FENIX RESOURCES LTD - Annual Report 2017

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ABN 68 125 323 622

Annual Report For the Year Ended 30 June 2017

Emergent Resources Limited ABN 68 125 323 622

Annual Report - Contents Page

	Page
Corporate Directory	1
Review of Operations	2
Directors’ Report	4-10
Auditor’s Independence Statement	11
Statement of Profit or Loss and Other Comprehensive Income	12
Statement of Financial Position	13
Statement of Changes in Equity	14
Statement of Cash Flows	15
Notes to the Financial Statements	16-36
Directors’ Declaration	37
Independent Audit Report	38-40
Additional ASX Information	41-42

Emergent Resources Limited ABN 68 125 323 622

Corporate Directory

Directors

Edmond Yao (Non-Executive Chairman) Bevan Tarratt (Non-executive Director) Jian-Hua Sang (Non-Executive Director)

Company Secretary

Matthew Foy

(Company Secretary)

Principal and Registered Office

Unit 5, Ground Floor 1 Centro Avenue Subiaco WA 6008 Web www.emergentresources.com.au

Auditor

Grant Thornton Audit Pty Ltd Level 1, 10 Kings Park Road West Perth, WA 6005

Share Registry

Automic Registry Services Level 2, 267 St Georges Terrace Perth, WA 6000

Stock Exchange Listing

The Company’s shares are quoted on the Australian Securities Exchange. The home exchange is Perth, Western Australia.

ASX Code

EMG – Ordinary shares

REVIEW OF OPERATIONS

The year represented a period of review and consolidation for Emergent Resources Limited ( EMG or the Company ), with the Board assessing opportunities for new projects and ensuring the Company’s rehabilitation liabilities on the Beyondie Magnetite Project were met and up to date.

Beyondie Magnetite Project

During the period the Company advised of the commencement of field activities at the Beyondie Magnetite project (E52/2215) in early February 2017. Initial work consisted of drill hole rehabilitation followed by an assessment of the target magnetite horizons immediately along strike from the Beyondie Magnetite resource, held by Cosmopolitan Minerals Ltd. The review will include anomalies identified from 3D modelling of a magnetic dataset acquired from surveys over the deposit and immediately surrounding area.

The results of this work will aid in assessing the significance of the geophysical anomalies and to confirm whether drill testing of these targets is warranted. Prospecting will also be conducted in other areas of the project that are considered prospective for gold and copper resources.

New Projects

During the period EMG advised that the Company was unable to reach commercial terms with the vendors of the Hong Kong based copper recycling business as announced in early November 2016. Accordingly, the Company ceased all negotiations and activities and will not be pursuing the potential acquisition.

The Company intends to continue to evaluate acquisition opportunities in the near term.

Corporate

On 8 November 2016, the Company advised that Mr David Rod has stepped down as a Director of the Company.

At the end of the Period the Company had 226,991,001 ordinary shares on issue and $1,291,562 in cash and at call deposits.

Events occurring after the balance date

Subsequent to the period on 20 July 2017 the Company advised that it intends to seek shareholder approval pursuant to ASX Listing Rule 11.2 for it to dispose of its 80% interest in the iron ore, vanadium and manganese rights on the Beyondie Iron Ore Project tenement (E52/2215) ( Beyondie Rights ).

The Company is intending to relinquish the Beyondie Rights pursuant to the joint venture agreement with the registered holder of the tenement De Grey Mining Ltd. The Beyondie Rights constitute the Company’s main undertaking pursuant to ASX Listing Rule 11.2 and will require shareholder approval to affect the relinquishment. The Company intends to dispatch a notice of extraordinary general meeting to approve the disposal of the Beyondie Rights as soon as practicable.

Other than as set out above there has not arisen in the interval between the end of the period and the date of this report any item, transaction or event of a material and unusual nature likely, in the opinion of the Directors of the Company to affect substantially the operations of the Company, the results of those operations or the state of affairs of the Company in subsequent financial years.

Significant Changes in the State of Affairs

Other than the above, there were no significant changes that occurred during the reporting period.

Emergent Resources Limited ABN 68 125 323 622

Summary of the Company’s Tenement Information

Tenement	Registered Holder	Company’s Interest	Area
E52/2215	De Grey Mining Ltd	80% (Iron Ore, Vanadium,Manganese)	142 km246 blocks

Competent Persons Statement

The information in this report that relates to Exploration Results has been prepared under the supervision of Mr Peter Sheehan, Principal Consultant with Newport Mining Services, and a member of the Australian Institute of Mining and Metallurgy (AusIMM). Mr Sheehan has sufficient experience which is relevant to the style of mineralisation under consideration and to the activity which he is undertaking 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” (the JORC Code), and consents to the inclusion in this report of the Information, in the form and context in which it appears.

Emergent Resources Limited ABN 68 125 323 622

DIRECTORS’ REPORT

The Directors present their report on Emergent Resources Limited for the year ended 30 June 2017.

Directors

The names and details of the Directors of Emergent Resources Limited during the financial year and until the date of this report are:

Edmond Yao

Non-Executive Chairman - appointed 16 November 2015

Mr Yao, who is a shareholder of EMG’s largest shareholder, International Natural Resources Inc., brings a wealth of experience in the technology, construction and energy sectors. Mr Yao is currently Chairman of The China Cable and Wire Association. Mr Yao has previously represented China Hua Dian Corp, one of the Big Five China Power EPC companies, during this period he was responsible for the construction of two national scale Thermal Power Stations and the largest power grid in Cambodia. Mr Yao possesses an extensive background in equity capital markets and corporate transactions.

Mr Yao held no other directorships of other ASX listed companies in the last three years.

Mr Bevan Tarratt BCom

Non-executive Director – appointed 12 August 2015

Mr Tarratt has an extensive background in capital markets, accounting and corporate advisory with a specific focus on small cap Australian equities. Mr Tarratt was previously a client advisor at Patersons Securities and partner of a venture capital firm. He has been involved in the re-capitalisation, restructuring and acquisition of assets for numerous ASX listed companies.

Directorships in other ASX Listed companies in the last three years: Pura Vida Energy NL (ASX:PVD): 1 August 2011 to 13 January 2014 Protean Energy Ltd (ASX:POW) : 12 June 2007 to present.

Jian-Hua Sang

Non-executive Director- appointed 17 September 2012

Mr Jian-Hua Sang trained in China and was the first Chinese postgraduate student studying Economic Geology in Western Australia. He has more than 25 years of international exploration, mining and corporate experience in Asia, Australia and Africa. He is a Director of International Natural Resources Limited, Emergent’s strategic investment partner and largest shareholder.

Directorships of other listed companies in the last three years: Chrysalis Resources Limited (ASX:CYS): 5 July 2013 to 1 December 2015.

David Rod (Former Director)

Non-executive Director – appointed 14 June 2016 – resigned 8 November 2016

Mr Rod has more than 30 years’ experience in both the legal profession and commercial enterprises. Davis successfully listed a number of companies in South Africa before emigrating to Australia in 1996. Since his arrival in Australia, David has completed a number of property developments and has grown Spectrum Legal Group into a successful boutique legal practice which is currently growing its large and diverse practice areas.

Company Secretary

Matthew Foy – appointed 25 January 2016

Matthew spent four years at the ASX and possesses core competencies in publicly listed and unlisted company secretarial, administration and governance disciplines. His working knowledge of ASIC and

Emergent Resources Limited ABN 68 125 323 622

ASX reporting, document drafting skills and an active role in the Governance Institute of Australia (GIA) State Governance Council ensure a valued contribution to entities.

His expertise is in corporate, commercial and securities law with an emphasis on capital raisings and mergers and acquisitions. He contributes general corporate and legal skills along with a strong knowledge of the ASX requirements.

Directors’ Interests

As at the date of this report the Directors’ interests in shares of the Company are as follows:

*Director*		*Directors’ Interests* *in Ordinary Shares*
Edmond Yao		-
Bevan Tarratt		-
Jian Hua Sang		-
David Rod(1)		-
1. Resigned 8 November 2016
irectors’ Meetings
he number of meetings of the Company’s Directors held during the year ended 30 June 2017, and the
umber of meetings attended by each	Director are as follows:
*Director*		*Board of Directors’ Meetings*
		*Held during term of office*	*Attended*
Edmond Yao		7	7
Bevan Tarratt		7	7
Jian Hua Sang		7	7
David Rod(resigned 8 Nov 2016)		3	3

Directors’ Meetings

The number of meetings of the Company’s Directors held during the year ended 30 June 2017, and the number of meetings attended by each Director are as follows:

Principal Activities

The principal activities of the Company during the financial year were exploration for iron, base metals and precious metals in Western Australia.

There were no significant changes in these activities during the financial year.

Results of Operations

The net loss after income tax for the financial year was $554,611 (2016: $1,862,176). Included in the loss for the year was an impairment charge in respect of the Company’s exploration assets of $118,817, (2016: $287,934) and a write-off of exploration expenditure capitalised of nil (2016: $1,296,210).

Dividends

No dividend has been paid since the end of the previous financial year and no dividend is recommended for the current year.

Review of Activities

During the period, the Company advised of the commencement of field activities at the Beyondie Magnetite project (E52/2215) in early February 2017. Initial work consisted of drill hole rehabilitation followed by an assessment of the target magnetite horizons immediately along strike from the Beyondie Magnetite resource, held by Cosmopolitan Minerals Ltd. The review will include anomalies identified from 3D modelling of a magnetic dataset acquired from surveys over the deposit and immediately surrounding area.

Emergent Resources Limited ABN 68 125 323 622

Financial Position

At the end of the financial year the Company had $1,291,562 (2016: $1,858,836) in cash and at call deposits. Capitalised mineral exploration and evaluation expenditure was nil (2016: $nil). Mineral exploration and evaluation expenditure during the year for the Company was $118,817 (2016: $127,990). Impairment of Capitalised mineral exploration and evaluation expenditure during the year for the Company was $118,817 (2016: $287,934) and expenditure written off was nil (2016: $1,296,210).

