SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 10-Q
{X} QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE
ACT OF 1934
For the quarterly period ended September 30, 1998
Commission file number 0-10104
LA TEKO RESOURCES LTD.
--------------------------------------------------
(Exact name of Registrant as specified in its charter)
British Columbia, Canada 87-0483319
----------------------------- ----------------------------------
(State or other Jurisdiction of (I.R.S. Employer Identification No.)
incorporation or organization)
625 Howe St., #500
Vancouver, B.C. V6C 2T6
-------------------------------------- ----------
(Address of principal executive offices) (Zip Code)
(604) 688-0833
--------------------------------------------------
(Registrant's telephone number, including area code)
N/A
--------------------------------------------------
Former name, former address and former fiscal year, if changed since last
report)
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 X No
As of September 30, 1998, the registrant had 25,775,358 shares of its common
stock issued and outstanding.
<PAGE>
LA TEKO RESOURCES LTD.
Part 1. Financial Information
ITEM 1- FINANCIAL STATEMENTS
The unaudited financial statements presented herein have been prepared in
accordance with the instructions to Form 10-Q and do not include all of the
information and note disclosures required by generally accepted accounting
principles. These statements should be read in conjunction with the financial
statements and notes thereto included in the Company's annual report on Form
10-K for the year ended December 31, 1997. The accompanying financial
statements have not been examined by independent accountants in accordance with
generally accepted auditing standards, but in the opinion of management such
financial statements include all adjustments (consisting only of normal
recurring adjustments) necessary to summarize fairly the Company's financial
position and results of operations.
LA TEKO RESOURCES LTD.
CONSOLIDATED STATEMENTS OF OPERATIONS
(EXPRESSED IN U.S. DOLLARS)
Three months ended September 30, 1998 and 1997 Unaudited
1998 1997
--------- --------
EXPENSES
Operating and mine maintenance costs $184,414 116,929
General and administrative expenses 148,760 129,864
Royalty and lease 37,500 37,500
Depreciation 3,572 14,247
New prospect evaluation 226 -
--------- --------
374,472 298,540
--------- --------
Loss from operations before other items (374,472) (298,540)
OTHER ITEMS
Interest income (net) 21,034 12,569
Loss on sale of investments (84,840) -
Unrealized loss on investments (72,601) -
--------- --------
NET LOSS (510,879) (285,971)
========= ========
NET LOSS PER SHARE $ (0.020) (0.012)
========= ========
(The accompanying notes are an integral part
of these financial statements)
<PAGE>
LA TEKO RESOURCES LTD.
CONSOLIDATED STATEMENTS OF OPERATIONS
(EXPRESSED IN U.S. DOLLARS)
Nine months ended September 30, 1998 and 1997 Unaudited
1998 1997
--------- --------
EXPENSES
General and administrative expenses $ 549,160 691,340
Operating and mine maintenance costs 221,484 218,215
Royalty and lease 112,500 112,500
Depreciation 10,855 42,811
New prospect evaluation 1,319 -
--------- ---------
895,318 1,064,866
--------- ---------
Loss from operations before other items (895,318) (1,064,866)
OTHER ITEMS
Interest income (net) 24,357 58,870
Unrealized loss on investments (191,661) -
Loss on sale of investments (135,708) -
Loss on sale of equipment - (2,924)
NET LOSS (1,198,330) (1,008,920)
========= =========
NET LOSS PER SHARE $ (0.042) (0.043)
========= =========
(The accompanying notes are an integral part
of these financial statements)
<PAGE>
LA TEKO RESOURCES LTD.
