorganization with Transylvania International, Inc., the Company continues to have an obligation to pay NMC a royalty consisting of 2.5% of the NSR on any and all proceeds of production from the Clarkdale Slag Project. | |||||
On July 25, 2011, the Company and NMC entered into an amendment (the “Third Amendment”) to the assignment agreement between the parties dated June 1, 2005. Pursuant to the Third Amendment, the Company agreed to pay advance royalties (the “Advance Royalties”) to NMC of $15,000 per month (the “Minimum Royalty Amount”) effective as of January 1, 2011. The Third Amendment also provides that the Minimum Royalty Amount will continue to be paid to NMC in every month where the amount of royalties otherwise payable would be less than the Minimum Royalty Amount, and such Advance Royalties will be treated as a prepayment of future royalty payments. In addition, fifty percent of the aggregate consulting fees paid to NMC from 2005 through December 31, 2010 were deemed to be prepayments of any future royalty payments. As of December 31, 2010, aggregate consulting fees previously incurred amounted to $1,320,000, representing credit for advance royalty payments of $660,000. | |||||
Total advance royalty payments to NMC were $180,000 and $180,000 for the years ended December 31, 2013 and 2012, respectively. Advanced royalty payments have been included in mineral exploration and evaluation expenses – related party on the statements of operations. | |||||
Development agreement - In January 2009, the Company submitted a development agreement to the Town of Clarkdale for development of an Industrial Collector Road (the “Road”). The purpose of the Road is to provide the Company the capability to transport supplies, equipment and products to and from the Clarkdale Slag Project site efficiently and to meet stipulations of the Conditional Use Permit for the full production facility at the Clarkdale Slag Project. | |||||
The timing of the development of the Road is to be within two years of the effective date of the agreement. The effective date shall be the later of (i) 30 days from the approving resolution of the agreement by the Council, (ii) the date on which the Town obtains a connection dedication from separate property owners who have land that will be utilized in construction of the Road, or (iii) the date on which the Town receives the proper effluent permit. The contingencies outlined in (ii) and (iii) above are beyond control of the Company. | |||||
The Company estimates the initial cost of construction of the Road to be approximately $3,500,000 and the cost of additional enhancements to be approximately $1,200,000 which will be required to be funded by the Company. Based on the uncertainty of the contingencies, this cost is not included in the Company’s current operating plans. Funding for construction of the Road will require obtaining project financing or other significant financing. As of the date of this filing, these contingencies had not changed. | |||||
Registration Rights Agreement - In connection with the June 7, 2012 private placement, the Company entered into a RRA with the purchasers. Pursuant to the RRA, the Company agreed to certain demand registration rights. These rights include the requirement that the Company file certain registration statements within a specified time period and to have these registration statements declared effective within a specified time period. The Company also agreed to file and keep continuously effective such additional registration statements until all of the shares of common stock registered thereunder have been sold or may be sold without volume restrictions. If the Company is not able to comply with these registration requirements, the Company will be required to pay cash penalties equal to 1.0% of the aggregate purchase price paid by the investors for each 30 day period in which a registration default, as defined by the RRA, exists. The maximum penalty is equal to 3.0% of the purchase price which amounts to $121,500. As of the date of this filing, the Company does not believe the penalty to be probable and accordingly, no liability has been accrued. | |||||
Registration Rights Agreement - In connection with the September 18, 2013 convertible notes issuance, the Company entered into a RRA with the investors. Pursuant to the RRA, the Company agreed to file a registration statement covering the resale of the shares of common stock issuable upon conversion of the notes and the additional notes allowed for under the agreement. Pursuant to the RRA, the Company agreed to certain demand registration rights. These rights include the requirement that the Company file certain registration statements within a specified time period and to have these registration statements declared effective within a specified time period. The Company also agreed to file and keep continuously effective such additional registration statements until all of the shares of common stock registered thereunder have been sold or may be sold without volume restrictions. The Purchasers will also be granted piggyback registration rights with respect to such shares. If the Company is not able to comply with these registration requirements, the Company will be required to pay cash penalties equal to 1.0% of the purchase price. The maximum penalty is equal to 3.0% of the purchase price which amounts to $120,000 for the convertible notes and $18,000 for the additional notes. As of the date of this filing, the Company does not believe the penalty to be probable and accordingly, no liability has been accrued. | |||||
Lawsuit – On October 28, 2013, the Company was sued by Kuhns Brothers, Inc. in Federal District Court for the District of Connecticut. The lawsuit is for breach of contract and quantum meruit and seeks $240,000 in damages. The Company believes that it is not liable for any damages and plans to defend itself against the claims. No liability for this matter has been accrued at December 31, 2013. | |||||
CONCENTRATION_OF_CREDIT_RISK
CONCENTRATION OF CREDIT RISK | 12 Months Ended | ||
Dec. 31, 2013 | |||
CONCENTRATION OF CREDIT RISK [Abstract] | ' | ||
CONCENTRATION OF CREDIT RISK | ' | ||
16 | CONCENTRATION OF CREDIT RISK | ||
The Company maintains its cash accounts in financial institutions. Cash accounts at these financial institutions are insured by the Federal Deposit Insurance Corporation (the “FDIC”) for up to $250,000 per institution. The Company has never experienced a material loss or lack of access to its cash accounts; however, no assurance can be provided that access to the Company’s cash accounts will not be impacted by adverse conditions in the financial markets. At December 31, 2013, the Company had deposits in excess of FDIC insured limits in the amount of $1,241,319. | |||
CONCENTRATION_OF_ACTIVITY
CONCENTRATION OF ACTIVITY | 12 Months Ended | ||
Dec. 31, 2013 | |||
Concentration Of Activity [Abstract] | ' | ||
CONCENTRATION OF ACTIVITY | ' | ||
17 | CONCENTRATION OF ACTIVITY | ||
The Company currently utilizes a mining and environmental firm to perform significant portions of its mineral property and metallurgical exploration work programs. A change in the lead mining and environmental firm could cause a delay in the progress of the Company’s exploration programs and would cause the Company to incur significant transition expense and may affect operating results adversely. | |||
RELATED_PARTY_TRANSACTIONS
RELATED PARTY TRANSACTIONS | 12 Months Ended | |||||||
Dec. 31, 2013 | ||||||||
Related Party Transactions [Abstract] | ' | |||||||
RELATED PARTY TRANSACTIONS | ' | |||||||
18 | RELATED PARTY TRANSACTIONS | |||||||
NMC - The Company utilizes the services of NMC to provide technical assistance and financing related activities. In addition, NMC provides the Company with use of its laboratory, instrumentation, milling equipment and research facilities. One of our executive officers, Mr. Ager, is affiliated with NMC. Prior to January 1, 2011, the Company paid a negotiated monthly fee ranging from $15,000 to $30,000 plus reimbursement of expenses incurred. Effective January 1, 2011, the Company and NMC agreed to replace the monthly fee with an advance royalty payment of $15,000 per month and to reimburse NMC for actual expenses incurred and consulting services provided. | ||||||||
The Company has an existing obligation to pay NMC a royalty consisting of 2.5% of the NSR on any and all proceeds of production from the Clarkdale Slag Project. The royalty agreement and advance royalty payments are more fully discussed in Note 15. | ||||||||
The following table provides details of transactions between the Company and NMC for the years ended December 31, 2013 and 2012. | ||||||||
2013 | 2012 | |||||||
Reimbursement of expenses | $ | 4,842 | $ | 8,095 | ||||
Consulting services provided | 59,140 | 53,400 | ||||||
Advance royalty payments | 180,000 | 180,000 | ||||||
Mineral and exploration expense – related party | $ | 243,982 | $ | 241,495 | ||||
The Company had outstanding balances due to NMC of $37,896 and $15,000 at December 31, 2013 and 2012, respectively. | ||||||||
Cupit, Milligan, Ogden & Williams, CPAs - The Company utilizes Cupit, Milligan, Ogden & Williams, CPAs (“CMOW”) to provide accounting support services. CMOW is an affiliate of our CFO, Mr. Williams. Fees for services provided by CMOW do not include any charges for Mr. Williams’ time. Mr. Williams is compensated for his time under his employment agreement. | ||||||||
The following table provides details of transactions between the Company and CMOW and the direct benefit to Mr. Williams for the years ended December 31, 2013 and 2012. | ||||||||
2013 | 2012 | |||||||
Accounting support services | $ | 146,346 | $ | 128,196 | ||||
Direct benefit to CFO | $ | 66,441 | $ | 49,996 | ||||
Additionally, in the year ended December 31, 2013, $5,085 of CMOW fees were incurred and capitalized as deferred issuance fees. The Company had an outstanding balance due to CMOW of $8,639 as of December 31, 2013. At December 31, 2012, no amount was due to CMOW. | ||||||||
Ireland Inc. – The Company leases corporate office space under a sublease agreement with Ireland Inc. (“Ireland”). NMC is a shareholder in both the Company and Ireland. Additionally, one of the Company’s directors is the CFO, Treasurer and a director of Ireland and the Company’s CEO provides consulting services to Ireland. The lease agreement commenced September 1, 2013, is for a 2 year period and requires monthly lease payments of $2,819 for the first year and $1,667 for the second year. The lease agreement did not require payment of a security deposit. | ||||||||
Total rent expense incurred under this sublease agreement was $11,276 for the year ended December 31, 2013. No amounts were due to Ireland as of December 31, 2013. | ||||||||
DESCRIPTION_OF_BUSINESS_HISTOR1
DESCRIPTION OF BUSINESS, HISTORY AND SUMMARY OF SIGNIFICANT POLICIES (Policies) | 12 Months Ended | |||
Dec. 31, 2013 | ||||
Accounting Policies [Abstract] | ' | |||
Description of business | ' | |||
Description of business - Searchlight Minerals Corp. (the “Company”) is considered an exploration stage company since its formation, and the Company has not yet realized any revenues from its planned operations. The Company is primarily focused on the exploration, acquisition and development of mining and mineral properties. Upon the location of commercially minable reserves, the Company plans to prepare for mineral extraction and enter the development stage. | ||||
History | ' | |||
History - The Company was incorporated on January 12, 1999 pursuant to the laws of the State of Nevada under the name L.C.M. Equity, Inc. From 1999 to 2005, the Company operated primarily as a biotechnology research and development company with its headquarters in Canada and an office in the United Kingdom (the “UK”). On November 2, 2001, the Company entered into an acquisition agreement with Regma Bio Technologies, Ltd. pursuant to which Regma Bio Technologies, Ltd. entered into a reverse merger with the Company with the surviving entity named “Regma Bio Technologies Limited”. On November 26, 2003, the Company changed its name from “Regma Bio Technologies Limited” to “Phage Genomics, Inc” (“Phage”). | ||||
In February 2005, the Company announced its reorganization from a biotechnology research and development company to a company focused on the development and acquisition of mineral properties. In connection with its reorganization the Company entered into mineral option agreements to acquire an interest in the Searchlight Claims. The Company has consequently been considered as an exploration stage enterprise. Also in connection with its corporate restructuring, its Board of Directors approved a change in its name from Phage to "Searchlight Minerals Corp.” effective June 23, 2005. | ||||
Going concern | ' | |||
Going concern - The Company incurred cumulative net losses of $36,892,206 from operations as of December 31, 2013 and has not commenced its commercial mining and mineral processing operations; rather, it is still in the exploration stage. The accompanying financial statements have been prepared on a going concern basis, which contemplates the realization of assets and satisfaction of liabilities in the normal course of business. For the year ended December 31, 2013, the Company incurred a net loss of $3,875,234, had negative cash flows from operating activities of $5,179,269 and will incur additional future losses due to planned continued exploration stage expenses. | ||||
These matters raise substantial doubt as to the Company’s ability to continue as a going concern. The financial statements do not include any adjustments relating to the recoverability of assets and the amount or classification of liabilities that might be necessary should the Company be unable to continue as a going concern. The Company will seek additional sources of capital through the issuance of debt or equity financing, but there can be no assurance the Company will be successful in accomplishing its objectives. | ||||
Basis of presentation | ' | |||
Basis of presentation - The accompanying financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America. The Company’s fiscal year-end is December 31. | ||||
Certain prior period amounts have been reclassified to conform to the current year presentation. These reclassifications had no impact on the Company’s financial position, results of operations or cash flows. | ||||
Principles of consolidation | ' | |||
Principles of consolidation - The consolidated financial statements include the accounts of the Company and its wholly-owned subsidiaries, Clarkdale Minerals, LLC (“CML”) and Clarkdale Metals Corp. (“CMC”). Significant intercompany accounts and transactions have been eliminated. | ||||
Use of estimates | ' | |||
Use of estimates - The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America (“GAAP”) requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenue and expenses during the reporting period. By their nature, these estimates are subject to measurement uncertainty and the effect on the financial statements of changes in such estimates in future periods could be significant. Significant areas requiring management’s estimates and assumptions include the valuation of stock-based compensation and derivative liabilities, impairment analysis of long-lived assets, and realizability of deferred tax assets. Actual results could differ from those estimates. | ||||
