# EDGAR Filing Document

**Accession Number:** 0001339688
**File Stem:** 0001062993-25-014353
**Filing Date:** 2025-8
**Character Count:** 118555
**Document Hash:** 4e8a8d87bc5fc319476ad7fb9f5e68d6
**Contains OCR:** False
**Source Format:** 

## Filing Content

## Filing Summary
**0001062993-25-014353.hdr.sgml**: 20250814

**ACCESSION NUMBER**: 0001062993-25-014353

**CONFORMED SUBMISSION TYPE**: 10-Q

**PUBLIC DOCUMENT COUNT**: 81

**CONFORMED PERIOD OF REPORT**: 20250630

**FILED AS OF DATE**: 20250814

**DATE AS OF CHANGE**: 20250814

**FILER**: 

**COMPANY DATA:**
- **COMPANY CONFORMED NAME:** LION COPPER & GOLD CORP.
- **CENTRAL INDEX KEY:** 0001339688
- **STANDARD INDUSTRIAL CLASSIFICATION:** METAL MINING [1000]
- **ORGANIZATION NAME:** 01 Energy & Transportation
- **EIN:** 000000000
- **STATE OF INCORPORATION:** A1
- **FISCAL YEAR END:** 1231

**FILING VALUES:**
- **FORM TYPE:** 10-Q
- **SEC ACT:** 1934 Act
- **SEC FILE NUMBER:** 000-55139
- **FILM NUMBER:** 251214463

**BUSINESS ADDRESS:**
- **STREET 1:** C/O #1200-750 WEST PENDER STREET
- **CITY:** VANCOUVER
- **STATE:** A1
- **ZIP:** V6C 2T8
- **BUSINESS PHONE:** 778-898-0057

**MAIL ADDRESS:**
- **STREET 1:** C/O #1200-750 WEST PENDER STREET
- **CITY:** VANCOUVER
- **STATE:** A1
- **ZIP:** V6C 2T8

**FORMER COMPANY:**
- **FORMER CONFORMED NAME:** QUATERRA RESOURCES INC
- **DATE OF NAME CHANGE:** 20050923

?xml version='1.0' encoding='ASCII'? Lion Copper and Gold Corp.: Form 10-Q - Filed by newsfilecorp.com

------

**UNITED STATES** 

**SECURITIES AND EXCHANGE COMMISSION**

Washington, D.C. 20549

**FORM 10-Q**

**[X] QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934**

For the quarterly period ended <u>**June 30, 2025**</u>

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **[ ] TRANSITION REPORT UNDER SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934** 

For the transition period from __________________ to __________________

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **000-55139** 

(Commission File Number)

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **<u>LION COPPER AND GOLD CORP.</u>**

(Exact name of registrant as specified in its charter)

---

| | |
|:---|:---|
| <u>**British Columbia, Canada**</u> | **98-1664106** |
| (State or other jurisdiction | (IRS Employer |
| of incorporation or organization) | Identification No.) |

---

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **143 S Nevada St., Yerington, NV 89447** 

(Address of principal executive offices) (Zip Code)

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **775-463-9600** 

(Registrant's telephone number, including area code)

**N/A**

(Former name, former address and former fiscal year, if changed since last report)

Securities registered pursuant to Section 12(b) of the Act: <u>**None**</u>

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes [**X**] No [ ]

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T during the preceding 12 months (or for such shorter period that the registrant was required to submit such files). Yes [**X**] No [ ]

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See the definitions of "large accelerated filer," "accelerated filer," "smaller reporting company," and "emerging growth company" in Rule 12b-2 of the Exchange Act.

Large accelerated filer [ ] Accelerated filer [ ] Non-accelerated filer [ ] Smaller reporting company [ **X** ] Emerging growth company [ **X** ]

------

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. [ ]

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes [ ] No [ **X** ]

Indicate the number of shares outstanding of each of the registrant's classes of common stock, as of the latest practicable date: <u>**As of August 14, 2025, the registrant's outstanding common stock consisted of 411,891,862 shares.**</u>

------

**PART I** - **FINANCIAL INFORMATION**

**Item 1. Financial Statements**

------

![form10qxm001.jpg](form10qxz001.jpg)

**Lion Copper and Gold Corp.**

**Condensed Interim Consolidated Financial Statements**

**For the three and six months ended June 30, 2025 and 2024**

**(Expressed in thousands of U.S. Dollars except for shares and per share amounts)**

**(Unaudited)**

------

**Lion Copper and Gold Corp.**<br>Condensed Interim Consolidated Balance Sheets<br>As at June 30, 2025, and December 31, 2024<br>(Unaudited - In thousands of U.S. Dollars)

---

| | | | |
|:---|:---|:---|:---|
| | &nbsp;&nbsp;**Note** | **June 30, 2025** | **Audited<br>December 31,<br>2024** |
| **ASSETS** |  |  |  |
| **Current assets** |  |  |  |
| Cash and cash equivalents |  | $3561 | $7999 |
| Other receivables |  | 13 | 31 |
| Prepaid and deposit |  | 191 | 57 |
|  |  | 3765 | 8087 |
| Mineral properties | 412 | 8127 | 7902 |
| Reclamation bonds |  | 9 | 9 |
| Investment in associate | 5 | 785 | 1102 |
| Right of use asset |  | 19 | 40 |
| **Total assets** |  | $**12705** | $**17140** |
| **LIABILITIES** |  |  |  |
| **Current liabilities** |  |  |  |
| Accounts payable and accrued liabilities |  | $393 | $510 |
| Nuton LLC deposit | 4 | 2361 | 6645 |
| Derivative liabilities | 7 | 2071 | 289 |
| Convertible debentures | 7811 | 679 | 257 |
| Lease liabilities |  | 19 | 40 |
| **Total liabilities** |  | **5523** | **7741** |
| **Stockholders' equity** |  |  |  |
| Share capital, no par value, unlimited common shares authorized; 411,761,264 issued and outstanding (2024 - 411,011,264) | 9 | 110543 | 110459 |
| Additional paid-in capital | 10 | 25954 | 25877 |
| Deficit |  | (133487) | (130597) |
| Non-controlling interest | 6 | 4172 | 3660 |
| **Total stockholders' equity** |  | 7182 | 9399 |
| **Total liabilities and stockholders' equity** |  | $**12705** | $**17140** |

---

*The accompanying notes form an integral part of these condensed interim consolidated financial statements.*

**NATURE OF OPERATIONS AND GOING CONCERN** (Note 1)

**COMMITMENTS** (Note 13)

**SUBSEQUENT EVENTS** (Note 15)

Approved on behalf of the Board of Directors on August 14, 2025:

---

| | |
|:---|:---|
| */s/ "Thomas Patton"*  | */s/ "Tony Alford"* |
| *Director* | *Director* |

---

2 \| Page<br>

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**Lion Copper and Gold Corp.**<br>Condensed Interim Consolidated Statements of Operations and Comprehensive Loss<br>For the three and six months ended June 30, 2025 and 2024<br>(Unaudited - In thousands of U.S. Dollars, except for shares and per share amounts)

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
|  | | **Three months ended June 30,** | **Three months ended June 30,** | **Six months ended June 30,** | **Six months ended June 30,** |
| | <br>**Note** | **2025** | **2024** | **2025** | **2024** |
| **Operating expenses** |  |  |  |  |  |
| Exploration and evaluation | **4** | $987 | $2389 | $2150 | $5049 |
| General and administrative |  | 109 | 164 | 217 | 381 |
| Investor relations and corporate development |  | 58 | 11 | 77 | 23 |
| Professional fees | **4(a)** | 654 | 636 | 1358 | 1118 |
| Salaries and benefits | &nbsp;&nbsp;**4(a),11** | 540 | 490 | 1035 | 879 |
| Share-based payments | **1011** | 171 |  | 1257 | 660 |
| Transfer agent and regulatory |  | 19 | 22 | 56 | 60 |
| Travel |  | 19 | 35 | 62 | 58 |
| Nuton LLC deposit | **4** | (1940) | (3102) | (4153) | (6320) |
| **Operating loss** |  | (617) | (645) | (2059) | (1908) |
| **Non-operating Income/(expenses)** |  |  |  |  |  |
| Fair value (loss) gain on derivative liabilities | **7** | (1008) | (427) | (1782) | 253 |
| Foreign exchange gain (loss) |  | 19 | (7) | (11) | (8) |
| Accretion expense | **8** |  | (29) |  | (140) |
| Share of loss in associate | **5** | (116) | (218) | (317) | (312) |
| Interest and other income |  | 40 | 152 | 169 | 238 |
| Loss on convertible debentures | **8** |  |  |  | (1750) |
|  |  | (1065) | (529) | (1941) | (1719) |
| **Net loss and comprehensive loss for the period** |  | $**(1682)** | $**(1174)** | $**(4000)** | $**(3627)** |
| **Net loss and comprehensive loss attributed to:** |  |  |  |  |  |
| Stockholders of the Company |  | $**(1335)** | $**(961)** | $**(2890)** | $**(3218)** |
| Non-controlling interest | **6** | $**(347)** | $**(213)** | $**(1110)** | $**(409)** |
| **Loss per share, basic and diluted** |  | $**(0.00)** | $**(0.00)** | $**(0.01)** | $**(0.00)** |
| Weighted average number of shares outstanding - basic and diluted |  | **411132693** | **383558952** | **411072314** | **356660132** |

---

*The accompanying notes form an integral part of these condensed interim consolidated financial statements.*

3 \| Page<br>

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**Lion Copper and Gold Corp.**<br>Condensed Interim Consolidated Statements of Changes in Equity<br>For the six months ended June 30, 2025 and 2024<br>(Unaudited - In thousands of U.S. Dollars, except for shares)

---

| | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|
| | &nbsp;&nbsp;**Notes** | **Common shares** | **Share capital** | **Additional<br>paid-in<br>capital** | **Deficit** | **Non-controlling<br>interest** | **Total<br>stockholders'<br>equity** |
| **Balance at December 31, 2023** |  | **309667975** | $**105396** | $**24168** | $**(126663)** | $**3117** | $**6018** |
| Private placement |  | 23809522 | 654 |  |  |  | 654 |
| Private placement - share issuance cost |  | **-** | (27) |  |  |  | (27) |
| Conversion of convertible debentures - original | 8 | 3500000 | 234 |  |  |  | 234 |
| Conversion of convertible debentures - induced | 8 | 45815213 | 2723 |  |  |  | 2723 |
| Exercise of options | 10 | 3063000 | 354 | (173) |  |  | 181 |
| Share-based payments | 10 | **-** | **-** | 660 | **-** | **-** | 660 |
| Issuance of common shares of FCC | 6 |  |  |  |  | 1350 | 1350 |
| Net loss for the period |  |  |  |  | (3218) | (409) | (3627) |
| **Balance at June 30, 2024** |  | **385855710** | $**109334** | $**24655** | $**(129881)** | $**4058** | $**8166** |
| **Balance at December 31, 2024** |  | **411011264** | $**110459** | $**25877** | $**(130597)** | $**3660** | $**9399** |
| Share-based payments | 610 |  |  | 117 |  | 1140 | 1257 |
| Issuance of common shares of FCC | 6 |  |  |  |  | 482 | 482 |
| Exercise of options | 9 | 750000 | 84 | (40) |  |  | 44 |
| Net loss for the period |  |  |  |  | (2890) | (1110) | (4000) |
| **Balance at June 30, 2025** |  | **411761264** | $**110543** | $**25954** | $**(133487)** | $**4172** | $**7182** |

---

*The accompanying notes form an integral part of these condensed interim consolidated financial statements.*

4 \| Page<br>

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**Lion Copper and Gold Corp.**<br>Condensed Interim Consolidated Statements of Changes in Equity<br>For the six months ended June 30, 2025 and 2024<br>(Unaudited - In thousands of U.S. Dollars, except for shares)

---

| | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|
| | &nbsp;&nbsp;**Notes** | **Common shares** | **Share capital** | **Additional<br>paid-in<br>capital** | **Deficit** | **Non-controlling<br>interest** | **Total<br>stockholders'<br>equity** |
| **Balance at March 31, 2024** |  | **382792710** | $**108980** | $**24828** | $**(128920)** | $**3371** | $**8259** |
| Share-based payments | 10 | 3063000 | 354 | (173) |  |  | 181 |
| Issuance of common shares of FCC | 6 |  |  |  |  | 900 | 900 |
| Net loss for the period |  |  |  |  | (961) | (213) | (1174) |
| **Balance at June 30, 2024** |  | **385855710** | $**109334** | $**24655** | $**(129881)** | $**4058** | $**8166** |
| **Balance at March 31, 2025** |  | **411011264** | $**110459** | $**25925** | $**(132152)** | $**4417** | $**8649** |
| Share-based payments | 610 |  |  | 69 |  | 102 | 171 |
| Exercise of options | 9 | 750000 | 84 | (40) |  |  | 44 |
| Net loss for the period |  |  |  |  | (1335) | (347) | (1682) |
| **Balance at June 30, 2025** |  | **411761264** | $**110543** | $**25954** | $**(133487)** | $**4172** | $**7182** |

