----

----

| x | QUARTERLY REPORT UNDER SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934:For the quarterly period ended March 31, 2012 |
|---|---------------------------------------------------------------------------------------------------------------------------------|

| o |  TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934:For the transition period from ____to____ |
|---|------------------------------------------------------------------------------------------------------------------------------------------|

| Nevada                                                        | 20-5874196                          |
|---------------------------------------------------------------|-------------------------------------|
| (State or other jurisdiction ofincorporation or organization) | (I.R.S. EmployerIdentification No.) |

| 1671 SW 105 Lane, Davie, Florida 33324              |
|-----------------------------------------------------|
| (Address of principal executive offices) (Zip Code) |

| (786) 423-1811                                             |
|------------------------------------------------------------|
| (Registrant’s Telephone Number, including area code) |

| Large accelerated filer                                         | o |                                          | Accelerated filer         | o |
|-----------------------------------------------------------------|---|-----------------------------------------------|---------------------------|---|
| Non-accelerated filer        | o | (Do not check if a smaller reporting company) | Smaller reporting company | x |

----

----

|                              |                                                                                        |   |
|-----------------------------------|---------------------------------------------------------------------------------------------|--------|
|                              |                                                                                        |   |
| PART I FINANCIAL INFORMATION |
|                              |                                                                                        | Page   |
| Item 1.                           | Financial Statements                                                                        | 43     |
| Item 2.                           | Management’s Discussion and Analysis of Financial Condition and Results of Operations | 23     |
| Item 3.                           | Quantitative and Qualitative Disclosures about Market Risk                                  | 25     |
| Item 4.                           | Controls and Procedures                                                                     | 26     |

| Item 1.  | Legal Proceedings                                           | 26 |
|----------|-------------------------------------------------------------|----|
| Item 1A. | Risk Factors                                                | 26 |
| Item 2.  | Unregistered Sales of Equity Securities and Use of Proceeds | 26 |
| Item 3.  | Defaults Upon Senior Securities                             | 26 |
| Item 4.  | Mine Safety Disclosures                                     | 26 |
| Item 5.  | Other Information                                           | 26 |
| Item 6.  | Exhibits                                                    | 27 |

----

Item 1. Financial Statements.

|                                                                                                     |   | March 31, 2012(UNAUDITED) |      |   | December 31, 2011 |   |
|----------------------------------------------------------------------------------------------------------|--------|---------------------------|-----------|--------|-------------------|--------|
| Current assets                                                                                           |   |                      |      |   |              |   |
|     Cash                                                                                  |   | $                         | 29,475    |   |              | $      | 10,559 |   |
|     Total current assets                                                             |   |                      | 29,475    |   |              |   | 10,559 |   |
|                                                                                                     |   |                      |      |   |              |   |   |   |
| Property and equipment, net of $2,858 and $2,723   accumulated depreciation, respectively |   |                      | 198       |   |              |   | 333 |   |
|                                                                                                     |   |                      |      |   |              |   |   |   |
| Unproven mineral properties                                                                              |   |                      | 1,194,910 |   |              |   | 1,194,910 |   |
|                                                                                                     |   |                      |      |   |              |   |   |   |
|     Total assets                                                                     |   | $                         | 1,224,583 |   |              | $      | 1,205,802 |   |

| Current liabilities                                                                                                                                     |   |   |          |   |   |   |         |    |
|---------------------------------------------------------------------------------------------------------------------------------------------------------|--------|--------|---------------|--------|--------|--------|--------------|---------|
|     Accounts payable and accrued expenses                                                                                                |   | $      | 55,931        |   |   | $      | 16,464       |    |
|     Notes payable, current                                                                                                               |   |   | 150,000       |   |   |   | 200,000      |    |
|     Loans from stockholders                                                                                                              |   |   | 152,000       |   |   |   | 57,000       |    |
|     Derivative liability                                                                                                                 |   |   |  380,105 |   |   |   |  73,744 |    |
|                                                                                                                                                    |   |   |          |   |   |   |         |    |
|     Totl current liabilities                                                                                                        |   |   | 738,036       |   |   |   | 347,208      |    |
|                                                                                                                                                    |   |   |          |   |   |   |         |    |
| Notes payable, long-term (including accrued interest)                                                                                                   |   |   | 1,897,452     |   |   |   | 1,869,726    |    |
|                                                                                                                                                    |   |   |          |   |   |   |         |    |
| Stockholders’ equity (deficit)                                                                                                                    |   |   |          |   |   |   |         |    |
|     Preferred stock, $.001 par value; 30,000,000 shares authorized,      -0- shares issued and outstanding      |   |   |  -       |   |   |   |  -      |    |
|     Common stock, $.001 par value; 300,000,000 shares authorized,      46,502,120 shares issued and outstanding |   |   | 46,502        |   |   |   | 46,502       |    |
|     Additional paid-in capital                                                                                                           |   |   | 99,463        |   |   |   | 98,863       |    |
|     Accumulated deficit                                                                                                                  |   |   | (233,532      | )      |   |   | (233,532     | )  |
|     Deficit accumulated during the exploration stage                                                                                     |   |   | (1,323,338    | )      |   |   | (922,965     | )       |
|                                                                                                                                                    |   |   |          |   |   |   |         |    |
|     Total stockholders’ equity (deficit)                                                                                      |   |   | (1,410,905    | )      |   |   | (1,011,132   | )       |
|                                                                                                                                                    |   |   |          |   |   |   |         |    |
|        Total liabilities and stockholders’ equity (deficit)                                                    |   | $      | 1,224,583     |   |   | $      | 1,205,802    |    |