Capitalized interest cost | ' | |||
Capitalized interest cost - The Company capitalizes interest cost related to acquisition, development and construction of property and equipment which is designed as integral parts of the manufacturing process. The capitalized interest is recorded as part of the asset it relates to and will be amortized over the asset’s useful life once production commences. | ||||
Mineral properties | ' | |||
Mineral properties - Costs of acquiring mineral properties are capitalized upon acquisition. Exploration costs and costs to maintain mineral properties are expensed as incurred while the project is in the exploration stage. Once mineral reserves are established, development costs and costs to maintain mineral properties are capitalized as incurred while the property is in the development stage. When a property reaches the production stage, the related capitalized costs are amortized using the units-of-production method over the proven and probable reserves. | ||||
Mineral exploration and development costs | ' | |||
Mineral exploration and development costs - Exploration expenditures incurred prior to entering the development stage are expensed and included in mineral exploration and evaluation expense. | ||||
Property and equipment | ' | |||
Property and equipment - Property and equipment is stated at cost less accumulated depreciation. Depreciation is provided principally on the straight-line method over the estimated useful lives of the assets, which are generally 3 to 39 years. The cost of repairs and maintenance is charged to expense as incurred. Expenditures for property betterments and renewals are capitalized. Upon sale or other disposition of a depreciable asset, cost and accumulated depreciation are removed from the accounts and any gain or loss is reflected in operating expenses. | ||||
Impairment of long-lived assets | ' | |||
Impairment of long-lived assets - The Company reviews and evaluates its long-lived assets for impairment at each balance sheet date due to its planned exploration stage losses and documents such impairment testing. Mineral properties in the exploration stage are monitored for impairment based on factors such as the Company’s continued right to explore the property, exploration reports, drill results, technical reports and continued plans to fund exploration programs on the property. | ||||
The tests for long-lived assets in the exploration, development or producing stage that would have a value beyond proven and probable reserves would be monitored for impairment based on factors such as current market value of the mineral property and results of exploration, future asset utilization, business climate, mineral prices and future undiscounted cash flows expected to result from the use of the related assets. Recoverability of assets to be held and used is measured by a comparison of the carrying amount of an asset to the estimated future net cash flows expected to be generated by the asset, including evaluating its reserves beyond proven and probable amounts. | ||||
The Company's policy is to record an impairment loss in the period when it is determined that the carrying amount of the asset may not be recoverable either by impairment or by abandonment of the property. The impairment loss is calculated as the amount by which the carrying amount of the assets exceeds its fair value. To date, no such impairments have been identified. | ||||
Deferred Financing Fees | ' | |||
Deferred financing fees – Deferred financing fees represent fees paid in connection with obtaining debt financing. These fees are amortized using the effective interest method over the term of the financing. | ||||
Derivative Liabilities | ' | |||
Convertible notes – derivative liabilities – The Company evaluates the embedded features of convertible notes to determine if they are required to be bifurcated and recorded as a derivative liability. If more than one feature is required to be bifurcated, the features are accounted for as a single compound derivative. The fair value of the compound derivative is recorded as a derivative liability and a debt discount. The carrying value of the convertible notes was recorded on the date of issuance at its original value less the fair value of the compound derivative. | ||||
The derivative liability is measured at fair value on a recurring basis with changes reported in other income (expense). Fair value is determined using a model which incorporates estimated probabilities and inputs calculated by both the Binomial Lattice model and present values. The debt discount is amortized to non-cash interest expense using the effective interest method over the life of the notes. If a conversion of the underlying note occurs, a proportionate share of the unamortized amount is immediately expensed. | ||||
Reclamation and remediation costs (asset retirement obligation) | ' | |||
Reclamation and remediation costs - For its exploration stage properties, the Company accrues the estimated costs associated with environmental remediation obligations in the period in which the liability is incurred or becomes determinable. Until such time that a project life is established, the Company records the corresponding cost as an exploration stage expense. The costs of future expenditures for environmental remediation are not discounted to their present value unless subject to a contractually obligated fixed payment schedule. | ||||
Future reclamation and environmental-related expenditures are difficult to estimate in many circumstances due to the early stage nature of the exploration project, the uncertainties associated with defining the nature and extent of environmental disturbance, the application of laws and regulations by regulatory authorities and changes in reclamation or remediation technology. The Company periodically reviews accrued liabilities for such reclamation and remediation costs as evidence indicating that the liabilities have potentially changed becomes available. Changes in estimates are reflected in the consolidated statement of operations in the period an estimate is revised. | ||||
The Company is in the exploration stage and is unable to determine the estimated timing of expenditures relating to reclamation accruals. It is reasonably possible that the ultimate cost of reclamation and remediation could change in the future and that changes to these estimates could have a material effect on future operating results as new information becomes known. | ||||
Fair value of financial instruments | ' | |||
Fair value of financial instruments - The Company’s financial instruments consist principally of derivative liabilities and the Verde River Iron Company, LLC (“VRIC”) payable. Assets and liabilities measured at fair value are categorized based on whether the inputs are observable in the market and the degree that the inputs are observable. The categorization of financial instruments within the valuation hierarchy is based on the lowest level of input that is significant to the fair value measurement. The hierarchy is prioritized into three levels defined 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). | |||
The Company’s financial instruments consist of the VRIC payable (described in Note 9) and derivative liabilities. The VRIC payable is classified within Level 2 of the fair value hierarchy. The fair value approximates carrying value as the imputed interest rate is considered to approximate a market interest rate. | ||||
The Company calculates the fair value of its derivative liabilities using various models which are all Level 3 inputs. The fair value of the derivative warrant liability (described in Note 6) is calculated using the Binomial Lattice model, and the fair value of the derivative liability - convertible notes (described in Note 8) is calculated using a model which incorporates estimated probabilities and inputs calculated by both the Binomial Lattice model and present values. The change in fair value of the derivative liabilities is classified in other income (expense) in the consolidated statement of operations. The Company generally does not use derivative financial instruments to hedge exposures to cash flow, market or foreign currency risks. | ||||
There has been no change in the valuation technique used for the derivative warrant liability since its inception. The valuation technique for the derivative liability – convertible debt was adopted upon its inception, in the third quarter of 2013. The Company does not have any non-financial assets or liabilities that it measures at fair value. During the years ended December 31, 2013 and 2012, there were no transfers of assets or liabilities between levels. | ||||
Per share amounts | ' | |||
Per share amounts - Basic earnings (loss) per share is computed by dividing net income (loss) by the weighted average number of common shares outstanding. In computing diluted earnings per share, the weighted average number of shares outstanding is adjusted to reflect the effect of potentially dilutive securities. Potentially dilutive shares, such as stock options and warrants, are excluded from the calculation when their inclusion would be anti-dilutive, such as when the exercise price of the instrument exceeds the fair market value of the Company’s common stock and when a net loss is reported. The dilutive effect of convertible debt securities is reflected in the diluted earnings (loss) per share calculation using the if-converted method. Conversion of the debt securities is not assumed for purposes of calculating diluted earnings (loss) per share if the effect is anti-dilutive. At December 31, 2013 and 2012, 36,751,266 and 26,184,390 stock options, warrants and common shares issuable upon the conversion of notes were outstanding, respectively, but were not considered in the computation of diluted earnings per share as their inclusion would be anti-dilutive. | ||||
Stock-based compensation | ' | |||
Stock-based compensation - Stock-based compensation awards are recognized in the consolidated financial statements based on the grant date fair value of the award which is estimated using the Binomial Lattice option pricing model. The Company believes that this model provides the best estimate of fair value due to its ability to incorporate inputs that change over time, such as volatility and interest rates, and to allow for the actual exercise behavior of option holders. The compensation cost is recognized over the requisite service period which is generally equal to the vesting period. Upon exercise, shares issued will be newly issued shares from authorized common stock. | ||||
The fair value of performance-based stock option grants is determined on their grant date through the use of the Binomial Lattice option pricing model. The total value of the award is recognized over the requisite service period only if management has determined that achievement of the performance condition is probable. The requisite service period is based on management’s estimate of when the performance condition will be met. Changes in the requisite service period or the estimated probability of achievement can materially affect the amount of stock-based compensation recognized in the financial statements. | ||||
The Company accounts for stock options issued to non-employees based on the estimated fair value of the awards using the Binomial Lattice option pricing model. The measurement of stock-based compensation to non-employees is subject to periodic adjustments as the underlying equity instruments vest, and the resulting change in value, if any, is recognized in the Company’s consolidated statements of operations during the period the related services are rendered. | ||||
Income taxes | ' | |||
Income taxes - The Company follows the liability method of accounting for income taxes. This method recognizes certain temporary differences between the financial reporting basis of liabilities and assets and the related income tax basis for such liabilities and assets. This method generates either a net deferred income tax liability or asset as measured by the statutory tax rates in effect. The effect of a change in tax rates is recognized in operations in the period that includes the enactment date. The Company records a valuation allowance against any portion of those deferred income tax assets when it believes, based on the weight of available evidence, it is more likely than not that some portion or all of the deferred income tax asset will not be realized. | ||||
For acquired properties that do not constitute a business, a deferred income tax liability is recorded on GAAP basis over income tax basis using statutory federal and state rates. The resulting estimated future income tax liability associated with the temporary difference between the acquisition consideration and the tax basis is computed in accordance with Accounting Standards Codification (“ASC”) 740-10-25-51, Acquired Temporary Differences in Certain Purchase Transactions that are Not Accounted for as Business Combinations, and is reflected as an increase to the total purchase price which is then applied to the underlying acquired assets in the absence of there being a goodwill component associated with the acquisition transactions. | ||||
Recent accounting standards | ' | |||
Recent accounting standards - From time to time, new accounting pronouncements are issued by the Financial Accounting Standards Board (“FASB”) that are adopted by the Company as of the specified effective date. Unless otherwise discussed, management believes that the impact of recently issued standards did not or will not have a material impact on the Company’s consolidated financial statements upon adoption. | ||||
In July 2013, the FASB issued ASU No. 2013-11, Presentation of an Unrecognized Tax Benefit When a Net Operating Loss Carryforward, a Similar Tax Loss, or a Tax Credit Carryforward Exists (“ASU 2013-11”), which provides guidance on the presentation of unrecognized tax benefits when net operating loss carryforwards, similar tax losses, or tax credit carryforwards exist. The amendments in this update are effective for fiscal years (and interim periods within those years) beginning after December 15, 2013. Early adoption is permitted. The amendments should be applied prospectively to all unrecognized tax benefits that exist at the effective date. Retrospective application is permitted. The Company does not expect ASU 2013-11 to have a material effect on its financial condition, results of operation, or cash flows. | ||||
PROPERTY_AND_EQUIPMENT_Tables
PROPERTY AND EQUIPMENT (Tables) | 12 Months Ended | |||||||||||||||||||
Dec. 31, 2013 | ||||||||||||||||||||
PROPERTY AND EQUIPMENT [Abstract] | ' | |||||||||||||||||||
Schedule of Property and Equipment | ' | |||||||||||||||||||
Property and equipment consisted of the following: | ||||||||||||||||||||
December 31, 2013 | December 31, 2012 | |||||||||||||||||||
Accumulated | Net Book | Accumulated | Net Book | |||||||||||||||||
Cost | Depreciation | Value | Cost | Depreciation | Value | |||||||||||||||
