Consolidated Gems 10-Q 15 May 14 2014 Q1 Quarterly report Financial data

Document_and_Entity_Informatio

Document and Entity Information	3 Months Ended
	Mar. 31, 2014	14-May-14
Document Information [Line Items]	'	'
Document Type	'10-Q	'
Amendment Flag	'false	'
Document Period End Date	31-Mar-14	'
Document Fiscal Year Focus	'2014	'
Document Fiscal Period Focus	'Q1	'
Trading Symbol	'CGEM	'
Entity Registrant Name	'CONSOLIDATED GEMS, INC.	'
Entity Central Index Key	'0001423417	'
Current Fiscal Year End Date	'--12-31	'
Entity Filer Category	'Smaller Reporting Company	'
Entity Common Stock, Shares Outstanding	'	175,315,350

Balance_Sheet

Balance Sheet (AUD)	Mar. 31, 2014	Dec. 31, 2013
Current Assets:	'	'
Cash	4,068	2,270
Receivables	621	5,422
Prepayments	3,099	5,052
Total Current Assets	7,788	12,744
Non-Current Assets:	'	'
Deposits	10,000	10,000
Total Current Assets	10,000	10,000
Total Assets	17,788	22,744
Current Liabilities:	'	'
Accounts payable and accrued expenses	73,299	54,658
Total Current Liabilities	73,299	54,658
Non-Current Liabilities:	'	'
Advances from affiliate	977,902	972,838
Total Non-Current Liabilities	977,902	972,838
Total Liabilities	1,051,201	1,027,496
Stockholders' (Deficit):	'	'
Common stock: US$.0001 par value 500,000,000 shares authorised, and 175,315,350 shares issued and outstanding	16,825	16,825
Additional paid-in capital	1,574,323	1,574,323
Accumulated (deficit) during development stage	-1,505,228	-1,505,228
Accumulated (deficit) prior to exploration stage	-410,179	-410,179
Accumulated (deficit) during exploration stage	-709,154	-680,493
Total Stockholders' (deficit)	-1,033,413	-1,004,752
Total Liabilities and Stockholders' (Deficit)	17,788	22,744

Balance_Sheet_Parenthetical

Balance Sheet (Parenthetical) (USD $)	Mar. 31, 2014	Dec. 31, 2013
Common stock, par value	$0.00	$0.00
Common stock, shares authorized	500,000,000	500,000,000
Common stock, shares issued	175,315,350	175,315,350
Common stock, shares outstanding	175,315,350	175,315,350

Statement_of_Operations

Statement of Operations (AUD)	3 Months Ended		12 Months Ended
Share data in Thousands, except Per Share data, unless otherwise specified	Mar. 31, 2014	Mar. 31, 2013	Mar. 31, 2014
Revenues	'	'	'
Cost and expenses	'	'	'
Legal, accounting and professional	9,402	10,208	59,680
Administration expense	12,964	13,650	63,161
Exploration expenditure	6,727	'	581,116
Costs and Expenses, Total	29,093	23,858	703,957
(Loss) from operations	-29,093	-23,858	-703,957
Foreign currency exchange gain/(loss)	432	-5,330	-5,198
Interest - Other	'	'	1
(Loss) before income tax	-28,661	-29,188	-709,154
Provision for income tax	'	'	'
Net (loss)	-28,661	-29,188	-709,154
Basic net (loss) per Common Equivalent Shares	0	0	0
Weighted number of common equivalent shares	175,315	175,315	175,315

Statement_of_Stockholders_Defi

Statement of Stockholders' (Deficit) (AUD)	Total	Common Stock	Additional Paid-in Capital	Accumulated (Deficit) During Development Stage	Accumulated (Deficit) Prior Exploration Stage	Accumulated (Deficit) During Exploration Stage
Beginning Balance at Dec. 31, 2013	-1,004,752	16,825	1,574,323	-1,505,228	-410,179	-680,493
Beginning Balance (in shares) at Dec. 31, 2013	'	175,315,350	'	'	'	'
Net (Loss)	-28,661	'	'	'	'	-28,661
Ending Balance at Mar. 31, 2014	-1,033,413	16,825	1,574,323	-1,505,228	-410,179	-709,154
Ending Balance (in shares) at Mar. 31, 2014	'	175,315,350	'	'	'	'

