UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C.  20549

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FORM 10-Q

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(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, 2022
	OR
☐	TRANSITION REPORT PURSUANT TO SECTION 13 OR 15 (d) OF THE SECURITIES EXCHANGE ACT OF 1934
	For the transition period from _____________ to ____________

Commission File No. 000-28837

IDAHO STRATEGIC RESOURCES, INC
(Name of small business issuer in its charter)
Idaho	82-0490295
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(State or other jurisdiction of<br><br>incorporation or organization)	(I.R.S. employer<br><br>identification No.)

201 N. Third Street, Coeur d’Alene, ID 83814

(Address of principal executive offices) (zip code)

(208) 625-9001

Registrant’s telephone number, including area code

Securities registered pursuant to Section 12(g) of the Act:

Title of Each Class	Trading<br><br>Symbol(s)	Name of Each Exchange<br><br>on Which Registered
Common Stock, $0.00 par value	IDR	NYSE American

Check whether the issuer (1) filed all reports required to be filed by Section 13 or 15(d) of the Exchange Act during the past 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 and posted on its corporate Web site, if any, 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, a smaller reporting company or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer”, “smaller reporting company” and “emerging growth company” in Rule 12b-2 of the Exchange Act:

Large Accelerated Filer	☐	Accelerated Filer	☐
Non-Accelerated Filer	☒	Small Reporting Company	☒
		Emerging Growth Company	☐

Indicated by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act): Yes ☐       No ☒

APPLICABLE ONLY TO CORPORATE ISSUERS:

At November 1, 2022, 12,098,070 shares of the registrant’s common stock were outstanding.

IDAHO STRATEGIC RESOURCES, INC

QUARTERLY REPORT ON FORM 10-Q

FOR THE QUARTERLY PERIOD

ENDED SEPTEMBER 30, 2022

TABLE OF CONTENTS

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PART I - FINANCIAL INFORMATION	3
ITEM 1: Financial Statements	3
ITEM 2: Management’s Discussion and Analysis of Financial Condition and Results of Operations	15
ITEM 3: Quantitative and Qualitative Disclosures about Market Risk	20
ITEM 4: Controls and Procedures	20
PART II - OTHER INFORMATION	21
ITEM 1. Legal Proceedings	21
ITEM 2. Unregistered Sales of Equity Securities and Use of Proceeds.	21
ITEM 3. Defaults upon Senior Securities	21
ITEM 4. Mine Safety Disclosures	21
ITEM 5. Other Information	21
ITEM 6. Exhibits	22
2
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Table of Contents

PART I - FINANCIAL INFORMATION

ITEM 1: Financial Statements

Idaho Strategic Resources, Inc<br><br>Condensed Consolidated Balance Sheets (Unaudited)
	September 30,<br><br>2022			December 31,<br><br>2021
ASSETS
Current assets:
Cash and cash equivalents	$	2,255,688		$	1,976,518
Gold sales receivable		428,755			408,187
Inventories		607,922			213,722
Joint venture receivable		1,682			4,442
Other current assets		255,875			334,443
Total current assets		3,549,922			2,937,312
Property, plant and equipment, net of accumulated depreciation		9,722,205			8,255,961
Mineral properties, net of accumulated amortization		6,354,304			5,843,186
Investment in Buckskin		333,941			332,728
Investment in joint venture		435,000			435,000
Reclamation bond		326,120			103,320
Deposits		76,110			11,694
Total assets	$	20,797,602		$	17,919,201
LIABILITIES AND STOCKHOLDERS’ EQUITY
Current liabilities:
Accounts payable and accrued expenses	$	812,704		$	647,218
Accrued payroll and related payroll expenses		199,237			174,110
Notes payable related parties, current portion		11,799			10,543
Notes payable, current portion		897,509			664,153
Small Business Administration loan, current portion		2,465			2,469
Total current liabilities		1,923,714			1,498,493
Asset retirement obligation		258,378			172,348
Notes payable related parties, long term		73,896			106,068
Convertible debt		-			1,950,000
Notes payable, long term		1,288,126			961,748
Small Business Administration loan, long term		160,850			166,742
Total long-term liabilities		1,781,250			3,356,906
Total liabilities		3,704,964			4,855,399
Commitments (Note 11)		-			-
Stockholders’ equity:
Preferred stock, no par value, 1,000,000 shares authorized; no shares issued or outstanding		-			-
Common stock, no par value, 200,000,000 shares authorized; September 30, 2022-12,098,070 and December 31, 2021- 10,940,969 shares issued and outstanding		33,245,622			26,004,756
Accumulated deficit		(19,001,574	)		(15,832,955	)
Total Idaho Strategic Resources, Inc stockholders’ equity		14,244,048			10,171,801
Non-controlling interest		2,848,590			2,892,001
Total stockholders’ equity		17,092,638			13,063,802
Total liabilities and stockholders’ equity	$	20,797,602		$	17,919,201

The accompanying notes are an integral part of these consolidated financial statements.

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Idaho Strategic Resources, Inc<br><br>Condensed Consolidated Statements of Operations (Unaudited)<br><br>For the Three and Nine-Month Periods Ended September 30, 2022 and 2021
---	---	---	---	---	---	---	---	---	---	---	---	---
	September 30, 2022						September 30, 2021
	Three<br><br>Months			Nine<br><br>Months			Three<br><br>Months			Nine<br><br>Months
Revenue:
Sales of products	$	1,745,278		$	6,148,187		$	2,098,849		$	5,865,708
Total revenue		1,745,278			6,148,187			2,098,849			5,865,708
Costs of Sales:
Cost of sales and other direct production costs		1,728,214			5,345,409			1,603,785			4,701,626
Depreciation and amortization		245,824			717,939			217,054			595,227
Total costs of sales		1,974,038			6,063,348			1,820,839			5,296,853
Gross profit (loss)		(228,760	)		84,839			278,010			568,855
Other operating expenses:
Exploration		747,217			1,530,122			267,644			1,193,520
Management		158,625			266,998			56,272			312,663
Professional services		85,429			301,446			39,974			206,056
General and administrative		603,274			1,078,563			101,430			751,272
Loss on disposal of equipment		64,739			68,641			-			-
Total other operating expenses		1,659,284			3,245,770			465,320			2,463,511
Operating loss		(1,888,044	)		(3,160,931	)		(187,310	)		(1,894,656	)
Other (income) expense:
Equity income on investment in Buckskin		(542	)		(1,213	)		-			-
Timber revenue net of costs		-			-			-			(4,338	)
Gain on forgiveness of SBA loan		-			(10,000	)		-			-
Interest income		(322	)		(878	)		(7	)		(131	)
Interest expense		22,244			85,902			50,368			150,656
Total other (income) expense		21,380			73,811			50,361			146,187
Net loss		(1,909,424	)		(3,234,742	)		(237,671	)		(2,040,843	)
Net loss attributable to non-controlling interest		(15,005	)		(66,123	)		(18,326	)		(65,823	)
Net loss attributable to Idaho Strategic Resources, Inc	$	(1,894,419	)	$	(3,168,619	)	$	(219,345	)	$	(1,975,020	)
Net loss per common share-basic and diluted	$	(0.16	)	$	(0.27	)	$	(0.02	)	$	(0.20	)
Weighted average common shares outstanding-basic and diluted		12,032,901			11,677,167			10,228,203			9,998,560

The accompanying notes are an integral part of these consolidated financial statements.