---

*The accompanying notes form an integral part of these condensed interim consolidated financial statements.*

5 \| Page<br>

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**Lion Copper and Gold Corp.**<br>Condensed Interim Consolidated Statements of Cash Flow<br>For the six months ended June 30, 2025, and 2024<br>(Unaudited - In thousands of U.S. Dollars)

---

| | | |
|:---|:---|:---|
| | **2025** | **2024** |
| **Cash flows (used in) provided by operating activities** |  |  |
| Loss for the period | $(4000) | $(3627) |
| Non-cash transactions: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Interest expense | 12 | 141 |
| &nbsp;&nbsp;&nbsp;&nbsp;Accretion expense |  | 140 |
| &nbsp;&nbsp;&nbsp;&nbsp;Fair value loss (gain) on derivative liabilities | 1782 | (253) |
| &nbsp;&nbsp;&nbsp;&nbsp;Share of loss of investment in associate | 317 | 312 |
| &nbsp;&nbsp;&nbsp;&nbsp;Share-based payments | 1257 | 660 |
| &nbsp;&nbsp;&nbsp;&nbsp;Loss on convertible debentures |  | 1750 |
| &nbsp;&nbsp;&nbsp;&nbsp;Amortization of ROU asset | 21 | 13 |
| Changes in operating assets and liabilities: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Other receivables | 18 | (58) |
| &nbsp;&nbsp;&nbsp;&nbsp;Accounts payable and accrued liabilities | (117) | 559 |
| &nbsp;&nbsp;&nbsp;&nbsp;Prepaid and deposit | (134) | (35) |
| &nbsp;&nbsp;&nbsp;&nbsp;Lease liability | (21) | (13) |
| &nbsp;&nbsp;&nbsp;&nbsp;Nuton LLC deposit | (4284) | 4901 |
| **Net cash (used in) provided by operating activities** | **(5149)** | **4490** |
| **Cash flows used in investing activities** |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Capitalized expenditures on mineral properties | (225) | (155) |
| **Net cash used in investing activities** | **(225)** | **(155)** |
| **Cash flows provided by (used in) financing activities** |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Proceeds from convertible debentures | 416 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Proceeds for issuance of common shares of FCC | 482 | 1350 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Proceeds from exercise of options | 44 | 181 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Proceeds from private placement |  | 1000 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Share issuance costs |  | (27) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Repayment of convertible debentures | (6) | (831) |
| **Net cash provided by financing activities** | **936** | **1673** |
| **(Decrease) increase in cash and cash equivalents** | (4438) | 6008 |
| **Cash and cash equivalents, beginning of period** | 7999 | 2310 |
| **Cash and cash equivalents, end of period** | $**3561** | $**8318** |
| **Supplemental cash flow information** |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Shares issued for convertible debentures | $**-** | $**2957** |

---

*The accompanying notes form an integral part of these condensed interim consolidated financial statements.*

6 \| Page<br>

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**Lion Copper and Gold Corp.**<br>

Notes to the Condensed Interim Consolidated Financial Statements

For the three and six months ended June 30, 2025 and 2024

(Unaudited - In thousands of U.S. Dollars except for shares and per share amounts)

**1. NATURE OF OPERATIONS AND GOING CONCERN**

Lion Copper and Gold Corp. (together with its subsidiaries, "**Lion CG**" or the "**Company**") is a copper explorer advancing its flagship copper assets at Yerington, Nevada, through an option to earn-in agreement with Rio Tinto America Inc. ("**Rio Tinto**"), subsequently assigned to Nuton LLC, a Rio Tinto venture. The Company was incorporated in British Columbia, Canada, on May 11, 1993. Its registered and records offices are located at 1200 - 750 West Pender Street, Vancouver, British Columbia, Canada, V6C 2T8. On September 19, 2024, the Company voluntarily delisted its common shares from the TSX Venture Exchange ("**TSXV**"), which were subsequently listed on the Canadian Securities Exchange ("**CSE**") under the same symbol "LEO" and quoated for trading on the OTCQB Market under the symbol "LCGMF".

The Company acquires its mineral properties through option or lease agreements and capitalizes acquisition costs related to the properties. The underlying value of the amounts recorded as mineral properties does not reflect current or future values. The Company's continued existence depends on discovering economically recoverable mineral reserves and obtaining the necessary funding to advance these properties.

These condensed interim consolidated financial statements ("**Interim Financial Statements**") are prepared on a going concern basis, which contemplates that the Company will be able to meet its commitments, continue operations and realize its assets and discharge its liabilities in the normal course of business for at least twelve months from the date of approval of these Interim Financial Statements from the Board of Directors. During the six months ended June 30, 2025, the Company incurred a loss of $4,000 (2024 - $3,627). As of June 30, 2025, the Company had an accumulated deficit of $133,487 (December 31, 2024 - $130,597), cash and cash equivalents of $3,561 (December 31, 2024 - $7,999), and a working capital deficit of $1,758 (December 31, 2024 - surplus of $346).

The Company has no source of revenue and has specific requirements to maintain its mineral property interests and meet its obligations as they come due. Although the Company has raised funds in the past through debt, equity and strategic investors, there is no assurance that such financing will be available. During the six months ended June 30, 2025, the United States and Canadian governments announced new tariffs on imported goods. This caused uncertainty to raise financing for properties outside of Nuton LLC. If adequate financing is not available or cannot be obtained on a timely basis, the Company may be required to delay, reduce the scope of, or eliminate one or more of its exploration programs, or relinquish its rights under the existing option and acquisition agreements. The above factors represent material uncertainties that cast substantial doubt on the Company's ability to continue as a going concern.

If the going concern assumptions were not appropriate for these Interim Financial Statements, adjustments would be necessary to the carrying values of assets, liabilities, the reported expenses, and the consolidated balance sheet classifications used. Such adjustments could be material.

**2. BASIS OF PRESENTATION**

**Statement of compliance** 

The Interim Financial Statements of the Company have been prepared in accordance with accounting principles generally accepted in the United States ("**U.S. GAAP**") including the accounts of the Company and its subsidiaries. All intercompany accounts and transactions were eliminated upon consolidation.

These Interim Financial Statements have been prepared on a historical cost and accrual basis except for certain financial instruments measured at fair value and the cash flow, respectively.

The Company consolidates an entity when it has power over that entity, is exposed, or has rights, to variable returns from its involvement with that entity and can affect those returns through its control over that entity.

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**Lion Copper and Gold Corp.**<br> Notes to the Condensed Interim Consolidated Financial Statements<br> For the three and six months ended June 30, 2025 and 2024<br> (Unaudited - In thousands of U.S. Dollars except for shares and per share amounts)<br>

These Interim Financial Statements include the Interim financial statements of Lion CG and its subsidiaries:

![form10qxm002.jpg](form10qxz002.jpg)

On October 4, 2021, Blue Copper LLC was incorporated in Montana, USA and acquired Blue Copper Prospect in Powell County and Lewis & Clark County in Montana.

On April 5, 2022, Quaterra Alaska Inc. ("Quaterra Alaska") sold its two options to acquire the Butte Valley property to Falcon Butte Minerals Corp. ("**Falcon Butte**"), formerly 1301666 B.C. Ltd., for $500 cash and 16,049,444 shares in Falcon Butte represented 25.54% of shares outstanding (Note 5).

On December 13, 2022, Quaterra Alaska transferred its 100% interest in Blue Copper LLC, a 90% interest in the Groundhog property in Alaska, a 5% net profit interest associated with the Nieves silver property in Mexico, and Butte Valley royalty to Falcon Copper Corp., ("**FCC**") formerly, Blue Copper Resources Corp. in exchange for 57,513,764 common shares of FCC, represented 79.3% of the FCC's then-issued and outstanding shares (Note 6).

On August 25, 2023, Blue Copper Royalties LLC was incorporated in Wyoming for the purpose of holding certain royalties and on September 6, 2023, FCC transferred the Butte Valley royalty and interest in Nieves to Blue Copper Royalties.

3. **SIGNIFICANT ACCOUNTING POLICIES** 

The significant accounting policies applied in the preparation of these Interim Financial Statements are consistent with the accounting policies disclosed in Note 3 of the Company's audited consolidated financial statements for the year ended December 31, 2024.

In preparing these Interim Financial Statements, management has made judgements, estimates and assumptions that affect the applicability of the Company's accounting policies. In preparing these Interim Financial Statements, the significant estimates and critical judgments were the same as those applied to the audited consolidated financial statements as at and for the year ended December 31, 2024.

During the year ended December 31, 2024, the Company's ownership in FCC dropped below 50%, with ownership being 43.46% as at December 31, 2024 and 42.14% as at June 30, 2025. Management assessed control still exists and thus continues to consolidate FCC. In the absence of majority holdings, the Company will continue to consolidate FCC as the Company has majority representation on the board of directors.

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**Lion Copper and Gold Corp.**<br> Notes to the Condensed Interim Consolidated Financial Statements<br> For the three and six months ended June 30, 2025 and 2024<br> (Unaudited - In thousands of U.S. Dollars except for shares and per share amounts)<br>

The Company clarifies that all exploration and development expenditures incurred by Falcon are funded independently by Falcon and its investors. Lion Copper does not provide either direct financial support or intercompany funding for Falcon's exploration activities.

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**Lion Copper and Gold Corp.**<br> Notes to the Condensed Interim Consolidated Financial Statements<br> For the three and six months ended June 30, 2025 and 2024<br> (Unaudited - In thousands of U.S. Dollars except for shares and per share amounts)<br>

**4. MINERAL PROPERTIES** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total mineral property acquisition costs are listed in the table below:

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
|  | **Singatse Peak Services ("SPS")** | **Singatse Peak Services ("SPS")** | **Singatse Peak Services ("SPS")** | **Singatse Peak Services ("SPS")** | **Falcon Copper Corp. ("FCC")** | **Falcon Copper Corp. ("FCC")** |
|  | **MacArthur** | **Yerington** | **Wassuk** | **Copper Canyon** | **Blue Copper** | **Muncy** |
|  | **$** | **$** | **$** | **$** | **$** | **$** |
| **Balance December 31, 2023** | **2489** | **1195** | **1405** | **10** | **878** | **95** |
| Acquisition costs |  |  |  |  | 150 | 105 |
| Paid by Nuton LLC |  | -) |  |  |  | -) |
| Total additions for the year |  |  |  |  | 150 | 105 |
| **Balance December 31, 2024** | **2489** | **1195** | **1405** | **10** | **1028** | **200** |
| Acquisition costs |  |  |  |  | 225 |  |
| Paid by Nuton LLC |  | -) |  |  |  | -) |
| Total additions for the period |  |  |  |  | 225 |  |
| **Balance June 30, 2025** | **2489** | **1195** | **1405** | **10** | **1253** | **200** |

---

The Company owns a 100% interest in the MacArthur, Yerington and Wassuk properties and has an option to earn a 100% interest in the Bear property in Nevada.