Expenditure was principally focused on the exploration for and evaluation of iron mineralisation, precious metals and base metals in Western Australia.

Significant Changes in the State of Affairs

Other than the Company’s announcement subsequent to the period that it intends to seek shareholder approval to dispose of its 80% interest in the Beyondie Rights, there have been no significant changes in the state of affairs of the Company during or since the end of the financial year.

Options Over Unissued Capital

As at the date of this report there are no listed or unlisted options over unissued shares in the Company.

Matters Subsequent to the End of the Financial Year

On 20 July 2017, the company advised that it intends to seek shareholder approval pursuant to ASX Listing Rule 11.2 for the Company to dispose of its 80% interest in the iron ore, vanadium and manganese rights on the Beyondie Iron Ore Project tenement (E52/2215) (Beyondie Rights).

Other than the above, there has not arisen in the interval between the end of the financial year and the date of this report any item, transaction or event of a material and unusual nature likely, in the opinion of the Directors of the Company to affect substantially the operations of the Company, the results of those operations or the state of affairs of the Company in subsequent financial years.

Likely Developments and Expected Results of Operations

The Company intends to seek shareholder approval to relinquish the Beyondie Rights in order to preserve capital for the purposes of identifying and assessing new project opportunities. Environmental Regulation and Performance

Emergent Resources Limited ABN 68 125 323 622

The Company holds various exploration licences to regulate its exploration activities in Australia. These licences include conditions and regulations with respect to the rehabilitation of areas disturbed during the course of its exploration activities.

So far as the Directors are aware, all exploration activities have been undertaken in compliance with all relevant environmental regulations.

Remuneration Report (Audited)

The following persons were Key management personnel for Emergent Resources Limited during the financial year:

Directors

Edmond Yao (Non-Executive Chairman) Bevan Tarratt (Non-executive Director) Jian-Hua Sang (Non-Executive Director) David Rod (Non-executive Director) (Resigned 8 November 2016)

Company Secretary

Matthew Foy (Company Secretary)

Remuneration Policy

Remuneration levels are competitively set to attract and retain appropriately qualified and experienced Directors and senior executives. Remuneration packages include fixed remuneration with bonuses or equity based remuneration entirely at the discretion of the Board based on the performance of the Company and Shareholder approval where required.

The Remuneration Report outlines Directors’ and executive remuneration arrangements of the Company. For the purposes of this report, Key Management Personnel are defined as those persons having authority and responsibility for planning, directing and controlling the major activities of the Company, including any Directors of the Company.

During the period, the Board performed the role of the Remuneration Committee. The Board is responsible for determining and reviewing the remuneration of the Directors and executives. The Board assesses the appropriateness of the nature and amount of the remuneration on a periodic basis by reference to market and industry conditions.

Fees and payment to Non-Executive Directors reflects the demands that are made on and the responsibilities of, the Directors from time to time. Total remuneration for all Non-Executive Directors was last voted on by shareholders on 30 November 2010, whereby it is not to exceed $300,000 per annum. Non-Executive Directors do not receive bonuses. Directors’ fees cover all normal Board activities.

At the date of this report the Company has not entered into any agreements with Directors or senior executives which include performance based components.

A Director may also be paid fees or other amounts as the Directors determine, if a Director performs special duties or otherwise performs duties outside the scope of the normal duties of a Director. A Director may also be reimbursed for out of pocket expenses incurred as a result of their directorship or any special duties.

Executive Employment Agreements

The Company has not entered into any executive employment agreement during the year.

Share Based Remuneration

The Company has not issue any share based remuneration during the year.

Emergent Resources Limited ABN 68 125 323 622

Remuneration Report (Audited) (continued)

Details of Remuneration for Key Management Personnel

During the year the Company identified the Company Directors and Company Secretary as Key Management Personnel for which disclosure is required.

Details of the remuneration of each Key Management Personnel of the Company are as follows:

Director and other Key Management Personnel			Short-term employee benefits	Short-term employee benefits	Post-employment benefits	Long-term benefits		Share-based payments
Employee	Year	Cash salary and fees	Cash bonus	Non-monetary benefits	Superannuation	Long service leave	Termination benefits	Options	Total	Performance based % of remuneration
Non-executive Directors
E Yao(1) Independent	2017 2016	58,600 34,125	- -	- -	- -	- -	- -	- -	58,600 34,125	- -
B Tarratt(2) Independent	2017 2016	58,600 38,500	- -	- -	5,510 3,515	- -	- -	- -	64,110 42,015	- -
J H Sang Independent	2017 2016	62,600 54,600	- -	- -	5,510 5,130	- -	- -	- -	68,110 59,730	- -
D Rod(3) Independent	2017 2016	21,150 2,550	- -	- -	2,009 -	- -	- -	- -	23,159 2,550	- -
S K Wong(4) Independent	2017 2016	- 9,225	- -	- -	- -	- -	- -	- -	- 9,225	- -
F Ismail(5) Independent	2017 2016	- 13,700	- -	- -	- 1,282	- -	- -	-	- 14,982	-
W Fischer(6) Independent	2017 2016	- 2,100	- -	- -	- 285	- -	- -	- -	- 2,385	- -
Other Key Management Personnel
M Foy(7) Company Secretary	2017 2016	28, 519 8,452	- -	- -	- -	- -	- -	- -	28,519 8,452	- -
P Burke(8) Company Secretary	2017 2016	- 18,500	- -	- -	- -	- -	- -	- -	- 18,500	- -
2017 Total	2017	229,469	-	-	13,029	-	-	-	242,498	-
2016 Total	2016	181,752	-	-	10,212	-	-	-	191,964	-

Emergent Resources Limited ABN 68 125 323 622

Remuneration Report (Audited) (continued)

(1) Non-executive Chairman appointed on 16 November 2015.
(2) Non-executive Director appointed 12 August 2015.
(3) Non-executive Director appointed 14 June 2016, resigned 8 November 2016
(4) Non-executive Director resigned 16 November 2015
(5) Non-executive Director resigned 16 November 2015
(6) Non-executive Director resigned 12 August 2015
(7) Company secretary appointed 15 January 2016
(8) Company secretary resigned 15 January 2016

Remuneration of Company Executives

Company Secretary fees paid during the year to Mr Foy were $24,000 (2016: $8,452) and form part of the Remuneration table of Key Management Personnel for the year ended 30 June 2017.

Share holdings by Key Management Personnel

The number of shares in the Company held during the financial year by key management personnel of the Company, including their personally related parties are set out below. There were no shares granted during the reporting period as compensation.

	2017 Name Balance at start of the year Received during the year on exercise of options Other changes during the year Balance at the end of the year *Current Directors* E Yao - - - - B Tarratt - - - J H Sang - - - - D Rod(1) - - - -

Resigned 8 November 2016

Note: Shareholding information for Key Management Personnel who were not Key Management Personnel for the whole year is only for that portion of the year during which they held a key management position. For the purpose of this table, shares held at appointment are assumed to have been held at 1 July and shares held at termination are assumed to be held at 30 June, with any acquisitions or disposals prior to appointment or after termination, not shown.

Loans made to key management personnel

No loans were made to key personnel, including personally related entities during the reporting period.

Other transactions with key management personnel

Matthew Foy is a Director of Minerva Corporate Pty Ltd. This firm provided a registered office to the Company during the year in the ordinary course of business. The value of the transactions in the financial year ended 30 June 2017 amounted to $3,150 (2016: $750)

There were no other transactions with key management personnel, other than as disclosed in the Remuneration Report .

END OF REMUNERATION REPORT

Emergent Resources Limited ABN 68 125 323 622

Officers’ Indemnities and Insurance

During the year the Company paid an insurance premium to insure certain officers of the Company. The officers of the Company covered by the insurance policy include the Directors named in this report.

The Directors and Officers Liability insurance provides cover against all costs and expenses that may be incurred in defending civil or criminal proceedings that fall within the scope of the indemnity and that may be brought against the officers in their capacity as officers of the Company. The insurance policy does not contain details of the premium paid in respect of individual officers of the Company. Disclosure of the nature of the liability cover and the amount of the premium is subject to a confidentiality clause under the insurance policy.

The Company has entered into an agreement to indemnify all Directors and Officers against all indemnifiable losses or liabilities incurred by each Director or Officer in their capacities as Directors and Officers of the Company. The Company has not provided any indemnity or insurance for an auditor of the Company.

Proceedings on behalf of the Company

No person has applied to the Court under section 237 of the Corporations Act 2001 for leave to bring proceedings on behalf of the Company, or to 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. No proceedings have been brought or intervened in on behalf of the Company with leave of the Court under section 237 of the Corporations Act 2001.

Corporate Governance

In recognising the need for the highest standards of corporate behaviour and accountability, the Directors of the Company support and have adhered to the principles of corporate governance. The Company’s Corporate Governance Statement is available on the Company’s website.

Non-audit Services

During the year Grant Thornton Audit Pty Ltd, the Company’s auditor, has performed no other services in addition to their statutory audit duties.

Total remuneration paid to auditors during the financial year: Audit and review of the Company’s financial statements Total	2017 2016 $ $ 34,812 31,387
	34,812 31,387

Auditor’s Independence Declaration

A copy of the Auditor’s Independence Declaration as required under Section 307C of the Corporations Act is set out on Page 11.

This report is made in accordance with a resolution of the Directors. Dated at Perth this 27[th] day of September 2017.

