Montana
|
|
81-0305822
|
(State or other
jurisdiction of incorporation or organization)
|
|
(I.R.S. Employer
Identification No.)
|
P.O.
Box 643, Thompson Falls, Montana
|
59873
|
(Address of
principal executive offices)
|
(Zip
code)
|
Large accelerated
filer
|
☐
|
Accelerated
filer
|
☐
|
Non-accelerated
filer
|
☐
|
Smaller reporting
company
|
☑
|
(Do not check if a
smaller reporting company)
|
|
Page
|
PART
I – FINANCIAL INFORMATION
|
|
|
|
Item
1: Financial Statements (unaudited)
|
1-14
|
|
|
Item
2: Management’s Discussion and Analysis of Results of
Operations and Financial Condition
|
15-20
|
|
|
Item
3: Quantitative and Qualitative Disclosure about Market
Risk
|
20
|
|
|
Item
4: Controls and Procedures
|
20
|
|
|
PART
II – OTHER INFORMATION
|
|
|
|
Item
1: Legal Proceedings
|
22
|
|
|
Item 2: Unregistered Sales of Equity Securities and Use of
Proceeds
|
22
|
|
|
Item
3: Defaults upon Senior Securities
|
22
|
|
|
Item
4: Mine Safety Disclosures
|
22
|
|
|
Item
5: Other Information
|
22
|
|
|
Item
6: Exhibits and Reports on Form 8-K
|
22
|
|
|
SIGNATURE
|
23
|
|
|
CERTIFICATIONS
|
|
ASSETS
|
|
|
|
(Unaudited)
|
|
|
September 30, 2016
|
December 31, 2015
|
Current
assets:
|
|
|
Cash
and cash equivalents
|
$43,318
|
$133,543
|
Certificates
of deposit
|
251,641
|
250,414
|
Accounts
receivable, net of $4,031 allowance for doubtful
accounts
|
520,117
|
422,673
|
Inventories
(Note 3)
|
738,118
|
1,094,238
|
Other
current assets
|
164,684
|
235,458
|
Total
current assets
|
1,717,878
|
2,136,326
|
|
|
|
Properties,
plants and equipment, net
|
15,879,575
|
16,030,333
|
Restricted
cash for reclamation bonds
|
76,014
|
76,012
|
Other
assets
|
32,520
|
17,530
|
Total
assets
|
$17,705,987
|
$18,260,201
|
|
|
|
LIABILITIES AND STOCKHOLDERS' EQUITY
|
|
|
Current
liabilities:
|
|
|
Accounts
payable
|
$1,658,225
|
$1,629,972
|
Due
to factor
|
132,893
|
13,782
|
Accrued
payroll, taxes and interest
|
225,462
|
221,446
|
Other
accrued liabilities
|
184,434
|
141,545
|
Payables
to related parties
|
42,676
|
32,396
|
Deferred
revenue
|
78,730
|
78,730
|
Notes
payable to bank
|
100,000
|
130,672
|
Foreign
income tax payable (Note 12)
|
423,490
|
-
|
Long-term
debt, current portion, net of discount
|
368,563
|
181,287
|
Total
current liabilities
|
3,214,473
|
2,429,830
|
|
|
|
Long-term
debt, net of discount and current portion
|
1,514,318
|
1,717,745
|
Hillgrove
advances payable (Note 9)
|
1,145,158
|
1,254,846
|
Common
stock payable to directors for services
|
112,500
|
137,500
|
Asset
retirement obligations and accrued reclamation costs
|
264,418
|
260,327
|
Total
liabilities
|
6,250,867
|
5,800,248
|
Commitments
and contingencies (Note 6)
|
|
|
|
|
|
Stockholders'
equity:
|
|
|
Preferred
stock $0.01 par value, 10,000,000 shares authorized:
|
|
|
Series
A: -0- shares issued and outstanding
|
-
|
-
|
Series
B: 750,000 shares issued and outstanding
|
|
|
(liquidation
preference $909,375 and $907,500
|
|
|
respectively)
|
7,500
|
7,500
|
Series
C: 177,904 shares issued and outstanding
|
|
|
(liquidation
preference $97,847 both years)
|
1,779
|
1,779
|
Series
D: 1,751,005 shares issued and outstanding
|
|
|
(liquidation
preference $5,014,692 and $4,879,029
|
|
|
respectively)
|
17,509
|
17,509
|
Common
stock, $0.01 par value, 90,000,000 shares authorized;
|
|
|
66,866,278
