AUREKA LIMITED — Interim / Quarterly Report 2021

Mar 11, 2021

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NAVARRE MINERALS LIMITED

ABN 66 125 140 105

Half-Year Financial Report and Directors’ Report 31 December 2020

Navarre Minerals Limited

ABN 66 125 140 105

Corporate Directory

Company

Navarre Minerals Limited (ABN 66 125 140 105) and subsidiary: Black Range Metals Pty Ltd (ABN 31 158 123 687) Loddon Gold Pty Ltd (ABN 80 640 282 882) North Central Gold Exploration Pty Ltd (ABN 59 640 554 516) Tandarra Gold Pty Ltd (ABN 63 640 554 534) Western Victoria Gold Pty Ltd (ABN 37 641 639 018)

Contents

Contents
Directors’ Report	2
Auditor’s Independence Declaration	13
Consolidated Statement of Profit or Loss and Other	14
Comprehensive Income
Consolidated Statement of Financial Position	15
Consolidated Statement of Changes in Equity	16
Consolidated Statement of Cash Flows	17
Notes to the Consolidated Financial Statements	18
Directors’ Declaration	21
Independent Auditor’s Review Report	22

Directors

Kevin Wilson (Chairman) Geoff McDermott (Joint Managing Director) Ian Holland (Joint Managing Director)

Company Secretary

Mathew Watkins

Registered Office & Principal Operations Office

40-44 Wimmera Street PO Box 385 Stawell Victoria 3380 Australia Telephone +61 (3) 5358 8625 Email info@navarre.com.au Website www.navarre.com.au

Share Registrar

Boardroom Pty Limited Level 7, 207 Kent Street Sydney NSW 2000 Australia Telephone +61 (2) 9290 9600 Facsimile +61 (3) 9279 0664

Auditor

RSM Australia Partners Level 21, 55 Collins Street Melbourne Victoria 3000 Australia

FORWARD LOOKING STATEMENTS

This Financial Report includes certain forward-looking statements that have been based on current expectations about future acts, events and circumstances. These forward-looking statements are, however, subject to risks, uncertainties and assumptions that could cause those acts, events and circumstances to differ materially from the expectations described in such forward-looking statements.

These factors include, among other things, commercial and other risks associated with the meeting of objectives and other investment considerations, as well as other matters not yet known to the Group or not currently considered material by the Group.

Stock Exchange Listing

Australian Securities Exchange ASX Limited Level 4, North Tower, Rialto 525 Collins Street Melbourne Victoria 3000 Australia ASX Code: NML Incorporated 30 April 2007 Victoria, Australia

1

Navarre Minerals Limited

ABN 66 125 140 105

DIRECTORS’ REPORT

FOR THE HALF-YEAR ENDED 31 DECEMBER 2020

The directors present their report together with the consolidated financial statements of the group comprising Navarre Minerals Limited (variously the “Company”, “Navarre” and “Navarre Minerals”) and its subsidiary (together, the “Group”) for the half-year ended 31 December 2020.

1. DIRECTORS

The names and details of the Company’s directors in office during the half-year ended 31 December 2020 and at the date of this report are as follows. The directors were in office during the entire period unless otherwise stated.

Kevin Wilson	Non-Executive Chairman(Independent)
Geoff McDermott	Joint Managing Director
Ian Holland	Joint Managing Director
Colin Naylor	Executive Director (Independent) (retired 27 November 2020)

2. REVIEW OF OPERATIONS

Financial Results

The loss after tax of the Group for the half-year was $980,086 (31 December 2019: loss after tax of $624,648).

Summary of Operations

Navarre maintained an active mineral exploration program during the half-year, carrying out 10,246 metres of air-core (AC) drilling and 6,890 metres of diamond drilling across its prospective central Victorian gold tenements (Figure 1).

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Figure 1: Location of Navarre’s Victorian mineral projects

2

Navarre Minerals Limited

ABN 66 125 140 105

DIRECTORS’ REPORT

FOR THE HALF-YEAR ENDED 31 DECEMBER 2020

2. REVIEW OF OPERATIONS

Exploration highlights include:

• Subsequent to the half year, an ongoing 12,000 metre Resource definition diamond drilling program was completed at the Stawell Corridor Gold Project, targeting a maiden mineral resource at Resolution Lode on the eastern flank of the Irvine basalt dome.

• Navarre was granted tenure over the main producing areas of the historical 400,000 ounce St Arnaud Goldfield (EL6819), in a competitive bidding process.

• Completion of a maiden 3,444 metre AC program at the Jubilee Gold Project.

