UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
| FORM 10-Q |
☒ | QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
For the quarterly period ended November 30, 2020 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to CORVUS GOLD INC. (Exact Name of Registrant as Specified in its Charter) British Columbia, Canada 98-0668473 (State or other jurisdiction of incorporation or organization) (I.R.S. Employer Identification No.) 1750-700 West Pender Street (Address of Principal Executive Offices) V6C 1G8 (Zip code) Registrant’s telephone number, including area code: (604) 638-3246 Securities registered pursuant to Section 12(b) of the Act: Titleofeachclass: Trading Symbol Nameofeachexchangeonwhichregistered: Common Shares, no par value KOR Nasdaq Capital Market Securities registered pursuant to Section 12(g) of the Act: None Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes ☒ No ☐ Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files). Yes ☒ No ☐ Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and “emerging growth company” in Rule 12b-2 of the Exchange Act. Large accelerated filer ☐ Accelerated filer ☐ Non-accelerated filer ☒ Small reporting company ☒ Emerging growth company ☐ If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐ Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act) As of Table of Contents Page MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS CORVUS GOLD INC. CONDENSED INTERIM CONSOLIDATED BALANCE SHEETS (Expressed in Canadian dollars) August 31, 2020 May 31, 2020 November 30, 2020 May 31, 2020 (Unaudited) (Unaudited) ASSETS Current assets Cash and cash equivalents Accounts receivable Prepaid expenses Total current assets Property and equipment Right-of-use assets Capitalized acquisition costs (note 3) Total assets LIABILITIES AND SHAREHOLDERS’ EQUITY LIABILITIES AND SHAREHOLDERS’ EQUITY Current liabilities Accounts payable and accrued liabilities (note 5) Lease liabilities Total current liabilities Asset retirement obligations (note 3) Lease liabilities Total liabilities Shareholders’ equity Shareholders’ equity Share capital (note 4) Contributed surplus (note 4) Accumulated other comprehensive income - cumulative translation differences Deficit accumulated during the exploration stage Total shareholders’ equity Total shareholders’ equity Total liabilities and shareholders’ equity Total liabilities and shareholders’ equity Nature and continuance of operations (note 1) Approved on behalf of the Directors: “Jeffrey Pontius” Director “Anton Drescher” Director These accompanying notes form an integral part of these condensed interim consolidated financial statements CORVUS GOLD INC. CONDENSED INTERIM CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE LOSS (Unaudited) (Expressed in Canadian dollars) 2020 2019 Three months ended November 30, Six months ended November 30, 2020 2019 2020 2019 Operating expenses Operating Expenses Administration Consulting fees (notes 4 and 5) Depreciation Exploration expenditures (notes 3 and 4) Insurance Investor relations (notes 4 and 5) Office and miscellaneous Professional fees (note 4) Regulatory Rent Travel Wages and benefits (notes 4 and 5) Total operating expenses Other income (expense) Interest income and expense Foreign exchange loss Interest income Foreign exchange gain (loss) Total other expenses Total other income (expense) Net loss for the period Other comprehensive loss Exchange difference on translating foreign operations Comprehensive loss for the period Basic and diluted net loss per share Basic and diluted loss per share Weighted average number of shares outstanding These accompanying notes form an integral part of these condensed interim consolidated financial statements CORVUS GOLD INC. CONDENSED INTERIM CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) (Expressed in Canadian dollars) 2020 2019 2020 2019 Operating activities Net loss for the period Add items not affecting cash: Depreciation Stock-based compensation (note 4) Foreign exchange loss Changes in non-cash items: Accounts receivable Prepaid expenses Accounts payable and accrued liabilities Cash used in operating activities Financing activities Cash received from issuance of shares Share issuance costs Lease liabilities payments Cash provided by financing activities Investing activities Capitalized acquisition costs Cash used in investing activities Effect of foreign exchange on cash Increase (decrease) in cash and cash equivalents Cash and cash equivalents, beginning of the period Cash and cash equivalents, end of the period Supplemental cash flow information (note 8) These accompanying notes form an integral part of these condensed interim consolidated financial statements CORVUS GOLD INC. CONDENSED INTERIM CONSOLIDATED STATEMENT OF CHANGES IN EQUITY (Unaudited) (Expressed in Canadian dollars) Number of Amount Contributed Accumulated Deficit Total Number of shares Amount Contributed Surplus Accumulated Other Comprehensive Income – Cumulative Translation Differences Deficit Total Balance, May 31, 2019 Net loss for the period Shares issued for cash Other comprehensive income Exchange difference on translating foreign operations Share issuance costs Stock-based compensation Balance, August 31, 2019 Net loss for the period Shares issued for cash Share issued for capitalized acquisition costs Other comprehensive income Exchange difference on translating foreign operations Share issuance costs Stock-based compensation Balance, May 31, 2020 Balance, November 30, 2019 Net loss for the period Other comprehensive income Exchange difference on translating foreign operations Share issuance costs Stock-based compensation Balance, August 31, 2020 Balance, May 31, 2020 Net loss for the period Shares issued for cash Exercise of stock options Share issued for capitalized acquisition costs Other comprehensive income Exchange difference on translating foreign operations Reclassification of contributed surplus on exercise of stock options Stock-based compensation Balance, November 30, 2020 These accompanying notes form an integral part of these condensed interim consolidated financial statements 1. NATURE AND CONTINUANCE OF OPERATIONS On August 25, 2010, International Tower Hill Mines Ltd. (“ITH”) completed a Plan of Arrangement (the “Arrangement”) whereby its existing Alaska mineral properties (other than the Livengood project) and related assets and the North Bullfrog mineral property and related assets in Nevada (collectively, the “Nevada and Other Alaska Business”) were indirectly spun out into a new public company, being Corvus Gold Inc. (“Corvus” or the “Company”). As part of the Arrangement, ITH transferred its wholly-owned subsidiary Corvus Gold Nevada Inc. (“Corvus Nevada”) (which held the North Bullfrog property), to Corvus and a wholly-owned Alaskan subsidiary of ITH, Talon Gold Alaska, Inc. sold to Raven Gold Alaska Inc. (“Raven Gold”), the Terra, Chisna, LMS and West Pogo properties. As a consequence of the completion of the Arrangement, the Terra, Chisna, LMS, West Pogo and North Bullfrog properties were transferred to Corvus. The Company was incorporated on April 13, 2010 under the Business Corporations Act (British Columbia). These condensed interim consolidated financial statements reflect the cumulative operating results of the predecessor, as related to the mineral properties that were transferred to the Company from June 1, 2006. The Company is engaged in the business of acquiring, exploring and evaluating mineral properties, and either joint venturing or developing these properties further or disposing of them when the evaluation is completed. At The business of mining and exploration involves a high degree of risk and there can be no assurance that current exploration programs will result in profitable mining operations. The Company has no source of revenue, and has significant cash requirements to meet its administrative overhead and maintain its mineral property interests. The recoverability of amounts shown for mineral properties is dependent on several factors. These include the discovery of economically recoverable reserves, the ability of the Company to obtain the necessary financing to complete the development of these properties, and future profitable production or proceeds from disposition of mineral properties. The carrying value of the Company’s mineral properties does not reflect current or future values. These condensed interim consolidated financial statements have been prepared on a going concern basis, which presume the realization of assets and discharge of liabilities in the normal course of business for the foreseeable future. The Company’s ability to continue as a going concern is dependent upon achieving profitable operations and/or obtaining additional financing. In assessing whether the going concern assumption is appropriate, management takes into account all available information about the future within one year from the date the condensed interim consolidated financial statements are issued. There is substantial doubt upon the Company’s ability to continue as going concern, as explained in the following paragraphs. The Company has sustained significant losses from operations, has negative cash flows, and has an ongoing requirement for capital investment to explore its mineral properties. As at The Company expects that it will need to raise substantial additional capital to accomplish its business plan over the next several years. There is no assurance that additional capital or other types of financing will be available if needed or that these financings will be on terms at least as favourable to the Company as those previously obtained, or at all. As well, there can be no assurance that the Company will not be impacted by adverse consequences that impact the global financial markets as a whole, including any adverse consequences that may be brought about by pandemics, or increased severity of existing pandemics, which may reduce resources, share prices and financial liquidity and which may severely limit the financing capital available in the mineral exploration sector. Should such financing not be available in that time-frame, the Company will be required to reduce its activities and will not be able to carry out all of its presently planned exploration and development activities on its currently anticipated scheduling. These condensed interim consolidated financial statements do not include any adjustments to the amounts and classification of assets and liabilities that might be necessary should the Company be unable to continue in business. All currency amounts are stated in Canadian dollars unless noted otherwise. 2. SIGNIFICANT ACCOUNTING POLICIES These condensed interim consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States (“U.S. GAAP”) for interim financial information and with the instructions to Form 10-Q and Article 8-03 of Regulation S-X under the Securities Exchange Act of 1934, as amended. Accordingly, they do not include all of the information and footnotes required by U.S. GAAP for annual financial statements. These condensed interim consolidated financial statements should be read in conjunction with the audited consolidated financial statements for the year ended May 31, 2020 as filed in our Annual Report on Form 10-K. In the opinion of the Company’s management these condensed interim consolidated financial statements reflect all adjustments, consisting of normal recurring adjustments, necessary to present fairly the Company’s financial position at The preparation of these condensed interim consolidated financial statements in conformity with U.S. GAAP requires management to make judgments, estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of these condensed interim consolidated financial statements, and the reported amounts of revenues and expenses during the period. These judgments, estimates and assumptions are continuously evaluated and are based on management’s experience and knowledge of the relevant facts and circumstances. While management believes the estimates to be reasonable, actual results could differ from those estimates and could impact future results of operations and cash flows. Basis of consolidation These condensed interim consolidated financial statements include the accounts of the Company and its wholly-owned subsidiaries (collectively, the “Group”), Corvus Gold (USA) Inc. (“Corvus USA”) (a Nevada corporation), Corvus Nevada (a Nevada corporation), Raven Gold (an Alaska corporation), SoN Land and Water LLC (“SoN”) (a Nevada limited liability company) and Mother Lode Mining Company LLC (a Nevada limited liability company). All intercompany transactions and balances were eliminated upon consolidation. Loss per share Basic loss per share is calculated using the weighted average number of common shares outstanding during the period. The Company uses the treasury stock method to compute the dilutive effect of options, warrants and similar instruments. Under this method, the dilutive effect on earnings (loss) per share is calculated presuming the exercise of outstanding options, warrants and similar instruments. It assumes that the proceeds of such exercise would be used to repurchase common shares at the average market price during the period. However, the calculation of diluted loss per share excludes the effects of various conversions and exercise of options and warrants that would be anti-dilutive. For the period ended 3. MINERAL PROPERTIES The Company had the following activity related to capitalized acquisition costs: North Mother Total (note 3(a)) (note 3(b)) Balance, May 