Document_and_Entity_Informatio
Document and Entity Information | 3 Months Ended | |
Mar. 31, 2014 | 8-May-14 | |
Document and Entity Information | ' | ' |
Entity Registrant Name | 'Lithium Corp | ' |
Document Type | '10-Q | ' |
Document Period End Date | 31-Mar-14 | ' |
Amendment Flag | 'false | ' |
Entity Central Index Key | '0001415332 | ' |
Current Fiscal Year End Date | '--12-31 | ' |
Entity Common Stock, Shares Outstanding | ' | 74,911,408 |
Entity Filer Category | 'Smaller Reporting Company | ' |
Entity Current Reporting Status | 'Yes | ' |
Entity Voluntary Filers | 'No | ' |
Entity Well-known Seasoned Issuer | 'No | ' |
Document Fiscal Year Focus | '2014 | ' |
Document Fiscal Period Focus | 'Q1 | ' |
Consolidated_Balance_Sheets_un
Consolidated Balance Sheets (unaudited) (USD $) | Mar. 31, 2014 | Dec. 31, 2013 |
CURRENT ASSETS | ' | ' |
Cash | $674,431 | $807,566 |
Deposits | 700 | 700 |
Prepaid Expenses | 20,218 | 22,401 |
TOTAL OTHER CURRENT ASSETS | 695,349 | 830,657 |
OTHER ASSETS | ' | ' |
Deposits - other | 65,000 | 0 |
Mineral Properties | 187,653 | 188,348 |
TOTAL OTHER ASSETS | 252,653 | 183,348 |
TOTAL ASSETS | 948,002 | 1,019,005 |
CURRENT LIABILITIES | ' | ' |
Accounts payable and accrued liabilities, | 8,280 | 12,982 |
TOTAL CURRENT LIABILITIES | 8,280 | 12,982 |
TOTAL LIABILITIES | 8,280 | 12,982 |
Commitments and contingencies | 0 | 0 |
STOCKHOLDERS' EQUITY | ' | ' |
Common Stock, 3,000,000,000 shares authorized, par value $0.01; 74,911,408 common shares outstanding . | 74,912 | 74,912 |
Additional paid in capital | 3,370,703 | 3,370,703 |
Additional paid in capital - Options | 120,578 | 120,578 |
Additional paid in capital - Warrants | 257,949 | 257,949 |
Deficit accumulated during the Exploration stage | -2,884,420 | -2,818,119 |
TOTAL STOCKHOLDERS' EQUITY | 939,722 | 1,006,023 |
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY | $948,002 | $1,019,005 |
Consolidated_Balance_Sheets_Pa
Consolidated Balance Sheets Parentheticals(unaudited) (USD $) | Mar. 31, 2014 | Dec. 31, 2013 |
Balance sheet parentheicals | ' | ' |
Common stock par value | $0.01 | $0.01 |
Common stock shares authorized | 3,000,000,000 | 3,000,000,000 |
Common stock shares issued | 74,911,408 | 74,661,408 |
Common stock shares outstanding | 74,911,408 | 74,661,408 |
Consolidated_Statements_of_Ope
Consolidated Statements of Operations (unaudited) (USD $) | 3 Months Ended | 86 Months Ended | |
Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2014 | |
Income Statement | ' | ' | ' |
REVENUE | $0 | $0 | $0 |
OPERATING EXPENSES | ' | ' | ' |
Professional fees | 11,362 | 15,485 | 284,633 |
Depreciation; | 0 | 54 | 2,434 |
Exploration expenses | 7,222 | 6,144 | 746,439 |
Consulting fees | 24,150 | 27,900 | 395,005 |
Insurance expense | 0 | 4,372 | 48,786 |
Investor relations; | 7,235 | 17,204 | 279,520 |
Management fees | 0 | 0 | 53,800 |
Transfer agent and filing fees | 550 | 2,013 | 55,142 |
Travel | 12,480 | 6,279 | 105,842 |
Stock based compensation | 0 | 10,089 | 296,102 |
Website development costs | 0 | 0 | 3,912 |
Write-down of website costs | 0 | 0 | 12,000 |
Write-down of mineral properties | 0 | 0 | 518,746 |
General and Administration | 3,396 | 2,274 | 91,437 |
TOTAL OPERATING EXPENSES | 66,395 | 91,814 | 2,893,798 |
LOSS FROM OPERATIONS | -66,395 | -91,814 | -2,893,798 |
OTHER INCOME (EXPENSES) | ' | ' | ' |
Other Income | 0 | 0 | 17,952 |
Interest expense | 0 | 0 | -11,850 |
Interest income | 94 | 94 | 3,276 |
TOTAL OTHER INCOME (EXPENSE) | 94 | 94 | 9,378 |
LOSS BEFORE INCOME TAXES | -66,301 | -91,720 | -2,884,420 |
PROVISION FOR INCOME TAXES | 0 | 0 | 0 |
NET LOSS | ($66,301) | ($91,720) | ($2,884,420) |
NET LOSS PER SHARE: BASIC AND DILUTED | $0 | $0 | $0 |
WEIGHTED AVERAGE NUMBER OF SHARES OUTSTANDING: BASIC AND DILUTED | 74,911,408 | 74,661,408 | 0 |
Consolidated_Statements_of_Cas
Consolidated Statements of Cash Flows (unaudited) (USD $) | 3 Months Ended | 86 Months Ended | |
Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2014 | |
CASH FLOWS FROM OPERATING ACTIVITIES: | ' | ' | ' |
Net loss for the period | ($66,301) | ($91,720) | ($2,884,420) |
Adjustment to reconcile net loss to net loss used in operating activities: | ' | ' | ' |
Write-down of software development, | 0 | 0 | 12,000 |
Write-down of mineral properties, | 0 | 0 | 518,747 |
Stock based compensation , | 0 | 10,089 | 296,102 |
Amortization | 0 | 54 | 2,433 |
Changes in assets and liabilities: | ' | ' | ' |
(Increse ) in deposits | 0 | 0 | 700 |
(Increase) decrease in prepaid expenses | 2,183 | 28,294 | 20,218 |
Increase (decrease) in accounts payable and accrued liabilities | -4,702 | -38,804 | -8,280 |
Net Cash Used in Operating Activities | -68,820 | -92,087 | -2,067,776 |
CASH FLOWS FROM INVESTING ACTIVITIES: | ' | ' | ' |
Purchase of equipment | 0 | 0 | -2,433 |
Purchase of software development | 0 | 0 | 12,000 |
Deposit - other | -65,000 | 0 | -65,000 |
Interest in mineral properties | 695 | -2,436 | -435,400 |
Net Cash Used in Investing Activities | -64,305 | -2,436 | -514,833 |
CASH FLOWS FROM FINANCING ACTIVITIES: | ' | ' | ' |
Proceeds from (repayment to) director | 0 | 0 | 6,335 |
Proceeds from sale of stock | 0 | 0 | 3,250,705 |
Net Cash Provided by Financing Activities | 0 | 0 | 3,257,040 |
Increase (decrease) in cash | -133,125 | -94,523 | 674,431 |
Cash, beginning of period | 807,556 | 1,186,651 | 0 |
Cash, end of period | 674,431 | 1,092,128 | 674,431 |
SUPPLEMENTAL CASH FLOW INFORMATION: | ' | ' | ' |
Cash paid for interest | 0 | 0 | 10,451 |
Cash paid for income taxes | 0 | 0 | 0 |
SUPPLEMENTAL NON-CASH INVESTING AND FINANCING ACTIVITIES: | ' | ' | ' |
Common stock issued for mineral properties | 0 | 0 | 271,000 |
Shareholder debt converted to contributed capital | $0 | $0 | $6,335 |
SUMMARY_OF_SIGNIFICANT_ACCOUNT
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | 3 Months Ended |
