JET GOLD CORP.
(An Exploration Stage Company)
Balance Sheets(note 1)
November 30
(Expressed in Canadian Dollars
| | | | | | | | | |
|
| 2007 | | 2007 |
|
Assets |
| |
| | |
|
Current | |
| | |
|
Cash and cash equivalents | $ | 118,478 | | $ | 40,463 |
Mineral exploration tax credit receivable (note 4) | | 35,415 | | | 35,415 |
Amounts receivable | | 8,509 | | | 8,427 |
Prepaid expenses | | 17,310 | | | 16,594 |
| | 179,712 | | | 100,899 |
| |
| | |
|
Mineral Interests (notes 4, 5 and 7) | | 611,696 | | | 590,868 |
Oil and Gas Interests (notes 5, 6 and 7) | | 195,607 | | | 196,238 |
Equipment (note 8) | | 2,745 | | | 2,923 |
| |
| | |
|
| $ | 989,760 | | $ | 890,928 |
| |
| | |
|
Liabilities |
| |
| | |
|
Current | |
| | |
|
Accounts payable and accrued liabilities | $ | 39,112 | | $ | 33,112 |
| |
| | |
|
Shareholders’ Equity |
| |
| | |
|
Capital Stock (note 9) | | 5,367,846 | | | 5,141,609 |
Share Subscriptions | | - | | | 18,750 |
Contributed Surplus(note 9(h)) | | 517,364 | | | 475,791 |
Deficit | | (4,934,562) | | | (4,778,334) |
| |
| | |
|
| | 950,648 | | | 857,816 |
| |
| | |
|
| $ | 989,760 | | $ | 890,928 |
Subsequent Events (note 12)
Approved on behalf of the Board:
“Robert L. Card
“Robert M. Kaplan””
………………………………..…..…… Director
………………………………..…..…… Director
Robert L. Card
Robert M. Kaplan
See notes to financial statements
Jet Gold Corp. November 30, 2007 Q1
Page2
JET GOLD CORP.
Statements of Operations and Deficit
Prepared by management without audit)
| | | | | | |
|
| | November 30, 2007 | | | | November 30, 2006 |
| |
| |
|
|
|
Expenses | |
| |
|
|
|
Investor relations | $ | - | |
| $ | 31,266 |
Stock-based compensation | | 116,060 | |
|
| 16,499 |
Administration | | 12,000 | |
|
| 12,000 |
Legal, audit and accounting | | 6,000 | |
|
| 4,000 |
Regulatory fees | | 350 | |
|
| 445 |
Consultants | | 4,500 | |
|
| 4,500 |
Transfer agent | | 736 | |
|
| 714 |
Printing and shareholders’ information | | 724 | |
|
| - |
Insurance | | 13,175 | |
|
| 13,860 |
Rent | | 1,620 | |
|
| 1,500 |
Office and miscellaneous | | 152 | |
|
| 1,557 |
Travel | | 162 | |
|
| 2,904 |
Telephone | | 599 | |
|
| 493 |
Amortization | | 178 | |
|
| 159 |
| |
| |
|
|
|
Loss Before the Following | | (156,256) | |
|
| (89,897) |
Interest income | | 28 | |
|
| 4,010 |
| |
| |
|
|
|
| |
| |
|
|
|
Net Loss for Period | | (156,228) | |
|
| (85,887) |
Deficit, Beginning of Period | | (4,778,334 | |
|
| (3,770,212) |
| |
| |
|
|
|
Deficit, End of Period | $ | (4,934,562) | |
| $ | (3,856,099) |
| |
| |
|
|
|
| |
| |
|
|
|
Basic and Diluted Loss Per Share | | (0.01) | |
|
| (0.00) |
| |
| |
|
|
|
Weighted Average Number of Common | |
| |
|
|
|
Shares Outstanding | | 22,779,359 | |
|
| 20,327,601 |
| |
| |
|
|
|
See notes to financial statements
Jet Gold Corp. November 30, 2007 Q1
Page3
JET GOLD CORP.
