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UNITED
STATES
SECURITIES
AND EXCHANGE COMMISSION
WASHINGTON,
D.C. 20549
FORM
10-Q
(Mark
One)
☒ |
QUARTERLY
REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
|
|
|
FOR
THE QUARTERLY PERIOD ENDED September 30, 2023 |
OR
☐ |
TRANSITION
REPORT UNDER SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
|
|
|
FOR
THE TRANSITION PERIOD FROM _________ TO ________. |
COMMISSION
FILE NUMBER: 000-49729
Adamant
DRI Processing and Minerals Group
(Exact
Name of Registrant as Specified in its Charter)
Nevada |
|
61-1745150 |
(State
or other jurisdiction |
|
(I.R.S.
Employer |
of
incorporation or organization) |
|
Identification
No.) |
|
|
|
4
S 9th Street, Suite
201 |
|
|
Columbia,
MO |
|
65201 |
(address
of principal executive offices) |
|
(zip
code) |
Issuer’s
telephone number: 573-818-4750
Indicate
by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange
Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2)
has been subject to such filing requirements for the past 90 days. Yes ☒ No ☐
Indicate
by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted and posted pursuant
to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant
was required to submit and post such files). Yes ☐ No ☒
Indicate
by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, or a smaller reporting
company. See the definitions of “large accelerated filer,” “accelerated filer” and “smaller reporting company”
in Rule 12b-2 of the Exchange Act.
Large
accelerated filer ☐ |
|
Accelerated
filer ☐ |
Non-accelerated
filer ☒ |
|
Smaller
reporting company ☒ |
|
|
Emerging
growth company ☒ |
If
an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying
with any new or revised financial accounting standards provided pursuant to Section 7(a)(2)(B) of the Securities Act.
Indicate
by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).
Yes
☒ No ☐
Securities
registered pursuant to Section 12(b) of the Act:
Name
of each exchange on which registered
State
the number of shares outstanding of each of the issuer’s classes of common equity, for the period covered by this report and as
at the latest practicable date:
At
November 17, 2023 we had outstanding 87,110,005 shares of common stock.
ADAMANT
DRI PROCESSING AND MINERALS GROUP
TABLE
OF CONTENTS
Special
Note Regarding Forward Looking Statements
This
report contains forward-looking statements. These statements involve known and unknown risks, uncertainties and other factors which may
cause our actual results, performance or achievements to be materially different from any future results, performances or achievements
expressed or implied by the forward-looking statements. In some cases, you can identify forward-looking statements by terms such as “anticipates,”
“believes,” “could,” “estimates,” “expects,” “intends,” “may,”
“plans,” “potential,” “predicts,” “projects,” “should,” “would”
and similar expressions intended to identify forward-looking statements. Forward-looking statements reflect our current views with respect
to future events and are based on assumptions and are subject to risks and uncertainties. Given these uncertainties, you should not place
undue reliance on forward-looking statements. Also, forward-looking statements represent our estimates and assumptions only as of the
date of this report. You should read this report and the documents that we reference and filed as exhibits to the report completely and
with the understanding that our actual future results may be materially different from what we expect. Except as required by law, we
assume no obligation to update any forward-looking statements publicly, or to update the reasons actual results could differ materially
from those anticipated in any forward-looking statements, even if new information becomes available in the future.
PART
I
FINANCIAL
INFORMATION
Item
1. Financial Statements
TABLE
OF CONTENTS FOR
FINANCIAL
STATEMENTS
September 30, 2023
ADAMANT
DRI PROCESSING AND MINERALS GROUP
CONDENSED
BALANCE SHEETS
| |
SEPTEMBER 30, 2023 | | |
DECEMBER 31, 2022 | |
| |
(UNAUDITED) | | |
| |
ASSETS | |
| | | |
| | |
| |
| | | |
| | |
CURRENT ASSETS | |
| | | |
| | |
Cash & equivalents | |
$ | - | | |
$ | - | |
Prepaid expense | |
| - | | |
| 2,998 | |
Prepaid acquisition costs | |
| 70,000 | | |
| - | |
| |
| | | |
| | |
Total current assets | |
| 70,000 | | |
| 2,998 | |
| |
| | | |
| | |
TOTAL ASSETS | |
$ | 70,000 | | |
$ | 2,998 | |
| |
| | | |
| | |
LIABILITIES AND STOCKHOLDERS’ EQUITY | |
| | | |
| | |
| |
| | | |
| | |
CURRENT LIABILITIES | |
| | | |
| | |
Accrued liabilities and other payables | |
$ | 23,517 | | |
$ | 18,451 | |
Loans payable | |
| - | | |
| 21,721 | |
Loan payable – related party | |
| 2,500 | | |
| - | |
Advances and loans payable – related parties | |
| 9,314 | | |
| - | |
| |
| | | |
| | |
Total current liabilities | |
| 35,331 | | |
| 40,172 | |
| |
| | | |
| | |
STOCKHOLDERS’ EQUITY (DEFICIT) | |
| | | |
| | |
Preferred stock: $0.001 par value; 50,000,000 shares authorized, no shares issued and outstanding | |
| - | | |
| - | |
Common stock, $0.001
par value; 500,000,000 share authorized; 87,110,005
and 16,110,005
shares issued and outstanding at September 30, 2023 and December 31, 2022, respectively | |
| 87,110 | | |
| 16,110 | |
Additional paid in capital | |
| 7,683,285 | | |
| 7,639,325 | |
Accumulated other comprehensive income | |
| 1,858,434 | | |
| 1,858,434 | |
Accumulated deficit | |
| (9,594,160 | ) | |
| (9,551,043 | ) |
| |
| | | |
| | |
Total stockholders’ equity (deficit) | |
| 34,669 | | |
| (37,174 | ) |
| |
| | | |
| | |
TOTAL LIABILITIES AND STOCKHOLDERS’ DEFICIT | |
$ | 70,000 | | |
$ | 2,998 | |
See Notes to these unaudited condensed financial statements
ADAMANT
DRI PROCESSING AND MINERALS GROUP
CONDENSED
STATEMENTS OF OPERATIONS
(UNAUDITED)
| |
2023 | | |
2022 | | |
2023 | | |
2022 | |
| |
THREE MONTHS ENDED SEPTEMBER 30, | | |
NINE MONTHS ENDED SEPTEMBER 30, | |
| |
2023 | | |
2022 | | |
2023 | | |
2022 | |
| |
| | |
| | |
| | |
| |
Operating expenses | |
| | | |
| | | |
| | | |
| | |
Consulting fees | |
$ | 19,600 | | |
$ | - | | |
$ | 20,631 | | |
$ | - | |
Professional fees | |
| 7,500 | | |
| 8,800 | | |
| 27,519 | | |
| 54,857 | |
Filing fees | |
| 1,350 | | |
| 500 | | |
| 10,343 | | |
| 1,999 | |
General and administrative | |
| 4,270 | | |
| 646 | | |
| 6,345 | | |
| 2,491 | |
| |
| | | |
| | | |
| | | |
| | |
Total operating expenses | |
| 32,720 | | |
| 9,946 | | |
| 64,838 | | |
| 59,347 | |
| |
| | | |
| | | |
| | | |
| | |
Loss from operations | |
| (32,720 | ) | |
| (9,946 | ) | |
| (64,838 | ) | |
| (59,347 | ) |
| |
| | | |
| | | |
| | | |
| | |
Other income | |
| | | |
| | | |
| | | |
| | |
Gain on debt forgiveness | |
| 21,721 | | |
| - | | |
| 21,721 | | |
| - | |
Total other income | |
| 21,721 | | |
| - | | |
| 21,721 | | |
| - | |
| |
| | | |
| | | |
| | | |
| | |
| |
| | | |
| | | |
| | | |
| | |
Net loss | |
| (10,999 | ) | |
| (9,946 | ) | |
| (43,117 | ) | |
| (59,347 | ) |
| |
| | | |
| | | |
| | | |
| | |
Basic and diluted weighted average shares outstanding | |
| 38,490,440 | | |
| 16,110,005 | | |
| 23,652,130 | | |
| 16,110,005 | |
| |
| | | |
| | | |
| | | |
| | |
Basic and diluted net loss per share | |
$ | (0.00 | ) | |
$ | (0.00 | ) | |
$ | (0.00 | ) | |
$ | (0.00 | ) |
See
Notes to these condensed financial statements
ADAMANT
DRI PROCESSING AND MINERALS GROUP
CONDENSED
STATEMENTS OF STOCKHOLDERS’ DEFICIT
(UNAUDITED)
| |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
| |
Common shares | | |
Amount | |
|
Additional paid in capital | |
|
Accumulated deficit | | |
Accumulated other comprehensive income | |
|
Total stockholders’ Equity(deficit) | |
Balance at January 1, 2023 | |
| 16,110,005 | | |
$ | 16,110 | |
|
$ | 7,639,325 | |
|
$ | (9,551,043 | ) | |
$ | 1,858,434 | |
|
$ | (37,174 | ) |
| |
| | | |
| | |
|
| | |
|
| | | |
| | |
|
| | |
Net loss | |
| - | | |
| - | |
|
| - | |
|
| (10,350 | ) | |
| - | |
|
| (10,350 | ) |
| |
| | | |
| | |
|
| | |
|
| | | |
| | |
|
| | |
Balance at March 31, 2023 | |
| 16,110,005 | | |
| 16,110 | |
|
| 7,639,325 | |
|
| (9,561,393 | ) | |
| 1,858,434 | |
|
| (47,524 | ) |
| |
| | | |
| | |
|
| | |
|
| | | |
| | |
|
| | |
Shareholder contribution to paid in capital | |
| - | | |
| - | |
|
| 21,700 | |
|
| - | | |
| - | |
|
| 21,700 | |
Net loss | |
| - | | |
| - | |
|
| - | |
|
| (21,768 | ) | |
| - | |
|
| (21,768 | ) |
Balance at June 30, 2023 | |
| 16,110,005 | | |
| 16,110 | |
|
| 7,661,025 | |
|
| (9,583,161 | ) | |
| 1,858,434 | |
|
| (47,592 | ) |
Shares issued for acquisition | |
| 70,000,000 | | |
| 70,000 | |
|
| - | |
|
| - | | |
| - | |
|
| 70,000 | |
Shares issued for services | |
| 1,000,000 | | |
| 1,000 | |
|
| 18,600 | |
|
| - | | |
| - | |
|
| 19,600 | |
Stock based compensation – options | |
| - | | |
| - | |
|
| 3,660 | |
|
| - | | |
| - | |
|
| 3,660 | |
Net Loss | |
| - | | |
| - | |
|
| - | |
|
| (10,999 | ) | |
| - | |
|
| (10,999 | ) |
Balance at September 30, 2023 | |
| 87,110,005 | | |
$ | 87,110 | |
|
$ | 7,683,285 | |
|
$ | (9,594,160 | ) | |
$ | 1,858,434 | |
|
$ | 34,669 | |
| |
Common shares | | |
Amount | | |
Additional paid in capital | | |
Accumulated deficit | | |
Accumulated other comprehensive income | | |
Total stockholders’ (deficit) | |
Balance at January 1, 2022 | |
| 16,110,005 | | |
$ | 16,110 | | |
$ | 7,538,557 | | |
$ | (9,479,200 | ) | |
$ | 1,858,434 | | |
$ | (66,099 | ) |
| |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
Net loss | |
| - | | |
| - | | |
| - | | |
| (34,252 | ) | |
| - | | |
| (34,252 | ) |
| |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
Increase in paid in capital | |
| - | | |
| - | | |
| 100,351 | | |
| - | | |
| - | | |
| 100,351 | |
| |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
Balance at March 31, 2022 | |
| 16,110,005 | | |
| 16,110 | | |
| 7,638,908 | | |
| (9,513,452 | ) | |
| 1,858,434 | | |
| - | |
| |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
Net loss | |
| - | | |
| - | | |
| - | | |
| (15,149 | ) | |
| - | | |
| (15,149 | ) |
Increase in paid in capital | |
| - | | |
| - | | |
| 417 | | |
| - | | |
| - | | |
| 417 | |
Balance at June 30, 2022 | |
| 16,110,005 | | |
| 16,110 | | |
| 7,639,325 | | |
| (9,528,601 | ) | |
| 1,858,434 | | |
| (14,732 | ) |
Balance | |
| 16,110,005 | | |
| 16,110 | | |
| 7,639,325 | | |
| (9,528,601 | ) | |
| 1,858,434 | | |
| (14,732 | ) |
Net Loss | |
| - | | |
| - | | |
| - | | |
| (9,946 | ) | |
| - | | |
| (9,946 | ) |
Balance at September 30, 2022 | |
| 16,110,005 | | |
$ | 16,110 | | |
$ | 7,639,325 | | |
$ | (9,538,547 | ) | |
$ | 1,858,434 | | |
$ | (24,678 | ) |
Balance | |
| 16,110,005 | | |
$ | 16,110 | | |
$ | 7,639,325 | | |
$ | (9,538,547 | ) | |
$ | 1,858,434 | | |
$ | (24,678 | ) |
See Notes to these condensed financial statements
ADAMANT
DRI PROCESSING AND MINERALS GROUP
CONDENSED
STATEMENTS OF CASH FLOWS
(UNAUDITED)
| |
2023 | | |
2022 | |
| |
NINE MONTHS ENDED SEPTEMBER 30, | |
| |
2023 | | |
2022 | |
| |
| | |
| |
CASH FLOWS FROM OPERATING ACTIVITIES: | |
| | | |
| | |
Net loss | |
$ | (43,117 | ) | |
$ | (59,347 | ) |
Adjustments to reconcile net loss to net cash used in operating activities: | |
| | | |
| | |
Stock based compensation | |
| 23,260 | | |
| - | |
Gain on debt forgiveness | |
| (21,721 | ) | |
| - | |
Changes in assets and liabilities: | |
| | | |
| - | |
Prepaid expenses | |
| 2,998 | | |
| - | |
Accrued liabilities and other payables | |
| 5,066 | | |
| (9,359 | ) |
| |
| | | |
| | |
Net cash used in operating activities | |
| (33,514 | ) | |
| (68,706 | ) |
| |
| | | |
| | |
CASH FLOWS FROM FINANCING ACTIVITIES: | |
| | | |
| | |
Advances from related parties | |
| 9,314 | | |
| 57,187 | |
Capital contributions from Shareholder | |
| 21,700 | | |
| | |
Loans from related parties | |
| 2,500 | | |
| - | |
Proceeds from note payable | |
| - | | |
| 11,519 | |
Net cash provided by financing activities | |
| 33,514 | | |
| 68,706 | |
| |
| | | |
| | |
NET CHANGE IN CASH & EQUIVALENTS | |
| - | | |
| - | |
| |
| | | |
| | |
CASH & EQUIVALENTS, BEGINNING OF YEAR | |
| - | | |
| - | |
| |
| | | |
| | |
CASH & EQUIVALENTS, END OF PERIOD | |
$ | - | | |
$ | - | |
| |
| | | |
| | |
Supplemental Cash Flow Data: | |
| | | |
| | |
Income tax paid | |
$ | - | | |
$ | - | |
Interest paid | |
$ | - | | |
$ | - | |
| |
| | | |
| | |
NON-CASH INVESTING AND FINANCING ACTIVITIES | |
| | | |
| | |
Shares issued as prepaid acquisition costs | |
| 70,000 | | |
| - | |
See Notes to these
condensed financial statements
ADAMANT
DRI PROCESSING AND MINERALS GROUP
NOTES
TO THE UNAUDITED CONDENSED FINANCIAL STATEMENTS
1.
ORGANIZATION AND DESCRIPTION OF BUSINESS
Adamant
DRI Processing and Minerals Group (the “Company”), is a Nevada corporation incorporated in July 2014 and successor by merger
to UHF Incorporated, a Delaware corporation (“UHF”), which in turn was the successor to UHF Incorporated, a Michigan corporation
(“UHF Michigan”), as a result of domicile merger effected on December 29, 2011.
The
Company had been engaged in the various business since its incorporation. The Company was not successful and discontinued all
of its operation on March 31, 2019 and became a shell company. Beginning from April 1, 2019, the Company plans on merging with another
entity with experienced management and opportunities for growth.
On
May 1, 2023, Global Strategies, Inc., the Company’s then controlling shareholder, entered into an agreement to sell 11,866,563
shares of the Company’s common stock to Parks Amusements LLC, a limited liability corporation incorporated in the State of Missouri,
for total consideration of $300,000. The 11,866,563 shares represent approximately 73% of the outstanding shares of the Company as of
the date hereof, and the sale of common stock effected a change in control of the Company. The transaction was closed on June 27, 2023,
and the 11,866,563 shares of common stock were assigned to Nicholas Parks, the controlling member of Parks Amusements LLC,
In
connection with the change of control of the Company, on June 27, 2023 the Company’s sole officer and director Dr. Larry Eastland,
resigned all officer positions, and remained as a member of board of directors. Mr. Nicholas Parks was appointed CEO, CFO, President,
Secretary, Treasurer and a member of the Company’s board of directors.
On
July 1, 2023, the Company entered into an agreement to acquire Parks Amusements, LLC, a limited liability company organized in the State
of Missouri. Parks Amusements, LLC is the operator of family entertainment venues. The agreement calls for the issuance of a total of
70,000,000 shares of our common stock to the members of Parks Amusements LLC. Our sole officer and a director of the Company and his
wife are the controlling stockholders of Parks Amusements LLC and collectively will receive a total of 63,050,000 shares of common stock.
On September 1, 2023, the Company and Parks Amusements LLC amended the agreement to extend the closing date for the transaction. This
acquisition has not yet been closed pending the transfer of the membership units from the members of Parks Amusements LLC, however the
70,000,000 shares of common stock were issued on September 1, 2023, and are held in trust pending closing.
