ARGENT MINERALS LIMITED
A.B.N. 89 124 780 276
ANNUAL REPORT
FOR THE YEAR ENDED
30 JUNE 2022
TABLE OF CONTENTS
OPERATIONS REVIEW
DIRECTORS(cid:146) REPORT
LEAD AUDITOR(cid:146)S INDEPENDENCE DECLARATION
CONSOLIDATED STATEMENT OF PROFIT OR LOSS AND OTHER COMPREHENSIVE INCOME
CONSOLIDATED STATEMENT OF FINANCIAL POSITION
CONSOLIDATED STATEMENT OF CHANGES IN EQUITY
CONSOLIDATED STATEMENT OF CASH FLOWS
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
DIRECTORS' DECLARATION
INDEPENDENT AUDITOR(cid:146)S REPORT
ADDITIONAL STOCK EXCHANGE INFORMATION
SCHEDULE OF MINERAL TENEMENTS
MINERAL RESOURCES AND ORE RESERVES STATEMENT
CORPORATE DIRECTORY
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Operation Review
NEW SOUTH WALES OVERVIEW
Argent Minerals Limited is an exploration company, listed on the Australian Securities Exchange, with its
present focus being the exploration of gold, silver and base metal projects in New South Wales and
Tasmania. The Company currently holds 15 Exploration Licence, totalling 1,920 km2 within the Lachlan
Fold Belt in NSW approximately 250km north-west of Sydney.
Figure 1 (cid:150) Argent Minerals Project Location Map highlighting all the known Gold- Base Metal Resources
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SUMMARY OF NEW SOUTH WALES EXPLORATION
Interpretation of the high-resolution multiple geophysics(cid:146) datasets by Core Geophysics over the Kempfield
Exploration Licence, identified new drill targets and potential extensions of the Kempfield VMS Deposit.
Extensive multiple IP, VTEM, Gravity, Radiometric, Magnetic and SAM zones of interest have been
identified (cid:150) they may represent blind mineralised areas.
The magnetic and radiometric data display significant anomalies associated to the known mineralised
zones and provide untested targets for follow up investigation. The magnetic data also highlight major
structures NNW of the Kempfield Deposit which appear potentially to control the mineralisation. Other
areas of strong prospectivity includes 1.3 km of strike over NNE of Quarry Mineralised Zone and 1.2km of
untested ground from the Sugarloaf area.
The second pass RC drill campaign was also completed over the Pine Ridge Gold Prospect totalling 21 RC
holes for 2,574m. The drill programme was designed to test the mineralisation along the historical structural
corridor defined by coincident historical gold workings. Drill results included Drillhole APRC048: 6m @ 10.52
g/t Au from 60m, Drillhole APRC044: 6m @ 3.67 g/t Au from 64m, Drillhole APRC035: 34m @ 2.03 g/t Au
from 99m, Drillhole APRC039: 13m @ 3.20 g/t Au from 56m and Drillhole APRC040: 9m @ 2.12 g/t Au from
11m. As part of the work completed, an Independent Maiden JORC 2012 Inferred Mineral Resource for the
Pine Ridge Deposit yielded 419,887t @ 1.65 g/t Au containing 22,122 oz Gold.
Based on the current mineralised model, the Pine Ridge Deposit has a strike length over 200m by 85m in
width and extends down 145 vertical metres with mineralisation remaining open to the north and at depth.
All mineralisation is hosted within the Box Ridge Volcanic Member, particularly within the basalt lithology.
Mineralisation envelopes of gold vary from 1m up to 17m true thickness with the gold mineralisation striking
in NNE/SSW direction.
Interpretation of the high-resolution magnetics by Core Geophysics has also defined identified several
potential Cu-Au porphyry targets within the Pine Ridge Project area. A total of nine (9) target areas have
been selected within the Pine Ridge Project based on the magnetic and radiometric responses. Exploration
targets include:
o Possible undiscovered porphyry intrusive system.
o An uncharacteristically shaped unit in the centre of the syncline appears to be strongly
deformed with potential for brittle deformation (potential site of hydrothermal fluid
deposition).
o A prominent hill with an elevated potassium response presented as a possible porphyry
intrusive core.
The Trunkey Creek Project has over 10 gold prospect areas with an extensive array of shallow workings
striking in an NNE direction. The completion re-interpretation of historical Induced Polarisation (IP) traverse
over Trunkey Creek Project resulted in significant chargeable (detects sulphides) and resistive (detects
quartz/silica zones) IP anomalies. The resistive trends may represent silica rich veins prospective for gold
mineralisation at Trunkey Creek. The gold mineralisation is reportedly associated with sulphides in the
quartz veins which should return chargeable responses where present.
The new inversion model delineated three distinct resistive/chargeable zones (Northern, Central, Southern).
Sub-parallel main quartz reefs are spaced 30m to 50m apart over a strike length of 2 km. The distribution
of shafts along the reef indicates two main centres of mineralisation.
Grades have been estimated to be between 12g/t and 20 g/t Au based on historical mining records. Some
grades at depth yield close to 3 oz/t from ore quartz and mullock ran 3.3 g/t Au. Limited rock chip sampling
from CRA across numerous quartz vein lodes have yielded high grade gold assays varying from 2.68 g/t Au
to 123 g/t Au.
Overall, the ground IP survey has delineated High Resistivity Zones within a 3.8 km length by 500m wide
area with IP anomalies coinciding with historical gold workings. All high resistivity zones remain untested by
drilling and are considered to have excellent potential to host significant shallow high grade gold
mineralisation.
SIGNIFICANT NEW GEOPHYSICS TARGETS OVER KEMPFIELD PROJECT
The Kempfield Ag-Pb-Zn-Au-Cu Deposit is located 45km SSW of Blayney and 8km west of Trunkey Creek
in New South Wales. The Kempfield area first became known for barite mining which commenced in 1918
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and continued periodically until the Geological Survey of NSW undertook mapping from 1971. Mineralisation
is of Volcanogenic Massive Sulphide type comprising stratiform barite-rich horizons with silver, lead, zinc
and +/- gold. The Exploration Licence 5645 is 100% owned and operated by Argent Pty Ltd a wholly owned
subsidiary of Argent Minerals Limited.
The company engaged Core Geophysics Pty Ltd to consolidate and collate all relevant and available
geophysical surveys into a common GIS platform (QGIS) and to delineate ground drill targets for testing.
Although the area has a long history of exploration and mining the area is relatively underexplored SSW
and NNE of the current Kempfield Resource area.
Based on the current geophysical review further previously unidentified target areas have been located
proximal to the Colossal Reef Mine area and east of the known BJ zone and Quarries mineralised areas.
The interpretation of airborne and ground geophysical datasets identified several potential Au-Ag-Cu-Pb-
Zn targets. These targets are also presented and are summarised in Figures 3 to 5.
The standout geochemical exploration target is located in between the Gully Swamp Mine and the Sugarloaf
zone. Extensive barite outcrops coincide with a large silver-load geochemical anomaly which remains
completely untested by drilling. This represents a high priority drill target and will be systematically explored
in early 2022 (Refer to Figure 2).
Figure 2 (cid:150) Location of barite outcrops vs the known JORC Mineralised Shells coinciding with surface
geochemical zones and untested geochemical anomalies
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Strong untested gravity anomaly is located to the SSW area between the McCarron North and Quarries
mineralised areas (cid:150) this extensive area will further investigate through drilling. Also, three (3) linear zones are
situated SSW from the McCarron zone and South Conglomerate areas which represent walk-up drill targets (Refer
to Figure 3). A possible source of the gravity anomalism could be due to known near surface accumulations of
barite.
Figure 3 (cid:150) Location of Extensive Untested Gravity Zone vs the known JORC Mineralised Shells
The Total Magnetic Intensity image highlights (cid:147)bulls(cid:146) eye(cid:148) magnetic anomalies south and west of the main deposit.
Many magnetic anomalies within magnetic structures have been interpreted as drilling targets and could represent
hydrothermal fluids zones (potential base-metal mineralisation) (Refer to Figure 4). Situated NNW of the Kempfield
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deposit, a large zone interpreted as a regional structure (2km by 200m) could have been the catalyst of the VMS
mineralisation over Kempfield.
Figure 4 (cid:150) Location of Untested Magnetic Zones and Potential Mineralised Structures over known JORC
Mineralised Shells
The SAM (MMR) surveys highlight responses to known mineralised zones as well as faults over the Kempfield
Deposit. The MMR also clearly maps the major barite lenses as distinct resistivity lows (e.g., in Lens 1 - BJ Ore
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zone). The MMR surveys identified several magnetometric conductivity (MMC) zones considered to be anomalies
located west of existing mineralisation in the volcanic/volcanoclastic sequence. The flanks of the MMC highs are
considered as target areas as these provide the best correlation to the known ore lenses. Of the surveys
completed IP, has been reported to have been the most effective for delineating ore lenses. This is primarily based
on the shallow, pre-1990 surveys, with the more recent 2010 survey providing broad and deeper targets which
are relatively untested. The VTEM survey defined several discrete anomalies which requires follow up. High
resolution heli-magnetic and radiometric data display significant anomalies associated to the known mineralised
zones and provide untested targets for follow up investigation. The magnetic data also highlights major structures
which appear to control the mineralisation.
Figure 5 (cid:150) Location of Untested SAM, Radiometric, IP and VTEM Zones over known JORC Mineralised Shells
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Operation Review
RC DRILLING OVER PINE RIDGE GOLD PROJECT
The Pine Ridge Exploration Licence (EL) 8213, located in an undulating region of the Central Tablelands in
New South Wales (NSW), approximately 65 kilometres south of the township of Bathurst and 10 km south-
west of Trunkey. The Exploration Licence 8213 is 100% owned and operated by Argent (Kempfield) Pty Ltd
a wholly owned subsidiary of Argent Minerals Limited.
The actual Pine Ridge Gold Mine commenced mining in 1877 and continued sporadically until 1948,
producing a total of 6,864t ore with variable gold grades. Mining was originally conducted by open cut
workings and then subsequently by underground workings which consisted of 2 shafts up to 20m deep,
small open cut pits, an adit and underground drives in a zone that extended over 300m.
The second pass RC drill campaign was completed over the Pine Ridge Gold Prospect totalling 21 RC
holes for 2,574m. The drill programme was designed to test the strike historical high-grade targets within a
broad gold mineralisation structural corridor defined by coincident historical gold. Significant intersections
included:
Drillhole APRC048: 6m @ 10.52 g/t Au from 60m
Drillhole APRC044: 6m @ 3.67 g/t Au from 64m
Drillhole APRC035: 34m @ 2.03 g/t Au from 99m
Drillhole APRC039: 13m @ 3.20 g/t Au from 56m
Drillhole APRC040: 9m @ 2.12 g/t Au from 11m
Figure 6 (cid:150) Significant thicker mineralization open to the north with and at depth in drill holes APRC 036 and
APRC 037
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Figure 7 (cid:150) Significant thicker mineralization open to the east requiring at depth and significant thick intersections
and higher grades in APRC040
The mineralisation has been described as a series of mineralised zones (sub-parallel) of highly weathered
porphyrite separated by phyllite up to 75m wide that contained gold bearing quartz veins. Gold
mineralisation is associated with strongly sheared volcaniclastics and strong quartz-carbonate-sericite-
pyrite alteration. The gold mineralisation trends roughly N-S over a strike distance of 200m by 85m in width
and dips steeply at 80o to the west. To date, all holes encountered quartz veining hosted within a volcanic
unit (basalt).
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Figure 8 (cid:150) Showing mineralization open at depth and significant thick intersections with higher grades to the
east and open at depth with further extension drilling requirement
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Figure 9 (cid:150) Drill Plan highlighting all Historic and Current Drillholes with significant Gold Intercepts
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Operation Review
MAIDEN JORC RESOURCE OVER PINE RIDGE GOLD PROJECT
The Resource was independently estimated by Odessa Resources Pty Ltd (Perth). The estimate has been
produced by using Leapfrog Edge software to produce wireframes of the various mineralised lode systems
and block grade estimation using an ordinary kriging interpolation.
The Independent Maiden JORC 2012 Inferred Mineral Resource for the Pine Ridge Deposit has yielded
419,887t @ 1.65 g/t Au containing 22,122 oz Gold. Pine Ridge Gold Deposit current mineralised model
has a strike length over 200m by 85m in width and extending down 145 vertical metres with mineralisation
remaining open to the north and at depth. All mineralisation is hosted within the Box Ridge Volcanic Member,
particularly within the basalt lithology.
The Resource has been classified as a global Inferred based on historical drill results. The future infill drilling
will support further increase in the resource classification. The database includes both historic and recent
drilling completed in 1993 by Gold Rim Exploration Pty Ltd and from 2019-21 by Argent respectively totalling
5,412.5m in 54 holes:
6 NQ diameter diamond holes for 812.5m
48 reverse circulation holes for 4,600m
5,227 drill assay results
Figure 10 (cid:150) 3D Model highlighting the Mineralised Lodes within Pine Ridge Deposit looking NE Direction
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Figure 11 (cid:150) Typical longitudinal section looking east (purple/red colours show high grade gold zones)
PINE RIDGE GOLD GEOPHYSICS REVIEW
Interpretation of the high-resolution magnetics by Core Geophysics has defined identified several potential
Cu-Au porphyry targets. Although the area has a long history of exploration and mining the area is relatively
underexplored at depth. The only work thus conducted has always concentrated around the Pine Ridge
Gold Mine area and a small portion of strike to the south (completed by Argent Minerals Ltd).
Nine (9) target areas have been selected within the Pine Ridge Project based on the magnetic and
radiometric responses. Exploration targets include:
o Possible undiscovered porphyry intrusive system.
o Thorium anomaly surrounded by a potassium halo presented as a possible intrusive.
o An uncharacteristically shaped unit in the centre of the syncline appears to be strongly
deformed with potential for brittle deformation (potential site of hydrothermal fluid
deposition).
o A prominent hill with an elevated potassium response presented as a possible porphyry
intrusive core.
o Several zones of magnetic depletion align with faults indicating potential weathering,
hydrothermal alteration or magnetite replacement.
Processing and modelling of the magnetic data have shown the exploration licence is dominated by a strong
north striking linear feature which exhibits a high frequency north-easterly fracture pattern that follows the
larger tectonic structural grain. These corridors appear to be magnetically destructive (Figure 2). An
interpretation of structural and litho-magnetic boundaries is presented in Figure 12. This map outlines the
major geological boundaries based on discernable susceptibility contrasts in magnetic data.
