Document And Entity Information
Document And Entity Information - USD ($) | 3 Months Ended | |
Jul. 31, 2017 | Sep. 11, 2017 | |
Document and Entity Information [Abstract] | ||
Entity Registrant Name | Star Gold Corp. | |
Document Type | 10-Q | |
Current Fiscal Year End Date | --04-30 | |
Entity Common Stock, Shares Outstanding | 54,836,726 | |
Entity Public Float | $ 0 | |
Amendment Flag | false | |
Entity Central Index Key | 1,401,835 | |
Entity Current Reporting Status | Yes | |
Entity Voluntary Filers | No | |
Entity Filer Category | Smaller Reporting Company | |
Entity Well-known Seasoned Issuer | No | |
Document Period End Date | Jul. 31, 2017 | |
Document Fiscal Year Focus | 2,017 | |
Document Fiscal Period Focus | Q1 |
BALANCE SHEETS
BALANCE SHEETS - USD ($) | Jul. 31, 2017 | Apr. 30, 2017 |
CURRENT ASSETS: | ||
Cash and cash equivalents | $ 28,578 | $ 109,380 |
Other current assets (NOTE 4) | 15,500 | 15,437 |
TOTAL CURRENT ASSETS | 44,078 | 124,817 |
EQUIPMENT AND MINING INTEREST, net (NOTE 3) | 372,874 | 360,874 |
OTHER ASSETS – NON-CURRENT (NOTE 4) | 9,444 | 11,111 |
RESTRICTED CASH | 21,600 | 21,600 |
TOTAL ASSETS | 447,996 | 518,402 |
CURRENT LIABILITIES: | ||
Accounts payable | 114,894 | 53,052 |
TOTAL CURRENT LIABILITIES | 114,894 | 53,052 |
LONG TERM LIABILITIES: | ||
Deposits on stock subscriptions (NOTE 7) | 13,200 | |
TOTAL LONG-TERM LIABILITIES | 13,200 | |
TOTAL LIABILITIES | 128,094 | 53,052 |
STOCKHOLDERS' EQUITY | ||
Common Stock, $0.001 par value; 300,000,000 shares authorized; 54,836,726 shares issued and outstanding | 54,837 | 54,837 |
Additional paid-in capital | 10,350,403 | 10,350,403 |
Accumulated deficit | (10,085,338) | (9,939,890) |
TOTAL STOCKHOLDERS' EQUITY | 319,902 | 465,350 |
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY | $ 447,996 | $ 518,402 |
BALANCE SHEETS (Parentheticals)
BALANCE SHEETS (Parentheticals) - $ / shares | Jul. 31, 2017 | Apr. 30, 2017 |
Preferred stock par value (in Dollars per share) | $ 0.001 | $ 0.001 |
Preferred stock, shares authorized | 10,000,000 | 10,000,000 |
Preferred stock, shares issued | 0 | 0 |
Preferred stock, shares outstanding | 0 | 0 |
Common stock par value (in Dollars per share) | $ 0.001 | $ 0.001 |
Common stock, shares authorized | 300,000,000 | 300,000,000 |
Common stock, shares issued | 54,836,726 | 54,836,726 |
Common stock, shares outstanding | 54,836,726 | 54,836,726 |
STATEMENTS OF OPERATIONS (UNAUD
STATEMENTS OF OPERATIONS (UNAUDITED) - USD ($) | 3 Months Ended | |
Jul. 31, 2017 | Jul. 31, 2016 | |
OPERATING EXPENSE | ||
Mineral exploration expense | $ 66,976 | $ 100,797 |
Legal and professional fees | 38,232 | 28,774 |
Management and administrative | 40,070 | 26,835 |
Depreciation | 1,350 | |
TOTAL OPERATING EXPENSES | 145,278 | 157,756 |
LOSS FROM OPERATIONS | (145,278) | (157,756) |
OTHER INCOME (EXPENSE) | ||
Interest expense | (187) | (154) |
Interest expense, related party | (1,656) | |
Interest income | 17 | |
TOTAL OTHER INCOME (EXPENSE) | (170) | (1,810) |
NET LOSS | $ (145,448) | $ (159,566) |
Basic and diluted loss per share (in Dollars per share) | $ 0 | $ 0 |
Basic and diluted weighted average number shares outstanding (in Shares) | 54,836,726 | 40,836,726 |
STATEMENTS OF CASH FLOWS (UNAUD
STATEMENTS OF CASH FLOWS (UNAUDITED) - USD ($) | 15 Months Ended | |
Jul. 31, 2017 | Jul. 31, 2016 | |
CASH FLOWS FROM OPERATING ACTIVITIES: | ||
Net loss | $ (145,448) | $ (159,566) |
Adjustments to reconcile net loss to cash used by operating activities | ||
Stock based compensation | 215 | |
Depreciation | 1,350 | |
Changes in operating assets and liabilities: | ||
Other current assets | (63) | (51) |
Other assets | 1,667 | |
Accounts payable | 61,842 | 20,000 |
Other accrued liabilities | 10,656 | |
Net cash used by operating activities | (82,002) | (127,396) |
CASH FLOWS FROM INVESTING ACTIVITIES: | ||
Payments for mining interest | (12,000) | (12,000) |
Net cash used by investing activities | (12,000) | (12,000) |
CASH FLOWS FROM FINANCING ACTIVITIES: | ||
Proceeds from short-term note, related party | 70,000 | |
Proceeds from common stock subscriptions | 13,200 | 119,500 |
Net cash provided by financing activities | 13,200 | 189,500 |
Net increase (decrease) in cash and cash equivalents | (80,802) | 50,104 |
CASH AND CASH EQUIVALENTS, BEGINNING OF PERIOD | 109,380 | 1,785 |
CASH AND CASH EQUIVALENTS AT END OF PERIOD | $ 28,578 | $ 51,889 |
NATURE OF OPERATIONS
NATURE OF OPERATIONS | 3 Months Ended |
Jul. 31, 2017 | |
Disclosure Text Block [Abstract] | |
Nature of Operations [Text Block] | NOTE 1 - NATURE OF OPERATIONS Star Gold Corp. (the "Company") was initially incorporated as Elan Development, Inc., in the State of Nevada on December 8, 2006. The Company was originally organized to explore mineral properties in British Columbia, Canada but the Company is currently focusing on gold, silver and other base metal-bearing properties in Nevada. The Company's core business consists of assembling and/or acquiring land packages and mining claims the Company believes have potential mining reserves, and expending capital to explore these claims by drilling, and performing geophysical work or other exploration work deemed necessary. The business is a high-risk business as there is no guarantee that the Company's exploration work will ultimately discover or produce any economically viable minerals. |
SIGNIFICANT ACCOUNTING POLICIES
SIGNIFICANT ACCOUNTING POLICIES | 3 Months Ended |
Jul. 31, 2017 | |
Accounting Policies [Abstract] | |
