Superior Gold : MDA For the three and six months ended June 30, 2021

Management's Discussion and Analysis

For the three and six months ended June 30, 2021

August 9, 2021

(Expressed in thousands of United States dollars, except where

otherwise indicated)

-2-

TABLE OF CONTENTS

Notes ---------------------------------------------------------------------------------------------------------------------------------	3
Description of the Business -----------------------------------------------------------------------------------------------------	3
First Quarter Highlights ----------------------------------------------------------------------------------------------------------	3
Highlights between June 30, 2021 and the reporting date -------------------------------------------------------------	4
Impact of COVID-19---------------------------------------------------------------------------------------------------------------	4
Key Business Developments ----------------------------------------------------------------------------------------------------	5
Plutonic Gold Operations --------------------------------------------------------------------------------------------------	5
Exploration Activities--------------------------------------------------------------------------------------------------------	6
Outlook ------------------------------------------------------------------------------------------------------------------------------	6
Summary of Operational Results ----------------------------------------------------------------------------------------------	7
Summary of Quarterly Financial Results-------------------------------------------------------------------------------------	9
Results of Operations -----------------------------------------------------------------------------------------------------	10
Financial Condition --------------------------------------------------------------------------------------------------------	13
Liquidity and Capital Resources ----------------------------------------------------------------------------------------	15
Off-Balance Sheet Arrangements --------------------------------------------------------------------------------------	16
Commitments---------------------------------------------------------------------------------------------------------------	16
Critical Accounting Policies and use of Estimates -----------------------------------------------------------------------	17
Financial Instruments-----------------------------------------------------------------------------------------------------------	17
Adoption of New or Amended Accounting Policies---------------------------------------------------------------------	18
Recent Accounting Pronouncements---------------------------------------------------------------------------------------	18
Outstanding Share Data -------------------------------------------------------------------------------------------------------	18
Non-IFRS Performance Measures -------------------------------------------------------------------------------------------	18
Disclosure Controls and Procedures ----------------------------------------------------------------------------------------	20
Risks and Uncertainties --------------------------------------------------------------------------------------------------------	21
Forward Looking Information ------------------------------------------------------------------------------------------------	21
Technical Information ----------------------------------------------------------------------------------------------------------	23
Additional Information---------------------------------------------------------------------------------------------------------	23

-3-

MANAGEMENT'S DISCUSSION AND ANALYSIS

OF THE COMPANY

Notes

This Management's Discussion and Analysis ("MD&A") dated August 9, 2021, should be read in conjunction with Superior Gold's unaudited condensed consolidated interim financial statements and related notes for the three and six months ended June 30, 2021 and 2020 ("interim financial statements") which are prepared in accordance with International Accounting Standard 34, Interim Financial Reporting ("IAS 34") as issued by the International Accounting Standards Board ("IASB"). As these interim financial statements do not contain all note disclosures required under International Financial Reporting Standards ("IFRS"), they should be read in conjunction with the Company's annual audited financial statements and Management's Discussion and Analysis for the year ended December 31, 2020. All dollar figures stated herein are expressed in thousands of United States dollars ("U.S. dollars"), except for per share or per ounce amounts or unless otherwise specified. The Company's public filings can be viewed on the SEDAR website (www.sedar.com) and on the Company's website (www.superior-gold.com).

The following discussion contains forward-looking information that involves numerous risks and uncertainties. Actual future results could differ materially from those discussed in such forward-looking information as a result of these risks and uncertainties. Refer to the cautionary language at the end of this MD&A.

Description of the Business

Superior Gold Inc. (the "Company" or "Superior Gold") is a Canadian based gold producer that owns and operates the Plutonic Gold Operations located in Western Australia. The Plutonic Gold Operations include the Plutonic Gold Mine (which is a producing underground mine with additional surface operations), the Hermes Gold Mine (which includes open pits at Hermes and interests in tenements within the Bryah Basin joint venture ranging from 70%-80%), and a central mill (located at the Plutonic Gold Mine).

Second Quarter Highlights

• Net income for the period was $0.01 per share and adjusted net income was $0.01 per share due to positive operating results
• Production of 19,356 ounces, a 28% increase over the comparative quarter of 2020
• Sold 19,099 ounces of gold at total cash costs1 of $1,412 per ounce sold and all-in sustaining costs1 of $1,519 per ounce sold, negatively impacted by the continued strengthening of the Australian dollar and below the realized gold price1 of $1,801 per ounce
• Cash flow from operations, after working capital changes, of $4,949 excluding the final repayment of $2,203 to Auramet International LLC ("Auramet") under the gold loan ("Gold loan"), exiting the quarter with a strong financial position of $17.4 million in cash and cash equivalents
• Initiated mining of the Plutonic East open pit
• Recorded zero incidences of COVID-19 infection for a sixth consecutive quarter

1 Refer to the Non-IFRS Performance Measures disclosure included in this MD&A for a description and calculation of these measures.

-4-

Highlights between June 30, 2021 and the reporting date

On July 1, 2021, Chris Jordaan was appointed as the Company's President and Chief Executive Officer and Ms. Tamara Brown, stepped down as Interim Chief Executive Officer and resumed her role as an independent Director of the Company.