Statements of Cash Flows
(Prepared by management without audit)
| | | | | | |
|
| | November 30, 2007 | | | | November 30, 2006 |
| | | | | | |
Operating Activities | | | | | | |
Loss for year | $ | (156,228) |
|
| $ | (85,887) |
Items not involving cash | |
|
|
|
|
|
Amortization | | 178 |
|
|
| 159 |
Stock-based compensation | | 116,060 |
|
|
| 16,499 |
| | (39,990) |
|
|
| (69,229) |
Changes in Non-Cash Working Capital | |
|
|
|
|
|
Amounts receivable | | (82) |
|
|
| (1,898) |
Prepaid expenses | | (716) |
|
|
| (12,841) |
Accounts payable and accrued liabilities | | 6,000 |
|
|
| (16,807) |
| |
|
|
|
|
|
Cash Used in Operating Activities | | (34,788) |
|
|
| (100,775) |
| |
|
|
|
|
|
Financing Activity | |
|
|
|
|
|
Shares issued for cash, net of issue costs | | 151,750 |
|
|
| 20,000 |
Share Subscriptions received | | (18,750) |
|
|
| - |
| | 133,000 |
|
|
| 20,000 |
Investing Activities | |
|
|
|
|
|
Short term investments | |
|
|
|
| - |
Mineral interests costs | | (20,828) |
|
|
| (89,327) |
Oil and gas interests | | 631 |
|
|
| (21,747) |
Purchase of equipment | |
|
|
|
| - |
| |
|
|
|
|
|
Cash Used in Investing Activities | | (20,197) |
|
|
| (111,074) |
| |
|
|
|
|
|
Increase (Decrease) in Cash | | 78,015 |
|
|
| (191,849) |
Cash and Cash Equivalents, Beginning of Period | | 40,463 |
|
|
| 520,310 |
| |
|
|
|
|
|
Cash and Cash Equivalents, End of Period | $ | 118,478 |
|
| $ | 328,461 |
| | | | | | |
See notes to financial statements
Jet Gold Corp. November 30, 2007 Q1
Page4
JET GOLD CORP.
(An Exploration Stage Company)
Notes to Financial Statements
Quarter Ended November 30, 2007 and 2006
(Expressed in Canadian Dollars)
____________________________________________________________________________________________________________________
1.
NATURE OF OPERATIONS
The Company is engaged in the exploration and development of mineral and oil and gas interests. To date, the Company has not earned significant revenues and is considered to be in the exploration stage.
The recoverability of the amounts shown for mineral and oil and gas interests are dependent upon the existence of economically recoverable reserves, the ability of the Company to obtain necessary financing to complete the development of the interests and upon future profitable production or proceeds from their disposition.
These financial statements have been prepared in accordance with Canadian generally accepted accounting principles with the assumption that the Company will be able to realize its assets and discharge its liabilities in the normal course of business rather than through a process of forced liquidation. The Company has incurred significant losses with an accumulated deficit of $4,934,562 (2006 - $3,856,099) and at November 30, 2007 has a working capital (an excess of current assets over current liabilities) of $140,600 (2006 - $370,178). The Company’s ability to continue as a going-concern is in substantial doubt and is dependent upon its ability to receive continued financial support, complete public equity financing or generate profitable operations in the future. These financial statements do not include any adjustments to the recoverability and classification of recorded asset amounts and classificati on of liabilities that might be necessary should the Company be unable to continue as a going-concern.
2.
SIGNIFICANT ACCOUNTING POLICIES
(a)
Basis of presentation
The accompanying unaudited interim financial statements are prepared in accordance with generally accepted accounting principles (“GAAP”) in Canada with respect to the preparation of interim financial statements. Accordingly, they do not include all of the information and disclosures required by Canadian GAAP in the preparation of annual financial statements. The accounting policies used in the preparation of the accompanying unaudited interim financial statements are the same as those described in the annual financial statements and the notes thereto for the year ended August 31, 2007. In the opinion of management, all adjustments considered necessary for fair presentation have been included in these financial statements. The interim financial statements should be read in conjunction with the Company’s financial statements including the notes thereto for the year ended August 31, 2007.
(b)
Use of estimates
The preparation of financial statements in conformity with Canadian generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amount of assets and liabilities, disclosure of contingent assets and liabilities at the date of the financial statements and the reported amount of revenues and expenses during the period. Actual results could differ from these estimates
Jet Gold Corp. November 30, 2007 Q1
Page5
3.
FINANCIAL INSTRUMENTS
(a)
Fair value
The carrying values of cash and cash equivalents, amounts receivable, and accounts payable and accrued liabilities approximate their fair values because of the short-term maturity of these financial instruments.
(b)
Interest rate risk
The Company is not exposed to significant interest rate risk due to the short-term maturity of its monetary assets and liabilities.
(c)
Credit risk
The Company is exposed to credit risk with respect to its cash; however, this is minimized as cash is placed with major financial institutions.