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Idaho Strategic Resources, Inc<br><br>Condensed Consolidated Statement of Changes in Stockholders’ Equity (Unaudited)<br><br>For the Nine-Month Periods Ended September 30, 2022 and 2021
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	Common Stock Shares		Common Stock Amount		Accumulated Deficit Attributable to Idaho Strategic Resources, Inc			Non-Controlling Interest			Total
Balance January 1, 2021		9,826,665	$	20,986,062	$	(12,672,786	)	$	2,950,888		$	11,264,164
Contribution from non-controlling interest in Mill JV		-		-		-			2,469			2,469
Issuance of common stock for services		714		2,300		-			-			2,300
Options issued to management, directors, and employees		-		604,571		-			-			604,571
Options issued for services		-		9,860		-			-			9,860
Issuance of common stock for cashless option exercise		28,196		-		-			-			-
Net loss		-		-		(1,646,487	)		(15,917	)		(1,662,404	)
Balance March 31, 2021		9,855,575	$	21,602,793	$	(14,319,273	)	$	2,937,440		$	10,220,960
Contribution from non-controlling interest in Mill JV		-		-		-			17,459			17,459
Issuance of common stock for services		1,071		4,200		-			-			4,200
Issuance of common stock for warrants exercised		19,841		50,000		-			-			50,000
Issuance of common stock for cashless option exercise		3,571		-		-			-			-
Conversion of convertible debt to common stock		291,667		735,000		-			-			735,000
Net loss		-		-		(109,188	)		(31,580	)		(140,768	)
Balance June 30, 2021		10,171,725	$	22,391,993	$	(14,428,461	)	$	2,923,319		$	10,886,851
Contribution from non-controlling interest in Mill JV		-		-		-			1,641			1,641
Issuance of common stock for investment in Buckskin		45,940		192,946		-			-			192,946
Conversion of convertible debt to common stock		39,683		100,000		-			-			100,000
Net loss		-		-		(219,345	)		(18,326	)		(237,631	)
Balance September 30, 2021		10,257,348	$	22,684,939	$	(14,647,806	)	$	2,906,634		$	10,943,767
Balance January 1, 2022		10,940,969	$	26,004,756	$	(15,832,955	)	$	2,892,001		$	13,063,802
Contribution from non-controlling interest in Mill JV		-		-		-			2,828			2,828
Issuance of common stock for cash, net of offering costs		360,134		2,701,000		-			-			2,701,000
Issuance of common stock for services		3,572		32,326		-			-			32,326
Issuance of common stock for warrants exercised		23,057		68,006		-			-			68,006
Issuance of common stock for cashless option exercise		28,981		-		-			-			-
Conversion of convertible debt to common stock		392,866		1,950,000		-			-			1,950,000
Net loss		-		-		(455,602	)		(17,467	)		(473,069	)
Balance March 31, 2022		11,749,579	$	30,756,088	$	(16,288,557	)	$	2,877,362		$	17,344,893
Contribution from non-controlling interest in Mill JV		-		-		-			18,202			18,202
Issuance of common stock for cash, net of offering costs		138,665		980,107		-			-			980,107
Issuance of common stock for warrants exercised		70,919		397,147		-			-			397,147
Issuance of common stock for cashless option exercise		26,584		-		-			-			-
Net loss		-		-		(818,598	)		(33,651	)		(852,249	)
Balance June 30, 2022		11,985,747	$	32,133,342	$	(17,107,155	)	$	2,861,913		$	17,888,100
Contribution from non-controlling interest in Mill JV		-		-		-			1,682			1,682
Issuance of common stock for warrants exercised		100,893		565,005		-			-			565,005
Options issued to management, directors, and employees		-		547,275		-			-			547,275
Issuance of common stock for cashless option exercise		11,430		-		-			-			-
Net loss		-		-		(1,894,419	)		(15,005	)		(1,909,424	)
Balance September 30, 2022		12,098,070	$	33,245,622	$	(19,001,574	)	$	2,848,590		$	17,092,638

The accompanying notes are an integral part of these consolidated financial statements.

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Idaho Strategic Resources, Inc<br><br>Condensed Consolidated Statements of Cash Flows (Unaudited)<br><br>For the Nine-Month Periods Ended September 30, 2022 and 2021
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	September 30,
	2022			2021
Cash flows from operating activities:
Net loss	$	(3,234,742	)	$	(2,040,843	)
Adjustments to reconcile net loss to net cash used by operating activities:
Depreciation and amortization		717,939			595,227
Disposal of equipment		68,641			-
Accretion of asset retirement obligation		11,342			7,476
Stock based compensation		547,275			614,431
Issuance of common stock for services		32,326			6,500
Gain on forgiveness of SBA loan		(10,000	)		-
Equity income on investment in Buckskin		(1,213	)		-
Change in operating assets and liabilities:
Gold sales receivable		(20,568	)		52,654
Inventories		(394,200	)		146,431
Joint venture receivable		2,760			2,536
Other current assets		78,568			(107,770	)
Accounts payable and other accrued liabilities		169,590			(48,902	)
Accrued payroll and related payroll expenses		25,127			14,147
Net cash used by operating activities		(2,007,155	)		(758,113	)
Cash flows from investing activities:
Purchases of property, plant, and equipment		(1,145,186	)		(351,618	)
Deposits on equipment		31,584			12,863
Additions to mineral property		(451,012	)		(2,346,181	)
Purchase of reclamation bonds		(222,800	)		-
Net cash used by investing activities		(1,787,414	)		(2,684,936	)
Cash flows from financing activities:
Proceeds from sale of common stock, net of offering cost		3,681,107			-
Proceeds from common stock warrants		1,030,158			50,000
Principal payments on notes payable		(629,322	)		(409,679	)
Principal payments on notes payable, related parties		(30,916	)		(27,599	)
Issuance of convertible debt		-			1,750,000
Contributions from non-controlling interest		22,712			21,569
Net cash provided by financing activities		4,073,739			1,384,291
Net change in cash and cash equivalents		279,170			(2,058,758	)
Cash and cash equivalents, beginning of period		1,976,518			2,539,945
Cash and cash equivalents, end of period	$	2,255,688		$	481,187
Non-cash investing and financing activities:
Deposit on equipment applied to purchase	$	96,000		$	-
Notes payable for land and equipment purchase	$	1,189,056		$	1,149,683
Conversion of convertible debt to common stock	$	1,950,000		$	835,000
Investment in Buckskin acquired with issuance of common stock	$	-		$	192,946

The accompanying notes are an integral part of these consolidated financial statements.

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Idaho Strategic Resources, Inc

Notes to Consolidated Financial Statements (Unaudited)

1. The Company and Significant Accounting Policies

These unaudited interim consolidated financial statements have been prepared by the management of Idaho Strategic Resources, Inc (IDR) (the “Company”) in accordance with accounting principles generally accepted in the United States of America for interim financial information. Accordingly, they do not include all the information and footnotes required by generally accepted accounting principles for complete consolidated financial statements. In the opinion of the Company’s management, all adjustments (consisting of only normal recurring accruals) considered necessary for a fair statement of the interim consolidated financial statements have been included.

The preparation of financial statements in accordance with accounting principles generally accepted in the United States of America requires the use of estimates and assumptions that affect the reported amounts of assets and liabilities, disclosure of contingent assets and liabilities known to exist as of the date the financial statements are published, and the reported amounts of revenues and expenses during the reporting period. Uncertainties with respect to such estimates and assumptions are inherent in the preparation of the Company’s financial statements; accordingly, it is possible that the actual results could differ from these estimates and assumptions, which could have a material effect on the reported amounts of the Company’s financial position and results of operations. Operating results for the three and nine-periods ended September 30, 2022, are not necessarily indicative of the results that may be expected for the full year ending December 31, 2022.

On December 6, 2021, New Jersey Mining Company changed its name to Idaho Strategic Resources Inc. and also finalized a 1 for 14 reverse stock split of its common stock as previously approved by shareholders at a Special Meeting of the Shareholders held on October 6, 2021. On the date of the reverse stock split, every fourteen (14) shares of New Jersey Mining Company were automatically converted into one issued and outstanding share of Idaho Strategic Resources, Inc. common stock without any change in the par value per share. All disclosure of share information within the financial statements reflects the reverse split.

For further information refer to the financial statements and footnotes thereto in the Company’s audited consolidated financial statements for the year ended December 31, 2021, as filed with the Securities and Exchange Commission.

Principles of Consolidation

The consolidated financial statements include the accounts of the Company and its majority-owned subsidiary, the New Jersey Mill Joint Venture (“NJMJV”). Intercompany accounts and transactions are eliminated. The portion of entities owned by other investors is presented as non-controlling interests on the consolidated balance sheets and statements of operations.

Revenue Recognition

Gold Revenue Recognition and Receivables-Sales of gold sold directly to customers are recorded as revenues and receivables upon completion of the performance obligations and transfer of control of the product to the customer. For concentrate sales, the performance obligation is met, the transaction price can be reasonably estimated, and revenue is recognized generally at the time of shipment at estimated forward prices for the anticipated month of settlement. Due to the time elapsed from shipment to the customer and the final settlement with the customer, prices at which sales of our concentrates will be settled are estimated. Previously recorded sales and accounts receivable are adjusted to estimated settlement metals prices until final settlement by the customer. For sales of doré and metals from doré, the performance obligation is met, the transaction price is known, and revenue is recognized at the time of transfer of control of the agreed-upon metal quantities to the customer by the refiner.

Sales and accounts receivable for concentrate shipments are recorded net of charges by the customer for treatment, refining, smelting losses, and other charges negotiated with the customers. Charges are estimated upon shipment of concentrates based on contractual terms, and actual charges typically do not vary materially from estimates. Costs charged by customers include fixed costs per ton of concentrate and price escalators. Refining, selling, and shipping costs related to sales of doré and metals from doré are recorded to cost of sales as incurred. See Note 4 for more information on our sales of products.

Other Revenue Recognition-Revenue from harvest of raw timber is recognized when the performance obligation under a contract and transfer of control of the timber have both been completed. Sales of timber found on the Company’s mineral properties are not a part of normal operations.

