Q3 consolidated financial statements (q3 fs 2025 final)

For the nine months ended September 30, 2025 and 2024

(unaudited)

(in United States dollars)

CONDENSED INTERIM CONSOLIDATED STATEMENTS OF FINANCIAL POSITION 2

CONDENSED INTERIM CONSOLIDATED STATEMENTS OF

COMPREHENSIVE INCOME 3

CONDENSED INTERIM CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY 4

CONDENSED INTERIM CONSOLIDATED STATEMENTS OF CASH FLOWS 5

NOTES TO THE CONDENSED INTERIM CONSOLIDATED FINANCIAL STATEMENTS 6-25

As at September 30, 2025 and December 31, 2024

2

For the three and nine months ended September 30, 2025 and 2024

Three-month period Nine-month period

ended September 30 ended September 30

For the nine months ended September 30, 2025 and 2024

Attributable to owners of Geodrill Limited Share-based

Non-

For the nine months ended September 30, 2025 and 2024

1. GENERAL INFORMATION

   Geodrill Limited (the "Company" or "Geodrill") is a company registered and domiciled in the Isle of Man. The address of the Company's registered office is Ragnall House, 18 Peel Road, Douglas, Isle of Man, IM1 4LZ. The unaudited condensed interim consolidated financial statements of the Company for the periods ended September 30, 2025 and 2024 comprise the interim financial statements of the Company and its wholly owned subsidiaries, Geodrill Ghana Ltd, Geodrill Mauritius Limited, Geodrill Cote d'Ivoire SARL, Drilling Services Malta Limited, Vannin Resources, Unipessoal Limitada, Geodrill Sondagens LTDA, Silver Back Egypt for Mining and Drilling Services S.A.E., Geodrill for Leasing and Specialized Services Freezone LLC, Geodrill Leasing Company Limited, Geodrill Senegal SARL, Company AL-TANQIB AL-MUTAKHIS For Mining LLC, Geodrill Zambia Limited being Geodrill Limited's registered foreign Zambian operating entity, Geodrill BF being Geodrill Cote d'Ivoire SARL's registered foreign Burkina Faso operating entity, Geodrill Mali being Geodrill Cote d'Ivoire SARL's registered foreign Mali operating entity, Geodrill Mauritius Egypt Branch Limited being Geodrill Mauritius Limited's registered foreign Egypt operating entity, Recon Drilling S.A.C. of which the Company owns a 95% shareholding, Recon Drilling Chile SPA of which the Company owns a 95% shareholding and Geo-Drill SARL of which the Company owns a 95% shareholding, GTS Drilling Ltd a company under common control, collectively referred to as the "Group".

   The Group is primarily a provider of mineral exploration drilling services. These unaudited condensed interim consolidated financial statements were approved and authorized for issuance by the Board of Directors of Geodrill on November 12, 2025.

2. BASIS OF PREPARATION
   1. Statement of compliance

      These unaudited condensed interim consolidated financial statements for the three months ended September 30, 2025 have been prepared in accordance with IAS 34, Interim Financial Reporting, on a basis consistent with the accounting policies as presented in Note 2 disclosed in the Company's audited consolidated financial statements for the year ended December 31, 2024. Certain information and footnote disclosure normally included in annual financial statements prepared in accordance with IFRS Accounting Standards as issued by the International Accounting Standards Board ("IFRS") has been omitted or condensed. The accounting policies applied in these unaudited condensed interim consolidated financial statements are consistent with those applied in the preparation of, and disclosed in, the consolidated annual financial statements for the year ended December 31, 2024.

   2. Basis of measurement

      The unaudited condensed interim consolidated financial statements are prepared on the historical cost basis except where otherwise stated.

   3. Functional and presentation currency

      The unaudited condensed interim consolidated financial statements are presented in United States dollars which is the Group's functional and presentation currency.

      1. BASIS OF PREPARATION (CONTINUED)
   4. Critical accounting estimates and judgments

      In preparing these unaudited condensed interim consolidated financial statements, the significant judgments made by management in applying the Group's accounting policies and the key sources of estimation uncertainty were the same as those that applied to the consolidated financial statements as at and for the year ended December 31, 2024.

   5. Trade receivables

Trade receivables are initially stated at their fair value. The carrying amounts for accounts receivable are net of allowances for doubtful accounts, which represent management's estimate of lifetime expected credit losses ("ECL"). The Group uses the simplified approach to recognizing ECLs for its trade receivables that do not have a significant financing component. The expected credit losses on these financial assets are estimated using a provision matrix based on the Group's historical credit loss experience applied to the aging of receivables, adjusted for factors that are specific to the debtors, general economic conditions and an assessment of both the current as well as the forecast direction of conditions at each reporting date.

