New Pacific Metals CorpTSX: NUAG

Sept 30, 2026 First Quarter Consolidated Interim Financial Statements

· Issued by New Pacific Metals Corp

Summary by 6ix AI

New Pacific Metals Corp., a Canadian company exploring and developing mineral properties in Bolivia, reported an unaudited net loss of US$1,417,709, or US$0.01 a share, for the three months ended September 30, 2026. A year earlier the loss was US$745,637, or US$0.00 a share.

Key details

  • Cash and cash equivalents were US$36,922,547 at September 30, 2026, compared with US$38,565,329 at June 30, 2026. Working capital, meaning short-term assets minus short-term liabilities, was US$35,938,998 at September 30, 2026.
  • The company says it has sufficient cash to meet its short-term liabilities and its planned exploration and development spending on its Bolivian projects for, but not limited to, the next 12 months. It has a history of losses and no operating revenues.
  • For the three months ended September 30, 2026, total operating expense was US$1,442,118 (2025: US$1,316,832), there was a foreign exchange loss of US$293,751 (2025: a gain of US$457,144) and interest income was US$316,590 (2025: US$100,673).
  • Expenditures capitalized (recorded as part of the projects' carrying cost rather than expensed) in the quarter were US$916,576 at the Carangas Project (2025: US$173,583), US$439,199 at the Silver Sand Project (2025: US$513,274) and US$10,838 at the Silverstrike Project (2025: US$15,472).
  • After September 30, 2026, 100,000 stock options were exercised at an average exercise price of CAD $3.30, and 129,417 restricted share units (RSUs, issued under the company's share-based compensation plan) vested and were distributed.

6ix AI wrote this summary from the release below and checked it against the release.

UNAUDITED CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS

For the three months ended September 30, 2026 and 2025 (Expressed in United States Dollars)

Unaudited Condensed Consolidated Interim Statements of Financial Position

(Expressed in US dollars)

Notes

September 30, 2026

June 30, 2026

ASSETS

Current Assets

Cash and cash equivalents

12

$ 36,922,547

$ 38,565,329

Receivables

96,155

81,208

Deposits and prepayments

516,608

243,330

37,535,310

38,889,867

Non-current Assets

Property, plant and equipment

4

960,009

936,947

Mineral property interests

5

122,065,430

120,675,217

TOTAL ASSETS

$ 160,560,749

$ 160,502,031

LIABILITIES AND EQUITY

Current Liabilities

Accounts payabl e and accrued liabi lities

6

$ 1,373,022

$ 936,142

Due to a related party

7

223,290

189,655

1,596,312

1,125,797

Total Liabilities

1,596,312

1,125,797

Equity

Share capital

8

216,306,428

215,380,495

Share-based payment reserve

19,419,615

19,454,623

Accumulated other comprehensive income

7,248,541

7,133,554

Deficit

(84,010,147)

(82,592,438)

Total Equity

158,964,437

159,376,234

TOTAL LIABILITIES AND EQUITY

$ 160,560,749

$ 160,502,031

Approved on behalf of the Board:

(Signed) Maria Tang

Director

(Signed) Jalen Yuan

CEO

See accompanying notes to the unaudited condensed consolidated interim financial statements.

Unaudited Condensed Consolidated Interim Statements of Loss (Expressed in US dollars)

Three months ended September 30,

Notes

2026

2025

Operating expense

Project evaluation and corporate development

$ (1,829)

$ (14,619)

Depreciation

4

(31,154)

(47,090)

Filing and listing

(105,573)

(74,745)

Corporate affairs and investor relations

(123,732)

(94,174)

Professional fees

(69,559)

(92,981)

Salaries and benefits

(449,718)

(432,582)

Office and administration

(257,263)

(235,815)

Share-based compensation

8(b)

(403,290)

(324,826)

Total operating expense

(1,442,118)

(1,316,832)

Other income

Income from investments

3

$ 316,590

$ 114,051

Gain on disposal of property, pl ant and equipment

4

1,570

-

Foreign exchange (loss) gain

(293,751)

457,144

Total other income

24,409

571,195

Net loss

$ (1,417,709)

$ (745,637)

Loss per share - basic and diluted

$ (0.01)

$ (0.00)

Weighted average number of common shares - basic and diluted

185,390,831

172,047,125

See accompanying notes to the unaudited condensed consolidated interim financial statements.