Statements_of_Cash_Flows

Statements of Cash Flows (AUD)	3 Months Ended		12 Months Ended
	Mar. 31, 2014	Mar. 31, 2013	Mar. 31, 2014
CASH FLOWS FROM OPERATING ACTIVITIES	'	'	'
Net (Loss)	-28,661	-29,188	-709,154
Adjustments to reconcile net (loss) to net cash (used) in operating activities	'	'	'
Foreign currency exchange (gain)/loss	-432	5,330	5,198
Net change in prepayments	1,953	3,808	2,016
Net change in receivables and deposits	4,801	'	-10,621
Net change in accounts payable and accrued expenses	18,641	-28,233	39,052
Net Cash (used) in Operating Activities	-3,698	-48,283	-673,509
CASH FLOWS FROM FINANCING ACTIVITIES	'	'	'
Advances from affiliate	5,064	49,533	676,436
Net Cash provided by Financing Activities	5,064	49,533	676,436
Effects of exchange rate on cash	432	-170	-180
Net increase in cash	1,798	1,080	2,747
Cash at Beginning of Period	2,270	241	1,321
Cash at End of Period	4,068	1,321	4,068

Organization_and_Business

Organization and Business	3 Months Ended
	Mar. 31, 2014
Organization and Business	'
	-1	ORGANIZATION AND BUSINESS
	Consolidated Gems, Inc. ("Consolidated Gems” or the “Company"), formerly Electrum International, Inc. is a Delaware corporation originally incorporated in Florida as We Sell for U Corp. (“We Sell for U”). The principal stockholder of Consolidated Gems is Power Developments Pty Ltd., an Australian corporation (“Power”), an entity majority owned by the Company’s President, which owned 94.46% of Consolidated Gems as of March 31, 2014.
	In order to take advantage of management’s substantial experience in the location and development of mineral exploration properties, the Company plans to look for opportunities in the resources industry and has identified silver and base metal exploration in Central America and gem opportunities in Australia for its potential business opportunities.
	As a result of management’s decision to refocus its efforts from energy opportunities to explore opportunities in the resources industry, effective December 31, 2010, the Company ceased reporting as a development stage company.  Since April 1, 2013, the Company has been evaluating potential gem related projects and has been granted an exploration tenement in New South Wales, Australia.  Accordingly, from April 1, 2013 the Company has been classified as an exploration stage company.
	The accompanying financial statements have been prepared in conformity with accounting principles generally accepted in the United States of America (“US GAAP”), which contemplates continuation of Consolidated Gems as a going concern. The Company has not yet commenced revenue producing operations and has incurred net losses since inception and may continue to incur substantial and increasing losses for the next several years, all of which raises substantial doubt as to its ability to continue as a going concern. The financial statements do not contain any adjustments that could arise as a result of this uncertainty.
	In addition, Consolidated Gems is reliant on loans and advances from corporations affiliated with the Company. Based on discussions with these affiliate companies the Company believes this source of funding will continue to be available. Other than the arrangements noted above, the Company has not confirmed any other arrangement for ongoing funding. As a result the Company may be required to raise funds by additional debt or equity offerings in order to meet its cash flow requirements during the forthcoming year.

Recent_Accounting_Pronouncemen

Recent Accounting Pronouncements	3 Months Ended
	Mar. 31, 2014
Recent Accounting Pronouncements	'
	-2	RECENT ACCOUNTING PRONOUNCEMENTS
	The Company has implemented all new accounting pronouncements that are in effect. These pronouncements did not have any material impact on the financial statements unless otherwise disclosed, and the Company does not believe that there are any other new accounting pronouncements that have been issued that might have a material impact on its financial position or results of operations.

