Document and Entity Information
Document and Entity Information | 6 Months Ended |
Dec. 31, 2016 | |
Document And Entity Information | |
Entity Registrant Name | NIOCORP DEVELOPMENTS LTD |
Entity Central Index Key | 1,512,228 |
Document Type | S1 |
Trading Symbol | NIOBF |
Document Period End Date | Dec. 31, 2016 |
Amendment Flag | false |
Current Fiscal Year End Date | --06-30 |
Entity a Well-known Seasoned Issuer | No |
Entity a Voluntary Filer | No |
Entity's Reporting Status Current | Yes |
Entity Filer Category | Non-accelerated Filer |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets - USD ($) $ in Thousands | Dec. 31, 2016 | Jun. 30, 2016 | Jun. 30, 2015 |
Current | |||
Cash | $ 729 | $ 4,412 | $ 753 |
Restricted cash | 265 | ||
Receivables | 5 | 5 | 14 |
Prepaid expenses | 31 | 101 | 58 |
Total current assets | 1,030 | 4,518 | 825 |
Non-current | |||
Deposits | 64 | 65 | 67 |
Available for sale securities at fair value | 37 | 32 | 46 |
Equipment | 10 | 14 | 20 |
Mineral interests | 10,617 | 10,617 | 10,617 |
Total assets | 11,758 | 15,246 | 11,575 |
Current | |||
Accounts payable and accrued liabilities | 2,073 | 1,256 | 4,440 |
Related party loan | 1,000 | 1,000 | 1,500 |
Flow-through tax liability | 624 | ||
Convertible debt, current | 4,827 | ||
Total current liabilities | 7,900 | 2,256 | 6,564 |
Convertible debt, net of current | 530 | 6,466 | |
Derivative liability, convertible debt | 173 | 330 | |
Total liabilities | 8,603 | 9,052 | 6,564 |
Commitments | |||
SHAREHOLDERS' EQUITY | |||
Common stock, unlimited shares authorized; shares outstanding: 185,598,129, 180,467,990 and 156,420, 334 at December 31, 2016, June 30, 2016 and June 30, 2015 respectively | 61,059 | 58,401 | 47,617 |
Additional paid-in capital | 9,024 | 8,630 | 7,250 |
Accumulated deficit | (66,544) | (60,222) | (48,814) |
Accumulated other comprehensive loss | (384) | (615) | (1,042) |
Total equity | 3,155 | 6,194 | 5,011 |
Total liabilities and equity | $ 11,758 | $ 15,246 | $ 11,575 |
Condensed Consolidated Balance3
Condensed Consolidated Balance Sheets (Parenthetical) - shares | 6 Months Ended | 12 Months Ended | |
Dec. 31, 2016 | Jun. 30, 2016 | Jun. 30, 2015 | |
Statement of Financial Position [Abstract] | |||
Common stock, authorized | Unlimited | Unlimited | Unlimited |
Common stock, outstanding | 185,598,129 | 180,467,990 | 156,420,334 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Operations and Comprehensive Loss - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | 12 Months Ended | |||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | Jun. 30, 2016 | Jun. 30, 2015 | |
Operating expenses | ||||||
Consulting | $ 1 | $ 67 | $ 1 | $ 131 | $ 201 | $ 242 |
Depreciation | 2 | 2 | 4 | 4 | 9 | 10 |
Employee related costs | 496 | 182 | 1,036 | 520 | 1,988 | 3,413 |
Finance costs | 266 | 278 | 242 | 39 | ||
Professional fees | 279 | 89 | 612 | 122 | 512 | 435 |
Exploration expenditures | 2,397 | 432 | 4,367 | 2,396 | 4,719 | 18,051 |
Other operating expenses | 175 | 265 | 310 | 491 | 1,847 | 3,178 |
Impairment of equipment | 112 | |||||
Total operating expenses | 3,350 | 1,303 | 6,330 | 3,942 | 9,518 | 25,480 |
Change in financial instrument fair value | (39) | 1,398 | (335) | 1,369 | 2,719 | |
Other gains | (587) | |||||
Interest and other income | (16) | |||||
Foreign exchange (gain) loss | 160 | 47 | 193 | 197 | (528) | 434 |
Interest expense | 71 | 88 | 140 | 141 | 275 | |
Loss (gain) on available for sale securities | 5 | (6) | (6) | 11 | (28) | |
Loss before income taxes | 3,547 | 2,836 | 6,322 | 5,643 | 11,408 | 25,870 |
Income tax benefit | (2,755) | |||||
Net loss | 3,547 | 2,836 | 6,322 | 5,643 | 11,408 | 23,115 |
Other comprehensive (gain) loss: | ||||||
Net loss | 3,547 | 2,836 | 6,322 | 5,643 | 11,408 | 23,115 |
Other comprehensive (gain) loss: | ||||||
Reporting currency translation | (165) | (717) | (231) | (951) | (427) | 959 |
Total comprehensive loss | $ 3,382 | $ 2,119 | $ 6,091 | $ 4,692 | $ 10,981 | $ 24,074 |
Loss per common share, basic and diluted (in dollars per shares) | $ 0.02 | $ 0.02 | $ 0.03 | $ 0.04 | $ 0.07 | $ 0.17 |
Weighted average common shares outstanding (in shares) | 183,625,989 | 158,287,652 | 182,078,028 | 157,943,346 | 164,038,509 | 136,045,244 |
Condensed Consolidated Stateme5
Condensed Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 6 Months Ended | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Jun. 30, 2016 | Jun. 30, 2015 | |
CASH FLOWS FROM OPERATING ACTIVITIES | ||||
Total loss for the period | $ (6,322) | $ (5,643) | $ (11,408) | $ (23,115) |
Non-cash elements included in net loss: | ||||
Depreciation | 4 | 4 | 9 | 10 |
Change in financial instrument fair value | (335) | 1,369 | 2,719 | |
Warrants expense | 540 | 2,159 | ||
Unrealized loss (gain) on available-for-sale investments | (6) | (6) | 11 | (28) |
Impairment of equipment | 112 | |||
Accretion of convertible debt | 108 | 38 | 81 | |
Deferred taxes | (2,755) | |||
Foreign exchange (gain) loss | 174 | 260 | (247) | 183 |
Other non-cash items | (587) | |||
Share-based compensation | 394 | 68 | 1,049 | 2,506 |
Subtotal | (5,983) | (3,910) | (7,833) | (20,928) |
Change in working capital items: | ||||
Receivables | 10 | 8 | 25 | |
Prepaid expenses | 68 | 39 | (63) | (39) |
Accounts payable and accrued liabilities | 842 | (3,114) | (3,086) | 3,625 |
Net cash used in operating activities | (5,073) | (6,975) | (10,974) | (17,317) |
CASH FLOWS FROM INVESTING ACTIVITIES | ||||
Deposits | (14) | |||
Restricted cash funding | (265) | |||
Acquisition of equipment | (2) | (4) | (27) | |
Net cash used in investing activities | (265) | (2) | (4) | (41) |
CASH FLOWS FROM FINANCING ACTIVITIES | ||||
Proceeds from issuance of capital stock | 1,675 | 926 | 9,993 | 13,979 |
Share issue costs | (151) | (521) | ||
Stock subscriptions | 2,321 | |||
Issuance of convertible debt | 4,800 | 5,060 | ||
Related party debt draws | 600 | 600 | 1,500 | |
Related party debt repayment | (1,100) | |||
Net cash provided by financing activities | 1,675 | 8,647 | 14,402 | 14,958 |
Exchange rate effect on cash | (20) | (30) | 235 | 345 |
Change in cash during the period | (3,683) | 1,640 | 3,659 | (2,055) |
Cash, beginning of period | 4,412 | 753 | 753 | 2,808 |
Cash, end of period | 729 | 2,393 | 4,412 | 753 |
Supplemental cash flow information: | ||||
Amounts paid for interest | 32 | 144 | ||
Amounts paid for income taxes | ||||
Non-cash financing transaction | $ 983 | $ 638 |
Consolidated Statements of Shar
Consolidated Statements of Shareholders' Equity - USD ($) $ in Thousands | Common Stock [Member] | Additional Paid-in Capital [Member] | Deficit [Member] | Accumulated Other Comprehensive Income/Loss [Member] | Total |
Balance, beginning at Jun. 30, 2014 | $ 33,667 | $ 2,933 | $ (25,699) | $ (83) | $ 10,818 |
Balance, beginning (in shares) at Jun. 30, 2014 | 122,884,716 | ||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||
Private placement - November 2014 | $ 8,846 | 8,846 | |||
Private placement - November 2014 (in shares) | 19,245,813 | ||||
Private placement - March 2015 | $ 1,722 | 1,722 | |||
Private placement - March 2015 (in shares) | 2,914,000 | ||||
Exercise of warrants | $ 2,368 | 2,368 | |||
Exercise of warrants (in shares) | 5,125,805 | ||||
Exercise of options | $ 1,042 | 1,042 | |||
Exercise of options (in shares) | 6,250,000 | ||||
Share issuance costs | $ (708) | 187 | (521) | ||
Fair value of stock options exercised | 680 | (680) | |||
Fair value of warrants granted to ThyssenKrupp | 1,854 | 1,854 | |||
Fair value of warrants for financial services agreement | 268 | 268 | |||
Fair value of warrants for sponsorship agreement | 99 | 99 | |||
Share-based payments | 2,589 | 2,589 | |||
Reporting currency presentation | (959) | (959) | |||
Loss for the year | (23,115) | (23,115) | |||
Balance, ending at Jun. 30, 2015 | $ 47,617 | 7,250 | (48,814) | (1,042) | $ 5,011 |
Balance, ending (in shares) at Jun. 30, 2015 | 156,420,334 | 156,420,334 | |||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||
Exercise of warrants | $ 5,838 | $ 5,838 | |||
Exercise of warrants (in shares) | 12,549,309 | ||||
Exercise of options | $ 405 | 405 | |||
Exercise of options (in shares) | 1,415,000 | ||||
Fair value of broker warrants granted | 15 | 15 | |||
Fair value of Lind Warrants granted | 620 | 620 | |||
Private placement - January 2016 | $ 3,750 | 3,750 | |||
Private placement - January 2016 (in shares) | 9,074,835 | ||||
Debt conversions | $ 638 | 638 | |||
Debt conversions (in shares) | 1,008,512 | ||||
Share issuance costs | $ (151) | (151) | |||
Fair value of stock options exercised | 304 | (304) | |||
Share-based payments | 1,049 | 1,049 | |||
Reporting currency presentation | 427 | 427 | |||
Loss for the year | (11,408) | (11,408) | |||
Balance, ending at Jun. 30, 2016 | $ 58,401 | 8,630 | (60,222) | (615) | $ 6,194 |
Balance, ending (in shares) at Jun. 30, 2016 | 180,467,990 | 180,467,990 | |||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||
Exercise of warrants | $ 1,675 | $ 1,675 | |||
Exercise of warrants (in shares) | 3,447,137 | ||||
Debt conversions | $ 983 | 983 | |||
Debt conversions (in shares) | 1,683,002 | ||||
Share-based payments | 394 | 394 | |||
Reporting currency presentation | 231 | 231 | |||
Loss for the year | (6,322) | (6,322) | (6,322) | ||
Balance, ending at Dec. 31, 2016 | $ 61,059 | $ 9,024 | $ (66,544) | $ (384) | $ 3,155 |
Balance, ending (in shares) at Dec. 31, 2016 | 185,598,129 | 185,598,129 |
DESCRIPTION OF BUSINESS
DESCRIPTION OF BUSINESS | 6 Months Ended | 12 Months Ended |
Dec. 31, 2016 | Jun. 30, 2016 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ||
DESCRIPTION OF BUSINESS | 1. DESCRIPTION OF BUSINESS NioCorp Developments Ltd. (the “Company”) was incorporated on February 27, 1987 under the laws of the Province of British Columbia and currently operates in one reportable operating segment consisting of exploration and development of mineral deposits in North America, specifically, the Elk Creek Niobium/Scandium/Titanium property (the “Elk Creek Project”) located in southeastern Nebraska. These financial statements have been prepared on a going concern basis that contemplates the realization of assets and discharge of liabilities at their carrying values in the normal course of business for the foreseeable future. These financial statements do not reflect any adjustments that may be necessary if the Company is unable to continue as a going concern. The Company currently earns no operating revenues and will require additional capital in order to advance the Elk Creek Project. The Company’s ability to continue as a going concern is uncertain and is dependent upon the generation of profits from mineral properties, obtaining additional financing, and maintaining continued support from its shareholders and creditors. | 1. DESCRIPTION OF BUSINESS NioCorp Developments Ltd. (the “Company”) was incorporated on February 27, 1987 under the laws of the Province of British Columbia and currently operates in one reportable operating segment consisting of exploration and development of mineral deposits in North America, specifically, the Elk Creek Niobium/Scandium/Titanium property (the “Elk Creek Project”) located in Southeastern Nebraska. These consolidated financial statements have been prepared on a going concern basis that contemplates the realization of assets and discharge of liabilities at their carrying values in the normal course of business for the foreseeable future. These financial statements do not reflect any adjustments that may be necessary if the Company is unable to continue as a going concern. The Company currently earns no operating revenues and will require additional capital in order to advance the Elk Creek Project. The Company’s ability to continue as a going concern is uncertain and is dependent upon the generation of profits from mineral properties, obtaining additional financing and maintaining continued support from its shareholders and creditors. |
BASIS OF PREPARATION
BASIS OF PREPARATION | 6 Months Ended | 12 Months Ended |
Dec. 31, 2016 | Jun. 30, 2016 | |
Accounting Policies [Abstract] | ||
BASIS OF PREPARATION | 2. BASIS OF PREPARATION a) Basis of Preparation and Consolidation The accompanying unaudited interim condensed consolidated interim financial statements have been prepared in accordance with generally accepted accounting principles of the United States of America (“US GAAP”) and the rules and regulations of the Securities and Exchange Commission (“SEC”). The interim condensed consolidated financial statements include the consolidated accounts of the Company and its wholly-owned subsidiaries with all significant intercompany transactions eliminated. The accounting policies followed in preparing these consolidated interim financial statements are those used by the Company as set out in the audited consolidated financial statements for the year ended June 30, 2016. In the opinion of Management, all adjustments considered necessary (including reclassifications and normal recurring adjustments) to present fairly the financial position, results of operations and cash flows at December 31, 2016, and for all periods presented, have been included in these interim condensed consolidated financial statements. Certain information and footnote disclosures normally included in the consolidated financial statements prepared in accordance with US GAAP have been condensed or omitted pursuant to such SEC rules and regulations. These interim condensed consolidated financial statements should be read in conjunction with the audited consolidated financial statements for the year ended June 30, 2016. The interim results are not necessarily indicative of results for the full year ending June 30, 2017, or future operating periods. b) Recent Accounting Standards In May 2014, the Financial Accounting Standards Board (“FASB”) issued Accounting Standard Update (“ASU”) 2014-09, Revenue from Contracts with Customers ("ASU 2014-09"). ASU 2014-09 supersedes the revenue recognition requirements of FASB Accounting Standards Codification ("ASC") Topic 605, Revenue Recognition, and most industry-specific guidance. ASU 2014-09 requires entities to recognize revenue in a way that depicts the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled to in exchange for those goods or services. This ASU provides alternative methods of retrospective adoption and is effective for fiscal years, and interim periods within those years, beginning after December 15, 2017. Early adoption would be permitted but not before annual periods beginning after December 15, 2016. The Company is currently assessing the potential impact of adopting this ASU on its consolidated financial statements and related disclosures. In August 2014, the FASB issued ASU 2014-15, Presentation of Financial Statements – Going Concern. The new standard requires management of public and private companies to evaluate whether there is substantial doubt about the entity’s ability to continue as a going concern and, if so, to disclose that fact. Management will also be required to evaluate and disclose whether its plans alleviate that doubt. The new standard is effective for annual periods ending after December 15, 2016, and interim periods within annual periods beginning after December 15, 2016. The Company adopted this standard during the three-month period ended December 31, 2016, and the adoption of this standard had no material impacts on our financial statements. In February 2016, the FASB issued ASU 2016-02, Leases. The standard requires that a lessee recognize on the balance sheet assets and liabilities for leases with lease terms of more than twelve months. The recognition, measurement, and presentation of expenses and cash flows arising from a lease have not significantly changed from the previous GAAP. The standard is effective for fiscal years beginning after December 15, 2018, including interim periods within such fiscal year, with early adoption permitted. The Company is currently assessing the impact, if any, of implementing this guidance on its consolidated financial position, results of operations, and liquidity. In November 2016, the FASB issued ASU 2016-18 “Statement of Cash Flows (Topic 230), Restricted Cash. The standard provides guidance on the presentation of restricted cash and restricted cash equivalents in the statement of cash flows. Restricted cash and restricted cash equivalents should now be included with cash and cash equivalents when reconciling the beginning-of-period and end-of-period amounts shown on the statements of cash flows. The amendments of this ASU are effective for reporting periods beginning after December 15, 2017, with early adoption permitted. Other than the revised statement of cash flows presentation of restricted cash (if any), the adoption of this new guidance is not expected to have an impact on our financial statements. c) Use of Estimates The preparation of consolidated financial statements in conformity with US GAAP requires Management to make estimates and assumptions that affect the reported amounts of assets and liabilities and the disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of expenses during the reporting period. The Company regularly evaluates estimates and assumptions related to the deferred income tax asset valuations, convertible debt valuations and share-based compensation. The Company bases its estimates and assumptions on current facts, historical experience, and various other factors that it believes to be reasonable under the circumstances, the results of which form the basis for making judgments about the other sources. The actual results experienced by the Company may differ materially and adversely from the Company’s estimates. To the extent there are material differences between estimates and the actual results, future results of operations will be affected. | 2. BASIS OF PREPARATION a) Basis of Preparation and Consolidation These consolidated financial statements have been prepared in conformity with generally accepted accounting principles of the United States of America (“US GAAP”). Certain transactions include reference to Canadian dollars (“C$”) where applicable. These consolidated financial statements include the accounts of the Company and the subsidiaries listed in the following table. All intercompany transactions and balances have been eliminated. Country of Ownership at June 30, incorporation 2016 2015 0896800 BC Ltd. Canada 100 % 100 % Elk Creek Resources Corp. USA 100 % 100 % Silver Mountain Mines Corp. USA 100 % 100 % b) Use of Estimates The preparation of consolidated financial statements in conformity with US GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and the disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of expenses during the reporting period. The Company regularly evaluates estimates and assumptions related to the deferred income tax asset valuations and share-based compensation. The Company bases its estimates and assumptions on current facts, historical experience and various other factors that it believes to be reasonable under the circumstances, the results of which form the basis for making judgments about the other sources. The actual results experienced by the Company may differ materially and adversely from the Company’s estimates. To the extent there are material differences between estimates and the actual results, future results of operations will be affected. |
SIGNIFICANT ACCOUNTING POLICIES
SIGNIFICANT ACCOUNTING POLICIES | 12 Months Ended |
Jun. 30, 2016 | |
Accounting Policies [Abstract] | |