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Figure 12 (cid:150) Regional AMAG Interpretation with Newley Defined Exploration Targets
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The interpretation of airborne geophysical data has identified several potential Cu-Au porphyry targets. Other
target styles are also presented and are summarised in Table 1 and from Figures 12 to 13.
Target
Id
T1
T2
T3
T4
T5
T6
T7
T8
T9
GDA94
East
710950
710930
711000
710950
709080
708780
708740
711180
710860
Table 1 - Priority Targets Requiring Ground Reconnaissance
GDA94
North
Comment
6240600
The interpreted core of a porphyry intrusive
6241800
6241390
Thorium high with potassium halo (cid:150) possible intrusive
Thorium high (cid:150) possible intrusive
6241200
Loss of magnetism along magnetic unit at the margin of intrusive
6243220
6240100
Hill with a strong potassium response (cid:150) possible intrusive
Loss of magnetism closely aligned with NE fault set
6240940
Loss of magnetism at a complex structural intersection
6244760
A strong loss of magnetism aligns with faulting
6241980
Unusual deformation pattern at the core of syncline
Figure 13 (cid:150) Regional AMAG Tilt Images highlighting all Newley Defined Geophysical Walk-Up Targets
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Operation Review
TRUNKEY CREEK GOLD PROJECT GEOPHYSICS REVIEW
The Trunkey Creek Project (EL5748 (cid:150) total area 59.7 km2) is located over the township of Trunkey
approximately 38km southwest of Bathurst in NSW. Access to the licence is via bitumen roads from Bathurst
or via bitumen and dirt roads from Blayney. The areas were first discovered in 1851 and worked from 1852
to 1880, and then again from 1887 to 1908. By 1873 there were 2,500 people at Trunkey and nearby Tuena
with many rich veins being mined for gold.
The Trunkey Creek Mineral Field extends for 5.5 km by 500 m wide with over 2,900 oz of gold extracted
from small scale mining. The project area has over 10 gold prospect areas with an extensive array of shallow
workings striking in an NNE direction. Very limited RC drilling has been completed over the historic mined
area with the results yielding shallow high-grade mineralisation along the Mervyn Henrys Mine, delineating
gold drill results of 2m @ 33.05 g/t Au from 6m. Limited rock chip sampling from CRA across numerous
quartz vein lodes have also yielded high grade gold assays varying from 2.68 g/t Au to 123 g/t Au from
surface.
Core Geophysics Pty Ltd was engaged by the Argent to complete a re-interpretation of the Gradient Array
IP survey conducted over the Trunkey Creek Project by Golden Cross Operation Pty Ltd in 1996. The
survey was centred over the historic Trunkey Creek mining field over a 4km by 1.3km area. Resistivity
readings were carried out on 100m spaced lines and 20m stations, with chargeability collected on 200m
spaced lines and 20m stations.
The re-interpretation of historical Induced Polarisation (IP) traverse over Trunkey Creek Project resulted
in significant chargeable (detects sulphides) and resistive (detects quartz/silica zones) IP anomalies. The
ground IP survey delineated high resistivity zones within a 3.8 km length by 500m wide area with IP
anomalies coinciding with historical gold workings.
The new inversion model also delineated three distinct resistive/chargeable zones (Northern, Central,
Southern). All high resistivity zones remain untested by drilling and are considered to have excellent
potential to host significant shallow high grade gold mineralisation.
One of the strongest chargeability responses is semi-coincident with the resistivity anomaly which lies
immediately east of the township (Refer to Figure 15 (cid:150) Chargeability Anomaly 2). Another 2 strong
chargeability responses are evident at the southern boundary and in the north-west of the survey area
also (Refer to Figure 15). Additional lower order zones are evident which provide some correlation to the
historical mining operations workings.
Coincident resistive and chargeable anomalies and trends represent priority targets for follow up
investigations. A total of six (6) high priority IP targets have been delineated for drill testing (cid:150) these have
a good correlation to historical gold workings.
Several discrete linear resistivity trends are evident which provide some correlation to the historical mining
operations. The resistive trends may represent silica rich veins prospective for gold mineralisation at
Trunkey Creek. The gold mineralisation is reportedly associated with sulphides in the quartz veins which
should return chargeable responses where present.
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Figure 14 - Trunkey Creek Location Map showing the Regional Geology and nearby Mineral occurrences
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Figure 15 - Trunkey Creek Project area highlighting Chargeability/Resistivity IP Anomalies
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Previous Disclosure (cid:150) 2022 JORC Code
This Annual Report contains information extracted from ASX market announcements reported in
accordance with the 2012 edition of the (cid:147)Australasian Code for Reporting of Exploration Results, Mineral
Resources and Ore Reserves(cid:148) (2012 JORC Code). Further details (including 2012 JORC Code reporting
tables where applicable) of exploration results referred to in this Annual Report can be found in the following
announcements lodged on the ASX:
19 July 2021
MinRex Takes over Argent(cid:146)s Sunny Corner Farm-In Rights
27 July 2021
Significant New Drill Results Pine Ridge Historic Gold Mine
19 August 2021
More High-Grade Gold Intersections at Pine Ridge
7 October 2021
Drilling Re-Starts at Pine Ridge
Kempfield New Multiple Geophysics Targets Upgrades Project 10 March 2022
28 March 2022
Pine Ridge Geophysics Data Review
20 April 2022
Pine Ridge Inferred Resource
31 May 2022
New Gold Drill Targets Identified at Trunkey Creek
Copies of reports are available to view on the Company(cid:146)s website www.argentminerals.com.au. These
reports were issued in accordance with the 2012 Edition of the JORC Australasian Code for Reporting of
Exploration Results, Mineral Resources and Ore Reserves. The Company confirms that it is not aware of
any new information or data that materially affects the information included in the original market
announcements.
Competent Persons Statement:
The information in this report that relates to Exploration Targets and Exploration Results is based on
information compiled by Pedro Kastellorizos. Mr. Kastellorizos is Managing Director of Argent Minerals
Limited and a Member of the AusIMM of whom have sufficient experience relevant to the styles of
mineralisation under consideration and to the activity being reported to qualify as a Competent Person as
defined in the 2012 Edition of the Australasian Code for Reporting of Exploration Targets, Exploration
Results and Mineral Resources. Mr. Kastellorizos have verified the data disclosed in this release and
consent to the inclusion in this release of the matters based on the information in the form and context in
which it appears.
The information in this report that relates to Mineral Resources is based on information compiled and
reviewed by Mr. Alfred Gillman, Director of independent consulting firm, Odessa Resource Pty Ltd. Mr.
Gillman is a Fellow and Chartered Professional of the Australasian Institute of Mining and Metallurgy (the
AusIMM) and has sufficient experience relevant to the styles of mineralisation under consideration and to
the activity being reported to qualify as a Competent Person as defined in the 2012 Edition of the
Australasian Code for Reporting of Mineral Resources. Mr Gillman is a full-time employee of Odessa
Resource Pty Ltd, who specialises in mineral resource estimation, evaluation, and exploration. Neither Mr
Gillam nor Odessa Resource Pty Ltd holds any interest in Argent Minerals Limited, its related parties, or in
any of the mineral properties that are the subject of this announcement. Mr Gillman consents to the
inclusion in this ASX release of the matters based on information in the form and context in which it appears.
Additionally, Mr Gillman confirms that the entity is not aware of any new information or data that materially
affects the information contained in the ASX releases referred to in this report.
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Operation Review
EL5964 AGREEMENT WITH MINREX RESOURCES LIMITED
Subsequent to Argent entering into a Joint-Venture Heads of Agreement with Sunshine Reclamation Pty
Ltd (SRP) and its wholly owned subsidiary Sunny Silver Pty Ltd, Argent entered into an Option Agreement
with MinRex Resources Limited (ASX: MRR) in relation to its Joint Venture interest in Lachlan Fold Belt
exploration licence EL5964 (Sunny Corner). The option was exercised by MinRex Resources Limited.
Upon the option being exercised, Argent has received:
1. Reimbursement of $100,000 (paid in MRR shares) to SRP under the Sunny Corner Joint Venture
Binding Heads of Agreement.
2. 80 million fully paid ordinary shares in MRR payable, subject to MinRex shareholder approval, upon
completion of the following milestones:
a. 25 million shares on execution of the Joint Venture Agreement on terms acceptable to
MRR (yet to be issued); and
b. 25 million shares upon access being granted to the Tenement for drilling including the
receipt of all approvals, consents and authorisations from the Regulator and any
associated landowners (yet to be issued); and
c. 30 million shares upon MRR (or its nominee) acquiring legal title to the Tenement and a
90% beneficial interest in the Tenement (issued on 17 September 2021).
BOARD AND MANAGEMENT CHANGES
On 23 August 2021, Mr David Greenwood was appointed as Non-Executive Director of the Company and
Mr Stuart Till resigned as Non-Executive Director.
On 16 March 2022, Mr Pedro Kastellorizos was appointed as Chief Executive Officer of the Company. Mr.
George Karageorge stepped down from his role as Managing Director and CEO but remained on the board
as a Non-Executive Director.
As of the 1 June 2022, Mr Pedro Kastellorizos was appointed as Managing Director and CEO of the
Company.
On 20 May 2022, the Company appointed Mr Kavi Bekarma as Company Secretary, replacing Mr Daniel
Robinson.
CORPORATE GOVERNANCE STATEMENT
Argent Minerals Limited and the board support and adhere to the principles of corporate governance and
are committed to achieving and demonstrating the highest standards of corporate governance. Argent has
reviewed its corporate governance practices against the Corporate Governance Principles and
Recommendations (4th edition) published by the ASX Corporate Governance Council. The 2022 Corporate
Governance Statement is dated 30 September 2022 and reflects the corporate governance practices in
place throughout the 2022 financial year. The 2022 Corporate Governance Statement was approved by the
board on 30 September 2022. A description of the Group(cid:146)s current corporate governance practices is set
out
at
www.argentminerals.com.au/about/corporate-governance.
the Group(cid:146)s Corporate Governance Statement which
viewed
can
be
in
20
ARGENT MINERALS LIMITED
DIRECTORS(cid:146) REPORT
DIRECTORS(cid:146) REPORT
The names and particulars of the directors of the Group during the financial year and as at the date of this
report are as follows. Directors were in office for the entire period unless otherwise stated.
Board of Directors
George Karageorge BAppSc. Geology, MAusIMM
Non-Executive Director: from 16 March 2022.
Managing Director/Chief Executive Officer: Appointed 21 October 2019, reverted to Non-Executive
Director from 16 March 2022.
Mr Karageorge is a geologist and is a rare, base and precious metal exploration expert with over 25 years(cid:146)
experience in the mining sector. He has worked in senior technical and executive management roles for
exploration and mining companies across the globe, including Western Mining Corporation, ASARCO,
Anglo Gold Ashanti, Barrick Mines, Pilbara Minerals and Bluebird Battery Metals.
Mr Karageorge has had multiple management and technical roles as Project Geologist, Project Manager,
and most recently President and Chief Executive Officer of TSX listed company Bluebird Battery Metals.
He has extensive expertise in taking projects from exploration through to development and production
stages.
Mr Karageorge is best known for his role as the founding geologist and registered mine manager of lithium
producer, Pilbara Minerals Limited (ASX: PLS). He was instrumental in the discovery of the Pilbara Minerals
multi-Billion Dollar Pilgangoora Lithium and Tantalum Deposit. His role was paramount in developing the
project from the first drill hole through to the first Lithium Concentrate, taking the company into production
and growing it into a A$1.5B market cap mining company in less than 4 years.
In addition to his technical and corporate leadership roles, Mr Karageorge has occupied the position of
company director for a number of private, public listed and unlisted public companies over the last 30 years.
He holds a Bachelor Degree, BAppSc. (Geology) and is a senior member of the Australasian Institute of
Mining and Metallurgy (AUSIMM).
During the past three years, Mr Karageorge served on the board of the following listed companies:
Company
MinRex Resources Limited
Appointed
December 2020
Date of Resignation
Not Applicable
Peter Michael
Non-Executive Chairman
Appointed: 16 September 2015 (appointed to Non-Executive Chairman on 5 March 2021)
Mr Michael has over 20 years(cid:146) experience in the property sector encompassing the arrangement and
execution of commercial and residential property transactions, land development, construction and joint
venture operations utilising an extensive network of contacts throughout Australia.
Mr Michael is currently the Managing Director of a private aged care business, a private property
development business and privately-owned Real Estate Agency. He is also the Managing Director of a
private investment firm, based in Subiaco, specialising in developing resource exploration companies. He
is also a director of a not-for-profit group that specialises in delivering exercise programs for people with
diabetes in WA and Vanuatu.
During the past three years, Mr Michael has served on the board of the following listed companies:
Company
Western Yilgarn NL
Appointed
September 2021
Date of Resignation
Not Applicable
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ARGENT MINERALS LIMITED
DIRECTORS(cid:146) REPORT
Pedro Kastellorizos BSc. Geology, MAusIMM
Managing Director/Chief Executive Officer: Appointed CEO on 16 March 2022 and Managing Director
on 1 June 2022.
Mr Kastellorizos is a professional geologist with over 25 years(cid:146) experience in the exploration, mining and
the corporate sectors. He has worked within senior technical and executive board positions within Australia
and London, with vast experience in commodities such as precious metals, battery metals, base metals,
uranium, molybdenum, tungsten and industrial minerals. In 2009, Mr Kastellorizos founded Genesis
Resources Ltd (ASX: GES) and held other board positions including at Eclipse Metals Ltd (ASX: EPM),
Batavia Mining Ltd (ASX: BTV), Regency Mines plc and groups Exploration Manager for Tennant Creek
Gold Ltd and Thor Mining plc.
Mr Kastellorizos has a Bachelor of Science degree and is a Member of the Australasian Institute of Mining
and Metallurgy (MAusIMM).