31, 2020 Currency translation adjustments Balance, August 31, 2020 North Bullfrog Mother Lode Total (note 3(a)) (note 3(b)) Balance, May 31, 2020 Cash payments (note 3(a)(ii)(1)) Shares issued (note 3(a)(ii)(1)) Currency translation adjustments Balance, November 30, 2020 North Mother Total (note 3(a)) (note 3(b)) Exploration costs: Assay Drilling Equipment rental Field costs Geological/ Geophysical Land maintenance & tenure Permits Studies Travel Cost recovery Total expenditures (recovery) for the period The following table presents costs incurred for exploration and evaluation activities for the North Bullfrog Mother Lode Total (note 3(a)) (note 3(b)) Exploration costs: Assay Drilling Equipment rental Field costs Geological/ Geophysical Land maintenance & tenure Permits Studies Travel Cost recovery Total expenditures (recovery) for the period The following table presents costs incurred for exploration and evaluation activities for the six months ended November 30, 2019: North Mother Alaskan royalty Total North Bullfrog Mother Lode Alaskan royalty interest Total (note 3(a)) (note 3(b)) (note 3(c)) (note 3(a)) (note 3(b)) (note 3(c)) Exploration costs: Assay Asset retirement obligations Drilling Equipment rental Field costs Geological/ Geophysical Land maintenance & tenure Permits Studies Travel Cost recovery Total expenditures (recovery) for the period (a) North Bullfrog Project, Nevada The Company’s North Bullfrog project consists of certain leased patented lode mining claims and federal unpatented mining claims owned 100% by the Company. (i) Interests acquired from Redstar Gold Corp. On October 9, 2009, a US subsidiary of ITH at the time (Corvus Nevada) completed the acquisition of all of the interests of Redstar Gold Corp. (“Redstar”) and Redstar Gold U.S.A. Inc. (“Redstar US”) in the North Bullfrog project, which consisted of 6 leases covering 33 patented mining claims. The leases have an initial term of ten years, and for so long thereafter as mining activities continue on the claims or contiguous claims held by the The Company is required to pay annual advance minimum royalty payments (recoupable from production royalties) for as long as there are mining activities continuing on the claims or contiguous claims held by the Company. The required annual advance minimum royalty payments are: ● 39,800 USD ● 17,700 USD (adjusted annually for inflation) The lessor is entitled to receive a separate NSR royalty related to all production from the leased property of the various individual leases which may be purchased by the Company as follows: ● a 4% NSR royalty, which may be purchased by the Company for USD 1,250,000 per 1% (USD 5,000,000 for the entire royalty). ● a 2% NSR royalty on all production, which may be purchased by the Company for USD 1,000,000 per 1% (USD 2,000,000 for the entire royalty). ● a 3% NSR royalty on all production, which may be purchased by the Company for USD 850,000 per 1% (USD 2,550,000 for the entire royalty). ● a 3% NSR royalty on all production which may be purchased by the Company for USD 770,000 per 1% (USD 2,310,000 for the entire royalty). ● a 4% NSR royalty on all production, which may be purchased by the Company for USD 1,000,000 per 1% (USD 4,000,000 for the entire royalty). ● a 2% NSR royalty on all production, which may be purchased by the Company for USD 1,000,000 per 1% (USD 2,000,000 for the entire royalty). ● a 2% NSR royalty on all production, which may be purchased by the Company for USD 1,000,000 per 1% (USD 2,000,000 for the entire royalty). The various NSR royalties above relate only to the property covered by each specific lease and are not cumulative. The Company has an option to purchase a property related to 12 patented mining claims for USD 1,000,000 at any time during the life of the lease (subject to the net smelter return (“NSR”) royalty of 4% which may be purchased by the Company for USD 1,250,000 per 1% (USD 5,000,000 for the entire royalty). (ii) Interests acquired directly by Corvus Nevada (1) Pursuant to a mining lease and option to purchase agreement made effective December 1, 2007 between Corvus Nevada and a group of arm’s length limited partnerships, Corvus Nevada has leased (and has the option to purchase) patented mining claims referred to as the “Mayflower” claims which form part of the North Bullfrog project. The terms of the lease/option are as follows: ● Terms: Initial term of five years, commencing December 1, 2007, with the option to extend the lease for an additional five years. Pursuant to an extension agreement dated January 15, 2016 and fully executed and effective as of November 22, 2017, the parties agreed to extend the lease and option granted for an additional ten years with the same lease payment terms. ● Lease Payments: Corvus Nevada will pay USD 10,000 and deliver 50,000 common shares of ITH annually. ● Anti-Dilution: Pursuant to an amended agreement agreed to by the lessors in March 2015, ● Work Commitments: USD 100,000 per year for the first three years (incurred), USD 200,000 per year for the years four to six (incurred), USD 300,000 for the years seven to ten (incurred) and USD 300,000 for the years 11 – 20 (incurred). Excess expenditures in any year may be carried forward. If Corvus Nevada does not incur the required expenditures in year one, the deficiency is required to be paid to the lessors. ● Retained Royalty: Corvus Nevada will pay the lessors a NSR royalty of 2% if the average gold price is USD 400 per ounce or less, 3% if the average gold price is between USD 401 and USD 500 per ounce and 4% if the average gold price is greater than USD 500 per ounce. (2) Pursuant to a mining lease and option to purchase made effective March 1, 2011 between Corvus Nevada and an arm’s length individual, Corvus Nevada has leased, and has the option to purchase, 2 patented mineral claims which form part of the North Bullfrog project holdings. The lease is for an initial term of ten years, subject to extension for an additional ten years (provided advance minimum royalties are timely paid), and for so long thereafter as mining activities continue on the claims. The lessee is required to pay advance minimum royalty payments (recoupable from production royalties, but not applicable to the purchase price if the option to purchase is exercised) of USD 30,000 (paid to March 1, 2020), adjusted for inflation. The lessor is entitled to receive a 2% NSR royalty on all production. The lessee may purchase the NSR royalty for USD 1,000,000 per 1%. If the lessee purchases the entire NSR royalty (USD 2,000,000) the lessee will also acquire all interest of the lessor in the subject property. (3) Pursuant to a purchase agreement made effective March 28, 2013, Corvus Nevada agreed to purchase the surface rights of 5 patented mining claims owned by two arm’s length individuals for USD 160,000 paid on closing ( March 28, 2013). The terms include payment by Corvus Nevada of a fee of USD 0.02 per ton of overburden to be stored on the property, subject to payment for a minimum of 12 million short tons. The minimum tonnage fee (USD 240,000) bears interest at 4.77% per annum from closing and is evidenced by a promissory note due on the sooner of the commencing of use of the property for waste materials storage or December 31, 2015 (balance paid December 17, 2015). As a result, the Company recorded $406,240 (USD 400,000) in acquisition costs with $157,408 paid in cash and the remaining $248,832 (USD 240,000) in promissory note payable during the year ended May 31, 2013. (4) In December 2013, SoN completed the purchase of a parcel of land approximately 30 kilometres north of the North Bullfrog project which carries with it 1,600 acre feet of irrigation water rights. The cost of the land and associated water rights was cash payment of $1,100,118 (USD 1,034,626). (5) On March 30, 2015, Lunar Landing, LLC signed a lease agreement with Corvus Nevada to lease private property containing the 3 patented Sunflower claims to Corvus Nevada, which are adjacent to the Yellow Rose claims leased in 2014. The term of the lease is three years with provision to extend the lease for an additional seven years, and an advance minimum royalty payment of USD 5,000 per year with USD 5,000 paid upon signing (paid to March 2020). The lease includes a 4% NSR royalty on production, with an option to purchase the royalty for USD 500,000 per 1% or USD 2,000,000 for the entire 4% royalty. The lease also includes the option to purchase the property for USD 300,000. (b) Mother Lode Property, Nevada Pursuant to a purchase agreement made effective June 9, 2017 between Corvus Nevada and Goldcorp USA, Inc. (“Goldcorp USA”), Corvus Nevada has acquired 100% of the Mother Lode property (the “Mother Lode Property”). In addition, Corvus Nevada staked two additional adjacent claim blocks to the Mother Lode Property. In connection with the acquisition, the Company issued 1,000,000 common shares at a price of $0.81 per common share to Goldcorp USA. The Mother Lode Property is subject to an NSR in favour of Goldcorp USA. The NSR pays 1% from production at the Mother Lode Property when the price of gold is less than USD 1,400 per ounce and an additional 1% NSR for a total of 2% NSR when gold price is greater than or equal to USD 1,400 per ounce. (c) Alaskan Royalty Interest, Alaska On June 7, 2019, the Company completed the sale of the royalties where four non-core Alaskan royalty interests owned by Corvus were sold to EMX Royalty Corporation (“EMX”) for a purchase price of $350,000. In connection with the Alaskan royalty package sale, the Company incurred $31,463 in legal fees, resulting in a total cost recovery for the Alaska Royalty Interest of $318,537. The general terms of the Alaskan royalty package sale include: ● Chisna project 1% NSR ● LMS project 3% NSR ● Goodpaster District 1% NSR ● West Pogo project 2% NSR. The Company has retained a 1% NSR in the West Pogo project which is immediately west of the operating Pogo mine in the Goodpaster District of Alaska. Acquisitions The acquisition of title to mineral properties is a detailed and time-consuming process. The Company has taken steps, in accordance with industry norms, to verify title to mineral properties in which it has an interest. Although the Company has taken every reasonable precaution to ensure that legal title to its properties is properly recorded in the name of the Company (or, in the case of an option, in the name of the relevant optionor), there can be no assurance that such title will ultimately be secured. Environmental Expenditures The operations of the Company may in the future be affected from time to time in varying degrees by changes in environmental regulations, including those for future removal and site restoration costs. Both the likelihood of new regulations and their overall effect upon the Company vary greatly and are not predictable. The Company’s policy is to meet or, if possible, surpass standards set by relevant legislation by application of technically proven and economically feasible measures. Environmental expenditures that relate to ongoing environmental and reclamation programs are charged against earnings as incurred or capitalized and amortized depending on their future economic benefits. Estimated future removal and site restoration costs, when the ultimate liability is reasonably determinable, are charged against earnings over the estimated remaining life of the related business operation, net of expected recoveries. The Company has estimated the fair value of the liability for asset retirement that arose as a result of exploration activities to be 4. SHARE CAPITAL Authorized Unlimited common shares without par value. Share issuances a) An aggregate of 2,520,000 common shares were issued on exercise of 2,520,000 stock options for gross proceeds of $1,910,950. b) On October 29, 2020, the Company issued 25,000 common shares in connection with the lease on the Mayflower property (note 3(a)(ii)(1)), with a fair value of $75,750. Stock options Stock options awarded to employees and non-employees by the Company are measured and recognized in the Condensed Interim Consolidated Statement of Operations and Comprehensive Loss over the vesting period. The Company has adopted an incentive stock option plan, first adopted in 2010 and then most recently amended in 2019 (the “Amended 2010 Plan”). The essential elements of the Amended 2010 Plan provide that the aggregate number of common shares of the Company’s share capital that may be made issuable pursuant to options granted under the Amended 2010 Plan (together with any other shares which may be issued under other share compensation plans of the Company) may not exceed 10% of the number of issued shares of the Company at the time of the granting of the options. Options granted under the Amended 2010 Plan will have a maximum term of ten years. The exercise price of options granted under the Amended 2010 Plan will not be less than the greater of the market price of the common shares (as defined by TSX, currently defined as the five day volume weighted average price for the five trading days immediately preceding the date of grant) or the closing market price of the Company’s common shares for the trading day immediately preceding the date of grant), or such other price as may be agreed to by the Company and accepted by the TSX. Options granted under the Amended 2010 Plan vest immediately, unless otherwise determined by the directors at the date of grant. A summary of the status of the stock option plan as of Three months ended August 31, 2020 Year ended May 31, 2020 Six months ended November 