Inventories

Inventories are stated at the lower of full cost of production or estimated net realizable value based on current metal prices. Costs consist of mining, transportation, and milling costs including applicable overhead, depreciation, depletion, and amortization relating to the operations. Costs are allocated based on the stage at which the ore is in the production process. Supplies inventory is stated at the lower of cost or estimated net realizable value.

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Idaho Strategic Resources, Inc

Notes to Consolidated Financial Statements (Unaudited)

1. The Company and Significant Accounting Policies (continued)

Mine Exploration and Development Costs

The Company expenses exploration costs as such in the period they occur. The mine development stage begins once the Company identifies ore reserves which is based on a determination whether an ore body can be economically developed. Expenditures incurred during the development stage are capitalized as deferred development costs and include such costs for drift, ramps, and infrastructure. Costs to improve, alter, or rehabilitate primary development assets which appreciably extend the life, increase capacity, or improve the efficiency or safety of such assets are also capitalized. The development stage ends when the production stage of ore reserves begins. Amortization of deferred development costs is calculated using the units-of-production method over the expected life of the operation based on the estimated recoverable mineral ounces.

Fair Value Measurements

When required to measure assets or liabilities at fair value, the Company uses a fair value hierarchy based on the level of independent, objective evidence surrounding the inputs used. The Company determines the level within the fair value hierarchy in which the fair value measurements in their entirety fall. The categorization within the fair value hierarchy is based upon the lowest level of input that is significant to the fair value measurement. Level 1 uses quoted prices in active markets for identical assets or liabilities, Level 2 uses significant other observable inputs, and Level 3 uses significant unobservable inputs. The amount of the total gains or losses for the period that are included in earnings are attributable to the change in unrealized gains or losses relating to those assets and liabilities still held at the reporting date. At September 30, 2022, and December 31, 2021, the Company had no assets or liabilities that required measurement at fair value on a recurring basis.

Accounting for Investments in Joint Ventures and Equity Method Investments

Investment in Joint Ventures-For joint ventures where the Company holds more than 50% of the voting interest and has significant influence, the joint venture is consolidated with the presentation of non-controlling interest. In determining whether significant influence exists, the Company considers its participation in policy-making decisions and its representation on the venture’s management committee.

For joint ventures in which the Company does not have joint control or significant influence, the cost method is used. For those joint ventures in which there is joint control between the parties, the equity method is utilized whereby the Company’s share of the ventures’ earnings and losses is included in the statement of operations as earnings in joint ventures and its investments therein are adjusted by a similar amount. The Company periodically assesses its investments in joint ventures for impairment. If management determines that a decline in fair value is other than temporary it will write-down the investment and charge the impairment against operations.

Equity Method Investments-Investments in companies and joint ventures in which the Company has the ability to exercise significant influence, but do not control, are accounted for under the equity method of accounting. In determining whether significant influence exists, the Company considers its participation in policy-making decisions and representation on governing bodies. Under the equity method of accounting, our share of the net earnings or losses of the investee are included in net income (loss) in the consolidated statements of operations. We evaluate equity method investments whenever events or changes in circumstance indicate the carrying amounts of such investments may be impaired. If a decline in the value of an equity method investment is determined to be other than temporary, a loss is recorded in earnings in the current period. At September 30, 2022, and December 31, 2021, the Company’s 37% common stock holding of Buckskin Gold and Silver, Inc. is accounted for using the equity method (Note 10).

At September 30, 2022 and December 31, 2021, the Company’s percentage ownership and method of accounting for each joint venture and equity method investment is as follows:

	September 30, 2022					December 31, 2021
Joint Venture	% Ownership			Significant Influence?	Accounting Method	% Ownership			Significant Influence?	Accounting Method
NJMJV		65	%	Yes	Consolidated		65	%	Yes	Consolidated
Butte Highlands Joint Venture (“BHJV”)		50	%	No	Cost		50	%	No	Cost
Buckskin Gold and Silver		37	%	Yes	Equity		37	%	Yes	Equity

Reclassifications

Certain prior period amounts have been reclassified to conform to the 2022 financial statement presentation. Reclassifications had no effect on net loss, stockholders’ equity, or cash flows as previously reported.

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Idaho Strategic Resources, Inc

Notes to Consolidated Financial Statements (Unaudited)

1. The Company and Significant Accounting Policies (continued)

New Accounting Pronouncement

Accounting Standards Updates Adopted-In August 2020, the FASB issued ASU No. 2020-06 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. The update is to address issues identified as a result of the complexity associated with applying generally accepted accounting principles for certain financial instruments with characteristics of liabilities and equity. The update is effective for fiscal years beginning after December 15, 2023 for smaller reporting companies, including interim periods within those fiscal years and with early adoption permitted. The early adoption of this update on January 1, 2022, did not have a material impact on our consolidated financial statements.

2. Going Concern

The Company is currently producing from both the open-pit and underground at the Golden Chest Mine. In the past, the Company has been successful in raising required capital from sale of common stock, forward gold contracts, and debt. As a result of its planned production, equity sales and potential debt borrowings or restructurings, management believes cash flows from operations and existing cash are sufficient to conduct planned operations and meet contractual obligations for the next 12 months.

3. Inventories

At September 30, 2022 and December 31, 2021, the Company’s inventories consisted of the following:

	September 30,<br><br>2022		December 31,<br><br>2021
Concentrate inventory
In process	$	43,085	$	41,082
Finished goods		183,480		97,074
Total concentrate inventory		226,565		138,156
Supplies inventory
Mine parts and supplies		247,924		54,998
Mill parts and supplies		55,347		20,568
Core drilling supplies and materials		78,086		-
Total supplies inventory		381,357		75,566
Total	$	607,922	$	213,722

The carrying value of inventory is determined each period based on the lower of cost or net realizable value. At September 30, 2022 and December 31, 2021 gold concentrate is carried at cost.

4. Sales of Products

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Our products consist of both gold flotation concentrates which we sell to a single broker (H&H Metal), and an unrefined gold-silver product known as doré which we sell to a precious metal refinery. At September 30, 2022, metals that had been sold but not final settled thus exposed to future price changes totaled 3,685 ounces of gold. The Company has received provisional payments on the sale of these ounces with the remaining amount due reflected in gold sales receivable. Sales of products by metal type for the three and nine-month periods ended September 30, 2022 and 2021 were as follows:

	September 30, 2022						September 30, 2021
	Three Months			Nine Months			Three Months			Nine Months
Gold	$	1,890,626		$	6,620,745		$	2,253,431		$	6,256,461
Silver		3,034			9,992			5,756			20,078
Less: Smelter and refining charges		(148,382	)		(482,550	)		(160,338	)		(410,831	)
Total	$	1,745,278		$	6,148,187		$	2,098,849		$	5,865,708

Sales by significant product type for the three and nine-month periods ended September 30, 2022, and 2021 were as follows:

	September 30, 2022				September 30, 2021
	Three Months		Nine Months		Three Months		Nine Months
Concentrate sales to H&H Metal	$	1,745,278	$	5,844,571	$	1,845,547	$	5,535,899
Dore sales to refinery		-		303,616		253,302		329,809
Total	$	1,745,278	$	6,148,187	$	2,098,849	$	5,865,708

At September 30, 2022 and December 31, 2021, our gold sales receivable balance related to contracts with customers of $428,755 and $408,187, respectively, consist only of amounts due from H&H Metal. There is no allowance for doubtful accounts.

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Idaho Strategic Resources, Inc

Notes to Consolidated Financial Statements (Unaudited)

5. Related Party Transactions

At September 30, 2022 and December 31, 2021, the Company had the following note payable to related parties:

	September 30,<br><br>2022			December 31,<br><br>2021
Ophir Holdings LLC, a company owned by two officers of the Company, 3.99% interest, monthly payments of $1,250 with a balloon payment of $68,839 in February 2024	$	85,695		$	116,611
Current portion		(11,799	)		(10,543	)
Long term portion	$	73,896		$	106,068

As of September 30, 2022 and December 31, 2021, there was no accrued interest payable to related parties. Related party interest expense for the three and nine-months ended September 30, 2022 and 2021 is as follows.

September 30, 2022				September 30, 2021
Three Months		Nine Months		Three Months		Nine Months
$	924	$	3,081	$	1,994	$	6,397

The Company leases office space from certain related parties on a month-to-month basis. $1,500 per month is paid to NP Depot, a company owned by the Company’s president, John Swallow. Payments under these short-term lease arrangements are included in general and administrative expenses on the Consolidated Statement of Operations and are as follows:

September 30, 2022				September 30, 2021
Three Months		Nine Months		Three Months		Nine Months
$	6,217	$	18,651	$	6,364	$	18,791

6. Joint Ventures

New Jersey Mill Joint Venture Agreement

The Company owns 65% of the New Jersey Mill Joint Venture (JV) and has significant influence in its operations. Thus, the venture is included in the consolidated financial statements along with presentation of the non-controlling interest. At September 30, 2022 and December 31, 2021, an account receivable existed with Crescent Silver, LLC, the other joint venture participant (“Crescent”), for $1,682 and $4,442, respectively, for shared operating costs as defined in the JV agreement.

