6-K

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 6-K

REPORT OF FOREIGN PRIVATE ISSUER PURSUANT TO RULE 13a-16 OR 15d-16 UNDER THE

SECURITIES EXCHANGE ACT OF 1934

For the month of August 2022

Commission File No. 001-38145

Fury Gold Mines Limited

(Translation of registrant’s name into English)

1630-1177 West Hastings Street, Vancouver, BC, V6E 2K3 Canada

(Address of principal executive office)

Indicate by check mark whether the registrant files or will file annual reports under cover of 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) ☐

SUBMITTED HEREWITH

Exhibits

Exhibit 99.1	Condensed Interim Consolidated Financial Statements (Unaudited) For The Three And Six Months Ended June 30, 2022
Exhibit 99.2	Management’s Discussion And Analysis For The Three And Six Months Ended June 30, 2022
Exhibit 99.3	CEO certification of interim filings
Exhibit 99.4	CFO certification of interim filings

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SIGNATURE

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.

	Fury Gold Mines Limited
Date: August 11, 2022	By:	/s/ Lynsey Sherry
		Lynsey Sherry
		Chief Financial Officer

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EX-99.1

  EXHIBIT 99.1

(An exploration company)

CONDENSED INTERIM

CONSOLIDATED FINANCIAL STATEMENTS

(Unaudited)

FOR THE THREE AND SIX MONTHS ENDED JUNE 30, 2022

Fury Gold Mines Limited
Condensed Interim Consolidated Statements of Financial Position
(Expressed in thousands of Canadian dollars – Unaudited)
			At June 30			At December 31
	Note		2022			2021
Assets
Current assets:
Cash			$	12,361		$	3,259
Marketable securities		4		439			605
Accounts receivable				358			322
Prepaid expenses and deposits				322			502
				13,480			4,688
Non-current assets:
Restricted cash				159			130
Accounts receivable				-			50
Prepaid expenses and deposits				45			266
Property and equipment				1,087			1,191
Mineral interests		5		143,510			160,693
Investments in associates		6c		58,700			-
				203,501			162,330
Total assets			$	216,981		$	167,018
Liabilities and Equity
Current liabilities:
Accounts payable and accrued liabilities			$	1,894		$	1,888
Lease liability				180			104
Flow-through share premium liability		7		1,710			3,124
				3,784			5,116
Non-current liabilities:
Lease liability				284			357
Provision for site reclamation and closure				3,508			4,190
Total liabilities			$	7,576		$	9,663
Equity:
Share capital		9	$	306,328		$	295,464
Share option and warrant reserve		10		19,767			18,640
Deficit				(116,690	)		(156,749	)
Total equity			$	209,405		$	157,355
Total liabilities and equity			$	216,981		$	167,018

Commitments (notes 6(b), 14(c)); Subsequent event (note 5)

Approved on behalf of the Board of Directors:

“Forrester A. Clark”	“Steve Cook”
Chief Executive Officer	Director

The accompanying notes form an integral part of these condensed interim consolidated financial statements.

Fury Gold Mines Limited

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Fury Gold Mines Limited
Condensed Interim Consolidated Statements of Loss (Earnings) and Comprehensive Loss (Income)
(Expressed in thousands of Canadian dollars, except per share amounts – Unaudited)
			Three months ended June 30						Six months ended June 30
	Note		2022			2021			2022			2021
Operating expenses:
Exploration and evaluation		8	$	2,814		$	3,542		$	4,086		$	7,230
Fees, salaries, and other employee benefits				984			931			1,742			2,192
Legal and professional				378			453			614			1,370
Marketing and investor relations				338			193			556			785
Insurance				193			132			386			265
Office and administration				76			160			212			360
Regulatory and compliance				87			131			156			248
				4,870			5,542			7,752			12,450
Other expense (income), net:
Net gain on disposition of mineral interests		3		-			-			(48,390	)		-
Unrealized net loss (gain) on marketable securities		4		271			(190	)		226			742
Net loss from associates		6		1,441			-			1,890			-
Amortization of flow-through share premium		7		(1,011	)		(1,332	)		(1,414	)		(2,555	)
Accretion of provision for site reclamation and closure				23			19			40			32
Interest expense				48			25			69			51
Interest income				(45	)		(9	)		(49	)		(29	)
Foreign exchange loss				2			5			4			11
				729			(1,482	)		(47,624	)		(1,748	)
Loss (earnings) before taxes				5,599			4,060			(39,872	)		10,702
Income tax refunded				(22	)		-			(187	)		(1,717	)
Net loss (earnings)				5,577			4,060			(40,059	)		8,985
Total comprehensive loss (income)			$	5,577		$	4,060		$	(40,059	)	$	8,985
Loss (earnings) per share:
Basic loss (earnings) per share		13	$	0.04		$	0.03		$	(0.31	)	$	0.08
Diluted loss (earnings) per share		13	$	0.04		$	0.03		$	(0.29	)	$	0.08

The accompanying notes form an integral part of these condensed interim consolidated financial statements.

Fury Gold Mines Limited

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Fury Gold Mines Limited
Condensed Interim Consolidated Statements of Equity
(Expressed in thousands of Canadian dollars, except share amounts – Unaudited)
	Number of common shares		Share capital		Share option and warrant reserve			Deficit			Total
Balance at December 31, 2020		117,823,857	$	294,710	$	11,521		$	(139,959	)	$	166,272
Total comprehensive loss		-		-		-			(8,985	)		(8,985	)
Share options exercised		5,834		6		(1	)		-			5
Warrants exercised		101,042		159		(12	)		-			147
Share-based compensation		-		-		1,533			-			1,533
Balance at June 30, 2021		117,930,733	$	294,875	$	13,041		$	(148,944	)	$	158,972
Balance at December 31, 2021		125,720,950	$	295,464	$	18,640		$	(156,749	)	$	157,355
Total comprehensive income		-		-		-			40,059			40,059
Shares issued pursuant to offering, net of share issue costs (note 9)		13,750,000		10,864		-			-			10,864
Share-based compensation (note 10(a))		-		-		1,127			-			1,127
Balance at June 30, 2022		139,470,950	$	306,328	$	19,767		$	(116,690	)	$	209,405

The accompanying notes form an integral part of these condensed interim consolidated financial statements.

Fury Gold Mines Limited

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Fury Gold Mines Limited
Condensed Interim Consolidated Statements of Cash Flows
(Expressed in thousands of Canadian dollars – Unaudited)
			Three months ended June 30						Six months ended June 30
	Note		2022			2021			2022			2021
Operating activities:
Net (loss) earnings			$	(5,577	)	$	(4,060	)	$	40,059		$	(8,985	)
Adjusted for:
Interest income				(45	)		(9	)		(49	)		(29	)
Items not involving cash:
Net gain on disposition of mineral interests		3		-			-			(48,390	)		-
Unrealized net loss (gain) on marketable securities		4		271			(190	)		226			742
Depreciation				100			97			186			187
Net loss from associates		6		1,441			-			1,890			-
Amortization of flow-through share premium		7		(1,011	)		(1,332	)		(1,414	)		(2,555	)
Accretion of provision for site reclamation and closure				23			19			40			32
Share-based compensation		10		628			620			1,127			1,533
Interest expense on lease liability				21			25			42			51
Other				6			(19	)		6			(19	)
Changes in non-cash working capital		12		750			(1	)		186			333
Cash used in operating activities				(3,393	)		(4,850	)		(6,091	)		(8,710	)
Investing activities:
Interest received				45			9			49			29
Acquisition of Eastmain, net of cash acquired				-			-			-			(1,209	)
Proceeds from disposition of mineral interests, net of transaction costs		3		-			-			4,479			-
Marketable securities additions		4		(60	)		-			(60	)		-
Acquisition of Universal Mineral Services		6b		(1	)		-			(1	)		-
Property and equipment additions				-			(13	)		-			(82	)
Change in restricted cash				(29	)		-			(29	)		-
Cash (used in) provided by investing activities				(45	)		(4	)		4,438			(1,262	)
Financing activities:
Lease payments				(63	)		(45	)		(109	)		(89	)
Proceeds from issuance of common shares, net of issuance costs		9		10,864			-			10,864			-
Proceeds from share option and warrant exercises				-			136			-			152
Cash provided by financing activities				10,801			91			10,755			63
Increase (decrease) in cash				7,363			(4,763	)		9,102			(9,909	)
Cash, beginning of the period				4,998			10,215			3,259			15,361
Cash, end of the period			$	12,361		$	5,452		$	12,361		$	5,452

Supplemental cash flow information (note 12)

The accompanying notes form an integral part of these condensed interim consolidated financial statements.

Fury Gold Mines Limited

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Note 1: Nature of operations

Fury Gold Mines Limited (the “Company” or “Fury Gold”) was incorporated on June 9, 2008, under the Business Corporations Act (British Columbia) and is listed on the Toronto Stock Exchange and the NYSE-American, with its common shares trading under the symbol FURY. The Company’s registered and records office is at 1500-1055 West Georgia Street Vancouver, BC, V6E 4N7 and the mailing address is 1630-1177 West Hastings Street, Vancouver, BC, V6E 2K3.

The Company’s principal business activity is the acquisition and exploration of resource projects in Canada. At June 30, 2022, the Company had two principal projects: Eau Claire in Quebec, and Committee Bay in Nunavut.

Sale of Homestake Resources Corporation

On December 6, 2021, the Company entered into a definitive agreement (the “Purchase Agreement”) with Dolly Varden Silver Corporation (“Dolly Varden”) pursuant to which the Company agreed to sell to Dolly Varden a 100% interest in Fury Gold’s wholly owned subsidiary, Homestake Resources Corporation (“Homestake Resources”) in exchange for $5,000 in cash and 76,504,590 common shares in Dolly Varden. Homestake Resources is the owner of a 100% interest in the Homestake Ridge gold-silver project which is located adjacent to the Dolly Varden Project owned by Dolly Varden in the Golden Triangle, British Columbia (“the Dolly Varden Transaction”). The Dolly Varden Transaction completed on February 25, 2022 (note 3). As a result, Fury acquired 76,504,590 common shares of Dolly Varden on February 25, 2022, representing approximately 35.3% of the Dolly Varden Shares outstanding as of the transaction date.

In connection with the Dolly Varden Transaction and as contemplated in the Purchase Agreement, Dolly Varden and Fury Gold have also entered into an investor rights agreement dated February 25, 2022 (the “Investor Rights Agreement”). Pursuant to its obligations under the Investor Rights Agreement, Dolly Varden has appointed Forrester “Tim” Clark, the Chief Executive Officer (“CEO”) of Fury Gold, and Michael Henrichsen, the Chief Geological Officer (“CGO”) of Fury Gold, to the board of directors of Dolly Varden.

Acquisition of 25% equity interest in Universal Mineral Services Ltd (“UMS”)

On April 1, 2022, the Company purchased a 25% share interest in UMS, a private shared-services provider for nominal consideration (note 6). The remaining 75% of UMS is owned equally by three other junior resource issuers, namely Tier One Silver Corporation, Coppernico Metals Inc, and Torq Resources who share a head office location in Vancouver, BC. Previously, UMS had been privately owned by a director in common, Mr. Ivan Bebek, then subsequently from January 1, 2022, by Mr. Steve Cook, another director in common, until March 31, 2022.

UMS is the private company through which its shareholders, including Fury Gold, share geological, financial, and transactional advisory services as well as administrative services on a full, cost recovery basis. Having these services available through UMS, on an as needed basis, allows the Company to maintain a more efficient and cost-effective corporate overhead structure by hiring fewer full-time employees and engaging outside professional advisory firms less frequently. The agreement has an indefinite term and can be terminated by either party upon providing 180 days notice. Many of the Company’s key personnel are now, or will be, directly employed by UMS and seconded to the Company and other members of the group.

Response to COVID-19

The situation in Canada regarding COVID-19 remains fluid and permitted activities continue to be subject to change. At the Company’s Eau Claire project in Quebec, on-site measures are in place for non-vaccinated employees to mitigate the potential spread of the COVID-19 virus. These measures include a pre-travel COVID-19 screening questionnaire; a pre-travel COVID-19 PCR testing; and on-site Rapid Testing for COVID-19.

Fury Gold Mines Limited

Notes to Q2 2022 Condensed Interim Consolidated Financial Statements

(Expressed in thousands of Canadian dollars, except where noted – Unaudited)

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Note 2: Basis of presentation

Statement of compliance

These unaudited condensed interim consolidated financial statements (the “interim financial statements”) have been prepared in accordance with International Accounting Standard 34 – Interim Financial Reporting (“IAS 34”) as issued by the International Accounting Standards Board (“IASB”). Certain disclosures included in the Company’s annual consolidated financial statements (the “consolidated financial statements”) prepared in accordance with International Financial Reporting Standards (“IFRS”) as issued by the IASB and interpretations issued by the IFRS Interpretations Committee (“IFRICs”) have been condensed or omitted herein. Accordingly, these interim financial statements should be read in conjunction with the Company’s consolidated financial statements for the year ended December 31, 2021.

These interim financial statements were approved and authorized for issuance by the Board of Directors of the Company on August 11, 2022.

Basis of preparation and consolidation

These interim financial statements incorporate the financial statements of the Company and entities controlled by the Company (its subsidiaries). Control exists when the Company has power over an investee, exposure or rights to variable returns from its involvement with the investee, and the ability to use its power over the investee to affect the amount of the Company’s returns. The Company’s interim results are not necessarily indicative of its results for a full year.

The subsidiaries (with a beneficial interest of 100%) of the Company at June 30, 2022 were as follows:

Subsidiary	Place of incorporation	Functional currency
North Country Gold Corp. (“North Country”)	BC, Canada	CAD
Eastmain Resources Inc. (“Eastmain”)	ON, Canada	CAD
Eastmain Mines Inc. (“Eastmain Mines”) (a)	Canada	CAD
Fury Gold USA Limited (“Fury Gold USA”) (b)	Delaware, U.S.A.	USD

^(a) Company incorporated federally in Canada.

^(b) Fury Gold USA was incorporated on November 21, 2021 and provides certain administrative services with respect to employee benefits for US resident personnel.

These interim financial statements also include a 33.2% investment in Dolly Varden and a 25% investment in UMS (note 6) that are accounted for using the equity method.

These interim financial statements have been prepared on a historical cost basis except for certain financial instruments that have been measured at fair value (note 14). All amounts are expressed in thousands of Canadian dollars unless otherwise noted. Reference to US$ are to United States dollars. All intercompany balances and transactions have been eliminated.

Segmented information

The Company’s operating segments are reviewed by the key decision maker to make decisions about resources to be allocated to the segments and to assess their performance. The Company operates in one reportable operating segment, being the acquisition, exploration, and development of mineral resource properties, and in one geographical location, Canada.

Critical accounting estimates, judgements, and policies

The preparation of financial statements in accordance with IFRS requires management to select accounting policies and make estimates and judgments that may have a significant impact on consolidated financial statements. Estimates are continuously evaluated and are based on management’s experience and expectations of future events that are believed to be reasonable under the circumstances. Actual outcomes may differ from these estimates.

Fury Gold Mines Limited

Notes to Q2 2022 Condensed Interim Consolidated Financial Statements

(Expressed in thousands of Canadian dollars, except where noted – Unaudited)

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In preparing the Company’s interim financial statements for the three and six months ended June 30, 2022, the Company applied the significant accounting policies and critical accounting estimates and judgements disclosed in notes 3 and 5, respectively, of its consolidated financial statements for the year ended December 31, 2021, except as noted below:

Investments in associates

The Company conducts a portion of its business through equity interests in associates. An associate is an entity over which the Company has significant influence and is neither a subsidiary nor a joint venture. The Company has significant influence when it has the power to participate in the financial and operating policy decisions of the associate but does not have control or joint control over those policy decisions.

The Company accounts for its investments in associates using the equity method. Under the equity method, the Company’s investment in an associate is initially recognized at cost and subsequently increased or decreased to recognize the Company’s share of earnings and losses of the associate, after any adjustments necessary to give effect to uniform accounting policies, and for impairment losses after the initial recognition date. The Company’s share of an associate’s losses that are in excess of its investment in the associate are recognized only to the extent that the Company has incurred legal or constructive obligations or made payments on behalf of the associate. The Company’s share of earnings and losses of its associate are recognized in net (earnings)/loss during the period.

New and amended standards not yet effective

Certain pronouncements have been issued by the IASB that are mandatory for accounting periods beginning after December 31, 2022. The Company has not early adopted any of these pronouncements, and they are not expected to have a significant impact in the foreseeable future on the Company’s consolidated financial statements once adopted.

Note 3: Sale of Homestake Resources

On February 25, 2022, the Company completed the sale of Homestake Resources to Dolly Varden for cash proceeds of $5,000 and 76,504,590 common shares of Dolly Varden (note 6). The Company’s resulting interest in Dolly Varden represented approximately 35.3% of the issued and outstanding common shares of Dolly Varden on February 25, 2022, which has been accounted for using the equity method. The Company recognized a gain of $48,390, net of transaction costs of $589, on the date of disposition, calculated as follows:

Net assets derecognized:	Total
Mineral interests	$	16,460
Reclamation bond		68
	$	16,528
Net proceeds:
Cash	$	5,000
Working capital adjustment		68
76,504,590 common shares of Dolly Varden		60,439
Transaction costs		(589	)
	$	64,918
Net gain on disposition	$	48,390

The fair value of the common shares of Dolly Varden received on date of disposition is based on the market price of the shares at the date of disposition of $0.79.

The Company has sufficient non-capital losses as at June 30, 2022 to offset the capital gain arising on disposition of Homestake Resources. As such, there is nil tax payable on the sale of Homestake Resources.

Fury Gold Mines Limited

Notes to Q2 2022 Condensed Interim Consolidated Financial Statements

(Expressed in thousands of Canadian dollars, except where noted – Unaudited)

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Note 4: Marketable securities

The marketable securities held by the Company were as follows:

	Total
Balance at December 31, 2020	$	2,675
Additions		110
Sale of marketable securities		(1,000	)
Realized loss on disposition		(311	)
Unrealized net loss		(869	)
Balance at December 31, 2021	$	605
Additions		60
Unrealized net loss		(226	)
Balance at June 30, 2022	$	439

During the year ended December 31, 2021, the Company sold 1,581,177 common shares of Benz Mining Corp (“Benz Mining”) for total proceeds of $1,000. Upon disposition, the Company realized a loss of $311, representing the decline in market value from the deemed date of acquisition of the shares on October 9, 2020, as part of the acquisition of Eastmain to date of disposition.

During the three months ended June 30, 2022, the Company exercised 500,000 common share warrants at an exercise price of $0.12 in exchange for 500,000 common shares of Benz Mining.

Purchases and sales of marketable securities are accounted for as of the trade date.

Note 5: Mineral interests

The Company’s principal resource properties are located in Canada.

Quebec

The Company maintains interests in 12 properties within the James Bay region of Quebec. The principal projects are:

Eau Claire

The Company owns a 100% interest in the Eau Claire project located immediately north of the Eastmain reservoir, approximately 10 kilometres (“km”) northeast of Hydro Quebec’s EM-1 hydroelectric power facility, 80 km north of the town of Nemaska, 320 km northeast of the town of Matagami, and 800 km north of Montreal, Quebec. The property consists of map-designated claims totaling approximately 23,000 hectares.

Eastmain Mine

The Eastmain Mine project hosts the Eastmain Mine gold deposit. The past-producing Eastmain Mine project comprises 152 mineral claims and an industrial lease. Located on the eastern most part of the Upper Eastmain River Greenstone Belt of the James Bay District of northern Quebec, the property covers approximately 80 km² of highly prospective terrain.

In 2019, Benz Mining entered into an option agreement with Eastmain to allow Benz Mining the option to earn a 75% interest in the Eastmain Mine property in return for making option payments of $2,320 between October 2019 and October 2023, and incurring exploration expenditures of $3,500 on the property. The option payments may be settled in both cash and shares. Upon completion of the first option to earn 75%, Benz Mining may acquire the remaining 25% interest upon payment of $1,000 upon closing of project financing, and $1,500 upon commencement of commercial production. This option agreement was subsequently amended in April 2020 to grant Benz Mining the option to earn up to 100% of the Ruby Hill properties located to the west of the Eastmain Mine project. The Company would retain 1-2% net smelter return (“NSR”) royalties pursuant to the amended agreement are due annually in October.

Fury Gold Mines Limited

Notes to Q2 2022 Condensed Interim Consolidated Financial Statements

(Expressed in thousands of Canadian dollars, except where noted – Unaudited)

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Éléonore South Joint Venture

The Éléonore South Joint Venture project consists of two separate blocks of map-designated claims, comprising a total of 282 claims covering approximately 147 km² of the Opinaca area of James Bay, Quebec. The Éléonore West block consists of 34 mineral claims covering approximately 18 km², while the Éléonore South block contains 248 claims extending over an area of approximately 130 km². The project is a three-way joint venture agreement between Eastmain, Azimut Exploration Inc. (“Azimut”), and Goldcorp Canada Ltd. (“Goldcorp Canada”), a wholly owned subsidiary of Newmont Corporation (“Newmont”). Project ownership is based on participation in the funding of annual exploration programs. At June 30, 2022 the project was held by the joint operation partners approximately as follows: Fury Gold 38.12%, Goldcorp Canada 38.11%, and Azimut 23.77%.

Subsequently to the end of the second quarter, on August 8, 2022, the Company announced that the Company and Newmont, through their respective subsidiaries, had concurrently agreed to purchase Azimut’s 23.77% interest in the project for approximately $1,200. Upon completion of the purchase, which is expected to occur in the third quarter of 2022 and is subject to certain conditions precedent, the Company and Newmont will hold interest of 50.022% and 49.978%, respectively. The Company will remain as operator.

Nunavut

Committee Bay

The Company, through its wholly owned subsidiary North Country, owns a 100% interest in the Committee Bay project located in Nunavut, Canada. The Committee Bay project includes approximately 280,000 hectares situated along the Committee Bay Greenstone Belt located within the Western Churchill province of Nunavut. The Committee Bay project is subject to a 1% NSR royalty on gold production, with certain portions subject to an additional 1.5% NSR royalty. The 1.5% NSR royalty is payable on only 7,596 hectares and can be purchased by the Company within two years of commencement of commercial production for $2,000 for each one-third (0.5%) of the 1.5% NSR royalty.

Gibson MacQuoid

In 2017, the Company acquired a number of prospecting permits and mineral claims along the Gibson MacQuoid Greenstone Belt in Nunavut, Canada. In 2019, the Company staked additional claims, which overlapped the Company’s prospecting claims that expired in February 2020, to maintain a contiguous land package over the Company’s current areas of interest. The Company’s claims, which are located between the Meliadine deposit and Meadowbank mine, cover approximately 120 km of strike length of the prospective greenstone belt and total 51,622 hectares collectively.

	Quebec			Nunavut			British Columbia			Total
Balance at December 31, 2020	$	125,354		$	19,358		$	16,060		$	160,772
Option payment received		(260	)		-			-			(260	)
Purchase of Homestake Ridge royalty		-			-			400			400
Disposition of mineral interests		(50	)		-			-			(50	)
Change in estimate of provision for site reclamation and closure		50			(219	)		-			(169	)
Balance at December 31, 2021	$	125,094		$	19,139		$	16,460		$	160,693
Sale of Homestake Resources (note 3)		-			-			(16,460	)		(16,460	)
Change in estimate of provision for site reclamation and closure		(391	)		(332	)		-			(723	)
Balance at June 30, 2022	$	124,703		$	18,807		$	-		$	143,510

Fury Gold Mines Limited

Notes to Q2 2022 Condensed Interim Consolidated Financial Statements

(Expressed in thousands of Canadian dollars, except where noted – Unaudited)

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Note 6: Investment in associates

(a) Acquisition of Dolly Varden

The Dolly Varden Transaction completed on February 25, 2022. As a result, Fury acquired 76,504,590 Dolly Varden Shares on February 25, 2022, representing approximately 35.3% of the Dolly Varden Shares outstanding. During the six months ended June 30, 2022, Dolly Varden completed a private placement which included the issuance of 11.3 million common shares, resulting in the Company’s equity interest being diluted to 33.2% as of June 30, 2022. Dolly Varden holds a 100% interest in the gold-silver Kitsault Valley project including the Dolly Varden Project and the Homestake Ridge gold-silver project, located in the southern tip of the Golden Triangle of British Columbia.

(b) Acquisition of UMS

On April 1, 2022, the Company purchased a 25% share interest in UMS for nominal consideration (note 1). The Company further recognized as part of its net investment in UMS, a cash deposit of $150 which is held by UMS for the purposes of general working capital, and which will only be returned to the Company upon termination of the UMS arrangement.

As part of the UMS arrangement, the Company is contractually obliged to pay certain rental expenses in respect of a ten-year office lease entered into by UMS on July 1, 2021. As at June 30, 2022, the Company expects to incur approximately $556 in respect of its share of future rental expense of UMS.

(c) Summarized financial information of the Company’s investments in associates:

The carrying amounts of the Company’s investments in associates as at June 30, 2022 were as follows:

	Dolly Varden			UMS			Total
Carrying amount at December 31, 2021	$	-		$	-		$	-
Acquisition of equity investment (note 3)		60,439			-			60,439
Company’s share of net loss of associates		(449	)		-			(449	)
Carrying amount at March 31, 2022		59,990		$	-		$	59,990
Acquisition of equity investment		-			151			151
Company’s share of net loss of associates		(1,406	)		(35	)		(1,441	)
Carrying amount at June 30, 2022	$	58,584		$	116		$	58,700

The fair market value of the Company’s investment in Dolly Varden as at June 30, 2022 was $52,788 based upon a closing share price of $0.69.

