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DEVEX RESOURCES LIMITED — Annual Report 2021
Sep 26, 2021
64768_rns_2021-09-26_3f77f1d0-44c3-493d-a0df-9dd97aedef4e.pdf
Annual Report
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CONTENTS
Corporate Directory .......................................................................................................................................................... 1 From the Chairman + Managing Director ........................................................................................................................ 2 Mission Statement ............................................................................................................................................................ 4 ESG Elements ................................................................................................................................................................... 5 Highlights 2020-2021 ........................................................................................................................................................ 6 Forward Plan 2021+ .......................................................................................................................................................... 7 Sovereign Project ............................................................................................................................................................. 8 Junee and Basin Creek Projects ................................................................................................................................... 11 Cobar Projects ................................................................................................................................................................ 16 Nabarlek Project .............................................................................................................................................................. 18 Other Projects ................................................................................................................................................................. 20 Investments + Financial Review .................................................................................................................................... 21 Competent Person Statement ........................................................................................................................................ 22 Tenement Schedule ........................................................................................................................................................ 23 Directors’ Report ............................................................................................................................................................. 25 Auditor’s Independence Declaration ............................................................................................................................. 34 Consolidated Statement of Comprehensive Income ................................................................................................... 35 Consolidated Statement of Financial Position ............................................................................................................. 36 Consolidated Statement of Changes in Equity ............................................................................................................ 37 Consolidated Statement of Cash Flows ........................................................................................................................ 38 Notes to the Consolidated Financial Statements ......................................................................................................... 39 Directors’ Declaration ..................................................................................................................................................... 58 Independent Auditor’s Report ....................................................................................................................................... 59 ASX Additional Information ........................................................................................................................................... 63
2021 ANNUAL REPORT DEVEX RESOURCES LIMITED
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CORPORATE DIRECTORY
Directors
Tim R B Goyder Chairman Brendan J Bradley Managing Director Bryn L Jones Non-executive Director Richard K Hacker Non-executive Director
Company Secretary
Kym Verheyen
Principal Place of Business & Registered Office
Level 3, 1292 Hay Street WEST PERTH Western Australia 6005 Tel: (+61 8) 6186 9490 Fax: (+61 8) 6186 9495 Web: www.devexresources.com.au Email: [email protected] Auditors HLB Mann Judd Level 4 130 Stirling Street PERTH Western Australia 6000 Share Registry Computershare Investor Services Pty Limited Level 11 172 St Georges Terrace PERTH Western Australia 6000 Tel: 1300 850 505
Home Exchange
Australian Securities Exchange Ltd Level 40 152-158 St Georges Terrace PERTH Western Australia 6000
ABN
74 009 799 553 ASX Share Code: DEV
DEVEX RESOURCES LIMITED 2021 ANNUAL REPORT | PAGE 1
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FROM THE CHAIRMAN + MANAGING DIRECTOR
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Tim Goyder CHAIRMAN
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Brendan Bradley MANAGING DIRECTOR
Dear Fellow Shareholder,
We are pleased to present DevEx’s 2021 Annual Report and to reflect on what has been an exceptionally busy and productive year for the Company against the backdrop of continued buoyant conditions in the junior exploration sector.
Building on an aggressive project procurement strategy in recent years, targeting several of Australia well-endowed mineral provinces, DevEx can now maintain its accelerated exploration momentum across its projects in WA, NSW and the NT – with drilling planned to continue across all regions in the coming 12 months moving the Company closer to what we hope will be a breakthrough discovery.
As we all know, discovery success stems from a combination of having quality ground, applying the best possible science and, most importantly, having strong backing, access to sufficient funding and a willingness to be persistent.
DevEx has all of these attributes and qualities in abundance and – with exploration programs gathering momentum across world-class mineral provinces in three States and Territories – the Company has put itself in the best possible position to achieve success in FY2022.
Firstly, in the Julimar Region of Western Australia, we are excited by the progress being made at our Sovereign Project, which comprises a combination of 100 percent held tenure and our farm-in agreement with Australian Silica Quartz Group. This highly strategic ground package lies ~35km north of Chalice Mining’s world-class Gonneville NiCu-PGE discovery and just south of Caspin Resources’ Yarawindah Brook Ni-Cu-PGE project.
This year, our reconnaissance air-core drilling confirmed the presence of a large differentiated mafic-ultramafic intrusion extending over a strike length of 12km at Sovereign comprising intrusive rocks similar to the upper portion of the Julimar mafic-ultramafic intrusion, as seen on the western edge of the Gonneville intrusion that hosts Chalice Mining’s potentially world-class Ni-Cu-PGE deposit to the south.
In summary, we believe the Sovereign Project hosts a prospective intrusion of significant scale, with the right rocks of the right age and excellent potential to yield a significant Ni-Cu-PGE discovery. We are looking forward to the next phase of exploration, which will comprise a combination of ground-based EM, as well as deeper RC and diamond drilling to test this theory. This work will commence in September and gather momentum towards the end of the year.
In NSW, we enjoyed a very active year on several fronts within the sizeable exploration portfolio we have secured in the Lachlan Fold Belt – currently one of Australia’s most active exploration provinces.
At the 100%-owned Junee Project, we completed widespaced reconnaissance air-core drilling at the Nangus Road Prospect, with drilling intersecting coincident copper-gold bedrock mineralisation up to 3.5g/t Au, and 1,700ppm Cu (over 1 metres intervals) defining a prospective porphyry Cu-Au target over 2km in length. With multiple IP chargeability anomalies beneath this bedrock Cu-Au mineralisation we believe results have markedly upgraded prospectivity of the Project – highlighting the potential to discover a large Cadia-Ridgeway style porphyry coppergold system. We are very excited to see the next ramp in intensive exploration drilling in the months ahead.
We further expanded our Lachlan Fold Belt portfolio in NSW during the year via the new North Cobar Project and a farmin agreement with Thomson Resources on the prospective Wilga Downs gold-base metal project in the Cobar Region.
In last year’s Annual Report, we highlighted the growing opportunity presented by our commanding ground position at the West Arnhem-Nabarlek Project in the Alligator Rivers Uranium Province (ARUP) in the Northern Territory as a result of improving sentiment in the uranium sector.
This is Australia’s highest-grade uranium province, with an endowment of 500 million pounds of U3O8 (mined and current resources) throughout the region. DevEx’s tenure centred on the historical Nabarlek Uranium Mine, which
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PAGE 2 | 2021 ANNUAL REPORT DEVEX RESOURCES LIMITED
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produced 24 million pounds at a remarkable grade of 1.84% U3O8 during the early 1980’s.
During the year, the Company initiated a project-wide review of our +4,700km[2] of strategically located tenure in the ARUP, with a multi-pronged focus that includes nearmine opportunities (extensions of the high-grade Nabarlek mineralisation) and numerous historical prospects across the regional tenure. Surface mapping and geochemistry commenced around the middle of the year and is ongoing.
Given the scale of our portfolio and the multi-pronged nature of our exploration activities, we completed two important and strongly-supported capital raisings during the year to strengthen our balance and ensure that the Company is well-placed both to fund its ongoing activities and, in the event of discovery success at any of our projects, quickly escalate drilling.
In conclusion, we would like to extend our sincere thanks to outstanding and hard-working exploration team at DevEx. It is thanks to their focus and hard work that the Company has been able to prosecute an extensive exploration effort across our key projects, notwithstanding the impacts and challenges presented by the COVID-19 pandemic – which has continued to interrupt travel, close borders and prevent the free movement of people and equipment throughout the year.
Most importantly, we have once again been able to keep our people safe at all times.
We would also like to warmly thank our shareholders for their continued support, and to welcome the new investors who joined our register through the two share placements completed during the year. Your support and confidence in our projects, our people and our strategic vision for DevEx is greatly appreciated.
Our objective is to make a major discovery that will materially change the value of the Company and deliver outstanding returns to our shareholders. We believe we are well placed to deliver on that goal, and we are looking forward to another exciting year in 2022.
Yours faithfully,
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Tim Goyder Chairman
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Brendan Bradley Managing Director
DEVEX RESOURCES LIMITED 2021 ANNUAL REPORT | PAGE 3
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MISSION STATEMENT
Our Mission
Our Values
DevEx Resources is committed to the growth and protection of shareholder value through the identification, acquisition, and exploration of highquality projects within proven mining regions, with the intent to make a significant, economic discovery.
DevEx strives to pursue excellence by continuing to adopt responsible environmental and social standards including corporate governance, and in providing a safe and supportive workplace for all employees.
Integrity – do the right thing.
Innovation – advance prospects through the adoption of new exploration approaches and technologies.
Respect – maintain a safe, respectful, and healthy working environment for all employees and contractors, acknowledging that our people are our greatest asset.
Entrepreneurship – remain nimble and have the courage to do things differently in order to deliver value for our Shareholders, while making ethical business decisions.
Energy – bring energy to everything that we do including our commitments to sustainability, social governance and the environment by striving to continually improve our practices.
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ESG ELEMENTS
Balancing Environmental, Social and Governance
Proactive and responsible management of Environmental, Social and Governance (ESG) continues to be a highpriority for DevEx.
Continued growth in 2021 has reinforced the importance of ESG, and accordingly we are committed to identifying, reviewing and mitigating risks to deliver positive and sustainable outcomes.
Environmental
Throughout the year, DevEx continued to meet or exceed environmental regulatory requirements, with a priority on preserving the future land use of all sites we explore on.
In FY2021, the Company rehabilitated any ground disturbed during its exploration activities to the highest standards across all projects.
DevEx also engaged with key governing agencies to monitor regulatory requirements and ensure our activities follow best environmental practices.
Strong environmental management through awareness and impact minimisation will remain a key focus for the year ahead.
Social
DevEx acknowledges the Traditional Custodians of the lands over which the Company explores. DevEx continues to recognise their ongoing connection to the lands and waters overwhich its exploration tenure lie.
DevEx continued to establish and maintain good relations with the local communities, land holders, pastoral lease owners and government agencies who are located on or near our land holdings. DevEx understands that such social liaison is paramount for the Company’s long term performance and growth.
Throughout the year, DeEx continued to progress land access agreements with landowners, and has worked collaboratively to ensure appropriate, safe and economic land access is achieved.
Governance
DevEx’s Corporate Governance Manual forms the basis of a comprehensive system of control and accountability for the effective administration of corporate governance.
The Company Board is committed to administering the policies and procedures contained therein with openness and integrity, applying the true spirit of corporate governance to all Company activities.
This framework was developed with reference to the recommendations set out in the ASX Corporate Governance Council’s Corporate Governance Principles and Recommendations 4[th] edition, and as required, was carefully reviewed by the Board and updated as necessary during this past financial year.
Health and Safety
DevEx strives to maintain a safe and healthy working environment for all employees and contractors. Occupational health and safety is therefore an integral part of the Company’s philosophy and management systems. DevEx reviewed and updated the company-wide health and safety policies, procedures and protocols, which were implemented in the previous financial year.
COVID-19
DevEx is pleased to report that COVID-19 has had minimal impact on the Company’s fieldwork and activities.
The Company has complied with advice from the Federal and State Government and applicable health authorities to proactively manage the potential impact of COVID-19 pandemic, and will continue to monitor and integrate advice appropriately to ensure that its protocols remain relevant.
The global challenges presented by COVID-19 have emphasised the importance of regularly reviewing and improving these governing systems, as well as the role the Board plays in instilling suitable governance practices across our business.
DevEx actively and effectively engages with key stakeholders using a variety of measures, including liaising with local government shires, direct mail outs and local advertising.
The Company has complied with all its heritage obligations during the year.
DEVEX RESOURCES LIMITED 2021 ANNUAL REPORT | PAGE 5
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HIGHLIGHTS 2020-2021
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Julimar Complex, WA
(Earn-In & 100% owned)
Building an attractive ground position within the
emerging Julimar Ni-Cu-PGE Province:
• Sovereign Project lies between the
Gonneville Ni-Cu-PGE discovery (Chalice
Mining Limited) and the Yarawindah Brooke
Ni-Cu-PGE Project (Caspin Resources
Limited)
• First time bedrock drilling defining a 12 km
long differentiated mafic-ultramafic intrusion
at Sovereign - rocks are consistent with the
upper portion of the Julimar mafic-ultramafic
intrusion to the north and south
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Lachlan Fold Belt, NSW (80 to
100% owned)
DevEx significantly progressed exploration
campaigns in a world-class copper-gold region,
tightly held by major miners, with a focus on:
• Junee Project: New broad spaced drilling has
identified an extensive Porphyry Cu-Au target
at Nangus Road Prospect with further drilling
planned this year
• Advancing Basin Creek and North Cobar
Project with Cu-Au exploration planned this
year
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New Opportunities Defined
• Technical review commenced of Nabarlek Project – designed to maximise the potential of our existing major
uranium asset and benefit from an improving uranium market
• DevEx continued to expand our team with the addition of technical experts, including on the ground geologists
in WA and NSW
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FORWARD PLAN 2021+
Our Strategy
Focus for the Year Ahead
DevEx has maintained positive exploration momentum throughout the 2021 financial year, with encouraging exploration results reported from several of its projects. This work has positioned the Company well, with a highly active follow-up exploration schedule planned for the coming 12 months.
Discovery of an economic deposit remains the key objective for 2022, and DevEx is confidently leveraged for upside, with sustained strategic focus on quality exploration targets unconstrained by historical exploration — ensuring any discovery has the potential to have a profound impact for our shareholders.
DevEx continues to be well-funded and opportunely positioned to accelerate and maintain exploration drilling activity through the coming year.
2021 saw encouraging results in three highly endowed, and hotly contested regions – Julimar (WA), Cobar Basin (NSW) and the Macquarie Arc (NSW). Drilling programs undertaken this year continue to better define and map the potential discovery opportunities in these under-explored metallogenic provinces.
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Figure 1: Drill rig in operation at Sovereign Project, WA.
SOVEREIGN PROJECT NICKEL-COPPER-PGE
-
Extensive ground EM survey to commence September 2021, testing for massive sulphide NiCu-PGE mineralisation
-
Prospective conductors to be fast-tracked to diamond drilling
-
Diamond drilling planned to map geometry of intrusion and modelling of regional gravity data to define targets
-
Targeting Julimar PGE region
COBAR NORTH PROJECTS GOLD-BASE METAL
-
Explore the northern extensions of the Rookery and Endeavour Faults once land access is achieved
-
Targeting a major Au-Base Metal discovery in the Cobar Basin
JUNEE AND BASIN CREEK PROJECTS COPPER-GOLD
-
Progress and explore for Cu-Au mineralisation at Junee and Basin Creek
-
Expand drilling programs at Junee to test the ~2km bedrock porphyry Cu-Au mineralisation and underlying IP chargeability anomalies at the priority Nangus Road Prospect
-
Targeting new Cu-Au mineralisation within the Macquarie Arc - host to some of Australia’s largest porphyry Cu-Au mines
NABARLEK PROJECT
URANIUM
-
Renewed field exploration to commence late 2021
-
Reviewing historical and recent datasets
-
Targeting historical high-grade uranium prospects as market improves
DEVEX RESOURCES LIMITED 2021 ANNUAL REPORT | PAGE 7
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SOVEREIGN PROJECT
Nickel-Copper-PGE, WA (Earn In Agreement and 100% Tenements)
The Sovereign Project is strategically located in the highly prospective Julimar region of Western Australia, where DevEx is targeting intrusion-related nickel (Ni), copper (Cu) and platinum group elements (PGE) discoveries.
