Xtra-Gold Resources Corp 6-K, filed May 6, 2026
Xtra-Gold Resources Corp (XTGRF)
About this 6-K
Xtra-Gold Resources Corp filed this 6-K on May 6, 2026.
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
____________________
FORM 6-K
REPORT OF FOREIGN PRIVATE ISSUER
PURSUANT TO SECTION 13A-16 OR 15D-16 UNDER THE SECURITIES EXCHANGE ACT OF 1934
| For the month of: | May 2026 |
| Commission File Number | 333-183376 |
(Translation of registrant's name into English)
Miramar Villas #21, Garden Drive, Paradise Island, Nassau, Bahamas
(Address of principal executive offices)
Indicate by check mark whether the registrant files or will file annual reports under cover Form 20-F or Form 40-F.
| Form 20-F | ☒ | Form 40-F | ☐ |
Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(1) ☐
Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(7) ☐
EXPLANATORY NOTE
On May 13, 2025, Xtra-Gold Resources Corp. (the "Company") filed on the Canadian Securities Administrators' System for Electronic Document Analysis and Retrieval (SEDAR) website at www.sedar.com the following documents:
● Unaudited consolidated interim statements for the three months ended March 31, 2026.
● Management's discussion and analysis of financial conditions and results of operations for the three months ended March 31, 2026.
● Form 52-109F2 - Certification of interim filings - Full Certification on for the three months ended March 31, 2026 by the Company's Chief Executive Officer ("CEO"); and
● Form 52-109F2 - Certification of interim filings - Full Certification on for the three months ended March 31, 2026 by the Company's Chief Financial Officer ("CFO").
SUBMITTED HEREWITH
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.
| Date: May 06, 2026 | XTRA-GOLD RESOURCES CORP. | |
| (Registrant) | ||
| By: | /s/ James Longshore | |
| James Longshore, Chief Executive Officer |
||
EXHIBIT 99.1
XTRA-GOLD RESOURCES CORP.
INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
(unaudited)
for the Three Months Ended
March 31, 2026
(expressed in U.S. Dollars, except where noted)
NOTICE TO READER
The accompanying unaudited interim consolidated financial statements of Xtra-Gold Resources Corp. (the "Company") have been prepared by and are the responsibility of management. The unaudited condensed interim consolidated financial statements have not been reviewed by the Company's auditors.
INDEX TO FINANCIAL STATEMENTS
XTRA-GOLD RESOURCES CORP.
INTERIM CONSOLIDATED BALANCE SHEETS
(Expressed in U.S. Dollars - Unaudited)
| AS AT |
March 31, 2026 |
December 31, 2025 |
||||
| ASSETS | ||||||
| Current | ||||||
| Cash and cash equivalents | $ | 11,953,002 | $ | 10,502,379 | ||
| Investment in trading securities | 5,056,356 | 4,345,696 | ||||
| Prepaids (Note 3) | 189,244 | 216,652 | ||||
| Inventory | 978,935 | 1,817,594 | ||||
| Total current assets | 18,177,537 | 16,882,321 | ||||
| Restricted cash (Note 2, 7) | 296,322 | 296,322 | ||||
| Equipment, net (Note 4) | 622,676 | 562,426 | ||||
| Mineral properties (Note 5) | 734,422 | 734,422 | ||||
| TOTAL ASSETS | $ | 19,830,957 | $ | 18,475,491 | ||
| LIABILITIES AND EQUITY | ||||||
| Current | ||||||
| Accounts payable and accrued liabilities (Note 6) | $ | 1,050,021 | $ | 872,280 | ||
| Due to related parties (Note 9) | 341,697 | 134,904 | ||||
| Warrant liability (Note 8) | 175,955 | 335,926 | ||||
| Derivative liability (Note 8) | 52,239 | 95,385 | ||||
| Asset retirement obligation (Note 7) | 101,827 | 101,827 | ||||
| Total current liabilities | 1,721,779 | 1,540,322 | ||||
| Total liabilities | 1,721,779 | 1,540,322 | ||||
| Commitment and contingencies (Note 12) | ||||||
| Equity | ||||||
| Capital stock (Note 8) | ||||||
| Authorized - 250,000,000 common shares with a par value of $0.001 | ||||||
| Issued and outstanding | ||||||
| 46,573,417 common shares (December 31, 2024 - 46,682,117 common shares) | 46,573 | 46,682 | ||||
| Additional paid in capital | 32,293,714 | 32,461,400 | ||||
| Shares in treasury | (87,796 | ) | (91,236 | ) | ||
| Accumulated deficit | (14,940,973 | ) | (16,152,481 | ) | ||
| Total Xtra-Gold Resources Corp. stockholders' equity | 17,311,518 | 16,264,365 | ||||
| Non-controlling interest | 797,660 | 670,804 | ||||
| Total equity | 18,109,178 | 16,935,169 | ||||
| TOTAL LIABILITIES AND EQUITY | $ | 19,830,957 | $ | 18,475,491 |
The accompanying notes are an integral part of these interim consolidated financial statements.
1
XTRA-GOLD RESOURCES CORP.
INTERIM CONSOLIDATED STATEMENTS OF OPERATIONS
(Expressed in U.S. Dollars - Unaudited)
| Three Month Period Ended Mar. 31, 2026 |
Three Month Period Ended Mar. 31, 2025 |
||||||
| OPERATING EXPENSES | |||||||
| Depreciation | $ | 32,561 | $ | 26,175 | |||
| Exploration | 143,902 | 143,181 | |||||
| General and administrative | 280,101 | 158,051 | |||||
| EXPENSES BEFORE OTHER INCOME (EXPENSES) | (456,564 | ) | (327,407 | ) | |||
| OTHER INCOME (EXPENSES) | |||||||
| Recovery of gold, net (Note 9) | 1,639,011 | 1,772,715 | |||||
| Foreign exchange loss | (87,456 | ) | 330,187 | ||||
| Net gain (loss) on trading securities | 135,159 | (91,980 | ) | ||||
| Interest earned and dividends | 105,137 | 96,334 | |||||
| Change in valuation of warrant and derivative liabilities (Note 8) | 203,077 | - | |||||
| OTHER INCOME, NET | 1,994,928 | 2,107,256 | |||||
| Income before tax | 1,538,364 | 1,779,849 | |||||
| Income tax expense | (200,000 | ) | (200,000 | ) | |||
| Net income | 1,338,364 | 1,579256 | |||||
| Net income attributable to non-controlling interest | (126,856 | ) | (174,193 | ) | |||
| Net income (loss) attributable to Xtra-Gold Resources Corp. | $ | 1,211,508 | $ | 1,405,656 | |||
| Basic income attributable to common shareholders per common share | $ | 0.03 | $ | 0.03 | |||
| Diluted income attributable to common shareholders per common share | $ | 0.03 | $ | 0.03 | |||
| Basic weighted average number of common shares outstanding | 46,611,206 | 45,965,459 | |||||
| Diluted weighted average number of common shares outstanding | 46,887,645 | 48,888,959 |
The accompanying notes are an integral part of these interim consolidated financial statements.
2
XTRA-GOLD RESOURCES CORP.
INTERIM CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY
(Expressed in U.S. Dollars - Unaudited)
| Common Stock | |||||||||||||||||||||
| Number of Shares |
Amount | Additional Paid in Capital |
Shares in Treasury |
Accumulated Deficit |
Non- Controlling Interest |
Total | |||||||||||||||
| Balance, December 31, 2024 | 45,994,517 | $ | 45,995 | $ | 31,667,831 | $ | (17,239 | ) | $ | (19,835,914 | ) | $ | 372,273 | $ | 12,232,946 | ||||||
| Repurchase of shares | (50,300 | ) | (51 | ) | (67,327 | ) | 17,239 | - | - | (50,140 | ) | ||||||||||
| Shares in treasury | - | - | - | (47,925 | ) | - | - | (47,925 | ) | ||||||||||||
| Net income | - | - | - | - | 1,405,656 | 174,193 | 1,579,849 | ||||||||||||||
| Balance, March 31, 2025 | 45,944,217 | 45,944 | 31,600,504 | (47,925 | ) | (18,430,258 | ) | 546,466 | 13,714,731 | ||||||||||||
| Private placement | 1,018,000 | 1,018 | 1,343,897 | - | - | - | 1,343,897 | ||||||||||||||
| Stock-based compensation | - | - | 139,138 | - | - | - | 139,138 | ||||||||||||||
| Repurchase of shares | (280,100 | ) | (280 | ) | (622,139 | ) | 47,925 | - | - | (574,494 | ) | ||||||||||
| Shares in treasury | - | - | - | (91,236 | ) | - | - | (91,236 | ) | ||||||||||||
| Net income | - | - | - | - | 2,277,777 | 124,338 | 2,402,115 | ||||||||||||||
| Balance, December 31, 2025 | 46,682,117 | 46,682 | 32,461,400 | (91,236 | ) | (16,152,481 | ) | 670,804 | 16,935,169 | ||||||||||||
| Stock-based compensation | - | - | 31,858 | - | - | - | 21,651 | ||||||||||||||
| Repurchase of shares | (108,700 | ) | (109 | ) | (199,544 | ) | 91,236 | - | - | (108,417 | ) | ||||||||||
| Shares in treasury | - | - | - | (87,796 | ) | - | - | (87,796 | ) | ||||||||||||
| Net income | - | - | - | - | 1,211,508 | 126,856 | 1,338,364 | ||||||||||||||
| Balance, March 31, 2026 | 46,682,117 | $ | 46,573 | $ | 32,293,714 | $ | (87,796 | ) | $ | (14,940,973 | ) | $ | 797,600 | $ | 18,109,178 | ||||||
The accompanying notes are an integral part of these interim consolidated financial statements.
3
XTRA-GOLD RESOURCES CORP.
INTERIM CONSOLIDATED STATEMENTS OF CASH FLOWS
(Expressed in U.S. Dollars - Unaudited)
| Three Month Period Ended Mar. 31, 2026 |
Three Month Period Ended Mar. 31, 2025 |
|||||
| CASH FLOWS FROM OPERATING ACTIVITIES | ||||||
| Net income | $ | 1,338,364 | $ | 1,579,849 | ||
| Adjustments to reconcile net income to net cash provided by operating activities: | ||||||
| Depreciation | 32,561 | 26,175 | ||||
| Stock-based compensation | 31,858 | - | ||||
| Derivative expense | (203,077 | ) | - | |||
| Unrealized foreign exchange loss (gain) | (47,005 | ) | (55,991 | ) | ||
| Net gain (loss) on sales of trading securities | (170,129 | ) | 91,980 | |||
| Impairment loss on trading securities | - | - | ||||
| Changes in operating assets and liabilities: | ||||||
| (Increase) decrease in prepaids | 27,408 | 19,581 | ||||
| Decrease (increase) in inventory | 838,659 | 230,439 | ||||
| Change in asset retirement obligation | - | 2,314 | ||||
| Increase in accounts payable and accrued liabilities | 177,741 | 377,720 | ||||
| Increase (decrease) in due to related parties | 206,793 | 95,214 | ||||
| Net cash provided by operating activities | 2,233,173 | 2,367,281 | ||||
| CASH FLOWS FROM INVESTING ACTIVITIES | ||||||
| Purchase of trading securities | (1,469,415 | ) | (935,142 | ) | ||
| Proceeds on sale of trading securities | 975,889 | 742,081 | ||||
| Acquisition of equipment | (92,811 | ) | (42,653 | ) | ||
| Net cash used in investing activities | (586,337 | ) | (235,714 | ) | ||
| CASH FLOWS FROM FINANCING ACTIVITIES | ||||||
| Proceeds from private placement | - | - | ||||
| Repurchase of capital stock | (196,213 | ) | (98,064 | ) | ||
| Net cash used in financing activities | (196,213 | ) | (98,064 | ) | ||
| Change in cash and cash equivalents and restricted cash during the period | 1,450,623 | 2,033,503 | ||||
| Cash and cash equivalents and restricted cash, beginning of the year | 10,798,701 | 8,743,348 | ||||
| Cash and cash equivalents and restricted cash, end of the period | $ | 12,249,324 | $ | 10,506,138 | ||
| Reconciliation of Cash and Cash Equivalents and Restricted Cash | ||||||
| Cash and cash equivalents at beginning of year | $ | 10,502,379 | $ | 8,447,026 | ||
| Restricted cash at beginning of year | 296,322 | 296,322 | ||||
| Cash and cash equivalents and restricted cash at beginning of year | $ | 10,798,701 | $ | 8,743,348 | ||
| Cash and cash equivalents at end of period | $ | 11,953,002 | $ | 10,209,816 | ||
| Restricted cash at end of period | 296,322 | 296,322 | ||||
| Cash and cash equivalents and restricted cash at end of period | $ | 12,249,324 | $ | 10,506,138 |
Supplemental disclosure with respect to cash flows (Note 10)
The accompanying notes are an integral part of these interim consolidated financial statements.