30, 2020 Year ended May 31, 2020 Number of Weighted Number of Weighted Number of Options Weighted Average Exercise Price Number of Options Weighted Average Exercise Price Balance, beginning of the period Granted Exercised Balance, end of the period The weighted average remaining contractual life of options outstanding at Stock options outstanding are as follows: August 31, 2020 May 31, 2020 November 30, 2020 May 31, 2020 Expiry Date Exercise Number of Exercisable End Exercise Number of Exercisable Exercise Number of Exercisable End Exercise Number of Exercisable September 8, 2019* September 9, 2020* November 13, 2020 November 13, 2020* (Note 9) September 15, 2021 July 31, 2022 October 11, 2022 November 19, 2023 April 9, 2024 June 13, 2024 February 3, 2025 *The Company’s share trading policy (the “Policy”) requires that all restricted persons and others who are subject to the Policy refrain from conducting any transactions involving the purchase or sale of the Company’s securities, during the period in any quarter commencing 30 days prior to the scheduled issuance of the next quarter or year-end public disclosure of the financial results as well as when there is material data on hand. In accordance with the terms of the Amended 2010 Plan, if stock options are set to expire during a restricted period and are not exercised prior to any such restriction, they will not expire but instead will be available for exercise for ten days after such restrictions are lifted. These stock options were exercised during the period ended November 30, 2020 after the restrictions were lifted. The Company uses the fair value method for determining stock-based compensation for all options granted during the periods. The fair value of options granted was $nil (2019 - For the period ended August 31, 2020 2019 For the period ended November 30, 2020 2019 Risk-free interest rate Expected life of options (in years) 5 Expected life of options (years) 4.96 Annualized volatility Dividend yield Exercise price Fair value per share Annualized volatility was determined by reference to historic volatility of the Company. Stock-based compensation has been allocated to the same expenses as cash compensation paid to the same employees or consultants, as follows: For the three months ended August 31, 2020 2019 For the six months ended November 30, 2020 2019 Consulting fees Exploration expenditures – Geological/geophysical Investor relations Professional fees Wages and benefits 5. RELATED PARTY TRANSACTIONS The Company entered into the following transactions with related parties: For the three months ended August 31, 2020 2019 For the six months ended November 30, 2020 2019 Consulting fees to CFO Wages and benefits to CEO and COO Geological consulting fees to a company owned by a director in common Directors fees (included in consulting fees) Stock-based compensation to related parties As at These amounts were unsecured, non-interest bearing and had no fixed terms or terms of repayment. Accordingly, fair value could not be readily determined. The Company has also entered into change of control agreements with officers of the Company. In the case of termination, the officers are entitled to an amount equal to a multiple (ranging from two times to three times) of the sum of the annual base salary or fees then payable to the officer, the aggregate amount of bonus(es) (if any) paid to the officer within the calendar year immediately preceding the Effective Date of Termination, and an amount equal to the vacation pay which would otherwise be payable for the one year period next following the Effective Date of Termination. 6. GEOGRAPHIC SEGMENTED INFORMATION The Company operates in 1 industry segment, the mineral resources industry, and in 2 geographical segments, Canada and the United States. All current exploration activities are conducted in the United States and Canada. The significant asset categories identifiable with these geographical areas are as follows: Canada United States Total Canada United States Total August 31, 2020 November 30, 2020 Capitalized acquisition costs Property and equipment Right-of-use assets May 31, 2020 May 31, 2020 Capitalized acquisition costs Property and equipment Right-of-use assets For the three months ended August 31, 2020 2019 Net loss for the period – Canada Net loss for the period – United States Net loss for the period For the six months ended November 30, 2020 2019 Net loss for the period – Canada Net loss for the period – United States Net loss for the period 7. SUBSIDIARIES Significant subsidiaries for the periods ended Country of Principal Activity The Company’s 2020 The Company’s 2019 Country of Incorporation Principal Activity The Company’s effective interest for 2020 The Company’s effective interest for 2019 Corvus Gold (USA) Inc. USA Holding company USA Holding company Raven Gold Alaska Inc. USA Exploration company USA Exploration company Corvus Gold Nevada Inc. USA Exploration company USA Exploration company SoN Land & Water LLC USA Exploration company USA Exploration company Mother Lode Mining Company LLC USA Exploration company USA Exploration company 8. SUPPLEMENTAL CASH FLOW INFORMATION For the three months ended August 31, 2020 2019 For the six months ended November 30, 2020 2019 Supplemental cash flow information Interest paid Income taxes paid (received) Non-cash financing and investing transactions Shares issued to acquire mineral properties Reclassification of contributed surplus on exercise of stock options 9. SUBSEQUENT EVENT On December 1, 2020, 100,000 common shares were issued on exercise of 100,000 stock options for gross proceeds of $49,000. ITEM 2. The following discussion and analysis should be read in conjunction with our condensed interim consolidated financial statements for the three and six months ended CAUTIONARY NOTE TO U.S. INVESTORS REGARDING ESTIMATES OF MEASURED,INDICATED AND INFERRED RESOURCES AND PROVEN AND PROBABLE RESERVES Corvus Gold Inc. (“we”, “us”, “our,” “Corvus” or the “Company”) is a mineral exploration company engaged in the acquisition and exploration of mineral properties. The mineral estimates in the two technical These definitions differ materially from the definitions in the United States Securities and Exchange Commission (“SEC”) Industry Guide 7 (“SEC Industry Guide 7”). Under SEC Industry Guide 7 standards, a “final” or “bankable” feasibility study is required to report reserves, the three-year historical average price is used in any reserve or cash flow analysis to designate reserves, and the primary environmental analysis or report must be filed with the appropriate governmental authority. In addition, the terms “Mineral Resource”, “Measured Mineral Resource”, “Indicated Mineral Resource” and “Inferred Mineral Resource” are defined in and required to be disclosed by NI 43-101; however, these terms are not defined terms under SEC Industry Guide 7 and are normally not permitted to be used in reports and registration statements filed with the SEC. Investors are cautioned not to assume that all or any part of a mineral deposit in these categories will ever be converted into reserves. Accordingly, information contained in this report and the Technical The SEC has adopted amendments to its disclosure rules to modernize the mineral property disclosure requirements for issuers whose securities are registered with the SEC. These amendments became effective February 25, 2019 (the “SEC Modernization Rules”) and, following a two-year transition period, the SEC Modernization Rules will replace the historical property disclosure requirements for mining registrants that are included in SEC Industry Guide 7. The Company is not required to provide disclosure on its mineral properties under the SEC Modernization Rules until its fiscal year beginning May 31, 2021. Under the SEC Modernization Rules, the definitions of “Proven Mineral Reserves” and “Probable Mineral Reserves” have been amended to be substantially similar to the corresponding CIM Definition Standards and the SEC has added definitions to recognize “Measured Mineral Resources”, “Indicated Mineral Resources” and “Inferred Mineral Resources” which are also substantially similar to the corresponding CIM Definition Standards; however there are differences in the definitions under the SEC Modernization Rules and the CIM Definition Standards and therefore once the Company begins reporting under the SEC Modernization Rules there is no assurance that the Company’s Mineral Reserve and Mineral Resource estimates will be the same as those reported under CIM Definition Standards as contained in this report. CAUTIONARY NOTE TO ALL INVESTORS CONCERNING ECONOMIC ASSESSMENTS THAT INCLUDE INFERRED RESOURCES The Company currently holds or has the right to acquire interests in NOTE REGARDING FORWARD-LOOKING STATEMENTS This Quarterly Report on Form 10-Q and the exhibits attached hereto contain “forward-looking statements” within the meaning of the United States Private Securities Litigation Reform Act of 1995, as amended, and “forward-looking information” within the meaning of applicable Canadian securities legislation, collectively “forward-looking statements”. Such forward-looking statements concern our anticipated results and developments in the operations of the Company in future periods, planned exploration activities, the adequacy of the Company’s financial resources and other events or conditions that may occur in the future. Forward-looking statements are frequently, but not always, identified by words such as “expects,” “anticipates,” “believes,” “intends,” “estimates,” “potential,” “possible” and similar expressions, or statements that events, conditions or results “will,” “may,” “could” or “should” (or the negative and grammatical variations of any of these terms) occur or be achieved. These forward-looking statements may include, but are not limited to, statements concerning: ● the Company’s strategies and objectives, both generally and in respect of its specific mineral properties; ● the results of the preliminary economic ● the timing of decisions regarding the timing and costs of exploration programs with respect to, and the issuance of the necessary permits and authorizations required for, the Company’s exploration programs, including for the NBP and the MLP; ● the Company’s estimates of the quality and quantity of the Mineral Resources at its mineral properties; ● the timing and cost of planned exploration programs of the Company, and the timing of the receipt of results therefrom; ● the Company’s future cash requirements and use of proceeds of sales; ● general business and economic conditions; ● the Company’s ability to meet its financial obligations as they come due, and the ability to raise the necessary funds to continue operations; ● the Company’s expectation that it will be able to add additional mineral projects of merit to its assets; ● the potential for the existence or location of additional high-grade veins at the NBP, or high-grade mineralization at the MLP; ● the potential to expand Company’s existing deposits and discover new deposits; ● the potential for any delineation of higher grade mineralization at the NBP or MLP; ● the potential for there to be one or more additional vein zones; ● the potential discovery and delineation of mineral deposits/resources/reserves and any expansion thereof beyond the current estimate; ● the potential for the NBP or the MLP mineralization systems to continue to grow and/or to develop into a major new higher-grade, bulk tonnage, Nevada gold discovery; ● the Company’s expectation that it will be able to build itself into a non-operator gold producer with significant carried interests and royalty exposure; ● that the Company will operate at a loss; ● that the Company will need to scale back anticipated costs and activities or raise additional funds; ● that the Company will have to raise substantial additional capital to accomplish its business plan over the next couple of years; ● the estimated reclamation and asset retirement costs; ● the plans related to the potential development of the MLP and the NBP; and ● the NBP and MLP work plans and mine development Such forward-looking statements reflect the Company’s current views with respect to future events and are subject to certain known and unknown risks, uncertainties and assumptions. Many factors could cause actual results, performance or achievements to be materially different from any future results, performance or achievements that may be expressed or implied by such forward-looking statements, including, among others, risks related to: ● risks related to the evolving novel coronavirus (“COVID-19”) pandemic and health crisis and the governmental and regulatory actions taken in response thereto; ● our requirement of significant additional capital; ● our limited operating history; ● our history of losses; ● cost increases for our exploration and, if warranted, development projects; ● our properties being in the exploration stage; ● mineral exploration and production activities; ● our lack of mineral production from our properties; ● estimates of Mineral Resources; ● changes in Mineral Resource estimates; ● differences in United States and Canadian Mineral Reserve and Mineral Resource reporting; ● our exploration activities being unsuccessful; ● fluctuations in gold, silver and other metal prices; ● our ability to obtain permits and licenses for production; ● government and environmental regulations that may increase our costs of doing business or restrict our operations; ● proposed legislation that may significantly affect the mining