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The Julimar Complex hosts the globally significant Gonneville Ni-Cu-PGE discovery owned by Chalice Mining (ASX: CHN), located ~40km to the south of the Sovereign Project.
Project Update
During the year, DevEx continued to advance a systematic and multi-pronged exploration program in the Julimar region (Figure 2).
Positive exploration results emerged early in the reporting period, with several new Ni-Cu-PGE drill targets identified. The re-assay of historical bauxite drill samples, together with DevEx rock chip sampling returned individual assays of up to 1,210 ppm nickel, 395 ppm copper, 6,830 ppm chromium and 83 ppb platinum + palladium.
Figure 2: DevEx Tenement together with the Australian Silica Quartz Group Ltd (‘ASQ’) Tenement overlying airborne magnetics (RTP) in relation to Chalice Mining Limited’s high-grade palladium-nickel discovery (ASX: CHN) at the Julimar Project. The outline of the Julimar Complex was interpreted by the Company from information in Harrison (1984)[3] .
A follow-up ground gravity survey further supported the potential for an underlying mafic-ultramafic intrusion associated with the Sovereign Magnetic Complex, enhancing the Company’s capability to map the potential intrusion beneath the extensive duricrust development.
1. Chalice Mining Limited (ASX: CHN) ASX announcement “Twelfth HighGrade Zone Defined at Julimar” on 3rd August 2021”
2. Caspin Resources Limited (ASX: CPN) ASX announcement “Broad Sulphide Zones Intersected at Yarabrook Hill” on 24th May 2021.
3. Harrison P. H., 1984. The mineral potential of layered igneous complexes within the Western Gneiss Terrain. In: Professional papers for 1984 of the Geol Surv of W. A. 19. Gov Printing Office, Perth, pp 37–54.
4. Chalice Gold Mines Limited (ASX: CHN) ASX announcement “Major new
- 6.5km-long EM anomaly identified at Julimar” on 22nd September 2020.
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SOVEREIGN PROJECT
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Figure 3: Sovereign Project: DevEx air-core drilling (average hole depth ~26m) has defined an extensive mafic-ultramafic intrusion over 12 km long with several windows of underlying metamorphosed pyroxenite and mela-gabbronorite rimmed by elevated palladium and platinum. The shape of the intrusion is interpreted from air-core drilling (incl bottom of hole multielement geochemistry), petrology and magnetics. The Company is currently planning an expanded ground EM survey, with stratigraphic diamond drilling to test the intrusion beneath the pyroxenite.
An airborne electromagnetic (EM) survey designed to identify near surface bedrock conductors that could be mapping underlying massive sulphide Ni-Cu-PGE mineralisation followed. Although results appeared encouraging, selective follow-up ground EM was unable to identify significant conductors associated with targets. Subsequent geophysical modelling indicates that the airborne EM would have been depth restrictive for conductors similar to those seen at the Gonneville Ni-CuPGE site and a more comprehensive ground EM is better suited to explore the area.
Two phases of air-core drilling (AC) consisting of 480 holes for 12,415 m were completed in 2021 on the western side of the Sovereign Magnetic Complex (E70/3405), where DevEx is exploring under an Earn-In Agreement with Australian Silica Quartz Group Ltd (‘ASQ’).
A further 76 holes (1,965 m) were completed on this eastern Devex tenement (E70/5365). This first-pass AC drilling was conducted to test the newly identified surface PGE geochemical anomaly, which had never been previously explored.
DEVEX RESOURCES LIMITED 2021 ANNUAL REPORT | PAGE 9
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SOVEREIGN PROJECT
This broad-spaced drilling mapped the prospective maficultramafic intrusion for the first time, defining a 12 km long complex and providing information on the potential framework of the intrusion (Figure 3).
Drilling also returned elevated palladium and platinum which, along with results from multielement geochemistry and petrology, are all consistent with the upper portions of a layered differentiated mafic-ultramafic intrusion, ranging from leuco-gabbros, to mela-norites, gabbronorites and olivine pyroxenite (metamorphic equivalent).
These rocks are likely analogous to the western margin of Chalice Mining Limited’s Gonneville Intrusion where gabbronorite and pyroxenite rocks form the upper differentiated layer with the lower, more Ni-Cu-PGE rich, serpentinite (harzburgite) beneath.[1]
At Sovereign, DevEx has yet to drill beneath the upper differentiated mela-gabbronorite and pyroxenite to determine the position of any lower serpentinite that could occur beyond the pyroxenite layer.
The difference is that the Gonneville Intrusion appears to be folded onto its side so exposing the lower Ni-Cu-PGE rich serpentinite at surface. By contrast, the Sovereign maficultramafic Intrusion is currently interpreted to be flatter lying, with the more prospective ultramafic rocks (serpentinite) lying beneath the pyroxenite and mela-gabbronorite.
This interpretation is supported by several windows of melagabbronorite and pyroxenite seen within the intrusion and rimmed by elevated palladium and platinum (PGE) and lithologies consistent with the upper differentiated portion of the intrusion.
A review of the previous Airborne EM (AEM) survey and limited ground follow-up undertaken by the Company’s geophysical consultants, Newexco Pty Ltd, found that the AEM survey would have been depth restrictive and therefore unlikely to have tested the full vertical extent of the
prospective intrusion, including the more prospective ultramafic which may underly the gabbroic rocks. As a result, Newexco has recommended that a more extensive programme of ground EM is required to effectively test for massive sulphide Ni-Cu-PGE mineralisation with priority given to several windows where the lower ultramafic and mela-gabbronorites have been exposed near surface.
In parallel, DevEx further expanded its footprint following the granting of the Company’s 100% owned adjacent Exploration Licence E70/5365, an additional 55 km[2] to the area and providing broader access to explore the eastern half of the Sovereign Magnetic Complex.
Future Exploration
DevEx is now planning for an extensive ground EM survey to commence in the coming months. The survey is designed to test for conductors associated with Ni-Cu-PGE mineralisation beneath the effective range of the previous Airborne EM and overlying gabbroic rocks. Prospective EM conductors identified as this survey progresses will be fast tracked to diamond drilling.
In conjunction with these ground EM surveys, diamond drilling is also planned to test the geometry and extent of the intrusion beneath the upper gabbroic rocks. This planning will be supported by additional modelling of the regional gravity data. Results, and a more enhanced geological understanding, are expected to assist with definition of priority targets within the broader differentiated maficultramafic intrusion which will pave the way for an expanded ground electromagnetic (EM) survey and subsequent RC/diamond drilling later in the year.
1. Chalice Mining Limited (ASX: CHN) ASX announcement “Twelfth High-Grade Zone Defined at Julimar” on 3rd August 2021
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SOVEREIGN PROJECT
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JUNEE AND BASIN CREEK PROJECTS Copper Gold, NSW (100% Tenement)
The Junee and Basin Creek Projects are part of DevEx’s large-scale ground position along the regional Gilmore Suture.
The Junee Project overlies +20 km of prospective strike in the underexplored southern extension of Macquarie Arc, a geological domain which hosts numerous major porphyry copper (Cu)gold (Au) deposits including - Northparkes, Cowal and Cadia Ridgeway.
Project Update – Junee
Exploration results generated during the year significantly upgraded the potential for a porphyry copper-gold system in the project area with priority drilling scheduled for the Nangus Road Prospect (Figure 5).
In late 2020, a single diamond hole (20JNDD003) into the Prospect confirmed an altered monzonite associated with this magnetic anomaly with trace copper sulphides seen in the most altered monzonite rocks. This magnetic anomaly is concealed by recent transported sediments.
1. Alkane Resources Ltd (ASX: ALK) ASX Announcement “Discovery of Significant Porphyry Gold-Copper Mineralisation at Boda Prospect within Northern Molong Porphyry Project (NSW)” on 9th September 2019.
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Figure 4: Location of the Junee and Basin Creek Projects, within the Lachlan Fold Belt, NSW.
DEVEX RESOURCES LIMITED 2021 ANNUAL REPORT | PAGE 11
JUNEE AND BASIN CREEK PROJECTS
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Figure 5: Junee Project, NSW, location of Nangus Road Prospect within EL8622, showing RTP magnetics, where recent air-core and RC drilling has identified an extensive copper-gold anomaly on the northern margin of an altered monzonite associated with a magnetic anomaly similar in size and amplitude to the copper-gold bearing monzonite at Cooba (north of the project).
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JUNEE AND BASIN CREEK PROJECTS
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Project Update – Junee, cont.
DevEx then completed wide-spaced (400 mN x 200 mE) aircore (AC) drilling designed to test the northern margin of the Nangus Road magnetic anomaly. Results identified broadly anomalous and coincident copper-gold bedrock mineralisation (up to 0.5 g/t Au and 731 ppm Cu in 4 m composite samples) over several east-west traverses spaced at 400 m and remained open to the north and south over the main magnetic anomaly.
Subsequent to year end, analysis of the one metre intervals within the composite samples returned higher gold and copper grades of up to 3.5 g/t Au and 1,410 ppm Cu (Figure 6). The anomalous copper-gold bedrock results are also supported by other anomalous pathfinder elements consistent with porphyry copper-gold systems, including molybdenum, bismuth, selenium, and tellurium.
Following on from this AC drilling, six broad-spaced Reverse Circulation (RC) holes were drilled to test the main magnetic anomaly further to the south. This drilling was reconnaissance in nature and designed to expand the previous AC drilling over the main magnetic anomaly. Drilling encountered altered monzonite in all holes, with anomalous gold mineralisation (up to 284ppb Au) seen in the RC drilling immediately south of the previous AC drilling.
Overall, the bedrock copper-gold anomaly has been extended to a strike length of ~2 kilometres. In addition, a first-pass Dipole-Dipole Induced Polarisation (IP) geophysical survey tested the bedrock copper-gold anomaly on 200 m N spaced traverses, identifying multiple strong chargeability highs beneath the Nangus Road copper-gold bedrock anomaly (Figure 7).
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Figure 6: Nangus Road Prospect at Junee – Recent broad-spaced (400mN x 200mE) air-core + RC drilling, bedrock copper and gold anomaly (maximum Au and Cu assay per hole), peak assay of 1,410ppm Cu and 3.5g/t Au (3,490ppb Au), underlain by RTP magnetics. New IP Survey lines and anomalies are also shown. The copper and gold bedrock anomaly lies within and along the northern margin of the monzonite anomaly and remains open to the north.
DEVEX RESOURCES LIMITED 2021 ANNUAL REPORT | PAGE 13
JUNEE AND BASIN CREEK PROJECTS
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Figure 7: Nangus Road Prospect, Sections A (looking north) – showing broadly anomalous bedrock Au-Cu mineralisation defined by air-core drilling overlying strong IP chargeability anomaly within and proximal to the northern margin of the Nangus Road monzonite (see Figure 6 for location).
Project Update – Basin Creek
Preliminary drilling of 14 RC/diamond drill holes (2,800 m) was carried out during the reporting period, providing a firstpass test of the +3.5 km gold (Au) system at Main Ridge Prospect. Drilling in the central & southern areas encountered broad zones of strong silica-sericite-pyrite alteration, including quartz sulphide veins hosted in porphyritic and fragmental volcanic rocks, and assays show gold mineralisation proximal to the western margin of the Main Ridge Prospect, including 4 m @ 2.1 g/t Au from 174 m and 1 m @ 6.2 g/t Au from 12 m in a quartz stock work veined/breccia (Figure 9).
This western margin, interpreted to be a gold-bearing structure, has only been tested on broad drill-hole spacings, and remains open to the south for +400 m.
Future Exploration
At Junee, both the shallow, ~2 km-long bedrock coppergold mineralization and the underlying IP chargeability anomalies represent compelling exploration drill targets. DevEx is planning to commence drilling in October 2021 once current and forecast wet weather abates and access is achievable.
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Figure 8: Drill rig in operation at Junee Project, NSW.
At Basin Creek, planning continues for Phase 2 drilling on an expanded area of the Main Ridge Prospect, scheduled to start in early 2022 once additional field work within the project is complete.
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JUNEE AND BASIN CREEK PROJECTS
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Figure 9: Basin Creek Project - Location of RC and diamond drill holes testing beneath the recently identified gold-in-soil anomalies.
DEVEX RESOURCES LIMITED 2021 ANNUAL REPORT | PAGE 15
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JUNEE AND BASIN CREEK PROJECTS
COBAR PROJECTS Gold-Base Metal, NSW (80% and 100% Tenements)
DevEx is exploring new discovery opportunities at North Cobar and Wilga Downs, situated in the highly endowed Cobar mining region, part of the Lachlan Fold Belt which hosts several other worldclass copper (Cu) - gold (Au) deposits, including Glencore’s CSA mine, just 50 km to the south.
Project Update – North Cobar (100%)
DevEx holds a 100%-owned Exploration Licence within the highly prospective North Cobar Mineral Allocation Area.
The North Cobar Exploration License EL9051 was granted during the reporting period and overlies the interpreted northern extension to the Rookery and Endeavor Fault systems, a metalliferous fault network which hosts a number of significant Gold-Base Metal mines in the Cobar Region.
Project Update – Wilga Downs (80%)
Early in the reporting year, DevEx entered into a Earn-In Agreement with Thomson Resources Limited (ASX: TMZ, “Thomson”) on the highly prospective Wilga Downs GoldBase Metal Project in the Cobar Basin region (Figure 10), with the right to earn 80% interest in the Project by spending up to $290,000 within 4 years from commencement of the Earn-In Agreement. DevEx will also free-carry Thomson in relation to a 10% interest through to a pre-feasibility study. During the year, DevEx met its requirements to earn 80% in the Wilga Downs Project.
This acquisition followed after DevEx interpreted a strong coincident magnetic and gravity high beneath historical anomalous intercepts at the prospective fault contact between outcropping Cobar Supergroup (Devonian) and the Girilambone Group (Ordovician).
This priority target is similar to those associated with other major gold-polymetallic deposits in the region, including Glencore’s CSA Copper Mine and other nearby mines such as the Peak and Great Cobar Copper-Gold Mines.
Encouraging assays were received from the first diamond drill hole (20WD001). Drilling encountered a 13-metre zone of vein to disseminated pyrrhotite mineralisation (a magnetic iron sulphide) with minor copper sulphides (chalcopyrite), close to the centre of the modelled magnetic high. Of most interest was a narrow intercept of semi-massive pyrrhotite grading 1 m @ 0.7% Cu and 0.7 g/t Au from 551.6 m.
A follow-up down-hole electromagnetic (DHEM) survey was conducted on hole 20WD001. DHEM confirmed the presence of a large 150 m long x 250 m, off-hole EM conductor 40 m east of the recently drilled hole (Conductor A).
An additional off-hole conductor (Conductor D) was also recognised in a DHEM survey of diamond drill hole 16WD02 (drilled in 2016). The conductor was located north of hole 16WD02 and modelled to dip to the north. An additional Moving Loop Electromagnetic (MLEM) Survey was also completed during the reporting period, covering both magnetic anomalies. No additional conductors were identified.
Diamond drilling tested both Conductors A and D, intersecting massive pyrrhotite together with disseminate zinc and copper sulphides, including 7.8m @ 1.04% Zn from 404m. The company is currently carrying out a review of the alteration between holes, together with the base metal variability to understand where further potential might lie at Wilga Downs.
Future Exploration
DevEx continues to progress land access in the additional North Cobar tenements, with plans to explore the extension and intersections of the Rookery Fault and Endeavor Fault.
PAGE 16 | 2021 ANNUAL REPORT DEVEX RESOURCES LIMITED
COBAR PROJECTS
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Figure 10: Generalised Geology Map of the central Cobar Mining District after David (2006)[1] , showing location of North Cobar Project and Wilga Downs Project.
