OZZ RESOURCES LIMITED — Annual Report 2021

Sep 29, 2021

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OZZ RESOURCES LIMITED

ABN 98 643 844 544

ANNUAL REPORT

30 June 2021

OZZ RESOURCES LIMITED ABN 98 643 844 544

ANNUAL REPORT 30 June 2021

Corporate directory

Current Directors

Alan Lockett Non-Executive Chairman Jonathan Lea Managing Director Brian McNab Non-Executive Director

Company Secretary

Stuart Usher

Registered Office

Street + Postal: 15/217 Hay Street SUBIACO WA 6008 Telephone: +61 (08) 6141 3500 Email: admin@ozzresources.com.au Website: www.ozzresources.com.au

Auditors

Hall Chadwick WA Audit Pty Ltd (formerly known as Bentleys Audit & Corporate (WA) Pty Ltd) 283 Rokeby Road SUBIACO WA 6008 Telephone: +61 (0)8 9426 0666

Solicitors

Anser Legal Pty Ltd 15/217 Hay Street Subiaco WA 6008

Tenement Manager

Share Registry

Advanced Share Registry Limited Street + Postal: 110 Stirling Highway NEDLANDS WA 6009 Telephone: 1300 113 258 (within Australia) +61 (0)8 9389 8033 (International) Facsimile: +61 (0)8 6370 4203 Email: admin@advancedshare.com.au Website: www.advancedshare.com.au

Securities Exchange

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

Telephone: 131 ASX (131 279) (within Australia) Telephone: +61 (0)2 9338 0000 Facsimile: +61 (0)2 9227 0885 Website: www.asx.com.au ASX Code OZZ

Austwide Mining Title Management Pty Ltd PO Box 1434 Wangara WA 6947

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ANNUAL REPORT 30 June 2021

OZZ RESOURCES LIMITED ABN 98 643 844 544

Contents

Chairman’s letter .................................................................................................................................................................... 1 Managing Director’s report .................................................................................................................................................... 2 Operations review .................................................................................................................................................................. 3 Directors' report ................................................................................................................................................................... 11 Remuneration report ............................................................................................................................................................ 16 Auditor's independence declaration ................................................................................................................................... 21 Statement of profit or loss and other comprehensive income ............................................................................................. 22 Statement of financial position ........................................................................................................................................... 23 Statement of changes in equity ............................................................................................................................................ 24 Statement of cash flows ....................................................................................................................................................... 25 Notes to the financial statements ........................................................................................................................................ 26 Directors' declaration ........................................................................................................................................................... 52 Independent auditor's report ............................................................................................................................................... 53 Corporate governance statement ........................................................................................................................................ 58 Additional Information for Listed Public Companies ............................................................................................................ 59 Tenement report .................................................................................................................................................................. 62

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Figure 1 Ozz Resources Project Location

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OZZ RESOURCES LIMITED ABN 98 643 844 544

ANNUAL REPORT 30 June 2021

Chairman’s letter

Dear fellow shareholders,

I take great pleasure in welcoming you all to read our Company’s first annual report as an ASX-listed company.

What a very busy and exciting time it has been since Ozz Resources listed on the ASX on 5 July 2021, following a successful $5m Initial Public Offer.

During that period, Ozz Resources has:

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brought together and established a very experienced, focused and energetic geological team;

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mobilised our drilling contractor to site; and

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commenced drilling on our highly prospective Maguires Reward project near Cue WA.

In addition to the exploration drilling completed thus far, our team will shortly commence a significant amount of geological mapping over our Rabbit Bore project as well as our Peterwangy project.

I would like to take this opportunity to reinforce and remind investors of the significant and largely undiscovered exploration potential of our projects and we look forward to the future with great anticipation.

Our awareness of the exploration history, together with subsequent advancements in soil sampling and exploration drilling techniques, have left us with a number of exciting exploration opportunities.

In my view, the exploration potential of the truly exceptional project areas held by the Company have not been fully and properly revealed in modern times and when we fast forward to 2021 with a gold price hovering around A$2,000 per oz, the scene is set for the strong potential of a major gold discovery for Ozz Resources and its shareholders.

On behalf of the Board of Directors I would like to thank all shareholders for their support during and since the IPO and I also encourage all shareholders to be patient and place their trust in the skill, diligence, and commitment of a very focused Ozz Resources Exploration team. I look forward to talking with you at our upcoming AGM.

ALAN LOCKETT Chairman

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ANNUAL REPORT 30 June 2021

OZZ RESOURCES LIMITED ABN 98 643 844 544

Managing Director’s report

Dear shareholders

Ozz Resource listed on July 5 2021 after an active year assembling the projects and the team, and fulfilling the regulatory requirements for admission to the ASX.

Ozz’s corporate objective is to increase shareholder value by actively assessing existing projects and continuously regenerating our portfolio through actively defining new opportunities. We will maximise the benefits of any mineralisation found by generating income through toll-treatment, sale of ore or development. We are primarily focused on gold resources in Western Australia but will diversify to other jurisdictions or commodities should the case be compelling.

The Ozz Resources team is now aimed at the rapid and efficient assessment of our five gold projects. This commenced in July with the commencement of drilling at the Maquires project and with aeromagnetic surveys over the Rabbit Bore and Peterwangy projects. Results from Maguire’s will form the basis of a future JORC compliant resource for the Old Prospect area with potential still remaining to expand the mineralisation both down dip and along strike. A second mineralised structure one kilometre to the west requires drilling. Limited existing historic drilling has recorded an un-tested result of 4m at 19.1g/t at the Maguires Reward Prospect.

The aeromagnetic survey results over Peterwangy and Rabbit Bore identified a number of anomalies worthy of follow up.

Ground geochemical surveys are planned to test the projects and coupled with the magnetic data will be used to define drill targets. Rabbit Bore has the potential for also hosting nickel, copper and cobalt mineralisation and exploration efforts will focus on multiple commodities. Drilling is expected in the second or third quarters of FY22.

The Wardarbie South project has had no drilling and only wide spaced historic geochemical sampling despite its prospective lithologies and structural preparation. Aeromagnetic surveying and geochemical sampling will be used in the current year to define drill targets.

Targets will be generated for the Mt Davis tenements (near Leonora) by geophysics, geological mapping and geochemical sampling. Drilling is expected in the third quarter of FY22. Targets are expected both on the 5km strike of the regional significant Mt George Shear and also the Clifford Fault to the west.

We thank our loyal shareholders for their support and look forward to exciting times ahead.

JONATHAN LEA

Managing Director

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OZZ RESOURCES LIMITED ABN 98 643 844 544

ANNUAL REPORT 30 June 2021

Operations review

1. Exploration summary

1.1. Project overview – Mt Davis project

a. Tenements

The Mt Davis project is comprised of six granted prospecting licences (P37/8634, P37/8635, P37/8636, P37/8637, P37/8638, and P37/9349) and two contiguous prospecting licence applications P37/9552 and P37/9553). The total area covered by the tenure is 1216Ha and the project is located approximately 20km north of Leonora adjacent to the Goldfields Highway.

• b. Geological Setting

Mt Davis project lies adjacent to the highly prospective Kalgoorlie-Kurnalpi terrane boundary in the Eastern Goldfields Superterrane of the Yilgarn Craton. A major shear zone known as the Mt George Shear Zone separates the Mount Clifford Greenstone Belt and the Malcolm Greenstones in the eastern part of the tenements. Late stage proterozoic dykes cut east-west across the regional north-westerly striking and easterly dipping sequences.

On the west side of the Mount George Shear Zone rocks of the Mount Clifford Greenstone Belt are mostly mafic sequences including basalts and ultramafic rocks together with siliciclastic rocks, felsic volcanics, dolerite and conglomerate. Rocks of the Malcolm Greenstones, east of the Mount George Shear Zone, comprising predominantly felsic volcanic rocks, basalt, shale, and dolerite sills with conglomerate in the south.

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Two giant (+4M oz) gold deposits situated respectively 5km to the northwest (King of the Hills) and 25km to the south-southeast (Sons of Gwalia) which are within the regional structures that pass through the Mt Davis project tenements.

In the western part of the lease holding, lithologies are transected by a second northsouth shear structure (the Clifford Fault). Historic workings lie on this sheared contact north and south of the leases and local prospecting has produced gold nuggets along the trend. With only limited exploration to date, the 5km long stretch of the Clifford Fault on the Company’s holding is considered to have significant prospectivity.

The Mt George Shear is located towards the east of the leasehold area. This is characterised by quartz-sulphide veining associated brittle shearing that forms the Trig deposit. RC drilling by Sons of Gwalia in the 1990’s identified the mineralisation as forming south plunging lenses of gold in the shear. A non-JORC compliant resource estimate was completed for Trig at that time. Only the area immediately surrounding the Trig deposit was drill tested and with greater than 4km of strike length to the south contained in the tenements, there is considerable scope to increase the resource base.

Figure 2 Mt Davis Tenure and Geology Plan

• c. Previous Exploration

Several phases of exploration have been completed since the 1980’s. Most were focused on finding large standalone or bodies and wide spaced spoil sampling and RAB drilling were completed following mapping and geophysical surveys.

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ANNUAL REPORT 30 June 2021

OZZ RESOURCES LIMITED ABN 98 643 844 544

Operations review

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RC drilling at the Trig deposit in the 1990’s by Sons of Gwalia comprised 28 holes with significant intercepts greater than 1.0g/t Au being obtained from 18 of the 28 RC holes, e.g., 10m at 3.37g/t, 6m at 2.91g/t and 9m at 1.3g/t.

Following this, the only significant exploration was by Jupiter Mines (2006-2010) which drilled 29 RAB holes at four localised remote sensing defined alteration targets with no significant results. No further work was recorded at the Trig prospect or along strike to the south.

These results are historical in nature and may not have been reported in accordance with the JORC Code or its predecessors and are to be treated with appropriate caution. The Competent Person considers that these results have been gathered in accordance with appropriate practice at the time and provide a reasonable but not absolute indication of the prospectivity of the relevant project geology.

Figure 3 Trig Deposit - Cross Section

d. Exploration Programme

With two significant mineralised faults covered by the tenements, the Company’s exploration strategy for the Mount Davis project is aimed at:

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Identifying potential extensions to the Trig deposit and defining repetitions of mineralisation along the Mt George Shear.

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Assessing the Clifford Fault and remaining areas of the tenements and subsequently drill testing as warranted.

Since listing a geophysical review was completed that analysed the existing aeromagnetic data and identified a number of target zones across the leases. Mapping, geochemical sampling and further geophysical studies will be utilised as warranted to identify targets for drill testing.

1.2. Project overview – Maguires Reward project

• a. Tenement

The Maguires Reward project is comprised of a single prospecting licence (P20/2318) covering an area of 200Ha. The project is located in the Central Murchison area, approximately 50km northwest of the major mining centre of Cue. Access is via the Great Northern Highway and well-developed secondary roads.

b. Geological Setting

The Maguires Reward project is situated within the Archaean Murchison Province, a granite-greenstone terrane in the northwest of the Yilgarn Craton. NNE-trending greenstone belts are separated by granite-gneiss domes, with smaller granite plutons also present within or on the margins of the greenstone belts. The greenstone belts contain basalts, ultramafic and felsic volcanics, metasediments including banded iron formations and intrusive rocks. Outcrop is limited with transported cover over much of the area.

A major structural feature through the Maguires Reward project area is a NE-trending regional shear zone and is an extension of the Big Bell Fault, which splays into several discrete faults to the southwest of the project area and represent prospective gold bearing fluid pathways and trap sites for gold mineralisation.

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OZZ RESOURCES LIMITED ABN 98 643 844 544

ANNUAL REPORT 30 June 2021

Operations review

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Figure 4 Maguires Reward - Tenure and Geology Plan

Gold has previously been produced from several small workings in the project area. The Old Prospect lies near the eastern margin of the tenement and the Maguires Reward Prospect towards the west of the licence. The most significant old working within the area is the Old Prospect where several shafts have been sunk. Mineralisation at the Old Prospect is associated with talc-carbonate-sericitebiotite alteration adjacent to quartzcarbonate veining host by a strongly foliated carbonate-chlorite altered basalt. Approximately 1km west, there is a series of shafts and workings that run north-south known as Maguires Reward. Mineralisation is hosted by quartz (± carbonate) veining associated with a narrow shear zone in silicified carbonate-chlorite schist. Mineralisation at both areas is associated with brittle-ductile shear zones, which are interpreted to be secondary structures leading from the regional-scale structures.

c. Previous Exploration

• The area has been explored both for base metals and gold since the 1980’s. Wide spaced soil sampling and RAB drilling led to more detailed RC and diamond drilling at the Old Prospect and Maguires Reward.

BHP Gold drill tested the Old Prospect and Maguire’s Reward (1985-1989) as part of their programme to test interpreted extensions of the Big Bell Shear to the north of the Big Bell Mine. Numerous encouraging results were returned including 6m at 18.6g/t, 4m at 5.12g/t and 6m at 4.2g/t at the Old Prospect. Subsequently Newcrest (19921995) completed further RC and diamond drilling at both prospects with the best results being 6m at 8.02g/t, 6m at 11.6g/t and 7m at 8.74g/t. Only limited exploration was completed at the project following this period.

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Drilling at the Old Prospect indicated that the mineralisation had a strike length of 600m and defined two steeply south plunging narrow mineralised zones (the northern and southern zones). A resource estimate was completed by BHP and subsequently updated by Newcrest.

Only limited drilling was completed at Maguires Reward and no resource estimate was made despite best drill results, including 4m at 18.4g/t and 2m at 6.02g/t. Further testing is necessary to define the scope of the Maguires Reward mineralisation.

Figure 5 Old Prospect - Cross Section

These results are historical in nature and may not have been reported in accordance with the JORC Code or its predecessors and are to be treated with appropriate caution. The Competent Person considers that these results have been gathered in accordance with appropriate practice at the time and provide a reasonable but not absolute indication of the prospectivity of the relevant project geology.

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ANNUAL REPORT 30 June 2021

OZZ RESOURCES LIMITED ABN 98 643 844 544

Operations review

d. Exploration Programme

Drilling of the Old Prospect zone was undertaken in July/August 2021 after Ozz listed on the ASX. A 4,300m RC drilling programme was completed. Results are expected to be released in early October 2021.

Further drilling is planned to test for extensions to the known mineralisation at Old Prospect and to commence the rigorous assessment of Maguires Reward.

Given the extensive cover over the tenement, not all previous sampling and drill testing is considered to have effectively identified potential anomalies. Following a comprehensive data review, geophysical and geochemical programmes will be implemented to define further potential drill targets.

1.3. Project overview – Peterwangy project

a. Tenure

The Peterwangy project comprises two granted exploration licenses (E70/5124 and E70/5691) covering 13 blocks for a total area of 4440 Ha, located in the Mid-West region of Western Australia. E70/5124 is held by Provident Mining Pty Ltd (Provident). E70/5691 is owned totally by the Company. The project is located approximately 100km east of the port of Geraldton and 40km south east of the town of Mullewa, 350km north of Perth, Western Australia ( Figure 6 ). Access from the west is via the Mullewa-Mingenew Road and from the east via the Mullewa-Wubin Road and then by several unsealed farm tracks.

b. Geological Setting

The property lies within the Yilgarn Craton, a stable craton of Archaean rocks that occupies much of the southern half of Western Australia. The Yilgarn Craton has been subdivided into several superterranes and terranes. The licence straddles the boundary of the South West and Youanmi Terranes.

The South West Terrane is characterised by many NW-trending linear features, several of which can be traced for many hundreds of kilometres from the southern edge of the Craton to the north trending Darling Fault. One of the largest of these NW faults, the Koolanooka Fault, traverses the project area from the southeast to the northwest over about 10km. The tenement is underlain by Archaean granitoids and greenstones.

c. Local Geology

A 3km long lensoid shaped greenstone belt enclosed by granitoids is located at Peterwangy. The greenstone is comprised of amphibolite and schists but contact areas are obscured by transported alluvium, so the precise location or nature of the greenstone-granite transitions are not clear. The greenstone has been described as being composed of mainly fine to coarse grained amphibolite with local zones of intense shearing. The greenstone is approximately 1.2km wide and strikes in NW direction parallel to, and to the west of, the Koonlanooka Fault. The surrounding rock is described as generally leucocratic, equigranular, fine to medium grained granite with minor coarse sections.