On
August 30, 2023, the Nevada Secretary of State accepted an amendment to the articles of incorporation, whereby the Company is authorized
to issue 550,000,000 shares of capital stock, of which 500,000,000 shares shall be shares of Common Stock, $0.001 par value (“Common
Stock”), and 50,000,000 shares shall be shares of Preferred Stock, $0.001 par value (“Preferred Stock”).
2.
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Basis
of Presentation
The
accompanying financial statements are prepared in accordance with generally accepted accounting principles in the United States of America
(“US GAAP”).
The financial statements presented in this Quarterly Report on Form 10-Q are unaudited. However, in the opinion of management, these unaudited
condensed financial statements include all adjustments, consisting solely of normal recurring adjustments, necessary to present fairly
the financial position, results of operations and cash flows for the periods presented in conformity with GAAP applicable to interim periods.
The financial data and other financial information disclosed in these notes to the accompanying condensed financial statements are also
unaudited. As such, certain information and footnote disclosures normally included in financial statements prepared in accordance with
GAAP have been condensed or omitted pursuant to applicable rules and regulations thereunder.
The
unaudited condensed financial statements included herein should be read in conjunction with the Annual Report on Form 10-K for the fiscal year ended December 31, 2022. The results of operations for the nine months ended September 30, 2023, are not necessarily
indicative of the results to be expected for the full year or any other future period.
Going
Concern
The
financial statements have been prepared assuming that the Company will continue as a going concern. The Company incurred losses of $43,117
and $59,347 for the nine months ended September 30, 2023 and 2022, respectively. As of September 30, 2023, the Company had no cash on
hand and an accumulated deficit of $9,594,160. These and other factors raise substantial doubt about the Company’s ability to continue
as a going concern. Management believes that the Company’s capital requirements will depend on many factors including the success
of the Company’s efforts to complete a merger or acquisition, and the Company’s efforts to raise capital. Management also
believes the Company needs to raise additional capital for working capital purposes. There is no assurance that such financing will be
available on acceptable terms in the future. The financial statements of the Company do not include any adjustments relating to the recoverability
and classification of recorded assets, or the amounts and classifications of liabilities that might be necessary should the Company be
unable to continue as a going concern.
Use
of Estimates
In
preparing financial statements in conformity with US GAAP, management makes estimates and assumptions that affect the reported amounts
of assets and liabilities and disclosures of contingent assets and liabilities at the dates of the financial statements, as well as the
reported amounts of revenues and expenses during the reporting period. Significant estimates, required by management, include the recoverability
of long-lived assets and allowance for doubtful accounts. Actual results could differ from these estimates.
Income
Taxes
Income
taxes are accounted for using an asset and liability method. Under this method, deferred income taxes are recognized for the tax
consequences in future years of differences between the tax bases of assets and liabilities and their financial reporting amounts at
each period end based on enacted tax laws and statutory tax rates, applicable to the periods in which the differences are expected
to affect taxable income. Valuation allowances are established, when necessary, to reduce deferred tax assets to the amount expected
to be realized. A 100% valuation allowance has been established on deferred tax assets at September 30, 2023 and December 31, 2022, due to the uncertainty
of our ability to realize future taxable income.
The
Company follows ASC Topic 740, which prescribes a more-likely-than-not threshold for financial statement recognition and measurement
of a tax position taken or expected to be taken in a tax return. ASC Topic 740 also provides guidance on recognition of income tax assets
and liabilities, classification of current and deferred income tax assets and liabilities, accounting for interest and penalties associated
with tax positions, accounting for income taxes in interim periods, and income tax disclosures.
Under
the provisions of ASC Topic 740, when tax returns are filed, it is likely that some positions taken would be sustained upon examination
by the taxing authorities, while others are subject to uncertainty about the merits of the position taken or the amount of the position
that would be ultimately sustained. The benefit of a tax position is recognized in the financial statements in the period during which,
based on all available evidence, management believes it is more likely than not that the position will be sustained upon examination,
including the resolution of appeals or litigation processes, if any. Tax positions taken are not offset or aggregated with other positions.
Tax positions that meet the more-likely-than-not recognition threshold are measured as the largest amount of tax benefit that is more
than 50 percent likely of being realized upon settlement with the applicable taxing authority. The portion of the benefits associated
with tax positions taken that exceeds the amount measured as described above is reflected as a liability for unrecognized tax benefits
in the accompanying balance sheets along with any associated interest and penalties that would be payable to the taxing authorities upon
examination. Interest associated with unrecognized tax benefits are classified as interest expense and penalties are classified in selling,
general and administrative expenses in the statements of income. At September 30, 2023 and December 31, 2022, the Company did not take
any uncertain positions that would necessitate recording a tax related liability.
The
Company accounts for income taxes in interim periods in accordance with FASB ASC 740-270, “Interim Reporting.” The Company
has determined an estimated annual effective tax rate. The rate will be revised, if necessary, as of the end of each successive interim
period during the Company’s fiscal year to its best current estimate. The estimated annual effective tax rate is applied to the
year-to-date ordinary income (or loss) at the end of the interim period.
Revenue
Recognition
FASB
ASC Topic 606 requires use of a new five-step model to recognize revenue from customer contracts. The five-step model requires the Company
(i) identify the contract with the customer, (ii) identify the performance obligations in the contract, (iii) determine the transaction
price, including variable consideration to the extent that it is probable that a significant future reversal will not occur, (iv) allocate
the transaction price to the respective performance obligations in the contract, and (v) recognize revenue when (or as) the Company satisfies
each performance obligation.
Share-based
Compensation
The
Company accounts for stock-based payments in accordance with ASC 718, “Compensation - Stock
Compensation,” which requires that such equity instruments be measured at their fair values on the grant date. Stock-based payments
to employees include grants of stock that are recognized in the consolidated statement of operations based on their fair values at the
date of grant.
The
grant date fair value of stock option awards is recognized in earnings as stock-based compensation cost over the requisite service period
of the award using the straight-line attribution method. We estimate the fair value of the stock option awards using the Black-Scholes-Merton
option pricing model.
Earnings
(Loss) per Share (EPS)
In
accordance with ASC Topic 260 – Earnings Per Share, the basic loss per common share is computed by dividing net loss available
to common stockholders by the weighted average number of common shares outstanding. Diluted loss per common share is computed similar
to basic loss per common share except that the denominator is increased to include the number of additional shares of common stock that
would have been outstanding if the potential common stock had been issued and if the additional shares of common stock were dilutive.
Potential
common stock currently consists of the incremental common stock issuable upon exercise of stock options. The computation of basic loss
per share for the nine months ended September 30, 2023 and 2022 excludes potentially dilutive securities because their inclusion would
be antidilutive. As a result, the computations of net loss per share for each period presented is the same for both basic and fully diluted
losses per share. The Company had no potentially dilutive securities outstanding at September 30, 2023 and 2022, respectively as none
of the outstanding stock options have vested on the report dates.
New
Accounting Pronouncements
In
August 2020, the FASB issued ASU 2020-06, Debt - Debt with Conversion and Other Options (Subtopic 470- 20) and Derivatives and Hedging
- Contracts in Entity’s Own Equity (Subtopic 815-40): Accounting for Convertible Instruments and Contracts in an Entity’s
Own Equity (“ASU 2020-06”), which simplifies the accounting for certain financial instruments with characteristics of liabilities
and equity. This ASU (1) simplifies the accounting for convertible debt instruments and convertible preferred stock by removing the existing
guidance in ASC 470-20, Debt: Debt with Conversion and Other Options, that requires entities to account for beneficial conversion features
and cash conversion features in equity, separately from the host convertible debt or preferred stock; (2) revises the scope exception
from derivative accounting in ASC 815-40 for freestanding financial instruments and embedded features that are both indexed to the issuer’s
own stock and classified in stockholders’ equity, by removing certain criteria required for equity classification; and (3) revises
the guidance in ASC 260, Earnings Per Share, to require entities to calculate diluted earnings per share (EPS) for convertible instruments
by using the if-converted method. In addition, entities must presume share settlement for purposes of calculating diluted EPS when an
instrument may be settled in cash or shares. For SEC filers, excluding smaller reporting companies, ASU 2020-06 is effective for fiscal
years beginning after December 15, 2021 including interim periods within those fiscal years. Early adoption is permitted, but no earlier
than fiscal years beginning after December 15, 2020. For all other entities, ASU 2020-06 is effective for fiscal years beginning after
December 15, 2023, including interim periods within those fiscal years. Entities should adopt the guidance as of the beginning of the
fiscal year of adoption and cannot adopt the guidance in an interim reporting period. The Company is currently evaluating the impact
that ASU 2020-06 may have on its financial statements and related disclosures.
3.
NOTES PAYABLE
During
the fiscal year ended December 31, 2022, the Company signed a series of demand notes (the “Notes”) with NYJJ (Hong Kong)
Limited (“NYJJ”) which were subsequently replaced with a consolidated demand note (the “Note”) in the amount
of $21,721 as of December 31, 2022. NYJJ was incorporated in Hong Kong and is an unrelated party of the Company. The Notes shall be non-interest bearing except that upon the occurrence and continuation of an Event
of Default (as defined below), interest shall accrue and be payable in cash at the rate of 12% per annum. Interest on this Note shall
be compounded annually calculated based upon a year consisting of 365 days and actual days elapsed (including the first day but excluding
the last day) occurring in the period for which interest is payable. This note is unsecured and payable upon demand.
The
failure of the Company to pay on demand any sum due under this Note within three days after demand by the Holder shall constitute an
Event of Default.
The
principal balance of the Note was $21,721, which
was forgiven by NYJJ on August 20, 2023 and is recorded as a gain on debt forgiveness in the accompanying condensed statement of operations.
As
of September 30, 2023 and December 31, 2022, the note was $0 and $21,721 respectively.
4.
RELATED PARTY TRANSACTIONS
Overview
Holdings Inc.
During
the quarter ended March 31, 2023, an advance in the amount of $2,500 was received from Overview Holdings Inc., a company incorporated
in the State of Idaho and owned by a direct family member of our former CEO and current member of our board of directors. The Company
signed a demand note whereby the note shall be non-interest bearing except that upon the occurrence and continuation of an Event of Default
(as defined below), interest shall accrue and be payable in cash at the rate of 12% per annum. Interest on this Note shall be compounded
annually calculated based upon a year consisting of 365 days and actual days elapsed (including the first day but excluding the last
day) occurring in the period for which interest is payable. This note is unsecured and payable upon demand.
The
failure of the Company to pay on demand any sum due under this Note within three days after demand by the Holder shall constitute an
Event of Default.
As
of September 30, 2023, the principal balance of the note was $2,500 and is reflected on the balance sheet as Advances and loans payable
– related parties.
Global
Strategies Inc.
On
June 27, 2023, Global Strategies, Inc., the Company’s then controlling shareholder, sold 11,866,563 shares of the Company’s
common stock pursuant to an agreement with Parks Amusements LLC, a limited liability corporation incorporated in the State of Missouri,
of which Nicholas Parks, the Company’s current sole officer and a member of the board of directors, is a controlling member for
total consideration of $300,000. The 11,866,563 shares were issued to Mr. Parks directly and represent approximately 73% of the then
outstanding shares of the Company. The sale of common stock effected a change in control of the Company.
Parks
Amusements LLC
During
the nine months ended September 30, 2023, Parks Amusements LLC, a company of which our sole officer and a member of our board of directors
is a controlling member, advanced $9,314 to pay accounts payable. There are no written agreements for these advances and these advances
are unsecured, bear no interest and are payable upon demand.
As
of September 30, 2023, Parks Amusements LLC was owed $9,314 which is reflected on the balance sheet as Advances and loans payable –
related parties.
Service
Agreement with Global Public Strategies Inc.
On
July 1, 2023, as amended July 31, 2023, the Company entered an agreement for services with Global Public Strategies Inc. (“GPS”),
a company incorporated in the State of Idaho, whose managing director is Dr. Larry Eastland, a director of the Company. Under the agreement,
GPS or their assigns will receive a total of 1,000,000 shares of common stock of the Company for serving as a strategic advisor to the
Company for a period of five years. The agreement also calls for the further consideration to be paid in cash equivalent or as follows:
|
i. |
1,000,000
five-year options to acquire common shares at $0.10 per share, which option shall be issued on the first anniversary of this Agreement
as fully vested, provided GPS is still providing services to the Company; |
|
|
|
|
ii. |
1,000,000
five-year options to acquire common shares at $0.15 per share, which option shall be issued on the second anniversary of this Agreement
as fully vested, provided GPS is still providing services to the Company; |
|
|
|
|
iii. |
1,000,000
five-year options to acquire common shares at $0.20 per share, which option shall be issued on the third anniversary of this Agreement
as fully vested, provided GPS is still providing services to the Company; |
|
|
|
|
iv. |
1,000,000
five-year options to acquire common shares at $0.20 per share, which option shall be issued on the fourth anniversary of this Agreement
as fully vested provided GPS is still providing services to the Company; |
In
accordance with the terms of the agreement 1,000,000 shares of common stock of the Company were issued to GPS and its’ assigns
on September 1, 2023.
5.
STOCKHOLDERS’ EQUITY
Common
and Preferred Stock
The
Corporation is authorized to issue 550,000,000 shares of capital stock, of which 500,000,000 shares shall be shares of Common Stock,
$0.001 par value (“Common Stock”), and 50,000,000 shares shall be shares of Preferred Stock, $0.001 par value (“Preferred
Stock”).
On
June 27, 2023, Nicholas Parks completed the acquisition of 11,866,563 shares of the common stock of the Company (Ref: Note 4) effecting
a change in control.
In
connection with the change of control of the Company, GPS, a company owned by Dr. Larry Eastland and his son waived total debt owing
to GPS of $21,700 as of June 27, 2023; and such transactions were recorded as a capital contribution.
On
September 1, 2023, the Company issued a total of 70,000,000 shares to 4 stockholders for the acquisition of Parks Amusements LLC and
its subsidiaries (Ref: Note 1). The acquisition will close upon the transfer of the membership units of Parks Amusements LLC by the members.
The 70,000,000 shares are held in trust subject to receipt of the membership units from Parks Amusements LLC.
On
September 1, 2023, the Company issued a total of 1,000,000 shares of common stock to GPS and its’ assigns in accordance with a
service contract (ref: Note 4). The shares were valued at $19,600, the fair market value on the date of issuance or $0.0196 per share.
At
September 30, 2023 and December 31, 2022 the Company had a total of 87,110,005 and 16,110,005 shares of Common Stock issued and outstanding,
respectively and no shares of Preferred Stock are issued.
Stock
Options
On
July 1, 2023, as consideration under that certain services agreement with GPS (ref: Note 4), the Company granted the following stock
options:
|
i. |
1,000,000
five-year options to acquire common shares at $0.10 per share, which option shall be issued on the first anniversary of this Agreement
as fully vested, provided GPS is still providing services to the Company; |
|
|
|
|
ii. |
1,000,000
five-year options to acquire common shares at $0.15 per share, which option shall be issued on the second anniversary of this Agreement
as fully vested, provided GPS is still providing services to the Company; |
|
|
|
|
iii. |
1,000,000
five-year options to acquire common shares at $0.20 per share, which option shall be issued on the third anniversary of this Agreement
as fully vested, provided GPS is still providing services to the Company; |
|
|
|
|
iv. |
1,000,000
five-year options to acquire common shares at $0.20 per share, which option shall be issued on the fourth anniversary of this Agreement
as fully vested provided GPS is still providing services to the Company; |
The
stock options were valued at $29,919 on the date of issue using the Black Scholes Model and the following data inputs:
SCHEDULE OF STOCK OPTIONS VALUATION ASSUMPTIONS
| |
July 1, 2023 | |
Volatility | |
| 90.43 | % |
Risk-free rate | |
| 4.31 | % |
Years remaining to option’s expiration | |
| 3.75 | |
Dividend Yield | |
| 0 | % |
The
following is a summary of the Company’s stock option activity for the periods ended September 30, 2023 and December 31, 2022:
SCHEDULE OF STOCK OPTION ACTIVITY
| |
| | |
Weighted | |
| |
| | |
Average | |
| |
Options | | |
Exercise | |
| |
Outstanding | | |
Price | |
| |
| | |
| |
Exercisable at December 31, 2022 | |
| - | | |
$ | - | |
Granted | |
| 4,000,000 | | |
| 0.1625 | |
Canceled | |
| - | | |
| - | |
Exercised | |
| - | | |
| - | |
Outstanding at September 30, 2023 | |
| 4,000,000 | | |
$ | 0.1625 | |
Exercisable at September 30, 2023 | |
| - | | |
$ | - | |
The
number and weighted average exercise prices of all options outstanding as of September 30, 2023 are as follows:
SCHEDULE OF WEIGHTED AVERAGE EXERCISE PRICES OPTIONS OUTSTANDING
Options Outstanding | |
| | |
| | |
| | |
Weighted | |
| | |
| | |
Weighted | | |
Average | |
| | |
Number | | |
Average | | |
Remaining | |
| | |
Outstanding | | |
Exercise | | |
Contractual Life | |
Exercise Price | | |
September 30, 2023 | | |
Price | | |
(Years) | |
$ | 0.10 | | |
| 1,000,000 | | |
$ | 0.10 | | |
| 5.75 | |
$ | 0.15 | | |
| 1,000,000 | | |
$ | 0.15 | | |
| 6.75 | |
$ | 0.20 | | |
| 1,000,000 | | |
$ | 0.20 | | |
| 7.75 | |
$ | 0.20 | | |
| 1,000,000 | | |
$ | 0.20 | | |
| 8.75 | |
| | | |
| 4,000,000 | | |
$ | 0.1625 | | |
| 7.25 | |
The
Company expensed $3,660 as stock-based compensation in the three months ended September 30, 2023. Unamortized compensation expense associated
with unvested options is $26,259 as of September 30, 2023. The weighted average period over which these costs are expected to be recognized
is approximately 3.75 years.
