Waroona Energy : Interim financial statements/report

WAROONA ENERGY INC.

(formerly Metallum Resources Inc.)

CONDENSED INTERIM CONSOLIDATED FINANCIAL STATEMENTS

SIX MONTH PERIOD ENDED JUNE 30, 2023

Unaudited - Prepared by Management)

(Expressed in Canadian Dollars)

NOTICE OF NO AUDITOR REVIEW OF

CONDENSED INTERIM CONSOLIDATED FINANCIAL STATEMENTS

In accordance with National Instrument 51-102 of the Canadian Securities Administrators, the Company discloses that its external auditors have not reviewed the unaudited condensed interim consolidated financial statements for the six month period ended June 30, 2023. These financial statements have been prepared by management and approved by the Audit Committee and the Board of Directors of the Company.

2

Waroona Energy Inc.
(formerly Metallum Resources Inc.)
Condensed Interim Consolidated Statements of Financial Position
As at June 30, 2023 and December 31, 2022
(Expressed in Canadian Dollars)
(Unaudited)
	June 30,	December 31,
	2023	2022
	($)	($)
ASSETS
Current assets
Cash and cash equivalents	11,223,118	3,460,189
Prepayments	101,818	54,231
Taxes receivable	62,397	4,596
	11,387,333	3,519,016
Exploration and evaluation assets (Note 5)	14,530,585	14,430,585
Security bond	64,783	-
Property, plant and equipment (Notes 6 and 7)	22,047,989	-
	48,030,690	17,949,601
LIABILITIES AND SHAREHOLDERS' EQUITY
Current liabilities
Accounts payable and accrued liabilities	833,646	125,658
	833,646	125,658
Non-current liabilities
Other liability (Note 8)	3,270,465	-
	3,270,465	-
Shareholders' equity
Share capital (Note 9)	93,312,360	66,350,951
Other equity reserve (Note 10)	4,038,324	3,846,160
Accumulated other comprehensive income (Note 9)	(228,128)	148,101
Deficit	(53,195,977)	(52,521,269)
	43,926,579	17,823,943
	48,030,690	17,949,601
Nature of Operations and Going Concern (Note 1)

On behalf of the Board:
"Adam Kiley"	"Anthony Wonnacott"
Director	Director

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

3

Waroona Energy Inc.
(formerly Metallum Resources Inc.)
Condensed Interim Consolidated Statements of Loss and Comprehensive Loss
(Expressed in Canadian Dollars)
(Unaudited)
	Three Month	Three Month	Six Month	Six Month
	Period Ended	Period Ended	Period Ended	Period Ended
	June 30, 2023	June 30, 2022	June 30, 2023	June 30, 2022
			($)	($)
EXPENSES
Accounting and legal	90,595	21,930	171,011	25,897
Amortization	-	179	-	358
Consulting fees	87,484	6,000	90,286	31,257
Director fees	84,462	26,416	124,462	29,416
Exploration expenditures	4,837	160,348	7,862	298,583
Interest and bank charges	14,206	2,683	14,711	8,835
Management fees	-	10,500	-	21,000
Office and mescellaneous	34,817	11,778	42,246	21,427
Regulatory and stock exchange fees	53,556	17,311	70,714	25,675
Rent and utilities	10,505	10,504	10,505	16,213
Salaries and benefits	-	68,740	-	118,987
Shareholder communication	59,813	75,021	62,634	129,674
Share-based payments (Note 10)	192,164	9,322	192,164	65,949
Travel and accommodation	40,619	12,452	40,696	15,452
	(673,058)	(433,184)	(827,291)	(808,723)
Foreign exchange gains (losses)	113,300	(1,402)	112,710	43
Interest income	7,596	7,378	39,873	7,409
Loss before income tax	(552,162)	(427,208)	(674,708)	(801,271)
Deferred income tax recovery	-	9,003	-	30,046
Loss for the period	(552,162)	(418,205)	(674,708)	(771,225)
Item that may be reclassified to loss
Exchange differences on translating foreign operations	(228,128)	-	(228,128)	-
Comprehensive loss for the period	(780,290)	(418,205)	(902,836)	(771,225)
Basic and diluted loss per share:	(0.00)	(0.00)	(0.00)	(0.00)
Weighted average common shares outstanding:
Basic and Diluted	543,193,701	263,316,721	414,054,001	229,897,891

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

4

Waroona Energy Inc.
(formerly Metallum Resources Inc.)
Condensed Interim Consolidated Statements of Changes in Shareholders' Equity
(Expressed in Canadian Dollars)
(Unaudited)
			Reserves
				Accumulated
				Other
	Number of		Other Equity	Comprehensive
	Shares	Amount	Reserve	Income (Loss)	Deficit	Total
		($)	($)		($)	($)
Balance at December 31, 2021	196,107,741	61,529,897	3,631,653	148,101	(51,127,917)	14,181,734
Common shares issued for private placements	87,371,674	5,242,300	-	-	-	5,242,300
Share issuance costs	-	(421,246)	148,558	-	-	(272,688)
Share-based payments	-	-	65,949	-	-	65,949
Loss for the period	-	-	-	-	(771,225)	(771,225)
Balance at June 30, 2022	283,479,415	66,350,951	3,846,160	148,101	(51,899,142)	18,446,070
Loss for the period	-	-	-	-	(622,127)	(622,127)
Balance at December 31, 2022	283,479,415	66,350,951	3,846,160	148,101	(52,521,269)	17,823,943
Common shares issued for private placements	150,000,000	9,000,000	-	-	-	9,000,000
Common shares issued for acquisition of Waroona Energy Pty Ltd	304,500,000	18,270,000	-	-	-	18,270,000
Share issuance costs	-	(308,591)	-	-	-	(308,591)
Share-based payments	-	-	192,164	-	-	192,164
Currency translation adjustment	-	-	-	(228,128)	-	(228,128)
Foreign exchange gain reclassified to net loss	-	-	-	(148,101)	-	(148,101)
Loss for the period	-	-	-	-	(674,708)	(674,708)
Balance at June 30, 2023	737,979,415	93,312,360	4,038,324	(228,128)	(53,195,977)	43,926,579

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

5