4
| XTRA-GOLD RESOURCES CORP. NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS (Expressed in U.S. Dollars - Unaudited) March 31, 2026 |
1. HISTORY AND ORGANIZATION OF THE COMPANY
Xtra-Gold Resources Corp., previously Silverwing Systems Corporation, was incorporated under the laws of the State of Nevada on September 1, 1998, pursuant to the provisions of the Nevada Revised Statutes. In 2003, the Company became a resource exploration company. The Company has also engaged in recovery of gold through alluvial operations on its claims. On November 30, 2012, the Company redomiciled from the USA to the British Virgin Islands.
In 2004, the Company acquired 100% of the issued and outstanding capital stock of Canadiana Gold Resources Limited ("Canadiana") and 90% of the issued and outstanding capital stock of Goldenrae Mining Company Limited ("Goldenrae"). Both companies are incorporated in Ghana and the remaining 10% of the issued and outstanding capital stock of Goldenrae is held by the Government of Ghana. On December 21, 2005, Canadiana changed its name to Xtra-Gold Exploration Limited ("XG Exploration"). On January 13, 2006, Goldenrae changed its name to Xtra-Gold Mining Limited ("XG Mining").
2. SIGNIFICANT ACCOUNTING POLICIES
Basis of presentation
These unaudited condensed consolidated financial statements have been prepared in conformity with generally accepted accounting principles of the United States of America ("US GAAP") for interim financial information. Accordingly, they do not include all of the information and footnotes required by U.S. generally accepted accounting principles for complete annual financial statements. Therefore, these unaudited condensed consolidated financial statements should be read in conjunction with our audited consolidated financial statements and notes thereto for the year ended December 31, 2025, included in our Annual Report on Form 20-F, with the SEC by March 31, 2026. These statements reflect all adjustments, consisting of normal recurring adjustments, which, in the opinion of management, are necessary for fair presentation of the information contained therein. The financial statements and notes are representations of the Company's management and its board of directors, who are responsible for their integrity and objectivity.
Principles of consolidation
These consolidated financial statements include the accounts of the Company, its wholly owned subsidiaries, XG Exploration and its 90% owned subsidiary, XG Mining. All intercompany accounts and transactions have been eliminated on consolidation.
Use of estimates
The preparation of consolidated financial statements in conformity with US GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Significant areas requiring the use of estimates include the carrying value and recoverability of mineral properties, inputs used in the calculation of stock-based compensation and warrants, inputs used in the calculation of the asset retirement obligation, the valuation of our investment portfolio, and the valuation allowance applied to deferred income taxes. Actual results could differ from those estimates, and would impact future results of operations and cash flows.
Cash and cash equivalents
The Company considers highly liquid investments with original maturities of three months or less to be cash equivalents. At March 31, 2026 and December 31, 2025, cash and cash equivalents consisted of cash held at financial institutions.
The Company has been required by the Ghanaian government to post a bond for environmental reclamation. This cash has been recorded as restricted cash, a non-current asset.
Prepaids
Prepaid amounts are recognized in an earlier period than they are expensed. These amounts are expensed in the period to which they relate.
| XTRA-GOLD RESOURCES CORP. NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS (Expressed in U.S. Dollars - Unaudited) March 31, 2026 |
Inventory
Inventories are initially recognized at cost and subsequently stated at the lower of cost or net realizable value. The Company's inventory consists of raw gold recovered from alluvial operations. Costs are determined using the first-in, first-out ("FIFO") method and includes expenditures incurred in extracting the raw gold, other costs incurred in bringing them to their existing location and condition, and the cost of reclaiming the disturbed land to a natural state.
Net realizable value is the estimated selling price in the ordinary course of business less the estimated costs necessary to make the sale. Inventories are written down to net realizable value when the cost of inventories is not estimated to be recoverable due to declining selling prices, or other issues related to the sale of gold.
Recovery of gold
Recovery of gold and other income is recognized when title and the risks and rewards of ownership to delivered bullion and commodities pass to the buyer and collection is reasonably assured. Recovery of gold, net of expenses, is not related to exploration and is not the core business of the Company, so proceeds from gold recovery are recognized as other income.
Trading securities
The Company's trading securities are reported at fair value, with realized and unrealized gains and losses included in earnings.
Non-Controlling Interest
The consolidated financial statements include the accounts of XG Mining. All intercompany accounts and transactions have been eliminated upon consolidation. The Company records a non-controlling interest which reflects the 10% portion of the earnings (loss) of XG Mining allocable to the holders of the minority interest.
Equipment
Equipment is recorded at cost and is being depreciated over its estimated useful lives, which recognizes operating conditions in Ghana, using the declining balance method at the following annual rates:
| Furniture and equipment | 20% |
| Computer equipment | 30% |
| Vehicles | 30% |
| Mining and exploration equipment | 20% |
Mineral properties and exploration and development costs
The costs of acquiring mineral rights are capitalized at the date of acquisition. After acquisition, various factors can affect the recoverability of the capitalized costs. If, after review, management concludes that the carrying amount of a mineral property is impaired, it will be written down to estimated fair value. Exploration costs incurred on mineral properties are expensed as incurred. Development costs incurred on proven and probable reserves will be capitalized. Upon commencement of production, capitalized costs will be amortized using the unit-of-production method over the estimated life of the ore body based on proven and probable reserves (which exclude non-recoverable reserves and anticipated processing losses). When the Company receives an option payment related to a property, the proceeds of the payment are applied to reduce the carrying value of the exploration asset. The mineral properties do not fall under the guidance of ASC 842.
Impairment of long-lived assets
Long-lived assets are evaluated for impairment whenever events or changes in business circumstances indicate that the carrying amount of the assets may not be fully recoverable or that the useful lives of these assets are no longer appropriate. Each impairment test is based on a comparison of the undiscounted future cash flows to the recorded value of the asset. If impairment is indicated, the asset is written down to its estimated fair value.
| XTRA-GOLD RESOURCES CORP. NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS (Expressed in U.S. Dollars - Unaudited) March 31, 2026 |
No impairment charge was deemed necessary for mineral properties in 2026 or 2025. Assets to be disposed of are reported at the lower of their carrying amount or fair value less costs to sell.
Asset retirement obligations
The Company records the estimated rehabilitation value of an asset retirement obligation as a liability in the period in which it incurs a legal obligation associated with the retirement of tangible long-lived assets that result from the acquisition, construction, development, and/or normal use of the long-lived assets. Subsequent to the initial measurement of the asset retirement obligation, the obligation is adjusted at the end of each period to reflect the changes in the estimated future cash flows underlying the obligation (asset retirement cost).
Stock-based compensation
The Company accounts for stock compensation arrangements under ASC 718 "Compensation - Stock Compensation" using the fair value based method. Under this method, compensation cost is measured at the grant date based on the value of the award and is recognized over the service period, which is usually the vesting period. This guidance establishes standards for the accounting for transactions in which an entity exchanges its equity instruments for goods or services. It also addresses transactions in which an entity incurs liabilities in exchange for goods or services that are based on the fair value of the entity's equity instruments or that may be settled by the issuance of those equity instruments.
An individual is classified as an employee when the individual is an employee for legal or tax purposes (direct employee) or provides services similar to those performed by a direct employee, including directors of the Company.
In situations where equity instruments are issued to non-employees and some or all of the goods or services received by the entity as consideration cannot be specifically identified, they are measured at fair value of the share-based payment. Otherwise, share-based payments are measured at the fair value of the goods and services received.
We use the fair value method for equity instruments granted to non-employees and use the Black-Scholes model for measuring the fair value of options. The stock based fair value compensation is determined as of the date of the grant (measurement date) and is recognized over the vesting periods.
Warrants
The Company accounts for freestanding warrants within stockholder's equity or as liabilities based on the characteristics and provisions of each instrument. The Company evaluates outstanding warrants in accordance with ASC 480, Distinguishing Liabilities from Equity, and ASC 815, Derivatives and Hedging. If none of the criteria in the evaluation in these standards are met, the warrants are classified as a component of stockholders' equity and initially recorded at their grant date fair value without subsequent remeasurement. Warrants that meet the criteria are classified as liabilities and remeasured to their fair value at the end of each reporting period.
Share repurchases
The Company accounts for the repurchase of its common shares as an increase in shares in treasury for the market value of the shares at the time of purchase. When the shares are cancelled, the issued and outstanding shares are reduced by the $0.001 par value and the difference is accounted for as a reduction in additional paid in capital.
Income taxes
The Company accounts for income taxes under the asset and liability method. Deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. Under the asset and liability method the effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that includes the enactment date. A valuation allowance is recognized if it is more likely than not that some portion or all of the deferred tax asset will not be recognized.
| XTRA-GOLD RESOURCES CORP. NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS (Expressed in U.S. Dollars - Unaudited) March 31, 2026 |
Income (Loss) per share
Basic and diluted earnings or loss per share ("EPS") amounts in the consolidated financial statements are computed in accordance with Financial Accounting Standards Board ("FASB") Accounting Standards Codification ("ASC") 260 - 10 "Earnings per Share", which establishes the requirements for presenting EPS. In the accompanying financial statements, basic loss per share is computed by dividing net loss by the weighted average number of shares of common stock outstanding during the year. Diluted earnings per share is computed by dividing net income by the weighted average number of shares of common stock and potentially dilutive outstanding shares of common stock during the period to reflect the potential dilution that could occur from common stock issuable through contingent share arrangements, stock options and warrants unless the result would be antidilutive. There was a small potential dilution in 2025 and 2026.
Earnings per share calculations for the three months ended March 31 are as follows:
| 2026 | 2025 | |||||
| Net income attributable to Xtra-Gold Resources Corp. | $ | 1,211,508 | $ | 1,405,656 | ||
| Basic weighted average number of common shares outstanding | 46,611,206 | 45,965,459 | ||||
| Diluted weighted average number of common shares outstanding | 46,887,645 | 48,888,959 | ||||
| Earnings per share: | ||||||
| Basic income attributable to common shareholders per common share | $ | 0.03 | $ | 0.04 | ||
| Diluted income attributable to common shareholders per common share | $ | 0.03 | $ | 0.03 |
Foreign exchange
The Company's functional currency is the U.S. dollar. Any monetary assets and liabilities that are in a currency other than the U.S. dollar are translated at the rate prevailing at year end. Revenue and expenses in a foreign currency are translated at rates that approximate those in effect at the time of translation. Gains and losses from translation of foreign currency transactions into U.S. dollars are included in current results of operations.
