New Pacific Metals : Mar 31, 2025 Second Quarter Consolidated Interim Financial Statements

UNAUDITED CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS

For the three and nine months ended March 31, 2025 and 2024 (Expressed in United States Dollars)

Unaudited Condensed Consolidated Interim Statements of Financial Position

(Expressed in US dollars)
	Notes	March 31, 2025	June 30, 2024
ASSETS Current Assets Cash and cash equivalents	13	$ 17,069,234	$ 21,950,211
Short-term investments		-	258,702
Receivables		32,909	51,340
Deposits and prepayments		310,697	338,824
		17,412,840	22,599,077
Non-current Assets Equity investments		44,858	56,539
Property, Plant and equipment	4	1,141,303	1,244,530
Mineral property interests	5	115,390,802	113,765,931
TOTAL ASSETS		$ 133,989,803	$ 137,666,077

LIABILITIES AND EQUITY

Current Liabilities

Accounts payable and accrued liabilities	6	$	716,196	$ 1,163,836
Due to a related party	7		29,442	50,302
			745,638	1,214,138
Total Liabilities		745,638		1,214,138
Equity Share capital	8	183,030,317		182,010,834
Share-based payment reserve		20,761,551		19,931,083
Accumulated other comprehensive income		6,960,918		9,311,400
Deficit		(77,508,621)		(74,645,012)
Total equity attributable to the equity holders of the Company		133,244,165		136,608,305
Non-controlling interests	9	-		(156,366)
Total Equity		133,244,165		136,451,939
TOTAL LIABILITIES AND EQUITY		$ 133,989,803		$ 137,666,077
Approved on behalf of the Board:
(Signed) Maria Tang Director
(Signed) Jalen Yuan
Interim 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 March 31, Nine months ended March 31,

	Notes	2025	2024	2025	2024
Operating expense
Project evaluation and corporate development		$ (14,860)	$ (6,539)	$ (30,637)	$ (196,076)
Depreciation	4	(48,405)	(49,194)	(148,125)	(154,152)
Filing and l isting		(72,166)	(61,274)	(241,362)	(228,305)
Investor relations		(89,791)	(100,046)	(292,719)	(244,149)
Professional fees		(87,379)	(74,929)	(306,608)	(268,020)
Salaries and benefits		(295,093)	(493,889)	(1,144,411)	(1,595,001)
Office and administration		(341,615)	(301,456)	(1,129,970)	(1,013,917)
Share-based compensation	8(b)	(410,615)	(634,919)	(1,266,213)	(1,710,018)
		(1,359,924)	(1,722,246)	(4,560,045)	(5,409,638)
Other income
Income from investments	3	$ 215,258	$ 440,991	$ 655,596	$ 736,285
Gain on disposal of property, plant and equipment		-	-	-	51,418
Foreign exchange gain		281,559	10,699	1,017,675	77,694
		496,817	451,690	1,673,271	865,397
Net loss		$ (863,107)	$ (1,270,556)	$ (2,886,774)	$ (4,544,241)
Attributable to:
Equity holders of the Company		$ (863,107)	$ (1,269,136)	$ (2,863,609)	$ (4,539,260)
Non-controlling interests	9	-	(1,420)	(23,165)	(4,981)
Net loss		$ (863,107)	$ (1,270,556)	$ (2,886,774)	$ (4,544,241)
Loss per share attributable to the equity holders of the Company
Loss per share - basic and diluted		$ (0.01)	$ (0.01)	$ (0.02)	$ (0.03)
Weighted average number of common shares - basic and diluted		171,785,542	171,197,304	171,558,915	166,605,297

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 March 31, Nine months ended March 31,

