UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 10-Q  
ý
QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE
  
SECURITIES EXCHANGE ACT OF 1934
For the quarterly period ended September 30, 2013
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 number 000-54136
CONTANGO ORE, INC.
(Exact name of registrant as specified in its charter)
 
DELAWARE
 
27-3431051
(State or other jurisdiction of
incorporation or organization)
 
(IRS Employer
Identification No.)
 
3700 BUFFALO SPEEDWAY, SUITE 925
HOUSTON, TEXAS 77098
(Address of principal executive offices)
(713) 877-1311
(Registrant’s telephone number, including area code)
Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.     Yes   ý     No   ¨
Indicate by check mark whether the registrant has submitted electronically and posted on its corporate website, 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   ý     No   ¨
Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, or a smaller reporting company. See the definitions of “large accelerated filer”, “accelerated filer” and “smaller reporting company” in Rule 12b-2 of the Exchange Act. (Check one):  
 
 
 
 
 
 
 
Large accelerated filer     ¨
 
Accelerated filer     ¨
  
Non-accelerated filer     ¨
 
Smaller reporting company     x
Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).    Yes   ¨     No   ý
The total number of shares of common stock, par value $0.01 per share, outstanding as of November 11, 2013 was 3,750,394.

1



CONTANGO ORE, INC.
(An Exploration Stage Company)
QUARTERLY REPORT ON FORM 10-Q
FOR THE THREE MONTHS ENDED SEPTEMBER 30, 2013
TABLE OF CONTENTS
 
 
 
 
 
 
Page
 
PART I – FINANCIAL INFORMATION
Item 1.
Financial Statements
 
 
Balance Sheets (unaudited) as of September 30, 2013 and June 30, 2013
 
Statements of Operations (unaudited) for the three months ended September 30, 2013 and 2012 and from Inception (October 15, 2009) to September 30, 2013
 
Statements of Cash Flows (unaudited) for the three months ended September 30, 2013 and 2012 and from Inception (October  15, 2009) to September 30, 2013
 
Statement of Shareholders’ Equity (unaudited) for the three months ended September 30, 2013
 
Notes to the Financial Statements (unaudited)
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
 
PART II – OTHER INFORMATION
 
Item 1.
Legal Proceedings
Item 1A.
Risk Factors
Item 2.
Unregistered Sales of Equity Securities and Use of Proceeds
Item 4.
Mine Safety Disclosures
Item 5.
Other Information
Item 6.
Exhibits
All references in this Form 10-Q to the “Company”, “CORE”, “we”, “us” or “our” are to Contango ORE, Inc.


2



CONTANGO ORE, INC.
(An Exploration Stage Company)
BALANCE SHEETS
(Unaudited)
  Item 1 - Financial Statements
 
 
2013
 
 
September 30,
 
June 30,
ASSETS
 
 
 
 
CURRENT ASSETS:
 
 
 
 
Cash
 
$
9,324,614

 
$
13,027,932

Prepaid expenses and other
 
168,197

 
102,532

Total current assets
 
9,492,811

 
13,130,464

PROPERTY, PLANT AND EQUIPMENT:
 
 
 
 
Mineral properties
 
1,208,886

 
1,208,886

Accumulated depreciation, depletion and amortization
 

 

Total property, plant and equipment, net
 
1,208,886

 
1,208,886

OTHER ASSETS:
 
 
 
 
Other
 
225,000

 
225,000

Total other assets
 
225,000

 
225,000

TOTAL ASSETS
 
$
10,926,697

 
$
14,564,350

 
 
 
 
 
LIABILITIES AND SHAREHOLDERS’ EQUITY
 
 
 
 
CURRENT LIABILITIES:
 
 
 
 
Accounts payable
 
$
3,965,586

 
$
1,656,074

Accrued liabilities
 
4,898

 
94,287

Total current liabilities
 
3,970,484

 
1,750,361

COMMITMENTS AND CONTINGENCIES (NOTE 11)
 
 
 
 
SHAREHOLDERS’ EQUITY:
 
 
 
 
Common Stock, $0.01 par value, 30,000,000 shares authorized; 3,750,394 shares issued and outstanding at September 30, 2013;
3,750,934 shares issued and outstanding at June 30, 2013
 
37,504

 
37,504

Additional paid-in capital
 
31,346,837

 
31,025,660

Accumulated deficit during exploration stage
 
(24,428,128
)
 
(18,249,175
)
SHAREHOLDERS’ EQUITY
 
6,956,213

 
12,813,989

TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY
 
$
10,926,697

 
$
14,564,350

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

3



CONTANGO ORE, INC.
(An Exploration Stage Company)
STATEMENTS OF OPERATIONS
(Unaudited)
 
 
Three Months Ended September 30,
 
 
Period from
Inception
(October 15, 2009)
 
 
2013
 
2012
 
 
to September 30, 2013
EXPENSES:
 
 
 
 
 
 
 
Claim rentals and minimum royalties
 
$
60,631

 
$
67,605

 
 
$
904,997

Exploration expense
 
5,531,559

 
3,740,011

 
 
20,248,229

Stock-based compensation expense
 
252,592

 
226,162

 
 
1,642,325

General and administrative expense
 
334,171

 
202,978

 
 
1,632,577

Total expenses
 
6,178,953

 
4,236,756

 
 
24,428,128

NET LOSS
 
$
(6,178,953
)
 
$
(4,236,756
)
 
 
$
(24,428,128
)
LOSS PER SHARE
 
 
 
 
 
 
 
Basic and diluted
 
$
(1.65
)
 
$
(1.71
)
 
 
$
(11.72
)
WEIGHTED AVERAGE COMMON SHARES OUTSTANDING
 
 
 
 
 
 
 
Basic and diluted
 
3,750,394

 
2,480,269

 
 
2,084,811

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

4



CONTANGO ORE, INC.
(An Exploration Stage Company)
STATEMENTS OF CASH FLOWS
(Unaudited)
 
 
 
Three Months Ended
September 30,
 
Period from
Inception
(October 15, 2009)
 
 
2013
 
2012
 
to September 30, 2013
CASH FLOWS FROM OPERATING ACTIVITIES:
 
 
 
 
 
 
Net loss
 
$
(6,178,953
)
 
$
(4,236,756
)
 
$
(24,428,128
)
Adjustments to reconcile net loss to net cash used in operating activities:
 
 
 
 
 
 
Stock-based compensation
 
321,177

 
301,308

 
2,140,316

Changes in operating assets and liabilities:
 
 
 
 
 
 
Decrease (increase) in prepaid expenses
 
34,335

 
109,588

 
(68,197
)
Increase (decrease) in accounts payable and accrued liabilities
 
2,220,123

 
(769,411
)
 
3,970,484

Net cash used for operating activities
 
$
(3,603,318
)
 
$
(4,595,271
)
 
$
(18,385,525
)
CASH FLOWS FROM INVESTING ACTIVITIES:
 
 
 
 
 
 
Note Receivable from Tetlin Village
 
(100,000
)
 

 
(100,000
)
Acquisition of other assets
 

 

 
(225,000
)
Acquisition of properties
 

 

 
(1,208,886
)
Net cash used in investing activities
 
$
(100,000
)
 
$

 
$
(1,533,886
)
CASH FLOWS FROM FINANCING ACTIVITIES:
 
 
 
 
 
 
Shareholder’s contributions
 

 

 
6,784,272

Common stock and warrants issuance, net
 

 

 
22,459,753

Short-term borrowings
 

 

 
500,000

Repayment of short-term borrowings
 

 

 
(500,000
)
Net cash provided by financing activities
 
$

 
$

 
$
29,244,025

NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS
 
(3,703,318
)
 
(4,595,271
)
 
9,324,614

CASH AND CASH EQUIVALENTS, BEGINNING OF PERIOD
 
13,027,932

 
7,765,265

 

CASH AND CASH EQUIVALENTS, END OF PERIOD
 
$
9,324,614

 
$
3,169,994

 
$
9,324,614

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

5



CONTANGO ORE, INC.
(An Exploration Stage Company)
STATEMENT OF SHAREHOLDERS’ EQUITY
(Unaudited)
 
   
 
Common Stock
 
Additional
Paid-In
 
Accumulated
Deficit
Exploration
 
Total
Shareholders’
 
 
Shares
 
Amount
 
Capital
 
Stage
 
Equity
Balance at June 30, 2013
 
3,750,394

 
$
37,504

 
$
31,025,660

 
$
(18,249,175
)
 
$
12,813,989

Stock-based compensation





321,177




321,177

Net loss for the period







(6,178,953
)

(6,178,953
)
Balance at September 30, 2013
 
3,750,394

 
$
37,504

 
$
31,346,837

 
$
(24,428,128
)
 