Significant Accounting Policies [Text Block] | NOTE 2 - SIGNIFICANT ACCOUNTING POLICIES Basis of Presentation This summary of significant accounting policies is presented to assist in understanding the financial statements. The financial statements and notes are representations of the Company's management, which is responsible for their integrity and objectivity. The accompanying unaudited financial statements have been prepared by the Company in accordance with accounting principles generally accepted in the United States of America for interim financial information, as well as the instructions to Form 10-Q. Accordingly, the financial statements do not include all of the information and footnotes required by accounting principles generally accepted in the United States of America for complete financial statements. In the opinion of our management, all adjustments (consisting of only normal recurring accruals) considered necessary for a fair presentation of the interim financial statements have been included. Operating results for the three-month period ended July 31, 2017 are not necessarily indicative of the results that may be expected for the full year ending April 30, 2018. All amounts presented are in U.S. dollars. For further information, refer to the financial statements and footnotes thereto in the Company's Annual Report on Form 10-K for the year ended April 30, 2017. Going Concern As shown in the accompanying financial statements, the Company has incurred operating losses since inception. As of July 31, 2017, the Company has limited financial resources with which to achieve the objectives and obtain profitability and positive cash flows. As shown in the accompanying balance sheets and statements of operations, the Company has an accumulated deficit of $10,085,338 and, at July 31, 2017, the Company's working capital deficit was $70,816. Achievement of the Company's objectives will be dependent upon the ability to obtain additional financing, to locate profitable mining properties and generate revenue from current and planned business operations, and control costs. The Company plans to fund its future operations by joint venturing, obtaining additional financing from investors and/or lenders, and attaining commercial production. However, there is no assurance that the Company will be able to achieve these objectives, therefore substantial doubt about its ability to continue as a going concern exists. The financial statements do not include adjustments relating to the recoverability of recorded assets nor the implications of associated bankruptcy costs should the Company be unable to continue as a going concern. In the event the Company is unable to fulfill the annual exploration expenditures as specified in the Property Option Agreement (Note 3), the Company will default on the agreement(s) and surrender its right to future claims on the respective property. Use of Estimates The preparation of financial statements in accordance with accounting principles generally accepted in the United States of America requires the use of estimates and assumptions that affect the reported amounts of assets and liabilities at the dates of the financial statements, and the reported amounts of revenues and expenses during the reporting period. Significant areas requiring the use of management assumptions and estimates relate to long-lived asset impairments and stock option valuation. Actual results could differ from these estimates and assumptions and could have a material effect on the Company's reported financial position and results of operations. Cash and cash equivalents For the purposes of the statement of cash flows, the Company considers all highly liquid investments with original maturities of three months or less when acquired to be cash equivalents. Restricted cash Restricted cash constitutes cash held as collateral for the faithful performance of bonds securing exploration permits. Financial Instruments The Company's financial instruments include cash and cash equivalents and reclamation bonds. All instruments are accounted for on a historical cost basis, which, due to the short maturity of these financial instruments, approximates fair value at July 31, 2017. Fair Value Measures When required to measure assets or liabilities at fair value, the Company uses a fair value hierarchy based on the level of independent, objective evidence surrounding the inputs used. The Company determines the level within the fair value hierarchy in which the fair value measurements in their entirety fall. The categorization within the fair value hierarchy is based upon the lowest level of input that is significant to the fair value measurement. Level 1 uses quoted prices in active markets for identical assets or liabilities, Level 2 uses significant other observable inputs, and Level 3 uses significant unobservable inputs. The amount of the total gains or losses for the period are included in earnings that are attributable to the change in unrealized gains or losses relating to those assets and liabilities still held at the reporting date. Mining Interests and Mineral Exploration Expenditures Exploration costs are expensed in the period in which they occur. The Company capitalizes costs for acquiring and leasing mining properties and expenses costs to maintain mineral rights as incurred. Should a property reach the production stage, these capitalized costs would be amortized using the units-of-production method on the basis of periodic estimates of ore reserves. Mining interests are periodically assessed for impairment of value, and any subsequent losses are charged to operations at the time of impairment. If a property is abandoned or sold, its capitalized costs are charged to operations. Equipment Equipment is stated at cost. Depreciation of equipment is calculated using the straight-line method over the estimated useful lives of the assets, which ranges from three to seven years. Maintenance and repairs are charged to operations as incurred. Significant improvements are capitalized and depreciated over the useful life of the assets. Gains or losses on disposition or retirement of property and equipment are recognized in operating expenses. Reclamation and Remediation The Company's operations are subject to standards for mine reclamation that have been established by various governmental agencies. In the period in which the Company incurs a contractual obligation for the retirement of tangible long-lived assets, the Company will record the