and 66,316,278 shares issued and outstanding,
respectively
|
668,662
|
663,162
|
Additional
paid-in capital
|
36,022,733
|
35,890,733
|
Accumulated
deficit
|
(25,263,063)
|
(24,120,730)
|
Total
stockholders' equity
|
11,455,120
|
12,459,953
|
Total
liabilities and stockholders' equity
|
$17,705,987
|
$18,260,201
|
United States Antimony Corporation and Subsidiaries
|
|
|
|
|
Consolidated Statements of Operations (Unaudited)
|
|
|
|
|
|
For
the three months ended
|
For the nine months ended
|
||
|
September 30, 2016
|
September 30, 2015
|
September 30, 2016
|
September 30, 2015
|
|
|
|
|
|
REVENUES
|
$2,846,699
|
$3,505,452
|
$9,166,628
|
$9,853,127
|
|
|
|
|
|
COST OF REVENUES
|
2,888,660
|
(3,273,324)
|
8,811,663
|
(9,632,616)
|
|
|
|
|
|
GROSS PROFIT (LOSS)
|
(41,961)
|
232,128
|
354,965
|
220,511
|
|
|
|
|
|
OPERATING
EXPENSES:
|
|
|
|
|
General
and administrative
|
309,832
|
353,285
|
850,255
|
920,128
|
Professional
fees
|
29,004
|
45,947
|
252,469
|
188,319
|
Hillgrove
advance - earned credit (Note 9)
|
(32,813)
|
(43,388)
|
(109,392)
|
(101,527)
|
Gain
on liability adjustment (Note 3)
|
-
|
-
|
-
|
(914,967)
|
Gain
on sale of assets
|
-
|
-
|
-
|
(5,200)
|
TOTAL
OPERATING EXPENSES
|
306,023
|
355,844
|
993,332
|
86,753
|
|
|
|
|
|
INCOME
(LOSS) FROM OPERATIONS
|
(347,984)
|
(123,716)
|
(638,367)
|
133,758
|
|
|
|
|
|
OTHER
INCOME (EXPENSE):
|
|
|
|
|
Interest
income
|
19
|
2,059
|
1,421
|
6,535
|
Interest
expense
|
(28,343)
|
-
|
(57,203)
|
-
|
Factoring
expense
|
(9,259)
|
(14,233)
|
(24,694)
|
(33,917)
|
TOTAL
OTHER INCOME (EXPENSE)
|
(37,583)
|
(12,174)
|
(80,476)
|
(27,382)
|
|
|
|
|
|
INCOME
(LOSS) BEFORE INCOME TAXES
|
(385,567)
|
(135,890)
|
(718,843)
|
106,376
|
|
|
|
|
|
Provision
for income tax (Note 12)
|
(411,490)
|
-
|
(423,490)
|
-
|
|
|
|
|
|
NET INCOME (LOSS)
|
(797,057)
|
(135,890)
|
(1,142,333)
|
106,376
|
Preferred
dividends
|
(12,162)
|
(12,162)
|
(36,487)
|
(36,487)
|
|
|
|
|
|
Net
income (loss) available to common stockholders
|
$(809,219)
|
$(148,052)
|
$(1,178,820)
|
$69,889
|
|
|
|
|
|
Net
income (loss) per share of common stock:
|
|
|
|
|
Basic
|
$(0.01)
|
$
Nil
|
$(0.02)
|
$
Nil
|
Diluted
|
$(0.01)
|
$
Nil
|
$(0.02)
|
$
Nil
|
|
|
|
|
|
Weighted
average shares outstanding:
|
|
|
|
|
Basic
|
66,866,278
|
66,248,887
|
66,687,981
|
66,170,495
|
Diluted
|
66,866,278
|
66,248,887
|
66,687,981
|
66,333,689
|
United States Antimony Corporation and Subsidiaries
|
|
|
Consolidated Statements of Cash Flows (Unaudited)
|
|
|
|
|
|
|
For the nine months ended
|
|
|
September 30, 2016
|
September 30, 2015
|
Cash
Flows From Operating Activities:
|
|
|
Net
income (loss)
|
$(1,142,333)
|
$106,376
|
Adjustments
to reconcile net income (loss) to net cash
|
|
|
provided
(used) by operating activities:
|
|
|
Depreciation
and amortization expense
|
652,375
|
664,775
|
Gain
on sale of asset
|
-
|
(5,200)
|
Write
off of uncollectible other asset
|
-
|
18,668
|
Hillgrove
deferred revenue
|
(109,392)
|
(101,527)
|
Amortization
of loan discount
|
73,058
|
-
|
Gain
on liability adjustment
|
-
|
(914,967)
|
Accretion
of asset retirement obligation
|
4,091
|
3,853
|
Common
stock issued for services
|
-
|
57,950
|
Common
stock issued for director fees
|
112,500
|
112,500
|
Change
in:
|
|
|
Accounts
receivable, net
|
(97,444)
|
(302,770)
|
Inventories
|
356,120