----

|                                                                                                       |          | For the Three MonthsendedMarch 31, 2012 |           |    | For the Three MonthsendedMarch 31, 2011 |   |             | For the Periodfrom Inception(October 31, 2006)throughMarch 31, 2012 |   |
|------------------------------------------------------------------------------------------------------------|---------------|-----------------------------------------|----------------|---------|-----------------------------------------|--------|------------------|---------------------------------------------------------------------|--------|
| Revenues                                                                                                   |          | $                                       | -              |    |                                    | $      | -                |                                                                |   | $ | - |   |
|                                                                                                       |          |                                    |           |    |                                    |   |             |                                                                |   |   |   |   |
| Operating expenses                                                                                         |          |                                    |           |    |                                    |   |             |                                                                |   |   |   |   |
|     Exploration costs                                                                       |          |                                    | -              |    |                                    |   | 157,286          |                                                                |   |   | 431,585 |   |
|     Legal and professional                                                                  |          |                                    | 47,529         |    |                                    |   | 98,666           |                                                                |   |   | 458,701 |   |
|     Officer compensation                                                                    |          |                                    | -              |    |                                    |   | 105,500          |                                                                |   |   | 190,500 |   |
|     General and administrative                                                         |          |                                    | 16,154         |    |                                    |   | 9,963            |                                                                |   |   | 207,071 |   |
|                                                                                                       |          |                                    |           |    |                                    |   |             |                                                                |   |   |   |   |
|     Total operating expenses                                                           |          |                                    | 63,683         |    |                                    |   | 371,415          |                                                                |   |   | 1,287,857 |   |
|                                                                                                       |          |                                    |           |    |                                    |   |             |                                                                |   |   |   |   |
| Loss from continuing operations                                                                            |          |                                    | (63,683        | )       |                                    |   | (371,415)        |                                                                |   |   | (1,287,857 | ) |
|                                                                                                       |          |                                    |           |    |                                    |   |             |                                                                |   |   |   |   |
| Other income (expense)                                                                                     |          |                                    |           |    |                                    |   |             |                                                                |   |   |   |   |
| Forgiveness of accounts and note payable                                                                   |          |                                    | -              |    |                                    |   | -                |                                                                |   |   | 75,781 |   |
| Interest income                                                                                            |          |                                    | -              |    |                                    |   | -                |                                                                |   |   | 1,885 |   |
| Fair value of warrants                                                                                     |          |                                    | -              |    |                                    |   | -                |                                                                |   |   | (172,500 | ) |
| Amortization of debt discount                                                                              |          |                                    | -              |    |                                    |   | (600,000)        |                                                                |   |   | (600,000 | ) |
| Interest expense                                                                                           |          |                                    | (30,329        | )       |                                    |   | (16,913)         |                                                                |   |   | (155,627 | ) |
| Loss on derivative liability                                                                               |          |                                    |  (306,361 | )  |                                    |   |  (1,581,705 | )                                                              |   |   |  814,980 |   |
|             Total other income  (expense) |          |                                    | (336,690       | )       |                                    |   | (2,198,618)      |                                                                |   |   | (35,481 | ) |
|                                                                                                       |          |                                    |           |    |                                    |   |             |                                                                |   |   |   |   |
| Loss before discontinued operations and income taxes                                                       |          |                                    | (400,373       | )       |                                    |   | (2,570,033)      |                                                                |   |   | (1,323,338 | ) |
|                                                                                                       |          |                                    |           |    |                                    |   |             |                                                                |   |   |   |   |
| Loss on discontinued operations                                                                            |          |                                    | -              |    |                                    |   | -                |                                                                |   |   | (233,532 | ) |
|                                                                                                       |          |                                    |           |    |                                    |   |             |                                                                |   |   |   |   |
| Loss before income taxes                                                                                   |          |                                    | (400,373       | )       |                                    |   | (2,570,033       | )                                                                   |   |   | (1,556,870 | ) |
|                                                                                                       |          |                                    |           |    |                                    |   |             |                                                                |   |   |   |   |
| Provision for income taxes                                                                                 |          |                                    | -              |    |                                    |   | -                |                                                                |   |   | - |   |
|                                                                                                       |          |                                    |           |    |                                    |   |             |                                                                |   |   |   |   |
|                                                                                                       |          |                                    |           |    |                                    |   |             |                                                                |   |   |   |   |
| Net loss                                                                                                   |     | $                                       | (400,373       | )       |                                    | $      | (2,570,033       | )                                                                   |   | $ | (1,556,870 | ) |
|                                                                                                       |          |                                    |           |    |                                    |   |             |                                                                |   |   |   |   |
| Net loss per common share – basic and diluted                                                        |          | $                                       | (0.01          | )       |                               | $      | (0.06            | )                                                                   |   |   |   |   |
|                                                                                                       |          |                                    |           |    |                                    |   |             |                                                                |   |   |   |   |
| Weighted average of common   shares – basic and diluted                               |          |                                    | 46,502,120     |    |                                    |   | 46,502,120       |                                                                |   |   |   |   |