Notes		2025	2024	2025	2024
Net loss Other comprehensive income (loss), net of taxes: Items that may subsequently be reclassified to net income (loss): Currency translation adjustment, net of tax of $nil		$ (863,107) 29,515	$ (1,270,556) (948,976)	$ (2,886,774) (2,002,760)	$ (4,544,241) (420,596)
Items reclassified to net income:
Cumulative translation adjustment upon wind-up of a subsidiary		-	-	(464,256)	-
Other comprehensive income (loss), net of taxes		$ 29,515	$ (948,976)	$ (2,467,016)	$ (420,596)
Attributable to: Equity holders of the Company		$ 29,515	$ (946,825)	$ (2,350,482)	$ (380,597)
Non-controlling interests	9	-	(2,151)	(116,534)	(39,999)
Other comprehensive income (loss), net of taxes		$ 29,515	$ (948,976)	$ (2,467,016)	$ (420,596)
Total comprehensive loss, net of taxes		$ (833,592)	$ (2,219,532)	$ (5,353,790)	$ (4,964,837)
Attributable to: Equity holders of the Company		$ (833,592)	$ (2,215,961)	$ (5,214,091)	$ (4,919,857)
Non-controlling interests	9	-	(3,571)	(139,699)	(44,980)
Total comprehensive loss, net of taxes		$ (833,592)	$ (2,219,532)	$ (5,353,790)	$ (4,964,837)

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 March 31, Nine months ended March 31,

	Notes	2025	2024	2025	2024
Operating activities
Net loss		$ (863,107)	$ (1,270,556)	$ (2,886,774)	$ (4,544,241)
Add (deduct) items not affecting cash:
Income from investments	3	(215,258)	(440,991)	(655,596)	(736,285)
Depreciation	4	48,405	49,194	148,125	154,152
Gain on disposal of property, plant and equipment		-	-	-	(51,418)
Share-based compensation	8(b)	410,615	634,889	1,266,213	1,669,387
Foreign exchange gain		(281,559)	(10,699)	(1,017,675)	(77,694)
Changes in non-cash operating working capital	13	(73,926)	(372,125)	(79,821)	(659,554)
Interest received	3	153,849	319,166	615,766	619,887
Net cash used in operating activities		(820,981)	(1,091,122)	(2,609,762)	(3,625,766)
Investing activities
Mineral property interest
Capital expenditures		(741,476)	(700,024)	(2,189,153)	(3,683,239)
Property, plant and equipment
Additions	4	(37,640)	(1,487)	(45,488)	(137,193)
Proceeds on disposals	4	-	-	-	58,776
Short-term investments
Proceeds on disposals	3	307,750	-	307,750	-
Net cash used in investing activities		(471,366)	(701,511)	(1,926,891)	(3,761,656)
Financing activities Proceeds from issuance of common shares for bought 8(c)		-	-	-	24,446,086
deal, net of transaction and issuance costs
Proceeds from issuance of common shares for option exercised		-	-	3,773	135,684
Net cash provided by financing activities			-	-	3,773	24,581,770
Effect of exchange rate changes on cash			299,589	(581,341)	(348,097)	(27,478)
Increase (decrease) in cash			(992,758)	(2,373,974)	(4,880,977)	17,166,870
Cash and cash equivalent, beginning of the period			18,061,992	25,837,156	21,950,211	6,296,312
Cash and cash equivalent, end of the period			$ 17,069,234	$ 23,463,182	$ 17,069,234	$ 23,463,182
Supplementary cash flow information		13

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)

