DGR GLOBAL LIMITED — Interim / Quarterly Report 2019

Oct 16, 2018

Appendix 5B Mining exploration entity and oil and gas exploration entity quarterly report

Rule 5.5

Appendix 5B

Mining exploration entity and oil and gas exploration entity quarterly report

Name of entity

Name of entity	Name of entity
DGR Global Limited
ABN		Quarter ended (“current	quarter”)
67 052	354 837	30 September 2018
Consolidated statement of cash flows		Current quarter $A’000	Year to date (3 months)
			$A’000
1.	Cash flows from operating activities
1.1	Receipts from customers	351	351
1.2	Payments for
	(a) exploration & evaluation	(174)	(174)
	(b) development	‐	‐
	(c) production	‐	‐
	(d) staff costs	(556)	(556)
	(e) administration and corporate costs	(299)	(299)
1.3	Dividends received (see note 3)	‐	‐
1.4	Interest received	6	6
1.5	Interest and other costs of finance paid	‐	‐
1.6	Income taxes paid	‐	‐
1.7	Research and development refunds	‐	‐
1.8	Other (provide details if material)	‐	‐
1.9	Net cash from / (used in) operating
	activities	(672)	(672)

• See chapter 19 for defined terms. 01/09/2016

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Appendix 5B Mining exploration entity and oil and gas exploration entity quarterly report

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2.	Cash flows from investing activities
2.1	Payments to acquire:
	(a) property, plant and equipment	(2)	(2)
	(b) tenements (see item 10)	‐	‐
	(c) investments1	(2,100)	(2,100)
	(d) other non‐current assets	‐	‐
2.2	Proceeds from the disposal of:
	(a) property, plant and equipment	‐	‐
	(b) tenements (see item 10)	‐	‐
	(c) investments	‐	‐
	(d) other non‐current assets	‐	‐
2.3	Cash flows from loans to other entities	‐	‐
2.4	Dividends received (see note 3)	‐	‐
2.5	Other (Environmental bonds)	(8)	(8)
2.6	Net cash from / (used in) investing
	activities	(2,110)	(2,110)
3.	Cash flows from financing activities
3.1	Proceeds from issues of shares2	321	321
3.2	Proceeds from issue of convertible notes3	700	700
3.3	Proceeds from exercise of share options	‐	‐
3.4	Transaction costs related to issues of
	shares, convertible notes or options	(60)	(60)
3.5	Proceeds from borrowings	‐	‐
3.6	Repayment of borrowings	‐	‐
3.7	Transaction costs related to loans and
	borrowings	‐	‐
3.8	Dividends paid	‐	‐
3.9	Other (provide details if material)	‐	‐
3.10	Net cash from / (used in) financing
	activities	961	961

1 Represents participation in Armour Energy Ltd Rights Issue (21,000,000 shares at $0.10)

2 Represents proceeds from shares issued in subsidiary Auburn Resources Ltd, DGR now holds a 58% interest following the share issue.

3 The remaining balance of $1.3m under the amended Tribeca agreement announced to the market on 26 September 2018 was received on 2 October 2018.

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Appendix 5B

Mining exploration entity and oil and gas exploration entity quarterly report

4.	Net increase / (decrease) in cash and
	cash equivalents for the period	(1,821)	(1,821)
4.1	Cash and cash equivalents at beginning of
	period	2,844		2,844
4.2	Net cash from / (used in) operating
	activities (item 1.9 above)	(672)		(672)
4.3	Net cash from / (used in) investing
	activities (item 2.6 above)	(2,110)	(2,110)
4.4	Net cash from / (used in) financing
	activities (item 3.10 above)	961		961
4.5	Effect of movement in exchange rates on
	cash held	‐		‐
4.6	Cash and cash equivalents at end of
	period	1,023		1,023
5.	Reconciliation of cash and cash	Current quarter	Previous quarter
	equivalents	$A’000	$A’000
	at the end of the quarter (as shown in the
	consolidated statement of cash flows) to
	the related items in the accounts
5.1	Bank balances	1,023		2,844
5.2	Call deposits	‐		‐
5.3	Bank overdrafts	‐		‐
5.4	Other (provide details)	‐		‐
5.5	Cash and cash equivalents at end of
	quarter (should equal item 4.6 above)	1,023		2,844
6.	Payments to directors of the entity and their associates		Current quarter
			$A'000
6.1	Aggregate amount of payments to these parties included in
	item 1.2			127
6.2	Aggregate amount of cash flow from loans to	these parties
	included in item 2.3			‐
6.3	Include below any explanation necessary to understand the transactions included in
	items 6.1 and 6.2

