See accompanying notes to condensed interim consolidated financial statements.
GOLDEN GOLIATH RESOURCES LTD.
(An Exploration Stage Company)
NOTES TO THE CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS
FOR THE THREE MONTHS ENDED NOVEMBER 30, 2012 AND 2011
(Expressed in Canadian Dollars)
1.
NATURE OF OPERATIONS AND GOING CONCERN
Golden Goliath Resources Ltd. (the “Company”) was incorporated on June 12, 1996 under the Business Corporations Act of British Columbia. The Company is a public company listed on the TSX Venture Exchange (the “TSX.V”), trading under the symbol “GNG”. The address of the Company’s corporate office and principal place of business is Suite 711, 675 West Hastings Street, Vancouver, British Columbia, Canada. The Company’s principal business activity is the acquisition and exploration of resource properties.
The Company is in the development stage and is in the process of exploring and developing its Mexican resource properties and has not yet determined whether these properties contain reserves that are economically recoverable. The recoverability of amounts shown for exploration and evaluation assets are dependent upon the discovery of economically recoverable reserves, confirmation of the Company’s interest in the underlying mineral claims, the ability of the Company to obtain necessary financing to complete the development of the properties and upon future profitable production or proceeds from the disposition thereof. Managements’ plan in this regard is to secure additional funds through future equity financings, which either may not be available or may not be available on reasonable terms.
The condensed interim consolidated financial statements have been prepared on the basis of accounting principles applicable to a going concern. This assumes the Company will operate for the foreseeable future and will be able to realize its assets and discharge its liabilities in the normal course of operations. Accordingly, they do not give effect to adjustments that would be necessary should the Company be unable to continue as a going concern and therefore be required to realize its assets and liquidate its liabilities, contingent obligations and commitments other than in the normal course of business and at amounts different from those in the financial statements. The Company has incurred operating losses since inception, has no source of operating cash flow, minimal income from short-term investments, and there can be no assurances that sufficient funding, including adequate financing, will be available to explore its mineral properties and to cover general and administrative expenses necessary for the maintenance of a public company. These factors may cast significant doubt on the applicability of the going concern assumption and these financial statements do not include adjustments should the Company not be able to continue as a going concern. The ability of the Company to arrange additional financing in the future depends in part, on the prevailing capital market conditions and mineral property exploration success.
2.
BASIS OF PRESENTATION
a)
Statement of Compliance
These condensed consolidated interim financial statements have been prepared in accordance with International Accounting Standards (“IAS”) 34 ‘Interim Financial Reporting’ (“IAS 34”) using accounting policies consistent with the International Financial Reporting Standards (“IFRS”) as issued by the International Accounting Standards Board (“IASB”) and Interpretations of the International Financial Reporting Interpretations Committee (“IFRIC”).
b)
Basis of Measurement
These condensed consolidated interim financial statements have been prepared on the basis of accounting policies and critical account judgments and estimates consistent with those applied in the Company’s August 31, 2012 consolidated annual audited financial statements.
c)
Future accounting pronouncements not yet adopted
The following standards and interpretations have not been in effect as they will only be applied for the first time in future periods. They may result in consequential changes to the accounting policies and other note disclosures. The Company has not yet assessed the impacts of the standards or determined whether it will adopt the standards early.
GOLDEN GOLIATH RESOURCES LTD.
(An Exploration Stage Company)
NOTES TO THE CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS
FOR THE THREE MONTHS ENDED NOVEMBER 30, 2012 AND 2011
(Expressed in Canadian Dollars)
2,
BASIS OF PRESENTATION (continued)
c)
Future accounting pronouncements not yet adopted (continued)
IFRS 9 – Financial Instruments
IFRS 9 establishes the requirements for recognizing and measuring financial assets and financial liabilities. This new standard is effective January 1, 2013 with earlier application permitted.
In May 2011, the IASB issued the following standards, effective for annual periods beginning on or after January 1, 2013 with early adoption permitted, which have not yet been adopted by the Company. The Company has not yet begun to assess the impact that the new and amended standards will have on its financial statements or whether to early adopt any of the new requirements.
