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Going Concern Consideration
9 Months Ended
Oct. 31, 2011
Organization, Consolidation and Presentation of Financial Statements  
Going Concern Note

(4)        Going Concern Consideration

 

The Company has incurred operating losses of $19,366,656 since inception and had a stockholders’ deficit and working capital deficit of $  662,176 at October 31, 2011 and no revenue producing operations. These conditions raise substantial doubt about the Company's ability to continue as a going concern.

 

The ability of the Company to achieve its operating goals and thus positive cash flows from operations is dependent upon the future market price of metals, future capital raising efforts, and the ability to achieve future operating efficiencies anticipated with increased production levels. Management's plans will require additional financing, reduced exploration activity or disposition of or joint ventures with respect to mineral properties. While the Company has been successful in these capital raising endeavours in the past, there can be no assurance that its future efforts and anticipated operating improvements will be successful.

 

The financial statements do not include any adjustments to reflect the possible future effects on the recoverability and classification of assets or the amounts and classification of liabilities that may result from the possible inability of the Company to continue as a going concern.