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• See chapter 19 for defined terms. 01/09/2016

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Appendix 5B Mining exploration entity and oil and gas exploration entity quarterly report

7.	Payments to related entities of the entity and their	Current quarter
	associates	$A'000
7.1	Aggregate amount of payments to these parties included in
	item 1.2		‐
7.2	Aggregate amount of cash flow from loans to these parties
	included in item 2.3		‐
7.3	Include below any explanation necessary to understand the transactions included in
	items 7.1 and 7.2

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8.		Financing facilities available	Total facility amount	Amount drawn at
		Add notes as necessary for an understanding of the	at quarter end	quarter end
		position	$A’000	$A’000
8.1		Loan facilities	‐	‐
8.2		Credit standby arrangements	‐	‐
8.3		Other (please specify)	‐	‐
8.4		Include below a description of each facility above, including the lender, interest rate and
		whether it is secured or unsecured. If any additional facilities have been entered into or
		are proposed to be entered into after quarter end, include details of those facilities as well.
	(a)

9.	Estimated cash outflows for next quarter	$A’000
9.1	Exploration and evaluation		(150)
9.2	Development		‐
9.3	Production		‐
9.4	Staff costs		(500)
9.5	Administration and corporate costs		(300)
9.6	Other (provide details if material)		‐
9.7	Total estimated cash outflows		(950)

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Appendix 5B

Mining exploration entity and oil and gas exploration entity quarterly report

10.	Changes in	Tenement	Nature of interest	Interest	Interest
	tenements	reference		at	at end of
	(items 2.1(b) and	and location		beginning	quarter
	2.2(b) above)			of quarter
10.1	Interests in mining
	tenements and petroleum tenements lapsed, relinquished	EPM 260001	Exploration permit for minerals	100%	‐
	or reduced
10.2	Interests in mining	EPM 267582		‐	100%
	tenements and petroleum tenements acquired or increased	EPM 266073 EPM 267964 EPM 263555	Exploration Permit for minerals	‐ ‐ ‐	100% 100% 100%

1. Tenement relinquished by Albatross Bauxite Pty Ltd, in which DGR holds a 100% interest. 2. Tenement acquired by Auburn Resources Ltd, in which DGR holds a 58% interest.

2. Tenement acquired by Barlyne Mining Pty Ltd, in which DGR holds a 58% interest through its holding in Auburn Resources Ltd. 4. Tenement acquired by Pennant Resources Pty Ltd, in which DGR holds a 58% interest through its holding in Auburn Resources Ltd. 5. Tenement acquired by Coolgarra Minerals Pty Ltd, a 100% owned subsidiary of DGR Global Ltd.

Compliance statement

• 1 This statement has been prepared in accordance with accounting standards and policies which comply with Listing Rule 19.11A.

• 2 This statement gives a true and fair view of the matters disclosed.

Sign here: Print name: Karl Schlobohm – Company Secretary

Date: 17 October 2018

Notes

1. The quarterly report provides a basis for informing the market how the entity’s activities have been financed for the past quarter and the effect on its cash position. An entity that wishes to disclose additional information is encouraged to do so, in a note or notes included in or attached to this report.

2. If this quarterly report has been prepared in accordance with Australian Accounting Standards, the definitions in, and provisions of, AASB 6: Exploration for and Evaluation of Mineral Resources and AASB 107: Statement of Cash Flows apply to this report. If this quarterly report has been prepared in accordance with other accounting standards agreed by ASX pursuant to Listing Rule 19.11A, the corresponding equivalent standards apply to this report.

3. Dividends received may be classified either as cash flows from operating activities or cash flows from investing activities, depending on the accounting policy of the entity.

4. See chapter 19 for defined terms. 01/09/2016

Appendix 5B Page 5