Cover
Cover - USD ($) | 12 Months Ended | ||
Aug. 31, 2021 | Nov. 19, 2021 | Feb. 28, 2021 | |
Cover [Abstract] | |||
Document Type | 10-K | ||
Amendment Flag | false | ||
Document Period End Date | Aug. 31, 2021 | ||
Document Fiscal Period Focus | FY | ||
Document Fiscal Year Focus | 2021 | ||
Current Fiscal Year End Date | --08-31 | ||
Entity File Number | 000-53482 | ||
Entity Registrant Name | TEXAS MINERAL RESOURCES CORP. | ||
Entity Central Index Key | 0001445942 | ||
Entity Incorporation, State or Country Code | DE | ||
Entity Well-known Seasoned Issuer | No | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Interactive Data Current | Yes | ||
Entity Filer Category | Non-accelerated Filer | ||
Entity Small Business | true | ||
Entity Emerging Growth Company | false | ||
Entity Shell Company | false | ||
Entity Public Float | $ 144,166,509 | ||
Entity Common Stock, Shares Outstanding | 71,975,298 |
CONSOLIDATED BALANCE SHEETS
CONSOLIDATED BALANCE SHEETS - USD ($) | Aug. 31, 2021 | Aug. 31, 2020 |
CURRENT ASSETS | ||
Cash and cash equivalents | $ 5,106,653 | $ 2,746,451 |
Prepaid expenses and other current assets | 73,029 | 183,199 |
Total current assets | 5,179,682 | 2,929,650 |
Property and equipment, net | 30,834 | |
Mineral properties, net | 181,755 | 354,234 |
Deposit | 12,620 | 7,500 |
TOTAL ASSETS | 5,404,891 | 3,291,384 |
CURRENT LIABILITIES | ||
Accounts payable and accrued liabilities | 191,394 | 502,427 |
Advances from related party | 10,000 | 591,401 |
Total current liabilities | 201,394 | 1,093,828 |
SHAREHOLDERS’ EQUITY | ||
Preferred stock, par value $0.001; 10,000,000 shares authorized, no shares issued and outstanding | ||
Common stock, par value $0.01; 100,000,000 shares authorized, 71,934,065 and 71,323,278 shares issued and outstanding as of August 31, 2021 and 2020, respectively | 719,341 | 713,233 |
Additional paid-in capital | 41,332,478 | 40,376,847 |
Accumulated deficit | (36,848,322) | (38,892,524) |
Total shareholders’ equity | 5,203,497 | 2,197,556 |
TOTAL LIABILITIES AND SHAREHOLDERS’ EQUITY | $ 5,404,891 | $ 3,291,384 |
CONSOLIDATED BALANCE SHEETS (Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) - $ / shares | Aug. 31, 2021 | Aug. 31, 2020 |
Statement of Financial Position [Abstract] | ||
Preferred stock, par value | $ 0.001 | $ 0.001 |
Preferred stock, shares authorized | 10,000,000 | 10,000,000 |
Preferred stock, shares issued | 0 | 0 |
Preferred stock, shares outstanding | 0 | 0 |
Common stock, par value | $ 0.01 | $ 0.01 |
Common stock, shares authorized | 100,000,000 | 100,000,000 |
Common stock, shares issued | 71,934,065 | 71,323,278 |
Common stock, shares outstanding | 71,934,065 | 71,323,278 |
CONSOLIDATED STATEMENTS OF OPER
CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) | 12 Months Ended | |
Aug. 31, 2021 | Aug. 31, 2020 | |
OPERATING EXPENSES | ||
Exploration costs | $ 220,051 | $ 18,181 |
General and administrative | 1,342,805 | 1,055,881 |
Total operating expenses | 1,562,856 | 1,074,062 |
LOSS FROM OPERATIONS | (1,562,856) | (1,074,062) |
OTHER INCOME (EXPENSE) | ||
Loss on settlement of accrued liabilities | (66,335) | |
Gain on sale of assets | 3,326,899 | |
Grant income, net of related expenses | 274,072 | |
Interest and other income | 6,088 | 6,582 |
Interest and other expense | (7,014) | |
Total other income (expense) | 3,607,059 | (66,767) |
NET INCOME (LOSS) | $ 2,044,202 | $ (1,140,829) |
Net income (loss) per common share | ||
Basic | $ 0.03 | $ (0.02) |
Diluted | $ 0.03 | $ (0.02) |
Weighted average shares outstanding | ||
Basic | 71,651,114 | 61,201,735 |
Diluted | 72,862,214 | 61,201,735 |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) | 12 Months Ended | |
Aug. 31, 2021 | Aug. 31, 2020 | |
CASH FLOWS FROM OPERATING ACTIVITIES | ||
Net income (loss) | $ 2,044,202 | $ (1,140,829) |
Adjustments to reconcile net income (loss) to net cash used in operating activities: | ||
Depreciation and amortization expense | 4,072 | |
Stock based compensation | 880,439 | 232,386 |
Loss on settlement of accrued liabilities | 66,335 | |
Gain on sale of mineral properties | (3,326,899) | |
Changes in operating assets and liabilities: | ||
Prepaid expenses and other assets | 110,170 | (186,249) |
Accounts payable and accrued liabilities | (311,033) | (570,643) |
Net cash used in operating activities | (599,049) | (1,599,000) |
CASH FLOWS FROM INVESTING ACTIVITIES | ||
Payments for deposits | (5,120) | |
Purchases of property and equipment | (34,906) | |
Purchases of mineral properties | (229,849) | |
Proceeds from sale of interest in mineral properties | 3,000,000 | |
Net cash provided by investing activities | 2,730,125 | |
CASH FLOWS FROM FINANCING ACTIVITIES | ||
Payment on note payable | (123,542) | |
Advances from related party | 147,826 | 400,947 |
Proceeds from sale of common stock, net | 280,000 | |
Payment from exercise of common stock options and warrants | 81,300 | 1,963,500 |
Net cash provided by financing activities | 229,126 | 2,520,905 |
NET CHANGE IN CASH AND CASH EQUIVALENTS | 2,360,202 | 921,905 |
CASH AND CASH EQUIVALENTS AT BEGINNING OF PERIOD | 2,746,451 | 1,824,546 |
CASH AND CASH EQUIVALENTS AT END OF PERIOD | 5,106,653 | 2,746,451 |
SUPPLEMENTAL DISCLOSURE OF CASH FLOWS INFORMATION: | ||
Cash paid for interest expense | ||
Cash paid for income taxes | ||
NON-CASH INVESTING AND FINANCING ACTIVITIES: | ||
Common stock issued as payment of accrued expenses | 92,500 | 45,000 |
Advances from related parties applied to consideration in sale of interest in mineral properties | $ 729,227 |
CONSOLIDATED STATEMENTS OF SHAR
CONSOLIDATED STATEMENTS OF SHAREHOLDERS' EQUITY (DEFICIT) - USD ($) | Common Stock [Member] | Additional Paid-in Capital [Member] | Retained Earnings [Member] | Total |
Beginning balance, value at Aug. 31, 2019 | $ 562,050 | $ 37,940,809 | $ (37,751,695) | $ 751,164 |
Beginning balance, shares at Aug. 31, 2019 | 56,204,994 | |||
Common stock issued for services | $ 1,010 | 156,579 | 157,529 | |
Common stock issued for services (in shares) | 101,015 | |||
Common stock issued for cash | $ 8,000 | 272,000 | 280,000 | |
Common stock issued for cash (in shares) | 800,000 | |||
Common stock issued to settle accrued compensation | $ 1,309 | 110,026 | 111,335 | |
Common stock issued to settle accrued compensation (in shares) | 130,892 | |||
Options issued for services | 74,857 | 74,857 | ||
Common stock issued upon exercise of options and warrants | $ 56,200 | 1,907,300 | 1,963,500 | |
Common stock issued upon exercise of options and warrants (in shares) | 5,620,000 | |||
Common stock issued upon cashless exercise of options and warrants | $ 84,664 | (84,664) | ||
Common stock issued upon cashless exercise of options and warrants (in shares) | 8,466,377 | |||
Net loss | (1,140,829) | (1,140,829) | ||
Ending balance, value at Aug. 31, 2020 | $ 713,233 | 40,376,847 | (38,892,524) | 2,197,556 |
Ending balance, shares at Aug. 31, 2020 | 71,323,278 | |||
Stock based compensation | $ 834 | 787,105 | 787,939 | |
Stock based compensation (in shares) | 83,345 | |||
Common stock issued as payment of accrued directors fees | $ 619 | 91,881 | 92,500 | |
Common stock issued as payment of accrued directors fees (in shares) | 61,936 | |||
Common stock issued upon exercise of options and warrants | $ 2,960 | 78,340 | 81,300 | |
Common stock issued upon exercise of options and warrants (in shares) | 296,000 | |||
Common stock issued upon cashless exercise of options and warrants | $ 1,695 | (1,695) | ||
Common stock issued upon cashless exercise of options and warrants (in shares) | 169,506 | |||
Net loss | 2,044,202 | 2,044,202 | ||
Ending balance, value at Aug. 31, 2021 | $ 719,341 | $ 41,332,478 | $ (36,848,322) | $ 5,203,497 |
Ending balance, shares at Aug. 31, 2021 | 71,934,065 |
ORGANIZATION AND NATURE OF BUSI
ORGANIZATION AND NATURE OF BUSINESS | 12 Months Ended |
Aug. 31, 2021 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
ORGANIZATION AND NATURE OF BUSINESS | NOTE 1 – ORGANIZATION AND NATURE OF BUSINESS Texas Mineral Resources Corp. (the “Company”) was incorporated in the State of Nevada in 1970 as Standard Silver Corporation. In 2010, the Company changed its name from “Standard Silver Corporation” to “Texas Rare Earth Resources Corp”. In 2012, the Company changed its state of incorporation from Nevada to Delaware under a plan of conversion dated August 24, 2012. In 2016, the Company changed its name to Texas Mineral Resources Corp. We are a mining company engaged in the business of the acquisition, exploration and development of mineral properties. We currently own a 20% membership interest in Round Top Mountain Development Company, LLC (“Round Top”), a Delaware limited liability Company, which entity holds two mineral property leases with the GLO to explore and develop a 950-acre rare earths project located in Hudspeth County, Texas, known as the Round Top Project. The leases, originally signed with primary terms of approximately 19 and 18 years, each currently have remaining terms of approximately nine years and provisions for automatic renewal if Round Top is in production. Round Top also holds prospecting permits covering 9,345 acres adjacent to the Round Top Project. The strategy with Round Top is to develop a metallurgical process to concentrate or otherwise extract the metals from the Round Top Project’s rhyolite, conduct additional engineering, design, geotechnical work, and permitting necessary for a bankable feasibility study and then to extract mineral resources from the Round Top Project. The Round Top Project has not established as of the date hereof that any of the properties contain any probable mineral reserves or proven mineral reserves under Item 1300 of Regulation S-K (“Item 1300”). |
SUMMARY OF ACCOUNTING POLICIES
SUMMARY OF ACCOUNTING POLICIES | 12 Months Ended |
Aug. 31, 2021 | |
Accounting Policies [Abstract] | |