IFRS 10 - Consolidated Financial Statements
IFRS 10 supersedes IAS 27: Consolidated and Separate Financial Statements and establishes principles for the presentation and preparation of consolidated financial statements when an entity controls one or more other entities. This new standard is effective January 1, 2013 with earlier application permitted.
IFRS 11 - Joint Arrangements
IFRS 11 establishes principles for financial reporting by parties to a joint arrangement and supersedes IAS 31: Interests in Joint Ventures and SIC 13: Jointly Controlled Entities - Non- Monetary Contributions by Venturers. This new standard is effective January 1, 2013 with earlier application permitted.
IFRS 12 - Disclosure of Interests in Other Entities
IFRS 12 applies to entities that have an interest in a subsidiary, a joint arrangement, an associate or an unconsolidated structured entity. This new standard is effective January 1, 2013 with earlier application permitted.
IAS 27 - Separate Financial Statements
IAS 27 contains accounting and disclosure requirements for investments in subsidiaries, joint ventures and associates when an entity prepares separate financial statements. IAS 27 requires an entity preparing separate financial statements to account for those investments at cost or in accordance with IFRS 9. This new standard is effective January 1, 2013 with earlier application permitted.
IAS 28 - Investments in Associates and Joint Ventures
IAS 28 prescribes the accounting for investments in associates and sets out the requirements for the application of the equity method when accounting for investments in associates and joint ventures. This amendment is effective January 1, 2013 with earlier application permitted.
3.
SHORT-TERM INVESTMENTS
As at November 30, 2012, short–term investment in the amount of $525,000 (August 31, 2012 - $875,000) was comprised of Canadian investments in guaranteed investment certificates maturing on Apr 10, 2013 and effective interest rates of 1.3% (August 31, 2012 – 1.3%).
GOLDEN GOLIATH RESOURCES LTD.
(An Exploration Stage Company)
NOTES TO THE CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS
FOR THE THREE MONTHS ENDED NOVEMBER 30, 2012 AND 2011
(Expressed in Canadian Dollars)
4.
MARKETABLE SECURITIES
Marketable securities consist of 275,000 (August 31, 2012 – 375,000) common shares of Comstock Metals Ltd. with a fair value of $50,875 (August 31, 2012 - $120,000).
Marketable securities are measured at fair value with changes in fair value recorded in other comprehensive income (loss) until the investment is derecognized or impaired, at which time, the gain (loss) would be recorded in net income.
5.
ACCOUNTS RECEIVABLE
Accounts receivable consist of the following:
| | |
| November 30, | August 31, |
| 2012 | 2012 |
| | |
Sales taxes recoverable | $ 9,715 | $ 13,552 |
Other receivable | 22,493 | 17,837 |
| $ 32,208 | $ 31,389 |
6.
EXPLORATION AND EVALUATION ASSETS AND ACQUISITION COSTS
Detailed exploration and evaluation expenditures incurred in respect to the Company’s mineral property interests owned, leased or held under option are disclosed in Note 17. Property payments made on the Company’s mineral property interests are included in the property descriptions below.
| |
San Timoteo, Oro Leon, Nueva Union, La Reforma | $ 69,257 |
Oteros, La Esperanza, La Hermosa | - |
Bufalo, La Barranca | - |
Los Hilos, Las Bolas, El Manto, Don Lazaro, La Verde | 187,123 |
Nopalera, Flor de Trigo | 78,393 |
Corona, Beck, El Chamizal, El Canario, La Cruz | - |
Las Trojas, La Gloria, Todos los Santos, Los Cantiles | - |
| |
| $ 334,773 |
The Company has an extensive property portfolio of mining concessions, acquired mainly through staking, in the Uruachic District of Mexico covering approximately 10,000 hectares. The Company has various net smelter returns on specific claims forming a part of the Company’s properties. The net smelter returns range from 1% to 3%, which have buyouts ranging from US$250,000 to US$2,000,000.
In May 2007 and amended April 2011, the Company optioned to Comstock Metals Ltd. (“Comstock”) the right to earn up to a 75% and 60% interest respectively in the Corona and El Chamizal properties in exchange for Comstock spending $500,000 and $200,000 on the respective properties before February 8, 2014, and issuing 300,000 (250,000 common shares received) and 150,000 (25,000 common shares received) common shares respectively to the Company over a period of two years. In order to keep the option in good standing, the optionee paid $50,000 and issued an additional 200,000 common shares to the Company.