1. MATERIAL ACCOUNTING POLICIES AND CRITICAL ESTIMATES AND JUDGEMENTS

   These unaudited condensed interim consolidated financial statements have been prepared using the same accounting policies and methods of computation as the annual consolidated financial statements of the Group as at and for the year ended December 31, 2024.

   Critical estimates and judgements applicable to these financial statements remain consistent with those disclosed in the annual consolidated financial statements of the Group as at and for the year ended December 31, 2024.

   Trade receivables are initially recorded at fair value. The carrying amounts for trade accounts receivable are net of lifetime expected credit losses ("ECL"). The measurement of the ECL allowance for trade accounts receivable requires the use of management judgment in choosing estimation techniques, selecting key inputs and making significant assumptions about future economic conditions and credit behavior of the customers, including the likelihood of customers defaulting and the resulting losses.

   Management uses a provision matrix to determine the ECL for trade receivables. The provision matrix is used to estimate future credit losses based on the Group's historical credit loss experience. The ECL determined by the provision matrix is adjusted for current and forward-looking information relating to future economic conditions and factors specific to individual debtors that were identified to be at higher risk of default. Significant judgements are made in determining the adjustments for these factors. There are large aged trade receivable balances for which judgement is required to determine the measurement of the impairment provision at the reporting date.

2. DETERMINATION OF FAIR VALUES

   A number of the Group's accounting policies and disclosures require the determination of fair value, for both financial and non-financial assets and liabilities. Where applicable, further information about the assumptions made in determining fair values is disclosed in the notes specific to that asset or liability.

   The following sets out the Group's basis of determining fair values of:

   1. Trade and other receivables

      The fair value of trade and other receivables approximates their carrying value due to their short term nature.

   2. Cash

      Cash consists of cash at bank and cash on hand. The fair value of cash approximates its carrying values due to its short term nature.

   3. Trade and other payables

      The fair value of trade and other payables approximates their carrying values, due to their short term nature.

   4. Loans payable

      The fair value of the loans payable approximates their carrying value.

   5. Share-based payment transactions

      The fair value of stock options is measured using the Black-Scholes model. Measurement inputs include the share price on the measurement date, exercise price of the instrument, expected volatility, expected term of the instruments (based on historical experience and general option holder behavior), expected dividends, expected forfeiture rates and the risk-free interest rate (based on government bonds). Service and non-market performance conditions attached to the transactions are not taken into account in determining fair values.

   6. Financial assets held at fair value through profit and loss

      Financial assets held at fair value through profit and loss consist of listed equity securities and their fair value is measured using quoted market prices.

3. SEGMENT REPORTING

   The primary format of operating segments is based on the Group's management and internal reporting structure, which is submitted to the Chief Executive Officer (CEO) who is the Chief Operating Decision Maker. Due to the integrated nature of the Group's operations and re-deployment of drill rigs within Africa, the Group maintains only one operating segment. The Group has operations in South America, however, this is not material to the Group's operations and therefore not considered to be a reportable segment.

   For the three months ended September 30, 2025, three customers individually contributed 10% or more to the Group's revenue. One customer contributed 15%, one customer contributed 11% and one customer contributed 10%.

   For the three months ended September 30, 2024, three customers individually contributed 10% or more to

   the Group's revenue. One customer contributed 17% and two customers contributed 11%.

   For the nine months ended September 30, 2025, one customer individually contributed 10% or more to the

   Group's revenue and that customer contributed 20%.

   For the nine months ended September 30, 2024, three customers individually contributed 10% or more to the Group's revenue. One customer contributed 17%, one customer contributed 16% and one customer contributed 12%.

4. EXPENSES BY NATURE

   The Group presents certain expenses in the Condensed Interim Consolidated Statements of Comprehensive Income by function. The following table presents those expenses by nature:

   Three month period Nine month period

   ended September 30, ended September 30,

   	2025 US$	2024 US$	2025 US$	2024 US$
   Expenses Wages and employee benefits	15,974,293	11,197,930	48,036,796	35,257,225
   Drill rig expenses	10,721,113	8,368,269	35,368,261	26,880,347
   External services, contractors and others	9,247,976	5,630,771	24,188,568	17,895,554
   Depreciation	3,997,798	3,054,619	12,931,622	9,370,244
   Repairs and maintenance	1,488,648	1,366,118	4,114,598	4,207,816
   	41,429,828	29,617,707	124,639,845	93,611,186

