SEDAR Interim Financial Statements

Condensed Interim Financial Statements (Unaudited) Three and six months ended December 31, 2025 and 2024 (In Canadian dollars) NOTICE OF NO AUDITOR REVIEW OF UNAUDITED CONDENSED INTERIM FINANCIAL STATMENTS In accordance with National instrument 51-102, Part 4, subsection 4.3(3)(a), if an auditor has not performed a review of the condensed interim financial statements, they must be accompanied by a notice indicating that an auditor has not reviewed the financial statements. The accompanying unaudited condensed interim financial statements of 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 financial statements in accordance with standards established by the Chartered Professional Accountants of Canada for a review of interim financial statements by an entity’s auditor. NEW ENERGY METALS CORP. Condensed Interim Statements of Financial Position As at December 31, 2025 and June 30, 2025 (In Canadian dollars) The accompanying notes are an integral part of these financial statements. 6 Notes December 31, 2025 June 30, 2025 $ $ Assets Current Cash 38,116 13,709 Accounts receivable 1,854 24,444 Other assets 14,378 25,732 Total assets 54,348 63,885 Liabilities Current Accounts payable and accrued liabilities 6 186,153 198,088 Note payable 4 105,081 93,058 291,234 291,146 Shareholders’ equity (deficiency) Share capital 5 9,901,554 9,851,514 Reserves 5 156,598 116,534 Deficit (10,295,038) (10,195,309) Total equity (deficiency) (236,886) (227,261) Total liabilities and equity (deficiency) 54,348 63,885 Nature of operations and going concern 1 Approved on behalf of the Board of Directors: (Signed) “Kenneth Kaczkowski” (Signed) “Cameron MacDonald” Director Director NEW ENERGY METALS CORP. Condensed Interim Statements of Comprehensive Loss Three and six months ended December 31, 2025 and 2024 (In Canadian dollars) The accompanying notes are an integral part of these financial statements. 7 Three months ended December 31, Six months ended December 31, Notes 2025 2024 2025 2024 $ $ Expenses General and administration (5,414) 9,573 (4,228) 15,471 Management fees 6 16,500 15,800 33,000 21,800 Professional fees 600 28,417 3,048 32,307 Regulatory and transfer agent 8,029 14,624 15,340 20,803 Share-based compensation 5, 6 15,660 7,864 42,398 13,776 (35,375) (76,278) (89,558) (104,157) Other items Finance costs 4 (7,105) - (12,505) - Net loss and comprehensive loss for the period (42,480) (76,278) (102,063) (104,157) Net loss per share - basic and diluted (0.01) (0.02) (0.02) (0.02) Weighted average number of common shares outstanding 4,969,724 4,630,238 4,910,800 4,516,423 NEW ENERGY METALS CORP. Condensed Interim Statements of Changes in Equity (Deficiency) Three and six months ended December 31, 2025 and 2024 (Expressed in Canadian dollars) The accompanying notes are an integral part of these financial statements. 8 Share capital Reserves Notes Number Amount Obligation to issue shares Stock options RSUs Warrants Total Deficit Total # $ $ $ $ $ $ $ $ Balance, June 30, 2025 4,691,724 9,851,514 - 116,097 437 - 116,534 (10,195,309) (227,261) Shares issued for cash 278,000 50,040 - - - - - - 50,040 Share-based compensation - - - 29,710 12,688 - 42,398 - 42,398 Cancelled and forfeited options - - - (2,334) - - (2,334) 2,334 - Loss for the period - - - - - - - (102,063) (102,063) Balance, December 31, 2025 4,969,724 9,901,554 - 143,473 13,125 - 156,598 ( --- 10,295,038) (236,886) Balance, June 30, 2024 3,584,674 9,709,516 40,000 219,387 975 3,300 223,662 (9,889,710) 83,468 Shares issued for cash 1,000,000 100,000 (40,000) - - - - - 60,000 Shares issued for exploration and evaluation assets 30,000 6,000 - - - - - - 6,000 Exercise of options 33,300 30,141 - (26,311) - (26,311) 3,830 Share-based compensation - - - 7,126 6,650 - 13,776 - 13,776 Loss for the period - - - - - - - (104,157) (104,157) Balance, December 31, 2024 4,647,974 9,845,657 - 200,202 7,625 3,300 211,127 (9,993,867) 62,917 NEW ENERGY METALS CORP. Condensed Interim Statements of Cash Flows Six months ended December 31, 2025 and 2024 (Expressed in Canadian dollars) The accompanying notes are an integral part of these financial statements. 