fair value of an asset retirement obligation as a liability. A corresponding asset will also be recorded and depreciated over the life of the asset. After the initial measurement of an asset retirement obligation, the liability will be adjusted at the end of each reporting period to reflect changes in the estimated future cash flows underlying the obligation. To date, the Company has not incurred any contractual obligation requiring recording either a liability or associated asset. Impaired Asset Policy The Company periodically reviews its long-lived assets to determine if any events or changes in circumstances have transpired which indicate that the carrying value of its assets may not be recoverable. The Company determines impairment by comparing the undiscounted net future cash flows estimated to be generated by its assets to their respective carrying amounts. If impairment is deemed to exist, the assets will be written down to fair value. Stock-based Compensation The Company estimates the fair value of options to purchase common stock using the Black-Scholes model, which requires the input of some subjective assumptions. These assumptions include estimating the length of time employees will retain their vested stock options before exercising them ("expected life"), the estimated volatility of the Company's common stock price over the expected term ("volatility"), employee forfeiture rate, the risk-free interest rate and the dividend yield. Changes in the subjective assumptions can materially affect the estimate of fair value of stock-based compensation. Options granted have a ten-year maximum term and varying vesting periods as determined by the Board of Directors. The value of shares of common stock awards is determined based on the closing price of the Company's stock on the date of the award. Loss Per Share Basic Earnings Per Share ("EPS") is computed as net income (loss) available to common stockholders divided by the weighted average number of common shares outstanding for the period. Diluted EPS reflects the potential dilution that could occur from common shares issuable through stock options and warrants. The outstanding securities at July 31, 2017 and 2016, that could have a dilutive effect are as follows: July 31, 2017 July 31, 2016 Stock options 5,210,000 3,083,667 Warrants 19,855,400 5,855,400 TOTAL POSSIBLE DILUTION 25,065,400 8,939,067 At July 31, 2017 and 2016, the effect of the Company's outstanding stock options and warrants would have been anti-dilutive. Income Taxes The Company recognizes a provision for income tax using the liability method. Deferred income tax liabilities or assets at the end of each period are determined using the tax rates expected to be in effect when the taxes are paid or recovered. A valuation allowance is recognized on deferred tax assets when it is more likely than not that some or all of these deferred tax assets will not be realized. Reclassifications Certain reclassifications have been made to the 2016 financial statements in order to conform to the 2017 presentation. These reclassifications have no effect on net loss, total assets or accumulated deficit as previously reported. New Accounting Pronouncements In November 2015, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") No. 2015-17 Income Taxes - Balance Sheet Classification of Deferred Taxes (Topic 740). The update is designed to reduce complexity of reporting deferred income tax liabilities and assets into current and non-current amounts in a statement of financial position. ASU No. 2015-17 requires the presentation of deferred income taxes, changes to deferred tax liabilities and assets be classified as non-current in the statement of financial position. The update is effective for fiscal years beginning after December 15, 2016. The Company adopted this ASU on May 1, 2017. It had no impact on the financial statements. In March 2016, the FASB issued ASU No. 2016-09 Compensation - Stock Compensation (Topic 718): Improvements to Employee Share-Based Payment Accounting. The update simplifies the accounting for stock-based compensation, including income tax consequences and balance sheet and cash flow statement classification of awards. The update is effective for fiscal years beginning after December 15, 2016, with early adoption permitted. The Company adopted this ASU on May 1, 2017. It had no impact on the financial statements. In August 2016, the FASB issued ASU No. 2016-15 Statement of Cash Flows (Topic 230): Classification of Certain Cash Receipts and Cash Payments. The update provides guidance on classification for cash receipts and payments related to eight specific issues. The update is effective for fiscal years beginning after December 15, 2017, and interim periods within those fiscal years, with early adoption permitted. The Company is currently evaluating the impact of implementing this update on the financial statements. In January 2017, the FASB issued ASU No. 2017-01 Business Combinations (Topic 805): Clarifying the Definition of a Business. The update clarifies the definition of a business with the objective of adding guidance to assist entities with evaluating whether transactions should be accounted for as acquisitions (or disposals) of assets or businesses. The update is effective for fiscal years beginning after December 15, 2017, and interim periods within those fiscal years. The Company will apply the provisions of the update to potential future acquisitions occurring after the effective date. Other accounting standards that have been issued or proposed by FASB that do not require adoption until a future date are not expected to have a material impact on the financial statements upon adoption. |
EQUIPMENT AND MINING INTEREST
EQUIPMENT AND MINING INTEREST | 3 Months Ended |
Jul. 31, 2017 | |
Property, Plant and Equipment [Abstract] | |
