2024 Q4 Consolidated Financial Statements

Consolidated financial statements of

Eastern Platinum Limited

December 31, 2024 and 2023

INDEPENDENT AUDITOR'S REPORT

To the Shareholders of

Eastern Platinum Limited

Opinion

We have audited the accompanying consolidated financial statements of Eastern Platinum Limited (the "Company"), which comprise the consolidated statement of financial position as at December 31, 2024 and the consolidated statements of (loss) income, comprehensive (loss) income, changes in equity, and cash flows for the year then ended, and notes to the consolidated financial statements, including material accounting policy information.

In our opinion, these consolidated financial statements present fairly, in all material respects, the financial position of the Company as at December 31, 2024, and its financial performance and its cash flows for the year then ended in accordance with IFRS Accounting Standards as issued by the International Accounting Standards Board.

Basis for Opinion

We conducted our audit in accordance with Canadian generally accepted auditing standards. Our responsibilities under those standards are further described in the Auditor's Responsibilities for the Audit of the Consolidated Financial Statements section of our report. We are independent of the Company in accordance with the ethical requirements that are relevant to our audit of the consolidated financial statements in Canada, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained in our audit is sufficient and appropriate to provide a basis for our opinion.

Material Uncertainty Related to Going Concern

We draw attention to Note 1 of the consolidated financial statements, which indicates that the Company has cash and cash equivalents of $3,126,000 and a working capital deficit of $38,713,000 as December 31, 2024 and, for the year ended December 31, 2024, the Company had an operating loss and used cash in operating activities of $4,434,000. As stated in Note 1, these events and conditions indicate that a material uncertainty exists that may cast significant doubt on the Company's ability to continue as a going concern. Our opinion is not modified in respect of this matter.

Other Matters

The consolidated financial statements of Eastern Platinum Limited for the year ended December 31, 2023 were audited by another auditor who expressed an unmodified opinion on those statements on May 3, 2024.

Key Audit Matters

Key audit matters are those matters that, in our professional judgment, were of most significance in our audit of the consolidated financial statements of the current period. These matters were addressed in the context of our audit of the consolidated financial statements as a whole, and in forming our opinion thereon, and we do not provide a separate opinion on these matters.

In addition to the matter described in the Material Uncertainty Related to Going Concern section, we have determined the matter described below to be the key audit matter to be communicated in our auditor's report.

Assessment of Impairment of Property, Plant and Equipment ("PP&E Assets")

As described in Note 6 to the consolidated financial statements, the carrying amount of the Company's PP&E Assets, including the Company's mineral properties related to the Crocodile River Mine, Kennedy's Vale Project, and Spitzkop PGM Project was $110,756,000 as of December 31, 2024. As more fully described in Note 4 to the consolidated financial statements, the Company assess PP&E Assets for impairment at each statement of financial position reporting date and if an indication of impairment exists, the recoverable amount of the PP&E Assets or the cash-generating unit ("CGU") to which they belong, is estimated. The Company determined there was an indicator of impairment, being net assets exceeding the Company's market capitalization.

The test for impairment of the PP&E Assets, specifically the Crocodile River Mine, Kennedy's Vale Property, and Spitzkop PGM Project, necessitates the determination of the recoverable amount of the related CGUs to which the properties belong. In determining the estimated recoverable amount, the Company used a discounted cash flow model which includes significant assumptions such as estimated reserves, expected production, sales volumes, commodity prices, grade and tonnage estimates, operating costs, foreign exchange rates and discount rates. The recoverable amount as at December 31, 2024 exceeded the carrying value, and as a result, no impairment loss was recorded for the year then ended.

The principal considerations for our determination that the impairment assessment of PP&E Assets is a key audit matter is the significant judgement and subjectivity required by management when developing the recoverable amount of the CGUs. This in turn led to a high degree of auditor judgment, subjectivity and effort in performing procedures to evaluate audit evidence relating to the judgments made by management in their assessment of the impairment test.

Addressing the matter involved performing procedures and evaluating audit evidence in connection with forming our overall opinion on the consolidated financial statements. Out audit procedures include, among others:

• • Obtaining an understanding of the key controls over management's process in assessing impairment indicators and on determining the recoverable amount of the CGUs related the Crocodile River Mine, Kennedy's Vale Project, and Spitzkop PGM Project.

• • Evaluating the appropriateness of the discounted cash flow model ("DCF") on the CGU related to the Crocodile River Mine, including utilizing our internal valuation expert to assess appropriateness of the model and the discount rate applied.

• • Evaluating the quantity and grade of resource and reserve estimates, including obtaining an understanding of the qualification of management's specialist used in preparing the estimate.

• • Utilizing and independent qualified person to review the technical report associated with the Crocodile River Mine.

• • Assessing the recoverable amount of the Kennedy's Vale and Spitzkop PGM Projects by comparing managements estimate to implied resource multiples.

• • Testing the completeness and accuracy of underlying data and significant assumptions of the DCF, including evaluating the consistency with external market and industry data for future commodity prices and foreign exchange rates, recent actual mine production results, and capital expenditures and operating costs.

Other Information

Management is responsible for the other information. The other information obtained at the date of this auditor's report includes Management's Discussion and Analysis.

Our opinion on the consolidated financial statements does not cover the other information and we do not express any form of assurance conclusion thereon.

In connection with our audit of the consolidated financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the consolidated financial statements or our knowledge obtained in the audit, or otherwise appears to be materially misstated.

