2 unchanged sentences
Condensed Consolidated Interim Balance Sheets
−Removed: As at September 30,
+Added: As at December 31,
As at June 30,
19 unchanged sentences
Stockholders' Equity
−Removed: Common stock, par value $0.01, 50,000,000 authorized shares, 33,937,080 issued and outstanding at September 30, 2020 and 32,958,404 issued and outstanding at June 30, 2020
+Added: Common stock, par value $0.01, 200,000,000 authorized shares, 34,586,981 issued and outstanding at December 31, 2020 and 50,000,000 authorized shares, 32,958,404 issued and outstanding at June 30, 2020 (Note 5)
Additional paid in capital
5 unchanged sentences
Condensed Consolidated Interim Statements of Operations and Comprehensive Loss
−Removed: Period Ended September 30, 2020
−Removed: September 30, 2019
+Added: Period Ended December 31, 2020
+Added: December 31, 2019
+Added: Period Ended December 31, 2020
+Added: December 31, 2019
Other income (Note 9)
18 unchanged sentences
Condensed Consolidated Interim Statements of Stockholders’ Equity
−Removed: for the Three-Month Period Ended September 30, 2020 and Year ended June 30, 2020
+Added: for the Three-Month Periods Ended September 30, 2020, December 31, 2020 and Year ended June 30, 2020
Paid-In Capital
11 unchanged sentences
Balance at September 30, 2020
+Added: Stock based compensation
+Added: Capital issued for services
+Added: Capital issued for financing
+Added: Capital issued on conversion of debt
+Added: Balance at December 31, 2020
The accompanying notes are an integral part of these condensed consolidated interim financial statements.
1 unchanged sentence
Condensed Consolidated Interim Statements of Cash Flows
−Removed: Period Ended September 30, 2020
−Removed: September 30, 2019
+Added: Period Ended December 31, 2020
+Added: December 31, 2019
Adjustment for:
5 unchanged sentences
Interest earned on reclamation bond
−Removed: (Increase) decrease in prepaid expenses
−Removed: Increase (decrease) in accounts payable
+Added: Increase in prepaid expenses
+Added: Decrease in accounts payable
Cash used in operating activities
+Added: Purchase of equipment
Cash used in investing activities
9 unchanged sentences
Notes to Condensed Consolidated Interim Financial Statements
−Removed: For the Three-Month Periods Ended September 30, 2020 and 2019
+Added: For the Six-Month Periods Ended December 30, 2020 and 2019
Description of Business and Summary of Significant Accounting Policies
13 unchanged sentences
The Company cannot at this time predict the impact of the COVID-19 pandemic, but it could have a material adverse effect on the business, financial position, results of operations and/or cash flows.
−Removed: The results of operations for the interim period ending September 30, 2020 is not necessarily indicative of the operating results expected for the year ended June 30, 2021 or for any future period.
+Added: The results of operations for the interim period ended December 31, 2020 is not necessarily indicative of the operating results expected for the year ended June 30, 2021 or for any future period.
The condensed consolidated interim financial statements have been prepared on an accrual basis of accounting, in conformity with accounting principles generally accepted in the United States of America (“U.S.
25 unchanged sentences
Prices or valuation techniques that require inputs that are both significant to the fair value measurement and unobservable (supported by little or no market activity).
−Removed: The fair value of financial assets and liabilities carried at book value by level within the fair value hierarchy in the Condensed Consolidated Interim Balance Sheets at September 30, 2020 and June 30, 2020 are presented in the following table:
−Removed: Fair Value at September 30, 2020
+Added: Financial assets carried at fair value on a recurring basis by level within the fair value hierarchy in the Condensed Consolidated Interim Balance Sheets at December 31, 2020 and June 30, 2020 are presented in the following table:
+Added: Fair Value at December 31, 2020
June 30, 2020
Cash and cash equivalents
−Removed: The Company’s cash and cash equivalents are classified within Level 1 of the fair value hierarchy due to their short-term nature.
−Removed: Convertible debt is classified within Level 2 of the fair value hierarchy, carried at book value.
+Added: The carrying values of accounts payable, promissory note and convertible debt (Note 6) approximate fair value as of December 31, 2020 and June 30, 2020.