Unaudited Condensed Consolidated Interim Statements of Comprehensive Loss (Expressed in US dollars)

Three months ended September 30,

Notes

2026

2025

Net loss

Other comprehensive income(loss), net of taxes:

Items that may subsequently be reclassified to net loss: Currency translation adjustment, net of tax of $nil

$ (1,417,709)

114,987

$ (745,637)

(644,640)

Other comprehensive income (loss), net of taxes

$ 114,987

$ (644,640)

Total comprehensive loss, net of taxes

$ (1,302,722)

$ (1,390,277)

See accompanying notes to the unaudited condensed consolidated interim financial statements.

Unaudited Condensed Consolidated Interim Statements of Cash Flows (Expressed in US dollars)

Three months ended September 30,

Notes

2026

2025

Operating activities

Net loss

$ (1,417,709)

$ (745,637)

Add (deduct) items not affecting cash:

Income from investments

3

(316,590)

(114,051)

Depreciation

4

31,154

47,090

Gain on disposal of property, plant and equipment

4

(1,570)

-

Share-based compensation

8(b)

403,290

324,826

Foreign exchange loss (gain)

293,751

(457,144)

Changes in non-cash operating working capital

12

380,387

172,017

Interest received

3

316,590

100,673

Net cash used in operating activities

(310,697)

(672,226)

Investing activities

Mineral property interest Capital expenditures

(1,381,110)

(703,850)

Property, plant and equipment

Additions

4

(56,797)

-

Proceeds on disposals

4

6,154

-

Net cash used in investing activities

(1,431,753)

(703,850)

Financing activities

Proceeds from issuance of common shares for option exercised

306,943

92,409

Net cash provided by financing activities

306,943

92,409

Effect of exchange rate changes on cash

(207,275)

159,825

Decrease in cash and cash equivalents

(1,642,782)

(1,123,842)

Cash and cash equivalents, beginning of the period

38,565,329

16,839,959

Cash and cash equivalents, end of the period

$ 36,922,547

$ 15,716,117

Supplementary cash flow information

12

See accompanying notes to the unaudited condensed consolidated interim financial statements.

New Pacific Metals Corp. Unaudited Condensed Consolidated Interim Statements of Change in Equity

(Expressed in US dollars)

Share ca

pital

Total equity

Number of

Share-based

Accumulated other

attributable to the

Non-

common

payment

comprehensive

equity holders of

controlling

Notes

shares issued

Amount

reserve

income (loss)

Deficit

the Company

interests

Total equity

Balance, July 1, 2025

171,904,301 $

183,315,257

$ 20,676,968

$ 8,697,745

$ (78,402,069)

$ 134,287,901

$ -

$ 134,287,901

Options exercised

65,222

128,896

(36,487)

-

-

92,409

-

92,409

Restricted share units vested

317,682

578,541

(578,541)

-

-

-

-

-

Share-based compensation

325,786

-

-

325,786

-

325,786

Net loss

-

-

-

-

(745,637)

(745,637)

-

(745,637)

Currency translation adjustment

-

-

-

(644,640)

(644,640)

-

(644,640)

Balance, September 30, 2025

172,287,205

184,022,694

20,387,726

8,053,105

(79,147,706)

133,315,819

-

133,315,819

Options exercised

834,805

2,795,129

(893,300)

-

-

1,901,829

-

1,901,829

Restricted share units distributed

700,014

1,553,433

(1,553,433)

-

-

-

-

-

Share-based compensation

-

-

1,513,630

-

-

1,513,630

-

1,513,630

Net common shares issued through

11,385,000

27,009,239

-

-

-

27,009,239

-

27,009,239

bought deal financing

Net loss

-

-

-

-

(3,444,732)

(3,444,732)

- (3,444,732)

Currency translation adjustment

-

-

-

(919,551)

-

(919,551)

- (919,551)

Balance, June 30, 2026

185,207,024

$ 215,380,495

$ 19,454,623

$ 7,133,554

$ (82,592,438)

$ 159,376,234

$ - $ 159,376,234

Options exercised

8(b)(i)

190,668

439,947

(133,004)

-

-

306,943

- 306,943

Restricted share units distributed

8(b)(ii)

229,952

485,986

(485,986)

-

-

-

- -

Share-based compensation

8(b)

-

-

583,982

-

-

583,982

- 583,982

Net loss

-

-

-

-

(1,417,709)

(1,417,709)

- (1,417,709)

Currency translation adjustment

-

-

-

114,987

-

114,987

- 114,987

Balance, September 30, 2026

185,627,644

$ 216,306,428

$ 19,419,615

$ 7,248,541

$ (84,010,147)

$ 158,964,437

$ - $ 158,964,437

See accompanying notes to the unaudited condensed consolidated interim financial statements.