• A 20,000 metre regional reconnaissance AC drilling program commenced, with drilling completed at Langi Logan, Jubilee and at the Morning Bill prospect on the Glenlyle tenement.

• (a) Stawell Corridor Gold Project (ELs 5476, 5480, 5497, 6525, 6526, 6527, 6528, 6702, 6745, 7125, ELAs 6530 & 6843) (Navarre 100%)

The Company is searching for gold deposits in an extension of a corridor of rocks that host the six million ounce Stawell and one million ounce Ararat goldfields – the Stawell Gold Corridor – where seven potential Magdala gold deposit analogues have been identified within the 70 kilometre long tenement package (Figure 2).

Irvine Basalt Dome (ELs 5476, 6525, 6526, 6527, 6528 & ELA 6530)

The Irvine basalt dome is the location of Navarre’s most advanced prospects where the Company is currently drilling two discoveries, the Resolution and Adventure lodes (Figure 2).

Resolution Lode

Resource definition diamond drilling continued to deliver strong, consistent grades of gold mineralisation in an ongoing 12,000 metre diamond core program, with Navarre targeting a maiden mineral resource in early 2021.

Results reported during the half included:

• 5.0m @ 10.0 grams per tonne gold (g/t Au) from 273.9m in RD027

• 9.4m @ 5.3 g/t Au from 355.6m, including 3.4m @ 9.2 g/t Au in RD028

• 10.8m @ 4.5 g/t Au from 483.6m, including 4.2m @ 7.5 g/t Au in RD028

• 0.9m @ 9.4 g/t Au from 251.4m in RD026

• 0.6m @ 55.0 g/t Au from 494.1 metres in RD032

• 7.9m @ 4.3 g/t Au from 441.4m, including 1.0m @ 11.7 g/t Au in RD032

• 3.7m @ 3.8 g/t Au from 381.3m in RD030

Refer to ASX announcements dated 23 December 2020 and 25 September 2020.

These intercepts complement previously reported drill results (see ASX releases of 8 July 2020 and 27 April 2020).

Subsequent to the half-year, the Company completed its 12,000 metre resource definition diamond core drilling program, revealing grades of up to 55 g/t Au at Resolution’s South Shoot. The latest results confirm the strike length of gold mineralisation at Resolution Lode’s South Shoot (the bigger of Resolution’s two lode channels) to be approximately 1.3 kilometres, extending from surface to beyond 400 metres depth, remaining open down-plunge (see ASX release of 11 March 2021; Figure 3).

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Navarre Minerals Limited ABN 66 125 140 105

DIRECTORS’ REPORT

FOR THE HALF-YEAR ENDED 31 DECEMBER 2020

2. REVIEW OF OPERATIONS

Adventure Lode

The 1.3 kilometre long Adventure Lode discovery is four kilometres south of Resolution Lode, on the eastern flank of the Irvine basalt dome.

A 2,000 metre extension diamond drilling program commenced at Adventure Lode in December 2020, following mobilisation of a third diamond drilling rig.

Previously reported drill intercepts included 4.75m @ 3.5 g/t Au from 206.9m, encompassing 1.15m @ 9.8 g/t Au (see ASX release of 20 December 2019; Figure 4).

Subsequent to the half-year, the Company completed its 2,000 metre expansion diamond core drilling program and reported results for the first three holes, which delivered two of the highest grade intercepts recorded to date (see ASX release of 11 March 2021).

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Figure 2: Location of Navarre’s Stawell Gold Corridor projects and prospects

4

Navarre Minerals Limited

ABN 66 125 140 105

DIRECTORS’ REPORT

FOR THE HALF-YEAR ENDED 31 DECEMBER 2020

2. REVIEW OF OPERATIONS

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Figure 3: Longitudinal Projection of Resolution Lode’s South Shoot showing significant drill intercepts.

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Figure 4: Longitudinal Projection of Adventure Lode showing interpreted gold shoots and area of proposed drilling.

5

Navarre Minerals Limited

ABN 66 125 140 105

DIRECTORS’ REPORT

FOR THE HALF-YEAR ENDED 31 DECEMBER 2020

2. REVIEW OF OPERATIONS

Langi Logan Basalt Dome (ELs 5476, 5480, 6702, 6745, 7125 & ELA 6843)

The Langi Logan gold prospect is the next major basalt dome south of Irvine, located 40 kilometres south of Stawell (Figure 2). The majority of the prospect is concealed under recent unmineralised cover and has yielded several shallow, high-grade gold results of up to 33.6 g/t gold in early phase exploration (see ASX release of 12 February 2019; Figure 5).

