Document and Entity Information
Document and Entity Information - shares | 3 Months Ended | |
Apr. 30, 2018 | Jun. 14, 2018 | |
Document and Entity Information: | ||
Entity Registrant Name | RED METAL RESOURCES, LTD. | |
Document Type | 10-Q | |
Document Period End Date | Apr. 30, 2018 | |
Amendment Flag | false | |
Entity Central Index Key | 1,358,654 | |
Current Fiscal Year End Date | --01-31 | |
Entity Common Stock, Shares Outstanding | 37,504,588 | |
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 | 2,019 | |
Document Fiscal Period Focus | Q1 | |
Trading Symbol | rmes |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) | Apr. 30, 2018 | Jan. 31, 2018 |
Current Assets | ||
Cash | $ 148,702 | $ 2,392 |
Prepaids and other receivables | 7,812 | 7,034 |
Total Current Assets | 156,514 | 9,426 |
Equipment | 1,818 | 1,966 |
Unproved mineral properties | 714,772 | 694,616 |
Total Assets | 873,104 | 706,008 |
Current Liabilities | ||
Accounts payable | 391,005 | 387,961 |
Accrued liabilities | 185,208 | 179,239 |
Due to related parties | 1,196,305 | 1,196,798 |
Notes payable | 35,043 | 34,384 |
Notes payable to related parties | 1,229,511 | 1,218,375 |
Total Current Liabilities | 3,037,072 | 3,016,757 |
Total Liabilities | 3,037,072 | 3,016,757 |
Stockholders' Equity | ||
Common stock value | 37,504 | 35,004 |
Additional paid-in capital | 6,988,833 | 6,803,833 |
Deficit | (9,223,092) | (9,129,238) |
Accumulated other comprehensive income (loss) | 32,787 | (20,348) |
Total Stockholders' Equity (Deficit) | (2,163,968) | (2,310,749) |
Total Liabilities and Stockholders' Equity (Deficit) | $ 873,104 | $ 706,008 |
Balance Sheets (Parenthetical)
Balance Sheets (Parenthetical) - $ / shares | Apr. 30, 2018 | Jan. 31, 2018 |
Balance Sheet | ||
Common stock, par value | $ 0.001 | $ 0.001 |
Common stock, shares authorized | 500,000,000 | 500,000,000 |
Common stock, shares issued | 37,504,588 | 35,004,588 |
Common stock, shares outstanding | 37,504,588 | 35,004,588 |
Consolidated Statements of Oper
Consolidated Statements of Operations - USD ($) | 3 Months Ended | |
Apr. 30, 2018 | Apr. 30, 2017 | |
Operating expenses | ||
Amortization | $ 145 | $ 182 |
Consulting fees | 15,000 | 15,000 |
General and administrative | 11,757 | 16,299 |
Mineral exploration costs | 10,530 | 444 |
Professional fees | 7,619 | 1,025 |
Rent | 2,749 | 2,525 |
Regulatory | 2,652 | 1,127 |
Salaries, wages and benefits | 19,109 | 17,573 |
Total operating expenses | 69,561 | 54,175 |
Other items | ||
Foreign exchange gain (loss) | 3,641 | 4 |
Interest expense on current debt | 27,934 | 22,582 |
Net royalty income (loss) | 493 | |
Net loss | (93,854) | (76,260) |
Unrealized foreign exchange gain (loss) | 53,135 | 41,399 |
Comprehensive income (loss) | $ (40,719) | $ (34,861) |
Net loss per share - basic and diluted | $ 0 | $ 0 |
Weighted average number of shares outstanding - basic and diluted | 35,285,487 | 34,647,445 |
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, 2017 | 34,647,445 | ||||
Beginning Balance, amount at Jan. 31, 2017 | $ 34,647 | $ 6,779,190 | $ (8,835,401) | $ 26,153 | $ (1,995,411) |
Foreign exchange translation | 41,399 | 41,399 | |||
Net income (loss) for the period | (76,260) | (76,260) | |||
Ending Balance, shares at Apr. 30, 2017 | 34,647,445 | ||||
Ending Balance, amount at Apr. 30, 2017 | $ 34,647 | 6,779,190 | (8,911,661) | 67,552 | (2,030,272) |
Stock issued for mineral property, shares | 357,143 | ||||
Stock issued for mineral property, value | $ 357 | 24,643 | 25,000 | ||
Foreign exchange translation | (87,900) | (87,900) | |||
Net income (loss) for the period | (217,577) | (217,577) | |||
Ending Balance, shares at Jan. 31, 2018 | 35,004,588 | ||||
Ending Balance, amount at Jan. 31, 2018 | $ 35,004 | 6,803,833 | (9,129,238) | (20,348) | (2,310,749) |
Stock issued for cash, shares | 2,500,000 | ||||