SIGNIFICANT ACCOUNTING POLICIES | 3. SIGNIFICANT ACCOUNTING POLICIES a) Exploration Stage Enterprise The Company is in the exploration stage of operation and devotes substantially all of its efforts to acquiring and exploring mining interests that management believes should eventually provide sufficient net profits to sustain the Company’s existence. Until such interests are engaged in commercial production, the Company will continue to seek additional funding to support the completion of its exploration and development activities. The Company’s activities are subject to significant risks and uncertainties, including its ability to secure sufficient funding to continue operations, to obtain proven and probable reserves, to comply with industry regulations and obtain permits necessary for development of the Elk Creek Project, as well as environmental risks and market conditions. b) Cash and Cash Equivalents Cash and cash equivalents includes cash on hand, cash in banks, investments in certificates of deposit with original maturities of 90 days or less, and money market funds. c) Foreign Currency Translation Functional and reporting currency Items included in the financial statements of each of the Company’s entities are measured using the currency of the primary economic environment in which the entity operates (“the functional currency”). The functional currency of the Company is the Canadian Dollar. Effective July 1, 2015, the Corporation changed the functional currency for Elk Creek Resources Corp., a wholly-owned subsidiary, from the Canadian Dollar to the U.S. Dollar. This change was made as a greater percentage of expenditures for technical and administrative services, and raised financings are denominated in U.S. Dollars. No other entities in the Group were affected by this change in functional currency. This change in judgment has been accounted for prospectively in accordance with Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) 830. The reporting currency for these consolidated financial statements is U.S. Dollars. Transactions in foreign currency Transactions made in a currency other than Canadian Dollars are translated to the functional currency at exchange rates at the dates of the transactions. Monetary assets and liabilities denominated in foreign currencies at the reporting date are translated to the functional currency at the exchange rate at that date and non-monetary assets and liabilities are translated at historical rates. Revenues and expenses are translated at the exchange rates approximating those in effect on the date of the transactions. Foreign currency gains and losses arising from translation are included in profit or loss. Translation to reporting currency The results and financial position of entities that have a functional currency different from the reporting currency are translated into the reporting currency as follows: • Assets and liabilities for each statement of financial position presented are translated at the closing rate at the end of the reporting date. • Income and expenses for each statement of income are translated at average exchange rates, unless this average is not a reasonable approximation of the cumulative effect of the rates prevailing on the transaction dates, in which case income and expenses are translated at the rate on the dates of the transactions. • All resulting exchange differences are recognized in other comprehensive income. d) Available for Sale Securities Available for sale securities are recorded at fair value through the statement of operations pursuant to the fair value option permitted by ASC 825, Financial Instruments. e) Equipment Equipment is stated at cost less accumulated depreciation. The residual value, useful life and depreciation method are evaluated every reporting period and changes to the residual value, estimated useful life or depreciation method resulting from such review are accounted for prospectively. Depreciation is provided for using the straight line basis at the following rates per annum: Computer equipment three years Furniture and equipment five years f) Mineral Properties Mineral property acquisition costs, including indirectly related acquisition costs, are capitalized when incurred. Acquisition costs include cash consideration and the fair market value of common shares issued as consideration. Properties acquired under option agreements, whereby payments are made at the sole discretion of the Company, are capitalized as mineral property acquisition costs at such time as the payments are made. Exploration costs are expensed as incurred. When it is determined that a mining deposit can be economically and legally extracted or produced based on established proven and probable reserves under SEC Industry Guide 7, development costs related to such reserves and incurred after such determination will be considered for capitalization. The establishment of proven and probable reserves is based on results of feasibility studies, which indicate whether a property is economically feasible. Upon commencement of commercial production, capitalized costs will be amortized over their estimated useful lives or units of production, whichever is a more reliable measure. Capitalized amounts relating to a property that is abandoned or otherwise considered uneconomic for the foreseeable future are written off. g) Long Lived Assets Long-lived assets held and used by the Company are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. For purposes of evaluating the recoverability of long-lived assets, the recoverability test is performed using undiscounted net cash flows related to the long-lived assets. If such assets are considered to be impaired, the impairment recognized is measured by the amount by which the carrying amount of the assets exceeds the fair value of the assets. Assets to be disposed of are reported at the lower of the carrying amount or fair value less costs to sell. h) Financial Instruments The Company’s financial instruments consist of cash, receivables, available for sale securities, accounts payable and accrued liabilities, convertible debt and the related party loan. It is management’s opinion that the Company is not exposed to significant interest, currency or credit risks arising from its financial instruments. The fair values of these instruments approximate their carrying value unless otherwise noted. i) Concentration of Credit Risk The financial instrument which potentially subjects the Company to credit risk is cash and cash equivalents, The Company holds invests or maintains available cash primarily in two commercial banks located in Vancouver, British Columbia and Santa Clara, California. As part of its cash management process, the Company regularly monitors the relative credit standing of these institutions. j) Asset Retirement Obligation The Company is subject to various government laws and regulations relating to environmental disturbances caused by exploration and evaluation activities. The estimated costs associated with environmental remediation obligations are accrued in the period in which the liability is incurred if it is reasonably estimable or known. Until such time that a project life is established, the Company records the corresponding cost as an exploration stage expense, and has accrued $85 related to estimated obligations as of June 30, 2016 (2015 - $nil). Future reclamation and environmental-related expenditures are difficult to estimate in many circumstances due to the early stage nature of the exploration project, the uncertainties associated with defining the nature and extent of environmental disturbance, the application of laws and regulations by regulatory authorities and changes in reclamation or remediation technology. The Company periodically reviews accrued liabilities for such reclamation and remediation costs as evidence indicating that the liabilities have potentially changed becomes available. Changes in estimates are reflected in the consolidated statement of operations in the period an estimate is revised. k) Income Taxes Income taxes are provided based upon the liability method of accounting pursuant to ASC 740-10-25, “Income Taxes – Recognition”. l) Basic and Diluted Per Share Disclosure Basic earnings (loss) per share is computed by dividing net income (loss) by the weighted average number of common shares outstanding. In computing diluted earnings per share, the weighted average number of shares outstanding is adjusted to reflect the effect of potentially dilutive securities. Potentially dilutive shares, such as stock options and warrants, are excluded from the calculation when their inclusion would be anti-dilutive, such as when the exercise price of the instrument exceeds the fair market value of the Company’s common stock and when a net loss is reported. The dilutive effect of convertible debt securities is reflected in the diluted earnings (loss) per share calculation using the if-converted method. Conversion of the debt securities is not assumed for purposes of calculating diluted earnings (loss) per share if the effect is anti-dilutive. m) Stock Based Compensation The Company grants stock options to directors, officers, and employees. Option terms and vesting conditions are at the discretion of the Board of Directors. The option exercise price is equal to the closing market price on the Toronto Stock Exchange on the Toronto Stock Exchange on the day preceding the date of grant. The Company estimates the fair value of stock options using the Black-Scholes option pricing model. The Company estimates forfeitures of stock-based awards based on historical data and periodically adjusts the forfeiture rate. The adjustment of the forfeiture rate is recorded as a cumulative adjustment in the period the forfeiture estimate is changed. n) Recent Accounting Standards From time to time, new accounting pronouncements are issued by the FASB that are adopted by the Company as of the specified effective date. Unless otherwise discussed, management believes that the impact of recently issued standards did not or will not have a material impact on the Company’s consolidated financial statements upon adoption. In February 2016, the FASB issued Accounting Standard Update 2016-02, Leases In November 2015, the FASB issued ASU 2015-17 which simplifies income tax accounting. The update requires that all deferred tax assets and liabilities be classified as noncurrent on the balance sheet instead of separating deferred taxes into current and noncurrent amounts. This update is effective for fiscal years beginning after December 15, 2016, and interim periods within those fiscal years, and early adoption is permitted. The Company elected to early adopt this standard as of July 1, 2014. In April 2015, the FASB issued ASU 2015-03, Interest – Imputation of Interest (Subtopic 835-30): Simplifying the Presentation of Debt Issuance Costs In November 2014, the FASB issued ASU 2014-16, Determining Whether the Host Contract in a Hybrid Financial Instrument Issued in the Form of a Share Is More Akin to Debt or to Equity In August 2014, the FASB issued ASU 2014-15, Presentation of Financial Statements – Going Concern |
GOING CONCERN ISSUES
GOING CONCERN ISSUES | 6 Months Ended | 12 Months Ended |
Dec. 31, 2016 | Jun. 30, 2016 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ||
GOING CONCERN ISSUES | 3. GOING CONCERN ISSUES The Company incurred a loss of $6,322 for the six months ended December 31, 2016 (2015 - $5,643), and has an accumulated deficit of $66,544 as of December 31, 2016. In addition, the Company has a working capital deficiency of $6,870 as of December 31, 2016. These factors indicate the existence of a material uncertainty that raises substantial doubt about the Company's ability to continue as a going concern. The Company’s ability to continue operations and fund its expenditures is dependent on Management’s ability to secure additional financing. Management is actively pursuing such additional sources of financing, and while it has been successful in doing so in the past, there can be no assurance it will be able to do so in the future. These consolidated financial statements do not give effect to any adjustments required to realize its assets and discharge its liabilities in other than the normal course of business and at amounts different from those reflected in the accompanying financial statements. | 4. GOING CONCERN ISSUES The Company incurred a loss of $11,408 for the year ended June 30, 2016 (2015 - $23,115), and has an accumulated deficit of $60,222 as of June 30, 2016. These factors indicate the existence of a material uncertainty that raises substantial doubt about the Company's ability to continue as a going concern. The Company’s ability to continue operations and fund its expenditures is dependent on Management’s ability to secure additional financing. Management is actively pursuing such additional sources of financing, and while it has been successful in doing so in the past, there can be no assurance it will be able to do so in the future. These consolidated financial statements do not give effect to any adjustments required to realize its assets and discharge its liabilities in other than the normal course of business and at amounts different from those reflected in the accompanying financial statements. |
MINERAL INTERESTS
MINERAL INTERESTS | 12 Months Ended |
Jun. 30, 2016 | |
Mineral Industries Disclosures [Abstract] | |
MINERAL INTERESTS | 5. MINERAL INTERESTS During the year ended June 30, 2011, the Company completed the acquisition of the Elk Creek property through a share exchange agreement with 0859404 BC Ltd, a Canadian company, which owned all the issued and outstanding shares of Elk Creek Resources Corp. ("Elk Creek"). The Company issued 18,990,539 common shares to acquire all of the issued and outstanding shares of 0859404 BC Ltd. and issued 1,034,348 common shares as a finder’s fee with respect to the acquisition. The transaction did not meet the definition of a business acquisition, as set forth in ASC 805, and therefore was accounted for as a purchase of assets. The acquisition price was based on the market value of the Company’s common shares on the closing date and total consideration given was C$13,246, including associated deferred tax impacts, of C$4,736. The property interests of Elk Creek consist of a number of prepaid five-year mineral exploration lease agreements, and include a pre-determined buyout for permanent ownership of the mineral rights. Terms of the agreements require no further significant payments until the conclusion of the prepaid lease, at which time the Company may negotiate lease extensions or elect to buyout the mineral rights. Certain agreements also contain provisions to purchase surface rights, and several contain provisions whereby the landowners would retain a 2% NSR. During the year ended June 30, 2015, the Company executed 5-year extensions to all landholder agreements covering 100% of the mineralized materials at the Elk Creek Project. |
FLOW THROUGH LIABILITIES
FLOW THROUGH LIABILITIES | 12 Months Ended |
Jun. 30, 2016 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
FLOW THROUGH LIABILITIES | 6. FLOW THROUGH LIABILITIES The Company issued 8,337,000 common shares to Canadian investors on a flow-through basis for gross proceeds of C$2,501 in November 2010. The Company was required to incur eligible flow-through expenditures up to November 2011. The Company was short by approximately C$1,470 in meeting this requirement. Under the subscription agreement with the Canadian investors, the Company has an obligation to indemnify the subscriber for any taxes that may arise from the Company failing to meet the flow-through expenditure requirements. The Company did not receive any claims through April 30, 2016 against this accrual, and the accrual was reversed on April 30, 2016 and the Company recorded a corresponding gain of $587 in ‘other gains’. All claims after May 1, 2016 will be evaluated through the statute of limitations of the Canada Revenue Agency and expensed as incurred. |
RESTRICTED CASH
RESTRICTED CASH | 6 Months Ended |
Dec. 31, 2016 | |
Receivables [Abstract] | |
RESTRICTED CASH | 4. RESTRICTED CASH Restricted cash represents amounts held in escrow to secure payment of work related to the Company’s Elk Creek Project feasibility study. Under the terms of the escrow agreement, the balance of $265 will be drawn against outstanding accounts payable once certain project milestones are met. |
CONVERTIBLE DEBT
CONVERTIBLE DEBT | 6 Months Ended | 12 Months Ended |
Dec. 31, 2016 | Jun. 30, 2016 | |
Debt Disclosure [Abstract] | ||
CONVERTIBLE DEBT | 5. CONVERTIBLE DEBT As of December 31, 2016 June 30, 2016 Current: Convertible Security $ 4,827 $ - Long Term, net of current: Convertible Security $ - $ 5,991 Convertible Notes 530 475 $ 530 $ 6,466 Convertible Security Funding Changes in the Lind Partners Asset Management IV, LLC (“Lind”) convertible security (the “Convertible Security”) balance are comprised of the following: Convertible Security Balance, June 30, 2016 $ 5,991 Conversions, at fair value (983 ) Change in fair market value (181 ) Balance, December 31, 2016 $ 4,827 The Convertible Security is convertible into Common Shares of the Company at a conversion price equal to 85% of the volume weighted average trading price of the Common Shares (in Canadian dollars) on the TSX for the five consecutive trading days immediately prior to the date on which the Lind provides the Company with notice of its intention to convert an amount of the Convertible Security from time to time. During the three-month period ended December 31, 2016, $825 face value of the Convertible Security was converted into 1,683,002 Common Shares. The Convertible Security contains financial and non-financial covenants customary for a facility of this size and nature, and includes a financial covenant defining an event of default as all present and future liabilities of the Company or any of its subsidiaries, exclusive of related party loans, for an amount or amounts exceeding $2,000, and which have not been satisfied on time or within 90 days of invoice, or have become prematurely payable as a result of its default or breach. The Company was in compliance as of December 31, 2016. Convertible Notes Changes in the Company’s outstanding convertible promissory notes (the “Convertible Notes”) balance are comprised of the following: Convertible Notes Balance, June 30, 2016 $ 475 Accreted interest, net of interest paid 55 Balance, December 31, 2016 $ 530 The changes in the derivative liability related to the conversion feature are as follows: Derivative Liability Balance, June 30, 2016 $ 330 Change in fair value of derivative liability (157 ) Balance, December 31, 2016 $ 173 | 7. CONVERTIBLE DEBT As of June 30, 2016 2015 Convertible Notes $ 475 $ - Convertible Security 5,991 - $ 6,466 $ - Convertible Notes The Company completed a non-brokered private placement of unsecured convertible promissory notes (the “Notes”), for gross proceeds of $800 (the “Private Placement”) in October 2015. The Notes bear interest at a rate of 8%, payable quarterly in arrears, are non-transferable and have a term of three years from the date of issue. Principal under the Notes is convertible by lenders at any time into, and payable by the Company in, common shares of the Company at a conversion price of C$0.97 per common share, calculated on conversion or repayment using the then-current Bank of Canada noon exchange rate. Accrued but unpaid interest on the Notes will be convertible by lender into, and payable by the Company in, common shares at a price per common share equal to the most recent closing price of the Company’s common shares prior to the delivery to the Company of a request to convert interest, or the due date of interest, as applicable, calculated using the then-current Bank of Canada noon exchange