DESERT METALS LIMITED — Interim / Quarterly Report 2022

Mar 1, 2022

Desert Metals Limited A.C.N. 617 947 172

Interim Financial Report For the Half Year ended 31 December 2021

INTERIM FINANCIAL REPORT 31 December 2021

DESERT METALS LIMITED A.C.N. 617 947 172

Corporate directory

Board of Directors

Mr Robert Angus Castle Stuart Mr Mark Robert Stewart Mr Antony William Worth Mr Keith Charles Murray

Company Secretary Mr Paul Heatley Mr Johnathon Busing

Managing Director Non-Executive Chairman Technical Director Non-Executive Director

Company Secretary Company Secretary

Registered Office

Level 3, 59 Parry Street Perth, Western Australia 6000 Tel: +61 8 9758 1333 Facsimile: +61 8 9325 3554

Postal Address PO Box 1253 Dunsborough WA 6281

Website

www.desertmetals.com.au

Auditors Hall Chadwick WA Audit Pty Ltd 283 Rokeby Road Subiaco, Western Australia 6008

Share Registry Automic Group Level 5, 191 St Georges Terrace Perth, Western Australia 6000 Tel: +61 1300 288 664 Tel: +61 2 9698 5414

Stock Exchange Australian Securities Exchange Level 40, Central Park 152-158 St Georges Terrace Perth, Western Australia 6000

ASX Code DM1

INTERIM FINANCIAL REPORT

31 December 2021

A.C.N. 617 947 172

DESERT METALS LIMITED

Contents

Contents
Directors’ Report ……………………………………………………………………………………………………………………………………….…..…….	1
Auditor’s independence declaration ………………………………………………………………………………………………………….……..….	3
Condensed Statement of profit or loss and other comprehensive income…………………………………………….….…………..	4
Condensed Statement of financial position ………………………………………………………………………………………………….……….	5
Condensed Statement of changes in equity ……………………………………………………………………………………………….…………	6
Condensed Statement of cash flows ………………………………………………………………………………………………….………………….	7
Notes to the financial statements ………………………………………………………………………………………………………………………..	8
Directors’ declaration ………………………………………………………………………………………………………………………….………..........	13
Independent auditor’s report …………………………………………………………………………………………………….……………….………..	14

DESERT METALS LIMITED

INTERIM FINANCIAL REPORT 31 December 2021

A.C.N. 617 947 172

Directors’ Report

Your directors present their report on Desert Metals Limited (the Company) for the half year ended 31 December 2021.

Directors

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

• Robert Angus Castle Stuart	ManagingDirector
• Mark Robert Stewart	Non-Executive Chairman
• AntonyWilliam Worth	Technical Director
• Keith Charles Murray	Non-Executive Director(appointed 7 July2021)

REVIEW OF OPERATIONS

Exploration

During the period 1 July 2021 to 31 December 2021 the Company achieved the following;

• Downhole electromagnetic survey (DHEM) completed on 3 holes on the Innouendy tenement. Platinum Group Elements (PGEs) were detected in both drilling and soil samples.

• Drilling of 3 holes was completed at Irrida Hill and massive sulphide was confirmed as the cause of the previously identified conductors on this tenement. DHEM was also completed on the 3 holes.

• Moving loop Ground EM data collected over anomalies identified in airborne data at Belele and Dingo Pass. Several high conductance targets defined.

• Heritage Agreement signed with Wajarri Yamatji to allow exploration to proceed on the Mt Gould, Dingo Pass, Hooper and Belele licenses.

• Heritage surveys completed at Dingo Pass, Belele and Innouendy tenements.

• A regional soil sampling survey was completed, with 3,448 samples collected. Results of the sampling were received for Dingo Pass and preliminary interpretation of soil sampling data commenced. Approximately half of the samples from Innouendy / Opal Bore have been received.

Corporate

Appointment of Director

The Company appointed Mr Keith Murray as an independent Non-Executive Director of the Company on 7 July 2021.

Mr Murray is a Chartered Accountant with extensive knowledge and experience built up over 40 years at General Manager level in audit, accounting, tax, finance, treasury and corporate governance. Mr Murray’s experience in mining extends to the 1990’s during which time he was Group Accounting Manager Corporate and Taxation, and joint Company Secretary for Eltin Limited, a leading Australian based international mining services company. Mr Murray is currently General Manager Corporate and Company Secretary for Heytesbury, the privately owned Holmes à Court family company group in Western Australia.