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Figure 5: Gravity image of Langi Logan showing drill results (including historical) and geological interpretation

The Langi Logan prospect is in an area of significant historical deep lead gold production, with 133,000 ounces of gold recorded.

The prospect consists of four, potentially fault-bound segments of a Cambrian basalt dome structure, with a combined 14.5 kilometre strike length.

During the half-year, a 3,404 metre reconnaissance AC drilling program was completed at Langi Logan testing the prospective east and west margins of the Langi Logan north basalt dome.

The results were reported in January 2021 (see ASX release of 14 January 2021). Peak intercepts included 2 metres @ 1.2 g/t gold and 1 metre @ 2.4 g/t gold .

6

Navarre Minerals Limited

ABN 66 125 140 105

DIRECTORS’ REPORT

FOR THE HALF-YEAR ENDED 31 DECEMBER 2020

2. REVIEW OF OPERATIONS

Morning Bill prospect (formerly Glenlyle) (EL 5497) (Navarre 100%)

The Morning Bill prospect is located within the Glenlyle tenement, 25 kilometres north of Stavely Minerals Limited’s (ASX:SVY) Thursdays Gossan project and 20km west of Langi Logan (Figure 2).

During December 2020, Navarre commenced a program of reconnaissance AC drilling, designed to expand and scope the shallow lateral expanses of gold and silver mineralisation discovered in 2018 at the Morning Bill prospect and to test several other similar geophysical anomalies.

Subsequent to the half-year, the Company completed its 8,388 metre AC drilling program and reported results from 42 of the 102 holes completed, with strongly anomalous gold, silver, lead and zinc grades detected (see ASX releases of 4 February 2021 and 4 March 2021).

(b) Tandarra Gold Project (RL 6660) (Navarre 49%)

The Tandarra Gold Project is a joint venture with manager, Catalyst Metals Limited (ASX: CYL).

The advanced project is 40 kilometres north of the 22 million ounce Bendigo Goldfield and approximately 50 kilometres northwest from Kirkland Lake Gold’s Fosterville Gold Mine (Figure 6).

The project contains three main prospects referred to as the Tomorrow, Macnaughtan and Lawry prospects.

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Figure 6: Tandarra Gold Project location map

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Navarre Minerals Limited

ABN 66 125 140 105

DIRECTORS’ REPORT

FOR THE HALF-YEAR ENDED 31 DECEMBER 2020

2. REVIEW OF OPERATIONS

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Figure 7: Macnaughtan, Tomorrow and Lawry Zones at Tandarra, with AC drill plan showing significant result (source: Catalyst Metals Ltd)

Macnaughtan Prospect

A reconnaissance AC drilling program tested the southerly extension of the Macnaughtan prospect on seven traverses spaced 100 to 270 metres apart, and confirmed significant gold mineralisation over a 1.4 kilometre strike length (Figure 7).

Gold mineralisation was intersected on most traverses, with the higher grades concentrated in a 500 metre interval in the centre of the prospect. Key intersections included:

• 13m @ 7.8 g/t Au , including 2m @ 44.8 g/t Au from 78m in ACT464

• 2m @ 2.1 g/t Au from 106m in ACT446

Refer to ASX announcement dated 13 October 2020.

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Navarre Minerals Limited ABN 66 125 140 105

DIRECTORS’ REPORT

FOR THE HALF-YEAR ENDED 31 DECEMBER 2020

2. REVIEW OF OPERATIONS

Lawry Prospect

Results from AC drill testing of the newly discovered Lawry Zone, 200 metres east of the Tomorrow Zone, continues to return significant areas of gold mineralisation.

Key AC drill intersections include:

• 31m @ 1.40 g/t Au from 56m in ACT378, including 5m @ 3.2 g/t Au & 1m @ 10.5 g/t Au at blade refusal

• 2m @ 1.84 g/t Au from 91m in ACT376

The mineralisation encountered remains open to both the north and south (Figure 7).

Refer to ASX announcement dated 13 October 2020.

Tomorrow Prospect

Results from a 1,302 metre, four-hole expansion diamond drilling program confirmed a further 400 metre strike extent of a large discordant west-dipping fault, thought to control the emplacement of gold mineralisation (Figure 8). The best intersection was 1m @ 82.30 g/t Au from 261m in DDT026.

Refer to ASX announcement dated 13 October 2020.

