ACN 146 455 576

ANNUAL REPORT

for the year ended 30 June 2013

CORPORATE INFORMATION 1
LETTER FROM THE CHAIRMAN 2
DIRECTORS' REPORT 4
OPERATING AND FINANCIAL REVIEW 6
REMUNERATION REPORT (AUDITED) 15
CORPORATE GOVERNANCE STATEMENT 20
AUDITOR'S INDEPENDENCE DECLARATION 25
STATEMENT OF PROFIT OR LOSS AND COMPREHENSIVE INCOME 26
STATEMENT OF FINANCIAL POSITION 27
STATEMENT OF CHANGES IN EQUITY 28
STATEMENT OF CASH FLOWS 29
NOTES TO THE FINANCIAL STATEMENTS 30
DIRECTORS' DECLARATION 53
INDEPENDENT AUDIT REPORT 54
ASX ADDITIONAL INFORMATION 56

This Annual Report covers Radar Iron Ltd ("Radar" or the "Company") as a Group consisting of Radar Iron Ltd and its subsidiaries, collectively referred to as the "Group". The financial report is presented in Australian currency.

Radar is a company limited by shares, incorporated and domiciled in Australia. Its registered office and principal place of business is:

Radar Iron Ltd Suite 7 55 Hampden Road Nedlands WA 6009

CORPORATE INFORMATION

Non-Executive Chairman NEDLANDS WA 6009

Managing Director

Ananda Kathiravelu P.O. Box 994 Non-Executive Director SUBIACO WA 6904

Damon Sweeny (appointed 15/8/2013)

Philip Wingate (resigned 15/8/2013)

Auditors: RAD

Nexia Perth Audit Services Pty Ltd Level 3 Share Registry: PERTH WA 6000 770 Canning Highway

Bankers:

Westpac Banking Corporation Website: 108 Stirling Highway www.radariron.com.au NEDLANDS WA 6009

Solicitors - Perth:

Kings Park Corporate Lawyers Suite 8, 8 Clive Street WEST PERTH WA 6005

Directors: Registered & Principal Office:

Alan Tough Suite 7, 55 Hampden Road Telephone: + 618 9482 0580 Jonathan Lea Facsimile: + 618 9482 0505

Postal Address:

Company Secretary: Home Stock Exchange:

Australian Securities Exchange Limited Exchange Plaza 2 The Esplanade PERTH WA 6000

ASX Code:

88 William Street Security Transfers Registrars Pty Ltd APPLECROSS WA 6153

LETTER FROM THE CHAIRMAN

Dear Shareholder

On behalf of the Directors of Radar Iron Ltd ("Radar" or the "Company"), I am pleased to present the Annual Report of Radar Iron Ltd for the year ended 30 June 2013.

In the past year the Company has aimed to increase shareholder wealth despite the turbulent market conditions. Radar remains focused on discovering and developing profitable iron ore mines against a background of fluctuating market sentiment, iron ore prices and difficult funding opportunities.

The reason for these market conditions are difficult to identify. The iron ore price has been sitting in the AU\$130-150 range for some time and at this level there remain significant cash margins over costs for most Australian iron ore producers. The market appears to have lost most of its appetite for any risk as world economic sentiment became less positive. China however has not substantially slowed its growth and the USA appears to be emerging from its long period of subdued activity so the reasons for uncertainty seem unjustified.

Radar retains a bullish view of the medium to long term price for iron ore and hence is using this period of down-turn to consolidate its position and seek new opportunities. There are other companies either short of cash or prepared to sell exciting projects at this stage of the cycle and Radar is well positioned to take advantage.

Towards this end, Radar has undertaken a number of strategies to best position the company for the next upswing. Radar consciously undertook to minimise expenditure both to preserve its cash position (meaning no need for dilutionary capital raisings at low share prices) and to retain the ability to finance potential acquisitions.

Exploration on its key Central Yilgarn Project has been slowed – largely waiting for certainty on the timing of the development of the Port of Esperance (still scheduled for 2015). Radar strongly believes that this project holds substantial potential and that it can be brought into production shortly after the development of the Port.

Radar has also moved into new offices that reduces monthly corporate overheads. Unfortunately the Company has had to let go a number of valued employees as a result of the reduced field work load.

Much effort in the past year has gone into developing new concepts or in acquiring new projects. Radar's aim to this end is to acquire projects that have an existing infrastructure solution, can be developed for a low capital cost and can be in production within one year.

One such project was the North Queensland opportunity on which Radar completed due diligence earlier in 2013 (see various ASX releases). While this ticked all the boxes from a development perspective, the drilling indicated that the resource size was too low to warrant development which resulted in Radar withdrawing. While this was disappointing, it highlights Radar's determination to only become involved in value-adding projects.

The company remains committed to identifying and defining hematite and magnetite resources within the 120,000 Ha of tenements in its Yilgarn Project, most of which are close to existing hematite operations.

My fellow Board members and I thank you for your support of Radar during this year of change. Your Directors are committed to creating a successful company that rewards shareholders and are committed to becoming an iron ore producer in the future. We look forward to the continued support of shareholders in achieving these outcomes.

The Board and my personal thanks go to Managing Director Jon Lea and his staff for a focussed and hardworking effort all year. That is what makes a company different and special and it is rewarding to be part of a good team.

My personal thanks also to my fellow Board members who are seriously committed to guiding the company, and who unhesitatingly provide their time and advice.

Yours faithfully,

Alan Tough Chairman

DIRECTORS' REPORT

Your Directors have pleasure in submitting their report on the Company and its subsidiaries for the year ended 30 June 2013.

DIRECTORS

The names and details of Directors in office at any time during the year are:

Alan Tough - Non Executive Chairman

EXPERIENCE AND EXPERTISE

Alan Tough has a distinguished career in business spanning over 40 years including more than 25 years managing publicly listed companies. Alan has worked both domestically and internationally in the manufacturing, mining, finance, management and government sectors. Alan holds a mechanical engineering honours degree and an MBA from the University of WA. Alan held positions including infrastructure advice for several iron ore companies including a role as Manager of Project Development for Giralia Resources NL, responsible for DSO iron ore projects in the Pilbara and the Yerecoin magnetite project and Executive Director Operations of Polaris Metals NL prior to the Mineral Resources takeover earlier in 2010. Alan's other current Board roles include non-executive Director of Mrs Macs Pty Ltd and President of Westcare Incorporated.

Alan has significant experience and understanding of strategic business planning, an extensive knowledge of international operations, an effective combination of engineering, banking, government service and broad management skills and a thorough knowledge of the governance requirements of listed companies at both management and Board levels.

OTHER CURRENT DIRECTORSHIPS OF LISTED COMPANIES Nil

Jonathan Lea - Managing Director

EXPERIENCE AND EXPERTISE

Jon has qualifications in geology, finance and mineral economics with 25 years' experience in the resource industry. He held the roles as Technical Director and Managing Director of Polaris Metals NL until the takeover by Mineral Resources Ltd. During Jon's tenure, Polaris made significant iron ore discoveries in the central Yilgarn region commencing the development process towards mining and also advancing the Mayfield magnetite project. Prior to that Jon has had extensive experience in exploration, mining and project development. A qualified geologist from the University of Tasmania and a Member of the AusIMM, Jon also has post graduate qualifications in Mineral Economics and Applied Finance and Investment. He has worked with a number of commodities including iron ore, gold, tin, chromite and base metals throughout Australia and in Africa. Jon is currently Chairman of the Yilgarn Iron Producers Association (YIPA).

OTHER CURRENT DIRECTORSHIPS OF LISTED COMPANIES Nil

Ananda Kathiravelu – Non-Executive Director

EXPERIENCE AND EXPERTISE

Ananda Kathiravelu has been in the financial services funds management and stock broking industries for over 20 years. He holds a Bachelor of Business and a Graduate Diploma of Applied Finance and Investment.

Ananda Kathiravelu – Non-Executive Director

EXPERIENCE AND EXPERTISE (CONTINUED)

Mr Kathiravelu is the Managing Director of Armada Capital Ltd, a corporate advisory company that has been involved in providing strategic corporate advice and services to listed and unlisted public companies including, Pryme Oil and Gas Ltd, CuDeco Ltd (formally known as Australian Mining Investments Ltd), Meridian Minerals Ltd (formerly Bellevue Resources Ltd), Promesa Ltd, Mineq Ltd, Coronado Ltd and Intium Energy Ltd. His areas of expertise include corporate advice, capital raising, mergers and acquisitions. His focus is on the small cap resources and emerging business sectors.

OTHER CURRENT DIRECTORSHIPS OF LISTED COMPANIES

Potash Minerals Limited – Non-Executive Chairman Promesa Limited - Executive Director

COMPANY SECRETARY

Damon Sweeny (appointed 15 August 2013)

Damon Sweeny is a Chartered Secretary and holds an MBA from Curtin University Australia, along with a Graduate Diploma of Applied Corporate Governance from Chartered Secretaries Australia. With over 25 years' experience in the mining, accounting and governance fields, Damon has held directorships or company secretarial positions in a number of private and ASX-listed entities for over 10 years. He has been closely involved with the mining sector in Western Australia and has a strong management and financial reporting background. He is also company secretary of ASX listed Leopard Resources Limited.

Phillip Wingate (resigned 15 August 2013)

Phillip holds a Bachelor of Commerce Degree from Curtin University Australia, and is an Associate of the Institute of Chartered Accountants in Australia.

Since 2008 Phillip has been involved in a number of company secretarial positions and ASX junior transactions. Phillip is also company secretary of ASX listed Potash Minerals Limited and Strickland Resources Limited.

PRINCIPAL ACTIVITIES

Radar Iron Ltd's ("Radar" or the "Company") principal activity is the exploration for iron ore in the central Yilgarn Iron Ore Province of Western Australia.

RESULTS

The net loss attributable to members of the Company for the year ended 30 June 2013 amounted to \$1,013,533 (2012: \$910,939). The net loss relates to drilling, project evaluation, share based payments and administration costs.

DIVIDENDS

No dividends were paid or declared during the year or in the period from the year end to the date of this report.

OPERATING AND FINANCIAL REVIEW

Overview

Radar was listed on the ASX in December 2010 and is focused on identifying and defining hematite and magnetite resources in the central Yilgarn region of Western Australia. The Company has an extensive package of tenements situated nearby operating hematite mines in an area rapidly being developed as the next major iron ore province in Western Australia.

Radar's overall exploration objectives are:

To explore and define iron ore resources
To continue exploration on the tenement holdings to identify all potential targets and ensure continuity in drill testing opportunity
To acquire as available new tenements and projects prospective for iron ore that have potential to increase shareholder value

Figure 1: Project Area

Since listing, 7 drill programmes have been undertaken (totalling 26,239m) aimed at identifying areas with potential to host hematite and magnetite mineralisation. Two mineral resources have been defined to date:

The Muldoon deposit a direct shipping hematite deposit in the Johnston Range project area
The Die Hardy deposit a magnetite resource in the Die Hardy area.

Both deposits have the potential to increase in size with further drilling. Radar is focussing on hematite deposit identification and drilling at further targets in the Johnston Range area and elsewhere. Wide spaced drill results returned to date indicate the potential for further discrete hematite deposits.

Given the recent market conditions (for exploration funding) in much of the past year and uncertainty on when the Port of Esperance will be expanded, Radar decided to slow the rate of project development in the Yilgarn. Hence little drill testing has occurred although several studies have been completed aimed at providing background information necessary for future project development.

An expansion of the capacity to the Port of Esperance has been flagged as having high priority by the Western Australian Government. Currently it is expected that new capacity will be available in 2015. Once the timing is more certain, Radar plans to actively recommence definition of new hematite resources, complete a feasibility study and develop a hematite mining operation using the new port facilities.

Radar has been actively undertaking new project acquisition. The main focus has been on iron ore projects that can be brought into production within 1-2 years and have an existing and accessible infrastructure path.

Exploration to September 2013

Yilgarn Project

Figure 2: Prospect Location Plan

Hematite Targets

Radar continued drilling for hematite in the first quarter of 2012-13. In the remainder of the period the focus was on pre-feasibility level studies. The Johnston Range Project area remains the key focus although potential for hematite mineralisation is identified throughout much of the Yilgarn tenement holding. It is anticipated that the project has potential to host a number of 1-4Mt deposits that will combine to create the critical mass necessary to justify project development. Drilling has only partially tested the large number of identified targets.

At Johnston Range, the prospects lie around the Horse Well Anticline that defines the 40km long belt of banded iron formation (BIF) on the Johnston Range tenements (Figure 3). The Johnston Range is comprised of multiple bands of BIF which represents a target of several hundred linear kilometres of BIF with potential for hematite enrichment. Drilling at the Muldoon prospect culminated in a JORC reportable Inferred Resource of 2.1Mt at 57.6% Fe and at lower cut-off grades the mineralisation inventory exceeds 3Mt at 56% Fe – as announced in ASX release dated 8/05/12).

A two month long RC drilling programme at the Johnston Range project was completed in early August and produced a number of positive results that warrant further testing. The results also reinforced the resource potential of the Muldoon Prospect. A total of 71 holes for 3992m were drilled in the reporting year at Johnston Range.

