----

| ☐ | REGISTRATION STATEMENT PURSUANT TO SECTION 12(b) OR (g) OF THE SECURITIES EXCHANGE ACT OF 1934 |
|---------|------------------------------------------------------------------------------------------------|

| ☑ | ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
|---------|--------------------------------------------------------------------------------------|

| ☐ | TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
|---------|------------------------------------------------------------------------------------------|

| ☐ | SHELL COMPANY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
|---------|---------------------------------------------------------------------------------------------|

| JET METAL CORP.                                                                                                                                  |
|--------------------------------------------------------------------------------------------------------------------------------------------------|
| (Exact name of Registrant as specified in its charter)                                                                                           |
|  British Columbia, Canada                                                                                                                   |
| (Jurisdiction of incorporation or organization)                                                                                                  |
|  Suite 1240, 1140 West Pender Street, Vancouver, B.C. Canada V6E 4G1                                                                        |
| (Address of principal executive offices)                                                                                                         |
|  Mark J. Morabito, Phone:  (604) 681-8030, mmorabito@kingandbay.comSuite 1240, 1140 West Pender Street, Vancouver, B.C. Canada V6E 4G1 |
| (Name, Telephone, E-mail and/or Facsimile number and Address of Company Contact Person)                                                          |

| Title of each class | Name of Exchange on which registered |
|---------------------|--------------------------------------|
| Common Shares       |                                 |

| None             |
|------------------|
| (Title of Class) |

----

| None             |
|------------------|
| (Title of Class) |

| U.S. GAAP ☐ | International Financial Reporting Standards as issuedby the International Accounting Standards Board  ☑  | Other ☐ |
|-------------------|--------------------------------------------------------------------------------------------------------------------------|---------------|

----

| Part I    |                                                                         | Page   |
|-----------|------------------------------------------------------------------------------|--------|
| Item 1.   | Identity of Directors, Senior Management and Advisers                        | 4      |
| Item 2.   | Offer Statistics and Expected Timetable                                      | 4      |
| Item 3.   | Key Information                                                              | 4      |
| Item 4.   | Information on the Company                                                   | 14     |
| Item 4A.  | Unresolved Staff Comments                                                    | 26     |
| Item 5.   | Operating and Financial Review and Prospects                                 | 27     |
| Item 6.   | Directors, Senior Management and Employees                                   | 37     |
| Item 7.   | Major Shareholders and Related Party Transactions                            | 50     |
| Item 8.   | Financial Information                                                        | 51     |
| Item 9.   | The Offer and Listing                                                        | 52     |
| Item 10.  | Additional Information                                                       | 54     |
| Item 11.  | Quantitative and Qualitative Disclosures About Market Risk                   | 61     |
| Item 12.  | Description of Securities Other Than Equity Securities                       | 62     |
| Part II   |                                                                         |   |
| Item 13.  | Defaults, Dividend Arrearages and Delinquencies                              | 63     |
| Item 14.  | Material Modifications to the Rights of Security Holders and Use of Proceeds | 63     |
| Item 15.  | Controls and Procedures                                                      | 63     |
| Item 16A. | Audit Committee Financial Expert                                             | 64     |
| Item 16B. | Code of Ethics                                                               | 64     |
| Item 16C. | Principal Accountant Fees and Services                                       | 64     |
| Item 16D. | Exemptions from the Listing Standards for Audit Committees                   | 65     |
| Item 16E. | Purchases of Equity Securities by the Issuer and Affiliated Purchasers       | 65     |
| Item 16F. | Changes in Registrant's Certifying Accountant                                | 65     |
| Item 16G  | Corporate Governance                                                         | 65     |
| Item 16H  | Mine Safety Disclosure                                                       | 65     |
| Part III  |                                                                         |   |
| Item 17.  | Financial Statements                                                         | 66     |
| Item 18.  | Financial Statements                                                         | 66     |
| Item 19.  | Exhibits                                                                     | 93     |
|      | Glossary of Geological Terms                                                 | 96     |

----

| · | the risks associated with outstanding litigation, if any; |
|--------|-----------------------------------------------------------|

| · | risks associated with project development; |
|--------|--------------------------------------------|

----

| · | the need for additional financing; |
|--------|------------------------------------|

| · | operational risks associated with mining and mineral processing, including risks related to accidents, equipment breakdowns, labor disputes or other unanticipated difficulties with or interruptions in operations which may or may not be insured; |
|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| · | fluctuations in metal prices; |
|--------|-------------------------------|

| · | title matters; |
|--------|----------------|

| · | environmental liability claims and insurance; |
|--------|-----------------------------------------------|

| · | reliance on key personnel; |
|--------|----------------------------|

| · | the receipt of necessary regulatory approvals; |
|--------|------------------------------------------------|

| · | the potential for conflicts of interest among certain officers, directors or promoters with certain other projects; |
|--------|---------------------------------------------------------------------------------------------------------------------|

| · | the absence of dividends; |
|--------|---------------------------|

| · | currency fluctuations; |
|--------|------------------------|

| · | competition; |
|--------|--------------|

| · | dilution; |
|--------|-----------|

| · | the volatility of our common share price and volume; |
|--------|------------------------------------------------------|

| · | tax consequences to U.S. shareholders; |
|--------|----------------------------------------|

| · | risks related to our being subject to the penny stock rules; |
|--------|--------------------------------------------------------------|

| · | risks related to our being a foreign private issuer; and |
|--------|----------------------------------------------------------|

| · | risks related to our possibly being a passive foreign investment company. |
|--------|---------------------------------------------------------------------------|

----

----

----

|                                        |   | For the Year Ended April 30, |       |
|---------------------------------------------|--------|------------------------------|------------|
|                                        |   | 2016                         |       |   | 2015 |   |   | 2014 |   |   | 2013 |   |   | 2012 |   |
|                                        |   | IFRS 1                       |       |   | IFRS 1 |   |   | IFRS 1 |   |   | IFRS 1 |   |   | IFRS 1 |   |
| Revenue                                |   |                         | --         |   |   |   | -- |   |   |   | -- |   |   |   | -- |   |   |   | -- |   |
| Income (Loss) for the Period                |   | $                            | (3,118,609 | ) |   | $ | (357,729 | ) |   | $ | (3,967,283 | ) |   | $ | (11,674,061 | ) |   | $ | (11,977,829 | ) |
| Basic and Diluted Income (Loss)Per Share2 3 |   | $                            | (0.11      | ) |   | $ | (0.02 | ) |   | $ | (0.60 | ) |   | $ | (0.18 | ) |   | $ | (0.24 | ) |
| Dividends Per Share                    |   |                         | --         |   |   |   | -- |   |   |   | -- |   |   |   | -- |   |   |   | -- |   |
| Weighted Average Shares (#)2 3              |   |                         | 28,218,451 |   |   |   | 19,659,075 |   |   |   | 6,578,035 |   |   |   | 65,782,178 |   |   |   | 50,377,698 |   |
| Period-end Shares (#)2 3               |   |                         | 28,218,451 |   |   |   | 28,218,451 |   |   |   | 6,578,035 |   |   |   | 65,782,178 |   |   |   | 65,782,178 |   |
| Working Capital (Deficit)              |   | $                            | 1,380,210  |   |   | $ | 2,099,399 |   |   | $ | (716,619 | ) |   | $ | 94,253 |   |   | $ | 5,466,961 |   |
| Exploration and Evaluation Assets           |   |                         | --         |   |   | $ | 2,509,791 |   |   | $ | 2,509,791 |   |   | $ | 5,670,409 |   |   | $ | 11,592,105 |   |
| Long-Term Debt                         |   | $                            | 20,807     |   |   | $ | 227,617 |   |   | $ | 19,267 |   |   | $ | 37,161 |   |   | $ | 558,742 |   |
| Capital Stock                          |   | $                            | 90,663,999 |   |   | $ | 90,663,999 |   |   | $ | 87,411,032 |   |   | $ | 87,411,032 |   |   | $ | 87,457,513 |   |
| Shareholders' Equity                   |   | $                            | 1,669,819  |   |   | $ | 4,788,428 |   |   | $ | 1,893,190 |   |   | $ | 5,905,723 |   |   | $ | 16,999,901 |   |
| For the Year Ended April 30,                |   | $2,145,557`                  |       |   | $ | 5,325,176 |   |   | $ | 2,801,407 |   |   | $ | 6,635,616 |   |   | $ | 17,997,243 |   |

----

| 1 | The financial information for years ended April 30, 2016, 2015, 2014, 2013 and 2012 are prepared using the International Financial Reporting Standards ("IFRS"). The Company's transition date was May 1, 2010.  The cumulative net loss under IFRS at April 30, 2016 is approximately $110 million. |
|---|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 2 | Under IFRS, basic loss per share is calculated using the weighted average number of common shares outstanding during the year. |
|---|--------------------------------------------------------------------------------------------------------------------------------|

| 3 | On October 28, 2010, the common shares of the Company were consolidated on the basis of four pre-consolidation shares for one post-consolidation share.  The numbers presented for fiscal 2013, 2012 and 2011 are presented on the four to one post-consolidated basis.  On September 17, 2013, the common shares of the Company were further consolidated on a ten pre-consolidation shares for one post-consolidation share.  The numbers presented for fiscal 2016, 2015 and 2014 are presented on the ten to one post-consolidation basis. |
|---|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| Period                                 |        | High (1) | Low (1) |
|----------------------------------------|-------------|----------|---------|
|                                   |        |     |    |
| July 2016                         |        | 1.3225   | 1.2844  |
| June 2016                         |        | 1.3091   | 1.2645  |
| May 2016                          |        | 1.3136   | 1.2548  |
| April 2016                        |        | 1.3170   | 1.2544  |
| March 2016                        |        | 1.3468   | 1.2962  |
| February 2016                     |        | 1.4040   | 1.3523  |
|                                   |        |     |    |
|                                   | Average (2) |     |    |
| Fiscal year ended April 30, 2016  | 1.3162      |     |    |
| Fiscal year ended April 30, 2015  | 1.1570      |     |    |
| Fiscal year ended April 30, 2014  | 1.0602      |     |    |
| Fiscal year ended April 30, 2013  | 1.0054      |     |    |
| Fiscal year ended April 30, 2012  | 0.9928      |     |    |

| (1) | Means the intra-day high/low rate during the period. |
|-----|------------------------------------------------------|

| 3.B. | Capitalization and Indebtedness |
|------|---------------------------------|

----

| 3.D. | Risk Factors |
|------|--------------|

----

----

----

----

----

----

| · | the Company may have lost opportunities that would have otherwise been available had the Amalgamation Agreement not been executed, including, without limitation, opportunities not pursued as a result of affirmative and negative covenants made by it in the Amalgamation Agreement, such as covenants affecting the conduct of its business outside the ordinary course of business; |
|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| · | the Company may be unable to obtain additional sources of financing or conclude another sale, merger or amalgamation on terms as favourable as those of the Jetlines Transaction, in a timely manner, or at all. |
|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

| a) | the U.S. court that rendered the judgment had no jurisdiction according to applicable Canadian law; |
|----|-----------------------------------------------------------------------------------------------------|

----

| b) | the judgment was subject to ordinary remedy (appeal, judicial review and any other judicial proceeding which renders the judgment not final, conclusive or enforceable under the laws of the applicable state) or not final, conclusive or enforceable under the laws of the applicable state; |
|----|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| c) | the judgment was obtained by fraud or in any manner contrary to natural justice or rendered in contravention of fundamental principles of procedure; or |
|----|---------------------------------------------------------------------------------------------------------------------------------------------------------|

| d) | a dispute between the same parties, based on the same subject matter has given rise to a judgment rendered in a Canadian court or has been decided in a third country and the judgment meets the necessary conditions for recognition in a Canadian court. |
|----|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ITEM 4. | INFORMATION ON THE COMPANY |
|---------|----------------------------|

----

----

| Fiscal Year |   | Expenditures |   |
|-------------|--------|--------------|--------|
| Fiscal 2014 |   | $            | --     | (1)  |
| Fiscal 2015 |   | $            | --     | (2)  |
| Fiscal 2016 |   | $            | --     | (3)  |

| Expense ($)             | CMB Moran Lake | CMBSilver Spruce | Bootheel Project | Golden Promise | Juniper Ridge | Other Claims |
|-------------------------|----------------|------------------|------------------|----------------|---------------|--------------|
| Acquisition costs  | --             | --               | --               | --             | --            | --           |