SUMMARY OF ACCOUNTING POLICIES | NOTE 2 – SUMMARY OF ACCOUNTING POLICIES Exploration-Stage Company Since January 1, 2009, the Company has been classified as an “exploration stage” company for purposes of Item 1300 of the U.S. Securities and Exchange Commission (“SEC”). Under Item 1300, companies engaged in significant mining operations are classified into three categories, referred to as “stages” - exploration, development, and production. Exploration stage includes all companies that do not have established reserves in accordance with Item 1300. Such companies are deemed to be “in the search for mineral deposits.” Notwithstanding the nature and extent of development-type or production-type activities that have been undertaken or completed, a company cannot be classified as a development or production stage company unless it has established reserves in accordance with Item 1300. Basis of Presentation The Company’s financial records are maintained on the accrual basis of accounting in accordance with accounting principles generally accepted in the United States of America (“US GAAP”). Principles of Consolidation The consolidated financial statements include the accounts of Texas Mineral Resources Corp and its proportionate interest in the assets, liabilities, and operations of Round Top. All significant intercompany balances and transactions have been eliminated. COVID-19 Risks and Uncertainties In March 2020, the World Health Organization declared the novel strain of coronavirus, COVID-19, a global pandemic and recommended containment and mitigation measures worldwide. Although COVID-19 has not had a significant impact on the Company’s operating results in fiscal years 2021 and 2020, management continues to monitor its impact. The Company is unable to predict the future impact that COVID-19 will have on its future financial position and operating results due to numerous uncertainties, including the duration and severity of the outbreak. Cash and Cash Equivalents The Company considers all highly liquid investments with an original maturity of three months or less when purchased to be cash equivalents. Cash and cash equivalents currently consist only of demand deposits at commercial banks. The Company maintains cash and cash equivalents at banks selected by management based upon their assessment of the financial stability of the institution. Balances periodically exceed the federal depository insurance limit; however, the Company has not experienced any losses on deposits. Property and Equipment Property and equipment consist primarily of vehicles, furniture and equipment, and are recorded at cost. Expenditures related to acquiring or extending the useful life of property and equipment are capitalized. Expenditures for repair and maintenance are charged to operations as incurred. Depreciation is computed using the straight-line method over an estimated useful life of 3-20 years. Lease Deposits From time to time, the Company makes deposits in anticipation of executing leases. The deposits are capitalized upon execution of the applicable agreements. Long-lived Assets The Company reviews the recoverability of long-lived assets whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable through operations. To determine if these costs are in excess of their recoverable amount, periodic evaluation of carrying value of capitalized costs and any related property and equipment costs are based upon expected future cash flows and/or estimated salvage value in accordance with Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC 360”), Property, Plant and Equipment. Revenue Recognition The Company’s revenue recognition policies are established in accordance with the Revenue Recognition topics of ASC 606, and accordingly, revenue is recognized when control of the promised goods or services is transferred to customers, in an amount that reflects the consideration the Company expects to be entitled to in exchange for those goods or services. Mineral Exploration and Development Costs All exploration expenditures are expensed as incurred. Costs of acquisition and option costs of mineral rights are capitalized upon acquisition. Costs incurred to maintain current production or to maintain assets on a standby basis are charged to operations. If the Company does not continue with exploration after the completion of the feasibility study, the mineral rights will be expensed at that time. Costs of abandoned projects are charged to mining costs including related property and equipment costs. To determine if these costs are in excess of their recoverable amount, periodic evaluation of carrying value of capitalized costs and any related property and equipment costs are based upon expected future cash flows and/or estimated salvage value in accordance with ASC 360-10-35-15, Impairment or Disposal of Long-Lived Assets. Share-based Payments The Company estimates the fair value of share-based compensation using the Black-Scholes valuation model, in accordance with the provisions of ASC 718, Stock Compensation Income Taxes Income taxes are computed using the asset and liability method, in accordance with ASC 740, Income Taxes The Company recognizes and measures a tax benefit from uncertain tax positions when it is more likely than not that the tax position will be sustained on examination by the taxing authorities, based on the technical merits of the position. The Company recognizes a liability for unrecognized tax benefits resulting from uncertain tax positions taken or expected to be taken in a tax return. The Company adjusts these liabilities when its judgement changes as a result of the evaluation of new information not previously available. Due to the complexity of some of these uncertainties, the ultimate resolution may result in a payment that is materially different from the current estimate or future recognition of an unrecognized tax benefit. These differences will be reflected as increases or decreases to income tax expense in the period in which they are determined. The Company recognizes interest and penalties related to unrecognized tax positions within the income tax expense line in the statements of operations. Management believes the Company has no uncertain tax positions at August 31, 2021 and 2020. Basic and Diluted Income (Loss) Per Share The Company computes income (loss) per share in accordance with ASC 260, Earnings Per Share The following table sets forth the computation of basic and dilutive weighted average shares for the years ended August 31, 2021 and 2020: 2021 2020 Weighted average basic shares 71,651,114 61,201,735 Dilutive securities: Stock options and warrants 1,211,100 — Weighted average dilutive shares 72,862,214 61,201,735 At August 31, 2020, options and warrants to purchase 5,081,538 shares of common stock were outstanding but not included in the computation of dilutive earnings per share, because these options and warrants were antidilutive. Use of Estimates The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Fair Value Measurements The Company accounts for assets and liabilities measured at fair value in accordance with ASC 820, Fair Value Measurements and Disclosures. ● Level 1: Observable inputs that reflect unadjusted quoted prices for identical assets or liabilities traded in active markets. ● Level 2: Inputs other than quoted prices included within Level 1 that are observable for the asset or liability, either directly or indirectly. ● Level 3: Inputs that are generally unobservable. These inputs may be used with internally developed methodologies that result in management’s best estimate of fair value. The Company’s financial instruments consist principally of cash and accounts payable and accrued liabilities. The carrying amounts of such financial instruments in the accompanying financial statements approximate their fair values due to their relatively short-term nature. It is management’s opinion that the Company is not exposed to any significant currency or credit risks arising from these financial instruments. Recent Accounting Pronouncements In August 2018, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2018-13, Fair Value Measurement (Topic 820): Disclosure Framework – Changes to the Disclosure Requirements for Fair Value Measurement In February 2016, the FASB issued ASU No. 2016-02, Leases The FASB issued ASU No. 2018-10 “Codification Improvements to Topic 842, Leases” and ASU No. 2018-11 “Leases (Topic 842) Targeted Improvements” in July 2018. ASU 2018-10 provides certain amendments that affect narrow aspects of the guidance issued in ASU 2016-02. ASU 2018-11 provides an optional transition method allowing entities to apply the new lease standard at the adoption date with a cumulative-effect adjustment to the opening balance of retained earnings in the period of adoption (modified retrospective approach) as opposed to restating prior period financial statements. The Company elected to adopt the standard on September 1, 2019. Its adoption did not have a significant impact on its financial statements and related disclosures. |
JOINT VENTURE ARRANGEMENTS
JOINT VENTURE ARRANGEMENTS | 12 Months Ended |
Aug. 31, 2021 | |
Equity Method Investments and Joint Ventures [Abstract] | |