9 2025 2024 $ $ Operating activities Net loss for the period (102,063) (104,157) Items not affecting cash Accrued interest 12,023 - Share-based compensation 42,398 13,776 Changes in non-cash working capital items Accounts receivable 22,590 10,616 Other assets 11,354 9,660 Accounts payable and accrued liabilities (11,935) (70,795) (25,633) (140,900) Financing activities Loan proceeds - 80,000 Shares issued for cash 50,040 103,830 Shares subscription - (40,000) 50,040 143,830 Change in cash 24,407 2,930 Cash, beginning of period 13,709 70,113 Cash, end of period 38,116 73,043 Non-cash transaction Shares issued for exploration and evaluation assets - 6,000 NEW ENERGY METALS CORP. Notes to the Condensed Interim Financial Statements Three and six months ended December 31, 2025 and 2024 (Expressed in Canadian dollars) 10 1. Nature of Operations and Going Concern (a) Nature of operations New Energy Metals Corp. (the “Company”) was incorporated pursuant to the provisions of the British Columbia Business Corporations Act on March 13, 2017. The address of the Company’s registered office is 2200 – 885 West Georgia Street, Vancouver, British Columbia, V6C 3E8. The Company is currently in the exploration stage of developing its exploration and evaluation properties and has not yet determined whether they contain mineral reserves that are economically recoverable. (b) Going concern These financial statements have been prepared on the basis of accounting principles applicable to a going concern which assumes that the Company will be able to realize its assets and discharge its liabilities in the normal course of business. As at December 31, 2025, the Company had working capital deficiency of $236,886 (June 30, 2025 – $227,261) and an accumulated deficit of $10,295,038 (June 30, 2025 - $10,195,309). The Company expects to incur further losses until it successfully develops its business. The Company’s continuation as a going concern is dependent upon the successful results from its mineral property exploration activities, its ability to attain profitable operations and generate funds therefrom and raise equity capital or borrowings sufficient to meet current and future obligations. While the Company has been successful in securing financings in the past, there is no assurance that it will be able to obtain adequate financing in the future or that such financing will be available on acceptable terms. The factors above indicate the existence of material uncertainties that may cast significant doubt regarding the Company’s ability to continue as a going concern. In assessing whether the going concern assumption is appropriate, management takes into account all available information about the future, which is at l --- east, but not limited to twelve months from the end of the reporting period. Management is aware, in making its assessment, of material uncertainties related to events and conditions that may cast a significant doubt upon the Company’s ability to continue as a going concern as described above, and accordingly, the appropriateness of the use of accounting principles applicable to a going concern. These financial statements do not include any adjustments to amounts and classification of assets and liabilities that may be necessary should the Company be unable to continue as a going concern. Such adjustments could be material. 2. Material Accounting Policies (a) Basis of presentation and measurement These condensed interim financial statements (the “Financial Statements”) have been prepared in accordance with International Accounting Standard 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”). NEW ENERGY METALS CORP. Notes to the Condensed Interim Financial Statements Three and six months ended December 31, 2025 and 2024 (Expressed in Canadian dollars) 11 2. Material Accounting Policies (continued) (a) Basis of presentation and measurement (continued) The Financial Statements should be read in conjunction with the Company’s annual financial statements as at and for the year ended June 30, 2025 (the “Annual Financial Statements”). The accounting policies and critical estimates applied by the Company in the Financial Statements are the same as those applied in the Annual Financial Statements. The Financial Statements do not include all the information required for full annual financial statements, however, selected explanatory notes are included to explain events and transactions that are significant to an understanding of the changes in the Company’s financial position and performance since the most recent Annual Financial Statements. The Financial Statements were approved by the Board of Directors on February 27, 2026. 3. Exploration and Evaluation Assets The Company previously entered into an option agreement, as amended, to acquire Troitsa Kate Copper Property (“Troitsa”) located in British Columbia, comprising 26 mineral claims. As at June 30, 2025, the Company had paid $25,000 in cash and issued a total of 180,000 common shares with a fair value of $175,500 under the option terms. During the year ended June 30, 2025, the Company identified impairment indicators related to Troitsa and recorded an impairment charge of $200,500. As a result, the carrying amount of the Troitsa property was written down to $Nil. The estimated recoverable amount remained $Nil at June 30, 2025 and December 31, 2025. 