CONSOLIDATED BALANCE SHEETS
(EXPRESSED IN U.S. DOLLARS)
September 30, 1998 and December 31, 1997 Unaudited
September 30, December 31,
1998 1997
----------- ---------
CURRENT ASSETS
Cash and short-term deposits $ 1,291,750 613,304
Accounts receivable 11,228 93,891
Prepaid expenses 39,500 160,090
----------- ---------
Total current assets 1,342,478 867,285
Mineral properties and deferred costs 11,551,687 10,985,135
Plant and equipment 46,532 57,593
Investments 366,879 750,913
----------- ----------
$13,307,576 12,660,926
=========== ==========
CURRENT LIABILITIES
Bank demand loan $ - 150,000
Accounts payable and accrued expenses 208,567 84,462
----------- ---------
208,567 234,462
SHAREHOLDERS' EQUITY
Common capital stock; no par value;
authorized: 100,000,000 shares;
issued and outstanding: 25,775,358
(1997: 23,467,358) 20,053,092 18,182,217
Accumulated deficit (6,954,083) (5,755,753)
----------- -----------
13,099,009 12,426,464
----------- -----------
$13,307,576 12,660,926
=========== ===========
(The accompanying notes are an integral part
of these financial statements)
<PAGE>
LA TEKO RESOURCES LTD.
CONSOLIDATED STATEMENTS OF CHANGES IN SHAREHOLDERS' EQUITY
(EXPRESSED IN U.S. DOLLARS)
For the years ended December 31, 1996 and 1997
and nine months ended September 30,1998 Unaudited
[CAPTION]
<TABLE>
Common Stock Accumulated
Shares Amount Deficit TOTAL
---------- ---------- ----------- -------------
<S> <C> <C> <C> <C>
Balance, December 31, 1995 36,729,449 24,064,475 (5,249,313) $ 18,815,162
1996
Common stock issued for:
Exercise of options 138,780 222,048 - 222,048
Compensatory stock options - 188,125 - 188,125
Net income - - 955,785 955,785
Balance, December 31, 1996 36,868,229 24,474,648 (4,293,528) 20,181,120
1997
Common stock issued for:
Exercise of options 5,000 8,000 - 8,000
Other 5,100 - - -
Compensatory stock
options (reduction) - (43,125) - (43,125)
Net loss - - (1,462,225) (1,462,225)
Balance, December 31, 1997 36,878,329 24,439,523 (5,755,753) 18,683,770
NINE MONTHS ENDED SEPTEMBER 30, 1998
Common stock issued for:
Cash, net of financing
costs 2,200,000 $ 1,767,200 - 1,767,200
Mineral properties 43,000 38,675 - 38,675
Employee termination payment 65,000 65,000 - 65,000
Net loss - - (1,198,330) (1,198,330)
Balance, September 30, 1998 39,186,329 26,310,398 (6,954,083) 19,356,315
Less treasury shares (13,410,971) (6,257,306) - (6,257,306)
BALANCE, SEPTEMBER 30, 1998 25,775,358 20,053,092 (6,954,083) $ 13,099,009
</TABLE>
(The accompanying notes are an integral part
of these financial statements)
<PAGE>
LA TEKO RESOURCES LTD.
CONSOLIDATED STATEMENTS OF CASH FLOW
(EXPRESSED IN U.S. DOLLARS)
Nine months ended September 30, 1998 and 1997 Unaudited
1998 1997
CASH FLOWS FROM OPERATING ACTIVITIES ----------- ----------
Net loss $(1,198,330) (1,008,920)
Charges (credits) to operations not affecting cash:
Unrealized loss on marketable securities 191,661 -
(Gain) / loss on sale of investments 135,708 2,924
Shares issued for employee termination payment 65,000 -
Depreciation 10,855 42,811
Loss on abandonment of furnishings and equipment - -
---------- --------
(795,106) (963,185)
Net changes
Decrease in accounts receivable and
pre-paid expenses 203,458 121,897
Decrease in accounts payable and accrued expenseS 124,105 (99,090)
---------- ---------
Net cash used in operating activities (467,543) (940,378)
CASH FLOWS FROM INVESTING ACTIVITIES
Proceeds from sale of investments 58,304 -
Proceeds on sale of partial interest in mineral property 11,638 -
Exploration costs capitalized (334,154) (406,326)
Investment in mineral properties (244,036) (199,818)
Acquistion of investments (1,638) -
Purchase of plant and equipment - (65,464)
Proceeds from sale of equipment - 3,456
---------- ---------
Net cash used in investing activities (509,886) (668,152)
---------- ---------
CASH FLOWS FROM FINANCING ACTIVITIES
Reduction of principal on debt - (372,500)
Common stock issued:
For cash, net of financing costs 1,767,200 8,000
For mineral properties 38,675 -
---------- ---------
Net cash used in financing activities 1,805,875 (364,500)
---------- ---------
NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS 828,446 (1,973,030)
Cash and cash equivalents, beginning of period 463,304 3,041,205
---------- ---------
CASH AND CASH EQUIVALENTS, END OF PERIOD $ 1,291,750 1,068,175
========== =========
(The accompanying notes are an integral part
of these financial statements)
<PAGE>
LA TEKO RESOURCES LTD.
