ACRG is a pre-revenue Nevada-incorporated exploration-stage company with zero operating revenues in both 2025 and 2024. Under a liquidation lens, equity recovery is deeply negative and worsened modestly year-over-year. Total assets at December 31, 2025 were $3.95M against total liabilities of $4.47M plus $10.0M of mezzanine-classified Series A Preferred Stock with a $10.0M liquidation preference, producing a GAAP stockholders' deficit of $10.5M before the preferred claim. Applying liquidation haircuts makes the position materially worse: cash of $5K recovers at par; prepaid expenses of $42K recover near zero in a wind-up; and mineral rights of $3.88M—the single largest asset, representing 98% of non-current assets—carry substantial recovery uncertainty. Management confirmed no impairment in 2024, but the Tonopah property has no proven or probable reserves, no operating cash flows, and requires significant permitting and construction before any value can be demonstrated. Under a 50% haircut to mineral rights (consistent with undeveloped exploration-stage real property), recoverable asset value approximates $2.0M against $4.47M of face-value liabilities plus the $10.0M preferred liquidation preference, implying equity recovery of approximately negative $12.5M. The GPR related-party line of credit, which had been the primary debt instrument, was fully extinguished on December 31, 2025 via conversion of $1.73M of principal and accrued interest into 1,644,906 restricted shares at $1.05/share. This removes a secured floating liability from the stack but simultaneously concentrates GPR's ownership to approximately 81.4% of common shares outstanding, tightening related-party control. The SWIS LLC rescission in November 2025 was balance-sheet neutral given the intangible had been fully impaired in 2024; the residual impact is a new $105K promissory note payable to LaunchIT (current, due in four equal installments through April 2026) and assumption of $100K of accounts payable, partially offset by extinguishment of $194K of related-party AP. Accrued interest of $2.51M remains the largest current liability after the LOC conversion, representing accumulated interest on third-party and legacy obligations now held by GPR. The Company carries $18.0M in gross deferred tax assets, all subject to a full valuation allowance, with $38.2M of post-Section 382 usable NOL carryforwards—zero liquidation value. Going concern qualification is unmodified. Filing discusses the pending SMS Group acquisition commitment and AMI joint venture MOU in MD&A/commitments, but neither is separately tagged in XBRL and neither creates a measurable balance-sheet liability at this date. The $10.0M Series A Preferred Stock liquidation preference is triggered only by specific contingent events (market cap threshold of $200M or liquidity proceeds of $50M+), neither of which is remotely proximate; nonetheless, in an actual wind-up the preferred would stand ahead of common in the distribution waterfall.
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