Star Gold Corp. SEC 10-K Report

Star Gold Corp., an exploration stage company focused on acquiring and exploring precious metal deposit properties, particularly gold and silver, in Nevada, has released its Form 10-K report for the fiscal year ended April 30, 2025. The report provides a comprehensive overview of the company's financial performance, business operations, strategic initiatives, and the challenges it faces in the competitive mineral exploration industry.

Financial Highlights

• Net Loss: $257,386, an increase of $19,675 from the 2024 total net loss of $237,711.
• Basic and diluted loss per share: Nil, unchanged for the years ended April 30, 2025, and 2024.

Business Highlights

• Corporate Background: Star Gold Corp. is focused on acquiring and exploring precious metal deposit properties, particularly gold and silver, in Nevada, with the aim of advancing these properties toward production.
• Longstreet Property: The Longstreet Project, located in Nevada, comprises 142 mineral claims covering approximately 2,500 acres. It is at an intermediate stage of exploration, with specific drill targets identified.
• Exploration Strategy: The company focuses on assembling a high-quality group of mid-stage mineral exploration prospects, primarily gold and silver, using management's experience and contacts.
• Regulatory Compliance: Star Gold Corp. must comply with federal, state, and local regulations related to land ownership, mining rights, and environmental laws in Nevada.
• Current Operations: The company is in the exploration stage with no producing mines. It plans to conduct hydrology drilling and geochemical analysis as part of its Environmental Impact Statement preparation for the Longstreet Project.
• Future Plans: For the fiscal year ending April 30, 2026, the company plans to draft an Environmental Impact Statement and develop a Plan of Operations for the Longstreet Project, aiming for mine permits to authorize construction and operations.
• Competition: Star Gold Corp. faces competition from other mineral resource exploration and development companies, many of which have greater financial and technical resources.
• Office and Facilities: The company maintains its administrative office in Coeur d’Alene, Idaho, and operates primarily through independent contractor agreements with consultants.
• Management Discussion: The company plans to source additional capital through investment markets, potential mergers, property sales, joint ventures, or farm-out agreements to fund its exploration and development activities.
• Operational Challenges: The company acknowledges the need for additional financing to continue its operations and achieve its objectives, with a focus on obtaining necessary permits and advancing the Longstreet Project.

Strategic Initiatives

• Strategic Initiatives: Star Gold Corp. is focused on advancing its Longstreet Project by preparing to draft an Environmental Impact Statement (EIS) and developing a Plan of Operations. The company plans to conduct hydrology drilling and geochemical analysis as part of its pre-development activities. Additionally, the company is assembling bids from engineering firms to develop a full Plan of Operations and Mine Schedule for the Longstreet Property.
• Capital Management: The company has been relying on sales of debt and equity securities to fund its operations, as it has not yet achieved profitable operations. During the fiscal year, Star Gold Corp. issued convertible promissory notes to related parties, accruing interest at 8% per annum, with conversion options into common stock. The company did not issue any new shares of common stock during the year. The company has a working capital deficit and is dependent on obtaining additional financing to continue its operations.
• Future Outlook: Star Gold Corp. anticipates continuing to rely on sales of its debt and/or equity securities to fund ongoing operations. The company plans to seek additional capital through public offerings, private placements, or potential mergers. The company is also considering forming joint ventures with senior mining companies to provide necessary financing for its projects. The continuation as a going concern is dependent on generating sufficient cash flow, obtaining additional financing, and ultimately achieving profitability.

Challenges and Risks

• Business Risks: Star Gold Corp. is an exploration stage company with no producing mines, focusing on acquiring and exploring mineral prospects. The company faces significant competition from other mineral resource exploration and development companies, many of which have greater financial and technical resources. This competition could adversely impact Star Gold Corp.'s ability to finance further exploration and to achieve the financing necessary for the company to develop its mineral properties.
• Operational Risks: The company has a limited operating history and has not derived any revenue from exploration of its properties, which presents a significant risk to its business prospects. The company expects to continue incurring significant losses into the foreseeable future. There is a substantial risk that no commercially viable mineral deposits will be found due to the speculative nature of mineral exploration. Additionally, the company has no proven reserves, only measured, indicated, and inferred resources, which do not have demonstrated economic value.
• Market Risks: The company is exposed to risks related to the volatility of metal prices, which are influenced by factors beyond its control, such as global demand and production, political and economic conditions, and production costs in major producing regions.
• Regulatory and Environmental Risks: Governmental regulation and environmental risks pose additional challenges, as the company must comply with extensive federal, state, and local laws and regulations governing mining exploration and development.
• Stock Risks: The company's stock is classified as a penny stock, which may limit the ability of stockholders to sell their stock and could result in a decline in the market price of the company's shares. The company does not intend to pay any dividends in the near future, which may affect investor interest.
• Financial Risks: The company plans to focus its capital and resources on permitting activities at its Longstreet Property. However, the company requires additional financing to continue operations and to develop its properties. There is no guarantee that the company will be able to raise the necessary funds through debt or equity financing. If the company is unable to secure additional financing, it may have to delay exploration efforts or property acquisitions or be forced to cease operations.
• Market Risk Management: The company does not hold any derivative instruments and does not engage in any hedging activities, which may expose it to market risks related to fluctuations in metal prices and other economic factors.

SEC Filing: Star Gold Corp. [ SRGZ ] - 10-K - Sep. 09, 2025