Timberline Resources (TLRS) 10-Q 16 May 22 2022 Q2 Quarterly report Financial data

Cover

Cover - shares	6 Months Ended
	Mar. 31, 2022	May 16, 2022
Document Information Line Items
Entity Registrant Name	TIMBERLINE RESOURCES CORPORATION
Entity Central Index Key	0001288750
Document Type	10-Q
Amendment Flag	false
Current Fiscal Year End Date	--09-30
Entity Small Business	true
Entity Shell Company	false
Entity Emerging Growth Company	false
Entity Current Reporting Status	Yes
Document Period End Date	Mar. 31, 2022
Entity Filer Category	Non-accelerated Filer
Document Fiscal Period Focus	Q2
Document Fiscal Year Focus	2022
Entity Common Stock Shares Outstanding		141,242,445
Document Quarterly Report	true
Document Transition Report	false
Entity File Number	001-34055
Entity Incorporation State Country Code	DE
Entity Tax Identification Number	82-0291227
Entity Address Address Line 1	101 EAST LAKESIDE AVENUE
Entity Address City Or Town	COEUR D’ALENE
Entity Address State Or Province	ID
Entity Address Postal Zip Code	83814
City Area Code	208
Local Phone Number	664-4859
Security 12b Title	Common Stock, $0.001 par value
Entity Interactive Data Current	Yes
OTCQB
Document Information Line Items
Trading Symbol	TLRS
TSX-V
Document Information Line Items
Trading Symbol	TBR

CONSOLIDATED BALANCE SHEETS (UN

CONSOLIDATED BALANCE SHEETS (UNAUDITED) - USD ($)	Mar. 31, 2022	Sep. 30, 2021
Current Assets:
Cash	$ 1,050,903	$ 3,327,352
Prepaid Expenses And Other Current Assets	73,814	23,573
Total Current Assets	1,124,717	3,350,925
Property, Mineral Rights And Equipment, Net	13,857,085	13,821,085
Other Assets:
Reclamation Bonds	538,696	538,696
Deposits And Other Assets	5,700	5,700
Total Other Assets	544,396	544,396
Total Assets	15,526,198	17,716,406
Current Liabilities:
Accounts Payable	30,645	114,819
Accrued Expenses	19,726	23,749
Accrued Interest - Related Party	29,781	4,145
Accrued Payroll, Benefits And Taxes	38,716	38,193
Total Current Liabilities	118,868	180,906
Long-term Liabilities:
Asset Retirement Obligation	121,203	118,247
Senior Unsecured Note Payable - Related Party	270,991	270,991
Total Long-term Liabilities	392,194	389,238
Total Liabilities	511,062	570,144
Commitments And Contingencies (note 8)	0	0
Stockholders' Equity:
Preferred Stock, $0.01 Par Value; 10,000,000 Shares Authorized, No Shares Issued And Outstanding	0	0
Common Stock, $0.001 Par Value; 500,000,000 Shares Authorized, 141,242,447 And 139,696,022 Shares Issued And Outstanding, Respectively	141,242	139,696
Additional Paid-in Capital	85,604,487	85,345,213
Subscription Receivable	(70,000)	0
Accumulated Deficit	(70,660,593)	(68,338,647)
Total Stockholders' Equity	15,015,136	17,146,262
Total Liabilities And Stockholders' Equity	$ 15,526,198	$ 17,716,406

CONSOLIDATED BALANCE SHEETS (_2

CONSOLIDATED BALANCE SHEETS (UNAUDITED) (Parenthetical) - $ / shares	Mar. 31, 2022	Sep. 30, 2021
CONSOLIDATED BALANCE SHEETS (UNAUDITED)
Preferred Stock, Par Or Stated Value Per Share	$ 0.01	$ 0.01
Preferred Stock, Shares Authorized	10,000,000	10,000,000
Preferred Stock, Shares Issued	0	0
Preferred Stock, Shares Outstanding	0	0
Common Stock, Par Or Stated Value Per Share	$ 0.001	$ 0.001
Common Stock, Shares Authorized	500,000,000	500,000,000
Common Stock, Shares, Issued	141,242,447	139,696,022
Common Stock, Shares, Outstanding	141,242,447	139,696,022

