ECLIPSE METALS LIMITED. — Interim / Quarterly Report 2018

Mar 11, 2018

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Eclipse Metals Limited

ABN 85 142 366 541

and its controlled entities

Report for the half-year ended 31 December 2017

Eclipse Metals Limited

Corporate directory

Board of Directors

Mr Carl Popal Mr Rodney Dale Mr Craig Hall

Executive Director Non-Executive Director Non-Executive Director

Company Secretary Ms Eryn Kestel

Registered Office

Level 2 Spectrum, 100 Railway Road Subiaco WA 6008

Tel: +61 8 9367 8133 Fax: +61 8 9367 8812 Email: info@eclipsemetals.com.au

Principal Place of Business

Level 3, 1060 Hay Street West Perth, Western Australia 6005 Tel: +61 8 9480 0420 Fax: +61 8 9321 0320

Postal Address

PO Box 1395 West Perth, Western Australia 6872

Website

Website: www.eclipsemetals.com.au

Auditors

Stantons International Level 2, 1 Walker Avenue West Perth, Western Australia 6005

Share Registry

Security Transfer Registrar 770 Canning Highway Applecross, Western Australia 6153 Tel: +61 8 9315 2333 Fax: +61 8 9315 2233

Securities Exchange

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

ASX Codes

Shares: EPM Options: EPMO

Eclipse Metals Limited

Half year report for the half-year ended 31 December 2017

Contents

Directors’ report………………………………………………………………………………	3
Independent auditor’s review report……………………………………………………….	9
Auditor’s independence declaration.................................................................................	11
Directors’ declaration…………………………………………………………………………..	12
Consolidated statement of profit or loss and other comprehensive income……………	13
Consolidated statement of financial position………………………………………………..	14
Consolidated statement of changes in equity………………………………….……………	15
Consolidated statement of cash flows………………………………………………………	16
Condensed notes to the consolidated financial statements………………………………	17

Eclipse Metals Limited

Directors’ report

The directors of Eclipse Metals Limited (“the Company”) submit herewith the operations and financial report of Eclipse Metals Limited and its subsidiaries (“the Group”) for the half-year ended 31 December 2017. In order to comply with the provisions of the Corporations Act 2001 , the directors report as follows:

Directors

Mr Carl Popal Mr Rodney Dale Mr Craig Hall

Operating Results

The loss for the Group for the half-year ended 31 December 2017, after providing for income tax, amounted to $264,096 compared with a loss of $199,234 for the half-year ended 31 December 2016.

Principal activities

The main focus of the Group was on tenement maintenance, initiating and supporting field exploration and planning for future activities. The Group also started onsite drilling on its Mary Valley Project.

Annual General Meeting

The Company held its annual general meeting on 6[th] November 2017 (“AGM”). All resolutions put to shareholders were passed.

Highlights

• Diamond drilling commenced on Mary Valley Manganese project in December 2017

• Replacement tenements applied for to cover Liverpool tenure in NT

QUEENSLAND – MARY VALLEY MANGANESE PROJECT

Following recent reductions in area, Eclipse now holds around 74sqkm in three EPM’s centred 14km southwest of Gympie in Queensland covering the most prospective manganese mineralisation in the district (Figure 1). The Company believes that these deposits have potential to produce manganese as a Direct Shipping Ore (DSO).

On-site checking of anomalous geophysical gravity survey results determined that there may be significant extensions to known mineralisation, in particular at Amamoor and Eel Creek which prospects are now considered high priority drill targets (refer ASX releases dated 15 March 2017 and 8 June 2017). A program of diamond drilling commenced on 19 December 2017 on the Eel Creek prospect.

Metallurgical characterisation of samples collected earlier in the year determined that most of the beneficiated products appear to be suitable for ferroalloy smelting. Concentrate phosphorous contents are all acceptably low, being below the 0.2% limit generally imposed.

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Eclipse Metals Limited

NORTHERN TERRITORY

DEVILS ELBOW- RIO TINTO FARM-IN / JV ELA 27584

Under the farm-in and joint venture arrangement with Eclipse, Rio Tinto Exploration (RTX) is continuing to pursuing an arrangement with the Northern Land Council (NLC) for a site anthropological survey to determine consent and non-consent areas by Traditional Owners to facilitate the application procedure.