Stock issued for cash, value | $ 2,500 | 185,000 | 187,500 | ||
Foreign exchange translation | 53,135 | 53,135 | |||
Net income (loss) for the period | (93,854) | (93,854) | |||
Ending Balance, shares at Apr. 30, 2018 | 37,504,588 | ||||
Ending Balance, amount at Apr. 30, 2018 | $ 37,504 | $ 6,988,833 | $ (9,223,092) | $ 32,787 | $ (2,163,968) |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) | 3 Months Ended | |
Apr. 30, 2018 | Apr. 30, 2017 | |
Cash Flows used in Operating Activities | ||
Net loss | $ (93,854) | $ (76,260) |
Adjustment to reconcile net loss to net cash used in operating activities: | ||
Accrued interest on related party notes payable | 23,547 | 18,310 |
Accrued interest on related party payables | 3,611 | 3,458 |
Accrued interest on notes payable | 741 | 791 |
Amortization | 145 | 182 |
Changes in operating assets and liabilities: | ||
Prepaids and other receivables | (791) | (4,595) |
Accounts payable | 4,272 | 11,612 |
Accrued liabilities | 6,223 | 3,212 |
Due to related parties | 17,749 | 17,525 |
Net cash used in operating activities | (38,357) | (25,765) |
Cash Flows from Investing Activities | ||
Acquisition of unproved mineral properties | 21,677 | 3,008 |
Net cash provided by (used in) investing activities | (21,677) | (3,008) |
Cash Flows from Financing Activities | ||
Cash received on issuance of notes payable to related party | 16,932 | 29,032 |
Cash received on issuance of common stock | 187,500 | |
Net cash provided by financing activities | 204,432 | 29,032 |
Effect of foreign currency exchange | 1,912 | (492) |
Increase (decrease) in cash | 146,310 | (233) |
Cash, beginning of period | 2,392 | 7,679 |
Cash, end of period | 148,702 | 7,446 |
Supplemental Disclosure of Cash Flow Information: | ||
Income tax | ||
Interest |
Organization and Basis of Prese
Organization and Basis of Presentation | 3 Months Ended |
Apr. 30, 2018 | |
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. Unaudited Interim Consolidated Financial Statements The unaudited interim consolidated financial statements of the Company have been prepared in accordance with the 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, 2018, included in the Companys Annual Report on Form 10-K, filed with the SEC. The unaudited interim consolidated 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 months ended April 30, 2018, are not necessarily indicative of the results that may be expected for the year ending January 31, 2019. |
Related-Party Transactions Disc
Related-Party Transactions Disclosure | 3 Months Ended |
Apr. 30, 2018 | |
Notes | |
Related-Party Transactions Disclosure | NOTE 2 - RELATED-PARTY TRANSACTIONS The following amounts were due to related parties as at: April 30, 2018 January 31, 2018 Due to a company owned by an officer (a) $ 706,911 $ 699,882 Due to a company controlled by directors (b) 361,374 371,303 Due to a company controlled by a major shareholder (a) 88,399 85,906 Due to a major shareholder (a) 39,621 39,707 Total due to related parties $ 1,196,305 $ 1,196,798 Note payable to the Chief Executive Officer (CEO) (c) $ 486,948 $ 478,355 Note payable to the Chief Financial Officer (CFO) (c) 13,993 13,724 Note payable to a major shareholder (c) 575,034 569,064 Note payable to a company controlled by directors (c) 153,536 157,232 Total notes payable to related parties $ 1,229,511 $ 1,218,375 (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-month period ended April 30, 2018, the Company accrued $23,547 (April 30, 2017 - $18,310) in interest expense on the notes payable to related parties and $3,611 (April 30, 2017 - $3,458) in interest expense on trade accounts payable with related parties. Transactions with Related Parties During the three-month periods ended April 30, 2018 and 2017, the Company incurred the following expenses with related parties: April 30, 2018 April 30, 2017 Consulting fees paid or accrued to a company owned by the CFO $ 15,000 $ 15,000 Rent fees paid or accrued to a company controlled by a major shareholder $ 2,749 $ 2,525 |