Page | 5

(Expressed in US dollars)
  1. CORPORATE INFORMATION

    New Pacific Metals Corp. along with its subsidiaries (collectively, the "Company" or "New Pacific") is a Canadian mining issuer engaged in exploring and developing mineral properties in Bolivia. The Company is in the stage of exploring and advancing the development of its mineral properties and has not yet determined if they contain economically recoverable mineral reserves. The underlying value and the recoverability of the amounts shown for mineral property interests are entirely dependent upon the existence of recoverable mineral reserves, the ability of the Company to obtain the necessary financing to complete the exploration and development of the mineral properties, and future profitable production or proceeds from the disposition of the mineral property interests.

    The Company is publicly listed on the Toronto Stock Exchange ("TSX") under the symbol "NUAG" and on the NYSE American stock exchange ("NYSE-A") under the symbol "NEWP". The head office, registered address and records office of the Company are located at 1066 Hastings Street, Suite 1750, Vancouver, British Columbia, Canada, V6E 3X1.

  2. MATERIAL ACCOUNTING POLICY INFORMATION
    1. Statement of Compliance and Basis of Preparation

      These unaudited condensed consolidated interim financial statements have been prepared in accordance with IAS 34 - Interim Financial Reporting as issued by the International Accounting Standards Board (IASB). These unaudited condensed consolidated interim financial statements should be read in conjunction with the Company's audited consolidated financial statements for the year ended June 30, 2026. These unaudited condensed consolidated interim financial statements follow the same accounting policies, estimates and judgements set out in Note 2 to the audited consolidated financial statements for the year ended June 30, 2026.

      These unaudited condensed consolidated interim financial statements have been prepared on a going concern basis.

      The unaudited condensed consolidated interim financial statements of the Company as at and for the three months ended September 30, 2026 and 2025 were approved and authorized for issuance in accordance with a resolution of the Board of Directors (the "Board") dated on November 2, 2026.

    2. Basis of Consolidation

      These unaudited condensed consolidated interim financial statements include the accounts of the Company and its wholly or partially owned subsidiaries.

      Subsidiaries are consolidated from the date on which the Company obtains control up to the date of the disposition of control. Control is achieved when the Company has power over the subsidiary, is exposed or has rights to variable returns from its involvement with the subsidiary; and has the ability to use its power to affect its returns.

      Balances, transactions, income and expenses between the Company and its subsidiaries are eliminated on consolidation.

      (Expressed in US dollars)

      Details of the Company's significant subsidiaries which are consolidated are as follows:

      Name of subsidiaries Principal activity

      Country of incorporation

      Proportion of ownership interest held

      September 30, June 30,

      2026 2026

      Mineral properties

      New Pacifi c Offshore Inc. Holding company BVI (i) 100% 100% SKN Nickel & Platinum Ltd. Holding company BVI 100% 100% Glory Metals Investment Corp. Limited Holding company Hong Kong 100% 100% New Pacifi c Investment Corp. Limited Holding company Hong Kong 100% 100% New Pacifi c Andes Corp. Limited Holding company Hong Kong 100% 100% Fortress Mining Inc. Holding company BVI 100% 100% New Pacifi c Succes s Inc. Holding company BVI 100% 100% New Pacifi c Forward Inc. Holding company BVI 100% 100%

      Minera Alcira S.A. Exploration company Bolivia 100% 100% Si lver Sand NPM Minerales S.A. Corporate service company Bolivia 100% 100%

      Colquehuasi S.R.L. Exploration company Bolivia 100% 100% Si lverstrike Pathfinder Mining S.R.L. Exploration company Bolivia 100% 100% Carangas

      (i) British Virgin Islands ("BVI")

    3. New IFRS Accounting Standards and interpretations not yet applied

      IFRS 18 Presentation and Disclosure in Financial Statements ("IFRS 18")

      On April 9, 2024, the IASB issued IFRS 18 Presentation and Disclosure in Financial Statements. IFRS 18 will apply for reporting periods beginning on or after January 1, 2027 and also applies to comparative information. IFRS 18 will replace IAS 1; many of the other existing principles in IAS 1 are retained, with limited changes. IFRS 18 will not impact the recognition or measurement of items in the financial statements, but it may change what an entity reports as its 'operating profit or loss'. Key new concepts introduced in IFRS 18 relate to: (i) the structure of the statement of profit or loss; (ii) required disclosures in the financial statements for certain profit or loss performance measures that are reported outside of an entity's financial statements (that is, management-defined performance measures); and (iii) enhanced principles on aggregation and disaggregation which apply to the primary financial statements and notes in general. The Company is currently assessing the effects of IFRS 18 on the financial statements.

