0001683168-17-002930.txt : 20171113 0001683168-17-002930.hdr.sgml : 20171110 20171113145551 ACCESSION NUMBER: 0001683168-17-002930 CONFORMED SUBMISSION TYPE: 10-Q PUBLIC DOCUMENT COUNT: 34 CONFORMED PERIOD OF REPORT: 20170930 FILED AS OF DATE: 20171113 DATE AS OF CHANGE: 20171113 FILER: COMPANY DATA: COMPANY CONFORMED NAME: High Desert Holding Corp. CENTRAL INDEX KEY: 0001665421 STANDARD INDUSTRIAL CLASSIFICATION: GOLD & SILVER ORES [1040] IRS NUMBER: 463493034 STATE OF INCORPORATION: NV FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 10-Q SEC ACT: 1934 Act SEC FILE NUMBER: 333-212527 FILM NUMBER: 171195381 BUSINESS ADDRESS: STREET 1: 865 TAHOE BLVD., STE. 302 CITY: INCLINE VILLAGE STATE: NV ZIP: 89451 BUSINESS PHONE: 775 298-2846 MAIL ADDRESS: STREET 1: 865 TAHOE BLVD., STE. 302 CITY: INCLINE VILLAGE STATE: NV ZIP: 89451 10-Q 1 hdhc_10q-093017.htm QUARTERLY REPORT

 

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

 

FORM 10-Q

 

(Mark One)

 

x  QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE 
ACT OF 1934

 

For the quarterly period ended: September 30, 2017

 

or

 

¨  TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE

ACT OF 1934

 

For the transition period from _____________ to _____________.

 

 

Commission file number: 333-212527

 

HIGH DESERT HOLDING CORP.

(Exact name of registrant as specified in its charter)

 

Nevada 46-3493034
(State of incorporation) (I.R.S. Employer Identification No.)

 

865 Tahoe Boulevard, Suite 302

Incline Village, Nevada 89451

(Address of principal executive offices)

 

(775) 298-2856

(Registrant's telephone number, including area code)

 

Securities registered pursuant to Section 12(b) of the Exchange Act:

None

 

Securities registered pursuant to Section 12(g) of the Exchange Act:

None

 

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.  Yes x  No ¨

 

Indicate by check mark whether the registrant has submitted electronically and posted on its corporate Web site, if any, every Interactive Data File required to be submitted and posted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit and post such files).  Yes x  No ¨

 

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, smaller reporting company, or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer”, “smaller reporting company”, and “emerging growth company” in Rule 12b-2 of the Exchange Act. (Check one)

 

Large accelerated filer ☐ Accelerated filer  ☐
Non-accelerated filer  ☐ Smaller reporting company  ☒
(Do not check if a smaller reporting company) Emerging growth company ☐

 

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to section 13(a) of the Exchange Act. ☐

 

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).  Yes  ¨ No x

 

The number of shares of the issuer's common stock issued and outstanding as of November 9, 2017 was 37,990,000 shares.

 

 

   
 

 

TABLE OF CONTENTS

 

    Page
   
PART I.  FINANCIAL INFORMATION 3
     
  Item 1 Financial Statements 3
       
  Item 2 Management's Discussion and Analysis of Financial Condition and Results of Operations 8
       
  Item 3 Quantitative and Qualitative Disclosures About Market Risk 10
       
  Item 4 Controls and Procedures 10
       
PART II.  OTHER INFORMATION 11
     
  Item 1 Legal Proceedings 11
       
  Item 1A Risk Factors 11
       
  Item 2 Unregistered Sales of Equity Securities and Use of Proceeds 11
       
  Item 3 Defaults Upon Senior Securities 11
       
  Item 4 Mine Safety Disclosures 11
       
  Item 5 Other Information 11
       
  Item 6 Exhibits 12
       
SIGNATURES 13

 

 

 

 

 

 2 
 

 

PART I. FINANCIAL INFORMATION

 

Item 1. Financial Statements.

 

HIGH DESERT HOLDING CORP.

BALANCE SHEETS

(Unaudited)

 

ASSETS        
   September 30, 2017   December 31, 2016 
Current Assets          
Cash  $148   $536 
Other receivable        
           
Total current assets   148    536 
           
Mining equipment, net   203,179    282,857 
Mineral properties   697,143    697,143 
           
Total assets  $900,470   $980,536 
           
LIABILITIES AND STOCKHOLDERS' EQUITY          
           
Current Liabilities          
Accounts payable  $102,214   $67,851 
Related party accounts payable   3,300    17,560 
Shareholder advances   9,000    9,000 
           
Total current liabilities   114,514    94,411 
           
Commitments and Contingencies          
           
Stockholders' Equity          
Preferred stock, $.001 par value, 5,000,000 shares authorized and no shares issued and outstanding  $   $ 
Common stock, $.001 par value, 70,000,000 shares authorized and 37,990,000 and 37,965,000 shares issued and outstanding at September 30, 2017 and December 31, 2016, respectively   37,990    37,965 
Additional paid in capital   1,049,652    1,044,677 
Accumulated deficit   (301,686)   (196,517)
           
           
Total stockholders' equity   785,956    886,125 
           
Total liabilities and stockholders' equity  $900,470   $980,536 

 

 

The accompanying notes are an integral part of these financial statements

 

 3 
 

 

HIGH DESERT HOLDING CORP.

CONDENSED STATEMENTS OF OPERATIONS

(Unaudited)

 

   For the Three Months Ended   For the Nine Months Ended 
   September 30,   September 30,   September 30,   September 30, 
   2017   2016   2017   2016 
Revenue                    
                     
Net revenue  $   $   $   $ 
                     
Expenses                    
Exploration and development   3,300    9,300    (2,346)   54,300 
Loss on sale of equipment           32,503      
General and administrative   22,598    22,330    75,012    59,148 
                     
Total operating expenses   25,898    31,630    105,169    113,448 
                     
Loss from operations   (25,898)   (31,630)   (105,169)   (113,448)
                     
                     
Net loss  $(25,898)  $(31,630)  $(105,169)  $(113,448)
                     
Net loss per share - basic and diluted  $(0.00)  $(0.00)  $(0.00)  $(0.00)
                     
Weighted average shares outstanding   37,990,000    37,965,000    37,987,537    37,861,978 

 

 

The accompanying notes are an integral part of these financial statements

 

 4 
 

 

HIGH DESERT HOLDING CORP.