Outcrop in the area is limited, as extensive weathering has affected the underlying lithologies and laterite development and alluvium obscures the underlying lithologies.

Gold was discovered at Peterwangy in 1868 and was the focus of Western Australia’s first recorded gold rush. Small scale mining operations comprising several collapsed shafts and shallow workings can still be found within a few hundred metres of Peterwangy Hill.

Historic reports detail less than 100 ounces being recovered from the field with quartz crushing’s ranging in grade from 2.5-4.1g/t. A main quartz reef was reported as running east-west over the peak of Peterwangy Hill, and a quartz reef being 18 inches (45cm) wide elsewhere. In 1896, a 33ft deep shaft intersected 3 reefs running into big lode, carrying good gold were reported in local newspapers. Difficulties in mining through the alluvium and the water table limited the extent of mining operations at the time.

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OZZ RESOURCES LIMITED ABN 98 643 844 544

ANNUAL REPORT 30 June 2021

Operations review

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Figure 6 Peterwangy - Tenure and Geology

A review of the styles of mineralisation by previous workers proposed a local source for the gold. The extensive laterite coverage led to comparisons being made with the Mt Gibson and Boddington laterite deposits. Boddington is located in a similar structural setting with a fault bound northwest trending greenstone belt, with extensive laterites containing around one million ounces of gold with greater than 10Moz in the underlying greenstone.

• d. Historical Exploration

Following the discovery of gold in 1868, several mining campaigns are recorded over the ensuing decades. The alluvial cover and the water table largely prevented any assessment of the basement rocks and once the major Eastern Goldfield discoveries were made, little further work was recorded.

Modern exploration commenced in the 1970’s with regional sampling programmes aimed largely at base metals (e.g., Cu and Ni) rather than gold. The ground was also held for periods from 1980 to 2000 by companies interested in the nearby coal deposits. They did not assess the gold potential. No drilling has ever been completed at Peterwangy.

The first recorded work specifically at Peterwangy was by Peterwangy Gold Pty Ltd (PGL) in 1988. PGL undertook limited sampling of rubble around collapsed workings that confirmed the gold was either primary or lateritic, but not alluvial in origin. No assays were reported. PGL made the favourable comparison of the Peterwangy and the Boddington/Mt Gibson laterite deposits and concluded there was considerable potential for gold mineralisation within the greenstone belt. They appeared to be prioritising drilling at the coal deposits to the south. No further work by PGL is recorded.

Pancontinental Gold Pty Ltd held a licence covering Peterwangy from 2006 to 2011. Only desk top studies were completed during this period owing to the landowner refusing entry.

Provident was granted the current exploration licence in 2018. A change of landowner led to un-restricted access to the tenement and Provident completed:

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Ground magnetics over part of the tenements

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Soil sampling on a 150x150m grid

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Drone reconnaissance

A positive correlation was identified between interpreted structures and low-level gold anomalism from the soil sampling coupled with similar anomalism in the chalcophile elements (As, W, Mo etc). This work reinforced potential comparisons with Boddington and culminated in the identification of 6 specific targets over an area of 2km by 1km, on which drilling was recommended.

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ANNUAL REPORT 30 June 2021

OZZ RESOURCES LIMITED ABN 98 643 844 544

Operations review

e. Exploration Programme

Most of the known gold within the Yilgarn Craton is known to be structurally related and the presence of the craton scale, Koolanooka Fault enhances the prospectivity of Peterwangy significantly.

The historic workings confirming the presence of both alluvial and reef gold in a 3km long greenstone, with not one drill hole reinforces the potential of the project. The extensive alluvial and laterite cover shroud bedrock and have subdued geochemical response from the limited geochemical sampling completed to date.

These factors provided a strong incentive for, and clearly justify, further exploration with the potential to lead to a significant discovery. Without any prior drill testing, the 3km long greenstone belt with an estimated area of 5km2 provides ample scope for mineralisation. Both laterites and primary quartz veining are potential hosts for economic mineralisation in the area. The 10km extent of the Koolanooka Fault on the tenements also provide a target, being a major conduit for fluid flow.

The combination of the two exploration licences provides an opportunity to complete semi-regional programmes to assess the overall potential. An aeromagnetic survey was completed to obtain complete data coverage over both licences. A more targeted geochemical sampling programme is planned for coming months. Targets generated from this work will be drilled along with the currently defined anomalies. More regionally, first pass drilling elsewhere on the greenstone belt or fault targets will better assess areas under cover.

1.4. Project overview – Wardarbie South project

• a. Tenement

The Wardarbie South project is comprised of three prospecting licences (P 51/3025, P 51/3026, and P 51/3027) covering an area of 600Ha. The project is located in the Central Murchison area, approximately 75km northwest of the major mining centre of Meekatharra. Access is via the Gascoyne Junction Road and station tracks.

• b. Geological Setting

The region is underlain by the 5-10km wide Mingah Range Greenstone Belt that is bound to the NE and SW by granite and granite gneiss in the northern part of the Archaean Murchison Province of the Yilgarn Craton. Lithologies consist of sediments, felsic volcanics, basalt, dolerite, ultramafic and banded iron formation. Recent alluvial cover overlies much of the area obscuring bedrock geology.

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Structural preparation has been extensive with the extension of the Big Bell shear zone imbricating into a number of NW trending shear zones that parallel the enclosing granitoids contacts. These shears also parallel the lithological contacts within the greenstone, creating potential traps for mineralisation. The contact between the granitoids and greenstone strikes NW-SE for 2km through the SW corner of the tenements. The remainder of the prospect contains weak metaporphised mafic, ultramafic and sedimentary rocks (shales and siltstones with localised silicification).

Figure 7 Wardarbie South - Tenure and Geology Plan

The Wardarbie South prospect is a cluster of shafts to the east of the project – there are no production records documented. Numerous quartz veins outcropping around the shaft suggest a larger system associated with crosscutting shears as also observed at other nearby historic gold workings.

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OZZ RESOURCES LIMITED ABN 98 643 844 544

ANNUAL REPORT 30 June 2021

Operations review

A three-kilometre-long contact between mafic and ultramafic lithologies strikes NW-SE through the tenements and forms the focus for gold mineralisation for the Wardarbie South prospect and a number of prospects along strike to the NW. Immediately north, a parallel trend hosts a number of similar gold prospects (Carwell/Zapata etc). These nearby historic workings in the area have a recorded production of 5000oz from narrow quartz lodes. Quartz veins are oriented both parallel to the regional NW trending shear fabric and as cross-cutting structures. The groupings of historic workings overall tend to be oriented in the NW direction and are interpreted as being related to faulting and dilation along lithological contacts. The mineralisation is described as high-grade epigenetic vein deposits. Auriferous quartz veins up to 1m wide, striking for several hundred metres have been described in the area, in places associated with stockworks related to shearing. Anomalous base metal assays (Cu, Pb, Zn) have been returned from quartz vein sampling.

c. Previous Exploration

The region has been explored both for gold and nickel since the 1960’s. Most work was focused on finding large openpittable gold resources and hence broad spaced sampling methods were utilised. Regional wide-spaced aircore and RAB drilling by a number of explorers was completed before the year 2000. Since then, a number of explorers have identified the potential for gold mineralisation, but no systematic work was completed on the leases.

There is no drilling specifically targeting the Wardarbie South workings or the prospective NW trending structural corridor given the focus of many explorers was not on small to medium size high grade mineralisation. Recent sampling of the workings around Wardarbie South returned grades of 33.7, 22.0g/t, 11.8g/t 5.7g/t and 4.9g/t Au reinforcing the potential for high grade mineralisation.

d. Exploration Programme

Only limited work has been completed on the tenement and hence it is a grass roots project. Following data compilation, geophysical surveys are planned to better define the structural corridors under the extensive alluvial cover. RAB or aircore drilling programmes will be necessary to define anomalous geochemistry - particularly focussed on any geophysical targets and the sheared lithological contacts. RC drilling will be used to test encouraging gold anomalism defined by these programmes.

1.5. Project overview – Rabbit Bore project

a. Tenement

The Rabbit Bore project is comprised of a single exploration licence (E51/1671) covering an area of 2100Ha. The project is located in the Central Murchison area approximately 55km north of the major mining centre at Cue. The Great Northern Highway is located 25km to the east linked by station tracks.

b. Geological Setting

The Rabbit Bore project lies at the northern end of the Mt Weld greenstone belt in the Archaean Youanmi Terrane. NNE striking greenstones form a lensoid shaped inclusion in surrounding granitoid lithologies. Outcrop within the area is limited to a 2km long ridge to the southwest of the tenement with a thin blanket of transported material covering the rest of the area that deepens over the granitoids.

The greenstone belt is approximately 5.5km long and strikes NNE through the tenements and is composed of sheared mafics, ultramafics and deeply weathered felsic volcanics. Three ultramafic intrusives up to 60m wide are strongly foliated with variable alteration including tremolite, talc-carbonate, chlorite and magnetite minerals. The tenement contains a major NNE trending shear zone that is interpreted as an extension of the Big Bell Fault, that splays into several discrete structures south of the project area. This structure contains gold prospects along its entire length. The sequence typically dips moderately steeply to the west and localised faulting is common.

A Proterozoic dolerite dyke with an E-W orientation crosscuts lithologies adjacent to the Rabbit Bore gold prospect and possibly offsets the greenstone belt with dextral movement as indicated by the regional aeromagnetics.

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ANNUAL REPORT 30 June 2021

OZZ RESOURCES LIMITED ABN 98 643 844 544

Operations review

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Potential exists for both gold and base metal mineralisation at Rabbit Bore. Historic gold mining occurred at the Rabbit Bore prospect where a small vertical shaft, four pits and a dry blowing area exist. There are no records of the quantity of gold produced from the workings. Gold mineralisation is believed to be related to the quartz blows which occur with the historical workings. Quartz is mapped over an area extending approximately 1km in an EW direction. Sampling around the workings has produced a maximum assay of 4.24g/t and low-level gold results returned from soil sampling programmes over the extensive cover.

The greenstone belt is prospective for nickel, cobalt and chrome based on the results of rock chip and soil sampling. The extensive cover in the north part of the tenement obscures geology and mutes geochemical responses and with no drilling the potential is untested for the 5.5km of strike. Sampling focussed on the exposed ultramafics returned nickel assays up to 1,295ppm and chromite to 5,400ppm. Anomalous cobalt and arsenic assays results are associated with nickel.

Figure 8 Rabbit Bore - Tenure and Geology Plan

c. Previous Exploration

Exploration in or around the current E51/1761 has been only carried out spasmodically since the 1970’s, commencing with the nickel boom and more recently for base metals, gold and iron ore. There is no drilling recorded on the licence area.

Regional work including geophysical surveys, and mapping were completed in the late 1990’s. Two widely spaced soil sampling programmes were completed over the greenstone belt by different explorers (2001 and 2011) resulting in low level gold, nickel, cobalt, platinum and lead anomalies. A closer spaced sampling programme was completed in 2011 around the Rabbit Bore workings with a maximum result of 2.18 g/t Au. Recent sampling around the historic workings returned a maximum grade of 4.24g/t Au.

d. Exploration Programme

The Rabbit Bore prospect lies in a poorly explored but structurally prepared greenstone belt and has potential for both gold and nickel/cobalt mineralisation. There has been no recorded drilling on the tenement and with transported material covering the northern 60% of the lease area there is strong potential for unrecognised mineralisation.

An aeromagnetic survey was completed in July to better define lithology, structural controls and any anomalies. The gold mineralisation requires initial drill testing to better understand the geometry. Recent interpretation suggests an east-west striking and shallow north dipping orientation that is parallel with the nearby cross-cutting dolerite dyke. Once the orientation is confirmed more detailed drilling will be used to quantify any potential mineralisation.

To evaluate the base metal potential, geophysical programmes will be utilised as a targeting tool in conjunction with existing or new geochemical results for subsequent drill programmes.

1.6. Historical Estimate cautionary statement

This report includes references to historical exploration results and estimates. The estimates are Historical Estimates and are not reported in accordance with the JORC Code. The Competent Person has not done sufficient work to classify the Historical Estimates as Mineral Resources or Ore Reserves in accordance with the JORC Code. It is uncertain that, following evaluation and/or further exploration work, the Historical Estimates will be able to be reported as Mineral Resources or Ore Reserves in accordance with the JORC Code.

1.7. Competent Person statement

The information contained in this report that relates to Exploration Results and Exploration Targets is based on, and fairly represents, information compiled by Mr Jeremy Peters, in his capacity as independent geologist. Mr Peters, FAusIMM CP (Mining, Geology), is a Competent Person as defined in the JORC Code having sufficient experience which is relevant to the style of mineralisation and type of deposit under consideration and to the activity that he is undertaking. Mr Peters is a full-time employee of Burnt Shirt Pty Ltd. Mr Peters consents to this statement.

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OZZ RESOURCES LIMITED ABN 98 643 844 544

ANNUAL REPORT 30 June 2021

Directors' report

Your Directors present their report on the Company, Ozz Resources Limited ( Ozz Resources or the Company ) for the period from incorporation (27 August 2020) to 30 June 2021.

Ozz Resources is listed on the Australian Securities Exchange (ASX:OZZ).

1. Directors

The names of Directors in office at any time during or since the end of the half-year are:

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Alan Lockett Non-Executive Chairman (Appointed on 27 August 2020) Jonathan Lea Managing Director (Appointed on 27 August 2020) Brian McNab Non-Executive Director (Appointed on 1 December 2020) Kurt Kozyrski Non-Executive Director (Appointed on 30 September 2020, resigned 14 December 2020)

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(collectively the Directors or the Board )

Directors have been in office since the start of the period to the date of this report unless otherwise stated.

2. Company secretary

The following person held the position of company secretary at the end of the financial year:

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• Stuart Usher Qualifications ◼ B.Bus, CPA, Grad Dip CSP, MBA, AGIA, ACIS Experience ◼ Mr Usher is a CPA, Chartered Secretary and Chartered Governance Professional with over 25 years of extensive experience in the management and corporate affairs of public listed companies. He holds an MBA from the University of Western Australia. He has extensive experience across many industries focusing on Corporate and Financial Management, Strategy and Planning, Mergers and Acquisitions, and Investor Relations and Corporate Governance. His experience ranges from Financial Services, Mineral Exploration, Healthcare, Biotech, Information Technology, Mining support services, Construction and Manufacturing. Stuart’s experience is well utilised across all areas of a company where they complement the financial, operational and strategic plans.

3. Dividends paid or recommended

There were no dividends paid or recommended during the financial year ended 30 June 2021.

4. Significant Changes in the state of affairs

There have been no significant changes in the state of affairs of the Company during the financial year ended 30 June 2021 other than disclosed elsewhere in this Annual Report.

5. Operating and financial review

• 5.1. Nature of Operations Principal Activities

The Company was incorporated on 27 August 2020 and is an early-stage mining exploration company with a focus on mining tenements in Western Australia prospective for gold.

Being an early-stage exploration company, the Company does not expect to make money or generate income in the short term. Our proposed business objectives and strategies include:

• a. conducting exploration on the Company’s projects to identify economic gold deposits for development by:

• (1) conducting initial rapid drill testing of the Maguires Reward project to potentially define JORC compliant Mineral Resources and test for extensions to the mineralisation, and for the other projects,

(2) accessing and compiling all existing drilling and other geological information, including structural, geochemical and geophysical data;

(3) conducting further geological reconnaissance, geochemical and geophysical programmes to identify the location of favourable structures and associated indicators of mineralisation in order to create a pipeline of potential drill targets;

• (4) progressively collecting additional information such as metallurgical or geotechnical data to assist further Ore Reserve estimation; and

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(5) conducting optimisation studies including financial models to assess potential mineable ore reserves;

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ANNUAL REPORT 30 June 2021

OZZ RESOURCES LIMITED ABN 98 643 844 544

Directors' report

• b. focusing on areas with existing infrastructure that provide the opportunity for toll treatment of ores; and

• c. identifying and acquiring new gold exploration tenements with a focus in Western Australia if the Directors consider that they will add additional value to the Company at the time.

5.2. Operations Review

Refer to the detailed Operations review on page 3 of the Annual Report.