10 \| Page<br>

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**Lion Copper and Gold Corp.**<br> Notes to the Condensed Interim Consolidated Financial Statements<br> For the three and six months ended June 30, 2025 and 2024<br> (Unaudited - In thousands of U.S. Dollars except for shares and per share amounts)<br>

Total exploration expenditures recorded on the condensed interim consolidated statements of operations and comprehensive loss are listed in the tables below:

*Exploration expenditures incurred for the six months ended June 30, 2025*

---

| | | | |
|:---|:---|:---|:---|
|  | **Falcon Copper Corp** | **Falcon Copper Corp** | **Falcon Copper Corp** |
|  | **Blue Copper** | **Muncy** | **Other** |
|  | $| $| $|
| Property maintenance | 38 |  | 22 |
| Assay & Labs |  |  |  |
| Drilling |  |  |  |
| Environmental |  |  |  |
| Geophysical surveys |  | 11 |  |
| Technical study |  |  |  |
| Field support | 28 |  |  |
| **Total expenses incurred** | 66 | 11 | 22 |
| **Total Expenditures funded by Nuton LLC)** **)))** | **-** | **-** | **-)** |
| **Total Expenditures not funded by Nuton LLC** | **66** | **11** | **22** |

---

*Exploration expenditures incurred for the three months ended June 30, 2025*

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **Singatse Peak Services** | **Falcon Copper Corp** | **Falcon Copper Corp** | **Falcon Copper Corp** |
|  | **Wassuk** | **Blue Copper** | **Muncy** | **Other** |
|  | $| $| $| $|
| Property maintenance |  | 7 |  |  |
| Assay & Labs |  |  |  |  |
| Environmental |  |  |  |  |
| Geophysical surveys |  |  | 1 |  |
| Technical study |  |  |  |  |
| Field support |  | 16 |  |  |
| **Total expenses incurred** |  | 23 | 1 |  |
| **Total Expenditures funded by Nuton LLC)** **))** | **-** | **-** | **-** | **-)** |
| **Total Expenditures not funded by Nuton LLC** | **-** | **23** | **1** | **-** |

---

11 \| Page<br>

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**Lion Copper and Gold Corp.**<br> Notes to the Condensed Interim Consolidated Financial Statements<br> For the three and six months ended June 30, 2025 and 2024<br> (Unaudited - In thousands of U.S. Dollars except for shares and per share amounts)<br>

*Exploration expenditures incurred for the six months ended June 30, 2024*

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **Singatse Peak Services** | **Falcon Copper Corp** | **Falcon Copper Corp** | **Falcon Copper Corp** |
|  | **Wassuk** | **Muncy** | **Blue Copper** | **Other** |
|  | $| $| $| $|
| Property maintenance |  |  | 60 |  |
| Assay & Labs |  |  |  |  |
| Drilling |  |  |  |  |
| Environmental |  |  |  |  |
| Geophysical surveys |  | 29 |  |  |
| Technical study |  |  |  |  |
| Field support |  |  | 28 | 2 |
| **Total expenses incurred** | **-** | **29** | **88** | **2** |
| **Total Expenditures funded by Nuton LLC)** **))** | **-** | **-** | **-** | **-)** |
| **Total Expenditures not funded by Nuton LLC** | **-** | **29** | **88** | **2** |

---

*Exploration expenditures incurred for the three months ended June 30, 2024*

---

| | | | |
|:---|:---|:---|:---|
|  | **Singatse Peak Services** | <br>**Falcon Copper Corp** | <br>**Falcon Copper Corp** |
|  | **Wassuk** | **Muncy** | **Blue Copper** |
|  | $| $| $|
| Property maintenance |  |  | 23 |
| Assay & Labs |  |  |  |
| Drilling |  |  |  |
| Environmental |  |  |  |
| Geophysical surveys) |  | 27 |  |
| Technical study |  |  |  |
| Field support |  |  | 9) |
| **Total expenses incurred** | **-** | **27** | **32)** |
| **Total Expenditures funded by Nuton LLC)** **))** | **-** | **-** | **-)** |
| **Total Expenditures not funded by Nuton LLC** | **-** | **27** | **32)** |

---

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**Lion Copper and Gold Corp.**<br> Notes to the Condensed Interim Consolidated Financial Statements<br> For the three and six months ended June 30, 2025 and 2024<br> (Unaudited - In thousands of U.S. Dollars except for shares and per share amounts)<br>

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;a) Option Agreement with Nuton LLC

On March 18, 2022, the Company entered into an Option Agreement, as amended, with Nuton LLC whereby Nuton LLC has the exclusive option to earn an initial 65% interest in the assets comprising Yerington, MacArthur, Wassuk, Bear, and associated water rights (the "**Mining Assets**"). The option is exercisable through a three-stage work program, including a fully funded feasibility study not to exceed $50,000 in Stage 3 (the "**Option Agreement**").

Such initial interest may be further increased upon the terms and conditions set forth in the Option Agreement.

In addition, Nuton LLC will evaluate the potential commercial deployment of its Nuton™ technologies at the Company's project site.

The Option Agreement was effective on April 27, 2022, when TSXV approved it.

On May 16, 2022, the Stage 1 work program for the MacArthur project commenced, focusing on metallurgical testing, engineering scoping studies, and a 6,500- foot drill program. Nuton LLC provided $4,000 in funding for Stage 1, which was completed on December 22, 2022.

On January 5, 2023, a 12-month Stage 2 work program was approved, including Yerington Site engineering studies and a 17,000-foot drill program targeting high priority exploration areas. On January 13, 2023, Nuton LLC funded Stage 2 with $5,000, along with an additional $2,500 advanced from the Stage 3 earn-in amount.

On October 5, 2023, the Option Agreement was amended to modify Stage 2 work program. Under the amendment, Stage 2 was extended and divided into two phases: Stage 2 (work completed through January 12, 2024) and Stage 2b (extending the term to September 12, 2024), allowing for continued testing and evaluation of the Nuton<sup>TM</sup> technologies. On January 4, 2024, Nuton LLC approved and advanced $11,500 of the Stage 3 earn-in amount to fund the Stage 2b work program.

On November 15, 2024, the Option Agreement was amended further to extend the term of Stage 2 until June 30, 2025. Stage 2b was mutually agreed to conclude on September 30, 2024, and a new Stage 2c was established to complete a pre-feasibility study from October 1, 2024, through June 30, 2025.

To fund Stage 2c, Nuton LLC advanced an additional $5,000 of the Stage 3 earn-in amount and agreed to carry over the unspent Stage 2b funding of $3,160 to support the Stage 2c work program.

As of June 30, 2025, Nuton LLC had provided a total of $28,000 under the Option Agreement, including $19,000 advanced from Stage 3, which involves the completion of a feasibility study. If Nuton LLC elects to proceed with Stage 3, it will provide an additional $31,000, bringing total Stage 3 funding to $50,000 (net of the $19,000 advance). If Nuton LLC chooses not to proceed, Lion Copper will retain 100% ownership of its Mining Assets and pursue alternative funding sources.

A continuity of the Company's Nuton LLC deposit is as follows:

---

| | |
|:---|:---|
| **Balance December 31, 2023** | $**1357** |
| Funds received | 16500 |
| Funds applied to prepaids | (15) |
| Funds applied to capitalized acquisition costs | (231) |
| Funds applied to exploration expenditures | (7797) |
| Funds applied to general operating expenditures | (3169) |

---

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**Lion Copper and Gold Corp.**<br> Notes to the Condensed Interim Consolidated Financial Statements<br> For the three and six months ended June 30, 2025 and 2024<br> (Unaudited - In thousands of U.S. Dollars except for shares and per share amounts)<br>

---

| | |
|:---|:---|
| **Balance December 31, 2024** | $**6645** |
| Funds applied to capitalized acquisition costs | (131) |
| Funds applied to exploration expenditures | (2051) |
| Funds applied to general operating expenditures | (2102) |
| **Balance June 30, 2025** | $**2361** |

---

General operating expenditures associated with exploration activities are comprised of salaries of $617 (2024 - $509), water rights related legal and other professional fees of $764 (2024 - $486), and general administration expenses of $721 (2024 - $395) for the six months ended June 30, 2025.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;b) MacArthur and Yerington Properties, Nevada

Located in the historic copper district of Yerington, Nevada, the Company's Yerington and MacArthur properties are 100% owned by SPS, a wholly owned subsidiary of Quaterra Alaska.

The MacArthur Project consists of unpatented lode claims and placer claims and covers lands administered by the U.S. Department of Interior - Bureau of Land Management ("**BLM**").

The MacArthur Project is subject to a 2% net smelter return royalty ("**NSR**") upon commencing commercial production, which can be reduced to a 1% NSR in consideration of $1,000.

The Yerington Mine Property is centered on the former Anaconda open pit copper mine. This includes fee simple parcels and patented mining claims as well as unpatented lode and placer claims on lands administered by the BLM.

The Yerington Mine Property is subject to a 2% NSR upon commencing commercial production. The total lifetime royalty is capped at $7,500.

On March 13, 2025, the Company announced the successful negotiation of a Settlement Agreement with the Nevada Division of Water Resources and the Nevada State Engineering (collectively, the "State") to reinstate 3,452.8 ac-ft of previously forfeited water rights essential for the development of the Yerington Copper project. As a result, the State has officially rescinded its notice of forfeiture, thus restoring all the Company's 6,014.5 ac-ft of water rights to good standing. This Settlement Agreement effectively terminates the legal proceedings initiated by the Company to defend its water rights.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;c) Bear Deposit, Nevada

The Bear deposit consists of private land located to the northeast of the Yerington Mine Property, plus several hundred acres beneath the Yerington Mine property.

The Company has five option agreements, entered from March 2013 to May 2015, to acquire a 100% interest in private lands covering the Bear deposit. Under the terms of these option agreements, as amended, the Company is required to make $6,318 in cash payments over 16 years ($5,765 paid) to maintain the exclusive right to purchase the land, mineral rights, and certain water rights and to conduct mineral exploration on these properties. Two of the properties are subject to a 2% NSR upon commencing commercial production, which can be reduced to a 1% NSR in consideration of $1,250 total.

The outstanding payments required to keep the option agreements in good standing are as follows: $100 due in 2025, $201 due in 2026, $101 due in each of 2027 and 2028, and $50 due in 2029 for a total of $553.

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**Lion Copper and Gold Corp.**<br> Notes to the Condensed Interim Consolidated Financial Statements<br> For the three and six months ended June 30, 2025 and 2024<br> (Unaudited - In thousands of U.S. Dollars except for shares and per share amounts)<br>

These five option agreements include purchase provisions for cash payments ranging from $250 to $22,770, with terms requiring varying written notices (from no notice to 12-month notice).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;d) Wassuk, Nevada

The Wassuk property consists of unpatented lode claims on lands administered by the BLM.

The property is subject to a 3% NSR upon commencing commercial production, which can be reduced to a 2% NSR royalty in consideration of $1,500.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;e) Copper Canyon, Nevada

On August 21, 2023, the Company entered into a Purchase and Sale Agreement with Convergent Mining, LLC, whereby the Company purchased the title to the Copper Canyon claims from Convergent Mining, LLC upon closing of agreement. As consideration, the Company paid $10 in necessary claim fees. Further, the Company is required to pay an exploration fee to Convergent Mining, LLC calculated as 5% of the first $2,000 of qualifying exploration costs, not exceeding $100.

f) Blue Copper Project, Montana

On May 12, 2023, FCC made a payment of $60 for the Freedom and Cyclone claims in Montana which is capitalized in Blue Copper Project.

On April 18, 2023, FCC entered into a lease agreement for a Montana property and paid an initial cash payment of $200 which is capitalized in Blue Copper project.

During the year ended December 31, 2024, the Company paid an advance rental payment of $150 pursuant to the lease agreement.

A Plan of Operations for exploration of the Blue Copper Project is approved by the relevant agencies.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;g) Cabin Property, Nevada

In 2023, FCC staked approximately 9,000 acres of federal mining claims in White Pine County, Nevada, the area of interest which is termed Cabin. The Cabin Property represents a potential major copper-moly porphyry discovery concealed beneath the Spring Valley pediment within a district-scale BLM land package, located immediately north of the Muncy Property.

h) Muncy Property, Nevada

On November 22, 2023, FCC entered into an Option to Joint Venture Agreement with Kennecott Exploration Company ("Kennecott"), a Rio Tinto subsidiary.

Pursuant to the agreement, Kennecott grants FCC the sole and exclusive right and option to acquire 100% interest in the Muncy Property. To exercise this option, FCC must satisfy the following:

* pay the payment commitment of $95 to Kennecott on or before the effective date of November 22, 2023 (Paid);

* pay an additional payment commitment of $105 by December 1, 2024 (Paid);

* pay an additional payment commitment of $50 by December 1, 2025;

* pay an additional payment commitment of $60 by December 1, 2026;

* incur expenditures of $1,500 with respect to the Muncy Property and $1,000 with respect to the Cabin Property on or before the expenditure commitment date of November 22, 2025;

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**Lion Copper and Gold Corp.**<br> Notes to the Condensed Interim Consolidated Financial Statements<br> For the three and six months ended June 30, 2025 and 2024<br> (Unaudited - In thousands of U.S. Dollars except for shares and per share amounts)<br>

* ensure that no less than 70% of the expenditure commitment for the Muncy Property consists of drilling expenses for the Muncy Property;

* ensure that no less than 70% of the expenditure commitment for the Cabin Property consists of drilling expenses for the Cabin Property. 

If FCC decides to terminate the option at any time, they will grant Kennecott a 2.0% net smelter royalty in the Cabin Property. After this is done, the agreement, except for specified sections, will terminate.

If Kennecott elects not to form a joint venture, Kennecott must transfer all their rights in the Muncy Property to the FCC. In return, FCC will grant the optionor a 2.0% NSR in the properties. Before FCC decides to develop a commercial mining operation on any portion of the properties, FCC has the right to reduce the net smelter royalty from 2.0% to 1.0% by paying the optionor $10,000 in cash.

A Plan of Operations for exploration of the Muncy Property is currently under review for approval by the relevant agencies.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;i) Recon, Nevada, Arizona, and other prospects

During the six months ended June 30, 2025, FCC incurred $22 (2024 - $2) in evaluation expenditures on reconnaissance on targets in Nevada, Arizona and Montana in order to determine whether they warranted further pursuit.