(d)
Derivatives – mineral properties
The Company retains and/or has obligations related to certain carried interest rights and net smelter royalties, the value of which is derived from future events and commodity prices. These rights are derivative instruments. However, the mineral interests to which they relate are not sufficiently developed to reasonably determine value.
Jet Gold Corp. November 30, 2007 Q1
Page6
4.
MINERAL INTERESTS
Expenditures incurred on the Company’s mineral properties during the years ended August 31, 2007 and 2006 are as follows:
| | | | | | | | |
| | Set Ga | | | | | | |
| | Done | | Naskeena | | Atlin | | Total |
| | | | | | | | |
Balance, August 31, 2006 | $ | 503,907 | $ | 134,914 | $ | 104,019 | $ | 742,840 |
| |
| |
| |
| |
|
Acquisition costs | | - | | 151,000 | | - | | 151,000 |
Exploration costs | |
| |
| |
| |
|
Drilling | | - | | 209,926 | | - | | 209,926 |
License | | - | | 31,199 | | - | | 31,199 |
Geological | | - | | 28,723 | | - | | 28,723 |
Trenching | | - | | 22,677 | | - | | 22,677 |
Mapping | | - | | 19,878 | | - | | 19,878 |
Field | | - | | 9,360 | | 8,605 | | 17,965 |
| |
| |
| |
| |
|
Total additions during year | | - | | 472,763 | | 8,605 | | 481,368 |
| |
| |
| |
| |
|
Mineral expenditure tax credits | | - | | (34,396) | | (1,019) | | (35,415) |
| |
| |
| |
| |
|
Mineral interests written down | | (503,907) | | - | | (94,018) | | (597,925) |
| |
| |
| |
| |
|
Balance, August 31, 2007 | $ | - | $ | 573,281 | $ | 17,587 | $ | 590,868 |
| |
| |
| |
| |
|
Acquisition costs | | - | | - | | - | | - |
Exploration costs | | - | | - | | - | | - |
Drilling | | - | | 9,079 | | - | | 9,079 |
Mapping | | - | | 5,400 | | - | | 5,400 |
Geological | | - | | - | | - | | - |
Trenching | | - | | - | | - | | - |
Mapping | | - | | - | | - | | - |
Field | | - | | 6,349 | | - | | 6,349 |
| |
| |
| |
| |
|
Total additions during period | | - | | 20,828 | | - | | 20,828 |
| |
| |
| |
| |
|
Balance, November 30, 2007 | $ | - | $ | 594,109 | $ | 17,587 | $ | 611,696 |
| |
| |
| |
| |
|
Jet Gold Corp. November 30, 2007 Q1
Page7
(a)
Set Ga Done Property, Union of Myanmar
On March 31, 2003, the Company entered into a memorandum of understanding (“MOU”) with Leeward Capital Corp. (“Leeward”) to participate in the acquisition, exploration and development of an exploration block consisting of 700 square kilometres located in Shan State, Union of Myanmar. Pursuant to the MOU, the Company will expend an initial US $200,000 (done) in acquisition and exploration costs and will advance US $50,000 (done) as a refundable performance bank guarantee to the government of Myanmar. Subsequent expenditures will be shared equally with Leeward.
Leeward has entered into an agreement with the Government of Myanmar to earn a 75% interest in the property, subject to certain back-in provisions reserved by the Government of Myanmar. The 75% interest may be earned by expending approximately US $1,750,000 in exploration on the property over a three-year period and an additional US $1,000,000 on a feasibility study. These expenditures will be shared equally between the Company and Leeward. Once the interest has been earned, the Company and Leeward will each have a 37.5% interest in the property with the government of Myanmar holding a 25% carried interest.
During the 2005 fiscal year, the Company and Leeward, due to circumstances beyond their control, did not meet the minimum expenditure requirements of the second exploration year of the Set Ga Done agreement. The Government of Myanmar and the companies agreed verbally to extend the prospecting period.
On July 18, 2006, the Company and Leeward entered into a joint venture partnership agreement with Quad Energy SA (“Quad”) to option a 51% joint venture interest in the property. Quad commenced a program to spend US $700,000 on exploration and development prior to January 7, 2008. Once all funds are spent, the Company’s interest would be reduced to 18.4%.
On August 24, 2007, Quad gave notice that they could not secure financing for the joint venture and as a result were opting out of the joint venture agreement mentioned above. The Company decided not to finance the project due to the political instability in the region and, accordingly, wrote-off $503,907 of exploration and acquisition expenditures.