$
6,956,213

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

6



CONTANGO ORE, INC.
(An Exploration Stage Company)
NOTES TO FINANCIAL STATEMENTS - (Unaudited)
1. Organization and Business
Contango ORE, Inc. (“CORE” or the “Company”) is a Houston-based, exploration stage company. The Company was formed on September 1, 2010 as a Delaware corporation for the purpose of engaging in the exploration for (i) gold ore and associated minerals and (ii) rare earth elements in the state of Alaska.
On November 29, 2010, Contango Mining Company ("Contango Mining"), a wholly owned subsidiary of Contango Oil & Gas Company (“Contango”), assigned the Original Properties (defined below) and certain other assets and liabilities to Contango. Contango contributed the Original Properties and $3.5 million of cash to the Company, in exchange for approximately 1.6 million shares of the Company’s common stock. The above transactions occurred between companies under common control. Contango subsequently distributed the Company’s common stock to Contango’s stockholders. The Company had no operating history prior to the contribution of assets and liabilities by Contango. The financial statements of the Company include the financial position, results of operations, and cash flows of Contango Mining since Contango Mining’s inception on October 15, 2009 (the “Inception date” or the “Inception”). The equity structure (i.e. the number and type of equity interests issued) for periods prior to November 29, 2010, however, was retroactively adjusted to reflect the capital structure of the Company after November 29, 2010.
The Company is an exploration stage company as defined by Accounting Standards Codification (“ASC”) 915, “Development Stage Entities.” An investment in the Company involves a high degree of risk. Our fiscal year end is June 30.
The Original Properties contributed by Contango included: i) a 100% leasehold interest in approximately 675,000 acres (the “Tetlin Lease”) from the Tetlin Village Council, the council formed by the governing body for the Native Village of Tetlin, an Alaska Native Tribe (the "Tetlin Village Council"); ii) approximately 18,021 acres in unpatented mining claims from the state of Alaska for the exploration of gold ore and associated minerals and iii) approximately 3,440 acres in unpatented Federal mining claims for the exploration of rare earth elements (collectively, the "Original Properties”). If any of the Original Properties are placed into commercial production, the Company would be obligated to pay a 3.0% production royalty to Juneau Exploration, LP (“JEX”).
Effective December 1, 2012, the Company abandoned 97,280 acres in unpatented mining claims from the state of Alaska for the exploration of rare earth elements. These abandoned acres were also originally contributed by Contango.
In September 2012, the Company and JEX entered into an Advisory Agreement in which JEX will continue to provide assistance in acquiring additional properties in Alaska in exchange for a 2.0% production royalty on properties acquired after July 1, 2012 (any such properties, the "Additional Properties"). In August 2012, the Company staked an additional 31,736 acres consisting of 223 unpatented state of Alaska mining claims. In March 2013, the Company staked an additional 15,360 acres consisting of 96 unpatented state of Alaska mining claims, and in April 2013 the Company staked an additional 24,800 acres consisting of 155 unpatented State of Alaska mining claims, all in Eastern Alaska for the exploration of gold ore and associated minerals. If any of the Additional Properties are placed into commercial production, the Company would be obligated to pay JEX a 2.0% production royalty under the Advisory Agreement.
We have completed our fifth year of exploration efforts on the Original Properties, which has resulted in the discovery of the Peak Zone mineralization within the Chief Danny prospect area. We expect to learn the results of our 2013 exploration program by the end of calendar year 2013, after completion of post-season geological and geophysical work and analysis by our third-party engineers.
2. Basis of Presentation
The accompanying unaudited financial statements have been prepared in conformity with accounting principles generally accepted in the United States of America (“GAAP”) for interim financial information, pursuant to the rules and regulations of the Securities and Exchange Commission (“SEC”), including instructions to Form 10-Q and Article 8 of Regulation S-X. Accordingly, they do not include all the information and footnotes required by GAAP for complete annual financial statements. In the opinion of management, all adjustments considered necessary for a fair statement of the financial statements have been included. All such adjustments are of a normal recurring nature. The financial statements should be read in conjunction with the audited financial statements and notes included in the Company’s Form 10-K for the fiscal year ended June 30, 2013. The results of operations for the three months ended September 30, 2013 are not necessarily indicative of the results that may be expected for the fiscal year ending June 30, 2014.
 

7



Financial statements for the periods from October 15, 2009 to November 29, 2010 represent financial statements of Contango Mining. All assets and liabilities of Contango Mining contributed to the Company on November 29, 2010 were recorded at the carryover historical cost basis.
3. Summary of Significant Accounting Policies
The Company’s significant accounting policies are described below.
Management Estimates. The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates.
Cash Equivalents. Cash equivalents are considered to be highly liquid securities having an original maturity of 90 days or less at the date of acquisition.
Revenue Recognition. CORE has yet to realize any revenues. Expenses are presented on the accrual basis of accounting.
Mineral Properties. The amount capitalized includes costs paid to acquire mineral property interests as well as the costs paid for federal and state of Alaska unpatented mining claims. Exploration costs are expensed as incurred. Development costs are expensed as incurred until the Company obtains proven and probable reserves within its commercially minable properties. Costs of abandoned projects are charged to earnings upon abandonment. Any properties determined to be impaired are written-down to their estimated fair value. The Company periodically evaluates whether events or changes in circumstances indicate that the carrying value of mineral property interests and any related property, plant and equipment may not be recoverable.
Common Stock. Our certificate of incorporation authorizes us to issue up to 30,000,000 shares of common stock, par value $0.01 . As of September 30, 2013 , the Company had 3,750,394 shares of common stock issued and outstanding, all of which were fully paid and non-assessable. Holders of common stock are entitled to one vote for each share held of record on all matters to be voted on by stockholders and are not entitled to cumulative voting for the election of directors. Upon the liquidation, dissolution or winding up of our business, after payment of all liabilities and payment of preferential amounts to the holders of preferred stock, if any, the shares of common stock are entitled to share equally in our remaining assets. Pursuant to our certificate of incorporation, no stockholder has any preemptive rights to subscribe for our securities. The common stock is not subject to redemption. The Company’s equity structure for all periods prior to November 29, 2010 was retroactively adjusted to reflect the equity structure of the Company after November 29, 2010.
Stock-Based Compensation . The Company applies the fair value method of accounting for stock-based compensation. Under this method, compensation cost is measured at the grant date based on the fair value of the award and is recognized over the award vesting period. The Company classifies the benefits of tax deductions in excess of the compensation cost recognized for the options (excess tax benefit) as financing cash flows. The fair value of each award is estimated as of the date of grant using the Black-Scholes option-pricing model.
Reclassifications. Certain prior period amounts have been reclassified to conform to current year presentation. These reclassifications were not material and had no effect on cash flows or net loss.
 
Income Taxes. The Company follows the liability method of accounting for income taxes under which deferred tax assets and liabilities are recognized for the future tax consequences of (i) temporary differences between the tax basis of assets and liabilities and their reported amounts in the financial statements and (ii) operating loss and tax credit carry-forwards for tax purposes. Deferred tax assets are reduced by a valuation allowance when, based upon management’s estimates, it is more likely than not that a portion of the deferred tax assets will not be realized in a future period. The Company recognized a full valuation allowance as of September 30, 2013 and June 30, 2013 and has not recognized any tax provision or benefit for any of the periods. The Company reviews its tax positions quarterly for tax uncertainties. The Company did not have any uncertain tax positions as of September 30, 2013 or June 30, 2013.
Recently Issued Accounting Pronouncements
We have reviewed all recently issued, but not yet effective, accounting pronouncements and do not believe that the future adoption of any such pronouncements will cause a material impact on our financial condition or the results of our operations.



8



4. Costs Incurred
Costs to acquire and explore the Original Properties and Additional Properties were as follows:  
 
 
Three Months Ended
September 30,
 
Period from
Inception
(October 15, 2009)
 
 
2013
2012
 
 to September 30, 2013
Acquisition of mineral interests
 
$

$

 
$
1,208,886

Exploration costs, claim rentals, and minimum royalties
 
5,592,190

3,807,616

 
21,153,226

Total costs incurred
 
$
5,592,190

$
3,807,616

 
$
22,362,112


The Tetlin Lease has a ten year term beginning July 2008 with an option to renew for an additional ten years, or so long as we initiate and continue conducting mining operations on the Tetlin Lease. Originally, the Tetlin Lease allowed us to only renew 50% of the acreage, but in December 2012, we paid the Tetlin Village Council $200,000 in exchange for removing this 50% restriction. We are now able to renew all 675,000 acres in 2018.
5. Prepaid Expenses & Other Current Assets
The Company has prepaid expenses and other current assets of $168,197 and $102,532 as of September 30, 2013 and June 30, 2013 , respectively. In August 2013, the Company loaned $100,000 to the Tetlin Village Council under a Promissory Note (the "Tetlin Note") for road improvements. Consistent with the terms of the Tetlin Note, the advance was repaid without interest on October 4, 2013. Prepaid expenses relate to prepaid insurance costs, claim rentals and certain geological consulting services and exploration activities conducted by Avalon Development Corporation ("Avalon"). In May 2013, the Company prepaid $40,000 of the $75,000 advance minimum royalty that is due to the Tetlin Village Council on July 15, 2014, as further explained in Note 11 - Commitments and Contingencies.
6. Other Assets
If the Tetlin Lease is placed into commercial production, the Company would be obligated to pay a production royalty to the Tetlin Village Council, which varies from 2.0% to 5.0% , depending on the type of metal produced and the year of production. In June 2011, the Company paid the Tetlin Village Council $75,000 in exchange for reducing the production royalty payable to them by 0.25% . In July 2011, the Company paid the Tetlin Village Council $150,000 in exchange for further reducing the production royalty by 0.50% . These payments lowered the production royalty payable to a range of 1.25% to 4.25% , depending on the type of metal produced and the year of production. On or before July 15, 2020, the Tetlin Village Council has the option to increase their production royalty by (i)  0.25% by payment to CORE of $150,000 , or (ii)  0.50% by payment to CORE of $300,000 , or (iii)  0.75% by payment to CORE of $450,000 . The Company has classified these payments as “Other Assets” in the financial statements of the Company.  