**5. INVESTMENT IN ASSOCIATE** 

On April 5, 2022, the Company received 16,049,444 shares in Falcon Butte, in connection with a property acquisition agreement to assign the Company's options to acquire the Butte Valley property. At the time of acquisition, the 16,049,444 shares represented 25.54% of shares outstanding and the initial balance of the investment was determined to be $1,906 ($2,374 CAD). As at December 31, 2024 and June 30, 2025, the Company's share ownership was 20.47 and 20.44%, respectively. The Company and Falcon Butte have one common director, as such, management has assessed that the Company has significant influence over Falcon Butte and that the investment should be accounted for using the equity method of accounting.

Summarized financial information of Falcon Butte and a reconciliation of the carrying amount of the investment in the Interim Financial Statements are set out below:

**Summarized balance sheet:**

---

| | | |
|:---|:---|:---|
|  | **June 30, 2025** | **December 31, 2024** |
| **Assets** |  |  |
| Cash | $239 | $381 |
| Receivables | 7 | 16 |
| Financial asset - Convertible loan receivable | 100 | 100 |
| Prepaids & deposits | 17 | 9 |
| Investment in associate | 3991 | 4067 |
| **Total Assets** | $**4354** | $**4573** |
| **Liabilities** |  |  |
| Accounts payable & accrued liabilities | $19 | $14 |
| Derivative liabilities | 1839 | 881 |
| **Total Liabilities** | $**1858** | $**895** |

---

16 \| Page<br>

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**Lion Copper and Gold Corp.**<br> Notes to the Condensed Interim Consolidated Financial Statements<br> For the three and six months ended June 30, 2025 and 2024<br> (Unaudited - In thousands of U.S. Dollars except for shares and per share amounts)<br>

**Summarized statement of loss**

---

| | | |
|:---|:---|:---|
|  | **Six months ended<br>June 30, 2025** | **Six months ended<br>June 30, 2024** |
| **Operating expenses** |  |  |
| General and administrative expenses | $676 | $2243 |
| Total operating expenses | 676 | 2243 |
| Fair value (gain) loss on derivative liability | 698 | (344) |
| Other income | (54) | (244) |
| Foreign exchange loss (gain) | 231 | (134) |
| **Net loss** | **1551** | **1521** |

---

A continuity of the Company's investment in associate is as follows:

---

| | |
|:---|:---|
| **Balance December 31, 2023** | $**1206** |
| Company's share of net loss | (104) |
| **Balance December 31, 2024** | $**1102** |
| Company's share of net loss | **(317)** |
| **Balance June 30, 2025** | $**785** |

---

**6. NON-CONTROLLING INTEREST**

On December 13, 2022, Quaterra Alaska assigned and transferred all right, title and interest in the Groundhog property, Butte Valley Royalty, 100% of the outstanding membership interest held in Blue Copper LLC, and the interest in the Nieves project to FCC.

As consideration, Quaterra Alaska was issued 57,513,764 common shares of FCC which represented 79.3% of all issued and outstanding shares at December 13, 2022. This transaction was considered a transaction between entities under common control, and thus was recorded at carrying value.

On March 2, 2023, FCC completed a private placement financing of $2,000 by issuing 23,809,524 units at a price of $0.084. Each unit consists of one common share, and one common share purchase warrant exercisable at $0.15 for a period of 1 year.

In addition, the private placement was considered a "triggering event" for SAFE Notes. FCC had previously raised $868 in SAFE Notes and were converted into equity of FCC, resulting in FCC issuing an additional 21,629,382 common shares.

On September 6, 2023, FCC carried out a re-organization of its assets and capital structure (the transaction described herein is referred to as the "Reorganization"). On August 25, 2023, a new entity, BCR LLC was organized in Wyoming. BCR LLC subsequently adopted an Operating Agreement that provided for issuance of LLC Interests to its Members in the same amounts as shares issued to Shareholders of FCC. On September 6, 2023, two of the mining assets, referred to as the Butte Valley Royalty and the Nieves Royalty, that had been held by FCC were assigned to BCR LLC in exchange for 100% of the issued and outstanding LLC Interests of BCR LLC. The Nieves Royalty may only be transferred with the written consent of a third party which was received October 23, 2023, resulting in the Nieves property transferring immediately. The same LLC interests were immediately distributed pro rata to the shareholders of FCC. Furthermore, FCC had previously issued Warrants to purchase 7,936,508 (total of 23,809,524 common share purchase warrants) shares of Common Stock of FCC at a Warrant Price of $0.15 per Share. As part of the Reorganization, these Warrants were exchanged by the Warrant Holders for two new Warrants; one issued by FCC to purchase 7,936,508 Shares of FCC at a Warrant Price of $0.1332 per Share, and the other issued by BCR LLC to purchase 7,936,508 LLC Units of BCR LLC at a Warrant Price of $0.0168 per LLC Unit. The exchange transaction was accounted for under ASC 815 whereby the effect of the exchange was measured as the excess of the fair value of the exchanged warrant over the fair value of the warrant immediately before it is exchanged. Using this method, the effect of the exchange was calculated to be $Nil. As a result of the Reorganization and the issuance and distribution of these LLC Interests, each shareholder of FCC holds the same percentage interest in FCC as the shareholders holds in BCR LLC. Additionally, the Warrant Holders now holds two Warrants, one issued by each of FCC and BCR LLC, with the aggregate value of the two warrants equal to the aggregate value of the Warrant that they held prior to the exchange. The net effect is that the capital structure of BCR LLC matches the capital structure of FCC, including the issuance of new Warrants, and the Butte Valley Royalty and Nieves Royalty are now held by BCR LLC rather than FCC.

17 \| Page<br>

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**Lion Copper and Gold Corp.**<br> Notes to the Condensed Interim Consolidated Financial Statements<br> For the three and six months ended June 30, 2025 and 2024<br> (Unaudited - In thousands of U.S. Dollars except for shares and per share amounts)<br>

On October 17, 2023, FCC issued 2,750,000 common shares at a price of $0.10 per common share for total proceeds of $275.

From February to May 2024, FCC issued a total of 11,637,931 common shares at $0.116 per common share for gross proceeds of $1,350.

During the six months ended June 30, 2025, FCC issued a total of 4,150,000 common shares at $0.116 per common share for gross proceeds of $482. FCC also granted 12,180,000 stock options exercisable into one common share of FCC with exercise prices ranging from $0.10 - $0.12 for five years from the dates of grant. The stock options were valued at $1,140 using the Black-Scholes model with the following estimates:

---

| | | | |
|:---|:---|:---|:---|
|  | **January 5, 2025** | **April 14, 2025** | **May 28, 2025** |
| Risk-free interest rate | 2.96% | 2.74% | 2.85% |
| Expected life (years) | 5.00 | 5.00 | 5.00 |
| Annualized volatility | 109.67% | 104.29% | 99.79% |
| Forfeiture rate | 0% | 0% | 0% |
| Dividend yield | 0% | 0% | 0% |

---

As a result, the Company's ownership in FCC is reduced to 42.14% as of June 30, 2025 (December 31, 2024 - 43.46%), with the changes in NCI listed below:

---

| | |
|:---|:---|
| **Balance December 31, 2023** | $**3117** |
| Issuance of common shares | 1350 |
| Net loss and comprehensive loss attributable to NCI | (807) |
| **Balance December 31, 2024** | $**3660** |
| Issuance of common shares | **482** |
| Grant of options | **1140** |
| Net loss and comprehensive loss attributable to NCI | **(1110)** |
| **Balance June 30, 2025** | **4172** |

---

**7. DERIVATIVE LIABILITIES** 

During the year ended December 31, 2024, the Company issued certain share purchase warrants and convertible debt that can be exercised and converted in USD or CAD (Note 8). The warrants and the conversion feature were classified as derivative liabilities, carried at fair value and revalued at each reporting date.

A continuity schedule of the Company's derivative liabilities is as follows:

18 \| Page<br>

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**Lion Copper and Gold Corp.**<br> Notes to the Condensed Interim Consolidated Financial Statements<br> For the three and six months ended June 30, 2025 and 2024<br> (Unaudited - In thousands of U.S. Dollars except for shares and per share amounts)<br>

---

| | |
|:---|:---|
| **Balance December 31, 2023** | $**176** |
| Issuance of warrants for private placement (Note 10) | 346 |
| Issuance of warrants upon conversion of existing debentures (Note 8) | 60 |
| Issuance of contingent warrants upon conversion of existing debentures (Note 8) | 649 |
| Issuance of warrants and conversion feature for extinguishment of existing debentures (Note 8) | 55 |
| Modification of warrants upon restructuring of debentures (Note 8) | 109 |
| Modification of conversion feature upon restructuring of debentures (Note 8) | 129 |
| Issuance of warrants - equity (Note 8) | (359) |
| Fair value change on derivative liabilities | (876) |
| **Balance December 31, 2024** | $**289** |
| Fair value change on derivative liabilities | 1782 |
| **Balance June 30, 2025** | $**2071** |

---

**8. CONVERTIBLE DEBENTURES**

On June 17, 2022, July 8, 2022, and March 2, 2023, the Company closed its non-brokered private placement of unsecured convertible debentures for total gross proceeds of $3,306. The debentures bear interest at a rate of 14% per annum and mature on February 17, 2024, March 8, 2024, and November 2, 2024, respectively. The debentures are convertible into shares of the Company at $0.078 ($0.10 CAD) per share for 2022 issued debentures and at $0.070 ($0.095 CAD) per share for 2023 issued debentures.

In conjunction with the three tranches of convertible debt financing, the Company issued 16,044,774, 13,805,964, and 18,461,015 warrants. The warrants are exercisable into one common share of the Company at $0.067 ($0.085 CAD) per share and expire on February 17, 2024, at $0.067 ($0.085 CAD) per share and expire on March 8, 2024, and at $0.070 ($0.095 CAD) per share and expire on November 2, 2024, respectively.

On February 16, 2024, the Company issued 12-month convertible debentures of $941, bearing an interest rate of 20% per annum. These debentures replaced previously issued debentures that were due in February 2024.

These debentures are convertible into common shares of the Company at a price of $0.06 ($0.08 CAD) per share, or at the holder's option.

15,696,882 warrants were also issued on February 16, 2024 exercisable at $0.06 ($0.08 CAD) until February 16, 2025. These warrants were determined to be liability classified as the warrants can be exercised in a currency other than its functional currency (Notes 7, 10).

The Company repaid a total of $936 for the convertible debentures in December 2024 and the remaining $5 in February 2025, along with accrued interest. Additionally, on March 8, 2024, and February 14, 2025, the Company repaid convertible debentures totaling $831 and $6, in cash, respectively, with a loss of $5 and $Nil recognized.

Based on the terms of the newly issued debentures, the convertible debentures were determined to be a financial instrument comprising a host debt component, and the conversion feature and warrants denominated in Canadian dollars are classified as a derivative liability. In this case, as the conversion option on the instrument is bifurcated both before and after the modification or exchange, the Company used the 10% cash flow test. As a result, the change in cash flows was considered not substantial for the convertible debentures issued on June 17, 2022, and July 8, 2022, and extinguishment accounting was not applied. A new effective interest rate was determined and there was no gain or loss recorded on the consolidated statements of operations and comprehensive loss. However, the convertible debentures issued on March 2, 2023, surpassed the 10% cash flow test and as a result, the debentures were considered extinguished. A new effective interest was determined and there was a loss on extinguishment recorded on the consolidated statements of operations and comprehensive loss.

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**Lion Copper and Gold Corp.**<br> Notes to the Condensed Interim Consolidated Financial Statements<br> For the three and six months ended June 30, 2025 and 2024<br> (Unaudited - In thousands of U.S. Dollars except for shares and per share amounts)<br>

Under ASC 815, for the convertible debentures that did not meet the 10% cash flow test, the amended conversion feature and the replacement warrants were valued using the Black Scholes model and the difference between the fair value of the original conversion feature and amended conversion feature were reflected on the consolidated statements of operations and comprehensive loss as a gain/loss on the revaluation of the derivative liabilities. The changes in fair value of the warrants associated with the prior debentures was recognized as a gain/loss and the fair value of the replacement warrants were deducted from the face value of the replacement debentures. For the convertible debentures that surpassed the 10% cash flow test, the fair value of the debentures at maturity were present valued using the new effective interest rate of 44.01% and the conversion feature and replacement warrants were valued using the Black Scholes model. The difference between the present value of the new debentures, conversion feature, replacement warrants and the carrying value of the prior debentures, fair value of the original conversion feature and warrants were recorded on the consolidated statements of operations and comprehensive loss as a loss on extinguishment of $55.