CONDENSED STATEMENTS OF CASH FLOWS

(Unaudited)

 

   For the Nine Months Ended 
   September 30,   September 30, 
   2017   2016 
Cash Flows from Operating Activities          
           
Net loss  $(105,169)  $(113,448)
           
Adjustments to reconcile net loss to net cash used in operating activities:          
Stock compensation       54,642 
Loss on sale of mining equipment   32,503      
Change in related party accounts payable   (14,260)     
Change in accounts payable   34,363    43,007 
           
Net cash used in operating activities   (52,563)   (15,799)
           
Cash Flows from Investing Activities          
Proceeds from sale of mining equipment   47,175     
           
Net cash provided by investing activities   47,175     
           
Cash Flows from Financing Activities          
Proceeds from issuance of related party notes payable       13,851 
Proceeds from issuance of common stock   5,000     
           
Net cash provided by financing activities   5,000    13,851 
           
Net increase in cash and cash equivalents   (388)   (1,948)
           
Cash and cash equivalents at beginning of the period   536    2,011 
           
Cash and cash equivalents at end of the period  $148   $63 
           
Supplementary Disclosures of Cash Flow Information          
           
Cash paid for income taxes  $   $ 
Cash paid for interest  $   $ 
           
Non-Cash Investing and Financing Activities          
           
Common stock issued for Mineral Property and Mining Equipment acquisition  $   $128,571 

 

 

The accompanying notes are an integral part of these financial statements

 

 5 
 

 

HIGH DESERT HOLDING CORP.

Notes to the Unaudited Condensed Financial Statements

 

NOTE 1. GENERAL ORGANIZATION AND BUSINESS

 

High Desert Holding Corp. (the “Company”) was organized in the state of Nevada in September 2013. The Company is a precious and non-precious mineral exploration company. The Company is initially focused on identifying both public and privately held land that have historically demonstrated commercially viable resources primarily located in the Western United States, particularly Nevada.

 

The Company has mineral properties located in Nevada, but has not yet determined whether these properties contain a viable resource. Future exploration and development of this and any other properties will be dependent upon the ability of the Company to obtain necessary financing to satisfy the expenditure requirements under the property agreements to complete the development of the properties and upon the ability to raise additional capital.

 

The interim condensed financial statements have been prepared in accordance with generally accepted accounting principles for interim financial information and with the instructions to Form 10-Q of Regulation S-X. Accordingly, they do not include all of the information and footnotes required by generally accepted accounting principles for complete financial statements. In the Company’s opinion, all adjustments (consisting of normal recurring adjustments) considered necessary for a fair presentation have been included. Operating results for the three-month and nine-month periods ended September 30, 2017 are not necessarily indicative of the results that may be expected for the year ending December 31, 2017. For further information, refer to the financial statements and footnotes thereto included in our Annual Report on Form 10-K for the fiscal year ended December 31, 2016.

 

NOTE 2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

 

Cash and Cash Equivalents

 

Cash and cash equivalents include cash in banks and financial instruments which mature within three months of the date of purchase. As of September 30, 2017 and December 31, 2016, the Company did not have any cash equivalents.

 

Use of Estimates

 

The preparation of financial statements 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 revenue and expenses during the reporting period.  Actual results could differ from those estimates.

 

Fair Value of Financial Instruments

 

The fair value of a financial instrument is the amount that could be received upon the sale of an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date.  Financial assets are marked to bid prices and financial liabilities are marked to offer prices.  The fair value should be calculated based on assumptions that market participants would use in pricing the asset or liability, not on assumptions specific to the entity.  In addition, the fair value of liabilities should include consideration of non-performance risk, including the party’s own credit risk.

 

Fair value measurements do not include transaction costs.  A fair value hierarchy is used to prioritize the quality and reliability of the information used to determine fair values.  Categorization within the fair value hierarchy is based on the lowest level of input that is significant to the fair value measurement.  The fair value hierarchy is defined into the following three categories:

 

Level 1: Quoted market prices in active markets for identical assets or liabilities.

Level 2: Observable market-based inputs or unobservable inputs that are corroborated by market data.

Level 3: Unobservable inputs that are not corroborated by market data.

 

 

 

 6 
 

 

Recently Issued Accounting Pronouncements

 

There are no newly issued accounting pronouncements that the Company expects to have a material impact on its financial position, results of operations, or cash flows.

 

NOTE 3. GOING CONCERN

 

The accompanying financial statements have been prepared assuming that the Company will continue as a going concern, which contemplates the realization of assets and the liquidation of liabilities in the normal course of business.  Since inception, the Company has not identified any proven or probable reserve and correspondingly has not generated any revenue during its exploration stage.  This raises substantial doubt about the Company’s ability to continue as a going concern. These financials do not include any adjustments relating to the recoverability and classification of recorded asset amounts or amounts and classification of liabilities that might result from this uncertainty. The Company needs to raise additional funds to continue as a going concern.

 

NOTE 4. MINERAL PROPERTY

 

Kibby Flats

 

The Company has ten (10) unpatented mining claims commonly referred to as Kibby Flats located in Esmerelda County, Nevada with estimated value of $80,000.

 

QR Claims

 

The Company has fifty (50) unpatented mining claims commonly referred to as the “QR Claims 1-50” located in Humboldt County, Nevada with an estimated value of $617,143.

 

NOTE 5. MINING EQUIPMENT

 

In February 2017, the Company sold mining equipment with a carrying value of $79,678 for a gross sales price of $50,000. As part of the sale, the Company incurred commissions totaling $2,825 included in the loss on sale of $32,503.

 

NOTE 6. STOCKHOLDERS’ EQUITY

 

Common Stock

 

The Company is authorized to issue 70,000,000 shares of common stock with a par value of $0.001 per share. As of September 30, 2017, the Company had a total of 37,990,000 shares issued and outstanding. The following provides information for the shares of restricted and unregistered shares of common stock that we issued from January 1, 2017 through September 30, 2017.

 

In January 2017, the Company issued 25,000 shares of common stock at $0.20 per share for cash proceeds totaling $5,000.