During the past three years, he served on the board of the following listed companies:
Company
MinRex Resources Limited
Appointed
December 2020
Date of Resignation
Not Applicable
David Greenwood
Non-Executive Director
Appointed: 23 August 2021
Mr David Greenwood has an in-depth knowledge and more than 30 years(cid:146) broad-based experience in the
resources industry across a range of commodities including precious metals, base metals, industrial
minerals, mineral sands, and bulk commodities. Mr Greenwood was educated in the UK and has worked
internationally in the resources industry in exploration, production, marketing, business development and
investment analysis. Mr Greenwood was recently CEO at Godolphin Resources Listed (ASX: GRL) and
previously was Executive General Manager for Straits Resources Ltd (ASX: SRQ), where he was
responsible for exploration, marketing, corporate affairs, investor relations and investments. Mr Greenwood
has held board positions with a number of junior resource companies, including President (CEO) of
Goldminco Corporation, a previously listed Canadian exploration company with assets in the Lachlan Fold
Belt, NSW. Mr Greenwood is currently the Managing Director at Orange Minerals NL (ASX: OMX). Mr
Greenwood has specific expertise in resources evaluation and financing, from exploration through to mine
development, in addition to business development, minerals marketing and investor relations.
Company
Orange Minerals NL
Askari Metals Ltd
Appointed
August 2021
July 2021
Date of Resignation
Not Applicable
Sept 2022
Stuart Till BApp Sc. Geology, MAusIMM
Non-Executive Director
Appointed: 6 March 2020
Resigned: 23 August 2021
Mr Till has more than 35 years(cid:146) experience as a successful geologist in mineral exploration and mining for
numerous commodities including, but not limited to, precious metals, base metals and industrial minerals.
For the last 12 years, Mr Till has been a consultant and director to numerous companies. He has held roles
as an Exploration Manager with Thor Mining PLC & Consultant Chief Geologist with Tennant Creek Gold,
Davenport Resources, Orion Minerals, Bardoc Gold, and more recently Chief Geologist for Pilbara Minerals
during the DFS resource definition of the world class Pilgangoora Lithium deposit.
During the past three years he has not served on the board on any listed ASX companies.
22
ARGENT MINERALS LIMITED
DIRECTORS(cid:146) REPORT
Company Secretary
Kavi Bekarma BSc (Hons), MPA, CA
Appointed: 20 May 2022
Mr Bekarma is the Managing Director of TripleEight Corporate, a corporate accounting firm offering various
services for listed and non-listed companies in the mining, oil and gas, technology and bio-technology
sectors. Mr Bekarma is a Chartered Accountant of Australia and New Zealand, holds a Masters of
Professional Accounting and a Bachelor(cid:146)s Degree in Management with Information Systems.
DIRECTORS INTERESTS
At the date of this report, the Directors held the following interests in Argent Minerals Limited:
Name
Shares
P. Michael
3,297,195
Options/Performance Rights
5,000,000 Options
Option/Performance Rights Terms
(Exercise Price and Term)
$0.05 at any time up to 13 Dec 2024
1,500,000 Class A and 1,500,000
Class B Performance Rights
3,000,000 Options
See table below for Performance
Rights(cid:146) milestones
$0.05 at any time up to 13 Dec 2024
G. Karageorge
10,535,109
P. Kastellorizos
D. Greenwood
-
-
5,000,000 Class A, 5,000,000 Class
B, 2,000,000 Class C and 500,000
Class D Performance Rights
See table below for Performance
Rights(cid:146) milestones
-
1,000,000 Options
-
$0.05 at any time up to 13 Dec 2024
1,500,000 Class A and 1,500,000
Class B Performance Rights
See table below for Performance
Rights(cid:146) milestones
Performance Rights(cid:146) Milestones
UNISSUED SHARES UNDER OPTION
At the date of this report, unissued ordinary shares of the Company under option are:
Number
Exercise Price
Expiry Date
15,000,000
6,000,000
$0.031
$0.05
27 October 2022
13 December 2024
23
ARGENT MINERALS LIMITED
DIRECTORS(cid:146) REPORT
In the event that the employment of the option holder is terminated, any options which have not reached
their exercise period will lapse and any options which have reached their exercise period may be exercised
within two months of the date of termination of employment. Any options not exercised within this two-
month period will lapse. The persons entitled to exercise the options do not have, by virtue of the options,
the right to participate in a share issue of the Company or any other body corporate.
PRINCIPAL ACTIVITIES
The principal activity of the Group is mineral exploration of silver, lead, zinc, copper and gold in Australia.
RESULTS AND REVIEW OF OPERATIONS
The results of the Group for the financial year ended 30 June 2022 is a comprehensive loss after income
tax of $1,309,982 (2021: $2,110,006).
A review of operations of the Group during the year ended 30 June 2022 is provided in the (cid:145)Operations
Review(cid:146).
LIKELY DEVELOPMENTS AND EXPECTED RESULT OF OPERATIONS
The Group(cid:146)s focus over the next financial year will be on its key projects, Kempfield, West Wyalong and
Pine Ridge. Further commentary on planned activities in these projects over the forthcoming year is
provided in the (cid:145)Operations Review(cid:146). The Company will also assess new opportunities, especially where
these have synergies with existing projects.
ENVIRONMENTAL REGULATIONS
The Group is aware of its environmental obligations with regards to its exploration activities and ensures
that it complies with all regulations when carrying out exploration work.
DIVIDENDS PAID OR RECOMMENDED
The directors do not recommend the payment of a dividend and no amount has been paid or declared by
way of a dividend to the date of this report.
MEETING OF DIRECTORS
During the financial year, 5 meetings of directors were held. Attendances by each director during the year
were as follows:
Director
George Karageorge
Peter Michael
David Greenwood (appointed 23 Aug 2021)
Pedro Kastellorizos (appointed 1 Jun 2022)
Stuart Till (resigned 23 Aug 2021)
CHANGES IN THE STATE OF AFFAIRS
Directors(cid:146) Meetings
No. of Eligible
Meetings to Attend
No. of Meetings
Attended
5
5
4
1
-
5
5
4
1
-
There was no significant change in the state of affairs of the Group during the financial year.
24
ARGENT MINERALS LIMITED
DIRECTORS(cid:146) REPORT
ROUNDING OFF OF AMOUNTS
The Company is of a kind referred to in ASIC Corporations (Rounding in Financials/Directors(cid:146) Reports)
Instrument 2016/191 and consequently the amounts in the directors(cid:146) report and the financial statements
are rounded to the nearest dollar.
REMUNERATION REPORT - AUDITED
Remuneration Policy
The remuneration policy of Argent Minerals Limited has been designed to align directors(cid:146) objectives with
shareholder and business objectives by providing a fixed remuneration component, which is assessed on
an annual basis in line with market rates and equity related payments. The Board believes the remuneration
policy to be appropriate and effective in its ability to attract and retain the best directors to run and manage
the Group.
The Board(cid:146)s policy for determining the nature and amount of remuneration for Board members is as follows:
The remuneration policy and setting the terms and conditions for the executive directors and other senior
staff members is developed and approved by the Board based on local and international trends among
comparative companies and industry generally. It examines terms and conditions for employee incentive
schemes, benefit plans and share plans. Independent advice is obtained when considered necessary
to confirm that executive remuneration is in line with market practice and is reasonable within Australian
executive reward practices.
Executives receive a base salary (which is based on factors such as length of service and experience)
and superannuation.
The entity is an exploration entity, and therefore speculative in terms of performance. Consistent with
attracting and retaining talented executives, directors and senior executives are paid market rates
associated with individuals in similar positions within the same industry. Options and performance
incentives may be issued particularly as the entity moves from an exploration to a producing entity, and
key performance indicators such as profit and production and reserves growth can be used as
measurements for assessing executive performance.
The Board policy is to remunerate non-executive directors at market rates for comparable companies
for time, commitment and responsibilities. The Executive Directors determine payments to the non-
executives and review their remuneration annually, based on market practice, duties and accountability.
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 and is currently $250,000 per annum. Fees for
non-executive directors are not linked to the performance of the Company. However, to align directors(cid:146)
interests with shareholder interests, the directors are encouraged to hold shares in the Company.
The Board has not formally engaged the services of a remuneration consultant to provide
recommendations when setting the specific remuneration received by directors or other key
management personnel during the financial year ended 30 June 2022.
25
ARGENT MINERALS LIMITED
DIRECTORS(cid:146) REPORT
REMUNERATION REPORT (cid:150) AUDITED (cont(cid:146)d)
DETAILS OF DIRECTORS AND EXECUTIVES
The following table provides details of the members of key management personnel of the entity as at 30
June 2022.
Directors
Pedro Kastellorizos
Peter Michael
George Karageorge
David Greenwood
Stuart Till
Position held during or since the end of the financial year ended 30 June 2022
Managing Director/Chief Executive Officer (Appointed CEO on 16 March 2022 and
Managing Director on 1 June 2022)
Non-Executive Chairman
Non-Executive Director (from 16 March 2022)
Non-Executive Director (Appointed 23 August 2021)
Non-Executive Director (Resigned 23 August 2021)
Executive Officer(cid:146)s remuneration and other terms of employment are reviewed annually by the Non-
Executive Directors having regard to performance against goals set at the start of the year, relative to
comparable information and independent expert advice.
Except as detailed in the Remuneration Report, no director has received or become entitled to receive,
during the financial year or since the financial year end, a benefit because of a contract made by the
Company or a related body corporate with a director, a firm of which a director is a member or an entity in
which a director has a substantial financial interest. This statement excludes a benefit included in the
aggregate amount of emoluments received or due and receivable by directors and shown in the
Remuneration Report, prepared in accordance with the Corporations Regulations, or the fixed salary of a
full time employee of the Company.
26
ARGENT MINERALS LIMITED
DIRECTORS(cid:146) REPORT
REMUNERATION REPORT (cid:150) AUDITED (cont(cid:146)d)
Details of remuneration for the year ended 30 June 2022
Details of director and senior executive remuneration and the nature and amount of each major element of
the remuneration of each director of the Company, and other key management personnel of the Company
are set out below:
Salary and
Fees
Other
Benefits/Ter-
mination
Benefits
Super
-annuation
Total
Other
Long
Term
Equity-settled
Share Based
Payments (cid:150)
Options,
Performance
shares and
shares
%
of
Remunera
tion as
Share
Payments
$
$
$
$
$
$
Directors
G. Karageorge
2022 (i)
2021
P. Michael
2022
2021
P. Kastellorizos
2022 (ii)
2021
D. Greenwood
2022 (iii)
2021
S. Till
2022 (iv)
2021
P. Wall
2022
2021 (v)
E. Correia
2022
2021 (v)
200,725
291,037
30,000
-
-
-
345,190
-
40,000
45,000
130,528
-
36,131
-
7,300
119,150
-
29,789
-
29,789
-
-
-
-
-
-
-
-
-
-
-
-
4,000
4,275
-
-
-
-
-
-
-
-
-
-
31,780
-
45,716
-
31,780
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
575,915
291,037
75,780
49,275
176,244
-
67,911
-
7,300
119,150
-
29,789
-
29,789
60%
-
42%
-
26%
-
47%
-
-
-
-
-
-
-
(i) Reverted to Non-Executive Director from 16 March 2022. Prior to that, Mr Karageorge was Managing Director/Chief
Executive Officer. Amount in (cid:145)Other Benefits(cid:146) represents bonus paid in FY2022.
(ii) Appointed CEO on 16 March 2022 and Managing Director on 1 June 2022.
(iii) Appointed on 23 August 2021.
(iv) Resigned 23 August 2021.
(v) Resigned 5 March 2021.
27
ARGENT MINERALS LIMITED
DIRECTORS(cid:146) REPORT
REMUNERATION REPORT (cid:150) AUDITED (cont(cid:146)d)
Options Granted as Compensation
There were no options granted as compensation during the year.
Other transactions and balances with Key Management Personnel
During the year ended 30 June 2022, a bonus of $30,000 was paid to Mr Karageorge.
During the year the company issued 5,000,000 shares to a value of $175,000 to Mr Karageorge as
approved at the 2021 Annual General Meeting.
EMPLOYMENT CONTRACTS OF DIRECTORS AND EXECUTIVES
In accordance with best practice corporate governance, the Company provided each Director with a letter
detailing the terms of appointment, including their remuneration.
The Company has entered into a consultancy agreement with Mr Pedro Kastellorizos whereby Mr
Kastellorizos receives remuneration of $292,000 per annum (exclusive of GST) with a car allowance of
$2,500 per month (exclusive of GST). The agreement may be terminated subject to a 3-month notice period.
Effective 16 March 2022, the varied consultancy agreement with Mr George Karageorge stipulates a
remuneration of $42,000 per annum (exclusive of GST). Prior to 16 March 2022, pursuant to the
consultancy agreement, Mr Karageorge was entitled to a remuneration of $242,000 per annum (exclusive
of GST) with a car allowance of $1,500 per month (exclusive of GST).
The terms of appointment of Mr Peter Michael and Mr David Greenwood are detailed in letter of
appointments. Mr Michael is entitled to a fee of $40,000 per annum (plus superannuation) and Mr
Greenwood is entitled to a fee of $42,000 per annum (exclusive of GST). Their appointments may be
terminated by written notice by each party.
Ordinary shareholdings of key management personnel
KMP
G. Karageorge
P. Michael
P. Kastellorizos (i)
D. Greenwood (ii)
S. Till (iii)
Balance at 1 July
2021
5,535,109
3,297,195
-
-
-
Net other change
5,000,000
-
-
-
-
Balance at 30 June
2022
10,535,109
3,297,195
-
-
-
(i) Appointed CEO on 16 March 2022 and Managing Director on 1 June 2022.
(ii) Appointed on 23 August 2021.
(iii) Resigned 23 August 2021.
28
ARGENT MINERALS LIMITED
DIRECTORS(cid:146) REPORT
REMUNERATION REPORT (cid:150) AUDITED (cont(cid:146)d)
Option holdings of key management personnel
KMP
G. Karageorge
P. Michael
P. Kastellorizos (i)
D. Greenwood (ii)
S. Till (iii)
Balance at
1 July 2021
-
4,333,333
-
-
-
Issued
Expired
3,000,000
1,000,000
-
1,000,000
-
-
(333,333)
-
-
-
Balance at
30 June 2022
(vested and exercisable)
3,000,000
5,000,000
-
1,000,000
-
(i) Appointed CEO on 16 March 2022 and Managing Director on 1 June 2022.
(ii) Appointed on 23 August 2021.
(iii) Resigned 23 August 2021.
Unless the Board determines otherwise, an Option may only be exercised if, at the time of exercise,
the holder remains employed or engaged by the Company.
Performance Rights holdings of key management personnel
KMP
Balance at
1 July 2021
Issued
Other
G. Karageorge
P. Michael
P. Kastellorizos (i)
D. Greenwood (ii)
S. Till (iii)
5,000,000 Class A
5,000,000 Class B
2,000,000 Class C
500,000 Class D
1,500,000 Class A
1,500,000 Class B
-
1,500,000 Class A
1,500,000 Class B
-
-
-
-
-
-
-
-
-
-
-
(i) Appointed CEO on 16 March 2022 and Managing Director on 1 June 2022.