9



7. Loss Per Share
A reconciliation of the components of basic and diluted net loss per share of common stock is presented below:
 
Three Months Ended September 30,
 
2013
 
2012
 
Loss
 
Weighted Average Shares
 
Loss Per
Share
 
Loss
 
Weighted Average Shares
 
Loss Per
Share
Basic Loss per Share:
 
 
 
 
 
 
 
 
 
 
 
Net loss attributable to common stock
$
(6,178,953
)
 
3,750,394

 
$
(1.65
)
 
$
(4,236,756
)
 
2,480,269

 
$
(1.71
)
Diluted Loss per Share:
 
 
 
 
 
 
 
 
 
 
 
Net loss attributable to common stock
$
(6,178,953
)
 
3,750,394

 
$
(1.65
)
 
$
(4,236,756
)
 
2,480,269

 
$
(1.71
)
 
 
 
 
 
 
 
 
 
 
 
 
 
Period from Inception (October 15, 2009) to September 30, 2013
 
 
 
 
 
 
 
Loss
 
Weighted Average Shares
 
Loss Per
Share
 
 
 
 
 
 
Basic Loss per Share:
 
 
 
 
 
 
 
 
 
 
 
Net loss attributable to common stock
$
(24,428,128
)
 
2,084,811

 
$
(11.72
)
 
 
 
 
 
 
Diluted Loss per Share:
 
 
 
 
 
 
 
 
 
 
 
Net loss attributable to common stock
$
(24,428,128
)
 
2,084,811

 
$
(11.72
)
 
 
 
 
 
 
 
Options and warrants to purchase 1,692,666 shares of common stock were outstanding as of September 30, 2013, and options to purchase 150,000 shares of common stock were outstanding as of September 30, 2012. These options and warrants were not included in the computation of diluted earnings per share for each three month period and the period from inception to September 30, 2013, due to being anti-dilutive as a result of the Company’s net loss for all periods presented.
8. Shareholders’ Equity
The Company’s authorized capital stock consists of 30,000,000 shares of common stock and 15,000,000 shares of preferred stock. As of September 30, 2013 , we had 3,750,394 shares of common stock outstanding. We also had an additional 23,478 shares of restricted stock and 1,692,666 options and warrants to purchase shares of common stock outstanding. No shares of preferred stock have been issued. The remaining restricted stock outstanding will vest in November 2013.
On November 29, 2010, the Company issued approximately 1.6 million shares of common stock to Contango for distribution to Contango’s stockholders of record as of October 15, 2010 on the basis of one share of common stock for each ten shares of Contango’s common stock then outstanding in exchange for the contribution by Contango of all of the Original Properties, together with $3.5 million in cash to the Company pursuant to the terms of a Contribution Agreement between Contango and the Company (the “Contribution Agreement”). The Company’s equity structure for the periods prior to November 29, 2010 was retroactively adjusted to reflect the equity structure of the Company as of November 29, 2010.
2012 Private Placement
In March 2012, the Company completed selling 882,500 shares of Common Stock to accredited investors at a price of $10.00 per share in a private placement for total proceeds of approximately $8.8 million , including 400,000 shares that were purchased by Mr. Kenneth R. Peak, the Company’s then-Chairman. The placement agents used in connection with the transaction received aggregate placement fees and expenses of approximately $0.4 million . The Company used these proceeds to fund its 2012 exploration program in Alaska and for general corporate purposes. The shares of Common Stock sold were not registered under the Securities Act of 1933, as amended, but are subject to a Registration Rights Agreement allowing the shares to be registered by the holders at a future date.
2013 Private Placement
In March 2013, the Company completed the issuance and sale of an aggregate of 1,230,999 Units (“Units”) at a price of $12.00 per Unit with each Unit consisting of (i) one share of the Company's common stock, par value $0.01 per share and (ii) a five-year warrant to purchase one (1) share of Common Stock at $10.00 per share, in a private placement for total proceeds of approximately $14.1 million , including 83,333 shares that were purchased by Mr. Peak, the Company's then-Chairman, and 83,334 shares that were purchased by entities controlled by Mr. Brad Juneau, the Company's President and Chief Executive Officer. The placement agents used in connection with the transaction received aggregate placement fees and expenses of approximately $0.7

10



million . The Company will use these proceeds to fund its 2013 exploration program in Alaska and for general corporate purposes. The Units sold were not registered under the Securities Act of 1933, as amended, but the Common Stock issued in the offering and the shares of Common Stock issued upon exercise of the Warrants are subject to a Registration Rights Agreement allowing the shares to be registered by the holders at a future date.
The 1,230,999 warrants may, at any time on or after the date that is six months following the date of issuance, be exercised in whole or in part for the applicable number of shares. The fair value of each warrant was estimated as of the date of grant using the Black-Scholes option-pricing model with the following weighted average assumptions used: (i) risk-free interest rate of 0.39% ; (ii) expected life of 2.8 years ; (iii) expected volatility of 82.34% ; and (iv) expected dividend yield of 0 %.
Rights Plan
On December 19, 2012, the Company adopted a Rights Plan which was amended on March 21, 2013. Under the terms of the amended Rights Plan, each right (a "Right") will entitle the holder to buy 1/100 of a share of Series A Junior Preferred Stock of the Company (the “Preferred Stock”) at an exercise price of $80 per share. The Rights will be exercisable and will trade separately from the shares of common stock only if a person or group, other than the Estate of Mr. Kenneth R. Peak, acquires beneficial ownership of 20% or more of the Company's common stock.

Under the terms of the Rights Plan, Rights have been distributed as a dividend at the rate of one Right for each share of common stock that was held as of the close of business on December 20, 2012. Stockholders will not receive certificates for the Rights, but the Rights will become part of each share of common stock. An additional Right will be issued along with each share of common stock that is issued or sold by the Company after December 20, 2012. The Rights may only be exercised during a two-year period and are scheduled to expire on December 19, 2014.
9. Stock-Based Compensation
On September 15, 2010, the Company’s Board of Directors (the “Board”) adopted the Contango ORE, Inc. Equity Compensation Plan (the “2010 Plan”). Under the 2010 Plan, the Board may issue up to 1,000,000 shares of common stock and options to officers, directors, employees or consultants of the Company. Awards made under the 2010 Plan are subject to such restrictions, terms and conditions, including forfeitures, if any, as may be determined by the Board. As of September 30, 2013 , there were 23,478 restricted shares outstanding and options to purchase 461,667 shares of common stock outstanding issued under the 2010 Plan.
Stock-based compensation expense for the periods reflected was as follows:  
 
 
Three Months Ended
September 30,
 
Period from Inception (October 15, 2009)
 
 
2013
 
2012
 
 to September 30, 2013
Stock-based compensation included in:
 
 
 
 
 
 
Exploration expense (1)
 
$
68,585

 
$
75,146

 
$
497,991

Stock-based compensation expense  (2)
 
252,592

 
226,162

 
1,642,325

Total stock-based compensation expense
 
$
321,177

 
$
301,308

 
$
2,140,316

(1)  
Related to restricted stock and stock option awards to the Company’s technical consultant, the owner of Avalon and one Avalon employee.
(2)  
Related to restricted stock and stock option awards to the Company’s directors and employees.
The amount of compensation expense recognized does not reflect compensation actually received by the individuals, but rather represents the amount recognized by the Company in accordance with GAAP.
Restricted Stock. In November 2010, the Company granted 70,429 restricted shares of common stock to its officers and directors and an additional 23,477 restricted shares to its technical consultant. All shares of restricted stock vest over a three year period, beginning in November 2011, the one-year anniversary of when the restricted stock was issued. Compensation expense related to these shares will be recognized over the vesting period. As of September 30, 2013 , the total compensation cost related to nonvested awards not yet recognized was $18,194 . The remaining costs are expected to be recognized over the remaining vesting period of the awards.




11



Stock Options. The option awards listed in the table below have been granted to directors, officers, employees and consultants of the Company:
 
 
Option Awards
 
 
Period Granted
 
Options Granted
 
Weighted Average Exercise Price
 
Vesting Period
September 2011 (1)
 
50,000
 
$13.13
 
Vests over two years, beginning with one-third on the grant date.
July 2012 (2)
 
100,000
 
$10.25
 
Vests over two years, beginning with one-third on the grant date.
December 2012 (3)
 
250,000
 
$10.20
 
Vests over two years, beginning with one-third on the grant date.
June 2013 (4)
 
37,500
 
$10.00
 
Vested Immediately
July 2013 (5)
 
5,000
 
$10.00
 
Vested Immediately
September 2013 (6)
 
37,500
 
$10.01
 
Vested Immediately
September 2013 (6)
 
15,000
 
$10.01
 
Vests over two years, beginning with one-third on the grant date.