	Notes	common shares issued	Amount	payment reserve	comprehensive income (loss)	Deficit	equity holders of the Company	controlling interests	Total equity
Balance, July 1, 2023		157,491,172	$ 155,840,052	$ 18,636,297	$ 10,227,980	$ (68,623,306)	$ 116,081,023	$ (110,137)	$ 115,970,886
Options exercised		85,000	197,213	(61,529)	-	-	135,684	-	135,684
Restricted share units distributed		467,112	1,391,770	(1,391,770)	-	-	-	-	-
Common shares issued through bought deal financing	8(c)	13,208,000	24,446,086	-	-	-	24,446,086	-	24,446,086
Share-based compensation		-	-	2,127,485	-	-	2,127,485	-	2,127,485
Net loss		-	-	-	-	(4,539,260)	(4,539,260)	(4,981)	(4,544,241)
Currency translation adjustment		-	-	-	(380,597)	-	(380,597)	(39,999)	(420,596)
Balance, March 31, 2024		171,251,284	$ 181,875,121	$ 19,310,483	$ 9,847,383	$ (73,162,566)	$ 137,870,421	$ (155,117)	$ 137,715,304
Restricted share units distributed		47,835	135,713	(135,713)	-	-	-	-	-
Share-based compensation		-	-	756,313	-	-	756,313	-	756,313
Net loss		-	-	-	-	(1,482,446)	(1,482,446)	(591)	(1,483,037)
Currency translation adjustment		-	-	-	(535,983)	-	(535,983)	(658)	(536,641)
Balance, June 30, 2024		171,299,119	$ 182,010,834	$ 19,931,083	$ 9,311,400	$ (74,645,012)	$ 136,608,305	$ (156,366)	$ 136,451,939
Options exercised	8(b)(i)	2,500	5,086	(1,313)	-	-	3,773	-	3,773
Restricted share units distributed	8(b)(ii)	482,680	1,014,397	(1,014,397)	-	-	-	-	-
Share-based compensation	8(b)	-	-	1,846,178	-	-	1,846,178	-	1,846,178
Derecognition upon wind-up of a		-	-	-	-	-	-	296,065	296,065
subsidiary
Net loss	-		-	-	-	(2,863,609)	(2,863,609)	(23,165)	(2,886,774)
Currency translation adjustment	-		-	-	(2,350,482)	-	(2,350,482)	(116,534)	(2,467,016)
Balance, March 31, 2025	171,784,299		$ 183,030,317	$ 20,761,551	$ 6,960,918	$ (77,508,621)	$ 133,244,165	$ -	$ 133,244,165

Share capital Number of

Share-based Accumulated other

Total equity attributable to the

Non-

See accompanying notes to the unaudited condensed consolidated interim financial statements

Page | 6

(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, 2024. 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, 2024.

      The Company reclassified the changes in "other tax receivable" under investing activities of $11,657 and

      $116,123, respectively to "capital expenditures" on the Consolidated Interim Statements of Cash Flows for the three and nine months comparative period ended March 31, 2024 under "mineral property interest". The change in presentation, effective July 1, 2022, did not have an effect on the Company's total assets, net assets, results of operations, loss per share or net cash flows.

      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 and nine months ended March 31, 2025 and 2024 were approved and authorized for issuance in accordance with a resolution of the Board of Directors (the "Board") dated on May 6, 2025.

   2. Basis of Consolidation

      These consolidated 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

      (Expressed in US dollars)

      to affect its returns. For non-wholly-owned subsidiaries over which the Company has control, the net assets attributable to outside equity shareholders are presented as "non-controlling interests" in the equity section of the consolidated statements of financial position. Net income or loss for the period that is attributable to the non-controlling interests is calculated based on the ownership of the non-controlling interest shareholders in the subsidiary.

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

      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

      March 31, June 30,

      2025 2024

      Mineral properties

      New Pacific 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 Pacific Investment Corp. Limited Holding company Hong Kong 100% 100% New Pacific Andes Corp. Limited Holding company Hong Kong 100% 100% Fortress Mining Inc. Holding company BVI 100% 100% New Pacific Success Inc. Holding company BVI 100% 100% New Pacific Forward Inc. Holding company BVI 100% 100%

      Minera Alcira S.A. Mining company Bolivia 100% 100% Silver Sand

      NPM Minerales S.A. Mining company Bolivia 100% 100%

      Colquehuasi S.R.L. Mining company Bolivia 100% 100% Silverstrike Minera Hastings S.R.L. Mining company Bolivia 100% 100% Carangas Qinghai Found Mining Co., Ltd.(ii)Mining company China 0% 82%

      1. British Virgin Islands ("BVI")

      2. Qinghai Found Mining Co., Ltd. was wound-up on November 22, 2024

3. INCOME FROM INVESTMENTS

   Income from investments consist of:

   Three months ended March 31, Nine months ended March 31,

   	2025	2024	2025	2024
   Fair value change on equity investments	$ 1,454	$ 54,005	$ (9,218)	$ 48,864
   Fair value change on bonds	59,955	67,820	49,048	67,534
   Interest income	153,849	319,166	615,766	619,887
   Income from investments	$ 215,258	$ 440,991	$ 655,596	$ 736,285

   During the three and nine months ended March 31, 2025, a bond was disposed for proceeds of $307,750 and $307,750, respectively, (three and nine month ended March 31, 2024 - $nil and $nil, respectively).