rate. Interest, when due, is payable either in cash or Shares, at the election of the Company. The conversion feature of the debentures meets the definition of a derivative liability instrument because the conversion feature is denominated in a currency other than the Company’s Canadian dollar functional currency and the conversion rate is variable and therefore does not meet the “fixed-for-fixed” criteria outlined in ASC 815-40-15. As a result, the conversion feature of the debentures is required to be recorded as a derivative liability recorded at fair value and marked-to-market each period with the changes in fair value each period being charged or credited to income. The following table discloses the components associated with this transaction on the closing date: Convertible Notes Face value of Notes on closing $ 800 Less: Transaction costs (47 ) Conversion component (360 ) Convertible notes, opening balance $ 393 The Company incurred transaction costs of $47, which have been added to the carrying amount of the financial liability and are amortized as part of the effective interest rate. Changes in the Notes balance are comprised of the following: Convertible Notes Notes, balance on closing $ 393 Accreted interest, net of interest paid 82 Balance, June 30, 2016 $ 475 The changes in the derivative liability related to the conversion feature are as follows: Derivative Liability Opening balance $ 360 Change in fair value of derivative liability (30 ) Balance, June 30, 2016 $ 330 Lind Partners Convertible Security Funding On December 22, 2015, the Company closed a definitive convertible security funding agreement (the "Lind Agreement") with Lind Asset Management IV, LLC (“Lind”). The Lind Agreement is comprised of a $4,500 principal amount, 10% secured convertible security (the “Convertible Security”) and 3,125,000 transferable common share purchase warrants (the “Lind Warrants”). The Convertible Security has a term of two years from its date of issuance, and interest is prepaid and added to its principal amount; accordingly, the initial face value of the Convertible Security is $5,400, and the yield of the Convertible Security (if held, unconverted, to maturity) will be 10% per annum, or $900. Each Lind Warrant will entitle the holder to purchase one additional common share (a “Lind Warrant Share”) at a price of C$0.72 on or before December 22, 2018. Lind can increase the funding under the Convertible Security by an additional $1,000 during its two-year term. Further, provided certain conditions are met, the Company will have the right to call an additional $1,000 under the funding agreement. The Convertible Security is convertible into common shares of the Company at a conversion price equal to 85% of the volume weighted average trading price of the common shares (in Canadian dollars) for the five consecutive trading days immediately prior to the date on which the Investor provides the Company with notice of its intention to convert an amount of the Convertible Security from time to time. The issuance of the Convertible Security and the Lind Warrants was completed on a non-brokered private placement basis. The Company has elected to account for the Convertible Security at fair value. Transaction costs of $214, including a 3% closing fee paid to Lind $135, were expensed at closing. In addition, the Company recognized $620 in change in financial instrument fair value in the consolidated statement of operations related to fair value of the Lind Warrants at closing. The fair value of the Lind Warrants was estimated based on the Black Scholes pricing model using a risk free interest rate of 1.30%, an expected dividend yield of 0%, a volatility of 86.58%, and an expected life of 3.0 years. Changes in the Convertible Security balance are comprised of the following: Convertible Security Opening balance $ 4,500 Conversions (638 ) Change in fair market value 2,129 Balance, June 30, 2016 $ 5,991 The Convertible Security contains financial and non-financial covenants customary for a facility of this size and nature, and includes a financial covenant defining an event of default as all present and future liabilities of the Company or any of its subsidiaries, exclusive of related party loans, for an amount or amounts exceeding $2,000, and which have not been satisfied on time or within 90 days of invoice, or have become prematurely payable as a result of its default or breach. This covenant became effective after February 1, 2016 and the Company was in compliance as of June 30, 2016. |
COMMON STOCK
COMMON STOCK | 6 Months Ended | 12 Months Ended |
Dec. 31, 2016 | Jun. 30, 2016 | |
Equity [Abstract] | ||
COMMON STOCK | 6. COMMON STOCK a) Stock Options The Company has a rolling stock option plan (the “Plan”) whereby the Company may grant stock options to executive officers and directors, employees, and consultants at an exercise price to be determined by the board of directors, provided the exercise price is not lower than the greater of (i) the last closing price of the Company’s common shares on the TSX and (ii) the volume weighted average closing price of the Company’s common shares on the TSX for the five days immediately prior to the date of grant. The Plan provides for the issuance of up to 10% of the Company’s issued Common Shares as at the date of grant with each stock option having a maximum term of ten years. The board of directors has the exclusive power over the granting of options and their vesting provisions. Stock option transactions are summarized as follows: Number of Weighted Balance, June 30, 2016 11,465,000 $ 0.69 Granted 710,000 0.96 Exercised - - Cancelled/expired (150,000 ) 0.62 Balance, December 31, 2016 12,025,000 $ 0.71 The following table summarizes the information and assumptions used to determine option costs for the six-month period ended December 31, 2016: Fair value per option granted during the period (C$) $ 0.50 Risk-free interest rate 0.75 % Expected dividend yield 0 % Expected stock price volatility (historical basis) 97.2 % Expected option life in years 2.15 The following table summarizes information about stock options outstanding at December 31, 2016: Exercise Expiry date Number Aggregate Number Aggregate $ 0.50 May 9, 2017 370,000 $ 93 370,000 $ 93 $ 0.62 January 19, 2021 5,425,000 705 2,712,500 353 $ 0.65 May 20, 2017 50,000 5 50,000 5 $ 0.65 July 28, 2017 1,250,000 125 1,250,000 125 $ 0.76 September 2, 2017 500,000 - 500,000 - $ 0.80 December 22, 2017 3,220,000 - 3,220,000 - $ 0.94 April 28, 2018 500,000 - 500,000 - $ 0.96 July 21, 2021 710,000 - - - Balance December 31, 2016 12,025,000 $ 928 8,602,500 $ 576 The aggregate intrinsic value in the preceding table represents the total intrinsic value, based on the Company’s closing stock price of C$0.75 as of December 31, 2016, which would have been received by the option holders had all option holders exercised their options as of that date. In-the-money options vested and exercisable as of December 31, 2016, totaled 4,382,500. As of December 31, 2016, there was $160 of unrecognized compensation cost related to unvested share-based compensation arrangements granted under the Plan. The cost is expected to be recognized over a remaining weighted average period of approximately 1.0 years. b) Warrants Warrant transactions are summarized as follows: Warrants Weighted average Balance June 30, 2016 22,733,685 $ 0.74 Granted - - Exercised (3,447,137 ) 0.65 Expired (4,114,353 ) 0.65 Balance, December 31, 2016 15,172,195 $ 0.79 At December 31, 2016, the Company has outstanding exercisable warrants, as follows: Number Exercise Expiry Date 182,910 $ 0.85 February 27, 2017 2,714,000 1.00 February 27, 2017 3,125,000 0.72 December 22, 2018 9,150,285 0.75 January 19, 2019 15,172,195 | 8. COMMON STOCK a) Issuances 2016 Issuances On January 19, 2016, the Company closed a private placement and issued 9,074,835 units (each a “Unit”) at a price of C$0.57 per Unit, resulting in total gross proceeds of $3,750. Each Unit consisted of one common share of the Company and one transferable common share purchase warrant (a “Private Placement Warrant”). Each Private Placement Warrant is exercisable to acquire one additional common share of the Company for a period of three years at a price of C$0.75 per common share. In addition, the Company issued 75,450 broker warrants at closing, under the same terms as a Private Placement Warrant. The fair value of the broker warrants of $15 was estimated based on the Black-Scholes pricing model using a risk free interest rate of 0.75%, an expected dividend yield of 0%, a volatility of 100.13%, and an expected life of 3.0 years. 2015 Issuances In February 2015 the Company announced it had closed a partially brokered and partially non-brokered private placement of 2,914,000 special warrants (“2015 Warrants”) at an issue price of C$0.75 to raise aggregate gross proceeds of $1,722. Each 2015 Warrant is exchangeable at any time after the closing date of the offering into one unit of the Company; each unit consists of one common share of the Company and one common share purchase warrant. Each warrant entitles the holder to acquire one additional common share at a price of C$1.00 per share until February 27, 2017. The Company filed a prospectus and obtained the required receipt for that prospectus on March 23, 2015 and qualified the distribution of 2,914,000 2015 Warrants which were deemed exercised on March 30, 2015. The agent, Mackie Research Capital Corporation ("MRCC") received a cash commission equal to 6.5% of the gross proceeds of the brokered portion of the offering being $112 and 182,910 compensation warrants. The broker warrants are exercisable into common shares at a price C$0.85 per share until February 27, 2017. The fair value of the agent warrants of $79 was estimated based on the Black-Scholes pricing model using a risk free interest rate of 1.25%, an expected dividend yield of 0%, a volatility of 100.95%, and an expected life of 2.0 years. Total cash issue costs including agents' commission, legal and filing fees were $230. In November 2014 the Company announced it had closed a partially brokered and partially non-brokered private placement of 19,245,813 special warrants (“2014 Special Warrants”) at an issue price of C$0.55 to raise aggregate gross proceeds of $8,846. Each 2014 Special Warrant is exchangeable at any time after the closing date of the offering into one unit of the Company; each unit consists of one common share of the Company and one common share purchase warrant. Each warrant entitles the holder to acquire one additional common share at a price of C$0.65 per share until November 10, 2016. The Company filed a prospectus and obtained the required receipt for that prospectus on January 14, 2015 and qualified the distribution of 19,245,813 2014 Special Warrants which were deemed exercised on January 19, 2015. The agent, MRCC received a cash commission equal to 6.5% of the gross proceeds of the brokered portion of the offering and 205,304 non-transferable compensation units. The broker warrants are exercisable into units having the same terms as the units issued under the Offering. Each unit entitles the agent to purchase a unit at a price of C$0.55 each. Each unit consists of one common share and one warrant exercisable at a price of C$0.65 per share until November 10, 2016. The fair value of the agent warrants of $108 was estimated based on the Black Scholes pricing model using a risk free interest rate of 1.25%, an expected dividend yield of 0%, a volatility of 108.9%, and an expected life of 2.0 years. Total cash issue costs including agents' commission, legal and filing fees was $300. b) Stock Options The Company has a rolling stock option plan (the “Plan”) whereby the Company may grant stock options to executive officers and directors, employees, and consultants at an exercise price to be determined by the board of directors, provided the exercise price is not lower than the market value on the date of grant. The Plan provides for the issuance of up to 10% of the Company’s issued common shares as at the date of grant with each stock option having a maximum term of five years. The board of directors has the exclusive power over the granting of options and their vesting provisions. Stock option transactions are summarized as follows: Number of Weighted Balance, July 1, 2014 7,060,000 $ 0.19 Granted 7,320,000 0.76 Exercised (6,250,000 ) 0.20 Cancelled/expired (25,000 ) 0.30 Balance, June 30, 2015 8,105,000 0.69 Granted 5,875,000 0.62 Exercised (1,415,000 ) 0.38 Cancelled/expired (1,100,000 ) 0.75 Balance June 30, 2016 11,465,000 $ 0.69 Number of options currently exercisable 5,765,000 $ 0.75 The following table summarizes the information and assumptions used to determine option costs: Year ended June 30, 2016 2015 Fair value per option granted during the period (C$) $ 0.30 $ 0.42 Risk-free interest rate 0.75 % 1.25 % Expected dividend yield 0 % 0 % Expected stock price volatility (historical basis) 98.2 % 105.6 % Expected option life in years 2.15 2.15 The following table summarizes information about stock options outstanding at June 30, 2016: Exercise Expiry date Number Aggregate Number Aggregate $ 0.50 May 9, 2017 370,000 133 370,000 133 $ 0.62 January 19, 2021 5,575,000 1,338 - - $ 0.65 May 20, 2017 50,000 11 50,000 11 $ 0.65 July 28, 2017 1,250,000 263 1,250,000 263 $ 0.76 September 2, 2017 500,000 50 500,000 50 $ 0.80 December 22, 2017 3,220,000 193 3,220,000 193 $ 0.94 April 28, 2018 500,000 - 375,000 - Balance June 30, 2016 11,465,000 $ 1,988 5,765,000 $ 650 The aggregate intrinsic value in the preceding table represents the total intrinsic value, based on the Company’s closing stock price of C$0.86 as of June 30, 2016, which would have been received by the option holders had all option holders exercised their options as of that date. The total number of in-the-money options vested and exercisable as of June 30, 2016 was 5,390,000. The total intrinsic value of options exercised during the year ended June 30, 2016 was $322. As of June 30, 2016, there was $328 of unrecognized compensation cost related to unvested share-based compensation arrangements granted under the Plan. The cost is expected to be recognized over a weighted average period of approximately one year. c) Warrants Warrant transactions are summarized as follows: Warrants Weighted average Balance, July 1, 2014 1,064,140 $ 0.25 Granted: Warrants: November financing 19,245,813 0.65 Warrants: March financing 2,914,000 1.00 Agents' warrants: November financing 205,304 0.55 Agents' warrants: November financing 205,304 0.65 Agents' warrants: March financing 182,910 0.85 Agents' advisory warrants* 750,000 0.55 Agents' sponsorship warrants** 250,000 0.60 ThyssenKrupp offtake agreement*** 8,569,000 0.67 Exercised (5,125,805 ) 0.35 Expired - - Balance, June 30, 2015 28,260,666 0.73 Granted: Lind Warrants 3,125,000 0.72 January Private Placement 9,074,835 0.75 Broker warrants: December Private Placement 75,450 0.75 Advisory Warrants* 750,000 0.65 Sponsorship warrants** 250,000 0.65 Exercised (12,549,309 ) 0.65 Expired (7,068,500 ) 0.67 Balance June 30, 2016 21,918,142 $ 0.75 * Pursuant to a financial services advisory agreement with Mackie Research Capital Corporation (“MRCC”) the Company issued 500,000 advisory warrants on December 4, 2014 and 250,000 advisory warrants on January 14, 2015. Each advisory warrant entitled MRCC to purchase a unit of the Company at a price of C$0.55 each, on or before December 4, 2016. Each such unit consisted of one Common Share and one warrant exercisable at a price of C$0.65 per share until December 4, 2016. These units were exercised during the year ended June 30, 2016, resulting in the granting of these additional 750,000 warrants. ** Pursuant to a sponsorship agreement between MRCC and the Company in connection with the Company's graduation to the Toronto Stock Exchange, the Company issued 250,000 sponsorship warrants on January 14, 2015, entitling MRCC to purchase units of the Company at C$0.60 per unit until January 14, 2017. Each such unit consisted of one Common Share and one warrant exercisable at C$0.65 per share until January 14, 2017. These units were exercised during the year ended June 30, 2016, resulting in the granting of these additional 250,000 warrants. *** The Company entered into an offtake agreement with ThyssenKrupp Metallurgical Products GmbH (“ThyssenKrupp”) whereby ThyssenKrupp will purchase 50% of future ferroniobium production up to 3,750 metric tons from the Elk Creek property for an initial term of ten years from commencement of commercial production which may be extended by mutual agreement of the parties. The Agreement presupposes the Company obtaining project financing, obtaining all necessary approvals and constructing a mine at Elk Creek. Pursuant to the agreement, the Company granted ThyssenKrupp a non-transferable warrant to acquire 8,569,000 common shares of the Company at an exercise price of C$0.67 per common share, which expired on December 12, 2015. At June 30, 2016 the Company has outstanding exercisable warrants, as follows: Number Exercise Expiry Date 6,745,947 $ 0.65 November 10, 2016 182,910 0.85 February 27, 2017 2,714,000 1.00 February 27, 2017 3,125,000 0.72 December 22, 2018 9,150,285 0.75 January 19, 2019 21,918,142 On April 20, 2016, the Company announced an early warrant exercise program (the “Program”) designed to encourage the early exercise of (unlisted) share purchase warrants exercisable at C$0.65 that otherwise expire on November 10, 2016 (the “November 2016 Warrants”). The Program and its commencement were approved at a Special Meeting of Shareholders held on Tuesday May 17, 2016. The warrant exercise program closed on June 17, 2016, resulting in gross proceeds of C$4,807. A total of 7,394,822 C$0.65 share purchase warrants expiring November 10, 2016 were exercised during the incentive period, representing about 47.6% of all C$0.65 Warrants outstanding and 66% of warrant holders eligible to participate. Each holder who exercised one warrant during the program received 1.11029 Common Shares, representing one warrant share and 0.11029 of a Common Share, as the incentive portion. A total of 8,210,394 common shares were issued under the program, which was previously approved by our shareholders on May 17, 2016. The Company recognized a warrant expense of $535 in other operating expenses in the consolidated statement of operations related to the fair market value of the incentive shares issued. |
RELATED PARTY TRANSACTIONS AND
RELATED PARTY TRANSACTIONS AND BALANCES | 6 Months Ended | 12 Months Ended |
Dec. 31, 2016 | Jun. 30, 2016 | |
Related Party Transactions [Abstract] | ||
