Document_and_Entity_Informatio
Document and Entity Information | 3 Months Ended |
Apr. 30, 2014 | |
Document and Entity Information: | ' |
Entity Registrant Name | 'RED METAL RESOURCES, LTD. |
Document Type | '10-Q |
Document Period End Date | 30-Apr-14 |
Amendment Flag | 'false |
Entity Central Index Key | '0001358654 |
Current Fiscal Year End Date | '--01-31 |
Entity Common Stock, Shares Outstanding | 32,956,969 |
Entity Filer Category | 'Smaller Reporting Company |
Entity Current Reporting Status | 'Yes |
Entity Voluntary Filers | 'No |
Entity Well-known Seasoned Issuer | 'No |
Document Fiscal Year Focus | '2015 |
Document Fiscal Period Focus | 'Q1 |
Consolidated_Balance_Sheets
Consolidated Balance Sheets (USD $) | Apr. 30, 2014 | Jan. 31, 2014 |
Current Assets | ' | ' |
Cash | $51,520 | $3,508 |
Prepaids and other receivables | 1,183 | 714 |
Total Current Assets | 52,703 | 4,222 |
Equipment | 8,294 | 8,949 |
Unproved mineral properties | 830,744 | 836,401 |
Total Assets | 891,741 | 849,572 |
Current Liabilities | ' | ' |
Accounts payable | 337,487 | 329,328 |
Accrued liabilities | 180,819 | 156,358 |
Due to related parties | 946,724 | 889,083 |
Notes payable to related parties | 335,764 | 307,863 |
Total Current Liabilities | 1,800,794 | 1,682,632 |
Total Liabilities | 1,800,794 | 1,682,632 |
Stockholders' Equity | ' | ' |
Common stock value | 32,957 | 32,957 |
Additional paid-in capital | 6,710,002 | 6,563,101 |
Deficit accumulated during the exploration stage | 7,696,385 | 7,481,121 |
Accumulated other comprehensive loss | 44,373 | 52,003 |
Total Stockholders' Equity | -909,053 | -833,060 |
Total Liabilities and Stockholders' Equity | $891,741 | $849,572 |
Balance_Sheets_Parenthetical
Balance Sheets (Parenthetical) (USD $) | Apr. 30, 2014 | Jan. 31, 2014 |
Balance Sheet | ' | ' |
Common stock, par value | $0.00 | $0.00 |
Common stock, shares authorized | 500,000,000 | 500,000,000 |
Common stock, shares issued | 32,956,969 | 32,956,969 |
Common stock, shares outstanding | 32,956,969 | 32,956,969 |
Consolidated_Statements_of_Ope
Consolidated Statements of Operations (USD $) | 3 Months Ended | 112 Months Ended | |
Apr. 30, 2014 | Apr. 30, 2013 | Apr. 30, 2014 | |
Revenue | ' | ' | ' |
Royalties | $3,002 | ' | $19,160 |
Geological services | ' | ' | 7,804 |
Total revenue | 3,002 | ' | 26,964 |
Operating expenses | ' | ' | ' |
Administration | 12,790 | 11,699 | 425,227 |
Advertising and promotion | 7,681 | 2,098 | 588,344 |
Amortization | 655 | 894 | 11,527 |
Automobile | 1,209 | 1,841 | 106,452 |
Bank charges | 930 | 1,296 | 35,161 |
Consulting fees | 30,000 | 35,972 | 1,173,301 |
Interest on current debt | 14,544 | 27,000 | 475,036 |
IVA expense | -34 | 887 | 40,950 |
Mineral exploration costs | 3,258 | 1,813 | 2,194,653 |
Office | 2,880 | 6,562 | 93,406 |
Professional development | ' | ' | 5,116 |
Professional fees | 3,458 | 14,991 | 884,703 |
Rent | 2,957 | 3,493 | 84,995 |
Regulatory | 3,709 | 6,077 | 137,993 |
Travel and entertainment | 216 | 3,209 | 329,044 |
Salaries, wages and benefits | 12,347 | 23,900 | 294,100 |
Stock based compensation | 146,901 | ' | 674,219 |
Foreign exchange loss (gain) | 187 | -248 | 14,230 |
Write-down of unproved mineral properties | 2,265 | 6,000 | 332,579 |
Total operating expenses | 245,953 | 147,484 | 7,901,036 |
Other items | ' | ' | ' |
Gain on settlement of debt | ' | ' | 150,000 |
Gain on mineral property option payment | 27,687 | ' | 27,687 |
Net loss | -215,264 | -147,484 | -7,696,385 |
Unrealized foreign exchange (loss) gain | -7,630 | 8,655 | 44,373 |
Comprehensive loss | ($222,894) | ($138,829) | ($7,652,012) |
Net loss per share - basic and diluted | ($0.01) | ($0.01) | ' |
Weighted average number of shares outstanding - basic and diluted | 25,025,462 | 17,956,969 | ' |
Consolidated_Statement_of_Stoc
Consolidated Statement of Stockholders' Deficit (USD $) | Common Stock | Additional Paid-in Capital | Accumulated Deficit | Accumulated Other Comprehensive Gain (Loss) | Total |
Beginning Balance, amount at Jan. 09, 2005 | ' | ' | ' | ' | ' |
Net income (loss) for the period | ' | ' | ($825) | ' | ($825) |
Ending Balance, amount at Jan. 31, 2005 | ' | ' | -825 | ' | -825 |
