GOLDEN
STAR RESOURCE CORP.
CONDENSED
INTERIM BALANCE SHEETS
(Stated
in U.S. Dollars)
(Unaudited)
Nature
of operations and going concern (Note 1)
The accompanying notes are
an integral part of these condensed interim financial statements
GOLDEN
STAR RESOURCE CORP.
CONDENSED
INTERIM STATEMENTS OF OPERATIONS AND COMPREHENSIVE LOSS
(Stated
in U.S. Dollars)
(Unaudited)
The accompanying notes are an integral part of these condensed interim financial statements
GOLDEN
STAR RESOURCE CORP.
CONDENSED INTERIM STATEMENTS OF CASH FLOWS
(Stated in U.S. Dollars)
(Unaudited)
The accompanying notes are an integral part of these condensed interim financial statements
GOLDEN
STAR RESOURCE CORP.
CONDENSED
INTERIM STATEMENTS OF CHANGES IN STOCKHOLDERS’ DEFICIENCY
(Stated
in U.S. Dollars)
(Unaudited)
| | |
NUMBER OF
COMMON
SHARES | | |
PAR
VALUE | | |
ADDITIONAL
PAID-IN
CAPITAL | | |
DEFICIT
ACCUMULATED
DURING THE
PERIOD | | |
TOTAL | |
| | |
| | |
| | |
| | |
| | |
| |
| Balance, June 30, 2021 | |
| 7,070,000 | | |
$ | 70 | | |
$ | 106,990 | | |
$ | (774,694 | ) | |
$ | (667,634 | ) |
| Net loss for the period | |
| - | | |
| - | | |
| - | | |
| (18,417 | ) | |
| (18,417 | ) |
| | |
| | | |
| | | |
| | | |
| | | |
| | |
| Balance, September 30, 2021 | |
| 7,070,000 | | |
$ | 70 | | |
$ | 106,990 | | |
$ | (793,111 | ) | |
$ | (686,051 | ) |
| Net loss | |
| | | |
| - | | |
| - | | |
| (13,257 | ) | |
| (13,257 | ) |
| | |
| | | |
| | | |
| | | |
| | | |
| | |
| Balance, December 31, 2021 | |
| 7,070,000 | | |
$ | 70 | | |
$ | 106,990 | | |
$ | (806,368 | ) | |
$ | (699,308 | ) |
| Beginning balance | |
| 7,070,000 | | |
$ | 70 | | |
$ | 106,990 | | |
$ | (806,368 | ) | |
$ | (699,308 | ) |
| Net loss | |
| - | | |
| - | | |
| - | | |
| (8,310 | ) | |
| (8,310 | ) |
| | |
| | | |
| | | |
| | | |
| | | |
| | |
| Balance, March 31, 2022 | |
| 7,070,000 | | |
$ | 70 | | |
$ | 106,990 | | |
$ | (814,677 | ) | |
$ | (707,617 | ) |
| Ending balance | |
| 7,070,000 | | |
$ | 70 | | |
$ | 106,990 | | |
$ | (814,677 | ) | |
$ | (707,617 | ) |
The accompanying notes are an integral part of these condensed interim financial statements
GOLDEN STAR RESOURCE CORP.
NOTES TO
CONDENSED INTERIM FINANCIAL STATEMENTS
March 31, 2023
(Stated in U.S. Dollars)
(Unaudited)
1. NATURE OF OPERATIONS AND GOING CONCERN
Organization
The
Company was incorporated in the State of Nevada, U.S.A. on April 21, 2006.
Exploration
Stage Activities
The
Company has been in the exploration stage since its formation and is primarily engaged in the acquisition and exploration of mining claims.
Upon location of a commercial minable reserve, the Company expects to actively prepare the site for its extraction and enter a development
stage.
Going
Concern
The
general business strategy of the Company is to acquire and explore mineral properties. The continued operations of the Company and the
recoverability of mineral property costs is dependent upon the existence of economically recoverable mineral reserves, the ability of
the Company to obtain necessary financing to complete the development of its properties, and upon future profitable production. The Company
has not generated any revenues or completed development of any properties to date. Further, the Company has a working capital deficit
of $758,984 (June 30, 2022 - $725,191), has incurred losses of $866,044 since inception, and further significant losses are expected
to be incurred in the exploration and development of its mineral properties. The Company will require additional funds to meet its obligations
and maintain its operations. There can be no guarantee that the Company will be successful in raising the necessary financing. Management’s
plans in this regard are to raise equity financing as required.
In
March 2020, the World Health Organization declared coronavirus COVID-19 a global pandemic. This contagious disease outbreak, which has
continued to spread, and any related adverse public health developments, has adversely affected workforces, economies, and financial
markets globally, potentially leading to an economic downturn. It is not possible for the Company to predict the duration or magnitude
of the adverse results of the outbreak and its effects on the Company’s business or ability to raise funds.