   Three month period Nine month period

   ended September 30, ended September 30,

   	2025 US$	2024 US$	2025 US$	2024 US$
   Cost of sales	36,606,619	25,740,107	110,207,937	81,418,108
   Selling, general and administrative expenses	4,823,209	3,877,600	14,431,908	12,193,078
   	41,429,828	29,617,707	124,639,845	93,611,186

5. TAXATION

1. Income tax expense

   Three month period Nine month period

   ended September 30, ended September 30,

   2025 2024 2025 2024

   US$ US$ US$ US$

   Current tax expense (iii) 2,747,102 2,560,431 8,535,924 6,083,482

   Deferred tax (recovery) / expense (iv) (1,288,508) (848,790) 65,416 (810,956)

   1,458,594 1,711,641 8,601,340 5,272,526

2. Taxes payable

   Payments

   Balance at during the Charge for Balance at Jan. 1 period the period September 30, US$ US$ US$ US$

   2025 3,755,387 (6,952,021) 8,535,924 5,339,290

   2024 175,401 (2,922,199) 6,083,482 3,336,684

3. Reconciliation of effective tax rate

   Three month period Nine month period ended September 30, ended September 30,

   	2025 US$	2024 US$	2025 US$	2024 US$
   Income before tax	(48,843)	4,322,522	17,994,065	14,835,232
   Corporate tax at 25%	(12,211)	1,080,631	4,498,516	3,708,808
   Add:
   Effect of different rate tax countries	557,271	(390,034)	1,249,659	(1,158,684)
   Adjustments for current tax of prior years	250,509	-	250,509	-
   Deferred tax liability on undistributed profits of subsidiaries	(1,000,000)	(600,000)	75,000	175,000
   Tax effect of amounts that are not deductible in calculating taxable income	(44,833)	175,628	463,627	313,153
   Tax expense before withholding tax	(249,264)	266,225	6,537,311	3,038,277
   Add:	510.3%	6.2%	36.3%	20.5%
   Withholding tax	1,707,858	1,445,416	2,064,029	2,234,249
   Total tax expense	1,458,594	1,711,641	8,601,340	5,272,526
   Effective tax rate	(2,986.3)%	39.6%	47.8%	35.5%

   1. TAXATION (CONTINUED)
4. Deferred tax liability

   	September 30, 2025 US$	December 31, 2024 US$
   Balance at January 1	(1,837,104)	(1,619,574)
   Charge for the period	(65,416)	(217,530)
   Balance at end of the period	(1,902,520)	(1,837,104)

5. Recognized deferred tax assets and liabilities and movement in the period

   Deferred tax assets and liabilities are attributable to the following:

   	September 30, 2025 US$	December 31, 2024 US$
   Tax losses carried forward (1)	3,630,521	2,748,972
   Deferred tax asset not recognized (2)	(3,460,748)	(2,183,322)
   Deferred tax on undistributed profits	(75,000)	(100,000)
   Property, plant and equipment	(2,222,146)	(2,509,187)
   Provision for inventory obsolescence	224,853	206,433
   Total	(1,902,520)	(1,837,104)

   (1)The Group has tax losses in numerous jurisdictions that are available for the years December 31, 2025 through December 31, 2029.

   (2)Deferred tax assets in numerous jurisdictions have not been recognized in the financial statements because it is not probable that future taxable profit will be available against which the Group can utilize the related tax benefits. Deferred tax assets have been recognized where it is considered probable that the Group will generate sufficient future taxable income to utilize the related tax benefits.

6. Tax, Customs and Transfer Pricing audits

The Group has received a formal notice of recovery from a tax authority in one jurisdiction for tax amounts owing for the years 2022 to 2024. The notice of recovery is for missing payments in the amount of CFA4,714,639,248 (US$8.44M) with an additional amount of penalties of CFA4,714,639,248 (US$8.44M) amounting to a total amount of CFA9,429,278,496 (US$16.9M). The Group has obtained all of the remittance certificates from the tax authority's tax platform indicating that the missing payments have been remitted. As at the date of these financial statements, the Group has formally objected to the notice of recovery and is in discussions with the tax authorities and the Ministere des Finances. Based on the information obtained to date, management believes that its position is defensible and will continue to evaluate additional information as it becomes available on the matter.

Management believes for all other matters that the ultimate amount of liability, if any, for any pending assessments (either alone or combined) would not materially affect the Group's operations, liquidity or financial position taken as a whole. However, the ultimate outcome of these audits is uncertain.