On March 8, 2024, the Company completed a private placement of $1,000 and issued 4,107,998 units and 41,707,215 common shares to settle $1,924 of debenture debt. The fair value of the shares and warrants is $2,723 and $59, respectively. These warrants were determined to be liability classified as the warrants have an exercise price in a currency other than its functional currency (Notes 7, 10).

In conjunction with the Company's CSE listing on September 19, 2024, 41,707,215 warrants were issued to certain directors and individual who converted their debts into common shares of the Company on March 8, 2024. These warrants were treated as a contingency with their fair value being recorded as a derivative liability on March 8, 2024. On September 19, 2024, these warrants were revalued at $359 and recorded as equity since all are exercisable in USD, the functional currency of the Company.

Under ASC 815, the conversion of debt with a bifurcated conversion option is accounted for under the debt extinguishment accounting model. Therefore, both the debt and the conversion option that is accounted for as a derivative was derecognized at their carrying amounts and the consideration transferred were measured at its then-current fair value, with any difference recorded as a gain or loss on the extinguishment of the two separate liabilities. The existing debenture settlement resulted in a loss on conversion of $1,690.

On November 14, 2024, February 3, 2025, March 11, 2025, May 19, 2025, and May 31, 2025, FCC entered into convertible loan agreements for $250, $200, $20, $75, and $121 respectively. The loans bear interest at 5% per annum and have 12 months terms. The principal and accrued interest is convertible into common shares of FCC at the lower of the price per share in the lowest equity financing undertaken by FCC during the term of the loan or $0.106.

Under ASC 815, the conversion feature does not require bifurcation. Therefore, both the debt and the conversion option is accounted for as a single liability carried at book value plus accrued interest.

The fair value of the warrants and conversion features were determined using the Black-Scholes Option Pricing Model using the assumptions set out as follows:

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
|  | **Initial recognition**<br> **in 2024** | **September 19,**<br> **2024** | **December 31,**<br> **2024** | **March 31,**<br> **2025** | **June 30,**<br> **2025** |
| Risk-free interest rate | 4.07 - 4.41% | 2.72% | 2.92% | 2.57% | 2.79% |
| Expected volatility | 10% | 16.15% | 21.76% | 22.75% | 22.57% |
| Dividend yield | 0% | 0% | 0% | 0% | 0% |
| Expected life | 1 - 5.56 years | 5.00 years | 0.13 - 4.18 years | 3.94 years | 3.69 years |

---

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**Lion Copper and Gold Corp.**<br> Notes to the Condensed Interim Consolidated Financial Statements<br> For the three and six months ended June 30, 2025 and 2024<br> (Unaudited - In thousands of U.S. Dollars except for shares and per share amounts)<br>

A continuity schedule of the Company's convertible debt is as follows:

---

| | |
|:---|:---|
| **Balance as at December 31, 2023** | $**3544** |
| Issued | 461 |
| Extinguished debt - fair value of conversion feature | (30) |
| Extinguished debt - fair value of warrants | (30) |
| Modified debt - fair value of warrants | (93) |
| Accretion | 220 |
| Interest | 228 |
| Extinguished | (150) |
| Converted | (1976) |
| Repayment | (1922) |
| Loss on repayment | 5 |
| **Balance as at December 31, 2024** | $**257** |
| Issued | 416 |
| Interest | 12 |
| Repayment | (6) |
| **Balance as at June 30, 2025** | $**679** |

---

**9. SHARE CAPITAL**

The Company is authorized to issue an unlimited number of common shares without par value.

*Share transactions for the six months ended June 30, 2025*

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;a) In June 2025, the Company issued 750,000 common shares in connection stock options exercised for total proceeds of $44.

*Share transactions for the year ended December 31, 2024*

&nbsp;&nbsp;&nbsp;&nbsp;a) On February 16, 2024 and March 8, 2024, the Company issued 3,500,000 and 45,815,213 common shares to settle existing debentures at a price of $0.074 and $0.042 per common share (Note 8), respectively.

&nbsp;&nbsp;&nbsp;&nbsp;b) On March 8, 2024, the Company closed a private placement consisting of an aggregate of 23,809,522 units at a price of $0.042 per unit for aggregate gross proceeds to the Company of $1,000. Each unit consists of one common share and one common share purchase warrant of the Company (Note 7, 10).

&nbsp;&nbsp;&nbsp;&nbsp;c) In June 2024, the Company issued 3,063,000 common shares in connection with stock options exercised for total proceeds of $181.

&nbsp;&nbsp;&nbsp;&nbsp;d) On November 8, 2024, the Company closed a private placement consisting of 25,155,554 units at a price of $0.045 per unit for gross proceeds of $1,132. Each unit consisted of one common share and one 5-year common share purchase warrant exercisable at $0.06 (Note 10).

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**Lion Copper and Gold Corp.**<br> Notes to the Condensed Interim Consolidated Financial Statements<br> For the three and six months ended June 30, 2025 and 2024<br> (Unaudited - In thousands of U.S. Dollars except for shares and per share amounts)<br>

**10. ADDITIONAL PAID-IN CAPITAL** 

&nbsp;&nbsp;&nbsp;&nbsp;a) Stock options

The Company has a stock option plan under which the Company is authorized to grant stock options up to 20% of the issued and outstanding common shares at the time of grant, subject to certain restrictions.

Under the stock option plan, all stock options are granted at the discretion of the Company's board of directors, including any vesting provisions if applicable. The term of any stock option grants may not exceed ten years, and the exercise price may not be lower than the closing price of the Company's share on the last trading day immediately preceding the date of grant. Typically, stock options granted have five-year terms and are vested either immediately or subject to certain milestone requirements.

During the six months ended June 30, 2025, the Company granted the following stock options:

* 7,500,000 performance options with an exercise price of $0.08, expiring on April 4, 2030, and vest as follows:

3,750,000 vest upon either (a) the market capitalization of the Company's common shares reaches $100,000 for any 30 consecutive trading days or (b) the Company closing a liquidity event having a fair market value of no less than $100,000;
3,750,000 vest upon either (a) the market capitalization of the Company's common shares reaches $200,000 for any 30 consecutive trading days or (b) the Company closing a liquidity event having a fair market value of no less than $200,000;

The performance options were valued using a Monte Carlo simulation model with the following inputs:

---

| | |
|:---|:---|
|  | **April 4, 2025** |
| Risk-free interest rate | 2.52% |
| Expected volatility | 125% |
| Dividend yield | 0% |
| Market Cap | $100M/$200M |
| Exercise Price | $0.08 |
| Simulation Paths | 10000 |

---

During the year ended December 31, 2024, the Company granted the following stock options:

* 14,295,000 on March 1, 2024 with an exercise price of $0.07 CAD and expiring on March 1, 2029.

* 1,700,000 on July 10, 2024 with an exercise price of $0.08 CAD and expiring on October 24, 2024.

* 7,500,000 on July 26, 2024 with an exercise price of $0.08 CAD and expiring on July 26, 2029.

* 17,160,000 on December 10, 2024 with an exercise price of $0.085 CAD and expiring on December 10, 2029.

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**Lion Copper and Gold Corp.**<br> Notes to the Condensed Interim Consolidated Financial Statements<br> For the three and six months ended June 30, 2025 and 2024<br> (Unaudited - In thousands of U.S. Dollars except for shares and per share amounts)<br>

The continuity of the number of stock options issued and outstanding is as follows:

---

| | | | | |
|:---|:---|:---|:---|:---|
| | **June 30, 2025** | **June 30, 2025** | **December 31, 2024** | **December 31, 2024** |
|  | **Number of options** | **Weighted**<br> **average**<br> **exercise price**<br> **(CAD)** | **Number of**<br> **options** | **Weighted**<br> **average**<br> **exercise price**<br> **(CAD)** |
| Outstanding, beginning of period | **63735248** | 0.09 | **49239020** | 0.10 |
| Granted | 7500000 | 0.11 | 40655000 | 0.08 |
| Expired | (850000) | 0.08 | (13595772) | 0.09 |
| Cancelled |  |  | (9500000) | 0.11 |
| Exercised | (750000) | 0.08 | (3063000) | 0.08 |
| **Outstanding, end of period** | **69635248** | **0.09** | **63735248** | **0.09** |

---

As of June 30, 2025, the number of stock options outstanding and exercisable were:

---

| | | | | |
|:---|:---|:---|:---|:---|
| **Expiry date** | **Exercise price**<br> **(CAD)** | **Number of**<br> **options**<br> **outstanding** | **Remaining**<br> **contractual life**<br> **in years** | **Number of**<br> **options**<br> **exercisable** |
| June 20, 2025\* | 0.08 | 850000 | 0.00 | 850000 |
| August 18, 2025 | 0.072 | 1744283 | 0.13 | 1744283 |
| June 18, 2026 | 0.25 | 2550000 | 0.97 | 2550000 |
| October 21, 2026 | 0.09 | 900000 | 1.31 | 900000 |
| May 25, 2027 | 0.085 | 2000000 | 1.90 | 2000000 |
| March 2, 2028 | 0.095 | 350000 | 2.67 | 350000 |
| July 21, 2028 | 0.08 | 16215965 | 3.06 | 16215965 |
| March 1, 2029 | 0.07 | 12865000 | 3.67 | 12865000 |
| July 26, 2029 | 0.08 | 7500000 | 4.07 | 4500000 |
| December 10, 2029 | 0.085 | 17160000 | 4.45 | 17160000 |
| April 4, 2030 | 0.08 USD | 7500000 | 4.76 |  |
| **Balance, June 30, 2025** | **69635248** | **69635248** | **59135248** | **59135248** |

---

\*Under the Company's Stock Option Plan, the expiry date of certain stock options has been extended beyond June 20, 2025, as the original expiry fell within a corporate trading blackout period.

As of December 31, 2024, the number of stock options outstanding and exercisable were:

---

| | | | | |
|:---|:---|:---|:---|:---|
| **Expiry date** | **Exercise price**<br> **(CAD)** | **Number of**<br> **options**<br> **outstanding** | **Remaining contractual life in**<br> **years** | **Number of**<br> **options exercisable** |
| June 20, 2025\* | 0.08 | 2450000 | 0.47 | 2450000 |
| August 18, 2025 | 0.072 | 1744283 | 0.13 | 1744283 |
| June 18, 2026 | 0.25 | 2550000 | 0.97 | 2550000 |
| October 21, 2026 | 0.09 | 900000 | 1.31 | 900000 |
| May 25, 2027 | 0.085 | 2000000 | 1.90 | 2000000 |
| March 2, 2028 | 0.095 | 350000 | 2.67 | 350000 |
| July 21, 2028 | 0.08 | 16215965 | 3.06 | 16215965 |
| March 1, 2029 | 0.07 | 12865000 | 3.67 | 12865000 |
| July 26, 2029 | 0.08 | 7500000 | 4.07 | 1500000 |
| December 10, 2029 | 0.085 | 17160000 | 4.45 | 17160000 |
| **Balance, December 31, 2024** |  | **63735248** |  | **57735248** |

---

During the six months ended June 30, 2025, an amount of $1,257 (2024 - $660) was expensed as share-based payments related to the vesting of options. The portion of share-based payments recorded is based on the vesting schedule of the options. The following weighted average assumptions were applied using the Black-Scholes Option Pricing model used to estimate the fair value of stock options granted during the six months ended June 30, 2025 and 2024.

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**Lion Copper and Gold Corp.**<br> Notes to the Condensed Interim Consolidated Financial Statements<br> For the three and six months ended June 30, 2025 and 2024<br> (Unaudited - In thousands of U.S. Dollars except for shares and per share amounts)<br>

---

| | | |
|:---|:---|:---|
|  | **Six months ended**<br> **June 30, 2025** | **Six months ended**<br> **June 30, 2024** |
| Risk-free interest rate | 2.74% - 2.96% | 3.59% |
| Expected life (years) | 5 | 5 |
| Annualized volatility | 99.79% - 109.67% | 141.03% |
| Forfeiture rate | 0% | 0% |
| Dividend yield | 0% | 0% |

---

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;b) Share purchase warrants

During the year ended December 31, 2024, the Company granted the following share purchase warrants:

* 15,696,882 on February 16, 2024 with an exercise price of $0.06 ($0.08 CAD) and expiring on February 16, 2025.

* 27,917,520 on March 8, 2024 with an exercise price of $0.056 and expiring on March 8, 2029.

* 41,707,215 on September 19, 2024 with an exercise price of $0.056 and expiring on September 19, 2029.

* 25,155,554 on November 8, 2024 with an exercise price of $0.06 and expiring on November 8, 2029.

