Zhen Ding Resources (RBTK) 10-Q 19 Aug 15 2015 Q2 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	6 Months Ended
	Jun. 30, 2015	Aug. 14, 2015
Document And Entity Information
Entity Registrant Name	ZHEN DING RESOURCES INC.
Entity Central Index Key	1,594,204
Document Type	10-Q
Document Period End Date	Jun. 30, 2015
Amendment Flag	false
Current Fiscal Year End Date	--12-31
Is Entity a Well-known Seasoned Issuer?	No
Is Entity a Voluntary Filer?	No
Is Entity's Reporting Status Current?	Yes
Entity Filer Category	Smaller Reporting Company
Entity Common Stock, Shares Outstanding		63,968,798
Document Fiscal Period Focus	Q2
Document Fiscal Year Focus	2,015

Consolidated Balance Sheets (Un

Consolidated Balance Sheets (Unaudited) - USD ($)	Jun. 30, 2015	Dec. 31, 2014
Current Assets:
Cash and cash equivalents	$ 23,712	$ 8,199
Account receivables, net of allowance for doubtful accounts	100,643	100,113
VAT receivables	175,533	174,896
Prepaid expenses and other current assets	6,691	6,663
Total current assets	306,579	289,871
Property and equipment, net of accumulated depreciation	1,769,134	1,929,820
Construction in progress	175,069	174,318
Total assets	2,250,782	2,394,009
Current Liabilities:
Accounts payable and accrued liabilities	363,310	349,955
Accrued interest-related parties	2,185,235	1,885,345
Deferred revenues	164,283	163,779
Due to related parties	769,975	766,672
Short-term debt-related parties	3,952,269	3,825,349
Total current liabilities	7,435,072	6,991,100
Equity (Deficit):
Common stock, 150,000,000 authorized, $0.0001 par value, 63,968,798 shares issued and outstanding	6,397	6,397
Additional paid-in capital	12,762,875	12,762,875
Subscriptions receivables	(5,431)	(5,431)
Accumulated other comprehensive loss	(92,893)	(79,538)
Accumulated deficit	(16,180,182)	(15,760,155)
Total deficit attributable to Zhen Ding Resources Inc.	(3,509,234)	(3,075,852)
Non-controlling interests	(1,675,056)	(1,521,239)
Total equity (deficit)	(5,184,290)	(4,597,091)
Total liabilities and equity (deficit)	$ 2,250,782	$ 2,394,009

Consolidated Balance Sheets (Pa

Consolidated Balance Sheets (Parenthetical) - $ / shares	Jun. 30, 2015	Dec. 31, 2014
Statement of Financial Position [Abstract]
Common stock, par value	$ 0.0001	$ 0.0001
Common stock, Authorized	150,000,000	150,000,000
Common stock, Issued	63,968,798	63,968,798
Common stock, outstanding	63,968,798	63,968,798

Consolidated Statements of Oper

Consolidated Statements of Operations and Comprehensive Loss (Unaudited) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Income Statement [Abstract]
Revenues		$ 180,725		$ 180,725
Cost of revenues		(97,565)		(97,565)
Gross profit		83,160		83,160
Operating expenses:
General and administrative	$ 49,583	99,647	$ 111,617	222,181
Depreciation	85,447	82,670	170,447	165,993
Total operating expenses	135,030	182,317	282,064	388,174
Operating loss	(135,030)	(99,157)	(282,064)	(305,014)
Other expenses
Interest expense	$ (144,114)	(132,939)	$ (286,067)	(263,104)
Other expenses		(7)		(123)
Total expenses	$ (144,114)	(132,946)	$ (286,067)	(263,227)
Net loss	(279,144)	(232,103)	(568,131)	(568,241)
Loss attributable to non-controlling interests	72,704	60,863	148,104	157,425
Net loss attributable to Zhen Ding Resources Inc.	$ (206,440)	$ (171,240)	$ (420,027)	$ (410,816)
Basic and diluted loss per common share	$ 0	$ 0	$ (0.01)	$ (0.01)
Basic and diluted weighted average number of common shares outstanding	63,968,798	63,968,798	63,968,798	63,968,798
Comprehensive loss:
Net loss	$ (279,144)	$ (232,103)	$ (568,131)	$ (568,241)
Other comprehensive income (loss):
Foreign currency translation adjustments	(2,596)	(4,992)	(19,061)	24,777
Total comprehensive loss	(281,740)	(237,095)	(587,192)	(543,464)
Comprehensive loss attributable to non-controlling interest	73,477	62,361	153,817	149,992
Comprehensive loss attributable to Zhen Ding Resources Inc.	$ (208,263)	$ (174,734)	$ (433,375)	$ (393,472)