Mar. 31, 2014 | |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | ' |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | ' |
NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | |
Lithium Corporation (formerly Utalk Communications Inc.) was incorporated on | |
January 30, 2007 under the laws of Nevada. On September 30, 2009, Utalk | |
Communications Inc. changed its name to Lithium Corporation. | |
Nevada Lithium Corporation was incorporated on March 16, 2009 under the laws of | |
Nevada under the name Lithium Corporation. On September 10, 2009, the Company | |
amended its articles of incorporation to change its name to Nevada Lithium | |
Corporation. By agreement dated October 9, 2009 Nevada Lithium Corporation and | |
Lithium Corporation amalgamated as Lithium Corporation. Lithium Corporation is | |
engaged in the acquisition and development of certain lithium interests in the | |
state of Nevada, and is currently in the exploration stage. These financial | |
statements have been prepared in accordance with U.S. generally accepted | |
accounting principles. | |
Exploration Stage Company | |
The accompanying financial statements have been prepared in accordance with | |
generally accepted accounting principles related to accounting and reporting by | |
exploration stage companies. An exploration stage company is one in which | |
planned principal operations have not commenced or if its operations have | |
commenced, there has been no significant revenues there from. | |
Accounting Basis | |
The Company uses the accrual basis of accounting and accounting principles | |
generally accepted in the United States of America ("GAAP" accounting). The | |
Company has adopted a December 31 fiscal year end. | |
Basis of Presentation | |
The accompanying unaudited interim financial statements of BMIX have been | |
prepared in accordance with accounting principles generally accepted in the | |
United States of America and the rules of the Securities and Exchange Commission | |
("SEC"), and should be read in conjunction with the audited financial statements | |
and notes thereto contained in the Company's Annual Report on Form 10-K for the | |
fiscal year ended December 31, 2013 filed with the SEC. In the opinion of | |
management, all adjustments, consisting of normal recurring adjustments, | |
necessary for the financial statements to be not misleading have been reflected | |
herein. The results of operations for interim periods are not necessarily | |
indicative of the results to be expected for the full year. Certain notes to the | |
financial statements which would substantially duplicate the disclosure | |
contained in the audited financial statements for the most recent fiscal year | |
2012 as reported in Form 10-K, have been omitted. | |
Cash and Cash Equivalents | |
Cash includes cash on account, demand deposits, and short-term instruments with | |
maturities of three months or less. | |
Concentrations of Credit Risk | |
The Company maintains its cash in bank deposit accounts, the balances of which | |
at times may exceed federally insured limits. The Company continually monitors | |
its banking relationships and consequently has not experienced any losses in | |
such accounts. The Company believes it is not exposed to any significant credit | |
risk on cash and cash equivalents. | |
Use of Estimates | |
The preparation of financial statements in conformity with generally accepted | |
accounting principles requires management to make estimates and assumptions that | |
affect the reported amounts of assets and liabilities and disclosure of | |
contingent assets and liabilities at the date of the financial statements and | |
the reported amount of revenues and expenses during the reporting period. Actual | |
results could differ from those estimates. | |
Revenue Recognition | |
The Company is in the exploration stage and has yet to realize revenues from | |
operations. Once the Company has commenced operations, it will recognize | |
revenues when delivery of goods or completion of services has occurred provided | |
there is persuasive evidence of an agreement, acceptance has been approved by | |
its customers, the fee is fixed or determinable based on the completion of | |
stated terms and conditions, and collection of any related receivable is | |
probable. | |
Loss per Share | |
Basic loss per share is computed by dividing loss available to common | |
shareholders by the weighted average number of common shares outstanding during | |
the year. The computation of diluted earnings per share assumes the conversion, | |
exercise or contingent issuance of securities only when such conversion, | |
exercise or issuance would have a dilutive effect on earnings per share. The | |
dilutive effect of convertible securities is reflected in diluted earnings per | |
share by application of the "if converted" method. In the periods in which a | |
loss is incurred, the effect of potential issuances of shares under options and | |
warrants would be anti-dilutive, and therefore basic and diluted losses per | |
share are the same. | |
Property and Equipment | |
Property and equipment is stated on the basis of historical cost less | |
accumulated depreciation. Depreciation is provided using the straight-line | |
method over the estimated useful lives of the assets which has been estimated as | |
two years. Impairment losses are recorded on property and equipment when | |
indicators of impairment are present and the undiscounted cash flows estimated | |
to be generated by those assets are less than the assets' carrying amount. | |
Income Taxes | |
The asset and liability approach is used to account for income taxes by | |
recognizing deferred tax assets and liabilities for the expected future tax | |
consequences of temporary differences between the carrying amounts and the tax | |
basis of assets and liabilities. | |
Financial Instruments | |