Summary_of_Significant_Account

Summary of Significant Accounting Policies	3 Months Ended
	Mar. 31, 2014
Summary of Significant Accounting Policies	'
	-3	SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
	The following is a summary of the significant accounting policies followed in connection with the preparation of the financial statements.
	Basis of Presentation and Used Estimates
	The preparation of financial statements in conformity with US GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure on contingent assets and liabilities at the date of the financial statements, and the reported amounts of revenue and expenses during the reporting period. Actual results could differ from those estimates.
	The functional and reporting currency is the Australian dollar.
	Mineral Property Acquisition, Exploration Costs and Amortization of Mineral Rights
	Mineral property acquisition, exploration and development costs are expensed as incurred until such time as economic reserves are quantified.  To date, the Company has not established any proven or probable reserves on its mineral properties. When it is determined that a mining deposit can be economically and legally extracted or produced based on established proven and probable reserves, further exploration costs and development costs incurred after such determination will be capitalized. The establishment of proven and probable reserves is based on results of final feasibility studies which indicate whether a property is economically feasible. Upon commencement of commercial production, capitalized costs will be transferred to the appropriate asset category and amortized over their estimated useful lives. Capitalized costs, net of salvage values, relating to a deposit which is abandoned or considered uneconomic for the foreseeable future, will be written off. Mineral rights are amortized over their estimated useful lives being the Company’s estimated rights to tenure.
	Foreign Currency Translation
	Effective April 1, 2013, the Company’s functional and reporting currency is the Australian dollar.  Revenue and expenses incurred in a currency other than Australian dollars are translated at the date incurred or invoiced. Assets and liabilities are re-valued at the period end exchange rate where appropriate. Gains or losses from foreign currency transactions are included in the results of operations.
	Prior to April 1, 2013, the Company’s functional currency was the US dollar. However, as a result of Australian based activities in the second quarter of 2013 relating to potential gem projects, the Company’s revenue and expenses are now primarily denominated in Australian dollars (A$). ASC 830 Foreign Currency Translation states that the functional currency of an entity is the currency of the primary economic environment in which the entity operates. Accordingly, the Company determined that from April 1, 2013, the functional currency of the Company is the Australian dollar. Assets, liabilities and equity were translated at the rate of exchange at April 1, 2013. Revenue and expenses were translated at rates at date of transaction. Translation gains and losses, if material, are included as part of accumulated other comprehensive income. The resulting translation at April 1, 2013 was not material.
	Restatement of comparative March 31, 2013 numbers was made for the change in functional and reporting currency.
	Goods and Services Tax (“GST”)
	Revenues, expenses and assets generated in Australia are subject to Australian GST which requires the supplier to add a 10% GST to predominately all expenses and the cost of assets and for the Company to include a 10% GST to the selling price of a product. Revenues, expenses and assets are recognized net of the amount of GST except where the GST incurred on a purchase of goods and services is not recoverable from the taxation authority, in which case the GST is recognized as part of the cost of acquisition of the assets or as part of the expense item as applicable, and receivables and payables are stated with the amount of GST included. The net amount of GST recoverable from, or payable to, the taxation authority is included as part of receivables or payables in the balance sheet. Cash flows are included in the cash flow statement on a gross basis and the GST component of cash flows arising from investing and financing activities which is recoverable from, or payable to, the taxation authority are classified as operating cash flows. Commitments and contingencies are disclosed net of the amount of GST recoverable from, or payable to, the taxation authority
	Comparative Figures
	Where necessary, comparative figures have been reclassified to be consistent with current year presentation with no effect on operations.

Affiliate_Transactions

Affiliate Transactions	3 Months Ended
	Mar. 31, 2014
Affiliate Transactions	'
	-4	AFFILIATE TRANSACTIONS
	In January 2009, the Company entered into an agreement with AXIS Consultants Pty Ltd (“AXIS”) to provide geological, management and administration services to the Company. AXIS is affiliated through common management and is incorporated in Australia. The Company’s President and director, Mr. Gutnick, is also a director of AXIS and Mr. Lee is Chief Financial Officer and Secretary of the Company and is also Company Secretary of AXIS. The Company is one of nine affiliated companies under common management with AXIS. Each of the companies has some common Directors, officers and shareholders. In addition, each of the companies is substantially dependent upon AXIS for its senior management and administration staff. It has been the intention of the affiliated companies and respective Boards of Directors that each of such arrangements or transactions should accommodate the respective interest of the relevant affiliated companies in a manner which is fair to all parties and equitable to the shareholders of each. Currently, there are no material arrangements or planned transactions between the Company and any of the other affiliated companies other than AXIS.
	The payable to affiliate at March 31, 2014 of A$977,902 is due to AXIS. During the three months ended March 31, 2014, AXIS provided services in accordance with the services agreement, incurred direct costs on behalf of the Company and advanced funds of A$5,064. The Company intends to repay the advances from affiliate with funds raised either via additional debt or equity offerings, but as this may not occur within the next 12 months AXIS has agreed not to call the advance within the next twelve months and accordingly the Company has classified the amounts payable as non-current in the accompanying balance sheet.