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Figure 8: Tomorrow Zone Longitudinal Projection at Tandarra showing the locations of diamond drill holes and significant intersections (2020 holes highlighted in blue) (source: Catalyst Metals Ltd)

9

Navarre Minerals Limited

ABN 66 125 140 105

DIRECTORS’ REPORT

FOR THE HALF-YEAR ENDED 31 DECEMBER 2020

2. REVIEW OF OPERATIONS

(c) St Arnaud Gold Project (ELs 6556, 6819, ELAs 7431, 7436, 7496 & 7567 ) (Navarre 100%)

The St Arnaud Gold Project surrounds the historical St Arnaud Goldfield, where high-grade gold was mined from quartz lodes in a structural setting consistent with most gold deposits in Central Victoria, including Bendigo and Fosterville (Figure 1).

Following a competitive application process, Victoria’s minerals regulator granted Navarre tenure over the main areas of the historical St. Arnaud Goldfield, which has produced 400,000 ounces in the past.

Navarre lodged four adjacent exploration licence applications over more than 1,200 square kilometres which would double the size of the St Arnaud Gold Project when granted.

Subsequent to the half-year, the Company commenced a 2,000 metre diamond drilling campaign to follow up rich legacy gold hits, such as one metre at 1,174 grams per tonne (see ASX release of 11 February 2021).

(d) Jubilee Gold Project (EL 6689) (Navarre 100%)

During the half-year, the company finalised acquisition of the Jubilee Gold Project (Figure 1).

A geophysics program and 3,444 metre AC drilling program was also completed, as part of a 12,000 metre regional campaign announced to the ASX on 5 October 2020.

Encouraging maiden results were announced subsequent to the half-year, with all three targets returning strongly anomalous gold grades of up to 1.5 grams per tonne (see ASX release of 2 February 2021).

The Jubilee Gold Project includes the historical 619 metre deep Jubilee Gold Mine (mined 1887-1913) that produced approximately 130,000 ounces of gold at a recovered grade of around 12 grams per tonne.

(e) Stavely Arc Project (ELs 4590 & 5425)

Black Range Project (EL 4590) (Navarre 100%)

Subsequent to the half-year, the Company announced the divestment of the Black Range Project to Resource Base Limited (see ASX announcement of 16 February 2021).

Stavely Project (EL 5425)

Capturing multiple untested targets, EL 5425 is subject to an agreement where Stavely Minerals Limited (ASX: SVY) may earn an 80 per cent interest by spending $450,000 over five years.

There was no significant activity during the half-year at the Stavely Project.

(f) Significant changes in the state of affairs of the Group during the half-year

During the half-year, the Company raised $8,303,260 (before transaction costs) through capital raising initiatives, as detailed below (under the heading “Share Issues”). Proceeds from the capital raisings will be applied to future exploration and evaluation activities on the Stawell Corridor Gold Project and other priority projects in Victoria and ongoing corporate expenses.

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Navarre Minerals Limited

ABN 66 125 140 105

DIRECTORS’ REPORT

FOR THE HALF-YEAR ENDED 31 DECEMBER 2020

2. REVIEW OF OPERATIONS

(g) Events subsequent to balance date

On 16 February 2021, Navarre announced the execution of a binding agreement with Resource Base Limited (Resource Base) for the sale of the Company’s Black Range base metal exploration tenement (EL 4590) in western Victoria, which includes the Eclipse prospect.

As consideration for acquiring 100% ownership in the Tenement, Resource Base (who will seek admission to the ASX) will provide Navarre the following consideration, subject to the satisfaction or waiver of certain conditions precedent:

• $1,520,000 in Resource Base shares on settlement (at proposed Resource Base Initial Public Offering price of $0.20 per share);

• 2,500,000 Resource Base shares on the announcement of a JORC compliant Mineral Resource of 100,000 tonnes of any minerals of economic interest from the Tenement within 5 years of the settlement date; and

• 6,000,000 Resource Base shares on delivery of a definitive feasibility study within 5 years of settlement which indicates a project net present value of greater than $250,000,000.

In addition, Navarre will be entitled to nominate one non-executive director to sit on the Board of Resource Base.

There were no other significant matters that arose subsequent to 31 December 2020 and up until the date of this report.

3. OTHER MATTERS

Share Issues

In July 2020, Navarre raised $8,000,000 (before transaction costs) from a share placement to institutional and sophisticated investors, resulting in the issue of 64,000,000 ordinary shares at an issue price of $0.125 per share.

In August 2020, Navarre raised $14,400 (before transaction costs) from issuing 200,000 fully paid ordinary shares following the exercise of unlisted employee share options (exercise price $0.072, expiry date 31 December 2021).