These
conditions raise substantial doubt about the Company’s ability to continue as a going concern. These condensed interim financial
statements do not include any adjustments that might result from this uncertainty.
2. BASIS OF PRESENTATION
The
accompanying condensed interim financial statements have been prepared in accordance with Generally Accepted Accounting Principles (“GAAP”)
in the United States of America (“U.S.”) as promulgated by the Financial Accounting Standards Board (“FASB”)
Accounting Standards Codification (“ASC”) and with the rules and regulations of the U.S Securities and Exchange Commission
(“SEC”) for interim financial information. The condensed interim financial statements reflect all normal recurring adjustments,
which, in the portion of management, are considered necessary for a fair presentation of the results for the periods shown. The results
of operations for the periods presented are not necessarily indicative of the results expected for any future period. The information
included in these condensed interim financial statements should be read in conjunction with Management’s Discussion and Analysis
and the audited financial statements and accompanying notes filed in Form 10-K for the year ended June 30, 2022 filed on September 28,
2022 with the U.S. Securities and Exchange Commission.
GOLDEN STAR RESOURCE CORP.
NOTES TO CONDENSED INTERIM
FINANCIAL STATEMENTS
March 31, 2023
(Stated in U.S. Dollars)
(Unaudited)
3. RECENT ADOPTED AND FUTURE ACCOUNTING STANDARD
RECENT
ADOPTED ACCOUNTING STANDARD
The
adoption of recently issued accounting pronouncements did not have a significant impact on the Company’s results of operations,
financial position or cash flow statements.
RECENT
ISSUED ACCOUNTING STANDARDS NOT YET ADOPTED
The
Company’s management does not believe that any recently issued, but not yet effective, accounting standards if currently adopted
would have a material effect on the accompanying financial statements.
4. MINERAL CLAIM INTEREST
On
August 15, 2013, the Company entered into a Quitclaim Deed (the “Deed”) with Kee Nez Resources, LLC (“Grantor”),
a Utah limited liability company. Pursuant to the Deed, the Grantor, in consideration of $10 and other valuable consideration, remise,
release, and forever quitclaim unto the Company all of Grantor’s right, title, and interest in and to the GSR group of unpatented
lode mining claims situated in Churchill Country, Nevada. As a result, the Company has obtained title to the GSR claims in August 2013.
The
Company did not incur further expenditures on the property during the period ended March 31, 2023 (June 30, 2022: $nil) due to lack of
cash. The value of mineral property was written off in prior years.
5. CAPITAL STOCK
| a) | On
April 24, 2006, the Company issued 6,000,000 common shares at $0.00001 per share to two founding
shareholders. |
| b) | On
March 28, 2007, the Company closed its public offering and issued additional 1,070,000 common
shares at $0.10. |
| c) | The
Company has not issued any shares during the period ended March 31, 2023 and year ended June
30, 2022 and it has no stock option plan, warrants or other dilutive securities. |
6. DUE TO RELATED PARTIES
As
of March 31, 2023, due to related parties balance of $362,258 (June 30, 2022: $310,949) represents the combination of the following:
| a) | $334,258
(June 30, 2022: $282,949) was payable to a principal shareholder’s company, for the
operating expenses paid by the related party on behalf of the Company. The loan amount is
unsecured, non-interest bearing and due on demand; |
| b) | $28,000
(June 30, 2022: $28,000) owed to a director of the Company, for the amount of office, travel
and telephone expenses paid by the related party on behalf of the Company. The amount is
unsecured, non-interest bearing and due on demand. |
7. LOAN PAYABLE
Loan
payable was payable to non-related parties. The loan amount is unsecured, non-interest bearing and due on demand.
GOLDEN
STAR RESOURCE CORPORATION
MANAGEMENT
DISCUSSION & ANALYSIS
For
the Period Ended
March
31, 2023
MANAGEMENT’S
DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS.
This
section of the quarterly report includes a number of forward-looking statements that reflect our current views with respect to future
events and financial performance. Forward-looking statements are often identified by words like: believe, expect, estimate, anticipate,
intend, project and similar expressions, or words which, by their nature, refer to future events. You should not place undue certainty
on these forward-looking statements, which apply only as of the date of this prospectus. These forward-looking statements are subject
to certain risks and uncertainties that could cause actual results to differ materially from historical results or our predictions.
Plan
of Operation
We
are a start-up, exploration Stage Corporation and have not yet generated or realized any revenues from our business operations.
There
is substantial doubt that we can continue as an on-going business for the next twelve months unless we obtain additional capital to pay
our bills. This is because we have not generated any revenues and do not anticipate generating any revenues until we begin removing and
selling minerals. There is no assurance we will ever achieve these goals. Accordingly, we must raise cash from sources other than the
sale of minerals in order to implement our project and stay in business. Our only other source for cash at this time is investments by
others.
