Red Metal Resources (RMESF) 10-K 1 May 17 2017 FY Annual report Financial data

Document and Entity Information

Document and Entity Information - USD ($)	12 Months Ended
	Jan. 31, 2017	Jul. 31, 2016
Document and Entity Information:
Entity Registrant Name	RED METAL RESOURCES, LTD.
Document Type	10-K
Document Period End Date	Jan. 31, 2017
Amendment Flag	false
Entity Central Index Key	1,358,654
Current Fiscal Year End Date	--01-31
Entity Common Stock, Shares Outstanding	34,647,445
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	2,017
Document Fiscal Period Focus	FY
Entity Public Float		$ 475,626
Trading Symbol	rmes

Consolidated Balance Sheets

Consolidated Balance Sheets - USD ($)	Jan. 31, 2017	Jan. 31, 2016
Current Assets
Cash	$ 7,679	$ 2,161
Prepaids and other receivables	7,052	4,519
Total Current Assets	14,731	6,680
Equipment	2,504	3,107
Unproved mineral properties	585,850	460,539
Total Assets	603,085	470,326
Current Liabilities
Accounts payable	388,977	358,709
Accrued liabilities	162,794	131,577
Due to related parties	1,073,015	938,584
Notes payable	40,625	17,433
Notes payable to related parties	933,085	687,155
Total Current Liabilities	2,598,496	2,133,458
Total Liabilities	2,598,496	2,133,458
Stockholders' Equity
Common stock value	34,647	34,290
Additional paid-in capital	6,779,190	6,754,547
Deficit	(8,835,401)	(8,525,921)
Accumulated other comprehensive income (loss)	26,153	73,952
Total Stockholders' Equity (Deficit)	(1,995,411)	(1,663,132)
Total Liabilities and Stockholders' Equity (Deficit)	$ 603,085	$ 470,326

Balance Sheets (Parenthetical)

Balance Sheets (Parenthetical) - $ / shares	Jan. 31, 2017	Jan. 31, 2016
Balance Sheet
Common stock, par value	$ 0.001	$ 0.001
Common stock, shares authorized	500,000,000	500,000,000
Common stock, shares issued	34,647,445	34,290,302
Common stock, shares outstanding	34,647,445	34,290,302

Consolidated Statements of Oper

Consolidated Statements of Operations - USD ($)	12 Months Ended
	Jan. 31, 2017	Jan. 31, 2016
Operating expenses
Amortization	$ 885	$ 1,226
Consulting fees	60,000	120,000
Foreign exchange gain (loss)	66	(2,036)
General and administrative	68,506	69,473
Mineral exploration costs	4,188	688
Professional fees	16,870	25,905
Rent	9,838	9,969
Regulatory	8,066	7,283
Salaries, wages and benefits	54,676	48,484
Impairment of unproved mineral properties		158,141
Total operating expenses	223,095	439,133
Other items
Interest expense on current debt	99,740	82,272
Net royalty income	13,355	9,117
Net loss	(309,480)	(512,288)
Unrealized foreign exchange gain (loss)	(47,799)	60,222
Comprehensive income (loss)	$ (357,279)	$ (452,066)
Net loss per share - basic and diluted	$ (0.01)	$ (0.02)
Weighted average number of shares outstanding - basic and diluted	34,342,995	33,564,275

Consolidated Statement of Stock

Consolidated Statement of Stockholders' Deficit - USD ($)	Common Stock	Additional Paid-in Capital	Accumulated Deficit	Accumulated Other Comprehensive Income (Loss)	Total
Beginning Balance, shares at Jan. 31, 2015	33,456,969
Beginning Balance, amount at Jan. 31, 2015	$ 33,457	$ 6,730,380	$ (8,013,633)	$ 13,730	$ (1,236,066)
Stock issued for mineral property, shares	833,333
Stock issued for mineral property, value	$ 833	24,167			25,000
Foreign exchange translation				60,222	60,222
Net income (loss) for the period			(512,288)		(512,288)
Ending Balance, shares at Jan. 31, 2016	34,290,302
Ending Balance, amount at Jan. 31, 2016	$ 34,290	6,754,547	(8,525,921)	73,952	(1,663,132)
Stock issued for mineral property, shares	357,143
Stock issued for mineral property, value	$ 357	24,643			25,000
Foreign exchange translation				(47,799)	(47,799)
Net income (loss) for the period			(309,480)		(309,480)
Ending Balance, shares at Jan. 31, 2017	34,647,445
Ending Balance, amount at Jan. 31, 2017	$ 34,647	$ 6,779,190	$ (8,835,401)	$ 26,153	$ (1,995,411)

Consolidated Statements of Cash

Consolidated Statements of Cash Flows - USD ($)	12 Months Ended
	Jan. 31, 2017	Jan. 31, 2016
Cash Flows used in Operating Activities
Net loss	$ (309,480)	$ (512,288)
Adjustment to reconcile net loss to net cash used in operating activities:
Accrued interest on related party notes payable	65,563	51,069
Accrued interest on notes payable	2,893	814
Amortization	885	1,226
Impairment of unproved mineral properties		158,141
Changes in operating assets and liabilities:
Prepaids and other receivables	(2,420)	(4,290)
Accounts payable	25,788	28,240
Accrued liabilities	23,839	31,219
Due to related parties	85,830	108,529
Net cash used in operating activities	(107,102)	(137,340)
Cash Flows from Investing Activities
Acquisition of unproved mineral properties	50,462	59,531
Net cash provided by (used in) investing activities	(50,462)	(59,531)
Cash Flows from Financing Activities
Cash received on issuance of notes payable to related party	150,044	183,947
Cash received on issuance of notes payable	11,533	16,619
Net cash provided by financing activities	161,577	200,566
Effect of foreign currency exchange	1,505	(5,974)
Increase (decrease) in cash	5,518	(2,279)
Cash, beginning of period	2,161	4,440
Cash, end of period	7,679	2,161
Supplemental Disclosure of Cash Flow Information:
Income tax
Interest
Non-Cash Investing Transactions:
Shares issued for mineral property	$ 25,000	$ 25,000