In November 2020, Navarre issued 500,000 fully paid ordinary shares following the exercise of unlisted performance rights (expiry date 31 December 2024).

In December 2020, Navarre raised $288,860 (before transaction costs) from issuing 2,200,000 fully paid ordinary shares following the exercise of unlisted share options (exercise price $0.1313, expiry date 17 May 2022).

Share Options

No share options were issued by the Company to directors or employees of the Company during the half-year ended 31 December 2020. 550,000 unlisted employee share options in the Company expired on 31 December 2020 as a result of an employee ceasing employment with the Company.

As noted above, during the half-year the Company issued fully paid ordinary shares as a result of the exercise of unlisted options as follows:

Number of shares Amount paid on each share 200,000 $0.072 2,200,000 $0.1313

Share Performance Rights

During the half-year, the Company issued 1,500,000 share performance rights (expiry date 31 December 2024) to the Managing Director of the Company.

As noted above, a total of 500,000 fully paid ordinary shares were issued during the half-year as a result of the exercise of unlisted performance rights (expiry date 31 December 2024).

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Navarre Minerals Limited

ABN 66 125 140 105

DIRECTORS’ REPORT

FOR THE HALF-YEAR ENDED 31 DECEMBER 2020

2. REVIEW OF OPERATIONS

Auditor’s Independence Declaration

A copy of the auditor’s independence declaration as required under section 307C of the Corporations Act 2001 is set out on page 13.

Signed in accordance with a resolution of the Directors made pursuant to section 306(3)(a) of the Corporations Act 2001 .

On behalf of the Directors

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K Wilson Chairman Melbourne, 12 March 2021

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AUDITOR’S INDEPENDENCE DECLARATION

As lead auditor for the review of the financial report of Navarre Minerals Limited for the half year ended 31 December 2020, I declare that, to the best of my knowledge and belief, there have been no contraventions of:

• (i) the auditor independence requirements of the Corporations Act 2001 in relation to the audit; and

• (ii) any applicable code of professional conduct in relation to the review.

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RSM AUSTRALIA PARTNERS

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J S CROALL Partner

Dated: 12 March 2021 Melbourne, Victoria

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ABN 66 125 140 105

Navarre Minerals Limited

CONSOLIDATED STATEMENT OF PROFIT OR LOSS AND OTHER COMPREHENSIVE INCOME FOR THE HALF-YEAR ENDED 31 DECEMBER 2020

Note Interest income Income Net administration expenses 4 Exploration expenditure written-off Loss before income tax Income tax expense Net loss for the period Other comprehensive income for the period Total comprehensive loss for the period Basic loss per share (cents per share) Diluted loss per share (cents per share)	31/12/2020 31/12/2019 $ $ 41,807 59,139
	41,807 59,139
	(996,623) (507,802) (25,270) (175,985)
	(980,086) (624,648) - -
	(980,086) (624,648) - -
	(980,086) (624,648)
	(0.18) (0.14) (0.18) (0.14)

The above consolidated statement of profit or loss and other comprehensive income should be read in conjunction with the accompanying notes.

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ABN 66 125 140 105

Navarre Minerals Limited

CONSOLIDATED STATEMENT OF FINANCIAL POSITION AS AT 31 DECEMBER 2020

Note CURRENT ASSETS Cash and cash equivalents 5 Trade and other receivables Prepaid expenses Other financial assets 6 TOTAL CURRENT ASSETS NON-CURRENT ASSETS Other financial assets 6 Property, plant and equipment Leasehold improvements Right-of use asset Exploration and evaluation costs 7 TOTAL NON-CURRENT ASSETS TOTAL ASSETS CURRENT LIABILITIES Trade and other payables1 Provisions TOTAL CURRENT LIABILITIES NON-CURRENT LIABILITIES Lease liability Provisions TOTAL NON-CURRENT LIABILITIES TOTAL LIABILITIES NET ASSETS EQUITY Contributed equity 8 Share based payments reserve Accumulated losses TOTAL EQUITY	31/12/2020 30/06/2020 $ $ 6,873,816 2,596,648 338,027 100,777 55,107 80,045 3,100,000 3,010,000
	10,366,950 5,787,470
	110,000 110,000 135,235 39,525 4,982 - 111,277 - 19,433,499 15,297,618
	19,794,993 15,447,143
	30,161,943 21,234,613
	2,038,697 429,664 138,124 111,709
	2,176,821 541,373
	112,591 - 2,634 2,359
	115,225 2,359
	2,292,046 543,732
	27,869,897 20,690,881
	37,607,849 29,634,657 858,659 672,749 (10,596,611) (9,616,525)
	27,869,897 20,690,881

The above consolidated statement of financial position should be read in conjunction with the accompanying notes.

