SECURITIES AND EXCHANGE COMMISSION
WASHINGTON D.C. 20549
FORM 10K
Annual Report Pursuant to Section 13 or 15(d) of the
Securities Exchange Act of 1934.
For the Fiscal Year Ended December 31, 1997
Commission File #07883
BAGDAD CHASE, INC.
(Exact Name of Registrant as Specified in its Charter)
State of Incorporation: Nevada I.R.S. I.D. 95-236978
Address of Principal Executive Office: 359 San Miguel Dr., Suite 203
Newport Beach, CA 92660
Registrants Telephone Number including Area Code: (714) 644-4633
Securities registered pursuant to Section 12(b) of the Act: None
Securities registered pursuant to Section 12(g) of the Act: $1.00 par
value common stock. Currently not registered with any exchange.
Shares of common stock issued and outstanding on December 31, 1995:
1,689,921 Number of Shareholders: 583
The registrant has filed all reports required to be filed by Section
13 or 15(d) of the Securities and Exchange Act of 1934 during the
preceding twelve months and has been subject to such filing
requirements for the past ninety (90) days. _X_ Yes ___ No
DOCUMENTS INCORPORATED BY REFERENCE: NONE
<PAGE>
PART I
Current disclosure requirements covering the business, leases,
properties, legal proceedings and beneficial ownership.
1. Business:
The Registrant was organized as a Nevada corporation in November
1926. The name originally was Pacific Mines and Metals, Inc. In
May, 1968, there was a merger of three (3) corporations: Gold Ore
Mining Company, an Arizona Corporation, Crown Oil Company, a Utah
Corporation and Pacific Mines and Metals, Inc. Registrant was the
surviving corporation. On May 16, 1968, the name was changed to
Bagdad Chase, Inc.
The Registrant was originally formed to acquire mining property in
the Western States, namely California, Nevada and Idaho. The
Registrant's property consists of the following:
(1) The Bagdad Chase Mine consisting of twenty-six patented claims
located eight miles south of Ludlow, California in the Stedman
Mining District. Ludlow is fifty miles east of Barstow,
California on Highway 40. The property can be reached by a dirt
road from Ludlow. Roadsigns indicate the direction of the mine.
Additionally Bagdad Chase, Inc. controls 31 Stedman District
placer claims.
(2) The Golden Anchor Mine is located in the Marshall Lake Mining
District in Idaho County, Idaho. It consists of six patented
claims and forty-six unpatented claims. It is located three and
a half miles south of the Salmon River, fifty miles north of
McCall, and thirty-five miles southeast of Riggins. The mine
can also be reached on a road from McCall via Burgdoff, a
distance of forty-nine miles, or from Riggins along the Salmon
River to Cary Creek Road.
(3) The Oro Belle Mine is located in the Eastern part of San
Bernardino County, California. It consists of three patented
claims. The mine can be reached by taking Interstate Highway
15 (between Baker, California and Las Vegas, Nevada) to Nipton,
turning south on Highway 68 onto the Hart Mining road to
Ivanpah, then, onto a partially paved and partially dirt
road approximately seven miles.
All of these mines contain gold mineralization. Bagdad Chase Mine also
contains copper and minor silver mineralization. Between 1988 and 1992
Bagdad Chase, Inc. expended a quarter of a million dollars on the Golden
Anchor Mine in an effort to re-open the mine, survey and perfect additional
unpatented mining claims and complete the assessment work. The Oro Belle
Mine is currently leased to Viceroy Resources Corporation which is actively
mining it. After the Bagdad Chase lease with United States Oil & Mineral
Corporation was terminated by court order, an agreement was approved by
Bagdad Chase, Inc.'s Board of Directors and Shareholders (the latter
approval was at the June 12, 1993 annual meeting) to grant to United States
Oil & Mineral Corporation or a qualified third party located by United
States Oil & Mineral Corporation a sale/option to all of Company's Stedman
Mining District patents and claims for $3,500,000. United States Oil &
Mineral Corporation did not make any of its payments and Thomas S.
Hudspeth, Esq. the arbitrator designated by the Appeals Court would not
resolve the matter or make findings of fact that any interests of United
States Oil & Mineral Corporation have expired because the escrow company
selected by United States Oil & Mineral Corporation will not release any of
the documents. The Board has approved of the filing of additional
litigation to compel the release of the documents so that Bagdad Chase will
have complete control over its properties.
2. Properties: Op. Cit. (Item 1. above).
3. Legal Proceedings: Op. Cit. (first of this page).
4. Submission of Matters to a Vote of Security:
As earlier referenced at the June 12, 1993 annual meeting of Shareholders,
the shareholders approved granting to United States Oil & Mineral
Corporation or a qualified third party located by United States Oil &
Mineral Corporation a sale/option to all of Company's Stedman Mining
District patents and claims for $3,500,000, as earlier discussed herein.
<PAGE>
PART II
5. Market for the Registrant's Common Equity and Related Stockholder
Matters:
There has been no market made since 1976. No dividends have been paid.
<TABLE>
<CAPTION>
6. Selected Financial Data:
Year Ended December 31, 1996
1997 1996 1995 1994 1993
<S> <C> <C> <C> <C> <C>
Gross operating revenue 32,675 19,130 6,000 6,000 6,104
Net income (loss) (21,861) (70,261) (17,566) (46,045) (51,545)
Net income (loss) per
common share (.02) (.04 ) (.01) (.03) (.03)
Cash dividends per - - - - -
common share
Financial position at year end:
Total assets 64,471 86,341 156,603 174,169 220,369
Long-term obligations 0 0 0 0 155
</TABLE>
7. Management's Discussion and Analysis of Financial Condition and
Results of Operations:
In 1997 the principal activity was the continued mining of the mine under
the control of Viceroy Resources Corporation. As the holder of the lease
agreement on the Oro Belle property in the Castle Mountain District of
eastern San Bernardino County, California, has been profitably operating
its vast mining properties at a low cash cost of $179 per ounce while
realizing a gold price of approximately $400.
