Attached files
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| 8-K - MAINBODY.HTM - SOUTH AMERICAN GOLD CORP. | mainbody.htm |
| EX-23.1 - EXHIBIT231 - SOUTH AMERICAN GOLD CORP. | exhibit231.htm |
| EX-10.2 - EXHIBIT102 - SOUTH AMERICAN GOLD CORP. | exhibit102.htm |
Exhibit 99.1
On February 25, 2011, we entered into a stock purchase agreement (the "Agreement”) with Minera Kata S.A. a corporation (sociedad anónima) organized under the laws of the Republic of Panama. Pursuant to the Agreement, South American Gold Corp. has purchased 25% of the outstanding shares of Minera Kata S.A. with an option to purchase up to 75% of its remaining shares in consideration of a $1,000,000 cash payment and the issuance of 1,000,000 shares of the common stock of South American Gold Corp.
The following presents our unaudited proforma financial information as of December 31, 2010, and for the interim six month period ended December 31, 2010. Proforma information for our most recent fiscal year ended, June 30, 2010, has not been presented as Minera Kata S.A. was not incorporated until after that date.
The unaudited proforma financial information is for informational purposes only and does not purport to present what our results would actually have been had this transaction occurred on the date presented nor is it intended to project our results of operations or financial position for any future period.
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SOUTH AMERICAN GOLD CORP. AND SUBSIDIARIES
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Unaudited Pro Forma Balance Sheets
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December 31, 2010
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South American Gold Corp
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Minera Kata, S.A.
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Notes
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Pro Forma Adjustments
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Pro Forma Combined
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Assets
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Current Assets
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Cash and cash equivalents
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$ | 3,979 | $ | 7,505 |
(a)
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$ | 500,000 | $ | 511,484 | ||||||||
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Total current assets
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3,979 | 7,505 | 500,000 | 511,484 | |||||||||||||
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Other Assets
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Deposits for Acquisitions
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- | 468,500 | 468,500 | ||||||||||||||
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Deferred Expenses
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- | 2,015 | 2,015 | ||||||||||||||
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Total Other Assets
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- | 470,515 | - | 470,515 | |||||||||||||
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Total Assets
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3,979 | 478,020 | 500,000 | 981,999 | |||||||||||||
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Liabilities and Stockholders' Equity (Deficit)
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Current Liabilities
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Accounts payable
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136,297 | 150 | 136,447 | ||||||||||||||
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Due to related parties
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2,683 | - | 2,683 | ||||||||||||||
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Total Liabilities
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138,980 | 150 | 139,130 | ||||||||||||||
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Stockholders' Equity (Deficit)
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Common stock
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214,612 |
(b)
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1,000 | 215,612 | |||||||||||||
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Additional paid-in capital
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6,433 | 477,870 |
(a)(b)
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140,598 | 624,900 | ||||||||||||
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Accumulated deficit
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(356,046 | ) | (356,046 | ) | |||||||||||||
| (135,001 | ) | 477,870 | 141,598 | 484,467 | |||||||||||||
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Non-Controlling Interest
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$ | 358,402 | 358,402 | ||||||||||||||
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Total liabilities and stockholders' equity (deficit)
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$ | 3,979 | $ | 478,020 | $ | 500,000 | $ | 981,999 | |||||||||
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See Notes to Unaudited Pro Forma Consolidated Financial Statements
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SOUTH AMERICAN GOLD CORP. AND SUBSIDIARIES
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Unaudited Pro Forma Consolidated Statement of Operations
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For the 6 Months Ended 12/31/2010
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South American Gold Corp
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Minera Kata S.A.
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Pro Forma Adjustments
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Pro Forma Combined
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Revenues
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$ | - | $ | - | $ | - | $ | - | ||||||||
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Operating Expenses
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Exploration Costs
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2,960 | - | 2,960 | |||||||||||||
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Management Expense
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15,000 | - | 15,000 | |||||||||||||
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Legal
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28,935 | - | 28,935 | |||||||||||||
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Accounting and Audit Expense
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13,785 | - | 13,785 | |||||||||||||
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Professional Fees - Consulting
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13,000 | - | 500,000 | 513,000 | ||||||||||||
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Other General & Administrative Expense
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14,650 | - | 14,650 | |||||||||||||
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Total Operating Expense
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88,329 | - | 500,000 | 588,329 | ||||||||||||
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Net (Loss)
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$ | (88,329 | ) | $ | - | $ | (500,000 | ) | $ | (588,329 | ) | |||||
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Net loss per common share outstanding,
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basic and diluted
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** | ** | ** | ** | ||||||||||||
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Weighted average shares outstanding of common
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stock, basic and diluted
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214,611,890 | - | 1,000,000 | 215,611,890 | ||||||||||||
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** Less than $0.01
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See Notes to Unaudited Pro Forma Consolidated Financial Statements
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Pro Forma Adjustments
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The preceding unaudited condensed combined consolidated pro forma balance sheet and statement of operations have been prepared as if the transaction was completed on December 31, 2010. The following pro forma adjustments have been made:
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(a) The adjustment reflects the aggregate gross proceeds of $1,000,000, with net cash proceeds of $500,000 after direct expenses paid for professional fees and services provided with respect to the transaction.
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(b) This adjustment reflects the issuance of 1,000,000 shares of common stock by South American Gold Corp.
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Income (loss) Per Share from Continuing Operations
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Pro forma basic and diluted shares outstanding include the weighted average number of common shares outstanding for South American Gold Corp during the period presented, in addition to the common stock issued as a result of the transaction they had been issued at the beginning of the period. The common stock issued in connection with the transaction is assumed to be outstanding for the entire period presented.
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