JOINT VENTURE ARRANGEMENTS | NOTE 3 – JOINT VENTURE ARRANGEMENTS In August 2018, the Company and Morzev Pty. Ltd. (“Morzev”) entered into an agreement (the “2018 Option Agreement”) whereby Morzev was granted the exclusive right to earn and acquire a 70% interest in the Company’s Round Top Project (“Project” or “Round Top” or “Round Top Project”) by financing $10 million of expenditures in connection with the Project, increasable to an 80% interest for an additional $3 million payment to the Company. Morzev began operating as USA Rare Earth, LLC (“USARE”) and in May 2019 notified the Company that it was nominating USARE as the optionee under the terms of the 2018 Option Agreement. In August 2019, the Company and USARE entered into an amended and restated option agreement as further amended on June 29, 2020 (the “2019 Option Agreement” and collectively with the 2018 Option Agreement, the “Option Agreement”), whereby the Company restated its agreement to grant USARE the exclusive right to earn and acquire a 70% interest, increasable to an 80% interest, in the Round Top Project. The 2019 Option Agreement has substantially similar terms to the 2018 Option Agreement. On May 17, 2021, and in accordance with the terms of the Option Agreement, the Company and USARE entered into a contribution agreement (“Contribution Agreement”) whereby the Company and USARE contributed assets to Round Top, a wholly-owned subsidiary of the Company, in exchange for their ownership interests in Round Top, of which the Company now owns membership interests equating to 20% of Round Top and USARE owns membership interests equating to 80% of Round Top. Concurrently therewith, the Company and USARE as the two members entered into a limited liability company agreement (“Operating Agreement”) governing the operations of Round Top which contains customary and industry standard terms as contemplated by the Option Agreement. USARE will serve as manager of Round Top and Mr. Gorski, on behalf of the Company, will serve as one of the three members of the management committee. In connection with USARE meeting its obligations to acquire a 70% interest in Round Top and exercising its right to an additional 10% interest, the Company received total consideration of approximately $3,728,000, consisting of the $3 million upon exercise of the option and approximately $728,000 in previous advances to the Company by USARE, and derecognized 80% of the carrying amount of mineral properties, or approximately $402,000. The resulting gain on sale of interest in mineral properties in the amount of approximately $3,326,000 is included as its own line item in other income (expense). Upon entry into the Contribution Agreement, the Company assigned the following contracts and assets to Round Top in exchange for its 20% membership interest in Round Top: ● the assignment and assumption agreement with respect to the mineral leases from the Company to Round Top; ● the assignment and assumption agreement with respect to the surface lease from the Company to Round Top; ● the assignment and assumption agreement with respect to the surface purchase option from the Company to Round Top; ● the assignment and assumption agreement with respect to the water lease from the Company to Round Top; and ● the bill of sale and assignment agreement of existing data with respect to Round Top owned by the Company. and USARE assigned the following assets to Round Top (or the Company, as applicable) for its 80% membership interest in Round Top: ● cash to Round Top to continue to fund Round Top operations in the amount of approximately $3,761,750 comprising the balance of the $10 million required expenditure to earn a 70% interest in Round Top; ● cash in the amount of $3 million to the Company upon exercise of the USARE option to acquire from the Company an additional 10% interest in Round Top, resulting in the aggregate ownership interest of 80% in Round Top; ● bill of sale and assignment agreement of the Pilot Plant to Round Top; ● the assignment and assumption regarding relevant contracts and permits with respect to Round Top; and ● bill of sale and assignment agreement of existing data and intellectual property owned by USARE to Round Top. The Company accounts for its interest in Round Top using the proportionate consolidation method, which is an exception available to entities in the extractive industries, thereby recognizing its pro-rate share of the assets, liabilities, and operations of Round Top in the appropriate classifications in the financial statements. Subsequent to the sale of an undivided 80% interest in Round Top, there was no significant activity in Round Top requiring recognition in the financial statements. |
PROPERTY AND EQUIPMENT, NET
PROPERTY AND EQUIPMENT, NET | 12 Months Ended |
Aug. 31, 2021 | |
Property, Plant and Equipment [Abstract] | |
PROPERTY AND EQUIPMENT, NET | NOTE 4 – PROPERTY AND EQUIPMENT, NET Property and equipment consist of office furniture, equipment and vehicles. Property and equipment are depreciated using the straight-line method over their estimated useful life of 3-20 years. Following is an analysis of property and equipment at August 31, 2021 and 2020: 2021 2020 Furniture and office equipment $ 75,606 $ 75,606 Vehicles 124,092 89,185 Computers and software 48,711 48,711 Field equipment 71,396 71,396 Total cost basis 319,805 284,898 Less: accumulated depreciation (288,970 ) (284,898 ) Property and equipment, net $ 30,834 $ — Depreciation expense for the years ending August 31, 2021 and 2020 was $4,072 and $-0-, respectively. |
MINERAL PROPERTIES
MINERAL PROPERTIES | 12 Months Ended |
Aug. 31, 2021 | |
Extractive Industries [Abstract] | |
MINERAL PROPERTIES | NOTE 5 – MINERAL PROPERTIES August 2010 Lease On August 17, 2010, the Company executed a new mining lease with the Texas General Land Office covering Sections 7 and 18 of Township 7, Block 71 and Section 12 of Block 72, covering approximately 860 acres at Round Top Mountain in Hudspeth County, Texas. The mining lease issued by the Texas General Land Office gives the Company the right to explore, produce, develop, mine, extract, mill, remove, and market rare earth elements, all other base and precious metals, industrial minerals and construction materials and all other minerals excluding oil, gas, coal, lignite, sulfur, salt, and potash. The term of the lease is nineteen years so long as minerals are produced in paying quantities. Under the terms of the lease, the Company will pay the State of Texas a total lease bonus of $142,518. The Company paid $44,718 upon the execution of the lease, and will pay the remaining $97,800 upon submission of a supplemental plan of operations to conduct mining. Upon sale of any minerals removed from Round Top, the Company will pay the State of Texas a $500,000 minimum advance royalty. Thereafter, if paying quantities of minerals are obtained, the Company will pay the State of Texas a production royalty equal to eight percent (8%) of the market value of uranium and other fissionable materials removed and sold from Round Top and six and one quarter percent (6 1/4%) of the market value of all other minerals removed and sold. If paying quantities have not been obtained, the Company may pay additional delay rental fees to extend the term of the lease for successive one (1) year periods pursuant to the following schedule: Per Acre Amount Total Amount September 2, 2020 – 2024 $ 150 $ 134,155 September 2, 2025 – 2029 200 178,873 In August 2021, our joint venture partner paid the State of Texas a delay rental to extend the term of the lease in an amount equal to $134,155. November 2011 Lease On November 1, 2011, the Company executed a mining lease with the State of Texas covering approximately 90 acres of land that is adjacent to the August 2010 Lease. Under the lease, the Company paid the State of Texas a lease bonus of $20,700 upon the execution of the lease. Upon the sale of minerals removed from Round Top, the Company will pay the State of Texas a $50,000 minimum advance royalty. Thereafter, if paying quantities of minerals are obtained, the Company will pay the State of Texas a production royalty equal to eight percent (8%) of the market value of uranium and other fissionable materials removed and sold from Round Top and six and one quarter percent (6 1/4%) of the market value of all other minerals. If paying quantities have not been obtained, the Company may pay additional delay rental fees to extend the term of the lease for successive one (1) year periods pursuant to the following schedule: Per Acre Amount Total Amount November 1, 2020 – 2024 $ 150 $ 13,500 November 1, 2025 – 2029 200 18,000 In August 2021, our joint venture partner paid the State of Texas a delay rental to extend the term of the lease in an amount equal to $13,500. March 2013 Lease On March 6, 2013, the Company purchased the surface lease at the Round Top Project, known as the West Lease, from the Southwest Wildlife and Range Foundation (since renamed the Rio Grande Foundation) for $500,000 cash and 1,063,830 shares of common stock valued at $500,000. The Company also agreed to support the Foundation through an annual payment of $45,000 for ten years to support conservation efforts within the Rio Grande Basin, particularly Lake Amistad, a large and well-known fishing lake near Del Rio, Texas. The West Lease comprises approximately 54,990 acres. Most importantly, the purchase of the surface lease provides the Company unrestricted surface access for the potential development and mining of the Round Top Project. October 2014 Surface Option and Water Lease On October 29, 2014, the Company announced the execution of agreements with the Texas General Land Office securing the option to purchase the surface rights covering the potential Round Top project mine and plant areas and, separately, a lease to develop the water necessary for the potential Round Top project mine operations. The option to purchase the surface rights covers approximately 5,670 acres over the mining lease and the additional acreage adequate to site all potential heap leaching and processing operations as currently anticipated by the Company. The Company may exercise the option for all or part of the option acreage at any time during the sixteen-year primary term of the mineral lease. The option can be maintained through annual payments of $10,000. The purchase price will be the appraised value of the surface at the time of option exercise. All annual payments have been made as of the date of this filing. The ground water lease secures the right to develop the ground water within a 13,120-acre lease area located approximately 4 miles from the Round Top deposit. The lease area contains five existing water wells. It is anticipated that all potential water needs for the Round Top project mine operations would be satisfied by the existing wells covered by this water lease. This lease terms include an annual minimum production payment of $5,000 prior to production of water for the operation. After initiation of production the Company will pay $0.95 per thousand gallons or $20,000 annually, whichever is greater. This lease remains in effect so long as the mineral lease is in effect. The minimum production payment for all fiscal years have been made as of the date of this filing. |