Consolidated Statements of Cash

Consolidated Statements of Cash Flows - USD ($)	6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014
Cash flows from operating activities
Net loss	$ (568,131)	$ (568,241)
Adjustment to reconcile net loss to net cash used in operating activities:
Depreciation	170,447	165,993
Change in operating assets and liabilities:
Accounts receivable	(98)	2,750
VAT receivables	$ 116	15,691
Prepaid expenses		(1,855)
Inventory		80,128
Accounts payables and accrued liabilities	$ 10,235	25,781
Accrued interest-related parties	$ 291,562	274,751
Deferred revenues		(81,400)
Net cash used in operating activities	$ (95,869)	(86,402)
Cash flows from investing activities
Payments for construction in progress		(77,921)
Net cash used in investing activities		(77,921)
Cash flows from financing activities
Net change in advance from related parties		(55,515)
Proceeds from borrowings on short-term debt - related parties	$ 111,379	215,940
Net cash provided by financing activities	111,379	160,425
Cash Effects of Foreign currency translation	3	(37)
Net change in cash	15,513	(3,935)
Cash and cash equivalents - beginning of the period	8,199	20,554
Cash and cash equivalents - end of the period	$ 23,712	$ 16,619
Supplement cash flows information:
Cash paid for interest
Cash paid for income tax
Non-cash investing and financing transactions:
Reclassification of construction in progress to fixed assets		$ 105,410
Non-cash effects of Foreign currency translation	$ (19,064)	$ 24,814

Description of Business

Description of Business	6 Months Ended
	Jun. 30, 2015
Description of Business [Abstract]
Description of Business	Note 1. Description of Business Zhen Ding Resources Inc. (formerly Robotech Inc.) (the “Company”, “Zhen Ding DE”, or “ZDRI”) was incorporated in State of Delaware in September 1996 and began its business activities in the field of development and marketing of specialized technological equipment. In early 2010, the business direction of the Company was changed to seek opportunities from this revival and the Company began to focus particularly on searching for companies engaged in the mining of gold, silver and copper. The Company entered into negotiations with Zhen Ding Resources Inc. (a Nevada entity) (“Zhen Ding NV”), which indirectly owns 70% of a Chinese Joint Venture entity, Zhen Ding Mining Co. Ltd. (“Zhen Ding JV” or “JXZD”). This indirect ownership is through 100% ownership of a California company Z&W, Zhen Ding Corporation (“Z&W CA”). During 2012 and 2013, total issued and outstanding common stock of Zhen Ding NV were tendered to the Company. On October 28, 2013, the Company dissolved Zhen Ding NV by merging it into the Company. The Company now through Zhen Ding NV’s wholly owned subsidiary, Z&W CA, participates in a joint venture with Jing Xian Xinzhou Gold Co., Ltd. (“Xinzhou Gold”), a company organized under the laws of the People’s Republic of China (“PRC”). The joint venture company JXZD is 70% held by the Company through Z&W CA who has the mineral exploration, mineral mining and gold mining rights to a property located in the southwestern part of Anhui province in China, near the town of Jing Xian. Xinzhou Gold, the other 30% partner of JXZD is the actual named owner of the various licenses used by JXZD and transferred all rights emanating from these licenses as part of the joint venture agreement between Z&W CA and Xinzhou Gold. The Company’s primary activity, through JXZD, is ore processing and production in China.

