SEDAR Interim Financial Statements

LEXSTON MINING CORPORATION CONDENSED INTERIM CONSOLIDATED FINANCIAL STATEMENTS FOR THE THREE AND SIX- MONTH PERIODS ENDED NOVEMBER 30, 2025 AND 2024 (EXPRESSED IN CANADIAN DOLLARS) (Prepared by Management) (UNAUDITED) NOTICE OF NO AUDITORS’ REVIEW OF CONDENSED INTERIM CONSOLIDATED FINANCIAL STATEMENTS Under National Instrument 51-102, Part 4, subsection 4.3 (3) (a), if an auditor has not performed a review of the condensed interim consolidated financial statements, they must be accompanied by a notice indicating that an auditor has not reviewed the condensed interim consolidated financial statements. The accompanying unaudited condensed interim consolidated financial statements of Lexston Mining Corporation (the “Company”) have been prepared by and are the responsibility of the Company’s management. The Company’s independent auditor has not performed a review of these condensed interim consolidated financial statements in accordance with standards established by the Chartered Professional Accountants of Canada (“CPA Canada”) for a review of interim financial statements by an entity’s auditor. LEXSTON MINING CORPORATION LEXSTON MINING CORPORATION CONDENSED INTERIM CONSOLIDATED STATEMENTS OF FINANCIAL POSITION (Expressed in Canadian dollars) (UNAUDITED) The accompanying notes are an integral part of these condensed interim consolidated financial statements. 4 Note NOVEMBER 30, 2025 $ MAY 31, 2025 $ ASSETS Current assets Cash 17,465 2,322 Accounts receivable 4 6,439 3,539 Prepaid expenses and advances 362,210 161,124 Total current assets 386,114 166,985 Non-current assets Investment 6 1 1 Property and equipment 1 1 Exploration and evaluation assets 5 539,750 112,500 Total non-current assets 539,752 112,502 TOTAL ASSETS 925,866 279,487 LIABILITIES AND SHAREHOLDERS' EQUITY Current liabilities Accounts payable and accrued liabilities 131,014 136,816 Due to related party 11 – 60,000 Loans payable 7 8,000 12,000 Total current liabilities 139,014 208,816 Shareholders' equity Share capital 8 7,039,753 5,752,728 Share-based payment reserves 10 209,432 34,582 Deficit (6,462,333) (5,716,639) Total shareholders’ equity 786,852 70,671 TOTAL LIABILITIES AND SHAREHOLDERS’ EQUITY 925,866 279,487 Nature of operations and continuance of business (Note 1) Subsequent events (Note 13) Approved and authorized for issuance by the Board of Directors on January 14, 2026: /s/ Clinton Sharples /s/ Jagdip Bal Clinton Sharples, Director Jagdip Bal, Director LEXSTON MINING CORPORATION CONDENSED INTERIM CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE LOSS (Expressed in Canadian dollars) (UNAUDITED) The accompanying notes are an integral part of these condensed interim consolidated financial statements. 5 Note Three- month period ended November 30, 2025 $ Three- month period ended November 30, 2024 $ Six- month period ended November 30, 2025 $ Six- month period ended November 30, 2024 $ Operating expenses Advertising and promotion 70,000 196,045 206,035 256,841 Consulting fees 11 147,400 35,500 180,470 121,426 Exploration and evaluation expenditures 5 – 4,782 – 114,832 Management fees 11 30,000 25,720 70,000 76,720 Office and miscellaneous 351 287 925 855 Professional fees 26,627 24,083 44,906 40,501 Regulatory and transfer agent fees 14,398 16,157 29,498 26,311 Share-based compensation 10 – 88,973 174,850 233,750 Travel – 2,234 – 2,234 Loss from continuing operations (288,776) (393,781) (706,684) (873,470) Loss from discontinued operations 12 (19,885) (17,048) --- (39,010) (35,691) Net loss and comprehensive loss (308,661) (410,829) (745,694) (909,161) Loss per share, basic and diluted (0.02) (0.09) (0.04) (0.20) Weighted average number of shares outstanding, basic and diluted 13,859,166 4,765,658 18,843,304 4,594,942 LEXSTON MINING CORPORATION CONDENSED INTERIM CONSOLIDATED STATEMENTS OF CHANGES IN SHAREHOLDERS’ EQUITY (Expressed in Canadian dollars) (UNAUDITED) The accompanying notes are an integral part of these condensed interim consolidated financial statements. 