| Summary of Significant Accounting Policies Basis of Presentation | 3. Summary of Significant Accounting Policies Basis of Presentation The accompanying consolidated financial statements
have been prepared in conformity with accounting principles generally accepted in the United States of America (“GAAP”). The
financial statements include the consolidated accounts of the Company and its wholly-owned subsidiary Baltum Minería SpA. All material
intercompany transactions have been eliminated in consolidation. Forward Stock Split On May 2, 2023, the Company effected a 3 for 1
forward stock split Use of Estimates The preparation of consolidated financial statements
in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities,
the disclosure of contingent assets and liabilities at the date of the consolidated financial statements, and the reported amounts of
expenses during the reporting periods. Significant estimates and assumptions reflected in these consolidated financial statements include,
but are not limited to, the impairment assessment of assets and the applicability of accrued expenses. Estimates are periodically reviewed
in light of changes in circumstances, facts, and experience. Actual results could differ from the Company’s estimates and those
differences may be material. Cash Cash amounts consist of cash on hand, deposits
in banks, and money market accounts. As of March 31, 2023, and December 31, 2022, the Company’s cash balances were $ 493,423 630,803 Value Added Tax (“VAT Tax”) The Company’s subsidiary historically has
paid significant amounts of value-added tax (“VAT Tax”) to the Chilean government on certain operating purchases. The tax
paid can be offset against future VAT Tax due. The Company has no Property and Equipment Property, plant, and equipment are stated at cost
less accumulated depreciation. Capitalized costs include computers, vehicles, furniture and fixtures, machinery, and equipment, and are
depreciated using the straight-line method or unit-of-production method at rates sufficient to depreciate such costs over the shorter
of estimated productive lives or the useful life of the individual assets. Useful lives range from 3 to 10 years Costs are capitalized when it has been determined
an ore body can be economically developed. The development stage begins at new projects when our management and/or board of directors
make the decision to bring a mine into commercial production, and ends when the production state, or extraction of reserves, begins. The
production stage of a mine commences when salable materials, beyond a de minimis amount, are produced. Exploration costs include those relating to activities
carried out (a) in search of previously unidentified mineral deposits or (b) at undeveloped concessions. Pre-development activities involve
costs incurred in the exploration stage that may ultimately benefit production and are expensed due to lack of evidence of economic development,
which is necessary to demonstrate future recoverability of these expenses. Costs for exploration, evaluation, and pre-development, including
drilling costs related to those activities (discussed further below), and repairs and maintenance on capitalized property and equipment
are charged to operations as incurred. Drilling, development, and related costs are either
classified as exploration, pre-development or secondary development as defined above, and charged to operations as incurred, or capitalized
based on the following criteria:
· whether the costs are incurred to further define mineralization at and adjacent to existing reserve areas or intended to assist with mine planning within a reserved area;
· whether the drilling or development costs relate to an ore body that has been determined to be commercially mineable, and a decision has been made to put the ore body into commercial production;
· whether, at the time the cost is incurred: (a) the expenditure embodies a probable future benefit that involves a capacity, singly or in combination with other assets, to contribute directly or indirectly to future net cash inflows, (b) we can obtain the benefit and control others’ access to it, and (c) the transaction or event giving risk to our right to or control of the benefit has already occurred. If all of these criteria are met, drilling, development and related
costs are capitalized. Drilling and development costs not meeting all of these criteria are expensed as incurred. The following factors
are considered in determining whether or not the criteria listed above have been met, and whether capitalization of drilling and development
costs is appropriate:
· Completion of a favorable economic study and mine plan for the ore body targeted;
· authorization of development of the ore body by management and/or the board of directors; and
· there is a justifiable expectation, based on applicable laws and regulations, that issuance of permits or resolution of legal issues and/or contractual requirements necessary for us to have the right to or control of the future benefit from the targeted ore body have been met. Drilling and related costs at our properties as
of and for the years ended December 31, 2022, and December 31, 2021, respectively, did not meet our criteria for capitalization. When
assets are retired or sold, the costs and related allowances for depreciation and amortization are eliminated from the accounts and any
resulting gain or loss is reflected in the current period net income (loss). Impairment of Long-lived Assets Long-lived assets consist of property and equipment.