----

|                                                                                                                |   | Common Stock*    |        |   | Additional |   |    |            |   |   | DeficitAccumulatedDuring |   |   | Total Stockholders' |     |
|---------------------------------------------------------------------------------------------------------------------|--------|------------------|-------------|--------|------------|--------|---------|-----------------|--------|--------|--------------------------|--------|--------|---------------------|----------|
|                                                                                                                |   | Number of Shares |        |   | Amount     |   |    | Paid-In Capital |   |   | Accumulated Deficit      |   |   | Exploration Stage   |     |   | Equity (Deficit) |   |
|                                                                                                                |   |             |        |   |       |   |    |            |   |   |                     |   |   |                |     |   |   |   |
| Balance, October 31, 2006                                                                                           |   |             | -           |   |       | $      | -       |            |   | $      | -                        |   |   | $                   | -        |   |   | $ | - |   |   | $ | - |   |
|                                                                                                                |   |             |        |   |       |   |    |            |   |   |                     |   |   |                |     |   |   |   |   |   |   |   |   |   |
| Issuance of common stock,    November 1, 2006                                                        |   |             | 240,000,000 |   |       |   | 240,000 |            |   |   | (236,000                 | )      |   |                | -        |   |   |   | - |   |   |   | 4,000 |   |
|                                                                                                                |   |             |        |   |       |   |    |            |   |   |                     |   |   |                |     |   |   |   |   |   |   |   |   |   |
| Additional paid-in capital in    exchange for facilities    provided by related party |   |             | -           |   |       |   | -       |            |   |   | 400                      |   |   |                | -        |   |   |   | - |   |   |   | 400 |   |
|                                                                                                                |   |             |        |   |       |   |    |            |   |   |                     |   |   |                |     |   |   |   |   |   |   |   |   |   |
| Net loss                                                                                                            |   |             | -           |   |       |   | -       |            |   |   | -                        |   |   |                | (11,014  | ) |   |   | - |   |   |   | (11,014 | ) |
|                                                                                                                |   |             |        |   |       |   |    |            |   |   |                     |   |   |                |     |   |   |   |   |   |   |   |   |   |
| Balance, December 31, 2006                                                                                          |   |             | 240,000,000 |   |       |   | 240,000 |            |   |   | (235,600                 | )      |   |                | (11,014  | ) |   |   | - |   |   |   | (6,614 | ) |
|                                                                                                                |   |             |        |   |       |   |    |            |   |   |                     |   |   |                |     |   |   |   |   |   |   |   |   |   |
| Issuance of common stock    for cash, June 30, 2007                                                  |   |             | 18,930,000  |   |       |   | 18,930  |            |   |   | 12,620                   |   |   |                | -        |   |   |   | - |   |   |   | 31,550 |   |
|                                                                                                                |   |             |        |   |       |   |    |            |   |   |                     |   |   |                |     |   |   |   |   |   |   |   |   |   |
| Issuance of common stock    for cash, July  23, 2007                                       |   |             | 12,000,000  |   |       |   | 12,000  |            |   |   | 8,000                    |   |   |                | -        |   |   |   | - |   |   |   | 20,000 |   |
|                                                                                                                |   |             |        |   |       |   |    |            |   |   |                     |   |   |                |     |   |   |   |   |   |   |   |   |   |
| Additional paid-in capital    in exchange for facilities    provided by related party |   |             | -           |   |       |   | -       |            |   |   | 2,400                    |   |   |                | -        |   |   |   | - |   |   |   | 2,400 |   |
|                                                                                                 |   |             |        |   |       |   |    |            |   |   |                     |   |   |                |     |   |   |   |   |   |   |   |   |   |
|                                                                                                                |   |             |        |   |       |   |    |            |   |   |                     |   |   |                |     |   |   |   |   |   |   |   |   |   |
| Net loss                                                                                                            |   |             | -           |   |       |   | -       |            |   |   | -                        |   |   |                | (69,026  | ) |   |   | - |   |   |   | (69,026 | ) |
|                                                                                                                |   |             |        |   |       |   |    |            |   |   |                     |   |   |                |     |   |   |   |   |   |   |   |   |   |
| Balance, December 31, 2007                                                                                          |   |             | 270,930,000 |   |       |   | 270,930 |            |   |   | (212,580                 | )      |   |                | (80,040  | ) |   |   | - |   |   |   | (21,690 | ) |
|                                                                                                                |   |             |        |   |       |   |    |            |   |   |                     |   |   |                |     |   |   |   |   |   |   |   |   |   |
| Additional paid-in capital    in exchange for facilities    provided by related party |   |             | -           |   |       |   | -       |            |   |   | 2,400                    |   |   |                | -        |   |   |   | - |   |   |   | 2,400 |   |
|                                                                                                 |   |             |        |   |       |   |    |            |   |   |                     |   |   |                |     |   |   |   |   |   |   |   |   |   |
|                                                                                                                |   |             |        |   |       |   |    |            |   |   |                     |   |   |                |     |   |   |   |   |   |   |   |   |   |
| Net loss                                                                                                            |   |             | -           |   |       |   | -       |            |   |   | -                        |   |   |                | (48,345  | ) |   |   | - |   |   |   | (48,345 | ) |
|                                                                                                                |   |             |        |   |       |   |    |            |   |   |                     |   |   |                |     |   |   |   |   |   |   |   |   |   |
| Balance, December 31, 2008                                                                                          |   |             | 270,930,000 |   |       |   | 270,930 |            |   |   | (210,180                 | )      |   |                | (128,385 | ) |   |   | - |   |   |   | (67,635 | ) |
|                                                                                                                |   |             |        |   |       |   |    |            |   |   |                     |   |   |                |     |   |   |   |   |   |   |   |   |   |
|                                                                                                                |   |             |        |   |       |   |    |            |   |   |                     |   |   |                |     |   |   |   |   |   |   |   |   |   |
|                                                                                                                |   |             |        |   |       |   |    |            |   |   |                     |   |   |                |     |   |   |   |   |   |   |   |   |   |