Income_Taxes

Income Taxes	3 Months Ended
	Mar. 31, 2014
Income Taxes	'
	-5	INCOME TAXES
	Consolidated Gems files its income tax returns on an accrual basis.
	The Company files tax returns in the United States. Consolidated Gems has carry-forward losses of approximately A$2,402,000 as of December 31, 2013 which expire in years 2028 through 2033. Due to the uncertainty of the availability and future utilization of those operating loss carry-forwards, management has provided a full valuation against the related tax benefit. The Company’s tax returns for all years since December 31, 2010 remain open to examination by the respective tax authorities.  There are currently no tax examinations in progress.
	The Company will be required to file a tax return in Australia for 2014. Net operation loss carry-forwards in Australia do not have a definite expiration date and amounted to approximately A$733,000.

Fair_Value_of_Financial_Instru

Fair Value of Financial Instruments	3 Months Ended
	Mar. 31, 2014
Fair Value of Financial Instruments	'
	-6	FAIR VALUE OF FINANCIAL INSTRUMENTS
	The Company’s financial instruments consist of cash, receivables, accounts payable and accrued expenses, and advances from affiliate. The carrying amounts of cash, receivables, accounts payable and accrued expenses approximate their respective fair values because of the short term nature of those instruments. The fair value of the advances from affiliate is not determinable as it is due to an affiliated entity, no market exists for similar instruments and settlement date is uncertain.

Commitments

Commitments	3 Months Ended
	Mar. 31, 2014
Commitments	'
	-7	COMMITMENTS
	Exploration
	The Company has to perform minimum exploration work and expend minimum amounts of money on its tenements. The overall expenditure requirement tends to be limited in the normal course of the Company’s tenement portfolio management through expenditure exemption approvals, and expenditure reductions through relinquishment of parts or the whole of tenements deemed non prospective. Should the company wish to preserve interests in its current tenements the amount which may be required to be expended is as follows:
			2014
			A$
	Not later than one year		61,000
	Later than one year but not later than five years		5,083
	Later than five years		-
			66,083

Subsequent_Events

Subsequent Events	3 Months Ended
	Mar. 31, 2014
Subsequent Events	'
	-8	SUBSEQUENT EVENTS
	The Company has evaluated events and transactions after the balance sheet date and through the date the financial statements were issued, and believes that all relevant disclosures have been included herein and there are no other events which require recognition or disclosure in the accompanying interim financial statements.