ACCOUNTS PAYABLE AND ACCRUED LI
ACCOUNTS PAYABLE AND ACCRUED LIABILITIES | 12 Months Ended |
Aug. 31, 2021 | |
Payables and Accruals [Abstract] | |
ACCOUNTS PAYABLE AND ACCRUED LIABILITIES | NOTE 6 – ACCOUNTS PAYABLE AND ACCRUED LIABILITIES Accounts payable and accrued liabilities at August 31, 2021 and 2020, consist of the following: 2021 2020 Accounts payable – trade $ 175,328 $ 113,251 Accrued payroll and related expenses 16,049 382,853 Other 17 6,323 Total accounts payable and accrued liabilities $ 191,394 $ 502,427 |
NOTES PAYABLE
NOTES PAYABLE | 12 Months Ended |
Aug. 31, 2021 | |
Debt Disclosure [Abstract] | |
NOTES PAYABLE | NOTE 7 – NOTES PAYABLE In relation to the Foundation lease discussed in Note 5, the Company recorded a note payable for an amount for the initial $45,000 due upon signing of the lease and the nine (9) future payments due of $45,000. As of September 1, 2019, the balance of the note payable was $123,542. During the year ended August 31, 2020, the balance of the note payable was paid in-full. Related Party Advances On January 12, 2017 the Company entered into loan agreements totaling $10,000 from an officer of the Company. The loans include a stated due date of July 12, 2017, are non-interest accruing, and unsecured. The notes payable balance at September 1, 2019 was $4,000 and the notes were paid in full during the year ended August 31, 2020. During the years ended August 31, 2021 and 2020, USARE, the Company’s joint venture partner, provided cash advances of $147,826 and $400,947, respectively, to pay certain deferred lease rental costs and amounts due under the Rio Grande Foundation note discussed above. These advances are uncollateralized and are non-interest-bearing. The cumulative balance of advances from USARE on May 17, 2021 totaling $728,227 was applied as consideration for the sale of 80% interest in Round Top as further discussed in Note 3, Joint Venture Arrangements. As of August 31, 2020, the Company had a $1,000 non-interest-bearing advance from a stockholder. |
INCOME TAXES
INCOME TAXES | 12 Months Ended |
Aug. 31, 2021 | |
Income Tax Disclosure [Abstract] | |
INCOME TAXES | NOTE 8 – INCOME TAXES The following table sets forth a reconciliation of the federal income tax benefit to the United States federal statutory rate of 21% for the years ended August 31, 2021 and 2020: 2021 2020 Income tax (expense) benefit at 21% statutory rate $ (429,282 ) $ 239,574 Stock-based compensation (184,893 ) (72,181 ) Non-deductible loss on settlement of accrued compensation — (12,548 ) Decrease (increase) in valuation allowance 614,175 (154,845 ) $ — $ — The tax effects of the temporary differences between reportable financial statement income and taxable income are recognized as a deferred tax asset and liability. Significant components of the deferred tax assets are set out below along with a valuation allowance to reduce the net deferred tax asset to zero. Management has established a valuation allowance because, based on an analysis of the tax benefits underlying deferred tax assets, it is unable to establish that it is more-likely-than-not that a tax benefit will be realized. Significant components of deferred tax asset at August 31, 2021 and 2020 are as follows: 2021 2020 Net operating loss carryforward $ 4,341,024 $ 3,238,098 Difference in property and equipment basis 474,558 2,191,659 Accrued liabilities — — Less valuation allowance (4,815,582 ) (5,429,757 ) Net deferred tax asset $ — $ — As a result of a change in control effective in April 2007, net operating losses prior to that date may be partially or entirely unavailable under tax law, to offset future income and; accordingly, these net operating losses are excluded from deferred tax assets. The net operating loss carryforward in the approximate amount of $15,989,000 will begin to expire in 2022. The Company files income tax returns in the United States and in one state jurisdiction. With few exceptions, the Company is no longer subject to United States federal income tax examinations for fiscal years ending before 2011 and no longer subject to state tax examinations for years before 2010. |
SHAREHOLDERS_ EQUITY
SHAREHOLDERS’ EQUITY | 12 Months Ended |
Aug. 31, 2021 | |
Equity [Abstract] | |
SHAREHOLDERS’ EQUITY | NOTE 9 – SHAREHOLDERS’ EQUITY The Company’s authorized capital stock consists of 100,000,000 shares of common stock, with a par value of $0.01 per share, and 10,000,000 preferred shares with a par value of $0.001 per share. All shares of common stock have equal voting rights and, when validly issued and outstanding, are entitled to one non-cumulative vote per share in all matters to be voted upon by shareholders. Shares of common stock have no pre-emptive, subscription, conversion or redemption rights and may be issued only as fully paid and non-assessable shares. Holders of common stock are entitled to equal ratable rights to dividends and distributions with respect to the common stock, as may be declared by the Company’s Board of Directors (the “Board”) out of funds legally available. In the event of a liquidation, dissolution or winding up of the affairs of the Company, the holders of common stock are entitled to share ratably in all assets remaining available for distribution to them after payment or provision for all liabilities and any preferential liquidation rights of any preferred stock then outstanding. Following is an analysis of common stock issuances during the years ended August 31, 2021 and 2020: August 31, 2021 In October 2020, the Company issued 61,936 shares of common stock to Directors as payment for accrued fees totaling $92,500 earned in June through August 2020. During the year ended August 31, 2021, the Company issued 83,345 shares of common stock valued at $142,500, as payment for directors’ fees. In addition, the Company recognized stock compensation and a corresponding charge to additional paid-in capital in the amount of $47,500 for directors’ fees earned during the quarter ended August 31, 2021. The Company issued the related 41,233 shares of common stock in October 2021. During the year ended August 31, 2021, the holders of 76,000 common stock warrants and 220,000 common stock options were exercised for total cash consideration of $81,300. The exercise price of the common stock warrants ranged from $0.10 to $0.35 per share and the exercise price of the common stock options ranged from $0.20 to $0.45 per share. During the year ended August 31, 2021, a total of 200,000 common stock options were exercised on a cashless basis into 169,506 shares of common stock. The common stock options had exercise prices ranging from $0.22 to $0.45. August 31, 2020 During the year ended August 31, 2020, the Company issued 800,000 shares of common stock to investors for total consideration of $280,000. During the year ended August 31, 2020, the holder of 70,000 common stock options with an exercise price of $0.30 per share, exercised such options for total consideration of $21,000. In addition, a total of 3,420,000 common stock options were exercised on a cashless basis into 2,813,310 shares of common stock. The common stock options had exercise prices ranging from $0.19 to $0.45 per share. During the year ended August 31, 2020, the holders of 5,550,000 common stock warrants with an exercise price of $0.35 per share, exercised such options for total consideration of $1,942,500. In addition, a total of 7,631,702 common stock warrants were exercised on a cashless basis into 5,653,067 shares of common stock. The common stock warrants had exercise prices ranging from $0.10 to $0.50 per share. In October 2019, the Company issued 13,514 shares of common stock to a new Advisory Board Member and recognized compensation expense of $5,000 based on the $0.37 quoted market price of the common stock on the date of issuance. In January 2020, the Company issued 130,892 shares of common stock issued to settle $45,000 in accrued compensation to an ex-employee. The common stock was valued at $111,335, based on the $0.85 quoted market price of the common stock on the date the settlement was reached. A loss on settlement of $66,335, representing the difference between the carrying amount of the liability and the fair value of the stock issued, was recognized as a result of this transaction. In January 2020, the Company entered into three separate consulting agreements for total consideration of 699,999 shares of common stock (233,333 per agreement). The common stock underlying the agreements had a total value of $448,000, based on the $0.64 quoted market price of the common stock on the date the consulting agreements were reached. The right to receive the common stock is subject to ratable vesting over a 24-month period and at August 31, 2021, 483,333 shares had vested and 87,501 had been issued. The Company recognized $224,000 and $152,529 of compensation expense under these consulting agreements during the years ended August 31, 2021 and 2020, respectively, and included the expense in general and administrative expenses. The consultants have requested that the Company hold the remaining shares issuable under the consulting agreements in trust to allow the consultants to request their shares as they vest. Options The following table sets forth certain information as of August 31, 2021 and 2020 concerning common stock that may be issued upon the exercise of options not covered by the Amended 2008 Plan and pursuant to purchases of stock under the Amended 2008 Plan (All options are fully vested and exercisable at August 31, 2021 and 2020): Weighted Average Weighted Remaining Average Contractual Aggregate Shares Exercise Price Life (In Years) Intrinsic Value Outstanding, vested and exercisable