Fury Gold Mines Ltd 6-K, filed Aug 16, 2021

Fury Gold Mines Ltd (FURY)

6-K 2021-08-16 For: 2021-08-09

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Fury Gold Mines Ltd filed this 6-K on August 16, 2021.

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Exhibit 99.1		Condensed Interim Consolidated Financial Statements (Unaudited) For The Three And Six Months Ended June 30, 2021
Exhibit 99.2		Management’s Discussion And Analysis For The Three And Six Months Ended June 30, 2021
Exhibit 99.3		CEO certification of interim filings
Exhibit 99.4		CFO certification of interim filings

	Fury Gold Mines Limited

Date: August 13, 2021	By:	/s/ Lynsey Sherry
		Lynsey Sherry
		Chief Financial Officer

Fury Gold Mines Limited
Condensed Interim Consolidated Statements of Financial Position
(Expressed in thousands of Canadian dollars – Unaudited)
		At June 30	At December 31
	Note	2021	2020
Assets
Current assets:
Cash		$5,452	$15,361
Marketable securities	4	1,933	2,675
Accounts receivable		431	827
Prepaid expenses and deposits		798	785
		8,614	19,648
Non-current assets:
Restricted cash		165	165
Prepaid expenses and deposits		243	243
Property and equipment		1,410	1,222
Mineral property interests	5	160,382	160,772
		162,200	162,402
Total assets		$170,814	$182,050

Liabilities and Equity
Current liabilities:
Accounts payable and accrued liabilities		$2,021	$3,280
Lease liability	6	92	55
Flow-through share premium liability	7	5,089	7,644
Advances received for exploration		297	316
		7,499	11,295
Non-current liabilities:
Lease liability	6	411	193
Provision for site reclamation and closure	8	3,932	4,290
Total liabilities		$11,842	$15,778

Equity:
Share capital	10	$294,875	$294,710
Share option and warrant reserve	11	13,041	11,521
Deficit		(148,944)	(139,959)
Total equity		$158,972	$166,272
Total liabilities and equity		$170,814	$182,050

“Michael Timmins”		“Steve Cook”
President & Chief Executive Officer		Director

		Three months ended June 30		Six months ended June 30
	Note	2021	2020	2021	2020
Operating expenses:
Exploration and evaluation costs	9	$3,542	$366	$7,230	$745
Fees, salaries and other employee benefits	11	931	752	2,192	1,152
Insurance		132	82	265	163
Legal and professional fees		453	70	1,370	124
Marketing and investor relations		193	460	785	858
Office and administration		160	101	360	200
Regulatory and compliance costs		131	46	248	117
		5,542	1,877	12,450	3,359

Other (income) expenses:
Unrealized net (gain) loss on marketable securities	4	(190)	(226)	742	(66)
Amortization of flow-through share premium	7	(1,332)	-	(2,555)	(7)
Finance expense on bridge loan		-	125	-	249
Loss on bridge loan	15	-	-	-	159
Accretion	8	19	8	32	17
Interest expense on lease liability	6	25	-	51	-
Interest and other income		(9)	(19)	(29)	(51)
Foreign exchange loss		5	6	11	-
		(1,482)	(106)	(1,748)	301
Loss from continuing operations, before taxes		4,060	1,771	10,702	3,660
Income tax recovery (expense)	2	-	-	1,717	(57)
Loss from continuing operations		4,060	1,771	8,985	3,603
Loss from discontinued operations	3	-	963	-	1,846
Loss for the period		$4,060	$2,734	$8,985	$5,449

Other comprehensive loss (income), net of tax
Items that may be reclassified subsequently to profit or loss:
Unrealized currency loss (gain) on translation of foreign operations		-	181	-	(204)
Other comprehensive loss (income) for the period		-	181	-	(204)
Total comprehensive loss for the period		$4,060	$2,915	$8,985	$5,245

Loss per share from continuing operations:
Basic and diluted loss per share	14	$0.03	$0.03	$0.08	$0.05
Loss per share:
Basic and diluted loss per share	14	$0.03	$0.04	$0.08	$0.08

Subsidiary	Place of incorporation	Functional currency	Beneficial interest
North Country Gold Corp. (“North Country”)	BC, Canada	CAD	100%
Homestake Resource Corporation (“Homestake”)	BC, Canada	CAD	100%
Eastmain Resources Inc. (“Eastmain”)	ON, Canada	CAD	100%
Eastmain Mines Inc. (“Eastmain Mines”)(1)	Canada	CAD	100%
Homestake Royalty Corporation (inactive)	BC, Canada	CAD	100%