The Muldoon results contained the best assay intervals received to date from the Muldoon prospect and indicated a greater mineralisation thickness to the south than previously recognised. This provides encouragement that an increased resource will result following further drilling.

A new zone of mineralisation was identified 500m to the south-east of Muldoon (see Figure 3). Seven RC drill holes were completed in a new area containing at least three separate BIF units. Four of these holes returned significant mineralised intercepts – the best being 22m at 56.9% Fe. This BIF unit has been mapped as extending over 500m.

The Muldoon East prospect (Figure 3) also returned anomalous results, albeit patchy in nature. Potential exists to identify a number of discrete zones of mineralisation along the trend. Drilling is scheduled to commence after further interpretation. Other isolated intercepts provide encouragement that further drill testing will prove up potential DSO quality mineralisation.

North of Muldoon, an 8 kilometre extent of multiple BIF outcrop with numerous zones of anomalous hematite enrichment has been identified.

The largest new zone of potential mineralisation lies approximately 3km to the north of Muldoon and is a 700m long outcrop of BIF in which a single hole returned 14m at 54.4% Fe. Intercepts of 14m at 54.7%Fe and 6m at 55.4%Fe were received a further 3km north on a 200m long BIF outcrop. This area tends to have slightly steeper relief than other zones drill tested to date and only the more accessible targets have been tested to date.

Following extensive drilling and surface mapping in the past two years it has been recognised that potential exists for substantial tonnages of sub grade hematite mineralisation (i.e. in the 45-55% Fe range). Test work is underway to determine whether this material can be economically upgraded to form a saleable product.

Figure 3: Muldoon Area with Selected Drill Intercepts

Outside of Johnston Range, regional geological reconnaissance and ground magnetic surveying continued. A number of areas were identified as containing outcropping hematite mineralisation and magnetite potential is widespread. The focus for regional exploration remains to identify new hematite targets for potential drill testing.

An RC drill programme comprising four holes for 282m was completed at the Jackson project as a primary targeting exercise. The indicated hematite enrichment is present in the BIF with the best internal being 28m at 51.0% Fe (and a calcined iron grade of 57.4% Fe). While being sub-DSO grade, this result provides encouragement that DSO grade material could be present in the project area and further exploration is being planned.

Further drill targets have been identified at Evanston and Windarling Projects as well as Jackson.

Project Studies

It remains Radar's objective to increase the current hematite resource base with a view to commencing mining by the time the Port of Esperance is expanded with the support of the Western Australian Government. The Government plans to complete the expansion in 2015.

It is anticipated that the direct shipping hematite ore at Muldoon and elsewhere will be mined initially to generate the capital required to construct a beneficiation plant should the metallurgical test work provide an economic path for enrichment.

A number of studies have been completed that will feed into the mine planning and approval processes including:

A regional desk top water resource analysis.
A spring flora and fauna survey over Johnston Range area along with commencing trapping of troglofauna. The flora survey completed was aimed at both gaining approval for future drill campaigns and also to establish baseline conditions to be used for future mining approvals.
A transport option study completed by independent consultants in October. Results outline options for transporting material from the Johnston Range area to the rail line to the south as well as train loading options.
A preliminary iron ore marketing study was completed by independent consultancy Iron Ore Research Pty Ltd. The finding was that the product is saleable at a discount to the benchmark price to smaller Chinese steel mills but studies should be carried out to test marketability to the larger steel mills including mature markets such as Japan. This finding provides further encouragement that the Muldoon Resource quality is suitable for export.
An ongoing metallurgical test work programme aimed at assessing the potential for the beneficiation of lower grade mineralisation by standard processes. The results are highly encouraging to date and indicate that the ore can be upgraded in iron content using gravity, magnetic and reverse silica flotation. The initial test work suggests that an original iron grade of 50-55% Fe is required to obtain a concentrate iron grade of >60%Fe. Iron recovery for the tests is targeted in the 55-70% range and the test work indicates that this outcome is possible. The test work is continuing.
An ongoing metallurgical test work programme aimed at assessing the potential for lower grade mineralisation to be upgrade by standard processes.
o The test work has been progressively undertaken though 2012/13 and managed by AMEC Australia Pty Ltd. The aim of the program was to test partially mineralised hematite ores in the 45-55% Fe range to establish the potential to enrich the material to +60% Fe with a combined silica and alumina content of less than 6%. Four RC drill cutting samples from different prospects in the Johnston Range area were used for the preliminary metallurgical program.
o A significant suite of tests were performed including simple screening, magnetic separation, reverse silica flotation and heavy liquid separation to obtain an indication of the optimal method for enrichment.
o The results indicate that the samples can be upgraded in iron content using gravity, magnetic and reverse silica flotation. The initial test work suggests that an original iron grade of 50-55% Fe is required to obtain a concentrate iron grade of >60%Fe. Iron recovery for the tests is targeted in the 55- 70% range and the test work indicates that this outcome is possible.
o Radar's preliminary review of the potential processing costs indicates that a plant size capable of 2mtpa of feed or greater may be economically feasible although more work is required following the confirmation of the detailed process required.
o Further metallurgical studies including a flotation optimisation programme are required to identify the optimal grind size and reagent types and quantities needed to optimise the process and reduce unit processing costs.

YIPA Studies

Radar, as part of the Yilgarn Iron Producers Association (YIPA), has been involved with a number of studies focused at determining the requirements and capacity of the existing infrastructure servicing the Esperance Port. Cooperation with Radar's peers in the Yilgarn region has enabled significant advancement in the understanding of the infrastructure (rail and port) requirement for Radar's Johnston range and Die Hardy projects for a relatively low cost. The studies, which have been completed by independent consultant group AECOM, are:

Supply Chain Study focused on the potential scope of the port and rail network to carry increased tonnages, the likely bottlenecks and the remediation necessary.
Esperance Port Financial Study provided evidence that a modest Esperance Port upgrade was the key to boosting output from the Yilgarn Iron Province suggesting that low capital (~\$200M) and incremental upgrading of infrastructure can be used to cater for the stage one export of DSO material.
Regional Economic Impact Study confirmed major benefits to State's economy during construction and subsequent operational phases of a modestly priced and commercially viable 10 million tonne per annum port upgrade and associated Yilgarn region as a whole iron ore mining activity. (Study completed January 2013). Benefits to WA included:
o Increased State Government iron ore royalty receipts of \$95m per annum
o Employment for up to 1,000 workers during construction phase
o Increased direct employment for up to 360 people during mine operation, which could create 1,200 full-time equivalent jobs elsewhere in the economy
o State Government payroll tax payments of up to \$2.5m per annum during operational phase and \$7.2m during construction phase.
Advanced High Level Rail Study refining earlier work to better define the improvement required to enable an additional 10Mtpa of iron ore to be railed to the Port from east and north of Kalgoorlie.

Magnetite Targets

A geophysical review of the aero-magnetic data covering the Johnston Range project was completed by independent geophysical consultants in 2011, as reported previously and was aimed at identifying areas in the 35km Johnston Range BIF with greater potential to host significant mineralisation and to better define exploration targets.

The results were:

1.	Primary Magnetite BIF:	4.0Bt - 6.7Bt at 20-45% Fe
2.	Potential Enriched Material:	370Mt - 617Mt at 40-65% Fe
3.	Total Exploration Potential:	4.4Bt - 7.3Bt at 20-65% Fe

Radar Iron advises that the potential quantity and grade of iron deposits reported as exploration target potential is conceptual in nature and there has been insufficient exploration to define a Mineral Resource and it is uncertain if further exploration will result in the determination of a Mineral Resource.

The huge potential resource size and results to date clearly justify further work. Given the focus on hematite mineralisation and the previous focus on the Die Hardy magnetite mineralisation, no significant work has been recently undertaken to assess this potential.

The potential for a major body of magnetite mineralisation at the Die Hardy Range was identified in 2010 through reconnaissance mapping. The prospect, approximately 3.4km long, was given the initial name of 'Lara'. Five drill sections, spaced nominally at 400m with holes 80m apart, were drilled – 25 holes in total for 7214m. The drilling indicated a continuous body ranging in width from 100 to 300m and continuing to at least 300-400m below surface.

The exploration potential for the Die Hardy Range mineralisation was estimated by an independent geophysical consultant using surface geology, aeromagnetic data and drilling data as being:

Primary Magnetite BIF: 0.83 Bt 1.38 Bt at 25-35% Fe*
Potential Enriched Material: 129 Mt 214 Mt at 40-65% Fe*

The magnetic data also highlighted new untested magnetic units within 1km to the north and south of the main magnetite ridge at Lara, both with strike lengths of approximately 2km. The northern unit was included in the estimate of exploration potential while the southern unit was not.

Modelling and mineral resource estimation for the stage 1 drilling was completed by consultant firm CSA Global in October and resulted in a JORC reportable Indicated and Inferred Mineral Resource at a 20% Fe cut-off grade of 353 million tonnes at 26.1% Fe. The mineralisation remains open along strike and at depth.

Davis Tube Recovery results and metallurgical test work indicates that a concentrate can be produced exceeding 69% Fe averaging in excess of 35% mass recovery and with low levels of contaminants. This indicates that the mineralisation can be treated and has excellent potential for producing a saleable concentrate. The potential size of the Die Hardy Range magnetite mineralisation and highly encouraging metallurgical properties indicate

that it has excellent potential to produce a saleable concentrate. A mining lease covering the Die Hardy mineralisation is pending.

A scoping study to identify key project drivers and infrastructure solutions for the Die Hardy Range project was completed in August 2011. The potential of the project was supported by the results of the study, which also identified credible production and transport solutions to meet the future transport, power and water requirements.

Positive financial results for a range of production options of concentrate were identified. A key recommendation was to proceed with further drilling and development studies. Investors are advised that the Company does not represent that the results of the Scoping Study present an economically viable project as the assumptions used were based upon the Company's previously announced exploration target and may not be considered sufficiently reliable.

Figure 4: Die Hardy Range – Prospect

Figure 5: Die Hardy Range – Cross Section through Mineralisation

Project Generation

The Company continues to review potential acquisitions within the Yilgarn, and in other districts within Australia and globally, with a view to assessing opportunities that can add value to the Company and its shareholders via acquisition or investment.

Given the current market conditions new opportunities are presenting regularly. Radar is committed to diligently assess the more prospective of these to ensure that Shareholders value is maintained and increased.

An RC drilling programme (11 holes for 497m) was completed at a Queensland project as part of due diligence prior to acquisition. The target was a high grade magnetite skarn. The project had the benefit of having accessible road and port transport options – hence fitting Radar's objective of acquiring near production assets with a low capital requirement with available infrastructure. The drilling indicated that the tenor and quantity of the mineralisation was insufficient to warrant consummating an agreed joint venture and Radar withdrew.

Corporate Activities

Having raised sufficient working capital from corporate activity in the previous financial year, the Company continued to assess other projects both within Australia and internationally with a view to acquiring projects that would provide substantial returns to shareholders. The most promising of these during the year was Mt Ruby, which due diligence showed could not match Radar's internal investment criteria.

Financial Position

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

The Group has incurred a comprehensive loss after tax for the year ended 30 June 2013 of \$1,013,533, had a net working capital surplus of \$966,462 and experienced net cash outflows from operating activities of \$1,320,168.

As at 30 June 2013 the Group had cash on hand of \$1,075,965.

Accordingly, the Directors believe that there are sufficient funds to meet the Group's working capital requirements.

However, if one of the Group's projects proceeds to the development phase, the Company will require further funding within the next 15 months. Should the Company be unable to raise sufficient funds, the development of the project may have to be deferred.

SIGNIFICANT CHANGES IN THE STATE OF AFFAIRS

There have been no significant changes in the state of affairs of the Group that occurred during the financial year not otherwise disclosed in this report or the financial statements.

SIGNIFICANT EVENTS AFTER THE BALANCE DATE

Other than noted elsewhere in this report, no matters or circumstances have arisen since the end of the year which significantly affected or may significantly affect the operations of the Company or Group, the results of those operations or the state of affairs of the Company and Group in subsequent financial years.

ENVIRONMENTAL REGULATION

The Directors believe that the Group has, in all material respects, complied with all particular and significant environmental regulations relevant to its operations.

The Group's operations are subject to various environmental regulations under the Federal and State Laws of Australia. The majority of the Group's activities involve low level disturbance associated with exploration drilling programs. Approvals, licences and hearings and other regulatory requirements are performed as required by the management of Radar for each permit or lease in which the Group has an interest.

INDEMNIFICATION AND INSURANCE OF DIRECTORS AND OFFICERS

During the financial year, the Company has paid a premium of \$15,900 (2012: \$15,900) excluding GST to insure the Directors and the Secretary of the Company.

The liabilities insured are legal costs that may be incurred in defending civil or criminal proceedings that may be brought against the officers in their capacity as officers of the Company, and any other payments arising from liabilities incurred by the officers in connection with such proceedings. This does not include such liabilities that arise from conduct involving a wilful breach of duty by the officers or the improper use by the officers of their position or of information to gain advantage for themselves or someone else or to cause detriment to the Company.