The Company's financial instruments consist of cash, deposits, prepaid expenses, | |
and accounts payable and accrued liabilities. Unless otherwise noted, it is | |
management's opinion that the Company is not exposed to significant interest, | |
currency or credit risks arising from these financial instruments. Because of | |
the short maturity and capacity of prompt liquidation of such assets and | |
liabilities, the fair value of these financial instruments approximate their | |
carrying values, unless otherwise noted. | |
Mineral Properties | |
Costs of exploration, carrying and retaining unproven mineral lease properties | |
are expensed as incurred. Mineral property acquisition costs are capitalized | |
including licenses and lease payments. Although the Company has taken steps to | |
verify title to mineral properties in which it has an interest, these procedures | |
do not guarantee the Company's title. Such properties may be subject to prior | |
agreements or transfers and title may be affected by undetected defects. | |
Impairment losses are recorded on mineral properties used in operations when | |
indicators of impairment are present and the undiscounted cash flows estimated | |
to be generated by those assets are less than the assets' carrying amount. | |
Impairment of $0 and $0 was recorded during the three months ended March 31, | |
2014 and 2013, respectively. | |
Office Lease | |
The Company rents office space in Las Vegas, Nevada for $700 per month. The | |
arrangement is on a month-by-month basis and can be terminated by either party. | |
PREPAID_EXPENSES
PREPAID EXPENSES | 3 Months Ended |
Mar. 31, 2014 | |
Prepaid Expenses, | ' |
PREPAID EXPENSES | ' |
NOTE 2 - PREPAID EXPENSES | |
Prepaid expenses consisted of the following at March 31, 2014 and December 31, | |
2013:00:00 | |
March 31, 2014 December 31, 2013 | |
-------------- ----------------- | |
Professional fees $ 963 $ 1,925 | |
Exploration costs -- -- | |
Bonds 16,271 16,271 | |
Transfer fees 1,350 1,800 | |
Insurance -- -- | |
Office Misc 629 1,065 | |
Investor relations 1,005 1,340 | |
Consulting -- -- | |
-------- -------- | |
Total prepaid expenses $ 20,218 $ 22,401 | |
===nbsp; ===/pre> | |
PROPERTY_AND_EQUIPMENT
PROPERTY AND EQUIPMENT | 3 Months Ended |
Mar. 31, 2014 | |
PROPERTY AND EQUIPMENT: | ' |
PROPERTY AND EQUIPMENT | ' |
NOTE 3 - PROPERTY AND EQUIPMENT | |
March 31, 2014 December 31, 2013 | |
-------------- ----------------- | |
Computer Equipment $ 2,433 $ 2,433 | |
Less: Accumulated amortization (2,433) (2,433) | |
-------- -------- | |
Property and equipment, net $ -- $ -- | |
===nbsp; ===/pre> | |
Amortization expense was $0 and $54 for the three months ended March 31, 2014 | |
and 2013, respectively. | |
MINERAL_PROPERTIES
MINERAL PROPERTIES | 3 Months Ended |
Mar. 31, 2014 | |
MINERAL PROPERTIES | ' |
MINERAL PROPERTIES | ' |
NOTE 4 - MINERAL PROPERTIES | |
FISH LAKE PROPERTY | |
The Company has purchased a 100% interest in the Fish Lake property by making | |
staged payments of $350,000 worth of common stock. Title to the pertinent claims | |
was transferred to the Company through quit claim deed dated June 1, 2011, and | |
this quitclaim was recorded at the county level on August 3, 2011 and at the BLM | |
on August 4, 2011. Quarterly stock disbursements were made on the following | |
schedule: | |
1st Disbursement: Within 10 days of signing agreement (paid) | |
2nd Disbursement: within 10 days of June 30, 2009 (paid) | |
3rd Disbursement: within 10 days of December 30, 2009 (paid) | |
4th Disbursement: within 10 days of March 31, 2010 (paid) | |
5th Disbursement: within 10 days of June 30, 2010 (paid) | |
6th Disbursement: within 10 days of September 30, 2010 (paid) | |
7th Disbursement: within 10 days of December 31, 2010 (paid) | |
8th Disbursement: within 10 days of March 31, 2011 (paid) | |
As at March 31, 2014, the Company has recorded $436,764 in acquisition costs | |
related to the Fish Lake Property and associated impairment of $276,908 related | |
to abandonment of claims. The carrying value of the Fish Lake Property was | |
$159,856 as of March 31, 2014. | |
The Company entered into an agreement in April 2013, as amended in August 2013, | |
whereby it earned a 100% interest in the Mt. Heimdal Flake Graphite property in | |
BC, subject to a 1.5% net overriding royalty. The carrying value of the Mt. | |
Heimdal property is $300. | |
In June 2013, the company purchased claims in the Cherryville, BC area for | |
250,000 shares of the Company's common stock. Since this time the company has | |
expanded the claim block considerably, and has expended approximately $45,000 to | |
date exploring this property for . In January, 2014, the | |
company agreed to buy back the shares issued pursuant to the June agreement for | |
$2,500. The buy-back was completed in April, 2014. | |
In January 2014 the company contracted to purchase a 25% interest in Summa LLC., | |
a private holding company that's main asset is the residual lands of Howard | |
Hughes's Summa Corp patented mineral claims in Nevada. The Company closed on | |
this acquisition on April 24, 2014, by paying the balance of the $100,000 owing | |
for the interest in Summa LLC. As of March 31, 2014, the Company has deposited | |
$62,500 toward the purchase interest in Summa LLC. | |
STAKED PROPERTIES | |
The Company has staked claims with various registries as summarized below: | |
Net Carry | |
Name Claims Cost Impairment Value | |
---- ------ ---- ---------- ----- | |
SanEmidio 20 (1,600) $11,438 $(5,719) $ 5,719 | |
Cherryville/BC Sugar 8019.41 (hectares) $21,778 Nil $21,778 | |
The Company performs an impairment test on an annual basis to determine whether | |
a write-down is necessary with respect to the properties. The Company believes | |
no circumstances have occurred and no evidence has been uncovered that warrant a | |
write-down of the mineral properties other than those abandoned by management | |