For the three months ended June 30, 2022, the Company’s equity share of net loss of the Company’s associates on a 100% basis were as follows:

Three months ended June 30, 2022	Dolly Varden			UMS
Cost recoveries	$	-		$	(1,690	)
Exploration and evaluation		4,059			665
Marketing		272			181
Share-based compensation		258			-
Administrative and other		(354	)		983
Net loss of associate, 100%		4,235			139
Company's share of net loss of associates	$	1,406		$	35

Fury Gold Mines Limited

Notes to Q2 2022 Condensed Interim Consolidated Financial Statements

(Expressed in thousands of Canadian dollars, except where noted – Unaudited)

11

For the six months ended June 30, 2022, the Company’s equity share of net loss of the Company’s associates on a 100% basis were as follows:

Six months ended June 30, 2022	Dolly Varden			UMS
Cost recoveries	$	-		$	(1,690	)
Exploration and evaluation		4,183			665
Marketing		484			181
Share-based compensation		1,080			-
Administrative and other		(241	)		983
Net loss of associate, 100%		5,506			139
Company's share of net loss of associates	$	1,855		$	35

The Company’s equity share of net assets of associates at June 30, 2022 is as follows:

	Dolly Varden			UMS
Current assets	$	22,866		$	1,209
Non-current assets		157,440			2,791
Current liabilities		(3,689	)		(2,013	)
Non-current liabilities		-			(1,523	)
Net assets, 100%		176,617			464
Company’s equity share of net assets of associate	$	58,584		$	116

(d) Services rendered and balances with UMS

	Three months ended June 30					Six months ended June 30
	2022		2021			2022		2021
Exploration and evaluation costs	$	252	$	82		$	303	$	132
Marketing and investor relations		5		(15	)		5		8
General and administration		233		79			351		137
Total transactions for the period	$	490	$	146		$	659	$	277

The outstanding balance owing at June 30, 2022, was $237 (December 31, 2021 – $142) which is included in accounts payable. In addition, the Company had $19 in current prepaids (December 31, 2021 – $56) representing certain geological software licenses purchased on behalf of the Company by UMS, and which are amortized over twelve months.

Note 7: Flow-through share premium liability

Flow-through shares are issued at a premium, calculated as the difference between the price of a flow-through share and the price of a common share at that date. Tax deductions generated by eligible expenditures are passed through to the shareholders of the flow-through shares once the eligible expenditures are incurred and renounced. In July 2020, in response to the economic impact of COVID-19, the Government of Canada extended the timelines for eligible expenditures from 24 to 36 months.

In September 2020, the Company completed an equity financing by raising $23,000 through the issuance of 7,750,000 subscription receipts. Out of the subscription receipts sold, 5,000,000 were flow-through receipts for gross proceeds of $17,500 and were exchanged for Fury Gold common shares designated as flow-through shares, while 2,750,000 subscription receipts were sold as non-flow-through for gross proceeds of $5,500 and exchanged for Fury Gold common shares. The flow-through proceeds are being used for mineral exploration in Quebec. The Company is committed to incur the remaining exploration expenditures of $3,992 (December 31, 2021 – $7,290) before December 31, 2022, which was renounced to investors in December 2020.

Fury Gold Mines Limited

Notes to Q2 2022 Condensed Interim Consolidated Financial Statements

(Expressed in thousands of Canadian dollars, except where noted – Unaudited)

12

The flow-through share funding and expenditures, along with the corresponding impact on the flow-through share premium liability, were as follows:

Quebec	Flow-through funding and expenditures			Flow-through Premium liability
Balance at December 31, 2020	$	18,079		$	7,644
Flow-through eligible expenditures		(10,789	)		(4,520	)
Balance at December 31, 2021	$	7,290		$	3,124
Flow-through eligible expenditures		(3,298	)		(1,414	)
Balance at June 30, 2022	$	3,992		$	1,710

Note 8: Exploration and evaluation costs

For the three and six months ended June 30, 2022 and 2021, the Company’s exploration and evaluation costs were as follows:

	Quebec		Nunavut		British Columbia		Total
Assaying	$	267	$	10	$	-	$	277
Exploration drilling		699		-		-		699
Camp cost, equipment, and field supplies		319		39		-		358
Geological consulting services		30		2		-		32
Geophysical analysis		7		-		-		7
Permitting, environmental and community costs		63		60		-		123
Expediting and mobilization		4		-		-		4
Salaries and wages		768		20		-		788
Fuel and consumables		187		-		-		187
Aircraft and travel		144		-		-		144
Share-based compensation		190		5		-		195
Three months ended June 30, 2022	$	2,678	$	136	$	-	$	2,814
	Quebec		Nunavut		British Columbia		Total
Assaying	$	719	$	10	$	2	$	732
Exploration drilling	1091			30		-		1,121
Camp cost, equipment, and field supplies		382		63		5		450
Geological consulting services		83		-		1		84
Geophysical analysis		-		-		-		-
Permitting, environmental and community costs		27		47		15		89
Expediting and mobilization		44		41		-		85
Salaries and wages		598		35		13		646
Fuel and consumables		136		-		-		136
Aircraft and travel		55		2		-		57
Share-based compensation		114		22		6		142
Three months ended June 30, 2021	$	3,250	$	250	$	42	$	3,542

Fury Gold Mines Limited

Notes to Q2 2022 Condensed Interim Consolidated Financial Statements

(Expressed in thousands of Canadian dollars, except where noted – Unaudited)

13

	Quebec		Nunavut		British Columbia		Total
Assaying	$	429	$	28	$	2	$	459
Exploration drilling		713		-		-		713
Camp cost, equipment, and field supplies		450		97		10		557
Geological consulting services		6		4		-		10
Geophysical analysis		127		-		-		127
Permitting, environmental and community costs		92		119		-		211
Expediting and mobilization		6		-		-		6
Salaries and wages		1,211		34		1		1,246
Fuel and consumables		267		-		-		267
Aircraft and travel		163		-		-		163
Share-based compensation		320		6		1		327
Six months ended June 30, 2022	$	3,784	$	288	$	14	$	4,086
	Quebec		Nunavut		British Columbia		Total
Assaying	$	1,098	$	40	$	16	$	1,154
Exploration drilling		2,363		30		-		2,393
Camp cost, equipment, and field supplies		757		122		8		887
Geological consulting services		259		34		3		296
Geophysical analysis		149		-		-		149
Permitting, environmental and community costs		122		81		28		231
Expediting and mobilization		51		41		-		92
Salaries and wages		1,102		80		33		1,215
Fuel and consumables		310		35		-		345
Aircraft and travel		116		2		1		119
Share-based compensation		274		56		19		349
Six months ended June 30, 2021	$	6,601	$	521	$	108	$	7,230

Fury Gold Mines Limited

Notes to Q2 2022 Condensed Interim Consolidated Financial Statements

(Expressed in thousands of Canadian dollars, except where noted – Unaudited)

14

Note 9: Share capital

Authorized

Unlimited common shares without par value.

Unlimited preferred shares – nil issued and outstanding.

Share issuances

Six months ended June 30, 2022:

i.	The Company closed the “April 2022 Offering”, a non-brokered private equity placement, for gross proceeds of $11,000 and consisted of 13,750,000 common shares priced at $0.80 per share. Proceeds from the Private Placement will be used to fund continued exploration at the Company’s Eau Claire project in Quebec and for general working capital.
	Share issue costs related to the April 2022 Offering totaled $136. A reconciliation of the impact of the private placement on share capital is as follows:

	Number of common shares		Impact on share capital
Common shares issued at $0.80 per share		13,750,000	$	11,000
Share issue costs		-		(136	)
Proceeds net of share issue costs		13,750,000	$	10,864

Six months ended June 30, 2021:

i.	5,834 shares were issued as a result of share options being exercised with a weighted average exercise price of $0.86 for gross proceeds of $5. An amount of $1 attributed to these share options was transferred from the equity reserves and recorded against share capital.
ii.	101,042 shares were issued as a result of share warrants being exercised with a weighted average exercise price of $1.46 for gross proceeds of $147. An amount of $12 attributed to these share warrants was transferred from the equity reserves and recorded against share capital.

Note 10: Share option and warrant reserves

(a) Share-based compensation expense

The Company uses the fair value method of accounting for all share-based payments to directors, officers, employees, and other service providers. During the three and six months ended June 30, 2022 and 2021, the share-based compensation expense was as follows:

	Three months ended June 30				Six months ended June 30
	2022		2021		2022		2021
Recognized in net loss (earnings) and included in:
Exploration and evaluation costs	$	195	$	142	$	327	$	349
Fees, salaries and other employee benefits		433		478		800		1,184
Total share-based compensation expense	$	628	$	620	$	1,127	$	1,533

Fury Gold Mines Limited

Notes to Q2 2022 Condensed Interim Consolidated Financial Statements

(Expressed in thousands of Canadian dollars, except where noted – Unaudited)

15

During the three and six months ended June 30, 2022, the Company granted 1,685,000 and 3,430,000 share options, respectively (three and six months ended June 30, 2021 – 130,000 and 130,000, respectively) to directors, officers, employees, and certain consultants who provide certain on-going services to the Company, representative of employee services. The weighted average fair value per option of these share options for the three and six months ended June 30, 2022 was calculated as $0.48 and $0.46, respectively, using the Black-Scholes option valuation model at the grant date.

The fair value of the share-based options granted during the three and six months ended June 30, 2022 was based on the following weighted average assumptions:

	Three months ended June 30				Six months ended June 30
	2022		2021		2022		2021
Risk-free interest rate		2.79%		1.01%		2.20%		1.01%
Expected dividend yield	Nil		Nil		Nil		Nil
Share price volatility		67%		68%		67%		68%
Expected forfeiture rate		15%		0%		5%		0%
Expected life in years		5.0		4.9		5.0		4.9

The risk-free interest rate assumption is based on the Government of Canada benchmark bond yields and treasury bills with a remaining term that approximates the expected life of the share-based options. The expected volatility assumption is based on the historical and implied volatility of the Company’s common shares. The expected forfeiture rate and the expected life in years are based on historical trends.

(b) Share option plan

The Company maintains a rolling share option plan providing for the issuance of share options up to 10% of the Company’s issued and outstanding common shares at the time of the grant. The Company may grant share options from time to time to its directors, officers, employees, and other service providers. The share options typically vest as to 25% on the date of the grant and 12.5% every three months thereafter for a total vesting period of 18 months. 

The number of share options issued and outstanding and the weighted average exercise price were as follows:

	Number of share options			Weighted average exercise price ($/option)
Outstanding, December 31, 2020		8,141,004		$	2.67
Granted		1,405,000			1.03
Exercised		(5,834	)		0.86
Expired		(1,685,048	)		3.62
Forfeited		(1,103,125	)		2.04
Outstanding, December 31, 2021		6,751,997		$	2.00
Granted		3,430,000			1.00
Expired		(511,972	)		4.93
Forfeited		(633,436	)		1.89
Outstanding, June 30, 2022		9,036,589		$	1.46

Fury Gold Mines Limited

Notes to Q2 2022 Condensed Interim Consolidated Financial Statements

(Expressed in thousands of Canadian dollars, except where noted – Unaudited)

16

As at June 30, 2022, the number of share options outstanding was as follows:

		Options outstanding						Options exercisable
Exercise price ($/option)		Number of shares		Weighted average exercise price ($/option)		Weighted average remaining life (years)		Number of shares		Weighted average exercise price ($/option)		Weighted average remaining life (years)
$0.56 – $1.95			6,185,969		1.12		3.97		3,140,970		1.22		3.39
$2.05 – $3.26			2,847,703		2.19		3.06		2,847,703		2.19		3.06
$	8.23		2,917		8.23		0.20		2,917		8.23		0.20
			9,036,589		1.46		3.68		5,991,590		1.68		3.23

(c) Share purchase warrants

The number of share purchase warrants outstanding at June 30, 2022 was as follows:

	Warrants outstanding			Weighted average exercise price  ($/share)
Outstanding at December 31, 2020		1,626,740		$	1.66
Issued		7,461,450			1.20
Exercised		(101,042	)		1.46
Expired		(775,695	)		1.42
Outstanding at December 31, 2021		8,211,453		$	1.27
Expired		(412,190	)		1.11
Outstanding at June 30, 2022		7,799,263		$	1.28

The following table reflects the warrants issued and outstanding as of June 30, 2022:

Expiry date	Warrants outstanding		Exercise price ($/share)
September 12, 2022		337,813		2.96
October 6, 2024		5,085,670		1.20
October 12, 2024		2,375,780		1.20
Total		7,799,263		1.28

Fury Gold Mines Limited

Notes to Q2 2022 Condensed Interim Consolidated Financial Statements

(Expressed in thousands of Canadian dollars, except where noted – Unaudited)

17

Note 11: Key management personnel

Key management personnel include Fury Gold’s board of directors and certain executive officers of the Company, including the CEO and Chief Financial Officer (“CFO”).

On April 1, 2022, the Company entered into a shared services agreement with UMS, in which the Company holds a 25% interest (note 6). Under the shared services agreement, the Company’s CFO, Senior Vice President, Exploration (“SVP, Exploration”), and CGO terminated their direct employment status with the Company, became employed by UMS and then entered into secondment employment arrangements between the Company and UMS.

The remuneration of the Company’s key management personnel was as follows:

	Three months ended June 30				Six months ended June 30
	2022		2021(b)		2022		2021(b)
Short-term benefits provided to executives(a)	$	545	$	231	$	777	$	548
Directors’ fees paid to non-executive directors		53		55		100		107
Share-based payments		430		391		743		1,054
Total	$	1,028	$	677	$	1,620	$	1,709

^(a) Short-term employee benefits include salaries, bonuses payable within twelve months of the date of the condensed interim consolidated statements of financial position, and other annual employee benefits.

^(b) As a result of the acquisition of Eastmain and the formation of a new board of directors and management team, certain former key management personnel of the Company were provided with transition contracts to support the formation of Fury Gold until April 2021. For the three and six months ended June 30, 2021, $9 and $96 of short-term benefits, respectively, and $nil and $54 of share-based payment expense were recognized in the condensed interim consolidated statements of (earnings) loss and comprehensive (income) loss in respect of these transition arrangements.

Note 12: Supplemental cash flow information

The impact of changes in non-cash working capital was as follows:

	Three months ended June 30						Six months ended June 30
	2022			2021			2022			2021
Accounts receivable	$	(93	)	$	141		$	14		$	396
Prepaid expenses and deposits		231			191			183			(13	)
Accounts payable and accrued liabilities		612			(333	)		(11	)		(50	)
Change in non-cash working capital	$	750		$	(1	)	$	186		$	333

Operating activities include the following cash received:

	Three months ended June 30				Six months ended June 30
	2022		2021		2022		2021
Income taxes refunded	$	22	$	-	$	187	$	1,717

Fury Gold Mines Limited

Notes to Q2 2022 Condensed Interim Consolidated Financial Statements

(Expressed in thousands of Canadian dollars, except where noted – Unaudited)

18

Note 13: Loss (earnings) per share

For the three and six months ended June 30, 2022, and 2021, the weighted average number of shares outstanding and loss (earnings) per share were as follows:

	Three months ended June 30				Six months ended June 30
	2022		2021		2022			2021
Net loss (earnings)	$	5,577	$	4,060	$	(40,059	)	$	8,985
Weighted average basic number of shares outstanding		136,600,071		117,893,013		131,266,530			117,861,667
Basic loss (earnings) per share	$	0.04	$	0.03	$	(0.31	)	$	0.08
Weighted average diluted number of shares outstanding		136,600,071		117,893,013		139,492,021			117,861,667
Diluted (earnings) loss per share	$	0.04	$	0.03	$	(0.29	)	$	0.08

All of the outstanding share options and share purchase warrants at June 30, 2021 were anti-dilutive for the periods then ended as the Company was in a loss position. Additionally, all of the outstanding share options and share purchase warrants at June 30, 2022 were anti-dilutive for the three months ended June 30, 2022 as the Company was in a loss position.

Note 14: Financial instruments

The Company’s financial instruments as at June 30, 2022 consisted of cash, accounts receivable, deposits, and accounts payable and accrued liabilities. The fair values of these financial instruments approximate their carrying values, unless otherwise noted.

(a) Financial assets and liabilities by categories

	At June 30, 2022						At December 31, 2021
	Amortized Cost		FVTPL		Total		Amortized Cost		FVTPL		Total
Cash	$	12,361	$	-	$	12,361	$	3,259	$	-	$	3,259
Marketable securities		-		439		439		-		605		605
Deposits		25		-		25		243		-		243
Accounts receivable		358		-		358		372		-		372
Total financial assets		12,744		439		13,183		3,874		605		4,479
Accounts payable and accrued liabilities		1,894		-		1,894		1,888		-		1,888
Total financial liabilities	$	1,894	$	-	$	1,894	$	1,888	$	-	$	1,888

(b) Financial assets and liabilities measured at fair value

The categories of the fair value hierarchy that reflect the significance of inputs used in making fair value measurements are as follows:

Level 1 – fair values based on unadjusted quoted prices in active markets for identical assets or liabilities;

Level 2 – fair values based on inputs that are observable for the asset or liability, either directly or indirectly; and

Level 3 – fair values based on inputs for the asset or liability that are not based on observable market data.

The Company’s policy to determine when a transfer occurs between levels is to assess the impact at the date of the event or the change in circumstances that could result in a transfer. No transfers occurred between the levels during the period.

Fury Gold Mines Limited

Notes to Q2 2022 Condensed Interim Consolidated Financial Statements

(Expressed in thousands of Canadian dollars, except where noted – Unaudited)

19

The Company’s financial instruments measured at fair value on a recurring basis were as follows:

	At June 30, 2022				At December 31, 2021
	Level 1		Level 2		Level 1		Level 2(1)
Marketable securities		439		-		282		323

⁽¹⁾ Marketable securities included in level 2 as at December 31, 2021 include warrants that are valued using an option pricing model which utilizes a combination of quoted prices and market-derived inputs, including volatility estimates.

During the three and six months ended June 30, 2022, there were no financial assets or financial liabilities transferred, measured, and recognized in the condensed interim consolidated statements of financial position at fair value that would be categorized as level 3 in the fair value hierarchy.

(c) Financial instruments and related risks

The Company’s financial instruments are exposed to liquidity risk, and market risks, which include currency risk and price risk. As at June 30, 2022, the primary risks were as follows:

Liquidity risk

Liquidity risk is the risk that the Company will encounter difficulty in meeting obligations associated with financial liabilities. The Company proactively manages its capital resources and has in place a budgeting and cash management process to help determine the funds required to ensure the Company has the appropriate liquidity to meet its current exploration plans and achieve its growth objectives. The Company ensures that there is sufficient liquidity available to meet its short-term business requirements, taking into account its anticipated cash outflows from exploration activities, and its holdings of cash and marketable securities. The Company monitors and adjusts, when required, these exploration programs as well as corporate administrative costs to ensure that adequate levels of working capital are maintained.

As at June 30, 2022, the Company had unrestricted cash of $12,361 (December 31, 2021 – $3,259), working capital surplus of $9,696 (December 31, 2021 – working capital deficit of $428), which the Company defines as current assets less current liabilities, and an accumulated deficit of $116,690 (December 31, 2021 – $156,749). The Company notes that the flow-through share premium liability, which reduced the Company’s working capital by $1,710 (December 31, 2021 – $3,124), is not settled through cash payment. Instead, the flow-through share premium liability will be drawn down as the Company incurs exploration expenditures for the Eau Claire project. During the three and six months ended June 30, 2022, Fury Gold recognized net loss and net earnings of $5,577 and $40,059, respectively, (three and six months ended June 30, 2021 – net losses of $4,060 and $8,985) primarily arising from the sale of Homestake Resources (note 3). The Company expects to incur future operating losses in relation to exploration activities. With no source of operating cash flow, there is no assurance that sufficient funding will be available to conduct further exploration and development of its mineral properties.

The Company’s contractual obligations are as follows:

	Within  1 year		2 to 3 years		Over 3 years		At June 30 2022		At December 31 2021
Accounts payable and accrued liabilities	$	1,894	$	-	$	-	$	1,894	$	1,888
Quebec flow-through expenditure requirements		3,992		-		-		3,992		7,290
Undiscounted lease payments		249		346		-		595		622
Total	$	6,135	$	346	$	-	$	6,481	$	9,800

The Company entered into a drilling contract in November 2020, for which the Company has committed to drill a total of 50,000 metres. As at June 30, 2022, the company remains obligated to drill a further 9,000 metres in Quebec. The expenditures for the remaining drilling metres will be applied against the flow-through expenditure requirements included in the table above.

Fury Gold Mines Limited

Notes to Q2 2022 Condensed Interim Consolidated Financial Statements

(Expressed in thousands of Canadian dollars, except where noted – Unaudited)

20

The Company also makes certain payments arising on mineral claims and leases on an annual or bi-annual basis to ensure all the Company’s properties remain in good standing. Cash payments of $49 and $71 were made during the three and six months ended June 30, 2022 (three and six months ended June 30, 2021 - $nil and $266), in respect of these mineral claims, with $100 recognized in prepaid expenses as at June 30, 2022 (June 30, 2021 – $214).

Market risk

This is the risk that the fair value or future cash flows of a financial instrument will fluctuate because of changes in market prices. Significant market risks to which the Company is exposed are as follows:

i. Currency risk

The Company is exposed to currency risk by having balances and transactions in currencies that are different from its functional currency (the Canadian dollar). The Company’s foreign currency exposure related to its financial assets and liabilities held in US dollars was as follows:

	At June 30 2022			At December 31 2021
Financial assets
US$ bank accounts	$	10		$	569
Financial liabilities
Accounts payable		(34	)		(160	)
	$	(24	)	$	409

A 10% increase or decrease in the US dollar to Canadian dollar exchange rate would not have a material impact on the Company’s net loss.

ii. Price risk

The Company holds certain investments in marketable securities (note 4) which are measured at fair value, being the closing share price of each equity security at the date of the condensed interim consolidated statements of financial position. The Company is exposed to changes in share prices which would result in gains and losses being recognized in the earnings for the period. A 10% increase or decrease in the Company’s marketable securities’ share prices would not have a material impact on the Company’s net income.

Fury Gold Mines Limited

Notes to Q2 2022 Condensed Interim Consolidated Financial Statements

(Expressed in thousands of Canadian dollars, except where noted – Unaudited)

21

EX-99.2

EXHIBIT 99.2

(An exploration company)

MANAGEMENT’S DISCUSSION AND ANALYSIS

FOR THE THREE AND SIX MONTHS ENDED JUNE 30, 2022

MANAGEMENT’S DISCUSSION AND ANALYSIS

OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS

FOR THE THREE AND SIX MONTHS ENDED JUNE 30, 2022

This Management’s Discussion and Analysis (the “MD&A”) for Fury Gold Mines Limited (“Fury Gold” or the “Company”) should be read in conjunction with the condensed interim consolidated financial statements of the Company and related notes thereto for the three and six months ended June 30, 2022. The condensed interim consolidated financial statements have been prepared in accordance with International Accounting Standard 34 – Interim Financial Reporting (“IAS 34”) of the International Financial Reporting Standards (“IFRS”) as issued by the International Accounting Standards Board (“IASB”). All dollar amounts presented are expressed in thousands of Canadian dollars unless otherwise stated. Certain amounts presented in this MD&A have been rounded. The effective date of this MD&A is August 11, 2022.

SECTION 1: FORWARD-LOOKING STATEMENTS AND RISK FACTORS	3
SECTION 2: BUSINESS OVERVIEW	5
SECTION 3: Q2 2022 HIGHLIGHTS AND SUBSEQUENT EVENTS	6
SECTION 4: PROJECTS OVERVIEW	7
SECTION 5: REVIEW OF QUARTERLY FINANCIAL INFORMATION	12
SECTION 6: FINANCIAL POSITION, LIQUIDITY, AND CAPITAL RESOURCES	15
SECTION 7: FINANCIAL RISK SUMMARY	18
SECTION 8: RELATED PARTY TRANSACTIONS	19
SECTION 9: CRITICAL ACCOUNTING ESTIMATES AND JUDGEMENTS	20
SECTION 10: CONTROLS AND PROCEDURES	21

Fury Gold Mines Limited

Management’s Discussion and Analysis of Financial Condition and

Results of Operations for the Three and Six Months Ended June 30, 2022

(Amounts expressed in thousands of Canadian dollars, unless otherwise noted)

2

Section 1: Forward-looking statements and risk factors

1.1 Forward-looking statements

Certain statements made in this MD&A contain forward-looking information within the meaning of applicable Canadian and United States securities laws (“forward-looking statements”). These forward-looking statements are presented for the purpose of assisting the Company’s securityholders and prospective investors in understanding management’s views regarding those future outcomes and may not be appropriate for other purposes. When used in this MD&A, the words “may”, “would”, “could”, “will”, “intend”, “plan”, “anticipate”, “believe”, “seek”, “propose”, “estimate”, “expect”, and similar expressions, as they relate to the Company, are intended to identify forward-looking statements. Specific forward-looking statements in this MD&A include, but are not limited to: issues relating to the COVID-19 pandemic, including its potential impacts on the Company’s business and operations; future capital expenditures and requirements, and sources and timing of additional financing; the Company’s exploration activities, including the success of such exploration activities; estimates of the Company’s mineral resources; the realization of mineral resource estimates; any objectives, expectations, intentions, plans, results, levels of activity, goals or achievements; the possibility of future production, capital expenditures; realization and liabilities related to unused tax benefits or flow through obligations; statements relating to the financial condition, assets, liabilities (contingent or otherwise), business, operations or prospects of the Company; and other events or conditions that may occur in the future.

The forward-looking statements contained in this MD&A represent the Company’s views only as of the date such statements were made and may change. Many assumptions and subject to risks and uncertainties, and so may prove to be incorrect, including the Company’s budget, including expected costs and the assumptions regarding market conditions and other factors upon which the Company has based its expenditure expectations; the Company’s ability to raise additional capital to proceed with its exploration plans; the Company’s ability to obtain or renew the licences and permits necessary for exploration; that financial markets will not in the long term be materially adversely impacted by the COVID-19 pandemic the Company’s ability to obtain all necessary regulatory approvals, permits and licences for its planned activities under governmental and other applicable regulatory regimes; the Company’s ability to complete and successfully integrate acquisitions; the effects of climate change, extreme weather events, water scarcity, and seismic events, and the effectiveness of strategies to deal with these issues; the Company’s expectations regarding the demand for, and supply and price of, precious metals; the Company’s ability to recruit and retain qualified personnel; the Company’s resource estimates, and the assumptions upon which they are based; the Company’s ability to comply with current and future environmental, safety and other regulatory requirements.

