NOTE 6. Prepayments

Prepaid expenses consist primarily of deposits related to strategic business initiatives, advance payments for regulatory compliance and professional services, OTC Markets listing fees, and other operating expenses that provide future economic benefits. These amounts are recognized as expense over the applicable service periods as the related services are received or, in the case of acquisition-related deposits, are capitalized as part of the cost of the related asset upon completion of the underlying transaction, as applicable.

EDGAR Filing Services

In October 2025, the Company paid $7,580 for EDGAR filing services covering the period from August 19, 2025 through August 18, 2026. The Company recognized $1,895 and $3,790 of expense during the three and six months ended June 30, 2026, respectively. As of June 30, 2026 and December 31, 2025, the remaining prepaid balance related to this agreement was $945 and $4,735, respectively.

OTC Markets Fees

In March 2025, the Company paid an annual OTC Markets fee of $9,300 covering the period from March 2025 through February 2026. The Company recognized $775 and $3,875 of expense during the three and six months ended June 30, 2025, respectively and $1,550 remained in prepaid expenses as of December 31, 2025.

In March 2026, the Company paid a semi-annual OTC Markets fee of $9,000 covering the period from March 2026 through August 2026. The Company recognized $4,500 and $6,000 of expense during the three and six months ended June 30, 2026, respectively. As of June 30, 2026, the remaining prepaid balance related to this fee was $3,000.

Mineral Claim Deposit

During the three months ended June 30, 2026, the Company paid a $75,000 deposit to First Nations Kennewick Tribe LLC in connection with the proposed acquisition of certain mineral claims. As of June 30, 2026, the acquisition had not yet closed, and the deposit remained recorded as a prepaid asset. Upon completion of the acquisition, the deposit is expected to be capitalized as part of the cost of the mineral property.

RAAC Deposit

In 2025, the Company paid a $75,000 deposit pursuant to its strategic arrangement with Regnum Aurum Acquisition Corp. (“RAAC”). As of June 30, 2026, the deposit remained recorded as a prepaid asset pending satisfaction of the applicable contractual terms.

Professional Services Retainer

During 2025, the Company paid a $25,000 retain for professional services related to it anticipated uplisting activities, which was recorded as a prepaid professional fee. During the six months ended June 30, 2026, the related services were preformed, and the $25,000 retainer was fully recognized as professional fees expense. As of June 30, 2026, no prepaid professional fees related to this retainer remained outstanding.

Prepaid Expense Balance

As of June 30, 2026 and December 31, 2025, prepaid expenses were $153,945 and $106,285, respectively.