 

NOTE 7. RELATED PARTY TRANSACTIONS

 

In August 2013 our founder, former officer and director, and significant shareholder, Marty Weigel, loaned us $9,000 to fund the start-up of our initial operations. Mr. Weigel has agreed to not accrue interest on the loan and has informally agreed to defer re-payment of the loan until such time as we have acquired a more stable source of funding.

 

During the period ended September 30, 2017, we paid Ingenium Accounting Associates, an accounting Firm controlled by Marty Weigel, $16,009 to settle the total balance owed as of December 31, 2016 related to payments made on our behalf to maintain our regulatory filings with the State of Nevada, and pay for operating expenses.

 

As of September 30, 2017, we owed Mr. Kersey, our Chief Executive and Financial Officer, $13,914 for administrative and travel expenses paid on our behalf. During the period ended September 30, 2017, we repaid Mr. Kersey $24,500 related to expenses paid by him on our behalf, of which were incurred since his appointment. Mr. Kersey has agreed to defer repayment of the currently outstanding obligations until the Company’s cash resources significantly increase.

 

 

 

 

 

 

 7 
 

 

Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations.

 

Cautionary Statement Regarding Forward-Looking Statements

 

This Quarterly Report on Form 10-Q, Unaudited Financial Statements, and Notes to Unaudited Financial Statements contain forward-looking statements that discuss, among other things, future expectations and projections regarding future developments, operations, and financial conditions. All forward-looking statements are based on management's existing beliefs about present and future events outside of management's control and on assumptions that may prove to be incorrect. If any underlying assumptions prove incorrect, our actual results may vary materially from those anticipated, estimated, projected, or intended.  We undertake no obligation to publicly update or revise any forward-looking statements to reflect actual results, changes in expectations or events or circumstances after the date this Quarterly Report on Form 10-Q is filed.

 

When this report uses the words "we," "us," "our," or "HDHC" and the "Company," they refer to High Desert Holding Corp.

 

Overview

 

Since our inception in 2013, we have been engaged in the identification, potential acquisition, and on-going exploration of precious and non-precious mineral properties located in the Western United States with an initial emphasis in Nevada. Until May 2015, we did not have patented or unpatented mineral claims and our activities only consisted of initial discussions and due diligence sample testing.

 

We currently hold ten (10) unpatented mining claims located in Esmeralda County, Nevada, commonly known as "Kibby Flats Property". We also hold fifty (50) unpatented mining claims commonly referred to as the "QR Property" located in Humboldt County, Nevada.

 

Funding permitted, we expect to devote the majority of our efforts permitting and exploring the QR Property. Since the end of the fiscal year ended December 31, 2016 and through the date of this report, we were unable to commence material field activities due to heavy snowfall and our lack of financial resources.

 

On March 8, 2017, BLM issued a decision declaring mining claims NMC1027694-NMC1027703, NMC1036623-NMC1036632, NMC1090058-NMC1090077, and NMC1093409-NMC1093418 (collectively, the "QR Claims") abandoned and void as of December 30, 2016, for failure to file an affidavit of assessment work. On March 29, 2017, the Company filed a notice of appeal, request for stay, and statement of reasons, appealing BLM's decision. Subsequently, legal counsel for BLM reviewed the case file and, on April 3, 2017, filed a motion to vacate and remand this matter with the United States Department of the Interior, Office of Hearings and Appeals, Interior Board of Land Appeals (the "Appeals Board"). That motion contained BLM's request that the Appeals Board vacate its March 8, 2017 decision declaring the mining claims void for failure to file an affidavit of assessment work because BLM subsequently determined that was an incorrect statement of the basis to void the claims. The Company received a ruling from the Appeals Board granting BLM's motion to vacate on May 16, 2017.

 

Despite vacating the prior voiding of the QR Claims, BLM issued a new decision on May 16, 2017 that was dated retroactively to March 8, 2017 and again declared that the QR Claims were void. However, in this decision, BLM changed its argument to failure to pay maintenance fees for the 2016 assessment year. Again, there was an appeal proceeding available concerning BLM's new decision. However, after reviewing all reasonable options, the Company decided to forego an appeal and protect the QR Claims by filing a mining notice of location on all fifty (50) QR Claims. Incidentally, and despite BLM's purported basis for voiding the QR Claims, the Company had timely paid maintenance fees in the amount of $9,300 in August of 2016, which were ultimately refunded by BLM to the Company in July 2017 after the time passed for the Company to appeal the May 16, 2017 decision. To the best knowledge of the Company, there are no outstanding legal matters concerning the QR Claims, and the QR Claims have been protected without interruption of claim status or lease ownership by the Company.

 

 

 

 

 8 
 

 

Results of Operations

 

Revenues

 

We have not earned any revenues since our inception and we do not anticipate earning revenues in the near future.

 

Operating Expenses

 

For the three and nine months ended September 30, 2017 our exploration and development costs decreased by approximately $6,000 and $57,000, respectively, from the comparable periods in 2016. The decrease relates to financial restraints preventing us from commencing material exploration activities, and a refund of our previously paid claim fees to the BLM totaling $9,300. As our funding permits, we expect to incur increasing exploration costs for at least the next twelve months.

 

During the three and nine month periods ended September 30, 2017, our general and administrative costs remained relatively flat compared to the prior year as a result of our financial restraints causing our overall operating activities to be limited. The slight increase in each period ended September 30, 2017 relate to increased compliance costs.

 

During the nine months ended September 30, 2017, we sold a piece of mining equipment that we believe was not critical to our planned exploration activities. The sale provided net cash proceeds of approximately $47,000 and we recognized a loss on the sale of approximately $33,000. We did not sell any equipment during the comparable periods ended September 30, 2016, and do not have current plans to sell other mining equipment, however, management periodically reviews our exploration equipment needs.

 

Liquidity and Capital Resources

 

As of September 30, 2017, the Company had a working capital deficit of approximately $114,000. Current liabilities as of September 30, 2017 approximated $114,000. Nearly all current obligations due, inclusive of approximately $90,000 of director fees, are held by related parties that informally agreed to defer payment until the Company’s financial resources improve (however, they are under no formal obligation to continue to do so).

 

During the quarter ended September 30, 2017 our cash used in operations primarily consisted of paying down previously incurred obligations totaling approximately $15,000 and continuing to incur operating expenses included in our net loss.