----

|                                                                                                                     |   | Common Stock *   |         |   | Additional    |   |     |                 |   |   | DeficitAccumulatedDuring |    |   | Total Stockholders' |     |
|--------------------------------------------------------------------------------------------------------------------------|--------|------------------|--------------|--------|---------------|--------|----------|----------------------|--------|--------|--------------------------|---------|--------|---------------------|----------|
|                                                                                                                     |   | Number of Shares |         |   | Amount        |   |     | Paid-In Capital |   |   | Accumulated Deficit      |    |   | Exploration Stage   |     |   | Equity (Deficit) |   |
| Additional paid-in capital    in exchange for facilities    provided by related party      |   |             | -            |   |          |   | -        |                 |   |   | 2,400                    |    |   |                | -        |   |   |   | - |   |   |   | 2,400 |   |
|                                                                                                                     |   |             |         |   |          |   |     |                 |   |   |                     |    |   |                |     |   |   |   |   |   |   |   |   |   |
| Net loss                                                                                                                 |   |             | -            |   |          |   | -        |                 |   |   | -                        |    |   |                | (45,207  | ) |   |   | - |   |   |   | (45,207 | ) |
|                                                                                                                     |   |             |         |   |          |   |     |                 |   |   |                     |    |   |                |     |   |   |   |   |   |   |   |   |   |
| Balance, December 31, 2009                                                                                               |   |             | 270,930,000  |   |          |   | 270,930  |                 |   |   | (207,780                 | )       |   |                | (173,592 | ) |   |   | - |   |   |   | (110,442 | ) |
|                                                                                                                     |   |             |         |   |          |   |     |                 |   |   |                     |    |   |                |     |   |   |   |   |   |   |   |   |   |
| Additional paid-in capital    in exchange for facilities    provided by related party      |   |             | -            |   |          |   | -        |                 |   |   | 2,400                    |    |   |                | -        |   |   |   | - |   |   |   | 2,400 |   |
|                                                                                                                     |   |             |         |   |          |   |     |                 |   |   |                     |    |   |                |     |   |   |   |   |   |   |   |   |   |
| Discount to notes payable from warrants                                                                                  |   |             | -            |   |          |   | -        |                 |   |   | 172,500                  |    |   |                | -        |   |   |   | - |   |   |   | 172,500 |   |
|                                                                                                                     |   |             |         |   |          |   |     |                 |   |   |                     |    |   |                |     |   |   |   |   |   |   |   |   |   |
| Shares cancelled into treasury and retired                                                                               |   |             | (224,927,880 | )      |          |   | (224,928 | )                    |   |   | 224,928                  |    |   |                | -        |   |   |   | - |   |   |   | - |   |
|                                                                                                                     |   |             |         |   |          |   |     |                 |   |   |                     |    |   |                |     |   |   |   |   |   |   |   |   |   |
| Shares issued for cash                                                                                                   |   |             | 500,000      |   |          |   | 500      |                 |   |   | 499,500                  |    |   |                | -        |   |   |   | - |   |   |   | 500,000 |   |
|                                                                                                                     |   |             |         |   |          |   |     |                 |   |   |                     |    |   |                |     |   |   |   |   |   |   |   |   |   |
| Reclassification of derivative liability    from additional paid-in capital                                    |   |             |   -     |   |          |   |  -  |                 |   |   |  (637,185           | )  |   |                |  -  |   |   |   |  - |   |   |   |  (637,185 | ) |
|                                                                                                                     |   |             |         |   |          |   |     |                 |   |   |                     |    |   |                |     |   |   |   |   |   |   |   |   |   |
| Net loss                                                                                                                 |   |             | -            |   |          |   | -        |                 |   |   | -                        |    |   |                | (59,940  | ) |   |   | (1,034,359 | ) |   |   | (1,094,299 | ) |
|                                                                                                                     |   |             |         |   |          |   |     |                 |   |   |                     |    |   |                |     |   |   |   |   |   |   |   |   |   |
| Balance, December 31, 2010                                                                                               |   |             | 46,502,120   |   |          |   | 46,502   |                 |   |   | 54,363                   |    |   |                | (233,532 | ) |   |   | (1,034,359 | ) |   |   | 1,167,026 |   |
|                                                                                                                     |   |             |         |   |          |   |     |                 |   |   |                     |    |   |                |     |   |   |   |   |   |   |   |   |   |
| Additional paid-in capital    in exchange for facilities    provided by related party |   |             | -            |   |          |   | -        |                 |   |   | 2,400                    |    |   |                | -        |   |   |   | - |   |   |   | 2,400 |   |
|                                                                                                                     |   |             |         |   |          |   |     |                 |   |   |                     |    |   |                |     |   |   |   |   |   |   |   |   |   |
| Discount to notes payable from warrants                                                                                  |   |             | -            |   |          |   | -        |                 |   |   | 42,100                   |    |   |                | -        |   |   |   | - |   |   |   | 42,100 |   |
|                                                                                                                     |   |             |         |   |          |   |     |                 |   |   |                     |    |   |                |     |   |   |   |   |   |   |   |   |   |
| Net loss                                                                                                                 |   |             | -            |   |          |   | -        |                 |   |   | -                        |    |   |                | -        |   |   |   | 111,394 |   |   |   | 111,394 |   |
|                                                                                                                     |   |             |         |   |          |   |     |                 |   |   |                     |    |   |                |     |   |   |   |   |   |   |   |   |   |
| Balance, December 31, 2011                                                                                               |   |             | 46,502,120   |   |     | $      | 46,502   |                 |   | $      | 98,863                   |    |   | $                   | (233,532 | ) |   | $ | (922,965 | ) |   | $ | (1,011,132 | ) |
|                                                                                                                     |   |             |         |   |          |   |     |                 |   |   |                     |    |   |                |     |   |   |   |   |   |   |   |   |   |
|                                                                                                                     |   |             |         |   |          |   |     |                 |   |   |                     |    |   |                |     |   |   |   |   |   |   |   |   |   |
|                                                                                                                     |   |             |         |   |          |   |     |                 |   |   |                     |    |   |                |     |   |   |   |   |   |   |   |   |   |