Organization and Basis of Prese

Organization and Basis of Presentation	12 Months Ended
	Jan. 31, 2017
Notes
Organization and Basis of Presentation	NOTE 1 - ORGANIZATION AND BASIS OF PRESENTATION Nature of Operations Red Metal Resources Ltd. (the “Company”) holds a 99% interest in Minera Polymet SpA (“Polymet”) 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. The Company’s consolidated financial statements are prepared on a going concern basis in accordance with US generally accepted accounting principles (“GAAP”) which contemplates the realization of assets and discharge of liabilities and commitments in the normal course of business. The Company is in the exploration stage. It has generated only minimal income to date, and has accumulated losses of $8,835,401 since inception. The Company has funded its operations through the issuance of capital stock and debt. Management plans to raise additional funds through equity and/or debt financings, and by entering into joint venture agreements. There is no certainty that further funding will be available as needed. These factors raise substantial doubt about the ability of the Company to continue operating as a going concern. The Company’s ability to continue its operations as a going concern, realize the carrying value of its assets, and discharge its liabilities in the normal course of business is dependent upon its ability to raise new capital sufficient to fund its commitments and ongoing losses, the continued financial support from related party creditors, and ultimately on generating profitable operations.

Summary of Significant Accounti

Summary of Significant Accounting Policies	12 Months Ended
	Jan. 31, 2017
Notes
Summary of Significant Accounting Policies	NOTE 2 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Basis of Presentation These consolidated financial statements and related notes are presented in accordance with US GAAP, and are expressed in United States dollars. The Company has not produced revenues from its principal business. These financial statements include the accounts of the Company and its subsidiary, Polymet. All intercompany transactions and balances have been eliminated. Reclassifications Certain comparative amounts in the accompanying consolidated financial statements have been reclassified to conform to the current year’s presentation. These reclassifications had no effect on the consolidated results of operations or financial position for any year presented. Accounting Estimates The preparation of financial statements in conformity with US GAAP requires management to make estimates and assumptions that affect certain of the reported amounts of assets and liabilities, disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the year. The Company regularly evaluates estimates and assumptions. The Company bases its estimates and assumptions on current facts, historical experience and various other factors 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. The most significant estimates with regard to these financial statements relate to carrying values of unproved mineral properties, asset retirement obligations, fair value of stock based transactions, and recognition of deferred tax assets or liabilities. Fair Value of Financial Instruments The carrying amounts reflected in the balance sheets for cash, prepaid and other receivables, accounts payable, accrued liabilities and amounts due to related parties approximate the respective fair values due to the short maturities of these items. The Company does not hold any investments that are available-for-sale. The fair value hierarchy under US GAAP is based on the following three levels of inputs, of which the first two are considered observable and the last unobservable: Level 1 Level 2 Level 3 The Company’s notes payable and notes payable to related parties are based on Level 2 inputs in the ASC 820 fair value hierarchy. The notes payable and notes payable to related parties accumulate interest at a rate of 8% per annum, which is a representative of current borrowing rates, as such the fair value of these instruments is equivalent to their carrying value. Asset Retirement Obligations The Company records the fair value of an asset retirement obligation as a liability in the period in which it incurs an obligation associated with the retirement of tangible long-lived assets that result from the acquisition, construction, development and/or normal use of the assets. The estimated fair value of the asset retirement obligation is based on the current cost escalated at an inflation rate and discounted at a credit adjusted risk-free rate. This liability is capitalized as part of the cost of the related asset and amortized over its useful life. The liability accretes until the Company settles the obligation. To date the Company has not incurred any asset retirement obligations. Long Lived Assets The carrying value of long-lived assets, other than mineral properties, is reviewed on a regular basis for the existence of facts or circumstances that may suggest impairment. The Company recognizes impairment when the sum of the expected undiscounted future cash flows is less than the carrying amount of the asset. Impairment losses, if any, are measured as the excess of the carrying amount of the asset over its estimated fair value. Foreign Currency Translation and Transaction The functional currency for the Company and the Company’s foreign subsidiary is the US dollar and the Chilean peso, respectively. The Company translates assets and liabilities to US dollars using year-end exchange rates and translates revenues and expenses using average exchange rates during the period. Exchange gains and losses arising from the translation of foreign entity financial statements are included as a component of other comprehensive income (loss). Transactions denominated in currencies other than the functional currency of the legal entity are re-measured to the functional currency of the legal entity at the year-end exchange rates. Any associated transactional currency re-measurement gains and losses are recognized in current operations. Income Taxes Income taxes are determined using the liability method. Deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of assets and liabilities and their respective tax basis. Deferred tax assets and liabilities are measured using the enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that includes that date of enactment. In addition, a valuation allowance is established to reduce any deferred tax asset for which it is determined that it is more likely than not that some portion of the deferred tax asset will not be realized. The Company accounts for uncertainty in income taxes by applying a two-step method. First, it evaluates whether a tax position has met a more likely than not recognition threshold, and second, it measures that tax position to determine the amount of benefit, if any, to be recognized in the financial statements. The application of this method did not have a material effect on the Company's financial statements. Loss per Share The Company presents both basic and diluted loss per share (“LPS”) on the face of the statements of operations. Basic LPS is computed by dividing net loss available to common shareholders by the weighted average number of shares outstanding during the year. Diluted LPS gives effect to all dilutive potential common shares outstanding during the period including convertible debt, stock options, and warrants, using the treasury stock method. Diluted LPS excludes all dilutive potential shares if their effect is anti-dilutive. Mineral Properties Acquisition costs (including option payments) and mineral property taxes are capitalized as mineral property costs. Mineral exploration costs are expensed as incurred until commercially mineable deposits are determined to exist within a particular property. Option payments are considered acquisition costs provided that the Company has the intention of exercising the underlying option. Property option agreements are exercisable entirely at the option of the optionee. Therefore, option payments (or recoveries) are recorded when payment is made (or received) and are not accrued. Mineral properties are tested for impairment if facts or circumstances indicate that impairment exists. Examples of such facts and circumstances are as follows: · · · · After technical feasibility and commercial viability of extracting a mineral resource are demonstrable the capitalized balance, net of any impairment recognized, is then reclassified to either tangible or intangible mine development assets according to the nature of the asset. Although the Company has taken steps that it considers adequate to verify title to mineral properties which it has an interest, these procedures do not guarantee the Company’s title. Title to mineral properties in foreign jurisdictions is subject to uncertainty and consequently, such properties may be subject to prior undetected agreements or transfers and title may be affected by such instances. Equipment Equipment is recorded at cost and is being amortized over its estimated useful lives using the declining balance method at 30% per year. Royalty Income Royalty payments received from authorized contractors are recognized when the risks and rewards of ownership to delivered concentrate pass to the buyer and collection is reasonably assured. Stock Options and Other Share-Based Compensation For equity awards, such as stock options, total compensation cost is based on the grant date fair value and for liability awards, such as stock appreciation rights, total compensation cost is based on the settlement value. The Company recognizes stock-based compensation expense for all awards over the service period required to earn the award, which is the shorter of the vesting period or the time period an employee becomes eligible to retain the award at retirement, adjusted for the expected rate of forfeiture of the equity awards granted. Recently Adopted Accounting Guidance Recent accounting pronouncements issued by the Financial Accounting Standards Board or other authoritative standards groups with future effective dates are either not applicable or are not expected to be significant to the financial statements of the Company.