During the nine months ended September 30, 2017, we sold mining equipment and received net proceeds of approximately $47,000. We used these proceeds to fund the paydown of our operating obligations as discussed above. Our future investing activities will be dependent upon our ability to execute our operating plans.

 

During the nine months ended September 30, 2017, we received $5,000 from the sale of 25,000 shares of unrestricted common stock.

 

Our current available capital reserves are not sufficient for the Company to remain operational. We require additional equity and / or debt financing to implement our exploration and other business plans.

 

Our auditors have issued a "going concern" opinion on our financial statements for the year ended December 31, 2016, meaning that there is substantial doubt we can continue as an on-going business for the next twelve months unless we obtain additional capital. No substantial revenues are anticipated until we have completed one or more financings and implemented our plan of operations. Our only source for cash at this time is investments by others and short-term cash advances from our sole officer and other affiliates, who have no obligations to do so.

 

We have achieved success in using shares of our restricted and unregistered shares of common stock in making capital asset acquisitions including mining equipment and mineral properties. We expect to continue to issue shares for certain future capital acquisitions and to compensate certain officers, directors, and other consultants; however, there is no guarantee we will be able to do so at terms favorable to our operating plans or at all.

 

 

 

 9 
 

 

 

Critical Accounting Policies

 

Our Unaudited Financial Statements and Notes to Unaudited Financial Statements have been prepared in accordance with U.S. GAAP. The preparation of these financial statements requires management to make estimates, judgments, and assumptions that affect reported amounts of assets, liabilities, revenues, and expenses. We continually evaluate the accounting policies and estimates used to prepare the condensed financial statements. The estimates are based on historical experience and assumptions believed to be reasonable under current facts and circumstances. Actual amounts and results could differ from these estimates made by management. Certain accounting policies that require significant management estimates and are deemed critical to our results of operations or financial position are discussed in our Annual Report on Form 10-K for the year ended December 31, 2016.

 

Off-Balance Sheet Arrangements

 

We do not have any off-balance sheet arrangements.

 

Item 3. Quantitative and Qualitative Disclosures About Market Risk.

 

As a "smaller reporting company" (as defined by Item 10 of Regulation S-K), the Company is not required to provide the information required by this item.

 

Item 4. Controls and Procedures.

 

Disclosure Controls and Procedures (Item 307)

 

The Company's management, including its Chief Executive Officer and Chief Financial Officer, carried out an evaluation of the effectiveness of the design and operation of its disclosure controls and procedures as defined in Rules 13a-15(e) and 15d-15(e) under the Securities Exchange Act of 1934, as amended (the "Exchange Act"), as of September 30, 2017, the date of the Company's most recently completed fiscal quarter end. Disclosure controls and procedures include, without limitation, controls and procedures designed to ensure that information required to be disclosed by an issuer in the reports that it files or submits under the Exchange Act is accumulated and communicated to the issuer's management, including its principal executive and principal financial officers, or persons performing similar functions, as appropriate to allow timely decisions regarding required disclosure.

 

Based upon that evaluation, our Chief Executive Officer and Chief Financial Officer concluded that our disclosure controls and procedures are not effective, as of September 30, 2017, in ensuring that material information that we are required to disclose in reports that we file or submit under the Exchange Act is recorded, processed, summarized, and reported within the time periods specified in the Securities and Exchange Commission rules and forms due to limited segregation of duties, lack of independent directors, and no written internal control procedure manual. The Company plans to address the weaknesses in controls as soon as the Company determines that the financial situation allows the Company to expend its currently limited resources to mitigate the weaknesses in controls.

 

Changes in Internal Control over Financial Reporting. (Item 308)

 

There were no material changes in our internal control over financial reporting during the quarter ended September 30, 2017, that have materially affected, or are reasonably likely to materially affect, our internal control over financial reporting.

 

 

 

 

 10 
 

 

PART II. OTHER INFORMATION

 

Item 1. Legal Proceedings.

 

On March 8, 2017, BLM issued a decision declaring mining claims NMC1027694-NMC1027703, NMC1036623-NMC1036632, NMC1090058-NMC1090077, and NMC1093409-NMC1093418 (collectively, the "QR Claims") abandoned and void as of December 30, 2016, for failure to file an affidavit of assessment work. On March 29, 2017, the Company filed a notice of appeal, request for stay, and statement of reasons, appealing BLM's decision. Subsequently, legal counsel for BLM reviewed the case file and, on April 3, 2017, filed a motion to vacate and remand this matter with the United States Department of the Interior, Office of Hearings and Appeals, Interior Board of Land Appeals (the "Appeals Board"). That motion contained BLM's request that the Appeals Board vacate its March 8, 2017 decision declaring the mining claims void for failure to file an affidavit of assessment work because BLM subsequently determined that was an incorrect statement of the basis to void the claims. The Company received a ruling from the Appeals Board granting BLM's motion to vacate on May 16, 2017.

 

Despite vacating the prior voiding of the QR Claims, BLM issued a new decision on May 16, 2017 that was dated retroactively to March 8, 2017 and again declared that the QR Claims were void. However, in this decision, BLM changed its argument to failure to pay maintenance fees for the 2016 assessment year. Again, there was an appeal proceeding available concerning BLM's new decision. However, after reviewing all reasonable options, the Company decided to forego an appeal and protect the QR Claims by filing a mining notice of location on all fifty (50) QR Claims. Incidentally, and despite BLM's purported basis for voiding the QR Claims, the Company had timely paid maintenance fees in the amount of $9,300 in August of 2016, which were ultimately refunded by BLM to the Company in July 2017 after the time passed for the Company to appeal the May 16, 2017 decision. To the best knowledge of the Company, there are no outstanding legal matters concerning the QR Claims, and the QR Claims have been protected without interruption of claim status or lease ownership by the Company.

 

Item 1A. Risk Factors.

 

As a "smaller reporting company" (as defined by Item 10 of Regulation S-K), the Company is not required to provide the information required by this item.

 

Item 2. Unregistered Sales of Equity Securities and Use of Proceeds.

 

None.

 

Item 3. Defaults Upon Senior Securities.

 

None.

 

Item 4. Mine Safety Disclosures.

 

There were no mining operations during the nine month period ended September 30, 2017.