DIRECTORS' INTERESTS IN THE SHARES AND OPTIONS OF THE COMPANY

As at the date of this report, the interests of the Directors in ordinary shares, listed and unlisted options of the Company were:

	Shares		Options
Director	Held Directly	Held Indirectly	Held Directly	Held Indirectly
A. Tough	50,000	253,200	-	1,000,000
J. Lea	250,000	130,303	-	2,000,000
A. Kathiravelu	130,000	-	1,000,000	-
TOTAL	430,000	383,503	1,000,000	3,000,000

MEETINGS OF DIRECTORS

During the financial year, 9 meetings of Directors were held with the following attendances:

Directors	Meetings Attended	Meetings Eligible to Attend
A. Tough	9	9
J. Lea	9	9
A. Kathiravelu	8	9

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 2013. The information contained in this report has been audited as required by section 308(3C) of the Corporations Act 2001.

REMUNERATION REPORT (AUDITED) (CONTINUED)

The information provided includes remuneration disclosures that are required under Accounting Standard AASB 124 "Related Party Disclosures". These disclosures have been transferred from the financial report.

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

Key Management Personnel

Directors:

Mr Alan Tough (Chairman) Mr Jonathan Lea (Managing Director) Mr Ananda Kathiravelu (Non-Executive)

Remuneration Policy

The Company's performance relies heavily on the quality of its Key Management Personnel. The Company has therefore designed a remuneration policy to align director and executive reward with business objectives and shareholder value.

Executive reward is linked to shareholder value by providing a fixed remuneration component and offering specific long-term incentives based on key performance areas affecting the Group's financial results. The Board believes the remuneration policy to be appropriate and effective in its ability to attract and retain high calibre management personnel and directors to run and manage the Group.

Remuneration Structure

In accordance with best practice corporate governance, the structure of non-executive director and executive remuneration is separate and distinct.

Non-Executive Director Remuneration

The Board policy is to remunerate non-executive Directors at market rates for comparable companies for time, commitment and responsibilities. The Board determines payments to the non-executive Directors and reviews their remuneration annually, based on market practice, duties and accountability. Independent external advice is sought when required.

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 (currently \$300,000).

Fees for non-executive Directors are not linked to the performance of the Group. However, to align Directors' interests with shareholder interests, the Directors are encouraged to hold shares in the Company and are able to participate in employee incentive option plans that may exist from time to time.

Executive Remuneration

Executive Remuneration consists of fixed remuneration and variable remuneration (comprising short-term and long-term incentive schemes).

Fixed Remuneration

REMUNERATION REPORT (AUDITED) (CONTINUED)

The Board reviews Key Management Personnel packages annually by reference to the Group's performance, executive performance and comparable information from industry sectors and other listed companies in similar industries.

The Board policy is to remunerate non-executive Directors at market rates for comparable companies for time, commitment and responsibilities.

The fixed remuneration of the Company's Key Management Personnel is detailed in the table below.

Variable Remuneration

The remuneration policy has been tailored to increase goal congruence between shareholders and directors and key management personnel. Currently, this is facilitated through the issue of options to key management personnel to encourage the alignment of personal and shareholder interests. The Company believes this policy will be effective in increasing shareholder wealth.

The overall level of executive reward takes into account the performance of the Group over a number of years, with greater emphasis given to the current and prior year. The main performance criteria used in determining the executive reward remuneration is increasing shareholder value through aligning the Company with high quality exploration assets. Due to the nature of the Group's principal activities the Directors assess the performance of the Group with regard to the price of the Company's ordinary shares listed on the ASX, and the market capitalisation of the Group.

Directors and executives are issued options to encourage the alignment of personal and shareholder interests. Options issued to Directors may be subject to market based price hurdles and vesting conditions and the exercise price of options is set at a level that encourages the Directors to focus on share price appreciation. The Company believes this policy will be effective in increasing shareholder wealth. Key Management Personnel are also entitled to participate in the employee share and option arrangements.

On the resignation of Directors any vested options issued as remuneration are retained by the relevant party. For details of Directors and key management personnel interests in options at year end, refer Note 17(f) of the financial report.

The Board may exercise discretion in relation to approving incentives such as options. The policy is designed to reward key management personnel for performance that results in long-term growth in shareholder value.

The Company does not currently have a policy pertaining to Directors hedging their exposure to risks associated to the Company's securities they receive as compensation.

Subsequent to the end of the year the Board completed a self-performance evaluation at an individual Director and Board level.

Service Contracts

Upon appointment to the Board, all non-executive Directors enter into a service agreement with the Company in the form of a letter of appointment. The letter summarises the policies and terms, including compensation, relevant to the office of Director.

Remuneration and other terms of employment for the Managing Director are formalised in a service agreement. The agreement provides for the participation, when eligible in the Radar Iron Incentive Option Plan. Other major provisions of the agreement relating to remuneration are set out below:

REMUNERATION REPORT (AUDITED) (CONTINUED)

J Lea, Managing Director

Terms of agreement ongoing subject to annual review
Executive Salary of \$250,000 per annum plus statutory superannuation, to be reviewed annually by the Board.
Grant of Options in the Company on 3 December 2010 under the following terms and conditions:
a. 1,000,000 Options at an exercise price of \$0.25 on or before 30 November 2013; and
b. 1,000,000 Options at an exercise price of \$0.30 on or before 31 May 2014.
Either party may terminate the contract by giving 3 months' written notice.
On termination of the Employment Contract, the Executive is entitled to payment in lieu of annual leave to which he has become entitled during employment but which has not been taken.

Remuneration of Directors and Executives

Details of the remuneration of the Directors and the key management personnel (as defined in AASB 124 Related Party Disclosures) of Radar Iron Ltd are set out in the following tables.

Key management personnel of Radar Iron Limited

2013	Short Term Benefits		Post Employment Benefits	Share Based Payments
Key Management Personnel	Salary Non and Fees Monetary \$ \$		Super annuation \$	Options \$		% of remuneration consisting of options
Non-Executive Directors
A. Tough	70,850	-	-	-	70,850	0%
A. Kathiravelu	50,400	-	4,536	-	54,936	0%
Executive Directors
J. Lea	250,000	-	22,500	-	272,500	0%
Total	371,250	-	27,036	-	398,286

2012	Short Term Benefits		Post Employment Benefits	Share Based Payments
Key Management Personnel	Salary and Fees \$	Non Super Monetary annuation \$ \$		Options \$	Total \$	% of remuneration consisting of options
Non-Executive Directors
A. Tough	70,850	-	-	-	70,850	0%
A. Kathiravelu	46,800	-	4,212	-	51,012	0%
Executive Directors
J. Lea	250,000	-	22,500	-	272,500	0%
Total	367,650	-	26,712	-	394,362

Share-based compensation

No options were issued in the current year.

No options lapsed or were exercised in the current year.

**********END OF REMUNERATION REPORT**********

PROCEEDINGS ON BEHALF OF THE COMPANY

No person has applied to the Court to bring proceedings on behalf of the Company or 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 any part of those proceedings. The Company was not a party to any such proceedings during the year.

LIKELY DEVELOPMENTS AND EXPECTED RESULTS

The Group proposes to continue with its exploration programme as detailed in the Operating and Financial review.

SHARE OPTIONS

Shares under Option

At the date of this report there are 23,050,000 unissued shares under option outstanding as summarised below:

Date Granted	Expiry Date	Exercise Price	Number shares under option
*3 December 2010	30 November 2013	\$0.25	20,375,000
*3 December 2010	31 May 2014	\$0.30	2,375,000
*16 September 2011	31 July 2014	\$0.45	300,000
			23,050,000

* Unlisted options

These options do not entitle the holders to participate in any share issue of the Company or any other body corporate.

During the year there were no ordinary shares issued as a result of the exercise of an option.

AUDITOR'S INDEPENDENCE DECLARATION

The auditor's independence declaration as required under section 307C of the Corporations Act 2001 for the year ended 30 June 2013 has been received and can be found on page 25.

AUDITOR

Nexia Perth Audit Services Pty Ltd continues in office in accordance with section 327 of the Corporation Act 2001.

AUDIT SERVICES

During the year the following fees were paid or payable for services provided by the auditor.

	Consolidated 2013 \$	Consolidated 2012 \$
Amounts received or due and receivable by Nexia Perth Audit
Services Pty Ltd:
An audit or review of the financial report of the parent and any
other entity in the Group	24,000	20,000
Other services in relation to the parent and any other entity in
the Group	-	-
	24,000	20,000

THE BOARD OF DIRECTORS

The Company's Constitution provides that the number of Directors shall not be less than three. There is no requirement for any shareholding qualification. If the Company's activities increase in size, nature and scope, the size of the Board will be reviewed periodically and the optimum number of Directors required to adequately supervise the Company's activities will be determined within the limitations imposed by the Constitution and as circumstances demand.

The membership of the Board, its activities and composition are subject to periodic review. The criteria for determining the identification and application of a suitable candidate for the Board shall include quality of the individual, background of experience and achievement, compatibility with other Board members, credibility within the Company's scope of activities, intellectual ability to contribute to Board duties and physical ability to undertake Board duties and responsibilities.

Directors are initially appointed by the full Board, subject to election by shareholders at the next Annual General Meeting. Under the Company's Constitution the tenure of a Director (other than Managing Director, and only one Managing Director where the position is jointly held) is subject to reappointment by shareholders not later than the third anniversary following his or her last appointment. Subject to the requirements of the Corporations Act, the Board does not subscribe to the principle of retirement age and there is no maximum period of service as a Director. A Managing Director may be appointed for the year and on any terms the Directors think fit and, subject to the terms of any agreement entered into, the appointment may be revoked on notice.

The Company is not currently of a size, nor are its affairs of such complexity, to justify the formation of other separate or special committees at this time. The Board as a whole is able to address the governance aspects of the full scope of the Company's activities and to ensure that it adheres to appropriate ethical standards.

INDEPENDENCE

Given the Company's present size and scope, it is currently not company policy to have a majority of independent Directors. Directors have been selected to bring specific skills and industry experience to the Company. The Board has an expansive range of relevant industry experience, financial, legal and other skills and expertise to meet its objectives. The current board composition includes one independent director and two non-independent directors.

Mr Alan Tough is the current Non-Executive Chairman and is considered an independent director.

When determining the independent status of each Director the board has considered whether the Director:

Is a substantial shareholder of the Company or an officer of, or otherwise associated directly with, a substantial shareholder of the Company.
Is employed, or has previously been employed in an executive capacity by the Company or another Group member, and there has not been a period of at least three years between ceasing such an employment and serving on the board.
Has within the last three years been a principal of a material professional adviser or a material consultant to the Company or another Group member, or an employee materially associated with the services provided.
Is a material supplier or customer of the Company or other Group member, or an officer of, or otherwise associated directly or indirectly with a material supplier or customer.
Has a material contractual relationship with the Company or another Group member other than as a Director.

APPOINTMENTS TO OTHER BOARDS

Directors are required to take into consideration any potential conflicts of interest when accepting appointments to other boards.

INDEPENDENT PROFESSIONAL ADVICE

The Board has determined that individual Directors have the right in connection with their duties and responsibilities as Directors, to seek independent professional advice at the Company's expense. With the exception of expenses for legal advice in relation to Director's rights and duties, the engagement of an outside adviser is subject to prior approval of the Chairman and this will not be withheld unreasonably.

GENDER DIVERSITY

The Company has not adopted an express policy specifically addressing achieving gender diversity. Due to the current limited size of the Board, the Board does not consider it necessary to have a gender diversity policy, but will consider adopting a policy in the future. Furthermore, the Company has not set any objectives for achieving gender diversity. Should a gender diversity policy be considered appropriate for the Company in the future due to increases in size of the organisation, the policy will specifically deal with the objectives for achieving diversity.

The Company's corporate code of conduct provides a framework for undertaking ethical conduct in employment. Under the corporate code of conduct, the Company will not tolerate any form of discrimination or harassment in the workplace.

The Company currently has no women board members, senior executives or employees.

CONTINUOUS REVIEW OF CORPORATE GOVERNANCE

Directors consider, on an ongoing basis, how management information is presented to them and whether such information is sufficient to enable them to discharge their duties as Directors of the Company. Such information must be sufficient to enable the Directors to determine appropriate operating and financial strategies from time to time in light of changing circumstances and economic conditions. The Directors recognise that iron ore exploration is a business with inherent risks and that operational strategies adopted should, notwithstanding, be directed towards improving or maintaining the net worth of the Company.

CODE OF CONDUCT

The Company has adopted a Code of Conduct for company executives that promotes the highest standards of ethics and integrity in carrying out their duties to the Company.

The Code of Conduct can be found on the Company's website at www.radariron.com.au.

RISK MANAGEMENT SYSTEMS

The identification and management of risk, including calculated risk-taking activity is viewed by management as an essential component in creating shareholder value.

Management, through the Managing Director, is responsible for developing, maintaining and improving the Company's risk management and internal control system. Management provides the board with periodic reports identifying areas of potential risks and the safeguards in place to efficiently manage material business risks. These risk management and internal control systems are in place to protect the financial statements of the entity from potential misstatement and the Board is responsible for satisfying itself annually, or more frequently as required, that management has developed a sound system of risk management and internal control.