(ii) Appointed on 23 August 2021.
(iii) Resigned 23 August 2021.
Balance at
30 June 2022
5,000,000 Class A
5,000,000 Class B
2,000,000 Class C
500,000 Class D
1,500,000 Class A
1,500,000 Class B
-
1,500,000 Class A
1,500,000 Class B
-
The Performance Rights vesting conditions are as follows (as at 30 June 2022, none of the
performance milestones have been met):
29
ARGENT MINERALS LIMITED
DIRECTORS(cid:146) REPORT
REMUNERATION REPORT (cid:150) AUDITED (cont(cid:146)d)
Consequences of performance on shareholder wealth
In considering the Group(cid:146)s performance and benefits for shareholders(cid:146) wealth, the Board has regard to the
following indices in respect of the current financial year and the previous four financial years.
Net loss attributable to equity
holders of the Company
Change in share price (cents)
$1,309,982
(1.5)
$2,110,006
1.9
$2,185,012
(1.4)
$3,539,654
(0.9)
$1,712,330
(1.1)
2022
2021
2020
2019
2018
The overall level of key management personnel(cid:146)s compensation is assessed on the basis of market
conditions, status of the Company(cid:146)s projects, and financial performance of the Company.
There was no reliance on external remuneration consultants during the year.
There were no other loans to key management personnel and other transactions noted during the year.
VOTING AND COMMENTS MADE AT THE COMPANY(cid:146)S LAST ANNUAL GENERAL MEETING
The Company received 2.39% of votes against, and no specific feedback on, its Remuneration Report at
its Annual General Meeting held on 30 November 2021. The Resolution passed by a poll.
End of Audited Remuneration Report
INDEMNIFICATION OF DIRECTORS AND OFFICERS
In accordance with the constitution, except as may be prohibited by the Corporations Act 2001, every officer
or agent of the Company shall be indemnified out of the property of the entity against any liability incurred
by him or her in their capacity as officer or agent of the Company or any related corporation in respect of
any act or omission whatsoever and howsoever occurring or in defending any proceedings, whether civil or
criminal.
INDEMINITY AND INSURANCE OF AUDITOR
The Company has not, during or since the end of the financial year, indemnified or agreed to indemnify the
auditor of the Company or any related entity against a liability incurred by the auditor.
During the financial year, the Company has not paid a premium in respect of a contract to insure the auditor
of the Company or any related entity.
30
ARGENT MINERALS LIMITED
DIRECTORS(cid:146) REPORT
EVENTS SUBSEQUENT TO REPORTING DATE
On 19 July 2022, the Company announced that a RC drilling program over its 100% owned Kempfield Cu-
Pb-Zn-Au-Ag Project in New South Wales is planned to commence in October/November 2022 subject to
favourable weather conditions.
On 19 August 2022, the Company issued 2,528,089 fully paid ordinary shares at a deemed issue price of
$0.0178 per share in relation to a part payment of a fee.
On 14 September 2022, the Company announced a maiden JORC 2012 Resource at its Mt Dudley Gold
Prospect within the Company(cid:146)s Gold Project on the eastern Lachlan Ford Belt, NSW.
Except for the above, no other matters or circumstances have arisen since the end of the financial year
which significantly affected or could significantly affect the operations of the Group, the results of those
operations, or the state of the affairs of the Group in future financial years.
PROCEEDINGS ON BEHALF OF THE COMPANY
No person has applied for leave of 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.
NON-AUDIT SERVICE
During the year ended BDO, the Company's auditor, performed other services in addition to their statutory
duties.
The Board has considered the non-audit services provided during the year by the auditor and, is satisfied
that the provision of those non-audit services during the year is compatible with, and did not compromise,
the auditor independence requirements of the Corporations Act 2001 for the following reasons:
all non-audit services were subject to the corporate governance procedures adopted by the
Company to ensure they do not impact upon the impartiality and objectivity of the auditor
the non-audit services do not undermine the general principles relating to auditor independence as
set out in APES 110 Code of Ethics for Professional Accountants, as they did not involve reviewing
or auditing the auditor(cid:146)s own work, acting in a management or decision-making capacity for the
Company, acting as an advocate for the Company or jointly sharing risks and rewards
A copy of the auditors(cid:146) independence declaration as required under Section 307C of the Corporations Act
2001 is included in the Directors(cid:146) Report.
Details of the amounts paid and accrued to the auditor of the Company, BDO, and its related practices for
audit and non-audit services provided during the year are set out below.
Statutory audit
Audit and review of financial reports (cid:150) BDO (WA)
Other services
Taxation Compliance (cid:150) BDO WA
31
2022
$
59,022
59,022
13,207
13,207
2021
$
40,000
40,000
75,487
75,487
ARGENT MINERALS LIMITED
DIRECTORS(cid:146) REPORT
Lead Auditor(cid:146)s Independence Declaration
The Lead Auditor(cid:146)s Independence Declaration has been received and forms part of the Directors(cid:146) Report
for the year ended 30 June 2022.
This directors(cid:146) report has been signed in accordance with a resolution of the directors made pursuant to
s.298(2) of the Corporations Act 2001.
On behalf of the directors,
Mr Pedro Kastellorizos
Managing Director/Chief Executive Officer
Perth, 30 September 2022
32
Tel: +61 8 6382 4600
Fax: +61 8 6382 4601
www.bdo.com.au
Level 9, Mia Yellagonga Tower 2
5 Spring Street
Perth WA
PO Box 700 West Perth WA 6872
Australia
DECLARATION OF INDEPENDENCE BY JARRAD PRUE TO THE DIRECTORS OF ARGENT MINERALS
LIMITED
As lead auditor of Argent Minerals Limited for the year ended 30 June 2022, I declare that, to the best
of my knowledge and belief, there have been:
1. No contraventions of the auditor independence requirements of the Corporations Act 2001 in
relation to the audit; and
2. No contraventions of any applicable code of professional conduct in relation to the audit.
This declaration is in respect of Argent Minerals Limited and the entities it controlled during the
period.
Jarrad Prue
Director
BDO Audit (WA) Pty Ltd
Perth
30 September 2022
BDO Audit (WA) Pty Ltd ABN 79 112 284 787 is a member of a national association of independent entities which are all members of BDO Australia
Ltd ABN 77 050 110 275, an Australian company limited by guarantee. BDO Audit (WA) Pty Ltd and BDO Australia Ltd are members of BDO
International Ltd, a UK company limited by guarantee, and form part of the international BDO network of independent member firms. Liability
limited by a scheme approved under Professional Standards Legislation.
33
ARGENT MINERALS LIMITED
CONSOLIDATED STATEMENT OF PROFIT OR LOSS AND OTHER COMPREHENSIVE INCOME
FOR THE YEAR ENDED 30 JUNE 2022
Continuing operations
Other income
Administration and consultants' expenses
Depreciation
Employee and director expenses
Exploration and evaluation expenses
Legal expenses
Share based payment expenses
Other expenses
Notes
2022
$
2021
$
6
590,185
623,871
14,15
7
23
(177,846)
(145,256)
(506,263)
(565,204)
(38,646)
(418,490)
(5,836)
(393,396)
(95,147)
(387,361)
(1,828,234)
-
-
-
Operating loss before financing income/(expense)
(1,267,356)
(2,080,267)
Interest income
Interest expense
Net financing income/(expense)
Loss before tax
Income tax expense
Loss for the year
Other comprehensive income
Total comprehensive loss for the year
Basic and diluted loss per share (cents)
17
(42,643)
(42,626)
192
(29,931)
(29,739)
(1,309,982)
(2,110,006)
-
-
(1,309,982)
(2,110,006)
410,000
-
(899,982)
(2,110,006)
(0.15)
(0.25)
10
6
8
The above Consolidated Statement of Profit or Loss and Other Comprehensive Income should be read in
conjunction with the accompanying notes.
34
ARGENT MINERALS LIMITED
CONSOLIDATED STATEMENT OF FINANCIAL POSITION
AS AT 30 JUNE 2022
Notes
2022
$
2021
$
Current assets
Cash and cash equivalents
Trade and other receivables
Other assets
Financial assets
Total current assets
Non-current assets
Other financial asset (cid:150) security deposits
Plant and equipment
Right of use asset
Total non-current assets
Total assets
Current liabilities
Trade and other payables
Employee entitlements
Lease liabilities
R&D claims repayable
Total current liabilities
Non-current liabilities
Lease liabilities
Total non-current liabilities
Total liabilities
Net assets
Equity
Issued capital
Reserves
Accumulated losses
Total equity
9
11
12
13
14
15
17
18
16
22
16
19
19
1,785,225
3,747,027
76,953
11,448
930,000
12,162
11,641
-
2,803,626
3,770,830
141,648
260,096
101,602
503,346
129,750
344,264
225,218
699,232
3,306,972
4,470,062
59,882
-
31,974
497,166
589,022
70,622
70,622
659,644
446,890
17,618
95,000
645,886
1,205,394
138,832
138,832
1,344,226
2,647,328
3,125,836
38,297,590
38,093,320
876,424
249,220
(36,526,686)
(35,216,704)
2,647,328
3,125,836
The above Consolidated Statement of Financial Position should be read in conjunction with the
accompanying notes.
35
ARGENT MINERALS LIMITED
CONSOLIDATED STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 30 JUNE 2022
Attributable to equity
holders of the Company
Balance at 1 July 2021
Total comprehensive
income for the year
Loss for the year
Other comprehensive
income
Total comprehensive loss
for the year
Transactions with owners,
recorded directly in equity
Contribution by and
distribution to owners
Ordinary shares/options
issued
Notes
Issued
Capital
Asset
Revaluation
Reserve
Share
Based
Payment
Reserve
Accumulated
Losses
$
$
$
$
Total
Equity
$
38,093,320
-
-
-
-
-
410,000
410,000
249,220
(35,216,704)
3,125,836
-
-
-
(1,309,982)
(1,309,982)
-
410,000
(1,309,982)
(899,982)
19
204,270
-
217,204
-
421,474
Balance at 30 June 2022
38,297,590
410,000
466,424
(36,526,686)
2,647,328
Balance at 1 July 2020
Total comprehensive
income for the year
Loss for the year
Other comprehensive
income
Total comprehensive loss
for the year
Transactions with owners,
recorded directly in equity
Contribution by and
distribution to owners
Ordinary shares/options
issued
Placement Costs
Balance at 30 June 2021
33,368,098
-
-
-
19
4,855,699
(130,477)
38,093,320
-
-
-
-
-
-
-
249,220
(33,106,698)
510,620
-
-
-
-
-
(2,110,006)
(2,110,006)
-
-
(2,110,006)
(2,110,006)
-
-
4,855,699
(130,477)
249,220
(35,216,704)
3,125,836
The above Consolidated Statement of Changes in Equity should be read in conjunction with the
accompanying notes.
36
ARGENT MINERALS LIMITED
CONSOLIDATED STATEMENT OF CASH FLOWS
FOR THE YEAR ENDED 30 JUNE 2022
Notes
2022
$
2021
$
Cash flows used in operating activities
Exploration and evaluation expenditure
(751,967)
(2,044,342)
Cash payments to suppliers and employees
(1,157,667)
(532,985)
Interest received
17
192
Net cash (used in) operating activities
20
(1,909,617)
(2,577,135)
Cash flows used in investing activities
Proceeds from disposal of motor vehicle
Payments for plant and equipment
Payments for security deposits
Net cash provided by/(used in) investing
activities
Cash flows from financing activities
Proceeds from issue of shares and options
Lease payments
Cost of issue of shares and options
Net cash (used in)/provided by financing
activities
53,000
(9,995)
(10,000)
-
(76,631)
(33,750)
33,005
(110,381)
2,985
4,648,592
(88,175)
-
(40,296)
(130,477)
(85,190)
4,477,819
Net (decrease)/increase in cash held
Cash and cash equivalents at the beginning of
the financial year
Cash and cash equivalents at the end of the
financial year
(1,961,802)
1,790,303
3,747,027
1,956,724
9
1,785,225
3,747,027
The above Consolidated Statement of Cash Flows should be read in conjunction with the accompanying
notes.
37
ARGENT MINERALS LIMITED
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2022
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
1
REPORTING ENTITY
Argent Minerals Limited (the 'Company') is a company domiciled in Australia. The principal place of business
and registered office address of the Company is Level 2, 7 Havelock Street, West Perth, WA 6005. The
consolidated financial statements of the Company as at and for the year ended 30 June 2022 comprise the
Company and its subsidiaries (together referred to as the 'Group'). The Group is a for-profit entity and is
primarily engaged in the acquisition, exploration and development of mineral deposits in Australia.
2
BASIS OF PREPARATION
(a) Statement of compliance
The consolidated financial statements are general purpose financial statements which have been prepared
in accordance with Australian Accounting Standards ('AASBs') adopted by the Australian Accounting
Standards Board ('AASB') and the Corporations Act 2001. The consolidated financial statements comply with
the International Financial Reporting Standards ('IFRSs') adopted by the International Accounting Standards
Board ('IASB'). The Company is of a kind referred to in ASIC Corporations (Rounding in Financial/Directors(cid:146)
Reports) Instrument 2016/191 and consequently amounts in the directors(cid:146) report and the financial report
have been rounded off to the nearest dollar.
The consolidated financial statements were authorised for issue by the directors on 30 September 2022.
(b) Basis of measurement
The consolidated financial statements have been prepared on the historical cost basis.
(c) Functional and presentation currency
These consolidated financial statements are presented in Australian dollars ($), which is the Group(cid:146)s
functional currency.
(d) Use of estimates and judgements
The preparation of the consolidated financial statements requires management to make judgements,
estimates and assumptions that affect the application of accounting policies and the reported amounts of
assets, liabilities, income and expenses. Actual results may differ from these estimates.
Estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates
are recognised in the period in which the estimate is revised and in any future periods affected.
In particular, information about significant areas of estimation uncertainty and critical judgements in applying
accounting policies that have the most significant effect on the amounts recognised in the financial
statements are described in the following notes:
Note 2(e)
10
Note
23
Note
22
Note
- Going concern
- Unrecognised deferred tax asset
- Share based payments
- R&D claims payable
The Group has incorporated judgements, estimates and assumptions specific to the impact of the COVID-
19 pandemic in determining the amounts recognised in the financial statements based on conditions existing
at reporting date, recognising uncertainty still exists in relation to the duration of the COVID-19 pandemic-
related restrictions, the anticipated government stimulus and regulatory actions.