----

|                                                                                                                |   | Common Stock *   |       |   | Additional    |    |   |                 |   |    | DeficitAccumulatedDuring |   |   | Total Stockholders' |     |
|---------------------------------------------------------------------------------------------------------------------|--------|------------------|------------|--------|---------------|---------|--------|----------------------|--------|---------|--------------------------|--------|--------|---------------------|----------|
|                                                                                                                |   | Number of Shares |       |   | Amount        |    |   | Paid-In Capital |   |    | Accumulated Deficit      |   |   | Exploration Stage   |     |   | Equity (Deficit) |   |
| Additional paid-in capital    in exchange for facilities    provided by related party |   |             | -          |   |          |    | -      |                 |   |    | 600                      |   |   |                | -        |   |   |   | - |   |   |   | 600 |   |
|                                                                                                                |   |             |       |   |          |    |   |                 |   |    |                     |   |   |                |     |   |   |   |   |   |   |   |   |   |
| Net loss                                                                                                            |   |             | -          |   |          |    | -      |                 |   |    | -                        |   |   |                | -        |   |   |   | (400,373 | ) |   |   | (400,373 | ) |
|                                                                                                                |   |             |       |   |          |    |   |                 |   |    |                     |   |   |                |     |   |   |   |   |   |   |   |   |   |
| Balance, March 31, 2012 (unaudited)                                                                                 |   |             | 46,502,120 |   |     | $  | 46,502 |                 |   | $  | 99,463                   |   |   | $              | (233,532 | ) |   | $  | (1,323,338 | ) |   | $  | (1,410,905 | ) |
|                                                                                                                |   |             |       |   |          |    |   |                 |   |    |                     |   |   |                |     |   |   |   |   |   |   |   |   |   |
|                                                                                                                |   |             |       |   |          |    |   |                 |   |    |                     |   |   |                |     |   |   |   |   |   |   |   |   |   |
|                                                                                                                |   |             |       |   |          |    |   |                 |   |    |                     |   |   |                |     |   |   |   |   |   |   |   |   |   |