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Edmond Yao

Non-Executive Chairman

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Level 1 10 Kings Park Road West Perth WA 6005

Correspondence to: PO Box 570 West Perth WA 6872

T +61 8 9480 2000 F +61 8 9322 7787 E [email protected] W www.grantthornton.com.au

Auditor’s Independence Declaration To the Directors of Emergent Resources Ltd

In accordance with the requirements of section 307C of the Corporations Act 2001, as lead auditor for the audit of Emergent Resources Ltd for the year ended 30 June 2017, I declare that, to the best of my knowledge and belief, there have been:

a no contraventions of the auditor independence requirements of the Corporations Act 2001 in relation to the audit; and
b no contraventions of any applicable code of professional conduct in relation to the audit.

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GRANT THORNTON AUDIT PTY LTD Chartered Accountants

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C A Becker Partner - Audit & Assurance

Perth, 27 September 2017

Grant Thornton Audit Pty Ltd ACN 130 913 594

a subsidiary or related entity of Grant Thornton Australia Ltd ABN 41 127 556 389

‘Grant Thornton’ refers to the brand under which the Grant Thornton member firms provide assurance, tax and advisory services to their clients and/or refers to one or more member firms, as the context requires. Grant Thornton Australia Ltd is a member firm of Grant Thornton International Ltd (GTIL). GTIL and the member firms are not a worldwide partnership. GTIL and each member firm is a separate legal entity. Services are delivered by the member firms. GTIL does not provide services to clients. GTIL and its member firms are not agents of, and do not obligate one another and are not liable for one another’s acts or omissions. In the Australian context only, the use of the term ‘Grant Thornton’ may refer to Grant Thornton Australia Limited ABN 41 127 556 389 and its Australian subsidiaries and related entities. GTIL is not an Australian related entity to Grant Thornton Australia Limited.

Liability limited by a scheme approved under Professional Standards Legislation.

Emergent Resources Limited ABN 68 125 323 622

Statement of Profit or Loss and Other Comprehensive Income For the financial year ended 30 June 2017

Continuing operations Note Revenue and other income 5 Total revenue Employee expenses 6 Depreciation expenses 6 Impairment expense Exploration expenses written off 6 6 Other Loss before income tax Income tax benefit 7 Net loss for the year Other comprehensive income Total comprehensive loss for the year Earnings per share for loss attributable to the ordinary equity holders of the Company Basic (loss) per share (cents per share) 25 Diluted (loss) per share (cents per share) 25	2017 2016 $ $ 38,811 58,921
	38,811 58,921 (208,179) (161,006) (2,775) (3,660) (118,817) - (269,980) (1,270,325) (263,651) (216,126)
	(554,611) (1,862,176) - -
	(554,611) (1,862,176) - -
	(554,611) (1,862,176)
	(0.24) (0.1)
	(0.24) (0.1)

Reclassification and comparative figures

Certain re-classifications have been made to the prior year’s financial statements to enhance comparability with the current financial year’s financial statement to group expenses in accordance with their nature.

As a result, certain line items have been amended in the statement of profit or loss and other comprehensive income, and the related notes to the financial statements. Comparative figures have been adjusted to conform to the current year’s presentation.

Administration expenses Corporate expenses Occupancy expenses Other expenses	Previously reported After re- classification 2016 2016 $ $
	(151,430) - (57,173) - (7,523) - - (216,126)

The above statement of profit or loss and comprehensive income should be read in conjunction with the accompanying notes.

Emergent Resources Limited ABN 68 125 323 622

Statement of Financial Position As at 30 June 2017

Note Current assets Cash and cash equivalents 8 Trade and other receivables 9 Total current assets Non-current assets Property, plant and equipment 10 Capitalised mineral exploration and evaluation expenditure 11 Total non-current assets Total assets Current liabilities Trade and other payables 12 Total current liabilities Total liabilities Net assets Equity Issued capital 13 Accumulated losses 14 Total equity	2017 2016 $ $ 1,291,562 1,858,836 11,415 11,090
	1,302,977 1,869,926
	12,712 15,487 - -
	12,712 15,487
	1,315,689 1,885,413
	36,689 51,802
	36,689 51,802
	36,689 51,802
	1,279,000 1,833,611
	19,375,907 19,375,907 (18,096,907) (17,542,296)
	1,279,000 1,833,611

The above statement of financial position should be read in conjunction with the accompanying notes.

Emergent Resources Limited ABN 68 125 323 622

Statement of Changes in Equity For the financial year ended 30 June 2017

Note Balance at 30 June 2015 Total comprehensive income/(loss) for the financial year 14 Shares issued during the financial year 13 Share issue costs 13	Issued capital Accumulated losses Total $ $ $ 19,375,907 (15,680,120) 3,695,787 - (1,862,176) (1,862,176) - - - - - -
Balance at 30 June 2016	19,375,907 (17,542,296) 1,833,611

Total comprehensive income/(loss) for the financial year 14	- (554,611) (554,611)
Shares issued during the financial year 13	- - -
Share issue costs 13	- - -
Balance at 30 June 2017	19,375,907 (18,096,907) 1,279,000

The above statement of changes in equity should be read in conjunction with the accompanying notes.

Emergent Resources Limited ABN 68 125 323 622

Statement of Cash Flows For the financial year ended 30 June 2017

Note Cash flows from operating activities Interest received Payments to suppliers and employees Net cash used in operating activities 24 Cash flows from investing activities Payments for exploration and evaluation Net cash used in investing activities Net (decrease)/ increase in cash held Cash and cash equivalents at the beginning of the financial year Cash and cash equivalents at the end of the financial year 8	2017 2016 $ $ 41,270 59,856 (491,742) (352,232)
	(450,472) (292,376)
	(116,802) (40,627)
	(116,802) (40,627)
	(567,274) (333,003) 1,858,836 2,191,839
	1,291,562 1,858,836

The above statement of cash flows should be read in conjunction with the accompanying notes.

Emergent Resources Limited ABN 68 125 323 622

Note 1 Summary of significant accounting policies

The principal accounting policies adopted in the preparation of the financial report are set out below. These policies have been consistently applied to all the years presented, unless otherwise stated. The financial report includes financial statements for Emergent Resources Limited as a single entity (“Company”).

(a) Basis of preparation

This general purpose financial report has been prepared in accordance with Australian Accounting Standards, other authoritative pronouncements of the Australian Accounting Standards Board, Australian Accounting Interpretations and the Corporations Act 2001, as appropriate for for-profit oriented entities.

The financial report is presented in Australian dollars and all values are rounded to the nearest dollar.

The financial report of the Company was authorised for issue in accordance with a resolution of Directors on 27 September 2017.

Statement of Compliance

The financial report of Emergent Resources Limited complies with Australian Accounting Standards in their entirety. Compliance with Australian Accounting Standards ensures that the financial report also complies with International Financial Reporting Standards (IFRS) in their entirety.

Reporting basis and conventions

These financial statements have been prepared under the historical cost convention, and on an accrual basis.

Critical accounting estimates

The preparation of financial statements in conformity with Australian Accounting Standards requires the use of certain critical accounting estimates. It also requires management to exercise its judgement in the process of applying the Company’s accounting policies. 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 note 3.

Going concern

The financial report has been prepared on the going concern basis, which contemplates the continuity of normal business activity and the realisation of assets and the settlement of liabilities in the normal course of business.

As disclosed in the financial statements, the company recorded an operating loss of $554,611, and a cash outflow from operating activities of $450,472 for the year ended 30 June 2017 and at balance date, had net current assets of $1,266,288.

Should the company not be successful in obtaining adequate funding or cashflows are not as planned, there is a material uncertainty as to the ability of the group to continue as a going concern and to realise its assets and extinguish its liabilities in the ordinary course of business.

The financial statements do not include any adjustments relating to the recoverability and classification of recorded asset amounts or to the amounts and classification of liabilities that might be necessary should the consolidated entity not continue as a going concern.

(b) Segment reporting

Operating segments are identified and segment information disclosed, where appropriate, on the basis of internal reports reviewed by the Company’s Board of Directors, being the Company’s Chief Operating Decision Maker, as defined by AASB 8.

Emergent Resources Limited ABN 68 125 323 622

Notes to the Financial Statements For the financial year ended 30 June 2017

(c) Revenue recognition and receivables

Revenue is measured at the fair value of the consideration received or receivable. Amounts disclosed as revenue are net of returns, allowances and amounts collectable on behalf of third parties.

Interest income

Interest income is recognised on a time proportion basis and is recognised as it accrues.

(d) Income tax

The income tax expense or revenue for the period is the tax payable on the current period’s taxable income based on the national income tax rate for each jurisdiction adjusted by changes in deferred tax assets and liabilities attributable to the temporary differences between the tax bases of assets and liabilities and their carrying amounts in the financial statements, and to unused tax losses.

Deferred tax assets and liabilities are recognised for temporary timing differences at the tax rates expected to apply when the assets are recovered or liabilities are settled, based on those tax rates which are enacted or substantially enacted for each jurisdiction. The relevant tax rates are applied to the cumulative amounts of deductible and taxable temporary differences to measure the deferred tax asset or liability. An exception is made for certain temporary differences arising from the initial recognition of an asset or a liability. No deferred tax asset or liability is recognised in relation to those timing differences if they arose in a transaction, other than a business combination, that at the time of the transaction did not affect either accounting profit or taxable profit or loss.

Deferred tax assets are recognised for deductible temporary differences and unused tax losses only if it is probable that future taxable amounts will be available to utilise those temporary differences and losses.

Deferred tax liabilities and assets are not recognised for temporary differences between the carrying amount and tax bases of investments in controlled entities where the parent is able to control the timing of the reversal of the temporary differences and it is probable that the differences will not reverse in the foreseeable future.

Deferred tax assets and liabilities are offset when there is a legally enforceable right to offset current tax assets and liabilities and when the deferred tax balances relate to the same taxation authority. Current tax assets and liabilities are offset where the entity has a legally enforceable right to offset and intends either to settle on a net basis, or to realise the asset and settle the liability simultaneously.