5.3. Financial Review

a. Operating results

For the period 27 August 2020 to 30 June 2021 the Company delivered a loss before tax of $3,126,920 and a net operating cash out-flow of $480,586.

b. Financial position

The net assets of the Company have increased from incorporation to $4,368,929 at 30 June 2021.

As at 30 June 2021, the Company's cash and cash equivalents increased to $5,013,272 and it had a working capital position of $4,319,539.

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

The Directors are satisfied that the going concern basis of preparation is appropriate based upon the Company’s history of raising capital to date, the directors are confident of the Company’s ability to raise additional funds as and when they are required.

5.4. Impact of COVID-19 Coronavirus

The COVID-19 coronavirus global pandemic has caused significant disruption and restrictions to the movement of people and goods throughout the world. During the height of the pandemic, The Company was incorporated subsequent to the declaration of the pandemic and has implemented prudent business continuity measures which allowed it to continue to develop and establish an exploration Company.

5.5. Events Subsequent to Reporting Date

There are no other significant after balance date events that are not covered in this Directors' Report or within the financial statements as disclosed in note 9 Events subsequent to reporting date on page 42.

5.6. Future Developments, Prospects and Business Strategies

The Company remains focussed on establishing an exploration company and listing on the Australian Securities Exchange.

Other likely developments, future prospects, and business strategies of the operations of the Company and the expected results of those operations, not otherwise disclosed in this report, have not been included in this report as the Directors believe that the inclusion of such information would be likely to result in unreasonable prejudice to the Company.

5.7. Environmental Regulations

The Company's exploration assets and operations have not yet been established and are therefore not subject to any significant environmental regulations in the jurisdiction it operates in.

6. Information relating to the Directors

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Mr Alan Lockett

◼ Non-Executive Chairman (Appointed on 27 August 2020)

Non-independent

Qualifications and ◼ Mr Lockett has 25 years of experience in the exploration and mining industry. Formerly the Experience founder and Managing Director of Olympia Resources Limited and credited with the discovery of the Harts Range Garnet deposit in Northern Territory which became an operating producer of garnet. Mr Lockett was also the founder and Executive Chairman of Northern Mining Limited which discovered the George’s Reward gold deposit 30km south-east of Kalgoorlie (which has since mined in excess of 100,000 oz of gold in conjunction with the Canon deposit by Metals X), as well as the Keysbrook Mineral Sands deposit south of Perth which has since commenced production. Mr Lockett has a track record of finding commercial deposits of Australian natural Resources.

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OZZ RESOURCES LIMITED ABN 98 643 844 544

ANNUAL REPORT 30 June 2021

Directors' report

Interest in Shares and	◼ Direct 431,250 Ordinary Shares
Options	474,375 Options
	Indirect 4,600,000 Ordinary Shares
	4,600,000 Options
Directorships held in	◼ Nil
other listed entities
during the three years
prior to the current year
Mr Jonathan Lea	◼ Managing Director (Appointed on 27 August 2020)
	Non-independent
Experience	◼ Mr Lea is a mining industry executive with over 35 years of expertise in all aspects of the mineral
	industry. After commencing as a geologist, recent roles for junior mineral exploration and
	development companies at the Managing Director level have focused on all aspects of resource
	company development, project generation, corporate management and capital raising. Mr Lea
	achieved particular success with Polaris Metals following the discovery and initial development
	of the Carina iron ore deposit leading to a takeover producing significant shareholder benefits.
	Mr Lea has an extensive project development and production experience, with a particular
	focus on gold, in a number of commodities including iron ore and base metals in both open cut
	and underground settings mainly in Western Australia but also elsewhere in Australia and
	overseas.
Interest in Shares and	◼ Direct 3,500,000 Options
Options	Indirect 517,500 Ordinary Shares
	517,500 Options
Directorships held in	◼ Nil
other listed entities
during the three years
prior to the current year
Mr Brian McNab	◼ Non-executive Director (Appointed on 1 December 2020)
	Independent
Qualifications	◼ B.Sc. Extractive Metallurgy, MAusIMM CP(Met)
Experience	◼ Mr McNab is a chartered AusIMM professional with over 30 years of experience in mineral
	process engineering, project economic assessment and operations. Mr McNab has worked on
	over 60 significant local and international mineral project studies (scoping, prefeasibility and
	definitive feasibility) and has a sound technical understanding of mineral processing, project
	economics and the various stages of the mineral project cycle. He has been a full-time employee
	of Wood (formerly Minproc Engineers Limited) for 16 years, working as a Principal Process
	Engineer in their Mining and Minerals division.
Interest in Shares and	◼ 2,000,000 Options
Options
Directorships held in	◼ Nil
other listed entities
during the three years
prior to the current year
Former Directors
Mr Kurt Kozyrski	◼ Non-executive Director_(Appointed on 30 September 2020, resigned 14 December 2020)_
	Non-independent
Experience	◼ Mr Kozyrski is a corporate risk advisor based in Sydney with 13 years’ experience with 9 years’
	working with large multinational companies. Since 2017 he has held the role of Executive
	General Manager with private exploration company Diversified Asset Holdings Pty Ltd (DAH).
	He has been instrumental in the development and sale of copper and gold projects in Western
	Australia. Recently the Doolgunna copper project vend into Strickland Metals Ltd (ASX: STK) and
	the Stakewell gold project vend into Odyssey Energy Ltd (ODY). Each of these vends resulted in
	DAH becoming a substantial holder in STK and ODY.
	He has also managed the development of zinc, lead and silver projects in Ireland.
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OZZ RESOURCES LIMITED ABN 98 643 844 544

Directors' report

Interest in Shares and ◼ Nil (at date of resignation) Options Directorships held in ◼ Nil other listed entities during the three years prior to the current year

7. Meetings of Directors and committees

During the financial year, one meeting of Directors (including committees of Directors) were held and five circular resolutions. Attendances by each Director during the year are stated in the following table.

	DIRECTORS' REMUNERATION AND FINANCE AND OPERATIONS AUDIT
	MEETINGS NOMINATION COMMITTEE COMMITTEE COMMITTEE
	Number Number Number Number
	eligible to Number eligible to Number eligible to Number eligible to Number
	attend Attended attend Attended attend Attended attend Attended
	1 1 At the date of this report, the Audit, Nomination, and Finance and Operations
Alan Lockett
	Committees comprise the full Board of Directors. The Directors believe the Company is not currently of a size nor are its affairs of such complexity as to 1 1
Jonathan Lea
	warrant the establishment of these separate committees. Accordingly, all matters capable of delegation to such committees are considered by the full 1 1
Brian McNab
	Board of Directors. - -
Kurt Kozyrski

8. Indemnifying officers or auditor

8.1. Indemnification

The Company has paid premiums to insure each of the current and former Directors and officers against liabilities for costs and expenses incurred by them in defending any legal proceedings arising out of their conduct while acting in the capacity of Director or Officer of the Company, other than conduct involving a wilful breach of duty in relation to the Company. The

Company has not given any further indemnity or entered into any other agreements to indemnify, or pay or agree to pay insurance premiums.

No indemnities have been given or insurance premiums paid, during or since the end of the period, for any person who is or has been an auditor of the Company

8.2. Insurance premiums

The contract of insurance prohibits disclosure of the nature of liability and the amount of the premium.

9. Options

9.1. Unissued shares under option

At the date of this report, the unissued ordinary shares of the Company under option (listed and unlisted) are as follows:

Grant Date Date of Expiry Exercise Price	Number under Vested &
$	Option Exercisable
02.10.2020 05.07.2023 0.25	6,511,875 6,511,875
27.10.2020 05.07.2023 0.25	4,025,000 4,025,000
18.06.2021 18.06.2023 0.25	5,500,000 5,500,000
18.06.2021 18.06.2024 0.25	2,800,000 2,800,000
18.06.2021 18.06.2025 0.25	2,600,000 2,600,000
	21,436,875 21,436,875

No person entitled to exercise the option has or has any right by virtue of the option to participate in any share issue of any other body corporate.

9.2. Shares issued on exercise of options

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No ordinary shares have been issued by the Company during the financial year as a result of the exercise of options.

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OZZ RESOURCES LIMITED ABN 98 643 844 544

ANNUAL REPORT 30 June 2021

Directors' report

10. Non-audit services

During the year, Hall Chadwick WA Audit Pty Ltd (formerly known as Bentleys Audit & Corporate (WA) Pty Ltd) ( Hall Chadwick ), provided non-audit services in respect to an independent accounts report $6,000, in addition to their statutory audits. Details of remuneration paid to the auditor can be found within the financial statements at note 13 Auditor's Remuneration on page 44.

If non-audit services are provided by Hall Chadwick, the Board has established certain procedures to ensure that the provision of non-audit services are compatible with, and do not compromise, the auditor independence requirements of the Corporations Act 2001 (Cth). These procedures include:

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• non-audit services will be subject to the corporate governance procedures adopted by the Company and will be reviewed by the Board to ensure they do not impact the integrity and objectivity of the auditor; and

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• ensuring non-audit services do not involve reviewing or auditing the auditor's own work, acting in a management or decision-making capacity for the Company, acting as an advocate for the Company or jointly sharing risks and rewards.

11. Proceedings on behalf of the Company

No person has applied to the Court under section 237 of the Corporations Act 2001 (Cth) for leave to bring proceedings on behalf of the Company, or to intervene in any proceedings to which the Company is a party, for the purpose of taking responsibility on behalf of the Company for all or part of those proceedings.

No proceedings have been brought or intervened in on behalf of the Company with leave of the Court under section 237 of the Corporations Act 2001.

12. Corporate Governance

In recognising the need for the highest standards of corporate behaviour and accountability, the Directors of Ozz Resources support and have substantially adhered to the best practice recommendations set by the ASX Corporate Governance Council. For a detailed analysis of the Company’s Corporate Governance Policies, visit the corporate governance section of our website at www.investors.theagency.com.au/corporate-governance.

13. Auditor's independence declaration

The lead auditor's independence declaration under section 307C of the Corporations Act 2001 (Cth) for the year ended 30 June 2021 has been received and can be found on page 21 of the annual report.

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ANNUAL REPORT 30 June 2021

OZZ RESOURCES LIMITED ABN 98 643 844 544

Directors' report

14. Remuneration report (audited)

This report outlines the remuneration arrangements in place for Directors and key management personnel of the Company for the year ended 30 June 2021. The information in this remuneration report has been audited as required by s308(3C) of the Corporations Act 2001 (Cth).

14.1. Key management personnel ( KMP)

This remuneration report details the remuneration arrangements for KMP who are defined as those persons having authority and responsibility for planning, directing and controlling the major activities of the Company and the Company, directly or indirectly, including any director (whether Executive or otherwise) of the parent company, and includes those Executives in the Parent and the Company receiving the highest remuneration. KMP comprise the Directors of the Company and key executive personnel:

Alan Lockett	Non-Executive Chairman	(Appointed on 27 August 2020)
Jonathan Lea	Managing Director	(Appointed on 27 August 2020)
Brian McNab	Non-Executive Director	(Appointed on 1 December 2020)
Kurt Kozyrski	Non-Executive Director	(Appointed on 30 September 2020, resigned 14 December 2020)

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

• a. Remuneration Policy

The remuneration policy of Ozz Resources Limited has been designed to align director and management objectives with shareholder and business objectives by providing a fixed remuneration component, and offering specific longterm incentives, based on key performance areas affecting the Company’s financial results. The Board believes the remuneration policy to be appropriate and effective in its ability to attract and retain the best management and directors to run and manage the Company, as well as create goal congruence between directors, executives and shareholders.

The remuneration policy, setting the terms and conditions for the executive directors and other senior executives, was developed by the Board.

All remuneration paid to Directors and executives is valued at the cost to the Company and expensed.

The Board policy is to remunerate non-executive Directors at the lower end of market rates for comparable companies for time, commitment, and responsibilities. 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 ( AGM ). Fees for non-executive Directors are not linked to the performance of the Company.

• b. Performance Conditions Linked to Remuneration

The Company seeks to establish and maintain Ozz Resources Limited Performance Rights Plan ( Plan ) to provide ongoing incentives to any full time or part time employee, consultant or any person nominated by the Board (including director or company secretary of the Company who holds salaried employment with the Company on a full or part time basis) ( Eligible Participants ) of the Company.

The Board adopted the Plan to allow Eligible Participants to be granted Performance Rights to acquire shares in the Company.

The objective of the Plan is to provide the Company with a remuneration mechanism, through the issue of securities in the capital of the Company, to motivate and reward the performance of Eligible Participants in achieving specified performance milestones within a specified performance period. The Board will ensure that the performance milestones attached to the securities issued pursuant to the Plan are aligned with the successful growth of the Company’s business activities.

• c. Remuneration structure

In accordance with best practice corporate governance, the structure of Non-Executive Director and Executive compensation is separate and distinct.

• (1) Non-executive director remuneration

The Board seeks to set aggregate remuneration at a level which provides the Company with the ability to attract and retain directors of the highest calibre, whilst incurring a cost which is acceptable to shareholders.

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OZZ RESOURCES LIMITED ABN 98 643 844 544

ANNUAL REPORT 30 June 2021

Directors' report

14. Remuneration report (audited)

The Constitution and the ASX Listing Rules specify that the aggregate remuneration of non‐executive directors shall be determined from time to time by a general meeting. An amount not exceeding the amount determined is then divided between the Directors as agreed. The latest determination was at the Annual General Meeting held on 29 April 2016 when shareholders approved an aggregate remuneration of $250,000 per year. The Board considers advice from external consultants when undertaking the annual review process.

• (2) Executive remuneration

Senior executives, including Executive Directors, are engaged under the terms of individual employment contracts. Such contracts are based upon standard terms drafted by the Company’s lawyers. Executive Directors do not receive any directors’ fees in addition to their remuneration arrangements. Base salary/consulting fees are set to reflect the market salary for a position and individual of comparable responsibility and experience. Base salary/consulting fees are regularly compared with the external market and during recruitment activities generally. It is the policy of the Company to maintain a competitive salary structure to ensure continued availability of experienced and effective management and staff.

Executives are prohibited from entering into transactions or arrangements which limit the economic risk of participating in unvested entitlements.

Details of the nature and amount of each element of each Director, including any related company and each KMP are set out below.

• d. Employment Details of Members of KMP

• (1) Managing Director Engagement Agreement – Jonathan Lea

  • The Company has entered into a Managing Director Engagement Agreement with Jonathan Lea. Its key terms are as follows:

  • (A) Mr Lea’s term as the Managing Director will commence on the date on which the Company is admitted to the Official List and the employment will continue (subject to earlier termination as provided in the agreement) until terminated in accordance with the engagement agreement.

  • (B) The Company or Mr Lea may at any time terminate the employment by giving the other 6 months’ notice in writing.

  • (C) The Company will pay Mr Lea $262,800 per annum (including statutory superannuation).

  • (D) Mr Lea may be entitled to participate in the Company’s employee incentive plan as agreed by the Board (subject to Shareholder approval as required under the Listing Rules).

  • (E) The Company will pay or reimburse Mr Lea for reasonable travel and out of pocket expenses incurred in the performance of his duties and properly substantiated with receipts and approved by the Company.

The agreement otherwise contains leave entitlements, intellectual property, confidentiality provisions and other general provisions considered standard for an agreement of this nature.

• (2) Non-executive Director Appointment Letters – Mr Alan Lockett and Mr Brian McNab

  • Alan Lockett and Brian McNab have signed a letter of appointment with the Company with normal terms and conditions customary for directors’ appointment in Australia, including:

  • (A) The Company will pay Mr Lockett $60,000 per annum and Mr McNab $36,000 per annum (including statutory superannuation).

  • (B) remuneration;

  • (C) minimum time commitment (at least 15 hours a quarter);

  • (D) compliance with the Corporations Act 2001 (Cth), the Company’s corporate governance plans and policies, and the Company’s constitution;

  • (E) the requirement to disclose directors’ interests and any matter which affects directors’ independence;

  • (F) maintain confidentiality unless otherwise required by the Listing Rules or any applicable laws; and

  • (G) right to access all corporate information of the Company during the term of their appointment.

• e. Voting and comments made at the Company’s Annual General Meeting ( AGM )

The Company was incorporated on 27 August 2020, and accordingly has not yet held its first AGM as an ASX listed company.

