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CONICO LTD Interim / Quarterly Report 2015

Mar 12, 2015

64678_rns_2015-03-12_aa9bcbb9-9b7b-4a3b-b202-9f554c9909a0.pdf

Interim / Quarterly Report

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Conico Ltd ABN 85 009 253 187

and Controlled Entities

Interim Financial Report for the Half-Year Ended 31 December 2014

CONICO LTD ABN 49 119 057 457 AND CONTROLLED ENTITIES

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CONTENTS

Highlights 3
Corporate Directory 4
Review of Operations 5
Directors’ Report 7
Auditor’s Independence Declaration 8
Consolidated Statement of Profit or Loss and Other Comprehensive Income 9
Consolidated Statement of Financial Position 10
Consolidated Statement of Changes in Equity 11
Consolidated Statement of Cash Flows 12
Notes to the Financial Statements 13
Directors’ Declaration 15
Independent Auditor’s Review Report 16
Interests in Mining Tenements 18

ASX Code: CNJ

Page 2 of 18

CONICO LTD ABN 49 119 057 457 AND CONTROLLED ENTITIES

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HIGHLIGHTS

MT THIRSTY PROJECT (WA)

Mt Thirsty Co-Ni-Mn Oxide Resource

  • EM Survey defines several Priority 1 EM conductors:

  • 23.6 line km of moving loop EM (MLEM) surveys completed on Exploration Licences 63/373 and 63/1267.

  • Seven EM conductors; three rated Category-1, three rated Category-2 and one rated Category-4 have been identified, modelled and prioritsed by a geophysical consultant.

  • All Category-1 conductors have potential for Ni sulphides and have been recommended by the consultant for drill testing.

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Mt Thirsty Project Location and Regional Geology

ASX Code: CNJ

Page 3 of 18

CONICO LTD ABN 49 119 057 457 AND CONTROLLED ENTITIES

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CORPORATE DIRECTORY

DIRECTORS:

Gregory H Solomon LLB (Executive Chairman) Douglas H Solomon BJuris LLB (Hons) (Non-Executive) Guy T Le Page BA, BSc (Hons), MBA, FINSIA, MAusIMM (Non-Executive) James B Richardson Dip, Fin Plan (Non-Executive)

COMPANY SECRETARY:

Aaron P Gates B.Com, CA, AGIA

REGISTERED OFFICE:

Level 15 197 St Georges Terrace Perth Western Australia 6000 Tel +61 8 9282 5889 Fax +61 8 9282 5866 Email: [email protected] Website: www.conico.com.au

SOLICITORS:

Solomon Brothers Level 15 197 St Georges Terrace Perth WA 6000

Minter Ellison 1 King William Street Adelaide SA 5000

AUDITORS:

Nexia Perth Audit Services Pty Ltd Level 3 88 William Street Perth WA 6000

SHARE REGISTRY:

Advance Share Registry Services 110 Stirling Highway Nedlands WA 6009

STOCK EXCHANGE LISTING:

ASX Code: CNJ (ordinary shares)

Quotation has been granted for all the ordinary shares and all issued options of the company on all Member Exchanges of the Australian Stock Exchange Limited.

ASX Code: CNJ

Page 4 of 18

CONICO LTD ABN 49 119 057 457 AND CONTROLLED ENTITIES

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REVIEW OF OPERATIONS

Nickel Sulphide Exploration

Electromagnetic Surveys

A 23.6 line kilometre MLEM survey over 19 lines was undertaken by GEM Geophysics over the NNE trending maficultramafic-sediment sequence within E63/373 and E63/1267 (Figure 2).

The survey was targeting conductors due to nickel sulphides associated with an interpreted basal footwall maficultramafic contact or mafic – ultramafic rocks higher in the sequence.

The area tested is the strike extension of the sequence hosting the Mt Thirsty nickel sulphide prospect in E63/373 that has previously returned a number of strong but isolated Ni sulphide intersections up to 6 metres down hole @ 3.5% Ni and 2 metres @ 5.9% Ni in holes MTRC 15 and 22 respectively (refer ASX announcement 19[th] May 2010: “High Grades Intersected at Mt Thirsty”, available to view on www.conico.com.au.).

