Document and Entity Information
Document and Entity Information - USD ($) | 12 Months Ended | ||
May. 31, 2015 | Aug. 18, 2015 | Nov. 30, 2014 | |
Document Type | 10-K | ||
Amendment Flag | false | ||
Document Period End Date | May 31, 2015 | ||
Trading Symbol | hndi | ||
Entity Registrant Name | HANDENI GOLD INC. | ||
Entity Central Index Key | 1,297,223 | ||
Current Fiscal Year End Date | --05-31 | ||
Entity Filer Category | Smaller Reporting Company | ||
Entity Common Stock, Shares Outstanding | 321,416,654 | ||
Entity Current Reporting Status | Yes | ||
Entity Voluntary Filers | No | ||
Entity Well Known Seasoned Issuer | No | ||
Entity Public Float | $ 293,222 | ||
Document Fiscal Year Focus | 2,015 | ||
Document Fiscal Period Focus | FY |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) | May. 31, 2015 | May. 31, 2014 |
Current Assets | ||
Cash | $ 85,985 | $ 532,694 |
Amounts receivable | 38,751 | 34,326 |
Prepaid expenses and deposits | 306 | 15,076 |
Total Current Assets | 125,042 | 582,096 |
Restricted cash equivalent | 13,858 | 26,522 |
Restricted marketable securities | 0 | 73,600 |
Mineral licenses | 1,650,000 | 1,650,000 |
Property and equipment, net | 1,474 | 55,446 |
TOTAL ASSETS | 1,790,374 | 2,387,664 |
Current Liabilities | ||
Accounts payable and accrued liabilities | 52,785 | 109,432 |
Accounts payable and accrued liabilities - related parties | 454,615 | 277,500 |
Current portion of loans from related parties | 0 | 1,070,683 |
Total Current Liabilities | 507,400 | 1,457,615 |
Loans from related parties | 1,340,000 | 0 |
Total Liabilities | $ 1,847,400 | $ 1,457,615 |
Commitments and Contingencies | ||
Stockholders' Equity (Deficiency) | ||
Common stock Authorized: 500,000,000 shares, $0.001 par value Issued and outstanding: 321,416,654 shares (May 31, 2014 - 321,416,654 shares) | $ 321,417 | $ 321,417 |
Additional paid-in capital | 116,414,824 | 116,414,824 |
Donated capital | 314,982 | 222,495 |
Accumulated other comprehensive loss | 0 | (86,400) |
Deficit accumulated during the exploration stage | (117,108,249) | (115,942,287) |
Total Stockholders' (Deficiency) / Equity | (57,026) | 930,049 |
TOTAL LIABILITIES AND STOCKHOLDERS' DEFICIENCY | $ 1,790,374 | $ 2,387,664 |
Consolidated Balance Sheet (Par
Consolidated Balance Sheet (Parenthetical) - $ / shares | May. 31, 2015 | May. 31, 2014 |
Common Stock, Shares Authorized | 500,000,000 | 500,000,000 |
Common Stock, Par Value Per Share | $ 0.001 | $ 0.001 |
Common Stock, Shares, Issued | 321,416,654 | 321,416,654 |
Common Stock, Shares, Outstanding | 321,416,654 | 321,416,654 |
Consolidated Statements of Oper
Consolidated Statements of Operations and Comprehensive Loss - USD ($) | 12 Months Ended | |
May. 31, 2015 | May. 31, 2014 | |
Revenue | $ 0 | $ 0 |
Expenses | ||
Consulting fees | 17,070 | 22,500 |
Depreciation | 53,822 | 189,200 |
Exploration expenses | 213,953 | 221,977 |
General and administrative | 442,966 | 524,088 |
Interest expense | 92,487 | 89,869 |
Professional | 124,552 | 141,356 |
Rent | 59,924 | 83,994 |
Travel and investor relations | 36,435 | 24,111 |
Total Expenses | 1,041,209 | 1,297,095 |
Loss From Operations | (1,041,209) | (1,297,095) |
Other Income (Expenses) | ||
Gain on disposal of equipment | 35,058 | 3,210 |
Impairment of restricted marketable securities | (140,000) | (1,000,000) |
Loss on restricted marketable securities | (20,000) | 0 |
Interest income | 189 | 290 |
Total other Expenses | (124,753) | (996,500) |
Net Loss | (1,165,962) | (2,293,595) |
Other Comprehensive Loss | ||
Unrealized loss on marketable securities | 0 | (66,400) |
Comprehensive Loss | $ (1,165,962) | $ (2,359,995) |
Net Loss per Share - Basic and Diluted | $ 0 | $ (0.01) |
Basic and Diluted Weighted Average Number of Common Shares Outstanding | 321,416,654 | 321,416,654 |
Consolidated Statements of Stoc
Consolidated Statements of Stockholders Equity (Deficiency) - USD ($) | Common Stock [Member] | Additional Paid-In Capital [Member] | Donated Capital [Member] | Accumulated Other Comprehensive Income (Loss) [Member] | Deficit Accumulated During the Development Stage [Member] | Total |
Beginning Balance at May. 31, 2013 | $ 321,417 | $ 116,414,824 | $ 137,379 | $ (1,020,000) | $ (113,648,692) | $ 2,204,928 |
Beginning Balance (Shares) at May. 31, 2013 | 321,416,654 | |||||
Deemed interest on interest-free loan from a related party | 85,116 | 85,116 | ||||
Impairment of restricted marketable securities | 1,000,000 | 1,000,000 | ||||
Unrealized loss on restricted marketable securities | (66,400) | (66,400) | ||||
Net loss for the year | (2,293,595) | (2,293,595) | ||||
Ending Balance at May. 31, 2014 | $ 321,417 | 116,414,824 | 222,495 | (86,400) | (115,942,287) | 930,049 |
Ending Balance (Shares) at May. 31, 2014 | 321,416,654 | |||||
Deemed interest on interest-free loan from a related party | 92,487 | 92,487 | ||||
Realized loss on restricted marketable securities | 20,000 | 20,000 | ||||
Impairment of restricted marketable securities | $ 66,400 | 66,400 | ||||
Unrealized loss on restricted marketable securities | 0 | |||||
Net loss for the year | (1,165,962) | (1,165,962) | ||||
Ending Balance at May. 31, 2015 | $ 321,417 | $ 116,414,824 | $ 314,982 | $ (117,108,249) | $ (57,026) | |
Ending Balance (Shares) at May. 31, 2015 | 321,416,654 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) | 12 Months Ended | |
May. 31, 2015 | May. 31, 2014 | |
CASH AND CASH EQUIVALENTS PROVIDED BY (USED IN): Operating Activities: | ||
Net loss | $ (1,165,962) | $ (2,293,595) |
Adjustments for non-cash items in net loss: | ||
Depreciation | 53,822 | 189,200 |
Donated interest | 92,487 | 85,116 |
Impairment of marketable securities | 140,000 | 1,000,000 |
Loss on restricted marketable securities | 20,000 | 0 |
Loss on unrealized foreign exchange | 2,280 | 1,283 |
Gain on disposal of equipment | (35,058) | (3,210) |
Changes in non-cash operating working capital: | ||
Amounts receivable | (4,425) | 591,619 |
Prepaid expenses and deposits | 14,770 | 72,710 |
Accounts payable and accrued liabilities | (56,647) | 22,063 |
Due to related parties | 177,115 | 132,069 |
Cash Used in Operating Activities | (761,618) | (202,745) |
Investing Activities: | ||
Proceeds from disposal of equipment | 35,208 | 7,013 |
Redemption of restricted cash equivalent | 10,384 | 0 |
Purchase of property and equipment | 0 | (2,976) |
Cash Provided by Investing Activities | 45,592 | 4,037 |
Financing Activities: | ||
Loan from a related party | 269,317 | 525,000 |
Cash Provided by Financing Activities | 269,317 | 525,000 |
(Decrease) / increase in cash | (446,709) | 326,292 |
Cash, at beginning of the year | 532,694 | 206,402 |
Cash, at end of the year | $ 85,985 | $ 532,694 |
Nature of Operations and Contin
Nature of Operations and Continuance of Business | 12 Months Ended |
May. 31, 2015 | |
Nature of Operations and Continuance of Business [Text Block] | 1. Nature of Operations and Going Concern The Company was incorporated in the State of Nevada on January 5, 2004. On February 14, 2012, the Company changed its name from Douglas Lake Minerals Inc. to Handeni Gold Inc. (the “Company”). The Company’s principal business is the acquisition and exploration of mineral resources located in Tanzania, Africa. The Company has not presently determined whether its properties contain mineral reserves that are economically recoverable. These consolidated financial statements have been prepared on a going concern basis, which implies the Company will continue to realize its assets and discharge its liabilities in the normal course of business. The Company has never generated revenues since inception and has never paid any dividends and is unlikely to pay dividends or generate earnings in the immediate or foreseeable future. The continuation of the Company as a going concern is dependent upon the continued financial support from its stockholders, the ability of the Company to obtain necessary equity financing to continue operations and to determine the existence, discovery and successful exploitation of economically recoverable reserves in its resource properties, confirmation of the Company’s interests in the underlying properties, and the attainment of profitable operations. As at May 31, 2015, the Company has not generated any revenues, has a working capital deficiency of $382,358, and has accumulated losses of $117,108,249 since inception. These factors raise substantial doubt regarding the Company’s ability to continue as a going concern. The Company plans to raise equity and/or debt financing to fund its operations which may result in substantial dilution to the Company’s stockholders or may not be available, if at all, in amounts or on terms acceptable to the Company. If additional capital is not obtained, the Company may be forced to cease operations. These consolidated financial statements do not include any adjustments to the recoverability and classification of recorded asset amounts and classification of liabilities that might be necessary should the Company be unable to continue as a going concern. |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 12 Months Ended |
May. 31, 2015 | |