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ANNUAL REPORT 30 June 2021

OZZ RESOURCES LIMITED ABN 98 643 844 544

Directors' report

14. Remuneration report (audited)

14.3. Performance-based remuneration

The following table provides employment details of persons who were, during the financial year, members of KMP of the Company. The table also illustrates the proportion of remuneration that was performance based and the proportion of remuneration received in the form of options.

	Position Held as at Contract	Proportions of Elements of Proportions of Elements of
KMP	30 June 2021 and any Commencement /	Remuneration Related to Performance Remuneration Not Related to
	change during the year Termination Date	Performance
		Non-salary Cash-based Shares / Options / Fixed Salary/ Fees – cash Fixed Salary/ Fees – share
		Incentives Units Rights based based Total
		% % % % % %
Alan Lockett Jonathan Lea Brian McNab Kurt Kozyrski	Non-Executive Chairman Appt. 27.08.2020	- - - 100 - - - - - 100 - - - - - 100 - - - - - 100 - -
	Managing Director Appt. 27.08.2020 Non-Executive Director Appt. 1.12.2020 Non-Executive Director Appt. 30.09.2020 Res. 14.12.2020

14.4. Directors and KMP remuneration

Details of the nature and amount of each element of the remuneration of each of the KMP of the Company (the Directors) for the year ended 30 June 2021 are set out in the following tables:

There were no cash bonuses paid during the year and there are no set performance criteria for achieving cash bonuses.

The following table of benefits and payments represents the components of the current year and comparative year remuneration expenses for each member of KMP of the Company. Such amounts have been calculated in accordance with Australian Accounting Standards.

2021
	Short-term benefits Post- Long-term Termination Equity-settled share- Total
KMP	employment benefits benefits benefits based payments Salary, fees and leave Profit share and bonuses Non- monetary Other Super- annuation Other Equity / Perf. Rights Options
	$ $ $ $ $ $ $ $ $ $
Alan Lockett	4,566 - - - 434 - - - - 5,000
Jonathan Lea	20,000 - - - 1,900 - - - 284,616 306,516
Brian McNab(1)	2,740 - - - 260 - - - 162,638 165,638
Kurt Kozyrski(2)	- - - - - - - - - -
Stuart Usher(3)	- - - 10,800 - - - - - 10,800
	27,306 - - 10,800 2,594 - - - 447,254 487,954

(1) Appointed 1 December 2020

(2) Resigned 14 December 2020

(3) Geneva Partners Pty Ltd, a company jointly controlled by Mr Usher, provides financial services and Company Secretarial services to company. These services are provided directly and indirectly by Mr Usher and have only been included to the extent attributable to Mr Usher.

14.5. Share-based compensation

The Company believes that encouraging its directors and executives to become shareholders is the best way of aligning their interests with those of its shareholders. At present the Company does not have an active employee share option plan.

The Company issued 5,500,000 options as share-based compensation during the year to Messrs Lea and McNab (refer note 16 Share-based payments).

There were no equity instruments issued during the year to Directors as a result of options exercised that had previously been granted as compensation.

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OZZ RESOURCES LIMITED ABN 98 643 844 544

ANNUAL REPORT 30 June 2021

Directors' report

14. Remuneration report (audited)

• a. Securities received that are not performance-related

Messrs Lea and McNab were granted 5,500,000 options as detailed in note as detailed note 16 Share-based payments . No other members of KMP are entitled to receive securities that are not performance-based as part of their remuneration package.

• b. Options and Rights granted as remuneration

During the financial year ended 30 June 2021, 3,500,000 options were granted to Mr Lea and 2,000,0000 to Mr McNab as detailed note 16 Share-based payments .

14.6. KMP equity holdings

• a. Fully paid ordinary shares of Ozz Resources Ltd held by each KMP

The number of ordinary shares of Ozz Resources Ltd held, directly, indirectly or beneficially, by each KMP, including their personally-related entities for the year ended 30 June 2021 is as follows

2021 KMP	Balance at start of Received during Received during the
	year or the year as year on the exercise Other changes Balance at end of
	appointment compensation of options during the year year or resignation
	No. No. No. No. No.
Alan Lockett	- - - 5,031,250 5,031,250
Jonathan Lea	- - - 517,500 517,500
Brian McNab(1)	- - - - -
Kurt Kozyrski(2)	- - - - -
Stuart Usher	- - - - -
	- - - 5,548,750 5,548,750

(1) Appointed 1 December 2020

(2) Resigned 14 December 2020

b. Options in Ozz Resources Ltd held by each KMP

The number of options over ordinary shares in Ozz Resources Ltd held, directly, indirectly or beneficially, by each KMP, including their personally-related entities for the year ended 30 June 2021 is as follows:

2021	Balance at Granted as Balance at
	start of year or Remuneration Exercised Other changes end of year or Vested and
KMP	appointment during the year during the year during the year resignation Exercisable	Not Vested
	No. No. No. No. No. No.	No.
Alan Lockett	- - - 5,074,375 5,074,375 -	5,074,375
Jonathan Lea	- 3,500,000 - 517,500 4,017,500 -	4,017,500
Brian McNab(1)	- 2,000,000 - - 2,000,000 -	2,000,000
Kurt Kozyrski(2)	- - - - - -	-
Stuart Usher	- - - - - -	-
	- 5,500,000 - 5,591,875 11,091,875 -	11,091,875

(1) Appointed 1 December 2020

• (2) Resigned 14 December 2020

14.7. Other Equity-related KMP Transactions

There have been no other transactions involving equity instruments other than those described in the tables above relating to options, rights, and shareholdings.

14.8. KMP Loans

There are no loans to or from KMP as at 30 June 2021.

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ANNUAL REPORT 30 June 2021

OZZ RESOURCES LIMITED ABN 98 643 844 544

Directors' report

14. Remuneration report (audited)

14.9. Other transactions with KMP and or their Related Parties

Some Directors or former Directors of the Company hold or have held positions in other companies, where it is considered they control or significantly influence the financial or operating policies of those entities. During the year, the following entities provided professional and corporate services to the Company.

	Total Transactions Payable Balance
	27 August 2020 to
Entity Nature of transactions KMP
	30 June 2021 30 June 2021
	$ $
Dragon Pty Ltd Consulting fees and subscription refund Alan Lockett Kazal Pty Ltd Corporate Advisory Alan Lockett Kokoda Holdings Pty Ltd Consulting fees and reimbursement Alan Lockett Lea Consulting Consulting Fees Jonathan Lea	32,000 -
	5,000 5,000
	12,000 -
	44,721 -

There have been no other transactions in addition to those described in the tables or as detailed in note 12 Related party transactions .

END OF REMUNERATION REPORT

This Report of the Directors, incorporating the Remuneration Report, is signed in accordance with a resolution of the Board of Directors made pursuant to s.298(2) of the Corporations Act 2001 (Cth).

ALAN LOCKETT

Chairman

Dated this Thursday, 30 September 2021

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OZZ RESOURCES LIMITED ABN 98 643 844 544

ANNUAL REPORT 30 June 2021

Auditor's independence declaration

Under Section 307c Of the Corporations Act 2001 (Cth) To the Directors of OZZ RESOURCES LTD

TO BE RECEIVED FROM AUDITORS

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ANNUAL REPORT 30 June 2021

OZZ RESOURCES LIMITED ABN 98 643 844 544

Statement of profit or loss and other comprehensive income

for the period 27 August 2020 to 30 June 2021

Statement of profit or loss and other comprehensive income for the period 27 August 2020 to 30 June 2021
Note	27 August 2020 to 30 June 2021 $ 6 months to 30 June 2020 $ (61,883) (46,688) (512,117) (1,305) - (2,309,420) (195,507) (3,126,920) - - (3,126,920) - (3,126,920) ₵ ₵ (30.282) !Zero Divide
Continuing operations Administration expenses 1.1 Compliance costs Employment costs 1.2 Interest and finance costs Mineral exploration and evaluation costs 1.4 Professional and consulting costs 1.3 Loss before tax Income tax expense 2.1 Net loss for the year Other comprehensive income, net of income tax Other comprehensive income for the period, net of tax Total comprehensive income attributable to members of the parent entity Earnings per share: Basic and diluted loss per share (cents per share) 14.4

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

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OZZ RESOURCES LIMITED ABN 98 643 844 544

ANNUAL REPORT 30 June 2021

Statement of financial position

as at 30 June 2021

Note	2021 $ 30 June 2020 $ 5,013,272 68,816 5,082,088 49,390 - 49,390 5,131,478 631,581 130,968 - 762,549 762,549 4,368,929 - - 6,463,320 1,032,529 (3,126,920) 4,368,929 -
Current assets Cash and cash equivalents 3.1 Trade and other receivables 3.2.1 Total current assets Non-current assets Property, plant, and equipment 4.1 Total non-current assets Total assets Current liabilities Trade and other payables 3.3.1 Borrowings 3.4.1 Total current liabilities Total liabilities Net assets Equity Issued capital 5.1.1 Reserves 5.3 Accumulated losses Total equity

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

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ANNUAL REPORT 30 June 2021

OZZ RESOURCES LIMITED ABN 98 643 844 544

Statement of changes in equity

for the period 27 August 2020 to 30 June 2021

Statement of changes in equity for the period 27 August 2020 to 30 June 2021
Note Balance on incorporation 27 August 2020 Loss for the year attributable to the owners of the parent Other comprehensive income for the period attributable to the owners of the parent Total comprehensive income for the period attributable to the owners of the parent Transaction with owners, directly in equity Shares issued during the period (net of costs) 5.1.1 Options granted during the year 16.1 Balance at 30 June 2021	Share-based
	Issued Accumulated Payment Total
	capital Losses Reserve equity
	$ $ $ $
	2 - - 2
	- (3,126,920) - (3,126,920)
	- - - -
	- (3,126,920) - (3,126,920)
	6,463,318 - - 6,463,318
	- - 1,032,529 1,032,529
	6,463,320 (3,126,920) 1,032,529 4,368,929

The statement of changes in equity is to be read in conjunction with the accompanying notes.

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OZZ RESOURCES LIMITED ABN 98 643 844 544

ANNUAL REPORT 30 June 2021

Statement of cash flows

for the period 27 August 2020 to 30 June 2021

Note

27 August 2020 to 30 June 2021 $ 2019 $ (315,714) (164,872) (480,586) - (1,000) (1,000) - 5,390,127 (26,237) 130,968 5,494,858 - 5,013,272 - - 5,013,272 -

Cash flows from operating activities Payments to suppliers and employees Payments for exploration and evaluation Net cash used in operating activities 3.1.2 Cash flows from investing activities Purchase of property, plant and equipment Net cash used in investing activities Cash flows from financing activities Proceeds from issue of shares Share issue costs Proceeds of borrowings Net cash provided by financing activities Net increase in cash and cash equivalents held Cash and cash equivalents at the beginning of the period Cash and cash equivalents at the end of the period - 3.1

The statement of cash flows is to be read in conjunction with the accompanying notes.

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ANNUAL REPORT

OZZ RESOURCES LIMITED ABN 98 643 844 544

30 June 2021

Notes to the financial statements

for the period 27 August 2020 to 30 June 2021

In preparing the 30 June 2021 financial statements, Ozz Resources Limited has grouped notes into sections under four key categories:

Section A: How the numbers are calculated ............................................................................................................................ 27 Section B: Risk.......................................................................................................................................................................... 39 Section C: Unrecognised items ................................................................................................................................................ 42 Section D: Other Information .................................................................................................................................................. 43

Significant accounting policies specific to each note are included within that note. Accounting policies that are determined to be non-significant are not included in the financial statements.

The presentation is supported by the IASB’s Disclosure Initiative. As part of this project, the AASB made amendments to AASB 101 Presentation of Financial Statements which have provided preparers with more flexibility in presenting the information in their financial reports.

The financial statements are presented in Australian dollars, except where otherwise stated.

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OZZ RESOURCES LIMITED ABN 98 643 844 544

ANNUAL REPORT 30 June 2021

Notes to the financial statements

for the period 27 August 2020 to 30 June 2021

SECTION A. HOW THE NUMBERS ARE CALCULATED

This section provides additional information about those individual line items in the financial statements that the Directors consider most relevant in the context of the operations of the entity, including:

• (a) accounting policies that are relevant for an understanding of the items recognised in the financial statements. These cover situations where the accounting standards either allow a choice or do not deal with a particular type of transaction.

• (b) analysis and sub-totals.

• (c) information about estimates and judgements made in relation to particular items.

Note 1 Loss before income tax Note	27 August 2020 to 30 June 2021 $ 2019 $ 43,756 12,700 5,427 61,883 48,333 5,286 7,306 447,254 3,938 512,117 - 31,796 103,231 60,480 195,507 - 227,697 1,923,177 7,991 123,188 15,000 4,990 7,377 2,309,420
The following significant revenue and expense items are relevant in explaining the financial performance: 1.1 Administration expenses Computers and communications Travel expenses Other 1.2 Employment costs Salaries and Wages Superannuation Directors’ fees Share-based payments 16.1 Other 1.3 Professional and consulting costs Accounting and Company Secretary Fees Legal fees and Corporate Advisory Other consultants
1.4 Mineral exploration and evaluation costs
Balance at the beginning of the period Acquisition costs: Cash-based Share-based 16.2.1b.i,ii Field expenses Geological consulting Mineral surveys Rates and Rent Tenement consulting

1.4.1 Accounting Policy

a. Exploration and evaluation expenditure

Exploration and evaluation costs, including the costs of acquiring licenses, are expensed as exploration and evaluation expenditure as incurred.

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ANNUAL REPORT 30 June 2021

OZZ RESOURCES LIMITED ABN 98 643 844 544

Notes to the financial statements

for the period 27 August 2020 to 30 June 2021

Note 2 Income tax	27 August 2020 to 30 June 2021 $ - - - (14,817) 14,817 - - (3,126,920) (938,076) 711,130 (30,700) 257,646 - - % - !Zero Divide nil
2.1 Income tax expense Current tax Deferred tax Deferred income tax expense included in income tax expense comprises: ◼ Increase / (decrease) in deferred tax assets 2.5 ◼ (Increase) / decrease in deferred tax liabilities 2.6 2.2 Reconciliation of income tax expense to prima facie tax payable The prima facie tax payable/(benefit) on loss from ordinary activities before income tax is reconciled to the income tax expense as follows: Accounting loss before tax Prima facie tax on operating loss at 30.0% Add / (Less) tax effect of:  Other non-deductible expenses / (non-assessable income)  Timing differences  Deferred tax asset not brought to account Income tax expense/(benefit) attributable to operating loss 2.3 The applicable weighted average effective tax rates attributable to operating profit are as follows: 2.4 Balance of franking account at year end of the parent

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OZZ RESOURCES LIMITED ABN 98 643 844 544

ANNUAL REPORT 30 June 2021

Notes to the financial statements

for the period 27 August 2020 to 30 June 2021

Note 2 Income tax (cont.) Note	2021 $ 2019 $ 257,646 93,530 351,176 (14,817) 336,359 (336,359) - 14,817 #,##0 14,817 - (14,817) - - - 257,646 257,646
2.5 Deferred tax assets Tax losses Deductible temporary differences Set-off deferred tax liabilities Net deferred tax assets Less deferred tax assets not recognised Net deferred tax assets 2.6 Deferred tax liabilities Plant and equipment Set-off deferred tax assets Net deferred tax liabilities 2.7 Tax losses and deductible temporary differences Unused tax losses and deductible temporary differences for which no deferred tax asset has been recognised, that may be utilised to offset tax liabilities: ◼ Tax losses

Potential deferred tax assets attributable to tax losses have not been brought to account at 30 June 2021 because the Directors do not believe it is appropriate to regard realisation of the deferred tax assets as probable at this point in time. These benefits will only be obtained if:

• i. the Company derives future assessable income of a nature and of an amount sufficient to enable the benefit from the deductions for the loss to be realised;

ii. the Company continues to comply with conditions for deductibility imposed by law; and

iii. no changes in tax legislation adversely affect the Company in realising the benefit from the deductions for the loss.

