Amarc Resources Ltd 6-K, filed Nov 27, 2020

Amarc Resources Ltd (AXREF)

6-K 2020-11-27 For: 2020-09-30

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Added on April 07, 2026

About this 6-K

Amarc Resources Ltd filed this 6-K on November 27, 2020.

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	99.1	Condensed Consolidated Interim Financial Statements for the three months ended September 30, 2020 and 2019

	99.2	Management's Discussion and Analysis for the three months ended September 30, 2020

	99.3	Form 52-109FV2 Certification of interim filings - venture issuer basic certificate - CEO

	99.4	Form 52-109FV2 Certification of interim filings - venture issuer basic certificate - CFO

	Amarc Resources Ltd. (Registrant)

Date: November 27, 2020	By:	/s/ Sebastian Tang
		Sebastian Tang
		Chief Financial Officer

	Note	September 30, 2020	March 31, 2020
ASSETS
Current assets Cash	3	$1,106,872	$249,183
Amounts receivable and other assets	5	123,420	83,378
Marketable securities		17,269	18,356
Non-current assets		1,247,561	350,917
Restricted cash	4	198,409	178,143
Total assets		$1,445,970	$529,060
LIABILITIES AND SHAREHOLDERS' EQUITY
Current liabilities Accounts payable and accrued liabilities	7	$1,014,168	$100,075
Balance due to a related party	10	858,949	591,979
Director's loan	8	–	300,000
		1,873,117	992,054
Non-current liabilities Director's loan	8	539,076	512,119
Total liabilities		2,412,193	1,504,173
Shareholders' (deficiency) equity
Share capital	9	64,583,515	64,341,556
Share subscription advance	9(a)	100,000	–
Reserves	9	5,551,625	5,631,897
Accumulated deficit		(71,201,363)	(70,948,566)
		(966,223)	(975,113)
Total liabilities and shareholders' equity		$1,445,970	$529,060

/s/ Robert A. Dickinson			/s/ Scott D. Cousens
Robert A. Dickinson			Scott D. Cousens
Director			Director

		Three months ended September 30,		Six months ended September 30,
	Note	2020	2019	2020	2019

Expenses	10,11
Exploration and evaluation		$610,894	$378,450	$954,985	$690,001
Assays and analysis		18,248	46,055	86,014	51,669
Equipment rental		–	–	–	4,350
Helicopter and fuel		106,410	174,794	333,083	373,107
Geological, including geophysical		179,547	25,064	179,547	25,064
Property acquisition and assessments costs		–	1,562	198	22,830
Site activities		116,853	101,660	146,444	110,549
Socioeconomic		34,614	24,278	54,477	90,764
Travel and accommodation		9,584	5,037	9,584	11,668

Administration		180,595	237,627	300,166	420,470
Legal, accounting and audit		20,000	78,028	23,767	96,625
Office and administration	11(b)	131,643	130,156	233,197	256,429
Shareholder communication		8,774	8,858	16,887	31,487
Travel and accommodation		–	306	5,008	10,668
Regulatory and filing		20,178	20,279	21,307	25,261

Equity-settled share-based compensation		6,299	–	12,775	–

Cost recoveries	6	1,080,048	1,162,757	1,080,048	1,162,757
		282,260	546,680	-187,878	52,286
Other items
Finance income		21,898	634	22,572	2,362
Interest expense – director's loans	8	-29,080	(26,151)	-61,491	(48,589)
Transaction cost – director's loans	8	-14,037	(41,226)	-26,957	(79,400)
Foreign exchange loss		958	(790)	957	(830)
Net income (loss)		$261,999	$479,147	$(252,797)	$(74,171)

Basic and diluted loss per common share		$0.00	$0.00	$0.00	$0.00

Weighted average number of common
shares outstanding		176,954,542	170,602,894	176,278,718	170,602,894