The
aggregate intrinsic value of the options as of September 30, 2023 and December 31, 2022 is $0.
6.
COMMITMENTS AND CONTINGENCIES
The
Company adopted ASC 450-20, Loss Contingencies, to report accounting for contingencies. Liabilities for loss contingencies arising from
claims, assessments, litigation, fines and penalties and other sources are recorded when it is probable that a liability has been incurred
and the amount of the assessment can be reasonably estimated.
Contingent
Liability from Prior Operation
The
Company had been engaged in various businesses since its incorporation. The Company was not successful and discontinued all
of its operations on March 31, 2019. Management believes that there are no valid outstanding liabilities from prior operations. If a
creditor were to come forward and claim a liability, the Company has committed to contest such claim to the fullest extent of the law.
No amount has been accrued in the financial statements for this contingent liability.
7.
SUBSEQUENT EVENTS
On
November 1, 2023, the Company and Parks Amusements LLC and its members amended the July 1, 2023 acquisition agreement (the “Agreement”)
to make the following provisions:
| 1. | The
closing of the Transaction (the “Closing”) shall take place at such location
at such time as the parties may so agree, but no later than December 31, 2023, unless further
extended; and provided that (i) the membership units of PARKS have been effectively transferred
to ADMG in accordance with applicable rules in the State of Missouri and any and all required
state files have been completed by PARKS; AND (ii) an audit of the financial results of PARKS
for the two most recently completed fiscal years and applicable stub period have been completed
by an Independent Registered Public Accounting firm (the “Effective Time”). |
| | |
| 2. | The
Signature Page of the Agreement shall be amended to reflect ownership of the Membership Units
as follows, which accurately reflects the current ownership of the Membership Units of PARKS: |
“Nicholas
Parks -3,200,000 Membership Units, Brooke Parks – 3,200,000 Membership Units, 5 Parts Investments, LLC – 600,000 Membership
Units
| 3. | Schedule
A to the Agreement shall be amended to state as follows: |
“70,000,000
Shares of ADMG Unregistered, Restricted Common stock in exchange for 7,000,000 Membership Units held by Nicholas A Parks (3,200,000 Membership
Units) Brooke Parks (3,200,000 Membership Units) and 5 Parts Investments LLC (600,000 Membership Units)”.
Item
2. Management’s Discussion and Analysis of Financial Condition and Results of Operations
Overview
Adamant
DRI Processing and Minerals Group (the “Company,” “we” or “us” or words of similar meaning), is a
Nevada corporation incorporated in July 2014 and successor by merger to UHF Incorporated, a Delaware corporation (“UHF”),
which in turn was the successor to UHF Incorporated, a Michigan corporation (“UHF Michigan”), as a result of domicile merger
effected on December 29, 2011.
We
engaged in various business since our incorporation. We were not successful in any of the businesses we entered and discontinued all
of our remaining operations effective March 31, 2019, at which time we became a non-operating shell company with nominal assets. In August
2021 we filed a Registration Statement on Form 10 and became subject to the reporting requirements of the Exchange Act. We also are considered
a “blank check company” subject to Rule 419. We intend to seek, investigate and, if such investigation warrants, engage in
a business combination which may take the form of a “reverse merger” with a private entity whose business presents an opportunity
for our stockholders.
On
March 28, 2022, Global Strategies, Inc. completed the acquisition of 11,866,563 shares of the common stock of the Company from five shareholders
which included the Company’s major shareholder also the sole director and officer, and his affiliated company.
On
May 1, 2023, Global Strategies, Inc., the Company’s controlling shareholder, entered into an agreement to sell 11,866,563 shares
of the Company’s common stock to Parks Amusements LLC, a limited liability corporation incorporated in the State of Missouri, for
total consideration of $300,000. The 11,866,563 shares represent approximately 73% of the outstanding shares of the Company as of the
date hereof, and the sale of common stock effected a further change in control of the Company. The transaction was closed on June 27,
2023, and the 11,866,563 shares of common stock were assigned to Nicholas Parks, the controlling member of Parks Amusements LLC.
On
June 27, 2023, Dr. Larry Eastland submitted his resignation as President, Secretary and Treasurer of the Company, and remined as a member
of the board of directors of the Company.
Effective
June 27, 2023, the Board of Directors of the Company appointed Mr. Nicholas A. Parks, controlling shareholder, as the Company’s
CEO, CFO, President, Treasurer, Secretary, and a member of the Board of Directors.
Mr.
Parks, age 44, has served as the Managing Member of Parks Amusements since September 2014 and the CEO and Chairman of The Pinball Company
since August 2006. Parks Amusements operates Level Up Entertainment (www.levelupthefun.com), a family entertainment center, and
Lakeside Ashland (www.lakesideashland.com), an amphitheater and event venue. Both businesses are currently operating in Columbia,
Missouri. The Pinball Company, with offices in St. Louis and Columbia, Missouri, is a leading online retailer of pinball machines, arcades,
and other game room products. Mr. Parks graduated from the University of Missouri - Columbia in 2002 (B.S. Business Administration),
and obtained his MBA from the same university in 2005.
On
July 1, 2023, the Company entered into an agreement to acquire Parks Amusements, LLC, a limited liability company organized in the State
of Missouri. Parks Amusements, LLC is the operator of family entertainment venues. The agreement calls for the issuance of a total of
70,000,000 shares of our common stock to the members of Parks Amusements LLC. Our sole officer and a director of the Company and his
wife are the controlling stockholders of Parks Amusements LLC and collectively will receive a total of 63,050,000 shares of common stock.
On September 1, 2023, the Company and Parks Amusements LLC amended the agreement to extend the closing date for the transaction. This
acquisition has not yet been closed pending the transfer of the membership units from the members of Parks Amusements LLC, however the
70,000,000 shares of common stock were issued on September 1, 2023, and are held in trust pending closing.
On
November 1, 2023, the Company and Parks Amusements LLC and its members amended the July 1, 2023 acquisition agreement (the “Agreement”)
to make the following provisions:
| 1. | The
closing of the Transaction (the “Closing”) shall take place at such location
at such time as the parties may so agree, but no later than December 31, 2023, unless further
extended; and provided that (i) the membership units of PARKS have been effectively transferred
to ADMG in accordance with applicable rules in the State of Missouri and any and all required
state files have been completed by PARKS; AND (ii) an audit of the financial results of PARKS
for the two most recently completed fiscal years and applicable stub period have been completed
by an Independent Registered Public Accounting firm (the “Effective Time”). |
| | |
| 2. | The
Signature Page of the Agreement shall be amended to reflect ownership of the Membership Units
as follows, which accurately reflects the current ownership of the Membership Units of PARKS: |
“Nicholas
Parks -3,200,000 Membership Units, Brooke Parks – 3,200,000 Membership Units, 5 Parts Investments, LLC – 600,000 Membership
Units
| 3. | Schedule
A to the Agreement shall be amended to state as follows: |
“70,000,000
Shares of ADMG Unregistered, Restricted Common stock in exchange for 7,000,000 Membership Units held by Nicholas A Parks (3,200,000 Membership
Units) Brooke Parks (3,200,000 Membership Units) and 5 Parts Investments LLC (600,000 Membership Units)”.
Upon
closing the transaction whereunder the Company will acquire Parks Amusements, LLC the Company will operate in the entertainment industry.
Parks Amusements operates Level Up Entertainment (www.levelupthefun.com), a family entertainment center, and Lakeside Ashland (www.lakesideashland.com),
an amphitheater and event venue. Both businesses are currently operating in Columbia, Missouri. The Pinball Company, with offices in
St. Louis and Columbia, Missouri, is a leading online retailer of pinball machines, arcades, and other game room products.
Results
of Operations
Comparison
of the Nine Months ended September 30, 2023 and 2022
| |
2023 | | |
2022 | | |
Dollar Increase (Decrease) | |
Revenue | |
$ | - | | |
$ | - | | |
$ | - | |
Cost of services provided | |
| - | | |
| - | | |
| - | |
Gross profit | |
| - | | |
| - | | |
| - | |
Operating expenses | |
| 64,838 | | |
| 59,347 | | |
| 5,491 | |
Loss from operations | |
| (64,838 | ) | |
| (59,347 | ) | |
| 5,491 | |
Gain on debt forgiveness | |
| 21,721 | | |
| - | | |
| 21,721 | |
Loss before income taxes | |
| (43,117 | ) | |
| (59,347 | ) | |
| (16,230 | ) |
Income tax expense | |
| - | | |
| - | | |
| - | |
Net loss | |
$ | (43,117 | ) | |
$ | (59,347 | ) | |
$ | (16,230 | ) |
Loss
from Operations
Operating
expenses were $64,828 for the nine months ended September 30, 2023, compared to $59,347 for the nine months ended September 30, 2022,
an increase of $5,491, primarily as a result of the increase in professional fees for SEC filings.
Gain
on debt forgiveness
A
creditor of the Company forgave a loan payable in the amount of $21,721 during the nine months ending September 30, 2023 with no comparable
transaction during the nine months ended September 30, 2022.
Net
Loss
We
had a net loss of $43,117 for the nine months ended September 30, 2023, compared to net loss of $59,347 for the nine months ended September
30, 2022. The decrease in net loss of $16,230 for the nine months ended September 30, 2023 over the nine months ended September 30, 2022
is mainly due to the forgiveness of $21,721 of debt in the nine months ended September 30, 2023 offset by an increase in professional
fees of $5,491.
Comparison
of the Three Months ended September 30, 2023 and 2022
| |
2023 | | |
2022 | | |
Dollar Increase (Decrease) | |
Revenue | |
$ | - | | |
$ | - | | |
$ | - | |
Cost of services provided | |
| - | | |
| - | | |
| - | |
Gross profit | |
| - | | |
| - | | |
| - | |
Operating expenses | |
| 32,700 | | |
| 9,946 | | |
| 22,754 | |
Loss from operations | |
| (32,700 | ) | |
| (9,946 | ) | |
| 22,754 | |
Gain on debt forgiveness | |
| 21,721 | | |
| - | | |
| 21,721 | |
Loss before income taxes | |
| (10,999 | ) | |
| (9,946 | ) | |
| 1,053 | |
Income tax expense | |
| - | | |
| - | | |
| - | |
Net loss | |
$ | (10,999 | ) | |
$ | (9,946 | ) | |
$ | 1,053 | |
Loss
from Operations
Operating
expenses were $32,700 for the three months ended September 30, 2023, compared to $9,946 for the three months ended September 30, 2022,
an increase of $22,754, fees for professional services, including legal fees and transfer agent fees increased substantially as the Company
entered into agreements related to a change in control and an acquisition.
Gain
on debt forgiveness
A
creditor of the Company forgave a loan payable in the amount of $21,721 during the three months ending September 30, 2023 with no comparable
transaction during the three months ended September 30, 2022.
Net
Loss
We
had a net loss of $10,999 for the three months ended September 30, 2023, compared to net loss of $9,946 for the three months ended September
30, 2022 with the net loss remaining fairly constant due to the offset of the increase in operating expenses of the forgiveness of debt.
Liquidity
and Capital Resources
As
of September 30, 2023, and December 31, 2022, cash and equivalents and restricted cash were $0, respectively and the Company’s
assets were limited to prepaid acquisition costs and expenses.
We
have had to rely on loans and capital contributions from affiliated parties since we disposed of our interest in Shenzhen Technology
Company and became a shell company in March 2019. Subsequent to the period covered by this report we are concluding the acquisition of
Parks Amusements LLC which is an operating business. We cannot accurately estimate the expenses we may incur over the next twelve months
as we move through finalization of the acquisition and commence operations. The Company intends to undertake an offering to raise operating
funds as our acquired subsidiary expects to expand operations. In all likelihood we will remain dependent upon the efforts of our current
directors and principal shareholder, and their willingness to provide the capital necessary to continue our business and fund our cash
needs until we generate meaningful revenues or complete a financing. There can be no assurance that we will be able to raise the funds
necessary to fund our operations and we cannot assure you that we can identify a suitable business to acquire or combine with. If we
were to fail to raise the capital necessary to maintain our operations our common stock would likely become worthless.
The
following is a summary of cash provided by or used in each of the indicated types of activities during the nine months ended September
30, 2023 and 2022, respectively.
| |
Nine Months Ended September 30, | |
| |
2023 | | |
2022 | |
Net cash used in operating activities | |
$ | (33,514 | ) | |
$ | (68,706 | ) |
Net cash used in investing activities | |
| - | | |
| - | |
Net cash provided by financing activities | |
$ | 33,514 | | |
$ | 68,706 | |
Net
cash used in operating activities
Net
cash used in operating activities was $33,514 and $68,706 for the nine months ended September 30, 2023 and 2022, respectively. The decrease
in the cash outflow from operating activities for the nine months ended September 30, 2023 was mainly due to a gain on forgiveness of
debt of $21,721in the nine months ended September 30, 2023 with no comparable transaction in the nine months ended September 30, 2022.
In the nine months ended September 30, 2023 we incurred costs for stock based compensation of $23,260 with no comparable costs incurred
in the nine months ended September 30, 2022. During the nine months ended September 30, 2023 accounts payable increased by $5,066 and
prepaid expenses decreased by $2,998, comparatively in the nine months ended September 30, 2022, accounts payable decreased by $9,359.
Net
cash used in investing activities
There were no investing activities during the nine months ended September 30, 2023 and 2022.
Net
cash provided by financing activities
Net
cash provided by financing activities was $33,514 and $68,706 for the nine months ended September 30, 2023 and 2022, respectively. The
net cash provided by financing activities in the nine months ended September 30, 2023 included advances and loans from related parties.
The net cash provided by financing activities in the nine months ended September 30, 2022 included advances from related parties and
proceeds from a note payable with a third party.
Off-Balance
Sheet Arrangements
We
have not entered into any financial guarantees or other commitments to guarantee the obligations of any third parties. We have not entered
into any derivative contracts that are indexed to our shares and classified as shareholder’s equity or that are not reflected in
our financial statements. Furthermore, we do not have any retained or contingent interest in assets transferred to an unconsolidated
entity that serves as credit, liquidity or market risk support to such entity. We do not have any variable interest in any unconsolidated
entity that provides financing, liquidity, market risk or credit support to us or engages in leasing, hedging or research and development
services with us.
Critical
Accounting Estimates
The
financial statements are prepared in accordance with accounting principles generally accepted in the U.S. (“GAAP”). The preparation
of these financial statements requires us to make estimates and assumptions that affect the reported amounts of assets, liabilities,
revenues, costs and expenses and related disclosures. We base our estimates on historical experience, as appropriate, and on various
other assumptions that we believe are reasonable under the circumstances. Changes in the accounting estimates are reasonably likely to
occur from period to period. Accordingly, actual results could differ significantly from the estimates made by our management. We evaluate
our estimates and assumptions on an ongoing basis. To the extent that there are material differences between these estimates and actual
results, our future financial statement presentation, financial condition, results of operations and cash flows will be affected. See
Note 2 – Summary of Significant Accounting Policies.
Item
4. Controls and Procedures.
(a)
Evaluation of Disclosure Controls and Procedures.
Management
of Adamant DRI Processing and Minerals Group is responsible for maintaining disclosure controls and procedures that are designed to ensure
that information required to be disclosed in the reports that the Company files or submits under the Securities Exchange Act of 1934
(the “Exchange Act”) is recorded, processed, summarized and reported within the time periods specified in the Securities
and Exchange Commission’s rules and forms. In addition, the disclosure controls and procedures must ensure that such information
is accumulated and communicated to the Company’s management, including its Chief Executive Officer and Chief Financial Officer,
as appropriate, to allow timely decisions regarding required financial and other required disclosures.
At
September 30, 2023, an evaluation of the effectiveness of our disclosure controls and procedures (as defined in Rules 13(a)-15(e) and
15(d)-15(e) of the Securities Exchange Act of 1934 (the “Exchange Act”)) was carried out under the supervision and with the
participation of our Chief Executive Officer who is also our Chief Financial Officer. Based on his evaluation of our disclosure controls
and procedures, he concluded that at September 30, 2023, such disclosure controls and procedures were not effective. This was due to
our limited resources, including the absence of a financial staff with accounting and financial expertise and deficiencies in the design
or operation of our internal control over financial reporting that adversely affected our disclosure controls and that may be considered
to be “material weaknesses.”
The
material weakness in our financial controls will not be considered remediated until the applicable remedial controls operate for a sufficient
period of time and management has concluded, through testing, that these controls are operating effectively.
(b)
Changes in Internal Control over Financial Reporting.
There
have been no changes in our internal control over financial reporting that occurred during our fiscal quarter ended September 30, 2023,
that have materially affected, or are reasonable likely to materially affect, our internal control over financial reporting. Given the
limitations of our accounting personnel, we need to take additional steps to ensure that our financial statements are in accordance with
US GAAP.
PART
II
OTHER
INFORMATION
ITEM
1. LEGAL PROCEEDINGS
There
are no pending legal proceedings to which the Company is a party or in which any director, officer or affiliate of the Company, any owner
of record or beneficially of more than 5% of any class of voting securities of the Company, or security holder is a party adverse to
the Company or has a material interest adverse to the Company.