The continuity of the number of share purchase warrants outstanding as of June 30, 2025 and December 31, 2024 is as follows:

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **June 30, 2025** | **June 30, 2025** | **December 31, 2024** | **December 31, 2024** |
|  | **Number of**<br> **warrants** | **Weighted**<br> **average**<br> **exercise price** | **Number of**<br> **warrants** | **Weighted**<br> **average**<br> **exercise price** |
| **Outstanding, beginning of period** | **110477171** | **0.06** | **119626027** | $**0.09** |
| Issued |  |  | 110477171 | 0.06 |
| Expired | (15696882) | 0.06 | (87356006) | 0.10 |
| Cancelled |  |  | (32270021) | 0.07 |
| **Outstanding, end of period** | **94780289** | **0.06** | **110477171** | **0.06** |

---

The following table summarizes warrants outstanding as of June 30, 2025 and December 31, 2024:

---

| | | | | |
|:---|:---|:---|:---|:---|
| **Expiry date** | **Currency** | **Exercise price** | **June 30, 2025** | **December 31, 2024** |
| February 16, 2025 | USD | 0.06 |  | 15696882 |
| March 8, 2029 | USD | 0.056 | 23809522 | 23809522 |
| March 8, 2029 | USD | 0.056 | 4107998 | 4107998 |
| September 19, 2029 | USD | 0.056 | 41707215 | 41707215 |
| November 8, 2029 | USD | 0.060 | 25155554 | 25155554 |
| **Outstanding at the end of the period** | **Outstanding at the end of the period** | **Outstanding at the end of the period** | **94780289** | **110477171** |

---

**11. RELATED PARTY TRANSACTIONS**

The Company's related parties include its directors and officers whose remuneration was as follows, subject to change of control provisions for officers:

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **Three months ended June 30** | **Three months ended June 30** | **Six months ended June 30** | **Six months ended June 30** |
|  | **2025** | **2024** | **2025** | **2024** |
| Salaries | $190 | $99 | $405 | $212 |
| Share-based payments | 61 |  | 719 | 281 |
| Interest on convertible debenture |  | 20 |  | 126 |
|  | $**251** | $**119** | $**1124** | $**619** |

---

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**Lion Copper and Gold Corp.**<br> Notes to the Condensed Interim Consolidated Financial Statements<br> For the three and six months ended June 30, 2025 and 2024<br> (Unaudited - In thousands of U.S. Dollars except for shares and per share amounts)<br>

All related party transactions are in the normal course of business and have been measured at the exchange amount.

As at June 30, 2025, the Company had $7 (December 31, 2024 - $Nil) in accounts payable and accrued liabilities to certain directors and officers of the Company.

Other transactions for the six months ended June 30, 2024

&nbsp;&nbsp;&nbsp;&nbsp;

a) On February 16, 2024, the former CEO, former CFO and directors of the Company restructured $407 of their existing convertible debentures into the new debentures (Note 8). The debentures bear interest at a rate of 20% per annum and mature on February 16, 2025, and are convertible into shares of the Company at $0.06 (C$0.08) per share. Additionally, certain directors converted $259 of their existing convertible into 3,500,000 common shares at a price of $0.074 (Notes 8, 9).

&nbsp;&nbsp;&nbsp;&nbsp;

b) On March 8, 2024, the former CFO and directors converted $1,541 of their outstanding convertible debentures into 36,675,478 common shares at a price of US$0.042 (Notes 8, 9).

&nbsp;&nbsp;&nbsp;&nbsp;

c) On March 8, 2024, the Company recognized 41,707,215 contingent warrants for the current CEO, former CFO, and one director who converted their existing debentures into units. The value of these warrants upon recognition was $649 which was valued to be $359, on September 19, 2024 (Note 8).

&nbsp;&nbsp;&nbsp;&nbsp;

d) On March 8, 2024, former CFO and directors subscribed for 12,202,380 common shares for total proceeds of $513 in relation of a private placement (Note 9). Additionally, the directors received 12,202,380 warrants with a value of $177 (Note 9).

**12. SEGMENTED INFORMATION** 

The Company's operations constitute a single operating segment and therefore a single reportable segment, because the chief operating decision maker ("CODM"), the Company's board of directors, manages the business activities using information of the Company as a whole. The Company has determined that it operates as a single reportable segment, focused on the exploration of its mineral interest in the United States. The accounting policies used to measure the profit and loss of the segment are the same as those described in the summary of significant accounting policies. The measure of segment assets is reported on the consolidated balance sheet as total assets.

**13. COMMITMENTS**

To acquire certain mineral property interests as per Note 4, the Company must make optional acquisition expenditures to satisfy the terms of existing option agreements, failing which the rights to such mineral properties will revert to the property vendors.

**14. FINANCIAL INSTRUMENT RISKS**

The board of directors has overall responsibility for establishing and oversight of the Company's risk management framework. The Company examines the various financial instrument risks to which it is exposed and assesses the impact and likelihood of those risks. Financial instruments consist of cash and cash equivalents, accounts payable, accrued liabilities, lease liabilities, Nuton LLC deposit, convertible debentures, derivative liabilities.

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**Lion Copper and Gold Corp.**<br> Notes to the Condensed Interim Consolidated Financial Statements<br> For the three and six months ended June 30, 2025 and 2024<br> (Unaudited - In thousands of U.S. Dollars except for shares and per share amounts)<br>

Financial instruments recorded at fair value on the consolidated statements of financial position are classified using a fair value hierarchy that reflects the significance of the inputs used in making the measurements. The three levels of the fair value hierarchy are:

* Level 1 - Unadjusted quoted prices in active markets for identical assets or liabilities.

* Level 2 - Inputs other than quoted prices that are observable for the asset or liability either directly or indirectly; and

* Level 3 - Inputs that are not based on observable market data.

The Company's activities expose it to financial risks of varying degrees of significance, which could affect its ability to achieve its strategic objectives for growth and stockholder returns. The principal financial risks to which the Company is exposed are liquidity risk, currency risk, interest rate risk, credit risk and commodity price risk. The Board of Directors has overall responsibility for the establishment and oversight of the Company's risk management framework and reviews the Company's policies on an ongoing basis.

The carrying values of cash, accounts payable, accrued liabilities and Nuton LLC deposit approximate their fair values because of their immediate or short term to maturity and the Company's convertible debentures and lease liabilities are recorded at amortized cost.

The Company's derivative liabilities are measured at its fair value at the end of each reporting period and is categorized as Level 2 in the fair value hierarchy.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;a) Liquidity risk

Liquidity risk is the risk that the Company will not be able to meet its financial obligations as they fall due. The Company manages liquidity risk through the management of its capital structure. To mitigate this risk, the Company has a planning and budgeting process in place to determine the funds required to support its ongoing operations and capital expenditures. The Company ensures that sufficient funds are raised from equity offerings or debt financing to meet its operating requirements, after considering existing cash and expected exercise of stock options and share purchase warrants. See Note 1 for further discussion.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;b) Currency risk

Foreign exchange risk is the risk that the fair value of future cash flows of a financial instrument will fluctuate because of changes in foreign exchange rates. The Company operates in the United States and Canada; and is exposed to currency risk from transactions denominated in CAD. Currently, the Company does not have any foreign exchange hedge programs and manages its operational CAD requirements through spot purchases in the foreign exchange markets. Based on CAD financial assets and liabilities' magnitude, the Company does not have material sensitivity to CAD to USD exchange rates.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;c) Interest rate risk

Interest rate risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate due to changes in market interest rates. The Company is exposed to the interest rate risk on its liabilities through its outstanding borrowings and the interest earned on cash balances. The Company monitors its exposure to interest rates and maintains an investment policy that focuses primarily on the preservation of capital and liquidity.

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**Lion Copper and Gold Corp.**<br> Notes to the Condensed Interim Consolidated Financial Statements<br> For the three and six months ended June 30, 2025 and 2024<br> (Unaudited - In thousands of U.S. Dollars except for shares and per share amounts)<br>

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;d) Credit risk

Credit risk is the risk of a financial loss to the Company if a customer or counterparty to a financial instrument fails to meet its contractual obligations. The Company is exposed to credit risk through its cash and cash equivalents. Cash and cash equivalents are held in large Canadian and US financial institutions that have high credit ratings assigned by international credit rating agencies.

**15. SUBSEQUENT EVENTS**

1) On August 5, 2025, the Company announced the results of the pre-feasibility study for its Yerington Copper Project.

2) In August 2025, 130,598 stock options were exercised for total proceeds of $7.

3) On July 24, 2025, FCC issued $4,065 in convertible debentures at a 10% discount. The debentures are convertible into common shares of FCC and mature nine months from the issue date. Each debenture holder received bonus preferred shares equal to 20% of the debenture's face value.

The conversion price is the lowest of:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;a) The price per share equal to a 20% discount to the Qualified Financing price;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;b) The price per share equal to the Valuation Cap divided by the number of shares of Common Shares and Preferred Shares outstanding; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;c) A 20% discount to the 5-day VWAP of the common shares at the closing of the 5<sup>th</sup> trading day after being quoted on a US national securities exchange.

4) On July 15, 2025, FCC granted 25,000,000 performance warrants exercisable at $0.12 until July 15, 2030, with following vestings:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;a) 18,000,000 upon engagement by FCC of a Tier 1 Washington D.C. lobbying firm;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;b) 1,500,000 upon completion of the Blue Copper Phase 1 drill program;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;c) 1,000,000 upon the early execution of the entirety of the warrants existing as of March 31, 2025;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;d) 3,000,000 upon the completion of a US initial public offering; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;e) 1,500,000 upon completion of Cabin and Muncy phase 1 drill programs.

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**Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations** 

**Cautionary Note Regarding Forward-Looking Statements**

This Quarterly Report on Form 10-Q contains forward-looking statements within the meaning of applicable United States and Canadian securities legislations ("**Forward-Looking Statements**"). Forward-Looking Statements reflect the expectations of management and consist of statements that are not only historical fact but also relate to predictions, expectations, belief, plans, projections, objectives, assumptions, future events, or future performance. Forward-Looking Statements may be identified by such terms as "believes", "anticipates", "expects", "estimates", "may", "could", "would", "will", "plan" or similar words. Although the Company believes that such information is reasonable, it can give no assurance that such expectations will prove to be correct. The Company cautions investors that any Forward-Looking Statements provided by the Company is not a guarantee of future results or performance, and that actual results may differ materially from those in Forward-Looking Statements as a result of various estimates, risks, and uncertainties. Readers should not place undue reliance on Forward-Looking Statements. Forward-Looking Statements in this annual report and in documents incorporated by reference herein include, but are not limited to, statements with regard to:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• planned exploration activity including both expected drilling and geological and geophysical related activities;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• future foreign exchange rates;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• future sources of liquidity, cash flows and their uses;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• realization of anticipated benefits of acquisitions and dispositions;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• expected levels of operating costs, general and administrative costs, costs of services and others; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• treatment under government regulation and taxation regimes.

Forward-Looking Statements are subject to a variety of known and unknown risks, uncertainties and other factors which could cause actual events or results to differ from those expressed or implied by the Forward-Looking Statements, including, without limitation:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• risks related to exploration and development of natural resource properties;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the uncertain nature of estimating mineral resources and mineral reserves;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• uncertainty in the Company's ability to obtain funding;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• copper price fluctuations;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• recent market events and conditions;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• risks related to governmental regulations;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• risks related to the Company's business being subject to environmental laws and regulations;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• risks related to the Company's inability to meet its financial obligations under agreements to which it is a party; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• risks related to the Company's ability to recruit and retain qualified personnel.

These Forward-Looking Statements are based on the beliefs of our management as well as on assumptions made by and information currently available to us at the time such statements were made. We undertake no obligation to update forward-looking statements should circumstances or estimates or opinions change.

------

![form10qxm003.jpg](form10qxz003.jpg)

**Lion Copper and Gold Corp.**

**Management's Discussion and Analysis**

**For the three and six months ended June 30, 2025**

Dated: August 14, 2025

(In thousands of U.S. dollars except for shares and per share amounts)

------

This Management's Discussion and Analysis ("**MD&A**") of Lion Copper and Gold Corp. and its subsidiaries (collectively, "**Lion Copper**" or the "**Company**"), dated **August 14, 2025**, should be read in conjunction with the condensed interim consolidated financial statements for the three and six months ended June 30, 2025 and the audited consolidated financial statements for the year ended December 31, 2024, and related notes thereto which have been prepared in accordance with accounting principles generally accepted in the United States ("**U.S. GAAP**").

Additional information about the Company, including the Company's press releases, quarterly and annual reports is available through the Company's filings with the securities regulatory authorities in Canada at <u>www.sedarplus.com</u> or the United States Securities Exchange Commission ("**SEC**") at <u>www.sec.gov</u><u>/edgar.</u> Information about mineral resources, as well as risks associated with investing in the Company's securities is also contained in the Company's most recently filed Form 10-K.

