FLORIDA
|
|
1081
|
|
65-0955118
|
(State
or other jurisdiction of
|
|
(Primary
Standard Industrial
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|
(I.R.S.
Employer Identification No.)
|
incorporation
or organization)
|
|
Classification
Code Number)
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|
|
PART
I
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||||
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ITEM
1
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|
DESCRIPTION
OF BUSINESS
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|
3
|
ITEM
2
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DESCRIPTION
OF PROPERTY
|
|
12
|
ITEM
3
|
|
LEGAL
PROCEEDINGS
|
|
25
|
ITEM
4
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|
SUBMISSION
OF MATTERS TO VOTE OF SECURITY HOLDERS
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|
25
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PART
II
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||||
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ITEM
5
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MARKET
FOR REGISTRANT'S COMMON EQUITY AND RELATED STOCKHOLDER
MATTERS
|
|
25
|
ITEM
6
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|
MANAGEMENT'S
DISCUSSION AND ANALYSIS OR PLAN OF OPERATIONS
|
|
26
|
ITEM
7
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|
FINANCIAL
STATEMENTS
|
|
34
|
ITEM
8
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|
CHANGES
IN AND DISAGREEMENTS WITH ACCOUNTANTS ON ACCOUNTING AND FINANCIAL
DISCLOSURE
|
|
34
|
ITEM
8A
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|
CONTROLS
AND PROCEDURES
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|
34
|
ITEM
8B
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|
OTHER
INFORMATION
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35
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|
PART
III
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||||
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|
ITEM
9
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|
DIRECTORS
AND EXECUTIVE OFFICERS OF THE REGISTRANT
|
|
35
|
ITEM
10
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|
EXECUTIVE
COMPENSATION
|
|
36
|
ITEM
11
|
|
SECURITY
OWNERSHIP OF CERTAIN BENEFICIAL OWNERS AND MANAGEMENT AND RELATED
STOCKHOLDER MATTERS
|
|
39
|
ITEM
12
|
|
CERTAIN
RELATIONSHIPS AND RELATED TRANSACTIONS
|
|
40
|
ITEM
13
|
|
EXHIBITS
AND REPORTS ON FORM 8-K
|
|
40
|
ITEM
14
|
|
PRINCIPAL
ACCOUNTANT FEES AND SERVICES
|
|
41
|
|
|
SIGNATURES
|
|
42
|
|
|
INDEX
TO CONSOLIDATED FINANCIAL STATEMENTS
|
|
F-1
|
Name
|
|
Location
|
|
Type
|
Comstock
Lode Properties
|
|
Storey
and Lyon County, Nevada
|
|
Gold
and silver lode claims- open pit test mining
|
Como
|
|
Lyon
County, Nevada
|
|
Gold
and silver lode claims
|
Gold
Canyon
|
|
Lyon
County, Nevada
|
|
Placer
gold claims
|
Spring
Valley
|
|
Lyon
County, Nevada
|
|
Placer
gold claims
|
|
Issued
date
|
Face
amount
|
|||||
Winfield
Debenture Payable
|
5/15/2006
|
$
|
300,000
|
||||
Winfield
Debenture Payable
|
6/21/2006
|
300,000
|
|||||
Winfield
Debenture Payable
|
8/23/2006
|
300,000
|
|||||
Longview
Debenture Payable
|
8/24/2006
|
300,000
|
|||||
Winfield
Debenture Payable
|
12/12/2006
|
100,000
|
|||||
Winfield
Debenture Payable
|
First
Quarter 2007
|
331,120
|
|||||
Winfield
Debenture Payable
|
Second
Quarter 2007
|
288,880
|
|||||
Longview
Debenture Payable
|
4/1/07
|
250,000
|
|||||
Total
|
$
|
2,170,000
|
Claim
Number
|
Claim
Name
|
Position
|
Land
Status
|
Acres
|
50
|
Echo
Lode
|
Lease
|
Private
Land
|
7
|
67
|
St.
Louis PT
|
Lease
|
Private
Land
|
7
|
95
|
Green
Lode
|
Lease
|
Private
Land
|
11
|
140
|
Lucerne
Lode
|
Lease
|
Private
Land
|
8
|
5011
|
Billie
the Kid
|
Lease
|
Private
Land
|
18
|
Claim
Number
|
Claim
Name
|
Position
|
Land
Source
|
Acres
|
84
|
Tarto
Lode
|
Lease
|
Private
Land
|
1
|
86
|
Hartford
|
Lease
|
Private
Land
|
14
|
1723
|
Succor
Lode
|
Lease
|
Private
Land
|
6
|
3760
|
Olympia
|
Lease
|
Private
Land
|
6
|
4728
|
Hardluck
|
Lease
|
Private
Land
|
6
|
4728
|
Friendship
|
Lease
|
Private
Land
|
7
|
4728
|
Brown
Lode
|
Lease
|
Private
Land
|
8
|
Niagra
Mining Claim
|
Lease
|
Private
Land
|
3
|
|
1066
|
S.