CONSOLIDATED STATEMENTS OF CASH FLOW
(EXPRESSED IN U.S. DOLLARS)
Nine months ended September 30, 1998 and 1997 Unaudited
1998 1997
SUPPLEMENTAL DISCLOSURES OF CASH FLOW INFORMATION ---------- --------
Cash paid during the period for interest $ - 2,562
Cash paid during the period for income taxes $ - -
SUPPLEMENTARY SCHEDULE OF NON-CASH INVESTING AND FINANCING ACTIVITIES
Depreciation capitalized into deferred costs $ - -
Stock issued as bonus compensation $ - -
(The accompanying notes are an integral part
of these financial statements)
<PAGE>
LA TEKO RESOURCES LTD.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
(EXPRESSED IN U.S. DOLLARS)
Nine months ended September 30, 1998 and 1997 Unaudited
1. BASIS OF PRESENTATION
These financial statements have been prepared in accordance with U.S. generally
accepted accounting principles and are expressed in U.S. dollars.
2. SHARE CAPITAL
AUTHORIZED - 100,000,000 shares having no par value
ISSUED - 25,775,358
DURING THE PERIOD SHARES ISSUED ARE AS FOLLOWS:
Number of shares Price
---------------- --------
Cash net of financing costs 2,200,000 $0.85 $1,767,200
Mineral properties 43,000 $0.8994 38,675
Employee termination payment 65,000 $1.00 65,000
--------- ----------
2,265,000 $1,870,875
OPTIONS OUTSTANDING AT SEPTEMBER 30, 1998:
Number Price Expire
------- ----- -------------
300,000 $1.60 11/16/2000-03
100,000 $2.50 03-14-2001
200,000 $2.41 06/05/2001-04
500,000 $1.85 12-10-2001-04
24,000 $1.60 08/17/1999
100,000 $1.50 07/16/2002-05
50,000 $1.60 12/31/1998
150,000 $1.05 10/08/2002-05
WARRANTS OUTSTANDING AT SEPTEMBER 30, 1998:
Number Price Expire
------- ----- -------------
2,133,000 $1.05/$1.25 May 1, 1999/2000
200,000 $1.05/$1.25 June 18, 1999/2000
3. SUBSEQUENT EVENT
The Company has agreed to enter into a business combination with Kinross Gold
Corp. whereby shareholders of La Teko will receive one share of Kinross for each
2.65 of La Teko shares.
The proposed transaction is subject to shareholder and regulatory approval.
<PAGE>
LA TEKO RESOURCES LTD.
ITEM 2 - MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS
OF OPERATIONS
GENERAL
The Company is in the business of exploration and development of mineral
properties, with two advanced-stage projects, True North and Ryan Lode, one mid
stage project, Scheelite Dome, and three early stage exploration projects. The
Company has provided for recent years' operations primarily from the receipt of
funds from a wholly owned subsidiary of Newmont Mining Corporation ("Newmont")
pursuant to the True North JV Agreement and the cash proceeds from issuance of
common stock. It is anticipated that the $1,290,000 cash on hand September 30,
1998 is sufficient to cover expenditures required for the balance of 1998 and
into 1999.