John Banning, Chief Executive Officer for the Company, is a Qualified Person ("**QP**") under National Instrument 43-101 - Standards of Disclosure for Mineral Projects ("**NI 43-101**"), and has approved the scientific and technical information in this MD&A.

ABOUT LION COPPER

Lion Copper was incorporated in British Columbia, Canada, on May 11, 1993, and its common shares are listed on the Canadian Securities Exchange ("**CSE**") under the symbol "LEO "and quoted for trading on the OTCQB Market under the symbol "LCGMF".

During the second quarter ended June 30, 2022, the Company determined that it no longer met the definition of a foreign private issuer under U.S. securities laws because more than 50% of its outstanding voting common shares being held, directly or indirectly, by U.S. residents, most of its directors being U.S. citizens, and its primary operations are in the United States. Consequently, the Company adopted U.S. GAAP accounting policies and the SEC reporting system effective January 1, 2023.

On March 18, 2022, the Company entered an option to earn-in agreement with Rio Tinto America Inc. ("**Rio Tinto**"), subsequently assigned to Nuton LLC, a Rio Tinto Venture, (the "**Nuton Agreement**"), to advance studies and exploration at the Company's copper projects in Mason Valley, Nevada. The Nuton Agreement outlines 3-stage investments, including a fully funded feasibility study, to earn a 65% interest in the projects, comprising 34,494 acres of land, including the historical Yerington mine, the historic MacArthur project, the Wassuk property, the Bear deposit, and associated water rights (the "**Mining Assets**").

Nuton LLC is evaluating the potential commercial deployment of its Nuton™ technology at the Company's Yerington Copper Project. Nuton™ offers copper heap leaching technologies to deliver greater copper recovery from mined materials and access new sources of copper, such as low-grade sulfide resources and reprocessing of stockpiles and mineralized waste. These technologies have the potential to deliver leading environmental performance through more efficient water usage, lower carbon emission, and the ability to reclaim mine sites by reprocessing waste.

In October 2023 and November 2024, Stage 2 was modified into Stage 2b and Stage 2c, with the respective terms extended to September 30, 2024 and June 30, 2025. Stage 2c includes advanced studies at Yerington and completion of a Pre-Feasibility Study (the "**PFS**") incorporating Nuton™ technologies.

As of June 30, 2025, the Company had received a total of $28,000 funding from Nuton LLC, of which $19,000 was advanced from Stage 3. The Company incurred cumulative expenditures of $25,639, consisting of $17,674 for exploration & evaluation, $7,198 for exploration-related overhead, and $767 for capital items under the Nuton Agreement.

Page 2 of 7

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Under the Nuton Agreement, within 60 days of the completion of Stage 2c, Nuton LLC shall provide written notice to the Company whether it elects to advance to Stage 3 and fund a comprehensive Feasibility Study (the "**FS**") not to exceed $50,000, including $19,000 advanced from Stage 3. The Company issued a press release on August 5, 2025, announcing the results of the PFS for its Yerington Copper Project and expects to publish the PFS technical report by September 18, 2025. Upon completion of the FS, Nuton LLC and the Company will decide whether to create an investment vehicle into which the Mining Assets will be transferred, with Nuton LLC holding not less than 65% interest in the investment vehicle.

PERFORMANCE HIGHLIGHTS

**Completion of Pre-Feasibility Study for Yerington Copper Project**

On August 5, 2025, the Company announced the results of a PFS on its 100% owned Yerington Copper Project. The PFS demonstrated a post-tax NPV (7%) of $694 million and an IRR of 14.6% based on a copper price of $4.30/lb. The study estimates average annual production of 120 million pounds of refined copper cathode over a 12-year mine life, with a peak of 151 million pounds in Years 5-7.

**Reinstatement of Water Rights**

On March 13, 2025, the Company announced the successful negotiation of a settlement agreement with the Nevada Division of Water Resources and the Nevada State Engineering (collectively, the "**State**") to reinstate 3,452.8 ac-ft of previously forfeited water rights essential for the development of the Yerington Copper project. As a result, the State has officially rescinded its notice of forfeiture, thus restoring all the Company's 6,014.5 ac-ft of water rights to good standing. This Settlement Agreement effectively terminates the legal proceedings initiated by the Company to defend its water rights.

MINERAL PROPERTIES

**PFS Work Programs**

During the year ending December 31, 2024 and six months ended June 30, 2025, PFS progressive work for the Yerington Copper Project included geotechnical drilling and studies, metallurgical testing, and engineering studies along with the development of mine operating permitting strategies.

Fourteen hollow stem auger drill holes were completed in January 2025 on the legacy sulfide tailings facility. These drill holes collected samples, which have been utilized for laboratory testing to evaluate and optimize infrastructure locations for the PFS.

Metallurgical column leach testing of MacArthur and Yerington transition and oxide material, which started in September 2024, was completed in January 2025. Column leach testing of sulfides is ongoing by Nuton™. Results from the metallurgical programs were utilized for the PFS.

**Water Rights**

Separate from the reinstatement of the Company's water rights, on May 20, 2025, the Company participated in a prehearing conference at the Nevada Division of Water Resources (NDWR) office in Carson City, Nevada in the matter of protested applications 93718-93721 and 93723-93725 to change points of diversion, places of use, and/or manner of use for existing water rights. The prehearing conference was held as part of the statutory process for resolving protested water rights applications.

Page 3 of 7

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On June 26, 2025, the Company received a Notice of Procedures and Disclosures from NDWR, which provided notice from the Stage Engineer that he intends to hold a hearing to consider the matter of protested Applications 93718 through 93725. The received Notice follows the statutory process for resolving protested water rights applications, it outlines the schedule for evidentiary exchange and the issues to be addressed by the parties.

**Bear Deposit**

Studies were conducted and are ongoing to evaluate the Mineral Resource estimate potential of the Bear Deposit.

RESULTS OF OPERATIONS

During the three and six months ended June 30, 2025, excluding non-cash items, the Company incurred $2,386 and $4,955 expenses, compared to $3,746 and $7,567 during the same period in 2024. Approximately 83% of these expenses were covered by Nuton LLC, with the net expenses being equally attributed to corporate and Falcon Copper-related project expenditure that were not covered by Nuton LLC.

Exploration and evaluation ("**E&E**") activities include drilling, technical study, property maintenance, environmental, geological mapping and geophysical survey. The Company focused on completing its PFS during the 2025 period, resulting in significantly lower drilling and field work-related expenses compared to 2024.

---

| |
|:---|
| &nbsp;&nbsp;**Expenses** |
| &nbsp;&nbsp; Exploration and evaluation |
| &nbsp;&nbsp; General and administrative |
| &nbsp;&nbsp; Investor Relations |
| &nbsp;&nbsp; Professional fees |
| &nbsp;&nbsp; Salaries and benefits |
| &nbsp;&nbsp; Transfer agent and regulatory |
| &nbsp;&nbsp; Travel |
| &nbsp;&nbsp;Exploration funded by Nuton LLC |
| &nbsp;&nbsp;General operating funded by Nuton LLC |
| &nbsp;&nbsp;**Other expenses** |
| &nbsp;&nbsp; Loss on convertible debentures |
| &nbsp;&nbsp; Fair value gain on derivative liabilities |
| &nbsp;&nbsp; Foreign exchange (gain) loss |
| &nbsp;&nbsp; Interest and other expenses |
| &nbsp;&nbsp; Share-based payments |
| &nbsp;&nbsp;**Net and comprehensive loss** |

---

Page 4 of 7

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During the three and six months ended June 30, 2025, the Company recognized $171 and $1,257 in share-based payments, respectively, compared to $Nil and $660 in the prior periods. The increase is due to the 12,180,000 options that were granted in the current period in FCC coupled with the vesting of options previously granted in LCG. This compares to the grant of 14,295,000 options in the prior period.

In addition, the Company recognized a loss of $1,750 on the conversion, repayment, and extinguishment of certain convertible debentures in 2024, which was not applicable in 2025.

**SUMMARY OF QUARTERLY RESULTS**

---

| | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|
|  | **Q2'25** | **Q1'25** | **Q4'24** | **Q3'24** | **Q2'24** | **Q1'24** | **Q4'23** | **Q3'23** |
| General administration | (1570) | (2492) | (1856) | (1502) | (1358) | (1821) | (1161) | (2148) |
| Fair value (loss) gain on derivative liabilities | (1008) | (774) | 39 | 439 | (427) | 680 | (131) | 6 |
| Foreign exchange gain (loss) | 19 | (30) | (28) | (4) | (7) | (1) | (2) |  |
| Interest and other expenses (income) | (76) | (72) | 387 | (41) | (95) | (119) | (407) | (94) |
| Loss on convertible debentures |  |  |  |  |  | (1750) |  |  |
| Exploration expenditures | (987) | (1163) | (1603) | (1591) | (2389) | (2660) | (1597) | (1344) |
| Nuton LLC deposit | 1940 | 2213 | 2310 | 2336 | 3102 | 3218 | 1682 | 1262 |
| **Net loss** | **(1682)** | **(2318)** | **(751)** | **(363)** | **(1174)** | **(2453)** | **(1616)** | **(2318)** |
| **Basic loss per share** | **(0.00)** | **(0.00)** | **(0.00)** | **(0.00)** | **(0.00)** | **(0.01)** | **(0.01)** | **(0.01)** |

---

The Company's results have been driven by its general corporate and exploration activities. Other income and expenses fluctuate due to changes in the fair value of the Company's convertible notes and investment in associate.

The Company's results are also impacted by non-recurring events such as the $1,750 loss in convertible debentures in 2024.

LIQUIDITY AND CAPITAL RESOURCES

The Company is in an advanced exploration stage that to date has not earned any revenue. Its operations have been dependent mainly on the Nuton LLC funding in the last few years without diluting shareholders' value.

During the six months ended June 30, 2025, the Company utilized the $16,500 previously received from Nuton LLC, to cover approximately 84% (2024 - 84%) of the expenses, excluding non-cash items. Cash on hand is approximately $7,800, including $3,800 from FCC, as of August 14, 2025.

The following table summarizes the Company's cash flows for the six months ended June 30, 2025, and 2024:

---

| | | |
|:---|:---|:---|
|  | **2025** | **2024** |
| &nbsp;&nbsp;Cash provided (used) by operating activities | $(5149) | $4490 |
| &nbsp;&nbsp;Cash used in investing activities | (225) | (155) |
| &nbsp;&nbsp;Cash provided by financing activities | 936 | 1673 |
| &nbsp;&nbsp;Increase in cash and cash equivalents | (4438) | 6008 |
| &nbsp;&nbsp;Cash and cash equivalents, beginning of period | 7999 | 2310 |
| &nbsp;&nbsp;**Cash and cash equivalents, end of period** | $**3561** | $**8318** |

---

Page 5 of 7

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During the six months ended June 30, 2025, the Company repaid $6 in convertible debentures and received $44 in proceeds relating to the exercise of stock options. The Company also received $482 pursuant to the issuance of 4,150,000 shares of FCC. FCC also issued 12-month convertible debentures totaling $416.

On July 24, 2025, FCC issued $4,065 in convertible debentures at a 10% discount. The debentures are convertible into common shares of FCC and mature nine months from the issue date. Each debenture holder received bonus preferred shares equal to 20% of the debenture's face value.

The Company has no operating revenues and therefore must utilize its cashflows from financing transactions to maintain its capacity to meet ongoing operating activities. Should Nuton LLC decide not to proceed with Stage 3, the Company will need to secure additional financing to maintain its mineral property interests, advance its copper projects and fulfill its obligations as they come due. While the Company has successfully raised funds in the past, there is no assurance it will be able to do so in the future. This represents material uncertainty that may cast substantial doubt about the Company's ability to continue as a going concern, as outlined in Note 1 of the June 30, 2025 condensed interim consolidated financial statements.