	Three months ended June 30, 2020	Six months ended June 30, 2020
Operating expenses:
Exploration and evaluation costs (note 9)	$686	$1,398
Fees, salaries and other employee benefits	97	151
Legal and professional fees	41	63
Office and administration	14	66
	838	1,678
Other expenses:
Project investigation costs	120	156
Foreign exchange loss	5	12
	125	168
Loss from discontinued operations	$963	$1,846

	Total
Balance at December 31, 2019	$346
Additions(1)	1,764
Unrealized net gain(1)	565
Balance at December 31, 2020	$2,675
Unrealized net loss	(742)
Balance at June 30, 2021	$1,933

	Québec	Nunavut	British Columbia	Peru(1)	Total
Balance at December 31, 2019	$-	$19,085	$16,060	$4,569	$39,714
Additions	-	-	-	4,246	4,246
Eastmain acquisition, mineral property interests acquired	125,606	-	-	-	125,606
Option payment received(2)	(252)	-	-	-	(252)
Dispositions (note 3)	-	-	-	(8,949)	(8,949)
Change in estimate of provision for site reclamation and closure (note 8)	-	273	-	-	273
Currency translation adjustment	-	-	-	134	134
Balance at December 31, 2020	$125,354	$19,358	$16,060	$-	$160,772
Change in estimate of provision for site reclamation and closure (note 8)	(180)	(210)	-	-	(390)
Balance at June 30, 2021	$125,174	$19,148	$16,060	$-	$160,382

	ROU Assets	Lease Liabilities
Balance at December 31, 2020	$219	$248
Additions	293	293
Depreciation	(66)	-
Interest expense	-	51
Lease payments	-	(89)
Balance at June 30, 2021	$446	$503

	ROU Asset	Lease Liability
Balance at December 31, 2019	$-	$-
Additions	236	259
Depreciation	(17)	-
Interest expense	-	14
Lease payments	-	(25)
Balance at December 31, 2020	$219	$248

	June 30 2021	December 31 2020
Lease liabilities classified as:
Current	$92	$55
Non-current	411	193
	$503	$248

	Flow-through funding and expenditures				Flow-through premium liability
	Québec	Nunavut	British Columbia	Total
Balance at December 31, 2019	$-	$24	$-	$24	$7
Flow-through liability assumed	2,391	-	-	2,391	590
Flow-through funds raised	17,500	-	-	17,500	7,500
Flow-through eligible expenditures	(1,812)	(24)	-	(1,836)	(453)
Balance at December 31, 2020	$18,079	$-	$-	$18,079	$7,644
Flow-through eligible expenditures	(6,203)	-	-	(6,203)	(2,555)
Balance at June 30, 2021	$11,876	$-	$-	$11,876	$5,089

	Number of common shares	Impact on share capital
Common shares issued at $2.37 per share	6,333,984	$15,000
Cash share issue costs	-	(239)
Proceeds, net of share issue costs	6,333,984	$14,761

	Québec	Nunavut	British Columbia	Total	Peru(1)
Assaying	$719	$10	$2	$732	$-
Exploration drilling	1,091	30	-	1,121	-
Camp cost, equipment and field supplies	382	63	5	450	-
Geological consulting services	83	-	1	84	-
Permitting, environmental and community costs	27	47	15	89	-
Expediting and mobilization	44	41	-	85	-
Salaries and wages	598	35	13	646	-
Fuel and consumables	136	-	-	136	-
Aircraft and travel	55	2	-	57	-
Share-based compensation	114	22	6	142	-
Three months ended June 30, 2021	$3,250	$250	$42	$3,542	$-

	Québec	Nunavut	British Columbia	Total	Peru(1)
Assaying	$-	$10	$14	$24	$6
Exploration drilling	-	14	-	14	-
Camp cost, equipment and field supplies	-	61	8	69	34
Geological consulting services	-	2	69	71	26
Permitting, environmental and community costs	-	20	-	20	377
Salaries and wages	-	106	40	146	180
Aircraft and travel	-	-	-	-	14
Share-based compensation	-	17	5	22	49
Three months ended June 30, 2020	$-	$230	$136	$366	$686

	Québec	Nunavut	British Columbia	Total	Peru(1)
Assaying	$1,098	$40	$16	$1,154	$-
Exploration drilling	2,363	30	-	2,393	-
Camp cost, equipment and field supplies	757	122	8	887	-
Geological consulting services	259	34	3	296	-
Geophysical analysis	149	-	-	149	-
Permitting, environmental and community costs	122	81	28	231	-
Expediting and mobilization	51	41	-	92	-
Salaries and wages	1,102	80	33	1,215	-
Fuel and consumables	310	35	-	345	-
Aircraft and travel	116	2	1	119	-
Share-based compensation	274	56	19	349	-
Six months ended June 30, 2021	$6,601	$521	$108	$7,230	$-