and thus included in write-down of mineral properties. No impairment charges | |
were recorded during the three months ended March 31, 2014. | |
CAPITAL_STOCK
CAPITAL STOCK | 3 Months Ended |
Mar. 31, 2014 | |
CAPITAL STOCK | ' |
CAPITAL STOCK | ' |
NOTE 5 - CAPITAL STOCK | |
The Company is authorized to issue 300,000,000 shares of it $0.001 par value | |
common stock. On September 30, 2009, the Company effected a 60-for-1 forward | |
stock split of its $0.001 par value common stock. | |
All share and per share amounts have been retroactively restated to reflect the | |
splits discussed above. | |
COMMON STOCK | |
On January 30, 2007, the Company issued 240,000,000 shares of its common stock | |
to founders for proceeds of $20,000. | |
During the year-ended December 31, 2008, the Company issued 28,200,000 shares of | |
its common stock for total proceeds of 47,000. | |
On October 9, 2009, the Company cancelled 220,000,000 shares of its common | |
stock. Also on October 9, 2009, the Company issued 12,350,000 shares of its | |
common stock for 100 percent of the issued and outstanding stock of Nevada | |
Lithium Corp. Refer to Note 3. | |
On January 10, 2010, the Company issued 53,484 shares of its common stock as | |
part of the Fish Lake Property acquisition. | |
On March 24, 2010, the Company issued 2,000,000 units in a private placement, | |
raising gross proceeds of $2,000,000, or $1.00 per unit. Each unit consists of | |
one common share in the capital of our company and one non-transferable common | |
share purchase warrant. Each whole common share purchase warrant | |
non-transferable entitles the holder thereof to purchase one share of common | |
stock in the capital of our company, for a period of twelve months commencing | |
the closing, at a purchase price of $1.20 per warrant share and at a purchase | |
price of $1.35 per warrant share for a period of twenty-four months thereafter. | |
On April 30, 2010, the Company issued 38,068 shares of its common stock as part | |
of the Fish Lake Property acquisition. | |
On July 10, 2010, the Company issued 104,168 shares of its common stock as part | |
of the Fish Lake Property acquisition. | |
On October 10, 2010, the Company issued 171,568 of its common stock as part of | |
the Fish Lake Property acquisition. | |
On January 10, 2011, the Company issued 163,856 shares of its common stock as | |
part of the Fish Lake Property acquisition. | |
On April 10, 2011, the Company issued 230,264 shares of its common stock as part | |
of the Fish Lake Property acquisition. | |
On April 28, 2011, the Company issued 150,000 shares of its common stock as part | |
of a stock option exercise. | |
On May 5, 2011, the Company issued 200,000 shares of its common stock as part of | |
a stock option exercise. | |
On November 19, 2012, the Company issued 11,000,000 shares of its common stock | |
as part of private placement. | |
On June 6, 2013, the Company issued 250,000 shares of its common stock as part | |
of the Cherryville property acquisition located in British Columbia. | |
On January 17, 2014 the Company repurchased the 250,000 shares of its common | |
stock issued as part of the Cherryville property acquisition for $2,500. The | |
amount has been recorded as a deposit at March 31, 2014 as the shares were | |
returned to the treasury in April 2014. | |
There were 74,911,408 shares of common stock issued and outstanding as of March | |
31, 2014. | |
WARRANTS | |
Outstanding at | |
Issue Date Number Price Expiry Date March 31, 2014 | |
---------- ------ ----- ----------- -------------- | |
Nov. 19, 2012 11,000,000 $0.15 Nov. 18, 2014 11,000,000 | |
The warrants were valued using the Black-Scholes option pricing model using the | |
following assumptions: term of 5 years, dividend yield of 0%, risk free interest | |
rates of 0.67% and volatility of 129%. The fair value of the warrants was | |
adjusted against additional paid in capital. | |
STOCK BASED COMPENSATION | |
During the year ended December 31, 2010, the Company granted 500,000 consultants | |
options at an exercise price of $0.28 and 400,000 options at an exercise price | |
of $0.24 to consultants in exchange for various professional services. On May | |
31, 2012, the options granted with exercise prices of $0.28 and $0.24were | |
modified to exercise prices at $0.07. The modification resulted in stock based | |
compensation of $11,524. Also on May 31, 2012, the Company granted an additional | |
400,000 options to consultants for management services with an exercise price of | |
$0.07. These options were vested on the date of grant and resulted in | |
stock-based compensation of $23,891. | |
On March 15, 2013, all pre-existing options were modified to exercise prices of | |
$0.045. The modification resulted in stock-based compensation of $8,848. Also on | |
March 15, 2013, the Company issued an additional 200,000 options at an exercise | |
price of $0.045 to consultants for management services. These options were | |
vested on the date of grant and resulted in stock-based compensation of $7,794. | |
The Company uses the Black-Scholes option valuation model to value stock | |
options. The Black-Scholes model was developed for use in estimating the fair | |
value of traded options that have no vesting restrictions and are fully | |
transferable. The model requires management to make estimates, which are | |
subjective and may not be representative of actual results. Assumptions used to | |
determine the fair value of the remaining stock options are as follows: | |
Modification New Options | |
------------ ----------- | |
Risk free interest rate 0.35% 0.67% | |
Expected dividend yield 0% 0% | |
Expected stock price volatility 129% 129% | |
Expected life of options 3 years 5 years | |
Weighted Total | |
Total Average Weighted | |
Exercise Options Remaining Life Average Options | |
Prices Outstanding (Years) Exercise Price Exercisable | |