Financial instruments
The Company's financial instruments consist of cash and cash equivalents, trading securities, receivables, accounts payable and accrued liabilities. It is management's opinion that the Company is not exposed to significant interest, currency or credit risks arising from its financial instruments. The carrying amounts of cash and cash equivalents, trading securities, receivables, accounts payable and accrued liabilities approximate their fair value due to the short-term nature of those financial instruments. Cash in Canada is primarily held in financial institutions. Balances on hand may exceed insured maximums. Cash in Ghana is held in banks with a strong international presence. Ghana does not insure bank balances.
Fair value of financial assets and liabilities
Our financial assets and liabilities that are measured at fair value on a recurring basis include cash equivalents, marketable securities, derivative contracts, and marketable debt securities. Our financial assets measured at fair value on a non-recurring basis include non-marketable equity securities, which are adjusted to fair value when observable price changes are identified or when the non-marketable equity securities are impaired (referred to as the measurement alternative). Other financial assets and liabilities are carried at cost with fair value disclosed, if required.
| XTRA-GOLD RESOURCES CORP. NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS (Expressed in U.S. Dollars - Unaudited) March 31, 2026 |
Fair value is an exit price, representing the amount that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants. As such, fair value is a market-based measurement that is determined based on assumptions that market participants would use in pricing an asset or a liability. Assets and liabilities recorded at fair value are measured and classified in accordance with a three-tier fair value hierarchy based on the observability of the inputs available in the market used to measure fair value:
- Level 1 - Observable inputs that reflect quoted prices (unadjusted) for identical assets or liabilities in active markets.
- Level 2 - Inputs that are based upon quoted prices for similar instruments in active markets, quoted prices for identical or similar instruments in markets that are not active, and model-based valuation techniques for which all significant inputs are observable in the market or can be derived from observable market data. Where applicable, these models project future cash flows and discount the future amounts to a present value using market-based observable inputs including interest rate curves, foreign exchange rates, and credit ratings.
- Level 3 - Unobservable inputs that are supported by little or no market data, which require the Company to develop its own assumptions.
The fair value hierarchy requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value.
Cash, Cash Equivalents, and Marketable Securities
We invest all excess cash primarily in time deposits, money market funds, corporate debt securities, equities, limited partnerships, and rights and warrants.
We classify all marketable debt securities that have stated maturities of three months or less from the date of purchase as cash equivalents and those with stated maturities of greater than three months as marketable securities on our Consolidated Balance Sheets.
We determine the appropriate classification of our investments in marketable debt securities at the time of purchase and reevaluate such designation at each balance sheet date. We have classified and accounted for our marketable debt securities as trading securities. After consideration of our risk versus reward objectives, as well as our liquidity requirements, we may sell these debt securities prior to their stated maturities. For all of our marketable debt securities we have elected the fair value option, for which changes in fair value are recorded in other income (expense), net. We determine any realized gains or losses on the sale of marketable debt securities on a specific identification method, and we record such gains and losses as a component of other income (expense), net.
The following tables summarize our investment in debt instruments, at their fair value, by significant investment categories as of March 31, 2026 and December 31, 2025:
| Level 1 - Cash equivalents | March 31, 2026 | December 31, 2025 | ||||
| Money market funds | $ | 9,884,593 | $ | 9,959,289 | ||
| $ | 9,884,593 | $ | 9,959,289 |
| XTRA-GOLD RESOURCES CORP. NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS (Expressed in U.S. Dollars - Unaudited) March 31, 2026 |
Cash, cash equivalents, and investments
| March 31, 2025 | Quoted Prices in Active Markets (Level 1) |
Significant Other Observable Inputs (Level 2) |
Significant Unobservable Inputs (Level 3) |
|||||||||
| Cash and cash equivalents | $ | 11,953,002 | $ | 11,953,002 | $ | - | $ | - | ||||
| Restricted cash | 296,322 | 296,322 | - | - | ||||||||
| Trading securities | 5,056,356 | 5,056,356 | - | - | ||||||||
| Total | $ | 17,305,680 | $ | 17,305,680 | $ | - | $ | - |
The fair values of cash and cash equivalents and marketable securities are determined through market, observable and corroborated sources.
Investment in Debt Securities
We classify our marketable debt securities, which are accounted for as trading securities, within Level 1 or 2 in the fair value hierarchy because we use quoted market prices to the extent available or alternative pricing sources and models utilizing market observable inputs to determine fair value.
Investment in trading securities
The following discusses our marketable equity securities, non-marketable equity securities, gains and losses on marketable and non-marketable equity securities, as well as our equity securities accounted for under the equity method.
Our marketable equity securities are publicly traded stocks or funds measured at fair value and classified within Level 1 and 2 in the fair value hierarchy because we use quoted prices for identical assets in active markets or inputs that are based upon quoted prices for similar instruments in active markets.
Our non-marketable equity securities are investments in privately held companies without readily determinable market values. The carrying value of our non-marketable equity securities is adjusted to fair value for observable transactions for identical or similar investments of the same issuer or impairment (referred to as the measurement alternative). Non-marketable equity securities that have been remeasured during the period based on observable transactions are classified within Level 2 or Level 3 in the fair value hierarchy because we estimate the value based on valuation methods which may include a combination of the observable transaction price at the transaction date and other unobservable inputs including volatility, rights, and obligations of the securities we hold. The fair value of non-marketable equity securities that have been remeasured due to impairment are classified within Level 3.
The Company valued all Level 2 and Level 3 investments at $Nil as of March 31, 2026 and December 31, 2025.
Concentration of credit risk
The financial instrument which potentially subjects the Company to concentration of credit risk is cash. The Company maintains cash in bank accounts that, at times, may exceed federally insured limits. The Company held $10,123,292 as of March 31, 2026 and $9,959,289 as of December 31, 2025, respectively, in low-risk cash and money market funds which are not federally insured. The Company has not experienced any losses in such accounts and believes it is not exposed to any significant risks on its cash in bank accounts.
The Company has contracted to sell all its recovered gold through a licensed exporter in Ghana. The Company sells its raw gold to one smelter. Ownership of the gold is transferred to the smelting company at the mine site. The Company has not experienced any losses from this sole sourced smelter and believes it is not exposed to any significant risks on its gold processing.
| XTRA-GOLD RESOURCES CORP. NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS (Expressed in U.S. Dollars - Unaudited) March 31, 2026 |
Recent Accounting Pronouncements
The Company has considered all recently issued accounting pronouncements and does not believe the adoption of such pronouncements will have a material impact on its financial statements.
3. PREPAIDS
Prepaids consist of the following amounts:
| March 31, 2026 | December 31, 2025 | |||||
| Prepaid insurance | $ | 31,815 | $ | 43,865 | ||
| Prepaid permit fees | - | - | ||||
| Prepaid marketing | 68,109 | 103,534 | ||||
| Legal advances | 83,742 | 68,715 | ||||
| Other | 5,578 | 538 | ||||
| $ | 189,244 | $ | 216,652 |
4. EQUIPMENT
| March 31, 2026 | |||||||||
Cost |
Accumulated Depreciation |
Net Book Value |
|||||||
| Exploration equipment | $ | 2,540,246 | $ | 2,081,830 | $ | 458,416 | |||
| Vehicles | 924,068 | 759,808 | 164,260 | ||||||
| $ | 3,464,314 | $ | 2,841,638 | $ | 622,676 | ||||
The company expensed $32,561 for depreciation in the three months ended March 31, 2026 (March 31, 2025 - $26,175).
| December 31, 2025 | |||||||||
Cost |
Accumulated Depreciation |
Net Book Value |
|||||||
| Exploration equipment | $ | 2,447,435 | $ | 2,062,587 | $ | 384,848 | |||
| Vehicles | 924,068 | 746,490 | 177,578 | ||||||
| $ | 3,371,503 | $ | 2,809,077 | $ | 562,426 | ||||
5. MINERAL PROPERTIES
The Kibi, Kwabeng and Pameng Projects were purchased as a group in 2004, and the purchase price was not allocated between the properties and camp facilities. As historical option payments received for the right to purchase projects from the Company in previous years have expired unexercised there are no third-party claims against the Projects. The Mineral Properties have a value of $734,422 as at March 31, 2026 and December 31, 2025. There was no impairment in the carrying value of the properties in the period ended March 31, 2026 or the year ended December 31, 2025.
Kibi, Kwabeng and Pameng Projects
The Company holds the mineral rights over the lease area for Kibi , Kwabeng, and Pameng Projects, all of which are located in Ghana. The original Kwabeng and Pameng mining leases had an expired date of July 26, 2019, while the Apapam (the "Kibi") lease had an expiry date of December 17, 2015. Under the mineral laws, the Company has the right to apply for extensions of mining leases for up to a maximum of 30 years. The Company has applied for extensions on all three of its leases noted above for a further 15 years. The Kwabeng and Pameng extensions were filed on December 13, 2018, and the Kibi lease extension on June 17, 2015. To date, the Company has not received the extension documents from the government. Under mineral law, the old leases remain fully in force until the government issues the new lease documents. The renewal extension is in accordance with the terms of application and payment of fees to the Minerals Commission.
| XTRA-GOLD RESOURCES CORP. NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS (Expressed in U.S. Dollars - Unaudited) March 31, 2026 |
All gold production will be subject to a 5% production royalty of the net smelter returns ("NSR") payable to the Government of Ghana.
Banso and Muoso Projects
During the year ended December 31, 2010, the Company made an application to Mincom to convert a single prospecting license ("PL") securing its interest in the Banso and Muoso Projects located in Ghana to a mining lease covering the lease area of each of these Projects. This application was approved by Mincom who subsequently made recommendation to the Minister of Lands, Forestry and Mines to grant an individual mining lease for each Project. On January 6, 2011, the Government of Ghana granted two mining leases for these Projects. These mining leases grant the Company mining rights to produce gold in the respective leased areas until January 5, 2025 with respect to the Banso Project and until January 5, 2024 with respect to the Muoso Project. These mining leases supersede the PL previously granted to the Company. Among other things, both mining leases require that the Company:
i) pay the Government of Ghana a fee of $30,000 in consideration of granting of each lease (paid in the March 2011 quarter);
ii) pay annual ground rent of GH¢189,146 (approximately USD$35,688) for the Banso Project and GH¢202,378 (approximately USD$38,185) for the Muoso Project;
iii) commence commercial production of gold within two years from the date of the mining leases (note: all leases were in production well before the 2 year deadline); and
iv) pay a production royalty of 5% of gold sales to the Government of Ghana.
No project acquisition costs were recorded for the acquisition of Banso and Muoso Projects. In June 2023 the Company applied for an extension of the Muoso Project. The Banso Lease expired on Jan. 5th 2025, and extension was submitted on May 31st, 2024.
Mining Lease and Prospecting License Commitments
The Company is committed to expend, from time to time fees payable
(a) to the Minerals Commission for:
(i) a grant or renewal of a mining lease (currently an annual fee maximum of $1,000.00 per cadastral units/or 21.24 hectare); and
(ii) annual operating permits;
(b) to the Environmental Protection Agency ("EPA") (of Ghana) for:
i) processing and certificate fees with respect to EPA permits;
ii) the issuance of permits before the commencement of any work at a particular concession; or
iii) the posting of a bond in connection with any mining operations undertaken by the Company;
(c) for a legal obligation associated with our mineral properties for clean up costs when work programs are completed.