(1) Drill rigs include drill rigs components and rebuilds which are depreciated at the appropriate rates in accordance with the Group's accounting policies.

1. PROPERTY, PLANT AND EQUIPMENT (CONTINUED)

2024 Capital Work in

(1) Drill rigs include drill rigs components and rebuilds which are depreciated at the appropriate rates in accordance with the Group's accounting policies.

1. PROPERTY, PLANT AND EQUIPMENT (CONTINUED)

   Depreciation has been charged in comprehensive income as follows:

   Three month period Nine month period

   ended September 30, ended September 30,

   	2025 US$	2024 US$	2025 US$	2024 US$
   Cost of sales	3,578,790	2,695,269	11,635,062	8,341,497
   Selling, general and administrative expenses	198,378	193,199	595,380	557,272
   	3,777,168	2,888,468	12,230,442	8,898,769

   As at September 30, 2025, property, plant and equipment with a carrying amount of US$31,802,576 (December 31, 2024: US$23,649,178) have been pledged as security for certain loans (Note 14).

2. RIGHT-OF-USE ASSETS

   	September 30, 2025 US$	December 31, 2024 US$
   Cost
   Balance at January 1,	2,014,710	3,085,878
   Additions	659,305	1,339,897
   Disposals	(77,527)	(2,411,065)
   Balance at the end of the period	2,596,488	2,014,710
   Accumulated Depreciation
   Balance at January 1,	703,313	2,379,358
   Charge for the period	701,180	702,208
   Assets expired in the period	(77,527)	(2,378,253)
   Balance at the end of the period	1,326,966	703,313
   Carrying amounts at the end of the period	1,269,522	1,311,397

   The amount of depreciation recognized as an expense in the three and nine months ended September 30, 2025 was US$220,630 and US$701,180 respectively (three and nine months ended September 30, 2024 was US$166,151 and US$471,475 respectively).

3. FINANCIAL ASSETS AT FAIR VALUE THROUGH PROFIT OR LOSS

   The Group classifies listed equity investments that are held for trading as financial assets at fair value through profit or loss (FVTPL). Movements are shown in the table below:

   September 30, 2025 December 31, 2024

   US$ US$

   Balance at January 1, 6,469,704 174,631

   Additions 49,953 9,208,881

   Disposals (5,838,712) (497,803)

   Gain / (loss) through profit and loss 3,899,614 (2,416,005)

   Balance at end of the period 4,580,559 6,469,704

4. INVENTORIES

   September 30, 2025 December 31, 2024

   US$ US$

   Inventories on hand 36,998,230 36,699,827

   Inventories in transit 810,032 1,389,296

   Provision for obsolescence (1,908,768) (1,401,989)

   35,899,494 36,687,134

   The amount of inventories recognized as expense in the three and nine months ended September 30, 2025 is US$12,621,868 and US$40,512,291, respectively (three and nine months ended September 30, 2024 is US$9,899,843 and US$31,437,832, respectively).

   As at September 30, 2025, inventories with a carrying amount of US$16,000,000 (December 31, 2024: US$10,500,000) have been pledged as security for certain loans (Note 14).

5. TRADE AND OTHER RECEIVABLES

As at September 30, 2025, trade receivables with a carrying amount of US$12,806,714 (December 31, 2024: US$11,349,811) have been pledged as security for certain loans (Note 14).

Credit risk is the risk of financial loss to the Group if a customer fails to meet its contractual obligations. The Group's customers are given 30 to 60 day credit periods for services rendered. Certain customers take longer than 60 days to settle their accounts.

The Group provides for expected credit losses for trade receivables based on the aging of trade receivables as described in Notes 2 and 3. As at September 30, 2025, an amount of US$5.3M or 16% of the trade accounts receivable are aged over 90 days. As at September 30, 2025 the Group has approximately US$2.0M in provisions against its greater than 90 day category of trade receivables.

As at September 30, 2025, the aging of the trade receivable balances aged over 90 days has increased from December 31, 2024 as follows:

September 30, 2025 December 31, 2024

The movements in the expected lifetime credit losses is as follows:

September 30, 2025 December 31, 2024

US$ US$

Balance at January 1 1,901,540 5,481,683 Movement in expected lifetime credit losses in the period 126,571 (3,580,143) Balance at end of period 2,028,111 1,901,540

During the nine months ended September 30, 2025, the Group recovered US$55,628 in bad debts previously written off, resulting in an expected lifetime credit loss in the statement of comprehensive income of US$70,943.