Related-party Transactions Disc

Related-party Transactions Disclosure	12 Months Ended
	Jan. 31, 2017
Notes
Related-party Transactions Disclosure	NOTE 3 - RELATED-PARTY TRANSACTIONS The following amounts were due to related parties as at: January 31, 2017 January 31, 2016 Due to a company owned by an officer (a) $ 629,032 $ 553,991 Due to a company controlled by directors (b) 338,398 299,761 Due to a company controlled by a major shareholder (a) 68,563 51,201 Due to a major shareholder (a) 37,022 33,631 Total due to related parties $ 1,073,015 $ 938,584 Note payable to the Chief Executive Officer (“CEO”) (c) $ 312,797 $ 257,081 Note payable to the Chief Financial Officer (“CFO”) (c) 12,672 11,698 Note payable to a major shareholder (c) 470,646 301,360 Note payable to a company controlled by directors (c) 136,970 117,016 Total notes payable to related parties $ 933,085 $ 687,155 (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 year ended January 31, 2017, the Company accrued $65,563 (January 31, 2016 - $51,069) in interest expense on the notes payable to related parties and $14,329 (January 31, 2016 - $14,522) in interest expense on trade accounts payable with related parties. Transactions with Related Parties During the years ended January 31, 2017 and 2016, the Company incurred the following expenses with related parties: January 31, 2017 January 31, 2016 Consulting fees paid or accrued to a company owned by the CFO $ 60,000 $ 120,000 Rent fees paid or accrued to a company controlled by a major shareholder $ 9,838 $ 9,969