6. ACCOUNTS PAYABLE AND ACCRUED LIABILITIES
Trade payables and accrued liabilities are comprised as follows:
| March 31, 2026 | December 31, 2025 | |||||
| Trade payables | $ | 3,646 | $ | 6,266 | ||
| Accrued royalties and taxes | 1,000,000 | 800,000 | ||||
| Accrued other liabilities | 46,375 | 66,014 | ||||
| $ | 1,050,021 | $ | 872,280 |
| XTRA-GOLD RESOURCES CORP. NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS (Expressed in U.S. Dollars - Unaudited) March 31, 2026 |
7. ASSET RETIREMENT OBLIGATION
| March 31, 2026 | December 31, 2025 | |||||
| Balance, beginning of year | $ | 101,827 | $ | 94,855 | ||
| Change in obligation | - | 9,257 | ||||
| Accretion expense | - | - | ||||
| Balance, end of year | $ | 101,827 | $ | 101,827 |
The Company has a legal obligation associated with its mineral properties for clean up costs when work programs are completed. Most of the cash will be spent to return the grade of disturbed land to its original state and to plant vegetation.
The rehabilitation obligation is estimated at $101,827 and $101,827 at March 31, 2026 and December 31, 2025, respectively. During 2026 and 2025, the obligation was estimated based on actual reclamation cost experience on an average per acre basis and the remaining acres to be reclaimed. It is expected that this obligation will be funded from general Company resources at the time the costs are incurred. The Company has been required by the Ghanaian government to post a bond of $296,322 which has been recorded in restricted cash.
8. CAPITAL STOCK
Authorized stock
The Company's authorized shares are 250,000,000 common shares with a par value of $0.001 per share.
Issuances of shares
The Company did not issue shares during the period ended March 31, 2026.
During 2025, the Company completed a private placement of 1,018,000 units for gross proceeds of $1,748,909 (CAD$2,452,200). Each unit comprised one common share and one-half of a common share purchase warrant. The Company issued 504,000 purchase warrants at $2.00 (CAD $2.80) per share and 5,000 purchase warrants at $2.09 (CAD$2.93) per share. Each full purchase warrant can be converted to a common share at the strike price for two years. The Company paid commissions $101,854 (CAD$142,812) and costs of $51,350 (CAD$72,000) related to the placement, and issued 59,280 Finder's warrants, exercisable at $1.78 (CAD$2.50) for a period of two years. Net proceeds were allocated as $1,595,705.
Repurchase and cancellation of shares
During the period ended March 31, 2026, a total of 72,100 common shares were re-purchased for $108,415 and cancelled. A further total of 36,600 common shares were re-purchased in 2025 for $91,236 and were cancelled in 2026. A total of 33,000 common shares were re-purchased for $47,925 and held in treasury. These 33,000 shares were cancelled in April 2026.
During the year ended December 31, 2025, a total of 317,100 common shares were re-purchased for $533,420 and were cancelled. A further total of 13,300 common shares that were re-purchased in 2024 for $17,739 were cancelled in 2025. A total of 36,600 common shares were re-purchased in 2025 for $91,236 and held in treasury. These 36,600 shares were cancelled in January 2025.
Stock options
At June 30, 2011, the Company adopted a new 10% rolling stock option plan (the "2011 Plan") and cancelled the 2005 equity compensation plan. Pursuant to the 2011 Plan, the Company is entitled to grant options and reserve for issuance up to 10% of the shares issued and outstanding at the time of grant. The terms and conditions of any options granted, including the number and type of options, the exercise period, the exercise price and vesting provisions, are determined by the Compensation Committee which makes recommendations to the board of directors for their approval. The maximum term of options granted cannot exceed 20 years.
| XTRA-GOLD RESOURCES CORP. NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS (Expressed in U.S. Dollars - Unaudited) March 31, 2026 |
The TSX's rules relating to security-based compensation arrangements require that every three years after the institution of a security-based compensation arrangement which does not have a fixed maximum aggregate of securities issuable, all unallocated options must be approved by a majority of the Company's directors and by the Company's shareholders. The Board approved all unallocated options under the Option Plan on May 5, 2023 which was approved by the Company's shareholders at the annual and special meeting held on June 29, 2023.
At March 31, 2026, the following stock options were outstanding:
| Number of Options |
Exercise Price |
Expiry Date | ||
| 150,000 | CDN$2.59 | October 11, 2026 | ||
| 382,000 | CDN$0.15 | December 31, 2032 | ||
| 54,000 | CDN$0.60 | June 1, 2040 | ||
| 250,000 | CDN$0.20 | October 8, 2035 | ||
| 360,000 | CDN$1.23 | October 23, 2040 | ||
| 400,000 | CDN$0.40 | May 5, 2036 | ||
| 690,000 | CDN$0.30 | July 1, 2037 | ||
| 450,000 | CDN$0.81 | December 14, 2042 | ||
| 62,500 | CDN$0.92 | April 27, 2043 | ||
| 275,000 | CDN$1.30 | May 13, 2044 | ||
| 60,000 | CDN$3.35 | January 6, 2046 | ||
Stock option transactions and the number of stock options outstanding are summarized as follows:
| March 31, 2026 | December 31, 2025 | |||||||||||
| Number of Options |
Weighted Average Exercise Price |
Number of Options |
Weighted Average Exercise Price |
|||||||||
| Outstanding, beginning of year | 3,073,500 | CAD $ 0.50 | 2,923,500 | CAD $ 0.41 | ||||||||
| Granted | 60,000 | CAD $ 3.35 | 150,000 | CAD $ 2.59 | ||||||||
| Exercised | - | - | - | - | ||||||||
| Cancelled/Expired | - | - | - | - | ||||||||
| Outstanding, end of year | 3,133,500 | CAD $ 0.53 | 3,073,500 | CAD $ 0.50 | ||||||||
| Exercisable, end of year | 3,133,500 | CAD $ 0.53 | 3,073,500 | CAD $ 0.50 | ||||||||
The aggregate intrinsic value for options vested and for total options as of March 31, 2026 and December 31, 2025 respectively, is approximately $5,158,962 and $6,174,034. The weighted average contractual term of stock options outstanding and exercisable as at March 31, 2025 and December 31, 2025 respectively, is 7.6 years and 7.8 years.
The fair value of stock options granted, vested, and modified during the period ended March 31, 2026 and the year ended December 31, 2025, respectively, was $31,858 and $7,151, which has been included in general and administrative expense.
The following assumptions were used for the Black-Scholes valuation of stock options granted or amended during the period ended March 31, 2026 and the year ended December 31, 2025:
| 2026 | 2025 | |
| Risk-free interest rate | 2.57% | 3.63% |
| Expected life | 2.0 years | 1.1 years |
| Annualized volatility | 35% | 32% |
| Dividend rate | - | - |
| XTRA-GOLD RESOURCES CORP. NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS (Expressed in U.S. Dollars - Unaudited) March 31, 2026 |
On January 6, 2026, the Company granted 60,000 options to insiders and others at $2.43 (CAD$3.35) and recognized an expense of $31,858 as the options vested immediately.
On September 11, 2025, the Company issued 150,000 stock options at a strike price of $1.83 (CAD$2.59) and term of 13 months, and recognized a prepaid of $28,605, which is amortized over the life of the contract (2025 - $7,151). Management has determined that this option grant contains features requiring a derivative liability treatment and must be marked-to-market each period. As a result, in 2025, the Company recognized a change in the fair market value of the option derivative liability of $66,780 related to this option grant.
On April 27, 2023 the Company granted 62,500 options to insiders at $0.68 (CAD$0.92) and recognized an expense of $23,750 as the options vested immediately.
Warrants
The Company did not issue warrants during 2026. On October 21, 2025, the Company issued 568,280 warrants related to a private placement.
| Number of Options |
Exercise Price |
Expiry Date | ||
| 504,000 | CDN$2.80 | October 21, 2027 | ||
| 5,000 | CDN$2.93 | October 21, 2027 | ||
| 59,280 | CDN$2.50 | October 21, 2027 | ||
Under US GAAP when the strike price of the warrants is denominated in a currency other than an entity's functional currency, the warrants would not be considered indexed to the entity's own stock, and would consequently be considered to be a derivative liability. The common share purchase warrants described above are denominated in CAD dollars and the Company's functional currency is the US dollar. As a result, the Company determined that these warrants are not considered indexed to the Company's own stock and characterized the fair value of these warrants as derivative liabilities upon issuance. The derivative will be subsequently marked to market through income.
The warrant value at issuance was determined to be $250,790 based upon a Black-Scholes Options Pricing Model calculation. The fair value of the warrants has been initially estimated at October 21, 2025 using the Black-Scholes Options Pricing Model, using a volatility of 33%, risk free interest rate of 2.4%, expected life of one year, and a dividend yield of Nil. The Company recorded the full value of the derivative as a liability at issuance and recognized the amount as financing expense in the consolidated statement of operations. At December 31, 2025, the fair value of the warrant liability was $335,926 and the fair value adjustment was recognized in the consolidated statement of operations.
On March 31, 2026, the warrant was re-valued at the market share price and a fair value recovery adjustment of $159,931 was recognized in the interim consolidated statement of operations.
9. RELATED PARTY TRANSACTIONS
During the three-month periods ended March 31, 2026 and 2025, the Company entered into the following transactions with related parties:
| March 31, 2026 | March 31, 2025 | |||||
| Consulting fees paid or accrued to officers or their companies | $ | 501,621 | $ | 382,605 | ||
| Directors' fees | 547 | 871 | ||||
| Stock option grants to officers and directors | $ | 31,858 | ||||
| Stock option grant price range | CAD$3.35 |
| XTRA-GOLD RESOURCES CORP. NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS (Expressed in U.S. Dollars - Unaudited) March 31, 2026 |
Of the total consulting fees noted above, $406,793 (March 31, 2025 - $345,214), was incurred by the Company to a private company of which a related party is a 50% shareholder and director. As at March 31, 2026, a balance of $341,697 (December 31, 2025 - $185,816) exists to this related company and $Nil remains payable in all years to the related party for expenses earned for work on behalf of the Company.
During 2026, the Company granted 60,000 options to insiders at a price of $2.43 (CAD$3.35). A total of $31,858 was included in consulting fees related to these options. During 2025, the Company did not grant options to insiders.
10. SUPPLEMENTAL DISCLOSURE WITH RESPECT TO CASH FLOWS
| March 31, 2026 | March 31, 2025 | |||||
| Cash paid during the period for: | ||||||
| Interest | $ | - | $ | - | ||
| Income taxes | $ | 276,432 | $ | 650,540 | ||
| Non-cash transactions: | ||||||
| Non-cash prepayment of expenses | $ | - | $ | - |
During the period ended March 31, 2026 and the year ended December 31, 2025, respectively, the Company paid $Nil, and $1,139,317, related to income tax in the current and prior periods and accrued a further $200,000, and $800,000, in the period ended March 31, 2026 and the year ended December 31, 2025 respectively, for expected income tax payments related to activities in Ghana.
In 2025, the Company made a payment of $600,000 related to 2024 taxes and $539,317 to resolve income taxes for all periods to December 31, 2024. The Company recognized a gain on release of tax accruals through 2024 of $614,262, on the 2025 payment.
Except for stock option grants, and warrants, explained above, there were no other significant non-cash transactions during the period ended March 31, 2026 and the year ended December 31, 2025.
11. DEFERRED INCOME TAXES
This note has not been updated from December 31, 2025. The Company accrued $200,000 for potential income taxes in the period ended March 31, 2026.
