Athena Gold Corporation Reports Significant Financial Changes, Net Loss in Q3 2024

Athena Gold Corporation reported significant financial changes in its 10-Q filing for the period ending September 30, 2024. Total current assets surged to $433.7 thousand, a notable increase from $48.5 thousand as of December 31, 2023. Cash reserves also rose to $6.6 thousand, up from $2.8 thousand. However, total assets decreased to $6.7 million from $6.7 million, while total liabilities increased sharply to $928.0 thousand from $423.2 thousand, primarily due to a rise in accounts payable and warrant liabilities.

For the three months ended September 30, 2024, Athena reported total operating expenses of $152.5 thousand, down from $212.0 thousand in the same period of 2023. The net operating loss for this quarter was $(152.5) thousand, an improvement from the $(212.0) thousand loss reported a year earlier. However, the company experienced a net loss of $(164.2) thousand for the quarter, contrasting sharply with a net income of $576.5 thousand in Q3 2023. For the nine-month period, total operating expenses decreased to $419.5 thousand from $677.7 thousand, but the net loss widened to $(681.1) thousand compared to a net income of $538.2 thousand in the prior year.

The company’s exploration and evaluation expenses for the nine months ended September 30, 2024, increased by approximately $72.0 thousand, attributed to geological surveys and mapping. General and administrative expenses also saw a decrease, contributing to the overall reduction in operating costs.

Strategically, Athena Gold Corporation has been active in acquisitions, including a recent agreement to acquire a 100% interest in the Laird Lake and Oneman Lake gold projects in Ontario, which involves issuing 43.9 million common shares. Additionally, the company completed a private placement in January 2024, raising net proceeds of $148.3 thousand.

As of September 30, 2024, the company reported a working capital deficiency of approximately $255.0 thousand and indicated a reliance on future financing to sustain operations. The company’s cash balance was approximately $7.0 thousand, down from $37.3 thousand a year prior. The management noted that current cash and working capital would suffice for maintaining properties and funding planned exploration for at least the next 12 months, although additional funds would be necessary for continued operations beyond that period.

The company also disclosed a material weakness in internal controls over financial reporting, attributed to a lack of segregation of duties and insufficient governance structures, which it aims to address as operations commence.