Subsequent to the end of the third quarter La Teko and Kinross Gold Corporation
("Kinross") announced that they have agreed to enter into a business combination
whereby shareholders of La Teko are to receive one Kinross share for each 2.65
La Teko shares they hold. The proposed merger is subject to La Teko shareholder
approval, the execution of a definitive agreement and regulatory approval.
All dollar amounts included herein respecting Management's Discussion and
Analysis are in U.S. dollars except where noted otherwise as Canadian dollars
(CAN).
CAPITALIZED COSTS
Costs of acquisition and deferred exploration expenditures associated with the
Company's mineral properties are summarized as follows:
PROJECT BALANCE CAPITALIZED ADDITIONS BALANCE
DECEMBER 31, 1997 (DELETIONS) 1998 09/30/98
--------------------- ---------------- --------
True North 225,465 99,416 324,881
Ryan Lode 9,770,530 - 9,770,530
Margarita 430,652 3,766 434,418
Juniper 231,762 13,436 245,198
Twin Buttes 227,671 103,122 330,793
Discovery Gulch 99,055 14,828 113,883
Scheelite Dome - 318,859 318,859
Ogopogo - 13,125 13,125
Total Mineral Properties ---------- ------- ----------
And Deferred Costs 10,985,135 566,552 11,551,687
========== ======= ==========
The Company's mineral properties and deferred costs are recorded at the lower of
cost or the present value of estimated recoverable amounts applicable thereto.
Exploration and development expenses are deferred until the mineral properties
are brought into production, at which time, they are amortized on a units-of-
production basis, or until the properties are abandoned or sold; at which time,
the deferred costs are written off or charges against sales proceeds.
Capitalized costs and deferred exploration are evaluated at least annually to
determine the probability of recovery and the requirement for periodic
adjustments.
Certain properties are in the exploration or development stage. The ultimate
realization of capitalized costs is dependent upon the determination of
economically recoverable reserves, the ability of the Company to obtain
necessary financing to complete development, future profitable production and/or
proceeds from sale of these properties.
When a property is determined not to be commercially productive or its value
impaired, the accumulated costs are charges to operations to the extent that
costs exceed estimated net realizable value.
In accordance with generally accepted accounting principles, the Company records
an impairment expense to the extent that capitalized acquisition and deferred
costs exceed estimated net realizable value if the Company determines that the
realization of such capitalized costs associated with any property is impaired.
As of September 30, 1998, the Company had capitalized costs of $9,771,000
associated with its Ryan Lode property. The Company believes that completion of
the possible transaction with Kinross described in Note 5 to the consolidated
financial statements on the terms proposed would enable the Company to realize
the recorded capitalized costs of the Ryan Lode property.
Subsequent to this reporting period the Company learned of contamination which
occurred a number of years ago at the Ryan Lode site that could expose the
Company to certain liabilities. The Company is investigating the events and
analyzing the material to determine the extent of the contamination and
appropriate actions. The Company may be liable to sanctions and be responsible
for costs of cleanup and disposal of the material. The Company is in the process
of establishing a sampling and clean-up plan and reporting the situation to the
appropriate governmental authorities and anticipates that discussions will
follow regarding, if applicable, any sanctions and the cleanup and disposal
measures required.
Based on the nature and extent of mineralization, current gold prices, ongoing
environmental remediation obligations, the recently discovered contamination,
and other factors, in the absence of the proposed Kinross transaction the
Company would need to consider recording an impairment expense associated with
the Ryan Lode property that could significantly reduce its net realizable value.
RESULTS OF OPERATIONS
INCOME
The Company has not received operating revenues during any of the last three
years and will not have income from sales of mineral product in 1998.