RELATED PARTY TRANSACTIONS AND BALANCES | 7. RELATED PARTY TRANSACTIONS AND BALANCES Related party loan represents the amount outstanding on a loan with Mark Smith, Chief Executive Officer and Executive Chairman of NioCorp. The loan is due June 17, 2017, bears an interest rate of 10%, is secured by the Company’s assets pursuant to a concurrently executed general security agreement, and is subject to both a 2.5% establishment fee and 2.5% prepayment fee. As of December 31, 2016, accounts payable and accrued liabilities included interest payable to Mr. Smith of $107. On January 16, 2017, the Company entered into a non-revolving credit facility agreement (the “Credit Facility”) in the amount of $2.0 million with Mark Smith as more fully discussed in Note 10, Subsequent Events. | 9. RELATED PARTY TRANSACTIONS AND BALANCES On June 17, 2015, the Company entered into a one-year loan in the amount of $1,500 with Mark A. Smith, Chief Executive Officer and Executive Chairman of NioCorp. The one-year term loan bears an interest rate of 10%, is secured by the Company’s assets pursuant to a concurrently executed general security agreement, and is subject to both a 2.5% establishment fee and 2.5% prepayment fee. On July 1, 2015, the Company entered into a non-revolving credit facility agreement (collectively, with the loan above, the “Smith Loans”) in the amount of $2,000 with Mark Smith and completed a drawdown of $500 on that day, and an additional $100 was drawn under the credit facility on December 2, 2015. The credit facility bears an interest rate of 10%, is secured by the Company's assets pursuant to a general security agreement, and is subject to both a 2.5% establishment fee and 2.5% prepayment fee. With the receipt of additional funding proceeds from the December Private Placement and Convertible Security, on January 13, 2016, the Company repaid $1,100 of the outstanding Smith Loans, representing 100% of amounts drawn down under the credit facility, plus $500 of the amount due under the one-year loan. Interest and establishment fees payable as of December 31, 2015 were also paid. As of June 30, 2016 accounts payable and accrued liabilities included interest payable to Mr. Smith of $53. Effective June 16 2016, the Company and Mr. Smith agreed to extend the due date for the remaining loan amount of $1,000 until June 16, 2017. |
EXPLORATION EXPENDITURES
EXPLORATION EXPENDITURES | 6 Months Ended | 12 Months Ended |
Dec. 31, 2016 | Jun. 30, 2016 | |
Oil and Gas Exploration and Production Industries Disclosures [Abstract] | ||
EXPLORATION EXPENDITURES | 8. Exploration Expenditures For the three months For the six months 2016 2015 2016 2015 Technical studies and engineering $ 1,551 $ 54 $ 1,988 $ 1,470 Field management and other 399 133 633 301 Drilling - - - 281 Metallurgical development 419 25 1,691 110 Geologists and field staff 28 220 55 234 Total $ 2,397 $ 432 $ 4,367 $ 2,396 | 10. Exploration Expenditures For the year 2016 2015 Feasibility study and engineering $ 2,671 $ 5,892 Field management and other 940 1,791 Drilling 197 4,976 Metallurgical 844 4,506 Geologists and field staff 67 886 Total $ 4,719 $ 18,051 Additions to exploration and evaluation assets during the year ended June 30, 2016 related to ongoing engineering and metallurgical costs incurred in connection with a feasibility study, as well as land-related payments and general project management costs. |
INCOME TAXES
INCOME TAXES | 12 Months Ended |
Jun. 30, 2016 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | 11. Income Taxes Domestic and foreign components of loss before income taxes for the years ended June 30, 2016 and 2015 are as follows: For the year 2016 2015 Canada $ 4,542 $ 7,365 United States 6,866 18,505 Total $ 11,408 $ 25,870 Major components of income tax benefit for the year ended June 30, 2016 and 2015 are as follows: For the year 2016 2015 Current taxes $ - $ - Deferred taxes: Canada - - United States - (2,755 ) Total deferred tax benefit - (2,755 ) Total income tax benefit $ - $ (2,755 ) The following table is a reconciliation of income taxes at statutory rates with the reported taxes: For the year 2016 2015 Loss before income taxes $ 11,408 $ 25,870 Combined federal and provincial statutory income tax rate 26 % 26 % Income tax recovery at statutory tax rates 2,966 6,726 Foreign rate differential 893 2,405 Warrant expense (399 ) - Share based compensation (270 ) (651 ) Change in estimates related to prior years (635 ) - Change in valuation allowance (2,169 ) (5,725 ) Other (386 ) - Income tax benefit $ - $ 2,755 Deferred income taxes reflect the net tax effects of temporary differences between the carrying amounts of assets and liabilities for financial reporting purposes and the amounts used for income tax purposes. The Company's net deferred tax asset balances as of June 30, 2016 and 2015 have been revised to reflect the appropriate jurisdictional tax rate applied to Canadian temporary differences. On a consolidated basis, there was no impact on the Company's income tax provision for the years ended June 30, 2016 and 2015 and the net deferred tax balance as of June 30, 2016 and 2015 has not changed due to a full valuation allowance, however, the net deferred tax assets before valuation allowance as of June 30, 2016 and 2015 decreased by $1,783 and $1,996, respectively.The significant components of deferred taxes are as follows: As of June 30, 2016 2015 Deferred tax assets Mineral interest $ 6,555 $ 4,963 Net operating losses available for future periods 3,951 3,312 Other 144 206 Total deferred tax assets 10,650 8,481 Valuation allowance (10,650 ) (8,481 ) Net deferred tax assets $ - $ - The Company establishes a valuation allowance against future income tax assets if, based on available information, it is more likely than not that all of the assets will not be realized. The valuation allowance of $10,650 at June 30, 2016 relates mainly to net operating loss carryforwards in Canada and mineral interest due to deferred exploration expenditures in the United States, where the utilization of such attributes is not more likely than not. During the year ended June 30, 2015, the Company recognized $2,755 of deferred tax benefit which was generated during the year to offset existing deferred tax liabilities associated with the acquisition of the Elk Creek mineral interest. The Company had cumulative net operating losses of $13,625 as of June 30, 2016 (2015 - $12,453) for federal income tax purposes and these carryforwards will expire between 2017 and 2035. The Company had no unrecognized tax benefits as of June 30, 2016 or 2015. The Company recognizes interest accrued related to unrecognized tax benefits and penalties in its income tax provision. The Company has not recognized any interest or penalties in the fiscal years presented in these financial statements. The Company is subject to income tax in the U.S. federal jurisdiction and Canada. Certain years remain subject to examination but there are currently no ongoing exams in any taxing jurisdictions. |
FAIR VALUE MEASUREMENTS
FAIR VALUE MEASUREMENTS | 6 Months Ended | 12 Months Ended |
Dec. 31, 2016 | Jun. 30, 2016 | |
Fair Value Disclosures [Abstract] | ||
FAIR VALUE MEASUREMENTS | 9. Fair Value Measurements The Company measures the fair value of financial assets and liabilities based on US GAAP guidance which defines fair value, establishes a framework for measuring fair value, and expands disclosures about fair value measurements. The Company classifies financial assets and liabilities as held-for-trading, available-for-sale, held-to-maturity, loans and receivables, or other financial liabilities depending on their nature. Financial assets and financial liabilities are recognized at fair value on their initial recognition. Financial assets and liabilities classified as held-for-trading are measured at fair value, with gains and losses recognized in net income. Financial assets classified as held-to-maturity, loans, and receivables, and financial liabilities other than those classified as held-for-trading are measured at amortized cost, using the effective interest method of amortization. Financial assets classified as available-for-sale are measured at fair value, with unrealized gains and losses being recognized in income. Financial instruments including receivables, accounts payable and accrued liabilities, and related party loans are carried at amortized cost, which Management believes approximates fair value due to the short-term nature of these instruments. The following table presents information about the assets and liabilities that are measured at fair value on a recurring basis as at December 31, 2016 and June 30, 2016, and indicates the fair value hierarchy of the valuation techniques the Company utilized to determine such fair value. In general, fair values determined by Level 1 inputs utilize quoted prices (unadjusted) in active markets for identical instruments. Fair values determined by Level 2 inputs utilize data points that are observable, such as quoted prices, interest rates, and yield curves. Fair values determined by Level 3 inputs are unobservable data points for the financial instrument and included situations where there is little, if any, market activity for the instrument: As of December 31, 2016 Total Level 1 Level 2 Level 3 Assets: Cash and cash equivalents $ 729 $ 729 $ - $ - Available for sale securities 37 37 - - Total $ 766 $ 766 $ - $ - Liabilities: Convertible debt $ 4,827 $ - $ - $ 4,827 Derivative liability, convertible debt 173 - - 173 Total $ 5,000 $ - $ - $ 5,000 As of June 30, 2016 Total Level 1 Level 2 Level 3 Assets: Cash and cash equivalents $ 4,412 $ 4,412 $ - $ - Available for sale securities 32 32 - - Total $ 4,444 $ 4,444 $ - $ - Liabilities: Convertible debt $ 5,991 $ - $ - $ 5,991 Derivative liability, convertible debt 330 - - 330 Total $ 6,321 $ - $ - $ 6,321 The Company measures the fair market value of the Level 3 components using the Black-Scholes model and discounted cash flows, as appropriate. These models are prepared by a third party and take into account Management's best estimate of the conversion price of the stock, an estimate of the expected time to conversion, an estimate of the stock's volatility, and the risk-free rate of return expected for an instrument with a term equal to the duration of the convertible debt. The following table sets forth a reconciliation of changes in the fair value of the Company's convertible debt components classified as Level 3 in the fair value hierarchy: Beginning balance $ 6,321 Conversions to equity (983 ) Realized and unrealized losses (338 ) Ending balance $ 5,000 | 12. Fair Value Measurements The Company measures the fair value of financial assets and liabilities based on US GAAP guidance which defines fair value, establishes a framework for measuring fair value, and expands disclosures about fair value measurements. The Company classifies financial assets and liabilities as held-for-trading, available-for-sale, held-to-maturity, loans and receivables or other financial liabilities depending on their nature. Financial assets and financial liabilities are recognized at fair value on their initial recognition. Financial assets and liabilities classified as held-for-trading are measured at fair value, with gains and losses recognized in net income. Financial assets classified as held-to-maturity, loans and receivables, and financial liabilities other than those classified as held-for-trading are measured at amortized cost, using the effective interest method of amortization. Financial assets classified as available-for-sale are measured at fair value, with unrealized gains and losses being recognized in income. Financial instruments, including receivables, accounts payable and accrued liabilities, and related party loans are carried at amortized cost, which management believes approximates fair value due to the short term nature of these instruments. The following table presents information about the assets and liabilities that are measured at fair value on a recurring basis as at June 30, 2016 and 2015, and indicates the fair value hierarchy of the valuation techniques the Company utilized to determine such fair value. In general, fair values determined by Level 1 inputs utilize quoted prices (unadjusted) in active markets for identical instruments. Fair values determined by Level 2 inputs utilize data points that are observable such as quoted prices, interest rates, and yield curves. Fair values determined by Level 3 inputs are unobservable data points for the financial instrument, and included situations where there is little, if any, market activity for the instrument: As of June 30, 2016 Total Level 1 Level 2 Level 3 Assets: Cash and cash equivalents $ 4,412 $ 4,412 $ - $ - Available for sale securities 32 32 - - Total $ 4,444 $ 4,444 $ - $ - Liabilities: Convertible debt $ 5,991 $ - $ - $ 5,991 Derivative liability, convertible debt 330 - - 330 $ 6,321 $ - $ - $ 6,321 As of June 30, 2015 Total Level 1 Level 2 Level 3 Assets: Cash and cash equivalents $ 753 $ 753 $ - $ - Available for sale securities 46 46 - - Total $ 799 $ 799 $ - $ - The Company measures the fair market value of the Level 3 components using the Black-Scholes model and discounted cash flows, as appropriate. These models are prepared by a third party and take into account management's best estimate of the conversion price of the stock, an estimate of the expected time to conversion, an estimate of the stock's volatility, and the risk-free rate of return expected for an instrument with a term equal to the duration of the convertible debt. The significant unobservable valuation inputs for the Convertible Debt includes an expected return of 51.06%. A 15% decrease (increase) in the expected return would result in an increase (decrease) to fair value of $94, or approximately 2%. The derivative liability was valued using a Black-Scholes pricing model with the following inputs: Risk-free interest rate 1.25 % Expected dividend yield 0 % Expected stock price volatility 88.63 % Expected option life in years 2.50 The following table sets forth a reconciliation of changes in the fair value of the Company's convertible debt components classified as Level 3 in the fair value hierarchy: As of June 30, 2016 2015 Beginning balance $ - $ - Convertible securities closings 4,860 - Conversions to equity (638 ) - Realized and unrealized losses 2,099 - Ending balance $ 6,321 $ - |
COMMITMENTS AND CONTINGENCIES
COMMITMENTS AND CONTINGENCIES | 12 Months Ended |
Jun. 30, 2016 | |
Commitments and Contingencies Disclosure [Abstract] | |
COMMITMENTS AND CONTINGENCIES | 13. COMMITMENTS AND CONTINGENCIES Other Exploration Properties The Company held an option to acquire a 100% interest in certain claim units located in the Kenora Mining Division, Ontario, referred to as the Tait Lake property, and had previously written the exploration asset down to $nil. In April 2015, the Company sold the Tait Lake option for a cash payment of $9. The Company, through its wholly-owned subsidiary, Northeast Minerals, held exploration rights for the Jungle Well and Laverton projects in Australia (the “Exploration Rights”). On July 2, 2015, the Company entered into an agreement to sell its investment in Northeast Minerals to a third party. Assets of Northeast Minerals included the Explorations Rights, with a nil book value, and 3,750,000 shares of Victory Mines Limited (“Victory”), an Australian public entity. The book value of the Victory shares was written down to one dollar at June 30, 2015 to reflect the estimated market value. No other gain or loss was incurred related to the sale of Northeast Minerals. NioCorp has the following land, office, facility and equipment lease commitments in place as of June 30, 2016: Payments due by period Total Less than 1-3 4-5 After 5 Debt $ 7,510 $ 1,214 $ 6,296 $ - $ - Operating leases 349 207 123 19 - Total contractual obligations $ 7,859 $ 1,421 $ 6,419 $ 19 $ - |
SUBSEQUENT EVENTS
SUBSEQUENT EVENTS | 6 Months Ended |
Dec. 31, 2016 | |
Subsequent Events [Abstract] | |
SUBSEQUENT EVENTS | 10. Subsequent Events On January 16, 2017, the Company entered into a non-revolving credit facility agreement (the “Credit Facility”) in the amount of $2.0 million with Mark Smith. The Credit Facility bears an interest rate of 10% and drawdowns from the Credit Facility are subject to a 2.5% establishment fee. Amounts outstanding under the Credit Facility will become due January 16, 2018, and are secured by all of the Company’s assets pursuant to a general security agreement between the Company and Mr. Smith dated June 17, 2015. The Credit Facility contains financial and non-financial covenants customary for a facility of this size and nature. On January 18, 2017, the Company completed a drawdown from the Credit Facility in the amount of $175. On January 27, 2017, the Company announced a C$2.0 million non-brokered private placement for up to 2,857,143 units of the Company (the “Units”) at a price of C$0.70 per Unit. Each Unit will consist of one Common Share of the Company and one transferable Common Share purchase warrant (a “Warrant”). Each Warrant will exercisable to acquire one additional Common Share of the Company for a period of 36 months at a price of $0.85 per Common Share. On January 30, 2017, the Company announced that due to strong investor demand it has increased the maximum gross proceeds of the Offering to from C$2.0 million to C$2.5 million. Further, the Company has received expressions of interest from certain investment dealers, and has agreed to pay fees in respect of certain subscriptions originated by such investment dealers in each case for services outside of the United States. |
SIGNIFICANT ACCOUNTING POLICI22
SIGNIFICANT ACCOUNTING POLICIES (Policies) | 6 Months Ended | 12 Months Ended |
Dec. 31, 2016 | Jun. 30, 2016 | |
Accounting Policies [Abstract] | ||
Exploration Stage Enterprise | a) Exploration Stage Enterprise The Company is in the exploration stage of operation and devotes substantially all of its efforts to acquiring and exploring mining interests that management believes should eventually provide sufficient net profits to sustain the Company’s existence. Until such interests are engaged in commercial production, the Company will continue to seek additional funding to support the completion of its exploration and development activities. The Company’s activities are subject to significant risks and uncertainties, including its ability to secure sufficient funding to continue operations, to obtain proven and probable reserves, to comply with industry regulations and obtain permits necessary for development of the Elk Creek Project, as well as environmental risks and market conditions. | |
Cash and Cash Equivalents | b) Cash and Cash Equivalents Cash and cash equivalents includes cash on hand, cash in banks, investments in certificates of deposit with original maturities of 90 days or less, and money market funds. | |
Foreign Currency Translation | c) Foreign Currency Translation Functional and reporting currency Items included in the financial statements of each of the Company’s entities are measured using the currency of the primary economic environment in which the entity operates (“the functional currency”). The functional currency of the Company is the Canadian Dollar. Effective July 1, 2015, the Corporation changed the functional currency for Elk Creek Resources Corp., a wholly-owned subsidiary, from the Canadian Dollar to the U.S. Dollar. This change was made as a greater percentage of expenditures for technical and administrative services, and raised financings are denominated in U.S. Dollars. No other entities in the Group were affected by this change in functional currency. This change in judgment has been accounted for prospectively in accordance with Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) 830. The reporting currency for these consolidated financial statements is U.S. Dollars. Transactions in foreign currency Transactions made in a currency other than Canadian Dollars are translated to the functional currency at exchange rates at the dates of the transactions. Monetary assets and liabilities denominated in foreign currencies at the reporting date are translated to the functional currency at the exchange rate at that date and non-monetary assets and liabilities are translated at historical rates. Revenues and expenses are translated at the exchange rates approximating those in effect on the date of the transactions. Foreign currency gains and losses arising from translation are included in profit or loss. Translation to reporting currency The results and financial position of entities that have a functional currency different from the reporting currency are translated into the reporting currency as follows: • Assets and liabilities for each statement of financial position presented are translated at the closing rate at the end of the reporting date. • Income and expenses for each statement of income are translated at average exchange rates, unless this average is not a reasonable approximation of the cumulative effect of the rates prevailing on the transaction dates, in which case income and expenses are translated at the rate on the dates of the transactions. • All resulting exchange differences are recognized in other comprehensive income. | |