   (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, 2023	$ 630,000	$ 485,617	$ 579,032	$ 267,275 $	93,515	2,055,439
   Additions	-	1,023	-	136,171	-	137,194
   Disposals	-	-	(110,838)	(30,709)	-	(141,547)
   Reclassifed among asset groups	-	(18,296)	18,296	-	-	-
   Reclassifed to mineral property interest	-	(10,685)	-	-	-	(10,685)
   Foreign currency translation impact	-	-	-	(3,209)	(3,054)	(6,263)
   Balance, June 30, 2024	$ 630,000	$ 457,659	$ 486,490	$ 369,528 $	90,461 $	2,034,138
   Additions	-	29,599	-	15,889	-	45,488
   Foreign currency translation impact	-	-	-	(4,554)	(4,335)	(8,889)
   Balance, March 31, 2025	$ 630,000	$ 487,258	$ 486,490	$ 380,863 $	86,126 $	2,070,737
   Accumulated depreciation and amortization
   Balance, July 1, 2023	$ -	$ (170,912) $		(296,910) $	(177,284) $	(70,494) $	(715,600)
   Depreciation	-	(60,682)		(94,549)	(46,349)	(11,711)	(213,291)
   Disposals	-	-		110,837	23,352	-	134,189
   Foreign currency translation impact	-	-		-	2,676	2,418	5,094
   Balance, June 30, 2024	$ -	$ (231,594) $		(280,622) $	(197,605) $	(79,787) $	(789,608)
   Depreciation	-	(45,489)		(59,788)	(34,341)	(8,507)	(148,125)
   Foreign currency translation impact	-	-		-	4,248	4,051	8,299
   Balance, March 31, 2025	$ -	$ (277,083) $		(340,410) $	(227,698) $	(84,243) $	(929,434)
   Carrying amount
   Balance, June 30, 2024	$ 630,000	$ 226,065 $		205,868 $	171,923 $	10,674 $	1,244,530
   Balance, March 31, 2025	$ 630,000	$ 210,175 $		146,080 $	153,165 $	1,883 $	1,141,303

   For the three and nine months ended March 31, 2025, certain equipment were disposed for proceeds of

   $nil and $nil, respectively, (three and nine months ended March 31, 2024 - $nil and $58,776, respectively) and gain of $nil and $nil, respectively (three and nine months ended March 31, 2024 - $nil and $51,418, respectively).

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 km2at an elevation of 4,072 metres ("m") above sea level.

      For the three and nine months ended March 31, 2025, total expenditures of $295,547 and $1,231,334, respectively (three and nine months ended March 31, 2024 - $713,623 and $2,092,884, respectively) 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 the three exploration licenses that cover an area of 40.75 km2.

      (Expressed in US dollars)

      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 and nine months ended March 31, 2025, total expenditures of $405,308 and $1,155,704, respectively (three and nine months ended March 31, 2024 - $369,643 and $1,306,377, respectively) were capitalized under the project.

   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 km2and is located approximately 140 km southwest of the city of La Paz, Bolivia.

      For the three and nine months ended March 31, 2025, total expenditures of $14,225 and $46,104, respectively (three and nine months ended March 31, 2024 - $5,767 and $83,208, respectively) 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, July 1, 2023	86,135,820	18,137,910	4,862,942	109,136,672
      Capitalized exploration expenditures
      Reporting and assessment	999,402	408,874	-	1,408,276
      Drilling and assaying	47,217	23,894	-	71,111
      Project management and support	1,765,297	1,079,177	63,919	2,908,393
      Camp service	249,764	241,945	36,754	528,463
      Permit and license	33,073	9,308	-	42,381
      Value added tax receivable	112,332	31,061	979	144,372
      Foreign currency impact	(365,571)	(78,127)	(30,039)	(473,737)
      Balance, June 30, 2024 Capitalized exploration expenditures	88,977,334	19,854,042	4,934,555	113,765,931
      Reporting and assessment	94,616	176,278	-	270,894
      Drilling and assaying	-	6,763	-	6,763
      Project management and support	916,373	732,381	31,560	1,680,314
      Camp service	134,500	179,587	13,500	327,587
      Permit and license	7,481	34,129	-	41,610
      Value added tax receivable	78,364	26,566	1,044	105,974
      Foreign currency impact	(599,059)	(166,138)	(43,074)	(808,271)
      Balance, March 31, 2025	89,609,609	20,843,608	4,937,585	115,390,802

6. TRADE AND OTHER PAYABLES

   Trade and other payable consist of:
   	March 31, 2025	June 30, 2024
   Trade payable	$ 294,951	$ 575,268
   Accrued liabilities	421,245	588,568
   	$ 716,196	$ 1,163,836

   (Expressed in US dollars)

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 March 31, 2025 June 30, 2024

   Silvercorp Metals Inc.