Non-Cash Transactions
−Removed: During the three-month period ended September 30, 2020, the Company issued 183,395 shares of Common Stock for payment of interest accrued and owing at June 30, 2020 on its outstanding 2019 Convertible Notes.
+Added: During the six-month period ended December 31, 2020, the Company issued 183,395 shares of Common Stock for payment of interest accrued and owing at June 30, 2020 on its outstanding 2019 Convertible Notes.
Additionally, 550,609 shares of Common Stock were issued upon the conversion of 551 of its outstanding 2019 Convertible Notes.
−Removed: During the three-month period ended September 30, 2019, the Company issued 1,096,791 shares to Ausenco Engineering USA South Inc.
−Removed: (“Ausenco”) in exchange for services valued at $976,144 to complete a feasibility study at its Grassy Mountain Project.
−Removed: The shares are being held in escrow until Ausenco delivers a final feasibility study report to the Company.
+Added: The Company also issued 166,792 shares of Common Stock to Ausenco Engineering USA South Inc.
+Added: in exchange for services valued at $183,471.
+Added: During the six month period ended December 31, 2019, the Company issued 1,096,791 shares to Ausenco in exchange for services valued at $976,144 to complete a feasibility study at its Grassy Mountain Project.
Capital Stock
1 unchanged sentence
Authorized capital stock consists of 200,000,000 common shares with par value of $0.01 per common share (June 30, 2020 – 50,000,000 common shares with par value $0.01 per common share).
−Removed: During the three-month period ended September 30, 2020, the Company issued 595,281 shares at an approximate average price of $1.3344 for gross proceeds of $794,345.
−Removed: Share issuance costs including commissions were $23,830 for net proceeds of $770,514.
−Removed: The Company also issued 183,395 shares for payment of interest accrued and owing at June 30, 2020 (Note 6).
+Added: An increase to authorized capital stock was approved by the Company’s stockholders during the six-month period ended December 31, 2020.
+Added: During the three-month period ended December 31, 2020, the Company issued 132,500 shares at an approximate average price of $1.16 for gross proceeds of $153,682.
+Added: Share issuance costs related to this were $26,840.
+Added: The Company also issued 166,792 shares at a value of $1.10 for services to complete a feasibility study at its Grassy Mountain Project (Note 4).
+Added: Additionally, the Company issued 350,609 shares upon the conversion of 351 notes of the 2019 Senior Secured Convertible Notes (Note 6).
+Added: During the six-month period ended December 31, 2020, the Company issued 727,781 shares at an approximate average price of $1.30 for gross proceeds of $948,026.
+Added: Share issuance costs related to this were $50,670.
+Added: The Company issued 166,792 shares at a value of $1.10 for services to complete a feasibility study at its Grassy Mountain Project (Note 4).
+Added: The Company also issued 183,395 shares for payment of interest accrued and owing at June 30, 2020 (Note 6) with a fair value of $205,413.
The Company also issued 550,609 shares upon the conversion of 551 of the 2019 Senior Secured Convertible Notes (Note 6).
−Removed: During the three-month period ended September 30, 2019, the Company issued 1,096,791 shares at a value of $0.89 per share to Ausenco in exchange for services to complete a feasibility study at its Grassy Mountain Project (Note 4) .
−Removed: At September 30, 2020 there were 33,937,080 common shares issued and outstanding (June 30, 2020 – 32,958,404 common shares).
−Removed: A summary of warrants exercisable into common stock activity as of September 30, 2020, and changes during the three-month period ended is presented below:
+Added: During the three and six-month period ended December 31, 2019, the Company issued 1,096,791 shares at a value of $0.89 per share to Ausenco in exchange for services to complete a feasibility study at its Grassy Mountain Project (Note 4) .
+Added: At December 31, 2020 there were 34,586,981 common shares issued and outstanding (June 30, 2020 – 32,958,404 common shares).
+Added: A summary of warrants exercisable into common stock activity as of December 31, 2020, and changes during the six-month period ended is presented below:
Exercise Price
3 unchanged sentences
Outstanding at July 1, 2020
−Removed: Outstanding at September 30, 2020
+Added: Outstanding at December 31, 2020
Stock Options and Stock Based Compensation
3 unchanged sentences
Option and stock awards provide for accelerated vesting if there is a change in control (as defined in the employee stock option plan).