6 Share capital Share-based payment reserves $ Deficit $ Total $ Number of shares Amount $ Balance, May 31, 2024 4,193,350 4,963,050 127,772 (4,379,742) 711,080 Fair value of stock options granted – – 233,750 – 233,750 Shares issued pursuant to exercise of warrants 644,250 493,988 – – 493,988 Shares issued pursuant to exercise of options 75,000 104,521 (47,021) – 57,500 Net loss for the period – – – (909,161) (909,161) Balance, November 30, 2024 4,912,600 5,561,559 314,501 (5,228,903) 587,157 Issuance of common shares pursuant to private placement 2,450,000 196,000 – – 196,000 Share issue costs – (4,831) – – (4,831) Transfer from reserves to deficit relating to cancelling options – – (279,919) 279,919 – Net loss for the period – – – (707,655) (707,655) Balance, May 31, 2025 7,362,600 5,752,728 34,582 (5,716,639) 70,671 Issuance of common shares pursuant to private placement 7,355,704 625,235 – – 625,235 Share issue costs – (10,460) – – (10,460) Shares issued pursuant to exercise of warrants 2,450,000 245,000 – – 245,000 Fair value of stock options granted – – 174,850 – 174,850 Shares issued for exploration and evaluation assets 1,675,000 427,250 – – 427,250 Net loss for the period – – – (745,694) (745,694) Balance, November 30, 2025 18,843,304 7,039,753 209,432 (6,462,333) 786,852 LEXSTON MINING CORPORATION CONDENSED INTERIM CONSOLIDATED STATEMENTS OF CASH FLOWS (Expressed in Canadian dollars) (UNAUDITED) The accompanying notes are an integral part of these condensed interim consolidated financial statements. 7 Six- month period ended November 30, 2025 $ Six- month period ended November 30, 2024 $ OPERATING ACTIVITIES Net loss for the period (745,694) (909,161) Items not involving cash: Share-based compensation 174,850 233,750 Changes in non-cash operating working capital: Amounts receivable (2,900) 1,876 Prepaid expenses and advances (201,086) (367,006) Accounts payable and accrued liabilities (5,802) 19,116 Net cash used in operating activities (780,632) (1,021,425) FINANCING ACTIVITIES Proceeds from loans payable (4,000) – Proceeds from related party (60,000) 130,000 Proceeds from private placement 625,235 – Share issuance costs (10,460) – Proceeds from exercise of options – 57,500 Proceeds from exercise of warrants 245,000 493,988 Net cash provided by financing activities 795,775 681,488 Change in cash 15,143 (339,937) Cash, beginning of period 2,322 390,405 Cash, end of period 17,465 50,468 Non-cash investing and financing activities: Fair value of shares issued for acquisition 427,250 – Transfer of fair value of stock options to share capital upon exercise – 47,021 LEXSTON MINING CORPORATION NOTES TO THE CONDENSED INTERIM CONSOLIDATED FINANCIAL STATEMENTS FOR THE THREE AND SIX- MONTH PERIODS ENDED NOVEMBER 30, 2025 AND 2024 (Expressed in Canadian dollars) (UNAUDITED) 8 1. NATURE OF OPERATIONS AND CONTINUANCE OF BUSINESS Lexston Mining Corporation (formerly Lexston Life Sciences Corp.) (the “Company”) was incorporated on January --- 3, 2020 under the laws of the province of British Columbia. On October 16, 2023, the Company changed its name to Lexston Mining Corporation to reflect its change of business that include the acquisition and exploration of mineral properties. The address of the Company’s registered and records office is 1150 – 789 West Pender Street, Vancouver, BC, V6C 1H2 and its principal place of business is 929 Mainland Street, Vancouver, BC V6B 1S3. During the six-month period ended November 30, 2025, the Company incurred a net loss of $745,694 (November 30, 2024 - $909,161) and has used net cash in operating activities of $780,632 (November 30, 2024 - $1,021,425). As at November 30, 2025, the Company has an accumulated deficit of $6,462,333 (May 31, 2025 - $5,716,639). The Company expects to incur further losses in the development of its operations. While the Company has positive working capital, the ability of the Company to carry out its business objectives is dependent on its ability to secure continued financial support from related parties, to obtain public equity financing, or to ultimately attain profitable operations in the future. If and when the Company can attain profitability and positive cash flows is uncertain. While the Company has been successful in securing financing in the past, there is no assurance that financing will be available in the future on terms acceptable to the Company. These consolidated financial statements do not give effect to any adjustments which would be necessary should the Company be unable to continue as a going concern and thus be required to realize its assets and discharge its liabilities in other than the normal course of business and at amounts different from those reflected in these consolidated financial statements. 