1. Source: David, V. 2006, Cobar Superbasin System Metallogenisis. Mines and Wines Conference .
2. Sandfire Resources Ltd ASX Announcement “Sandfire enters farm-in over Endeavor Base Metal Mine and Exploration Package – Cobar, NSW” on 27th October 2020 .
DEVEX RESOURCES LIMITED 2021 ANNUAL REPORT | PAGE 17
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WILGA DOWNS & NORTH COBAR PROJECT
NABARLEK PROJECT Uranium, Copper, Gold NT, (Earn In Agreement and 100% applications)
DevEx holds a dominant ground position of granted and tenement applications comprising +4,700 km[2] , in the premier Alligator Rivers Uranium Province.
At the heart of the project lies the historical Nabarlek Uranium Mine, considered to be Australia's highest-grade uranium mine, with previous production of 24 Mlbs @ 1.84% U3O8.
Project Update
Driven by ongoing improvements in the uranium market, DevEx has been reviewing its extensive datasets collected since the early 1960s following the discovery, and eventual mining of the high-grade Nabarlek Uranium Deposit (production – 24 Mlbs @ 1.84% U3O8).[1]
With more than 500Mlbs of U3O8 defined[2] throughout the Alligator Rivers Uranium Province, DevEx holds a dominant ground position of granted and tenement applications comprising +4500 km[2] and centred on the historical Nabarlek Uranium Mine (Figure 12).
This review is expected to be completed in September 2021 and will see renewed field exploration commence in late 2021 to follow up several new and under-explored uranium prospects surrounding the historical high-grade Nabarlek Uranium Mine.
1. Production History: McKay, A.D & Miezitis, Y. 2001. Australia’s uranium resources, geology and development of deposits. AGSO – Geoscience Australia, Mineral Resource Report 1. ERA Annual Production Reports 2001 to 2018.
2. Mineral Resource: Vimy Resources (ASX:VMY) Mineral Resource Statement 20 March 2019. Energy Resources of Australia Ltd (ASX:ERA) Annual Statement of Reserves and Resources January 2018.
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Figure 11: Core samples being logged at Nabarlek Project during previous DevEx exploration campaigns.
PAGE 18 | 2021 ANNUAL REPORT DEVEX RESOURCES LIMITED
NABARLEK PROJECT
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Figure 12: Regional geology of the eastern Alligator River Uranium Province showing pre-mining endowment of uranium and gold deposits, and DevEx’s tenement holding.
1. Production History:
McKay, A.D & Miezitis, Y. 2001. Australia’s uranium resources, geology and development of deposits. AGSO – Geoscience Australia, Mineral Resource Report 1.
ERA Annual Production Reports 2001 to 2018.
2. Mineral Resource:
Vimy Resources (ASX:VMY) Mineral Resource Statement 20 March 2019.
Energy Resources of Australia Ltd (ASX:ERA) Annual Statement of Reserves and Resources January 2018.
DEVEX RESOURCES LIMITED 2021 ANNUAL REPORT | PAGE 19
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OTHER PROJECTS
Dundas Gold Project
(100%) Western Australia
Bogong Copper-Gold Project
(100%) New South Wales
Field exploration at the Dundas Project, WA included the commencement of auger sampling to follow up historical gold in auger anomalies within the project. The auger sampling has defined a +1km long gold anomaly which has only been partially tested by previous drilling. The anomaly is open to the south where it crosses into the Dundas Nature Reserve (DNR). The Company is currently preparing applications to submit for approval to carry out exploration into the DNR
No significant activities were completed on the Bogong Copper-Gold Project during the year.
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INVESTMENTS + FINANCIAL REVIEW
Investments
Financial Review
PhosEnergy Limited
DevEx Resources increased it’s holding to 6,130,874 shares in the unlisted company PhosEnergy Limited (PEL) subsequent to year end. The Group’s interest decreased to 5.3% (2020: 8.9 % interest with 5,109,061 shares), after a placement to professional and sophisticated investors and a rights issue to existing shareholders at 10 cents was completed in June 2021 and August 2021.
PEL is now financially positioned to advance its goal to solve a range of significant energy challenges utilizing its suite of technologies, as follows:
GenX – provide maintenance-free long-term power for satellites, rockets and space vehicles. GenX has the potential to increase the reliability and efficiency of many forms of space travel.
CarbonX – scale and commercialise the conversion of industrial CO2 into useful chemicals such as methanol.
GenT – commercially harness waste heat within industrial facilities to produce additional energy for said facilities/companies.
The technologies listed above will create a minimal carbon footprint by utilising the energy contained in beta emitting isotopes for GenX and CarbonX and waste heat in the case of GenT.
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Financial Performance
The Group reported a net loss before tax of $6,584,881 for the year (2020: $3,473,963). The current year and prior year net losses predominantly relate to expensing of exploration and evaluation expenditure in accordance with the Group’s accounting policy.
Corporate and administration expenses have decreased by 2% to $1,010,160 (2020: $1,034,531). This is a result of an increase in staffing levels across the Group which has been offset by the introduction of a recharge of corporate office and administration expenses to exploration and evaluation expenses since the Group relocated to its own premises.
Statement of Cash Flows
Cash and cash equivalents at 30 June 2021 was $16,576,754 (2020: $2,216,866).
During the year the Group completed three placements to professional and sophisticated investors raising a total of $22 million before costs.
Financial Position
At balance date the Group had net assets of $16,788,109 (2020: net assets of $2,469,490), and a working capital surplus of $15,620,821 (2020: $1,744,577). The increase in net assets is mainly attributable to an increase in cash due to the capital raisings during the year.
Current liabilities increased by 113% from $535,429 in 2020 to $1,143,836 in the 2021 financial year. The significant increase in current liabilities is mainly a result of the level of exploration activity still in progress at 30 June 2021.
Figure 13: Diamond drill rig in operation at Junee Project, NSW.
DEVEX RESOURCES LIMITED 2021 ANNUAL REPORT | PAGE 21
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COMPETENT PERSON STATEMENT
Sovereign Project
The Information in this report that relates to Exploration Results for the Sovereign Project is extracted from the ASX announcements titled “New results significantly upgrade Junee Porphyry Copper-Gold Project, NSW” released on 26[th] July 2021, “Encouraging gold-copper assays from maiden air-core drilling into large-scale target at Junee Project, NSW” released on 26[th] May 2021 and “ Extensive copper-gold soil anomaly strengthens potential for largescale porphyry copper-gold system at Junee” released on 9[th] February 2021.
Junee Copper-Gold Project
The Information in this report that relates to previous exploration results for the Junee Copper-Gold Project is extracted from the ASX announcements titled “ New results significantly upgrade Junee Porphyry Copper-Gold Project, NSW ” released on 26[th] July 2021, “ Encouraging goldcopper assays from maiden air-core drilling into large-scale target at Junee Project, NSW ” released on 26[th] May 2021, “ Extensive copper-gold soil anomaly strengthens potential for large-scale porphyry copper-gold system at Junee ” released on 9[th] February 2021, “ Quarterly Activities and Cashflow Report - December 2020 ” released on 28[th] January 2021, and “ DevEx Further Expands Potential of Junee Copper-Gold Project, NSW with Identification of Additional Porphyry Targets ” released on 5[th] March 2019 .
Basin Creek Gold-Copper Project
The Information in this report that relates to Exploration Results for the Basin Creek Gold-Copper Project is extracted from the ASX announcements titled “ NSW Exploration Update – Basin Creek Gold Project and Junee Copper-Gold Project ” released on 6[th] November 2020, “ Preliminary drilling at Basin Creek nearing completion with drilling continuing at nearby Junee Project ” released on 7[th] October 2020, “ Major expansion of gold anomalies ahead of imminent drilling at the Basin Creek Project, NSW ” released on 5[th] August 2020, “ New strong gold anomalies prioritised for upcoming drill program at the Basin Creek Project, NSW ” released on 23[rd] June 2020, “ More strong gold rock chip results over a +4km strike length at the Basin Creek Copper-Gold Project, NSW ” released on the 6[th] May 2020, and “ Extensive zone of gold in rock chips identified at the Basin Creek Copper Gold Project, NSW ” released on 14[th] April 2020 .
Wilga Downs Project
The information in this Report that relates to Exploration Results for the Wilga Downs Project is extracted from the ASX announcements titled “NSW Projects – Exploration Update” released on 21[st] September 2021, “Strong Off-Hole DHEM Conductor at Wilga Downs Copper-Gold Project, NSW” released on 20[th] April 2021, “Encouraging initial drill results at Wilga Downs Project” released on 4[th] February 2021 and “ DevEx expands NSW portfolio with farm-in on highly prospective gold-base metal project in Cobar Basin ” released on 16[th] September 2020.
West Arnhem-Nabarlek Project
The information in this Report that relates to the Exploration Results for the West Arnhem-Nabarlek Project, Nabarlek Prospect and U40 Prospect are extracted from ASX announcements titled “ Drilling intersects uranium mineralisation beneath the historical Nabarlek Open Pit and at U40 opening up new discovery opportunities ” released on 10[th] September 2019.
All ASX Announcements are available on www.devexresources.com.au.
The Company confirms that it is not aware of any new information or data that materially affects the information included in the original market announcements and that all material assumptions and technical parameters underpinning the estimates in the relevant market announcement continue to apply and have not materially changed.
The company confirms that the form and context in which the Competent Person’s findings are presented have not been materially modified from the original market announcement.
Forward Looking Statement
This report contains forward-looking statements which involve a number of risks and uncertainties. These forwardlooking statements are expressed in good faith and believed to have a reasonable basis. These statements reflect current expectations, intentions or strategies regarding the future and assumptions based on currently available information. Should one or more of the risks or uncertainties materialise, or should underlying assumptions prove incorrect, actual results may vary from the expectations, intentions and strategies described in this announcement.
No obligation is assumed to update forward-looking statements if these beliefs, opinions and estimates should change or to reflect other future developments.
PAGE 22 | 2021 ANNUAL REPORT DEVEX RESOURCES LIMITED
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TENEMENT SCHEDULE
as at 27 September 2021
| LOCATION | PROJECT | TENEMENT NO. | NATURE OF INTERESTS |
|---|---|---|---|
| Northern Territory | West Arnhem - Nabarlek |
MLN962 | 100% |
| EL10176 | 100% | ||
| EL24371 | 100% | ||
| EL23700 | 100% | ||
| ELA24878 | 100% - Application and transferpendingupongrant | ||
| EL31519 | 100% - Application | ||
| EL31520 | 100% - Application | ||
| EL31521 | 100% - Application | ||
| EL31522 | 100% - Application | ||
| EL31523 | 100% - Application | ||
| EL31557 | 100% - Application | ||
| ELA25384 | 100% - Application | ||
| ELA25385 | 100% - Application | ||
| ELA25386 | 100% - Application | ||
| ELA25389 | 100% - Application | ||
| ELA27513 | 100% - Application | ||
| ELA27514 | 100% - Application | ||
| ELA27515 | 100% - Application | ||
| ELA32475 | 100% - Application | ||
| ELA29947 | 100% - Application | ||
| ELA29945 | 100% - Application | ||
| ELA28316 | 100% - Application | ||
| ELA29897 | 100% - Application | ||
| ELA30073 | 100% - Application | ||
| New South Wales | Junee | EL8622 | 100% |
| EL8767 | 100% | ||
| EL8835 | 100% | ||
| EL8851 | 100% | ||
| Basin Creek | EL8939 | 100% | |
| EL9013 | 100% | ||
| EL9049 | 100% | ||
| Bogong | EL8717 | 100% | |
| Wilga Downs | EL8136 | 80% - transferpending | |
| EL9061 | 100% | ||
| North Cobar | EL9051 | 100% | |
| Hume | EL8992 | 100% | |
| Western Australia | Sovereign | E70/3405 | 0% - Earn In Agreement |
| E70/5365 | 100% | ||
| Julimar Complex |
E70/5363 | 100% | |
| E70/5364 | 100% | ||
| E70/5366 | 100% - Application | ||
| E70/5404 | 100% | ||
| E70/5760 | 100% | ||
| South West | E70/5390 | 100% - Application | |
| E70/5499 | 100% | ||
| E70/5543 | 100% - Application | ||
| E70/5717 | 100% - Application | ||
| E70/5718 | 100% | ||
| E70/5719 | 100% | ||
| Dundas | E63/1860 | 100% | |
| Other Applications |
E80/5701 | 100% - Application | |
| E28/3165 | 100% - Application | ||
| E28/3166 | 100% - Application | ||
| Queensland | Applications | EPM2008 | 100% - Application |
| EPM28012 | 100% - Application |
DEVEX RESOURCES LIMITED 2021 ANNUAL REPORT | PAGE 23
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PAGE 24 | 2021 ANNUAL REPORT DEVEX RESOURCES LIMITED
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DIRECTORS’ REPORT
for the year ended 30 June 2021
The directors present their report together with the financial statements of the Group consisting of DevEx Resources Limited (‘DevEx’ or ‘the Company’) and its controlled entities (“the Group”) for the financial year ended 30 June 2021 and the independent auditor’s report thereon.
1. Directors
The names and details of the Company’s directors in office during the financial year and until the date of this report are as follows. Directors were in office for this entire period unless otherwise stated.