Furniture and fixtures | $ | 38,255 | $ | -35,759 | $ | 2,496 | $ | 38,255 | $ | -32,055 | $ | 6,200 | ||||||||
Lab equipment | 249,061 | -240,258 | 8,803 | 249,061 | -190,446 | 58,615 | ||||||||||||||
Computers and equipment | 91,002 | -67,775 | 23,227 | 86,635 | -57,836 | 28,799 | ||||||||||||||
Income property | 309,750 | -18,311 | 291,439 | 309,750 | -15,664 | 294,086 | ||||||||||||||
Vehicles | 47,675 | -44,758 | 2,917 | 44,175 | -44,175 | - | ||||||||||||||
Slag conveyance equipment | 300,916 | -230,124 | 70,792 | 300,916 | -157,114 | 143,802 | ||||||||||||||
Demo module building | 6,630,063 | -3,200,854 | 3,429,209 | 6,630,063 | -2,537,848 | 4,092,215 | ||||||||||||||
Grinding circuit | 913,678 | -1,666 | 912,012 | 863,678 | - | 863,678 | ||||||||||||||
Extraction circuit | 898,909 | -89,891 | 809,018 | 879,962 | - | 879,962 | ||||||||||||||
Leaching and filtration | 1,300,618 | -780,371 | 520,247 | 1,300,618 | -520,247 | 780,371 | ||||||||||||||
Fero-silicate storage | 4,326 | -1,298 | 3,028 | 4,326 | -865 | 3,461 | ||||||||||||||
Electrowinning building | 1,492,853 | -447,856 | 1,044,997 | 1,492,853 | -298,571 | 1,194,282 | ||||||||||||||
Site improvements | 1,651,143 | -467,306 | 1,183,837 | 1,534,856 | -350,554 | 1,184,302 | ||||||||||||||
Site equipment | 360,454 | -309,051 | 51,403 | 353,503 | -269,314 | 84,189 | ||||||||||||||
Construction in progress | 1,102,014 | - | 1,102,014 | 1,102,014 | - | 1,102,014 | ||||||||||||||
$ | 15,390,717 | $ | -5,935,278 | $ | 9,455,439 | $ | 15,190,665 | $ | -4,474,689 | $ | 10,715,976 | |||||||||
CLARKDALE_SLAG_PROJECT_Tables
CLARKDALE SLAG PROJECT (Tables) | 12 Months Ended | |||||||
Dec. 31, 2013 | ||||||||
Business Combinations [Abstract] | ' | |||||||
Schedule of Clarkdale Slag Project | ' | |||||||
The following table reflects the recorded purchase consideration for the Clarkdale Slag Project: | ||||||||
Purchase price: | ||||||||
Cash payments | $ | 10,100,000 | ||||||
Joint venture option acquired in 2005 for cash | 690,000 | |||||||
Warrants issued for joint venture option | 1,918,481 | |||||||
Common stock issued | 66,879,375 | |||||||
Monthly payments, current portion | 167,827 | |||||||
Monthly payments, net of current portion | 2,333,360 | |||||||
Acquisition costs | 127,000 | |||||||
Total purchase price | 82,216,043 | |||||||
Net deferred income tax liability assumed - Clarkdale Slag Project | 48,076,734 | |||||||
Total | $ | 130,292,777 | ||||||
The following table reflects the components of the Clarkdale Slag Project: | ||||||||
Allocation of acquisition cost: | ||||||||
Clarkdale Slag Project (including net deferred income tax liability assumed of $48,076,734) | $ | 120,766,877 | ||||||
Land - smelter site and slag pile | 5,916,150 | |||||||
Land | 3,300,000 | |||||||
Income property and improvements | 309,750 | |||||||
Total | $ | 130,292,777 | ||||||
The following table sets forth the change in the Slag Project for the years ended December 31: | ||||||||
2013 | 2012 | |||||||
Slag Pile, beginning balance | $ | 121,667,730 | $ | 121,555,117 | ||||
Capitalized interest costs | 92,081 | 112,613 | ||||||
Slag Pile, ending balance | $ | 121,759,811 | $ | 121,667,730 | ||||
ACCOUNTS_PAYABLE_AND_ACCRUED_L1
ACCOUNTS PAYABLE AND ACCRUED LIABILITIES (Tables) | 12 Months Ended | |||||||
Dec. 31, 2013 | ||||||||
ACCOUNTS PAYABLE AND ACCRUED LIABILITIES [Abstract] | ' | |||||||
Schedule of Accounts Payable and Accrued Liabilities | ' | |||||||
Accounts payable and accrued liabilities at December 31, 2013 and 2012 consisted of the following: | ||||||||
2013 | 2012 | |||||||
Trade accounts payable | $ | 70,272 | $ | 252,782 | ||||
Accrued compensation and related taxes | 45,469 | 61,896 | ||||||
Accrued interest | 79,800 | - | ||||||
$ | 195,541 | $ | 314,678 | |||||
DERIVATIVE_WARRANT_LIABILITY_T
DERIVATIVE WARRANT LIABILITY (Tables) | 12 Months Ended | |||||||
Dec. 31, 2013 | ||||||||
Schedule of Changes in Fair Value of Derivative Liabilities | ' | |||||||
The following table sets forth the changes in the fair value of derivative liability for the years ended December 31: | ||||||||
2013 | 2012 | |||||||
Beginning balance | $ | -274,706 | $ | - | ||||
Adjustment to warrants | - | -734 | ||||||
Change in fair value | 193,132 | -273,972 | ||||||
Ending balance | $ | -81,574 | $ | (274,706 | ||||
Schedule of Assumptions used to Establish Valuation of Warrants | ' | |||||||
The Company estimates the fair value of the derivative liabilities by using the Binomial Lattice pricing-model, with the following assumptions used for the years ended December 31: | ||||||||
2013 | 2012 | |||||||
Dividend yield | - | - | ||||||
Expected volatility | 90.98% - 121.32% | 31.48% - 90.98% | ||||||
Risk-free interest rate | 0.01% - 0.13% | 0.08% - 0.16% | ||||||
Expected life (years) | 0.10 - 0.90 | 0.17 - 0.87 | ||||||
Warrant [Member] | ' | |||||||
Schedule Of Fair Value Assumptions Warrants | ' | |||||||
With respect to the extensions, the Company did not recognize any additional expense as the fair values of the warrants were calculated at zero using the Binomial Lattice model with the following assumptions: | ||||||||
October 25, 2013 | November 1, 2012 | |||||||
Risk-free interest rate | 0.11% | 0.19% | ||||||
Expected volatility | 114.79% | 94.94% | ||||||
Expected life (years) | 1 | 1 | ||||||
CONVERTIBLE_NOTES_Tables
CONVERTIBLE NOTES (Tables) | 12 Months Ended | ||||
Dec. 31, 2013 | |||||
Convertible Debt [Abstract] | ' | ||||
Convertible Debt | ' | ||||
The carrying value of the convertible debt, net of discount was comprised of the following at December 31, 2013: | |||||
Convertible notes at face value | $ | 4,000,000 | |||
Unamortized discount | -1,201,494 | ||||
Convertible notes, net of discount | $ | 2,798,506 | |||
Schedule Of Notes Payable | ' | ||||
The effective interest rate on the Notes is 15.4% which included the following components and amounts for the year ended December 31, 2013: | |||||
Interest rate at 7% | $ | 79,800 | |||
Amortization of debt discount | 59,791 | ||||
Amortization of deferred financing fees | 6,210 | ||||
Total interest expense on convertible notes | $ | 145,801 | |||
DERIVATIVE_LIABILITY_CONVERTIB1
DERIVATIVE LIABILITY - CONVERTIBLE NOTES (Tables) | 12 Months Ended | ||||
Dec. 31, 2013 | |||||
Derivative Liability And Convertible Debt [Abstract] | ' | ||||
Schedule Of Fair Value Assumptions | ' | ||||
Assumptions used for the year ended December 31, 2013 included redemption and conversion estimates/behaviors, estimates regarding future anti-dilutive financing agreements and the following other significant estimates: | |||||
Expected volatility | 93.11% - 101.74% | ||||
Risk-free interest rate | 1.39% - 1.75% | ||||
Expected life (years) | 4.25 - 4.75 | ||||
Schedule Of Derivative Liabilities At Fair Value | ' | ||||
The following table sets forth the changes in the fair value of the derivative liability for the year ended December 31, 2013: | |||||
Beginning balance | $ | - | |||
Issuance of convertible debt | 1,261,285 | ||||
Change in fair value | -505,576 | ||||
Ending balance | $ | 755,709 | |||
VRIC_PAYABLE_RELATED_PARTY_Tab
VRIC PAYABLE - RELATED PARTY (Tables) | 12 Months Ended | ||||
Dec. 31, 2013 | |||||
Other Liabilities Disclosure [Abstract] | ' | ||||
Schedule of Future Principal Payments on VRIC Payable | ' | ||||
The following table represents future minimum payments on the VRIC payable for each of the years ending December 31, | |||||
2014 | $ | 360,000 | |||
2015 | 360,000 | ||||
2016 | 360,000 | ||||
2017 | 60,000 | ||||
Thereafter | - | ||||
Total minimum payments | 1,140,000 | ||||
Less: amount representing interest | -135,879 | ||||
Present value of minimum payments | 1,004,121 | ||||
VRIC payable, current portion | 290,156 | ||||
VRIC payable, net of current portion | $ | 713,965 | |||
STOCKHOLDERS_EQUITY_Tables
STOCKHOLDERS' EQUITY (Tables) | 12 Months Ended | ||||||||
Dec. 31, 2013 | |||||||||
Fair Value of Warrants | ' | ||||||||
The Company calculated the fair value of the warrants at zero using the Binomial Lattice model with the following assumptions: | |||||||||
Risk-free interest rate | 0.11 | % | |||||||
Expected volatility | 114.79 | % | |||||||
Expected life (years) | 1 | ||||||||
Equity Activity Year 2012 [Member] | ' | ||||||||
Fair Value of Warrants | ' | ||||||||
The Company calculated the fair value of the warrants at zero using the Binomial Lattice model with the following assumptions: | |||||||||
Risk-free interest rate | 0.19 | % | |||||||
Expected volatility | 94.94 | % | |||||||
Expected life (years) | 1 | ||||||||
Equity Activity Year 2009 [Member] | ' | ||||||||
Fair Value of Warrants | ' | ||||||||
The increase in warrant value was calculated using the Binomial Lattice model with the following assumptions used: | |||||||||
Risk-free interest rate | 1.36 | % | |||||||
Expected volatility | 71.76 | % | |||||||
Expected life (years) | 2.75 | ||||||||
Equity Activity Year 2008 [Member] | ' | ||||||||
Fair Value of Warrants | ' | ||||||||
The increase in warrant value was calculated using the Binomial Lattice model with the following assumptions used: | |||||||||
Risk-free interest rate | 0.36 | % | |||||||
Expected volatility | 76.59 | % | |||||||
Private Placement [Member] | ' | ||||||||
Summary of Stock Option/Warrant Activity | ' | ||||||||
The following table summarizes the Company’s private placement warrant activity for the years ended December 31, 2013 and 2012: | |||||||||
Weighted | |||||||||
Average | |||||||||
Remaining | |||||||||
Weighted | Contractual | ||||||||
Number of | Average | Life | |||||||
Shares | Exercise Price | (Years) | |||||||
Balance, December 31, 2011 | 13,784,549 | $ | 1.8 | 0.87 | |||||
Warrants granted | 43,633 | 1.71 | 0.42 | ||||||
Warrants expired | - | - | - | ||||||
Warrants exercised | - | - | - | ||||||
Balance, December 31, 2012 | 13,828,212 | 1.79 | 0.87 | ||||||
Warrants granted | 372,723 | 1.64 | 0.87 | ||||||
Warrants expired | - | - | - | ||||||
Warrants exercised | - | - | - | ||||||
Balance, December 31, 2013 | 14,200,935 | $ | 1.74 | 0.87 | |||||
STOCKBASED_COMPENSATION_Tables
STOCK-BASED COMPENSATION (Tables) | 12 Months Ended | ||||||||||||||
Dec. 31, 2013 | |||||||||||||||
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | ' | ||||||||||||||
Schedule of Assumptions Used to Estimate Fair Value of Stock Based Compensation Awards | ' | ||||||||||||||
For both service-based and performance-based stock option grants, the Company estimates the fair value of stock-based compensation awards by using the Binomial Lattice option pricing model with the following assumptions used for the years ended December 31, 2013 and 2012: | |||||||||||||||
2013 | 2012 | ||||||||||||||
Risk-free interest rate | 0.77% - 1.75% | 0.37% - 1.04% | |||||||||||||
Dividend yield | - | - | |||||||||||||
Expected volatility | 90.39% - 101.74% | 84.94% - 97.79% | |||||||||||||
Expected life (years) | 4.25 | 2.00 - 4.55 | |||||||||||||
Summary of Stock-based Compensation Activity | ' | ||||||||||||||
The following table summarizes the Company’s stock-based compensation activity for the years ended December 31, 2013 and 2012: | |||||||||||||||
Weighted | |||||||||||||||
Average | |||||||||||||||
Weighted | Remaining | ||||||||||||||
Average Grant | Weighted | Contractual | Aggregate | ||||||||||||
Number of | Date Fair | Average | Life | Intrinsic | |||||||||||
Shares | Value | Exercise Price | (Years) | Value | |||||||||||
Outstanding, December 31, 2011 | 3,230,953 | $ | 0.62 | $ | 1.17 | 5.07 | |||||||||
Options/warrants granted | 543,425 | 0.45 | 0.84 | 5.61 | |||||||||||
Options/warrants expired | -168,200 | -1.03 | -2.68 | - | |||||||||||
Options/warrants forfeited | - | - | - | - | |||||||||||
Options/warrants exercised | - | - | - | - | |||||||||||
Outstanding, December 31, 2012 | 3,606,178 | 0.59 | 1.05 | 4.69 | |||||||||||
Options/warrants granted | 234,000 | 0.18 | 0.35 | 4.6 | |||||||||||
Options/warrants expired | -39,847 | -0.61 | -1.45 | - | |||||||||||
Options/warrants forfeited | - | - | - | - | |||||||||||
Options/warrants exercised | - | - | - | - | |||||||||||
Outstanding, December 31, 2013 | 3,800,331 | $ | 0.56 | $ | 1.01 | 3.76 | $ | - | |||||||
Exercisable, December 31, 2013 | 3,350,331 | $ | 0.51 | $ | 0.99 | 3.32 | $ | - | |||||||
Schedule of Changes to Stock Based Compensation Awards Subject to Vesting | ' | ||||||||||||||
The following table summarizes the changes of the Company’s stock-based compensation awards subject to vesting for the year ended December 31, 2013: | |||||||||||||||
Weighted | |||||||||||||||
Number of | Average | ||||||||||||||
Shares Subject | Grant Date | ||||||||||||||
to Vesting | Fair Value | ||||||||||||||
Unvested, December 31, 2012 | 1,112,500 | $ | 0.8 | ||||||||||||
Options/warrants granted | - | - | |||||||||||||
Options/warrants vested | -662,500 | -0.7 | |||||||||||||
Options/warrants cancelled | - | - | |||||||||||||
Unvested, December 31, 2013 | 450,000 | $ | 0.95 | ||||||||||||
INCOME_TAXES_Tables
INCOME TAXES (Tables) | 12 Months Ended | |||||||
Dec. 31, 2013 | ||||||||
Income Tax Disclosure [Abstract] | ' | |||||||
Schedule of Net Deferred Tax Assets and Liabilities | ' | |||||||
Significant components of the Company’s net deferred income tax assets and liabilities at December 31, 2013 and 2012 were as follows: | ||||||||
2013 | 2012 | |||||||
Deferred income tax assets: | ||||||||
Net operating loss carryforward | $ | 16,822,317 | $ | 14,724,543 | ||||
Option compensation | 763,779 | 673,271 | ||||||
Property, plant & equipment | 1,021,685 | 773,542 | ||||||
Gross deferred income tax assets | 18,607,781 | 16,171,356 | ||||||
Less: valuation allowance | -733,287 | -622,572 | ||||||
Net deferred income tax assets | 17,874,494 | 15,548,784 | ||||||
Deferred income tax liabilities: | ||||||||
Acquisition related liabilities | -55,197,465 | -55,197,465 | ||||||
Net deferred income tax liability | $ | -37,322,971 | $ | -39,648,681 | ||||
Schedule of Reconciliation of Deferred Income Tax Benefit | ' | |||||||
A reconciliation of the deferred income tax benefit for the years ended December 31, 2013 and 2012 at US federal and state income tax rates to the actual tax provision recorded in the financial statements consisted of the following components: | ||||||||
2013 | 2012 | |||||||
Deferred tax benefit at statutory rates | $ | 2,170,330 | $ | 2,628,027 | ||||
State deferred tax benefit, net of federal benefit | 186,028 | 225,259 | ||||||
Increase (decrease) in deferred tax benefit from: | ||||||||
Change in valuation allowance | -110,715 | -251,471 | ||||||
Change in state NOL’s | -139,362 | -235,131 | ||||||
Gain (loss) on the change in fair value of derivative liabilities | 265,509 | -104,388 | ||||||
Permanent differences | -46,080 | -154,877 | ||||||
Deferred income tax benefit | $ | 2,325,710 | $ | 2,107,419 | ||||
COMMITMENTS_AND_CONTINGENCIES_
COMMITMENTS AND CONTINGENCIES (Tables) | 12 Months Ended | ||||
Dec. 31, 2013 | |||||
Commitments and Contingencies Disclosure [Abstract] | ' | ||||
Contractual Obligation Fiscal Year Maturity Schedule | ' | ||||
The following table represents future rent payments for each of the years ending December 31, | |||||
2014 | $ | 29,220 | |||
2015 | 13,336 | ||||
Thereafter | - | ||||
$ | 42,556 | ||||
