WARRANT LIABILITY (Tables)

12 Months Ended

Apr. 30, 2022

Warrant Liability

SCHEDULE OF KEY INPUTS FOR THE WARRANT LIABILITY

The key inputs for the warrant liability were as follows as of March 18, 2022:

Key Valuation Inputs
Expected term (years)		5.50
Annualized volatility		84.4	%
Volatility if fundamental transaction occurs		100.00	%
Risk-free interest rate		2.15	%
Stock price	$	8.00
Dividend yield		0.00	%
Exercise price	$	8.60
Probability of fundamental transaction		85	%
Date of fundamental transaction (1)		2 years to 5.5 years

1) The fundamental transaction is simulated to occur 85% during one trading day through the 3.5 year period, 85% of the time.

U.S. GOLD CORP. AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

APRIL 30, 2022

Subsequent Measurement

The key inputs for the warrant liability were as follows as of April 30, 2022:

Key Valuation Inputs
Expected term (years)		5.39
Annualized volatility		84.2	%
Volatility if fundamental transaction occurs		100.00	%
Risk-free interest rate		2.92	%
Stock price	$	5.65
Dividend yield		0.00	%
Exercise price	$	8.60
Probability of fundamental transaction		85	%
Date of fundamental transaction		1.90 years to 5.4 years

SCHEDULE OF CHANGES IN FAIR VALUE OF LEVEL THREE WARRANT LIABILITY

The following table sets forth a summary of the changes in the fair value of the Level 3 warrant liability for the year ended April 30, 2022:

	Warrant Liability
Fair value as of April 30, 2021	$	—
Initial fair value of warrant liability upon issuance		3,652,000
Change in fair value		(1,212,000	)
Fair value as of April 30, 2022	$	2,440,000