----

| Expense ($)             | CMB Moran Lake | CMBSilver Spruce | Bootheel Project | Golden Promise | Juniper Ridge | Other Claims |
|-------------------------|----------------|------------------|------------------|----------------|---------------|--------------|
| Acquisition costs  | --             | --               | --               | --             | --            | --           |

| Expense ($)             | CMB Moran Lake | CMBSilver Spruce | Bootheel Project | Golden Promise | Juniper Ridge | Other Claims |
|-------------------------|----------------|------------------|------------------|----------------|---------------|--------------|
| Acquisition costs  | --             | --               | --               | --             | --            | --           |

| Fiscal Year |   | Expenditures |   |
|-------------|--------|--------------|--------|
| Fiscal 2014 |   | $            | 34,225 | (1)  |
| Fiscal 2015 |   | $            | 21,481 | (2)  |
| Fiscal 2016 |   | $            | 50,857 | (3)  |

| (1) | These funds were spent as outlined below: |
|-----|-------------------------------------------|

| Expense ($)                |   | CMB Moran Lake |   |   | CMBSilver Spruce |   |   | Bootheel Project |   |   | Golden Promise |   |   | Juniper Ridge |   |   | Other Claims |   |
|----------------------------|--------|----------------|--------|--------|------------------|--------|--------|------------------|--------|--------|----------------|--------|--------|---------------|--------|--------|--------------|--------|
| Drilling and trenching     |   | $              | --     |   |             | $      | --     |             |   | $      | --             |   |   | $             | --     |   |         | $      | -- |   |   | $ | -- |   |
| Geology               |   |           | --     |   |             |   | --     |             |   |   | --             |   |   |          | --     |   |         |   | -- |   |   |   | -- |   |
| Geophysics            |   |           | --     |   |             |   | --     |             |   |   | --             |   |   |          | --     |   |         |   | -- |   |   |   | -- |   |
| Geochemistry               |   |           | --     |   |             |   | --     |             |   |   | --             |   |   |          | --     |   |         |   | -- |   |   |   | -- |   |
| Metallurgy                 |   |           | --     |   |             |   | --     |             |   |   | --             |   |   |          | --     |   |         |   | -- |   |   |   | -- |   |
| Administration        |   |           | 560    |   |             |   | --     |             |   |   | 34,673         |   |   |          | --     |   |         |   | (392 | ) |   |   | -- |   |
| Permitting            |   |           | --     |   |             |   | --     |             |   |   | --             |   |   |          | --     |   |         |   | -- |   |   |   | 376 |   |
| Hydrology             |   |           | --     |   |             |   | --     |             |   |   | --             |   |   |          | --     |   |         |   | -- |   |   |   | -- |   |
| Technical analysis    |   |           | --     |   |             |   | --     |             |   |   | --             |   |   |          | --     |   |         |   | -- |   |   |   | -- |   |
| Reclamation Costs     |   |           | --     |   |             |   | --     |             |   |   | 10,921         |   |   |          | --     |   |         |   | -- |   |   |   | -- |   |
| Pre-acquisition cost  |   |           | --     |   |             |   | --     |             |   |   | --             |   |   |          | --     |   |         |   | -- |   |   |   | -- |   |
| JCEAP refunds         |   |           | --     |   |             |   | --     |             |   |   | --             |   |   |          | --     |   |         |   | -- |   |   |   | -- |   |
| Recovery                   |   |           | --     |   |             |   | --     |             |   |   | (11,913        | )      |   |          | --     |   |         |   | -- |   |   |   | -- |   |

----

| (2) | These funds were spent as outlined below: |
|-----|-------------------------------------------|

| Expense ($)              |   | CMB Moran Lake |   |   | CMBSilver Spruce |   |   | Bootheel Project |   |   | Golden Promise |   |   | Juniper Ridge |   |   | Other Claims |   |
|--------------------------|--------|----------------|--------|--------|------------------|--------|--------|------------------|--------|--------|----------------|--------|--------|---------------|--------|--------|--------------|--------|
| Drilling and trenching   |   | $              | --     |   |             | $      | --     |             |   | $      | --             |   |   | $             | --     |   |         | $      | -- |   |   | $ | -- |   |
| Geology             |   |           | --     |   |             |   | --     |             |   |   | --             |   |   |          | --     |   |         |   | -- |   |   |   | -- |   |
| Geophysics          |   |           | --     |   |             |   | --     |             |   |   | --             |   |   |          | --     |   |         |   | -- |   |   |   | -- |   |
| Geochemistry             |   |           | --     |   |             |   | --     |             |   |   | --             |   |   |          | --     |   |         |   | -- |   |   |   | -- |   |
| Metallurgy               |   |           | --     |   |             |   | --     |             |   |   | --             |   |   |          | --     |   |         |   | -- |   |   |   | -- |   |
| Administration      |   |           | --     |   |             |   | --     |             |   |   | 27,367         |   |   |          | --     |   |         |   | -- |   |   |   | -- |   |
| Permitting          |   |           | --     |   |             |   | --     |             |   |   | --             |   |   |          | --     |   |         |   | -- |   |   |   | -- |   |
| Hydrology           |   |           | --     |   |             |   | --     |             |   |   | --             |   |   |          | --     |   |         |   | -- |   |   |   | -- |   |
| Technical analysis  |   |           | --     |   |             |   | --     |             |   |   | 1,925          |   |   |          | --     |   |         |   | -- |   |   |   | -- |   |
| Reclamation Costs   |   |           | --     |   |             |   | --     |             |   |   | --             |   |   |          | --     |   |         |   | -- |   |   |   | -- |   |
| Pre-acquisition cost     |   |           | --     |   |             |   | --     |             |   |   | --             |   |   |          | --     |   |         |   | -- |   |   |   | -- |   |
| JCEAP refunds       |   |           | --     |   |             |   | --     |             |   |   | --             |   |   |          | --     |   |         |   | -- |   |   |   | -- |   |
| Recovery                 |   |           | --     |   |             |   | --     |             |   |   | (7,811         | )      |   |          | --     |   |         |   | -- |   |   |   | -- |   |

| (3) | These funds were spent as outlined below: |
|-----|-------------------------------------------|

| Expense ($)              |   | CMB Moran Lake |   |   | CMBSilver Spruce |   |   | Bootheel Project |   |   | Golden Promise |   |   | Juniper Ridge |   |   | Other Claims |   |
|--------------------------|--------|----------------|--------|--------|------------------|--------|--------|------------------|--------|--------|----------------|--------|--------|---------------|--------|--------|--------------|--------|
| Drilling and trenching   |   | $              | --     |   |             | $      | --     |             |   | $      | --             |   |   | $             | --     |   |         | $      | -- |   |   | $ | -- |   |
| Geology             |   |           | --     |   |             |   | --     |             |   |   | --             |   |   |          | --     |   |         |   | -- |   |   |   | -- |   |
| Geophysics          |   |           | --     |   |             |   | --     |             |   |   | --             |   |   |          | --     |   |         |   | -- |   |   |   | -- |   |
| Geochemistry             |   |           | --     |   |             |   | --     |             |   |   | --             |   |   |          | --     |   |         |   | -- |   |   |   | -- |   |
| Metallurgy               |   |           | --     |   |             |   | --     |             |   |   | --             |   |   |          | --     |   |         |   | -- |   |   |   | -- |   |
| Administration      |   |           | --     |   |             |   | 17,930 |             |   |   | 30,033         |   |   |          | --     |   |         |   | -- |   |   |   | -- |   |
| Permitting          |   |           | --     |   |             |   | --     |             |   |   | --             |   |   |          | --     |   |         |   | -- |   |   |   | -- |   |
| Hydrology           |   |           | --     |   |             |   | --     |             |   |   | --             |   |   |          | --     |   |         |   | -- |   |   |   | -- |   |
| Technical analysis  |   |           | --     |   |             |   | --     |             |   |   | 9,980          |   |   |          | --     |   |         |   | -- |   |   |   | -- |   |
| Reclamation Costs   |   |           | --     |   |             |   | --     |             |   |   | --             |   |   |          | --     |   |         |   | -- |   |   |   | -- |   |
| Pre-acquisition cost     |   |           | --     |   |             |   | --     |             |   |   | --             |   |   |          | --     |   |         |   | -- |   |   |   | -- |   |
| JCEAP refunds       |   |           | --     |   |             |   | --     |             |   |   | --             |   |   |          | --     |   |         |   | -- |   |   |   | -- |   |
| Recovery                 |   |           | --     |   |             |   | --     |             |   |   | (7,106         | )      |   |          | --     |   |         |   | -- |   |   |   | -- |   |

----

| · | CMB property located in Labrador, Canada. |
|--------|-------------------------------------------|

| · | The Bootheel Project located in Wyoming, U.S.A. |
|--------|-------------------------------------------------|

| · | the Company will complete a private placement (the "Concurrent Financing") of units ("Units") for gross proceeds of up to $6,000,000. Each Unit will consist of one common share of the Company and one half of one share purchase warrant. Each whole share purchase warrant shall be exercisable into a common share of the Company for 24 months. Subject to Exchange approval, the Company may pay commissions or finder's fees in connection with the Concurrent Financing and may appoint a broker to assist with the Concurrent Financing. The Concurrent Financing will close immediately prior to or concurrently with the Jetlines Transaction; and |
|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| · | the Jetlines Transaction will have received shareholder approval and the approval of the Exchange. Subsequent to the year ended April 30, 2016, the shareholders of the Company approved the Jetlines Transaction on July 27, 2016 and conditional approval from the Exchange was received. |
|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

| 4.C. | Organization Structure |
|------|------------------------|

| 1. | Target Exploration and Mining Corp. ("Target"), a British Columbia corporation. |
|----|---------------------------------------------------------------------------------|

| a. | Target owns all of the issued and outstanding shares in Crosshair Energy USA, Inc. (formerly 448018 Exploration Inc.), a Nevada Corporation. |
|----|----------------------------------------------------------------------------------------------------------------------------------------------|

| i. | Crosshair Energy USA, Inc. holds an 81% interest in The Bootheel Project LLC. |
|----|-------------------------------------------------------------------------------|

| 2. | Gemini Metals Corp., a British Columbia corporation. |
|----|------------------------------------------------------|

| 4.D. | Property, Plants and Equipment |
|------|--------------------------------|

----

| · | CMB Uranium Project: The Technical Report titled "Technical Report on the Central Mineral Belt (CMB) Property, Labrador Canada" dated April 16, 2015 (filed as an exhibit to our Form 6-K on April 17, 2015). |
|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| · | Bootheel Uranium Project: The Technical Report titled "Technical Report on the Bootheel Project for Jet Metal Corp. and The Bootheel Project, LLC" dated May 20, 2015 (filed as an exhibit to our Form 6-K on June 24, 2015). |
|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

----

----

----

----

| ITEM 4A. | UNRESOLVED STAFF COMMENTS |
|----------|---------------------------|

----

| · | CMB property located in Labrador, Canada |
|--------|------------------------------------------|

| · | The Bootheel Project located in Wyoming, U.S.A. |
|--------|-------------------------------------------------|

----

----

----

----

----

----

|                                                |   | April 30, 2016 |      |   | April 30, 2015 |   |      | April 30, 2014 |   |
|-----------------------------------------------------|--------|----------------|-----------|--------|----------------|--------|-----------|----------------|--------|
| Cash used in operating activities                   |   | $              | (617,330  | )      |           | $      | (405,290  | )              |   | $ | (502,716 | ) |
| Cash used in investing activities                   |   |           | (81,400   | )      |           |   | (149,690  | )              |   |   | (15,193 | ) |
| Cash provided by financing activities               |   |           | -         |   |           |   | 2,826,641 |           |   |   | - |   |
| Change in cash and cash equivalents during the year |   |           | (698,730  | )      |           |   | 2,271,661 |           |   |   | (517,909 | ) |
| Cash and cash equivalents, beginning of the year    |   |           | 2,350,202 |   |           |   | 78,541    |           |   |   | 596,450 |   |
| Cash and cash equivalents, end of the year          |   | $              | 1,651,472 |   |           | $      | 2,350,202 |           |   | $ | 78,541 |   |

----

| Asset or Liability               | Category                          | Measurement    |
|----------------------------------|-----------------------------------|----------------|
| Cash and cash equivalents        | Fair value through profit or loss | Fair value     |
| Marketable securities            | Fair value through profit or loss | Fair value     |
| Available-for-sale investment    | Available-for-sale                | Cost           |
| Other receivables                | Loans and receivables             | Amortized cost |
| Loan receivable                  | Loans and receivables             | Amortized cost |
| Reclamation bonds                | Held to maturity                  | Amortized cost |
| Payables and accrued liabilities | Other liabilities                 | Amortized cost |
| Due to related parties           | Other liabilities                 | Amortized cost |

----

----

|                       |   | Payments due by period |   |
|----------------------------|--------|------------------------|--------|
| Contractual Obligations    |   | Total                  |   |   | Less than 1 year |   |   | 1-3 years |   |   | 3-5 years |   |   | more than 5 years |   |
| Operating Lease Obligation |   | $                      | --     |   |   | $ | -- |   |   | $ | -- |   |   | $ | -- |   |   | $ | -- |   |
| Total                      |   | $                      | --     |   |   | $ | -- |   |   | $ | -- |   |   | $ | -- |   |   | $ | -- |   |

----

| ITEM 6. | DIRECTORS, SENIOR MANAGEMENT AND EMPLOYEES |
|---------|--------------------------------------------|

| Name                    | Position                                        |
|-------------------------|-------------------------------------------------|
| C. Stewart Wallis 1 2 3 | Director                                        |
| Ken Brophy 1 2 3        | Director                                        |
| Jim Crawford 4          | Chief Executive Officer, President and Director |
| Kate-Lynn Genzel        | Chief Financial Officer                         |
| Mark Lotz 1 2           | Director                                        |
| Mark Morabito 3, 5      | Chief Executive Officer, President and Director |

|  | 5 | Mr. Morabito was appointed Chief Executive Officer and President on November 27, 2015, and elected a Director on December 10, 2015. |
|--|---|-------------------------------------------------------------------------------------------------------------------------------------|