The Company has received notice from Comstock that it has spent in excess of $1,000,000 at Corona and wishes to enter into a joint venture to further explore the property. As of the date of these financial statements the Company has not yet finalized a joint venture with Comstock on the Corona property.
Comstock has advised the Company that it will no longer proceed with the El Chamizal option and has returned a 100% interest in the Property back to the Company.
GOLDEN GOLIATH RESOURCES LTD.
(An Exploration Stage Company)
NOTES TO THE CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS
FOR THE THREE MONTHS ENDED NOVEMBER 30, 2012 AND 2011
(Expressed in Canadian Dollars)
6.
EXPLORATION AND EVALUATION ASSETS AND ACQUISITION COSTS (continued)
In December 2011, the Company signed an Earn-in and Shareholders Agreement with Agnico-Eagle Mines Limited (“Agnico”) for the exploration and development of the Company’s Las Bolas/Los Hilos property. Under the terms of the agreement, Agnico has the right to earn a 51% interest in the property by spending $5,000,000 on the property over a period of 5 years. The first year’s work commitment is a firm commitment of $500,000 with expenditure requirements increasing each year thereafter. Upon exercising its option, Agnico will have the right to earn an additional 20% interest by spending $6,000,000 over another period of four years and completing a feasibility study or by spending $10,000,000 over a longer period of eight years.
In April 2012 the Company sold a mining concession for cash proceeds of $50,221 and recorded a gain on sale of $26,461.
During the year ended August 31, 2012, $2,007,751 (2011 - $118,769; 2010 - $74,298) in deferred expenditures related to certain mineral claims were written off. While the Company will continue to hold these claims, management currently does not view them as priorities and does not currently intend to conduct any exploration activities on these claims in the next year.
7.
PROPERTY AND EQUIPMENT
| | | | | |
| Cost | Equipment | Vehicles | Land | Total |
| Balance August 31, 2011 Additions | $ 146,041 4,273 | $ 101,610 - | $ 18,917 - | $ 266,568 4,273 |
| Balance August 31, 2012 Additions | $ 150,314 2,076 | $ 101,610 - | $ 18,917 - | $ 270,841 2,076 |
| Balance November 30, 2012 | $ 152,390 | $ 101,610 | $ 18,917 | $ 272,917 |
| | | | | |
| Accumulated amortization | Equipment | Vehicles | Land | Total |
| Balance August 31, 2011 Amortization | $ 54,823 17,150 | $ 70,497 8,938 | $ - - | $ 125,320 26,088 |
| Balance August 31, 2012 Amortization | 71,973 6,020 | 79,435 595 | - - | 151,408 6,615 |
| Balance November 30, 2012 | $ 77,993 | $ 80,030 | $ - | $ 158,023 |
| | | | | |
| Carrying amounts | Equipment | Vehicles | Land | Total |
| | | | | |
| As at August 31, 2011 | $ 91,218 | $ 31,113 | $ 18,917 | $ 141,248 |
| As at August 31, 2012 | $ 78,341 | $ 22,175 | $ 18,917 | $ 119,433 |
| As at November 30, 2102 | $ 74,397 | $ 21,580 | $ 18,917 | $ 114,894 |
8.
SHARE CAPITAL AND RESERVES
Authorized
The authorized share capital of the Company consists of an unlimited number of common shares without par value.
Issued and Fully Paid
As at November 30, 2012, the Company had 92,216,445 (August 31, 2012 – 92,216,445) common shares issued and fully paid.
GOLDEN GOLIATH RESOURCES LTD.
(An Exploration Stage Company)
NOTES TO THE CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS
FOR THE THREE MONTHS ENDED NOVEMBER 30, 2012 AND 2011
(Expressed in Canadian Dollars)
8.
SHARE CAPITAL AND RESERVES (continued)
Warrants
As at November 30, 2012 there were no share purchase warrants outstanding (Nil -August 31, 2012)
Stock Options
On July 16, 2012, the Company granted 1,375,000 incentive stock options to directors and officers of the Company and 300,000 incentive stock options to employees and consultants of the Company, at a price of $0.20 per share, exercisable for a period of five years.
