Canada Silver Cobalt Works : - MD&A

CANADA SILVER COBALT WORKS INC.

(Formerly Canada Cobalt Works Inc.)

For the three and nine months ended September 30, 2021

(Expressed in Canadian Dollars)

(Unaudited)

Form 51-102F1

INTERIM MANAGEMENT'S DISCUSSION & ANALYSIS

DATE: November 29, 2021

The following Management's Discussion and Analysis ("MD&A") is a review of the operations, current financial position and outlook of Canada Silver Cobalt Works Inc. ("Canada Silver Cobalt" or the "Company"), and it has been prepared by management and should be read in conjunction with the financial statements of Canada Silver Cobalt for the three and nine months ended September 30, 2021 and the related notes thereto, which are prepared in accordance with International Financial Reporting Standards ("IFRS"). The discussion covers the three and nine months ended September 30, 2021 and up to the date of filing of this MD&A. This MD&A has been prepared in compliance with the requirements of National Instrument 51-102 - Continuous Disclosure Obligations. All amounts are stated in Canadian dollars unless otherwise indicated.

This MD&A contains forward-looking information. See "Forward-Looking Information" and "Risks and Uncertainties" for a discussion of the risks, uncertainties and assumptions relating to such information.

For further information on the Company reference should be made to the Company's public filings which are available on SEDAR website (www.sedar.com).

FORWARD-LOOKING INFORMATION

This MD&A contains certain forward-looking statements and information relating to the Company that are based on the beliefs of its management as well as assumptions made by and information currently available to the Company. When used in this document, the words "anticipate", "believe", "estimate", "expect" and similar expressions, as they relate to the Company or its management, are intended to identify forward-looking statements. This MD&A contains forward-looking statements relating to, among other things, regulatory compliance, the sufficiency of current working capital, the estimated cost and availability of funding for the continued exploration and development of the Company's exploration properties. Such statements reflect the current views of the Company with respect to future events and are subject to certain risks, uncertainties and assumptions. Many factors could cause the actual results, performance or achievements of the Company to be materially different from any future results, performance or achievements that may be expressed or implied by such forward- looking statements. Aside from factors identified in the annual MD&A, additional important factors, if any, are identified here.

This MD&A includes "forward-looking statements", within the meaning of applicable securities legislation, which are based on the opinions and estimates of management and are subject to a variety of risks and uncertainties and other factors that could cause actual events or results to differ materially from those projected in the forward-looking statements. Forward- looking statements are often, but not always, identified by the use of words such as "seek", "anticipate", "budget", "plan", "continue", "estimate", "expect", "forecast", "may", "will", "project", "predict", "potential", "targeting", "intend", "could", "might", "should", "believe" and similar words suggesting future outcomes or statements regarding an outlook. Such risks and uncertainties include, but are not limited to, risks associated with the mining industry (including operational risks in exploration development and production; delays or changes in plans with respect to exploration or development projects or capital expenditures; the uncertainty of reserve estimates; the uncertainty of estimates and projections in relation to production, costs and expenses; the uncertainty surrounding the ability of Canada Silver Cobalt to obtain all permits, consents or authorizations required for its operations and activities; and health safety and environmental risks), the risk of commodity price and foreign exchange rate fluctuations, the ability of Canada Silver Cobalt to fund the capital and operating expenses necessary to achieve the business objectives of Canada Silver Cobalt, the uncertainty associated with

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commercial negotiations and negotiating with foreign governments and risks associated with international business activities, as well as those risks described in public disclosure documents filed by Canada Silver Cobalt. Due to the risks, uncertainties and assumptions inherent in forward-looking statements, prospective investors in securities of Canada Silver Cobalt should not place undue reliance on these forward-looking statements.

Readers are cautioned that the foregoing lists of risks, uncertainties and other factors are not exhaustive. The forward-looking statements contained in this MD&A are made as of the date hereof and the Company undertakes no obligation to update publicly or revise any forward- looking statements or in any other documents filed with Canadian securities regulatory authorities, whether as a result of new information, future events or otherwise, except in accordance with applicable securities laws. The forward-looking statements are expressly qualified by this cautionary statement.