Summary of Significant Accounti

Summary of Significant Accounting Policies	6 Months Ended
	Jun. 30, 2015
Summary of Significant Accounting Policies [Abstract]
Summary of Significant Accounting Policies	Note 2. Summary of Significant Accounting Policies The summary of significant accounting policies presented below is designed to assist in understanding the Company’s financial statements. Such financial statements and accompanying notes are the representations of the Company’s management, which is responsible for the integrity and objectivity. These accounting policies conform to accounting principles generally accepted in the United States of America (“U.S. GAAP”) in all material respects and have been consistently applied in preparing the accompanying financial statements. Basis of Presentation The accompanying interim unaudited consolidated financial statements and related notes have been prepared in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”) for interim financial information, and in accordance with the rules and regulations of the United States Securities and Exchange Commission (the “SEC”) with respect to Form 10-Q and Form 10-K. Accordingly, they do not include all of the information and footnotes required by U.S. GAAP for complete financial statements. The interim unaudited consolidated financial statements furnished reflect all adjustments (consisting of normal recurring adjustments) which are, in the opinion of management, necessary for a fair statement of the results for the interim periods presented. Interim results are not necessarily indicative of the results for the full year. These interim unaudited consolidated financial statements should be read in conjunction with the consolidated financial statements of the Company for the year ended December 31, 2014 and notes thereto contained elsewhere in the Registration Statement on Form S-1 with the SEC on April 17, 2015. Principles of Consolidation The consolidated financial statements include the accounts of the Company, its wholly subsidiaries Z&W CA and its majority owned subsidiaries JXZD. All inter-company transactions and balances were eliminated. The portion of the income applicable to non-controlling interests in subsidiary undertakings is reflected in the consolidated statements of operations. Use of Estimates and Assumptions The Company prepares its financial statements in conformity with U.S. GAAP, which requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Foreign Currency Adjustments The Company's functional currency for all operations worldwide is the U.S. dollar. Nonmonetary assets and liabilities are translated at historical rates and monetary assets and liabilities are translated at exchange rates in effect at the end of the year. Income statement accounts are translated at average rates for the year. Any translation adjustments are reflected as a separate component of stockholders’ equity and have no effect on current earnings. Gains and losses resulting from foreign currency transactions are included in current results of operations. During the six months ended June 30, 2015 and 2014, the Company had aggregate foreign currency translation gains (losses) of $(19,061) and $24,777, respectively. Cash and Cash Equivalents The Company considers all highly liquid investments purchased with an original maturity of three months or less to be cash equivalents. Accounts Receivable Accounts receivable are stated at the amount the Company expects to collect. The Company maintains allowances for doubtful accounts for estimated losses resulting from the inability of its customers to make required payments. Management considers the following factors when determining the collectability of specific customer accounts: customer credit-worthiness, past transaction history with the customer, current economic industry trends, and changes in customer payment terms. Past due balances over 90 days and other higher risk amounts are reviewed individually for collectability. If the financial condition of the Company’s customers were to deteriorate, adversely affecting their ability to make payments, additional allowances would be required. Based on management’s assessment, the Company provides for estimated uncollectible amounts through a charge to earnings and a credit to a valuation allowance. Balances that remain outstanding after the Company has used reasonable collection efforts are written off through a charge to the valuation allowance and a credit to accounts receivable. As of June 30, 2015, the Company had allowances of $100,349 for doubtful accounts from certain sales that occurred in August and November 2014 but had not been collected. Inventories Finished goods, work-in-process, and raw materials are valued at the lower of average production cost and net realizable value. The Company records the costs of ore stacked on its leach pads and in process at its production sites as heap leach ore and working process inventories measured at the lower of cost and estimated net realizable value in inventory. These costs are charged to earnings and included in cost of revenues on the basis of tons of precious mineral sold. The estimates and assumptions used in the measurement of heap leach ore and work-in-process inventories include quantities of ore stacked on leach pads, recoverable tons of precious minerals contained in ore stacked on leach pads, recoverable tons of precious minerals in the mill processing circuits and the price expected to be realized when the tons of precious minerals are recovered. If these estimates or assumptions prove to be inaccurate, the Company could be required to write down the carrying amounts of its heap leach ore and work-in-process inventories, which would reduce the Company’s earnings and working capital. Property and Equipment Property and equipment is stated at the historical cost, less accumulated depreciation. Depreciation on property, plant and equipment is provided using the straight-line method over the estimated useful lives of the assets for both financial and income tax reporting purposes as follows: Buildings 20 years Motor vehicles 5 years Production and office Equipment 5 years Expenditures for normal repairs and maintenance are charged to expense as incurred. Significant renewals and improvements are capitalized. The costs and related accumulated depreciation of assets retired or otherwise disposed of are eliminated from the accounts, and any resulting gain or loss is recognized in the year of disposal. Impairment of Long-Lived Assets Management reviews long-lived assets for impairment whenever events or changes in circumstances indicate that the carrying amount may not be realizable or at a minimum annually during the fourth quarter of the year. If an evaluation is required, the estimated future undiscounted cash flows associated with the asset are compared to the asset’s carrying value to determine if an impairment of such asset is necessary. The effect of any impairment would be to expense the difference between the fair value of such asset and its carrying value. Income Taxes An asset and liability approach is used for financial accounting and reporting for income taxes. Deferred income taxes arise from temporary differences between income tax and financial reporting and principally relate to recognition of revenue and expenses in different periods for financial and tax accounting purposes and are measured using currently enacted tax rates and laws. In addition, a deferred tax asset can be generated by net operating loss carry forwards. If it is more likely than not that some portion or all of a deferred tax asset will not be realized, a valuation allowance is recognized. The Company has tax losses that may be applied against future taxable income. The potential tax benefit arising from these loss carryforwards are offset by a valuation allowance due to uncertainty of profitable operations in the future. Fair Values of Financial Instruments Management believes that the carrying amounts of the Company’s financial instruments, consisting primarily of cash and accounts payable, approximated their fair values as of June 30, 2015 and 2014, due to their short-term nature. Non-controlling Interest Non-controlling interests in the Company’s subsidiaries are reported as a component of equity, separate from the parent’s equity. Purchase or sale of equity interests that do not result in a change of control are accounted for as equity transactions. Results of operations attributable to the minority interest are included in our consolidated results of operations and, upon loss of control, the interest sold, as well as interest retained, if any, will be reported at fair value with any gain or loss recognized in earnings. Revenue Recognition Revenue is recognized when products are shipped, title and risk of loss is passed to the customers and collection is reasonably assured. Payments received prior to the satisfaction of above criteria are deferred. Basic and Diluted Earnings (Loss) Per Common Share The basic net loss per common share is computed by dividing the net loss by the weighted average number of common shares outstanding. Diluted net loss per common share is computed by dividing the net loss adjusted on an “as converted” basis, by the weighted average number of common shares outstanding plus potential dilutive securities. For all periods presented, there were no potentially dilutive securities outstanding. Subsequent Events The Company evaluated events subsequent to June 30, 2015 through the date the financial statements were issued for disclosure consideration. Recently Issued Accounting Pronouncements In April 2015, the FASB issued ASU 2015-03, “Simplifying the Presentation of Debt Issuance Costs.” ASU 2015-03 requires that debt issuance costs related to a recognized debt liability be presented in the balance sheet as a direct deduction from the carrying amount of that debt liability, consistent with debt discounts. The ASU is effective for annual periods beginning after December 15, 2015, and interim periods within those annual periods, early adoption is permitted. The Company is currently evaluating the effects of ASU 2015-03 on the consolidated financial statements.

