Quantum Materials (QTMM) 10-Q 12 Feb 14 2014 Q2 Quarterly report Financial data

Document_and_Entity_Informatio

Document and Entity Information	6 Months Ended
	Dec. 31, 2013	Feb. 10, 2014
Document and Entity Information [Abstract]	'	'
Entity Registrant Name	'QUANTUM MATERIALS CORP.	'
Entity Central Index Key	'0001403570	'
Trading Symbol	'qtmm	'
Entity Current Reporting Status	'Yes	'
Entity Voluntary Filers	'No	'
Entity Filer Category	'Smaller Reporting Company	'
Current Fiscal Year End Date	'--06-30	'
Document Type	'10-Q	'
Document Period End Date	31-Dec-13	'
Amendment Flag	'false	'
Document Fiscal Year Focus	'2014	'
Document Fiscal Period Focus	'Q2	'
Entity Common Stock, Shares Outstanding	'	198,258,537

Consolidated_Balance_Sheets

Consolidated Balance Sheets (USD $)	Dec. 31, 2013	Jun. 30, 2013
Current	'	'
Cash	$4,149	$172,431
Total current assets	4,149	172,431
Licenses	55,000	55,000
Furniture and equipment, net of accumulated deprecation of $13,071	'	'
Total assets	59,149	227,431
Current liabilities	'	'
Accounts payable and accrued Liabilities	230,083	287,583
Accrued liabilities - related party	1,924,839	1,513,978
Accrued expenses	72,500	72,500
Deferred revenue	899	899
Fair value of derivative liabilities	452,626	787,000
Total current liabilities	2,680,947	2,661,960
Convertible debenture, net of discount	1,500,000	1,500,000
Total liabilities	4,180,947	4,161,960
Stockholders' deficit	'	'
Common stock, $0.001 par value, 400,000,000 shares authorized, Issued and outstanding 198,875,204 and 182,988,347, respectively	198,875	182,988
Additional paid-in capital	13,023,112	12,255,288
Deficit accumulated during the development stage	-17,343,785	-16,372,805
Total stockholders' deficit	-4,121,798	-3,934,529
Total liabilities and stockholders' deficit	$59,149	$227,431

Consolidated_Balance_Sheets_Pa

Consolidated Balance Sheets (Parentheticals) (USD $)	Dec. 31, 2013	Jun. 30, 2013
Statement Of Financial Position [Abstract]	'	'
Accumulated depreciation of Furniture and equipment	$13,071	'
Common stock, par value (in dollars per share)	$0.00	$0.00
Common stock, shares authorized (in shares)	400,000,000	400,000,000
Common stock, shares, issued (in shares)	198,875,204	182,988,347
Common stock, shares, outstanding (in shares)	198,875,204	182,988,347

Consolidated_Statements_of_Ope

Consolidated Statements of Operations (unaudited) (USD $)	3 Months Ended		6 Months Ended		67 Months Ended
	Dec. 31, 2013	Dec. 31, 2012	Dec. 31, 2013	Dec. 31, 2012	Dec. 31, 2013
Operating expenses:	'	'	'	'	'
General and administrative	$664,994	$411,997	$1,224,317	$961,187	$13,936,333
Research and development	934	2,000	4,826	6,000	880,171
Total operating expenses	665,928	413,997	1,229,143	967,187	14,816,504
Loss from operations	-665,928	-413,997	-1,229,143	-967,187	-14,816,504
Other expenses (income):	'	'	'	'	'
Amortization of convertible debenture discount	'	'	'	'	1,468,837
Amortization of deferred finance cost	'	'	'	'	315,000
Change in fair value of derivative liabilities	-134,603	267,000	-334,374	100,000	-43,286
Gain on accounts payable writedowns	'	'	'	'	-652,505
Interest expense	37,877	37,946	76,211	75,862	841,996
Warrant expense	'	212,400	'	212,400	597,239
Total other expenses / (income)	96,726	-517,346	258,163	-388,262	-2,527,281
Net loss	($569,202)	($931,343)	($970,980)	($1,355,449)	($17,343,785)
Basic and diluted loss per common share	$0	($0.01)	($0.01)	($0.01)	'
Weighted average number of common shares outstanding	197,225,747	131,829,342	193,025,054	127,687,202	'