Summary of Significant Accounting Policies [Text Block] | 2. Summary of Significant Accounting Policies a) Basis of Presentation These consolidated financial statements and related notes are presented in accordance with accounting principles generally accepted in the United States, and are expressed in United States dollars. These consolidated financial statements include the accounts of the Company and its subsidiaries described as follows. In June 2011, the Company incorporated in Tanzania a wholly- owned subsidiary, HG Limited, which undertakes mineral property exploration activities in Tanzania. The Company also has a wholly-owned non-operating Tanzanian subsidiary (Douglas Lake Tanzania Limited). All significant intercompany transactions and balances have been eliminated. The Company’s fiscal year-end is May 31. b) Use of Estimates The preparation of consolidated financial statements in accordance with United States generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenue and expenses in the reporting period. The Company regularly evaluates estimates and assumptions related to the estimated deemed interest rates on interest-free related party loans, recoverability and useful life of long-lived assets, mineral prospecting licenses, stock-based compensation, deferred income tax asset valuation allowances and contingent liabilities. The Company bases its estimates and assumptions on current facts, historical experience and various other factors that it believes to be reasonable under the circumstances, the results of which form the basis for making judgments about the carrying values of assets and liabilities and the accrual of costs and expenses that are not readily apparent from other sources. The actual results experienced by the Company may differ materially and adversely from the Company’s estimates. To the extent there are material differences between the estimates and the actual results, future results of operations will be affected. c) Basic and Diluted Net Income (Loss) Per Share The Company computes net income (loss) per share in accordance with ASC 260, Earnings per Share d) Comprehensive Income (Loss) ASC 220, Comprehensive Income e) Cash and Cash Equivalents Cash and cash equivalents are carried at fair value and they comprise cash on hand, deposits held with banks and other highly liquid investments. Highly liquid investments are readily convertible to cash and generally have maturities of three months or less from the time acquired. The Company places its cash and cash equivalents with high quality financial institutions which the Company believes limits credit risk. f) Marketable Securities The Company reports investments in marketable equity securities at fair value based on quoted market prices. All investment securities are designated as available for sale with unrealized gains and losses included in stockholders’ equity. Realized gains and losses are accounted for based on the specific identification method. The Company periodically reviews these investments for other-than-temporary declines in fair value based on the specific identification method. When an other-than-temporary decline has occurred, unrealized losses that are other than temporary are recognized in earnings. When determining whether a decline is other-than-temporary, the Company examines (i) the length of time and the extent to which the fair value of an investment has been lower than its carrying value; (ii) the financial condition and near- term prospects of the investee, including any specific events that may influence the operations of the investee such as changes in technology that may impair the earnings potential of the investee; and (iii) the Company’s intent and ability to retain its investment in the investee for a sufficient period of time to allow for any anticipated recovery in market value. The Company generally believes that an other-than-temporary decline has occurred when the fair value of the investment is below the carrying value for one year, in the absence of evidence to the contrary. g) Property and Equipment Property and equipment consists of office equipment, automobiles and computer software recorded at cost and depreciated on a straight-line basis as follows: Automobiles 3 years Camp and equipment 3 years Office furniture and equipment 3 years Software 1 year h) Mineral Property Costs The Company has been in the exploration stage since its inception on January 5, 2004 and has not yet realized any revenues from its planned operations. It is primarily engaged in the acquisition and exploration of mining properties. Mineral property exploration costs are expensed as incurred. Mineral prospecting licenses and mineral property acquisition costs are initially capitalized in accordance with ASC 805-20-55-37, whether Mineral Rights are Tangibel or Intangible Assets Accounting for Impairment or Disposal of Long-Lived Assets, When it has been determined that a mineral property can be economically developed as a result of establishing proven and probable reserves, the costs then incurred to develop such property, are capitalized. Such costs will be amortized using the units-of- production method over the estimated life of the probable reserve. If mineral properties are subsequently abandoned or impaired, any capitalized costs will be charged to operations. i) Long-Lived Assets In accordance with ASC 360 , Property, Plant and Equipment j) Asset Retirement Obligations The Company accounts for asset retirement obligations in accordance with the provisions of ASC 440 Asset Retirement and Environmental Obligations k) Financial Instruments ASC 825, Financial Instruments The Company’s operations are in Canada and Africa, which results in exposure to market risks from changes in foreign currency rates. The financial risk is the risk to the Company’s operations that arise from fluctuations in foreign exchange rates and the degree of volatility of these rates. Currently, the Company does not use derivative instruments to reduce its exposure to foreign currency risk. l) Income Taxes The Company accounts for income taxes using the asset and liability method in accordance with ASC 740, Income Taxes. m) Foreign Currency Translation The functional and reporting currency of the Company is the United States dollar. The functional currency of the Company’s subsidiaries is Tanzania shillings. Monetary assets and liabilities denominated in foreign currencies are translated to United States dollars in accordance with ASC 830 Foreign Currency Translation Matters Gains and losses arising on translation or settlement of foreign currency denominated transactions or balances are included in the determination of income. The Company has not, to the date of these consolidated financial statements, entered into derivative instruments to offset the impact of foreign currency fluctuations. To the extent that the Company incurs transactions that are not denominated in its functional currency, they are undertaken in Canadian dollars (“Cdn$”) and Tanzanian shillings. The Company has not, to the date of these consolidated financial statements, entered into derivative instruments to offset the impact of foreign currency fluctuations. n) Stock-based Compensation The Company records stock-based compensation in accordance with ASC 718, Compensation – Stock Based Compensation Equity Based Payments to Non-Employees ASC 718 requires companies to estimate the fair value of share-based awards on the date of grant using an option-pricing model. The Company uses the Black-Scholes option-pricing model as its method of determining fair value. This model is affected by the Company’s stock price as well as assumptions regarding a number of subjective variables. These subjective variables include, but are not limited to the Company’s expected stock price volatility over the term of the awards, and actual and projected employee stock option exercise behaviours. The value of the portion of the award that is ultimately expected to vest is recognized as an expense in the consolidated statement of operations and comprehensive loss over the requisite service period. All transactions in which goods or services are the consideration received for the issuance of equity instruments are accounted for based on the fair value of the consideration received or the fair value of the equity instrument issued, whichever is more reliably measurable. o) Reclassification Certain reclassifications have been made to the prior year’s consolidated financial statements to conform to the current year’s presentation. p) Recently Issued Accounting Pronouncements The Company has adopted all new accounting pronouncements that are mandatorily effective and none have a material impact on its consolidated financial statements. New accounting pronouncements effective June 1, 2015 During the year ended May 31, 2015, the Company elected to early adopt Accounting Standards Update No. 2014-10, Development Stage Entities (Topic 915): Elimination of Certain Financial Reporting Requirements. The adoption of this standard allowed the Company to remove the previously disclosed inception-to-date information and all references to exploration stage. The Company does not believe that there are any other new accounting pronouncements that have been issued that are expected to have a material impact on its financial position or results of operations. |
Amounts Receivable
Amounts Receivable | 12 Months Ended |
May. 31, 2015 | |
