Medgold Resources is engaged in the acquisition and exploration of resource properties in North America. Co.'s ability to continue its operations and to realize assets at their carrying values is dependent upon the continued support of its shareholders, obtaining additional financing and generating revenues sufficient to cover its operating costs. The recoverability of amounts shown for resource properties and related deferred costs is dependent upon the discovery of economically recoverable reserves and confirmation of Co.'s interest in the underlying mineral claims and gas production.