Strategic and operational risks are reviewed at least annually as part of the forecasting and budgeting process. The Group has identified and actively monitors risks inherent in the industry in which the Group operates.

RISK MANAGEMENT SYSTEMS (CONTINUED)

The Board also receives a written assurance from the Managing Director and Company Secretary that to the best of their knowledge and belief, the declaration provided to the Board in accordance with section 295A of the Corporations Act is founded on a sound system of risk management and internal control, and that the system is operating effectively in relation to financial reporting risks. The Board notes that due to its nature, internal control assurance from the Managing Director and Company Secretary can only be reasonable rather than absolute. This is due to such factors as the need for judgement, the use of testing on a sample basis, the inherent limitations in internal control and because much of the evidence is persuasive rather than conclusive and therefore is not and cannot be designed to detect all weaknesses in internal control procedures.

ASX PRINCIPLES OF GOOD CORPORATE GOVERNANCE

The Board has reviewed its current practices in light of the ASX Corporate Governance Council's Corporate Governance Principles and Recommendations with 2010 Amendments 2nd edition with a view to making amendments where applicable after considering the Company's size and the resources it has available.

As the Company's activities develop in size, nature and scope, the size of the Board and the implementation of any additional formal corporate governance committees will be given further consideration.

The following table sets out the ASX Corporate Governance Guidelines with which the Company does not comply:

ASX Principle Reference/comment

Principle 2: Structure the Board to add value

2.1	A majority of the Board should be independent Directors	Given the Company's present size and scope, it is currently not company policy to have a majority of independent Directors. Directors have been selected to bring specific skills and industry experience to the Company.
2.4	The Board should establish a nomination committee	Given the size of the Board there is no formal nomination committee. Acting in its ordinary capacity from time to time as required, the Board carries out the process of determining the need for, screening and appointing new Directors. In view of the size and resources available to the Company, it is not considered that a separate nomination committee would add any substance to this process.

Principle 3: Promote ethical and responsible decision-making

3.2 – 3.3	Companies should establish a policy concerning diversity	The Company does not have an express policy specifically addressing achieving gender diversity. Due to the current limited size of the Board, the Board does not consider it necessary to have a gender diversity policy, but will consider adopting a policy in the future.
		The Company's Corporate Governance Plan includes a corporate code of conduct, which provides a framework for undertaking ethical conduct in employment. Under the corporate code of conduct, the Company will not tolerate any form of discrimination or harassment in the workplace.

ASX PRINCIPLES OF GOOD CORPORATE GOVERNANCE (CONTINUED)

Principle 4: Safeguard integrity in financial reporting

4.1 – 4.2	The Board should establish	The Company does not have an Audit Committee. The
	an audit committee	Board believes that, with only 3 Directors on the Board, the
		Board itself is the appropriate forum to deal with this
		function.

Principle 8: Remunerate fairly and responsibly

8.1	The Board should establish a remuneration committee	Given the current size of the Board, the Company does not have a remuneration committee. The Board as a whole reviews remuneration levels on an individual basis, the size of the Company making individual assessment more appropriate than formal remuneration policies. In doing so, the Board seeks to retain professional services as it requires, at reasonable market rates, and seeks external
		advice and market comparisons where necessary.

Auditor's independence declaration under section 307C of the Corporations Act 2001

To the directors of Radar Iron Ltd

I declare that, to the best of my knowledge and belief, in relation to the audit for the financial year ended 30 June 2013 there have been:

(i) no contraventions of the auditor's independence requirements as set out in the Corporations Act 2001 in relation to the audit; and
(ii) no contraventions of any applicable code of professional conduct in relation to the audit.

Nexia Perth Audit Services Pty Ltd

PTC Klopper Director

27 September 2013 Perth

STATEMENT OF PROFIT OR LOSS AND COMPREHENSIVE INCOME

For the year ended 30 June 2013

	Note	Consolidated 2013 \$	Consolidated 2012 \$
Finance income Other income	4 4	80,508 221,688	90,136 261,153
Financial administration, insurance and compliance costs Consultants and contractors Depreciation Employee benefits expenses Project evaluation expense Rent Write off of exploration expenditure Other expenses	11 5 10 5 10	(108,841) (237,693) (49,527) (366,869) (339,413) (96,000) (1,741) (115,645)	(305,216) (289,207) (34,115) (435,929) - (96,000) (93,429) (8,332)
Loss before income tax expense		(1,013,533)	(910,939)
Income tax benefit	7	-	-
Loss for the year		(1,013,533)	(910,939)
Other Comprehensive Income Total Comprehensive Loss for the year		- (1,013,533)	- (910,939)
Loss attributable to: Owners of the parent entity		(1,013,533)	(910,939)
Total Comprehensive Loss attributable to: Owners of the parent entity		(1,013,533)	(910,939)
Basic and Diluted Loss per share – cents per share	6	(1.25)	(1.33)

The above Statement of Profit or Loss and Comprehensive Income should be read in conjunction with the accompanying notes.

STATEMENT OF FINANCIAL POSITION

As at 30 June 2013

	Note	Consolidated 30 June 2013 \$	Consolidated 30 June 2012 \$
ASSETS
Current assets
Cash and cash equivalents	8	1,075,965	3,903,225
Other receivables	9	81,376	375,930
Total current assets		1,157,341	4,279,155
Non-current assets
Exploration and evaluation expenditure	10	9,861,184	8,400,286
Plant and equipment	11	177,189	168,388
Total non-current assets		10,038,373	8,568,674
TOTAL ASSETS		11,195,714	12,847,829
LIABILITIES Current liabilities
Trade and other payables	12	190,879	843,336
Total current liabilities		190,879	843,336
TOTAL LIABILITIES		190,879	843,336

NET ASSETS		11,004,835	12,004,493
EQUITY
Share capital	14	12,377,907	12,364,032
Reserves	14	1,017,130	1,017,130
Accumulated losses		(2,390,202)	(1,376,669)
TOTAL EQUITY		11,004,835	12,004,493

The above Statement of Financial Position should be read in conjunction with the accompanying notes.

STATEMENT OF CHANGES IN EQUITY

For the year ended 30 June 2013

Consolidated 2013	Note	Share Capital \$	Option Reserve \$	Accum. Losses \$	Total Equity \$
Total equity at the beginning of the year Total comprehensive loss for the year		12,364,032 -	1,017,130 -	(1,376,669) (1,013,533)	12,004,493 (1,013,533)
Transactions with equity holders:
Shares issued during the year: Issue of shares in relation to the acquisition of assets	14, 18	13,875	-	-	13,875
Total equity at 30 June		12,377,907	1,017,130	(2,390,202)	11,004,835
Consolidated 2012
	Note	Share Capital \$	Option Reserve \$	Accum. Losses \$	Total Equity \$
Total equity at the beginning of the year Total comprehensive loss for the year		6,355,930 -	1,290,271 -	(581,730) (910,939)	7,064,471 (910,939)
Transactions with equity holders:
Shares issued during the year: Contributions of capital (net of capital raising costs)	14	5,215,574	-	-	5,215,574
Issue of shares in relation to the acquisition of assets	14	345,000	-	-	345,000
Issue of shares in consideration for services Options issued during the year:	14	35,000	-	-	35,000
Listed options issued in relation to entitlements issue	14	-	80,233	-	80,233
Unlisted Options issued to employee under ESOP	14	-	59,154	-	59,154
Unlisted options issued in consideration for services	14	-	116,000	-	116,000
Expiry of Options issued for cash consideration transferred to Share Capital Expiry of Options issued for no	14	412,528	(412,528)	-	-
consideration transferred to Retained Losses	14	-	(116,000)	116,000	-
Total equity at 30 June		12,364,032	1,017,130	(1,376,669)	12,004,493

The above Statement of Changes in Equity should be read in conjunction with the accompanying notes.

STATEMENT OF CASH FLOWS

For the year ended 30 June 2013

		Consolidated 2013	Consolidated 2012
	Note	\$	\$
Cash flows from operating activities
Receipts from customers		3,712	26,400
Research & development tax offset		452,263	-
Interest received		80,508	119,805
Payments to suppliers and employees		(1,856,651)	(817,752)
Net cash used in operating activities	15	(1,320,168)	(671,547)
Cash flows from investing activities
Purchase of non-current assets		(58,328)	(18,913)
Payments for capitalised exploration expenditure		(1,428,764)	(4,234,434)
Payments for acquisition of prospects		(20,000)	(90,220)
Net cash acquired/(paid) on acquisition		-	(1,000,000)
Net cash used in investing activities		(1,507,092)	(5,343,567)
Cash flows from financing activities
Proceeds from issues of shares and options		-	5,864,877
Capital raising costs		-	(189,987)
Net cash flows provided by financing activities		-	5,674,890
Net increase/(decrease) in cash and cash equivalents		(2,827,260)	(340,224)
Cash and cash equivalents at the beginning of the period		3,903,225	4,243,449
Cash and cash equivalents at the end of the year	8	1,075,965	3,903,225

The above Statement of Cash Flows should be read in conjunction with the accompanying notes.

NOTES TO THE FINANCIAL STATEMENTS

For the year ended 30 June 2013

NOTE 1: REPORTING ENTITY

Radar Iron Ltd (the "Company") is a company domiciled in Australia. The consolidated financial statements of the Company as at and for the year ended 30 June 2013 comprise the Company and its subsidiaries (collectively referred to as the "Group").

A description of the nature of the Group's operations and its principal activities is included in the review of operations and activities in the Directors' Report on page 4, which does not form part of this financial report.

NOTE 2: BASIS OF PREPARATION

This General Purpose Financial Report has been prepared in accordance with Australian Accounting Standards, other authoritative pronouncements of the Australian Accounting Standards Board (including Australian Interpretations) and the Corporations Act 2001.

The Consolidated Financial Statements and Notes of the Group comply with International Financial Reporting Standards (IFRS) and interpretations adopted by the International Accounting Standards Board.

Radar Iron Ltd is a company limited by shares. The financial report is presented in the functional currency of the Group, being Australian Dollars.

This Consolidated Financial Report was approved by the Board of Directors on 27 September 2013.

Financial Position

As at 30 June 2013 the Group had cash on hand of \$1,075,965.

Accordingly, the Directors believe that there are sufficient funds to meet the Group's working capital requirements.

However, if one of the Company's projects proceeds to the development phase, the Company will require further funding within the next 15 months. Should the Company be unable to raise sufficient funds, the development of the project may have to be deferred.

Historical cost convention

These financial statements have been prepared under the historical cost convention.

NOTES TO THE FINANCIAL STATEMENTS

For the year ended 30 June 2013

NOTE 3: SIGNIFICANT ACCOUNTING POLICIES

The preparation of the financial reports requires management to make judgements, estimates and assumptions that affect the application of accounting policies and the reported amounts of assets, liabilities, income and expense. Actual results may differ from these estimates.

The significant policies which have been adopted in the preparation of this financial report are:

(a) Principles of Consolidation

Subsidiaries

The consolidated financial statements comprise the assets and liabilities of Radar Iron Ltd and its subsidiaries at 30 June 2013 and the results of the subsidiaries for the year ended. A subsidiary is any entity controlled by Radar Iron Ltd.

Subsidiaries are all those entities (including special purpose entities) over which the Company has the power to govern the financial and operating policies, generally accompanying a shareholding of more than one-half of the voting rights. The existence and effect of potential voting rights that are currently exercisable or convertible are considered when assessing whether the Company controls another entity.

The financial statements of subsidiaries are prepared from the same reporting period as the Parent Company, using consistent accounting policies. Adjustments are made to bring into line any dissimilar accounting policies that may exist.

All inter-company balances and transactions, including unrealised profits arising from intraentity transactions, have been eliminated in full. Unrealised losses are eliminated unless costs cannot be recovered. Investments in subsidiaries are accounted for at cost in the individual financial statements of Radar Iron Ltd.

Subsidiaries are consolidated from the date on which control is obtained by the Group and cease to be consolidated from the date on which control is transferred out of the Group. Where there is a loss of control of a subsidiary, the consolidated financial statements include the results for the part of the reporting period which Radar Iron Ltd has control.

The acquisition of subsidiaries is accounted for using the acquisition method of accounting. The acquisition method of accounting involves recognising at acquisition date, separately from goodwill, the identifiable assets acquired, the liabilities assumed and any noncontrolling interest in the acquiree. The identifiable assets acquired and the liabilities assumed are measured at their acquisition date fair values (see note 3(h)).

Common Control transactions are accounted for at the net asset value of the identifiable assets and liabilities of the acquired entity. This method of accounting involves recognising at acquisition date, the identifiable assets acquired, the liabilities assumed and any noncontrolling interest in the acquiree. The consideration paid is valued at the net asset value of the identifiable assets and liabilities of the acquired entity, in accordance with these principles to ensure no profit or loss is accounted for in either the acquirer or the seller. The identifiable assets acquired and the liabilities assumed are measured at their acquisition date fair values (see note 3(h)).