----

----

| Name andPrincipal Position                                       | FiscalYear                           | Annual Compensation          |                   |   |
|------------------------------------------------------------------|--------------------------------------|------------------------------|------------------------|--------|
| Salary($)                                                        | Bonus($)                             | Other Annual Compensation($) |                   |   |   |
|                                                             | Securities Under Options Granted (#) | Option Exercise Price        | Option Expiration Date |   |
| Mark J. Morabito1Chief Executive Officer, President and Director | 2016                                 | --                           | --                     | 25,000 |   | -- | -- | -- |   |
| Stewart Wallis Director                                          | 2016                                 | --                           | --                     | --     |   | -- | -- | -- |   |
| Jim Crawford 2Chief Executive Officer, President and Director    | 2016                                 | --                           | --                     | --     |   | -- | -- | -- |   |
| Kate-Lynn GenzelChief Financial Officer                          | 2016                                 | --                           | --                     | --     |   | -- | -- | -- |   |
| Mark LotzDirector                                                | 2016                                 | --                           | --                     | --     |   | -- | -- | -- |   |
| Ken BrophyDirector                                               | 2016                                 | --                           | --                     | --     |   | -- | -- | -- |   |

| 1 | Mr. Morabito was appointed Chief Executive Officer and President on November 27, 2015 and elected a director on December 10, 2015. |
|---|------------------------------------------------------------------------------------------------------------------------------------|

| 2 | Mr. Crawford resigned as Chief Executive Officer, President and a director on November 27, 2015 |
|---|-------------------------------------------------------------------------------------------------|

----

| Name of Director  | Director since    |
|-------------------|-------------------|
| Stewart Wallis1   | March 31, 2009    |
| Mark J. Morabito2 | December 10, 2015 |
| Mark Lotz         | April 1, 2014     |
| Ken Brophy        | February 16, 2015 |

| 1 | Mr. Wallis served as a director from June 19, 2003 to July 29, 2008.  He was re-appointed as a director on March 31, 2009. |
|---|---------------------------------------------------------------------------------------------------------------------------------|

| 2 | Mr. Morabito served as a director from November 12, 1998 to August 29, 2013.  He was re-elected as a director at the Company's annual general meeting held on December 10, 2015 |
|---|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| · | conduct such reviews and discussions with management and the external auditors relating to the audit and financial reporting as are deemed appropriate by the Committee; |
|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| · | assess the integrity of internal controls and financial reporting procedures of the Corporation and ensure implementation of such controls and procedures; |
|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

| · | ensure that there is an appropriate standard of corporate conduct including, if necessary, adopting a corporate code of ethics for senior financial personnel; |
|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------|

| · | review the quarterly and annual financial statements and management's discussion and analysis of the Corporation's financial position and operating results and report thereon to the Board for approval of same; |
|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| · | select and monitor the independence and performance of the Corporation's external auditors, including attending at private meetings with the external auditors and reviewing and approving all renewals or dismissals of the external auditors and their remuneration; |
|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| · | establish procedures for the receipt of complaints and submissions relating to accounting matters; |
|--------|----------------------------------------------------------------------------------------------------|

| · | except as set forth below, pre-approve all audit and non-audit services provided by the Corporation's external auditors; and |
|--------|------------------------------------------------------------------------------------------------------------------------------|

| · | provide oversight to related party transactions entered into by the Corporation. |
|--------|----------------------------------------------------------------------------------|

| 1. | The Committee and its membership shall meet all applicable legal, regulatory and listing requirements, including, without limitation, those of the British Columbia Securities Commission, the TSX Venture Exchange, the U.S. Securities and Exchange Commission, OTCQB, the Business Corporations Act (British Columbia) and all applicable securities regulatory authorities. |
|----|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 2. | The Committee shall be composed of three or more directors as shall be designated by the Board from time to time. The members of the Committee shall appoint from among themselves a member who shall serve as Chair. |
|----|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 3. | Each member of the Committee shall be "independent" and "financially literate", for the purposes of Multilateral Instrument 52-110 ("MI 52-110"), as it may be amended from time to time.  MI 52-110 currently provides that a member is independent if the member has no direct or independent material relationship with the Corporation.  A "material" relationship is one which could, in the view of the Board, be reasonably expected to interfere with the exercise of a member's judgment. There are certain relationships that are, however, deemed to be "material" under MI 52-110.  In assessing a proposed nominee to the Committee, the Board shall refer to MI 52-110 and any other requirements or guidelines under applicable securities laws and any stock exchanges on which the Corporation's securities are listed. |
|----|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

| 4. | The Committee shall meet at least quarterly, at the discretion of the Chair or a majority of its members, as circumstances dictate or as may be required by applicable legal or listing requirements. A minimum of two and at least 50% of the members of the Committee present either in person or by telephone shall constitute a quorum. |
|----|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 5. | If within one hour of the time appointed for a meeting of the Committee, a quorum is not present, the meeting shall stand adjourned to the same hour on the next business day following the date of such meeting at the same place. If at the adjourned meeting a quorum as hereinbefore specified is not present within one hour of the time appointed for such adjourned meeting, such meeting shall stand adjourned to the same hour on the second business day following the date of such meeting at the same place. If at the second adjourned meeting a quorum as hereinbefore specified is not present, the quorum for the adjourned meeting shall consist of the members then present. |
|----|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 6. | If and whenever a vacancy shall exist, the remaining members of the Committee may exercise all of its powers and responsibilities so long as a quorum remains in office. |
|----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 7. | The time and place at which meetings of the Committee shall be held, and procedures at such meetings, shall be determined from time to time by, the Committee. A meeting of the Committee may be called by letter, telephone, facsimile, email or other communication equipment, by giving at least 48 hours notice, provided that no notice of a meeting shall be necessary if all of the members are present either in person or by means of conference telephone or if those absent have waived notice or otherwise signified their consent to the holding of such meeting. |
|----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 8. | Any member of the Committee may participate in the meeting of the Committee by means of conference telephone or other communication equipment, and the member participating in a meeting pursuant to this paragraph shall be deemed, for purposes hereof, to be present in person at the meeting. |
|----|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 9. | The Committee shall keep minutes of its meetings which shall be submitted to the Board. The Committee may, from time to time, appoint any person who need not be a member, to act as a secretary at any meeting. |
|----|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 10. | The Committee may invite such officers, directors and employees of the Corporation and its subsidiaries as the Committee may see fit, from time to time, to attend at meetings of the Committee. |
|-----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 11. | Any matters to be determined by the Committee shall be decided by a majority of votes cast at a meeting of the Committee called for such purpose. Actions of the Committee may be taken by an instrument or instruments in writing signed by all of the members of the Committee, and such actions shall be effective as though they had been decided by a majority of votes cast at a meeting of the Committee called for such purpose. All decisions or recommendations of the Committee shall require the approval of the Board prior to implementation. |
|-----|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 1. | The Committee shall review the annual audited financial statements and interim financial statements of the Corporation to satisfy itself that they are presented in accordance with applicable generally accepted accounting principles ("IFRS" as required) and report thereon to the Board and recommend to the Board whether or not same should be approved prior to their being filed with the appropriate regulatory authorities.  The Committee shall also review the interim financial statements of the Corporation. With respect to the annual audited financial statements, the Committee shall discuss significant issues regarding accounting policies, principles, practices, estimates, reserves and judgments of management with management and the external auditors, as and when the Committee deems it appropriate to do so, and shall satisfy itself that the annual audited financial statements are |
|----|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

|   |  accurate, complete and represent fairly the Corporation's financial position and performance and that the audit function has been effectively carried out.  If desirable, the Committee may engage the Corporation's external auditors to carry out a review of the interim financial statements. |
|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 2. | The Committee shall review management's discussion and analysis relating to the Corporation's annual and interim financial statements ("MD&A") MD&A and any other public disclosure documents, including annual and interim earnings press releases, required to be reviewed by the Committee under any applicable laws before the Corporation publicly discloses this information or files this information with securities regulatory authorities. |
|----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 3. | The Committee shall be satisfied that adequate procedures are in place for the review of the Corporation's public disclosure of financial information extracted or derived from the Corporation's annual and interim financial statements, MD&A and annual and interim earnings press releases, and periodically assess the adequacy of these procedures. |
|----|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 4. | The Committee shall review the annual budget. |
|----|-----------------------------------------------|

| 5. | The Committee shall review any internal control reports prepared by management and the evaluation of such reports by the external auditors, together with management's response. |
|----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 6. | The Committee shall evaluate whether management is setting the appropriate "control culture" by communicating the importance of internal control and the management of risk and ensuring that all employees have an understanding of their roles and responsibilities. |
|----|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 7. | The Committee shall consider how management is held to account for security of computer systems and applications, and the contingency plans for processing financial information in the event of a systems breakdown. |
|----|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 8. | The Committee shall review, in consultation with the external auditors, the integrity of the Corporation's financial reporting processes, both internal and external. |
|----|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 9. | The Committee shall consider the external auditors' judgments about the quality and appropriateness, not just the acceptability, of the Corporation's accounting principles and financial disclosure practices, as applied in its financial reporting, particularly about the degree of aggressiveness or conservatism of its accounting principles and underlying estimates and whether those principles are common practices or are minority practices. |
|----|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 10. | The Committee shall meet no less frequently than annually with the external auditors and the Chief Financial Officer or, in the absence of a Chief Financial Officer, with the officer of the Corporation in charge of financial matters, to review accounting practices, internal controls and such other matters as the Committee, Chief Financial Officer or, in the absence of a Chief Financial Officer, the officer of the Corporation in charge of financial matters, deem appropriate. |
|-----|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 11. | The Committee shall consider and approve, if appropriate, major changes to the Corporation's accounting principles and practices as suggested by management with the concurrence of the external auditor and ensure that the management's reasoning is described in determining the appropriateness of changes in accounting principles and disclosure. |
|-----|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 12. | The Committee shall inquire of management and the external auditors about significant risks or exposures, both internal and external, to which the Corporation may be subject and assess the steps management has taken to minimize such risks, including by obtaining the external auditors' opinion of how effectively such risks are being managed or controlled. |
|-----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 13. | The Committee shall review the post-audit or management letter containing the recommendations of the external auditors and management's response and subsequent follow-up to any identified weaknesses. |
|-----|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 14. | The Committee shall provide oversight to related party transactions entered into by the Corporation. |
|-----|------------------------------------------------------------------------------------------------------|

----

| 15. | The Committee shall review policies and procedures with respect to officers' expense accounts and management perquisites and benefits, including their expenditures related to executive travel and entertainment, and review the results of the procedures performed in these areas by the external auditor, based on terms of reference agreed upon by the external auditor and the Committee. |
|-----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 1. | The Committee shall recommend to the Board the external auditors to be nominated, for the purpose of preparing or issuing an auditor's report or performing other audit, review or attest services for the Corporation, and the compensation of the external auditors. |
|----|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 2. | The Committee shall instruct the external auditors to report directly to the Committee and ensure that significant findings and recommendations made by the external auditors are received and discussed by the Committee on a timely basis. |
|----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 3. | The Committee shall be directly responsible for overseeing the work of the external auditors, including the resolution of disagreements between management and the external auditors regarding financial reporting, and shall review the performance of the external auditors and approve any proposed discharge of the external auditors when circumstances warrant. |
|----|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 4. | The Committee shall periodically consult the external auditors out of the presence of management about any matters that the Committee or the external auditors believes should be discussed privately, including, without limitation, significant risks or exposures, internal controls and other steps that management has taken to control such risks, and the fullness and accuracy of the Corporation's financial statements.  Particular emphasis should be given to the adequacy of internal controls to expose any payments, transactions or procedures that might be deemed illegal or otherwise improper. |
|----|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 5. | Except as otherwise indicated in this Charter, the Committee shall pre-approve all audit and non-audit services not prohibited by Canadian securities laws and regulations to be provided by the external auditors and delegate, if desirable, to one or more of its members the authority to pre-approve any such audit or permitted non-audit services, provided that any such pre-approval is presented to the Committee at its next scheduled meeting following the pre-approval. |
|----|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 6. | The Committee shall monitor and assess the relationship between management and the external auditors, including reviewing any management letters or other reports of the external auditors and discussing and resolving any material differences of opinion between management and the external auditors. |
|----|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 7. | The Committee shall monitor, review, confirm and discuss with the external auditors, on an annual basis, all significant relationships the external auditors have with the Corporation and the range of services provided to determine the independence and objectivity of the external auditors. |
|----|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 8. | Prior to the audit, the Committee shall review the external auditors' audit plan, including the scope, procedures, timing and staffing of the audit, and the Committee may authorize the external auditors to perform supplemental reviews or audits as the Committee may deem desirable. |
|----|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 9. | The Committee shall review with the external auditors the results of the annual audit and, if applicable, the results of the quarterly review, including matters related to the conduct of the audit and the review, as the case may be. |
|----|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 10. | The Committee shall obtain timely reports from the external auditors describing critical accounting policies and practices, alternative treatments of information within IFRS that were discussed with management, their ramifications, and the external auditors' preferred treatment and material written communications between the Corporation and the external auditors. |
|-----|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 11. | The Committee shall review fees paid by the Corporation to the external auditors and other professionals in respect of audit and non-audit services on an annual basis. |
|-----|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

| 12. | The Committee shall review and approve the Corporation's hiring policies regarding partners, employees and former partners and employees of the present and former external auditors of the Corporation. |
|-----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 1. | The Committee shall establish regular and separate systems of reporting to the Committee by each of management and the external auditors regarding any significant judgments made in management's preparation of the financial statements and the view of each as to appropriateness of such judgments. |
|----|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 2. | Following completion of the annual audit and quarterly reviews (if applicable), the Committee shall review separately with each of management and the external auditors any significant changes to planned procedures, any difficulties encountered during the course of the audit and reviews, including any restrictions on the scope of work or access to required information and the cooperation that the external auditors received during the course of the audit and reviews. |
|----|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 3. | The Committee shall review and resolve any significant disagreements among management and the external auditors in connection with the preparation of the financial statements and, where there are significant unsettled issues, the Committee shall ensure that there is an agreed course of action for the resolution of such matters. |
|----|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 4. | The Committee shall review with the external auditor and management significant findings during the year and the extent to which changes or improvements in financial or accounting practices, as approved by the Committee, have been implemented. This review should be conducted at an appropriate time subsequent to implementation of changes or improvements, as decided by the Committee. |
|----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 1. | The Committee shall establish procedures for the receipt, retention and treatment of complaints received by the Corporation regarding accounting, internal accounting controls or auditing matters, and the confidential, anonymous submission by employees of the Corporation of concerns regarding questionable accounting or auditing matters. |
|----|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 2. | The Committee shall review the effectiveness of the system for monitoring compliance with laws and regulations and the results of management's investigation and follow-up of any non-compliance. |
|----|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 3. | The Committee shall review management's monitoring of the Corporation's system that is in place to ensure that the Corporation's financial statements, reports and other financial information disseminated to governmental organizations and the public satisfy legal requirements. |
|----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 4. | The Committee shall ensure that there is an appropriate standard of corporate conduct including, if necessary, adopting a corporate code of ethics for senior financial personnel. |
|----|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 5. | The Committee shall obtain regular updates from management and others, including internal and external auditors and legal counsel, concerning the Corporation's compliance with financial related laws and regulations such as tax and financial reporting laws and regulations, legal withholding requirements, occupational health and safety laws and personal information and protection of privacy laws. |
|----|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 6. | The Committee shall be satisfied that all regulatory compliance matters have been considered in the preparation of financial statements. |
|----|------------------------------------------------------------------------------------------------------------------------------------------|

| 7. | The Committee shall review the findings of any examination by regulatory agencies. |
|----|------------------------------------------------------------------------------------|