at August 31, 2019 5,710,000 $ 0.28 5.41 $ 571,000 Options granted 43,500 0.60 — — Options exercised (3,490,000 ) 0.25 — — Options cancelled/forfeited/expired (500,000 ) 0.23 — — Outstanding, vested and exercisable at August 31, 2020 1,763,500 0.35 3.45 $ 2,028,025 Options granted 174,000 0.60 — — Options exercised (420,000 ) 0.28 — — Options cancelled/forfeited/expired (40,000 ) 0.30 — — Outstanding, vested and exercisable at August 31, 2021 1,477,500 $ 0.40 2.68 $ 1,523,430 Amended 2008 Stock Option Plan In September 2008, the Board adopted the 2008 Stock Option Plan (the “2008 Plan”), which was approved by the Company’s shareholders and provided 2,000,000 shares available for grant. In 2011, 2012, and 2016, the Board adopted amendments to the 2008 Plan, approved by the shareholders, that increased the shares available for issuance under the 2008 Plan by a total of 7,000,000 shares (as amended, the “Amended 2008 Plan”). Accordingly, at August 31, 2021 and 2020, 9,000,000 shares were designated for issuance under the 2008 Plan, as amended. At August 31, 2021, a total of 5,765,000 shares of common stock remained available for future grants under the Amended 2008 Plan. During the year ended August 31, 2021, the Company granted a total of 174,000 stock options, with a fair value of $353,497 on the date of grant, to a consultant. The fair value of the options was determined using the Black-Scholes option-pricing model. The weighted average assumptions used to calculate the fair market value are as follows: (i) risk-free interest rate of 0.27% (ii) estimated volatility of 205.58% (iii) dividend yield of 0.00% and (iv) expected life of all options of 5 years. The Company recognized the full $353,497 as compensation expense during the year ended August 31, 2021. During the year ended August 31, 2020, the Company granted a total of 43,500 stock options with a fair value of approximately $75,000 on the date of grant to a consultant. The fair value of the options was determined using the Black-Scholes option-pricing model. The weighted average assumptions used to calculate the fair market value are as follows: (i) risk-free interest rate of 0.29% (ii) estimated volatility of 209.79% (iii) dividend yield of 0.00% and (iv) expected life of all options of 5 years. Warrants Warrant activity for the years ended August 31, 2021 and 2020 was as follows: Weighted Average Weighted Remaining Average Contractual Aggregate Shares Exercise Price Life (In Years) Intrinsic Value Outstanding and exercisable at August 31, 2019 16,499,740 $ 0.36 1.16 $ 3,501,332 Warrants exercised (13,181,702 ) 0.34 — — Outstanding and exercisable at August 31, 2020 3,318,038 0.40 0.28 $ 3,649,842 Warrants granted 10,000 0.10 Warrants exercised (76,000 ) 0.33 Warrants cancelled/forfeited/expired (3,218,038 ) 0.10 — — Outstanding and exercisable at August 31, 2021 34,000 $ 0.10 1.2 $ 45,660 In December 2019, the Company extended the expiration date of the Class A and Class B warrants to December 7, 2020. At August 31, 2020, there are issued and outstanding Class A warrants to purchase an aggregate of 1,114,412 shares of Company common stock at an exercise price of $0.35 per share, and Class B warrants to purchase an aggregate of 1,128,626 shares of Company common stock at an exercise price of $0.50 per share. At August 31, 2021 there are no Class A or Class B warrants outstanding. During the year ended August 31, 2021, the Company granted a total of 10,000 stock warrants, with a fair value of $20,442 on the date of grant, to a consultant. The fair value of the options was determined using the Black-Scholes option-pricing model. The weighted average assumptions used to calculate the fair market value are as follows: (i) risk-free interest rate of 0.27% (ii) estimated volatility of 205.58% (iii) dividend yield of 0.00% and (iv) expected life of all options of 3 years. The Company recognized the full $20,442 as compensation expense during the year ended August 31, 2021. |
RELATED PARTY TRANSACTIONS
RELATED PARTY TRANSACTIONS | 12 Months Ended |
Aug. 31, 2021 | |
Related Party Transactions [Abstract] | |
RELATED PARTY TRANSACTIONS | NOTE 10 – RELATED PARTY TRANSACTIONS The Company issued 4,432,529 common shares to various directors upon conversion of plan options and warrants in June and July 2020. |
SUBSEQUENT EVENTS
SUBSEQUENT EVENTS | 12 Months Ended |
Aug. 31, 2021 | |
Subsequent Events [Abstract] | |
SUBSEQUENT EVENTS | NOTE 11 – SUBSEQUENT EVENTS In October 2021, we issued 41,233 shares of common stock to our Directors for accrued Director fees earned in June through August 2021. These shares were valued at the closing price at the end of August at a discount of 20%. The discounted price per share was $1.15. On November 8, 2021, the Company entered into a mineral exploration and option agreement with Santa Fe Gold Corporation (“Santa Fe”). Under the agreement, the Company and Santa Fe will pursue, negotiate and subsequently enter into a joint venture agreement with Santa Fe to jointly explore and develop a target silver property which has been selected by the Company among patented and unpatented mining claims held by Santa Fe within the Black Hawk Mining District in Grant County, New Mexico. Completion of a joint venture agreement is subject to the successful outcome of a multi-phase exploration plan leading to a bankable feasibility study to be undertaken in the near future by the Company. Under the terms of the joint venture agreement, the Company would be the project operator and initially own 50.5% of the joint venture while Santa Fe would initially own 49.5%. Additional terms of the joint venture are to be negotiated between the Company and Santa Fe. Under terms of the agreement, the Company plans to conduct a district-wide evaluation among the patented and unpatented claims held by Santa Fe, consisting of geologic mapping, sampling, trenching, radiometric surveying, geophysics, drilling and/or other methods as warranted. Based on the district-wide evaluation, the Company will designate one 80-acre tract as the “project area” and commence detailed exploration work. The property covered in the agreement is approximately 1,300 acres and covers approximately 75% of the known mining district. The area to be studied also includes a two-mile radius “area of interest.” The agreement also provides the Company with the option to include in the “project area” properties within the “area of interest”. The term of the option is for so long as the Company continues to conduct exploration activities in the Project Area and can be exercised on 60 days notice to Santa Fe. Additionally, on November 8, 2021, the Company entered into a financing and purchase option agreement with Greentech Minerals Holdings, Inc. (“Greentech”). Under the agreement, Greentech is responsible for funding initial exploration activities and the bankable feasibility study, estimated to cost approximately $6.5 million, for the Santa Fe project exploration. It is contemplated that the bankable feasibility study will be designed to proceed in five tranches, each based on the success of the previous. It is estimated that completion of all tranches, if successful, would take twelve to fifteen months, depending on variables such as data analysis, weather and permitting. Upon successful completion of the study, Greentech will be entitled to received 20% of the Company’s initial equity in the proposed joint venture with Santa Fe, equal to approximately 10.1% of the total equity of the joint venture. In addition, assuming Greentech exercises its option to participate in funding the Santa Fe project capital expenditures, currently anticipated to be approximately $15 million, it will be entitled to receive another 20% of the Company’s initial equity in the future joint venture, equal to approximately an additional 10.1%. In total, Greentech, in exchange for its funding, has the ability to earn at least 20.2% of the potential joint venture with Santa Fe assuming successful completion of the overall first project. |
SUMMARY OF ACCOUNTING POLICIES
SUMMARY OF ACCOUNTING POLICIES (Policies) | 12 Months Ended |
Aug. 31, 2021 | |
Accounting Policies [Abstract] | |
Exploration-Stage Company | Exploration-Stage Company Since January 1, 2009, the Company has been classified as an “exploration stage” company for purposes of Item 1300 of the U.S. Securities and Exchange Commission (“SEC”). Under Item 1300, companies engaged in significant mining operations are classified into three categories, referred to as “stages” - exploration, development, and production. Exploration stage includes all companies that do not have established reserves in accordance with Item 1300. Such companies are deemed to be “in the search for mineral deposits.” Notwithstanding the nature and extent of development-type or production-type activities that have been undertaken or completed, a company cannot be classified as a development or production stage company unless it has established reserves in accordance with Item 1300. |
Basis of Presentation | Basis of Presentation The Company’s financial records are maintained on the accrual basis of accounting in accordance with accounting principles generally accepted in the United States of America (“US GAAP”). |
Principles of Consolidation | Principles of Consolidation The consolidated financial statements include the accounts of Texas Mineral Resources Corp and its proportionate interest in the assets, liabilities, and operations of Round Top. All significant intercompany balances and transactions have been eliminated. |
COVID-19 Risks and Uncertainties | COVID-19 Risks and Uncertainties In March 2020, the World Health Organization declared the novel strain of coronavirus, COVID-19, a global pandemic and recommended containment and mitigation measures worldwide. Although COVID-19 has not had a significant impact on the Company’s operating results in fiscal years 2021 and 2020, management continues to monitor its impact. The Company is unable to predict the future impact that COVID-19 will have on its future financial position and operating results due to numerous uncertainties, including the duration and severity of the outbreak. |