|
(776,489)
|
Other
current assets
|
70,774
|
(291,060)
|
Other
assets
|
(14,990)
|
63,722
|
Accounts
payable
|
26,728
|
1,109,674
|
Accrued
payroll, taxes and interest
|
4,016
|
2,047
|
Other
accrued liabilities
|
42,889
|
34,147
|
Foreign
income tax payable
|
423,490
|
-
|
Deferred
revenue
|
-
|
198,283
|
Payables
to related parties
|
10,280
|
26,585
|
Net
cash provided by operating activities
|
412,162
|
6,567
|
|
|
|
Cash
Flows From Investing Activities:
|
|
|
Purchase
of properties, plants and equipment
|
(459,969)
|
(1,349,234)
|
Proceeds
from sale of assets
|
-
|
5,200
|
Net
cash used by investing activities
|
(459,969)
|
(1,344,034)
|
|
|
|
Cash
Flows From Financing Activities:
|
|
|
Net
proceeds from (payments to) factor
|
119,111
|
259,575
|
Net
proceeds from sale of common stock and exercise of
warrants
|
-
|
120,000
|
Proceeds
from note payable to bank (see Note 7)
|
-
|
92,502
|
Proceeds
from Hillgrove
|
-
|
1,014,412
|
Principal
paid notes payable to bank (see Note 7)
|
(30,672)
|
-
|
Principal
payments on long-term debt
|
(130,857)
|
(69,381)
|
Net
cash provided (used) by financing activities
|
(42,418)
|
1,417,108
|
|
|
|
NET
(DECREASE) IN CASH AND CASH EQUIVALENTS
|
(90,225)
|
79,641
|
Cash
and cash equivalents at beginning of period
|
133,543
|
123,683
|
Cash
and cash equivalents at end of period
|
$43,318
|
$203,324
|
|
|
|
SUPPLEMENTAL
DISCLOSURE OF CASH FLOW INFORMATION
|
|
|
Noncash
investing and financing activities:
|
|
|
Properties,
plants and equipment acquired with long-term debt
|
$41,648
|
$1,076,348
|
Properties,
plants and equipment with accrued liability
|
|
$36,619
|
Common
stock issued to directors
|
$137,500
|
$125,000
|
|
September 30,
2016
|
September 30,
2015
|
Warrants
|
250,000
|
-
|
Convertible
preferred stock
|
1,751,005
|
1,751,005
|
Total
possible dilution
|
2,001,005
|
1,751,005
|
|
September 30,
2016
|
December 31,
2015
|
Antimony
Metal
|
$60,491
|
$102,207
|
Antimony
Oxide
|
253,110
|
332,068
|
Antimony
Concentrates
|
48,785
|
133,954
|
Antimony
Ore
|
151,841
|
319,631
|
Total
antimony
|
514,227
|
887,860
|
Zeolite
|
223,891
|
206,378
|
|
$738,118
|
$1,094,238
|
|
|
|
Accounts Receivble
|
September 30,
2016
|
December 31,
2015
|
Accounts
receivable - non factored
|
$391,255
|
$412,922
|
Accounts
receivable - factored with recourse
|
132,893
|
13,782
|
less
allowance for doubtful accounts
|
(4,031)
|
(4,031)
|
Accounts
receivable - net
|
$520,117
|
$422,673
|
|
September
30,
2016
|
December
31,
2015
|
|
|
|
Promissory note
payable to First Security Bank of Missoula,
|
|
|
bearing interest at
5.0%, maturing February 27, 2017,
|
|
|
payable on demand,
collateralized by a lien on Certificate of
|
|
|
Deposit number
48614
|
$0
|
$36,881
|
|
|
|
Promissory note
payable to First Security Bank of Missoula,
|
|
|
bearing interest at
5.0%, maturing February 27, 2017,
|
|
|
payable on demand,
collateralized by a lien on Certificate of
|
|
|
Deposit number
48615
|
100,000
|
93,791
|
Total notes payable
to bank
|
$100,000
|
$130,672
|
Long-Term
debt at September 30, 2016, and December 31, 2015, is as
follows:
|
September 30,
|
December 31,
|
|
2016
|
2015
|
Note
payable to First Security Bank, bearing interest at
6%;
|
|
|
payable
in monthly installments of $917; maturing
|
|
|
September
2018; collateralized by equipment.