The foregoing is not an exhaustive list of the risks and other factors that may affect any of the Company’s forward-looking statements. Readers should refer to the risks discussed herein and in the Company’s Annual Information Form (the “Annual Information Form”) for the year ended December 31, 2021, subsequent disclosure filings with the Canadian Securities Administrators, the Company’s registration statement on Form 40-F for the year ended December 31, 2021, and subsequent disclosure filings with the United States Securities and Exchange Commission (the “SEC”), available on SEDAR at www.sedar.com and with the SEC at www.sec.gov, as applicable.

The Company does not undertake to update any forward-looking statements, except to the extent required by applicable securities laws.

Readers are cautioned not to place heavy reliance on forward looking statements.

Fury Gold Mines Limited

Management’s Discussion and Analysis of Financial Condition and

Results of Operations for the Three and Six Months Ended June 30, 2022

(Amounts expressed in thousands of Canadian dollars, unless otherwise noted)

3

Cautionary Note to United States Investors concerning Estimates of Measured, Indicated, and Inferred Resource Estimates:

This MD&A uses the terms “mineral resource”, which can be subdivided into “measured mineral resource”, “indicated mineral resource” and “inferred mineral resource”, which are Canadian mining terms as defined in, and required to be disclosed in accordance with, National Instrument 43-101 – Standards of Disclosure for Mineral Projects (“NI 43-101”). This Instrument references the mineral terminology guidelines set out in the Canadian Institute of Mining, Metallurgy and Petroleum (the “CIM”) – CIM Definition Standards on mineral resources and mineral reserves (“CIM Definition Standards”), adopted by the CIM Council. However, these terms are not defined terms under SEC Industry Guide 7 (“SEC Industry Guide 7”) under the United States securities laws and their use is restricted registration statements filed with the SEC. Effective February 25, 2019 the SEC adopted certain new rules (the “SEC Modernization Rules”) which replace the historical disclosure requirements for mining registrants that were included in SEC Industry Guide 7. As a foreign private issuer that files its annual report on Form 40-F with the SEC pursuant to the multi-jurisdictional disclosure system, the Company is not required to provide disclosure on its mineral properties under the SEC Modernization Rules and will continue to provide disclosure under NI 43-101 and the CIM Definition Standards. If the Company ceases to be a foreign private issuer or loses its eligibility to file its annual report on Form 40-F pursuant to the multi-jurisdictional disclosure system, then the Company will be subject to the SEC Modernization Rules which differ somewhat from the requirements of NI 43-101 and the CIM Definition Standards. As the date of this quarterly report the value of the Company’s public float is less than US$75 million. Should the Company’s public float remain less than US$75 million, the Company will no longer be eligible to use certain SEC reporting and registration forms which rely on MJDS rules and would then also be required to prepare mineral project disclosure that complies with the SEC Modernization Rules.

United States investors are cautioned that there are differences in the definitions under the SEC Modernization Rules and the CIM Definition Standards. There is no assurance any mineral resources that the Company may report as “measured mineral resources”, “indicated mineral resources” and “inferred mineral resources” under NI 43- 101 would be the same had the Company prepared the resource estimates under the standards adopted under the SEC Modernization Rules. United States investors are also cautioned that while the SEC will now recognize “measured mineral resources”, “indicated mineral resources” and “inferred mineral resources”, investors should not assume that any part or all of the mineralization in these categories will ever be converted into a higher category of mineral resources or into mineral reserves. Mineralization described using these terms has a greater amount of uncertainty as to their existence and feasibility than mineralization that has been characterized as reserves. The Company has no mineral reserves which require that the estimated resources be demonstrated to be economic in at least a pre-feasibility study. Accordingly, investors are cautioned not to assume that any “measured mineral resources”, “indicated mineral resources” or “inferred mineral resources” that the Company reports are or will be economically or legally mineable. Although in Canada, “inferred mineral resources” are subject to an expectation that there must be a reasonable probability of upgrading a majority of an inferred resource into a measured or indicated category, inferred resources have a greater amount of uncertainty as to their existence and as to whether they can be mined legally or economically. Therefore, United States investors are also cautioned not to assume that all or any part of the “inferred mineral resources” exist. In accordance with Canadian securities laws, estimates of “inferred mineral resources” cannot form the basis.

Accordingly, information contained in this MD&A describing the Company’s mineral deposits may not be comparable to similar information made public by U.S. companies subject to the reporting and disclosure requirements under the United States federal securities laws and the rules and regulations thereunder.

See the heading “Resource Category (Classification) Definitions” in the 2021 Annual Information Form for a more detailed description of certain of the mining terms used in this MD&A.

1.2 Qualified persons and technical disclosures

Bryan Atkinson. P.Geol., Senior Vice President, Exploration, and David Rivard, P.Geo., Exploration Manager, of the Company are each a “qualified person” or “QP” under and for the purposes of NI 43-101 with respect to the technical disclosures in this MD&A.

1.3 Impact of COVID-19

The situation in Canada regarding COVID-19 remains fluid and permitted activities continue to be subject to change. At the Company’s Eau Claire project in Quebec, all on-site employees have participated in the vaccination program. In addition to the COVID-19 screening of all on-site employees implemented in 2020, the Company was approved by l'institut national de santé publique du Quebec for on-site Rapid Testing for COVID-19 which was implemented in April 2021. In Nunavut, all travellers require an exemption from the public health officer of Nunavut prior to travel into the Territory, either through evidence of double vaccination status or evidence of direct travel to remote regions with no interaction with Nunavut Hamlets or Nunavummiuts. There have been no impacts to the company’s drill programs in 2022 arising from COVID-19, however the Company continues to monitor for potential future changes.

Fury Gold Mines Limited

Management’s Discussion and Analysis of Financial Condition and

Results of Operations for the Three and Six Months Ended June 30, 2022

(Amounts expressed in thousands of Canadian dollars, unless otherwise noted)

4

Section 2: Business overview

Fury Gold is a Canadian-focused gold exploration company strategically positioned in two prolific mining regions: the James Bay Region of Quebec and the Kitikmeot Region in Nunavut. The Company’s vision is to deliver shareholder value by growing our multi-million-ounce gold portfolio through additional significant gold discoveries in Canada. At June 30, 2022, the Company had two principal projects: Eau Claire in Quebec and Committee Bay in Nunavut.

The Company was incorporated on June 9, 2008, under the Business Corporations Act (British Columbia) and is listed on the Toronto Stock Exchange and the NYSE-American, with its common shares trading under the symbol FURY. The Company’s registered and records office is located at 1055 West Georgia Street, Suite 1500, Vancouver, British Columbia, V6E 4N7, and the mailing address is 1630-1177 West Hastings Street, Vancouver, BC, V6E 2K3.

2.1 Sale of Homestake Resources

On December 6, 2021, the Company entered into a definitive agreement (the “Purchase Agreement”) with Dolly Varden Silver Corporation (“Dolly Varden”) pursuant to which the Company agreed to sell to Dolly Varden a 100% interest in Fury Gold’s wholly owned subsidiary, Homestake Resources Corporation (“Homestake Resources”) in exchange for $5,000 in cash and 76,504,590 common shares in Dolly Varden. Homestake Resources is the owner of a 100% interest in the Homestake Ridge gold-silver project which is located adjacent to the Dolly Varden Project owned by Dolly Varden in the Golden Triangle, British Columbia (“the Dolly Varden Transaction”). The Dolly Varden Transaction completed on February 25, 2022 and Fury Gold acquired 76,504,590 common shares in Dolly Varden, representing approximately 35.3% of the Dolly Varden common shares outstanding at that date and 32.88% of Dolly Varden on a fully diluted basis. As at June 30, 2022, the Company’s equity interest in Dolly Varden was 33.2% of the Dolly Varden common shares outstanding.

In connection with the Dolly Varden Transaction and as contemplated in the Purchase Agreement, Dolly Varden and Fury Gold have also entered into an investor rights agreement dated February 25, 2022 (the “Investor Rights Agreement”). Pursuant to its obligations under the Investor Rights Agreement, Dolly Varden has appointed Forrester (“Tim”) Clark, the Chief Executive Officer (“CEO”) of Fury Gold, and Michael Henrichsen, the Chief Geological Officer of Fury Gold, to the board of directors of Dolly Varden.

2.2 Acquisition of 25% equity interest in Universal Mineral Services Ltd (“UMS”)

On April 1, 2022, the Company purchased a 25% share interest in UMS, a private shared-services provider for nominal consideration. The remaining 75% of UMS is owned equally by three other junior resource issuers, namely Tier One Silver Inc., Coppernico Metals Inc, and Torq Resources Inc who share a head office location in Vancouver, BC. Previously, UMS had been privately owned by a director in common, Mr. Ivan Bebek, then subsequently from January 1, 2022, by Mr. Steve Cook, also a director in common, until March 31, 2022.

UMS is the private company through which its shareholders, including Fury Gold, share geological, financial, and transactional advisory services as well as administrative services on a full, cost recovery basis. Having these services available through UMS, on an as needed basis, allows the Company to maintain a more efficient and cost-effective corporate overhead structure by hiring fewer full-time employees and engaging outside professional advisory firms less frequently. The agreement has an indefinite term and can be terminated by either party upon providing 180 days notice. Many of the Company’s key personnel are now, or will be, directly employed by UMS and seconded to the Company and other members of the group.

Fury Gold Mines Limited

Management’s Discussion and Analysis of Financial Condition and

Results of Operations for the Three and Six Months Ended June 30, 2022

(Amounts expressed in thousands of Canadian dollars, unless otherwise noted)

5

Section 3: Q2 2022 highlights and subsequent events

3.1 Corporate highlights

■ On August 8, 2022, the Company announced that it had entered into an arrangement with Newmont Corporation (“Newmont”) to increase their joint venture interests in the Eleonore South Joint Venture (“ESJV”) project to 100%, having concurrently agreed, through their respective subsidiaries, to buy-out the approximately 23.77% participating interest of Azimut Exploration Inc. (“Azimut”) on a pro-rata basis. The resulting respective ESJV interests will then be Fury 50.022% and Newmont 49.978% with Fury remaining operator under an amended and restated joint venture agreement. The cost to Fury of the 11.902% additional participating interest in the joint venture will be approximately $1,200. Completion of the purchase is subject to certain conditions precedent and is expected to close in the third quarter of 2022.

■ On June 30, 2022, the Company announced the voting results from its Annual General Meeting (“Meeting”) of Shareholders held on June 29, 2022. The Company confirmed that each director nominee listed in the Company’s management information circular (“Circular”) dated May 20, 2022 in connection with the Meeting and as filed on SEDAR on May 24, 2022, were elected as directors of the Company to serve until the next Meeting, or until their successors are otherwise elected or appointed. Also, by resolution, Deloitte LLP, Chartered Professional Accountants was appointed as the Company’s auditor for fiscal year ending December 31, 2022.

■ On May 24, 2022, the Company announced the retirement, effective at the Fury Annual General Meeting, of Mr. Ivan Bebek, Chair and co-founder of the Company, to focus on other activities. Mr. Bebek remains part of the strategic advisory board, with Mr. Shawn Wallace, another co-founder of the Company.

■ On April 14, 2022, the Company completed a non-brokered private placement with two placees who include a Canadian corporate investor and a US institutional investor, for a private placement sale of 13.75 million common shares of the Company at a price of $0.80 per share for gross proceeds of $11,000. Proceeds from the Private Placement will be used to fund continued exploration at the Company’s Eau Claire project in Quebec and for general working capital.

3.2 Operational highlights

■ On August 3, 2022, the Company announced results for seven core drill holes at the Eau Claire project located in the Eeyou Istchee Territory in the James Bay region of Quebec. The 2022 exploration drilling program continues to demonstrate the potential to significantly expand the deposit to the west at the Hinge Target, with drilling to date demonstrating a potential 20%, or 330m, increase to the mineralized strike length of the Eau Claire Deposit.

■ On June 22, 2022, the Company announced that a second drill has been mobilized to the Eau Claire project . The second drill will test the refined targeting at the Percival Prospect. Drilling will consist of approximately 6,500 metres (“m”) seeking to extend the higher-grade core of the Percival gold mineralization down plunge, as well as testing a highly prospective parallel fold hinge 500m to the east.

■   On May 16, 2022, the Company announced the completion of a 29 kilometre (“km”) Induced Polarization (IP) ground geophysical survey at the high-grade Percival prospect within the Eau Claire project The mineralization at Percival has a clear resistivity signature and the survey has identified a number of similar resistivity anomalies that coincide with biogeochemistry gold and trace element anomalies over a 6.5-kilometre strike length.

■ On April 7, 2022, the Company announced that the 2022 exploration drilling program had commenced at its wholly-owned Eau Claire project in the Eeyou Istchee Territory in the James Bay region of Quebec. The goal of the program is to expand the high-grade Eau Claire gold deposit and follow up on the Percival discovery. The drill program will initially consist of approximately 15,000m, focusing on extending the resource along the southeast margin of the Eau Claire deposit, expanding the recent discovery at the Western Hinge target, and further testing the Percival discovery.

Fury Gold Mines Limited

Management’s Discussion and Analysis of Financial Condition and

Results of Operations for the Three and Six Months Ended June 30, 2022

(Amounts expressed in thousands of Canadian dollars, unless otherwise noted)

6

Section 4: Projects overview

Indigenous community relations and environmental

The pursuit of environmentally sound and socially responsible mineral development guides all of Fury Gold’s activities as the Company understands the broad societal benefits that responsible mining can bring, as well as the risks that must be managed through the implementation of sustainable development practices. The Company strives to maintain the highest standards of environmental protection and community engagement at all its projects.

The Company considers sustainability to include the pursuit of four mutually reinforcing pillars: environmental and cultural heritage protection; social and community development; economic growth and opportunity; and cultural competency development for all employees. The Company assesses the environmental, social, and financial benefits and risks of all business decisions and believes this commitment to sustainability generates value and benefits for local communities and shareholders alike.

The Company’s approach to Indigenous and stakeholder engagement provides opportunities and benefits through:

■ the provision of jobs and training programs

■  contracting opportunities

■ capacity funding for Indigenous engagement

■ sponsorship of community events

■ supporting professional development opportunities, building cultural and community intelligence capacity.

Fury Gold Mines Limited

Management’s Discussion and Analysis of Financial Condition and

Results of Operations for the Three and Six Months Ended June 30, 2022

(Amounts expressed in thousands of Canadian dollars, unless otherwise noted)

7

The Company places a priority on creating mutually beneficial, long-term relationships with the communities in which it operates. Engagement goals include providing First Nations governments, communities, and residents with corporate and project-related information, including details of work programs, collaborative opportunities, and other activities being undertaken in the field.

During the three months ended June 30, 2022, the Company submitted its accreditation application for the Ecologo certification for mineral exploration. Ecologo is the first comprehensive certification for mineral exploration companies and their service providers that features third-party certification of environmental, social and economic practices in Quebec. Additionally, during the first quarter of 2022, the Company undertook a qualitative environmental, social and governance (“ESG”) assessment with Digbee, a technology company which provides qualitative assessment tools to mining companies to track their ESG achievements. Fury Gold received an overall score of BB with a range of CC to A broken down into a corporate score of BB with a range of B to A and a project score of BB with a range of CC to A for both the Eau Claire and Committee Bay projects. These results are considered strong for an exploration company and the Company is currently evaluating future initiatives to improve next year’s score.

4.1 Quebec

Fury Gold holds 100% interests in the Eau Claire project as well as interests in seven other properties covering approximately 93,000 hectares within the Eeyou Istchee James Bay region of Quebec. This includes a 38.12% joint venture interest in the ESJV, of which Fury Gold is the operator. The Eastmain Mine project along with the Ruby Hill East and Ruby Hill West projects are under option to Benz Mining Corp. (“Benz Mining”) whereby Benz Mining can earn a 75% interest in those properties, subject to certain option payments and exploration expenditures being met, with a further option to increase Benz Mining’s holding to 100% in the Eastmain Mine property upon receipt of a final milestone payment. Benz Mining currently acts as operator and is current with regards to all option payment and expenditure obligations.

4.1.1 Eau Claire

The Eau Claire project is located immediately north of the Eastmain reservoir, 10km northeast of Hydro Quebec’s EM-1 hydroelectric power facility, 80km north of the town of Nemaska, approximately 320km northeast of the town of Matagami, and 800km north of Montreal. This property consists of map-designated claims totaling approximately 23,000 hectares. These claims are held 100% by Fury Gold and are currently in good standing. Permits are obtained on a campaign basis for all surface exploration, particularly trenching and drilling, undertaken on the property.

The Eau Claire project is underlain by typical Archean greenstone assemblages of the Eastmain Greenstone Belt, which are composed of volcanic rocks of basaltic to rhyolitic composition and related clastic and chemical sedimentary rocks. These rocks have been intruded by an assemblage of mafic to felsic sills, stocks, and dykes. Metamorphism ranges from upper greenschist to amphibolite facies in the greenstone assemblages, while higher-grade facies, up to granulite level, typically characterize the Opinaca sub-province. Archean-aged deformation affects all rocks on the property. Near the Eau Claire deposit, the volcano-sedimentary assemblage has been folded, forming a closed antiform plunging gently to the west. Regional rock foliation and lithology are generally east-west in strike with moderate to sub-vertical southerly dips in the vicinity of the Eau Claire gold deposit.

In November 2020, Fury Gold commenced an ongoing 50,000m drill program at the Eau Claire project. The drill program consists of i) an expansion phase focused on expanding the current resource (“Expansion Program”); ii) an exploration phase designed to test targets along the 4.5km long deposit trend and iii) an exploration phase of drilling designed to test targets at the Percival prospect 14km east of the Eau Claire Deposit. Approximately 35,000m of drilling was completed in 2021. Additionally, during the third quarter of 2021, the Company completed biogeochemical surveys on three grids targeting six priority regional exploration targets including the Percival, Serendipity and Agua Clara prospects (“Regional Program”).

The focus of the 2022 exploration campaign is on the Expansion and Regional Programs and will initially consist of approximately 15,000m of drilling, focusing on extending the resource along the southeast margin of the Eau Claire deposit, expanding the recent discovery at the Western Hinge target, and testing the Percival discovery.

Fury Gold Mines Limited

Management’s Discussion and Analysis of Financial Condition and

Results of Operations for the Three and Six Months Ended June 30, 2022

(Amounts expressed in thousands of Canadian dollars, unless otherwise noted)

8

The Company expects to incur approximately $8,000 of expenditures during 2022 at Eau Claire, with approximately $3,400 incurred during the first six months of 2022.

Expansion program: The expansion program at the Eau Claire deposit targets the southeast margin of the existing inferred mineral resource, which is currently defined by 204,000 ounces (“oz”) at 11.81 g/t Au (using a 2.5 g/t Au cut-off grade). This drill program is designed to add ounces between defined resource blocks as well as to the east of the resource. To date, Fury Gold has drilled twenty holes targeting the southeast margin of the Eau Claire Resource with nine drill holes intersecting resource grade and width or higher including: 23.27 g/t Au over 7.09m, 11.56 g/t Au over 6.04m, 59.3 g/t Au over 1m, 8.87 g/t Au over 3m, 59.3 g/t Au over 0.96m and 4.89 g/t Au over 2.94m. Results from the four holes completed in 2022 are pending.

The Exploration drilling program along the Eau Claire deposit trend aims to significantly expand the Eau Claire deposit by testing a diverse set of targets. In 2022 the focus will be on two targets to the west (‘Hinge’ and ‘Limb’, collectively “Western Extension”). All exploration targets within the Deposit Trend have the potential to significantly expand the Eau Claire mineralized footprint. The potential for high-grade gold mineralization to continue down plunge and along strike to the east is supported by gradient array IP chargeability data where the intersection of primary and secondary shear zones has been imaged approximately 600m to 800m to the east of the existing limits of drilling at the Eau Claire deposit. The recently discovered Hinge target located on the western flank of the defined Eau Claire resource is characterized by a westerly plunging anticline that defines the overall geometry of the deposit. The anticline is interpreted to extend approximately one kilometre to the west based on geologic mapping and geophysical data that shows a westerly plunging conductivity anomaly imaging sediments hosted in the core of the fold. All four holes the Company completed in 2021 testing the Hinge geometry intercepted multiple zones of gold mineralization. Drill hole 21EC-041, the westernmost drill hole completed to date, intercepted seven zones of gold mineralization over a 110m drill width including 3.0m of 9.36 g/t gold, 3.0m of 3.38 g/t gold and 1.5m of 4.94 g/t gold.

On August 3, 2022, the Company announced results from seven drill holes, which the Company believes demonstrates the potential to significantly expand the deposit to the west at the Hinge Target. Drill holes 22EC-046, 22EC-047 and 22EC-048 targeted a 150 to 200m extension of the intercept of 3.0m of 9.36 g/t gold from drill hole 21EC-041 (see news release dated November 29, 2021). All three drill holes intercepted multiple zones of gold mineralization, with hole 22EC-048 exhibiting four zones of high grade and broad widths of more moderate grade, including 3.50m of 4.79 g/t gold, 1.00m of 14.19 g/t gold, 3.50m of 5.86 g/t gold, 1.00m of 20.6 g/t gold and 17.50m of 1.29 g/t Au. The Company believes these intercepts represent the apex of the targeted fold hinge and reflects the deposit geometry that the technical team believes could deliver significant resource growth. The Hinge Zone drilling to date demonstrates a potential 20%, or 330m, increase to the mineralized strike length of the Eau Claire Deposit with results pending from additional drill holes located 100 metres further west of the reported intercepts.

Regional Exploration: The Percival prospect, located 14km east of the Eau Claire deposit, is currently represented by a 400m by 100m mineralized footprint hosted within folded sulphidized and silicified breccias in an interbedded volcanic and sedimentary sequence. Previous geochemical surveys did not image the shallow gold mineralization represented by historical drill intercepts of 93.1m of 2.22 g/t Au, 9.0m of 6.26 g/t Au, 8.5m of 7.13 g/t Au and 2.0m of 8.47 g/t Au. An orientation survey, conducted in 2020, was able to successfully detect the gold mineralization at Percival through biogeochemistry sampling. In 2021 a biogeochemical survey covering 6.5km of prospective stratigraphy along the Percival trend identified 15 discrete gold and pathfinder anomalies(+/- As, Pb, Zn). Two of these anomalies were previously known prospects, Percival and Carodoc, the remaining 13 anomalies are new occurrences of gold and associated pathfinder mineralization.

A 28.89 line-km 2022 Induced Polarization ground geophysical survey completed along the Percival trend covered 8 of the 15 identified biogeochemical anomalies mentioned above. The survey identified discrete resistivity anomalies within a highly chargeable package of rocks. The resistivity anomalies fingerprint the sulphide-rich silica breccia gold-bearing bodies at Percival.

Targeting at Percival has significantly advanced recently with the completion of the Induced Polarization ground geophysical survey as well as a biogeochemical survey covering 6.5km of the Percival trend. The higher-grade Percival mineralization is sub-parallel to magnetic stratigraphic units that define a steeply plunging fold geometry. Targeting indicates there is the potential to extend high-grade mineralization down plunge from historical intercepts and in the newly identified parallel fold hinge 500m to the east of the known mineralization. A single historical drill hole intersected this parallel fold hinge and ended in 12m of alteration and mineralization similar to the halo observed around the Percival gold mineralization. The Company commenced an initial 6,500m drilling program at Percival in June 2022.

Fury Gold Mines Limited

Management’s Discussion and Analysis of Financial Condition and

Results of Operations for the Three and Six Months Ended June 30, 2022

(Amounts expressed in thousands of Canadian dollars, unless otherwise noted)

9

Quebec Project Maintenance

The Company expects to incur approximately $334 in mineral claims renewal fees in order to keep the properties in good standing, payable every two years. Cash payments of $60 were made during the six months ended June 30, 2022, in respect of these mineral claims, with $100 recognized in prepaid expenses as at June 30, 2022.

Eau Claire resource estimate and PEA technical report

The Eau Claire resource estimation and PEA were completed by P&E Mining Consultants Inc. (see the Technical Report, Updated Mineral Resource Estimate and Preliminary Economic Assessment on the Eau Claire Gold Deposit, Clearwater Property, Quebec, Canada, filed on SEDAR on July 3, 2018).

4.1.2 ESJV

Fury Gold owns a 38.12% interest in the ESJV project and is the operator of the joint venture. As at June 30, 2022 the ESJV was held by Fury Gold, Azimut  (23.77%), and Goldcorp Canada Ltd., a wholly owned subsidiary of Newmont (38.11%). Subsequently, on August 8, 2022, the Company announced it had entered into an agreement with Newmont to purchase Azimut’s interest in the project on a pro-rata basis (section 3.1). Following completion of the transaction, the Company’s and Newmont’s interests in the project will be 50.022% and 49.978%, respectively. The Company will remain as operator. 

The Éléonore South property is strategically located in an area of prolific gold mineralization within the Eeyou Istchee James Bay gold camp and is locally defined by Newmont’s Éléonore mine and Sirios Resources’ Cheechoo deposit. The property has been explored over the last 12 years by the joint venture with the majority of the exploration focused on the extension of the Cheechoo deposit through approximately 27,000m of drilling in 172 drill holes, covering only a small proportion of the property at the Moni and JT zones. Notable drill intercepts include 6.0m of 49.50 g/t Au, which included 1.0m of 294 g/t Au.

In December 2020, Fury Gold announced the identification of a large-scale gold in till anomaly on the Éléonore South property through a review of historical datasets. This target has not been drill tested. In September 2021 the ESJV initiated a field program designed to refine the broad geochemical anomaly into discrete targets for further follow up and eventual drill testing. Additionally, a regional survey was completed on the southern third of the property where no historical systematic sampling had been completed. Results from this program are currently being interpreted and will be used to guide the 2022-2023 exploration program which will aim to define drill targets.