Balances disclosed in the financial statements and the notes thereto, related to taxation, are based on the best estimates of directors. These estimates consider both the financial performance and position of the Company as they pertain to current income taxation legislation, and the Directors understanding thereof. No adjustment has been made for pending or future taxation legislation. The current income tax position represents that directors' best estimate, pending an assessment by tax authorities in relevant jurisdictions.

The Company has accumulated tax losses of $858,820 which are expected to be available indefinitely for offset against future taxable profits of the Company in which the losses arose. The recoupment of these losses is subject to assessment of the Australian Taxation Office.

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P a g e | 29

ANNUAL REPORT 30 June 2021

OZZ RESOURCES LIMITED ABN 98 643 844 544

Notes to the financial statements

for the period 27 August 2020 to 30 June 2021

Note	Note	2 Income tax (cont.)		Note
2.8		Accounting policy
		The income tax expense or benefit for the period is the tax payable on the		current	period's taxable income based on the
		applicable income tax rate for each jurisdiction adjusted by changes in deferred tax assets and liabilities attributable to
		temporary difference and to unused tax losses.
		The current income tax charge is calculated based on the tax laws enacted or substantively enacted at the end of the
		reporting period in the countries where the Company's subsidiaries and associates			operate and generate taxable income.
		Management periodically evaluates positions taken in tax returns with	respect		to situations in which applicable tax
		regulation is subject to interpretation. It establishes provisions where appropriate based on amounts expected to be paid to
		the tax authorities.
		Current tax assets and liabilities for the current and prior periods are measured at			the amount expected to be recovered
		from or paid to the taxation authorities. The tax rates and tax laws used to compute the amount are those that are enacted
		or substantively enacted by the balance date.
		Deferred income tax is provided on all temporary differences at the balance date between the tax bases of assets and
		liabilities and their carrying amounts for financial reporting purposes.
		Deferred income tax liabilities are recognised for all taxable temporary differences except:
		when the deferred income tax liability arises from the initial recognition of goodwill or of an asset or liability in a
		transaction that is not a business combination and that, at the time of	the transaction, affects neither the accounting
		profit nor taxable profit or loss; or
		when the taxable temporary difference is associated with investments		in subsidiaries, associates or interests in joint
		ventures, and the timing of the reversal of the temporary difference		can be controlled and it is probable that the
		temporary difference will not reverse in the foreseeable future.
		Deferred income tax assets are recognised for all deductible temporary differences, carry-forward of unused tax assets and
		unused tax losses, to the extent that it is probable that taxable profit will be available against which the deductible temporary
		differences and the carry-forward of unused tax credits and unused tax losses can be utilised, except:
		when the deferred income tax asset relating to the deductible temporary difference arises from the initial recognition
		of an asset or liability in a transaction that is not a business combination and,			at the time of the transaction, affects
		neither the accounting profit nor taxable profit or loss; or
		when the deductible temporary difference is associated with investments in subsidiaries, associates or interests in joint
		ventures, in which case a deferred tax asset is only recognised to the		extent that it is probable that the temporary
		difference will reverse in the foreseeable future and taxable profit will be available against which the temporary
		difference can be utilised.
		The carrying amount of deferred income tax assets is reviewed at each balance date and reduced to the extent that it is no
		longer probable that sufficient taxable profit will be available to allow all or part of the deferred income tax asset to be
		utilised.
		Unrecognised deferred income tax assets are reassessed at each balance date and are recognised to the extent that it has
		become probable that future taxable profit will allow the deferred tax asset to be recovered. Deferred income tax assets
		and liabilities are measured at the tax rates that are expected to apply to the year when the asset is realised or the liability
		is settled, based on tax rates (and tax laws) that have been enacted or substantively enacted at the balance date.
		Income taxes relating to items recognised directly in equity are recognised	in equity and not in profit or loss. Deferred tax
		assets and deferred tax liabilities are offset only if a legally enforceable right exists to set off current tax assets against current
		tax liabilities and the deferred tax assets and liabilities relate to the same taxable entity and the same taxation authority.
		Where the Company receives the Australian Government's Research and Development Tax Incentive, the Company accounts
		for the refundable tax offset under AASB 112. Funds are received as a rebate through the parent company's income tax
		return.

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P a g e | 30

OZZ RESOURCES LIMITED ABN 98 643 844 544

ANNUAL REPORT 30 June 2021

Notes to the financial statements

for the period 27 August 2020 to 30 June 2021

Note 3 Financial assets and financial liabilities

3.1 Cash and cash equivalents	2021
	$
Cash at bank	5,013,272
	5,013,272

3.1.1 The Company's exposure to interest rate risk and a sensitivity analysis for financial assets and liabilities are disclosed in Note 6 Financial risk management .

3.1.2 Cash Flow Information

27 August 2020 to 30 June 2021 $ 2019 $ (3,126,920) - 640 2,370,431 - (68,816) 344,079 (480,586) -

a. Reconciliation of cash flow from operations to loss after income tax Loss after income tax Cash flows excluded from loss attributable to operating activities Non-cash flows in loss from ordinary activities: Depreciation and amortisation Net share-based payments recognised in profit and loss 16.1 Changes in assets and liabilities, net of the effects of purchase and disposal of subsidiaries: (Increase) in trade and other receivables Increase in trade and other payables Cash flow used in from operations -

b. Reconciliation of liabilities arising from financing activities

	27 August	Non-cash changes
		Foreign Other
	2020 Cash flows	2021 Acquisitions Exchange Changes(1)
	$ $	$ $ $ $
Short-term borrowings	- 100,000	- - 30,968 130,968
Total liabilities from
	- 100,000	- - 30,968 130,968
financing activities

(1) Other changes relate to insurance premium funding.

3.1.3 Accounting policy

Cash comprises cash at bank and on hand. Cash equivalents are short term, highly liquid investments that are readily convertible to known amounts of cash and which are subject to an insignificant risk of changes in value. Bank overdrafts are shown within borrowings in current liabilities in the statement of financial position.

For the purposes of the statement of cash flows, cash and cash equivalents consist of cash and cash equivalents as defined above, net of outstanding bank overdrafts.

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P a g e | 31

ANNUAL REPORT 30 June 2021

OZZ RESOURCES LIMITED ABN 98 643 844 544

Notes to the financial statements

for the period 27 August 2020 to 30 June 2021

Note 3 Financial assets and financial liabilities (cont.)

Trade and other receivables	2021
	$
Current Goods and Services Tax receivable Other receivables
	38,192
	30,624
	68,816

3.2 Trade and other receivables

3.2.1 Current

• 3.2.2 The Company's exposure to credit rate risk is disclosed in Note 6 Financial risk management .

3.2.3 Accounting policy

Trade receivables are measured on initial recognition at fair value and are subsequently measured at amortised cost using the effective interest rate method, less any allowance for impairment. Trade receivables are generally due for settlement within periods ranging from prepaid or cash on delivery to 60 days.

Impairment of trade receivables is continually reviewed and those that are considered to be uncollectible are written off by reducing the carrying amount directly. An allowance account is used when there is objective evidence that the Company will not be able to collect all amounts due according to the original contractual terms.

The amount of the impairment loss is recognised in the statement of profit or loss and other comprehensive income within other expenses. When a trade receivable for which an impairment allowance had been recognised becomes uncollectible in a subsequent period, it is written off against the allowance account. Subsequent recoveries of amounts previously written off are credited against other expenses in the statement of profit or loss and other comprehensive income.

3.3 Trade and other payables 3.3.1 Current Unsecured Trade payables Sundry payables and accrued expenses Employee related	2021 $ 2020 $ 471,339 137,518 22,724 - 631,581

• 3.3.2 Trade payables are non-interest bearing and usually settled within the lower of terms of trade or 30 days.

• 3.3.3 The Company's exposure to interest rate risk and a sensitivity analysis for financial assets and liabilities are disclosed in Note 6 Financial risk management .

3.3.4 Accounting policy

a. Trade and other payables

Trade other payables are recognised initially at fair value and subsequently at amortised cost and represent liabilities for goods and services provided to the Company prior to the end of the financial year that are unpaid and arise when the Company becomes obliged to make future payments in respect of the purchase of these goods and services. Amounts are unsecured, non-interest bearing, and usually settled within the lower of terms of trade or 60 days.

3.4 Borrowings Note	2021 $ 2020 $ 100,000 30,968 130,968 -
3.4.1 Current Short-term loans 3.4.1a Premium funding 3.4.1b

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a.
b.
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a. Short-term loans, provided for ASX listing fees, carried finance cost of $5,000, and were repaid upon listing.

b. Premium funding was provided for the Company’s insurances, for a term of 10 months, with total interest of $1,172 paid over the term.

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OZZ RESOURCES LIMITED ABN 98 643 844 544

ANNUAL REPORT 30 June 2021

Notes to the financial statements

for the period 27 August 2020 to 30 June 2021

Note 3 Financial assets and financial liabilities (cont.)

3.4 Borrowings (cont.)

3.4.2 Assets pledged as security

Nil

3.4.3 Accounting policy

a. Borrowings

Borrowings are initially recognised at fair value, net of transaction costs incurred. Borrowings are subsequently measured at amortised cost. Any difference between the proceeds (net of transaction costs) and the redemption amount is recognised in profit or loss over the period of the borrowings using the effective interest method. Fees paid on the establishment of loan facilities are recognised as transaction costs of the loan to the extent that it is probable that some or all of the facility will be drawn down. In this case, the fee is deferred until the draw down occurs. To the extent there is no evidence that it is probable that some or all of the facility will be drawn down, the fee is capitalised as a prepayment for liquidity services and amortised over the period of the facility to which it relates.

The fair value of the liability portion of a convertible note is determined using a market interest rate for an equivalent nonconvertible note. This amount is recorded as a liability on an amortised cost basis until extinguished on conversion or maturity of the note. The remainder of the proceeds is allocated to the conversion option. This is recognised and included in shareholders' equity, net of income tax effects.

Borrowings are removed from the statement of financial position when the obligation specified in the contract is discharged, cancelled, or expired. The difference between the carrying amount of a financial liability that has been extinguished or transferred to another party and the consideration paid, including any non-cash assets transferred or liabilities assumed, is recognised in profit or loss as other income or finance costs. Borrowings are classified as current liabilities unless the Company has an unconditional right to defer settlement of the liability for at least 12 months after the reporting period.

b. Leases

Lease are recognised as a right-of-use asset and a corresponding liability at the date at which the leased asset is available for use by the Company.

3.5 Other Significant Accounting Policies related to Financial Assets and Liabilities

• 3.5.1 Investments and other financial assets

a. Classification

The Company classifies its financial assets in the following measurement categories:

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those to be measured subsequently at fair value (either through OCI or through profit or loss), and

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those to be measured at amortised cost.

The classification depends on the entity’s business model for managing the financial assets and the contractual terms of the cash flows.

For assets measured at fair value, gains and losses will either be recorded in profit or loss or OCI. For investments in equity instruments that are not held for trading, this will depend on whether the group has made an irrevocable election at the time of initial recognition to account for the equity investment at fair value through other comprehensive income ( FVOCI ).

The Company reclassifies debt investments when and only when its business model for managing those assets changes.

b. Recognition and derecognition

Regular way purchases and sales of financial assets are recognised on trade-date, the date on which the Company commits to purchase or sell the asset. Financial assets are derecognised when the rights to receive cash flows from the financial assets have expired or have been transferred and the Company has transferred substantially all the risks and rewards of ownership.

c. Measurement

At initial recognition, the Company measures a financial asset at its fair value plus, in the case of a financial asset not at fair value through profit or loss ( FVPL ), transaction costs that are directly attributable to the acquisition of the financial asset. Transaction costs of financial assets carried at FVPL are expensed in profit or loss.

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Financial assets with embedded derivatives are considered in their entirety when determining whether their cash flows are solely payment of principal and interest.

P a g e | 33

ANNUAL REPORT 30 June 2021

OZZ RESOURCES LIMITED ABN 98 643 844 544

Notes to the financial statements

for the period 27 August 2020 to 30 June 2021

Note 3 Financial assets and financial liabilities (cont.)

3.5 Other Significant Accounting Policies related to Financial Assets and Liabilities (cont.)

i. Debt instruments

• Subsequent measurement of debt instruments depends on the Company’s business model for managing the asset and the cash flow characteristics of the asset. There are three measurement categories into which the group classifies its debt instruments:

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• Amortised cost : Assets that are held for collection of contractual cash flows where those cash flows represent solely payments of principal and interest are measured at amortised cost. Interest income from these financial assets is included in finance income using the effective interest rate method. Any gain or loss arising on derecognition is recognised directly in profit or loss and presented in other gains/(losses) together with foreign exchange gains and losses. Impairment losses are presented as separate line item in the statement of profit or loss.

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• FVOCI : Assets that are held for collection of contractual cash flows and for selling the financial assets, where the assets’ cash flows represent solely payments of principal and interest, are measured at FVOCI. Movements in the carrying amount are taken through OCI, except for the recognition of impairment gains or losses, interest income and foreign exchange gains and losses which are recognised in profit or loss. When the financial asset is derecognised, the cumulative gain or loss previously recognised in OCI is reclassified from equity to profit or loss and recognised in other gains/(losses). Interest income from these financial assets is included in finance income using the effective interest rate method. Foreign exchange gains and losses are presented in other gains/(losses) and impairment expenses are presented as separate line item in the statement of profit or loss.

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• FVPL : Assets that do not meet the criteria for amortised cost or FVOCI are measured at FVPL. A gain or loss on a debt investment that is subsequently measured at FVPL is recognised in profit or loss and presented net within other gains/(losses) in the period in which it arises.

ii. Equity instruments

The Company subsequently measures all equity investments at fair value. Where the group’s management has elected to present fair value gains and losses on equity investments in OCI, there is no subsequent reclassification of fair value gains and losses to profit or loss following the derecognition of the investment. Dividends from such investments continue to be recognised in profit or loss as other income when the group’s right to receive payments is established.

Changes in the fair value of financial assets at FVPL are recognised in other gains/(losses) in the statement of profit or loss as applicable. Impairment losses (and reversal of impairment losses) on equity investments measured at FVOCI are not reported separately from other changes in fair value.

d. Impairment

The Company assesses on a forward-looking basis, the expected credit losses associated with its debt instruments carried at amortised cost and FVOCI. The impairment methodology applied depends on whether there has been a significant increase in credit risk.

For trade receivables, the Company applies the simplified approach permitted by AASB 9, which requires expected lifetime losses to be recognised from initial recognition of the receivables.

Note 4 Non-financial assets and financial liabilities

4.1 Property, plant, and equipment	2021 $ 2020 $ 50,030 - (640) - 49,390 -
Motor vehicles at cost Accumulated depreciation Total plant and equipment

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P a g e | 34

OZZ RESOURCES LIMITED ABN 98 643 844 544

ANNUAL REPORT 30 June 2021

Notes to the financial statements

for the period 27 August 2020 to 30 June 2021

Note 4 Non-financial assets and financial liabilities (cont.)

4.1 Property, plant, and equipment (cont.)

4.1.1

Property, plant, and equipment(cont.)
Movements in Carrying Amounts 5 Carrying amount 27 August 2020 - Additions Depreciation expense Carrying amount at 30 June 2021 -	Motor vehicles Total
	$ $
	- -
	50,030 50,030
	(640) (640)
	49,390 49,390

4.1.2 Accounting policy

a. Recognition and measurement

Items of plant and equipment are measured on the cost basis and carried at cost less accumulated depreciation (see below) and impairment losses (see accounting policy 4.2.1 Impairment of non-financial assets).

Cost includes expenditure directly attributable to the acquisition of the asset. Costs of self-constructed assets include the cost of materials and direct labour, any other costs directly attributable to bringing the asset to a working condition for its intended use, and costs of dismantling and removing the items and restoring the site on which they are located, and an appropriate proportion of production overheads. Cost includes the cost of replacing parts eligible for capitalisation when the cost is incurred. Similarly, when each major inspection is performed, its cost is recognised in the carrying amount of the plant and equipment as a replacement only if it is eligible for capitalisation.

Where considered material, the carrying amount of property, plant, and equipment is reviewed annually by Directors to ensure it is not in excess of the recoverable amount from these assets. The recoverable amount is assessed on the basis of the expected net cash flows that will be received from the asset’s employment and subsequent disposal. The expected net cash flows are not discounted to their present values in determining recoverable amounts.