Comstock Mining Claim
|
Lease
|
Private
Land
|
12
|
Serial
#
|
Claim
Name
|
Location
Date
|
Owner
/ Lease Holder
|
Type
|
Position
|
Land
Source
|
Acres
|
NMC416049
|
Big
Mike
|
4/7/1987
|
Donovan
|
Lode
|
Lease
|
BLM
|
20
|
NMC416048
|
Cliff
House Fraction
|
4/7/1987
|
Donovan
|
Lode
|
Lease
|
BLM
|
4
|
NMC416043
|
Echo
St. Louis Fraction
|
4/7/1987
|
Donovan
|
Lode
|
Lease
|
BLM
|
.30
|
NMC416041
|
Green
St. Louis Fraction
|
3/41987
|
Donovan
|
Lode
|
Lease
|
BLM
|
7
|
NMC676492
|
Hartford
Lucerne Fraction
|
4/7/1987
|
Donovan
|
Lode
|
Lease
|
BLM
|
0.9
|
NMC416040
|
Hartford
South Extension
|
4/7/1987
|
Donovan
|
Lode
|
Lease
|
BLM
|
3
|
NMC416042
|
Hartford
St. Louis Fraction
|
4/7/1987
|
Donovan
|
Lode
|
Lease
|
BLM
|
6.5
|
NMC416044
|
Justice
Lucerne Fraction
|
4/7/1987
|
Donovan
|
Lode
|
Lease
|
BLM
|
1.7
|
NMC416046
|
Justice
Woodville Fraction
|
4/7/1987
|
Donovan
|
Lode
|
Lease
|
BLM
|
3.1
|
NMC416047
|
New
Deal Fraction
|
4/7/1987
|
Donovan
|
Lode
|
Lease
|
BLM
|
12
|
NMC416045
|
South
Comstock St. Louis
|
4/7/1987
|
Donovan
|
Lode
|
Lease
|
BLM
|
1
|
NMC416033
|
Vindicator
#8
|
4/61987
|
Donovan
|
Lode
|
Lease
|
BLM
|
20.7
|
Serial
#
|
Claim
Name
|
Location
Date
|
Owner
/ Lease Holder
|
Type
|
Position
|
Land
Source
|
Acres
|
NMC821729
|
Comstock
#1
|
10/16/2000
|
GSPG
|
Lode
|
Fee
|
BLM
|
20.7
|
NMC821739
|
Comstock
#11
|
10/16/2000
|
GSPG
|
Lode
|
Fee
|
BLM
|
20.7
|
NMC821740
|
Comstock
#12
|
10/16/2000
|
GSPG
|
Lode
|
Fee
|
BLM
|
20.6
|
NMC821741
|
Comstock
#13
|
12/1/2000
|
GSPG
|
Lode
|
Fee
|
BLM
|
20.6
|
NMC821742
|
Comstock
#14
|
10/16/2000
|
GSPG
|
Lode
|
Fee
|
BLM
|
20.7
|
NMC821743
|
Comstock
#15
|
10/16/2000
|
GSPG
|
Lode
|
Fee
|
BLM
|
20.7
|
NMC821744
|
Comstock
#16
|
10/16/2000
|
GSPG
|
Lode
|
Fee
|
BLM
|
20.7
|
NMC821745
|
Comstock
#17
|
12/1/2000
|
GSPG
|
Lode
|
Fee
|
BLM
|
20.7
|
NMC821746
|
Comstock
#18
|
12/1/2000
|
GSPG
|
Lode
|
Fee
|
BLM
|
13.8
|
NMC821730
|
Comstock
#2
|
10/16/2000
|
GSPG
|
Lode
|
Fee
|
BLM
|
20.7
|
NMC821731
|
Comstock
#3
|
10/16/2000
|
GSPG
|
Lode
|
Fee
|
BLM
|
20.7
|
NMC821735
|
Comstock
#7
|
10/16/2000
|
GSPG
|
Lode
|
Fee
|
BLM
|
20.7
|
NMC821736
|
Comstock
#8
|
10/16/2000
|
GSPG
|
Lode
|
Fee
|
BLM
|
20.7
|
NMC821737
|
Comstock
#9
|
10/16/2000
|
GSPG
|
Lode
|
Fee
|
BLM
|
20.7
|
NMC821492
|
Comstock
#115
|
4/8/2004
|
GSPG
|
Lode
|
Fee
|
BLM
|
20.7
|
NMC821493
|
Comstock
#116
|
4/8/2004
|
GSPG
|
Lode
|
Fee
|
BLM
|
20.7
|
NMC821494
|
Comstock
#117
|
4/8/2004
|
GSPG
|
Lode
|
Fee
|
BLM
|
20.7
|
NMC821495
|
Comstock
#118
|
4/8/2004
|
GSPG
|
Lode
|
Fee
|
BLM
|
20.7
|
NMC821496
|
Comstock
#119
|
4/8/2004
|
GSPG
|
Lode
|
Fee
|
BLM
|
20.7
|
NMC821497
|
Comstock
#120
|
4/8/2004
|
GSPG
|
Lode
|
Fee
|
BLM
|
20.7
|
NMC821498
|
Comstock
#121
|
4/8/2004
|
GSPG
|
Lode
|
Fee
|
BLM
|
20.7
|
NMC821499
|
Comstock
#122
|
4/8/2004
|
GSPG
|
Lode
|
Fee
|
BLM
|
20.7
|
NMC821500
|
Comstock
#123
|
4/8/2004
|
GSPG
|
Lode
|
Fee
|
BLM
|
20.7
|
NMC821501
|
Comstock
#124
|
4/8/2004
|
GSPG
|
Lode
|
Fee
|
BLM
|
20.7
|
NMC821502
|
Comstock
#125
|
4/8/2004
|
GSPG
|
Lode
|
Fee
|
BLM
|
20.7
|
NMC821503
|
Comstock
#126
|
4/8/2004
|
GSPG
|
Lode
|
Fee
|
BLM
|
20.7
|
NMC821504
|
Comstock
#127
|
4/8/2004
|
GSPG
|
Lode
|
Fee
|
BLM
|
20.7
|
NMC821505
|
Comstock
#128
|
4/8/2004
|
GSPG
|
Lode
|
Fee
|
BLM
|
13.8
|
NMC821506
|
Comstock
#129
|
7/1/2004
|
GSPG
|
Lode
|
Fee
|
BLM
|
20.7
|
NMC821507
|
Comstock
#130
|
7/1/2004
|
GSPG
|
Lode
|
Fee
|
BLM
|
20.7
|
NMC821508
|
Comstock
#131
|
7/1/2004
|
GSPG
|
Lode
|
Fee
|
BLM
|
20.7
|
NMC821509
|
Comstock
#132
|
7/1/2004
|
GSPG
|
Lode
|
Fee
|
BLM
|
20.7
|
NMC821510
|
Comstock
#133
|
7/1/2004
|
GSPG
|
Lode
|
Fee
|
BLM
|
20.7
|
NMC821511
|
Comstock
#134
|
7/1/2004
|
GSPG
|
Lode
|
Fee
|
BLM
|
20.7
|
NMC821512
|
Comstock
#135
|
7/1/2004
|
GSPG
|
Lode
|
Fee
|
BLM
|
20.7
|
NMC821513
|
Comstock
#136
|
7/1/2004
|
GSPG
|
Lode
|
Fee
|
BLM
|
20.7
|
Serial
#
|
Claim Name | Location Date | Owner / Lease Holder | Type | Position | Land Source | Acres |
NMC821514
|
Comstock
#137
|
7/1/2004
|
GSPG
|
Lode
|
Fee
|
BLM
|
20.7
|
NMC821515
|
Comstock
#138
|
7/1/2004
|
GSPG
|
Lode
|
Fee
|
BLM
|
20.7
|
NMC821516
|
Comstock
#139
|
7/1/2004
|
GSPG
|
Lode
|
Fee
|
BLM
|
14.4
|
NMC821517
|
Comstock
#140
|
7/1/2004
|
GSPG
|
Lode
|
Fee
|
BLM
|
18.3
|
NMC821518
|
Comstock
#141
|
7/1/2004
|
GSPG
|
Lode
|
Fee
|
BLM
|
20.7
|
NMC821519
|
Comstock
#142
|
7/1/2004
|
GSPG
|
Lode
|
Fee
|
BLM
|
20.7
|
NMC965375
|
Ghost
#1