1 The balance of trade and other payables at 31 December 2020, totalling $2,038,697, consists largely of unpaid drilling expenses due to increased exploration activities.

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ABN 66 125 140 105

Navarre Minerals Limited

CONSOLIDATED STATEMENT OF CHANGES IN EQUITY FOR THE HALF-YEAR ENDED 31 DECEMBER 2020

FOR THE HALF-YEAR ENDED 31 DECEMBER 2020
Balance at 1 July 2020 Net loss for the period Total comprehensive loss for the year Transactions with owners in their capacity as ow Cost of share based payments Share issues Costs of issues Transfer of equity instruments exercised Transfer of equity instruments lapsed At 31 December 2020 Balance at 1 July 2019 Net loss for the period Total comprehensive loss for the year Transactions with owners in their capacity as ow Cost of share based payments Share issues Costs of issues Transfer of equity instruments exercised Transfer of equity instruments lapsed At 31 December 2019	Issued Capital Share Based Payments Reserve Accumulated Losses Total Equity $ $ $ $ 29,634,657 672,749 (9,616,525) 20,690,881 - - (980,086) (980,086)
	- - (980,086) (980,086) ners: - 370,474 - 370,474 8,303,260 - - 8,303,260 (514,632) - - (514,632) 184,564 (184,564) - - - - - -
	37,607,849 858,659 (10,596,611) 27,869,897
	Issued Capital Share Based Payments Reserve Accumulated Losses Total Equity $ $ $ $ 25,155,010 521,068 (8,704,555) 16,971,523 - - (624,648) (624,648)
	- - (624,648) (624,648) ners: - 94,514 - 94,514 4,752,009 - - 4,752,009 (272,799) - - (272,799) 437 (437) - - - (29,370) 29,370 -
	29,634,657 585,775 (9,299,833) 20,920,599

The above consolidated statement of changes in equity should be read in conjunction with the accompanying notes.

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Navarre Minerals Limited

ABN 66 125 140 105

CONSOLIDATED STATEMENT OF CASH FLOWS FOR THE HALF-YEAR ENDED 31 DECEMBER 2020

CASH FLOWS FROM OPERATING ACTIVITIES Payments to suppliers and employees Interest received Net cash (used in) operating activities CASH FLOWS FROM INVESTING ACTIVITIES Receipts / (payments) for investments Expenditure on plant and equipment Expenditure on exploration tenements Net cash from / (used in) investing activities CASH FLOWS FROM FINANCING ACTIVITIES Proceeds from share issues Transaction costs on issue of shares Payment of principal element of lease liabilities Net cash from financing activities Net increase / (decrease) in cash and cash equivalents Cash and cash equivalents at beginning of period Cash and cash equivalents at end of period (Note 5)	31/12/2020 31/12/2019 $ $ (876,059) (536,741) 38,904 61,903
	(837,155) (474,838)
	- 3,762,795 (119,380) (1,095) (2,550,893) (1,367,584)
	(2,670,273) 2,394,116
	8,303,260 4,752,009 (511,674) (272,799) (6,990) -
	7,784,596 4,479,210
	4,277,168 6,398,488 2,596,648 1,747,865
	6,873,816 8,146,353

The above consolidated statement of cash flows should be read in conjunction with the accompanying notes.

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Navarre Minerals Limited ABN 66 125 140 105

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE HALF-YEAR ENDED 31 DECEMBER 2020

NOTE 1: CORPORATE INFORMATION

The financial report of Navarre Minerals Limited (“Navarre Minerals”, or the “Company”) for the half-year ended 31 December 2020 was issued on 12 March 2021 in accordance with a resolution of the directors.

Navarre Minerals Limited is a company limited by shares incorporated in Australia. The Company’s shares are publicly traded on the Australian Securities Exchange (ASX).

The nature of operations and principal activities of the Group are described in the directors’ report.

NOTE 2: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

(a) Basis of Preparation

This general purpose financial report for the half-year ended 31 December 2020 has been prepared in accordance with AASB 134 “Interim Financial Reporting” and the Corporations Act 2001.

The half-year financial report does not include all notes of the type normally included within the annual financial report and therefore cannot be expected to provide as full an understanding of the financial performance, financial position and financing and investing activities of the Group as the full financial report.

It is recommended that the half-year financial report be read in conjunction with the annual report for the year ended 30 June 2020 and considered together with any public announcements made by Navarre Minerals Limited during the half-year ended 31 December 2020 in accordance with the continuous disclosure obligations of the ASX listing rules.