Where parts of an item of property, plant, and equipment have different useful lives, they are accounted for as separate items of plant and equipment.

b. Subsequent costs

The cost of replacing part of an item of plant and equipment is recognised in the carrying amount of the item if it is probable that the future economic benefits embodied within the part will flow to the Company and its cost can be measured reliably. Any costs of the day-to-day servicing of plant and equipment are recognised in the income statement as an expense as incurred.

c. Depreciation

The depreciable amount of all fixed assets including building and capitalised lease assets, but excluding freehold land, is depreciated on either a straight-line basis or diminishing balance basis, whichever is considered most appropriate, over their useful lives to the Company commencing from the time the asset is held ready for use. Leasehold improvements are amortised over the remaining term of the lease.

Depreciation rates and methods are reviewed annually for appropriateness and are as follows:

	The depreciable amount of all fixed assets including building and capitalised lease assets, but excluding freehold land, is depreciated on either a straight-line basis or diminishing balance basis, whichever is considered most appropriate, over their useful lives to the Company commencing from the time the asset is held ready for use. Leasehold improvements are amortised over the remaining term of the lease. Depreciation rates and methods are reviewed annually for appropriateness and are as follows:
	2021 2020
	% %
	Motor vehicle 33
	The carrying amount of plant and equipment is reviewed annually by Directors to ensure it is not in excess of the
	recoverable amount from these assets. The recoverable amount is assessed on the basis of the expected
	net cash flows which will be received from the assets’ employment and subsequent disposal. The expected net cash
	flows have not been discounted to their present values in determining recoverable amounts.
d.	Derecognition and disposal
	An item of property, plant and equipment is derecognised upon disposal or when no further future economic benefits
	are expected from its use or disposal. The gain or loss on disposal of an item of property, plant and equipment is
	determined by comparing the proceeds from disposal with the carrying amount of the property, plant and equipment
	and is recognised net within other income/other expenses in profit or loss. When revalued assets are sold, any related
	amount included in the revaluation reserve is transferred to retained earnings.

An item of property, plant and equipment is derecognised upon disposal or when no further future economic benefits are expected from its use or disposal. The gain or loss on disposal of an item of property, plant and equipment is determined by comparing the proceeds from disposal with the carrying amount of the property, plant and equipment and is recognised net within other income/other expenses in profit or loss. When revalued assets are sold, any related amount included in the revaluation reserve is transferred to retained earnings.

P a g e | 35

ANNUAL REPORT 30 June 2021

OZZ RESOURCES LIMITED ABN 98 643 844 544

Notes to the financial statements

for the period 27 August 2020 to 30 June 2021

Note 4 Non-financial assets and financial liabilities (cont.)

4.2 Other Significant Accounting Policies related to Non-Financial Assets and Liabilities

4.2.1 Impairment of non-financial assets The carrying amounts of the Group's non-financial assets, other than deferred tax assets (see accounting policy at note 2.8) are reviewed at each reporting date to determine whether there is any indication of impairment. If any such indication exists, then the asset's recoverable amount is estimated. Goodwill and intangible assets that have an indefinite useful life are not subject to amortisation and are tested annually for impairment or more frequently if events or changes in circumstances indicate that they might be impaired. Other assets are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount may not be recoverable An impairment loss is recognised if the carrying amount of an asset or its cash-generating unit exceeds its recoverable amount. A cash-generating unit is the smallest identifiable asset group that generates cash flows that largely are independent from other assets and groups. Impairment losses are recognised in the income statement, unless the asset has previously been revalued, in which case the impairment loss is recognised as a reversal to the extent of that previous revaluation with any excess recognised through the income statement. Impairment losses recognised in respect of cashgenerating units are allocated first to reduce the carrying amount of any goodwill allocated to the units and then to reduce the carrying amount of the other assets in the unit on a pro rata basis.

The recoverable amount of an asset or cash-generating unit is the greater of its 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 an asset that does not generate largely independent cash inflows, the recoverable amount is determined for the cash-generating unit to which the asset belongs.

Impairment losses recognised in prior periods are assessed at each reporting date for any indications that the loss has decreased or no longer exists. An impairment loss is reversed if there has been a change in the estimates used to determine the recoverable amount. An impairment loss is reversed only to the extent that the asset's carrying amount does not exceed the carrying amount that would have been determined, net of depreciation and amortisation, if no impairment loss had been recognised.

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P a g e | 36

OZZ RESOURCES LIMITED ABN 98 643 844 544

ANNUAL REPORT 30 June 2021

Notes to the financial statements

for the period 27 August 2020 to 30 June 2021

Note 5 Equity

5.1 Issued capital	2021 No. 45,136,877 27 August 2020 to 30 June 2021 No.	2021
		$
Fully paid ordinary shares at no par value 5.1.1 Ordinary shares At the beginning of the period Shares issued during the period: 27.08.20 Incorporation issue 02.10.20 Promoter issue 27.10.20 Seed capital issue Sub-total Effect of share consolidation 2.3:4 Shares after consolidation 18.06.21 Promoter issue 18.06.21 Vendor shares 16.2.1b.i 18.06.21 IPO shares Transaction costs related to shares issued At reporting date		6,463,320
		27 August 2020
		to
		30 June 2021
		$
	-	-
	2 11,325,000 7,000,000 18,325,002 (7,788,125) 10,536,877
		2
		10,125
		350,000
		-
		-
		-
	1,500,000	30,000
	8,100,000 25,000,000 - 45,136,877	1,620,000
		5,000,000
		(546,807)
		6,463,320

5.1.2 Ordinary shares entitle the holder to participate in dividends and the proceeds on winding up of the Company in proportion to the number of and amounts paid on the shares held. On a show of hands every holder of ordinary shares present at a meeting in person or by proxy, is entitled to one vote, and upon a poll each share is entitled to one vote. Ordinary shares have no par value and the Company does not have a limited amount of authorised capital.

5.1.3 Accounting policy

Issued and paid-up capital is recognised at the fair value of the consideration received by the Company. Incremental costs directly attributable to the issue of ordinary shares and share options are recognised as a deduction from equity, net of any related income tax benefit. Incremental costs directly attributable to the issue of new shares or options for the acquisition of a new business are not included in the cost of acquisition as part of the purchase consideration. Ordinary issued capital bears no special terms or conditions affecting income or capital entitlements of the shareholders.

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P a g e | 37

ANNUAL REPORT 30 June 2021

OZZ RESOURCES LIMITED ABN 98 643 844 544

Notes to the financial statements

for the period 27 August 2020 to 30 June 2021

Note 5 Equity (cont.)

5.2 Options	2021 No. 21,436,875 27 August 2020 to 30 June 2021 No.	2021 $ 2019 $ 1,032,529 27 August 2020 to 30 June 2021 $ - - - - - - 447,254 282,098 303,177 1,032,529 2021 $ 2020 $ 1,032,529 1,032,529 -
	-
5.3 Reserves
Share-based payment reserve

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P a g e | 38

OZZ RESOURCES LIMITED ABN 98 643 844 544

ANNUAL REPORT 30 June 2021

Notes to the financial statements

for the period 27 August 2020 to 30 June 2021

SECTION B. RISK

This section of the notes discusses the Company’s exposure to various risks and shows how these could affect the Company’s financial position and performance.

Note 6 Financial risk management

This note presents information about the Company's exposure to each of the above risks, its objectives, policies and procedures for measuring and managing risk, and the management of capital.

The Company's financial instruments consist mainly of deposits with banks, and accounts payable and receivable.

The Company does not speculate in the trading of financial instruments or derivative instruments.

A summary of the Company's financial assets and liabilities, measured in accordance with AASB9 Financial Instruments as detailed in the accounting policies, is shown below:

	Floating Interest Rate Fixed Interest Rate Non- interest Bearing 2021 Total
	$ $ $ $
Financial Assets  Cash and cash equivalents  Trade and other receivables Total Financial Assets Financial Liabilities Financial liabilities at amortised cost  Trade and other payables  Borrowings Total Financial Liabilities Net Financial Assets
	5,013,272 - - 5,013,272
	- - 68,816 68,816
	5,013,272 - 68,816 5,082,088
	- - 631,581 631,581
	- 30,968 100,000 130,968
	- 30,968 731,581 762,549
	5,013,272 (30,968) (662,765) 4,319,539

6.1 Financial Risk Management Policies

The Boards overall risk management strategy seeks to assist the Company in meeting its financial targets, while minimising potential adverse effects on financial performance. Risk management policies are approved and reviewed by the Board on a regular basis. These include the credit risk policies and future cash flow requirements. Senior executives meet on a regular basis to analyse financial risk exposure in the context of the most recent economic conditions and forecasts. The overall risk management strategy seeks to assist the Company in meeting its financial targets, while minimising potential adverse effects on financial performance.

6.2 Specific Financial Risk Exposures and Management

The main risks the Company is exposed to through its financial instruments are credit risk, liquidity risk and market risk consisting of interest rate, foreign currency risk and equity price risk. However, the sole material risk at the present stage of the Company is liquidity risk.

The Board of Directors has overall responsibility for the establishment and oversight of the risk management framework. The Board adopts practices designed to identify significant areas of business risk and to effectively manage those risks in accordance with the Company's risk profile. This includes assessing, monitoring and managing risks for the Company and setting appropriate risk limits and controls. The Company is not of a size nor is its affairs of such complexity to justify the establishment of a formal system for risk management and associated controls. Instead, the Board approves all expenditure, is intimately acquainted with all operations and discuss all relevant issues at the Board meetings. The operational and other compliance risk management have also been assessed and found to be operating efficiently and effectively.

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P a g e | 39

ANNUAL REPORT 30 June 2021

OZZ RESOURCES LIMITED ABN 98 643 844 544

Notes to the financial statements

for the period 27 August 2020 to 30 June 2021

Note 6 Financial risk management (cont.)

6.2.1 Credit risk

Exposure to credit risk relating to financial assets arises from the potential non-performance by counterparties of contract obligations that could lead to a financial loss to the Company.

Due to the current nature of the Company, being a pre-IPO exploration entity, the Company is not exposed to material credit risk.

6.2.2 Liquidity risk

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

Ultimate responsibility for liquidity risk management rests with the Board of Directors, who have built an appropriate liquidity risk management framework for the management of the Company's short, medium and long-term funding and liquidity management requirements. The Company manages liquidity risk by maintaining adequate reserves, banking facilities and by continuously monitoring forecast and actual cash flows and matching the maturity profiles of financial assets and liabilities.

Typically, the Company ensures that it has sufficient cash to meet expected operational expenses for a period of 60 days, including the servicing of financial obligations; this excludes the potential impact of extreme circumstances that cannot reasonably be predicted, such as natural disasters.

The financial liabilities of the Company include trade and other payables as disclosed in the statement of financial position. All trade and other payables are non-interest bearing and due within 30 days of the reporting date.

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Contractual Maturities

The following are the contractual maturities of financial assets and liabilities of the Company:

Financial liabilities due for payment Trade and other payables Borrowings Total contractual outflows Financial assets Cash and cash equivalents Trade and other receivables Total anticipated inflows Net inflow on financial instruments	Within Greater Than
	1 Year 1 Year Total
	2021 2021 2021
	$ $ $
	631,581 - 631,581
	130,968 - 130,968
	762,549 - 762,549
	5,013,272 - 5,013,272
	68,816 - 68,816
	5,082,088 - 5,082,088
	4,319,539 - 4,319,539

Cash flows realised from financial instruments reflect management's expectation as to the timing of realisation timing may therefore differ from that disclosed. It is not expected that the cash flows included in the maturity analysis could occur significantly earlier or at significantly different amounts.

6.2.3 Market risk

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

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Due to the current nature of the Company, being a pre-IPO exploration entity, the Company is not exposed to material credit risk.

P a g e | 40

OZZ RESOURCES LIMITED ABN 98 643 844 544

ANNUAL REPORT 30 June 2021

Notes to the financial statements

for the period 27 August 2020 to 30 June 2021

Note 6 Financial risk management (cont.)

6.2.4 Sensitivity Analyses

Due to the current nature of the Company, being a pre-IPO exploration entity, the Company is not exposed to material financial risk sensitivities.

6.2.5 Net Fair Values

• a. Fair value estimation

The fair values of financial assets and financial liabilities are presented in the table in Note 6 and can be compared to their carrying values as presented in the statement of financial position. Fair values are those amounts at which an asset could be exchanged, or a liability settled, between knowledgeable, willing parties in an arm's length transaction. The Directors consider that the carrying amount of financial assets and financial liabilities recorded in the financial statements approximates their fair values as the carrying value less impairment provision of trade receivables and payables are assumed to approximate their fair values due to their short-term nature.

Financial instruments whose carrying value is equivalent to fair value due to their nature include:

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Cash and cash equivalents;

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Trade and other receivables; and

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Trade and other payables.

The methods and assumptions used in determining the fair values of financial instruments are disclosed in the accounting policy notes specific to the asset or liability.

Note 7 Capital Management

7.1 Capital

The Directors’ objectives when managing capital are to ensure that the Company can maintain a capital base so as to maintain investor, creditor and market confidence and to sustain future development of the business. The Board of Directors monitors the availability of liquid funds in order to meet its short-term commitments. It does this by ensuring that its current ratio (current assets divided by current liabilities) remains in excess of 1:1.

	2021	2016
Current ratio	6.66	!Zero Divide

Due to the nature of the Company’s activities, being mineral exploration and pre-IPO, the Company does not have ready access to credit facilities, with the primary source of funding being equity raisings. Therefore, the focus of the Company’s capital risk management is the current working capital position against the requirements of the Company to meet exploration programmes and corporate overheads. The Company’s strategy is to ensure appropriate liquidity is maintained to meet anticipated operating requirements, with a view to initiating appropriate capital raisings as required.

The Company is not subject to externally imposed capital requirements.

7.2 Working Capital

7.2 Working Capital
The working capital position of the Company was as follows: Note	2021
	$
Cash and cash equivalents 3.1 Trade and other receivables 3.2 Trade and other payables 3.3 Borrowings 3.4 Working capital position
	5,013,272
	68,816
	(631,581)
	(130,968)
	4,319,539

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P a g e | 41

ANNUAL REPORT 30 June 2021

OZZ RESOURCES LIMITED ABN 98 643 844 544

Notes to the financial statements

for the period 27 August 2020 to 30 June 2021

SECTION C. UNRECOGNISED ITEMS

This section of the notes includes other information that must be disclosed to comply with the accounting standards and other pronouncements, but that is not immediately related to individual line items in the financial statements.

Note 8 Contingent liabilities

The Company has no contingent liabilities as at 30 June 2021

Note 9 Events subsequent to reporting date

9.1 Admission to the Australian Securities Exchange

On 5[th] of July 2021 the Company was admitted to and began trading on the Australian Securities Exchange after completing its Initial Public Offering on 18[th] June 2021.

There has not been any other matter or circumstance that has arisen after balance date that has significantly affected, or may significantly affect, the operations of the Company, the results of those operations, or the state of affairs of the Company in future financial periods.

significantly affect, the operations of the Company, the results of those operations, or future financial periods.	the state of affairs of the Company i
Note 10 Commitments	2021 $ 2020 $ 163,880 - - 163,880 -
10.1 Exploration expenditure commitments payable: Within one year After one year but not more than five years After five years Total Exploration tenement minimum expenditure requirements

Exploration commitments have only been included for one year for each tenement. The Company will continue to assess each tenement annually and has the option to relinquish, sell, or divest a tenement should it not meet the expectations of the Company. The Company may apply for exemptions from expenditure if necessary.

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P a g e | 42

OZZ RESOURCES LIMITED ABN 98 643 844 544

ANNUAL REPORT 30 June 2021

Notes to the financial statements

for the period 27 August 2020 to 30 June 2021

SECTION D. OTHER INFORMATION

This section of the notes includes other information that must be disclosed to comply with the accounting standards and other pronouncements, but that is not immediately related to individual line items in the financial statements.