RTX was unable to facilitate this site survey prior to the commencement of the wet season in the Northern Territory and this activity is now expected to take place in the 2018 field season. Following the results of the site survey a final meeting will be planned with the NLC Executive for endorsement of these areas by Traditional Owners.

NORTHERN TERRITORY: OTHER TENEMENTS

Replacement applications (ELA’s 31770-31772) for some Liverpool tenure were submitted during the quarter. Applications for the Flying Fox and Pozieres areas were relinquished. No field activity was performed during the quarter (refer Figure 2 ).

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Eclipse Metals Limited

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Figure 1. Mary Valley Tenement Map (updated)

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Eclipse Metals Limited

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Figure 2. Northern Territory Tenement Map (updated)

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Eclipse Metals Limited

TENEMENT INTERESTS AT THE END OF THE PERIOD

Granted Mining tenements

Tenement	Project	Commodity	Status	State	Beneficial	Gratic
	Name				**Holder **	Blk
EL 24808	Bigrlyi	Uranium	Granted	NT	Eclipse Metals Ltd	27
EPM 17672	Mary Valley	Manganese	Granted	Qld	Eclipse Metals Ltd	15
EPM 17938	Amamoor	Manganese	Granted	Qld	Eclipse Metals Ltd	4
EPM 25698	West Mary Valley	Manganese	Granted	Qld	Eclipse Metals Ltd	5

Exploration Licences Application

Tenement	Project Name	Commodity	Status	State	Holder	%
ELA 24623	Eclipse	Uranium	Application	NT	Eclipse Metals Ltd	100
ELA 24861	Lake Mackay	Uranium	Application	NT	Eclipse Metals Ltd	100
ELA 26487	Yuendi	Cu, Uranium	Application	NT	Whitvista Pty Ltd2	100
ELA 27584	Devil’s Elbow	Uranium	Application	NT	North Minerals Pty Ltd3	100
ELA 27703	Gumadeer	Uranium	Application	NT	North Minerals Pty Ltd3	100
ELA 31065	Liverpool 4	Uranium	Application	NT	Eclipse Metals Ltd	100
ELA 31499	Ngalia 1	Uranium	Application	NT	Eclipse Metals Ltd	100
ELA 31500	Ngalia 2	Uranium	Application	NT	Eclipse Metals Ltd	100
ELA 31501	Ngalia 3	Uranium	Application	NT	Eclipse Metals Ltd	100
ELA 31502	Ngalia 4	Uranium	Application	NT	Eclipse Metals Ltd	100
ELA 31770	Liverpool 2	Uranium	Application	NT	Eclipse Metals Ltd	100
ELA 31771	Liverpool 1	Uranium	Application	NT	Eclipse Metals Ltd	100
ELA 31772	Liverpool 3	Uranium	Application	NT	Eclipse Metals Ltd	100

• 1 Walla Mines Pty Ltd is a subsidiary of Eclipse Metals Ltd

• 2 Whistvista Pty Ltd is a subsidiary of Eclipse Metals Ltd

• 3 North Minerals Pty Ltd is a subsidiary of Eclipse Metals Ltd

The information in this report that relates to Exploration Results together with any related assessments and interpretations is based on information compiled by Mr Rodney Dale, a Non-Executive Director of Eclipse Metals Limited. Mr Dale is a Fellow of the Australasian Institute of Mining and Metallurgy and has sufficient experience relevant to the styles of mineralisation under consideration and to the activity being reported to qualify as a Competent Person as defined in the 2012 Edition of the Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves.

For further information please contact:

Carl Popal - Executive Chairman T: +61 8 9480 0420

Rod Dale - Non-Executive Director T: +61 8 9480 0420

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Eclipse Metals Limited

Auditor’s independence declaration

The auditor’s independence declaration as required under s.307C of the Corporations Act 2001 is included on page 11 and forms part of the directors’ report for the half- year ended 31 December 2017.