Current and deferred tax balances attributable to amounts recognised directly in equity are also recognised directly in equity.

(e) Leases

Leases in which a significant portion of the risks and rewards of ownership are retained by the lessor are classified as operating leases. Payments made under operating leases (net of any incentives received from the lessor) are charged to the statement of profit or loss and other comprehensive income on a straight-line basis over the period of the lease.

Emergent Resources Limited ABN 68 125 323 622

Notes to the Financial Statements For the financial year ended 30 June 2017

(f) Impairment of financial assets

The Company assesses at each reporting date whether a financial asset or group of financial assets is impaired.

Financial assets carried at amortised cost

If there is objective evidence that an impairment loss on loans and receivables carried at amortised cost has been incurred, the amount of the loss is measured as the difference between the asset’s carrying amount and the present value of estimated future cash flows (excluding future credit losses that have not been incurred) discounted at the financial asset’s original effective interest rate (i.e. the effective interest rate computed at initial recognition). The carrying amount of the asset is reduced either directly or through use of an allowance account. The amount of the loss is recognised in profit or loss.

The Company first assesses whether objective evidence of impairment exists individually for financial assets that are individually significant, and individually or collectively for financial assets that are not individually significant. If it is determined that no objective evidence of impairment exists for an individually assessed financial asset, whether significant or not, the asset is included in a group of financial assets with similar credit risk characteristics and that group of financial assets is collectively assessed for impairment. Assets that are individually assessed for impairment and for which an impairment loss is or continues to be recognised are not included in a collective assessment of impairment.

If, in a subsequent period, the amount of the impairment loss decreases and the decrease can be related objectively to an event occurring after the impairment was recognised, the previously recognised impairment loss is reversed. Any subsequent reversal of an impairment loss is recognised in profit or loss, to the extent that the carrying value of the asset does not exceed its amortised cost at the reversal date.

Financial assets carried at cost

If there is objective evidence that an impairment loss has been incurred on an unquoted equity instrument that is not carried at fair value (because its fair value cannot be reliably measured), or on a derivative asset that is linked to and must be settled by delivery of such an unquoted equity instrument, the amount of the loss is measured as the difference between the asset’s carrying amount and the present value of estimated future cash flows, discounted at the current market rate of return for a similar financial asset. Such impairment loss shall not be reversed in subsequent periods.

(g) Cash and cash equivalents

For cash flow statement presentation purposes, cash and cash equivalents includes cash on hand, deposits held at call with financial institutions, other short term, highly liquid investments with original maturities of three months or less that are readily convertible to known amounts of cash and which are subject to an insignificant risk of changes in value.

Emergent Resources Limited ABN 68 125 323 622

Notes to the Financial Statements For the financial year ended 30 June 2017

(h) Property, plant and equipment

Property, plant and equipment are stated at historical cost less depreciation. Historical cost includes expenditure that is directly attributable to the acquisition of the assets.

Subsequent costs are included in the asset’s carrying amount or recognised as a separate asset, as appropriate, only when it is probable that future economic benefits associated with the item will flow to the Company and the cost of the item can be measured reliably. All other repairs and maintenance are charged to the statement of profit or loss and other comprehensive income during the financial period in which they are incurred.

Depreciation of property, plant and equipment is calculated using the straight line and written down value methods to allocate their cost, net of residual values, over their estimated useful lives, as follows: Field equipment 5 - 33.3% Office equipment 5 - 50% Motor Vehicles 10 - 25%

The asset’s residual values and useful lives are reviewed, and adjusted if appropriate, at each balance date.

An asset’s carrying amount is written down immediately to its recoverable amount if the asset’s carrying amount is greater than its estimated recoverable amount (note 1(f)). Gains and losses on disposal are determined by comparing proceeds with the carrying amount. These gains and losses are included in profit or loss.

(i) Mineral exploration and evaluation expenditure

Mineral exploration and evaluation expenditure incurred is accumulated in respect of each identifiable area of interest. These costs are carried forward only if they relate to an area of interest for which rights of tenure are current and in respect of which:

such costs are expected to be recouped through the successful development and exploitation of
the area of interest, or alternatively by its sale; or
exploration and/or evaluation activities in the area have not reached a stage which permits a
reasonable assessment of the existence or otherwise of economically recoverable reserves and active or significant operations in, or in relation to, the area of interest are continuing.

• In the event that an area of interest is abandoned or if the Directors consider the expenditure to be of reduced value, accumulated costs carried forward are written off in the year in which that assessment is made. A regular review is undertaken of each area of interest to determine the appropriateness of continuing to carry forward costs in relation to that area of interest.

• Immediate restoration, rehabilitation and environmental costs necessitated by exploration and evaluation activities are expensed as incurred and treated as exploration and evaluation expenditure. Exploration activities resulting in future obligations in respect of restoration costs result in a provision to be made by capitalising the estimated costs, on a discounted cash basis, of restoration and depreciating over the useful life of the asset. The unwinding of the effect of the discounting on the provision is recorded as a finance cost in profit or loss.

(j) Joint Arrangements

A joint arrangement in which the Company has direct rights to the underlying assets and obligations for underlying liabilities is classified as a joint operation.

Interests in joint operations are accounted for by recognising the Company’s assets (included its share of any assets held jointly), its liabilities (including its share of any liabilities incurred jointly) and its share of the expenses (including its share of any expenses incurred jointly).

Emergent Resources Limited ABN 68 125 323 622

Notes to the Financial Statements For the financial year ended 30 June 2017

(k) Trade and other payables

These amounts represent liabilities, at amortised cost, for goods and services provided to the Company prior to the end of the financial year which are unpaid. The amounts are unsecured and usually paid within the payment terms negotiated with the creditor.

(l) Employee benefits

Wages, salaries and annual leave.

Liabilities for wages and salaries, including non-monetary benefits, and annual leave expected to be settled wholly within 12 months of the reporting date are recognised in other payables in respect of employees’ services up to the reporting date and are measured at the amounts expected to be paid when the liabilities are settled.

Long service leave.

The liability for long service leave is recognised in the provision for employee benefits and measured as the present value of expected future payments to be made in respect of services provided by employees up to the reporting date using the projected unit credit method. Consideration is given to expected future salaries, experience of employee departures and periods of service. Expected future payments are discounted using market yields at the reporting date on high quality corporate bonds with terms to maturity and currency that match, as closely as possible, the estimated future cash outflows.

Share based payments.

Share based compensation payments are made available to Directors and employees.

The fair value of options granted is recognised as an employee benefit expense with a corresponding increase in equity. The fair value is measured at grant date and recognised over the period during which the employees become unconditionally entitled to the options.

The fair value at grant date is independently determined using a Black-Scholes option pricing model that takes into account the exercise price, the term of the option, the impact of dilution, the share price at grant date and expected price volatility of the underlying share, the expected dividend yield and the risk-free rate for the term of the option.

The fair value of the options granted is adjusted to reflect market vesting conditions. Non-market vesting conditions are included in assumptions about the number of options that are expected to become exercisable. At each balance date, the entity revises its estimate of the number of options that are expected to become exercisable. The employee benefit expense recognised each period takes into account the most recent estimate.

Upon the exercise of options, the balance of the share based payments reserve relating to those options is transferred to share capital and the proceeds received, net of any directly attributable transaction costs, are credited to share capital.

(m) Issued capital

Ordinary shares are classified as equity.

Incremental costs directly attributable to the issue of new shares or options are shown in equity as a deduction, net of tax, from the proceeds.

Emergent Resources Limited ABN 68 125 323 622

Notes to the Financial Statements For the financial year ended 30 June 2017

(n) Earnings per share

Basic earnings per share

Basic earnings per share is calculated by dividing the earnings attributable to equity holders of the Company, excluding any costs of servicing equity other than ordinary shares, by the weighted average number of ordinary shares outstanding during the financial year, adjusted for bonus elements in ordinary shares issued during the year.

Diluted earnings per share

Diluted earnings per share adjusts the figures used in the determination of basic earnings per share to take into account the after income tax effect of interest and other financing costs associated with dilutive potential ordinary shares and the weighted average number of shares assumed to have been issued for no consideration in relation to dilutive potential ordinary shares.

(o) Goods and services tax (GST)

Revenues, expenses, assets commitments and contingencies are recognised net of the amount of associated GST, unless the GST incurred is not recoverable from the taxation authority. In this case it is recognised as part of the cost of acquisition of the asset or as a part of the expense.

Receivables and payables are stated inclusive of the amount of GST receivable or payable. The net amount of GST recoverable from, or payable to, the taxation authority is included with other receivables or payables in the balance sheet.

Cash flows are presented on a gross basis. The GST components of cash flows arising from investing or financing activities which are recoverable from, or payable to, the taxation authority, are presented as operating cash flow.

(p) Comparative figures

When required by Accounting Standards, comparative figures have been adjusted to conform to changes in presentation for the current financial year.

(q) Financial instruments

Recognition

When financial assets are recognised initially, they are measured at fair value, plus in the case of investments not at fair value through profit or loss, directly attributable transaction costs. The Company determines the classification of its financial assets after initial recognition and, when allowed and appropriate, re-evaluates this designation at each financial year-end.

All regular way purchases and sales of financial assets are recognised on the trade date, i.e. the date that the Company commits to purchase the asset. Regular way purchases or sales are purchases or sales of financial assets under contracts that require delivery of the assets within the period established generally by regulation or convention in the marketplace.

Financial assets at fair value through profit or loss

Financial assets classified as held for trading are included in the category ‘financial assets at fair value through profit or loss’. Financial assets are classified as held for trading if they are acquired for the purpose of selling in the near term. Derivatives are also classified as held for trading unless they are designated as effective hedging instruments. Gains or losses on investments held for trading are recognised in profit or loss.