12. COMMITMENTS AND CONTINGENCIES
a) Bond deposit
The Company has been required by the Ghanaian government to post an environmental bond of US$296,322 which has been recorded in restricted cash (see Note 9).
b) Litigation
From time to time, the Company may become involved in various lawsuits and legal proceedings, which arise, in the ordinary course of business. However, litigation is subject to inherent uncertainties, and an adverse result in these or other matters may arise from time to time that may harm the Company's business. The Company is not aware of any such material legal proceedings at the current time.
| XTRA-GOLD RESOURCES CORP. NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS (Expressed in U.S. Dollars - Unaudited) March 31, 2026 |
The Company is subject to additional legal proceedings and claims which arise in the ordinary course of its business. Although occasional adverse decisions or settlements may occur, the Company believes that the final disposition of such matters should not have a material adverse effect on its financial position, results of operations or liquidity.
On October 19, 2022, Minerals Commission issued five improper invoices to our Ghanaian subsidiary. These invoices were titled "Outstanding Annual Mineral Right Fees" for all five of our concessions (Kwabeng, Pameng, Apapam, Muoso and Banso), which Minerals Commission indicated were related to the period from 2012 to 2022, for new annual mineral fees. However, all of our mining leases all have a one-time fixed consideration fee, which was paid when our leases were granted. Our legal counsel responded to Minerals Commission (the "Letters") on November 15, 2019, objecting to the five improper invoices. Our Letters outlined the specific violated terms of our leases and various mineral laws. The Minerals Commission has not responded to our Letters. Should Minerals Commission challenge our Letters, our Company could enter dispute resolution arbitration clause under the Mineral Act. We believe the invoices are not legally enforceable under the Mineral Act, and have not included any amount related to these invoices in our accounts.
Ghana Revenue Agency ("GRA") sent our Ghanaian subsidiary an updated tax assessment letter on May 11, 2023. The letter alleges an additional tax liability (the "Assessment"), from 2012 to 2022. Upon a thorough review of the Assessment, we agreed that the only additional liability in the Assessment was $356,281, which the Company paid. The balance of the Assessment was objected to by our Company in letter dated June 13, 2023, (the "Objection Letter"). To date, GRA has not responded to our Objection Letter, and our Company believes it has settled all amounts owing in the Assessment.
(c) Credit risk
Financial instruments that are potentially subject to credit risk consist principally of trade receivables. The Company believes the concentration of credit risk in its trade receivables is substantially mitigated by its ongoing credit evaluation process and relatively short collection terms. The Company does not generally require collateral from customers. The Company evaluates the need for an allowance for doubtful accounts based upon factors surrounding the credit risk of specific customers, historical trends and other information.
(d) Exchange rate risk
The functional currency of the Company is US$, to date the majority of the costs are denominated in Ghana and a significant portion of the assets and liabilities are denominated in both Canada and Ghana. As a result, the Company is exposed to foreign exchange risk as its revenues and results of operations may be affected by fluctuations in the exchange rate between US$ and Ghana currency. If Ghana depreciates against US$, the value of Ghana revenues and assets as expressed in US$ financial statements will decline. The Company does not hold any derivative or other financial instruments that expose to substantial market risk.
(e) Economic and political risks
The Company's operations are conducted in Ghana. Accordingly, the Company's business, financial condition and results of operations may be influenced by the political, economic and legal environment in Ghana, and by the general state of the Ghana economy.
The Company's operations in the Ghana are subject to special considerations and significant risks not typically associated with companies in North America and Western Europe. These include risks associated with, among others, the political, economic and legal environment and foreign currency exchange. The Company's results may be adversely affected by changes in the political and social conditions in Ghana, and by changes in governmental policies with respect to laws and regulations, anti-inflationary measures, currency conversion, remittances abroad, and rates and methods of taxation.
| XTRA-GOLD RESOURCES CORP. NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS (Expressed in U.S. Dollars - Unaudited) March 31, 2026 |
f) Commodity price risk
We are exposed to fluctuations in commodity prices for gold. Commodity prices are affected by many factors, including but not limited to, supply and demand.
g) The minerals properties lease status is as follows:
-Apapam Lease expired on December 17th 2015, and extension was submitted on June 17th 2015;
-Kwabeng and Pameng Leases expired on July 26th 2019, and extensions were submitted on June 13th 2018;
-Muoso Lease expired on January 5th 2024, and extension was submitted on June 12th 2023; and
-Banso Lease expired on Jan. 5th 2025, and extension was submitted on May 31st, 2024.
On all the above extensions the company requested a further 15 year extension to each lease, and the old leases are fully in force until the new leases are granted by the government.
All required documentation to extend the lease for our Kibi Project (formerly known as the Apapam Project) for 15 years from December 17, 2015 has been submitted to the Ghana Minerals Commission. No additional information was requested or submitted in the year ended December 31, 2023. These extensions generally take years for the regulatory review to be completed, and the Company is not yet in receipt of the renewal extension approval. However, until the Company receives the renewal extension approval, the old lease remains in force under the mineral laws. The renewal extension is in accordance with the terms of application and payment of fees to the Minerals Commission.
13. SUBSEQUENT EVENTS
From the period subsequent to March 31, 2026 and to the date of filing of these financial statements, the following occurred:
- 36,800 shares which were purchased in March 2026 and 49,700 shares purchased in April 2026 were cancelled.
- 500 shares were purchased in May under the 2026 buyback program in 2026, which will be cancelled in the normal course of business.
EXHIBIT 99.2
MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS
The following discussion and analysis of the interim unaudited condensed consolidated financial statements and results of operations ("MD&A") of Xtra-Gold Resources Corp. ("Xtra-Gold" or our "company") for the three months ended March 31, 2026 and 2025 should be read in conjunction with the interim unaudited condensed consolidated financial statements and the related notes to the company's interim unaudited condensed consolidated financial statements.
The following discussion contains forward-looking statements that reflect our plans, estimates and beliefs. Our actual results could differ materially from those discussed in the forward-looking statements. Factors that could cause or contribute to such differences include but are not limited to those discussed below and elsewhere in our 20-F annual report, particularly in the item entitled "Risk Factors" beginning on page 8 of our 20-F annual report. Factors that could cause or contribute to such differences include, but are not limited to those discussed below and as contained elsewhere in this MD&A. Our company's condensed consolidated unaudited financial statements are stated in United States Dollars and are prepared in accordance with United States Generally Accepted Accounting Principles ("U.S. GAAP").Additional information relating to our company, including our consolidated audited financial statements and the notes thereto for the years ended December 31, 2025, 2024 and 2023 and our annual report on Form 20-F, can be viewed on SEDAR+ at www.sedarplus.ca and on EDGAR at www.sec.gov.
Highlights for the Period Ended March 31, 2026
During the period ended March 31, 2026:
-
in connection with our gold recovery operations, we produced 629 ounces of raw gold. We sold 928 fine ounces of gold at an average price of US$4,380 per ounce.
-
cash on hand, excluding restricted cash, increased to $12.0 million at March 31, 2026, from $10.5 million at December 31, 2025. Liabilities at March 31, 2026 were increased to $1.7 million (December 31, 2025 - $1.5 million), mostly due to an income tax accrual.
-
a total of 15 diamond core drill holes totaling 2,707 m completed by the Company's in-house drilling crews on the Kibi Gold Project, with drilling efforts primarily dedicated to the continued advancement of Zone 4 resource expansion targets.
Management Changes
On November 10, 2025, the Company announced that James Schweitzer passes away. James became not only a trusted advisor but also a valued mentor and friend. He will be greatly missed by the entire Xtra-Gold team.
On April 27, 2023, Todd Gibson was appointed to the Board of Directors. On January 6, 2026, the Company announced that Todd Gibson was appointed as the new Audit Chair.
Overview
We are engaged in the exploration of gold properties exclusively in Ghana, West Africa in the search for mineral deposits and mineral reserves which could be economically and legally extracted or produced. Our exploration activities include the review of existing geological data, grid establishment and soil geochemical sampling, geological mapping, geophysical surveying, trenching and pitting to test gold-in-soil anomalies and diamond core and/or reverse circulation (RC) drilling to test targets followed by infill drilling, if successful, to define a mineral reserve.
Our mining concession portfolio currently consists of 225.87 square kilometers comprised of 33.65 square kilometers for our Kibi project, 51.67 square kilometers for our Banso project, 55.28 square kilometers for our Muoso project, 44.76 square kilometers for our Kwabeng project, and 40.51 square kilometers for our Pameng project, or 55,873 acres, pursuant to the leased areas set forth in our mining leases.
- 2 -
Technical Disclosure
The hardrock, lode gold exploration technical information relating to our mineral properties contained in this MD&A is based upon information prepared by or the preparation of which was supervised by Yves Clement, P.Geo., our Vice-President, Exploration. Mr. Clement is a Qualified Person as defined by Canadian Securities National Instrument 43-101 concerning standards of disclosure for mineral projects.
Plan of Operations
Our strategic plan is, with respect to our mineral projects, to conduct an exploration program, consisting of the following:
at our Kibi project:
● follow-up trenching of Zones 1 - 4 early-stage gold shoots / showings to guide future mineral resource expansion drilling efforts;
● prospecting, reconnaissance geology, hand augering and/or scout pitting, and trenching of high priority gold-in-soil anomalies and grassroots gold targets across the extent of the Apapam concession; and
● a diamond core drill program of approximately 20,000 metres, at an estimated cost of $1,500,000, to be implemented utilizing the Company's in-house operated drill rigs; consisting of a combination of expansion / definition drilling of resource expansion targets, follow up drilling of early stage gold targets and scout drilling of prospective litho-structural gold settings within the mineral resource footprint area; and scout drilling of new grassroots gold targets across the Apapam concession.
at our Kwabeng project:
● ongoing geological compilation, geophysical modelling, prospecting, soil geochemical sampling, hand augering and/or scout pitting, and trenching to identify and/or further advance grassroots targets; and
● the continuation of placer gold recovery operations at this project (commenced in March 2013);
at our Pameng project:
● ongoing geological compilation, geophysical modelling, prospecting, soil geochemical sampling, hand augering and/or scout pitting, and trenching to identify and/or further advance grassroots targets; and
at our Banso and Muoso projects:
● ongoing geological compilation, geophysical modelling, prospecting, soil geochemical sampling, hand augering and/or scout pitting, and trenching to identify and/or further advance grassroots targets; and
● the continuation of placer gold recovery operations at these projects (commenced in 2015);
As at the date of this annual report, we have estimated $500,000 for the cost for soil sampling, hand augering and/or scout pitting, and trenching at our Kibi, Kwabeng, Pameng, Banso and Muoso projects.
As part of our current business strategy, we plan to continue engaging technical personnel under contract where possible as our management believes that this strategy, at its current level of development, provides the best services available in the circumstances, leads to lower overall costs and provides the best flexibility for our business operations. For example, the purchase of an exploration drill as opposed to using contract drillers has generated significant savings to the company.
We anticipate that our ongoing efforts will continue to be focused on the exploration and development of our projects and completing acquisitions in strategic areas. We will look to acquire further interests in gold mineralized projects that fall within the criteria of providing a geological basis for development of drilling initiatives that can enhance shareholder value by demonstrating the potential to define reserves.
We continued with our recovery of placer gold operations at our Kwabeng, Pameng, Banso and Muoso properties in 2025. We contract out as many services as possible on our placer gold recovery operations to local Ghanaians in order to maximize cost efficiencies.