----

| 1. | The Corporation shall inform employees on the Corporation's intranet, if there is one, or via a newsletter or e-mail that is disseminated to all employees at least annually, of the individual (the "Complaints Officer") designated from time to time by the Committee to whom complaints and submissions can be made regarding accounting, internal accounting controls or auditing matters or issues of concern regarding questionable accounting or auditing matters. |
|----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 2. | The Complaints Officer shall be informed that any complaints or submissions so received must be kept confidential and that the identity of employee(s) making complaints or submissions shall be kept confidential and shall only be communicated to the Committee or the Chair of the Committee. |
|----|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 3. | The Complaints Officer shall be informed that he or she must report to the Committee as frequently as such Complaints Officer deems appropriate, but in any event no less frequently than on a quarterly basis prior to the quarterly meeting of the Committee called to approve interim and annual financial statements of the Corporation. |
|----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 4. | Upon receipt of a report from the Complaints Officer, the Committee shall discuss the report and take such steps as the Committee may deem appropriate. |
|----|---------------------------------------------------------------------------------------------------------------------------------------------------------|

| 1. | The Corporation's external auditors shall be prohibited from performing for the Corporation the following categories of non-audit services: |
|----|---------------------------------------------------------------------------------------------------------------------------------------------|

| (a) | bookkeeping or other services related to the Corporation's accounting records or financial statements; |
|-----|--------------------------------------------------------------------------------------------------------|

| (b) | financial information systems design and implementation; |
|-----|----------------------------------------------------------|

| (c) | appraisal or valuation services, fairness opinion or contributions-in-kind reports; |
|-----|-------------------------------------------------------------------------------------|

| (d) | actuarial services; |
|-----|---------------------|

| (e) | internal audit outsourcing services; |
|-----|--------------------------------------|

| (f) | management functions; |
|-----|-----------------------|

| (g) | human resources; |
|-----|------------------|

| (h) | broker or dealer, investment advisor or investment banking services; |
|-----|----------------------------------------------------------------------|

| (i) | legal services; |
|-----|-----------------|

| (j) | expert services unrelated to the audit; and |
|-----|---------------------------------------------|

| (k) | any other service that the Canadian Public Accountability Board or any other applicable regulatory authority determines is impermissible. |
|-----|-------------------------------------------------------------------------------------------------------------------------------------------|

----

| 2. | In the event that the Corporation wishes to retain the services of the Corporation's external auditors for tax compliance, tax advice or tax planning, the Chief Financial Officer of the Corporation shall consult with the Chair of the Committee, who shall have the authority to approve or disapprove on behalf of the Committee, such non-audit services in accordance. All other non-audit services shall be approved or disapproved by the Committee as a whole as set forth herein. |
|----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 3. | The Chief Financial Officer of the Corporation shall maintain a record of non-audit services approved by the Chair of the Committee or the Committee for each fiscal year and provide a report to the Committee no less frequently than on a quarterly basis. |
|----|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

| 1. | considering appropriate levels of compensation for our directors and officers and making recommendations to the Board as to the remuneration and other compensation to be provided to our Directors, the President and our other officers; and |
|----|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 2. | carrying out periodic performance assessments of the President and CEO. |
|----|-------------------------------------------------------------------------|

| Fiscal year ended | Number of Full Time Employees at the end of the fiscal year | Maximum number of Temporary Workers during the fiscal year |
|-------------------|-------------------------------------------------------------|------------------------------------------------------------|
| April 30, 2016    | 0(1)                                                        | 0(1)                                                       |
| April 30, 2015    | 0(1)                                                        | 0(1)                                                       |
| April 30, 2014    | 0(1)                                                        | 0(1)                                                       |

----

| 1 | Pursuant to the Management Services Agreement with King & Bay West dated September 16, 2014, King & Bay West provides shared office, administration and payroll services to the Company. See Item 7.B – Related Party Transactions and Exhibit 4.8 for a description of this agreement. As such, the Company no longer employs any full-time staff or temporary staff. |
|---|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| Name                                        | Number of Common Shares | Percent of Outstanding Common Shares |
|---------------------------------------------|-------------------------|--------------------------------------|
| Stewart Wallis                         | 203,1501                | *                                    |
| Mark J. Morabito 2                     | 4,313,3063              | 15.29%                               |
| Jim Crawford 4                         | N/A                     | *                                    |
| Kate-Lynn Genzel                       | 0                       | *                                    |
| Mark Lotz                              | 0                       | *                                    |
| Ken Brophy                             | 200,630 5               | *                                    |
| Directors and Executive Officers as a group | 414,780                 | *                                    |

| 1 | Includes warrants to purchase 100,000 common shares exercisable within 60 days of August 19, 2016. |
|---|----------------------------------------------------------------------------------------------------|

| 2 | Mr. Morabito was appointed Chief Executive Officer and President on November 27, 2015 and elected a director on December 10, 2015. |
|---|------------------------------------------------------------------------------------------------------------------------------------|

| 4 | Mr. Crawford resigned as Chief Executive Officer, President and a director on November 27, 2015.. |
|---|---------------------------------------------------------------------------------------------------|

| 5 | Includes warrants to purchase 100,000 common shares exercisable within 60 days of August 19, 2016. |
|---|----------------------------------------------------------------------------------------------------|

| Name                     | Date of Grant | Number of Underlying Common Shares | Vested 1 | Exercise Price | Expiration Date |
|--------------------------|---------------|------------------------------------|----------|----------------|-----------------|
| Stewart Wallis      |          | 0                                  | 0        |           |            |
| Mark J. Morabito 2  |          | 0                                  | 0        |           |            |
| Jim Crawford        |          | 0                                  | 0        |           |            |
| Kate-Lynn Genzel    |          | 0                                  | 0        |           |            |
| Mark Lotz           |          | 0                                  | 0        |           |            |
| Ken Brophy 3        |          | 0                                  | 0        |           |            |

| 1 | Includes those options that are exercisable within 60 days of August 19, 2016. |
|---|--------------------------------------------------------------------------------|

| 2 | Mr. Morabito was appointed Chief Executive Officer and President on November 27, 2015 and elected as a director on December 10, 2015. |
|---|---------------------------------------------------------------------------------------------------------------------------------------|

| 2 | Mr. Crawford resigned as Chief Executive Officer, President and a director on November 27, 2015 and held no options at the time of his resignation. |
|---|-----------------------------------------------------------------------------------------------------------------------------------------------------|

----

| · | Mark J. Morabito ("Morabito") is the beneficial owner, directly and indirectly, of 2,979,971 common Shares representing approximately 10.56% of the issued and outstanding common shares. |
|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| · | KCR, LLC ("KCR") is the beneficial owner of 2,665,000 common shares representing approximately 9.41% of the issued and outstanding common shares. |
|--------|---------------------------------------------------------------------------------------------------------------------------------------------------|

| · | Morabito Family Trust ("MFT") is the beneficial owner of 2,000,000 Common Shares representing approximately 7.09% of the issued and outstanding common shares. |
|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

| · | In January 2010, the Company entered into a contract with King & Bay West (which was amended on October 1, 2010 and September 16, 2014) with a director and officer (Mark Morabito) in common, whereby the management company will provide shared office and payroll services to the Company.  During the year ended April 30, 2016, the Company incurred administrative/office costs of $243,393 included in office and administration, wages and salaries, rent, travel, consulting, and investor relations to this management company for such services. In addition, the Company incurred key management personnel wages and salaries of $44,050 provided by King & Bay West.  At April 30, 2016, $254,123 was still owing to this company included in due to related parties. |
|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| · | Commencing on December 1, 2015, the Board of Directors ratified the payment of $5,000 per month to MJM Consulting Corp., a company controlled by Mark J. Morabito, for the services of Mr. Morabito acting as Chief Executive Officer of the Company.  During the year ended April 30, 2016, the Company paid a MJM Consulting Corp. total of $25,000 for such services. |
|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

| Period                                      |   | High   |   |    | Low    |   |
|---------------------------------------------|--------|--------|--------|---------|--------|--------|
| August 1-19, 2016                      |   |   | N/A    | 1  |   |   | N/A | 1  |
| Month ended July 31, 2016              |   |   | N/A    | 1  |   |   | N/A | 1  |
| Month ended June 30, 2016              |   |   | N/A    | 1  |   |   | N/A | 1  |
| Month ended May 31, 2016               |   |   | N/A    | 1  |   |   | N/A | 1  |
| Month ended April 30, 2016             |   |   | N/A    | 1  |   |   | N/A | 1  |
| Month ended March 31, 2016             |   |   | N/A    | 1  |   |   | N/A | 1  |
| Month ended February 28, 2016          |   | $      | 0.10   | 2  |   | $      | 0.075 | 2  |
|                                        |   |   |   |    |   |   |   |   |
| Fiscal quarter ended April 30, 2016    |   |   | N/A    | 1  |   |   | N/A | 1  |
| Fiscal quarter ended January 31, 2016  |   | $      | 0.145  |    |   | $      | 0.07 |   |
| Fiscal quarter ended October 31, 2015  |   | $      | 0.135  |    |   | $      | 0.065 |   |
| Fiscal quarter ended July 31, 2015     |   | $      | 0.155  |    |   | $      | 0.085 |   |
| Fiscal quarter ended April 30, 2015    |   | $      | 0.16   |    |   | $      | 0.10 |   |
| Fiscal quarter ended January 31, 2015  |   | $      | 0.25   |    |   | $      | 0.12 |   |
| Fiscal quarter ended October 31, 2014  |   | $      | 0.31   |    |   | $      | 0.15 |   |
| Fiscal quarter ended July 31, 2014     |   | $      | 0.37   |    |   | $      | 0.15 |   |
|                                        |   |   |   |    |   |   |   |   |
| Fiscal year ended April 30, 2016       |   | $      | 0.16   | 3  |   | $      | 0.04 | 3  |
| Fiscal year ended April 30, 2015       |   | $      | 0.37   |    |   | $      | 0.10 |   |
| Fiscal year ended April 30, 2014       |   | $      | 0.60   |    |   | $      | 0.02 |   |
| Fiscal year ended April 30, 2013       |   | $      | 0.45   |    |   | $      | 0.05 |   |
| Fiscal year ended April 30, 2012       |   | $      | 0.99   |    |   | $      | 0.35 |   |

| 1 | Trading in the Company's shares was halted on the TSX Venture Exchange on February 17, 2016 and as at August 19, 2016, the shares remain halted.  Therefore, no shares have traded on the TSX Venture Exchange since February 16, 2016. |
|---|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 2 | These numbers representing the high/low prices for the period February 1, 2016 to February 16, 201s prior to the halt of trading of the Company's shares on the TSX Venture Exchange. |
|---|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 3 | These numbers representing the high/low prices for the period May 1, 2016 to February 16, 2016 prior to the halt of trading of the Company's shares on the TSX Venture Exchange. |
|---|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