industry; ● land reclamation requirements; ● competition in the mining industry; ● equipment and supply shortages; ● tax issues; ● current and future joint ventures and partnerships; ● our ability to attract qualified management; ● the ability to enforce judgment against certain of our directors; ● currency fluctuations; ● claims on the title to our properties; ● surface access on our properties; ● potential future litigation; ● our lack of insurance covering all our operations; ● our status as a “passive foreign investment company” under US federal tax code; ● the common shares; and ● events such as war, terrorism, natural disaster or outbreaks of disease (including COVID-19). Should one or more of these risks or uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those described herein. This list is not exhaustive of the factors that may affect any of the Company’s forward-looking statements. Forward-looking statements are statements about the future and are inherently uncertain, and actual achievements of the Company or other future events or conditions may differ materially from those reflected in the forward-looking statements due to a variety of risks, uncertainties and other factors, including without limitation those discussed in Part I, Item 1A, Risk Factors, of our Annual Report on Form 10-K, as filed with the SEC on August 13, 2020, which are incorporated herein by reference, as well as other factors described elsewhere in this report and the Company’s other reports filed with the SEC. The Company’s forward-looking statements contained in this Quarterly Report on Form 10-Q are based on the beliefs, expectations and opinions of management as of the date of this report. The Company does not assume any obligation to update forward-looking statements if circumstances or management’s beliefs, expectations or opinions should change, except as required by law. For the reasons set forth above, investors should not attribute undue certainty to or place undue reliance on forward-looking statements. Current Business Activities General The Company’s material mineral properties are the NBP and the MLP, advanced exploration stage projects in Nevada which have a number of high-priority, bulk tonnage and high-grade vein targets (held through Corvus Nevada, a Nevada subsidiary). While exploring the NBP, the Company acquired the MLP in June 2017, which is located approximately 19 km to the south east of the NBP. The MLP was mined in the late 1980s and has substantial gold mineralization remaining unexploited extending to the north of the existing open pit mine. Exploration drilling and surface mapping have revealed that other exploration targets on the Corvus property in the Mother Lode area contain gold mineralization and are therefore being actively explored. The primary focus of the Company will be to leverage its exploration expertise to expand its existing deposits and discover major new gold deposits. Other than with respect to the ongoing exploration of the MLP and NBP, the Company’s strategy is to leverage its other non-core assets by maintaining a retained royalty. Highlights of activities during the period and to the date of this MD&A include: ● ● All drilling during the period was performed at Mother Lode and at the Lynnda Strip. A total of ● ● ● ● ● Corvus and representatives of the different permitting contractors met with the BLM Battle Mountain staff to plan the permit requirements and the work schedule to complete a full North Bullfrog mine permit was outlined in December. ● Water quality samples were collected for surface springs ● The water production volumes for Corvus wells at ● Water production well PW-2 at Mother Lode was re-completed lowering the pump to greater depth which required a stronger pipe string. The pump capacity was also increased. ● A revision of the Lynnda Strip Notice of Intent was submitted and approved during December which allows expanded drilling in the area. Nevada Properties NBP and MLP Our principal mineral properties are the NBP and the MLP, which form The following disclosure is derived, in part, and supported by the Technical The Figure 1. Property Map showing the Location of the NBP and the MLP with respect to the town of Beatty, NV. Studies at the NBP and MLP have been focused on the No drilling was performed at North Bullfrog during the reporting period. MLP Drilling Activities During the period, 28 RC drill holes were completed. Ten of the RC holes were drilled at Lynnda Strip (see Figure 1) and 13 were drilled at Mother Lode. Six of those RC holes were core-tail pre-collar holes for later core drilling. Nine holes were core-tail holes with five deepened at Mother Lode and four deepened at Lynnda Strip. Figure 2 shows the location of the hole collars drilled at Mother Lode, including the recent RC and Core-tail holes. The drilling continued to outline the Central Intrusive Zone (CIZ) proving the association of the gold mineralization with a broad zone that varies in width along strike, and remains open at depth. The zone is dominantly oxide in nature, to a depth of 600m. Preliminary cyanide leach data indicate high gold recovery averaging above 90% which indicates good potential for heap leach processing. The drilling also indicates the presence of higher-grade shoots within the zone at depth. Figure 2 – Locations of Drilling Figure 3 – Lynnda Strip The Lynnda Strip is a new discovery near Mother Lode (see Figure 1) that appears to be part of a large zone of gold mineralization controlled by a major north-south trending structural feature that has delivered encouraging results at Corvus Golds Lynnda Strip target and to the south as reported by Coeur Mining Inc. This new Lynnda Strip discovery is also the focus of additional drilling by AngloGold Ashanti Limited to the north. Oxidation is very deep at Lynnda Strip with depths of over 500m which is similar to the deep oxidation of the CIZ zone about 1.5 kilometres to the south at Mother Lode. Corvus drilling at Lynnda Strip, is shown on Figure 4 and has revealed high-grade vein systems associated with gray quartz stockwork systems that develop along moderately west dipping north-south structural zones and reactively flat contact related zones. These Figure 4 – Locations of Corvus RC and Core-tail holes at the Lynnda Strip near Mother Lode North Bullfrog Project Development Corvus completed an updated PEA for the NBP based on a stand-alone basis, as detailed in the NBP Technical Report. The NBP PEA results indicated strong economic performance which is summarized in Table 1 and was based on resource model updates for Sierra Blanca and Mayflower that incorporated some new 2020 drill results. Mineral resources that are not mineral reserves have no demonstrated economic viability. The NBP PEA is preliminary in nature and includes Inferred Mineral Resources that have a great amount of uncertainty as to their existence, and are considered too speculative geologically to have economic considerations applied to them that would enable them to be categorized as Mineral Reserves. It cannot be assumed that all, or any part, of an Inferred Mineral Resource will ever be upgraded to a higher category. Refer to the NBP Technical Report for additional information. Table 1 2020 NBP Preliminary Economic Assessment at $1,500 per ounce Gold Price Parameter Summary Data Pre-Tax Cash Flow; IRR USD $763 M; 55% Post-Tax NPV5%; IRR USD $452 M; 47% Overall Strip Ratio 0.91 to 1 (overburden – process tonne) Cash Cost Years 1-7 (USD per Au ounce) $589 AISC1 Years 1-7 (USD/produced Au oz) $727 Year 1-7 Average Annual Gold Production 147,000 ounces Mine Life 14 years Total Gold Production 1,466,550 ounces Initial Capital Cost (USD) $167M Sustaining Capital Cost (USD) $132M Average Mill Au 85% Ag 63% Average Heap Leach Au 72% Ag 13% Average Total Mining Rate3 (t/day) 84,800 Average Mineralization Mining Rate* (t/day) 43,300 1 – AISC (all-in sustaining cost) is a non-GAAP metric and may be calculated differently by others 2 – mill recovery – gravity concentrate plus heap leach of gravity tail 3 –14-year rate including capitalized mining in year -1 The NBP PEA assumes conventional open pit mining and with a combination gravity mill and heap leach processing system. Higher grade vein and vein stockwork mineralization from the YellowJacket Zone at Sierra Blanca would be processed by a simple gravity mill with grinding to 48 mesh. Adequate liberation of the gold mineralization can be achieved at 48 mesh with approximately 45% gold recovery from the gravity concentrate using intense CN leaching. The gravity tail material can be blended with the lower grade, ROM heap leach mineralization for final gold recovery on the heap leach pad. Total gold recovery from the YellowJacket mineralization is projected to be 85% of the contained metal, and silver recoveries are projected to be 63%. The majority of NBP low grade mineralization would be processed on the heap leach. Project capital costs are low due to the simple processing approach Mother Lode Project Development Corvus completed an updated PEA for the MLP based on a stand-alone basis as detailed in the MLP Technical Report. The Table 2 2020 MLP Preliminary Economic Assessment at $1,500 per ounce gold price Summary Data Pre-Tax Cash Flow; IRR USD $564M; 27% Post-Tax NPV5%; IRR USD $303M; 23% Overall Strip Ratio 3.7 to 1 (waste: process tonne) Cash Cost Years 1-3 (USD per produced Au ounce) $613 AISC1 Years 1-3 (USD per produced Au oz) $677 Year 1-8 Average Annual Gold Production 170,980 ounces Mine Life 8 years Total Gold Production 1,377,260 ounces Initial Capital Cost (USD) $406M Sustaining Capital Cost (USD) $44M Average Mill Au 91% Ag 60% Average Heap Leach Recovery (%) Au 74% Ag 7% Average Total Mining Rate2 (t/day) 91,200 Average Mineralization Mining Rate2 (t/day) 19,600 1 – AISC (all-in sustaining cost) is a non-GAAP metric and may be calculated differently by others 2 – 8 year rate including capitalized mining in year -1 The MLP Resource model was updated to incorporate new drilling data developed since the 2018 PEA The project configuration was revised so that all required infrastructure was confined to Corvus controlled property, with the exception that the existing lay-back agreement with Coeur Mining Co. would allow the open pit boundary to expand off the Corvus land locally. Any mineralization coming from Coeur controlled land would be stockpiled for Coeur potentially subject to some future processing agreement. The MLP PEA assumed open pit mining with an owner operated fleet and process plant. Processing assumptions were based on biological oxidation of whole sulphide mineralization. Metallurgical test data indicates that CN gold recoveries of +91 % could be obtained with this approach, which would be approximately 11% higher than had been obtained from oxidation and leaching of MLP sulphide concentrates. Capital costs of the process plant would be lower since the process would not require an oxygen plant, a flotation circuit, or an autoclave. Substantial production of lower grade oxide mineralization is indicated by the updated mineral resource model, and the ROM heap leach feed was at higher grade when compared to the 2018 mineral resource model. Economic performance of the project was good, and the potential for operating cost reduction exists within the processing technology. In addition, the future development of the project could benefit from potential mineral resource that could be developed at the Lynnda Strip discovery. Permitting Corvus has expanded permitting activities for the NBP, beginning with a kick-off meeting with the BLM Battle Mountain group on December 15, 2020. Planning is underway and contracts with specialist environmental groups are in place. Water quality samples were collected from NBP springs and water quality monitoring wells during the month of December. Data from the NBP weather station for calendar Q3 were submitted to NDEP. Corvus has initiated baseline characterization work at Mother Lode to expand the current Exploration Permit area. The area to be addressed includes the future exploration targets, for example Lynnda Strip, and the area identified for infrastructure development identified in the 2020 MLP PEA. The Lynnda Strip Notice of Intent was revised, and approval has been received from BLM. Water quality samples from springs that were used in the Mother Lode EA were sampled during December 2020. Use of Proceeds On October 10, 2019, the Company announced the completion of a $23,000,000 public bought deal financing, where the Company issued 11,500,000 common shares at a price of $2.00 per common share (the “Offering”). The net proceeds to the Company from the Offering was $21,020,000 after deducting the underwriter’s fee in the amount of $1,380,000, and the estimated expenses of the Offering of $600,000, which was paid out of the proceeds of the Offering. The net proceeds of the Offering are anticipated to be applied as set out below. There are no material changes to the anticipated use of proceeds as described in the prospectus relating to the Offering. Use of Net Proceeds Amount Exploration Expenditures at the North Bullfrog and Mother Lode Properties Resource Expansion Drilling (42,000 m) New Discovery Drilling (7,000 m) Metallurgical Studies Mining and Development Studies Corporate general and administration, land and permits TOTAL The Company expects to use the net proceeds over a period of approximately 20 months to accelerate resource expansion at both the MLP and NBP, by spending approximately $10,000,000 on drilling activities. This work includes approximately 