 

Item 5. Other Information.

 

None.

 

 

 

 

 

 11 
 

 

Item 6. Exhibits.

 

The following exhibits are filed with this Quarterly Report on Form 10-Q.

 

Number Description
31.1 Certification of Mark A. Kersey, Chief Executive Officer, pursuant to Rule 13a-14(a)/15d-14(a), as adopted pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.
31.2 Certification of Mark A. Kersey, Chief Financial Officer, pursuant to Rule 13a-14(a)/15d-14(a), as adopted pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.
32.1* Certification of Mark A. Kersey, Chief Executive Officer, pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.
32.2* Certification of Mark A. Kersey, Chief Financial Officer, pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.
101.INS XBRL Instance Document**
101.SCH XBRL Taxonomy Extension Schema Document**
101.CAL XBRL Taxonomy Extension Calculation Linkbase Document**
101.DEF XBRL Taxonomy Extension Definition Linkbase Document**
101.LAB XBRL Taxonomy Extension Label Linkbase Document**
101.PRE XBRL Taxonomy Extension Presentation Linkbase Document**

__________________

 

* This certification is deemed not filed for purposes of section 18 of the Securities Exchange Act of 1934, as amended (the "Exchange Act"), or otherwise subject to the liability of that section, nor shall it be deemed incorporated by reference into any filing under the Securities Act of 1933, as amended or the Exchange Act.

 

** XBRL (Extensible Business Reporting Language) information (i) is furnished and not filed or a part of a registration statement or prospectus for purposes of Sections 11 or 12 of the Securities Act of 1933, as amended, (ii) is deemed not filed for purposes of Section 18 of the Securities Exchange Act of 1934, as amended, and (iii) otherwise is not subject to liability under these sections.

 

 

 

 12 
 

 

SIGNATURES*

 

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized. 

 

  HIGH DESERT HOLDING CORP.
   
   
Dated: November 13, 2017 By:  /s/ Mark A. Kersey
  Name: Mark A. Kersey
  Title: President, Chief Executive Officer, Chief Financial Officer, Secretary, Treasurer, and Director (Principal Executive, Financial and Accounting Officer)

 

 

 

 

 

 

 

 

 

 

 13 

EX-31.1 2 hdhc_10q-ex3101.htm CERTIFICATION

EXHIBIT 31.1

 

CERTIFICATION OF PERIODIC REPORT UNDER SECTION 302 OF

THE SARBANES-OXLEY ACT OF 2002

 

I, Mark A. Kersey, certify that:

 

1. I have reviewed this Quarterly Report on Form 10-Q of High Desert Holding Corp.;

 

2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

 

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

 

4. The registrant's other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

 

a) Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

 

b) Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

 

c) Evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

 

d) Disclosed in this report any change in the registrant's internal control over financial reporting that occurred during the registrant's most recent fiscal quarter (the registrant's fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting; and

 

5. The registrant's other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant's auditors and the audit committee of the registrant's board of directors (or persons performing the equivalent functions):

 

a) All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize and report financial information; and

 

b) Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over financial reporting.

 

Date: November 13, 2017

/s/ MARK A. KERSEY               

Mark A. Kersey

Chairman and Chief Executive Officer

(Principal Executive Officer)

 

 

 

EX-31.2 3 hdhc_10q-ex3102.htm CERTIFICATION

EXHIBIT 31.2

 

CERTIFICATION OF PERIODIC REPORT UNDER SECTION 302 OF

THE SARBANES-OXLEY ACT OF 2002

 

I, Mark A. Kersey, certify that:

 

1. I have reviewed this Quarterly Report on Form 10-Q of High Desert Holding Corp.;

 

2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

 

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

 

4. The registrant's other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

 

a) Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

 

b) Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

 

c) Evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

 

d) Disclosed in this report any change in the registrant's internal control over financial reporting that occurred during the registrant's most recent fiscal quarter (the registrant's fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting; and

 

5. The registrant's other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant's auditors and the audit committee of the registrant's board of directors (or persons performing the equivalent functions):

 

a) All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize and report financial information; and

 

b) Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over financial reporting.

 

Date: November 13, 2017

 

/s/ MARK A. KERSEY               

Mark A. Kersey

Chairman and Chief Financial Officer

(Principal Financial Officer)

 

 

EX-32.1 4 hdhc_10q-ex3201.htm CERTIFICATION

EXHIBIT 32.1

 

CERTIFICATION PURSUANT TO

18 U.S.C. SECTION 1350

AS ADOPTED PURSUANT TO SECTION 906

OF THE SARBANES-OXLEY ACT OF 2002

 

I, Mark A. Kersey, Chairman and Chief Executive Officer of High Desert Holding Corp. (the "Company"), do hereby certify, pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, that to the best of my knowledge:

 

  the Quarterly Report on Form 10-Q of the Company for the quarter ended September 30, 2017 (the "Report") fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934; and

 

  the information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company for the periods presented therein.

 

Date: November 13, 2017

 

/s/ MARK A. KERSEY                

Mark A. Kersey

Chairman and Chief Executive Officer

(Principal Executive Officer)

 

 

EX-32.2 5 hdhc_10q-ex3202.htm CERTIFICATION

EXHIBIT 32.2

 

CERTIFICATION PURSUANT TO

18 U.S.C. SECTION 1350

AS ADOPTED PURSUANT TO SECTION 906

OF THE SARBANES-OXLEY ACT OF 2002

 

I, Mark A. Kersey, Chairman and Chief Executive Officer of High Desert Holding Corp. (the "Company"), do hereby certify, pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, that to the best of my knowledge:

 

  the Quarterly Report on Form 10-Q of the Company for the year ended September 30, 2017 (the "Report") fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934; and

 

  the information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company for the periods presented therein.