| MR TIM R B GOYDER | |
|---|---|
| Non-Executive Chairman |
Mr Goyder was a Non-Executive Director for the whole of the financial year. Mr Goyder was appointed as Non-Executive Chairman on 18 March 2002. |
| Experience: | Mr Goyder has considerable years’ experience in the resource industry. He has been involved in the formation and management of a number of publicly-listed companies. |
| Interests in Shares and Options at the date of this report: |
53,375,269 ordinary shares. 250,000 unlisted options at $0.30 expiring 30 November 2021. 500,000 unlisted options at $0.10 expiring 30 November 2021. 1,250,000 unlisted options at $0.135 expiring28 November 2022. |
| Special Responsibilities: |
None. |
| Directorships held in other listed entities in the last three years: |
Mr Goyder is currently Chairman of Chalice Mining Limited (October 2005 to current) and Liontown Resources Limited (February 2006 to current). Mr Goyder was previously a Non- Executive Director of Strike Energy Limited (April 2017 - December 2018). |
| MR BRENDAN J BRADLEY | |
| Managing Director | Mr Bradley was an Executive Director for the whole of the financial year. Mr Bradley was appointed as Managing Director on 1 June 2017. |
| Qualifications: | BSc, Hons, MAIG |
| Experience: | Mr Bradley is a geologist with over 20 years of mineral exploration, mining and resource development experience in a broad range of geological settings. In previous years he has worked in the Asian region in a variety of business development roles for mid-tier gold miners Kingsgate Consolidated and Dominion Mining. |
| Interests in Shares and Options at the date of this report: |
1,084,593 ordinary shares. 416,667 unlisted options at $0.30 expiring 30 November 2021. 3,000,000 unlisted options at $0.10 expiring 30 November 2021. 3,000,000 unlisted options at $0.135 expiring 28 November 2022. |
| Special Responsibilities: |
None. |
| Directorships held in other listed entities in the last three years: |
None. |
DEVEX RESOURCES LIMITED 2021 ANNUAL REPORT | PAGE 25
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DIRECTORS’ REPORT
| MR BRYN L JONES | |
|---|---|
| Non-Executive Director | Mr Jones was a Non-Executive Director for the whole of the financial year. Mr Jones has been a Director since 17 September 2009 |
| Qualifications: | BAppSc, MMinEng, FAusIMM |
| Experience: | Mr Jones is an Industrial Chemist with extensive experience in the uranium industry, particularly in the development of the PhosEnergy Process and operation of In-Situ Recovery (ISR) mines gained during his time at Heathgate Resources, the operator of the Beverley Uranium Mine. Mr Jones has also worked for Worley Parsons on the Olympic Dam Expansion Project and consulted on various ISR operations around the world. Mr Jones is also the Managing Director of PhosEnergy Limited. |
| Interests in Shares and Options at the date of this report: |
2,042,237 ordinary shares. 250,000 unlisted options at $0.30 expiring 30 November 2021. 500,000 unlisted options at $0.10 expiring 30 November 2021. 1,250,000 unlisted options at $0.135 expiring 28 November 2022. |
| Special Responsibilities: |
Member of the Audit and Risk Committee. |
| Directorships held in other listed entities in the last three years: |
Mr Jones is currently a Director of Boss Resources Limited (September 2019 to current) and Australian Rare Earths Limited (April 2019 to current). Mr Jones was previously a Non- Executive Director of Salt Lake Potash Ltd (June 2017 – May 2021). |
| MR RICHARD K HACKER | |
| Non-Executive Director | Mr Hacker was a Non-Executive Director for the whole of the financial year. Mr Hacker was appointed as a Non-Executive Director on 28 November 2013. |
| Qualifications: | B.Com, CA, ACIS |
| Experience: | Mr Hacker has significant corporate and commercial experience in the energy and resources sector in Australia and the United Kingdom. Mr Hacker has previously worked in senior finance roles with global energy companies. Mr Hacker is the CFO of Chalice Mining Limited and is a Chartered Accountant and Chartered Secretary. |
| Interests in Shares and Options at the date of this report: |
2,000,000 ordinary shares. 250,000 unlisted options at $0.30 expiring 30 November 2021. 500,000 unlisted options at $0.10 expiring 30 November 2021. 1,250,000 unlisted options at $0.135 expiring 28 November 2022. |
| Special Responsibilities: |
Chairman of the Audit and Risk Committee. |
| Directorships held in other listed entities in the last three years: |
None. |
2. Company Secretary
| MS KYM A VERHEYEN | |
|---|---|
| Company Secretary | Ms Verheyen was appointed as Company Secretary on 16 December 2019. |
| Qualifications: | B.Com, CA |
| Experience: | Ms Verheyen is a Chartered Accountant with over 20 years’ experience gained in both public practice and commerce. Ms Verheyen commenced her career with Deloitte and has since held finance positions in a number of listed resource companies. |
PAGE 26 | 2021 ANNUAL REPORT DEVEX RESOURCES LIMITED
DIRECTORS’ REPORT
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3. Directors Meetings
The number of directors’ meetings (including meetings of committees of directors) held during the year and the number of meetings attended by each director were as follows:
| Directors’ Meetings | Directors’ Meetings | Audit and Risk Committee | Audit and Risk Committee | |
|---|---|---|---|---|
| Held | Attended | Held | Attended | |
| T R B Goyder | 5 | 5 | - | - |
| B J Bradley | 5 | 5 | - | - |
| B L Jones | 5 | 5 | 3 | 3 |
| R K Hacker | 5 | 5 | 3 | 3 |
Given the current size and composition of the Board, the Company has not established a separate remuneration or nomination committee.
4. Principal Activities
The principal activities of the Group during the course of the financial year were mineral exploration and evaluation and there have been no significant changes in the nature of those activities during the year.
5. Operating and Financial Review
The directors of DevEx Resources Limited present the Operating and Financial Review of the Group, prepared in accordance with section 299A of the Corporations Act 2001 for the year ended 30 June 2021. The information provided in this review forms part of the Directors’ Report and provides information to assist users in assessing the operations, financial position and business strategies of the Company. Please refer to page 6 for further details.
Future exploration results, movements in commodity price and equity prices may adversely impact the achievement of the Company’s business strategies. Refer to note 20 for further information on these financial risks.
6. Significant Changes in the State of Affairs
Other than the progress documented in the Operating and Financial Review, the state of affairs of the Group was not affected by any other significant changes during the year.
7. Coronavirus (COVID—19) Pandemic
COVID-19 continues to have minimal impact on the Company’s fieldwork and activities.
The Group remains governed by company-wide protocols consistent with the current advice from the Government and health authorities to proactively manage the potential impact of the COVID-19 global pandemic on the Company, and is regularly monitoring this advice to ensure that its protocols remain relevant.
8. Dividends
No dividends were declared or paid for the previous year and the directors recommend that no dividend be paid for the current year.
9. Events Subsequent to Reporting Date
No matters or circumstances have occurred subsequent to balance date that have or may significantly affect the operations or state of affairs of the Group in subsequent financial years other than disclosed in note 27.
10. Likely Developments
The Group’s focus remains on growing a portfolio of high-quality projects spanning some of Australia’s most prospective mineral provinces. The Group will continue actively exploring for uranium, gold, copper-gold, and nickel-copper-PGE deposits within its portfolio through the use of modern exploration technologies.
DEVEX RESOURCES LIMITED 2021 ANNUAL REPORT | PAGE 27
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DIRECTORS’ REPORT
11. Environmental Legislation
The Group’s operations are subject to significant environmental regulation under both Commonwealth and relevant state legislation in relation to the discharge of hazardous waste and materials arising from any exploration and mining activities conducted by the Group on any of its tenements. The Group believes it has complied with all environmental obligations.
12. Indemnification and Insurance of Officers and Auditors
The Company has taken out an insurance policy insuring Directors and Officers of the Company against any liability arising from a claim bought by a third party against the Company or its current or former Directors or Officers. This includes insurance against liabilities for costs and expenses incurred by them in defending any legal proceedings arising out of their conduct while acting in their capacity as a Director or Officer of the Company, other than conduct involving a wilful breach of duty in relation to the Company.
The Company indemnifies each of the Directors and Officers of the Company. Under its Constitution, the Company will indemnify those Directors or Officers against any claim or for any expenses or costs which may arise as a result of work performed in their respective capacities as Directors or Officers of the Company and any related entity.
During the year, the Company paid the premium on a Personal Accident - Working Director insurance policy on behalf of the Managing Director as normal Worker’s Compensation insurance coverage for company directors is not allowed under the Western Australian Worker’s Compensation scheme.
Other than to the extent permitted by law, the Group has not, during or since the financial year, indemnified or agreed to indemnify an auditor of the Group or any related body corporate against a liability incurred as an auditor.
13. Proceedings on Behalf of the Company
No person has applied for leave of court to bring proceedings on behalf of the Company or intervene in any proceedings to which the Company is a party for the purpose of taking responsibility on behalf of the Company for all or part of those proceedings.
14. Non-Audit Services
During the year HLB Mann Judd, the Company’s auditor, has performed no other services in addition to their statutory audit duties.
15. Options Granted Over Unissued Shares
At the date of this report, 15,466,669 fully paid ordinary shares of the Company are under options on the following terms:
| NUMBER | |
|---|---|
| Exercisable at $0.30 each on or before 30 November 2021 | 1,650,002 |
| Exercisable at $0.10 each on or before 30 November 2021 | 5,016,667 |
| Exercisable at $0.135 each on or before 28 November 2022 | 8,050,000 |
| Exercisable at $0.23 each on or before 27 July 2023 | 650,000 |
| Exercisable at $0.40 each on or before 1 August 2024 | 200,000 |
| Total | 15,466,669 |
16. Remuneration Report - Audited
16.1 Introduction
This remuneration report for the year ended 30 June 2021 outlines remuneration arrangements in place for directors and other members of the key management personnel (“KMP”) of DevEx Resources Limited in accordance with the requirements of the Corporations Act 2001 (the Act) and its regulations. This information has been audited as required by section 308(3C) of the Act.
The remuneration report details the remuneration for key management personnel who are defined as those persons having authority and responsibility for planning, directing and controlling the major activities of the Group, directly or indirectly, including any director (whether executive or otherwise) of the parent company, or any controlled entity. KMPs during or since year end were:
PAGE 28 | 2021 ANNUAL REPORT DEVEX RESOURCES LIMITED
DIRECTORS’ REPORT
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Directors
-
T R B Goyder (Chairman)
-
B J Bradley (Managing Director)
-
B L Jones (Non-executive Director)
-
R K Hacker (Non-executive Director)
There were no other changes to KMP after the reporting date and before the date the financial report was authorised for issue.
16.2 Remuneration Philosophy
The performance of the Company depends upon the quality of the directors and executives. The philosophy of the Company in determining remuneration levels is to set competitive remuneration packages to attract and retain high calibre employees and to link a significant component of executive rewards to shareholder value creation. The size, nature and financial strength of the Company are also taken into account when setting remuneration levels so as to ensure that the operations of the Company remain sustainable.
Remuneration committee
The Board performs the role of the Remuneration Committee and is responsible for determining and reviewing compensation arrangements for the directors, the Managing Director (or equivalent) and any executives.
16.3 Remuneration Structure
In accordance with best practice corporate governance, the structure of non-executive and executive remuneration is separate and distinct.
(a) Non-executive director remuneration
The Board recognises the importance of attracting and retaining talented non-executive directors and aims to remunerate these directors in line with fees paid to directors of companies of a similar size and complexity in the mining and exploration industry. The Board seeks to set aggregate remuneration at a level that provides the Company with the ability to attract and retain directors of the highest calibre, whilst incurring a cost that is acceptable to shareholders.
The Company’s Constitution and the ASX Listing Rules specify that the aggregate fees to be paid to non-executive directors for their role as a director are to be approved by shareholders at a general meeting. The latest determination was at the 2006 AGM, whereby Shareholders approved an aggregate amount of up to $200,000 per year (including superannuation).
The amount of total compensation apportioned amongst directors is reviewed annually and the Board considers advice from external shareholders as well as the fees paid to non-executive directors of comparable companies when undertaking the annual review process. The Board will not seek any increase for the non-executive pool at the 2021 AGM.
The remuneration of non-executive directors consists of directors’ fees. Each director receives a fee for being a director of the Company. No additional fees are paid for each Board committee which a director sits due to the size of the Company. The non-executive directors are not entitled to receive retirement benefits and, at the discretion of the Board, may participate in the Employee Incentive Scheme, subject to the usual approvals required by shareholders.
The Board considers it may be appropriate to issue options to non-executive directors given the current nature and size of the Company as, until profits are generated, conservation of cash reserves remains a high priority. Any options issued to directors will require separate shareholder approval.
Apart from their duties as directors, some non-executive directors may undertake work for the Company on a consultancy basis pursuant to the terms of any consultancy services agreement. The nature of the consultancy work may vary depending on the expertise of the relevant non-executive director. Under the terms of any consultancy agreements non-executive directors would receive a daily rate or a monthly retainer for the work performed at a rate comparable to market rates that they would otherwise receive for their consultancy services.
(b) Executive remuneration
The Company’s executive remuneration strategy is designed to attract, motivate and retain high performance individuals and align the interests of executives and shareholders. Remuneration consists of fixed remuneration and variable remuneration (comprising short-term and long-term incentive schemes).
Fixed remuneration
Fixed remuneration is reviewed as required by the Board by a process which consists of a review of relevant comparative remuneration in the market and, where appropriate, external advice on policies and practices.
DEVEX RESOURCES LIMITED 2021 ANNUAL REPORT | PAGE 29
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DIRECTORS’ REPORT
Variable remuneration – Long term incentive Scheme
The Company may issue equity securities (i.e. options or performance rights) under the Employee Securities Incentive Scheme (“Scheme”) to attract, motivate and retain directors, employees and consultants of the Company and to provide an opportunity to participate in the growth of the Company. The Scheme was last approved by Shareholders at the 2020 AGM.
Under the Scheme, the Company can issue either share options or performance rights, and generally, the Company believes that the issue of share options in the Company aligns the interests of directors, employees and shareholders alike. No formal performance hurdles are set on options issued to executives, however the Company believes that as options are issued at a price in excess of the Company’s current share price at the date of issue of those options, there is an inherent performance hurdle as the share price of the Company’s shares has to increase before any reward can accrue to the executive.
Short term incentive schemes
The Company currently has no formal performance related remuneration policy which governs the payment of annual cash bonuses upon meeting pre-determined performance targets. However, the board may consider performance related remuneration in the form of cash or share options when they consider these to be warranted. There were no bonuses paid or received in the years ended 30 June 2021 and 30 June 2020.
16.4 Remuneration of Key Management Personnel
The table below shows the fixed and variable remuneration for key management personnel.
| POST- | SHARE- | |||||
|---|---|---|---|---|---|---|
| SHORT-TERM | EMPLOYMENT | BASED | PROPORTION OF | |||
| BENEFITS | BENEFIT | PAYMENT | ||||
| 2021 | REMUNERATION | |||||
| SALARY & | SUPER- | PERFORMANCE |
||||
| FEES | OTHER FEES1 | ANNUATION | OPTIONS2 | TOTAL | RELATED | |
| $ | $ | $ | $ | $ | % | |
| Directors | ||||||
| T R Goyder | 22,883 | - | 2,174 | - | 25,057 | - |
| B J Bradley | 220,000 | 17,596 | 20,900 | 58,190 | 316,686 | 18% |
| B L Jones | 22,883 | - | 2,174 | - | 25,057 | - |
| R K Hacker | 22,883 | - | 2,174 | - | 25,057 | - |
| Total | 288,649 | 17,596 | 27,422 | 58,190 | 391,857 |
1 Other fees, where applicable, include the cost to the Company of providing fringe benefits and movements in employee provisions.
2 The fair value of the options is calculated using a Black-Scholes valuation model and allocated to each reporting period starting from grant date to vesting date.
| POST- | SHARE- | |||||
|---|---|---|---|---|---|---|
| SHORT-TERM | EMPLOYMENT | BASED | PROPORTION OF | |||
| BENEFITS | BENEFIT | PAYMENT | ||||
| 2020 | REMUNERATION | |||||
| SALARY & | SUPER- | PERFORMANCE |
||||
| FEES1 | OTHER FEES2 | ANNUATION | OPTIONS3 | TOTAL | RELATED | |
| $ | $ | $ | $ | $ | % | |
| Directors | ||||||
| T R Goyder1 | 22,883 | 5,181 | 2,174 | 47,634 | 77,872 | 61% |
| B J Bradley | 220,000 | 15,333 | 20,900 | 77,340 | 333,573 | 23% |
| B L Jones1 | 22,883 | 5,181 | 2,174 | 47,634 | 77,872 | 61% |
| R K Hacker1 | 22,883 | 5,181 | 2,174 | 47,634 | 77,872 | 61% |
| Total | 288,649 | 30,876 | 27,422 | 220,242 | 567,189 |
1 As a cash conserving measure, the Board agreed to accrue rather than pay the majority of non-executive director fees and the Managing Director during the COVID-19 Western Australian restriction period. As at 30 June 2020, $17,184 was owing to the Non-Executive Directors and $14,345 to the Managing Director respectively. The outstanding amounts were repaid to the directors in July 2020.
2 Other fees, where applicable, include the cost to the Company of providing fringe benefits, movements in employee provisions and the attributable non-cash benefit applied by virtue of the Company’s Directors and Officers Liability policy.
- 3 The fair value of the options is calculated using a Black-Scholes valuation model and allocated to each reporting period starting from grant date to vesting date.