The fair value of the stock options granted during the year was estimated at the date of grant using a BlackScholes option pricing model with the following weighted average assumptions:
| | |
| December 21, 2011 | July 16, 2012 |
Stock based compensation | $553,675 | $ 223,672 |
Risk-free interest rate | 1.18% | 1.12% |
dividend yield of nil, volatility factor | 102.71% | 102.49% |
insighted average expected life of the options | 5 years | 5 years |
A summary of changes in stock options is presented below:
| | |
|
NUMBER OF SHARES | WEIGHTED AVERAGE EXERCISE PRICE |
Balance, August 31, 2011 | 4,700,000 | 0.27 |
Cancelled | (150,000) | 0.35 |
Granted | 5,715,000 | 0.25/0.20 |
Expired | (1,200,000) | - |
Balance, August 31, 2012 | 9,065,000 | 0.23 |
Expired | (75,000) | 0.35 |
Balance, November 30, 2012 | 8,990,000 | $ 0.23 |
The following summarizes information about stock options outstanding at November 30, 2012:
| | | | | | | |
| OPTIONS OUTSTANDING | | OPTIONS EXERCISABLE |
|
NUMBER OF OPTIONS | WEIGHTED AVERAGE REMAINING CONTRACTUAL LIFE |
WEIGHTED AVERAGE EXERCISE PRICE | |
NUMBER OF OPTIONS | WEIGHTED AVERAGE REMAINING CONTRACTUAL LIFE |
WEIGHTED AVERAGE EXERCISE PRICE |
| | | | | | | |
| 8,990,000 | 3.46 years | $ 0.23 | | 8,990,000 | 3.46 years | $ 0.23 |
Nature and Purpose of Equity and Reserves
The reserves recorded in equity on the Company’s Statements of Financial Position include "Share-based Payment Reserves", and "Accumulated Deficit".
·
"Share-based Payment Reserve" is used to recognize the fair value of stock option grants prior to exercise, expiry or cancellation and the fair value of other share-based consideration paid at the date of payment.
·
"Accumulated Deficit" is used to record the Company’s change in deficit from earnings from year to year.
GOLDEN GOLIATH RESOURCES LTD.
(An Exploration Stage Company)
NOTES TO THE CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS
FOR THE THREE MONTHS ENDED NOVEMBER 30, 2012 AND 2011
(Expressed in Canadian Dollars)
9.
SEGMENTED INFORMATION
The Company has one operating segment, which is mineral exploration. All mineral properties are located in Mexico. All option proceeds are attributable to the Mexican mineral properties. Assets by geographic segment, at cost, are as follows:
| | | | | | | |
| | CANADA | MEXICO | TOTAL |
| | |
| |
| |
|
| November 30, 2012 | |
| |
| |
|
| | |
| |
| |
|
| Current assets | $ | 944,309 | $ | 63,909 | $ | 1,008,218 |
| Property and equipment | $ | 49,425 | $ | 65,469 | $ | 114,894 |
| Mineral property costs | $ | - | $ | 7,668,126 | $ | 7,668,126 |
| VAT recoverable | $ | - | $ | 82,795 | $ | 82,795 |
| Total assets | $ | 993,734 | $ | 7,880,299 | $ | 8,874,033 |
| Interest income | $ | 2,293 | $ | 2 | $ | 2,295 |
| Net loss | $ | 88,460 | $ | 53,374 | $ | 141,834 |
| Comprehensive loss | $ | 149,893 | $ | 53,374 | $ | 203,267 |
| | |
| |
| |
|
| August 31, 2012 | |
| |
| |
|
| | |
| |
| |
|
| Current assets | $ | 1,255,925 | $ | 98,201 | $ | 1,354,126 |
| Property and equipment | $ | 52,526 | $ | 66,907 | $ | 119,433 |
| Mineral property costs | $ | - | $ | 7,597,438 | $ | 7,597,438 |
| VAT recoverable | $ | - | $ | 78,340 | $ | 78,340 |
| Total assets | $ | 1,308,451 | $ | 7,840,886 | $ | 9,149,337 |
| Interest income | $ | 20,104 | $ | 9 | $ | 20,113 |
| Net loss | $ | 1,484,548 | $ | 2,209,982 | $ | 3,694,530 |
| Comprehensive loss | $ | 1,430,173 | $ | 2,209,982 | $ | 3,640,155 |
10.