(b) Changes in accounting policy, accounting standards and interpretations

The Group has adopted all of the new or amended Accounting Standards and Interpretations issued by the Australian Accounting Standards Board ('AASB') that are mandatory for the current reporting period. Any new or amended Accounting Standards or Interpretations that are not yet mandatory have not been early adopted.

NOTE 3: SEGMENT INFORMATION

The Group’s reportable segment is confined to mineral exploration in Victoria only.

NOTE 4: NET ADMINISTRATION EXPENSES

Net administration expenses Consultants fees and expenses Directors remuneration (non-executive) Salaries and on-costs Share based payments Investor relations Business Development Motor vehicle expenses Audit costs Stock exchange registry and reporting costs Travel costs Depreciation and amortisation Other administration expenses Gross administration expenses Capitalised as exploration and evaluation costs1 Net administration expenses	Consolidated 31/12/2020 31/12/2019 $ $ 10,088 1,074 52,827 71,175 665,640 440,301 370,474 94,514 145,343 141,219 185,466 - 19,733 11,293 10,100 10,237 65,295 44,261 15,067 5,348 24,525 8,432 65,468 39,042
	1,630,026 866,896 (633,403) (359,094)
	996,623 507,802

1 The amount capitalised as exploration and evaluation costs, totalling $996,623 (31 December 2019: $507,802), forms part of the exploration and evaluation expenditure for the year as set out in Note 7.

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Navarre Minerals Limited

ABN 66 125 140 105

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE HALF-YEAR ENDED 31 DECEMBER 2020

NOTE 5: CASH AND CASH EQUIVALENTS

NOTE 5: CASH AND CASH EQUIVALENTS
Cash at bank and in hand Cash at bank earns interest at floating rates based on daily bank rates. NOTE 6: OTHER FINANCIAL ASSETS Current Term Deposits Non-current Bank Guarantees – Exploration Permits Cash Bond – Exploration Permits NOTE 7: EXPLORATION AND EVALUATION COSTS Balance at beginning of the period Expenditure for the period Expenditure written-off during the period	Consolidated 31/12/2020 30/06/2020 $ $ 6,873,816 2,596,648
	Consolidated 31/12/2020 30/06/2020 $ $ 3,100,000 3,010,000
	Consolidated 31/12/2020 30/06/2020 $ $ 20,000 110,000 90,000 -
	Consolidated 31/12/2020 30/06/2020 $ $ 15,297,618 10,997,701 4,161,151 4,480,027 (25,270) (180,110)
	19,433,499 15,297,618

Capitalised exploration and evaluation costs at 31 December 2020 are $19,433,499 (June 2020: $15,297,618) which relate to Stawell Corridor Gold Project $12,290,506 (June 2020: $8,934,520), Tandarra Gold Project $5,377,090 (June 2020: $5,067,766), St Arnaud Gold Project $877,218 (June 2020: $836,027), Stavely Arc Project $428,761 (June 2020: $423,819) and Jubilee Gold Project $459,924 (June 2020: $35,486).

NOTE 8: CONTRIBUTED EQUITY AND RESERVES

		Consolidated	Consolidated
	31/12/2020	31/12/2020	30/06/2020	30/06/2020
	Shares	$	Shares	$
ISSUED AND PAID UP CAPITAL
Ordinary shares	545,142,151	37,607,849	478,242,151	29,634,657

NOTE 9: COMMITMENTS AND CONTINGENCIES

There have been no material changes to commitments since the annual financial statements that were issued for the year ended 30 June 2020.

NOTE 10: SHARE BASED PAYMENT PLANS

Share Options

No share options were granted to employees of the Company during the half-year ended 31 December 2020. 550,000 unlisted employee share options in the Company expired on 31 December 2020 as a result of an employee ceasing employment with the Company.

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Navarre Minerals Limited

ABN 66 125 140 105

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE HALF-YEAR ENDED 31 DECEMBER 2020

NOTE 10: SHARE BASED PAYMENT PLANS (cont.)

Share Performance Rights

During the half-year, the Company issued 1,500,000 share performance rights (expiry 31 December 2024) to the Managing Director of the Company.

NOTE 11: EVENTS SUBSEQUENT TO BALANCE DATE

On 16 February 2021, Navarre announced the execution of a binding agreement with Resource Base Limited (Resource Base) for the sale of the Company’s Black Range base metal exploration tenement (EL 4590) in western Victoria, which includes the Eclipse prospect.

