MIRAMAR RESOURCES LIMITED - Annual Report 2021

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1 MIRAMAR RESOURCES LIMITED ANNUAL REPORT 2021

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ANNUAL REPORT

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for the financial year ended to 30 June 2021

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Page

Corporate Directory ................................................................................................................................................................................................................................................................................................ 1 Chairman’s Letter ..................................................................................................................................................................................................................................................................................................... 2 Directors’ Report ...................................................................................................................................................................................................................................................................................................... 3 Independence Declaration to the Directors of Miramar Resources Limited ......................................................................................................................................................................... 19 Directors’ Declaration ......................................................................................................................................................................................................................................................................................... 20 Independent Auditor’s Report to the Members of Miramar Resources Limited ................................................................................................................................................................ 21 Consolidated Statement of Profit or Loss and Other Comprehensive Income ................................................................................................................................................................... 25 Consolidated Statement of Financial Position ....................................................................................................................................................................................................................................... 26 Consolidated Statement of Changes in Equity ..................................................................................................................................................................................................................................... 27 Consolidated Statement of Cash Flows .................................................................................................................................................................................................................................................... 28 Notes to the Consolidated Financial Statements ................................................................................................................................................................................................................................. 29

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CORPORATE DIRECTORY

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Board of Directors

Company Secretary

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Executive Chairman Technical Director Non-Executive Director

Mr Allan Kelly Ms Marion Bush Mr Terry Gadenne

Mrs Mindy Ku

Company Secretary

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Auditors

Principal Office

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RSM Australia Partners Level 32, Exchange Tower 2 The Esplanade Perth, Western Australia, 6000

Unit 1, 22 Hardy Street, South Perth, Western Australia 6151

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Registered Office

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Share Registry

Unit 1, 22 Hardy Street, South Perth, Western Australia 6151

Automic Level 2/267 St George’s Terrace Perth, Western Australia, 6000 1300 288 664 (Telephone) www.automicgroup.com.au (Website)

Postal Address

PO Box 810, South Perth, Western Australia 6951

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Lawyers

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Contact Details

+61 8 6166 6302 (Telephone) [email protected] (Email) www.miramarresources.com.au (Website)

Steinepreis Paganin Level 4, The Read Buildings 16 Milligan Street, Perth, Western Australia, 6000

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ABN 34 635 359 965

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1 MIRAMAR RESOURCES LIMITED ANNUAL REPORT 2021

DIRECTORS’ REPORT

CHAIRMAN’S LETTER

Dear Shareholder,

On behalf of the Board of Miramar Resources Limited ( Miramar or the Company ), it gives me great pleasure to present the Company’s first Annual Report since listing on the ASX in October 2020.

The Company compiled a portfolio of highly prospective exploration projects throughout Western Australia last year and completed a heavily oversubscribed Initial Public Offering ( IPO ) raising $8 million before listing on the ASX on 22 October 2020 at a significant premium to the IPO price. I would like to take the opportunity to thank Shaw and Partners for managing the IPO process.

Soon after listing, Miramar commenced work on the Gidji JV Project, located approximately 15km north of Kalgoorlie. The Company believes the Gidji Project is very poorly explored despite its close proximity to a number of existing gold mining and/or processing operations.

The Company’s view of the prospectivity of Gidji was confirmed with highgrade gold results coming from the first aircore drilling programme, specifically from the newly defined “ Marylebone ” target.

Miramar soon recognised several similarities between the geology, structure and scale of Marylebone and the nearby Paddington deposit, which produced approximately 4 million ounces of gold.

Subsequent aircore drilling and ground magnetic surveys have expanded and upgraded the Marylebone target and reinforced its likeness to Paddington. In addition, results released after the end of the reporting period have now outlined gold mineralisation over at least 2 kilometres of strike.

As of the date of this letter, the target remains open along strike in both directions and virtually untested at depth.

Further aircore and deeper drilling is planned for the upcoming year and the Company is excited about the opportunity to make a large new gold discovery at Marylebone, in close proximity to Kalgoorlie.

Late in the reporting period, Miramar commenced the first drilling campaigns at the Company’s second flagship project, Glandore, located approximately 40km east of Kalgoorlie.

Glandore has some significant historical drill results that have only been sporadically followed up, andMiramar believes it has the potential to host a significant new gold discovery. The Company looks forward to results of the first drilling programmes including drilling on Lake Yindarlgooda.

In parallel to the systematic exploration at Gidji and preparations for drilling at Glandore, the Company has been busy behind the scenes across several other projects.

Miramar sold the Garden Gully Project to Sipa Resources for cash and shares and applied for new tenements to add to its strategic landholding in the Bangemall region, an emerging Ni-Cu-PGE province whose prospectivity has been recognised both by Geoscience Australia and the Geological Survey of Western Australia.

Just after the end of the reporting period, the Company completed a surface geochemical survey over the Whaleshark Project near Onslow, and the Company is planning to complete aircore drilling at the Lang Well Project, located in a prime position between the Deflector and Rothsay gold mines in the Murchison region.

I would like to take the opportunity to thank our Board members, employees, contractors and consultants for their contribution to the Company so far, and to thank our shareholders for their ongoing support and belief in the Company’s projects and people.

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Allan Kelly
Executive Chairman
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MIRAMAR RESOURCES LIMITED ANNUAL REPORT 2021 2

DIRECTORS’ REPORT

OPERATIONAL REVIEW

EASTERN GOLDFIELDS PROJECTS

Miramar has three projects in the Eastern Goldfields with the potential for new gold discoveries within proximity to existing mining and/or processing operations ( Figure 1 ).

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Figure 1. Eastern Goldfields Projects showing proximity to existing gold operations.

GIDJI JV PROJECT (Miramar 80%)

The Gidji JV Project is located approximately 15km north of Kalgoorlie and is located within a major regional structure, the “Boorara Shear Zone”, which hosts gold mineralisation at Paddington, approximately 10km to the northwest, and Horizon Minerals’ “Boorara” gold operation to the southeast (Figure 1).

The project has been poorly explored despite its location in proximity to these major gold deposits.

Soon after listing on the ASX in October 2020, Miramar conducted an initial aircore drilling campaign at Gidji which outlined four new targets and returned results up to 2m @ 7.69g/t Au in quartz vein material from the Marylebone target.

The Company quickly recognised several apparent similarities between Marylebone and the Paddington deposit to the northwest.

Marylebone is related to an apparent dilational jog in the Boorara Shear Zone crosscut by a series of N-S trending structures. The local geology is characterised by a sequence of NW-trending mafic and ultramafic rocks within the Boorara Shear Zone, adjacent to volcaniclastic rocks of the Black Flag Beds.

The footprint of the anomalism at Marylebone is also similar to that of the Paddington deposit.

The Phase 2 aircore campaign was completed in April and aimed to infill the drill spacing to 150-200m x 50m over key areas identified by the Phase 1 drilling.

The results of the Phase 2 drilling campaign extended and upgraded the four main targets at Gidji, including Marylebone.

3 MIRAMAR RESOURCES LIMITED ANNUAL REPORT 2021

DIRECTORS’ REPORT

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Given the increasing similarities between the Marylebone target and Paddington, a detailed ground magnetic survey was completed during May/June with 25m-spaced lines oriented perpendicular to the NW trending stratigraphy.

The survey helped refine the local geology and structure and reinforced the similarities between Marylebone and Paddington.

Further aircore drilling was completed at Marylebone during June and results were pending at the end of the year.

Miramar aims to complete further exploration at Gidji including the following:

Further aircore drilling to define the lateral extents of Marylebone
Extending the existing ground magnetic survey along strike
Deeper testing of Marylebone with RC and/or diamond drilling

In addition, the Company is working towards the granting of several tenements which will almost double the total area of the Gidji JV Project.

The applications contain several additional targets to those already tested, including an obvious dilational jog in the Boorara Shear Zone.

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Figure 2. Gidji JV Project showing location in relation to nearby deposits.

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MIRAMAR RESOURCES LIMITED ANNUAL REPORT 2021 4

DIRECTORS’ REPORT

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Figure 3. Marylebone Prospect showing all drilling to date.

RC Drilling

Following completion of the Phase 2 aircore programme, a series of RC holes were planned to test the Marylebone target where aircore drilling was ineffective due to a silcrete layer.

A RC rig was secured at short notice and an initial programme of 6 holes, totalling 900m, was completed testing the Piccadilly, Marylebone and Railway targets.

Results were pending at the end of the year.

Diamond Drilling

During March/April, three diamond holes were drilled at the 8-Mile target to test for a potential northern extension to the adjacent Runway deposit (7Mt @ 1.39g/t Au for 313koz Au).

Two holes, GJDD001 and GJDD002, were drilled approximately 60m north of the northernmost KCGM drill holes, EMD0028 and 29 which had sporadic high-grade gold mineralisation in quartz veins in the hanging wall sediments but no significant mineralisation in the Runway “porphyry” itself.

The two new diamond holes intersected the same geological sequence seen at Runway, along with a sulphidised quartz breccia, and established the dip of the prospective “porphyry” unit.

GJDD002 intersected coarse visible gold in a thin quartz-sulphide veinlet in the hanging wall sandstone at 121m downhole. This vein returned a result of 1m @ 2.79g/t Au.

A similar vein was observed in GJDD001 which returned a result of 1m @ 0.53g/t Au. The Runway “porphyry” itself was only weakly mineralised on this section.

Given the observations from the first two holes, and the shorter than expected hole depths, a third hole (GJDD003) was completed approximately 50m north of GJDD001 and GJDD002.

GJDD003 intersected a similar sequence of rocks and confirmed the strike of the west dipping “porphyry”, however no significant results were obtained from this hole.

As a result, no further work is planned for the 8- Mile target at this stage.

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5 MIRAMAR RESOURCES LIMITED ANNUAL REPORT 2021

DIRECTORS’ REPORT

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GLANDORE

The Glandore Project is located within the Eastern Goldfields, approximately 40km east of Kalgoorlie, Western Australia and covers approximately 42 square km. The project consists of 10 Prospecting Licences and one Exploration Licence, all of which are granted.

The highest priority western part of the project is underlain by a layered mafic sill intruding into basalt and sedimentary rocks. The sill comprises varieties of dolerite and gabbro analogous to the Golden Mile Dolerite.

The local geology has been folded into a north-plunging antiform with the project located on the eastern limb, southeast of the hinge zone which has been intruded by a granodiorite and felsic porphyry dykes.

The prospective geology is overlain by up to 50m of recent playa lake sediments which thin towards the west. Exploration has been mostly limited to the western part of the project, within the Prospecting Licences, and has been sporadic since the late 1980’s.

Previous exploration including aircore drilling outlined a significant area of anomalous gold on the eastern side of the late granite pluton (Figure 4). Limited diamond drilling returned significant results including 8m @ 22.5g/t Au , however most sections have no systematic bedrock testing.

The western side of the granite pluton has not been tested for over 2.5km of strike despite significant aircore results to the south of Lake Yindarlgooda and apparent similarities to the eastern target.

Final planning for the first phase of exploration was completed during the June 2021 Quarter, including pegging and clearing of a series of aircore holes to be completed south of the lake.

The Company commenced a gravity survey and this continued in-between periods of wet weather which restricted access to the lake surface.

The Company’s maiden land and lake aircore drilling campaigns are scheduled to commence early in the September 2021 Quarter.

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Figure 4. Glandore Project showing significant historical drill results.

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MIRAMAR RESOURCES LIMITED ANNUAL REPORT 2021 6

DIRECTORS’ REPORT

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RANDALLS

The Randalls Project is located immediately east of Silver Lake Resources Limited’s Maxwells and Cockeyed Bob gold mines, approximately 70km east of Kalgoorlie (Figure 5).

The project consists of a single Exploration Licence Application (E25/596) and covers the same folded Banded Iron Formation and sediments that host the gold mineralisation currently being mined by Silver Lake.

No work was completed during the Quarter as the Company waits for the tenement to be granted.

Figure 5. Randalls Project showing proximity to Silver Lake Resources gold operations.

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7 MIRAMAR RESOURCES LIMITED ANNUAL REPORT 2021

DIRECTORS’ REPORT

MURCHISON REGION PROJECTS

LANG WELL

LAKESIDE

GARDEN GULLY

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Figure 6. Lang Well Project location and regional geology.

MIRAMAR RESOURCES LIMITED ANNUAL REPORT 2021 8

DIRECTORS’ REPORT

GASCOYNE REGION PROJECTS

Miramar has two projects within the Proterozoic Capricorn Orogen, in the Gascoyne region of Western Australia (Figure 7):

Whaleshark – folded BIF complex under Carnarvon Basin sediments
Bangemall – multiple applications over areas prospective for Ni-Cu-PGE mineralisation

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Figure 7. Location map for Miramar’s Gascoyne region projects.

WHALESHARK

The Whaleshark Project is located 40km east of Onslow, WA, and consists of a single Exploration Licence, E08/3166.

The project is located within the north-western extension of the Proterozoic Capricorn Orogen and is characterised by a folded Banded Iron Formation (BIF) complex under approximately 100m of Carnarvon Basin sediments (Figure 8).

Previous exploration included limited diamond drilling which intersected anomalous gold in the BIF.

The project has potential for Proterozoic BIF-hosted Au and Iron Oxide Cu-Au mineralisation.

At the end of the June 2021 Quarter, the Company commenced a programme of surface geochemical sampling over the BIF.

9 MIRAMAR RESOURCES LIMITED ANNUAL REPORT 2021

DIRECTORS’ REPORT

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Figure 8. Magnetic image for Whaleshark Project showing geological interpretation and previous drilling.

BANGEMALL (NI-CU-PGE)

The Bangemall Project covers a series of major crustal-scale structures in the Capricorn Orogen between the Yilgarn and Pilbara cratons (Figure 9).