Our fiscal 2026 budget to carry out our plan of operations is approximately $3,000,000 as follows and as disclosed in our 20-F annual report under Item 4.B - Information on Xtra-Gold - Business Overview:
| Soil sampling / trenching | $ | 500,000 | |
| Drilling | 1,500,000 | ||
| Administration | 750,000 | ||
| Stock-based compensation (non-cash) | 250,000 | ||
| TOTAL | $ | 3,000,000 |
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These expenditures are subject to change if management decides to scale back or accelerate operations.
Our company has historically relied on funds from gold recovery from alluvial operations, equity and debt financings to finance its ongoing operations. Existing working capital, possible debt instruments, further private placements and anticipated cash flow from placer gold recovery operations are expected to be adequate to fund our company's operations over the next year. During the current year and subsequent to 2025, we will not require additional capital to implement our plan of operations. Although alluvial gold sales have contributed significantly to the Company, this funding source is nearly depleted and cannot be relied on as a source of future funding.
Trends
Gold prices closed in 2025 at $4,340 per ounce, above the 2025 average of $3,442 per ounce. Gold prices saw continued strength through 2024 and into 2025, as minimum and maximum prices both increased in 2025 as compared to 2024. Gold. Prices in 2025 saw their lows early in the year and rose continually over the year to reach highs late in the year. We continue to see positive indicators for gold prices in the future. Gold prices have exceeded $5,200 per ounce in 2026, although they have pulled back recently. Gold prices directly affect our alluvial operations.
Traders are betting that US monetary policy will result in lower rates in 2026. Japanese interest rates are set to increase in 2026. Geopolitical tensions in many areas have increased the attractiveness of gold as a safe haven investment. Both central banks, especially BRIC's nations, and ETF's were net purchasers of gold in 2025. Central bank debt, combined with expansionary monetary policy, has stoked investor fears in the long term value of fiat currencies.
Gold does well in times of uncertainty. National, corporate and individual debt levels increase this uncertainty and leave less room to safely manage any potential crisis.
Gold prices per ounce over the period ended March 31, 2026 and previous two years are as follows:
| Mar. 31, 2026 | Dec. 31, 2025 | Dec. 31, 2024 | |||||||
| High | $ | 5,355 | $ | 2,800 | $ | 2,800 | |||
| Low | 4,330 | 1,995 | 1,995 | ||||||
| Average | 4,875 | 2,392 | 2,392 |
The tone for the precious metals market in the near future will depend on the U.S. dollar strength. US monetary, fiscal and trade policies have increased economic risks. The future focus will be on how much economic growth, government deficits and debts affect the ability of the Federal Reserve to decrease future rates or manage its balance sheet. Any further economic wobble or extension of the time to address the underlying issues could create uncertainty about the US economy, which would be good for gold prices.
Overall, a stronger U.S. dollar may lead to reduced interest in the gold exploration sector.
Failure to File and Cease Trade Order and Revocation
On April 4, 2025, the Ontario Securities Corporation ("OSC") issued a Failure to File Cease Trade ("FFCTO") order against the company for a failure to file its annual financial information. The FFCTO was originally issued on the basis that the Company had not filed its 2024 annual filings in accordance with the filing deadlines contained in National Instrument 51-102 Continuous Disclosure Obligations.
Following a review of submissions made by the Company, the OSC has determined that Company is an SEC Foreign Issuer as defined in National Instrument 71-102 - Continuous Disclosure and Other Exemptions Relating to Foreign Issuers ("NI 71-102"). Under NI 71-102, the Company satisfies its continuous disclosure obligations in Canada, including filing deadlines, by complying with U.S. federal securities laws. As a result, the Company had a filing deadline of April 30, 2025, for its 2024 annual filings. On April 11, 2025, the OSC revoked the FFCTO and shares of the company resumed trading on the TSX.
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Delay in Filing the 2024 Year-End Reporting Documents
The Company filed for an extension to submit our year-end documents by latest on May 15, 2025. As a precaution if the above deadline was missed, the Company also applied to the Ontario Securities Commission, as principal regulator for the Company, for the imposition of a management cease trade order ("MCTO") under National Policy 12-203 - Management Cease Trade Orders ("NP 12-203") throughout the duration of a possible default (see Press Release dated April 23, 2025).
The Company filed our 2024 year-end documents on May 15, 2025.
Summary of the last five fiscal years ending December 31
| 2025 | 2024 | 2023 | 2022 | 2021 | |
| $ | $ | $ | $ | $ | |
| Operating revenues | Nil | Nil | Nil | Nil | Nil |
| Consolidated pre-tax income for the year | 4,167,702 | 2,725,147 | 876,539 | 1,564,849 | 2,045,713 |
| Net gain attributable to non-controlling interest | (298,531) | (249,735) | (180,652) | (133,082) | (121,545) |
| Income tax | (185,738) | (800,000) | (861,815) | (800,000) | (1,088,192) |
| Net income (loss) Xtra-Gold Resources Corp. | 3,683,433 | 1,675,412 | (165,928) | 631,767 | 835,976 |
| Basic and diluted income (loss) attributable to common shareholders per common share | 0.08 0.08 |
0.04 0.03 |
0.00 0.00 |
0.01 0.01 |
0.02 0.02 |
| Total current assets | 16,882,321 | 12,745,891 | 10,286,645 | 10,178,896 | 9,127,160 |
| Total assets | 18,475,491 | 14,224,051 | 11,860,586 | 11,881,013 | 10,758,031 |
| Total current liabilities | 1,540,322 | 1,991,105 | 1,519,103 | 1,406,679 | 1,122,483 |
| Total liabilities | 1,540,322 | 1,991,105 | 1,519,103 | 1,406,679 | 1,122,483 |
| Working capital | 15,341,999 | 10,754,786 | 8,767,542 | 8,772,217 | 8,004,677 |
| Capital stock | 46,682 | 45,995 | 46,201 | 46,447 | 46,688 |
| Total equity | 16,935,169 | 12,232,946 | 10,341,483 | 10,474,334 | 9,635,548 |
| Total Xtra-Gold Resources Corp. stockholders' equity | 16,264,365 | 11,860,673 | 10,218,945 | 10,532,448 | 9,826,744 |
| Dividends declared per share | Nil | Nil | Nil | Nil | Nil |
| Basic weighted average number of common shares outstanding | 46,008,472 | 46,065,555 | 46,361,078 | 46,542,900 | 46,779,574 |
| Basic and diluted weighted average number of common shares outstanding | 48,577,127 | 48,989,055 | 46,361,078 | 48,822,024 | 48,925,574 |
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Summary of Quarterly Results
| Three Months Ended | Net Income (Loss) $ |
Basic and Diluted Income (Loss) Per Share $ |
||||
| March 31, 2026 | 1,211,508 | 0.03 | ||||
| December 31, 2025 | $ | (270,146 | ) | $ | (0.01 | ) |
| September 30, 2025 | 2,269,119 | 0.05 | ||||
| June 30, 2025 | 577,335 | 0.01 | ||||
| March 31, 2025 | 1,405,656 | 0.03 | ||||
| December 31, 2024 | (713,202 | ) | (0.02 | ) | ||
| September 30, 2024 | 1,462,598 | $ | 0.03 | |||
| June 30, 2024 | 664,764 | 0.01 |
Results of Operations for the Three Months Ended March 31, 2026 as Compared to the Three Months Ended March 31, 2025
Our company reported a net income after tax for the three months ended March 31, 2026 of $1,211,508 (March 31, 2025 - income of $1,405,656). Our company's basic and diluted income per share for the three months ended March 31, 2026 was $0.03 (March 31, 2025 - income of $0.03). Both periods benefited from gold recovery results and from other income, being dividends and interest.
The weighted average number of shares outstanding was 46,611,206 (March 31, 2025 - 45,965,459). Average shares outstanding were reduced in 2026 and 2025 through share repurchases, although the shares outstanding in 2025 were increased via a placement in October 2025. Average fully diluted shares in Q1 2026 were 46,887,645 (Q1 2025 - 48,888,959), with the difference being in the money stock options and warrants. These items did not materially affect earnings per share.
We incurred expenses of $456,564 in the three-month period ended March 31, 2026 (March 31, 2025 - $327,407). Exploration expense was stable in 2026 as exploration work advanced our knowledge of the project. Depreciation in 2026 was slightly higher than the 2025 depreciation level due to an increased asset base, as most of the additions of trucks and a drill occurred late in 2025, and a dozer in 2026. General and administrative expense in 2026 of $280,101 increased from the 2024 expense of $158,051. Most of the difference in general and administrative expense in 2026 was created by additional marketing fees, and stock-based compensation. The Company granted 60,000 stock options in Q1 2026 and recognized an expense of $31,858 (Q1 2025 - Nil).
Exploration activities for the March 2026 quarter continued to focus on the Company's flagship Kibi Gold Project (Apapam Mining Lease). Fifteen (15) diamond core drill holes totalling 2,707 m were completed by the Company's in-house drilling crews during the current reporting period. With drilling efforts primarily geared towards the continued advancement of Zone 4 gold mineralization targets, including 7 drill holes (975 m) targeting the overall geometry and structural complexities of the prospective diorite body lying at the southwest extremity of the Orange No. 5 resource expansion target, 5 drill holes (806 m) targeting the strike- and down-dip extensions of a recently discovered mineralized shear zone positioned along the northwest flank of the Orange No. 5 target and one expansion drill hole (402 m) collared at the southwest extremity of the Orange No. 5 target.
The present drilling forms part of an ongoing exploration drilling initiative targeting multiple resource-growth opportunities across the broader Zones 1 - 4 Mineral Resource estimate footprint area (the "2024 MRE", see the Company's news release of October 16, 2024). With the multifaceted drilling program targeting promising early-stage gold prospects identified by previous scout drilling, potential extensions to existing resource bodies and prospective litho-structural gold settings generated by updated 3D geological modelling. A total of 144 drill holes totaling 31,808 m has been completed during the ongoing resource expansion drilling program initiated in mid-January 2024.
The Orange No. 5 resource expansion target, situated approximately 2 km southwest of the 2024 MRE footprint, was originally identified during a 2012 scout drilling program designed to test high priority geophysical targets located along the approximately 4 km long by 0.6 km to 0.8 km wide Zone 4 anomalous gold-in-soil trend. Recently completed 3D VTEM / TMI inversion models-based litho-structural modelling indicates that the Orange No. 5 target is positioned in proximity to a folded 2nd - order syncline along the hanging wall of a regional D2 shear ("Zone 2 Bounding Shear"). With the gold mineralization hosted within a folded / strained metasedimentary rock sequence including graywacke, graphitic phyllite and sandstone units.
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We did not conduct any exploration activities on our Kwabeng, Pameng, Banso and Muoso projects during the current reporting period.
We recognized other income, net, of $1,994,928 in Q1 2026 (Q1 2025 - $2,107,256). The 2026 gains can mostly be attributed to the recovery of gold, foreign exchange movements, and other income, being dividends and interest income. Foreign exchange losses in 2026 resulted from continued devaluation of the Ghana cedi against the USD. During the three-month period ended March 31, 2026, we sold 928 fine ounces of gold at an average price of US$4,380 for net proceeds of $1,639,011 (Q1 2025 -1,295 fine ounces of gold at an average price of US$2,665 for net proceeds of $1,772,715). Gold sales relating to our share of gold is not recognized until the risks and rewards of ownership passed to the buyer. These placer gold recovery operations were contracted to local Ghanaian groups. We pay a 5% government royalty on our gold sales. Using local contractors promotes the local economy while avoiding illegal workings on our projects.