Available for Sale Securities | d) Available for Sale Securities Available for sale securities are recorded at fair value through the statement of operations pursuant to the fair value option permitted by ASC 825, Financial Instruments. | |
Equipment | e) Equipment Equipment is stated at cost less accumulated depreciation. The residual value, useful life and depreciation method are evaluated every reporting period and changes to the residual value, estimated useful life or depreciation method resulting from such review are accounted for prospectively. Depreciation is provided for using the straight line basis at the following rates per annum: Computer equipment three years Furniture and equipment five years | |
Mineral Properties | f) Mineral Properties Mineral property acquisition costs, including indirectly related acquisition costs, are capitalized when incurred. Acquisition costs include cash consideration and the fair market value of common shares issued as consideration. Properties acquired under option agreements, whereby payments are made at the sole discretion of the Company, are capitalized as mineral property acquisition costs at such time as the payments are made. Exploration costs are expensed as incurred. When it is determined that a mining deposit can be economically and legally extracted or produced based on established proven and probable reserves under SEC Industry Guide 7, development costs related to such reserves and incurred after such determination will be considered for capitalization. The establishment of proven and probable reserves is based on results of feasibility studies, which indicate whether a property is economically feasible. Upon commencement of commercial production, capitalized costs will be amortized over their estimated useful lives or units of production, whichever is a more reliable measure. Capitalized amounts relating to a property that is abandoned or otherwise considered uneconomic for the foreseeable future are written off. | |
Long Lived Assets | g) Long Lived Assets Long-lived assets held and used by the Company are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. For purposes of evaluating the recoverability of long-lived assets, the recoverability test is performed using undiscounted net cash flows related to the long-lived assets. If such assets are considered to be impaired, the impairment recognized is measured by the amount by which the carrying amount of the assets exceeds the fair value of the assets. Assets to be disposed of are reported at the lower of the carrying amount or fair value less costs to sell. | |
Financial Instruments | h) Financial Instruments The Company’s financial instruments consist of cash, receivables, available for sale securities, accounts payable and accrued liabilities, convertible debt and the related party loan. It is management’s opinion that the Company is not exposed to significant interest, currency or credit risks arising from its financial instruments. The fair values of these instruments approximate their carrying value unless otherwise noted. | |
Concentration of Credit Risk | i) Concentration of Credit Risk The financial instrument which potentially subjects the Company to credit risk is cash and cash equivalents, The Company holds invests or maintains available cash primarily in two commercial banks located in Vancouver, British Columbia and Santa Clara, California. As part of its cash management process, the Company regularly monitors the relative credit standing of these institutions. | |
Asset Retirement Obligation | j) Asset Retirement Obligation The Company is subject to various government laws and regulations relating to environmental disturbances caused by exploration and evaluation activities. The estimated costs associated with environmental remediation obligations are accrued in the period in which the liability is incurred if it is reasonably estimable or known. Until such time that a project life is established, the Company records the corresponding cost as an exploration stage expense, and has accrued $85 related to estimated obligations as of June 30, 2016 (2015 - $nil). Future reclamation and environmental-related expenditures are difficult to estimate in many circumstances due to the early stage nature of the exploration project, the uncertainties associated with defining the nature and extent of environmental disturbance, the application of laws and regulations by regulatory authorities and changes in reclamation or remediation technology. The Company periodically reviews accrued liabilities for such reclamation and remediation costs as evidence indicating that the liabilities have potentially changed becomes available. Changes in estimates are reflected in the consolidated statement of operations in the period an estimate is revised. | |
Income Taxes | k) Income Taxes Income taxes are provided based upon the liability method of accounting pursuant to ASC 740-10-25, “Income Taxes – Recognition”. | |
Basic and Diluted Per Share Disclosure | l) Basic and Diluted Per Share Disclosure Basic earnings (loss) per share is computed by dividing net income (loss) by the weighted average number of common shares outstanding. In computing diluted earnings per share, the weighted average number of shares outstanding is adjusted to reflect the effect of potentially dilutive securities. Potentially dilutive shares, such as stock options and warrants, are excluded from the calculation when their inclusion would be anti-dilutive, such as when the exercise price of the instrument exceeds the fair market value of the Company’s common stock and when a net loss is reported. The dilutive effect of convertible debt securities is reflected in the diluted earnings (loss) per share calculation using the if-converted method. Conversion of the debt securities is not assumed for purposes of calculating diluted earnings (loss) per share if the effect is anti-dilutive. | |
Stock Based Compensation | m) Stock Based Compensation The Company grants stock options to directors, officers, and employees. Option terms and vesting conditions are at the discretion of the Board of Directors. The option exercise price is equal to the closing market price on the Toronto Stock Exchange on the Toronto Stock Exchange on the day preceding the date of grant. The Company estimates the fair value of stock options using the Black-Scholes option pricing model. The Company estimates forfeitures of stock-based awards based on historical data and periodically adjusts the forfeiture rate. The adjustment of the forfeiture rate is recorded as a cumulative adjustment in the period the forfeiture estimate is changed. | |
Recent Accounting Standards | b) Recent Accounting Standards In May 2014, the Financial Accounting Standards Board (“FASB”) issued Accounting Standard Update (“ASU”) 2014-09, Revenue from Contracts with Customers ("ASU 2014-09"). ASU 2014-09 supersedes the revenue recognition requirements of FASB Accounting Standards Codification ("ASC") Topic 605, Revenue Recognition, and most industry-specific guidance. ASU 2014-09 requires entities to recognize revenue in a way that depicts the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled to in exchange for those goods or services. This ASU provides alternative methods of retrospective adoption and is effective for fiscal years, and interim periods within those years, beginning after December 15, 2017. Early adoption would be permitted but not before annual periods beginning after December 15, 2016. The Company is currently assessing the potential impact of adopting this ASU on its consolidated financial statements and related disclosures. In August 2014, the FASB issued ASU 2014-15, Presentation of Financial Statements – Going Concern. The new standard requires management of public and private companies to evaluate whether there is substantial doubt about the entity’s ability to continue as a going concern and, if so, to disclose that fact. Management will also be required to evaluate and disclose whether its plans alleviate that doubt. The new standard is effective for annual periods ending after December 15, 2016, and interim periods within annual periods beginning after December 15, 2016. The Company adopted this standard during the three-month period ended December 31, 2016, and the adoption of this standard had no material impacts on our financial statements. In February 2016, the FASB issued ASU 2016-02, Leases. The standard requires that a lessee recognize on the balance sheet assets and liabilities for leases with lease terms of more than twelve months. The recognition, measurement, and presentation of expenses and cash flows arising from a lease have not significantly changed from the previous GAAP. The standard is effective for fiscal years beginning after December 15, 2018, including interim periods within such fiscal year, with early adoption permitted. The Company is currently assessing the impact, if any, of implementing this guidance on its consolidated financial position, results of operations, and liquidity. In November 2016, the FASB issued ASU 2016-18 “Statement of Cash Flows (Topic 230), Restricted Cash. The standard provides guidance on the presentation of restricted cash and restricted cash equivalents in the statement of cash flows. Restricted cash and restricted cash equivalents should now be included with cash and cash equivalents when reconciling the beginning-of-period and end-of-period amounts shown on the statements of cash flows. The amendments of this ASU are effective for reporting periods beginning after December 15, 2017, with early adoption permitted. Other than the revised statement of cash flows presentation of restricted cash (if any), the adoption of this new guidance is not expected to have an impact on our financial statements. | n) Recent Accounting Standards From time to time, new accounting pronouncements are issued by the FASB that are adopted by the Company as of the specified effective date. Unless otherwise discussed, management believes that the impact of recently issued standards did not or will not have a material impact on the Company’s consolidated financial statements upon adoption. In February 2016, the FASB issued Accounting Standard Update 2016-02, Leases In November 2015, the FASB issued ASU 2015-17 which simplifies income tax accounting. The update requires that all deferred tax assets and liabilities be classified as noncurrent on the balance sheet instead of separating deferred taxes into current and noncurrent amounts. This update is effective for fiscal years beginning after December 15, 2016, and interim periods within those fiscal years, and early adoption is permitted. The Company elected to early adopt this standard as of July 1, 2014. In April 2015, the FASB issued ASU 2015-03, Interest – Imputation of Interest (Subtopic 835-30): Simplifying the Presentation of Debt Issuance Costs In November 2014, the FASB issued ASU 2014-16, Determining Whether the Host Contract in a Hybrid Financial Instrument Issued in the Form of a Share Is More Akin to Debt or to Equity In August 2014, the FASB issued ASU 2014-15, Presentation of Financial Statements – Going Concern |
BASIS OF PREPARATION (Policies)
BASIS OF PREPARATION (Policies) | 6 Months Ended | 12 Months Ended |
Dec. 31, 2016 | Jun. 30, 2016 | |
Accounting Policies [Abstract] | ||
Basis of Preparation and Consolidation | a) Basis of Preparation and Consolidation The accompanying unaudited interim condensed consolidated interim financial statements have been prepared in accordance with generally accepted accounting principles of the United States of America (“US GAAP”) and the rules and regulations of the Securities and Exchange Commission (“SEC”). The interim condensed consolidated financial statements include the consolidated accounts of the Company and its wholly-owned subsidiaries with all significant intercompany transactions eliminated. The accounting policies followed in preparing these consolidated interim financial statements are those used by the Company as set out in the audited consolidated financial statements for the year ended June 30, 2016. In the opinion of Management, all adjustments considered necessary (including reclassifications and normal recurring adjustments) to present fairly the financial position, results of operations and cash flows at December 31, 2016, and for all periods presented, have been included in these interim condensed consolidated financial statements. Certain information and footnote disclosures normally included in the consolidated financial statements prepared in accordance with US GAAP have been condensed or omitted pursuant to such SEC rules and regulations. These interim condensed consolidated financial statements should be read in conjunction with the audited consolidated financial statements for the year ended June 30, 2016. The interim results are not necessarily indicative of results for the full year ending June 30, 2017, or future operating periods. | a) Basis of Preparation and Consolidation These consolidated financial statements have been prepared in conformity with generally accepted accounting principles of the United States of America (“US GAAP”). Certain transactions include reference to Canadian dollars (“C$”) where applicable. These consolidated financial statements include the accounts of the Company and the subsidiaries listed in the following table. All intercompany transactions and balances have been eliminated. Country of Ownership at June 30, incorporation 2016 2015 0896800 BC Ltd. Canada 100 % 100 % Elk Creek Resources Corp. USA 100 % 100 % Silver Mountain Mines Corp. USA 100 % 100 % |
Recent Accounting Standards | b) Recent Accounting Standards In May 2014, the Financial Accounting Standards Board (“FASB”) issued Accounting Standard Update (“ASU”) 2014-09, Revenue from Contracts with Customers ("ASU 2014-09"). ASU 2014-09 supersedes the revenue recognition requirements of FASB Accounting Standards Codification ("ASC") Topic 605, Revenue Recognition, and most industry-specific guidance. ASU 2014-09 requires entities to recognize revenue in a way that depicts the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled to in exchange for those goods or services. This ASU provides alternative methods of retrospective adoption and is effective for fiscal years, and interim periods within those years, beginning after December 15, 2017. Early adoption would be permitted but not before annual periods beginning after December 15, 2016. The Company is currently assessing the potential impact of adopting this ASU on its consolidated financial statements and related disclosures. In August 2014, the FASB issued ASU 2014-15, Presentation of Financial Statements – Going Concern. The new standard requires management of public and private companies to evaluate whether there is substantial doubt about the entity’s ability to continue as a going concern and, if so, to disclose that fact. Management will also be required to evaluate and disclose whether its plans alleviate that doubt. The new standard is effective for annual periods ending after December 15, 2016, and interim periods within annual periods beginning after December 15, 2016. The Company adopted this standard during the three-month period ended December 31, 2016, and the adoption of this standard had no material impacts on our financial statements. In February 2016, the FASB issued ASU 2016-02, Leases. The standard requires that a lessee recognize on the balance sheet assets and liabilities for leases with lease terms of more than twelve months. The recognition, measurement, and presentation of expenses and cash flows arising from a lease have not significantly changed from the previous GAAP. The standard is effective for fiscal years beginning after December 15, 2018, including interim periods within such fiscal year, with early adoption permitted. The Company is currently assessing the impact, if any, of implementing this guidance on its consolidated financial position, results of operations, and liquidity. In November 2016, the FASB issued ASU 2016-18 “Statement of Cash Flows (Topic 230), Restricted Cash. The standard provides guidance on the presentation of restricted cash and restricted cash equivalents in the statement of cash flows. Restricted cash and restricted cash equivalents should now be included with cash and cash equivalents when reconciling the beginning-of-period and end-of-period amounts shown on the statements of cash flows. The amendments of this ASU are effective for reporting periods beginning after December 15, 2017, with early adoption permitted. Other than the revised statement of cash flows presentation of restricted cash (if any), the adoption of this new guidance is not expected to have an impact on our financial statements. | n) Recent Accounting Standards From time to time, new accounting pronouncements are issued by the FASB that are adopted by the Company as of the specified effective date. Unless otherwise discussed, management believes that the impact of recently issued standards did not or will not have a material impact on the Company’s consolidated financial statements upon adoption. In February 2016, the FASB issued Accounting Standard Update 2016-02, Leases In November 2015, the FASB issued ASU 2015-17 which simplifies income tax accounting. The update requires that all deferred tax assets and liabilities be classified as noncurrent on the balance sheet instead of separating deferred taxes into current and noncurrent amounts. This update is effective for fiscal years beginning after December 15, 2016, and interim periods within those fiscal years, and early adoption is permitted. The Company elected to early adopt this standard as of July 1, 2014. In April 2015, the FASB issued ASU 2015-03, Interest – Imputation of Interest (Subtopic 835-30): Simplifying the Presentation of Debt Issuance Costs In November 2014, the FASB issued ASU 2014-16, Determining Whether the Host Contract in a Hybrid Financial Instrument Issued in the Form of a Share Is More Akin to Debt or to Equity In August 2014, the FASB issued ASU 2014-15, Presentation of Financial Statements – Going Concern |
Use of Estimates | c) Use of Estimates The preparation of consolidated financial statements in conformity with US GAAP requires Management to make estimates and assumptions that affect the reported amounts of assets and liabilities and the disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of expenses during the reporting period. The Company regularly evaluates estimates and assumptions related to the deferred income tax asset valuations, convertible debt valuations and share-based compensation. The Company bases its estimates and assumptions on current facts, historical experience, and various other factors that it believes to be reasonable under the circumstances, the results of which form the basis for making judgments about the other sources. The actual results experienced by the Company may differ materially and adversely from the Company’s estimates. To the extent there are material differences between estimates and the actual results, future results of operations will be affected. | b) Use of Estimates The preparation of consolidated financial statements in conformity with US GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and the disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of expenses during the reporting period. The Company regularly evaluates estimates and assumptions related to the deferred income tax asset valuations and share-based compensation. The Company bases its estimates and assumptions on current facts, historical experience and various other factors that it believes to be reasonable under the circumstances, the results of which form the basis for making judgments about the other sources. The actual results experienced by the Company may differ materially and adversely from the Company’s estimates. To the extent there are material differences between estimates and the actual results, future results of operations will be affected. |