The area has been highlighted by both the GSWA and Geoscience Australia as having high prospectivity for Proterozoic craton margin Ni-Cu-PGE mineralisation like that seen in the Albany-Fraser Province (e.g. NovaBollinger), the West Musgraves (e.g. Nebo-Babel) and the giant Voisey Bay and Norilsk deposits.

The project consists of several Exploration Licence applications that cover areas with:

proximity to major crustal-scale faults - confirmed by seismic traverses
numerous Proterozoic-aged dolerite dykes/sills with the same age as the West Musgraves
regional-scale stream sediment Ni-Cu-Pt-Pd anomalism from GSWA sampling
regional-scale airborne EM conductors

The area has seen substantial exploration for Cu-Pb-Zn but minimal exploration for Ni-Cu-PGE’s.

The Company is planning to conduct an airborne EM survey over the Mt Vernon target as soon as practicable following discussions with the local pastoralist.

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Figure 9. Regional geological setting for the Bangemall Project tenements.

MIRAMAR RESOURCES LIMITED ANNUAL REPORT 2021 10

DIRECTORS’ REPORT

CORPORATE REVIEW

IPO AND ASX LISTING

CAPITAL STRUCTURE AS OF 30 JUNE 2021

Description Numbers

MARKETING

	•	AMEC Investor Briefing;
	•	RIU Sydney Resources Roundup;
	•	Gold Coast Investment Showcase; and
	•	Resources Roadhouse Investor Afternoon.

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11 MIRAMAR RESOURCES LIMITED ANNUAL REPORT 2021
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DIRECTORS’ REPORT

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BOARD OF DIRECTORS

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The names and particulars of the Directors of the Company during the financial year and until the date of the report are:

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Mr Allan Kelly, Executive Chairman (Appointed 6 August 2019)

Ms Marion Bush, Technical Director (Appointed 3 March 2020)

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Mr Kelly is a geologist and manager with over 25 years’ experience in mineral exploration, development and production throughout Australia and the Americas.

Mr Kelly graduated in 1994 with a Bachelor of Science (with honours) in Applied Geology from Curtin University. He has been involved in targeting early stage exploration of gold, nickel and copper deposits in Australia, Alaska and Canada and has previously held senior exploration positions within Western Mining Corporation and Avoca Resources

Limited. He has also served as an Executive Director of Riversgold Ltd and a non-executive director of Alloy Resources Ltd.

In 2009, Mr Kelly founded Doray Minerals Limited, which listed on the ASX in early 2010. Under Mr Kelly’s management, Doray discovered the highgrade Wilber Lode gold deposit within the Andy Well Project in the Murchison Region of Western Australia, which moved from discovery to production within three and a half years, and subsequently funded, constructed and commissioned the Deflector Gold-Copper Project within 14 months of completing the takeover of Mutiny Gold Limited in 2014.

In 2014, Mr Kelly was awarded the Association of Mining and Exploration Companies (AMEC) ‘Prospector Award’, along with Doray’s co-founder Mr Heath Hellewell, for the discovery of the Wilber Lode and Andy Well gold deposits.

Mr Kelly is a Fellow and Former Councillor of the Association of Applied Geochemistry (AAG), a Member of the Australian Institute of Geoscientists (AIG) and a Member of the of the Institute of Brewing and Distilling (IBD).

Mr Kelly is responsible for the day-to-day management of the Company and is the Chairman of the Board.

During the past 3 years Mr Kelly has also served as a director of the following other listed companies:

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Ms Bush is a geologist with over 25 years’ experience in senior management, directorship, commercial management, analyst and marketing roles within the UK, Australia, Africa, and South America. She was the former CEO of TSX-V listed Cassidy Gold Corp and a former Mining Analyst.

She holds a Bachelor of Science (Geology) from Curtin University, a Master of Science (Mineral Project Appraisal) from the University of London (Imperial College), and is Member of the Australian Institute of Geoscientists (AIG).

During the past 3 years Ms Bush did not serve as a director on other listed companies.

Mr Terry Gadenne, Non-Executive Director (Appointed 3 March 2020)

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Mr Gadenne has over 30 years’ experience in the military and civilian aviation, agriculture and mining management roles. He was the Chief Pilot of Mackay Helicopters Pty Ltd and Managing Director of Mining Logic Pty Ltd located in Queensland. He has also held various board positions in not-for-profit organisations.

He holds a Bachelor of Aviation Studies (Management) from the University of Western Sydney, has completed the Company Directors Course with AICD and was a former army and navy pilot.

During the past 3 years Mr Gadenne did not serve as a director on other listed companies.

 Alloy Resources limited (10 February 2017 – 1 May 2019)  Riversgold Limited (24 February 2017 – 26 March 2019)

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COMPANY SECRETARY

Mrs Mindy Ku (Appointed 26 June 2020)

Mrs Ku has over 15 years’ international experience in financial analysis, financial reporting, management accounting, compliance reporting, board reporting, company secretarial services and office management across multiple jurisdictions (Australia, Malaysia, UK, Sweden and Norway) including ASX listed public and private companies.

She holds a Bachelor of Science in Computing from the University of Greenwich, United Kingdom, is a Member of Certified Practising Accountant Australia and a Fellow Member of the Governance Institute of Australia.

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DIRECTORS’ RELEVANT INTEREST IN SHARES AND OPTIONS

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At the date of this report the following table sets out the current Directors’ relevant interests in shares and options of Miramar Resources Limited and the changes since 30 June 2021.

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	Director	Ordinary Shares
		Current Holding Net Increase/ (decrease)
	Allan Kelly Marion Bush TerryGadenne	6,707,293 – 435,000 75,000 200,000 –

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MIRAMAR RESOURCES LIMITED ANNUAL REPORT 2021 12

DIRECTORS’ REPORT

REMUNERATION REPORT (AUDITED)

The remuneration report is set out under the following main headings:

A. Principles used to determine the nature and amount of remuneration
B. Details of remuneration
C. Service agreements
D. Share–based compensation
E. Additional information

The information provided in this remuneration report has been audited as required by section 308(3C) of the Corporations Act 2001.

A. Principles used to determine the nature and amount of remuneration

The whole Board forms the Remuneration Committee. The remuneration policy has been designed to align director and executive objectives with shareholder and business objectives by providing a fixed remuneration component with the flexibility to offer specific long term incentives based on key performance areas affecting the Group’s financial results. The Board believes the remuneration policy to be appropriate and effective in its ability to attract and retain the best directors and executives to manage the Group.

The Board’s policy for determining the nature and amount of remuneration for Board members and senior executives is as follows:

The remuneration policy, setting the terms and conditions for the executive directors and other senior executives, was developed by the Board. All executives receive a base salary (which is based on factors such as length of service and experience) and superannuation. The Board reviews executive packages annually and determines policy recommendations by reference to executive performance and comparable information from industry sectors and other listed companies in similar industries.
The Board may exercise discretion in relation to approving incentives, bonuses and options. The policy is designed to attract and retain the highest calibre of executives and reward them for performance that results in long term growth in shareholder wealth.
The Executive Director and executives receive a superannuation guarantee contribution required by the government where applicable, which is currently 10.0% (30 June 2021: 9.5%) of base salary and do not receive any other retirement benefits.
All remuneration paid to directors and executives is valued at the cost to the Group and expensed. Options are valued using the Black–Scholes methodology where relevant.
The Board policy is to remunerate non–executive directors at market rates for comparable companies for time, commitment and responsibilities. The Board determines payments to the non–executive directors and reviews the remuneration annually, based on market practice, duties and accountability. Independent external advice is sought when required. No independent external advice was sought during the year. The maximum aggregate amount of fees that can be paid to Non–Executive Directors is subject to approval by shareholders at the Annual General Meeting. The Company intends to seek shareholder approval at the Annual General Meeting for the maximum aggregate amount that may be paid to NonExecutive Directors as remuneration for each financial year which may be divided among the Non-Executive Directors in the manner determined by the Board and Company from time to time. Fees for Non–Executive Directors are not linked to the performance of the Company.

The remuneration policy has been tailored to increase the direct positive relationship between shareholders investment objectives and directors and executive performance. The Company facilitates this through the issue of options from time to time to the directors and executives to encourage the alignment of personal and shareholder interests. The Company believes this policy will be effective in increasing shareholder wealth. The Company currently has no performance based remuneration component built into director and executive remuneration packages.

The Board does not consider earnings during the current and previous financial years when determining, and in relation to, the nature and amount of directors’ remuneration. Refer below for a summary of the Group’s earnings and the Company’s market performance for the past 2 years.

Summary of 2 Years earnings and market performance as at 30 June

	2021	2020
Profit/(Loss) ($)	(1,019,910)	(189,516)
Share price ($)	0.18	–
Market capitalisation(Undiluted) ($)	9,910,818	–

13 MIRAMAR RESOURCES LIMITED ANNUAL REPORT 2021

DIRECTORS’ REPORT

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REMUNERATION REPORT (AUDITED) (cont’d)

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B. Details of remuneration

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Details of remuneration of the Directors and key management personnel (as defined in AASB 124 Related Party Disclosures) of Miramar are set out in the table below.

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The key management personnel of Miramar and the Group are listed on pages 12.

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Given the size and nature of operations of Miramar, there are no other employees who are required to have their remuneration disclosed in accordance with the Corporations Act 2001.

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	Short Term	Post-employment
	Salary & fees Other benefits (i) D&O (ii) insurance $ $ $	Superan- nuation Other benefits $ $
2021
Directors
A Kelly
M Bush
T Gadenne
Total
2020
Directors
A Kelly
M Bush
T Gadenne
Total

(i) Short Term Other benefits include car allowance and annual leave accrued during the year.

(ii) For accounting purposes Directors & Officers Indemnity Insurance is required to be recorded as remuneration. No director receives any cash benefits, simply the benefit of the insurance coverage for the financial year.

(iii) The amounts included are under Miramar’s Employee Share Option Plan ( ESOP ) and are non-cash items that are subject to vesting conditions. Refer to Section D for more information.

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C. Service agreements

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Executive Directors

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A Kelly

 M Bush

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Mr Allan Kelly was appointed a Director on 6 August 2019. He entered into an Executive Services Agreement as Executive Chairman of the Company on 21 August 2020, rendering a salary of $275,000 per annum plus superannuation which commenced on 22 October 2020 upon the Company’s admission to the official list of the ASX. The remuneration package includes statutory superannuation entitlements and provision of leave in accordance to the National Employment Standards. Mr Kelly’s salary will be reviewed by the Company in accordance with the policy of the Company for the annual review of salaries. Any salary increase will be backdated to 1 July of the relevant year. The Company may at any time during the term of appointment pay Mr Kelly a performance-based bonus over and above his salary. In determining the extent of any performance-based bonus, the Company shall take into consideration the key performance indicators of Mr Kelly and the Company, as the Company may set from time to time, and any other matter that it deems appropriate.

Ms Marion Bush was appointed a Director on 3 March 2020. She entered into a Consultancy Services Agreement as a Technical Director of the Company on 21 August 2020, rendering a fee of $120,000 per annum (excluding GST) which commenced on 22 October 2020 upon the Company’s admission to the official list of the ASX. Ms Bush’s fees will be reviewed annually by the Company in accordance with the policy of the Company for the annual review of salaries or fees paid to consultants and directors of the Company. The Company may pay Ms Bush a performance-based bonus over and above the consultancy fee in cash or non-cash form at any time during the engagement term subject to obtaining any applicable regulatory approvals. In determining the extent of any performance-based bonus, the Company shall take into consideration the key performance indicators Ms Bush and the Company, as the Company may set from time to time, and any other matter that it deems appropriate.

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Remuneration and other terms of employment for the executive are formalised in an employment agreement. The executives are employed on a rolling basis with no specified fixed terms.

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Major provisions of the agreements relating to the executives are set out below.

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MIRAMAR RESOURCES LIMITED ANNUAL REPORT 2021 14

DIRECTORS’ REPORT

REMUNERATION REPORT (AUDITED) (cont’d)

Name Engagement	Termination Notice Period Termination payments By MIRAMAR By Director*
**Executive Chairman	Allan Kelly Executive Chairman Technical Director

Termination payments (other than for gross misconduct) are calculated on current remuneration at date of termination and are inclusive of the notice period.

Non-Executive Director

Mr Terry Gadenne was appointed a Director on 3 March 2020. Mr Gadenne’s appointment as a Non-Executive Director commenced on 22 October 2020 upon the Company’s admission to the official list of the ASX. Mr Gadenne is entitled to a base fee of $26,400 per annum (excluding GST) including superannuation entitlements, subject to annual review by the Board and approval by the shareholders of the Company (if required).

Major provisions of the agreements relating to the Non-Executive Director are set out below.

Name	Termination Notice Period Termination payments By MIRAMAR By Director*
Non-Executive Director TerryGadenne	6 months Immediately N/A

Termination payments (other than for gross misconduct) are calculated on current remuneration at date of termination and are inclusive of the notice period.

D. Share–based compensation

If approved by shareholders, options are issued to directors and executives as part of their remuneration. The options are not based on performance criteria, but are issued to align the interests of directors, executives and shareholders. There were no options issued to the directors and executives during the year. As at 30 June 2021, 4,560,000 options (2020: 4,560,000) were held by directors and non-executives.

