Mako Mining — Interim / Quarterly Report 2023

Feb 17, 2026

{0}------------------------------------------------

Q1 2023 INTERIM FINANCIAL STATEMENTS

TENTH AVENUE PETROLEUM CORP. TSXV:TPC

www.tenthavenuepetroleum.com

{1}------------------------------------------------

TENTH AVENUE PETROLEUM CORP. CONSOLIDATED STATEMENTS OF FINANCIAL POSITION [UNAUDITED]

	Note	March 31, 2023	December 31, 2022
As at ASSETS
Current
Cash and cash equivalents		\$ 569,459	\$ 704,218
Trade and other receivables		404,483	440,240
Prepaid expenses and deposits		262,635	224,834
		1,236,577	1,369,292
Long term
Restricted cash held in trust		-	55,720
Property and equipment	6	5,655,935	5,643,023
		\$ 6,892,512	\$ 7,068,035
LIABILITIES
Current
Accounts payable and accrued liabilities		\$ 790,988	\$ 921,343
		790,988	921,343
Long term
Decommissioning obligations	7	3,378,561	3,259,406
Total liabilities		4,169,549	4,180,749
SHAREHOLDERS' EQUITY
Share capital	8	17,682,581	17,652,581
Contributed surplus		10,585,662	10,511,621
Deficit		(25,545,280)	(25,276,916)
		2,722,963	2,887,286
		\$ 6,892,512	\$ 7,068,035

Subsequent Events (Note 13)

The accompanying notes are integral part of these Financial Statements.

Approved on behalf of the Board of Directors:

[signed] "Cameron MacDonald" [signed] "Ron Hozjan" Cameron MacDonald, Director Ron Hozjan, Director

{2}------------------------------------------------

TENTH AVENUE PETROLEUM CORP. CONSOLIDATED STATEMENTS OF NET INCOME (LOSS) AND COMPREHENSIVE INCOME (LOSS) FOR THE THREE AND NINE MONTHS ENDED [UNAUDITED]

Three months ended

		March 31,		March 31,
	Note	2023		2022
REVENUE
Oil & natural gas sales	9	\$ 1,018,566	\$	728,616
Royalties		(122,982)		(113,270)
Gas gathering, processing and other income		23,420		10,402
		919,004		625,748
EXPENSES
Production and transportation		738,714		411,060
General and administrative		129,517		176,304
Accretion	7	24,002		9,224
Stock based compensation	8	74,041		-
Depletion and depreciation	6	221,094		100,728
		1,187,368		697,316
OPERATING INCOME (LOSS) FROM OPERATIONS		(268,364)		(71,568)
Other expense items
Interest expense		-		(1,138)
NET INCOME (LOSS) AND COMPREHENSIVE INCOME (LOSS) \$		(268,364)	\$	(72,706)
INCOME (LOSS) PER SHARE
Basic	8	\$ (0.01) \$		(0.00)
Diluted	8	\$ (0.01) \$		(0.00)

The accompanying notes are integral part of these Financial Statements.

{3}------------------------------------------------

TENTH AVENUE PETROLEUM CORP. STATEMENT OF SHAREHOLDERS' EQUITY (DEFICIT) FOR THE NINE MONTHS ENDED [UNAUDITED]

		March 31,	March 31,
	Note	2023	2022
SHAREHOLDERS' EQUITY (DEFICIT)
Share capital	8
Balance, beginning of period		\$ 17,652,581	\$ 13,437,123
Warrants exercised		30,000	52,500
Stock options exercised		-	120,085
Private placements		-	3,116,250
Share issuance costs		-	(198,537)
Balance, end of period		\$ 17,682,581	\$ 16,527,421
Contributed surplus
Balance, beginning of period		\$ 10,511,621	\$ 10,192,777
Stock options exercised		-	(41,335)
Stock based compensation	8	74,041	-
Balance, end of period		\$ 10,585,662	\$ 10,151,442
Deficit
Balance, beginning of period		\$	(25,276,916) \$ (22,864,641)
Net income (loss)		(268,364)	(72,706)
Balance, end of period		\$	(25,545,280) \$ (22,937,347)
TOTAL SHAREHOLDERS' EQUITY (DEFICIT)		\$ 2,722,963	\$ 3,741,516

The accompanying notes are integral part of these Financial Statements.