38
ARGENT MINERALS LIMITED
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2022
2
BASIS OF PREPARATION (cont(cid:146)d)
(e) Going concern
The financial statements have been prepared on a going concern basis which contemplates the realisation
of assets and settlement of liabilities in the ordinary course of business.
The directors have prepared a cash flow forecast, which indicates that the Company will have sufficient cash
flows to meet all commitments and working capital requirements for the 12 months period from the date of
signing this financial report.
Based on the cash flow forecasts and other factors referred to above, the directors are satisfied that the
going concern basis of preparation is appropriate.
3 SIGNIFICANT ACCOUNTING POLICIES
The accounting policies set out below have been applied consistently to all periods presented in these
consolidated financial statements, and have been applied consistently by all entities in the Group.
(a) Finance income and finance costs
Finance income comprises interest income on funds invested, dividend income and gains on the disposal of
financial assets. Interest income is recognised as it accrues in profit or loss, using the effective interest
method.
Finance costs comprise interest expense on borrowings, losses on disposal of financial assets and
impairment losses recognised on financial assets. Borrowing costs that are not directly attributable to the
acquisition, construction or production of a qualifying asset are recognised in profit or loss using the effective
interest method.
(b) Exploration, evaluation and development expenditure
Expenditure on exploration and evaluation is accounted for in accordance with the (cid:145)area of interest(cid:146) method
and with AASB 6 Exploration for and Evaluation of Mineral Resources.
For each area of interest, exploration and evaluation expenditure is expensed in the period in which the
expenditure is incurred. Expenditure incurred in the acquisition of tenements and rights to explore may be
capitalised and recognised as an exploration and evaluation asset. Exploration and evaluation assets are
initially measured at cost at recognition. Exploration and evaluation expenditure incurred by the Group
subsequent to acquisition of the rights to explore is expensed as incurred.
Capitalised acquisition costs are assessed for impairment when facts and circumstances suggest that the
carrying amount of an exploration and evaluation asset may exceed its recoverable amount. The recoverable
amount of the exploration and evaluation asset to which it has been allocated, being no larger than the
relevant area of interest is estimated to determine the extent of the impairment loss (if any). Where an
impairment loss subsequently reverses, the carrying amount of the asset is increased to the revised estimate
of its recoverable amount, but only to the extent that the increased carrying amount does not exceed the
carrying amount that would have been determined had no impairment loss been recognised for the asset in
previous years.
Where a decision is made to proceed with development in respect of a particular area of interest, the relevant
exploration and evaluation asset is tested for impairment and the balance is then reclassified to development
costs.
39
ARGENT MINERALS LIMITED
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2022
3 SIGNIFICANT ACCOUNTING POLICIES (cont(cid:146)d)
(c) Property, plant and equipment
Items of property, plant and equipment are measured on the cost basis less depreciation and impairment
losses.
Depreciation
The depreciable amount of all property, plant and equipment is depreciated over the assets' estimated useful
lives to the Group commencing from the time the asset is ready for use.
The depreciation rates and basis used for each class of depreciable assets are:
Class of fixed asset
Depreciation rates
Depreciation basis
Buildings
7.50%
Straight-Line
Plant and equipment
5% to 37.5%
Straight-Line
Motor vehicle
20%
Straight-Line
(d) Government grants
Where a rebate is received relating to research and development costs or other costs that have been
expensed, the rebate is recognised as other income when the rebate becomes receivable and the Group
complies with all attached conditions. If the research and development costs have been capitalised, the
rebate is deducted from the carrying value of the underlying asset when the grant becomes receivable and
the Group complies with all attached conditions.
(e) Financial instruments
Non-derivative financial assets
Recognition and initial measurement
The Company initially recognises trade receivables on the date that they are originated. All other financial
assets are recognised initially on the trade date at which the Company becomes a party to the contractual
provisions of the instrument.
The Company derecognises a financial asset when the contractual rights to the cash flows from the asset
expire, or it transfers the rights to receive the contractual cash flows on the financial asset in a transaction in
which substantially all the risks and rewards of ownership of the financial asset are transferred. Any interest
in such transferred financial assets that is created or retained by the Company is recognised as a separate
asset or liability.
Financial assets and liabilities are offset and the net amount presented in the statement of financial position
when, and only when, the Company has a legal right to offset the amounts and intends either to settle them
on a net basis or to realise the asset and settle the liability simultaneously.
Classification and subsequent measurement
On initial recognition, a financial asset is classified as measured at:
- Amortised cost;
- Fair value through other comprehensive income (FVOCI) (cid:150) equity investment; or
- Fair value through profit or loss (FVTPL).
40
ARGENT MINERALS LIMITED
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2022
3 SIGNIFICANT ACCOUNTING POLICIES (cont(cid:146)d)
Financial assets are not reclassified subsequent to their initial recognition unless the Company changes its
business model for managing financial assets, in which case all affected financial assets are reclassified on
the first day of the first reporting period following the change in the business model.
A financial asset is measured at amortised cost if it meets both the following conditions and is not designated
as fair value through profit or loss:
-
-
It is held within a business model whose objective is to hold assets to collect contractual cash flows;
and
Its contractual terms give rise on specified dates to cash flows that are solely payments of principal and
interest on the principal amount outstanding.
(e) Financial instruments
Non-derivative financial assets (cont(cid:146)d)
Subsequent measurement and gains and losses
Financial assets at
amortised cost
These assets are subsequently measured at amortised cost using the effective
interest method. The amortised cost is reduced by impairment losses. Interest
income, foreign exchange gains and losses and impairment are recognised in
profit or loss. Any gain or loss on derecognition is recognised in profit or loss.
Non-derivative financial liabilities
Financial liabilities are measured at amortised cost.
Financial liabilities are recognised initially on the trade date, which is the date that the Company becomes a
party to the contractual provisions of the instrument.
The Company derecognises a financial liability when its contractual obligations are discharged, cancelled or
expire.
Other financial liabilities comprise loans and borrowings and trade and other payables.
(f)
Share capital
Ordinary shares
Ordinary shares are classified as equity. Incremental costs directly attributable to the issue of ordinary shares
are recognised as a deduction from equity, net of any tax effects.
41
ARGENT MINERALS LIMITED
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2022
3 SIGNIFICANT ACCOUNTING POLICIES (cont(cid:146)d)
(g) Basis of consolidation
Subsidiaries
Subsidiaries are entities controlled by the Group. The Group controls an entity when it is exposed to, or has
rights to, variable returns from its involvement with the entity and has the ability to affect those returns through
its power over the entity. The financial statements of subsidiaries are included in the consolidated financial
statements from the date on which control commences until the date on which control ceases. The
accounting policies of the subsidiaries have been changed when necessary to align them with the policies
adopted by the Group.
Non-controlling interests represent the portion of profit or loss and net assets in subsidiaries not held by the
Group and are presented separately in the Statement of Profit or Loss and Other Comprehensive Income
and within equity in the Consolidated Statement of Financial Position. Losses are attributed to the non-
controlling interests even if that results in a deficit balance.
The Group treats transactions with non-controlling interests that do not result in a loss of control as
transactions with equity owners of the Group. A change in ownership interest results in an adjustment
between the carrying amounts of the controlling and non-controlling interests to reflect their relative interests
in the subsidiary.
Loss of control
On the loss of control, the Group derecognises the assets and liabilities of the subsidiary, any non-controlling
interests and other components of equity related to the subsidiary. Any surplus or deficit arising on the loss
of control is recognised in profit or loss. If the Group retains any interest in the previous subsidiary, then such
interest is measured at fair value at the date that control is lost. Subsequently that retained interest is
accounted for as an equity accounted investee or as a financial asset depending on the level of influence
retained.
Investments in associates and jointly controlled entities are accounted for under the equity method and are
initially recognised at cost. The cost of the investment includes transaction costs.
Transactions eliminated on consolidation
Intragroup balances, and any unrealised gains and losses or income and expenses arising from intragroup
transactions, are eliminated in preparing the consolidated financial statements.
(h) Tax
Current tax and deferred tax is recognised in profit or loss except to the extent that it relates to a business
combination, or items recognised directly in equity or in other comprehensive income.
Current tax
Current tax is the expected tax payable or receivable on the taxable income or loss for the year, using tax
rates enacted or substantially enacted at the reporting date, and any adjustment to tax payable in respect of
previous years.
42
ARGENT MINERALS LIMITED
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2022
3 SIGNIFICANT ACCOUNTING POLICIES (cont(cid:146)d)
Deferred tax
Deferred tax is recognised in respect of temporary differences between the carrying amount of assets and
liabilities for financial reporting purposes and the amounts used for taxation purposes. Deferred tax is not
recognised for:
temporary differences on the initial recognition of assets or liabilities in a transaction that is not a business
combination and that affects neither accounting nor taxable profit or loss;
temporary differences related to investments in subsidiaries to the extent that the Group is able to control
the timing of the reversal of the temporary differences and it is probable that they will not reverse in the
foreseeable future; or
taxable temporary differences arising on the initial recognition of goodwill.
The measurement of deferred tax reflects the tax consequences that would follow the manner in which the
Group expects, at the end of the reporting period, to recover or settle the carrying amount of its assets and
liabilities.
Deferred tax is measured at the tax rates that are expected to be applied to temporary differences when they
reverse, using tax rates enacted or substantively enacted at the reporting date. Deferred tax assets and
liabilities are offset if there is a legally enforceable right to offset current tax liabilities and assets, and they
relate to taxes levied by the same tax authority on the same taxable entity, or on different tax entities, but
they intend to settle current tax liabilities and assets on a net basis or their tax assets and liabilities will be
realised simultaneously.
A deferred tax asset is recognised for unused tax losses, tax credits and deductible temporary differences,
to the extent that it is probable that future taxable profits will be available against which they can be utilised.
Deferred tax assets are reviewed at each reporting date and are reduced to the extent that it is no longer
probable that the related tax benefit will be realised.
(i) Cash and cash equivalents
Cash and cash equivalents comprise cash balances and call deposits with an original maturity of three
months or less.
(j)
Impairment
Financial instruments
The Company recognises expected credit losses ((cid:145)ECLs(cid:146)), where material, on:
- Financial assets measured at amortised cost;
The Group measures loss allowances at an amount equal to lifetime ECLs, except for the following, which
are measured at 12-month ECLs:
- Other debt securities and bank balances for which credit risk (i.e., the risk of default occurring over the
expected life of the financial instrument) has not increased significantly since initial recognition.
Loss allowances for trade receivables and contract assets are always measured at an amount equal to
lifetime ECLs. At each reporting date, the Group assesses whether financial assets carried at amortised cost
and debt securities at fair value through other comprehensive income are credit-impaired.
The gross carrying amount of a financial asset is written off when the Group has no reasonable expectations
of recovering a financial asset in its entirety or a portion thereof.
43
ARGENT MINERALS LIMITED
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2022
3 SIGNIFICANT ACCOUNTING POLICIES (cont(cid:146)d)
Financial assets measured at amortised cost
Individually significant financial assets are tested for impairment on an individual basis. The remaining
financial assets are assessed collectively in groups that share similar credit risk characteristics.
An impairment loss in respect of a financial asset measured at amortised cost is calculated as the difference
between its carrying amount, and the present value of the estimated future cash flows discounted at the
original effective interest rate. Losses are recognised within profit or loss. When an event occurring after the
impairment was recognised causes the amount of impairment loss to decrease, the decrease in impairment
loss is reversed through profit or loss.
Non-financial assets
The carrying amounts of the Group's non-financial assets, other than deferred tax assets, are reviewed at
each reporting date to determine whether there is any indication of impairment. If any such indication exists,
the asset's recoverable amount is estimated. For goodwill and intangible assets that have indefinite lives or
that are not yet available for use, the recoverable amount is estimated each year at the same time.
An impairment loss is recognised whenever the carrying amount of an asset or its cash-generating unit (CGU)
exceeds its recoverable amount. The recoverable amount of an asset or CGU is the greater of their fair value
less costs to sell and value in use. In assessing value in use, the estimated future cash flows are discounted
to their present value using a pre-tax discount rate that reflects current market assessments of the time value
of money and the risks specific to the asset or CGU. For impairment testing, assets are grouped together
into the smallest group of assets that generates cash inflows from continuing use that are largely independent
of the cash inflows of other assets or CGUs. Impairment losses are recognised in profit or loss.
An impairment loss is reversed only to the extent that the asset(cid:146)s carrying amount does not exceed the
carrying amount that would have been determined, net of depreciation or amortisation, if no impairment loss
had been recognised.
(k) Segment reporting
Determination and presentation of operating segments
The Group determines and presents operating segments based on the information that is provided internally
to the CEO, who is the Group(cid:146)s chief operating decision maker.
An operating segment is a component of the Group that engages in business activities from which it may
earn revenues and incur expenses, including revenues and expenses that relate to transactions with any of
the Group(cid:146)s other components. All operating segments(cid:146) operating results are regularly reviewed by the
Group(cid:146)s CEO to make decisions about resources to be allocated to the segment and assess its performance.
Segment results that are reported to the CEO include items directly attributable to a segment as well as those
that can be allocated on a reasonable basis. Unallocated items comprise mainly corporate assets (primarily
the Company(cid:146)s headquarters), head office expenses, and income tax assets and liabilities.
44
ARGENT MINERALS LIMITED
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2022
3 SIGNIFICANT ACCOUNTING POLICIES (cont(cid:146)d)
(l) Employee benefits
Short-term employee benefits
Short-term employee benefit obligations are measured on an undiscounted basis and are expensed as the
related service is provided.
Share-based payment transactions
The grant date fair value of share-based payment awards granted to employees is recognised as an
employee expense, with a corresponding increase in equity, over the period that the employees become
unconditionally entitled to the awards. The amount recognised as an expense is adjusted to reflect the
number of awards for which the related service and non-market vesting conditions are expected to be met,
such that the amount ultimately recognised as an expense is based on the number of awards that meet the
related service and non-market performance conditions at the vesting date. For share-based payment
awards with non-vesting conditions, the grant date fair value of the share-based payment is measured to
reflect such conditions and there is no true-up for differences between expected and actual outcomes.
(m) Provisions
A provision is recognised if, as a result of a past event, the Group has a present legal or constructive
obligation that can be estimated reliably, and it is probable that an outflow of economic benefits will be
required to settle the obligation. Provisions are determined by discounting the expected future cash flows at
a pre-tax rate that reflects the current market assessments of the time value of money and the risks specific
to the liability. The unwinding of the discount is recognised as a finance cost.
