KORE Mining : Interim Financial Report - Q1 March 31, 2022 Financial Statements

KORE MINING LTD.

Condensed Interim Consolidated Financial Statements March 31, 2022

(Unaudited)

NOTICE OF NO AUDITOR REVIEW OF

CONDENSED INTERIM CONSOLIDATED 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 interim consolidated financial statements, they must be accompanied by a notice indicating that an auditor has not reviewed the financial statements.

The accompanying unaudited condensed interim consolidated financial statements of the Company 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.

KORE MINING LTD.

Condensed Interim Consolidated Statements of Financial Position

(Unaudited)

(Expressed in Canadian dollars)

As at		March 31, 2022	December 31, 2021
				$	$
			Note
Current assets
Cash and cash equivalents		2,345,763	3,592,702
Amounts receivable		207,505	186,970
Prepaid expenses		116,714	125,818
Total current assets		2,669,982	3,905,490
Non-current assets
Deposits		229,708	230,985
Equipment		274,094	323,187
Mineral properties	4	1,736,250	1,755,089
Total assets		4,910,034	6,214,751
Current liabilities
Accounts payable		330,859	745,695
Lease liability		182,051	215,657
Total liabilities		512,910	961,352
Shareholders' equity
Share capital	5	18,830,312	18,721,695
Warrants		1,353,652	1,353,652
Reserves		2,774,503	2,531,798
Deficit		( 18,415,885)	(17,225,442)
Accumulated other comprehensive loss		( 145,458)	(128,304)
Total shareholders' equity		4,397,124	5,253,399
Total shareholders' equity and liabilities		4,910,034	6,214,751
Going concern	2
Approved by the Board of Directors:
	"James Hynes"			"Scott Trebilcock"
	Director		Director

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

2

KORE MINING LTD.

Condensed Interim Consolidated Statements of Income (Loss) and Comprehensive Income (Loss)

(Unaudited)

(Expressed in Canadian dollars except for number of shares)

For the three	For the three
months ended	months ended
March 31, 2022	March 31, 2021
$	$

Expenses	Note
Depreciation		47,431	$	11,962
Exploration and evaluation expenses	4	232,955		1,020,014
General and administration		108,950		194,061
Management fees and wages	6	357,031		266,493
Marketing and professional fees		152,647		575,145
Share-based payments	5	281,322		340,825
		(1,180,336)		(2,408,500)
Other income (expense)
Foreign exchange loss		(4,127)		(12,312)
Interest and finance income		1,700		7,576
Interest expense		(7,680)		(3,797)
Flow through income		-
Gain on distribution of Karus Gold	1	-		9,355,106
Net income (loss) for the period		(1,190,443)	$	6,938,073
Item that may be subsequently reclassified to net income
(loss)
Cumulative translation adjustment		(17,154)		30,930
Comprehensive income (loss) for the period		(1,207,597)	$	6,969,003
Basic and diluted income (loss) per common share	$	(0.01)	$	0.07
Weighted average number of common shares outstanding -
basic		114,947,325		106,098,318
Weighted average number of common shares outstanding -
diluted		114,947,325		108,495,123

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

3

KORE MINING LTD.

Condensed Interim Consolidated Statements of Cash Flows (Unaudited)

(Expressed in Canadian dollars)

	For the three	For the three
	months ended	months ended
	March 31, 2022	March 31, 2021
	$	$
CASH USED IN OPERATING ACTIVITIES	(1,190,443)
Income (loss) for the period	6,938,073
Items not involving cash:	47,431
Depreciation	11,962
Gain on distribution of Karus Gold	-	(9,355,106)
Interest expense	7,680	3,797
Share-based payments	281,322	340,825
Changes in non-cash working capital items:
Amounts receivable	(20,535)	(16,743)
Prepaid expenses and advances	9,104	159,381
Deposits	1,277	-
Accounts payable	(414,836)	(391,322)
	(1,279,000)	(2,309,133)
FINANCING ACTIVITIES
Payment of lease liabilities	(40,629)	(11,880)
Proceeds from the exercise of options	70,000	65,250
Repayment of Karus Gold loan	-	500,000
Loan to Karus Gold	-	(500,000)
	29,371	53,370
Impact of changes in foreign exchange	2,690	72,134
Change in cash	(1,246,939)	(2,183,629)
Cash at beginning of the period	3,592,702	4,906,361
Cash at end of period	2,345,763	2,722,732
Supplemental cash flow information:	-
Distribution of assets to Karus Gold	10,435,000

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

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