{4}------------------------------------------------

TENTH AVENUE PETROLEUM CORP. STATEMENT OF CASH FLOWS FOR THE THREE AND NINE MONTHS ENDED [UNAUDITED]

		Three months ended
		March 31,		March 31,
	Note	2023		2022
OPERATING ACTIVITIES
Net income (loss)		\$ (268,364)	\$	(72,706)
Items not affecting cash:
Depletion and depreciation	6	221,094		100,728
Stock based compensation		74,041		-
Loan interest accrued		-		1,138
Accretion	7	24,002		9,224
Acquisition costs accrued		-		188,971
Changes in restricted cash		55,720		-
Changes in non-cash working capital	1 0	(132,399)		(314,797)
CASH PROVIDED BY OPERATING ACTIVITIES		(25,906)		(87,442)
FINANCING ACTIVITIES
Proceeds from exercise of warrants		30,000		52,500
Proceeds from exercise of stock options		-		78,750
Repayment of long term loan		-		-
Proceeds from private placement		-		2,917,713
CASH PROVIDED BY FINANCING ACTIVITIES		30,000		3,048,963
INVESTING ACTIVITIES
Deposit on acquisition		-		(100,000)
Purchase of property and equipment	5,6	(138,853)		(3,558)
CASH USED IN INVESTING ACTIVITIES		(138,853)		(103,558)
NET CHANGE IN CASH AND CASH EQUIVALENTS		(134,759)		2,857,963
CASH AND CASH EQUIVALENTS, beginning of period		704,218		43,372
CASH AND CASH EQUIVALENTS, end of period		\$ 569,459	\$	2,901,335
Interest paid		\$ -	\$	-

The accompanying notes are integral part of these Financial Statements.

{5}------------------------------------------------

1. GENERAL INFORMATION

Tenth Avenue Petroleum Corp. ("Tenth" or the "Company") was incorporated under the Business Corporations Act (Alberta). The Company is engaged in exploration, development and production of crude oil and natural gas properties in western Canada. These financial statements include the consolidated balances of all subsidiaries; however the Company does not have any material subsidiaries as at March 31, 2023. Tenth Avenue's common shares are listed on the TSX Venture Exchange ("TSXV") and trade under the symbol "TPC". The Company's head office and registered address is located at 2003, 188 15th Avenue S.W., Calgary, Alberta T2R 1S4.

2. BASIS OF PREPARATION

a) Statement of compliance

These condensed consolidated interim financial statements as at March 31, 2023 (the "Financial Statements") are unaudited and have been prepared in accordance with International Financial Reporting Standards ("IFRS") as issued by the International Accounting Standards Board ("IASB"), applicable to the preparation of interim financial statements, including IAS 34 Interim Financial Reporting. Certain disclosures included in the notes to the annual financial statements have been condensed in the following interim note disclosures or have been disclosed on an annual basis only. Accordingly, these Financial Statements should be read in conjunction with the audited consolidated annual financial statements for the year ended December 31, 2022 (the "2022 Annual Financial Statements").

The Company's Board of Directors approved these Financial Statements on May 29, 2023.

b) Basis of measurement

Unless otherwise indicated, all references to dollar amounts in these Financial Statements and related notes are in Canadian dollars, which is the functional and presentation currency of the Company. The Financial Statements have been prepared on a historical cost basis, except for certain financial instruments which are recorded at fair value as detailed in the accounting policies disclosed in note 4 of the Financial Statements.

c) Significant estimates and judgements

The timely preparation of the financial statements requires management to make judgements, estimates and assumptions that affect the application of accounting policies and the reported amount of assets, liabilities, income and expenses. Actual results may differ materially from these estimates. Estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognized in the period in which the estimates are reviewed and for any future years affected. Significant judgements, estimates and assumptions made by management in these Financial Statements are consistent with those outlined in note 2 of the 2022 Annual Financial Statements.

3. SIGNIFICANT ACCOUNTING POLICIES

The significant accounting policies applied by the Company are described in note 3 of the 2022 Annual Financial Statements. The Financial Statements at March 31, 2023 have been prepared following the same accounting policies and methods of computation as the most recent consolidated annual financial statements as at and for the year ended December 31, 2022.

{6}------------------------------------------------

4. FINANCIAL INSTRUMENTS AND RISK MANAGEMENT

As at March 31, 2023, financial instruments of the Company include cash and cash equivalents, trade and other receivables, accounts payable and accrued liabilities, and long-term debt. The fair values of these financial assets and liabilities, approximate their carrying value due to the short term to maturity of those instruments except for long-term debt which was determined using a Level 3 valuation. Financial liabilities are measured at amortized cost.