Consolidated_Statements_of_Sto

Consolidated Statements of Stockholders Equity (Deficit) (unaudited) (USD $)	Common Stock	Additional paid in capital	Deficit accumulated during the development stage	Total
Balance at Jun. 30, 2012	$124,114	$8,324,417	($11,467,027)	($3,018,496)
Balance (in shares) at Jun. 30, 2012	124,113,887	'	'	'
Increase (Decrease) in Stockholders' Equity [Roll Forward]	'	'	'	'
Common stock issued for cash	22,388	609,849	'	632,237
Common stock issued for cash (in shares)	22,388,375	'	'	'
Stock warrants attached to common, proceeds allocated	'	65,361	'	65,361
Common stock issued for debenture interest payable	2,176	149,531	'	151,707
Common stock issued for debenture interest payable (in shares)	2,176,247	'	'	'
Common stock issued in exchange for accrued salaries	14,541	523,999	'	538,540
Common stock issued in exchange for accrued salaries (in shares)	14,540,589	'	'	'
Common stock issued in exchange for accounts payable	137	7,673	'	7,810
Common stock issued in exchange for accounts payable (in shares)	137,400	'	'	'
Common stock issued for employment agreement	15,000	1,035,000	'	1,050,000
Common stock issued for employment agreement (in shares)	15,000,000	'	'	'
Common stock issued for services	4,632	264,656	'	269,288
Common stock issued for services (in shares)	4,631,849	'	'	'
Stock options issued for services	'	471,023	'	471,023
Stock options issued with employment contracts	'	440,840	'	440,840
Stock options issued for extension of debenture terms	'	99,252	'	99,252
Net loss	'	'	-4,905,778	-4,905,778,000
Balance at Jun. 30, 2013	182,988	12,255,288	-16,372,805	-3,934,529
Balance (in shares) at Jun. 30, 2013	182,988,347	'	'	182,988,347
Increase (Decrease) in Stockholders' Equity [Roll Forward]	'	'	'	'
Common stock issued for cash	4,429	200,071	'	204,500
Common stock issued for cash (in shares)	4,429,167	'	'	'
Stock warrants attached to common, proceeds allocated	'	'	'	'
Common stock issued for debenture interest payable	1,545	74,666	'	76,211
Common stock issued for debenture interest payable (in shares)	1,544,446	'	'	'
Common stock issued in exchange for accrued salaries	'	'	'	'
Common stock issued in exchange for accrued salaries (in shares)	'	'	'	'
Common stock issued in exchange for accounts payable	'	'	'	'
Common stock issued in exchange for accounts payable (in shares)	'	'	'	'
Fair market value of shares issued in excess of liabilities	'	'	'	'
Common stock issued for employment agreement	'	'	'	'
Common stock issued for employment agreement (in shares)	'	'	'	'
Common stock issued for services	11,913	491,087	'	503,000
Common stock issued for services (in shares)	11,913,244	'	'	'
Cancellation	-2,000	2,000	'	'
Cancellation of shares (in shares)	-2,000,000	'	'	'
Stock options issued for services	'	'	'	'
Stock options issued with employment contracts	'	'	'	'
Stock options issued for extension of debenture terms	'	'	'	'
Net loss	'	'	-970,980	-970,980
Balance at Dec. 31, 2013	$198,875	$13,023,112	($17,343,785)	($4,121,798)
Balance (in shares) at Dec. 31, 2013	198,875,204	'	'	198,875,204

Consolidated_Statements_of_Cas

Consolidated Statements of Cash Flows (unaudited) (USD $)	6 Months Ended		67 Months Ended
	Dec. 31, 2013	Dec. 31, 2012	Dec. 31, 2013
CASH FLOWS FROM OPERATING ACTIVITIES	'	'	'
Net loss	($970,980)	($1,355,449)	($17,343,785)
Adjustments to reconcile net loss to net cash used in operating activities:	'	'	'
Stock issued for services	503,000	'	7,469,347
Options issued for services	'	181,542	911,863
Stock issued for debenture interest	'	'	831,996
Warrant expense	'	212,400	617,503
Depreciation of furniture and office equipment	'	818	15,539
Amortization of convertible debenture discount	'	'	1,468,837
Amortization of deferred finance cost	'	'	315,000
Change in fair value of warrants and embedded conversion feature	-334,374	100,000	-43,286
Net change in:	'	'	'
Deferred revenue	'	'	899
Accounts payable and accrued liabilities	-57,500	39,320	544,424
Accrued liabilities - related party	410,861	527,073	2,167,954
Cash flows used by operating activities	-372,782	-218,434	-3,043,709
CASH FLOWS FROM INVESTING ACTIVITIES	'	'	'
Purchase of license	'	'	-55,000
Proceeds from disposal of furniture and equipment	'	'	5,343
Purchase of furniture & equipment	'	'	-20,883
Cash flows provided by investing activities	'	'	-70,540
CASH FLOWS FROM FINANCING ACTIVITIES	'	'	'
Proceeds from issuance of common stock	204,500	232,897	1,933,398
Proceeds from convertible debenture issued	'	'	1,500,000
Payment of deferred finance cost	'	'	-315,000
Cash flows provided by financing activities	204,500	232,897	3,118,398
NET INCREASE (DECREASE) IN CASH	-168,282	14,463	4,149
Cash, beginning of the period	172,431	15,261	'
Cash, end of the period	4,149	29,724	4,149
Supplemental disclosure with respect to cash flows:	'	'	'
Cash paid for income taxes	'	'	'
Cash paid for interest	'	'	'
Non cash transactions	'	'	'
Issuance of common stock in connection with recapitalization	'	'	2,202
Cumulative effect of change in accounting principle on convertible notes	'	'	-49,541
Accounts payable write down	'	'	652,505
Stock issued in exchange for:	'	'	'
Accrued salaries	'	'	538,540
Accounts payable	'	'	$7,810