   $ 29,442 $

   50,302

   1. Silvercorp Metals Inc. ("Silvercorp") has one director and one officer (June 30, 2024 - one director) 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 and nine months ended March 31, 2025 were

      $163,078 and $658,831, respectively (three and nine months ended March 31, 2024 - $263,915 and

      $673,402, respectively).

   2. Compensation of key management personnel

      The remuneration of directors and other members of key management personnel for the three and nine months ended March 31, 2025 and 2024 are as follows:

      Three months ended March 31, Nine months ended March 31,

      	2025	2024	2025	2024
      Director's cash compensation	$ 15,662	$ 16,853	$ 48,242	$ 58,965
      Director's share-based compensation	128,111	155,387	356,305	413,662
      Key management's cash compensation	174,581	429,655	454,103	1,015,526
      Key management's share-based compensation	220,408	357,756	717,145	1,242,533
      	$ 538,762	$ 959,651	$ 1,575,795	$ 2,730,686

      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 and nine months ended March 31, 2025, a total of $410,615 and $1,266,213, respectively (three and nine months ended March 31, 2024 - $634,919 and $1,710,018, respectively) was recorded as share-based compensation expense.

      (Expressed in US dollars)

      For the three and nine months ended March 31, 2025, a total of $nil and $nil, respectively (three and nine months ended March 31, 2024 - a recovery of $(30) and $(40,631), respectively) were included in the project evaluation and corporate development expense.

      For the three and nine months ended March 31, 2025, a total of $183,741 and $579,965, respectively (three and nine months ended March 31, 2024 - $297,631 and $458,098, respectively) was capitalized under mineral property interests.

      1. Stock options

         The continuity schedule of stock options, as at March 31, 2025, is as follows:

         	Number of options	Weighted average exercise price (CAD$)
         Balance, July 1, 2023	3,957,167	$ 3.37
         Options granted	1,335,000	2.10
         Options exercised	(85,000)	2.15
         Options forfeited	(745,000)	3.68
         Options expired	(689,167)	2.15
         Balance, June 30, 2024	3,773,000	$ 3.11
         Options granted	1,810,333	1.58
         Options exercised	(2,500)	2.10
         Options forfeited	(35,000)	3.35
         Balance, March 31, 2025	5,545,833	$ 2.61

         During the nine months ended March 31, 2025, a total of 1,810,333 options with a life of five years were granted to directors, officers, and employees at an exercise price of CAD$1.58 per share subject to a vesting schedule over a three-year term with 1/6 of the options vesting every 6 months after the date of grant until fully vested.

         The fair value of the options granted during the nine months ended March 31, 2025, were calculated as of the date of grant using the Black-Scholes option pricing model with the following weighted average assumptions:

         	Nine months ended March 31,
         	2025
         Risk free interest rate	2.76%
         Expected volatility	70.35%
         Expected life of options in years	2.75
         Expected dividend yield	-
         Estimated forfeiture rate	14.41%

         (Expressed in US dollars)

         The following table summarizes information about stock options outstanding as at March 31, 2025:

         Exercise prices (CAD$)	Number of options outstanding as at March 31, 2025	Weighted average remaining contractual life (years)	Number of options exercisable as at March 31, 2025	Weighted average exercise price (CAD$)
         $ 1.58	1,810,333	4.87	-	$ -
         2.10	1,313,500	3.80	436,166	2.10
         3.33	533,000	1.85	533,000	3.33
         3.42	753,000	2.80	502,001	3.42
         3.67	120,000	2.82	80,000	3.67
         3.89	10,000	1.90	10,000	3.89
         3.92	50,000	3.04	25,000	3.92
         4.00	956,000	2.18	796,667	4.00
         $1.58 - $4.00	5,545,833	3.52	2,382,834	$ 3.37

         Subsequent to March 31, 2025, a total of 485,333 options were forfeited with an average exercise price of

         $CAD 1.85.

