ELEMENTOS LIMITED — Regulatory Filings 2014

Oct 29, 2014

4Rule 5.3

Appendix 5B

Mining exploration entity quarterly report

Introduced 1/7/96. Origin: Appendix 8. Amended 1/7/97, 1/7/98, 30/9/2001, 01/06/2010.

Name of entity

ELEMENTOS LIMITED

ABN

49 138 468 756

Quarter ended ("current quarter")

30 SEPTEMBER 2014

Consolidated statement of cash flows

Cash flows related to operating activities		Current quarter \$A'000	Year to date \$A'000
1.1	Receipts from product sales and related debtors
1.2	Payments for (a) exploration and evaluation (b) development (c) production	(405)	(405)
	(d) administration	(178)	(178)
1.3 1.4	Dividends received Interest and other items of a similar nature received	9	9
1.5	Interest and other costs of finance paid
1.6	Income taxes paid
1.7	Other (return of bank guarantee)
	Net Operating Cash Flows	(574)	(574)
1.8	Cash flows related to investing activities Payment for purchases of: (a)prospects (b) equity investments (c) other fixed assets
1.9	Proceeds from sale of: (a)prospects (b) equity investments (c) other fixed assets
1.10	Loans to other entities
1.11 1.12	Loans repaid by other entities Other (costs associated with merger) Other (cash in from merger)
	Net investing cash flows
1.13	Total operating and investing cash flows (carried forward)	(574)	(574)

⁺ See chapter 19 for defined terms.

1.13	Total operating and investing cash flows (brought) forward)	(574)	(574)
	Cash flows related to financing activities
1.14	Proceeds from issues of shares, options, etc.	1,506	1,506
1.15	Proceeds from sale of forfeited shares
1.16	Proceeds from borrowings
1.17	Repayment of borrowings
1.18	Dividends paid
1.19	Other:
	Cost of share issues	(23)	(23)
	Net financing cash flows	1,483	1,483
	Net increase (decrease) in cash held	909	909
1.20	Cash at beginning of quarter/year to date	682	682
1.21	Exchange rate adjustments to item 1.20
1.22	Cash at end of quarter	1,591	1,591

Payments to directors of the entity and associates of the directors Payments to related entities of the entity and associates of the related entities

		Current quarter \$A'000
1.23	Aggregate amount of payments to the parties included in item 1.2	54
1.24	Aggregate amount of loans to the parties included in item 1.10	Nil
1.25	Explanation necessary for an understanding of the transactions

Non-cash financing and investing activities

$2.1$ Details of financing and investing transactions which have had a material effect on consolidated assets and liabilities but did not involve cash flows

Nil

Details of outlays made by other entities to establish or increase their share in projects in which the 2.2 reporting entity has an interest

Nil

⁺ See chapter 19 for defined terms.

Financing facilities available

Add notes as necessary for an understanding of the position.

		Amount available \$A'000	Amount used \$A'000
3.1	Loan facilities	Nil	Nil
3.2	Credit standby arrangements	Nil	Nil

Estimated cash outflows for next quarter

	л.	\$A'000
4.1	Exploration and evaluation	160
4.2	Development	Nil
4.3	Production	Nil
4.4	Administration	170
	Total	330

Reconciliation of cash

Reconciliation of cash at the end of the quarter (as shown in the consolidated statement of cash flows) to the related items in the accounts is as follows.		Current quarter \$A'000	Previous quarter \$A'000
Cash on hand and at bank 5.1		448	639
5.2	Deposits at call	1.143	43
5.3	Bank overdraft
5.4	Other (provide details)
	Total: cash at end of quarter (item 1.22)	1,591	682