Amounts Receivable [Text Block] | 3. Amounts Receivable The components of amounts receivable are as follows: May 31, 2015 May 31, 2014 $ $ Recoverable value added tax 28,797 23,202 Recoverable harmonized sales tax 9,830 9,765 Other receivable 124 1,359 38,751 34,326 The Company had recoverable value added tax (“VAT”) of $28,797 (TZS 57,511,042) as at May 31, 2015 and $23,202 (TZS 38,566,758) as at May 31, 2014. In January 2015, the Company submitted VAT refund certificates to the Tanzania Revenue Authority requesting $24,566 (TZS 49,061,634) recoverable VAT refund. As of May 31, 2015, the Company had not received such entitled VAT refund. During the year ended May 31, 2014, the Company had received from the Tanzania Revenue Authority $507,916 (TZS 845,117,520) VAT refund, net of taxes and interest. |
Prepaid Expenses and Deposits
Prepaid Expenses and Deposits | 12 Months Ended |
May. 31, 2015 | |
Prepaid Expenses and Deposits [Text Block] | 4. Prepaid Expenses and Deposits The components of prepaid expenses and deposits are as follows: May 31, 2015 May 31, 2014 $ $ General and administrative - 2,343 Rent 306 12,733 306 15,076 |
Restricted Cash Equivalent
Restricted Cash Equivalent | 12 Months Ended |
May. 31, 2015 | |
Restricted Cash Equivalent [Text Block] | 5. Restricted Cash Equivalent As of May 31, 2015, the Company has pledged a GIC of $13,858 (May 31, 2014: $26,522) as security held on a corporate credit card. |
Restricted Marketable Securitie
Restricted Marketable Securities | 12 Months Ended |
May. 31, 2015 | |
Restricted Marketable Securities [Text Block] | 6. Restricted Marketable Securities May 31, 2014 Other-than- Fair Value Other-than- temporary Loss on Based On temporary Accumulated Impairment Marketable Quoted Impairment Unrealized Cost Loss Securities Market Price Loss Loss $ $ $ $ $ $ Ruby Creek Resources Inc., 4,000,000 shares 2,760,000 (2,740,000 ) (20,000 ) 73,600 (2,600,000 ) (86,400 ) The 4,000,000 restricted shares of common stock of Ruby Creek Resources Inc. (“RCR”) were issued to the Company on December 16, 2010 as partial consideration to purchase the mineral property interests under the agreements between RCR and the Company. The initial fair market value of these shares was $2,760,000 based on RCR’s quoted stock price on the issuance date. On January 13, 2015, the Company reached a binding settlement to its litigation with RCR. Under the terms of the settlement, the Company will return the 4,000,000 restricted shares of RCR common stock to RCR (see Note 13, below). As a result, the Company has recorded a loss on marketable securities of $20,000 related to the pending return of these shares. As of May 31, 2015, the Company has recognized a total of $2,740,000 (May 31, 2014: $2,600,000) in other than temporary impairment losses on these restricted shares. |
Mineral Properties and Licenses
Mineral Properties and Licenses | 12 Months Ended |
May. 31, 2015 | |
Mineral Properties and Licenses [Text Block] | 7. Mineral Properties and Licenses a) Handeni Properties, Tanzania, Africa Prospecting Licenses (“PLs”) On September 21, 2010, the Company completed a Mineral Property Acquisition Agreement with IPP Gold Limited (“IPP Gold”), and the Company acquired four PLs totaling approximately 800 square kilometers, located in the Handeni District of Tanzania (the “Handeni Properties”). IPP Gold retained a 2.5% net smelter royalty (“NSR”) on the Handeni Properties and the Company has the option to reduce the NSR to 1.25% by paying $5,000,000. If the NSR is reduced to 1.25% the maximum NSR for any year is capped at $1,000,000. In any year the NSR payment is less than $1,000,000 the difference between the actual NSR payment and $1,000,000 will be carried forward to subsequent years. In addition if the London spot price for gold is equal to or greater than $1,500 then the NSR will increase from 2.5% to 3%. The Company issued 133,333,333 restricted shares of common stock to IPP Gold to acquire the Handeni Properties and no further payments to IPP Gold in shares or cash are required. On September 1, 2010, the Company entered into a Transaction Fee Agreement with a consultant for services related to soliciting offers from and in assisting in the negotiation with potential Company financiers, purchasers, acquisition targets and/or joint venture development partners (each such party being a “Potential Investor”). The initial term of the agreement was a period of 60 days and automatically renews monthly unless otherwise specifically renewed in writing by each party or terminated by the Company. Pursuant to the agreement, the Company agreed to pay the consultant a transaction fee for each completed property acquisition transaction in Tanzania (a “Completed Transaction”). The transaction fee is 12.5% of the shares issuable under each Completed Transaction, payable in restricted common shares at the lowest priced security issuable under each Completed Transaction. On September 30, 2010, the Company issued 16,666,667 restricted shares of common stock pursuant to the Transaction Fee Agreement in relation to the acquisition of the Handeni Properties. The fair value of the 133,333,333 shares of the Company’s common stock issued to IPP Gold pursuant to the Acquisition Agreement and the 16,666,667 shares of the Company’s common stock issued pursuant to the Transaction Fee Agreement totaled $60,000,000. On November 30, 2010, the capitalized acquisition costs of the Handeni Properties were tested for impairment by the Company’s management as required by ASC 360. Management determined that no positive cash flows from the Handeni Properties could be identified or supported and a full impairment loss was recognized in expenses for the $60,000,000 acquisition cost. Under Tanzanian law, 50% of the area of PLs need to be relinquished following a period of three years after allocation of the PLs to the Company (1998 Mining Act applicable to the Companies’ PLs). The Company has received four renewal PLs of the renewal areas under PL6742/2010, PL6744/2010, PL6743/2010 and PL6779/2010 effective on October 5, 2013, September 13, 2013, October 13, 2013 and September 13, 2013, respectively. These four PLs are valid until October 4, 2016, September 12, 2016, October 12, 2016 and September 12, 2016, respectively. The total area occupied by the renewal licenses is approximately 359.80 km 2 In addition to the renewal areas, the Company had also applied for the remainder of the license areas and has received four additional PLs. The Company now holds a total license area of approximately 423.03 km 2 2 During the year ended May 31, 2015, the Company paid $62,584 (2014: $59,333) in annual rental and licenses renewal fees for PLs. Such license related fees have been recorded as exploration expenses. Primary Mining Licenses (“PMLs”), On August 5, 2011, the Company entered a Mineral Property Acquisition Agreement (the “2011 Acquisition Agreement”) with Handeni Resources Limited (“Handeni Resources”), a limited liability company registered under the laws of Tanzania. The Chairman of the Board of Directors of the Company has an existing ownership and/or beneficial interest(s) in Handeni Resources. Pursuant to the 2011 Acquisition Agreement, the Company had an exclusive option to acquire from Handeni Resources a 100% interest in mineral licenses covering an area of approximately 2.67 square kilometers to the east of Magambazi Hill, which is adjacent to the area covered by the Company’s existing PLs in the Handeni District. On November 30, 2011, the Company completed the 2011 Acquisition Agreement and issued 15,000,000 restricted common shares to Handeni Resources as payment. As at November 30, 2011, the fair market price of the Company’s common stock was $0.11 per share; accordingly, the Company recorded a total fair market value of $1,650,000 as the mineral licenses acquisition cost. To comply with the laws and regulations of the Republic of Tanzania whereby foreign companies may not own PMLs, on July 19, 2012, the Company entered into an Addendum agreement to the 2011 Acquisition Agreement whereby Handeni Resources, on behalf of the Company, administers the 32 PMLs until such time as a mining license on the 32 PMLs ( 2.67 km 2 b) Mkuvia Alluvial Gold Project, Tanzania, Africa The Mkuvia Alluvial Gold Project was comprised of four PLs covering a total area of 380 square kilometers located in the Nachingwea District, Lindi Region of the Republic of Tanzania. The Company is aware that the four PLs expired during May and June of 2012. As at May 31, 2015 and 2014, the Company has no capitalized costs related to the Mkuvia Alluvial Gold Project. On January 13, 2015, the Company reached a binding settlement agreement with regards to its litigation with RCR (see Note 13, below). Based on this agreement with RCR, the Company will relinquish its interest in the Mkuvia Alluvial Project after the formal agreement delivered by RCR as agreed. |
Property and Equipment
Property and Equipment | 12 Months Ended |
May. 31, 2015 | |
Property and Equipment [Text Block] | 8. Property and Equipment May 31, 2015 May 31, 2014 Accumulated Net Book Net Book Cost Depreciation Value Value $ $ $ $ Automobiles 257,300 257,300 - 4,583 Camp and equipment 197,011 197,011 - 42,242 Office furniture and equipment 100,222 98,970 1,252 6,635 Software 7,930 7,708 222 1,986 562,463 560,989 1,474 55,446 |