(1) The Company granted 40,000 stock options to its directors and officers and an additional 10,000 stock options to its technical consultant, the owner of Avalon, for services performed during fiscal year 2011.
(2) The Company granted 75,000 stock options to its directors and officers and an additional 25,000 stock options to its technical consultant for services performed during fiscal year 2012.
(3) The Company granted 175,000 stock options to its directors and an additional 75,000 stock options to its technical consultant for services performed during fiscal year 2013.
(4) The Company granted 37,500 stock options to its employees for services performed during fiscal year 2013.
(5) The Company granted 5,000 stock options to an employee of Avalon for services performed during fiscal year 2013.
(6) The Company granted 52,500 stock options to its employees for services performed during the first quarter of fiscal year 2014.
The Company applies the fair value method to account for stock option expense. Under this method, cash flows from the exercise of stock options resulting from tax benefits in excess of recognized cumulative compensation cost (excess tax benefits) are classified as financing cash flows. See Note 3 – Summary of Significant Accounting Policies. All employee stock option grants are expensed over the stock option’s vesting period based on the fair value at the date the options are granted. The fair value of each option is estimated as of the date of grant using the Black-Scholes options-pricing model. As of September 30, 2013 , the stock options had a weighted-average remaining life of 4 years. The the total compensation cost related to nonvested options not yet recognized as of September 30, 2013 was $513,911 .
A summary of the status of stock options granted under the 2010 Plan as of September 30, 2013 and changes during the three months then ended, is presented in the table below:  
 

Three Months Ended
September 30, 2013
 

Shares Under Options

Weighted Average Exercise Price
Outstanding, June 30, 2013

404,167


$10.49
Granted - July 2013 (1)

5,000


$10.00
Granted - September 2013 (2)

52,500


$10.01
Exercised




Forfeited




Outstanding, end of period

461,667


$10.43
Aggregate intrinsic value

$



Exercisable, end of period

303,333


$10.66
Aggregate intrinsic value

$



Available for grant, end of period

444,427



Weighted average fair value per share of options granted during the period

$
3.92



 

12



(1)  
The fair value of each option is estimated as of the date of grant using the Black-Scholes option-pricing model with the following weighted-average assumptions used for the July 2013 grant: (i) risk-free interest rate of 0.47% ; (ii) expected life of 2.5 years; (iii) expected volatility of 63.3% ; and (iv) expected dividend yield of 0% . The weighted average fair value per share for the options granted in July 2013 is $2.68 .

(2)  
The fair value of each option is estimated as of the date of grant using the Black-Scholes option-pricing model with the following weighted-average assumptions used for the September 2013 grant: (i) risk-free interest rate of 0.51% ; (ii) expected life of 2.6 years; (iii) expected volatility of 64.4% ; and (iv) expected dividend yield of 0% . The weighted average fair value per share for the options granted in September 2013 is $4.04 .
10. Related Party Transactions
In August 2012, Mr. Brad Juneau, the sole manager of the general partner of JEX, was appointed to the Board of Directors of the Company and appointed as President and Acting Chief Executive Officer of the Company following a medical leave of absence of our then-Chief Executive Officer, Mr. Peak. In December 2012, Mr. Juneau was elected President and Chief Executive Officer of the Company, and in April 2013, Mr. Juneau was elected Chairman upon the passing of Mr. Peak. JEX is a private company formed primarily for the purpose of generating natural gas and oil prospects. JEX was responsible for securing and negotiating the Tetlin Lease and assisting in obtaining the Original Properties and initially engaged Avalon to conduct mineral exploration activities on the Tetlin Lease. In agreeing to transfer its interests in the Original Properties to Contango Mining, a predecessor of the Company, JEX retained a 3.0% overriding royalty interest in the Original Properties transferred.
In September 2012, the Company and JEX entered into an Advisory Agreement in which JEX will continue to provide assistance in acquiring additional properties in Alaska in exchange for a production royalty of 2.0% on properties acquired after July 1, 2012.

The Company currently does not lease office space, but rather uses the corporate offices leased by JEX at 3700 Buffalo Speedway, Ste 925, Houston, TX 77098.
11. Commitments and Contingencies
Tetlin Lease . The Tetlin Lease has a ten year term beginning July 2008 with an option to renew for an additional ten years, or so long as we initiate and continue conducting mining operations on the Tetlin Lease. Originally, the Tetlin Lease allowed us to only renew 50% of the acreage, but in December 2012, we paid the Tetlin Village Council $200,000 in exchange for removing this 50% restriction. We are now able to renew all 675,000 acres in 2018.
Pursuant to the terms of the Tetlin Lease, the Company is required to spend $350,000 per year in exploration costs until July 15, 2018. However, the Company’s exploration expenditures to date have already satisfied this work commitment requirement for the full lease term, through 2018, because exploration funds spent in any year in excess of $350,000 are credited toward future years’ exploration cost requirements. Additionally, should we derive revenues from the properties covered under the Tetlin Lease, the Company is required to pay the Tetlin Village Council a production royalty ranging from 2.0% to 5.0% , depending on the type of metal produced and the year of production. As of September 30, 2013 , the Company has paid the Tetlin Village Council an aggregate of $225,000 in exchange for reducing the production royalty payable to it by 0.75% . These payments lowered the production royalty to a range of 1.25% to 4.25% . On or before July 15, 2020, the Tetlin Village Council has the option to increase its production royalty by (i)  0.25% by payment to CORE of $150,000 . (ii)  0.50% by payment to CORE of $300,000 , or (iii)  0.75% by payment to CORE of $450,000 . Until such time as production royalties begin, the Company pays the Tetlin Village Council an advance minimum royalty each year. On July 15, 2012, the advance minimum royalty increased from $50,000 to $75,000 per year, and after July 15, 2013, the advance minimum royalty is escalated by an inflation adjustment.
Gold Exploration. The Company’s Triple Z, TOK/Tetlin, Eagle, Bush and ADC 2 claims are all located on state of Alaska lands. The annual claim rentals on these projects total $58,765 per year, and are due and payable in full by November 30 of each year. The Company has met the annual labor requirements for the state of Alaska acreage for the next four years, which is the maximum time allowable by Alaska law.
REE Exploration . The Company’s Stone Rock and Salmon Bay claims are both located on Federal land. The claim rentals on these two projects total $24,080 per year, and are due and payable in full by August 31 of each year. Effective December 1, 2012, the Company abandoned its state of Alaska claims to devote more time and resources to its Stone Rock and Salmon Bay projects and its gold exploration.
JEX Royalties . We will also pay JEX a production royalty of 3.0% should we derive revenues from any of the Original Properties, or a production royalty of 2.0% should we derive revenues from any of the Additional Properties that JEX helped to acquire.

In connection with acquiring all the assets and liabilities of Contango Mining, the Company has assumed any claims, litigation

13



or disputes pending as of the effective date on any matters arising in connection with ownership of the Original Properties prior to the effective date. The Company is not aware of any legal, environmental or other commitments or contingencies that would have a material effect on the Company's financial position or results of operations.

13. Subsequent Events

Ms. Leah Gaines was appointed Vice President, Chief Financial Officer, Chief Accounting Officer, Treasurer and Secretary of the Company as of October 1, 2013. The appointment of Ms. Gaines follows the resignation of Mr. Sergio Castro and Ms. Yaroslava Makalskaya, as a result of the merger between Contango Oil & Gas Company and Crimson Exploration Inc. Mr. Sergio Castro and Ms. Yaroslava Makalskaya are officers of Contango Oil & Gas Company where they have increased responsibilities after the merger.
Available Information
General information about us can be found on our website at www.contangoore.com. Our annual reports on Form 10-K, quarterly reports on Form 10-Q and current reports on Form 8-K, as well as any amendments and exhibits to those reports, are available free of charge through our website as soon as reasonably practicable after we file or furnish them to the Securities and Exchange Commission (“SEC”).
Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations
The following discussion and analysis of our financial condition and results of operations should be read in conjunction with the financial statements and the accompanying notes and other information included elsewhere in this Form 10-Q and in our Form 10-K for the fiscal year ended June 30, 2013, previously filed with the SEC.
Cautionary Statement about Forward-Looking Statements
Some of the statements made in this report may contain “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, and Section 21E of the Securities Exchange Act of 1934, as amended. The words and phrases “should be”, “will be”, “believe”, “expect”, “anticipate”, “estimate”, “forecast”, “goal” and similar expressions identify forward-looking statements and express our expectations about future events. These include such matters as:
Our financial position
Business strategy, including outsourcing
Meeting our forecasts and budgets
Anticipated capital expenditures
Prices of gold and rare earth elements
Timing and amount of future discoveries (if any) and production of natural resources
Operating costs and other expenses
Cash flow and anticipated liquidity
Prospect development
New governmental laws and regulations
Although we believe the expectations reflected in such forward-looking statements are reasonable, such expectations may not occur. These forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause our actual results, performance or achievements to be materially different from future results expressed or implied by the forward-looking statements. These factors include among others:
Ability to raise capital to fund capital expenditures
Operational constraints and delays
The risks associated with exploring in the mining industry
The timing and successful discovery of natural resources
Availability of capital and the ability to repay indebtedness when due
Low and/or declining prices for gold and rare earth elements
Price volatility for natural resources
Availability of operating equipment
Operating hazards attendant to the mining industry
Weather
The ability to find and retain skilled personnel
Restrictions on mining activities
Legislation that may regulate mining activities