 

Date: November 13, 2017

 

/s/ MARK A. KERSEY          

Mark A. Kersey

Chairman and Chief Financial Officer

(Principal Financial Officer)

 

 

 

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Entity Filer Category Entity Public Float Entity Common Stock, Shares Outstanding Document Fiscal Period Focus Document Fiscal Year Focus Statement of Financial Position [Abstract] ASSETS Current Assets Cash Other receivable Total current assets Mining equipment, net Mineral properties Total assets LIABILITIES AND STOCKHOLDERS' EQUITY Current Liabilities Accounts payable Related party accounts payable Shareholder advances Total current liabilities Commitments and Contingencies Stockholders' Equity Preferred stock, $.001 par value, 5,000,000 shares authorized and no shares issued and outstanding Common stock, $.001 par value, 70,000,000 shares authorized and 37,990,000 and 37,965,000 shares issued and outstanding at September 30, 2017 and December 31, 2016, respectively Additional paid in capital Accumulated deficit Total stockholders' equity Total liabilities and stockholders' equity Preferred stock, par value Preferred stock, shares authorized Preferred stock, shares issued Preferred stock, shares outstanding Common stock, par value Common stock, shares authorized Common stock, shares issued Common stock, shares outstanding Income Statement [Abstract] Revenue Net revenue Expenses Exploration and development Loss on sale of equipment General and administrative Total operating expenses Loss from operations Net loss Net loss per share - basic and diluted Weighted average shares outstanding Statement of Cash Flows [Abstract] Cash Flows from Operating Activities Net loss Adjustments to reconcile net loss to net cash used in operating activities: Stock compensation Loss on sale of mining equipment Change in related party accounts payable Change in accounts payable Net cash used in operating activities Cash Flows From Investing Activities Proceeds from sale of mining equipment Net cash provided by investing activities Cash Flows from Financing Activities Proceeds from issuance of related party notes payable Proceeds from issuance of common stock Net cash provided by financing activities Net increase in cash and cash equivalents Cash and cash equivalents at beginning of the period Cash and cash equivalents at end of the period Supplementary Disclosures of Cash Flow Information Cash paid for income taxes Cash paid for interest Non-Cash Investing and Financing Activities Common stock issued for Mineral Property and Mining Equipment acquisition Organization, Consolidation and Presentation of Financial Statements [Abstract] General Organization and Business Accounting Policies [Abstract] Summary of Significant Accounting Policies Going Concern Extractive Industries [Abstract] Mineral Property Property, Plant and Equipment [Abstract] Mining Equipment Equity [Abstract] Stockholders' Equity Related Party Transactions [Abstract] Related Party Transactions Cash and Cash Equivalents Use of Estimates Loss per Share Fair Value of Financial Instruments Income Taxes Stock Based Compensation Mining Equipment Mineral Property Costs Environmental Costs Reclamation Liabilities and Asset Retirement Obligations Recently Issued Accounting Pronouncements Cash equivalents Statement [Table] Statement [Line Items] Number of mining claims Mineral properties value Mining equipment sold Gross proceeds from sale of mining equipment Commissions on sale of equipment Loss on sale of equipment Issuance of common stock for cash, shares Proceeds from sale of common stock Accounts payable, related party Payments made to related party Expenses paid by related party on behalf of company Gross proceeds from sale of mining equipment Expenses paid by related party on behalf of company Assets, Current Assets Liabilities, Current Stockholders' Equity Attributable to Parent Liabilities and Equity Operating Expenses Operating Income (Loss) Cash, Period Increase (Decrease) Stockholders' Equity Note Disclosure [Text Block] Property, Plant and Equipment, Policy [Policy Text Block] EX-101.PRE 11 none-20170930_pre.xml XBRL PRESENTATION FILE XML 12 R1.htm IDEA: XBRL DOCUMENT v3.8.0.1
Document and Entity Information - shares
9 Months Ended
Sep. 30, 2017
Nov. 09, 2017
Document And Entity Information    
Entity Registrant Name High Desert Holding Corp.  
Entity Central Index Key 0001665421  
Document Type 10-Q  
Document Period End Date Sep. 30, 2017  
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   37,990,000
Document Fiscal Period Focus Q3  
Document Fiscal Year Focus 2017  
XML 13 R2.htm IDEA: XBRL DOCUMENT v3.8.0.1
Balance Sheets (Unaudited) - USD ($)
Sep. 30, 2017
Dec. 31, 2016
Current Assets    
Cash $ 148 $ 536
Other receivable 0 0
Total current assets 148 536
Mining equipment, net 203,179 282,857
Mineral properties 697,143 697,143
Total assets 900,470 980,536
Current Liabilities    
Accounts payable 102,214 67,851
Related party accounts payable 3,300 17,560
Shareholder advances 9,000 9,000
Total current liabilities 114,514 94,411
Commitments and Contingencies
Stockholders' Equity    
Preferred stock, $.001 par value, 5,000,000 shares authorized and no shares issued and outstanding 0 0
Common stock, $.001 par value, 70,000,000 shares authorized and 37,990,000 and 37,965,000 shares issued and outstanding at September 30, 2017 and December 31, 2016, respectively 37,990 37,965
Additional paid in capital 1,049,652 1,044,677
Accumulated deficit (301,686) (196,517)
Total stockholders' equity 785,956 886,125
Total liabilities and stockholders' equity $ 900,470 $ 980,536
XML 14 R3.htm IDEA: XBRL DOCUMENT v3.8.0.1
Balance Sheets (Unaudited) (Parenthetical) - $ / shares
Sep. 30, 2017
Dec. 31, 2016
Statement of Financial Position [Abstract]    
Preferred stock, par value $ 0.001 $ .001
Preferred stock, shares authorized 5,000,000 5,000,000
Preferred stock, shares issued 0 0
Preferred stock, shares outstanding 0 0
Common stock, par value $ 0.001 $ .001
Common stock, shares authorized 70,000,000 70,000,000
Common stock, shares issued 37,990,000 37,965,000
Common stock, shares outstanding 37,990,000 37,965,000
XML 15 R4.htm IDEA: XBRL DOCUMENT v3.8.0.1
Statements of Operations (Unaudited) - USD ($)
3 Months Ended 9 Months Ended
Sep. 30, 2017
Sep. 30, 2016
Sep. 30, 2017
Sep. 30, 2016
Revenue        
Net revenue $ 0 $ 0 $ 0 $ 0
Expenses        
Exploration and development 3,300 9,300 (2,346) 54,300
Loss on sale of equipment 0 0 32,503 0
General and administrative 22,598 22,330 75,012 59,148
Total operating expenses 25,898 31,630 105,169 113,448
Loss from operations (25,898) (31,630) (105,169) (113,448)
Net loss $ (25,898) $ (31,630) $ (105,169) $ (113,448)
Net loss per share - basic and diluted $ (0.00) $ 0.00 $ 0.00 $ 0.00
Weighted average shares outstanding 37,990,000 37,965,000 37,987,537 37,861,978
XML 16 R5.htm IDEA: XBRL DOCUMENT v3.8.0.1
Statements of Cash Flows (Unaudited) - USD ($)
9 Months Ended
Sep. 30, 2017
Sep. 30, 2016
Cash Flows from Operating Activities    
Net loss $ (105,169) $ (113,448)
Adjustments to reconcile net loss to net cash used in operating activities:    
Stock compensation 0 54,642
Loss on sale of mining equipment 32,503 0
Change in related party accounts payable (14,260) 0
Change in accounts payable 34,363 43,007
Net cash used in operating activities (52,563) (15,799)
Cash Flows From Investing Activities    
Proceeds from sale of mining equipment 47,175 0
Net cash provided by investing activities 47,175 0
Cash Flows from Financing Activities    
Proceeds from issuance of related party notes payable 0 13,851
Proceeds from issuance of common stock 5,000 0
Net cash provided by financing activities 5,000 13,851
Net increase in cash and cash equivalents (388) (1,948)
Cash and cash equivalents at beginning of the period 536 2,011
Cash and cash equivalents at end of the period 148 63
Supplementary Disclosures of Cash Flow Information    
Cash paid for income taxes 0 0
Cash paid for interest 0 0
Non-Cash Investing and Financing Activities    
Common stock issued for Mineral Property and Mining Equipment acquisition $ 0 $ 128,571
XML 17 R6.htm IDEA: XBRL DOCUMENT v3.8.0.1
1. General Organization and Business
9 Months Ended
Sep. 30, 2017
Organization, Consolidation and Presentation of Financial Statements [Abstract]  
General Organization and Business

