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3. Related Party Notes Payable
 3 Months Ended
Mar. 31, 2017
Notes  
3. Related Party Notes Payable

3.             Related Party Notes Payable

 

At March 31, 2017 and December 31, 2016 the Company had the following notes and interest payable to related parties:

 

 

 

 

March 31,

2017

 

December 31,

2016

Mine Systems Design (“MSD”), a company in which our Company’s Vice President owns 10.4%, 12% interest, monthly payments of $4,910 through October 2018

$

104,504

$

115,868

John Swallow, Company president, 5% interest, monthly payments of $5,834 with balloon payment of $475,973 in November 2017

 

508,964

 

520,010

John Swallow, Company president, 5% interest, principal and interest due January 2018

 

245,515

 

341,250

Margaret Bathgate, shareholder, 5% interest, principal and interest due January 2018

 

100,000

 

100,000

 

 

958,983

 

1,077,128

Accrued interest payable

 

5,417

 

4,167

Total

 

964,400

 

1,081,295

Current portion

 

908,908

 

567,580

Long term portion

$

55,492

$

513,715

 

 

 

 

 

 

Quarters ended March 31

 

2017

2016

Related party interest expense

$

15,333

$

13,892

 

During the quarter ended March 31, 2017 in conjunction with a private placement (Note 9), the Company issued 1,000,000 units of its common stock and warrants with a value of $100,000 in exchange for $95,734 in principal and $4,266 in accrued interest on a note payable due to John Swallow, the Company’s president.