No effort was extended nor further funds expended on the Golden Anchor
property except for necessary claim maintenance.
8. Disagreements on Accounting and Financial Disclosure:
None.
<PAGE>
PART III
9. Officers and Directors of the Registrant:
<TABLE>
<CAPTION>
Name of Director Age Year First Elected Term expires Position
<S> <C> <C> <C> <C>
Lee Bernard 82 1985 (*) Board Chair
Kermit Skeie 82 1981 (*)
Phillip J. Buller 48 1974 (*) President
Paul W. Buller 50 1985 (*)
George Rodda, Jr. 66 1987 (*) Secretary/CFO
(*) next meeting of Shareholders
</TABLE>
10. Management Remuneration and Transactions:
The following table and the accompanying notes show the remuneration paid
by Company during the year ending December 31, 1997 to all officers and
directors. No executive officer or director received remuneration
exceeding $60,000 during 1997, and no officer or director received
contingent remuneration.
<TABLE>
<CAPTION>
Name Capacity Cash compensation
<S> <C> <C>
Lee Bernard Board Chair $ 200.00
Kermit Skeie Director 0.00
Phillip J. Buller President 1,056.00
Paul W. Buller Director 0.00
George Rodda, Jr. Secretary/Chief Financial Officer 200.00
</TABLE>
11. Security Ownership of Certain Beneficial Owners and Management:
<TABLE>
<CAPTION>
Name and Occupation Director Since Common Stock Owned
<S> <C> <C>
Phillip J. Buller 1974 53,647
Contractor
Kermit Skeie 1981 39,000
Management Engineering Consultant
H. Lee Bernard 1984 24,230
Retired (Served 4 terms during 1970's)
Paul W. Buller 1985 45,598
Pilot (Served 2 terms during 1980's)
George Rodda, Jr. 1987 30,707
Attorney
Other beneficial owners with more than 5% of shares:
Elizabeth D. Murphy (Aggregate) 212,882
</TABLE>
12. Certain Relationships and Related Transactions:
None
<PAGE>
PART IV
13. Exhibits, Financial Statement Schedules, and Reports on Form 8K:
[ARTICLE] 5
<TABLE>
A. Unaudited Profit and Loss
Ordinary Income/Expense JAN - DEC '97
<S> <C>
Expense
EDGAR DISC 40.56
SVC CHRG 15.50
PROP TAX 92.68
MOTION COPIES 25.34
MOTION FEE 14.00
DIRECTORS EXPENSE 483.53
SEC FILING FEES 1,755.55
CORP. STM. FILING 10.00
DIRECTOR'S FEES 1,456.25
INSURANCE 1,636.88
LICENSES/PERMITS 277.00
PROFESSIONAL FEES
STOCK TRANSFER 35.00
ACCOUNTING 3,929.95
LEGAL FEES 5,214.56
TOTAL PROFESSIONAL FEES 9,179.51
RENT 5,500.00
TAXES
PROPERTY 396.84
STATE 800.00
TOTAL TAXES 1,196.84
TELEPHONE 186.14
TOTAL EXPENSE 21,869.78
NET INCOME -21,869.78
B. UNAUDITED BALANCE SHEET DEC 31, 1997
<S> <C>
ASSETS
CURRENT ASSETS
CHECKING 56.46
TOTAL 56.46
OTHER CURRENT ASSETS
MARKETABLE SECURITIES 83,086.00
ALLOWANCE FOR COST -60,136.00
TOTAL OTHER CURRENT ASSETS 22,950.00
TOTAL CURRENT ASSETS 23,006.46
FIXED ASSETS
FIELD EQUIP.
ORIGINAL COST 9,495.00
DEPRECIATION - 9,495.00
TOTAL 0.00
MACHINERY
ORIGINAL COST 2,178.00
DEPRECIATION - 2,178.00
TOTAL 0.00
MINE DEVELOPMENT COST
ORIGINAL COST 38,707.00
OTHER COST 14,600.00
TOTAL MINE DEVELOPMENT COST 53,307.00
TOTAL NON-PRODUCING MINES 20,833.00
TOTAL FIXED ASSETS 74,140.00
OTHER ASSETS
DEPOSITS -32,675.00
TOTAL ASSETS 64,471.46
LIABILITIES & EQUITY
EQUITY
COMMON STOCK 239,460.00
ACCUMULATED DEFICIT -136,857.39
RETAINED EARNINGS - 70,261.37
NET INCOME - 21,869.78
TOTAL EQUITY 64,471.46
TOTAL LIABILITIES AND EQUITY 64,471.46
</TABLE>
C. There were no Reports on Form 8K during 1996
<PAGE>
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 10 K
FOR THE YEAR ENDING DECEMBER 31, 1997
SIGNATURES
Pursuant to the requirements of the Securities and Exchange Act of 1934,
the registrant has duly caused this report, on its behalf by the
Undersigned, thereunto duly authorized. PLEASE NOTE: the CPA's compilation
will not be timely received, thus occasioning unaudited reports.
Dated: January 12, 1998
BAGDAD CHASE, INC.
a Nevada corporation
By
PHILLIP BULLER, President
By
GEORGE RODDA, JR., Secretary
Chief Financial Officer
(seal)