|
$20,700
|
$27,845
|
Note
payable to Cat Financial Services, bearing interest at
6%;
|
|
|
payable
in monthly installments of $1,300; maturing
|
|
|
August
2019; collateralized by equipment.
|
41,647
|
|
Note
payable to Wells Fargo Bank, bearing interest at 4%;
|
|
|
payable
in monthly installments of $477; maturing
|
|
|
December
2016; collateralized by equipment.
|
1,865
|
5,399
|
Note
payable toDe Lage Landen Financial Services,
|
|
|
bearing
interest at 5.30%; payable in monthly installments of
$549;
|
|
|
maturing
March 2016; collateralized by equipment.
|
|
2,171
|
Note
payable to De Lage Landen Financial Services,
|
|
|
bearing
interest at 3.51%; payable in monthly installments of
$655;
|
|
|
maturing
September 2019; collateralized by equipment.
|
21,766
|
27,587
|
Note
payable to De Lage Landen Financial Services,
|
|
|
bearing
interest at 3.51%; payable in monthly installments of
$655;
|
|
|
maturing
December 2019; collateralized by equipment.
|
24,115
|
29,300
|
Note
payable to Phyllis Rice, bearing interest
|
|
|
at
1%; payable in monthly installments of $2,000;
maturing
|
|
|
March
2015; collateralized by equipment.
|
14,146
|
14,146
|
Obligation
payable for Soyatal Mine, non-interest bearing,
|
|
|
annual
payments of $100,000 or $200,000 through 2019, net of
discount.
|
787,557
|
820,272
|
Obligation
payable for Guadalupe Mine, non-interest bearing,
|
|
|
annual
payments from $60,000 to $149,078 through 2026, net of
discount.
|
971,085
|
972,312
|
|
1,882,881
|
1,899,032
|
Less
current portion
|
(368,563)
|
(181,287)
|
Long-term
portion
|
$1,514,318
|
$1,717,745
|
Year Ending June 30,
|
|
2017
|
$368,563
|
2018
|
236,822
|
2019
|
304,169
|
2020
|
217,748
|
2021
|
128,742
|
2022
|
111,467
|
2023
|
118,155
|
2024
|
125,244
|
2025
|
132,759
|
2026
|
139,212
|
|
$1,882,881
|
|
For the Three Months Ended
|
For the Nine Months Ended
|
||
Sales to Three
|
September 30,
|
September 30,
|
September 30,
|
September 30,
|
Largest Customers
|
2016
|
2015
|
2016
|
2015
|
Alpha
Gary Corporation
|
|
$691,363
|
|
$2,541,838
|
Mexichem
Specialty Compounds Inc.
|
414,157
|
|
1,524,253
|
|
Kohler
Corporation
|
362,770
|
637,838
|
972,083
|
1,462,570
|
East
Penn Corporation
|
245,514
|
631,277
|
965,564
|
963,301
|
|
$1,022,441
|
$1,960,478
|
$3,461,900
|
$4,967,709
|
% of Total Revenues
|
36.00%
|
54.90%
|
37.80%
|
45.60%
|
|
|
|
|
|
Three Largest
|
|
|
|
|
Accounts Receivable
|
September 30,
2016
|
December 31,
2015
|
|
|
Kohler
Corporation
|
$133,705
|
$-
|
|
|
EaRTH
Innovations Inc.
|
$33,150
|
|
|
|
Wildfire
Construction
|
|
43,327
|
|
|
Teck
American, Inc.