ITEM
1A. RISK FACTORS
The
purchase of our common stock involves a high degree of risk. Before you invest you should carefully consider the risks and uncertainties
described under the heading “Risk Factors” in Item 1A. of our Annual Report on Form 10-K and “Management’s Discussion
and Analysis of Financial Condition and Results of Operations” set forth in Item 2 of Part I of this report and our financial statements
and related notes included in Item 1 of Part I of this report. Readers should carefully review those risks, as well as additional risks
described in other documents we file from time to time with the SEC.
ITEM
2. UNREGISTERED SALES OF EQUITY SECURITIES AND USE OF PROCEEDS
There
were no sales of equity securities during the period covered by this Report that were not registered under the Securities Act and were
not previously reported in a Quarterly Report on Form 10-Q or a Current Report on Form 8-K filed by the Company other than as set out
below:
On
September 1, 2023, the Company issued a total of 70,000,000 shares of its unregistered restricted common stock to 4 stockholders for
the acquisition of Parks Amusements LLC and its subsidiaries. The acquisition will close upon the transfer of the membership units of
Parks Amusements LLC by the members. The 70,000,000 shares are held in trust subject to receipt of the membership units from Parks Amusements
LLC.
On
September 1, 2023, the Company issued a total of 1,000,000 shares of unregistered restricted common stock to Global Public Strategies
Inc., a company controlled by a member of our board of directors and his son, and its’ assigns as consideration for services under
a services agreement.
ITEM
3. DEFAULTS UPON SENIOR SECURITIES
None
ITEM
4. MINE SAFETY DISCLOSURES
Not
Applicable
ITEM
5. OTHER INFORMATION
Acquisition
of Parks Amusements, LLC
On
July 1, 2023, the Company entered into an agreement to acquire Parks Amusements, LLC, a limited liability company organized in the State
of Missouri. Parks Amusements, LLC is the operator of family entertainment venues. The agreement calls for the issuance of a total of
70,000,000 shares of our common stock to the members of Parks Amusements LLC. Our sole officer and a director of the Company and his
wife are the controlling stockholders of Parks Amusements LLC and collectively will receive a total of 63,050,000 shares of common stock.
On September 1, 2023, the Company and Parks Amusements LLC amended the agreement to extend the closing date for the transaction. This
acquisition has not yet been closed pending the transfer of the membership units from the members of Parks Amusements LLC, however the
70,000,000 shares of common stock were issued on September 1, 2023 and are held in trust pending closing. A copy of the amendment is
appended hereto as Exhibit 10.1.
On
November 1, 2023, the Company and Parks Amusements LLC and their members amended the acquisition agreement to make the following provisions:
| 1. | The
closing of the Transaction (the “Closing”) shall take place at such location
at such time as the parties may so agree, but no later than December 31, 2023, unless further
extended; and provided that (i) the membership units of PARKS have been effectively transferred
to ADMG in accordance with applicable rules in the State of Missouri and any and all required
state files have been completed by PARKS; AND (ii) an audit of the financial results of PARKS
for the two most recently completed fiscal years and applicable stub period have been completed
by an Independent Registered Public Accounting firm (the “Effective Time”). |
| | |
| 2. | The
Signature Page of the Agreement shall be amended to reflect ownership of the Membership Units
as follows, which accurately reflects the current ownership of the Membership Units of PARKS: |
“Nicholas
Parks -3,200,000 Membership Units, Brooke Parks – 3,200,000 Membership Units, 5 Parts Investments, LLC – 600,000 Membership
Units
| 3. | Schedule
A to the Agreement shall be amended to state as follows: |
“70,000,000
Shares of ADMG Unregistered, Restricted Common stock in exchange for 7,000,000 Membership Units held by Nicholas A Parks (3,200,000 Membership
Units) Brooke Parks (3,200,000 Membership Units) and 5 Parts Investments LLC (600,000 Membership Units)”.
A
copy of the amendment is appended hereto as Exhibit 10.2.
Amendment
to Authorized Capital
On
August 30, 2023, the Nevada Secretary of State accepted the amendment to the articles of incorporation, whereby the Company is authorized
to issue 550,000,000 shares of capital stock, of which 500,000,000 shares shall be shares of Common Stock, $0.001 par value (“Common
Stock”), and 50,000,000 shares shall be shares of Preferred Stock, $0.001 par value (“Preferred Stock”). A company
of the amendment is appended hereto as Exhibit 3.1.
Service
Agreement with Global Public Strategies Inc.
On
July 1, 2023, as amended July 31, 2023, the Company entered an agreement for services with Global Public Strategies Inc. (“GPS”),
a company incorporated in the State of Idaho, whose managing director is Dr. Larry Eastland, a director of the Company. Under the agreement,
GPS or their assigns will receive a total of 1,000,000 shares of common stock of the Company for serving as a strategic advisor to the
Company for a period of five years. The agreement also calls for the further consideration to be paid in cash equivalent or as follows:
|
a. |
1,000,000
unregistered, restricted common shares of ADMG to be issued to Dr. Larry L. Eastland and/or his assigns as fully earned upon execution
of this Agreement; |
|
|
|
|
b. |
The
following stock options for the purchase of unregistered, restricted shares of the Company’s common stock: |
|
i. |
1,000,000
five-year options to acquire common shares at $0.10 per share, which option shall be issued on the first anniversary of this Agreement
as fully vested, provided GPS is still providing services to the Company; |
|
|
|
|
ii. |
1,000,000
five-year options to acquire common shares at $0.15 per share, which option shall be issued on the second anniversary of this Agreement
as fully vested, provided GPS is still providing services to the Company; |
|
|
|
|
iii. |
1,000,000
five-year options to acquire common shares at $0.20 per share, which option shall be issued on the third anniversary of this Agreement
as fully vested, provided GPS is still providing services to the Company; |
|
|
|
|
iv. |
1,000,000
five-year options to acquire common shares at $0.20 per share, which option shall be issued on the fourth anniversary of this Agreement
as fully vested provided GPS is still providing services to the Company. |
1,000,000
shares of common stock of the Company were issued on September 1, 2023 under the terms of the agreement.
Change
of Auditor
On
November 14, 2023, Adamant DRI Processing and Minerals Group, (the “Company”) dismissed Keith Zhen, CPA (“Zhen”)
as its Independent Registered Public Accountancy firm. On November 14, 2023, the Company engaged and executed an agreement with GBQ Partners
LLC (“GBQ”), as the Company’s new independent accountant to replace Zhen. The board of directors of the Company, acting
as the audit committee, approved the decision to change independent accountants. The Company filed the notice of change of auditor on
Form 8K with the Securities and Exchange Commission on November 17, 2023.
ITEM
6. EXHIBITS
The
following exhibits are filed with this report:
SIGNATURES
Pursuant
to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by
the undersigned thereunto duly authorized.
|
ADAMANT
DRI PROCESSING AND MINERALS GROUP |
|
|
|
Dated:
November 20, 2023 |
By: |
/s/
Nicholas A. Parks |
|
|
Nicholas
A Parks |
|
|
President |
Exhibit 3.1
Exhibit
10.1
Addendum
No. 1
This
Addendum No. 1 dated the 1st day of September, shall amend that certain Share Exchange Agreement (the “Agreement”)
originally dated July 1, 2023, by and between ADAMANT DRI PROCESSING AND MINERALS GROUP (“ADMG”), PARKS AMUSEMENTS LLC (“PARKS”)
AND THE MEMBERS OF PARKS AMUSEMENTS LLC (individually “Member” and collectively “Members”), each of which is
individually referred to as “Party” and collectively as the “Parties”.
Whereas
subsequent to the signing of the Agreement the Parties hereto have agreed to amend Article
I – Sale and Purchase of Shares, subheading Closing: Effective Time,
in order to set the Effective Time as September 1, 2023. Further, Article V – Termination, Amendment and Waiver,
subheading Termination, Item 2 shall be struck in its entirety.
Notwithstanding
anything contained in the Agreement to the contrary, the provisions set forth below will be deemed to be a part of the Agreement and
shall supersede any contrary provision in the Agreement. All references in the Agreement and in this Addendum shall be construed to mean
the Agreement as amended and supplemented by this Addendum. Any inconsistency between the Agreement and this Addendum shall be resolved
in favour of the provisions of this Addendum.
|
1. |
Defined
Terms: All defined terms used in this Addendum, unless specifically defined in this Addendum, shall have the same meaning as such
terms have in the Agreement; |
|
|
|
|
2. |
Modification
of the Agreement: |
Article
I – Sale and Purchase of Shares, subheading Closing: Effective Time and language thereafter is replaced in its entirety with the
following:
“Closing:
Effective Time. The closing of the Transaction (the “Closing”) shall take place at such location at such time as
the parties may so agree on 1 September 2023, (the “Effective Time”).”
Article
V – Termination, Amendment and Waiver, subheading Termination, Item 2 shall be struck as follows:
|
2. |
by
either ADMG or the Members if the Transaction shall not have been consummated by July 15, 2023 (“Closing Deadline”) for
any reason; provided, however, that the right to terminate this Agreement under this Section shall not be available to any party
whose action or failure to act has been a principal cause of or resulted in the failure of the Transaction to occur on or before
such date and such action or failure to act constitutes a breach of this Agreement |
|
|
|
|
3. |
Effect
to Amendment: Except as expressively modified in this Addendum, all terms, conditions and covenants set forth in the Agreement shall
remain in full force and effect among the Parties. |
|
|
|
|
4. |
Amendment:
This Addendum may be amended, supplemented or modified only by a written instrument duly executed by or on behalf of each party hereto. |
|
|
|
|
5. |
Governing
Law: This Addendum shall be governed by and construed and enforced in accordance with the laws of the State of Nevada. |
|
|
|
|
6. |
Counterparts:
This Addendum maybe executed in any number of counterparts, each of which shall be an original but all of which together, shall constitute
one instrument. A facsimile or other electronic transmission of this signed Addendum shall be legal and binding on all parties hereto. |
This
Addendum No. 1 shall be appended to and form a part of the Agreement and shall become effective on September 1, 2023.
IN
WITNESS WHEREOF, each of the undersigned has caused this Addendum No. 1 to be duly executed and delivered as of the dates noted below.
FOR:
Adamant DRI Processing and Mineral Group |
|
FOR:
Parks Amusements LLC. |
|
|
|
|
|
|
/s/ Larry L. Eastland |
|
|
/s/ Nicholas
A. Parks |
BY: |
Larry
L. Eastland, Ph.D. |
|
BY: |
Nicholas
A. Parks |
ITS: |
Director |
|
ITS: |
Managing
Member |
DATE: |
1
September 2023 |
|
DATE: |
1
September 2023 |
|
|
|
|
|
|
|
|
|
|
FOR:
5 Parts Investments, LLC, Member |
|
FOR:
Nicholas A Parks, Member |
|
|
|
|
|
|
/s/ Brant Bukowsky |
|
|
/s/ Nicholas
A. Parks |
By: |
Brant
Bukowsky, Managing Member |
|
BY: |
Nicholas
A. Parks |
600,000
Membership Units |
|
6,400,000
Membership Units |
DATE:
1 September 2023 |
|
DATE:
1 September 2023 |
Exhibit
10.2
Addendum
No. 2
This
Addendum No. 2 dated the 1st day of November 2023, shall amend that certain Share Exchange Agreement originally dated July
1, 2023 (the “Agreement”), as amended September 1, 2023 (“Addendum No. 1”) by and between ADAMANT DRI PROCESSING
AND MINERALS GROUP (“ADMG”), PARKS AMUSEMENTS LLC (“PARKS”) AND THE MEMBERS OF PARKS AMUSEMENTS LLC (individually
“Member” and collectively “Members”), each of which is individually referred to as “Party” and collectively
as the “Parties”.
WHEREAS,
subsequent to the signing of the Agreement the Parties agreed to amend the Agreement, and thereafter on September 1, 2023, executed Addendum
No. 1 amending Article
I – Sale and Purchase of Shares, subheading Closing: Effective Time,
in order to set the Effective Time as September 1, 2023; and
WHEREAS,
the Parties further agreed, pursuant to Addendum No 1 to strike Article
V – Termination, Amendment and Waiver, subheading Termination, Item 2 in
its entirety; and
WHEREAS,
the Parties have been unable to close the Agreement on the Effective Time as set out in Addendum No. 1 due to the inability to transfer
the Membership Units to ADMG until such time as the members of PARKS can execute all required paperwork and file with the State of Missouri
any documents required to effect the transfer of the Membership Units to ADMG; and
WHEREAS,
the Parties wish to further amend the signatories to each of the Agreement and Addendum No. 1 to accurately reflect the membership interests
held by each Member; and
WHEREAS,
the Parties have further agreed that prior to the Closing an audit of the financial results of PARKS for the two most recently completed
fiscal years and applicable stub period shall have been completed by an Independent Registered Public Accounting firm; and
WHEREAS,
in connection with Amendment No. 1 ADMG issued the ADMG Shares to the Members and now wish to provide for the ADMG Shares to be held
in escrow pursuant to the Closing of the Agreement;
Notwithstanding
anything contained in the Agreement to the contrary, the provisions set forth below will be deemed to be a part of the Agreement and
shall supersede any contrary provision in the Agreement. All references in the Agreement and in this Addendum shall be construed to mean
the Agreement as amended and supplemented by this Addendum. Any inconsistency between the Agreement and this Addendum shall be resolved
in favour of the provisions of this Addendum.
|
1. |
Defined
Terms: All defined terms used in this Addendum, unless specifically defined in this Addendum, shall have the same meaning as such
terms have in the Agreement; |
|
|
|
|
2. |
Modification
of the Agreement: |
Article
I – Sale and Purchase of Shares, subheading Closing: Effective Time and language thereafter is replaced in its entirety with the
following:
“Closing:
Effective Time. The closing of the Transaction (the “Closing”) shall take place at such location at such time as the
parties may so agree, but no later than December 31, 2023, unless further extended; and provided that (i) the membership units of PARKS
have been effectively transferred to ADMG in accordance with applicable rules in the State of Missouri and any and all required state
files have been completed by PARKS; AND (ii) an audit of the financial results of PARKS for the two most recently completed fiscal years
and applicable stub period have been completed by an Independent Registered Public Accounting firm (the “Effective Time”).”
Article
V – Termination, Amendment and Waiver, subheading Termination, Item 2 of the Agreement, shall be struck in its entirety.
The
Signature Page of the Agreement shall be amended to reflect ownership of the Membership Units as follows, which accurately reflects the
current ownership of the Membership Units of PARKS:
“Nicholas
Parks -3,200,000 Membership Units
Brooke
Parks – 3,200,000 Membership Units
5
Parts Investments, LLC – 600,000 Membership Units”
Schedule
A to the Agreement shall be amended to state as follows:
“70,000,000
Shares of ADMG Unregistered, Restricted Common stock in exchange for 7,000,000 Membership Units held by Nicholas A Parks (3,200,000 Membership
Units) Brooke Parks (3,200,000 Membership Units) and 5 Parts Investments LLC (600,000 Membership Units)”.
|
3. |
Effect
to Amendment: Except as expressively modified in this Addendum, all terms, conditions and covenants set forth in the Agreement shall
remain in full force and effect among the Parties. |
|
|
|
|
4. |
Amendment:
This Addendum may be amended, supplemented or modified only by a written instrument duly executed by or on behalf of each party hereto. |
|
|
|
|
5. |
Governing
Law: This Addendum shall be governed by and construed and enforced in accordance with the laws of the State of Nevada. |
|
|
|
|
6. |
Counterparts:
This Addendum maybe executed in any number of counterparts, each of which shall be an original but all of which together, shall constitute
one instrument. A facsimile or other electronic transmission of this signed Addendum shall be legal and binding on all parties hereto. |
This
Addendum No. 2 shall be appended to and form a part of the Agreement and shall become effective on November 1, 2023.
IN
WITNESS WHEREOF, each of the undersigned has caused this Addendum No. 2 to be duly executed and delivered as of the dates noted below.
FOR:
Adamant DRI Processing and Mineral Group |
|
FOR:
Parks Amusements LLC. |
|
|
|
|
|
|
/s/
Larry L. Eastland |
|
|
/s/
Nicholas A. Parks |
By: |
Larry
L. Eastland, Ph.D. |
|
By: |
Nicholas
A. Parks |
ITS: |
Director |
|
ITS: |
Managing
Member |
DATE: |
November
1, 2023 |
|
DATE: |
November
1, 2023 |
|
|
|
|
|
FOR:
5 Parts Investments, LLC, Member |
|
FOR:
Nicholas A Parks, Member |
|
|
|
|
|
|
/s/
Brant Bukowsky |
|
|
/s/
Nicholas A. Parks |
By: |
Brant
Bukowsky, Managing Member |
|
By: |
Nicholas
A. Parks |
600,000
Membership Units |
|
3,200,000
Membership Units |
DATE:
November 1, 2023 |
|
DATE:
November 1, 2023 |
|
|
|
|
|
FOR:
Brooke Parks, Member |
|
|
|
|
|
|
|
|
|
/s/
Brooke Parks |
|
|
|
By: |
Brooke
Parks |
|
|
|
3,200,000
Membership Units |
|
|
|
Date:
November 1, 2023 |
|
|
|
Exhibit
10.3
Addendum
No. 1
This
Addendum No. 1 dated the 31st day of July, shall amend that certain Agreement for Services (the “Agreement”) originally
dated July 1, 2023, by and between ADAMANT DRI PROCESSING AND MINERALS GROUP (“ADMG”) AND GLOBAL PUBLIC STRATEGIES INC.(“GPS”),
each of which is individually referred to as “Party” and collectively as the “Parties”.
Whereas
subsequent to the signing of the Agreement the Parties hereto have agreed to amend Article
2 – Compensation in its entirety in order to clarify the intent of the terms of the Agreement.
Article 2 – Compensation shall be struck in its entirety and replaced with amended language
as set out herein.