PAGE 30 | 2021 ANNUAL REPORT DEVEX RESOURCES LIMITED
DIRECTORS’ REPORT
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16.5 Movement in Ordinary Shares
The relevant interest of each of the key management personnel in the share capital of the Company as at 30 June 2021 was:
| RECEIVED ON | |||||
|---|---|---|---|---|---|
| BALANCE 1 | GRANTED AS | EXERCISE | OTHER | BALANCE 30 | |
| DIRECTOR | JULY 2020 | REMUNERATION | OPTIONS | CHANGES1 | JUNE 2020 |
| T R Goyder | 45,395,269 | - | - | 7,980,000 | 53,375,269 |
| B J Bradley | 884,593 | - | - | 200,000 | 1,084,593 |
| B L Jones | 1,842,237 | - | - | 200,000 | 2,042,237 |
| R K Hacker | 1,800,000 | - | - | 200,000 | 2,000,000 |
1 Other changes refer to shares purchased on market, through participation in eligible entitlement offers or placements to professional and sophisticated investors.
| RECEIVED ON | |||||
|---|---|---|---|---|---|
| BALANCE 1 | GRANTED AS | OTHER | BALANCE 30 | ||
| EXERCISE | |||||
| DIRECTOR | JULY 2019 | REMUNERATION | OPTIONS | CHANGES1 | JUNE 2020 |
| T R Goyder | 30,769,157 | - | - | 14,626,112 | 45,395,269 |
| B J Bradley | 572,093 | - | - | 312,500 | 884,593 |
| B L Jones | 1,261,880 | - | - | 580,357 | 1,842,237 |
| R K Hacker | 1,166,667 | - | - | 633,333 | 1,800,000 |
1 Other changes refer to shares purchased on market, through participation in eligible entitlement offers or placements to professional and sophisticated investors.
16.6 Share-Based Payments
As outlined in 16.3, Directors, key employees and consultants may be eligible to participate in equity-based compensation schemes.
Options on issue
Under the terms and conditions of the options issued to employees, each option gives the holder the right to subscribe to one fully paid ordinary share. Any option not exercised before the expiry date will lapse on the expiry date.
Options have been valued using the Black-Scholes option valuation method. The following table lists the inputs to the model for Director options outstanding during the period:
| DIRECTOR | DIRECTOR | DIRECTOR | DIRECTOR | |
|---|---|---|---|---|
| OPTIONS | OPTIONS | OPTIONS | OPTIONS | |
| TRANCHE 2 | TRANCHE 3 | TRANCHE 4 | TRANCHE 5 | |
| Dividend yield (%) | - | - | - | - |
| Expected volatility (%) | 100 | 100 | 124 | 98 |
| Risk-free rate (%) | 1.70 | 2.16 | 2.11 | 0.62 |
| Expected life of options (years) | 5 | 4 | 3 | 3 |
| Exercise price ($) | 0.300 | 0.300 | 0.100 | 0.135 |
| Grant date share price ($) | 0.060 | 0.140 | 0.048 | 0.077 |
| Grant date | 30 Nov 2016 | 27 Nov 2017 | 27 Nov 2018 | 28 Nov 2019 |
| Expiry date | 30 Nov 2021 | 30 Nov 2021 | 30 Nov 2021 | 28 Nov 2022 |
| Number | 750,000 | 416,667 | 4,500,000 | 6,750,000 |
| Fair value at grant date ($) | 0.030 | 0.082 | 0.029 | 0.038 |
DEVEX RESOURCES LIMITED 2021 ANNUAL REPORT | PAGE 31
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DIRECTORS’ REPORT
Director options 2 were issued to Messrs Goyder, Jones and Hacker, Director options 3 were issued to Mr Bradley and Director options 4 and 5 were issued to Messrs Goyder, Bradley, Hacker and Jones.
There are no participating rights or entitlements inherent in the options and the holders will not be entitled to participate in new issues of capital offered to shareholders during the currency of the options. All shares allotted upon the exercise of options will rank pari passu in all respect with other shares.
The below table shows a reconciliation of options held by each KMP during the year:
| OPENING BALANCE | OPENING BALANCE | VESTED | VESTED | CLOSING BALANCE | CLOSING BALANCE | ||
|---|---|---|---|---|---|---|---|
| VESTED AND | GRANTED AS | VESTED AND | |||||
| 2021 | EXERCISABLE |
UNVESTED | COMPENSATION | NO | % | EXERCISABLE |
UNVESTED |
| T R Goyder | 2,000,000 | - |
- | - |
- | 2,000,000 | - |
| B J Bradley | 2,416,667 | 4,000,000 |
- | 2,500,000 |
58% | 4,916,667 | 1,500,000 |
| B L Jones | 2,000,000 | - |
- | - |
- | 2,000,000 | - |
| R K Hacker | 2,000,000 | - |
- | - |
- | 2,000,000 | - |
| OPENING BALANCE | OPENING BALANCE | VESTED | VESTED | CLOSING BALANCE | CLOSING BALANCE | ||
|---|---|---|---|---|---|---|---|
| VESTED AND | GRANTED AS | VESTED AND | |||||
| 2020 | EXERCISABLE |
UNVESTED | COMPENSATION | NO | % | EXERCISABLE |
UNVESTED |
| T R Goyder | 750,000 | - |
1,250,000 | 1,250,000 |
100% | 2,000,000 | - |
| B J Bradley1 | 1,416,667 | 2,000,000 |
3,000,000 | 1,000,000 |
33% | 2,416,667 | 4,000,000 |
| B L Jones | 750,000 | - |
1,250,000 | 1,250,000 |
100% | 2,000,000 | - |
| R K Hacker | 750,000 | - |
1,250,000 | 1,250,000 |
100% | 2,000,000 | - |
-
1 Options issued to Mr Bradley have the following vesting dates:
-
1,500,000 options vest one year post grant date on 28 November 2020 subject to Mr Bradley’s continuing employment; and
-
1,500,000 options vest two years post grant date on 28 November 2021, subject to Mr Bradley’s continuing employment.
No options were exercised or forfeited during the year ended 30 June 2021 (2020: nil).
16.7 Employment Contracts
Remuneration arrangements for KMP are generally formalised in employment agreements. Details of these contracts are provided below.
| NAME AND JOB TITLE | EMPLOYMENT CONTRACT | NOTICE PERIOD | TERMINATION |
|---|---|---|---|
| DURATION | PROVISIONS | ||
| B J Bradley Managing Director |
Unlimited | 3 months by the Company and the employee |
Nil |
16.8 Other Transactions with Key Management Personnel and their Related Parties
Other transactions with key management personnel
There were no other transactions with key management personnel during the year.
During 2020 the Group received corporate services including office rent and facilities, management and accounting services under a Corporate Services Agreement with Chalice Mining Limited. Messrs Goyder and Hacker are all KMP’s of Chalice Gold Mines Limited. Amounts billed were based on a proportionate share of the cost to Chalice Mining Limited of providing the services and had normal payment terms. The amount recognised in the statement of comprehensive income for the 2020 year was $147,233 and the amount unpaid as at 30 June 2020 was $14,805.
This is the end of the audited remuneration report.
PAGE 32 | 2021 ANNUAL REPORT DEVEX RESOURCES LIMITED
DIRECTORS’ REPORT
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17. Lead Auditor’s Independence Declaration
The Lead auditor’s independence declaration is set out on the following page and forms part of the directors’ report for financial year ended 30 June 2021.
18. Corporate Governance
The directors of the Group support and adhere to the principles of corporate governance, recognising the need for the highest standard of corporate behaviour and accountability.
Please refer to the corporate governance statement dated 27th September 2021 released to ASX and posted on the Company website at www.devexresources.com.au/governance.
This report is signed in accordance with a resolution of the Board of Directors:
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Brendan Bradley Managing Director
Dated at Perth 27th September 2021
DEVEX RESOURCES LIMITED 2021 ANNUAL REPORT | PAGE 33
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AUDITOR’S INDEPENDENCE DECLARATION
for the year ended 30 June 2021
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PAGE 34 | 2021 ANNUAL REPORT DEVEX RESOURCES LIMITED
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CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME
for the year ended 30 June 2021
| NOTE Other income 5 (d) Exploration and evaluation expenses 5 (c) Business development expenses Corporate and administration expenses 5 (a) Rehabilitation provision expense 17 Loss from operating activities Finance income 5 (e) Finance expenses 5 (e) Net finance income/(expenses) Loss before income tax Income tax benefit 6 Loss attributable to owners of the Company Other comprehensive income Total comprehensive loss for the period attributable to owners of the Company Basic and diluted loss per share attributable to ordinary equity holders (cents per share) 7 |
2021 2020 $ $ |
|---|---|
| 299,566 107,826 (5,335,163) (2,464,883) (149,658) (92,730) (1,010,160) (1,034,531) (325,641) - |
|
| (6,521,056) (3,484,318) |
|
| 9,725 29,670 (73,550) (19,315) |
|
| (63,825) 10,355 |
|
| (6,584,881) (3,473,963) - - |
|
| (6,584,881) (3,473,963) |
|
| - - |
|
| (6,584,881) (3,473,963) |
|
| (2.48) (2.00) |
The consolidated statement of comprehensive income is to be read in conjunction with the notes to the financial statements.
DEVEX RESOURCES LIMITED 2021 ANNUAL REPORT | PAGE 35
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CONSOLIDATED STATEMENT OF FINANCIAL POSITION
as at 30 June 2021
| NOTE Current assets Cash and cash equivalents 10 Trade and other receivables 11 Total current assets Non-current assets Restricted cash 12 Financial assets 13 Property, plant and equipment 14 Right-of-use assets 15 Total non-current assets Total assets Current liabilities Trade and other payables 16 Provisions 17 Employee benefits 8 Lease liabilities 15 Total current liabilities Non-current liabilities Provisions 17 Lease liabilities 15 Total non-current liabilities Total liabilities Net assets Equity Issued capital 18 Reserves 19 Accumulated losses Total equity |
2021 2020 $ $ |
|---|---|
| 16,576,754 2,216,866 187,903 63,140 |
|
| 16,764,657 2,280,006 |
|
| 1,557,213 1,378,978 510,906 255,453 175,291 16,753 480,621 - |
|
| 2,724,031 1,651,184 |
|
| 19,488,688 3,931,190 |
|
| 604,930 211,397 315,365 215,000 161,395 109,032 62,146 - |
|
| 1,143,836 535,429 |
|
| 1,122,904 926,271 433,839 - |
|
| 1,556,743 926,271 |
|
| 2,700,579 1,461,700 |
|
| 16,788,109 2,469,490 |
|
| 79,792,649 58,981,664 549,843 461,793 (63,554,383) (56,973,967) |
|
| 16,788,109 2,469,490 |
The consolidated statement of financial position is to be read in conjunction with the notes to the financial statements.
PAGE 36 | 2021 ANNUAL REPORT DEVEX RESOURCES LIMITED
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CONSOLIDATED STATEMENT OF CHANGES IN EQUITY
for the year ended 30 June 2021
| Balance as at 1 July 2019 Loss for the period Other comprehensive income Total comprehensive loss for the period Transactions with Owners in their capacity as Owners: Issue of shares (net of costs) Transfers between equity items Share-based payments Balance at 30 June 2020 |
ISSUED CAPITAL SHARE-BASED PAYMENT RESERVE ACCUMULATED LOSSES TOTAL EQUITY $ $ $ $ |
|---|---|
| 54,648,634 197,971 (53,500,004) 1,346,601 - - (3,473,963) (3,473,963) - - - - |
|
| - - (3,473,963) (3,473,963) |
|
| 4,333,030 - - 4,333,030 - - - - - 263,822 - 263,822 |
|
| 58,981,664 461,793 (56,973,967) 2,469,490 |
|
| Loss for the period | - - (6,584,881) (6,584,881) |
| Other comprehensive income | - - - - |
| Total comprehensive loss for theperiod | - - (6,584,881) (6,584,881) |
| Transactions with Owners in their | |
| capacity as Owners: | |
| Issues of shares (net of costs) | 20,810,985 - - 20,810,985 |
| Transfers between equity items | - (4,465) 4,465 - |
| Share-based payments | - 92,515 - 92,515 |
| Balance at 30 June 2021 | 79,792,649 549,843 (63,554,383) 16,788,109 |
The consolidated statement of changes in equity is to be read in conjunction with the notes to the financial statements.
DEVEX RESOURCES LIMITED 2021 ANNUAL REPORT | PAGE 37
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CONSOLIDATED STATEMENT OF CASH FLOWS
for the year ended 30 June 2021
| Cash flows from operating activities Payments to suppliers and employees Payments for mining exploration, evaluation and rehabilitation Interest received Interest paid Government grants and incentives Other Net cash used in operating activities 10 Cash flows from investing activities Acquisition of property, plant & equipment Net cash used in investing activities Net cash used in financing activities Net proceeds from issue of shares Repayment of lease liabilities Movement in restricted cash Net cash from financing activities Net increase/(decrease) in cash and cash equivalents Cash and cash equivalents at 1 July Cash and cash equivalents at 30 June 10 |
2021 2020 $ $ |
|---|---|
| (817,669) (708,608) (5,244,045) (3,002,010) 10,976 29,301 (28,445) - 50,000 50,000 66,133 25,520 |
|
| (5,963,050) (3,605,797) |
|
| (185,968) (3,046) |
|
| (185,968) (3,046) |
|
| 20,749,397 4,333,030 (62,256) - (178,235) 335,515 |
|
| 20,508,906 4,668,545 |
|
| 14,359,888 1,059,702 2,216,866 1,157,164 |
|
| 16,576,754 2,216,866 |
The consolidated statement of cash flows is to be read in conjunction with the notes to the financial statements.
PAGE 38 | 2021 ANNUAL REPORT DEVEX RESOURCES LIMITED
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NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS for the year ended 30 June 2021
BASIS OF PREPARATION
Note 1: Corporate information Note 2: Reporting entity Note 3: Basis of preparation
PERFORMANCE FOR THE YEAR
Note 4: Segment reporting Note 5: Revenue and expenses Note 6: Income tax Note 7: Loss per Share
EMPLOYEE BENEFITS
Note 8: Employee benefits Note 9: Share-based payments
ASSETS
Note 10: Cash and cash equivalents Note 11: Trade and other receivables Note 12: Restricted cash Note 13: Financial assets Note 14: Property, plant & equipment Note 15: Right -of-use assets and lease liabilities
EQUITY AND LIABILITIES
Note 16: Trade and other payables Note 17: Provisions Note 18: Capital and capital management Note 19: Reserves
FINANCIAL INSTRUMENTS
Note 20: Financial instruments
GROUP COMPOSITION
Note 21: List of subsidiaries Note 22: Parent entity information
OTHER INFORMATION
Note 23: Contingent liabilities Note 24: Remuneration of auditors Note 25: Commitments Note 26: Related party transactions Note 27: Events occurring after the reporting period
ACCOUNTING POLICIES
Note 28: Changes in accounting policies Note 29: New accounting standards and interpretations
DEVEX RESOURCES LIMITED 2021 ANNUAL REPORT | PAGE 39
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
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Basis of Preparation
This section of the financial report sets out the Group’s (being DevEx Resources Limited and its controlled entities) accounting policies that relate to the financial statements as a whole. Where an accounting policy is specific to one Note, the policy is described in the Note to which it relates.
The Notes include information which is required to understand the financial statements and is material and relevant to the operations and the financial position and performance of the Group.
Information is considered relevant and material if:
-
The amount is significant due to its size or nature.
-
The amount is important in understanding the results of the Group.
-
It helps to explain the impact of significant changes in the Group’s business.
-
It relates to an aspect of the Group’s operations that is important to its future performance.
1. Corporate Information
The consolidated financial report of DevEx Resources Limited for the year ended 30 June 2021 was authorised for issue in accordance with a resolution of Directors on 27th September 2021.