Unproved Mineral Properties Dis

Unproved Mineral Properties Disclosure	12 Months Ended
	Jan. 31, 2017
Notes
Unproved Mineral Properties Disclosure	NOTE 4 - UNPROVED MINERAL PROPERTIES Following are the schedules of the Company’s unproved mineral properties as at January 31, 2017 and 2016: Mineral Claims at January 31, 2017 January 31, 2016 Additions/ Payments Property Taxes Paid/ Accrued Effect of foreign currency translation January 31, 2017 Farellon Project Farellon Alto 1-8(1) $ 371,811 $ -- $ 3,307 $ 37,664 $ 412,782 Quina 48,160 25,000 1,683 5,472 80,315 Exeter 26,208 25,000 1,576 4,381 57,165 446,179 50,000 6,566 47,517 550,262 Perth Project 14,360 3,793 15,103 2,332 35,588 Total Costs $ 460,539 $ 53,793 $ 21,669 $ 49,849 $ 585,850 (1) During the year ended January 31, 2017, the Company received $29,890 in royalty payments from minerals extracted during the small scale mining operations that were carried out by a third-party; these payments were recorded as net royalty income. During the same period the Company paid $16,535 in royalty payments to the original vendor of the Farellon Alto 1-8. Mineral Claims at January 31, 2016 January 31, 2015 Additions/ Payments Write- down Effect of foreign currency translation January 31, 2016 Farellon Project Farellon Alto 1-8(1) $ 416,430 $ 1,504 $ -- $ (46,123) $ 371,811 Cecil 41,729 1,597 (43,326) -- -- Quina 24,409 26,759 -- (3,008) 48,160 Exeter -- 29,500 -- (3,292) 26,208 482,568 59,360 (43,326) (52,423) 446,179 Perth Project -- 16,412 -- (2,052) 14,360 Mateo Project Margarita 20,107 392 (20,499) -- -- Che (2) 21,343 532 (21,875) -- -- Irene 36,213 420 (36,633) -- -- Mateo 80,422 10,157 (90,579) -- -- 158,085 11,501 (169,586) -- -- Total Costs $ 640,653 $ 87,273 $ (212,912) $ (54,475) $ 460,539 (1) During the year ended January 31, 2016, the Company received $26,451 in payments from minerals extracted during the small scale mining operations that were carried out by a third-party; these payments were recorded as net royalty income. During the same period the Company paid $17,334 in royalty payments to the original vendor of the Farellon Alto 1-8. (2) The claims are subject to a 1% royalty on the net sales of minerals extracted from the property. The royalty payments will be due monthly once exploration begins and are not subject to minimum payments. Farellon Project, Quina Claim On May 27, 2014, Polymet entered into a memorandum of understanding (the “MOU”) with an unrelated party to acquire an option to earn a 100% interest in two mining claims contiguous to the Farellon Property. On December 15, 2014, the MOU was superseded by an option agreement to earn 100% interest in one of the mining claims included in the MOU, Quina 1-56 (the “Quina Claim”). In order to acquire the 100% interest in the Quina Claim, the Company is required to pay a total of $150,000, which, at discretion of the Company, can be paid in a combination of shares of the Company and cash over four years, as detailed in the following schedule: Date Option Payment Shares Issued Upon execution of the option agreement (“Execution date”) (paid) $ 25,000 500,000 12 months subsequent to the Execution date (paid) 25,000 833,333 24 months subsequent to the Execution date (paid) 25,000 357,143 36 months subsequent to the Execution date 25,000 n/a 48 months subsequent to the Execution date 50,000 n/a Total $ 150,000 1,690,476 The number of shares to be issued for each option payment is determined based on the average trading price of the Company’s shares during a 30-day period prior to the payment. All of the above payments shall be made only if the Company wishes to keep the option agreement in force and finally to exercise the option to purchase. In addition to the option payments, the Company agreed to pay a 1.5% royalty from net smelter returns (“NSR”) on the Quina Claim, which the Company can buy out for a one-time payment of $1,500,000 any time after acquiring 100% of the Quina Claim. Farellon Project, Exeter Claim On June 3, 2015, Polymet entered into an option agreement, made effective on June 15, 2015, with an unrelated party, to earn 100% interest in a mining exploration concession Exeter 1-54 (the “Exeter Claim”). In order to acquire 100% interest in the Exeter Claim, the Company is required to pay a total of $150,000 as outlined in the following schedule: Option Payment Upon execution of the option agreement (“Execution date”)(paid) $ 25,000 On or before May 12, 2016 (paid) 25,000 On or before May 12, 2017 25,000 On or before May 12, 2018 25,000 On or before May 12, 2019 50,000 Total $ 150,000 All of the above payments shall be made only if the Company wishes to keep the option agreement in force and finally to exercise the option to purchase. In addition to the option payments, the Company agreed to pay a 1.5% NSR royalty on the Exeter Claim, which the Company may buy out for a one-time payment of $750,000 any time after acquiring 100% of the Exeter Claim. Should the Company choose to mine the Exeter Claim prior to acquiring the option, the Company will be obligated to pay a minimum monthly royalty of $2,500 up to 5,000 tonnes, and a further $0.25 for every additional tonne mined.

Common Stock Disclosure

Common Stock Disclosure	12 Months Ended
	Jan. 31, 2017
Notes
Common Stock Disclosure	NOTE 5 - COMMON STOCK On December 8, 2016, the Company issued 357,143 shares of its common stock with a fair value of $25,000 as consideration for the third option payment to acquire an interest in the Quina Claim (Note 4). On December 15, 2015, the Company issued 833,333 shares of its common stock with a fair value of $25,000 as consideration for the second option payment to acquire an interest in the Quina Claim (Note 4). Warrants At January 31, 2017 and 2016, the Company did not have any warrants issued and exercisable. Options On February 28, 2014, the Company granted options to purchase up to 1,200,000 shares of its common stock to certain officers, directors, consultants and employees. The Company’s CEO, CFO, and Vice President of Exploration were each granted options to purchase up to 300,000 shares of the Company’s common stock. The options vested upon grant and were exercisable at $0.15. All options expired unexercised on February 28, 2016.

Income Taxes Disclosure

Income Taxes Disclosure	12 Months Ended
	Jan. 31, 2017
Notes
Income Taxes Disclosure	NOTE 6 - INCOME TAXES The provision for income taxes differs from the amount that would have resulted in applying the combined federal statutory tax rate as follows: January 31, 2017 January 31, 2016 Net loss $ (309,480) $ (512,288) Statutory income tax rate 34% 34% Expected in tax recovery at statutory income tax rates (105,000) (174,000) Permanent differences and other 42,000 -- Difference in foreign tax rates, foreign exchange, other -- 37,000 Adjustment to prior year provisions versus statutory tax returns (116,000) (235,000) Change in valuation allowance 179,000 372,000 Income tax recovery $ -- $ -- Temporary differences that give rise to the following deferred tax assets and liabilities at are: January 31, 2017 January 31, 2016 Deferred tax assets (liabilities) Federal loss carry forwards $ 1,179,000 $ 1,128,000 Foreign loss carry forwards 1,065,000 663,000 Mineral properties (199,000) 93,000 2,045,000 1,884,000 Valuation allowance (2,045,000) (1,884,000) $ -- $ -- The Company has approximately $3,470,000 of United States federal net operating loss carry forwards that may be offset against future taxable income. These losses expire between 2026 and 2036. The Company also has approximately $3,112,000 of Chilean tax losses. The Chilean tax losses can be carried forward indefinitely.

Subsequent Events Disclosure

Subsequent Events Disclosure	12 Months Ended
	Jan. 31, 2017
Notes
Subsequent Events Disclosure	NOTE 7 - SUBSEQUENT EVENT On February 28, 2017, the Company signed a letter of intent (“LOI”) with Power Americas Minerals Corp (“Power Americas”) to sell on the exercise of three separate options its interest in the Farellon, the Perth and the Mateo Properties (the “Properties”) (Note 4). Pursuant to the LOI, Power Americas can acquire 100% of Red Metal’s interest in the Properties in exchange for an aggregate consideration of twenty-five million common shares of Power Americas valued at a deemed price of $0.145 per common share and a one-time payment of USD$250,000 as follows: Option Option Payment Shares to be Issued Timing of Option Payments 1st option to acquire a 100% interest in the Farellon Property $ 250,000 10,000,000 5 days from the TSXV approval 2nd option to acquire a 100% interest in the Perth Property -- 10,000,000 (1) 6 months from the exercise of the 1st option 3rd option to acquire a 100% interest in the Mateo Property -- 5,000,000 (1) 6 months from the exercise of the 2nd option Total $ 250,000 25,000,000 1. These shares can be substituted for special warrants, which may be exercisable without further consideration into one common share in the capital of Power Americas at a deemed price of $0.145 per share. The completion of the transaction is subject to a number of conditions including, but not limited to, TSX Venture Exchange (the “TSXV”) approval.