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|                                                                                                                                                                                                                                         |          |   For the Three MonthsendedMarch 31, 2012 |          |   | For the Three MonthsendedMarch 31, 2011 |    |            | For the Periodfrom Inception(October 31, 2006)throughMarch 31, 2012 |   |
|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|---------------|------------------------------------------------|---------------|--------|-----------------------------------------|---------|-----------------|---------------------------------------------------------------------|--------|
| Cash flows from operating activities                                                                                                                                                                                                         |          |                                           |          |   |                                    |    |            |                                                                |   |
|     Net loss                                                                                                                                                                                                                  |     | $                                              | (400,373      | )      |                                    | $       | (2,570,033      | )                                                                   |   |   | (1,556,870 | ) |
|         Adjustments to reconcile net loss to net cash used          in operating activities                                                                  |          |                                           |          |   |                                    |    |            |                                                                |   |   |   |   |
|              Additional paid-in capital in exchange for facilities               provided by related party |          |                                           | 600           |   |                                    |    | 600             |                                                                |   |   | 13,000 |   |
|              Depreciation                                                                                                                                                             |          |                                           | 135           |   |                                    |    | 153             |                                                                |   |   | 2,858 |   |
|                  Forgiveness of accounts and note payable                                                                                                                   |          |                                           | -             |   |                                    |    | -               |                                                                |   |   | (75,781 | ) |
|                  Amortization of debt discount                                                                                                                    |          |                                           | -             |   |                                    |    | 600,000         |                                                                |   |   | 600,000 |   |
|                  Fair value of warrants                                                                                                                           |          |                                           | -             |   |                                    |    | -               |                                                                |   |   | 172,500 |   |
|                   Loss on derivative liability                                                                                                               |          |                                           |  306,361 |   |                                    |    |  1,581,705 |                                                                |   |   |  (814,980 | )  |
|           Changes in operating assets and liabilities                                                                                                                                           |          |                                           | -             |   |                                    |    | -               |                                                                |   |   | - |   |
|           Increase in accounts payable and accrued interest                                                                                                                                |          |                                           | 67,193        |   |                                    |    | 29,405          |                                                                |   |   | 279,164 |   |
|                                                                                                                                                                                                                                         |          |                                           |          |   |                                    |    |            |                                                                |   |   |   |   |
|        Net cash used in operating activities                                                                                                                                                              |          |                                           | (26,084       | )      |                                    |    | (358,170        | )                                                                   |   |   | (1,380,109 | ) |
|                                                                                                                                                                                                                                         |          |                                           |          |   |                                    |    |            |                                                                |   |   |   |   |
| Cash flows from investing activities                                                                                                                                                                                                         |          |                                           |          |   |                                    |    |            |                                                                |   |   |   |   |
|     Purchase of property and equipment                                                                                                                                                                                        |          |                                           | -             |   |                                    |    | -               |                                                                |   |   | (3,056 | ) |
|     Purchase of unproven mineral properties                                                                                                                                                                                   |          |                                           | -             |   |                                    |    | -               |                                                                |   |   | (244,910 | ) |
|                                                                                                                                                                                                                                         |          |                                           |          |   |                                    |    |            |                                                                |   |   |   |   |
|        Net cash used by investing activities                                                                                                                                                              |          |                                           | -             |   |                                    |    | -               |                                                                |   |   | (247,966 | ) |
|                                                                                                                                                                                                                                         |          |                                           |          |   |                                    |    |            |                                                                |   |   |   |   |
| Cash flows from financing activities                                                                                                                                                                                                         |          |                                           |          |   |                                    |    |            |                                                                |   |   |   |   |
|     Payments on notes payable                                                                                                                                                                                                 |          |                                           | (50,000       | )      |                                    |    | (50,000         | )                                                              |   |   | (150,000 | ) |
|     Proceeds from issuance of notes payable                                                                                                                                                                                   |          |                                           | 95,000        |   |                                    |    | 600,000         |                                                                |   |   | 1,235,000 |   |
|     Proceeds from issuance of loans                                                                                                                                                                                           |          |                                           | -             |   |                                    |    | -               |                                                                |   |   | 17,000 |   |
|     Proceeds from issuance of common stock                                                                                                                                                                                    |          |                                           | -             |   |                                    |    | -               |                                                                |   |   | 555,550 |   |
|                                                                                                                                                                                                                                         |          |                                           |          |   |                                    |    |            |                                                                |   |   |   |   |
|        Net cash provided by financing activities                                                                                                                                                          |          |                                           | 45,000        |   |                                    |    | 550,000         |                                                                |   |   | 1,657,550 |   |
|                                                                                                                                                                                                                                         |          |                                           |          |   |                                    |    |            |                                                                |   |   |   |   |
| Net increase (decrease) in cash                                                                                                                                                                                                              |          |                                           | 18,916        |   |                                    |    | 191,830         |                                                                |   |   | 29,475 |   |
|                                                                                                                                                                                                                                         |          |                                           |          |   |                                    |    |            |                                                                |   |   |   |   |
| Cash, beginning of period                                                                                                                                                                                                                    |          |                                           | 10,559        |   |                                    |    | 415,425         |                                                                |   |   | - |   |
|                                                                                                                                                                                                                                         |          |                                           |          |   |                                    |    |            |                                                                |   |   |   |   |
| Cash, end of period                                                                                                                                                                                                                          |          | $                                              | 29,475        |   |                                    | $       | 607,253         |                                                                |   | $ | 29,475 |   |
|                                                                                                                                                                                                                                         |          |                                           |          |   |                                    |    |            |                                                                |   |   |   |   |
| Supplemental disclosure of cash flow   information                                                                                                                                                                            |          |                                           |          |   |                                    |    |            |                                                                |   |   |   |   |
|     Income taxes paid                                                                                                                                                                                                         |          | $                                              | -             |   |                                    | $       | -               |                                                                |   | $ | - |   |
|                                                                                                                                                                                                                                         |          |                                           |          |   |                                    |    |            |                                                                |   |   |   |   |
|     Interest paid                                                                                                                                                                                                             |          | $                                              | -             |   |                                    | $       | -               |                                                                |   | $ | 7,016 |   |
|                                                                                                                                                                                                                                         |          |                                           |          |   |                                    |    |            |                                                                |   |   |   |   |
|     Non-cash transaction for unproven mineral properties        and assignment of note payable                                                                                             |          | $                                              | -             |   |                                    | $       | -               |                                                                |   | $ | 950,000 |   |
|     Reclassification of derivative liability from paid-in capital                                                                                                                                                             |          | $                                         |  -       |   |                                    | $  |  -         |                                                                |   | $  |  637,185 |   |
|     Debt discount from warrants                                                                                                                                                                                               |          | $                                         |  -       |   |                                    | $  |  42,100    |                                                                |   | $  |  214,600 |   |