The EM survey lines were mostly at 400m spacing and designed for a 200m by 200m loop. Readings were taken every 100m along each line. In some cases the line spacing was 300m to facilitate access along existing tracks to improve production rates in thick scrub.

Results were modelled and interpreted by Spinifex Geophysics with the aim of identifying conductors representing potential massive sulphide accumulations.

Survey Results

A total of seven EM conductors have been identified and modelled within E63/1267 (3 anomalies) and E63/373 (4 anomalies), (Figure 2). All conductors have been prioritised based on their compliance with a number of primary criteria. Three of the conductors are rated Category-1 (MT002, MT004 & MT009; highest priority), three rated Category2 (MT005, MT007 & MT008; high priorty) and one rated category-4 (MT010; low priority). Category-2 conductors have been downgraded due to their lower modelled conductivity but are generally well defined. Conductors ranked Category1 and -2 warrant immediate consideration as drill targets.

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----- Start of picture text -----

E63/1267
E63/373E63/373
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Figure 1: Stacked in-loop MLEM profiles and conductor locations over TMI-1VD aeromagnetic image.

ASX Code: CNJ

Page 5 of 18

CONICO LTD ABN 49 119 057 457 AND CONTROLLED ENTITIES

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Future Exploration

Recommendations for follow up work are based upon conductor quality and implied geological setting. All Category-1 conductors are recommended for drill testing by Spinifex Geophysics.

Drill testing of the highest priority conductors is planned in the near term.

Mt Thirsty Co-Ni Oxide Deposit

Metallurgical Testwork

A split from a bulk sample was provided to Metaleach Ltd for testing the amenability of Mt Thirsty oxide material to the proprietary ammonia based Ammleach[®] process for selective leaching of Ni and Co. It has been postulated that this process has the potential to recover significantly higher nickel than the agitated leach process recently developed for Mt Thirsty Co-Ni oxide material. Initial results however were not encouraging although further tests will be undertaken.

At this stage closed tank agitated leaching with SO2 still looks to be the most cost effective method to treat Mt Thirsty oxide mineralisation.

Retention Licence

A retention licence has been applied for over E63/373 which covers a large portion of the Mt Thirsty Co-Ni oxide resource. A new mining lease application will be lodged over this tenement once market conditions have improved.

Mt Thirsty Project Summary

The Mt Thirsty Cobalt – Nickel - Manganese oxide project covering an area of 17km[2] is located 20km north-northwest of Norseman in the southern goldfields of Western Australia, a well endowed nickel terrain. Conico Ltd through its wholly owned subsidiary Meteore Metals Pty Ltd owns 50% of the project in joint venture with Barra Resources Limited. The Mt Thirsty deposit has the potential to emerge as a significant cobalt supplier. Recent metallurgical test work indicates that high recoveries of cobalt together with some nickel can be achieved through low temperature agitated leaching in closed tanks using SO2.

Mt Thirsty has a JORC (2004) compliant Indicated Resource of 16.6 million tonnes at 0.14% Cobalt, 0.60% Nickel and 0.98% Manganese and a JORC (2004) compliant Inferred Resource of 15.3 million tonnes at 0.11% Co, 0.51% Ni and 0.73% Mn over a length of 1.6 kilometres and a width of up to 850 metres. (This resource information was prepared and first disclosed under the JORC Code 2004. It has not been updated since to comply with the JORC Code 2012 on the basis that the information has not materially changed since it was last reported, refer ASX Announcement 8[th] March 2011: “Resource Upgrade”, available to view on www.conico.com.au.).

As well as the Co-Ni oxide resource, the Mt Thirsty joint venture tenements have potential for nickel sulphide mineralisation at greater depths within the same ultramafic sequence which hosts the near surface oxide deposit. Intersections of nickel sulphides up to 6m down hole at 3.4% Ni were made by the joint venture in 2010 (refer ASX announcement 19[th] May 2010: “High Grades Intersected at Mt Thirsty”, available to view on www.conico.com.au.).

***

Disclaimer

The interpretations and conclusions reached in this report are based on current geological theory and the best evidence available to the authors at the time of writing. It is the nature of all scientific conclusions that they are founded on an assessment of probabilities and, however high these probabilities might be, they make no claim for complete certainty. Any economic decisions that might be taken on the basis of interpretations or conclusions contained in this report will therefore carry an element of risk.

