Artemis Gold : Financials for June 30, 2023

CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS (unaudited)

For the three and six months ended June 30, 2023 and 2022

Expressed in Canadian Dollars, unless otherwise noted

ARTEMIS GOLD INC.

Condensed Consolidated Interim Statements of Financial Position

(Unaudited ‐ Expressed in Canadian Dollars)

	As at	As at
Notes	June 30, 2023	December 31, 2022
	$	$

Assets
Current assets
Cash and cash equivalents		63,523,402	194,089,372
Receivables and prepayments		9,624,106	2,968,341
Non‐current assets		73,147,508	197,057,713
	10,671,571
Restricted cash	8	4,734,100
Investment in Velocity	4	7,844,861	8,176,317
Capitalized contract costs	10	1,955,775	‐
Deferred financing costs	9	16,826,942	11,071,355
Mineral property, plant and equipment	5	639,059,814	435,711,939
TOTAL ASSETS		749,506,471	656,751,424
Liabilities
Current liabilities		37,441,941
Accounts payable and accrued liabilities		24,608,609
Current portion of lease liabilities	11	785,667	679,992
Non‐current liabilities		38,227,608	25,288,601
	60,521,568
Deferred revenue	12	‐
Construction holdback liability		1,648,171	‐
Lease liabilities	11	11,026,687	1,032,572
Variable consideration payable	6	44,376,647	41,709,665
Asset retirement obligation	7	14,006,603	11,292,855
TOTAL LIABILITIES		169,807,284	79,323,693
Shareholders' equity		594,040,786
Share capital	13	589,253,146
Contributed surplus	13	19,997,839	17,549,291
Accumulated other comprehensive income		3,622,371	3,622,371
Retained deficit		(37,961,809)	(32,997,077)
Total Shareholders' equity		579,699,187	577,427,731
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY		749,506,471	656,751,424

Subsequent event (Note 16)
Approved for Issuance by the Board of Directors:
"Elise Rees"	Director
"Steven Dean"	Director

The accompanying notes are an integral part of the condensed interim consolidated financial statements

ARTEMIS GOLD INC.

Condensed Consolidated Interim Statements of Loss and Comprehensive Loss

(Unaudited ‐ Expressed in Canadian Dollars, except number of shares outstanding)

	Notes	For the three months	For the three months	For the six months	For the six months
	ended June 30, 2023	ended June 30, 2022	ended June 30, 2023	ended June 30, 2022
		$	$	$	$
Operating expenses		171,469		337,945
Depreciation		98,391	193,144
Management fees and wages	14	1,308,781	953,927	2,812,553	2,161,337
Investor relations and corporate development		110,385	77,823	253,849	169,798
Office, insurance and general		559,957	280,290	1,131,714	538,809
Professional fees		262,809	137,801	603,957	307,436
Share‐based payments	13, 14	1,214,990	1,433,673	1,959,975	2,905,081
Loss from operations		(3,628,391)	(2,981,905)	(7,099,993)	(6,275,605)
Other (expense) income		(28,912)		(60,440)
Accretion expense on lease liability	11	(17,195)	(35,472)
Accretion expense on asset retirement obligation	7	(81,887)	(16,060)	(111,975)	(35,628)
Equity loss from investment in associate	4	(146,478)	(207,794)	(331,456)	(444,670)
Fair value adjustment on warrants	4	‐	‐	‐	(644,119)
Interest income		734,023	383,863	2,639,132	602,335
Net loss		(3,151,645)	(2,839,091)	(4,964,732)	(6,833,159)
Other comprehensive loss, net of tax
Items that will not be reclassified to net loss
Gains on marketable securities		‐	‐	‐	262,316
Comprehensive loss		(3,151,645)	(2,839,091)	(4,964,732)	(6,570,843)
Loss per common share		(0.02)		(0.03)
Basic and diluted		(0.02)	(0.04)
Weighted average number of common shares outstanding		196,677,668		194,965,745
Basic and diluted		154,098,459	154,045,043

The accompanying notes are an integral part of the condensed interim consolidated financial statements

ARTEMIS GOLD INC.