Related Party Transactions
Related Party Transactions | 12 Months Ended |
May. 31, 2015 | |
Related Party Transactions [Text Block] | 9. Related Party Transactions a) The Company has entered into the following facility agreements with related parties: i) On December 7, 2012, and as amended on September 4, 2013, June 18, 2014 and March 20, 2015, the Company entered into a facility agreement with IPP Ltd., a private company controlled by the Chairman of the Company. The funding is in the form of an interest free unsecured loan to the Company of up to $720,000 due May 31, 2017. As of May 31, 2015, IPP Ltd. has fully advanced $720,000 (May 31, 2014: $695,683) to the Company pursuant to this facility agreement. ii) On October 9, 2013, and as amended on June 18, 2014 and March 20, 2015, the Company entered into a facility agreement with Consultancy & Finance Company Associates Ltd. (“C&F”), a private company controlled by the Chairman of the Company. The funding is in the form of an interest free unsecured loan to the Company of up to $405,000 due May 31, 2017. As of May 31, 2015, C&F has fully advanced $405,000 (May 31, 2014: $375,000) to the Company pursuant to this facility agreement. iii) On November 20, 2014, the Company entered into a facility agreement with C&F. The funding is in the form of an interest-free unsecured loan to the Company of up to $500,000 due May 31, 2017. As of May 31, 2015, C&F has advanced $215,000 to the Company pursuant to this facility agreement. For the year ended May 31, 2015, $92,487 of deemed interest was calculated at an annual interest rate of 8% (2014: $85,116 calculated at an annual interest rate of 10%). Such deemed interest approximates the fair market value of the borrowings and was recorded as interest expense and donated capital. b) During the year ended May 31, 2015 and 2014, the Company incurred administration and professional services fees of $144,000 to a director, the current President and Chief Executive Officer (the “CEO”), and there was a total of $306,000 remaining payable as at May 31, 2015 (May 31, 2014: $162,000). In addition, during the year ended May 31, 2015 and 2014, the Company incurred geological and other service fees of $36,000 to a private company controlled by a person who is related to the CEO and there was a total of $Nil fees remaining payable as at May 31, 2015 (May 31, 2014: $3,000). During the year ended May 31, 2015, the Company also paid $36,000 (the year ended May 31, 2014: $25,200) representing 60% of annual rental expenses associated with renting the CEO’s family house in Tanzania, pursuant to the Executive Services Agreement. c) During the year ended May 31, 2015, the Company incurred administration and professional services fees of $125,197 (the year ended May 31, 2014: $135,100) to the Company’s Chief Financial Officer (the “CFO”), and there was a total of $3,615 remaining payable as at May 31, 2015. d) During the year ended May 31, 2015, the Company incurred independent and non-executive directors’ fees of $72,500 (the ear ended May 31, 2014: $68,750). As at May 31, 2015, the Company had $145,000 (May 31, 2014: $112,500) of unpaid independent directors’ fees in related party accounts payable and accrued liabilities. |
Common Stock and Additional Pai
Common Stock and Additional Paid-in Capital | 12 Months Ended |
May. 31, 2015 | |
Common Stock and Additional Paid-in Capital [Text Block] | 10. Common Stock and Additional Paid-in Capital The authorized common stock of the Company consists of 500,000,000 shares, with $0.001 par value. During the year ended May 31, 2015 and 2014, the Company had no changes in its common stock and additional paid-in capital. |
Stock Options
Stock Options | 12 Months Ended |
May. 31, 2015 | |
Stock Options [Text Block] | 11. Stock Options The Company adopted a Stock Option Plan, dated November 29, 2010 (the “November 2010 Stock Incentive Plan”), under which the Company is authorized to grant stock options to acquire up to a total of 40,000,000 shares of common shares. During the year ended May 31, 2015 and 2014, there were no stock options granted. At May 31, 2015 and 2014, the Company had 10,700,000 shares of common stock available to be issued under the November 2010 Stock Incentive Plan. There were no stock options exercised during the year ended May 31, 2015 and 2014, and there were no intrinsic values of outstanding options at May 31, 2015 and 2014. As at May 31, 2015 and 2014, all stock options were fully vested. The following table summarizes the continuity of the Company’s stock options: Weighted Weighted Average Aggregate Number of Average Remaining Intrinsic Options Exercise Price Contractual Term Value # $ (years) $ Outstanding, May 31, 2013 28,300,000 0.23 7.56 - Outstanding, May 31, 2014 28,300,000 0.23 6.56 - Outstanding and exercisable, May 31, 2015 28,300,000 0.23 5.56 - The stock options outstanding are exercisable for cash or on a cashless exercise basis using a prorated formula whereby the number of shares issuable is equal to (a) the average closing price for the five days prior to exercise date (“ACP”) in excess of the exercise price, divided by (b) the exercise price multiplied by (c) the number of options exercised. During the year ended May 31, 2015 and 2014, no cashless stock options were exercised. |
Common Stock Purchase Warrants
Common Stock Purchase Warrants | 12 Months Ended |
May. 31, 2015 | |
Common Stock Purchase Warrants [Text Block] | 12. Common Stock Purchase Warrants During the year ended May 31, 2015 and 2014, there were no stock purchase warrants granted. During the year ended May 31, 2014, 13,554,155 stock purchase warrants expired. The following table summarizes the continuity of the Company’s share purchase warrants: Weighted Average Weighted Average Remaining Number of Warrants Exercise Price Contractual Life # $ (years) Balance, May 31, 2013 13,554,155 0.52 0.33 Expired (13,554,155 ) - - Balance, May 31, 2015 and 2014 - - - |
Commitments and Contingencies
Commitments and Contingencies | 12 Months Ended |
May. 31, 2015 | |
Commitments and Contingencies [Text Block] | 13. Commitments and Contingencies On February 8, 2012, RCR filed a lawsuit against the Company in the Supreme Court, State of New York, in which RCR alleged that the Company participated in a fraudulent transfer of certain mineral property interests in Tanzania that RCR had the right to purchase pursuant to a series of agreements with the Company. On January 13, 2015, the Company reached a binding settlement of its litigation with RCR, and is currently waiting for RCR to finalize the formal settlement documentation. The settlement does not require any monetary payment by the Company to RCR. Under the terms of the settlement, the Company will turn over its interest in Ruby Creek Resources (Tanzania) Limited and has agreed to return the 4,000,000 shares of restricted RCR common stock to RCR (See Note 6, above). Both parties have agreed to dismiss their respective claims, with prejudice, and the litigation is now concluded. |
Fair Value Measurements
Fair Value Measurements | 12 Months Ended |
May. 31, 2015 | |
Fair Value Measurements [Text Block] | 14. Fair Value Measurements ASC 820, Fair Value Measurements and Disclosures, Level 1 Level 2 Level 3 Pursuant to ASC 820, the fair value of cash, restricted cash equivalent and restricted marketable securities are determined based on Level 1 inputs, which consist of quoted prices in active markets for identical assets. Management believes that the recorded values of all of the Company’s other financial instruments approximate their current fair values because of their nature and respective maturity dates or durations. As at May 31, 2015, there were no liabilities measured at fair value on a recurring basis presented on the Company’s consolidated balance sheet. Assets measured at fair value on a recurring basis were presented on the Company’s consolidated balance sheet as of May 31, 2015, as follows: Fair Value Measurements Using Quoted Prices in Significant Active Markets Other Significant For Identical Observable Unobservable Balance as of Instruments Inputs Inputs May 31, (Level 1 ) (Level 2 ) (Level 3 ) 2015 Assets: Cash $ 85,985 $ – $ – $ 85,985 Restricted cash equivalent 13,858 – – 13,858 Total assets measured at fair value $ 99,843 $ – $ – $ 99,843 As at May 31, 2014, there were no liabilities measured at fair value on a recurring basis presented on the Company’s consolidated balance sheet. Assets measured at fair value on a recurring basis were presented on the Company’s consolidated balance sheet as of May 31, 2014, as follows: Fair Value Measurements Using Quoted Prices in Significant Active Markets Other Significant For Identical Observable Unobservable Balance as of Instruments Inputs Inputs May 31, (Level 1 ) (Level 2 ) (Level 3 ) 2014 Assets: Cash $ 532,694 $ – $ – $ 532,694 Restricted cash equivalent 26,522 – – 26,522 Restricted marketable securities 73,600 – – 73,600 Total assets measured at fair value $ 632,816 $ – $ – $ 632,816 |
Segment Disclosures
Segment Disclosures | 12 Months Ended |
May. 31, 2015 | |