A change in the ownership interest of a subsidiary that does not result in a loss of control is accounted for as an equity transaction.

NOTES TO THE FINANCIAL STATEMENTS

For the year ended 30 June 2013

NOTE 3: SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)

(a) Principles of Consolidation (continued)

Non-controlling interests are allocated their share of net profit after tax in the statement of comprehensive income and are presented within equity in the consolidated statement of financial position, separately from the equity of the owners of the Company.

Losses are attributed to the non-controlling interest even if that results in a deficit balance.

If the Group loses control over a subsidiary, it:

Derecognises the assets (including any goodwill) and liabilities of the subsidiary.
Derecognises the carrying amount of any non-controlling interest.
Derecognises the cumulative translation differences, recorded in equity.
Recognises the fair value of the consideration received.
Recognises the fair value of any investment retained.
Recognises any surplus or deficit in profit or loss.
Reclassifies the parent's share of components previously recognised in other comprehensive income to profit or loss.

(b) Segment Reporting

An operating segment is a component of an entity that engages in business activities from which it may earn revenues and incur expenses (including revenues and expenses relating to transactions with other components of the same entity), whose operating results are regularly reviewed by the entity's chief operating decision maker to make decisions about resources to be allocated to the segment and assess its performance and for which discrete financial information is available. This includes start up operations which are yet to earn revenues. Management will also consider other factors in determining operating segments such as the existence of a line manager and the level of segment information presented to the board of directors.

Operating segments have been identified based on the information provided to the chief operating decision makers – being the board of directors.

The group aggregates two or more operating segments when they have similar economic characteristics, and the segments are similar in the nature of the minerals targeted.

Operating segments that meet the quantitative criteria as prescribed by AASB 8 are reported separately. However, an operating segment that does not meet the quantitative criteria is still reported separately where information about the segment would be useful to users of the financial statements.

Information about other business activities and operating segments that are below the quantitative criteria are combined and disclosed in a separate category for "all other segments".

(c) Income Tax

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

NOTES TO THE FINANCIAL STATEMENTS

For the year ended 30 June 2013

NOTE 3: SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)

(c) Income Tax (continued)

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

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

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

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

(d) Goods and Services Tax

Revenues, expenses and assets are recognised net of the amount of goods and services tax ("GST"), except where the GST incurred on a purchase of goods and services is not recoverable from the taxation authorities, in which case the GST is recognised as part of the cost of acquisition of the asset or as part of an item of the expense item as applicable and receivables and payables in the balance sheet are shown inclusive of GST.

The net amount of GST recoverable from, or payable to, the taxation authority is included as part of receivables or payables in the Statement of Financial Position. Cash flows are included the Cash Flow Statement on a gross basis and the GST component of cash flows arising from investing and financing activities, which is recoverable from, or payable to, the taxation authority are classified as operating cash flows.

Commitments and contingencies are disclosed net of the amount of GST recoverable from, or payable to, the taxation authority.

NOTES TO THE FINANCIAL STATEMENTS

For the year ended 30 June 2013

NOTE 3: SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)

(e) Trade and Other Receivables

Trade and other receivables are non-derivative financial assets with fixed or determinable payments that are not quoted in an active market. They arise when the Group provides money, goods or services directly to another party with no intention of selling the receivables. They are included in current assets, except for those with maturities greater than 12 months after the balance date which are classified as non-current assets.

Trade and other receivables are initially recognised at fair value and subsequently carried at amortised cost using the effective interest method, less any impairment losses.

(f) Exploration, Evaluation and Development Expenditure

Exploration, evaluation and development expenditure incurred is either written off as incurred or accumulated in respect of each identifiable area of interest. Costs are only carried forward to the extent that right of tenure is current and those costs are expected to be recouped through the successful development of the area (or, alternatively by its sale) or where activities in the area have not yet reached a stage which permits reasonable assessment of the existence of economically recoverable reserves and above, operations in relation to the area are continuing.

Accumulated costs in relation to an abandoned area are written off in full against profit in the period in which the decision to abandon the area is made.

When production commences, the accumulated costs for the relevant area of interest are amortised over the life of the area according to the rate of depletion of the economically recoverable reserves.

A regular review is undertaken of each area of interest to determine the appropriateness of continuing to carry forward costs in relation to that area of interest.

(g) Property, Plant and Equipment

Plant and equipment is stated at historical cost less accumulated depreciation and impairment. Historical cost includes expenditure that is directly attributable to the items. Repairs and maintenance are charged to the Statement of Comprehensive Income during the reporting period in which they are incurred.

Depreciation is calculated using the straight-line method to allocate asset costs over their estimated useful lives, as follows:

Computer equipment 3 years
Software 3 years
Plant & equipment 5 years

Each asset's residual value and useful life is reviewed, and adjusted if appropriate, at each balance sheet date. An asset's carrying amount is written down immediately to its recoverable amount if the asset's carrying amount is greater than its estimated recoverable amount.

Gains and losses on disposals are determined by comparing proceeds with the carrying amount. These are included in the Statement of Comprehensive Income.

NOTES TO THE FINANCIAL STATEMENTS

For the year ended 30 June 2013

NOTE 3: SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)

(h) Business Combinations

The acquisition method of accounting is used to account for all business combinations, regardless of whether equity instruments or other assets are acquired. Cost is measured as the fair value of the assets given, securities issued or liabilities incurred or assumed at the date of exchange plus costs directly attributable to the acquisition. Where equity instruments are issued in an acquisition, the fair value of the instruments is their published market price as at the date of exchange unless, in rare circumstances, it can be demonstrated that the published price at the date of exchange is an unreliable indicator of fair value and that other evidence and valuation methods provide a more reliable measure of fair value. Transaction costs, other than those associated with the issue of equity instruments, that the Group incurs in connection to a Business Combination are expensed as incurred.

Identifiable assets acquired and liabilities and contingent liabilities assumed in a business combination are measured initially at their fair values at the acquisition date, irrespective of the extent of any minority interest. The excess of the cost of acquisition over the fair value of the Group's share of the identifiable net assets acquired is recorded as goodwill. If the cost of acquisition is less than the Group's share of the fair value of the identifiable net assets of the subsidiary acquired, the difference is recognised directly in the Statement of Comprehensive Income, but only after a reassessment of the identification and measurement of the net assets acquired.

(i) Impairment of Non-Financial Assets

Where an indicator of impairment exists, the Group makes a formal estimate of the recoverable amount. Where the carrying amount of an asset or cash generating unit exceeds its recoverable amount the asset or cash generating unit is considered impaired and is written down to its recoverable amount.

The recoverable amount of an asset or cash-generating unit is the greater of its value in use and its fair value less costs to sell. 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 the purpose of impairment testing, assets that cannot be tested individually are grouped together into the smallest group of assets or groups of assets that generate cash inflows from continuing use that are largely independent of the cash inflows of other assets or groups of assets (the "cash-generating unit" or "CGU"). Subject to an operating segment ceiling test, for the purposes of goodwill impairment testing, CGU's to which goodwill has been allocated are aggregated so that the level at which impairment is tested reflects the lowest level at which goodwill is monitored for internal reporting purposes. Goodwill acquired in a business combination is allocated to groups of CGU's that are expected to benefit from the synergies of combination.

(j) Share-Based Payments

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 equity-settled 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 option valuation model for services provided by employees or where the fair value of the shares received cannot be reliably estimated.

NOTES TO THE FINANCIAL STATEMENTS

For the year ended 30 June 2013

NOTE 3: SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)

(j) Share-Based Payments (continued)

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 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.

(k) Cash and Cash Equivalents

Cash and cash equivalents in the statement of financial position comprise cash at bank and in hand and short-term deposits with an original maturity of three months or less.

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.

(l) Finance income and expense

Finance income comprises interest income on funds invested, gains on disposal of financial assets and changes in fair value of financial assets held at fair value through profit or loss. Finance expenses comprise changes in the fair value of financial assets held at fair value through profit or loss and impairment losses on financial assets.

Interest income is recognised as it accrues in profit or loss, using the effective interest rate method.

(m) Issued Capital

Ordinary shares are classified as equity. Issued and paid up capital is recognised at the fair value of the consideration received by the Company. Any transaction costs arising on the issue of ordinary shares are recognised directly in equity as a reduction of the share proceeds received.

NOTES TO THE FINANCIAL STATEMENTS

For the year ended 30 June 2013

NOTE 3: SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)

(n) Earnings per Share

i) Basic earnings per share

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

ii) Diluted earnings per share

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

(o) Trade and other Payables

These amounts represent liabilities for goods and services provided to the Group prior to the end of the financial year which are unpaid. The amounts are unsecured and are usually paid within 30 days of recognition.

Trade and other payables are stated at amortised cost, using the effective interest method.

(p) Foreign Currency Translation

i) Functional and presentation currency

Both the functional and presentation currency of Radar Iron Ltd and its subsidiaries is the Australian dollar (\$).

ii) Transactions and balances

Transactions in foreign currencies are initially recorded in the functional currency by applying the exchange rates ruling at the date of the transaction. Monetary assets and liabilities denominated in foreign currencies are retranslated at the rate of exchange ruling at the balance date.

Non-monetary items that are measured in terms of historical cost in a foreign currency are translated using the exchange rate as at the date of the initial transaction. Non-monetary items measured at fair value in a foreign currency are translated using the exchange rates at the date when the fair value was determined.

(q) Significant Accounting Estimates and Assumptions

Critical accounting estimates

The preparation of financial statements in conformity with Australian Accounting Standards requires the use of certain critical accounting estimates. It also requires management to exercise its judgement in the process of applying the Group's accounting policies. The Directors evaluate estimates and judgements incorporated into the financial report based on historical knowledge and best available current information. Estimates assume a reasonable expectation of future events and are based on current trends and economic data, obtained both externally and within the Group.

NOTES TO THE FINANCIAL STATEMENTS

For the year ended 30 June 2013

NOTE 3: SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)

(q) Significant Accounting Estimates and Assumptions (continued)

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

i) Impairment of capitalised exploration and evaluation expenditure

The future recoverability of capitalised exploration and evaluation expenditure is dependent on a number of factors, including whether the Group decides to exploit the related lease itself or, if not, whether it successfully recovers the related exploration and evaluation asset through sale.

Factors that could impact the future recoverability include the level of reserves and resources, future technological changes which could impact the cost of mining, future legal changes (including changes to environmental restoration obligations) and changes to commodity prices.

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

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

ii) Recoverability of potential deferred tax assets

The Group recognises deferred income tax assets in respect of tax losses to the extent that the future utilisation of these losses is considered probable. Assessing the future utilisation of these losses requires the Group to make significant estimates related to expectations of future taxable income. Estimates of future taxable income are based on forecast cash flows from operations and the application of existing tax laws. To the extent that future cash flows and taxable income differ significantly from estimates, this could result in significant changes to the deferred income tax assets recognised, which would in turn impact the financial results.

iii) Share-based payment transactions

The Group measures the cost of equity-settled transactions with management and other parties by reference to the fair value of the equity instruments at the date at which they are granted. The fair value is determined by the Board of Directors using either the Binomial or the Black-Scholes valuation methods, taking into account the terms and conditions upon which the equity instruments were granted. The assumptions in relation to the valuation of the equity instruments are detailed in Note 18. The accounting estimates and assumptions relating to equity-settled share-based payments would have no impact on the carrying amounts of assets and liabilities within the next annual reporting period but may impact expenses and equity.

NOTES TO THE FINANCIAL STATEMENTS

For the year ended 30 June 2013

NOTE 3: SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)

(r) Comparative Information

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

(s) Revenue Recognition

Revenue is recognised and measured at the fair value of the consideration received or receivable to the extent it is probable that the economic benefits will flow to the Group and the revenue can be reliably measured. The following specific recognition criteria must also be met before revenue is recognised:

Interest revenue

Revenue is recognised as interest is earned.

Research and Development

Research and Development grants that are receivable as compensation for expenses already incurred are recognised in profit or loss in the period in which they become receivable.

(t) New Accounting Standards for Application in Future Periods

A number of new standards, amendments to standards and interpretations are effective for annual periods beginning after 1 July 2012, and have not been applied in preparing these consolidated financial statements. Those which may be relevant to the Group are set out below. The Group does not plan to adopt these standards early.

(a) AASB 9 Financial Instruments (2010), AASB 9 Financial Instruments (2009)

AASB 9 (2009) introduces new requirements for the classification and measurement of financial assets. Under AASB 9 (2009), financial assets are classified and measured based on the business model in which they are held and the characteristics of their contractual cash flows. AASB 9 (2010) introduces additions relating to financial liabilities.

The IASB currently has an active project that may result in limited amendments to the classification and measurement requirements of AASB 9 and add new requirements to address the impairment of financial assets and hedge accounting.

AASB 9 (2010 and 2009) are effective for annual periods beginning on or after 1 January 2015 with early adoption permitted. The adoption of AASB 9 (2010) is expected to have an impact on the Group's financial assets, but no impact on the Group's financial liabilities.