4.2 Nunavut

4.2.1 Committee Bay

The Committee Bay project comprises approximately 280,000 hectares situated along the Committee Bay Greenstone Belt located 180 km northeast of the Meadowbank mine operated by Agnico Eagle Mines Limited.

The Committee Bay belt comprises one of a number of Archean-aged greenstone belts occurring within the larger Western Churchill province of northeastern Canada. The character and history of rock packages, and the timing and nature of mineralization occurring within the belt, are considered to be equivalent to that of other significant gold bearing Archean greenstones within the Western Churchill province, which hosts gold deposits such as Meadowbank, Meliadine, and Amaruq.

The Committee Bay project is held 100% by the Company, subject to a 1% Net Smelter Return (“NSR”), and an additional 1.5% NSR payable on only 7,596 hectares which may be purchased within two years of the commencement of commercial production for $2,000 for each one-third (0.5%) of the NSR.

The Company does not currently plan to undertake a 2022 exploration program at Committee Bay in order to focus available resources in Quebec.

Fury Gold Mines Limited

Management’s Discussion and Analysis of Financial Condition and

Results of Operations for the Three and Six Months Ended June 30, 2022

(Amounts expressed in thousands of Canadian dollars, unless otherwise noted)

10

Project Maintenance

The Company expects to incur approximately $112 in annual mineral claims expenditures in 2022, in order to keep the property in good standing.

Committee Bay resource estimate and technical report

Three Bluffs resource estimations were completed by Roscoe Postle Associates Inc. (“RPA”) (see the Technical Report on the Three Bluffs Project, Nunavut Territory, Canada, filed on SEDAR on May 31, 2017, as amended October 23, 2017).

4.2.2 Gibson MacQuoid

The Gibson MacQuoid project is an early-stage gold exploration project situated between the Meliadine deposit and Meadowbank mine in Nunavut, Canada. The 66 mineral claims that make up the project encompass approximately 120 km of strike length of the prospective greenstone belt and total 51,622 hectares collectively. The Gibson MacQuoid Greenstone belt is one of a number of Archean-aged greenstone belts located in the Western Churchill province of northeastern Canada. These gold bearing Archean greenstone belts host deposits such as the Three Bluffs, Meadowbank, Amaruq, and Meliadine deposits. In particular, the highly magnetic signature of the Gibson MacQuoid Belt is consistent with the other productive greenstone belts in the eastern Arctic that host large-scale gold deposits.

The Company does not currently plan to undertake a 2022 exploration program at Gibson MacQuoid in order to focus available resources in Quebec.

Fury Gold Mines Limited

Management’s Discussion and Analysis of Financial Condition and

Results of Operations for the Three and Six Months Ended June 30, 2022

(Amounts expressed in thousands of Canadian dollars, unless otherwise noted)

11

Section 5: Review of quarterly financial information

Three months ended:	Interest income		(Earnings) loss from continuing operations			Loss from discontinued operations		Comprehensive (income) loss			(Earnings) loss per share ($/share)
June 30, 2022	$	45	$	5,577		$	-	$	5,577		$	0.04
March 31, 2022		4		(45,636	)				(45,636	)		(0.37	)
December 31, 2021		3		298			-		298			0.00
September 30, 2021		4		7,507			-		7,507			0.06
June 30, 2021		9		4,060			-		4,060			0.03
March 31, 2021		20		4,925			-		4,925			0.04
December 31, 2020		26		5,306			-		5,468			0.05
September 30, 2020		14		1,854			1,644		3,517			0.05

5.1 Three months ended June 30, 2022 compared to three months ended June 30, 2021

During the three months ended June 30, 2022, the Company reported total net loss of $5,577 and loss per share of $0.04 compared to a total net loss of $4,060 and loss per share of $0.03 for the three months ended June 30, 2021. The significant drivers of total net loss were as follows:

Operating expenses:

■   Exploration and evaluation costs decreased to $2,814 for the three months ended June 30, 2022 compared to $3,542 for the three months ended June 30, 2021. The decrease resulted from the 2022 drilling program commencing in April, initially with one rig on site, with a second drill added in June, as compared to the three months ended June 30, 2021, when two drills were operating throughout the quarter. As well, mobilization costs were incurred in the comparative quarter in respect of the 2021 summer program at Committee Bay;

■   Fees, salaries, and other employment benefits increased to $984 for the three months ended June 30, 2022 compared to $931 for the three months ended June 30, 2021. The increase in costs resulted from bonus payments offset in part by lower share-based compensation expense which was $433 for the second quarter of 2022 as compared to $478 for the comparative period and lower headcount as a result of cost-savings measures implemented in the third quarter of 2021;

■   Legal and professional fees decreased to $378 for the three months ended June 30, 2022 compared to $453 for the three months ended June 30, 2021. The higher costs in the comparative period were primarily due to the preparation of the Company’s base shelf prospectus, with the final prospectus filed in May 2021; and

■   Marketing and investor relations costs increased to $338 for the three months ended June 30, 2022 compared to $193 for the three months ended June 30, 2021. The increase in costs was mainly due to the return to in-person conferences and associated travel costs and timing of certain marketing campaigns.

Other income, net:

■ Net loss from associates of $1,441 comprising the Company’s share of net losses of Dolly Varden and UMS of $1,406 and $35, respectively; and

■   Amortization of flow-through share premium of $1,011 for the three months ended June 30, 2022 as compared to $1,332 for the three months ended June 30, 2021, reflecting the lower exploration activity at Eau Claire in the second quarter of 2022.

Fury Gold Mines Limited

Management’s Discussion and Analysis of Financial Condition and

Results of Operations for the Three and Six Months Ended June 30, 2022

(Amounts expressed in thousands of Canadian dollars, unless otherwise noted)

12

5.2 Six months ended June 30, 2022 compared to six months ended June 30, 2021

During the six months ended June 30, 2022, the Company reported net earnings of $40,059 and earnings per share of $0.31 compared to a total net loss of $8,985 and loss per share of $0.08 for the six months ended June 30, 2021. The significant drivers of changes from net loss to net income were as follows:

Operating expenses:

■ Exploration and evaluation costs decreased to $4,086 for the six months ended June 30, 2022 compared to $7,230 for the six months ended June 30, 2021. The decrease resulted from the 2022 drilling campaign commencing in April, with the first three months of 2022 primarily focused on geophysical surveying; in comparison the 2021 drilling campaign was operating throughout the first six months of 2021;

■   Fees, salaries, and other employment benefits decreased to $1,742 for the six months ended June 30, 2022 compared to $2,192 for the six months ended June 30, 2021. The decrease in costs resulted from lower headcount and lower share-based compensation expense which was $800 for the first six months of 2022 as compared to $1,184 for the comparative period;

■   Legal and professional fees decreased to $614 for the six months ended June 30, 2022 compared to $1,370 for the six months ended June 30, 2021. The higher costs in the comparative period were primarily due to the preparation of the Company’s base shelf prospectus, with the final prospectus filed in May 2021, and compliance costs associated with the establishment of the new company; and

■ Marketing and investor relations costs decreased to $556 for the six months ended June 30, 2022 compared to $785 for the six months ended June 30, 2021. The decrease in costs was due to a reduction in marketing campaigns undertaken in 2022 as compared to the first six months of 2021 which saw significant marketing activity in the first quarter of 2021.

Other income, net:

■ A net gain of $48,390 recognized on the sale of Homestake Resources to Dolly Varden. The gain recognized was comprised of cash proceeds of $5,000 and the fair value of the 76,504,590 common shares of Dolly Varden, calculated based on the market value of the common shares on date of closing, net of transaction costs;

■ Net loss from associates of $1,890 comprising the Company’s share of net losses of Dolly Varden and UMS of $1,855 and $35, respectively; and

■ Amortization of flow-through share premium of $1,414 for the six months ended June 30, 2022 as compared to $2,555 for the six months ended June 30, 2021, reflecting the lower exploration activity at Eau Claire.

Income tax refunded:

■ The Company received $187 in refundable exploration tax credits during the six months ended June 30, 2022, as compared to $1,717 in refundable exploration tax credits in the comparative period.

Fury Gold Mines Limited

Management’s Discussion and Analysis of Financial Condition and

Results of Operations for the Three and Six Months Ended June 30, 2022

(Amounts expressed in thousands of Canadian dollars, unless otherwise noted)

13

5.3 Summary of project costs

During the six months ended June 30, 2022, the Company’s mineral properties decreased to $143,510 compared to $160,693 as at December 31, 2021, primarily due to the sale of the Homestake Ridge property to Dolly Varden, as described in Section 2.1.

	Quebec			Nunavut			British Columbia			Total
Balance at December 31, 2021	$	125,094		$	19,139		$	16,460		$	160,693
Sale of Homestake Ridge		-			-			(16,460	)		(16,460	)
Change in estimate of provision for site reclamation and closure		(391	)		(332	)		-			(723	)
Balance at June 30, 2022	$	124,703		$	18,807		$	-		$	143,510
During the three and six months ended June 30, 2022, the Company’s exploration expenditures were:
	Quebec			Nunavut			British Columbia			Total
Assaying	$	267		$	10		$	-		$	277
Exploration drilling		699			-			-			699
Camp cost, equipment, and field supplies		319			39			-			358
Geological consulting services		30			2			-			32
Geophysical analysis		7			-			-			7
Permitting, environmental and community costs		63			60			-			123
Expediting and mobilization		4			-			-			4
Salaries and wages		768			20			-			788
Fuel and consumables		187			-			-			187
Aircraft and travel		144			-			-			144
Share-based compensation		190			5			-			195
Three months ended June 30, 2022	$	2,678		$	136		$	-		$	2,814

	Quebec		Nunavut		British Columbia		Total
Assaying	$	429	$	28	$	2	$	459
Exploration drilling		713		-		-		713
Camp cost, equipment, and field supplies		450		97		10		557
Geological consulting services		6		4		-		10
Geophysical analysis		127		-		-		127
Permitting, environmental and community costs		92		119		-		211
Expediting and mobilization		6		-		-		6
Salaries and wages		1,211		34		1		1,246
Fuel and consumables		267		-		-		267
Aircraft and travel		163		-		-		163
Share-based compensation		320		6		1		327
Six months ended June 30, 2022	$	3,784	$	288	$	14	$	4,086

Fury Gold Mines Limited

Management’s Discussion and Analysis of Financial Condition and

Results of Operations for the Three and Six Months Ended June 30, 2022

(Amounts expressed in thousands of Canadian dollars, unless otherwise noted)

14

Section 6: Financial position, liquidity, and capital resources

	At June 30 2022		At December 31 2021
Cash	$	12,361	$	3,259
Restricted cash		159		130
Other assets		2,251		2,936
Mineral property interests		143,510		160,693
Investment in associate		58,700		-
Current liabilities		3,784		5,116
Non-current liabilities		3,792		4,547

6.1 Financial position and liquidity

As at June 30, 2022, the Company had unrestricted cash of $12,361 (December 31, 2021 – unrestricted cash of $3,259), working capital surplus of $9,696 (December 31, 2021 – working capital deficit of $428), which the Company defines as current assets less current liabilities, and an accumulated deficit of $116,690 (December 31, 2021 – $156,749). The Company notes that the flow-through share premium liability which represents $1,710 (December 31, 2021 – $3,124) of current liabilities and included in working capital is not settled through cash payment. Instead, this balance is amortized against qualifying flow-through expenditures which are required to be incurred before December 31, 2022.

On February 25, 2022, the Company completed the sale of Homestake for cash proceeds of $5,000 and 76,504,590 common shares of Dolly Varden, which have a 12-month restriction on trading. The fair value of the common shares of Dolly Varden held by the Company at June 30, 2022 was $52,788, based on the trading market value of the Dolly Varden common shares at that date.

6.1.1 Contractual commitments

In the normal course of business, the Company enters into contracts that give rise to commitments for future minimum payments. The following table summarizes the remaining contractual maturities of the Company’s financial liabilities and commitments as at June 30, 2022, shown in contractual undiscounted cashflows:

	Within 1 year		2 to 3 years		Over 3 years		At June 30 2022
Accounts payable and accrued liabilities	$	1,894	$	-	$	-	$	1,894
Quebec flow-through expenditure requirements		3,992		-		-		3,992
Undiscounted lease payments		249		346		-		595
Total	$	6,135	$	346	$	-	$	6,481

The Company entered into a drilling contract in November 2020, for which the Company has committed to drill a total of 50,000m. As at June 30, 2022, the Company remains obligated to drill approximately 9,000m in Quebec. The expenditures for the remaining drilling metres will be applied against the flow-through expenditure requirements included in the table above.

Additionally, to maintain the Company’s properties in good standing order, the Company is required to make certain mineral claims payments on an annual or bi-annual basis. The Company estimates that $235 of payments arising on mineral claims and leases will be payable during the year ended December 31, 2022.

As well, the Company is committed to certain office rental expense in respect of shared head office premises as noted in section 8.

Fury Gold Mines Limited

Management’s Discussion and Analysis of Financial Condition and

Results of Operations for the Three and Six Months Ended June 30, 2022

(Amounts expressed in thousands of Canadian dollars, unless otherwise noted)

15

6.1.2 Cash flows

Cash flows from continuing operations:	Three months ended June 30						Six months ended June 30
	2022			2021			2022			2021
Cash (used in) operating activities	$	(3,393	)	$	(4,850	)	$	(6,091	)	$	(8,710	)
Cash (used in) provided by investing activities		(45	)		(4	)		4,438			(1,262	)
Cash provided by financing activities		10,801			91			10,755			63

Operating activities:

■ During the three months ended June 30, 2022, the Company used cash of $3,393 in operating activities compared to $4,850 during the three months ended June 30, 2021. The cash outflow for the second quarter of 2022 was lower primarily due to the lower exploration activity and a reduction in legal and professional fees; and

■ During the six months ended June 30, 2022, the Company used cash of $6,091 in operating activities compared to $8,710 during the six months ended June 30, 2021. The cash outflow was lower in 2022 due to the temporary pause on drilling in the first three months of 2022, with drilling recommencing in April 2022, and a reduction in corporate costs following the implementation of certain cost-saving initiatives implemented in the second half of 2021, offset by the lower tax credit refund of $187 received during the six months ended June 30, 2022 as compared to a $1,717 tax credit refund received in the comparative period.

Investing activities:

■ During the three months ended June 30, 2022, the Company used cash in investing activities of $45 as compared to cash used in investing activities of $4 during the three months ended June 30, 2021. The Company exercised 500,000 common share warrants in Benz Mining for total proceeds of $60 during the second quarter of 2022, which was offset in part by interest income. In the comparative period the Company acquired certain equipment of $13, offset in part by interest income of $9; and

■ During the six months ended June 30, 2022, the Company generated cash from investing activities of $4,438, primarily representing the cash proceeds, net of transaction costs, arising from the Dolly Varden transaction. During the six months ended June 30, 2021, the Company used cash in investing activities of $1,262 which was primarily settlement of certain transaction costs arising from the acquisition of Eastmain Resources Inc in October 2020.

Financing activities:

■ For the three and six months ended June 30, 2022, cash provided by financing activities of $10,801 and $10,755, respectively, primarily represented the net proceeds received in respect of the April 2022 financing. For the three and six months ended June 30, 2021, cash provided by financing activities of $91 and $63, respectively was comprised of proceeds from option and warrants exercises offset in part by office lease payments.

6.2 Capital resources

The Company proactively manages its capital resources and makes adjustments in light of changes in the economic environment and the risk characteristics of the Company’s assets. To effectively manage its capital requirements, the Company has in place a budgeting and cash management process to help determine the funds required to ensure the Company has the appropriate liquidity to meet its current project plans and achieve its growth objectives. The Company ensures that there is sufficient liquidity available to meet its short-term business requirements, including contractual commitments, taking into account its anticipated cash outflows from exploration activities and its holdings of cash and marketable securities. The Company monitors and adjusts, when required, these exploration programs as well as corporate administrative costs to ensure that adequate levels of working capital are maintained.

Fury Gold Mines Limited

Management’s Discussion and Analysis of Financial Condition and

Results of Operations for the Three and Six Months Ended June 30, 2022

(Amounts expressed in thousands of Canadian dollars, unless otherwise noted)

16

As at the date of this MD&A, the Company expects its existing capital resources to support certain planned activities for the next 12 months at the Eau Claire project, which are set out herein, and short-term contractual commitments. The Company’s ability to undertake further project expansionary plans is dependent upon the Company’s ability to obtain adequate financing in the future. While the Company has been successful at raising capital in the past, there can be no assurance that the Company will have sufficient financing to meet its future capital requirements or that additional financing will be available on terms acceptable to the Company in the future.

6.2.1 Financings and use of proceeds

April 2022 financing

On April 14, 2022, the Company completed a non-brokered private placement with two placees comprised of a Canadian corporate investor and a US institutional investor, for a Private Placement of 13.75 million common shares of the Company at a price of $0.80 per share for proceeds of $11,000. Proceeds from the Private Placement will be used to fund continued exploration at the Company’s Eau Claire project in Quebec.

	Number of common shares		Impact on share capital
Common shares issued at $0.80 per share		13,750,000	$	11,000
Share issue costs		-		(136	)
Proceeds net of share issue costs		13,750,000	$	10,864

October 2021 offering

The Company completed a non-brokered private placement on October 13, 2021 (“October 2021 Offering”) for gross proceeds of $5,596 which was closed in two tranches and consisted of 7,461,450 units priced at $0.75 per share. Each unit consisted of one common share of Fury Gold and one warrant entitling the holder to purchase one warrant share at a price of $1.20 for a period of three years. The expiry date of the warrants can be accelerated to 30 days with notice from the Company should the common shares trade after the expiry of the four-month hold period at a price equal to or greater than $1.50 for 20 consecutive trading days.

Share issue costs related to the October 2021 Offering totaled $211, which included $68 in commissions and $143 in other issuance costs. A reconciliation of the impact of the private placement on share capital is as follows:

	Number of common shares		Impact on share capital
Common shares issued at $0.75 per share		7,461,450	$	5,596
Share issue costs		-		(211	)
Proceeds net of share issue costs		7,461,450	$	5,385

The proceeds of the October 2021 financing were used to fund exploration at Eau Claire and general working capital.

Fury Gold Mines Limited

Management’s Discussion and Analysis of Financial Condition and

Results of Operations for the Three and Six Months Ended June 30, 2022

(Amounts expressed in thousands of Canadian dollars, unless otherwise noted)

17

Exercise of share options and warrants

During the three and six months ended June 30, 2022, there were no exercises of share options and warrants.

As at June 30, 2022, the share options and warrants outstanding were as follows:

		Share options outstanding						Share options exercisable
Exercise price ($/option)		Number of shares		Weighted average exercise price ($/option)		Weighted average remaining life (years)		Number of shares		Weighted average exercise price ($/option)		Weighted average remaining life (years)
$0.56 – $1.95			6,185,969		1.12		3.97		3,140,970		1.22		3.39
$2.05 – $3,26			2,847,703		2.19		3.06		2,847,703		2.19		3.06
$	8.23		2,917		8.23		0.20		2,917		8.23		0.20
			9,036,589		1.46		3.68		5,991,590		1.68		3.23

Expiry date	Warrants outstanding		Exercise price ($/share)
September 12, 2022		337,813		2.96
October 6, 2024		5,085,670		1.20
October 12, 2024		2,375,780		1.20
Total		7,799,263		1.28

As at August 11, 2022, there were 9,036,589 and 7,799,263 of share options and warrants outstanding, respectively, with a weighted average exercise price of $1.46 and $1.28, respectively.

6.3 Capital structure

Authorized: Unlimited common shares without par value. Unlimited preferred shares – nil issued and outstanding.

Number of common shares issued and outstanding as at June 30, 2022:139,470,950

Number of common shares issued and outstanding as at August 11, 2022: 139,470,950

Section 7: Financial risk summary

As at June 30, 2022, the Company’s financial instruments consist of cash, marketable securities, accounts receivable, deposits, and accounts payable and accrued liabilities. The fair values of these financial instruments, other than the marketable securities, approximate their carrying values due to their short term to maturity. The Company’s marketable securities, representing investments held in publicly traded entities, were classified as level 1 of the fair value hierarchy and measured at fair value using their quoted market price at period end.

The Company’s financial instruments are exposed to certain financial risks, primarily liquidity risk and market risk. Details of the primary financial risks that the Company is exposed to are available in the notes to the Company’s condensed interim consolidated financial statements for the three and six months ended June 30, 2022.

Fury Gold Mines Limited

Management’s Discussion and Analysis of Financial Condition and

Results of Operations for the Three and Six Months Ended June 30, 2022

(Amounts expressed in thousands of Canadian dollars, unless otherwise noted)

18

Section 8: Related party transactions and balances

UMS:

Under the shared services arrangements with UMS as described in section 2.2, all transactions have occurred in the normal course of operations, and the shared costs are considered by management to be priced at equal to or better than would be the fair market rates for the shared services. All amounts owing to or from UMS are unsecured, non-interest bearing, and have no specific terms of settlement, unless otherwise noted.

	Three months ended June 30					Six months ended June 30
	2022		2021			2022		2021
Universal Mineral Services Ltd.(1)
Exploration and evaluation costs	$	252	$	82		$	303	$	132
Marketing and investor relations		5		(15	)		5		8
General and administration		233		79			351		137
Total transactions for the period	$	490	$	146		$	659	$	277

The outstanding balance owing at June 30, 2022, was $237 (December 31, 2021 – $142) which is included in accounts payable. In addition, the Company had $19 in current prepaids (December 31, 2021 – $56) representing certain geological software licenses purchased on behalf of the Company by UMS, and which are amortized over twelve months.

The Company is contractually obligated to provide for a certain share, estimated annually, of the operating expenses of UMS, specifically in respect of a ten-year office lease which was entered into on July 1, 2021. As at June 30, 2022, the Company expects to incur approximately $556 in respect of its share of future rental expense.

Key management personnel

Key management personnel include Fury Gold’s board of directors and certain executive officers of the Company, including the Chief Executive Officer and Chief Financial Officer.

On April 1, 2022, the Company entered into a shared services agreement with UMS, in which the Company acquired a 25% interest, and three other mineral exploration companies, two of which were spun off from the Company in 2020. Under the shared services agreement, the Company’s CFO, Senior Vice President, Exploration, and Chief Geological Officer terminated their direct employment status with the Company, became employed by UMS and then entered into secondment employment arrangements between the Company and UMS.

The remuneration of the Company’s key management personnel was as follows:

	Three months ended June 30				Six months ended June 30
	2022		2021(b)		2022		2021(b)
Short-term benefits provided to executives(a)	$	545	$	231	$	777	$	548
Directors’ fees paid to non-executive directors		53		55		100		107
Share-based payments		430		391		743		1,054
Total	$	1,028	$	677	$	1,620	$	1,709

^(a) Short-term employee benefits include salaries, bonuses payable within twelve months of the date of the condensed interim consolidated statement of financial position, and other annual employee benefits.

^(b) As a result of the acquisition of Eastmain and the formation of a new board of directors and management team, certain former key management personnel of the Company were provided with transition contracts to support the formation of Fury Gold until April 2021. For the three and six months ended June 30, 2021, $9 and $96 of short-term benefits, respectively, and $nil and $54 of share-based payment expense were recognized in the condensed interim consolidated statements of (earnings) loss and comprehensive (income) loss in respect of these transition arrangements.

Fury Gold Mines Limited

Management’s Discussion and Analysis of Financial Condition and

Results of Operations for the Three and Six Months Ended June 30, 2022

(Amounts expressed in thousands of Canadian dollars, unless otherwise noted)

19

Section 9: Critical accounting estimates and judgements

The preparation of financial statements in conformity with IFRS requires management to select accounting policies and make estimates and judgments that may have a significant impact on the consolidated financial statements. Estimates are continuously evaluated and are based on management’s experience and expectations of future events that are believed to be reasonable under the circumstances. Actual outcomes may differ from these estimates.

In preparing the Company’s condensed interim consolidated financial statements for the three and six months ended June 30, 2022, the Company applied the critical accounting estimates and judgements disclosed in note 5 of its consolidated financial statements for the year ended December 31, 2021 except as noted below:

Investments in associates

The Company conducts a portion of its business through equity interests in associate. An associate is an entity over which the Company has significant influence and is neither a subsidiary nor a joint venture. The Company has significant influence when it has the power to participate in the financial and operating policy decisions of the associate but does not have control or joint control over those policy decisions.

The Company accounts for its investments in associates using the equity method. Under the equity method, the Company’s investment in an associate is initially recognized at cost and subsequently increased or decreased to recognize the Company’s share of earnings and losses of the associate, after any adjustments necessary to give effect to uniform accounting policies, and for impairment losses after the initial recognition date. The Company’s share of an associate’s losses that are in excess of its investment in the associate are recognized only to the extent that the Company has incurred legal or constructive obligations or made payments on behalf of the associate. The Company’s share of earnings and losses of its associates are recognized in net (earnings)/loss during the period.

New accounting standards and policies

The Company did not adopt any new accounting standards or policies during the quarter, and the accounting policies applied in preparing the Company’s condensed interim consolidated financial statements for the three and six months ended June 30, 2022 were consistent with those disclosed in note 3 of its consolidated financial statements for the year ended December 31, 2021.

New and amended standards not yet effective

Certain pronouncements have been issued by the IASB that are mandatory for accounting periods beginning after December 31, 2022. The Company has not early adopted any of these pronouncements, and they are not expected to have a significant impact in the foreseeable future on the Company’s consolidated financial statements once adopted.

