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Liquidity
6 Months Ended
Jun. 30, 2013
Nature Of Operations And Basis Of Presentation [Abstract]  
Liquidity and Capital Resources Disclosure [Text Block]

2. Liquidity

 

These unaudited condensed consolidated financial statements have been prepared on a going concern basis under which an entity is considered to be able to realize its assets and satisfy its liabilities in the normal course of business.  Accordingly, the continuing operations of the Company are dependent upon our ability to secure sufficient funding and to generate future profits from operations.  The underlying value and recoverability of the amounts shown as mineral properties, plant and equipment, assets held for sale, investments and other property interests in the consolidated balance sheets are also dependent on our ability to generate positive cash flow from operations and to continue to fund exploration and development activities that would lead to profitable production or proceeds from the disposition of these assets.  There can be no assurance that we will be successful in generating future profitable operations, disposing of these assets or securing additional funding in the future on terms acceptable to us or at all.  These unaudited condensed consolidated financial statements do not include any adjustments relating to the recoverability and classification of recorded assets or liabilities which might be necessary should we not be able to continue as a going-concern.

 

The Company’s cash burn rate is expected to be reduced to approximately $3,500 to $4,500 per quarter through the remainder of 2013, with further material reductions planned for 2014.  The reduction in cash burn rate is expected to result from reductions in the corporate staff,   reductions in cash compensation for executives, senior management and the Company’s Board of Directors, and the delay or elimination of various discretionary programs.  The Company believes that its current position is sufficient for the remainder of 2013. The Company continues to seek financing with a focus on non-dilutive sources such as monetization of non-core assets, however, there can be no assurance that we will be able to monetize the non-core assets.