Butte Highlands JV, LLC (“BHJV”)

On January 29, 2016, the Company purchased a 50% interest in Butte Highlands JV, LLC (“BHJV”) from Timberline Resources Corporation for $225,000 in cash and 3,000,000 restricted shares of the Company’s common stock valued at $210,000 for a total consideration of $435,000. Highland Mining, LLC (“Highland”) is the other 50% owner and manager of the joint venture. Under the agreement, Highland will fund all future project exploration and mine development costs. The agreement stipulates that Highland is manager of BHJV and will manage BHJV until such time as all mine development costs, less $2 million are distributed to Highland out of the proceeds from future mine production. The Company has determined that because it does not currently have significant influence over the joint venture’s activities, it accounts for its investment on a cost basis.

7. Earnings per Share

For the three and nine-month periods ended September 30, 2022, and 2021, potentially dilutive shares including outstanding stock options (Note 13), warrants (Note 12), and convertible debt (Note 14) were excluded from the computation of diluted loss per share because they were anti-dilutive due to net losses in those periods. For the three and nine-month periods ended September 30, 2022 and 2021, potentially dilutive common stock equivalents excluded from the calculation of diluted earnings per share as their effect would have been anti-dilutive are as follows:

	September 30,<br><br>2022		September 30,<br><br>2021
Stock options		542,525		394,643
Stock purchase warrants		289,294		406,947
Convertible debt		-		392,858
Total		831,819		1,194,448
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Idaho Strategic Resources, Inc

Notes to Consolidated Financial Statements (Unaudited)

8. Property, Plant, and Equipment

Property, plant and equipment at September 30, 2022 and December 31, 2021 consisted of the following:

	September 30,<br><br>2022			December 31,<br><br>2021
Mill
Land	$	225,289		$	225,289
Building		536,193			536,193
Equipment		4,192,940			4,192,940
		4,954,422			4,954,422
Less accumulated depreciation		(1,212,259	)		(1,085,730	)
Total mill		3,742,163			3,868,692
Building and equipment
Buildings		337,859			324,075
Equipment		6,464,911			5,042,915
		6,802,770			5,366,990
Less accumulated depreciation		(2,100,483	)		(1,847,191	)
Total building and equipment		4,702,287			3,519,799
Land
Bear Creek		266,934			266,934
BOW		230,449			230,449
Eastern Star		250,817			250,817
Gillig		79,137			79,137
Highwater		40,133			40,133
Salmon Building		410,285			-
Total land		1,277,755			867,470
Total	$	9,722,205		$	8,255,961

9. Mineral Properties

Mineral properties at September 30, 2022 and December 31, 2021 consisted of the following:

	September 30,<br><br>2022			December 31,<br><br>2021
Golden Chest
Mineral Property	$	1,599,213		$	1,577,669
Infrastructure		1,560,192			1,056,037
Total Golden Chest		3,159,405			2,633,706
New Jersey		248,289			248,289
McKinley-Monarch		200,000			200,000
Butte Potosi		274,440			274,440
Alder Gulch		2,473,066			2,473,066
Park Copper		78,000			78,000
Less accumulated amortization		(78,896	)		(64,315	)
Total	$	6,354,304		$	5,843,186

For the three and nine-month periods ended September 30, 2022 and 2021 interest expense was capitalized in association with the ramp access project at the Golden Chest as follows.

September 30, 2022				September 30, 2021
Three Months		Nine Months		Three Months		Nine Months
$	11,180	$	32,097	$	16,029	$	42,545
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Idaho Strategic Resources, Inc

Notes to Consolidated Financial Statements (Unaudited)

10. Investment in Buckskin

In August 2021, the Company exchanged 45,940 shares of the Company’s common stock for 22% of Buckskin Gold and Silver Inc. The Company’s closing share price on the date of the agreement (August 18, 2021) was recorded as the cost basis for the property. In October 2021 the Company exchanged an additional 30,358 shares of the Company’s common stock for an additional 15% of Buckskin. The Company’s closing share price on the date of the exchange (October 15, 2021) was recorded as the cost basis for the investment addition. This investment in Buckskin is being accounted for using the equity method and resulted in recognition of equity income on the investment of $542 and $1,213 for the three- and nine-month periods ending September 30, 2022. The Company makes an annual payment of $12,000 to Buckskin per a lease covering 218 acres of patented mining claims. As of September 30, 2022, the Company holds 37% of Buckskin’s outstanding shares.

11. Notes Payable

At September 30, 2022 and December 31, 2021, notes payable are as follows:

		December 31,<br><br>2021
Building in Salmon, Idaho, 60-month note payable, 7.00% interest payable monthly through June 2027, monthly payments of 2,500 with a balloon payment of 260,886 in July 2027	308,203	$	-
Resemin Muki Bolter, 36-month note payable, 7.00% interest payable monthly through January 2025, monthly payments of 14,821	383,245		-
Paus 2 yrd. LHD, 48-month note payable, 4.78% interest rate payable through September 2024, monthly payments of 5,181	123,033		164,422
Paus 2 yrd. LHD, 60-month note payable, 3.45% interest rate payable through July 2024, monthly payments of 4,847	103,182		143,547
Compressor, 48-month note payable, 5.25% interest rate payable monthly through January 2022, monthly payments of 813	-		410
CarryAll transport, 36-month note payable, 4.5% interest rate payable monthly through June 2024, monthly payments of 627	12,634		17,752
CarryAll transport, 36-month note payable, 4.5% interest rate payable monthly through February 2024, monthly payments of 303	4,987		7,501
Atlas Copco loader, 60-month note payable, 10.5% interest rate payable monthly through June 2023, monthly payments of 3,550	30,591		58,866
Sandvik LH203 LHD, 36-month note payable, 4.5% interest payable monthly through May 2024, monthly payments of 10,352	199,106		283,955
Sandvik LH202 LHD, 36-month note payable, 6.9% interest payable monthly through August 2025, monthly payments of 4,933	155,991		-
Doosan Compressor, 36-month note payable, 6.99% interest payable monthly through July 2024, monthly payments of 602	12,422		17,064
Caterpillar 306 excavator, 48-month note payable, 4.6% interest payable monthly through November 2024, monthly payments of 1,512	37,336		49,421
Caterpillar 938 loader, 60-month note payable, 6.8% interest rate payable monthly through August 2023, monthly payments of 3,751	39,891		70,734
Caterpillar R1600 LHD, 48-month note payable, 4.5% interest rate payable through January 2025, monthly payments of 17,125	454,339		590,535
Caterpillar AD22 underground truck, 48-month note payable, 6.45% interest rate payable through June 2023, monthly payments of 12,979	113,521		221,694
Small Business Administration EIDL 30 year note payable, 3.75% interest payable monthly through December 2054, monthly payments of 731	163,315		169,211
2022 Dodge Ram, 75-month note payable, 5.99% interest rate payable monthly through June 2028, monthly payments of 1,152	67,112		-
2016 Dodge Ram, 75-month note payable, 5.99% interest rate payable monthly through June 2028, monthly payments of 1,190	69,302		-
Two CarryAll transports, 36-month note payable, 6.3% interest rate payable monthly through May 2025, monthly payments of 1,515	44,556		-
CarryAll transport, 36-month note payable, 6.3% interest rate payable monthly through June 2025, monthly payments of 866	26,184		-
Total notes payable	2,348,950		1,795,112
Due within one year	899,974		666,622
Due after one year	1,448,976	$	1,128,490

All values are in US Dollars.

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Idaho Strategic Resources, Inc

Notes to Consolidated Financial Statements (Unaudited)

11. Notes Payable; continued

All notes are collateralized by the property or equipment purchased in connection with each note. Future principal payments of notes payable at September 30, 2022 are as follows:

12 months ended September 30,
2023	$	899,974
2024		698,639
2025		243,911
2026		38,243
2027		298,577
2028		23,800
Thereafter		145,806
Total	$	2,348,950

In the second quarter of 2020 the Company received a loan of $149,900 pursuant to the Small Business Act Section 7(b). The loan which was in the form of a Note dated May 16, 2020, matures May 16, 2050, and bears interest at a rate of 3.75% per annum. Payments of $731 are due monthly and will begin in November 2022. At September 30, 2022, and December 31, 2021 accrued interest on the loan was $13,415 and $9,311, respectively and is included in the Small Business Administration Loan balance on the consolidated balance sheet. In the second quarter of 2022, it was determined that an additional $10,000 also received in the second quarter of 2020 was a grant that was forgiven as part of the Covid-19 relief program. This $10,000 was recorded as a gain on forgiveness of the SBA loan in the statement of operations during the second quarter of 2022.