12,000 m of core and 30,000 m of RC drilling, taking place over approximately a 12 to 15 month period of time. In addition, the Company will spend approximately $2,300,000 on its ongoing “New Discovery” drilling program that is testing a series of high priority surface targets for the discovery of new ore deposits. This drilling program includes approximately 1,000 m of core and 6,000 m of RC drilling taking place over a period of approximately 12 to 15 months. The Company will also use the funding to advance the MLP and NBP processing and mining characterization to define an optimized development plan with approximately $1,500,000 of spending on advance metallurgical testing and design work for both the sulfide and oxide mineralization to more accurately define the process flow sheet and facility design criteria and approximately $600,000 on mining studies to further advance the overall project development design and financial requirements. Working capital and general corporate expenditures cover costs over a period of approximately 20 months for land payments (approximately $1,000,000), personnel (approximately $2,800,000) and the office, general corporate, land and permitting operating expenses ($2,820,000). Progress accounting of expenditures against the use of proceeds on a quarterly basis is listed as follows: Company Cost Center Total ($ M) Expended ($ M) (October 1, 2019 – Expended ($ M) (June 1, 2020 – Cumulative ($ M) (October 1, 2019 – August 31, 2020) Total Proceeds ($ M) Expended ($ M) (October 1, 2019 – May 31, 2020) Expended ($ M) (June 1, 2020 – November 30, 2020 Cumulative Expenditure ($ M) (October 1, 2019 – November 30, 2020) Exploration Expenditures at the North Bullfrog and Mother Lode Properties Resource Expansion Drilling New Discovery Drilling Metallurgical Studies Mining and Development Studies Corporate general and administration, land & permits TOTAL Expenditures correlate with progress and time for the budgeted amounts for the period October 1, 2019 – Qualified Person and Quality Control/Quality Assurance Jeffrey A. Pontius (CPG 11044), a qualified person as defined by NI 43-101, has supervised the preparation of the scientific and technical information that forms the basis for the disclosure in this Report on Form 10-Q (other than the Mother Lode Mineral Resource estimate) and has reviewed and approved the disclosure herein. Mr. Pontius is not independent of the Company, as he is the Chief Executive Officer and President and holds common shares and incentive stock options in Corvus. Carl E. Brechtel (Colorado PE 23212, Nevada PE 008744 and Registered Member 353000 of SME), a qualified person as defined by NI 43-101, has coordinated execution of the technical work and has reviewed and approved the disclosure in this Report on Form 10-Q related thereto. Mr. Brechtel is not independent of the Company, as he is the Chief Administrative Officer effective January 1, 2021 (formerly the Chief Operating The work program at the NBP and the MLP was designed and supervised by Mark Reischman, Corvus’ Nevada Exploration Manager, who is responsible for all aspects of the work, including the quality control/quality assurance program. On-site personnel at the project log and track all samples prior to sealing and shipping. Quality control is monitored by the insertion of blind certified standard reference materials and blanks into each sample shipment. All resource sample shipments are sealed and shipped to American Assay Laboratories in Reno, Nevada, for preparation and assaying. Assaying for the NBP and the MLP holes has been performed by American Assay Laboratories (“AAL”) in Sparks, Nevada. Corvus has no business relationship with AAL beyond being a customer for analytical services. The Sparks laboratory is Standards Council of Canada, Ottawa, Ontario Accredited Laboratory No. 536 and conforms with requirements of CAN-P-1579, CAN-P-4E (ISO/IEC 17025:2005). Check assaying has been performed by Bureau Veritas North America (“BV”, formerly Inspectorate America Corporation), in Sparks Nevada and Vancouver, Canada, and ALS Minerals Laboratories (“ALS Minerals”), in Sparks, Nevada. Corvus has no business relationship with BV or ALS Minerals beyond being a customer for analytical services. The BV laboratory is Accredited Laboratory No. 720 and conforms to requirements of CAN-P-1579, CAN-P-4E (ISO 9001:2008) and ALS is Accredited Laboratory No. 660 and conforms to requirements of CAN-P-1579, CAN-P-4E (ISO/IEC 17025:2005). Mr. Scott E. Wilson, CPG (10965), Registered Member of SME (4025107) and President of Resource Development Associates Inc., is an independent consulting geologist specializing in Mineral Reserve and Mineral Resource calculation reporting, mining project analysis and due diligence evaluations. He has acted as the Qualified Person, as defined in NI 43-101, for the Mineral Resource estimate and the Technical For additional information on the Results of Operations For the The primary factor for the increase in the net loss was the exploration expenditures of $7,145,669 incurred in the current period compared to $2,594,946 in the comparative period of the prior year. The exploration activities of the Company increased mainly due to an increase of $4,528,224 incurred in exploration expenditures in the current period compared with the comparative period of the prior year as the Company secured further financing in October 2019 and partly due to increased stock-based compensation charges of $159,517 during the current period compared to $137,018 in the comparative period of the prior year. Consulting fees increased to $1,039,046 (2019 - $935,159) mainly due to an increase in stock-based compensation charges of $836,588 during the current period compared to $750,840 in the comparative period of the prior year and an increase in consulting fees to the CFO as a result of amendment to her consulting agreement. Insurance expenses increased to $123,431 (2019 - $110,156) mainly due to an increase in insurance premium. Investor relations expenses increased to $1,056,405 (2019 - $904,050) mainly due to an increase in virtual advertising activities and an increase in stock-based compensation charges of $251,635 during the current period compared to $217,654 in the comparative period of the prior year. The increase in investor relations expenses was offset by a decrease in investor relations fees and investor relations-related travels in the current period due to COVID-19 travel restrictions and as a result, a shift from in-person meetings to virtual meetings and activities. Travel expenses decreased to $53,612 (2019 - $168,596). Office expenses increased to $66,570 (2019 - $53,320) mainly due to the migration to the cloud server as a result of the global pandemic. Professional fees increased to $275,814 (2019 - $150,617) mainly due to an increase in the audit-related and legal fees as the Company prepared for a transition in its filing status, and an increase in stock-based compensation charges of $14,505 during the current period compared to $12,003 in the comparative period of the prior year. Regulatory expenses increased to $212,892 (2019 - $112,959) mainly due to the entry fee to the Nasdaq Capital Markets as the Company commenced trading as of market open on August 12, 2020. Wages and benefits increased to $1,379,701 (2019 - $1,281,227) mainly due to an increase in pension benefits, an increase in employee expenses due to expenses associated with stock option exercises during the current period, and an increase in stock-based compensation charges of $507,415 during the current period compared to $484,379 in the comparative period of the prior year. Other expense categories that reflected only moderate change period over period were administration expenses of $212 (2019 - $214), depreciation expenses of $32,959 (2019 - $27,747) and rent expenses of $8,754 (2019 - $15,906). Other items amounted to a loss of $241,566 compared to $27,428 in the prior period. There was an increase in foreign exchange loss of $296,996 (2019 - $105,386), which was the result of factors outside of the Company’s control and an increase in interest income of $55,430 (2019 - $77,958) as a result of more investment in cashable GIC’s during the current period net of interest expenses. Three months ended November 30, 2020 Compared to Three months ended November 30, 2019 For the three months ended November 30, 2020, the Company had a net loss of $5,126,027 compared to a net loss of $3,446,919 in the comparative period of the prior year. Included in net loss was $852,620 (2019 - $806,137) in stock-based compensation charges which is a result of stock options granted during the period and previously granted stock options which vested during the period. Stock-based compensation in the current period comprised of stock options granted on November 19, 2018, April 9, 2019, June 13, 2019, October 11, 2019 and February 3, 2020 which vested during the period. The prior period comparative had stock-based compensation arising from stock options granted on July 31, 2017, November 19, 2018, April 9, 2019, June 13, 2019 and October 11, 2019 which vested during the comparative period of the prior year. The increase in loss of $1,679,108 in the three month period of the current year was due to a combination of factors discussed below. The primary factor for the increase in the net loss was the exploration expenditures of Consulting fees increased to Investor relations expenses Professional fees increased to Wages and benefits increased to Other expense categories that reflected only moderate change period over period were administration expenses of $106 (2019 - $107), depreciation expenses of Other items amounted to an income of $59,706 compared to a loss of Liquidity and Capital Resources The Company has no revenue generating operations from which it can internally generate funds. To date, the Company’s ongoing operations have been financed by the sale of its equity securities by way of public offerings, private placements and the exercise of incentive stock options and share purchase warrants. The Company believes that it will be able to secure additional private placements and public financings in the future, although it cannot predict the size or pricing of any such financings. In addition, the Company can raise funds through the sale of interests in its mineral properties, although current market conditions have substantially reduced the number of potential buyers/acquirers of any such interest(s). This situation is unlikely to change until such time as the Company can develop a bankable feasibility study on one of its projects. When acquiring an interest in mineral properties through purchase or option, the Company will sometimes issue Common Shares to the vendor or optionee of the property as partial or full consideration for the property interest in order to conserve its cash. The condensed interim consolidated financial statements have been prepared on a going concern basis, which presume the realization of assets and discharge of liabilities in the normal course of business for the foreseeable future. The Company’s ability to continue as a going concern is dependent upon achieving profitable operations and/or obtaining additional financing. In assessing whether the going concern assumption is appropriate, management takes into account all available information about the future within one year from the date the condensed interim consolidated financial statements are issued. There is substantial doubt upon the Company’s ability to continue as going concern, as explained in the following paragraphs. The Company has sustained significant losses from operations, has negative cash flows and has an ongoing requirement for capital investment to explore its mineral properties. Based on its current plans, budgeted expenditures, and cash requirements, the Company The Company reported cash and cash equivalents of As at The Company expects that it will operate at a loss for the foreseeable future and believes the current cash and cash equivalents will not be sufficient for it to maintain its currently held properties, fund its planned exploration, and fund its currently anticipated general and administrative costs for at least the next 12 months from the date of this report. In any event, the Company will be required to raise additional funds, again through public or private equity financings in the future in order to continue in business. Should such financing not be available in that time-frame, the Company will be required to reduce its activities and will not be able to carry out all of its presently planned exploration and, if warranted, development activities at the NBP and the MLP on its currently anticipated scheduling. Despite the Company’s success to date in raising significant equity financing to fund its operations, there is significant uncertainty that the Company will be able to secure any additional financing in the current or future equity markets. See “Risk Factors – We will require additional financing to fund exploration and, if warranted, development and production”. Failure to obtain additional financing could have a material adverse effect on our financial condition and results of operation and could cast uncertainty on our ability to continue as a going concern. The quantity of funds to be raised and the terms of any proposed equity financing that may be undertaken will be negotiated by management as opportunities to raise funds arise. Specific plans related to the use of proceeds will be devised once financing has been completed and management