Site restoration
In accordance with the Group(cid:146)s environmental policy and applicable legal requirements, a provision for site
restoration in respect of contaminated land, and the related expense, is recognised when the land is
contaminated.
(n) Leases
Right-of-use assets
A right-of-use asset is recognised at the commencement date of a lease. The right-of-use asset is measured
at cost, which comprises the initial amount of the lease liability, adjusted for, as applicable, any lease
payments made at or before the commencement date net of any lease incentives received, any initial direct
costs incurred, and, except where included in the cost of inventories, an estimate of costs expected to be
incurred for dismantling and removing the underlying asset, and restoring the site or asset.
Right-of-use assets are depreciated on a straight-line basis over the unexpired period of the lease or the
estimated useful life of the asset, whichever is the shorter. Where the Group expects to obtain ownership of
the leased asset at the end of the lease term, the depreciation is over its estimated useful life. Right-of use
assets are subject to impairment or adjusted for any remeasurement of lease liabilities.
The Group has elected not to recognise a right-of-use asset and corresponding lease liability for short-term
leases with terms of 12 months or less and leases of low-value assets. Lease payments on these assets are
expensed to profit or loss as incurred.
Lease liabilities
A lease liability is recognised at the commencement date of a lease. The lease liability is initially recognised
at the present value of the lease payments to be made over the term of the lease, discounted using the
interest rate implicit in the lease or, if that rate cannot be readily determined, the Group's incremental
borrowing rate. Lease payments comprise of fixed payments less any lease incentives receivable, variable
lease payments that depend on an index or a rate, amounts expected to be paid under residual value
guarantees, exercise price of a purchase option when the exercise of the option is reasonably certain to
occur, and any anticipated termination penalties. The variable lease payments that do not depend on an
index or a rate are expensed in the period in which they are incurred.
45
ARGENT MINERALS LIMITED
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2022
3 SIGNIFICANT ACCOUNTING POLICIES (cont(cid:146)d)
Lease liabilities are measured at amortised cost using the effective interest method. The carrying amounts
are remeasured if there is a change in the following: future lease payments arising from a change in an index
or a rate used; residual guarantee; lease term; certainty of a purchase option and termination penalties.
When a lease liability is remeasured, an adjustment is made to the corresponding right-of use asset, or to
profit or loss if the carrying amount of the right-of-use asset is fully written down.
(o) Earnings per Share
Basic earnings per share
Basic earnings per share is calculated by dividing the profit attributable to the owners of Pinnacle Listed
Comprehensive Limited, excluding any costs of servicing equity other than ordinary shares, by the weighted
average number of ordinary shares outstanding during the financial year, adjusted for bonus elements in
ordinary shares issued during the financial year.
Diluted earnings per share
Diluted earnings per share adjusts the figures used in the determination of basic earnings per share to take
into account the after-income tax effect of interest and other financing costs associated with dilutive potential
ordinary shares and the weighted average number of shares assumed to have been issued for no
consideration in relation to dilutive potential ordinary shares.
(p) Current and Non-Current Classification
Assets and liabilities are presented in the consolidated statement of financial position based on current and
noncurrent classification.
An asset is classified as current when:
it is either expected to be realised or intended to be sold or consumed in the Group(cid:146)s normal operating
cycle;
it is held primarily for the purpose of trading;
it is expected to be realised within 12 months after the reporting period; or
the asset is cash or cash equivalent unless restricted from being exchanged or used to settle a liability
for at least 12 months after the reporting period.
All other assets are classified as non-current.
A liability is classified as current when:
it is either expected to be settled in the Group(cid:146)s normal operating cycle;
it is being held primarily for the purpose of trading;
it is due to be settled within 12 months after the reporting period; or
there is no unconditional right to defer the settlement of the liability for at least 12 months after the
reporting period.
All other liabilities are classified as non-current.
46
ARGENT MINERALS LIMITED
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2022
4 NEW OR AMENDED ACCOUNTING STANDARDS AND INTERPERATIONS ADOPTED
The Group has adopted all of the new or amended Accounting Standards and Interpretations issued by the
Australian Accounting Standards Board ('AASB') that are mandatory for the current reporting period.
Any new or amended Accounting Standards or Interpretations that are not yet mandatory have not been
early adopted.
New and revised Standards and amendments thereof and Interpretations effective for the current reporting
period that are relevant to the Group include:
AASB 2020-8 Amendments to Australian Accounting Standards (cid:150) Interest Rate Benchmark Reform (cid:150)
Phase 2
Amends AASB 4 Insurance Contracts, AASB 9 Financial Instruments: Recognition and Measurement, AASB
7 Financial Instruments: Disclosures and AASB 16 Leases to address issues that may affect financial
reporting during interest rate benchmark reform, including the effect of changes to contractual cash flows or
hedging relationships resulting from the replacement of an interest rate benchmark with an alternative
benchmark rate.
The adoption of this Amendment has had no significant impact on the disclosures or the amounts recognised
in the Group(cid:146)s consolidated financial statements.
5 DETERMINATION OF FAIR VALUES
A number of the Group(cid:146)s accounting policies and disclosures require the determination of fair value, for both
financial and non-financial assets and liabilities. Fair values have been determined for measurement and/or
disclosure purposes based on the following methods. When applicable, further information about the
assumptions made in determining fair values is disclosed in the notes specific to that asset or liability.
Fair value through other comprehensive income
The Group has investments in listed entities which are not accounted for as subsidiaries, associates or jointly
controlled entities. For those investments, the Group has made an irrevocable election to classify the
investments at fair value through other comprehensive income rather than through profit or loss as the Group
considers this measurement to be the most representative of the business model for these assets. They are
carried at fair value with changes in fair value recognised in other comprehensive income and accumulated
in the fair value through other comprehensive income reserve. Upon disposal, any balance within fair value
through other comprehensive income reserve is reclassified directly to retained earnings and is not
reclassified to profit or loss.
Fair value measurement
Fair value hierarchy
The following table details the Group(cid:146)s assets and liabilities, measured or disclosed at fair value, using a
three-level hierarchy, based on the lowest level of input that is significant to the entire fair value measurement,
being:
-
Level 1: Quoted prices (unadjusted) in active markets for identical assets or liabilities that the Group
can access at the measurement date.
Level 2: Inputs other than quoted prices included within Level 1 that are observable for the asset or
liability, either directly or indirectly.
Level 3: Unobservable inputs for the asset or liability.
-
-
47
ARGENT MINERALS LIMITED
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2022
Consolidated - 2022
Assets
Ordinary shares at fair value through profit or loss
Ordinary shares at fair value through other comprehensive
income
Total assets
Level 1
$
-
410,000
410,000
Level 2
$
Level 3
$
Total
$
-
-
-
-
-
-
-
410,000
410,000
Assets and liabilities held for sale are measured at fair value on a non-recurring basis.
There were no transfers between levels during the financial year.
The carrying amount of trade and other receivables and trade and other payables are assumed to
approximate their fair values due to their short-term nature.
The fair value of financial liabilities is estimated by discounting the remaining contractual maturities at the
current market interest rate that is available for similar financial liabilities.
Share-based payment transactions
The fair value of the employee share options is measured using the Black-Scholes formula. Market based
performance rights have been valued using a Barrier Up-and-In Trinomial Pricing Model. Measurement
inputs include share price on the measurement date, exercise price of the instrument, expected volatility
(based on an evaluation of the historic volatility of the Company(cid:146)s share price, particularly over the historical
period commensurate with the expected term), expected term of the instruments (based on historical
experience and general option holder behaviour), expected dividends, and the risk-free interest rate (based
on government bonds). Service and non-market performance conditions are not taken into account in
determining fair value.
6 OTHER INCOME
Research and development claim (refer note 22)
MinRex Resources Limited shares received (refer note 13)
Gain on sale of Motor vehicles
Miscellaneous income
7 EXPENSES
Loss from ordinary activities have been arrived after charging
the following items:
Auditors' remuneration accrued and paid during the year
- Audit and review of financial reports
Depreciation
- Land and Building
- Motor Vehicle
- Plant and equipment
- Right of Use Asset
2022
$
-
520,000
8,984
61,201
590,185
2022
$
2021
$
623,871
-
-
-
623,871
2021
$
59,022
40,000
24,308
12,197
13,643
95,108
24,307
7,424
19,112
44,304
Exploration and evaluation expenditure expensed as incurred
565,204
1,828,234
48
ARGENT MINERALS LIMITED
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2022
8
LOSS PER SHARE
The calculation of basic and diluted loss per share at 30 June 2022 was based on the loss attributable to
ordinary shareholders of $1,309,982 (2021: $2,110,006) and a weighted average number of ordinary shares
outstanding during the financial year ended 30 June 2022 of 880,240,990 (2021: 843,481,468).
Net loss for the year
Weighted average number of ordinary shares
2022
$
2021
$
1,309,982
2,110,006
2022
Number
880,240,990
2021
Number
843,481,468
As the Company is loss making, none of the potentially dilutive securities are currently dilutive.
2022
$
2021
$
9 CASH AND CASH EQUIVALENTS
Cash at bank
1,785,225
3,747,027
Cash and cash equivalents in the statement of cash flows
1,785,225
3,747,027
Refer to the risk management section at note 24, which contains exposure analysis for cash and cash
equivalents.
INCOME TAX EXPENSE
10
Current tax expense
Deferred tax expense
Numerical reconciliation between tax expense and pre-tax
net profit
Loss before tax - continuing operations
Prima facie income tax benefit at 30% (2021: 30%)
Increase in income tax expense due to:
- Adjustments not resulting in temporary differences
- Effect of tax losses not recognised
- Unrecognised temporary differences
2022
$
2021
$
-
-
-
-
-
-
(1,309,982)
(2,110,006)
(392,995)
(633,002)
126,405
316,228
(49,638)
(114,609)
776,079
(28,468)
Income tax expense current and deferred
-
-
Deferred tax assets have not been recognised in respect
of the following items
Deductible temporary differences (net)
Tax losses
Net
102,864
10,235,458
74,049
9,962,041
10,338,322
10,036,090
The deductible temporary differences and tax losses do not expire under the current tax legislation.
Deferred tax assets have not been recognised in respect of these items because it is not probable that
future taxable profit will be available against which the Company can utilise the benefits of the deferred
tax asset.
49
ARGENT MINERALS LIMITED
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2022
11 TRADE AND OTHER RECEIVABLES
Other receivables
2022
$
2021
$
76,953
12,162
The above aging of debtors are all current and nil expected credit losses has been raised.
12 OTHER ASSETS
Current prepayments - Insurance
11,448
11,641
13 FINANCIAL ASSETS
Balance at beginning of reporting period
Shares received from ASX listed company
Revaluation movement during the period
Balance at end of reporting period
14 PROPERTY, PLANT AND EQUIPMENT
Land and Buildings
Land and Building - at cost
Accumulated depreciation
Plant and Equipment
Plant and equipment - at cost
Accumulated depreciation
Motor Vehicle
Motor Vehicle - at cost
Accumulated depreciation
2022
$
-
520,000
410,000
930,000
2022
$
502,763
(265,432)
237,331
180,433
(157,669)
22,764
19,621
(19,621)
-
2021
$
-
-
-
-
2021
$
502,763
(241,123)
261,640
170,438
(144,026)
26,412
63,636
(7,424)
56,212
Total property, plant and equipment - net book value
260,095
344,264
50
ARGENT MINERALS LIMITED
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2022
14 PROPERTY, PLANT AND EQUIPMENT (cont(cid:146)d)
Reconciliations
Reconciliations of the carrying amounts for each class of assets are set out below:
Land and Buildings
Balance at 1 July
Additions
Depreciation
Carrying amount at 30 June
Plant and equipment
Balance at 1 July
Additions
Disposals
Depreciation
Carrying amount at 30 June
Motor Vehicle
Balance at 1 July
Additions
Depreciation
Disposals
Carrying amount at 30 June
Total carrying amount at 30 June
15 RIGHT OF USE ASSET
Office Lease
Balance at 1 July
Disposal
Additions (i)
Depreciation
2022
$
261,640
-
(24,308)
237,332
26,412
9,995
-
(13,643)
22,764
56,212
-
(12,197)
(44,015)
-
344,264
2022
$
225,218
(135,380)
106,872
(95,108)
101,602
2021
$
285,947
-
(24,307)
261,640
32,530
12,993
-
(19,112)
26,412
-
63,636
(7,424)
-
56,212
344,264
2021
$
40,216
(32,530)
269,522
(51,990)
225,218
(i) On 7 May 2022, Argent Minerals Limited entered into an office lease arrangement with a 36-month term with an option to extend
for an additional 12 months. Annual Rent is $30,000 with a fixed increase of 5% from exercising of the option. The right of use asset
has been assessed at an incremental borrowing rate of 5%. Total cash outflow to date was $5,000 and interest charged for the year
was $724 for the year. The old lease arrangement entered into in the previous year was terminated during the year.
51
ARGENT MINERALS LIMITED
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2022
16 LEASE LIABILITIES
Office lease
Lease liabilities - current
Lease liabilities - non-current
Office Lease Reconciliation
Balance at 1 July
Disposal
Additions
Interest
Lease Payment
Closing Balance
2022
$
31,974
70,622
102,596
233,832
(145,657)
106,872
7,549
(100,000)
102,596
2021
$
95,000
138,832
233,832
40,477
(32,677)
269,522
4,606
(48,096)
233,832
Refer to the risk management section at note 24, which contains exposure analysis for lease liabilities.
17 TRADE AND OTHER PAYABLES
Current
Trade creditors
Accruals (cid:150) exploration, admin and director fees
2022
$
38,319
21,567
59,886
2021
$
142,747
304,143
446,890
Refer to the risk management section at note 24, which contains exposure analysis for trade and other
payables.
18 EMPLOYEE ENTITLEMENTS
Current
Employee annual leave provision
2022
$
-
-
2021
$
17,618
17,618
There were no employees in the current reporting period (2021: 3).