BASIS OF PREPARATION (Tables)
BASIS OF PREPARATION (Tables) | 12 Months Ended |
Jun. 30, 2016 | |
Accounting Policies [Abstract] | |
Schedule of subsidiaries | These consolidated financial statements include the accounts of the Company and the subsidiaries listed in the following table. All intercompany transactions and balances have been eliminated. Country of Ownership at June 30, incorporation 2016 2015 0896800 BC Ltd. Canada 100 % 100 % Elk Creek Resources Corp. USA 100 % 100 % Silver Mountain Mines Corp. USA 100 % 100 % |
SIGNIFICANT ACCOUNTING POLICI25
SIGNIFICANT ACCOUNTING POLICIES (Tables) | 12 Months Ended |
Jun. 30, 2016 | |
Accounting Policies [Abstract] | |
Schedule of equipment | Equipment is stated at cost less accumulated depreciation. The residual value, useful life and depreciation method are evaluated every reporting period and changes to the residual value, estimated useful life or depreciation method resulting from such review are accounted for prospectively. Depreciation is provided for using the straight line basis at the following rates per annum: Computer equipment three years Furniture and equipment five years |
CONVERTIBLE DEBT (Tables)
CONVERTIBLE DEBT (Tables) | 6 Months Ended | 12 Months Ended |
Dec. 31, 2016 | Jun. 30, 2016 | |
Debt Disclosure [Abstract] | ||
Schedule of convertible debt | As of December 31, 2016 June 30, 2016 Current: Convertible Security $ 4,827 $ - Long Term, net of current: Convertible Security $ - $ 5,991 Convertible Notes 530 475 $ 530 $ 6, 466 | As of June 30, 2016 2015 Convertible Notes $ 475 $ - Convertible Security 5,991 - $ 6,466 $ - |
Schedule of components associated with convertible notes | The following table discloses the components associated with this transaction on the closing date: Convertible Notes Face value of Notes on closing $ 800 Less: Transaction costs (47 ) Conversion component (360 ) Convertible notes, opening balance $ 393 | |
Schedule of changes in the notes balance | Changes in the Company’s outstanding convertible promissory notes (the “Convertible Notes”) balance are comprised of the following: Convertible Notes Balance, June 30, 2016 $ 475 Accreted interest, net of interest paid 55 Balance, December 31, 2016 $ 530 | Changes in the Notes balance are comprised of the following: Convertible Notes Notes, balance on closing $ 393 Accreted interest, net of interest paid 82 Balance, June 30, 2016 $ 475 |
Schedule of derivative liability related to the conversion feature | The changes in the derivative liability related to the conversion feature are as follows: Derivative Liability Balance, June 30, 2016 $ 330 Change in fair value of derivative liability (157 ) Balance, December 31, 2016 $ 173 | The changes in the derivative liability related to the conversion feature are as follows: Derivative Liability Opening balance $ 360 Change in fair value of derivative liability (30 ) Balance, June 30, 2016 $ 330 |
Schedule of change in convertible security balance | Changes in the Lind Partners Asset Management IV, LLC (“Lind”) convertible security (the “Convertible Security”) balance are comprised of the following: Convertible Security Balance, June 30, 2016 $ 5,991 Conversions, at fair value (983 ) Change in fair market value (181 ) Balance, December 31, 2016 $ 4,827 | Changes in the Convertible Security balance are comprised of the following: Convertible Security Opening balance $ 4,500 Conversions (638 ) Change in fair market value 2,129 Balance, June 30, 2016 $ 5,991 |
COMMON STOCK (Tables)
COMMON STOCK (Tables) | 6 Months Ended | 12 Months Ended |
Dec. 31, 2016 | Jun. 30, 2016 | |
Equity [Abstract] | ||
Schedule of stock option | Stock option transactions are summarized as follows: Number of Weighted Balance, June 30, 2016 11,465,000 $ 0.69 Granted 710,000 0.96 Exercised - - Cancelled/expired (150,000 ) 0.62 Balance, December 31, 2016 12,025,000 $ 0.71 | Stock option transactions are summarized as follows: Number of Weighted Balance, July 1, 2014 7,060,000 $ 0.19 Granted 7,320,000 0.76 Exercised (6,250,000 ) 0.20 Cancelled/expired (25,000 ) 0.30 Balance, June 30, 2015 8,105,000 0.69 Granted 5,875,000 0.62 Exercised (1,415,000 ) 0.38 Cancelled/expired (1,100,000 ) 0.75 Balance June 30, 2016 11,465,000 $ 0.69 Number of options currently exercisable 5,765,000 $ 0.75 |
Schedule of information and assumptions used to determine option costs | The following table summarizes the information and assumptions used to determine option costs for the six-month period ended December 31, 2016: Fair value per option granted during the period (C$) $ 0.50 Risk-free interest rate 0.75 % Expected dividend yield 0 % Expected stock price volatility (historical basis) 97.2 % Expected option life in years 2.15 | The following table summarizes the information and assumptions used to determine option costs: Year ended June 30, 2016 2015 Fair value per option granted during the period (C$) $ 0.30 $ 0.42 Risk-free interest rate 0.75 % 1.25 % Expected dividend yield 0 % 0 % Expected stock price volatility (historical basis) 98.2 % 105.6 % Expected option life in years 2.15 2.15 |
Schedule of information about stock options outstanding | The following table summarizes information about stock options outstanding at December 31, 2016: Exercise Expiry date Number Aggregate Number Aggregate $ 0.50 May 9, 2017 370,000 $ 93 370,000 $ 93 $ 0.62 January 19, 2021 5,425,000 705 2,712,500 353 $ 0.65 May 20, 2017 50,000 5 50,000 5 $ 0.65 July 28, 2017 1,250,000 125 1,250,000 125 $ 0.76 September 2, 2017 500,000 - 500,000 - $ 0.80 December 22, 2017 3,220,000 - 3,220,000 - $ 0.94 April 28, 2018 500,000 - 500,000 - $ 0.96 July 21, 2021 710,000 - - - Balance December 31, 2016 12,025,000 $ 928 8,602,500 $ 576 | The following table summarizes information about stock options outstanding at June 30, 2016: Exercise Expiry date Number Aggregate Number Aggregate $ 0.50 May 9, 2017 370,000 133 370,000 133 $ 0.62 January 19, 2021 5,575,000 1,338 - - $ 0.65 May 20, 2017 50,000 11 50,000 11 $ 0.65 July 28, 2017 1,250,000 263 1,250,000 263 $ 0.76 September 2, 2017 500,000 50 500,000 50 $ 0.80 December 22, 2017 3,220,000 193 3,220,000 193 $ 0.94 April 28, 2018 500,000 - 375,000 - Balance June 30, 2016 11,465,000 $ 1,988 5,765,000 $ 650 |
Schedule of warrant transactions | Warrant transactions are summarized as follows: Warrants Weighted average Balance June 30, 2016 22,733,685 $ 0.74 Granted - - Exercised (3,447,137 ) 0.65 Expired (4,114,353 ) 0.65 Balance, December 31, 2016 15,172,195 $ 0.79 | Warrant transactions are summarized as follows: Warrants Weighted average Balance, July 1, 2014 1,064,140 $ 0.25 Granted: Warrants: November financing 19,245,813 0.65 Warrants: March financing 2,914,000 1.00 Agents' warrants: November financing 205,304 0.55 Agents' warrants: November financing 205,304 0.65 Agents' warrants: March financing 182,910 0.85 Agents' advisory warrants* 750,000 0.55 Agents' sponsorship warrants** 250,000 0.60 ThyssenKrupp offtake agreement*** 8,569,000 0.67 Exercised (5,125,805 ) 0.35 Expired - - Balance, June 30, 2015 28,260,666 0.73 Granted: Lind Warrants 3,125,000 0.72 January Private Placement 9,074,835 0.75 Broker warrants: December Private Placement 75,450 0.75 Advisory Warrants* 750,000 0.65 Sponsorship warrants** 250,000 0.65 Exercised (12,549,309 ) 0.65 Expired (7,068,500 ) 0.67 Balance June 30, 2016 21,918,142 $ 0.75 * Pursuant to a financial services advisory agreement with Mackie Research Capital Corporation (“MRCC”) the Company issued 500,000 advisory warrants on December 4, 2014 and 250,000 advisory warrants on January 14, 2015. Each advisory warrant entitled MRCC to purchase a unit of the Company at a price of C$0.55 each, on or before December 4, 2016. Each such unit consisted of one Common Share and one warrant exercisable at a price of C$0.65 per share until December 4, 2016. These units were exercised during the year ended June 30, 2016, resulting in the granting of these additional 750,000 warrants. ** Pursuant to a sponsorship agreement between MRCC and the Company in connection with the Company's graduation to the Toronto Stock Exchange, the Company issued 250,000 sponsorship warrants on January 14, 2015, entitling MRCC to purchase units of the Company at C$0.60 per unit until January 14, 2017. Each such unit consisted of one Common Share and one warrant exercisable at C$0.65 per share until January 14, 2017. These units were exercised during the year ended June 30, 2016, resulting in the granting of these additional 250,000 warrants. *** The Company entered into an offtake agreement with ThyssenKrupp Metallurgical Products GmbH (“ThyssenKrupp”) whereby ThyssenKrupp will purchase 50% of future ferroniobium production up to 3,750 metric tons from the Elk Creek property for an initial term of ten years from commencement of commercial production which may be extended by mutual agreement of the parties. The Agreement presupposes the Company obtaining project financing, obtaining all necessary approvals and constructing a mine at Elk Creek. Pursuant to the agreement, the Company granted ThyssenKrupp a non-transferable warrant to acquire 8,569,000 common shares of the Company at an exercise price of C$0.67 per common share, which expired on December 12, 2015. |
Schedule of outstanding exercisable warrants | At December 31, 2016, the Company has outstanding exercisable warrants, as follows: Number Exercise Expiry Date 182,910 $ 0.85 February 27, 2017 2,714,000 1.00 February 27, 2017 3,125,000 0.72 December 22, 2018 9,150,285 0.75 January 19, 2019 15,172,195 | At June 30, 2016 the Company has outstanding exercisable warrants, as follows: Number Exercise Expiry Date 6,745,947 $ 0.65 November 10, 2016 182,910 0.85 February 27, 2017 2,714,000 1.00 February 27, 2017 3,125,000 0.72 December 22, 2018 9,150,285 0.75 January 19, 2019 21,918,142 |
EXPLORATION EXPENDITURES (Tabl
EXPLORATION EXPENDITURES (Tables) | 6 Months Ended | 12 Months Ended |
Dec. 31, 2016 | Jun. 30, 2016 | |
Oil and Gas Exploration and Production Industries Disclosures [Abstract] | ||
Schedule of exploration expenditures | For the three months For the six months 2016 2015 2016 2015 Technical studies and engineering $ 1,551 $ 54 $ 1,988 $ 1,470 Field management and other 399 133 633 301 Drilling - - - 281 Metallurgical development 419 25 1,691 110 Geologists and field staff 28 220 55 234 Total $ 2,397 $ 432 $ 4,367 $ 2, 396 | For the year 2016 2015 Feasibility study and engineering $ 2,671 $ 5,892 Field management and other 940 1,791 Drilling 197 4,976 Metallurgical 844 4,506 Geologists and field staff 67 886 Total $ 4,719 $ 18,051 |
INCOME TAXES (Tables)
INCOME TAXES (Tables) | 12 Months Ended |
Jun. 30, 2016 | |
Income Tax Disclosure [Abstract] | |
Schedule of domestic and foreign components of loss before income taxes | Domestic and foreign components of loss before income taxes for the years ended June 30, 2016 and 2015 are as follows: For the year 2016 2015 Canada $ 4,542 $ 7,365 United States 6,866 18,505 Total $ 11,408 $ 25,870 |
Schedule of major components of income tax benefit | Major components of income tax benefit for the year ended June 30, 2016 and 2015 are as follows: For the year 2016 2015 Current taxes $ - $ - Deferred taxes: Canada - - United States - (2,755 ) Total deferred tax benefit - (2,755 ) Total income tax benefit $ - $ (2,755 ) |
Schedule of reconciliation of income taxes at statutory rates | The following table is a reconciliation of income taxes at statutory rates with the reported taxes: For the year 2016 2015 Loss before income taxes $ 11,408 $ 25,870 Combined federal and provincial statutory income tax rate 26 % 26 % Income tax recovery at statutory tax rates 2,966 6,726 Foreign rate differential 893 2,405 Warrant expense (399 ) - Share based compensation (270 ) (651 ) Change in estimates related to prior years (635 ) - Change in valuation allowance (2,169 ) (5,725 ) Other (386 ) - Income tax benefit $ - $ 2,755 |
Schedule of components of deferred taxes | The significant components of deferred taxes are as follows: As of June 30, 2016 2015 Deferred tax assets Mineral interest $ 6,555 $ 4,963 Net operating losses available for future periods 3,951 3,312 Other 144 206 Total deferred tax assets 10,650 8,481 Valuation allowance (10,650 ) (8,481 ) Net deferred tax assets $ - $ - |
FAIR VALUE MEASUREMENTS (Tables
FAIR VALUE MEASUREMENTS (Tables) | 6 Months Ended | 12 Months Ended |
Dec. 31, 2016 | Jun. 30, 2016 | |
Fair Value Disclosures [Abstract] | ||
Schedule of fair values determined by Level 3 inputs are unobservable data | The following table presents information about the assets and liabilities that are measured at fair value on a recurring basis as at December 31, 2016 and June 30, 2016, and indicates the fair value hierarchy of the valuation techniques the Company utilized to determine such fair value. In general, fair values determined by Level 1 inputs utilize quoted prices (unadjusted) in active markets for identical instruments. Fair values determined by Level 2 inputs utilize data points that are observable, such as quoted prices, interest rates, and yield curves. Fair values determined by Level 3 inputs are unobservable data points for the financial instrument and included situations where there is little, if any, market activity for the instrument: As of December 31, 2016 Total Level 1 Level 2 Level 3 Assets: Cash and cash equivalents $ 729 $ 729 $ - $ - Available for sale securities 37 37 - - Total $ 766 $ 766 $ - $ - Liabilities: Convertible debt $ 4,827 $ - $ - $ 4,827 Derivative liability, convertible debt 173 - - 173 Total $ 5,000 $ - $ - $ 5,000 As of June 30, 2016 Total Level 1 Level 2 Level 3 Assets: Cash and cash equivalents $ 4,412 $ 4,412 $ - $ - Available for sale securities 32 32 - - Total $ 4,444 $ 4,444 $ - $ - Liabilities: Convertible debt $ 5,991 $ - $ - $ 5,991 Derivative liability, convertible debt 330 - - 330 Total $ 6,321 $ - $ - $ 6,321 | Fair values determined by Level 3 inputs are unobservable data points for the financial instrument, and included situations where there is little, if any, market activity for the instrument: As of June 30, 2016 Total Level 1 Level 2 Level 3 Assets: Cash and cash equivalents $ 4,412 $ 4,412 $ - $ - Available for sale securities 32 32 - - Total $ 4,444 $ 4,444 $ - $ - Liabilities: Convertible debt $ 5,991 $ - $ - $ 5,991 Derivative liability, convertible debt 330 - - 330 $ 6,321 $ - $ - $ 6,321 As of June 30, 2015 Total Level 1 Level 2 Level 3 Assets: Cash and cash equivalents $ 753 $ 753 $ - $ - Available for sale securities 46 46 - - Total $ 799 $ 799 $ - $ - |
Schedule of derivative liability | The derivative liability was valued using a Black-Scholes pricing model with the following inputs: Risk-free interest rate 1.25 % Expected dividend yield 0 % Expected stock price volatility 88.63 % Expected option life in years 2.50 | |
Schedule of reconciliation of changes in the fair value | The following table sets forth a reconciliation of changes in the fair value of the Company's convertible debt components classified as Level 3 in the fair value hierarchy: Beginning balance $ 6,321 Conversions to equity (983 ) Realized and unrealized losses (338 ) Ending balance $ 5,000 | The following table sets forth a reconciliation of changes in the fair value of the Company's convertible debt components classified as Level 3 in the fair value hierarchy: As of June 30, 2016 2015 Beginning balance $ - $ - Convertible securities closings 4,860 - Conversions to equity (638 ) - Realized and unrealized losses 2,099 - Ending balance $ 6,321 $ - |
COMMITMENTS AND CONTINGENCIES (
COMMITMENTS AND CONTINGENCIES (Tables) | 12 Months Ended |
Jun. 30, 2016 | |
Commitments and Contingencies Disclosure [Abstract] | |
Schedule of lease commitments | NioCorp has the following land, office, facility and equipment lease commitments in place as of June 30, 2016: Payments due by period Total Less than 1-3 4-5 After 5 Debt $ 7,510 $ 1,214 $ 6,296 $ - $ - Operating leases 349 207 123 19 - Total contractual obligations $ 7,859 $ 1,421 $ 6,419 $ 19 $ - |
DESCRIPTION OF BUSINESS (Detail
DESCRIPTION OF BUSINESS (Details Narrative) - Number | 6 Months Ended | 12 Months Ended |
Dec. 31, 2016 | Jun. 30, 2016 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ||
Number of reportable segments | 1 | 1 |
BASIS OF PREPARATION (Details)
BASIS OF PREPARATION (Details) | 12 Months Ended | |
Jun. 30, 2016 | Jun. 30, 2015 | |
0896800 BC Ltd [Member] | ||
Percentage of ownership | 100.00% | 100.00% |
Country of incorporation | Canada | Canada |
Elk Creek Resources Corp [Member] | ||
Percentage of ownership | 100.00% | 100.00% |
Country of incorporation | USA | USA |
Silver Mountain Mines Corp [Member] | ||
Percentage of ownership | 100.00% | 100.00% |
Country of incorporation | USA | USA |
SIGNIFICANT ACCOUNTING POLICI34
SIGNIFICANT ACCOUNTING POLICIES (Details) | 12 Months Ended |
Jun. 30, 2016 | |
Computer Equipment [Member] | |
Estimated useful life | 3 years |
Furniture and Equipment [Member] | |
Estimated useful life | 5 years |
SIGNIFICANT ACCOUNTING POLICI35
SIGNIFICANT ACCOUNTING POLICIES (Details Narrative) - USD ($) $ in Thousands | 12 Months Ended | |
Jun. 30, 2016 | Jun. 30, 2015 | |
Accounting Policies [Abstract] | ||
Exploration stage expense | $ 85 | $ 0 |
GOING CONCERN ISSUES (Details N
GOING CONCERN ISSUES (Details Narrative) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | 12 Months Ended | |||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | Jun. 30, 2016 | Jun. 30, 2015 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ||||||
Net loss | $ (3,547) | $ (2,836) | $ (6,322) | $ (5,643) | $ (11,408) | $ (23,115) |
Accumulated deficit | $ (66,544) | (66,544) | $ (60,222) | $ (48,814) | ||
Working capital deficiency | $ 6,870 |
MINERAL INTERESTS (Details Narr
MINERAL INTERESTS (Details Narrative) - CAD CAD in Thousands | 12 Months Ended | |
Jun. 30, 2015 | Jun. 30, 2011 | |
Share Exchange Agreement [Member] | Canada [Member] | ||
Total consideration | CAD 13,246 | |
Deferred tax | CAD 4,736 | |
Share Exchange Agreement [Member] | 0896800 BC Ltd [Member] | ||
Number of shares issued upon finder's fees | 1,034,348 | |
Share Exchange Agreement [Member] | 0896800 BC Ltd [Member] | Elk Creek Resources Corp [Member] | ||
Number of shares issued upon acquisition | 18,990,539 | |
Lease Agreement [Member] | Elk Creek Resources Corp [Member] | ||
Lease term | 5 years | |
Percentage of NSR retain | 2.00% | |
Percentage of interest aquired | 100.00% |
FLOW THROUGH LIABILITIES (Detai
FLOW THROUGH LIABILITIES (Details Narrative) - Canadian Investors [Member] CAD in Thousands, $ in Thousands | Apr. 30, 2016USD ($) | Nov. 30, 2010CADshares |
Number of shares issued upon flow-through | shares | 8,337,000 | |
Reversed flow-through expenditures | $ | $ 587 | |
Canada [Member] | ||
Number of shares issued upon flow-through,value | CAD 2,501 | |
Minimum flow-through expenditures | CAD 1,470 |