4. Note payable During the year ended June 30, 2025, the Company issued an unsecured promissory note in the principal amount of $80,000. The promissory note bears interest of 2% per month, compounding monthly, and is repayable on demand. The Company recognized interest expense of $6,903 and $12,023 on the note during the three and six months ended December 31, 2025, respectively (three and six months ended December 31, 2024 - $Nil and $Nil, respectively). 5. Share Capital and Reserves (a) Authorized Unlimited common shares without par value. (b) Issued and outstanding As at December 31, 2025, the Company’s issued and outstanding share capital consisted of 4,969,724 (June 30, 2025 – 4,691,724) issu --- ed and fully paid common shares. NEW ENERGY METALS CORP. Notes to the Condensed Interim Financial Statements Three and six months ended December 31, 2025 and 2024 (Expressed in Canadian dollars) 12 5. Share Capital and Reserves (continued) (b) Issued and outstanding Six months ended December 31, 2025 On August 8, 2025, the Company completed a non-brokered private placement of 278,000 units at a price of $0.18 per unit for gross proceeds of $50,040. Each unit consisted of one common share and one common share purchase warrant exercisable at $0.25 per share until August 8, 2027. No value was allocated to the warrants. Six months ended December 31, 2024 On July 17, 2024, the Company issued 30,000 common shares with fair value of $6,000 pursuant to the Troitsa property option agreement. Note 3 On July 19, 2024, the Company completed a private placement of 1,000,000 shares at a price of $0.10 per share for gross proceeds of $100,000. 33,300 options were exercised for gross proceeds of $3,830. The fair value of the options of $26,311 was transferred from reserves to share capital on exercise of these options. (c) Warrants Each warrant entitles the holder to purchase one common share of the Company. A summary of the status of the warrants outstanding follows: Warrants Weighted average exercise price # $ Balance, June 30, 2024 475,260 3.30 Expired (475,260) 3.30 Balance, June 30, 2025 - - Issued (1) 278,000 0.25 Balance, December 31, 2025 278,000 0.25 (1) The warrants expire on August 8, 2027. NEW ENERGY METALS CORP. Notes to the Condensed Interim Financial Statements Three and six months ended December 31, 2025 and 2024 (Expressed in Canadian dollars) 13 5. Share Capital and Reserves (continued) (d) Stock options The Company has an Omnibus Equity Incentive Plan (the “Plan”) which provides that the Board of Directors of the Company may from time to time, at its discretion, and in accordance with the TSX Venture Exchange (the “Exchange”) requirements, grant to directors, officers, employees and consultants of the Company, equity-based incentive awards in the form of stock options (“Options”), restricted share units (“RSUs”), performance share units (“PSUs”) and deferred share units (“DSUs”). The Plan is a rolling plan which provides that the aggregate maximum number of common shares that may be issued upon the exercise or settlement of awards granted under the Plan shall not exceed 10% of the Company’s issued and outstanding common shares from time to time. A summary of the status of the options outstanding follows: Options Weighted average exercise price # $ Balance, June 30, 2024 212,500 0.12 Granted 50,000 0.24 Cancelled and forfeited (126,200) 0.16 Exercised (33,300) 0.12 Balance, June 30, 2025 103,000 0.13 Granted 178,500 0.26 Cancelled and forfeited (5,000) 0.50 Balance, December 31, 2025 276,500 0.21 The following table summarizes the options outstanding and exercisable as at December 31, 2025: Exercise Price Expiry date Options outstanding Options exercisable $ # # 0.115 (1) March 3, 2028 46,000 46,000 0.115 June 5, 2029 52,000 52,000 0.26 August 7, 2030 178,500 44,625 276,500 142,625 (1) On June 5, 2024, the exercise price of 46,000 options was reduced to $0.115 per share from $4.20. As a result, share-based compensation of $4,981 was recorded for the incremental value of the repriced options. As at December 31, 2025, the weighted average remaining contractual life of the options was 3.98 years (2024 – 2.8 years). During the three and s --- ix months ended December 31, 2025, the Company recorded share-based compensation of $8,951 and $25,428, respectively (three and six months ended December 31, 2024 - $5,582 and $7,126, respectively) for stock options granted and vested during the period. NEW ENERGY METALS CORP. Notes to the Condensed Interim Financial Statements Three and six months ended December 31, 2025 and 