Company: JUPGF
Filing Date: 2025-02-28
Form Type: 20-F
Source: 0001493152-25-008689
Chunk: 34

Company: ATLAS CRITICAL MINERALS Corp
Filing Date: 2025-02-28
Form: 20-F
Item: Item 5
Chunk 34
---

date. The guidance also establishes a hierarchy for inputs used in measuring fair value that maximizes the use of observable inputs and
minimizes the use of unobservable inputs by requiring that the most observable inputs be used when available. Observable inputs are inputs
market participants would use in valuing the asset or liability and are developed based on market data obtained from sources independent
of us. Unobservable inputs are inputs that reflect our assumptions about the factors market participants would use in valuing
the asset or liability. The guidance establishes three levels of inputs that may be used to measure fair value:

Level
1. Observable inputs such as quoted prices in active markets;

Level
2. Inputs, other than the quoted prices in active markets, that are observable either directly or indirectly; and

Level
3. Unobservable inputs in which there is little or no market data, which require the reporting entity to develop its own assumptions.

As
of December 31, 2024, we did not have any level 2 or 3 assets or liabilities.

Our financial instruments consist of cash and cash equivalents,
accounts payable, and accrued expenses. The carrying amount of these financial instruments approximates fair value due to either length
of maturity or interest rates that approximate prevailing market rates unless otherwise disclosed in these consolidated financial statements.

Property
and Equipment

Property
and equipment are stated at cost. Major improvements and betterments are capitalized. Maintenance and repairs are expensed as incurred.
Depreciation is computed using the straight-line method over the estimated useful life. At the time of retirement or other disposition
of property and equipment, the cost and accumulated depreciation are removed from the accounts and any resulting gain or loss is reflected
in the statements of operations as other gain or loss, net.

The
diamond and gold processing plant and other machinery are depreciated over an estimated useful life of ten years; vehicles are depreciated
over an estimated life of five years; and computer and other office equipment over an estimated useful life of three years.

  85  

  Table of Contents  

Mineral
Properties

Costs
of exploration, carrying and retaining unproven mineral lease properties are expensed as incurred. Mineral property acquisition costs,
including licenses and lease payments, are capitalized. Impairment losses are recorded on mineral properties used in operations when
indicators of impairment are present and the undiscounted cash flows estimated to be generated by those assets are less than the assets’
carrying amount. We did not recognize any impairment losses related to mineral properties