RESTRICTED CASH (Details Narrat
RESTRICTED CASH (Details Narrative) $ in Thousands | 6 Months Ended |
Dec. 31, 2016USD ($) | |
Accounts Payable [Member] | |
Restricted cash amounts held in escrow account | $ 265 |
CONVERTIBLE DEBT (Details)
CONVERTIBLE DEBT (Details) - USD ($) $ in Thousands | Dec. 31, 2016 | Jun. 30, 2016 | Jun. 30, 2015 |
Short-term Debt [Line Items] | |||
Convertible of current debt | $ 4,827 | ||
Convertible of long term debt | 530 | $ 6,466 | |
Secured Convertible Security [Member] | |||
Short-term Debt [Line Items] | |||
Convertible of long term debt | 5,991 | ||
Unsecured Convertible Promissory Notes [Member] | |||
Short-term Debt [Line Items] | |||
Convertible of long term debt | $ 530 | $ 475 |
CONVERTIBLE DEBT (Details 1)
CONVERTIBLE DEBT (Details 1) - Unsecured Convertible Promissory Notes [Member] $ in Thousands | 1 Months Ended |
Oct. 31, 2015USD ($) | |
Convertible Notes [Roll Forward] | |
Face value of Notes on closing | $ 800 |
Less: | |
Transaction costs | (47) |
Conversion component | (360) |
Convertible notes, opening balance | $ 393 |
CONVERTIBLE DEBT (Details 2)
CONVERTIBLE DEBT (Details 2) - USD ($) $ in Thousands | 6 Months Ended | 12 Months Ended |
Dec. 31, 2016 | Jun. 30, 2016 | |
Convertible Notes [Roll Forward] | ||
Balance at end | $ 4,827 | |
Unsecured Convertible Promissory Notes [Member] | ||
Convertible Notes [Roll Forward] | ||
Balance at beginning | 475 | $ 393 |
Accreted interest, net of interest paid | 55 | 82 |
Balance at end | $ 530 | $ 475 |
CONVERTIBLE DEBT (Details 3)
CONVERTIBLE DEBT (Details 3) - USD ($) $ in Thousands | 6 Months Ended | 12 Months Ended |
Dec. 31, 2016 | Jun. 30, 2016 | |
Derivative Instruments and Hedges, Liabilities, Noncurrent [Roll Forward] | ||
Opening balance | $ 330 | |
Balance, June 30, 2016 | 173 | 330 |
Unsecured Convertible Promissory Notes [Member] | ||
Derivative Instruments and Hedges, Liabilities, Noncurrent [Roll Forward] | ||
Opening balance | 330 | 360 |
Change in fair value of derivative liability | (157) | (30) |
Balance, June 30, 2016 | $ 173 | $ 330 |
CONVERTIBLE DEBT (Details 4)
CONVERTIBLE DEBT (Details 4) - USD ($) $ in Thousands | 6 Months Ended | 12 Months Ended |
Dec. 31, 2016 | Jun. 30, 2016 | |
Change Convertible Security Balance [Roll Forward] | ||
Balance at end | $ 4,827 | |
Secured Convertible Security [Member] | ||
Change Convertible Security Balance [Roll Forward] | ||
Balance at beginning | 5,991 | $ 4,500 |
Conversions | (983) | (638) |
Change in fair market value | (181) | 2,129 |
Balance at end | $ 4,827 | $ 5,991 |
CONVERTIBLE DEBT (Details Narra
CONVERTIBLE DEBT (Details Narrative) $ in Thousands | Dec. 22, 2015USD ($)shares | Oct. 31, 2015USD ($) | Dec. 31, 2016USD ($)shares | Dec. 31, 2016CAD / sharesshares | Jun. 30, 2016USD ($)shares | Jun. 30, 2016CAD / shares | Dec. 22, 2015CAD / shares | Oct. 31, 2015CAD / shares | Sep. 30, 2015USD ($) | Jun. 30, 2015CAD / sharesshares | Jun. 30, 2014CAD / sharesshares |
Number of common shares purchased | shares | 15,172,195 | 21,918,142 | 28,260,666 | 1,064,140 | |||||||
Exercise price (in dollars per share) | CAD / shares | CAD 0.79 | CAD 0.75 | CAD 0.73 | CAD 0.25 | |||||||
Risk free interest rate | 1.25% | ||||||||||
Expected dividend yield | 0.00% | ||||||||||
Volatility | 88.63% | ||||||||||
Expected life | 2 years 6 months | ||||||||||
Lind Asset Management IV, LLC [Member] | Warrants [Member] | |||||||||||
Fair value of liabilities | $ 620 | ||||||||||
Risk free interest rate | 1.30% | ||||||||||
Expected dividend yield | 0.00% | ||||||||||
Volatility | 86.58% | ||||||||||
Expected life | 3 years | ||||||||||
Unsecured Convertible Promissory Notes [Member] | |||||||||||
Principal amount | $ 800 | ||||||||||
Unsecured Convertible Promissory Notes [Member] | Private Placement [Member] | |||||||||||
Interest rate | 8.00% | ||||||||||
Debt term | 3 years | ||||||||||
Description of payment | Payable quarterly in arrears. | ||||||||||
Transaction cost | $ 47 | ||||||||||
Principal amount | $ 800 | ||||||||||
Unsecured Convertible Promissory Notes [Member] | Private Placement [Member] | Canada [Member] | |||||||||||
Conversion price (in dollars per share) | CAD / shares | CAD 0.97 | ||||||||||
Secured Convertible Security [Member] | |||||||||||
Transaction cost | $ 214 | ||||||||||
Percentage of closing fees | 0.03 | ||||||||||
Description of conversion price | A conversion price equal to 85% of the volume weighted average trading price of the Common Shares (in Canadian dollars) on the TSX for the five consecutive trading days immediately prior to the date on which the Lind provides the Company with notice of its intention to convert an amount of the Convertible Security from time to time. | ||||||||||
Description of convenent | Includes a financial covenant defining an event of default as all present and future liabilities of the Company or any of its subsidiaries, exclusive of related party loans, for an amount or amounts exceeding $2,000, and which have not been satisfied on time or within 90 days of invoice, or have become prematurely payable as a result of its default or breach. | The Convertible Security contains financial and non-financial covenants customary for a facility of this size and nature, and includes a financial covenant defining an event of default as all present and future liabilities of the Company or any of its subsidiaries, exclusive of related party loans, for an amount or amounts exceeding $2,000, and which have not been satisfied on time or within 90 days of invoice, or have become prematurely payable as a result of its default or breach. The Company was in compliance as of December 31, 2016. | |||||||||
Debt conversion amount | $ 825 | ||||||||||
Number of shares issued upon debt conversion | shares | 1,683,002 | ||||||||||
Secured Convertible Security [Member] | Lind Asset Management IV, LLC [Member] | |||||||||||
Transaction cost | $ 135 | ||||||||||
Secured Convertible Security [Member] | Lind Asset Management IV, LLC [Member] | Definitive Convertible Security Funding Agreement [Member] | |||||||||||
Interest rate | 10.00% | ||||||||||
Debt term | 2 years | ||||||||||
Principal amount | $ 4,500 | ||||||||||
Initial face value | $ 5,400 | ||||||||||
Description of interest rate | Yield of the Convertible Security (if held, unconverted, to maturity) will be 10% per annum, or $900. | ||||||||||
Additional funding | $ 1,000 | ||||||||||
Description of conversion price | Convertible into Common Shares of the Company at a conversion price equal to 85% of the volume weighted average trading price of the Common Shares on the TSX (in Canadian dollars) for the five (5) consecutive trading days immediately prior to the date on which Lind provides the Company with notice of its intention to convert an amount of the Convertible Security from time to time. | ||||||||||
Secured Convertible Security [Member] | Lind Asset Management IV, LLC [Member] | Definitive Convertible Security Funding Agreement [Member] | Warrants [Member] | |||||||||||
Number of common shares purchased | shares | 3,125,000 | ||||||||||
Secured Convertible Security [Member] | Canada [Member] | Lind Asset Management IV, LLC [Member] | Definitive Convertible Security Funding Agreement [Member] | Warrants [Member] | |||||||||||
Exercise price (in dollars per share) | CAD / shares | CAD 0.72 |
COMMON STOCK (Details)
COMMON STOCK (Details) - CAD / shares | 6 Months Ended | 12 Months Ended | |
Dec. 31, 2016 | Jun. 30, 2016 | Jun. 30, 2015 | |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding [Roll Forward] | |||
Balance at beginning | 11,465,000 | 8,105,000 | 7,060,000 |
Granted | 710,000 | 5,875,000 | 7,320,000 |
Exercised | (1,415,000) | (6,250,000) | |
Cancelled/expired | (150,000) | (1,100,000) | (25,000) |
Balance at end | 12,025,000 | 11,465,000 | 8,105,000 |
Number of options currently exercisable | 5,765,000 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Weighted Average Exercise Price [Abstract] | |||
Balance at beginning | CAD 0.69 | CAD 0.69 | CAD 0.19 |
Granted | 0.96 | 0.62 | 0.76 |
Exercised | 0.38 | 0.20 | |
Cancelled/expired | 0.62 | 0.75 | 0.30 |
Balance at end | CAD 0.71 | 0.69 | CAD 0.69 |
Number of options currently exercisable | CAD 0.75 |
COMMON STOCK (Details 1)
COMMON STOCK (Details 1) - CAD / shares | 6 Months Ended | 12 Months Ended | |
Dec. 31, 2016 | Jun. 30, 2016 | Jun. 30, 2015 | |
Equity [Abstract] | |||
Fair value per option granted during the period (C$) | CAD 0.50 | CAD 0.30 | CAD 0.42 |
Risk-free interest rate | 0.75% | 0.75% | 0.25% |
Expected dividend yield | 0.00% | 0.00% | 0.00% |
Expected stock price volatility (historical basis) | 97.20% | 98.20% | 105.60% |
Expected option life in years | 2 years 1 month 24 days | 2 years 1 month 24 days | 2 years 1 month 24 days |
COMMON STOCK (Details 2)
COMMON STOCK (Details 2) - USD ($) $ in Thousands | 6 Months Ended | 12 Months Ended |
Dec. 31, 2016 | Jun. 30, 2016 | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ||
Number of outstanding | 12,025,000 | 11,465,000 |
Aggregate Intrinsic Value | $ 928 | $ 1,988 |
Number of exercisable | 8,602,500 | 5,765,000 |
Aggregate Intrinsic Value | $ 576 | $ 650 |
Exercise Price C$0.50 [Member] | ||
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ||
Expiry date | May 9, 2017 | May 9, 2017 |
Number of outstanding | 370,000 | 370,000 |
Aggregate Intrinsic Value | $ 93 | $ 133 |
Number of exercisable | 370,000 | 370,000 |
Aggregate Intrinsic Value | $ 93 | $ 133 |
Exercise Price C$0.62 [Member] | ||
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ||
Expiry date | Jan. 19, 2021 | Jan. 19, 2021 |
Number of outstanding | 5,425,000 | 5,575,000 |
Aggregate Intrinsic Value | $ 705 | $ 1,338 |
Number of exercisable | 2,712,500 | |
Aggregate Intrinsic Value | $ 353 | |
Exercise Price C$0.65 [Member] | ||
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ||
Expiry date | May 20, 2017 | May 20, 2017 |
Number of outstanding | 50,000 | 50,000 |
Aggregate Intrinsic Value | $ 5 | $ 11 |
Number of exercisable | 50,000 | 50,000 |
Aggregate Intrinsic Value | $ 5 | $ 11 |
Exercise Price C$0.65 [Member] | ||
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ||
Expiry date | Jul. 28, 2017 | Jul. 28, 2017 |
Number of outstanding | 1,250,000 | 1,250,000 |
Aggregate Intrinsic Value | $ 125 | $ 263 |
Number of exercisable | 1,250,000 | 1,250,000 |
Aggregate Intrinsic Value | $ 125 | $ 263 |
Exercise Price C$0.76 [Member] | ||
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ||
Expiry date | Sep. 2, 2017 | Sep. 2, 2017 |
Number of outstanding | 500,000 | 500,000 |
Aggregate Intrinsic Value | $ 50 | |
Number of exercisable | 500,000 | 500,000 |
Aggregate Intrinsic Value | $ 50 | |
Exercise Price C$0.80 [Member] | ||
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ||
Expiry date | Dec. 22, 2017 | Dec. 22, 2017 |
Number of outstanding | 3,220,000 | 3,220,000 |
Aggregate Intrinsic Value | $ 193 | |
Number of exercisable | 3,220,000 | 3,220,000 |
Aggregate Intrinsic Value | $ 193 | |
Exercise Price C$0.94 [Member] | ||
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ||
Expiry date | Apr. 28, 2018 | Apr. 28, 2018 |
Number of outstanding | 500,000 | 500,000 |
Aggregate Intrinsic Value | ||
Number of exercisable | 500,000 | 375,000 |
Aggregate Intrinsic Value | ||
Exercise Price C$0.96 [Member] | ||
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ||
Expiry date | Jul. 21, 2021 | |
Number of outstanding | 710,000 | |
Aggregate Intrinsic Value | ||
Number of exercisable | ||
Aggregate Intrinsic Value |
COMMON STOCK (Details 3)
COMMON STOCK (Details 3) - CAD / shares | 6 Months Ended | 12 Months Ended | ||
Dec. 31, 2016 | Jun. 30, 2016 | Jun. 30, 2015 | ||
Equity [Abstract] | ||||
Balance at beginning | 21,918,142 | 28,260,666 | 1,064,140 | |
Granted: | ||||
Warrants: November financing | 19,245,813 | |||
Warrants: March financing | 2,914,000 | |||
Agents' warrants: November financing | 205,304 | |||
Agents' warrants: November financing | 205,304 | |||
Agents' warrants: March financing | 182,910 | |||
Agents' advisory warrants | [1] | 750,000 | ||
Agents' sponsorship warrants | [2] | 250,000 | ||
ThyssenKrupp offtake agreement | [3] | 8,569,000 | ||
Lind Warrants | 3,125,000 | |||
January Private Placement | 9,074,835 | |||
Broker warrants: December Private Placement | 75,450 | |||
Advisory Warrants | [1] | 750,000 | ||
Sponsorship warrants | [2] | 250,000 | ||
Exercised | (3,447,137) | (12,549,309) | (5,125,805) | |
Expired | (4,114,353) | (7,068,500) | ||
Balance at end | 15,172,195 | 21,918,142 | 28,260,666 | |
Balance at beginning | CAD 0.75 | CAD 0.73 | CAD 0.25 | |
Granted: | ||||
Warrants: November financing | 0.65 | |||
Warrants: March financing | 1 | |||
Agents' warrants: November financing | 0.55 | |||
Agents' warrants: November financing | 0.65 | |||
Agents' warrants: March financing | 0.85 | |||
Agents' advisory warrants | [1] | 0.55 | ||
Agents' sponsorship warrants | [2] | 0.60 | ||
ThyssenKrupp offtake agreement | [3] | 0.67 | ||
Lind Warrants | 0.72 | |||
January Private Placement | 0.75 | |||
Broker warrants: December Private Placement | 0.75 | |||
Advisory Warrants | [1] | 0.65 | ||
Sponsorship warrants | [2] | 0.65 | ||
Exercised | 0.65 | 0.35 | ||
Expired | 0.67 | |||
Balance at end | CAD 0.79 | CAD 0.75 | CAD 0.73 | |
[1] | Pursuant to a financial services advisory agreement with Mackie Research Capital Corporation ("MRCC") the Company issued 500,000 advisory warrants on December 4, 2014 and 250,000 advisory warrants on January 14, 2015. Each advisory warrant entitled MRCC to purchase a unit of the Company at a price of C$0.55 each, on or before December 4, 2016. Each such unit consisted of one Common Share and one warrant exercisable at a price of C$0.65 per share until December 4, 2016. These units were exercised during the year ended June 30, 2016, resulting in the granting of these additional 750,000 warrants. | |||
[2] | Pursuant to a sponsorship agreement between MRCC and the Company in connection with the Company's graduation to the Toronto Stock Exchange, the Company issued 250,000 sponsorship warrants on January 14, 2015, entitling MRCC to purchase units of the Company at C$0.60 per unit until January 14, 2017. Each such unit consisted of one Common Share and one warrant exercisable at C$0.65 per share until January 14, 2017. These units were exercised during the year ended June 30, 2016, resulting in the granting of these additional 250,000 warrants. | |||
[3] | The Company entered into an offtake agreement with ThyssenKrupp Metallurgical Products GmbH ("ThyssenKrupp") whereby ThyssenKrupp will purchase 50% of future ferroniobium production up to 3,750 metric tons from the Elk Creek property for an initial term of ten years from commencement of commercial production which may be extended by mutual agreement of the parties. The Agreement presupposes the Company obtaining project financing, obtaining all necessary approvals and constructing a mine at Elk Creek. Pursuant to the agreement, the Company granted ThyssenKrupp a non-transferable warrant to acquire 8,569,000 common shares of the Company at an exercise price of C$0.67 per common share, which expired on December 12, 2015. |
COMMON STOCK (Details 4)
COMMON STOCK (Details 4) - CAD / shares | 6 Months Ended | 12 Months Ended | |
Dec. 31, 2016 | Jun. 30, 2016 | Jun. 30, 2015 | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward] | |||
Balance at beginning | 21,918,142 | 28,260,666 | 1,064,140 |
Granted | |||
Exercised | (3,447,137) | (12,549,309) | (5,125,805) |
Expired | (4,114,353) | (7,068,500) | |
Balance at end | 15,172,195 | 21,918,142 | 28,260,666 |
Share Based Compensation Arrangement By Share Based Payment Award Other Than Options Outstanding Weighted Average Exercise Price [Roll Forward] | |||
Balance, at beginning | CAD 0.74 | ||
Granted | |||
Exercised | 0.65 | ||
Expired | 0.65 | ||
Balance, at end | CAD 0.79 | CAD 0.74 |
COMMON STOCK (Details 5)
COMMON STOCK (Details 5) - CAD / shares | 6 Months Ended | 12 Months Ended | ||
Dec. 31, 2016 | Jun. 30, 2016 | Jun. 30, 2015 | Jun. 30, 2014 | |
Class of Warrant or Right [Line Items] | ||||
Number | 15,172,195 | 21,918,142 | 28,260,666 | 1,064,140 |
Exercise Price | CAD 0.79 | CAD 0.75 | CAD 0.73 | CAD 0.25 |
Exercise Price C$0.85 [Member] | ||||
Class of Warrant or Right [Line Items] | ||||
Number | 182,910 | 182,910 | ||
Exercise Price | CAD 0.85 | CAD 0.85 | ||
Expiry Date | Feb. 27, 2017 | Feb. 27, 2017 | ||
Exercise Price C$1.00 [Member] | ||||
Class of Warrant or Right [Line Items] | ||||
Number | 2,714,000 | 2,714,000 | ||
Exercise Price | CAD 1 | CAD 1 | ||
Expiry Date | Feb. 27, 2017 | Feb. 27, 2017 | ||
Exercise Price C$0.72 [Member] | ||||
Class of Warrant or Right [Line Items] | ||||
Number | 3,125,000 | 3,125,000 | ||
Exercise Price | CAD 0.72 | CAD 0.72 | ||
Expiry Date | Dec. 22, 2018 | Dec. 22, 2018 | ||
Exercise Price C$0.75 [Member] | ||||
Class of Warrant or Right [Line Items] | ||||
Number | 9,150,285 | 9,150,285 | ||
Exercise Price | CAD 0.75 | CAD 0.75 | ||
Expiry Date | Jan. 19, 2019 | Jan. 19, 2019 | ||
Exercise Price C$0.65 [Member] | ||||
Class of Warrant or Right [Line Items] | ||||
Number | 6,745,947 | |||
Exercise Price | CAD 0.65 | |||
Expiry Date | Nov. 10, 2016 |
COMMON STOCK (Details Narrative
COMMON STOCK (Details Narrative) $ in Thousands | Jan. 19, 2016USD ($)shares | Feb. 28, 2015USD ($)shares | Nov. 30, 2014USD ($)shares | Jun. 30, 2016USD ($) | Jun. 30, 2015USD ($)shares | Dec. 31, 2016CAD / shares | Jun. 30, 2016CAD / shares | Jan. 19, 2016CAD / shares | Jun. 30, 2015CAD / shares | Mar. 30, 2015shares | Feb. 28, 2015CAD / shares | Jan. 19, 2015shares | Nov. 30, 2014CAD / shares | Jun. 30, 2014CAD / shares |
Warrant exercise price (in dollars per share) | CAD / shares | CAD 0.79 | CAD 0.75 | CAD 0.73 | CAD 0.25 | ||||||||||
Risk free interest rate | 1.25% | |||||||||||||
Expected dividend yield | 0.00% | |||||||||||||
Volatility | 88.63% | |||||||||||||
Expected life | 2 years 6 months | |||||||||||||
Stock issuance cost | $ | $ 151 | $ 521 | ||||||||||||
Mackie Research Capital Corporation [Member] | ||||||||||||||
Number of units issued | 205,304 | |||||||||||||
Unit price (in dollars per unit) | CAD / shares | CAD 0.55 | |||||||||||||
Percentage of cash commission on brokered portion of private placement | 6.50% | 6.50% | ||||||||||||
Cash commission | $ | $ 112 | |||||||||||||
Common Stock [Member] | ||||||||||||||
Number of shares issued | 19,245,813 | |||||||||||||
Common Stock [Member] | Mackie Research Capital Corporation [Member] | ||||||||||||||
Number of shares issued | 1 | |||||||||||||
Broker Warrant [Member] | Mackie Research Capital Corporation [Member] | ||||||||||||||
Warrant exercise price (in dollars per share) | CAD / shares | CAD 0.85 | |||||||||||||
Number of shares issued upon services | 182,910 | |||||||||||||
Fair value warrant | $ | $ 79 | |||||||||||||
Risk free interest rate | 1.25% | |||||||||||||
Expected dividend yield | 0.00% | |||||||||||||
Volatility | 100.95% | |||||||||||||
Expected life | 2 years | |||||||||||||
Stock issuance cost | $ | $ 230 | |||||||||||||
2014 Warrants Unit [Member] | Mackie Research Capital Corporation [Member] | ||||||||||||||
Number of shares issued | 1 | |||||||||||||
Warrant exercise price (in dollars per share) | CAD / shares | 0.65 | |||||||||||||
Fair value warrant | $ | $ 108 | |||||||||||||
Risk free interest rate | 1.25% | |||||||||||||
Expected dividend yield | 0.00% | |||||||||||||
Volatility | 108.90% | |||||||||||||
Expected life | 2 years | |||||||||||||
Stock issuance cost | $ | $ 300 | |||||||||||||
Private Placement [Member] | ||||||||||||||
Number of units issued | 9,074,835 | |||||||||||||
Unit price (in dollars per unit) | CAD / shares | CAD 0.57 | |||||||||||||