Common stock issued for cash, shares | 5,525,000 | ' | ' | ' | ' |
Common stock issued for cash, value | 5,525 | 53,725 | ' | ' | 59,250 |
Common stock adjustment, shares | 45 | ' | ' | ' | ' |
Donated services | ' | 3,000 | ' | ' | 3,000 |
Net income (loss) for the period | ' | ' | -12,363 | ' | -12,363 |
Ending Balance, amount at Jan. 31, 2006 | 5,525 | 56,725 | -13,188 | ' | 49,062 |
Ending Balance, shares at Jan. 31, 2006 | 5,525,045 | ' | ' | ' | ' |
Donated services | ' | 9,000 | ' | ' | 9,000 |
Net income (loss) for the period | ' | ' | -43,885 | ' | -43,885 |
Ending Balance, amount at Jan. 31, 2007 | 5,525 | 65,725 | -57,073 | ' | 14,177 |
Beginning Balance, shares at Jan. 31, 2007 | 5,525,045 | ' | ' | ' | ' |
Common stock issued for cash, shares | 23,810 | ' | ' | ' | ' |
Common stock issued for cash, value | 24 | 99,976 | ' | ' | 100,000 |
Donated services | ' | 2,250 | ' | ' | 2,250 |
Return of common stock to treasury, shares | -1,750,000 | ' | ' | ' | ' |
Return of common stock to treasury, value | -1,750 | 1,749 | ' | ' | -1 |
Net income (loss) for the period | ' | ' | -232,499 | ' | -232,499 |
Ending Balance, amount at Jan. 31, 2008 | 3,799 | 169,700 | -289,572 | ' | -116,073 |
Ending Balance, shares at Jan. 31, 2008 | 3,798,855 | ' | ' | ' | ' |
Common stock issued for cash, shares | 357,147 | ' | ' | ' | ' |
Common stock issued for cash, value | 357 | 1,299,643 | ' | ' | 1,300,000 |
Unrealized foreign currency exchange gain (loss) | ' | ' | ' | -21,594 | -21,594 |
Net income (loss) for the period | ' | ' | -1,383,884 | ' | -1,383,884 |
Ending Balance, amount at Jan. 31, 2009 | 4,156 | 1,469,343 | -1,673,456 | -21,594 | -221,551 |
Ending Balance, shares at Jan. 31, 2009 | 4,156,002 | ' | ' | ' | ' |
Common stock issued for cash, shares | 1,678,572 | ' | ' | ' | ' |
Common stock issued for cash, value | 1,678 | 160,822 | ' | ' | 162,500 |
Common stock issued for debt, shares | 3,841,727 | ' | ' | ' | ' |
Common stock issued for debt, value | 3,843 | 1,148,675 | ' | ' | 1,152,518 |
Unrealized foreign currency exchange gain (loss) | ' | ' | ' | -35,816 | -35,816 |
Net income (loss) for the period | ' | ' | -710,745 | ' | -710,745 |
Ending Balance, amount at Jan. 31, 2010 | 9,677 | 2,778,840 | -2,384,201 | -57,410 | 346,906 |
Ending Balance, shares at Jan. 31, 2010 | 9,676,301 | ' | ' | ' | ' |
Common stock issued for cash, shares | 540,000 | ' | ' | ' | ' |
Common stock issued for cash, value | 540 | 134,460 | ' | ' | 135,000 |
Unrealized foreign currency exchange gain (loss) | ' | ' | ' | -13,438 | -13,438 |
Net income (loss) for the period | ' | ' | -672,618 | ' | -672,618 |
Ending Balance, amount at Jan. 31, 2011 | 10,217 | 2,913,300 | -3,056,819 | -70,848 | -204,150 |
Ending Balance, shares at Jan. 31, 2011 | 10,216,301 | ' | ' | ' | ' |
Common stock issued for cash, shares | 6,290,000 | ' | ' | ' | ' |
Common stock issued for cash, value | 6,290 | 1,821,810 | ' | ' | 1,828,100 |
Common stock issued for debt, shares | 433,333 | ' | ' | ' | ' |
Common stock issued for debt, value | 433 | 129,567 | ' | ' | 130,000 |
Warrants exercised for cash, shares | 83,333 | ' | ' | ' | ' |
Warrants exercised for cash, value | 83 | 24,916 | ' | ' | 24,999 |
Warrants exercised for debt, shares | 166,667 | ' | ' | ' | ' |
Warrants exercised for debt, value | 167 | 49,833 | ' | ' | 50,000 |
Stock options, value | ' | 527,318 | ' | ' | 527,318 |
Unrealized foreign currency exchange gain (loss) | ' | ' | ' | -15,673 | -15,673 |
Net income (loss) for the period | ' | ' | -2,928,188 | ' | -2,928,188 |
Ending Balance, amount at Jan. 31, 2012 | 17,190 | 5,466,744 | -5,985,007 | -86,521 | -587,594 |
Ending Balance, shares at Jan. 31, 2012 | 17,189,634 | ' | ' | ' | ' |
Common stock issued for cash, shares | 267,335 | ' | ' | ' | ' |
Common stock issued for cash, value | 267 | 120,034 | ' | ' | 120,301 |
Donated services | ' | 30,000 | ' | ' | 30,000 |
Extinguishment of related party debt | ' | 191,823 | ' | ' | 191,823 |
Warrants exercised for cash, shares | 500,000 | ' | ' | ' | ' |
Warrants exercised for cash, value | 500 | 149,500 | ' | ' | 150,000 |
Forgiveness of related party debt | ' | 191,823 | ' | ' | 191,823 |