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INTERIM FINANCIAL REPORT 31 December 2021

SUBSEQUENT EVENTS

DESERT METALS LIMITED

A.C.N. 617 947 172

On 21 January 2022, the Company announced the commencement of its field season for the year, with drilling to start at both the Belele and Innouendy tenements.

The drilling program consisted of 5 holes and approximately 1,100 metres of reverse circulation drilling at Belele and 44 holes of approximately 3,000 metres of Aircore drilling at Innouendy.

On 27 January 2022 the Company announced that it had intersected a zone of mineralisation in multiple holes at Belele as a result of the drilling program.

On 24 January 2022 the Company applied for an additional 287km² license along strike to the north of the current drilling at Belele.

AUDITOR’S INDEPENDENCE DECLARATION

The auditor’s independence declaration under section 307C of the Corporations Act 2001 (Cth) for the half year ended 31 December 2021 is set out on page 3.

This report is made in accordance with a resolution of directors.

On behalf of the directors

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ROBERT STUART Managing Director Dated this 2[nd] day of March 2022

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To the Board of Directors

Auditor’s Independence Declaration under Section 307C of the Corporations Act 2001

As lead audit Director for the review of the financial statements of Desert Metals Limited for the half year ended 31 December 2021, I declare that to the best of my knowledge and belief, there have been no contraventions of:

• the auditor independence requirements of the Corporations Act 2001 in relation to the review; and

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

Yours Faithfully,

HALL CHADWICK WA AUDIT PTY LTD MARK DELAURENTIS CA Director

Dated the 2[nd] day of March 2022 Perth, Western Australia

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INTERIM FINANCIAL REPORT 31 December 2021

A.C.N. 617 947 172

DESERT METALS LIMITED

Condensed Statement of profit or loss and other comprehensive income

For the half year ended 31 December 2021

		31 Dec 2021	Restated* 31 Dec 2020
	Note	$	$
Continuing operations
Revenue
Government grants		120,000	-
		120,000	-
Compliance costs		(39,822)	(97,085)
Depreciation		(15,729)	-
Employment expenses		(110,183)	(65,000)
Impairment expense		-	(5,000)
Information technology costs		(7,191)	(5,010)
Insurance		(16,503)	(1,392)
Occupancy costs		(15,305)	(2,426)
Professional fees		(84,840)	(165,237)
Share based payments		(82,800)	(554,865)
Travel costs		(5,845) - (9,429) (19,707)
Other expenses
		(387,647)	(915,722)
Loss before tax		(267,647) (915,722) - -
Income tax benefit
		(267,647) (915,722)
Net loss for the period
Other comprehensive income, net of income tax
Items that will not be reclassified subsequently to profit or loss		- - - -
Items that may be reclassified subsequently to profit or loss
Other comprehensive income for the period, net of tax		-	-
Total comprehensive loss for the period		(267,647)	(915,722)
Loss per Share:		(0.48) (3.51)
Basic and diluted (cents per share)

• Refer to Note 10

The condensed statement of profit or loss and other comprehensive income is to be read in conjunction with the accompanying notes.

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INTERIM FINANCIAL REPORT

31 December 2021

A.C.N. 617 947 172

DESERT METALS LIMITED

Condensed Statement of financial position

As at 31 December 2021

		31 Dec 2021	30 June 2021
	Note	$	$
Current Assets
Cash and cash equivalents		2,080,915	3,710,144
Receivables	4	97,337	107,947
Total Current Assets		2,178,252	3,818,091
Non-Current Assets
Exploration and evaluation expenditure	5	3,038,548	1,770,569
Property, plant and equipment	6	119,713	134,179
Total Non-Current Assets		3,158,261	1,904,748
		5,336,513 5,722,839
Total Assets
		72,852 274,331
Current Liabilities
Trade and other payables	7
		72,852 274,331
Total Current Liabilities
Total Liabilities		72,852	274,331
		5,263,661 5,448,508
Net Assets
		6,102,035 6,102,035 723,795 640,995 (1,562,169) (1,294,522)
Equity
Issued capital	8
Reserves	9
Accumulated losses
Net Equity		5,263,661	5,448,508

The condensed statement of financial position is to be read in conjunction with the accompanying notes.