  3. INCOME FROM INVESTMENTS

    Income from investments consist of:

    Three months ended September 30,

    2026

    2025

    Fair value change on equity investments

    $ -

    $ 13,378

    Interest income

    316,590

    100,673

    Income from investments

    $ 316,590

    $ 114,051

    (Expressed in US dollars)
  4. PROPERTY, PLANT AND EQUIPMENT

    Cost

    Land and

    building

    Machinery

    Motor vehicles

    Office equipment

    and furniture

    Computer

    software

    Total

    Balance, July 1, 2025

    $ 630,000

    $ 525,407

    $ 486,490

    $ 387,206

    $ 90,753

    2,119,856

    Additions

    -

    19,244

    -

    15,169

    -

    34,413

    Disposals

    -

    (134,000)

    -

    -

    -

    (134,000)

    Foreign currency translation impact

    -

    -

    -

    (3,885)

    (3,621)

    (7,506)

    Balance, June 30, 2026

    $ 630,000

    $ 410,651

    $ 486,490

    $ 398,490

    $ 87,132

    $ 2,012,763

    Additions

    -

    -

    -

    56,797

    -

    56,797

    Disposals

    -

    -

    -

    (5,803)

    -

    (5,803)

    Foreign currency translation impact

    -

    -

    -

    147

    135

    282

    Balance, September 30, 2026

    $ 630,000

    $ 410,651

    $ 486,490

    $ 449,631

    $ 87,267

    $ 2,064,039

    Accumulated depreciation and amortization

    Balance, July 1, 2025

    $ -

    $ (293,874)

    $ (359,873)

    $ (242,559)

    $ (90,753)

    $ (987,059)

    Depreciation

    $ -

    $ (57,942)

    $ (73,645)

    $ (38,813)

    -

    (170,400)

    Disposals

    -

    74,289

    -

    -

    -

    74,289

    Foreign currency translation impact

    -

    -

    -

    3,733

    3,621

    7,354

    Balance, June 30, 2026

    $ -

    $ (277,527)

    $ (433,518)

    $ (277,639)

    $ (87,132)

    $ (1,075,816)

    Depreciation

    -

    (6,361)

    (9,037)

    (15,756)

    -

    (31,154)

    Disposals

    -

    -

    -

    3,208

    -

    3,208

    Foreign currency translation impact

    -

    -

    -

    (133)

    (135)

    (268)

    Balance, September 30, 2026

    $ -

    $ (283,888)

    $ (442,555)

    $ (290,320)

    $ (87,267)

    $ (1,104,030)

    Carrying amount

    Balance, June 30, 2026

    $ 630,000

    $ 133,124 $

    52,972 $

    120,851 $

    - $ 936,947

    Balance, September 30, 2026

    $ 630,000

    $ 126,763 $

    43,935 $

    159,311 $

    - $ 960,009

    For the three month ended September 30, 2026, certain office equipment and furniture were disposed for proceeds of $6,154 and gain of $1,570 (three month ended September 30, 2025 - $nil).

  5. MINERAL PROPERTY INTERESTS
    1. Silver Sand Project

      On July 20, 2017, the Company acquired the Silver Sand Project. The Project is located in the Colavi District of the Potosí Department, in Southwestern Bolivia, 33 kilometres ("km") northeast of Potosí City, the department capital. The project covers an area of approximately 5.42 km2 at an elevation of 4,072 metres ("m") above sea level.

      For the three months ended September 30, 2026, total expenditures of $439,199 (three months ended September 30, 2025 - $513,274) were capitalized under the project.

    2. Carangas Project

      In April 2021, the Company signed an agreement with a private Bolivian company to acquire a 98% interest in the Carangas Project. The project is located approximately 180 km southwest of the city of Oruro and within 50 km from Bolivia's border with Chile. The private Bolivian company is 100% owned by Bolivian nationals and holds title to an area of 39 km2.

      Under the agreement, the Company is required to cover 100% of the future expenditures on exploration, mining, development, and production activities for the project.

      For the three months ended September 30, 2026, total expenditures of $916,576 (three months ended September 30, 2025 - $173,583) were capitalized under the project.

      (Expressed in US dollars)
    3. Silverstrike Project

      In December 2019, the Company acquired a 98% interest in the Silverstrike Project from a private Bolivian corporation. The project covers an area of approximately 13 km2 and is located approximately 140 km southwest of the city of La Paz, Bolivia.