Going Concern

Going Concern	6 Months Ended
	Jun. 30, 2015
Going Concern [Abstract]
Going Concern	Note 3. Going Concern These financial statements have been prepared on a going concern basis, which implies the Company will continue to meet its obligations and continue its operations for the next fiscal year. As of June 30, 2015, the Company had accumulated losses of $16,180,182 since inception and had a working capital deficit of $7,128,493. These factors raise substantial doubt regarding the Company’s ability to continue as a going concern. The continuation of the Company as a going concern is dependent upon financial support from its stockholders, the ability of the Company to obtain necessary equity financing to continue operations, and the attainment of profitable operations. Realization value may be substantially different from carrying values as shown and these financial statements do not include any adjustments to the recoverability and classification of recorded asset amounts and classification of liabilities that might be necessary should the Company be unable to continue as a going concern.

VAT Receivables

VAT Receivables	6 Months Ended
	Jun. 30, 2015
VAT Receivables [Abstract]
VAT Receivables	Note 4. VAT Receivables As of June 30, 2015 and December 31, 2014, the Company had VAT receivables of $175,533 and $174,896, respectively. The VAT receivables are the input tax of VAT to the purchased materials and property and equipment.

Property and Equipment

Property and Equipment	6 Months Ended
	Jun. 30, 2015
Property and Equipment [Abstract]
Property and Equipment	Note 5. Property and Equipment Property and equipment consisted of the following: June 30, December 31, 2015 2014 Buildings $ 1,364,641 $ 1,358,788 Motor Vehicles 65,649 65,368 Production and Office Equipment 1,387,500 1,379,793 Subtotal 2,817,790 2,803,949 Less: Accumulated Depreciation (1,048,656 ) (874,129 ) Property and Equipment, Net $ 1,769,134 $ 1,929,820 For the six months ended June 30, 2015 and 2014, the Company recorded depreciation expense of $170,447 and $165,993, respectively. In the PRC, land use rights, are the legal rights for an entity to use land for a fixed period of time. The PRC adopts dual land tenure system under which land ownership is independent of land use rights. The land is either owned by the state (“State Land”) or by rural collective economic organization (“Collective Land”). As of June 30, 2015, the Company does not have any land use rights agreements with the PRC for the office buildings owned by the Company. The Government owns the land where the Company’s buildings are located and allows the Company free usage of the land.

Construction in Progress

Construction in Progress	6 Months Ended
	Jun. 30, 2015
Construction in Progress [Abstract]
Construction in Progress	Note 6. Construction in Progress As of June 30, 2015 and December 31, 2014, the Company had construction in progress (“CIP”) of $175,069 and $174,318, respectively. The CIP is mainly comprised of funds spent by the Company to build an office building and a reservoir dam.

Related Party Transactions

Related Party Transactions	6 Months Ended
	Jun. 30, 2015
Related Party Transactions [Abstract]
Related Party Transactions	Note 7. Related Party Transactions Accounts payables As of June 30, 2015 and December 31, 2014, the Company had payables of $769,975 and $766,672, respectively, to Xinzhou Gold. These payables bear no interest, are unsecured and are due on demand. Short-term debt As of June 30, 2015 and December 31, 2014, the Company had short-term debt to related parties of $3,952,269 and $3,825,349, respectively. The details of the debts are described as below. At June 30, 2015: Annual Name Relationship to the Company Amount Interest Rate Start Date Maturity Wei De Gang CEO & Legal person of JXZD $ 2,934,352 15% May 31, 2012 On Demand Zhao Yan Ling Former office manager of JXZD, wife of Zhou Zhi Bin 17,136 15% January 1, 2012 On Demand Zhou Zhi Bin Former CEO & Legal person of JXZD 8,160 15% January 1, 2012 On Demand Tang Yong Hong Manager of JXZD 351,292 15% February 28, 2014 February 28, 2015 Yan Chun Yan Accountant of JXZD 5,076 15% August 31, 2014 August 31, 2015 Wen Mei Tu President & shareholder of ZDRI 214,965 12% Various Various Importation Tresor Plus Inc Shareholder of ZDRI 30,000 12% July 9, 2012 On Demand Tony Ng Man Kin Shareholder of ZDRI 25,000 12% February 27, 2013 February 27, 2014 Wei Tai Trading Inc. Shareholder of ZDRI 12,000 12% June 03, 2015 September 03, 2015 YYC Technologies Inc. Wen Mei Tu’s brother in law owned 6,000 Victor Sun Consultant & shareholder of ZDRI 3,923 0% January 1, 2013 On Demand Helen Chen President of Z&W CA 17,965 0% January 1, 2011 On Demand Zhou Qiang Office manager of JXZD 326,400 15% December 18, 2012 December 18, 2015 Total $ 3,952,269 At December 31, 2014: Annual Name Relationship to the Company Amount Interest Rate Start Date Maturity Wei De Gang CEO & Legal Person of JXZD $ 2,905,515 15% May 31, 2012 On Demand Zhao Yan Ling Former Office Manager in JXZD, wife of Zhou Zhi Bin 17,063 15% January 1, 2012 On Demand Zhou Zhi Bin Former CEO & Legal Person of JXZD 8,125 15% January 1, 2012 On Demand Tang Yong Hong Manager of JXZD 334,622 15% February 28, 2014 February 28, 2015 Yan Chun Yan Accountant of JXZD 3,171 15% August 31, 2014 August 31, 2015 Wen Mei Tu President & shareholder of ZDRI 154,965 12% Various Various Importation Tresor Plus Inc Shareholder of ZDRI 30,000 12% July 9, 2012 On Demand Tony Ng Man Kin Shareholder of ZDRI 25,000 12% February 27, 2013 February 27, 2014 Victor Sun Consultant & shareholder of ZDRI 3,923 0% January 1, 2013 On Demand Helen Chen President of Z&W CA 17,965 0% January 1, 2011 On Demand Zhou Qiang Office manager of JXZD 325,000 15% December 18, 2012 December 18, 2015 Total $ 3,825,349 As of June 30, 2015 and December 31, 2014, the Company had accrued interest payable to the related parties of $2,185,235 and $1,885,345, respectively. For the six months ended June 30, 2015 and 2014, the Company recorded interest expenses of $286,067 and $263,104, respectively.