Summary_of_Significant_Account

Summary of Significant Accounting Policies	6 Months Ended
	Dec. 31, 2013
Summary of Significant Accounting Policies [Abstract]	'
Summary of Significant Accounting Policies	'
	Note 1. Summary of Significant Accounting Policies
	Basis of Presentation
	The accompanying unaudited consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America and the rules and regulations of the Securities and Exchange Commission for interim financial statements. Accordingly, our interim statements do not include all of the information and disclosures required for our annual financial statements. In the opinion of our management, the consolidated financial statements contain all adjustments, consisting only of normal recurring adjustments, considered necessary for a fair presentation of these interim results. These consolidated financial statements should be read in conjunction with our consolidated financial statements and notes included in our Annual Report on Form 10-K for the year ended June 30, 2013. The results for the three months and six months ended December 31, 2013 are not necessarily indicative of the results that may be expected for the full year ending June 30, 2014.
	Since November 4, 2008, the Company has changed its business plans and is no longer intending to pursue the mining of mineral rights located in Nevada. The Company intends to pursue the business plans of its subsidiary, Solterra Renewable Technologies, Inc. (“Solterra”).  The following is a brief business overview of Solterra.
	Solterra is a start-up solar technology and quantum dot manufacturing firm which was founded by Stephen Squires. Mr. Squires perceives an opportunity to acquire a significant amount of both quantum dot and solar photovoltaic market share by commercializing a low cost quantum dot processing technology and a low cost quantum dot based third generation photovoltaic technology/solar cell, pursuant to an exclusive license agreement with William Marsh Rice University (“Rice University” or “Rice”).  Our objective is to become the first bulk manufacture of high quality tetrapod quantum dots and the first solar cell manufacturer to be able to offer a solar electricity solution that competes on a non-subsidized basis with the price of retail electricity in key markets in North America, Europe, the Middle East and Asia.
	Going Concern
	The Company recorded losses from continuing operations in the current period presented. Current liabilities exceed current assets, resulting in a negative net worth and accumulated deficits during the development stage. These factors raise substantial doubt about the Company’s ability to continue as a going concern. The ability of the Company to continue as a going concern is dependent upon its ability to reverse negative operating trends, raise additional capital, and obtain debt financing.
	Management has revised its business strategy to include expansion into other lines of business. In conjunction with the anticipated new revenue streams, management is currently negotiating new debt and equity financing, the proceeds from which would be used to settle outstanding debts at more favorable terms, to finance operations, and to develop its business plans. However, there can be no assurance that the Company will be able to raise capital, obtain debt financing, or improve operating results sufficiently to continue as a going concern.
	The accompanying consolidated financial statements do not include any adjustments relating to the recoverability and classification of recorded assets, or the amounts and classification of liabilities that might be necessary if the Company is unable to continue as a going concern.

Derivatives_and_Fair_Value

Derivatives and Fair Value	6 Months Ended
	Dec. 31, 2013
Derivatives and Fair Value [Abstract]	'
Derivatives and Fair Value	'
	Note 2. Derivatives and Fair Value
	The Company has evaluated the application of ASC 815 to the Convertible Note issued November 4, 2008.  Based on the guidance in ASC 815, the Company concluded these instruments were required to be accounted for as derivatives as of July 1, 2009 due to the down round protection feature on the conversion price and the exercise price.  The Company records the fair value of these derivatives on its balance sheet at fair value with changes in the values of these derivatives reflected in the statements of operations as “Gain (loss) on derivative liabilities.”  These derivative instruments are not designated as hedging instruments under ASC 815 and are disclosed on the balance sheet under Derivative Liabilities.
	ASC 825-10 defines fair value as the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. ASC 825-10 also establishes a fair value hierarchy which requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. ASC 825-10 describes three levels of inputs that may be used to measure fair value:  Level 1  – Quoted prices in active markets for identical assets or liabilities;  Level 2– Observable inputs other than Level 1 prices, such as quoted prices for similar assets or liabilities; or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities; and  Level 3– Unobservable inputs that are supported by little or no market activity and that are financial instruments whose values are determined using pricing models, discounted cash flow methodologies, or similar techniques, as well as instruments for which the determination of fair value requires significant judgment or estimation. The Company’s Level 3 liabilities consist of the derivative liabilities associated with the November 4, 2008 note.  At June 30, 2013, all of the Company’s derivative liabilities were categorized as Level 3 fair value assets. If the inputs used to measure the financial assets and liabilities fall within more than one level described above, the categorization is based on the lowest level input that is significant to the fair value measurement of the instrument.
	Level 3 Valuation Techniques
	Financial assets are considered Level 3 when their fair values are determined using pricing models, discounted cash flow methodologies or similar techniques and at least one significant model assumption or input is unobservable.  Level 3 financial liabilities consist of the derivative liabilities for which there is no current market for these securities such that the determination of fair value requires significant judgment or estimation.  At the date of the original transaction, we valued the convertible note that contains down round provisions using a lattice model, with the assistance of a valuation consultant, for which management understands the methodologies. This model incorporates transaction details such as the Company’s stock price, contractual terms, maturity, risk free rates, as well as assumptions about future financings, volatility, and holder behavior as of July 1, 2009.  Using assumptions, consistent with the original valuation, the Company has subsequently used the Black-Scholes model for calculating the fair value, as of June 30, 2013 and 2012.   The fair value of the derivatives as of July 1, 2009 upon implementation of ASC 815-40-15 was estimated by management to be $495,912.  As part of implementing ASC 815-40-14 the Company decreased the accumulated deficit by $162,643 and decreased additional paid in capital by $212,184 and increased the discount on the convertible debenture by $446,371.  The adjustment to the accumulated deficit was a result of the interest expense recorded in connection with the original derivative liability and the reversal of prior amortization expense, and the change in fair value of the derivative liability as of July 1, 2009.
			As of December 31, 2013
			Fair Value Measuring Using
			Carrying Value				Level 1		Level 2		Level 3		Total
	Derivatives Liability		$	452,626				-		-		452,626	$	452,626
	Total Derivatives Liability		$	452,626				-		-		452,626	$	452,626
	The table below provides a summary of the changes in fair value, including net transfers in and/or out, of all financial assets measured at fair value on a recurring basis using significant unobservable inputs (Level 3) during the first six months of fiscal year 2014:
		Fair Value
		Measurements
		Using Level 3
		Inputs
		Derivative
		Liabilities			Totals
	Beginning Balance as of June 30, 2013	$	787,000			$	787,000
	Total Gains or Losses (realized/unrealized) Included in Net Loss		(334,374	)			(334,374	)
	Purchases, issuances and settelements		-				-
	Transfers in and/or out of Level 3		-				-
	Ending Balance at December 31, 2013	$	452,626			$	452,626