Unrealized foreign currency exchange gain (loss) | ' | ' | ' | -22,385 | -22,385 |
Net income (loss) for the period | ' | ' | -1,100,422 | ' | -1,100,422 |
Ending Balance, amount at Jan. 31, 2013 | 17,957 | 5,958,101 | -7,085,429 | -108,906 | -1,218,277 |
Ending Balance, shares at Jan. 31, 2013 | 17,956,969 | ' | ' | ' | ' |
Donated services | ' | 20,000 | ' | ' | 20,000 |
Unrealized foreign currency exchange gain (loss) | ' | ' | ' | 8,655 | 8,655 |
Net income (loss) for the period | ' | ' | -147,484 | ' | -147,484 |
Ending Balance, amount at Apr. 30, 2013 | 17,957 | 5,978,101 | -7,232,913 | -100,251 | -1,337,106 |
Beginning Balance, shares at Apr. 30, 2013 | 17,956,969 | ' | ' | ' | ' |
Common stock issued for debt, shares | 15,000,000 | ' | ' | ' | ' |
Common stock issued for debt, value | 15,000 | 585,000 | ' | ' | 600,000 |
Unrealized foreign currency exchange gain (loss) | ' | ' | ' | 152,254 | 152,254 |
Net income (loss) for the period | ' | ' | -248,208 | ' | -248,208 |
Ending Balance, amount at Jan. 31, 2014 | 32,957 | 6,563,101 | -7,481,121 | 52,003 | -833,060 |
Ending Balance, shares at Jan. 31, 2014 | 32,956,969 | ' | ' | ' | ' |
Stock options, value | ' | 146,901 | ' | ' | 146,901 |
Unrealized foreign currency exchange gain (loss) | ' | ' | ' | -7,630 | -7,630 |
Net income (loss) for the period | ' | ' | -215,264 | ' | -215,264 |
Ending Balance, amount at Apr. 30, 2014 | $32,957 | $67,100,002 | ($7,696,385) | $44,373 | ($909,053) |
Ending Balance, shares at Apr. 30, 2014 | 32,956,969 | ' | ' | ' | ' |
Consolidated_Statements_of_Cas
Consolidated Statements of Cash Flows (USD $) | 3 Months Ended | 112 Months Ended | |
Apr. 30, 2014 | Apr. 30, 2013 | Apr. 30, 2014 | |
Cash Flows used in Operating Activities | ' | ' | ' |
Net loss | ($215,264) | ($147,484) | ($7,696,385) |
Adjustment to reconcile net loss to net cash used in operating activities: | ' | ' | ' |
Donated services and rent | ' | 20,000 | 64,250 |
Write-down of unproved properties | 2,265 | 6,000 | 332,579 |
Amortization | 655 | 894 | 11,527 |
Stock based compensation | 146,901 | ' | 674,219 |
Gain on mineral payment option | -27,687 | ' | -27,687 |
Gain on extinguishment of debt | ' | ' | -150,000 |
Changes in operating assets and liabilities: | ' | ' | ' |
Prepaids and other receivables | -453 | 44,165 | -633 |
Accounts payable | 7,748 | 95,343 | 332,150 |
Accrued liabilities | 24,461 | 20,425 | 309,952 |
Due to related parties | 52,921 | 595,243 | 2,098,946 |
Notes payable to related party | 6,324 | 22,829 | 130,480 |
Net cash used in operating activities | -2,129 | 8,993 | -3,829,601 |
Cash Flows from Investing Activities | ' | ' | ' |
Purchase of equipment | ' | ' | 19,820 |
Option payments received on mineral properties | 50,000 | 37,500 | 160,000 |
Acquisition of unproved mineral properties | 18,921 | 39,321 | 1,447,561 |
Net cash used in investing activities | 31,079 | -1,821 | -1,307,381 |
Cash Flows from Financing Activities | ' | ' | ' |
Cash received on issuance of notes payable to related party | 18,000 | 29,772 | 1,391,353 |
Repayment of related party notes, includig accrued interest | ' | ' | 70,935 |
Proceeds from issuance of common stock | ' | ' | 3,880,150 |
Net cash provided by financing activities | 18,000 | 29,772 | 5,200,568 |
Effect of foreign currency exchange | 1,062 | -413 | -12,066 |
Increase (decrease) in cash | 48,012 | 36,531 | 51,520 |
Cash, beginning of period | 3,508 | 3,151 | ' |
Cash, end of period | 51,520 | 39,682 | 51,520 |
Supplemental Disclosure of Cash Flow Information: | ' | ' | ' |
Income tax | ' | ' | ' |
Interest | ' | ' | ($8,331) |
Organization_and_Basis_of_Pres
Organization and Basis of Presentation | 3 Months Ended |
Apr. 30, 2014 | |
Notes | ' |
Organization and Basis of Presentation | ' |
NOTE 1 - ORGANIZATION AND BASIS OF PRESENTATION | |
Nature of Operations | |
Red Metal Resources Ltd. (the “Company”) was incorporated on January 10, 2005, under the laws of the State of Nevada. On August 21, 2007, the Company acquired a 99% interest in Minera Polymet Limitada (“Polymet”), a limited liability company formed on August 21, 2007, under the laws of the Republic of Chile. The Company is involved in acquiring and exploring mineral properties in Chile. The Company has not determined whether its properties contain mineral reserves that are economically recoverable. | |
