Related Party Balances and Transactions

6 Months Ended

Jun. 30, 2012

Related Party Balances and Transactions

From inception to September 30, 2011, the Company operated under a management agreement with a related party Shamika Resources, Inc., which is controlled by the Company’s former CEO, Robert Vivian. The Company had no employees or office expenses as such were provided by consultants through the management agreement with Shamika Resources, Inc. The agreement with Shamika Resources, Inc. was informal. For the six months ended June 30, 2011, the Company incurred management fees expense of $468,811 under the agreement with Shamika Resources, Inc. As of June 30, 2012 and December 31, 2011, there were no outstanding amounts due to Shamika Resources Inc.

Beginning October 1, 2011, the Company is operating under an informal consulting agreement with Henry Riedl, the Company’s current CEO. During the six months ending June 30, 2012, the Company incurred expense of $52,500 under the consulting agreement with Henry Riedl. As of June 30, 2012 and December 31, 2011, $65,488 and $33,625, respectively, is recorded as accounts payable-related party under the agreement with Mr. Riedl.

Related party payables are recorded at cost, are non-interest bearing, unsecured and have no specific terms for repayment.

- Definition

The entire disclosure for related party transactions. Examples of related party transactions include transactions between (a) a parent company and its subsidiary; (b) subsidiaries of a common parent; (c) and entity and its principal owners; and (d) affiliates.

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef

-Publisher FASB

-Name Accounting Standards Codification

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Reference 2: http://www.xbrl.org/2003/role/presentationRef

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-Name Accounting Standards Codification

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Reference 3: http://www.xbrl.org/2003/role/presentationRef

-Publisher FASB

-Name Accounting Standards Codification

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Reference 4: http://www.xbrl.org/2003/role/presentationRef

-Publisher FASB

-Name Statement of Financial Accounting Standard (FAS)

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-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

Reference 5: http://www.xbrl.org/2003/role/presentationRef

-Publisher FASB

-Name Accounting Standards Codification

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Reference 6: http://www.xbrl.org/2003/role/presentationRef

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Reference 7: http://www.xbrl.org/2003/role/presentationRef

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-Name Accounting Standards Codification

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Reference 8: http://www.xbrl.org/2003/role/presentationRef

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Reference 9: http://www.xbrl.org/2003/role/presentationRef

-Publisher SEC

-Name Regulation S-X (SX)

-Number 210

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-Paragraph k

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+ Details

SHAMIKA 2 GOLD, INC. 10-Q/A