1. LOANS PAYABLE

   September 30, 2025 December 31, 2024

   US$ US$

   US$10M Revolving Line of Credit (i) 4,000,000 6,000,000

   US$7.5M Medium Term Loan (ii) 5,250,000 2,250,000

   Equipment Loan (iii) 1,228,858 1,657,099

   US$9.5M Medium Term Loan (iv) - -

   US$4.0M Medium Term Loan (v) - 333,333 Total 10,478,858 10,240,432

   Current portion of loans 8,115,800 7,910,585

   Non-current portion of loans 2,363,058 2,329,847

   1. US$10.0M Revolving Line of Credit

      The Group has a US$10.0M Revolving Line of Credit (the "US$10.0M Revolving Line of Credit") with Ecobank Ghana Limited until December 31, 2025. Interest is repayable monthly and principal is repayable one year after drawdown. The US$10.0M Revolving Line of Credit bears interest at the applicable 3 months Secured Overnight Financing Rate (SOFR) plus a margin of 3.91% per annum on any utilized portion and is subject to periodic review in line with market conditions. The US$10.0M Revolving Line of Credit is secured by certain assets of the Group (Note 8, Note 11 and Note 12). The US$10.0M Revolving Line of Credit may be repaid prior to maturity by the Group without penalty or other costs other than interest accrued to the date of such repayment. The US$10.0M Revolving Line of Credit is subject to, and as at September 30, 2025, the Group was in compliance with normal course covenants. As at September 30, 2025, the Group has outstanding US$4.0M on the US$10.0M Revolving Line of Credit leaving US$6.0M still available for drawdown.

   2. US$7.5M Medium Term Loan

      The Group has a US$7.5M Medium Term Loan (the "US$7.5M Medium Term Loan") with Ecobank Ghana Limited until December 31, 2025. Multiple drawings are permitted under the US$7.5M Medium Term Loan and principal amounts are repayable quarterly over twelve quarters whereas interest is repayable monthly. The US$7.5M Medium Term Loan bears interest at the applicable 3 months Secured Overnight Financing Rate (SOFR) plus a margin of 3.91% per annum on any utilized portion and is subject to periodic review in line with market conditions. Any unutilized amounts after six months from January 1, 2025 bear a commitment fee of 0.15% per annum. The US$7.5M Medium Term Loan is secured by certain assets of the Group (Note 8, Note 11 and Note 12). The US$7.5M Medium Term Loan may be repaid prior to maturity by the Group subject to a 5% penalty on principal and interest accrued to the date of such repayment. The effective interest rate of the US$7.5M Medium Term Loan is 9.5%. The US$7.5M Medium Term Loan is subject to, and as at September 30, 2025, the Group was in compliance with normal course covenants. As at September 30, 2025, the Group had drawn US$7.5M on the US$7.5M Medium Term Loan.

   3. Equipment Loan

      The Group has a Term Loan Facility Agreement ("Equipment Loan") with Sandvik Financial Services AB (PUBL) ("Sandvik") for up to US$2.0M relating to the purchase of a drill rig. The Equipment Loan requires the repayment of the loan over a period of 36 months with payments being made monthly. The Equipment Loan bears interest at 8.7% per annum, includes an arrangement fee and stipulates that final title to the rig will only pass once all payments have been made. All other risks and rewards of ownership lie with the Group. The effective interest rate of the Equipment Loan is 8.9%.

      1. LOANS PAYABLE (CONTINUED)
   4. US$9.5M Medium Term Loan

      The Group has a US$9.5M Medium Term Loan (the "US$9.5M Medium Term Loan") with Ecobank Ghana Limited until December 31, 2025. Multiple drawings are permitted under the US$9.5M Medium Term Loan and principal amounts are repayable quarterly over twelve quarters whereas interest is repayable monthly. The US$9.5M Medium Term Loan bears interest at the applicable 3 months Secured Overnight Financing Rate (SOFR) plus a margin of 3.91% per annum on any utilized portion and is subject to periodic review in line with market conditions. The US$9.5M Medium Term Loan is secured by certain assets of the Group (Note 8, Note 11 and Note 12). The US$9.5M Medium Term Loan may be repaid prior to maturity by the Group subject to a 5% penalty on principal and interest accrued to the date of such repayment. The effective interest rate of the US$9.5M Medium Term Loan is 8.8%. The US$9.5M Medium Term Loan is subject to, and as at September 30, 2025, the Group was in compliance with normal course covenants. As at September 30, 2025, the Group had not yet drawn on the US$9.5M Medium Term Loan leaving US$9.5M still available for drawdown.