      For the three months ended September 30, 2026, total expenditures of $10,838 (three months ended September 30, 2025 - $15,472) were capitalized under the project.

      The continuity schedule of mineral property acquisition costs and deferred exploration and development costs is summarized as follows:

      Cost

      Silver Sand

      Carangas

      Silverstrike

      Total

      Balance, June 30, 2025

      $

      90,580,869

      $

      21,353,851

      $

      4,999,645

      $

      116,934,365

      Capitalized exploration expenditures

      Reporting and assessment

      765

      519,339

      -

      520,104

      Drilling and assaying

      11,014

      8,919

      589

      20,522

      Project management and support

      1,610,799

      958,627

      55,006

      2,624,432

      Camp service

      899,749

      154,812

      19,458

      1,074,019

      Permit and license

      6,359

      42,203

      -

      48,562

      Value added tax not claimed

      176,952

      21,178

      965

      199,095

      Foreign currency impact

      (527,807)

      (181,714)

      (36,361)

      (745,882)

      Balance, June 30, 2026

      $ 92,758,700

      $ 22,877,215

      $ 5,039,302

      $ 120,675,217

      Capitalized exploration expenditures

      Reporting and assessment

      -

      42,365

      -

      42,365

      Drilling and assaying

      -

      1,868

      -

      1,868

      Project management and support

      291,326

      747,881

      8,316

      1,047,523

      Camp service

      109,200

      62,433

      2,066

      173,699

      Permit and license

      2,887

      51,756

      -

      54,643

      Value added tax not claimed

      35,786

      10,273

      456

      46,515

      Foreign currency impact

      17,838

      4,427

      1,335

      23,600

      Balance, September 30, 2026

      $ 93,215,737

      $ 23,798,218

      $ 5,051,475

      $ 122,065,430

  6. ACCOUNTS PAYABLE AND ACCRUED LIABILITIES

    Accounts payable and accrued liabilities consist of:

    September 30, 2026

    June 30, 2026

    Accounts payable

    $ 492,185

    $ 387,991

    Accrued liabilities

    880,837

    548,151

    $ 1,373,022

    $ 936,142

  7. RELATED PARTY TRANSACTIONS

    Related party transactions are made on terms agreed upon by the related parties. The balances with related parties are unsecured, non-interest bearing, and due on demand. Related party transactions not disclosed elsewhere, if any, in the consolidated financial statements are as follows:

    Due to a related party September 30, 2026 June 30, 2026

    Silvercorp Metals Inc.

    $ 223,290 $

    189,655

    1. Silvercorp Metals Inc. ("Silvercorp") has one director and one officer in common with the Company. Silvercorp and the Company share office space and Silvercorp provides various general and administrative services to the Company. The Company expects to continue making payments to Silvercorp in the normal course of business. Office and administrative expenses rendered and incurred by Silvercorp on behalf of the Company for the three months ended September 30, 2026 were $251,095 (three months ended September 30, 2025 - $208,463).

    2. Compensation of key management personnel

      The remuneration of directors and other members of key management personnel for the three months ended September 30, 2026 and 2025 are as follows:

      Three months ended September 30,

      2026

      2025

      Director's cash compensation

      $ 26,799

      $ 16,336

      Director's share-based compensation

      126,465

      137,653

      Key management's cash compensation

      165,934

      97,067

      Key management's share-based compensation

      226,647

      108,072

      $ 545,845

      $ 359,128

      Other than as disclosed above, the Company does not have any ongoing contractual or other commitments resulting from transactions with related parties.

  8. SHARE CAPITAL
    1. Share Capital - authorized share capital

      The Company's authorized share capital consists of an unlimited number of common shares without par value.

    2. Share-based compensation

      The Company has a share-based compensation plan (the "Plan") under which the Company may issue stock options and restricted share units ("RSUs"). The maximum number of common shares to be reserved for issuance on any share-based compensation under the Plan is a rolling 10% of the issued and outstanding common shares from time to time.

      For the three months ended September 30, 2026, a total of $403,290 (three months ended September 30, 2025 - $324,826) was recorded as share-based compensation expense.

      For the three months ended September 30, 2026, a total of $180,693 (three months ended September 30, 2025 - $960) was capitalized under mineral property interests.

