Terra Rossa Gold Ltd. Audited Consolidated Financial Statements for the Year Ended December 31, 2025

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# Terra Rossa Gold Ltd. Audited Consolidated Financial Statements for the Year Ended December 31, 2025

Source: https://terrarossagold.com/wp-content/uploads/2026/04/TRR-FS-YE-December-31-2025-FINAL.pdf
Published: 2026-04-29T00:00:00+00:00
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# Terra Rossa Gold Ltd. Audited Consolidated Financial Statements for the Year Ended December 31, 2025
Source: https://terrarossagold.com/wp-content/uploads/2026/04/TRR-FS-YE-December-31-2025-FINAL.pdf
Published: 2026-04-29
TERRA ROSSA GOLD LTD.
(formerly 0749116 B.C. Ltd)
Consolidated Financial Statements
For the years ended December 31, 2025 and 2024
(Expressed in Canadian Dollars)
INDEPENDENT AUDITOR’S REPORT
To the Shareholders of Terra Rossa Gold Ltd. (formerly 0749116 B.C. Ltd.)
Report on the Audit of the Consolidated Financial Statements
Opinion
We have audited the consolidated financial statements of Terra Rossa Gold Ltd. (formerly 0749116 B.C. Ltd.) (the
“Company”), which comprise the consolidated statements of financial position as at December 31, 2025 and 2024, and the
consolidated statements of comprehensive loss, changes in equity and cash flows for the years then ended, and notes to the
consolidated financial statements, including a summary of material accounting policy information.
In our opinion, the accompanying consolidated financial statements present fairly, in all material respects, the financial
position of the Company as at December 31, 2025 and 2024 and its financial performance and its cash flows for the years then
ended in accordance with IFRS Accounting Standards (“IFRS”).
Basis for Opinion
We conducted our audit in accordance with Canadian generally accepted auditing standards. Our responsibilities under those
standards are further described in the Auditor's Responsibilities for the Audit of the Consolidated Financial Statements section
of our report. We are independent of the Company in accordance with the ethical requirements that are relevant to our audit
of the consolidated financial statements in Canada, and we have fulfilled our ethical responsibilities in accordance with these
requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our
opinion.
Material Uncertainty Related to Going Concern
We draw attention to Note 1 in the consolidated financial statements, which indicates that the Company has no source of
operating income and is dependent upon the future receipt of financing to maintain its operations. As stated in Note 1, the
Company’s ability to continue as a going concern is dependent upon its ability to obtain additional capital. These matters,
along with other matters as set forth in Note 1, indicate that a material uncertainty exists that may cast significant doubt on the
Company’s ability to continue as a going concern. Our opinion is not modified in respect of this matter.
Key Audit Matters
Key audit matters are those matters that, in our professional judgment, were of most significance in our audit of the
consolidated financial statements of the current period. These matters were addressed in the context of our audit of the
consolidated financial statements as a whole, and in forming our opinion thereon, and we do not provide a separate opinion
on these matters.
In addition to the matter described in the Material Uncertainty Related to Going Concern section, we have determined that
there is the following key audit matter to communicate in our auditor’s report.
Key audit matter: How our audit addressed the key audit matter:
Assessment of impairment indicators of Exploration and Our approach to addressing the matter included the following
evaluation assets. procedures, among others:
Refer to note 2(d) – Use of judgements and estimates; Evaluated the reasonableness of management’s assessment
note 2(g) – Material accounting policy: Exploration and of impairment indicators, which included the following:
evaluation assets; and note 4 - Exploration and evaluation
assets
 Assessed the Company’s market capitalization in
Management assesses at each reporting period whether there comparison to the Company’s net assets, which may be
is an indication that the carrying value of exploration and an indication of impairment.
evaluation assets may not be recoverable. Management
applies significant judgment in assessing whether indicators  Assessed the completeness of the factors that could be
of impairment exist that necessitate impairment testing. considered indicators of impairment, including
Internal and external factors, such as (i) a significant decline consideration of evidence obtained in other areas of the
in the market value of the Company’s share price; (ii) audit.
changes in the Company’s assessment of whether
commercially viable quantities of mineral resources exist  Confirmed that the Company’s right to explore the
within the property; and (iii) changes in metal prices, capital properties had not expired.
and operating costs, are evaluated by management in
determining whether there are any indicators of impairment.  Obtained management’s written representations
regarding the Company’s future plans for the exploration
We considered this a key audit matter due to (i) the and evaluation properties.
significance of the exploration and evaluation assets balance
and (ii) the significant audit effort and subjectivity in  Assessed the reasonability of the Company’s financial
applying audit procedures to assess the factors evaluated by statement disclosure regarding their exploration and