The Company is exposed to financial risks arising from its financial assets and liabilities that include credit and liquidity risk, in addition to the market risks associated with commodity prices, and interest and foreign exchange rates. Net income and cash flows may fluctuate due to movement in market prices or as a result of the Company's exposure to credit and liquidity risks.

Risk Management Overview

Tenth Avenue's risk management objective is to manage and control market risk exposures within acceptable limits, while maximizing long-term returns.

a) Credit Risk

The carrying amount of cash and cash equivalents and trade and other receivables represent the Company's maximum credit exposure. Cash and cash equivalents are held on deposit with Canadian chartered banks. The Company's credit risk exposure arises primarily from receivables from oil and gas marketers and joint venture partners.

The composition of the Company's accounts receivable is set out in the following table:

	March 31, 2023	December 31, 2022
Oil and gas marketers	\$ 310,609	\$ 239,368
Joint venture partners	28,495	103,552
Accounts receivable	65,379	67,884
GST receivable	-	29,436
	\$ 404,483	\$ 440,240

The oil and gas industry has a pre-arranged monthly clearing day for payment of revenues from all buyers of oil and natural gas; this occurs on the 25th day following the month of sale. As a result, the Company's production revenues are current. All other accounts receivable are generally contractually due within 30 days, however the collection period is typically between 60 to 90 days. Amounts outstanding for more than 90 days are generally considered "past due" and relate primarily to receivables from the Company's joint venture partners. When determining whether amounts that are past due are collectible, management assesses the creditworthiness and past payment history of the counterparty, as well as the nature of the past due amount. Management has reviewed past due accounts receivable balances as at March 31, 2023 and has recorded no provision for expected credit during the period.

b) Liquidity Risks

Liquidity risk is the risk that a company will not be able to meet its financial obligations as they become due. The Company's financial liabilities as at March 31, 2023 include accounts payable.

The Company prepares and regularly updates its capital and operating budget to forecast future cash flows to ensure, to the extent possible, that it will have sufficient liquidity to meet its obligations.

{7}------------------------------------------------

The Company has sufficient liquidity to meet its financial obligations for the next 12 months. The following table outlines a contractual maturity analysis for the Company's financial liabilities as at March 31, 2023:

	1 year	2-3 years	4 to 5 years	>5 years	Total
Accounts payable and accrued
liabilities	\$ 790,988	\$ -	\$ -	\$ -	\$ 790,988

c) Market Risks

Market risk is the risk that changes in market conditions, such as commodity prices, interest rates and foreign exchange rates, will affect the Company's cash flows, net income, or fair value of financial instruments. Tenth Avenue's risk management objective is to manage and control market risk exposures within acceptable limits, while maximizing long-term returns.

The Company utilizes physical delivery sales contracts to manage market risks. All such transactions are conducted in accordance with the Company's risk management policies.

Commodity price risk

Inherent to the business of producing oil and gas, the Company's revenue and cash provided by operating activities is subject to commodity price risk. Commodity price risk is the risk that future cash flows will fluctuate as a result of changes in commodity prices. Commodity prices are impacted by world economic events that dictate the levels of supply and demand as well as the currency exchange rate relationship between the Canadian and U.S. dollar. A \$1.00/bbl change in the price of oil will result in a \$11,540 change in net income for the three months ended March 31, 2023. A \$0.10/Mcf change in the price of natural gas will result in a \$2,366 change in net income for the three months ended March 31, 2023.

5. ACQUISITIONS AND DISPOSITIONS

During the year ended December 31, 2022, the Company completed an acquisition ("Avalon Energy") for total consideration of \$2,500,000 comprised of cash consideration of \$1,750,000 and \$750,000 in common shares. The Company incurred transaction costs of \$68,661, which are included in general and administrative expenses in the statement of income (loss) and comprehensive income (loss). In September 2022, the Company completed a second acquisition (Danzig Resources) for total consideration of \$760,000 comprised of cash consideration of \$400,000 and common share consideration of \$360,000. The Company incurred transaction costs of \$11,018 in relation to this acquisition, which are included in general and administrative expenses.