		Options								Expired/
	Financial	issued during the year	No of options		Fair value per options at	Vesting	Exercise		Vested during the year	Exercised during the year
	year	No.	No.	Issue date	issue date	date	price	Expiry date	No.	No.
Directors
A Kelly	2021	–	–	–	–	–	–	–	–	–
	2020	–	1,000,000	26 Jun 20	$0.026	26 Jun 20	$0.20	26 Jun 25	–	–
	2020	–	1,000,000	26 Jun 20	–	26 Jun 20	$0.20	22 Oct 22	–	–
M Bush	2021	–	–	–	–	–	–	–	–	–
	2020	–	1,000,000	26 Jun 20	$0.026	26 Jun 20	$0.20	26 Jun 25	–	–
	2020	–	360,000	26 Jun 20	–	26 Jun 20	$0.20	22 Oct 22	–	–
T Gadenne	2021	–	–	–	–	–	–	–	–	–
	2020	–	1,000,000	26 Jun 20	$0.026	26 Jun 20	$0.20	26 Jun 25	–	–
	2020	–	200,000	26 Jun 20	–	26 Jun 20	$0.20	22 Oct 22	–	–

E. Additional information

Performance income as a proportion of total compensation

No performance based bonuses have been paid to directors or executives during the financial year.

Key management personnel (KMP) equity holdings

Fully paid ordinary shares of Miramar Resources Limited

	Balance at	Granted as	Received on		Balance at
	1 July	remuneration	exercise of options	Net other change	30 June
Key management personnel 2021	No.	No.	No.	No.	No.
Allan Kelly	2,000,100	–	–	4,707,193	6,707,293
Marion Bush	360,000	–	–	–	360,000
TerryGadenne	200,000	–	–	–	200,000
Total	2,560,100	–	–	4,707,193	7,267,293

15 MIRAMAR RESOURCES LIMITED ANNUAL REPORT 2021

DIRECTORS’ REPORT

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REMUNERATION REPORT (AUDITED) (cont’d)

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Options of Miramar Resources Limited

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	Key managementpersonnel Balance at July Granted as remuneration Options exercised No. No. No.	Net other change Balance at 30 June No. No.
	2021 Allan Kelly 2,000,000 – – Marion Bush 1,360,000 – – TerryGadenne 1,200,000 – –	– 2,000,000 – 1,360,000 – 1,200,000
	Total 4,560,000 – –	– 4,560,000

The options include those held directly, indirectly and beneficially by KMP.

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Loans to KMP and their related parties

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There were no loans to KMP and their related parties during the year.

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Other transactions and balances with KMP and their related parties

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Directors transactions

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XGS Exploration Geochemistry Services ( XGS ), of which Mr Allan Kelly is a Director, provided consulting services in relation to the IPO and ASX listing of the Company to October 2020 amounting to $35,200. The services provided were on arms-length commercial terms. At 30 June 2021 the Company did not owe XGS.

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The Company entered in a lease agreement with XGS on 15 July 2020. The lease commenced from 1 July 2020 to 31 October 2020 amounting to $7,040. At 30 June 2021 the Company did not owe XGS.

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The Company entered into a Sales and Purchase Agreement ( S&P Agreement ) with Debnal Pty Limited ( Debnal ), of which Mr Allan Kelly is a Director, for mineral tenements and applications for mineral tenements in Whaleshark, Bangemall, Garden Gully, Lakeside, Lang Well and Randalls ( Tenements ). On 8 June 2020 the Company made a non-refundable cash payment of $25,000 to Debnal for a 6-month exclusion option to purchase the Tenements ( Option ). On 7 October 2020 the Company elected to exercise the Option and made a final payment of $75,000 and issued 4,500,000 fully paid ordinary share at fair value of $0.20 per share to Debnal.

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Ms Marion Bush provided geological services in relation to the IPO and ASX listing of the Company to October 2020 amounting to $18,500. The services provided were on arms-length commercial terms. At 30 June 2021 the Company did not owe Ms Bush.

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End of Remuneration Report

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DIRECTORS MEETINGS

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The following tables set information in relation to Board meetings held during the financial year.

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	Board Meetings		Circular resolutions
Board Member	Held while Director	Attended	passed	Total
A Kelly	8	8	5	13
M Bush	8	8	7	15
T Gadenne	8	8	7	15

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MIRAMAR RESOURCES LIMITED ANNUAL REPORT 2021 16

DIRECTORS’ REPORT

PRINCIPAL ACTIVITIES

The principal activities of the Group during the year were the exploration and evaluation of mining tenements with the objectives of identifying economic mineral deposits.

FINANCIAL REVIEW

The Group began the financial year with cash reserves of $327,771.

During the year total exploration expenditure expensed by the Group amounted to $114,132 (2020: to $64,758). The exploration expenditures relate to non granted tenements and this has been expensed in accordance with the Group’s accounting policy. Administrative expenditure incurred amounted to $824,381 (2020: $124,758). Operating loss after income tax for the year ended 30 June 2021 amounted to $1,019,910 (2020: $189,516 loss).

As at 30 June 2021 cash and cash equivalents totalled $5,055,388.

Summary of 2 Year Financial Information as at 30 June

	2021	2020
Cash and cash equivalents ($)	5,055,388	327,771
Net assets/equity ($)	7,812,145	299,424
Exploration expenditure expensed ($)	(114,132)	(64,758)
Exploration and evaluation expenditure capitalised ($)	3,038,658	–
No of issued shares	55,060,100	9,010,100
No of options	17,260,000	11,010,000
Share price ($)	0.180	–
Market capitalisation(Undiluted) ($)	9,910,818	–

Summary of Share Price Movement to the date of this report

	Share Price($)	Date
Highest	$0.415	22 October 2020
Lowest	$0.170	28-29 July 2021
Latest	$0.190	13 September 2021

CORPORATE GOVERNANCE STATEMENT

The Company is committed to high standards of corporate governance designed to enable the Company to meet its performance objectives and better manage its risks.

The Company has adopted a comprehensive governance framework in the form of a formal corporate governance charter together with associated policies, protocols and related instruments (together Charter ). The Charter was formally adopted by the board on 19 December 2019.

The Company’s Charter is based on a template which has been professionally verified to be complementary to and in alignment with the ASX Corporate Governance Council Principles and Recommendations 4th Edition 2019 ( ASX CGCPR ) in all material respects. The Charter also substantially addresses the suggestions of good corporate governance mentioned in the ‘Commentary’ sections of the ASX CGCPR.

The Board is responsible for the overall corporate governance of the Group. The Board has governance oversight of all matters relating to the strategic direction, corporate governance, policies, practices, management and operations of the Group with the aim of delivering value to its Shareholders and respecting the legitimate interest of its other valued stakeholders, including employees, suppliers and joint venture partners.

Under ASX Listing Rule 4.10.3, the Company is required to provide in its annual report details of where shareholders can obtain a copy of its corporate governance statement, disclosing the extent to which the Company has followed the ASX Corporate Governance Council Principles and Recommendations in the reporting period. The corporate governance statement is published on the Company’s website:

https://www.miramarresources.com.au/corporate/corporate governance/

17 MIRAMAR RESOURCES LIMITED ANNUAL REPORT 2021

DIRECTORS’ REPORT

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Significant changes in state of affairs

Insurance of directors and officers

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Other than those disclosed in this annual report no significant changes in the state of affairs of the Group occurred during the financial year.

During or since the end of the financial year, the Company has paid premiums insuring all the Directors of Miramar Resources Limited against costs incurred in defending conduct involving:

Significant events after the balance date

(a) a wilful breach of duty, and

No other matters or circumstances have arisen since the end of the financial year which significantly affected or may significantly affect the operations of the Group, the results of those operations, or state of affairs of the Group in future financial years other than those stated below:

(b) a contravention of sections 182 or 183 of the Corporations Act 2001,

as permitted by section 199B of the Corporations Act 2001.

(a) On 13 September 2021 the Company advised that several key tenements within the 80% Gidji JV Project were granted. Pursuant to the agreement disclosed in the Prospectus dated 4 September 2020, 1,250,000 fully paid ordinary shares will be issued when more than 51% of the total area of ungranted project area are granted. The issue of shares has not occurred on the date of this report.

The total amount of insurance contract premiums paid was $21,150.

Indemnification of auditors

To the extent permitted by law, the Company has agreed to indemnify its auditors, RSM Australia Partners, as part of the terms of its audit engagement agreement against claims by third parties arising from the audit (for an unspecified amount). No payment has been made to indemnify RSM during or since the financial year.

COVID-19

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The COVID-19 pandemic continues to pose a global socio-political, economic and health risk. The potential for the pandemic to have both lasting and unforeseen impacts is high. At this point in time the Group is experiencing minor delays in project timelines as a result of the pandemic. These delays are not expected to be significant. As a Group, we adhere to the changes in government policies and changed the way we work to protect the wellbeing of our people and ensure business continuity. We continue to maintain a state of response readiness commensurate with the risks and in accordance with Government recommendations and health advice.

Dividends

No dividends were paid or declared during the financial year and no recommendation for payment of dividends has been made.

Non–audit services

During the year the associate of RSM Australia Partners, RSM Australia Pty Ltd performed non-audit services to the Group. Refer to note 9 for further information.

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Likely developments and expected results

Auditor’s independence declaration

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The Group expects to maintain the present status and level of operations and hence there are no likely developments in the Group’s operations.

The auditor’s independence declaration as required under section 307C of the Corporations Act 2001 is included on page 19.

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Signed in accordance with a resolution of the Directors made pursuant to s.298(2) of the Corporations Act 2001.

Environmental regulation and performance

The Group is subject to significant environmental regulation in respect to its exploration activities.

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The Group aims to ensure the appropriate standard of environmental care is achieved, and in doing so, that is aware of and is in compliance with all environmental legislation. The Directors of the Group are not aware of any breach of environmental legislation for the year under review.

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Share options

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As at the date of this report, there were 17,260,000 options on issue to purchase ordinary shares at a range of exercise prices (17,260,000 at 30 June 2021).

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Option holders do not have any right, by virtue of the option, to participate in any share issue of the Company or any related body corporate.

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On behalf of the Directors

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Allan Kelly Executive Chairman Perth, Western Australia this 15th of September 2021

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MIRAMAR RESOURCES LIMITED ANNUAL REPORT 2021 18

INDEPENDENCE DECLARATION TO THE DIRECTORS OF MIRAMAR RESOURCES LIMITED

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19 MIRAMAR RESOURCES LIMITED ANNUAL REPORT 2021

DIRECTORS’ DECLARATION

The Directors declare that:

(a) in the Directors’ opinion, there are reasonable grounds to believe that the Company will be able to pay its debts as and when they become due and payable;
(b) in the Directors’ opinion, the attached financial statements and notes thereto are in accordance with the Corporations Act 2001, including compliance with Australian Accounting Standards and International Financial Reporting Standards as disclosed in note 2 to the financial report and giving a true and fair view of the financial position and performance of the Group for the financial year ended 30 June 2021; and
(c) the Directors have been given the declarations required by section 295A of the Corporations Act 2001 for the financial year ended 30 June 2021.

Signed in accordance with a resolution of the Directors made pursuant to section 295(5) of the Corporations Act 2001.

On behalf of the Directors

Allan Kelly Executive Chairman

Perth, Western Australia this 15th of September 2021

MIRAMAR RESOURCES LIMITED ANNUAL REPORT 2021 20

INDEPENDENT AUDITOR’S REPORT TO THE MEMBERS OF MIRAMAR RESOURCES LIMITED

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21 MIRAMAR RESOURCES LIMITED ANNUAL REPORT 2021

INDEPENDENT AUDITOR’S REPORT TO THE MEMBERS OF MIRAMAR RESOURCES LIMITED

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MIRAMAR RESOURCES LIMITED ANNUAL REPORT 2021 22

INDEPENDENT AUDITOR’S REPORT TO THE MEMBERS OF MIRAMAR RESOURCES LIMITED

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23 MIRAMAR RESOURCES LIMITED ANNUAL REPORT 2021

INDEPENDENT AUDITOR’S REPORT TO THE MEMBERS OF MIRAMAR RESOURCES LIMITED

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MIRAMAR RESOURCES LIMITED ANNUAL REPORT 2021 24

CONSOLIDATED STATEMENT OF PROFIT OR LOSS AND OTHER COMPREHENSIVE INCOME for the financial year ended 30 June 2021

			6 August 2019
		2021	to 30 June 2020
	Note	$	$
Continuing operations
Revenue	5(a)	150,000	–
Other income	5(b)	1,716	–
Employee expenses	5(c)	(139,628)	(79,479)
Depreciation expense	5(d)	(30,647)	–
Consultants expenses		(331,047)	(44,899)
Interest expense		(1,638)	–
Occupancy expenses	5(e)	(26,926)	–
Marketing expenses		(82,790)	–
Exploration and evaluation expenses		(114,132)	(64,758)
Write off exploration and evaluation expenses	14	(219,554)	–
Fair value changes in financial assets designated at fair value through P&L		(13,559)	–
Other expenses		(211,705)	(380)
Loss from continuing operations before income tax benefit		(1,019,910)	(189,516)
Income tax expense	6	–	–
Loss attributable to members of the parent entity		(1,019,910)	(189,516)
Other comprehensive income for theyear/period		–	–
Total comprehensive loss for theyear/period		(1,019,910)	(189,516)
Net loss attributable to theparent entity		(1,019,910)	(189,516)
Total comprehensive loss attributable to theparent entity		(1,019,910)	(189,516)
Loss per share:
Basic (cents per share)	21	(2.39)	(192.28)
Diluted (cents per share)	21	(2.39)	(192.28)

The accompanying notes form part of the financial statements.