RELATED_PARTY_TRANSACTIONS_Tab
RELATED PARTY TRANSACTIONS (Tables) | 12 Months Ended | |||||||
Dec. 31, 2013 | ||||||||
Nanominerals Corporation [Member] | ' | |||||||
Related Party Transaction [Line Items] | ' | |||||||
Schedule of Related Party Transactions | ' | |||||||
The following table provides details of transactions between the Company and NMC for the years ended December 31, 2013 and 2012. | ||||||||
2013 | 2012 | |||||||
Reimbursement of expenses | $ | 4,842 | $ | 8,095 | ||||
Consulting services provided | 59,140 | 53,400 | ||||||
Advance royalty payments | 180,000 | 180,000 | ||||||
Mineral and exploration expense – related party | $ | 243,982 | $ | 241,495 | ||||
Chief Financial Officer [Member] | Cupit Milligan Ogden Williams Certified Public Accountants [Member] | ' | |||||||
Related Party Transaction [Line Items] | ' | |||||||
Schedule of Related Party Transactions | ' | |||||||
The following table provides details of transactions between the Company and CMOW and the direct benefit to Mr. Williams for the years ended December 31, 2013 and 2012. | ||||||||
2013 | 2012 | |||||||
Accounting support services | $ | 146,346 | $ | 128,196 | ||||
Direct benefit to CFO | $ | 66,441 | $ | 49,996 | ||||
DESCRIPTION_OF_BUSINESS_HISTOR2
DESCRIPTION OF BUSINESS, HISTORY AND SUMMARY OF SIGNIFICANT POLICIES (Additional Information) (Details) (USD $) | 12 Months Ended | 168 Months Ended | |||||||||||||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2010 | Dec. 31, 2009 | Dec. 31, 2008 | Dec. 31, 2007 | Dec. 31, 2006 | Dec. 31, 2005 | Dec. 31, 2004 | Dec. 31, 2003 | Dec. 31, 2002 | Dec. 31, 2001 | Dec. 31, 2000 | Dec. 31, 2013 | |
Organization And Summary Of Significant Accounting Policies [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Accumulated deficit during exploration stage | $36,892,206 | $33,016,972 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $36,892,206 |
Net loss | -3,875,234 | -5,401,229 | -3,415,345 | -1,740,115 | -7,277,131 | -4,955,056 | -2,221,818 | -2,540,978 | -1,201,424 | -700,444 | -1,283,872 | -1,249,644 | -767,798 | -231,969 | -36,892,206 |
Cash flows from operating activities | ($5,179,269) | ($4,963,876) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ($41,115,894) |
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount | 36,751,266 | 26,184,390 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Minimum [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Organization And Summary Of Significant Accounting Policies [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Property and equipment, estimated useful lives | '3 years | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Maximum [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Organization And Summary Of Significant Accounting Policies [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Property and equipment, estimated useful lives | '39 years | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
PROPERTY_AND_EQUIPMENT_Additio
PROPERTY AND EQUIPMENT (Additional Information) (Details) (USD $) | 12 Months Ended | 168 Months Ended | |
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | |
Property, Plant and Equipment [Line Items] | ' | ' | ' |
Depreciation expense | $1,460,589 | $1,371,548 | $5,970,199 |
PROPERTY_AND_EQUIPMENT_Details
PROPERTY AND EQUIPMENT (Details) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
Property, Plant and Equipment [Line Items] | ' | ' |
Cost | $15,390,717 | $15,190,665 |
Accumulated Depreciation | -5,935,278 | -4,474,689 |
Net Book Value | 9,455,439 | 10,715,976 |
Furniture and Fixtures [Member] | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' |
Cost | 38,255 | 38,255 |
Accumulated Depreciation | -35,759 | -32,055 |
Net Book Value | 2,496 | 6,200 |
Lab Equipment [Member] | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' |
Cost | 249,061 | 249,061 |
Accumulated Depreciation | -240,258 | -190,446 |
Net Book Value | 8,803 | 58,615 |
Computers and Equipment [Member] | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' |
Cost | 91,002 | 86,635 |
Accumulated Depreciation | -67,775 | -57,836 |
Net Book Value | 23,227 | 28,799 |
Income property [Member] | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' |
Cost | 309,750 | 309,750 |
Accumulated Depreciation | -18,311 | -15,664 |
Net Book Value | 291,439 | 294,086 |
Vehicles [Member] | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' |
Cost | 47,675 | 44,175 |
Accumulated Depreciation | -44,758 | -44,175 |
Net Book Value | 2,917 | 0 |
Slag conveyance equipment [Member] | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' |
Cost | 300,916 | 300,916 |
Accumulated Depreciation | -230,124 | -157,114 |
Net Book Value | 70,792 | 143,802 |
Demo Module Building [Member] | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' |
Cost | 6,630,063 | 6,630,063 |
Accumulated Depreciation | -3,200,854 | -2,537,848 |
Net Book Value | 3,429,209 | 4,092,215 |
Grinding Circuit [Member] | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' |
Cost | 913,678 | 863,678 |
Accumulated Depreciation | -1,666 | 0 |
Net Book Value | 912,012 | 863,678 |
Extraction Circuit [Member] | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' |
Cost | 898,909 | 879,962 |
Accumulated Depreciation | -89,891 | 0 |
Net Book Value | 809,018 | 879,962 |
Leaching And Filtration [Member] | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' |
Cost | 1,300,618 | 1,300,618 |
Accumulated Depreciation | -780,371 | -520,247 |
Net Book Value | 520,247 | 780,371 |
Fero-silicate storage [Member] | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' |
Cost | 4,326 | 4,326 |
Accumulated Depreciation | -1,298 | -865 |
Net Book Value | 3,028 | 3,461 |
Electrowinning Building [Member] | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' |
Cost | 1,492,853 | 1,492,853 |
Accumulated Depreciation | -447,856 | -298,571 |
Net Book Value | 1,044,997 | 1,194,282 |
Site improvements [Member] | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' |
Cost | 1,651,143 | 1,534,856 |
Accumulated Depreciation | -467,306 | -350,554 |
Net Book Value | 1,183,837 | 1,184,302 |
Site equipment [Member] | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' |
Cost | 360,454 | 353,503 |
Accumulated Depreciation | -309,051 | -269,314 |
Net Book Value | 51,403 | 84,189 |
Construction in Progress [Member] | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' |
Cost | 1,102,014 | 1,102,014 |
Accumulated Depreciation | 0 | 0 |
Net Book Value | $1,102,014 | $1,102,014 |
CLARKDALE_SLAG_PROJECT_Additio
CLARKDALE SLAG PROJECT (Additional Information) (Details) (USD $) | 1 Months Ended | 1 Months Ended | 3 Months Ended | 1 Months Ended | 1 Months Ended | 0 Months Ended | 1 Months Ended | 1 Months Ended | 1 Months Ended | 1 Months Ended | ||||||||||||||||
Dec. 31, 2008 | Dec. 31, 2013 | Dec. 31, 2012 | Jan. 02, 2011 | Dec. 31, 2010 | Feb. 28, 2007 | Mar. 31, 2007 | Feb. 28, 2007 | Feb. 28, 2007 | Feb. 28, 2007 | Feb. 28, 2007 | Jan. 02, 2011 | Feb. 15, 2007 | Feb. 28, 2007 | Feb. 15, 2007 | Feb. 15, 2007 | Feb. 28, 2007 | Feb. 15, 2007 | Feb. 28, 2007 | Feb. 15, 2007 | Feb. 15, 2007 | Feb. 28, 2007 | Feb. 28, 2007 | Feb. 15, 2007 | Feb. 28, 2007 | Feb. 28, 2007 | |
Nanominerals Corporation [Member] | Nanominerals Corporation [Member] | Clarkdale Slag Project [Member] | Clarkdale Slag Project [Member] | Clarkdale Slag Project [Member] | Clarkdale Slag Project [Member] | Clarkdale Slag Project [Member] | Clarkdale Slag Project [Member] | Clarkdale Slag Project [Member] | Clarkdale Slag Project [Member] | Clarkdale Slag Project [Member] | Clarkdale Slag Project [Member] | Clarkdale Slag Project [Member] | Clarkdale Slag Project [Member] | Clarkdale Slag Project [Member] | Clarkdale Slag Project [Member] | Clarkdale Slag Project [Member] | Clarkdale Slag Project [Member] | Clarkdale Slag Project [Member] | Clarkdale Slag Project [Member] | Clarkdale Slag Project [Member] | Clarkdale Slag Project [Member] | Clarkdale Slag Project [Member] | ||||
Land Smelter Site And Slag Pile [Member] | Land [Member] | Building and Building Improvements [Member] | Nanominerals Corporation [Member] | Nanominerals Corporation [Member] | Nanominerals Corporation [Member] | Nanominerals Corporation [Member] | Nanominerals Corporation [Member] | Verde River Iron Company Limited Liability Company [Member] | Verde River Iron Company Limited Liability Company [Member] | Verde River Iron Company Limited Liability Company [Member] | Verde River Iron Company Limited Liability Company [Member] | Verde River Iron Company Limited Liability Company [Member] | Verde River Iron Company Limited Liability Company [Member] | Verde River Iron Company Limited Liability Company [Member] | Verde River Iron Company Limited Liability Company [Member] | Verde River Iron Company Limited Liability Company [Member] | Verde River Iron Company Limited Liability Company [Member] | Verde River Iron Company Limited Liability Company [Member] | ||||||||
Scenario, Previously Reported [Member] | Scenario, Previously Reported [Member] | Minimum [Member] | Project Royalty [Member] | Royalty Payments [Member] | Cash Flow [Member] | On Execution Of Letter Agreement [Member] | On Closing Date [Member] | Scenario, Previously Reported [Member] | Monthly Payment [Member] | Nanominerals Corporation [Member] | ||||||||||||||||
Noncash or Part Noncash Acquisitions [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Purchase of assets, ownership interest acquired | ' | ' | ' | ' | ' | ' | 100.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Joint venture ownership interest | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 50.00% | ' | 50.00% | ' | ' | ' | ' | ' | ' | ' | ' | 50.00% | ' | ' |
Allocation of acquisition cost | ' | ' | ' | ' | ' | $120,766,877 | ' | $5,916,150 | $3,300,000 | $309,750 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Allocation of acquisition cost | ' | ' | ' | ' | ' | 120,766,877 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Common stock issued | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 16,825,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Common stock issued, per share | $2.45 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $3.98 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Monthly payments, current portion | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 30,000 | ' | ' | ' | ' | 200,000 | 9,900,000 | ' | 30,000 | ' |
Monthly payment Period | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '90 days | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Additional contingent payment | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 6,400,000 | ' | ' | ' | 500,000 | 3,500,000 | ' | ' | ' | ' | ' |
Advance royalty payment amount | ' | ' | ' | 15,000 | 660,000 | ' | ' | ' | ' | ' | ' | 15,000 | ' | ' | ' | 500,000 | ' | 500,000 | ' | ' | ' | ' | ' | ' | ' | ' |
The Minimum project royalty payments that should be made for the advance royalty not to remains payable | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 500,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Royalty payment percentage | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 2.50% | ' | ' | 5.00% | ' | ' | ' | ' | 2.50% | ' | ' | ' | ' | ' | ' | 2.50% |
Accumulated Capitalized Interest Costs | ' | 992,934 | 900,853 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Purchase of assets, purchase price | ' | ' | ' | ' | ' | 130,292,777 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Net deferred income tax liability assumed | ' | ' | ' | ' | ' | $48,076,734 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
CLARKDALE_SLAG_PROJECT_Purchas
CLARKDALE SLAG PROJECT (Purchase Consideration for Clarkdale Slag Project) (Details) (Clarkdale Slag Project [Member], USD $) | 1 Months Ended |
Feb. 28, 2007 | |
Purchase price: | ' |
Cash payments | $10,100,000 |
Joint venture option acquired in 2005 for cash | 690,000 |
Warrants issued for joint venture option | 1,918,481 |
Common stock issued | 66,879,375 |
Acquisition costs | 127,000 |
Total purchase price | 82,216,043 |
Net deferred income tax liability assumed - Clarkdale Slag Project | 48,076,734 |
Total | 130,292,777 |
Current Liabilities [Member] | ' |
Purchase price: | ' |
Monthly payments, current portion | 167,827 |
Noncurrent Liabilities [Member] | ' |
Purchase price: | ' |
Monthly payments, net of current portion | $2,333,360 |
CLARKDALE_SLAG_PROJECT_Compone
CLARKDALE SLAG PROJECT (Components of Clarkdale Slag Project) (Details) (Clarkdale Slag Project [Member], USD $) | 1 Months Ended |
Feb. 28, 2007 | |
Purchase price: | ' |
Allocation of acquisition cost | $120,766,877 |
Total | 130,292,777 |
Land Smelter Site And Slag Pile [Member] | ' |
Purchase price: | ' |
Allocation of acquisition cost | 5,916,150 |
Land [Member] | ' |
Purchase price: | ' |
Allocation of acquisition cost | 3,300,000 |
Building and Building Improvements [Member] | ' |
Purchase price: | ' |
Allocation of acquisition cost | $309,750 |
CLARKDALE_SLAG_PROJECT_Changes
CLARKDALE SLAG PROJECT (Changes in the Slag Project) (Details) (Slag Project [Member], USD $) | 12 Months Ended | |
Dec. 31, 2013 | Dec. 31, 2012 | |
Slag Project [Member] | ' | ' |
Noncash or Part Noncash Acquisitions [Line Items] | ' | ' |
Slag Pile, beginning balance | $121,667,730 | $121,555,117 |
Capitalized interest costs | 92,081 | 112,613 |
Slag Pile, ending balance | $121,759,811 | $121,667,730 |
MINERAL_PROPERTIES_MINING_CLAI1
MINERAL PROPERTIES - MINING CLAIMS (Additional Information) (Details) (USD $) | 1 Months Ended | 12 Months Ended | 36 Months Ended | 12 Months Ended | ||||
Jun. 30, 2007 | Dec. 31, 2013 | Dec. 31, 2012 | Jun. 30, 2008 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | |
acre | Mining Properties and Mineral Rights [Member] | Staked Mining Claims [Member] | Double Staked Mining Claims [Member] | Mining Claims [Member] | Mining Claims [Member] | |||
acre | acre | |||||||
Costs Incurred, Oil and Gas Property Acquisition, Exploration, and Development Activities [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' |
Mining claims, area of property | ' | 3,200 | ' | ' | 160 | 142 | ' | ' |
Mining claims, number of claims | ' | ' | ' | ' | 20 | 20 | ' | ' |
Mineral properties balance | ' | ' | ' | ' | ' | ' | $16,947,419 | $16,947,419 |
Issuance of common stock for mining claims | 5,600,000 | ' | ' | 5,600,000 | ' | ' | ' | ' |
Malpractice Loss Contingency, Letters of Credit and Surety Bonds | ' | $11,466 | $7,802 | ' | ' | ' | ' | ' |
ACCOUNTS_PAYABLE_AND_ACCRUED_L2
ACCOUNTS PAYABLE AND ACCRUED LIABILITIES (Details) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
Accounts Payable And Accrued Liabilities [Line Items] | ' | ' |
Trade accounts payable | $70,272 | $252,782 |
Accrued compensation and related taxes | 45,469 | 61,896 |
Accrued interest | 79,800 | 0 |
Accounts payable and accrued liabilities | $195,541 | $314,678 |
DERIVATIVE_WARRANT_LIABILITY_A
DERIVATIVE WARRANT LIABILITY (Additional Information) (Details) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2000 | Dec. 31, 2013 | Nov. 30, 2012 | Nov. 30, 2009 | Nov. 12, 2009 | Jun. 07, 2012 | Dec. 31, 2013 | Nov. 12, 2009 | Dec. 31, 2012 |