Summary of Significant Accoun14

Summary of Significant Accounting Policies: Basis of Presentation (Policies)	12 Months Ended
	Jan. 31, 2017
Policies
Basis of Presentation	Basis of Presentation These consolidated financial statements and related notes are presented in accordance with US GAAP, and are expressed in United States dollars. The Company has not produced revenues from its principal business. These financial statements include the accounts of the Company and its subsidiary, Polymet. All intercompany transactions and balances have been eliminated.

Summary of Significant Accoun15

Summary of Significant Accounting Policies: Reclassifications Policy (Policies)	12 Months Ended
	Jan. 31, 2017
Policies
Reclassifications Policy	Reclassifications Certain comparative amounts in the accompanying consolidated financial statements have been reclassified to conform to the current year’s presentation. These reclassifications had no effect on the consolidated results of operations or financial position for any year presented.

Summary of Significant Accoun16

Summary of Significant Accounting Policies: Accounting Estimates (Policies)	12 Months Ended
	Jan. 31, 2017
Policies
Accounting Estimates	Accounting Estimates The preparation of financial statements in conformity with US GAAP requires management to make estimates and assumptions that affect certain of the reported amounts of assets and liabilities, disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the year. The Company regularly evaluates estimates and assumptions. The Company bases its estimates and assumptions on current facts, historical experience and various other factors 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. The most significant estimates with regard to these financial statements relate to carrying values of unproved mineral properties, asset retirement obligations, fair value of stock based transactions, and recognition of deferred tax assets or liabilities.

Summary of Significant Accoun17

Summary of Significant Accounting Policies: Fair Value of Financial Instruments (Policies)	12 Months Ended
	Jan. 31, 2017
Policies
Fair Value of Financial Instruments	Fair Value of Financial Instruments The carrying amounts reflected in the balance sheets for cash, prepaid and other receivables, accounts payable, accrued liabilities and amounts due to related parties approximate the respective fair values due to the short maturities of these items. The Company does not hold any investments that are available-for-sale. The fair value hierarchy under US GAAP is based on the following three levels of inputs, of which the first two are considered observable and the last unobservable: Level 1 Level 2 Level 3 The Company’s notes payable and notes payable to related parties are based on Level 2 inputs in the ASC 820 fair value hierarchy. The notes payable and notes payable to related parties accumulate interest at a rate of 8% per annum, which is a representative of current borrowing rates, as such the fair value of these instruments is equivalent to their carrying value.

Summary of Significant Accoun18

Summary of Significant Accounting Policies: Asset Retirement Obligations (Policies)	12 Months Ended
	Jan. 31, 2017
Policies
Asset Retirement Obligations	Asset Retirement Obligations The Company records the fair value of an asset retirement obligation as a liability in the period in which it incurs an obligation associated with the retirement of tangible long-lived assets that result from the acquisition, construction, development and/or normal use of the assets. The estimated fair value of the asset retirement obligation is based on the current cost escalated at an inflation rate and discounted at a credit adjusted risk-free rate. This liability is capitalized as part of the cost of the related asset and amortized over its useful life. The liability accretes until the Company settles the obligation. To date the Company has not incurred any asset retirement obligations.

Summary of Significant Accoun19

Summary of Significant Accounting Policies: Long Lived Assets Policy (Policies)	12 Months Ended
	Jan. 31, 2017
Policies
Long Lived Assets Policy	Long Lived Assets The carrying value of long-lived assets, other than mineral properties, is reviewed on a regular basis for the existence of facts or circumstances that may suggest impairment. The Company recognizes impairment when the sum of the expected undiscounted future cash flows is less than the carrying amount of the asset. Impairment losses, if any, are measured as the excess of the carrying amount of the asset over its estimated fair value.

Summary of Significant Accoun20

Summary of Significant Accounting Policies: Foreign Currency Translation and Transaction Policy (Policies)	12 Months Ended
	Jan. 31, 2017
Policies
Foreign Currency Translation and Transaction Policy	Foreign Currency Translation and Transaction The functional currency for the Company and the Company’s foreign subsidiary is the US dollar and the Chilean peso, respectively. The Company translates assets and liabilities to US dollars using year-end exchange rates and translates revenues and expenses using average exchange rates during the period. Exchange gains and losses arising from the translation of foreign entity financial statements are included as a component of other comprehensive income (loss). Transactions denominated in currencies other than the functional currency of the legal entity are re-measured to the functional currency of the legal entity at the year-end exchange rates. Any associated transactional currency re-measurement gains and losses are recognized in current operations.

Summary of Significant Accoun21

Summary of Significant Accounting Policies: Income Taxes Policy (Policies)	12 Months Ended
	Jan. 31, 2017
Policies
Income Taxes Policy	Income Taxes Income taxes are determined using the liability method. Deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of assets and liabilities and their respective tax basis. Deferred tax assets and liabilities are measured using the enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that includes that date of enactment. In addition, a valuation allowance is established to reduce any deferred tax asset for which it is determined that it is more likely than not that some portion of the deferred tax asset will not be realized. The Company accounts for uncertainty in income taxes by applying a two-step method. First, it evaluates whether a tax position has met a more likely than not recognition threshold, and second, it measures that tax position to determine the amount of benefit, if any, to be recognized in the financial statements. The application of this method did not have a material effect on the Company's financial statements.