CONSOLIDATED STATEMENTS OF OPER

CONSOLIDATED STATEMENTS OF OPERATIONS (UNAUDITED) - USD ($)	3 Months Ended		6 Months Ended
	Mar. 31, 2022	Mar. 31, 2021	Mar. 31, 2022	Mar. 31, 2021
Operating Expenses:
Mineral Exploration	$ 485,964	$ 223,546	$ 1,800,332	$ 1,400,072
Salaries And Benefits	71,611	78,261	147,931	155,918
Professional Fees	29,073	46,305	94,704	120,873
Insurance Expense	41,967	38,818	73,447	63,601
Other General And Administrative	59,835	81,419	182,507	298,756
Total Operating Expenses	688,450	468,349	2,298,921	2,039,220
Loss From Operations	(688,450)	(468,349)	(2,298,921)	(2,039,220)
Other Income (expense):
Foreign Exchange Gain (loss)	4,468	4,717	3,664	12,128
Interest expense	(800)	0	(1,132)	0
Interest Expense - Related Party	(12,964)	(21,547)	(25,636)	(42,234)
Miscellaneous Other Income	23	20	79	54
Total Other Income (expense)	(9,273)	(16,810)	(23,022)	(30,052)
Loss Before Income Taxes	(697,723)	(485,159)	(2,321,946)	(2,069,272)
Income Tax Provision (benefit)	0	0	0	0
Net Loss	$ (697,723)	$ (485,159)	$ (2,321,946)	$ (2,069,272)
Net Loss Per Share Basic And Diluted			$ (0.02)	$ (0.02)
Weighted Average Number Of Common Shares Outstanding, Basic And Diluted	139,974,789	114,180,916	139,833,873	113,347,269

CONSOLIDATED STATEMENTS OF CHAN

CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS' EQUITY (UNAUDITED) - USD ($)	Total	Common Stock	Additional Paid-In Capital	Subscription Receivable	Accumulated Deficit
Balance, Shares at Sep. 30, 2020		112,075,224
Balance, Amount at Sep. 30, 2020	$ 16,094,836	$ 112,075	$ 79,613,593	$ 0	$ (63,630,832)
Common Stock Issued For Exercise Of Warrants, Shares		950,000
Common Stock Issued For Exercise Of Warrants, Amount	133,000	$ 950	132,050	0	0
Stock Based Compensation	127,022	0	127,022	0	0
Net Loss	(1,584,113)	$ 0	0	0	(1,584,113)
Balance, Shares at Dec. 31, 2020		113,025,224
Balance, Amount at Dec. 31, 2020	14,770,745	$ 113,025	79,872,665	0	(65,214,945)
Balance, Shares at Sep. 30, 2020		112,075,224
Balance, Amount at Sep. 30, 2020	16,094,836	$ 112,075	79,613,593	0	(63,630,832)
Net Loss	(2,069,272)
Balance, Shares at Mar. 31, 2021		114,337,724
Balance, Amount at Mar. 31, 2021	14,469,336	$ 114,337	80,055,103	0	(65,700,104)
Balance, Shares at Dec. 31, 2020		113,025,224
Balance, Amount at Dec. 31, 2020	14,770,745	$ 113,025	79,872,665	0	(65,214,945)
Common Stock Issued For Exercise Of Warrants, Shares		1,312,500
Common Stock Issued For Exercise Of Warrants, Amount	183,750	$ 1,312	182,438	0	0
Net Loss	(485,159)	$ 0	0	0	(485,159)
Balance, Shares at Mar. 31, 2021		114,337,724
Balance, Amount at Mar. 31, 2021	14,469,336	$ 114,337	80,055,103	0	(65,700,104)
Balance, Shares at Sep. 30, 2021		139,696,022
Balance, Amount at Sep. 30, 2021	17,146,262	$ 139,696	85,345,213	0	(68,338,647)
Stock Based Compensation	44,321	0	44,321	0	0
Net Loss	(1,624,223)	$ 0	0	0	(1,624,223)
Balance, Shares at Dec. 31, 2021		139,696,022
Balance, Amount at Dec. 31, 2021	15,566,360	$ 139,696	85,389,534	0	(69,962,870)
Balance, Shares at Sep. 30, 2021		139,696,022
Balance, Amount at Sep. 30, 2021	17,146,262	$ 139,696	85,345,213	0	(68,338,647)
Net Loss	(2,321,946)
Balance, Shares at Mar. 31, 2022		141,242,447
Balance, Amount at Mar. 31, 2022	15,015,136	$ 141,242	85,604,487	(70,000)	(70,660,593)
Balance, Shares at Dec. 31, 2021		139,696,022
Balance, Amount at Dec. 31, 2021	15,566,360	$ 139,696	85,389,534	0	(69,962,870)
Common Stock Issued For Exercise Of Warrants, Shares		1,546,425
Common Stock Issued For Exercise Of Warrants, Amount	146,499	$ 1,546	214,953	(70,000)	0
Net Loss	(697,723)	$ 0	0	0	(697,723)
Balance, Shares at Mar. 31, 2022		141,242,447
Balance, Amount at Mar. 31, 2022	$ 15,015,136	$ 141,242	$ 85,604,487	$ (70,000)	$ (70,660,593)