|
9/30/2007
|
GSPG
|
Load
|
Fee
|
BLM
|
20.7
|
NMC965384
|
Ghost
#10
|
9/30/2007
|
GSPG
|
Lode
|
Fee
|
BLM
|
20.7
|
NMC965385
|
Ghost
#11
|
9/30/2007
|
GSPG
|
Lode
|
Fee
|
BLM
|
20.7
|
NMC965376
|
Ghost
#2
|
9/30/2007
|
GSPG
|
Lode
|
Fee
|
BLM
|
20.7
|
NMC965377
|
Ghost
#3
|
9/30/2007
|
GSPG
|
Lode
|
Fee
|
BLM
|
20.7
|
NMC965378
|
Ghost
#4
|
9/30/2007
|
GSPG
|
Lode
|
Fee
|
BLM
|
20.7
|
NMC965379
|
Ghost
#5
|
9/30/2007
|
GSPG
|
Lode
|
Fee
|
BLM
|
20.7
|
NMC965380
|
Ghost
#6
|
9/30/2007
|
GSPG
|
Lode
|
Fee
|
BLM
|
20.7
|
NMC965381
|
Ghost
#7
|
9/30/2007
|
GSPG
|
Lode
|
Fee
|
BLM
|
20.7
|
NMC965382
|
Ghost
#8
|
9/30/2007
|
GSPG
|
Lode
|
Fee
|
BLM
|
20.7
|
NMC965383
|
Ghost
#9
|
9/30/2007
|
GSPG
|
Lode
|
Fee
|
BLM
|
20.7
|
NMC810323
|
Lee
#2
|
11/31/1999
|
GSPG
|
Lode
|
Fee
|
BLM
|
19.8
|
NMC810324
|
Lee
#3
|
11/31/1999
|
GSPG
|
Lode
|
Fee
|
BLM
|
20.7
|
NMC810321
|
Lee
#5
|
11/31/1999
|
GSPG
|
Lode
|
Fee
|
BLM
|
19.4
|
NMC814553
|
Lee
#8
|
1/29/2000
|
GSPG
|
Lode
|
Fee
|
BLM
|
19.5
|
NMC814554
|
Lee
#9
|
1/29/2000
|
GSPG
|
Lode
|
Fee
|
BLM
|
19.2
|
NMC555211
|
Overlap
#3
|
4/24/1989
|
GSPG
|
Lode
|
Fee
|
BLM
|
3.0
|
NMC704516
|
Overman
#1
|
8/27/1994
|
GSPG
|
Lode
|
Fee
|
BLM
|
1.0
|
NMC884216
|
Plum
|
11/19/2004
|
GSPG
|
Lode
|
Fee
|
BLM
|
20.4
|
NMC705983
|
Woodville
Extension
|
8/10/1994
|
GSPG
|
Lode
|
Fee
|
BLM
|
1.0
|
NMC17092
|
Como
Comet 1
|
8/28/1976
|
GSPG
|
Lode
|
Fee
|
BLM
|
21.0
|
NMC17093
|
Como
Comet 2
|
8/28/1976
|
GSPG
|
Lode
|
Fee
|
BLM
|
21.0
|
NMC4439
|
Como
Comet 3
|
4/26/1977
|
GSPG
|
Lode
|
Fee
|
BLM
|
21.0
|
NMC4440
|
Como
Comet 4
|
4/26/1977
|
GSPG
|
Lode
|
Fee
|
BLM
|
21.0
|
NMC6121
|
Como
Comet 6
|
4/30/1977
|
GSPG
|
Lode
|
Fee
|
BLM
|
21.0
|
NMC6122
|
Como
Comet 7
|
5/15/1977
|
GSPG
|
Lode
|
Fee
|
BLM
|
21.0
|
NMC6123
|
Como
Comet 8
|
5/15/1977
|
GSPG
|
Lode
|
Fee
|
BLM
|
21.0
|
NMC6124
|
Como
Comet 9
|
5/15/1977
|
GSPG
|
Lode
|
Fee
|
BLM
|
21.0
|
Serial
#
|
Claim
Name
|
Location
Date
|
Type
|
Lease
Holder
|
Position
|
Land
Source
|
Acres
|
NMC677117
|
Harlesk
#1
|
3/8/1993
|
Placer
|
GSPG
|
Fee
|
BLM
|
4.4
|
NMC677118
|
Harlesk
#2
|
3/8/1993
|
Placer
|
GSPG
|
Fee
|
BLM
|
19.7
|
NMC677119
|
Harlesk
#3
|
3/8/1993
|
Placer
|
GSPG
|
Fee
|
BLM
|
17.8
|
NMC677120
|
Harlesk
#4
|
3/8/1993
|
Placer
|
GSPG
|
Fee
|
BLM
|
4.5
|
NMC677121
|
Harlesk
#5
|
3/8/1993
|
Placer
|
GSPG
|
Fee
|
BLM
|
20.1
|
NMC677122
|
Harlesk
#6
|
3/8/1993
|
Placer
|
GSPG
|
Fee
|
BLM
|
17.7
|
NMC677123
|
Harlesk
#7
|
3/8/1993
|
Placer
|
GSPG
|
Fee
|
BLM
|
20.3
|
NMC677124
|
Harlesk
#8
|
3/8/1993
|
Placer
|
GSPG
|
Fee
|
BLM
|
17.4
|
NMC677125
|
Harlesk
#9
|
3/8/1993
|
Placer
|
GSPG
|
Fee
|
BLM
|
18.9
|
NMC677126
|
Harlesk
#10
|
3/8/1993
|
Placer
|
GSPG
|
Fee
|
BLM
|
19.9
|
NMC872176
|
Harlesk
#100
|
4-19-2004
|
Placer
|
GSPG
|
Fee
|
BLM
|
21.0
|
NMC872177
|
Harlesk
#101
|
4-19-2004
|
Placer
|
GSPG
|
Fee
|
BLM
|
21.2
|
NMC872178
|
Harlesk
#102
|
4-19-2004
|
Placer
|
GSPG
|
Fee
|
BLM
|
21.0
|
NMC872179
|
Harlesk
#103
|
4-19-2004
|
Placer
|
GSPG
|
Fee
|
BLM
|
20.8
|
NMC99064
|
SD
Placer
|
9/30/1967
|
Placer
|
GSPG
|
Fee
|
BLM
|
42.3
|
NMC99065
|
DS
Placer
|
9/30/1967
|
Placer
|
GSPG
|
Fee
|
BLM
|
82.1
|
NMC99066
|
Trio
Claims
|
9/30/1967
|
Placer
|
GSPG
|
Fee
|
BLM
|
41.5
|
NMC99067
|
Gold
Star Placers
|
7/18/1972
|
Placer
|
GSPG
|
Fee
|
BLM
|
81
|
NMC99068
|
Badger
Placer
|
8/13/1966
|
Placer
|
GSPG
|
Fee
|
BLM
|
21.0
|
NMC99072
|
EZ
Placer
|
2/6/1970
|
Placer
|
GSPG
|
Fee
|
BLM
|
40.2
|
NMC99075
|
Nugget
Placer
|
9/1/1959
|
Placer
|
GSPG
|
Fee
|
BLM
|
80.0
|
NMC99076
|
Star
Placer
|
11/12/1966
|
Placer
|
GSPG
|
Fee
|
BLM
|
41.1
|
NMC99078
|
Stans
Placer
|
9/2/1969
|
Placer
|
GSPG
|
Fee
|
BLM
|
80.3
|
NMC99079
|
Stangs
Placer
|
10/15/169
|
Placer
|
GSPG
|
Fee
|
BLM
|
41
|
NMC99074
|
Mustang
|
9/6/1969
|
Placer
|
GSPG
|
Fee
|
BLM
|
38
|
Serial
#
|
Claim
Name
|
Location
Date
|
Type
|
Lease
Holder
|
Position
|
Land
Source
|
Acres
|
NMC-87482
|
Big
Mike Lode
|
6/18/1979
|
Lode
|
GSPG
|
Fee
|
BLM
|
20.7
|
NMC-87483
|
Big
Mike 4 Lode
|
6/18/1979
|
Lode
|
GSPG
|
Fee
|
BLM
|
20.7
|
NMC-87484
|
Big
Mike 6 Lode
|
6/18/1979
|
Lode
|
GSPG
|
Fee
|
BLM
|
20.7
|
NMC-87485
|
Big
Mike 7 Lode
|
6/18/1979
|
Lode
|
GSPG
|
Fee
|
BLM
|
20.7
|
NMC-87486
|
Big
Mike 9 Lode
|
6/18/1979
|
Lode
|
GSPG
|
Fee
|
BLM
|
20.7
|
NMC-87487
|
Big
Mike 10 Lode
|
6/18/1979
|
Lode
|
GSPG
|
Fee
|
BLM
|
20.7
|
NMC-87488
|
Big
Mike 11 Lode
|
6/18/1979
|
Lode
|
GSPG
|
Fee
|
BLM
|
20.7
|