Emergent Resources Limited ABN 68 125 323 622

Notes to the Financial Statements For the financial year ended 30 June 2017

(q) Financial instruments (continued)

Held-to-maturity investments

Non-derivative financial assets with fixed or determinable payments and fixed maturity are classified as held-to-maturity when the Company has the positive intention and ability to hold to maturity. Investments included to be held for an undefined period are not included in this classification. Investments that are intended to be held-to-maturity, such as bonds, are subsequently measured at amortised cost. This cost is computed as the amount initially recognised minus principal repayments, plus or minus the cumulative amortisation using the effective interest method of any difference between the initially recognised amount and the maturity amount. This calculation includes all fees and points paid or received between parties to the contract that are an integral part of the effective interest rate, transaction costs and all other premiums and discounts. For investments carried at amortised cost, gains and losses are recognised in profit or loss when the investments are derecognised or impaired, as well as through the amortisation process.

Loans and receivables

Loans and receivables are non-derivative financial assets with fixed or determinable payments that are not quoted in an active market and are stated at amortised cost using the effective interest rate method.

Financial liabilities

Non-derivative financial liabilities are recognised at amortised cost, comprising original debt less principal payments and amortisation.

(r) Fair value estimation

A number of the Company’s accounting policies and disclosures require the determination of fair value, for both financial and non-financial assets and liabilities. Fair values have been determined for measurement and/or disclosure purposes based on the following methods:

Investments in equity and debt securities

The fair value of financial assets at fair value through profit or loss, held to maturity investments and available for sale financial assets is determined by reference to their quoted bid price at the reporting date. The fair value of held to maturity investments is determined for disclosure purposes only. For investments with no active market, fair value is determined using valuation techniques. Such techniques include using recent arm’s length market transactions, reference to the current market value of another instrument that is substantially the same, discounted cash flow analysis and option pricing models.

Trade and other receivables

The fair value of trade and other receivables is measured at their fair value at the reporting date.

Emergent Resources Limited ABN 68 125 323 622

Notes to the Financial Statements For the financial year ended 30 June 2017

(s) Adoption of new and revised standards

In the year ended 30 June 2017, the Directors have reviewed all of the new and revised Standards and Interpretations issued by the AASB that are relevant to the Company’s operations and effective for the current annual reporting period.

A number of new or amended standards became applicable for the current reporting period, however, the Company did not have to change its accounting policies or make retrospective adjustments as a result of adopting these standards. Information on these new standards which are relevant to the Company is presented below.

AASB 9 Financial Instruments

AASB 9, published in July 2014, replaces the existing guidance in IAS 39 Financial Instruments: Recognition and Measurement . IFRS 9 includes revised guidance on the classification and measurement of financial instruments, a new expected credit loss model for calculating impairment on financial assets, and new general hedge accounting requirements. It also carries forward the guidance on recognition and de-recognition of financial instruments from IAS 39.

AASB 9 is effective for annual reporting periods beginning on or after 1 January, 2018, with early adoption permitted.

The entity is yet to undertake a detailed assessment of the impact of IFRS 9. However, based on the entity’s preliminary assessment, the Standard is not expected to have a material impact on the transactions and balances recognised in the financial statements when it is first adopted for the year ending 30 June 2019.

AASB 15 Revenue from Contracts with Customers

AASB 15 establishes a comprehensive framework for determining whether, how much, and when revenue is recognised. It replaces exiting revenue recognition guidance, including IAS 18 Revenue , IAS 11 Construction Contracts , and IFRC 13 Customer Loyalty Programmes .

AASB 15 is effective for annual reporting periods beginning on or after 1 January 2018, with early adoption permitted.

The entity is yet to undertake a detailed assessment of the impact of AASB 15. However, based on the entity’s preliminary assessment, the Standard is not expected to have a material impact on the transactions and balances recognised in the financial statements when it is first adopted for the year ending 30 June 2019.

AASB 16 Leases

AASB 16:

replaces AASB 117 Leases and some lease-related Interpretations
requires all leases to be accounted for ‘on-balance sheet’ by lessees, other than short-term and low value asset leases
provides new guidance on the application of the definition of lease and on sale and lease back accounting
largely retains the existing lessor accounting requirements in AASB 117
requires new and different disclosures about leases.

The entity is yet to undertake a detailed assessment of the impact of AASB 16. However, based on the entity’s preliminary assessment, the Standard is not expected to have a material impact on the transactions and balances recognised in the financial statements when it is first adopted for the year ending 30 June 2020.

Emergent Resources Limited ABN 68 125 323 622

Notes to the Financial Statements For the financial year ended 30 June 2017

Note 2 Financial risk management

The Company has exposure to a variety of risks arising from its use of financial instruments. This note presents information about the Company’s exposure to the specific risks, and the policies and processes for measuring and managing those risks. The Board of Directors has the overall responsibility for the risk management framework and has adopted a Risk Management Policy.

(a) Credit risk

Credit risk is the risk of financial loss to the Company if a customer or counterparty to a financial instrument fails to meet its contractual obligations, and arises principally from transactions with customers and investments.

Trade and other receivables

The Company has no investments and the nature of the business activity of the Company does not result in trading receivables. The receivables that the Company does experience through its normal course of business are short term and the risk of recovery of no recovery of receivables is considered to be negligible.

Cash deposits

The Company’s bankers are ANZ Limited and Westpac Banking Corporation and, at reporting date, all operating accounts and funds held on deposit are with these banks. The Directors believe any risk associated with the use of these banks is addressed through the use of an AA- rated bank as the primary banker. Except for this matter the Company currently has no significant concentrations of credit risk.

(a) Liquidity risk

Liquidity risk is the risk that the Company will not be able to meet its financial obligations as they fall due. The Company’s approach to managing liquidity is to ensure, as far as possible, that it will always have sufficient liquidity to meet its liabilities when due, under both normal and stressed conditions, without incurring unacceptable losses or risking damage to the Company’s reputation.

The Company manages its liquidity risk by monitoring its cash reserves and forecast spending. Management is cognisant of the future demands for liquid finance resources to finance the Company’s current and future operations, and consideration is given to the liquid assets available to the Company before commitment is made to future expenditure or investment. If the Company does not raise capital, it can continue as a going concern by reducing planned but not committed expenditure until funding is available or joint venture arrangements can be entered into.

(b) Market risk

Market risk is the risk that changes in market prices, such as foreign exchange rates, interest rates and equity prices will affect the Company’s income or the value of its holdings of financial instruments. The objective of market risk management is to manage and control market risk exposures within acceptable parameters, while optimising any return.

Interest rate risk

The Company has significant cash assets which may be susceptible to fluctuations in changes in interest rates. Whilst the Company requires the cash assets to be sufficiently liquid to cover any planned or unforeseen future expenditure, which prevents the cash assets being committed to long term fixed interest arrangements; the Company does mitigate potential interest rate risk by entering into short to medium term fixed interest investments.

Other market risks

Emergent Resources Limited ABN 68 125 323 622

Notes to the Financial Statements For the financial year ended 30 June 2017

The Company does not have any direct contact with foreign exchange or equity risks other than their effect on the general economy.

(c) Capital management

The Board of Directors monitors capital expenditure and cash flows as mentioned in (b). The Company’s capital structure may be amended by the issue of equity securities or by entering in to other finance arrangements as necessary to fund the Company’s operations and to continue as a going concern.

The Company’s current capital structure has been comprised entirely of equity based securities since its incorporation, and has no externally imposed capital requirements to which it is subject to, other than the requirements of the Corporations Act and ASX Listing Rules. There has been no material change to the composition of the Company’s capital in this or prior reporting periods.

Note 3 Critical accounting estimates and judgements

Estimates and judgements are continually evaluated and are based on historical experience and other factors, including expectations of future events that may have a financial impact on the Company and that are believed to be reasonable under the circumstances.

Accounting for capitalised exploration and evaluation expenditure

The Company’s accounting policy is stated at Note 1(i). There is some subjectivity involved in the carrying forward as capitalised or writing off to the statement of profit or loss and other comprehensive income, however the Board and management give due consideration to areas of interest on a regular basis and are confident that decisions to either write off or carry forward such expenditure reflect fairly the prevailing situation. In the year ended 30 June 2017 an amount of $nil has been written off (2016: $1,296,210).

Impairment

The future recoverability of capitalised exploration and evaluation expenditure is dependent upon a number of factors, including whether the Group decides to exploit the related lease itself or, if not, whether it successfully recovers the related exploration and evaluation asset through sale. Factors that could impact future recoverability include the level of reserves and resources, future technological changes which could impact the cost of mining, future legal changes (including changes to environmental restoration obligations) and changes to commodity prices.

To the extent that capitalised exploration and evaluation expenditure is determined not to be recoverable in the future, profits and net assets will be reduced in the period in which the determination is made.

In addition, exploration and evaluation expenditure is capitalised if activities in an area of interest have not yet reached a stage that permits a reasonable assessment of the existence or otherwise of economically recoverable reserves. To the extent it is determined in the future that this capitalised expenditure should be written off, profits and net assets will be reduced in the period in which the determination is made.

The Company assesses impairment at the end of each reporting period by evaluating conditions and events specific to the Company that may be indicative of impairment triggers. Where an impairment trigger exists, the recoverable amount of the asset is determined.

In the year ended 30 June 2017 an amount of $118,817 (2016: $287,934) has been impaired. (Note 11).

Emergent Resources Limited ABN 68 125 323 622

Notes to the Financial Statements For the financial year ended 30 June 2017

Note 4 Segment information

The Company has identified its operating segments based on the internal reports that are reviewed and used by the Board of Directors in assessing performance and determining the allocation of resources. Reportable segments disclosed are based on aggregating operating segments, where the segments have similar characteristics. The Company’s only material reportable segment for the financial period has been identified as the Beyondie Project in the Mid-West region of Western Australia.