25 MIRAMAR RESOURCES LIMITED ANNUAL REPORT 2021

CONSOLIDATED STATEMENT OF FINANCIAL POSITION

as at 30 June 2021

Note	2021 $ 2020 $
Current assets Cash and cash equivalents 27(a) Trade and other receivables 10 Other financial assets at fair value throughprofit and loss 11	5,055,388 327,771 71,313 2,968 86,441 –
Total current assets	5,213,142 330,739
Non–current assets Other receivables 12 Plant and equipment 13 Right-of-use asset 17 Capitalised exploration and evaluation expenditure 14	56,000 – 149,129 – 62,518 – 3,038,658 –
Total non–current assets	3,306,305 –
TOTAL ASSETS	8,519,447 330,739
Current liabilities Trade and other payables 15 Provisions 16 Lease liability 17	376,704 31,315 266,957 – 51,473 –
Total current liabilities	695,134 31,315
Non-current liabilities Lease liability 17	12,168 –
Total non-current liabilities	12,168 –
TOTAL LIABILITIES	707,302 31,315
NET ASSETS	7,812,145 299,424
Equity Issued capital 18 Reserves 19 Accumulated losses 20	8,268,845 409,461 752,726 79,479 (1,209,426) (189,516)
TOTAL EQUITY	7,812,145 299,424

The accompanying notes form part of the financial statements.

MIRAMAR RESOURCES LIMITED ANNUAL REPORT 2021 26

CONSOLIDATED STATEMENT OF CHANGES IN EQUITY

for the financial year ended 30 June 2021

For the year ended 30 June 2021	Attributable to equity holders
	Issued Capital $ Reserves $ Accumulated Losses $ Total Equity $
Balance as at 1 July 2021 Total comprehensive income Loss for the year Other comprehensive loss for the year Total comprehensive loss for the year Transactions with owners recorded direct to equity Issue of shares Share based payments Share issue costs Total transactions with owners	409,461 79,479 (189,516) 299,424 – – (1,019,910) (1,019,910) – – – –
	– – (1,019,910) (1,019,910)
	9,180,000 – – 9,180,000 – 673,247 – 673,247 (1,320,616) – – (1,320,616)
	7,859,384 673,247 – 8,532,631
Balance as at 30 June 2021	8,268,845 752,726 (1,209,426) 7,812,145
For the period ended 30 June 2020 Balance as at 6 August 2019 Total comprehensive income Loss for the period Other comprehensive loss for the period Total comprehensive loss for the period Transactions with owners recorded direct to equity Issue of shares Shared based payments Share issue costs Total transactions with owners	– – – – – – (189,516) (189,516) – – – –
	– – (189,516) (189,516)
	410,600 – – 410,600 – 79,479 – 79,479 (1,139) – – (1,139)
	409,461 79,479 – 488,940
Balance as at 30 June 2020	409,461 79,479 (189,516) 299,424

The accompanying notes form part of the financial statements.

27 MIRAMAR RESOURCES LIMITED ANNUAL REPORT 2021

CONSOLIDATED STATEMENT OF CASH FLOWS

for the financial year ended 30 June 2021

			6 August 2019
		2021	to 30 June 2020
	Note	$	$
Cash flows from operating activities
Payments for exploration and evaluation		21,606	(59,758)
Payments to suppliers and employees		(680,722)	(23,071)
Interest received		1,488	–
Net cash used in operating activities	27(b)	(657,628)	(82,829)
Cash flows from investing activities
Payment for acquisition of tenements		(291,970)	–
Payments for exploration and evaluation		(1,530,142)	–
Payment for plant and equipment		(179,776)	–
Proceeds from sale of tenements		50,000
Net cash used in investing activities		(1,951,888)	–
Cash flows from financing activities
Proceeds from issues of equity securities		8,010,000	410,600
Payment for share issue costs		(650,135)	–
Repayment of lease liabilities		(22,732)	–
Net cash received in financing activities		7,337,133	410,600
Net increase in cash and cash equivalents		4,727,617	327,771
Cash and cash equivalents at the beginning of the financialperiod		327,771	–
Cash and cash equivalents at the end of the financialperiod	27(a)	5,055,388	327,771

The accompanying notes form part of the financial statements.

MIRAMAR RESOURCES LIMITED ANNUAL REPORT 2021 28

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS for the financial year ended 30 June 2021

1. General Information

Miramar Resources Limited ( Miramar or the Company ) is a company limited by shares, incorporated and domiciled in Australia, and whose shares are publicly traded on the Australian Securities Exchange. The consolidated financial report of the Group as at year ended 30 June 2021 comprises the Company and its subsidiaries (together referred to as the Group ).

Miramar is a for profit company limited by shares incorporated and domiciled in Australia whose shares are publicly traded on the Australian Securities Exchange.

The nature of the operations and principal activities of the Group are mineral exploration and project development which is further described in the Directors’ Report. Information on other related party relationships is provided in note 25.

2. Summary of significant accounting policies

The financial report is a general purpose financial report, which has been prepared in accordance with the requirements of the Corporations Act 2001, Australian Accounting Standards and other authoritative pronouncements of the Australian Accounting Standards Board. The financial report includes the financial statements of Miramar Resources Limited and its subsidiaries.

The financial report also complies with International Financial Reporting Standards ( IFRS ) as issued by the International Accounting Standards Board.

(a) Basis of preparation

The financial report has been prepared on an accruals basis and is based on historical cost, except for certain financial assets and liabilities which are carried at fair value. Cost is based on the fair values of the consideration given in exchange for assets. All amounts are presented in Australian dollars, unless otherwise noted.

Separate financial statements for Miramar as an individual entity are no longer presented as the consequence of a change to the Corporations Act 2001, however, required financial information for Miramar as an individual entity is included in note 30.

The accounting policies set out below have been applied in preparing the financial statements for the year ended 30 June 2021 and the comparative information presented in these financial statements for the year ended 30 June 2020.

(b) New Accounting Standards for Application in the Current Financial Year and Future Periods

The accounting policies adopted in the preparation of the financial statements are consistent with those followed in the preparation of the Company’s annual financial statements for the year ended 30 June 2020 except for the new accounting standards stated below.

New and Amended Standards Adopted by the Group

The Group has considered the implications of new and amended Accounting Standards which have become applicable for the current financial reporting period.

Initial adoption of AASB 2020-04: COVID-19-Related Rent Concessions

AASB 2020-4: Amendments to Australian Accounting Standards – COVID-19-Related Rent Concessions amends AASB 16 by providing a practical expedient that permits lessees to assess whether rent concessions that occur as a direct consequence of the COVID-19 pandemic and, if certain conditions are met, account for those rent concessions as if they were not lease modifications.

(b) New Accounting Standards for Application in the Current Financial Year and Future Periods (cont’d)

Initial adoption of AASB 2018-6: Amendments to Australian Accounting Standards – Definition of a Business

AASB 2018-6 amends and narrows the definition of a business specified in AASB 3: Business Combinations, simplifying the determination of whether a transaction should be accounted for as a business combination or an asset acquisition. Entities may also perform a calculation and elect to treat certain acquisitions as acquisitions of assets.

Initial adoption of AASB 2018-7: Amendments to Australian Accounting Standards

– Definition of Material

This amendment principally amends AASB 101 and AASB 108 by refining the definition of material by improving the wording and aligning the definition across the standards issued by the AASB.

Initial adoption of AASB 2019-1: Amendments to Australian Accounting Standards – References to the Conceptual Framework

This amendment amends Australian Accounting Standards, Interpretations and other pronouncements to reflect the issuance of Conceptual Framework for Financial Reporting by the AASB.

The standards listed above did not have any impact on the amounts recognised in prior periods and are not expected to significantly affect the current or future periods.

New Accounting Standards and Interpretations not yet mandatory or early adopted

Australian Accounting Standards and Interpretations that have recently been issued or amended but are not yet mandatory, have not been early adopted by the Group for the annual reporting period ended 30 June 2021. The Group has not yet assessed the impact of these new or amended Accounting Standards and Interpretations.

(c) Cash and cash equivalents

Cash and cash equivalents comprise cash on hand, cash in banks and investments in money market instruments that are readily convertible to known amount of cash which are subject to an insignificant risk of change in value , net of outstanding bank overdrafts.

(d) Employee benefits

Provision is made for benefits accruing to employees in respect of wages and salaries and annual leave when it is probable that settlement will be required and they are capable of being measured reliably. Liabilities recognised in respect of employee benefits expected to be settled within 12 months, are measured at their nominal values using the remuneration rate expected to apply at the time of settlement. Liabilities recognised in respect of employee benefits which are not expected to be settled within 12 months are measured as the present value of the estimated future cash outflows to be made by the Group in respect of services provided by employees up to reporting date.

29 MIRAMAR RESOURCES LIMITED ANNUAL REPORT 2021

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS for the financial year ended 30 June 2021

2. Statement of significant accounting policies (cont’d)

(e) Financial assets

Financial assets are recognised and derecognised on trade date where purchase or sale of an investment is under a contract whose terms require delivery of the investment within the timeframe established by the market concerned, and are initially measured at fair value, net of transaction costs.

Subsequently measured at fair value through profit or loss ( FVPL ), amortised cost, or fair value through other comprehensive income ( FVOCI ). The classification is based on two criteria: the Group’s business model for managing the assets; and whether the instruments’ contractual cash flows represent ‘solely payments of principal and interest’ ( SPPI ) on the principal amount outstanding ( SPPI criterion ). The SPPI test is applied to the entire financial asset, even if it contains an embedded derivative. Consequently, a derivative embedded in a debt instrument is not accounted for separately.

Trade and other receivables

Trade receivables are initially recognised at their transaction price and other receivables at fair value. Receivables that are held to collect contractual cash flows and are expected to give rise to cash flows representing solely payments of principal and interest are classified and subsequently measured at amortised cost. Receivables that do not meet the criteria for amortised cost are measured at FVPL.

The Group assesses on a forward-looking basis the ECL associated with its debt instruments carried at amortised cost. The amount of ECL is updated at each reporting date to reflect changes in credit risk since initial recognition of the respective financial instrument. The Group always recognises the lifetime ECL for trade receivables carried at amortised cost. The ECL on these financial assets are estimated based on the Group’s historic credit loss experience, adjusted for factors that are specific to the debtors, general economic conditions and an assessment of both the current as well as forecast conditions at the reporting date.

For all other receivables measured at amortised cost, the Group recognises lifetime ECL when there has been a significant increase in credit risk since initial recognition. If the credit risk on the financial instrument has not increased significantly since initial recognition, the Group measures the loss allowance for that financial instrument at an amount equal to ECL within the next 12 months.

The Group considers an event of default has occurred when a financial asset is more than 90 days past due or external sources indicate that the debtor is unlikely to pay its creditors, including the Group. A financial asset is credit impaired when there is evidence that the counterparty is in significant financial difficulty or a breach of contract, such as a default or past due event has occurred. The Group writes off a financial asset when there is information indicating the counterparty is in severe financial difficulty and there is no realistic prospect of recovery.

Equity instruments

Shares and options held by the Group are classified as equity instruments and are stated at FVPL. Gains and losses arising from changes in fair value are recognised directly to profit or loss for the period.

Loans receivables

Loans receivables are classified, at initial recognition, and subsequently measured at amortised cost, FVOCI, or FVPL. Loan receivables that are held to collect contractual cash flows and are expected to give rise to cash flows representing solely payments of principal and interest are classified and subsequently measured at amortised cost. Loan receivables that do not meet the criteria for amortised cost are measured at FVPL.

(f) Financial instruments issued by the Company

Debt and equity instruments

Debt and equity instruments are classified as either liabilities or equity in accordance with the substance of the contractual arrangement.

Transaction costs on the issue of equity instruments

Transaction costs arising on the issue of equity instruments are recognised directly in equity as a reduction of the proceeds of the equity instruments to which the costs relate. Transaction costs are the costs that are incurred directly in connection with the issue of those equity instruments and which would not have been incurred had those instruments not been issued.

(g) Goods and services tax

Revenues, expenses and assets are recognised net of the amount of goods and services tax (GST), except:

i. where the amount of GST incurred is not recoverable from the taxation authority, it is recognised as part of the cost of acquisition of an asset or as part of an item of expense; or
ii. for receivables and payables which are recognised inclusive of GST.

The net amount of GST recoverable from, or payable to, the taxation authority is included as part of receivables or payables.

Cash flows are included in the statement of cash flows on a gross basis. The GST component of cash flows arising from investing and financing activities which is recoverable from, or payable to, the taxation authority is classified as operating cash flows.

(h) Impairment of non-financial assets

At each reporting date, the Group reviews the carrying amounts of its tangible and intangible assets to determine whether there is any indication that those assets have suffered an impairment loss. Where the asset does not generate cash flows that are independent from other assets, the Group estimates the recoverable amount of the cash–generating unit to which the asset belongs. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any), being the higher of the asset’s fair value less costs to sell and value in use to the asset’s carrying value. Excess of the asset’s carrying value over its recoverable amount is expensed to the consolidated statement of profit or loss and other comprehensive income.

Intangible assets with indefinite useful lives and intangible assets not yet available for use are tested for impairment annually and whenever there is an indication that the asset may be impaired.

Recoverable amount is the higher of fair value less costs to sell and value in use. In assessing value in use, the estimated future cash flows are discounted to their present value using a pre–tax discount rate that reflects current market assessments of the time value of money and the risks specific to the asset for which the estimates of future cash flows have not been adjusted.

Where an impairment loss subsequently reverses, the carrying amount of the asset (cash–generating unit) is increased to the revised estimate of its recoverable amount, but only to the extent that the increased carrying amount does not exceed the carrying amount that would have been determined had no impairment loss been recognised for the cash–generating unit in prior years. A reversal of an impairment loss is recognised in profit or loss immediately, unless the relevant asset is carried at fair value, in which case the reversal of the impairment loss is treated as a revaluation increase.

MIRAMAR RESOURCES LIMITED ANNUAL REPORT 2021 30

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS for the financial year ended 30 June 2021

2. Statement of significant accounting policies (cont’d)

(i) Tax

Current tax

Current tax is calculated by reference to the amount of income taxes payable or recoverable in respect of the taxable profit or tax loss for the period. It is calculated using tax rates and tax laws that have been enacted or substantively enacted by reporting date. Current tax for current and prior periods is recognised as a liability (or asset) to the extent that it is unpaid (or refundable).