EXPENSES
During the first nine months of 1998, the Company expended $567,000 for
capitalized costs associated with the acquisition, exploration and development
of its mineral properties compared to $606,000 which was expended during the
comparable period of 1997. Of this $294,000 was expended in the third quarter,
compared to $385,000 expended in the third quarter of 1997. The expenditure is
a result of the increased activity on the properties that typically occurs in
the second and third quarters. Scheelite Dome and Twin Buttes were the principal
properties on which capitalized expenditures were incurred. In the third
quarter geophysical and drilling programs were completed at Scheelite Dome,
while an auger sampling program was completed at Twin Buttes.
General and administrative expenses, including corporate and project overhead
decreased to $549,000 for the first nine months of 1998 as compared to $691,000
for the same nine month period for 1997. The decrease reflects the closure the
Fairbanks office, the absence of costs incurred in transferring the head office
functions from Salt Lake City to Vancouver, which occurred in the first quarter
of 1997, and a focused effort to minimize costs. The general and administrative
expenses for the third quarter were $184,000 compared to $130,000 in the
comparable period in 1997. The higher costs versus the comparable period in 1997
are due in part to activity associated with the proposed business combination
with Kinross Gold Corporation, the completion of the two private placements and
the additional listing on the Toronto Stock Exchange.
Operating and mine maintenance costs were $221,000 for the first nine months of
1998 as compared to $218,000 in the first nine months of 1997. During the third
quarter 1998 the costs were $149,000 compared to $117,000 in 1997. The major
costs for the reclamation and environmental monitoring activities at the Ryan
Lode project have been incurred in the second and third quarters of 1998, as
reflected in these expenditures. The total costs in 1998 are expected to be
lower than were incurred in 1997 reflecting the planned reduction in reclamation
and environmental monitoring activities at the Ryan Lode project following a
major effort last year.
Royalty and lease payments were identical at $112,500 and $37,500 for the nine
month periods and third quarters.
Net interest income for the first nine months of 1998 was $24,000 compared with
$59,000 for the comparable nine months of 1997. In the third quarter 1998 net
interest income was $21,000 compared with $13,000 in the comparable period in
1997. The interest income reflects the changes in term deposits. The Company
currently has no debt, having completed the repayment of its outstanding debt
last year.
Depreciation declined to $11,000 from $43,000 for the nine months as some of the
equipment required for the Ryan Lode and Fairbanks office was disposed of in
1997.
LIQUIDITY AND CAPITAL RESOURCES
During the first nine months of 1998, the Company has relied on its December 31,
1997 cash on hand of $613,000 and private placements with gross proceeds of
$1,870,000 to fund its requirements for general and administrative costs and
ongoing exploration and development projects.
At September 30, 1998, the Company had working capital of approximately
$1,134,000 compared with $633,000 for the comparable period in 1997. The Company
believes that it has sufficient working capital to cover expenditures required
for the balance of 1998 and into 1999.
During the nine months of 1998, cash flows from operating activities used
approximately $468,000 and investing activities $510,000, primarily respecting
capitalized exploration costs and investments in mineral properties offset to a
limited extent by the proceeds from the sale of investments. During the nine
months of the comparable period in 1997, cash flows from operating activities
used approximately $940,000 and investing activities $668,000, again primarily
respecting capitalized exploration costs and investments in mineral properties.
Remaining cash requirements for 1998 will be provided for from current cash
reserves.
The Company will receive no further cash payments from Newmont under the True
North JV Agreement. Beyond 1998, the Company may require additional capital for
ongoing administrative, exploration, development and acquisition activities. In
order to meet such long-term needs, it will be necessary to obtain required
capital from the sale of securities, possible new joint ventures or similar
arrangements, project financing or other sources. There can be no assurance
that any required additional funds will be available or can be obtained on terms
favorable to the Company.