Property, Plant and Equipment Disclosure [Text Block] | NOTE 3– EQUIPMENT AND MINING INTEREST The following is a summary of the Company's equipment and mining interest at July 31, 2017 and April 30, 2017. July 31, 2017 April 30, 2017 Equipment $ 27,007 $ 27,007 Less accumulated depreciation (27,007 ) (27,007 ) Equipment, net of accumulated depreciation - - Mining interest – Longstreet 372,874 360,874 TOTAL EQUIPMENT AND MINING INTEREST $ 372,874 $ 360,874 Pursuant to the Longstreet Property Option Agreement (the "Longstreet Agreement") entered into by the Company on or about January 15, 2010, the Company leases, with an option to acquire, unpatented mining claims located in the State of Nevada known as the Longstreet Property. On December 10, 2014, the Longstreet Agreement was amended revising the required expenditures and annual stock option obligation. On January 5, 2016, the Longstreet Agreement was further amended revising the required expenditures and annual stock option obligation. All allowable expenditures in excess of the required annual expenditures shall be carried-over to the subsequent year. The Company is also obligated, pursuant to the Longstreet Agreement, as amended, to pay an annual advance royalty payment of $12,000 related to the Clifford claims. For the year ended April 30, 2017, the Company paid the annual $12,000 advance royalty for additional mining interest on the Longstreet Property related to the Clifford claims. The Company also made an annual required payment to the optioner of $25,000 which is included in "Equipment and Mining Interest". The Company issued options to purchase 25,000 shares of common stock with fair value of $1,875. For the three months ended July 31, 2017, the Company paid the annual $12,000 advance royalty for additional mining interest on the Longstreet property related to the Clifford claims. The schedule of annual payments, minimum expenditures and number of stock options to be issued pursuant to the amended Longstreet Agreement of January 5, 2016, is as follows: Required annual expenditure between: Required Expenditure Cash payment (1) Stock options January 17, 2017 through January 16, 2018 $ 300,000 $ 35,000 40,000 January 17, 2018 through January 16, 2019 500,000 40,000 45,000 January 17, 2019 through January 16, 2020 700,000 45,000 50,000 Payment due upon transfer but no later than January 16, 2021 - 85,000 - TOTAL $ 1,500,000 $ 205,000 135,000 (1) Does not include $12,000 annual advance royalty payment related to Clifford claims. As of the measurement date of January 31, 2017, the Company made cumulative allowable expenditures of $2,319,581, a surplus of $269,581 over the required cumulative expenditures of $2,050,000. As of July 31, 2017, the Company is in compliance with all provisions of the Longstreet Agreement. |
OTHER ASSETS
OTHER ASSETS | 3 Months Ended |
Jul. 31, 2017 | |
Disclosure Text Block Supplement [Abstract] | |
Other Assets Disclosure [Text Block] | NOTE 4 –OTHER ASSETS On January 19, 2017, the Company entered into an Option and Lease of Water Rights with Stone Cabin Company, LLC (the "Water Rights Agreement"). In exchange for a one-time payment of $20,000, the Water Rights Agreement granted the Company a three-year option to commence a ten-year lease of certain water rights in Nevada. The water rights are for use in conjunction with the Company's Longstreet Project. Lease payments for the water rights do not commence unless the Company exercises the option to lease. The Water Rights Agreement also granted the Company the ability to extend, upon additional option payments, the option to lease for up to an additional three years and the ability to extend the water rights lease (if exercised) for an additional ten-year period. The $20,000 payment has been deferred and is being amortized on a straight-line basis over the three-year option period. The following is a summary of the Company's other assets at July 31, 2017 and April 30, 2017. July 31, 2017 April 30, 2017 Option on water rights lease agreement $ 16,111 $ 17,777 Prepaid insurance 8,833 8,771 Subtotal 24,944 26,548 Less Other Assets - Current (15,500 ) (15,437 ) TOTAL OTHER ASSETS - NON-CURRENT $ 9,444 $ 11,111 |
RELATED PARTY TRANSACTIONS
RELATED PARTY TRANSACTIONS | 3 Months Ended |
Jul. 31, 2017 | |
Related Party Transactions [Abstract] | |
Related Party Transactions Disclosure [Text Block] | NOTE 5– RELATED PARTY TRANSACTIONS On September 1, 2011, the Company moved its offices to Coeur d'Alene, Idaho and leased office space for $2,500 per month plus a proportionate share of utilities and insurance from Marlin Property Management, LLC ("Marlin") an entity owned by the spouse of the Company's then President and current Chairman of the Board of Directors ("Chairman of the Board"). On or about June 30, 2015, the Company entered into a Lease Termination Agreement with Marlin. The Termination Agreement was effective as of June 1, 2015 and relieved the Company of all obligations under the terms of the lease after that date due to financial constraints on the Company. The Company continues to rent office space from Marlin on a month-to-month basis as financial resources are available. The Company currently pays $250 per month plus a proportionate share of utilities and insurance. For the three months ended July 31, 2017 and 2016, office rent was $750 and $Nil, respectively. The Company has had short term promissory notes with its Chairman of the Board as follows: · On March 20, 2016 in the amount of $15,000 with an original maturity date of December 31, 2016. The full amount of principal and all accrued interest was paid on August 23, 2016. · On May 4, 2016 in the amount of $70,000 with an original maturity date of December 31, 2016. The full amount of principal and all accrued interest were paid in full on August 23, 2016. For the three months ended July 31, 2017 and 2016, interest expense on these notes in aggregate was $Nil and $1,656, respectively. |
WARRANTS
WARRANTS | 3 Months Ended |