Warrant [Member] | Warrant [Member] | Common Stock [Member] | Subsequent Event [Member] | Warrant Amendment [Member] | Private Placement [Member] | Private Placement [Member] | Private Placement [Member] | Private Placement [Member] | Private Placement [Member] | Private Placement [Member] | |
Luxor Capital Partners LP [Member] | Luxor Capital Partners LP [Member] | Stock Issuance Costs [Member] | Scenario Cumulative Adjustment [Member] | ||||||||
Derivative [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Shares of common stock issued | ' | ' | 50,000,000 | ' | ' | 12,078,596 | ' | ' | ' | ' | ' |
Number Of Units Issued Through Private Placement | ' | ' | ' | ' | ' | 12,078,596 | ' | ' | ' | ' | ' |
Shares of common stock that can be purchased by the warrants | ' | ' | ' | ' | ' | ' | 6,039,298 | ' | ' | 301,965 | 817,285 |
Commission paid to agents | ' | ' | ' | ' | ' | $1,056,877 | ' | $2,040 | ' | ' | ' |
Total number of warrants that anti dilution rights were waived on | ' | ' | ' | ' | ' | ' | ' | ' | 4,252,883 | ' | ' |
Warrants issued exercisable date | ' | ' | ' | ' | ' | 12-Nov-09 | ' | ' | ' | ' | ' |
Exercise price of warrant | 1.62 | ' | ' | ' | ' | ' | 1.85 | ' | 1.65 | ' | ' |
Warrants expiration date | ' | ' | ' | 12-Nov-14 | 12-Nov-13 | 12-Nov-12 | ' | ' | ' | ' | ' |
Warrants Transferred | ' | ' | ' | ' | ' | ' | ' | ' | 269,956 | ' | ' |
Derivative Liability, Number of Instruments Held | 7,158,548 | 6,685,825 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
DERIVATIVE_WARRANT_LIABILITY_S
DERIVATIVE WARRANT LIABILITY (Schedule of Fair Value of Warrants) (Details) (Warrant [Member]) | 1 Months Ended | |
Oct. 25, 2013 | Nov. 01, 2012 | |
Warrant [Member] | ' | ' |
Derivative [Line Items] | ' | ' |
Risk-free interest rate | 0.11% | 0.19% |
Expected volatility | 114.79% | 94.94% |
Expected life (years) | '1 year | '1 year |
DERIVATIVE_WARRANT_LIABILITY_C
DERIVATIVE WARRANT LIABILITY (Changes in Fair Value of Derivative Liabilities) (Details) (USD $) | 12 Months Ended | |
Dec. 31, 2013 | Dec. 31, 2012 | |
Derivatives, Fair Value [Line Items] | ' | ' |
Beginning balance | $274,706 | $0 |
Adjustment to warrants | 0 | -734 |
Change in fair value | 193,132 | -273,972 |
Ending balance | $81,574 | $274,706 |
DERIVATIVE_WARRANT_LIABILITY_A1
DERIVATIVE WARRANT LIABILITY (Assumptions Used to Estimates Fair Value of Derivative Liabilities) (Details) | 12 Months Ended | |
Dec. 31, 2013 | Dec. 31, 2012 | |
Derivative [Line Items] | ' | ' |
Dividend yield | 0.00% | 0.00% |
Minimum [Member] | ' | ' |
Derivative [Line Items] | ' | ' |
Expected volatility | 90.98% | 31.48% |
Risk-free interest rate | 0.01% | 0.08% |
Expected life (years) | '1 month 6 days | '2 months 1 day |
Maximum [Member] | ' | ' |
Derivative [Line Items] | ' | ' |
Expected volatility | 121.32% | 90.98% |
Risk-free interest rate | 0.13% | 0.16% |
Expected life (years) | '10 months 24 days | '10 months 13 days |
CONVERTIBLE_NOTES_Additional_I
CONVERTIBLE NOTES (Additional Information) (Details) (USD $) | 12 Months Ended | 168 Months Ended | |
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | |
Proceeds from Convertible Debt | $4,000,000 | $0 | $4,000,000 |
Amount of Principal Balance Payable Upon a Change of Control | 120.00% | ' | 120.00% |
Debt Instrument, Convertible, Conversion Price | $0.40 | ' | $0.40 |
Debt Issuance Costs Incurred During Noncash or Partial Noncash Transaction | 1,261,285 | 0 | 1,261,285 |
Convertible Notes Payable [Member] | ' | ' | ' |
Proceeds from Convertible Debt | 4,000,000 | ' | ' |
Debt Instrument, Term | '5 years | ' | ' |
Long-term Debt, Percentage Bearing Fixed Interest, Percentage Rate | 7.00% | ' | 7.00% |
Debt Instrument, Frequency of Periodic Payment | 'semi-annually | ' | ' |
Debt Instrument, Debt Default, Percentage Of Interest | 9.00% | ' | ' |
Amount of Principal Balance Payable Upon a Change of Control | 120.00% | ' | 120.00% |
Additional Secured Indebtedness, Amount | 600,000 | ' | ' |
Debt Instrument, Convertible, Conversion Price | $0.40 | ' | $0.40 |
Debt Conversion, Converted Instrument, Shares Issued | 10,000,000 | ' | ' |
Debt Issuance Costs Incurred During Noncash or Partial Noncash Transaction | 1,261,285 | ' | ' |
Debt Instrument, Interest Rate, Basis for Effective Rate | '15.4% | ' | ' |
Convertible Notes Financing Fees | $126,446 | ' | ' |
CONVERTIBLE_NOTES_Schedule_of_
CONVERTIBLE NOTES (Schedule of Carrying value of the Convertible debt) (Details) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
Convertible notes at face value | $4,000,000 | ' |
Unamortized discount | -1,201,494 | ' |
Convertible notes, net of discount | $2,798,506 | $0 |
CONVERTIBLE_NOTES_Schedule_of_1
CONVERTIBLE NOTES (Schedule of Components and amounts of effective interest rate) (Details) (USD $) | 12 Months Ended | 168 Months Ended | |
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | |
Total interest expense on convertible notes | $149,635 | $0 | $163,778 |
Notes Payable, Other Payables [Member] | ' | ' | ' |
Interest rate at 7% | 79,800 | ' | ' |
Amortization of debt discount | 59,791 | ' | ' |
Amortization of deferred financing fees | 6,210 | ' | ' |
Total interest expense on convertible notes | $145,801 | ' | ' |
DERIVATIVE_LIABILITY_CONVERTIB2
DERIVATIVE LIABILITY - CONVERTIBLE NOTES (Additional Information) (Details) (USD $) | 12 Months Ended |
Dec. 31, 2013 | |
Derivative Liability And Convertible Debt [Line Items] | ' |
Debt Instrument, Convertible, Conversion Price | $0.40 |
Amount of Principal Balance Payable Upon a Change of Control | 120.00% |
Private Placement [Member] | ' |
Derivative Liability And Convertible Debt [Line Items] | ' |
Proceeds from Issuance of Long-term Debt, Total | $4,000,000 |
DERIVATIVE_LIABILITY_CONVERTIB3
DERIVATIVE LIABILITY - CONVERTIBLE NOTES (Schedule of Other significant estimates) (Details) | 12 Months Ended | |
Dec. 31, 2013 | Dec. 31, 2003 | |
Maximum [Member] | ' | ' |
Derivative Liability And Convertible Debt [Line Items] | ' | ' |
Estimated life (years) | '4 years 9 months | ' |
Maximum [Member] | Convertible Notes Payable [Member] | ' | ' |
Derivative Liability And Convertible Debt [Line Items] | ' | ' |
Expected volatility | ' | 101.74% |
Risk-free interest rate | 1.75% | ' |
Minimum [Member] | ' | ' |
Derivative Liability And Convertible Debt [Line Items] | ' | ' |
Estimated life (years) | '4 years 3 months | ' |
Minimum [Member] | Convertible Notes Payable [Member] | ' | ' |
Derivative Liability And Convertible Debt [Line Items] | ' | ' |
Expected volatility | 93.11% | ' |
Risk-free interest rate | 1.39% | ' |
DERIVATIVE_LIABILITY_CONVERTIB4
DERIVATIVE LIABILITY - CONVERTIBLE NOTES (Schedule of fair value of the derivative liability) (Details) (USD $) | 12 Months Ended | 168 Months Ended | |
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | |
Derivative Liability And Convertible Debt [Line Items] | ' | ' | ' |
Beginning balance | $0 | ' | ' |
Proceeds from Convertible Debt | 1,261,285 | 0 | 1,261,285 |
Ending balance | 755,709 | 0 | 755,709 |
Convertible Notes Payable [Member] | ' | ' | ' |
Derivative Liability And Convertible Debt [Line Items] | ' | ' | ' |
Beginning balance | 0 | ' | ' |
Proceeds from Convertible Debt | 1,261,285 | ' | ' |
Change In Fair Value Of Derivative Liabilities | -505,576 | ' | ' |
Ending balance | $755,709 | ' | $755,709 |
VRIC_PAYABLE_RELATED_PARTY_Add
VRIC PAYABLE - RELATED PARTY (Additional Information) (Details) (USD $) | 12 Months Ended | |
Dec. 31, 2013 | Dec. 31, 2012 | |
Recorded Unconditional Purchase Obligation [Line Items] | ' | ' |
Interest Expense, Other | $92,081 | $112,614 |
Clarkdale Slag Project [Member] | Verde River Iron Company Limited Liability Company [Member] | ' | ' |
Recorded Unconditional Purchase Obligation [Line Items] | ' | ' |
Monthly payments | 30,000 | ' |
Effective interest rate used for present value of monthly payment | 8.00% | ' |
Purchase of assets, Present value of monthly payment commitment | 2,501,187 | ' |
Purchase of assets, imputed interest on the monthly payment commitment | $1,128,813 | ' |
Expected term used for present value of monthly payment | '10 years | ' |
VRIC_PAYABLE_RELATED_PARTY_Fut
VRIC PAYABLE - RELATED PARTY (Future Principal Payments on VRIC Payable) (Details) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
Related Party Transaction [Line Items] | ' | ' |
2014 | $360,000 | ' |
2015 | 360,000 | ' |
2016 | 360,000 | ' |
2017 | 60,000 | ' |
Thereafter | 0 | ' |
Total minimum payments | 1,140,000 | ' |
Less: amount representing interest | -135,879 | ' |
Present value of minimum payments | 1,004,121 | ' |
VRIC payable, current portion | 290,156 | 267,919 |
VRIC payable, net of current portion | $713,965 | $1,004,121 |
STOCKHOLDERS_EQUITY_2012_Trans
STOCKHOLDERS' EQUITY (2012 Transactions) (Details) (USD $) | 1 Months Ended | 1 Months Ended | 1 Months Ended | 12 Months Ended | 1 Months Ended | |||
Dec. 31, 2008 | Nov. 30, 2009 | Nov. 12, 2009 | Jun. 07, 2012 | Dec. 31, 2013 | Nov. 01, 2012 | Dec. 31, 2005 | 24-May-12 | |
Private Placement [Member] | Private Placement [Member] | Private Placement [Member] | Private Placement [Member] | Warrant Amendment [Member] | Issuance Of Common Stock From Warrants Exercised [Member] | Issuance Of Common Stock From Warrants Exercised [Member] | ||
Luxor Capital Partners LP [Member] | Luxor Capital Partners LP [Member] | 2012 Equity Transactions [Member] | 2012 Equity Transactions [Member] | |||||
Stockholders Equity Note [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' |
Stock Issued During Period, Shares, New Issues | ' | ' | ' | 4,500,000 | ' | ' | ' | 250,000 |
Development Stage Entities, Equity Issuance, Per Share Amount | $2.45 | ' | ' | $0.90 | ' | ' | $0.38 | ' |
Proceeds from Issuance of Private Placement | ' | ' | ' | $4,050,000 | ' | ' | ' | ' |
Adjustments to Additional Paid in Capital, Stock Issued, Issuance Costs | ' | 1,056,877 | ' | 2,040 | ' | ' | ' | ' |
Proceeds from Warrant Exercises | ' | ' | ' | ' | ' | ' | ' | $93,750 |
Class of Warrant or Right, Exercise Price of Warrants or Rights | ' | ' | 1.85 | ' | 1.65 | ' | ' | 0.375 |
Warrants expiration date | ' | 12-Nov-12 | ' | ' | ' | 12-Nov-13 | ' | 15-Jun-15 |
STOCKHOLDERS_EQUITY_2011_Trans
STOCKHOLDERS' EQUITY (2011 Transactions) (Details) (USD $) | 1 Months Ended | 12 Months Ended | 168 Months Ended | 12 Months Ended | 1 Months Ended | 12 Months Ended | |||||||||||
Dec. 31, 2008 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2010 | Dec. 15, 2011 | Nov. 15, 2011 | Oct. 15, 2011 | Sep. 15, 2011 | Apr. 15, 2011 | Mar. 15, 2011 | Feb. 15, 2011 | Jan. 18, 2011 | Dec. 22, 2010 | Dec. 31, 2011 | Dec. 22, 2010 | |
Issuance Of Common Stock Under Common Stock Purchase Agreement [Member] | Issuance Of Common Stock Under Common Stock Purchase Agreement [Member] | 2011 Equity Transactions [Member] | 2011 Equity Transactions [Member] | 2011 Equity Transactions [Member] | 2011 Equity Transactions [Member] | 2011 Equity Transactions [Member] | 2011 Equity Transactions [Member] | 2011 Equity Transactions [Member] | 2011 Equity Transactions [Member] | 2011 Equity Transactions [Member] | 2011 Equity Transactions [Member] | Maximum [Member] | |||||
Seaside 88 LP [Member] | Seaside 88 LP [Member] | Seaside 88 LP [Member] | Seaside 88 LP [Member] | Seaside 88 LP [Member] | Seaside 88 LP [Member] | Seaside 88 LP [Member] | Seaside 88 LP [Member] | Seaside 88 LP [Member] | Seaside 88 LP [Member] | 2011 Equity Transactions [Member] | |||||||
Issuance Of Common Stock Under Common Stock Purchase Agreement [Member] | Issuance Of Common Stock Under Common Stock Purchase Agreement [Member] | Issuance Of Common Stock Under Common Stock Purchase Agreement [Member] | Issuance Of Common Stock Under Common Stock Purchase Agreement [Member] | Issuance Of Common Stock Under Common Stock Purchase Agreement [Member] | Issuance Of Common Stock Under Common Stock Purchase Agreement [Member] | Issuance Of Common Stock Under Common Stock Purchase Agreement [Member] | Issuance Of Common Stock Under Common Stock Purchase Agreement [Member] | Issuance Of Common Stock Under Common Stock Purchase Agreement [Member] | Issuance Of Common Stock Under Common Stock Purchase Agreement [Member] | Seaside 88 LP [Member] | |||||||
Stockholders Equity Note [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Stock Issued During Period, Shares, New Issues | ' | ' | ' | ' | ' | ' | 1,000,000 | 1,000,000 | 1,000,000 | 1,000,000 | 1,000,000 | 1,000,000 | 1,000,000 | 1,000,000 | 3,000,000 | 11,000,000 | ' |
Common Stock Purchase Agreement Monthly Shares Issuable | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1,000,000 |
Development Stage Entities, Equity Issuance, Per Share Amount | $2.45 | ' | ' | ' | $0.90 | $0.53 | $0.56 | $0.68 | $0.93 | $0.62 | $0.45 | $0.48 | $0.49 | $0.66 | ' | ' | ' |
Proceeds from Issuance of Common Stock | ' | $0 | $4,143,750 | $70,330,435 | ' | ' | $560,920 | $679,575 | $928,030 | $619,395 | $448,460 | $476,935 | $491,980 | $661,895 | ' | ' | ' |
Adjustments to Additional Paid in Capital, Stock Issued, Issuance Costs | ' | ' | ' | ' | ' | ' | $2,500 | $2,500 | $2,500 | $2,500 | $2,500 | $2,500 | $2,500 | $2,500 | ' | ' | ' |
STOCKHOLDERS_EQUITY_2010_Trans
STOCKHOLDERS' EQUITY (2010 Transactions) (Details) (USD $) | 1 Months Ended | 12 Months Ended | 168 Months Ended | 12 Months Ended | 1 Months Ended | |||||||||||||||||
Jun. 30, 2012 | Mar. 31, 2012 | Oct. 31, 2010 | Dec. 31, 2008 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2010 | Dec. 31, 2009 | Dec. 31, 2008 | Dec. 31, 2007 | Dec. 31, 2006 | Dec. 31, 2005 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2010 | Nov. 30, 2010 | Oct. 31, 2010 | Sep. 30, 2010 | Jun. 30, 2010 | Mar. 31, 2010 | Dec. 23, 2010 | |
Issuance Of Common Stock Under Common Stock Purchase Agreement [Member] | Issuance Of Common Stock Under Common Stock Purchase Agreement [Member] | 2010 Equity Transactions [Member] | 2010 Equity Transactions [Member] | 2010 Equity Transactions [Member] | 2010 Equity Transactions [Member] | 2010 Equity Transactions [Member] | 2010 Equity Transactions [Member] | |||||||||||||||
Officer Former Officer And Director [Member] | Director And Officer [Member] | Non-officer Director [Member] | Two Nonofficer Directors [Member] | Two Nonofficer Directors [Member] | Issuance Of Common Stock Under Common Stock Purchase Agreement [Member] | |||||||||||||||||
Seaside 88 LP [Member] | ||||||||||||||||||||||
Stockholders Equity Note [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Common stock issued in connection with exercise of options, shares issued | ' | ' | ' | ' | 0 | 0 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1,136,567 | 63,433 | ' | ' | ' | 3,000,000 |
Equity issuance, price per share | ' | ' | ' | $2.45 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $0.90 | $0.53 | ' | ' | $0.98 | $0.70 | $1.20 | ' |
Proceeds from exercise of stock options | ' | ' | $27,910 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $500,090 | ' | ' | ' | ' | ' |
Stock options exercised, exercise price | ' | ' | $0.44 | ' | $0 | $0 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $0.44 | ' | ' | ' | ' | ' |
Expiration date of options | 30-Jun-17 | 31-Mar-17 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 21-Nov-10 | 21-Nov-10 | ' | ' | ' | ' |
Share-based compensation | ' | ' | ' | 18,000 | 292,348 | 596,478 | 686,299 | 391,864 | 164,857 | 64,342 | 233,286 | 186,094 | 399,782 | ' | ' | ' | ' | ' | 9,000 | 18,000 | 18,000 | ' |