|
|
80,946
|
|
|
Gopher
Resources
|
|
141,570
|
|
|
East
Penn Corporation
|
135,828
|
-
|
|
|
|
$302,683
|
$265,843
|
|
|
% of Total Receivables
|
58.20%
|
62.90%
|
|
|
Properties, plants
|
|
|
and equipment, net:
|
September 30,
2016
|
December 31,
2015
|
Antimony
|
|
|
United
States
|
$1,732,997
|
$1,766,328
|
Mexico
|
12,159,308
|
12,539,805
|
Subtotal
Antimony
|
13,892,305
|
14,306,133
|
Precious
metals
|
471,069
|
171,074
|
Zeolite
|
1,516,201
|
1,553,126
|
Total
|
$15,879,575
|
$16,030,333
|
Total Assets:
|
September 30,
2016
|
December 31,
2015
|
Antimony
|
|
|
United
States
|
$2,442,746
|
$2,505,189
|
Mexico
|
12,731,914
|
13,367,960
|
Subtotal
Antimony
|
15,174,660
|
15,873,149
|
Precious
metals
|
471,069
|
171,074
|
Zeolite
|
2,060,258
|
2,215,978
|
Total
|
$17,705,987
|
$18,260,201
|
|
For the three months ended
|
For the nine months ended
|
||
|
September 30,
2016
|
September 30,
2015
|
September 30,
2016
|
September 30,
2015
|
Capital expenditures:
|
|
|
|
|
Antimony
|
|
|
|
|
United
States
|
$7,308
|
$31,802
|
$33,291
|
$31,802
|
Mexico
|
104,626
|
2,008,945
|
417,131
|
2,869,629
|
Subtotal
Antimony
|
111,934
|
2,040,747
|
450,422
|
2,901,431
|
Zeolite
|
61,284
|
101,895
|
123,075
|
135,369
|
Total
|
$173,218
|
$2,142,642
|
$573,497
|
$3,036,800
|
Segment Operations for the three
|
Antimony
|
Antimony
|
Precious
|
|
|
months ended September 30, 2016
|
USA
|
Mexico
|
Metals
|
Zeolite
|
Totals
|
|
|
|
|
|
|
Total
revenues
|
$2,025,755
|
|
$240,238
|
$577,149
|
$2,843,142
|
|
|
|
|
|
|
Depreciation
and amortization
|
20,000
|
136,875
|
|
53,400
|
210,275
|
|
|
|
|
|
|
Income
(loss) from operations
|
723,627
|
(1,421,013)
|
240,238
|
109,163
|
(347,985)
|
|
|
|
|
|
|
Income
tax expense
|
(411,490)
|
|
|
|
(411,490)
|
|
|
|
|
|
|
Other
income (expense):
|
(9,406)
|
(24,617)
|
|
(3,559)
|
(37,582)
|
|
|
|
|
|
|
NET INCOME (LOSS)
|
$302,731
|
$(1,445,630)
|
$240,238
|
$105,605
|
$(797,057)
|
Segment Operations for the three
|
Antimony
|
Antimony
|
Precious
|
|
|
months ended September 30, 2015
|
USA
|
Mexico
|
Metals
|
Zeolite
|
Totals
|
|
|
|
|
|
|
Total
revenues
|
$2,741,846
|
$-
|
$169,087
|
$613,508
|
$3,524,441
|
|
|
|
|
|
|
Depreciation
and amortization
|
14,500
|
151,875
|
|
56,000
|
222,375
|
|
|
|
|
|
|
Income
(loss) from operations
|
1,252,016
|
(1,318,887)
|
169,087
|
148,902
|
251,118
|
|
|
|
|
|
|
Other
income (expense):
|
(363,269)
|
(6,895)
|
-
|
(16,844)
|
(387,008)
|
|
|
|
|
|
|
NET INCOME (LOSS)
|
$888,747
|
$(1,325,782)
|
$169,087
|
$132,058
|
$(135,890)
|
Segment Operations for the nine
|
Antimony
|
Antimony
|
Precious
|
|
|
months ended September 30, 2016
|
USA
|
Mexico
|
Metals
|
Zeolite
|
Totals
|
|
|
|
|
|
|
Total
revenues
|
$6,621,732
|
$3,557
|
$564,581
|
$1,976,758
|
$9,166,628
|
|
|
|
|
|
|
Depreciation
and amortization