Capitalised exploration for the year: Beyondie Project Other Result for the year: Beyondie Project Other Total segment assets: Beyondie Project Other Note 5 Revenue Interest income Note 6 Loss for the year Loss before income tax includes the following specific expenses: Depreciation: Office equipment Plant and equipment Employee expenses Defined contribution superannuation expense Directors’ fees Impairment expense Exploration expenditure written off	2017 2016 $ $ 118,817 127,989 - -
	118,817 127,989
	(118,817) (1,584,144) (435,794) (278,032) (554,611) (1,862,176) - - 1,315,689 1,885,413
	1,315,689 1,885,413
	38,811 58,921
	38,811 58,921
	2017 2016 $ $ 1,626 2,218 1,149 1,442
	2,775 3,660
	13,029 10,456 195,150 150,550
	208,179 161,006
	(118,817) (269,980)
	- (1,270,325)

Emergent Resources Limited ABN 68 125 323 622

Notes to the Financial Statements For the financial year ended 30 June 2017

Note 7 Income tax a) Income tax expense Current income tax: Current income tax charge (benefit) Deferred income tax: Relating to origination and reversal of timing differences Income tax expense reported in statement of profit or loss and other comprehensive income b) Reconciliation of income tax expense to prima facie tax payable Loss from continuing operations before income tax expense Tax at the Australian rate of 27.5% (2016 – 30%) Tax effect of permanent differences: Exploration costs written off Impairment charge Capital raising costs Net deferred tax asset benefit not brought to account Tax (benefit)/expense c) Deferred tax balances Recognised Deferred Tax Balances Deferred Tax Asset: Tax losses carried forward Deferred Tax Liabilities: Exploration expenditure capitalised Other deferred tax balances Deferred Tax Liability Net recognised deferred tax balances d) Unrecognised Deferred Tax Balances: Deferred tax assets comprise: Tax losses carried forward Other deferred tax balances Net unrecognised deferred tax asset	2017 2016 $ $ - (558,651) - 558,651
	- -
	(554,617) (1,862,176)
	(152,520) (558,651) - 388,863 32,675 86,380 - (4,069) 119,845 87,477
	- -
	1,776 2,649 - - 1,776 2,649
	1,776 2,649
	- - 4,804, 008 5,110,025 9,079 9,694
	4,813, 088 5,119,719

Emergent Resources Limited ABN 68 125 323 622

Notes to the Financial Statements For the financial year ended 30 June 2017

Note 7 Income tax (continued)

Potential deferred tax assets attributable to tax losses and capital losses carried forward have not been brought to account because the Directors do not believe it is appropriate to regard realisation of the future tax benefit as probable.

e) Income tax benefit not recognised directly in equity during the year Capital raising costs

1,682 6,115

Note 8 Current assets - Cash and cash equivalents

(a) Reconciliation to cash at the end of the year

The figures below are reconciled to cash at the end of the financial year as shown in the cash flow statement as follows:

Cash at bank Deposits at call Cash and cash equivalents per statement of cash flows	101,562 90,011 1,190,000 1,768,825
	1,291,562 1,858,836

(b) Deposits at call

The deposits are bearing fixed interest rates of between 2.10% and 3.07% (2016: 2.91% and 3.07%).

Note 9 Current assets – Trade and other receivables

Prepayments Accrued interest GST recoverable	2,906 2,816 3,554 6,012 4,955 2,262
	11,415 11,090

Details of fair value and exposure to interest risk are included at Note 15.

Note 10 Non-current assets – Property, plant and equipment

Office equipment At cost Accumulated depreciation Plant and equipment At cost Accumulated depreciation	40,909 40,909 (34,478) (32,852)
	6,431 8,057
	21,254 21,254 (14,973) (13,824)
	6,281 7,430
	12,712 15,487

Emergent Resources Limited ABN 68 125 323 622

Notes to the Financial Statements For the financial year ended 30 June 2017

Note 10 Non-current assets – Property, plant and equipment (continued)

*Reconciliation of movements:* Office equipment Net book value at start of the year Additions Disposal Depreciation Net book value at end of the year Plant and equipment Net book value at start of the year Additions Disposal Depreciation Net book value at end of the year	2017 2016 $ $ 8,057 10,275 - - - - (1,626) (2,218)
	6,431 8,057
	7,430 8,872 - - - - (1,149) (1,442)
	6,281 7,430

	12,712 15,487

No items of property, plant and equipment have been pledged as security by the Company.

Note 11 Non-current assets – Capitalised mineral exploration and evaluation expenditure

In the exploration and evaluation phase: Capitalised exploration costs at the start of the year Exploration costs capitalised during the year Exploration costs written off during the year Exploration costs impaired during the year Capitalised exploration costs at the end of the year	- 1,500,000 118,817 40,305 - (1, 270,328) (118,817) (269,980)
	- -

The recoverability of the carrying amount of the exploration and evaluation assets is dependent upon successful development and commercial exploitation, or alternatively, sale of the respective areas of interest.

During the 2017 financial year it was decided by the Board and management to provide impairment on all of its capitalised exploration projects. The basis for impairment was comparable peer transactions within the past 6 months together with comparable peer value based on enterprise value per resource tonne of iron ore. This resulted in an impairment charge totalling $118,817 (2016: $269, 980).

Emergent Resources Limited ABN 68 125 323 622

Notes to the Financial Statements For the financial year ended 30 June 2017

Note 12 Current liabilities - Trade and other payables

Note 12 Current liabilities -Trade and other payables
Trade payables Sundry payables and accrued expenses	2017 2016 $ $ 9,789 25,750 26,900 26,052
	36,689 51,802

Liabilities are not secured over the assets of the Company. Details of fair value and exposure to interest risk are included at note 15.

Note 13 Issued capital

a) Ordinary shares

The Company is a public company limited by shares. The Company was incorporated in Perth, Western Australia.

The Company’s shares are limited whereby the liability of its members is limited to the amount (if any) unpaid on the shares respectively held by them.

Ordinary shares entitle the holder to participate in dividends and the proceeds on winding up of the Company in proportion to the number of and amounts paid on the shares held.

On a show of hands every holder of ordinary shares present at a meeting in person or by proxy, is entitled to one vote, and upon a poll each share is entitled to one vote.

Ordinary shares have no par value. There is no limit to the authorised share capital of the Company.

b) Share capital Fully paid ordinary shares c) Share movements during the year Issue price At the beginning of the year Placement Less: costs related to shares issued At the end of the year	2017 2016 2017 2016 No. No. $ $ *226,991,001* 226,991,001 *19,375,907* 19,375,907
	*226,991,001* 226,991,001 *19,375,907* 19,375,907 - - - - - - - -
	226,991,001 226,991,001 19,375,907 19,375,907

Note 14 Accumulated losses

Accumulated losses: At the beginning of the year Loss for the year Balance at the end of the year	2017 2016 $ $ (17,542,296) (15,680,120) (554,611) (1,862,176)
	(18,096,907) (17,542,296)

Emergent Resources Limited ABN 68 125 323 622

Notes to the Financial Statements For the financial year ended 30 June 2017

Note 15 Financial instruments

Credit risk

The Directors do not consider that the Company’s financial assets are subject to anything more than a negligible level of credit risk, and as such no disclosures are made, note 2(a).

Impairment losses

The Directors do not consider that any of the Company’s financial assets are subject to impairment at the reporting date. No impairment expense or reversal of impairment charge has occurred during the reporting period.

Liquidity risk

The following are the contractual maturities of financial liabilities, including estimated interest payments and excluding the impact of netting agreements, note 2(b):

2017 Trade payables 2016 Trade payables	Carrying amount Contractual cash flows 6 months or less 6-12 months 1-2 years 2- 5years More than 5 years $ $ $ $ $ $ $ 9,789 9,789 9,789 - - - -
	9,789 9,789 9,789 - - - -
	Carrying amount Contractual cash flows 6 months or less 6-12 months 1-2 years 2- 5years More than 5 years $ $ $ $ $ $ $ 25,750 25,750 25,750 - - - -
	25,750 25,750 25,750 - - - -

Interest rate risk

At the reporting date the interest profile of the Company’s interest-bearing financial instruments was:

Variable rate instruments Financial assets	Carrying amount ($) 2017 2016 1,291,562 1,858,836

The weighted average effective interest rates for financial assets at 30 June 2017 is 2.23% (2016: 2.37%). The weighted average maturity period for these financial assets as at 30 June 2017 is nil months (2016: nil months).

Cash flow sensitivity analysis for variable rate instruments

A change of 50 basis points in interest rates at the reporting date would have increased/(decreased) equity and profit or loss by the amounts shown below. This analysis assumes that all other variables remain constant.

Emergent Resources Limited ABN 68 125 323 622

Notes to the Financial Statements For the financial year ended 30 June 2017

Note 15 Financial instruments (Continued)

2017 Variable rate instruments 2016 Variable rate instruments	Profit or loss Equity 0.5% 0.5% 0.5% 0.5% increase decrease increase decrease 8,730 (8,730) 8,730 (8,730)
	Profit or loss Equity 0.5% 0.5% 0.5% 0.5% increase decrease increase decrease 12,513 (12,513) 12,513 (12,513)

Fair values

Fair values versus carrying amounts

The fair values of financial assets and liabilities, together with the carrying amounts shown in the balance sheet are as follows:

Cash and cash equivalents Trade receivables Trade payables – at amortised cost	2017 2016 Carrying amount Fair value Carrying amount Fair value $ $ $ $ 1,291,562 1,291,562 1,858,836 1,858,836 - - (9,789) (9,789) (25,750) (25,750)
	1,281,773 1,281,773 1,833,086 1,833,086

The Company’s policy for recognition of fair values is disclosed at note 1(r).

Note 16 Dividends

No dividends were paid or proposed during the financial year.

The Company has no franking credits available as at 30 June 2017 (2016: nil).