      1. Stock options

        The continuity schedule of stock options, as at June 30, 2026, is as follows:

        Number of options

        Weighted average exercise

        price (CAD$)

        Balance, July 1, 2025

        4,696,000

        $ 2.68

        Options granted

        400,000

        4.67

        Options exercised

        (900,027)

        3.04

        Options forfeited

        (381,335)

        2.42

        Balance, June 30, 2026

        3,814,638

        $ 2.83

        Options exercised

        (190,668)

        2.24

        Options forfeited

        (18,888)

        2.38

        Balance, September 30, 2026

        3,605,082

        $ 2.86

        The following table summarizes information about stock options outstanding as at September 30, 2026:

        Exercise prices (CAD$)

        Number of options

        outstanding as at September 30, 2026

        Weighted

        average remaining contractual life (years)

        Number of options

        exercisable as at September 30, 2026

        Weighted

        average exercise price (CAD$)

        $ 1.58

        1,066,416

        3.37

        472,166

        $1.58

        2.10

        713,001

        2.30

        570,332

        $2.10

        3.33

        103,000

        0.35

        103,000

        $3.33

        3.42

        587,000

        1.30

        587,000

        $3.42

        3.67

        20,000

        1.32

        20,000

        $3.67

        3.89

        5,000

        0.40

        5,000

        $3.89

        4.00

        733,000

        0.68

        733,000

        $4.00

        4.67

        377,665

        4.39

        52,671

        $4.67

        $1.58 - $4.67

        3,605,082

        2.28

        2,543,169

        $2.97

        Subsequent to September 30, 2026, a total of 100,000 options were exercised with an average exercise price of CAD $3.30.

      2. RSUs

        The continuity schedule of RSUs, as at September 30, 2026, is as follows:

        Number of shares

        Weighted average grant date

        closing price per share

        (CAD$)

        Balance, June 30, 2025

        2,188,866

        $ 2.40

        Granted

        745,000

        4.67

        Forfeited

        (182,834)

        2.08

        Distributed

        (1,017,696)

        2.88

        Balance, June 30, 2026

        1,733,336

        $ 3.12

        Forfeited

        (32,222)

        2.49

        Distributed

        (229,952)

        2.96

        Balance, September 30, 2026

        1,471,162

        $ 3.16

        Subsequent to September 30, 2026, a total of 129,417 RSUs were vested and distributed.

  9. FINANCIAL INSTRUMENTS

    The Company manages its exposure to financial risks, including liquidity risk, foreign exchange rate risk, interest rate risk, credit risk, and equity price risk in accordance with its risk management framework. The Board of Directors has overall responsibility for the establishment and oversight of the Company's risk management framework and reviews the Company's policies on an ongoing basis.

    1. Fair Value

      The Company classifies its fair value measurements within a fair value hierarchy, which reflects the significance of inputs used in making the measurements as defined in IFRS 13 - Fair Value Measurement ("IFRS 13").

      Level 1 - Unadjusted quoted prices at the measurement date for identical assets or liabilities in active markets.

      Level 2 - Observable inputs other than quoted prices included in Level 1, such as quoted prices for similar assets and liabilities in active markets; quoted prices for identical or similar assets and liabilities in markets that are not active; or other inputs that are observable or can be corroborated by observable market data.

      Level 3 - Unobservable inputs which are supported by little or no market activity.

      The following table sets forth the Company's financial assets that are measured at fair value on a recurring basis by level within the fair value hierarchy as at September 30, 2026 and June 30, 2026 that are not otherwise disclosed. As required by IFRS 13, financial assets are classified in their entirety based on the lowest level of input that is significant to the fair value measurement.

      Fair value as at September 30, 2026

      Recurring measurements

      Level 1

      Level 2

      Level 3

      Total

      Financial Assets

      Cash and cash equivalent

      $ 36,922,547 $

      - $

      - $

      36,922,547

      Fair value as at June 30, 2026

      Recurring measurements

      Level 1

      Level 2

      Level 3

      Total

      Financial Assets

      Cash and cash equivalent

      $ 38,565,329 $

      - $

      - $

      38,565,329

      Fair value of other financial instruments excluded from the table above approximates their carrying amount as of September 30, 2026, and June 30, 2026, respectively, due to the short-term nature of these instruments.

      There were no transfers into or out of Level 1, 2, or 3 during the three months ended September 30, 2026.

    2. Liquidity Risk

      The Company has a history of losses and no operating revenues from its operations. Liquidity risk is the risk that the Company will not be able to meet its short-term business requirements. As at September 30, 2026, the Company had a working capital position of $35,938,998 and sufficient cash resources to meet the Company's short-term financial liabilities and its planned exploration and development expenditures on various projects in Bolivia for, but not limited to, the next 12 months.