Cash and Cash Equivalents | Cash and Cash Equivalents The Company considers all highly liquid investments with an original maturity of three months or less when purchased to be cash equivalents. Cash and cash equivalents currently consist only of demand deposits at commercial banks. The Company maintains cash and cash equivalents at banks selected by management based upon their assessment of the financial stability of the institution. Balances periodically exceed the federal depository insurance limit; however, the Company has not experienced any losses on deposits. |
Property and Equipment | Property and Equipment Property and equipment consist primarily of vehicles, furniture and equipment, and are recorded at cost. Expenditures related to acquiring or extending the useful life of property and equipment are capitalized. Expenditures for repair and maintenance are charged to operations as incurred. Depreciation is computed using the straight-line method over an estimated useful life of 3-20 years. |
Lease Deposits | Lease Deposits From time to time, the Company makes deposits in anticipation of executing leases. The deposits are capitalized upon execution of the applicable agreements. |
Long-lived Assets | Long-lived Assets The Company reviews the recoverability of long-lived assets whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable through operations. To determine if these costs are in excess of their recoverable amount, periodic evaluation of carrying value of capitalized costs and any related property and equipment costs are based upon expected future cash flows and/or estimated salvage value in accordance with Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC 360”), Property, Plant and Equipment. |
Revenue Recognition | Revenue Recognition The Company’s revenue recognition policies are established in accordance with the Revenue Recognition topics of ASC 606, and accordingly, revenue is recognized when control of the promised goods or services is transferred to customers, in an amount that reflects the consideration the Company expects to be entitled to in exchange for those goods or services. |
Mineral Exploration and Development Costs | Mineral Exploration and Development Costs All exploration expenditures are expensed as incurred. Costs of acquisition and option costs of mineral rights are capitalized upon acquisition. Costs incurred to maintain current production or to maintain assets on a standby basis are charged to operations. If the Company does not continue with exploration after the completion of the feasibility study, the mineral rights will be expensed at that time. Costs of abandoned projects are charged to mining costs including related property and equipment costs. To determine if these costs are in excess of their recoverable amount, periodic evaluation of carrying value of capitalized costs and any related property and equipment costs are based upon expected future cash flows and/or estimated salvage value in accordance with ASC 360-10-35-15, Impairment or Disposal of Long-Lived Assets. |
Share-based Payments | Share-based Payments The Company estimates the fair value of share-based compensation using the Black-Scholes valuation model, in accordance with the provisions of ASC 718, Stock Compensation |
Income Taxes | Income Taxes Income taxes are computed using the asset and liability method, in accordance with ASC 740, Income Taxes The Company recognizes and measures a tax benefit from uncertain tax positions when it is more likely than not that the tax position will be sustained on examination by the taxing authorities, based on the technical merits of the position. The Company recognizes a liability for unrecognized tax benefits resulting from uncertain tax positions taken or expected to be taken in a tax return. The Company adjusts these liabilities when its judgement changes as a result of the evaluation of new information not previously available. Due to the complexity of some of these uncertainties, the ultimate resolution may result in a payment that is materially different from the current estimate or future recognition of an unrecognized tax benefit. These differences will be reflected as increases or decreases to income tax expense in the period in which they are determined. The Company recognizes interest and penalties related to unrecognized tax positions within the income tax expense line in the statements of operations. Management believes the Company has no uncertain tax positions at August 31, 2021 and 2020. |
Basic and Diluted Income (Loss) Per Share | Basic and Diluted Income (Loss) Per Share The Company computes income (loss) per share in accordance with ASC 260, Earnings Per Share The following table sets forth the computation of basic and dilutive weighted average shares for the years ended August 31, 2021 and 2020: 2021 2020 Weighted average basic shares 71,651,114 61,201,735 Dilutive securities: Stock options and warrants 1,211,100 — Weighted average dilutive shares 72,862,214 61,201,735 At August 31, 2020, options and warrants to purchase 5,081,538 shares of common stock were outstanding but not included in the computation of dilutive earnings per share, because these options and warrants were antidilutive. |
Use of Estimates | Use of Estimates The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. |
Fair Value Measurements | Fair Value Measurements The Company accounts for assets and liabilities measured at fair value in accordance with ASC 820, Fair Value Measurements and Disclosures. ● Level 1: Observable inputs that reflect unadjusted quoted prices for identical assets or liabilities traded in active markets. ● Level 2: Inputs other than quoted prices included within Level 1 that are observable for the asset or liability, either directly or indirectly. ● Level 3: Inputs that are generally unobservable. These inputs may be used with internally developed methodologies that result in management’s best estimate of fair value. The Company’s financial instruments consist principally of cash and accounts payable and accrued liabilities. The carrying amounts of such financial instruments in the accompanying financial statements approximate their fair values due to their relatively short-term nature. It is management’s opinion that the Company is not exposed to any significant currency or credit risks arising from these financial instruments. |
Recent Accounting Pronouncements | Recent Accounting Pronouncements In August 2018, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2018-13, Fair Value Measurement (Topic 820): Disclosure Framework – Changes to the Disclosure Requirements for Fair Value Measurement In February 2016, the FASB issued ASU No. 2016-02, Leases The FASB issued ASU No. 2018-10 “Codification Improvements to Topic 842, Leases” and ASU No. 2018-11 “Leases (Topic 842) Targeted Improvements” in July 2018. ASU 2018-10 provides certain amendments that affect narrow aspects of the guidance issued in ASU 2016-02. ASU 2018-11 provides an optional transition method allowing entities to apply the new lease standard at the adoption date with a cumulative-effect adjustment to the opening balance of retained earnings in the period of adoption (modified retrospective approach) as opposed to restating prior period financial statements. The Company elected to adopt the standard on September 1, 2019. Its adoption did not have a significant impact on its financial statements and related disclosures. |
SUMMARY OF ACCOUNTING POLICIE_2
SUMMARY OF ACCOUNTING POLICIES (Tables) | 12 Months Ended |
Aug. 31, 2021 | |
Accounting Policies [Abstract] | |
Schedule of basic and dilutive weighted average shares | The following table sets forth the computation of basic and dilutive weighted average shares for the years ended August 31, 2021 and 2020: 2021 2020 Weighted average basic shares 71,651,114 61,201,735 Dilutive securities: Stock options and warrants 1,211,100 — Weighted average dilutive shares 72,862,214 61,201,735 |
PROPERTY AND EQUIPMENT, NET (Ta
PROPERTY AND EQUIPMENT, NET (Tables) | 12 Months Ended |
Aug. 31, 2021 | |
Property, Plant and Equipment [Abstract] | |
Schedule of property and equipment | Following is an analysis of property and equipment at August 31, 2021 and 2020: 2021 2020 Furniture and office equipment $ 75,606 $ 75,606 Vehicles 124,092 89,185 Computers and software 48,711 48,711 Field equipment 71,396 71,396 Total cost basis 319,805 284,898 Less: accumulated depreciation (288,970 ) (284,898 ) Property and equipment, net $ 30,834 $ — |
MINERAL PROPERTIES (Tables)
MINERAL PROPERTIES (Tables) | 12 Months Ended |
Aug. 31, 2021 | |
Extractive Industries [Abstract] | |
Schedule of mineral properties | If paying quantities have not been obtained, the Company may pay additional delay rental fees to extend the term of the lease for successive one (1) year periods pursuant to the following schedule: Per Acre Amount Total Amount September 2, 2020 – 2024 $ 150 $ 134,155 September 2, 2025 – 2029 200 178,873 If paying quantities have not been obtained, the Company may pay additional delay rental fees to extend the term of the lease for successive one (1) year periods pursuant to the following schedule: Per Acre Amount Total Amount November 1, 2020 – 2024 $ 150 $ 13,500 November 1, 2025 – 2029 200 18,000 |
ACCOUNTS PAYABLE AND ACCRUED _2
ACCOUNTS PAYABLE AND ACCRUED LIABILITIES (Tables) | 12 Months Ended |
Aug. 31, 2021 | |
Payables and Accruals [Abstract] | |
Schedule of accounts payable and accrued liabilities | Accounts payable and accrued liabilities at August 31, 2021 and 2020, consist of the following: 2021 2020 Accounts payable – trade $ 175,328 $ 113,251 Accrued payroll and related expenses 16,049 382,853 Other 17 6,323 Total accounts payable and accrued liabilities $ 191,394 $ 502,427 |
INCOME TAXES (Tables)
INCOME TAXES (Tables) | 12 Months Ended |
Aug. 31, 2021 | |