We obtained Management's Discussion and Analysis prior to the date of this auditor's report. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard.

Responsibilities of Management and Those Charged with Governance for the Consolidated Financial Statements

Management is responsible for the preparation and fair presentation of the consolidated financial statements in accordance with IFRS Accounting Standards, and for such internal control as management determines is necessary to enable the preparation of consolidated financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the consolidated financial statements, management is responsible for assessing the Company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless management either intends to liquidate the Company or to cease operations, or has no realistic alternative but to do so.

Those charged with governance are responsible for overseeing the Company's financial reporting process.

Auditor's Responsibilities for the Audit of the Consolidated Financial Statements

Our objectives are to obtain reasonable assurance about whether the consolidated financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor's report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with Canadian generally accepted auditing standards will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these consolidated financial statements.

As part of an audit in accordance with Canadian generally accepted auditing standards, we exercise professional judgment and maintain professional skepticism throughout the audit. We also:

• • Identify and assess the risks of material misstatement of the consolidated financial statements, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control.

• • Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the Company's internal control.

• • Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by management.

• • Conclude on the appropriateness of management's use of the going concern basis of accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the Company's ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our auditor's report to the related disclosures in the consolidated financial statements or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of our auditor's report. However, future events or conditions may cause the Company to cease to continue as a going concern.

• • Evaluate the overall presentation, structure and content of the consolidated financial statements, including the disclosures, and whether the consolidated financial statements represent the underlying transactions and events in a manner that achieves fair presentation.

• • Obtain sufficient appropriate audit evidence regarding the financial information of the entities or business activities within the Company to express an opinion on the consolidated financial statements. We are responsible for the direction, supervision and performance of the group audit. We remain solely responsible for our audit opinion.

We communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit.

We also provide those charged with governance with a statement that we have complied with relevant ethical requirements regarding independence, and to communicate with them all relationships and other matters that may reasonably be thought to bear on our independence, and where applicable, related safeguards.

From the matters communicated with those charged with governance, we determine those matters that were of most significance in the audit of the consolidated financial statements of the current year and are therefore the key audit matters. We describe these matters in our auditor's report unless law or regulation precludes public disclosure about the matter or when, in extremely rare circumstances, we determine that a matter should not be communicated in our report because the adverse consequences of doing so would reasonably be expected to outweigh the public interest benefits of such communication.

The engagement partner on the audit resulting in this independent auditor's report is Zachary Faure.

Vancouver, Canada

Chartered Professional Accountants

March 28, 2025

Consolidated statements of (loss) income

(Expressed in thousands of U.S. dollars, except for per share amounts)

Revenue Production costs

Production costs - depreciation Mine operating income Expenses

General and administrative

Adjustments for expected credit loss on trade receivables

Site services

Care and maintenance Pre-production costs

Operating (loss) income Other (expenses) income

Interest income

Other income Finance costs

Foreign exchange loss

(Loss) income before income taxes Income tax expense

Net (loss) income for the year

Net (loss) income attributable to:

Non-controlling interest

Equity shareholders of the Company Net (loss) income for the year

$

(Loss) earnings per share

Basic and diluted

Weighted average number of common shares outstanding ('000s)

Basic

Diluted

Year ended December 31,

Note

2024

22

$

62,507

$

(57,068)

(4,616)

823

3,024

(1,783)

8,1421,451

60

2,706(12,717)

1,3061,335

8

(515)(2,124)(12,715)

9

(68)(12,783)

(6)(12,777)

(12,783)

$

23

$

(0.06)

$

202,142202,142

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

"Xin (Alex) Guan"

Xin (Alex) Guan, Director

106,944

2023

(69,225) (6,155) 31,564

2,911

232 4,091 3,702

2,087 18,541

1,177 1,954

(5,265) (2,615) 13,792

(43) 13,749

(10) 13,759

13,749

0.08

178,903 179,026

"Lisa Ng"

Lisa Ng, Director

Consolidated statements of comprehensive (loss) income

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

Consolidated statements of financial position

As at

December 31,

Assets Current assets Cash and cash equivalents Short-term investments

Note

Trade and other receivables 12

Inventories 11

Total current assets

Non-current assets

Restricted cash Property, plant and equipment Other assets

Total assets

Liabilities Current liabilities Trade and other payables Draw on finance facility Deferred revenue Lease liabilities Contracts payable Total current liabilities Non-current liabilities

Lease liabilities

Provision for environmental rehabilitation Deferred tax liabilities

Total liabilities

2024

As at December 31, 2023

$

3,126 -

$

18,131 3,218

27,2829,67040,078

27,657 4,530 53,536

35

43

6 13

110,7566,807

100,757 6,434

$

157,676

$

160,770

$

8,877

$

5,740

20(d)(ii) 14,22

2,508

930

14,648

8,967

17 14

1852,74078,791

482 52,921 69,040

17 15 9

414,146836

63 3,130 872

$

83,814

$

73,105

Equity Issued capital Contributed surplus

Accumulated other comprehensive loss Deficit

Total equity attributable to:

Equity shareholders of the Company Non-controlling interest

Total liabilities and equity

Nature of operations and going concern (Note 1)

Contingencies and legal proceedings (Note 21)

7

1,246,012749(323,661)(848,824)

74,276

(414)73,862

$

157,676

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

1,245,951 1,103 (322,196) (836,775)

88,083

(418) 87,665

$

160,770

Eastern Platinum Limited

Consolidated statements of changes in equity

(Expressed in thousands of U.S. dollars)