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INTERIM FINANCIAL REPORT 31 December 2021

A.C.N. 617 947 172

DESERT METALS LIMITED

Condensed Statement of changes in equity

For the half year ended 31 December 2021

		Issued Capital	Share Options Reserves	Accumulated Losses	Total
	Note	$	$	$	$
Balance as at 1 July 2020 Restated *		515,000	-	(94,072)	420,928
Loss for the period		-	-	(915,722)	(915,722)
Other comprehensive income for the period		-	-	-	-
Total comprehensive income for the period		-	-	(915,722)	(915,722)
Transactions with owners, directly in equity
Share application funds received Option application funds received Issue of options as share-based payments	8 9 9	6,000,000 - - 6,000,000 - 165 - 165 - 640,830 - 640,830
Share issue costs	8	(412,965)	-	-	(412,965)
Balance at 31 December 2020 Restated *		6,102,035	640,995	(1,009,794)	5,733,236
		6,102,035 640,995 (1,294,522) 5,448,508 - - (267,647) (267,647) - - - -
Balance as at 1 July 2021
Loss for the period
Other comprehensive income for the period
Total comprehensive income for the period		-	-	(267,647)	(267,647)
		- 82,800 - 82,800
Transactions with owners, directly in equity
Issue of options as share-based payments	9
Balance at 31 December 2021		6,102,035	723,795	(1,562,169)	5,263,661

• Refer to Note 10

The condensed statement of changes in equity is to be read in conjunction with the accompanying notes.

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INTERIM FINANCIAL REPORT 31 December 2021

A.C.N. 617 947 172

DESERT METALS LIMITED

Condensed Statement of cash flows

For the half year ended 31 December 2021

		31 Dec 2021	Restated * 31 Dec 2020
	Note	$	$
Cash flows from operating activities
Receipts from Government grants		132,000	-
Payments to suppliers and employees		(194,962)	(454,143)
Net cash used in operating activities		(62,962)	(454,143)
Cash flows from investing activities
Payments for exploration and evaluation activities		(1,534,628)	(486,180)
Payments for property, plant and equipment		(31,639)	-
Payment for intangible		-	(5,000)
Net cash used in investing activities		(1,566,267)	(491,180)
Cash flows from financing activities
Proceeds from issue of shares
Proceeds from issue of options
Payment for share issue costs
Net cash provided by financing activities		-	5,673,165
	(1,629,229) 4,727,842
Net increase/(decrease) in cash held
		3,710,144	296,957
Cash and cash equivalents at the beginning of the period
	2,080,915 5,024,799
Cash and cash equivalents at the end of the period

• Refer to Note 10

The condensed statement of cash flow is to be read in conjunction with the accompanying notes.

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INTERIM FINANCIAL REPORT 31 December 2021

A.C.N. 617 947 172

DESERT METALS LIMITED

Notes to the financial statements

For the half year ended 31 December 2021

1. Statement of significant accounting policies

These interim financial statements are general purpose financial statements prepared in accordance with the requirements of the Corporations Act 2001, applicable accounting standards including AASB 134: Interim Financial Reporting, Accounting Interpretations and other authoritative pronouncements of the Australian Accounting Standards Board (‘AASB’). Compliance with AASB 134 ensures compliance with IAS 34 ‘Interim Financial Reporting’.

This half-year report does not include full disclosures of the type normally included in an annual financial report. Accordingly, it cannot be expected to provide as full an understanding of the financial performance, financial position and cash flows of the Company as the full year annual financial report.

It is recommended that this financial report be read in conjunction with the annual financial report for the year ended 30 June 2021 and any public announcements made during the half-year in accordance with continuous disclosure requirements arising under the Corporations Act 2001 and the ASX.

The half-year financial report was authorised for issue by the directors on 2 March 2022.

1.1 Basis of preparation

The interim report has been prepared on an accruals basis and is based on historical costs modified by the revaluation of selected non-current assets and financial instruments for which the fair value basis of accounting has been applied. The Company is domiciled in Australia and all amounts are presented in Australian dollars, unless otherwise noted.