Convertible_Debentures

Convertible Debentures	6 Months Ended
	Dec. 31, 2013
Convertible debentures [Abstract]	'
Convertible debentures	'
	Note 3.  Convertible debentures
	Balance of convertible debentures consist of the following as of December 31, 2013 and June 30, 2013:
		31-Dec-13		30-Jun-12
	Convertible debenture	$	1,500,000	$	1,500,000
	Debenture discount amortized		-		-
	Debenture warrant value amortized		-		-
		$	1,500,000	$	1,500,000
	On November 4, 2008, Quantum Materials Corp entered into a Securities Purchase Agreement, Debenture, Security Agreement, Subsidiary Guarantee Agreement, Registration Rights Agreement, Escrow Agreement, Stock Pledge Agreement and other related transactional documents (the “Transaction Documents”) to obtain $1,500,000 in gross proceeds from three non-affiliated parties (collectively hereinafter referred to as the “Lenders”) in exchange for 3,525,000 restricted shares of Common Stock of Quantum Materials Corp (the “Restricted Shares”) and Debentures in the principal amount aggregating $1,500,000. Each Debenture originally had a term of three years maturing on November 4, 2011 bearing interest at the rate of 8% per annum and is pre-payable by Quantum Materials Corp at any time without penalty, subject to the Debenture holders’ conversion rights.  The debt is secured pursuant to a Stock Pledge Agreement, to which Stephen Squires, the Company’s Chief Executive Officer, has pledged 20,000,000 shares of stock personally held, until such time as the Debentures are paid in their entirety.  Beginning in 2011, the Company has obtained a series of annual one year extensions of the original maturity date of the Debentures, in exchange for a set amount of warrants, and is currently extended through November 4, 2014.
	The Company has also issued shares, on a quarterly basis, for interest that has accrued on the outstanding debt.
	In accounting for the above convertible debentures, the Company has recognized a derivative liability associated with the conversion feature, in the amount of $452,626 and $787,000, as of December 31, 2013 and June 30, 2013, respectively.

Related_Party_Transactions

Related Party Transactions	6 Months Ended
	Dec. 31, 2013
Related Party Transactions [Abstract]	'
Related party transactions	'
	Note 4. Related party transactions
	The Company expensed management fees to the CEO / major shareholder as well as other related party executives of $334,154 and $569,623 respectively in the six months ended December 31, 2013 and the year ended June 30, 2013.  The Company was not able to pay the some of these fees, as a result the accrued liabilities related party was $1,924,839 and $1,513,978 respectively as of December 31, 2013 and June 30, 2013.
	During the six months ended December 31, 2013 the Company recorded $5,760 of rent expense for the use of executive office space in the home of the CEO / major shareholder, $nil was paid and $5,760 was accrued.

Common_Stock

Common Stock	6 Months Ended
	Dec. 31, 2013
Equity [Abstract]	'
Common stock	'
	Note 5.  Common stock
	In July 2013, the Company issued 4,000,000 shares of common stock in exchange for services rendered, at a fair market value of $223,000.
	In August 2013, the Company issued 200,000 shares of common stock in exchange for cash at a price of $0.05 per share and 2,612,500 shares of common stock in exchange for cash at a price of $0.04 per share, for total proceeds of $112,000.
	In August 2013, the Company issued 1,700,000 shares of common stock in exchange for services of outside consultants, at a fair market value of $79,900.
	In September 2013, the Company issued 416,667 shares of common stock in exchange for cash at a price of $0.06 per share, 312,500 shares of common stock in exchange for cash at a price of $0.08 per share and 187,500 shares of common stock in exchange for cash at a price of $0.04 per share, for total proceeds of $57,500.
	In September 2013 the Company issued 766,668 shares of common stock to pay accrued interest of $38,334 for the three month period ended September 1, 2013.
	In September 2013 the CEO and majority shareholder cancelled 2,000,000 shares held.
	In October 2013, the Company issued 1,950,000 shares of common stock in exchange for services of outside consultants, at a fair market value of $114,500.
	In December 2013 the Company issued 777,778 shares of common stock to pay accrued interest of $37,877 for the three month period ended December 1, 2013.