DevEx Resources Limited (the ‘Company’ or ‘DevEx’) is a for-profit company limited by shares whose shares are publicly traded on the Australian Securities Exchange. The Company and its subsidiaries were incorporated and domiciled in Australia. The registered office and principal place of business of the Company is Level 3, 1292 Hay Street, West Perth, WA 6005.
The nature of the operations and principal activities are disclosed in the Directors’ Report.
2. Reporting Entity
The financial statements are for the Group consisting of DevEx Resources Limited and its subsidiaries. A list of the Group’s subsidiaries is provided at Note 21.
3. Basis of Preparation
These general purpose financial statements have been prepared in accordance with the Corporations Act 2001 and Australian Accounting Standards, which include Australian equivalents to International Financial Reporting Standards (‘AIFRS’). Compliance with AIFRS ensures that the financial report, comprising the financial statements and notes thereto, complies with International Financial Reporting Standards (‘IFRS’).
These financial statements have been prepared under the historical cost convention except for certain financial assets and liabilities which are required to be measured at fair value.
(a) Basis of consolidation
Subsidiaries are all entities over which the Group has control. The Group controls an entity when the Group is exposed to, or has rights to, variable returns from its involvement with the entity and has the ability to affect those returns through its power to direct the activities of the entity. Subsidiaries are fully consolidated from the date on which control is transferred to the Group. They are deconsolidated from the date that control ceases.
The acquisition method of accounting is used to account for business combinations by the Group.
Intercompany transactions, balances and unrealised gains on transactions between Group companies are eliminated. Unrealised losses are also eliminated unless the transaction provides evidence of an impairment of the transferred asset. Accounting policies of the subsidiaries have been changed where necessary to ensure consistency with the policies adopted by the Group.
(b) Key estimates and judgements
In the process of applying the Group's accounting policies, management has made a number of judgements and applied estimates of future events. The areas involving a higher degree of judgement or complexity, or areas where assumptions and estimates are significant to the financial statements, are disclosed in the following notes:
-
Note 6 Income tax • Note 13 Financial assets
-
Note 9 Share-based payments
-
Note 15 Right-of-use assets and lease liabilities
-
Note 11 Trade and receivables • Note 17 Provisions
PAGE 40 | 2021 ANNUAL REPORT DEVEX RESOURCES LIMITED
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
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(c) Functional currency translation
Functional and presentation currency
These consolidated financial statements are presented in Australian dollars, which is the Group’s functional currency.
(d) Going concern
The Directors are of the opinion that the Company is a going concern and have prepared the financial report on a going concern basis.
Performance for the Year
This section provides additional information about those individual line items in the Statement of Comprehensive Income that the Directors consider most relevant in the context of the operations of the entity.
4. Segment Reporting
For management purposes, the Group is organised into one main business and geographic segment, which involves exploration for mineral deposits in Australia. All of the Group’s activities are interrelated, and discrete financial information is reported to the Board (Chief Operating Decision Maker) as a single segment. Accordingly, all significant operating decisions are based upon analysis of the Group as one segment. The financial results from the segment are equivalent to the financial statement of the Group as a whole.
5. Revenue and Expenses
| (a) Corporate and administration expenses Depreciation and amortisation Insurance Legal fees Office costs Personnel expenses (5(b)) Regulatory and compliance Other Less allocations to exploration expenditure (b) Personnel expenses Directors’ fees, wages and salaries Other associated personnel expenses Superannuation Annual leave and long service leave Share-based payments Less allocations directly attributable to exploration expenditure |
2021 2020 $ $ |
|---|---|
| 105,172 9,443 13,230 8,616 26,320 9,795 98,025 144,487 625,804 600,624 166,924 117,989 194,549 143,577 (219,864) - |
|
| 1,010,160 1,034,531 |
|
| 2021 2020 $ $ |
|
| 1,218,567 677,904 168,546 45,502 114,007 54,159 52,363 28,101 92,515 263,822 (1,020,194) (468,864) |
|
| 625,804 600,624 |
DEVEX RESOURCES LIMITED 2021 ANNUAL REPORT | PAGE 41
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NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
| (c) Exploration and evaluation expenditure by Project Nabarlek Junee Bogong Basin Creek Cobar and Wilga Downs1 Sovereign Julimar Complex Generative Exploration Rent Reimbursements 50% Government Co-funding |
2021 2020 $ $ |
|---|---|
| 444,883 515,728 1,195,263 572,024 27,083 974,124 1,600,294 279,919 528,765 - 1,432,840 46,781 27,192 59,263 207,843 171,065 - (107,932) (129,000) (46,089) |
|
| 5,335,163 2,464,883 |
Accounting Policy
Costs incurred in the exploration and evaluation stages of specific areas of interest are expensed against profit or loss as incurred. All exploration and evaluation expenditure, including general permit activity, geological and geophysical costs, project generation and drilling costs, is expensed as incurred. The costs of acquiring interests in new exploration licences is also expensed. Once the technical feasibility and commercial viability of extracting a mineral resource are demonstrable in respect to an area of interest, development expenditure is capitalised to the Statement of Financial Position.
| (d) Other income Government grants and incentives Other Reversal of prior period impairment of financial assets1 |
2021 2020 $ $ |
|---|---|
| 37,500 62,500 6,613 3,604 255,453 - |
|
| 299,566 107,826 |
1 Relates to a previous impairment where the Group determined that its investment in PhosEnergy Limited was no longer impaired. Refer to Note 13.
| 1Relates to a previous impairment where the Group determined that its investmen impaired. Refer to Note 13. |
t in PhosEnergy Limited was no longer |
|---|---|
| (e) Net financing income nterest income Unwinding of the discount on rehabilitation provision nterest expense – lease liabilities Bank charges Less allocations to exploration expenditure Total finance expenses Net financing income |
2021 2020 $ $ |
| 9,725 29,670 |
|
| (57,504) (10,784) (25,980) - (8,708) (8,531) 18,642 - |
|
| (73,550) (19,315) |
|
| (63,825) 10,355 |
Accounting Policy
Net financing costs comprise the unwinding of the discount on rehabilitation provisions, bank charges, interest on lease liabilities and interest receivable on funds invested.
Interest income is recognised in the statement of comprehensive income as it accrues, using the effective interest method.
PAGE 42 | 2021 ANNUAL REPORT DEVEX RESOURCES LIMITED
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
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6. Income Tax
The Company and its wholly-owned Australian resident subsidiaries are part of a tax-consolidated group. As a consequence, all members of the tax-consolidated group are taxed as a single entity.
| Deferred tax benefit Total income tax benefit reported in the statement of comprehensive income |
2021 2020 $ $ |
|---|---|
| - - |
|
| - - |
Numerical reconciliation between tax benefit and pre-tax net loss:
| Loss before tax Income tax benefit using the domestic corporation tax rate of 30% (2020:27.5%) Decrease in income tax benefit due to: Non-deductible expenses Non-assessable income Junior mineral exploration incentive Current and deferred tax expense not recognised Over provision of tax in prior years Income tax benefit |
2021 2020 $ $ |
|---|---|
| (6,584,881) (3,473,960) (1,975,464) (955,339) 30,632 72,841 (11,250) - 481,250 426,908 1,474,832 455,590 - - |
|
| - - |
Deferred tax assets (except for those relating to tax losses) and liabilities for the Group are attributable to the following:
| ASSETS LIABILITIES 2021 2020 2021 2020 $ $ $ $ Capital raising costs 350,268 86,327 - - Financial assets - - (76,636) - ROU asset and liabilities 148,795 - (143,298) - Rehabilitation provision 425,504 313,849 - - Other items 99,211 37,409 (350) (248) 1,023,778 (437,585) (220,284) 248 Tax losses used to offset net deferred tax liability Net deferred tax assets and liabilities not recognised |
ASSETS LIABILITIES |
TOTAL |
|---|---|---|
| 2021 2020 2021 2020 $ $ $ $ |
2021 2020 $ $ |
|
| 350,268 86,327 - - - - (76,636) - 148,795 - (143,298) - 425,504 313,849 - - 99,211 37,409 (350) (248) |
350,268 86,327 (76,636) - 5,497 - 425,504 313,849 98,861 37,161 |
|
| 1,023,778 (437,585) (220,284) 248 |
803,494 437,337 |
|
| - - |
||
| 803,494 437,337 |
Deferred tax assets in respect of tax losses have not been recognised as follows:
| Unrecognised tax losses – Revenue Unrecognised tax losses – Capital Unrecognised tax losses – Total Unrecognised deferred tax asset on unused tax losses |
2021 2020 $ $ |
|---|---|
| 30,068,422 29,847,634 311,211 311,211 |
|
| 30,379,633 30,158,845 |
|
| 9,113,890 8,293,682 |
DEVEX RESOURCES LIMITED 2021 ANNUAL REPORT | PAGE 43
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
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Accounting Policy
The income tax expense or benefit for the period is the tax payable or receivable on the current period’s taxable income based on the applicable income tax rate for each jurisdiction adjusted by changes in deferred tax assets and liabilities attributable to temporary differences and to unused tax losses.
The current income tax charge is calculated on the basis of the tax laws enacted or substantially enacted at the end of the reporting period in the country where the company’s subsidiaries operate and generate taxable income. Provisions are established where appropriate on the basis of amounts expected to be paid to the tax authorities.
Current tax liabilities for the current period and prior periods are measured at the amount expected to be recovered from or paid to taxation authorities. The tax rates and tax laws used to compute the amount are those that are enacted or substantially enacted by the balance date.
Deferred income tax is provided on all temporary differences at reporting date between the tax bases of assets and liabilities and their carrying amounts for financial reporting purposes.
Unrecognised deferred income tax assets at each reporting date and are recognised to the extent that it has become probable that future taxable profit will allow the deferred tax asset to be recovered.
Income taxes relating to items recognised directly in equity are recognised in equity and not profit or loss. Deferred tax assets and deferred tax liabilities are offset if a legally enforceable right exists to set off current tax assets against current tax liabilities and the deferred taxes relate to the same taxable entity and the same taxation authority.
7. Loss Per Share
The calculation of basic and diluted loss per share at 30 June 2021 was based on the loss attributable to ordinary shareholders of $6,584,881 (2020: $3,473,963).
The weighted average number of ordinary shares outstanding during the financial years comprised the following:
| Ordinary shares on issue at beginning of year Effect of share issues Weighted average number of ordinary shares on issue at the end of the year Basic and diluted loss per share (cents)1 |
2021 2020 $ $ |
|---|---|
| 190,363,073 133,050,573 74,955,392 40,544,668 |
|
| 265,318,465 173,595,241 |
|
| (2.48) (2.00) |
1 Due to the fact that the Group made a loss, potential ordinary shares from the exercise of options have been excluded due to their anti-dilutive effect.
Accounting Policy
Basic earnings/loss per share is calculated as net profit/loss attributable to members of the parent, adjusted to exclude any costs of servicing equity (other than dividends) and preference share dividends, divided by the weighted average number of ordinary shares, adjusted for any bonus element.
Diluted earnings/loss per share is calculated as net profit/loss attributable to members of the parent, adjusted for:
-
costs of servicing equity (other than dividends) and preference share dividends;
-
the after tax effect of dividends and interest associated with dilutive potential ordinary shares that have been recognised as expenses; and
-
other non-discretionary changes in revenues or expenses during the period that would result from the dilution of potential ordinary shares; divided by the weighted average number of ordinary shares and dilutive potential ordinary shares, adjusted for any bonus element.
PAGE 44 | 2021 ANNUAL REPORT DEVEX RESOURCES LIMITED
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
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Employee Benefits
This section of the Notes includes information that must be disclosed to comply with accounting standards and other pronouncements relating to the remuneration of employees and consultants of the Group, but that is not immediately related to individual line items in the Financial Statements.
8. Employee Benefits
o individual line items in the Financial Statements. 8. Employee Benefits |
|
|---|---|
| Annual leave Long service leave |
2021 2020 $ $ |
| 132,037 83,378 29,358 25,654 |
|
| 161,395 109,032 |
Accounting Policy
Liabilities for employee benefits for wages, salaries and annual leave expected to be settled within 12 months of the reporting date are recognised in employee benefits in respect of employees’ services up to the reporting date. They are measured at the amounts expected to be paid when the liabilities are settled.
The provision for long service leave represents the vested long service leave entitlements accrued.
9. Share-Based Payments
The Company provides benefits to employees (including directors) in the form of share-based payment transactions, whereby employees render services in exchange for shares or rights over shares (‘equity-settled transactions’).
The Company currently provides benefits under an Employee Incentive Scheme. This Scheme was approved by shareholders on 25 November 2020.
Each option entitles the holder, on exercise, to one ordinary fully paid share in the Company. There is no issue price for the options. The exercise price for the options is such price as determined by the Board. An option may only be exercised after that option has vested and any other conditions imposed by the Board on exercise are satisfied. The Board may determine the vesting period, if any.
There are no voting or dividend rights attached to the options. There are no voting rights attached to the unissued ordinary shares. Voting rights will be attached to the unissued ordinary shares when the options have been exercised.
Accounting Policy
The cost of share-based payments is recognised in employee benefits expense, together with a corresponding increase in Share-based Payments Reserve in equity, over the period in which the performance and/or service conditions are fulfilled (the vesting period).
The cumulative expense recognised for equity-settled transactions at each reporting date until vesting date reflects:
(i) the extent to which the vesting period has expired; and
(ii) the number of awards that, in the opinion of the directors, will ultimately vest. No adjustment is made for the likelihood of market performance conditions being met as the effect of these conditions is included in the determination of fair value at grant date.
No expense is recognised for awards that do not ultimately vest, except for awards where vesting is conditional upon a market condition.
Where the terms of an equity-settled award are modified, as a minimum an expense is recognised as if the terms had not been modified. In addition, an expense is recognised for any increase in the value of the transaction as a result of the modification, as measured at the date of modification.
Where an equity-settled award is cancelled, it is treated as if it had vested on the date of cancellation, and any expense not yet recognised for the award is recognised immediately. However, if a new award is substituted for the cancelled award, and designated as a replacement award on the date that it is granted, the cancelled and new award are treated as if they were a modification of the original award, as described in the previous paragraph.
The dilutive effect, if any, of outstanding options and rights is reflected as additional share dilution in the computation of earnings per share.
The Group measures the cost of equity-settled share-based payments at fair value at the grant date using a Black Scholes option-pricing model taking into account the terms and conditions upon which the instruments were granted.
DEVEX RESOURCES LIMITED 2021 ANNUAL REPORT | PAGE 45
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NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
The number and weighted average exercise prices of share options outstanding at 30 June 2021 is as follows:
| Outstanding at beginning of the year Granted during the period Exercised during the period Lapsed during the period Outstanding at the end of the year Exercisable at the end of the year |
WEIGHTED AVERAGE EXERCISE PRICE NUMBER OF OPTIONS WEIGHTED AVERAGE EXERCISE PRICE NUMBER OF OPTIONS 2021 2021 2020 2020 $ $ |
|---|---|
| 0.143 14,883,336 0.153 6,833,334 0.230 650,000 0.135 8,050,000 0.149 (266,667) - - - - - - |
|
| 0.147 15,266,669 0.143 14,883,336 |
|
| 0.145 13,216,669 0.150 10,883,336 |
The weighted average share price at the date of exercise for share options exercised during the year was $0.49 (2020: nil)
The weighted average contractual life remaining as at 30 June 2021 is 1.00 years (2020: 1.13 years).
Non-market performance conditions are not taken into account in the grant date fair value measurement of the services received.