DESCRIPTION OF BUSINESS

Canada Silver Cobalt Works Inc. ("Canada Silver Cobalt" or the "Company") was incorporated on April 29, 2005 pursuant to the Canada Business Corporations Act under the name Naples Capital Corp. The Corporation amended its articles on November 19, 2007 to change its corporate name to Takara Resources Inc and on December 30, 2013 so as to consolidate its Common Shares on the basis of one Common Shares for every ten Common Shares then issued and outstanding. The Corporation amended its articles on November 28, 2016 to change its corporate name to Castle Silver Resources Inc. and on February 23, 2018 to change its corporate name to Canada Cobalt Works Inc. On July 10, 2018, the Corporation amalgamated with its subsidiary Coniagas Resources Incorporated. On May 19, 2020, the Corporation amended its articles to change its corporate name to Canada Silver Cobalt Works Inc., in order to better reflect its immediate and longer-term direction. The Corporation's registered and head office is at 3028 Quadra Court, Coquitlam, British Columbia V3B 5X6 and its mining office is at 2875 Granada Avenue, Rouyn-Noranda, Québec J9Y 1J1. Canada Silver Cobalt's principal business activities are the acquisition, evaluation, exploration and development of mineral properties. To date, the Company has not realized any revenues from its properties.

Although the Company has taken steps to verify title to the properties on which it is conducting exploration and evaluation activities, and in which it has an interest, in accordance with industry standards for the current stage of exploration of such properties, these procedures do not guarantee the Company's title. Property title may be subject to unregistered prior agreements, government licensing requirements or regulations, social licensing requirements, noncompliance with regulatory and environmental requirements or aboriginal land claims.

Canada Silver Cobalt Works Inc. is a junior natural resource company whose business is to seek out exploration opportunities with a focus on the Castle Silver Mine property in Haultain and Nicol Townships, Ontario. Operations are conducted either directly or through consulting agreements with third-parties. The Company finances its properties by way of equity or debt financing or by way of joint ventures. Additional information is provided in the Company's audited consolidated financial statements for the year ended December 31, 2020, and the Company's unaudited interim condensed consolidated financial statements for the three and nine months ended September 30, 2021. This document is available on SEDAR at www.sedar.com.

The Company also maintains a website at www.canadasilvercobaltworks.com.

The Company is a reporting issuer in the Provinces of British Columbia, Alberta and Ontario, and trades on the TSX Venture Exchange ("TSXV") under the symbol CCW.

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GOING CONCERN

As at September 30, 2021, the Company had not yet achieved profitable operations, had a working capital balance of $324,688 (December 31, 2020: $6,822,481). For the nine months ended September 30, 2021 the Company incurred a net loss of $9,636,378 (2020: $8,072,153), had cash outflow from operations of $6,871,386 (2020: $5,029,571), had accumulated losses of $58,047,788 (December 31, 2020: $48,410,910) and expects to incur future losses in the development of its business. These items represent material uncertainties which cast significant doubt about the ability of the Company to continue as a going concern. The Company is in the process of exploring its properties and has not yet determined whether these properties contain economically recoverable reserves. The continued operations of the Company are dependent upon the discovery of economically recoverable reserves, the ability of the Company to obtain the financing to complete the necessary exploration and development of such property and upon attaining future profitable production or proceeds from disposition of the properties. Management is actively pursuing additional sources of financing, and while it has been successful in doing so in the past, there can be no assurance it will be able to do so in the future.

These consolidated financial statements have been prepared on a going concern basis and do not reflect the adjustments to the carrying values of assets and liabilities and the reported expenses and statement of financial position classifications that would be necessary if the Company were unable to realize its assets and settle its liabilities as a going concern in the normal course of operations. Such adjustments could be material.

Since January 1, 2020, the outbreak of the novel coronavirus, specifically identified as "COVID-19", has resulted in governments worldwide enacting emergency measures to combat the spread of the virus. These measures, which include the implementation of travel bans, self-imposed quarantine periods and social distancing, have caused material disruption to businesses globally resulting in an economic slowdown. Global equity markets have experienced significant volatility and weakness. Governments and central banks have reacted with significant monetary and fiscal interventions designed to stabilize economic conditions. The duration and impact of the COVID-19 outbreak is unknown at this time, as is the efficacy of the government and central bank interventions. It is not possible to reliably estimate the length and severity of these developments and the impact on the financial results and condition of the Company, or on its ability to raise capital to fund exploration and operations, in future periods. While the Company has not been significantly impacted by the COVID-19 outbreak, it is not possible to reliably estimate the ongoing effect on the Company.

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EXPLORATION AND EVALUATION PROPERTIES.

Castle Silver Mine Property

Canada Silver Cobalt Works Inc. retains a 100% interest in Castle Silver Mine Property consisting of 34 Mining Leases and 2 Mining Licenses of Occupation located in the Haultain and Nicol Townships of Ontario covering a total of 564.41 hectares. The Company has an additional 644 cells totaling approximately 12,900 hectares. Approximately 4,200 additional hectares were acquired in a property purchase in May 2019 from a local prospector and another approximately 880 hectares were acquired by staking for contiguity - all within approximately 20km of our core holdings. A further 200 claims were acquired by staking in late 2020 east of Sudbury near the River Valley area. The total land holdings, encompassing cells, mining leases and licenses of occupation, now amounts to 13,445 hectares (or nearly 134 km2).

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