Commitments_and_Contingencies

Commitments and Contingencies	6 Months Ended
	Dec. 31, 2013
Commitments and Contingencies [Abstract]	'
Commitments and Contingencies	'
	Note 6.  Commitments and Contingencies
	Contingency
	Certain default clauses related to the various agreements discussed in Item 2 (Management’s Plan of Operation) would result in a change of control of the board of directors.  Certain debt holders would have the option to appoint independent members to the board under such default.
	License Agreement - Work-Study Arrangements
	License Agreement with Rice University
	On August 20, 2008, Solterra entered into a License Agreement with Rice University.  In August 2013, Solterra entered into an amended License Agreement and Quantum Materials entered into a new License Agreement with Rice. Rice is the owner of certain inventions and patent applications, know-how and rights pertaining to the synthesis of uniform nanoparticle shapes with high selectivity.  We have obtained the exclusive rights to license and sublicense (subject to Rice’s consent, which shall not be unreasonably withheld), develop, manufacture, market and exploit Rice’s inventions, patent applications and any issued patents in the case of Solterra, for the manufacture and sale of photovoltaic cells and photovoltaic applications and in the case of Quantum Materials for the manufacture and sale of quantum dots for electronic and medical applications (excluding photovoltaic applications). With respect to Rice’s patent applications, Rice made a provisional filing for an invention disclosure titled “synthesis of uniform nanoparticle shapes with high selectivity” with the United States Patent and Trademark Office on April 13, 2007 and a subsequent utility filing on April 11, 2008 under the Patent Cooperation Treaty (“PCT”). PCT enables the U.S. applicant to file one application, "an international application," in a standardized format in English in the U.S. Receiving Office (the U.S. Patent and Trademark Office), and have that application acknowledged as a regular national or regional filing in any State or region that is party to the PCT. Dr. Michael Wong is a director of our company and is the inventor of Rice’s patent application licensed by Solterra.
	Our initial agreement with Rice requires the payment of certain patent fees to Rice and for us to acquire additional funding and to meet certain milestones by specific dates.  Rice and the Company recently established new milestones for the Company to achieve in the months and years ahead, the failure of which could lead to the termination of the license agreement.
	Rice is entitled to receive during the term of each License Agreement certain royalties under the License Agreement of adjusted gross sales (as defined) ranging from 2% to 4% for photovoltaic cells and 7.5% of adjusted gross sales for quantum dots sold in electronic and medical applications. Minimum royalties payable under the License Agreement include $29,450 due January 1, 2015, $217,000 due January 1, 2016, $648,750 due January 1, 2017, $2,038,500 due January 1, 2018 and $3,738,600 due January 1, 2019 and each January 1 of every year thereafter, subject to adjustments for changes in the consumer pricing index.  The term of the License Agreement is to expire on the expiration date of Rice’s rights in its intellectual property and the Licensee’s rights are worldwide. Our Agreement, as amended, with Rice provides for termination of each Agreement in the event that we are determined to be insolvent as defined in the Agreements.
	Agreement with Arizona State University
	Solterra had an agreement with Arizona State University (“ASU”) pursuant to which ASU at a cost of $835,000 will assist Solterra under the direction of Dr. Ghassan Jabbour in scaling up or optimizing the solar cells so that they can be printed. As of June 30, 2010, $630,000 of these costs in this agreement have been incurred and a further $205,000 were to accrue before the end of the fiscal year ended June 30, 2010.  During February 2010, Dr. Jabbour accepted a Directorship at the King Abdullah University of Science and Technology (KAUST), in Saudi Arabia, as a result of Dr. Jabbour now being located in Saudi Arabia it is no longer logistically feasible for him to conduct the development work at ASU. We have paid ASU $175,000 under our contract with ASU.  Dr. Jabbour is continuing his development work at the KAUST facilities and we have attempted to negotiate a substantially reduced fee payable to ASU.  Dr. Jabbour is also our Chief Science Officer and is an employee of QMC/Solterra.
	Agreement with University of Arizona
	Solterra has entered into an exclusive Patent License Agreement with the University of Arizona ("UA") to license US Patent # 7,015,052, which was issued on March 21, 2006, entitled “Screen Printing Techniques for the Fabrication of Organic Light - Emitting Diodes”. Pursuant to the License Agreement, Solterra has an exclusive license to market, sell and distribute licensed products within its field of use which is defined as organic light emitting diodes in printed electronic displays and all other printed electronic components. Solterra has the right to grant sublicenses with respect to the licensed product and the license method (as defined in the agreement). Pursuant to said agreement, as amended, we are obligated to pay minimum annual royalties of $5,000 by June 30, 2012, $25,000 by December 31, 2013, $50,000 by December 31, 2014, $125,000 by June 30, 2015 and $200,000 on each June 30th thereafter, subject to adjustments for increases in the Consumer Price Index.  Royalties based on net sales are 2% of net sales of licensed products for non-display electronic component applications and 2.5% of net sales of licensed products for printed electronic displays. Our Agreement with UA may be terminated by UA in the event that we are in breach of any provision of this Agreement and said breach continues for 60 days after receiving written notice. Our Agreement with UA will also automatically terminate if Solterra becomes insolvent or unable to pay its debts as they become due. We can provide no assurances that we will be able to meet our obligations under our Agreement with UA. Termination of our Agreement with UA could materially adversely affect our operations.
	Employment agreements
	The Company has two employment agreements in effect.  The CEO and Vice President of Research and Development each has a five year agreement which started in January 2013.   In August 2013, Robert Glass resigned from the Board of Directors and terminated his employment agreement. The Company intends to request that Dr. Glass return his 5,000,000 share signing bonus and agree to cancel his 5,000,000 options signing bonus. The Company will consider legal redress if necessary to accomplish the foregoing. No assurances can be given that the Company’s efforts to have the aforementioned securities cancelled will be successful.

Warrants

Warrants	6 Months Ended
	Dec. 31, 2013
Warrants [Abstract]	'
Warrants	'
	Note 7.  Warrants
	No warrants were issued in the three month period ending December 31, 2013. For the six months ended December 31, 2013, the Company issued warrants to purchase 2,500,000 shares of the Company’s Common Stock exercisable at prices ranging from $0.55 per share to $0.062 per share.