Fury Gold Mines Limited

Management’s Discussion and Analysis of Financial Condition and

Results of Operations for the Three and Six Months Ended June 30, 2022

(Amounts expressed in thousands of Canadian dollars, unless otherwise noted)

20

Section 10: Controls and procedures

Disclosure controls and procedures

Disclosure controls and procedures (“DC&P”) are designed to provide reasonable assurance that information required to be disclosed in reports filed with, or submitted to, securities regulatory authorities is recorded, processed, summarized and reported within the time periods specified under Canadian and U.S. securities laws. As of December 31, 2021, an evaluation was carried out under the supervision of, and with the participation of, the Company’s management, including the CEO and CFO, of the effectiveness of the Company’s DC&P, as defined in the applicable Canadian and U.S. securities laws. Based on that evaluation, the CEO and CFO concluded that such DC&P are effective as of December 31, 2021. No changes have occurred in the Company’s DC&P during the three months ended June 30, 2022 that have materially affected, or are reasonably likely to materially affect, the Company’s disclosure controls and procedures.

Internal control over financial reporting

Internal control over financial reporting (“ICFR”) includes those policies and procedures that:

■ pertain to the maintenance of records that in reasonable detail accurately and fairly reflect the transactions and dispositions of the assets of the Company;

■ provide reasonable assurance that transactions are recorded as necessary to permit preparation of consolidated financial statements in accordance with IFRS, and that receipts and expenditures of the Company are being made only in accordance with authorizations of management and directors of the Company; and

■ provide reasonable assurance regarding prevention or timely detection of unauthorized acquisition, use, or disposition of the Company assets, or incurring liabilities or other obligations that could have a material effect on the consolidated financial statements.

It is management’s responsibility to establish and maintain adequate ICFR to provide reasonable assurance regarding the reliability of financial reporting and the preparation of consolidated financial statements for external purposes in accordance with IFRS.

The Company’s management, including the Company’s CEO and CFO, assessed the effectiveness of the Corporation’s ICFR as of December 31, 2021, based on the criteria set forth in Internal Control - Integrated Framework (2013) issued by the Committee of Sponsoring Organizations of the Treadway Commission. Based on this assessment, management concluded that, as of December 31, 2021, the Company’s ICFR was effective. No changes have occurred in the Company’s ICFR during the three months ended June 30, 2022 that have materially affected, or are reasonably likely to materially affect, the Company’s internal control over financial reporting.

Additional disclosures pertaining to the Company’s management information circulars, material change reports, press releases, and other information are available on SEDAR at www.sedar.com.

On behalf of the Board of Directors,

“Forrester A. Clark”       

Forrester A. Clark

Director & CEO

August 11, 2022

Fury Gold Mines Limited

Management’s Discussion and Analysis of Financial Condition and

Results of Operations for the Three and Six Months Ended June 30, 2022

(Amounts expressed in thousands of Canadian dollars, unless otherwise noted)

21

EX-99.3

EXHIBIT 99.3

Form 52-109F2

Certification of Interim Filings

Full Certificate

I, Forrester A. Clark, Chief Executive Officer of Fury Gold Mines Limited., certify the following:

1.	Review: I have reviewed the interim financial report and interim MD&A (together, the “interim filings”) of Fury Gold Mines Limited (the “issuer”) for the interim period ended June 30, 2022.
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 based on Internal Control – Integrated Framework (2013) published by the Committee of Sponsoring Organizations of the Treadway Commission.
5.2	ICFR – material weakness relating to design: NA
5.3	Limitation on scope of design: NA
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 March 31, 2022 and ended on June 30, 2022 that has materially affected, or is reasonably likely to materially affect, the issuer’s ICFR.

Date: August 11, 2022

Signed “Forrester A. Clark”

_______________________

Forrester A. Clark

Chief Executive Officer

EX-99.4

EXHIBIT 99.4

Form 52-109F2

Certification of Interim Filings

Full Certificate

I, Lynsey Sherry, Chief Financial Officer of Fury Gold Mines Limited, certify the following:

1.	Review: I have reviewed the interim financial report and interim MD&A (together, the “interim filings”) of Fury Gold Mines Limited (the “issuer”) for the interim period ended June 30, 2022.
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 based on Internal Control – Integrated Framework (2013) published by the Committee of Sponsoring Organizations of the Treadway Commission.
5.2	ICFR – material weakness relating to design: NA
5.3	Limitation on scope of design: NA
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 March 31, 2022 and ended on June 30, 2022 that has materially affected, or is reasonably likely to materially affect, the issuer’s ICFR.

Date: August 11, 2022

Signed “Lynsey Sherry”

_______________________

Lynsey Sherry

Chief Financial Officer

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Cover	Aug. 05, 2022
Cover [Abstract]
Entity Registrant Name	Fury Gold Mines Limited
Entity Central Index Key	0001514597
Document Type	6-K
Amendment Flag	false
Current Fiscal Year End Date	--12-31
Document Period End Date	Aug. 05, 2022
Document Fiscal Period Focus	Q2
Document Fiscal Year Focus	2022
Entity File Number	001-38145
Entity Address Address Line 1	1630-1177 West Hastings Street
Entity Address City Or Town	Vancouver
Entity Address State Or Province	BC
Entity Address Postal Zip Code	V6E 2K3

XML

Consolidated Statements of Financial Position $ in Thousands	Jun. 30, 2022 CAD ($)	Dec. 31, 2021 CAD ($)
Current assets:
Cash	$ 12,361,000	$ 3,259,000
Marketable securities	439,000	605,000
Accounts receivable	358,000	322,000
Prepaid expenses and deposits	322,000	502,000
Total current assets	13,480,000	4,688,000
Non-current assets:
Restricted cash	159,000	130,000
Accounts receivable	0	50,000
Prepaid expenses and deposits	45,000	266,000
Property and equipment	1,087,000	1,191,000
Mineral property interests	143,510,000	160,693,000
Investments in associates	58,700,000	0
Total noncurrent assets	203,501,000	162,330,000
Total assets	216,981,000	167,018,000
Current liabilities:
Accounts payable and accrued liabilities	1,894,000	1,888,000
Lease liability	180,000	104,000
Flow-through share premium liability	1,710,000	3,124,000
Total current liabilities	3,784,000	5,116,000
Non-current liabilities:
Lease liability	284,000	357,000
Provision for site reclamation and closure	3,508,000	4,190,000
Total liabilities	7,576,000	9,663,000
Equity:
Share capital	306,328,000	295,464,000
Share option and warrant reserve	19,767,000	18,640,000
Deficit	(116,690,000)	(156,749,000)
Total equity	209,405,000	157,355,000
Total liabilities and equity	$ 216,981,000	$ 167,018,000

XML

Consolidated Statements of Loss and Comprehensive Loss	3 Months Ended		6 Months Ended
	Jun. 30, 2022 CAD ($) $ / shares	Jun. 30, 2021 CAD ($) $ / shares	Jun. 30, 2022 CAD ($) $ / shares	Jun. 30, 2022 USD ($)	Jun. 30, 2021 CAD ($) $ / shares
Consolidated Statements of Loss and Comprehensive Loss
Exploration and evaluation costs	$ 2,814,000	$ 3,542,000	$ 4,086,000	$ 4,086,000
Operating expenses:
Fees, salaries and other employee benefits	984,000	931,000	1,742,000		$ 2,192,000
Legal and professional fees	378,000	453,000	614,000		1,370,000
Marketing and investor relations	338,000	193,000	556,000		785,000
Insurance	193,000	132,000	386,000		265,000
Office and administration	76,000	160,000	212,000		360,000
Regulatory and compliance	87,000	131,000	156,000		248,000
Operating expenses	4,870,000	5,542,000	7,752,000		12,450,000
Other expenses (income):
Net gain on disposition of mineral interests	0	0		(48,390)	0
Unrealized net gain on marketable securities	271,000	226,000	190,000		(742,000)
Net loss from associates	1,441	0		1,890	0
Amortization of flow-through share premium	(1,011,000)	(1,332,000)	(1,414,000)		(2,555,000)
Accretion of provision for site reclamation and closure	23,000	19,000	40,000		32,000
Interest expense	48,000	25,000	69,000		51,000
Interest income	(45,000)	(49,000)	(9,000)		(29,000)
Foreign exchange loss	(2,000)	(5,000)	(4,000)		(11,000)
Loss from discontinued operations	729,000	(1,482,000)	(47,624,000)		(1,748,000)
Loss (earnings) before taxes	5,599,000	4,060,000		$ (39,872)	10,702
Income tax refunded	(22,000)	0	(187,000)		(1,717,000)
Net loss	5,577,000	4,060,000	(40,059,000)		8,985,000
Other comprehensive (income) loss, net of tax:
Total comprehensive loss for the period	$ 5,577,000	$ 4,060,000	$ (40,059,000)		$ 8,985,000
Basic loss (earnings) per share | $ / shares	$ 0.04	$ 0.03	$ 0.31		$ 0.08
Diluted loss (earnings) per share | $ / shares	$ 0.04	$ 0.03	$ 0.29		$ 0.08

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Consolidated Statements of Equity $ in Thousands	CAD ($)	USD ($)	Number of Common Shares shares	Share Capital CAD ($)	Share Capital USD ($)	Share Option and Warrant Reserve CAD ($)	Share Option and Warrant Reserve USD ($)	Deficit CAD ($)	Deficit USD ($)
Balance, shares at Dec. 31, 2020			117,823,857,000
Balance, amount at Dec. 31, 2020 | $		$ 166,272			$ 294,710		$ 11,521		$ (139,959)
Statement [Line Items]
Total comprehensive income | $		(8,985)			0		0		(8,985)
Share options exercised, shares			5,834,000
Share options exercised, Amount		5			6		(1)	$ 0
Warrants exercised, shares			101,042,000
Warrants exercised, amount		147			159		(12)	0
Share-based compensation		1,533		$ 0			1,533	0
Balance, amount at Jun. 30, 2021 | $		158,972			294,875		13,041		(148,944)
Balance, shares at Jun. 30, 2021			117,930,733
Balance, shares at Dec. 31, 2021			125,720,950
Balance, amount at Dec. 31, 2021 | $	$ 157,355,000			295,464		$ 18,640		$ (156,749)
Statement [Line Items]
Total comprehensive income		40,059		$ 0		$ 0			40,059
Share-based compensation | $		1,127			0		1,127		0
Shares issued pursuant to offering, net of share issue costs, shares			13,750,000,000
Shares issued pursuant to offering, net of share issue costs, amount | $		10,864			10,864		0		0
Balance, amount at Jun. 30, 2022	$ 209,405,000	$ 209,405			$ 306,328		$ 19,767		$ (116,690)
Balance, shares at Jun. 30, 2022			139,470,950,000

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Consolidated Statements of Cash Flows	3 Months Ended				6 Months Ended
	Jun. 30, 2022 CAD ($)	Jun. 30, 2022 USD ($)	Jun. 30, 2021 CAD ($)	Jun. 30, 2021 USD ($)	Jun. 30, 2022 CAD ($)	Jun. 30, 2022 USD ($)	Jun. 30, 2021 CAD ($)	Jun. 30, 2021 USD ($)
Operating activities:
Loss for the year from continuing operations		$ (5,577,000)		$ (4,060,000)	$ 40,059,000		$ (8,985,000)
Adjusted for:
Interest income	$ (45,000)		$ (9,000)		(49,000)		(29,000)
Items not involving cash:
Net gain on disposition of mineral interests	0		0		(48,390,000)		0
Unrealized net loss (gain) on marketable securities	271,000		(190,000)			$ 226,000		$ 742,000
Depreciation	100,000		97,000		186,000		187,000
Net loss from associates	1,441		0			1,890	0
Amortization of flow-through share premium	(1,011,000)		(1,332,000)		(1,414,000)		(2,555,000)
Accretion of provision for site reclamation and closure	23,000		19,000		40,000		32,000
Share-based compensation	628,000		620,000		1,127,000		1,533,000
Interest expense on lease liability	21,000		25,000			42,000		51,000
Other	6,000		19,000		6,000		(19,000)
Changes in non-cash working capital	750,000		(1,000)		186,000		333,000
Cash used in operating activities, continuing operations	3,393,000		(4,850,000)		(6,091,000)		(8,710,000)
Investing activities:
Interest received	45,000		9,000		49,000		29,000
Acquisition of Eastmain, net of cash acquired	0		0		0		(1,209,000)
Proceeds from disposition of mineral interests, net of transaction costs	0		0			4,479	0
Marketable securities addition	(60,000)		0		(60,000)		0
Acquisition of Universal Mineral Services	(1)		0			$ (1)	0
Property and equipment additions, net of disposals	0		(13,000)		0		(82,000)
Decrease (increase) in restricted cash	(29,000)		0		(29,000)		0
Cash (used in) provided by investing activities, continuing operations	45,000		(4,000)		4,438,000		(1,262,000)
Financing activities:
Lease payments	63,000		45,000		109,000		89,000
Proceeds from issuance of common shares, net of cash share issuance costs	10,864,000		0		10,864,000		0
Proceeds from share option and warrant exercises	0		0		136,000		152,000
Cash provided by financing activities, continuing operations	10,801,000		91,000		10,755,000		63,000
(Decrease) increase in cash	7,363,000		(4,763,000)		9,102,000		(9,909,000)
Cash, beginning of the year	4,998,000		10,215,000		3,259,000			$ 15,361,000
Cash, end of the period	$ 12,361,000		$ 5,452,000		$ 12,361,000		$ 5,452,000

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Nature of Operations

6 Months Ended

Jun. 30, 2022

Nature of Operations

Nature of Operations

Note 1: Nature of operations

Fury Gold Mines Limited (the “Company” or “Fury Gold”) was incorporated on June 9, 2008, under the Business Corporations Act (British Columbia) and is listed on the Toronto Stock Exchange and the NYSE-American, with its common shares trading under the symbol FURY. The Company’s registered and records office is at 1500-1055 West Georgia Street Vancouver, BC, V6E 4N7 and the mailing address is 1630-1177 West Hastings Street, Vancouver, BC, V6E 2K3.

The Company’s principal business activity is the acquisition and exploration of resource projects in Canada. At June 30, 2022, the Company had two principal projects: Eau Claire in Quebec, and Committee Bay in Nunavut.

Sale of Homestake Resources Corporation

On December 6, 2021, the Company entered into a definitive agreement (the “Purchase Agreement”) with Dolly Varden Silver Corporation (“Dolly Varden”) pursuant to which the Company agreed to sell to Dolly Varden a 100% interest in Fury Gold’s wholly owned subsidiary, Homestake Resources Corporation (“Homestake Resources”) in exchange for $5,000 in cash and 76,504,590 common shares in Dolly Varden. Homestake Resources is the owner of a 100% interest in the Homestake Ridge gold-silver project which is located adjacent to the Dolly Varden Project owned by Dolly Varden in the Golden Triangle, British Columbia (“the Dolly Varden Transaction”). The Dolly Varden Transaction completed on February 25, 2022 (note 3). As a result, Fury acquired 76,504,590 common shares of Dolly Varden on February 25, 2022, representing approximately 35.3% of the Dolly Varden Shares outstanding as of the transaction date.

In connection with the Dolly Varden Transaction and as contemplated in the Purchase Agreement, Dolly Varden and Fury Gold have also entered into an investor rights agreement dated February 25, 2022 (the “Investor Rights Agreement”). Pursuant to its obligations under the Investor Rights Agreement, Dolly Varden has appointed Forrester “Tim” Clark, the Chief Executive Officer (“CEO”) of Fury Gold, and Michael Henrichsen, the Chief Geological Officer (“CGO”) of Fury Gold, to the board of directors of Dolly Varden.

Acquisition of 25% equity interest in Universal Mineral Services Ltd (“UMS”)

On April 1, 2022, the Company purchased a 25% share interest in UMS, a private shared-services provider for nominal consideration (note 6). The remaining 75% of UMS is owned equally by three other junior resource issuers, namely Tier One Silver Corporation, Coppernico Metals Inc, and Torq Resources who share a head office location in Vancouver, BC. Previously, UMS had been privately owned by a director in common, Mr. Ivan Bebek, then subsequently from January 1, 2022, by Mr. Steve Cook, another director in common, until March 31, 2022.

UMS is the private company through which its shareholders, including Fury Gold, share geological, financial, and transactional advisory services as well as administrative services on a full, cost recovery basis. Having these services available through UMS, on an as needed basis, allows the Company to maintain a more efficient and cost-effective corporate overhead structure by hiring fewer full-time employees and engaging outside professional advisory firms less frequently. The agreement has an indefinite term and can be terminated by either party upon providing 180 days notice. Many of the Company’s key personnel are now, or will be, directly employed by UMS and seconded to the Company and other members of the group.

Response to COVID-19

The situation in Canada regarding COVID-19 remains fluid and permitted activities continue to be subject to change. At the Company’s Eau Claire project in Quebec, on-site measures are in place for non-vaccinated employees to mitigate the potential spread of the COVID-19 virus. These measures include a pre-travel COVID-19 screening questionnaire; a pre-travel COVID-19 PCR testing; and on-site Rapid Testing for COVID-19.

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Basis of Presentation

12 Months Ended

Dec. 31, 2021

Basis of Presentation

Basis of Presentation

Note 2: Basis of presentation

Statement of compliance

These unaudited condensed interim consolidated financial statements (the “interim financial statements”) have been prepared in accordance with International Accounting Standard 34 – Interim Financial Reporting (“IAS 34”) as issued by the International Accounting Standards Board (“IASB”). Certain disclosures included in the Company’s annual consolidated financial statements (the “consolidated financial statements”) prepared in accordance with International Financial Reporting Standards (“IFRS”) as issued by the IASB and interpretations issued by the IFRS Interpretations Committee (“IFRICs”) have been condensed or omitted herein. Accordingly, these interim financial statements should be read in conjunction with the Company’s consolidated financial statements for the year ended December 31, 2021.

These interim financial statements were approved and authorized for issuance by the Board of Directors of the Company on August 11, 2022.

Basis of preparation and consolidation

These interim financial statements incorporate the financial statements of the Company and entities controlled by the Company (its subsidiaries). Control exists when the Company has power over an investee, exposure or rights to variable returns from its involvement with the investee, and the ability to use its power over the investee to affect the amount of the Company’s returns. The Company’s interim results are not necessarily indicative of its results for a full year.

The subsidiaries (with a beneficial interest of 100%) of the Company at June 30, 2022 were as follows:

Subsidiary	Place of incorporation	Functional currency
North Country Gold Corp. (“North Country”)	BC, Canada	CAD
Eastmain Resources Inc. (“Eastmain”)	ON, Canada	CAD
Eastmain Mines Inc. (“Eastmain Mines”) (a)	Canada	CAD
Fury Gold USA Limited (“Fury Gold USA”) (b)	Delaware, U.S.A.	USD

^(a) Company incorporated federally in Canada.

^(b) Fury Gold USA was incorporated on November 21, 2021 and provides certain administrative services with respect to employee benefits for US resident personnel.

These interim financial statements also include a 33.2% investment in Dolly Varden and a 25% investment in UMS (note 6) that are accounted for using the equity method.

These interim financial statements have been prepared on a historical cost basis except for certain financial instruments that have been measured at fair value (note 14). All amounts are expressed in thousands of Canadian dollars unless otherwise noted. Reference to US$ are to United States dollars. All intercompany balances and transactions have been eliminated.

Segmented information

The Company’s operating segments are reviewed by the key decision maker to make decisions about resources to be allocated to the segments and to assess their performance. The Company operates in one reportable operating segment, being the acquisition, exploration, and development of mineral resource properties, and in one geographical location, Canada.

Critical accounting estimates, judgements, and policies

The preparation of financial statements in accordance with IFRS requires management to select accounting policies and make estimates and judgments that may have a significant impact on consolidated financial statements. Estimates are continuously evaluated and are based on management’s experience and expectations of future events that are believed to be reasonable under the circumstances. Actual outcomes may differ from these estimates.

In preparing the Company’s interim financial statements for the three and six months ended June 30, 2022, the Company applied the significant accounting policies and critical accounting estimates and judgements disclosed in notes 3 and 5, respectively, of its consolidated financial statements for the year ended December 31, 2021, except as noted below:

Investments in associates

The Company conducts a portion of its business through equity interests in associates. An associate is an entity over which the Company has significant influence and is neither a subsidiary nor a joint venture. The Company has significant influence when it has the power to participate in the financial and operating policy decisions of the associate but does not have control or joint control over those policy decisions.

The Company accounts for its investments in associates using the equity method. Under the equity method, the Company’s investment in an associate is initially recognized at cost and subsequently increased or decreased to recognize the Company’s share of earnings and losses of the associate, after any adjustments necessary to give effect to uniform accounting policies, and for impairment losses after the initial recognition date. The Company’s share of an associate’s losses that are in excess of its investment in the associate are recognized only to the extent that the Company has incurred legal or constructive obligations or made payments on behalf of the associate. The Company’s share of earnings and losses of its associate are recognized in net (earnings)/loss during the period.

New and amended standards not yet effective

Certain pronouncements have been issued by the IASB that are mandatory for accounting periods beginning after December 31, 2022. The Company has not early adopted any of these pronouncements, and they are not expected to have a significant impact in the foreseeable future on the Company’s consolidated financial statements once adopted.

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Sale of Homestake Resources

6 Months Ended

Jun. 30, 2022

Basis of Presentation

Sale of Homestake Resources

Note 3: Sale of Homestake Resources

On February 25, 2022, the Company completed the sale of Homestake Resources to Dolly Varden for cash proceeds of $5,000 and 76,504,590 common shares of Dolly Varden (note 6). The Company’s resulting interest in Dolly Varden represented approximately 35.3% of the issued and outstanding common shares of Dolly Varden on February 25, 2022, which has been accounted for using the equity method. The Company recognized a gain of $48,390, net of transaction costs of $589, on the date of disposition, calculated as follows:

Net assets derecognized:	Total
Mineral interests	$	16,460
Reclamation bond		68
	$	16,528
Net proceeds:
Cash	$	5,000
Working capital adjustment		68
76,504,590 common shares of Dolly Varden		60,439
Transaction costs		(589	)
	$	64,918
Net gain on disposition	$	48,390

The fair value of the common shares of Dolly Varden received on date of disposition is based on the market price of the shares at the date of disposition of $0.79.

The Company has sufficient non-capital losses as at June 30, 2022 to offset the capital gain arising on disposition of Homestake Resources. As such, there is nil tax payable on the sale of Homestake Resources.

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Marketable Securities

6 Months Ended

Jun. 30, 2022

Marketable Securities

Marketable Securities

Note 4: Marketable securities

The marketable securities held by the Company were as follows:

	Total
Balance at December 31, 2020	$	2,675
Additions		110
Sale of marketable securities		(1,000	)
Realized loss on disposition		(311	)
Unrealized net loss		(869	)
Balance at December 31, 2021	$	605
Additions		60
Unrealized net loss		(226	)
Balance at June 30, 2022	$	439

During the year ended December 31, 2021, the Company sold 1,581,177 common shares of Benz Mining Corp (“Benz Mining”) for total proceeds of $1,000. Upon disposition, the Company realized a loss of $311, representing the decline in market value from the deemed date of acquisition of the shares on October 9, 2020, as part of the acquisition of Eastmain to date of disposition.

During the three months ended June 30, 2022, the Company exercised 500,000 common share warrants at an exercise price of $0.12 in exchange for 500,000 common shares of Benz Mining.

Purchases and sales of marketable securities are accounted for as of the trade date.

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Mineral Property Interests

6 Months Ended

Jun. 30, 2022

Marketable Securities

Mineral interests

Note 5: Mineral interests

The Company’s principal resource properties are located in Canada.

Quebec

The Company maintains interests in 12 properties within the James Bay region of Quebec. The principal projects are:

Eau Claire

The Company owns a 100% interest in the Eau Claire project located immediately north of the Eastmain reservoir, approximately 10 kilometres (“km”) northeast of Hydro Quebec’s EM-1 hydroelectric power facility, 80 km north of the town of Nemaska, 320 km northeast of the town of Matagami, and 800 km north of Montreal, Quebec. The property consists of map-designated claims totaling approximately 23,000 hectares.

Eastmain Mine

The Eastmain Mine project hosts the Eastmain Mine gold deposit. The past-producing Eastmain Mine project comprises 152 mineral claims and an industrial lease. Located on the eastern most part of the Upper Eastmain River Greenstone Belt of the James Bay District of northern Quebec, the property covers approximately 80 km² of highly prospective terrain.

In 2019, Benz Mining entered into an option agreement with Eastmain to allow Benz Mining the option to earn a 75% interest in the Eastmain Mine property in return for making option payments of $2,320 between October 2019 and October 2023, and incurring exploration expenditures of $3,500 on the property. The option payments may be settled in both cash and shares. Upon completion of the first option to earn 75%, Benz Mining may acquire the remaining 25% interest upon payment of $1,000 upon closing of project financing, and $1,500 upon commencement of commercial production. This option agreement was subsequently amended in April 2020 to grant Benz Mining the option to earn up to 100% of the Ruby Hill properties located to the west of the Eastmain Mine project. The Company would retain 1-2% net smelter return (“NSR”) royalties pursuant to the amended agreement are due annually in October.

Éléonore South Joint Venture

The Éléonore South Joint Venture project consists of two separate blocks of map-designated claims, comprising a total of 282 claims covering approximately 147 km² of the Opinaca area of James Bay, Quebec. The Éléonore West block consists of 34 mineral claims covering approximately 18 km², while the Éléonore South block contains 248 claims extending over an area of approximately 130 km². The project is a three-way joint venture agreement between Eastmain, Azimut Exploration Inc. (“Azimut”), and Goldcorp Canada Ltd. (“Goldcorp Canada”), a wholly owned subsidiary of Newmont Corporation (“Newmont”). Project ownership is based on participation in the funding of annual exploration programs. At June 30, 2022 the project was held by the joint operation partners approximately as follows: Fury Gold 38.12%, Goldcorp Canada 38.11%, and Azimut 23.77%.

Subsequently to the end of the second quarter, on August 8, 2022, the Company announced that the Company and Newmont, through their respective subsidiaries, had concurrently agreed to purchase Azimut’s 23.77% interest in the project for approximately $1,200. Upon completion of the purchase, which is expected to occur in the third quarter of 2022 and is subject to certain conditions precedent, the Company and Newmont will hold interest of 50.022% and 49.978%, respectively. The Company will remain as operator.