   5. US$4.0M Medium Term Loan

The Group had a US$4.0M Medium Term Loan (the "US$4.0M Medium Term Loan") with Ecobank Ghana Limited until May 31, 2025. No further drawings were permitted under the US$4.0M Medium Term Loan and principal amounts were repayable quarterly over twelve quarters whereas interest was repayable monthly. The US$4.0M Medium Term Loan bore interest at the applicable 3 months Secured Overnight Financing Rate (SOFR) plus a margin of 3.91% per annum and was subject to periodic review in line with market conditions. The US$4.0M Medium Term Loan was secured by certain assets of the Group (Note 8, Note 11 and Note 12). The US$4.0M Medium Term Loan could have been repaid prior to maturity by the Group without penalty or other costs other than interest accrued to the date of such repayment. The effective interest rate of the US$4.0M Medium Term Loan was 8.3%. The US$4.0M Medium Term Loan was subject to normal course covenants. As at September 30, 2025, the Group had fully repaid the US$4.0M Medium Term Loan.

1. TRADE AND OTHER PAYABLES

   September 30, 2025 December 31, 2024

   US$ US$

   Trade payables 12,243,764 11,794,864

   Other creditors and accrued expenses 15,414,173 11,531,653

   VAT liability 2,817,248 1,686,548

   30,475,185 25,013,065

2. FAIR VALUES OF FINANCIAL INSTRUMENTS

   The carrying values of cash, trade and other receivables, trade and other payables and related party payables approximate their fair value due to the relatively short period to maturity of the instruments. The carrying value of loans payable approximates their fair value as the fixed rate loans have been acquired recently and their carrying value continues to reflect fair value. The fair value of financial assets held at fair value through profit and loss are measured using quoted market prices.

   There were no financial instruments classified as level 2 or 3 in the fair value hierarchy at September 30, 2025 and December 31, 2024.

3. RELATED PARTY TRANSACTIONS

   Related party	Relationship	Location	2025	2024
   Geodrill Mauritius Limited	Subsidiary	Mauritius	100%	100%
   Geodrill Ghana Ltd	Subsidiary	Ghana	100%	100%
   Geodrill Cote d'Ivoire SARL	Subsidiary	Cote d'Ivoire	100%	100%
   Drilling Services Malta Limited	Subsidiary	Malta	100%	100%
   Vannin Resources, Unipessoal Limitada	Subsidiary	Madeira	100%	100%
   Geodrill Sondagens LTDA	Subsidiary	Brazil	100%	100%

   Subsidiary	Egypt	100%	100%
   Subsidiary	Egypt	100%	100%

   Silver Back Egypt for Mining and Drilling Services S.A.E.

   Geodrill for Leasing and

   Specialized Services Freezone LLC Geodrill Leasing Company Limited	Subsidiary	Isle of Man	100%	100%
   Geodrill Senegal SARL	Subsidiary	Senegal	100%	100%
   Company AL-TANQIB AL-MUTAKHIS For Mining LLC	Subsidiary	Saudi Arabia	100%	100%
   Recon Drilling S.A.C.	Subsidiary	Peru	95%	95%
   Geo-Drill SARL	Subsidiary	Mali	95%	95%
   Recon Drilling Chile SPA	Subsidiary	Chile	95%	95%
   Geodrill BF	Branch	Burkina Faso	100%	100%
   Geodrill Mali	Branch	Mali	100%	100%
   Geodrill Limited Zambia	Branch	Zambia	100%	100%
   Geodrill Mauritius Limited Egypt	Branch	Egypt	100%	100%
   The Harper Family Settlement	Significant shareholder	Isle of Man	-	-
   GTS Drilling Ltd	Common Control	Ghana	-	-

   1. Transactions with related parties

      Transactions with companies within the Group have been eliminated on consolidation.

      The Harper Family Settlement owns 37.1% (December 31, 2024: 37.1%) of the issued share capital of Geodrill Limited.

      On October 1, 2024, Geodrill Ghana Ltd entered into new lease agreements with The Harper Family Settlement for the Anwiankwanta property and for the Accra property, both for a two year term and rent for the Anwiankwanta property of US$244,000 per annum and rent for the Accra property of US$99,000 per annum. The material terms of the two year lease agreements include: (i) the annual rent payable shall be reviewed on an upward only basis on or before October 1, 2026; and (ii) only Geodrill Ghana Ltd can terminate the leases by giving twelve months' notice. It was also agreed that all future rent increases will be based on USA inflation data.