2. MATERIAL ACCOUNTING POLICIES Basis of preparation The unaudited condensed interim financial statements of the Company have been prepared in accordance with International Accounting Standards 34, “Interim Financial Reporting” (“IAS 34”), using accounting policies consistent with International Financial Reporting Standards (“IFRS”) as issued by the International Accounting Standards Board (“IASB”) and interpretations of the IFRS Interpretations Committee (“IFRIC”). The accounting policies followed in these unaudited condensed interim financial statements are materially the same as those applied in the Company’s audited annual financial statements for the year ended May 31, 2025. The policies applied in these unaudited condensed interim financial statements are based on IFRS issued and outstanding as of June 1, 2025. The Audit Committee approved the statements on January 14, 2026. Any subsequent changes to IFRS after this date could result in changes to the condensed interim financial statements for the six-month period ended November 30, 2025. The condensed interim financial statements do not contain all disclosures required under IFRS and should be read in conjunction with Company’s annual financial statements and the notes thereto for the year ended May 31, 2025. Principles of Consolidation These unaudited condensed interim consolidated financial statements include the accounts of the Company and its wholly-owned subsidiaries, Egret Bioscience Ltd. (“Egret”) and Zenalytic Laboratories Ltd. (“Zen”). The Company’s unaudited condensed interim consolidated financial statements include the accounts of all subsidiaries subject to control by the Company. Control is achieved when the Company ha --- s the power to, directly or indirectly, govern the financial and operating policies of an entity so as to obtain benefits from its activities. Subsidiaries are fully consolidated from the date on which control is obtained and continue to be consolidated until the date that such control ceases. Intercompany balances, transactions, and unrealized intercompany gains and losses are eliminated upon consolidation. LEXSTON MINING CORPORATION NOTES TO THE CONDENSED INTERIM CONSOLIDATED FINANCIAL STATEMENTS FOR THE THREE AND SIX- MONTH PERIODS ENDED NOVEMBER 30, 2025 AND 2024 (Expressed in Canadian dollars) (UNAUDITED) 9 2. MATERIAL ACCOUNTING POLICIES (continued) Use of Estimates and Judgments The preparation of these unaudited condensed interim consolidated financial statements in accordance with IFRS requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the consolidated financial statements and reported amounts of expenses during the reporting period. Actual outcomes could differ from these estimates. The consolidated financial statements include estimates which, by their nature, are uncertain. The impacts of such estimates are pervasive throughout the consolidated financial statements and may require accounting adjustments based on future occurrences. Revisions to accounting estimates are recognized in the period in which the estimate is revised and the revision affects both the current and future periods. Significant areas requiring the use of management estimates include the collectability of accounts receivable, carrying value of investment, the useful lives and carrying value of property and equipment and intangible assets, fair value of share-based compensation, and recoverability of unrecognized deferred income tax assets. Significant judgments include the following: • Assessment of whether the going concern assumption is appropriate which requires management to take into account all available information about the future, which is at least, but not limited to, 12 months from the end of the reporting period; • Judgment with respect to the assessment of fair value of investment in a private company. The fair value of common shares in a private company is determined by valuation techniques such as recent arm’s length transactions, option pricing models, or other valuation techniques commonly used by market participants; and Material Accounting Policies These unaudited condensed interim consolidated financial statements follow the same accounting policies and methods of application as the annual audited consolidated financial statements for the year ended May 31, 2025. 