It should not be assumed that the reported Exploration Results will result, with further exploration, in the definition of a Mineral Resource.

Competent Person’s Statement

The information in this six monthly report that relates to Exploration Targets, Exploration Results and Mineral Resources is based on and fairly represents information compiled by Michael J Glasson and Robert N Smith, Competent Persons who are members of the Australian Institute of Geoscientists.

Mr Glasson and Mr Smith are full time employees of Tasman Resources Ltd and in this capacity act as part time consultants to Conico Ltd. Mr Glasson and Mr Smith hold shares in Conico Ltd.

Mr Glasson and Mr Smith have sufficient experience which is relevant to the style of mineralisation and type of the deposits under consideration and to the activity being undertaking to qualify as Competent Persons as defined in the 2012 Edition of the ‘Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves. Mr Glasson and Mr Smith consent to the inclusion in the report of the matters based on their information in the form and context in which it appears.

ASX Code: CNJ

Page 6 of 18

CONICO LTD ABN 49 119 057 457 AND CONTROLLED ENTITIES

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DIRECTORS’ REPORT

Your directors submit the financial report of the consolidated group for the half-year ended 31 December 2014.

Directors

The names of directors who held office during or since the end of the half-year:

Mr Gregory H Solomon

Mr Douglas H Solomon Mr Guy T Le Page Mr James B Richardson

Review of Operations

The net loss after income tax for the half year was $226,634 (2013: $231,542).

A review of the operations of the Group during the half-year ended 31 December 2014 is set out in the Review of Operations on Page 5.

Auditor’s Declaration

The lead auditor’s independence declaration under section 307C of the Corporations Act 2001 is set out on page 8 for the half-year ended 31 December 2014.

This report is signed in accordance with a resolution of the Board of Directors.

Director Gregory H Solomon

Dated this 12[th] day of March 2015

ASX Code: CNJ

Page 7 of 18

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Auditor’s independence declaration under section 307C of the Corporations Act 2001

To the directors of Conico Limited

I declare that, to the best of my knowledge and belief, in relation to the review for the period ended 31 December 2014, there have been:

  • (i) no contraventions of the auditor’s independence requirements as set out in the Corporations Act 2001 in relation to the review; and

  • (ii) no contraventions of any applicable code of professional conduct in relation to the review.

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Nexia Perth Audit Services Pty Ltd

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PTC Klopper Director

Perth 12 March 2015

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Page 8 of 18

CONICO LTD ABN 49 119 057 457 AND CONTROLLED ENTITIES

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CONSOLIDATED STATEMENT OF PROFIT OR LOSS AND OTHER COMPREHENSIVE INCOME FOR THE HALF-YEAR ENDED 31 DECEMBER 2014

Notes
Other income
Accounting and audit expense
Depreciation and amortisation expense
Employee benefits expense
Insurance expense
Interest expense
Legal and other consultants expense
Management Fees
Other expenses
Loss before income tax
Income tax expense
Loss for the period
Other Comprehensive Income
Items that may be reclassified to profit or loss:
Revaluation Reserve
Income tax relating to other comprehensive income
Other comprehensive income, after tax
Total Comprehensive Income / (Loss) attributable to
members of the parent
Basic/Diluted earnings per share (cents per share)
Consolidated Group
31 Dec 2014
31 Dec 2013
$
$
378
4,721
(6,957)
(7,160)
(1,309)
(1,611)
(86,239)
(86,715)
(14,317)
(13,890)
(15,016)
(6,041)
-
(3,023)
(97,335)
(97,335)
(5,839)
(20,488)
(226,634)
(231,542)
-
-
(226,634)
(231,542)
-
-
-
-
-
-
-
-
(226,634)
(231,542)
(0.1711)
(0.1748)

The accompanying notes form part of these financial statements.