----

----

----

----

| (i)          | a mineral lease and option to purchase agreement between KMR and Cliff ZZ L.L.C., which provides that  Cliff ZZ L.L.C shall lease certain patented mining claims located in Esmeralda and Nye Counties, Nevada, including the Tonopah Extension Mine, to KMR, and that KMR shall have the option to acquire ownership of those claims (the “Tonopah Extension Mine”), and |
|------------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|  (ii)   | a mining lease between KMR and Rubicon Resources, Inc., which provides that KMR shall own the exclusive rights to explore, develop and mine certain unpatented mining claims located in Eureka County, Nevada (“Golden Trend Property”).                                                                                                                                            |

----

|   | Period ending March 31 |   | Amount |     |
|--------|----------------------------------|--------|--------|----------|
|   | 2012                             |   | $      | 150,000  |   |
|   | 2013                             |   |   | 200,000  |   |
|   | 2014                             |   |   | 250,000  |   |
|   | 2015                             |   |   | 200,000  |   |
|   |                             |   |   | 800,000  |   |
|   | Less: current portion            |   |   | (150,000 | )  |
|   | Long Term                        |   | $      | 650,000  |   |

----

|   | Risk-free interest rate                          |  0.25% to 0.41% |   |
|--------|--------------------------------------------------|----------------------|--------|
|   | Expected volatility of common stock              |  100.0%         |   |
|   | Dividend yield                                   |  0.00%          |   |
|   | Expected life of warrants and conversion feature | 5 years              |   |

----

|   | Level 1 | Unadjusted quoted prices in active markets that are accessible at the measurement date for identical, unrestricted assets or liabilities;                                   |
|--------|---------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|   | Level 2 | Quoted prices in markets that are not active, or inputs that are observable, either directly or indirectly, for substantially the full term of the asset or liability; and  |
|   | Level 3 | Prices or valuation techniques that require inputs that are both significant to the fair value measurement and unobservable (supported by little or no market activity).         |

|   |                                                        |   | Total  |      |   | Level 1 |   |   | Level 2 |   |   | Level 3 |   |
|--------|-------------------------------------------------------------|--------|--------|-----------|--------|---------|--------|--------|---------|--------|--------|---------|--------|
|   | LIABILITIES:                                                |   |   |      |   |    |   |   |    |   |   |    |   |
|   |                                                        |   |   |      |   |    |   |   |    |   |   |    |   |
|   |                                                        |   |   |      |   |    |   |   |    |   |   |    |   |
|   | Conversion option liability at December 31, 2010            |   |   | 1,267,818 |   |    |   | -      |    |   |   | -       |   |   |   | 1,267,818 |   |
|   |                                                        |   |   |      |   |    |   |   |    |   |   |    |   |
|   | Conversion option liability at December 31,  2011 |   |   | 73,744    |   |    |   | -      |    |   |   | -       |   |   |   | 73,744 |   |
|   |                                                        |   |   |      |   |    |   |   |    |   |   |    |   |
|   | Conversion option liability at March 31,  2012    |   |   | 380,105   |   |    |   | -      |    |   |   | -       |   |   |   | 380,105 |   |
|   |                                                        |   |   |      |   |    |   |   |    |   |   |    |   |   |   |   |   |