−Removed: During the three-month period ending September 30, 2020, the Company granted 55,000 stock options to senior management, with a strike price of $1.00.
+Added: During the three-month period ended December 31, 2020, the Company granted 700,000 stock options to senior management, directors, employees and consultants, with a strike price of $1.12.
Each option carries a 5 year term.
−Removed: Options received by senior management will vest and become exercisable on achieving the following performance conditions:
−Removed: 1) one-half upon the completion of the Grassy Mountain Project feasibility study and 2) one-half on the issuance of mining permits for the Grassy Mountain Project by the State of Oregon.
+Added: Options received by senior management and directors will vest and become exercisable on achieving the following conditions:
+Added: 1) one-third immediately upon grant, 2) one-third on the first anniversary of the grant, and 3) one-third upon the receipt of federal and state mining permits at the Grassy Mountain Project.
+Added: Stock Options received by employees and consultants will vest and become exercisable as follows:
+Added: 1) one-half immediately upon grant, and 2) one-half on the first anniversary of the grant.
+Added: During the three-month period ended December
+Added: 31, 2020, share-based compensation expense relating to service condition options and performance condition was $ 176,973 and $ 24,492 , respectively (2019- $ 15,586 and $ 15,610 ) .
+Added: During the six-month period ending December 31, 2020, a total of 755,000 stock options were granted by the Company.
+Added: During the six-month period ended December 31, 2020, share-based compensation expense relating to service condition options and performance condition was $200,002 and $78,887, respectively (2019- $27,444 and $32,062) .
The fair value for these options was calculated using the Black-Scholes option valuations method.
−Removed: The weighted average assumptions used for the fiscal years ending June 30, 2021 and 2020 were as follows:
+Added: The weighted average assumptions used for the six-month period ended December 31, 2020 and fiscal year ended June 30, 2020 were as follows:
Weighted average risk-free interest rate
3 unchanged sentences
Weighted average fair value
−Removed: A summary of option activity under the Stock Incentive and Compensation Plan as of September 30, 2020, and changes during the three-month period ended are presented below:
+Added: A summary of option activity under the Stock Incentive and Compensation Plan as of December 31, 2020, and changes during the six-month period ended are presented below:
Exercise Price
4 unchanged sentences
Forfeited or expired
−Removed: Outstanding at September 30, 2020
−Removed: Exercisable at September 30, 2020
−Removed: A summary of the status of Paramount’s non-vested options as at July 1, 2020 and changes during the three-month period ended September 30, 2020 is presented below:
+Added: Outstanding at December 31, 2020
+Added: Exercisable at December 31, 2020
+Added: A summary of the status of Paramount’s non-vested options as at July 1, 2020 and changes during the six-month period ended December 31, 2020 is presented below:
Non-vested Options
2 unchanged sentences
Non-vested at July 1, 2020
−Removed: Non-vested at September 30, 2020
−Removed: As of September 30, 2020, there was $110,376 of total unrecognized compensation cost related to non-vested share-based compensation arrangements granted under the employee share option plan.
+Added: Non-vested at December 31, 2020
+Added: As of December 31, 2020, there was $299,037 of total unrecognized compensation cost related to non-vested share-based compensation arrangements granted under the employee share option plan.
That cost is expected to be recognized over a weighted-average period of 1.10 years.
−Removed: The total fair value of stock based compensation arrangements vested during the three-month period ended September 30, 2020 and 2019, was $nil and $28,310, respectively.
+Added: The total fair value of stock based compensation arrangements vested during the six-month period ended December 31, 2020 and 2019, was $283,431 and $nil, respectively.
Convertible Debt
−Removed: September 30, 2020
+Added: December 31, 2020
June 30, 2020
5 unchanged sentences
Unamortized discount and issuance costs of $275,883 will be amortized as an additional interest expense over the four year term of the 2019 Convertible Notes.
−Removed: During the three-month period ended September 30, 2020, the Company amortized $17,384 (2019- $2,645) of discount and issuance costs.