	Québec	Nunavut	British Columbia	Total	Peru(1)
Assaying	$-	$20	$16	$36	$10
Exploration drilling	-	26	-	26	-
Camp cost, equipment and field supplies	-	123	16	139	92
Geological consulting services	-	2	173	175	93
Permitting, environmental and community costs	-	25	7	32	627
Expediting and mobilization	-	5	-	5	5
Salaries and wages	-	195	81	276	376
Fuel and consumables	-	-	-	-	2
Aircraft and travel	-	-	2	2	49
Share-based compensation	-	38	16	54	144
Six months ended June 30, 2020	$-	$434	$311	$745	$1,398

	Three months ended June 30		Six months ended June 30
	2021	2020	2021	2020
Recognized in net loss from continuing operations and included in:
Exploration and evaluation costs	$142	$22	$349	$54
Fees, salaries and other employee benefits	478	136	1,184	323
	$620	$158	$1,533	$377
Recognized in net loss from discontinued operations	-	59	-	160
Total share-based compensation expense	$620	$217	$1,533	$537

	Number of share options	Weighted average exercise price ($/option)(1)
Outstanding, December 31, 2019	5,602,619	$2.96
Granted(2)	5,857,459	2.42
Exercised	(3,228,182)	2.42
Expired	(20,272)	2.90
Forfeited	(70,620)	2.61
Outstanding, December 31, 2020	8,141,004	$2.67
Granted	130,000	1.53
Exercised	(5,834)	0.86
Expired	(1,657,339)	3.63
Forfeited	(23,125)	1.94
Outstanding, June 30, 2021	6,584,706	$2.20

	Options outstanding		Options exercisable
Exercise price ($/option)	Number of shares	Weighted average exercise price ($/option)	Weighted average remaining life (years)	Number of shares	Weighted average exercise price ($/option)	Weighted average remaining life (years)
$0.56 – $1.95	1,693,780	1.53	3.21	1,513,614	1.51	3.05
$2.05 – $5.31	4,759,658	2.29	3.85	2,794,659	2.46	3.53
$7.54 – $9.86	131,268	7.88	0.92	131,268	7.88	0.92
	6,584,706	2.20	3.63	4,439,541	2.29	3.29

	Warrants outstanding	Exercise price ($/share)
Outstanding, December 31, 2019	337,813	$2.96
Issued(1)	1,297,591	1.33
Exercised	(8,664)	1.46
Outstanding, December 31, 2020	1,626,740	$1.66
Exercised	(101,042)	1.46
Expired	(440,702)	1.46
Outstanding, June 30, 2021	1,084,996	$1.77

Expiry date	Warrants outstanding	Exercise price ($/share)
October 24, 2021	334,993	1.37
March 6, 2022	189,613	1.11
March 9, 2022	222,577	1.11
September 12, 2022	337,813	2.96
Total	1,084,996	1.77

Operating activities include the following cash received:
	Three months ended June 30		Six months ended June 30
	2021	2020	2021	2020
Income taxes refunded (note 2)	$-	$-	$1,717	$-

	At June 30, 2021			At December 31, 2020
	Amortized Cost	FVTPL	Total	Amortized Cost	FVTPL	Total
Cash	$5,452	$-	$5,452	$15,361	$-	$15,361
Marketable securities	-	1,933	1,933	-	2,675	2,675
Accounts receivable	18	-	18	-	-	-
Deposits	543	-	543	243	-	243
Total financial assets	6,013	1,933	7,946	15,604	2,675	18,279
Accounts payable and accrued liabilities	2,021	-	2,021	3,280	-	3,280
Total financial liabilities	$2,021	$-	$2,021	$3,280	$-	$3,280

	At June 30, 2021		At December 31, 2020
	Level 1	Level 2(1)	Level 1	Level 2(1)
Cash	$5,452	$-	$15,361	$-
Marketable securities	1,546	387	2,165	510

	Within 1 year	2 to 3 years	Over 3 Years	At June 30 2021	At December 31 2020
Accounts payable and accrued liabilities	$2,021	$-	$-	$2,021	$3,280
Québec flow-through expenditure requirements	-	11,876	-	11,876	18,079
Undiscounted lease payments	181	372	159	712	762
Total	$2,202	$12,248	$159	$14,609	$22,121

	At June 30 2021	At December 31 2020
Financial assets
US$ bank accounts	$32	$70
Accounts receivable	18	-
Financial liabilities
Accounts payable	(43)	(42)
	$7	$(28)