Deferred tax

Deferred tax is accounted for using the full liability method in respect of temporary differences arising from differences between the carrying amount of assets and liabilities in the financial statements and the corresponding tax base of those items.

Deferred tax liabilities are recognised for taxable temporary differences arising on investments in subsidiaries, branches, associates and joint ventures except where the entity is able to control the reversal of the temporary differences and it is probable that the temporary differences will not reverse in the foreseeable future. Deferred tax assets arising from deductible temporary differences associated with these investments and interests are only recognised to the extent that it is probable that there will be sufficient taxable profits against which to utilise the benefits of the temporary differences and they are expected to reverse in the foreseeable future.

Deferred tax assets and liabilities are measured at the tax rates that are expected to apply to the period(s) when the asset and liability giving rise to them are realised or settled, based on tax rates (and tax laws) that have been enacted or substantively enacted by reporting date. The measurement of deferred tax liabilities and assets reflects the tax consequences that would follow from the manner in which the entity expects, at the reporting date, to recover or settle the carrying amount of its assets and liabilities.

Deferred tax assets and liabilities are offset when they relate to income taxes levied by the same taxation authority and the entity intends to settle its current tax assets and liabilities on a net basis.

Current and deferred tax for the period

Current and deferred tax is recognised as an expense or income in the statement of profit or loss and other comprehensive income, except when it relates to items credited or debited directly to equity, in which case the deferred tax is also recognised directly in equity, or where it arises from the initial accounting for a business combination, in which case it is taken into account in the determination of goodwill or excess.

Tax consolidation

Legislation to allow groups, comprising a parent entity and its Australian resident wholly owned entities, to elect to consolidate and be treated as a single entity for income tax purposes was substantively enacted on 21 October 2002. The Company and its 100% owned Australian resident subsidiaries implemented the tax consolidation legislation on 28 May 2020 with Miramar as the head entity.

(j) Government grants

Government grants are recognised where there is reasonable assurance that the grant will be received and all attached conditions will be complied with. When the grant relates to an expense item, it is recognised as income on a systematic basis over the periods that the related costs, for which it is intended to compensate, are expensed. When the grant relates to an asset, it is recognised as income in equal amounts over the expected useful life of the related asset.

(j) Government grants (cont’d)

When the Group receives grants of non-monetary assets, the asset and the grant are recorded at nominal amounts and released to profit or loss over the expected useful life of the asset, based on the pattern of consumption of the benefits of the underlying asset by equal annual instalments.

(k) Plant and equipment

Plant and equipment are stated at cost less accumulated depreciation and impairment loss. Cost includes expenditure that is directly attributable to the acquisition of the item.

Depreciation is provided on plant and equipment. Depreciation is calculated on a straight line or diminishing value basis so as to write off the net cost of each asset over its expected useful life to its estimated residual value. The estimated useful lives, residual values and depreciation method are reviewed at the end of each annual reporting period.

The depreciation rates used for each class of depreciable assets are:

Class of fixed asset	Depreciation rate(%)
Office furniture	25.0 – 33.33
Office equipment	25.0 – 33.33
Motor vehicles	25.00

(l) Exploration and evaluation expenditure

Exploration and evaluation expenditure in relation to each separate area of interest are recognised as capitalised exploration and evaluation asset in the year in which they are incurred where the following conditions are satisfied:

i. the right to tenure of the area of interest are current; and
ii. at least once of the following conditions is also met:
the exploration and evaluation expenditures are expected to be recouped through successful development and exploration of the area of interest, or alternatively, by its sale; or
exploration and evaluation activities in the area of interest have not, at the reporting date, reached a stage which permits a reasonable assessment of the existence or otherwise of economically recoverable reserves, and active operations in, or relating to, the area are continuing.

Capitalised exploration costs for each area of interest (considered to be the cash generating unit) are reviewed each reporting date to test whether an indication of impairment exists. If any such indication exists, the recoverable amount of the capitalised exploration costs is estimated to determine the extent of the impairment loss (if any). The recoverable amount for capitalised exploration costs has been determined as the fair value less costs to sell by reference to an active market. Where an impairment loss subsequently reverses, the carrying amount of the asset is increased to the revised estimate of its recoverable amount, but only to the extent that the increased carrying amount does not exceed the carrying amount that would have been determined had no impairment loss been recognised for the asset in previous years.

Where a decision is made to proceed with development, accumulated expenditure is tested for impairment and transferred to capitalised development and then amortised over the life of the reserves associated with the area of interest once mining operations have commenced.

31 MIRAMAR RESOURCES LIMITED ANNUAL REPORT 2021

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS for the financial year ended 30 June 2021

2. Statement of significant accounting policies (cont’d)

(m) Joint arrangements

Joint ventures

A joint venture is a type of joint arrangement whereby the parties that have joint control of the arrangement have rights to the net assets of the joint venture. Joint control is the contractually agreed sharing of control of an arrangement, which exists only when decisions about the relevant activities require unanimous consent of the parties sharing control.

The considerations made in determining significant influence or joint control is similar to those necessary to determine control over subsidiaries.

The Group’s investments in joint ventures are accounted for using the equity method.

Under the equity method, the investment in a joint venture is initially recognised at cost. The carrying amount of the investment is adjusted to recognise changes in the Group’s share of net assets of the joint venture since the acquisition date. Goodwill relating to the joint venture is included in the carrying amount of the investment and is neither amortised nor individually tested for impairment.

The statement of profit or loss and other comprehensive income reflects the Group’s share of the results of operations of the joint venture. Any change in OCI of those investees is presented as part of the Group’s OCI. In addition, when there has been a change recognised directly in the equity of the joint venture, the Group recognises its share of any changes, when applicable, in the statement of changes in equity. Unrealised gains and losses resulting from transactions between the Group and joint venture are eliminated to the extent of the interest in the joint venture.

The aggregate of the Group’s share of profit or loss of a joint venture is shown on the face of the statement of profit or loss and other comprehensive income outside operating profit and represents profit or loss after tax and non-controlling interests in the subsidiaries of the joint venture.

The financial statements of the joint venture are prepared for the same reporting period as the Group. When necessary, adjustments are made to bring the accounting policies in line with those of the Group. After application of the equity method, the Group determines whether it is necessary to recognise an impairment loss on its investment in its joint venture. At each reporting date, the Group determines whether there is objective evidence that the investment in the joint venture is impaired.

If there is such evidence, the Group calculates the amount of impairment as the difference between the recoverable amount of the joint venture and its carrying value, then recognises the loss as ‘Share of profit of a joint venture’ in the statement of profit or loss and other comprehensive income.

Upon loss of joint control over the joint venture, the Group measures and recognises any retained investment at its fair value. Any difference between the carrying amount of the joint venture upon loss of joint control and the fair value of the retained investment and proceeds from disposal is recognised in profit or loss.

Joint operations

The Group recognises its interest in joint operations by recognising its:

Assets, including its share of any assets held jointly
Liabilities, including its share of any liabilities incurred jointly  Revenue from the sale of its share of the output arising from the joint operation
Share of the revenue from the sale of the output by the joint operation
(n) Principles of consolidation

The consolidated financial statements comprise the financial statements of the Group as at and for the period ended 30 June 2021. Control is achieved when the Group is exposed, or has rights, to variable returns from its involvement with the investee and has the ability to affect those returns through its power over the investee. Specifically, the Group controls an investee if and only if the Group has:

Power over the investee (i.e. existing rights that give it the current ability to direct the relevant activities of the investee);
Exposure, or rights, to variable returns from its involvement with the investee; and
The ability to use its power over the investee to affect its returns.

When the Group has less than a majority of the voting or similar rights of an investee, the Group considers all relevant facts and circumstances in assessing whether it has power over an investee, including:

The contractual arrangement with the other vote holders of the investee;
Rights arising from other contractual arrangements; and  The Group’s voting rights and potential voting rights.

The Group re-assesses whether or not it controls an investee if facts and circumstances indicate that there are changes to one or more of the three elements of control. Consolidation of a subsidiary begins when the Group obtains control over the subsidiary and ceases when the Group loses control of the subsidiary. Assets, liabilities, income and expenses of a subsidiary acquired or disposed of during the year are included in the statement of profit or loss and other comprehensive income from the date the Group gains control until the date the Group ceases to control the subsidiary.

Profit or loss and each component of other comprehensive income (OCI) are attributed to the equity holders of the parent of the Group and to the non-controlling interests, even if this results in the non-controlling interests having a deficit balance. When necessary, adjustments are made to the financial statements of subsidiaries to bring their accounting policies into line with the Group’s accounting policies. All intra-group assets and liabilities, equity, income, expenses and cash flows relating to transactions between members of the Group are eliminated in full on consolidation.

A change in the ownership interest of a subsidiary, without a loss of control, is accounted for as an equity transaction. If the Group loses control over a subsidiary, it:

De-recognises the assets (including goodwill) and liabilities of the subsidiary;
De-recognises the carrying amount of any non-controlling interests;
De-recognises the cumulative translation differences recorded in equity;
Recognises the fair value of the consideration received;
Recognises the fair value of any investment retained;
Recognises any surplus or deficit in profit or loss; and
Reclassifies the parent’s share of components previously recognised in OCI to profit or loss or retained earnings, as appropriate, as would be required if the Group had directly disposed of the related assets or liabilities.

A list of subsidiaries appears in note 4 to the financial statements.

(o) Operating cycle

The operating cycle of the Group coincides with the annual reporting cycle.

Expenses, including its share of any expenses incurred jointly

MIRAMAR RESOURCES LIMITED ANNUAL REPORT 2021 32

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS for the financial year ended 30 June 2021

2. Statement of significant accounting policies (cont’d)

(p) Payables

Trade payables and other accounts payable are recognised when the Group becomes obliged to make future payments resulting from the purchase of goods and services.

(u) Leases

The Group assesses at contract inception whether a contract is, or contains, a lease. That is, if the contract conveys the right to control the use of an identified asset for a period of time in exchange for consideration

(q) Provisions

Provisions are recognised when the Group has a present obligation, the future sacrifice of economic benefits is probable, and the amount of the provision can be measured reliably.

The amount recognised as a provision is the best estimate of the consideration required to settle the present obligation as a result of a past event at reporting date, taking into account the risks and uncertainties surrounding the obligation. Where a provision is measured using the cashflows estimated to settle the present obligation, its carrying amount is the present value of those cashflows.

When some or all of the economic benefits required to settle a provision are expected to be recovered from a third party, the receivable is recognised as an asset if it is virtually certain that recovery will be received and the amount of the receivable can be measured reliably.

(r) Share–based payments

Equity–settled share–based payments are measured at fair value at the date of grant. Fair value is measured by use of the Black and Scholes model or Monte-Carlo simulation model. The expected life used in the model has been adjusted, based on management’s best estimate, for the effects of non–transferability, exercise restrictions, and behavioural considerations.

The fair value determined at the grant date of the equity–settled share–based payments is expensed on a straight–line basis over the vesting period, based on the entity’s estimate of shares that will eventually vest.

For cash–settled share–based payments, a liability equal to the portion of the goods or services received is recognised at the current fair value determined at each reporting date.

(s) Revenue recognition

Revenue is recognised when or as the Group transfers control of goods or services to a customer at the amount to which the Group expects to be entitled. If the Group estimates the amount of consideration promised includes a variable amount, the Group estimates the amount of consideration to which it will be entitled.

Dividend and interest revenue

Dividend revenue is recognised on a receivable basis. Interest revenue is recognised on a time proportionate basis that takes into account the effective yield on the financial asset.

(t) Segment reporting policy

Operating segments are identified and segment information disclosed on the basis of internal reports that are regularly provided to, or reviewed by the Group’s chief operating decision maker which, for the Group, is the Board of Directors. In this regard, such information is provided using similar measures to those used in preparing the statement of profit or loss and other comprehensive income and statement of financial position.

Group as a lessee

The Group applies a single recognition and measurement approach for all leases, except for short-term leases (i.e., leases with a lease term of 12 months or less) and leases of low-value assets. The Group recognises lease liabilities to make lease payments and right-of-use assets representing the right to use the underlying assets.

(i) Right-of-use assets

The Group recognises right-of-use assets at the commencement date of the lease (i.e., the date the underlying asset is available for use). Right-of-use assets are measured at cost, less any accumulated depreciation and impairment losses, and adjusted for any re-measurement of lease liabilities. The cost of right-ofuse assets includes the amount of lease liabilities recognised, initial direct costs incurred, and lease payments made at or before the commencement date less any lease incentives received. Unless the Group is reasonably certain to obtain ownership of the leased asset at the end of the lease term, the recognised right-of-use assets are depreciated on a straight-line basis over the shorter of its estimated useful life and the lease term (where the Group does not have a purchase option at the end of the lease term). Rightof-use assets are subject to impairment assessment.

(ii) Lease Liabilities

At the commencement date of the lease, the Group recognises lease liabilities measured at the present value of lease payments to be made over the lease term. The lease payments include fixed payments (including in-substance fixed payments) less any lease incentives receivable, variable lease payments that depend on an index or a rate, and amounts expected to be paid under residual value guarantees. The lease payments also include the exercise price of a purchase option reasonably certain to be exercised by the Group and payments of penalties for terminating a lease, if the lease term reflects the Group exercising the option to terminate. The variable lease payments that do not depend on an index or a rate are recognised as expense in the period on which the event or condition that triggers the payment occurs.

In calculating the present value of lease payments, the Group uses the incremental borrowing rate at the lease commencement date if the interest rate implicit in the lease is not readily determinable. After the commencement date, the amount of lease liabilities is increased to reflect the accretion of interest and reduced for the lease payments made. In addition, the carrying amount of lease liabilities is remeasured if there is a modification, a change in the lease term, a change in the in-substance fixed lease payments or a change in the assessment to purchase the underlying asset.