      For the period ending September 30, 2025, the right-of-use assets relating to the properties above was US$320,362 (December 31, 2024: US$554,623) and the related lease liabilities were US$333,043 (December 31, 2024: US$560,849).

      17. RELATED PARTY TRANSACTIONS (CONTINUED)
   2. Key management personnel and directors' transactions

The Group's key management personnel, and persons connected with them, are also considered to be related parties for disclosure purposes. The definition of key management includes the close members of the family of key personnel and any entity over which key management exercises control. The key management personnel have been identified as directors of the Group and other management staff. Close members of family are those family members who may be expected to influence, or be influenced by that individual in their dealings with the Group.

Key management personnel and directors' compensation for the period comprised:

Three month period Nine month period

ended September 30, ended September 30,

As at September 30, 2025, the Group had capital commitments of US$Nil (December 31, 2024: US$Nil).

1. SHARE CAPITAL AND RESERVES
   1. Share capital

      Shares have no par value and the number of authorized shares is unlimited.

      Share capital	September 30, 2025	December 31, 2024
      Shares issued and fully paid	47,163,170	47,163,170
      Shares reserved for share option plan	4,716,317	4,716,317
      Total shares issued and reserved	51,879,487	51,879,487
      Reconciliation of changes in issued shares	September 30, 2025	December 31, 2024
      Shares issued at January 1,	47,163,170	46,921,400
      Stock options exercised	-	241,770
      Shares issued at end of period	47,163,170	47,163,170

      All shares rank equally with regards to the Group's residual assets. The holders of ordinary shares are entitled to receive dividends as declared from time to time and are entitled to one vote per share at the shareholders' meetings of the Company.

      During the period ended September 30, 2025, the Company did not re-purchase nor cancel any shares under its NCIB (for the year ended December 31, 2024, the Company did not re-purchase nor cancel any shares under its NCIB).

   2. Share-based payment reserve

      The share-based payment reserve is comprised of the equity portion of the share-based payment transaction as per the Company's share option plan.

      The share-based payment expense for the three and nine month period ended September 30, 2025 amounted to US$33,477 and US$633,839, respectively (September 30, 2024: US$44,942 and US$232,521, respectively) and was included in selling, general and administrative expenses in the Condensed Interim Consolidated Statements of Comprehensive Income.

   3. Retained earnings

      This represents the residual of cumulative profits of the Group. Total retained earnings of US$97,077,825 includes US$96,577,825 available for distribution to shareholders and US$500,000 of undistributable reserves.

2. (LOSS) / EARNINGS PER SHARE
   1. Basic (loss) / earnings per share

      The calculation of basic (loss) / earnings per share for the three and nine month periods ended September 30, 2025 was based on the (loss) / earnings attributable to ordinary shareholders of US$(1,356,435) (2024: US$2,680,216) and US$9,695,763 (2024: US$9,660,018), respectively and on the weighted average number of ordinary shares outstanding of 47,163,170 (2024: 47,163,170) and 47,163,170 (2024: 47,054,700), calculated as follows:

      Three month period Nine month period ended September 30, ended September 30,
      	2025 US$	2024 US$	2025 US$	2024 US$
      (Loss) / income attributable to ordinary shareholders	(1,356,435)	2,680,216	9,695,763	9,660,018
      Weighted average number of ordinary shares Three month period Nine month period ended September 30, ended September 30,
      	2025 Shares	2024 Shares	2025 Shares	2024 Shares
      Issued ordinary shares	47,163,170	47,163,170	47,163,170	47,054,700
      (Loss) / earnings per share	$(0.03)	$0.06	$0.21	$0.21

      1. (LOSS) / EARNINGS PER SHARE (CONTINUED)
   2. Diluted (loss) / earnings per share

The calculation of diluted (loss) / earnings per share for the three and nine month period ended September 30, 2025 was based on the (loss) / earnings attributable to ordinary shareholders of US$(1,356,435) (2024: US$2,680,216) and US$9,695,763 (2024: US$9,660,018), respectively and on the weighted average number of ordinary shares after adjustment for the effects of all dilutive potential ordinary shares outstanding of 48,142,403 (2024: 47,894,810) and 48,316,247 (2024: 47,409,181), respectively, calculated as follows:

Three month period Nine month period

ended September 30, ended September 30,

Weighted average number of ordinary shares - diluted

Three month period Nine month period

ended September 30, ended September 30,

1. For the three months ended September 30, 2025, 3,420,000 options in issue were dilutive but they did not have an effect on the calculation of the diluted earnings per share.