Subsequent_Events

Subsequent Events	6 Months Ended
	Dec. 31, 2013
Subsequent Events [Abstract]	'
Subsequent events	'
	Note 8.  Subsequent events
	On February 6, 2014, the Company closed on secured debt funding which will be used to acquire and deploy automated equipment (a microreactor) to significantly increase Tetrapod Quantum Dot production. The additional production capacity can fulfill demand for several joint development collaborations, expand sales for niche markets and new product evaluation, as well as provide Tetrapod Quantum Dot production for in house research and development needs. The Company granted warrants to the investors as well as certain rights to participate in future offerings and the right to appoint a director to the Board under certain conditions.
	Effective on February 10, 2014, the Company accepted salary conversions from seven employees totaling approximately $546,275 into 17,071,081 options. The options have a term of five years, are immediately vested and are exercisable at $.06 per share. Of the seven employees, four executive officers agreed to convert all or a portion of their accrued salaries. The number of options granted was based upon the dollar amount converted plus a 25% bonus divided by a value of $.04 per option. These options were issued under the Company’s Stock Option Plan. Chris Benjamin converted $90,000 of salary into 2,812,500 options; Stephen Squires converted $95,000 of salary into 2,968,750 options; Ghassan Jabbour converted $120,000 of salary into 3,750,000 options; and David Doderer converted $25,000 of salary into 781,250 options.

Summary_of_Significant_Account1

Summary of Significant Accounting Policies (Policies)	6 Months Ended
	Dec. 31, 2013
Summary of Significant Accounting Policies [Abstract]	'
Basis of Presentation	'
	Basis of Presentation
	The accompanying unaudited consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America and the rules and regulations of the Securities and Exchange Commission for interim financial statements. Accordingly, our interim statements do not include all of the information and disclosures required for our annual financial statements. In the opinion of our management, the consolidated financial statements contain all adjustments, consisting only of normal recurring adjustments, considered necessary for a fair presentation of these interim results. These consolidated financial statements should be read in conjunction with our consolidated financial statements and notes included in our Annual Report on Form 10-K for the year ended June 30, 2013. The results for the three months and six months ended December 31, 2013 are not necessarily indicative of the results that may be expected for the full year ending June 30, 2014.
	Since November 4, 2008, the Company has changed its business plans and is no longer intending to pursue the mining of mineral rights located in Nevada. The Company intends to pursue the business plans of its subsidiary, Solterra Renewable Technologies, Inc. (“Solterra”).  The following is a brief business overview of Solterra.
	Solterra is a start-up solar technology and quantum dot manufacturing firm which was founded by Stephen Squires. Mr. Squires perceives an opportunity to acquire a significant amount of both quantum dot and solar photovoltaic market share by commercializing a low cost quantum dot processing technology and a low cost quantum dot based third generation photovoltaic technology/solar cell, pursuant to an exclusive license agreement with William Marsh Rice University (“Rice University” or “Rice”).  Our objective is to become the first bulk manufacture of high quality tetrapod quantum dots and the first solar cell manufacturer to be able to offer a solar electricity solution that competes on a non-subsidized basis with the price of retail electricity in key markets in North America, Europe, the Middle East and Asia.
Going Concern	'
	Going Concern
	The Company recorded losses from continuing operations in the current period presented. Current liabilities exceed current assets, resulting in a negative net worth and accumulated deficits during the development stage. These factors raise substantial doubt about the Company’s ability to continue as a going concern. The ability of the Company to continue as a going concern is dependent upon its ability to reverse negative operating trends, raise additional capital, and obtain debt financing.
	Management has revised its business strategy to include expansion into other lines of business. In conjunction with the anticipated new revenue streams, management is currently negotiating new debt and equity financing, the proceeds from which would be used to settle outstanding debts at more favorable terms, to finance operations, and to develop its business plans. However, there can be no assurance that the Company will be able to raise capital, obtain debt financing, or improve operating results sufficiently to continue as a going concern.
	The accompanying consolidated financial statements do not include any adjustments relating to the recoverability and classification of recorded assets, or the amounts and classification of liabilities that might be necessary if the Company is unable to continue as a going concern.

Derivatives_and_Fair_Value_Tab

Derivatives and Fair Value (Tables)	6 Months Ended
	Dec. 31, 2013
Derivatives and Fair Value [Abstract]	'
Schedule of change in fair value of the derivative liability	'
			As of December 31, 2013
			Fair Value Measuring Using
			Carrying Value				Level 1		Level 2		Level 3		Total
	Derivatives Liability		$	452,626				-		-		452,626	$	452,626
	Total Derivatives Liability		$	452,626				-		-		452,626	$	452,626
Schedule of changes in fair value, measured on a recurring basis using significant unobservable inputs (Level 3)	'
		Fair Value
		Measurements
		Using Level 3
		Inputs
		Derivative
		Liabilities			Totals
	Beginning Balance as of June 30, 2013	$	787,000			$	787,000
	Total Gains or Losses (realized/unrealized) Included in Net Loss		(334,374	)			(334,374	)
	Purchases, issuances and settelements		-				-
	Transfers in and/or out of Level 3		-				-
	Ending Balance at December 31, 2013	$	452,626			$	452,626

Convertible_Debenturtes_Tables

Convertible Debenturtes (Tables)	6 Months Ended
	Dec. 31, 2013
Convertible debentures [Abstract]	'
Schedule of balance of convertible debentures	'
		31-Dec-13		30-Jun-12
	Convertible debenture	$	1,500,000	$	1,500,000
	Debenture discount amortized		-		-
	Debenture warrant value amortized		-		-
		$	1,500,000	$	1,500,000