------ ----------- ------- -------------- ----------- | |
$0.045 800,000 2.3 $0.045 800,000 | |
Total stock-based compensation for the quarter-ended March 31, 2014 was $Nil | |
(March 31, 2013: $10,089). | |
The following table summarizes the stock options outstanding at March 31, 2014: | |
Outstanding at | |
Issue Date Number Price Expiry Date March 31, 2014 | |
---------- ------ ----- ----------- -------------- | |
September 23, 2010 500,000 $0.045 September 23, 2015 500,000 | |
September 23, 2010 500,000 $0.045 September 23, 2015 500,000 | |
May 31, 2012 100,000 $0.045 May 31, 2017 100,000 | |
March 15, 2013 200,000 $0.045 March 15, 2018 200,000 | |
INCOME_TAXES
INCOME TAXES | 3 Months Ended |
Mar. 31, 2014 | |
INCOME TAXES | ' |
INCOME TAXES | ' |
NOTE 6 - INCOME TAXES | |
As of March 31, 2014, the Company had net operating loss carry forwards of | |
approximately $2,884,420 that may be available to reduce future years' taxable | |
income in varying amounts through 2033. Future tax benefits which may arise as a | |
result of these losses have not been recognized in these financial statements, | |
as their realization is determined not likely to occur and accordingly, the | |
Company has recorded a valuation allowance for the deferred tax asset relating | |
to these tax loss carry-forwards. | |
The provision for Federal income tax consists of the following for the three | |
months ended March 31, 2014 and 2013: | |
2014 2013 | |
---------- ---------- | |
Federal income tax benefit attributable to: | |
Current operations $ 22,542 $ 31,185 | |
Less: valuation allowance (22,542) (31,185) | |
---------- ---------- | |
Net provision for Federal income taxes $ 0 $ 0 | |
====bsp; ====pre> | |
The cumulative tax effect at the expected rate of 34% of significant items | |
comprising our net deferred tax amount is as follows at March 31, 2014 and | |
December 31, 2013: | |
March 31, 2014 December 31, 2013 | |
-------------- ----------------- | |
Deferred tax asset attributable to: | |
Net operating loss carryover $ 980,702 $ 958,160 | |
Less: valuation allowance (980,702) (958,160) | |
---------- ---------- | |
Net deferred tax asset $ 0 $ 0 | |
====bsp; ====pre> | |
Due to the change in ownership provisions of the Tax Reform Act of 1986, net | |
operating loss carry forwards of approximately $2,884,420 for Federal income tax | |
reporting purposes are subject to annual limitations. Should a change in | |
ownership occur net operating loss carry forwards may be limited as to use in | |
future years. | |
SUBSEQUENT_EVENTS
SUBSEQUENT EVENTS | 3 Months Ended |
Mar. 31, 2014 | |
SUBSEQUENT EVENTS | ' |
SUBSEQUENT EVENTS | ' |
NOTE 7 - SUBSEQUENT EVENTS | |
Effective April 23, 2014, the Company entered into an operating agreement with | |
All American Resources, L.L.C and TY & Sons Investments Inc. with respect to | |
Summa, LLC, a Nevada limited liability company incorporated on December 12, | |
2013, wherein we hold a 25% membership. The Company's capital contribution to | |
Summa, LLC was $125,000, of which $100,000 was in cash and the balance in | |
services. | |
The Company participated in the formation of Summa, which holds 88 fee-title | |
patented lode claims, which cover approximately 1,191.3 acres of prospective | |
mineral lands. The Company has recently signed a joint operating agreement with | |
the other participants to govern the conduct of Summa, and the development of | |
the lands. The Company's president, Tom Lewis, has been named as a managing | |
member of Summa. | |
The Company has analyzed its operations subsequent to March 31, 2014 through the | |
date these financial statements were issued, and has determined that it does not | |
have any other material subsequent events to disclose. | |
SUMMARY_OF_SIGNIFICANT_ACCOUNT1
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies) | 3 Months Ended |
Mar. 31, 2014 | |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies) | ' |
Exploration Stage Company | ' |
Exploration Stage Company | |
The accompanying financial statements have been prepared in accordance with | |
generally accepted accounting principles related to accounting and reporting by | |
exploration stage companies. An exploration stage company is one in which | |
planned principal operations have not commenced or if its operations have | |
commenced, there has been no significant revenues there from | |
Accounting Basis | ' |
Accounting Basis | |
The Company uses the accrual basis of accounting and accounting principles | |
generally accepted in the United States of America ("GAAP" accounting). The | |
Company has adopted a December 31 fiscal year end. | |
Basis of Presentation | ' |
Basis of Presentation | |
The accompanying unaudited interim financial statements of BMIX have been | |
prepared in accordance with accounting principles generally accepted in the | |
United States of America and the rules of the Securities and Exchange Commission | |
("SEC"), and should be read in conjunction with the audited financial statements | |
and notes thereto contained in the Company's Annual Report on Form 10-K for the | |
fiscal year ended December 31, 2013 filed with the SEC. In the opinion of | |
management, all adjustments, consisting of normal recurring adjustments, | |
necessary for the financial statements to be not misleading have been reflected | |
herein. The results of operations for interim periods are not necessarily | |
indicative of the results to be expected for the full year. Certain notes to the | |
financial statements which would substantially duplicate the disclosure | |
contained in the audited financial statements for the most recent fiscal year | |
2012 as reported in Form 10-K, have been omitted. | |
Cash and Cash Equivalents Policy | ' |
Cash and Cash Equivalents | |
Cash includes cash on account, demand deposits, and short-term instruments with | |
maturities of three months or less. | |