Notwithstanding
anything contained in the Agreement to the contrary, the provisions set forth below will be deemed to be a part of the Agreement and
shall supersede any contrary provision in the Agreement. All references in the Agreement and in this Addendum shall be construed to mean
the Agreement as amended and supplemented by this Addendum. Any inconsistency between the Agreement and this Addendum shall be resolved
in favour of the provisions of this Addendum.
| 1. | Modification
of the Agreement: |
Article
2 – Compensation is replaced in its entirety with the following:
|
2. |
Compensation.
In consideration for the Services to be provided hereunder, GPS shall receive: |
|
|
|
|
|
|
a. |
1,000,000
unregistered, restricted common shares of ADMG to be issued to Dr. Larry L. Eastland and/or his assigns as fully earned upon execution
of this Agreement; |
|
|
|
|
|
|
b. |
The
following stock options for the purchase of unregistered, restricted shares of the Company’s common stock: |
|
i. |
1,000,000
five-year options to acquire common shares at $0.10 per share, which option shall be issued on the first anniversary of this Agreement
as fully vested, provided GPS is still providing services to the Company; |
|
|
|
|
ii. |
1,000,000
five-year options to acquire common shares at $0.15 per share, which option shall be issued on the second anniversary of this Agreement
as fully vested, provided GPS is still providing services to the Company; |
|
|
|
|
iii. |
1,000,000
five-year options to acquire common shares at $0.20 per share, which option shall be issued on the third anniversary of this Agreement
as fully vested, provided GPS is still providing services to the Company; |
|
|
|
|
iv. |
1,000,000
five-year options to acquire common shares at $0.20 per share, which option shall be issued on the fourth anniversary of this Agreement
as fully vested provided GPS is still providing services to the Company;; |
|
2. |
Effect
to Amendment: Except as expressively modified in this Addendum, all terms, conditions and covenants set forth in the Agreement shall
remain in full force and effect among the Parties. |
|
|
|
|
3. |
Amendment:
This Addendum may be amended, supplemented or modified only by a written instrument duly executed by or on behalf of each party hereto. |
|
|
|
|
4. |
Governing
Law: This Addendum shall be governed by and construed and enforced in accordance with the laws of the State of Idaho. |
|
|
|
|
5. |
Counterparts:
This Addendum maybe executed in any number of counterparts, each of which shall be an original but all of which together, shall constitute
one instrument. A facsimile or other electronic transmission of this signed Addendum shall be legal and binding on all parties hereto.
|
This
Addendum No. 1 shall be appended to and form a part of the Agreement and shall become effective on July 31, 2023.
IN
WITNESS WHEREOF, each of the undersigned has caused this Addendum No. 1 to be duly executed and delivered as of the date first noted
above.
FOR:
Adamant DRI Processing and Mineral Group |
|
|
|
|
/s/ Nicholas A. Parks |
|
BY:
|
Nicholas
A. Parks |
|
ITS:
|
CEO
& Director |
|
|
|
|
FOR:
Global Public Strategies Inc. |
|
|
|
|
/s/ Dr. Larry L. Eastland |
|
BY:
|
Dr.
Larry L. Eastland |
|
ITS:
|
Managing
Director |
|
Exhibit
31.1
CERTIFICATION
OF PRINCIPAL EXECUTIVE AND FINANCIAL OFFICER
PURSUANT
TO RULE 13a-14(a) UNDER THE EXCHANGE ACT
I,
Nicholas A Parks, certify that:
1.
I have reviewed this quarterly report on Form 10-Q of Adamant DRI Processing and Minerals Group;
2.
Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary
to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the
period covered by this report;
3.
Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material
respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this
report;
4.
I am responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and
15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant
and have:
a)
Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under my supervision,
to ensure that material information relating to the registrant, is made known to us by others within those entities, particularly during
the period in which this report is being prepared;
b)
Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under
my supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements
for external purposes in accordance with generally accepted accounting principles;
c)
Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report my conclusions
about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation;
and
d)
Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s
most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected,
or is reasonably likely to materially affect, the registrant’s internal control over financial reporting.
5.
I have disclosed, based on my most recent evaluation of internal control over financial reporting, to the registrant’s auditors
and the audit committee of registrant’s board of directors (or persons performing the equivalent functions):
a)
All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are
reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information;
and
b)
Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s
internal control over financial reporting.
Dated:
November 20. 2023
/s/
Nicholas A Parks |
|
Nicholas
A Parks |
|
President
(Principal Executive and Financial Officer) |
|
Exhibit
32.1
CERTIFICATION
OF PRINCIPAL EXECUTIVE AND FINANCIAL OFFICER
PURSUANT
TO
SECTION
906 OF THE SARBANES-OXLEY ACT OF 2002
(18
U.S.C. SECTION 1350)
In
connection with the Quarterly Report of Adamant DRI Processing and Minerals Group, a Nevada corporation (the “Company”),
on Form 10-Q for the period ended September 30, 2023, as filed with the Securities and Exchange Commission (the “Report”), Dr.
Larry L. Eastland, President and Chief Financial Officer of the Company, does hereby certify, pursuant to Section 906 of the Sarbanes-Oxley
Act of 2002 (18 U.S.C. ss. 1350), that:
(1)
The Report fully complies with the requirements of section 13(a) or 15(d) of the Securities Exchange Act of 1934; and
(2)
The information contained in the Report fairly presents, in all material respects, the financial condition and result of operations of
the Company.
Dated:
November 20, 2023 |
|
|
|
/s/
Nicholas A Parks |
|
Nicholas
A Parks, President |
|
(Principal
Executive and Financial Officer) |
|
A
signed original of this written statement required by Section 906 has been provided to the Company and will be retained by the Company
and furnished to the Securities and Exchange Commission or its staff upon request.
v3.23.3
Cover - shares
|
9 Months Ended |
|
Sep. 30, 2023 |
Nov. 17, 2023 |
Cover [Abstract] |
|
|
Document Type |
10-Q
|
|
Amendment Flag |
false
|
|
Document Quarterly Report |
true
|
|
Document Transition Report |
false
|
|
Document Period End Date |
Sep. 30, 2023
|
|
Document Fiscal Period Focus |
Q3
|
|
Document Fiscal Year Focus |
2023
|
|
Current Fiscal Year End Date |
--12-31
|
|
Entity File Number |
000-49729
|
|
Entity Registrant Name |
Adamant
DRI Processing and Minerals Group
|
|
Entity Central Index Key |
0001171008
|
|
Entity Tax Identification Number |
61-1745150
|
|
Entity Incorporation, State or Country Code |
NV
|
|
Entity Address, Address Line One |
4
S 9th Street
|
|
Entity Address, Address Line Two |
Suite
201
|
|
Entity Address, City or Town |
Columbia
|
|
Entity Address, State or Province |
MO
|
|
Entity Address, Postal Zip Code |
65201
|
|
City Area Code |
573
|
|
Local Phone Number |
818-4750
|
|
Entity Current Reporting Status |
Yes
|
|
Entity Interactive Data Current |
No
|
|
Entity Filer Category |
Non-accelerated Filer
|
|
Entity Small Business |
true
|
|
Entity Emerging Growth Company |
true
|
|
Elected Not To Use the Extended Transition Period |
false
|
|
Entity Shell Company |
true
|
|
Entity Common Stock, Shares Outstanding |
|
87,110,005
|
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v3.23.3
Condensed Balance Sheets - USD ($)
|
Sep. 30, 2023 |
Dec. 31, 2022 |
CURRENT ASSETS |
|
|
Cash & equivalents |
|
|
Prepaid expense |
|
2,998
|
Prepaid acquisition costs |
70,000
|
|
Total current assets |
70,000
|
2,998
|
TOTAL ASSETS |
70,000
|
2,998
|
CURRENT LIABILITIES |
|
|
Accrued liabilities and other payables |
23,517
|
18,451
|
Advances and loans payable – related parties |
9,314
|
|
Total current liabilities |
35,331
|
40,172
|
STOCKHOLDERS’ EQUITY (DEFICIT) |
|
|
Preferred stock: $0.001 par value; 50,000,000 shares authorized, no shares issued and outstanding |
|
|
Common stock, $0.001 par value; 500,000,000 share authorized; 87,110,005 and 16,110,005 shares issued and outstanding at September 30, 2023 and December 31, 2022, respectively |
87,110
|
16,110
|
Additional paid in capital |
7,683,285
|
7,639,325
|
Accumulated other comprehensive income |
1,858,434
|
1,858,434
|
Accumulated deficit |
(9,594,160)
|
(9,551,043)
|
Total stockholders’ equity (deficit) |
34,669
|
(37,174)
|
TOTAL LIABILITIES AND STOCKHOLDERS’ DEFICIT |
70,000
|
2,998
|
Nonrelated Party [Member] |
|
|
CURRENT LIABILITIES |
|
|
Loan payable – related party |
|
21,721
|
Related Party [Member] |
|
|
CURRENT LIABILITIES |
|
|
Loan payable – related party |
$ 2,500
|
|
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v3.23.3
Condensed Balance Sheets (Parenthetical) - $ / shares
|
Sep. 30, 2023 |
Dec. 31, 2022 |
Statement of Financial Position [Abstract] |
|
|
Preferred stock, par value |
$ 0.001
|
$ 0.001
|
Preferred stock, shares authorized |
50,000,000
|
50,000,000
|
Preferred stock, shares issued |
0
|
0
|
Preferred stock, shares outstanding |
0
|
0
|
Common stock, par value |
$ 0.001
|
$ 0.001
|
Common stock, shares authorized |
500,000,000
|
500,000,000
|
Common stock, shares issued |
87,110,005
|
16,110,005
|
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87,110,005
|
16,110,005
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v3.23.3
Condensed Statements of Operations (Unaudited) - USD ($)
|
3 Months Ended |
9 Months Ended |
Sep. 30, 2023 |
Sep. 30, 2022 |
Sep. 30, 2023 |
Sep. 30, 2022 |
Operating expenses |
|
|
|
|
Consulting fees |
$ 19,600
|
|
$ 20,631
|
|
Professional fees |
7,500
|
8,800
|
27,519
|
54,857
|
Filing fees |
1,350
|
500
|
10,343
|
1,999
|
General and administrative |
4,270
|
646
|
6,345
|
2,491
|
Total operating expenses |
32,720
|
9,946
|
64,838
|
59,347
|
Loss from operations |
(32,720)
|
(9,946)
|
(64,838)
|
(59,347)
|
Other income |
|
|
|
|
Gain on debt forgiveness |
21,721
|
|
21,721
|
|
Total other income |
21,721
|
|
21,721
|
|
Loss before income tax |
(10,999)
|
(9,946)
|
(43,117)
|
(59,347)
|
Net loss |
$ (10,999)
|
$ (9,946)
|
$ (43,117)
|
$ (59,347)
|
Basic weighted average shares outstanding |
38,490,440
|
16,110,005
|
23,652,130
|
16,110,005
|
Diluted weighted average shares outstanding |
38,490,440
|
16,110,005
|
23,652,130
|
16,110,005
|
Basic net loss per share |
$ (0.00)
|
$ (0.00)
|
$ (0.00)
|
$ (0.00)
|
Diluted net loss per share |
$ (0.00)
|
$ (0.00)
|
$ (0.00)
|
$ (0.00)
|
X |
- DefinitionThe amount of net income (loss) for the period per each share of common stock or unit outstanding during the reporting period.
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v3.23.3
Condensed Statements of Stockholders' Deficit (Unaudited) - USD ($)
|
Common Stock [Member] |
Additional Paid-in Capital [Member] |
Retained Earnings [Member] |
AOCI Attributable to Parent [Member] |
Total |
Balance at Dec. 31, 2021 |
$ 16,110
|
$ 7,538,557
|
$ (9,479,200)
|
$ 1,858,434
|
$ (66,099)
|
Balance, shares at Dec. 31, 2021 |
16,110,005
|
|
|
|
|
Net Loss |
|
|
(34,252)
|
|
(34,252)
|
Increase in paid in capital |
|
100,351
|
|
|
100,351
|
Balance at Mar. 31, 2022 |
$ 16,110
|
7,638,908
|
(9,513,452)
|
1,858,434
|
|
Balance, shares at Mar. 31, 2022 |
16,110,005
|
|
|
|
|
Balance at Dec. 31, 2021 |
$ 16,110
|
7,538,557
|
(9,479,200)
|
1,858,434
|
(66,099)
|
Balance, shares at Dec. 31, 2021 |
16,110,005
|
|
|
|
|
Net Loss |
|
|
|
|
(59,347)
|
Balance at Sep. 30, 2022 |
$ 16,110
|
7,639,325
|
(9,538,547)
|
1,858,434
|
(24,678)
|
Balance, shares at Sep. 30, 2022 |
16,110,005
|
|
|
|
|
Balance at Mar. 31, 2022 |
$ 16,110
|
7,638,908
|
(9,513,452)
|
1,858,434
|
|
Balance, shares at Mar. 31, 2022 |
16,110,005
|
|
|
|
|
Net Loss |
|
|
(15,149)
|
|
(15,149)
|
Increase in paid in capital |
|
417
|
|
|
417
|
Balance at Jun. 30, 2022 |
$ 16,110
|
7,639,325
|
(9,528,601)
|
1,858,434
|
(14,732)
|
Balance, shares at Jun. 30, 2022 |
16,110,005
|
|
|
|
|
Net Loss |
|
|
(9,946)
|
|
(9,946)
|
Balance at Sep. 30, 2022 |
$ 16,110
|
7,639,325
|
(9,538,547)
|
1,858,434
|
(24,678)
|
Balance, shares at Sep. 30, 2022 |
16,110,005
|
|
|
|
|
Balance at Dec. 31, 2022 |
$ 16,110
|
7,639,325
|
(9,551,043)
|
1,858,434
|
(37,174)
|
Balance, shares at Dec. 31, 2022 |
16,110,005
|
|
|
|
|
Net Loss |
|
|
(10,350)
|
|
(10,350)
|
Balance at Mar. 31, 2023 |
$ 16,110
|
7,639,325
|
(9,561,393)
|
1,858,434
|
(47,524)
|
Balance, shares at Mar. 31, 2023 |
16,110,005
|
|
|
|
|
Balance at Dec. 31, 2022 |
$ 16,110
|
7,639,325
|
(9,551,043)
|
1,858,434
|
(37,174)
|
Balance, shares at Dec. 31, 2022 |
16,110,005
|
|
|
|
|
Net Loss |
|
|
|
|
(43,117)
|
Balance at Sep. 30, 2023 |
$ 87,110
|
7,683,285
|
(9,594,160)
|
1,858,434
|
34,669
|
Balance, shares at Sep. 30, 2023 |
87,110,005
|
|
|
|
|
Balance at Mar. 31, 2023 |
$ 16,110
|
7,639,325
|
(9,561,393)
|
1,858,434
|
(47,524)
|
Balance, shares at Mar. 31, 2023 |
16,110,005
|
|
|
|
|
Net Loss |
|
|
(21,768)
|
|
(21,768)
|
Shareholder contribution to paid in capital |
|
21,700
|
|
|
21,700
|
Balance at Jun. 30, 2023 |
$ 16,110
|
7,661,025
|
(9,583,161)
|
1,858,434
|
(47,592)
|
Balance, shares at Jun. 30, 2023 |
16,110,005
|
|
|
|
|
Net Loss |
|
|
(10,999)
|
|
(10,999)
|
Shares issued for acquisition |
$ 70,000
|
|
|
|
70,000
|
Shares issued for acquisition, shares |
70,000,000
|
|
|
|
|
Shares issued for services |
$ 1,000
|
18,600
|
|
|
19,600
|
Shares issued for services, shares |
1,000,000
|
|
|
|
|
Stock based compensation – options |
|
3,660
|
|
|
3,660
|
Balance at Sep. 30, 2023 |
$ 87,110
|
$ 7,683,285
|
$ (9,594,160)
|
$ 1,858,434
|
$ 34,669
|
Balance, shares at Sep. 30, 2023 |
87,110,005
|
|
|
|
|
X |
- DefinitionShareholder contribution to paid in capital.
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v3.23.3
Condensed Statements of Cash Flows (Unaudited) - USD ($)
|
9 Months Ended |
Sep. 30, 2023 |
Sep. 30, 2022 |
CASH FLOWS FROM OPERATING ACTIVITIES: |
|
|
Net loss |
$ (43,117)
|
$ (59,347)
|
Adjustments to reconcile net loss to net cash used in operating activities: |
|
|
Stock based compensation |
23,260
|
|
Gain on debt forgiveness |
(21,721)
|
|
Changes in assets and liabilities: |
|
|
Prepaid expenses |
2,998
|
|
Accrued liabilities and other payables |
5,066
|
(9,359)
|
Net cash used in operating activities |
(33,514)
|
(68,706)
|
CASH FLOWS FROM FINANCING ACTIVITIES: |
|
|
Advances from related parties |
9,314
|
57,187
|
Capital contributions from Shareholder |
21,700
|
|
Loans from related parties |
2,500
|
|
Proceeds from note payable |
|
11,519
|
Net cash provided by financing activities |
33,514
|
68,706
|
NET CHANGE IN CASH & EQUIVALENTS |
|
|
CASH & EQUIVALENTS, BEGINNING OF YEAR |
|
|
CASH & EQUIVALENTS, END OF PERIOD |
|
|
Supplemental Cash Flow Data: |
|
|
Income tax paid |
|
|
Interest paid |
|
|
NON-CASH INVESTING AND FINANCING ACTIVITIES |
|
|
Shares issued as prepaid acquisition costs |
$ 70,000
|
|
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v3.23.3
ORGANIZATION AND DESCRIPTION OF BUSINESS
|
9 Months Ended |
Sep. 30, 2023 |
Accounting Policies [Abstract] |
|
ORGANIZATION AND DESCRIPTION OF BUSINESS |
1.