Summary of Significant Accoun22

Summary of Significant Accounting Policies: Loss Per Share Policy (Policies)	12 Months Ended
	Jan. 31, 2017
Policies
Loss Per Share Policy	Loss per Share The Company presents both basic and diluted loss per share (“LPS”) on the face of the statements of operations. Basic LPS is computed by dividing net loss available to common shareholders by the weighted average number of shares outstanding during the year. Diluted LPS gives effect to all dilutive potential common shares outstanding during the period including convertible debt, stock options, and warrants, using the treasury stock method. Diluted LPS excludes all dilutive potential shares if their effect is anti-dilutive.

Summary of Significant Accoun23

Summary of Significant Accounting Policies: Mineral Properties Policy (Policies)	12 Months Ended
	Jan. 31, 2017
Policies
Mineral Properties Policy	Mineral Properties Acquisition costs (including option payments) and mineral property taxes are capitalized as mineral property costs. Mineral exploration costs are expensed as incurred until commercially mineable deposits are determined to exist within a particular property. Option payments are considered acquisition costs provided that the Company has the intention of exercising the underlying option. Property option agreements are exercisable entirely at the option of the optionee. Therefore, option payments (or recoveries) are recorded when payment is made (or received) and are not accrued. Mineral properties are tested for impairment if facts or circumstances indicate that impairment exists. Examples of such facts and circumstances are as follows: · · · · After technical feasibility and commercial viability of extracting a mineral resource are demonstrable the capitalized balance, net of any impairment recognized, is then reclassified to either tangible or intangible mine development assets according to the nature of the asset. Although the Company has taken steps that it considers adequate to verify title to mineral properties which it has an interest, these procedures do not guarantee the Company’s title. Title to mineral properties in foreign jurisdictions is subject to uncertainty and consequently, such properties may be subject to prior undetected agreements or transfers and title may be affected by such instances.

Summary of Significant Accoun24

Summary of Significant Accounting Policies: Equipment Policy (Policies)	12 Months Ended
	Jan. 31, 2017
Policies
Equipment Policy	Equipment Equipment is recorded at cost and is being amortized over its estimated useful lives using the declining balance method at 30% per year.

Summary of Significant Accoun25

Summary of Significant Accounting Policies: Royalty Income Policy (Policies)	12 Months Ended
	Jan. 31, 2017
Policies
Royalty Income Policy	Royalty Income Royalty payments received from authorized contractors are recognized when the risks and rewards of ownership to delivered concentrate pass to the buyer and collection is reasonably assured.

Summary of Significant Accoun26

Summary of Significant Accounting Policies: Stock Options and Other Share-based Compensation Policy (Policies)	12 Months Ended
	Jan. 31, 2017
Policies
Stock Options and Other Share-based Compensation Policy	Stock Options and Other Share-Based Compensation For equity awards, such as stock options, total compensation cost is based on the grant date fair value and for liability awards, such as stock appreciation rights, total compensation cost is based on the settlement value. The Company recognizes stock-based compensation expense for all awards over the service period required to earn the award, which is the shorter of the vesting period or the time period an employee becomes eligible to retain the award at retirement, adjusted for the expected rate of forfeiture of the equity awards granted.

Summary of Significant Accoun27

Summary of Significant Accounting Policies: Recently Adopted Accounting Guidance (Policies)	12 Months Ended
	Jan. 31, 2017
Policies
Recently Adopted Accounting Guidance	Recently Adopted Accounting Guidance Recent accounting pronouncements issued by the Financial Accounting Standards Board or other authoritative standards groups with future effective dates are either not applicable or are not expected to be significant to the financial statements of the Company.

Related-party Transactions Di28

Related-party Transactions Disclosure: Schedule of Related Party Transactions (Tables)	12 Months Ended
	Jan. 31, 2017
Tables/Schedules
Schedule of Related Party Transactions	January 31, 2017 January 31, 2016 Due to a company owned by an officer (a) $ 629,032 $ 553,991 Due to a company controlled by directors (b) 338,398 299,761 Due to a company controlled by a major shareholder (a) 68,563 51,201 Due to a major shareholder (a) 37,022 33,631 Total due to related parties $ 1,073,015 $ 938,584 Note payable to the Chief Executive Officer (“CEO”) (c) $ 312,797 $ 257,081 Note payable to the Chief Financial Officer (“CFO”) (c) 12,672 11,698 Note payable to a major shareholder (c) 470,646 301,360 Note payable to a company controlled by directors (c) 136,970 117,016 Total notes payable to related parties $ 933,085 $ 687,155 (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%.

Related-party Transactions Di29

Related-party Transactions Disclosure: Schedule of Transactions with Related Parties (Tables)	12 Months Ended
	Jan. 31, 2017
Tables/Schedules
Schedule of Transactions with Related Parties	January 31, 2017 January 31, 2016 Consulting fees paid or accrued to a company owned by the CFO $ 60,000 $ 120,000 Rent fees paid or accrued to a company controlled by a major shareholder $ 9,838 $ 9,969