2024 (Expressed in Canadian dollars) 14 5. Share Capital and Reserves (continued) (d) Stock options (continued) The fair value of stock options granted was determined using the Black-Scholes option pricing model based on the following weighted average assumptions at the time of grant: 2025 2024 Risk-free annual interest rate 2.87% 2.75% Expected annual dividend yield 0% 0% Expected stock price volatility 148% 156% Expected life of options (years) 5 5 Forfeiture rate 15% 15% The weighted average fair value of stock options granted during three and six months ended December 31, 2025 was $Nil and $0.21, respectively (three and six months ended December 31, 2024 - $Nil and $Nil, respectively) per option. During the three and six months ended December 31, 2025, the fair value of cancelled and forfeited options of $Nil and $2,334, respectively, (three and six months ended December 31, 2024 - $Nil and $Nil, respectively) was reclassified from reserves to deficit. (e) Restricted share units (RSUs) Under the terms of the Plan, RSUs may be awarded to directors, officers, employees and consultants of the Company which will be settled by the issuance of common shares at the end of each vesting period. Each RSU gives the participant the right to receive one common share of the Company. A summary of the status of the RSUs outstanding is as follows: RSUs Weighted average issue price # $ Balance, June 30, 2024 125,000 0.12 Granted 25,000 0.24 Vested and settled (43,750) 0.12 Cancelled and forfeited(1) (68,750) 0.16 Balance, June 30, 2025 37,500 0.12 Granted 120,000 0.26 Balance, December 31, 2025 157,500 0.23 (1) During the year ended June 30, 2025, the fair value of cancelled and forfeited RSUs of $7,923 was reclassified from reserves to deficit. NEW ENERGY METALS CORP. Notes to the Condensed Interim Financial Statements Three and six months ended December 31, 2025 and 2024 (Expressed in Canadian dollars) 15 5. Share Capital and Reserves (continued) (e) Restricted share units (RSUs) (continued) The following table summarizes the RSUs outstanding as at December 31, 2025: Issue Price End of vesting period RSUs outstanding RSUs Vested $ # # 0.115 June 5, 2026 37,500 31,250 0.26 July 2, 2027 120,000 - During the three and six months ended December 31, 2025, the Company recorded share-based compensation of $6,709 and $12,688 (three and six months ended December 31, 2024 - $2,282 and $6,650, respectively) for RSUs granted during the period. As at December 31, 2025, the weighted average remaining contractual life of RSUs is 1.25 years (2024 – 1.43 years). 6. Related Party Transactions (a) Compensation of key management personnel The Company’s key management personnel have the authority and responsibility for planning, directing and controlling the activities of the Company, and is comprised of the Company’s Board of Directors and executive officers. Key management compensation for the three and six months ended December 31, 2025 and 2024 consisted of the following: Three months ended December 31, Six months ended December 31, 2025 2024 2025 2024 $ $ CFO fees 16,500 15,800 33,000 21,000 --- Share-based compensation(1) 10,189 1,069 25,048 1,439 26,689 16,869 58,048 23,239 (1) Share-based compensation represents the fair value of options granted and vested to directors and officers of the Company. (b) Related party balances As at December 31, 2025, included in accounts payable and accrued liabilities was $62,385 (June 30, 2025 - $18,842) due to former directors, officers and a company controlled by a former director of the Company. 7. Fair Value of Financial Instruments As at December 31, 2025, the Company’s financial instruments consist of cash, accounts payable and accrued liabilities and note payable which are all classified as financial instruments at amortized cost. The carrying amounts of these financial instruments approximate fair value due to their immediate or short-term maturity. NEW ENERGY METALS CORP. Notes to the Condensed Interim Financial Statements Three and six months ended December 31, 2025 and 2024 (Expressed in Canadian dollars) 16 8. Financial Instruments 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 its capital management as outlined in Note 9 to the Annual Financial Statements. At present, the Company’s operations do not generate positive cash flows. The Company’s primary source of funding has been the issuance of equity securities through private placements. Despite previous success in acquiring these financings, there is no guarantee of obtaining future financings. As at December 31, 2025, the Company was not exposed to credit risk and price risk nor did it have any financial instruments subject to significant interest rate risk.