Signed in accordance with a resolution of directors made pursuant to s.306(3) of the corporations Act 2001

On behalf of the directors

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______ Carl Popal Executive Director 12 March 2018 Perth, Western Australia

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Stantons International Audit and Consulting Pty Ltd trading as

PO Box 1908 West Perth WA 6872 Australia

Chartered Accountants and Consultants

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Level 2, 1 Walker Avenue West Perth WA 6005 Australia Tel: +61 8 9481 3188 Fax: +61 8 9321 1204 ABN: 84 144 581 519 www.stantons.com.au

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

Report on the Half-Year Financial Report

We have reviewed the accompanying half-year financial report of Eclipse Metals Limited, which comprises the consolidated statement of financial position as at 31 December 2017, the consolidated statement of profit or loss and other comprehensive income, consolidated statement of changes in equity, and consolidated statement of cash flows for the half-year ended on that date, condensed notes comprising a summary of significant accounting policies and other explanatory information, and the directors’ declaration for Eclipse Metals Limited (the consolidated entity). The consolidated entity comprises both Eclipse Metals Limited (the Company) and the entities it controlled during the half year.

Directors’ Responsibility for the Half-Year Financial Report

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

Auditor’s Responsibility

Our responsibility is to express a conclusion on the half-year financial report based on our review. We conducted our review in accordance with Auditing Standard on Review Engagements ASRE 2410 Review of a Financial Report Performed by the Independent Auditor of the Entity , in order to state whether, on the basis of the procedures described, we have become aware of any matter that makes us believe that the half year financial report is not in accordance with the Corporations Act 2001 including: giving a true and fair view of the consolidated entity’s financial position as at 31 December 2017 and its performance for the half-year ended on that date; and complying with Accounting Standard AASB 134 Interim Financial Reporting and the Corporations Regulations 2001 . As the auditor of Eclipse Metals Limited, ASRE 2410 requires that we comply with the ethical requirements relevant to the audit of the annual financial report.

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

Whilst we considered the effectiveness of management’s internal controls over financial reporting when determining the nature and extent of our procedures, our review was not designed to provide assurance on internal controls.

Our review did not involve an analysis of the prudence of business decisions made by the directors or management.

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Liability limited by a scheme approved under Professional Standards Legislation

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Independence

In conducting our review, we have complied with the independence requirements of the Corporations Act 2001 . We confirm that the independence declaration required by the Corporations Act 2001 , has been provided to the directors of Eclipse Metals Limited on 12 March 2018.

Conclusion

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

• (a) giving a true and fair view of the consolidated entity’s financial position as at 31 December 2017 and of its performance for the half-year ended on that date; and

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

Emphasis of Matter

We draw attention to Note 3 of the financial report, which describes the capitalised exploration and evaluation expenditure of 2,265,772.

The recoverability of the consolidated entity’s carrying value of capitalised exploration and evaluation expenditure is dependent on the successful commercial exploitation of these assets and/or sale of these assets to generate amounts at least equivalent to their book values. In the event that the consolidated entity is not successful in the commercial exploitation and/or sale of the assets, the realisable value of the consolidated entity’s assets may be significantly less than their current carrying values.

Our conclusion is not modified in respect of this matter.

STANTONS INTERNATIONAL AUDIT AND CONSULTING PTY LTD (Trading as Stantons International) (An Authorised Audit Company)

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Samir R Tirodkar Director

West Perth, Western Australia 12 March 2018

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Stantons International Audit and Consulting Pty Ltd trading as

PO Box 1908 West Perth WA 6872 Australia

Chartered Accountants and Consultants

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Level 2, 1 Walker Avenue West Perth WA 6005 Australia Tel: +61 8 9481 3188 Fax: +61 8 9321 1204 ABN: 84 144 581 519 www.stantons.com.au

12 March 2018

Board of Directors Eclipse Metals Limited Level 3, 1060 Hay Street WEST PERTH WA 6005

Dear Sirs

RE: ECLIPSE METALS LIMITED

In accordance with section 307C of the Corporations Act 2001, I am pleased to provide the following declaration of independence to the directors of Eclipse Metals Limited.

As Audit Director for the review of the financial statements of Eclipse Metals Limited for the period ended 31 December 2017, I declare that to the best of my knowledge and belief, there have been no contraventions of:

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

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

Yours faithfully

STANTONS INTERNATIONAL AUDIT AND CONSULTING PTY LTD (Trading as Stantons International) (An Authorised Audit Company)

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Samir R Tirodkar Director

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Liability limited by a scheme approved under Professional Standards Legislation

Eclipse Metals Limited

Directors’ declaration

The directors declare that:

• (a) in the directors’ opinion, there are reasonable grounds to believe that the Company will be able to pay its debts as and when they become due and payable; and

• (b) in the directors’ opinion, the attached financial statements and notes thereto are in accordance with the Corporations Act 2001 , including compliance with accounting standard AASB 134 ‘Interim Financial Reporting’ and giving a true and fair view of the financial position as at 31 December 2017 and performance of the Group for the half year ended that date.