The accounting policies and methods of computation adopted in the preparation of the half-year financial report are consistent with those adopted and disclosed in the Company’s 2021 annual financial report for the financial year ended 30 June 2021 and the corresponding half-year financial report, except for the impact of the new and revised Standards and Interpretations effective 1 July 2021, as outlined below. These accounting policies are consistent with Australian Accounting Standards and with International Financial Reporting Standards.

For the purpose of preparing the half-year financial report, the half-year has been treated as a discrete reporting period.

1.2 Use of estimates and judgements

The preparation of interim financial statements requires management to make judgements, estimates and assumptions that affect the application of policies and reported amounts of assets and liabilities, income and expenses. These estimates and associated assumptions are based on historical experience and various factors that are believed to be reasonable under the circumstances, the results of which form the basis of making the judgements about carrying values of assets and liabilities that are not readily apparent from other sources. Actual results may differ from these estimates.

In preparing this interim report, the significant judgements made by management in applying the Company’s accounting policies and the key sources of estimation uncertainty were the same as those that applied to the annual financial report for the year ended 30 June 2021, except for the impact of the new Standards and Interpretations effective 1 July 2021, as outlined below.

1.3 Adoption of new and revised Standards

The Company has considered the implications of new or amended Accounting Standards which have become applicable for the current annual financial reporting period beginning on or after 1 July 2021. It has been determined by the Company that there is no impact, material or otherwise, of the new or amended Accounting Standards and therefore no changes to Company accounting policies. No retrospective change in accounting policy of material reclassification has occurred during the half year.

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INTERIM FINANCIAL REPORT 31 December 2021

DESERT METALS LIMITED A.C.N. 617 947 172

2. Segment information

The Company operates in one business segment and one geographical segment, namely the mineral exploration industry in Australia. AASB 8 ‘Operating Segments’ states that similar operating segments can be aggregated to form one reportable segment. Also, based on quantitative thresholds included in AASB 8, there is only one reportable segment, namely the mineral exploration industry. However, none of the individual operating segments currently meet any of the prescribed quantitative thresholds, and as such do not have to be reported separately. The Company has therefore decided to aggregate all of its reporting segments into one reportable operating segment.

The revenue and results of this segment are those of the Company as a whole and are set out in the condensed consolidated statement of profit or loss and other comprehensive income. The segment assets and liabilities are those of the Company and are set out in the condensed consolidated statement of financial position.

3. Dividends

No dividends were paid or declared for the half-year ended 31 December 2021 and the directors have not recommended the payment of a dividend.

4. Trade and other receivables

Prepayments GST receivable Rent Bond Sundry receivable 5. Exploration and evaluation expenditure Brought forward exploration and evaluation expenditure Expenditure incurred during the period Carried forward exploration and evaluation expenditure 6. Property, plant and equipment Plant and equipment Computer equipment and software Motor vehicles 7. Trade and other payables Trade payables and other payables Accrued expenses

31 Dec 2021 30 Jun 2021 $ $ 45,526 15,313 42,966 92,634 8,800 - 45 - 97,337 107,947

31 Dec 2021 30 Jun 2021 $ $ 1,770,569 137,186 1,267,979 1,633,383 3,038,548 1,770,569 31 Dec 2021 30 Jun 2021 $ $ 35,373 39,307 36,258 43,557 48,082 51,315 119,713 134,179 31 Dec 2021 30 Jun 2021 $ $ 65,352 262,331 7,500 12,000 72,852 274,331

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INTERIM FINANCIAL REPORT 31 December 2021

A.C.N. 617 947 172

DESERT METALS LIMITED

8. Issued capital

55,000,000 fully paid ordinary shares (30 June 2021: 55,000,000) Fully paid ordinary shares Balance at beginning of period Issue of shares(i) Issue of shares(ii) Share issue costs		31 Dec 2021 30 Jun 2021 $ $
		6,102,035 6,102,035
	Half-year ended Year ended
	31 Dec 2021 30 Jun 2021 No. $ No. $
	55,000,000 6,102,035 20,000,000 515,000 - - 10,000,000 1,000,000 - - 25,000,000 5,000,000 - - - (412,965)
	55,000,000 6,102,035 55,000,000 6,102,035

(i) Issue of fully paid ordinary shares on 02 November 2020 at $0.1000 each pursuant to a placement to sophisticated and institutional investors of the Company.