+Added: During the six-month period ended December 31, 2020, the Company amortized $32,997 (2019- $20,029) of discount and issuance costs.
At any point after the second anniversary of the issuance of the convertible notes, Paramount may force conversion if the share price of its common stock remains above $1.75 for 20 consecutive trading days.
The convertible notes are secured by a lien on all assets of the Company and the Company is required to maintain a working capital balance of $250,000.
−Removed: During the three-month period ended September 30, 2020, 200 of the 2019 Convertible Notes outstanding were converted into 200,000 shares of common stock of the Company (Note 5 ) and $7,934 of unamortized discount and issuance costs were debited to additional paid in capital to reflect the issued common st ock .
+Added: During the three-month period ended December 31, 2020, 351 of the 2019 Convertible Notes outstanding were converted into 350,609 shares of common stock of the Company (Note 5) and $12,826 of unamortized discount and issuance costs were debited to additional paid in capital to reflect the issued common stock.
+Added: During the six-month period ended December 31, 2020, 551 of the 2019 Convertible Notes outstanding were converted into 550,609 shares of common stock of the Company (Note 5) and $20,760 of unamortized discount and issuance costs were debited to additional paid in capital to reflect the issued common stock.
Mineral Properties
The Company has capitalized acquisition costs on mineral properties as follows:
−Removed: September 30, 2020
+Added: December 31, 2020
June 30, 2020
6 unchanged sentences
Reclamation and Environmental:
+Added: The Company has funds in a commutation account which is used to reimburse reclamation costs and indemnity claims at its Sleeper Gold Project.
+Added: It also has provided financial security for future reclamation work in the form of reclamation bonds held by the U.S Bureau of Land Management (“BLM”) for the Sleeper Gold Project and Grassy Mountain Project.
+Added: The balance of the commutation account and reclamation bonds at December 31, 2020 is $462,925 (June 30, 2020- $695,041).
The Company holds an insurance policy which is in effect until 2033 related to its Sleeper Gold Project.
−Removed: The policy covers reclamation costs up to an aggregate of $25 million in the event the Company’s bond is insufficient to cover any mandated reclamation obligations.
−Removed: As a part of its insurance policy, the Company has funds in a commutation account and reclamation bonds which are used to reimburse reclamation costs and indemnity claims.
−Removed: The balance of the commutation account and reclamation bonds at September 30, 2020 is $633,060 (June 30, 2020- $695,041).
+Added: The policy covers reclamation costs up to an aggregate of $25 million in the event the Company’s commutation account is insufficient to cover any mandated reclamation obligations.
Reclamation and environmental costs are based principally on legal requirements.
5 unchanged sentences
The reclamation and environmental obligation recorded on the balance sheet is equal to the present value of the estimated costs.
−Removed: The current undiscounted estimate of the reclamation costs for existing disturbances at the Sleeper Gold Project is $ 4,010,403 as required by the U.S Bureau of Land Management and the Nevada Department of Environmental Protection.
−Removed: Assumptions used to compute the asset retirement obligations as at September 30, 2020 and June 30, 2020 for the Sleeper Gold Project included a credit adjusted risk free rate and inflation rate of 9.76% (June 30, 2020– 9.76%) and 1.6% (June 30, 2020 – 1.6%), respectively.
+Added: The current undiscounted estimate of the reclamation costs for existing disturbances at the Sleeper Gold Project is $ 4,010,403 as required by the BLM and the Nevada Department of Environmental Protection.
+Added: Assumptions used to compute the asset retirement obligations as at December 31, 2020 and June 30, 2020 for the Sleeper Gold Project included a credit adjusted risk free rate and inflation rate of 9.76% (June 30, 2020– 9.76%) and 1.6% (June 30, 2020 – 1.6%), respectively.
Expenses are expected to be incurred between the years 2021 and 2049.