Unaudited Interim Consolidated Financial Statements | |
The unaudited interim consolidated financial statements of the Company have been prepared in accordance with United States generally accepted accounting principles (“GAAP”) for interim financial information and the rules and regulations of the Securities and Exchange Commission (“SEC”). They do not include all information and footnotes required by GAAP for complete financial statements. Except as disclosed herein, there have been no material changes in the information disclosed in the notes to the financial statements for the year ended January 31, 2014, included in the Company’s Annual Report on Form 10-K, filed with the SEC. The interim unaudited financial statements should be read in conjunction with those financial statements included in Form 10-K. In the opinion of management, all adjustments considered necessary for fair presentation, consisting solely of normal recurring adjustments, have been made. Operating results for the three month period ended April 30, 2014 are not necessarily indicative of the results that may be expected for the year ending January 31, 2015. | |
Recent Accounting Pronouncements | |
The Company has reviewed recently issued accounting pronouncements and plans to adopt those that are applicable to it. It does not expect the adoption of these pronouncements to have a material impact on its financial position, results of operations or cash flows. |
RelatedParty_Transactions
Related-Party Transactions | 3 Months Ended | ||||||
Apr. 30, 2014 | |||||||
Notes | ' | ||||||
Related-Party Transactions | ' | ||||||
NOTE 2 - RELATED-PARTY TRANSACTIONS | |||||||
The following amounts were due to related parties as at: | |||||||
April 30, | January 31, | ||||||
2014 | 2014 | ||||||
Due to a company owned by an officer (a) | $ | 383,307 | $ | 350,206 | |||
Due to a company controlled by directors (b) | 412,837 | 395,921 | |||||
Due to a director (a) | 10,450 | 5,666 | |||||
Due to a company controlled by a major shareholder (a) | 97,659 | 94,099 | |||||
Due to a major shareholder (a) | 42,471 | 43,191 | |||||
Total due to related parties | $ | 946,724 | $ | 889,083 | |||
Note payable to the Chief Executive Officer (“CEO”) (c) | $ | 211,358 | $ | 204,730 | |||
Note payable to the Chief Financial Officer (“CFO”) (c) | 10,170 | 9,974 | |||||
Note payable to a major shareholder (c) | 44,103 | 25,378 | |||||
Note payable to a company controlled by directors (c) | 70,133 | 67,781 | |||||
Total notes payable to related parties | $ | 335,764 | $ | 307,863 | |||
(a) Amounts are unsecured, due on demand and bear no interest. | |||||||
(b) Amounts are unsecured, due on demand and bear interest at 10%. | |||||||
(c) Amounts are unsecured, due on demand and bear interest at 8%. | |||||||
During the three months ended April 30, 2014, interest expense of $6,324 (2013 - $7,022) has been accrued. | |||||||
Transactions with Related Parties | |||||||
During the three months ended April 30, 2014 and 2013, the Company incurred the following expenses with related parties: | |||||||
April 30, | April 30, | ||||||
2014 | 2013 | ||||||
Consulting fees paid or accrued to a company owned by the CFO | $ | 30,000 | $ | 10,000 | |||
Consulting fees donated by a company owned by the CFO | $ | -- | $ | 20,000 | |||
Mineral exploration costs and advertising and promotion fees paid to a company controlled by two directors | $ | 4,113 | $ | -- | |||
Rent fees paid to a company controlled by a major shareholder | $ | 2,957 | $ | 3,493 | |||
Royalty revenue earned from a company controlled by a major shareholder | $ | 3,002 | $ | -- | |||
These transactions were in the normal course of operations and were measured at the exchange amount, which is the amount of consideration established and agreed to by the related parties. |
Unproved_Mineral_Properties
Unproved Mineral Properties | 3 Months Ended | |||||
Apr. 30, 2014 | ||||||
Notes | ' | |||||