	Share capital		Subscription advance	Reserves
	Number of shares	Amount	Amount	Share-based payments reserve	Investment revaluation reserve	Share warrants reserve	Deficit	Total
Balance at April 1, 2019	170,602,894	$64,041,556	$–	$2,202,640	$19,519	$2,882,923	$(69,689,556)	$(542,918)
Net loss for the period	–	–	–	–	–	–	(74,171)	(148,342)
Other comprehensive loss for the period	–	–	–	–	(5,392)	–	–	(5,392)
Total comprehensive loss	–	–	–	–	(5,392)	–	(74,171)	(153,734)
Gain on disposition of equity investments	–	–	–	–	(5,455)	–	5,455	–
Balance at September 30, 2019	170,602,894	$64,041,556	$–	$2,202,640	$8,672	$2,882,923	$(69,758,272)	$(696,652)
Balance at April 1, 2020	175,602,894	$64,341,556	$–	$2,244,764	$13,761	$3,373,372	$(70,948,566)	$(975,113)
Net loss for the period	–	–	–	–	–	–	(252,797)	(252,797)
Other comprehensive loss for the period	–	–	–	–	(1,088)	–	–	(1,088)
Total comprehensive loss	–	–	–	–	(1,088)	–	(252,797)	(253,885)
Equity-settled share-based compensation	–	–	–	12,775	–	–	–	12,775
Subscription received for shares issued after reporting period	–	–	100,000	–	–	–	–	100,000
Shares issued through exercise of warrants	3,000,000	241,959	–	–	–	(91,959)	–	150,000
Balance at September 30, 2020	178,602,894	$64,583,515	$100,000	$2,257,539	$12,673	$3,281,413	$(71,201,363)	$(966,223)

		Six months ended September 30,
	Note	2020	2019
Operating activities
Loss for the period		$(252,797)	$(74,171)
Adjustments for:
Equity-settled share-based compensation		12,775	–
Finance income		–	(2,362)
Interest expense – director's loans	8	61,491	48,589
Transaction cost – director's loans	8	26,957	79,400
Changes in working capital items Amounts receivable and other assets		(40,042)	195,259
Restricted cash		(20,266)	(5,000)
Accounts payable and accrued liabilities		914,092	2,976
Advanced contributions received	6	–	(189,021)
Balance due to a related party		205,479	86,500
Net cash (used in) provided by operating activities		907,689	142,170
Investing activities
Proceeds from disposition of marketable securities		–	5,455
Interest received		–	2,362
Net cash provided by investing activities		–	7,817
Financing activities
Net proceeds from issuance of common shares pursuant to
exercise of share purchase warrants	9(c)	150,000	–
Shares subscription advance		100,000	–
Proceeds from director's loan		–	375,000
Repayment of director's loans	8	(300,000)	(375,000)
Interest paid on director's loans	8	–	(25,904)
Net cash (used in) financing activities		(50,000)	(25,904)
Net (decrease) increase in cash		857,689	124,083
Cash, beginning balance		249,183	282,996
Cash, ending balance	3	$1,106,872	$407,079

	September 30,	March 31,
	2020	2020
Sales tax refundable	$33,843	$16,858
Reimbursable exploration expenses (note 6 (a))	37,363	-
Prepaid insurance	52,214	66,520
Total	$123,420	$83,378

	September 30, 2020	March 31, 2020
Accounts payable	$994,172	$80,075
Accrued liabilities	19,996	20,000
Total	$1,014,168	$100,075

	Six months ended September 30, 2020	Year ended March 31, 2020
Opening balance	$812,119	$893,800
Principal advances	–	675,000
Principal repayments	(300,000)	(375,000)
Transactions costs	–	(490,449)
Amortization of transaction costs	26,957	108,768
Closing balance	$539,076	$812,119

	Six months ended September 30, 2020	Year ended March 31, 2020
Current portion	$-	$300,000
Non-current portion	539,076	512,119
Total	$539,076	$812,119

Finance expenses	Six months ended	September 30,
	2020	2019
Interest on director’s loan	$61,491	$48,589
Amortization of transaction costs	26,957	79,400
Total	$88,448	$127,989

	September 30, 2020		September 30, 2019
	Weighted Average Exercise	Number of	Weighted Average Exercise	Number of
	Price	Options	Price	Options
Outstanding – beginning balance	$0.05	2,000,000	-	-
Grant	-	-	-	-
Outstanding – ending balance	$0.05	2,000,000	-	-

	Options Outstanding		Options Exercisable
	Weighted Average Remaining Contractual	Number of	Weighted Average Remaining Contractual	Number of
Exercise price	Life (years)	Options	Life (years)	Options
$0.05	4.01	2,000,000	4.01	1,000,000
Total	4.01	2,000,000	4.01	1,000,000

Balances due to related parties	September 30, 2020	March 31, 2020
Hunter Dickinson Services Inc.	$717,951	$507,232
Robert Dickinson (interest payable)	126,891	79,726
United Mineral Services Ltd.	5,021	5,021
Officers related to reimbursable expenses and service fees settled in subsequent month	9,086	-
Total	$858,949	$591,979