|
60,400
|
431,975
|
|
160,000
|
652,375
|
|
|
|
|
|
|
Income
(loss) from operations
|
2,582,390
|
(4,028,767)
|
564,581
|
243,429
|
(638,367)
|
|
|
|
|
|
|
Income
tax expense
|
(423,490)
|
|
|
|
(423,490)
|
|
|
|
|
|
|
Other
income (expense):
|
(23,837)
|
(49,122)
|
|
(7,517)
|
(80,476)
|
|
|
|
|
|
|
NET INCOME (LOSS)
|
$2,135,063
|
$(4,077,889)
|
$564,581
|
$235,912
|
$(1,142,333)
|
Segment Operations for the nine
|
Antimony
|
Antimony
|
Precious
|
|
|
months ended September 30, 2015
|
USA
|
Mexico
|
Metals
|
Zeolite
|
Totals
|
|
|
|
|
|
|
Total
revenues
|
$7,695,372
|
$12,248
|
$365,388
|
$1,780,119
|
$9,853,127
|
|
|
|
|
|
|
Depreciation
and amortization
|
44,150
|
452,625
|
|
168,000
|
664,775
|
|
|
|
|
|
|
Income
(loss) from operations
|
3,732,820
|
(4,188,719)
|
365,388
|
311,023
|
220,512
|
|
|
|
|
|
|
Other
income (expense):
|
(60,341)
|
(10,081)
|
-
|
(43,714)
|
(114,136)
|
|
|
|
|
|
|
NET INCOME (LOSS)
|
$3,672,479
|
$(4,198,800)
|
$365,388
|
$267,309
|
$106,376
|
Results of Operations by Division
|
|
|
|
|
|
|
|
|
|
Antimony and Precious Metals
|
3rd Qtr
|
3rd Qtr
|
Nine Months
|
Nine Months
|
Combined USA and Mexico
|
2016
|
2015
|
2016
|
2015
|
Lbs
of Antimony Metal USA
|
247,505
|
329,563
|
1,027,501
|
1,061,115
|
Lbs
of Antimony Metal Mexico
|
411,410
|
345,468
|
1,277,058
|
808,754
|
Total Lbs of Antimony Metal Sold
|
658,915
|
675,031
|
2,304,559
|
1,869,869
|
Sales
Price/Lb Metal
|
$3.07
|
$4.06
|
$2.87
|
$4.12
|
Net income (loss)/Lb Metal
|
$(1.37)
|
$(0.40)
|
$(0.60)
|
$(0.09)
|
|
|
|
|
|
Gross
antimony revenue - net of discount
|
$2,025,755
|
$2,741,846
|
$6,625,289
|
$7,707,620
|
Precious
metals revenue
|
240,238
|
169,087
|
564,581
|
365,388
|
Production
and shipping costs
|
(2,135,052)
|
(2,431,018)
|
(6,135,067)
|
(6,992,229)
|
Mexico
non-production costs
|
(156,489)
|
(211,324)
|
(514,400)
|
(674,516)
|
General
and administrative - non-production
|
(315,361)
|
(396,840)
|
(1,060,261)
|
(1,098,337)
|
Other
miscellaneous income
|
32,813
|
43,388
|
109,392
|
1,035,483
|
Net
interest and gain on sale of asset
|
(26,200)
|
(16,712)
|
(51,914)
|
(7,567)
|
EBITDA
|
(334,296)
|
(101,573)
|
(462,380)
|
$335,842
|
Income
tax expense
|
(411,490)
|
|
(423,490)
|
|
Depreciation
& amortization
|
(156,875)
|
(166,375)
|
(492,375)
|
(496,775)
|
Net income (loss) - antimony and precious metals
|
$(902,661)
|
$(267,948)
|
$(1,378,245)
|
$(160,933)
|
|
|
|
|
|
Zeolite
|
|
|
|
|
Tons sold
|
3,375
|
3,528
|
10,690
|
10,491
|
Sales
Price/Ton
|
$171.01
|
$173.90
|
$184.92
|
$169.68
|
Net income /Ton
|
$31.29
|
$37.43
|
$22.07
|
$25.48
|
|
|
|
|
|
Gross
zeolite revenue
|
$577,150
|
$613,508
|
$1,976,759
|
$1,780,119
|
Production
costs, royalties, and shipping costs
|
(386,844)
|
(408,606)
|
(1,509,822)
|
(1,301,096)
|
General