Unproved Mineral Properties | ' | |||||
NOTE 3 - UNPROVED MINERAL PROPERTIES | ||||||
Mineral Claims | January 31, | Additions / | Property Taxes | Write- | April 30, | |
2014 | Payments | Paid / Accrued | down | 2014 | ||
Farellon Project | ||||||
Farellon Alto 1-8(1) | $584,414 | $ -- | $3,445 | ($2,265) | $585,594 | |
Cecil | 49,975 | -- | 1,730 | - | 51,705 | |
634,389 | -- | 5,175 | -2,265 | 637,299 | ||
Perth Project(3) | 22,313 | -22,313 | -- | -- | -- | |
Mateo Project | ||||||
Margarita | 19,575 | -- | 424 | -- | 19,999 | |
Che (2) | 26,371 | -- | 577 | -- | 26,948 | |
Irene | 48,652 | -- | 455 | -- | 49,107 | |
Mateo | 85,101 | -- | 12,290 | -- | 97,391 | |
179,699 | -- | 13,746 | -- | 193,445 | ||
Total Costs | $836,401 | ($22,313) | $18,921 | ($2,265) | $830,744 | |
(1) The claim is subject to a 1.5% royalty on the net sales of minerals extracted from the property to a total of $600,000. The royalty payments are due monthly while the claim is being exploited, and are subject to minimum payments of $1,000 per month. The Company commenced exploitation of the claim on January 15, 2014 and as of April 30, 2014 paid $3,502 in royalty payments to the vendor. | ||||||
(2) The claims are subject to a 1% royalty on the net sales of minerals extracted from the property to a total of $100,000. The royalty payments are due monthly once exploitation begins and are not subject to minimum payments. The Company has no obligation to pay the royalty if it does not commence exploitation. | ||||||
(3) See Perth Project discussion below. | ||||||
Perth Project | ||||||
On April 30, 2013, the Company granted Geoactiva SpA (“Geoactiva”) an option to purchase 100% of the Perth Property through the execution of a mining option purchase agreement (the “Option Agreement”). | ||||||
To maintain the option and acquire the properties, Geoactiva agreed to the following: | ||||||
Date | Option | Exploration | ||||
Payments | Expenditures | |||||
April 30, 2013 (paid) | $37,500 | $ -- | ||||
October 30, 2013 (paid) | 37,500 | -- | ||||
April 30, 2014 (paid) | 50,000** | 500,000* | ||||
30-Oct-14 | 50,000 | -- | ||||
30-Apr-15 | 100,000 | 1,000,000 | ||||
30-Oct-15 | 100,000 | -- | ||||
30-Apr-16 | 125,000 | 1,000,000 | ||||
30-Oct-16 | 250,000 | -- | ||||
30-Apr-17 | 250,000 | 1,000,000 | ||||
Total | $1,000,000 | $3,500,000 | ||||
* As of the date of this Quarterly Report on Form 10-Q, Geoactiva has submitted the results of the exploration work conducted on the Farellon claim. The Company is evaluating these results to determine whether the scope of work resulted in the required $500,000 in exploration expenditures. | ||||||
** The amount has been credited against the carrying value of the Perth property. The excess of $27,687 over the carrying value of the Perth property has been recorded as a gain on mineral property option payment in the consolidated statements of operations. | ||||||
Upon exercise of the Option Agreement and once the commercial production begins, Geoactiva will pay the Company a Net Smelter Royalty (“NSR”) of 1.5% from the sale of gold, copper, and cobalt extracted from the Perth property. At any time after the exercise of the Option Agreement and Geoactiva’s fulfilment of the investment commitment of $3,500,000 in exploration expenditures, Geoactiva may purchase 100% of the NSR as follows: | ||||||
Gold: paying $5 per inferred ounce of gold, according to the definition of Inferred Mineral Resource in the CIM Definition Standards on Mineral Resources and Mineral Reserves. | ||||||
Copper: $0.005 per inferred ounce of copper, according to the definition of Inferred Mineral Resource in the CIM Definition Standards on Mineral Resources and Mineral Reserves. | ||||||
Cobalt: If Geoactiva acquires the NSR with respect to gold, copper, or both, the NSR relating to cobalt will be terminated. |
Common_Stock_Note
Common Stock, Note | 3 Months Ended | |
Apr. 30, 2014 | ||
Notes | ' | |
Common Stock, Note | ' | |
NOTE 4 - COMMON STOCK | ||
During the three months ended April 30, 2014, the Company did not have any transactions that resulted in issuance of its common stock. | ||
Warrants | ||
Number of Warrants | ||