3. FINANCIAL INSTRUMENTS AND RISK MANAGEMENT Credit risk Credit risk is the risk of potential loss to the Company if the counterparty to a financial instrument fails to meet its contractual obligations. The Company’s credit risk is primarily attributable to its liquid financial assets which is primarily cash. The Company limits exposure to credit risk on liquid financial assets through maintaining its cash with high-credit quality financial institutions. The Company’s cash is held with a major Canadian-based financial institution. The carrying amount of financial assets represents the maximum credit exposure. The Company is exposed to various financial instrument risks and assesses the impact and likelihood of these exposures. These risks include liquidity risk, credit risk, price risk, currency risk --- and interest rate risk. Where material, these risks are reviewed and monitored by the Board of Directors. LEXSTON MINING CORPORATION NOTES TO THE CONDENSED INTERIM CONSOLIDATED FINANCIAL STATEMENTS FOR THE THREE AND SIX- MONTH PERIODS ENDED NOVEMBER 30, 2025 AND 2024 (Expressed in Canadian dollars) (UNAUDITED) 10 3. FINANCIAL INSTRUMENTS AND RISK MANAGEMENT (continued) Fair values Assets and liabilities measured at fair value on a recurring basis were presented on the Company’s consolidated statement of financial position as at November 30, 2025 as follows: Fair Value Measurements Using Quoted prices in active markets for identical instruments (Level 1) $ Significant other observable inputs (Level 2) $ Significant unobservable inputs (Level 3) $ Carrying Amount $ Investment – 1 – 1 Fair value measurements of financial instruments are required to be classified using a fair value hierarchy that reflects the significance of inputs used in making the measurements. The levels of the fair value hierarchy are defined as follows: Level 1 - Quoted prices (unadjusted) in active markets for identical assets or liabilities. Level 2 - Inputs other than quoted prices included within Level 1 that are observable for the asset or liability, either directly or indirectly. Level 3 - Inputs for assets or liabilities that are not based on observable market data. The fair values of other financial instruments, which include cash, accounts receivable, accounts payable and accrued liabilities, and amounts due to related party approximate their carrying values due to the relatively short-term maturity of these instruments. 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 currently settles its financial obligations out of cash. The ability to do this relies on the Company raising debt and equity financing in a timely manner and by maintaining sufficient cash in excess of anticipated needs. The Company has cash of $17,465 at November 30, 2025 (May 31, 2025 – $2,322) in order to meet short-term liabilities of $139,014 (May 31, 2025 – $208,816). There is no assurance that financing will be available or, if available, that such financing will be on terms acceptable to the Company. The Company monitors its risk of shortage of funds by monitoring the maturity dates of its existing liabilities. The Company’s accounts payable and amounts due to related parties are all due within one year. Foreign exchange rate and interest rate risk The Company is not exposed to any significant foreign exchange rate or interest rate risk. Capital management The Company’s objectives when managing capital are to safeguard the Company’s ability to continue as a going concern, so that it can provide returns for shareholders and benefits for other stakeholders. The Company depends on external financing to fund