14



Impact of new and potential legislative and regulatory changes on mining operating and safety standards
Uncertainties of any estimates and projections relating to any future production, costs and expenses.
Government subsidies to our competitors
Timely and full receipt of sale proceeds from the sale of any of our mined products (if any)
Interest rate volatility
Federal and state regulatory developments and approvals
Availability and cost of material and equipment
Actions or inactions of third-parties
Potential mechanical failure or under-performance of facilities and equipment
Environmental risks
Strength and financial resources of competitors
Worldwide economic conditions
Expanded rigorous monitoring and testing requirements
Ability to obtain insurance coverage on commercially reasonable terms
You should not unduly rely on these forward-looking statements in this report, as they speak only as of the date of this report. Except as required by law, we undertake no obligation to publicly release any revisions to these forward-looking statements to reflect events or circumstances occurring after the date of this report or to reflect the occurrence of unanticipated events. See the information under the heading “Risk Factors” in this Form 10-Q for some of the important factors that could affect our financial performance or could cause actual results to differ materially from estimates contained in forward-looking statements.
Overview
We are a Houston-based company, whose primary business is to explore in the state of Alaska for (i) gold ore and associated minerals, and (ii) rare earth elements. As of November 11, 2013 we had leased or had control over Federal and state of Alaska properties totaling approximately 768,357 acres for the exploration of gold ore and associated minerals and rare earth elements. We anticipate that from time to time we will acquire additional acreage in Alaska for the exploration of gold ore and associated minerals and rare earth elements through leases or obtaining additional mining claims.
Background
Contango Mining Company (“Contango Mining”), a wholly owned subsidiary of Contango Oil & Gas Company (“Contango”), was formed on October 15, 2009 for the purpose of engaging in exploration in the state of Alaska for (i) gold ore and associated minerals and (ii) rare earth elements. Contango Mining initially acquired a 50% interest in the Original Properties (defined below) from Juneau Exploration, LP, (“JEX”) in exchange for $1 million and a 1% overriding royalty interest in the Properties under a Joint Exploration Agreement (the “Joint Exploration Agreement”). On September 15, 2010, Contango Mining acquired the remaining 50% interest in the Original Properties by increasing the overriding royalty interest in the Original Properties granted to JEX to 3.0% pursuant to an Amended and Restated Conveyance of Overriding Royalty Interest (the “Amended ORRI Agreement”), and JEX and Contango Mining terminated the Joint Exploration Agreement. JEX continues to assist the Company in acquiring land in Alaska pursuant to an Advisory Agreement dated September 6, 2012, and Mr. Brad Juneau, the sole manager of the general partner of JEX, is the Chairman, President and Chief Executive Officer of the Company.
The Company was formed on September 1, 2010 as a Delaware corporation and on November 29, 2010, Contango Mining assigned the Original Properties and certain other assets and liabilities to Contango. Contango contributed the Original Properties and $3.5 million of cash to the Company, pursuant to the terms of a Contribution Agreement (the “Contribution Agreement”), in exchange for approximately 1.6 million shares of the Company's common stock. The transactions above took place between companies under common control.
Contango distributed all of the Company's common stock to Contango's stockholders of record as of October 15, 2010, promptly after the effective date of the Company's Registration Statement on Form 10 on the basis of one share of common stock for each ten (10) shares of Contango's common stock then outstanding.
The Company had no operating history prior to the contribution of Contango Mining's assets and liabilities. The financial statements of the Company include the financial position, results of operations, and cash flows of Contango Mining since its inception on October 15, 2009 (the “Inception”). The equity structure was retroactively adjusted to reflect the capital structure of the Company. References that describe the operations of the Company include the operations of Contango Mining for the periods prior to November 29, 2010.


15



Properties
The Original Properties contributed by Contango included:
a 100% leasehold interest in approximately 675,000 acres from the Tetlin Village Council, the council formed by the governing body for the Native Village of Tetlin, an Alaska Native Tribe (the “Tetlin Lease”);
approximately 18,021 acres in unpatented mining claims from the state of Alaska for the exploration of gold and associated minerals;
approximately 3,440 acres in unpatented Federal mining claims for the exploration of rare earth elements;
approximately 97,280 acres in unpatented mining claims from the state of Alaska for the exploration of rare earth elements, which were abandoned effective December 1, 2012.
The Tetlin Lease originally had a ten year term beginning July 2008 with an option to renew the Tetlin Lease for 50% of the acreage for an additional ten years. In December 2012, the Tetlin Lease was amended, allowing the Company to renew 100% of the acreage in 2018, in exchange for $200,000, which the Company paid to the Tetlin Village Council. If the properties under the Tetlin Lease are placed into commercial production, the Tetlin Lease will be held throughout production and the Company would be obligated to pay a production royalty to the Native Village of Tetlin, which varies from 2% to 5%, depending on the type of metal produced and the year of production. In June 2011, the Company paid the Tetlin Village Council $75,000 in exchange for reducing the production royalty payable to them by 0.25%. In July 2011, the Company paid the Tetlin Village Council an additional $150,000 in exchange for further reducing the production royalty by 0.50%. These payments lowered the production royalty to a range of 1.25% to 4.25%, depending on the type of metal produced and the year of production. On or before July 15, 2020, the Tetlin Village Council has the option to increase its production royalty by (i) 0.25% by payment to CORE of $150,000, or (ii) 0.50% by payment to CORE of $300,000, or (iii) 0.75% by payment to CORE of $450,000.
If any of the Original Properties are placed into commercial production, the Company would be obligated to pay a 3.0% production royalty to JEX. In September 2012, the Company and JEX entered into an Advisory Agreement in which JEX will continue to provide assistance in acquiring additional properties in Alaska in exchange for a 2.0% production royalty on properties acquired after July 1, 2012 (any such properties, the "Additional Properties"). During the fiscal year ended June 30, 2013, the Company staked an additional 71,896 acres consisting of 474 unpatented state of Alaska mining claims in Eastern Alaska for the exploration of gold ore and associated minerals. If any of the Additional Properties are placed into commercial production, the Company would be obligated to pay JEX a 2.0% production royalty under the Advisory Agreement.
Our properties consist of mineral leases and unpatented mining claims. We believe that we hold good title to our properties in accordance with standards generally accepted in the minerals industry. As is customary in both the gold and rare earths industries, we conduct only a perfunctory title examination at the time we acquire a property. Before we begin any mine development work, however, we will conduct a full title examination and perform curative work on any defects that we deem significant. A significant amount of additional work is likely required in the exploration of the properties before any determination as to the economic feasibility of a mining venture can be made. Due to harsh weather conditions in Alaska, our exploration field work is normally restricted to May through October. The following table summarizes our property holdings as of September 30, 2013:
    

16



 
 
 
 
Original Properties
 
Additional Properties
 
Total
Mineral / Jurisdiction
 
Project Name
 
Claims
 
Acreage
 
Claims
 
Acreage
 
Claims
 
Acreage
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
GOLD
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Tetlin Village Council
 
Tetlin Lease
 
n/a

 
675,000

 

 

 

 
675,000

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
State of Alaska
 
TOK / Tetlin
 
122

 
10,821

 
9

 
29

 
131

 
10,850

 
 
LAD / Triple Z
 
45

 
7,200

 

 

 
45

 
7,200

 
 
Eagle
 

 

 
369

 
56,507

 
369

 
56,507

 
 
Bush
 

 

 
48

 
7,680

 
48

 
7,680

 
 
ADC 2
 

 

 
48

 
7,680

 
48

 
7,680

 
 
 
 
167

 
693,021

 
474

 
71,896

 
641

 
764,917

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
REE
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Federal
 
Salmon Bay
 
123

 
2,460

 

 

 
123

 
2,460

 
 
Stone Rock
 
49

 
980

 

 

 
49

 
980

 
 
 
 
172

 
3,440

 

 

 
172

 
3,440

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
TOTAL
 
 
 
339

 
696,461

 
474

 
71,896

 
813

 
768,357

Strategy
Using our limited capital availability to increase our reward potential on selective prospects . We will concentrate our risk investment capital on our prospects in Alaska. Exploration prospects are inherently risky as they require large amounts of capital with no guarantee of success. Furthermore, we may never achieve a competitive advantage in the conduct of our business, since it is unlikely that our properties will have commercially viable mineral deposits. Should our properties prove to have known commercial deposits, or mineral ore, we will be required to either i) contract with third parties to mine our mineral ore, or ii) consider a joint venture or a sale of all or a portion of our properties. In addition, valuations of mineral commodities are highly volatile and are currently depressed compared to 2012. In the event they remain depressed, the Company may decide not to raise additional funds for further exploratory drilling for one or more years.
Our strategic initiatives are to undertake cost efficient and effective exploration activities to discover mineralization and potential mineral reserves which may be commercially mined. If we are successful in our exploration activities, we may consider a joint venture or sale of our properties to qualified mining companies.
Structuring Incentives to Drive Behavior . We believe that equity ownership aligns the interests of our consultants, executives, employees and directors with those of our stockholders. The Company’s directors, officers and employees do not receive cash compensation for their work for the Company. As of September 30, 2013, the Company's directors, employees, and our technical consultants beneficially own approximately 9.3% of our common stock. An additional 16.6% of our common stock is beneficially owned by the Estate of Mr. Kenneth R. Peak, our former Chairman, who passed away on April 19, 2013.
In November 2010, the Company's directors, executive officers and our technical consultant were granted an aggregate of 93,906 shares of restricted stock. The restricted stock vests over three years, beginning in November 2011, the one-year anniversary of the date the shares were granted. In October 2012, the Compensation Committee elected to immediately vest all restricted stock held by Mr. Peak. As of September 30, 2013, there were 23,478 shares of restricted stock that remained unvested.