(iii) Short-term leases and Low Value Assets

The Group applies the short-term lease recognition exemption to its short-term leases of their Office Spaces (i.e., those leases that have a lease term of 12 months or less from the commencement date and do not contain a purchase option). It also applies the lease of low-value assets recognition exemption (i.e. below $5,000). Lease payments on short-term leases and leases of lowvalue assets are expensed on a straight-line basis over the lease term.

33 MIRAMAR RESOURCES LIMITED ANNUAL REPORT 2021

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS for the financial year ended 30 June 2021

2. Statement of significant accounting policies (cont’d)

(v) Fair value measurement

The Group measures equity instrument at fair value and receivables are measured at amortised costs at each reporting date.

Fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. The fair value measurement is based on the presumption that the transaction to sell the asset or transfer the liability takes place either:

In the principal market for the asset or liability; or
In the absence of a principal market, in the most advantageous market for the asset or liability.

All assets and liabilities for which fair value is measured or disclosed in the financial statements are categorised within the fair value hierarchy, described as follows, based on the lowest level input that is significant to the fair value measurement as a whole:

Level 1: Quoted (unadjusted) market prices in active markets for identical assets or liabilities;
Level 2: Valuation techniques for which the lowest level input that is significant to the fair value measurement is directly or indirectly observable; or
Level 3: Valuation techniques for which the lowest level input that is significant to the fair value measurement is unobservable.
(w) 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.

(x) Earnings per share

Basic earnings per share

Basic earnings per share is calculated by dividing the profit attributable to the owners of Miramar Resources Limited, excluding any costs of servicing equity other than ordinary shares, by the weighted average number of ordinary shares outstanding during the financial 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.

3. Critical accounting estimates and judgements

In the application of the Group’s accounting policies, which are described in note 2, management is required to make judgments, estimates and assumptions about carrying values of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and various other factors that are believed to be reasonable under the circumstance, the results of which form the basis of making the judgments. Actual results may differ from these estimates.

The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised if the revision affects only that period, or in the period of the revision and future periods if the revision affects both current and future periods.

The key estimates and assumptions that have a significant risk of causing a material adjustment to the carrying amounts of certain assets and liabilities within the next annual reporting period are:

Key judgements — capitalised exploration and evaluation expenditure

The future recoverability of exploration and evaluation expenditure capitalised on the acquisition of areas of interest and/or capitalised JORC compliant mineral resource expenditure are dependent on 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. To the extent that capitalised acquisition costs and/or capitalised JORC compliant mineral resource expenditure are determined not to be recoverable in the future, profits and net assets will be reduced in the period in which this determination is made.

Key judgements — share–based payments

The Group measures the cost of equity settled transactions with employees by reference to the fair value of the equity instruments at the date at which they are granted. The fair value is determined using a Black Scholes model. The related assumptions detailed in note 8. The accounting estimates and assumptions relating to equity-settled share-based payments would have no impact on the carrying amount of assets and liabilities within the next annual reporting period but may impact expenses and equity.

MIRAMAR RESOURCES LIMITED ANNUAL REPORT 2021 34

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS for the financial year ended 30 June 2021

4. Subsidiary

Name of entity Country of incorporation	Ownership Interest
	2021 % 2020 %
Parent entity: Miramar Resources Limited (i) Australia Subsidiary: Miramar (Goldfields) Pty Ltd (ii) Australia MQMinerals PtyLtd (iii) Australia	100 100 100 100

(i) Miramar Resources Limited (previously Miramar Holdings Pty Ltd) is the ultimate parent entity.

(ii) The 100% interest in Miramar (Goldfields) Pty Ltd is held by the parent entity. The company was incorporated on 28 May 2020.

(iii) The 100% interest in MQ Minerals Pty Ltd is held by the parent entity. The company was incorporated on 26 October 2020.

5. Income/expenses from operations

		2021 $ 2020 $
(a) (b) (c) (d)	Revenue Proceeds from sale of tenements(i)	150,000 –
	Total revenue	150,000 –
	(i) The Company sold its 100% owned Garden Gully Project to Sipa Resources Limited (Sipa) for $150,000 which consists of $50,000 cash and $100,000 worth of fully paid ordinary shares in Sipa. Refer note 11 for further information. Interest income Bank	1,716 –
	Total interest income	1,716 –
	Employee expenses Salaries and wages Post-employment benefits Defined contribution plans Share-based payments Equitysettled share-basedpayments	95,864 – 40,999 – 2,765 79,479
	Total employee expenses	139,628 79,479
	Depreciation of non-current assets	30,647 –
(e)	Occupancy expenses Rent Depreciation of right-of-use assets	4,710 – 22,216 –
	Total occupancy expenses	26,926 –
	The Group has a lease of office space with lease terms of 12 months or less and is a lease of low- value asset. The Group applies the ‘short-term lease’ and ‘lease of low-value assets’ recognition exemption for the lease.

35 MIRAMAR RESOURCES LIMITED ANNUAL REPORT 2021

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS for the financial year ended 30 June 2021

6. Income taxes

Income taxes
			2021	2020
			$	$
Income tax recognised in consolidated profit or loss
Current income tax
Current income tax charged			840,293	4,834
Tax not recognised			(840,293)	(4,834)
Deferred income tax
Relating to origination and reversal of temporary differences			703,809	31,949
Deferred tax not recognised			(703,809)	(31,949)
Total tax benefit			–	–
Reconciliation of income tax expense/(benefit) applicable to accounting profit		before
income tax at the statutory income tax rate to income tax expense at the	Company’s
effective income tax rate for the period ended 30 June 2021 is as follows:
Loss from operations			(1,019,910)	(189,516)
Income tax expense calculated at 30% (2020: 27.5%)			(305,973)	(52,117)
Effect of expenses that are not deductible in determining taxable loss			1,260	21,856
Temporary differences not recognised			(535,580)	25,427
Unused tax losses not recognised as deferred tax assets			840,293	4,834
Income tax benefit			–	–
Unrecognised deferred tax assets
			Consolidated Statement of Profit or
Consolidated Statement of				Loss and Other
		Financial Position	Comprehensive Income
2021		2020	2021	2020
	$	$	$	$

			Consolidated Statement of Profit or	Consolidated Statement of Profit or
	Consolidated Statement of			Loss and Other
		Financial Position	Comprehensive Income
	2021	2020	2021	2020
	$	$	$	$
Deferred tax assets have not been
recognised in respect of the following items
Trade and other receivables	(2,210)	–	(2,210)	–
Other financial assets	4,068	–	4,068	–
Plant & equipment	(44,739)	–	(44,739)	–
Right of use asset	(18,755)	–	(18,755)	–
Capitalised exploration and evaluation expenditure	(431,034)	–	(431,034)	–
Trade and other payables	19,988	7,014	12,974	7,014
Provisions	7,712	–	7,712	–
Lease liability - current	15,442	–	15,442	–
Lease liability - non-current	3,650	–	3,650	–
Business related costs - equity	317,153	250	316,903	250
Business related costs - P&L	3,775	4,569	(794)	4,569
Tenement acquisition	16,671	15,282	1,389	15,282
Revenue losses	844,037	4,834	839,203	4,834
Deferred tax assets not recognised	735,758	31,949
Deferred tax(income)/expense			703,809	31,949

The tax losses do not expire under current legislation. Deferred tax assets have not been recognised in respect of these items because it is not probable that future taxable profit will be available against which the Group can utilise the benefits.

Tax consolidation

Relevance of tax consolidation to the Group

Legislation to allow groups, comprising a parent entity and its Australian resident wholly owned entities, to elect to consolidate and be treated as a single entity for income tax purposes was substantively enacted on 21 October 2002. The Company and its 100% owned Australian resident subsidiaries have implemented the tax consolidation legislation.

MIRAMAR RESOURCES LIMITED ANNUAL REPORT 2021 36

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS for the financial year ended 30 June 2021

7. Key management personnel disclosures

Details of key management personnel compensation are set out on pages 12 to 16 of the Directors’ Report.

	2021 $ 2020 $
The aggregate compensation made to key management personnel is set out below: Short-term employee benefits Post-employment benefits Share-basedpayment	338,976 – 28,207 – – 79,479
Total	367,183 79,479

8. Share-based payments

The Company has an ownership based compensation arrangement for employees of the Group.

Each option issued under the arrangement converts into one ordinary share on exercise. No amounts are paid or payable by the recipient on receipt of the option. Options neither carry rights to dividends nor voting rights. Options may be exercised at any time from the date of vesting to the date of their expiry. The number of options granted is at the sole discretion of the Directors.

Incentive options issued to Directors (executive and non–executive) are subject to approval by shareholders and attach vesting conditions as appropriate. Details of options over ordinary shares in the Company provided as remuneration to each Director during the year are set out on pages 13 to 16 of the Remuneration Report.

The following share–based payment arrangements were in existence during the current and comparative reporting periods:

	Options series Number Grant date Expiry date Exerciseprice
	OPT001 3,000,000 26 June 2020 26 June 2025 $0.20 OPT002 8,210,000 26 June 2020 22 October 2022 $0.20 OPT003 6,000,000 9 October 2020 9 October 2023 $0.25 OPT004 50,000 7 January 2021 6 January 2023 $0.48



	The following unlisted options were issued during the period and are not share–based payment to employees. Options series Number Grant date Expiry date Exerciseprice

	OPT003 6,000,000 9 October 2020 9 October 2023 $0.25 OPT004 50,000 7 January 2021 6 January 2023 $0.48

	Expenses arising from share-based payment transactions 2021 $ 2020 $
	Options issued to key management personnel – 79,479 Options issued to non-employees 670,482 – Options issued to employees 2,765 –
	Total 673,247 79,479
	Unlisted options

The following table summarise the share options during the period.

									Vested and
				Balance at				Balance at	exercisable
			Exercise	1 Jul	Granted	Exercised	Forfeited	30 Jun	at 30 Jun
Grant date		Expiry date	price	No.	No.	No.	No.	No.	No.
2021
19 Jun 20		26 Jun 25	$0.20	3,000,000	–	–	–	3,000,000	–
26 Jun 20		22 Oct 22	$0.20	8,210,000	–	–	–	8,210,000	–
9 Oct 20	(i)	9 Oct 23	$0.25	–	6,000,000	–	–	6,000,000	–
7 Jan 21	(i)	6 Jan 23	$0.48	–	50,000	–	–	50,000	–
Total				11,210,000	6,050,000	–	–	17,260,000	–
Weighted average exerciseprice				$0.20	$0.25	–	–	$0.22	–

37 MIRAMAR RESOURCES LIMITED ANNUAL REPORT 2021

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS for the financial year ended 30 June 2021

8. Share-based payments (cont’d)

Unlisted options (cont’d)

								Vested and
			Balance at				Balance at	exercisable
		Exercise	1 Jul	Granted	Exercised	Forfeited	30 Jun	at 30 Jun
Grant date	Expiry date	price	No.	No.	No.	No.	No.	No.
2020
19 Jun 20	26 Jun 25	$0.20	–	3,000,000	–	–	3,000,000	3,000,000
26 Jun 20	22 Oct 22	$0.20	–	8,210,000	–	–	8,210,000	8,210,000
Total			–	11,210,000	–	–	11,210,000	11,210,000
Weighted average exerciseprice			–	$0.20	–	–	$0.20	$0.20

The weighted average remaining contractual life of options outstanding at the end of the financial year was 2.11 years (2020: 4.99 years).

(i) Issued during the financial year

For the options granted during the current financial year, the valuation model inputs used to determine the fair value at the grant date, are as follows:

	Grant date Expiry date Share price at grant date Exerciseprice Expected volatility	Dividendyield Risk-free interest rate Fair value at grant date
	9 Oct 20 9 Oct 23 $0.20 $0.25 97.78% 7 Jan 21 6 Jan 23 $0.34 $0.48 82.60%	Nil 0.15% $0.11 Nil 0.08% $0.12
		2021 $ 2020 $
Remuneration of auditors Audit or review of the financial report RSM Australia Partners Other services – Investigative Accountant’s Report RSM Australia PtyLtd		32,000 5,000 10,000 –
Total		42,000 5,000
Current trade and other receivables Net goods and services tax (GST) receivable Other receivables		59,464 2,968 11,849 –
Total		71,313 2,968
Other financial assets at fair value through profit and loss Current Available-for-sale investments Quoted equityshares (i)		86,441 –
Total		86,441 –

9. Remuneration of auditors

10. Current trade and other receivables

11. Other financial assets at fair value through profit and loss

(i) The Company sold its 100% owned Garden Gully Project to Sipa Resources Limited ( Sipa ) for $150,000 which consists of $50,000 cash and $100,000 worth of fully paid ordinary shares in Sipa. The Company holds 1,694,915 shares in Sipa as a result of the sale. Refer note 5(a) for further information.

MIRAMAR RESOURCES LIMITED ANNUAL REPORT 2021 38

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

for the financial year ended 30 June 2021

12. Other receivables

Other receivables
	2021	2020
	$	$
Non-current
Other receivables – bond	56,000	–
Total	56,000	–

13. Plant and equipment

13.	Plant and equipment
	Motor vehicle $ Furniture and equipment $ Total $
	Cost
	Balance at 1 July 2020 – – –
	Additions 110,209 69,567 179,776
	Balance at 30 June 2021 110,209 69,567 179,776
	Accumulated depreciation

	Balance at 1 July 2020 – – –
	Additions 9,085 21,562 30,647
	Balance at 30 June 2021 9,085 21,562 30,647
	Net book value As at 30 June 2020 – – –


	As at 30 June 2021 101,124 48,005 149,129
14.	Capitalised exploration and evaluation expenditure 2021 $ 2020 $
	Balance at beginning of financial year – – Capitalised acquisition costs (i) 1,703,220 – Exploration expenditure during the period 1,554,992 – LESS: Disposal of assets (ii) (219,554) –
	Balance at end of financialyear 3,038,658 –

(i) The Company exercised the options to purchase tenements during the period. Payment was made by cash and issue of shares in accordance with the respective agreements.