| Period                                      |   | High   |   |    | Low    |   |
|---------------------------------------------|--------|--------|--------|---------|--------|--------|
| August 1-19, 2016                      |   |   | N/A    | 1  |   |   | N/A | 1  |
| Month ended July 31, 2016              |   |   | N/A    | 1  |   |   | N/A | 1  |
| Month ended June 30, 2016              |   |   | N/A    | 1  |   |   | N/A | 1  |
| Month ended May 31, 2016               |   |   | N/A    | 1  |   |   | N/A | 1  |
| Month ended April 30, 2016             |   |   | N/A    | 1  |   | $      | 0.07 |   |
| Month ended March 31, 2016             |   |   | N/A    | 1  |   |   | N/A | 1  |
| Month ended February 28, 2016          |   | $      | 0.08   |    |   | $      | 0.05 |   |
|                                        |   |   |   |    |   |   |   |   |
| Fiscal quarter ended April 30, 2016    |   |   | N/A    | 1  |   |   | N/A | 1  |
| Fiscal quarter ended January 31, 2016  |   | $      | 0.11   |    |   | $      | 0.04 |   |
| Fiscal quarter ended October 31, 2015  |   | $      | 0.12   |    |   | $      | 0.03 |   |
| Fiscal quarter ended January 31, 2015  |   | $      | 0.13   |    |   | $      | 0.06 |   |
| Fiscal quarter ended April 30, 2015    |   | $      | 0.13   |    |   | $      | 0.07 |   |
| Fiscal quarter ended January 31, 2015  |   | $      | 0.22   |    |   | $      | 0.10 |   |
| Fiscal quarter ended October 31, 2014  |   | $      | 0.25   |    |   | $      | 0.15 |   |
| Fiscal quarter ended July 31, 2014     |   | $      | 0.37   |    |   | $      | 0.19 |   |
|                                        |   |   |   |    |   |   |   |   |
| Fiscal year ended April 30, 2016       |   | $      | 0.13   | 3  |   | $      | 0.03 | 3  |
| Fiscal year ended April 30, 2015       |   | $      | 0.37   |    |   | $      | 0.07 |   |
| Fiscal year ended April 30, 2014       |   | $      | 0.70   |    |   | $      | 0.02 |   |
| Fiscal Year ended April 30, 2013       |   | $      | 0.46   |    |   | $      | 0.05 |   |
| Fiscal Year ended April 30, 2012       |   | $      | 0.95   |    |   | $      | 0.33 |   |

| 1 | Trading in the Company's shares was halted on the OTCQB on February 17, 2016 and removed from trading on OTCQB on February 24, 2016.  Therefore, no shares have traded on the OTCQB since February 16, 2016. |
|---|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 2 | These numbers representing the high/low prices for the period February 1, 2016 to February 16, 2016 prior to the halt of trading of the Company's shares on the OTCQB. |
|---|------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 3 | These numbers representing the high/low prices for the period May 1, 2016 to February 16, 2016 prior to the halt of trading of the Company's shares on the OTCQB. |
|---|-------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| Period                          |   | High  |   | Low   |
|---------------------------------|--------|-------|--------|-------|
| August 1-18, 2016          |   | N/A 1 |   | N/A 1 |   |
| Month ended July 31, 2016  |   | N/A 1 |   | N/A 1 |   |
| Month ended June 30, 2016  |   | N/A 1 |   | N/A 1 |   |
| Month ended May 31, 2016   |   | N/A 1 |   | N/A 1 |   |

----

| Period                                      |   | High   |   |    |  Low |    |       |
|---------------------------------------------|--------|--------|--------|---------|-----------|---------|------------|
| Month ended April 30, 2016             |   |   | N/A    | 1  |      |    | N/A        | 1  |   |
| Month ended March 31, 2016             |   |   | N/A    | 1  |      |    | N/A        | 1  |   |
| Month ended February 28, 2016          |   |   | N/A    | 1  |      |    | N/A        | 1  |   |
|                                        |   |   |   |    |      |    |       |   |      |
| Fiscal quarter ended April 30, 2016    |   |   | N/A    | 1  |      |    | N/A        | 1  |   |
| Fiscal quarter ended January 31, 2016  |   | $      | 0.01   |    |      | $       | 0.01       |   |   |
| Fiscal quarter ended October 31, 2015  |   |   | N/A    | 1  |      |    | N/A        | 1  |   |
| Fiscal quarter ended January 31, 2015  |   | $      | 0.05   |    |      | $       | 0.05       |   |   |
| Fiscal quarter ended April 30, 2015    |   | $      | 0.05   |    |      | $       | 0.05       |   |   |
| Fiscal quarter ended January 31, 2015  |   |   | N/A    | 1  |      |    | N/A        | 1  |   |
|                                        |   |   |   |    |      |    |       |   |      |
| Fiscal year ended April 30, 2016       |   | $      | 0.05   |    |      |  $ | 0.05  |   |   |
| Fiscal year ended April 30, 2015       |   | $      | 0.05   |    |      |  $ | 0.05  |   |   |

----

| 1. | On September 16, 2014, we entered into a Warrant Indenture with Computershare Trust Company of Canada pursuant to which Computershare Trust Company of Canada agreed to act as Warrant Agent with respect to 20,000,000 Warrants issued to accredited investors pursuant to a non-brokered private placement of units ("Units") for gross proceeds of $3,000,000.  Each Unit comprised one common share and one Warrant, with each Warrant exercisable to acquire one common share at an exercise price of $0.25 for a period of five years following closing of the private placement.  The Warrant Indenture is referenced as Exhibit 4.10 hereto. |
|----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 2. | On April 12, 2016, we entered into an Amalgamation Agreement with Canada Jetlines Ltd. providing for the amalgamation of Jetlines and a wholly-owned subsidiary of the Company. The Amalgamation Agreement is in connection with a change of business transaction pursuant to which the Company will move into the airline industry. For additional details regarding the Amalgamation Agreement please see "Item 4.B. – Business Overview – Corporate Development".  The Amalgamation Agreement is referenced as Exhibit 4.11 hereto. |
|----|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

----

----

----

----

----

----

| ITEM 12. | DESCRIPTION OF SECURITIES OTHER THAN EQUITY SECURITIES |
|----------|--------------------------------------------------------|

----

| ITEM 13. | DEFAULTS, DIVIDEND ARREARAGES AND DELINQUENCIES |
|----------|-------------------------------------------------|

| ITEM 14. | MATERIAL MODIFICATIONS TO THE RIGHTS OF SECURITY HOLDERS AND USE OF PROCEEDS |
|----------|------------------------------------------------------------------------------|

| ITEM 15. | CONTROLS AND PROCEDURES |
|----------|-------------------------|

----

| · | honesty and integrity, including the ethical handling of actual or apparent conflicts of interest between personal and professional relationships; |
|--------|----------------------------------------------------------------------------------------------------------------------------------------------------|

| · | full, fair, accurate, timely and understandable disclosure in reports and documents that we file with, or submit to, the SEC and in other public communications made by us; |
|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| · | compliance with applicable governmental laws, rules and regulations; |
|--------|----------------------------------------------------------------------|

| · | protection of and respect for the confidentiality of information acquired in the course of work; |
|--------|--------------------------------------------------------------------------------------------------|

| · | responsible use of and control over assets and resources; |
|--------|-----------------------------------------------------------|

| · | the prompt internal reporting of violations of the Code of Ethics to an appropriate person or persons identified in the Code of Ethics; and |
|--------|---------------------------------------------------------------------------------------------------------------------------------------------|

| · | accountability for adherence to the Code of Ethics. |
|--------|-----------------------------------------------------|

| Financial Year Ending |   | Audit Fees1 |   |   | Audit Related Fees2 |   |   | Tax Fees3 |   |   | All Other Fees4 |   |
|-----------------------|--------|-------------|--------|--------|---------------------|--------|--------|-----------|--------|--------|-----------------|--------|
| 2016/04/30            |   | $           | 21,420 |   |                | $      | --     |      |   | $      | 5,250           |   |   | $ | -- |   |
| 2015/04/30            |   | $           | 22,500 |   |                | $      | --     |      |   | $      | 7,750           |   |   | $ | -- |   |

----

| ITEM 16D. | EXEMPTIONS FROM THE LISTING STANDARDS FOR AUDIT COMMITTEES |
|-----------|------------------------------------------------------------|

| ITEM 16E. | PURCHASES OF EQUITY SECURITIES BY THE ISSUER AND AFFILIATED PURCHASERS |
|-----------|------------------------------------------------------------------------|

| ITEM 16F. | CHANGES IN REGISTRANT'S CERTIFYING ACCOUNTANT |
|-----------|-----------------------------------------------|

| ITEM 16G. | CORPORATE GOVERNANCE |
|-----------|----------------------|

| ITEM 16H. | MINE SAFETY DISCLOSURE |
|-----------|------------------------|

----

----

----

----

| Vancouver, Canada | Chartered Professional Accountants |
|-------------------|------------------------------------|
|              |                               |
| August 25, 2016   |                               |

----

----

|                                       |   | APRIL 30, 2016 |         |   | APRIL 30, 2015 |   |
|--------------------------------------------|--------|----------------|--------------|--------|----------------|--------|
|                                       |   |           |         |   |           |   |
| ASSETS                                     |   |           |         |   |           |   |
|                                       |   |           |         |   |           |   |
| Current assets                             |   |           |         |   |           |   |
| Cash and cash equivalents                  |   | $              | 1,651,472    |   |           | $      | 2,350,202 |   |
| Loan receivable (Note 11)                  |   |           | 117,513      |   |           |   | - |   |
| Other receivables                          |   |           | 24,263       |   |           |   | 26,070 |   |
| Prepaid expenses                           |   |           | 41,893       |   |           |   | 32,258 |   |
|                                       |   |           | 1,835,141    |   |           |   | 2,408,530 |   |
|                                       |   |           |         |   |           |   |   |   |
| Available-for-sale investment (Note 5)     |   |           | 200,000      |   |           |   | 200,000 |   |
|                                       |   |           |         |   |           |   |   |   |
| Deposit (Note 10)                          |   |           | 100,000      |   |           |   | 100,000 |   |
|                                       |   |           |         |   |           |   |   |   |
| Exploration and evaluation assets (Note 7) |   |           | -            |   |           |   | 2,509,791 |   |
|                                       |   |           |         |   |           |   |   |   |
| Property and equipment (Note 6)            |   |           | -            |   |           |   | 75,588 |   |
|                                       |   |           |         |   |           |   |   |   |
| Reclamation bonds (Note 7)                 |   |           | 10,416       |   |           |   | 31,267 |   |
|                                       |   |           |         |   |           |   |   |   |
|                                       |   | $              | 2,145,557    |   |           | $      | 5,325,176 |   |
|                                       |   |           |         |   |           |   |   |   |
| LIABILITIES AND SHAREHOLDERS' EQUITY       |   |           |         |   |           |   |   |   |
|                                       |   |           |         |   |           |   |   |   |
| Current liabilities                        |   |           |         |   |           |   |   |   |
| Payables and accrued liabilities           |   | $              | 199,687      |   |           | $      | 203,055 |   |
| Due to related parties (Note 10)           |   |           | 255,244      |   |           |   | 106,076 |   |
|                                       |   |           | 454,931      |   |           |   | 309,131 |   |
|                                       |   |           |         |   |           |   |   |   |
| Due to related party (Note 10)             |   |           | -            |   |           |   | 206,810 |   |
|                                       |   |           |         |   |           |   |   |   |
| Future reclamation provisions (Note 8)     |   |           | 20,807       |   |           |   | 20,807 |   |
|                                       |   |           | 475,738      |   |           |   | 536,748 |   |
| Equity                                     |   |           |         |   |           |   |   |   |
| Capital stock (Note 9)                     |   |           | 90,663,999   |   |           |   | 90,663,999 |   |
| Reserves                                   |   |           | 21,475,351   |   |           |   | 21,475,351 |   |
| Deficit                                    |   |           | (110,469,531 | )      |           |   | (107,350,922 | ) |
|                                       |   |           | 1,669,819    |   |           |   | 4,788,428 |   |
|                                       |   |           |         |   |           |   |   |   |
|                                       |   | $              | 2,145,557    |   |           | $      | 5,325,176 |   |
| "Ken Brophy" | Director | "Stewart Wallis" | Director |
|--------------|----------|------------------|----------|
| Ken Brophy   |     | Stewart Wallis   |     |