Common stock issued as compensation, shares | ' | ' | ' | 3,673 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 9,231 | 12,857 | 7,500 | ' |
Issuance of common stock for cash under common stock purchase agreement, issuance fees | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 79,690 |
Proceeds from common stock issuance | ' | ' | ' | ' | $0 | $4,143,750 | ' | ' | ' | ' | ' | ' | ' | $70,330,435 | ' | ' | ' | ' | ' | ' | ' | $1,593,750 |
STOCKHOLDERS_EQUITY_2009_Trans
STOCKHOLDERS' EQUITY (2009 Transactions) (Details) (USD $) | 1 Months Ended | 12 Months Ended | 1 Months Ended | ||||||||||||||||||||||
Jun. 30, 2012 | Mar. 31, 2012 | Oct. 31, 2010 | Dec. 31, 2008 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2010 | Dec. 31, 2009 | Dec. 31, 2008 | Dec. 31, 2007 | Dec. 31, 2006 | Dec. 31, 2005 | Nov. 30, 2009 | Jul. 31, 2009 | Apr. 30, 2009 | Jan. 31, 2009 | Jan. 31, 2009 | Dec. 31, 2009 | Sep. 30, 2009 | Jun. 30, 2009 | Mar. 31, 2009 | Nov. 30, 2009 | Apr. 30, 2009 | Nov. 30, 2009 | |
2009 Equity Transactions [Member] | 2009 Equity Transactions [Member] | 2009 Equity Transactions [Member] | 2009 Equity Transactions [Member] | 2009 Equity Transactions [Member] | 2009 Equity Transactions [Member] | 2009 Equity Transactions [Member] | 2009 Equity Transactions [Member] | 2009 Equity Transactions [Member] | 2009 Equity Transactions [Member] | 2009 Equity Transactions [Member] | 2009 Equity Transactions [Member] | ||||||||||||||
Equity Issuance Transaction One [Member] | Equity Issuance Transaction Two [Member] | Two Non-officer Directors [Member] | Two Non-officer Directors [Member] | Two Non-officer Directors [Member] | Two Non-officer Directors [Member] | Warrant Amendment [Member] | Warrant Amendment [Member] | November 12, 2009 Private Placement [Member] | |||||||||||||||||
Stockholders Equity Note [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Common stock issued in connection with exercise of options, shares issued | ' | ' | ' | ' | 0 | 0 | ' | ' | ' | ' | ' | ' | ' | 100,000 | 100,000 | 100,000 | 100,000 | 400,000 | ' | ' | ' | ' | ' | ' | ' |
Equity issuance, price per share | ' | ' | ' | $2.45 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $1.60 | $1.82 | $2.44 | $2.74 | ' | ' | ' |
Proceeds from exercise of stock options | ' | ' | $27,910 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $25,000 | $25,000 | $25,000 | $25,000 | $100,000 | ' | ' | ' | ' | ' | ' | ' |
Expiration date of options | 30-Jun-17 | 31-Mar-17 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 23-Nov-10 | 23-Nov-10 | 23-Nov-10 | 23-Nov-10 | 16-Feb-09 | ' | ' | ' | ' | ' | ' | ' |
Share-based compensation | ' | ' | ' | 18,000 | 292,348 | 596,478 | 686,299 | 391,864 | 164,857 | 64,342 | 233,286 | 186,094 | 399,782 | ' | ' | ' | ' | ' | 18,000 | 18,000 | 18,000 | 18,000 | ' | ' | ' |
Common stock issued as compensation, shares | ' | ' | ' | 3,673 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 5,625 | 4,945 | 3,689 | 3,284 | ' | ' | ' |
Stock options exercised, exercise price | ' | ' | $0.44 | ' | $0 | $0 | ' | ' | ' | ' | ' | ' | ' | $0.25 | $0.25 | $0.25 | $0.25 | $0.25 | ' | ' | ' | ' | ' | ' | ' |
Private Placement Offering: | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Proceeds from issuance of common stock issued through private placement | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 15,098,245 |
Number of units issued through private placement | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 12,078,596 |
Per unit price for units issued through private placement | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $1.25 |
The per unit price for common stock shares entitled to holders of each whole share purchase warrant | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $1.85 |
Agents commissions paid in private placement offering | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1,056,877 |
Warrants issued as compensation to agents | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 301,965 |
Additional Financing Costs Incurred On Private Placement Offering | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 290,196 |
Private Placement Warrant Amendment: | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Warrant Expiration Dates | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 12-Nov-12 | ' | ' |
Revised Exercise Price Of Warrant | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $1.85 | ' | ' |
Increase In Value Of Warrants Per Amendment | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $3,170,285 | ' | ' |
Minimum Volume Weighted Average Price Of Common Stock Needed For Warrants To Be Callable For Cancellation | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $6.50 | ' |
STOCKHOLDERS_EQUITY_2008_Trans
STOCKHOLDERS' EQUITY (2008 Transactions) (Details) (USD $) | 1 Months Ended | 12 Months Ended | 1 Months Ended | 0 Months Ended | 1 Months Ended | ||||||||||||||||||||||
Jun. 30, 2012 | Mar. 31, 2012 | Oct. 31, 2010 | Dec. 31, 2008 | Jun. 30, 2007 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2010 | Dec. 31, 2009 | Dec. 31, 2008 | Dec. 31, 2007 | Dec. 31, 2006 | Dec. 31, 2005 | Aug. 26, 2008 | Jun. 16, 2008 | Jun. 26, 2008 | 5-May-08 | Jan. 30, 2008 | Mar. 31, 2012 | Sep. 30, 2008 | Jun. 30, 2008 | Jan. 30, 2008 | Jan. 30, 2008 | Dec. 31, 2008 | Feb. 07, 2008 | Feb. 07, 2008 | |
2008 Equity Transactions [Member] | 2008 Equity Transactions [Member] | 2008 Equity Transactions [Member] | 2008 Equity Transactions [Member] | 2008 Equity Transactions [Member] | Two Non-officer Directors [Member] | Two Non-officer Directors [Member] | Two Non-officer Directors [Member] | Non-U.S. Investor [Member] | United States Accredited Investors [Member] | Warrant Amendment [Member] | February 7, 2008 Private Placement to U.S. Accedited Investors [Member] | February 7, 2008 Private Placement to Non-U.S. Investors [Member] | |||||||||||||||
2008 Equity Transactions [Member] | 2008 Equity Transactions [Member] | 2008 Equity Transactions [Member] | 2008 Equity Transactions [Member] | 2008 Equity Transactions [Member] | 2008 Equity Transactions [Member] | United States Accredited Investors [Member] | Non-U.S. Investor [Member] | ||||||||||||||||||||
2008 Equity Transactions [Member] | 2008 Equity Transactions [Member] | ||||||||||||||||||||||||||
Stockholders Equity Note [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Common stock issued in connection with exercise of options, shares issued | ' | ' | ' | ' | ' | 0 | 0 | ' | ' | ' | ' | ' | ' | ' | 100,000 | 100,000 | ' | 100,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Equity issuance, price per share | ' | ' | ' | $2.45 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $0.65 | $3.37 | $1.75 | $2.08 | ' | ' | ' | ' | ' |
Proceeds from exercise of stock options | ' | ' | $27,910 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $25,000 | $25,000 | ' | $25,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Stock options exercised, exercise price | ' | ' | $0.44 | ' | ' | $0 | $0 | ' | ' | ' | ' | ' | ' | ' | $0.25 | $0.25 | ' | $0.25 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Expiration date of options | 30-Jun-17 | 31-Mar-17 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 22-Nov-10 | 23-Nov-10 | ' | 16-Feb-09 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Share-based compensation | ' | ' | ' | 18,000 | ' | 292,348 | 596,478 | 686,299 | 391,864 | 164,857 | 64,342 | 233,286 | 186,094 | 399,782 | ' | ' | ' | ' | ' | 18,000 | 18,000 | 18,000 | ' | ' | ' | ' | ' |
Common stock issued as compensation, shares | ' | ' | ' | 3,673 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 2,670 | 5,142 | 4,326 | ' | ' | ' | ' | ' |
Common stock shares issued from exercise of warrants | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 3,890,000 | ' | ' | ' | 200,000 | 3,690,000 | ' | ' | ' |
Issuance of common stock for mineral claims, shares | ' | ' | ' | ' | 1,400,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1,400,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Issuance of common stock in connection with the acquisition, shares | ' | ' | ' | ' | 5,600,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 5,600,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Private Placement Offering: | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Proceeds from issuance of common stock issued through private placement | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 2,630,000 | 2,620,000 |
Proceeds from warrants exercised | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 2,528,500 | ' | ' | ' | ' | ' | ' | ' | ' |
Number of units issued through private placement | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1,643,750 | 1,637,500 |
Per unit price for units issued through private placement | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $1.60 | $1.60 |
The per unit price for common stock shares entitled to holders of each whole share purchase warrant | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $2.40 | $2.40 |
Common stock issued as compensation to agents | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 80,000 |
Private Placement Warrant Amendment: | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Revised exercise price of warrants | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $2.40 | ' | ' |
Increase in value of warrants per amendment | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $1,826,760 | ' | ' |
Minimum volume weighted average price of common stock needed for 20 consecutive trading days, for warrants to be callable for cancellation | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $4.40 | ' | ' |
STOCKHOLDERS_EQUITY_2007_Trans
STOCKHOLDERS' EQUITY (2007 Transactions) (Details) (USD $) | 1 Months Ended | 12 Months Ended | 1 Months Ended | ||||||||||||||||||||
Jun. 30, 2012 | Mar. 31, 2012 | Oct. 31, 2010 | Dec. 31, 2008 | Jun. 30, 2007 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2010 | Dec. 31, 2009 | Dec. 31, 2008 | Dec. 31, 2007 | Dec. 31, 2006 | Dec. 31, 2005 | Dec. 31, 2007 | Aug. 31, 2007 | Mar. 31, 2007 | Sep. 30, 2007 | Dec. 31, 2007 | Mar. 31, 2007 | Feb. 28, 2007 | Feb. 28, 2007 | Feb. 28, 2007 | |
2007 Equity Transactions [Member] | 2007 Equity Transactions [Member] | 2007 Equity Transactions [Member] | 2007 Equity Transactions [Member] | 2007 Equity Transactions [Member] | 2007 Equity Transactions [Member] | 2007 Equity Transactions [Member] | 2007 Equity Transactions [Member] | 2007 Equity Transactions [Member] | |||||||||||||||
Two Non-officer Directors [Member] | Arlington Group Private Placement [Member] | March 22, 2007 Private Placement to Non-U.S. Investors [Member] | February 23, 2007 Private Placement to U.S. Investors [Member] | February 23, 2007 Private Placement to Non-U.S. Investors [Member] | Stock Issuance Plan Of Merger Agreement [Member] | ||||||||||||||||||
Stockholders Equity Note [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Issuance of common stock, shares | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 16,825,000 |
Common stock issued in connection with exercise of options, shares issued | ' | ' | ' | ' | ' | 0 | 0 | ' | ' | ' | ' | ' | ' | ' | 400,000 | 100,000 | ' | ' | ' | ' | ' | ' | ' |
Equity issuance, price per share | ' | ' | ' | $2.45 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $2.80 | ' | ' | $2.85 | ' | ' | ' | ' | $3.98 |
Proceeds from exercise of stock options | ' | ' | $27,910 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $100,000 | $25,000 | ' | ' | ' | ' | ' | ' | ' |
Stock options exercised, exercise price | ' | ' | $0.44 | ' | ' | $0 | $0 | ' | ' | ' | ' | ' | ' | ' | $0.25 | $0.25 | ' | ' | ' | ' | ' | ' | ' |
Expiration date of options | 30-Jun-17 | 31-Mar-17 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 23-Nov-10 | ' | ' | ' | ' | ' | ' | ' | ' |
Share-based compensation | ' | ' | ' | 18,000 | ' | 292,348 | 596,478 | 686,299 | 391,864 | 164,857 | 64,342 | 233,286 | 186,094 | 399,782 | 18,000 | ' | ' | 18,000 | ' | ' | ' | ' | ' |
Common stock issued as compensation, shares | ' | ' | ' | 3,673 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 3,214 | ' | ' | 3,157 | ' | ' | ' | ' | ' |
Common stock shares issued from exercise of warrants | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 100,000 | 400,000 | ' | ' | ' | ' | ' | ' | ' |
Issuance of common stock for mineral claims, shares | ' | ' | ' | ' | 1,400,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Issuance of common stock in connection with the acquisition, shares | ' | ' | ' | ' | 5,600,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Private Placement Offering: | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Proceeds from issuance of common stock issued through private placement | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 6,678,483 | ' | 5,000,000 | ' | 13,562,002 | 1,725,000 | ' |
Proceeds from warrants exercised | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 65,000 | 260,000 | ' | ' | ' | ' | ' | ' | ' |
Number of units issued through private placement | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 2,226,161 | ' | 3,125,000 | ' | 4,520,666 | 575,000 | ' |
Per unit price for units issued through private placement | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $0.65 | $0.65 | ' | ' | $1.60 | $4.50 | $4.50 | $4.50 | ' |
The per unit price for common stock shares entitled to holders of each whole share purchase warrant | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $6.50 | ' | $2.40 | ' | $6.50 | $6.50 | ' |
Agents commissions paid in private placement offering | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 525,386 | ' | ' | ' | 381,990 | 111,100 | ' |
Warrants issued as compensation to agents | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 75,175 | ' | ' | ' | 90,870 | 12,300 | ' |
Additional financing costs incurred on private placement offering | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $85,513 | ' | ' | ' | $79,513 | $8,842 | ' |
Common stock issued as compensation to agents | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 156,250 | ' | ' | ' | ' |
Total number of common stock shares issued under private placement | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 3,281,250 | ' | ' | ' | ' |
Total number of share purchase warrants issued under private placement | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1,562,500 | ' | ' | ' | ' |
STOCKHOLDERS_EQUITY_2006_Trans
STOCKHOLDERS' EQUITY (2006 Transactions) (Details) (USD $) | 1 Months Ended | ||||||||
Dec. 31, 2008 | Jun. 30, 2007 | Jul. 31, 2006 | Jun. 30, 2006 | Feb. 28, 2006 | Jan. 30, 2006 | Jun. 30, 2006 | Jun. 30, 2006 | Jun. 30, 2006 | |
2006 Equity Transactions [Member] | 2006 Equity Transactions [Member] | 2006 Equity Transactions [Member] | 2006 Equity Transactions [Member] | 2006 Equity Transactions [Member] | 2006 Equity Transactions [Member] | 2006 Equity Transactions [Member] | |||
Chief Financial Officer [Member] | Equity Issuance Transaction One [Member] | Equity Issuance Transaction Two [Member] | |||||||
Stockholders Equity Note [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Equity issuance, price per share | $2.45 | ' | ' | ' | $0.63 | ' | $2.06 | $0.63 | $0.38 |