ORGANIZATION AND DESCRIPTION OF BUSINESS
Adamant
DRI Processing and Minerals Group (the “Company”), is a Nevada corporation incorporated in July 2014 and successor by merger
to UHF Incorporated, a Delaware corporation (“UHF”), which in turn was the successor to UHF Incorporated, a Michigan corporation
(“UHF Michigan”), as a result of domicile merger effected on December 29, 2011.
The
Company had been engaged in the various business since its incorporation. The Company was not successful and discontinued all
of its operation on March 31, 2019 and became a shell company. Beginning from April 1, 2019, the Company plans on merging with another
entity with experienced management and opportunities for growth.
On
May 1, 2023, Global Strategies, Inc., the Company’s then controlling shareholder, entered into an agreement to sell 11,866,563
shares of the Company’s common stock to Parks Amusements LLC, a limited liability corporation incorporated in the State of Missouri,
for total consideration of $300,000. The 11,866,563 shares represent approximately 73% of the outstanding shares of the Company as of
the date hereof, and the sale of common stock effected a change in control of the Company. The transaction was closed on June 27, 2023,
and the 11,866,563 shares of common stock were assigned to Nicholas Parks, the controlling member of Parks Amusements LLC,
In
connection with the change of control of the Company, on June 27, 2023 the Company’s sole officer and director Dr. Larry Eastland,
resigned all officer positions, and remained as a member of board of directors. Mr. Nicholas Parks was appointed CEO, CFO, President,
Secretary, Treasurer and a member of the Company’s board of directors.
On
July 1, 2023, the Company entered into an agreement to acquire Parks Amusements, LLC, a limited liability company organized in the State
of Missouri. Parks Amusements, LLC is the operator of family entertainment venues. The agreement calls for the issuance of a total of
70,000,000 shares of our common stock to the members of Parks Amusements LLC. Our sole officer and a director of the Company and his
wife are the controlling stockholders of Parks Amusements LLC and collectively will receive a total of 63,050,000 shares of common stock.
On September 1, 2023, the Company and Parks Amusements LLC amended the agreement to extend the closing date for the transaction. This
acquisition has not yet been closed pending the transfer of the membership units from the members of Parks Amusements LLC, however the
70,000,000 shares of common stock were issued on September 1, 2023, and are held in trust pending closing.
On
August 30, 2023, the Nevada Secretary of State accepted an amendment to the articles of incorporation, whereby the Company is authorized
to issue 550,000,000 shares of capital stock, of which 500,000,000 shares shall be shares of Common Stock, $0.001 par value (“Common
Stock”), and 50,000,000 shares shall be shares of Preferred Stock, $0.001 par value (“Preferred Stock”).
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v3.23.3
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
|
9 Months Ended |
Sep. 30, 2023 |
Accounting Policies [Abstract] |
|
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES |
2.
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Basis
of Presentation
The
accompanying financial statements are prepared in accordance with generally accepted accounting principles in the United States of America
(“US GAAP”).
The financial statements presented in this Quarterly Report on Form 10-Q are unaudited. However, in the opinion of management, these unaudited
condensed financial statements include all adjustments, consisting solely of normal recurring adjustments, necessary to present fairly
the financial position, results of operations and cash flows for the periods presented in conformity with GAAP applicable to interim periods.
The financial data and other financial information disclosed in these notes to the accompanying condensed financial statements are also
unaudited. As such, certain information and footnote disclosures normally included in financial statements prepared in accordance with
GAAP have been condensed or omitted pursuant to applicable rules and regulations thereunder.
The
unaudited condensed financial statements included herein should be read in conjunction with the Annual Report on Form 10-K for the fiscal year ended December 31, 2022. The results of operations for the nine months ended September 30, 2023, are not necessarily
indicative of the results to be expected for the full year or any other future period.
Going
Concern
The
financial statements have been prepared assuming that the Company will continue as a going concern. The Company incurred losses of $43,117
and $59,347 for the nine months ended September 30, 2023 and 2022, respectively. As of September 30, 2023, the Company had no cash on
hand and an accumulated deficit of $9,594,160. These and other factors raise substantial doubt about the Company’s ability to continue
as a going concern. Management believes that the Company’s capital requirements will depend on many factors including the success
of the Company’s efforts to complete a merger or acquisition, and the Company’s efforts to raise capital. Management also
believes the Company needs to raise additional capital for working capital purposes. There is no assurance that such financing will be
available on acceptable terms in the future. The financial statements of the Company do not include any adjustments relating to the recoverability
and classification of recorded assets, or the amounts and classifications of liabilities that might be necessary should the Company be
unable to continue as a going concern.
Use
of Estimates
In
preparing financial statements in conformity with US GAAP, management makes estimates and assumptions that affect the reported amounts
of assets and liabilities and disclosures of contingent assets and liabilities at the dates of the financial statements, as well as the
reported amounts of revenues and expenses during the reporting period. Significant estimates, required by management, include the recoverability
of long-lived assets and allowance for doubtful accounts. Actual results could differ from these estimates.
Income
Taxes
Income
taxes are accounted for using an asset and liability method. Under this method, deferred income taxes are recognized for the tax
consequences in future years of differences between the tax bases of assets and liabilities and their financial reporting amounts at
each period end based on enacted tax laws and statutory tax rates, applicable to the periods in which the differences are expected
to affect taxable income. Valuation allowances are established, when necessary, to reduce deferred tax assets to the amount expected
to be realized. A 100% valuation allowance has been established on deferred tax assets at September 30, 2023 and December 31, 2022, due to the uncertainty
of our ability to realize future taxable income.
The
Company follows ASC Topic 740, which prescribes a more-likely-than-not threshold for financial statement recognition and measurement
of a tax position taken or expected to be taken in a tax return. ASC Topic 740 also provides guidance on recognition of income tax assets
and liabilities, classification of current and deferred income tax assets and liabilities, accounting for interest and penalties associated
with tax positions, accounting for income taxes in interim periods, and income tax disclosures.
Under
the provisions of ASC Topic 740, when tax returns are filed, it is likely that some positions taken would be sustained upon examination
by the taxing authorities, while others are subject to uncertainty about the merits of the position taken or the amount of the position
that would be ultimately sustained. The benefit of a tax position is recognized in the financial statements in the period during which,
based on all available evidence, management believes it is more likely than not that the position will be sustained upon examination,
including the resolution of appeals or litigation processes, if any. Tax positions taken are not offset or aggregated with other positions.
Tax positions that meet the more-likely-than-not recognition threshold are measured as the largest amount of tax benefit that is more
than 50 percent likely of being realized upon settlement with the applicable taxing authority. The portion of the benefits associated
with tax positions taken that exceeds the amount measured as described above is reflected as a liability for unrecognized tax benefits
in the accompanying balance sheets along with any associated interest and penalties that would be payable to the taxing authorities upon
examination. Interest associated with unrecognized tax benefits are classified as interest expense and penalties are classified in selling,
general and administrative expenses in the statements of income. At September 30, 2023 and December 31, 2022, the Company did not take
any uncertain positions that would necessitate recording a tax related liability.
The
Company accounts for income taxes in interim periods in accordance with FASB ASC 740-270, “Interim Reporting.” The Company
has determined an estimated annual effective tax rate. The rate will be revised, if necessary, as of the end of each successive interim
period during the Company’s fiscal year to its best current estimate. The estimated annual effective tax rate is applied to the
year-to-date ordinary income (or loss) at the end of the interim period.
Revenue
Recognition
FASB
ASC Topic 606 requires use of a new five-step model to recognize revenue from customer contracts. The five-step model requires the Company
(i) identify the contract with the customer, (ii) identify the performance obligations in the contract, (iii) determine the transaction
price, including variable consideration to the extent that it is probable that a significant future reversal will not occur, (iv) allocate
the transaction price to the respective performance obligations in the contract, and (v) recognize revenue when (or as) the Company satisfies
each performance obligation.
Share-based
Compensation
The
Company accounts for stock-based payments in accordance with ASC 718, “Compensation - Stock
Compensation,” which requires that such equity instruments be measured at their fair values on the grant date. Stock-based payments
to employees include grants of stock that are recognized in the consolidated statement of operations based on their fair values at the
date of grant.
The
grant date fair value of stock option awards is recognized in earnings as stock-based compensation cost over the requisite service period
of the award using the straight-line attribution method. We estimate the fair value of the stock option awards using the Black-Scholes-Merton
option pricing model.
Earnings
(Loss) per Share (EPS)
In
accordance with ASC Topic 260 – Earnings Per Share, the basic loss per common share is computed by dividing net loss available
to common stockholders by the weighted average number of common shares outstanding. Diluted loss per common share is computed similar
to basic loss per common share except that the denominator is increased to include the number of additional shares of common stock that
would have been outstanding if the potential common stock had been issued and if the additional shares of common stock were dilutive.
Potential
common stock currently consists of the incremental common stock issuable upon exercise of stock options. The computation of basic loss
per share for the nine months ended September 30, 2023 and 2022 excludes potentially dilutive securities because their inclusion would
be antidilutive. As a result, the computations of net loss per share for each period presented is the same for both basic and fully diluted
losses per share. The Company had no potentially dilutive securities outstanding at September 30, 2023 and 2022, respectively as none
of the outstanding stock options have vested on the report dates.
New
Accounting Pronouncements
In
August 2020, the FASB issued ASU 2020-06, Debt - Debt with Conversion and Other Options (Subtopic 470- 20) and Derivatives and Hedging
- Contracts in Entity’s Own Equity (Subtopic 815-40): Accounting for Convertible Instruments and Contracts in an Entity’s
Own Equity (“ASU 2020-06”), which simplifies the accounting for certain financial instruments with characteristics of liabilities
and equity. This ASU (1) simplifies the accounting for convertible debt instruments and convertible preferred stock by removing the existing
guidance in ASC 470-20, Debt: Debt with Conversion and Other Options, that requires entities to account for beneficial conversion features
and cash conversion features in equity, separately from the host convertible debt or preferred stock; (2) revises the scope exception
from derivative accounting in ASC 815-40 for freestanding financial instruments and embedded features that are both indexed to the issuer’s
own stock and classified in stockholders’ equity, by removing certain criteria required for equity classification; and (3) revises
the guidance in ASC 260, Earnings Per Share, to require entities to calculate diluted earnings per share (EPS) for convertible instruments
by using the if-converted method. In addition, entities must presume share settlement for purposes of calculating diluted EPS when an
instrument may be settled in cash or shares. For SEC filers, excluding smaller reporting companies, ASU 2020-06 is effective for fiscal
years beginning after December 15, 2021 including interim periods within those fiscal years. Early adoption is permitted, but no earlier
than fiscal years beginning after December 15, 2020. For all other entities, ASU 2020-06 is effective for fiscal years beginning after
December 15, 2023, including interim periods within those fiscal years. Entities should adopt the guidance as of the beginning of the
fiscal year of adoption and cannot adopt the guidance in an interim reporting period. The Company is currently evaluating the impact
that ASU 2020-06 may have on its financial statements and related disclosures.
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v3.23.3
NOTES PAYABLE
|
9 Months Ended |
Sep. 30, 2023 |
Debt Disclosure [Abstract] |
|
NOTES PAYABLE |
3.
NOTES PAYABLE
During
the fiscal year ended December 31, 2022, the Company signed a series of demand notes (the “Notes”) with NYJJ (Hong Kong)
Limited (“NYJJ”) which were subsequently replaced with a consolidated demand note (the “Note”) in the amount
of $21,721 as of December 31, 2022. NYJJ was incorporated in Hong Kong and is an unrelated party of the Company. The Notes shall be non-interest bearing except that upon the occurrence and continuation of an Event
of Default (as defined below), interest shall accrue and be payable in cash at the rate of 12% per annum. Interest on this Note shall
be compounded annually calculated based upon a year consisting of 365 days and actual days elapsed (including the first day but excluding
the last day) occurring in the period for which interest is payable. This note is unsecured and payable upon demand.
The
failure of the Company to pay on demand any sum due under this Note within three days after demand by the Holder shall constitute an
Event of Default.
The
principal balance of the Note was $21,721, which
was forgiven by NYJJ on August 20, 2023 and is recorded as a gain on debt forgiveness in the accompanying condensed statement of operations.
As
of September 30, 2023 and December 31, 2022, the note was $0 and $21,721 respectively.
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v3.23.3
RELATED PARTY TRANSACTIONS
|
9 Months Ended |
Sep. 30, 2023 |
Related Party Transactions [Abstract] |
|
RELATED PARTY TRANSACTIONS |
4.
RELATED PARTY TRANSACTIONS
Overview
Holdings Inc.
During
the quarter ended March 31, 2023, an advance in the amount of $2,500 was received from Overview Holdings Inc., a company incorporated
in the State of Idaho and owned by a direct family member of our former CEO and current member of our board of directors. The Company
signed a demand note whereby the note shall be non-interest bearing except that upon the occurrence and continuation of an Event of Default
(as defined below), interest shall accrue and be payable in cash at the rate of 12% per annum. Interest on this Note shall be compounded
annually calculated based upon a year consisting of 365 days and actual days elapsed (including the first day but excluding the last
day) occurring in the period for which interest is payable. This note is unsecured and payable upon demand.
The
failure of the Company to pay on demand any sum due under this Note within three days after demand by the Holder shall constitute an
Event of Default.
As
of September 30, 2023, the principal balance of the note was $2,500 and is reflected on the balance sheet as Advances and loans payable
– related parties.
Global
Strategies Inc.
On
June 27, 2023, Global Strategies, Inc., the Company’s then controlling shareholder, sold 11,866,563 shares of the Company’s
common stock pursuant to an agreement with Parks Amusements LLC, a limited liability corporation incorporated in the State of Missouri,
of which Nicholas Parks, the Company’s current sole officer and a member of the board of directors, is a controlling member for
total consideration of $300,000. The 11,866,563 shares were issued to Mr. Parks directly and represent approximately 73% of the then
outstanding shares of the Company. The sale of common stock effected a change in control of the Company.
Parks
Amusements LLC
During
the nine months ended September 30, 2023, Parks Amusements LLC, a company of which our sole officer and a member of our board of directors
is a controlling member, advanced $9,314 to pay accounts payable. There are no written agreements for these advances and these advances
are unsecured, bear no interest and are payable upon demand.
As
of September 30, 2023, Parks Amusements LLC was owed $9,314 which is reflected on the balance sheet as Advances and loans payable –
related parties.
Service
Agreement with Global Public Strategies Inc.
On
July 1, 2023, as amended July 31, 2023, the Company entered an agreement for services with Global Public Strategies Inc. (“GPS”),
a company incorporated in the State of Idaho, whose managing director is Dr. Larry Eastland, a director of the Company. Under the agreement,
GPS or their assigns will receive a total of 1,000,000 shares of common stock of the Company for serving as a strategic advisor to the
Company for a period of five years. The agreement also calls for the further consideration to be paid in cash equivalent or as follows:
|
i. |
1,000,000
five-year options to acquire common shares at $0.10 per share, which option shall be issued on the first anniversary of this Agreement
as fully vested, provided GPS is still providing services to the Company; |
|
|
|
|
ii. |
1,000,000
five-year options to acquire common shares at $0.15 per share, which option shall be issued on the second anniversary of this Agreement
as fully vested, provided GPS is still providing services to the Company; |
|
|
|
|
iii. |
1,000,000
five-year options to acquire common shares at $0.20 per share, which option shall be issued on the third anniversary of this Agreement
as fully vested, provided GPS is still providing services to the Company; |
|
|
|
|
iv. |
1,000,000
five-year options to acquire common shares at $0.20 per share, which option shall be issued on the fourth anniversary of this Agreement
as fully vested provided GPS is still providing services to the Company; |
In
accordance with the terms of the agreement 1,000,000 shares of common stock of the Company were issued to GPS and its’ assigns
on September 1, 2023.
|
X |
- DefinitionThe entire disclosure for related party transactions. Examples of related party transactions include transactions between (a) a parent company and its subsidiary; (b) subsidiaries of a common parent; (c) and entity and its principal owners; and (d) affiliates.
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v3.23.3
STOCKHOLDERS’ EQUITY
|
9 Months Ended |
Sep. 30, 2023 |
Equity [Abstract] |
|
STOCKHOLDERS’ EQUITY |
5.
STOCKHOLDERS’ EQUITY
Common
and Preferred Stock
The
Corporation is authorized to issue 550,000,000 shares of capital stock, of which 500,000,000 shares shall be shares of Common Stock,
$0.001 par value (“Common Stock”), and 50,000,000 shares shall be shares of Preferred Stock, $0.001 par value (“Preferred
Stock”).
On
June 27, 2023, Nicholas Parks completed the acquisition of 11,866,563 shares of the common stock of the Company (Ref: Note 4) effecting
a change in control.
In
connection with the change of control of the Company, GPS, a company owned by Dr. Larry Eastland and his son waived total debt owing
to GPS of $21,700 as of June 27, 2023; and such transactions were recorded as a capital contribution.
On
September 1, 2023, the Company issued a total of 70,000,000 shares to 4 stockholders for the acquisition of Parks Amusements LLC and
its subsidiaries (Ref: Note 1). The acquisition will close upon the transfer of the membership units of Parks Amusements LLC by the members.
The 70,000,000 shares are held in trust subject to receipt of the membership units from Parks Amusements LLC.
On
September 1, 2023, the Company issued a total of 1,000,000 shares of common stock to GPS and its’ assigns in accordance with a
service contract (ref: Note 4). The shares were valued at $19,600, the fair market value on the date of issuance or $0.0196 per share.