Summary_of_Significant_Account1

Summary of Significant Accounting Policies (Policies)	3 Months Ended
	Mar. 31, 2014
Basis of Presentation and Used Estimates	'
	Basis of Presentation and Used Estimates
	The preparation of financial statements in conformity with US GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure on contingent assets and liabilities at the date of the financial statements, and the reported amounts of revenue and expenses during the reporting period. Actual results could differ from those estimates.
	The functional and reporting currency is the Australian dollar.
Mineral Property Acquisition, Exploration Costs and Amortization of Mineral Rights	'
	Mineral Property Acquisition, Exploration Costs and Amortization of Mineral Rights
	Mineral property acquisition, exploration and development costs are expensed as incurred until such time as economic reserves are quantified.  To date, the Company has not established any proven or probable reserves on its mineral properties. When it is determined that a mining deposit can be economically and legally extracted or produced based on established proven and probable reserves, further exploration costs and development costs incurred after such determination will be capitalized. The establishment of proven and probable reserves is based on results of final feasibility studies which indicate whether a property is economically feasible. Upon commencement of commercial production, capitalized costs will be transferred to the appropriate asset category and amortized over their estimated useful lives. Capitalized costs, net of salvage values, relating to a deposit which is abandoned or considered uneconomic for the foreseeable future, will be written off. Mineral rights are amortized over their estimated useful lives being the Company’s estimated rights to tenure.
Foreign Currency Translation	'
	Foreign Currency Translation
	Effective April 1, 2013, the Company’s functional and reporting currency is the Australian dollar.  Revenue and expenses incurred in a currency other than Australian dollars are translated at the date incurred or invoiced. Assets and liabilities are re-valued at the period end exchange rate where appropriate. Gains or losses from foreign currency transactions are included in the results of operations.
	Prior to April 1, 2013, the Company’s functional currency was the US dollar. However, as a result of Australian based activities in the second quarter of 2013 relating to potential gem projects, the Company’s revenue and expenses are now primarily denominated in Australian dollars (A$). ASC 830 Foreign Currency Translation states that the functional currency of an entity is the currency of the primary economic environment in which the entity operates. Accordingly, the Company determined that from April 1, 2013, the functional currency of the Company is the Australian dollar. Assets, liabilities and equity were translated at the rate of exchange at April 1, 2013. Revenue and expenses were translated at rates at date of transaction. Translation gains and losses, if material, are included as part of accumulated other comprehensive income. The resulting translation at April 1, 2013 was not material.
	Restatement of comparative March 31, 2013 numbers was made for the change in functional and reporting currency.
Goods and Services Tax ("GST")	'
	Goods and Services Tax (“GST”)
	Revenues, expenses and assets generated in Australia are subject to Australian GST which requires the supplier to add a 10% GST to predominately all expenses and the cost of assets and for the Company to include a 10% GST to the selling price of a product. Revenues, expenses and assets are recognized net of the amount of GST except where the GST incurred on a purchase of goods and services is not recoverable from the taxation authority, in which case the GST is recognized as part of the cost of acquisition of the assets or as part of the expense item as applicable, and receivables and payables are stated with the amount of GST included. The net amount of GST recoverable from, or payable to, the taxation authority is included as part of receivables or payables in the balance sheet. Cash flows are included in the cash flow statement on a gross basis and the GST component of cash flows arising from investing and financing activities which is recoverable from, or payable to, the taxation authority are classified as operating cash flows. Commitments and contingencies are disclosed net of the amount of GST recoverable from, or payable to, the taxation authority
Comparative Figures	'
	Comparative Figures
	Where necessary, comparative figures have been reclassified to be consistent with current year presentation with no effect on operations.

Commitments_Tables

Commitments (Tables)	3 Months Ended
	Mar. 31, 2014
Amount Required to Be Expended If Company Wish to Preserve Interests in Its Current Tenements	'
	Should the company wish to preserve interests in its current tenements the amount which may be required to be expended is as follows:
		2014
		A$
	Not later than one year	61,000
	Later than one year but not later than five years	5,083
	Later than five years	-
		66,083

Organization_and_Business_Addi

Organization and Business - Additional Information (Detail) (Power Developments Pty Ltd.)	Mar. 31, 2014
Power Developments Pty Ltd.	'
Organization, Consolidation and Presentation of Financial Statements Disclosure [Line Items]	'
Percentage of the company owned by its parent	94.46%

Summary_of_Significant_Account2

Summary of Significant Accounting Policies - Additional Information (Detail)	3 Months Ended
	Mar. 31, 2014
Taxes [Line Items]	'
GST tax rate	10.00%

Affiliate_Transactions_Additio

Affiliate Transactions - Additional Information (Detail) (AUD)	Mar. 31, 2014	Dec. 31, 2013	Mar. 31, 2014
			AXIS Consultants Pty Ltd
Related Party Transaction [Line Items]	'	'	'
Payable to affiliate	977,902	972,838	977,902
Direct expenses incurred by affiliate on behalf of the entity	'	'	5,064

Income_Taxes_Additional_Inform

Income Taxes - Additional Information (Detail) (Internal Revenue Service (IRS), AUD)	3 Months Ended	12 Months Ended
	Mar. 31, 2014	Dec. 31, 2013
Operating Loss Carryforwards [Line Items]	'	'
Net operation loss carry-forwards	733,000	2,402,000
Minimum	'	'
Operating Loss Carryforwards [Line Items]	'	'
Operating loss carry-forwards, years of expiration	'	'2028
Income tax returns, years subject to examination	'2010	'
Maximum	'	'
Operating Loss Carryforwards [Line Items]	'	'
Operating loss carry-forwards, years of expiration	'	'2033

Amount_Required_to_Be_Expended

Amount Required to Be Expended If Company Wish to Preserve Interests in Its Current Tenements (Detail) (AUD)	Mar. 31, 2014
Commitments and Contingencies Disclosure [Line Items]	'
Not later than one year	61,000
Later than one year but not later than five years	5,083
Later than five years	'
Unrecorded Unconditional Purchase Obligation, Total	66,083