52
ARGENT MINERALS LIMITED
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2022
19 CAPITAL AND RESERVES
At the beginning of the reporting period
Director placement on 17 July 2020
Issue of Shares to Directors in Lieu of Director Fees and box hill option
agreement approved by shareholders
Conversion of Options on 31 July 2020 @ $0.025
Conversion of Options on 19 August 2020 @ $0.025
Share placement on 19 August 2020 @ 0.055
Conversion of Options on 26 August 2020 @ $0.025
Conversion of Options on 1 September 2020 @ $0.025
Conversion of Options on 7 September 2020 @ $0.025
Conversion of Options on 7 September 2020 @ $0.050
Conversion of Options on 16 September 2020 @ $0.025
Conversion of Options on 22 September 2020 @ $0.025
Conversion of Options on 29 September 2020 @ $0.025
Conversion of Options on 6 October 2020 @ $0.025
Conversion of Options on 14 October 2020 @ $0.025
Conversion of Options on 21 October 2020 @ $0.025
Conversion of Options on 28 October 2020 @ $0.025
Conversion of Options on 3 November 2020 @ $0.025
Conversion of Options on 2 February 2021@ $0.05
Conversion of Options on 9 February 2021 @ $0.031
Conversion of Options on 10 March 2021 @ $0.05
Issue of shares for part payment of a fee @ $0.04
Conversion of Options on 29 October 2021 @ $0.05
Issue of 5,000,000 shares as part of AGM Approval 30 November 2021
Issue of 821,428 shares for part payment of a fee @ $0.32
Share issue costs
Balance at end of reporting period
(a) Movement in ordinary shares
At the beginning of the reporting period
Shares issued during the reporting period
30 June 2022
30 June 2021
$
$
38,093,320
33,368,098
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
2,985
175,000
26,285
150,000
182,002
75,000
76,589
2,200,000
40,093
56,677
113,140
540
104,888
54,875
118,750
99,712
206,393
435,552
692,520
189,099
3,128
31,000
636
25,105
-
-
-
-
(130,477)
38,297,590
38,093,320
30 June 2022
30 June 2021
Number
876,849,124
Number
728,463,885
5,881,129
148,385,239
Balance at the end of the financial year
882,730,253
876,849,124
53
ARGENT MINERALS LIMITED
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2022
19 CAPITAL AND RESERVES (cont(cid:146)d)
Terms and conditions - Shares
Holders of ordinary shares are entitled to receive dividends as declared and are entitled to one vote per share
at shareholders' meetings. In the event of winding up of the Company, ordinary shareholders rank after
creditors and are fully entitled to any proceeds of liquidation.
Option Premium Reserves
At the beginning of the year
Share based payment expense
Balance at the end of the year
Asset Revaluation Reserves
At the beginning of the year
Revaluation during the year
Balance at the end of the year
2022
$
249,220
217,204
466,424
2022
$
-
410,000
410,000
2021
$
249,220
-
249,220
2021
$
-
-
-
Listed options to take up ordinary shares in the capital of the Company have been granted as follows:
Exercise Period
On or before 29
October 2021
Exercise Period
On or before 29
October 2021
On or before 29
October 2020
Exercise
Price
Opening
Balance
1 July 2021
Options (Exercised)
(ii)
Options (Expired)
Closing
Balance
30 June 2022
$0.05
97,215,893
(59,701)
(97,156,192)
-
Exercise
Price
Opening
Balance
1 July 2020
Options Issued
Options
Expired/Exercised
Closing
Balance
30 June 2021
$0.05
77,302,004
20,000,000
(86,111)
97,215,893
$0.025
90,540,475
-
(90,540,475)
-
54
ARGENT MINERALS LIMITED
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2022
Unlisted options to take up ordinary shares in the capital of the Company have been granted as follows:
Options Issued (i) Options (Expired)
Closing
Balance
30 June 2022
Exercise
Price
Opening
Balance
1 July 2021
$0.03
4,000,000
$0.06
3,000,000
$0.10
3,500,000
$0.031
15,000,000
Exercise Period
On or before 30
September 2021
On or before 30
September 2021
On or before 30
September 2021
On or before 27
October 2022
On or before 30
November 2024
-
-
-
(4,000,000)
(3,000,000)
(3,500,000)
-
-
-
-
-
15,000,000
6,000,000
$0.05
-
6,000,000
Exercise Period
Exercise
Price
Opening Balance
1 July 2020
Options
Issued/(Expired)/(Exercised)
Number
Closing
Balance
30 June 2021
On or before 30
September 2021
On or before 30
September 2021
On or before 30
September 2021
On or before 27
October 2022
$0.03
4,000,000
$0.06
3,000,000
$0.10
3,500,000
-
-
-
4,000,000
3,000,000
3,500,000
$0.031
16,000,000
(1,000,000)
15,000,000
(i)
On 30 November 2021, the Company issued 6,000,000 5 cents unlisted options to its employees under
the Employee Share Scheme. These options expire on 30 November 2024. Refer to note 23 for further
detail.
(ii) On 1 November 2021, the Company issued 59,701 shares for the exercise of 59,701 5 cents listed
options.
55
ARGENT MINERALS LIMITED
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2022
20 STATEMENT OF CASH FLOWS
Reconciliation of cash flows used in operating activities
Loss for the year
Adjustments for:
Depreciation of plant and equipment
Share based payments
Interest expense
Impairment of lease asset
Other income
Changes in assets and liabilities
Decrease in R&D claims payable
(Increase)/decrease in receivables and prepayments
(Decrease)/increase in payables and provisions
2022
$
2021
$
(1,309,982)
(2,110,006)
145,256
418,490
42,643
(135,380)
(540,000)
-
(56,446)
(474,198)
95,147
-
29,931
-
-
10,734
34,038
(636,979)
Net cash used in operating activities
(1,909,617)
(2,577,135)
Non-Cash Investing and Financing Activities
Refer to note 23 for share-based payments, and notes 15 and 16 for leases in respects to non-cash
financing activities.
21 RELATED PARTIES
Key management personnel and director transactions
The following key management personnel holds a position in another entity that results in them having control
or joint control over the financial or operating policies of that entity, and this entity transacted with the
Company during the year as follows:
Mr Karageorge and Mr Kastellorizos are directors of MinRex Resources Limited (ASX: MRR). As at 30
June 2022, Argent Minerals Limited owned 30,000,000 shares in MRR.
Key management personnel compensation
During the year ended 30 June 2022, compensation of key management personnel totalled $903,149 (2021:
$519,040), which comprised primarily of salary, fees and other benefits of $444,683 (2021: $514,765),
superannuation of $4,000 (2021: $4,275) and share-based payments of $454,466 (2021: nil).
The Directors included in the above amounts are George Karageorge, Peter Michael, Pedro Kastellorizos
(appointed CEO on 16 March 2022 and Managing Director on 1 June 2022), David Greenwood (appointed
23 August 2021) and Stuart Till (resigned 23 August 2021).
56
ARGENT MINERALS LIMITED
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2022
22 R&D CLAIMS REPAYABLE
R&D Claim repayable
2022
$
497,166
2021
$
645,886
On 23 December 2019, Argent announced that the AusIndustry Independent Internal Review issued negative
findings on the R&D Claims made by the Company for the 2015/16 and 2016/17 financial years (R&D
Claims). The law provides the Company with full rights to a multi-stage review and dispute resolution process,
with the rights of appeal to both the Administrative Appeals Tribunal (AAT) and thereafter the Federal Court.
On 24 January 2020, the Commissioner agreed to the proposal submitted by Argent whereby the Company
continues to make nominal $5,000 monthly payments. As announced on 22 May 2020, Argent entered into
a negotiated arrangement with the ATO around the settlement of the amounts, with a payment plan to be
agreed. Currently, the Company is still under the arrangement to make $10,000 monthly payment.
The Company accrued an overall General Interest Charge (GIC) of $34,006 (2021: $25,325).
At 30 June 2022, a provision for $497,166 (2021: $645,886) has been recognised equal to the amount
repayable (including general interest charges) in relation to the R&D claim for the 2016 and 2017 financial
years.
57
ARGENT MINERALS LIMITED
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2022
23 SHARE BASED PAYMENTS
The Company has an Incentive Option Plan to provide eligible persons, being employees or directors, or
individuals whom the Plan Committee determine to be employees for the purposes of the Plan, with the
opportunity to acquire options over unissued ordinary shares in the Company. The number of options granted
or offered under the Plan will not exceed 10% of the Company's issued share capital and the exercise price
of options will be the greater of the market value of the Company's shares as at the date of grant of the option
or such amount as the Plan Committee determines. Options have no voting or dividend rights. The vesting
conditions of options issued under the plan are based on minimum service periods being achieved. There
are no other vesting conditions attached to options issued under the plan.
In the event that the employment or office of the option holder is terminated, any options which have not
reached their exercise period will lapse and any options which have reached their vesting date may be
exercised within two months of the date of termination of employment. Any options not exercised within this
two-month period will lapse.
During the financial year, the Company incurred share-based payment expense of $418,490 through the
issues of shares and options. This includes shares issued Mr Karageorge to a value of $175,000 granted as
per the Annual General Meeting and shares issued to a consultant to settle previous period fees to a value
of $26,286. The Company also incurred share-based payment expense through the issue of options and
performance rights to the value of $217,204 during the period. Details of the options and performance rights
are highlighted below.
The valuation of share-based payment transactions is measured by reference to fair value of the equity
instruments at the date at which they are granted. The Incentive Options fair value is determined using the
Black-Scholes model, taking into account the terms and conditions upon which the options were granted.
The fair value of the performance rights is determined using the Barrier Up-and-In Trinomial Pricing Model,
taking into account the terms and conditions upon which the rights were granted.
The following options were on issue at 30 June 2022. 6,000,000 unlisted options were granted during the
year.
Grant Date
30 Nov 2021
28 Oct 2019
Expiry Date
30 Nov 2024
27 Oct 2022
Vesting Date
30 Nov 2024
28 Oct 2019
Fair
Value of
Options
Granted
$132,185
-
Expired
During the
Period
Balance at
the end of
the period
-
6,000,000
- 15,000,000
Exercise
Price
$0.05
$0.031
3,000,000 unlisted options exercisable at $0.06 on or before 3 years after the date of grant are to be issued
to Mr Kastellorizos, subject to shareholders approval at the 2022 Annual General Meeting of the Company.
The following performance rights were issued during the year.
Grant Date
30 Nov 2021
30 Nov 2021
30 Nov 2021
Expiry Date
30 Nov 2024
30 Nov 2024
30 Nov 2024
Vesting Date
5 years
5 years
6 months
Fair
Value of
Rights
Granted
$323,000
$313,500
$70,000
Exercise
Price
$0.05
$0.055
n/a
30 Nov 2021
30 Nov 2024
5 years
$0.045
$17,000
Expired
During the
Period
-
-
-
-
Balance at
the end of
the period
9,500,000
9,500,000
2,000,000
500,000
58
ARGENT MINERALS LIMITED
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2022
23
SHARE BASED PAYMENTS (cont(cid:146)d)
A total of 12,500,000 Performance Rights (5,000,000 Class A, 5,000,000 Class B and 2,500,000 Class C)
are to be issued to Mr Kastellorizos, subject to shareholders approval at the 2022 Annual General Meeting
of the Company. The performance milestones are disclosed further down.
The following options were on issue at 30 June 2021. No options were granted during the year 2021.
Grant Date
24 Oct 2016
24 Oct 2016
24 Oct 2016
25 Oct 2018
25 Oct 2018
25 Oct 2018
25 Oct 2018
25 Oct 2018
25 Oct 2018
28 Oct 2019
Expiry Date
30 Sep 2021
30 Sep 2021
30 Sep 2021
30 Sep 2021
30 Sep 2021
30 Sep 2021
30 Sep 2021
30 Sep 2021
30 Sep 2021
27 Oct 2022
Vesting Date
24 Oct 2016
31 Dec 2017
31 Dec 2018
31 Dec 2018
30 Jun 2019
30 Jun 2020
30 Jun 2019
30 Jun 2020
30 Jun 2020
28 Oct 2019
Fair value of options and performance rights
Fair
Value of
Options
Granted
$30,154
$26,826
$24,052
$5,600
$5,600
$5,600
$3,200
$3,200
$3,800
$160,180
Exercise
price
$0.03
$0.06
$0.10
$0.03
$0.03
$0.03
$0.06
$0.06
$0.10
$0.031
Expired
During the
Period
Balance at
the end of
the period
1,000,000
-
-
1,000,000
-
1,500,000
-
1,000,000
-
1,000,000
-
1,000,000
-
1,000,000
-
1,000,000
-
2,000,000
- 15,000,000
The fair value of options granted is measured at grant date and recognised as an expense over the period
during which the key management and the employees become unconditionally entitled to the options. The
fair value of the options granted is measured using an option valuation methodology, taking into account the
terms and conditions upon which the options were granted. The amount recognised as an expense is
adjusted to reflect the actual number of options that vest.
Below is the fair value of the options and performance rights issued during the year using the Black-Scholes
model and Barrier Up-and-In Trinomial Pricing Model.
VALUE OF INPUT
ITEM
INCENTIVE
OPTIONS
PERFORMANCE RIGHTS
CLASS A
CLASS B
CLASS C
CLASS D
Fair value per
option/Rights
Number of
options/Rights
Exercise price /Target
Share price
Expected volatility
Implied option/rights
life
Expected dividend yield
Risk free rate
Underlying share price
at grant date
Grant Date
Vesting Period
$0.0220
$0.034
$0.033
$0.035
$0.034
6,000,000
9,500,000
9,500,000
2,000,000
500,000
$0.05
110%
3 years
Nil
0.53%
$0.035
$0.05
110%
5 years
Nil
1.31%
$0.035
$0.055
110%
5 years
Nil
1.31%
$0.035
$Nil
n/a
5 years
Nil
n/a
$0.035
$0.045
110%
5 years
Nil
1.31%
$0.035
30/11/2021
3 years
30/11/2021
5 years
30/11/2021
5 years
30/11/2021
6 months
30/11/2021
5 years
59
ARGENT MINERALS LIMITED
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2022
23 SHARE BASED PAYMENTS (cont(cid:146)d)
Options Vesting Conditions:
Unless the Board determines otherwise, an Option may only be exercised if, at the time of exercise,
the holder remains employed or engaged by the Company.
Performance rights vesting conditions:
Name
Performance Milestones
Class A Incentive
Performance Rights
The volume weighted average price of the Company(cid:146)s shares on ASX over 20
consecutive trading days (on which the Shares have been traded) being at least $0.050.
Class B Incentive
Performance Rights
The volume weighted average price of the Company(cid:146)s shares on ASX over 20
consecutive trading days (on which the Shares have been traded) being at least $0.055.
Class C Incentive
Performance Rights
Class D Incentive
Performance Rights
Vest six months after the date of grant.