CONSOLIDATED STATEMENTS OF CASH

CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED) - USD ($)	6 Months Ended
	Mar. 31, 2022	Mar. 31, 2021
Cash Flows From Operating Activities:
Net Loss	$ (2,321,946)	$ (2,069,272)
Adjustments To Reconcile Net Loss To Net Cash Used By Operating Activities:
Stock-based Compensation	44,321	127,022
Accretion Of Asset Retirement Obligation	2,956	2,816
Changes In Assets And Liabilities:
Prepaid Expenses And Other Current Assets	(50,241)	(62,310)
Accounts Payable	(84,174)	(115,250)
Accrued Expenses	(4,023)	(17,821)
Accrued Interest - Related Party	25,636	41,249
Accrued Payroll, Benefits And Taxes	523	13,647
Net Cash Used By Operating Activities	(2,386,948)	(2,079,919)
Cash Flows From Investing Activities:
Purchase Of Mineral Rights	(36,000)	(46,000)
Proceeds From Lease Of Mineral Rights	0	52,380
Net Cash Provided (used) By Investing Activities	(36,000)	6,380
Cash Flows From Financing Activities:
Proceeds From Exercise Of Warrants	146,499	316,750
Net Cash Provided By Financing Activities	146,499	316,750
Net Decrease In Cash And Cash Equivalents	(2,276,449)	(1,756,789)
Cash At Beginning Of Period	3,327,352	2,520,726
Cash At End Of Period	1,050,903	763,937
Non-cash Investing And Financing Activities:
Shares Issued For Subscription Receivable	$ 70,000	$ 0

Organization and Description of

Organization and Description of Business	6 Months Ended
	Mar. 31, 2022
Organization and Description of Business
Organization And Description Of Business:	NOTE 1 – ORGANIZATION AND DESCRIPTION OF BUSINESS: Timberline Resources Corporation (“Timberline” or “the Company) was incorporated in August of 1968 under the laws of the State of Idaho as Silver Crystal Mines, Inc., for the purpose of exploring for precious metal deposits and advancing them to production. In 2008, the Company reincorporated into the State of Delaware, pursuant to a merger agreement approved by its shareholders.

Summary of Significant Accounti

Summary of Significant Accounting Policies	6 Months Ended
	Mar. 31, 2022
Organization and Description of Business
Summary Of Significant Accounting Policies:	NOTE 2 – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES: a. Basis of Presentation and Going Concern – The unaudited financial statements have been prepared by the Company in accordance with accounting principles generally accepted in the United States of America (“GAAP”) for interim financial information, as well as the instructions to Form 10-Q. Accordingly, they do not include all of the information and footnotes required by GAAP for complete financial statements. In the opinion of the Company’s management, all adjustments (consisting of only normal recurring accruals) considered necessary for a fair presentation of the interim financial statements have been included. Operating results for the three and six-month periods ended March 31, 2022 are not necessarily indicative of the results that may be expected for the fiscal year ending September 30, 2022. For further information refer to the financial statements and footnotes thereto in the Company’s Annual Report on Form 10-K for the year ended September 30, 2021. The accompanying consolidated financial statements have been prepared under the assumption that the Company will continue as a going concern. The Company has incurred losses since its inception. The Company has sufficient cash to fund normal operations and meet all of its obligations for the next 12 months without raising additional funds. However, we are an exploration company with exploration programs that require significant cash expenditures. A significant drilling program, such are those we have planned, can result in depletion of cash and return us to a position of insufficient cash to support normal operations for 12 months. The Company currently has no historical recurring source of revenue, and its ability to continue as a going concern is dependent on its ability to raise capital to fund future exploration and working capital requirements, or the Company’s ability to profitably execute its business plan. The Company’s plans for the long-term return to and continuation as a going concern include financing its future operations through sales of common stock and/or debt and the eventual profitable exploitation of its mining properties. While the Company has been successful in the past in obtaining financing, there is no assurance that it will be able to obtain adequate financing in the future or that such financing will be on terms acceptable to the Company. These factors raise substantial doubt about the Company’s ability to continue as a going concern. The consolidated financial statements do not include any adjustments that might be necessary should the Company be unable to continue as a going concern. If the going concern basis were not appropriate for these financial statements, adjustments would be necessary in the carrying value of assets and liabilities, the reported expenses and the balance sheet classifications used. b. Principles of Consolidation d. Estimates and Assumptions c. Fair Value Measurements At March 31, 2022 and September 30, 2021, the Company had no assets or liabilities accounted for at fair value on a recurring basis or nonrecurring basis. The carrying amounts of financial instruments, including a senior unsecured note payable-related party, approximate fair value at March 31, 2022 and September 30, 2021. e. Net Income (Loss) per Share The dilutive effect of convertible and outstanding securities as of March 31, 2022 and 2021 is as follows: At March 31, 2022 and 2021, the effect of the Company’s common stock equivalents would have been anti-dilutive. Accordingly, only basic EPS is presented. March 31, 2022 March 31, 2021 Stock options 8,335,000 5,937,500 Warrants 56,398,876 73,372,170 Total potential dilution 64,733,876 79,309,670