During the Q1 2026 period, our company had a foreign exchange loss of $87,456 (Q1 2025 - gain of $330,187) due to changes in the relative strength in the U.S. dollar, mostly against the Canadian dollar assets, but also against the Ghana cedi. The Company holds a substantial amount of its investment portfolio in Canadian dollars and this portfolio value weakened with the US dollar strength. In Ghana, the cedi depreciated 6% against the US dollar in Q1 2026, similar to the 5% decline against the US dollar in Q1 2025.
Our Company recognized a trading and holding gain in Q1 2026 of $135,159 (Q1 2025 - loss of $91,980). Portfolio results in 2026 reflected the stronger markets. Unrealized gains and losses reflect mark-to-market changes in the investment portfolio during a period. A realized gain is recognized when securities are sold from the investment portfolio, being the difference between the selling price and the purchase price of the security sold. At the time of the sale, any mark-to-market gain or loss which is related to the security sold, previously recognized in unrealized gains and losses, is reversed.
Interest earned and dividends on the investment portfolio assets were $105,137 in Q1 2026 (Q1 2025 - $96,334).
Stock options and warrants issued in 2025 were marked-to-market at March 31, 2026 and the valuation decrease of $159,931 was recognized as a non-cash recovery of expense in Q1 2026. No mark-to-market adjustments were required in Q1 2025.
Recent Capital Raising Transactions
Our activities, principally the exploration and acquisition of properties for gold and other metals, may be financed through joint ventures or through the completion of equity transactions such as equity offerings and the exercise of stock options and warrants.
There were no capital raising transactions in 2026.
During 2025, the Company completed a private placement of 1,018,000 units for proceeds of $1,748,909 (CAD$2,452,200). Each unit comprised one common share and one-half of a common share purchase warrant. The Company issued 504,000 purchase warrants at $2.00 (CAD $2.80) per share and 5,000 purchase warrants at $2.09 (CAD$2.93) per share. Each full purchase warrant can be converted to a common share at the strike price for two years. The Company paid commissions $101,854 (CAD$142,812) and costs of $51,350 (CAD$72,000) related to the placement, and issued 59,280 Finder's warrants, exercisable at $1.78 (CAD$2.50) for a period of two years. Net proceeds were $1,595,705.
Liquidity and Capital Resources
We are an exploration company focused on gold and associated commodities and do not have operating revenues; and therefore, we must utilize our current cash reserves, income from placer gold sales, income from investments, funds obtained from the exercise of stock options and warrants and other financing transactions to maintain our capacity to meet the planned exploration programs, or to fund any further development activities. There is no certainty that future financing will be available to us in the amounts or at the times desired on terms acceptable to us, if at all.
Cash on hand was increased by $1,450,623 during 2026.
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Operations provided cash of $2,233,179. Inventory was decreased by $838,659 due to the timing of smelt shipments. Payables were increased, mostly due to the accrual for income taxes payable in Ghana related to 2026 operations. Other operating expenses were mostly cash neutral. Our cash and cash equivalents as at March 31, 2026 were sufficient to pay these liabilities.
Investing activities in 2026 used $586,337of cash. Cash of $1,469,415 was used to purchase investments in 2026 while proceeds from the sale of investments generated $975,889 of cash. Cash of $92,811 was used to purchase a dozer during 2026.
During the period ended March 31, 2026, our Company used $196,212 of cash for financing activities. A total of 72,100 common shares were re-purchased for $108,415 and cancelled. A further total of 36,600 common shares were re-purchased in 2025 for $91,236 and were cancelled in 2026. A total of 33,000 common shares were re-purchased for $47,925 and held in treasury. These 33,000 shares were cancelled in April 2026.
We believe that our company has sufficient working capital to achieve our 2026 operating plan. However, our historical losses and potential limited remaining alluvial deposits could affect our future operation ability. Although alluvial gold sales have contributed significantly to the Company, this funding source is nearly depleted and cannot be relied on as a source of future funding.
At March 31, 2026, we had total cash and cash equivalents and restricted cash of $12,249,324 (December 31, 2025 - $10,798,701). Working capital as of March 31, 2026 was $15,341,999 (December 31, 2025 - $15,341,999). In 2026, working capital was increased via gold sales and investment returns.
We are an exploration company focused on gold and associated commodities and do not have operating revenues; and therefore, we must utilize our current cash reserves, income from placer gold sales, income from investments, funds obtained from the exercise of stock options and warrants and other financing transactions to maintain our capacity to meet the planned exploration programs, or to fund any further development activities. There is no certainty that future financing will be available to us in the amounts or at the times desired on terms acceptable to us, if at all.
Our shares of common stock, warrants and stock options outstanding as at May 6, 2026, March 31, 2026, December 31, 2025, and December 31, 2024:
| May 6, 2026 | March 31, 2026 | December 31, 2025 | December 31, 2024 | |
| Common Shares | 46,486,717 | 46,573,417 | 46,682,117 | 45,994,517 |
| Warrants | 568,280 | 568,280 | 568,280 | - |
| Stock Options | 3,1333,500 | 3,133,500 | 3,073,500 | 2,923,500 |
| Fully diluted | 50,188,497 | 50,275,197 | 50,323,897 | 48,918,017 |
Subsequent to March 31, 2026, 36,800 shares which were purchased in March 2026 and 49,700 shares purchased in April 2026 were cancelled. The company purchased a further 500 shares in May 2026 . These shares are held in treasury and will be cancelled in the normal course of business.
As of the date of this MD&A, the exercise of all outstanding options and warrants would raise approximately $2.3 million, however such exercise is not anticipated until the market value of our shares of common stock increases in value.
We remain debt free and our credit and interest rate risk is limited to interest-bearing assets of cash and bank or government guaranteed investment vehicles. Accounts payable and accrued liabilities are short-term and non-interest bearing.
Our liquidity risk with financial instruments is minimal as excess cash is invested with a Canadian financial institution in government-backed securities or bank-backed guaranteed investment certificates.
Our fiscal 2026 budget to carry out our plan of operations is approximately $3,000,000 as disclosed in our Plan of Operations section above and in our 20-F annual report under Item 4.B - Information on Xtra-Gold - Business Overview". These expenditures are subject to change if management decides to scale back or accelerate operations. We believe that we are adequately capitalized to achieve our operating plan for fiscal 2026. Although alluvial gold sales have contributed significantly to the Company, this funding source is nearly depleted and cannot be relied on as a source of future funding.
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Operational Considerations
The Company is in development as an exploration company. It may need financing for its exploration and acquisition activities. Although the Company has incurred net income of $1,211,508 for the three months ended March 31, 2026, and it has an accumulated a deficit of $14,940,973. Results for the three months ended March 31, 2026 are not necessarily indicative of future results. The uncertainty of gold recovery and the fact the Company does not have a demonstrably viable business to provide future funds, raises potential liquidity concerns related to future operations.
Management of the Company ("Management") is of the opinion that sufficient financing will be obtained from external sources and further share issuances will be made to meet the Company's obligations. Alluvial operation have a limited remaining life, so will not be able to contribute cash for longer than about two years. The Company's discretionary exploration activities do have considerable scope for flexibility in terms of the amount and timing of exploration expenditure, and expenditures may be adjusted accordingly if required. These factors raise doubt about the Company's ability to continue as a going concern.
Related Party Transactions
During the three-month periods ended March 31, 2026 and 2025, the Company entered into the following transactions with related parties:
| March 31, 2026 | March 31, 2025 | |||||
| Consulting fees paid or accrued to officers or their companies | $ | 501,621 | $ | 382,605 | ||
| Directors' fees | 547 | 871 | ||||
| Stock option grants to officers and directors | $ | 31,858 | ||||
| Stock option grant price range | CAD$3.35 |
Of the total consulting fees noted above, $406,793 (March 31, 2025 - $345,214), was incurred by the Company to a private company of which a related party is a 50% shareholder and director. As at March 31, 2026, a balance of $341,697 (December 31, 2025 - $185,816) exists to this related company and $Nil remains payable in all years to the related party for expenses earned for work on behalf of the Company.
During 2026, the Company granted 60,000 options to insiders at a price of $2.43 (CAD$3.35). A total of $31,858 was included in consulting fees related to these options. During 2025, the Company did not grant options to insiders.
Material Commitments
Mineral Property Commitments
Our company is committed to expend, from time to time fees payable:
● to the Minerals Commission of Ghana for:
(a) to the Minerals Commission for:
(i) a new grant or renewal of an expiry date of a prospecting license (currently an annual fee maximum of $70.00 per cadastral unit/or 21.24 hectare);
(ii) a new grant or renewal of a mining lease (currently an annual fee maximum of $1,000.00 per cadastral units/or 21.24 hectare); and
(iii) annual operating permits;
(b) to the Environmental Protection Agency ("EPA") (of Ghana) for:
i) processing and certificate fees with respect to EPA permits;
ii) the issuance of permits before the commencement of any work at a particular concession; or
iii) the posting of a bond in connection with any mining operations undertaken by the Company;
(c) for a legal obligation associated with our mineral properties for clean up costs when work programs are completed.
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Purchase of Significant Equipment
We consider the availability of equipment to conduct our exploration activities. In 2025 we purchased two pickups and a drill. While we do not expect we will be buying any additional equipment in the foreseeable future, we will continue to assess the situation and weigh our program needs against equipment availability.
Off Balance Sheet Arrangements
Our company has no off balance sheet arrangements.
Fair value of financial assets and liabilities
We invest all excess cash primarily in time deposits, money market funds, corporate debt securities, equities, limited partnerships, and rights and warrants.
We classify all marketable debt securities that have stated maturities of three months or less from the date of purchase as cash equivalents and those with stated maturities of greater than three months as marketable securities on our Consolidated Balance Sheets.
We determine the appropriate classification of our investments in marketable debt securities at the time of purchase and re-evaluate such designation at each balance sheet date. We have classified and accounted for our marketable debt securities as trading securities. After consideration of our risk versus reward objectives, as well as our liquidity requirements, we may sell these debt securities prior to their stated maturities. For all of our marketable debt securities we have elected the fair value option, for which changes in fair value are recorded in other income (expense), net. We determine any realized gains or losses on the sale of marketable debt securities on a specific identification method, and we record such gains and losses as a component of other income (expense), net.
The following tables summarize our debt securities, at their fair value, by significant investment categories as of March 31, 2026 and December 31, 2025:
| Level 1 - Cash equivalents | March 31, 2026 | December 31, 2025 | ||||
| Money market funds | $ | 9,884,593 | $ | 9,959,289 | ||
| $ | 9,884,593 | $ | 9,959,289 |
| March 31, 2026 | Quoted Prices in Active Markets (Level 1) |
Significant Other Observable Inputs (Level 2) |
Significant Unobservable Inputs (Level 3) |
|||||||||
| Cash and cash equivalents | $ | 11,953,002 | $ | 11,953,002 | $ | - | $ | - | ||||
| Restricted cash | 296,322 | 296,322 | - | - | ||||||||
| Trading securities | 5,506,356 | 5,506,356 | - | - | ||||||||
| Total | $ | 17,305,680 | $ | 17,305,680 | $ | - | $ | - |
| December 31, 2025 |
Quoted Prices in Active Markets (Level 1) |
Significant Other Observable Inputs (Level 2) |
Significant Unobservable Inputs (Level 3) |
|||||||||
| Cash and cash equivalents | $ | 10,502,379 | $ | 10,502,379 | $ | - | $ | - | ||||
| Restricted cash | 296,322 | 296,322 | - | - | ||||||||
| Trading securities | 4,345,696 | 4,345,696 | - | - | ||||||||
| Total | $ | 15,144,397 | $ | 15,144,397 | $ | - | $ | - |
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Critical Accounting Estimates and Changes in Accounting Policies
The preparation of interim consolidated financial statements in conformity with US GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Significant areas requiring the use of estimates include the carrying value and recoverability of mineral properties, inputs used in the calculation of stock-based compensation and warrants, inputs used in the calculation of the asset retirement obligation, the valuation of our investment portfolio, and the valuation allowance applied to deferred income taxes. Actual results could differ from those estimates, and would impact future results of operations and cash flows.