Number of units issued,value | $ | $ 3,750 | |||||||||||||
Private Placement [Member] | Common Stock [Member] | ||||||||||||||
Number of shares issued | 1 | |||||||||||||
Private Placement [Member] | Private Placement Warrant [Member] | ||||||||||||||
Number of shares issued | 1 | |||||||||||||
Number of shares called by each warrant | 1 | |||||||||||||
Warrant term | 3 years | |||||||||||||
Warrant exercise price (in dollars per share) | CAD / shares | 0.75 | |||||||||||||
Private Placement [Member] | Broker Warrant [Member] | ||||||||||||||
Number of shares called by each warrant | 1 | |||||||||||||
Warrant term | 3 years | |||||||||||||
Warrant exercise price (in dollars per share) | CAD / shares | 0.75 | |||||||||||||
Number of shares issued upon services | 75,450 | |||||||||||||
Fair value warrant | $ | $ 15 | |||||||||||||
Risk free interest rate | 0.75% | |||||||||||||
Expected dividend yield | 0.00% | |||||||||||||
Volatility | 100.13% | |||||||||||||
Expected life | 3 years | |||||||||||||
Partially Brokered & Partially Non-Brokered Private Placement [Member] | Common Stock [Member] | ||||||||||||||
Number of shares issued | 1 | 1 | ||||||||||||
Partially Brokered & Partially Non-Brokered Private Placement [Member] | 2015 Special Warrants [Member] | ||||||||||||||
Number of shares issued | 2,914,000 | |||||||||||||
Warrant exercise price (in dollars per share) | CAD / shares | CAD 0.75 | |||||||||||||
Warrant aggregate gross proceeds | $ | $ 1,722 | |||||||||||||
Description of warrant rights | Each 2015 Warrant is exchangeable at any time after the closing date of the offering into one unit of the Company | |||||||||||||
Number of shares deemed exercised | 2,914,000 | |||||||||||||
Partially Brokered & Partially Non-Brokered Private Placement [Member] | 2015 Warrants Unit [Member] | ||||||||||||||
Number of shares issued | 1 | |||||||||||||
Warrant exercise price (in dollars per share) | CAD / shares | CAD 1 | |||||||||||||
Partially Brokered & Partially Non-Brokered Private Placement [Member] | 2014 Special Warrants [Member] | ||||||||||||||
Number of shares issued | 19,245,813 | |||||||||||||
Warrant exercise price (in dollars per share) | CAD / shares | 0.55 | |||||||||||||
Warrant aggregate gross proceeds | $ | $ 8,846 | |||||||||||||
Description of warrant rights | Each 2014 Special Warrant is exchangeable at any time after the closing date of the offering into one unit of the Company | |||||||||||||
Number of shares deemed exercised | 19,245,813 | |||||||||||||
Partially Brokered & Partially Non-Brokered Private Placement [Member] | 2014 Warrants Unit [Member] | ||||||||||||||
Number of shares issued | 1 | |||||||||||||
Warrant exercise price (in dollars per share) | CAD / shares | CAD 0.65 |
COMMON STOCK (Details Narrati53
COMMON STOCK (Details Narrative 1) - Stock Option Plan [Member] $ in Thousands | 6 Months Ended | 12 Months Ended | ||
Dec. 31, 2016USD ($)shares | Jun. 30, 2016USD ($)shares | Dec. 31, 2016CAD / shares | Jun. 30, 2016CAD / shares | |
Percentage of maximum outstanding stock issued under plan | 10.00% | 10.00% | ||
Plan award term | 10 years | 5 years | ||
Share price (in dollars per share) | CAD / shares | CAD 0.86 | |||
Number of vested and exercisable options | shares | 4,382,500 | 5,390,000 | ||
Total intrinsic value options exercised | $ | $ 322 | |||
Unrecognized compensation cost | $ | $ 160 | $ 328 | ||
Unrecognized compensation cost weighted average period | 1 year | 1 year | ||
Canada [Member] | ||||
Share price (in dollars per share) | CAD / shares | CAD 0.75 |
COMMON STOCK (Details Narrati54
COMMON STOCK (Details Narrative 2) $ in Thousands | Jun. 30, 2016CAD / sharesshares | May 17, 2016shares | Apr. 20, 2016USD ($)shares | Jan. 14, 2015CAD / sharesshares | Dec. 04, 2014shares | Nov. 30, 2014CAD / sharesshares | Dec. 31, 2016USD ($) | Dec. 31, 2015USD ($) | Dec. 31, 2016USD ($)shares | Dec. 31, 2015USD ($) | Jun. 30, 2016USD ($)shares | Jun. 30, 2015USD ($)shares | Dec. 31, 2016CAD / shares | Apr. 20, 2016CAD / sharesshares | Jun. 30, 2015CAD / shares | Jun. 30, 2014CAD / shares |
Warrant exercise price (in dollars per share) | CAD / shares | CAD 0.75 | CAD 0.79 | CAD 0.73 | CAD 0.25 | ||||||||||||
Number of warrants expired | (4,114,353) | (7,068,500) | ||||||||||||||
Other operating expenses | $ | $ 175 | $ 265 | $ 310 | $ 491 | $ 1,847 | $ 3,178 | ||||||||||
Common Stock [Member] | ||||||||||||||||
Number of shares issued | 19,245,813 | |||||||||||||||
Mackie Research Capital Corporation [Member] | ||||||||||||||||
Unit price (in dollars per unit) | CAD / shares | CAD 0.55 | |||||||||||||||
Mackie Research Capital Corporation [Member] | Common Stock [Member] | ||||||||||||||||
Number of shares issued | 1 | |||||||||||||||
Advisory Agreement [Member] | Mackie Research Capital Corporation [Member] | First Advisory Warrants [Member] | ||||||||||||||||
Number of shares issued | 500,000 | |||||||||||||||
Advisory Agreement [Member] | Mackie Research Capital Corporation [Member] | Second Advisory Warrants [Member] | ||||||||||||||||
Number of shares issued | 250,000 | |||||||||||||||
Advisory Agreement [Member] | Mackie Research Capital Corporation [Member] | Advisory Warrants [Member] | ||||||||||||||||
Number of shares issued | 750,000 | |||||||||||||||
Unit price (in dollars per unit) | CAD / shares | CAD 0.55 | |||||||||||||||
Advisory Agreement [Member] | Mackie Research Capital Corporation [Member] | Common Stock [Member] | ||||||||||||||||
Number of shares issued | 1 | |||||||||||||||
Advisory Agreement [Member] | Mackie Research Capital Corporation [Member] | Warrants Unit [Member] | ||||||||||||||||
Number of shares issued | 1 | |||||||||||||||
Warrant exercise price (in dollars per share) | CAD / shares | CAD 0.65 | |||||||||||||||
Sponsorship Agreement [Member] | Mackie Research Capital Corporation [Member] | ||||||||||||||||
Unit price (in dollars per unit) | CAD / shares | CAD 0.60 | |||||||||||||||
Sponsorship Agreement [Member] | Mackie Research Capital Corporation [Member] | Common Stock [Member] | ||||||||||||||||
Number of shares issued | 1 | |||||||||||||||
Sponsorship Agreement [Member] | Mackie Research Capital Corporation [Member] | Warrants Unit [Member] | ||||||||||||||||
Number of shares issued | 1 | |||||||||||||||
Warrant exercise price (in dollars per share) | CAD / shares | CAD 0.65 | |||||||||||||||
Sponsorship Agreement [Member] | Mackie Research Capital Corporation [Member] | Sponsorship Warrants [Member] | ||||||||||||||||
Number of shares issued | 250,000 | |||||||||||||||
Sponsorship Agreement [Member] | Mackie Research Capital Corporation [Member] | Additional Sponsorship Warrants [Member] | ||||||||||||||||
Number of shares issued | 250,000 | |||||||||||||||
Offtake Agreement [Member] | ThyssenKrupp Metallurgical Products GmbH [Member] | ||||||||||||||||
Description of agreement terms | ThyssenKrupp will purchase 50% of future ferroniobium production up to 3,750 metric tons from the Elk Creek property for an initial term of ten years from commencement of commercial production which may be extended by mutual agreement of the parties. | |||||||||||||||
Offtake Agreement [Member] | ThyssenKrupp Metallurgical Products GmbH [Member] | Non-Transferable Warrant Due December 12, 2015 [Member] | ||||||||||||||||
Number of shares issued | 8,569,000 | |||||||||||||||
Warrant exercise price (in dollars per share) | CAD / shares | CAD 0.67 | |||||||||||||||
WarrantExerciseProgramMember | ||||||||||||||||
Number of shares issued | 8,210,394 | |||||||||||||||
WarrantExerciseProgramMember | November 2016 Warrants Due November 10, 2016 [Member] | ||||||||||||||||
Warrant exercise price (in dollars per share) | CAD / shares | CAD 0.65 | |||||||||||||||
Warrant aggregate gross proceeds | $ | $ 4,807 | |||||||||||||||
Number of warrants expired | 7,394,822 | |||||||||||||||
Percentage of warrants outstanding | 47.60% | |||||||||||||||
Percentage of eligible to participate | 66.00% | |||||||||||||||
Number of shares called by each warrant | 1.11029 | |||||||||||||||
Number of shares called by each warrant (incentive portion) | 0.11029 | |||||||||||||||
Other operating expenses | $ | $ 535 |
RELATED PARTY TRANSACTIONS AN55
RELATED PARTY TRANSACTIONS AND BALANCES (Details Narrative) - USD ($) $ in Thousands | Jan. 13, 2016 | Dec. 02, 2015 | Jul. 02, 2015 | Jul. 02, 2015 | Jun. 17, 2015 | Dec. 31, 2016 | Jun. 30, 2016 | Jun. 30, 2015 | Jan. 16, 2017 |
Related party loan | $ 1,000 | $ 1,000 | $ 1,500 | ||||||
Related party debt repayment | 1,100 | ||||||||
Mark A. Smith [Member] | |||||||||
Interest payable | 53 | ||||||||
Mark A. Smith [Member] | Non-Revolving Credit Facility Agreement [Member] | Subsequent Event [Member] | 10% Non-Revolving Credit Facility Due January 16, 2018 [Member] | |||||||||
Credit facility maximum borrowing capacity | $ 2,000 | ||||||||
Mark A. Smith [Member] | 10% One-Year Term Loan [Member] | |||||||||
Related party loan | $ 1,500 | ||||||||
Description of fees associated with providing collateral for the credit facility | Secured by the Companys assets pursuant to a concurrently executed general security agreement, and is subject to both a 2.5% establishment fee and 2.5% prepayment fee. | ||||||||
Related party debt repayment | $ 500 | ||||||||
Mark A. Smith [Member] | Smith Loans [Member] | Non-Revolving Credit Facility Agreement [Member] | |||||||||
Related party loan | $ 2,000 | $ 2,000 | $ 1,000 | ||||||
Description of fees associated with providing collateral for the credit facility | Secured by the Companys assets pursuant to a concurrently executed general security agreement, and is subject to both a 2.5% establishment fee and 2.5% prepayment fee. | ||||||||
Related party debt repayment | $ 1,100 | ||||||||
Mark A. Smith [Member] | Smith Loans [Member] | General Security Agreement [Member] | |||||||||
Description of fees associated with providing collateral for the credit facility | Secured by the Companys assets pursuant to a concurrently executed general security agreement, and is subject to both a 2.5% establishment fee and 2.5% prepayment fee. | ||||||||
Mark A. Smith [Member] | Smith Loans [Member] | General Security Agreement [Member] | Accounts Payable and Accrued Liabilities [Member] | |||||||||
Related party loan | $ 107 | ||||||||
Mark A. Smith [Member] | Non Revolving Line Of Credit [Member] | |||||||||
Related party debt draws | $ 500 | ||||||||
Credit facility interest rate (in dollars per share) | 10.00% | 10.00% | |||||||
Mark A. Smith [Member] | Credit Facility [Member] | |||||||||
Related party debt draws | $ 100 |
EXPLORATION EXPENDITURES (Detai
EXPLORATION EXPENDITURES (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | 12 Months Ended | |||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | Jun. 30, 2016 | Jun. 30, 2015 | |
Total | $ 2,397 | $ 432 | $ 4,367 | $ 2,396 | $ 4,719 | $ 18,051 |
Technical Studies and Engineering [Member] | ||||||
Total | 1,551 | 54 | 1,988 | 1,470 | 2,671 | 5,892 |
Field Management and Other [Member] | ||||||
Total | 399 | 133 | 633 | 301 | 940 | 1,791 |
Drilling [Member] | ||||||
Total | 281 | 197 | 4,976 | |||
Metallurgical Development [Member] | ||||||
Total | 419 | 25 | 1,691 | 110 | 844 | 4,506 |
Geologists and Field Staff [Member] | ||||||
Total | $ 28 | $ 220 | $ 55 | $ 234 | $ 67 | $ 886 |
INCOME TAXES (Details)
INCOME TAXES (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | 12 Months Ended | |||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | Jun. 30, 2016 | Jun. 30, 2015 | |
Total | $ (3,547) | $ (2,836) | $ (6,322) | $ (5,643) | $ (11,408) | $ (25,870) |
Canada Tax Authority [Member] | ||||||
Total | 4,542 | 7,365 | ||||
United States Tax Authority [Member] | ||||||
Total | $ 6,866 | $ 18,505 |
INCOME TAXES (Details 1)
INCOME TAXES (Details 1) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | 12 Months Ended | |||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | Jun. 30, 2016 | Jun. 30, 2015 | |
Income Tax Disclosure [Abstract] | ||||||
Current taxes | ||||||
Deferred taxes: | ||||||
Canada | ||||||
United States | (2,755) | |||||
Total deferred tax benefit | (2,755) | |||||
Total income tax benefit | $ (2,755) |
INCOME TAXES (Details 2)
INCOME TAXES (Details 2) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | 12 Months Ended | |||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | Jun. 30, 2016 | Jun. 30, 2015 | |
Income Tax Disclosure [Abstract] | ||||||
Loss before income taxes | $ (3,547) | $ (2,836) | $ (6,322) | $ (5,643) | $ (11,408) | $ (25,870) |
Combined federal and provincial statutory income tax rate | 26.00% | 26.00% | ||||
Income tax recovery at statutory tax rates | $ 2,966 | $ 6,726 | ||||
Foreign rate differential | 893 | 2,405 | ||||
Warrant expense | (399) | |||||
Share based compensation | (270) | (651) | ||||
Change in estimates related to prior years | (635) | |||||
Change in valuation allowance | (2,169) | (5,725) | ||||
Other | (386) | |||||
Income tax benefit | $ (2,755) |
INCOME TAXES (Details 3)
INCOME TAXES (Details 3) - USD ($) $ in Thousands | Jun. 30, 2016 | Jun. 30, 2015 |
Deferred tax assets | ||
Mineral interest | $ 6,555 | $ 4,963 |
Net operating losses available for future periods | 3,951 | 3,312 |
Other | 144 | 206 |
Total deferred tax assets | 10,650 | 8,481 |
Valuation allowance | (10,650) | (8,481) |
Net deferred tax assets |
INCOME TAXES (Details Narrativ
INCOME TAXES (Details Narrative) - USD ($) $ in Thousands | 12 Months Ended | |
Jun. 30, 2016 | Jun. 30, 2015 | |
Income Tax Disclosure [Abstract] | ||
Decreased in valuation allowance | $ 1,783 | $ 1,996 |
Net operating loss | $ 13,625 | $ 12,453 |
FAIR VALUE MEASUREMENTS (Detail
FAIR VALUE MEASUREMENTS (Details) - USD ($) $ in Thousands | Dec. 31, 2016 | Jun. 30, 2016 | Jun. 30, 2015 | Jun. 30, 2014 |
Level 3 [Member] | ||||
Liabilities: | ||||
Convertible debt | $ 5,000 | $ 6,321 | ||
Fair Value, Measurements, Recurring [Member] | ||||
Assets: | ||||
Cash and cash equivalents | 729 | 4,412 | 753 | |
Available for sale securities | 37 | 32 | 46 | |
Total | 766 | 4,444 | 799 | |
Liabilities: | ||||
Convertible debt | 4,827 | 5,991 | ||
Derivative liability, convertible debt | 173 | 330 | ||
Total | 5,000 | 6,321 | ||
Fair Value, Measurements, Recurring [Member] | Level 1 [Member] | ||||
Assets: | ||||
Cash and cash equivalents | 729 | 4,412 | 753 | |
Available for sale securities | 37 | 32 | 46 | |
Total | 766 | 4,444 | 799 | |
Liabilities: | ||||
Convertible debt | ||||
Derivative liability, convertible debt | ||||
Total | ||||
Fair Value, Measurements, Recurring [Member] | Level 2 [Member] | ||||
Assets: | ||||
Cash and cash equivalents | ||||
Available for sale securities | ||||
Total | ||||
Liabilities: | ||||
Convertible debt | ||||
Derivative liability, convertible debt | ||||
Total | ||||
Fair Value, Measurements, Recurring [Member] | Level 3 [Member] | ||||
Assets: | ||||
Cash and cash equivalents | ||||
Available for sale securities | ||||
Total | ||||
Liabilities: | ||||
Convertible debt | 4,827 | 5,991 | ||
Derivative liability, convertible debt | 173 | 330 | ||
Total | $ 5,000 | $ 6,321 |
FAIR VALUE MEASUREMENTS (Deta63
FAIR VALUE MEASUREMENTS (Details 1) | 12 Months Ended |
Jun. 30, 2016 | |
Fair Value Disclosures [Abstract] | |
Risk-free interest rate | 1.25% |
Expected dividend yield | 0.00% |
Expected stock price volatility | 88.63% |
Expected option life in years | 2 years 6 months |
FAIR VALUE MEASUREMENTS (Deta64
FAIR VALUE MEASUREMENTS (Details 2) - Level 3 [Member] - USD ($) $ in Thousands | 6 Months Ended | 12 Months Ended | |
Dec. 31, 2016 | Jun. 30, 2016 | Jun. 30, 2015 | |
Debt Instrument, Fair Value Disclosure [Roll Forward] | |||
Beginning balance | $ 6,321 | ||
Convertible securities closings | 4,860 | ||
Conversions to equity | (983) | (638) | |
Realized and unrealized losses | (338) | 2,099 | |
Ending balance | $ 5,000 | $ 6,321 |
FAIR VALUE MEASUREMENTS (Deta65
FAIR VALUE MEASUREMENTS (Details Narrative) | 12 Months Ended |
Jun. 30, 2016 | |
Defined Benefit Plan Disclosure [Line Items] | |
Expected return | 0.00% |
Level 3 [Member] | Unsecured Convertible Promissory Notes [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
Expected return | 51.06% |
Description of expected return | A 15% decrease (increase) in the expected return would result in an increase (decrease) to fair value of $94, or approximately 2%. |
COMMITMENTS AND CONTINGENCIES66
COMMITMENTS AND CONTINGENCIES (Details) $ in Thousands | Jun. 30, 2016USD ($) |
Debt | |
Payments due by period, Less than 1 year | $ 1,214 |
Payments due by period, 1-3 years | 6,296 |
Payments due by period, 4-5 years | |
Payments due by period, After 5 years | |
Total | 7,510 |
Operating leases | |
Payments due by period, Less than 1 year | 207 |
Payments due by period, 1-3 years | 123 |
Payments due by period, 4-5 years | 19 |
Payments due by period, After 5 years | |
Total | 349 |
Total contractual obligations | |
Payments due by period, Less than 1 year | 1,421 |
Payments due by period, 1-3 years | 6,419 |
Payments due by period, 4-5 years | 19 |
Payments due by period, After 5 years | |
Total | $ 7,859 |
COMMITMENTS AND CONTINGENCIES67
COMMITMENTS AND CONTINGENCIES (Details Narrative) - USD ($) $ in Thousands | Jul. 02, 2015 | Apr. 30, 2015 |
Northeast Minerals [Member] | Third Party [Member] | Victory Mines Limited [Member] | ||
Number of common shares sold | 3,750,000 | |
Northeast Minerals [Member] | Exploration Rights [Member] | Third Party [Member] | ||
Proceeds from sale of intangible assets | $ 0 | |
Tait Lake Option [Member] | Kenora Mining Division, Ontario [Member] | ||
Proceeds from sale of option | $ 9 |
SUBSEQUENT EVENTS (Details Narr
SUBSEQUENT EVENTS (Details Narrative) $ in Thousands | Jan. 30, 2017USD ($) | Jan. 27, 2017USD ($)shares | Jan. 16, 2017USD ($) | Jan. 19, 2016shares | Jun. 30, 2015CAD / sharesshares | Jan. 27, 2017CAD / sharesshares | Jan. 18, 2017USD ($) | Dec. 31, 2016CAD / shares | Jun. 30, 2016CAD / shares | Jun. 30, 2014CAD / shares |
Warrant exercise price (in dollars per share) | CAD / shares | CAD 0.73 | CAD 0.79 | CAD 0.75 | CAD 0.25 | ||||||
Common Stock [Member] | ||||||||||
Number of shares included in per unit | 19,245,813 | |||||||||
Non-Brokered Private Placement [Member] | Common Stock [Member] | ||||||||||
Number of shares included in per unit | 1 | |||||||||
Subsequent Event [Member] | Non-Brokered Private Placement [Member] | ||||||||||
Maximum number of units issued | 2,857,143 | |||||||||
Subsequent Event [Member] | Non-Brokered Private Placement [Member] | Common Stock [Member] | ||||||||||
Number of shares included in per unit | 1 | |||||||||
Subsequent Event [Member] | Non-Brokered Private Placement [Member] | Warrant [Member] | ||||||||||
Number of shares included in per unit | 1 | |||||||||
Number of shares called by each warrant | 1 | |||||||||
Warrant term | 36 months | |||||||||
Warrant exercise price (in dollars per share) | CAD / shares | CAD 0.85 | |||||||||
Subsequent Event [Member] | Non-Brokered Private Placement [Member] | Canada [Member] | ||||||||||
Maximum gross proceeds from private placement | $ | $ 2,000 | |||||||||
Unit price (in dollars per unit) | CAD / shares | CAD 0.70 | |||||||||
Revised maximum gross proceeds from private placement | $ | $ 2,500 | |||||||||
Subsequent Event [Member] | Non-Revolving Credit Facility Agreement [Member] | Mr.Mark A. Smith [Member] | 10% Non-Revolving Credit Facility Due January 16, 2018 [Member] | ||||||||||
Credit facility maximum borrowing capacity | $ | $ 2,000 | |||||||||
Establishment fee | 2.50% | |||||||||
Description of collateral | Secured by all of the Company’s assets pursuant to a general security agreement between the Company and Mr. Smith dated June 17, 2015. | |||||||||
Credit facility drawdown | $ | $ 175 |