CONDENSED INTERIM CONSOLIDATED FINANCIAL STATEMENTS

FOR THE THREE MONTHS ENDED

JANUARY 31, 2022 AND 2021

Notice of No Auditor Review of Interim Financial Statements

Under National Instrument 51-102, Part 4, subsection 4.3(3)(a), if an auditor has not performed a review of the unaudited condensed interim consolidated financial statements (or "Interim Financial Statements"), they must be accompanied by a notice indicating that the Interim Financial Statements have not been reviewed by an auditor.

The management of Signature Resources Ltd. ("Management") is responsible for the preparation of the Interim Financial Statements and accordingly, these Interim Financial Statements have been prepared in accordance with International Financial Reporting Standards and are considered by Management to present fairly the consolidated financial position, operating results and cash flows of the Company.

The Company's independent auditor has not performed a review of these Interim Financial Statements in accordance with standards established by the Chartered Professional Accountants of Canada for a review of the Interim Financial Statements by an entity's auditor. These Interim Financial Statements include all adjustments, consisting of normal and recurring items, that Management considers necessary for a fair presentation of the consolidated financial position, results of operations and cash flows.

S/"Robert Vallis"

S/"Donna McLean"

Robert Vallis,

Donna McLean,

Chief Executive Officer

Chief Financial Officer

March 28, 2022

CONDENSED INTERIM CONSOLIDATED STATEMENTS OF FINANCIAL POSITION (Expressed in Canadian dollars)

January 31,October 31, 2022$

As at

Note

ASSETS

CURRENT

Cash

19,913

75,281

Investments

4

57,500

1,350,000

Amounts receivable

263,406

254,546

Prepaid expenses and deposit

30,027

67,306

Total current assets

370,846

1,747,133

Equipment

5

1,225,374

1,301,383

Exploration and evaluation assets

6,7,10

13,926,642

12,811,830

Total assets

15,522,862

15,860,346

LIABILITIES

CURRENT

Accounts payable and accrued liabilities

7,9

1,398,621

1,396,638

Total current liabilities

1,398,621

1,396,638

Rehabilitation provision

10

850,796

848,271

Total liabilities

2,249,417

2,244,909

SHAREHOLDERS' EQUITY

Share capital

8

15,582,097

15,582,097

Contributed surplus

8

4,062,496

4,031,249

Deficit

(6,371,148)

(5,997,909)

Total shareholders' equity

13,273,445

13,615,437

Total liabilities and shareholders' equity

15,522,862

15,860,346

Nature of business and continuing operations (note 1)

Commitments and contingencies (notes 6, 10, 11)

Subsequent events (note 14)

Approved by the Board:

2021 $

(Unaudited)

S/ "Paolo Lostritto"

S/ "Stephen Timms"

Director

Director

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

CONDENSED INTERIM CONSOLIDATED STATEMENTS OF LOSS AND COMPREHENSIVE LOSS (Unaudited) (Expressed in Canadian dollars)

Period ended January 31,

Note

2022

2021

$

$

GENERAL AND ADMINISTRATION

Salaries and wages

7

138,575

125,280

Office and general

109,801

47,385

Depreciation

5

83,723

28,985

Professional fees

10,000

24,612

Share-based payments

7,8

31,247

221,166

NET LOSS BEFORE OTHER ITEMS

(373,346)

(447,428)

Premium on flow-through shares income

14

-

74,245

Foreign exchange income (loss)

107

(1,166)

Gain on forgiveness of debt

11

-

79,100

NET LOSS AND COMPREHENSIVE LOSS

(373,239)

(295,249)

LOSS PER SHARE, basic and diluted

$(0.00)

$(0.00)

Weighted average number of common shares,

basic and diluted

237,060,527

147,588,957

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

CONDENSED INTERIM CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) (Expressed in Canadian dollars)

Period ended January 31,

Note

2022

2021

$

$

OPERATING ACTIVITIES

Net loss for the period

(373,239)

(295,249)

Items not affecting cash:

Depreciation expense

5

83,723

28,985

Share-based payments

8

31,247

221,166

Premium on flow-through shares income

14

-

(74,245)

Gain on forgiveness of debt

(79,100)

Interest expense

11

-

-

(258,269)

(198,443)

Changes in non-cash working capital items:

Amounts receivable

(8,860)

(101,876)

Prepaid expenses and deposit

37,279

8,456

Accounts payable and accrued liabilities

1,982

239,045

Net cash used in operating activities

(227,868)

(52,818)

FINANCING ACTIVITIES

Proceeds from private placement

8

-

3,000,000

Share issuance costs

8

-

(132,148)

Proceeds from warrant exercise

8

-

5,000

Net cash provided by financing activities

-

2,872,852

INVESTING ACTIVITIES

Expenditures on exploration and evaluation assets

6

(1,112,287)

(506,438)

Expenditures on equipment

5

(7,713)

(210,725)

Investments

4

1,292,500

(1,500,000)

Net cash used in investing activities

172,500

(2,217,163)

Net change in cash

(55,368)

602,871

Cash and equivalent, beginning of period

75,281

462,184

Cash and equivalent, end of period

19,913

1,065,055

Non-cash activities:

Depreciation included in exploration and evaluation assets

5

$-

$1,110

Shares for debt

8

$-

$291,955

Exercise of options

8

$-

$100,000

Increase in rehabilitation provision

10

$2,525

$-

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

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Signature Resources Ltd. published this content on 04 April 2022 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 04 April 2022 13:46:08 UTC.