The Company has outstanding options to purchase an aggregate of 1,424,000 shares
of common stock at an average exercise price of $1.80 per share, for a total of
$ 2,562,900; and outstanding warrants to purchase an aggregate of 2,333,000
shares of common stock at an exercise price of $1.05 per share in 1999 for a
total of $ 2,449,650 or $1.25 per share in 2000 for a total of $2,916,250; but
cannot predict whether any material number of either options or warrants will be
exercised.
PROJECTED 1998 REQUIREMENTS
The Company has budgeted approximately $1,600,000 to continue with the True
North project under joint venture with Newmont, fund the continuation of basic
activities at the Ryan Lode property and other prospects and to meet other
ongoing operating expenses.
Notwithstanding Newmont's announcement of its intent to continue with the True
North Joint Venture the decisions by Newmont respecting its True North
activities are beyond the ability of the Company to predict or control. Newmont
planned substantial additional exploration and development work during 1998,
including $2.1 million for pre-feasibility studies through the full year and
$1.5 million for exploration through the end of June. Subsequent to the third
quarter Newmont indicated, having completed the metallurgical work on the bulk
samples, that it has put further development work on indefinite hold and will
not proceed with the planned prefeasibility study at this time. Provisions of
the joint venture agreement are such that Newmont may withdraw from the joint
venture at its sole discretion. In the event of termination by Newmont, the
Company will re-acquire, at no cost, Newmont's 65% interest in the True North
project, including subsequently acquired acreage, together with all exploration
data, and the Company will then become obligated for the continuing carrying
costs and expenses of the True North project. Newmont may also elect to attempt
to sell an interest in the joint venture agreement, in which case the Company
has the right of first opportunity to acquire Newmont's interest. Under the
terms of the private placement with Kinross Gold Corporation ("Kinross") La Teko
has granted Kinross a right of first refusal to finance the purchase of
Newmont's interest in the True North Project in the event such interest is
offered to La Teko through La Teko's right of first opportunity as defined under
the terms of the joint venture agreement between La Teko and Newmont. Under the
agreement between La Teko and Kinross, if Newmont elects to sell all or part of
its 65% interest in True North (the "Newmont Interest") and if Kinross elects to
finance La Teko to acquire the Newmont Interest, Kinross will advance the funds
necessary for La Teko to acquire the Newmont Interest by means of a 120 day
interest-free loan (the "Loan"), secured by the Newmont Interest. At the
election of either La Teko or Kinross, La Teko would repay the Loan by conveying
the Newmont Interest to Kinross, provided that La Teko may elect to retain
15/65ths of the Newmont Interest. In such case, La Teko would repay the
remainder of the Loan in cash or, at La Teko's option, by issuing shares to
Kinross at a 10% premium to market.
As discussed earlier under the "General" section, La Teko has entered into an
agreement to merge with Kinross. La Teko has adequate resources to meet the
1998 and 1999 requirements to complete this transaction.
COMMITMENTS AND CONTINGENCIES
Operations are subject to certain lease and royalty obligations.
The Company carries insurance against property damage including insurance on its
machinery and equipment and motor vehicles and also comprehensive general
liability and liability policies applicable to motor vehicles. The Company has
elected not to insure against business interruption.
The Company cannot insure for environmental pollution and has elected not to
insure for mine cave-ins, flooding, earthquake and other possible natural
hazards consistent with industry practice. The Company may in the future be
exposed to contingencies and liabilities relating to the foregoing that may
arise under governmental regulations relating to the environment. Subsequent to
this reporting period the Company learned of contamination which occurred a
number of years ago at the Ryan Lode site that could expose the Company to
certain liabilities. The Company is investigating the events and analyzing the
material to determine the extent of the contamination and appropriate actions.
The Company may be liable to sanctions and be responsible for costs of cleanup
and disposal of the material. The Company is in the process of establishing a
sampling and clean-up plan and reporting the situation to the appropriate
governmental authorities and anticipates that discussions will follow regarding,
if applicable, any sanctions and the cleanup and disposal measures required.
The Company has implemented procedures to minimize the possibility of chemical
spills, especially in its drilling and Ryan Lode operations.