(b)
Atlin Property, British Columbia
During the 2005 fiscal year, the Company was granted a first right of refusal to acquire the claims once it is satisfied of the value of proceeding further. The Company was required to provide $21,000 (paid) in exploration funds for exploration work on the property. The Company exercised its option to acquire a 100% interest in 18 mineral claims located in the Atlin Mining Division in British Columbia in consideration of a cash payment of $5,000 (paid), the issuance of 200,000 common shares in stages comprised of 50,000 shares upon signing and approval of the TSX Venture Exchange (“TSX”) (issued), 50,000 shares after $50,000 in exploration expenditures on the property (subsequently issued), 50,000 shares after an additional $75,000 in exploration expenditures on the property and 50,000 shares after an additional $100,000 in exploration expenditures on the property. The Company must also incur exploration expenditures of a minimum of $225,000 over a three-year period as follows: $50,000 by August 20, 2006 (incurred), a further $75,000 by August 20, 2007 and a further $100,000 by August 20, 2008. The Company will also issue an additional 100,000 shares if the property is put into commercial production and be subject to a 2% net smelter return royalty on gold production.
Jet Gold Corp. November 30, 2007 Q1
Page8
During fiscal 2007, the Company, due to poor placer exploration results, abandoned the placer exploration program and, accordingly, wrote down the carrying value of the property by $94,018. The remaining carrying value of the property, in management’s estimate, reflects the estimated net realizable value of the property as the Company is continuing to explore for other minerals.
(c)
Naskeena Group Property, British Columbia
The Company entered into an option agreement to acquire a 100% interest in three coal license applications covering lands in the Skeena Mining Division, located near Terrace, British Columbia. To exercise its option, the Company must complete the following:
(i)
Cash payments aggregating $55,000, with $20,000 (paid) payable on execution of the agreement and $35,000 (paid) payable on regulatory approval;
(ii)
To incur $600,000 in exploration expenditures on the property as follows:
(a)
$100,000 on or before March 31, 2007 (incurred);
(b)
$200,000 on or before March 31, 2008;
(c)
$300,000 on or before March 31, 2009;
(iii)
To issue 2,000,000 common shares of the Company to the optionors as follows:
(a)
400,000 common shares on regulatory approval (issued and valued at $122,000);
(b)
400,000 common shares on or before April 21, 2007 (issued and valued at $96,000);
(c)
500,000 common shares on completion of a feasibility report; and
(d)
700,000 common shares upon placing the property into commercial production.
The optionor has retained a 2% royalty on the sale of coal or other products from the property. The Company has the right to purchase one-half of the royalty by paying $500,000 to the optionor.
5.
REALIZATION OF ASSETS
The investment in and expenditures on mineral and oil and gas interests comprise a significant portion of the Company’s assets. Realization of the Company’s investment in these assets is dependent upon the establishment of legal ownership, the attainment of successful production from the interests or from the proceeds of disposal.
Although the Company has taken steps to verify the title to the mineral and oil and gas interests in which it has an interest in accordance with industry standards for the current stage of exploration of such properties, these procedures do not guarantee the Company’s title. Property title may be subject to unregistered prior agreements or transfers and title may be affected by undetected defects.
Jet Gold Corp. November 30, 2007 Q1
Page9
6.
OIL AND GAS INTERESTS
(a)
Stewart Prospect, Texas
The Company acquired a 2.5% working interest (1.875% net revenue interest) in a drilling test well on an oil and gas prospect located in Goliad County, Texas. The test well was plugged and abandoned and, accordingly, $26,042 in exploration costs has been written-off, leaving a carrying value of $5,410 in acquisition costs for the prospect at November 30, 2006. The current carrying value of the interest is $10,316 as at November 30, 2007.
(b)
Funk Prospect, Texas
The Company acquired a 5% working interest (0.725% net revenue interest) in a drilling test well on an oil and gas prospect located in Goliad County, Texas. The Company advanced $136,356 for its share of the estimated project costs to August 31, 2006. No expenditures were incurred during 2007 and to November 30, 2007.
(c)
Harris #2 Prospect, Texas
The Company acquired a 2% interest in two drilling projects in Live Oaks County, Texas. The Company advanced $27,564 for its share of the estimated project costs to November 30, 2007.
(d)
Warrner 27-1 Prospect, North Dakota
The Company acquired a 1.5% back-in working interest after payout in a drilling test well on an oil and gas prospect located in Stark County, North Dakota. The Company advanced $21,371 for its share of the estimated project costs to November 30, 2007.