NMC-87489
|
Big
Mike 12 Lode
|
6/18/1979
|
Lode
|
GSPG
|
Fee
|
BLM
|
20.7
|
NMC-87490
|
Big
Mike 16 Lode
|
6/18/1979
|
Lode
|
GSPG
|
Fee
|
BLM
|
20.7
|
NMC-87491
|
Big
Mike 20 Lode
|
6/18/1979
|
Lode
|
GSPG
|
Fee
|
BLM
|
20.7
|
NMC-87492
|
Big
Mike 24 Lode
|
6/18/1979
|
Lode
|
GSPG
|
Fee
|
BLM
|
20.7
|
NMC-87493
|
Big
Mike 30 Lode
|
6/18/1979
|
Lode
|
GSPG
|
Fee
|
BLM
|
20.7
|
NMC-87494
|
Big
Mike Extension
|
7/27/1979
|
Lode
|
GSPG
|
Fee
|
BLM
|
17.7
|
NMC-87495
|
Big
Mike Extension #1
|
7/27/1979
|
Lode
|
GSPG
|
Fee
|
BLM
|
17.7
|
NMC-87496
|
Big
Mike Extension #2
|
7/26/1979
|
Lode
|
GSPG
|
Fee
|
BLM
|
17.7
|
NMC-87497
|
Brandi
Placer
|
6/18/1979
|
Placer
|
GSPG
|
Fee
|
BLM
|
20.0
|
NMC-510111
|
Big
Ron
|
7/26/1979
|
Lode
|
GSPG
|
Fee
|
BLM
|
20.0
|
NMC510112
|
Big
Bruce
|
7/26/1979
|
Lode
|
GSPG
|
Fee
|
BLM
|
20.0
|
·
|
Settlement
without payment of cash consideration by either side in either
case
|
|
|
|
|
·
|
Dismissal
of both the Federal Court Action and the State Court Action with
prejudice
(including dismissal by Parent of the pending Federal Court
appeal)
|
|
|
|
|
·
|
Mutual
release of liability and covenants not to sue
|
|
|
|
|
·
|
Invalidity
of Consent Resolutions described in the Federal Court’s April 18, 2006
Order Granting Preliminary Injunction in the Federal Court Action
and
agreement by the Parents and Medhi further to not further contest
or
challenge in any way the election of GoldSpring’s current Board of
Directors or any of the actions taken by GoldSpring’s Board of Directors
or its officers at any time up to the date of this Agreement, including,
but not limited to the approval and/or implementation of the November
30,
2004 financial restructuring.
|
·
|
No
admission of liability by any party to either the Federal Court Action
or
the State Court Action.
|
Year
|
Quarter
|
High
|
Low
|
|||||||
|
|
|
|
|||||||
2005
|
First
|
|
0.23
|
0.06
|
||||||
2005
|
Second
|
0.10
|
0.03
|
|||||||
2005
|
Third
|
0.11
|
0.05
|
|||||||
2005
|
Fourth
|
0.06
|
0.02
|
|||||||
2006
|
First
|
.043
|
.014
|
|||||||
2006
|
Second
|
.02
|
.009
|
|||||||
2006
|
Third
|
.014
|
.003
|
|||||||
2006
|
Fourth
|
.012
|
.003
|
|||||||
2007
|
First
|
.0047
|
.0028
|
|||||||
2007
|
Second
|
.0035
|
.001
|
|||||||
2007
|
Third
|
.001
|
.0005
|
|||||||
2007
|
Fourth
|
.01538
|
.0005
|
Plan
Category
|
(a)
Number
of Securities
to
Be
Issued
Upon Exercise
of Outstanding
Options,
Warrants,
and
Rights
|
(b)
Weighted-Average
Exercise
Price of
Outstanding
Options,
Warrants,
and
Rights
|
(c)
Number
of Securities
Remaining
Available
for Future
Issuance Under
Equity Compensation
Plans
(Excluding Securities
Reflected in
Column (a))
|
|||||||
Equity
Compensation Plans Approved by Stockholders
|
100,000,000
|
$
|
.00963
|
0
|
||||||
Equity
Compensation Plans Not Approved by Stockholders
|
0
|
$
|
0
|
800,000,000
|
||||||
Total
|
100,000,000
|
$
|
.00963
|
0
|
·
|
Expanding
our footprint in the Comstock Region and other acquisition
opportunities
|
·
|
Further
exploration in the Comstock Region to accomplish the above, including
a
decision to review the geology of the Hartford complex in a more
detailed
manner
|
|
|
·
|
Completion
of the Plum Mine reserve report
|
|
|
·
|
Strategic
acquisitions in other areas of North
America
|
·
|
Weather
- As disclosed in this Quarterly Report, excessive rains has caused
material delays in our ability to operate as high levels of water
in our
leaching ponds and flooding have prevented us from being able to
leach
materials, a necessary part of the gold production process. Excessive
snows, which can occur in the area in which the Plum Mine is located,
would also hamper mining as the Plum Mine is an open pit
mine.
|
|
|
·
|
Current
Political Instability in the Middle East - Commodities such as gold
tend
to have widely fluctuating markets, and the current problems in areas
such
as Lebanon and Iraq, which are causing much political and economic
instability internationally, may very well be a contributing factor
to the
volatile gold market.
|
·
|
Ore
body delineation
|
|
|
·
|
Reserve
definition
|
|
|
·
|
Completion
of reserve report
|
|
|
·
|
Development
of comprehensive mine plan from exploration results
|
|
|
·
|
Increase
of ore reserves
|
|
|
·
|
Augment
ability to mine and operate at more efficient levels
|
|
|
·
|
Intent
to resume mine operations after completion of the 43101 reserve report
and
the comprehensive mine plan.
