SCIDEV LTD — Annual Report 2004

Aug 30, 2004

Intec Ltd ABN 25 001 150 849

Preliminary Final Report in accordance with Appendix 4E

Financial year ended 30 June 2004

Results for announcement to the market				SA'000
Revenues from ordinary activities	up	590%	to	1,869
Loss from ordinary activities after tax attributable to members	down	36.5%	to	(2,034)
Net loss for the period attributable to members	down	$36.5\%$	to	(2,034)
Dividends	Amount per security			Franked amount per security
Final dividend	Nil $\phi$			Nil $\oint$
Previous corresponding period	Nil $\phi$			Nil $\epsilon$
Record date for determining entitlements to the dividend				Not applicable

and short details of any bonus or cash issue or other item(s) of importance not previously released to the market:

During the year to 30 June 2004, the Company's main activity was the development of the Hellver acquisition and Metals Project. Polymetallic Hellyer tailings feedstock was successfully treated at Intec's pilot plant (which was constructed and commissioned during the year) and this formed the basis of the pre-feasibility study for the Hellver Metals Project that was completed on 20 August 2004.

Consolidated statement of financial performance

Consolidated statement of financial performance
	Year ended	Year ended
	30 June 2004	30 June 2003
	\$A'000	\$A'000
Revenues from ordinary activities	1,869	271
Expenses from ordinary activities	(4, 448)	(3,473)
Borrowing costs
Profit (loss) from ordinary activities before tax	(2,579)	(3,202)
Income tax on ordinary activities	545
Profit (loss) from ordinary activities after tax	(2,034)	(3,202)
Profit (loss) from extraordinary items after tax
Net profit (loss)	(2,034)	(3,202)
Net profit (loss) attributable to outside equity interests
Net profit (loss) for the period attributable to members	(2,034)	(3,202)

Notes to the consolidated statement of financial performance Revenue and expenses from ordinary activities

	Year ended 30 June 2004 \$A'000	Year ended 30 June 2003 \$A'000
Revenue from sales or services	49	125
Interest revenue	72	133
Government grants received	871
Shareholders contributions received	875
Other relevant revenue		13
Details of relevant expenses
Administration expenses	(425)	(314)
Employee benefits expense	(2,278)	(1,890)
Rental expense	(219)	(181)
Engineering and other consultants	(160)	(154)
Hellyer mill costs	(227)
Research and development expenses	(428)	(589)
Marketing expense	(181)
Write-off goodwill on consolidation
Other expenses from ordinary activities	(406)	(295)
Depreciation	(123)	(50)

ноопмасси эмиссипене от пиципеци рознооп
	30 June 2004	30 June 2003
	\$A'000	\$A'000
Current assets
Cash	1,105	734
Receivables	261	23
Tax assets	46	22
Prepayments	Q	3
Total current assets	1,421	782
Non-current assets
Property, plant and equipment (net)	1,689	101
Exploration expenditure	30
Intangible assets	10
Total non-current assets	1,729	101
Total assets	3,150	883
Current liabilities
Payables	516	342
Provisions	101	89
Total current liabilities	617	431
Non-current liabilities
Provisions	65	43
Total non-current liabilities	65	43
Total liabilities	682	474
Net assets	2,468	409
Equity
Capital/contributed equity	33,844	29,751
Retained profits (accumulated losses)	(31, 376)	(29, 342)
Equity attributable to members of the parent entity	2,468	409
Outside equity interests in controlled entities
Total equity	2,468	409

Consolidated statement of financial position

Consolidated statement of cash flows

	Year ended	Year ended
	30 June 2004	30 June 2003
	\$A'000	\$A'000
Cash flows related to operating activities
Receipts from customers	56	123
Payments for administration expenses	(4,152)	(3,209)
Interest and other items of similar nature received	72	133
Interest and other costs of finance paid
Income tax refund	545
Government grants received	871
Shareholder contribution received	875
Net operating cash flows	(1,733)	(2,953)
Cash flows related to investing activities
Payment for purchases of property, plant and equipment	(1,710)	(74)
Proceeds from sale of property, plant and equipment		13
Payments for tenement security deposits	(239)
Payments for exploration expenditure	(30)
Payments for intangibles	(10)
Net investing cash flows	(1,989)	(61)
Cash flows related to financing activities
Proceeds from issues of securities	4,279
Equity raising expenses	(186)
Net financing cash flows	4,093
Net increase (decrease) in cash held	371	(3,014)
Cash at the beginning of the financial year	734	3,748
Cash at the end of the financial year	1,105	734

Non-cash financing and investing activities

Details of financing and investing transactions which have had a material effect on consolidated assets and liabilities but did not involve cash flows are as follows. $\Gamma$ $\overline{\phantom{000000000000000000000000000000000000$

	30 June 2004 \$A'000	30 June 2003 \$A'000
Nil
Reconciliation of cash
Reconciliation of cash at the end of the year (as shown in the consolidated statement of cash flows) to the related items in the accounts is as follows.	Year ended 30 June 2004 \$A'000	Year ended 30 June 2003 \$A'000
Cash on hand and at bank	335	174
Deposits at call		560
Bank overdraft
Other - bank accepted bills of exchange	770
Total cash at end of year	1.105	734

Dividends

Date the dividend is payable Record date to determine entitlements to the dividend No final dividend has been declared.