17




The option awards listed in the table below have been granted to directors, officers, employees and consultants of the Company:
 
 
Option Awards
 
 
Period Granted
 
Options Granted
 
Weighted Average Exercise Price
 
Vesting Period
September 2011 (1)
 
50,000
 
$13.13
 
Vests over two years, beginning with one-third on the grant date.
July 2012 (2)
 
100,000
 
$10.25
 
Vests over two years, beginning with one-third on the grant date.
December 2012 (3)
 
250,000
 
$10.20
 
Vests over two years, beginning with one-third on the grant date.
June 2013 (4)
 
37,500
 
$10.00
 
Vested Immediately
July 2013 (5)
 
5,000
 
$10.00
 
Vested Immediately
September 2013 (6)
 
37,500
 
$10.01
 
Vested Immediately
September 2013 (6)
 
15,000
 
$10.01
 
Vests over two years, beginning with one-third on the grant date.

(1) The Company granted 40,000 stock options to its directors and officers and an additional 10,000 stock options to its technical consultant, the owner of Avalon, for services performed during fiscal year 2011.
(2) The Company granted 75,000 stock options to its directors and officers and an additional 25,000 stock options to its technical consultant for services performed during fiscal year 2012.
(3) The Company granted 175,000 stock options to its directors and an additional 75,000 stock options to its technical consultant for services performed during fiscal year 2013.
(4) The Company granted 37,500 stock options to its employees for services performed during fiscal year 2013.
(5) The Company granted 5,000 stock options to an employee of Avalon for services performed during fiscal year 2013.
(6) The Company granted 52,500 stock options to its employees for services performed during the first quarter of fiscal year 2014.

Ms. Leah Gaines was appointed Vice President, Chief Financial Officer, Chief Accounting Officer, Treasurer and Secretary of the Company as of October 1, 2013. The appointment of Ms. Gaines follows the resignation of Mr. Sergio Castro and Ms. Yaroslava Makalskaya as a result of the merger between Contango Oil & Gas Company and Crimson Exploration Inc. Mr. Sergio Castro and Ms. Yaroslava Makalskaya are officers of Contango Oil & Gas Company where they have increased responsibilities after the merger. On June 28, 2013 the Compensation Committee elected to immediately vest all of the stock options of Mr. Castro and Ms. Makalskaya.
Alliance with JEX . JEX is a private company formed primarily for the purpose of assembling natural gas and oil prospects. JEX was responsible for securing and negotiating the Tetlin Lease and assisting in obtaining the Original Properties and initially engaged Avalon to conduct mineral exploration activities on the Tetlin Lease. If any of the Original Properties are placed into commercial production, the Company is obligated to pay a 3% overriding royalty to JEX. JEX will also continue to assist us in acquiring additional acreage in Alaska and provide other consulting services to the Company. Pursuant to an Advisory Agreement dated September 6, 2012 with JEX, the Company agreed to pay JEX a production royalty of 2.0% on all minerals mined from properties acquired by the Company after July 1, 2012 in the state of Alaska.
Exploration and Mining Property
Exploration and mining rights in Alaska may be acquired in the following manner: public lands, private fee lands, unpatented Federal or state of Alaska mining claims, patented mining claims, and tribal lands. The primary sources for acquisition of these lands are the United States government, through the Bureau of Land Management and the United States Forest Service, the Alaskan state government, tribal governments, and individuals or entities who currently hold title to or lease government and private lands.
Tribal lands are those lands that are under control by sovereign Native American tribes or Alaska Native corporations established by the Alaska Native Claims Settlement Act of 1971 (ANSCA). Areas that show promise for exploration and mining can be leased or joint ventured with the tribe controlling the land, including land constituting the Tetlin Lease.
The Federal government owns public lands that are administered by the Bureau of Land Management or the United States Forest Service. Ownership of the subsurface mineral estate can be acquired by staking a twenty acre mining claim, which is granted under the General Mining Law of 1872, as amended (the “General Mining Law”). The Federal government continues to own the

18



surface estate even though the subsurface can be controlled with a right to extract through claim staking. Private fee lands are lands that are controlled in fee-simple title by private individuals or corporations. These lands can be controlled for mining and exploration activities by either leasing or purchasing the surface and subsurface rights from the private owner. Patented mining claims are claims that were staked under the General Mining Law, and through application and approval the owners were granted full private ownership of the surface and subsurface estate by the Federal government. These lands can be acquired for exploration and mining through lease or purchase from the owners. In order to acquire a patent, an applicant must, among other things, prove that improvements have been made on the land of not less than $500, pay a fee of five dollars per acre, and identify and describe the mineral deposit located in the land. Unpatented mining claims located on public land owned by another entity can be controlled by leasing or purchasing the claims outright from the owners.
With respect to unpatented mining claims, the Federal or applicable state government continues to own the fee interest in real property while allowing private parties to stake claims for exploration, development and commercial extraction of minerals with rights of ingress and egress on the real property. Unpatented claims give the claimant the exclusive right to explore for and to develop the underlying minerals and use the surface for such purpose. However, the claimant does not own title to either the minerals or the surface, and the claim is subject to annual assessment work requirements and the payment of annual rental fees which are established by the governing authority of the land on which the claim is located. Unpatented mining claims are generally considered to be subject to greater title risk than other real property interests because the validity of unpatented mining claims is often uncertain, due to the complex Federal and state laws and regulations that supplement the General Mining Law. Unpatented mining claims and related rights, including rights to use the surface, are also subject to challenges by third parties or contests by the Federal or applicable state government. In addition, there are few public records that definitively determine the issues of validity and ownership of unpatented state mining claims. Our mining claims on land belonging to the state of Alaska have no opportunity to be patented. Rights to deposits of minerals on Alaska state land that is open to claim staking may be acquired by discovery, location and recording as prescribed in Alaska state statutes (AS 38.05.185 - 38.05.280). The state of Alaska requires holders of unpatented mining claims to perform annual assessment work and pay an annual fee on the claims in order to maintain the claimant’s title to the mining rights in good standing. State of Alaska unpatented mining claims are subject to a title reservation of 3% net profits royalty for all mineral production on net mining income of $100,000 or more. Mining claims located on state of Alaska lands cannot be deeded to the claimant.
Gold Exploration

The Company controls a total of 764,917 acres of Tetlin Village and state of Alaska property for the exploration of gold. To date, our gold exploration has concentrated on the Tetlin Lease, with only a limited amount of work performed on our TOK, Eagle and Triple Z claims. The Tetlin Lease is located in eastern interior Alaska, approximately 200 miles southeast of Fairbanks and 12 miles southeast of Tok, Alaska. The area is accessible via helicopter and via the 23 mile long Tetlin Village Road which provides year-round access to the Alaska Highway. Buried electrical and fiber-optic communications cables link the Tetlin Village to the Tok power and communications grid.

Our exploration effort on the Tetlin Lease has resulted in identifying one mineral prospect (Chief Danny) and several other gold and copper leads. We have drilled certain of these other leads as part of our 2013 exploration program. We gathered surface, bedrock, and stream sediment data on the Tetlin Lease as well as the Eagle state of Alaska claims adjacent to the Tetlin Lease.We did not conduct drilling on the Eagle claims during the 2013 exploration program. None of our exploration targets are known to host quantifiable commercial mineral resources, none have had metallurgical or mineral processing studies conducted on them and none are near or adjacent to other known significant gold or copper deposits. There has been no recorded past placer or lode mining on these leads, and the Company is the only entity known to have conducted drilling operations on these leads.

Chief Danny Prospect
The Chief Danny Prospect currently is the most advanced exploration target on the Tetlin Lease and is comprised of several distinct mineralized areas, the Peak Zone, Discovery zone, Roadcut zone and the Saddle zone. The Chief Danny prospect was discovered during rock, stream sediment and pan concentrate sampling in 2009 and since then has been explored using top of bedrock soil auger sampling, trenching, ground IP geophysics, airborne magnetic and resistivity surveys and core drilling. Results from this work indicate the presence of a zoned hydrothermal system consisting of a gold-copper-iron enriched core covering six square miles at Chief Danny South (includes Peak, Discovery and Roadcut zones) and a fault-offset arsenic-gold enriched zone to the north covering three square miles at the Saddle zone. We have conducted extensive drilling on the Peak Zone, and expect to have resource estimates near the end of calendar year 2013. We have also conducted environmental base line studies on the areas surrounding the Chief Danny prospect, as well as conducted airborne magnetic and resistivity programs. From 2009 through 2013, the Company conducted field-related exploration work at the Chief Danny prospect, including collecting the following samples:

19



Year
 
Program
 
Core
Samples
 
Rock
Samples
 
Soil
Samples
 
Pan Con
Samples
 
Stream Silt
Samples
 
Core (feet)
 
IP/Geophysics
(kilometers)
 
Trenching
(feet)
2009
 
Chief Danny
 

 
958

 
33

 
94

 
11

 

 

 
2,330

2010
 
Chief Danny
 

 
613

 
760

 
668

 
795

 

 
14

 

2011
 
Chief Danny
 
1,267

 
20

 
688

 

 

 
8,057

 
3,957

 

2012
 
Chief Danny
 
5,223

 
82

 
1,029

 

 

 
36,004

 

 

2013
 
Chief Danny
 
8,970

 
6

 
1,406

 

 