Note 11 Key Management Personnel (KMP)

The names and positions of KMP are as follows:

Directors Alan Lockett Non-Executive Chairman (Appointed on 27 August 2020) Jonathan Lea Managing Director (Appointed on 27 August 2020) Brian McNab Non-Executive Director (Appointed on 1 December 2020) Kurt Kozyrski Non-Executive Director (Appointed on 30 September 2020, resigned 14 December 2020) Other key management Stuart Usher Chief Financial Officer and Company Secretary

Short-term employee benefits Post-employment benefits Share-based payments Other long-term benefits Termination benefits Total	27 August 2020 to 30 June 2021 $ 38,106 - 2,594 - 447,254 - - - - - 487,954

Note 12 Related party transactions

The Company may enter into agreements for services rendered with individuals (or an entity that is associated with the individuals) during the ordinary course of business.

A number of entities associated with the Directors and select technical staff have consulting agreements in place which have resulted in transactions between the Company and those entities during the year.

Transactions between related parties are on normal commercial terms and conditions no more favourable than those available to other parties unless otherwise stated.

Details of transactions between the Company and other related parties are disclosed below.

	Total Transactions Payable Balance
	27 August 2020
Entity Nature of transactions KMP	to 30 June
	30 June 2021 2021
	$ $
Dragon Pty Ltd Consulting fees and subscription refund Alan Lockett Kazal Pty Ltd Corporate Advisory Alan Lockett Kokoda Holdings Pty Ltd Consulting fees and reimbursement Alan Lockett Lea Consulting Consulting Fees Jonathan Lea	32,000 -
	5,000 5,000
	12,000 -
	44,721 -

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P a g e | 43

ANNUAL REPORT 30 June 2021

OZZ RESOURCES LIMITED ABN 98 643 844 544

Notes to the financial statements

for the period 27 August 2020 to 30 June 2021

Note 13 Auditor's remuneration	27 August 2020 to 30 June 2021 $ 3,500 6,000 9,500 - 27 August 2020 to 30 June 2021 $ 2019 $ (3,126,920) (3,126,920) 27 August 2020 to 30 June 2021 No. 2019 No. 10,325,955 0 N/A N/A 10,325,955 0 27 August 2020 to 30 June 2021 ₵ 2019 ₵ (30.282) !Zero Divide N/A N/A
Remuneration of the auditor, Hall Chadwick WA Audit Pty Ltd (formerly known as Bentleys Audit & Corporate (WA) Pty Ltd), for: Assurance services: ◼ Auditing or reviewing the financial reports Non-Assurance Services: ◼ Independent accountant’s report
Note 14 Earnings per share (EPS) Note
14.1 Reconciliation of earnings to profit or loss Loss for the period Loss used in the calculation of basic and diluted EPS
14.2 Weighted average number of ordinary shares outstanding during the year used in calculation of basic EPS Weighted average number of dilutive equity instruments outstanding 14.5 14.3 Weighted average number of ordinary shares outstanding during the year used in calculation of basic EPS 14.4 Earnings per share Basic EPS (cents per share) 14.5 Diluted EPS (cents per share) 14.5

14.5 As at 30 June 2021 the Company has 21,436,875 unissued shares under options. The Company does not report diluted earnings per share on losses generated by the Company. During the year, the Company's unissued shares under option were anti-dilutive.

14.6 Accounting policy

Basic EPS is calculated as net profit attributable to members of the parent, adjusted to exclude any costs of servicing equity (other than dividends) and preference share dividends, divided by the weighted average number of ordinary shares, adjusted for any bonus element.

Diluted EPS is calculated as net profit attributable to the Company, adjusted for costs of servicing equity (other than dividends) and preference share dividends; the after-tax effect of dividends and interest associated with dilutive potential ordinary shares that have been recognised as expenses; and other non-discretionary changes in revenues or expenses during the year that would result from the dilution of potential ordinary shares; divided by the weighted average number of ordinary shares and dilutive potential ordinary shares, adjusted for any bonus element.

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P a g e | 44

OZZ RESOURCES LIMITED ABN 98 643 844 544

ANNUAL REPORT 30 June 2021

Notes to the financial statements

for the period 27 August 2020 to 30 June 2021

Note 15 Operating segments

15.1 Identification of reportable segments

The Company has identified its operating segments based on the internal reports that are reviewed and used by the Board of Directors (chief operating decision makers) in assessing performance and determining the allocation of resources.

The Company is managed primarily on the basis of business category and geographical areas. Operating segments are therefore determined on the same basis.

Reportable segments disclosed are based on aggregating operating segments where the segments are considered to have similar economic characteristics. The Company considers that it has only operated in one segment, being the exploration business, located wholly in Western Australia.

15.2 Basis of accounting for purposes of reporting by operating segments

15.2.1 Accounting policies adopted

The accounting policies used by the Company in reporting segments are in accordance with the measurement principles of Australian Accounting Standards.

15.2.2 Inter-segment transactions

All such transactions are eliminated on consolidation of the Company's financial statements.

Inter-segment loans payable and receivable are initially recognised at the consideration received/to be received net of transaction costs. If inter-segment loans receivable and payable are not on commercial terms, these are not adjusted to fair value based on market interest rates. This policy represents a departure from that applied to the statutory financial statements.

15.2.3 Segment assets

During the year ended 30 June 2021, all assets were in the same business segment, which is the Company’s exploration business.

15.2.4 Segment liabilities

During the year ended 30 June 2021, all liabilities were in the same business segment, which is the Company’s exploration business.

15.3 Revenue by geographical region

There is no revenue attributable to external customers for the year ended 30 June 2021.

15.4 Assets by geographical region

During the year ended 30 June 2021, all reportable segment assets are located in Western Australia, with the financial assets located in Western Australia.

Note 16 Share-based payments Note	2021 $ 2020 $ - - 447,254 - 1,620,000 - 303,177 - 282,098 - 2,652,529 -
16.1 Share-based payments: ◼ Recognised in profit and loss:  Director options 16.2.1a  Mineral exploration and evaluation costs – Vendor shares 16.2.1b.i  Mineral exploration and evaluation costs – Vendor options 16.2.1b.ii ◼ Recognised in equity –Transaction costs 16.2.1c Gross share-based payments

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P a g e | 45

ANNUAL REPORT 30 June 2021

OZZ RESOURCES LIMITED ABN 98 643 844 544

Notes to the financial statements

for the period 27 August 2020 to 30 June 2021

Note 16 Share-based payments (cont.)

16.2 Share-based payment arrangements in effect during the period

16.2.1 Issued during the period

• a. Director options

During the period 5,500,000 unlisted options were issued to the directors, Mr Jonathan Lea and Mr Brian McNab, as detailed below, and valued at $447,254 in accordance with note 16.4:

	Director	Number under	Date of Expiry	Consideration	Exercise Price	Vesting Terms
		Option
	Jonathan Lea Brian McNab	3,500,000 2,000,000	5 July 2023	nil	$0.25	Immediately upon issue

b. Vendor equity issued fees

During the period, in consideration for the acquisition of the Rabbit Bore project, Wardarbie South project, and Maguires Reward project, the Company issued the following equity to the respective vendors of the projects:

• i. Vendor shares

Vendor Project	Shares Valued per Share	Total
	No. $	$
Diversified Asset Holdings Pty Ltd Rabbit Bore	1,150,000 0.20	230,000
Gelignite Resources Pty Ltd Wardarbie South	1,450,000 0.20	290,000
Diane Kaye Finlay Maguires Reward	5,500,000 0.20	1,100,000
	8,100,000	1,620,000

ii. Vendor options

During the period, in consideration for the acquisition of the Rabbit Bore project and Wardarbie South project, the Company issued 2,600,000 unlisted options to the respective vendors of the projects, as detailed below, and valued at $303,177, in accordance with note 16.4:

Vendor Project	Vendor Project	Number under	Date of Expiry	Consideration	Exercise Price	Vesting Terms
		Option
Diversified Asset Holdings Pty Ltd Gelignite Resources Pty Ltd	Rabbit Bore Wardarbie South	1,150,000 1,450,000	18 June 2025	nil	$0.25	Immediately upon issue

c. Equity-settled transaction costs

During the period, in consideration for the Joint Lead Manager services, the Company issued 2,800,000 unlisted options to the respective Lead Manager of the projects, as detailed below, and valued at $282,098 in accordance with note 16.4, and recognised in transaction costs:

	Lead Manager	Number under	Date of Expiry	Consideration	Exercise Price	Vesting Terms
		Option
	Cadmon Advisory Pty Ltd CPS Capital Group Pty Ltd	1,400,000 1,400,000	5 July 2024	nil	$0.25	Immediately upon issue

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P a g e | 46

OZZ RESOURCES LIMITED ABN 98 643 844 544

ANNUAL REPORT 30 June 2021

Notes to the financial statements

for the period 27 August 2020 to 30 June 2021

Note 16 Share-based payments (cont.)

• 16.3 Movement in share-based payment arrangements during the period

A summary of the movements of all Company options issued as share-based payments is as follows:

Outstanding at the beginning of the year Granted Exercised Expired Outstanding at year-end Exercisable at year-end Reconciliation to total Company options Non share-based payment options outstanding at the beginning of the year Options issued to shareholders (post consolidation basis) Total Company options on issue	2021 2020 Number of Options Weighted Average Exercise Price Number of Options Weighted Average Exercise Price - - 10,900,000 $0.025 - - - - 10,900,000 $0.025 - 10,900,000 $0.025 - - #,##0 10,536,875 #,##0 21,436,875 0

• a. No options were exercised during the period.

• b. The weighted average remaining contractual life of options outstanding at year end was 2.702 years.

• c. The fair value of the options granted to employees is deemed to represent the value of the employee services received over the vesting period.

16.4 Fair value of options granted during the year

The fair value of the options granted to employees is deemed to represent the value of the employee services received over the vesting period.

The Company issued options were granted during the year.

The weighted average fair value of options granted during the year was $0.095. These values were calculated using the Black-Scholes option pricing model, applying the following inputs to options issued this year:

Note Reference	16.2.1a	16.2.1b.ii	16.2.1c
Grant date:	18.06.2021	18.06.2021	18.06.2021
Grant date share price:	$0.200	$0.200	$0.200
Option exercise price:	$0.250	$0.250	$0.250
Number of options issued:	5,500,000	2,600,000	2,800,000
Remaining life (years):	1.97	3.97	2.97
Expected share price volatility:	87.89	87.89	87.89
Risk-free interest rate:	0.06%	0.79%	0.10%
Value per option	$0.0813	$0.1167	$0.1007

As the options were issued prior to listing, the grant date share price has been deemed to be the IPO offering price of $0.20 per share. In addition, volatility of similar listed companies within the same industry and expected market capitalisation has been the basis for determining expected share price volatility as has been assumed that this is indicative of future movements of the Company

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The life of the options is based on the original term at the date of issue, which may not eventuate in the future.

P a g e | 47

ANNUAL REPORT 30 June 2021

OZZ RESOURCES LIMITED ABN 98 643 844 544

Notes to the financial statements

for the period 27 August 2020 to 30 June 2021

Note 16 Share-based payments (cont.)

16.5 Accounting policy

The Group has provided payment to service providers and related parties in the form of share-based compensation whereby services are rendered in exchange for shares or rights over shares, equity-settled transactions . The cost of these equitysettled transactions is measured by reference to the fair value at the date at which they are granted. The fair value is determined using an appropriate valuation model for services provided by employees or where the fair value of the goods or services received cannot be reliably estimated.

For goods and services received where the fair value can be determined reliably the goods and services and the corresponding increase in equity are measured at that fair value. The fair value of the options granted is adjusted to reflect market vesting conditions, but excludes the impact of any non-market vesting conditions. Non-market vesting conditions are included in assumptions about the number of options that are expected to become exercisable. At each balance date, the entity revises its estimates of the number of options with non-market vesting conditions that are expected to become exercisable. The cost of equity-settled transactions is recognised, together with a corresponding increase in equity, over the period in which the performance conditions are fulfilled, ending on the date on which the relevant parties become fully entitled to the award, vesting date . The cumulative expense recognised for equity-settled transactions at each reporting date until vesting date reflects (i) the extent to which the vesting period has expired and (ii) the number of awards that, in the opinion of the Directors of the Group, will ultimately vest. This opinion is formed based on the best available information at balance date. No adjustment is made for the likelihood of market performance conditions being met as the effect of these conditions is included in the determination of fair value at grant date.

Where the terms of an equity-settled award are modified, as a minimum an expense is recognised as if the terms had not been modified. In addition, an expense is recognised for any increase in the value of the transaction as a result of the modification, as measured at the date of modification.

16.6 Key estimate

Share-based payments

The Group measures the cost of equity-settled transactions by reference to the fair value of the equity instrument at the date at which they are granted. The fair value of options granted is measured using the Black-Scholes option pricing model. The model uses assumptions and estimates as inputs. The assumptions and models used for estimating fair value for sharebased payment transactions are disclosed in note 16.4.

Note 17 Statement of significant accounting policies

This note provides a list of the significant accounting policies adopted in the preparation of these financial statements to the extent they have not already been disclosed in the other notes above. These policies have been consistently applied to all the periods presented, unless otherwise stated.

17.1 Basis of preparation

• 17.1.1 Reporting Entity

Ozz Resources Limited ( Ozz Resources or the Company ) is a listed public company limited by shares, domiciled and incorporated in Australia. These are the financial statements and notes of Ozz Resources and controlled entities (collectively the Company). The financial statements comprise the financial statements of the Company. For the purposes of preparing the financial statements, the Company is a is a for-profit entity and is primarily involved in the exploration, development and mining of minerals.

17.1.2 Basis of accounting

These financial statements are general purpose financial statements which have been prepared in accordance with Australian Accounting Standards and Interpretations of the Australian Accounting Standards Board ( AAS Board ) and International Financial Reporting Standards ( IFRS ) as issued by the International Accounting Standards Board ( IASB ), and the Corporations Act 2001 (Cth).

Australian Accounting Standards ( AASBs ) set out accounting policies that the AAS Board has concluded would result in a financial report containing relevant and reliable information about transactions, events and conditions to which they apply. Compliance with AASBs ensures that the financial statements and notes also comply with IFRS as issued by the IASB. The financial statements were authorised for issue on 30 September 2021 by the Directors of the Company.

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P a g e | 48

OZZ RESOURCES LIMITED ABN 98 643 844 544

ANNUAL REPORT 30 June 2021

Notes to the financial statements

for the period 27 August 2020 to 30 June 2021

Note 17 Statement of significant accounting policies (cont.)

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

The Company incurred a loss for the year of $3,126,920 and a net cash out-flow from operating activities of $480,586. As at 30 June 2021, the Company working capital of $4,319,539, as disclosed in Note 7.2 of the Capital Management note.

17.1.4 New and Amended Standards Adopted by the Company The Company has adopted all of the new and revised Standards and Interpretations issued by the Australian Accounting Standards Board (the AASB) that are relevant to their operations and effective for the current year. New and revised Standards and amendments thereof and Interpretations effective for the current year that are relevant to the Company are: AASB 2018-6 Amendments to Australian Accounting Standards – Definition of a Business AASB 2018-7 Amendments to Australian Accounting Standards – Definition of Material AASB 2019-1 Amendments to Australian Accounting Standards – References to the Conceptual Framework AASB 2019-3 Amendments to Australian Accounting Standards – Interest Rate Benchmark Reform AASB 2019-5 Amendments to Australian Accounting Standards – Disclosure of the Effect of New IFRS Standards Not Yet Issued in Australia AASB 2020-4 Amendments to Australian Accounting Standards – COVID-19-Related Rent Concessions 17.2 Goods and Services Tax (GST) Revenues, expenses, and assets are recognised net of the amount of GST, except where the amount of GST incurred is not recoverable from the taxation authority. In these circumstances the GST is recognised as part of the cost of acquisition of the asset or as part of an item of the expense. Receivables and payables in the statement of financial position are shown inclusive of GST. Commitments and contingencies are disclosed net of the amount of GST recoverable from, or payable to, the taxation authority. The net amount of GST recoverable from, or payable to, the Australian Taxation Office is included as a current asset or liability in the statement of financial position. Cash flows are presented in the statement of cash flows on a gross basis, except for the GST component of investing and financing activities, which are disclosed as operating cash flows. 17.3 Use of estimates and judgments The preparation of financial statements requires management to make judgements, estimates and assumptions that affect the application of policies and reported amounts of assets and liabilities, income and expenses. These estimates and associated assumptions are based on historical experience and various factors that are believed to be reasonable under the circumstances, the results of which form the basis of making the judgements about carrying values of assets and liabilities that are not readily apparent from other sources. Actual results may differ from these estimates. 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 and in any future periods affected. Judgements made by management in the application of AASBs that have significant effect on the financial statements and estimates with a significant risk of material adjustment in the next year are discussed in Note 17.3.1.