Deferred Revenues

Deferred Revenues	6 Months Ended
	Jun. 30, 2015
Deferred Revenues [Abstract]
Deferred Revenues	Note 8. Deferred Revenues As of June 30, 2015 and December 31, 2014, the Company had deferred revenue of $164,283 and $163,779, respectively, related to advances that the Company received from its customers.

Contingencies

Contingencies	6 Months Ended
	Jun. 30, 2015
Contingencies [Abstract]
Contingencies	Note 9. Contingencies Concentration of Credit Risk Substantially all of the Company’s bank accounts are in banks located in The People’s Republic of China and are not covered by protection similar to that provided by the FDIC on funds held in United States banks. Vulnerability Due to Operations in PRC The Company’s operations in China may be adversely affected by significant political, economic and social uncertainties in the PRC. Although the PRC government has been pursuing economic reform policies for more than twenty years, no assurance can be given that the PRC government will continue to pursue such policies or that such policies may not be significantly altered, especially in the event of a change in leadership, social or political disruption or unforeseen circumstances affecting the PRC’s political, economic and social conditions. There is also no guarantee that the PRC government’s pursuit of economic reforms will be consistent or effective in the future.

Summary of Significant Accoun15

Summary of Significant Accounting Policies (Polices)	6 Months Ended
	Jun. 30, 2015
Summary of Significant Accounting Policies [Abstract]
Basis of Presentation	Basis of Presentation The accompanying interim unaudited consolidated financial statements and related notes have been prepared in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”) for interim financial information, and in accordance with the rules and regulations of the United States Securities and Exchange Commission (the “SEC”) with respect to Form 10-Q and Form 10-K. Accordingly, they do not include all of the information and footnotes required by U.S. GAAP for complete financial statements. The interim unaudited consolidated financial statements furnished reflect all adjustments (consisting of normal recurring adjustments) which are, in the opinion of management, necessary for a fair statement of the results for the interim periods presented. Interim results are not necessarily indicative of the results for the full year. These interim unaudited consolidated financial statements should be read in conjunction with the consolidated financial statements of the Company for the year ended December 31, 2014 and notes thereto contained elsewhere in the Registration Statement on Form S-1 with the SEC on April 17, 2015.
Principles of Consolidation	Principles of Consolidation The consolidated financial statements include the accounts of the Company, its wholly subsidiaries Z&W CA and its majority owned subsidiaries JXZD. All inter-company transactions and balances were eliminated. The portion of the income applicable to non-controlling interests in subsidiary undertakings is reflected in the consolidated statements of operations.
Use of Estimates and Assumptions	Use of Estimates and Assumptions The Company prepares its financial statements in conformity with U.S. GAAP, which requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates.
Foreign Currency Adjustments	Foreign Currency Adjustments The Company's functional currency for all operations worldwide is the U.S. dollar. Nonmonetary assets and liabilities are translated at historical rates and monetary assets and liabilities are translated at exchange rates in effect at the end of the year. Income statement accounts are translated at average rates for the year. Any translation adjustments are reflected as a separate component of stockholders’ equity and have no effect on current earnings. Gains and losses resulting from foreign currency transactions are included in current results of operations. During the six months ended June 30, 2015 and 2014, the Company had aggregate foreign currency translation gains (losses) of $(19,061) and $24,777, respectively.
Cash and Cash Equivalents	Cash and Cash Equivalents The Company considers all highly liquid investments purchased with an original maturity of three months or less to be cash equivalents.
Accounts Receivable	Accounts Receivable Accounts receivable are stated at the amount the Company expects to collect. The Company maintains allowances for doubtful accounts for estimated losses resulting from the inability of its customers to make required payments. Management considers the following factors when determining the collectability of specific customer accounts: customer credit-worthiness, past transaction history with the customer, current economic industry trends, and changes in customer payment terms. Past due balances over 90 days and other higher risk amounts are reviewed individually for collectability. If the financial condition of the Company’s customers were to deteriorate, adversely affecting their ability to make payments, additional allowances would be required. Based on management’s assessment, the Company provides for estimated uncollectible amounts through a charge to earnings and a credit to a valuation allowance. Balances that remain outstanding after the Company has used reasonable collection efforts are written off through a charge to the valuation allowance and a credit to accounts receivable. As of June 30, 2015, the Company had allowances of $100,349 for doubtful accounts from certain sales that occurred in August and November 2014 but had not been collected.