----

----

|                                                                                   |   | 2016   |       |   | 2015   |   |       | 2014   |   |
|----------------------------------------------------------------------------------------|--------|--------|------------|--------|--------|--------|------------|--------|--------|
|                                                                                   |   |   |       |   |   |   |       |   |   |
| OPERATING ITEMS                                                                        |   |   |       |   |   |   |       |   |   |
| Business development                                                                   |   | $      | 89,641     |   |   | $      | -          |   |   | $ | - |   |
| Consulting                                                                             |   |   | 698        |   |   |   | 3,415      |   |   |   | 142,533 |   |
| Depreciation (Note 6)                                                                  |   |   | 5,013      |   |   |   | 18,428     |   |   |   | 22,754 |   |
|      Exploration and evaluation (Note 7)                      |   |   | 50,857     |   |   |   | 21,481     |   |   |   | 34,225 |   |
|      Finance income                                           |   |   | (21,373    | )      |   |   | (17,599    | )      |   |   | (314 | ) |
|      Foreign exchange loss (gain)                             |   |   | (125       | )      |   |   | 4,059      |   |   |   | (1,097 | ) |
|      Impairment of exploration and evaluation assets (Note 7) |   |   | 2,509,791  |   |   |   | -          |   |   |   | 3,160,618 |   |
| Interest (Note 8)                                                                      |   |   | -          |   |   |   | 1,540      |   |   |   | 1,427 |   |
| Investor relations                                                                     |   |   | 3,642      |   |   |   | 15,058     |   |   |   | 11,122 |   |
| Office and administration                                                              |   |   | 114,312    |   |   |   | 151,403    |   |   |   | 161,251 |   |
| Professional fees                                                                      |   |   | 33,656     |   |   |   | 18,838     |   |   |   | 31,764 |   |
| Share-based payment expense (recovery) (Note 9)                                        |   |   | -          |   |   |   | -          |   |   |   | (45,250 | ) |
| Transfer agent and filing fees                                                         |   |   | 80,827     |   |   |   | 110,088    |   |   |   | 124,896 |   |
| Wages and salaries                                                                     |   |   | 194,134    |   |   |   | 213,310    |   |   |   | 252,999 |   |
|                                                                                   |   |   | (3,061,073 | )      |   |   | (540,021   | )      |   |   | (3,896,928 | ) |
|                                                                                   |   |   |       |   |   |   |       |   |   |   |   |   |
|                                                                                   |   |   |       |   |   |   |       |   |   |   |   |   |
| Gain (loss) on sale of property and equipment (Note 6)                                 |   |   | (33,773    | )      |   |   | 600        |   |   |   | - |   |
| Gain on forgiveness and settlement of related party debt (Notes 9, 10 and 12)          |   |   | -          |   |   |   | 184,141    |   |   |   | - |   |
| Impairment of property and equipment (Note 6)                                          |   |   | (1,802     | )      |   |   | -          |   |   |   | - |   |
| Impairment of reclamation bonds (Note 7)                                               |   |   | (21,961    | )      |   |   | -          |   |   |   | (41,852 | ) |
| Loss on marketable securities (Note 4)                                                 |   |   | -          |   |   |   | (2,449     | )      |   |   | (28,503 | ) |
|  Net loss and comprehensive loss for the year                                     |   | $      | (3,118,609 | )      |   | $      | (357,729   | )      |   | $ | (3,967,283 | ) |
|                                                                                   |   |   |       |   |   |   |       |   |   |   |   |   |
| Basic and diluted loss per common share                                                |   | $      | (0.11      | )      |   | $      | (0.02      | )      |   | $ | (0.60 | ) |
|                                                                                   |   |   |       |   |   |   |       |   |   |   |   |   |
| Weighted average number of common shares outstanding                                   |   |   | 28,218,451 |   |   |   | 19,659,075 |   |   |   | 6,578,035 |   |
| The accompanying notes are an integral part of these consolidated financial statements.  |
|-----------------------------------------------------------------------------------------------|

----

----

|                                                                                                               |   | 2016   |       |   | 2015   |   |      | 2014   |   |
|--------------------------------------------------------------------------------------------------------------------|--------|--------|------------|--------|--------|--------|-----------|--------|--------|
|                                                                                                               |   |   |       |   |   |   |      |   |   |
| CASH FLOWS FROM OPERATING ACTIVITIES                                                                               |   |   |       |   |   |   |      |   |   |
| Net loss for the year                                                                                              |   | $      | (3,118,609 | )      |   | $      | (357,729  | )      |   | $ | (3,967,283 | ) |
| Items not affecting cash:                                                                                          |   |   |       |   |   |   |      |   |   |   |   |   |
|            Changes in future reclamation estimates          |   |   | -          |   |   |   | -         |   |   |   | (2,053 | ) |
|            Depreciation                                     |   |   | 5,013      |   |   |   | 18,428    |   |   |   | 22,754 |   |
|            Finance income                                   |   |   | (1,113     | )      |   |   | -         |   |   |   | - |   |
|            Forgiveness and settlement of related party debt |   |   | -          |   |   |   | (184,141  | )      |   |   | - |   |
|            Impairment of exploration and evaluation assets  |   |   | 2,509,791  |   |   |   | -         |   |   |   | 3,160,618 |   |
|            Impairment of property and equipment             |   |   | 1,802      |   |   |   | -         |   |   |   | - |   |
|            Impairment of reclamation bonds                  |   |   | 21,961     |   |   |   | -         |   |   |   | 41,852 |   |
|            Interest                                         |   |   | -          |   |   |   | 1,540     |   |   |   | 1,427 |   |
|            Loss on marketable securities                    |   |   | -          |   |   |   | 2,449     |   |   |   | 28,503 |   |
|            Loss (gain) on sale of property and equipment    |   |   | 33,773     |   |   |   | (600      | )      |   |   | - |   |
|            Share-based payment expense (recovery)           |   |   | -          |   |   |   | -         |   |   |   | (45,250 | ) |
|            Unrealized gain on foreign exchange              |   |   | (1,110     | )      |   |   | (2,998    | )      |   |   | (5,669 | ) |
| Non-cash working capital item changes:                                                                             |   |   |       |   |   |   |      |   |   |   |   |   |
| Other receivables                                                                                                  |   |   | 1,807      |   |   |   | (21,909   | )      |   |   | 16,669 |   |
| Prepaid expenses                                                                                                   |   |   | (9,635     | )      |   |   | 2,212     |   |   |   | 49,498 |   |
| Payables and accrued liabilities                                                                                   |   |   | (3,368     | )      |   |   | (53,146   | )      |   |   | (68,697 | ) |
|             Due to related parties                     |   |   | (57,642    | )      |   |   | 190,604   |   |   |   | 264,915 |   |
| Net cash used in operating activities                                                                              |   |   | (617,330   | )      |   |   | (405,290  | )      |   |   | (502,716 | ) |
|                                                                                                               |   |   |       |   |   |   |      |   |   |   |   |   |
| CASH FLOWS FROM INVESTING ACTIVITIES                                                                               |   |   |       |   |   |   |      |   |   |   |   |   |
| Acquisition of available-for-sale investment                                                                       |   |   | -          |   |   |   | (200,000  | )      |   |   | - |   |
| Acquisition of property and equipment                                                                              |   |   | -          |   |   |   | (3,000    | )      |   |   | - |   |
| Loan receivable                                                                                                    |   |   | (116,400   | )      |   |   | -         |   |   |   | - |   |
| Proceeds from sale of marketable securities                                                                        |   |   | -          |   |   |   | 52,710    |   |   |   | 2,075 |   |
| Proceeds from sale of property and equipment                                                                       |   |   | 35,000     |   |   |   | 600       |   |   |   | - |   |
| Reclamation costs incurred                                                                                         |   |   | -          |   |   |   | -         |   |   |   | (17,268 | ) |
| Net cash used in investing activities                                                                              |   |   | (81,400    | )      |   |   | (149,690  | )      |   |   | (15,193 | ) |
|                                                                                                               |   |   |       |   |   |   |      |   |   |   |   |   |
| CASH FLOWS FROM FINANCING ACTIVITIES                                                                               |   |   |       |   |   |   |      |   |   |   |   |   |
| Deposit                                                                                                            |   |   | -          |   |   |   | (100,000  | )      |   |   | - |   |
| Proceeds from private placement                                                                                    |   |   | -          |   |   |   | 3,000,000 |   |   |   | - |   |
| Repayment of related party term loan                                                                               |   |   | -          |   |   |   | (39,253   | )      |   |   | - |   |
| Share issue costs                                                                                                  |   |   | -          |   |   |   | (34,106   | )      |   |   | - |   |
| Net cash provided by financing activities                                                                          |   |   | -          |   |   |   | 2,826,641 |   |   |   | - |   |
|                                                                                                               |   |   |       |   |   |   |      |   |   |   |   |   |
| Net change in cash and cash equivalents during the year                                                            |   |   | (698,730   | )      |   |   | 2,271,661 |   |   |   | (517,909 | ) |
|                                                                                                               |   |   |       |   |   |   |      |   |   |   |   |   |
| Cash and cash equivalents, beginning of the year                                                                   |   |   | 2,350,202  |   |   |   | 78,541    |   |   |   | 596,450 |   |
|  Cash and cash equivalents, end of the year                                                                   |   | $      | 1,651,472  |   |   | $      | 2,350,202 |   |   | $ | 78,541 |   |
| Cash and cash equivalents                                                                                          |   |   |       |   |   |   |      |   |   |   |   |   |
| Cash                                                                                                               |   | $      | 128,472    |   |   | $      | 127,202   |   |   | $ | 55,541 |   |
| Liquid short term investments                                                                                      |   |   | 1,523,000  |   |   |   | 2,223,000 |   |   |   | 23,000 |   |
|                                                                                                               |   | $      | 1,651,472  |   |   | $      | 2,350,202 |   |   | $ | 78,541 |   |
| Cash (paid) received for                                                                                           |   |   |       |   |   |   |      |   |   |   |   |   |
| Interest                                                                                                           |   | $      | 29,121     |   |   | $      | 991       |   |   | $ | - |   |
| Taxes                                                                                                              |   | $      | -          |   |   | $      | -         |   |   | $ | - |   |

----

----

|                                                    |   | Capital Stock    |       |   |   |   |       |     |   |   |       |   |
|---------------------------------------------------------|--------|------------------|------------|--------|--------|--------|------------|----------|--------|--------|------------|--------|
|                                                    |   | Number of Shares |       |   | Amount |   |       | Reserves |   |   | Deficit    |   |   | Total |   |
|                                                    |   |             |       |   |   |   |       |     |   |   |       |   |   |   |   |
| Balance, April 30, 2013                                 |   |             | 6,578,218  |   |   | $      | 87,411,032 |     |   | $      | 21,520,601 |   |   | $ | (103,025,910 | ) |   | $ | 5,905,723 |   |
| Common shares cancelled due to fractional rounding |   |             | (183       | )      |   |   | -          |     |   |   | -          |   |   |   | - |   |   |   | - |   |
| Share based payment expense(recovery)                   |   |             | -          |   |   |   | -          |     |   |   | (45,250    | )      |   |   | - |   |   |   | (45,250 | ) |
| Loss for the year                                       |   |             | -          |   |   |   | -          |     |   |   | -          |   |   |   | (3,967,283 | ) |   |   | (3,967,283 | ) |
|                                                    |   |             |       |   |   |   |       |     |   |   |       |   |   |   |   |   |   |   |   |   |
| Balance, April 30, 2014                                 |   |             | 6,578,035  |   |   |   | 87,411,032 |     |   |   | 21,475,351 |   |   |   | (106,993,193 | ) |   |   | 1,893,190 |   |
| Private placement                                       |   |             | 20,000,000 |   |   |   | 3,000,000  |     |   |   | -          |   |   |   | - |   |   |   | 3,000,000 |   |
| Share issue costs – cash                          |   |             | -          |   |   |   | (34,106    | )        |   |   | -          |   |   |   | - |   |   |   | (34,106 | ) |
| Common shares issued for debt                           |   |             | 1,640,416  |   |   |   | 287,073    |     |   |   | -          |   |   |   | - |   |   |   | 287,073 |   |
| Loss for the year                                       |   |             | -          |   |   |   | -          |     |   |   | -          |   |   |   | (357,729 | ) |   |   | (357,729 | ) |
|                                                    |   |             |       |   |   |   |       |     |   |   |       |   |   |   |   |   |   |   |   |   |
| Balance, April 30, 2015                                 |   |             | 28,218,451 |   |   |   | 90,663,999 |     |   |   | 21,475,351 |   |   |   | (107,350,922 | ) |   |   | 4,788,428 |   |
| Loss for the year                                       |   |             | -          |   |   |   | -          |     |   |   | -          |   |   |   | (3,118,609 | ) |   |   | (3,118,609 | ) |
|                                                    |   |             |       |   |   |   |       |     |   |   |       |   |   |   |   |   |   |   |   |   |
| Balance, April 30, 2016                                 |   |             | 28,218,451 |   |   | $      | 90,663,999 |     |   | $      | 21,475,351 |   |   | $ | (110,469,531 | ) |   | $ | 1,669,819 |   |

----

| a) | Significant accounting judgements and estimates |
|----|-------------------------------------------------|

----

| a) | Significant accounting judgements and estimates (continued) |
|----|-------------------------------------------------------------|

----

| a) | Significant accounting judgements and estimates (continued) |
|----|-------------------------------------------------------------|

----

| Name                                | Place of incorporation   | Interest %                     | Principal activity                               |
|-------------------------------------|--------------------------|--------------------------------|--------------------------------------------------|
| Target Exploration and Mining Corp. | British Columbia, Canada | 100% ownership by the Company  | Exploration and evaluation of mineral properties |
| Crosshair Energy USA, Inc.          | Nevada, United States    | 100% ownership by Target       | Exploration and evaluation of mineral properties |
| Bootheel Project LLC                | Colorado, United States  | 81% ownership by Crosshair USA | Exploration and evaluation of mineral properties |
| Gemini Metals Corp.                 | British Columbia, Canada | 100% ownership by the Company  | Inactive subsidiary                              |
| Asset or Liability               | Category              | Measurement    |
|----------------------------------|-----------------------|----------------|
| Cash and cash equivalents        | FVTPL                 | Fair value     |
| Marketable securities            | FVTPL                 | Fair value     |
| Loan receivable                  | Loans and receivables | Amortized cost |
| Other receivables                | Loans and receivables | Amortized cost |
| Available-for-sale investment    | Available-for-sale    | Cost           |
| Reclamation bonds                | Held to maturity      | Amortized cost |
| Payables and accrued liabilities | Other liabilities     | Amortized cost |
| Due to related parties           | Other liabilities     | Amortized cost |

----

----

| Exploration equipment | 20% |
|-----------------------|-----|
| Storage containers    | 10% |