Unproved Mineral Properties Dis
Unproved Mineral Properties Disclosure | 3 Months Ended |
Apr. 30, 2018 | |
Notes | |
Unproved Mineral Properties Disclosure | NOTE 3 - UNPROVED MINERAL PROPERTIES Following are the schedules of the Companys unproved mineral properties as at April 30, 2018: Mineral Claims January 31, 2018 Property Taxes Paid Effect of foreign currency translation April 30, 2018 Farellon Project Farellon Alto 1-8 $ 443,027 $ 10,635 $ (964) $ 452,698 Quina 117,145 1,962 (258) 118,849 Exeter 92,741 1,837 (204) 94,374 652,913 14,434 (1,426) 665,921 Perth Project 41,703 7,243 (95) 48,851 Total Costs $ 694,616 $ 21,677 $ (1,521) $ 714,772 |
Common Stock Disclosure
Common Stock Disclosure | 3 Months Ended |
Apr. 30, 2018 | |
Notes | |
Common Stock Disclosure | NOTE 4 - COMMON STOCK On April 20, 2018, the Company issued 2,500,000 units of the Companys common stock at a price of $0.075 per unit for total proceeds of $187,500. Each unit consisted of one common share of the Company and one share purchase warrant entitling a holder to purchase one additional common share for a period of two years after closing at an exercise price of $0.1875 per share. The Company may accelerate the expiration date of the warrants if the daily volume weighted average share price of the Companys common shares equals to or is greater than CAD$0.30 as posted on Canadian Securities Exchange, or USD$0.225 as posted on OTC Link alternative trading system (or such other stock exchange as the Companys common shares are then trading on) for ten consecutive trading days. Warrants At April 30, 2018, the Company had 2,500,000 warrants issued and exercisable. Each warrant entitles its holder to purchase one common share for a period of two years expiring on April 20, 2020, at an exercise price of $0.1875 per share, subject to acceleration clause as described above. |
Subsequent Events Disclosure
Subsequent Events Disclosure | 3 Months Ended |
Apr. 30, 2018 | |
Notes | |
Subsequent Events Disclosure | NOTE 5 - SUBSEQUENT EVENT Subsequent to April 30, 2018, the Company made the fourth $25,000 option payment to Minera Stamford S.A. pursuant to the option agreement to acquire a 100% interest in the Exeter Claim. |
Related-Party Transactions Di12
Related-Party Transactions Disclosure: Schedule of Related Party Transactions (Tables) | 3 Months Ended |
Apr. 30, 2018 | |
Tables/Schedules | |
Schedule of Related Party Transactions | April 30, 2018 January 31, 2018 Due to a company owned by an officer (a) $ 706,911 $ 699,882 Due to a company controlled by directors (b) 361,374 371,303 Due to a company controlled by a major shareholder (a) 88,399 85,906 Due to a major shareholder (a) 39,621 39,707 Total due to related parties $ 1,196,305 $ 1,196,798 Note payable to the Chief Executive Officer (CEO) (c) $ 486,948 $ 478,355 Note payable to the Chief Financial Officer (CFO) (c) 13,993 13,724 Note payable to a major shareholder (c) 575,034 569,064 Note payable to a company controlled by directors (c) 153,536 157,232 Total notes payable to related parties $ 1,229,511 $ 1,218,375 (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 Di13
Related-Party Transactions Disclosure: Schedule of Transactions with Related Parties (Tables) | 3 Months Ended |
Apr. 30, 2018 | |
Tables/Schedules | |
Schedule of Transactions with Related Parties | April 30, 2018 April 30, 2017 Consulting fees paid or accrued to a company owned by the CFO $ 15,000 $ 15,000 Rent fees paid or accrued to a company controlled by a major shareholder $ 2,749 $ 2,525 |
Unproved Mineral Properties D14
Unproved Mineral Properties Disclosure: Schedule of Unproved Propertiies (Tables) | 3 Months Ended |
Apr. 30, 2018 | |
Tables/Schedules | |