Inventories	Inventories Finished goods, work-in-process, and raw materials are valued at the lower of average production cost and net realizable value. The Company records the costs of ore stacked on its leach pads and in process at its production sites as heap leach ore and working process inventories measured at the lower of cost and estimated net realizable value in inventory. These costs are charged to earnings and included in cost of revenues on the basis of tons of precious mineral sold. The estimates and assumptions used in the measurement of heap leach ore and work-in-process inventories include quantities of ore stacked on leach pads, recoverable tons of precious minerals contained in ore stacked on leach pads, recoverable tons of precious minerals in the mill processing circuits and the price expected to be realized when the tons of precious minerals are recovered. If these estimates or assumptions prove to be inaccurate, the Company could be required to write down the carrying amounts of its heap leach ore and work-in-process inventories, which would reduce the Company’s earnings and working capital.
Property and Equipment	Property and Equipment Property and equipment is stated at the historical cost, less accumulated depreciation. Depreciation on property, plant and equipment is provided using the straight-line method over the estimated useful lives of the assets for both financial and income tax reporting purposes as follows: Buildings 20 years Motor vehicles 5 years Production and office Equipment 5 years Expenditures for normal repairs and maintenance are charged to expense as incurred. Significant renewals and improvements are capitalized. The costs and related accumulated depreciation of assets retired or otherwise disposed of are eliminated from the accounts, and any resulting gain or loss is recognized in the year of disposal.
Impairment of Long-Lived Assets	Impairment of Long-Lived Assets Management reviews long-lived assets for impairment whenever events or changes in circumstances indicate that the carrying amount may not be realizable or at a minimum annually during the fourth quarter of the year. If an evaluation is required, the estimated future undiscounted cash flows associated with the asset are compared to the asset’s carrying value to determine if an impairment of such asset is necessary. The effect of any impairment would be to expense the difference between the fair value of such asset and its carrying value.
Income Taxes	Income Taxes An asset and liability approach is used for financial accounting and reporting for income taxes. Deferred income taxes arise from temporary differences between income tax and financial reporting and principally relate to recognition of revenue and expenses in different periods for financial and tax accounting purposes and are measured using currently enacted tax rates and laws. In addition, a deferred tax asset can be generated by net operating loss carry forwards. If it is more likely than not that some portion or all of a deferred tax asset will not be realized, a valuation allowance is recognized. The Company has tax losses that may be applied against future taxable income. The potential tax benefit arising from these loss carryforwards are offset by a valuation allowance due to uncertainty of profitable operations in the future.
Fair Values of Financial Instruments	Fair Values of Financial Instruments Management believes that the carrying amounts of the Company’s financial instruments, consisting primarily of cash and accounts payable, approximated their fair values as of June 30, 2015 and 2014, due to their short-term nature.
Non-controlling Interest	Non-controlling Interest Non-controlling interests in the Company’s subsidiaries are reported as a component of equity, separate from the parent’s equity. Purchase or sale of equity interests that do not result in a change of control are accounted for as equity transactions. Results of operations attributable to the minority interest are included in our consolidated results of operations and, upon loss of control, the interest sold, as well as interest retained, if any, will be reported at fair value with any gain or loss recognized in earnings.
Revenue Recognition	Revenue Recognition Revenue is recognized when products are shipped, title and risk of loss is passed to the customers and collection is reasonably assured. Payments received prior to the satisfaction of above criteria are deferred.
Basic and Diluted Earnings (Loss) Per Common Share	Basic and Diluted Earnings (Loss) Per Common Share The basic net loss per common share is computed by dividing the net loss by the weighted average number of common shares outstanding. Diluted net loss per common share is computed by dividing the net loss adjusted on an “as converted” basis, by the weighted average number of common shares outstanding plus potential dilutive securities. For all periods presented, there were no potentially dilutive securities outstanding.
Subsequent Events	Subsequent Events The Company evaluated events subsequent to June 30, 2015 through the date the financial statements were issued for disclosure consideration.
Recently Issued Accounting Pronouncements	Recently Issued Accounting Pronouncements In April 2015, the FASB issued ASU 2015-03, “Simplifying the Presentation of Debt Issuance Costs.” ASU 2015-03 requires that debt issuance costs related to a recognized debt liability be presented in the balance sheet as a direct deduction from the carrying amount of that debt liability, consistent with debt discounts. The ASU is effective for annual periods beginning after December 15, 2015, and interim periods within those annual periods, early adoption is permitted. The Company is currently evaluating the effects of ASU 2015-03 on the consolidated financial statements.

Summary of Significant Accoun16

Summary of Significant Accounting Policies ( Tables)	6 Months Ended
	Jun. 30, 2015
Summary of Significant Accounting Policies [Abstract]
Schedule of Property and Equipment	Buildings 20 years Motor vehicles 5 years Production and office Equipment 5 years

Property and Equipment (Tables)

Property and Equipment (Tables)	6 Months Ended
	Jun. 30, 2015
Property and Equipment [Abstract]
Schedule of Property and Equipment	June 30, December 31, 2015 2014 Buildings $ 1,364,641 $ 1,358,788 Motor Vehicles 65,649 65,368 Production and Office Equipment 1,387,500 1,379,793 Subtotal 2,817,790 2,803,949 Less: Accumulated Depreciation (1,048,656 ) (874,129 ) Property and Equipment, Net $ 1,769,134 $ 1,929,820