High Desert Holding Corp. (the “Company”) was organized in the state of Nevada in September 2013. The Company is a precious and non-precious mineral exploration company. The Company is initially focused on identifying both public and privately held land that have historically demonstrated commercially viable resources primarily located in the Western United States, particularly Nevada.

 

The Company has mineral properties located in Nevada, but has not yet determined whether these properties contain a viable resource. Future exploration and development of this and any other properties will be dependent upon the ability of the Company to obtain necessary financing to satisfy the expenditure requirements under the property agreements to complete the development of the properties and upon the ability to raise additional capital.

 

The interim condensed financial statements have been prepared in accordance with generally accepted accounting principles for interim financial information and with the instructions to Form 10-Q of Regulation S-X. Accordingly, they do not include all of the information and footnotes required by generally accepted accounting principles for complete financial statements. In the Company’s opinion, all adjustments (consisting of normal recurring adjustments) considered necessary for a fair presentation have been included. Operating results for the three-month and nine-month periods ended September 30, 2017 are not necessarily indicative of the results that may be expected for the year ending December 31, 2017. For further information, refer to the financial statements and footnotes thereto included in our Annual Report on Form 10-K for the fiscal year ended December 31, 2016.

XML 18 R7.htm IDEA: XBRL DOCUMENT v3.8.0.1
2. Summary of Significant Accounting Policies
9 Months Ended
Sep. 30, 2017
Accounting Policies [Abstract]  
Summary of Significant Accounting Policies

Cash and Cash Equivalents

 

Cash and cash equivalents include cash in banks and financial instruments which mature within three months of the date of purchase. As of September 30, 2017 and December 31, 2016, the Company did not have any cash equivalents.

 

Use of Estimates

 

The preparation of financial statements 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 revenue and expenses during the reporting period.  Actual results could differ from those estimates.

 

Fair Value of Financial Instruments

 

The fair value of a financial instrument is the amount that could be received upon the sale of an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date.  Financial assets are marked to bid prices and financial liabilities are marked to offer prices.  The fair value should be calculated based on assumptions that market participants would use in pricing the asset or liability, not on assumptions specific to the entity.  In addition, the fair value of liabilities should include consideration of non-performance risk, including the party’s own credit risk.

 

Fair value measurements do not include transaction costs.  A fair value hierarchy is used to prioritize the quality and reliability of the information used to determine fair values.  Categorization within the fair value hierarchy is based on the lowest level of input that is significant to the fair value measurement.  The fair value hierarchy is defined into the following three categories:

 

Level 1: Quoted market prices in active markets for identical assets or liabilities.

Level 2: Observable market-based inputs or unobservable inputs that are corroborated by market data.

Level 3: Unobservable inputs that are not corroborated by market data.

 

Recently Issued Accounting Pronouncements

 

There are no newly issued accounting pronouncements that the Company expects to have a material impact on its financial position, results of operations, or cash flows.

XML 19 R8.htm IDEA: XBRL DOCUMENT v3.8.0.1
3. Going Concern
9 Months Ended
Sep. 30, 2017
Organization, Consolidation and Presentation of Financial Statements [Abstract]  
Going Concern

The accompanying financial statements have been prepared assuming that the Company will continue as a going concern, which contemplates the realization of assets and the liquidation of liabilities in the normal course of business.  Since inception, the Company has not identified any proven or probable reserve and correspondingly has not generated any revenue during its exploration stage.  This raises substantial doubt about the Company’s ability to continue as a going concern. These financials do not include any adjustments relating to the recoverability and classification of recorded asset amounts or amounts and classification of liabilities that might result from this uncertainty. The Company needs to raise additional funds to continue as a going concern.

XML 20 R9.htm IDEA: XBRL DOCUMENT v3.8.0.1
4. Mineral Property
9 Months Ended
Sep. 30, 2017
Extractive Industries [Abstract]  
Mineral Property

Kibby Flats

 

The Company has ten (10) unpatented mining claims commonly referred to as Kibby Flats located in Esmerelda County, Nevada with estimated value of $80,000.

 

QR Claims

 

The Company has fifty (50) unpatented mining claims commonly referred to as the “QR Claims 1-50” located in Humboldt County, Nevada with an estimated value of $617,143.