its activities. The capital structure of the Company currently consists of cash, and equity comprised of issued share capital. The Company manages the capital structure and makes adjustments to it in the light of changes in economic conditions and the risk characteristics of the underlying assets. In order to maintain or adjust the capital structure, the Company may issue new shares through private placements, or sell assets to fund operations. Management reviews its capital management approach on a regular basis. The Company is not subject to externally imposed capital requirements. LEXSTON MINI --- NG CORPORATION NOTES TO THE CONDENSED INTERIM CONSOLIDATED FINANCIAL STATEMENTS FOR THE THREE AND SIX- MONTH PERIODS ENDED NOVEMBER 30, 2025 AND 2024 (Expressed in Canadian dollars) (UNAUDITED) 11 4. ACCOUNTS RECEIVABLE November 30, 2025 $ May 31, 2025 $ Trade accounts receivable 25 25 Taxes receivable 6,414 3,514 6,439 3,539 5. EXPLORATION AND EVALUATION ASSETS Dory Garfield Itza/176 Total $ $ $ $ Balance, May 31, 2024 102,500 – 194,985 297,485 Acquisition costs: – Cash 10,000 – – 10,000 Costs written off: Cash – – (100,000) (100,000) Common shares – – (80,000) (80,000) Staking – – (14,985) (14,985) Balance, May 31, 2025 112,500 – – 112,500 Acquisition costs: Common shares 11,250 416,000 – 427,250 Balance, November 30, 2025 123,750 416,000 – 539,750 Dory Property, British Columbia The Company entered into a mineral property option agreement dated January 18, 2023 and amended May 31, 2023 and February 20, 2025. In order to exercise the option and earn a 51% interest in the Dory Property, which consists of four mineral claims located 25 km west of Port Alberni in British Columbia, the Company must, within six months from the date of acceptance by the Canadian Securities Exchange (the “Exchange”) of the option agreement and the change of business of the Company: a) pay to the optionor $85,000 (paid); and b) issue to the optionor a total of 250,000 (issued) common shares of the Company. The Company will earn a further 49% interest in the Dory Property making the total interest of the Company in the Property 100% by: a) making a cash payment to the optionor in the amount of $10,000 (paid) within one year from the date of the acceptance of the Option Agreement; b) incurring expenditures on the Dory Property in the amount of $100,000 within one year (amended to two years from the date of the second amended Option Agreement) ; and c) issuing to the optionor a total of 75,000 common shares (issued) of the Company within one year from the date of the acceptance of the second amended Option Agreement. The option is subject to 2% net smelter return royalty in favour of the Optionor, 1/2 of which can be repurchased by the Company for $1,000,000. LEXSTON MINING CORPORATION NOTES TO THE CONDENSED INTERIM CONSOLIDATED FINANCIAL STATEMENTS FOR THE THREE AND SIX- MONTH PERIODS ENDED NOVEMBER 30, 2025 AND 2024 (Expressed in Canadian dollars) (UNAUDITED) 12 5. EXPLORATION AND EVALUATION ASSETS (continued) Garfield Hills Property, Nevada The Company entered into an assignment agreement dated November 18, 2025 with 2730573 Alberta Ltd., and Imperium Mine Supply Corp. (a Nevada company and a wholly owned subsidiary of 2730573 Alberta Ltd.) and three individual optionors (the “Assignment Agreement”). The Company will pay $45,000 (payable) and will issue 1,600,000 shares (issued) to 2730573 Alberta Ltd. as consideration for the Assignment Agreement. The Company was assigned the option to acquire the Garfield Hills Property Definitive Option Agreement (the “Option Agreement”). The Garfield Hills Property consists of 128 mineral claims located in Mineral County, Nevada, USA. To earn 100% interest in the Garfield Property, pursuant to the Option Agreement, the Company will make cash payments in the amount of $130,000 and will issue shares valued at $90,000 for the total consideration of $220,000 to three optionors as follows: a. within six months from August 31, 2025, $10,000 payable in cash and $15,000 in shares; b. within 12 months from August 31, 2025, $25,000 --- payable in cash and $20,000 in shares; c. within 24 months from August 31, 2025, $40,000 payable in cash and $25,000 in shares; and d. within 36 months from August 31, 2025, $55,000 payable in cash and $30,000 in shares. The optionors have a right to receive 1.5% of net smelter returns on all mineral products produced from all claims comprising the Garfield Property. The Company will have the right to repurchase 1.0% of the 1.5% net smelter returns for a one-time payment of $150,000. 