----

----

----

|                               |   | Canadian Zinc Corp.(TSE: CZN) |       |   | Ausroc Metals Ltd.(ASX: ARK) |   |    | Expedition Mining Inc. (CVE: EXU) |   |   | Total      |   |
|------------------------------------|--------|-------------------------------|------------|--------|------------------------------|--------|---------|-----------------------------------|--------|--------|------------|--------|
|                               |   |                          |       |   |                         |   |    |                              |   |   |       |   |
| Cost                               |   |                          |       |   |                         |   |    |                              |   |   |       |   |
|                               |   |                          |       |   |                         |   |    |                              |   |   |       |   |
| Balance at April 30, 2014          |   | $                             | 2,458,336  |   |                         | $      | 97,024  |                              |   | $      | 1,000,000  |   |   | $ | 3,555,360 |   |
| Disposals                          |   |                          | (2,458,336 | )      |                         |   | -       |                              |   |   | (1,000,000 | )      |   |   | (3,458,336 | ) |
| Balance at April 30, 2015 and 2016 |   |                          | -          |   |                         |   | 97,024  |                              |   |   | -          |   |   |   | 97,024 |   |
|                               |   |                          |       |   |                         |   |    |                              |   |   |       |   |   |   |   |   |
| Adjustments to Fair Value          |   |                          |       |   |                         |   |    |                              |   |   |       |   |   |   |   |   |
|                               |   |                          |       |   |                         |   |    |                              |   |   |       |   |   |   |   |   |
| Balance at April 30, 2014          |   |                          | (2,436,510 | )      |                         |   | (97,024 | )                                 |   |   | (966,667   | )      |   |   | (3,500,201 | ) |
| Adjustment for the year            |   |                          | 2,436,510  |   |                         |   | -       |                              |   |   | 966,667    |   |   |   | 3,403,177 |   |
| Balance at April 30, 2015 and 2016 |   |                          | -          |   |                         |   | (97,024 | )                                 |   |   | -          |   |   |   | (97,024 | ) |
|                               |   |                          |       |   |                         |   |    |                              |   |   |       |   |   |   |   |   |
| Fair Value                         |   |                          |       |   |                         |   |    |                              |   |   |       |   |   |   |   |   |
|                               |   |                          |       |   |                         |   |    |                              |   |   |       |   |   |   |   |   |
| At April 30, 2015                  |   | $                             | -          |   |                         | $      | -       |                              |   | $      | -          |   |   | $ | - |   |
| At April 30, 2016                  |   | $                             | -          |   |                         | $      | -       |                              |   | $      | -          |   |   | $ | - |   |

----

----

|                      |   | ExplorationEquipment |     |   | StorageContainers |   |   | Total  |   |
|---------------------------|--------|----------------------|----------|--------|-------------------|--------|--------|--------|--------|
|                      |   |                 |     |   |              |   |   |   |   |
| Cost                      |   |                 |     |   |              |   |   |   |   |
|                      |   |                 |     |   |              |   |   |   |   |
| Balance at April 30, 2014 |   | $                    | 298,586  |   |              | $      | -      |   |   | $ | 298,586 |   |
| Additions                 |   |                 | -        |   |              |   | 3,000  |   |   |   | 3,000 |   |
| Balance at April 30, 2015 |   |                 | 298,586  |   |              |   | 3,000  |   |   |   | 301,586 |   |
| Disposals                 |   |                 | (289,086 | )      |              |   | (3,000 | )      |   |   | (292,086 | ) |
| Impairment                |   |                 | (9,500   | )      |              |   | -      |   |   |   | (9,500 | ) |
| Balance at April 30, 2016 |   |                 | -        |   |              |   | -      |   |   |   | - |   |
|                      |   |                 |     |   |              |   |   |   |   |   |   |   |
| Accumulated Depreciation  |   |                 |     |   |              |   |   |   |   |   |   |   |
|                      |   |                 |     |   |              |   |   |   |   |   |   |   |
| Balance at April 30, 2014 |   |                 | 207,570  |   |              |   | -      |   |   |   | 207,570 |   |
| Depreciation              |   |                 | 18,203   |   |              |   | 225    |   |   |   | 18,428 |   |
| Balance at April 30, 2015 |   |                 | 225,773  |   |              |   | 225    |   |   |   | 225,998 |   |
| Depreciation              |   |                 | 4,920    |   |              |   | 93     |   |   |   | 5,013 |   |
| Disposals                 |   |                 | (222,995 | )      |              |   | (318   | )      |   |   | (223,313 | ) |
| Impairment                |   |                 | (7,698   | )      |              |   | -      |   |   |   | (7,698 | ) |
| Balance at April 30, 2016 |   |                 | -        |   |              |   | -      |   |   |   | - |   |
|                      |   |                 |     |   |              |   |   |   |   |   |   |   |
| Net Book Value            |   |                 |     |   |              |   |   |   |   |   |   |   |
|                      |   |                 |     |   |              |   |   |   |   |   |   |   |
| At April 30, 2015         |   | $                    | 72,813   |   |              | $      | 2,775  |   |   | $ | 75,588 |   |
| At April 30, 2016         |   | $                    | -        |   |              | $      | -      |   |   | $ | - |   |

----

----

|                               |   | Central Mineral Belt ("CMB") |       |
|------------------------------------|--------|------------------------------|------------|
|                               |   | Silver Spruce                |       |
|                               |   |                         |       |
| Balance at April 30, 2014 and 2015 |   | $                            | 2,509,791  |   |
| Impairment                         |   |                         | (2,509,791 | ) |
| Balance at April 30, 2016          |   | $                            | -          |   |

----

|                        |   | Bootheel Project |   |   | CMBSilver Spruce |   |   | Total  |   |
|-----------------------------|--------|------------------|--------|--------|------------------|--------|--------|--------|--------|
|                        |   |             |   |   |             |   |   |   |   |
| Administration              |   | $                | 30,033 |   |             | $      | 17,950 |   |   | $ | 47,983 |   |
| Reporting                   |   |             | 9,980  |   |             |   | -      |   |   |   | 9,980 |   |
| Recovery – JV Partner |   |             | (7,106 | )      |             |   | -      |   |   |   | (7,106 | ) |
|                        |   | $                | 32,907 |   |             | $      | 17,950 |   |   | $ | 50,857 |   |

----

|                        |   | Bootheel Project |   |
|-----------------------------|--------|------------------|--------|
|                        |   |             |   |
| Administration              |   | $                | 27,367 |   |
| Reporting                   |   |             | 1,925  |   |
| Recovery – JV Partner |   |             | (7,811 | ) |
|                        |   | $                | 21,481 |   |

----

|                        |   | CMBMoran Lake |   |   | Bootheel Project |   |    | Other  |   |   | Total  |   |
|-----------------------------|--------|---------------|--------|--------|------------------|--------|---------|--------|--------|--------|--------|--------|
|                        |   |          |   |   |             |   |    |   |   |   |   |   |
| Administration (recovery)   |   | $             | 560    |   |             | $      | 34,673  |   |   | $      | (16    | )      |   | $ | 35,217 |   |
| Reclamation costs           |   |          | -      |   |             |   | 10,921  |   |   |   | -      |   |   |   | 10,921 |   |
| Recovery – JV Partner |   |          | -      |   |             |   | (11,913 | )      |   |   | -      |   |   |   | (11,913 | ) |
|                        |   | $             | 560    |   |             | $      | 33,681  |   |   | $      | (16    | )      |   | $ | 34,225 |   |

----

----

----

|              |   | April 30, 2016 |   |   | April 30, 2015 |   |
|-------------------|--------|----------------|--------|--------|----------------|--------|
|              |   |           |   |   |           |   |
| Beginning balance |   | $              | 20,807 |   |           | $      | 19,267 |   |
| Interest          |   |           | -      |   |           |   | 1,540 |   |
| Ending balance    |   | $              | 20,807 |   |           | $      | 20,807 |   |

----

----

|                                 |   | Number of Warrants |       |   | Weighted Average Exercise Price |   |
|--------------------------------------|--------|--------------------|------------|--------|---------------------------------|--------|
|                                 |   |               |       |   |                            |   |
| Outstanding, April 30, 2013          |   |               | 917,246    |   |                            | $      | 6.79 |   |
| Expired                              |   |               | (917,246   | )      |                            | $      | 6.79 |   |
| Outstanding, April 30, 2014          |   |               | -          |   |                            |   | - |   |
| Issued                               |   |               | 20,000,000 |   |                            | $      | 0.25 |   |
| Outstanding, April 30, 2015 and 2016 |   |               | 20,000,000 |   |                            | $      | 0.25 |   |

----

| Outstanding |       |   | Exercise Price |   |   | Remaining Life (Years) |   | Expiry Date              |
|-------------|------------|--------|----------------|--------|--------|------------------------|--------|--------------------------|
|        |       |   |           |   |   |                   |   |      |
|        | 20,000,000 |   |           | $      | 0.25   |                   |   |                     | 3.39 |   | September 16, 2019 |

----

|                        |   | Number of Stock Options |     |   | Weighted Average Exercise Price |   |
|-----------------------------|--------|-------------------------|----------|--------|---------------------------------|--------|
|                        |   |                    |     |   |                            |   |
| Outstanding, April 30, 2013 |   |                    | 599,963  |   |                            | $      | 10.43 |   |
| Forfeited                   |   |                    | (187,250 | )      |                            | $      | 6.75 |   |
| Expired                     |   |                    | (70,500  | )      |                            | $      | 12.55 |   |
| Outstanding, April 30, 2014 |   |                    | 342,213  |   |                            | $      | 12.01 |   |
| Forfeited                   |   |                    | (232,750 | )      |                            | $      | 12.70 |   |
| Expired                     |   |                    | (83,463  | )      |                            | $      | 10.10 |   |
| Outstanding, April 30, 2015 |   |                    | 26,000   |   |                            | $      | 11.95 |   |
| Forfeited                   |   |                    | (6,000   | )      |                            | $      | 3.80 |   |
| Expired                     |   |                    | (20,000  | )      |                            | $      | 14.40 |   |
| Outstanding, April 30, 2016 |   |                    | -        |   |                            |   | - |   |

----

----

|                   |   | April 30, 2016 |   |   | April 30, 2015 |   |   | April 30, 2014 |   |
|------------------------|--------|----------------|--------|--------|----------------|--------|--------|----------------|--------|
|                   |   |           |   |   |           |   |   |           |   |
| Share-based payments   |   | $              | -      |   |           | $      | -      |           |   | $ | 27,463 |   |
| Short-term benefits(1) |   |           | 69,050 |   |           |   | 50,751 |           |   |   | 207,723 |   |
|                   |   | $              | 69,050 |   |           | $      | 50,751 |           |   | $ | 235,186 |   |

| (1) | include base salaries and directors' fees, pursuant to contractual employment or consultancy arrangements, management and consulting fees |
|-----|-------------------------------------------------------------------------------------------------------------------------------------------|

----

|                |   | April 30, 2016 |    |   | April 30, 2015 |   |    | April 30, 2014 |   |
|---------------------|--------|----------------|---------|--------|----------------|--------|---------|----------------|--------|
|                |   |           |    |   |           |   |    |           |   |
| King & Bay West |   | $              | 243,393 |   |           | $      | 299,470 |           |   | $ | 303,832 |   |

| · | King & Bay West - $254,123 (April 30, 2015 - $312,886).  The amount due to King & Bay West includes a term loan in the amount of $206,810 (April 30, 2015 - $206,810) which becomes due on September 16, 2016. |
|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| · | MJM Consulting Corp., an entity owned by Mark Morabito, the President and Chief Executive Officer of the Company - $1,121 (April 30, 2015 - $Nil). |
|--------|----------------------------------------------------------------------------------------------------------------------------------------------------|

----

| · | Jet Metal will complete a private placement (the "Concurrent Financing") of units ("Units") for gross proceeds of up to $6,000,000. Each Unit will consist of one common share of Jet Metal and one half of one share purchase warrant. Each whole share purchase warrant shall be exercisable into a common share of Jet Metal for 24 months. Subject to Exchange approval, Jet Metal may pay commissions or finder's fees in connection with the Concurrent Financing and may appoint a broker to assist with the Concurrent Financing. The Concurrent Financing will close immediately prior to or concurrently with the Transaction; and |
|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| · | The Transaction will have received shareholder approval and the approval of the Exchange.  Subsequent to the year ended April 30, 2016, the shareholders of the Company approved the Transaction on July 27, 2016 (Note 17) and conditional approval from the Exchange was received. |
|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

| · | On December 9, 2014, the Company issued 612,500 common shares valued at $107,188 to settle amounts payable to MJM Consulting Corp. totaling $91,875 (Notes 9 and 10). |
|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| · | On December 9, 2014, the Company issued 1,027,916 common shares valued at $179,885 to settle amounts payable to King & Bay West totaling $154,187 (Notes 9 and 10). |
|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| · | On September 16, 2014, the Company realized a gain on forgiveness and settlement of related party debt in the amount of $184,141 pursuant to the Debt Settlement Agreement (Note 10). |
|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