Jul. 31, 2017 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Derivative Instruments and Hedging Activities Disclosure [Text Block] | NOTE 6 – WARRANTS The following is a summary of the Company's warrants activity: Warrants Weighted Average Exercise Price Balance outstanding at April 30, 2015 1,614,400 $ 0.23 Issued – October 12, 2015 (Note 9) 4,241,000 0.20 Balance outstanding at April 30, 2016 5,855,400 0.21 Issued – October 12, 2016 (Note 9) 14,000,000 0.15 Balance outstanding at July 31 and April 30, 2017 19,855,400 $ 0.17 The composition of the Company's warrants outstanding at July 31, 2017, is as follows: Issue Date Expiration Date Warrants Exercise Price Remaining life (years) July 29, 2014 July 29, 2019 1,614,400 $ 0.23 1.99 October 12, 2015 October 12, 2020 4,241,000 0.20 3.20 October 12, 2016 October 12, 2021 14,000,000 0.15 4.20 19,855,400 $ 0.17 3.81 |
DEPOSITS ON STOCK SUBSCRIPTIONS
DEPOSITS ON STOCK SUBSCRIPTIONS | 3 Months Ended |
Jul. 31, 2017 | |
Deposit On Stock Subscriptions [Abstract] | |
Deposit on Stock Subscriptions | NOTE 7 – DEPOSITS ON STOCK SUBSCRIPTIONS The Company is engaged in a private placement offering. The private placement consists of the sale of Units at $0.10 per Unit. Each Unit will consist of two common shares of the Company's stock and one common share purchase warrant (each a "Warrant" and together the "Warrants"). Each Warrant will be exercisable no later than thirty-six months from the date of the issuance thereof to purchase one common share of the Company's stock at an exercise price of $0.15. Once the Company has obtained all permits necessary to begin site development and construction at its Longstreet Project, the Company, at its sole discretion, may call the Warrants as due and exercisable by providing holders of the Warrants with 60 days' written notice of the same. As of July 31, 2017, the Company raised a total of $13,200 which is included as "Deposits on Stock Subscriptions" on the balance sheet. |
STOCK OPTIONS
STOCK OPTIONS | 3 Months Ended |
Jul. 31, 2017 | |
Disclosure Text Block [Abstract] | |
Fair Value, Option [Text Block] | NOTE 8 - STOCK OPTIONS Options issued for mining interest In consideration for mining interests (see Note 3), the Company is obligated to issue stock options to purchase shares of the Company's common stock based on "fair market price" which for financial statement purposes is considered to be the closing price of the Company's common stock on the issue dates. Those costs are capitalized as Mining Interests (Note 3). No options were issued under for mineral interests during the quarters ended July 31, 2017 and 2016. As of July 31, 2017, the remaining weighted average term of the option grants for mining interest was 4.58 years. Options issued for consulting services As per an agreement fully executed on October 3, 2012, in consideration for consulting and advisory services rendered, the Company was obligated to issue a total of 1,000 stock options based on 5-day variable weighted-average price (VWAP) at the end of each month of the associated consulting contract. The stock options had a term of 1 year. The consultant options vested on the first day of the following month of service and were exercisable for a period of nine months following the termination of the agreement. During the three months ended July 31, 2016, 3,000 option with a fair value of $215 were granted under this consulting agreement. Effective August 1, 2016, the consulting agreement was terminated and all outstanding options issued for consulting services were rescinded by mutual consent of the parties. Total charged against operations under the option grants for consulting services was $Nil and $215, for the three months ended July 31, 2017 and 2016, respectively. These costs are classified as management and administrative expense. Options issued under the 2011 Stock Option/Restricted Plan The Company established the 2011 Stock Option/Restricted Stock Plan. The Stock Option Plan is administered by the Board of Directors and provides for the grant of stock options to eligible individual including directors, executive officers and advisors that have furnished bona fide services to the Company not related to the sale of securities in a capital-raising transaction. The Stock Option Plan has a fixed maximum percentage of 10% of the Company's outstanding shares that are eligible for the plan pool, whereby the number of Shares under the plan increases automatically increases as the total number of shares outstanding increase. The number of shares subject to the Stock Option Plan and any outstanding awards will be adjusted appropriately by the Board of Directors if the Company's common stock is affected through a reorganization, merger, consolidation, recapitalization, restructuring, reclassification dividend (other than quarterly cash dividends) or other distribution, stock split, spin-off or sale of substantially all of the Company's assets. The Stock Option plan also has terms and conditions, including without limitations that the exercise price for stock options granted under the Stock Option Plan must equal the stock's fair market value, based on the closing price per share of common stock, at the time the stock option is granted. The fair value of each option award is estimated on the date of grant utilizing the Black-Scholes model and commonly utilized assumptions associated with the Black-Scholes methodology. Options granted under the Plan have a ten-year maximum term and varying vesting periods as determined by the Board. On October 18, 2016, the Company rescinded 2,696,667 fully vested options previously granted under the Stock Option plan with a weighted average exercise price of $0.37. The Company re-issued the options and granted an additional 2,116,333 options to purchase shares of the Company's common stock, or a total of 4,810,000 options, with an exercise price of $0.06 per share. The options vested immediately and had a term of 5 years. The Company accounted for the repricing as a modification of stock option terms. The incremental fair value of the modified options over the fair value of the original options and the fair value of the