The following discussion should be read in conjunction with our audited consolidated financial statements and the related notes for the years ended November 30, 2020 and 2019 that appear elsewhere in this annual report. The following discussion contains forward-looking statements that reflect our plans, estimates and beliefs. Our actual results could differ materially from those discussed in the forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to those discussed below and elsewhere in this annual report, particularly in the section entitled "Risk Factors" in Item 1A of this annual report.

Our audited consolidated financial statements are stated in United States Dollars and are prepared in accordance with United States Generally Accepted Accounting Principles.





CASH REQUIREMENTS

We estimate our operating expenses and working capital requirements for the next twelve months to be as follows:





Expense                                 Cost

General and administrative expenses   $  25,000
Management and administrative costs   $ 300,000
Legal Fees                            $  10,000
Auditor Fees                          $  15,000
Exploration                           $ 150,000
Total                                 $ 500,000

Of the $500,000 that we require for the next 12 months, we had $19,482 in cash as of November 30, 2020, and a working capital deficit of $1,231,244. In order to improve our liquidity, we plan to pursue additional equity or debt financing from private investors or possibly a registered public offering. We do not currently have any definitive arrangements in place for the completion of any further financings and there is no assurance that we will be successful in completing any further financings. If we are unable to achieve the necessary additional financing, then we plan to reduce the amounts that we spend on our business activities and administrative expenses in order to be within the amount of capital resources that are available to us.






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RESEARCH AND DEVELOPMENT

We have not expended any funds on research and development since inception and we do not intend to allocate any funds to research and development over the twelve months ending November 30, 2021.

RESULTS OF OPERATIONS FOR THE YEARS ENDED NOVEMBER 30, 2020 AND 2019.

The following summary of our results of operations should be read in conjunction with our audited financial statements for the year ended November 30, 2020.





Revenue

We have not earned any revenues since our inception and we do not anticipate earning revenues in the upcoming quarter.





Net loss

We had a net loss of $584,511 for the year period ended November 30, 2020 which was $63,431 lower than the net loss of $647,942 for the year period ended November 30, 2019. The change in our net loss over the two periods are primarily a result of an approximate $88,000 decrease in consulting fees and stock-based compensation paid primarily to our president and COO, an approximate $57,000 decrease in general administrative expenses from travel, rent expense, other professional fees and other expenses from reduced Company activity, an approximate $27,000 decrease in accounting and legal fees and an approximate $7,000 decrease in transfer agent and filing fees from reduced public company reporting activity, offset by an approximate $65,000 increase in exploration fees for potential mining operations, an approximate $37,000 increase in interest expense from our new loan to support the business and an $14,000 debt forgiveness during the nine months ended November 30, 2019.

LIQUIDITY AND FINANCIAL CONDITION





WORKING CAPITAL



                                  At                 At
                             November 30,       November 30,          Percentage
                                 2020               2019           Increase/Decrease

Current assets               $     119,391     $      105,975                      13 %
Current liabilities          $   1,350,635     $      906,997                      49 %
Working capital deficiency   $  (1,231,244 )   $     (801,072 )                    54 %




CASH FLOWS



                                                           Year Ended
                                                 November 30,       November 30,
                                                     2020               2019

Net cash from (used in) operations              $     (271,609 )   $     (411,544 )

Net cash provided by financing activities $ 283,864 $ 414,448 Increase (Decrease) In Cash During the Period $ 12,255 $ 2,904

We had cash in the amount of $19,482 as of November 30, 2020 as compared to $4,076 as of November 30, 2019. We had working capital deficiency of $1,231,244 as of November 30, 2020 compared to a working capital deficiency of $801,072 as of November 30, 2019. The increase in work capital deficiency of $430,172 was primarily attributable to an approximate $275,000 increase in notes payable and related accrued interest for our new loans to support the business and an approximate $119,000 increase in related party accounts payable to our CEO.






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We have suffered recurring losses from operations. The continuation of our company is dependent upon our company attaining and maintaining profitable operations and raising additional capital as needed, but there can be no assurance that we will be able to raise any further financing.





FUTURE FINANCINGS

We will require additional funds to implement our growth strategy for our new business. These funds may be raised through equity financing, debt financing, or other sources, which may result in further dilution in the equity ownership of our shares.

There can be no assurance that additional financing will be available to us when needed or, if available, that it can be obtained on commercially reasonable terms. If we are not able to obtain the additional financing on a timely basis, should it be required, or generate significant material revenues from operations, we will not be able to meet our other obligations as they become due and we will be forced to scale down or perhaps even cease our operations.





CONTRACTUAL OBLIGATIONS

As a "smaller reporting company", we are not required to provide tabular disclosure obligations.





GOING CONCERN

We have suffered recurring losses from operations and are dependent on our ability to raise capital from stockholders or other sources to meet our obligations and repay our liabilities arising from normal business operations when they become due. In their report on our audited financial statements for the year ended November 30, 2020, our independent auditors included an explanatory paragraph regarding concerns about our ability to continue as a going concern. Our financial statements contain additional note disclosure describing the circumstances that lead to this disclosure by our independent auditors.

OFF-BALANCE SHEET ARRANGEMENTS

We have no off-balance sheet arrangements that have or are reasonably likely to have a current or future effect on our financial condition, changes in financial condition, revenues or expenses, results of operations, liquidity, capital expenditures or capital resources that is material to stockholders.

SIGNIFICANT ACCOUNTING POLICIES

Please refer to Note 2 -Significant Accounting Policies in the accompanying Notes to the Consolidated Financial Statements.

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