Long-lived assets to be held and used are tested for recoverability whenever events or changes in business circumstances indicate that
the carrying amount of the assets may not be fully recoverable. Factors that the Company considers in deciding when to perform an impairment
review include significant underperformance of the business in relation to expectations, significant negative industry or economic trends,
and significant changes or planned changes in the use of the assets. If an impairment review is performed to evaluate a long-lived asset
for recoverability, the Company compares forecasts of undiscounted cash flows expected to result from the use and eventual disposition
of the long-lived asset to its carrying value. An impairment loss would be recognized when estimated undiscounted future cash flows expected
to result from the use of an asset are less than its carrying amount. The impairment loss would be based on the excess of the carrying
value of the impaired asset over its fair value, determined based on discounted cash flows. Baltum presently owns 2,635 hectares of exploitation-level
mining concessions in the San Juan mining district and will continue its exploration activities toward proving the existence of cobalt
and/or copper. Depending on the outcome of the exploration activities, the Company would then consider seeking a preliminary economic
assessment, preliminary feasibility study, or definitive feasibility study to validate the expected profitability of constructing a plant
to extract the target minerals and process them into saleable products. Mining Concessions Mining concessions are recorded at cost based
on the payments required under the contracts. Amortization begins when placed in service after the mining concession is exercised. Mining
concessions are amortized over their useful life based on the pattern over which the mining concessions are consumed or otherwise used
up. Determination of expected useful lives for amortization calculations is made on a property-by-property or asset-by-asset basis at
least annually. At the time an ore body can be economically developed, the basis of the mining concession will be amortized on a units-of-production
basis. Pursuant to our policy on the impairment of long-lived assets, if it is determined that a mining concession cannot be economically
developed or its innate value has not been independently substantiated, the basis of the mining concession is reduced to its fair value
and an impairment loss is recorded to expense in the period in which it is determined to be impaired. Finite-lived intangible assets are tested for
impairment when events or changes in circumstances indicate that the carrying value of the asset may not be recoverable. Intangible assets
that are not subject to amortization are tested for impairment annually and more frequently if events or changes in circumstances indicate
that is more likely than not, meaning more than 50%, that the asset is impaired. The value of the exploitation mining concessions
owned by Baltum have yet to be independently substantiated by a valuation or any level of feasibility study. As of March 31, 2023 and
December 31, 2022, these mining concessions had a value of $-0- and $-0-, respectively on the Company’s Balance Sheet. Foreign Currency The reporting currency of the Company is the U.S.
dollar. The functional currency of Baltum, the Company’s wholly-owned subsidiary, is the Chilean Peso. The assets and liabilities
of Baltum are translated into U.S. dollars based on exchange rates at the end of each reporting period. Expenses are translated at average
exchange rates during the reporting period. Gains and losses arising from the translation of assets and liabilities are included as a
component of accumulated other comprehensive income or loss within the Company’s consolidated balance sheet. Gains and losses resulting
from foreign currency transactions are reflected within the Company’s consolidated statements of operations. The Company has not
utilized foreign currency hedging strategies to mitigate the effect of its foreign currency exposure. Income Taxes The Company accounts for income taxes using the
asset and liability method, which requires the recognition of deferred tax assets and liabilities for the expected future tax consequences
of events that have been recognized in the financial statements or in the Company’s tax returns. Deferred taxes are determined based
on the differences between the financial statement and tax basis of assets and liabilities using enacted tax rates in effect in the years
in which the differences are expected to reverse. Changes in deferred tax assets and liabilities are recorded in the provision for income
taxes. The Company assesses the likelihood that its deferred tax assets will be recovered from future taxable income and, to the extent
it believes, based upon the weight of available evidence, that is more likely than not that all or a portion of the deferred tax assets
will not be realized, a valuation allowance is established through a charge to income tax expense. The potential for recovery of deferred
tax assets is evaluated by estimating the future taxable profits expected and considering prudent and feasible tax planning strategies.
The Company’s wholly owned subsidiary is subject to foreign corporate tax in foreign taxing jurisdictions. The Company accounts for income taxes in accordance
with Accounting Standards Codification 740, “Accounting for Income Taxes” (“ASC 740”). Under ASC 740, income tax
expense includes federal and state taxes currently payable and deferred taxes arising from temporary differences between income for financial
reporting and income tax purposes. In accordance with ASC 740, the Company has evaluated
its tax positions. A tax position is recognized as a benefit only if it is “more likely than not” that the tax position would
be sustained in a tax examination, with a tax examination being presumed to occur. The amount recognized is the largest amount of tax
benefit that has a likelihood of being realized on examination of more than 50 percent. For tax positions not meeting the “more
likely than not” test, no tax benefit is recorded. Under the “more likely than not” threshold guidelines, the Company
believes no significant uncertain tax positions exist, either individually or in the aggregate, that would give rise to the non-recognition
of an existing tax benefit. The Company’s policy is to account for interest expense and penalties related to unrecognized tax benefits
as a component of income tax expense. The Company is currently not under examination with any federal, state, or foreign taxing authorities.
In addition, the Company had no material unrecognized tax benefits or accrued interest and penalties as of and for the year ended December
31, 2022. Concentration of Credit Risk and of Significant
Vendors The Company maintains cash balances at financial
institutions in the U.S. and Chile. The Company holds all cash balances at accredited financial institutions, in amounts that exceed federally
insured limits in the United States of America. The Company does not believe that it is subject to unusual credit risk beyond the normal
credit risk associated with commercial banking relationships. Recently Issued and Adopted Accounting Pronouncements There are not any recently issued and adopted
accounting pronouncements that have a material impact on the Company’s financial statements as of March 31, 2023, and December 31,
2022. |