Balance, January 31, 2014 | 7,187,001 | |
Expired | 6,919,666 | |
Balance, April 30, 2014 | 267,335 | |
The weighted average life and weighted average exercise price of the warrants at April 30, 2014 is 0.99 years and $0.10, respectively. | ||
Options | ||
On February 28, 2014, the Company granted 1,200,000 options to purchase shares of its common stock to certain officers, directors, consultants and employees. The Chief Executive Officer, Chief Financial Officer, and Vice President of Exploration were each granted options to purchase up to 300,000 shares of the Company’s common stock. The options are exercisable at $0.15 for a term of two years and vested upon grant. | ||
The Company recorded $146,901 as stock-based compensation, which was calculated using the following assumptions under the Black-Scholes option-pricing model: | ||
Expected life of options | 2 years | |
Annualized volatility | 161% | |
Risk-free interest rate | 33% | |
Dividend yield | Nil | |
Subsequent_Event
Subsequent Event | 3 Months Ended |
Apr. 30, 2014 | |
Notes | ' |
Subsequent Event | ' |
NOTE 5 - SUBSEQUENT EVENT | |
On May 27, 2014, Polymet entered into a Memorandum of Understanding (the “MOU”) with an unrelated party to acquire an option to earn 100% interest in two mining claims contiguous to the Farellon Property. The MOU is subject to results of a due diligence process which Polymet must conclude by July 26, 2014. In order to acquire 100% of the mining concessions the Company will have to make annual payments totalling $300,000 in a combination of shares and cash over four years. The claims will be subject to a 1.5% royalty on net smelter returns which can be bought out by making a one-time payment totalling $1,500,000 any time after acquiring 100% of the property. |
Organization_and_Basis_of_Pres1
Organization and Basis of Presentation: Unaudited Interim Consolidated Financial Statements (Policies) | 3 Months Ended |
Apr. 30, 2014 | |
Policies | ' |
Unaudited Interim Consolidated Financial Statements | ' |
Unaudited Interim Consolidated Financial Statements | |
The unaudited interim consolidated financial statements of the Company have been prepared in accordance with United States generally accepted accounting principles (“GAAP”) for interim financial information and the rules and regulations of the Securities and Exchange Commission (“SEC”). They do not include all information and footnotes required by GAAP for complete financial statements. Except as disclosed herein, there have been no material changes in the information disclosed in the notes to the financial statements for the year ended January 31, 2014, included in the Company’s Annual Report on Form 10-K, filed with the SEC. The interim unaudited financial statements should be read in conjunction with those financial statements included in Form 10-K. In the opinion of management, all adjustments considered necessary for fair presentation, consisting solely of normal recurring adjustments, have been made. Operating results for the three month period ended April 30, 2014 are not necessarily indicative of the results that may be expected for the year ending January 31, 2015. |
Organization_and_Basis_of_Pres2
Organization and Basis of Presentation: Recent Accounting Pronouncements (Policies) | 3 Months Ended |
Apr. 30, 2014 | |
Policies | ' |
Recent Accounting Pronouncements | ' |
Recent Accounting Pronouncements | |
The Company has reviewed recently issued accounting pronouncements and plans to adopt those that are applicable to it. It does not expect the adoption of these pronouncements to have a material impact on its financial position, results of operations or cash flows. |
RelatedParty_Transactions_Sche
Related-Party Transactions: Schedule of Related Party Transactions (Tables) | 3 Months Ended | ||||||
Apr. 30, 2014 | |||||||
Tables/Schedules | ' | ||||||
Schedule of Related Party Transactions | ' | ||||||
April 30, | January 31, | ||||||
2014 | 2014 | ||||||
Due to a company owned by an officer (a) | $ | 383,307 | $ | 350,206 | |||
Due to a company controlled by directors (b) | 412,837 | 395,921 | |||||
Due to a director (a) | 10,450 | 5,666 | |||||