(b) AASB 10 Consolidated Financial Statements, AASB 11 Joint Arrangements, AASB 12 Disclosure of Interests in Other Entities (2011)

AASB 10 introduces a single control model to determine whether an investee should be consolidated. As a result, the Group may need to change its consolidation conclusion in respect of its investees, which may lead to changes in the current accounting for these investees.

Under AASB 11, the structure of the joint arrangement, although still an important consideration, is no longer the main factor in determining the type of joint arrangement and therefore the subsequent accounting.

NOTES TO THE FINANCIAL STATEMENTS

For the year ended 30 June 2013

NOTE 3: SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)

(t) New Accounting Standards for Application in Future Periods (continued)

The Group's interest in a joint operation, which is an arrangement in which the parties have rights to the assets and obligations for the liabilities, will be accounted for on the basis of the Group's interest in those assets and liabilities.

The Group's interest in a joint venture, which is an arrangement in which the parties have rights to the net assets, will be equity accounted.

The Group may need to reclassify its joint arrangements, which may lead to changes in current accounting for these interests.

AASB 12 brings together into a single standard all the disclosure requirements about an entity's interests in subsidiaries, joint arrangements, associates and unconsolidated structured entities. The Group is currently assessing the disclosure requirements for interests in subsidiaries, interests in joint arrangements and associates and unconsolidated structured entities in comparison with the existing disclosures. AASB 12 requires the disclosure of information about the nature, risks and financial effects of these interests. These standards are effective for annual periods beginning on or after 1 January 2013 with early adoption permitted.

(c) AASB 13 Fair Value Measurement (2011)

AASB 13 provides a single source of guidance on how fair value is measured, and replaces the fair value measurement guidance that is currently dispersed throughout Australian Accounting Standards. Subject to limited exceptions, AASB 13 is applied when fair value measurements or disclosures are required or permitted by other AASBs.

The Group is currently reviewing its methodologies in determining fair values. AASB 13 is effective for annual periods beginning on or after 1 January 2013 with early adoption permitted.

(d) AASB 119 Employee Benefits (2011)

AASB 119 (2011) changes the definition of short-term and other long-term employee benefits to clarify the distinction between the two. For defined benefit plans, removal of the accounting policy choice for recognition of actuarial gains and losses is not expected to have any impact on the Group. However, the Group may need to assess the impact of the change in measurement principles of expected return on plan assets. AASB 119 (2011) is effective for annual periods beginning on or after 1 January 2013 with early adoption permitted.

NOTES TO THE FINANCIAL STATEMENTS

For the year ended 30 June 2013

NOTE 4: INCOME

	Consolidated 2013 \$	Consolidated 2012 \$
Finance income Interest income	80,508	90,136

Other income Rental income	3,712	18,000
Research & development tax offset	217,976	234,287
Income on Motor Vehicle replacement	-	8,866
Total other income	221,688	261,153
NOTE 5: LOSS
Loss before income tax has been determined after: Employee benefit expense:
Wages and consulting fees Equity settled share based payments	366,869 -	376,775 59,154
Office rent	96,000	96,000
NOTE 6: LOSS PER SHARE
Basic and diluted loss per share - cents	(1.25)	(1.33)
Loss used in the calculation of basic and diluted loss per share	(1,013,533)	(910,939)
Weighted average number of ordinary shares outstanding during the
year used in calculation of basic loss per share Weighted average number of options outstanding	81,326,265 23,050,000	68,587,153 41,316,278
Less: anti-dilutive options	(23,050,000)	(41,316,278)
Weighted average number of ordinary shares outstanding during the year used in calculation of diluted loss per share	81,326,265	68,587,153

Options outstanding during the year have not been taken into account in the calculation of the weighted average number of ordinary shares as they are considered anti-dilutive.

NOTES TO THE FINANCIAL STATEMENTS

For the year ended 30 June 2013

NOTE 7: INCOME TAX

	Consolidated 2013 \$	Consolidated 2012 \$
(a) Income tax benefit
The major components of income tax benefit are:
Statement of Comprehensive Income
Current Income Tax
Current income tax charge	-	-
Deferred income tax
Relating to movements in temporary differences	-	-
Income tax benefit reported in the statement of comprehensive income	-	-

(b) Amounts charged directly to equity

There were no amounts charged directly to equity

(c) Numerical reconciliation between aggregate tax expense recognised in the statement of comprehensive income and tax expense calculated per the statutory income tax rate

A reconciliation between tax expense and the product of accounting profit before income tax multiplied by the Group's applicable income tax rate is as follows:

Accounting loss before income tax	(1,013,533)	(910,939)
Income tax (benefit) at the statutory income tax rate of 30%	(304,060)	(273,282)
Expenditure not allowable for tax purposes: Non-deductible expenses	1,882	-
Non-assessable income Share based payments	(65,393) 4,163	- 17,746
Capital raising costs deductible	(43,712)	(43,712)
Unrecognised temporary differences	(447,220)	(1,026,317)
Unrecognised tax losses Movements in deferred tax balances	854,340 -	1,325,565 -
Income tax (expense)/benefit	-	-

Radar Iron Ltd has unrecognised tax losses arising in Australia which are available indefinitely to offset against future profits of the Company providing the tests for deductibility against future profits are met.

Unutilised Australian Tax Losses	1,733,648	1,298,601
Unrecognised Deferred tax Assets in relation to:
Tax Losses	854,340	164,904
Temporary Differences relating to capital raising costs	131,135	174,847

NOTE 8: CASH AND CASH EQUIVALENTS

Cash at bank and on hand (a)	1,075,965	3,903,225

(a) Cash at bank is subject to floating interest rates at an effective interest rate of 3.92% (2012: 3.50%)

NOTES TO THE FINANCIAL STATEMENTS

For the year ended 30 June 2013

NOTE 9: TRADE AND OTHER RECEIVABLES

	Consolidated 2013 \$	Consolidated 2012 \$
Current Research & development tax offset	-	234,287
Other receivables	81,376	141,643
Total	81,376	375,930

The above amounts do not bear interest and their carrying amount is equivalent to their fair value. Other receivables include GST refund receivable as at 30 June 2013.

NOTE 10: EXPLORATION AND EVALUATION EXPENDITURE

Costs carried forward in respect of:
Exploration and evaluation expenditure, at cost	9,861,184	8,400,286
Reconciliation: A reconciliation of the carrying amounts of exploration and evaluation expenditure is set out below:
Carrying amount at beginning of year Recognised on acquisition of additional interests in mining tenements Additions	8,400,286 133,875 1,668,177	4,689,291 90,220 3,714,204
Project evaluation expense Write-off of exploration and evaluation expenditure	(339,413) (1,741)	- (93,429)
Carrying amount at end of year	9,861,184	8,400,286

Exploration commitments

In order to maintain rights of tenure to exploration permits, the Group has certain obligations to perform minimum exploration work and expend minimum amounts of money.

These commitments may be varied as a result of renegotiations, relinquishments, farm-outs, sales or carrying out work in excess of the permit obligations. The minimum expenditure required by the Group on exploration permits as at the balance date is estimated below. Commitments beyond this time frame cannot be estimated reliably as minimum expenditure requirements are reassessed annually. The commitments have not been provided for in the financial report.

	Consolidated 2013 \$	Consolidated 2012 \$
Within one year	224,000	159,000
Within two year to five years	-	-
Later than five years	-	-
Total	224,000	159,000

NOTES TO THE FINANCIAL STATEMENTS

For the year ended 30 June 2013

NOTE 11: PLANT AND EQUIPMENT

		Computer
	Plant &	Equipment
Consolidated	Equipment	& Software	Total
	\$	\$	\$
Balance at 1 July 2012	147,032	21,356	168,388
Additions	56,734	1,594	58,328
Disposals	-	-	-
Depreciation for the year	(39,189)	(10,338)	(49,527)
Balance at 30 June 2013	164,577	12,612	177,189

At 30 June 2013
Cost	239,409	32,363	271,772
Accumulated depreciation	(74,832)	(19,751)	(94,583)
Net book value	164,577	12,612	177,189

	Plant &	Computer Equipment
Consolidated	Equipment \$	& Software \$	Total \$
Balance at 1 July 2011	160,950	13,776	174,726
Additions	65,277	13,923	79,200
Disposals	(51,423)	-	(51,423)
Depreciation for the year	(27,772)	(6,343)	(34,115)
Balance at 30 June 2012	147,032	21,356	168,388
At 30 June 2012
Cost	182,675	30,769	213,444
Accumulated depreciation	(35,643)	(9,413)	(45,056)
Net book value	147,032	21,356	168,388

NOTE 12: TRADE AND OTHER PAYABLES

	Consolidated 2013 \$	Consolidated 2012 \$
Trade payables (a)	103,106	621,120
Accruals & accrued annual leave entitlements	70,876	196,505
Other payables (b)	16,897	25,711
	190,879	843,336

(a) Trade payables are non interest bearing and are normally settled on 30-day terms.

(b) Other payables are non-trade payables, are non-interest bearing and have an average term of 3 months.

NOTES TO THE FINANCIAL STATEMENTS

For the year ended 30 June 2013

NOTE 13: DEFERRED TAX LIABILITIES

	Consolidated 2013 \$	Consolidated 2012 \$
The balance comprises temporary differences relating to:
Exploration properties	2,335,071	2,589,870
Accruals	(22,254)	(31,204)
Less: Deferred Tax Assets offset	(2,312,817)	(2,558,666)
Total Deferred Tax Liabilities	-	-
		Total
Movements – Consolidated	\$	\$
At 1 July 2011	-	-
Deferred Tax Asset offset	-	-
At 30 June 2012	-	-
NOTE 14: ISSUED CAPITAL & RESERVES
	No.	\$
CONSOLIDATED 2013
(a) Issued and Paid Up Capital
Fully paid ordinary shares	81,340,070	12,377,907
	81,340,070	12,377,907
(b) Movements in fully paid shares on issue Balance as at 1 July 2012	81,265,070	12,364,032
Ordinary Shares issued in relation to capital raisings	-	-
Ordinary Shares issued in relation to acquisitions	75,000	13,875
Ordinary Shares issued in relation to placement services	-	-
Expiry of Options transferred to share capital Capital raising costs	- -	- -
Balance as at 30 June 2013	81,340,070	12,377,907

(c) Share Options Balance as at 1 July 2012	23,050,000	1,017,130
Listed Options in relation to Rights Issue shortfall options	-	-
Unlisted Options issued under ESOP	-	-
Unlisted Options issued to consultants	-	-
Expiry of Options	-	-
Balance as at 30 June 2013	23,050,000	1,017,130

During the year, no options were exercised to take up ordinary shares. As at the year end the Company had a total of 23,050,000 (2012: 23,050,000) unissued ordinary shares on which options are outstanding with a weighted average exercise price of 26 cents (2012: 25 cents). The weighted average remaining contractual life of all share options outstanding at the end of the year is 1.48 years (2012: 1.48 years).

NOTES TO THE FINANCIAL STATEMENTS

For the year ended 30 June 2013

NOTE 14: ISSUED CAPITAL & RESERVE (CONTINUED)

	No.	\$
CONSOLIDATED 2012
(a) Issued and Paid Up Capital
Fully paid ordinary shares	81,265,070	12,364,032
	81,265,070	12,364,032
(b) Movements in fully paid shares on issue
Balance as at 1 July 2011	61,880,112	6,355,930
Ordinary Shares issued in relation to capital raisings	18,282,017	5,784,645
Ordinary Shares issued in relation to acquisitions	1,000,000	345,000
Ordinary Shares issued in relation to placement services	102,941	35,000
Expiry of Options transferred to share capital	-	412,528
Capital raising costs	-	(569,071)
Balance as at 30 June 2012	81,265,070	12,364,032
(c) Share Options
Balance as at 1 July 2011	39,364,773	1,290,271
Listed Options in relation to Rights Issue shortfall options	4,011,931	80,233
Unlisted Options issued under ESOP	300,000	59,154
Unlisted Options issued to consultants	4,000,000	116,000
Expiry of Options	(24,626,704)	(528,528)
Balance as at 30 June 2012	23,050,000	1,017,130

During the period, no options were exercised to take up ordinary shares.

Nature and purpose of reserves

a. Options reserve

The options reserve is used to recognise the fair value of all options on issue but not yet exercised. This reserve is used to record the value of equity benefits provided to employees and Directors as part of their remuneration.

NOTE 15: OPERATING CASH FLOW INFORMATION

	Consolidated 2013	Consolidated 2012
Reconciliation of cash flow from operations with loss after income tax	\$	\$
Loss for the year	(1,013,533)	(910,939)
Adjusted for - Noncash items:
Share based payments	-	59,154
Depreciation	49,527	34,116
Exploration expenditure written off	1,741	93,431
Profit on sale of plant and equipment	-	(8,865)
Research & development tax offset	-	(234,287)
Employee benefits included in provisions	(122,326)	-
Changes in assets and liabilities
Increase/(decrease) in trade creditors and accruals	(530,131)	167,947
Decrease in other debtors	294,554	127,896
Cash flows used in operations	(1,320,168)	(671,547)

NOTES TO THE FINANCIAL STATEMENTS

For the year ended 30 June 2013

NOTE 16: INTEREST IN CONTROLLED ENTITIES

The consolidated financial statements include the financial statements of Radar Iron Ltd and the subsidiaries listed in the following table.