6. INVESTMENT On July 7, 2021, the Company acquired 750,000 Class C non-voting common shares of Psy Integrated Health Inc. (“Psy Integrated”), a private company incorporated in the province of British Columbia, at $0.10 per share for $75,000, representing 13% of the total issued and outstanding shares of Psy Integrated and no voting rights, board representation, or involvement in the day-to-day nature of its operations. The Company’s investment in Psy Integrated is recorded as FVTPL. As at November 30, 2025 and May 31, 2025, Psy Integrated has a carrying value of $1 (2024 - $1). 7. LOANS PAYABLE The Company owed $8,000 (May 31, 2025 - $12,000) to a shareholder of the Company which is unsecured, non-interest bearing and due on demand. 8. SHARE CAPITAL Authorized Unlimited number of common shares, voting, without par value. On January 28, 2025, the Company consolidated its issued and outstanding common shares on the basis of 10 old common shares to 1 new common share. Unless otherwise noted, all shares, options and warrants have been retroactively adjusted to reflect the consolidation. LEXSTON MINING CORPORATION NOTES TO THE CONDENSED INTERIM CONSOLIDATED FINANCIAL STATEMENTS FOR THE THREE AND SIX- MONTH PERIODS ENDED NOVEMBER 30, 2025 AND 2024 (Expressed in Canadian dollars) (UNAUDITED) 13 8. SHARE CAPITAL (continued) Share Issuances Six- month period ended November 30, 2025 (a) During the six-month period ended November 30, 2025, the Company issued 7,355,704 common shares at $0.085 for gross proceeds of $625,235 including 120,000 common shares issued to an officer and director of the Company for proceeds of $10,200. Of the total, 589,118 common shares were issued as flow-through shares. The Company recorded $10,460 in legal fees associated with the financing. (b) During the six-month period ended November 30, 2025, the Company issued a total of 2,450,000 common shares for the exercise of 2,450,000 warrants at $0.10 for total proceeds of $245,000. (c) During the six-month period ended November 30, 2025, the Company issued 75,000 common shares at a deemed price of $0.15 per common share pursuant to the amended Dory property agreement. (d) During the six-month period ended November 30, 2025, the Company issued 1,600,000 common shares at a deemed price of $0.26 per common share pursuant to an assignment agreement for the option to acquire the Garfield hills mineral property agreement. Year ended May 31, 2025: (a) During the year ended May 31, 2025, the Company issued a total of 428,250 common shares for the exercise of 428,250 warrants at $0.75 for total proceeds of $321,188. (b) During the year ended May 31, 2025, the Company issued a total of 216,000 common shares for the exercise of 216,000 warrants at $0.80 for total proceeds of $172,800. (c) During the year ended May 31, 2025, the Company issued a total of 25,000 common shares at $0.50 per common share for proceeds of $12,500 pursuant to the exercise of stock options which resulted in a transfer from shar --- e-based payments reserve to share capital of $10,825. (d) During the year ended May 31, 2025, the Company issued a total of 50,000 common shares at $0.90 per common share for proceeds of $45,000 pursuant to the exercise of stock options which resulted in a transfer from share-based payments reserve to share capital of $36,196. (e) During the year ended May 31, 2025, the Company issued 2,450,000 units at $0.08 per unit for total proceeds of $196,000. Each unit consists of one common share and one common share purchase warrant. Each common share purchase warrant entitles the holder to purchase one common share at a price of $0.10 until February 18, 2030. 