Emergent Resources Limited ABN 68 125 323 622

Notes to the Financial Statements For the financial year ended 30 June 2017

Note 17 Key management personnel disclosures

Key management personnel compensation

Short-term employee benefits Post-employment benefits Other long-term benefits	2017 $ 2016 $ 229,469 181,752 13,029 10,212 - -
	242,498 191,964

Equity instrument disclosures relating to key management personnel

Unlisted Options provided as remuneration and shares issued on exercise of such options

No shares have been issued to key management personnel on exercise of options during the year.

No shares were granted to key management personnel for share-based payments during the financial year ended 30 June 2017.

Loans made to key management personnel

No loans were made to key personnel, including personally related entities during the reporting period.

Other transactions with key management personnel

There were no other transactions with key management personnel, other than as disclosed in the Remuneration Report .

Note 18 Remuneration of auditors

Audit or review of the financial reports of the Company Balance at the end of the year	2017 2016 $ $ 34,812 31,387
	34,812 31,387

Emergent Resources Limited ABN 68 125 323 622

Notes to the Financial Statements For the financial year ended 30 June 2017

Note 19 Contingencies

(i) Contingent liabilities

There were no material contingent liabilities not provided for in the financial statements of the Company as at 30 June 2017 or 30 June 2016 other than:

Native Title and Aboriginal Heritage

Native title claims have been made with respect to areas which include tenements in which the Company has an interest. The Company is unable to determine the prospects for success or otherwise of the claims and, in any event, whether or not and to what extent the claims may significantly affect the Company or its projects. Agreement is being or has been reached with various native title claimants in relation to Aboriginal Heritage issues regarding certain areas in which the Company has an interest.

(ii) Contingent assets

There were no material contingent assets as at 30 June 2017 or 30 June 2016.

Note 20 Commitments

(a) Exploration

The Company has certain obligations to perform minimum exploration work on mineral leases held. These obligations may vary over time, depending on the Company’s exploration programmes and priorities. As at reporting date, total exploration expenditure commitments on tenements held by the Company have not been provided for in the financial statements and which cover the following twelve month period amount to $138,000 (2016: $92,000). These obligations are also subject to variations by farm-out arrangements or sale of the relevant tenements. This commitment does not include the expenditure commitments which are the responsibility of the joint venture partners.

(b) Contractual Commitment

There are no material contractual commitments as at 30 June 2017 (2016: nil) other than those disclosed above in the Financial Statements.

Note 21 Related party transactions

There were no related party transactions during the year, other than disclosed at Note 17.

Emergent Resources Limited ABN 68 125 323 622

Notes to the Financial Statements For the financial year ended 30 June 2017

Note 22 Interests in joint operations

Joint arrangement agreements have been entered into with third parties. Details of these agreements are disclosed below.

Assets employed by these joint ventures and the Company’s expenditure in respect of them is brought to account initially as capitalised exploration and evaluation expenditure until a formal joint venture agreement is entered into. Thereafter, investment in joint ventures is recorded distinctly from capitalised exploration costs incurred on the Company’s 100% owned projects.

The Company has the following joint ventures which are classed as joint operations:

Joint Venture Project	Percentage Interest	Principal Exploration Activities
Beyondie Iron	80% (2016: 80%) Emergent Resources Ltd 20% (2017: 20%) De Grey Mining Limited	Iron Ore, Vanadium, Manganese

Under an agreement entered into with De Grey Mining Limited on 1 May 2008, Emergent Resources Limited has rights to 80% of the iron ore, vanadium and manganese on EL52/1806 and EL52/2215. The Company will sole fund the tenements until it makes a decision to mine. De Grey Mining Limited may then contribute on its 20% interest basis or convert to a 2% net smelter royalty.

The Company’s interest in exploration expenditure in the above mentioned Joint Venture is as follows:

	Beyondie 80%
Non-Current Assets Exploration and Evaluation Asset Expenditure written off	4,887,187 (1,296,210)
Impairment	3,590,977 (3,590,977)
Carrying Amount	-

Note 23 Events occurring after the balance date

Emergent Resources Limited ABN 68 125 323 622

Notes to the Financial Statements For the financial year ended 30 June 2017

Other than set out above, there has not arisen in the interval between the end of the financial year and the date of this report any item, transaction or event of a material and unusual nature likely, in the opinion of the Directors of the Company to affect substantially the operations of the Company, the results of those operations or the state of affairs of the Company in subsequent financial years.

Note 24 Reconciliation of loss after tax to net cash inflow from operating activities

Note Loss after tax Non-cash items: Depreciation expense Exploration costs impaired/written off Changes in net assets and liabilities: (Increase)/decrease in trade and other receivables Increase/(decrease) in trade and other payables	2017 2016 $ $ (554,611) (1,862,176) 2,775 3,660 118,817 1,584,144 (2,785) (103) (14,668) 25,938
	(450,472) (248,537)

There were no non-cash financing and investing activities undertaken during the year.

Note 25 Earnings per share

ote 25 Earnings per share
a) Basic earnings per share Loss attributable to ordinary equity holders of the Company b) Diluted earnings per share Loss attributable to ordinary equity holders of the Company c) Loss used in calculation of basic and diluted loss per share Loss after tax from continuing operations d) Weighted average number of shares used as the denominator Weighted average number of shares used as the denominator in calculating basic and dilutive loss per share	2017 2016 cents cents (0.24) (0.1)
	(0.24) (0.1)
	$ $ (554,611) (1,862,176)
	No. No. 226,991,001 226,991,001

At 30 June 2017 the Company had on issue nil options (2016: nil) over ordinary shares that are not considered to be dilutive to its reported loss for the year.

Emergent Resources Limited ABN 68 125 323 622

Directors’ Declaration

In the opinion of the Directors of Emergent Resources Limited (“the Company”)

(a) the financial statements and notes set out on Pages 12-36 are in accordance with the Corporations Act 2001, including:
(i) complying with Australian Accounting Standards and the Corporations Regulations 2001 and other mandatory professional reporting requirements; and
(ii) giving a true and fair view of the financial position as at 30 June 2017 and of the performance for the year ended on that date of the Company; and
(iii) complying with International Financial Reporting standards as disclosed in Note 1.
(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.

The Directors have been given the declarations required by Section 295A of the Corporations Act 2001 from the Chief Executive Officer and Chief Financial Officer, or equivalent, for the financial year ended 30 June 2017.

This declaration is made in accordance with a resolution of the Directors.

Signed at Perth this 27[th] day of September 2017

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Edmond Yeo

Non-Executive Chairman

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Level 1 10 Kings Park Road West Perth WA 6005

Correspondence to: PO Box 570 West Perth WA 6872

Independent Auditor’s Report to the Members of Emergent Resources Limited

T +61 8 9480 2000 F +61 8 9322 7787 E [email protected] W www.grantthornton.com.au

Report on the audit of the financial report

Opinion

We have audited the financial report of Emergent Resources Limited (the Company), which comprises the statement of financial position as at 30 June 2017, the statement of profit or loss and other comprehensive income, statement of changes in equity and statement of cash flows for the year then ended, and notes to the financial statements, including a summary of significant accounting policies, and the directors’ declaration.

In our opinion, the accompanying financial report of Emergent Resources Limited, is in accordance with the Corporations Act 2001 , including:

a Giving a true and fair view of the Company’s financial position as at 30 June 2017 and of its performance for the year ended on that date; and
b Complying with Australian Accounting Standards and the Corporations Regulations 2001 .

Basis for Opinion

We conducted our audit in accordance with Australian Auditing Standards. Our responsibilities under those standards are further described in the Auditor’s Responsibilities for the Audit of the Financial Report section of our report. We are independent of the Company in accordance with the independence requirements of the Corporations Act 2001 and the ethical requirements of the Accounting Professional and Ethical Standards Board’s APES 110 Code of Ethics for Professional Accountants (the Code) that are relevant to our audit of the financial report in Australia. We have also fulfilled our other ethical responsibilities in accordance with the Code.

We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Key Audit Matters

Key audit matters are those matters that, in our professional judgement, were of most significance in our audit of the financial report of the current period. These matters were addressed in the context of our audit of the financial report as a whole, and in forming our opinion thereon, and we do not provide a separate opinion on these matters.

Grant Thornton Audit Pty Ltd ACN 130 913 594 a subsidiary or related entity of Grant Thornton Australia Ltd ABN 41 127 556 389

‘Grant Thornton’ refers to the brand under which the Grant Thornton member firms provide assurance, tax and advisory services to their clients and/or refers to one or more member firms, as the context requires. Grant Thornton Australia Ltd is a member firm of Grant Thornton International Ltd (GTIL). GTIL and the member firms are not a worldwide partnership. GTIL and each member firm is a separate legal entity. Services are delivered by the member firms. GTIL does not provide services to clients. GTIL and its member firms are not agents of, and do not obligate one another and are not liable for one another’s acts or omissions. In the Australian context only, the use of the term ‘Grant Thornton’ may refer to Grant Thornton Australia Limited ABN 41 127 556 389 and its Australian subsidiaries and related entities. GTIL is not an Australian related entity to Grant Thornton Australia Limited.

Liability limited by a scheme approved under Professional Standards Legislation.

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Key audit matter	How our audit addressed the key audit matter
Going concern – refer to Note 1(a)& 23
The nature of the Company’s current activities to undertake exploration activities on areas of interest to which it has tenure has incurred a net loss after tax of $554,611 and at balance date had net current assets of $1,266,288. The Company relies on equity or debt raisings in order to have sufficient working capital to carry out its objectives for at least twelve months from the date of signing the financial statements. The financial statements have been prepared on the going concern basis, which contemplates continuity of normal business activities and the realisation of assets and settlement of liabilities in the ordinary course of business. The Company’s use of the going concern basis of accounting and the associated extent of uncertainty is a key audit matter due to the high level of judgement required by us in evaluating the Company’s assessment of going concern. Should it be inappropriate for the financial statements to be prepared on the going concern basis the values of certain assets and liabilities as set out in the financial statements might be significantlydifferent.	Our procedures included, amongst others: Challenging management's assumptions in the cash flow forecast for the period under review; Evaluating the consistency of key inputs in the cash flow forecast compared to other financial and operational information; Assessing the ability of management to prepare accurate budgets and forecasts based on past results; Comparing forecast administrative expenditure with actual levels of expenditure for the 2017 financial year and obtaining explanations for any significant variances; and Assessing the adequacy of disclosures included in the financial report.

