Osisko Metals Incorporated : Financial statements for the three-month and six-month periods ended June 30, 2022

OSISKO METALS INCORPORATED

CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS

(UNAUDITED)

FOR THE THREE-MONTH AND SIX-MONTH PERIODS ENDED

JUNE 30, 2022 AND 2021

NOTICE OF NO AUDITOR REVIEW OF

CONDENSED 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 condensed consolidated 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 condensed consolidated interim financial statements of Osisko Metals Incorporated 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.

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Osisko Metals Incorporated

Consolidated Interim Statements of Financial Position

(Expressed in Canadian Dollars)

	June 30, 2022		December 31, 2021
	(Unaudited)		(Audited)
ASSETS	$		$
CURRENT
Cash and cash equivalents	12,711,755	6,469,732
Accounts receivable	1,835,601	388,837
Prepaid expenses	363,738	85,213
NON-CURRENT	14,911,094		6,943,782
Exploration and evaluation assets (Note 4)	96,835,738	92,527,246
Other assets	489,511	489,511
Property and equipment	225,422	263,757
Investments	5,940	7,713
	97,556,611		93,288,227

Total assets	112,467,705	100,232,009
LIABILITIES
CURRENT
Trade and other payables	5,601,393	3,834,073
Deferred premium on flow-through shares (Note 5)	1,240,643	1,088,653
NON-CURRENT	6,842,036		4,922,726
Deferred tax liability	3,197,773	2,225,688
Total liabilities	10,039,809	7,148,414
EQUITY
Share capital	124,407,300	115,364,501
Warrants	2,614,179	1,004,240
Contributed surplus	18,212,183	18,069,139
Deficit	(42,805,766)	(41,354,285)
Total equity	102,427,896		93,083,595
Total liabilities and equity
112,467,705	100,232,009

Going concern (Note 1)

Commitments and contingencies (Note 13)

Subsequent event (Note 14)

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

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Osisko Metals Incorporated

Consolidated Statement of Loss and Comprehensive Loss

For the three-month and six-month periods ended June 30, 2022 and 2021

(Unaudited, Expressed in Canadian Dollars)

		Three-months ended			Six-months ended
			June 30,				June 30,
		2022	2021			2022	2021
		$	$			$	$
Expenses
Employee benefits expenses	323,492	355,427	678,041	707,933
Consulting and professional fees	109,568	12,275	201,884	141,717
Share-based compensation (Note 8)	69,579	96,695	144,803	255,388
Office expenses	113,093	62,484	176,094	117,906
Investor and shareholder relations	83,483	91,812	176,008	156,397
Travel expenses	47,640	2,827	63,695	2,827
Depreciation	2,637	4,859	6,172	9,067
Write-off of exploration and evaluation
expenses	-	1,869	-	1,869
Operating Loss	(749,492)	(628,248)	(1,446,697)	(1,393,104)
Financial revenues	17,192	12,772	24,241	21,134
Change in fair value of investments	(209)	(6,250)	(1,362)	(10,638)
Loss on foreign exchange	(8,172)	(10,994)		(11,954)	(14,108)
Loss before income taxes	(740,681)	(632,720)		(1,435,772)	(1,396,716)
Income tax (expense) recovery	(92,356)	106,552	(15,709)	270,884
Net loss and comprehensive loss for the period	(833,037)	(526,168)	(1,451,481)	(1,125,832)
Net loss per common share (Note 9)
Basic and diluted	(0.004)	(0.003)	(0.007)	(0.006)
Weighted average number of common shares
outstanding (Note 9)
Basic and diluted		205,805,764	187,328,496		203,824,409	183,068,937

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

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Osisko Metals Incorporated

Consolidated Statements of Changes in Equity

For the three-month and six-month periods ended June 30, 2022 and 2021

(Unaudited, Expressed in Canadian Dollars)

	Number			Contributed
	of common shares	Share capital	Warrants	surplus	Deficit	Total
		$	$	$	$	$
Balance - December 31, 2021	201,833,440	115,364,501	1,004,240	18,069,139	(41,354,285)	93,083,595
Acquisition of mining properties (Note 4)	34,998	13,649	-	-	-	13,649
Issuance of flow-through shares (Note 6)	23,766,667	11,010,999	1,639,001	-	-	12,650,000
Deferred premium on flow- through shares	-	(1,381,284)	-	-	-	(1,381,284)
Cost of share issuance	-	(900,651)	(29,062)	-	-	(929,713)
Tax recoveries on share issue costs	-	272,919	-	-	-	272,919
Share-based compensation (Note 8)	-	-	-	151,761	-	151,761
Exercise of stock options	36,666	27,167	-	(8,717)	-	18,450
Net loss and comprehensive loss for the period	-	-	-	-	(1,451,481)	(1,451,481)
Balance - June 30, 2022	225,671,771	124,407,300	2,614,179	18,212,183	(42,805,766)	102,427,896
Balance - December 31, 2020	178,798,993	106,535,152	1,004,240	17,642,517	(36,100,786)	89,081,123
Acquisition of mining properties	34,998	14,699	-	-	-	14,699
Issuance of flow-through shares (Note 6)	12,000,000	6,000,000	-	-	-	6,000,000
Deferred premium on flow- through shares	-	(711,708)	-	-	-	(711,708)
Cost of share issuance	-	(525,315)	-	-	-	(525,315)
Share-based compensation (Note 8)	-	-	-	270,133	-	270,133
Exercise of stock options (Note 8)	500,000	286,344	-	(136,344)	-	150,000
Net loss and comprehensive loss for the period	-	-	-	-	(1,125,832)	(1,125,832)
Balance - June 30, 2021	191,333,991	111,599,172	1,004,240	17,776,306	(37,226,618)	93,153,100

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

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