knows what funds will be available for these purposes. Due to this uncertainty, if the Company is unable to secure additional financing, it may be required to reduce all discretionary activities at the NBP and the Mother Lode Property to preserve its working capital to fund anticipated non-discretionary expenditures in the future. The Company has no exposure to any asset-backed commercial paper. Other than cash held by its subsidiaries for their immediate operating needs in Alaska and Nevada, all of the Company’s cash reserves are on deposit with a major Canadian chartered bank. The Company does not believe that the credit, liquidity or market risks with respect thereto have increased as a result of the current market conditions. However, in order to achieve greater security for the preservation of its capital, the Company has, of necessity, been required to accept lower rates of interest, which has also lowered its potential interest income. Off-Balance Sheet Arrangements The Company has no off-balance sheet arrangements. Environmental Regulations The operations of the Company may in the future be affected from time to time in varying degrees by changes in environmental regulations, including those for future removal and site restoration costs. Both the likelihood of new regulations and their overall effect upon the Company vary greatly and are not predictable. The Company’s policy is to meet or, if possible, surpass standards set by relevant legislation by application of technically proven and economically feasible measures. Certain U.S. Federal Income Tax Considerations for U.S. Holders The Company has been a “passive foreign investment company” (“PFIC”) for U.S. federal income tax purposes in recent years and expects to continue to be a PFIC in the future. Current and prospective U.S. shareholders should consult their tax advisors as to the tax consequences of PFIC classification and the U.S. federal tax treatment of PFICs. Additional information on this matter is included in the Company’s Annual Report on Form 10-K as filed with the SEC on August 13, 2020, under “Certain United States Federal Income Tax Considerations”. ITEM 3. QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK Not applicable. ITEM 4. CONTROLS AND PROCEDURES Disclosure Controls and Procedures As of The effectiveness of our or any system of disclosure controls and procedures, however well designed and operated, can provide only reasonable assurance that the objectives of the system will be met and is subject to certain limitations, including the exercise of judgement in designing, implementing and evaluating controls and procedures and the assumptions used in identifying the likelihood of future events. Changes in Internal Control over Financial Reporting There were no changes in internal control over financial reporting during the period ended None. There have been no material changes from the risk factors set forth in our Annual Report on Form 10-K as filed with the SEC on August 13, 2020. ITEM 2. UNREGISTERED SALES OF EQUITY SECURITIES AND USE OF PROCEEDS Unregistered Sales of Equity Securities On October 29, 2020, the Company issued 25,000 common shares in connection with the lease on the Mayflower property (see note 3(a)(ii)(1) to the Financial Statements), with a fair value of $75,750. The common shares were issued in reliance on the exemption from registration pursuant to Section 4(a)(2) of the Securities Act of 1933, as amended (the “Securities Act”) on the basis of representations of eligibility and suitability made to the Company by the investor in the lease agreement. Repurchase of Securities None. ITEM 3. DEFAULTS UPON SENIOR SECURITIES None. ITEM 4. MINE SAFETY DISCLOSURES Pursuant to Section 1503(a) of the Dodd-Frank Act, issuers that are operators, or that have a subsidiary that is an operator, of a coal or other mine in the United States are required to disclose specified information about mine health and safety in their periodic reports. These reporting requirements are based on the safety and health requirements applicable to mines under the Federal Mine Safety and Health Act of 1977 (the “Mine Act”) which is administered by the U.S. Department of Labor’s Mine Safety and Health Administration (“MSHA”). During the None. 101.SCH Inline XBRL Taxonomy Extension Schema Document 101.CAL Inline XBRL Taxonomy Extension Calculation Linkbase Document 101.DEF Inline XBRL Taxonomy Extension Definition Linkbase Document 101.LAB Inline XBRL Taxonomy Extension Labels Linkbase Document 101.PRE Inline XBRL Taxonomy Extension Presentation Linkbase Document Pursuant to the requirements of Section 13 or 15(d) of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized. CORVUS GOLD INC. (the Registrant) By: /s/ Jeffrey Pontius Date: January 7, 2021 By: /s/ Peggy Wu Peggy Wu Chief Financial Officer (Principal Financial and Accounting Officer) Date: January 7, 2021 34For the quarterly period ended August 31, CommissionCommission file number: 001-39437 
1750-700 West Pender Street
Vancouver, British Columbia, Canada,V6C 1G8. Yes.Yes ☐ No ☒October 5, 2020,January 7, 2021, the registrant had 123,987,845126,632,845 Common Shares outstanding. $ 9,211,817 $ 14,913,158 $ 7,049,285 $ 14,913,158 124,980 161,305 46,883 161,305 507,953 389,433 112,599 389,433 9,844,750 15,463,896 7,208,767 15,463,896 34,458 38,630 31,920 38,630 103,981 48,978 87,629 48,978 5,516,787 5,831,924 5,658,530 5,831,924 $ 15,499,976 $ 21,383,428 $ 12,986,846 $ 21,383,428 $ 928,840 $ 895,848 $ 764,331 $ 895,848 64,916 0 56,385 0 993,756 895,848 820,716 895,848 352,941 373,103 350,858 373,103 43,323 52,475 36,560 52,475 1,390,020 1,321,426 1,208,134 1,321,426 120,960,869 120,960,869 124,010,487 120,960,869 15,774,430 14,857,390 15,564,132 14,857,390 1,219,844 1,578,326 1,175,307 1,578,326 (123,845,187 ) (117,334,583 ) (128,971,214 ) (117,334,583 ) 14,109,956 20,062,002 11,778,712 20,062,002 $ 15,499,976 $ 21,383,428 $ 12,986,846 $ 21,383,428 “Jeffrey Pontius”Director“Anton Drescher”DirectorTHREE MONTHS ENDED AUGUST 31, $ 106 $ 107 $ 106 $ 107 $ 212 $ 214 502,964 443,107 536,082 492,052 1,039,046 935,159 14,281 9,031 18,678 18,716 32,959 27,747 4,433,234 1,394,155 2,712,435 1,200,791 7,145,669 2,594,946 62,559 55,698 60,872 54,458 123,431 110,156 316,426 334,513 739,979 569,537 1,056,405 904,050 37,933 26,732 28,637 26,588 66,570 53,320 158,185 77,089 117,629 73,528 275,814 150,617 154,312 61,087 58,580 51,872 212,892 112,959 7,403 14,141 1,351 1,765 8,754 15,906 15,476 43,391 38,136 125,205 53,612 168,596 506,453 449,807 873,248 831,420 1,379,701 1,281,227 (6,209,332 ) (2,908,858 ) (5,185,733 ) (3,446,039 ) (11,395,065 ) (6,354,897 ) 38,904 16,066 (340,176 ) (42,614 ) 16,526 61,892 55,430 77,958 43,180 (62,772 ) (296,996 ) (105,386 ) (301,272 ) (26,548 ) 59,706 (880 ) (241,566 ) (27,428 ) (6,510,604 ) (2,935,406 ) (5,126,027 ) (3,446,919 ) (11,636,631 ) (6,382,325 ) (358,482 ) (86,979 ) (44,537 ) (3,966 ) (403,019 ) (90,945 ) $ (6,869,086 ) $ (3,022,385 ) $ (5,170,564 ) $ (3,450,885 ) $ (12,039,650 ) $ (6,473,270 ) $ (0.05 ) $ (0.03 ) $ (0.04 ) $ (0.03 ) $ (0.09 ) $ (0.06 ) 123,987,845 111,670,182 125,178,230 118,704,785 124,579,785 115,168,264 THREESIX MONTHS ENDED AUGUST 31,NOVEMBER 30, $ (6,510,604 ) $ (2,935,406 ) $ (11,636,631 ) $ (6,382,325 ) 14,281 9,031 32,959 27,747 917,040 795,757 1,769,660 1,601,894 340,176 42,614 296,996 105,386 36,325 18,901 114,422 (52,725 ) (118,520 ) 121,083 276,834 191,361 32,992 (21,816 ) (131,517 ) (102,964 ) (5,288,310 ) (1,969,836 ) (9,277,277 ) (4,611,626 ) 0 2,200,000 1,910,950 25,200,000 0 (16,628 ) 0 (1,978,684 ) (10,882 ) (4,861 ) (26,087 ) (19,916 ) (10,882 ) 2,178,511 1,884,863 23,201,400 0 0 (103,819 ) (51,705 ) (103,819 ) (51,705 ) (402,149 ) (28,632 ) (367,640 ) (98,115 ) (5,701,341 ) 180,043 (7,863,873 ) 18,439,954 14,913,158 4,145,085 14,913,158 4,145,085 $ 9,211,817 $ 4,325,128 $ 7,049,285 $ 22,585,039 THREESIX MONTHS ENDED AUGUST 31, 2020NOVEMBER 30, 2020
shares
Surplus
Other
Comprehensive
Income –
Cumulative
Translation
Differences 111,462,845 $ 97,726,772 $ 11,467,753 $ 1,382,223 $ (101,127,931 ) $ 9,448,817 111,462,845 $ 97,726,772 $ 11,467,753 $ 1,382,223 $ (101,127,931 ) $ 9,448,817 - 0 0 0 (2,935,406 ) (2,935,406 ) 1,000,000 2,200,000 0 0 0 2,200,000 - 0 0 (86,979 ) 0 (86,979 ) - (16,628 ) 0 0 0 (16,628 ) - 0 795,757 0 0 795,757 112,462,845 $ 99,910,144 $ 12,263,510 $ 1,295,244 $ (104,063,337 ) $ 9,405,561 - 0 0 0 (13,271,246 ) (13,271,246 ) - 0 0 0 (6,382,325 ) (6,382,325 ) 11,500,000 23,000,000 0 0 0 23,000,000 12,500,000 25,200,000 0 0 0 25,200,000 25,000 48,750 0 0 0 48,750 25,000 48,750 0 0 0 48,750 - 0 0 283,082 0 283,082 - 0 0 (90,945 ) 0 (90,945 ) - (1,998,025 ) 0 0 0 (1,998,025 ) - (1,978,684 ) 0 0 0 (1,978,684 ) - 0 2,593,880 0 0 2,593,880 - 0 1,601,894 0 0 1,601,894 123,987,845 $ 120,960,869 $ 14,857,390 $ 1,578,326 $ (117,334,583 ) $ 20,062,002 123,987,845 $ 120,996,838 $ 13,069,647 $ 1,291,278 $ (107,510,256 ) $ 27,847,507 - 0 0 0 (6,510,604 ) (6,510,604 ) - 0 0 0 (9,824,327 ) (9,824,327 ) - 0 0 (358,482 ) 0 (358,482 ) - 0 0 287,048 0 287,048 - (35,969 ) 0 0 0 (35,969 ) - 0 917,040 0 0 917,040 - 0 1,787,743 0 0 1,787,743 123,987,845 $ 120,960,869 $ 15,774,430 $ 1,219,844 $ (123,845,187 ) $ 14,109,956 123,987,845 $ 120,960,869 $ 14,857,390 $ 1,578,326 $ (117,334,583 ) $ 20,062,002 - 0 0 0 (11,636,631 ) (11,636,631 ) 2,520,000 1,910,950 0 0 0 1,910,950 25,000 75,750 0 0 0 75,750 - 0 0 (403,019 ) 0 (403,019 ) - 1,062,918 (1,062,918 ) 0 0 0 - 0 1,769,660 0 0 1,769,660 126,532,845 $ 124,010,487 $ 15,564,132 $ 1,175,307 $ (128,971,214 ) $ 11,778,712 August 31,November 30, 2020, the Company had interests in properties in Nevada, U.S.A.August 31,November 30, 2020, the Company had working capital of $8,850,994$6,388,051 compared to working capital of $14,568,048 as at May 31, 2020. Based on its current plans, budgeted expenditures, and cash requirements, the Company hasdoes not have sufficient cash to finance its current plans for at least 12 months from the date the condensed interim consolidated financial statements are issued.August 31,November 30, 2020 and the results of its operations for the threesix months then ended. Operating results for the threesix months ended August 31,November 30, 2020 are not necessarily indicative of the results that may be expected for the year ending May 31, 2021. The 2020 year-end balance sheet data was derived from audited financial statements but does not include all disclosures required by U.S. GAAP.August 31,November 30, 2020, 12,345,0009,825,000 outstanding stock options (2019 – 11,115,000)11,135,000) were not included in the calculation of diluted earnings (loss) per share as their inclusion was anti-dilutive.
Bullfrog
Lode $ 4,957,690 $ 874,234 $ 5,831,924 (267,896 ) (47,241 ) (315,137 ) $ 4,689,794 $ 826,993 $ 5,516,787 $ 4,957,690 $ 874,234 $ 5,831,924 103,819 0 103,819 75,750 0 75,750 (300,840 ) (52,123 ) (352,963 ) $ 4,836,419 $ 822,111 $ 5,658,530 The following table presents costs incurred for exploration and evaluation activities for the three months ended August 31, 2020:
Bullfrog
Lode $ 127,998 $ 263,504 $ 391,502 236,471 1,887,281 2,123,752 17,398 61,909 79,307 6,887 307,336 314,223 172,275 450,368 622,643 275,839 124,103 399,942 9,403 13,947 23,350 343,844 109,469 453,313 5,179 35,361 40,540 1,195,294 3,253,278 4,448,572 0 (15,338 ) (15,338 ) $ 1,195,294 $ 3,237,940 $ 4,433,234 threesix months ended August 31,November 30, 2020: $ 148,430 $ 487,267 $ 635,697 236,471 3,360,791 3,597,262 17,398 111,913 129,311 16,813 478,557 495,370 288,565 685,619 974,184 303,861 133,519 437,380 18,094 19,271 37,365 502,019 284,249 786,268 8,111 68,128 76,239 1,539,762 5,629,314 7,169,076 0 (23,407 ) (23,407 ) $ 1,539,762 $ 5,605,907 $ 7,145,669
Bullfrog
Lode
interest $ 151,720 $ 36,558 $ 0 $ 188,278 $ 308,855 $ 54,441 $ 0 $ 363,296 11,130 0 0 11,130 13,965 (7,238 ) 0 6,727 473,226 0 0 473,226 739,660 8,341 0 748,001 17,595 2,987 0 20,582 38,997 211,740 0 250,737 78,798 82,298 0 161,096 122,106 106,863 0 228,969 145,634 65,904 0 211,538 267,692 210,043 0 477,735 307,713 107,814 0 415,527 341,865 112,546 0 454,411 1,617 31,140 0 32,757 2,415 42,955 0 45,370 31,823 141,028 0 172,851 59,908 184,267 0 244,175 23,718 1,989 0 25,707 42,525 51,537 0 94,062 1,242,974 469,718 0 1,712,692 1,937,988 975,495 0 2,913,483 0 0 (318,537 ) (318,537 ) 0 0 (318,537 ) (318,537 ) $ 1,242,974 $ 469,718 $ (318,537 ) $ 1,394,155 $ 1,937,988 $ 975,495 $ (318,537 ) $ 2,594,946 Company:Company.9the Company, all future payments will be satisfied by the delivery of an additional ½ common shares of the Company for each of the ITH common shares due per the original agreement (25,000 common shares of the Company) annually.$352,941$350,858 (USD 270,000) ( May 31, 2020 - $373,103 (USD 270,000)). The fair value of the liability was determined to be equal to the estimated remediation costs. Due to the early stages of the project, and that extractive activities have not yet begun, the Company is unable to predict with any precision the timing of the cash flow related to the reclamation activities.There were 0 shares issued duringDuring thesix-month period ended August 31, 2020.November 30, 2020:August 31,November 30, 2020, and May 31, 2020, and changes during the periods are presented below:
Options
Average
Exercise
Price
Options
Average
Exercise
Price 12,345,000 $ 1.54 10,000,000 $ 1.40 12,345,000 $ 1.54 10,000,000 $ 1.40 0 0 2,345,000 2.13 0 0 2,345,000 2.13 (2,520,000 ) (0.76 ) 0 0 12,345,000 $ 1.54 12,345,000 $ 1.54 9,825,000 $ 1.74 12,345,000 $ 1.54 August 31,November 30, 2020 was 2.442.73 years ( May 31, 2020 – 2.68 years).