CHANGING PRICES, CURRENCY EXCHANGE RATES AND INFLATION
The value of the Company's properties and its proposed operations have been and
will continue to be affected generally by changes in gold prices and general
market conditions. The Company's ability to obtain exploration capital through
joint ventures or other arrangements with other mining firms and attract
additional capital, if required, through the sale of securities or borrowings on
attractive terms are also affected by gold prices and general market conditions.
Such prices are subject to substantial fluctuations that are beyond the ability
of the Company to control or predict.
Although certain of the Company's costs and expenses are affected by the level
of inflation, inflation has not had a significant effect on the Company's
operations. Similarly, the Company's operations, all of which except for its
executive offices are located in the United States, are not materially affected
by fluctuations in the exchange rate between Canadian and US dollars.
OTHER
The Company has reviewed all recently issued, but not yet adopted, accounting
standards in order to determine their effects, if any, on the results of
operations or financial position of the Company. Based on that review, the
Company believes that none of these pronouncements will have significant effects
on current or future operations.
ITEM 6 - EXHIBITS AND REPORTS ON FORM 8-K
(A) EXHIBITS
The following exhibits are included a part of this report:
Exhibit No. SEC Reference No. Title of Document Location
- ----------- ----------------- --------------------- -----------
27.01 27 Financial Data Schedule This filing
(B) REPORTS ON FORM 8-K
During the quarter ended September 30, 1998 the Company filed the following
reports on Form 8-K:
Date of event reported Item reported
- ---------------------- --------------------
July 6, 1998 Item 5.Other events
July 7, 1998 Item 5.Other events
July 17, 1998 Item 5.Other events
September 2, 1998 Item 5.Other events
September 10, 1998 Item 5.Other events
SIGNATURES
In accordance with the requirements of the Securities Exchange Act of 1934,
the registrant caused this report to be signed on its behalf by the undersigned,
thereunto duly authorized.
LA TEKO RESOURCES LTD.
(Registrant)
Date: November 19, 1998 By /s/ Gerry G. Carlson
24
<TABLE> <S> <C>
<ARTICLE> 5
<LEGEND>
THIS SCHEDULE CONTAINS SUMMARY FINANCIAL INFORMATION EXTRACTED FROM THE
BALANCE SHEET AS OF SEPTEMBER 30, 1998, AND STATEMENTS OF OPERATIONS FOR THE
QUARTER ENDED SEPTEMBER 30, 1998, AND IS QUALIFIED IN ITS ENTIRETY BY
REFERENCE TO SUCH FINANCIAL STATEMENTS.
</LEGEND>
<S> <C>
<PERIOD-TYPE> 9-MOS
<FISCAL-YEAR-END> DEC-31-1998
<PERIOD-START> JAN-01-1998
<PERIOD-END> SEP-30-1998
<CASH> 1,291,750
<SECURITIES> 0
<RECEIVABLES> 50,728
<ALLOWANCES> 0
<INVENTORY> 0
<CURRENT-ASSETS> 1,342,478
<PP&E> 11,621,687
<DEPRECIATION> (23,468)
<TOTAL-ASSETS> 13,307,576
<CURRENT-LIABILITIES> 208,567
<BONDS> 0
<COMMON> 20,053,092
0
0
<OTHER-SE> (6,954,083)
<TOTAL-LIABILITY-AND-EQUITY> 13,099,009
<SALES> 0
<TOTAL-REVENUES> 0
<CGS> 0
<TOTAL-COSTS> (895,318)
<OTHER-EXPENSES> (327,369)
<LOSS-PROVISION> 0
<INTEREST-EXPENSE> 24,357
<INCOME-PRETAX> (1,198,330)
<INCOME-TAX> 0
<INCOME-CONTINUING> (1,198,330)
<DISCONTINUED> 0
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> (1,198,330)
<EPS-PRIMARY> (0.042)
<EPS-DILUTED> (0.042)
</TABLE>