{8}------------------------------------------------

The following table summarizes the aggregate consideration paid for acquisitions during the year ended December 31, 2022 and the estimated fair value of the net identifiable assets acquired on the respective acquisition dates:

ACQUISITION SUMMARY	Danzig Resources		Avalon Energy		Total 2022
Cash consideration, after adjustments	\$ 417,260	\$	2,077,547	\$	2,494,807
Common share consideration (note 10)	360,000		750,000		1,110,000
Total consideration	\$ 777,260	\$	2,827,547	\$	3,604,807
Net Assets Acquired
Property, plant and equipment (note 7)	\$ 1,525,283	\$	4,405,801	\$	5,931,084
Prepaid expenses	31,335		53,749		85,084
Inventory	-		162,799		162,799
Decommissioning obligation (1) (note 9)	(785,232)		(1,823,897)		(2,609,129)
GST receivable	5,874		29,095		34,969
Fair value of net assets acquired	\$ 777,260	\$	2,827,547	\$	3,604,807

^1. The aggregate fair value of decommissioning obligations acquired of \$1,823,897 and \$785,232 were estimated by discounting the inflated cost estimates using a "risk-free rate" of 1.99% and 3.09% on the respective closing dates of the acquisitions.

6. PROPERTY, PLANT AND EQUIPMENT

The Company's property, plant and equipment includes development and production assets ("D&P") and corporate assets. D&P assets include the Company's interests in developed crude oil and natural gas properties, as well as interests in facilities and pipelines. The following tables reconcile the movements in the cost and accumulated depletion, depreciation and impairment ("DD&I") during the years:

Property, plant and equipment, at cost	D&P assets	Corporate	Total PP&E
Balance at December 31, 2021	\$ 1,832,444	\$ -	\$ 1,832,444
Additions	843,802	-	843,802
Acquisitions (note 5)	5,931,084	-	5,931,084
Change in decommissioning estimates (note 9)	(414,277)	-	(414,277)
Balance at December 31, 2021	8,193,053	-	8,193,053
Additions	138,853	-	138,853
Change in decommissioning estimates (note 7)	(95,153)	-	(95,153)
Balance at March 31, 2023	\$ 8,427,059	\$ -	\$ 8,427,059

Accumulative DD&I	D&P assets	Corporate	Total PP&E
Balance at December 31, 2021	\$ 97,774	\$ -	\$ 97,774
Impairment	1,764,964	-	1,764,964
Depletion and depreciation	687,322	-	687,322
Balance at December 31, 2021	2,550,030	-	2,550,030
Depletion and depreciation	221,094	-	221,094
Balance at March 31, 2023	\$ 2,771,124	\$ -	\$ 2,771,124

Net carrying value	D&P assets	Corporate	Total PP&E
Balance at December 31, 2022	\$ 5,643,023	\$ -	\$ 5,643,023
Balance at March 31, 2023	\$ 5,655,935	\$ -	\$ 5,655,935

Tenth Avenue assessed each of its cash generating units for indicators of potential impairment as at March 31, 2023 and concluded there are no indicators of impairment.

{9}------------------------------------------------

7. DECOMMISSIONING OBLIGATIONS

Decommissioning liabilities arise as a result of the Company's net ownership interests in crude oil and natural gas assets including well sites, processing facilities and infrastructure. The following table provides a reconciliation of the carrying amount of the obligation associated with the retirement of oil and gas properties:

	March 31,	December 31,
	2023	2022
Balance, beginning of year	\$ 3,259,406	\$ 992,636
Obligations acquired (note 5)	-	2,609,129
Changes in estimates (note 6)	95,153	(414,277)
Accretion	24,002	71,918
Balance, end of period	\$ 3,378,561	\$ 3,259,406

The underlying cost estimates are derived from a combination of published industry benchmarks as well as site specific information. As at March 31, 2023, based on an inflation rate of 2.0% (December 31, 2021 – 2.0%) the total undiscounted amount of the estimated cash flows required to settle the obligation is \$4,710,818 (\$4,757,504 as of December 31, 2022). As at March 31, 2023, the carrying amount of the decommissioning obligations is based on a risk-free rate of 3.02% (3.09% at December 31, 2022). The Company expects the expenditures to be incurred between 2030 and 2036.