|
|
|
·
|
Expansion
of existing footprint in the Comstock region
|
·
|
Expansion
of team of experts to study geology and metallurgy, as well as develop
mine plan, define reserves and complete reserve report
|
·
|
Secure
funds to commence drilling
|
|
Twelve
Months
ended
December
31,
2007
|
Twelve
Months
ended
December
31,
2006
|
Difference
|
|||||||
Revenue
|
$
|
395,541
|
$
|
1,255,013
|
$
|
(859,472
|
)
|
|||
|
||||||||||
Reclamation,
Exploration and Test Mining Expenses
|
473,594
|
1,985,611
|
(1,512,017
|
)
|
||||||
|
||||||||||
Consulting
and professional
|
297,531
|
468,951
|
(171,420
|
)
|
||||||
|
||||||||||
General
and administrative
|
535,739
|
573,683
|
(37,944
|
)
|
||||||
|
||||||||||
Interest
Expense
|
2,868,455
|
2,779,420
|
89,035
|
|||||||
|
||||||||||
Net
Loss
|
$
|
(4,416,527
|
)
|
$
|
(4,416,527
|
)
|
$
|
(359,171
|
)
|
|
Quarter
ended
December
31,
2007
|
Quarter
ended
December
31,
2006
|
Difference
|
|||||||
Revenue
|
$
|
44,946
|
$
|
263,908
|
$
|
(218,962
|
)
|
|||
|
||||||||||
Reclamation,
Exploration and Test Mining Expense
|
(197,356
|
)
|
601,384
|
(798,740
|
)
|
|||||
|
||||||||||
Consulting
and professional
|
116,865
|
63,613
|
(53,252
|
)
|
||||||
|
||||||||||
General
and administrative
|
231,373
|
204,516
|
(53,252
|
)
|
||||||
|
||||||||||
Interest
Expense
|
486,729
|
681,769
|
(195,040
|
)
|
||||||
|
||||||||||
Net
Loss
|
$
|
(644,665
|
)
|
$
|
(1,211,206
|
)
|
$
|
566,541
|
|
Issued
date
|
Face
amount
|
|||||
Winfield
Debenture Payable
|
5/15/2006
|
$
|
300,000
|
||||
Winfield
Debenture Payable
|
6/21/2006
|
300,000
|
|||||
Winfield
Debenture Payable
|
8/23/2006
|
300,000
|
|||||
Longview
Debenture Payable
|
8/24/2006
|
300,000
|
|||||
Winfield
Debenture Payable
|
12/12/2006
|
100,000
|
|||||
Winfield
Debenture Payable
|
First
Quarter
2007
|
331,120
|
|||||
Winfield
Debenture Payable
|
Second
Quarter
2007
|
288,880
|
|||||
Longview
Debenture Payable
|
4/1/07
|
250,000
|
|||||
Total
|
$
|
2,170,000
|
|
Dec.
31, 2007
|
Dec.
31, 2006
|
|||||
Convertible
Debentures Payable-Investors
|
$
|
1,570,237
|
$
|
2,600,812
|
|||
Convertible
Debentures Payable- Mandatory Redemption payment
|
5,737,058
|
5,886,059
|
|||||
Convertible
Debentures Payable- Failure to Deliver Shares
|
90,944
|
356,348
|
|||||
Convertible
Notes Payable - 2006
|
2,170,000
|
1,300,000
|
|||||
Total
|
$
|
9,568,239
|
$
|
10,143,219
|
Name
|
|
Age
|
|
Position
|
|
|
|
|
|
William
J. Nance
|
|
64
|
|
Director
|
|
Annual
Compensation(1)
|
Long-Term
Compensation
Awards
Securities
|
All
Other
|
|
|||||||||||||||
Name
and Principal Position
|
Year
|
Salary
($)
|
Bonus
($)
|
Underlying
Options
(#)
|
Compensation
($)
|
TOTAL
|
|||||||||||||
|
|
|
|
|
|
|
|||||||||||||
Robert
T. Faber(1)(2)(4)
|
2007
|
180,000
|
0
|
$
|
180,000
|
||||||||||||||
Robert
T. Faber(2)(3)(4)
|
2006
|
$
|
147,500
|
$
|
0
|
0
|
$
|
0
|
$
|
147,500
|
|||||||||
Robert
T. Faber, President and
Chief
Executive Officer;
|
2005
|
$
|
120,000
|
$
|
0
|
0
|
$
|
0
|
$
|
120,000
|
|||||||||
Chief
Financial Officer
|
2004
|
$
|
115,000
|
$
|
10,000
|
0
|
$
|
0
|
$
|
125,000
|
|||||||||
Jim
Golden, COO(3)(4)
|
2007
|
150,000
|
0
|
100,000,000
|
0
|
$
|
150,000
|
||||||||||||
Jim
Golden, COO (3)(4)
|
2006
|
$
|
150,000
|
$
|
0
|
0
|
$
|
0
|
$
|
150,000
|
(1)
|
Mr.
Faber has served as President and Chief Executive Officer since September
2004 and Chief Financial Officer since June
2003.
|
(2)
|
$90,000
of Mr. Faber’s 2005 - 2007 salary has not yet been paid. We intend to pay
this amount in 2008.
|
|
|
(3)
|
Mr.
Golden has served as Chief Operating Officer since October 2006.
Prior to
October 2006, Mr. Golden served as a consultant to our
Company
|
|
|
(4)
|
$90,000
of Mr. Faber’s 2005 - 2007 salary and $10,000 of Mr. Golden’s 2006 salary
remains unpaid. Mr. Golden was paid the pending $10,000 in January
and
February 2008.