TRANSACTIONS WITH RELATED PARTIES

The Company's related parties include its directors and officers whose remuneration was as follows, subject to change of control provisions for officers:

---

| | | |
|:---|:---|:---|
| &nbsp;&nbsp;**(In thousands)** | **Six months ended<br>June 30, 2025** | **Six months ended<br>June 30, 2024** |
| &nbsp;&nbsp;Salaries <sup>(1)</sup> | $405 | $212 |
| &nbsp;&nbsp;Share-based payments <sup>(</sup><sup>2</sup><sup>)</sup> | 719 | 281 |
| &nbsp;&nbsp;Interest on convertible debenture <sup>(</sup><sup>3</sup><sup>)</sup> |  | 126 |
|  | $**1124** | $**619** |

---

&nbsp;&nbsp;&nbsp;&nbsp;(1) Charles Travis Naugle, former CEO, Director - $72 (2024 - $104); Stephen Goodman, former CFO, Director - $Nil (2024 - $83); Steven Dischler, former CEO - $82 (2024 - $17); Lei Wang, CFO - $45 (2024 - $8); John Banning, CEO, former COO - $118 (2024 - $Nil); Doug Stiles, VP of Sustainability and Environment - $88 (2024 - $Nil)

&nbsp;&nbsp;&nbsp;&nbsp;(2) Charles Travis Naugle, former CEO, Director - $471 (2024 - $Nil); Stephen Goodman, former CFO Director - $Nil (2024 - $66); Tony Alford, Director - $47 (2024 - $215), Thomas Patton, Director - $47 (2024 - $Nil); Steven Dischler, former CEO - $44 (2024 - $Nil); John Banning, CEO, former COO - $43 (2024 - $Nil); Doug Stiles, VP of Sustainability and Environment - $29 (2024 - $Nil); Lukas Naugle, brother of a director - $38 (2024 - $Nil)

&nbsp;&nbsp;&nbsp;&nbsp;(3) Charles Travis Naugle, former CEO, Director - $Nil (2024 - $40); Tony Alford, Director - $Nil (2024 - $79); Ekaterina Naugle, spouse of a director - $Nil (2024 - $5); Stephen Goodman, former CFO, Director $Nil (2024 - $2).

These transactions have occurred in the normal course of the business and are measured at the equivalent amount of the services rendered.

OUTSTANDING SHARE INFORMATION

As of the date of this MD&A, the Company has:

* 411,891,862 common shares

* 69,504,650 stock options exercisable at prices ranging from CAD 0.072 to CAD 0.245, with expiration dates between August 18, 2025 and April 4, 2030

* 94,780,289 warrants exercisable at approximately $0.06 expirying from March 8, 2029 through November 8, 2029

OFF - BALANCE SHEET ARRANGEMENTS

The Company does not have any off-balance sheet arrangements as of this MD&A date.

Page 6 of 7

------

PROPOSED TRANSACTIONS

The Company has no proposed transactions other than as disclosed in this MD&A.

FORWARD-LOOKING STATEMENTS

This Management's Discussion and Analysis contains "forward-looking information" and "forward-looking statements" within the meaning of Section 27A of the U.S. Securities Act of 1933, as amended, Section 21E of the U.S. Securities Exchange Act of 1934, as amended (the "**Exchange Act**"), and other applicable securities laws.

Any statements that express or involve discussions with respect to predictions, expectations, beliefs, plans, projections, objectives, assumptions or future events or performance (often, but not always, identified by words or phrases such as "expects", "is expected", "anticipates", "believes", "plans", "projects", "estimates", "assumes", "intends", "strategy", "goals", "objectives", "potential", "possible" or variations thereof or stating that certain actions, events, conditions or results "may", "could", "would", "should", "might" or "will" be taken, occur or be achieved, or the negative of any of these terms and similar expressions) are not statements of historical fact and may be forward-looking statements.

The foregoing lists of factors and assumptions are not exhaustive. The reader should also consider carefully the matters discussed under the heading "Risk Factors and Uncertainties" elsewhere in this MD&A. Forward-Looking Statements contained herein are made as of the date hereof (or as of the date of a document incorporated herein by reference, as applicable). No obligation is undertaken to update publicly or otherwise revise any Forward-Looking Statements or the foregoing lists of factors and assumptions, whether as a result of new information, future events or results or otherwise, except as required by law. Because Forward-Looking Statements are inherently uncertain, readers should not place undue reliance on them. The Forward-Looking Statements contained herein are expressly qualified in their entirety by this cautionary statement.

Page 7 of 7

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**Item 3. Quantitative and Qualitative Disclosures About Market Risk**

Not applicable.

**Item 4. Controls and Procedures**

**Disclosure controls and procedures**

The Company's management is responsible for establishing and maintaining adequate disclosure controls and procedures. The Company's management, including our principal executive officer and our principal financial officer, evaluated the effectiveness of our disclosure controls and procedures (as defined in Exchange Act Rule 13a-15(e)) as of the end of the period covered by this report. Based on that evaluation, the principal executive officer and principal financial officer concluded that as of the end of the period covered by this report, the Company has maintained effective disclosure controls and procedures in all material respects, including those necessary to ensure that information required to be disclosed in reports filed or submitted with the SEC (i) is recorded, processed, and reported within the time periods specified by the SEC, and (ii) is accumulated and communicated to management, including the principal executive officer and principal financial officer, as appropriate to allow for timely decision regarding required disclosure.

**Changes in Internal Control over Financial Reporting**

There have been no changes in internal control over financial reporting that occurred during the last fiscal quarter that have materially affected, or are reasonably likely to materially affect, internal control over financial reporting.

------

**PART II - OTHER INFORMATION**

**Item 1. Legal Proceedings**

We are not aware of any material current, pending, or threatened litigation with respect to the Company.

**Item 1A. Risk Factors**

Not applicable.

**Item 2. Unregistered Sales of Equity Securities and Use of Proceeds.** 

Not applicable.

**Item 3. Defaults Upon Senior Securities**

Not applicable.

**Item 4. Mine Safety Disclosures**

The Company has no active mining operations or dormant mining assets currently and has no outstanding mine safety violations or other regulatory safety matters to report.

**Item 5. Other Information**

Not applicable.

------

**Item 6. Exhibits** 

---

| | |
|:---|:---|
| [3.1<sup>(1)</sup>](http://www.sec.gov/Archives/edgar/data/1339688/000106299320002031/exhibit1-1.htm) | [Articles dated June 21, 2018](http://www.sec.gov/Archives/edgar/data/1339688/000106299320002031/exhibit1-1.htm) |
| [3.2<sup>(2)</sup>](http://www.sec.gov/Archives/edgar/data/1339688/000106299323008192/exhibit3-1.htm) | [Certificate of Incorporation and Certificates of Change of Name](http://www.sec.gov/Archives/edgar/data/1339688/000106299323008192/exhibit3-1.htm) |
| [3.3](exhibit3-3.htm) | [Notice of Articles dated July 29, 2025](exhibit3-3.htm) |
| [31.1](exhibit31-1.htm) | [Certification of the Principal Executive Officer, pursuant to Rule 13a-14(a) or 15d-14(a) of the U.S. Securities Exchange Act of 1934 (filed herewith)](exhibit31-1.htm) |
| [31.2](exhibit31-2.htm) | [Certification of the Principal Financial Officer, pursuant to Rule 13a-14(a) or 15d-14(a) of the U.S. Securities Exchange Act of 1934 (filed herewith)](exhibit31-2.htm) |
| [32.1](exhibit32-1.htm) | [Section 1350 Certification of the Principal Executive Officer (filed herewith)](exhibit32-1.htm) |
| [32.2](exhibit32-2.htm) | [Section 1350 Certification of the Principal Financial Officer (filed herewith)](exhibit32-2.htm) |
| 101.INS | Inline XBRL Instance Document–the instance document does not appear in the Interactive Data File as its XBRL tags are embedded within the Inline XBRL document |
| [101.SCH](lcgmf-20250630.xsd) | [Inline XBRL Taxonomy Extension Schema Document](lcgmf-20250630.xsd) |
| [101.CAL](lcgmf-20250630_cal.xml) | [Inline XBRL Taxonomy Extension Calculation Linkbase Document](lcgmf-20250630_cal.xml) |
| [101.DEF](lcgmf-20250630_def.xml) | [Inline XBRL Taxonomy Extension Definition Linkbase Document](lcgmf-20250630_def.xml) |
| [101.LAB](lcgmf-20250630_lab.xml) | [Inline XBRL Taxonomy Extension Label Linkbase Document](lcgmf-20250630_lab.xml) |
| [101.PRE](lcgmf-20250630_pre.xml) | [Inline XBRL Taxonomy Extension Presentation Linkbase Document](lcgmf-20250630_pre.xml) |
| 104 | Cover Page Interactive Data File (formatted as Inline XBRL and contained in Exhibit 101) |

---

________________

(1) Previously filed as exhibit to the Form 20-F filed April 30, 2020 and incorporated herein by reference.

(2) Previously filed as exhibit to the Form 10-K filed March 31, 2023 and incorporated herein by reference.

------

**SIGNATURES**

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.

Date: August 14, 2025

---

| | |
|:---|:---|
| **LION COPPER AND GOLD CORP.** | **LION COPPER AND GOLD CORP.** |
| (Registrant) | (Registrant) |
| By: | */s/ John Banning* |
|  | Principal Executive Officer |
| By: | */s/ Lei Wang* |
|  | Principal Financial Officer |

---

------

## Exhibit 3.3

------

![](exhibit3-3xu001.jpg)

------

![](exhibit3-3xu002.jpg)

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![](exhibit3-3xu003.jpg)

------

## Exhibit 31.1

------

Exhibit 31.1

<br>**CERTIFICATION** <br>**PURSUANT TO RULE 13a-14(a) OR 15d-14(a)** <br>**UNDER THE U.S. SECURITIES EXCHANGE ACT OF 1934**

I, John Banning, certify that:

---

| | |
|:---|:---|
| 1. | I have reviewed this quarterly report on Form 10-Q for the fiscal quarter ended June 30, 2025 of Lion Copper and Gold Corp. |
| 2. | Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report; |
| 3. | Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report; |
| 4. | The registrant's other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rule 13a-15(f) and 15d-15(f)) for the registrant and have: |
| a) | designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;<br>|
| b)<br>c) | designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;<br>evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and |
| d) | disclosed in this report any change in the registrant's internal control over financial reporting that occurred during the registrant's most recent fiscal quarter that has materially affected, or is reasonably likely to materially affect the registrant's internal control over financial reporting; and |
| 5. | The registrant's other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant's auditors and the audit committee of the registrant's board of directors (or persons performing the equivalent function): |
| a) | all significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize and report financial information; and |
| b) | any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over financial reporting. |

---

---

| | | |
|:---|:---|:---|
| Date: August 14, 2025 | By: | /s/ John Banning |
|  |  | John Banning |
|  |  | Principal Executive Officer |

---

------

## Exhibit 31.2

------

Exhibit 31.2

<br>**CERTIFICATION** <br>**PURSUANT TO RULE 13a-14(a) OR 15d-14(a)** <br>**UNDER THE U.S. SECURITIES EXCHANGE ACT OF 1934**

I, Lei Wang, certify that:

---

| | |
|:---|:---|
| 1. | I have reviewed this quarterly report on Form 10-Q for the fiscal quarter ended June 30, 2025 of Lion Copper and Gold Corp. |
| 2. | Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report; |
| 3. | Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report; |
| 4. | The registrant's other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rule 13a-15(f) and 15d-15(f)) for the registrant and have: |
| a) | designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;<br>|
| b)<br>c) | designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;<br>evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and |
| d) | disclosed in this report any change in the registrant's internal control over financial reporting that occurred during the registrant's most recent fiscal quarter that has materially affected, or is reasonably likely to materially affect the registrant's internal control over financial reporting; and |
| 5. | The registrant's other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant's auditors and the audit committee of the registrant's board of directors (or persons performing the equivalent function): |
| a) | all significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize and report financial information; and |
| b) | any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over financial reporting. |

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| | | |
|:---|:---|:---|
| Date: August 14, 2025 | By: | /s/ Lei Wang |
|  |  | Lei Wang |
|  |  | Principal Financial Officer |

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## Exhibit 32.1

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EXHIBIT 32.1

**CERTIFICATION** 

**PURSUANT TO 18 U.S.C. SECTION 1350** 

**AND RULE 13a-14(b) OR RULE 15d-14(b)**

**UNDER THE U.S. SECURITIES EXCHANGE ACT OF 1934**

In connection with the Quarterly Report of Lion Copper and Gold Corp. (the "Company") on Form 10-Q for the fiscal quarter ended June 30, 2025 (the "Report"), the undersigned, in the capacity and on the date indicated below, hereby certifies pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, that to his knowledge:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1. The Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2. The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company.

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| | |
|:---|:---|
| Dated August 14, 2025 | /s/ John Banning |
|  | John Banning |
|  | Principal Executive Officer |

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## Exhibit 32.2

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EXHIBIT 32.2

**CERTIFICATION** 

**PURSUANT TO 18 U.S.C. SECTION 1350** 

**AND RULE 13a-14(b) OR RULE 15d-14(b)**

**UNDER THE U.S. SECURITIES EXCHANGE ACT OF 1934**

In connection with the Quarterly Report of Lion Copper and Gold Corp. (the "Company") on Form 10-Q for the fiscal quarter ended June 30, 2025 (the "Report"), the undersigned, in the capacity and on the date indicated below, hereby certifies pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, that to his knowledge:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1. The Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2. The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company.

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| | |
|:---|:---|
| Dated: August 14, 2025 | /s/ Lei Wang |
|  | Lei Wang |
|  | Principal Financial Officer |

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