Unproved Mineral Properties D30

Unproved Mineral Properties Disclosure: Schedule of Unproved Propertiies (Tables)	12 Months Ended
	Jan. 31, 2017
Tables/Schedules
Schedule of Unproved Propertiies	Mineral Claims at January 31, 2017 January 31, 2016 Additions/ Payments Property Taxes Paid/ Accrued Effect of foreign currency translation January 31, 2017 Farellon Project Farellon Alto 1-8(1) $ 371,811 $ -- $ 3,307 $ 37,664 $ 412,782 Quina 48,160 25,000 1,683 5,472 80,315 Exeter 26,208 25,000 1,576 4,381 57,165 446,179 50,000 6,566 47,517 550,262 Perth Project 14,360 3,793 15,103 2,332 35,588 Total Costs $ 460,539 $ 53,793 $ 21,669 $ 49,849 $ 585,850 (1) During the year ended January 31, 2017, the Company received $29,890 in royalty payments from minerals extracted during the small scale mining operations that were carried out by a third-party; these payments were recorded as net royalty income. During the same period the Company paid $16,535 in royalty payments to the original vendor of the Farellon Alto 1-8. Mineral Claims at January 31, 2016 January 31, 2015 Additions/ Payments Write- down Effect of foreign currency translation January 31, 2016 Farellon Project Farellon Alto 1-8(1) $ 416,430 $ 1,504 $ -- $ (46,123) $ 371,811 Cecil 41,729 1,597 (43,326) -- -- Quina 24,409 26,759 -- (3,008) 48,160 Exeter -- 29,500 -- (3,292) 26,208 482,568 59,360 (43,326) (52,423) 446,179 Perth Project -- 16,412 -- (2,052) 14,360 Mateo Project Margarita 20,107 392 (20,499) -- -- Che (2) 21,343 532 (21,875) -- -- Irene 36,213 420 (36,633) -- -- Mateo 80,422 10,157 (90,579) -- -- 158,085 11,501 (169,586) -- -- Total Costs $ 640,653 $ 87,273 $ (212,912) $ (54,475) $ 460,539 (1) During the year ended January 31, 2016, the Company received $26,451 in payments from minerals extracted during the small scale mining operations that were carried out by a third-party; these payments were recorded as net royalty income. During the same period the Company paid $17,334 in royalty payments to the original vendor of the Farellon Alto 1-8. (2) The claims are subject to a 1% royalty on the net sales of minerals extracted from the property. The royalty payments will be due monthly once exploration begins and are not subject to minimum payments.

Unproved Mineral Properties D31

Unproved Mineral Properties Disclosure: Schedule of Option Agreement Commitments, Quina Claim (Tables)	12 Months Ended
	Jan. 31, 2017
Tables/Schedules
Schedule of Option Agreement Commitments, Quina Claim	Date Option Payment Shares Issued Upon execution of the option agreement (“Execution date”) (paid) $ 25,000 500,000 12 months subsequent to the Execution date (paid) 25,000 833,333 24 months subsequent to the Execution date (paid) 25,000 357,143 36 months subsequent to the Execution date 25,000 n/a 48 months subsequent to the Execution date 50,000 n/a Total $ 150,000 1,690,476

Unproved Mineral Properties D32

Unproved Mineral Properties Disclosure: Schedule of Option Agreement Commitments, Exeter Claim (Tables)	12 Months Ended
	Jan. 31, 2017
Tables/Schedules
Schedule of Option Agreement Commitments, Exeter Claim	Option Payment Upon execution of the option agreement (“Execution date”)(paid) $ 25,000 On or before May 12, 2016 (paid) 25,000 On or before May 12, 2017 25,000 On or before May 12, 2018 25,000 On or before May 12, 2019 50,000 Total $ 150,000

Income Taxes Disclosure_ Schedu

Income Taxes Disclosure: Schedule of Components of Income Tax Expense (Benefit) (Tables)	12 Months Ended
	Jan. 31, 2017
Tables/Schedules
Schedule of Components of Income Tax Expense (Benefit)	January 31, 2017 January 31, 2016 Net loss $ (309,480) $ (512,288) Statutory income tax rate 34% 34% Expected in tax recovery at statutory income tax rates (105,000) (174,000) Permanent differences and other 42,000 -- Difference in foreign tax rates, foreign exchange, other -- 37,000 Adjustment to prior year provisions versus statutory tax returns (116,000) (235,000) Change in valuation allowance 179,000 372,000 Income tax recovery $ -- $ --

Income Taxes Disclosure_ Sche34

Income Taxes Disclosure: Schedule of Deferred Tax Assets and Liabilities (Tables)	12 Months Ended
	Jan. 31, 2017
Tables/Schedules
Schedule of Deferred Tax Assets and Liabilities	January 31, 2017 January 31, 2016 Deferred tax assets (liabilities) Federal loss carry forwards $ 1,179,000 $ 1,128,000 Foreign loss carry forwards 1,065,000 663,000 Mineral properties (199,000) 93,000 2,045,000 1,884,000 Valuation allowance (2,045,000) (1,884,000) $ -- $ --

Subsequent Events Disclosure_ S

Subsequent Events Disclosure: Schedule of Subsequent Events (Tables)	12 Months Ended
	Jan. 31, 2017
Tables/Schedules
Schedule of Subsequent Events	Option Option Payment Shares to be Issued Timing of Option Payments 1st option to acquire a 100% interest in the Farellon Property $ 250,000 10,000,000 5 days from the TSXV approval 2nd option to acquire a 100% interest in the Perth Property -- 10,000,000 (1) 6 months from the exercise of the 1st option 3rd option to acquire a 100% interest in the Mateo Property -- 5,000,000 (1) 6 months from the exercise of the 2nd option Total $ 250,000 25,000,000 1. These shares can be substituted for special warrants, which may be exercisable without further consideration into one common share in the capital of Power Americas at a deemed price of $0.145 per share.