Signed in accordance with a resolution of the directors made pursuant to s.303(5) of the Corporations Act 2001 .

On behalf of the directors

On behalf of the directors

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______ Carl Popal Executive Director 12 March 2018 Perth, Western Australia

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Eclipse Metals Limited

Consolidated statement of profit or loss and other comprehensive income for the half-year ended 31 December 2017

Note Continuing operations Revenue and other income 2 Employee benefits expenses and director fees Consultancy expenses Professional services expenses Listing expenses Travel expenses Administration expenses Finance expenses Loss before income tax Income tax expense Loss for the period Other comprehensive income, net of income tax Items that will not be reclassified subsequently to profit or loss Items that may be reclassified subsequently to profit or loss Other comprehensive income for the period, net of income tax Total comprehensive loss for the period Loss attributable to: Owners of Eclipse Metals Limited Non-controlling interests Total comprehensive loss attributable to: Owners of Eclipse Metals Limited Non-controlling interests Loss per share: Basic and diluted (cents per share)	Consolidated
	Half-year ended
	31 Dec 2017 $ 31 Dec 2016 $
	3,060 50,787 (111,000) (110,700) (59,547) (42,118) (35,446) (35,802) (14,594) (14,268) (14,103) (6,514) (32,066) (40,170) (400) (449)
	(264,096) (199,234) - -
	(264,096) (199,234)
	- - - -
	- -
	(264,096) (199,234)
	(264,062) (199,201) (34) (33)
	(264,096) (199,234)
	(264,062) (199,201) (34) (33)
	(264,096) (199,234)
	(0.02) (0.02)

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

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Eclipse Metals Limited

Consolidated statement of financial position as at 31 December 2017

Note Current assets Cash and cash equivalents Trade and other receivables Prepayments Total current assets Non-current assets Exploration and evaluation expenditure 3 Total non-current assets Total assets Current liabilities Trade and other payables Total current liabilities Total liabilities Net assets Equity Issued capital 4 Reserves Accumulated losses Owners of Eclipse Metals Limited Non-controlling interests Total equity	Consolidated
	31 Dec 2017 $ 30 Jun 2017 $
	983,046 1,256,398 24,369 18,646 18,554 2,579
	1,025,969 1,277,623
	2,265,772 2,228,800
	2,265,772 2,228,800
	3,291,741 3,506,423
	442,343 392,929
	442,343 392,929
	442,343 392,929
	2,849,398 3,113,494
	25,411,849 25,411,849 38,950 38,950 (22,577,154) (22,313,092)
	2,873,645 3,137,707 (24,247) (24,213)
	2,849,398 3,113,494

The consolidated statement of financial position is to be read in conjunction with the notes to the financial statements.

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Eclipse Metals Limited

Consolidated statement of changes in equity for the half-year ended 31 December 2017

Balance at 1 July 2016 Loss for the period Total comprehensive loss for the period Issue of ordinary shares Share issue costs Balance at 31 December 2016 Balance at 1 July 2017 Loss for the period Total comprehensive loss for the period Balance at 31 December 2017	Issued capital Reserves Accumulated losses $ $ $	Sub-total Non-controlling interests Total $ $ $
	24,298,201 38,950 (21,670,462) - - (199,201)	2,666,689 (23,769) 2,642,920 (199,201) (33) (199,234)
	- - (199,201)	(199,201) (33) (199,234)
	121,000 - - (1,750) - -	121,000 - 121,000 (1,750) - (1,750)
	24,417,451 38,950 (21,869,663)	2,586,738 (23,802) 2,562,936
	25,411,849 38,950 (22,313,092) - - (264,062)	3,137,707 (24,213) 3,113,494 (264,062) (34) (264,096)
	- - (264,062)	(264,062) (34) (264,096)
	25,411,849 38,950 (22,577,154)	2,873,645 (24,247) 2,849,398

The consolidated statement of changes in equity is to be read in conjunction with the notes to the financial statements.