Our
exploration target is to find a mineralized material, specifically, an ore body containing gold. Our success depends upon finding mineralized
material. This includes a determination by our consultant that the property contains reserves. We have not yet selected a consultant.
Mineralized material is a mineralized body which has been delineated by appropriate spaced drilling or underground sampling to support
sufficient tonnage and average grade of metals to justify removal. If we don’t find mineralized material or if it is not economically
feasible to remove it, we will cease operations and you will lose your investment.
In
addition, we may not have enough money to complete the acquisition and exploration of a property. If it turns out that we have not raised
enough money to complete our acquisition we will try to raise additional funds from a second public offering, a private placement or
through loans. At the present time, we have not made any plans to raise additional money and there is no assurance that we would be able
to raise additional money in the future. If we need additional money and cannot raise it, we will have to suspend or cease operations.
Research
& Development
As
an exploration stage company in the mining industry we are not involved in any research and development.
Effects
of Compliance with Environmental Laws
As
a company in the mining industry we are subject to numerous environmental laws and regulations. We strive to comply with all applicable
environmental, health and safety laws and regulations are currently taking the steps indicated above. We believe that our operations
are in compliance with all applicable laws and regulations on environmental matters. These laws and regulations, on federal, state and
local levels, are evolving and frequently modified and we cannot predict accurately the effect, if any, they will have on its business
in the future. In many instances, the regulations have not been finalized, or are frequently being modified. Even where regulations have
been adopted, they are subject to varying and contradicting interpretations and implementation. In some cases, compliance can only be
achieved by capital expenditure and we cannot accurately predict what capital expenditures, if any, may be required.
Limited
Operating History; Need for Additional Capital
There
is no historical financial information about us upon which to base an evaluation of our performance. We are an exploration stage corporation
and have not generated any revenues from operations. We cannot guarantee we will be successful in our business operations. Our business
is subject to risks inherent in the establishment of a new business enterprise, including limited capital resources, possible delays
in the acquisition and exploration of our properties, and possible cost overruns due to price increases in services.
To
become profitable and competitive, we need to identify a property and conduct research and explore our property before we start production
of any minerals we may find. If we do find mineralized material, we will need additional funding to move beyond the research and exploration
stage. We have no assurance that future financing will be available to us on acceptable terms. If financing is not available on satisfactory
terms, we may be unable to continue, develop or expand our operations. Equity financing could result in additional dilution to existing
shareholders.
Liquidity
and Capital Resources
We
have completed our public offering as of March 28, 2007 and to date have raised $107,060, we will attempt to raise additional money through
a subsequent private placement, public offering or through loans.
Currently,
we do not have sufficient funds for our intended business operation. One of our officers and directors, has agreed in financing the related
operating expenditures to maintain the Company. The foregoing agreement is oral; we have nothing in writing. While it was agreed to advance
the funds, the agreement is unenforceable as a matter of law because no consideration was given. At the present time, we have not made
any arrangements to raise additional cash. If we need additional cash and can’t raise it, we will either have to suspend operations
until we do raise the cash, or cease operations entirely. Other than as described in this paragraph, we have no other financing plans.
Since
inception, we have issued 7,070,000 shares of our common stock and received $107,060.
In
April 2006, we issued 3,000,000 shares of common stock to a former officer and director, in consideration of $30 and we issued 3,000,000
shares of common stock to one of our officers and directors in consideration of $30 pursuant to the exemption from registration contained
in Regulation S of the Securities Act of 1993.
We
issued 1,070,000 shares of common stock pursuant to the exemption from registration contained in section 4(2) of the Securities Act of
1933. This was accounted for as a purchase of shares of common stock.
As
of March 31, 2023, due to related parties balance of $362,258 (June 30, 2022: $310,949) represents the combination of the following:
$334,258
(June 30, 2022: $282,949) was payable to a principal shareholder’s company, for the operating expenses paid by the related party
on behalf of the Company. The loan amount is unsecured, non-interest bearing and due on demand.
$28,000
(June 30, 2022: $28,000) owed to a director of the Company, for the amount of office, travel and telephone expenses paid by the related
party on behalf of the Company. The amount is unsecured, non-interest bearing and due on demand.
Loan
payable consists of the following:
$201,558
(June 30, 2022: $201,558) was payable to non-related parties. The loan amount is unsecured, non-interest bearing and due on demand.
Where
you can find more information
You
are advised to read this Quarterly Report on Form 10-Q in conjunction with other reports and documents that we file from time to time
with the SEC. In particular, please read our Quarterly Reports on Form 10-Q, Annual Report on Form 10-K, and Current Reports on Form
8-K that we file from time to time. You may obtain copies of these reports directly from us or from the SEC at the SEC’s Public
Reference Room at 100 F. Street, N.E. Washington, D.C. 20549, and you may obtain information about obtaining access to the Reference
Room by calling the SEC at 1-800-SEC-0330. In addition, the SEC maintains information for electronic filers at its website http://www.sec.gov.