Key audit matter

How our audit addressed the key audit matter

Going concern – refer to Note 1(a)& 23

The nature of the Company’s current activities to
undertake exploration activities on areas of interest to
which it has tenure has incurred a net loss after tax of
$554,611 and at balance date had net current assets
of $1,266,288.
The Company relies on equity or debt raisings in
order to have sufficient working capital to carry out its
objectives for at least twelve months from the date of
signing the financial statements.
The financial statements have been prepared on the
going concern basis, which contemplates continuity
of normal business activities and the realisation of
assets and settlement of liabilities in the ordinary
course of business.
The Company’s use of the going concern basis of
accounting and the associated extent of uncertainty
is a key audit matter due to the high level of
judgement required by us in evaluating the
Company’s assessment of going concern. Should it
be inappropriate for the financial statements to be
prepared on the going concern basis the values of
certain assets and liabilities as set out in the financial
statements might be significantlydifferent.

Our procedures included, amongst others:
Challenging management's assumptions in the
cash flow forecast for the period under review;
Evaluating the consistency of key inputs in the
cash flow forecast compared to other financial and
operational information;
Assessing the ability of management to prepare
accurate budgets and forecasts based on past
results;
Comparing forecast administrative expenditure
with actual levels of expenditure for the 2017
financial year and obtaining explanations for any
significant variances; and
Assessing the adequacy of disclosures included in
the financial report.

Information Other than the Financial Report and Auditor’s Report Thereon The Directors are responsible for the other information. The other information comprises the information included in the Company’s annual report for the year ended 30 June 2017, but does not include the financial report and our auditor’s report thereon.

Our opinion on the financial report does not cover the other information and we do not express any form of assurance conclusion thereon.

In connection with our audit of the financial report, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial report or our knowledge obtained in the audit or otherwise appears to be materially misstated.

If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard.

Responsibilities of the Directors’ for the Financial Report The Directors of the Company are responsible for the preparation of the financial report that gives a true and fair view in accordance with Australian Accounting Standards and the Corporations Act 2001 and for such internal control as the Directors determine is necessary to enable the preparation of the financial report that gives a true and fair view and is free from material misstatement, whether due to fraud or error.

In preparing the financial report, the Directors are responsible for assessing the Company’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the Directors either intend to liquidate the Company or to cease operations, or have no realistic alternative but to do so.

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Auditor’s Responsibilities for the Audit of the Financial Report

Our objectives are to obtain reasonable assurance about whether the financial report as a whole is free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with the Australian Auditing Standards will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of this financial report.

A further description of our responsibilities for the audit of the financial report is located at the Auditing and Assurance Standards Board website at: http://www.auasb.gov.au/auditors_responsibilities/ar2.pdf. This description forms part of our auditor’s report.

Report on the Remuneration Report

Opinion on the Remuneration Report

We have audited the Remuneration Report included in pages 7 to 9 of the directors’ report for the year ended 30 June 2017.

In our opinion, the Remuneration Report of Emergent Resources Limited, for the year ended 30 June 2017, complies with section 300A of the Corporations Act 2001 .

Responsibilities

The Directors of the Company are responsible for the preparation and presentation of the Remuneration Report in accordance with section 300A of the Corporations Act 2001 . Our responsibility is to express an opinion on the Remuneration Report, based on our audit conducted in accordance with Australian Auditing Standards.

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GRANT THORNTON AUDIT PTY LTD Chartered Accountants

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C A Becker Partner - Audit & Assurance

Perth, 27 September 2017

Emergent Resources Limited ABN 68 125 323 622

ASX Additional Information

Pursuant to the Listing Rules of the Australian Securities Exchange Limited, the shareholder information set out below was applicable as at 2 September 2017.

a. Distribution of Equity Securities

Listed Shares

. Distribution of Equity Securities isted Shares
Range 1 – 1,000 1,001 – 5,000 5,001 – 10,000 10,001 – 100,000 100,001 and over	Number of Holders Securities Held
	54 21,147 96 302,896 131 1,147,942 376 16,400,892 199 209,118,124
	856 226,991,001

There are 571 shareholders holding unmarketable parcels represented by 62,500 shares.

b. Substantial Shareholders

An extract of the Company’s Register of Substantial Shareholders (who hold 5% or more of the issued capital) is set out below:

Shareholder Name	Issued Ordinary Shares	Issued Ordinary Shares
	Number	%
INTERNATIONAL NATURAL RESOURCES INC	45,394,609	20.00%
ADVANCED ENDEAVOUR ENTERPRISES LIMITED	20,000,000	8.81%

c. Twenty Largest Shareholders

Position	Holder Name	Holding	% IC
1	INTERNATIONAL NATURAL RESOURCES INC	25,150,000	11.08%
2	INTERNATIONAL NATURAL RESOURCES INC	20,244,609	8.92%
3	ADVANCED ENDEAVOR ENTERPRISES LIMITED	20,000,000	8.81%
4	MR IANAKI SEMERDZIEV	5,685,434	2.50%
5	MR TREVOR BRUCE BENSON	5,600,000	2.47%
6	PILLAGE INVESTMENTS PTY LTD	4,900,917	2.16%
7	R & K BOYLAN NOMINEES PTY LTD	4,357,223	1.92%
8	PANTZER PTY LTD	4,286,407	1.89%
9	WABOC PTY LTD	4,016,667	1.77%
10	R & K BOYLAN NOMINEES PTY LTD	3,751,324	1.65%
11	MRS LILIANA TEOFILOVA	3,332,630	1.47%
12	BNP PARIBAS NOMS PTY LTD	2,941,762	1.30%
13	MS THERESE MERLE MCMASTER	2,706,270	1.19%
14	BNP PARIBAS NOMINEES PTY LTD	2,574,404	1.13%
15	W D KING PTY LTD	2,440,000	1.07%
16	MS KELLEY MARIE ATTIAS	2,134,502	0.94%
17	M & K KORKIDAS PTY LTD	2,100,000	0.93%
18	MR JOSEPH ADAM LEE	2,085,992	0.92%

Emergent Resources Limited ABN 68 125 323 622

19	BOOKKEEPING STANDARDS INSTITUTE OF AUST PTY LTD	2,000,000	0.88%
19	MS LAIPENG CHAN	2,000,000	0.88%
20	HUMBLE PTY LTD	1,969,000	0.87%
	Total	124,277,141	54.75%
	Total issued capital	226,991,001	100.00%

d. Voting Rights

In accordance with the Company’s Constitution, voting rights in respect of ordinary shares are on a show of hands whereby each member present in person or by proxy shall have one vote and upon a poll, each share will have one vote.

e. Restricted Securities

There are no restricted securities.

AI assistant

FENIX RESOURCES LTD — Annual Report 2017

64910_rns_2017-09-26_ba3afb83-6542-4619-91be-0d63d5f0a07b.pdf

Annual Report - Contents Page

Corporate Directory

Directors

Company Secretary

Principal and Registered Office

Auditor

Share Registry

Stock Exchange Listing

ASX Code

Company Information

REVIEW OF OPERATIONS

Beyondie Magnetite Project

New Projects

Corporate

Events occurring after the balance date

Significant Changes in the State of Affairs

Summary of the Company’s Tenement Information

DIRECTORS’ REPORT

Directors

Edmond Yao

Non-Executive Chairman - appointed 16 November 2015

Mr Bevan Tarratt BCom

Non-executive Director – appointed 12 August 2015

Jian-Hua Sang

Non-executive Director- appointed 17 September 2012

David Rod (Former Director)

Non-executive Director – appointed 14 June 2016 – resigned 8 November 2016

Company Secretary

Matthew Foy – appointed 25 January 2016

Directors’ Interests

Directors’ Meetings

Principal Activities

Results of Operations

Dividends

Review of Activities

Financial Position

Significant Changes in the State of Affairs

Options Over Unissued Capital

Matters Subsequent to the End of the Financial Year

Likely Developments and Expected Results of Operations

Remuneration Report (Audited)

Directors

Company Secretary

Remuneration Policy

Executive Employment Agreements

Share Based Remuneration

Remuneration Report (Audited) (continued)

Details of Remuneration for Key Management Personnel

Remuneration Report (Audited) (continued)

Remuneration of Company Executives

Share holdings by Key Management Personnel

Loans made to key management personnel

Other transactions with key management personnel

END OF REMUNERATION REPORT

Officers’ Indemnities and Insurance

Proceedings on behalf of the Company

Corporate Governance

Non-audit Services

Auditor’s Independence Declaration

Edmond Yao

Auditor’s Independence Declaration To the Directors of Emergent Resources Ltd

Emergent Resources Limited ABN 68 125 323 622

Reclassification and comparative figures

Emergent Resources Limited ABN 68 125 323 622

Statement of Financial Position As at 30 June 2017

Statement of Changes in Equity For the financial year ended 30 June 2017

Statement of Cash Flows For the financial year ended 30 June 2017

Note 1 Summary of significant accounting policies

(a) Basis of preparation

Statement of Compliance

Reporting basis and conventions

Critical accounting estimates

Going concern

(b) Segment reporting

Notes to the Financial Statements For the financial year ended 30 June 2017

(c) Revenue recognition and receivables

Interest income

FENIX RESOURCES LTD Annual Report 2017