Aurelius Minerals : Condensed Interim Consolidated Financial Statements For the Three and Six Months Ended June 30, 2022 and 2021

AURELIUS MINERALS INC.

CONDENSED INTERIM CONSOLIDATED FINANCIAL STATEMENTS

FOR THE THREE AND SIX MONTH PERIODS ENDED JUNE 30, 2022 AND 2021

(presented in Canadian dollars unless otherwise noted)

(Unaudited)

NOTICE TO READER OF NO AUDITOR REVIEW OF INTERIM FINANCIAL STATEMENTS

Under National Instrument 51‐102, Part 4, subsection 4.3(3)(a), if an auditor has not performed a review of the interim financial statements, they must be accompanied by a notice indicating that the financial statements have not been reviewed by an auditor.

The accompanying unaudited interim consolidated financial statements of Aurelius Minerals Inc. (the "Company") have been prepared by and are the responsibility of the Company's management.

The Company's independent auditor has not performed a review of these financial statements in accordance with standards established by the Chartered Professional Accountants of Canada for a review of interim financial statements by an entity's auditor.

CONDENSED INTERIM CONSOLIDATED STATEMENTS OF FINANCIAL POSITION

As at		June 30	December 31
	2022	2021
(expressed in Canadian dollars, Unaudited)	Note	$	$
ASSETS
Current		703,350
	Cash and cash equivalents		1,329,426
	Receivables	4	83,518	802,758
	Prepaid expenses and deposits		48,609	45,202
				835,477	2,177,386
Property, plant and equipment	5	1,467,154	1,567,938
Mineral properties	6	1,420,700	1,420,700
Reclamation deposit	7	1,500,000	1,500,000
Total Assets		5,223,331	6,666,024
LIABILITIES AND SHAREHOLDERS' EQUITY
Current liabilities		633,890
	Accounts payable and accrued liabilities	8,12	1,094,456
	Current portion of lease liability	9	148,235	137,815
	Flow‐through premium liability	13	50,230	145,117
				832,355	1,377,388
Lease liability	9	277,435	360,025
Obligation upon Aureus Gold acquisition	10	1,198,515	1,301,256
Reclamation obligation	11	667,000	667,000
Total Liabilities		2,975,305	3,705,669
Shareholders' equity		25,430,822
	Share capital	13	24,015,030
	Share subscriptions received in advance	13	50,000		‐
	Warrants	13	188,659	67,433
	Reserves	13	1,833,226	1,825,435
	Deficit		(25,254,681)	(22,947,543)
Total Shareholders' Equity		2,248,026	2,960,355
Total Liabilities and Shareholders' Equity		5,223,331	6,666,024
Nature of operations and going concern (Note 1).
Approved and authorized on behalf of the Board of Directors:
	"Gilles Arseneau"		"Michael Leskovec"
	Gilles Arseneau, Chairman	Michael Leskovec, Director

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

CONDENSED INTERIM CONSOLIDATED STATEMENTS OF LOSS AND COMPREHENSIVE LOSS

		Three Month	Three Month	Six Month	Six Month
		Period Ended	Period Ended	Period Ended	Period Ended
		June 30	June 30	June 30	June 30
		2022	2021	2022	2021
(expressed in Canadian dollars, Unaudited)	Note	$	$	$	$
EXPENSES		818,517		1,662,709
Exploration	6	1,678,523	3,405,708
Salaries and fees	12	192,276	348,783	398,307	562,725
Director fees		27,500	27,500	55,000	55,000
Investor relations		89,475	91,198	192,203	169,495
Legal, audit and accounting		8,628	3,741	8,628	7,248
Office and miscellaneous	12	14,993	6,954	29,241	19,644
Regulatory and transfer agent fees		6,690	15,395	21,188	38,539
Rent recovery	9,12	(19,920)	(17,438)	(39,839)	(34,876)
Travel		6,713	4,096	7,447	5,583
Depreciation	5	56,041	55,989	113,017	111,094
Interest expense on lease liability	9	9,633	6,745	20,293	11,769
Share‐based compensation	13,12	11,331	‐	65,997	‐
		(1,221,877)	(2,221,486)	(2,534,191)	(4,351,929)
OTHER INCOME (EXPENSES)		‐		‐
Interest income		‐	1,288
Recognition of flow‐through premium	13	79,130	87,325	185,797	581,441
Gain on acquisition obligation	10	‐	‐	4,231	‐
settlement
Foreign currency gain/(loss)		(34,010)	18,000	(24,457)	36,209
		45,120	105,325	165,571	618,938
Loss and comprehensive loss for the period		(1,176,757)	(2,116,161)	(2,368,620)	(3,732,991)
Basic and diluted loss per common share		(0.03)	(0.07)	(0.05)	(0.12)
Weighted average number of common shares		44,850,007	30,520,937	43,239,901	30,520,927

Share consolidation (Note 3).