----

|                                                           |   | April 30, 2016 |       |   | April 30, 2015 |   |     | April 30,2014 |   |
|----------------------------------------------------------------|--------|----------------|------------|--------|----------------|--------|----------|---------------|--------|
|                                                           |   |           |       |   |           |   |     |          |   |
| Loss for the year                                              |   | $              | (3,118,609 | )      |           | $      | (357,729 | )             |   | $ | (3,967,283 | ) |
|                                                           |   |           |       |   |           |   |     |          |   |   |   |   |
| Expected income tax recoverable at statutory rate              |   |           | (811,000   | )      |           |   | (93,000  | )             |   |   | (1,002,000 | ) |
| Permanent differences                                          |   |           | 17,000     |   |           |   | (47,000  | )             |   |   | (8,000 | ) |
| Share issuance costs                                           |   |           | -          |   |           |   | (9,000   | )             |   |   | - |   |
| Impact of different subsidiary tax rates and other             |   |           | 16,000     |   |           |   | 49,000   |          |   |   | (614,000 | ) |
| Change in unrecognized deductible temporary differences        |   |           | 1,034,000  |   |           |   | 125,000  |          |   |   | 1,565,000 |   |
| Losses expired                                                 |   |           | 222,000    |   |           |   | 19,000   |          |   |   | - |   |
| Adjustment to prior years provision versus statutory tax rates |   |           | (478,000   | )      |           |   | (44,000  | )             |   |   | 59,000 |   |
| Total income tax recovery                                      |   | $              | -          |   |           | $      | -        |          |   | $ | - |   |

----

|                                                                 |   | April 30, 2016 |       |   | Expiry Date Range |           |        | April 30, 2015 |   |
|----------------------------------------------------------------------|--------|----------------|------------|--------|-------------------|----------------|-------------|----------------|--------|
|                                                                 |   |           |       |   |              |           |        |           |   |
| Temporary Differences                                                |   |           |       |   |              |           |        |           |   |
|                                                                 |   |           |       |   |              |           |        |           |   |
| Exploration and evaluation assets                                    |   | $              | 47,008,000 |   |              | No expiry date |        |           | $      | 44,447,000 |   |
| Investment tax credit                                                |   |           | 1,152,000  |   |              |           | 2028        |           |   |   | 1,151,000 |   |
| Equipment                                                            |   |           | 360,000    |   |              | No expiry date |        |           |   | 579,000 |   |
| Canadian eligible capital (CEC)                                      |   |           | 1,000      |   |              | No expiry date |        |           |   | 1,000 |   |
| Share issue costs                                                    |   |           | 30,000     |   |              |           | 2029 - 2039 |           |   |   | 137,000 |   |
| Future reclamation provision                                         |   |           | 21,000     |   |              | No expiry date |        |           |   | 21,000 |   |
| Marketable securities                                                |   |           | 97,000     |   |              | No expiry date |        |           |   | 97,000 |   |
| Allowable capital losses                                             |   |           | 1,837,000  |   |              | No expiry date |        |           |   | 1,703,000 |   |
| Non-capital losses available for future period – Canada        |   |           | 22,190,000 |   |              |           | 2017 - 2036 |           |   |   | 22,444,000 |   |
| Non-capital losses available for future period – United States |   |           | 3,447,000  |   |              |           | 2027 - 2036 |           |   |   | 2,035,000 |   |

----

----

|                                  |   | April 30, 2016 |   |   | April 30, 2015 |   |
|---------------------------------------|--------|----------------|--------|--------|----------------|--------|
|                                  |   |           |   |   |           |   |
| Exploration and evaluation assets     |   |           |   |   |           |   |
|                                  |   |           |   |   |           |   |
| Canada                                |   | $              | -      |   |           | $      | 2,509,791 |   |
|                                  |   |           |   |   |           |   |   |   |
| Property and equipment                |   |           |   |   |           |   |   |   |
|                                  |   |           |   |   |           |   |   |   |
|     United States |   | $              | -      |   |           | $      | 2,002 |   |
|     Canada        |   |           | -      |   |           |   | 73,586 |   |
|                                  |   | $              | -      |   |           | $      | 75,588 |   |
|                                  |   |           |   |   |           |   |   |   |
| Reclamation bonds                     |   |           |   |   |           |   |   |   |
|                                  |   |           |   |   |           |   |   |   |
|     United States |   | $              | 10,416 |   |           | $      | 31,267 |   |

----

| (a) | Interest rate risk |
|-----|--------------------|

| (b) | Price risk |
|-----|------------|

| (c) | Currency risk |
|-----|---------------|

----

| · | On May 13, 2016, the Company provided Jetlines with an additional advance in the amount of $33,600 in accordance with the Loan Agreement between the Company and Jetlines (Note 11). |
|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| · | On June 23, 2016, the Company amended the Loan Agreement to increase the principal amount to up to $200,000 to Jetlines (Note 11).  Subsequently on June 28, 2016, the Company provided Jetlines with an additional advance in the amount of $50,000, resulting in a total principal balance of the Loan, as amended, in the amount of $200,000. |
|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| · | On July 27, 2016, the shareholders of the Company approved the Transaction and related matters (Note 11). |
|--------|-----------------------------------------------------------------------------------------------------------|

----

----

| 1.1(1) | Certificate of Incorporation dated September 2, 1966 |
|--------|------------------------------------------------------|

| 1.2(1) | Memorandum dated August 31, 1966 |
|--------|----------------------------------|

| 1.3(1) | Certificate of Conversion to Public Company dated February 20, 1967 |
|--------|---------------------------------------------------------------------|

| 1.4(1) | Certificate of Name Change from Shasta Mines & Oil Ltd. (NPL) to International Shasta Resources Ltd dated February 4, 1975 |
|--------|--------------------------------------------------------------------------------------------------------------------------------|

| 1.5(1) | Certificate of Name Change from International Shasta Resources Ltd. to Consolidated Shasta Resources Inc dated May 20, 1994 |
|--------|-----------------------------------------------------------------------------------------------------------------------------|

| 1.6(1) | Certificate of Name Change from Consolidated Shasta Resources Inc. to Lima Gold Corporation dated November 23, 1994 |
|--------|---------------------------------------------------------------------------------------------------------------------|

| 1.7(1) | Certificate of Name Change from Lima Gold Corporation to International Lima Resources Corp. dated September 21, 1999 |
|--------|----------------------------------------------------------------------------------------------------------------------|

| 1.8(1) | Certificate of Name Change from International Lima Resources Corp. to Crosshair Exploration & Mining Corp. dated March 1, 2004 |
|--------|------------------------------------------------------------------------------------------------------------------------------------|

| 1.9(1) | Transition Application and Notice of Articles transitioning from the former Company Act (British Columbia) to the Business Corporations Act (British Columbia) dated June 1, 2004 |
|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 1.10(1) | Notice of Alteration removing the Pre-Existing Company Provisions filed September 30, 2004 |
|---------|--------------------------------------------------------------------------------------------|

| 1.11(1) | Notice of Alteration increasing the authorized share capital from 100,000,000 common shares to an unlimited number of common shares filed March 11, 2005 |
|---------|----------------------------------------------------------------------------------------------------------------------------------------------------------|

| 1.12(1) | New Articles – 2004 |
|---------|---------------------------|

| 1.13(9) | Certificate of Name Change from Crosshair Exploration & Mining Corp. to Crosshair Energy Corporation dated October 28, 2011. |
|---------|----------------------------------------------------------------------------------------------------------------------------------|

| 1.14(10) | Certificate of Name Change from Crosshair Energy Corporation to Jet Metal Corp. dated September 17, 2013 |
|----------|----------------------------------------------------------------------------------------------------------|

| 2.1(10) | Specimen Common Share certificate |
|---------|-----------------------------------|

| 2.2(1) | Sample of Warrant Terms and Conditions |
|--------|----------------------------------------|

| 4.1(1) | Victoria Lake Property Agreement between Rubicon Minerals Corp. and the Company dated February 14, 2003.  (This agreement is in relation to the South Golden Promise Property) |
|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 4.2(1) | 1st Amended Agreement with Rubicon Minerals Corp. regarding Victoria Lake Property dated April 29, 2004. (This agreement relates to the South Golden Promise Property) |
|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 4.3(1) | 2nd Amended Agreement with Rubicon Minerals Corp. regarding Victoria Lake Property dated November 16, 2004. (This agreement relates to the South Golden Promise Property) |
|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 4.4(2) | Golden Promise Agreement between Rubicon Minerals Corp. and the Company dated May 1, 2006 |
|--------|-------------------------------------------------------------------------------------------|

----

| 4.5(1) | Amended and Restated Moran Lake Agreement between Lewis Murphy and the Company dated March 1, 2005 |
|--------|----------------------------------------------------------------------------------------------------|

| 4.6(10) | Stock Option Plan dated as of January 2, 2014 |
|---------|-----------------------------------------------|

| 4.7(10) | Sample Stock Option Agreement |
|---------|-------------------------------|

| 4.811) | Management Services Agreement with King & Bay West Management Corp. dated September 16, 2014 |
|--------|--------------------------------------------------------------------------------------------------|

| 4.9(4) | Amended and Restated Shareholder Rights Plan Agreement with Computershare Investor Services Inc. dated as of November 19, 2007, as amended and restated March 31, 2008 |
|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 4.1011) | Warrant Indenture between the Company and Computershare Trust Company of Canada dated September 16, 2014 |
|---------|----------------------------------------------------------------------------------------------------------|

| 4.11 | Amalgamation Agreement between the Company and Canada Jetlines Ltd. dated April 12, 2016. |
|------|-------------------------------------------------------------------------------------------|

| 4.12(6) | Purchase and Sale Agreement between the Company and Expedition dated July 29, 2008 |
|---------|------------------------------------------------------------------------------------|

| 4.13(6) | Settlement and Release Agreement made among Expedition, Silver Spruce and the Company dated July 29, 2008 |
|---------|-----------------------------------------------------------------------------------------------------------|

| 4.14(6) | Combination Agreement made among the Company, 0843540 B.C. Ltd. and Target dated January 28, 2009 |
|---------|---------------------------------------------------------------------------------------------------|

| 4.15(6) | Golden Promise Option and Joint Venture Agreement between the Company and Paragon dated April 8, 2009 |
|---------|-------------------------------------------------------------------------------------------------------|

| 4.16(6) | List of Jet Subsidiaries |
|---------|--------------------------|

| 4.17(6) | The Bootheel Project, LLC Exploration, Development & Mine Operating Agreement among 448018 Exploration, Inc., NFUR Bootheel, LLC, Target Exploration and Mining Corp., Ur-Energy USA Inc. and NFU Wyoming LLC dated June 7, 2007 |
|---------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 4.18(7) | Amendment No. 1 to The Bootheel Project, LLC Exploration, Development & Mine Operating Agreement dated December 21, 2007 |
|---------|------------------------------------------------------------------------------------------------------------------------------|

| 4.19(6) | Uranium Lease and Surface and Damage Agreement between 448018 Exploration, Inc. and M J Ranches dated February 5, 2008 |
|---------|------------------------------------------------------------------------------------------------------------------------|

| 4.20(6) | Assignment of Uranium Lease and Surface and Damage Agreement between 448018 Exploration, Inc. and The Bootheel Project, LLC dated April 11, 2008 |
|---------|--------------------------------------------------------------------------------------------------------------------------------------------------|

| 4.21(6) | Surface Impact Agreement between 448018 Exploration, Inc. and M J Ranches dated February 5, 2008 |
|---------|--------------------------------------------------------------------------------------------------|

| 4.22(6) | Assignment of Surface Impact Agreement between 448018 Exploration, Inc. and The Bootheel Project, LLC dated April 11, 2008 |
|---------|----------------------------------------------------------------------------------------------------------------------------|

| 4.23(8) | Juniper Ridge Agreement between Strathmore Resources (US) Ltd., Strathmore Minerals Corp., the Company and 448018 Exploration, Inc. dated October 29, 2010 |
|---------|------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 4.24(9) | Moran Lake Co-Ownership Agreement between the Company and Lewis Murphy dated December 5, 2011 |
|---------|-----------------------------------------------------------------------------------------------|

----

| 11.1(3) | Code of Ethics |
|---------|----------------|

| 12.1 | Section 302 CEO Certification |
|------|-------------------------------|

| 12.2 | Section 302 CFO Certification |
|------|-------------------------------|

| 13.1 | Section 906 CEO Certification |
|------|-------------------------------|

| 13.2 | Section 906 CFO Certification |
|------|-------------------------------|

| (1) | Filed as an exhibit to our Registration Statement on Form 20-F filed April 25, 2006. |
|-----|--------------------------------------------------------------------------------------|

| (2) | Filed as an exhibit to our Registration Statement on Form 20-F filed July 21, 2006. |
|-----|-------------------------------------------------------------------------------------|

| (3) | Filed as an exhibit to our Form 6-K filed April 8, 2009. |
|-----|----------------------------------------------------------|

| (4) | Filed as an exhibit to our Form 6-K filed April 16, 2008. |
|-----|-----------------------------------------------------------|

| (5) | Filed as an exhibit to our Form 6-K filed January 29, 2009. |
|-----|-------------------------------------------------------------|

| (6) | Filed as an exhibit to our Annual Report on Form 20-F filed June 25, 2009. |
|-----|----------------------------------------------------------------------------|

| (7) | Filed as an exhibit to our Annual Report on Form 20-F filed July 29, 2010. |
|-----|----------------------------------------------------------------------------|

| (8) | Filed as an exhibit to our Annual Report on Form 20-F filed July 29, 2011. |
|-----|----------------------------------------------------------------------------|

| (9) | Filed as an exhibit to our Annual Report on Form 20-F filed July 24, 2012. |
|-----|----------------------------------------------------------------------------|

| (10) | Filed as an exhibit to our Annual Report on Form 20-F filed August 25, 2014. |
|------|------------------------------------------------------------------------------|

| (11) | Filed as an exhibit to our Annual Report on Form 20-F filed August 25, 2015. |
|------|------------------------------------------------------------------------------|

----

----

----

----

----