Property, Mineral Rights, and E

Property, Mineral Rights, and Equipment	6 Months Ended
	Mar. 31, 2022
Organization and Description of Business
Property, Mineral Rights, And Equipment:	NOTE 3 – PROPERTY, MINERAL RIGHTS, AND EQUIPMENT: The following is a summary of property, mineral rights, and equipment and accumulated depreciation at March 31, 2022 and September 30, 2021, respectively: Expected Useful Lives (years) March 31, 2022 September 30, 2021 Mineral rights - Eureka - $ 13,740,608 $ 13,704,608 Mineral rights – Other - 65,000 65,000 Total mineral rights 13,805,608 13,769,608 Equipment and vehicles 2-5 53,678 53,678 Office equipment and furniture 3-7 70,150 70,150 Land - 51,477 51,477 Total property and equipment 175,305 175,305 Less accumulated depreciation (123,828 ) (123,828 ) Property, mineral rights, and equipment, net $ 13,857,085 $ 13,821,085 For the six months ended March 31, 2022 and 2021, the Company received mineral lease payments of $0 and $52,380, respectively, from a third party on two property blocks the Company leases at the Company’s Eureka property. These receipts are recorded as a reduction to property, mineral rights, and equipment.

Related-party Transactions

Related-party Transactions	6 Months Ended
	Mar. 31, 2022
Organization and Description of Business
Related-party Transactions:	NOTE 4 – RELATED-PARTY TRANSACTIONS: A senior unsecured note payable and interest accrued thereon payable to William Matlack, a shareholder and director of the Company, is disclosed in Note 5. At March 31, 2022 and 2021, the Company owed $700 and $0, respectively, for related party expenses. At March 31, 2021, two officers were owed a total of $6,249 for expenses recorded in Accounts payable on the balance sheet that were reimbursed subsequent to the end of the period.

Senior Unsecured Note Payable -

Senior Unsecured Note Payable - Related Party	6 Months Ended
	Mar. 31, 2022
Organization and Description of Business
Senior Unsecured Note Payable - Related Party	NOTE 5 – SENIOR UNSECURED NOTE PAYABLE – RELATED PARTY : On July 30, 2018, the Company entered into a loan agreement and promissory note with William Matlack, a significant shareholder and a director as of October 29, 2019, (the “Lender”), thereafter becoming a related party. Under the loan agreement, the Lender loaned the Company $300,000 in the form of a senior unsecured note payable, with the principal bearing interest at an annual rate of 18%, compounded monthly. The loan is unsecured and has a maturity date of January 20, 2023. At March 31, 2022 and at September 30, 2021, the senior unsecured note payable was $270,991. The accrued interest on the senior unsecured note payable was $29,781 and $4,145 at March 31, 2022 and September 30, 2021, respectively. Interest expense related to the senior unsecured note payable to this related party was $25,636 and $42,234 for the six months ended March 31, 2022 and March 31, 2021, respectively. The $270,991 senior unsecured note payable would be senior to any other debt obtained by the Company subsequent to September 30, 2021. The note requires that when the Company enters into any other financings, 25% of the proceeds of such financings will be paid toward reduction of the principal and interest accrued on the note. At August 30, 2021, the Lender provided a waiver of default on the Note that would otherwise have existed due to a non-payment under this contract term for the note. Payment of the remainder of the Note’s principal balance will not be required until the next qualifying financing, whether debt or equity. On August 30, 2021, $250,000 was paid to the Lender in conjunction with the common stock private placement financing that occurred in June 2021, consisting of $29,009 of principal and $220,991 of interest.

Common Stock and Warrants

Common Stock and Warrants	6 Months Ended
	Mar. 31, 2022
Organization and Description of Business
Common Stock and Warrants	NOTE 6 – COMMON STOCK AND WARRANTS: At the Annual General Meeting of shareholders held on April 14, 2021, the shareholders approved an increase in the number of authorized common shares of the Company from 200,000,000 to 500,000,000, with no change in par value and no split or other modification to any outstanding shares. The Certificate of Incorporation of the Company in the State of Delaware was amended to reflect that change in October 2021. During the six months ended March 31, 2022, 6,825,000 Series E warrants, 5,000,000 Series G warrants and 4,446,016 Series H warrants expired. Also, holders of Series H Warrants exercised 1,546,425 warrants for $0.14 per share to acquire 1,546,425 shares of the Company’s common stock for total cash proceeds of $146,499 and a subscription receivable of $70,000 to the Company. During the six months ended March 31, 2021, holders of Series D Warrants exercised 1,725,000 warrants for $0.14 per share to acquire 1,725,000 shares of the Company’s common stock for total cash proceeds of $241,500 to the Company. Holders of Series E Warrants exercised 537,500 warrants for $0.14 per share to acquire 537,500 shares of the Company’s common stock for total cash proceeds of $75,250 to the Company. At March 31, 2022, the Company has a total of 56,398,876 warrants outstanding with a weighted average exercise price of $0.22 with a weighted average remaining contractual term of 1.4 years.

