| Schedule of purchase consideration and preliminary allocation |
| | | | Purchase price: | | | | Fair value of common shares issued (1) | | $ | 275,222,302 | Fair value of replacement share-based compensation issued (2) | | | 4,072,396 | Fair value of replacement share purchase warrants issued (3) | | | 31,524,814 | Fair value of Maritime shares held by the Company (4) | | | 225,402 | | | $ | 311,044,914 | Net assets acquired: | | | | Cash | | $ | 9,028,587 | Receivables | | | 1,644,055 | Inventories | | | 10,075,453 | Prepaids and deposits | | | 2,943,423 | Property and equipment (Note 10) (5) | | | 70,508,742 | Mining interests (Note 10) | | | 167,737,597 | Exploration and evaluation assets (Note 11) | | | 29,929,410 | Goodwill | | | 121,074,297 | Accounts payable and accrued liabilities | | | (9,421,347) | Loans payable | | | (620,238) | Lease liabilities | | | (486,195) | Reclamation and closure cost provisions | | | (7,327,000) | Deferred income tax liabilities | | | (84,041,870) | Total assets acquired, net of liabilities | | $ | 311,044,914 |
| (1) | The fair value of the Company’s common shares was determined using the Company’s share price of $2.92 on the Closing Date. |
| (2) | The fair value of the replacement options were determined using the Black-Scholes pricing model using the following assumptions: Share price: $2.92; Exercise price: ranges from $0.50 to $1.80; Expected life: ranges from 0.19 to 4.02 years; Volatility: ranges from 61.42% to 79.11%; Risk-free rate: ranges from 2.21% to 2.70%; Dividend yield: 0%. |
| (3) | The fair value of the replacement share purchase warrants issued were determined using the Black-Scholes pricing model using the following assumptions: Share price: $2.92; Exercise price: ranges from $0.50 to $1.20; Expected life: ranges from 0.75 to 1.83 years; Volatility: ranges from 66.05% to 78.57%; Risk-free rate: ranges from 2.27% to 2.46%; Dividend yield: 0%. |
| (4) | The fair value of the Maritime common shares held by the Company immediately prior to the closing date were determined using the Company’s share price of $2.92 on the Closing Date. |
| (5) | Included in property and equipment is $449,532 of ROU assets. |
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