Price
Options
at Period-
Price
Options
at Period-
End
Price
Options
at Period-
Price
Options
at Period-
End $ 1.40 635,000 635,000 $ 1.40 635,000 635,000 $ 1.40 0 0 $ 1.40 635,000 635,000 $ 0.46 620,000 620,000 $ 0.46 620,000 620,000 $ 0.46 0 0 $ 0.46 620,000 620,000 $ 0.49 1,000,000 1,000,000 $ 0.49 1,000,000 1,000,000 $ 0.49 100,000 100,000 $ 0.49 1,000,000 1,000,000 $ 0.91 1,085,000 1,085,000 $ 0.91 1,085,000 1,085,000 $ 0.91 980,000 980,000 $ 0.91 1,085,000 1,085,000 $ 0.77 1,840,000 1,840,000 $ 0.77 1,840,000 1,225,440 $ 0.77 1,580,000 1,580,000 $ 0.77 1,840,000 1,225,440 $ 2.00 20,000 13,322 $ 2.00 20,000 13,322 $ 2.00 20,000 20,000 $ 2.00 20,000 13,322 $ 2.06 4,420,000 1,471,860 $ 2.06 4,420,000 1,471,860 $ 2.06 4,420,000 2,943,720 $ 2.06 4,420,000 1,471,860 $ 2.04 400,000 133,200 $ 2.04 400,000 133,200 $ 2.04 400,000 133,200 $ 2.04 400,000 133,200 $ 2.18 1,115,000 371,295 $ 2.18 1,115,000 0 $ 2.18 1,115,000 371,295 $ 2.18 1,115,000 0 $ 2.09 1,210,000 0 $ 2.09 1,210,000 0 $ 2.09 1,210,000 0 $ 2.09 1,210,000 0 12,345,000 7,169,677 12,345,000 6,183,822 9,825,000 6,128,215 12,345,000 6,183,822 $1,443,647)$1,458,958), determined using the Black-Scholes option pricing model based on the following weighted average assumptions: N/A 1.35 % N/A 1.35 % N/A N/A N/A 75.13 % N/A 74.92 % N/A 0 % N/A 0 % N/A $ 2.18 N/A $ 2.18 N/A $ 1.29 N/A $ 1.29 13 $ 432,741 $ 373,424 $ 836,588 $ 750,840 82,340 67,967 159,517 137,018 131,133 106,843 251,635 217,654 7,506 5,919 14,505 12,003 263,320 241,604 507,415 484,379 $ 917,040 $ 795,757 $ 1,769,660 $ 1,601,894 $ 22,500 $ 22,500 $ 102,500 $ 85,000 184,575 181,798 663,005 661,496 6,504 0 23,431 0 38,723 38,183 76,958 76,319 634,877 558,278 1,226,569 1,121,500 $ 887,179 $ 800,759 $ 2,092,463 $ 1,944,315 August 31,November 30, 2020, included in accounts payable and accrued liabilities was $nil ( May 31, 2020 – $1,274) in expenses owing to companies related to officers and officers of the Company. $ 0 $ 5,516,787 $ 5,516,787 $ 0 $ 5,658,530 $ 5,658,530 $ 5,076 $ 29,382 $ 34,458 $ 4,665 $ 27,255 $ 31,920 $ 66,916 $ 37,065 $ 103,981 $ 59,994 $ 27,635 $ 87,629 $ 0 $ 5,831,924 $ 5,831,924 $ 0 $ 5,831,924 $ 5,831,924 $ 5,488 $ 33,142 $ 38,630 $ 5,488 $ 33,142 $ 38,630 $ 0 $ 48,978 $ 48,978 $ 0 $ 48,978 $ 48,978 $ (1,835,334 ) $ (1,328,832 ) (4,675,270 ) (1,606,574 ) $ (6,510,604 ) $ (2,935,406 ) $ (3,645,787 ) $ (2,946,294 ) (7,990,844 ) (3,436,031 ) $ (11,636,631 ) $ (6,382,325 ) August 31,November 30, 2020 and 2019 are:
Incorporation
effective
interest for
effective
interest for 100 % 100 % 100 % 100 % 100 % 100 % 100 % 100 % 100 % 100 % 100 % 100 % 100 % 100 % 100 % 100 % 100 % 100 % 100 % 100 % $ 0 $ 0 $ 0 $ 0 $ 0 $ 0 $ 0 $ 0 $ 75,750 $ 48,750 $ 1,062,918 $ 0 MANAGEMENT’SMANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONSAugust 31,November 30, 2020, and the related notes thereto, which have been prepared in accordance with generally accepted accounting principles in the United States (“(“U.S. GAAP”GAAP”). This discussion and analysis contains forward-looking statements and forward-looking information that involve risks, uncertainties and assumptions. Our actual results may differ materially from those anticipated in these forward-looking statements and information as a result of many factors. See section heading “Note“Note Regarding Forward-Looking Statements”Statements” below. All currency amounts are stated in Canadian dollars unless noted otherwise.reportreports entitled “Technical Report and Preliminary Economic Assessment for Gravity Milling and Heap Leach Processing at the Integrated Mother Lode and North Bullfrog Projects,Project, Bullfrog Mining District, Nye County, Nevada”, dated November 1, 2018 and amended on November 8, 2018,21, 2020 with an effective date of September 18, 2018October 7, 2020 (the “NBP Technical Report”), and “Technical Report and Preliminary Economic Assessment for BIOX Mill and Heap Leach Processing at the Mother Lode Project, Bullfrog Mining District, Nye County, Nevada” dated November 21, 2020 with an effective date of October 7, 2020 (the “ML Technical Report” and together with the NBP Technical Report, the “Technical Reports”) referenced in this Quarterly Report on Form 10-Q have been prepared in accordance with the requirements of the securities laws in effect in Canada, which differ from the requirements of United States securities laws. As used in the Technical ReportReports referenced in this Quarterly Report on Form 10-Q, the terms “Mineral Reserve”, “Proven Mineral Reserve” and “Probable Mineral Reserve” are Canadian mining terms as defined in accordance with Canadian National Instrument 43-101 “Standards of Disclosure for Mineral Projects” (“NI 43-101”) and the Canadian Institute of Mining, Metallurgy and Petroleum (the “CIM”) Definition Standards on Mineral Resources and Mineral Reserves, adopted by the CIM Council, as amended.“Inferred Mineral Resources” have a great amount of uncertainty as to their existence, and great uncertainty as to their economic and legal feasibility. It cannot be assumed that all, or any part, of anUnder Canadian rules, Inferred Mineral Resource will everResources can only be upgraded to a higher category.used in economic studies as provided under CIM Standards. Under Canadian rules, estimates of Inferred Mineral Resources may not form the basis of feasibility or pre-feasibility studies, except in rare cases. Investors are cautioned not to assume that all or any part of an Inferred Mineral Resource exists or is economically or legally mineable. An “Inferred Mineral Resource” is that part of a mineral resource for which quantity and grade or quality are estimated on the basis of limited geological evidence and sampling. Geological evidence is sufficient to imply but not verify geological and grade or quality continuity. An Inferred Mineral Resource has a lower level of confidence than that applying to an Indicated Mineral Resource and must not be converted to a Mineral Reserve. It is reasonably expected that the majority of Inferred Mineral Resources could be upgraded to Indicated Mineral Resources with continued exploration. Disclosure of “contained ounces” in a resource is permitted disclosure under Canadian regulations; however, the SEC normally only permits issuers to report mineralization that does not constitute “reserves” by SEC standards as in place tonnage and grade without reference to unit measures.ReportReports referenced in this report contain descriptions of our mineral deposits that may not be comparable to similar information made public by U.S. companies reporting under SEC Industry Guide 7 requirements.an advanced stage exploration projectprojects in Nye County, Nevada referred to as the North Bullfrog Project (the “NBP”) and the Mother Lode Project (“MLP” or “Mother Lode”). Mineral resources that are not mineral reserves have no demonstrated economic viability. The preliminary economic assessmentassessments included in the Technical ReportReports on the NBP-MLP isNBP and on the MLP are preliminary in nature and includesinclude Inferred Mineral Resources that have a great amount of uncertainty as to their existence, and are considered too speculative geologically to have economic considerations applied to them that would enable them to be categorized as Mineral Reserves. It cannot be assumed that all, or any part, of an Inferred Mineral Resource will ever be upgraded to a higher category. Under Canadian rules, estimates of Inferred Mineral Resources may not form the basis of feasibility or pre-feasibility studies. There is no certainty that such Inferred Mineral Resources at the NBP andor at the MLP will ever be realized. Mineral Resources that are not Mineral Reserves do not have demonstrated economic viability. Investors are cautioned not to assume that all or any part of an Inferred Mineral Resource exists or is economically or legally mineable. Readers should refer to the Technical ReportReports for additional information.assessment;assessment (“PEA”) on each of NBP and MLP;plan/plans/programs.1718Corvus commenced trading onThe Company initiated active exploration drilling in the Nasdaq Capital Market asLynnda Strip located north of market open on August 12, 2020 underMother Lode. Four holes were completed at the ticker KOR.Lynnda Strip and have encountered substantial thicknesses (up to 50m) of oxide gold mineralization with average grade >2 g/t within much broader oxide zones of over 150m averaging between 0.50 and 1 g/t gold.● Definition of a high grade feeder zone target in the Central Intrusive Zone (CIZ) at Mother Lode indicated good continuity returning 130.5 m @ 2.33 g/t gold and could expand both the grade and size of the Mother Lode gold system in the northern end of the deposit. 2928 RC drill holes were completed during the period totaling 5,145 m. Fourteen (14)5,989 m, of which 6 were planned as core-tail (CT) holes which are drilled to a pre-designed depth, cased and then advanced with core drilling. Nine core-tail holes were drilled atcored during the NBPperiod for 2,502 m and 15 holes were drilled at the MLP for 2,6431,277 m.TwoOne core rig was drilling, rigs operated at MLP to deepen previously drilledcompleting core-tail holes and cased holes. A total of 1,602 m of HQ core were produced in the reporting period in 11one RC rig was drilling both core-tail locations and conventional RC holes.ApprovalA Preliminary Economic Assessment technical report was updated for the North Bullfrog Project (the “NBP PEA”). The NBP PEA evaluated NBP as a stand-alone project using a gravity mill to produce a gravity concentrate from YellowJacket high grade mineralization and heap leach processing of the Mother Lode Exploration Project was received from BLM and the reclamation bond was increased accordingly.a blend of Run-Of-Mine mineralization with gravity tail material for ultimate gold recovery.Right-of-Ways were approved by BLM which provided main road access toA Preliminary Economic Assessment technical report was updated for the MLPMother Lode Project (the “MLP PEA”) as a stand-alone project employing a BIOX mill for processing the sulphide mineralization and the access to and useheap leach processing of water well sites at MW-3, MW-4 and PW-2. Reclamation bonds were placed with the BLM Tonopah office.oxide mineralization.The Lynnda Strip NOIPlanning for the continuation of the Baseline Characterization activities at North Bullfrog was approved by BLM and reclamation bonding was complete. Drilling at Lynnda Strip can proceed pending wildlife clearance surveys.completed during the period. Contracts were placed with service groups to initiate the work in January 2021.stationsin Oasis Valley and from water quality monitoring wells at NBP in June.North Bullfrog.both NBPMLP, were used for MLP exploration drilling and MLP, and utilized for the drilling at both sites, were reported monthly to the NDWR.● On November 6, 2020, the Company appointed Peggy Wu, its Chief Financial Officer, as a director of the Company. Ms. Wu was also appointed as a member of the Sustainable Development Committee. a unifiedtwo separate gold exploration projectprojects (the “NBP-MLP”“NBP” and the “MLP”) located in northwestern Nye County, Nevada, in the Northern Bullfrog Hills and Bare Mountains to the east, north and west of the town of Beatty. The NBP-MLP does notNBP nor the MLP have any known proven or probable reserves under SEC Industry Guide 7 and the project is exploratory in nature. The Technical Report isReports are available under Corvus’ SEDAR profile at www.sedar.com and EDGAR profile at www.sec.gov, which describes the integration ofand describe the two properties into a singleas separate mining operation.operations. The Technical Report isReports are referred to herein for informational purposes only and isare not incorporated herein by reference. The Technical Report containsReports contain disclosure regarding Mineral Resources at both projects that are not SEC Industry Guide 7 compliant proven or probable reserves. See “Cautionary Note to U.S. Investors Regarding Estimates of Measured, Indicated and Inferred Resources and Proven and Probable Reserves” above.Report.Reports.NBP-MLP isNBP and the MLP are located in the Bullfrog Hills and Bare Mountains of northwestern Nye County, Nevada (Figure 1). The NBP-MLP coversTogether, the NBP and the MLP cover approximately 129 square kilometers (12,895 hectares) of patented and unpatented mining claims in sections 19, 20, 21, 22, 23, 24, 25, 26, 27, 28, 29, 30, 31, 32, 33, 34, 35, and 36 of T10S, R46E; sections 1, 2, 3, 4, 5, 6, 10, 11, 12, 13, 14, 15, 23, 24, 25, 26, 34 and 35 of T11S, R46E; sections 2, 3, 4, 5, 6, 7, 8, 9, 10, and 18 of T12S R46E; sections 19, 30, 31, and 32 of T10S, R47E; sections 4, 5, 6, 7, 8, 9, 10, 11, 14, 15, 16, 17, 18, 22, 23, 26, 27, 34, 35 and 36 of T11S, R47E; sections 1, 2, 3, 4, 8, 9, 10, 11, 12 and 13 of T12S R47E; sections 4, 9, 10, 15, 22, 27, 31, 32, 33 and 34 of T11S R48E; and sections 4, 5, 6, 7, 8, 9, 16, 17 and 18 of T12S R48E of MDBM. The total number of unpatentedfederal lode claims is 1601. Corvus has total of nine option/lease agreements in place that give us control of private land based on an aggregate of 51 historical patented lode claims (see Private Lands in Figure 1). Corvus Nevada owns an additional private land based on five historical patented claims (the Millman claims) and a 430 acre property with 1600 acre-feet of water rights located north of NBP in the Sarcobatus hydrographic basin (Basin 146).19
integration of the NBPpotential to develop separate mining and the newly acquired MLP into a single mining operation. Theprocessing operations at each site. Technical ReportReports describing the integrated NBP-MLP datedconceptual mining and processing operations at each location were completed on November 1, 201821, 2020 and amended November 8, 2018 isare available on SEDAR.NBPDrilling ActivitiesDuring the period, 14 RC holes were drilled at the NBP investigating the West Sierra Blanca area. The RC rig was then moved to Cat Hill with 3 holes completed before the end of the period. The results of this drilling are pending.MLP Drilling ActivitiesDuring the period, 15 RC holes were drilled at the MLP. Core tail drilling was completed in a total of 11 holes which had been drilledSEDAR and cased previously, and then were advanced to total depth during this reporting period by core drilling below the casing bottom. This core tail program was designed to further define the gold mineralization in the Central Intrusive Zone (“CIZ”) target which consists of a north trending intrusive dike swarm to the east of and in the footwall of the Fluorspar Canyon Fault. Figure 2 shows the location of the core tail holes drilled in this period, and the general locations for targets identified for further exploration. The core tail drilling was designed to expand resources in three areas; (1) the CIZ target, (2) the Upper Oxide target and (3) the North target.EDGAR.