(ii) Issue of fully paid ordinary shares on 11 December 2020 at $0.2000 each pursuant to a placement via a public IPO.

9. Options Reserve

Unlisted options Balance at beginning of period Issue of options(i) Issue of options(ii) Issue of options(iii) Issue of options(iv) Issue of options(v) Issue of options(vi) Balance at end of period	Half-year ended Year ended
	31 Dec 2021 30 Jun 2021 No. $ No. $
	12,300,000 640,995 - - - - 7,000,000 364,700 - - 2,000,000 104,200 - - 1,650,000 85,965 - - - 165 - - 1,650,000 85,965 800,000 82,800 - -
	13,100,000 723,795 12,300,000 640,995

(i) This represents the value attributed to 7,000,000 unlisted options exercisable at $0.300 issued to Directors of the Company.

(ii) This represents the value attributed to 2,000,000 unlisted options exercisable at $0.300 issued to shareholders of the Company pursuant to options offer letters dated 27 October 2020.

(iii) This represents the value attributed to 1,650,000 unlisted options exercisable at $0.300 issued to various advisers to the IPO for corporate advisory services.

(iv) This represents the cash received in relation to options issued to the advisers to the IPO.

(v) This represents the value attributed to 1,650,000 unlisted options issued to Morgans Corporate Limited pursuant to the lead manager mandate.

(vi) This represents the value attributed to 800,000 unlisted options exercisable at $0.600 issued to a Director of the Company.

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INTERIM FINANCIAL REPORT 31 December 2021

A.C.N. 617 947 172

DESERT METALS LIMITED

The following options arrangements were in existence at the reporting date:

Options Series	Number	Grant Date	Expiry Date	Exercise price	Fair value at grant date	Vesting date
				$	$
DM1EOPT1	10,650,000	07 Oct 2020	31 Oct 2023	$0.3000	$0.0521	07 Oct 2020
DM1EOPT2	1,650,000	12 Nov 2020	12 Nov 2023	$0.3000	$0.0521	12 Nov 2020
DM1EOPT3	800,000	30 Nov 2021	30 Nov 2024	$0.6000	$0.2400	30 Nov 2021

The fair value of the equity-settled share options granted is estimated as at the date of grant using the Black-Scholes model, taking into account the terms and conditions upon which the options were granted.

	Series DMEOPT1	Series DMEOPT2	Series DMEOPT3
Dividendyield(%)	-	-	-
Expected volatility (%)	120.00%	120.00%	100.00%
Risk-free interest rate (%)	0.13%	0.13%	0.87%
Expected life of options (years)	3	3	3
Exercise price (cents)	0.3000	0.3000	0.6000
Grant date share price	0.1000	0.1000	0.2400

The expected life of the options is based on historical data and is not necessarily indicative of exercise patterns that may occur. The expected volatility reflects the assumption that the historical volatility is indicative of future trends, which may also necessarily be the actual outcome. No other features of options granted were incorporated into the measurement of fair value.

10. Change in Accounting Policy

On 27 July 2021 the Company resolved to change its accounting policy in relation to the treatment of exploration and evaluation expenditure as outlined in note 3.6 of the Company’s annual financial report for the financial year ended 30 June 2021. As a result of this change the Company has restated items in the statement of profit or loss and other comprehensive income, condensed statement of changes in equity and condensed statement of cash flows for the relevant comparative period as summarised in the following tables.