ASX Code: CNJ

Page 9 of 18

CONICO LTD ABN 49 119 057 457 AND CONTROLLED ENTITIES

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CONSOLIDATED STATEMENT OF FINANCIAL POSITION AS AT 31 DECEMBER 2014

ASSETS
CURRENT ASSETS
Cash and cash equivalents
Trade and other receivables
TOTAL CURRENT ASSETS
NON-CURRENT ASSETS
Property, plant and equipment
Exploration and Evaluation expenditure
TOTAL NON-CURRENT ASSETS
TOTAL ASSETS
CURRENT LIABILITIES
Trade and other payables
Interest bearing liabilities
Non-interest bearing liabilities
TOTAL CURRENT LIABILITIES
NON-CURRENT LIABILITIES
Provisions
TOTAL NON-CURRENT LIABILITIES
TOTAL LIABILITIES
NET ASSETS
EQUITY
Issued capital
Reserves
Accumulated losses
TOTAL EQUITY
Consolidated Group
31 Dec 2014
30 Jun 2014
$
$
26,183
35,238
8,419
9,250
34,602
44,488
14,878
16,187
14,697,851
14,696,329
14,712,729
14,712,516
14,747,331
14,757,004
815,351
638,390
100,000
100,000
80,000
40,000
995,351
778,390
250,000
250,000
250,000
250,000
1,245,351
1,028,390
13,501,980
13,728,614
16,799,457
16,799,457
477,450
477,450
(3,774,927)
(3,548,293)
13,501,980
13,728,614

The accompanying notes form part of these financial statements.

ASX Code: CNJ

Page 10 of 18

CONICO LTD ABN 49 119 057 457 AND CONTROLLED ENTITIES

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CONSOLIDATED STATEMENT OF CHANGES IN EQUITY FOR THE HALF YEAR ENDED 31 DECEMBER 2014

Share Capital Option Accumulated Accumulated
Ordinary Reserve Losses Total
$ $ $ $
Balance at 1 July 2013 16,799,457 477,450 (3,121,495) 14,155,412
Net loss for the period - - (231,542) (231,542)
Other comprehensive income / (loss) - - - -
Balance at 31 December 2013 16,799,457 477,450 (3,353,037) 13,923,870
Balance at 1 July 2014 16,799,457 477,450 (3,548,293) 13,728,614
Net loss for the period - - (226,634) (226,634)
Other comprehensive income / (loss) - - - -
Balance at 31 December 2014 16,799,457 477,450 (3,774,927) 13,501,980

The accompanying notes form part of these financial statements.

ASX Code: CNJ

Page 11 of 18

CONICO LTD ABN 49 119 057 457 AND CONTROLLED ENTITIES

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CONSOLIDATED STATEMENT OF CASH FLOWS FOR THE HALF-YEAR ENDED 31 DECEMBER 2014

CASH FLOWS FROM OPERATING ACTIVITIES
Receipts from customers
Payments to suppliers and employees
Interest received
Net cash provided by (used in) operating activities
CASH FLOWS FROM INVESTING ACTIVITIES
Exploration and evaluation expenditure
Net cash provided by (used in) investing activities
CASH FLOWS FROM FINANCING ACTIVITIES
Proceeds from borrowings
Net cash provided by (used in) financing activities
Net increase/(decrease) in cash held
Cash at beginning of period
Cash at end of period
Consolidated Group
31 Dec 2014
31 Dec 2013
$
$
1,385
3,449
(49,032)
(60,760)
114
457
(47,533)
(56,854)
(1,522)
(33,801)
(1,522)
(33,801)
40,000
20,000
40,000
20,000
(9,055)
(70,655)
35,238
94,984
26,183
24,329

The accompanying notes form part of these financial statements.

ASX Code: CNJ

Page 12 of 18

CONICO LTD ABN 49 119 057 457 AND CONTROLLED ENTITIES

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NOTES TO THE FINANCIAL STATEMENTS FOR THE HALF-YEAR ENDED 31 DECEMBER 2014

NOTE 1: BASIS OF PREPARATION

The half-year consolidated financial statements are a general purpose financial report prepared in accordance with the requirements of the Corporations Act 2001 , Australian Accounting Standard AASB 134: Interim Financial Reporting, Australian Accounting Interpretations and other authoritative pronouncements of the Australian Accounting Standards Board. Compliance with AASB 134: Interim Financial Reporting ensures compliance with IAS 34: Interim Financial Reporting.