|
|
Option
Awards
|
Stock
Awards
|
||||||||||||||||||||||||||
Name
and
Principal
Position
|
Number
of
Securities
Underlying
Unexercised
Options
(#)
Exercisable
|
Number
of
Securities
Underlying
Unexercised
Options
(#)
Unexercisable
|
Number
of
Securities
Underlying
Unexercised
Unearned
Options
(#)
|
Option
Exercise
Price
|
Option
Expiration
Date
|
Number
of
Shares
or
Units of
Stock
That
Have
Not
Vested
|
|
Market
Value
of
Shares
or
Units
of
Stock
That
Have
Not
Vested
|
|
Number
of
Unearned
Shares
or Other
Rights
That
Have
Not Vested
|
|
Market
Value
or Payout
Value
of Unearned
Shares,
Units
or Other
Rights
That
Have
Not Vested
|
||||||||||||||||
Robert
T. Faber
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
|||||||||||||||||||
Jim
Golden
|
10,000,000
|
0
|
90,000,000
|
.00963
|
-
|
-
|
-
|
-
|
-
|
Name
|
Fees
Earned
or
Paid
in Cash
|
Stock
Awards
|
Option
Awards
|
Non-Equity
Incentive
Plan
Compensation
|
Nonqualified
Deferred
Compensation
Earnings
|
All
Other
Compensation
|
Total
|
|||||||||||||||
William
Nance
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
|||||||||||||||
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
|
Shares
Beneficially
Owned
|
||||||
Name
of Beneficial Owner
|
Number(1)
|
Percent(2)
|
|||||
|
|
|
|||||
Directors
and Executive Officers:
|
|
|
|||||
Robert
T. Faber (1) (2) (4)
|
1,990,000
|
0.1
|
%
|
||||
Jim
Golden(1) (2)
|
10,000,000
|
.4
|
%
|
||||
William
Nance
|
0
|
0.0
|
%
|
||||
|
|||||||
All
directors and executive officers as a group (four persons)
|
11,990,000
|
0.5
|
%
|
||||
|
|||||||
5%
Shareholders:
|
|||||||
Merriman
Curhan Ford(5)
|
343,747,233
|
12.5
|
%
|
(1)
|
Includes,
when applicable, shares owned of record by such person’s minor children
and spouse and by other related individuals and entities over whose
shares
of common stock such person has custody, voting control, or power
of
disposition. Also includes shares of common stock that the identified
person had the right to acquire within 60 days of December 31, 2007
by the
exercise of vested stock options.
|
(2)
|
The
percentages shown include the shares of common stock that the person
will
have the right to acquire within 60 days of December 31, 2007. In
calculating the percentage of ownership, all shares of common stock
which
the identified person will have the right to acquire within 60 days
of
December 31, 2007 upon the conversion of convertible notes or the
exercise
of warrants or stock options are deemed to be outstanding for the
purpose
of computing the percentage of shares of common stock owned by such
person, but are not deemed to be outstanding for the purpose of computing
the percentage of shares of common stock owned by any other
person.
|
(3)
|
.Includes
shares beneficially owned by John W. Winfield, Santa Fe Financial
Corp.,
Portsmouth Square, Inc. and InterGroup Corporation. Mr. Winfield’s address
is 820 Moraga Drive, Los Angeles, California
90049.
|
(4)
|
Appointed
as Director on January 17, 2008
|
(5)
|
Merriman
Curhan and Ford’s address is 600 California Street, 9th
Floor, San Francisco, California
94108.
|
(a) |
The
following documents are filed as part of this
Report:
|
(1) |
Financial
statements filed as part of this
Report:
|
Report
of Independent Registered Public Accounting Firm
|
F
-
2
|
|
Consolidated
Balance Sheet as of December 31, 2007
|
F
-
3
|
|
Consolidated
Statements of Operations for the years ended December 31, 2007 and
2006
|
F
-
5
|
|
Consolidated
Statements of Changes in Stockholders' Equity for the year ended
December
31, 2007 and 2006
|
F
-
6
|
|
Consolidated
Statements of Cash Flows for the year ended December 31, 2007 and
2006
|
F
-
7
|
|
Notes
to Consolidated Financial Statements
|
F-8
- 26
|
|
(2) |
Exhibits
filed as part of this Report:
|
Exhibit
Number
|
|
Exhibit
|
3.1
|
|
Borrower
Security Agreement
|
|
|
|
23.1
|
|
Consent
of Jewett, Schwartz Wolfe & Associates
|
|
|
|
31.1
|
|
Certification
of Chief Executive Officer pursuant to Rule 13a-14(a) and Rule 15d-14(a),
promulgated under the Securities Exchange Act of 1934, as
amended.
|
|
|
|
31.2
|
|
Certification
of Chief Financial Officer pursuant to Rule 13a-14(a) and Rule 15d-14(a),
promulgated under the Securities Exchange Act of 1934, as
amended.
|
|
|
|
32.1
|
|
Certification
pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section
906 of
the Sarbanes-Oxley Act of 2002
|
|
|
|
32.2
|
|
Certification
pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section
906 of
the Sarbanes-Oxley Act of 2002
|
(b) |
Reports
filed on Form 8-K during the quarter ended December 31,
2007:
|
|
2006
|
2007
|
|||||
Audit
fees
|
$
|
37,500
|
$
|
37,500
|
|||
Audit-related
fees
|
$
|
11,700
|
$
|
15,000
|
|||
Tax
fees
|
$
|
10,000
|
$
|
10,000
|
|||
All
other fees
|
$
|
0
|
$
|
0
|
|
Goldspring,
Inc.
|
|
|
|
|
|
/s/
Robert T. Faber
|
|
|
Robert
T. Faber
|
|
|
President,
Chairman and Director
(Principal
Executive Officer and
Principal
Financial Officer)
|
|
|
|
|
|
Date:
November 21, 2008
|
|
/s/
Robert T. Faber
|
|
|
Robert
T. Faber
|
|
|
President,
Chairman and Director
(Principal
Executive Officer and
Principal
Financial and Accounting Officer)
|
|
|
|
|
|
Date:
November 21, 2008
|
|
|
Page
|
|
|
Report
of Independent Registered Public Accounting Firm
|
|
|
F-2
|
|
|
|
|
|
|
Consolidated
Balance Sheet as of December 31, 2007
|
|
|
F-3
|
|
|
|
|
|
|
Con
Consolidated Statements of Operations for the years ended December
31,
2007 and 2006
