Accounts Receivable

12 Months Ended

Dec. 31, 2013

Receivables [Abstract]

Accounts Receivable

NOTE E – ACCOUNTS RECEIVABLE

The accounts receivable balances at December 31, 2013 and December 31, 2012 were $207,005 and $2,101,941, respectively, which are net of reserves of $5,131,593 and $4,820,593, respectively. As described in NOTE J, Neptune Minerals, Inc. (“NMI”) completed a 2011 share exchange with Dorado Ocean Resources, Ltd. (“DOR”) shareholders which resulted in an executed assignment and assumption agreement, whereby NMI assumed $8,227,675 of the outstanding debt of DOR owed to us. Of the December 31, 2013 reserve balance, $4,631,593 is allocated to the receivable NMI assumed from DOR while $500,000 relates to the convertible note we extended to NMI during 2013. The $4,820,593 reserve at December 31, 2012 is for the remaining NMI accounts receivable assumed from DOR. See NOTE J for further details regarding NMI.

The December 31, 2012 amount of $2,101,941 includes $1,470,357 representing revenue related to the remaining silver bullion to be sold into the London bullion market. We recovered approximately 61 tons of silver in 2013 and approximately 48 tons in 2012 from the SS Gairsoppa and had the silver refined which allowed us to sell the silver into London’s bullion market on behalf of United Kingdom Government. The “Gairsoppa” project is discussed at length in ITEM 1 of this Form 10-K.