7.
ASSET RETIREMENT OBLIGATION
The Company is subject to various regulatory and statutory requirements relating to the protection of the environment. At November 30, 2007, the Company estimates that costs relating to future site restoration and abandonment based on work done to that date will be immaterial. The Company has currently made no provision for site restoration costs or potential environmental liabilities as all property interests are still in the exploration stage. Factors such as further exploration, inflation and changes in technology may materially change the cost estimate in the future.
The operations of the Company are complex and regulations and legislation affecting the Company are continually changing. Although the ultimate impact of these matters on net loss cannot be determined at this time, it could be material for any future quarter and/or year.
Jet Gold Corp. November 30, 2007 Q1
Page10
8.
EQUIPMENT
| | | | | | | | | | | |
| | | 2007 | | | | 2006 |
| Cost | | Accumulated Amortization | | Net | | Net |
| |
|
|
|
|
|
|
|
|
|
|
Office furniture and equipment | $ | 12,519 |
| $ | 9,774 |
| $ | 2,745 |
| $ | 2,811 |
9
CAPITALSTOCK
(a)
Authorized
Unlimited common shares without par value
(b)
Issued
| | | | | |
| | Number of | | | |
| | Common Shares | | | Amount |
| | | | | |
Balance, August 31, 2006 | | 20,223,755 | | | 4,876,304 |
Issued for cash | | | | | |
Exercise of options | | 75,000 | | | 10,000 |
Exercise of warrants | | 315,000 | | | 46,500 |
Private placement | | 100,000 | | | 15,000 |
Private placement - flow-through shares | | 900,000 | | | 135,000 |
Issued for mineral interests | | 400,000 | | | 96,000 |
Future income tax effect on flow through share renunciation | | - | | | (45,755) |
Fair value of options exercised | | - | | | 8,560 |
| | | | | |
Balance, August 31, 2007 | | 22,013,755 | | | 5,141,609 |
Issued for cash | | | | | |
Exercise of options | | 625,000 | | | 78,750 |
Exercise of warrants | | 480,000 | | | 73,000 |
Fair value of options exercised | | - | | | 74,487 |
| | | | | |
Balance, November 30, 2007 | | 23,118,755 | | | 5,367,846 |
| | | | | |
Jet Gold Corp. November 30, 2007 Q1
Page11
(c)
Private placement
In January 2007, the Company closed a private placement as follows: 900,000 flow-through units at a price of $0.15 per unit, each unit comprised one common share and one warrant to buy one common share at $0.25 for two years; and 100,000 regular units for a unit price of $0.15 per unit, each unit comprised one common share and a two-year share purchase warrant to buy one common share at $0.25 each; for gross proceeds of $150,000.
(d)
Income tax effect on flow-through share renouncements
In December 2006, the Company renounced $134,100 (2006 - $nil) of exploration expenditures under its flow-through share program, resulting in a $45,755 charge to capital stock as cost of share issuance and a future tax liability in the same amount.
(e)
Warrants
As at November 30, 2007, the Company has warrants outstanding for the purchase of a total of 3,435,000 common shares as follows:
| | | | | | |
| | Outstanding | | | | Outstanding |
| Exercise | August 31, | | | | November 30, |
Expiry Date | Price | 2007 | Issued | Exercised | Expired | 2007 |
| | | | | | |
October 28, 2006/2007 | $ 0.12/$ 0.15 | 620,000 | - | 470,000 | 150,000 | - |
April 13, 2008 | $ 0.35 | 2,250,000 | - | - | - | 2,250,000 |
April 13, 2008 | $ 0.35 | 225,000 | - | - | - | 225,000 |
January 9, 2009 | $ 0.25 | 970,000 | - | 10,000 | - | 960,000 |
| | | | | | |
| | 4,065,000 | - | 480,000 | 150,000 | 3,435,000 |
| | | | | | |
Jet Gold Corp. November 30, 2007 Q1
Page12
(f)
Stock options
The Company has implemented a rolling stock option plan whereby a maximum of 10% of the issued shares will be reserved for issuance under the plan. As at November 30, 2007, there are 2,488,000 stock options vested and outstanding as follows:
| | | | | | |
| | Outstanding | | | | Outstanding |
| Exercise | August 31, | | | | November 30, |