Stock-based Awards

Stock-based Awards	6 Months Ended
	Mar. 31, 2022
Organization and Description of Business
Stock-based Awards:	NOTE 7 – STOCK-BASED AWARDS: During the year ended September 30, 2021, the Company’s shareholders approved an increase to the number of shares of common stock reserved for issuance under the Plan to 15,000,000 shares of common stock, including 10,000,000 shares of common stock reserved for incentive stock options. Upon exercise of options or other awards, shares are issued from the available authorized shares of the Company. Option awards are granted with an exercise price equal to the trading price of the Company’s stock at the date of grant. On October 8, 2020, the Company granted a total of 1,100,000 options to purchase shares of the Company’s common stock that expire in five years with an exercise price of $0.25 in conjunction with the appointment of officers and a director. These granted options had a total fair value of $260,000. These options vested immediately, with the exception of 187,500 options vesting at each of the following three grant anniversary dates, with a fair value of $44,321 being expensed to share-based compensation, respectively. On May 6, 2021, the Company granted a total of 2,785,000 options to employees, consultants, officers and directors to purchase shares of the Company’s common stock that expire in five years with an exercise price of $0.25. These granted options had a total fair value of $519,400. All options vested upon grant. The fair value of the option awards vested during the six months ended March 31, 2022 and 2021 was $44,321 and $127,022, respectively. No options were granted during the three months ended March 31, 2022 or 2021. The unvested options will be recognized as compensation expense in the amount of $44,321 in each of the following two years covered by the vesting period. Fair values of options issued were measured on the date of the grant with a Black-Scholes option-pricing model using the assumptions noted in the following table: Options Granted at May 6, 2021 Options Granted at October 8, 2020 Expected volatility 167.9 % 171.9 % Stock price on date of grant $ 0.20 $ 0.25 Exercise price $ 0.25 $ 0.25 Expected dividends - - Expected term (in years) 5 5 Risk-free rate 0.05 % 0.09 % Expected forfeiture rate 0 % 0 % The following is a summary of activity for the fiscal year ended September 30, 2021 and the six months ended March 31, 2022: Options Weighted Average Exercise Price Outstanding at September 30, 2020 5,400,000 $ 0.16 Granted 3,885,000 0.12 Expired (950,000 ) (0.43 ) Outstanding at September 30, 2021 8,335,000 0.18 Granted - - Expired - - Outstanding at March 31, 2022 8,335,000 $ 0.18 Outstanding and exercisable at March 31, 2022 7,960,000 $ 0.17 Weighted average remaining contractual term (years) 2.81 The aggregate of options exercisable as of March 31, 2022 had an intrinsic value of $765,700, based on the closing price of $0.27 per share of the Company’s common stock on March 31, 2022.

Commitments and Contingencies

Commitments and Contingencies	6 Months Ended
	Mar. 31, 2022
Organization and Description of Business
Commitments And Contingencies:	NOTE 8 – COMMITMENTS AND CONTINGENCIES : The Company has the following commitments and contingencies: Mineral Exploration A portion of the Company’s mining claims on the Company’s properties are subject to lease and option agreements including advance minimum royalty payments, with various terms, obligations, and royalties payable in certain circumstances. Total mining claim lease, option agreements and royalty agreements total $82,000 per year. The Company pays federal and county claim maintenance fees on unpatented claims that are included in the Company’s mineral exploration properties. Should the Company continue to explore all of the Company’s mineral properties, it expects annual fees to total approximately $236,277 per year in the future. Real Estate Lease Commitments At March 31, 2022, the Company’s office in Coeur d’Alene, Idaho and its facilities in Eureka, Nevada are rented on a month-to-month basis.

SUBSEQUENT EVENTS

SUBSEQUENT EVENTS	6 Months Ended
	Mar. 31, 2022
Organization and Description of Business
Subsequent Events	NOTE 9 – SUBSEQUENT EVENTS : On May 2, 2022, the Company closed a non-brokered private placement of the Company to accredited investors at a price of $0.25 per common share. The Company issued 18,933,705 common shares for cash proceeds of $4,733,426. Finders fees in the amount of $254,005 and 1,016,022 Series N Warrants have been paid to licensed brokers and consultants in association with the offering. The warrants have a term of 18 months and are exercisable at $0.25 per common share of the Company.

