History
A shell company turned gold explorer bought claims from one seller, then cancelled or returned most of them, leaving Kingman and a Livengood option and going-concern doubt.
2011: A shell becomes a gold explorer
In April 2011 the shell company then called iBOS, Inc. changed hands. Lynn Harrison bought 8,280,000 shares, 87% of those outstanding, from the three outgoing officers for $370,000 and became sole director, President and CEO. The California subsidiary went to the former officers. The company also agreed to buy 60% of mining claims in Alaska near the Pogo deposit from Precious Metals Exploration Corp.
Now named Liberty Gold Corp., it signed three more purchase agreements with the same seller in July 2011. They covered claims in Hostotipaquillo, Mexico, claims near Kingman, Arizona, and claims in Mohave County, Arizona. Each added payment or spending obligations.
Funding came from a private placement to non-US persons: units of one share and a three-year $1.25 warrant, with 890,625 sold for $712,500 as working capital. On August 10, 2011 Harrison surrendered 40,000,000 of her shares, cutting her holding to 22,100,000 and total shares outstanding from 125,754,375 to 85,754,375.
2011-2012: Deals unwind, a new option
The expansion reversed quickly. On December 23, 2011 the company cancelled the Mexico agreement. The seller returned 1,500,000 shares, but the $208,000 already spent was not recovered. The company cited political instability in Mexico as a factor.
On April 20, 2012 it signed a letter agreement with Endurance Gold and Endurance Resources for an option on a 60% joint venture interest in 14 Alaska claims in the Livengood area. It had to spend at least $600,000 before December 31, 2014, including $150,000 in 2012, and pay Endurance $85,000. A formal agreement was expected by June 30, 2012.
On June 26, 2012 it cancelled the Pogo-area Alaska agreement. The seller returned 1,000,000 shares, and $158,890.35 of spending was not recovered. Management said other Alaska prospects it owned were more promising. The company bought back 250,000 shares at $0.40 and appointed engineer Bruce Taylor Walsham as a director on a consulting deal.
2013-2014: Retrenchment
The record is quiet until August 2013, when the company handed back the Mohave County claims, saying it could not generate enough investor interest to fund them. The $136,334.12 paid was not recovered. Advisor John Cost resigned on August 2, 2013.
As of May 2014, Liberty Gold still held the Kingman claims and the Livengood option. Its auditor reports noted going-concern doubt, and the filings did not confirm the formal Livengood agreement.
Written from the 7 story beats below (2011 to 24 Oct 2013), which come from the company's own announcements and filings.