|
|
|
F-5
|
|
|
|
|
|
|
Con
Consolidated Statements of Changes in Stockholders’ Deficiency for the
years ended December 31, 2007 and 2006
|
|
|
F-6
|
|
|
|
|
|
|
Con
Consolidated Statements of Changes in Cash Flows for the years ended
December 31, 2007 and 2006
|
|
|
F-7
|
|
|
|
|
|
|
Notes
to Consolidated Financial Statements
|
|
|
F-8-26
|
|
/s/
Jewett, Schwartz, Wolfe & Associates
|
|
|
Jewett,
Schwartz, Wolfe & Associates
|
|
|
|
|
|
Hollywood,
Florida
April
11, 2008
|
|
|
|
December
31,
2007
|
|||
ASSETS
|
||||
Current
Assets:
|
||||
Cash
and cash equivalents
|
174,996
|
|||
Prepaid
expenses and other current assets
|
-
|
|||
Deferred
financing fees, net
|
185,417
|
|||
Total
Current Assets
|
360,413
|
|||
|
||||
PLANT,
EQUIPMENT, AND MINERAL PROPERTIES
|
||||
|
||||
Mineral
properties
|
1,619,837
|
|||
Plant
and equipment
|
411,040
|
|||
Total
property and equipment
|
2,030,877
|
|||
Reclamation
deposit
|
377,169
|
|||
Other
- embedded derivatives (See Note 14)
|
906,989
|
|||
Total
Assets
|
$
|
3,675,448
|
|
December
31, 2007
|
|||
CURRENT
LIABILITIES
|
||||
Accounts
payable
|
305,638
|
|||
Accrued
expenses
|
683,575
|
|||
Accrued
liquidated damages
|
1,745,751
|
|||
Accrued
interest payable
|
3,205,813
|
|||
Lease
obligations
|
42,459
|
|||
Convertible
debentures
|
9,568,239
|
|||
Promissory
notes
|
3,575,000
|
|||
Other
notes payable & current portion of long-term debt
|
408,800
|
|||
Total
Current Liabilities
|
19,535,275
|
|||
|
||||
LONG-TERM
DEBT AND OTHER LONG-TERM LIABILITIES
|
||||
Long-term
debt obligation, net of current portion
|
11,612
|
|||
Derivative
liability (See Note 14)
|
776,385
|
|||
Long-term
reclamation liability
|
553,190
|
|||
Total
long-term debt and other Long-term Liabilities
|
1,341,187
|
|||
|
||||
Total
Liabilities
|
20,876,462
|
|||
|
||||
STOCKHOLDERS’
DEFICIT
|
||||
C
Common stock, $.000666 par value, 3,9500,000,000 shares authorized,
and
2,743,508,248 shares issued and outstanding
|
1,827,177
|
|||
Additional
paid-in capital
|
12,969,210
|
|||
Accumulated
deficit - prior years
|
(27,940,045
|
)
|
||
Accumulated
deficit - current year
|
(4,057,356
|
)
|
||
Total
Stockholders’ Deficiency
|
(17,201,014
|
)
|
||
|
||||
Total
Liabilities and Stockholders’ Deficiency
|
$
|
3,675,448
|
|
Years
Ended December
31,
|
||||||
|
2007
|
2006
|
|||||
Revenue
from gold sales, net
|
$
|
395,541
|
$
|
1,255,013
|
|||
Cost
and expenses
|
|||||||
Costs
applicable to sales (exclusive of depreciation and amortization
shown separately below)
|
-
|
-
|
|||||
Depreciation
and amortization
|
277,578
|
288,305
|
|||||
Reclamation,
exploration and test mining expenses
|
473,594
|
1,985,611
|
|||||
General
and administrative
|
535,739
|
573,683
|
|||||
Consultants
and professional fees
|
297,531
|
468,951
|
|||||
|
1,584,442
|
3,316,550
|
|||||
Operating
Loss
|
(1,188,901
|
)
|
(2,061,537
|
)
|
|||
|
|||||||
Other
Income (Expense):
|
|||||||
Liquidated
damages expense (See Note 11)
|
-
|
-
|
|||||
Gain
on Sale of Fixed Assets
|
-
|
91,953
|
|||||
Other
-Settlement Agreement
|
-
|
85,000
|
|||||
Derivative
Change in Fair Value
|
-
|
247,477
|
|||||
Interest
income
|
-
|
-
|
|||||
Interest
expense
|
(2,868,455
|
)
|
(2,779,420
|
)
|
|||
|
(2,868,455
|
)
|
(2,354,990
|
)
|
|||
|
|||||||
Net
Loss:
|
(4,057,356
|
)
|
(4,416,527
|
)
|
|||
|
|||||||
Net
loss per common share - basic
|
(0.002
|
)
|
(0.006
|
)
|
|||
|
|||||||
Basic
weighted average common shares outstanding (See Note 13)
|
1,590,580,692
|
701,486,485
|
|
Common
Shares
Issued
|
Par
value
$.000666
per
share
|
Additional
Paid-in
Capital
|
Treasury
Stock
(at
cost)
|
Accumutaled
Deficit
|
Total
|
|||||||||||||
|
|
|
|
|
|
|
|||||||||||||
Balance
- December 31, 2005,
|
325,047,122
|
$
|
216,482
|
$
|
5,398,330
|
(67
|
)
|
$
|
(23,524,302
|
)
|
$
|
(17,909,557
|
)
|
||||||
Retirement
of treasury shares
|
(100,000
|
)
|
(67
|
)
|
-
|
67
|
-
|
-
|
|||||||||||
Common
stock issued for debenture principal
|
433,316,756
|
288,589
|
4,321,082
|
-
|
4,609,671
|
||||||||||||||
Common
stock issued for debenture interest
|
200,529,058
|
133,552
|
1,884,148
|
-
|
2,017,700
|
||||||||||||||
Other
|
146,004
|
97
|
-
|
97
|
|||||||||||||||
Net
loss
|
-
|
-
|
-
|
-
|
(4,416,527
|
)
|
(4,416,527
|
)
|
|||||||||||
Balance
- December 31, 2006,
|
$
|
958,938,940
|
$
|
638,653
|
$
|
11,603,560
|
-
|
$
|
(27,940,829
|
)
|
$
|
(15,698,616
|
)
|
||||||
Liquidated
damages
|
50,000,000
|
33,300
|
121,047
|
154,347
|
|||||||||||||||
Common
stock issued for debenture principal
|
898,776,970
|
598,585
|
846,362
|
-
|
1,444,947
|
||||||||||||||
Common
stock issued for debenture interest
|
835,792,338
|
556,639
|
398,241
|
-
|
954,880
|
||||||||||||||
Other
|
784
|
784
|
|||||||||||||||||
Net
loss
|
-
|
-
|
-
|
-
|
(4,057,356
|
)
|
(4,057,356
|
)
|
|||||||||||
Balance,
December 31, 2007
|
$
|
2,743,508,248
|
$
|
1,827,177
|
$
|
12,969,210
|
$
|
-
|
$
|
(31,997,401
|
)
|
$
|
(17,201,015
|
)
|
|
Years
Ended December 31,
|
||||||
|
2007
|
2006
|
|||||
CASH
FLOWS FROM OPERATING ACTIVITIES:
|
|||||||
Net
loss
|
$
|
(4,057,356
|
)
|
$
|
(4,416,527
|
)
|
|
Adjustments
to reconcile net loss to net cash used in operating
activities:
|
|||||||
Depreciation
and amortization
|
277,578
|
739,348
|
|||||
LiLiquidated
damages from March 2004 financing and November 2004
restructuring
|
―
|
―
|
|||||
Interest
paid through the issuance of company stock
|
954,877
|
2,017,700
|
|||||
Changes
in operating assets and liabilities