Income Tax Disclosure [Abstract] | |
Schedule of effective income tax rate reconciliation | The following table sets forth a reconciliation of the federal income tax benefit to the United States federal statutory rate of 21% for the years ended August 31, 2021 and 2020: 2021 2020 Income tax (expense) benefit at 21% statutory rate $ (429,282 ) $ 239,574 Stock-based compensation (184,893 ) (72,181 ) Non-deductible loss on settlement of accrued compensation — (12,548 ) Decrease (increase) in valuation allowance 614,175 (154,845 ) $ — $ — |
Schedule of deferred tax assets and liabilities | Significant components of deferred tax asset at August 31, 2021 and 2020 are as follows: 2021 2020 Net operating loss carryforward $ 4,341,024 $ 3,238,098 Difference in property and equipment basis 474,558 2,191,659 Accrued liabilities — — Less valuation allowance (4,815,582 ) (5,429,757 ) Net deferred tax asset $ — $ — |
SHAREHOLDERS_ EQUITY (Tables)
SHAREHOLDERS’ EQUITY (Tables) | 12 Months Ended |
Aug. 31, 2021 | |
Equity [Abstract] | |
Schedule of options | The following table sets forth certain information as of August 31, 2021 and 2020 concerning common stock that may be issued upon the exercise of options not covered by the Amended 2008 Plan and pursuant to purchases of stock under the Amended 2008 Plan (All options are fully vested and exercisable at August 31, 2021 and 2020): Weighted Average Weighted Remaining Average Contractual Aggregate Shares Exercise Price Life (In Years) Intrinsic Value Outstanding, vested and exercisable at August 31, 2019 5,710,000 $ 0.28 5.41 $ 571,000 Options granted 43,500 0.60 — — Options exercised (3,490,000 ) 0.25 — — Options cancelled/forfeited/expired (500,000 ) 0.23 — — Outstanding, vested and exercisable at August 31, 2020 1,763,500 0.35 3.45 $ 2,028,025 Options granted 174,000 0.60 — — Options exercised (420,000 ) 0.28 — — Options cancelled/forfeited/expired (40,000 ) 0.30 — — Outstanding, vested and exercisable at August 31, 2021 1,477,500 $ 0.40 2.68 $ 1,523,430 |
Schedule of warrants | Warrant activity for the years ended August 31, 2021 and 2020 was as follows: Weighted Average Weighted Remaining Average Contractual Aggregate Shares Exercise Price Life (In Years) Intrinsic Value Outstanding and exercisable at August 31, 2019 16,499,740 $ 0.36 1.16 $ 3,501,332 Warrants exercised (13,181,702 ) 0.34 — — Outstanding and exercisable at August 31, 2020 3,318,038 0.40 0.28 $ 3,649,842 Warrants granted 10,000 0.10 Warrants exercised (76,000 ) 0.33 Warrants cancelled/forfeited/expired (3,218,038 ) 0.10 — — Outstanding and exercisable at August 31, 2021 34,000 $ 0.10 1.2 $ 45,660 |
ORGANIZATION AND NATURE OF BU_2
ORGANIZATION AND NATURE OF BUSINESS (Details Narrative) | Aug. 31, 2021aNumber |
Mining lease - acres | 950 |
Surface rights - acres | 9,345 |
Round Top Mountain Development Company LLC [Member] | |
Ownership interest | 20.00% |
Number of leases held | Number | 2 |
Mining lease - acres | 950 |
Surface rights - acres | 9,345 |
Round Top Mountain Development Company LLC [Member] | Minimum [Member] | |
Period of leases | 18 years |
Round Top Mountain Development Company LLC [Member] | Maximum [Member] | |
Period of leases | 19 years |
The following table sets forth
The following table sets forth the computation of basic and dilutive weighted average shares for the years ended August 31, 2021 and 2020 (Details) - shares | 12 Months Ended | |
Aug. 31, 2021 | Aug. 31, 2020 | |
Accounting Policies [Abstract] | ||
Weighted average basic shares | 71,651,114 | 61,201,735 |
Dilutive securities: | ||
Stock options and warrants | 1,211,100 | |
Weighted average dilutive shares | 72,862,214 | 61,201,735 |
SUMMARY OF ACCOUNTING POLICIE_3
SUMMARY OF ACCOUNTING POLICIES (Details Narrative) - shares | 12 Months Ended | |
Aug. 31, 2021 | Aug. 31, 2020 | |
Stock Options and Warrants [Member] | ||
Antidilutive shares | 5,081,538 | |
Minimum [Member] | Furniture and Fixtures [Member] | ||
Useful Life | 3 years | |
Maximum [Member] | Furniture and Fixtures [Member] | ||
Useful Life | 20 years |
JOINT VENTURE ARRANGEMENTS (Det
JOINT VENTURE ARRANGEMENTS (Details Narrative) | 12 Months Ended |
Aug. 31, 2021USD ($) | |
Corporate Joint Venture [Member] | |
Consideration received from joint venture | $ 3,728,000 |
Proceeds from exercise of joint venture option | 3,000,000 |
Advance to previous acquisition | $ 728,000 |
Derecognized percentage of mineral properties | 80.00% |
Derecognized amount of mineral properties | $ 402,000 |
Gain on sale of interest in projects | 3,326,000 |
Cash asssigned to joint venture | 3,761,750 |
Value of specified interest in joint venture | $ 10,000,000 |
Specified interest percentage of joint venture | 70.00% |
Round Top Mountain Development Company LLC [Member] | |
Ownership interest | 20.00% |
Round Top Mountain Development Company LLC [Member] | USARE [Member] | |
Controlling ownership interest | 80.00% |
Initial ownership interest acquired | 70.00% |
Additional ownership interest acquired | 10.00% |
Following is an analysis of pro
Following is an analysis of property and equipment at August 31, 2021 and 2020: (Details) - USD ($) | Aug. 31, 2021 | Aug. 31, 2020 |
Property, Plant and Equipment [Line Items] | ||
Total cost basis | $ 319,805 | $ 284,898 |
Less: Accumulated depreciation | (288,970) | (284,898) |
Property and equipment, net | 30,834 | |
Furniture and Office Equipment [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Total cost basis | 75,606 | 75,606 |
Vehicles [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Total cost basis | 124,092 | 89,185 |
Computers and Software [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Total cost basis | 48,711 | 48,711 |
Field Equipment [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Total cost basis | $ 71,396 | $ 71,396 |
PROPERTY AND EQUIPMENT, NET (De
PROPERTY AND EQUIPMENT, NET (Details Narrative) - USD ($) | 12 Months Ended | |
Aug. 31, 2021 | Aug. 31, 2020 | |
Property, Plant and Equipment [Abstract] | ||
Depreciation expense | $ 4,072 | $ 0 |
MINERAL PROPERTIES (Details Nar
MINERAL PROPERTIES (Details Narrative) | Sep. 02, 2013USD ($)a | Aug. 31, 2021USD ($)a | Oct. 31, 2016USD ($)ami$ / gal | Mar. 06, 2015USD ($)ashares | Nov. 01, 2013USD ($)a |
Mining lease - acres | a | 950 | ||||
Surface rights - acres | a | 9,345 | ||||
Texas General Land Office - Hudspeth County, TX [Member] | September 2011 Mineral Properties Lease [Member] | |||||
Mining lease - acres | a | 860 | ||||
Lease bonus | $ 142,518 | ||||
Lease bonus paid | 44,718 | ||||
Lease bonus due upon filing of supplemental plan of operations to conduct mining | 97,800 | ||||
Minimum advance royalty due upon sale of minerals | $ 500,000 | ||||
Production royalty of market value of uranium and other fissionable materials removed | 8.00% | ||||
Production royalty of market value of other minerals removed | 6.25% | ||||
Payment of delay rental | $ 134,155 | ||||
Texas General Land Office - Hudspeth County, TX [Member] | October 2014 Surface Option - Water Lease [Member] | |||||
Ground water lease - acres | a | 13,120 | ||||
Distance from project mine | mi | 4 | ||||
Annual minimum production payment | $ 5,000 | ||||
Production payment, amount per thousand gallons | $ / gal | 0.00095 | ||||
Production payment, annual amount | $ 20,000 | ||||
Texas General Land Office - Hudspeth County, TX [Member] | October 2014 Surface Option [Member] | |||||
Surface rights - acres | a | 5,670 | ||||
Periodic option annual payment due | $ 10,000 | ||||
Southwest Range and Wildlife Foundation, Inc. [Member] | March 2013 Surface Lease [Member] | |||||
Surface rights - acres | a | 54,990 | ||||
Periodic payment for conservation efforts | $ 45,000 | ||||
Term of periodic payment for conservation efforts | 10 years | ||||
Cash paid for lease assignment | $ 500,000 | ||||
Shares issued for lease | shares | 1,063,830 | ||||
State of Texas - Hudspeth County, TX [Member] | November 2011 Mineral Properties Lease [Member] | |||||
Mining lease - acres | a | 90 | ||||
Lease bonus paid | $ 20,700 | ||||
Minimum advance royalty due upon sale of minerals | $ 50,000 | ||||
Production royalty of market value of uranium and other fissionable materials removed | 8.00% | ||||
Production royalty of market value of other minerals removed | 6.25% | ||||
Payment of delay rental | $ 13,500 |
Schedule of mineral properties
Schedule of mineral properties (Details) | Aug. 31, 2021USD ($) |
September 2, 2020 - 2024 [Member] | |
Per Acre Amount | $ 150 |
Total Lease Amount | 134,155 |
September 2, 2025 - 2029 [Member] | |
Per Acre Amount | 200 |
Total Lease Amount | 178,873 |
November 1, 2020 - 2024 [Member] | |
Per Acre Amount | 150 |
Total Lease Amount | 13,500 |
November 1, 2025 - 2029 [Member] | |
Per Acre Amount | 200 |
Total Lease Amount | $ 18,000 |
Schedule of accounts payable an
Schedule of accounts payable and accrued liabilities (Details) - USD ($) | Aug. 31, 2021 | Aug. 31, 2020 |
Payables and Accruals [Abstract] | ||
Accounts payable – trade | $ 175,328 | $ 113,251 |
Accrued payroll and related expenses | 16,049 | 382,853 |
Other | 17 | 6,323 |
Total accounts payable and accrued liabilities | $ 191,394 | $ 502,427 |
NOTES PAYABLE (Details Narrativ
NOTES PAYABLE (Details Narrative) - USD ($) | May 17, 2021 | Aug. 31, 2020 | Aug. 31, 2021 | Jan. 12, 2017 |
Debt Instrument [Line Items] | ||||
Notes payable | $ 45,000 | |||
Future payments due | $ 45,000 | |||
Repayments of Related Party Debt | 123,542 | |||
Cash advances | 400,947 | $ 147,826 | ||
Consideration for the sale | $ 728,227 | |||
Percentage of sale interest | 80.00% | |||
Non interest bearing advance from stockholder | $ 1,000 | |||
Loan Agreements [Member] | ||||
Debt Instrument [Line Items] | ||||
Notes payable | $ 4,000 | |||
Collateralized agreements | $ 10,000 |
Schedule of effective income ta
Schedule of effective income tax rate reconciliation (Details) - USD ($) | 12 Months Ended | |
Aug. 31, 2021 | Aug. 31, 2020 | |
Income Tax Disclosure [Abstract] | ||