Impact of COVID-19

On March 11, 2020, the World Health Organization declared a global pandemic related to COVID-

19. The COVID-19 pandemic is still impacting business worldwide and current measures to combat the spread are vastly different depending on the location of an entity's operations. The unpredictable nature of the length of the COVID-19 pandemic and the severity of measures that may be taken is subject to significant variability and accordingly, estimates as to the impact on the Company's financial results in future periods is uncertain. The judgments, inputs and assumptions used as at June 30, 2021 and for the three and six months ended June 30, 2021, whether related to COVID-19 or otherwise, have been considered and, where appropriate, reflected in the condensed consolidated interim financial statements. The future impact of COVID-19 actions as at June 30, 2021 are unknown.

To date COVID-19 has not had a significantly negative impact on the Company's operations. To address the risk of the pandemic to the Plutonic Mine, the Company instituted a number of measures to reduce the potential risk to employees and communities, which includes steps to mitigate the effects of potential supply chain disruptions.

The Company has had no reported incidences of infection from COVID-19 to date.

With respect to supply chain considerations, the Company has not experienced any disruptions with regards to its supply chain as a result of COVID-19 and continues to operate in a pre-COVID-19 manner albeit with an increase in inventories of critical consumables. The Company continues to work with its suppliers to ensure the ongoing availability of critical supplies. As a precautionary measure, the Company has established an inventory of key supplies at site.

The Company's revenue stream has not been materially negatively impacted by COVID-19 to date and therefore has not been subject to emergency government measures to support the Company or its workers. The Company continues to monitor actions taken by governments in Australia and Western Australia to develop plans to access any benefits that may become applicable or to react to any restrictions imposed.

To date, the Company's ability to meet its borrowing and leasing obligations have not been impacted by COVID-19 and the Company is not subject to concessions nor has it received permission to defer payments, at this time. Credit markets remain open and as a gold producer, management believes it has access to additional credit should it become necessary, at costs that are not prohibitive.

The Company is in compliance with all covenants, as of the date of this MD&A. Barring further negative impacts of COVID-19, the Company currently has no plans to renegotiate covenants. There is no guarantee that the Company would be successful in renegotiating covenants should the need arise.

-5-

Key Business Developments

Plutonic Gold Operations

The Plutonic Gold Mine is located in the Archaean Plutonic Marymia Greenstone Belt and has been in continuous production since 1990, having produced over 5 million ounces of gold from both open pit and underground mining.

The Hermes Gold Mine ("Hermes") is located approximately 65 kilometres south-west of the Plutonic Gold Mine. It includes the wholly-owned Hermes open pits and the 80% interest in the Hermes South open pit project 20 kilometres south-west of the Hermes open pits.

The Company continues to advance other open pit opportunities near the mill, including the main pit pushback project where the Company announced positive results from an independent preliminary economic assessment filed on December 30, 2020 and also developing the best long-term open pit operational scenario for Hermes.

Quarterly performance summary

The Plutonic Gold Operations produced and sold 19,356 and 19,099 ounces of gold, respectively, for the second quarter of 2021. Total cash costs1 of $1,412/ounce sold and all-in sustaining costs1 of $1,519/ounce sold were below the realized gold price1 of $1,801/ounce for the three-month period ending June 30, 2021. In comparison, 15,177 and 15,536 ounces of gold were produced and sold, respectively for the second quarter of 2020. Total cash costs1 of $1,426/ounce sold and all-in sustaining costs1 of $1,547/ounce sold were below the realized gold price1 of $1,608/ounce for the three-month period ending June 30, 2020.

Total cash costs1 and all-in sustaining cash costs1 decreased over the prior period primarily as a result of a higher number of ounces of gold sold, partially offset by the strengthening of the Australian dollar relative to the U.S. dollar in comparison to the second quarter of 2020. The Company generated net cash from operations after working capital changes of $4,949 for the three months ending June 30, 2021, excluding the repayment of $2,203 under the Gold loan.

Year to date performance summary

The Plutonic Gold Operations produced and sold 36,959 and 36,637 ounces of gold, respectively, for the six months ended June 30, 2021. Total cash costs1 of $1,399/ounce sold and all-in sustaining costs of $1,515/ounce were below the realized gold price1 of $1,790/ounce for the six-month period ending June 30, 2021. In comparison, 31,528 and 32,386 ounces of gold were produced and sold, respectively, for the six months ended June 30, 2020. Total cash costs1 of $1,356/ounce sold and all-in sustaining costs of $1,479/ounce were below the realized gold price1 of $1,588/ounce for the six-month period ending June 30, 2020.

Total cash costs and all-in sustaining cash costs increased over the prior period primarily due to the strengthening of the Australian dollar relative to the U.S. dollar in comparison to the six months ended June 30, 2020 as well as the inclusion of mining costs from the Plutonic East open pit which commenced in the second quarter of 2021, partially offset by a higher number of ounces of gold sold. The Company

1 Refer to the Non-IFRS Performance Measures disclosure included in this MD&A for a description and calculation of these measures.