Transactions with HDSI	Three months ended September 30,		Six months ended September 30,
(rounded to the nearest thousand CAD)	2020	2019	2020	2019
Services received from HDSI and as requested by the Company	$235,000	$333,000	$542,000	$632,000
Information technology – infrastructure and support services	15,000	15,000	30,000	30,000
Reimbursement, at cost, of third-party expenses incurred by HDSI on behalf of the Company	(24,000)	8,000	40,000	54,000
Total	$226,000	$356,000	$612,000	$716,000

Office and administration expenses	Three months ended September 30,		Six months ended September 30,
(rounded to the nearest thousand CAD)	2020	2019	2020	2019
Salaries and benefits	$66,000	$109,000	$127,000	$206,000
Insurance	23,000	2,000	44,000	14,000
Data processing and retention	16,000	15,000	31,000	30,000
Other office expenses	3,000	4,000	7,000	7,000
Total	$108,000	$130,000	$209,000	$257,000

1.1	Overview	3
1.2	Selected Annual Information	20
1.3	Summary of Quarterly Results	20
1.4	Results of Operations	20
1.5	Liquidity	22
1.6	Capital Resources	22
1.7	Off-Balance Sheet Arrangements	23
1.8	Transactions with Related Parties	23
1.9	Fourth Quarter	24
1.10	Proposed Transactions	24
1.11	Critical Accounting Estimates	24
1.12	Changes in Accounting Policies including Initial Adoption	24
1.13	Financial Instruments and Other Instruments	24
1.14	Other MD&A Requirements	24
1.14.1	Additional Disclosure for Venture Issuers without Significant Revenue	24
1.14.2	Disclosure of Outstanding Share Data	25
1.14.3	Disclosure Controls and Procedures	25
1.14.4	Internal Controls over Financial Reporting Procedures	25
1.14.5	Limitations of Controls and Procedures	26
1.15	Risk Factors	26

Transactions with UMS (rounded to the nearest thousand	Three months ended September 30,		Six months ended September 30,
CAD)	2020	2019	2020	2019
Services received from UMS and as requested by the Company	$–	$–	$–	$9,000
Reimbursement, at cost, of third- party expenses incurred by the Company on behalf of UMS	23,026	$–	$–	$9,000
Total	$23,026	$–	$–	$9,000

Employees’ salaries and benefits (rounded to the nearest thousand CAD)	Three months ended September 30,		Six months ended September 30,
	2020	2019	2020	2019
Salaries and benefits included in the following:
Exploration and evaluation
expenses	$115,000	$230,000	$402,000	$433,000
Administration expenses 1	44,000	113,000	136,000	224,000
Total	$159,000	$343,000	$538,000	$657,000

Cut-Off Grade	Size	Grade		Contained Metal
(g/t Au)	Tonnage (000 t)	Gold (g/t)	Silver (g/t)	Gold (000 oz)	Silver (000 oz)
0.20	147,069	0.38	1.9	1,818	8,833
0.25	111,460	0.44	2.1	1,571	7,694
0.30	85,239	0.49	2.4	1,334	6,495
0.35	65,384	0.54	2.7	1,130	5,635
0.40	49,502	0.59	2.9	938	4,596

	Average metal price (US$)
Calendar year	Copper	Molybdenum	Gold	Silver
2015	2.50/lb	6.73/lb	1,160/oz	15.69/oz
2016	2.21/lb	6.56/lb	1,251/oz	17.14/oz
2017	2.88/lb	7.26/lb	1,275/oz	17.01/oz
2018	2.96/lb	11.94/lb	1.269/oz	15.71/oz
2019	2.72/lb	11.36/lb	1,393/oz	16.21/oz
2020 (to the date of this document)	2.73/lb	9.10/lb	1,762/oz	20.10/oz

($ 000’s)	Sep 30,	Jun 30,	Mar 31,	Dec 31,	Sep 30,	Jun 30,	Mar 31,	Dec 31,
	2020	2020	2020	2019	2019	2019	2019	2018
Net (income) loss	$(262)	$515	$599	$581	$(479)	$553	$197	$909
Basic and diluted (income) loss per share	$0.00	$0.00	$0.00	$0.00	$0.00	$0.00	$0.00	$0.01

	September 2020	September 2019
(Decrease) Increase in exploration and evaluation expenditures	$232,000	$(2,104,000)
(Decrease) Increase in administrative expenditures	(57,000)	(65,000)
(Decrease) Increase in cost recoveries	(83,000)	(1,548,000)