12. Stockholders’ Equity

Stock issuance activity

The Company closed a private placement in February 2022. Under the private placement, the Company sold 360,134 shares at $7.50 per share for net proceeds of $2,701,000. In the second quarter of 2022, the Company sold 138,665 shares of common stock for net proceeds of $980,107. In the first nine months of 2022 the Company issued 3,572 shares of common stock at $9.05 per share for services provided for a total value of $32,326. In the first nine months of 2022, the Company issued 392,866 shares of the Company’s common stock in exchange for $1,950,000 of debt at $4.96 per share.

In the first nine months of 2021 the Company issued 1,785 shares of the Company’s common stock for services rendered at an average price of $3.64 for a total value of $6,500. In the first nine months of 2021 the Company issued 331,350 shares of the Company’s Stock in exchange for $835,000 of debt at $2.52 per share. The Company issued 45,940 shares of the Company’s common stock for 22% of Buckskin Gold and Silver in August 2021 valued $192,496.

Stock Purchase Warrants Outstanding

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The activity in stock purchase warrants is as follows:	Number of<br><br>Warrants			Exercise Prices
Balance December 31, 2020		426,788		$	2.52-5.60
Issued		289,294		$	5.60-7.00
Exercised		(46,615	)	$	2.52
Balance December 31, 2021		669,467		$	2.52-7.00
Expired		(185,304	)	$	2.52-5.60
Exercised		(194,869	)	$	2.52-5.60
Balance September 30, 2022		289,294		$	5.60-7.00
These warrants expire as follows:	Shares		Exercise Price		Expiration Date
---	---	---	---	---	---
		235,722	$	5.60	October 14, 2023
		53,572	$	7.00	November 12, 2023
		289,294
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Idaho Strategic Resources, Inc

Notes to Consolidated Financial Statements (Unaudited)

13. Stock Options

In September 2022, the board granted 165,000 stock options to officers, board members, and employees. These options vested immediately and are exercisable at $5.25 for 3 years. Total stock-based compensation recognized on these options was $505,476 and was recognized in management, professional services, and general administrative expenses in the statement of operations. In September 2022, the board granted an additional 15,000 total stock options, 7,500 each to our independent board members. These options vested immediately and are exercisable at $4.75 for 3 years. Total stock-based compensation recognized on these options was $41,799 and was recognized in management expenses in the statement of operations.

In February 2021, the board granted 283,936 stock options to officers, board members, and employees. These options vested immediately and are exercisable at $5.60 for 3 years. Total stock-based compensation recognized on these options was $604,571 and was recognized in management, professional services, and general administrative expenses in the statement of operations. In March 2021, the Company granted 3,572 stock options to an individual for services rendered to the Company. These options vested immediately and are exercisable at $5.60 for 3 years. Total stock-based compensation recognized on these options was $9,860 and was recognized in general administrative expenses in the statement of operations. The fair value of stock option awards granted, and the key assumptions used in the Black-Scholes valuation model to calculate the fair value of the options are as follows:

	February 11,<br><br>2021			March 15,<br><br>2021			September 6,<br><br>2022			September 28,<br><br>2022
Fair value	$	604,572		$	9,860		$	505,476		$	41,799
Options issued		283,936			3,572			165,000			15,000
Exercise price	$	5.60		$	5.60		$	5.25		$	4.75
Expected term (in years)		3.0			3.0			3.0			3.0
Risk-free rate		0.19	%		0.33	%		3.55	%		4.12	%
Volatility		97.9	%		99.3	%		89.3	%		89.2	%

Activity in the Company’s stock options is as follows:

	Number of Options			Weighted Average Exercise Prices
Balance December 31, 2020		150,000		$	1.83
Granted		469,674		$	5.53
Exercised		(101,786	)	$	1.87
Forfeited		(10,713	)	$	5.60
Balance December 31, 2021		507,175		$	5.25
Granted		180,000		$	5.21
Exercised		(116,078	)	$	4.31
Expired		(7,143		$	1.96
Forfeited		(21,429	)	$	5.60
Balance September 30, 2022		542,525		$	5.47
Outstanding and exercisable at September 30, 2022		542,525		$	5.47

At September 30, 2022, outstanding stock options have a weighted average remaining term of approximately 2 years and have no intrinsic value. Intrinsic value of the options exercised for the three and nine-month periods ended September 30, 2022, was $46,500 and $302,493, respectively. Intrinsic value of the options exercised for the nine-month period ended September 30, 2021 was $164,000, none were issued in the three month period ending September 30, 2021.

14. Convertible Debt

The balance of convertible debt at December 31, 2021 consisted of $200,000 convertible to Common shares at a price of $5.60 per share (35,715 shares) and $1,750,000 convertible to Common shares at a price of $4.90 per share (357,151 shares). All of this debt was converted to Common shares as provided in the respective agreements in March 2022

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ITEM 2: Management’s Discussion AND Analysis of Financial Condition and Results of Operations

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Plan of Operation

Idaho Strategic Resources, Inc is a gold producer focused on diversifying and building its asset base and cash flows through a portfolio of mineral properties located in historic producing gold districts in Idaho and Montana and the historic rare earth element/thorium trend located in Central Idaho.

The Company’s plan of operation is to generate positive cash flow, increase its gold production and asset base over time while being mindful of corporate overhead. The Company’s management is focused on utilizing its in-house skills to build a portfolio of producing mines and milling operations with a primary focus on gold and the advancement of its rare earth elements (REE) and thorium prospects.

The Company’s properties include: the Golden Chest Mine (currently in production), the New Jersey Mill (majority ownership interest), and a 50% carried to production interest in the past producing Butte Highlands Mine located in Montana. In addition to its producing and near-term production projects, Idaho Strategic Resources, Inc. has added two rare earth element properties and one thorium property in Idaho to its portfolio of exploration properties in an effort to diversify its holdings towards the anticipated demand for these elements in the electrification of motorized vehicles and a rediscovered focus on critical mineral supply chain security. Additionally, Idaho Strategic holds gold exploration prospects, including Eastern Star and the McKinley-Monarch located in Central Idaho, and additional holdings near the Golden Chest in the Murray Gold Belt.

COVID-19 Coronavirus Pandemic Response and Impact

Following the outbreak of the COVID-19 coronavirus global pandemic (“COVID-19”) in early 2020, in March 2020 the U.S. Centers for Disease Control issued guidelines to mitigate the spread and health consequences of COVID-19. The Company implemented changes to its operations and business practices to follow the guidelines and minimize physical interaction, including using technology to allow employees to work from home when possible and altering production procedures and schedules, asset maintenance, and limiting discretionary spending. As long as they are required, the operational practices implemented could have an adverse impact on our operating results due to deferred production and revenues or additional costs. The negative impact of COVID-19 remains uncertain, including on overall business and market conditions. There is uncertainty related to the potential additional impacts COVID-19 could have on our operations and financial results for the year.

Critical Accounting Estimates

We have, besides our estimates of the amount of depreciation on our assets, two critical accounting estimates. The ounces of gold contained in our process and concentrate inventory is based on assays taken at the time the ore is processed and the ounces of gold contained in shipped concentrate which is based upon assays taken prior to shipment however subject to final assays at the refinery, these shipments are also subject to the fluctuation in gold prices between our shipment date and estimated and actual final settlement date. Also, the reclamation bond obligation on our balance sheet is based on an estimate of the future cost to recover and remediate our properties as required by our permits upon cessation of our operations, and may differ when we cease operations.

Our concentrate sales sometimes involve variable consideration, as they can be subject to changes in metals prices between the time of shipment and their final settlement. However, we are able to reasonably estimate the transaction price for the concentrate sales at the time of shipment using forward prices for the estimated month of settlement, and previously recorded sales and accounts receivable are adjusted to estimated settlement metals prices until final settlement for financial reporting purposes. The embedded derivative contained in our concentrate sales is adjusted to fair value through earnings each period prior to final settlement. It is unlikely a significant reversal of revenue for any one concentrate lot will occur. As such, we use the expected value method to price the concentrate until the final settlement date occurs, at which time the final transaction price is known. At September 30, 2022, metals that had been sold but not final settled thus exposed to future price changes totaled 3,685 ounces of gold. The Company has received provisional payments on the sale of these ounces with the remaining amount due reflected in gold sales receivable.