Concentrations of Credit Risk | ' |
Concentrations of Credit Risk | |
The Company maintains its cash in bank deposit accounts, the balances of which | |
at times may exceed federally insured limits. The Company continually monitors | |
its banking relationships and consequently has not experienced any losses in | |
such accounts. The Company believes it is not exposed to any significant credit | |
risk on cash and cash equivalents. | |
Use of Estimates | ' |
Use of Estimates | |
The preparation of financial statements in conformity with generally accepted | |
accounting principles requires management to make estimates and assumptions that | |
affect the reported amounts of assets and liabilities and disclosure of | |
contingent assets and liabilities at the date of the financial statements and | |
the reported amount of revenues and expenses during the reporting period. Actual | |
results could differ from those estimates. | |
Revenue Recognition | ' |
Revenue Recognition | |
The Company is in the exploration stage and has yet to realize revenues from | |
operations. Once the Company has commenced operations, it will recognize | |
revenues when delivery of goods or completion of services has occurred provided | |
there is persuasive evidence of an agreement, acceptance has been approved by | |
its customers, the fee is fixed or determinable based on the completion of | |
stated terms and conditions, and collection of any related receivable is | |
probable. | |
Loss per Share | ' |
Loss per Share | |
Basic loss per share is computed by dividing loss available to common | |
shareholders by the weighted average number of common shares outstanding during | |
the year. The computation of diluted earnings per share assumes the conversion, | |
exercise or contingent issuance of securities only when such conversion, | |
exercise or issuance would have a dilutive effect on earnings per share. The | |
dilutive effect of convertible securities is reflected in diluted earnings per | |
share by application of the "if converted" method. In the periods in which a | |
loss is incurred, the effect of potential issuances of shares under options and | |
warrants would be anti-dilutive, and therefore basic and diluted losses per | |
share are the same. | |
Property and Equipment Policy | ' |
Property and Equipment | |
Property and equipment is stated on the basis of historical cost less | |
accumulated depreciation. Depreciation is provided using the straight-line | |
method over the estimated useful lives of the assets which has been estimated as | |
two years. Impairment losses are recorded on property and equipment when | |
indicators of impairment are present and the undiscounted cash flows estimated | |
to be generated by those assets are less than the assets' carrying amount. | |
Income Taxes Policy | ' |
Income Taxes | |
The asset and liability approach is used to account for income taxes by | |
recognizing deferred tax assets and liabilities for the expected future tax | |
consequences of temporary differences between the carrying amounts and the tax | |
basis of assets and liabilities. | |
Financial Instruments | ' |
Financial Instruments | |
The Company's financial instruments consist of cash, deposits, prepaid expenses, | |
and accounts payable and accrued liabilities. Unless otherwise noted, it is | |
management's opinion that the Company is not exposed to significant interest, | |
currency or credit risks arising from these financial instruments. Because of | |
the short maturity and capacity of prompt liquidation of such assets and | |
liabilities, the fair value of these financial instruments approximate their | |
carrying values, unless otherwise noted. | |
Mineral Properties Policy | ' |
Mineral Properties | |
Costs of exploration, carrying and retaining unproven mineral lease properties | |
are expensed as incurred. Mineral property acquisition costs are capitalized | |
including licenses and lease payments. Although the Company has taken steps to | |
verify title to mineral properties in which it has an interest, these procedures | |
do not guarantee the Company's title. Such properties may be subject to prior | |
agreements or transfers and title may be affected by undetected defects. | |
Impairment losses are recorded on mineral properties used in operations when | |
indicators of impairment are present and the undiscounted cash flows estimated | |
to be generated by those assets are less than the assets' carrying amount. | |
Impairment of $0 and $0 was recorded during the three months ended March 31, | |
2014 and 2013, respectively. | |
Office Lease | ' |
Office Lease | |
The Company rents office space in Las Vegas, Nevada for $700 per month. The | |
arrangement is on a month-by-month basis and can be terminated by either party. | |
PREPAID_EXPENSES_Tables
PREPAID EXPENSES (Tables) | 3 Months Ended |
Mar. 31, 2014 | |
PREPAID EXPENSES (Tables) | ' |
Prepaid Expenses Schedule | ' |
Prepaid expenses consisted of the following at March 31, 2014 and December 31, | |
2013:00:00 | |
March 31, 2014 December 31, 2013 | |
-------------- ----------------- | |
Professional fees $ 963 $ 1,925 | |
Exploration costs -- -- | |
Bonds 16,271 16,271 | |
Transfer fees 1,350 1,800 | |
Insurance -- -- | |
Office Misc 629 1,065 | |
Investor relations 1,005 1,340 | |
Consulting -- -- | |
-------- -------- | |
Total prepaid expenses $ 20,218 $ 22,401 | |
===nbsp; ===/pre> | |
PROPERTY_AND_EQUIPMENT_Tables
PROPERTY AND EQUIPMENT (Tables) | 3 Months Ended |
Mar. 31, 2014 | |
PROPERTY AND EQUIPMENT (Tables) | ' |
Property and Equipment Net Schedule | ' |
March 31, 2014 December 31, 2013 | |
-------------- ----------------- | |
Computer Equipment $ 2,433 $ 2,433 | |
Less: Accumulated amortization (2,433) (2,433) | |
-------- -------- | |
Property and equipment, net $ -- $ -- | |
===nbsp; ===/pre> | |
Staked_claims_with_various_reg