|
|||||||
Inventories
|
―
|
52,000
|
|||||
Prepaid
and other current assets
|
(24,607
|
)
|
2,893
|
||||
Other
current assets
|
(60,064
|
)
|
(37,500
|
)
|
|||
Bank
overdraft
|
―
|
15,491
|
|||||
Accounts
payable
|
(214,033
|
)
|
(750,670
|
)
|
|||
Accrued
expenses
|
1,160,389
|
1,046,195
|
|||||
Net
Change - derivative change fair value
|
378,073
|
(247,477
|
)
|
||||
Other
|
87,078
|
102,521
|
|||||
Net
cash used in operating activities
|
(1,498,065
|
)
|
(1,476,026
|
)
|
|||
|
|||||||
CASH
FLOWS FROM INVESTING ACTIVITIES:
|
|||||||
Equipment
/ acquisition deposit
|
―
|
―
|
|||||
Acquisition
of plant and equipment
|
20,000
|
10,969
|
|||||
Net
used in investing activities
|
20,000
|
10,969
|
|||||
|
|||||||
CASH
FLOWS FROM FINANCING ACTIVITIES:
|
|||||||
Principal
payments on Note Payable
|
(44,439
|
)
|
(154,308
|
)
|
|||
Proceeds
from the issuance of note payable to related party
|
1,697,500
|
1,592,500
|
|||||
Net
cash provided by financing activities
|
1,653,061
|
1,438,192
|
|||||
|
|||||||
Net
increase in cash and cash equivalents
|
174,996
|
(26,865
|
)
|
||||
Cash
and cash equivalents, beginning of year
|
―
|
26,865
|
|||||
Cash
and cash equivalents, end of year
|
$
|
174,996
|
$
|
―
|
|||
Supplemental
disclosure of non-cash investing and financing
activities:
|
|||||||
Issuance
of company stock for interest
|
$
|
954,877
|
$
|
2,017,700
|
|||
Issuance
of company stock for liquidated damages
|
$
|
154,346
|
$
|
―
|
|||
Conversion
of debt into company’s common shares
|
$
|
1,444,947
|
$
|
4,609,671
|
MINERAL
PROPERTIES:
|
2007
|
2006
|
|||||
|
|
|
|||||
Placer
Gold Properties
|
$
|
100,000
|
$
|
100,000
|
|||
Big
Mike Copper Property
|
69,138
|
69,138
|
|||||
Plum
Gold Properties
|
1,360,699
|
1,360,699
|
|||||
Water
rights
|
90,000
|
90,000
|
|||||
Balance
|
$
|
1,619,837
|
$
|
1,619,837
|
|
2007
|
2006
|
|||||
Plant,
property and equipment at Plum Mine location
|
$
|
1,473,340
|
$
|
1,543,340
|
|||
Equipment,
corporate
|
-
|
18,195
|
|||||
Less
accumulated depreciation
|
(1,062,300
|
)
|
(803,393
|
)
|
|||
Balance
|
$
|
411,040
|
$
|
758,142
|
|
2007
|
2006
|
|||||
Balance
|
$
|
397,200
|
$
|
397,200
|
|||
Less
current portion
|
397,200
|
397,200
|
|||||
Non-current
portion
|
$
|
-
|
$
|
-
|
|
Issued
date
|
Face
amount
|
|||||
Winfield
Debenture Payable
|
5/15/2006
|
$
|
300,000
|
||||
Winfield
Debenture Payable
|
6/21/2006
|
300,000
|
|||||
Winfield
Debenture Payable
|
8/23/2006
|
300,000
|
|||||
Longview
Debenture Payable
|
8/24/2006
|
300,000
|
|||||
Winfield
Debenture Payable
|
12/12/2006
|
100,000
|
|||||
Winfield
Debenture Payable
|
First
Quarter
2007
|
331,120
|
|||||
Winfield
Debenture Payable
|
Second
Quarter
2007
|
288,880
|
|||||
Longview
Debenture Payable
|
4/1/07
|
250,000
|
|||||
Total
|
$
|
2,170,000
|
|
2007
|
2006
|
|||||
Convertible
Debentures Payable-Investors
|
$
|
1,570,237
|
$
|
2,600,812
|
|||
Convertible
Debentures Payable- Mandatory Redemption payment
|
5,737,058
|
5,886,059
|
|||||
Convertible
Debentures Payable- Failure to Deliver Shares
|
90,944
|
356,348
|
|||||
Convertible
Notes Payable - 2006
|
2,170,000
|
1,300,000
|
|||||
Total
|
$
|
9,568,239
|
10,143,219
|
|
2007
|
2006
|
|||||
Promissory
Notes Payable-July 2005 Financing
|
$
|
1,200,000
|
$
|
1,200,000
|
|||
Promissory
Notes Payable-September 2005 Financing
|
300,000
|
300,000
|
|||||
Promissory
Notes Payable-December 2005 Financing
|
575,000
|
575,000
|
|||||
Promissory
Notes Payable-February 2006 Financing
|
250,000
|
250,000
|
|||||
Promissory
Notes Payable-March 2006 Financing
|
150,000
|
150,000
|
|||||
Promissory
Notes Payable-July 2007 Financing
|
300,000
|
-
|
|||||
Promissory
Notes Payable-October 2007 Financing
|
200,000
|
-
|
|||||
Promissory
Notes Payable-December 2007 Financing
|
600,000
|
-
|
|||||
Total
|
$
|
3,575,000
|
$
|
2,475,000
|
|
2007
|
2006
|
|||||
Long-term
Debt-Current Plum Mine
|
$
|
250,000
|
$
|
250,000
|
|||
Long-term
Debt-Current Seller Note
|
147,200
|
147,200
|
|||||
Other
Long-term Debt-Current
|
11,600
|
9,758
|
|||||
Total
|
$
|
408,800
|
$
|
406,958
|
|
2007
|
2006
|
|||||
Long-term
Debt-non current Plum Mine
|
$
|
-
|
$
|
-
|
|||
Long-term
Debt-non current Seller Note
|
-
|
-
|
|||||
Other
Long-term Debt -Non-current
|
11,612
|
23,336
|
|||||
Total
|
$
|
11,612
|
$
|
23,336
|
2008
|
$
|
11,441
|
||
2009
|
$
|
10,977
|
||
2010
|
$
|
-
|
||
2011
and thereafter
|
$
|
-
|
||
Total
|
$
|
22,418
|
|
2006
|
2005
|
|||||
Convertible
Notes Payable
|
$
|
9,568,239
|
$
|
10,143,219
|
|||
Promissory
notes
|
3,575,000
|
2,475,000
|
|||||
Total
|
$
|
13,143,239
|
$
|
12,618,219
|
|
2007
|
2006
|
|||||
Current:
|
|||||||
Federal
|
$
|
-
|
-
|
||||
Deferred:
|
|||||||
Federal
|
(1,500,000
|
)
|
(1,500,000
|
)
|
|||
|
|||||||
Increase
in valuation allowance
|
1,500,000
|
1,500,000
|
|||||
Benefit
for income taxes, net
|
$
|
-
|
-
|
|
December
31,
|
|||
|
2007
and 2006
|
|||
Statutory
federal income tax rate
|
35.0
|
%
|
||
Increase
in valuation allowance
|
(35.0
|
)%
|
||
Effective
tax rate
|
-
|
%
|
|
December
31,
|
|||
|
2007
|
|||
Net
operating loss carry-forwards
|
$
|
(6,900,000
|
)
|
For
the Twelve Months
Ended
Dec. 31,
|
|
||||||
|
|
2008
|
|
2007
|
|||
Weighted
average number of common shares outstanding - basic
|
1,591
|
701
|
|||||
Dilution
from convertible debt, stock options and warrants
|
2,059
|
3,556
|
|||||
Weighted
average number of common shares outstanding - diluted
|
3,650
|
4,527
|