It is recommended that this financial report be read in conjunction with the annual financial report for the year ended 30 June 2014 and any public announcements made by Conico Ltd and its controlled entities during the half-year in accordance with continuous disclosure requirements arising under the Corporations Act 2001 and the ASX Listing Rules . The half-year report does not include full disclosures of the type normally included in an annual financial report.

Accounting Policies

The accounting policies have been consistently applied by the entities in the consolidated group and are consistent with those in the June 2014 financial report except for the adoption of new and revised Accounting Standards.

The Group has adopted all of the new and revised Standards and Interpretations issued by the Australian Accounting Standards Board (the AASB) that are relevant to their operations and effective for the current half-year.

New and revised Standards and amendments thereof and Interpretations effective for the current half-year that are relevant to the Group include:

  • AASB 1031 ‘Materiality’ (2013)

  • AASB 2012-3 ‘Amendments to Australian Accounting Standards – Offsetting Financial Assets and Financial Liabilities’

  • AASB 2013-3 ‘Amendments to AASB 136 – Recoverable Amount Disclosures for Non-Financial Assets’

  • AASB 2013-4 ‘Amendments to Australian Accounting Standards – Novation of Derivatives and Continuation of Hedge Accounting ‘

  • AASB 2013-5 ‘Amendments to Australian Accounting Standards – Investment Entities’

  • AASB 2013-9 ‘Amendments to Australian Accounting Standards’ – Part B: ‘Materiality’

  • AASB 2014-1 ‘Amendments to Australian Accounting Standards’

  • Part A: ‘Annual Improvements 2010-2012 and 2011-2013 Cycles’

  • Part B: ‘Defined Benefit Plans: Employee Contributions (Amendments to AASB 119)’

  • Part C: ‘Materiality’

  • Interpretation 21 ‘Levies’

Going Concern

These financial statements have been prepared on a going concern basis, which contemplates continuity of normal business activities the realisation of assets and extinguishment of liabilities in the ordinary course of business.

The Group has reported a net loss for the period of $226,634 (2013: $231,542) and a cash outflow from operating activities of $47,533 (2013: $56,854). The Group also had a net working capital deficit of $960,749 at 31 December 2014 (30 June 2014: deficit of $733,902).

Included in current liabilities are amounts owed to related parties totalling $988,193 which do not become payable until the company has raised sufficient funds to pay all outstanding debts and continue as a going concern after the related party debts have been repaid.

The directors are confident that the Group, subject to being able to raise further capital, will be able to continue its operations as a going concern. Without such capital, the net loss for the period and the cash outflow from operating activities indicate the existence of a material uncertainty which may cast significant doubt about the Group’s ability to continue as a going concern. The directors also carefully manage discretionary expenditure in line with the Group’s cash flow.

The continuing applicability of the going concern basis of accounting is dependent upon the Group’s ability to source additional finance. Unless additional finance is received the Group may need to realise assets and settle liabilities other than in the normal course of business and at amounts which could differ from the amounts at which they are stated in these financial statements.

ASX Code: CNJ

Page 13 of 18

CONICO LTD ABN 49 119 057 457 AND CONTROLLED ENTITIES

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NOTES TO THE FINANCIAL STATEMENTS FOR THE HALF-YEAR ENDED 31 DECEMBER 2014

NOTE 2: SEGMENT INFORMATION

The Group has identified its operating segments based on the internal reports that are reviewed and used by the Board of Directors (chief operating decision maker) in assessing performance and determining the allocation of resources.

The Group is managed on the basis it is a mineral exploration company operating in the geographical region of Australia. The mineral assets held via outright ownership or joint venture are considered one business segment and the minerals currently being targeted include cobalt, nickel and manganese in Western Australia.

NOTE 3: CONTINGENT LIABILITIES AND CONTINGENT ASSETS

The directors are not aware of any contingent liabilities or contingent assets as at 31 December 2014.

NOTE 4: EVENTS SUBSEQUENT TO REPORTING DATE

No matters or circumstances have arisen since the end of the financial year which significantly affected or may significantly affect the operations of the economic entity, the results of those operations, or the state of affairs of the economic entity in future financial years.