Six months ended September 30, 2020	IKE	JOY	DUKE	Operating Properties	Other	Total
Assays and analysis	$59,100	$6,528	$7,276	$11,807	$1,303	$86,014
Drilling	–	–	–	145,638	–	145,638
Equipment rental	–	–	–	–	–	–
Geological, including geophysical	106,774	53,067	104,472	24,788	43,982	333,083
Helicopter and fuel	25,440	–	–	154,107	–	179,547
Property acquisition and assessment costs	198	–	–	–	–	198
Site activities	32,473	6,123	21,533	83,470	2,845	146,444
Socioeconomic	2,201	10,938	4,659	36,454	225	54,477
Travel and accommodation	1,470	–	–	8,114	–	9,584
Cost Recoveries	(171,540)	(289,648)	(149,168)	(460,391)	(9,301)	(1,080,048)
Total	$56,116	$(212,992)	$(11,228)	$3,987	$39,054	$(125,063)

Six months ended September 30, 2019	IKE	JOY	DUKE	Other	Total
Assays and analysis	$72,364	$124,914	$55,816	$(4,900)	$248,194
Drilling	392,582	31,523	266,737	300	691,142
Equipment rental	29,356	35,788	8,379	–	73,523
Geological, including geophysical	138,869	636,313	83,363	9,420	867,965
Helicopter and fuel	425,196	377,193	–	–	802,389
Property acquisition and assessment costs	198	–	–	–	198
Site activities	244,264	434,080	125,181	18,311	821,836
Socioeconomic	11,251	74,907	10,028	–	96,186
Travel and accommodation	21,465	38,004	5,104	7,469	72,042
Cost Recoveries	–	–	–	–	–
Total	$1,335,545	$1,752,722	$554,608	$30,600	$3,673,475

Three months ended September 30, 2020	IKE	JOY	DUKE	Other	Operated Properties	Total
Assays and analysis	$5,138	$–	$–	$1,303	$11,807	$18,248
Drilling	–	–	–	–	145,638	145,638
Equipment rental	–	–	–	–	–	–
Geological, including geophysical	(4,497)	(1,725)	60,062	27,782	24,788	106,410
Helicopter and fuel	25,440	–	–	–	154,107	179,547
Property acquisition and assessment costs	–	–	–	–	–	–
Site activities	14,869	–	15,669	2,845	83,470	116,853
Socioeconomic	57	1,271	2,076	–	31,210	34,614
Travel and accommodation	1,470	–	–	–	8,114	9,584
Cost Recoveries	(171,540)	(289,648)	(149,168)	(9,301)	(460,391)	(1,080,048)
Total	$(129,063)	$(290,102)	$(71,361)	$22,629	$(1,257)	$(469,154)

Three months ended September 30, 2019	IKE	JOY	DUKE	Other	Total
Assays and analysis	$40,953	$5,068	$34	$–	$46,055
Drilling	–	–	–	–	–
Equipment rental	–	–	–	–	–
Geological, including geophysical	23,348	106,000	21,091	24,355	174,794
Helicopter and fuel	–	25,064	–	–	25,064
Property acquisition and assessment costs	–	350	1,212	–	1,562
Site activities	11,783	71,601	9,709	8,567	101,660
Socioeconomic	1,491	12,320	9,567	900	24,278
Travel and accommodation	–	3,292	1,669	76	5,037
Cost Recoveries	–	–	–	–	–
Total	$77,575	$223,695	$43,282	$33,898	$378,450

	Six months ended September 30,
General and Administration Expenses	2020	2019
Legal, accounting and audit	$23,767	$96,625
Office and administration	233,197	256,429
Regulatory and filing	21,307	25,261
Shareholder communication	16,887	31,487
Travel and accommodation	5,008	10,668
Total	$300,166	$420,470

	Three months ended September 30,
General and Administration Expenses	2020	2019
Legal, accounting and audit	$20,000	$78,028
Office and administration	106,830	130,156
Regulatory and filing	20,178	20,279
Shareholder communication	8,774	8,858
Travel and accommodation	-	306
Total	$155,782	$237,627

(a)	capitalized or expensed exploration and development costs	See 1.5 Results of Operations above.
(b)	expensed research and development costs	Not applicable.
(c)	deferred development costs	Not applicable.
(d)	general and administration expenses	See 1.5 Results of Operations above.

	Number
Common shares	180,602,894
Share purchase options	2,000,000
Share purchase warrants	11,000,000