Changes in interests in mining tenements

		Tenement reference	Nature of interest (note (2))	Interest at beginning of quarter	Interest at end of quarter
6.1	Interests in mining	1124-368-G-06 (i)	Exploration Permit	Nil-earning	Nil
	tenements relinquished, reduced or lapsed	1124-385-G-06 (i)	Exploration Permit	Nil-earning	Nil
		$1124 - 498 - G - 07$ (i)	Exploration Permit	Nil-earning	Nil
		1124-336-G-08 (i)	Exploration Permit	Nil-earning	Nil
6.2	Interests in mining	1124-309-G-12 (ii)	Mining Lease	Nil	Nil-earning
	tenements acquired or increased	$1124 - 308 - G - 12$ (ii)	Mining Lease	Nil	Nil-earning
		$1124 - 149 - G - 14$ (ii)	Mining Lease	Nil	Nil-earning (iii)
		$1124 - 148 - G - 14$ (ii)	Mining Lease	Nil	Nil-earning (iii)
		$1124 - 350 - G - 14$ (ii)	Mining Lease	Nil	Nil-earning (iii)
		1124-351-G-14 (ii)	Mining Lease	Nil	$Nil\text{-}learning(iii)$
	(i)		Exploration Permit covered by new Mining Lease
		(ii)	Replaces Exploration Permits expired

In process of being granted $(iii)$

⁺ See chapter 19 for defined terms.

Issued and quoted securities at end of current quarter
Description includes rate of interest and any redemption or conversion rights together with prices and dates.

		Total number	Number quoted	Issue price per security (see note 3) (cents)	Amount paid up per security (see note 3) (cents)
7.1	Preference +securities
7.2	(description) Changes during quarter (a) Increases through issues (b) Decreases through returns of capital, buy-backs, redemptions
7.3	+ Ordinary securities	758,813,272	758,813,272
7.4	Changes during quarter (a) Increases through issues	83,186,790 40,315,384 2,000,230	83,186,790 40,315,384 2,000,230	$1.20$ cents $1.20$ cents $1.20$ cents	$1.20$ cents $1.20$ cents $1.20$ cents
	(b) Decreases through returns of capital, buy-backs
7.5	+ Convertible debt securities (description)
7.6	Changes during quarter (a) Increases through issues (b) Decreases through securities matured, converted
7.7	Options (description and conversion factor)			Exercise price	Expiry date
	Listed Options
	Unlisted Options	4,500,000	Nil	$22.6$ cents	23 October 2015
		550,000	Nil	$22.6$ cents	7 September 2015
		500,000	Nil	$22.6$ cents	30 November 2015
		1,000,000	Nil	32.6 cents	18 January 2017
		200,000	Nil	6.0 cents 6.0 cents	3 December 2016
		2,350,000	Nil	3.0 cents	20 January 2017 20 March 2018
		9,300,000	Nil
7.8 7.9	Issued during quarter Exercised during quarter
7.10	Expired during quarter
7.11	Debentures (totals only)
7.12	Unsecured notes (totals only)

⁺ See chapter 19 for defined terms.

Compliance statement

• $\mathbf{1}$ This statement has been prepared under accounting policies which comply with accounting standards as defined in the Corporations Act or other standards acceptable to ASX (see note 4).
• $\overline{2}$ This statement gives a true and fair view of the matters disclosed.

Sign here:

cot - Date: 30 October 2014

Company Secretary

Print name:

Linda Scott

Notes

• The quarterly report provides a basis for informing the market how the entity's $\mathbf{1}$ activities have been financed for the past quarter and the effect on its cash position. An entity wanting to disclose additional information is encouraged to do so, in a note or notes attached to this report.
• $\overline{2}$ The "Nature of interest" (items 6.1 and 6.2) includes options in respect of interests in mining tenements acquired, exercised or lapsed during the reporting period. If the entity is involved in a joint venture agreement and there are conditions precedent which will change its percentage interest in a mining tenement, it should disclose the change of percentage interest and conditions precedent in the list required for items 6.1 and 6.2.
• 3 Issued and quoted securities The issue price and amount paid up is not required in items 7.1 and 7.3 for fully paid securities.
• The definitions in, and provisions of, AASB 1022: Accounting for Extractive 4 Industries and AASB 1026: Statement of Cash Flows apply to this report.
• 5 Accounting Standards ASX will accept, for example, the use of International Accounting Standards for foreign entities. If the standards used do not address a topic, the Australian standard on that topic (if any) must be complied with.

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⁺ See chapter 19 for defined terms.