Schedule of Unproved Propertiies | Mineral Claims January 31, 2018 Property Taxes Paid Effect of foreign currency translation April 30, 2018 Farellon Project Farellon Alto 1-8 $ 443,027 $ 10,635 $ (964) $ 452,698 Quina 117,145 1,962 (258) 118,849 Exeter 92,741 1,837 (204) 94,374 652,913 14,434 (1,426) 665,921 Perth Project 41,703 7,243 (95) 48,851 Total Costs $ 694,616 $ 21,677 $ (1,521) $ 714,772 |
Organization and Basis of Pre15
Organization and Basis of Presentation (Details) | Aug. 21, 2007 |
Details | |
Business acquisition, interest acquired | 99.00% |
Related-Party Transactions Di16
Related-Party Transactions Disclosure: Schedule of Related Party Transactions (Details) - USD ($) | Apr. 30, 2018 | Jan. 31, 2018 |
Due to related party | $ 1,196,305 | $ 1,196,798 |
Notes payable to related party | 1,229,511 | 1,218,375 |
Company Owned by Officer | ||
Due to related party | 706,911 | 699,882 |
Company Controlled by Directors | ||
Due to related party | 361,374 | 371,303 |
Notes payable to related party | 153,536 | 157,232 |
Company Controlled by Major Shareholder | ||
Due to related party | 88,399 | 85,906 |
Majority Shareholder | ||
Due to related party | 39,621 | 39,707 |
Notes payable to related party | 575,034 | 569,064 |
CEO | ||
Notes payable to related party | 486,948 | 478,355 |
CFO | ||
Notes payable to related party | $ 13,993 | $ 13,724 |
Related-Party Transactions Di17
Related-Party Transactions Disclosure (Details) - USD ($) | 3 Months Ended | |
Apr. 30, 2018 | Apr. 30, 2017 | |
Notes payable to related parties | ||
Interest accrued with related parties | $ 23,547 | $ 18,310 |
Trade accounts payable with related parties | ||
Interest accrued with related parties | $ 3,611 | $ 3,458 |
Related-Party Transactions Di18
Related-Party Transactions Disclosure: Schedule of Transactions with Related Parties (Details) - USD ($) | 3 Months Ended | |
Apr. 30, 2018 | Apr. 30, 2017 | |
Consulting fees paid or accrued, Company Owned by the CFO | ||
Related Party Transaction, Amounts of Transaction | $ 15,000 | $ 15,000 |
Rent fees paid or accrued, Company Controlled by Major Shareholder | ||
Related Party Transaction, Amounts of Transaction | $ 2,749 | $ 2,525 |
Unproved Mineral Properties D19
Unproved Mineral Properties Disclosure: Schedule of Unproved Propertiies (Details) - USD ($) | 3 Months Ended | |
Apr. 30, 2018 | Jan. 31, 2018 | |
Mineral claims, balance | $ 714,772 | $ 694,616 |
Property taxes paid/accrued | 21,677 | |
Mineral claims, effect of foreign currency translation | (1,521) | |
Farellon Project | ||
Mineral claims, balance | 665,921 | 652,913 |
Property taxes paid/accrued | 14,434 | |
Mineral claims, effect of foreign currency translation | (1,426) | |
Perth Project | ||
Mineral claims, balance | 48,851 | $ 41,703 |
Property taxes paid/accrued | 7,243 | |
Mineral claims, effect of foreign currency translation | $ (95) |
Common Stock Disclosure (Detail
Common Stock Disclosure (Details) | 3 Months Ended |
Apr. 30, 2018USD ($)$ / sharesshares | |
Common stock issued for cash, proceeds | $ | $ 187,500 |
Description of units sold | Each unit consisted of one common share of the Company and one share purchase warrant entitling a holder to purchase one additional common share for a period of two years after closing at an exercise price |
Exercise price per warrant | $ / shares | $ 0.1875 |
Common stock issued with units for cash | |
Shares of common stock issued | shares | 2,500,000 |
Price per Stock sold | $ / shares | $ 0.075 |
Common stock issued for cash, proceeds | $ | $ 187,500 |
Subsequent Events Disclosure (D
Subsequent Events Disclosure (Details) - USD ($) | 1 Months Ended | 3 Months Ended | |
Jun. 12, 2018 | Apr. 30, 2018 | Apr. 30, 2017 | |
Payments to acquire mineral properties | $ 21,677 | $ 3,008 | |
Pursuant to the option agreement to acquire a 100% interest in the Exeter Claim | |||
Payments to acquire mineral properties | $ 25,000 |