      2. RSUs

         The continuity schedule of RSUs, as at March 31, 2025, is as follows:

         Number of shares

         Weighted average grant date closing price per

         share (CAD$)

         Balance, July 1, 2023	1,897,160	$	3.79
         Granted	1,024,000		2.10
         Forfeited	(278,999)		3.67
         Distributed	(514,947)		4.00
         Balance, June 30, 2024	2,127,214	$	2.94
         Granted	1,139,333		1.58
         Forfeited	(10,834)		2.10
         Distributed	(482,680)		2.96
         Balance, March 31, 2025	2,773,033	$	2.38

         Subsequent to March 31, 2025, a total of 95,169 RSUs were vested and distributed, and a total of 354,332 RSUs were forfeited.

   3. Bought deal financing

      On September 29, 2023, the Company successfully closed a bought deal financing to issue a total of 13,208,000 common shares at a price of $1.96 (CAD $2.65) per common share for gross proceeds of

      $25,888,462. The underwriter's fee and other issuance costs for the transaction were $1,442,376.

      (Expressed in US dollars)

9. NON-CONTROLLING INTEREST

   	Qinghai Found
   Balance, July 1, 2023	$ (110,137)
   Share of net loss	(5,572)
   Share of other comprehensive loss	(40,657)
   Balance, June 30, 2024	$ (156,366)
   Share of net loss	(23,165)
   Share of other comprehensive loss	(116,534)
   Derecognition upon wind-up of a subsidiary	296,065
   Balance, March 31, 2025	$ -

   The Company's subsidiary Qinghai Found was wound-up on November 22, 2024. Non-controlling interest of $296,065 was derecognized upon the wind-up.

   As at March 31, 2025, the non-controlling interest in the Company's subsidiary Qinghai Found was 0% (June 30, 2024 - 18%).

10. 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 March 31, 2025 and June 30, 2024 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.

       (Expressed in US dollars)

       Fair value as at March 31, 2025

       Recurring measurements Level 1 Level 2 Level 3 Total Financial Assets

       Cash and cash equivalent

       $ 17,069,234 $ - $

       - $ 17,069,234

       Equity investments 44,858 - - 44,858

       Fair value as at June 30, 2024

       Recurring measurements	Level 1	Level 2	Level 3	Total
       Financial Assets Cash and cash equivalent	$ 21,950,211 $	- $	- $	21,950,211
       Short-term investment - bonds	258,702	-	-	258,702
       Equity investments	56,539	-	-	56,539

       Fair value of other financial instruments excluded from the table above approximates their carrying amount as of March 31, 2025, and June 30, 2024, 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 nine months ended March 31, 2025.

    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 March 31, 2025, the Company had a working capital position of $16,667,202 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.

       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:

       March 31, 2025 June 30, 2024

       Due within a year Total Total

       Accounts payable and accrued l iabilities	$ 716,196	$ 716,196	$ 1,163,836
       Due to a related party	29,442	29,442	50,302
       	$ 745,638	$ 745,638	$ 1,214,138

    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 functional currency of the Chinese subsidiary was RMB. 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:

       (Expressed in US dollars)
       Financial assets denominated in foreign currencies other than relevant functional currency	March 31, 2025	June 30, 2024
       United States dollars	$ 741,023	$ 331,138
       Bolivianos	997,709	261,353
       Total	$ 1,738,732	$ 592,491
       Financial liabilities denominated in foreign currencies other than relevant functional currency
       United States dollars	$ 79,824	$ 57,116
       Bolivianos	502,454	520,046
       Total	$ 582,278	$ 577,162

       As at March 31, 2025, with other variables unchanged, a 1% strengthening (weakening) of the USD against the CAD would have increased (decreased) net income by approximately $6,600.

       As at March 31, 2025, with other variables unchanged, a 1% strengthening (weakening) of the Bolivianos against the USD would have increased (decreased) net income by approximately $5,000.