The asset retirement obligation and asset on our balance sheet is based on an estimate of the future cost to recover and remediate our properties as required by our permits upon cessation of our operations and may differ when we cease operations. At September 30, 2022 we reviewed our December 31, 2021 estimate that the cost of the machine and man hours probable to be needed to put our properties in the condition required by our permits once we cease operations. The September 30, 2022 estimated costs would be $103,320 for the Golden Chest property and $203,600 for the New Jersey Mine and Mill. For purposes of the estimate, we evaluated the expected life in years and costs that, initially, are comparable to rates that we would incur at the present. We are adding to the liability each year, and amortizing the asset over the estimated life, which decreases our net income in total each year. We make periodic reviews of the remaining life of the mine and other operations, and the estimated remediation costs upon closure, and adjust our account balances accordingly. At this time, we think that an adjustment in our asset recovery obligation is not required, and an adjustment in future periods would not have a material impact in the year of adjustment but would change the amount of the annual accretion and amortization costs charged to our expenses by an undetermined amount.

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Critical Accounting Policies

The SEC has requested that all registrants address their most critical accounting policies. The SEC has indicated that a “critical accounting policy” is one which is both important to the representation of the registrant’s financial condition and results and requires management’s most difficult, subjective or complex judgments, often as a result of the need to make estimates about the effect of matters that are inherently uncertain. We base our estimates on past experience and on various other assumptions our management believes to be reasonable under the circumstances, the results of which form the basis for making judgments about carrying values of assets and liabilities that are not readily apparent from other sources. Actual results will differ, and may differ materially from these estimates under different assumptions or conditions. Additionally, changes in accounting estimates could occur in the future from period to period. Our management has discussed the development and selection of our most critical financial estimates with the Audit and Finance Committee of our Board of Directors. The following paragraphs identify our most critical accounting policies:

Determination of Fair Values

Management determines the fair value of a financial instrument based on the amount that could be received upon the sale of an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. The fair value is calculated based on assumptions that market participants would use in pricing the asset or liability, not on assumptions specific to the entity. In addition, the fair value of liabilities includes consideration of non-performance risk, including the party’s own credit risk.

Impairment of Mineral Rights and Properties, Plant and Equipment

The Company assesses its mineral rights and properties, plant and equipment for possible impairment whenever events or changes in circumstances indicate the carrying value of the assets may not be recoverable. Such indicators include changes in the Company’s business plans, changes in precious metal prices and significant downward revisions of estimated mineralization quantities. If the carrying value of an asset exceeds the future undiscounted cash flows expected from the asset, an impairment charge is recorded for the excess of carrying value of the asset over its estimated fair value.

Determination as to whether and how much an asset is impaired involves management estimates on highly uncertain matters such as future commodity prices, the effects of inflation and technology improvements on operating expenses, and the outlook for global or regional demand conditions for gold and silver. However, the impairment reviews and calculations are based on assumptions that are consistent with the Company’s business plans and long-term investment decisions. Management does not believe there are impairments present in mineral rights and properties, plant, and equipment.

Reclamation and Remediation Obligations

Reclamation costs are allocated to expense over the life of the related assets and are periodically adjusted to reflect changes in the estimated present value resulting from the passage of time and revisions to the estimates of either the timing or amount of the reclamation and remediation costs. Reclamation obligations are based on when the spending for an existing environmental disturbance will occur. We review, on at least an annual basis, the reclamation obligation at each mine site in accordance with guidance for accounting for asset retirement obligations.

Reclamation obligations for inactive mines are accrued based on management’s best estimate of the costs expected to be incurred at a site. Such cost estimates include, where applicable, ongoing care, maintenance and monitoring costs. Changes in estimates at inactive mines are reflected in earnings in the period an estimate is revised.

Accounting for reclamation and remediation obligations requires management to make estimates unique to each mining operation of the future costs we will incur to complete the reclamation and remediation work required to comply with existing laws and regulations. Actual costs incurred in future periods could differ from amounts estimated. Additionally, future changes to environmental laws and regulations could increase the extent of reclamation and remediation work required. Any such increases in future costs could materially impact the amounts charged to earnings for reclamation and remediation.

Income Taxes

Our income tax expense and deferred tax assets and liabilities reflect management’s best assessment of estimated future taxes to be paid. Deferred income taxes arise from temporary differences between the tax and financial statement recognition of revenue and expense. In evaluating our ability to recover our deferred tax assets, we consider all available positive and negative evidence, including scheduled reversals of deferred tax liabilities, projected future taxable income, tax planning strategies and recent financial operations. In projecting future taxable income, we develop assumptions including the amount of future state and federal pretax operating income, the reversal of temporary differences, and the implementation of feasible and prudent tax planning strategies. These assumptions require significant judgment about the forecasts of future taxable income and are consistent with the plans and estimates that we are using to manage the underlying businesses. Valuation allowances are recorded as reserves against net deferred tax assets by the Company when it is determined that net deferred tax assets are not likely to be realized in the foreseeable future.

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The calculation of our tax liabilities involves dealing with uncertainties in the application of complex tax laws and regulations. Income tax positions must meet a more-likely-than-not recognition threshold to be recognized.

Highlights during the third quarter of 2022 include:

Rare Earth Elements

·	The Company began drilling at its Diamond Creek REE project, only to be delayed due to the Moose Fire (the largest wildfire in the US over the summer). After the fire burned through the project site, drilling began (see press release dated July 18, 2022, Idaho Strategic Resources to Begin Rare Earth Element Drill Program at Diamond Creek–Early Stages of IGEM Program Begin). An update to the drill program was announced on November 2, 2022, after the end of the quarter.
·	Also in July, the University of Idaho began conducting its Rare Earth Element separation experiments at their lab using soil and samples collected at Diamond Creek as part of the IGEM Program.
·	Fieldwork continued at other REE/Thorium holdings in the areas that were not impacted by the Moose Fire during the quarter.

Murray Gold Belt

·	The Company conducted the first ever drill program on its holdings in the Murray Gold Belt (see press release dated September 1, 2022, Idaho Strategic Makes New Discovery–Gold Veins in the First Ever Drilling in the Murray Gold Belt Outside of the Golden Chest).
·	At the start of the third quarter the Company moved its in-house drill to the Murray Gold Belt where a total of 1,328 meters of drilling were completed at the following four prospects: the Argus, the Evans, the Ida, and the Badger. Not all of the core from the Murray Gold Belt drilling has been logged and assayed, however the Company did release initial results from the Argus prospect where a new gold zone was discovered and the highlight to date was hole number AG 22-2:
o	AG 22-2
---	---
o	0.566 g/t gold over 24 m from 99.0 m to 123.0 m including the following higher-grade intervals:
o	1.09 gpt gold over 2.7 m from 107.5 to 110.2 m
o	2.08 gpt gold over 2.2 m from 113.7 to 115.9 m
o	9.19 g/t gold over 0.6 m from 134.4 to 135.0 m including a 20 cm vein assaying 22.2 g/t Au

Golden Chest/Operations

·	At the Golden Chest, ore mined from underground stopes totaled approximately 7,500 tonnes from the 833, 827, and 818 stopes. Another 600 tonnes of material was mined from the Klondike South crosscut in the quarter. Development tonnage totaled 3,200 tonnes during the quarter as the Main Access Ramp (MAR) was extended below the 806 elevation and an associated ventilation drift was also completed.
·	Late in the third quarter, the Company commissioned a double-boom electric/hydraulic jumbo capable of drilling 3.65 m (12-foot) rounds to accelerate MAR development. Previously, a single-boom jumbo drilling 3 m (10-foot) rounds was used in the MAR so the advancement rate is expected to increase substantially by drilling longer rounds faster with the double-boom jumbo. The double-boom was acquired in the used equipment market for $150,000 and has required very little refurbishment while demonstrating good reliability.
·	Also late in the third quarter, the Company received delivery of an electric/hydraulic bolter designed for narrow headings such as our 3-meter-wide stopes. The bolter is a Muki model manufactured by Resemin of Peru. Currently, the bolter is performing quite well installing ground support in the MAR as preparations are made to install electrical service into the stopes so the Muki can be used to install ground support in the stopes. The bolter should increase the efficiency and safety of installing ground support over the current jackleg-based techniques.
·	Open pit mining was suspended as the contractor was mobilized to the New Jersey Mill to construct the Phase 5 lift and buttress on the Tailings Storage Facility (TSF). A large buttress of over 40,000 cubic meters was placed around the TSF to exceed the geotechnical stability requirements of the State of Idaho. Additional fill was placed on the top of the buttress to raise the embankment and increase the storage volume of the TSF providing the footprint for another four years of tailings storage capacity.
·	For the quarter ended September 30, 2022, a total of 10,024 dry metric tonnes (dmt) were processed at the Company’s New Jersey mill with a flotation feed head grade of 4.59 gpt with gold recovery of 89.8%. About 80% of the feed was from the underground stopes with the remainder coming from a stockpile of open pit material.
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Results of Operations