	Country of	% Equity Interest	\$ Investment	% Equity Interest	\$ Investment
Name	Incorporation	2013	2013	2012	2012
Radar Resources Pty Ltd	Australia	100%	468,399	100%	468,399
Radar Iron Qld Pty Ltd	Australia	100%	100	-	-

NOTE 17: RELATED PARTY TRANSACTIONS

a) Parent and ultimate controlling party

The parent entity and ultimate controlling party is Radar Iron Ltd.

b) Related party compensation

Information on remuneration of Directors and Key Management Personnel is contained in the Remuneration Report within the Directors' Report on page 18.

c) Loans to and from related parties

Terms and Conditions of loans

Loans between entities in the wholly owned Group are not interest bearing, unsecured and are payable upon reasonable notice having regard to the financial stability of the Company.

d) Other related party transactions

The only related party transactions that occurred during the year were in the form of loans to a subsidiary, short term employee benefits, post-employment benefits and share based payments.

e) Share holdings of key management personnel

The number of ordinary shares of Radar Iron Ltd held, directly, indirectly or beneficially, by each Director, including their personally-related entities as at balance date:

	Held at	Movement during	Options	Held at
Directors	1 July 2012	year	Exercised	30 June 2013
A. Tough	100,000	103,200	-	203,200
J. Lea	380,303	-	-	380,303
A. Kathiravelu	130,000	-	-	130,000
Total	610,303	103,200	-	713,503

Directors	Held at 1 July 2011	Movement during year	Options Exercised	Held at 30 June 2012
A. Tough	100,000	-	-	100,000
J. Lea	350,000	30,303	-	380,303
A. Kathiravelu	-	130,000	-	130,000
Total	450,000	160,303	-	610,303

f) Options holdings of key management personnel

The number of options over ordinary shares in Radar Iron Ltd held, directly, indirectly or beneficially, by each specified Director and specified executive, including their personallyrelated entities as at balance date, is as follows:

NOTES TO THE FINANCIAL STATEMENTS

For the year ended 30 June 2013

NOTE 17: RELATED PARTY TRANSACTIONS (CONTINUED)

		Movement			Vested and
	Held at	during		Held at 30	exercisable at
Directors	1 July 2012	year	Exercised	June 2013	30 June 2013
A. Tough	1,000,000	-	-	1,000,000	1,000,000
J. Lea	2,000,000	-	-	2,000,000	2,000,000
A. Kathiravelu	1,000,000	-	-	1,000,000	1,000,000
Total	4,000,000	-	-	4,000,000	4,000,000

Directors	Held at 1 July 2011	Movement during year	Exercised	Held at 30 June 2012	Vested and exercisable at 30 June 2012
A. Tough	1,033,334	(33,334)	-	1,000,000	1,000,000
J. Lea	2,116,668	(116,668)	-	2,000,000	2,000,000
A. Kathiravelu	1,000,000	-	-	1,000,000	1,000,000
Total	4,150,002	(150,002)	-	4,000,000	4,000,000

NOTE 18: SHARE BASED PAYMENTS

Share-based payment transactions

The Company completed the following share-based payment transactions during the year:

	Shares 2013 \$	Options 2013 \$
75,000 Ordinary Shares issued in consideration for a tenement owned by Heron Resources Ltd	13,875	-
	13,875	-

NOTE 19: AUDITORS' REMUNERATION

	Consolidated 2013 \$	Consolidated 2012 \$
Amounts received or due and receivable by Nexia Perth Audit Services Pty Ltd:
An audit or review of the financial report of the parent and any other entity in the Group Other services in relation to the parent and any other entity in the Group	24,000 -	20,000 -
	24,000	20,000

NOTE 20: FINANCIAL RISK MANAGEMENT

The Group's activities expose it to a variety of financial risks that include market risk (including currency risk, interest rate risk and price risk), credit risk, liquidity risk and cash flow interest rate risk. The Group's overall risk management program focuses on the unpredictability of financial markets and seeks to minimise potential adverse effects on the financial performance of the Group.

Risk management is carried out by the Managing Director under policies approved by the Board of Directors. The Board provides written principles for overall risk management, as well as policies covering specific areas, such as mitigating foreign exchange and interest rate and credit risks.

NOTES TO THE FINANCIAL STATEMENTS

For the year ended 30 June 2013

NOTE 20: FINANCIAL RISK MANAGEMENT (CONTINUED)

a) Market Risk

Foreign Currency Risk The Company is not directly exposed to any foreign currency risk.

Price risk

The Company is not directly exposed to any price risk.

Interest rate risk

The Group is exposed to interest rate risk on cash balances held in interest bearing accounts. The Board constantly monitors its interest rate exposure and attempts to maximise interest income by using a mixture of fixed and variable interest rates, whilst ensuring sufficient funds are available for the Group's operating activities. The Group's net exposure to interest rate risk at 30 June 2013 approximates the value of cash and cash equivalents.

b) Credit Risk

The Group has no significant concentrations of credit risk.

c) Liquidity Risk

The Group manages liquidity risk by monitoring forecast cash flows and ensuring that adequate working capital is maintained for the coming months. Upcoming capital needs and the timing of raisings are assessed by the Board at each Meeting of Directors.

The maturity of the Group's payables is disclosed in Note 12.

d) Cash flow and Interest Rate Risk

The Group's exposure to interest rate risk, which is the risk that a financial instrument's value will fluctuate as a result in changes in market interest rates and the effective weighted average interest rates on classes of financial assets and financial liabilities is disclosed in Note 8, only cash is affected by interest rate risk as cash is the Group's only financial asset exposed to fluctuating interest rates.

In accordance with AASB 7 the following sensitivity analysis has been performed for the Group's Interest Rate risk:

Consolidated Risk Variable	Sensitivity*	Effect On: Profit 2013 \$	Effect On: Equity 2013 \$	Effect On: Profit 2012 \$	Effect On: Equity 2012 \$
Interest Rate	+ 1.50%	21,567	21,567	58,598	58,598
	- 1.50%	(21,567)	(21,567)	(58,598)	(58,598)

* It is considered that 150 basis points is a 'reasonably possible' estimate of potential variations in the interest rate.

The fair values of all financial assets and liabilities of the Group approximate their carrying values.

Capital management

The Board's policy is to maintain a strong capital base so as to maintain investor, creditor and market confidence and to sustain future development of the business. The Group's capital includes ordinary share capital and share options, supported by financial assets.

NOTES TO THE FINANCIAL STATEMENTS

For the year ended 30 June 2013

NOTE 20: FINANCIAL RISK MANAGEMENT (CONTINUED)

There were no changes in the Group's approach to capital management during the year ended 30 June 13.

Neither the Company nor the Group are subject to externally imposed capital requirements.

NOTE 21: SEGMENT REPORTING

Description of segments

The Group's reportable operating segments are as follows:

1. Iron-ore exploration segment (Australia); and
1. All Other Segments, which includes the corporate & administration segment (Australia).

The Group's operating segments have been determined with reference to the information used by the Chief Operating Decision Maker to make decisions regarding the Group's operations and the allocation of the Group's working capital. Due to the size and nature of the Group's business the Board as a whole has been determined as the Chief Operating Decision Maker.

The segments disclosed in the table below have been identified as operating segments that meet any of the following thresholds:

Segment loss greater than 10% of combined loss of loss making operating segments; and
Segment assets greater than 10% of combined assets of all operating segments.

Each of Radar's operating segments operates in the same geographical locations, as disclosed above.

AASB 8 Segment Reporting states that similar operating segments can be aggregated together to form one reportable segment. Radar has not aggregated any segments together under this rule.

Once reportable segments have been identified, all remaining segments that do not satisfy the thresholds are to be aggregated together to form an all other segments reporting segment. In accordance with AASB 8 Segment Reporting corporate and administration activities are included in the all other segments reporting segment.

Accounting policies and inter-segment transactions

The accounting policies used by the Group in reporting segments internally are the same as those contained in note 3 to the accounts.

NOTES TO THE FINANCIAL STATEMENTS

For the year ended 30 June 2013

NOTE 21: SEGMENT REPORTING (CONTINUED)

Segment Information

The following tables present revenue and profit information and certain asset and liability information regarding business segments for the year ended 30 June 2013.

	Iron Ore Exploration Segment \$	All other segments \$	Consolidated \$
Year ended 30 June 2013
Segment revenue	8,976	71,532	80,508
Segment net operating results after tax	210,922	(1,224,455)	(1,013,533)
Interest revenue Research & development tax offset	8,976 217,976	71,532 -	80,508 217,976
Depreciation and amortisation expense Other non-cash expenses	- (1,741)	49,527 -	49,527 (1,741)
Segment assets Segment liabilities	10,099,697 48,069	1,096,017 142,810	11,195,714 190,879
Cash flow information Net cash flow from operating activities Net cash flow from investing activities Net cash flow from financing activities	133,552 (1,448,764) -	(1,453,720) (58,328) -	(1,320,168) (1,507,092) -

The following tables present revenue and profit information and certain asset and liability information regarding business segments for the period ended 30 June 2012.

	Iron Ore Exploration Segment \$	All other segments \$	Consolidated \$
Year ended 30 June 2012
Segment revenue	1,404	88,734	90,136
Segment net operating profit after tax	(62,676)	(848,263)	(910,939)
Interest revenue Research & development tax offset	1,403	88,733 234,287	90,136 234,287
Depreciation and amortisation expense Other non-cash expenses	29,334 -	4,782 59,154	34,116 59,154
Segment assets Segment liabilities	8,672,111 318,330	4,175,718 525,006	12,847,829 843,336
Cash flow information Net cash flow from operating activities Net cash flow from investing activities Net cash flow from financing activities	- (5,324,654) -	(671,537) (18,923) 5,674,890	(671,537) (5,343,577) 5,674,890

NOTES TO THE FINANCIAL STATEMENTS

For the year ended 30 June 2013

NOTE 22: PARENT ENTITY DISCLOSURES

As at and throughout the financial year ending 30 June 2013 the parent company of the Group was Radar Iron Ltd.

	Company 2013	Company 2012
Result of the parent entity	\$	\$
Loss for the year	(1,497,475)	(890,790)
Total comprehensive loss for the year	(1,497,475)	(890,790)
Financial position of the parent entity at year end
Current assets	918,828	4,154,338
Total assets	10,706,229	12,529,499
Current liabilities	142,809	525,006
Total liabilities	142,809	525,006
Total equity of the parent entity comprising:
Share capital	12,377,907	12,480,032
Reserves	1,017,130	1,017,130
Accumulated losses	(2,831,617)	(1,492,669)
Total equity	10,563,420	12,004,493

Parent Entity Contingencies

The Directors are not aware of any contingent liabilities that may arise from the Company's operations as at 30 June 2013.

NOTE 23: SUBSEQUENT EVENTS

No matter or circumstance has arisen since the end of the financial year which significantly affected or may significantly affect the operations of the Group, the results of those operations or the state of affairs of the Group in subsequent financial years.

NOTE 24: CONTINGENT LIABILITIES

The Directors are not aware of any contingent liabilities that may arise from the Group's operations as at 30 June 2013.

Independent auditor's report to the members of Radar Iron Ltd

Report on the financial report

We have audited the accompanying financial report of Radar Iron Ltd, which comprises the consolidated statement of financial position as at 30 June 2013, the consolidated statement of profit or loss and other comprehensive income, the consolidated statement of changes in equity and the consolidated statement of cash flows for the year then ended, notes comprising a summary of significant accounting policies and other explanatory information and the directors' declaration of the consolidated entity comprising the Company and the entities it controlled at the year's end or from time to time during the financial year.

Directors' responsibility for the financial report

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

In Note 2, the directors also state, in accordance with Accounting Standard AASB 101 Presentation of Financial Statements, that the financial report, comprising the financial statements and notes, complies with International Financial Reporting Standards as issued by the International Accounting Standards Board.

Auditor's responsibility

Our responsibility is to express an opinion on the financial report based on our audit. We conducted our audit in accordance with Australian Auditing Standards. Those standards require that we comply with relevant ethical requirements relating to audit engagements and plan and perform the audit to obtain reasonable assurance whether the financial report is free from material misstatement.

An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the financial report. The procedures selected depend on the auditor's judgement, including the assessment of the risks of material misstatement of the financial report, whether due to fraud or error. In making those risk assessments, we consider internal controls relevant to the entity's preparation and fair presentation of the financial report in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the entity's internal controls. An audit also includes evaluating the appropriateness of accounting policies used and the reasonableness of accounting estimates made by the directors, as well as evaluating the overall presentation of the financial report.

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

Independence

In conducting our audit, we have complied with the independence requirements of the Corporations Act 2001.

Opinion

In our opinion:

(a) the financial report of Radar Iron Ltd is in accordance with the Corporations Act 2001, including:

(i) giving a true and fair view of the consolidated entity's financial position as at 30 June 2013 and of its performance for the year ended on that date; and
(ii) complying with Australian Accounting Standards (including the Australian Accounting Interpretations) and the Corporations Regulations 2001; and
(b) the consolidated financial report also complies with International Financial Reporting Standards as disclosed in Note 2.