Organization and Basis of Pre36

Organization and Basis of Presentation (Details) - USD ($)	Jan. 31, 2017	Jan. 31, 2016	Aug. 21, 2007
Details
Business acquisition, interest acquired			99.00%
Deficit	$ 8,835,401	$ 8,525,921

Related-party Transactions Di37

Related-party Transactions Disclosure: Schedule of Related Party Transactions (Details) - USD ($)	Jan. 31, 2017	Jan. 31, 2016
Due to related party	$ 1,073,015	$ 938,584
Notes payable to related party	933,085	687,155
Company Owned by Officer
Due to related party	629,032	553,991
Company Controlled by Directors
Due to related party	338,398	299,761
Notes payable to related party	136,970	117,016
Company Controlled by Major Shareholder
Due to related party	68,563	51,201
Majority Shareholder
Due to related party	37,022	33,631
Notes payable to related party	470,646	301,360
CEO
Notes payable to related party	312,797	257,081
CFO
Notes payable to related party	$ 12,672	$ 11,698

Related-party Transactions Di38

Related-party Transactions Disclosure (Details) - USD ($)	12 Months Ended
	Jan. 31, 2017	Jan. 31, 2016
Notes payable to related parties
Interest expense accrued with related parties	$ 65,563	$ 51,069
Trade accounts payable with related parties
Interest expense accrued with related parties	$ 14,329	$ 14,522

Related-party Transactions Di39

Related-party Transactions Disclosure: Schedule of Transactions with Related Parties (Details) - USD ($)	12 Months Ended
	Jan. 31, 2017	Jan. 31, 2016
Consulting fees paid or accrued, Company Owned by the CFO
Related Party Transaction, Amounts of Transaction	$ 60,000	$ 120,000
Rent fees paid or accrued, Company Controlled by Major Shareholder
Related Party Transaction, Amounts of Transaction	$ 9,838	$ 9,969

Unproved Mineral Properties D40

Unproved Mineral Properties Disclosure: Schedule of Unproved Propertiies (Details) - USD ($)	12 Months Ended
	Jan. 31, 2017	Jan. 31, 2016	Jan. 31, 2015
Mineral claims, balance	$ 585,850	$ 460,539	$ 640,653
Mineral claims, additions/payments	53,793	87,273
Property taxes paid/accrued	21,669
Mineral claims, effect of foreign currency translation	49,849	(54,475)
Royalty payments received	29,890	26,451
Royalty fees paid	16,535	17,334
Mineral claims, write-down		(212,912)
Farellon Project
Mineral claims, balance	550,262	446,179	482,568
Mineral claims, additions/payments	50,000	59,360
Property taxes paid/accrued	6,566
Mineral claims, effect of foreign currency translation	47,517	(52,423)
Mineral claims, write-down		(43,326)
Perth Project
Mineral claims, balance	35,588	14,360
Mineral claims, additions/payments	3,793	16,412
Property taxes paid/accrued	15,103
Mineral claims, effect of foreign currency translation	$ 2,332	(2,052)
Mateo Project
Mineral claims, balance			$ 158,085
Mineral claims, additions/payments		11,501
Mineral claims, write-down		$ (169,586)

Unproved Mineral Properties D41

Unproved Mineral Properties Disclosure: Schedule of Option Agreement Commitments, Quina Claim (Details) - USD ($)	12 Months Ended
	Jan. 31, 2017	Jan. 31, 2016	Jan. 31, 2015
Quina Claim
Common stock issued for mineral properties	357,143	833,333	500,000
Upon Execution - Quina Claim
Option Payments Paid			$ 25,000
12 Months Subsequent To The Execution Date
Option Payments Paid		$ 25,000
24 Months Subsequent To The Execution Date
Option Payments Paid	$ 25,000
36 Months Subsequent To The Execution Date
Option Payments Due	25,000
48 Months Subsequent To The Execution Date
Option Payments Due	$ 50,000

Unproved Mineral Properties D42

Unproved Mineral Properties Disclosure: Schedule of Option Agreement Commitments, Exeter Claim (Details) - USD ($)	12 Months Ended
	Jan. 31, 2017	Jan. 31, 2016
Upon Execution - Exeter Claim
Option Payments Paid		$ 25,000
On or before May 12, 2016
Option Payments Paid	$ 25,000
On or before May 12, 2017
Option Payments Due	25,000
On or before May 12, 2018
Option Payments Due	25,000
On or before May 12, 2019
Option Payments Due	$ 50,000

Common Stock Disclosure (Detail

Common Stock Disclosure (Details) - USD ($)	12 Months Ended
	Jan. 31, 2017	Jan. 31, 2016	Jan. 31, 2015
Fair value of stock offered as consideration	$ 25,000	$ 25,000
Options granted			1,200,000
Weighted average exercise price of options outstanding		$ 0.15
Quina Claim
Common stock issued for mineral properties	357,143	833,333	500,000
Fair value of stock offered as consideration	$ 25,000	$ 25,000

Income Taxes Disclosure_ Sche44

Income Taxes Disclosure: Schedule of Components of Income Tax Expense (Benefit) (Details) - USD ($)	12 Months Ended
	Jan. 31, 2017	Jan. 31, 2016
Details
Net loss	$ (309,480)	$ (512,288)
Statutory income tax rate	0.3400	0.3400
Expected in tax recovery at statutory income tax rates	(105,000)	(174,000)
Permanent differences and other	42,000
Difference in foreign tax rates		37,000
Adjustment to prior year provisions versus statutory tax returns	(116,000)	(235,000)
Change in valuation allowance	$ 179,000	$ 372,000

Income Taxes Disclosure_ Sche45

Income Taxes Disclosure: Schedule of Deferred Tax Assets and Liabilities (Details) - USD ($)	Jan. 31, 2017	Jan. 31, 2016
Details
Federal loss carryforwards	$ 1,179,000	$ 1,128,000
Foreign loss carryforwards	1,065,000	663,000
Mineral properties deferred tax assets (liabilities)	(199,000)	93,000
Deferred tax assets, gross	2,045,000	1,884,000
Valuation allowance	$ (2,045,000)	$ (1,884,000)

Income Taxes Disclosure (Detail

Income Taxes Disclosure (Details)	Jan. 31, 2017USD ($)
Details
Federal net operating loss carry forwards	$ 3,470,000
Chilean tax losses carried forward	$ 3,112,000

Subsequent Events Disclosure_47

Subsequent Events Disclosure: Schedule of Subsequent Events (Details)	Feb. 28, 2017USD ($)shares
Details
Consideration agreed upon | $	$ 250,000
Shares to be Issued | shares	25,000,000