new options was $126,562 and has been recognized stock-based compensation for the quarter ended October 31, 2016. No options were issued during the three months ended July 31, 2017. The Company estimated the fair value of the option grant in October 2016 using the Black-Scholes model with the following information and range of assumptions: Options re-priced/issued 4,810,000 Expected volatility 329.9 % Expected term 5 years Risk free rate 1.24 % The following is a summary of the Company's options outstanding and exercisable in conjunction with the Company's Stock Option Plan: For the three months ended July 31, 2017 2016 Options Price (a) Options Price (a) Beginning balance 4,810,000 $ 0.06 2,696,667 $ 0.37 Issued - - - - Exercised - - - - Expired/Repriced - - - - Ending balance 4,810,000 $ 0.06 2,696,667 $ 0.37 (a) The following table summarizes additional information about the options under the Company's Stock Option Plan as of July 31, 2017: Options outstanding and exercisable Date of Grant Shares Price Remaining Life October 18, 2016 4,810,000 $ 0.06 4.22 Total options 4,810,000 $ 0.06 4.22 The total value of the Plan stock option awards is expensed ratably over the vesting period of the employees receiving the awards. As of July 31, 2017, there was no unrecognized compensation cost related to stock-based options and awards. Summary: The following is a summary of the Company's stock options outstanding and exercisable: Expiration Date Options Weighted Average Exercise Price Options issued for mining interests April 22, 2019 through January 15, 2025 400,000 $ 0.30 Options issued under Stock Option Plan October 18, 2021 4,810,000 0.06 Vested and outstanding at July 31, 2017 5,210,000 $ 0.08 The aggregate intrinsic value of all options vested and exercisable at July 31, 2017, was $145,425 based on the Company's closing price of $0.09 per common share at July 31, 2017. The Company's current policy is to issue new shares to satisfy option exercises. |
STOCKHOLDERS' EQUITY
STOCKHOLDERS' EQUITY | 3 Months Ended |
Jul. 31, 2017 | |
Stockholders' Equity Note [Abstract] | |
Stockholders' Equity Note Disclosure [Text Block] | NOTE 9 – STOCKHOLDERS' EQUITY On October 12, 2016, the Company issued 14,000,000 shares of its common stock and warrants to purchase an additional 14,000,000 shares of its common stock to 24 investors pursuant to a private placement of its securities (the "2016 Offering"). The 2016 Offering consisted of the sale of "units" of the Company's securities at the per unit price of $0.05. Warrants issued pursuant to the 2016 Offering entitled the holders thereof to purchase shares of common stock for the price of $0.15 per share. The term of each warrant is for five years commencing with its issuance date. The Company closed the 2016 Offering and having raised a total of $700,000 ($18,000 in fiscal year ended April 30, 2016 and $682,000 in the year ended April 30, 2017). Star Gold Corp. anticipates continuing to rely on sales of its debt and/or equity securities in order to continue to fund ongoing operations. Issuances of additional shares of common stock may result in dilution to the Company's existing stockholders. There is no assurance that the Company will be able to complete any additional sales of equity securities or that it will be able arrange for other financing to fund its planned business activities. |
SUBSEQUENT EVENTS
SUBSEQUENT EVENTS | 3 Months Ended |
Jul. 31, 2017 | |
Subsequent Events [Abstract] | |
Subsequent Events [Text Block] | NOTE 10 – SUBSEQUENT EVENTS On August 21, 2017, the Company entered into an Option and Lease of Water Rights, with High Test Hay, LLC (the "High Test Water Rights Agreement"). In exchange for a one-time payment of $25,000, the High Test Water Rights Agreement grants the Company a three year option to commence a ten-year lease on certain water rights in Nevada. The water rights are for use in conjunction with the Company's Longstreet Project. Lease payments for the water do not commence unless and until the Company exercises the option to lease. The High Test Water Rights Agreement also grants Star Gold the ability to extend, upon additional option payments, the option to lease for up to an additional three years and the ability to extend the water rights lease (if exercised) for up to an additional twenty years. |
SIGNIFICANT ACCOUNTING POLICI16
SIGNIFICANT ACCOUNTING POLICIES (Tables) | 3 Months Ended |
Jul. 31, 2017 | |
Accounting Policies [Abstract] | |
Earnings Per Share, Potentially Dilutive Securities | July 31, 2017 July 31, 2016 Stock options 5,210,000 3,083,667 Warrants 19,855,400 5,855,400 TOTAL POSSIBLE DILUTION 25,065,400 8,939,067 |
EQUIPMENT AND MINING INTEREST (
EQUIPMENT AND MINING INTEREST (Tables) | 3 Months Ended |
Jul. 31, 2017 | |
Property, Plant and Equipment [Abstract] | |
Property, Plant and Equipment [Table Text Block] | July 31, 2017 April 30, 2017 Equipment $ 27,007 $ 27,007 Less accumulated depreciation (27,007 ) (27,007 ) Equipment, net of accumulated depreciation - - Mining interest – Longstreet 372,874 360,874 TOTAL EQUIPMENT AND MINING INTEREST $ 372,874 $ 360,874 |
Contractual Obligation, Fiscal Year Maturity Schedule [Table Text Block] | Required annual expenditure between: Required Expenditure Cash payment (1) Stock options January 17, 2017 through January 16, 2018 $ 300,000 $ 35,000 40,000 January 17, 2018 through January 16, 2019 500,000 40,000 45,000 January 17, 2019 through January 16, 2020 700,000 45,000 50,000 Payment due upon transfer but no later than January 16, 2021 - 85,000 - TOTAL $ 1,500,000 $ 205,000 135,000 |
OTHER ASSETS (Tables)
OTHER ASSETS (Tables) | 3 Months Ended |
Jul. 31, 2017 | |
Disclosure Text Block Supplement [Abstract] | |
Schedule of Other Current Assets [Table Text Block] | July 31, 2017 April 30, 2017 Option on water rights lease agreement $ 16,111 $ 17,777 Prepaid insurance 8,833 8,771 Subtotal 24,944 26,548 Less Other Assets - Current (15,500 ) (15,437 ) TOTAL OTHER ASSETS - NON-CURRENT $ 9,444 $ 11,111 |
