Star Gold Corp.

Raised $3.68 million — by far its largest financing — combining new capital with debt conversion at $0.04/unit; insiders, including the CFO and all three board members, took part, a strong show of confidence as the company pushes Longstreet toward permitting.

capital raising announcement

Completed the Longstreet title transfer: Great Basin Resources quitclaimed 120 unpatented mining claims to Star Gold following a $30,000 payment, closing out the prior year's deal and giving Star Gold clear ownership of its flagship project.

asset acquisition disposition

Struck a final deal for outright title to Longstreet: in exchange for repricing existing options, issuing new ones, a $50,000 cash payment and an 18-month consulting agreement, Great Basin Resources — now the counterparty holding the underlying option, in place of the original MinQuest structure — agreed to transfer the property free of any further required spending, with Star Gold keeping an option to buy back half of the 3% royalty for $1.75 million once ore sales begin.

farm in farm out agreement

Launched a $1.5 million convertible debenture program (5% notes converting at $0.10/share, plus warrants) to fund exploration, with $900,000 already placed by mid-February 2012.

capital raising announcement

Restated its FY2010 and Q1 FY2011 financial statements after finding it had been misapplying accounting rules for capitalizing lease and option payments on the Excalibur, Longstreet and Jet properties since 2008 — an accounting fix, not a change to the underlying assets.

financial restatement

Star Gold optioned a second, larger MinQuest property — the 60-claim Longstreet project near Tonopah, Nevada — under a 7-year deal requiring $250,000 in payments and $3.55 million of exploration spending to earn a 100% interest, less a 3% royalty to MinQuest. Longstreet would go on to become the company's flagship asset.

material agreement

Elan Development (soon renamed Star Gold Corp.) agreed to acquire 100% of MinQuest's 8-claim Excalibur gold property in Nevada for $100,000 cash, 200,000 shares/options and $275,000 of required exploration spending, leaving MinQuest a 3% smelter royalty — the deal that gave the company its first project.

material agreement