management in its assessment of impairment indicators, evaluation properties.
which required significant management judgment.
Other Information
Management is responsible for the other information. The other information comprises the information included in
"Management's Discussion and Analysis" but does not include the consolidated financial statements and our auditor's report
thereon.
Our opinion on the consolidated financial statements does not cover the other information and we do not express any form of
assurance conclusion thereon.
In connection with our audit of the consolidated financial statements, our responsibility is to read the other information, and
in doing so, consider whether the other information is materially inconsistent with the consolidated financial statements or our
knowledge obtained in the audit or otherwise appears to be materially misstated. If, based on the work we have performed, we
conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing
to report in this regard.
Responsibilities of Management and Those Charged with Governance for the Consolidated Financial Statements
Management is responsible for the preparation and fair presentation of the consolidated financial statements in accordance
with IFRS, and for such internal control as management determines is necessary to enable the preparation of consolidated
financial statements that are free from material misstatement, whether due to fraud or error.
In preparing the consolidated financial statements, management is responsible for assessing the Company’s ability to continue
as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting
unless management either intends to liquidate the Company or to cease operations, or has no realistic alternative but to do so.
Those charged with governance are responsible for overseeing the Company’s financial reporting process.
Auditor's Responsibilities for the Audit of the Consolidated Financial Statements
Our objectives are to obtain reasonable assurance about whether the consolidated financial statements as a whole are free from
material misstatement, whether due to fraud or error, and to issue an auditor's report that includes our opinion. Reasonable
assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with Canadian generally
accepted auditing standards will always detect a material misstatement when it exists. Misstatements can arise from fraud or
error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the
economic decisions of users taken on the basis of these consolidated financial statements.
As part of an audit in accordance with Canadian generally accepted auditing standards, we exercise professional judgment and
maintain professional skepticism throughout the audit. We also:
 Identify and assess the risks of material misstatement of the consolidated financial statements, whether due to fraud or
error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and
appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement resulting from fraud is
higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions,
misrepresentations, or the override of internal control.
 Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate
in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the Company’s internal
control.
 Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related
disclosures made by management.
 Conclude on the appropriateness of management's use of the going concern basis of accounting and, based on the audit
evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt
on the Company’s ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required
to draw attention in our auditor's report to the related disclosures in the consolidated financial statements or, if such
disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to the
date of our auditor's report. However, future events or conditions may cause the Company to cease to continue as a going
concern.
 Evaluate the overall presentation, structure, and content of the consolidated financial statements, including the
disclosures, and whether the consolidated financial statements represent the underlying transactions and events in a
manner that achieves fair presentation.
 Plan and perform the group audit to obtain sufficient appropriate audit evidence regarding the financial information of
the entities or business units within the Company as a basis for forming an opinion on the group financial statements.
We are responsible for the direction, supervision and review of the audit work performed for purposes of the group audit.
We remain solely responsible for our audit opinion.
We communicate with those charged with governance regarding, among other matters, the planned scope and timing of the
audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit.
We also provide those charged with governance with a statement that we have complied with relevant ethical requirements
regarding independence, and to communicate with them all relationships and other matters that may reasonably be thought to
bear on our independence, and where applicable, related safeguards.
From the matters communicated with those charged with governance, we determine those matters that were of most
significance in the audit of the consolidated financial statements of the current period and are therefore the key audit matters.
We describe these matters in our auditor's report unless law or regulation precludes public disclosure about the matter or when,
in extremely rare circumstances, we determine that a matter should n

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