Segment Disclosures [Text Block] | 15. Segment Disclosures The Company operates in one reportable segment, being the acquisition and exploration of mineral properties. Segmented information has been compiled based on the geographic regions that the Company and its subsidiary registered and performed exploration and administration activities. Assets by geographical segment are as follows: Canada Tanzania, Africa Total Current assets $ 61,447 $ 63,595 $ 125,042 Restricted cash equivalent 13,858 - 13,858 Mineral licenses - 1,650,000 1,650,000 Equipment, net 332 1,142 1,474 Total assets, at May 31, 2015 $ 75,637 $ 1,714,737 $ 1,790,374 Canada Tanzania, Africa Total Current assets $ 147,957 $ 434,139 $ 582,096 Restricted cash equivalent 26,522 - 26,522 Restricted marketable securities 73,600 - 73,600 Mineral licenses - 1,650,000 1,650,000 Property and equipment, net 4,061 51,385 55,446 Total assets, at May 31, 2014 $ 252,140 $ 2,135,524 $ 2,387,664 For the Year Ended May 31, 2015 Net Loss $ 692,604 $ 473,358 $ 1,165,962 For the Year Ended May 31, 2014 Net Loss $ 1,421,669 $ 871,926 $ 2,293,595 |
Income Taxes
Income Taxes | 12 Months Ended |
May. 31, 2015 | |
Income Taxes [Text Block] | 16. Income Taxes The Company accounts for income taxes under ASC 740, Income Taxes The Company is subject to U.S. federal and state income tax and has concluded substantially all U.S. federal and state income tax matters for tax years through May 31, 2012. The tax filings for years from 2013 to 2015 are subject to audit by U.S. jurisdictions. The Company’s Canadian office has filed its Canadian corporate income tax returns under the “Voluntary Disclosure Program”, and the tax filings for years from 2013 to 2015 are subject to audit by Canadian jurisdictions. The Company’s Tanzania subsidiaries are subject to Tanzania income tax, the tax filings for the years from 2013 to 2015 are subjected to audit by Tanzania jurisdictions. Income tax expense differs from the amount that would result from applying the U.S. federal income tax rates to earnings before income taxes. The Company has net operating losses carried forward of approximately $29 million available to offset taxable income in future years which begin expiring in fiscal 2026. Pursuant to ASC 740, the potential benefits of the net operating losses carried forward has not been recognized in the consolidated financial statements since the Company cannot be assured that it is more likely than not that such benefit will be utilized in future years. The income tax benefit differs from the amount computed by applying the federal income tax rate of 35% to net loss before income taxes for the years ended May 31, 2015 and 2014 as a result of the following: May 31, May 31, 2015 2014 $ $ Loss before taxes (1,165,962 ) (2,293,595 ) Statutory rate 35% 35% Computed expected tax recovery (408,087 ) (802,758 ) Permanent differences 397,865 305,184 Foreign tax rate differences (27,168 ) 43,597 Valuation allowance change 37,390 453,977 Provision for income taxes – – The significant components of deferred income tax assets and liabilities at May 31, 2015 and 2014, after applying enacted federal income tax rates, are as follows: May 31, May 31, 2015 2014 $ $ Net operating losses carried forward 10,734,304 9,979,715 Capital losses available 19,975 19,975 Mineral properties tax basis in excess of book value 2,218,155 2,935,354 Valuation allowance (12,972,434 ) (12,935,044 ) Net deferred income tax assets – – The Company has recognized a valuation allowance for the deferred income tax asset since the Company cannot be assured that it is more likely than not that such benefit will be utilized in future years. When circumstances change and which cause a change in management’s judgment about the realizability of deferred income tax assets, the impact of the change on the valuation allowance is generally reflected in current income. |
Summary of Significant Accoun23
Summary of Significant Accounting Policies (Policies) | 12 Months Ended |
May. 31, 2015 | |
Basis of Presentation [Policy Text Block] | a) Basis of Presentation These consolidated financial statements and related notes are presented in accordance with accounting principles generally accepted in the United States, and are expressed in United States dollars. These consolidated financial statements include the accounts of the Company and its subsidiaries described as follows. In June 2011, the Company incorporated in Tanzania a wholly- owned subsidiary, HG Limited, which undertakes mineral property exploration activities in Tanzania. The Company also has a wholly-owned non-operating Tanzanian subsidiary (Douglas Lake Tanzania Limited). All significant intercompany transactions and balances have been eliminated. The Company’s fiscal year-end is May 31. |
Use of Estimates [Policy Text Block] | b) Use of Estimates The preparation of consolidated financial statements in accordance with United States generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenue and expenses in the reporting period. The Company regularly evaluates estimates and assumptions related to the estimated deemed interest rates on interest-free related party loans, recoverability and useful life of long-lived assets, mineral prospecting licenses, stock-based compensation, deferred income tax asset valuation allowances and contingent liabilities. The Company bases its estimates and assumptions on current facts, historical experience and various other factors that it believes to be reasonable under the circumstances, the results of which form the basis for making judgments about the carrying values of assets and liabilities and the accrual of costs and expenses that are not readily apparent from other sources. The actual results experienced by the Company may differ materially and adversely from the Company’s estimates. To the extent there are material differences between the estimates and the actual results, future results of operations will be affected. |
Basic and Diluted Net Income (Loss) Per Share [Policy Text Block] | c) Basic and Diluted Net Income (Loss) Per Share The Company computes net income (loss) per share in accordance with ASC 260, Earnings per Share |
Comprehensive Income (Loss) [Policy Text Block] | d) Comprehensive Income (Loss) ASC 220, Comprehensive Income |
Cash and Cash Equivalents [Policy Text Block] | e) Cash and Cash Equivalents Cash and cash equivalents are carried at fair value and they comprise cash on hand, deposits held with banks and other highly liquid investments. Highly liquid investments are readily convertible to cash and generally have maturities of three months or less from the time acquired. The Company places its cash and cash equivalents with high quality financial institutions which the Company believes limits credit risk. |
Marketable Securities [Policy Text Block] | f) Marketable Securities The Company reports investments in marketable equity securities at fair value based on quoted market prices. All investment securities are designated as available for sale with unrealized gains and losses included in stockholders’ equity. Realized gains and losses are accounted for based on the specific identification method. The Company periodically reviews these investments for other-than-temporary declines in fair value based on the specific identification method. When an other-than-temporary decline has occurred, unrealized losses that are other than temporary are recognized in earnings. When determining whether a decline is other-than-temporary, the Company examines (i) the length of time and the extent to which the fair value of an investment has been lower than its carrying value; (ii) the financial condition and near- term prospects of the investee, including any specific events that may influence the operations of the investee such as changes in technology that may impair the earnings potential of the investee; and (iii) the Company’s intent and ability to retain its investment in the investee for a sufficient period of time to allow for any anticipated recovery in market value. The Company generally believes that an other-than-temporary decline has occurred when the fair value of the investment is below the carrying value for one year, in the absence of evidence to the contrary. |
Property and Equipment [Policy Text Block] | g) Property and Equipment Property and equipment consists of office equipment, automobiles and computer software recorded at cost and depreciated on a straight-line basis as follows: Automobiles 3 years Camp and equipment 3 years Office furniture and equipment 3 years Software 1 year |
Mineral Property Costs [Policy Text Block] | h) Mineral Property Costs The Company has been in the exploration stage since its inception on January 5, 2004 and has not yet realized any revenues from its planned operations. It is primarily engaged in the acquisition and exploration of mining properties. Mineral property exploration costs are expensed as incurred. Mineral prospecting licenses and mineral property acquisition costs are initially capitalized in accordance with ASC 805-20-55-37, whether Mineral Rights are Tangibel or Intangible Assets Accounting for Impairment or Disposal of Long-Lived Assets, When it has been determined that a mineral property can be economically developed as a result of establishing proven and probable reserves, the costs then incurred to develop such property, are capitalized. Such costs will be amortized using the units-of- production method over the estimated life of the probable reserve. If mineral properties are subsequently abandoned or impaired, any capitalized costs will be charged to operations. |