FINANCIAL INSTRUMENTS
As at November 30, 2012 and August 31, 2012, the carrying value of the Company’s financial instruments approximates their fair value. Cash and cash equivalents and short term investments are recorded at fair value and the Company’s other financial instruments are recorded at amortized cost, which approximates fair value due to their short term nature. The Company’s financial instruments are classified into the following categories:
| | | | | |
Held for Trading | | NOVEMBER 30, 2012 | AUGUST 31, 2012 |
Level | Carrying
value | Fair
Value | Carrying
value | Fair
Value |
| | | | |
Cash | 2 | $ 323,486 | $ 323,486 | $ 249,032 | $ 249,032 |
Short term investments | 2 | $ 529,488 | $ 529,488 | $ 879,643 | $ 879,643 |
Available for sale | | | | | |
Marketable Securities | 2 | $ 50,875 | $ 50,875 | $ 120,000 | $ 120,000 |
Loans and receivables | | | | | |
Accounts receivable | 2 | $ 32,208 | $ 32,208 | $ 31,389 | $ 31,389 |
Due from related parties | 2 | $ 36,429 | $ 36,429 | $ 36,429 | $ 36,429 |
Other Financial Liabilities | | | | | |
Accounts payable and accrued liabilities | 2 | $ 28,145 | $ 28,145 | $ 103,460 | $ 103,460 |
Employee benefits obligations | 2 | $ 60,004 | $ 60,004 | $ 60,004 | $ 60,004 |
Deferred tax liability | 2 | $ 3,278 | $ 3,278 | $ - | $ - |
GOLDEN GOLIATH RESOURCES LTD.
(An Exploration Stage Company)
NOTES TO THE CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS
FOR THE THREE MONTHS ENDED NOVEMBER 30, 2012 AND 2011
(Expressed in Canadian Dollars)
10.
FINANCIAL INSTRUMENTS (continued)
Financial Instrument Risk Exposure and Risk Management
The Company is exposed in varying degrees to a variety of financial instrument related risks. The Board of Directors approves and monitors the risk management process. The overall objective of the Board is to set policies that seek to reduce risk as far as possible without unduly affecting the Company’s competitiveness and flexibility. The types of risk exposure and the way in which such exposure is managed is provided as follows:
Credit Risk
Credit risk is the risk that one party to a financial instrument will fail to fulfil an obligation and cause the other party to incur a financial loss. The Company’s credit risk to its financial asset is summarized below:
| | | | |
| | November 30, 2012 | | August 31, 2012 |
Cash | $ | 323,486 | $ | 249,032 |
Short term investments | $ | 529,488 | $ | 879,643 |
Marketable securities | $ | 50,875 | $ | 120,000 |
Accounts receivable | $ | 32,208 | $ | 31,389 |
Due from related parties | $ | 36,429 | $ | 36,429 |
VAT recoverable | $ | 82,795 | $ | 78,340 |
The credit risk of cash, and short-term investments, is assessed as nominal as the counter party is major Canadian financial institutions. The credit risk of accounts receivable and marketable Securities is assessed as low. The carrying amount of these financial assets is their maximum exposure to credit risk.
Liquidity Risk
Liquidity risk is the risk that the Company will encounter difficulties in meeting its financial obligations associated with its financial liabilities as they fall due. The Company ensures that there is sufficient capital in order to meet short term business requirements, after taking into account the Company’s holdings of cash. The Company believes that these sources will be sufficient to cover the expected short and long term cash requirements.
As of November 30, 2012 the Company has sufficient cash and highly liquid investment on hand to meet current liabilities and its expected administrative requirements for the coming year. The Company has cash of $323,486 (August 31, 2012 - $249,032), highly liquid investments of $529,488 (August 31, 2012 - $879,643) and total liabilities of $91,427 (August 31, 2012 - $163,464). Accounts payable and accrued liabilities of $26,127 are due within three months. Management has assessed liquidity risk as low.
Market Risk
The significant market risk exposures to which the Company is exposed are foreign exchange risk, interest rate risk, and commodity price risk.