Core TailCorvus RC and Core-tail holes at the Mother Lode Project, Nevadainfrom the CIZMain Zone has confirmedindicated the direct associationpresence of gold mineralization with the north trending dike swarm which forms a broad zone of mineralization and remains open at depth. This mineralization is predominantly oxide with relatively high grades. Tests on this mineralization indicate high values of CN solubility indicating that it is suitable for low cost heap leach processing. Material atbreccia intervals from the top of this zone exhibit diatreme type explosive features which are very favorable forthe CIZ that cut the Central Main Zone and contain higher-grade gold mineralization. Figure 3 shows a cross section (along 4084540 N in Figure 2) which illustrates the relative positions of the Main Zone mineralization, the Upper Oxide and CIZ targets.The core tail drilling also produced additional intercepts which further defined the body of heap leachable mineralizationAdditional intersections in the Upper Oxide target.Zone are defining a sizable body of low grade mineralization that are amenable to heap leach processing in areas that were previously defined as waste material in pit shells. The cross section in Figure 3 illustrates the spacial relationship of the different mineralized zones being described here.The holes in the North target also encountered explosively produced diatreme/breccia mineralization, which may have the potential to transition into a large deposit at depth.
3 – Cross section along 4084540 N showing the Newrelationship of the Main Zone to the CIZ and Upper Oxide Zones at the MLPNorth Bullfrog Project DevelopmentFurther metallurgical testing of YellowJacket vein and vein stockwork mineralization has indicated that high gold recovery is possible at a relatively coarse grind size (48 mesh). Gold recoveries of 86% could be achieved from leaching of a gravity concentrate and then blending the gravity tail with relatively low grade disseminated mineralization. This has led the company to modify the project plan for NBP processing with:●Milling of the YellowJacket mineralization with a plant using two stage crushing with a rod mill to produce a 48 mesh gravity feed material, reducing milling cost due to the coarser grind;●Treatment to produce gravity concentrate to recover approximately 45% of the contained gold, followed by intensive CN leaching of that concentrate; and●Blending the gravity tail material with low grade, disseminated mineralization on a heap leach pad allowing an additional recovery of 41% of the contained gold and eliminating the need for a tail storage facility.changesveins appear related to subsidiary, structures in the hanging wall of large displacement, north-south trending major faults and are surrounded by broad zones of disseminated lower-grade oxide gold mineralization. Corvus believes that ongoing core drilling at Lynnda Strip has shown the system could extend an addition 100 metres below the initial RC drill holes announced to date with oxidation that could be in excess of 500 metres deep. The Lynnda Strip system is currently +500 metres wide (East-West) and is displaying a system thickness that could be in excess of 200 metres. Similar to other gold mineralization systems in the Bullfrog District that are related to North-South trending structural zones, the potential strike extent could be multiples of the currently known width. With current gold grades of 2.06 g/t over 43 m in the upper zone and 1.63 g/t gold over 33.5 m in the lower zone, Corvus believes that this system could be very large and currently appears to be on the higher-grade end of the known Nevada heap-leach open pit scale of deposits. 
Recovery2 (%)
Recovery (%)would allow a much simpler plant with lower capex cost and lower operating cost.the project economic performance is very good due to the ability to early mining of the higher grade YellowJacket mineralization.processing plant configuration at Mother Lode has been revised duringMLP PEA results indicated strong economic performance which is summarized in Table 2 and was based on a resource model update that incorporated 2020 drill results up to September 2020. Mineral resources that are not mineral reserves have no demonstrated economic viability. The MLP PEA is preliminary in nature and includes Inferred Mineral Resources that have a great amount of uncertainty as to their existence, and are considered too speculative geologically to have economic considerations applied to them that would enable them to be categorized as Mineral Reserves. It cannot be assumed that all, or any part, of an Inferred Mineral Resource will ever be upgraded to a higher category. Refer to the period:MLP Technical Report for additional information.●Parameterprocessing would use biological oxidation (biox) of the whole sulphide mineralization, no concentration would be performed. Metallurgical testing of whole mineralization biox on MLP sulphide mineralization has demonstrated a nominally 11% increase in gold recovery to Recovery1 (%) by elimination of losses that occur during production of the concentrate;●Capital costs and operating costs of the biox mill would be lower, due to elimination of the oxygen plant, floatation circuit, autoclave and reduced power requirements; and●Only sulphide mineralization produced at North Bullfrog would be hauled to Mother Lode for processing, which would result in substantial reduction in transport costs due to the reduced volume of material.report.report and up to September 2020. The MLP open pit configuration was revised based on Whittle Optimization, and the new designs were incorporated into the updated project configuration. $ 10,000,000 $ 2,300,000 $ 1,500,000 $ 600,000 $ 6,620,000 $ 21,020,000 23
Proceeds
May 31, 2020)
August 31, 2020
Expenditure $ 10.00 $ 4.05 $ 1.75 $ 5.80 $ 10.00 $ 4.05 $ 3.05 $ 7.10 $ 2.30 $ 2.10 $ 1.43 $ 3.53 $ 2.30 $ 2.10 $ 2.38 $ 4.48 $ 1.50 $ 0.80 $ 0.43 $ 1.23 $ 1.50 $ 0.80 $ 0.71 $ 1.51 $ 0.60 $ 0.26 $ 0.14 $ 0.40 $ 0.60 $ 0.26 $ 0.22 $ 0.48 $ 6.62 $ 3.43 $ 1.09 $ 4.52 $ 6.62 $ 3.43 $ 2.83 $ 6.26 $ 21.02 $ 10.64 $ 4.84 $ 15.48 $ 21.02 $ 10.64 $ 9.19 $ 19.83 August 31,November 30, 2020. Corporate general and administration, land and permits expenditures were impacted by scheduled timing of expenditures and financial fees due to the offering.OfficerOfficer) and holds Common Shares and incentive stock options in Corvus.Report.Reports. Mr. Wilson has over 29 years of experience in surface mining, resource estimation and strategic mine planning. Mr. Wilson and Resource Development Associates Inc. are independent of the Company under NI 43-101. Mr. Wilson, a Qualified Person, has verified the data underlying the information disclosed herein by reviewing the reports of AAL and all procedures undertaken for QA/QC. All matters were consistent and accurate accordingly to his professional judgment. There were no limitations on the verification process.24NBP-MLP,NBP and MLP, including information relating to exploration, data verification and the Mineral Resource estimates, see the Technical Report,Reports, which isare available under Corvus’ SEDAR profile at www.sedar.com and EDGAR profile at www.sec.gov.www.sec.gov. The Technical Report isReports are referred to herein for informational purposes only and is not incorporated herein by reference. The Technical ReportReports contains disclosure regarding Mineral Resources that are not Guide 7 compliant proven or probable reserves, see “Cautionary Note to U.S. Investors Regarding Estimates of Measured, Indicated and Inferred Resources and Proven and Probable Reserves” above.ThreeSix months ended August 31,November 30, 2020 Compared to ThreeSix months ended August 31,November 30, 2019threesix months ended August 31,November 30, 2020, the Company had a net loss of $6,510,604$11,636,631 compared to a net loss of $2,935,406$6,382,325 in the comparative period of the prior year. Included in net loss was $917,040$1,769,660 (2019 - $795,757)$1,601,894) in stock-based compensation charges which is a result of stock options granted during the period and previously granted stock options which vested during the period. Stock-based compensation in the current period comprised of stock options granted on July 31, 2017, November 19, 2018, April 9, 2019, June 13, 2019, October 11, 2019 and February 3, 2020 which vested during the period. The prior period comparative had stock-based compensation arising from stock options granted on July 31, 2017, November 19, 2018, April 9, 2019, and June 13, 2019 and October 11, 2019 which vested during the comparative period of the prior year. The increase in loss of $3,575,198$5,254,306 in the six month period of the current year was due to a combination of factors discussed below.$4,433,234$2,712,435 incurred in the current period compared to $1,394,155$1,200,791 in the comparative period of the prior year. The exploration activities of the Company increased mainly due to an increase of $3,024,706$1,503,518 incurred in the exploration in the current period compared with the comparative period of the prior year as the Company secured further financing in October 2019 and partly due to increased stock-based compensation charges of $82,340$77,177 during the current period compared to $67,967$69,051 in the comparative period of the prior year.$502,964$536,082 (2019 - $443,107)$492,052) mainly due to an increase in stock-based compensation charges of $432,741$403,847 during the current period compared to $373,424$377,416 in the comparative period of the prior year.year and an increase in consulting fees to the CFO as a result of amendment to her consulting agreement.decreasedincreased to $316,426$739,979 (2019 - $334,513) and travel expenses decreased to $15,476 (2019 - $43,391). The decreases were$569,537) mainly due to an increase in advertising activities and an increase in stock-based compensation charges of $120,502 during the current period compared to $110,811 in the comparative period of the prior year. The increase in investor relations expenses was offset by a decrease in investor relations fees and investor relations-related activities and travels in the current period due to COVID-19. The decrease in investor relationsCOVID-19 travel restrictions and as a result, a shift from in-person meetings to virtual meetings and activities. Travel expenses was offset by an increase in stock-based compensation charges of $131,133 during the current period compareddecreased to $106,843 in the comparative period of the prior year.$38,136 (2019 - $125,205).$158,185$117,629 (2019 - $77,089)$73,528) mainly due to an increase in the audit-related and legal fees as the Company prepared for a transition in its filing status, and an increase in stock-based compensation charges of $7,506$6,999 during the current period compared to $5,919$6,084 in the comparative period of the prior year.Regulatory expenses increased to $154,312 (2019 - $61,087) mainly due to the entry fee to the Nasdaq Capital Markets as the Company commenced trading as of market open on August 12, 2020.$506,453$873,248 (2019 - $449,807)$831,420) mainly due to an increase in pension benefitsemployee expenses due to expenses associated with stock option exercises during the current period and an increase in stock-based compensation charges of $263,320$244,095 during the current period compared to $241,604$242,775 in the comparative period of the prior year.$14,281$18,678 (2019 - $9,031)$18,716), insurance expenses of $62,559$60,872 (2019 - $55,698)$54,458), office expenses of $37,933$28,637 (2019 - $26,732)$26,588), regulatory expenses of $58,580 (2019 - $51,872) and rent expenses of $7,403 (2019 - $14,141)$1,351 (2019- $1,765).$301,272 compared to $26,548$880 in the prior period. There was an increase in foreign exchange gain of $43,180 (2019 – loss of $340,176 (2019 - $42,614)$62,772), which was the result of factors outside of the Company’s control and an increasea decrease in interest income and expenses of $38,904$16,526 (2019 - $16,066)$61,892) as a result of moreless investment in cashable GIC’s during the current period net of interest expenses.25hasdoes not have sufficient cash to finance its current plans for the 12 months from the date the condensed interim consolidated financial statement are issued.$9,211,817$7,049,285 as at August 31,November 30, 2020 compared to $14,913,158 as at May 31, 2020. The change in cash position was the net result of $5,288,310$9,277,277 used for operating activities, and $10,882$26,087 used for lease liabilities payments, $103,819 used for capitalized acquisition costs, and $1,910,950 received from exercise of stock options during the period ended August 31,November 30, 2020.August 31,November 30, 2020, the Company had working capital of $8,850,994$6,388,051 compared to working capital of $14,568,048 as at May 31, 2020.26August 31,November 30, 2020 an evaluation was carried out under the supervision of and with the participation of the Company’s management, including the Chief Executive Officer (the principal executive officer) and Chief Financial Officer (the principal financial officer and accounting officer), of the effectiveness of the design and operation of the Company’s disclosure controls and procedures (as defined in Rules 13a-15(e) and 15d-15(e) of the Exchange Act). Based on the evaluation, the Chief Executive Officer and the Chief Financial Officer have concluded that, as of August 31,November 30, 2020, the Company’s disclosure controls and procedures were effective in ensuring that: (i) information required to be disclosed in reports filed or submitted to the SEC under the Exchange Act is recorded, processed, summarized and reported within the time periods specified in applicable rules and forms and (ii) material information required to be disclosed in our reports filed under the Exchange Act is accumulated and communicated to management, including the Chief Executive Officer and Chief Financial Officer, in a manner that allows for accurate and timely decisions regarding required disclosures.August 31,November 30, 2020 that have materially, or are reasonably likely to materially affect, the Company’s internal control over financial reporting.27None. Other than as reported below, all sales of unregistered equity securities during the period covered by this report were previously reported on Form 8-K.threesix months period ended August 31,November 30, 2020 the Company and its subsidiaries and their properties or operations were not subject to regulation by MSHA under the Mine Act and thus no disclosure is required under Section 1503(a) of the Dodd-Frank Act.28104104 Cover Page Interactive Data File (formatted as inline XBRL and contained in Exhibit 101) 29Jeffrey Pontius Chief Executive Officer(Principal Executive Officer)Date: October 5, 2020 Chief Executive Officer (Principal Executive Officer) Date: October 5, 2020