Caution Regarding Forward-Looking Statements
This MD&A contains certain forward-looking information and forward-looking statements, as defined in applicable securities laws (collectively referred to herein as "forward-looking statements"). These statements relate to future events or our company's future performance. All statements other than statements of historical fact are forward-looking statements. Often, but not always, forward-looking statements can be identified by the use of words such as "plans", "expects", "is expected", "budget", "scheduled", "estimates", "continues", "forecasts", "projects", "predicts", "intends", "anticipates" or "believes", or variations of, or the negatives of, such words and phrases or state that certain actions, events or results "may", "could", "would", "should", "might" or "will" be taken, occur or be achieved. Forward-looking statements involve known and unknown risks, uncertainties and other factors, which may cause actual results to differ materially from those anticipated in such forward-looking statements. The forward-looking statements in this MD&A speak only as of the date of this MD&A or as of the date specified in such statement.
The following table outlines certain significant forward-looking statements contained in this MD&A and provides the material assumptions used to develop such statements and material risk factors that could cause actual results to differ materially from the forward-looking statements.
| Forward-Looking Statements | Assumptions | Risk Factors |
| Potential of Xtra-Gold's properties to contain economic gold deposits and other mineral deposits and/or to become near-term and/or low-cost producers | Availability of financing for our projects. Actual results of our exploration, resource goals, metallurgical testing, economic studies and development activities will be favourable. Operating, exploration and development costs will be consistent with our expectations. Ability to retain and attract skilled staff. All requisite regulatory and governmental approvals will be received on a timely basis on terms acceptable to Xtra-Gold, including development of any deposit in compliance with Ghanaian mining law. Social engagement and local acceptance of our projects. Economic, political and industry market conditions will be favourable. |
Changes in the capital markets impacting availability of future financings. Uncertainties involved in interpreting geological data and confirming title to acquired properties. Possibility of future exploration results, metallurgical test work, economic studies and development activities will not be consistent with our expectations. Variations from the technical reports. Increases in costs, environmental compliance and changes in environmental, local legislation and regulation, community support and the political and economic climate. Price volatility of gold and other associated commodities impacting the economics of our projects. |
| Potential to expand the NI 43-101 resources on Xtra-Gold's existing projects and achieve its growth targets | Availability of financing. Actual results of our exploration, resource goals, metallurgical testing, economic studies and development activities will be favourable. NI 43-101 technical reports are correct and comprehensive. Operating, exploration and development costs will be consistent with our expectations. Ability to retain and attract skilled staff. All requisite regulatory and governmental approvals will be received on a timely basis on terms acceptable to Xtra-Gold. Social engagement and local acceptance of our projects. Economic, political and industry market conditions will be favourable. Continuance of gold recovery operations. |
Changes in the capital markets impacting availability of future financings. Uncertainties involved in interpreting geological data and confirming title to acquired properties. Possibility of future exploration results, metallurgical test work, economic studies and development activities will not be consistent with our expectations. Variations from the technical reports. Increases in costs, environmental compliance and changes in environmental, local legislation and regulation, community support and the political and economic climate. Price volatility of gold and other associated commodities impacting the economics of our projects. Continued cooperation of government bodies to conduct placer operations. |
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| Forward-Looking Statements | Assumptions | Risk Factors |
| Ability to meet working capital needs for fiscal 2024 | Operating and exploration activities and associated costs will be consistent with our current expectations. Capital markets and financing opportunities are favourable to Xtra-Gold. Sale of any investments, if warranted, on acceptable terms. Xtra-Gold continues as a going concern. |
Changes in the capital markets impacting availability and timing of future financings on acceptable terms. Increases in costs, environmental compliance and changes in environmental, other local legislation and regulation. Adjustments to currently proposed operating and exploration activities. Price volatility of gold and other commodities impacting sentiment for investment in the resource markets. |
| Plans, costs, timing and capital for future exploration and development of Xtra-Gold's properties including the potential impact of complying with existing and proposed laws and regulations | Availability of financing for our exploration and development activities. Actual results of our exploration, resource goals, metallurgical testing, economic studies and development activities will be favourable. Operating, exploration and development costs will be consistent with our expectations. Ability to retain and attract skilled staff. All requisite regulatory and governmental approvals will be received on a timely basis on terms acceptable to Xtra-Gold. Economic, political and industry market conditions will be favourable. |
Changes in the capital markets impacting availability of future financings. Uncertainties involved in interpreting geological data and confirming title to acquired properties. Possibility of future exploration results, metallurgical test work and economic studies will not be consistent with our expectations. Increases in costs, environmental compliance and changes in environmental, local legislation and regulation and political and economic climate. Price volatility of gold and other commodities impacting the economics of our projects. |
- 12 -
| Forward-Looking Statements | Assumptions | Risk Factors |
| Management's outlook regarding future trends | Availability of financing. Actual results of our exploration, resource goals, metallurgical testing, economic studies and development activities will be favourable. Prices for gold and other commodities will be favourable to Xtra-Gold. Government regulation in Ghana will support development of any deposit. |
Price volatility of gold and other commodities impacting the economics of our projects and appetite for investing in junior gold exploration equities. Possibility of future exploration results, metallurgical test work, economic studies and development activities will not be consistent with our expectations. Increases in costs, environmental compliance and changes in economic, political and industry market climate. |
Inherent in forward-looking statements are risks, uncertainties and other factors beyond Xtra-Gold's ability to predict or control. Please also make reference to those risk factors listed in the "Risk Factors" section above. Readers are cautioned that the above chart is not exhaustive of the factors that may affect the forward-looking statements, and that the underlying assumptions may prove to be incorrect. Actual results and developments are likely to differ, and may differ materially, from those expressed or implied by the forward-looking statements contained in this MD&A.
Forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause Xtra-Gold's actual results, performance or achievements to be materially different from any of its future results, performance or achievements expressed or implied by forward-looking statements. All forward-looking statements herein are qualified by this cautionary statement. Accordingly, readers should not place undue reliance on forward-looking statements. Our company undertakes no obligation to update publicly or otherwise revise any forward-looking statements whether as a result of new information or future events or otherwise, except as may be required by law. If our company does update one or more forward-looking statements, no inference should be drawn that it will make additional updates with respect to those or other forward-looking statements, unless required by law.
Dated: May 6, 2026
EXHIBIT 99.3
Form 52-109F2
Certification of Interim Filings
Full Certificate
I, James Longshore, Chief Executive Officer of XTRA-GOLD RESOURCES CORP., certify the following:
1. Review: I have reviewed the interim financial report and interim MD&A (together, the "interim filings") of XTRA-GOLD RESOURCES CORP. (the "issuer") for the interim period ended March 31, 2026
2. No misrepresentations: Based on my knowledge, having exercised reasonable diligence, the interim filings do not contain any untrue statement of a material fact or omit to state a material fact required to be stated or that is necessary to make a statement not misleading in light of the circumstances under which it was made, with respect to the period covered by the interim filings.
3. Fair presentation: Based on my knowledge, having exercised reasonable diligence, the interim financial report together with the other financial information included in the interim filings fairly present in all material respects the financial condition, financial performance and cash flows of the issuer, as of the date of and for the periods presented in the interim filings.
4. Responsibility: The issuer's other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (DC&P) and internal control over financial reporting (ICFR), as those terms are defined in National Instrument 52-109 Certification of Disclosure in Issuers' Annual and Interim Filings, for the issuer.
5. Design: Subject to the limitations, if any, described in paragraphs 5.2 and 5.3, the issuer's other certifying officer(s) and I have, as at the end of the period covered by the interim filings
(a) designed DC&P, or caused it to be designed under our supervision, to provide reasonable assurance that
(i) material information relating to the issuer is made known to us by others, particularly during the period in which the interim filings are being prepared; and
(ii) information required to be disclosed by the issuer in its annual filings, interim filings or other reports filed or submitted by it under securities legislation is recorded, processed, summarized and reported within the time periods specified in securities legislation; and
(b) designed ICFR, or caused it to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with the issuer's GAAP.
5.1 Control framework: The control framework the issuer's other certifying officer(s) and I used to design the issuer's ICFR is the Internal Control-Integrated Framework - published by the Committee of Sponsoring Organizations of the Treadway Commission (COSO).
5.2 ICFR - material weakness relating to design: N/A
5.3 Limitation on scope of design: N/A
6. Reporting changes in ICFR: The issuer has disclosed in its interim MD&A any change in the issuer's ICFR that occurred during the period beginning on January 1, 2026, and ending on March 31, 2026, that has materially affected, or is reasonably likely to materially affect, the issuer's ICFR.
Date: May 06, 2026
__James Longshore____
James Longshore
Chief Executive Officer
EXHIBIT 99.4
Form 52-109F2
Certification of Interim Filings
Full Certificate
I, William Asiedu, Chief Financial Officer of XTRA-GOLD RESOURCES CORP., certify the following:
1. Review: I have reviewed the interim financial report and interim MD&A (together, the "interim filings") of XTRA-GOLD RESOURCES CORP. (the "issuer") for the interim period ended March 31, 2026.
2. No misrepresentations: Based on my knowledge, having exercised reasonable diligence, the interim filings do not contain any untrue statement of a material fact or omit to state a material fact required to be stated or that is necessary to make a statement not misleading in light of the circumstances under which it was made, with respect to the period covered by the interim filings.
3. Fair presentation: Based on my knowledge, having exercised reasonable diligence, the interim financial report together with the other financial information included in the interim filings fairly present in all material respects the financial condition, financial performance and cash flows of the issuer, as of the date of and for the periods presented in the interim filings.
4. Responsibility: The issuer's other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (DC&P) and internal control over financial reporting (ICFR), as those terms are defined in National Instrument 52-109 Certification of Disclosure in Issuers' Annual and Interim Filings, for the issuer.
5. Design: Subject to the limitations, if any, described in paragraphs 5.2 and 5.3, the issuer's other certifying officer(s) and I have, as at the end of the period covered by the interim filings
(a) designed DC&P, or caused it to be designed under our supervision, to provide reasonable assurance that
(i) material information relating to the issuer is made known to us by others, particularly during the period in which the interim filings are being prepared; and
(ii) information required to be disclosed by the issuer in its annual filings, interim filings or other reports filed or submitted by it under securities legislation is recorded, processed, summarized and reported within the time periods specified in securities legislation; and
(b) designed ICFR, or caused it to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with the issuer's GAAP.
5.1 Control framework: The control framework the issuer's other certifying officer(s) and I used to design the issuer's ICFR is the Internal Control-Integrated Framework - published by the Committee of Sponsoring Organizations of the Treadway Commission (COSO).
5.2 ICFR - material weakness relating to design: N/A
5.3 Limitation on scope of design: N/A
6. Reporting changes in ICFR: The issuer has disclosed in its interim MD&A any change in the issuer's ICFR that occurred during the period beginning on January 1, 2026, and ending on March 31, 2026, that has materially affected, or is reasonably likely to materially affect, the issuer's ICFR.
Date: May 06, 2026
_William Asiedu________
William Asiedu
Chief Financial Officer