PROPERTY AND EQUIPMENT:

9 Months Ended

Mar. 31, 2024

Property, Plant and Equipment [Abstract]

PROPERTY AND EQUIPMENT:

3.  PROPERTY AND EQUIPMENT:

Property and equipment consist of the following:

	March 31, 2024			June 30, 2023
Computers and office equipment		12,606			15,156
Initial Project: construction in process		9,340,612			6,847,760
Property and equipment, gross		9,353,218			6,862,916
Less accumulated depreciation		(11,581	)		(11,907	)
Property and equipment, net	$	9,341,637		$	6,851,009

The 3G1 project (“Initial Project”) began in July of 2021, with a lease signed on land October 1, 2021 (Note 9). Once the lease commenced the Company moved into construction phase. The balance for the Initial Project construction in process includes $257,657 and $98,104 for capitalized interest and $135,648 and $135,648 in non-cash compensation as of December 31, 2023 and 2022, respectively.

Management previously believed that the Initial Project had reached the point where it could be appropriately deemed ‘placed in service’ at January 1, 2024. However, discussions with the key technical and engineering personnel involved at the Initial Project during the recently concluded quarter convinced management that such a characterization was premature as some key modules had not yet been completed and/or fully tested. Additionally, due to some recent equipment break-downs, the Initial Project is currently in maintenance mode rather than conducting operations while the Company awaits required replacement parts and subsequent repairs. This process has been slowed by the Company’s ongoing difficulties in raising needed funds for its activities. It is management’s current intention to re-evaluate the classification/status of the Initial Project at/after the June 30, 2024 fiscal year end as part of the Company’s annual review process (Note 1 and Note 10).

Management has reviewed the remaining property and equipment for impairment as of March 31, 2024 and believes that no impairment exists.

Depreciation expense was $331 and $461 for the three months ended March 31, 2024 and 2023, respectively and $1,251 and $1,185 for the nine months ended March 31, 2024 and 2023, respectively.