 
47,079

 
2,524

 

 
 
Total
 
15,460

 
1,679

 
3,916

 
762

 
806

 
91,140

 
6,495

 
2,330


2013 Exploration Program. The Company now believes that mineralization in the Peak Zone was part of a distal gold skarn deposit, a genetic classification which has allowed the Company and its consultants to better interpret previous exploration results and plan future exploration efforts in and around the Peak Zone.
As of September 30, 2013, the Company had completed 14,349 meters (47,079 ft) of core drilling in 69 core holes during the 2013 Tetlin project exploration program. Drilling included infill and step-out drilling in the Peak Zone (60 holes, 11,592 meters), and completion of 9 additional core holes on 5 other leads in the greater Chief Danny area (2,757 meters). The Company also completed approximately 2,500 line-kilometers of airborne magnetic and electromagnetic geophysics, completed or commenced all of the baseline water quality sampling, cultural resource assessments, wetlands mapping, acid rock drainage tests and preliminary metallurgical tests planned and plan to submit drill results for a resource estimate on the Peak Zone during the end of calendar year 2013. We spent approximately $8.1 million for this work which includes drilling, geochemical analyses, airborne geophysics, landholding fees and other related expenses. Management believes that the drilling results identify a material amount of additional gold resources to the Peak Zone. The Company plans to release a resource report prepared by a third party in December 2013. The following table summarizes the significant drilling results released to date for 2013:
Significant 2013 Drill Intercepts from the Peak Zone . Sample intervals are calculated using a 0.5 gpt lower cut off for gold with no internal waste greater than 3 meters less than cutoff grade. Intercepts shown are drill intercept lengths. With the exception of holes Tet13017, Tet13122 and Tet13125, all holes reported below were completed at -60 degree inclination along azimuth 225 degrees to intercept mineralization at approximately right angles. Holes Tet13017, Tet13122 and Tet13125 were completed at -60 to -70 degree inclination along azimuth 045 degrees approximately parallel to the average dip of mineralization.
The grade cutoff for gold (Au) is 0.5 gpt; for silver (Ag) is 10 gpt; and for copper (Cu) is 0.1%.
Drill Hole
Zone
From (meters)
To (meters)
Interval (meters)
Au gpt
Au_opt
Ag gpt
Cu %
TET13062
Peak
88.90
153.70
64.80
13.101
0.382
21.0
0.482
TET13063
Peak
131.11
171.60
40.49
16.550
0.483
36.1
0.732
TET13064
Peak
147.20
191.40
44.20
8.464
0.247
5.5
0.169
TET13065
Peak
184.45
206.93
22.48
1.160
0.034
10.5
0.403
TET13067
Peak
114.80
125.10
10.30
0.180
0.005
18.2
0.215
TET13068
Peak
112.80
112.80
0.196
0.006
13.5
0.267
TET13069
Peak
54.60
162.63
108.03
0.026
0.001
11.0
0.406
TET13070
Peak
116.80
154.92
38.12
1.815
0.053
1.8
0.040
TET13071
Peak
129.90
186.50
56.60
1.182
0.034
1.9
0.048
TET13072
Peak
170.99
199.82
28.83
1.173
0.034
6.4
0.133
TET13073
Peak
170.23
192.64
22.41
0.708
0.021
5.5
0.103
TET13074
Peak
78.90
105.80
26.90
0.079
0.002
17.9
0.336
TET13075
Peak
83.70
134.50
50.80
0.057
0.002
8.1
0.354
TET13076
Peak
107.80
163.50
55.70
0.044
0.001
17.0
0.661
TET13077
Peak
135.48
162.12
26.64
0.022
0.001
34.6
1.110
TET13078
Peak
77.06
105.00
27.94
2.648
0.077
3.1
0.123
TET13079
Peak
120.04
157.89
37.85
4.366
0.127
3.7
0.203
TET13080
Peak
135.41
157.38
21.97
5.378
0.157
2.7
0.070
TET13081
Peak
146.53
179.73
33.20
2.550
0.074
52.4
0.491
TET13082
Peak
5.79
93.38
87.59
4.025
0.117
19.3
0.300
 
 
 
 
 
 
 
 
 

20



Drill Hole
Zone
From (meters)
To (meters)
Interval (meters)
Au gpt
Au_opt
Ag gpt
Cu %
TET13083
Peak
112.46
143.65
31.19
1.350
0.039
5.5
0.163
TET13084
Peak
134.95
160.33
25.38
5.086
0.148
9.0
0.244
TET13085
Peak
130.13
175.16
45.03
2.740
0.080
69.5
1.401
TET13088
Peak
19.18
157.20
138.02
3.626
0.106
11.4
0.113
TET13089
Peak
2.74
101.60
98.86
2.500
0.073
3.5
0.093
TET13090
Peak
127.60
159.20
31.60
0.087
0.003
24.3
0.882
TET13091
Peak
45.11
98.78
53.67
1.111
0.032
10.5
0.249
TET13092
Peak
77.90
87.63
9.73
0.004
3.5
0.157
TET13093
Peak
141.70
146.56
4.86
1.184
0.035
9.7
0.092
TET13094
Peak
129.90
153.60
23.70
0.415
0.012
106.6
0.716
TET13095
Peak
146.00
191.35
45.35
0.193
0.006
12.3
0.151
TET13096
Peak
85.04
86.70
1.66
1.968
0.057
0.9
0.013
TET13097
Peak
171.53
196.00
24.47
0.726
0.021
8.5
0.156
TET13098
Peak
9.75
94.18
84.43
4.988
0.145
16.7
0.167
TET13100
Peak
10.98
106.90
95.92
5.748
0.168
6.9
0.140
TET13102
Peak
6.35
30.90
24.55
0.758
0.022
5.9
0.223
TET13103
Peak
150.40
186.95
36.55
0.145
0.004
88.3
0.340
TET13104
Peak
142.60
142.60
2.529
0.074
2.4
0.082
TET13105
Peak
50.30
52.74
2.44
1.081
0.032
1.8
0.008
TET13106
Peak
57.45
103.33
45.88
0.016
35.1
0.070
TET13107
Peak
159.25
159.25
7.010
0.204
6.6
0.102
TET13108
Peak
14.33
73.25
58.92
1.058
0.031
10.8
0.130
TET13109
Peak
81.52
114.20
32.68
0.089
0.003
3.2
0.181
TET13110
Peak
2.13
99.06
96.93
9.060
0.264
4.3
0.093
TET13111
Peak
169.77
172.82
3.05
0.175
0.005
7.6
0.232
TET13113
Peak
82.60
97.50
14.90
0.946
0.028
66.3
0.086
TET13117
Peak
134.82
134.82
4.848
0.141
2.9
0.084
TET13119
Peak
6.10
80.70
74.60
1.303
0.038
2.9
0.130
TET13120
Peak
196.10
202.39
6.29
0.186
0.005
2.9
0.130
TET13121
Peak
46.70
55.26
8.56
5.671
0.165
10.8
0.121
TET13122
Peak
81.38
84.09
2.71
2.255
0.066
3.9
0.010
TET13124
Peak
33.22
168.72
135.50
3.240
0.095
3.6
0.115
TET13125
Peak
65.17
121.92
56.75
0.284
0.008
15.3
0.523
TET13128
Peak
116.12
119.17
3.05
0.489
0.014
2.5
0.157
TET13129
Peak
9.60
75.90
66.30
1.450
0.042
3.7
0.250
TET13130
Peak
9.14
31.39
22.25
2.348
0.068
1.1
0.082
2012 Exploration Program. The 2012 exploration program at the Chief Danny Prospect began in mid-May and was completed in mid-October 2012. We originally budgeted $3.6 million to utilize one rig and drill 20,000 feet in 20 to 40 core holes. Initial results from the drilling program at Chief Danny resulted in reallocating funds from our other gold and copper leads to the Chief Danny Prospect, which enabled us to utilize two rigs to drill 36,004 feet in 50 core holes. The Company also conducted additional soil auger geochemical sampling on the western and southern margins of the Chief Danny zone and conducted baseline water quality sampling in drainage basins that have the potential to be impacted by the development of the Chief Danny Prospect. The total cost of our 2012 exploration program on our Chief Danny prospect was approximately $4.6 million, compared to investing only $1.0 million on our other gold and copper leads, which also included geochemical analysis, claim rentals and other related expenses.
The 2012 exploration program expanded on previously drilled areas and intercepted high grade gold and copper mineralization in the newly designated Peak Zone discovery. The results from four holes contained high gold values over substantial widths, with the best section grading an average 192 feet grading 11.996 ppm gold, 9.1 ppm silver and 0.243% copper in one hole; 14.5 feet grading 46.148 ppm gold, 25.9 ppm silver and 0.518% copper in another hole; and 120 feet grading 0.309 ppm gold,

21



71.6 ppm silver and 1.114% copper in another hole (see table of results below). In general, all of the holes intercepted a 100 to 125 foot wide zone of alteration and mineralization. The mineralization dips at a low angle to the north and trends northwest-southeast. In addition to gold, silver and copper, other anomalous metals include arsenic, bismuth, cobalt, molybdenum and tin with lesser, more sporadic anomalous lead and zinc.
Significant 2012 Gold Drill Results from the Peak Zone. Sample intervals are calculated using a 0.5 ppm lower cut off for gold with no internal waste greater than 10 feet below cutoff grade. Intercepts shown are drill intercept lengths. True width of mineralization is not known.
Drill Hole
Zone
From (meters)
To (meters)
Interval (meters)
Au opt
Au gpt
Ag gpt
Cu %
TET1216
Peak
14.02
 