Our financial performance during the quarter is summarized below:

·	The Company had a gross loss of $228,760 and a gross profit of $84,839 in the three and nine-month periods ending September 30, 2022, compared to a gross profit of $278,010 and $568,855 for the comparative periods in 2021. Gross profit decreased in 2022 because of lower gold prices and increased costs of consumables. We are currently working towards increasing operational efficiencies and processed ore grade from the underground operations to bring gross profit back up.
·	Cash costs per ounce and AISC remained relatively flat for the three and nine-month periods ended September 30, 2022, and 2021 with the exception of the AISC for the three-month period September 30, 2022 being higher than the comparable period in 2021. The Company spent significant funds in the third quarter of 2022 expanding its tailings facility for future milling capacity at the New Jersey Mill as well as adding additional underground mining equipment, exploration costs were also up in 2022 versus 2021 as the Company has increased both drilling with the Company’s in house drilling for gold exploration in the Murray area and also on the Company’s rare earth properties including contract core drilling on the Diamond Creek property.
·	Revenue was $1,745,278 and $6,148,187, respectively for the three and nine-month periods ended September 30, 2022, compared to $2,098,849 and $5,865,708 for the comparable periods of 2021. The lower three-month revenue in 2022 was a result of lower gold prices while the higher nine-month revenue in 2022 was mostly the result of increased production. 354 more ounces of gold were produced year to date as of September 30, 2022 compared to the same period in 2021.
·	An operating loss of $1,888,044 and $3,160,931 for the three and nine-month periods ended September 30, 2022, compared to an operating loss of $187,310 and $1,894,656 in the comparable periods of 2021. Some of the changes were a result of increased exploration, costs associated with the Company’s NYSE original listing application, annual listing fee and legal expenses, fees associated with the Company’s S-3 Registration Statement filed with the SEC, contract core drilling for the Diamond Creek Rare Earth property, and expense for stock options granted in the third quarter of 2022.
·	Net loss of $1,909,424 and $3,234,742 for the three and nine-periods ended September 30, 2022, compared to net loss of $237,671 and $2,040,843 in the comparable periods ended September 30, 2021. The reasons for these changes are the same as those for the operating loss described above.
·	Exploration costs increased in 2022 compared to 2021 because of an increase in core drilling completed by the Company’s in-house drill, an increase in exploration on the Rare Earth properties, and contract core drilling at the Company’s Diamond Creek Rare Earth property in the third quarter of 2022.
·	Reasons for changes in management, professional services, and general and administrative expenses between the comparable periods in 2022 and 2021 include costs associated with the Company’s NYSE original listing application fee and SEC filings as mentioned above in the second quarter of 2022, options being granted to management, directors, and employees for a total cost of $547,275 in the third quarter of 2022, and options being granted to management, directors, and employees for a total cost of $604,571 in the first quarter of 2021.
·	Timber revenue decreased in 2022. No logging on the Company’s property occurred in 2022.
·	The consolidated net loss for the nine-months ended September 30, 2022, and 2021 included non-cash charges as follows: depreciation and amortization of $717,939 ($595,227 in 2021), loss on disposal of equipment of $68,641 (none in 2021), accretion of asset retirement obligation of $11,342 ($7,476 in 2021), stock-based compensation of $547,275 ($614,431 in 2021), the issuance of common stock for services $32,326 ($6,500 in 2021), gain on forgiveness of SBA loan of $10,000 (none in 2021), and equity income on investment in Buckskin $1,213 in 2022 (None in 2021).

Cash Costs and All-In Sustaining Costs Reconciliation to GAAP-Reconciliation of cost of sales and other direct production costs and depreciation, depletion and amortization (GAAP) to cash cost per ounce and all-in sustaining costs (AISC) per ounce (non-GAAP).

The table below presents reconciliations between the most comparable GAAP measure of cost of sales and other direct production costs and depreciation, depletion, and amortization to the non-GAAP measures of cash cost per ounce and all in sustaining costs per ounce for the Company’s gold production in the three and nine-month periods ended September 30, 2022, and 2021.

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Cash cost per ounce is an important operating measure that we utilize to measure operating performance. AISC per ounce is an important measure that we utilize to assess net cash flow after costs for pre-development, exploration, reclamation, and sustaining capital. Current GAAP measures used in the mining industry, such as cost of goods sold do not capture all of the expenditures incurred to discover, develop, and sustain gold production.

	September 30,
	2022						2021
	Three Months			Nine Months			Three Months			Nine Months
Cost of sales and other direct production costs and depreciation and amortization	$	1,974,038		$	6,063,348		$	1,820,839		$	5,296,853
Depreciation and amortization		(245,824	)		(717,939	)		(217,054	)		(595,227	)
Change in concentrate inventory		38,380			(394,200	)		37,535			146,431
Cash Cost	$	1,766,594		$	4,951,209		$	1,641,320		$	4,848,057
Exploration		747,217			1,530,122			267,643			1,193,520
Sustaining capital		851,311			1,113,602			78,380			349,363
General and administrative		603,273			1,078,563			101,430			751,272
Less stock-based compensation and other non-cash items		(617,745	)		(648,371	)		(9,178	)		(628,407	)
All in sustaining costs	$	3,350,650		$	8,025,125		$	2,079,595		$	6,513,805
Divided by ounces produced		1,360			4,094			1,306			3,740
Cash cost per ounce	$	1,298.97		$	1,209.38		$	1,256.75		$	1,296.27
All in sustaining cost (AISC) per ounce	$	2,463.71		$	1,960.22		$	1,592.34		$	1,741.66

Financial Condition and Liquidity

	For the Nine Months Ended September 30,
Net cash provided (used) by:	2022			2021
Operating activities	$	(2,007,155	)	$	(758,113	)
Investing activities		(1,787,414	)		(2,684,936	)
Financing activities		4,073,739			1,384,291
Net change in cash and cash equivalents		279,170			(2,058,758	)
Cash and cash equivalents, beginning of period		1,976,518			2,539,945
Cash and cash equivalents, end of period	$	2,255,688		$	481,187

The Company is currently producing from both the open-pit and underground at the Golden Chest Mine. In the past, the Company has been successful in raising required capital from sale of common stock, forward gold contracts, and debt. As a result of its planned production, equity sales and potential debt borrowings or restructurings, management believes cash flows from operations and existing cash are sufficient to conduct planned operations and meet contractual obligations for the next 12 months.

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ITEM 3: QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK

Not required for small reporting companies.

ITEM 4: CONTROLS AND PROCEDURES

Disclosure Controls and Procedures

At September 30, 2022, our Vice President who also serves as our Chief Accounting Officer evaluated the effectiveness of the design and operation of our disclosure controls and procedures pursuant to Rule 13a-15(e) of the Securities Exchange Act of 1934 (the “Exchange Act”), which disclosure controls and procedures are designed to insure that information required to be disclosed by a company in the reports that it files under the Exchange Act is recorded, processed, summarized, and reported within required time periods specified by the Securities & Exchange Commission rules and forms.

Based upon that evaluation, it was concluded that our disclosure controls were effective as of September 30, 2022, to ensure timely reporting with the Securities and Exchange Commission. Specifically, the Company’s corporate governance and disclosure controls and procedures provided reasonable assurance that required reports were timely and accurately reported in our periodic reports filed with the Securities and Exchange Commission.

Changes in internal control over financial reporting

There was no material change in internal control over financial reporting in the quarter ended September 30, 2022.

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PART II - OTHER INFORMATION

ITEM 1. LEGAL PROCEEDINGS

None.

ITEM 2. UNREGISTERED SALES OF EQUITY SECURITIES AND USE OF PROCEEDS

Neither the constituent instruments defining the rights of the Company’s securities filers nor the rights evidenced by the Company’s outstanding common stock have been modified, limited or qualified.

In the first 9 months of 2021 the company issued 1,787 shares of the Company’s common stock for services rendered at an average price of $3.64 for a total value of $6,500. In the first 9 months of 2021 the Company issued 291,667 shares of the Company’s Stock in exchange for $835,000 of debt at $2.52 per share. The Company issued 45,940 shares of the Company’s common stock for 22% of Buckskin Gold and Silver in August 2021 valued $192,496.

The Company closed a private placement in February 2022. Under the private placement, the Company sold 360,134 units at $7.50 per unit for net proceeds of $2,701,000. Each unit consisted of one share of the Company’s common stock. In the second quarter of 2022, the Company sold 138,665 shares of common stock for net proceeds of $980,107. In the first quarter of 2022 the Company issued 3,572 shares of common stock at $9.05 per share for services provided for a total value of $32,326. In the first 9 months of 2022 the Company issued 392,866 shares of the Company’s Stock in exchange for $1,950,000 of debt at $4.96 per share.