Derivatives_and_Fair_Value_Det

Derivatives and Fair Value (Details) (USD $)	Dec. 31, 2013
Carrying Value	'
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]	'
Total Derivatives liabilities	$452,626
Level 1	'
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]	'
Total Derivatives liabilities	'
Level 2	'
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]	'
Total Derivatives liabilities	'
Level 3	'
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]	'
Total Derivatives liabilities	452,626
Total	'
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]	'
Total Derivatives liabilities	452,626
Derivatives Liability | Carrying Value	'
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]	'
Total Derivatives liabilities	452,626
Derivatives Liability | Level 1	'
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]	'
Total Derivatives liabilities	'
Derivatives Liability | Level 2	'
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]	'
Total Derivatives liabilities	'
Derivatives Liability | Level 3	'
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]	'
Total Derivatives liabilities	452,626
Derivatives Liability | Total	'
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]	'
Total Derivatives liabilities	$452,626

Derivatives_and_Fair_Value_Det1

Derivatives and Fair Value (Details 1) (USD $)	6 Months Ended
	Dec. 31, 2013
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward]	'
Beginning Balance as of June 30, 2013	$787,000
Total Gains or Losses (realized/unrealized) Included in Net Loss	-334,374
Purchases, issuances and settlements	'
Transfers in and/or out of Level 3	'
Ending Balance at December 31, 2013	452,626
Fair Value Measurements Using Level 3 Inputs - Derivative Liabilities	'
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward]	'
Beginning Balance as of June 30, 2013	787,000
Total Gains or Losses (realized/unrealized) Included in Net Loss	-334,374
Purchases, issuances and settlements	'
Transfers in and/or out of Level 3	'
Ending Balance at December 31, 2013	$452,626

Derivatives_and_Fair_Value_Det2

Derivatives and Fair Value (Detail Textuals) (USD $)	6 Months Ended
	Dec. 31, 2013	Jul. 01, 2009
Derivatives and Fair Value [Abstract]	'	'
Amount of fair value of the derivatives	'	$495,912
Decrease in accumulated deficit	162,643	'
Decrease in additional paid in capital	212,184	'
Increase in discount on the convertible debenture	$446,371	'

Convertible_Debenturtes_Detail

Convertible Debenturtes (Details) (Convertible debt, USD $)	Dec. 31, 2013	Jun. 30, 2013
Convertible debt	'	'
Short-term Debt [Line Items]	'	'
Convertible debenture	$1,500,000	$1,500,000
Debenture discount amortized	'	'
Debenture warrant value amortized	'	'
Convertible debenture, net of discount	$1,500,000	$1,500,000

Convertible_Debenturtes_Detail1

Convertible Debenturtes (Detail Textuals) (USD $)	6 Months Ended		67 Months Ended	6 Months Ended	12 Months Ended	0 Months Ended
	Dec. 31, 2013	Dec. 31, 2012	Dec. 31, 2013	Dec. 31, 2013	Jun. 30, 2013	Nov. 04, 2008
				Convertible debt	Convertible debt	Convertible debt
						Warrant
						Affiliate
Short-term Debt [Line Items]	'	'	'	'	'	'
Proceeds from convertible debenture issued	'	'	$1,500,000	'	'	$1,500,000
Number of non-affiliated parties	'	'	'	'	'	3
Number of restricted stock issued	'	'	'	'	'	3,525,000
Number of maturing term for debentures	'	'	'	'	'	'3 years
Interest bering rate of debentures per annum	'	'	'	'	'	8.00%
Number of extension for maturity date of the debentures	'1 year	'	'	'	'	'
Common stock purchased to issue warrants	'	'	'	'	'	20,000,000
Derivative liability associated with the conversion feature	'	'	'	$452,626	$787,000	'

Related_Party_Transactions_Det

Related Party Transactions (Detail Textuals) (CEO / major shareholder, USD $)	6 Months Ended	12 Months Ended
	Dec. 31, 2013	Jun. 30, 2013
CEO / major shareholder	'	'
Class of Warrant or Right [Line Items]	'	'
Amount of management fees	$334,154	$569,623
Amount of accrued salaries	1,924,839	1,513,978
Operating leases, rent expense	5,760	'
Accrued rent	$5,760	'