and administrative - non-production
|
(29,178)
|
(16,946)
|
(67,157)
|
(44,347)
|
Net
interest
|
(2,124)
|
102
|
(3,868)
|
633
|
EBITDA
|
159,004
|
188,058
|
395,912
|
435,309
|
Depreciation
|
(53,400)
|
(56,000)
|
(160,000)
|
(168,000)
|
Net income - zeolite
|
$105,604
|
$132,058
|
$235,912
|
$267,309
|
|
|
|
|
|
Company-wide
|
|
|
|
|
Gross
revenue
|
$2,846,699
|
$3,524,441
|
$9,166,628
|
$9,853,127
|
Production
costs, royalties, and shipping costs
|
(2,681,941)
|
(3,050,948)
|
(8,159,288)
|
(8,967,841)
|
General
and administrative -non-production
|
(344,539)
|
(413,786)
|
(1,127,418)
|
(1,142,684)
|
Other
miscellaneous income
|
32,813
|
43,388
|
109,392
|
1,035,483
|
Net
interest and gain on sale of asset
|
(28,324)
|
(16,610)
|
(55,782)
|
(6,934)
|
EBITDA
|
(175,292)
|
86,485
|
(66,468)
|
771,151
|
Income
tax expense
|
(411,490)
|
|
(423,490)
|
|
Depreciation
& amortization
|
(210,275)
|
(222,375)
|
(652,375)
|
(664,775)
|
Net income (loss)
|
$(797,057)
|
$(135,890)
|
$(1,142,333)
|
$106,376
|
Precious Metals Sales
|
|
|
|
|
|
Silver/Gold
|
|
|
|
|
Thru Qtr 3
|
Montana
|
2012
|
2013
|
2014
|
2015
|
2016
|
Ounces
Gold Shipped (Au)
|
102.32
|
59.74
|
64.77
|
89.12
|
108.20
|
Ounces
Silver Shipped (Ag)
|
20,237.70
|
22,042.46
|
29,480.22
|
30,420.75
|
41,258.08
|
Revenues
|
$647,554
|
$347,016
|
$461,083
|
$491,426
|
$501,611
|
Mexico
|
|
|
|
|
|
Ounces
Gold Shipped (Au)
|
|
1.780
|
|
|
|
Ounces
Silver Shipped (Ag)
|
|
1,053.240
|
|
|
|
Revenues
|
|
$22,690
|
|
|
|
Australian - Hillgrove
|
|
|
|
|
|
Ounces
Gold Shipped (Au)
|
|
|
|
|
337.00
|
Revenues
- Gross
|
|
|
|
|
$414,312
|
Revenues
to Hillgrove
|
|
|
|
|
(350,256)
|
Revenues
to USAC
|
|
|
|
|
$62,970
|
|
|
|
|
|
|
Total Revenues
|
$647,554
|
$369,706
|
$461,083
|
$491,426
|
$564,581
|
Financial Condition and Liquidity
|
|
|
|
September 30,
2016
|
September 30,
2015
|
Current
Assets
|
$1,717,878
|
$3,734,961
|
Current
liabilities
|
(3,214,473)
|
(3,092,124)
|
Net
Working Capital
|
$(1,496,595)
|
$642,837
|
|
|
|
Cash
provided (used) by operations
|
$412,162
|
$6,567
|
Cash
used for capital outlay
|
(459,969)
|
(1,344,034)
|
Cash
provided (used) by financing:
|
|
|
Net
proceeds from (payments) to factor
|
119,111
|
259,575
|
Proceeds
from notes payable to bank
|
-
|
92,502
|
Payment
of notes payable to bank
|
(30,672)
|
-
|
Principal
paid on long-term debt
|
(130,857)
|
(69,381)
|
Proceeds
from Hillgrove
|
-
|
1,014,412
|
Sale
of Stock
|
-
|
120,000
|
Net
change in cash
|
$(90,225)
|
$79,641
|
|
|
|
|
|
/s/
John C.
Lawrence
|
|
|
|
Date: November 14,
2016
|
John C. Lawrence,
Director and President
|
|
|
|
|
(Principal
Executive)
|
|
|
|
|
|
|
|
|
|
/s/
Daniel
L. Parks
|
|
|
|
Date: November 14,
2016
|
Daniel L. Parks,
Chief Financial Officer
|
|
|
|
|
|
|
|
|
|
/s/
Alicia
Hill
|
|
|
|
Date: November 14,
2016
|