The Company relied on the transaction exemption afforded by Section 4(a)(2) of the Securities Act of 1933, as amended, and Regulation D Rule 506(b). The common shares are restricted securities which may not be publicly sold unless registered for resale with the Securities and Exchange Commission or exempt from the registration requirements of the Securities Act of 1933, as amended.

ITEM 3. DEFAULTS UPON SENIOR SECURITIES

The Company has no outstanding senior securities.

ITEM 4. MINE SAFETY DISCLOSURES

The information concerning mine safety violations or other regulatory matters required by Section 1503(a) of the Dodd-Frank Wall Street Reform and Consumer Protection Act and Item 104 of Regulation S-K is included in exhibit 95 to this report.

ITEM 5. OTHER INFORMATION

None.

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ITEM 6. EXHIBITS

Exhibits

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3.1	Amended and Restated Articles of Incorporation, incorporated by reference to the Company’s Form 8-K as filed with the Securities and Exchange Commission on October 27, 2021
3.2	Amended and Restated By-laws of Idaho Strategic Resources, Inc., incorporated by reference to the Company’s Form 8-K as filed with the Securities and Exchange Commission on October 27, 2021
10.1*	Venture Agreement with United Mine Services, Inc. dated January 7, 2011.
10.2***	Consent, Waiver and Assumption of Venture Agreement by Crescent dated February 14, 2014
10.3	Registrant’s Grant of Options to Directors and Officers dated December 30, 2016, incorporated by reference to the Company’s Form 8-K as filed with the Securities and Exchange Commission on January 4, 2017.
10.4	Registrant’s Grant of Options to Employees and Directors of the Company dated October 20, 2021, incorporated by reference to the Company’s Form 8-K as filed with the Securities and Exchange Commission on October 22, 2021.
10.5	Form of Convertible Note Purchase Agreement dated as of February 18, 2020, incorporated by reference to the Company’s 8-K as filed with the Securities and Exchange Commission on February 20, 2020.
10.6	Form of Convertible Promissory Note dated as of February 18, 2020, incorporated by reference to the Company’s 8-K as filed with the Securities and Exchange Commission on February 20, 2020.
10.7	Form of Convertible Note Purchase Agreement dated as of April 14, 2021, incorporated by reference to the Company’s 8-K as filed with the Securities and Exchange Commission on April 19, 2021.
10.8	Form of Convertible Promissory Note dated as of April 14, 2021, incorporated by reference to the Company’s 8-K as filed with the Securities and Exchange Commission on April 19, 2021.
10.9	Sales Agreement, dated June 7, 2022, by and between the Company and Roth Capital Partners, LLC, incorporated by reference to the Company’s 8-K as filed with the Securities and Exchange Commission on June 9, 2022.
31.1****	Certification pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.
31.2****	Certification pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.
32.1****	Certification pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.
32.2****	Certification pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.
95****	Mine safety information listed in Section 1503 of the Dodd-Frank Act.
101.INS****	XBRL Instance Document
101.SCH****	XBRL Taxonomy Extension Schema Document
101.CAL****	XBRL Taxonomy Extension Calculation Linkbase Document
101.DEF****	XBRL Taxonomy Extension Definition Linkbase Document
101.LAB****	XBRL Taxonomy Extension Label Linkbase Document
101.PRE****	XBRL Taxonomy Extension Presentation Linkbase Document

_______________

*	Filed with the Registrant’s Form 10 on June 4, 2014.
** ****	Filed July 2, 2014
***	Filed March 31, 2015.
****	Filed herewith.
*****	Filed with the Registrant’s S-3 Registration Statement on May 3, 2022.
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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.

IDAHO STRATEGIC RESOURCES, INC
By	/s/ John Swallow
	John Swallow,
its	President and Chief Executive Officer
Date	November 14, 2022
By:	/s/ Grant Brackebusch
	Grant Brackebusch,
its:	Vice President and Chief Financial Officer
Date:	November 14, 2022
23
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njmc_ex311.htm EXHIBIT 31.1

Certification

I, John Swallow, certify that:

(1)	I have reviewed this quarterly report on Form 10-Q of Idaho Strategic Resources Inc.
(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, including its consolidated subsidiaries, is made known to me 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 that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting; and

(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 the 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.

Date:

November 14, 2022

By	/s/ John Swallow

| | John Swallow<br> <br>Chief Executive Officer |

njmc_ex312.htm EXHIBIT 31.2

Certification

I, Grant Brackebusch, certify that:

(1)	I have reviewed this quarterly report on Form 10-Q of Idaho Strategic Resources Inc.
(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, including its consolidated subsidiaries, is made known to me 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 that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting; and

(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 the 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.

Date:

November 14, 2022

By	/s/ Grant Brackebusch

| | Grant Brackebusch<br> <br>Chief Financial Officer |

njmc_ex321.htm EXHIBIT 32.1

CERTIFICATION PURSUANT TO

18 U.S.C. SECTION 1350,

AS ADOPTED PURSUANT TO

SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002

In connection with the Quarterly Report of Idaho Strategic Resources Inc., (the "Company") on Form 10-Q for the period ending September 30, 2022, as filed with the Securities and Exchange Commission on the date hereof (the "Report"), I, John Swallow, Chief Executive Officer and Director of Idaho Strategic Resources Inc., certify, pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, 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 results of operations of the Company.

Date:

November 14, 2022

By	/s/John Swallow
	John Swallow<br> <br>Chief Executive Officer

A signed original of this written statement required by Section 906, or other document authenticating, acknowledging or otherwise adopting the signature that appears in typed form within the electronic version of this written statement required by Section 906 has been provided to Idaho Strategic Resources Inc. and will be retained by Idaho Strategic Resources Inc., and furnished to the Securities and Exchange Commission or its staff upon request.

The foregoing certification is being furnished in accordance with Securities and Exchange Commission Release No. 34-47551 and shall not be considered filed as part of the Form 10-Q.

njmc_ex322.htm EXHIBIT 32.2

CERTIFICATION PURSUANT TO

18 U.S.C. SECTION 1350,

AS ADOPTED PURSUANT TO

SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002

In connection with the Quarterly Report of Idaho Strategic Resources Inc., (the "Company") on Form 10-Q for the period ending September 30, 2022, as filed with the Securities and Exchange Commission on the date hereof (the "Report"), I, Grant Brackebusch, Chief Financial Officer and Director of Idaho Strategic Resources Inc., certify, pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, 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 results of operations of the Company.

Date:

November 14, 2022

By	s/Grant Brackebusch
	Grant Brackebusch<br> <br>Chief Financial Officer

A signed original of this written statement required by Section 906, or other document authenticating, acknowledging or otherwise adopting the signature that appears in typed form within the electronic version of this written statement required by Section 906 has been provided to Idaho Strategic Resources Inc. and will be retained by Idaho Strategic Resources Inc. and furnished to the Securities and Exchange Commission or its staff upon request.

The foregoing certification is being furnished in accordance with Securities and Exchange Commission Release No. 34-47551 and shall not be considered filed as part of the Form 10-Q.

njmc_ex95.htm EXHIBIT 95

Mine Safety Disclosures

Our mines are operated subject to the regulation of the Federal Mine Safety and Health Administration (“MSHA”), under the Federal Mine Safety and Health Act of 1977 (the “Mine Act”). In July 2010, the Dodd-Frank Wall Street Reform and Consumer Protection Act (the “Dodd-Frank Act”) was signed into law, and amended in December 2011. When MSHA believes a violation of the Mine Act has occurred, it may issue a citation for such violation, including a civil penalty or fine, and the mine operator must abate the alleged violation.

As required by the reporting requirements of the Dodd-Frank Act, as amended, the table below presents the following information for the quarter ended September 30, 2022.

Mine	Section 104 S&S Violations		Section 104(b) Orders		Section 104(d) Citations and Orders		Section 110(b)(2) Violations		Section 107(a) Orders		Total Dollar Value of MSHA Assessments Proposed		Total Number of Mining Related Fatalities		Received Notice of Pattern of Violations Under Section 104(e)	Received Notice of Potential to have Patterns Under Section (c)	Legal Actions Pending as of Last Day of Period		Legal Actions Initiated During Period		Legal Actions Resolved During Period

| Golden Chest | | 0 | | 0 | | 0 | | 0 | | 0 | $ | 133 | | 0 | no | no | | 0 | | 0 | | 0 |

| New Jersey Mill | | 0 | | 0 | | 0 | | 0 | | 0 | $ | 0 | | 0 | no | no | | 0 | | 0 | | 0 |