SUMMARY OF SIGNIFICANT ACCOUN_2

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies)	6 Months Ended
	Mar. 31, 2022
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies)
Fair Value Measurement	Fair Value Measurements At March 31, 2022 and September 30, 2021, the Company had no assets or liabilities accounted for at fair value on a recurring basis or nonrecurring basis. The carrying amounts of financial instruments, including a senior unsecured note payable-related party, approximate fair value at March 31, 2022 and September 30, 2021.
Basis Of Presentation And Going Concern	a. Basis of Presentation and Going Concern – The unaudited financial statements have been prepared by the Company in accordance with accounting principles generally accepted in the United States of America (“GAAP”) for interim financial information, as well as the instructions to Form 10-Q. Accordingly, they do not include all of the information and footnotes required by GAAP for complete financial statements. In the opinion of the Company’s management, all adjustments (consisting of only normal recurring accruals) considered necessary for a fair presentation of the interim financial statements have been included. Operating results for the three and six-month periods ended March 31, 2022 are not necessarily indicative of the results that may be expected for the fiscal year ending September 30, 2022. For further information refer to the financial statements and footnotes thereto in the Company’s Annual Report on Form 10-K for the year ended September 30, 2021. The accompanying consolidated financial statements have been prepared under the assumption that the Company will continue as a going concern. The Company has incurred losses since its inception. The Company has sufficient cash to fund normal operations and meet all of its obligations for the next 12 months without raising additional funds. However, we are an exploration company with exploration programs that require significant cash expenditures. A significant drilling program, such are those we have planned, can result in depletion of cash and return us to a position of insufficient cash to support normal operations for 12 months. The Company currently has no historical recurring source of revenue, and its ability to continue as a going concern is dependent on its ability to raise capital to fund future exploration and working capital requirements, or the Company’s ability to profitably execute its business plan. The Company’s plans for the long-term return to and continuation as a going concern include financing its future operations through sales of common stock and/or debt and the eventual profitable exploitation of its mining properties. While the Company has been successful in the past in obtaining financing, there is no assurance that it will be able to obtain adequate financing in the future or that such financing will be on terms acceptable to the Company. These factors raise substantial doubt about the Company’s ability to continue as a going concern. The consolidated financial statements do not include any adjustments that might be necessary should the Company be unable to continue as a going concern. If the going concern basis were not appropriate for these financial statements, adjustments would be necessary in the carrying value of assets and liabilities, the reported expenses and the balance sheet classifications used.
Principles Of Consolidation	Principles of Consolidation
Estimates And Assumptions	Estimates and Assumptions
Net Income (loss) Per Share	e. Net Income (Loss) per Share The dilutive effect of convertible and outstanding securities as of March 31, 2022 and 2021 is as follows: At March 31, 2022 and 2021, the effect of the Company’s common stock equivalents would have been anti-dilutive. Accordingly, only basic EPS is presented. March 31, 2022 March 31, 2021 Stock options 8,335,000 5,937,500 Warrants 56,398,876 73,372,170 Total potential dilution 64,733,876 79,309,670

SUMMARY OF SIGNIFICANT ACCOUN_3

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Tables)	6 Months Ended
	Mar. 31, 2022
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Tables)
Schedule Of Anti-dilutive Basic Of Eps	March 31, 2022 March 31, 2021 Stock options 8,335,000 5,937,500 Warrants 56,398,876 73,372,170 Total potential dilution 64,733,876 79,309,670

PROPERTY, MINERAL RIGHTS, AND_2

PROPERTY, MINERAL RIGHTS, AND EQUIPMENT (Tables)	6 Months Ended
	Mar. 31, 2022
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Tables)
Property, Plant And Equipment	Expected Useful Lives (years) March 31, 2022 September 30, 2021 Mineral rights - Eureka - $ 13,740,608 $ 13,704,608 Mineral rights – Other - 65,000 65,000 Total mineral rights 13,805,608 13,769,608 Equipment and vehicles 2-5 53,678 53,678 Office equipment and furniture 3-7 70,150 70,150 Land - 51,477 51,477 Total property and equipment 175,305 175,305 Less accumulated depreciation (123,828 ) (123,828 ) Property, mineral rights, and equipment, net $ 13,857,085 $ 13,821,085

STOCK-BASED AWARDS (Tables)

STOCK-BASED AWARDS (Tables)	6 Months Ended
	Mar. 31, 2022
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Tables)
Schedule Of Option-pricing Model Using The Assumptions	Options Granted at May 6, 2021 Options Granted at October 8, 2020 Expected volatility 167.9 % 171.9 % Stock price on date of grant $ 0.20 $ 0.25 Exercise price $ 0.25 $ 0.25 Expected dividends - - Expected term (in years) 5 5 Risk-free rate 0.05 % 0.09 % Expected forfeiture rate 0 % 0 %
Summary Of Options Activity	Options Weighted Average Exercise Price Outstanding at September 30, 2020 5,400,000 $ 0.16 Granted 3,885,000 0.12 Expired (950,000 ) (0.43 ) Outstanding at September 30, 2021 8,335,000 0.18 Granted - - Expired - - Outstanding at March 31, 2022 8,335,000 $ 0.18 Outstanding and exercisable at March 31, 2022 7,960,000 $ 0.17 Weighted average remaining contractual term (years) 2.81

SUMMARY OF SIGNIFICANT ACCOUN_4

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details) - shares	6 Months Ended
	Mar. 31, 2022	Mar. 31, 2021
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details)
Stock Options	8,335,000	5,937,500
Warrants	56,398,876	73,372,170
Total Potential Dilution	64,733,876	79,309,670

SUMMARY OF SIGNIFICANT ACCOUN_5

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details Narrative)	6 Months Ended
	Mar. 31, 2022
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details)
Substantial Doubt About Going Concern, Management's Evaluation	The Company’s plans for the long-term return to and continuation as a going concern include financing its future operations through sales of common stock and/or debt and the eventual profitable exploitation of its mining properties.