Common_Stock_Details_Textual

Common Stock (Details Textual) (USD $)	1 Months Ended					6 Months Ended		12 Months Ended	67 Months Ended
	Dec. 31, 2013	Oct. 31, 2013	Sep. 30, 2013	Aug. 31, 2013	Jul. 31, 2013	Dec. 31, 2013	Dec. 31, 2012	Jun. 30, 2013	Dec. 31, 2013	Sep. 01, 2013
Schedule Of Stock [Line Items]	'	'	'	'	'	'	'	'	'	'
Common stock issued for services (in shares)	'	1,950,000	'	1,700,000	4,000,000	'	'	'	'	'
Common stock issued for services	'	$114,500	'	$79,900	$223,000	$503,000	'	$269,288	'	'
Number of common stock issued to pay accrued interest (in shares)	777,778	'	766,668	'	'	'	'	'	'	'
Accrued interest	37,877	'	'	'	'	37,877	'	'	37,877	38,334
Shares cancelled by shareholders	'	'	2,000,000	'	'	'	'	'	'	'
Proceeds from issuance of common stock	'	'	'	'	'	204,500	232,897	'	1,933,398	'
$0.05 per share	'	'	'	'	'	'	'	'	'	'
Schedule Of Stock [Line Items]	'	'	'	'	'	'	'	'	'	'
Number of common shares issued in exchange for cash (in shares)	'	'	'	200,000	'	'	'	'	'	'
Per share price	'	'	'	$0.05	'	'	'	'	'	'
$0.04 per share	'	'	'	'	'	'	'	'	'	'
Schedule Of Stock [Line Items]	'	'	'	'	'	'	'	'	'	'
Number of common shares issued in exchange for cash (in shares)	'	'	187,500	2,612,500	'	'	'	'	'	'
Per share price	'	'	0.04	$0.04	'	'	'	'	'	'
Proceeds from issuance of common stock	'	'	57,500	$112,000	'	'	'	'	'	'
$0.06 per share	'	'	'	'	'	'	'	'	'	'
Schedule Of Stock [Line Items]	'	'	'	'	'	'	'	'	'	'
Number of common shares issued in exchange for cash (in shares)	'	'	416,667	'	'	'	'	'	'	'
Per share price	'	'	0.06	'	'	'	'	'	'	'
$0.08 per share	'	'	'	'	'	'	'	'	'	'
Schedule Of Stock [Line Items]	'	'	'	'	'	'	'	'	'	'
Number of common shares issued in exchange for cash (in shares)	'	'	312,500	'	'	'	'	'	'	'
Per share price	'	'	0.08	'	'	'	'	'	'	'

Commitments_and_Contingencies_

Commitments and Contingencies (Details Textuals) (License agreements, Solterra Renewable Technologies, Inc, USD $)	6 Months Ended
	Dec. 31, 2013
Commitment and Contingencies [Line Items]	'
Royalties payable due in January 1, 2015	29,450
Royalties payable due in January 1, 2016	217,000
Royalties payable due in January 1, 2017	648,750
Royalties payable due in January 1, 2018	2,038,500
Royalties payable due in January 1, 2019	3,738,600
Photovoltaic cells | Minimum	'
Commitment and Contingencies [Line Items]	'
Percentage of adjusted gross sales	2.00%
Photovoltaic cells | Maximum	'
Commitment and Contingencies [Line Items]	'
Percentage of adjusted gross sales	4.00%
Quantum dots	'
Commitment and Contingencies [Line Items]	'
Percentage of adjusted gross sales	7.50%

Commitments_and_Contingencies_1

Commitments and Contingencies (Details Textuals 1) (USD $)	6 Months Ended
	Dec. 31, 2013
Arizona State University Agreement | Solterra Renewable Technologies, Inc	'
Commitment and Contingencies [Line Items]	'
Agreement Cost	$835,000
Agreement Cost Incurred	630,000
Accrued Agreement Cost	205,000
Agreement Cost Paid	175,000
Patent license agreement with University of Arizona | Solterra Renewable Technologies, Inc	'
Commitment and Contingencies [Line Items]	'
Royalties, minimum payments, by June 30,2012	5,000
Royalties, future minimum payments, by December 31, 2013	25,000
Royalties, future minimum payments, by December 31, 2014	50,000
Royalties, future minimum payments, by June 30, 2015	125,000
Royalties, future minimum payments due on each June 30th thereafter	$200,000
Period of breach continuation	'60 days
Patent license agreement with University of Arizona | Solterra Renewable Technologies, Inc | Non-display electronic component applications	'
Commitment and Contingencies [Line Items]	'
Percentage of sales	2.00%
Patent license agreement with University of Arizona | Solterra Renewable Technologies, Inc | Printed electronic displays	'
Commitment and Contingencies [Line Items]	'
Percentage of sales	2.50%
Employment agreements	'
Commitment and Contingencies [Line Items]	'
Number of agreements	2
Bonus Shares Return	5,000,000
Employment agreements | Chief Technology Officer	'
Commitment and Contingencies [Line Items]	'
Term of agreement	'5 years

Warrants_Detail_Textual

Warrants (Detail Textual) (Warrant [Member])	Dec. 31, 2013
Warrants (Textual)	'
Warrants issued	2,500,000
Maximum [Member]	'
Warrants (Textual)	'
Exercise price of warrants (in dollars per share)	0.55
Minimum [Member]	'
Warrants (Textual)	'
Exercise price of warrants (in dollars per share)	0.062

Subsequent_Events_Details

Subsequent Events (Details) (Subsequent Event [Member], Employee Stock Option [Member], USD $)	0 Months Ended
	Feb. 10, 2014
	Employee
Subsequent Event [Line Items]	'
Accrued salary	$546,275
Option issued in exchange	17,071,081
Option exercisable weighted average exercise price	$0.06
Number of employees	7
Option term	'5 years
Percentage of bonus received	25.00%
Option exercise price	$0.04
Chris Benjamin [Member]	'
Subsequent Event [Line Items]	'
Accrued salary	90,000
Option issued in exchange	2,812,500
Stephen Squires [Member]	'
Subsequent Event [Line Items]	'
Accrued salary	95,000
Option issued in exchange	2,968,750
Ghassan Jabbour [Member]	'
Subsequent Event [Line Items]	'
Accrued salary	120,000
Option issued in exchange	3,750,000
David Doderer [Member]	'
Subsequent Event [Line Items]	'
Accrued salary	$25,000
Option issued in exchange	781,250