    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 March 31, 2025. 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.

    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, bonds, 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 March 31, 2025, the Company had a receivables balance of $32,909 (June 30, 2024 - $51,340).

    6. Equity Price Risk

       The Company holds certain marketable security that will fluctuate in value as a result of trading on global financial markets. Based upon the Company's portfolio at March 31, 2025, a 10% increase (decrease) in the market price of the security held, ignoring any foreign exchange effects would have resulted in an increase (decrease) to net income of approximately $4,500.

       (Expressed in US dollars)

11. 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.

12. SEGMENTED INFORMATION

    As at and for the nine months ended March 31, 2025, the Company operates in four (as at and for the nine months ended March 31, 2024 - 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").

    1. Segment information for assets and liabilities are as follows:

       March 31, 2025

       Exploration and Development

       Silver Sand				Carangas		Silverstrike
       Cash and cash equivalents	$ 16,653,387	$ 299,441		$ 105,191		$ 11,215		$ 17,069,234
       Equity investments	44,858	-		-		-		44,858
       Property, plant and equipment	161,656	294,575		44,889		640,183		1,141,303
       Mineral property interests	-	89,609,609		20,843,608		4,937,585		115,390,802
       Other assets	322,247	3,762		17,597		-		343,606
       Total Assets	$ 17,182,148	$ 90,207,387		$ 21,011,285		$ 5,588,983		$ 133,989,803
       Total Liabilities	$ (500,463)	$	(209,059)	$	(35,702)	$	(414)	$	(745,638)

       Corporate Total

       June 30, 2024

       Silver Sand				Carangas		Silverstrike
       Cash and cash equivalents	$ 21,703,189	$ 97,281		$ 73,013		$ 76,728		$ 21,950,211
       Short-term investments	258,702	-		-		-		258,702
       Equity investments	56,539	-		-		-		56,539
       Property, plant and equipment	191,423	374,662		30,328		648,117		1,244,530
       Mineral property interests	-	88,977,334		19,854,042		4,934,555		113,765,931
       Other assets	346,294	30,451		13,009		410		390,164
       Total Assets	$ 22,556,147	$ 89,479,728		$ 19,970,392		$ 5,659,810		$ 137,666,077
       Total Liabilities	$ (955,500)	$	(171,108)	$	(81,574)	$	(5,956)	$	(1,214,138)

       Corporate Exploration and Development Total

       (Expressed in US dollars)

    2. Segment information for operating results are as follows:

       Three months ended March 31, 2025

       Exploration and Development Corporate Total

       Silver Sand			Carangas	Silverstrike
       Project evaluation and corporate development	$ (14,860)	$ -	$ - $ - $	(14,860)
       Salaries and benefits	(295,093)	-	- -	(295,093)
       Share-based compensation	(410,615)	-	- -	(410,615)
       Other operating expenses	(516,595)	(94,911)	(24,882) (2,968)	(639,356)
       Total operating expense	(1,237,163)	(94,911)	(24,882) (2,968)	(1,359,924)
       Income from investments	215,258	-	- -	215,258
       Foreign exchange gain	158,830	99,006	23,723 -	281,559
       Net (loss) income	$ (863,075)	$ 4,095	$ (1,159) $ (2,968) $	(863,107)
       Attributed to: Equity holders of the Company	$ (863,075)	$ 4,095	$ (1,159) $ (2,968) $	(863,107)
       Non-controlling interests	-	-	- -	-
       Net (loss) income	$ (863,075)	$ 4,095	$ (1,159) $ (2,968) $	(863,107)

       Three months ended March 31, 2024

       Silver Sand			Carangas	Silverstrike
       Project evaluation and corporate development	$ (6,539)	$ - $	-	$ -	$ (6,539)
       Salaries and benefits	(493,889)	-	-	-	(493,889)
       Share-based compensation	(634,919)	-	-	-	(634,919)
       Other operating expenses	(544,399)	(35,014)	(4,520)	(2,966)	(586,899)
       Total operating expense	(1,679,746)	(35,014)	(4,520)	(2,966)	(1,722,246)
       Income from investments	440,991	-	-	-	440,991
       Foreign exchange gain	9,148	1,549	-	2	10,699
       Net loss	$ (1,229,607)	$ (33,465) $	(4,520)	$ (2,964)	$ (1,270,556)
       Attributed to: Equity holders of the Company	$ (1,228,187)	$ (33,465) $	(4,520)	$ (2,964)	$ (1,269,136)
       Non-controlling interests	(1,420)	-	-	-	(1,420)
       Net loss	$ (1,229,607)	$ (33,465) $	(4,520)	$ (2,964)	$ (1,270,556)