Foreign Currency Risk
The Company has operations in Canada and Mexico subject to foreign currency fluctuations. The Company’s operating expenses are incurred in Canadian dollars and Mexican pesos, and the fluctuation of the Canadian dollar in relation to this other currency will have an impact upon the profitability of the Company and may also affect the value of the Company’s assets and the amount of shareholders’ equity. The Company has not entered into any agreements or purchased any instruments to hedge possible currency risks.
GOLDEN GOLIATH RESOURCES LTD.
(An Exploration Stage Company)
NOTES TO THE CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS
FOR THE THREE MONTHS ENDED NOVEMBER 30, 2012 AND 2011
(Expressed in Canadian Dollars)
10.
FINANCIAL INSTRUMENTS (continued)
Financial assets and liabilities denominated in Mexican Pesos and U.S. dollars were as follows:
| | | | |
U.S. Dollars | November 30, 2012 | | August 31, 2012 |
| | | |
Financial assets | $ | 143,564 | $ | 143,585 |
Financial Liabilities | $ | - | $ | 2,601 |
Mexican Pesos | | | | |
Financial assets | $ | 61,529 | $ | 76,874 |
Financial Liabilities | $ | 82,245 | $ | 90,551 |
Interest Rate Risk
As at November 30, 2012, the Company has no significant exposure to interest rate risk through its financial instruments.
11.
CAPITAL DISCLOSURES
The Company was formed for the purpose of acquiring exploration and development stage natural resource properties. The directors determine the Company’s capital structure and make adjustments to it based on funds available to the Company, in order to support the acquisition, exploration and development of mineral properties. The directors have not established quantitative return on capital criteria for capital management.
The Company is dependent upon external financing to fund future exploration programs and its administrative costs. The Company will spend existing working capital and raise additional amounts as needed. The Company will continue to assess new properties and to seek to acquire an interest in additional properties if management feels there is sufficient geologic or economic potential provided it has adequate financial resources to do so.
The directors review the Company’s capital management approach on an ongoing basis and believe that this approach, given the relative size of the Company, is reasonable. The Company’s objective when managing capital is to safeguard the Company’s ability to continue as a going concern.
The Company considers the items included on the balance sheet in shareholders’ equity as capital. The Company manages the capital structure and makes adjustments to it in the light of changes in economic conditions and the risk characteristics of the underlying assets. In order to maintain or adjust the capital structure, the Company may issue new shares through private placements, sell assets to reduce debt or return capital to shareholders. The Company is not subject to externally imposed capital requirements.
12.
RELATED PARTY BALANCES AND TRANSACTIONS
Key Management Compensation
| | | | | |
| | THREE MONTHS ENDED |
| | NOVEMBER 30, 2012 | NOVEMBER 30, 2011 |
| | | | | |
| Management fees | $ | 30,000 | $ | 30,000 |
| Consulting fees | | 15,000 | | 15,000 |
| Wages and benefits | | 9,602 | | 9,550 |
| | | | | |
| Total | $ | 54,602 | $ | 54,550 |
GOLDEN GOLIATH RESOURCES LTD.
(An Exploration Stage Company)
NOTES TO THE CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS
FOR THE THREE MONTHS ENDED NOVEMBER 30, 2012 AND 2011
(Expressed in Canadian Dollars)
12.
RELATED PARTY BALANCES AND TRANSACTIONS (continued)
Key Management Compensation (continued)
Payments to key management personnel including the President, Chief Financial Officer, directors and companies directly controlled by key management personnel are management and consulting fees and are directly related to their position in the organization.
Other Related Party Transactions
The Company entered into the following transactions and had the following balances payable with related parties. The transactions were recorded at the exchange amount agreed to by the related parties. Balances outstanding are non-interest bearing, unsecured and had no specific terms for collection or repayment.
a)
Due from a related party consists of $36,429 (2011 - $90) due from companies controlled by directors.
GOLDEN GOLIATH RESOURCES LTD.
(An Exploration Stage Company)
NOTES TO THE CONDENSED INTERIM CONSOLIDATED FINANCIAL STATEMENTS
FOR THE THREE MONTHS ENDED NOVEMBER 30, 2012 AND 2011
(Expressed in Canadian Dollars)
13.
EXPLORATION AND EVALUATION ASSETS