NOTE 5: RELATED PARTY TRANSACTIONS

2014 2013
$ $
Transactions between related parties are on normal commercial terms and conditions no
more favourable than those available to other parties unless otherwise stated.
Transactions with related parties during the period:
a. Key Management Personnel
Management fees and administration fees to Princebrook Pty Ltd, a company in
which Mr G Solomon and Mr D Solomon have an interest. 97,335 97,335
Mr G Solomon provided the Company an unsecured interest-free loan. 12,500 5,000
Mr D Solomon provided the Company an unsecured interest-free loan. 12,500 5,000
Mr G LePage provided the Company an unsecured interest-free loan. 7,500 5,000
Mr J Richardson provided the Company an unsecured interest-free loan. 7,500 5,000
b. Associated Companies
Reimbursement to Tasman Resources Ltd (which has a 19.5% fully diluted
interest in the Company) for employee costs on an hourly basis, in relation to
Tasman staff utilised by the Company. 5,175 6,416

ASX Code: CNJ

Page 14 of 18

CONICO LTD ABN 49 119 057 457 AND CONTROLLED ENTITIES

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DIRECTORS’ DECLARATION

The directors of the company declare that:

  1. The consolidated financial statements and notes, as set out on pages 9 to 14:

  2. a. comply with Accounting Standard AASB 134 Interim Financial Reporting and the Corporations Regulations 2001; and

  3. b. give a true and fair view of the Group’s financial position as at 31 December 2014 and of its performance for the half-year ended on that date.

  4. In the directors’ opinion there are reasonable grounds to believe that the Group will be able to pay its debts as and when they become due and payable.

This declaration is made in accordance with a resolution of the Board of Directors.

Director Gregory H Solomon

Dated this 12[th] day of March 2015

ASX Code: CNJ

Page 15 of 18

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Independent Auditor’s Review Report to the members of Conico Limited

Report on the Interim Financial Report

We have reviewed the accompanying interim financial report of Conico Limited and its controlled entities (the “Group”), which comprises the consolidated statement of financial position as at 31 December 2014, 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 period ended on that date, other selected explanatory notes 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 period.

Directors’ Responsibility for the Interim Financial Report

The directors of the Group are responsible for the preparation of the half-year financial report that gives a true and fair view in accordance with Australian Accounting Standards, including the Australian Accounting Interpretations, and the Corporations Act 2001. This responsibility includes: establishing and maintaining internal controls relevant to the preparation and fair presentation of the half-year financial report that is free from material misstatement, whether due to fraud or error; selecting and applying appropriate accounting policies; and making accounting estimates that are reasonable in the circumstances.

Auditor’s Responsibility

Our responsibility is to express a conclusion on the interim 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 interim 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 2014 and its performance for the period ended on that date; and complying with Accounting Standard AASB 134 Interim Financial Reporting and the Corporations Regulations 2001 . As the auditor of Conico Limited, ASRE 2410 requires that we comply with the ethical requirements relevant to the audit of the annual financial report.

A review of an interim 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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Page 16 of 18

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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 Conico 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 interim financial report of Conico Limited and its controlled entities 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 2014 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.

Emphasis of Matter

Without qualifying our conclusion, we draw attention to Note 1 in the financial report, which indicates that the Group will require further equity funding within the next twelve months from the date of this report to fund its operations and planned exploration projects. These conditions, along with other matters as set forth in Note 1, indicate the existence of a material uncertainty that may cast significant doubt about the Group’s ability to continue as a going concern and therefore, the Group may be unable to realise its assets and discharge its liabilities in the normal course of business.

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Nexia Perth Audit Services Pty Ltd

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PTC Klopper Director

Perth 12 March 2015

Page 17 of 18

CONICO LTD ABN 49 119 057 457 AND CONTROLLED ENTITIES

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Interests in Mining Tenements

Tenements Location Interest held at
end of period
Acquired during
the period
Disposed during the
period
E63/373 WA 50%
E63/1267 WA 50%
MLA63/527* WA 50%
RA63/4* WA 50%
L63/66 WA 50%
L63/67 WA 50%

*These applications cover the same area as E63/373

ASX Code: CNJ

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