Southern Silver Exploration : Financial Statements, Q3 - Jan. 2022

1100 - 1199 West Hastings Street,

Vancouver, BC, V6E 3T5

Tel: [phone]www.southernsilverexploration.com

Condensed Consolidated Interim Financial Statements

Nine Months Ended January 31, 2022 and 2021

(Expressed in Canadian Dollars)

(Unaudited)

Index	Page
Notice of No Auditor Review	2
Condensed Consolidated Interim Financial Statements
Condensed Consolidated Interim Statements of Comprehensive Loss	3
Condensed Consolidated Interim Statements of Financial Position	4
Condensed Consolidated Interim Statements of Changes in Equity	5
Condensed Consolidated Interim Statements of Cash Flows	6
Notes to the Condensed Consolidated Interim Financial Statements	7-17

NOTICE OF NO AUDITOR REVIEW

The accompanying unaudited condensed consolidated interim financial statements of the Company for the nine months ended January 31, 2022 and comparatives for the nine months ended January 31, 2021 were prepared by management and have not been reviewed or audited by the Company's auditors.

Condensed Consolidated Interim Statements of Comprehensive Loss Nine Months Ended January 31, 2022 and 2021

(Expressed in Canadian Dollars, Unaudited)

Note

Three Months Ended	Nine Months Ended
January 31,	January 31,
2022 2021	2022 2021

Expenses Administration Consulting

Exploration and evaluation Investor relations

Office and general Professional fees Regulatory fees and taxes Share-based payments Shareholders' communications Transfer agent

• 7 $

15,000 $

15,000 $

45,000 $ 45,000

7

95,178

70,781

246,214 212,822

5 &7

1,099,527

1,175,169

3,681,145 2,031,095

7

132,471

145,559

328,772 530,580

7

12,597

6,753

35,865 29,822

7

51,764

60,826

193,568 192,746

29,963

7,611

61,886 36,607

8

63,616

16,952

2,246,032 3,894,671

2,538

1,400

18,255 12,168

2,210

15,150

26,511 31,356

1,504,864

1,515,201

6,883,248

7,016,867

Foreign exchange (gain) loss Other income

Share of loss in equity accounted investment Gain on revaluation of investment in associate

(6,684) (21,407)

(421,452)

172,017 (473,315)

-

(41,572) (14,032)

6 - - - 170,579

6.00

6 - - - (8,782,077)

(28,091)

(421,452)

130,445 (9,098,845)Net (Income) Loss and Comprehensive (Income) Loss for the Period

$

1,476,773 $

1,093,749 $

7,013,693 $ (2,081,978)

(Earnings) Loss per share - basic

$

0.01 $

0.00 $

0.02 $ (0.01)

(Earnings) Loss per share - diluted (0.01)Weighted average number of common shares outstanding - basic

291,534,893

224,046,074

281,213,297 182,010,776

Weighted average number of common shares outstanding - diluted 259,775,631

Condensed Consolidated Interim Statements of Financial Position (Expressed in Canadian Dollars, Unaudited)

As at

NoteJanuary 31, 2022

April 30, 2021

Current Assets

Cash

Taxes and other receivables Prepaids

$

13,405,653 $ 7,759,447

28,258 24,230

233,909 41,784

13,667,820

7,825,461

Non-Current Assets

Reclamation bonds Mineral properties

5

135,420 33,823,677

- 33,494,489

33,959,097

33,494,489

$

47,626,917 $

41,319,950

Current Liabilities

Accounts payable and accrued liabilities Due to related parties

Consideration payable

$

520,169 $ 520,889

7 6

49,253 61,275

-

4,913,600

569,422

5,495,764

Equity

Share capital

Share-based payments reserve Other reserve

8

82,357,709 66,408,385

9,523,137 7,225,459

Deficit

9,270 (44,832,621)

9,270 (37,818,928)

47,057,495

35,824,186

$

47,626,917 $

41,319,950

Approved on behalf of the Board

"Lawrence Page"

Lawrence Page, Q.C.

"Gina Jones"

Gina Jones

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

Condensed Consolidated Interim Statements of Changes in Equity Nine Months Ended January 31, 2022 and 2021

(Expressed in Canadian Dollars, Unaudited)

Share Capital Number of Shares Amount

Share-based Payments Reserve

Warrants ReserveOther ReserveDeficitTotalBalance as at April 30, 2020

132,418,743 $ 43,171,344 $ 2,625,232 $

154,500 $

9,270 $ (37,643,730) $ 8,316,616

Issued

Private placements Exercise of warrants Exercise of options

Exercise of compensation options Asset acquisition

Finders' units

Share issue costs

Fair value of warrants exercised Fair value of warrants expired Fair value of options exercised

Fair value of compensation options exercised Fair value of compensation options expired Share-based payments

70,247,620 17,021,663 2,273,500 394,222 2,336,590 1,204,000 - - - - - - - -14,456,000 3,082,916

- -- -- -- 14,456,000 - 3,082,916

371,785 - - - - 371,785

84,374 - - - - 84,374

1,322,596

-- - - (90,500)

- - - - - - - - -

• - 1,322,596

  782,600

  198,094

  -980,694

  (3,457,761)

  1,372,841

• - (2,084,920)

212,174 -

297,574

138,900 -

• - 3,894,671

(121,674)

(297,574)

(138,900)

(24,408)

(527)

- - - - -

- 527 - - 24,408 -- - - - - 3,894,671

Net income

-

-

-

-2,081,978

2,081,978

Balance as at January 31, 2021

225,896,338 $ 60,462,502 $ 7,507,755 $

64,000 $

9,270 $ (35,536,817) $ 32,506,710

Balance as at April 30, 2021

248,034,504 $ 66,408,385 $ 7,225,459 $

-$

9,270 $ (37,818,928) $ 35,824,186

Issued

Private placements Exercise of warrants Exercise of options

Exercise of compensation options Asset acquisition

Finders' units

Share issue costs

Fair value of warrants exercised Fair value of options exercised

Fair value of compensation options exercised Share-based payments

24,000,000 10,037,500 1,340,000 35,875 7,971,878 127,000 - - - - - -12,000,000 2,258,150

- -- -- -- 12,000,000 - 2,258,150

376,300 - - - - 376,300

7,175 - - - - 7,175

2,529,200

-

- - - - - - - -- - - - - - - -

• - 2,529,200

  57,150

  9,576

  -66,726

  (1,631,671)

  395,090

• - (1,236,581)

  306,893

  33,386

  12,741 - -

  (306,893)

  (33,386)

  (12,741)

  -

  -

  -- - -

  2,246,032 -

• - 2,246,032

Net loss

(7,013,693)

(7,013,693)

Balance as at January 31, 2022

291,546,757 $ 82,357,709

9,523,137

-9,270

- (44,832,621)

47,057,495