At
September 30, 2023 and December 31, 2022 the Company had a total of 87,110,005 and 16,110,005 shares of Common Stock issued and outstanding,
respectively and no shares of Preferred Stock are issued.
Stock
Options
On
July 1, 2023, as consideration under that certain services agreement with GPS (ref: Note 4), the Company granted the following stock
options:
|
i. |
1,000,000
five-year options to acquire common shares at $0.10 per share, which option shall be issued on the first anniversary of this Agreement
as fully vested, provided GPS is still providing services to the Company; |
|
|
|
|
ii. |
1,000,000
five-year options to acquire common shares at $0.15 per share, which option shall be issued on the second anniversary of this Agreement
as fully vested, provided GPS is still providing services to the Company; |
|
|
|
|
iii. |
1,000,000
five-year options to acquire common shares at $0.20 per share, which option shall be issued on the third anniversary of this Agreement
as fully vested, provided GPS is still providing services to the Company; |
|
|
|
|
iv. |
1,000,000
five-year options to acquire common shares at $0.20 per share, which option shall be issued on the fourth anniversary of this Agreement
as fully vested provided GPS is still providing services to the Company; |
The
stock options were valued at $29,919 on the date of issue using the Black Scholes Model and the following data inputs:
SCHEDULE OF STOCK OPTIONS VALUATION ASSUMPTIONS
| |
July 1, 2023 | |
Volatility | |
| 90.43 | % |
Risk-free rate | |
| 4.31 | % |
Years remaining to option’s expiration | |
| 3.75 | |
Dividend Yield | |
| 0 | % |
The
following is a summary of the Company’s stock option activity for the periods ended September 30, 2023 and December 31, 2022:
SCHEDULE OF STOCK OPTION ACTIVITY
| |
| | |
Weighted | |
| |
| | |
Average | |
| |
Options | | |
Exercise | |
| |
Outstanding | | |
Price | |
| |
| | |
| |
Exercisable at December 31, 2022 | |
| - | | |
$ | - | |
Granted | |
| 4,000,000 | | |
| 0.1625 | |
Canceled | |
| - | | |
| - | |
Exercised | |
| - | | |
| - | |
Outstanding at September 30, 2023 | |
| 4,000,000 | | |
$ | 0.1625 | |
Exercisable at September 30, 2023 | |
| - | | |
$ | - | |
The
number and weighted average exercise prices of all options outstanding as of September 30, 2023 are as follows:
SCHEDULE OF WEIGHTED AVERAGE EXERCISE PRICES OPTIONS OUTSTANDING
Options Outstanding | |
| | |
| | |
| | |
Weighted | |
| | |
| | |
Weighted | | |
Average | |
| | |
Number | | |
Average | | |
Remaining | |
| | |
Outstanding | | |
Exercise | | |
Contractual Life | |
Exercise Price | | |
September 30, 2023 | | |
Price | | |
(Years) | |
$ | 0.10 | | |
| 1,000,000 | | |
$ | 0.10 | | |
| 5.75 | |
$ | 0.15 | | |
| 1,000,000 | | |
$ | 0.15 | | |
| 6.75 | |
$ | 0.20 | | |
| 1,000,000 | | |
$ | 0.20 | | |
| 7.75 | |
$ | 0.20 | | |
| 1,000,000 | | |
$ | 0.20 | | |
| 8.75 | |
| | | |
| 4,000,000 | | |
$ | 0.1625 | | |
| 7.25 | |
The
Company expensed $3,660 as stock-based compensation in the three months ended September 30, 2023. Unamortized compensation expense associated
with unvested options is $26,259 as of September 30, 2023. The weighted average period over which these costs are expected to be recognized
is approximately 3.75 years.
The
aggregate intrinsic value of the options as of September 30, 2023 and December 31, 2022 is $0.
|
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- DefinitionThe entire disclosure for equity.
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v3.23.3
COMMITMENTS AND CONTINGENCIES
|
9 Months Ended |
Sep. 30, 2023 |
Commitments and Contingencies Disclosure [Abstract] |
|
COMMITMENTS AND CONTINGENCIES |
6.
COMMITMENTS AND CONTINGENCIES
The
Company adopted ASC 450-20, Loss Contingencies, to report accounting for contingencies. Liabilities for loss contingencies arising from
claims, assessments, litigation, fines and penalties and other sources are recorded when it is probable that a liability has been incurred
and the amount of the assessment can be reasonably estimated.
Contingent
Liability from Prior Operation
The
Company had been engaged in various businesses since its incorporation. The Company was not successful and discontinued all
of its operations on March 31, 2019. Management believes that there are no valid outstanding liabilities from prior operations. If a
creditor were to come forward and claim a liability, the Company has committed to contest such claim to the fullest extent of the law.
No amount has been accrued in the financial statements for this contingent liability.
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v3.23.3
SUBSEQUENT EVENTS
|
9 Months Ended |
Sep. 30, 2023 |
Subsequent Events [Abstract] |
|
SUBSEQUENT EVENTS |
7.
SUBSEQUENT EVENTS
On
November 1, 2023, the Company and Parks Amusements LLC and its members amended the July 1, 2023 acquisition agreement (the “Agreement”)
to make the following provisions:
| 1. | The
closing of the Transaction (the “Closing”) shall take place at such location
at such time as the parties may so agree, but no later than December 31, 2023, unless further
extended; and provided that (i) the membership units of PARKS have been effectively transferred
to ADMG in accordance with applicable rules in the State of Missouri and any and all required
state files have been completed by PARKS; AND (ii) an audit of the financial results of PARKS
for the two most recently completed fiscal years and applicable stub period have been completed
by an Independent Registered Public Accounting firm (the “Effective Time”). |
| | |
| 2. | The
Signature Page of the Agreement shall be amended to reflect ownership of the Membership Units
as follows, which accurately reflects the current ownership of the Membership Units of PARKS: |
“Nicholas
Parks -3,200,000 Membership Units, Brooke Parks – 3,200,000 Membership Units, 5 Parts Investments, LLC – 600,000 Membership
Units
| 3. | Schedule
A to the Agreement shall be amended to state as follows: |
“70,000,000
Shares of ADMG Unregistered, Restricted Common stock in exchange for 7,000,000 Membership Units held by Nicholas A Parks (3,200,000 Membership
Units) Brooke Parks (3,200,000 Membership Units) and 5 Parts Investments LLC (600,000 Membership Units)”.
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v3.23.3
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies)
|
9 Months Ended |
Sep. 30, 2023 |
Accounting Policies [Abstract] |
|
Basis of Presentation |
Basis
of Presentation
The
accompanying financial statements are prepared in accordance with generally accepted accounting principles in the United States of America
(“US GAAP”).
The financial statements presented in this Quarterly Report on Form 10-Q are unaudited. However, in the opinion of management, these unaudited
condensed financial statements include all adjustments, consisting solely of normal recurring adjustments, necessary to present fairly
the financial position, results of operations and cash flows for the periods presented in conformity with GAAP applicable to interim periods.
The financial data and other financial information disclosed in these notes to the accompanying condensed financial statements are also
unaudited. As such, certain information and footnote disclosures normally included in financial statements prepared in accordance with
GAAP have been condensed or omitted pursuant to applicable rules and regulations thereunder.
The
unaudited condensed financial statements included herein should be read in conjunction with the Annual Report on Form 10-K for the fiscal year ended December 31, 2022. The results of operations for the nine months ended September 30, 2023, are not necessarily
indicative of the results to be expected for the full year or any other future period.
|
Going Concern |
Going
Concern
The
financial statements have been prepared assuming that the Company will continue as a going concern. The Company incurred losses of $43,117
and $59,347 for the nine months ended September 30, 2023 and 2022, respectively. As of September 30, 2023, the Company had no cash on
hand and an accumulated deficit of $9,594,160. These and other factors raise substantial doubt about the Company’s ability to continue
as a going concern. Management believes that the Company’s capital requirements will depend on many factors including the success
of the Company’s efforts to complete a merger or acquisition, and the Company’s efforts to raise capital. Management also
believes the Company needs to raise additional capital for working capital purposes. There is no assurance that such financing will be
available on acceptable terms in the future. The financial statements of the Company do not include any adjustments relating to the recoverability
and classification of recorded assets, or the amounts and classifications of liabilities that might be necessary should the Company be
unable to continue as a going concern.
|
Use of Estimates |
Use
of Estimates
In
preparing financial statements in conformity with US GAAP, management makes estimates and assumptions that affect the reported amounts
of assets and liabilities and disclosures of contingent assets and liabilities at the dates of the financial statements, as well as the
reported amounts of revenues and expenses during the reporting period. Significant estimates, required by management, include the recoverability
of long-lived assets and allowance for doubtful accounts. Actual results could differ from these estimates.
|
Income Taxes |
Income
Taxes
Income
taxes are accounted for using an asset and liability method. Under this method, deferred income taxes are recognized for the tax
consequences in future years of differences between the tax bases of assets and liabilities and their financial reporting amounts at
each period end based on enacted tax laws and statutory tax rates, applicable to the periods in which the differences are expected
to affect taxable income. Valuation allowances are established, when necessary, to reduce deferred tax assets to the amount expected
to be realized. A 100% valuation allowance has been established on deferred tax assets at September 30, 2023 and December 31, 2022, due to the uncertainty
of our ability to realize future taxable income.
The
Company follows ASC Topic 740, which prescribes a more-likely-than-not threshold for financial statement recognition and measurement
of a tax position taken or expected to be taken in a tax return. ASC Topic 740 also provides guidance on recognition of income tax assets
and liabilities, classification of current and deferred income tax assets and liabilities, accounting for interest and penalties associated
with tax positions, accounting for income taxes in interim periods, and income tax disclosures.
Under
the provisions of ASC Topic 740, when tax returns are filed, it is likely that some positions taken would be sustained upon examination
by the taxing authorities, while others are subject to uncertainty about the merits of the position taken or the amount of the position
that would be ultimately sustained. The benefit of a tax position is recognized in the financial statements in the period during which,
based on all available evidence, management believes it is more likely than not that the position will be sustained upon examination,
including the resolution of appeals or litigation processes, if any. Tax positions taken are not offset or aggregated with other positions.
Tax positions that meet the more-likely-than-not recognition threshold are measured as the largest amount of tax benefit that is more
than 50 percent likely of being realized upon settlement with the applicable taxing authority. The portion of the benefits associated
with tax positions taken that exceeds the amount measured as described above is reflected as a liability for unrecognized tax benefits
in the accompanying balance sheets along with any associated interest and penalties that would be payable to the taxing authorities upon
examination. Interest associated with unrecognized tax benefits are classified as interest expense and penalties are classified in selling,
general and administrative expenses in the statements of income. At September 30, 2023 and December 31, 2022, the Company did not take
any uncertain positions that would necessitate recording a tax related liability.
The
Company accounts for income taxes in interim periods in accordance with FASB ASC 740-270, “Interim Reporting.” The Company
has determined an estimated annual effective tax rate. The rate will be revised, if necessary, as of the end of each successive interim
period during the Company’s fiscal year to its best current estimate. The estimated annual effective tax rate is applied to the
year-to-date ordinary income (or loss) at the end of the interim period.
|
Revenue Recognition |
Revenue
Recognition
FASB
ASC Topic 606 requires use of a new five-step model to recognize revenue from customer contracts. The five-step model requires the Company
(i) identify the contract with the customer, (ii) identify the performance obligations in the contract, (iii) determine the transaction
price, including variable consideration to the extent that it is probable that a significant future reversal will not occur, (iv) allocate
the transaction price to the respective performance obligations in the contract, and (v) recognize revenue when (or as) the Company satisfies
each performance obligation.
|
Share-based Compensation |
Share-based
Compensation
The
Company accounts for stock-based payments in accordance with ASC 718, “Compensation - Stock
Compensation,” which requires that such equity instruments be measured at their fair values on the grant date. Stock-based payments
to employees include grants of stock that are recognized in the consolidated statement of operations based on their fair values at the
date of grant.
The
grant date fair value of stock option awards is recognized in earnings as stock-based compensation cost over the requisite service period
of the award using the straight-line attribution method. We estimate the fair value of the stock option awards using the Black-Scholes-Merton
option pricing model.
|
Earnings (Loss) per Share (EPS) |
Earnings
(Loss) per Share (EPS)
In
accordance with ASC Topic 260 – Earnings Per Share, the basic loss per common share is computed by dividing net loss available
to common stockholders by the weighted average number of common shares outstanding. Diluted loss per common share is computed similar
to basic loss per common share except that the denominator is increased to include the number of additional shares of common stock that
would have been outstanding if the potential common stock had been issued and if the additional shares of common stock were dilutive.
Potential
common stock currently consists of the incremental common stock issuable upon exercise of stock options. The computation of basic loss
per share for the nine months ended September 30, 2023 and 2022 excludes potentially dilutive securities because their inclusion would
be antidilutive. As a result, the computations of net loss per share for each period presented is the same for both basic and fully diluted
losses per share. The Company had no potentially dilutive securities outstanding at September 30, 2023 and 2022, respectively as none
of the outstanding stock options have vested on the report dates.
|
New Accounting Pronouncements |
New
Accounting Pronouncements
In
August 2020, the FASB issued ASU 2020-06, Debt - Debt with Conversion and Other Options (Subtopic 470- 20) and Derivatives and Hedging
- Contracts in Entity’s Own Equity (Subtopic 815-40): Accounting for Convertible Instruments and Contracts in an Entity’s
Own Equity (“ASU 2020-06”), which simplifies the accounting for certain financial instruments with characteristics of liabilities
and equity. This ASU (1) simplifies the accounting for convertible debt instruments and convertible preferred stock by removing the existing
guidance in ASC 470-20, Debt: Debt with Conversion and Other Options, that requires entities to account for beneficial conversion features
and cash conversion features in equity, separately from the host convertible debt or preferred stock; (2) revises the scope exception
from derivative accounting in ASC 815-40 for freestanding financial instruments and embedded features that are both indexed to the issuer’s
own stock and classified in stockholders’ equity, by removing certain criteria required for equity classification; and (3) revises
the guidance in ASC 260, Earnings Per Share, to require entities to calculate diluted earnings per share (EPS) for convertible instruments
by using the if-converted method. In addition, entities must presume share settlement for purposes of calculating diluted EPS when an
instrument may be settled in cash or shares. For SEC filers, excluding smaller reporting companies, ASU 2020-06 is effective for fiscal
years beginning after December 15, 2021 including interim periods within those fiscal years. Early adoption is permitted, but no earlier
than fiscal years beginning after December 15, 2020. For all other entities, ASU 2020-06 is effective for fiscal years beginning after
December 15, 2023, including interim periods within those fiscal years. Entities should adopt the guidance as of the beginning of the
fiscal year of adoption and cannot adopt the guidance in an interim reporting period. The Company is currently evaluating the impact
that ASU 2020-06 may have on its financial statements and related disclosures.