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

CONDENSED INTERIM CONSOLIDATED STATEMENTS OF CASH FLOWS

	Six Month	Six Month
	Period Ended	Period Ended
	June 30	June 30
	2022	2021
(expressed in Canadian dollars, Unaudited)	$	$
Cash flows from operating activities
Loss for the period	(2,368,620)	(3,732,991)
Items not involving cash:	(185,797)
Flow‐through premium liability	(581,441)
Gain on acquisition obligation settlement	(4,231)	‐
Unrealized foreign exchange (gain)/ loss	24,186	(36,990)
Share‐based payment	65,997	‐
Depreciation	113,017	111,094
Interest expense on lease liability	20,293	11,769
Changes in non‐cash working capital items:	719,240
Receivables	(360,252)
Prepaid expenses	(3,407)	(70,097)
Accounts payable and accrued liabilities	(460,565)	78,615
Net cash provided by (used in) operating activities	(2,079,887)	(4,580,293)
Cash flows from financing activities	1,560,005
Issuance of capital stock for cash	6,040,987
Share issuance costs	(51,497)	(349,775)
Share subscription received in advance	50,000	‐
Exercise of warrants for cash	‐	60
Repayment of lease liability	(92,464)	(92,144)
Net cash provided by (used in) financing activities	1,466,044	5,599,128
Cash flows from investing activities	‐
Mineral property acquisition	(100,000)
Property and equipment purchases	(12,233)	(19,920)
Net cash provided by (used in) investing activities	(12,233)	(119,920)
Change in cash and cash equivalents during the period	(626,076)	898,915
Cash and cash equivalents, beginning of the period	1,329,426	3,330,376
Cash and cash equivalents, end of the period	703,350	4,229,291

Supplemental disclosure with respect to cash flows (Note 14).

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

CONDENSED INTERIM CONSOLIDATED STATEMENTS OF CHANGES IN SHAREHOLDERS' EQUITY

			Share
		Share	Subscriptions
		Received in
	Shares	Capital	Advance	Warrants	Reserves	Deficit	Total
(expressed in Canadian dollars, Unaudited)	#	$	$	$	$	$	$
Balance, December 31, 2020	27,606,861	17,805,504	‐	154,500	1,341,996	(14,923,999)	4,378,001
Issued for private placements (Note 13b)	9,393,503	6,040,987	‐	‐	‐	‐	6,040,987
Issued upon warrant exercise (Note 13b)	100	75	‐	(15)	‐	‐	60
Broker warrants (Note 13b, e)	‐	(148,968)	‐	‐	148,968	‐	‐
Share issue costs (Note 13b)	‐	(349,775)	‐	‐	‐	‐	(349,775)
Flow‐through premium liability (Note 13b)	‐	(404,885)	‐	‐	‐	‐	(404,885)
Reserves transferred on expired options (Note 13d)	‐	‐	‐	‐	(57,774)	57,774	‐
Reserves transferred on expired warrants (Note 13e)	‐	83,723	‐	(79,485)	(4,238)	‐	‐
Loss for the period	‐	‐	‐	‐	‐	(3,732,991)	(3,732,991)
Balance, June 30, 2021	37,000,464	23,026,661	‐	75,000	1,428,952	(18,599,216)	5,931,397
Balance, December 31, 2021	40,515,599	24,015,030	‐	67,433	1,825,435	(22,947,543)	2,960,355
Issued for private placements (Note 13b)	4,896,984	1,438,779	‐	121,226	‐	‐	1,560,005
Issued to settle deferred payments	423,090	122,696	‐	‐	‐	‐	122,696
Warrant issued for private placements	‐	(3,276)	‐	‐	3,276	‐	‐
Share issuance costs (Note 13b)	‐	(51,497)	‐	‐	‐	‐	(51,497)
Share subscriptions received in advance (Note 13b)	‐	‐	50,000	‐	‐	‐	50,000
Flow‐through premium liability (Note 13b)	‐	(90,910)	‐	‐	‐	‐	(90,910)
Reserves transferred on expired options (Note 13d)	‐	‐	‐	‐	(61,482)	61,482	‐
Share‐based payment (Note 13d)	‐	‐	‐	‐	65,997	‐	65,997
Loss for the period	‐	‐	‐	‐	‐	(2,368,620)	(2,368,620)
Balance, June 30, 2022	45,835,673	25,430,822	50,000	188,659	1,833,226	(25,254,681)	2,248,026

Share consolidation (Note 3).

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