Long-Lived Assets [Policy Text Block] | i) Long-Lived Assets In accordance with ASC 360 , Property, Plant and Equipment |
Asset Retirement Obligations [Policy Text Block] | j) Asset Retirement Obligations The Company accounts for asset retirement obligations in accordance with the provisions of ASC 440 Asset Retirement and Environmental Obligations |
Financial Instruments [Policy Text Block] | k) Financial Instruments ASC 825, Financial Instruments The Company’s operations are in Canada and Africa, which results in exposure to market risks from changes in foreign currency rates. The financial risk is the risk to the Company’s operations that arise from fluctuations in foreign exchange rates and the degree of volatility of these rates. Currently, the Company does not use derivative instruments to reduce its exposure to foreign currency risk. |
Income Taxes [Policy Text Block] | l) Income Taxes The Company accounts for income taxes using the asset and liability method in accordance with ASC 740, Income Taxes. |
Foreign Currency Translation [Policy Text Block] | m) Foreign Currency Translation The functional and reporting currency of the Company is the United States dollar. The functional currency of the Company’s subsidiaries is Tanzania shillings. Monetary assets and liabilities denominated in foreign currencies are translated to United States dollars in accordance with ASC 830 Foreign Currency Translation Matters Gains and losses arising on translation or settlement of foreign currency denominated transactions or balances are included in the determination of income. The Company has not, to the date of these consolidated financial statements, entered into derivative instruments to offset the impact of foreign currency fluctuations. To the extent that the Company incurs transactions that are not denominated in its functional currency, they are undertaken in Canadian dollars (“Cdn$”) and Tanzanian shillings. The Company has not, to the date of these consolidated financial statements, entered into derivative instruments to offset the impact of foreign currency fluctuations. |
Stock-based Compensation [Policy Text Block] | n) Stock-based Compensation The Company records stock-based compensation in accordance with ASC 718, Compensation – Stock Based Compensation Equity Based Payments to Non-Employees ASC 718 requires companies to estimate the fair value of share-based awards on the date of grant using an option-pricing model. The Company uses the Black-Scholes option-pricing model as its method of determining fair value. This model is affected by the Company’s stock price as well as assumptions regarding a number of subjective variables. These subjective variables include, but are not limited to the Company’s expected stock price volatility over the term of the awards, and actual and projected employee stock option exercise behaviours. The value of the portion of the award that is ultimately expected to vest is recognized as an expense in the consolidated statement of operations and comprehensive loss over the requisite service period. All transactions in which goods or services are the consideration received for the issuance of equity instruments are accounted for based on the fair value of the consideration received or the fair value of the equity instrument issued, whichever is more reliably measurable. |
Reclassification [Policy Text Block] | o) Reclassification Certain reclassifications have been made to the prior year’s consolidated financial statements to conform to the current year’s presentation. |
Recently Issued Accounting Pronouncements [Policy Text Block] | p) Recently Issued Accounting Pronouncements The Company has adopted all new accounting pronouncements that are mandatorily effective and none have a material impact on its consolidated financial statements. New accounting pronouncements effective June 1, 2015 During the year ended May 31, 2015, the Company elected to early adopt Accounting Standards Update No. 2014-10, Development Stage Entities (Topic 915): Elimination of Certain Financial Reporting Requirements. The adoption of this standard allowed the Company to remove the previously disclosed inception-to-date information and all references to exploration stage. The Company does not believe that there are any other new accounting pronouncements that have been issued that are expected to have a material impact on its financial position or results of operations. |
Summary of Significant Accoun24
Summary of Significant Accounting Policies (Tables) | 12 Months Ended |
May. 31, 2015 | |
Schedule of Property, Plant and Equipment Estimated Useful Lives [Table Text Block] | Automobiles 3 years Camp and equipment 3 years Office furniture and equipment 3 years Software 1 year |
Amounts Receivable (Tables)
Amounts Receivable (Tables) | 12 Months Ended |
May. 31, 2015 | |
Schedule of Amounts Receivable [Table Text Block] | May 31, 2015 May 31, 2014 $ $ Recoverable value added tax 28,797 23,202 Recoverable harmonized sales tax 9,830 9,765 Other receivable 124 1,359 38,751 34,326 |
Prepaid Expenses and Deposits (
Prepaid Expenses and Deposits (Tables) | 12 Months Ended |
May. 31, 2015 | |
Schedule of Prepaid Expenses and Deposits [Table Text Block] | May 31, 2015 May 31, 2014 $ $ General and administrative - 2,343 Rent 306 12,733 306 15,076 |
Restricted Marketable Securit27
Restricted Marketable Securities (Tables) | 12 Months Ended |
May. 31, 2015 | |
Schedule of Restricted Marketable Securities [Table Text Block] | May 31, 2014 Other-than- Fair Value Other-than- temporary Loss on Based On temporary Accumulated Impairment Marketable Quoted Impairment Unrealized Cost Loss Securities Market Price Loss Loss $ $ $ $ $ $ Ruby Creek Resources Inc., 4,000,000 shares 2,760,000 (2,740,000 ) (20,000 ) 73,600 (2,600,000 ) (86,400 ) |
Property and Equipment (Tables)
Property and Equipment (Tables) | 12 Months Ended |
May. 31, 2015 | |
Schedule of Property, Plant and Equipment [Table Text Block] | May 31, 2015 May 31, 2014 Accumulated Net Book Net Book Cost Depreciation Value Value $ $ $ $ Automobiles 257,300 257,300 - 4,583 Camp and equipment 197,011 197,011 - 42,242 Office furniture and equipment 100,222 98,970 1,252 6,635 Software 7,930 7,708 222 1,986 562,463 560,989 1,474 55,446 |
Stock Options (Tables)
Stock Options (Tables) | 12 Months Ended |
May. 31, 2015 | |
Schedule of Share-based Compensation, Stock Options, Activity [Table Text Block] | Weighted Weighted Average Aggregate Number of Average Remaining Intrinsic Options Exercise Price Contractual Term Value # $ (years) $ Outstanding, May 31, 2013 28,300,000 0.23 7.56 - Outstanding, May 31, 2014 28,300,000 0.23 6.56 - Outstanding and exercisable, May 31, 2015 28,300,000 0.23 5.56 - |
Common Stock Purchase Warrants
Common Stock Purchase Warrants (Tables) | 12 Months Ended |
May. 31, 2015 | |
Schedule of Share Purchase Warrants Activity [Table Text Block] | Weighted Average Weighted Average Remaining Number of Warrants Exercise Price Contractual Life # $ (years) Balance, May 31, 2013 13,554,155 0.52 0.33 Expired (13,554,155 ) - - Balance, May 31, 2015 and 2014 - - - |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 12 Months Ended | |
May. 31, 2015 | May. 31, 2014 | |
Schedule of Assets at Fair Value [Table Text Block] | Fair Value Measurements Using Quoted Prices in Significant Active Markets Other Significant For Identical Observable Unobservable Balance as of Instruments Inputs Inputs May 31, (Level 1 ) (Level 2 ) (Level 3 ) 2015 Assets: Cash $ 85,985 $ – $ – $ 85,985 Restricted cash equivalent 13,858 – – 13,858 Total assets measured at fair value $ 99,843 $ – $ – $ 99,843 | Fair Value Measurements Using Quoted Prices in Significant Active Markets Other Significant For Identical Observable Unobservable Balance as of Instruments Inputs Inputs May 31, (Level 1 ) (Level 2 ) (Level 3 ) 2014 Assets: Cash $ 532,694 $ – $ – $ 532,694 Restricted cash equivalent 26,522 – – 26,522 Restricted marketable securities 73,600 – – 73,600 Total assets measured at fair value $ 632,816 $ – $ – $ 632,816 |
Segment Disclosures (Tables)
Segment Disclosures (Tables) | 12 Months Ended | |
May. 31, 2015 | May. 31, 2014 | |
Schedule of Segment Reporting Information [Table Text Block] | Canada Tanzania, Africa Total Current assets $ 61,447 $ 63,595 $ 125,042 Restricted cash equivalent 13,858 - 13,858 Mineral licenses - 1,650,000 1,650,000 Equipment, net 332 1,142 1,474 Total assets, at May 31, 2015 $ 75,637 $ 1,714,737 $ 1,790,374 | Canada Tanzania, Africa Total Current assets $ 147,957 $ 434,139 $ 582,096 Restricted cash equivalent 26,522 - 26,522 Restricted marketable securities 73,600 - 73,600 Mineral licenses - 1,650,000 1,650,000 Property and equipment, net 4,061 51,385 55,446 Total assets, at May 31, 2014 $ 252,140 $ 2,135,524 $ 2,387,664 |
Schedule of Net loss by geographical segment [Table Text Block] | For the Year Ended May 31, 2015 Net Loss $ 692,604 $ 473,358 $ 1,165,962 | For the Year Ended May 31, 2014 Net Loss $ 1,421,669 $ 871,926 $ 2,293,595 |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
May. 31, 2015 | |