(ii) The Company sold its 100% owned Garden Gully Project to Sipa Resources Limited (Sipa) for $150,000 which consists of $50,000 cash and $100,000 worth of fully paid ordinary shares in Sipa. Refer note 5(a) and note 11 for further information.

The recoverability of the carrying amount of the exploration and evaluation assets is dependent on the continuance of the Group’s right to tenure of the interest, the results of future exploration and the successful development and commercial exploration, or alternatively, sale of the respective area of interest.

39 MIRAMAR RESOURCES LIMITED ANNUAL REPORT 2021

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS for the financial year ended 30 June 2021

15.		2021 $ 2020 $
	Current trade and other payable Trade payable Accruals Otherpayables	185,069 5,815 119,592 25,500 72,043 –
	Total	376,704 31,315

16.	Provision Current Employee benefits Other (i)	25,707 – 241,250 –
	Total	266,957 –

(i) On 23 July 2020 the Company executed a Tenement Sale Agreement with Thunder Metals Pty Ltd (Thunder Metals) to acquire 80% legal and beneficial interest in the Tenements. On 7 October 2020 the Company elected to exercise the Option and made a cash payment of $57,500 and issued 1,250,000 fully paid ordinary share to Thunder Metals. The Company will issue a further 1,250,000 fully paid shares upon grant of the presently ungranted Tenements representing not less than 51% of the total area and a final cash payment of $50,000 for the balance 49% of the total area.

(Thunder Metals) to acquire 80% legal and beneficial interest in the Tenements. On 7 October 2020 the Company elected to exercise the Option and made a cash payment of $57,500 and issued 1,250,000 fully paid ordinary share to Thunder Metals. The Company will issue a further 1,250,000 fully paid shares upon grant of the presently ungranted Tenements representing not less than 51% of the total area and a final cash payment of $50,000 for the balance 49% of the total area.
Employee benefits	Other	Total
$	$	$
Balance at 1 July 2020 –	–	–
Movement inprovision 25,707	241,250	266,957
Balance at 30 June 2021 25,707	241,250	266,957

17. Leases

Right-of-use asset	2021 $ 2020 $
Non-current	62,518 –
Total	62,518 –
	Building $ Total $
Balance at 1 July 2020	– –
Additions	84,734 84,734
Depreciation expense	(22,216) (22,216)
Balance at 30 June 2021	62,518 62,518

MIRAMAR RESOURCES LIMITED ANNUAL REPORT 2021 40

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS for the financial year ended 30 June 2021

17. Leases (cont’d)

Lease liability

Lease liability
	2021	2020
	$	$
Current	51,473	–
Non-current	12,168	–
Total	63,641	–
Amounts recognised in profit or loss
Depreciation expense on right-of-use asset	22,216	–
Interest expense on lease liabilities	1,638	–
Total	23,854	–

18. Issued capital

18.	Issued capital
	2021 $ 2020 $
	55,060,100 fully paid ordinaryshares(2020: 9,010,100) 8,268,845 409,461
	Total 8,268,845 409,461
	2021 2020

	No. $ No. $
	Balance at beginning of financial period 9,010,100 409,461 – – Issue of shares – incorporation – – 100 100 Issue of shares – Founder shares – – 1,000,000 10,000 Issue of shares – Seed investors (i) 200,000 10,000 8,010,000 400,500 Issue of shares – IPO (ii) 40,000,000 8,000,000 – – Issue of shares – Vendors for acquisition of tenements (iii) 5,850,000 1,170,000 – – Share issue costs – (1,320,616) – (1,139)






	Balance at end of financialyear 55,060,100 8,268,845 9,010,100 409,461

Fully paid ordinary shares carry one vote per share and carry the right to dividends.

(i) On 2 July 2020 the Company received a late application for the seed raising of $10,000.

(ii) On 7 October 2020 the Company completed the IPO raising.

(iii) On 8 October 2020 the Company completed the acquisition of tenements.

19. Reserves

Reserves
	2021	2020
	$	$
Option reserve
Balance at the beginning of the financial period	79,479	–
Share-basedpayment expense	673,247	79,479
Balance at end of financialyear	752,726	79,479

Nature and purpose

The option reserve recognises the fair value of options issued and valued using the BlackScholes model.

41 MIRAMAR RESOURCES LIMITED ANNUAL REPORT 2021

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS for the financial year ended 30 June 2021

19. Reserves (cont’d)

Share options

As at 30 June 2021, options over 17,260,000 (2020: 11,010,000) ordinary shares in aggregate are as follow:

	As at 30 June 2021,options over 17,260,000(2020: 11,010,000)ordinaryshares in aggregate are as follow:
	No of shares Options Option
	Issuing entity under options Class of shares exerciseprice expiry date
	Miramar Resources Limited 8,210,000 Ordinary $0.20 each 22 Oct 2022 Miramar Resources Limited 6,000,000 Ordinary $0.25 each 9 Oct 2023 Miramar Resources Limited 3,000,000 Ordinary $0.20 each 26 Jun 2025 Miramar Resources Limited 50,000 Ordinary $0.48 each 6 Jan 2023

Share options are all unlisted, carry no rights to dividends and no voting rights. No options were exercised during the period.

	2021	2020
	$	$
The balance of reserves is made up as follows:
Option reserve	752,726	79,479
Total reserves	752,726	79,479
Accumulated losses
Balance at the beginning of the financial period	(189,516)	–
Loss attributable to members of theparent entity	(1,019,910)	(189,561)
Balance at end of financialyear	(1,209,426)	(189,516)

20. Accumulated losses

21. Loss per share

Loss per share
	2021	2020
	centsper share	centsper share
Basic	(2.39)	(192.28)
Diluted	(2.39)	(192.28)

Basic and diluted loss per share

The loss and weighted average number of ordinary shares used in the calculation of basic and diluted loss per share are as follows.

	2021	2020
	$	$
Loss for theyear/period	(1,019,910)	(189,516)
	2021	2020
	No.	No.
Weighted average number of ordinary shares for the purpose of basic loss per share	42,599,826	98,560
Effects of dilution from share options	–	–
Weighted average number of ordinary shares
adjusted for the effect of dilution lossper share	42,599,826	98,560

MIRAMAR RESOURCES LIMITED ANNUAL REPORT 2021 42

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS for the financial year ended 30 June 2021

22. Commitments for expenditure

Commitments for expenditure
	2021 $ 2020 $
Exploration, evaluation & development (expenditure commitments) Not longer than 1 year (i) Longer than 1 year and not longer than 5 years Longer than 5years	529,410 29,417 – – – –
Total	529,410 29,417

(i) Due to the nature of this expenditure, in that the expenditure commitments may be reduced by the relinquishment of tenements, estimates for the commitment have not been forecast beyond June 2021. However, should the Group continue to hold the tenements beyond this date additional expenditure commitments would arise.

23. Joint operations

Joint operations
	Interest
	2021	2020
Name ofproject Principal activity	%	%
Gidji (i) Exploration	80	0

(i) The Company entered into a joint venture agreement with Thunder Metals Pty Ltd whereby Miramar (Goldfields) Pty Ltd retained a 80% interest in the Gidji Project.

24. Segment reporting

The Group operates in the mineral exploration industry in Australia. For management purposes, the Group is organised into one main operating segment which involves the exploration of minerals in Australia. All of the Group’s activities are interrelated and discrete financial information is reported to the Board as a single segment. Accordingly, all significant operating decisions are based upon analysis of the Group as one segment. Operating segments are identified and segment information disclosed on the basis of internal reports that are regularly provided to, or reviewed by, the Group’s Chief Operating Decision Maker which, for the Group, is the Board of Directors. In this regard, such information is provided using similar measures to those used in preparing the statement of profit or loss and comprehensive income and statement of financial position.

25. Related party disclosure

(a) Equity interests in related parties

Equity interests in subsidiaries

Details of the percentage of ordinary shares held in subsidiaries are disclosed in note 4 to the financial statements.

Equity interests in joint operations

Details of the interests in joint operations are disclosed in note 23 to the financial statements.

(b) Key management personnel (KMP) remuneration

Details of KMP remuneration are disclosed in pages 13 to 16 and note 7 to the financial statements.

(c) Transactions with other related parties

Director transactions

The Company entered in a lease agreement with XGS on 15 July 2020. The lease commenced from 1 July 2020 to 31 October 2020 amounting to $7,040. At 30 June 2021 the Company did not owe XGS.

43 MIRAMAR RESOURCES LIMITED ANNUAL REPORT 2021

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS for the financial year ended 30 June 2021

25. Related party disclosure (cont’d)

(d) Parent entity

The ultimate parent entity in the Group is Miramar Resources Limited.

26. Subsequent events

On 13 September 2021 the Company advised that several key tenements within the 80% Gidji JV Project were granted. Pursuant to the agreement disclosed in the Prospectus dated 4 September 2020, 1,250,000 fully paid ordinary shares will be issued when more than 51% of the total area of ungranted project area are granted. The issue of shares has not occurred on the date of this report.

COVID-19

No other matters or circumstances have arisen since 30 June 2021 that may significantly affect the operations of the Company, the results of those operations, or the state of affairs of the Group in future financial years.

27. Notes to the statement of cash flows

	2021 $ 2020 $
(a) (b)	Reconciliation of cash and cash equivalents For the purposes of the statement of cash flows, cash and cash equivalents includes cash on hand and in banks and investments in money market instruments, net of outstanding bank overdrafts. Cash and cash equivalents at the end of the financial period as shown in the statement of cash flows is reconciled to the related items in the consolidated statement of financial position as follows: Cash and cash at bank 2,805,388 327,771 Term deposit 2,250,000 –
	Total 5,055,388 327,771
	Reconciliation of loss for the year to net cash flows used in operating activities Loss for the year/period (1,019,910) 327,771 Sale of tenements (150,000) – Equity settled share-based payments 2,765 79,479 Depreciation of non–current assets 30,647 – Depreciation of right of use assets 22,216 – Write off exploration and evaluation expenses 219,554 – Changes in fair value of financial assets designated at fair value through profit or loss 13,559 – Interest expense 1,638 – Changes in net assets and liabilities Trade and other receivables (124,344) (2,968) Trade and otherpayables andprovisions 346,247 30,176
	Net cash used in operating activities (657,628) (82,829)

(c) Non-cash financing and investing activities

During the current period, the Group did not enter into any non-cash investing and financing activities which are not reflected in the consolidated statement of cash flows.

MIRAMAR RESOURCES LIMITED ANNUAL REPORT 2021 44

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS for the financial year ended 30 June 2021

28. Financial risk management objectives and policies

(a) Financial risk management objectives

The Group manages the financial risks relating to the operations of the Group.

The Group does not enter into or trade financial instruments, including derivative financial instruments, for speculative purposes although it holds, at 30 June 2021, shares in other listed mining companies. The use of financial derivatives is governed by the Group’s Board of Directors. The Group’s activities expose it primarily to the financial risks of changes in interest rates, but at 30 June 2021 it is also exposed to market price risk. The Group does not enter into derivative financial instruments to manage its exposure to interest rate.

(b) Significant accounting policies

Details of the significant accounting policies and methods adopted, including the criteria for recognition, the basis of measurement and the basis on which income and expenses are recognised, in respect of each class of financial asset, financial liability and equity instrument are disclosed in note 2 to the financial statements.

(c) Interest rate risk management

The Group is exposed to interest rate risk as it places funds at both fixed and floating interest rates. The risk is managed by maintaining an appropriate mix between fixed and floating rate products which also facilitate access to money.

Cash flow sensitivity analysis for variable rate instruments

A change of 1 per cent in interest rates at the reporting date would have increased profit or loss by the amounts shown below. This analysis assumes that all other variables remain constant. The analysis is performed on the same basis for 2020:

Profit of loss	Equity	Equity
1% increase 1% decrease	1% increase	1% decrease
2021
Variable rate instruments 37,501 (37,501) –		–
Cash flow sensitivity 37,501 (37,501) –		–
2020 Variable rate instruments – – –		–

Cash flow sensitivity – – –		–

The following table details the Group’s exposure to interest rate risk.

Weighted average effective interest rate Variable interest rate % $	Fixed maturity dates Less than 1 year 1 – 5 years 5+ years Non-interest bearing Total $ $ $ $ $
2021
Financial assets
Cash and cash equivalent 0.05% 3,750,125
	– – – 1,305,263 5,055,388
Trade and other receivables 0.00% –
	– – – 71,313 71,313
Other financial assets 0.00% –	– – – 86,441 86,441
Other receivables – non-current 0.06% 50,000
	– – – 6,000 56,000
Total 3,800,125	– – – 1,469,017 5,269,142
Financial liabilities
Trade and otherpayables – –
	– – – 376,704 376,704
Total –	– – – 376,704 376,704

45 MIRAMAR RESOURCES LIMITED ANNUAL REPORT 2021

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS for the financial year ended 30 June 2021

28. Financial risk management objectives and policies (cont’d)

(c) Interest rate risk management

Interest rate risk management
Weighted average effective interest rate Variable interest rate % $	Fixed maturity dates Less than 1 year 1 – 5 years 5+ years Non-interest bearing Total $ $ $ $ $
2020 Financial assets Cash and cash equivalent 0.00% – Trade and other receivables 0.00% –	– – – 327,771 327,771 – – – 2,968 2,968
Total –	– – – 330,739 330,739
Financial liabilities Trade and otherpayables 0.00% –	– – – 31,315 31,315
Total –	– – – 31,315 31,315

(d) Liquidity risk

The Group manages liquidity risk by maintaining adequate reserves, banking facilities and reserve borrowing facilities by continuously monitoring forecast and actual cash flows and matching the maturity profiles of financial assets and liabilities.