Condensed Consolidated Interim Statements of Changes in Equity

(Unaudited ‐ Expressed in Canadian Dollars, except number of shares)

		Share capital
					Accumulated other
				Contributed	comprehensive		Total shareholders'
	Notes	Number of shares	Amount	surplus	income	Retained deficit	equity
		#	$	$	$	$	$
Balance ‐ January 1, 2023		193,211,701	589,253,146	17,549,291	3,622,371	(32,997,077)	577,427,731
Exercise of share purchase warrants	13	4,433,000	4,787,640	‐	‐	‐	4,787,640
Shared‐based payments	13	‐	‐	2,448,548	‐	‐	2,448,548
Net loss		‐	‐	‐	‐	(4,964,732)	(4,964,732)
Balance ‐ June 30, 2023		197,644,701	594,040,786	19,997,839	3,622,371	(37,961,809)	579,699,187
		Share capital			Accumulated other
				Contributed	comprehensive	Retained deficit	Total shareholders'
	Notes	Number of shares	Amount	surplus	income	equity
		#	$	$	$	$	$
Balance ‐ January 1, 2022		153,971,145	417,276,031	10,058,314	3,360,055	(11,367,165)	419,327,235
Exercise of share purchase warrants	13	200,556	216,600	‐	‐	‐	216,600
Shared‐based payments	13	‐	‐	4,203,376	‐	‐	4,203,376
Gain on marketable securities		‐	‐	‐	262,316	‐	262,316
Net loss		‐	‐	‐	‐	(6,833,159)	(6,833,159)
Balance ‐ June 30, 2022		154,171,701	417,492,631	14,261,690	3,622,371	(18,200,324)	417,176,368

The accompanying notes are an integral part of the condensed interim consolidated financial statements

ARTEMIS GOLD INC.

Condensed Consolidated Interim Statements of Cash Flows

(Unaudited ‐ Expressed in Canadian Dollars)

		For the three	For the three	For the six	For the six
		months ended	months ended	months ended	months ended
	Notes	June 30, 2023	June 30, 2022	June 30, 2023	June 30, 2022
		$	$	$	$
Operating activities		(3,151,645)		(4,964,732)
Net loss		(2,839,091)	(6,833,159)
Items not involving cash:		171,469		337,945
Depreciation		98,391	193,144
Share‐based payments	13, 14	1,214,990	1,433,673	1,959,975	2,905,081
Accretion expense on lease liability	11	28,912	17,195	60,440	35,472
Accretion expense on asset retirement obligation	7	81,887	16,060	111,975	35,628
Equity loss from investment in associate	4	146,478	207,794	331,456	444,670
Fair value adjustment on warrants	4	‐	‐	‐	644,119
Interest income		(734,023)	(383,863)	(2,639,132)	(602,335)
Net changes in non‐cash working capital:		472,919		(938,921)
Accounts payable and accrued liabilities		516,076	844,339
Receivables and prepayments		789,479	83,640	804,584	(2,254)
Net cash used in operating activities		(979,534)	(850,125)	(4,936,410)	(2,335,295)
Investing activities		609,187		2,639,132
Interest received		335,761	518,108
Proceeds from marketable securities		‐	‐	‐	1,383,413
Purchases of mineral property, plant and		(105,033,463)	(15,666,097)	(175,840,609)	(23,001,021)
Restricted cash		(1,648,171)	(61,200)	(5,937,471)	(61,200)
Net cash used in investing activities		(106,072,447)	(15,391,536)	(179,138,948)	(21,160,700)
Financing activities		(258,743)		(10,597,875)
Deferred financing costs		(366,815)	(4,633,556)
Exercise of share purchase warrants		4,752,000	130,200	4,787,640	216,600
Lease payments	11	(384,168)	(90,354)	(553,636)	(180,207)
Capitalized contract costs	10	(338,025)	(180,207)	(338,025)	(180,207)
Proceeds from streaming arrangements	12	60,211,284	‐	60,211,284	‐
Net cash provided by (used in) financing activities		63,982,348	(507,176)	53,509,388	(4,777,370)
Change in cash and cash equivalents		(43,069,633)	(16,748,837)	(130,565,970)	(28,273,365)
Cash and cash equivalents, beginning		106,593,035	119,834,588	194,089,372	131,359,116
Cash and cash equivalents, ending		63,523,402	103,085,751	63,523,402	103,085,751

The accompanying notes are an integral part of the condensed interim consolidated financial statements