Schedule of Provision for Income Taxes [Table Text Block] | May 31, May 31, 2015 2014 $ $ Loss before taxes (1,165,962 ) (2,293,595 ) Statutory rate 35% 35% Computed expected tax recovery (408,087 ) (802,758 ) Permanent differences 397,865 305,184 Foreign tax rate differences (27,168 ) 43,597 Valuation allowance change 37,390 453,977 Provision for income taxes – – |
Schedule of Deferred Income Tax Assets and Liabilities [Table Text Block] | May 31, May 31, 2015 2014 $ $ Net operating losses carried forward 10,734,304 9,979,715 Capital losses available 19,975 19,975 Mineral properties tax basis in excess of book value 2,218,155 2,935,354 Valuation allowance (12,972,434 ) (12,935,044 ) Net deferred income tax assets – – |
Nature of Operations and Cont34
Nature of Operations and Continuance of Business (Narrative) (Details) | 12 Months Ended |
May. 31, 2015USD ($) | |
Nature Of Operations And Continuance Of Business 1 | $ 382,358 |
Nature Of Operations And Continuance Of Business 2 | $ 117,108,249 |
Amounts Receivable (Narrative)
Amounts Receivable (Narrative) (Details) - 12 months ended May. 31, 2015 | USD ($) |
Amounts Receivable 1 | $ 28,797 |
Amounts Receivable 2 | 57,511,042 |
Amounts Receivable 3 | $ 23,202 |
Amounts Receivable 4 | 38,566,758 |
Amounts Receivable 5 | $ 24,566 |
Amounts Receivable 6 | 49,061,634 |
Amounts Receivable 7 | $ 507,916 |
Amounts Receivable 8 | 845,117,520 |
Restricted Cash Equivalent (Nar
Restricted Cash Equivalent (Narrative) (Details) | 12 Months Ended |
May. 31, 2015USD ($) | |
Restricted Cash Equivalent 1 | $ 13,858 |
Restricted Cash Equivalent 2 | $ 26,522 |
Restricted Marketable Securit37
Restricted Marketable Securities (Narrative) (Details) - 12 months ended May. 31, 2015 - USD ($) | Total |
Restricted Marketable Securities 1 | 4,000,000 |
Restricted Marketable Securities 2 | $ 2,760,000 |
Restricted Marketable Securities 3 | 4,000,000 |
Restricted Marketable Securities 4 | $ 20,000 |
Restricted Marketable Securities 5 | 2,740,000 |
Restricted Marketable Securities 6 | $ 2,600,000 |
Mineral Properties and Licens38
Mineral Properties and Licenses (Narrative) (Details) - 12 months ended May. 31, 2015 | USD ($)dkm$ / sharesshares |
Mineral Properties And Licenses 1 | km | 800 |
Mineral Properties And Licenses 2 | 2.50% |
Mineral Properties And Licenses 3 | 1.25% |
Mineral Properties And Licenses 4 | $ 5,000,000 |
Mineral Properties And Licenses 5 | 1.25% |
Mineral Properties And Licenses 6 | $ 1,000,000 |
Mineral Properties And Licenses 7 | 1,000,000 |
Mineral Properties And Licenses 8 | 1,000,000 |
Mineral Properties And Licenses 9 | $ 1,500 |
Mineral Properties And Licenses 10 | 2.50% |
Mineral Properties And Licenses 11 | 3.00% |
Mineral Properties And Licenses 12 | shares | 133,333,333 |
Mineral Properties And Licenses 13 | d | 60 |
Mineral Properties And Licenses 14 | 12.50% |
Mineral Properties And Licenses 15 | shares | 16,666,667 |
Mineral Properties And Licenses 16 | shares | 133,333,333 |
Mineral Properties And Licenses 17 | shares | 16,666,667 |
Mineral Properties And Licenses 18 | $ 60,000,000 |
Mineral Properties And Licenses 19 | $ 60,000,000 |
Mineral Properties And Licenses 20 | 50.00% |
Mineral Properties And Licenses 21 | km | 359.8 |
Mineral Properties And Licenses 23 | 45.00% |
Mineral Properties And Licenses 24 | km | 423.03 |
Mineral Properties And Licenses 26 | 53.00% |
Mineral Properties And Licenses 29 | $ 62,584 |
Mineral Properties And Licenses 30 | $ 59,333 |
Mineral Properties And Licenses 31 | 100.00% |
Mineral Properties And Licenses 32 | km | 2.67 |
Mineral Properties And Licenses 33 | 15,000,000 |
Mineral Properties And Licenses 34 | $ / shares | $ 0.11 |
Mineral Properties And Licenses 35 | $ 1,650,000 |
Mineral Properties And Licenses 38 | km | 2.67 |
Related Party Transactions (Nar
Related Party Transactions (Narrative) (Details) - 12 months ended May. 31, 2015 - USD ($) | Total |
Related Party Transactions 1 | $ 720,000 |
Related Party Transactions 2 | 720,000 |
Related Party Transactions 3 | 695,683 |
Related Party Transactions 4 | 405,000 |
Related Party Transactions 5 | 405,000 |
Related Party Transactions 6 | 375,000 |
Related Party Transactions 7 | 500,000 |
Related Party Transactions 8 | 215,000 |
Related Party Transactions 9 | $ 92,487 |
Related Party Transactions 10 | 8.00% |
Related Party Transactions 11 | $ 85,116 |
Related Party Transactions 12 | 10.00% |
Related Party Transactions 13 | $ 144,000 |
Related Party Transactions 14 | 306,000 |
Related Party Transactions 15 | 162,000 |
Related Party Transactions 16 | 36,000 |
Related Party Transactions 17 | 0 |
Related Party Transactions 18 | 3,000 |
Related Party Transactions 19 | 36,000 |
Related Party Transactions 20 | $ 25,200 |
Related Party Transactions 21 | 60.00% |
Related Party Transactions 22 | $ 125,197 |
Related Party Transactions 23 | 135,100 |
Related Party Transactions 24 | 3,615 |
Related Party Transactions 25 | 72,500 |
Related Party Transactions 26 | 68,750 |
Related Party Transactions 27 | 145,000 |
Related Party Transactions 28 | $ 112,500 |
Common Stock and Additional P40
Common Stock and Additional Paid-in Capital (Narrative) (Details) - 12 months ended May. 31, 2015 - USD ($) | Total |
Common Stock And Additional Paid-in Capital 1 | 500,000,000 |
Common Stock And Additional Paid-in Capital 2 | $ 0.001 |
Stock Options (Narrative) (Deta
Stock Options (Narrative) (Details) | 12 Months Ended |
May. 31, 2015shares | |
Stock Options 1 | 40,000,000 |
Stock Options 2 | 10,700,000 |
Common Stock Purchase Warrant42
Common Stock Purchase Warrants (Narrative) (Details) | 12 Months Ended |
May. 31, 2015 | |
Common Stock Purchase Warrants 1 | 13,554,155 |
Commitments and Contingencies (
Commitments and Contingencies (Narrative) (Details) | 12 Months Ended |
May. 31, 2015shares | |
Commitments And Contingencies 1 | 4,000,000 |
Income Taxes (Narrative) (Detai
Income Taxes (Narrative) (Details) - 12 months ended May. 31, 2015 - USD ($) $ in Millions | Total |
Income Taxes 1 | $ 29 |
Income Taxes 2 | 35.00% |
Schedule of Amounts Receivable
Schedule of Amounts Receivable (Details) | 12 Months Ended |
May. 31, 2015USD ($) | |
Amounts Receivable Schedule Of Amounts Receivable 1 | $ 28,797 |
Amounts Receivable Schedule Of Amounts Receivable 2 | 23,202 |
Amounts Receivable Schedule Of Amounts Receivable 3 | 9,830 |
Amounts Receivable Schedule Of Amounts Receivable 4 | 9,765 |
Amounts Receivable Schedule Of Amounts Receivable 5 | 124 |
Amounts Receivable Schedule Of Amounts Receivable 6 | 1,359 |
Amounts Receivable Schedule Of Amounts Receivable 7 | 38,751 |
Amounts Receivable Schedule Of Amounts Receivable 8 | $ 34,326 |
Schedule of Prepaid Expenses an
Schedule of Prepaid Expenses and Deposits (Details) | 12 Months Ended |
May. 31, 2015USD ($) | |
Prepaid Expenses And Deposits Schedule Of Prepaid Expenses And Deposits 1 | $ 0 |
Prepaid Expenses And Deposits Schedule Of Prepaid Expenses And Deposits 2 | 2,343 |
Prepaid Expenses And Deposits Schedule Of Prepaid Expenses And Deposits 3 | 306 |
Prepaid Expenses And Deposits Schedule Of Prepaid Expenses And Deposits 4 | 12,733 |
Prepaid Expenses And Deposits Schedule Of Prepaid Expenses And Deposits 5 | 306 |
Prepaid Expenses And Deposits Schedule Of Prepaid Expenses And Deposits 6 | $ 15,076 |
Schedule of Restricted Marketab
Schedule of Restricted Marketable Securities (Details) - 12 months ended May. 31, 2015 - USD ($) | Total |
Restricted Marketable Securities Schedule Of Restricted Marketable Securities 1 | 4,000,000 |
Restricted Marketable Securities Schedule Of Restricted Marketable Securities 2 | $ 2,760,000 |
Restricted Marketable Securities Schedule Of Restricted Marketable Securities 4 | (2,740,000) |
Restricted Marketable Securities Schedule Of Restricted Marketable Securities 5 | (20,000) |
Restricted Marketable Securities Schedule Of Restricted Marketable Securities 6 | 73,600 |
Restricted Marketable Securities Schedule Of Restricted Marketable Securities 7 | (2,600,000) |
Restricted Marketable Securities Schedule Of Restricted Marketable Securities 8 | $ (86,400) |
Schedule of Property, Plant and
Schedule of Property, Plant and Equipment (Details) | 12 Months Ended |
May. 31, 2015USD ($) | |
Property And Equipment Schedule Of Property, Plant And Equipment 1 | $ 257,300 |
Property And Equipment Schedule Of Property, Plant And Equipment 2 | 257,300 |
Property And Equipment Schedule Of Property, Plant And Equipment 3 | 0 |
Property And Equipment Schedule Of Property, Plant And Equipment 4 | 4,583 |
Property And Equipment Schedule Of Property, Plant And Equipment 5 | 197,011 |
Property And Equipment Schedule Of Property, Plant And Equipment 6 | 197,011 |
Property And Equipment Schedule Of Property, Plant And Equipment 7 | 0 |
Property And Equipment Schedule Of Property, Plant And Equipment 8 | 42,242 |
Property And Equipment Schedule Of Property, Plant And Equipment 9 | 100,222 |
Property And Equipment Schedule Of Property, Plant And Equipment 10 | 98,970 |
Property And Equipment Schedule Of Property, Plant And Equipment 11 | 1,252 |
Property And Equipment Schedule Of Property, Plant And Equipment 12 | 6,635 |
Property And Equipment Schedule Of Property, Plant And Equipment 13 | 7,930 |
Property And Equipment Schedule Of Property, Plant And Equipment 14 | 7,708 |
Property And Equipment Schedule Of Property, Plant And Equipment 15 | 222 |
Property And Equipment Schedule Of Property, Plant And Equipment 16 | 1,986 |
Property And Equipment Schedule Of Property, Plant And Equipment 17 | 562,463 |