      (Expressed in US dollars)

      In the normal course of business, the Company may enter into contracts that give rise to commitments for future minimum payments. The following summarizes the remaining contractual maturities of the Company's financial liabilities:

      September 30, 2026 June 30, 2026

      Due within a year Total Total

      Accounts payable and accrued liabilities

      $ 1,373,022

      $ 1,373,022

      $ 936,142

      Due to a related party

      223,290

      223,290

      189,655

      $ 1,596,312

      $ 1,596,312

      $ 1,125,797

    3. Foreign Exchange Risk

      The Company is exposed to foreign exchange risk when it undertakes transactions and holds assets and liabilities denominated in foreign currencies other than its functional currencies. The functional currency of the head office, Canadian subsidiaries and all intermediate holding companies is CAD. The functional currency of all Bolivian subsidiaries is USD. The Company currently does not engage in foreign exchange currency hedging. The Company's exposure to foreign exchange risk that could affect net income is summarized as follows:

      Financial assets denominated in foreign currencies other than relevant functional

      currency

      September 30, 2026

      June 30, 2026

      United States dollars

      $ 625,101

      $ 626,576

      Bolivianos

      1,638,332

      1,728,490

      Total

      $ 2,263,433

      $ 2,355,066

      Financial liabilities denominated in foreign currencies other than relevant functional currency

      United States dollars

      $ 250,356

      $ 220,948

      Bolivianos

      429,262

      465,380

      Total

      $ 679,618

      $ 686,328

      As at September 30, 2026, with other variables unchanged, a 1% strengthening (weakening) of the USD against the CAD would have increased (decreased) net income by approximately $3,747.

      As at September 30, 2026, with other variables unchanged, a 1% strengthening (weakening) of the Bolivianos against the USD would have increased (decreased) net income by approximately $12,091.

    4. Interest Rate Risk

      Interest rate risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate due to changes in market interest rates. The Company holds a portion of cash in bank accounts that earn variable interest rates. Due to the short-term nature of these financial instruments, fluctuations in market rates do not have significant impact on the fair values of the financial instruments as of September 30, 2026. The Company, from time to time, also owns cashable guaranteed investment certificates ("GICs") and bonds that earn interest payments at fixed rates to maturity. Fluctuation in market interest rates usually will have an impact on bond's fair value. An increase in market interest rates will generally reduce bond's fair value while a decrease in market interest rates will generally increase it. The Company monitors market interest rate fluctuations closely and adjusts the investment portfolio accordingly.

      (Expressed in US dollars)
    5. Credit Risk

      Credit risk is the risk of financial loss to the Company if the counterparty to a financial instrument fails to meet its contractual obligations. The Company's exposure to credit risk is primarily associated with cash and cash equivalents, and receivables. The carrying amount of financial assets included on the statement of financial position represents the maximum credit exposure.

      The Company has deposits of cash and cash equivalent that meet minimum requirements for quality and liquidity as stipulated by the Board. Management believes the risk of loss to be remote, as the majority of its cash and cash equivalent is held with major financial institutions. Bonds by nature are exposed to more credit risk than cash and cash equivalent. The Company manages its risk associated with bonds by only investing in large globally recognized corporations from diversified industries. As at September 30, 2026, the Company had a receivables balance of $96,155 (June 30, 2026 - $81,208).

  10. CAPITAL MANAGEMENT

    The objectives of the capital management policy are to safeguard the Company's ability to support exploration and operating requirements on an ongoing basis, continue the investment in high quality assets along with safeguarding the value of its mineral properties, and support any expansionary plans.

    The capital of the Company consists of the items included in equity less cash, cash equivalents and short-term investments. Risk and capital management are primarily the responsibility of the Company's corporate finance function and is monitored by the Board. The Company manages the capital structure and makes adjustments depending on economic conditions. Significant risks are monitored and actions are taken, when necessary, according to the Company's approved policies.

  11. SEGMENTED INFORMATION

    As at and for the three months ended September 30, 2026, the Company operates in four (as at and for the three months ended September 30, 2025 - four) reportable operating segments, one being the corporate segment; the other three being the exploration and development segments based on mineral properties in Bolivia. These reportable segments are components of the Company where separate financial information is available that is evaluated regularly by the Company's Chief Executive Officer, the chief operating decision maker ("CODM").