Nunavut

Committee Bay

The Company, through its wholly owned subsidiary North Country, owns a 100% interest in the Committee Bay project located in Nunavut, Canada. The Committee Bay project includes approximately 280,000 hectares situated along the Committee Bay Greenstone Belt located within the Western Churchill province of Nunavut. The Committee Bay project is subject to a 1% NSR royalty on gold production, with certain portions subject to an additional 1.5% NSR royalty. The 1.5% NSR royalty is payable on only 7,596 hectares and can be purchased by the Company within two years of commencement of commercial production for $2,000 for each one-third (0.5%) of the 1.5% NSR royalty.

Gibson MacQuoid

In 2017, the Company acquired a number of prospecting permits and mineral claims along the Gibson MacQuoid Greenstone Belt in Nunavut, Canada. In 2019, the Company staked additional claims, which overlapped the Company’s prospecting claims that expired in February 2020, to maintain a contiguous land package over the Company’s current areas of interest. The Company’s claims, which are located between the Meliadine deposit and Meadowbank mine, cover approximately 120 km of strike length of the prospective greenstone belt and total 51,622 hectares collectively.

	Quebec			Nunavut			British Columbia			Total
Balance at December 31, 2020	$	125,354		$	19,358		$	16,060		$	160,772
Option payment received		(260	)		-			-			(260	)
Purchase of Homestake Ridge royalty		-			-			400			400
Disposition of mineral interests		(50	)		-			-			(50	)
Change in estimate of provision for site reclamation and closure		50			(219	)		-			(169	)
Balance at December 31, 2021	$	125,094		$	19,139		$	16,460		$	160,693
Sale of Homestake Resources (note 3)		-			-			(16,460	)		(16,460	)
Change in estimate of provision for site reclamation and closure		(391	)		(332	)		-			(723	)
Balance at June 30, 2022	$	124,703		$	18,807		$	-		$	143,510

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Investment in associates

6 Months Ended

Jun. 30, 2022

Marketable Securities

Investment in associates

Note 6: Investment in associates

(a) Acquisition of Dolly Varden

The Dolly Varden Transaction completed on February 25, 2022. As a result, Fury acquired 76,504,590 Dolly Varden Shares on February 25, 2022, representing approximately 35.3% of the Dolly Varden Shares outstanding. During the six months ended June 30, 2022, Dolly Varden completed a private placement which included the issuance of 11.3 million common shares, resulting in the Company’s equity interest being diluted to 33.2% as of June 30, 2022. Dolly Varden holds a 100% interest in the gold-silver Kitsault Valley project including the Dolly Varden Project and the Homestake Ridge gold-silver project, located in the southern tip of the Golden Triangle of British Columbia.

(b) Acquisition of UMS

On April 1, 2022, the Company purchased a 25% share interest in UMS for nominal consideration (note 1). The Company further recognized as part of its net investment in UMS, a cash deposit of $150 which is held by UMS for the purposes of general working capital, and which will only be returned to the Company upon termination of the UMS arrangement.

As part of the UMS arrangement, the Company is contractually obliged to pay certain rental expenses in respect of a ten-year office lease entered into by UMS on July 1, 2021. As at June 30, 2022, the Company expects to incur approximately $556 in respect of its share of future rental expense of UMS.

(c) Summarized financial information of the Company’s investments in associates:

The carrying amounts of the Company’s investments in associates as at June 30, 2022 were as follows:

	Dolly Varden			UMS			Total
Carrying amount at December 31, 2021	$	-		$	-		$	-
Acquisition of equity investment (note 3)		60,439			-			60,439
Company’s share of net loss of associates		(449	)		-			(449	)
Carrying amount at March 31, 2022		59,990		$	-		$	59,990
Acquisition of equity investment		-			151			151
Company’s share of net loss of associates		(1,406	)		(35	)		(1,441	)
Carrying amount at June 30, 2022	$	58,584		$	116		$	58,700

The fair market value of the Company’s investment in Dolly Varden as at June 30, 2022 was $52,788 based upon a closing share price of $0.69.

For the three months ended June 30, 2022, the Company’s equity share of net loss of the Company’s associates on a 100% basis were as follows:

Three months ended June 30, 2022	Dolly Varden			UMS
Cost recoveries	$	-		$	(1,690	)
Exploration and evaluation		4,059			665
Marketing		272			181
Share-based compensation		258			-
Administrative and other		(354	)		983
Net loss of associate, 100%		4,235			139
Company's share of net loss of associates	$	1,406		$	35

For the six months ended June 30, 2022, the Company’s equity share of net loss of the Company’s associates on a 100% basis were as follows:

Six months ended June 30, 2022	Dolly Varden			UMS
Cost recoveries	$	-		$	(1,690	)
Exploration and evaluation		4,183			665
Marketing		484			181
Share-based compensation		1,080			-
Administrative and other		(241	)		983
Net loss of associate, 100%		5,506			139
Company's share of net loss of associates	$	1,855		$	35

The Company’s equity share of net assets of associates at June 30, 2022 is as follows:

	Dolly Varden			UMS
Current assets	$	22,866		$	1,209
Non-current assets		157,440			2,791
Current liabilities		(3,689	)		(2,013	)
Non-current liabilities		-			(1,523	)
Net assets, 100%		176,617			464
Company’s equity share of net assets of associate	$	58,584		$	116

(d) Services rendered and balances with UMS

	Three months ended June 30					Six months ended June 30
	2022		2021			2022		2021
Exploration and evaluation costs	$	252	$	82		$	303	$	132
Marketing and investor relations		5		(15	)		5		8
General and administration		233		79			351		137
Total transactions for the period	$	490	$	146		$	659	$	277

The outstanding balance owing at June 30, 2022, was $237 (December 31, 2021 – $142) which is included in accounts payable. In addition, the Company had $19 in current prepaids (December 31, 2021 – $56) representing certain geological software licenses purchased on behalf of the Company by UMS, and which are amortized over twelve months.

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Flow-through Share Premium Liability

6 Months Ended

Jun. 30, 2022

Flow-through Share Premium Liability

Flow-through Share Liability

Note 7: Flow-through share premium liability

Flow-through shares are issued at a premium, calculated as the difference between the price of a flow-through share and the price of a common share at that date. Tax deductions generated by eligible expenditures are passed through to the shareholders of the flow-through shares once the eligible expenditures are incurred and renounced. In July 2020, in response to the economic impact of COVID-19, the Government of Canada extended the timelines for eligible expenditures from 24 to 36 months.

In September 2020, the Company completed an equity financing by raising $23,000 through the issuance of 7,750,000 subscription receipts. Out of the subscription receipts sold, 5,000,000 were flow-through receipts for gross proceeds of $17,500 and were exchanged for Fury Gold common shares designated as flow-through shares, while 2,750,000 subscription receipts were sold as non-flow-through for gross proceeds of $5,500 and exchanged for Fury Gold common shares. The flow-through proceeds are being used for mineral exploration in Quebec. The Company is committed to incur the remaining exploration expenditures of $3,992 (December 31, 2021 – $7,290) before December 31, 2022, which was renounced to investors in December 2020.

The flow-through share funding and expenditures, along with the corresponding impact on the flow-through share premium liability, were as follows:

Quebec	Flow-through funding and expenditures			Flow-through Premium liability
Balance at December 31, 2020	$	18,079		$	7,644
Flow-through eligible expenditures		(10,789	)		(4,520	)
Balance at December 31, 2021	$	7,290		$	3,124
Flow-through eligible expenditures		(3,298	)		(1,414	)
Balance at June 30, 2022	$	3,992		$	1,710

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Exploration and Evaluation Costs

6 Months Ended

Jun. 30, 2022

Exploration and Evaluation Costs

Exploration and Evaluation Costs

Note 8: Exploration and evaluation costs

For the three and six months ended June 30, 2022 and 2021, the Company’s exploration and evaluation costs were as follows:

	Quebec		Nunavut		British Columbia		Total
Assaying	$	267	$	10	$	-	$	277
Exploration drilling		699		-		-		699
Camp cost, equipment, and field supplies		319		39		-		358
Geological consulting services		30		2		-		32
Geophysical analysis		7		-		-		7
Permitting, environmental and community costs		63		60		-		123
Expediting and mobilization		4		-		-		4
Salaries and wages		768		20		-		788
Fuel and consumables		187		-		-		187
Aircraft and travel		144		-		-		144
Share-based compensation		190		5		-		195
Three months ended June 30, 2022	$	2,678	$	136	$	-	$	2,814
	Quebec		Nunavut		British Columbia		Total
Assaying	$	719	$	10	$	2	$	732
Exploration drilling	1091			30		-		1,121
Camp cost, equipment, and field supplies		382		63		5		450
Geological consulting services		83		-		1		84
Geophysical analysis		-		-		-		-
Permitting, environmental and community costs		27		47		15		89
Expediting and mobilization		44		41		-		85
Salaries and wages		598		35		13		646
Fuel and consumables		136		-		-		136
Aircraft and travel		55		2		-		57
Share-based compensation		114		22		6		142
Three months ended June 30, 2021	$	3,250	$	250	$	42	$	3,542

	Quebec		Nunavut		British Columbia		Total
Assaying	$	429	$	28	$	2	$	459
Exploration drilling		713		-		-		713
Camp cost, equipment, and field supplies		450		97		10		557
Geological consulting services		6		4		-		10
Geophysical analysis		127		-		-		127
Permitting, environmental and community costs		92		119		-		211
Expediting and mobilization		6		-		-		6
Salaries and wages		1,211		34		1		1,246
Fuel and consumables		267		-		-		267
Aircraft and travel		163		-		-		163
Share-based compensation		320		6		1		327
Six months ended June 30, 2022	$	3,784	$	288	$	14	$	4,086
	Quebec		Nunavut		British Columbia		Total
Assaying	$	1,098	$	40	$	16	$	1,154
Exploration drilling		2,363		30		-		2,393
Camp cost, equipment, and field supplies		757		122		8		887
Geological consulting services		259		34		3		296
Geophysical analysis		149		-		-		149
Permitting, environmental and community costs		122		81		28		231
Expediting and mobilization		51		41		-		92
Salaries and wages		1,102		80		33		1,215
Fuel and consumables		310		35		-		345
Aircraft and travel		116		2		1		119
Share-based compensation		274		56		19		349
Six months ended June 30, 2021	$	6,601	$	521	$	108	$	7,230

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Share Capital

6 Months Ended

Jun. 30, 2022

Share Capital

Share Capital

Note 9: Share capital

Authorized

Unlimited common shares without par value.

Unlimited preferred shares – nil issued and outstanding.

Share issuances

Six months ended June 30, 2022:

i.	The Company closed the “April 2022 Offering”, a non-brokered private equity placement, for gross proceeds of $11,000 and consisted of 13,750,000 common shares priced at $0.80 per share. Proceeds from the Private Placement will be used to fund continued exploration at the Company’s Eau Claire project in Quebec and for general working capital.
	Share issue costs related to the April 2022 Offering totaled $136. A reconciliation of the impact of the private placement on share capital is as follows:

	Number of common shares		Impact on share capital
Common shares issued at $0.80 per share		13,750,000	$	11,000
Share issue costs		-		(136	)
Proceeds net of share issue costs		13,750,000	$	10,864

Six months ended June 30, 2021:

i.	5,834 shares were issued as a result of share options being exercised with a weighted average exercise price of $0.86 for gross proceeds of $5. An amount of $1 attributed to these share options was transferred from the equity reserves and recorded against share capital.
ii.	101,042 shares were issued as a result of share warrants being exercised with a weighted average exercise price of $1.46 for gross proceeds of $147. An amount of $12 attributed to these share warrants was transferred from the equity reserves and recorded against share capital.

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Share Option and Warrant Reserves

6 Months Ended

Jun. 30, 2022

Share Option and Warrant Reserves

Share Option and Warrant Reserves

Note 10: Share option and warrant reserves

(a) Share-based compensation expense

The Company uses the fair value method of accounting for all share-based payments to directors, officers, employees, and other service providers. During the three and six months ended June 30, 2022 and 2021, the share-based compensation expense was as follows:

	Three months ended June 30				Six months ended June 30
	2022		2021		2022		2021
Recognized in net loss (earnings) and included in:
Exploration and evaluation costs	$	195	$	142	$	327	$	349
Fees, salaries and other employee benefits		433		478		800		1,184
Total share-based compensation expense	$	628	$	620	$	1,127	$	1,533

During the three and six months ended June 30, 2022, the Company granted 1,685,000 and 3,430,000 share options, respectively (three and six months ended June 30, 2021 – 130,000 and 130,000, respectively) to directors, officers, employees, and certain consultants who provide certain on-going services to the Company, representative of employee services. The weighted average fair value per option of these share options for the three and six months ended June 30, 2022 was calculated as $0.48 and $0.46, respectively, using the Black-Scholes option valuation model at the grant date.

The fair value of the share-based options granted during the three and six months ended June 30, 2022 was based on the following weighted average assumptions:

	Three months ended June 30				Six months ended June 30
	2022		2021		2022		2021
Risk-free interest rate		2.79%		1.01%		2.20%		1.01%
Expected dividend yield	Nil		Nil		Nil		Nil
Share price volatility		67%		68%		67%		68%
Expected forfeiture rate		15%		0%		5%		0%
Expected life in years		5.0		4.9		5.0		4.9

The risk-free interest rate assumption is based on the Government of Canada benchmark bond yields and treasury bills with a remaining term that approximates the expected life of the share-based options. The expected volatility assumption is based on the historical and implied volatility of the Company’s common shares. The expected forfeiture rate and the expected life in years are based on historical trends.

(b) Share option plan

The Company maintains a rolling share option plan providing for the issuance of share options up to 10% of the Company’s issued and outstanding common shares at the time of the grant. The Company may grant share options from time to time to its directors, officers, employees, and other service providers. The share options typically vest as to 25% on the date of the grant and 12.5% every three months thereafter for a total vesting period of 18 months. 

The number of share options issued and outstanding and the weighted average exercise price were as follows:

	Number of share options			Weighted average exercise price ($/option)
Outstanding, December 31, 2020		8,141,004		$	2.67
Granted		1,405,000			1.03
Exercised		(5,834	)		0.86
Expired		(1,685,048	)		3.62
Forfeited		(1,103,125	)		2.04
Outstanding, December 31, 2021		6,751,997		$	2.00
Granted		3,430,000			1.00
Expired		(511,972	)		4.93
Forfeited		(633,436	)		1.89
Outstanding, June 30, 2022		9,036,589		$	1.46

As at June 30, 2022, the number of share options outstanding was as follows:

		Options outstanding						Options exercisable
Exercise price ($/option)		Number of shares		Weighted average exercise price ($/option)		Weighted average remaining life (years)		Number of shares		Weighted average exercise price ($/option)		Weighted average remaining life (years)
$0.56 – $1.95			6,185,969		1.12		3.97		3,140,970		1.22		3.39
$2.05 – $3.26			2,847,703		2.19		3.06		2,847,703		2.19		3.06
$	8.23		2,917		8.23		0.20		2,917		8.23		0.20
			9,036,589		1.46		3.68		5,991,590		1.68		3.23

(c) Share purchase warrants

The number of share purchase warrants outstanding at June 30, 2022 was as follows:

	Warrants outstanding			Weighted average exercise price  ($/share)
Outstanding at December 31, 2020		1,626,740		$	1.66
Issued		7,461,450			1.20
Exercised		(101,042	)		1.46
Expired		(775,695	)		1.42
Outstanding at December 31, 2021		8,211,453		$	1.27
Expired		(412,190	)		1.11
Outstanding at June 30, 2022		7,799,263		$	1.28

The following table reflects the warrants issued and outstanding as of June 30, 2022:

Expiry date	Warrants outstanding		Exercise price ($/share)
September 12, 2022		337,813		2.96
October 6, 2024		5,085,670		1.20
October 12, 2024		2,375,780		1.20
Total		7,799,263		1.28

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Key management personnel

6 Months Ended

Jun. 30, 2022

Share Option and Warrant Reserves

Key management personnel

Note 11: Key management personnel

Key management personnel include Fury Gold’s board of directors and certain executive officers of the Company, including the CEO and Chief Financial Officer (“CFO”).

On April 1, 2022, the Company entered into a shared services agreement with UMS, in which the Company holds a 25% interest (note 6). Under the shared services agreement, the Company’s CFO, Senior Vice President, Exploration (“SVP, Exploration”), and CGO terminated their direct employment status with the Company, became employed by UMS and then entered into secondment employment arrangements between the Company and UMS.

The remuneration of the Company’s key management personnel was as follows:

	Three months ended June 30				Six months ended June 30
	2022		2021(b)		2022		2021(b)
Short-term benefits provided to executives(a)	$	545	$	231	$	777	$	548
Directors’ fees paid to non-executive directors		53		55		100		107
Share-based payments		430		391		743		1,054
Total	$	1,028	$	677	$	1,620	$	1,709

^(a) Short-term employee benefits include salaries, bonuses payable within twelve months of the date of the condensed interim consolidated statements of financial position, and other annual employee benefits.

^(b) As a result of the acquisition of Eastmain and the formation of a new board of directors and management team, certain former key management personnel of the Company were provided with transition contracts to support the formation of Fury Gold until April 2021. For the three and six months ended June 30, 2021, $9 and $96 of short-term benefits, respectively, and $nil and $54 of share-based payment expense were recognized in the condensed interim consolidated statements of (earnings) loss and comprehensive (income) loss in respect of these transition arrangements.

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Supplemental Cash Flow Information

6 Months Ended

Jun. 30, 2022

Supplemental Cash Flow Information

Supplemental Cash Flow Information

Note 12: Supplemental cash flow information

The impact of changes in non-cash working capital was as follows:

	Three months ended June 30						Six months ended June 30
	2022			2021			2022			2021
Accounts receivable	$	(93	)	$	141		$	14		$	396
Prepaid expenses and deposits		231			191			183			(13	)
Accounts payable and accrued liabilities		612			(333	)		(11	)		(50	)
Change in non-cash working capital	$	750		$	(1	)	$	186		$	333

Operating activities include the following cash received:

	Three months ended June 30				Six months ended June 30
	2022		2021		2022		2021
Income taxes refunded	$	22	$	-	$	187	$	1,717

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Loss Per Share

6 Months Ended

Jun. 30, 2022

Loss Per Share

Loss Per Share

Note 13: Loss (earnings) per share

For the three and six months ended June 30, 2022, and 2021, the weighted average number of shares outstanding and loss (earnings) per share were as follows:

	Three months ended June 30				Six months ended June 30
	2022		2021		2022			2021
Net loss (earnings)	$	5,577	$	4,060	$	(40,059	)	$	8,985
Weighted average basic number of shares outstanding		136,600,071		117,893,013		131,266,530			117,861,667
Basic loss (earnings) per share	$	0.04	$	0.03	$	(0.31	)	$	0.08
Weighted average diluted number of shares outstanding		136,600,071		117,893,013		139,492,021			117,861,667
Diluted (earnings) loss per share	$	0.04	$	0.03	$	(0.29	)	$	0.08

All of the outstanding share options and share purchase warrants at June 30, 2021 were anti-dilutive for the periods then ended as the Company was in a loss position. Additionally, all of the outstanding share options and share purchase warrants at June 30, 2022 were anti-dilutive for the three months ended June 30, 2022 as the Company was in a loss position.

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Financial Instruments

6 Months Ended

Jun. 30, 2022

Financial Instruments

Financial Instruments

Note 14: Financial instruments

The Company’s financial instruments as at June 30, 2022 consisted of cash, accounts receivable, deposits, and accounts payable and accrued liabilities. The fair values of these financial instruments approximate their carrying values, unless otherwise noted.

(a) Financial assets and liabilities by categories

	At June 30, 2022						At December 31, 2021
	Amortized Cost		FVTPL		Total		Amortized Cost		FVTPL		Total
Cash	$	12,361	$	-	$	12,361	$	3,259	$	-	$	3,259
Marketable securities		-		439		439		-		605		605
Deposits		25		-		25		243		-		243
Accounts receivable		358		-		358		372		-		372
Total financial assets		12,744		439		13,183		3,874		605		4,479
Accounts payable and accrued liabilities		1,894		-		1,894		1,888		-		1,888
Total financial liabilities	$	1,894	$	-	$	1,894	$	1,888	$	-	$	1,888

(b) Financial assets and liabilities measured at fair value

The categories of the fair value hierarchy that reflect the significance of inputs used in making fair value measurements are as follows:

Level 1 – fair values based on unadjusted quoted prices in active markets for identical assets or liabilities;

Level 2 – fair values based on inputs that are observable for the asset or liability, either directly or indirectly; and

Level 3 – fair values based on inputs for the asset or liability that are not based on observable market data.

The Company’s policy to determine when a transfer occurs between levels is to assess the impact at the date of the event or the change in circumstances that could result in a transfer. No transfers occurred between the levels during the period.

The Company’s financial instruments measured at fair value on a recurring basis were as follows:

	At June 30, 2022				At December 31, 2021
	Level 1		Level 2		Level 1		Level 2(1)
Marketable securities		439		-		282		323

⁽¹⁾ Marketable securities included in level 2 as at December 31, 2021 include warrants that are valued using an option pricing model which utilizes a combination of quoted prices and market-derived inputs, including volatility estimates.

During the three and six months ended June 30, 2022, there were no financial assets or financial liabilities transferred, measured, and recognized in the condensed interim consolidated statements of financial position at fair value that would be categorized as level 3 in the fair value hierarchy.

(c) Financial instruments and related risks

The Company’s financial instruments are exposed to liquidity risk, and market risks, which include currency risk and price risk. As at June 30, 2022, the primary risks were as follows:

Liquidity risk

Liquidity risk is the risk that the Company will encounter difficulty in meeting obligations associated with financial liabilities. The Company proactively manages its capital resources and has in place a budgeting and cash management process to help determine the funds required to ensure the Company has the appropriate liquidity to meet its current exploration plans and achieve its growth objectives. The Company ensures that there is sufficient liquidity available to meet its short-term business requirements, taking into account its anticipated cash outflows from exploration activities, and its holdings of cash and marketable securities. The Company monitors and adjusts, when required, these exploration programs as well as corporate administrative costs to ensure that adequate levels of working capital are maintained.

As at June 30, 2022, the Company had unrestricted cash of $12,361 (December 31, 2021 – $3,259), working capital surplus of $9,696 (December 31, 2021 – working capital deficit of $428), which the Company defines as current assets less current liabilities, and an accumulated deficit of $116,690 (December 31, 2021 – $156,749). The Company notes that the flow-through share premium liability, which reduced the Company’s working capital by $1,710 (December 31, 2021 – $3,124), is not settled through cash payment. Instead, the flow-through share premium liability will be drawn down as the Company incurs exploration expenditures for the Eau Claire project. During the three and six months ended June 30, 2022, Fury Gold recognized net loss and net earnings of $5,577 and $40,059, respectively, (three and six months ended June 30, 2021 – net losses of $4,060 and $8,985) primarily arising from the sale of Homestake Resources (note 3). The Company expects to incur future operating losses in relation to exploration activities. With no source of operating cash flow, there is no assurance that sufficient funding will be available to conduct further exploration and development of its mineral properties.

The Company’s contractual obligations are as follows:

	Within  1 year		2 to 3 years		Over 3 years		At June 30 2022		At December 31 2021
Accounts payable and accrued liabilities	$	1,894	$	-	$	-	$	1,894	$	1,888
Quebec flow-through expenditure requirements		3,992		-		-		3,992		7,290
Undiscounted lease payments		249		346		-		595		622
Total	$	6,135	$	346	$	-	$	6,481	$	9,800

The Company entered into a drilling contract in November 2020, for which the Company has committed to drill a total of 50,000 metres. As at June 30, 2022, the company remains obligated to drill a further 9,000 metres in Quebec. The expenditures for the remaining drilling metres will be applied against the flow-through expenditure requirements included in the table above.

The Company also makes certain payments arising on mineral claims and leases on an annual or bi-annual basis to ensure all the Company’s properties remain in good standing. Cash payments of $49 and $71 were made during the three and six months ended June 30, 2022 (three and six months ended June 30, 2021 - $nil and $266), in respect of these mineral claims, with $100 recognized in prepaid expenses as at June 30, 2022 (June 30, 2021 – $214).

Market risk

This is the risk that the fair value or future cash flows of a financial instrument will fluctuate because of changes in market prices. Significant market risks to which the Company is exposed are as follows:

i. Currency risk

The Company is exposed to currency risk by having balances and transactions in currencies that are different from its functional currency (the Canadian dollar). The Company’s foreign currency exposure related to its financial assets and liabilities held in US dollars was as follows:

	At June 30 2022			At December 31 2021
Financial assets
US$ bank accounts	$	10		$	569
Financial liabilities
Accounts payable		(34	)		(160	)
	$	(24	)	$	409

A 10% increase or decrease in the US dollar to Canadian dollar exchange rate would not have a material impact on the Company’s net loss.

ii. Price risk

The Company holds certain investments in marketable securities (note 4) which are measured at fair value, being the closing share price of each equity security at the date of the condensed interim consolidated statements of financial position. The Company is exposed to changes in share prices which would result in gains and losses being recognized in the earnings for the period. A 10% increase or decrease in the Company’s marketable securities’ share prices would not have a material impact on the Company’s net income.

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Basis of Presentation (Policies)

6 Months Ended

Jun. 30, 2022

Basis of Presentation (Policies)

Statement of compliance

These unaudited condensed interim consolidated financial statements (the “interim financial statements”) have been prepared in accordance with International Accounting Standard 34 – Interim Financial Reporting (“IAS 34”) as issued by the International Accounting Standards Board (“IASB”). Certain disclosures included in the Company’s annual consolidated financial statements (the “consolidated financial statements”) prepared in accordance with International Financial Reporting Standards (“IFRS”) as issued by the IASB and interpretations issued by the IFRS Interpretations Committee (“IFRICs”) have been condensed or omitted herein. Accordingly, these interim financial statements should be read in conjunction with the Company’s consolidated financial statements for the year ended December 31, 2021.