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Eclipse Metals Limited

Consolidated statement of cash flows for the half-year ended 31 December 2017

Note Cash flows from operating activities Payments to suppliers and employees Refund from R&D Finance costs Interest received Net cash used in operating activities Cash flows from investing activities Payments for exploration and evaluation expenditure Net cash used in investing activities Cash flows from financing activities Proceeds from issuance of shares Share issue costs Net cash provided by financing activities Net (decrease) / increase in cash and cash equivalents Cash and cash equivalents at the beginning of the period Cash and cash equivalents at the end of the period	Consolidated
	Half-year ended
	31 Dec 2017 $ 31 Dec 2016 $
	(239,040) (182,618) - 46,256 (400) (449) 3,060 1,914
	(236,380) (134,897)
	(36,972) (19,214)
	(36,972) (19,214)
	- 216,000 - (1,750)
	- 214,250
	(273,352) 60,139 1,256,398 431,412
	983,046 491,551

The consolidated statement of cash flow is to be read in conjunction with the notes to the financial statements.

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Eclipse Metals Limited

Condensed notes to the consolidated financial statements for the half-year ended 31 December 2017

1. Significant accounting policies

Statement of compliance

The half-year financial report is a general purpose financial report prepared in accordance with the Corporations Act 2001 and AASB 134 ‘ Interim Financial Reporting’ . The half-year report does not include notes of the type normally included in an annual financial report and should be read in conjunction with annual financial statements of the Company for the year ended 30 June 2017 together with any public announcements made during the following half-year.

The half-year financial report was authorised for issue by the directors on 12 March 2018.

a. Basis of preparation

These general purpose interim financial statements for the half-year reporting period ended 31 December 2017 have been prepared in accordance with requirements of the Corporations Act 2001 and Australian Accounting Standard AASB 134: Interim Financial Reporting. The Group is a for-profit entity for financial reporting purposes under Australian Accounting Standards.

This interim financial report is intended to provide users with an update on the latest annual financial statements of Eclipse Metals Limited and its controlled entities (referred to as the "Consolidated Group" or "Group"). As such, it does not contain information that represents relatively insignificant changes occurring during the half-year within the Group.

The financial report has been prepared on the going concern basis that contemplates the continuity of normal business activities and the realisation and extinguishment of liabilities in the ordinary courses of business. For the half year ended 31 December 2017 the Group incurred a loss of $264,096 (31 December 2016: loss $199,234). Based upon the Group’s existing cash resources of $983,046 (30 June 2017: $1,256,398) and the ability to modify expenditure outlays if required, and to source additional funds, the Directors consider there are reasonable grounds to believe that the Group will be able to pay its debts as and when they become due and payable, and therefore the going concern basis of preparation is considered to be appropriate for the Group’s 31 December 2017 half year financial report. The Board of Directors is aware, having prepared a cashflow forecast, of the Group’s working capital requirements and the need to access additional equity funding or asset divestment if required within the next 12 months. In the event that the Group is not able to continue as a going concern, it may be required to realise assets and extinguish liabilities other than in the normal course of business and perhaps at amounts different to those stated in its financial report.

b. Accounting Policies

The same accounting policies and methods of computation have been followed in this interim financial report as were applied in the most recent annual financial statements. The Group has considered the implications of new and amended Accounting Standards but determined that their application to the financial statements is either not relevant or not material.

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Eclipse Metals Limited

2. Revenue and other income

Revenue and other income
Interest income Grant – Research & Development Refund on Tenement Deposit	31 Dec 2017 31 Dec 2016 $ $
	3,060 1,914 - 46,257 - 2,616
	3,060 50,787

3. Exploration and evaluation expenditure

Exploration and evaluation expenditure
Balance at beginning of the period Additions Impairment	31 Dec 2017 30 Jun 2017 $ $
	2,228,800 2,324,800 36,972 24,887 - (120,887)
	2,265,772 2,228,800

Exploration and evaluation expenditure

There is uncertainty as to the recoverability of the deferred exploration and evaluation expenditure assets of Eclipse Metals Limited at their stated values. The recoverability of the deferred exploration and evaluation expenditure assets is dependent upon the successful development and commercial exploitation, or alternatively, sale of the respective areas.