As consideration for acquiring 100% ownership in the Tenement, Resource Base (who will seek admission to the ASX) will provide Navarre the following consideration, subject to the satisfaction or waiver of certain conditions precedent:

• $1,520,000 in Resource Base shares on settlement (at proposed Resource Base Initial Public Offering price of $0.20 per share);

• 2,500,000 Resource Base shares on the announcement of a JORC compliant Mineral Resource of 100,000 tonnes of any minerals of economic interest from the Tenement within 5 years of the settlement date; and

• 6,000,000 Resource Base shares on delivery of a definitive feasibility study within 5 years of settlement which indicates a project net present value of greater than $250,000,000.

In addition, Navarre will be entitled to nominate one non-executive director to sit on the Board of Resource Base.

There were no other significant matters that arose subsequent to 31 December 2020 and up until the date of this report.

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Navarre Minerals Limited ABN 66 125 140 105

DIRECTORS’ DECLARATION

In accordance with a resolution of the directors of Navarre Minerals Limited, I state that:

In the opinion of the Directors:

• (a) The financial statements and notes of Navarre Minerals Limited for the half year ending 31 December 2020 are in accordance with the Corporations Act 2001, including:

• (i) Giving a true and fair view of the Group’s financial position as at 31 December 2020.

• (ii) Complying with Accounting Standard AASB 134 ‘Interim Financial Reporting’ and Corporations Regulations 2001.

• (b) There are reasonable grounds to believe that the Group will be able to pay its debts as and when they become due and payable.

Signed in accordance with a resolution of the Directors made pursuant to section 303(5)(a) of the Corporations Act 2001

On behalf of the Board

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K Wilson Chairman Melbourne, 12 March 2021

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INDEPENDENT AUDITOR’S REPORT

TO THE MEMBERS OF

NAVARRE MINERALS LIMITED

Report on the Financial Report

We have reviewed the accompanying half-year financial report of Navarre Minerals Limited (the company) and its subsidiaries (the Group) which comprises the consolidated statement of financial position as at 31 December 2020, the consolidated statement of profit or loss and other comprehensive income, consolidated statement of changes in equity and consolidated statement of cash flows for the half-year ended on that date, notes comprising a summary of significant accounting policies and other explanatory information, and the directors’ declaration of the Group comprising the company and the entities it controlled at the half-year end or from time to time during the half-year.

Directors’ Responsibility for the Financial Report

The directors of the company are responsible for the preparation of the half-year financial report that gives a true and fair view in accordance with Australian Accounting Standards and the Corporations Act 2001 and for such internal control as the directors determine is necessary to enable the preparation of the half-year financial report that is free from material misstatement, whether due to fraud or error.

Auditor’s Responsibility

Our responsibility is to express a conclusion on the half-year financial report based on our review. We conducted our review in accordance with Auditing Standard on Review Engagements ASRE 2410 Review of a Financial Report Performed by the Independent Auditor of the Entity , in order to state whether, on the basis of the procedures described, we have become aware of any matter that makes us believe that the half-year financial report is not in accordance with the Corporations Act 2001 including: giving a true and fair view of the Group’s financial position as at 31 December 2020 and its performance for the half-year ended on that date; and complying with Accounting Standard AASB 134 Interim Financial Reporting and the Corporations Regulations 2001 . As the auditor of Navarre Minerals Limited, ASRE 2410 requires that we comply with the ethical requirements relevant to the audit of the annual financial report.

A review of a half-year financial report consists of making enquiries, primarily of persons responsible for financial and accounting matters, and applying analytical and other review procedures. A review is substantially less in scope than an audit conducted in accordance with Australian Auditing Standards and consequently does not enable us to obtain assurance that we would become aware of all significant matters that might be identified in an audit. Accordingly, we do not express an audit opinion.

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Independence

In conducting our review, we have complied with the independence requirements of the Corporations Act 2001. We confirm that the independence declaration required by the Corporations act 2001, which has been given to the directors of Navarre Minerals Limited, would be in the same terms if given to the directors as at the time of this auditor’s report .

Conclusion

Based on our review, which is not an audit, we have not become aware of any matter that makes us believe that the half-year financial report of Navarre Minerals Limited is not in accordance with the Corporations Act 2001 including:

• (a) giving a true and fair view of the Group’s financial position as at 31 December 2020 and of its performance for the half-year ended on that date; and

• (b) complying with Accounting Standard AASB 134 Interim Financial Reporting and Corporations Regulations 2001 .

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RSM AUSTRALIA PARTNERS

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J S CROALL Partner

Dated: 12 March 2021 Melbourne, Victoria

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