Dividend Reinvestment Plans

There are no dividend reinvestment plans in operation.

Consolidated retained earnings (accumulated losses)

	Year ended	Year ended
	30 June 2004	30 June 2003
	\$A'000	\$A'000
Retained profits (accumulated losses) at the beginning of the
financial year	(29,342)	(26,140)
Net profit (loss) attributable to members	(2,034)	(3,202)
Retained profits (accumulated losses) at end of financial
year	(31,376)	(29,342)

Control gained or loss of control over entities having material effect

Control gained over entities having material effect

Name of entity (or group of entities) Consolidated profit (loss) from ordinary activities and extraordinary items after tax of the controlled entity (or group of entities) since the date in the current period on which control was acquired Date from which such profit has been calculated Profit (loss) from ordinary activities and extraordinary items after tax of the controlled entity (or group of entities) for the whole of the previous corresponding period

Loss of control of entities having material effect

Name of entity (or group of entities)

Consolidated profit (loss) from ordinary activities and extraordinary items after tax of the controlled entity (or group of entities) to the date of loss of control. Date to which such profit (loss) has been calculated

Consolidated profit (loss) from ordinary activities and extraordinary items after tax of the controlled entity (or group of entities) while controlled during the whole of the previous corresponding period

Contribution to consolidated profit (loss) from ordinary activities and extraordinary items from sale of interest leading to loss of control

Not applicable
Not applicable

Not applicable
Not applicable
Not applicable
Not applicable

Not applicable
Not applicable
Not applicable
Not applicable
Not applicable

Details of associates and joint venture entities

The Company does not have any interests in associated companies or in joint ventures.

Other notes to the condensed financial statements Ratios

	Year ended	Year ended
	30 June 2004	30 June 2003
	\$A'000	\$A'000
Profit before tax / revenue
Consolidated profit (loss) from ordinary activities before tax
as a percentage of revenue	(137.99)	(1,181.55)
Profit after tax / equity interests
Consolidated net profit (loss) from ordinary activities after
tax attributable to members as a percentage of equity
(similarly attributable) at the end of the period	(82.41)	(782.89

NTA Backing

Net tangible assets per ordinary share

Earnings per security (EPS)

Details of basic and diluted EPS reported separately in accordance with paragraph 9 and 18 of AASB 1027: Earnings Per Share are as follows.

$0.99$ cents

$0.28$ cents

	Year ended	Year ended
	30 June 2004	30 June 2003
	\$A'000	\$A'000
Basic earnings per share (cents)	(0.92)	(2.19)
Diluted earnings per share (cents)	(0.92)	(2.19)
Weighted average number of ordinary shares outstanding during the period used in calculating the basic and diluted
EPS.	221,713,953	146,039,142

Basis of financial report preparation

This financial report has been prepared on the basis of a going concern. This basis presumes that funds will be available to finance future operations and that the realisation of assets and settlement of liabilities will occur in the normal course of business.

Material factors affecting the revenues and expenses of the economic entity for the current year.

Acquisition of Hellyer Metals tailings dam and plant and equipment R&D Grant received Contributions to pilot plant from Ivanhoe Mines Ltd

R&D Tax Rebate received

A description of each event since the end of the current period which has had a material effect and which is not already reported elsewhere in this Appendix or in attachments, with financial effect quantified (if possible).

Nil

A discussion of trends in performance

Intec's corporate strategy is to acquire interests in minerals projects where its technology creates additional value. This is exemplified by the Hellyer Metals Project acquisition which will continue to be the focus of Intec's activities in the medium term. Interests in other projects are currently being considered and the company is also actively developing the Intec Gold Process for refractory gold concentrates.

There are no franking credits available.

The company is not expected to declare a dividend in the short term.

Compliance statement

This report has been prepared in accordance with AASB Standards, other AASB authoritative pronouncements and Urgent Issues Group Consensus Views or other standards acceptable to ASX and the accounts upon which the report is based. This report gives a true and fair view of the matters disclosed. This report is based on accounts which are in the process of being audited.

The entity has a formally constituted audit committee.

Sign here: Philip R Wood

Date: 31 August 2004 Managing Director & Chief Executive Officer Print name: Philip R Wood