Due to a company controlled by a major shareholder (a) | 97,659 | 94,099 | |||||
Due to a major shareholder (a) | 42,471 | 43,191 | |||||
Total due to related parties | $ | 946,724 | $ | 889,083 | |||
Note payable to the Chief Executive Officer (“CEO”) (c) | $ | 211,358 | $ | 204,730 | |||
Note payable to the Chief Financial Officer (“CFO”) (c) | 10,170 | 9,974 | |||||
Note payable to a major shareholder (c) | 44,103 | 25,378 | |||||
Note payable to a company controlled by directors (c) | 70,133 | 67,781 | |||||
Total notes payable to related parties | $ | 335,764 | $ | 307,863 |
RelatedParty_Transactions_Sche1
Related-Party Transactions: Schedule of Transactions with Related Parties (Tables) | 3 Months Ended | |||||
Apr. 30, 2014 | ||||||
Tables/Schedules | ' | |||||
Schedule of Transactions with Related Parties | ' | |||||
April 30, | April 30, | |||||
2014 | 2013 | |||||
Consulting fees paid or accrued to a company owned by the CFO | $ | 30,000 | $ | 10,000 | ||
Consulting fees donated by a company owned by the CFO | $ | -- | $ | 20,000 | ||
Mineral exploration costs and advertising and promotion fees paid to a company controlled by two directors | $ | 4,113 | $ | -- | ||
Rent fees paid to a company controlled by a major shareholder | $ | 2,957 | $ | 3,493 | ||
Royalty revenue earned from a company controlled by a major shareholder | $ | 3,002 | $ | -- |
Unproved_Mineral_Properties_Sc
Unproved Mineral Properties: Schedule of Unproved Mineral Properties (Tables) | 3 Months Ended | |||||
Apr. 30, 2014 | ||||||
Tables/Schedules | ' | |||||
Schedule of Unproved Mineral Properties | ' | |||||
Mineral Claims | January 31, | Additions / | Property Taxes | Write- | April 30, | |
2014 | Payments | Paid / Accrued | down | 2014 | ||
Farellon Project | ||||||
Farellon Alto 1-8(1) | $584,414 | $ -- | $3,445 | ($2,265) | $585,594 | |
Cecil | 49,975 | -- | 1,730 | - | 51,705 | |
634,389 | -- | 5,175 | -2,265 | 637,299 | ||
Perth Project(3) | 22,313 | -22,313 | -- | -- | -- | |
Mateo Project | ||||||
Margarita | 19,575 | -- | 424 | -- | 19,999 | |
Che (2) | 26,371 | -- | 577 | -- | 26,948 | |
Irene | 48,652 | -- | 455 | -- | 49,107 | |
Mateo | 85,101 | -- | 12,290 | -- | 97,391 | |
179,699 | -- | 13,746 | -- | 193,445 | ||
Total Costs | $836,401 | ($22,313) | $18,921 | ($2,265) | $830,744 |
Unproved_Mineral_Properties_Sc1
Unproved Mineral Properties: Schedule of Exploration Expenses (Tables) | 3 Months Ended | ||
Apr. 30, 2014 | |||
Tables/Schedules | ' | ||
Schedule of Exploration Expenses | ' | ||
Date | Option | Exploration | |
Payments | Expenditures | ||
April 30, 2013 (paid) | $37,500 | $ -- | |
October 30, 2013 (paid) | 37,500 | -- | |
April 30, 2014 (paid) | 50,000** | 500,000* | |
30-Oct-14 | 50,000 | -- | |
30-Apr-15 | 100,000 | 1,000,000 | |
30-Oct-15 | 100,000 | -- | |
30-Apr-16 | 125,000 | 1,000,000 | |
30-Oct-16 | 250,000 | -- | |
30-Apr-17 | 250,000 | 1,000,000 | |
Total | $1,000,000 | $3,500,000 |
Common_Stock_Note_Schedule_of_
Common Stock, Note: Schedule of Stockholders' Equity Note, Warrants or Rights (Tables) | 3 Months Ended | |
Apr. 30, 2014 | ||
Tables/Schedules | ' | |
Schedule of Stockholders' Equity Note, Warrants or Rights | ' | |
Number of Warrants | ||
Balance, January 31, 2014 | 7,187,001 | |
Expired | 6,919,666 | |
Balance, April 30, 2014 | 267,335 |
Common_Stock_Note_Schedule_of_1
Common Stock, Note: Schedule of Assumptions under the Black-Scholes Option-Pricing Model (Tables) | 3 Months Ended | |
Apr. 30, 2014 | ||
Tables/Schedules | ' | |
Schedule of Assumptions under the Black-Scholes Option-Pricing Model | ' | |
Expected life of options | 2 years | |
Annualized volatility | 161% | |
Risk-free interest rate | 33% | |
Dividend yield | Nil |
Organization_and_Basis_of_Pres3
Organization and Basis of Presentation (Details) | Aug. 21, 2007 |
Details | ' |
Business acquisition, interest acquired | 99.00% |
RelatedParty_Transactions_Sche2
Related-Party Transactions: Schedule of Related Party Transactions (Details) (USD $) | Apr. 30, 2014 | Jan. 31, 2014 |
Due to related party | $946,724 | $889,083 |
Notes payable to related party | 335,764 | 307,863 |
Company Owned by Officer | ' | ' |