15.54
 
1.52
 
0.123
 
4.208
 
7.2
 
0.096
 
TET1216
Peak
19.96
 
45.72
 
25.75
 
0.228
 
7.832
 
23.5
 
0.061
 
including
Peak
25.91
 
28.95
 
3.05
 
0.634
 
21.75
 
34.8
 
0.086
 
And
Peak
42.67
 
44.19
 
1.52
 
1
 
34.3
 
50.9
 
0.01
 
TET1216
Peak
53.34
 
60.04
 
6.71
 
0.102
 
3.499
 
15.8
 
0.535
 
including
Peak
56.39
 
57.09
 
0.70
 
0.379
 
13
 
123
 
0.865
 
TET1216
Peak
64.61
 
78.33
 
13.72
 
0.081
 
2.766
 
1.4
 
0.053
 
including
Peak
70.31
 
70.62
 
0.30
 
0.274
 
9.385
 
4.8
 
0.809
 
And
Peak
76.81
 
78.33
 
1.52
 
0.252
 
8.632
 
4.2
 
0.117
 
TET1216
Peak
81.38
 
113.99
 
32.61
 
0.109
 
3.735
 
2.6
 
0.113
 
including
Peak
105.97
 
106.28
 
0.30
 
1.604
 
55
 
9.3
 
0.727
 
And
Peak
106.28
 
107.89
 
1.62
 
0.282
 
9.661
 
3.6
 
0.133
 
TET1217
Peak
7.92
 
56.99
 
49.07
 
0.327
 
11.218
 
21.6
 
0.085
 
including
Peak
7.92
 
32.31
 
24.38
 
0.574
 
19.677
 
16.9
 
0.082
 
including
Peak
14.02
 
18.59
 
4.57
 
1.255
 
43.033
 
15.5
 
0.142
 
And
Peak
23.16
 
26.21
 
3.05
 
0.844
 
28.95
 
19.9
 
0.051
 
And
Peak
27.74
 
32.31
 
4.57
 
0.726
 
24.9
 
37.6
 
0.054
 
TET1217
Peak
139.47
 
140.44
 
0.98
 
0.122
 
4.173
 
48.7
 
0.11
 
TET1218
Peak
85.34
 
143.86
 
58.52
 
0.422
 
14.452
 
9.1
 
0.243
 
including
Peak
103.93
 
106.67
 
2.74
 
0.945
 
32.393
 
8.9
 
0.324
 
And
Peak
107.13
 
111.55
 
4.42
 
1.459
 
50.007
 
25.9
 
0.518
 
And
Peak
136.15
 
142.33
 
6.19
 
0.941
 
32.249
 
13.2
 
0.347
 
TET1218
Peak
151.48
 
155.29
 
3.81
 
0.064
 
2.19
 
6.1
 
0.194
 
TET1219
Peak
31.24
 
32.61
 
1.37
 
0.036
 
1.223
 
20.9
 
0.072
 
TET1219
Peak
44.19
 
80.46
 
36.27
 
0.076
 
2.589
 
3.3
 
0.086
 
including
Peak
45.72
 
59.43
 
13.72
 
0.137
 
4.696
 
2.7
 
0.131
 
TET1219
Peak
89.91
 
92.65
 
2.74
 
0.041
 
1.4
 
13.7
 
0.26
 
including
Peak
89.91
 
90.43
 
0.52
 
0.157
 
5.372
 
29.2
 
0.106
 
TET1219
Peak
96.31
 
97.84
 
1.52
 
0.13
 
4.457
 
0.8
 
0.012
 
TET1219
Peak
108.50
 
122.22
 
13.72
 
0.053
 
1.821
 
3.2
 
0.218
 
TET1219
Peak
139.29
 
143.55
 
4.27
 
0.444
 
15.218
 
2.3
 
0.114
 
including
Peak
139.29
 
140.51
 
1.22
 
1.35
 
46.3
 
5.9
 
0.274
 
TET1235
Peak
168.61
 
185.92
 
17.31
 
0.635
 
21.766
 
7.4
 
0.319
 
including
Peak
171.65
 
176.17
 
4.51
 
1.977
 
67.797
 
10.2
 
0.363
 
including
Peak
171.65
 
173.12
 
1.46
 
2.713
 
93
 
14.2
 
0.459
 
And
Peak
173.12
 
174.64
 
1.52
 
2.287
 
78.4
 
10.9
 
0.392
 
TET1235
Peak
188.97
 
192.01
 
3.05
 
0.18
 
6.161
 
7.6
 
0.363
 
TET1235
Peak
198.11
 
199.63
 
1.52
 
0.154
 
5.29
 
55.8
 
2.12
 
TET1236
Peak
155.44
 
204.21
 
48.77
 
0.429
 
14.717
 
10.1
 
0.244
 
including
Peak
164.58
 
201.16
 
36.57
 
0.554
 
18.991
 
12.9
 
0.307
 
including
Peak
166.11
 
172.20
 
6.10
 
1.103
 
37.8
 
6
 
0.387
 
And
Peak
193.54
 
195.06
 
1.52
 
1.397
 
47.9
 
16.1
 
0.921
 
And
Peak
199.63
 
201.16
 
1.52
 
1.368
 
46.9
 
13.1
 
0.33
 
TET1238
Peak
123.44
 
128.01
 
4.57
 
0.019
 
0.636
 
47.1
 
1.158
 
TET1238
Peak
135.63
 
138.68
 
3.05
 
0.039
 
1.334
 
145.9
 
3.735
 
TET1239
Peak
118.56
 
121.61
 
3.05
 
0.043
 
1.477
 
13.4
 
0.444
 
TET1239
Peak
136.85
 
138.37
 
1.52
 
0.047
 
1.618
 
42.6
 
1.06
 
TET1241
Peak
36.27
 
39.62
 
3.35
 
0.094
 
3.213
 
3.4
 
0.088
 

22



Drill Hole
Zone
From (meters)
To (meters)
Interval (meters)
Au opt
Au gpt
Ag gpt
Cu %
TET1241
Peak
45.72
 
50.29
 
4.57
 
0.048
 
1.632
 
1.9
 
0.059
 
TET1241
Peak
60.35
 
64.61
 
4.27
 
0.028
 
0.95
 
2.6
 
0.023
 
TET1241
Peak
137.15
 
141.73
 
4.57
 
0.019
 
0.645
 
46.9
 
0.445
 
TET1242
Peak
19.51
 
28.65
 
9.14
 
0.047
 
1.611
 
3.7
 
0.105
 
TET1242
Peak
42.37
 
45.57
 
3.20
 
0.043
 
1.483
 
1.4
 
0.048
 
TET1242
Peak
115.82
 
118.26
 
2.44
 
0.026
 
0.9
 
0.3
 
0.011
 
TET1242
Peak
121.30
 
124.35
 
3.05
 
0.048
 
1.653
 
1.2
 
0.021
 
TET1242
Peak
142.94
 
162.45
 
19.51
 
0.08
 
2.756
 
2.6
 
0.154
 
including
Peak
149.04
 
151.94
 
2.90
 
0.207
 
7.098
 
2
 
0.1
 
and
Peak
161.63
 
162.45
 
0.82
 
0.44
 
15.1
 
11.5
 
0.232
 
TET1243
Peak
30.17
 
34.75
 
4.57
 
0.021
 
0.714
 
1.3
 
0.032
 
TET1243
Peak
100.27
 
101.80
 
1.52
 
0.103
 
3.534
 
0.8
 
0.018
 
TET1244
Peak
87.17
 
90.22
 
3.05
 
0.057
 
1.963
 
 
0.006
 
TET1244
Peak
96.31
 
103.93
 
7.62
 
0.095
 
3.273
 
0.8
 
0.013
 
TET1244
Peak
108.50
 
113.08
 
4.57
 
0.097
 
3.324
 
0.9
 
0.019
 
including
Peak
108.50
 
110.03
 
1.52
 
0.248
 
8.501
 
1
 
0.008
 
TET1244
Peak
157.57
 
160.62
 
3.05
 
0.02
 
0.689
 
 
0.004
 
TET1246
Peak
72.54
 
75.59
 
3.05
 
0.055
 
1.899
 
1.6
 
0.01
 
TET1246
Peak
341.36
 
342.67
 
1.31
 
0.114
 
3.919
 
2.6
 
0.299
 
TET1246
Peak
435.54
 
437.21
 
1.68
 
0.035
 
1.214
 
5.3
 
0.193
 
TET1247
Peak
17.83
 
20.42
 
2.59
 
0.046
 
1.561
 
0.3
 
0.015
 
TET1247
Peak
32.92
 
38.10
 
5.18
 
0.067
 
2.283
 
0.2
 
0.01
 
including
Peak
35.96
 
36.57
 
0.61
 
0.268
 
9.175
 
1.3
 
0.039
 
TET1247
Peak
44.80
 
45.26
 
0.46
 
0.108
 
3.713
 
0.6
 
0.015
 
TET1247
Peak
63.40
 
64.31
 
0.91
 
0.183
 
6.279
 
0.8
 
0.004
 
TET1247
Peak
74.67
 
77.87