9. SHARE PURCHASE WARRANTS The continuity of share purchase warrants is summarized below: Weighted average exercise price $ Number of warrants Balance, May 31, 2024 0.80 2,523,665 Exercised 0.80 (644,250) Issued pursuant to private placement 0.10 2,450,000 Balance, May 31, 2025 0.39 4,329,415 Exercised 0.10 (2,450,000) Balance, November 30, 2025 0.76 1,879,415 LEXSTON MINING CORPORATION NOTES TO THE CONDENSED INTERIM CONSOLIDATED FINANCIAL STATEMENTS FOR THE THREE AND SIX- MONTH PERIODS ENDED NOVEMBER 30, 2025 AND 2024 (Expressed in Canadian dollars) (UNAUDITED) 14 9. SHARE PURCHASE WARRANTS (continued) The following table summarizes the warrants outstanding and exercisable at November 30, 2025: Expiry date Weighted average remaining contractual life (years) Exercise price Number of warrants May 15, 2026 0.21 $0.80 501,661 July 4, 2027 0.55 $0.75 1,377,754 0.76 1,879,415 As at November 30, 2025, the weighted average remaining contractual life of all warrants outstanding was 0.76 years (May 31, 2025 – 3.42). 10. STOCK OPTIONS The Company has a Stock Option Plan whereby stock options are granted in accordance with the policies of regulatory authorities at an exercise price equal to the market price of the Company’s stock on the date of the grant and, unless otherwise stated, vest on the grant date and with a term not to exceed five years. Under the plan, the board of directors may grant up to 10% of the issued number of shares outstanding as at the date of the stock option grant. Weighted average exercise price $ Number of stock options Outstanding and exercisable, May 31, 2024 0.70 177,500 Granted 0.90 340,000 Exercised 0.80 (75,000) Cancelled 0.90 (442,500) Outstanding and exercisable, May 31, 2025 – – Granted 0.15 1,430,000 Outstanding and exercisable, November 30, 2025 0.15 1,430,000 During the six-month period ended November 30, 2025, the Company recognized share-based compensation of $174,850 (six-month period ended November 30, 2025 - $233,750) on the vesting of stock options to directors, officers, and consultants, of which $64,496 (2024 - $18,150) pertains to officers and directors of the Company. The weighted average fair value of options granted during the six-month period ended November 30, 2025, was $0.15 (year ended May 31, 2025 – $0.90) per option. The fair value of the share price for stock options exercised for the six-month period ended November 30, 2025 was $Nil (year ended May 31, 2025 - $0.77) per share. Additional information regarding stock options outstanding as at November 30, 2025 is as follows: Expiry date Weighted average remaining contractual life (years) Exercise price $ Number of Stock options outstanding Number of Stock options exercisable June 27, 2030 4.58 0.14 730,000 730,000 July 22, 2030 4.64 0.155 700,000 700,000 4.61 1,430,000 1,430,000 LEXSTON MINING --- CORPORATION NOTES TO THE CONDENSED INTERIM CONSOLIDATED FINANCIAL STATEMENTS FOR THE THREE AND SIX- MONTH PERIODS ENDED NOVEMBER 30, 2025 AND 2024 (Expressed in Canadian dollars) (UNAUDITED) 15 10. STOCK OPTIONS (continued) Share-based compensation is determined using the Black-Scholes option pricing model with the following assumptions and assuming no expected dividends or forfeiture rates: November 30, 2025 May 31, 2025 Annualized volatility 135% 109 - 111% Risk-free interest rate 2.86 – 3.04% 3.06 – 3.41% Expected life 5 years 5 years 11. RELATED PARTY TRANSACTIONS Key Management Compensation Key management personnel are those persons having authority and responsibility for planning, directing and controlling the activities of the Company, directly or indirectly. Key management personnel include the Company’s executive officers and Board of Director members. Three-month period ended November 30, 2025 $ Three-month period ended November 30, 2024 $ Six-month period ended November 30, 2025 $ Six-month period ended November 30, 2024 $ Consulting fees Nil Nil Nil 20,000 Management fees 30,000 25,720 70,000 76,720 Share-based compensation – 18,150 64,496 18,150 (a) During the six-month period ended November 30, 2025, the Company incurred $Nil (November 30, 2024 - $20,000) of consulting fees to a director of the Company. (b) During the six-month period ended November 30, 2025, the Company incurred $60,000 (November 30, 2024 - $66,720) of management