----

|   | Initial recognition of debt derivative from issuance of    August 13, 2010, $500,000 convertible note  |  $ | 637,185     |   |
|--------|----------------------------------------------------------------------------------------------------------------------------|---------|-------------|--------|
|   |                                                                                                                       |    |        |   |
|   | Increase in fair value of debt derivative                                                                                  |    | 630,633     |   |
|   |                                                                                                                       |    |        |   |
|   | Ending balance as of December  31, 2010                                                                          |  $ | 1,267,818   |   |
|   |                                                                                                                       |    |        |   |
|   | Initial recognition of debt derivative from issuance of    January 19, 2011, $100,000 convertible note |    | 238,572     |   |
|   |                                                                                                                       |    |        |   |
|   | Initial recognition of debt derivative from issuance of    March 17, 2011, $500,000 convertible note   |    | 2,024,721   |   |
|   |                                                                                                                       |    |        |   |
|   | Decrease in fair value of debt derivative                                                                                  |    | (123,689)   |   |
|   |                                                                                                                       |    |        |   |
|   | Ending balance as of March 31, 2011                                                                                   |  $ | 3,407,422   |   |
|   |                                                                                                                       |    |        |   |
|   | Decrease in fair value of debt derivative                                                                                  |    | (1,911,369) |   |
|   |                                                                                                                       |    |        |   |
|   | Ending balance as of June 30, 2011                                                                                    |  $ | 1,496,053   |   |
|   |                                                                                                                       |    |        |   |
|   | Decrease in fair value of debt derivative                                                                                  |    | (860,042)   |   |
|   |                                                                                                                       |    |        |   |
|   | Ending balance as of September 30, 2011                                                                               |  $ | 636,011     |   |
|   |                                                                                                                       |    |        |   |
|   | Decrease in fair value of debt derivative                                                                                  |    | (562,267)   |   |
|   |                                                                                                                       |    |        |   |
|   | Ending balance as of December 31, 2011                                                                                |  $ | 73,744      |   |
|   |                                                                                                                       |    |        |   |
|   | Increase in fair value of debt derivative                                                                                  |    | 306,361     |   |
|   |                                                                                                                       |    |        |   |
|   | Ending balance as of March 31, 2012                                                                                   |  $ | 380,105     |   |
|   |                                                                                                                       |    |        |   |

----

----

|   |                          |   | Number ofWarrants |      |   | WeightedAverageExercisePrice |   | WeightedAverageRemainingContract Term |   |
|--------|-------------------------------|--------|-------------------|-----------|--------|------------------------------|--------|---------------------------------------|--------|
|   | Outstanding December 31, 2011 |   |              | 1,600,000 |   |                         | $      | 0.71                                  |   | 3.6 years |   |
|   | Issued                        |   |              | -         |   |                         |   | -                                     |   |   |   |
|   | Exercised                     |   |              | -         |   |                         |   | -                                     |   |   |   |
|   | Outstanding March 31, 2012    |   |              | 1,600,000 |   |                         | $      | 0.71                                  |   | 3.3 years |   |
|   | Exercisable, March 31, 2012   |   |              | 1,600,000 |   |                         | $      | 0.71                                  |   | 3.3 years |   |
|   |                          |   |              |      |   |                         |   |                                  |   |   |   |

|   | Conversion of notes payable       | 2,200,000 |   |
|--------|-----------------------------------|-----------|--------|
|   | Warrants                          | 1,600,000 |   |
|   | Reserved shares at March 31, 2012 | 3,800,000 |   |

----

----

|   |                                 |   | 2012   |     |
|--------|--------------------------------------|--------|--------|----------|
|   |                                 |   |   |     |   |
|   | Federal net operating loss (@ 34%)   |   | $      | 530,000  |   |
|   | Less:  valuation allowance |   |   | (530,000 | ) |
|   |                                 |   |   |     |   |
|   | Net deferred tax asset               |   | $      | ---      |   |

----

----

Item 2.  Management’s Discussion and Analysis of Financial Condition and Results of Operations.

----

----

Item 3. Quantitative and Qualitative Disclosures about Market Risk.

----

Item 4. Controls and Procedures.

Item 1. Legal Proceedings.

Item 1A. Risk Factors.

Item 2. Unregistered Sales of Equity Securities and Use of Proceeds.

Item 3.  Defaults Upon Senior Securities.

Item 4.  Mine Safety Disclosures.

Item 5.  Other Information.

----

Item 6.  Exhibits.

| 31*       | Certification of Principal Executive and Financial Officer, pursuant to Rule 13a-14 and 15d-14 of the Securities Exchange Act of 1934                                     |
|-----------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| 32*       | Certification of Principal Executive and Financial Officer, pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002 |
| 101.ins** | Instant Document                                                                                                                                                               |
| 101.sch** | XBRL Taxonomy Schema Document                                                                                                                                                  |
| 101.cal** | XBRL Taxonomy Calculation Linkbase Document                                                                                                                                    |
| 101.def** | XBRL Taxonomy Definition Linkbase Document                                                                                                                                     |
| 101.lab** | XBRL Taxonomy Label Linkbase Document                                                                                                                                          |
| 101.pre** | XBRL Taxonomy Presentation Linkbase Document                                                                                                                                   |

----

|                 | Coyote Resources, Inc.,a Nevada corporation |                                                                                                |
|----------------------|---------------------------------------------|-----------------------------------------------------------------------------------------------------|
|                 |                                        |                                                                                                |   |
| Date: April 16, 2013 | By:                                         | /s/ Guy Martin                                                                                 |   |
|                 |                                        | Guy MartinPresident, Secretary and Treasurer(Principal Executive, Financial and Accounting Officer) |   |

----