Staked claims with various registries (Tables) | 3 Months Ended |
Mar. 31, 2014 | |
Staked claims with various registries | ' |
Staked claims with various registries | ' |
The Company has staked claims with various registries as summarized below: | |
Net Carry | |
Name Claims Cost Impairment Value | |
---- ------ ---- ---------- ----- | |
SanEmidio 20 (1,600) $11,438 $(5,719) $ 5,719 | |
Cherryville/BC Sugar 8019.41 (hectares) $21,778 Nil $21,778 | |
WARRANTS (TABLE) | ' |
WARRANTS | |
Outstanding at | |
Issue Date Number Price Expiry Date March 31, 2014 | |
---------- ------ ----- ----------- -------------- | |
Nov. 19, 2012 11,000,000 $0.15 Nov. 18, 2014 11,000,000 | |
STOCK_BASED_COMPENSATION_AS_FO
STOCK BASED COMPENSATION AS FOLLOWS (Tables) | 3 Months Ended |
Mar. 31, 2014 | |
STOCK BASED COMPENSATION AS FOLLOWS | ' |
Assumptions used to determine stock options | ' |
Modification New Options | |
------------ ----------- | |
Risk free interest rate 0.35% 0.67% | |
Expected dividend yield 0% 0% | |
Expected stock price volatility 129% 129% | |
Expected life of options 3 years 5 years | |
Share-based Compensation, Stock Options, Activity | ' |
Weighted Total | |
Total Average Weighted | |
Exercise Options Remaining Life Average Options | |
Prices Outstanding (Years) Exercise Price Exercisable | |
------ ----------- ------- -------------- ----------- | |
$0.045 800,000 2.3 $0.045 800,000 | |
summarizes the stock options outstanding | ' |
The following table summarizes the stock options outstanding at March 31, 2014: | |
Outstanding at | |
Issue Date Number Price Expiry Date March 31, 2014 | |
---------- ------ ----- ----------- -------------- | |
September 23, 2010 500,000 $0.045 September 23, 2015 500,000 | |
September 23, 2010 500,000 $0.045 September 23, 2015 500,000 | |
May 31, 2012 100,000 $0.045 May 31, 2017 100,000 | |
March 15, 2013 200,000 $0.045 March 15, 2018 200,000 | |
COMPONENTS_OF_INCOME_TAXES_Tab
COMPONENTS OF INCOME TAXES (Tables) | 3 Months Ended |
Mar. 31, 2014 | |
COMPONENTS OF INCOME TAXES | ' |
Provision for Federal Income Tax | ' |
The provision for Federal income tax consists of the following for the three | |
months ended March 31, 2014 and 2013: | |
2014 2013 | |
---------- ---------- | |
Federal income tax benefit attributable to: | |
Current operations $ 22,542 $ 31,185 | |
Less: valuation allowance (22,542) (31,185) | |
---------- ---------- | |
Net provision for Federal income taxes $ 0 $ 0 | |
====bsp; ====pan> | |
Net Deferred Tax amount | ' |
The cumulative tax effect at the expected rate of 34% of significant items | |
comprising our net deferred tax amount is as follows at March 31, 2014 and | |
December 31, 2013: | |
March 31, 2014 December 31, 2013 | |
-------------- ----------------- | |
Deferred tax asset attributable to: | |
Net operating loss carryover $ 980,702 $ 958,160 | |
Less: valuation allowance (980,702) (958,160) | |
---------- ---------- | |
Net deferred tax asset $ 0 $ 0 | |
====bsp; ====pre> | |
Prepaid_Expenses_Details
Prepaid Expenses. (Details) (USD $) | Mar. 31, 2014 | Dec. 31, 2013 |
Prepaid Expenses Details | ' | ' |
Prepaid Professional fees, | $963 | $1,925 |
Prepaid Exploration costs, | 0 | 0 |
Prepaid Bonds, | 16,271 | 16,271 |
Prepaid Transfer fees, | 1,350 | 1,800 |
Prepaid Insurance, | 0 | 0 |
Prepaid Office Misc, | 629 | 1,065 |
Prepaid Investor relations; | 1,005 | 1,340 |
Prepaid Consulting | 0 | 0 |
Total prepaid expenses | $20,218 | $22,401 |
Property_and_Equipment_consist
Property and Equipment consisted of the following (Details) (USD $) | Mar. 31, 2014 | Dec. 31, 2013 |
Property and Equipment Details | ' | ' |
Computer Equipment | $2,433 | $2,433 |
Less: Accumulated amortization | -2,433 | -2,433 |
Property and equipment, net | $0 | $0 |
Property_and_Equipment_Depreci
Property and Equipment Depreciation expense (Details) (USD $) | 3 Months Ended | |
Mar. 31, 2014 | Mar. 31, 2013 | |
Property and Equipment Depreciation expense | ' | ' |
Amortization expense of Property and Equipment | $0 | $54 |
Mineral_Properties_Details
Mineral Properties (Details) (USD $) | Mar. 31, 2014 | Jun. 01, 2011 |
Mineral Properties Claims | ' | ' |
Company purchased Fish lake property with interest | ' | 100.00% |
Company made staged payments for fish lake property for total amount | ' | $350,000 |
Acquisition costs related to the Fish Lake Property | 436,764 | ' |
Associated impairment of Fish Lake Property | 276,908 | ' |
Net carrying value of the Fish Lake Property | 159,856 | ' |
Staked properties of San Emidio Claims (Area in Acres) | 20 | ' |
Staked properties claim of San Emidio cost | 11,438 | ' |
Impairement of Staked properties claim of San Emidio | -5,719 | ' |
Staked properties claim of San Emidio net value | 5,719 | ' |
Staked properties of Cherryville/BC Sugar Claims (Area in hectares) | 8,019.41 | ' |
Staked properties claim of Cherryville/BC Sugar cost | 21,778 | ' |
Impairement of Staked properties claim of Cherryville/BC Sugar cost | 0 | ' |
Staked properties claim of Cherryville/BC Sugar net value | $21,778 | ' |
Heimdal_Flake_graphite_Details
Heimdal Flake graphite (Details) (USD $) | Aug. 31, 2013 |
Agreement Details | ' |
Earned a interest in the Mt. Heimdal Flake Graphite property | 100.00% |
Net overriding royalty | 1.50% |
The carrying value of the Mt.Heimdal property | $300 |
Cherryville_Details
Cherryville (Details) (USD $) | Jun. 30, 2013 |
Purchase details | ' |
Company purchased claims in the Cherryville, BC area for number of shares | 250,000 |
Company claim block for flake graphite deposits | $45,000 |
company agreed to buy back the shares issued pursuant to the June agreement | $2,500 |
Summa_LLC_Details
Summa LLC (Details) (USD $) | Apr. 24, 2014 | Mar. 31, 2014 | Jan. 31, 2014 |
Summa LLC Details | ' | ' | ' |
Company contracted to purchase lands of Howard Hughes's Summa Corp patented mineral claims in Nevada. Interest | ' | ' | 25.00% |
