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Tuesday, 03/30/2010 2:10:04 PM

Tuesday, March 30, 2010 2:10:04 PM

Post# of 334
30-Mar-2010

Annual Report

ITEM 6. MANAGEMENT'S DISCUSSION AND ANALYSIS OR PLAN OF OPERATION
We are a start-up, pre-exploration stage company, have a limited operating history and have not yet generated or realized any revenues from our exploration activities on our sole property, the VDC Claim.

Our auditors have issued a going concern opinion. This means that our auditors believe 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 no revenues are anticipated until we begin removing and selling minerals. Accordingly, we must raise cash from sources other than the sale of minerals found on the VDC Claim. That cash must be raised from other sources. Our only other source for cash at this time is investments by others in the Company. We must raise cash to implement our planned exploration program and stay in business.

To meet our need for cash we must raise additional capital. We will attempt to raise additional money through a private placement, public offering or through loans. Our President has agreed to loan us up to a further $8,007, of which he has already contributed $26,993, on an 'as needed' basis over the coming year which will allow us to pay some of our immediate accounts payable such as auditors and transfer agent's fee but will not allow us to pay our total accounts payable or those expenses to be incurred over the next twelve months. At the present time, we have not made any arrangements to raise additional cash from other sources. We require additional cash to continue operations. If we cannot raise it we may have to abandon our planned exploration activities until we do raise additional cash.

We estimate we will require $44,627 in cash over the next twelve months, including the cost of planned exploration work (as recommended in the Singh Report) on the VDC Claim. We estimate our cash on hand will not allow us to continue in business for not even a month and thereafter we will require our President advance funds to us (up to a further $8,007 as agreed) to enable us to partially finance our operations for the next 12 months.

We have no plant or significant equipment to sell, nor are we going to buy any plant or significant equipment during the next twelve months. We will not buy any equipment until we have located a body of ore and we have determined it is economical to extract the ore from the land.

We may attempt to interest other companies to undertake exploration work on the VDC Claim through joint venture arrangement or even the sale of part of the VDC Claim. Neither of these avenues has been pursued as of the date of this prospectus.

We do not intend to hire any employees at this time. All of the work on the property will be conducted by unaffiliated independent contractors that we will hire on an 'as needed' basis. The independent contractors will be responsible for such work including surveying, geology, engineering, exploration, and excavation. A geologist, Mr. Singh if he is available, will be hired to evaluate the information derived from any exploration work we undertake.

Limited Operating History; Need for Additional Capital

There is no historical financial information about us upon which to base an evaluation of our performance as an exploration corporation. We are a pre-exploration stage company and have not generated any revenues. Further, we have not generated any revenues since our formation on August 25, 2006. We do not presently have funds necessary to enable us to undertake exploration work on the VDC Claim except for the funds to be advanced by our President. We would also like to raise additional capital through equity financing but management has made no decision on this regard. Our business is subject to risks inherent in the establishment of a new business enterprise, including limited capital resources, delays in the exploration of our property, and possible cost overruns due to price and cost increases in services...."

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