WARRANTS (Tables)
WARRANTS (Tables) | 3 Months Ended |
Jul. 31, 2017 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Schedule of Warrant Activity | Warrants Weighted Average Exercise Price Balance outstanding at April 30, 2015 1,614,400 $ 0.23 Issued – October 12, 2015 (Note 9) 4,241,000 0.20 Balance outstanding at April 30, 2016 5,855,400 0.21 Issued – October 12, 2016 (Note 9) 14,000,000 0.15 Balance outstanding at July 31 and April 30, 2017 19,855,400 $ 0.17 |
Schedule of Warrants Issued and Outstanding | Issue Date Expiration Date Warrants Exercise Price Remaining life (years) July 29, 2014 July 29, 2019 1,614,400 $ 0.23 1.99 October 12, 2015 October 12, 2020 4,241,000 0.20 3.20 October 12, 2016 October 12, 2021 14,000,000 0.15 4.20 19,855,400 $ 0.17 3.81 |
STOCK OPTIONS (Tables)
STOCK OPTIONS (Tables) | 3 Months Ended |
Jul. 31, 2017 | |
Disclosure Text Block [Abstract] | |
Schedule of Share-based Payment Award, Stock Options, Valuation Assumptions [Table Text Block] | Options re-priced/issued 4,810,000 Expected volatility 329.9 % Expected term 5 years Risk free rate 1.24 % |
Share-based Compensation Arrangements by Share-based Payment Award, Options, Vested and Expected to Vest, Outstanding [Table Text Block] | For the three months ended July 31, 2017 2016 Options Price (a) Options Price (a) Beginning balance 4,810,000 $ 0.06 2,696,667 $ 0.37 Issued - - - - Exercised - - - - Expired/Repriced - - - - Ending balance 4,810,000 $ 0.06 2,696,667 $ 0.37 |
Share-based Compensation, Stock Options, Activity [Table Text Block] | Options outstanding and exercisable Date of Grant Shares Price Remaining Life October 18, 2016 4,810,000 $ 0.06 4.22 Total options 4,810,000 $ 0.06 4.22 |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Vested and Expected to Vest, Exercisable [Table Text Block] | Expiration Date Options Weighted Average Exercise Price Options issued for mining interests April 22, 2019 through January 15, 2025 400,000 $ 0.30 Options issued under Stock Option Plan October 18, 2021 4,810,000 0.06 Vested and outstanding at July 31, 2017 5,210,000 $ 0.08 |
SIGNIFICANT ACCOUNTING POLICI21
SIGNIFICANT ACCOUNTING POLICIES (Details) - USD ($) | Jul. 31, 2017 | Apr. 30, 2017 |
Accounting Policies [Abstract] | ||
Retained Earnings (Accumulated Deficit) | $ (10,085,338) | $ (9,939,890) |
Working Capital | $ (70,816) |
SIGNIFICANT ACCOUNTING POLICI22
SIGNIFICANT ACCOUNTING POLICIES (Details) - Earnings Per Share, Potentially Dilutive Securities - shares | 3 Months Ended | |
Jul. 31, 2017 | Jul. 31, 2016 | |
July 31, 2017 | ||
SIGNIFICANT ACCOUNTING POLICIES (Details) - Earnings Per Share, Potentially Dilutive Securities [Line Items] | ||
Stock options | 5,210,000 | |
Warrants | 19,855,400 | |
TOTAL POSSIBLE DILUTION | 25,065,400 | |
July 31, 2016 | ||
SIGNIFICANT ACCOUNTING POLICIES (Details) - Earnings Per Share, Potentially Dilutive Securities [Line Items] | ||
Stock options | 3,083,667 | |
Warrants | 5,855,400 | |
TOTAL POSSIBLE DILUTION | 8,939,067 |
EQUIPMENT AND MINING INTEREST23
EQUIPMENT AND MINING INTEREST (Details) - USD ($) | 1 Months Ended | 12 Months Ended | 16 Months Ended | ||
Jul. 31, 2017 | Jan. 31, 2017 | Apr. 30, 2017 | Apr. 30, 2017 | Aug. 21, 2017 | |
Property, Plant and Equipment [Abstract] | |||||
Amortization of Advance Royalty | $ 12,000 | $ 12,000 | $ 12,000 | ||
Contractual Obligation | $ 25,000 | $ 25,000 | $ 25,000 | ||
Options Issued During Period, Options, Acquisition (in Shares) | 25,000 | 25,000 | |||
Options Issued During Period, Value, Acquisitions | $ 1,875 | ||||
Costs Incurred, Exploration Costs | $ 2,319,581 | ||||
Costs Incurred, Exploration Costs, Surplus | 269,581 | ||||
Exploration Costs, Cumulative | $ 2,050,000 |
EQUIPMENT AND MINING INTEREST24
EQUIPMENT AND MINING INTEREST (Details) - Property, Plant and Equipment - USD ($) | Jul. 31, 2017 | Apr. 30, 2017 |
Property, Plant and Equipment [Abstract] | ||
Equipment | $ 27,007 | $ 27,007 |
Less accumulated depreciation | (27,007) | (27,007) |
Mining interest – Longstreet | 372,874 | 360,874 |
TOTAL EQUIPMENT AND MINING INTEREST | $ 372,874 | $ 360,874 |
EQUIPMENT AND MINING INTEREST25
EQUIPMENT AND MINING INTEREST (Details) - Contractual Obligation, Fiscal Year Maturity - USD ($) | 12 Months Ended | 120 Months Ended | |||
Jan. 16, 2021 | Jan. 16, 2020 | Jan. 16, 2019 | Jan. 16, 2018 | Jan. 18, 2027 | |
Contractual Obligation, Fiscal Year Maturity [Abstract] | |||||
Required Expenditure | $ 700,000 | $ 500,000 | $ 300,000 | $ 20,000 | |
Cash payment (1) | $ 85,000 | 45,000 | 40,000 | 35,000 | |
Stock options | $ 50,000 | $ 45,000 | $ 40,000 | ||
Required Expenditure - Total | 1,500,000 | ||||
Cash payment (1) - Total | 205,000 | ||||
Stock options - Total | $ 135,000 |
OTHER ASSETS (Details)
OTHER ASSETS (Details) - USD ($) | 12 Months Ended | 120 Months Ended | ||
Jan. 16, 2020 | Jan. 16, 2019 | Jan. 16, 2018 | Jan. 18, 2027 | |
Disclosure Text Block Supplement [Abstract] | ||||
Payments for Purchase of Other Assets | $ 20,000 | |||
Capital Expenditures Incurred but Not yet Paid | $ 700,000 | $ 500,000 | $ 300,000 | $ 20,000 |
OTHER ASSETS (Details) - Other
OTHER ASSETS (Details) - Other Assets - USD ($) | Jul. 31, 2017 | Apr. 30, 2017 | Apr. 30, 2016 |
Other Assets [Abstract] | |||
Option on water rights lease agreement | $ 16,111 | $ 17,777 | |
Prepaid insurance | 8,833 | 8,771 | |
Subtotal | 24,944 | 26,548 | |
Less Other Assets - Current | 15,500 | $ 15,437 | (15,437) |
TOTAL OTHER ASSETS - NON-CURRENT | $ 9,444 | $ 11,111 | $ 11,111 |
RELATED PARTY TRANSACTIONS (Det
RELATED PARTY TRANSACTIONS (Details) - USD ($) | 3 Months Ended | 12 Months Ended | 46 Months Ended | 71 Months Ended | |||
Jul. 31, 2017 | Jul. 31, 2016 | Jul. 31, 2016 | Jun. 30, 2015 | Jul. 31, 2017 | May 04, 2016 | Mar. 20, 2016 | |
Related Party Transactions [Abstract] | |||||||
Lease, Cost | $ 750 | $ 2,500 | |||||
Utilities Costs | $ 250 | ||||||
Due to Officers or Stockholders | $ 70,000 | $ 15,000 | |||||
Interest Expense, Related Party | $ 1,656 | $ 1,656 |