XML 21 R10.htm IDEA: XBRL DOCUMENT v3.8.0.1
5. Mining Equipment
9 Months Ended
Sep. 30, 2017
Property, Plant and Equipment [Abstract]  
Mining Equipment

In February 2017, the Company sold mining equipment with a carrying value of $79,678 for a gross sales price of $50,000. As part of the sale, the Company incurred commissions totaling $2,825 included in the loss on sale of $32,503.

XML 22 R11.htm IDEA: XBRL DOCUMENT v3.8.0.1
6. Stockholders' Equity
9 Months Ended
Sep. 30, 2017
Equity [Abstract]  
Stockholders' Equity

The Company is authorized to issue 70,000,000 shares of common stock with a par value of $0.001 per share. As of September 30, 2017, the Company had a total of 37,990,000 shares issued and outstanding. The following provides information for the shares of restricted and unregistered shares of common stock that we issued from January 1, 2017 through September 30, 2017.

 

In January 2017, the Company issued 25,000 shares of common stock at $0.20 per share for cash proceeds totaling $5,000.

XML 23 R12.htm IDEA: XBRL DOCUMENT v3.8.0.1
7. Related Party Transactions
9 Months Ended
Sep. 30, 2017
Related Party Transactions [Abstract]  
Related Party Transactions

In August 2013 our founder, former officer and director, and significant shareholder, Marty Weigel, loaned us $9,000 to fund the start-up of our initial operations. Mr. Weigel has agreed to not accrue interest on the loan and has informally agreed to defer re-payment of the loan until such time as we have acquired a more stable source of funding.

 

During the period ended September 30, 2017, we paid Ingenium Accounting Associates, an accounting Firm controlled by Marty Weigel, $16,009 to settle the total balance owed as of December 31, 2016 related to payments made on our behalf to maintain our regulatory filings with the State of Nevada, and pay for operating expenses.

 

As of September 30, 2017, we owed Mr. Kersey, our Chief Executive and Financial Officer, $13,914 for administrative and travel expenses paid on our behalf. During the period ended September 30, 2017, we repaid Mr. Kersey $24,500 related to expenses paid by him on our behalf, of which were incurred since his appointment. Mr. Kersey has agreed to defer repayment of the currently outstanding obligations until the Company’s cash resources significantly increase.

XML 24 R13.htm IDEA: XBRL DOCUMENT v3.8.0.1
2. Summary of Significant Accounting Policies (Policies)
9 Months Ended
Sep. 30, 2017
Accounting Policies [Abstract]  
Cash and Cash Equivalents

Cash and Cash Equivalents

 

Cash and cash equivalents include cash in banks and financial instruments which mature within three months of the date of purchase. As of September 30, 2017 and December 31, 2016, the Company did not have any cash equivalents.

Use of Estimates

Use of Estimates

 

The preparation of financial statements 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 revenue and expenses during the reporting period.  Actual results could differ from those estimates.

Fair Value of Financial Instruments

Fair Value of Financial Instruments

 

The fair value of a financial instrument is the amount that could be received upon the sale of an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date.  Financial assets are marked to bid prices and financial liabilities are marked to offer prices.  The fair value should be calculated based on assumptions that market participants would use in pricing the asset or liability, not on assumptions specific to the entity.  In addition, the fair value of liabilities should include consideration of non-performance risk, including the party’s own credit risk.

 

Fair value measurements do not include transaction costs.  A fair value hierarchy is used to prioritize the quality and reliability of the information used to determine fair values.  Categorization within the fair value hierarchy is based on the lowest level of input that is significant to the fair value measurement.  The fair value hierarchy is defined into the following three categories:

 

Level 1: Quoted market prices in active markets for identical assets or liabilities.

Level 2: Observable market-based inputs or unobservable inputs that are corroborated by market data.

Level 3: Unobservable inputs that are not corroborated by market data.

Recently Issued Accounting Pronouncements

Recently Issued Accounting Pronouncements

 

There are no newly issued accounting pronouncements that the Company expects to have a material impact on its financial position, results of operations, or cash flows.

XML 25 R14.htm IDEA: XBRL DOCUMENT v3.8.0.1
2. Summary of Significant Accounting Policies (Details Narrative) - USD ($)
Sep. 30, 2017
Sep. 30, 2016
Accounting Policies [Abstract]    
Cash equivalents $ 0 $ 0
XML 26 R15.htm IDEA: XBRL DOCUMENT v3.8.0.1
4. Mineral Property (Details Narrative)
Sep. 30, 2017
USD ($)
Claims
Dec. 31, 2016
USD ($)
Mineral properties value $ 697,143 $ 697,143
Kibby Flats [Member]    
Number of mining claims | Claims 10  
Mineral properties value $ 80,000  
QR Claims [Member]    
Number of mining claims | Claims 50  
Mineral properties value $ 617,143  
XML 27 R16.htm IDEA: XBRL DOCUMENT v3.8.0.1
5. Mining Equipment (Details Narrative) - USD ($)
3 Months Ended 9 Months Ended
Sep. 30, 2017
Sep. 30, 2016
Sep. 30, 2017
Sep. 30, 2016
Property, Plant and Equipment [Abstract]        
Mining equipment sold $ 79,678   $ 79,678  
Gross proceeds from sale of mining equipment     50,000  
Commissions on sale of equipment     2,825  
Loss on sale of equipment $ 0 $ 0 $ (32,503) $ 0
XML 28 R17.htm IDEA: XBRL DOCUMENT v3.8.0.1
6. Stockholders' Equity (Details Narrative) - USD ($)
9 Months Ended
Sep. 30, 2017
Sep. 30, 2016
Proceeds from sale of common stock $ 5,000 $ 0
Common Stock    
Issuance of common stock for cash, shares 25,000  
Proceeds from sale of common stock $ 5,000  
XML 29 R18.htm IDEA: XBRL DOCUMENT v3.8.0.1
7. Related Party Transactions (Details Narrative) - USD ($)
9 Months Ended
Sep. 30, 2017
Dec. 31, 2016
Accounts payable, related party $ 3,300 $ 17,560
Marty Weigel [Member]    
Accounts payable, related party 9,000  
Ingenium Accounting Associates [Member]    
Payments made to related party 16,009  
Expenses paid by related party on behalf of company 16,009  
Mark Kersey [Member]    
Accounts payable, related party 13,914  
Payments made to related party 24,500  
Expenses paid by related party on behalf of company $ 24,500  
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