Related Party Transactions (Tab

Related Party Transactions (Tables)	6 Months Ended
	Jun. 30, 2015
Related Party Transactions [Abstract]
Short-term debt	At June 30, 2015: Annual Name Relationship to the Company Amount Interest Rate Start Date Maturity Wei De Gang CEO & Legal person of JXZD $ 2,934,352 15% May 31, 2012 On Demand Zhao Yan Ling Former office manager of JXZD, wife of Zhou Zhi Bin 17,136 15% January 1, 2012 On Demand Zhou Zhi Bin Former CEO & Legal person of JXZD 8,160 15% January 1, 2012 On Demand Tang Yong Hong Manager of JXZD 351,292 15% February 28, 2014 February 28, 2015 Yan Chun Yan Accountant of JXZD 5,076 15% August 31, 2014 August 31, 2015 Wen Mei Tu President & shareholder of ZDRI 214,965 12% Various Various Importation Tresor Plus Inc Shareholder of ZDRI 30,000 12% July 9, 2012 On Demand Tony Ng Man Kin Shareholder of ZDRI 25,000 12% February 27, 2013 February 27, 2014 Wei Tai Trading Inc. Shareholder of ZDRI 12,000 12% June 03, 2015 September 03, 2015 YYC Technologies Inc. Wen Mei Tu’s brother in law owned 6,000 Victor Sun Consultant & shareholder of ZDRI 3,923 0% January 1, 2013 On Demand Helen Chen President of Z&W CA 17,965 0% January 1, 2011 On Demand Zhou Qiang Office manager of JXZD 326,400 15% December 18, 2012 December 18, 2015 Total $ 3,952,269 At December 31, 2014: Annual Name Relationship to the Company Amount Interest Rate Start Date Maturity Wei De Gang CEO & Legal Person of JXZD $ 2,905,515 15% May 31, 2012 On Demand Zhao Yan Ling Former Office Manager in JXZD, wife of Zhou Zhi Bin 17,063 15% January 1, 2012 On Demand Zhou Zhi Bin Former CEO & Legal Person of JXZD 8,125 15% January 1, 2012 On Demand Tang Yong Hong Manager of JXZD 334,622 15% February 28, 2014 February 28, 2015 Yan Chun Yan Accountant of JXZD 3,171 15% August 31, 2014 August 31, 2015 Wen Mei Tu President & shareholder of ZDRI 154,965 12% Various Various Importation Tresor Plus Inc Shareholder of ZDRI 30,000 12% July 9, 2012 On Demand Tony Ng Man Kin Shareholder of ZDRI 25,000 12% February 27, 2013 February 27, 2014 Victor Sun Consultant & shareholder of ZDRI 3,923 0% January 1, 2013 On Demand Helen Chen President of Z&W CA 17,965 0% January 1, 2011 On Demand Zhou Qiang Office manager of JXZD 325,000 15% December 18, 2012 December 18, 2015 Total $ 3,825,349

Description of Business (Detail

Description of Business (Details Narrative)	Jun. 30, 2015
JXZD [Member]
Ownership percentage	70.00%
Z&W CA [Member]
Ownership percentage	100.00%
Other Partners [Member]
Ownership percentage	30.00%

Summary of Significant Accoun20

Summary of Significant Accounting Policies (Details)	6 Months Ended
	Jun. 30, 2015
Buildings [Member]
Property and Equipment useful life	20 years
Motor vehicles [Member]
Property and Equipment useful life	5 years
Production and office Equipment [Member]
Property and Equipment useful life	5 years

Summary of Significant Accoun21

Summary of Significant Accounting Policies (Details Narrative) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Summary of Significant Accounting Policies [Abstract]
Foreign currency translation adjustments	$ (2,596)	$ (4,992)	$ (19,061)	$ 24,777
Allowances for doubtful accounts	$ 100,349		$ 100,349

Going Concern (Details Narrativ

Going Concern (Details Narrative) - USD ($)	Jun. 30, 2015	Dec. 31, 2014
Going Concern [Abstract]
Accumulated losses	$ 16,180,182	$ 15,760,155
Working capital deficit	$ 7,128,493

VAT Receivables (Details Narrat

VAT Receivables (Details Narrative) - USD ($)	Jun. 30, 2015	Dec. 31, 2014
VAT Receivables [Abstract]
VAT receivables	$ 175,533	$ 174,896

Property and Equipment (Details

Property and Equipment (Details) - USD ($)	Jun. 30, 2015	Dec. 31, 2014
Subtotal	$ 2,817,790	$ 2,803,949
Less: Accumulated Depreciation	(1,048,656)	(874,129)
Property and Equipment, Net	1,769,134	1,929,820
Building [Member]
Subtotal	1,364,641	1,358,788
Motor Vehicles [Member]
Subtotal	65,649	65,368
Production and Office Equipment [Member]
Subtotal	$ 1,387,500	$ 1,379,793

Property and Equipment (Detai25

Property and Equipment (Details Narrative) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Property and Equipment [Abstract]
Depreciation expense	$ 85,447	$ 82,670	$ 170,447	$ 165,993

Construction in Progress (Detai

Construction in Progress (Details Narrative) - USD ($)	Jun. 30, 2015	Dec. 31, 2014
Construction in Progress [Abstract]
Construction in progress	$ 175,069	$ 174,318