Income tax (expense) benefit at 21% statutory rate | $ (429,282) | $ 239,574 |
Stock-based compensation | (184,893) | (72,181) |
Non-deductible loss on settlement of accrued compensation | (12,548) | |
Decrease (increase) in valuation allowance | 614,175 | (154,845) |
Income Tax Expense (Benefit) |
Schedule of deferred tax assets
Schedule of deferred tax assets and liabilities (Details) - USD ($) | Aug. 31, 2021 | Aug. 31, 2020 |
Income Tax Disclosure [Abstract] | ||
Net operating loss carryforward | $ 4,341,024 | $ 3,238,098 |
Difference in property and equipment basis | 474,558 | 2,191,659 |
Accrued liabilities | ||
Less valuation allowance | (4,815,582) | (5,429,757) |
Net deferred tax asset |
INCOME TAXES (Details Narrative
INCOME TAXES (Details Narrative) - USD ($) | 12 Months Ended | |
Aug. 31, 2021 | Aug. 31, 2020 | |
Income Tax Disclosure [Abstract] | ||
Federal statutory rate | 21.00% | 21.00% |
Operating loss carryforwards | $ 15,989,000 | |
Net operating loss carryforward, expiration date | Dec. 31, 2022 |
Schedule of options (Details)
Schedule of options (Details) - Share-based Payment Arrangement, Option [Member] - USD ($) | 12 Months Ended | |
Aug. 31, 2021 | Aug. 31, 2020 | |
Stock Options | ||
Outstanding, vested and exercisable at beginning | 1,763,500 | 5,710,000 |
Options granted | 174,000 | 43,500 |
Options exercised | (420,000) | (3,490,000) |
Options cancelled/forfeited/expired | (40,000) | (500,000) |
Outstanding, vested and exercisable at ending | 1,477,500 | 1,763,500 |
Weighted Average Exercise Price | ||
Outstanding at beginning | $ 0.35 | $ 0.28 |
Options granted | 0.60 | 0.60 |
Options exercised | 0.28 | 0.25 |
Options cancelled/forfeited/expired | 0.30 | 0.23 |
Outstanding at ending | $ 0.40 | $ 0.35 |
Weighted Average Remaining Contractual Life (In Years) | ||
Outstanding at beginning | 3 years 4 months | 5 years 4 months 27 days |
Outstanding at ending | 2 years 16 months 5 days | 3 years 4 months |
Aggregate Intrinsic Value | ||
Outstanding at beginning | $ 2,028,025 | $ 571,000 |
Outstanding at ending | $ 1,523,430 | $ 2,028,025 |
Schedule of warrants (Details)
Schedule of warrants (Details) - Warrant [Member] - USD ($) | 12 Months Ended | |
Aug. 31, 2021 | Aug. 31, 2020 | |
Warrants | ||
Outstanding and exercisable at beginning | 3,318,038 | 16,499,740 |
Granted | 10,000 | |
Exercised | (76,000) | (13,181,702) |
Cancelled/forfeited/expired | (3,218,038) | |
Outstanding and exercisable at ending | 34,000 | 3,318,038 |
Weighted Average Exercise Price | ||
Outstanding at beginning | $ 0.40 | $ 0.36 |
Granted | 0.10 | |
Exercised | 0.33 | 0.34 |
Cancelled/forfeited/expired | 0.10 | |
Outstanding at ending | $ 0.10 | $ 0.40 |
Weighted Average Remaining Contractual Life (In Years) | ||
Outstanding at beginning | 3 months 10 days | 1 year 1 month 27 days |
Outstanding at ending | 1 year 4 months | 3 months 10 days |
Aggregate Intrinsic Value | ||
Outstanding at beginning | $ 3,649,842 | $ 3,501,332 |
Outstanding at ending | $ 45,660 | $ 3,649,842 |
SHAREHOLDERS_ EQUITY (Details N
SHAREHOLDERS’ EQUITY (Details Narrative) - USD ($) | 1 Months Ended | 12 Months Ended | 15 Months Ended | 20 Months Ended | 72 Months Ended | |||||||
Oct. 31, 2021 | Oct. 31, 2020 | Jan. 31, 2020 | Oct. 31, 2019 | Aug. 31, 2021 | Aug. 31, 2020 | Aug. 31, 2021 | Aug. 31, 2021 | Dec. 31, 2016 | Jan. 02, 2020 | Dec. 31, 2019 | Sep. 30, 2018 | |
Class of Stock [Line Items] | ||||||||||||
Common Stock, Shares Authorized | 100,000,000 | 100,000,000 | 100,000,000 | 100,000,000 | ||||||||
Common Stock, Par or Stated Value Per Share | $ 0.01 | $ 0.01 | $ 0.01 | $ 0.01 | ||||||||
Preferred Stock, Shares Authorized | 10,000,000 | 10,000,000 | 10,000,000 | 10,000,000 | ||||||||
Preferred Stock, Par or Stated Value Per Share | $ 0.001 | $ 0.001 | $ 0.001 | $ 0.001 | ||||||||
Stock Issued During Period, Shares, New Issues | 41,233 | 61,936 | ||||||||||
Stock Issued During Period, Value, New Issues | $ 280,000 | |||||||||||
Accrued Professional Fees, Current | $ 142,500 | 92,500 | $ 142,500 | $ 142,500 | ||||||||
Director's fees | $ 47,500 | |||||||||||
Payment from exercise of common stock options and warrants | 81,300 | 1,963,500 | ||||||||||
Shares issued to board member, shares | 13,514 | |||||||||||
Shares issued to board member, value | $ 5,000 | |||||||||||
Share price | $ 0.85 | $ 0.37 | $ 0.64 | |||||||||
Shares issued for accrued compensation, shares | 130,892 | |||||||||||
Accrued compensation | $ 45,000 | |||||||||||
Shares issued for accrued compensation, value | $ 111,335 | |||||||||||
Consulting agreements, number of shares | 699,999 | |||||||||||
Consulting agreements, number of shares per agreement | 233,333 | |||||||||||
Consulting agreements, value of shares | $ 448,000 | |||||||||||
Number of consulting shares vested | 483,333 | |||||||||||
Number of consulting shares issued | 87,501 | |||||||||||
Compensation expense | $ 224,000 | $ 152,529 | ||||||||||
Number of options available for grant | 9,000,000 | 9,000,000 | 9,000,000 | 2,000,000 | ||||||||
Number of additional options available for grant | 7,000,000 | |||||||||||
Warrants expiration date | Dec. 7, 2020 | |||||||||||
Option [Member] | ||||||||||||
Class of Stock [Line Items] | ||||||||||||
Option exercise price | $ 0.30 | |||||||||||
Class A Warrants [Member] | ||||||||||||
Class of Stock [Line Items] | ||||||||||||
Warrant exercise price | $ 0.35 | |||||||||||
Warrants outstanding | $ 1,114,412 | |||||||||||
Class B Warrants [Member] | ||||||||||||
Class of Stock [Line Items] | ||||||||||||
Warrant exercise price | $ 0.50 | |||||||||||
Warrants outstanding | $ 1,128,626 | |||||||||||
Minimum [Member] | ||||||||||||
Class of Stock [Line Items] | ||||||||||||
Warrant exercise price | $ 0.10 | $ 0.10 | $ 0.10 | $ 0.10 | ||||||||
Option exercise price | 0.20 | |||||||||||
Option cashless exercise price | 0.22 | 0.19 | ||||||||||
Maximum [Member] | ||||||||||||
Class of Stock [Line Items] | ||||||||||||
Warrant exercise price | 0.35 | 0.50 | $ 0.35 | $ 0.35 | ||||||||
Option exercise price | 0.45 | |||||||||||
Option cashless exercise price | $ 0.45 | $ 0.45 | ||||||||||
Share-based Payment Arrangement, Option [Member] | ||||||||||||
Class of Stock [Line Items] | ||||||||||||
Stock Issued During Period, Shares, New Issues | 220,000 | 70,000 | ||||||||||
Stock Issued During Period, Value, New Issues | $ 21,000 | |||||||||||
Option exercise price | $ 0.28 | $ 0.25 | ||||||||||
Cashless exercise of options | 3,420,000 | |||||||||||
Common stock issued upon cashless exercise of options and warrants (in shares) | 2,813,310 | |||||||||||
Options granted | 174,000 | 43,500 | ||||||||||
Value of shares granted | $ 353,497 | $ 75,000 | ||||||||||
Fair value assumptions - Risk free interest rate | 0.27% | 0.29% | ||||||||||
Fair value assumptions - Volatilty | 205.58% | 209.79% | ||||||||||
Fair value assumptions - Dividend yield | 0.00% | 0.00% | ||||||||||
Fair value assumptions - Expected term | 5 years | 5 years | ||||||||||
Warrant [Member] | ||||||||||||
Class of Stock [Line Items] | ||||||||||||
Stock Issued During Period, Shares, New Issues | 76,000 | 5,550,000 | ||||||||||
Stock Issued During Period, Value, New Issues | $ 1,942,500 | |||||||||||
Warrant exercise price | $ 0.35 | |||||||||||
Option exercise price | $ 0.33 | $ 0.34 | ||||||||||
Cashless exercise of options | 7,631,702 | |||||||||||
Common stock issued upon cashless exercise of options and warrants (in shares) | 5,653,067 | |||||||||||
Compensation expense | $ 20,442 | |||||||||||
Value of shares granted | $ 20,442 | |||||||||||
Fair value assumptions - Risk free interest rate | 0.27% | |||||||||||
Fair value assumptions - Volatilty | 205.58% | |||||||||||
Fair value assumptions - Dividend yield | 0.00% | |||||||||||
Fair value assumptions - Expected term | 3 years | |||||||||||
Warrants granted | 10,000 | |||||||||||
Common Stock [Member] | ||||||||||||
Class of Stock [Line Items] | ||||||||||||
Stock Issued During Period, Shares, New Issues | 800,000 | |||||||||||
Stock Issued During Period, Value, New Issues | $ 8,000 | |||||||||||
Stock based compensation (in shares) | 83,345 | |||||||||||
Cashless exercise of options | 200,000 | |||||||||||
Common stock issued upon cashless exercise of options and warrants (in shares) | 169,506 | 8,466,377 |
RELATED PARTY TRANSACTIONS (Det
RELATED PARTY TRANSACTIONS (Details Narrative) - Common Stock [Member] - shares | 2 Months Ended | 12 Months Ended | |
Jul. 31, 2020 | Aug. 31, 2021 | Aug. 31, 2020 | |
Related Party Transaction [Line Items] | |||
Common stock issued upon exercise of options and warrants (in shares) | 296,000 | 5,620,000 | |
Director [Member] | |||
Related Party Transaction [Line Items] | |||
Common stock issued upon exercise of options and warrants (in shares) | 4,432,529 |
SUBSEQUENT EVENTS (Details Narr
SUBSEQUENT EVENTS (Details Narrative) | Nov. 08, 2021USD ($)a | Oct. 31, 2021$ / sharesshares | Jan. 31, 2020$ / shares | Jan. 02, 2020$ / shares | Oct. 31, 2019$ / shares |
Subsequent Event [Line Items] | |||||
Price per share | $ / shares | $ 0.85 | $ 0.64 | $ 0.37 | ||
Subsequent Event [Member] | |||||
Subsequent Event [Line Items] | |||||
Common stock issued as payment of accrued directors fees (in shares) | shares | 41,233 | ||||
Common stock discount percentage | 20.00% | ||||
Price per share | $ / shares | $ 1.15 | ||||
Percentage ownership of joint venture under agreement | 50.50% | ||||
Percentage ownership of joint venture by counterparty under agreement | 49.50% | ||||
Project area in acres | a | 80 | ||||
Area of property covered in agreement | a | 1,300 | ||||
Percentage of known mining district | 75.00% | ||||
Cost of feasability study | $ | $ 6,500,000 | ||||
Percentage of initial equity entitled to receive | 20.00% | ||||
Percentage of total equity of joint venture | 10.10% | ||||
Option to participate in funding | $ | $ 15,000,000 | ||||
Entitled to receive additional percentage of initial equity | 20.00% | ||||
Option percentage of total equity | 10.10% | ||||
Option to receive percentage in exchange for funding | 20.20% |