4. Issued Capital

4. Issued Capital
Fully paid ordinary shares (a) (a) Fully paid ordinary shares Balance at beginning of period Shares issued during the year Issued pursuant to placement to sophisticated investors in Aug 16 Issued pursuant to AGM Resolution passed in Dec 16 (i) Issued pursuant to investor payment for services provided Dec16 (ii) Issued pursuant to exploration services provided Dec16 (iii) Issued pursuant to capital raising Jan17 Issued pursuant to capital raising Jan17 Issued pursuant to broker fee regarding Jan17 capital raising(iv) Issued pursuant to capital raising Feb17 Issued pursuant to services provided to be paid in shares (v) Issued pursuant to placement March 17 Issued pursuant to broker fee regarding Mar17 raising (vi) Issued pursuant to capital raising March17 Issued pursuant to broking fee regarding March raising (vii) Share issue costs		31 Dec 2017 30 Jun 2017 $ $ 25,411,849 25,411,849 25,411,849 25,411,849
	31 Dec 2017 30 Jun 2017 No. $ No. $ 1,143,674,091 25,411,849 964,616,948 24,298,201 13,799,999 96,000 1,500,000 7,500 1,000,000 5,000 2,500,000 12,500 50,000,000 300,000 10,000,000 60,000 3,000,000 18,000 37,000,001 249,750 1,200,000 5,520 30,000,000 210,000 1,800,000 12,600 25,714,286 180,000 1,542,857 10,800 (54,022)
	1,143,674,091 25,411,849 1,143,674,091 25,411,849

i). 1,500,000 shares with a value of $7,500 were issued in lieu of directors fees.

ii). 1,000,000 shares with a value of $5,000 were issued in lieu of consultancy fees. iii). 2,500,000 shares with a value of $12,500 were issued in lieu of consultancy fees. iv). 3,000,000 shares with a value of $18,000 were issued in lieu of broker fees.

v). 1,200,000 shares with a value of $5,520 were issued in lieu of consultancy fees.

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Eclipse Metals Limited

vi). 1,800,000 shares with a value of $12,600 were issued in lieu of broker fees. vii). 1,542,857 shares with a value of $10,800 were issued in lieu of broker fees.

5. Contingent assets and contingent liabilities

There are no contingent assets or contingent liabilities at the end of the reporting period.

6. Commitments

a.Leasing commitments

At the half-year ended 31 December 2017, the Group had a lease agreement with Amberley Business Centre. The lease is on an ongoing basis and the company may give two months’ notice to terminate the lease otherwise the company can also re negotiate the rent agreement.

b.Exploration commitments

Exploration commitments for the next one (1) year total $484,243.These commitments may vary depending on whether the group relinquishes any tenements or enters into formal arrangements.

7. Key management personnel

Remuneration arrangements of key management personnel are disclosed in the annual financial report. Arrangements with related parties continue to be in place. For details of these arrangements, please refer to the 30 June 2017 annual financial report.

Key management personnel continue to receive compensation in the form of short term employee benefits, postemployment benefits and share-based payments.

8. Segment information

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

The revenues and results of this segment are those of the Group and are set out in the consolidated statement of profit or loss and other comprehensive income. The segment assets and liabilities of this segment are those of the Group and are set out in the consolidated statement of financial position.

9. Subsidiaries

Subsidiaries
		Percentage	owned (%)*
Entity	Incorporation	31 Dec 2017	30 Jun 2017
		Ownership	Ownership
North Minerals Pty Ltd	Australia	100.00	100.00
Central Energy Pty Ltd	Australia	100.00	100.00
Whitvista Pty Ltd	Australia	100.00	100.00
U308 Agencies Australia Pty Ltd	Australia	100.00	100.00
Walla Mines Pty Ltd (i)	Australia	87.17	87.17
Contour ResourcesPtyLtd	Australia	99.48	99.48

• Percentage of voting power is in proportion to ownership.

• (i) Direct and indirect percentage owned.

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Eclipse Metals Limited

10. Subsequent events

On 7 March 2018, the company issued 5,000,000 ordinary shares at an issue price of $0.012 as payment for drilling fees for the Mary Valley manganese project in accordance with a Memorandum of Agreement signed with a third party.

There has not been any other matter or circumstances that have arisen since the end of the reporting date and to the date of this report that significantly affects or may significantly affect the results of the operations of the Group.

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