Related Party Transactions (Det

Related Party Transactions (Details) - USD ($)	6 Months Ended	12 Months Ended
	Jun. 30, 2015	Dec. 31, 2014
Amount	$ 3,952,269	$ 3,825,349
Related party one [Member]
Name	Wei De Gang	Wei De Gang
Relationship to the Company	CEO & Legal person of JXZD	CEO & Legal Person of JXZD
Amount	$ 2,934,352	$ 2,905,515
Annual Interest Rate	15.00%	15.00%
Start Date	May 31, 2012	May 31, 2012
Maturity	On Demand	On Demand
Related party two [Member]
Name	Zhao Yan Ling	Zhao Yan Ling
Relationship to the Company	Former office manager of JXZD, wife of Zhou Zhi Bin	Former Office Manager in JXZD, wife of Zhou Zhi Bin
Amount	$ 17,136	$ 17,063
Annual Interest Rate	15.00%	15.00%
Start Date	January 1, 2012	January 1, 2012
Maturity	On Demand	On Demand
Related party three [Member]
Name	Zhou Zhi Bin	Zhou Zhi Bin
Relationship to the Company	Former CEO & Legal person of JXZD	Former CEO & Legal Person of JXZD
Amount	$ 8,160	$ 8,125
Annual Interest Rate	15.00%	15.00%
Start Date	January 1, 2012	January 1, 2012
Maturity	On Demand	On Demand
Related party four [Member]
Name	Tang Yong Hong	Tang Yong Hong
Relationship to the Company	Manager of JXZD	Manager of JXZD
Amount	$ 351,292	$ 334,622
Annual Interest Rate	15.00%	15.00%
Start Date	February 28, 2014	February 28, 2014
Maturity	February 28, 2015	February 28, 2015
Related party five [Member]
Name	Yan Chun Yan	Yan Chun Yan
Relationship to the Company	Accountant of JXZD	Accountant of JXZD
Amount	$ 5,076	$ 3,171
Annual Interest Rate	15.00%	15.00%
Start Date	August 31, 2014	August 31, 2014
Maturity	August 31, 2015	August 31, 2015
Related party six [Member]
Name	Wen Mei Tu	Wen Mei Tu
Relationship to the Company	President & shareholder of ZDRI	President & shareholder of ZDRI
Amount	$ 214,965	$ 154,965
Annual Interest Rate	12.00%	12.00%
Start Date	Various	Various
Maturity	Various	Various
Related party seven [Member]
Name	Importation Tresor Plus Inc	Importation Tresor Plus Inc
Relationship to the Company	Shareholder of ZDRI	Shareholder of ZDRI
Amount	$ 30,000	$ 30,000
Annual Interest Rate	12.00%	12.00%
Start Date	July 9, 2012	July 9, 2012
Maturity	On Demand	On Demand
Related party eight [Member]
Name	Tony Ng Man Kin	Tony Ng Man Kin
Relationship to the Company	Shareholder of ZDRI	Shareholder of ZDRI
Amount	$ 25,000	$ 25,000
Annual Interest Rate	12.00%	12.00%
Start Date	February 27, 2013	February 27, 2013
Maturity	February 27, 2014	February 27, 2014
Related party nine [Member]
Name	Wei Tai Trading Inc.	Victor Sun
Relationship to the Company	Shareholder of ZDRI	Consultant & shareholder of ZDRI
Amount	$ 12,000	$ 3,923
Annual Interest Rate	12.00%	0.00%
Start Date	June 03, 2015	January 1, 2013
Maturity	September 03, 2015	On Demand
Related party ten [Member]
Name	YYC Technologies Inc.	Helen Chen
Relationship to the Company	Wen Mei Tu’s brother in law owned	President of Z&W CA
Amount	$ 6,000	$ 17,965
Annual Interest Rate		0.00%
Start Date		January 1, 2011
Maturity		On Demand
Related party eleven [Member]
Name	Victor Sun	Zhou Qiang
Relationship to the Company	Consultant & shareholder of ZDRI	Office manager of JXZD
Amount	$ 3,923	$ 325,000
Annual Interest Rate	0.00%	15.00%
Start Date	January 1, 2013	December 18, 2012
Maturity	On Demand	December 18, 2015
Related party twelve [Member]
Name	Helen Chen
Relationship to the Company	President of Z&W CA
Amount	$ 17,965
Annual Interest Rate	0.00%
Start Date	January 1, 2011
Maturity	On Demand
Related party thirteen [Member]
Name	Zhou Qiang
Relationship to the Company	Office manager of JXZD
Amount	$ 326,400
Annual Interest Rate	15.00%
Start Date	December 18, 2012
Maturity	December 18, 2015

Related Party Transactions (D28

Related Party Transactions (Details Narrative) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014	Dec. 31, 2014
Related Party Transactions [Abstract]
Due to related parties	$ 769,975		$ 769,975		$ 766,672
Short-term debt-related parties	3,952,269		3,952,269		3,825,349
Accrued interest-related parties	2,185,235		2,185,235		$ 1,885,345
Interest expense	$ 144,114	$ 132,939	$ 286,067	$ 263,104

Deferred Revenues (Details Narr

Deferred Revenues (Details Narrative) - USD ($)	Jun. 30, 2015	Dec. 31, 2014
Deferred Revenues [Abstract]
Deferred revenue	$ 164,283	$ 163,779