17.3.1 Critical Accounting Estimates and Judgments Management discusses with the Board the development, selection and disclosure of the Company's critical accounting policies and estimates and the application of these policies and estimates. The estimates and judgements that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next financial year are discussed below. a. Key estimate – Taxation Refer Note 2 Income Tax . b. Key estimate – share-based payments

• Refer note 16 Share-based payments .

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ANNUAL REPORT 30 June 2021

OZZ RESOURCES LIMITED ABN 98 643 844 544

Notes to the financial statements

for the period 27 August 2020 to 30 June 2021

Note 17 Statement of significant accounting policies (cont.)

17.3.2	Coronavirus (COVID-19) pandemic
	Judgement has been exercised in considering the impacts that the Coronavirus (COVID-19) pandemic has had, or may have,
	on the Company based on known information. This consideration extends to the nature of the supply chain, staffing and
	geographic region in which the Company operates. There does not currently appear to be either any significant impact upon
	the financial statements or any significant uncertainties with respect to events or conditions which may impact the entity
	unfavourably as at the reporting date or subsequently as a result of the COVID-19 pandemic.
**17.4 **	Fair Value
17.4.1	Fair Value of Assets and Liabilities
	The Company measures some of its assets and liabilities at fair value on either a recurring or non-recurring basis, depending
	on the requirements of the applicable AASB.
	Fair value is the price the Company would receive to sell an asset or would have to pay to transfer a liability in an orderly
	unforced transaction between independent, knowledgeable and willing market participants at the measurement date.
	As fair value is a market-based measure, the closest equivalent observable market pricing information is used to determine
	fair value. Adjustments to market values may be made having regard to the characteristics of the specific asset or liability.
	The fair values of assets and liabilities that are not traded in an active market are determined using one or more valuation
	techniques. These valuation techniques maximise, to the extent possible, the use of observable market data.
	To the extent possible, market information is extracted from either the principal market for the asset or liability (i.e. the
	market with the greatest volume and level of activity for the asset or liability) or, in the absence of such a market, the most
	advantageous market available to the entity at the end of the reporting period (i.e. the market that maximises the receipts
	from the sale of the asset or minimises the payments made to transfer the liability, after taking into account transaction
	costs and transport costs).
	For non-financial assets, the fair value measurement also considers a market participant's ability to use the asset in its
	highest and best use or to sell it to another market participant that would use the asset in its highest and best use.
	The fair value of liabilities and the entity's own equity instruments (excluding those related to share-based payment
	arrangements) may be valued, where there is no observable market price in relation to the transfer of such financial
	instruments, by reference to observable market information where such instruments are held as assets. Where this
	information is not available, other valuation techniques are adopted and, where significant, are detailed in the respective
	note to the financial statements.
17.4.2	Fair value hierarchy
	AASB 13_Fair Value Measurement_requires the disclosure of fair value information by level of the fair value hierarchy, which
	categorises fair value measurements into one of three possible levels based on the lowest level that an input that is
	significant to the measurement can be categorised into as follows:
	Level 1 Level 2 Level 3
	Measurements based on quoted prices (unadjusted) in active markets for identical assets or liabilities that the entity can access at the measurement date. Measurements based on inputs other than quoted prices included in Level 1 that are observable for the asset or liability, either directly or indirectly. Measurements based on unobservable inputs for the asset or liability.
	The fair values of assets and liabilities that are not traded in an active market are determined using one or more valuation
	techniques. These valuation techniques maximise, to the extent possible, the use of observable market data. If all significant
	inputs required to measure fair value are observable, the asset or liability is included in Level 2. If one or more significant
	inputs are not based on observable market data, the asset or liability is included in Level 3.
	The Company would change the categorisation within the fair value hierarchy only in the following circumstances:
	if a market that was previously considered active (Level 1) became inactive (Level 2 or Level 3) or vice versa; or
	if significant inputs that were previously unobservable (Level 3) became observable (Level 2) or vice versa.
	When a change in the categorisation occurs, the Company recognises transfers between levels of the fair value hierarchy
	(i.e., transfers into and out of each level of the fair value hierarchy) on the date the event or change in circumstances
	occurred.

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OZZ RESOURCES LIMITED ABN 98 643 844 544

ANNUAL REPORT 30 June 2021

Notes to the financial statements

for the period 27 August 2020 to 30 June 2021

Note 17 Statement of significant accounting policies (cont.)

• 17.4.3 Valuation techniques

The Company selects a valuation technique that is appropriate in the circumstances and for which sufficient data is available to measure fair value. The availability of sufficient and relevant data primarily depends on the specific characteristics of the asset or liability being measured. The valuation techniques selected by the Company are consistent with one or more of the following valuation approaches:

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• Market approach: valuation techniques that use prices and other relevant information generated by market transactions for identical or similar assets or liabilities.

Income approach: valuation techniques that convert estimated future cash flows or income and expenses into a single discounted present value. Cost approach: valuation techniques that reflect the current replacement cost of an asset at its current service capacity. Each valuation technique requires inputs that reflect the assumptions that buyers and sellers would use when pricing the asset or liability, including assumptions about risks. When selecting a valuation technique, the Company gives priority to those techniques that maximise the use of observable inputs and minimise the use of unobservable inputs. Inputs that are developed using market data (such as publicly available information on actual transactions) and reflect the assumptions that buyers and sellers would generally use when pricing the asset or liability are considered observable, whereas inputs for which market data is not available and therefore are developed using the best information available about such assumptions are considered unobservable.

Note 18 Company details

The registered office of the Company is:

Street + Postal: 15/217 Hay Street

SUBIACO WA 6008

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OZZ RESOURCES LIMITED ABN 98 643 844 544

Directors' declaration

The Directors of the Company declare that:

1. The financial statements and notes, as set out on pages 22 to 51, are in accordance with the Corporations Act 2001 (Cth) and:

2. (a) comply with Accounting Standards the Corporations Regulations 2001 and other mandatory professional reporting requirements;

3. (b) are in accordance with International Financial Reporting Standards issued by the International Accounting Standards Board, as stated in notes to the financial statements; and

4. (c) give a true and fair view of the financial position as at 30 June 2021 and of the performance for the year ended on that date of the Company.

5. (d) the Directors have been given the declarations required by s.295(5)(a) of the Corporations Act 2001 (Cth);

6. 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.

This declaration is made in accordance with a resolution of the Board of Directors and is signed for and on behalf of the Directors by:

ALAN LOCKETT

Chairman

Dated this Thursday, 30 September 2021

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ANNUAL REPORT 30 June 2021

Independent auditor's report

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ANNUAL REPORT 30 June 2021

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OZZ RESOURCES LIMITED ABN 98 643 844 544

Corporate governance statement

The Board is responsible for establishing the Company’s corporate governance framework. In establishing its corporate governance framework, the Board has referred to the 4[th] edition of the ASX Corporate Governance Councils’ Corporate Governance Principles and Recommendations.

The Corporate Governance Statement discloses the extent to which the Company follows the recommendations. The Company will follow each recommendation where the Board has considered the recommendation to be an appropriate benchmark for its corporate governance practices. Where the Company’s corporate governance practices will follow a recommendation, the Board has made appropriate statements reporting on the adoption of the recommendation. In compliance with the “if not, why not” reporting regime, where, after due consideration, the Company’s corporate governance practices will not follow a recommendation, the Board has explained its reasons for not following the recommendation and disclosed what, if any, alternative practices the Company will adopt instead of those in the recommendation.

The Company’s governance-related documents can be found on its website at www.ozzresources.com.au/corporategovernance/

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OZZ RESOURCES LIMITED ABN 98 643 844 544

ANNUAL REPORT 30 June 2021

Additional Information for Listed Public Companies

The following additional information is required by the Australian Securities Exchange in respect of listed public companies.

• 1 Capital as at 14 September 2021.

a. Ordinary share capital

45,136,875 ordinary fully paid shares held by 437 shareholders.

b. Options over Unissued Shares

	Number of	Exercise Price Expiry ASX
	Options	$ Date Status
	10,536,875	0.25 25 Jun 2023 Unlisted
	2,600,000	0.25 18 Jun 2025 Unlisted
	2,800,000	0.25 5 July 2024 Unlisted
	5,500,000	0.25 5 July2023 Unlisted
	21,436,875

c. Voting Rights

The voting rights attached to each class of equity security are as follows:

• Ordinary shares : Each ordinary share is entitled to one vote when a poll is called, otherwise each member present at a meeting or by proxy has one vote on a show of hands.

• Options : Options do not entitle the holders to vote in respect of that equity instrument, nor participate in dividends, when declared, until such time as the options are exercised or performance shares convert and subsequently registered as ordinary shares.

• Performance Shares : A Performance Right does not entitle a Holder to vote on any resolutions proposed at a general meeting of shareholders of the Company. A Performance Right does not entitle a Holder to any dividends. A Performance Right does not entitle the Holder to participate in the surplus profits or assets of the Company upon winding up of the Company. A Performance Right is not transferable.

d. Substantial Shareholders as at 14 September 2021.

	Name Number of Ordinary % Held of Issued Ordinary
	Fully Paid Shares Held Capital
	Diane Kaye Finlay 5,500,000 12.19
	Kazal Pty Ltd 4,600,000 10.19

• e. Distribution of Shareholders as at 14 September 2021.

Category (size of holding)	Total Holders Number % Held of Issued
	Ordinary Ordinary Capital
	2 1,001 0.00 26 93,061 0.21 77 677,659 1.50 261 10,661,449 23.62 71 33,703,705 74.67

f. Unmarketable Parcels as at 14 September 2021

At the date of this report there were 2 shareholders who held less than a marketable parcel of shares, holding 1,001 shares.

g. On-Market Buy-Back

There is no current on-market buy-back.

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OZZ RESOURCES LIMITED ABN 98 643 844 544

Additional Information for Listed Public Companies

h. Restricted Securities

The Company has the following restricted securities:

• 16,080,750 Shares

Restricted to 24 months from the date of quotation (5 July 2023)

• 2,099,500 Shares Restricted to 12 months from the date of quotation (5 July 2022)

• 17,722,375 Options

• 3,714,500 Options

• Restricted to 24 months from the date of quotation (5 July 2023)

Restricted to 12 months from the date of quotation (5 July 2022)

• 1,956,625 Shares Voluntarily Restricted 3 months from the date of quotation (5 October 2021)

i. 20 Largest Shareholders — Ordinary Shares as at 14 September 2021

	Rank Name	Number of Ordinary % Held of Issued
		Fully Paid Shares Ordinary Capital
		Held
	1. Diane Kaye Finlay	5,500,000 12.19
	2. Kazal Pty Ltd 3. Cityscape Asset Pty Ltd 4. Gelignite Resources Pty Ltd 5. Diversified Asset Holdings Pty Ltd 6. Winthrop Nominees Pty Ltd 7. Huic Noms Pty Ltd 8. CIG (WA) Pty Ltd 9. Gold Geological Consulting Pty Ltd 10. Autumn Origin Capital Pty Ltd 11. Sunset Capital Management Pty Ltd 12. Comsec Nominees Pty Limited 13. Jaek Holdings Pty Ltd 14. Bowman Gate Pty Ltd 15. Cautious Pty Ltd 16. CS Third Nominees Pty Limited 17. Jamber Investments Pty Ltd 18. Dercole Nominees Pty Ltd 19. Ms Chunyan Niu 20. Pershing Australia Nominees Pt Y Ltd TOTAL	4,600,000 10.19 1,500,000 3.32 1,450,000 3.21 1,150,000 2.55 1,150,000 2.55 1,011,593 2.24 839,500 1.86 800,000 1.77 725,000 1.61 600,000 1.33 591,526 1.31 575,000 1.27 575,000 1.27 575,000 1.27 510,000 1.13 500,000 1.11 460,000 1.02 450,000 1.00 440,000 0.97
		24,002,619 53.17

j. Unquoted Securities Holders Holding More than 20% of the Class as at 14 September 2021

◼ Unlisted Options (Exercise price $0.25, Expiry Date: 25.06.23)

Name	Number of % Held of Unquoted
	Unquoted Securities Security Class
Kazal Pty Ltd	4,600,000 43.66
TOTAL TOTAL UNLISTED OPTIONS (EXERCISE PRICE $0.25, EXPIRY DATE: 25.06.23)	4,600,000 43.66
	10,536,875

• Unlisted Options (Exercise price $0.25, Expiry Date: 18.06.25)

Rank	Name	Number of % Held of Unquoted
		Unquoted Securities Security Class
	Gelignite Resources Pty Ltd	1,450,000 55.77
	Diversified Asset Holdings Pty Ltd TOTAL TOTAL UNLISTED OPTIONS (EXERCISE PRICE $0.25, EXPIRY DATE: 18.06.25	1,150,000 44.23
		2,600,000 100.00
		2,600,000
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OZZ RESOURCES LIMITED ABN 98 643 844 544

ANNUAL REPORT 30 June 2021

Additional Information for Listed Public Companies

◼ Unlisted Options (Exercise price $0.25, Expiry Date: 5.07.24)

Name	Number of % Held of Unquoted
	Unquoted Securities Security Class
Furinkazan Capital Pty Ltd	1,400,000 50.00
Celtic Capital Pty Ltd TOTAL TOTAL UNLISTED OPTIONS (EXERCISE PRICE $0.25, EXPIRY DATE: 5.07.24	687,764 24.56
	2,087,764 74.56
	2,800,000

◼ Unlisted Options (Exercise price $0.04, Expiry Date: 25.05.23)

Name	Number of % Held of Unquoted
	Unquoted Securities Security Class
Jonathan Lea	3,500,000 63.64
Brian McNab TOTAL TOTAL UNLISTED OPTIONS (EXERCISE PRICE $0.04, EXPIRY DATE: 25.05.22)	2,000,000 36.36
	5,500,000 100.00
	5,500,000

• 2 The Company Secretary is Stuart Usher.

3 Principal registered office

As disclosed in note 18 Company details on page 51 of this Annual Report.

4 Registers of securities

As disclosed in the Corporate directory on page i of this Annual Report.

5 Stock exchange listing

Quotation has been granted for all the ordinary shares of the Company on all Member Exchanges of the Australian Securities Exchange Limited, as disclosed in the Corporate directory on page i of this Annual Report.

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OZZ RESOURCES LIMITED ABN 98 643 844 544

Tenement report

as at 30 June 2021

				Project Area
Tenement ID	Holder	Date Granted	Expiry Date		% Ownership
				(Ha)
Maguires Reward
P20/2318	Finlay,Diane Kaye	29/03/2018	28/03/2022	200	100%
Rabbit Bore
E51/1671	Diversified Asset HoldingPtyLtd	7/04/2016	6/04/2021_on Renewal_	2390	100%
Wardarbie South
P51/3025	Gelignite Resources PtyLtd	3/07/2019	2/07/2023	200	100%
P51/3026	Gelignite Resources PtyLtd	3/07/2019	2/07/2023	200	100%
P51/3027	Gelignite Resources PtyLtd	3/07/2019	2/07/2023	200	100%
Mt Davis
P37/8634	Tanvanth Singh Sandhu	15/08/2016	14/08/2024	195	100%
P37/8635	Tanvanth Singh Sandhu	15/08/2016	14/08/2024	200	100%
P37/8636	Tanvanth Singh Sandhu	15/08/2016	14/08/2024	181	100%
P37/8637	Tanvanth Singh Sandhu	15/08/2016	14/08/2024	200	100%
P37/8638	Tanvanth Singh Sandhu	15/08/2016	14/08/2024	90	100%
P37/9349	Tanvanth Singh Sandhu	8/04/2021	7/04/2025	181	100%
P37/9350	Tanvanth Singh Sandhu	Application		169	100%
P37/9552	Ozz Resources Ltd	Application		170	100%
P37/9553	Ozz Resources Ltd	Application		180	100%
**Peterwangy **
E70/5114	Provident MiningPtyLtd	14/12/2018	13/12/2023	2390	100%
E70/5691	Ozz Resources Ltd	24/02/2021	23/02/2026	2050	100%

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