    (Expressed in US dollars)
    1. Segment information for assets and liabilities are as follows:

      September 30, 2026

      Exploration and Development

      Corporate Total

      Silver Sand

      Carangas

      Silverstrike

      Cash and cash equivalents

      $ 35,724,721

      $ 754,152

      $ 455,933

      $ (12,259)

      $ 36,922,547

      Plant and equipment

      131,409

      116,847

      78,331

      633,422

      960,009

      Mineral property interests

      -

      93,215,737

      23,798,218

      5,051,475

      122,065,430

      Other assets

      519,334

      62,885

      30,544

      -

      612,763

      Total Assets

      $ 36,375,464

      $ 94,149,621

      $ 24,363,026

      $ 5,672,638

      $ 160,560,749

      Total Liabilities

      $ (1,487,497)

      $

      (75,173)

      $

      (29,661)

      $

      (3,981)

      $

      (1,596,312)

      June 30, 2026

      Exploration and Development

      Corporate Total

      Silver Sand

      Carangas

      Silverstrike

      Cash and cash equivalents

      $ 37,292,965

      $ 742,235

      $ 542,341

      $ (12,212)

      $ 38,565,329

      Plant and equipment

      134,578

      129,228

      39,467

      633,674

      936,947

      Mineral property interests

      -

      92,758,700

      22,877,215

      5,039,302

      120,675,217

      Other assets

      276,914

      26,539

      21,085

      -

      324,538

      Total Assets

      $ 37,704,457

      $ 93,656,702

      $ 23,480,108

      $ 5,660,764

      $ 160,502,031

      Total Liabilities

      $ (894,887)

      $

      (225,807)

      $

      (2,140)

      $

      (2,963)

      $

      (1,125,797)

    2. Segment information for operating results are as follows:

    Three months ended September 30, 2026

    Exploration and Development Corporate Total

    Silver Sand

    Carangas

    Silverstrike

    Project evaluation and corporate development

    $ (1,829) $

    - $

    -

    $ -

    $ (1,829)

    Salaries and benefits

    (449,718)

    -

    -

    -

    (449,718)

    Share-based compensation

    (403,290)

    -

    -

    -

    (403,290)

    Other operating expenses

    (528,438)

    (29,014)

    (29,014)

    (815)

    (587,281)

    Total operating expense

    (1,383,275)

    (29,014)

    (29,014)

    (815)

    (1,442,118)

    Income from investments

    301,741

    8,322

    6,527

    -

    316,590

    Gain on disposal of property, plant and equipment

    1,570

    -

    -

    -

    1,570

    Foreign exchange gain (loss)

    509

    (143,020)

    (123,526)

    (27,714)

    (293,751)

    Net loss

    $ (1,079,455) 0 $

    (163,712) $

    (146,013)

    $ (28,529)

    $ (1,417,709)

    Three months ended September 30, 2025

    Silver Sand

    Carangas

    Silverstrike

    Project evaluation and corporate development

    $ (14,619)

    $ -

    $

    -

    $ -

    $ (14,619)

    Salaries and benefits

    (432,582)

    -

    -

    -

    (432,582)

    Share-based compensation

    (324,826)

    -

    -

    -

    (324,826)

    Other operating expenses

    (425,650)

    (93,597)

    (23,678)

    (1,880)

    (544,805)

    Total operating expense

    (1,197,677)

    (93,597)

    (23,678)

    (1,880)

    (1,316,832)

    Income from investments

    114,051

    -

    -

    -

    114,051

    Foreign exchange gain

    146,947

    231,507

    78,690

    -

    457,144

    Net (loss) income

    $ (936,679)

    $ 137,910

    $ 55,012

    $ (1,880)

    $ (745,637)

    Corporate Exploration and Development Total

    (Expressed in US dollars)
  12. SUPPLEMENTARY CASH FLOW INFORMATION

Changes in non-cash operating working capital:

Three months ended September 30,

2026

2025

Receivables

$ (16,764)

$ (6,870)

Deposits and prepayments

(276,132)

(244,265)

Accounts payable and accrued liabilities

639,477

416,972

Due to a related party

33,806

6,180

$ 380,387

$ 172,017

Non-cash capital transactions:

Three months ended September 30,

2026

2025

Reduction of capital expenditures of mineral

property interest in accounts payable and accrued

$ (195,190)

$ (2,481)

liabilities

Cash and cash equivalents: September 30, 2026 June 30, 2026

Cash on hand and at bank

$ 2,739,762 $

4,695,723

Cash equivalents 34,182,785 33,869,606

$ 36,922,547 $ 38,565,329

Cash and cash equivalents consists of:

Cash and cash equivalents:

September 30, 2026

June 30, 2026

Cash on hand and at bank

$ 2,739,762

$ 4,695,723

Cash equivalents

34,182,785

33,869,606

$ 36,922,547 $ 38,565,329

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