The total expenditure recognised in the statement of comprehensive income is $92,515 (2020: $263,822).
The fair value of the options is estimated at the grant date using a Black Scholes option-pricing model. Refer to the table below for inputs to the Black Scholes option-pricing model for options granted during the year:
| Share price at grant date (weighted average) Exercise price (weighted average) Expected volatility (expressed as weighted average used in the modelling under Black Scholes option pricing model) Expected life (expressed as weighted average used in the modelling under Black Scholes option pricing model) Expected dividends Risk-free interest rate (weighted average) Fair value per option (weighted average) Number |
2021 2020 |
|---|---|
| $0.155 $0.076 $0.230 $0.135 119% 99% 3.0 years 3.0 years Nil Nil 0.29% 0.66% $0.099 $0.037 650,000 8,050,000 |
Assets
This section provides additional information about those individual line items in the Statement of Financial Position that the Directors consider most relevant in the context of the operations of the entity. 10. Cash and Cash Equivalents
| Cash at bank Petty cash |
2021 2020 $ $ |
|---|---|
| 16,576,554 2,216,667 200 199 |
|
| 16,576,754 2,216,866 |
Accounting Policy
Cash and cash equivalents comprise cash balances and term deposits which are readily convertible to cash.
The reconciliation to loss after income tax for the year to net cash flows from operations is below:
PAGE 46 | 2021 ANNUAL REPORT DEVEX RESOURCES LIMITED
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
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| Loss after tax for the period Depreciation and amortisation Unwinding of interest on fair value of rehabilitation provision Share-based payments Reversal of impairment on financial assets Changes in operating assets and liabilities: Decrease/(increase) in trade and other receivables (Decrease)/Increase in trade and other payables ncrease/(decrease) in provisions Net operating cash outflows |
2021 2020 $ $ |
|---|---|
| (6,584,881) (3,473,963) 105,172 9,443 57,504 10,784 92,515 263,822 (255,453) - (25,650) 27,535 595,380 (526,303) 52,363 82,885 |
|
| (5,963,050) (3,605,797) |
11. Trade and Other Receivables
| Other trade receivables GST receivable Prepayments |
2021 2020 $ $ |
|---|---|
| 1,238 15,761 153,349 33,622 33,316 13,757 |
|
| 187,903 63,140 |
Accounting Policy
Trade and receivables
Trade and other receivables are initially recognised at fair value and subsequently at amortised cost less impairment losses.
Goods and Services Tax (‘GST’)
Revenue, expenses and assets are recognised net of the amount of goods and services tax (‘GST’), except where the amount of GST incurred is not recoverable from the taxation authority. In these circumstances, the GST is recognised as part of the cost of acquisition of the asset or as part of the expense.
Receivables and payables are stated with the amount of GST included. The net amount of GST recoverable from, or payable to, the Australia Taxation Office (‘ATO’) is included as a current asset or liability in the statement of financial position.
Cash flows are included in the statement of cash flows on a gross basis. The GST components of cash flows arising from investing and financing activities which are recoverable from, or payable to, the ATO are classified as operating cash flows.
DEVEX RESOURCES LIMITED 2021 ANNUAL REPORT | PAGE 47
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
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12. Restricted Cash
| 12. Restricted Cash |
|
|---|---|
| Bank guarantees in relation to rehabilitation obligations1 Bank guarantee in relation to business credit cards |
2021 2020 $ $ |
| 1,507,213 1,353,978 50,000 25,000 |
|
| 1,557,213 1,378,978 |
1 Bank guarantees in relation to rehabilitation obligations are held by the Northern Territory Department of Mines and Energy (DME) for rehabilitation obligations on the Nabarlek Mineral Lease ($1,158,362), the Northern Land Council and DME on the Nabarlek tenements held (totalling $94,851) and the New South Wales Department of Planning and Environment – Resources & Energy on the New South Wales tenements ($254,000).
Accounting Policy
Funds placed on deposit with financial institutions to secure bank guarantees are classified as restricted cash.
13. Financial Assets
| 13. Financial Assets |
|
|---|---|
| Equity investments at fair value through profit or loss | 2021 2020 $ $ |
| 510,906 255,453 |
|
| 510,906 255,453 |
The Company has 5,109,061 fully paid ordinary shares in PhosEnergy Limited at a deemed value of $0.10 per share. The current valuation is based on a recent capital raising, whereby $4.1m was raised by the issue of 41,950,000 shares at $0.10 cents. The placement transaction falls under Level 2 inputs: quoted prices are not available but fair value is based on observable inputs . Prior years have been based on Level 3 inputs: unobservable inputs , as the last observable input was the capital raising in 2019.
Accounting Policy
Financial assets are measured at fair value on initial recognition. Subsequent measurement of financial assets depends on the financial asset’s contractual cash flow characteristics and the Group’s business model for managing them. The Group’s business model for managing financial assets refers to how it manages its financial assets in order to generate cash flows. The business model determines whether cash flows will result from collecting contractual cash flows, selling the financial asset or both.
For the purposes of subsequent measurement, the Group’s financial assets are measured at fair value through profit or loss. Financial assets at fair value through profit or loss are carried in the statement of financial position at fair value with net changes in fair value recognised in the statement of profit or loss.
This category includes the equity investment which the Group had not irrevocably elected to classify at fair value through OCI. Any dividends on equity investments are also recognised as other income in the statement of profit or loss when the right of payment has been established.
The fair value measurement level under the fair value measurement hierarchy is level 2, where quoted prices are not available but fair value is based on observable inputs.
PAGE 48 | 2021 ANNUAL REPORT DEVEX RESOURCES LIMITED
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
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14. Property, Plant & Equipment
| Cost Accumulated depreciation Movements in property, plant & equipment: Carrying amount at the beginning of the year Additions Depreciation charge for the year Carrying amount at the end of the year |
2021 2020 $ $ |
|---|---|
| 220,901 34,933 (45,610) (18,178) |
|
| 175,291 16,755 |
|
| 16,755 23,149 185,968 3,047 (27,432) (9,443) |
|
| 175,291 16,755 |
Accounting Policy
Property, plant and equipment is stated at cost less accumulated depreciation and any accumulated impairment losses, if any. The assets' residual values, useful lives and amortisation methods are reviewed, and adjusted if appropriate, at each financial year end.
| Depreciation is charged to the statement of comprehensive income on a diminishing value basis over the estimated useful |
|---|
| lives of each part of an item of property, plant and equipment. The depreciation rates used in the current and comparative |
| periods are as follows: |
| • Office furniture 13%-20% • IT equipment and software 40%-50% |
| • Plant & equipment 13%-40% • Leasehold improvements 2.5% |
| An item of plant and equipment and any significant part initially recognised is derecognised upon disposal or when no |
| further future economic benefits are expected from its use or disposal. Any gain or loss arising on derecognition of the |
| asset (calculated as the difference between the net disposal proceeds and the carrying amount of the asset) is included |
| in the statement of profit or loss when the asset is derecognised. |
| The carrying values of property, plant and equipment are reviewed for impairment at each balance date in line with the |
| Group’s impairment policy. |
15. Right-of-Use Assets and Lease Liabilities
| Amounts recognised in statement of financial position Right-of-use assets Right-of-use assets – office leases Accumulated depreciation Lease liabilities Current Non-current Amounts recognised in statement of comprehensive income Depreciation charge of right-in-use assets Interest expense |
2021 2020 $ $ 558,361 - (77,740) - |
|---|---|
| 480,621 - |
|
| 62,146 - 433,839 - |
|
| 495,985 - |
|
| 77,740 - 25,980 - |
|
| 103,720 - |
During the year the Group entered into lease contracts for commercial office space in West Perth and office equipment.
DEVEX RESOURCES LIMITED 2021 ANNUAL REPORT | PAGE 49
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
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Accounting Policy
Right-of-use assets
A right-of-use asset is recognised at the commencement date of a lease. The right-of-use asset is measured at cost, which comprises the initial amount of the lease liability, adjusted for, as applicable, any lease payments made at or before the commencement date net of any lease incentives received, any initial direct costs incurred.
Right-of-use assets are depreciated on a straight-line basis over the unexpired period of the lease or the estimated useful life of the asset, whichever is the shorter. Right-of use assets are subject to impairment or adjusted for any remeasurement of lease liabilities.
Leases
With the exception of short-term leases and leases of low value underlying assets, each lease is reflected on the statement of financial position as a right-of-use asset and a lease liability.
Where a lease has an extension option the Group has used its judgement to determine whether or not an option would be reasonably certain to be exercised. The Group considers all facts and circumstances including any significant improvements, current stage of projects, location, and their past practice to help them determine the lease term. The Group have included all current extension options in determining the lease term.
These leases have an average term of between 5 and 6 years.
Lease liabilities were measured at the present value of the remaining lease payments, discounted using the lessee's incremental borrowing rate at commencement date of the lease.
The weighted average incremental borrowing rate applied to lease liabilities was 6.95%.
In the consolidated statement of cash flows, the Group has recognised cash payments for the principal portion of the lease liability within financing activities, cash payments for the interest portion of the lease liability as interest paid within operating activities and short-term lease payments and payments for lease of low-value assets within operating activities.
Short-term leases
The Group has elected not to recognise a right-of-use asset and corresponding lease liability for short-term leases with terms of 12 months or less and leases of low-value assets. Lease payments on these assets are expensed to profit or loss as incurred.
Equity and Liabilities
This section provides additional information about those individual line items in the Statement of Financial Position that the Directors consider most relevant in the context of the operations of the entity.
16. Trade and Other Payables
| 16. Trade and Other Payables |
|
|---|---|
| Trade and other payables | 2021 2020 $ $ |
| 604,930 211,397 |
|
| 604,930 211,397 |
Accounting Policy
Trade payables are initially recognised at fair value and subsequently measured at amortised cost. Trade and other payables are presented as current liabilities unless payment is not due within 12 months.
PAGE 50 | 2021 ANNUAL REPORT DEVEX RESOURCES LIMITED
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
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17. Provisions
| Current Rehabilitation Non-current Make Good Rehabilitation The movement in the rehabilitation provision is shown below: Opening balance Adjustment to estimated provision1 Expenditure for the year Unwinding of the discount on rehabilitation provision Closing balance |
2021 2020 $ $ |
|---|---|
| 315,365 215,000 |
|
| 315,365 215,000 |
|
| 2021 2020 $ $ |
|
| 19,921 - 1,102,983 926,271 |
|
| 1,122,904 926,271 |
|
| 2021 2020 $ $ |
|
| 1,141,271 1,262,322 325,641 (41,722) (106,068) (90,113) 57,504 10,784 |
|
| 1,418,348 1,141,271 |
1 The estimated costs of rehabilitation were revised during the year.
The Company assumed all obligations for rehabilitation at the Nabarlek Mineral Lease following the acquisition of Queensland Mines Pty Ltd in 2008. Rehabilitation obligations for the Nabarlek Mineral Lease are backed by bank guarantees (refer to note 12).
Accounting Policy
Rehabilitation
The Group records the present value of the estimated cost of legal and constructive obligations to restore operating site locations in the period in which the obligation arises. The nature of restoration activities includes the removal of facilities and restoration of affected areas.
When the rehabilitation provision is initially recorded, the estimated cost is expensed against the profit and loss.
At each reporting date the rehabilitation provision is re-measured to reflect any changes in discount rates and timing and amounts of the costs to be incurred. Such changes in the estimated liability are accounted for prospectively from the date of the change and are added to, or deducted from, the profit or loss.
The unwinding of the discount is recorded as an accretion charge within finance costs.
Estimates and assumptions of the appropriate discount rate at which to discount the liability, the timing of cash flows, the application of relevant environmental legislation and the future expected costs of rehabilitation are all used in determining the carrying value of the rehabilitation provision.
DEVEX RESOURCES LIMITED 2021 ANNUAL REPORT | PAGE 51
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
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18. Capital and Capital Management
Ordinary shares on issues:
| Ordinary shares on issues: | |
|---|---|
| On issue at the beginning of the year Placement @ $0.08 (completed Oct 2019) Placement @ $0.10 (completed Sept 2020) Placement @ $0.23 (completed Dec 2020) Placement @ $0.32 (completed June 2021) Exercise of options @ $0.10 expiring 30 Nov 2021 Exercise of options @ $0.23 expiring 27 July 2023 Share issue costs On issue at the end of the year |
2021 2020 NO. $ NO. $ |
| 190,363,073 58,981,664 133,050,573 54,648,634 - - 57,312,500 4,585,000 55,690,767 5,569,077 - - 36,600,000 8,418,000 - - 24,913,460 7,972,307 - - 166,667 16,667 - - 100,000 23,000 - - - (1,188,066) - (251,970) |
|
| 307,833,967 79,792,649 190,363,073 58,981,664 |
Issuance of Ordinary Shares
Holders of ordinary shares are entitled to receive dividends as declared from time to time and are entitled to one vote per share at shareholders’ meetings. In the event of winding up of the Company, the ordinary shareholders rank after all other shareholders and creditors and are fully entitled to any proceeds on liquidation.
19. Reserves
Nature and purpose of reserves:
Share-based payments
This reserve is used to record the value of equity benefits provided to employees and directors as part of their remuneration.
Financial Instruments
This section of the Notes discusses the Group’s exposure to various risks and shows how these could affect the Group’s financial position and performance.
20. Financial Instruments
(a) Capital risk management
The capital structure of the Group consists of equity attributable to equity holders, comprising issued capital, reserves and retained earnings as disclosed in notes 18 and 19.
The Board reviews the capital structure on a regular basis and considers the cost of capital and the risks associated with each class of capital. The Group will balance its overall capital structure through new share issues as well as the issue of debt, if the need arises.
(b) Market risk
Market risk is the risk that changes in market prices such as foreign exchange rates, equity prices and interest rates will affect the Group’s income or value of its holdings of financial instruments.
(c) Foreign exchange rate risk
The Group currently has no significant exposure to foreign exchange rates.
(d) Equity prices
The Group has exposure to equity prices through its holding of PhosEnergy Limited shares. Equity investments are recorded at their fair value being either the quoted price or last known traded price on the balance sheet (see note 13) There is a risk that changes in prices effect the fair value of investments held by the consolidated entity. A plus or minus 10% change in equity prices from the year end valuation would impact equity by plus or minus $ 51,091.
PAGE 52 | 2021 ANNUAL REPORT DEVEX RESOURCES LIMITED
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
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(e) Interest rate risk
Interest rate risk is the risk that changes in bank deposit rates affect the consolidated entity’s income and future cash flow from interest income. The exposure to interest rate risk and the effective weighted average interest rate for classes of financial assets and financial liabilities is set out below:
| 2021 Financial assets Cash at bank Trade and other receivables Restricted cash Financial liabilities Trade and other payables Lease liabilities 2020 Financial assets Cash at bank Trade and other receivables Restricted cash Financial assets Financial liabilities Trade and other payables |
FIXED INTEREST MATURING IN: FLOATING INTEREST NON- INTEREST BEARING TOTAL WEIGHTED AVERAGE INTEREST RATE >1 YEAR 1-5 YEARS MORE THAN 5 YEARS $ $ $ $ $ $ % |
|---|---|
| - - 16,576,554 200 16,576,754 0.03% |
|
| - - - 187,903 187,903 - |
|
| 1,303,213 - - 254,000 1,557,213 0.63% |
|
| - - - 604,930 604,930 - |
|
| 62,146 414,517 19,322 - - 495,985 5.24% |
|
| FIXED INTEREST MATURING IN: FLOATING INTEREST NON- INTEREST BEARING TOTAL WEIGHTED AVERAGE INTEREST RATE >1 YEAR 1-5 YEARS MORE THAN 5 YEARS $ $ $ $ $ $ % |
|
| - - - 2,216,667 199 2,216,866 0.69% - - - - 63,140 63,140 - 1,278,213 - - - 100,765 1,378,978 1.38% - - - - - 211,397 211,397 - |
A change of 100 basis points in interest rates on bank balances and term deposits over the reporting period would have increased/(decreased) the Group’s profit and loss by $106,873 (2020: $29,631).