		Page
SECTION 1: FORWARD-LOOKING STATEMENTS AND RISK FACTORS		3
1.1 Forward-looking statements		3
1.2 Qualified persons and technical disclosures		5
1.3 Impact of COVID-19		5
SECTION 2: BUSINESS OVERVIEW		7
SECTION 3: Q2 2021 HIGHLIGHTS AND SUBSEQUENT EVENTS		8
3.1 Corporate highlights		8
3.2 Operational highlights		8
SECTION 4: CORPORATE STRATEGY		9
SECTION 5: PROJECTS OVERVIEW		12
5.1 Québec		12
5.1.1 Eau Claire		12
5.1.2 Éléonore South JV		15
5.2 Nunavut		16
5.2.1 Committee Bay		16
5.2.2 Gibson MacQuoid		17
5.3 British Columbia		18
5.3.1 Homestake Ridge		18
SECTION 6: REVIEW OF QUARTERLY FINANCIAL INFORMATION		19
SECTION 7: FINANCIAL POSITION, LIQUIDITY, AND CAPITAL RESOURCES		22
SECTION 8: FINANCIAL RISK SUMMARY		27
SECTION 9: RELATED PARTY BALANCES AND TRANSACTIONS		28
SECTION 10: CRITICAL JUDGEMENTS AND ACCOUNTING ESTIMATES		29
SECTION 11: NEW ACCOUNTING STANDARDS AND POLICIES		29
SECTION 12: CONTROLS AND PROCEDURES		29

Activity	Estimated Expenditures
	With current financial resources	Assuming sufficient additional capital is raised
Drilling	$1,500	$2,500
Geophysical data acquisition	-	150
Ground-based field work	400	1,100
Engineering studies	-	350
Environmental studies	-	100
Camp and on-site personnel costs	500	750
Desktop processing, studies and integration of data	100	-
Total	$2,500	$4,950

Three months ended:	Interest income	Loss from continuing operations	Loss from discontinued operations	Comprehensive loss	Loss per share ($/share)
June 30, 2021	$9	$4,060	$-	$4,060	$0.03
March 31, 2021	20	4,925	-	4,925	0.04
December 31, 2020	26	5,306	-	5,468	0.05
September 30, 2020	14	1,854	1,644	3,517	0.05
June 30, 2020	19	1,771	963	2,915	0.04
March 31, 2020	32	1,832	883	2,330	0.04
December 31, 2019	9	1,921	1,123	3,126	0.04
September 30, 2019	14	3,265	653	3,871	0.06

During the three and six months ended June 30, 2021, the Company’s exploration expenditures were:
	Québec	Nunavut	British Columbia	Total
Assaying	$719	$10	$2	$732
Exploration drilling	1,091	30	-	1,121
Camp cost, equipment and field supplies	382	63	5	450
Geological consulting services	83	-	1	84
Permitting, environmental and community costs	27	47	15	89
Expediting and mobilization	44	41	-	85
Salaries and wages	598	35	13	646
Fuel and consumables	136	-	-	136
Aircraft and travel	55	2	-	57
Share-based compensation	114	22	6	142
Total for the three months ended June 30, 2021	$3,250	$250	$42	$3,542

	Within 1 year	2 to 3 years	Over 3 years	At June 30 2021	At December 31 2020
Accounts payable and accrued liabilities	$2,021	$-	$-	$2,021	$3,280
Québec flow-through expenditure requirements	-	11,876	-	11,876	18,079
Undiscounted lease payments	181	372	159	712	762
Total	$2,202	$12,248	$159	$14,609	$22,121

	Estimated Expenditures
Eau Claire project	$2,500
Committee Bay project	3,350
Homestake Ridge project	50
Total funded expenditures	$5,900

	Three months ended June 30		Six months ended June 30
Cash flows from continuing operations:	2021	2020	2021	2020
Cash (used in) operating activities	$(4,850)	$(987)	$(8,710)	$(2,708)
Cash (used in) provided by investing activities	(4)	15	(1,262)	47
Cash provided by (used in) financing activities	91	(33)	63	14,972

	Number of common shares	Impact on share capital
Flow-through shares, issued at $3.50 per share	5,000,000	$17,500
Less: flow-through share premium liability	-	(7,500)
Common shares, issued at $2.00 per share	2,750,000	5,500
Cash share issue costs	-	(1,518)
Proceeds, net of share issue costs	7,750,000	$13,982

	Number of common shares	Impact on share capital
Common shares, issued at $2.37 per share	6,333,984	$15,000
Cash share issue costs	-	(239)
Proceeds, net of share issue costs	6,333,984	$14,761

	Shares options outstanding			Share options exercisable
Exercise price ($/option)(1)	Number of shares	Weighted average exercise price ($/option)	Weighted average remaining life (years)	Number of shares	Weighted average exercise price ($/option)	Weighted average remaining life (years)
$0.56 – $1.95	1,693,780	1.53	3.21	1,513,614	1.51	3.05
$2.05 – $5.31	4,759,658	2.29	3.85	2,794,659	2.46	3.53
$7.54 – $9.86	131,268	7.88	0.92	131,268	7.88	0.92
	6,584,706	2.20	3.63	4,439,541	2.29	3.29