Pacific Gold Corp fka PCFG

[hckyguy]

2010 10-K

http://www.sec.gov/Archives/edgar/data/1137855/000115895711000219/f10k123110.htm

NOTE 12 – MAJOR CUSTOMERS

In 2010 gold sales were made to one vendor. In 2009 there were no gold sales. In prior years, all gold sales were made to two refineries. Many refineries are available with similar pricing and the refineries were chosen for convenience.

Revenue is derived primarily from the sale of only one product – gold. Should the market for gold become unavailable and or the value of gold becomes significantly decreased, the Company could experience severe negative impact.

NOTE 15 – SUBSEQUENT EVENTS

On February 10, 2011, the Company’s subsidiary, Pilot Mountain Resources Inc (“PMR”), entered into an Option and Asset Sale Agreement ("Agreement") with Pilot Metals Inc., a subsidiary of Black Fire Minerals of Australia, whereby Pilot Metals has secured an option on the Project W Tungsten claims owned by PMR. Details of the agreement were disclosed in the 8-K filed February 10, 2011.

On April 1, 2011 the Company issued promissory notes to investors for $587,540.

On June 3, 2011 the Company sold some redundant equipment for total proceeds of $14,500.

Subsequent to year end, the Company issued 2,000,000 common stock shares, and made payments of $40,000 as part of the settlement agreement with Komatsu Equipment.

Subsequent to year end, the Company made payments of $140,209 as part of the settlement agreement with Perry Crane.

On June 2, 2011 the Company’s subsidiary, Nevada Rae Gold (“NRG”) entered into a lease agreement to lease a 75% interest in 45 mining claims in Lander County, Nevada. NRG has 45 days to perform due diligence on the claims and then must pay an annual advance royalty of $15,000. The advance royalty is credited to and recoverable from the production rental amounts. The royalty on production of gold is the greater of a 4% net smelter royalty or $0.50 per yard of material processed. The lease is for 10 years with a renewal option for another 10 years.

The company evaluated subsequent events through July 08, 2011, the date the financial statements were issued.