Condensed Statement of profit or loss and other comprehensive Income For the halfyear-ended 31 December 2020 Prior $ Adjustment $	Restated $
Exploration expenses 486,180 (486,180) Net loss for theperiod (1,401,902) 486,180	- (915,722)
Total comprehensive loss (1,401,902) 486,180	(915,722)
Condensed Statement of changes in equity For the half year-ended 31 December 2020 Accumulated Losses Prior $ Accumulated Losses Adjustment $	Accumulated Losses Restated $
Balance as at 1 July 2020 (231,258) 137,186 Loss for the period (1,401,902) 486,180 Total comprehensive income for theperiod (1,401,902) 486,180	(94,072) (915,722) (915,722)
Balance at 31 December 2020 (1,633,160) 623,366	(1,009,794)

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31 December 2021

DESERT METALS LIMITED

INTERIM FINANCIAL REPORT

A.C.N. 617 947 172

Condensed Statement of changes in equity For the half year-ended 31 December 2020	Total Prior $ Total Adjustment $	Total Restated $
Balance as at 1 July 2020 Loss for the period Total comprehensive income for theperiod	283,742 137,186 (1,401,902) 486,180 (1,401,902) 486,180	420,928 (915,722) (915,722)
Balance at 31 December 2020	5,109,870 623,456	5,733,326
Condensed Statement of cash flows For the halfyear-ended 31 December 2020	Prior $ Adjustment $	Restated $
Cash flows from operating activities Payments for exploration and evaluation activities Net cash used in operating activities Cash flows from investing activities Payments for exploration and evaluation activities Net cash used in investingactivities	(486,180) 486,180	-
	(940,323) 486,180	(454,143)
	- (486,180)	(486,180)
	(5,000) (486,180)	(491,180)

11. Contingent liabilities and contingent assets

There has been no significant change in contingent liabilities and/or contingent assets since the last annual report. Please refer to the 30 June 2021 annual financial report.

12. Related party transactions

The related party transactions of the half-year financial report are consistent with those adopted and disclosed in the Company’s 2021 annual financial report for the financial year ended 30 June 2021.

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INTERIM FINANCIAL REPORT 31 December 2021

DESERT METALS LIMITED A.C.N. 617 947 172

Directors’ Declaration

The Directors declare that:

1. The financial statements and notes as set out on pages 4 to 12 are in accordance with the Corporations Act 2001, including that they:

2. (a) comply with Accounting Standards as described in Note 1 to 12 the financial statements, the Corporations Regulations 2001 and other mandatory professional reporting requirements; and

3. (b) give a true and fair view of the financial position of the Company as at 31 December 2021 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 Company 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 and is signed for and on behalf of the directors by:

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ROBERT STUART Managing Director Dated this 2[nd] day of March 2022

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INDEPENDENT AUDITOR’S REVIEW REPORT TO THE MEMBERS OF DESERT METALS LIMITED

Conclusion

We have reviewed the accompanying half-year financial report of Desert Metals Limited (“the Company”) which comprises the statement of financial position as at 31 December 2021, the statement of profit or loss and other comprehensive income, statement of changes in equity and statement of cash flows for the half-year ended on that date, a summary of significant accounting policies and other selected explanatory notes, and the directors’ declaration.

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 Desert Metals Limited does not comply with the Corporations Act 2001 including:

• a. Giving a true and fair view of the Desert Metals Limited financial position as at 31 December 2021 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 .

Basis for Conclusion

We conducted our review in accordance with ASRE 2410 Review of a Financial Report Performed by the Independent Auditor of the Entity. Our responsibilities are further described in the Auditor’s Responsibilities for the Review of the Financial Report section of our report. We are independent of the Company in accordance with the auditor independence requirements of the Corporations Act 2001 and the ethical requirements of the Accounting Professional and Ethical Standards Board’s APES 110 Code of Ethics for Professional Accountants that are relevant to our audit of the annual financial report in Australia. We have also fulfilled our other ethical responsibilities in accordance with the Code.

We confirm that the independence declaration required by the Corporations Act 2001 which has been given to the directors of the Company, would be in the same terms if given to the directors as at the time of this auditor’s review report.

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Responsibility of the Directors for the Financial Report

The directors of the Desert Metals Limited 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 control as the directors determine is necessary to enable the preparation of the half-year financial report that gives a true and fair view and is free from material misstatement, whether due to fraud or error.

Auditor’s Responsibility for the Review of the Financial Report

Our responsibility is to express a conclusion on the half-year financial report based on our review. ASRE 2410 requires us to conclude whether 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 Company’s financial position as at 31 December 2021 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 .

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.

HALL CHADWICK WA AUDIT PTY LTD

MARK DELAURENTIS CA Director

Dated the 2[nd] day of March 2022 Perth, Western Australia