Property And Equipment Schedule Of Property, Plant And Equipment 18 | 560,989 |
Property And Equipment Schedule Of Property, Plant And Equipment 19 | 1,474 |
Property And Equipment Schedule Of Property, Plant And Equipment 20 | $ 55,446 |
Schedule of Share-based Compens
Schedule of Share-based Compensation, Stock Options, Activity (Details) - 12 months ended May. 31, 2015 | USD ($) |
Stock Options Schedule Of Share-based Compensation, Stock Options, Activity 1 | $ 28,300,000 |
Stock Options Schedule Of Share-based Compensation, Stock Options, Activity 2 | 0.23 |
Stock Options Schedule Of Share-based Compensation, Stock Options, Activity 3 | 7.56 |
Stock Options Schedule Of Share-based Compensation, Stock Options, Activity 4 | $ 0 |
Stock Options Schedule Of Share-based Compensation, Stock Options, Activity 5 | $ 28,300,000 |
Stock Options Schedule Of Share-based Compensation, Stock Options, Activity 6 | 0.23 |
Stock Options Schedule Of Share-based Compensation, Stock Options, Activity 7 | 6.56 |
Stock Options Schedule Of Share-based Compensation, Stock Options, Activity 8 | $ 0 |
Stock Options Schedule Of Share-based Compensation, Stock Options, Activity 9 | $ 28,300,000 |
Stock Options Schedule Of Share-based Compensation, Stock Options, Activity 10 | 0.23 |
Stock Options Schedule Of Share-based Compensation, Stock Options, Activity 11 | 5.56 |
Stock Options Schedule Of Share-based Compensation, Stock Options, Activity 12 | $ 0 |
Schedule of Share Purchase Warr
Schedule of Share Purchase Warrants Activity (Details) - 12 months ended May. 31, 2015 | USD ($) |
Common Stock Purchase Warrants Schedule Of Share Purchase Warrants Activity 1 | $ 13,554,155 |
Common Stock Purchase Warrants Schedule Of Share Purchase Warrants Activity 2 | 0.52 |
Common Stock Purchase Warrants Schedule Of Share Purchase Warrants Activity 3 | 0.33 |
Common Stock Purchase Warrants Schedule Of Share Purchase Warrants Activity 4 | $ (13,554,155) |
Common Stock Purchase Warrants Schedule Of Share Purchase Warrants Activity 5 | 0 |
Common Stock Purchase Warrants Schedule Of Share Purchase Warrants Activity 6 | 0 |
Common Stock Purchase Warrants Schedule Of Share Purchase Warrants Activity 7 | 0 |
Common Stock Purchase Warrants Schedule Of Share Purchase Warrants Activity 8 | 0 |
Common Stock Purchase Warrants Schedule Of Share Purchase Warrants Activity 9 | $ 0 |
Schedule of Assets at Fair Valu
Schedule of Assets at Fair Value (Details) - USD ($) | 12 Months Ended | |
May. 31, 2015 | May. 31, 2014 | |
Fair Value Measurements Schedule Of Assets At Fair Value 1 | $ 85,985 | |
Fair Value Measurements Schedule Of Assets At Fair Value 2 | 85,985 | |
Fair Value Measurements Schedule Of Assets At Fair Value 3 | 13,858 | |
Fair Value Measurements Schedule Of Assets At Fair Value 4 | 0 | |
Fair Value Measurements Schedule Of Assets At Fair Value 5 | 0 | |
Fair Value Measurements Schedule Of Assets At Fair Value 6 | 13,858 | |
Fair Value Measurements Schedule Of Assets At Fair Value 7 | 99,843 | |
Fair Value Measurements Schedule Of Assets At Fair Value 8 | $ 99,843 | |
Fair Value Measurements Schedule Of Assets At Fair Value 1 | $ 532,694 | |
Fair Value Measurements Schedule Of Assets At Fair Value 2 | 532,694 | |
Fair Value Measurements Schedule Of Assets At Fair Value 3 | 26,522 | |
Fair Value Measurements Schedule Of Assets At Fair Value 4 | 0 | |
Fair Value Measurements Schedule Of Assets At Fair Value 5 | 0 | |
Fair Value Measurements Schedule Of Assets At Fair Value 6 | 26,522 | |
Fair Value Measurements Schedule Of Assets At Fair Value 7 | 73,600 | |
Fair Value Measurements Schedule Of Assets At Fair Value 8 | 0 | |
Fair Value Measurements Schedule Of Assets At Fair Value 9 | 0 | |
Fair Value Measurements Schedule Of Assets At Fair Value 10 | 73,600 | |
Fair Value Measurements Schedule Of Assets At Fair Value 11 | 632,816 | |
Fair Value Measurements Schedule Of Assets At Fair Value 12 | $ 632,816 |
Schedule of Segment Reporting I
Schedule of Segment Reporting Information (Details) - USD ($) | 12 Months Ended | |
May. 31, 2015 | May. 31, 2014 | |
Segment Disclosures Schedule Of Segment Reporting Information 1 | $ 61,447 | |
Segment Disclosures Schedule Of Segment Reporting Information 2 | 63,595 | |
Segment Disclosures Schedule Of Segment Reporting Information 3 | 125,042 | |
Segment Disclosures Schedule Of Segment Reporting Information 4 | 13,858 | |
Segment Disclosures Schedule Of Segment Reporting Information 5 | 0 | |
Segment Disclosures Schedule Of Segment Reporting Information 6 | 13,858 | |
Segment Disclosures Schedule Of Segment Reporting Information 7 | 0 | |
Segment Disclosures Schedule Of Segment Reporting Information 8 | 1,650,000 | |
Segment Disclosures Schedule Of Segment Reporting Information 9 | 1,650,000 | |
Segment Disclosures Schedule Of Segment Reporting Information 10 | 332 | |
Segment Disclosures Schedule Of Segment Reporting Information 11 | 1,142 | |
Segment Disclosures Schedule Of Segment Reporting Information 12 | 1,474 | |
Segment Disclosures Schedule Of Segment Reporting Information 13 | 75,637 | |
Segment Disclosures Schedule Of Segment Reporting Information 14 | 1,714,737 | |
Segment Disclosures Schedule Of Segment Reporting Information 15 | $ 1,790,374 | |
Segment Disclosures Schedule Of Segment Reporting Information 1 | $ 147,957 | |
Segment Disclosures Schedule Of Segment Reporting Information 2 | 434,139 | |
Segment Disclosures Schedule Of Segment Reporting Information 3 | 582,096 | |
Segment Disclosures Schedule Of Segment Reporting Information 4 | 26,522 | |
Segment Disclosures Schedule Of Segment Reporting Information 5 | 0 | |
Segment Disclosures Schedule Of Segment Reporting Information 6 | 26,522 | |
Segment Disclosures Schedule Of Segment Reporting Information 7 | 73,600 | |
Segment Disclosures Schedule Of Segment Reporting Information 8 | 0 | |
Segment Disclosures Schedule Of Segment Reporting Information 9 | 73,600 | |
Segment Disclosures Schedule Of Segment Reporting Information 10 | 0 | |
Segment Disclosures Schedule Of Segment Reporting Information 11 | 1,650,000 | |
Segment Disclosures Schedule Of Segment Reporting Information 12 | 1,650,000 | |
Segment Disclosures Schedule Of Segment Reporting Information 13 | 4,061 | |
Segment Disclosures Schedule Of Segment Reporting Information 14 | 51,385 | |
Segment Disclosures Schedule Of Segment Reporting Information 15 | 55,446 | |
Segment Disclosures Schedule Of Segment Reporting Information 16 | 252,140 | |
Segment Disclosures Schedule Of Segment Reporting Information 17 | 2,135,524 | |
Segment Disclosures Schedule Of Segment Reporting Information 18 | $ 2,387,664 |
Schedule of Net loss by geograp
Schedule of Net loss by geographical segment (Details) - USD ($) | 12 Months Ended | |
May. 31, 2015 | May. 31, 2014 | |
Segment Disclosures Schedule Of Net Loss By Geographical Segment 1 | $ 692,604 | |
Segment Disclosures Schedule Of Net Loss By Geographical Segment 2 | 473,358 | |
Segment Disclosures Schedule Of Net Loss By Geographical Segment 3 | $ 1,165,962 | |
Segment Disclosures Schedule Of Net Loss By Geographical Segment 1 | $ 1,421,669 | |
Segment Disclosures Schedule Of Net Loss By Geographical Segment 2 | 871,926 | |
Segment Disclosures Schedule Of Net Loss By Geographical Segment 3 | $ 2,293,595 |
Schedule of Provision for Incom
Schedule of Provision for Income Taxes (Details) - 12 months ended May. 31, 2015 - USD ($) | Total |
Income Taxes Schedule Of Provision For Income Taxes 1 | $ (1,165,962) |
Income Taxes Schedule Of Provision For Income Taxes 2 | $ (2,293,595) |
Income Taxes Schedule Of Provision For Income Taxes 3 | 35.00% |
Income Taxes Schedule Of Provision For Income Taxes 4 | 35.00% |
Income Taxes Schedule Of Provision For Income Taxes 5 | $ (408,087) |
Income Taxes Schedule Of Provision For Income Taxes 6 | (802,758) |
Income Taxes Schedule Of Provision For Income Taxes 7 | 397,865 |
Income Taxes Schedule Of Provision For Income Taxes 8 | 305,184 |
Income Taxes Schedule Of Provision For Income Taxes 9 | (27,168) |
Income Taxes Schedule Of Provision For Income Taxes 10 | 43,597 |
Income Taxes Schedule Of Provision For Income Taxes 11 | 37,390 |
Income Taxes Schedule Of Provision For Income Taxes 12 | 453,977 |
Income Taxes Schedule Of Provision For Income Taxes 13 | 0 |
Income Taxes Schedule Of Provision For Income Taxes 14 | $ 0 |
Schedule of Deferred Income Tax
Schedule of Deferred Income Tax Assets and Liabilities (Details) | 12 Months Ended |
May. 31, 2015USD ($) | |
Income Taxes Schedule Of Deferred Income Tax Assets And Liabilities 1 | $ 10,734,304 |
Income Taxes Schedule Of Deferred Income Tax Assets And Liabilities 2 | 9,979,715 |
Income Taxes Schedule Of Deferred Income Tax Assets And Liabilities 3 | 19,975 |
Income Taxes Schedule Of Deferred Income Tax Assets And Liabilities 4 | 19,975 |
Income Taxes Schedule Of Deferred Income Tax Assets And Liabilities 5 | 2,218,155 |
Income Taxes Schedule Of Deferred Income Tax Assets And Liabilities 6 | 2,935,354 |
Income Taxes Schedule Of Deferred Income Tax Assets And Liabilities 7 | (12,972,434) |
Income Taxes Schedule Of Deferred Income Tax Assets And Liabilities 8 | (12,935,044) |
Income Taxes Schedule Of Deferred Income Tax Assets And Liabilities 9 | 0 |
Income Taxes Schedule Of Deferred Income Tax Assets And Liabilities 10 | $ 0 |