PROPERTY, MINERAL RIGHTS, AND_3

PROPERTY, MINERAL RIGHTS, AND EQUIPMENT (Details) - USD ($)	6 Months Ended
	Mar. 31, 2022	Sep. 30, 2021
Property, Plant And Equipment, Gross	$ 175,305	$ 175,305
Less Accumulated Depreciation	(123,828)	(123,828)
Property, Mineral Rights, And Equipment, Net	13,857,085	13,821,085
Mineral Rights	13,805,608	13,769,608
Equipment and vehicles
Property, Plant And Equipment, Gross	$ 53,678	53,678
Equipment and vehicles | Minimum
Expected Useful Lives (years)	2 years
Equipment and vehicles | Maximum
Expected Useful Lives (years)	5 years
Office equipment and furniture
Property, Plant And Equipment, Gross	$ 70,150	70,150
Office equipment and furniture | Minimum
Expected Useful Lives (years)	3 years
Office equipment and furniture | Maximum
Expected Useful Lives (years)	7 years
Land
Property, Plant And Equipment, Gross	$ 51,477	51,477
Mineral rights - Eureka
Mineral Rights	13,740,608	13,704,608
Mineral rights - Other
Mineral Rights	$ 65,000	$ 65,000

PROPERTY, MINERAL RIGHTS, AND_4

PROPERTY, MINERAL RIGHTS, AND EQUIPMENT (Details Narrative) - USD ($)	6 Months Ended
	Mar. 31, 2022	Mar. 31, 2021
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details)
Proceeds From Lease Of Mineral Rights	$ 0	$ 52,380

RELATED-PARTY TRANSACTIONS (Det

RELATED-PARTY TRANSACTIONS (Details Narrative) - USD ($)	Mar. 31, 2022	Mar. 31, 2021
Owed To Related Party For Expenses	$ 700	$ 0
Two Officers
Accounts Payable	$ 6,249

SENIOR UNSECURED NOTE PAYABLE_2

SENIOR UNSECURED NOTE PAYABLE - RELATED PARTY (Details Narrative) - USD ($)	1 Months Ended			3 Months Ended		6 Months Ended		12 Months Ended
	Aug. 30, 2021	Jun. 30, 2021	Jul. 30, 2018	Mar. 31, 2022	Mar. 31, 2021	Mar. 31, 2022	Mar. 31, 2021	Sep. 30, 2021
Interest Expense				$ 800	$ 0	$ 1,132	$ 0
Senior Unsecured Notes Payable, Transaction #1
Debt Instrument, Face Amount			$ 300,000	$ 270,991		$ 270,991		$ 270,991
Debt Instrument, Description			loan agreement and promissory note
Interest Annual, Rate			18.00%
Debt Instrument, Issuance Date						Jul. 30, 2018
Debt Instrument, Maturity Date						Jan. 20, 2023
Debt Instrument, Interest Rate				18.00%		18.00%
Senior Unsecured Notes Interest Paid
Reduction Of Principal And Interest Accrued, Rate						25.00%
Debt Instrument, Increase, Accrued Interest						$ 29,781		$ 4,145
Interest Expense						25,636	$ 42,234
Senior Unsecured Note Payable				$ 270,991		$ 270,991
Senior Unsecured Notes Interest Paid | Private Placement Financing
Paid To The Lender In Conjunction With The Common Stock	$ 250,000
Principal Senior Unsecured Debt		$ 29,009
Interest On Senior Unsecured Debt		$ 220,991