Common stock shares issued from exercise of warrants | ' | ' | ' | 8,506,000 | ' | ' | ' | 6,737,500 | 1,768,500 |
Issuance of common stock for mineral claims, shares | ' | 1,400,000 | 1,400,000 | ' | ' | ' | ' | ' | ' |
Issuance of common stock from deemed exercise of penalty warrants under Registration Rights Agreement, shares | ' | ' | ' | ' | 1,225,000 | ' | ' | ' | ' |
Issuance of common stock in connection with the acquisition, shares | ' | 5,600,000 | 5,600,000 | ' | ' | ' | ' | ' | ' |
Private Placement Offering: | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Proceeds from issuance of common stock issued through private placement | ' | ' | ' | ' | ' | $1,755,000 | ' | ' | ' |
Proceeds from warrants exercised | ' | ' | ' | $4,874,126 | ' | ' | ' | ' | ' |
Number Of Units Issued Through Private Placement | ' | ' | ' | ' | ' | 39 | ' | ' | ' |
Per unit price for units issued through private placement | ' | ' | ' | ' | ' | $45,000 | ' | ' | ' |
The per unit price for common stock shares entitled to holders of each whole share purchase warrant | ' | ' | ' | ' | ' | $0.65 | ' | ' | ' |
Number Of Common Shares Per Unit Issued | ' | ' | ' | ' | ' | 100,000 | ' | ' | ' |
Number Of Warrants Per Unit Issued | ' | ' | ' | ' | ' | 100,000 | ' | ' | ' |
Common Stock Issued During Period Share Based Compensation | ' | ' | ' | ' | ' | ' | 50,000 | ' | ' |
Number Of Warrants Issued | ' | ' | ' | ' | 612,500 | ' | ' | ' | ' |
STOCKHOLDERS_EQUITY_2005_Trans
STOCKHOLDERS' EQUITY (2005 Transactions) (Details) (USD $) | 1 Months Ended | 12 Months Ended | 1 Months Ended | 9 Months Ended | 12 Months Ended | 1 Months Ended | 1 Months Ended | |||||||||||
Dec. 31, 2008 | Jun. 30, 2007 | Dec. 31, 2013 | Dec. 31, 2005 | Dec. 31, 2012 | Jul. 31, 2005 | Feb. 28, 2005 | Sep. 30, 2011 | Dec. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2005 | Sep. 30, 2005 | Sep. 30, 2005 | Sep. 30, 2005 | Sep. 30, 2005 | Sep. 30, 2005 | Sep. 30, 2005 | Jun. 30, 2005 | |
2005 Equity Transactions [Member] | 2005 Equity Transactions [Member] | 2005 Equity Transactions [Member] | 2005 Equity Transactions [Member] | 2005 Equity Transactions [Member] | 2005 Equity Transactions [Member] | 2005 Equity Transactions [Member] | 2005 Equity Transactions [Member] | 2005 Equity Transactions [Member] | 2005 Equity Transactions [Member] | 2005 Equity Transactions [Member] | 2005 Equity Transactions [Member] | 2005 Equity Transactions [Member] | ||||||
Unit Issuance One [Member] | Unit Issuance Two [Member] | Unit Issuance Three [Member] | Common Stock Shares Outstanding Prior To Stock Split [Member] | Common Stock Shares Outstanding After Stock Split [Member] | Brokered Warrants [Member] | Brokered Warrants [Member] | Clarkdale Slag Project [Member] | |||||||||||
Unit Issuance One [Member] | Unit Issuance Three [Member] | |||||||||||||||||
Stockholders Equity Note [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Equity issuance, price per share | $2.45 | ' | ' | ' | ' | $0.63 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $0.38 |
Common stock shares issued from exercise of warrants | ' | ' | ' | ' | ' | ' | ' | ' | ' | 250,000 | ' | ' | ' | ' | ' | ' | ' | 12,000,000 |
Issuance of common stock for mineral claims, shares | ' | 1,400,000 | ' | ' | ' | 1,400,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Common stock, shares outstanding | ' | ' | 135,768,318 | ' | 135,768,318 | ' | ' | ' | ' | ' | ' | ' | ' | 200,000,000 | 400,000,000 | ' | ' | ' |
Issuance of common stock in satisfaction of debt, shares | ' | ' | ' | ' | ' | 200,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Issuance of common stock in satisfaction of debt | ' | ' | ' | $125,000 | ' | $125,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Return and cancellation of common stock, shares | ' | ' | ' | ' | ' | ' | 70,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Return and cancellation of common stock, Per shares | ' | ' | ' | ' | ' | ' | $0.00 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Issuance of common stock in connection with the acquisition, shares | ' | 5,600,000 | ' | ' | ' | 5,600,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Gain Loss Related To Warrants Settlement | ' | ' | ' | ' | ' | ' | ' | ' | 502,586 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Class of Warrant or Right, Outstanding | ' | ' | ' | ' | ' | ' | ' | ' | 8,750,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Share Based Compensation Arrangement By Share Based Payment Award Options Cancelled In Period | ' | ' | 0 | ' | ' | ' | ' | 3,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Private Placement Offering: | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Proceeds from issuance of common stock issued through private placement | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1,350,000 | 115,000 | 1,597,500 | ' | ' | ' | ' | ' |
Number of units issued through private placement | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 5,400,000 | 460,000 | 6,390,000 | ' | ' | 540,000 | 639,000 | ' |
Per unit price for units issued through private placement | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $0.25 | $0.25 | $0.25 | ' | ' | $0.25 | $0.25 | ' |
The per unit price for common stock shares entitled to holders of each whole share purchase warrant | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $0.63 | $0.63 | $0.63 | ' | ' | $0.63 | $0.63 | ' |
Agents commissions paid in private placement offering | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 135,000 | ' | 205,250 | ' | ' | ' | ' | ' |
Additional financing costs incurred on private placement offering | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $31,443 | ' | ' | ' | ' | ' |
STOCKHOLDERS_EQUITY_Fair_Value
STOCKHOLDERS' EQUITY (Fair Value of Warrants at Zero And Increase in Warrant Value Using The Binomial Lattice Model) (Details) (Warrant [Member]) | 1 Months Ended | |||
Oct. 25, 2013 | Nov. 01, 2012 | Nov. 12, 2009 | Dec. 29, 2008 | |
Warrant [Member] | ' | ' | ' | ' |
Class of Warrant or Right [Line Items] | ' | ' | ' | ' |
Risk-free interest rate | 0.11% | 0.19% | 1.36% | 0.36% |
Expected volatility | 114.79% | 94.94% | 71.76% | 76.59% |
Fair Value Assumptions, Expected Term | '1 year | '1 year | '2 years 9 months | ' |
STOCKHOLDERS_EQUITY_Private_Pl
STOCKHOLDERS' EQUITY (Private Placement Warrant Activity) (Details) (Private Placement [Member], USD $) | 12 Months Ended | |
Dec. 31, 2013 | Dec. 31, 2012 | |
Private Placement [Member] | ' | ' |
Number of Shares | ' | ' |
Begining Balance | 13,828,212 | 13,784,549 |
Warrants granted | 372,723 | 43,633 |
Warrants expired | 0 | 0 |
Warrants exercised | 0 | 0 |
Ending Balance | 14,200,935 | 13,828,212 |
Weighted Average Exercise Price | ' | ' |
Beginning Balance | $1.79 | $1.80 |
Warrants granted | $1.64 | $1.71 |
Warrants expired | $0 | $0 |
Warrants exercised | $0 | $0 |
Ending Balance | $1.74 | $1.79 |
Weighted Average Remaining Contractual Life | ' | ' |
Beginning Balance | '10 months 13 days | '10 months 13 days |
Warrants granted | '10 months 13 days | '5 months 1 day |
Ending Balance | '10 months 13 days | '10 months 13 days |
STOCKBASED_COMPENSATION_Additi
STOCK-BASED COMPENSATION (Additional Information) (Details) (USD $) | 1 Months Ended | 12 Months Ended | 1 Months Ended | 12 Months Ended | 1 Months Ended | 12 Months Ended | 1 Months Ended | 1 Months Ended | 1 Months Ended | 12 Months Ended | 1 Months Ended | 12 Months Ended | 1 Months Ended | 12 Months Ended | 1 Months Ended | 12 Months Ended | 1 Months Ended | 12 Months Ended | |||||||||||||||||||||||||||||
Jun. 30, 2012 | Mar. 31, 2012 | Oct. 31, 2010 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 19, 2012 | Jul. 03, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Jun. 30, 2012 | Dec. 31, 2013 | Jun. 30, 2012 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Jun. 30, 2012 | Mar. 31, 2012 | Jan. 31, 2011 | Dec. 31, 2013 | Mar. 31, 2013 | Dec. 31, 2013 | Mar. 31, 2013 | Dec. 31, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Jun. 30, 2012 | Sep. 30, 2012 | Dec. 31, 2013 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Sep. 30, 2012 | Mar. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | |
Director [Member] | Director [Member] | Non Employee Director [Member] | Employee One [Member] | Employee Two [Member] | Private Placement [Member] | Private Placement [Member] | Directors Plan [Member] | Directors Plan [Member] | Directors Plan [Member] | Directors Plan [Member] | Directors Plan [Member] | Directors Plan [Member] | Directors Plan [Member] | Directors Plan [Member] | Directors Plan [Member] | Directors Plan [Member] | Directors Plan [Member] | Consultant Awards [Member] | Performance Shares [Member] | Stock Option Plan 2007 [Member] | Stock Option Plan 2007 [Member] | Stock Option Plan 2007 [Member] | Stock Option Plan 2007 [Member] | Stock Option Plan 2007 [Member] | Stock Option Plan 2007 [Member] | Stock Option Plan 2007 [Member] | Stock Option Plan 2007 [Member] | Stock Option Plan 2009 [Member] | Stock Option Plan 2009 [Member] | Stock Option Plan 2009 [Member] | Stock Option Plan 2009 [Member] | Stock Option Plan 2009 [Member] | Stock Option Plan 2009 [Member] | Stock Option Plan 2009 [Member] | Stock Option Plan 2009 [Member] | Stock Option Plan 2009 [Member] | Stock Option Plan 2009 [Member] | Stock Option Plan 2009 [Member] | Stock Option Plan 2009 [Member] | Stock Option Plan 2009 [Member] | |||||||
Director [Member] | Non-Management Directors [Member] | Non-Management Directors [Member] | Non-Management Directors [Member] | Non-Management Directors [Member] | Non-Management Directors [Member] | Non-Management Directors [Member] | Non-Management Directors [Member] | Non-Management Directors [Member] | Non Employee Director [Member] | Minimum [Member] | Consultant Awards [Member] | Consultant Awards [Member] | Consultant Awards [Member] | Consultant Awards [Member] | Non Employee Director [Member] | Non Employee Director [Member] | Non Employee Director [Member] | Non Employee Director [Member] | Non Employee Director [Member] | Non Employee Director [Member] | Non-Management Directors [Member] | Directors Plan [Member] | Directors Plan [Member] | Directors Plan [Member] | For grantees who own more than 10% of the Company's common stock on the grant date [Member] | ||||||||||||||||||||||
Nonqualified Stock Options [Member] | Minimum [Member] | ||||||||||||||||||||||||||||||||||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Common shares available for issuance for stock option awards | ' | ' | ' | 10,552,576 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Stock option plan, maximum options to purchase shares of common stock that may be granted | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 2,750,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 4,000,000 | ' | ' | ' | ' | ' | ' | ' | 7,250,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Stock option plan, maximum term | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '10 years | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '10 years | ' | ' | ' | ' | ' | ' | ' | '10 years | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '5 years |
Stock option plan, exercise price as a percentage of fair market value | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 85.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 100.00% | 110.00% |
Stock option granted, shares | ' | ' | 300,000 | ' | ' | ' | ' | 200,000 | ' | 75,000 | 37,500 | ' | ' | ' | ' | ' | 54,000 | 54,000 | 54,000 | 54,000 | 54,000 | 54,000 | 54,053 | 28,125 | ' | ' | 18,000 | ' | ' | ' | ' | 18,000 | 18,000 | 4,747 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Share-based Compensation Arrangement by Share based Payment Award Number Of Shares Maximum Annual Grant | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 500,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Value of common stock per quarter directors can choice to receive | ' | ' | ' | ' | ' | ' | ' | ' | $9,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Options/warrants granted | ' | ' | ' | $0 | ' | ' | $0.60 | $0.89 | ' | ' | ' | ' | ' | $0.94 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $1.03 | ' | ' | $0.48 | $0.60 | $0.85 | $0.94 | ' | ' | $0.24 | $0.37 | $0.29 | $0.48 | $0.60 | ' | $0.85 | $1.92 | $0.95 | ' | ' |
Stock option, expiration date | 30-Jun-17 | 31-Mar-17 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 30-Jun-17 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 31-Mar-18 | ' | ' | ' | ' | ' | 30-Sep-17 | ' | ' | 30-Sep-18 | 30-Jun-18 | 31-Mar-18 | ' | 31-Dec-18 | ' | ' | ' | ' | ' |
Expenses related to vesting and granting of stock-based compensation awards | ' | ' | ' | 292,348 | 596,478 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Warrants granted | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 372,723 | 43,633 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 200,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Stock option granted, weighted average exercise price | ' | ' | ' | $0.35 | $0.84 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $1.16 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Maximum number of options participants shall receive in any one calendar quarter | ' | ' | ' | ' | ' | ' | ' | ' | 18,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Stock option outstanding | ' | ' | ' | 3,800,331 | 3,606,178 | 3,230,953 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 837,454 | ' | ' | ' | ' | ' | ' | ' | 1,190,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Unrecognized compensation cost related to unvested stock-based compensation awards | ' | ' | ' | 65,835 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Plan Modification, Incremental Compensation Cost | 53,613 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Vested in Period, Fair Value | ' | ' | ' | $466,451 | $270,900 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Nonvested, Number of Shares, Beginning Balance | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 250,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross | ' | ' | ' | 234,000 | 543,425 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 13,253 | ' | ' | ' | ' | ' | ' | 40,800 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Rights, Percentage | ' | ' | ' | ' | ' | ' | ' | 25.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Expiration Period | ' | ' | ' | ' | ' | ' | ' | '5 years | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Share Price | ' | ' | ' | ' | ' | ' | ' | $0.87 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Share Based Compensation Arrangement By Share Based Payment Plan Options Grants Total | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 952,047 | ' | ' | ' | ' | ' | ' | ' | 1,222,500 | ' | ' | ' | ' | ' | ' | ' | ' | 1,272,877 | ' | ' |
STOCKBASED_COMPENSATION_Assump
STOCK-BASED COMPENSATION (Assumptions Used to Estimate Fair Value of Stock-Based Compensation Awards) (Details) | 12 Months Ended | |
Dec. 31, 2013 | Dec. 31, 2012 | |
Share based Compensation Arrangement By Sharebased Payment Award Fair Value Assumptions Method Used [Line Items] | ' | ' |
Dividend yield | 0.00% | 0.00% |
Expected life (years) | '4 years 3 months | ' |