Due to related party | 383,307 | 350,206 |
Company Controlled by Directors | ' | ' |
Due to related party | 412,837 | 395,921 |
Notes payable to related party | 70,133 | 67,781 |
Director | ' | ' |
Due to related party | 10,450 | 5,666 |
Company Controlled by Major Shareholder | ' | ' |
Due to related party | 97,659 | 94,099 |
Majority Shareholder | ' | ' |
Due to related party | 42,471 | 43,191 |
Notes payable to related party | 44,103 | 25,378 |
CEO | ' | ' |
Notes payable to related party | 211,358 | 204,730 |
CFO | ' | ' |
Notes payable to related party | $10,170 | $9,974 |
RelatedParty_Transactions_Deta
Related-Party Transactions (Details) (USD $) | 3 Months Ended | |
Apr. 30, 2014 | Apr. 30, 2013 | |
Details | ' | ' |
Interest expense | $6,324 | $7,022 |
RelatedParty_Transactions_Sche3
Related-Party Transactions: Schedule of Transactions with Related Parties (Details) (USD $) | 3 Months Ended | |
Apr. 30, 2014 | Apr. 30, 2013 | |
Company Owned by the Chief Financial Officer | ' | ' |
Related Party Transaction, Amounts of Transaction | $30,000 | $20,000 |
Company Controlled by Directors | ' | ' |
Related Party Transaction, Amounts of Transaction | 4,113 | ' |
Company Controlled by Major Shareholder | ' | ' |
Related Party Transaction, Amounts of Transaction | 2,957 | 3,493 |
Company Controlled by Major Shareholder(2) | ' | ' |
Related Party Transaction, Amounts of Transaction | $3,002 | ' |
Unproved_Mineral_Properties_Sc2
Unproved Mineral Properties: Schedule of Unproved Mineral Properties (Details) (USD $) | 3 Months Ended | |
Apr. 30, 2014 | Jan. 31, 2014 | |
Mineral claims, balance | $830,744 | $836,401 |
Mineral claims, property taxes | 18,921 | ' |
Mineral claims, write-down | -2,265 | ' |
Mineral claims, additions / payments | -22,313 | ' |
Farellon Project | ' | ' |
Mineral claims, balance | 637,299 | 634,389 |
Mineral claims, property taxes | 5,175 | ' |
Mineral claims, write-down | -2,265 | ' |
Perth Project | ' | ' |
Mineral claims, balance | ' | 22,313 |
Mineral claims, additions / payments | -22,313 | ' |
Mateo Project | ' | ' |
Mineral claims, balance | 193,445 | 179,699 |
Mineral claims, property taxes | $13,746 | ' |
Unproved_Mineral_Properties_Sc3
Unproved Mineral Properties: Schedule of Exploration Expenses (Details) (Perth Project, USD $) | 1 Months Ended | ||||||||
Apr. 30, 2017 | Oct. 30, 2016 | Apr. 30, 2016 | Oct. 30, 2015 | Apr. 30, 2015 | Oct. 30, 2014 | Apr. 30, 2014 | Oct. 30, 2013 | Apr. 30, 2013 | |
Perth Project | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Option payments received | ' | ' | ' | ' | ' | ' | $50,000 | $37,500 | $37,500 |
Exploration expenditures | ' | ' | ' | ' | ' | ' | 500,000 | ' | ' |
Option Payments due to company | 250,000 | 250,000 | 125,000 | 100,000 | 100,000 | 50,000 | ' | ' | ' |
Exploration expenses to be incured | 1,000,000 | ' | 1,000,000 | ' | 1,000,000 | ' | ' | ' | ' |
Total agreed purchase amount | ' | ' | ' | ' | ' | ' | ' | ' | 1,000,000 |
Total exploration expenses agreed to be incurred | ' | ' | ' | ' | ' | ' | ' | ' | $3,500,000 |
Common_Stock_Note_Schedule_of_2
Common Stock, Note: Schedule of Stockholders' Equity Note, Warrants or Rights (Details) | 3 Months Ended | |
Apr. 30, 2014 | Jan. 31, 2014 | |
Details | ' | ' |
Warrants outstanding | 267,335 | 7,187,001 |
Warrants expired | 6,919,666 | ' |
Common_Stock_Note_Details
Common Stock, Note (Details) (USD $) | 3 Months Ended | 112 Months Ended |
Apr. 30, 2014 | Apr. 30, 2014 | |
Details | ' | ' |
Weighted average life of warrants | 0.99 | ' |
Number of options granted | 1,200,000 | ' |
Options exercisable price | $0.15 | ' |
Stock-based compensation | $146,901 | $674,219 |
Common_Stock_Note_Schedule_of_3
Common Stock, Note: Schedule of Assumptions under the Black-Scholes Option-Pricing Model (Details) | 3 Months Ended |
Apr. 30, 2014 | |
Details | ' |
Expected life of options (years) | 2 |
Annualized volatility | 161.00% |
Risk-free interest rate | 33.00% |
Subsequent_Event_Details
Subsequent Event (Details) (Memorandum of Understanding, USD $) | 27-May-14 |
Memorandum of Understanding | ' |
Annual payments to be made to acquire 100% of the mining concessions | $300,000 |