These interim financial statements were approved and authorized for issuance by the Board of Directors of the Company on August 11, 2022.

Basis of preparation and consolidation

These interim financial statements incorporate the financial statements of the Company and entities controlled by the Company (its subsidiaries). Control exists when the Company has power over an investee, exposure or rights to variable returns from its involvement with the investee, and the ability to use its power over the investee to affect the amount of the Company’s returns. The Company’s interim results are not necessarily indicative of its results for a full year.

The subsidiaries (with a beneficial interest of 100%) of the Company at June 30, 2022 were as follows:

Subsidiary	Place of incorporation	Functional currency
North Country Gold Corp. (“North Country”)	BC, Canada	CAD
Eastmain Resources Inc. (“Eastmain”)	ON, Canada	CAD
Eastmain Mines Inc. (“Eastmain Mines”) (a)	Canada	CAD
Fury Gold USA Limited (“Fury Gold USA”) (b)	Delaware, U.S.A.	USD

^(a) Company incorporated federally in Canada.

^(b) Fury Gold USA was incorporated on November 21, 2021 and provides certain administrative services with respect to employee benefits for US resident personnel.

These interim financial statements also include a 33.2% investment in Dolly Varden and a 25% investment in UMS (note 6) that are accounted for using the equity method.

These interim financial statements have been prepared on a historical cost basis except for certain financial instruments that have been measured at fair value (note 14). All amounts are expressed in thousands of Canadian dollars unless otherwise noted. Reference to US$ are to United States dollars. All intercompany balances and transactions have been eliminated.

Segmented information

The Company’s operating segments are reviewed by the key decision maker to make decisions about resources to be allocated to the segments and to assess their performance. The Company operates in one reportable operating segment, being the acquisition, exploration, and development of mineral resource properties, and in one geographical location, Canada.

Critical accounting estimates, judgements, and policies

The preparation of financial statements in accordance with IFRS requires management to select accounting policies and make estimates and judgments that may have a significant impact on consolidated financial statements. Estimates are continuously evaluated and are based on management’s experience and expectations of future events that are believed to be reasonable under the circumstances. Actual outcomes may differ from these estimates.

In preparing the Company’s interim financial statements for the three and six months ended June 30, 2022, the Company applied the significant accounting policies and critical accounting estimates and judgements disclosed in notes 3 and 5, respectively, of its consolidated financial statements for the year ended December 31, 2021, except as noted below:

Investments in associates

The Company conducts a portion of its business through equity interests in associates. An associate is an entity over which the Company has significant influence and is neither a subsidiary nor a joint venture. The Company has significant influence when it has the power to participate in the financial and operating policy decisions of the associate but does not have control or joint control over those policy decisions.

The Company accounts for its investments in associates using the equity method. Under the equity method, the Company’s investment in an associate is initially recognized at cost and subsequently increased or decreased to recognize the Company’s share of earnings and losses of the associate, after any adjustments necessary to give effect to uniform accounting policies, and for impairment losses after the initial recognition date. The Company’s share of an associate’s losses that are in excess of its investment in the associate are recognized only to the extent that the Company has incurred legal or constructive obligations or made payments on behalf of the associate. The Company’s share of earnings and losses of its associate are recognized in net (earnings)/loss during the period.

New and amended standards not yet effective

Certain pronouncements have been issued by the IASB that are mandatory for accounting periods beginning after December 31, 2022. The Company has not early adopted any of these pronouncements, and they are not expected to have a significant impact in the foreseeable future on the Company’s consolidated financial statements once adopted.

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Basis of Presentation (Tables)

6 Months Ended

Jun. 30, 2022

Supplemental Cash Flow Information

Disclosure of subsidiaries

Subsidiary	Place of incorporation	Functional currency
North Country Gold Corp. (“North Country”)	BC, Canada	CAD
Eastmain Resources Inc. (“Eastmain”)	ON, Canada	CAD
Eastmain Mines Inc. (“Eastmain Mines”) (a)	Canada	CAD
Fury Gold USA Limited (“Fury Gold USA”) (b)	Delaware, U.S.A.	USD

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Sale of Homestake Resources (Tables)

6 Months Ended

Jun. 30, 2022

Supplemental Cash Flow Information

schedule of disposition

Net assets derecognized:	Total
Mineral interests	$	16,460
Reclamation bond		68
	$	16,528
Net proceeds:
Cash	$	5,000
Working capital adjustment		68
76,504,590 common shares of Dolly Varden		60,439
Transaction costs		(589	)
	$	64,918
Net gain on disposition	$	48,390

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Investment in associates (Tables)

6 Months Ended

Jun. 30, 2022

Supplemental Cash Flow Information

Schedule of investments in associates

	Dolly Varden			UMS			Total
Carrying amount at December 31, 2021	$	-		$	-		$	-
Acquisition of equity investment (note 3)		60,439			-			60,439
Company’s share of net loss of associates		(449	)		-			(449	)
Carrying amount at March 31, 2022		59,990		$	-		$	59,990
Acquisition of equity investment		-			151			151
Company’s share of net loss of associates		(1,406	)		(35	)		(1,441	)
Carrying amount at June 30, 2022	$	58,584		$	116		$	58,700

Three months ended June 30, 2022	Dolly Varden			UMS
Cost recoveries	$	-		$	(1,690	)
Exploration and evaluation		4,059			665
Marketing		272			181
Share-based compensation		258			-
Administrative and other		(354	)		983
Net loss of associate, 100%		4,235			139
Company's share of net loss of associates	$	1,406		$	35

Six months ended June 30, 2022	Dolly Varden			UMS
Cost recoveries	$	-		$	(1,690	)
Exploration and evaluation		4,183			665
Marketing		484			181
Share-based compensation		1,080			-
Administrative and other		(241	)		983
Net loss of associate, 100%		5,506			139
Company's share of net loss of associates	$	1,855		$	35

	Dolly Varden			UMS
Current assets	$	22,866		$	1,209
Non-current assets		157,440			2,791
Current liabilities		(3,689	)		(2,013	)
Non-current liabilities		-			(1,523	)
Net assets, 100%		176,617			464
Company’s equity share of net assets of associate	$	58,584		$	116

	Three months ended June 30					Six months ended June 30
	2022		2021			2022		2021
Exploration and evaluation costs	$	252	$	82		$	303	$	132
Marketing and investor relations		5		(15	)		5		8
General and administration		233		79			351		137
Total transactions for the period	$	490	$	146		$	659	$	277

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Marketable Securities (Tables)

6 Months Ended

Jun. 30, 2022

Marketable Securities

Marketable Securities

	Total
Balance at December 31, 2020	$	2,675
Additions		110
Sale of marketable securities		(1,000	)
Realized loss on disposition		(311	)
Unrealized net loss		(869	)
Balance at December 31, 2021	$	605
Additions		60
Unrealized net loss		(226	)
Balance at June 30, 2022	$	439

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Mineral Property Interests (Tables)

6 Months Ended

Jun. 30, 2022

Supplemental Cash Flow Information

Disclosure of work expenditures and cash payments for acquisition of mineral property rights

	Quebec			Nunavut			British Columbia			Total
Balance at December 31, 2020	$	125,354		$	19,358		$	16,060		$	160,772
Option payment received		(260	)		-			-			(260	)
Purchase of Homestake Ridge royalty		-			-			400			400
Disposition of mineral interests		(50	)		-			-			(50	)
Change in estimate of provision for site reclamation and closure		50			(219	)		-			(169	)
Balance at December 31, 2021	$	125,094		$	19,139		$	16,460		$	160,693
Sale of Homestake Resources (note 3)		-			-			(16,460	)		(16,460	)
Change in estimate of provision for site reclamation and closure		(391	)		(332	)		-			(723	)
Balance at June 30, 2022	$	124,703		$	18,807		$	-		$	143,510

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Flow-through Share Premium Liability (Tables)

6 Months Ended

Jun. 30, 2022

Supplemental Cash Flow Information

Schedule of flow-through share funding and expenditures

Quebec	Flow-through funding and expenditures			Flow-through Premium liability
Balance at December 31, 2020	$	18,079		$	7,644
Flow-through eligible expenditures		(10,789	)		(4,520	)
Balance at December 31, 2021	$	7,290		$	3,124
Flow-through eligible expenditures		(3,298	)		(1,414	)
Balance at June 30, 2022	$	3,992		$	1,710

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Exploration and Evaluation Costs (Tables)

6 Months Ended

Jun. 30, 2022

Exploration and Evaluation Costs

Exploration and Evaluation Costs

	Quebec		Nunavut		British Columbia		Total
Assaying	$	267	$	10	$	-	$	277
Exploration drilling		699		-		-		699
Camp cost, equipment, and field supplies		319		39		-		358
Geological consulting services		30		2		-		32
Geophysical analysis		7		-		-		7
Permitting, environmental and community costs		63		60		-		123
Expediting and mobilization		4		-		-		4
Salaries and wages		768		20		-		788
Fuel and consumables		187		-		-		187
Aircraft and travel		144		-		-		144
Share-based compensation		190		5		-		195
Three months ended June 30, 2022	$	2,678	$	136	$	-	$	2,814
	Quebec		Nunavut		British Columbia		Total
Assaying	$	719	$	10	$	2	$	732
Exploration drilling	1091			30		-		1,121
Camp cost, equipment, and field supplies		382		63		5		450
Geological consulting services		83		-		1		84
Geophysical analysis		-		-		-		-
Permitting, environmental and community costs		27		47		15		89
Expediting and mobilization		44		41		-		85
Salaries and wages		598		35		13		646
Fuel and consumables		136		-		-		136
Aircraft and travel		55		2		-		57
Share-based compensation		114		22		6		142
Three months ended June 30, 2021	$	3,250	$	250	$	42	$	3,542

	Quebec		Nunavut		British Columbia		Total
Assaying	$	429	$	28	$	2	$	459
Exploration drilling		713		-		-		713
Camp cost, equipment, and field supplies		450		97		10		557
Geological consulting services		6		4		-		10
Geophysical analysis		127		-		-		127
Permitting, environmental and community costs		92		119		-		211
Expediting and mobilization		6		-		-		6
Salaries and wages		1,211		34		1		1,246
Fuel and consumables		267		-		-		267
Aircraft and travel		163		-		-		163
Share-based compensation		320		6		1		327
Six months ended June 30, 2022	$	3,784	$	288	$	14	$	4,086
	Quebec		Nunavut		British Columbia		Total
Assaying	$	1,098	$	40	$	16	$	1,154
Exploration drilling		2,363		30		-		2,393
Camp cost, equipment, and field supplies		757		122		8		887
Geological consulting services		259		34		3		296
Geophysical analysis		149		-		-		149
Permitting, environmental and community costs		122		81		28		231
Expediting and mobilization		51		41		-		92
Salaries and wages		1,102		80		33		1,215
Fuel and consumables		310		35		-		345
Aircraft and travel		116		2		1		119
Share-based compensation		274		56		19		349
Six months ended June 30, 2021	$	6,601	$	521	$	108	$	7,230

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Share Capital (Tables)

6 Months Ended

Jun. 30, 2022

Supplemental Cash Flow Information

Disclosure of classes of share capital

	Number of common shares		Impact on share capital
Common shares issued at $0.80 per share		13,750,000	$	11,000
Share issue costs		-		(136	)
Proceeds net of share issue costs		13,750,000	$	10,864

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Share Option and Warrant Reserves (Tables)

6 Months Ended

Jun. 30, 2022

Supplemental Cash Flow Information

Disclosure of share option activity

	Number of share options			Weighted average exercise price ($/option)
Outstanding, December 31, 2020		8,141,004		$	2.67
Granted		1,405,000			1.03
Exercised		(5,834	)		0.86
Expired		(1,685,048	)		3.62
Forfeited		(1,103,125	)		2.04
Outstanding, December 31, 2021		6,751,997		$	2.00
Granted		3,430,000			1.00
Expired		(511,972	)		4.93
Forfeited		(633,436	)		1.89
Outstanding, June 30, 2022		9,036,589		$	1.46

		Options outstanding						Options exercisable
Exercise price ($/option)		Number of shares		Weighted average exercise price ($/option)		Weighted average remaining life (years)		Number of shares		Weighted average exercise price ($/option)		Weighted average remaining life (years)
$0.56 – $1.95			6,185,969		1.12		3.97		3,140,970		1.22		3.39
$2.05 – $3.26			2,847,703		2.19		3.06		2,847,703		2.19		3.06
$	8.23		2,917		8.23		0.20		2,917		8.23		0.20
			9,036,589		1.46		3.68		5,991,590		1.68		3.23

Disclosure of share-based payments

	Three months ended June 30				Six months ended June 30
	2022		2021		2022		2021
Recognized in net loss (earnings) and included in:
Exploration and evaluation costs	$	195	$	142	$	327	$	349
Fees, salaries and other employee benefits		433		478		800		1,184
Total share-based compensation expense	$	628	$	620	$	1,127	$	1,533

Disclosure of assumptions

	Three months ended June 30				Six months ended June 30
	2022		2021		2022		2021
Risk-free interest rate		2.79%		1.01%		2.20%		1.01%
Expected dividend yield	Nil		Nil		Nil		Nil
Share price volatility		67%		68%		67%		68%
Expected forfeiture rate		15%		0%		5%		0%
Expected life in years		5.0		4.9		5.0		4.9

Disclosure of warrant activity

	Warrants outstanding			Weighted average exercise price  ($/share)
Outstanding at December 31, 2020		1,626,740		$	1.66
Issued		7,461,450			1.20
Exercised		(101,042	)		1.46
Expired		(775,695	)		1.42
Outstanding at December 31, 2021		8,211,453		$	1.27
Expired		(412,190	)		1.11
Outstanding at June 30, 2022		7,799,263		$	1.28

Expiry date	Warrants outstanding		Exercise price ($/share)
September 12, 2022		337,813		2.96
October 6, 2024		5,085,670		1.20
October 12, 2024		2,375,780		1.20
Total		7,799,263		1.28

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Key management personnel (Tables)

6 Months Ended

Jun. 30, 2022

Supplemental Cash Flow Information

Company's key management

	Three months ended June 30				Six months ended June 30
	2022		2021(b)		2022		2021(b)
Short-term benefits provided to executives(a)	$	545	$	231	$	777	$	548
Directors’ fees paid to non-executive directors		53		55		100		107
Share-based payments		430		391		743		1,054
Total	$	1,028	$	677	$	1,620	$	1,709

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Supplemental Cash Flow Information (Tables)

6 Months Ended

Jun. 30, 2022

Supplemental Cash Flow Information

Disclosure of supplemental cash flow information

	Three months ended June 30						Six months ended June 30
	2022			2021			2022			2021
Accounts receivable	$	(93	)	$	141		$	14		$	396
Prepaid expenses and deposits		231			191			183			(13	)
Accounts payable and accrued liabilities		612			(333	)		(11	)		(50	)
Change in non-cash working capital	$	750		$	(1	)	$	186		$	333

Disclosure of operating activities

	Three months ended June 30				Six months ended June 30
	2022		2021		2022		2021
Income taxes refunded	$	22	$	-	$	187	$	1,717

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Loss Per Share (Tables)

6 Months Ended

Jun. 30, 2022

Supplemental Cash Flow Information

Disclosure of loss per share

	Three months ended June 30				Six months ended June 30
	2022		2021		2022			2021
Net loss (earnings)	$	5,577	$	4,060	$	(40,059	)	$	8,985
Weighted average basic number of shares outstanding		136,600,071		117,893,013		131,266,530			117,861,667
Basic loss (earnings) per share	$	0.04	$	0.03	$	(0.31	)	$	0.08
Weighted average diluted number of shares outstanding		136,600,071		117,893,013		139,492,021			117,861,667
Diluted (earnings) loss per share	$	0.04	$	0.03	$	(0.29	)	$	0.08

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Financial Instruments (Tables)

6 Months Ended

Jun. 30, 2022

Supplemental Cash Flow Information

Disclosure of currency exposure

	At June 30 2022			At December 31 2021
Financial assets
US$ bank accounts	$	10		$	569
Financial liabilities
Accounts payable		(34	)		(160	)
	$	(24	)	$	409

Disclosure of company's contractual obligations

	Within  1 year		2 to 3 years		Over 3 years		At June 30 2022		At December 31 2021
Accounts payable and accrued liabilities	$	1,894	$	-	$	-	$	1,894	$	1,888
Quebec flow-through expenditure requirements		3,992		-		-		3,992		7,290
Undiscounted lease payments		249		346		-		595		622
Total	$	6,135	$	346	$	-	$	6,481	$	9,800

Disclosure of Financial assets and liabilities

	At June 30, 2022						At December 31, 2021
	Amortized Cost		FVTPL		Total		Amortized Cost		FVTPL		Total
Cash	$	12,361	$	-	$	12,361	$	3,259	$	-	$	3,259
Marketable securities		-		439		439		-		605		605
Deposits		25		-		25		243		-		243
Accounts receivable		358		-		358		372		-		372
Total financial assets		12,744		439		13,183		3,874		605		4,479
Accounts payable and accrued liabilities		1,894		-		1,894		1,888		-		1,888
Total financial liabilities	$	1,894	$	-	$	1,894	$	1,888	$	-	$	1,888

Disclosure of financial instruments fair value

	At June 30, 2022				At December 31, 2021
	Level 1		Level 2		Level 1		Level 2(1)
Marketable securities		439		-		282		323

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Nature of operations (Details Narrative) - USD ($) $ in Thousands		6 Months Ended
	Dec. 06, 2021	Jun. 30, 2022	Jan. 01, 2022
Statement [Line Items]
Common stock issued in exchange of acquisition	76,504,590
Cash of acquisition	$ 5,000
Homestake Ridge Gold Silver [Member]
Statement [Line Items]
Homestake resources owner ship percentage	100.00%
Dolly Varden [Member]
Statement [Line Items]
Share of interest of homestake resorces sold	100.00%
Shares acquired	76,504,590
Share outstanding percentage	35.30%
UMS [Member]
Statement [Line Items]
Share of interest purchased		25.00%	75.00%
Notice period for terminating agreement		18 years

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Basis of presentation (Details)	6 Months Ended
	Jun. 30, 2022
Statement [Line Items]
Beneficial interest	100.00%
North Country Gold Corp
Statement [Line Items]
Place of incorporation	BC, Canada
Funtional currency	CAD
Beneficial interest	100.00%
Eastmain Resources Inc.
Statement [Line Items]
Place of incorporation	ON, Canada
Funtional currency	CAD
Beneficial interest	100.00%
Eastmain Mines Inc.
Statement [Line Items]
Place of incorporation	Canada
Funtional currency	CAD
Beneficial interest	100.00%
Fury Gold USA Limited
Statement [Line Items]
Place of incorporation	Delaware, U.S.A.
Funtional currency	USD
Beneficial interest	100.00%

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Basis of Presentation (Details Narrative)	6 Months Ended
	Jun. 30, 2022
Basis of Presentation
Beneficial interest	100.00%
Basis of presentation description	These interim financial statements also include a 33.2% investment in Dolly Varden and a 25% investment in UMS (note 6) that are accounted for using the equity method.

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Sale of Homestake Resources (Details ) $ in Thousands	6 Months Ended
	Jun. 30, 2022 CAD ($)
Sale of Homestake Resources (Details )
Mineral interests	$ 16,460
Reclamation bond	68
Net assets	16,528
Net proceeds:
Cash	5,000
Working capital adjustment	68
76,504,590 common shares of Dolly Varden	60,439
Transaction costs	(589)
Net proceeds	64,918
Net assets derecognized
Net gain on disposition	$ 48,390

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Sale of Homestake Resources (Details Narrative) - 1 months ended Feb. 25, 2022 - Dolly Varden [Member]	CAD ($) $ / shares shares	USD ($)
Statement [Line Items]
Ownership interest	35.30%
Acquisition cost		$ 589
Cash proceeds	$ 5,000
Share issued during period for acquisition | shares	76,504,590
Recognized a gain	$ 48,390
Market price of the shares | $ / shares	$ 0.79

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Marketable Securities (Details) $ in Thousands	6 Months Ended		12 Months Ended
	Jun. 30, 2022 CAD ($)	Jun. 30, 2022 USD ($)	Dec. 31, 2021 CAD ($)	Dec. 31, 2021 USD ($)
Marketable Securities
Marketable securities, beginning	$ 605,000			$ 2,675
Additions	60,000		$ 110,000
Sale of marketable securities				(1,000)
Realized loss on disposition				$ (311)
Unrealized net gain (loss) on marketable securities	(226,000)		(869,000)
Marketable securities, ending	$ 439,000	$ 439	$ 605,000

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Marketable Securities (Details Narrative) - USD ($)	12 Months Ended
	Dec. 31, 2021	Jun. 30, 2022
Statement [Line Items]
Realized loss on disposition	$ (311,000)
Benz Mining Corp [Member]
Statement [Line Items]
Common shares sold	1,581,177
Proceeds from shares	$ 1,000
Realized loss on disposition	$ (311)
Warrants		500,000
Common shares in exchange		500,000
Exercise price		$ 0.12

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Mineral interests (Details)	6 Months Ended	12 Months Ended
	Jun. 30, 2022 CAD ($)	Dec. 31, 2021 CAD ($)	Dec. 31, 2021 USD ($)
Statement [Line Items]
Balance, beginning of the year	$ 160,693,000	$ 160,772,000
Sale of Homestake Resources (note 3)	(16,460,000)
Option payment received		(260,000)
Purchase of Homestake Ridge royalty		400,000
Disposition of mineral interests		50,000
Change in estimate of provision for site reclamation and closure	(723,000)	(169,000)
Balance, end of the year	143,510,000	160,693,000
British Columbia
Statement [Line Items]
Balance, beginning of the year	16,460,000	16,060,000
Sale of Homestake Resources (note 3)	(16,460,000)
Option payment received		0
Purchase of Homestake Ridge royalty		400,000
Disposition of mineral interests		0
Change in estimate of provision for site reclamation and closure	0	0
Balance, end of the year	0	16,460,000
Nunavut
Statement [Line Items]
Balance, beginning of the year	19,139,000	19,358,000
Sale of Homestake Resources (note 3)	0
Option payment received		0
Purchase of Homestake Ridge royalty		0
Disposition of mineral interests		0
Change in estimate of provision for site reclamation and closure	(332,000)	(219,000)
Balance, end of the year	18,807,000	19,139,000
Quebec
Statement [Line Items]
Balance, beginning of the year	125,094,000	125,354,000
Sale of Homestake Resources (note 3)	0
Option payment received		(260,000)
Purchase of Homestake Ridge royalty			$ 0
Disposition of mineral interests		50,000
Change in estimate of provision for site reclamation and closure	(391,000)	50,000
Balance, end of the year	$ 124,703,000	$ 125,094,000

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Mineral interests (Details Narratives) $ in Thousands		6 Months Ended
	Aug. 08, 2022	Jun. 30, 2022 CAD ($) a
Statement [Line Items]
Total hectares | a		51,622
?l?onore South Joint Venture
Statement [Line Items]
Project Description		Fury Gold 38.12%, Goldcorp Canada 38.11%, and Azimut 23.77%.
Change in ownership percentage, description	the Company and Newmont, through their respective subsidiaries, had concurrently agreed to purchase Azimut’s 23.77% interest in the project for approximately $1,200. Upon completion of the purchase, which is expected to occur in the third quarter of 2022 and is subject to certain conditions precedent, the Company and Newmont will hold interest of 50.022% and 49.978%, respectively.
Nunavut
Statement [Line Items]
Interest owns		100.00%
Project Description		The Committee Bay project includes approximately 280,000 hectares situated along the Committee Bay Greenstone Belt located within the Western Churchill province of Nunavut. The Committee Bay project is subject to a 1% NSR royalty on gold production, with certain portions subject to an additional 1.5% NSR royalty. The 1.5% NSR royalty is payable on only 7,596 hectares and can be purchased by the Company within two years of commencement of commercial production for $2,000 for each one-third (0.5%) of the 1.5% NSR royalty.
Eau Claire
Statement [Line Items]
Interest owns		100.00%
Project Description		The Company owns a 100% interest in the Eau Claire project located immediately north of the Eastmain reservoir, approximately 10 kilometres (“km”) northeast of Hydro Quebec’s EM-1 hydroelectric power facility, 80 km north of the town of Nemaska, 320 km northeast of the town of Matagami, and 800 km north of Montreal, Quebec. The property consists of map-designated claims totaling approximately 23,000 hectares.
Eastmain Mine
Statement [Line Items]
Project Description		Upon completion of the first option to earn 75%, Benz Mining may acquire the remaining 25% interest upon payment of $1,000 upon closing of project financing, and $1,500 upon commencement of commercial production. This option agreement was subsequently amended in April 2020 to grant Benz Mining the option to earn up to 100% of the Ruby Hill properties located to the west of the Eastmain Mine project. The Company would retain 1-2% net smelter return (“NSR”) royalties pursuant to the amended agreement are due annually in October.
Interest		75.00%
Payments		$ 2,320
Exploration		$ 3,500

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Investment in associates (Details) $ in Thousands	3 Months Ended
	Jun. 30, 2022 CAD ($)	Jun. 30, 2022 USD ($)	Mar. 31, 2022 CAD ($)	Mar. 31, 2022 USD ($)
Statement [Line Items]
Beginning Balance, Carrying amount	$ 59,990,000		$ 0
Acquisition of equity investment		$ 151	60,439,000
Company's share of net loss of associates		1,441		$ 449
Ending Balance, Carrying amount	58,700,000	58,700	59,990,000
Dolly Varden [Member]
Statement [Line Items]
Beginning Balance, Carrying amount	59,990,000		0
Acquisition of equity investment		0	60,439,000
Company's share of net loss of associates		1,406		449
Ending Balance, Carrying amount	58,584,000	58,584	59,990,000
UMS [Member]
Statement [Line Items]
Beginning Balance, Carrying amount	0		0
Acquisition of equity investment		151	0
Company's share of net loss of associates		(35)		$ 0
Ending Balance, Carrying amount	$ 116,000	$ 116	$ 0