Minimum [Member] | ' | ' |
Share based Compensation Arrangement By Sharebased Payment Award Fair Value Assumptions Method Used [Line Items] | ' | ' |
Risk-free interest rate | 0.77% | 0.37% |
Expected volatility | 90.39% | 84.94% |
Expected life (years) | ' | '2 years |
Maximum [Member] | ' | ' |
Share based Compensation Arrangement By Sharebased Payment Award Fair Value Assumptions Method Used [Line Items] | ' | ' |
Risk-free interest rate | 1.75% | 1.04% |
Expected volatility | 101.74% | 97.79% |
Expected life (years) | ' | '4 years 6 months 18 days |
STOCKBASED_COMPENSATION_StockB
STOCK-BASED COMPENSATION (Stock-Based Compensation Activity) (Details) (USD $) | 1 Months Ended | 12 Months Ended | ||
Oct. 31, 2010 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding [Roll Forward] | ' | ' | ' | ' |
Outstanding, December 31, 2012 | ' | 3,606,178 | 3,230,953 | ' |
Options/warrants granted | ' | 234,000 | 543,425 | ' |
Options/warrants expired | ' | -39,847 | -168,200 | ' |
Options/warrants forfeited | ' | 0 | 0 | ' |
Options/warrants exercised | ' | 0 | 0 | ' |
Outstanding, December 31, 2013 | ' | 3,800,331 | 3,606,178 | 3,230,953 |
Exercisable, December 31, 2013 | ' | 3,350,331 | ' | ' |
Weighted Average Grant Date Fair Value | ' | ' | ' | ' |
Outstanding, December 31, 2012 | ' | $0.59 | $0.62 | ' |
Options/warrants granted | ' | $0.18 | $0.45 | ' |
Options/warrants expired | ' | ($0.61) | ($1.03) | ' |
Options/warrants forfeited | ' | $0 | $0 | ' |
Options/warrants exercised | ' | $0 | $0 | ' |
Outstanding, December 31, 2013 | ' | $0.56 | $0.59 | $0.62 |
Exercisable, December 31, 2013 | ' | $0.51 | ' | ' |
Weighted Average Exercise Price | ' | ' | ' | ' |
Outstanding, December 31, 2012 | ' | $1.05 | $1.17 | ' |
Options/warrants granted | ' | $0.35 | $0.84 | ' |
Options/warrants expired | ' | ($1.45) | ($2.68) | ' |
Options/warrants forfeited | ' | $0 | $0 | ' |
Options/warrants exercised | $0.44 | $0 | $0 | ' |
Outstanding, December 31, 2013 | ' | $1.01 | $1.05 | $1.17 |
Exercisable, December 31, 2013 | ' | $0.99 | ' | ' |
Weighted Average Remaining Contractual Life | ' | ' | ' | ' |
Outstanding | ' | '3 years 9 months 4 days | '4 years 8 months 8 days | '5 years 25 days |
Options/warrants granted | ' | '4 years 7 months 6 days | '5 years 7 months 10 days | ' |
Exercisable, December 31, 2013 | ' | '3 years 3 months 25 days | ' | ' |
Aggregate Intrinsic Value | ' | ' | ' | ' |
Outstanding, December 31, 2013 | ' | $0 | ' | ' |
Exercisable, December 31, 2013 | ' | $0 | ' | ' |
STOCKBASED_COMPENSATION_Change
STOCK-BASED COMPENSATION (Changes of Stock-Based Compensation Awards Subject to Vesting) (Details) (USD $) | 12 Months Ended | |
Dec. 31, 2013 | Dec. 31, 2012 | |
Number of Shares subject to Vesting | ' | ' |
Unvested, December 31, 2012 | 1,112,500 | ' |
Options/warrants granted | 234,000 | 543,425 |
Options/warrants vested | -662,500 | ' |
Options/warrants cancelled | 0 | ' |
Exercisable, December 31, 2013 | 450,000 | 1,112,500 |
Weighted-Average Grant Date Fair Value | ' | ' |
Unvested, December 31, 2012 | $0.80 | ' |
Options/warrants granted | $0 | ' |
Options/warrants vested | ($0.70) | ' |
Options/warrants cancelled | $0 | ' |
Unvested, December 31, 2013 | $0.95 | $0.80 |
STOCKHOLDER_RIGHTS_AGREEMENT_A
STOCKHOLDER RIGHTS AGREEMENT (Additional Information) (Details) | Dec. 31, 2013 | Sep. 18, 2013 | Jun. 07, 2012 | Sep. 18, 2013 | Sep. 18, 2013 |
Luxor Capital Partners LP [Member] | Luxor Capital Partners LP [Member] | Luxor Capital Partners LP [Member] | Luxor Capital Partners LP [Member] | ||
Maximum [Member] | Minimum [Member] | ||||
Stockholder Rights Agreement [Line Items] | ' | ' | ' | ' | ' |
Minimum Percentage Of Ownership Acquired Or To Be Acquired Upon Which Purchase Rights Become Exercisable | 15.00% | ' | ' | ' | ' |
Percentage Of Ownership Interests | ' | 17.50% | 17.50% | 22.00% | 21.00% |
PROPERTY_RENTAL_AGREEMENTS_AND1
PROPERTY RENTAL AGREEMENTS AND LEASES (Additional Information) (Details) (USD $) | 12 Months Ended |
Dec. 31, 2013 | |
Leases Disclosure [Line Items] | ' |
Operating Leases, Income Statement, Minimum Lease Revenue | $1,700 |
Land Lease Wastewater Effluent [Member] | ' |
Leases Disclosure [Line Items] | ' |
Lease expiration date | 25-Aug-14 |
Purchase right of effluent, period | '25 years |
Class B Effluent [Member] | ' |
Leases Disclosure [Line Items] | ' |
Purchase price of effluent as a percentage of potable water rate | 50.00% |
Class B Effluent [Member] | Maximum [Member] | ' |
Leases Disclosure [Line Items] | ' |
Purchase right of effluent per day | 46,000 |
Class A Effluent [Member] | ' |
Leases Disclosure [Line Items] | ' |
Purchase price of effluent as a percentage of potable water rate | 75.00% |
INCOME_TAXES_Additional_Inform
INCOME TAXES (Additional Information) (Details) (USD $) | 12 Months Ended |
Dec. 31, 2013 | |
Operating Loss Carryforwards [Line Items] | ' |
Cumulative net operating losses for income tax purposes | 24,818,346 |
Internal Revenue Service (IRS) [Member] | ' |
Operating Loss Carryforwards [Line Items] | ' |
Cumulative net operating losses for income tax purposes | 45,254,765 |
Internal Revenue Service (IRS) [Member] | Maximum [Member] | ' |
Operating Loss Carryforwards [Line Items] | ' |
Net operating loss carry forwards expiration period | '2025 |
State and Local Jurisdiction [Member] | Arizona [Member] | Maximum [Member] | ' |
Operating Loss Carryforwards [Line Items] | ' |
Net operating loss carry forwards expiration period | '2033 |
INCOME_TAXES_Significant_Compo
INCOME TAXES (Significant Components of Net Deferred Income Tax Assets and Liabilities) (Details) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
Deferred income tax assets: | ' | ' |
Net operating loss carryforward | $16,822,317 | $14,724,543 |
Option compensation | 763,779 | 673,271 |
Property, plant & equipment | 1,021,685 | 773,542 |
Gross deferred income tax assets | 18,607,781 | 16,171,356 |
Less: valuation allowance | -733,287 | -622,572 |
Net deferred income tax assets | 17,874,494 | 15,548,784 |
Deferred income tax liabilities: | ' | ' |
Acquisition related liabilities | -55,197,465 | -55,197,465 |
Net deferred income tax liability | ($37,322,971) | ($39,648,681) |
INCOME_TAXES_Reconciliation_of
INCOME TAXES (Reconciliation of Tax Benefit at United States Federal and State Income Tax Rates to Actual Tax Provision) (Details) (USD $) | 12 Months Ended | |
Dec. 31, 2013 | Dec. 31, 2012 | |
Operating Loss Carryforwards [Line Items] | ' | ' |
Deferred tax benefit at statutory rates | $2,170,330 | $2,628,027 |
State deferred tax benefit, net of federal benefit | 186,028 | 225,259 |
Increase (decrease) in deferred tax benefit from: | ' | ' |
Change in valuation allowance | -110,715 | -251,471 |
Change in state NOL's | -139,362 | -235,131 |
Gain (loss) on the change in fair value of derivative liabilities | 265,509 | -104,388 |
Permanent differences | -46,080 | -154,877 |
Deferred income tax benefit | $2,325,710 | $2,107,419 |
COMMITMENTS_AND_CONTINGENCIES_1
COMMITMENTS AND CONTINGENCIES (Additional Information) (Details) (USD $) | 1 Months Ended | 12 Months Ended | 1 Months Ended | 12 Months Ended | 1 Months Ended | 12 Months Ended | 1 Months Ended | 1 Months Ended | 1 Months Ended | 1 Months Ended | ||||||||||||||||
Sep. 30, 2013 | Jun. 30, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2013 | Sep. 30, 2013 | Jun. 30, 2012 | Sep. 30, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | Jan. 02, 2011 | Dec. 31, 2010 | Feb. 28, 2007 | Jan. 02, 2011 | Feb. 15, 2007 | Dec. 31, 2010 | Feb. 28, 2007 | Feb. 15, 2007 | Feb. 15, 2007 | Feb. 15, 2007 | Feb. 28, 2007 | Feb. 15, 2007 | Feb. 15, 2007 | Feb. 28, 2007 | Feb. 15, 2007 | Oct. 31, 2013 | |
Additional Notes Payables [Member] | Maximum [Member] | Maximum [Member] | Maximum [Member] | Nanominerals Corporation [Member] | Nanominerals Corporation [Member] | Nanominerals Corporation [Member] | Nanominerals Corporation [Member] | Clarkdale Slag Project [Member] | Clarkdale Slag Project [Member] | Clarkdale Slag Project [Member] | Clarkdale Slag Project [Member] | Scenario, Previously Reported [Member] | Scenario, Previously Reported [Member] | Verde River Iron Company Limited Liability Company [Member] | Verde River Iron Company Limited Liability Company [Member] | Verde River Iron Company Limited Liability Company [Member] | Verde River Iron Company Limited Liability Company [Member] | Verde River Iron Company Limited Liability Company [Member] | Verde River Iron Company Limited Liability Company [Member] | Verde River Iron Company Limited Liability Company [Member] | Kuhns Brothers Inc [Member] | |||||
Convertible Notes Payable [Member] | Nanominerals Corporation [Member] | Nanominerals Corporation [Member] | Nanominerals Corporation [Member] | Nanominerals Corporation [Member] | Clarkdale Slag Project [Member] | Clarkdale Slag Project [Member] | Clarkdale Slag Project [Member] | Clarkdale Slag Project [Member] | Clarkdale Slag Project [Member] | Clarkdale Slag Project [Member] | Clarkdale Slag Project [Member] | Clarkdale Slag Project [Member] | Scenario, Previously Reported [Member] | |||||||||||||
Advance Royalty Commitments [Member] | Nanominerals Corporation [Member] | Nanominerals Corporation [Member] | Minimum [Member] | Project Royalty [Member] | Royalty Payments [Member] | Cash Flow [Member] | Nanominerals Corporation [Member] | Clarkdale Slag Project [Member] | ||||||||||||||||||
Commitments and Contingencies Disclosure [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Rental expense | ' | ' | $32,136 | $35,760 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Additional contingent payment | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 6,400,000 | ' | ' | 500,000 | 3,500,000 | ' | ' | ' |
Advance royalty payment amount | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 15,000 | 660,000 | ' | 15,000 | ' | ' | ' | ' | 500,000 | 500,000 | ' | ' | ' | ' | ' | ' |
The Minimum project royalty payments that should be made for the advance royalty not to remains payable | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 500,000 | ' | ' | ' | ' | ' | ' | ' |
Royalty payment percentage | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 2.50% | ' | ' | 50.00% | 5.00% | ' | ' | ' | 2.50% | ' | ' | 2.50% | ' | ' |
Joint venture ownership interest | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 50.00% | ' | ' | 50.00% | ' | ' | ' | ' | ' | ' | 50.00% | ' |
Cash penalties as a percentage of purchase price paid by investors | 1.00% | 1.00% | ' | ' | ' | 3.00% | 3.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Aggregate Consulting Fees Previously Incurred | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1,320,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Payment, Period | ' | ' | ' | ' | 18,000 | ' | 121,500 | 120,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Potential Liability for Severance Agreements | ' | ' | 112,500 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Royalty Expense | ' | ' | ' | ' | ' | ' | ' | ' | 180,000 | 180,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Long-term Construction Loan | ' | ' | 3,500,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Long-term Construction Loan, Current | ' | ' | 1,200,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Operating Lease Period | '2 years | ' | '2 years | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Loss Contingency, Damages Sought, Value | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $240,000 |
COMMITMENTS_AND_CONTINGENCIES_2
COMMITMENTS AND CONTINGENCIES (leases corporate office space under a sublease agreement from a related party) (Details) (USD $) | Dec. 31, 2013 |
Commitments and Contingencies Disclosure [Line Items] | ' |
2014 | $29,220 |
2015 | 13,336 |
Thereafter | 0 |
Operating Leases, Future Minimum Payments Due, Total | $42,556 |
CONCENTRATION_OF_CREDIT_RISK_A
CONCENTRATION OF CREDIT RISK (Additional Information) (Details) (USD $) | Dec. 31, 2013 |
Concentration Risk [Line Items] | ' |
Cash deposits in excess of FDIC insured limits | $1,241,319 |
Maximum [Member] | ' |
Concentration Risk [Line Items] | ' |
Insurance Available For Cash At Each Bank | $250,000 |
RELATED_PARTY_TRANSACTIONS_Add
RELATED PARTY TRANSACTIONS (Additional Information) (Details) (USD $) | 1 Months Ended | 12 Months Ended | 1 Months Ended | 1 Months Ended | 12 Months Ended | 1 Months Ended | |||||
Sep. 30, 2013 | Dec. 31, 2013 | Sep. 30, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | Feb. 28, 2007 | Dec. 31, 2013 | Dec. 31, 2012 | Jan. 31, 2011 | Dec. 31, 2010 | Dec. 31, 2010 | |
Subsequent Event [Member] | Nanominerals Corporation [Member] | Nanominerals Corporation [Member] | Nanominerals Corporation [Member] | Cupit Milligan Ogden Williams Certified Public Accountants [Member] | Cupit Milligan Ogden Williams Certified Public Accountants [Member] | Vice President [Member] | Vice President [Member] | Vice President [Member] | |||
Clarkdale Slag Project [Member] | Nanominerals Corporation [Member] | Nanominerals Corporation [Member] | Nanominerals Corporation [Member] | ||||||||
Minimum [Member] | Maximum [Member] | ||||||||||
Related Party Transaction [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Fee and expenses incurred to related party | ' | ' | ' | ' | ' | ' | $146,346 | $128,196 | $15,000 | $15,000 | $30,000 |
Royalty payment percentage | ' | ' | ' | ' | ' | 2.50% | ' | ' | ' | ' | ' |
Due to Related Parties | ' | ' | ' | 37,896 | 15,000 | ' | 8,639 | 0 | ' | ' | ' |
Operating Lease Period | '2 years | '2 years | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Operating Leases, Rent Expense | 2,819 | 11,276 | 1,667 | ' | ' | ' | ' | ' | ' | ' | ' |
Operating Lease Frequency Of Periodic Payment | 'monthly | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Deferred Issuance Fees | ' | ' | ' | ' | ' | ' | $5,085 | ' | ' | ' | ' |
RELATED_PARTY_TRANSACTIONS_Com
RELATED PARTY TRANSACTIONS (Company and NMC) (Details) (USD $) | 12 Months Ended | 168 Months Ended | |
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | |
Related Party Transactions [Member] | ' | ' | ' |
Related Party Transaction [Line Items] | ' | ' | ' |
Mineral and exploration expense - related party | $243,982 | $241,495 | $2,703,795 |
Nanominerals Corporation [Member] | ' | ' | ' |
Related Party Transaction [Line Items] | ' | ' | ' |
Advance royalty payments | 180,000 | 180,000 | ' |
Nanominerals Corporation [Member] | Reimbursements [Member] | ' | ' | ' |
Related Party Transaction [Line Items] | ' | ' | ' |
Fee and expenses incurred to related party | 4,842 | 8,095 | ' |
Nanominerals Corporation [Member] | Consulting Fees [Member] | ' | ' | ' |
Related Party Transaction [Line Items] | ' | ' | ' |
Fee and expenses incurred to related party | $59,140 | $53,400 | ' |
RELATED_PARTY_TRANSACTIONS_Com1
RELATED PARTY TRANSACTIONS (Company and CMOW) (Details) (USD $) | 12 Months Ended | |
Dec. 31, 2013 | Dec. 31, 2012 | |
Chief Financial Officer [Member] | ' | ' |
Related Party Transaction [Line Items] | ' | ' |
Fee and expenses incurred to related party | $66,441 | $49,996 |
Cupit Milligan Ogden Williams Certified Public Accountants [Member] | ' | ' |
Related Party Transaction [Line Items] | ' | ' |
Fee and expenses incurred to related party | $146,346 | $128,196 |