The following table details the Group’s non-derivative financial instruments according to their contractual maturities. The amounts disclosed are based on contractual undiscounted cash flows.

		Less than	6 – 12	1	– 2	2+
		6 months	months	years		years	Total
		$	$		$	$	$
2021
Trade	and
other	payables	376,704	–		–	–	376,704
Total		376,704	–		–	–	376,704
2020
Trade	and
other	payables	31,315	–		–	–	31,315
Total		31,315	–		–	–	31,315

(e) Credit risk

Credit risk refers to the risk that a counterparty will default on its contractual obligations resulting in financial loss to the Group. The Group has adopted a policy of only dealing with creditworthy counterparties and obtaining sufficient collateral where appropriate, as a means of mitigating the risk of financial loss from defaults. The Group’s exposure and the credit ratings of its counterparties are continuously monitored. The Group measures credit risk on a fair value basis.

The Group does not have any significant credit risk exposure to any single counterparty or any group of counterparties having similar characteristics. The credit risk on liquid funds is limited because the counterparties are banks with high credit–ratings assigned by international credit–rating agencies.

(f) Market risk

Market risk is the potential for loss arising from adverse movements in the level and volatility of equity prices.

The Group’s listed equity investments are as detailed in note 11.

A 5 per cent increase at reporting date in the equity prices would increase the market value of the securities by $4,322 (2020: Nil) and an equal change in the opposite direction would decrease the value by the same amount. The increase/decrease would be reflected in equity as these financial instruments are classified as available–for–sale. The increase/decrease net of deferred tax would be $3,025 (2020: Nil).

(g) Capital risk management

The Group’s policy is to endeavour to maintain a strong capital base so as to maintain investor, creditor and market confidence and to sustain future development of the business. The Group sources any additional funding requirements from either debt or equity markets depending on the market conditions at the time the funds are sourced and the purpose for which the funds are to be used. The Group is not subject to externally imposed capital requirements.

MIRAMAR RESOURCES LIMITED ANNUAL REPORT 2021 46

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS for the financial year ended 30 June 2021

29. Financial instruments

The fair value of financial assets and financial liabilities of the Group approximated their carrying amount. It does not include fair value information for financial assets and financial liabilities not measured at fair value if the carrying amount is a reasonable approximation of fair value. The table below analyses financial instruments carried at fair value by value measurement hierarchy.

Quantitative disclosures fair value measurement hierarchy as at 30 June Quoted prices in active market (Level 1) $ Significant observable inputs (Level 2) $	Significant unobservable inputs (Level 3) $	Total $
2021
Assets measured at fair value
Available-for-sale financial assets (note 11):
Quoted equityshares (i) 86,441 –	–	86,441
Total 86,441 –	–	86,441

The management assessed that cash and short-term deposits, trade receivables, trade payables and other current liabilities approximate their carrying amounts largely due to the short term maturities of these instruments. The fair value of the financial assets is included at the amount at which the instrument could be exchanged in a current transaction between willing parties, other than in a forced or liquidation sale. The following methods and assumptions were used to estimate the fair value:

(i) Fair value of equity instruments and financial assets is derived from quoted market prices in active markets. Refer note 28(f) for market price risk impact.

30. Parent entity disclosures

The following details information related to the parent entity, Miramar Resources Ltd. The information presented here has been prepared using consistent accounting policies as presented in note 2.

consistent accounting policies as presented in note 2.
	2021	2020
	$	$
Results of the parent entity
Loss for the year/period	(3,234,720)	(189,416)
Other comprehensive income	–	–
Total comprehensive loss for theyear/period	(3,234,720)	(189,416)
Financial position of parent entity at period end
Current assets	4,909,650	330,739
Non–current assets	1,169,163	100
Total assets	6,078,813	330,839
Current liabilities	481,378	31,315
Total liabilities	481,378	31,315
Total equity of the parent entity comprising of:
Share capital	8,268,845	409,461
Reserves	752,726	79,479
Accumulated losses	(3,424,136)	(189,416)
Total equity	5,597,435	299,524

(a) Guarantees entered into by the parent entity in relation to the debts of its subsidiary

The parent entity had not entered into any guarantees in relation to the debts of its subsidiary as at 30 June 2021 (30 June 2020: Nil).

(b) Parent entity contingencies

The parent entity had no contingent liabilities as at 30 June 2021 (30 June 2020: Nil) other than disclosed in this financial report.

(c) Commitments for the acquisition of property, plant and equipment by the parent entity

The parent entity had no capital commitments for property, plant and equipment as at 30 June 2021 (30 June 2020: Nil) other than disclosed in this financial report.

47 MIRAMAR RESOURCES LIMITED ANNUAL REPORT 2021

ADDITIONAL SHAREHOLDER INFORMATION

CAPITAL

as at 13 September 2021

Miramar Resources Limited issued capital is as follows:

Ordinary fully paid shares

Number of ordinary fully paid shares at the date of this report are:

	End of escrowperiod	Number of shares
Quoted ordinary fully paid shares	N/A	47,215,020
Restricted fully paid shares until 22 October 2021	22 October 2021	6,495,080
Restricted fully paid shares until 22 October 2022	22 October 2022	1,350,000
Ordinary fully paid shares at 30 June 2021		55,060,100
Ordinary fully paid shares at the date of this report		55,060,100

At a general meeting of shareholders: (a) on a show of hands, each person who is a member or sole proxy has one vote; and

(b) on a poll, each shareholder is entitled to one vote for each fully paid share.

SUBSTANTIAL SHAREHOLDERS

Miramar Resources Limited has the following substantial shareholders:

Name		Number of shares	Percentage of issued capital	Percentage of issued capital
XGS PtyLtd		5,813,716		10.56%
TOP 20 HOLDERS OF ORDINARY SHARES
Rank	Name		Units	% of Issued Capital
1	XGS Pty Ltd		5,813,716	10.56%
2	Faraday Nominees Pty Limited		1,350,000	2.45%
3	Thunder Metals Pty Ltd		1,250,000	2.27%
4	Retzos Executive Pty Ltd		1,000,000	1.82%
5	Lesamourai Pty Ltd		1,000,000	1.82%
6	Mr Toby Peter Jefferis		920,000	1.67%
7	XGS Pty Ltd		893,577	1.62%
8	Gurravembi Investments Pty Ltd		800,000	1.45%
9	Mr James McAuliffe		750,000	1.36%
10	BT Portfolio Services Limited		750,000	1.36%
11	Boonwarry Pty Ltd		700,000	1.27%
12	LL&P Pty Ltd		661,829	1.20%
13	TT Nicholls Pty Ltd		625,000	1.14%
14	Buprestid Pty Ltd		600,000	1.09%
15	Mr Viking Wai Kin Kwok		550,000	1.00%
16	Mr Carlo Chiodo		525,000	0.95%
17	Gary Judy Holland Super Fund Pty Ltd		500,000	0.91%
18	Monex Boom Securities (HK) Ltd		436,785	0.79%
19	Mr Edmund Boon Chun Chan		425,000	0.77%
20	Mr Clifford Leslie Strahan		425,000	0.77%
Total of Top 20 holders of ORDINARY SHARES			19,975,907	36.27%

MIRAMAR RESOURCES LIMITED ANNUAL REPORT 2021 48

ADDITIONAL SHAREHOLDER INFORMATION

RANGE OF SHARES

Range	Total Holders	Units	% Issued Capital
1 – 1,000	20	8,229	0.01%
1,001 – 5,000	191	554,971	1.01%
5,001 – 10,000	126	1,011,228	1.84%
10,001 – 100,000	383	14,800,050	26.88%
100,001 – 9,999,999	113	38,685,622	70.26%
Total	833	55,060,100	100.00%
UNMARKETABLE PARCELS
	Minimumparcel size	Holders	Units
Minimum $500.00parcel at $0.190per unit	2,632	112	183,126

Options

At the date of this report there are a total of 41 unlisted option holders holding 17,260,000 unissued ordinary shares in respect of which options are outstanding. The unlisted options do not carry voting rights at a general meeting of shareholders.

	Number of option holders	Number of options
Balance at the beginning of the year	26	11,210,000
Movements of share options during the year
Issued at $0.25 expiring 9 October 2023	13	6,000,000
Issued at $0.48 expiring7 January2023	2	50,000
Balance at 30 June 2021	41	17,260,000
Total number of options outstanding at the date of this report		17,260,000

RESTRICTED OPTIONS

			End of escrowperiod	Number of options
Restricted unlisted options exercisable at $0.20	expiring	22 October 2022	22 October 2022	1,560,000
Restricted unlisted options exercisable at $0.25	expiring	9 October 2023	22 October 2022	6,000,000
Restricted unlisted options exercisable at $0.20	expiring	26 June 2025	22 October 2022	3,000,000

On-market buy-back

There is no current on-market buy-back.

Securities Exchange Listing

The Company’s ordinary shares are listed on the Australian Securities Exchanger. The Company’s ASX code for quoted ordinary shares is M2R.

ASX Admission Statement

Use of Funds

Since its admission to the ASX’s official list on 21 October 2020 until 30 June 2021, the Company has used the cash and assets in a form readily convertible to cash that it had at the time of admission in a way consistent with its business objectives.

49 MIRAMAR RESOURCES LIMITED ANNUAL REPORT 2021

ADDITIONAL SHAREHOLDER INFORMATION

TENEMENTS

The projects are constituted by the following tenements:

Tenement Number Interest % Status Project: Gidji JV E26/214 80 Live P26/4221 80 Live P26/4222 80 Live E24/225 0 Pending E26/219 0 Pending E26/221 0 Pending E26/225 80 Live P24/5439 80 Live P26/4527 80 Live P26/4528 80 Live P26/4529 80 Live P26/4530 80 Live P26/4531 80 Live P26/4532 0 Pending P26/4533 0 Pending P26/4534 80 Live Project: Lakeside E21/212 0 Pending Project: Lang Well E59/2377 100 Live Project: Whaleshark E08/3166 100 Live	Tenement Number Interest % Status
	Project: Glandore
	E25/544 100 Live P25/2381 100 Live P25/2382 100 Live P25/2383 100 Live P25/2384 100 Live P25/2385 100 Live P25/2386 100 Live P25/2387 100 Live P25/2430 100 Live P25/2431 100 Live P25/2465 100 Live
	Project: Bangemall
	E08/3176 0 Pending E08/3177 0 Pending E08/3195 0 Pending E08/3196 0 Pending E08/3284 0 Pending E09/2484 0 Pending E52/3893 100 Live
	Project: Randalls
	E25/596 0 Pending

MIRAMAR RESOURCES LIMITED ANNUAL REPORT 2021 50

ADDITIONAL SHAREHOLDER INFORMATION

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51 MIRAMAR RESOURCES LIMITED ANNUAL REPORT 2021

AI assistant

MIRAMAR RESOURCES LIMITED — Annual Report 2021

65281_rns_2021-09-14_ca8f6ca7-4a74-4585-a170-40f49d146e21.pdf

ANNUAL REPORT

Page

CORPORATE DIRECTORY

Board of Directors

Company Secretary

Auditors

Principal Office

Registered Office

Share Registry

Postal Address

Lawyers

Contact Details

ABN 34 635 359 965

CHAIRMAN’S LETTER

Dear Shareholder,

OPERATIONAL REVIEW

EASTERN GOLDFIELDS PROJECTS

GIDJI JV PROJECT (Miramar 80%)

DIRECTORS’ REPORT

RC Drilling

Diamond Drilling

GLANDORE

RANDALLS

MURCHISON REGION PROJECTS

LANG WELL

LAKESIDE

GARDEN GULLY

GASCOYNE REGION PROJECTS

WHALESHARK

BANGEMALL (NI-CU-PGE)

CORPORATE REVIEW

IPO AND ASX LISTING

CAPITAL STRUCTURE AS OF 30 JUNE 2021

MARKETING

BOARD OF DIRECTORS

COMPANY SECRETARY

DIRECTORS’ RELEVANT INTEREST IN SHARES AND OPTIONS

REMUNERATION REPORT (AUDITED)

Summary of 2 Years earnings and market performance as at 30 June

REMUNERATION REPORT (AUDITED) (cont’d)

B. Details of remuneration

C. Service agreements

Executive Directors

REMUNERATION REPORT (AUDITED) (cont’d)

Non-Executive Director

D. Share–based compensation

E. Additional information

Performance income as a proportion of total compensation

Key management personnel (KMP) equity holdings

Fully paid ordinary shares of Miramar Resources Limited

REMUNERATION REPORT (AUDITED) (cont’d)

Options of Miramar Resources Limited

Loans to KMP and their related parties

Directors transactions

End of Remuneration Report

DIRECTORS MEETINGS

PRINCIPAL ACTIVITIES

FINANCIAL REVIEW

Summary of 2 Year Financial Information as at 30 June

Summary of Share Price Movement to the date of this report

CORPORATE GOVERNANCE STATEMENT

Significant changes in state of affairs

Insurance of directors and officers

Significant events after the balance date

Indemnification of auditors

COVID-19

Dividends

Non–audit services

Likely developments and expected results

Auditor’s independence declaration

Environmental regulation and performance

Share options

DIRECTORS’ DECLARATION

CONSOLIDATED STATEMENT OF PROFIT OR LOSS AND OTHER COMPREHENSIVE INCOME for the financial year ended 30 June 2021

as at 30 June 2021

for the financial year ended 30 June 2021

for the financial year ended 30 June 2021

MIRAMAR RESOURCES LIMITED Annual Report 2021