8. SHARE CAPITAL

a) Authorized

The Company is authorized to issue an unlimited number of common shares, an unlimited number of preferred shares, each without par value. The preferred shares may be issued in series, with the directors determining the terms of the preferred shares on a series-by-series basis.

b) Issued and outstanding

The following table summarizes the change in common shares issued and outstanding

	Number of	Amount
	common shares
Balance at December 31, 2021	21,129,100	\$ 13,437,123
Equity offerings:
Non-brokered private placement	12,465,000	3,116,250
Issued on acquisition of properties (note 6)	4,500,000	1,110,000
Issued for cash on exercise of warrants	700,000	52,500
Issued for cash on exercise of stock options	1,050,000	78,750
Transfer of value attributed to stock options exercised	-	56,495
Issue costs	-	(198,537)
Balance at December 31, 2022	39,844,100	17,652,581
Equity offerings:
Issued for cash on exercise of warrants	100,000	30,000
Balance at March 31, 2023	39,944,100	\$ 17,682,581

{10}------------------------------------------------

On February 17, 2022, the Company closed a non-brokered private placement and issued to certain investors an aggregate of 12,465,000 units (each a "Unit") at a price of \$0.25 per share for aggregate gross proceeds of \$3,116,250 (the "Private Placement").

Pursuant to the Private Placement, each Unit consisted of one common share of the Company ("Common Share") and one-half of one Common Share purchase warrant ("Warrant"). Each whole Warrant issued under the Private Placement entitles the holders to acquire up to an aggregate 6,232,500 Common Share purchase Warrants at a price of \$0.30 per Common Share for a period of 12 months from the date of issuance. The Warrants include an acceleration clause to the effect that if at any time the daily volume weighted average closing price of the Common Shares on the TSXV is \$0.35 or more for a period of twenty (20) consecutive days, the Company will be entitled to notify all holders of Warrants of its intention to force the exercise of the Warrants and to issue a press release to such effect, following which the holders of Warrants shall have thirty (30) days from the date of the press release to exercise the Warrants. All of the Common Shares and Warrants issued in connection with this financing are subject to a statutory four-month hold period in accordance with applicable securities laws.

Net proceeds of the Private Placement were \$2,917,713 after issue costs.

On April 12, 2022 the Avalon Energy acquisition closed for total proceeds of \$2,827,547 which included \$2,077,547 in cash and \$750,000 in common shares, settled through the issuance of 3,000,000 shares at a deemed price of \$0.25 per share.

On September 30, 2022 the Danzig Resources acquisition closed for total proceeds of \$777,260 which included \$417,260 in cash and \$360,000 in common shares, settled through the issuance of 1,500,000 shares at a deemed price of \$0.24 per share.

c) Warrants

The following table summarizes the change in common share purchase warrants issued and outstanding:

	Number of	Average
	warrants	exercised price
		(\$/share)
Balance at December 31, 2021	700,000	0.075
Warrants exercised	(700,000)	0.075
Warrants issued as part of Private Placement	6,232,500	0.30
Balance at December 31, 2022	6,232,500	0.30
Warrants expired	(6,202,500)	(0.15)
Warrants exercised	(30,000)	(0.15)
Balance at March 31, 2023	-	-

{11}------------------------------------------------

d) Stock options

The Company has a stock option plan under which options to purchase common shares may be granted to officers, directors, employees and consultants. The Board of Directors has approved a policy of reserving up to 10% of the outstanding common shares for issuance to eligible participants of the stock option and share award plans. All stock options have a maximum term of five years and the vesting period for each grant is determined at the discretion of the Board of Directors. The following table summarizes the change in stock options outstanding:

	Number of	Average
	options	exercised price
		(\$/share)
Balance at December 31, 2021	1,050,000	0.075
Exercised	(1,050,000)	0.075
Granted (1)	2,940,000	0.20
Balance at December 31, 2022	2,940,000	0.20
Forfeited	(770,000)	(0.20)
Balance at March 31, 2023	2,170,000	0.20
Exercisable at March 31, 2023	723,336	0.20

⁽¹⁾ One third of the stock options granted vest upon issuance, one third vest on the first anniversary of the grant date and the remaining third vest on the second anniversary of the grant date.

There were no stock options granted in the three-month period ending March 31, 2023.

During the three-month ended March 31, 2023, the volume weighted average trading price of the Company's common shares on the TSXV was \$0.21.

e) Per share amounts

Basic income per share has been calculated using the weighted average number of common shares outstanding during the period of 39,970,100 (2022 – 27,936,544). The diluted weighted average common shares outstanding in the period are 40,073,433 (2022 – 27,936,544). In 2022, the effect of all warrants was excluded from the calculation as they were anti-dilutive. No warrants were outstanding at the end of March 31, 2023.