The Company closed this acquisition by paying the balance | $100,000 | ' | ' |
Company has deposited toward the purchase interest in Summa LLC | ' | $62,500 | ' |
Capital_Stock_Shares_Details
Capital Stock Shares (Details) (USD $) | Sep. 30, 2009 | Jan. 31, 2007 |
Capital Stock Shares | ' | ' |
Common stock shares authorized to issue shares | 3,000,000,000 | ' |
Common stock par value. | $0.00 | ' |
Common stock par value of forward stock split 60:1 | $0.00 | ' |
Issuance of common stock split shares | ' | 240,000,000 |
Proceeds from issuance of common stock. | ' | $20,000 |
Capital_Stock_Cancellation_Sha
Capital Stock Cancellation Shares, Acquisition and Private Placement (Details) (USD $) | Mar. 24, 2010 | Jan. 10, 2010 | Oct. 09, 2009 |
Capital Stock Cancellation Shares, Acquisition and Private Placement | ' | ' | ' |
Cancellation of common stock shares | ' | ' | 220,000,000 |
Issuance of common stock for 100% issued and outstanding stock of Nevada Lithium Corp | ' | ' | 12,350,000 |
Issuance of common stock shares as part of Fish Lake Property Acquisition | ' | 53,484 | ' |
Issuance of shares in a private placement | 2,000,000 | ' | ' |
Proceeds from issuance of shares in a private placement ($1 per unit) | $2,000,000 | ' | ' |
Purchase price of warrant share within a period of twelve months commencing the closing | $1.20 | ' | ' |
Purchase price of warrant share between twelve and twenty four months after closing | $1.35 | ' | ' |
Capital_Stock_Stock_based_comp
Capital Stock Stock based compensation (Details) (USD $) | Mar. 31, 2014 | Mar. 15, 2013 |
Stock based compensation {1} | ' | ' |
Stock options grated to to consultants | 500,000 | 200,000 |
Options exercise price granted to to consultants | $0.28 | $0.05 |
Options exercise price granted for professional services | $0.24 | ' |
Stock options granted for professional services | 400,000 | ' |
Modified exercise price | $0.07 | ' |
The modification resulted in stock based compensation | $11,524 | ' |
Company granted an additional options to consultants | 400,000 | ' |
Management services with an exercise price | $0.07 | ' |
Result of stock based compensation | $23,891 | $7,794 |
Capital_Stock_Stock_options_ou
Capital Stock Stock options outstanding (Details) | Number | Price | Outstanding |
Capital Stock Stock options. at Dec. 31, 2013 | 0 | ' | ' |
Stock options issued on September 23, 2010 and expiry date September 23, 2015 | 500,000 | 0.045 | 500,000 |
Stock options issued on May 31, 2012 and expiry date June 13, 2013 | 100,000 | 0.045 | 100,000 |
Stock options issued on May 31, 2012 and expiry date May 31, 2017 | 100,000 | 0.045 | 100,000 |
Stock options issued on March 15, 2012 and expiry date March 15, 2018 | 200,000 | 0.045 | 200,000 |
Capital Stock Stock options, at Mar. 31, 2014 | 0 | ' | ' |
Stock_option_activity_Details
Stock option activity (Details) (USD $) | Mar. 31, 2014 |
Stock option activity | ' |
Exercise Prices | $0.05 |
Total options outstanding | 800,000 |
Weighted average remaining life in years | 3.45 |
Total weighted average exercise price | $0.05 |
Options exercisable | 800,000 |
Capital_stock_warrant_Details
Capital stock warrant (Details) (USD $) | Mar. 31, 2014 | Jan. 17, 2014 | Nov. 19, 2012 |
Repurchase of shares and warrant details | ' | ' | ' |
Company Repurchased shares of common stock | ' | 250,000 | ' |
Cherryville property acquisition amount | ' | $2,500 | ' |
Common stock issued and outstanding | 74,911,408 | ' | ' |
Warrants outstanding | $11,000,000 | ' | ' |
Number of warrants issued | ' | ' | 11,000,000 |
Price of the Warrant | ' | ' | $0.15 |
Term of Warrant (years) | 5 | ' | ' |
Warrants dividend yeild | 0.00% | ' | ' |
Risk free interest rates | 0.67% | ' | ' |
Warrants Volatality | 129.00% | ' | ' |
Assumptions_used_to_determine_
Assumptions used to determine stock options as follows (Details) | Mar. 31, 2014 |
Modification | ' |
Risk free interest rate. | 0.35% |
Risk free interest rate. | 0.35% |
Expected dividend yield. | 0.00% |
Expected stock price volatility. | 129.00% |
Expected life of options. | 3 |
New Options | ' |
Risk free interest rate. | 0.67% |
Risk free interest rate. | 0.67% |
Expected dividend yield. | 0.00% |
Expected stock price volatility. | 129.00% |
Expected life of options. | 5 |
Capital_Stock_Shares_issued_fo
Capital Stock Shares issued for Acquisition (Details) | Jun. 06, 2013 | Nov. 19, 2012 | 5-May-11 | Apr. 28, 2011 | Apr. 10, 2011 | Jan. 10, 2011 | Oct. 10, 2010 | Jul. 10, 2010 | Apr. 10, 2010 |
Capital Stock shares issued to Fish Lake property | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Issuance of shares as part of Fish Lake Property Acquisition | 250,000 | 11,000,000 | 200,000 | 150,000 | 230,264 | 163,856 | 171,568 | 104,168 | 38,068 |
Income_Taxes_Operating_loss_ca
Income Taxes Operating loss carry forwards (Details) (USD $) | Mar. 31, 2014 |
Income Taxes Operating loss carry forwards | ' |
Net operating loss carry forwards | $2,884,420 |
Income_Taxes_Provision_for_Fed
Income Taxes Provision for Federal Income Tax (Details) (USD $) | 3 Months Ended | |
Mar. 31, 2014 | Mar. 31, 2013 | |
Federal income tax benefit attributable to: | ' | ' |
Current operations | $22,542 | $31,185 |
Less: valuation allowance | -22,542 | -31,185 |
Net provision for Federal income taxes | $0 | $0 |
Income_Taxes_net_deferred_tax_
Income Taxes net deferred tax amount (Details) (USD $) | Mar. 31, 2014 | Dec. 31, 2013 |
Deferred tax asset attributable to: | ' | ' |
Net operating loss carryover | $980,702 | $958,160 |
Less: valuation allowance. | -980,702 | -958,160 |
Net deferred tax asset | $0 | $0 |
The cumulative tax effect at the expected rate | 34.00% | 34.00% |
SUBSEQUENT_EVENTS_DETAILS
SUBSEQUENT EVENTS (DETAILS) (USD $) | Dec. 12, 2013 |
The Company's capital details | ' |
The Company's capital contribution to Summa, LLC | $125,000 |
cash and the balance in services. | $100,000 |
Company holds membership | 25.00% |