−Removed: Changes to the Company’s asset retirement obligations for the thre e -month period ended September 30 , 2020 and the year ended June 30, 2020 are as follows:
−Removed: Period Ended September 30, 2020
+Added: Changes to the Company’s asset retirement obligations for the six-month period ended December 31, 2020 and the year ended June 30, 2020 are as follows:
+Added: Period Ended December 31, 2020
Year Ended June 30, 2020
3 unchanged sentences
Balance at end of period
−Removed: The balance of the asset retirement obligation of $566,975 at September 30, 2020 (June 30, 2020 -$615,170 ) is comprised of a current portion of $91,026 (June 30, 2020 -$154,231 ) and a non-current portion of $475,949 (June 30, 2020 -$460,939).
−Removed: The Company recorded an accretion expense for the three-month period ended September 30, 2020 of $15,010 (September 30, 2019 - $23,647)
−Removed: The Company’s other income details for the three-month period ended September 30, 2020 and 2019 were as follows:
−Removed: Three-Month Period
−Removed: Three-Month Period
−Removed: Ended September 30, 2020
−Removed: Ended September 30, 2019
+Added: The balance of the asset retirement obligation of $396,133 at December 31, 2020 (June 30, 2020 -$615,170 ) is comprised of a current portion of $30,000 (June 30, 2020 -$154,231 ) and a non-current portion of $366,133 (June 30, 2020 -$460,939).
+Added: The Company recorded an accretion expense for the six-month period ended December 31, 2020 of $30,020 (December 31, 2019 - $47,294)
+Added: The Company’s other income details for the six-month period ended December 31, 2020 and 2019 were as follows:
+Added: Six-Month Period
+Added: Six-Month Period
+Added: Ended December 31, 2020
+Added: Ended December 31, 2019
Re-imbursement of reclamation costs
2 unchanged sentences
Segmented information has been compiled based on the material mineral properties in which the Company performs exploration activities.
−Removed: Expenses and mineral property carrying values by material project for the three-month period ended September 30, 2020:
+Added: Expenses and mineral property carrying values by material project for the six-month period ended December 31, 2020:
Mineral Properties
−Removed: As at September 30, 2020
+Added: As at December 31, 2020
Sleeper Gold Project
Grassy Mountain Project
−Removed: Expenses for the three-month period ended September 30, 2019 and mineral property carrying values as at June 30, 2020 by material project:
+Added: Expenses for the six-month period ended December 31, 2019 and mineral property carrying values as at June 30, 2020 by material project:
Mineral Properties
6 unchanged sentences
The aggregate minimum rentals payable for these operating leases are as follows:
−Removed: During the three-month period ended September 30, 2020, $16,474 was recognized as rent expense in the statement of operations and comprehensive loss/income.
+Added: During the six-month period ended December 31, 2020, $25,021 was recognized as rent expense in the statement of operations and comprehensive loss.
Other Commitments
5 unchanged sentences
The agreement with Cryla can be terminated by Paramount at any time.
−Removed: All lease payments under the agreement are up-to-date and no other payments were made during the three-month period ending September 30, 2020.
+Added: All lease payments under the agreement are up-to-date and no other payments were made during the six-month period ended December 31, 2020.
The Cryla Claims are without known mineral reserves and there is no current exploratory work being performed.
2 unchanged sentences
Nevada Select will retain a 2% NSR on the Frost Claims and Paramount has the right to reduce the NSR to 1% for a payment of $1 million.
−Removed: All required payments under the agreement are up-to-date as of September 30, 2020.
+Added: All required payments under the agreement are up-to-date as of December 31, 2020.
The Frost Claims are without known mineral reserves.
Note 12 Subsequent Events
−Removed: Subsequent to the period-ended September 30, 2020, the Company issued 350,609 shares upon the conversion of 351 outstanding 2019 Convertible Notes.
+Added: Subsequent to the period-ended December 31, 2020, the Company issued 349,391 shares upon the conversion of 349 outstanding 2019 Convertible Notes.
+Added: The Company also issued 179,032 shares for the payment of interest accrued and owing at December 31, 2020 for its outstanding convertible debt.
+Added: Additionally, the Company sold, pursuant to its “at the market” equity offering program, 1,111,142 shares at an approximate average price of $1.21 per share for gross proceeds of approximately $1,346,544.
Compared sentence by sentence after normalising whitespace, quotation marks, case and digits, so re-formatting and restated figures do not read as changed language. Wording changes appear as one removal and one addition. The current filing and the prior one are authoritative.