fees to the Chief Executive Officer of the Company. (c) During the six-month period ended November 30, 2025, the Company incurred $10,000 (2024 - $10,000) of management fees to the Chief Financial Officer of the Company. Due to Related Party As at November 30, 2025, the Company owed $Nil (May 31, 2025 - $60,000) to a company controlled by a director of the Company which is unsecured, non-interest bearing and due on demand. Insider Participation in Private Placements A summary of insider participation in the Company’s private placements for the six-month period ended November 30, 2025 is as follows: Insider Number of Units Price Proceeds $ $ Jagdip Bal 120,000 0.085 10,200 No insiders participated in the Company's private placement for the year ending May 31, 2025. LEXSTON MINING CORPORATION NOTES TO THE CONDENSED INTERIM CONSOLIDATED FINANCIAL STATEMENTS FOR THE THREE AND SIX- MONTH PERIODS ENDED NOVEMBER 30, 2025 AND 2024 (Expressed in Canadian dollars) (UNAUDITED) 16 12. DISCONTINUED OPERATIONS During the year ended May 31, 2024, the Company discontinued its research and development of pharmaceutical products, biosciences research and cannabis testing from its two wholly owned subsidiaries, Egret and Zen. Consequently, as at May 31, 2024, assets and liabilities allocable to Egret and Zen were classified as a disposal group. Revenue and expenses, gains and losses relating to the discontinuation of the business line have been eliminated from the Company’s continuing operations and are shown as a single line item in the consolidated statements of operations and comprehensive loss. A summary of the Company’s net loss from discontinued operations for the three and six-month periods ended November 30, 2025 and 2024 is as follows: Three-month period ended November 30, 2025 $ Three-month period ended November 30, 2024 $ Six-month period ended November 30, 2025 $ Six-month period ended November 30, 2024 $ Management fees 7,500 7,500 15,000 15,000 Office 2,485 47 4,185 1,688 Rent 9,900 9,501 19,825 19,00 --- 3 19,885 17,048 39,010 35,691 A summary of the carrying values of the assets and liabilities in the disposal group is as follows: November 30, 2025 $ May 31, 2025 $ Assets Cash 775 651 Accounts receivable 3,349 1,408 Prepaid expenses and advances 2,507 2,500 Property and equipment 1 1 Liabilities Accounts payable and accrued liabilities 7,271 8,363 The cash flows from the discontinued operations of the disposal group for the six-month periods ended November 30, 2025 and 2024 are presented in the following table: Six- month period ended November 30, 2025 $ Six- month period ended November 30, 2024 $ Cash flows used in operating activities (42,050) (33,589) Increase/(decrease) in cash 124 (340) LEXSTON MINING CORPORATION NOTES TO THE CONDENSED INTERIM CONSOLIDATED FINANCIAL STATEMENTS FOR THE THREE AND SIX- MONTH PERIODS ENDED NOVEMBER 30, 2025 AND 2024 (Expressed in Canadian dollars) (UNAUDITED) 17 13. SUBSEQUENT EVENTS Subsequent to November 30, 2025, the Company: a) On December 17, 2025, the Company announced the appointment of Buddy Doyle to its newly established Advisory Board. Mr. Doyle is a Fellow of Australia Institute of Mining and Metallurgy and 40 years experience in mineral exploration where he was Vice President of Kennecott Canada and 23 years at Rio Tinto PLC. The Company also announced the grant of 400,000 incentive stock options to certain directors, officers and consultants to purchase up to and aggregate of 400,000 common shares of the Company exercisable for a period of five years at a price of $0.115 per share. b) On December 24, 2025, the Company announced a non-brokered private placement to raise gross proceeds of up to $500,000 through the issuance of up to 6,250,000 units at a price of $0.08 per unit. Each unit will consist of one common share and one common share purchase warrant entitling the holder to purchase one common share at a price of $0.10 for five years from the date of issuance. The Company plans to use the proceeds for general working capital purposes and exploration expenditures. The financing is subject to approval by the Canadian Securities Exchange and a four-month statutory hold period.