       Corporate Exploration and Development Total

       (Expressed in US dollars)

       Nine months ended March 31, 2025

       Exploration and Development Corporate Total

       Silver Sand			Carangas	Silverstrike
       Project evaluation and corporate development	$ (28,500)	$ (2,137) $ -	$ - $	(30,637)
       Salaries and benefits	(1,144,411)	- -	-	(1,144,411)
       Share-based compensation	(1,266,213)	- -	-	(1,266,213)
       Other operating expenses	(1,781,615)	(291,472) (36,578)	(9,119)	(2,118,784)
       Total operating expense	(4,220,739)	(293,609) (36,578)	(9,119)	(4,560,045)
       Income from investments	655,596	- -	-	655,596
       Foreign exchange gain	798,177	166,290 53,205	3	1,017,675
       Net (loss) income	$ (2,766,966)	$ (127,319) $ 16,627	$ (9,116) $	(2,886,774)
       Attributed to: Equity holders of the Company	$ (2,743,801)	$ (127,319) $ 16,627	$ (9,116) $	(2,863,609)
       Non-controlling interests	(23,165)	- -	-	(23,165)
       Net (loss) income	$ (2,766,966)	$ (127,319) $ 16,627	$ (9,116) $	(2,886,774)

       Nine months ended March 31, 2024

       Exploration and Development Corporate Total

       Silver Sand			Carangas	Silverstrike
       Project evaluation and corporate development	$ (196,076)	$ - $	-	$ -	$ (196,076)
       Salaries and benefits	(1,595,001)	-	-	-	(1,595,001)
       Share-based compensation	(1,710,018)	-	-	-	(1,710,018)
       Other operating expenses	(1,698,581)	(171,126)	(27,153)	(11,683)	(1,908,543)
       Total operating expense	(5,199,676)	(171,126)	(27,153)	(11,683)	(5,409,638)
       Income from investments	736,285	-	-	-	736,285
       (Loss) gain on disposal of plant and equipment	(488)	51,906	-	-	51,418
       Foreign exchange gain	65,826	1,549	10,317	2	77,694
       Net loss	$ (4,398,053)	$ (117,671) $	(16,836)	$ (11,681)	$ (4,544,241)
       Attributed to: Equity holders of the Company	$ (4,393,072)	$ (117,671) $	(16,836)	$ (11,681)	$ (4,539,260)
       Non-controlling interests	(4,981)	-	-	-	(4,981)
       Net loss	$ (4,398,053)	$ (117,671) $	(16,836)	$ (11,681)	$ (4,544,241)

13. SUPPLEMENTARY CASH FLOW INFORMATION

Changes in non-cash operating working capital:

Three months ended March 31, Nine months ended March 31,

	2025	2024		2025	2024
Receivables	$ 11,860 $	652		$ 17,343 $	86,297
Deposits and prepayments	8,117	30,397		13,813	(3,401)
Accounts payable and accrued liabilities	(85,390)	(311,445)		(92,022)	(718,306)
Due to a related party	(8,513)	(91,729)		(18,955)	(24,144)
	$ (73,926) $	(372,125)		$ (79,821) $	(659,554)

Non-cash capital transactions:

Three months ended March 31,

Nine months ended March 31,

Reduction of capital expenditures of mineral property interest in accounts payable and accrued

2025 2024 2025 2024

l iabilities

Addition of capital expenditure of mineral property

$ (210,138) $

103,035 $

(335,976) $

(736,148)

interest from deposits and prepayments $ - $ - $ - $ 182,718

Cash and cash equivalents:	March 31, 2025	June 30, 2024
Cash on hand and at bank	$ 8,535,403	$ 10,689,181
Cash equivalents	8,533,831	11,261,030
	$ 17,069,234	$ 21,950,211