9. OIL AND GAS SALES, NET OF ROYALTIES

The following table summarizes the composition of Tenth Avenue's oil and gas sales revenue by product type:

	Three months ended
	March 31, 2023		March 31, 2022
Oil and gas sales
Crude oil	\$ 910,380	\$	676,238
Natural gas liquids	10,435		29,598
Natural gas	97,751		22,780
Total	1,018,566		728,616

{12}------------------------------------------------

10. SUPPLEMENTAL CASH FLOW INFORMATION

	March 31, 2023	March 31, 2022
Accounts receivable	\$ 49,465	\$ (373,931)
Prepaid expenses and deposits	(37,801)	-
Accounts payable and accrued liabilities	(144,063)	59,134
Change in non-cash working capital	\$ (132,399)	\$ (314,797)
Net change related to operating activities	227,354	(314,797)
Net change related to investing activities	(359,753)	-
Total	(132,399)	(314,797)
Non-cash transactions:
Shares issued for acquisitions	\$ -	\$ 825,000
Decommissioning obligations acquired on	\$ -	\$ 917,620
acquisitions
Revisions to decommissioning obligations	\$ -	\$ 71,131
Value transferred on exercise of stock options	\$ -	\$ -

11. CAPITAL MANAGEMENT

Tenth Avenue's capital management objectives are to maintain a flexible capital structure in order to respond to changes in economic conditions, execute on strategic opportunities throughout the business cycle, meet its financial obligations, and fund current and future settlements of decommissioning obligations. The Company seeks to create long-term shareholder value by prioritizing profitability over production growth, as well as investing in projects that are expected to strengthen its overall asset portfolio and suite of internally generated prospects. As at March 31, 2023, the Company's capital structure is comprised of working capital and shareholders' equity. The significant components of the Company's capital structure are summarized below:

	March 31, 2023	December 31, 2022
Adjusted working capital surplus (1)(2)	445,589	447,949
Long-term debt	-	-
Net Surplus	445,589	447,949
Total shareholders' equity	2,722,963	2,887,286

^1. "Adjusted working capital" is calculated as current assets less current liabilities. As at March 31, 2023 and December 31, 2022, Adjusted Working Capital includes cash and cash equivalents, accounts receivable, prepaid expenses and deposits, and accounts payable and accrued liabilities.

The capital-intensive nature of Tenth Avenue's operations may create a working capital deficiency during periods with high levels of capital investment. During the first quarter of 2023, Tenth Avenue's exploration and development capital expenditures were \$138,853 compared to \$3,558 in the first quarter of 2022.

As at March 31, 2023, Tenth Avenue had Net Working Capital Surplus of \$445,58, staying consistent with its working capital surplus net of debt of \$447,949 as at December 31, 2022. The Company's existing capital resources are sufficient to satisfy its financial obligations for the next twelve months and Tenth Avenue is well positioned to execute on its short- and longer-term growth strategy.

The Company's exploration and development capital expenditure budget for 2023 will be funded by cash provided by operating activities and may be supplemented by short term advances of bank debt during periods of high capital

^2. Adjusted working capital and Net Debt are not standardized measures and therefore may not be comparable with the calculation of similar measures by other entities. Tenth Avenue uses adjusted working capital and Net Debt as capital management measures of the Company's financial position and liquidity.

{13}------------------------------------------------

investment. To maintain or adjust its capital structure in the future, the Company may issue new common shares or other equity securities, issue debt, adjust capital expenditures and acquire or dispose of assets.

As at March 31, 2023, the Company is not subject to any externally imposed capital requirements.

12. RELATED PARTY DISCLOSURES

During the three months ending March 31, 2023 the Company has incurred consulting fees of \$30,000 (2022 - \$35,000) to officers of the Company. As at March 31, 2023, there was \$nil (2021 - \$11,671) outstanding which was included in accounts payable and accrued liabilities. During the same period, the Company also incurred \$137,641 (2021 - \$Nil) in legal fees and no (2021 - \$Nil) in share capital costs to a firm where a Company director is a partner.

13. SUBSEQUENT EVENTS

On May 15, 2023 the Company approved its annual stock option grant of up to 1,044,000 common shares which were granted to certain directors, officers, and consultants of the Company. Each of the stock options is exercisable for a 3-year term expiring on May 14, 2026, at a price of \$0.20 per common share. The options are subject to vesting provision, with one-third vesting on the date of grant, one-third vesting on the first anniversary and the remaining one-third on the second anniversary.