2. For the three months ended September 30, 2024, 3,000,000 options in issue were dilutive but they did not have an effect on the calculation of the diluted earnings per share.

(4) For the nine months ended September 30, 2025, 3,420,000 options in issue were dilutive and had a $0.01 effect on the calculation of the diluted earnings per share.

(4) For the nine months ended September 30, 2024, 2,220,000 options in issue were dilutive and had a $0.01 effect on the calculation of the diluted earnings per share.

1. DIVIDENDS

   No dividends were paid in 2025 or 2024, and no dividends were declared through to November 12, 2025.

2. EQUITY-SETTLED SHARE-BASED PAYMENTS Share Option Plan ("SOP")

   The Company has established a SOP, which is intended to aid in attracting, retaining and motivating the

   Group's employees, directors, consultants and advisors through the granting of stock options.

   The maximum aggregate number of Ordinary Shares reserved for issuance pursuant to the SOP shall not exceed 10% of the total number of Ordinary Shares then outstanding. The maximum number of Ordinary Shares reserved for issuance pursuant to the SOP and any other security based compensation arrangements of the Company is 10% of the total number of Ordinary Shares then outstanding.

   September 30, 2025 December 31, 2024

   	Number of shares subject to option	Weighted average exercise price	Number of shares subject to option	Weighted average exercise price
   Balance beginning, Jan. 1	3,780,000	CAD$2.13	3,275,000	CAD$2.17
   Total granted in the period	390,000	CAD$3.05	780,000	CAD$1.71
   Total cash-settled options in the period	(750,000)	CAD$1.71	-	-
   Total options exercised in the period	-	-	(225,000)	CAD$1.36
   Total equity-settled options in the period	-	-	(50,000)	CAD$1.36
   Balance ending	3,420,000	CAD$2.33	3,780,000	CAD$2.13

   The following table summarizes the options outstanding at September 30, 2025:

   Options	Exercise prices	Number of options outstanding	Weighted average remaining contractual life	Number of options exercisable
   Granted on March 15, 2021	CAD$1.94	690,000	6 mos	690,000
   Granted on May 16, 2022	CAD$2.20	780,000	1 Yr & 8 mos	780,000
   Granted on March 13, 2023	CAD$3.05	780,000	2 Yrs & 6 mos	780,000
   Granted on March 11, 2024	CAD$1.71	780,000	3 Yrs & 6 mos	520,000
   Granted on March 10, 2025	CAD$3.05	390,000	4 Yrs & 6 mos	130,000

   The fair values of options granted were calculated using the Black-Scholes option pricing model with the following assumptions:

   Granted on March 15, 2021 May 16, 2022 March 13, 2023 March 11, 2024 March 10, 2025

   Risk free interest rate	1.02%	2.73%	2.90%	3.42%	2.63%
   Expected dividend yield	1%	3%	3%	2%	1%
   Stock price volatility	40%	38%	39%	42%	37%
   Expected life of options	5 years	5 years	5 years	5 years	5 years
   Forfeiture rate	30%	30%	30%	30%	30%

   Where relevant, the expected life used in the model used to determine the accounting value attributable to the options has been adjusted based on management's best estimate of the effects of non-transferability, exercise restrictions (including the probability of meeting market conditions attached to the option), and behavioural considerations. Expected volatility is based on historical share price volatility over relevant periods.

3. CONTINGENCY

The Burkina Faso tax authority has assessed that Geodrill had a permanent establishment in Burkina Faso for the years 2016 through 2018 and that Geodrill was subject to direct taxes, penalties and interest in the amount of CFA5,232,253,593 (US$9.4M). Geodrill maintained that it did not have a permanent establishment in Burkina Faso in the years of the assessment and that it operated in Burkina Faso as a non-resident tax-payer and that its taxes were paid to the tax authorities directly from Geodrill's clients on Geodrill's behalf. In 2021, Geodrill filed its discharge for the amounts owing under the assessment with the administrative courts in Burkina Faso and in 2023, Geodrill received the ruling from the administrative court dismissing the entire assessment and was also awarded an amount of CFA1,500,000 for expenses incurred. The Burkina Faso tax authority, however, has not paid the CFA1,500,000 and has appealed the ruling. In 2023, due to security concerns, the Group wound up its operations in Burkina Faso and redeployed all of its equipment to other countries, ceasing to operate in Burkina Faso. As at November 12, 2025, the administrative courts have not responded to the appeal, nor have they set a trial date.