|
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v3.23.3
STOCKHOLDERS’ EQUITY (Tables)
|
9 Months Ended |
Sep. 30, 2023 |
Equity [Abstract] |
|
SCHEDULE OF STOCK OPTIONS VALUATION ASSUMPTIONS |
SCHEDULE OF STOCK OPTIONS VALUATION ASSUMPTIONS
| |
July 1, 2023 | |
Volatility | |
| 90.43 | % |
Risk-free rate | |
| 4.31 | % |
Years remaining to option’s expiration | |
| 3.75 | |
Dividend Yield | |
| 0 | % |
|
SCHEDULE OF STOCK OPTION ACTIVITY |
The
following is a summary of the Company’s stock option activity for the periods ended September 30, 2023 and December 31, 2022:
SCHEDULE OF STOCK OPTION ACTIVITY
| |
| | |
Weighted | |
| |
| | |
Average | |
| |
Options | | |
Exercise | |
| |
Outstanding | | |
Price | |
| |
| | |
| |
Exercisable at December 31, 2022 | |
| - | | |
$ | - | |
Granted | |
| 4,000,000 | | |
| 0.1625 | |
Canceled | |
| - | | |
| - | |
Exercised | |
| - | | |
| - | |
Outstanding at September 30, 2023 | |
| 4,000,000 | | |
$ | 0.1625 | |
Exercisable at September 30, 2023 | |
| - | | |
$ | - | |
|
SCHEDULE OF WEIGHTED AVERAGE EXERCISE PRICES OPTIONS OUTSTANDING |
The
number and weighted average exercise prices of all options outstanding as of September 30, 2023 are as follows:
SCHEDULE OF WEIGHTED AVERAGE EXERCISE PRICES OPTIONS OUTSTANDING
Options Outstanding | |
| | |
| | |
| | |
Weighted | |
| | |
| | |
Weighted | | |
Average | |
| | |
Number | | |
Average | | |
Remaining | |
| | |
Outstanding | | |
Exercise | | |
Contractual Life | |
Exercise Price | | |
September 30, 2023 | | |
Price | | |
(Years) | |
$ | 0.10 | | |
| 1,000,000 | | |
$ | 0.10 | | |
| 5.75 | |
$ | 0.15 | | |
| 1,000,000 | | |
$ | 0.15 | | |
| 6.75 | |
$ | 0.20 | | |
| 1,000,000 | | |
$ | 0.20 | | |
| 7.75 | |
$ | 0.20 | | |
| 1,000,000 | | |
$ | 0.20 | | |
| 8.75 | |
| | | |
| 4,000,000 | | |
$ | 0.1625 | | |
| 7.25 | |
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v3.23.3
ORGANIZATION AND DESCRIPTION OF BUSINESS (Details Narrative) - USD ($)
|
Sep. 01, 2023 |
Jul. 01, 2023 |
Jun. 27, 2023 |
May 01, 2023 |
Sep. 30, 2023 |
Aug. 30, 2023 |
Dec. 31, 2022 |
Common stock, par value |
|
|
|
|
$ 0.001
|
|
$ 0.001
|
Preferred stock, par value |
|
|
|
|
$ 0.001
|
|
$ 0.001
|
Common Stock [Member] |
|
|
|
|
|
|
|
Capital stock, shares authorized |
|
|
|
|
550,000,000
|
|
|
Common stock, par value |
|
|
|
|
$ 0.001
|
|
|
Preferred Stock [Member] |
|
|
|
|
|
|
|
Preferred stock, par value |
|
|
|
|
$ 0.001
|
|
|
Amendment To The Articles Of Incorporation [Member] |
|
|
|
|
|
|
|
Capital stock, shares authorized |
|
|
|
|
|
550,000,000
|
|
Common stock, par value |
|
|
|
|
|
$ 0.001
|
|
Preferred stock, par value |
|
|
|
|
|
$ 0.001
|
|
Amendment To The Articles Of Incorporation [Member] | Common Stock [Member] |
|
|
|
|
|
|
|
Capital stock, shares authorized |
|
|
|
|
|
500,000,000
|
|
Amendment To The Articles Of Incorporation [Member] | Preferred Stock [Member] |
|
|
|
|
|
|
|
Capital stock, shares authorized |
|
|
|
|
|
50,000,000
|
|
Parks Amusements LLC [Member] |
|
|
|
|
|
|
|
stock issued during period, shares |
70,000,000
|
70,000,000
|
11,866,563
|
11,866,563
|
|
|
|
Consideration amount |
|
|
|
$ 300,000
|
|
|
|
Outstanding shares, percentage |
|
|
|
73.00%
|
|
|
|
Parks Amusements LLC [Member] | Officer And Director [Member] |
|
|
|
|
|
|
|
stock issued during period, shares |
|
63,050,000
|
|
|
|
|
|
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v3.23.3
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details Narrative) - USD ($)
|
3 Months Ended |
9 Months Ended |
12 Months Ended |
Sep. 30, 2023 |
Jun. 30, 2023 |
Mar. 31, 2023 |
Sep. 30, 2022 |
Jun. 30, 2022 |
Mar. 31, 2022 |
Sep. 30, 2023 |
Sep. 30, 2022 |
Dec. 31, 2022 |
Accounting Policies [Abstract] |
|
|
|
|
|
|
|
|
|
Net income loss |
$ 10,999
|
$ 21,768
|
$ 10,350
|
$ 9,946
|
$ 15,149
|
$ 34,252
|
$ 43,117
|
$ 59,347
|
|
Accumulated deficit |
$ 9,594,160
|
|
|
|
|
|
$ 9,594,160
|
|
$ 9,551,043
|
Valuation allowance on deferred tax assets |
|
|
|
|
|
|
100.00%
|
|
100.00%
|
Income tax examination likelihood of unfavorable settlement |
|
|
|
|
|
|
50 percent likely of being realized upon settlement with the applicable taxing authority
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v3.23.3
RELATED PARTY TRANSACTIONS (Details Narrative) - USD ($)
|
|
|
|
|
9 Months Ended |
|
|
|
Sep. 01, 2023 |
Jul. 01, 2023 |
Jun. 27, 2023 |
May 01, 2023 |
Sep. 30, 2023 |
Sep. 30, 2022 |
Aug. 20, 2023 |
Mar. 31, 2023 |
Dec. 31, 2022 |
Related Party Transaction [Line Items] |
|
|
|
|
|
|
|
|
|
Notes payable |
|
|
|
|
$ 0
|
|
$ 21,721
|
|
$ 21,721
|
Interest rate |
|
|
|
|
12.00%
|
|
|
|
|
Proceeds from related party debt |
|
|
|
|
$ 9,314
|
$ 57,187
|
|
|
|
Common Stock [Member] | Mr Nicholas Parks [Member] |
|
|
|
|
|
|
|
|
|
Related Party Transaction [Line Items] |
|
|
|
|
|
|
|
|
|
Ownership percentage |
|
|
73.00%
|
|
|
|
|
|
|
Common Stock [Member] | Global Strategies Inc [Member] |
|
|
|
|
|
|
|
|
|
Related Party Transaction [Line Items] |
|
|
|
|
|
|
|
|
|
Stock issued during period value |
|
|
$ 300,000
|
|
|
|
|
|
|
Common Stock [Member] | Parks Amusements LLC [Member] |
|
|
|
|
|
|
|
|
|
Related Party Transaction [Line Items] |
|
|
|
|
|
|
|
|
|
Stock issued during period, shares |
|
|
11,866,563
|
|
|
|
|
|
|
Common Stock [Member] | First Anniversary Agreement [Member] | Equity Option [Member] |
|
|
|
|
|
|
|
|
|
Related Party Transaction [Line Items] |
|
|
|
|
|
|
|
|
|
Number of shares issued |
|
1,000,000
|
|
|
|
|
|
|
|
Shares issued price per share |
|
$ 0.10
|
|
|
|
|
|
|
|
Common Stock [Member] | Second Anniversary Agreement [Member] | Equity Option [Member] |
|
|
|
|
|
|
|
|
|
Related Party Transaction [Line Items] |
|
|
|
|
|
|
|
|
|
Number of shares issued |
|
1,000,000
|
|
|
|
|
|
|
|
Shares issued price per share |
|
$ 0.15
|
|
|
|
|
|
|
|
Common Stock [Member] | Third Anniversary Agreement [Member] | Equity Option [Member] |
|
|
|
|
|
|
|
|
|
Related Party Transaction [Line Items] |
|
|
|
|
|
|
|
|
|
Number of shares issued |
|
1,000,000
|
|
|
|
|
|
|
|
Shares issued price per share |
|
$ 0.20
|
|
|
|
|
|
|
|
Common Stock [Member] | Fourth Anniversary Agreement [Member] | Equity Option [Member] |
|
|
|
|
|
|
|
|
|
Related Party Transaction [Line Items] |
|
|
|
|
|
|
|
|
|
Number of shares issued |
|
1,000,000
|
|
|
|
|
|
|
|
Shares issued price per share |
|
$ 0.20
|
|
|
|
|
|
|
|
Parks Amusements LLC [Member] |
|
|
|
|
|
|
|
|
|
Related Party Transaction [Line Items] |
|
|
|
|
|
|
|
|
|
Number of shares issued |
70,000,000
|
70,000,000
|
11,866,563
|
11,866,563
|
|
|
|
|
|
Global Public Securities Inc [Member] |
|
|
|
|
|
|
|
|
|
Related Party Transaction [Line Items] |
|
|
|
|
|
|
|
|
|
Shares issued price per share |
$ 0.0196
|
|
|
|
|
|
|
|
|
Global Public Securities Inc [Member] | Common Stock [Member] |
|
|
|
|
|
|
|
|
|
Related Party Transaction [Line Items] |
|
|
|
|
|
|
|
|
|
Stock issued during period shares other |
1,000,000
|
1,000,000
|
|
|
|
|
|
|
|
Related Party [Member] |
|
|
|
|
|
|
|
|
|
Related Party Transaction [Line Items] |
|
|
|
|
|
|
|
|
|
Notes payable |
|
|
|
|
|
|
|
$ 2,500
|
|
Interest rate |
|
|
|
|
12.00%
|
|
|
|
|
Debt instrument face amount |
|
|
|
|
$ 2,500
|
|
|
|
|
Proceeds from related party debt |
|
|
|
|
9,314
|
|
|
|
|
Related Party [Member] | Global Strategies Inc [Member] |
|
|
|
|
|
|
|
|
|
Related Party Transaction [Line Items] |
|
|
|
|
|
|
|
|
|
Stock issued during period, shares |
|
|
11,866,563
|
|
|
|
|
|
|
Related Party [Member] | Parks Amusements LLC [Member] |
|
|
|
|
|
|
|
|
|
Related Party Transaction [Line Items] |
|
|
|
|
|
|
|
|
|
Proceeds from related party debt |
|
|
|
|
$ 9,314
|
|
|
|
|
X |
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v3.23.3
SCHEDULE OF STOCK OPTION ACTIVITY (Details)
|
9 Months Ended |
Sep. 30, 2023
$ / shares
shares
|
Equity [Abstract] |
|
Options, Beginning Balance | shares |
|
Weighted Average Exercise Price, Beginning Balance | $ / shares |
|
Options, Granted | shares |
4,000,000
|
Weighted Average Exercise Price, Granted | $ / shares |
$ 0.1625
|
Options, Canceled | shares |
|
Weighted Average Exercise Price, Canceled | $ / shares |
|
Options, Exercised | shares |
|
Weighted Average Exercise Price, Exercised | $ / shares |
|
Options, Ending Balance | shares |
4,000,000
|
Weighted Average Exercise Price, Ending Balance | $ / shares |
$ 0.1625
|
Options, Exercisable, Ending Balance | shares |
|
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v3.23.3
SCHEDULE OF WEIGHTED AVERAGE EXERCISE PRICES OPTIONS OUTSTANDING (Details)
|
9 Months Ended |
Sep. 30, 2023
$ / shares
shares
|
Share-Based Payment Arrangement, Option, Exercise Price Range [Line Items] |
|
Number of Outstanding, Shares Options | shares |
4,000,000
|
Options Outstanding, Weighed Average Exercise Price |
$ 0.1625
|
Options Outstanding, Weighted Average Remaining Contractual Life (Years) |
7 years 3 months
|
Exercise Price One [Member] |
|
Share-Based Payment Arrangement, Option, Exercise Price Range [Line Items] |
|
Options Outstanding, Exercise Price |
$ 0.10
|
Number of Outstanding, Shares Options | shares |
1,000,000
|
Options Outstanding, Weighed Average Exercise Price |
$ 0.10
|
Options Outstanding, Weighted Average Remaining Contractual Life (Years) |
5 years 9 months
|
Exercise Price Two [Member] |
|
Share-Based Payment Arrangement, Option, Exercise Price Range [Line Items] |
|
Options Outstanding, Exercise Price |
$ 0.15
|
Number of Outstanding, Shares Options | shares |
1,000,000
|
Options Outstanding, Weighed Average Exercise Price |
$ 0.15
|
Options Outstanding, Weighted Average Remaining Contractual Life (Years) |
6 years 9 months
|
Exercise Price Three [Member] |
|
Share-Based Payment Arrangement, Option, Exercise Price Range [Line Items] |
|
Options Outstanding, Exercise Price |
$ 0.20
|
Number of Outstanding, Shares Options | shares |
1,000,000
|
Options Outstanding, Weighed Average Exercise Price |
$ 0.20
|
Options Outstanding, Weighted Average Remaining Contractual Life (Years) |
7 years 9 months
|
Exercise Price Four [Member] |
|
Share-Based Payment Arrangement, Option, Exercise Price Range [Line Items] |
|
Options Outstanding, Exercise Price |
$ 0.20
|
Number of Outstanding, Shares Options | shares |
1,000,000
|
Options Outstanding, Weighed Average Exercise Price |
$ 0.20
|
Options Outstanding, Weighted Average Remaining Contractual Life (Years) |
8 years 9 months
|
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v3.23.3
STOCKHOLDERS’ EQUITY (Details Narrative) - USD ($)
|
|
|
|
3 Months Ended |
9 Months Ended |
12 Months Ended |
Sep. 01, 2023 |
Jul. 01, 2023 |
Jun. 27, 2023 |
Sep. 30, 2023 |
Sep. 30, 2023 |
Dec. 31, 2022 |
Accumulated Other Comprehensive Income (Loss) [Line Items] |
|
|
|
|
|
|
Common stock, shares authorized |
|
|
|
500,000,000
|
500,000,000
|
500,000,000
|
Common stock, par value |
|
|
|
$ 0.001
|
$ 0.001
|
$ 0.001
|
Preferred stock, shares authorized |
|
|
|
50,000,000
|
50,000,000
|
50,000,000
|
Preferred stock, par value |
|
|
|
$ 0.001
|
$ 0.001
|
$ 0.001
|
Stock issued during period, shares, acquisitions |
|
|
|
$ 70,000
|
|
|
Stock Issued During Period, Value, Issued for Services |
|
|
|
$ 19,600
|
|
|
Common stock, shares issued |
|
|
|
87,110,005
|
87,110,005
|
16,110,005
|
Common stock, shares outstanding |
|
|
|
87,110,005
|
87,110,005
|
16,110,005
|
Convertible preferred stock, shares issued |
|
|
|
0
|
0
|
0
|
Convertible preferred stock, shares outstanding |
|
|
|
0
|
0
|
0
|
Stock based compensation |
|
|
|
$ 3,660
|
|
|
Unamortized compensation expense |
|
|
|
$ 26,259
|
$ 26,259
|
|
Weighted average period |
|
|
|
|
3 years 9 months
|
|
Stock options aggregate intrinsic value |
|
|
|
|
$ 0
|
$ 0
|
Equity Option [Member] |
|
|
|
|
|
|
Accumulated Other Comprehensive Income (Loss) [Line Items] |
|
|
|
|
|
|
Stock option value on date of issue |
|
$ 29,919
|
|
|
|
|
Global Public Securities Inc [Member] |
|
|
|
|
|
|
Accumulated Other Comprehensive Income (Loss) [Line Items] |
|
|
|
|
|
|
Stock Issued During Period, Shares, Issued for Services |
1,000,000
|
|
|
|
|
|
Stock Issued During Period, Value, Issued for Services |
$ 19,600
|
|
|
|
|
|
Shares issued price per share |
$ 0.0196
|
|
|
|
|
|
DR Larry Eastland [Member] |
|
|
|
|
|
|
Accumulated Other Comprehensive Income (Loss) [Line Items] |
|
|
|
|
|
|
Stock issued during period, shares, acquisitions |
|
|
$ 21,700
|
|
|
|
Global Strategies Inc [Member] |
|
|
|
|
|
|
Accumulated Other Comprehensive Income (Loss) [Line Items] |
|
|
|
|
|
|
Stock issued during period, shares, acquisitions |
|
|
11,866,563
|
|
|
|
Parks Amusements LLC And Subsidiaries [Member] |
|
|
|
|
|
|
Accumulated Other Comprehensive Income (Loss) [Line Items] |
|
|
|
|
|
|
Stock issued during period, shares, acquisitions |
70,000,000
|
|
|
|
|
|
Number of shares held in trust |
70,000,000
|
|
|
|
|
|
Common Stock [Member] |
|
|
|
|
|
|
Accumulated Other Comprehensive Income (Loss) [Line Items] |
|
|
|
|
|
|
Capital stock, shares authorized |
|
|
|
550,000,000
|
550,000,000
|
|
Common stock, shares authorized |
|
|
|
500,000,000
|
500,000,000
|
|
Common stock, par value |
|
|
|
$ 0.001
|
$ 0.001
|
|
Stock issued during period, shares, acquisitions |
|
|
|
70,000,000
|
|
|
Stock issued during period, shares, acquisitions |
|
|
|
$ 70,000
|
|
|
Stock Issued During Period, Shares, Issued for Services |
|
|
|
1,000,000
|
|
|
Stock Issued During Period, Value, Issued for Services |
|
|
|
$ 1,000
|
|
|
Common Stock [Member] | Equity Option [Member] | First Anniversary Agreement [Member] |
|
|
|
|
|
|
Accumulated Other Comprehensive Income (Loss) [Line Items] |
|
|
|
|
|
|
Shares issued price per share |
|
$ 0.10
|
|
|
|
|
Number of shares issued |
|
1,000,000
|
|
|
|
|
Common Stock [Member] | Equity Option [Member] | Second Anniversary Agreement [Member] |
|
|
|
|
|
|
Accumulated Other Comprehensive Income (Loss) [Line Items] |
|
|
|
|
|
|
Shares issued price per share |
|
$ 0.15
|
|
|
|
|
Number of shares issued |
|
1,000,000
|
|
|
|
|
Common Stock [Member] | Equity Option [Member] | Third Anniversary Agreement [Member] |
|
|
|
|
|
|
Accumulated Other Comprehensive Income (Loss) [Line Items] |
|
|
|
|
|
|
Shares issued price per share |
|
$ 0.20
|
|
|
|
|
Number of shares issued |
|
1,000,000
|
|
|
|
|
Common Stock [Member] | Equity Option [Member] | Fourth Anniversary Agreement [Member] |
|
|
|
|
|
|
Accumulated Other Comprehensive Income (Loss) [Line Items] |
|
|
|
|
|
|
Shares issued price per share |
|
$ 0.20
|
|
|
|
|
Number of shares issued |
|
1,000,000
|
|
|
|
|
Preferred Stock [Member] |
|
|
|
|
|
|
Accumulated Other Comprehensive Income (Loss) [Line Items] |
|
|
|
|
|
|
Preferred stock, shares authorized |
|
|
|
50,000,000
|
50,000,000
|
|
Preferred stock, par value |
|
|
|
$ 0.001
|
$ 0.001
|
|
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v3.23.3
SUBSEQUENT EVENTS (Details Narrative) - Subsequent Event [Member]
|
Nov. 01, 2023
shares
|
Restricted Stock Units (RSUs) [Member] |
|
Subsequent Event [Line Items] |
|
Shares issued |
70,000,000
|
Number of units exchange |
7,000,000
|
Nicholas Parks [Member] |
|
Subsequent Event [Line Items] |
|
Ownership interest |
3,200,000
|
Brooke Parks [Member] |
|
Subsequent Event [Line Items] |
|
Ownership interest |
3,200,000
|
5 Parts Investments LLC [Member] |
|
Subsequent Event [Line Items] |
|
Ownership interest |
600,000
|
X |
- DefinitionThe number of limited partner units issued.
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