Expiry Date | Price | 2007 | Granted | Exercised | Forfeited | 2007 |
| | | | | | |
April 13, 2008 * | $ 0.25 | 225,000 | - | - | - | 225,000 |
October 27, 2008 | $ 0.15 | 275,000 | - | 250,000 |
| 25,000 |
September 29, 2009 | $ 0.20 | 200,000 | - | - | - | 200,000 |
December 31, 2009 | $ 0.20 | 50,000 | - |
|
| 50,000 |
September 1, 2010 | $ 0.10 | 390,000 | - | 350,000 |
| 40,000 |
March 6, 2011 | $ 0.13 | 100,000 | - | - | - | 100,000 |
March 9, 2011 | $ 0.13 | 75,000 | - | - | - | 75,000 |
October 30, 2011 | $ 0.17 | 100,000 |
| - | - | 100,000 |
January 24, 2012 | $ 0.20 | 75,000 |
| - | - | 75,000 |
April 18, 2012 | $ 0.25 | 848,000 |
| 25,000 | - | 823,000 |
October 15, 2012 | $0.185 |
| 775,000 |
|
| 775,000 |
| | 2,338,000 | 775,000 | 625,000 |
| 2,488,000 |
* Agent’s options
(g)
Stock-based compensation
Stock-based compensation in the amount of $116,060 (2006 - $16,499) has been recorded as an expense in the period ended November 30, 2007. The stock-based compensation for the year would be allocated in the statements of operations and deficit as follows:
| | |
| | |
Consulting | $ | 74,878 |
Administration | | 41,182 |
| |
|
| $ | 116,060 |
Jet Gold Corp. November 30, 2007 Q1
Page13
The fair value of stock options used to calculate compensation expense is estimated using the Black-Scholes option pricing model with the following weighted average assumptions:
| | | |
| Nov. 30, 2007 | Aug.31,
2007 | Aug.31, 2006 |
| | | |
Risk-free interest rate | 4.41% | 4.11% | 3.94% |
Expected dividend yield | 0 | 0 | 0 |
Expected stock price volatility | 111% | 121% | 125% |
Expected option life in years | 5 | 3 | 3 |
Option pricing models require the input of highly subjective assumptions including the expected price volatility. Changes in the subjective input assumptions can materially affect the fair value estimate.
(h)
Contributed surplus
| | | | |
| | Nov 30, 2007 | | 2007 |
| | | | |
Contributed surplus, beginning of period | $ | 475,791 | $ | 277,101 |
Stock based compensation | | 116,060 | | 207,250 |
Stock options exercised during the period | | (74,487) | | (8,560) |
| |
| |
|
Contributed surplus, end of year | $ | 517,364 | $ | 475,791 |
10.
RELATED PARTY TRANSACTIONS
(a)
The Company paid $12,000 (2006 - $12,000) to a company controlled by the president of the Company pursuant to a consulting agreement dated May 15, 2003 for the provision of office and administration services and also paid $1,620 (2006 - $1,500) for office rent to a company controlled by the president. The Company paid $4,500 (2006 - $4,500) to a company controlled by an officer of the Company for consulting.
(b)
The president of the Company is a member, as to a 25% interest, in the optionor of the Naskeena Group Property (note 4(c)).
(c)
Directors and officers of the Company exercised options to acquire 625,000 (2006 - Nil) shares for proceeds of $78,750 (2006 - $Nil).
Jet Gold Corp. November 30, 2007 Q1
Page14
11.
SEGMENTED DISCLOSURE
The Company has two operating segments, being the exploration and development of mineral interests, and investment in oil and gas interests. The expenditures incurred on mineral and oil and gas interests by geographic location are as follows:
| | | | | | |
| | Canada | | United States | | Total |
| | | | | | |
Mineral interest | $ | 611,696 | $ | - | $ | 611,696 |
Oil and gas interests | | - |
| 195,607 |
| 195,607 |
Equipment | | 2,745 |
| - |
| 2,745 |
| |
|
|
|
|
|
| $ | 614,441 | $ | 195,607 | $ | 810,048 |
12.
SUBSEQUENT EVENTS
(a)
On December 10, 2007, the Company received TSX Venture Exchange approval on the acquisition of the Kshish Molybdenum property near Terrace, British Columbia. The terms of the acquisition call for cash payment of $25,000 and the issuance of up to 500,000 common shares over time and bonus of 300,000 common shares if the Kshish Molybdenum property goes into production. The Company also has a work commitment of $500,000 over four years.
Jet Gold Corp. November 30, 2007 Q1
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