Report on the remuneration report

We have audited the remuneration report included in the directors' report for the year ended 30 June 2013. The directors of the Company are responsible for the preparation and presentation of the remuneration report in accordance with Section 300A of the Corporations Act 2001. Our responsibility is to express an opinion on the remuneration report, based on our audit conducted in accordance with Australian Auditing Standards.

Opinion

In our opinion, the remuneration report of Radar Iron Ltd for the year ended 30 June 2013, complies with Section 300A of the Corporations Act 2001.

Nexia Perth Audit Services Pty Ltd

PTC Klopper Director

27 September 2013 Perth

ASX ADDITIONAL INFORMATION

Additional information required by the ASX Limited Listing Rules not disclosed elsewhere in this Annual Report is set out below.

SHAREHOLDINGS

The issue capital of the Company at 25 September 2013 is 81,340,070 ordinary fully paid shares. All ordinary shares carry one vote per share.

TOP 20 SHAREHOLDERS AS AT 25 SEPTEMBER 2013

		No. of
		Shares Held	% Held
1	POTASH MINERALS LTD	22,690,612	27.90%
2	SHINEWARM RES HK GRP LTD	10,000,000	12.29%
3	BOND STREET CUSTS LTD	4,382,539	5.39%
4	JONCA INV PL	3,000,990	3.69%
5	PLOUGH LANE SUPER PL	2,110,000	2.59%
6	BOND STREET CUSTS LTD	1,774,572	2.18%
7	NBT PL	1,648,400	2.03%
8	VASSALLO JOHN C + J K	1,630,359	2.00%
9	PG BINET PL	800,000	0.98%
10	P G BINET NO 6 PL	700,000	0.86%
11	BIZMARK PL	690,000	0.85%
12	LIBERTINE INV PL	638,480	0.78%
13	WATERSON MATHEW ANTHONY	552,726	0.68%
14	MUNDAWEIRA PL	540,000	0.66%
15	SPAN NOM PL	519,981	0.64%
16	CRAOE INV PL	500,000	0.61%
17	NBT PL	500,000	0.61%
18	ZEBON TWO PL	491,500	0.60%
19	ZHANG RU XIA + MA WENJIN	446,000	0.55%
20	J & M BINET PL	436,667	0.54%
		54,052,826	66.43%

Shares Range	No. of Holders	No. of Shares
1 – 1,000	20	4,837
1,001 – 5,000	107	359,624
5,001 – 10,000	72	613,964
10,001 – 100,000	265	10,363,551
100,001 and over	96	69,998,094
	560	81,340,070
Number holding less than a marketable parcel
at \$0.025 per share	253	1,728,663
Shareholders by Location	No. of Holders	No. of Shares
Australian holders	548	70,816,872
Overseas holders	12	10,486,948
	560	81,340,070

VOTING RIGHTS

In accordance with the Company's Constitution, on a show of hands every shareholder present in person or by proxy, attorney or representative of a shareholder has one vote and on a poll every shareholder present in person or by proxy, attorney or representative of a shareholder has in respect of fully paid shares, one vote for every share held. No class of option holder has a right to vote, however the shares issued upon exercise of options will rank pari passu with the then existing issued fully paid ordinary shares.

ASX ADDITIONAL INFORMATION (CONTINUED)

SUBSTANTIAL SHAREHOLDERS AS AT 25 SEPTEMBER 2013

		No. of Shares
		Held	% Held
1	POTASH MINERALS LTD	22,690,612	27.90%
2	SHINEWARM RES HK GRP LTD	10,000,000	12.29%
3	BOND STREET CUSTS LTD	4,382,539	5.39%
		37,073,151	45.58%

OPTION HOLDINGS

The Company has the following classes of options on issue at 25 September 2013 as detailed below. Options do not carry any rights to vote.

Class		Terms	No. of Options
RAD-1	Unlisted Options	Exercisable at \$0.25 expiring on or before 30 Nov 2013	20,375,000
RAD-2	Unlisted Options	Exercisable at \$0.30 expiring on or before 31 May 2014	2,375,000
RAD-3	Unlisted Options	Exercisable at \$0.45 expiring on or before 31 July 2014	300,000

UNLISTED OPTIONS

Options Range		Unlisted Options
	No. of Holders	No. of Options
1 – 1,000	-	-
1,001 – 5,000	-	-
5,001 – 10,000	-	-
10,001 – 100,000	8	575,000
100,001 and over	25	22,475,000
	33	23,050,000
Shareholders by Location
Australian holders	33	23,050,000
Overseas holders	-	-
	33	23,050,000

The following Option holders hold more than 20% of a particular class of the Company's Unlisted Options.

	Unlisted Options
Holder	RAD-1	RAD-2	RAD-3
POTASH MINERALS LTD	12,000,000	-	-
MR JONATHAN LEA & MRS JULIA GLEESON	-	1,000,000	-
ANANDA KATHIRAVELU	-	500,000	-
GAMMA CORPORATION PTY LTD	-	500,000	-
MR DALE CHRISTOPHER ROSS POWELL	-	-	100,000
MR PHILLIP LAURENCE WINGATE	-	-	100,000

RESTRICTED SECURITIES

There are no securities subject to restriction.

SCHEDULE OF MINING TENEMENTS

As at the date of this report, Radar Iron Ltd has an interest in the following tenements:

Project	Tenement	Location	Interest held	Status
Copper Bore	E77/1375	Western Australia	62% of Fe Rights	Granted

Boondine	E77/1320	Western Australia	100% of Fe Rights	Granted
	E77/1474	Western Australia	100% of Fe Rights	Granted
	E77/1490	Western Australia	100% of Fe Rights	Granted
	E77/1630	Western Australia	100% of Fe Rights	Granted
	E77/1650	Western Australia	100% of Fe Rights	Granted
	P77/3808	Western Australia	100% of Fe Rights	Granted
	P77/3809	Western Australia	100% of Fe Rights	Granted
	P77/3810	Western Australia	100% of Fe Rights	Granted
	P77/3811	Western Australia	100% of Fe Rights	Granted
	P77/3812	Western Australia	100% of Fe Rights	Granted
	P77/3900	Western Australia	100% of Fe Rights	Granted
	P77/3902	Western Australia	100% of Fe Rights	Granted
	M77/962	Western Australia	100% of Fe Rights	Granted
Die Hardy	E77/1164	Western Australia	100% of Fe Rights	Granted
	E77/1168	Western Australia	100% of Fe Rights	Granted
	P77/3458	Western Australia	100% of Fe Rights	Granted
	P77/3459	Western Australia	100% of Fe Rights	Granted
	P77/3460	Western Australia	100% of Fe Rights	Application
	P77/3461	Western Australia	100% of Fe Rights	Application
	P77/3462	Western Australia	100% of Fe Rights	Application
Evanston	E77/1196	Western Australia	100% of Fe Rights	Granted
	E77/1505	Western Australia	100% of Fe Rights	Granted
	E77/1741	Western Australia	100% of Fe Rights	Granted
	P77/3830	Western Australia	100% of Fe Rights	Granted
Jackson	E77/1424	Western Australia	100% of Fe Rights	Granted
	E77/1427	Western Australia	100% of Fe Rights	Granted
	E77/1488	Western Australia	100% of Fe Rights	Granted
	E77/1496	Western Australia	100% of Fe Rights	Granted
	E77/1497	Western Australia	100% of Fe Rights	Granted
	E77/1498	Western Australia	100% of Fe Rights	Granted
	E77/1499	Western Australia	100% of Fe Rights	Granted
	E77/1500	Western Australia	100% of Fe Rights	Granted
	E77/1659	Western Australia	100% of Fe Rights	Granted
	E77/1766	Western Australia	100% of Fe Rights	Granted
	P77/3801 P77/3802	Western Australia Western Australia	100% of Fe Rights 100% of Fe Rights	Granted Granted
	P77/3868	Western Australia	100% of Fe Rights	Granted
	P77/3898	Western Australia	100% of Fe Rights	Granted
	P77/3899	Western Australia	100% of Fe Rights	Granted
	P77/3903	Western Australia	100% of Fe Rights	Granted
	P77/3936	Western Australia	100% of Fe Rights	Granted
	P77/3978	Western Australia	100% of Fe Rights	Application
	P77/3979	Western Australia	100% of Fe Rights	Application
	P77/3994	Western Australia	100% of Fe Rights	Application
	M77/394	Western Australia	100% of Fe Rights	Granted
	M77/646	Western Australia	100% of Fe Rights	Granted
	M77/931	Western Australia	100% of Fe Rights	Granted
	G77/35	Western Australia	100% of Fe Rights	Granted

SCHEDULE OF MINING TENEMENTS (CONTINUED)

Project	Tenement	Location	Interest held	Status
Johnston Range	E77/1280	Western Australia	100% of Fe Rights	Granted
	E77/1281	Western Australia	100% of Fe Rights	Granted
	E77/1807	Western Australia	100% of Fe Rights	Application
	E77/1423	Western Australia	100% of Fe Rights	Granted
	E77/1566	Western Australia	100% of Fe Rights	Granted
	E77/1699	Western Australia	100% of Fe Rights	Granted
	P77/3813	Western Australia	100% of Fe Rights	Granted
	P77/3816	Western Australia	100% of Fe Rights	Granted
	P77/3817	Western Australia	100% of Fe Rights	Granted
	P77/3907	Western Australia	100% of Fe Rights	Granted
	P77/3908	Western Australia	100% of Fe Rights	Granted
	P77/3967	Western Australia	100% of Fe Rights	Granted
Windarling Peak	P77/3412	Western Australia	100% of Fe Rights	Granted
	E77/3413	Western Australia	100% of Fe Rights	Granted
	P77/3414	Western Australia	100% of Fe Rights	Granted
	P77/3552	Western Australia	100% of Fe Rights	Granted

AI assistant

WEEBIT NANO LTD — Annual Report 2013

66042_rns_2013-09-29_e5e0f83b-46ca-44e0-9fc2-2d44d5f8dfd1.pdf

ANNUAL REPORT

CONTENTS

CORPORATE INFORMATION

Auditors: RAD

Bankers:

Solicitors - Perth:

Directors: Registered & Principal Office:

Postal Address:

Company Secretary: Home Stock Exchange:

ASX Code:

LETTER FROM THE CHAIRMAN

DIRECTORS' REPORT

DIRECTORS

EXPERIENCE AND EXPERTISE

OTHER CURRENT DIRECTORSHIPS OF LISTED COMPANIES Nil

Jonathan Lea - Managing Director

EXPERIENCE AND EXPERTISE

Ananda Kathiravelu – Non-Executive Director

EXPERIENCE AND EXPERTISE

Ananda Kathiravelu – Non-Executive Director

EXPERIENCE AND EXPERTISE (CONTINUED)

OTHER CURRENT DIRECTORSHIPS OF LISTED COMPANIES

COMPANY SECRETARY

Damon Sweeny (appointed 15 August 2013)

Phillip Wingate (resigned 15 August 2013)

PRINCIPAL ACTIVITIES

RESULTS

DIVIDENDS

OPERATING AND FINANCIAL REVIEW

Overview

Exploration to September 2013

Yilgarn Project

Hematite Targets

Project Studies

YIPA Studies

Magnetite Targets

Project Generation

Corporate Activities

Financial Position

SIGNIFICANT CHANGES IN THE STATE OF AFFAIRS

SIGNIFICANT EVENTS AFTER THE BALANCE DATE

ENVIRONMENTAL REGULATION

INDEMNIFICATION AND INSURANCE OF DIRECTORS AND OFFICERS

DIRECTORS' INTERESTS IN THE SHARES AND OPTIONS OF THE COMPANY

MEETINGS OF DIRECTORS

REMUNERATION REPORT (AUDITED)

REMUNERATION REPORT (AUDITED) (CONTINUED)

Key Management Personnel

Remuneration Policy

Remuneration Structure

Non-Executive Director Remuneration

Executive Remuneration

Fixed Remuneration

REMUNERATION REPORT (AUDITED) (CONTINUED)

Variable Remuneration

Service Contracts

REMUNERATION REPORT (AUDITED) (CONTINUED)

J Lea, Managing Director

Remuneration of Directors and Executives

Key management personnel of Radar Iron Limited

PROCEEDINGS ON BEHALF OF THE COMPANY

LIKELY DEVELOPMENTS AND EXPECTED RESULTS

SHARE OPTIONS

Shares under Option

AUDITOR'S INDEPENDENCE DECLARATION

AUDITOR

AUDIT SERVICES

THE BOARD OF DIRECTORS

INDEPENDENCE

APPOINTMENTS TO OTHER BOARDS

INDEPENDENT PROFESSIONAL ADVICE

GENDER DIVERSITY

CONTINUOUS REVIEW OF CORPORATE GOVERNANCE

CODE OF CONDUCT

RISK MANAGEMENT SYSTEMS

RISK MANAGEMENT SYSTEMS (CONTINUED)

ASX PRINCIPLES OF GOOD CORPORATE GOVERNANCE

WEEBIT NANO LTD Annual Report 2013