COMMON STOCK AND WARRANTS (Deta

COMMON STOCK AND WARRANTS (Details) - USD ($)	1 Months Ended	6 Months Ended
	Apr. 14, 2021	Mar. 31, 2022	Mar. 31, 2021	Sep. 30, 2021
Weighted Average Exercise Price		$ 0.22
Description Of Authorized Common Shares	the shareholders approved an increase in the number of authorized common shares of the Company from 200,000,000 to 500,000,000
Warrants Outstanding		$ 56,398,876
Weighted Average Remaining Contractual Term (in Years)		1 year 4 months 24 days
Proceeds from warrant exercised		$ 146,499	$ 316,750
Subscription Receivable		$ 70,000		$ 0
Series H Warrants
Weighted Average Exercise Price		$ 0.14
Warrants Expired		4,446,016
Exercised, shares		1,546,425
Number of common stock called by warrants		1,546,425
Proceeds from warrant exercised		$ 146,499
Subscription Receivable		$ 70,000
Series E Warrants
Warrants Expired		6,825,000
Par Value Of Acquire Common Stock		$ 0.14
Cash Proceeds Common Stock, Shares		$ 75,250
Acquire Common Stock, Shares		537,500
Warrants Exercised, Shares		537,500
Series D Warrants
Par Value Of Acquire Common Stock		$ 0.14
Cash Proceeds Common Stock, Shares		$ 241,500
Acquire Common Stock, Shares		1,725,000
Warrants Exercised, Shares		1,725,000
Series G Warrants
Warrants Expired		5,000,000

STOCK-BASED AWARDS (Details)

STOCK-BASED AWARDS (Details) - USD ($)	6 Months Ended
	Mar. 31, 2022	Mar. 31, 2021
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details)
Expected Volatility	167.90%	171.90%
Stock Price On Date Of Grant	$ 0.20	$ 0.25
Exercise Price	$ 0.25	$ 0.25
Expected Term (in Years)	5 years	5 years
Expected Dividends	$ 0	$ 0
Risk-free Rate	0.05%	0.09%
Expected Forfeiture Rate	0.00%	0.00%

STOCK-BASED AWARDS (Details 1)

STOCK-BASED AWARDS (Details 1) - $ / shares	6 Months Ended	12 Months Ended
	Mar. 31, 2022	Sep. 30, 2021
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details)
Outstanding, Beggining Balance	8,335,000	5,400,000
Granted	0	3,885,000
Expired	0	(950,000)
Outstanding, Ending Balance	8,335,000	8,335,000
Outstanding And Exercisable, Ending Balance	7,960,000
Weighted Average Exercise Price, Outstanding, Beggining Balance	$ 0.18	$ 0.16
Weighted Average Exercise Price, Granted	0	0.12
Weighted Average Exercise Price, Expired	0	(0.43)
Weighted Average Exercise Price, Outstanding, Ending Balance	0.18	$ 0.18
Weighted Average Exercise Price, Outstanding And Exercisable	$ 0.17
Weighted Average Remaining Contractual Term (years)	2 years 9 months 21 days

STOCK-BASED AWARDS (Details Nar

STOCK-BASED AWARDS (Details Narrative) - USD ($)	6 Months Ended
	Mar. 31, 2022	Mar. 31, 2021	Sep. 30, 2021	Sep. 30, 2020
Common Stock Reserved For Issuance	15,000,000
Common Stock Reserved For Incentive Stock Options	10,000,000
Aggregate Of Options Exercisable As Intrinsic Value	$ 765,700
Aggregate Of Options Exercisable As Intrinsic Value Closing Price	$ 0.27
Share-based Compensation Arrangement By Share-based Payment Award, Options, Outstanding, Weighted Average Exercise Price	$ 0.18		$ 0.18	$ 0.16
Black Scholes Option Pricing Model
Stock options, vested in period, fair value	$ 44,321	$ 127,022
Stock option, cost not yet recognized, amount	$ 44,321
Stock-based Award #1
Sale Of Stock, Transaction Date	Oct. 8, 2020
Share-based Compensation Arrangement By Share-based Payment Award, Options, Grants In Period, Net Of Forfeitures	1,100,000
Share-based Compensation Arrangement By Share-based Payment Award, Options, Outstanding, Weighted Average Exercise Price	$ 0.25
Granted Options Total Fair Value	260,000
Exception Of Options Vesting	187,500
Stock-based Award #2
Sale Of Stock, Transaction Date	May 6, 2021
Share-based Compensation Arrangement By Share-based Payment Award, Options, Grants In Period, Net Of Forfeitures	2,785,000
Share-based Compensation Arrangement By Share-based Payment Award, Options, Outstanding, Weighted Average Exercise Price	$ 0.25
Granted Options Total Fair Value	519,400

COMMITMENTS AND CONTINGENCIES (

COMMITMENTS AND CONTINGENCIES (Details Narrative)	6 Months Ended
	Mar. 31, 2022USD ($)
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details)
Total Royalty Agreements	$ 82,000
Mineral Properties Annual Fees	$ 236,277

SUBSEQUENT EVENTS (Details Narr

SUBSEQUENT EVENTS (Details Narrative) - Subsequent Event [Member]	May 02, 2022USD ($)$ / sharesshares
Subsequent Event, Description	Finders fees in the amount of $254,005 and 1,016,022 Series N Warrants have been paid to licensed brokers and consultants in association with the offering. The warrants have a term of 18 months and are exercisable at $0.25 per common share of the Company
Issued Common Shares | shares	18,933,705
Cash Proceeds Of Common Shares | $	$ 4,733,426
Par Value Of Common Share | $ / shares	$ 0.25