WARRANTS (Details) - Warrant Ac
WARRANTS (Details) - Warrant Activity - $ / shares | Oct. 12, 2020 | Jul. 31, 2017 | Apr. 30, 2017 | Oct. 12, 2016 | Apr. 30, 2016 | Oct. 12, 2015 | Apr. 30, 2015 |
WARRANTS (Details) - Warrant Activity [Line Items] | |||||||
$ 0.15 | $ 0.15 | ||||||
Weighted Average Exercise Price | |||||||
WARRANTS (Details) - Warrant Activity [Line Items] | |||||||
$ 0.17 | $ 0.21 | $ 0.23 | |||||
$ 0.15 | $ 0.20 | ||||||
Warrants | |||||||
WARRANTS (Details) - Warrant Activity [Line Items] | |||||||
19,855,400 | 5,855,400 | 1,614,400 | |||||
14,000,000 | 4,241,000 |
WARRANTS (Details) - Warrants O
WARRANTS (Details) - Warrants Outstanding - Warrants - shares | Oct. 12, 2021 | Oct. 12, 2020 | Jul. 29, 2019 |
WARRANTS (Details) - Warrants Outstanding [Line Items] | |||
14,000,000 | 4,241,000 | 1,614,400 | |
Total | 19,855,400 |
DEPOSITS ON STOCK SUBSCRIPTIO31
DEPOSITS ON STOCK SUBSCRIPTIONS (Details) - USD ($) | Oct. 12, 2016 | Jul. 31, 2017 | Jul. 31, 2017 | Jul. 31, 2016 | Oct. 12, 2020 |
Deposit On Stock Subscriptions [Abstract] | |||||
Unit Price | $ 0.05 | $ 0.10 | |||
Class of Warrant or Right, Exercise Price of Warrants or Rights | $ 0.15 | $ 0.15 | $ 0.15 | ||
Deposits on Stock Subscriptions, Shares Issuable (in Dollars) | $ 13,200 | $ 13,200 | $ 119,500 |
STOCK OPTIONS (Details)
STOCK OPTIONS (Details) - USD ($) | 1 Months Ended | 3 Months Ended | 10 Months Ended | 18 Months Ended | |
Oct. 31, 2016 | Jul. 31, 2017 | Jul. 31, 2016 | Jul. 31, 2017 | Oct. 18, 2016 | |
Disclosure Text Block [Abstract] | |||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercisable, Weighted Average Remaining Contractual Term | 4 years 211 days | ||||
Options Issued During Period, Options, Issued for Services | 1,000 | 3,000 | |||
Options Issued During Period, Value, Issued for Services (in Dollars) | $ 126,562 | $ 215 | |||
Share-based Compensation Arrangement by Share-based Payment Award, Non-Option Equity Instruments, Forfeitures | 2,696,667 | ||||
Share-based Compensation Arrangements by Share-based Payment Award, Options, Forfeitures in Period, Weighted Average Exercise Price (in Dollars per share) | $ 0.37 | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Net of Forfeitures | 4,810,000 | ||||
Share-based Compensation Arrangements by Share-based Payment Award, Options, Grants in Period, Weighted Average Exercise Price (in Dollars per share) | $ 0.06 | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercisable, Intrinsic Value (in Dollars) | $ 145,425 | $ 145,425 | |||
Share Price (in Dollars per share) | $ 0.09 | $ 0.09 |
STOCK OPTIONS (Details) - Stock
STOCK OPTIONS (Details) - Stock Options, Valuation Assumptions | 3 Months Ended |
Dec. 31, 2016shares | |
Stock Options, Valuation Assumptions [Abstract] | |
Options re-priced/issued (in Shares) | 4,810,000 |
Expected volatility | 329.90% |
Expected term | 5 years |
Risk free rate | 1.24% |
STOCK OPTIONS (Details) - Summa
STOCK OPTIONS (Details) - Summary of Stock Option Plan, Outstanding and Exercisable Options - $ / shares | Jul. 31, 2017 | Dec. 31, 2016 | Jul. 31, 2016 |
STOCK OPTIONS (Details) - Summary of Stock Option Plan, Outstanding and Exercisable Options [Line Items] | |||
Ending balance | 4,810,000 | ||
For the three months ended July 31, 2017 - Price | |||
STOCK OPTIONS (Details) - Summary of Stock Option Plan, Outstanding and Exercisable Options [Line Items] | |||
Beginning balance | $ 0.06 | ||
Ending balance | $ 0.06 | ||
For the three months ended July 31, 2017 - Options | |||
STOCK OPTIONS (Details) - Summary of Stock Option Plan, Outstanding and Exercisable Options [Line Items] | |||
Beginning balance | 4,810,000 | ||
Ending balance | 4,810,000 | ||
For the three months ended July 31, 2016 - Price | |||
STOCK OPTIONS (Details) - Summary of Stock Option Plan, Outstanding and Exercisable Options [Line Items] | |||
Beginning balance | $ 0.37 | ||
Ending balance | $ 0.37 | ||
For the three months ended July 31, 2016 - Options | |||
STOCK OPTIONS (Details) - Summary of Stock Option Plan, Outstanding and Exercisable Options [Line Items] | |||
Beginning balance | 2,696,667 | ||
Ending balance | 2,696,667 |
STOCK OPTIONS (Details) - Addit
STOCK OPTIONS (Details) - Additional Summary of the Stock Option Plan - shares | 10 Months Ended | |
Jul. 31, 2017 | Oct. 18, 2016 | |
STOCK OPTIONS (Details) - Additional Summary of the Stock Option Plan [Line Items] | ||
Total options | 4,810,000 | |
Options outstanding and exercisable Shares | ||
STOCK OPTIONS (Details) - Additional Summary of the Stock Option Plan [Line Items] | ||
October 18, 2016 | 4,810,000 | |
Total options | 4,810,000 |
STOCK OPTIONS (Details) - Sum36
STOCK OPTIONS (Details) - Summary of Stock Options Outstanding and Exercisable - shares | Jan. 15, 2025 | Oct. 18, 2021 | Apr. 22, 2019 | Apr. 30, 2017 |
STOCK OPTIONS (Details) - Summary of Stock Options Outstanding and Exercisable [Line Items] | ||||
Options issued for mining interests | 25,000 | |||
Options | ||||
STOCK OPTIONS (Details) - Summary of Stock Options Outstanding and Exercisable [Line Items] | ||||
Options issued for mining interests | 400,000 | |||
Options issued under Stock Option Plan | 4,810,000 | |||
Vested and outstanding at July 31, 2017 | 5,210,000 |
STOCKHOLDERS' EQUITY (Details)
STOCKHOLDERS' EQUITY (Details) - USD ($) | Oct. 12, 2016 | Jul. 31, 2017 | Apr. 30, 2017 | Apr. 30, 2016 | Oct. 12, 2017 | Oct. 12, 2020 |
Stockholders' Equity Note [Abstract] | ||||||
Units Issued During Period, Units, New Issues (in Shares) | 14,000,000 | |||||
Unit Price (in Dollars per share) | $ 0.05 | $ 0.10 | ||||
Class of Warrant or Right, Exercise Price of Warrants or Rights (in Dollars per share) | $ 0.15 | $ 0.15 | ||||
Proceeds from Issuance of Private Placement | $ 700,000 | |||||
Units Issued During Period, Value, New Issues | $ 682,000 | $ 18,000 |
SUBSEQUENT EVENTS (Details)
SUBSEQUENT EVENTS (Details) - USD ($) | Aug. 21, 2017 | Apr. 30, 2017 |
Subsequent Events [Abstract] | ||
Contractual Obligation | $ 25,000 | $ 25,000 |