(f) Credit risk
Credit risk is the risk of financial loss to the Group if a customer or counterparty to a financial instrument fails to meet its contractual obligations. The consolidated entity’s exposure to credit risk is not significant and currently arises principally from sundry receivables which represent an insignificant proportion of the Group’s activities and cash and cash equivalents.
The maximum exposure to credit risk, excluding the value of any collateral or other security, at balance date to recognised financial assets is the carrying amount, net of any provision for doubtful debts, as disclosed in the notes to the financial statements.
(g) Liquidity risk
Liquidity risk is the risk that the Group will not be able to meet its financial obligations as they fall due. The Board actively monitors the Group’s ability to pay its debts as and when they fall due by regularly reviewing the current and forecast cash position based on the expected future activities.
The Group has non-derivative financial liabilities and lease liabilities which include trade and other payables of $604,930 (2020: $211,397) all of which are due within 60 days.
DEVEX RESOURCES LIMITED 2021 ANNUAL REPORT | PAGE 53
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NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
(h) Net fair values of financial assets and liabilities
AASB 7 Financial Instruments: Disclosures requires disclosure of fair value measurements by level of the following fair value measurement hierarchy:
-
quoted prices (unadjusted) in active markets for identical assets or liabilities (level 1);
-
inputs other than quoted prices included within level 1 that are observable for the asset or liability, either directly (as prices) or indirectly (derived from prices) (level 2), and
-
inputs for the asset or liability that are not based on observable market data (unobservable inputs) (level 3).
All financial assets and liabilities approximate their net fair values and are disclosed as level 1 fair values, other than the investment in PhosEnergy Limited which is disclosed as a Level 2 fair value (see Note 13).
Accounting Policy
Financial assets are measured at amortised cost if the assets meet the following conditions (and are not designated as FVTPL):
-
they are held within a business model whose objective is to hold the financial assets to collect its contractual cash flows
-
the contractual terms of the financial assets give rise to cash flows that are solely payments of principal and interest on the principal amount outstanding.
Investments in equity instruments that are not held for trading are eligible for an irrevocable election at inception to be measured at FVOCI.
Financial assets that are held within a different business model other than ‘hold to collect’ or ‘hold to collect and sell’ are categorised at fair value through profit and loss. Further, irrespective of business model financial assets whose contractual cash flows are not solely payments of principal and interest are accounted for at FVTPL.
The directors have assessed that the fair value of cash and short-term deposits, trade receivables, trade payables and other current liabilities approximate their carrying amounts largely due to the short-term maturities of these instruments.
Group Composition
This section of the Notes includes information that must be disclosed to comply with accounting standards and other pronouncements relating to the structure of the Group, but that is not immediately related to individual line items in the Financial Statements.
21. List of Subsidiaries
| 21. List of Subsidiaries |
||
|---|---|---|
| Parent entity DevEx Resources Limited Subsidiaries G E Resources Pty Ltd TRK Resources Pty Ltd Queensland Mines Pty Ltd Copper Green Pty Ltd Arnhem Minerals Pty Ltd |
COUNTRY OF INCORPORATION |
OWNERSHIP INTEREST |
| 2021 2020 % % |
||
| Australia Australia Australia Australia Australia Australia |
100% 100% 100% 100% 100% 100% 100% 100% 100% 100% |
PAGE 54 | 2021 ANNUAL REPORT DEVEX RESOURCES LIMITED
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
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22. Parent Entity Information
The financial information for the parent entity, DevEx Resources Limited, has been prepared on the same basis as the consolidated financial statements, except as set out below.
(a) Investments in subsidiaries, associates and joint venture entities
Investments in subsidiaries, associates and joint venture entities are accounted for at cost in the parent entity’s financial statements.
(b) Contingencies
The parent entity has no contingent assets or liabilities.
(c) Commitments
The parent entity has no commitments.
| Statement of comprehensive income Loss for the year Total comprehensive loss Statement of financial position Assets Current assets Non-current assets Total assets Liabilities Current liabilities Non-current liabilities Total liabilities Net assets Equity Share capital Reserves Accumulated losses Total equity |
2021 2020 $ $ |
|---|---|
| (6,364,857) (3,785,372) |
|
| (6,364,857) (3,785,372) |
|
| 16,764,657 2,280,006 2,470,031 1,561,187 |
|
| 19,234,688 3,841,193 |
|
| 599,078 225,620 481,632 - |
|
| 1,080,710 225,620 |
|
| 18,153,978 3,615,573 |
|
| 79,792,649 58,981,664 549,843 461,794 (62,188,514) (55,827,885) |
|
| 18,153,978 3,615,573 |
The accounting policies of the parent entity are consistent with those of the Group.
Other Information
This section of the Notes includes other information that must be disclosed to comply with accounting standards and other pronouncements, but that is not immediately related to individual line items in the Financial Statements.
23. Contingent Liabilities
There are no contingent assets or liabilities.
DEVEX RESOURCES LIMITED 2021 ANNUAL REPORT | PAGE 55
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
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24. Remuneration of Auditors
| 24. Remuneration of Auditors |
|
|---|---|
| Audit services Audit and review |
2021 2020 $ $ |
| 29,663 29,341 |
|
| 29,663 29,341 |
25. Commitments
In order to maintain current rights of tenure to exploration tenements, the Group is required to perform exploration work to meet the minimum expenditure requirements specified by various State governments. These amounts are subject to negotiation when application for a lease application and renewal is made and at other times. These amounts are not provided for in the financial report and are payable:
for in the financial report and are payable: |
|
|---|---|
| Within 1 year 1-5 years >5 years |
2021 2020 $ $ |
| 1,781,812 618,782 3,918,727 159,884 227,072 159,884 |
|
| 5,927,611 938,550 |
To the extent that expenditure commitments are not met, tenement areas may be reduced and other arrangements made in negotiation with the relevant state and territory government departments on renewal of tenements to defer expenditure commitments or partially exempt the Company. Where the group decides to relinquish a tenement the commitment will be reduced accordingly.
26. Related Party Transactions
(a) Key management personnel
The following were key management personnel of the Group at any time during the reporting period and unless otherwise indicated were key management personnel for the entire period:
-
Tim R B Goyder
-
Brendan J Bradley
-
Bryn L Jones
-
Richard K Hacker
The key management personnel compensation is as follows:
| • Tim R B Goyder • Brendan J Bradley • Bryn L Jones • Richard K Hacker The key management personnel compensation is as follows: |
|
|---|---|
| Short-term employee benefits Post-employment benefits Share-based payments |
2021 2020 $ $ |
| 306,245 319,525 27,422 27,422 58,190 220,242 |
|
| 391,857 567,189 |
A number of key management personnel, or their related parties, hold positions in other entities that result in them having control or significant influence over the financial or operating policies of those entities.
A number of these entities transacted with the Company or its subsidiaries in the reporting period. The terms and conditions of the transactions with key management personnel and their related parties were no more favourable than those available, or which might reasonably be expected to be available, on similar transactions to non-key management personnel related entities on an arm’s length basis.
(b) Loans made to key management personnel and related parties
No loans were made to key management personnel and their related parties.
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NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
(c) Other transactions with key management personnel
There were no other transactions with key management personnel during the year.
During 2020 the Group received corporate services including office rent and facilities, management and accounting services under a Corporate Services Agreement with Chalice Mining Limited. Messrs Goyder and Hacker are all KMP’s of Chalice Mining Limited. Amounts billed were based on a proportionate share of the cost to Chalice Mining Limited of providing the services and had normal payment terms. The amount recognised in the statement of comprehensive income for the 2020 year was $147,233 and the amount unpaid as at 30 June 2020 was $14,805.
27. Events Occurring after the Reporting Period
In August 2021, the Company participated in PhosEnergy Limited’s (PEL) pro-rata offer to eligible shareholders of 1 new share for every 5 shares held at an issue price of $0.10 per new share. The Group’s holding increased by 1,021,813 shares to 6,130,874 shares with a decrease in interest from 8.9% to 5.3% after the issue and a placement to professional and sophisticated investors at 10 cents.
There were no matters or circumstances which have occurred subsequent to balance date that have or may significantly affect the operations or state of affairs of the Group in subsequent financial years.
Accounting Policies
This section of the Notes includes information that must be disclosed to comply with accounting standards and other pronouncements relating to new and revised accounting standards and their impact.
28. Changes in Accounting Policies
In the year ended 30 June 2021, the Directors have reviewed all of the new and revised Standards and Interpretations issued by the Australian Accounting Standards Board that are relevant to the Group and effective for the current annual reporting period.
The Directors have determined that there is no material impact of the new and revised Standards and Interpretations on the Group and therefore no change is necessary to the Group’s accounting policies.
29. New Accounting Standards and Interpretations
Australian Accounting Standards and Interpretations most relevant to the Group that have recently been issued or amended but are not yet effective and have not been adopted by the Group for the year ended 30 June 2021 are outlined below.
There are no standards that are not yet effective and that would be expected to have a material impact on the entity in the current or future reporting periods and on foreseeable future transactions.
DEVEX RESOURCES LIMITED 2021 ANNUAL REPORT | PAGE 57
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DIRECTORS’ DECLARATION
-
In the opinion of the Directors of DevEx Resources Limited (‘the Company’):
-
(a) the financial statements, notes and additional disclosures of the Group are in accordance with the Corporations Act 2001 including:
-
i. giving a true and fair view of the financial position of the Group as at 30 June 2021 and of its performance for the year then ended; and
-
ii. complying with Australian Accounting Standards (including the Australian Accounting Interpretations) and the Corporations Regulations 2001;
-
-
(b) there are reasonable grounds to believe that the Company will be able to pay its debts as and when they become due and payable; and
-
(c) the financial statements and notes thereto are in accordance with International Financial Reporting Standards issued by the International Accounting Standards Board.
-
This declaration has been made after receiving the declarations required to be made to the Directors in accordance with section 295A of the Corporations Act 2001 for the financial year ended 30 June 2021.
This declaration is signed in accordance with a resolution of the Directors:
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Brendan Bradley Managing Director
Dated at Perth on 27th September 2021.
PAGE 58 | 2021 ANNUAL REPORT DEVEX RESOURCES LIMITED
for the year ended 30 June 2021
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INDEPENDENT AUDITOR’S REPORT
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DEVEX RESOURCES LIMITED 2021 ANNUAL REPORT | PAGE 59
INDEPENDENT AUDITOR’S REPORT
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PAGE 60 | 2021 ANNUAL REPORT DEVEX RESOURCES LIMITED
INDEPENDENT AUDITOR’S REPORT
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DEVEX RESOURCES LIMITED 2021 ANNUAL REPORT | PAGE 61
INDEPENDENT AUDITOR’S REPORT
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PAGE 62 | 2021 ANNUAL REPORT DEVEX RESOURCES LIMITED
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ASX ADDITIONAL INFORMATION
as at 21 September 2021
Additional information required by the ASX Limited Listing Rules and not disclosed elsewhere in this report is set out below.
Shareholdings
Substantial shareholders
The number of shares held by substantial shareholders and their associated interests were:
| SHAREHOLDER | NUMBER OF | PERCENTAGE OF |
NUMBER OF | PERCENTAGE OF |
|---|---|---|---|---|
| ORDINARY | CAPITAL HELD | UNLISTED | UNLISTED | |
| SHARES HELD | % | OPTIONS HELD | OPTIONS HELD% | |
| Timothy R B Goyder | 53,375,269 | 17.34 | 2,000,000 | 12.93% |
Class of Shares and Voting Rights
There were 3,395 holders of the ordinary shares of the Company and 13 holders of unlisted options. The Company has 15,466,669 unlisted options on issue at 21 September 2021, all of which were issued under the previous Employee Share Option Plan or the current Employee Securities Incentive Plan.
Holders of fully paid ordinary shares are entitled to one vote per fully ordinary shares.
Distribution of equity security holders
| NUMBER OF EQUITY | SECURITY HOLDERS | |
|---|---|---|
| CATEGORY | ||
| ORDINARY | UNLISTED | |
| SHARES | SHARE OPTIONS | |
| 1 – 1,000 | 236 | - |
| 1,001 – 5,000 | 851 | - |
| 5,001 – 10,000 | 468 | - |
| 10,001 – 100,000 | 1,436 | 4 |
| 100,001 and over | 404 | 9 |
| Total | 3,395 | 13 |
Restricted Securities
There are no restricted ordinary shares on issue.
On-market buy-back
There are no current on-market buy-back of securities.
Marketable parcel
The number of shareholders holding less than a marketable parcel was 331.
DEVEX RESOURCES LIMITED 2021 ANNUAL REPORT | PAGE 63
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ASX ADDITIONAL INFORMATION
Twenty Largest Ordinary Fully Paid Shareholders
| NAME | NUMBER OF | |
|---|---|---|
| PERCENTAGE OF | ||
| ORDINARY | ||
| SHARES HELD | CAPITAL HELD % | |
| MR TIMOTHY RUPERT BARR GOYDER & ASSOCIATES | 53,375,269 | 17.34 |
| HSBC CUSTODY NOMINEES (AUSTRALIA) LIMITED | 9,874,046 | 3.21 |
| CALM HOLDINGS PTY LTD | 7,000,000 | 2.27 |
| CITICORP NOMINEES PTY LIMITED | 6,722,051 | 2.18 |
| BNP PARIBAS NOMINEES PTY LTD SIX SIS LTD | 5,453,386 | 1.77 |
| ALBION BAY PTY LTD | 4,507,741 | 1.46 |
| COLIBRI NOMINEES PTY LTD | 4,330,857 | 1.41 |
| MR SIMON YAMMINE | 4,000,000 | 1.30 |
| BNP PARIBAS NOMINEES PTY LTD ACF CLEARSTREAM | 3,682,834 | 1.20 |
| MR GRAEME BRUCE HATHWAY | 3,680,000 | 1.20 |
| GREMAR HOLDINGS PTY LTD | 3,200,000 | 1.04 |
| BOND STREET CUSTODIANS LIMITED | 2,814,605 | 0.91 |
| BNP PARIBAS NOMINEES PTY LTD | 2,635,788 | 0.86 |
| THE UNIVERSAL ZONE PTY LTD | 2,500,000 | 0.81 |
| BOTSIS HOLDINGS PTY LTD | 2,317,763 | 0.75 |
| MRS MICHAELA JOY BURKITT | 2,193,926 | 0.71 |
| MR BRYN LLEWELLYN JONES & ASSOCIATES | 2,042,237 | 0.66 |
| CITITEL PTY LTD | 2,000,000 | 0.65 |
| GKCF SUPER PTY LTD | 2,000,000 | 0.65 |
| MR RICHARD KEITH HACKER & ASSOCIATES | 2,000,000 | 0.65 |
| Total | 126,339,503 | 41.03 |
PAGE 64 | 2021 ANNUAL REPORT DEVEX RESOURCES LIMITED
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ASX ADDITIONAL INFORMATION
Level 3, 1292 Hay Street West Perth WA 6005, Australia T: +61 8 6186 9490
[email protected] www.devexresources.com.au
PAGE 66 | 2021 ANNUAL REPORT DEVEX RESOURCES LIMITED