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Investment in associates (Details 1) $ in Thousands, $ in Thousands	3 Months Ended	6 Months Ended
	Jun. 30, 2022 USD ($)	Jun. 30, 2022 USD ($)	Jun. 30, 2022 CAD ($)
Dolly Varden [Member]
Statement [Line Items]
Cost recoveries	$ 0		$ 0
Exploration and evaluation	4,059	$ 4,183
Marketing	272		484
Share-based compensation	258		1,080
Administrative and other	(354)		(241)
Net loss of associate, 100%	4,235		5,506
Company's share of net loss of associates	1,406		1,855
UMS [Member]
Statement [Line Items]
Cost recoveries	(1,690)		(1,690)
Exploration and evaluation	665		665
Marketing	181		181
Share-based compensation	0		0
Administrative and other	983		983
Net loss of associate, 100%	139		139
Company's share of net loss of associates	$ 35		$ 35

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Investment in associates (Details 2) $ in Thousands	Jun. 30, 2022 CAD ($)	Jun. 30, 2022 USD ($)	Mar. 31, 2022 CAD ($)	Dec. 31, 2021 CAD ($)
Statement [Line Items]
Current liabilities	$ (3,784,000)			$ (5,116,000)
Net assets	216,981,000			167,018,000
Company s equity share of net assets of associate	58,700,000	$ 58,700	$ 59,990,000	0
Dolly Varden [Member]
Statement [Line Items]
Current assets		22,866
Non-current assets		157,440
Current liabilities		(3,689)
Non-current liabilities		0
Net assets		176,617
Company s equity share of net assets of associate	58,584,000	58,584	59,990,000	0
UMS [Member]
Statement [Line Items]
Current assets		1,209
Non-current assets		2,791
Current liabilities		(2,013)
Non-current liabilities		1,523
Net assets		464
Company s equity share of net assets of associate	$ 116,000	$ 116	$ 0	$ 0

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Investment in associates (Details 3) $ in Thousands, $ in Thousands	3 Months Ended				6 Months Ended
	Jun. 30, 2022 CAD ($)	Jun. 30, 2022 USD ($)	Jun. 30, 2021 CAD ($)	Jun. 30, 2021 USD ($)	Jun. 30, 2022 CAD ($)	Jun. 30, 2022 USD ($)	Jun. 30, 2021 CAD ($)	Jun. 30, 2021 USD ($)
Statement [Line Items]
Marketing and investor relations	$ 338		$ 193		$ 556		$ 785
General and administration	76		160		$ 212		360
UMS [Member]
Statement [Line Items]
Exploration and evaluation costs		$ 252		$ 82		$ 303		$ 132
Marketing and investor relations	5		(15)			5	8
General and administration	233		79			351	137
Total transactions for the period	$ 490		$ 146			$ 659	$ 277

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Investment in associates (Details Narrative)		1 Months Ended
	Apr. 02, 2022 shares	Feb. 25, 2022 shares	Jun. 30, 2022 USD ($)	Jun. 30, 2022 CAD ($)	Dec. 31, 2021 CAD ($)
Statement [Line Items]
Outstanding balance				$ 237	$ 142
Current prepaids				19	$ 56
Dolly Varden [Member]
Statement [Line Items]
Outstanding balance			$ 69
Acquired | shares		76,504,590
Shares outstanding		35.30%
Interest		100.00%
Fair market value				$ 52,788
private placement			$ 11,300,000
Equity interest			33.20%	33.20%
UMS [Member]
Statement [Line Items]
Share interest	25.00%
Cash deposit | shares	150
Future rental expense | shares	556

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Flowthrough Share Premium Liability (Details)	6 Months Ended		12 Months Ended
	Jun. 30, 2022 CAD ($)	Jun. 30, 2022 USD ($)	Dec. 31, 2021 CAD ($)	Dec. 31, 2021 USD ($)
Statement [Line Items]
Balance, beginning of the year	$ 3,124,000		$ 7,644,000
Flow-through eligible expenditure	(1,414,000)		(4,520,000)
Balance, end of the years	1,710,000		3,124,000
Quebec
Statement [Line Items]
Balance, end of the years	3,992,000		7,290,000
Balance, beginning of the year		$ 7,290	$ 18,079
Flow-through eligible expenditure	$ (3,298)			$ (10,789)

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Flowthrough Share Premium Liability (Details Narrative)	1 Months Ended		12 Months Ended
	Sep. 30, 2020 USD ($) shares	Jul. 31, 2020	Dec. 31, 2022 CAD ($)	Dec. 31, 2021 USD ($)
Statement [Line Items]
Original timeline for eligible expenditure		24
Extension of timeline for eligible expenditure		36
Equity financing | $	$ 23,000,000
Subscription receipts | shares	7,750,000
Subscription receipts sold | shares	5,000,000
Flow-through receipts for gross proceeds | $	$ 17,500,000
Flow-through shares subscription receipts sold | shares	2,750,000
Non flow through gross proceeds | $	$ 5,500,000
Quebec
Statement [Line Items]
Exploration Expenditures			$ 3,992	$ 7,290

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Exploration and Evaluation Costs (Details) $ in Thousands, $ in Thousands	3 Months Ended			6 Months Ended
	Jun. 30, 2022 CAD ($)	Jun. 30, 2021 CAD ($)	Jun. 30, 2021 USD ($)	Jun. 30, 2022 CAD ($)	Jun. 30, 2022 USD ($)	Jun. 30, 2021 CAD ($)	Jun. 30, 2021 USD ($)
Statement [Line Items]
Exploration and evaluation costs	$ 2,814	$ 3,542	$ 3,542	$ 4,086	$ 4,086		$ 7,230
British Columbia
Statement [Line Items]
Exploration and evaluation costs	0	42		14		$ 108
British Columbia | Assaying
Statement [Line Items]
Exploration and evaluation costs	0	2		2		16
British Columbia | Exploration Drilling
Statement [Line Items]
Exploration and evaluation costs	0	0		0		0
British Columbia | Camp Cost, Equipment and Field Supplies
Statement [Line Items]
Exploration and evaluation costs	0	5		10		8
British Columbia | Geological Consulting Services
Statement [Line Items]
Exploration and evaluation costs	0	1		0		3
British Columbia | Geophysical Analysis
Statement [Line Items]
Exploration and evaluation costs	0	0		0		0
British Columbia | Permitting, Environmental and Community Costs
Statement [Line Items]
Exploration and evaluation costs	0	15		0		28
British Columbia | Expediting and Mobilization
Statement [Line Items]
Exploration and evaluation costs	0	0		0		0
British Columbia | Salaries and Wages
Statement [Line Items]
Exploration and evaluation costs	0	13		1		33
British Columbia | Fuel and Consumables
Statement [Line Items]
Exploration and evaluation costs	0	0		0		0
British Columbia | Aircraft and Travel
Statement [Line Items]
Exploration and evaluation costs	0	0		0		1
British Columbia | Share Based Compensation
Statement [Line Items]
Exploration and evaluation costs	0	6		1		19
Nunavut
Statement [Line Items]
Exploration and evaluation costs	136	250		288		521
Nunavut | Assaying
Statement [Line Items]
Exploration and evaluation costs	10	10		28		40
Nunavut | Exploration Drilling
Statement [Line Items]
Exploration and evaluation costs	0	30		0		30
Nunavut | Camp Cost, Equipment and Field Supplies
Statement [Line Items]
Exploration and evaluation costs	39	63		97		122
Nunavut | Geological Consulting Services
Statement [Line Items]
Exploration and evaluation costs	2	0		4		34
Nunavut | Geophysical Analysis
Statement [Line Items]
Exploration and evaluation costs	0	0		0		0
Nunavut | Permitting, Environmental and Community Costs
Statement [Line Items]
Exploration and evaluation costs	60	47		119		81
Nunavut | Expediting and Mobilization
Statement [Line Items]
Exploration and evaluation costs	0	41		0		41
Nunavut | Salaries and Wages
Statement [Line Items]
Exploration and evaluation costs	20	35		34		80
Nunavut | Fuel and Consumables
Statement [Line Items]
Exploration and evaluation costs	0	0		0		35
Nunavut | Aircraft and Travel
Statement [Line Items]
Exploration and evaluation costs	0	2		0		2
Nunavut | Share Based Compensation
Statement [Line Items]
Exploration and evaluation costs	5	22		6		56
Quebec
Statement [Line Items]
Exploration and evaluation costs	2,678	3,250		3,784		6,601
Quebec | Assaying
Statement [Line Items]
Exploration and evaluation costs	267	719		429		1,098
Quebec | Exploration Drilling
Statement [Line Items]
Exploration and evaluation costs	699	1,091		713		2,363
Quebec | Camp Cost, Equipment and Field Supplies
Statement [Line Items]
Exploration and evaluation costs	319	382		450		757
Quebec | Geological Consulting Services
Statement [Line Items]
Exploration and evaluation costs	30	83		6		259
Quebec | Geophysical Analysis
Statement [Line Items]
Exploration and evaluation costs	7	0		127		149
Quebec | Permitting, Environmental and Community Costs
Statement [Line Items]
Exploration and evaluation costs	63	27		92		122
Quebec | Expediting and Mobilization
Statement [Line Items]
Exploration and evaluation costs	4	44		6		51
Quebec | Salaries and Wages
Statement [Line Items]
Exploration and evaluation costs	768	598		1,211		1,102
Quebec | Fuel and Consumables
Statement [Line Items]
Exploration and evaluation costs	187	136		267		310
Quebec | Aircraft and Travel
Statement [Line Items]
Exploration and evaluation costs	144	55		163		116
Quebec | Share Based Compensation
Statement [Line Items]
Exploration and evaluation costs	190	114		320		274
Total | Assaying
Statement [Line Items]
Exploration and evaluation costs	277	732		459		1,154
Total | Exploration Drilling
Statement [Line Items]
Exploration and evaluation costs	699	1,121		713		2,393
Total | Camp Cost, Equipment and Field Supplies
Statement [Line Items]
Exploration and evaluation costs	358	450		557		887
Total | Geological Consulting Services
Statement [Line Items]
Exploration and evaluation costs	32	84		10		296
Total | Geophysical Analysis
Statement [Line Items]
Exploration and evaluation costs	7	0		127		149
Total | Permitting, Environmental and Community Costs
Statement [Line Items]
Exploration and evaluation costs	123	89		211		231
Total | Expediting and Mobilization
Statement [Line Items]
Exploration and evaluation costs	4	85		6		92
Total | Salaries and Wages
Statement [Line Items]
Exploration and evaluation costs	788	646		1,246		1,215
Total | Fuel and Consumables
Statement [Line Items]
Exploration and evaluation costs	187	136		267		345
Total | Aircraft and Travel
Statement [Line Items]
Exploration and evaluation costs	144	57		163		119
Total | Share Based Compensation
Statement [Line Items]
Exploration and evaluation costs	$ 195	$ 142		$ 327		$ 349

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Share capital (Details) - April 2022 Offering $ in Thousands	6 Months Ended
	Jun. 30, 2022 CAD ($) shares
Statement [Line Items]
Number of common shares issued | shares	13,750,000
Common shares issued, impact on share capital	$ 11,000
Cash share issue costs, impact on share capital	$ (136)
Proceeds net of share issue costs | shares	13,750,000
Proceeds net of share issue costs, impact on share capital	$ 10,864

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Share capital (Details Narrative) $ / shares in Units, $ in Thousands, $ in Thousands	6 Months Ended
	Jun. 30, 2022 CAD ($) $ / shares shares	Jun. 30, 2022 USD ($) shares	Dec. 31, 2021 CAD ($)
Statement [Line Items]
Equity reserves share capital	$ 19,767		$ 18,640
Options
Statement [Line Items]
Shares issued | shares	5,834	5,834
Weighted average exercise price | $ / shares	$ 0.86
Gross proceeds	$ 5
Equity reserves share capital		$ 1
Warrants
Statement [Line Items]
Shares issued | shares	101,042	101,042
Weighted average exercise price | $ / shares	$ 1.46
Gross proceeds	$ 147
Equity reserves share capital		$ 12
February 2020 Offering
Statement [Line Items]
Shares issued | shares	13,750,000	13,750,000
Gross proceeds	$ 11,000
Share price per unit | $ / shares	$ 0.80
Share issue costs	$ 136

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Share Option and Warrant Reserves (Details) - CAD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021
Share Option and Warrant Reserves
Exploration and evaluation costs	$ 195	$ 142	$ 327	$ 349
Fees, salaries and other employee benefits	433	478	800	1,184
Total share-based compensation expense	$ 628	$ 620	$ 1,127	$ 1,533

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Share Option and Warrant Reserves (Details 1)	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021
Share Option and Warrant Reserves
Risk-free interest rate	2.79%	1.01%	2.20%	1.01%
Expected dividend yield	0.00%	0.00%	0.00%	0.00%
Share price volatility	67.00%	68.00%	67.00%	68.00%
Expected forfeiture rate	15.00%	0.00%	5.00%	0.00%
Expected life (in years - weighted average)	5 years	4 years 10 months 24 days	5 years	4 years 10 months 24 days

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Share Option and Warrant Reserves (Details 2)	3 Months Ended			6 Months Ended			12 Months Ended
	Jun. 30, 2022 $ / shares	Jun. 30, 2022 $ / shares	Jun. 30, 2021	Jun. 30, 2022 $ / shares	Jun. 30, 2022 $ / shares	Jun. 30, 2021 $ / shares	Dec. 31, 2021 $ / shares	Dec. 31, 2021 $ / shares
Share Option and Warrant Reserves
Number of share options granted	1,685,000	1,685,000	130,000	3,430,000	3,430,000	130,000	1,405,000	1,405,000
Number of share options exercised							5,834	5,834
Number of share options expired				511,972	511,972		1,685,048	1,685,048
Number of share options forfeited				633,436	633,436		1,103,125	1,103,125
Number of share options outstanding end of the year	9,036,589	9,036,589		9,036,589	9,036,589		6,751,997	6,751,997
Weighted average exercise price outstanding Beginning of the year | (per share)				$ 2.00	$ 2.00	$ 2.67		$ 2.67
Weighted average exercise price granted | (per share)				$ 1.00				1.03
Weighted average exercise price exercised								$ 0.86
Number of share options outstanding Beginning of the year				6,751,997	6,751,997	8,141,004	8,141,004	8,141,004
Weighted average exercise price expired | (per share)				$ 4.93				$ 3.62
Weighted average exercise price forfeited | (per share)				1.89				2.04
Weighted average exercise price outstanding end of the year | (per share)	$ 1.46	$ 1.46		$ 1.46	$ 1.46		$ 2.00	$ 2.00

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Share Option and Warrant Reserves (Details 3)	6 Months Ended
	Jun. 30, 2022 $ / shares	Jun. 30, 2022 $ / shares	Dec. 31, 2021 $ / shares	Dec. 31, 2021 $ / shares	Dec. 31, 2020 $ / shares
Statement [Line Items]
Number of share options outstanding beginning of the year	9,036,589	9,036,589	6,751,997	6,751,997	8,141,004
Weighted average exercise price outstanding beginning of the year | (per share)	$ 1.46	$ 1.46	$ 2.00	$ 2.00	$ 2.67
Options outstanding, remaining contractual life	3 years 8 months 4 days
Number of options exercisable	5,991,590	5,991,590
Options exercisable, exercise price		$ 1.68
Options exercisable, remaining contractual life	3 years 2 months 23 days
Exercise Price Range 1
Statement [Line Items]
Number of share options outstanding beginning of the year	6,185,969	6,185,969
Weighted average exercise price outstanding beginning of the year		$ 1.12
Options outstanding, remaining contractual life	3 years 11 months 19 days
Number of options exercisable	3,140,970	3,140,970
Options exercisable, exercise price		$ 1.22
Options exercisable, remaining contractual life	3 years 4 months 20 days
Exercise Price Range 2
Statement [Line Items]
Number of share options outstanding beginning of the year	2,847,703	2,847,703
Weighted average exercise price outstanding beginning of the year		$ 2.19
Options outstanding, remaining contractual life	3 years 21 days
Number of options exercisable	2,847,703	2,847,703
Options exercisable, exercise price		$ 2.19
Options exercisable, remaining contractual life	3 years 21 days
Exercise Price Range 3
Statement [Line Items]
Number of share options outstanding beginning of the year	2,917	2,917
Weighted average exercise price outstanding beginning of the year		$ 8.23
Options outstanding, remaining contractual life	2 months 12 days
Number of options exercisable	2,917	2,917
Options exercisable, exercise price		$ 8.23
Options exercisable, remaining contractual life	2 months 12 days

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Share Option and Warrant Reserves (Details 4)	6 Months Ended		12 Months Ended
	Jun. 30, 2022 $ / shares shares	Jun. 30, 2022 $ / shares shares	Dec. 31, 2021 $ / shares shares
Share Option and Warrant Reserves
Outstanding warrants Beginning of the year	8,211,453	8,211,453	1,626,740
Warrants issued			7,461,450
Warrants exercised			101,042
Warrants expired	(412,190)	(412,190)	(775,695)
Outstanding warrants end of the year	7,799,263	7,799,263	8,211,453
Outstanding warrants, exercise price Brginning of the year | $ / shares	$ 1.27		$ 1.66
Warrants issued, exercise price | $ / shares			1.20
Warrants exercised, exercise price | $ / shares			1.46
Warrants expired, exercise price | (per share)		$ 1.11	1.42
Outstanding warrants, exercise price end of the year | (per share)	$ 1.28	$ 1.28	$ 1.27

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Share Option and Warrant Reserves (Details 5)	Jun. 30, 2022 $ / shares shares	Jun. 30, 2022 $ / shares shares	Dec. 31, 2021 $ / shares shares	Dec. 31, 2020 $ / shares shares	Dec. 31, 2018 $ / shares shares
Statement [Line Items]
Outstanding warrants beginning of the year	7,799,263	7,799,263	8,211,453	1,626,740	0
Outstanding warrants, exercise price beginning of the year | (per share)	$ 1.28	$ 1.28	$ 1.27	$ 1.66	$ 0.00
Exercise Price Range 1
Statement [Line Items]
Outstanding warrants beginning of the year	337,813	337,813
Outstanding warrants, exercise price beginning of the year | $ / shares	$ 2.96
Exercise Price Range 2
Statement [Line Items]
Outstanding warrants beginning of the year	5,085,670	5,085,670
Outstanding warrants, exercise price beginning of the year | $ / shares	$ 1.20
Exercise Price Range 3
Statement [Line Items]
Outstanding warrants beginning of the year	2,375,780	2,375,780
Outstanding warrants, exercise price beginning of the year | $ / shares	$ 1.20

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Share Option and Warrant Reserves (Details Narratives)	3 Months Ended		6 Months Ended		12 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022 $ / shares	Jun. 30, 2021 $ / shares	Dec. 31, 2021
Share Option and Warrant Reserves
Number of share options granted	1,685,000	130,000	3,430,000	130,000	1,405,000
Weighted average exercise price granted			$ 0.48	$ 0.46
Description option			The Company maintains a rolling share option plan providing for the issuance of share options up to 10% of the Company’s issued and outstanding common shares at the time of the grant. The Company may grant share options from time to time to its directors, officers, employees, and other service providers. The share options typically vest as to 25% on the date of the grant and 12.5% every three months thereafter for a total vesting period of 18 months.

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Key management personnel (Details) - CAD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021
Share Option and Warrant Reserves
Short-term benefits provided to executives	$ 545	$ 231	$ 777	$ 548
Directors' fees paid to non-executive directors	53	55	100	107
Share-based payments	430	391	743	1,054
Total	$ 1,028	$ 677	$ 1,620	$ 1,709

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Key management personnel (Details Narratives) - CAD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021
Statement [Line Items]
Short-term benefits		$ 9,000		$ 96,000
Share-based	$ 628,000	620,000	$ 1,127,000	1,533,000
Key management personnel [Member]
Statement [Line Items]
Share-based		$ 54,000		$ 54,000
Interest			25.00%

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Supplemental Cash Flow Information (Details) $ in Thousands, $ in Thousands	3 Months Ended			6 Months Ended
	Jun. 30, 2022 USD ($)	Jun. 30, 2022 CAD ($)	Jun. 30, 2021 USD ($)	Jun. 30, 2022 CAD ($)	Jun. 30, 2021 USD ($)	Jun. 30, 2021 CAD ($)
Supplemental Cash Flow Information (Details)
Amounts receivable	$ (93)		$ 141	$ 14	$ 396
Prepaid expenses and deposits		$ 231	191	183		$ (13)
Accounts payable and accrued liabilities		612	(333)	(11)		(50)
Changes in non-cash working capital		$ 750	$ (1)	$ 186		$ 333

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Supplemental Cash Flow Information (Details 1) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021
Supplemental Cash Flow Information (Details)
Income taxes refunded	$ 22	$ 0	$ 187	$ 1,717

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Loss (earnings) per share (Details) - CAD ($) $ / shares in Units, $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021
Loss Per Share
Net loss (earnings)	$ 5,577	$ 4,060	$ (40,059)	$ 8,985
Weighted average basic number of shares outstanding	136,600,071	117,893,013	131,266,530	117,861,667
Basic loss (earnings) per share	$ 0.04	$ 0.03	$ (0.31)	$ 0.08
Weighted average diluted number of shares outstanding	136,600,071	117,893,013	139,492,021	117,861,667
Diluted (earnings) loss per share	$ 0.04	$ 0.03	$ (0.29)	$ 0.08

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Financial Instruments (Details) $ in Thousands	Jun. 30, 2022 CAD ($)	Jun. 30, 2022 USD ($)	Dec. 31, 2021 CAD ($)	Dec. 31, 2021 USD ($)	Dec. 31, 2020 USD ($)
Statement [Line Items]
Financial assets, amortized cost	$ 12,744,000			$ 3,874
Financial assets, FVTPL	439,000	$ 439	$ 605,000		$ 2,675
Financial assets, total	13,183,000			4,479
Financial liabilities, amortized cost	1,894,000			1,888
Financial liabilities, FVTPL	0			0
Financial liabilities, total	1,894,000			1,888
Accounts Receivable
Statement [Line Items]
Financial assets, amortized cost	358,000			372
Financial assets, FVTPL	0			0
Financial assets, total	358,000			372
Cash
Statement [Line Items]
Financial assets, amortized cost	12,361,000			3,259
Financial assets, FVTPL	0			0
Financial assets, total	12,361,000			3,259
Deposits
Statement [Line Items]
Financial assets, amortized cost	25,000			243
Financial assets, FVTPL	0			0
Financial assets, total	25,000			243
Marketable Securities
Statement [Line Items]
Financial assets, amortized cost	0			0
Financial assets, FVTPL	439,000			605
Financial assets, total	439,000			605
Accounts Payable and Accrued Liabilities
Statement [Line Items]
Financial liabilities, amortized cost	1,894,000			1,888
Financial liabilities, FVTPL	0			0
Financial liabilities, total	$ 1,894,000			$ 1,888

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Financial Instruments (Details 1) $ in Thousands	Jun. 30, 2022 CAD ($)	Jun. 30, 2022 USD ($)	Dec. 31, 2021 CAD ($)	Dec. 31, 2021 USD ($)	Dec. 31, 2020 USD ($)
Statement [Line Items]
Marketable securities	$ 439,000	$ 439	$ 605,000		$ 2,675
Level 1
Statement [Line Items]
Marketable securities	439,000			$ 282
Level 2
Statement [Line Items]
Marketable securities	$ 0			$ 323

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Financial Instruments (Details 2) $ in Thousands	Jun. 30, 2022 CAD ($)	Dec. 31, 2021 CAD ($)	Dec. 31, 2021 USD ($)
Statement [Line Items]
Accounts payable and accrued liabilities	$ 1,894,000		$ 1,888
Qu?bec flow-through expenditure requirements	3,992	$ 7,290
Undiscounted lease payments	595,000	622,000
Total	6,481,000	9,800,000
Accounts payable and accrued liabilities	1,894,000	$ 1,888,000
Over 3 Years
Statement [Line Items]
Qu?bec flow-through expenditure requirements	0
Undiscounted lease payments	0
Total	0
Accounts payable and accrued liabilities	0
?l?onore South Joint Venture
Statement [Line Items]
Qu?bec flow-through expenditure requirements	0
Undiscounted lease payments	346,000
Total	346,000
Accounts payable and accrued liabilities	0
Within 1 Year
Statement [Line Items]
Accounts payable and accrued liabilities	1,894,000
Qu?bec flow-through expenditure requirements	3,992,000
Undiscounted lease payments	249,000
Total	$ 6,135,000

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Financial Instruments (Details 3) $ in Thousands	Jun. 30, 2022 CAD ($)	Dec. 31, 2021 USD ($)
Currency risk
Statement [Line Items]
Net exposure	$ (24)	$ 409
Financial Liabilities Denominated in Foreign Currencies
Statement [Line Items]
Net exposure	(34,000)	(160)
Financial Assets Denominated in Foreign Currencies
Statement [Line Items]
Net exposure	$ 10,000	$ 569

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Financial Instruments (Details Narrative)	3 Months Ended	6 Months Ended
	Jun. 30, 2022 CAD ($)	Jun. 30, 2022 USD ($)	Jun. 30, 2022 CAD ($)	Jun. 30, 2021 CAD ($)	Dec. 31, 2021 USD ($)
Financial Instruments
Net loss	$ 4,060	$ 8,985
Net loss and net earnings	5,577		$ 40,059
Unrestricted cash		12,361			$ 3,259
Working capital deficit		9,696,000			428
Accumulated deficit		(116,690)			(156,749,000)
Working capital		(1,710)			$ (3,124)
Cash payments	$ 49	71		$ 266
Recognized in prepaid expenses		$ 100		$ 214
Increase in exchange rate		10.00%	10.00%
Increase decrease in marketable securities percentage		10.00%	10.00%