Vest six months after the date of grant and the volume weighted average price of the
Company(cid:146)s shares on ASX over 20 consecutive trading days (on which the Shares
have been traded) being at least $0.045.
There is a service condition attached over the life of the performance rights.
Below is the fair value of the options and performance rights to be issued to the Managing Director
(subject to shareholders approval at the 2022 Annual General Meeting) using the Black-Scholes model
and Barrier Up-and-In Trinomial Pricing Model.
ITEM
INCENTIVE
OPTIONS
VALUE OF INPUT
PERFORMANCE RIGHTS
CLASS A
CLASS B
CLASS C
Fair value per
option/Rights
Number of
options/Rights
Exercise price /Target
Share price
Expected volatility
Implied option/rights
life
Expected dividend yield
Risk free rate
Underlying share price
at grant date
Grant Date
Vesting Period
$0.011
$0.021
$0.020
$0.024
3,000,000
5,000,000
5,000,000
2,500,000
$0.06
100%
3 years
Nil
2.89%
$0.06
100%
5 years
Nil
2.985%
$0.08
100%
5 years
Nil
2.985%
n/a
n/a
5 years
Nil
n/a
$0.024
30/05/2022
Immediately
$0.024
30/05/2022
5 years
$0.024
30/05/2022
5 years
$0.024
30/05/2022
6 months
60
ARGENT MINERALS LIMITED
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2022
23 SHARE BASED PAYMENTS (cont(cid:146)d)
Performance rights vesting conditions:
Name
Performance Milestones
Class A Incentive
Performance Rights
Class B Incentive
Performance Rights
Class C Incentive
Performance Rights
The volume weighted average price of the Company(cid:146)s shares on ASX
over 20 consecutive trading days (on which the Shares have been
traded) being at least $0.060.
The volume weighted average price of the Company(cid:146)s shares on ASX
over 20 consecutive trading days (on which the Shares have been
traded) being at least $0.08.
Vest six months after the date of grant.
During the year ended 30 June 2022, the company incurred share-based payment of $418,490 (2021:
$182,002).
No ordinary shares have been issued as a result of the exercise of any option granted pursuant to the
Incentive Option Plan during the current and prior financial year.
A summary of the movements of all the Company(cid:146)s options issued as share based payments is as follows:
2022
2021
Number
of options
Number
of options
Weighted
average
exercise
price
25,500,000
6,000,000
(10,500,000)
21,000,000
21,000,000
$0.036
$0.036
-
$0.036
$0.036
26,500,000
-
-
26,500,000
26,500,000
Weighted
average
exercise
price
$0.036
-
-
$0.036
$0.036
Outstanding at the beginning
Granted
Expired
Options outstanding at year end
Exercisable at year end
The weighted average remaining contractual life of share options outstanding at the end of 30 June 2022
was 0.9 years (2021: 0.9 years), and the weighted average exercise price was $0.036 (2021: $0.036).
24 FINANCIAL INSTRUMENTS
Financial risk management objectives and policies
The Group(cid:146)s financial instruments comprise deposits with banks, receivables, other deposits, trade and other
payables, and R&D claims repayable and from time-to-time short term loans from related parties. The Group
does not trade in derivatives or in foreign currency.
The Group manages its risk exposure of its financial instruments in accordance with the guidance of the audit
and the risk management committee and the Board of Directors. The main risks arising from the Group(cid:146)s
financial instruments are market risk, credit risk and liquidity risks. This note presents information about the
Group(cid:146)s exposure to each of these risks, its objectives, policies and processes for measuring and managing
risk, and the Group(cid:146)s management of capital.
Risk management framework
The Board has overall responsibility for the establishment and oversight of the risk management framework.
Informal risk management policies are established to identify and analyse the risks faced by the Group. The
primary responsibility to monitor the financial risks lies with the CEO and the Company Secretary under the
authority of the Board.
61
ARGENT MINERALS LIMITED
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2022
24 FINANCIAL INSTRUMENTS (cont(cid:146)d)
Credit risk
Credit risk arises mainly from the risk of counterparties defaulting on the terms of their agreements.
The carrying amounts of the following assets represent the Group(cid:146)s maximum exposure to credit risk in
relation to financial assets:
Cash and cash equivalents
Trade and other receivables
Security deposits
Note
Carrying amount
9
11
2022
$
1,785,225
76,953
141,648
2,003,826
2021
$
3,747,027
12,162
129,750
3,888,939
Management have determined expected credit loss to be immaterial at reporting date and accordingly no
allowance for expected credit loss has been recognised.
Cash and cash equivalents
The Group mitigates credit risk on cash and cash equivalents by dealing with regulated banks in Australia.
Credit rating of banks are AA- per the Standard & Poor(cid:146)s.
Trade and other receivables
Expected credit losses were assessed to be immaterial. Credit risk of trade and other receivables is very low
as it consists predominantly of amounts recoverable from Golden Cross Resources Limited for their share of
exploration expenditure in the West Wyalong project. In the event that such amounts are not recoverable,
their share in the project will be diluted in accordance with the Farm in and Joint Venture Agreements.
Security deposits of $141,648 held as deposits with government departments and regulated banks within
Australia are the only non-current financial assets held by the Group. All other financial assets are current
and are not past due or impaired and the Group does not have any material credit risk exposure to any single
debtor or group of debtors under financial instruments entered into by the Group.
Liquidity risk
Liquidity risk is the risk that the Group will not be able to meet its financial obligations as they fall due. The
Group(cid:146)s approach to managing liquidity is to ensure, as far as possible, that it will always have sufficient
liquidity to meet its liabilities when due, under both normal and stressed conditions, without incurring
unacceptable losses or risking damage to the Group(cid:146)s reputation.
Ultimate responsibility for liquidity management rests with the Board. The Group monitors rolling forecasts
of liquidity on the basis of expected fund raisings, trade payables and other obligations for the ongoing
operation of the Group. At reporting date, the Group has available funds of $1,785,225 for its immediate use.
62
ARGENT MINERALS LIMITED
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2022
24 FINANCIAL INSTRUMENTS (cont(cid:146)d)
The following are the contractual maturities of financial liabilities, including estimated interest payments:
Carrying
amount
Contractual
cash flows
Less than
one year
$
$
$
Between
one and
five years
$
Interest
$
59,882
106,872
497,166
59,882
59,882
-
-
106,872
31,974
70,622
7,327
497,166
497,166
-
-
30 June 2022
Trade and other payables
Lease liabilities
R&D Claims repayable
30 June 2021
Trade and other payables
446,890
446,890
446,890
-
-
Lease liabilities
233,832
238,438
95,000
138,832
4,606
R&D Claims repayable
645,886
645,886
645,886
-
-
It is not expected that the cash flows included in the maturity analysis could occur significantly earlier, or at
significantly different amounts.
Market Risks
Market risk is the risk that changes in market prices, such as foreign exchange rates, interest rates and equity
prices will affect the Group(cid:146)s income or the value of its holdings of financial instruments. The objective of
market risk management is to manage and control market risk exposures within acceptable parameters,
while optimising the return.
Interest rate risk
The Group(cid:146)s income statement is affected by changes in interest rates due to the impact of such changes on
interest income from cash and cash equivalents and interest-bearing security deposits. There were no
interest-bearing security deposits as at 30 June 2022.
At reporting date, the Group had the following mix of financial assets exposed to variable interest rate risk
that are not designated as cash flow hedges:
Financial assets
Cash and cash equivalents
Security deposits
Net exposure
Note
9
2022
$
2021
$
1,785,225
141,648
1,926,873
3,747,027
129,750
3,876,777
The Group did not have any interest-bearing financial liabilities in the current or prior year other than the R&D
claim payable and lease liability. The interest rate for the R&D was variable with a current rate of 6.4% and
the lease liability had an interest charge of 4.4%.
The Group does not have interest rate swap contracts. The Group always analyses its interest rate exposure
when considering renewals of existing positions including alternative financing.
63
ARGENT MINERALS LIMITED
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2022
24 FINANCIAL INSTRUMENTS (cont(cid:146)d)
Sensitivity Analysis
The following sensitivity analysis is based on the interest rate risk exposures at reporting date.
An increase of 100 basis points in interest rates throughout the reporting period would have decreased the
loss for the period by the amounts shown below, whilst a decrease would have increased the loss by the
same amount. The Company(cid:146)s equity consists of fully paid ordinary shares. There is no effect on fully paid
ordinary shares by an increase or decrease in interest rates during the period.
2022
$
24,963
2021
$
36,269
Currency risk
The Group is not exposed to any foreign currency risk as at 30 June 2022 (2021: nil).
Capital management
The Board(cid:146)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 Board ensures costs are not incurred in excess of available funds and will seek to raise additional funding
through issues of shares for the continuation of the Group(cid:146)s operations. There were no changes in the
Group(cid:146)s approach to capital management during the year.
The Group is not subject to externally imposed capital requirements.
Estimation of fair values
The carrying amounts of financial assets and liabilities approximate their net fair values, given the short time
frames to maturity and or variable interest rates.
25 SEGMENT REPORTING
For management purposes, the Group is organised into one main operating segment, which involves the
exploration of minerals in Australia. All of the Group(cid:146)s activities are interrelated, and discrete financial
information is reported to the Board as a single segment. Accordingly, all significant operating decisions are
based upon analysis of the Group as one segment.
The financial results from this segment are equivalent to the financial statements of the Group as a whole.
The accounting policies applied for internal reporting purposes are consistent with those applied in the
preparation of these financial statements.
64
ARGENT MINERALS LIMITED
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2022
26 SUBSIDIARIES
The parent entity, Argent Minerals Limited, has a 100% interest in Argent (Kempfield) Pty Ltd, Loch Lilly Pty
Ltd, West Wyalong Pty Ltd, Sunny Silver Pty Ltd and Mt Read Pty Ltd. Argent Minerals Limited is required
to make all the financial and operating policy decisions for these subsidiaries.
Subsidiaries
Argent (Kempfield) Pty Ltd
Loch Lilly Pty Ltd
West Wyalong Pty Ltd
Sunny Silver Pty Ltd
Mt Read Pty Ltd
Country of
incorporation
Australia
Australia
Australia
Australia
Australia
Ownership percentage
2021
2022
100%
100%
100%
100%
100%
100%
100%
100%
100%
100%
27 PARENT COMPANY DISCLOSURE
(a) Financial Position as at 30 June 2022
Assets
Current assets
Non-current assets
Total assets
Liabilities
Current liabilities
Total liabilities
Net assets
Equity
Issued capital
Reserves
Accumulated losses
Total equity
2022
$
2,799,813
503,345
3,303,158
2021
$
3,764,789
770,438
4,535,227
657,504
657,504
1,409,391
1,409,391
2,645,654
3,125,836
38,297,589
876,424
(36,528,359)
38,093,320
249,220
(35,216,704)
2,645,654
3,125,836
There are no contingencies, commitments and guarantees by the Parent other than disclosed in Note 28.
(b) Financial Performance for the year ended 30 June 2022
Loss for the year
Other comprehensive income
Total comprehensive loss
(1,311,655)
410,000
(901,655)
(1,707,879)
-
(1,707,879)
65
ARGENT MINERALS LIMITED
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2022
28 CONTINGENT LIABILITIES AND COMMITMENTS
The Group has no exploration commitments as at 30 June 2022 (2021: $170,000 within 1 year and $170,000
between 1 to 5 years). However, in order to retain the rights of tenure to its granted tenements, the Company
is required to meet the minimum statutory expenditure requirements but may reduce these at any time by
reducing the size of the tenements.
Pursuant to a Binding Term Sheet for an Option to Purchase (cid:147)Box Hill(cid:148) Farm ((cid:147)Agreement(cid:148)) and subject to
the Company meeting the Option terms and exercising the Option, the Company will be required to pay $3m
to the Sellers for the Land and Farm Assets after which the Company would also have to bear the costs to
arrange and manage the construction of a new house and out-buildings at the Sellers property. There were
no other contingent liabilities as at 30 June 2022 (2021: nil).
29 JOINT OPERATIONS
West Wyalong
The Group has entered into the Farm in and Joint Venture Agreements with Golden Cross Operations Pty
Ltd, a wholly owned subsidiary of Golden Cross Resources Limited (ASX: GCR).
Under the terms of the Farm in and Joint Venture Agreement, Argent had previously earned a 70% interest
in the West Wyalong Project by spending a total of $1,350,000 by 31 March 2017.
Following the Company increasing its ownership of the West Wyalong project to 70%, under the West
Wyalong Farm in and Joint Venture Agreement, the Group(cid:146)s 30% partner will either contribute their share of
exploration expenditure or be diluted.
As at 30 June 2022, the joint venture partner decided to not contribute their share of exploration expenditure
amounting to $nil (2021: $nil). Following this election, the Company now owns 82.49% (2021: $82.49%) of
the West Wyalong Project. There was $nil receivable outstanding as at 30 June 2022 (2020: $nil).
Loch Lilly
On 12 February 2017, the Group entered into joint venture agreement to earn a 51% interest, then 70% and
90% in the Loch Lilly Project, with exploration licences and applications covering a significant area of the
Loch Lilly (cid:150) Kars Belt of over 1,400km2. The joint venture continues until the Company earns 90% or
withdraws from the joint venture.
The Company earned a 51% interest in the joint venture completing a drill program to test two geophysical
targets during the year. A 70% interest will be earned by the Company investing a further $200,000 in
exploration expenditure of the project area, plus a payment of $50,000. There is no time limit by which the
expenditure is to be completed other than that implied by the regulatory expenditure requirements. A 90%
interest will be earned by the Company investing a further $250,000 in exploration expenditure of the project
area, plus a payment of $50,000. There is no time limit by which the expenditure is to be completed other
than that implied by the regulatory expenditure requirements.
The Company continues as sole contributor to project expenditure until a decision to mine.
Either party may withdraw from the joint venture on provision of a 30-day notice of withdrawal. In the event
that the Company withdraws after it has earned a 51% interest but no further interest, its interest will revert
to 49%. In any case if the Company withdraws more than three months into the relevant tenement regulatory
annual licence period, it must fund the other party's minimum regulatory expenditure for the reminder of that
annual period.
66
ARGENT MINERALS LIMITED
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2022
30 SUBSEQUENT EVENTS
On 19 July 2022, the Company announced that a RC drilling program over its 100% owned Kempfield Cu-
Pb-Zn-Au-Ag Project in New South Wales is planned to commence in October/November 2022 subject to
favourable weather conditions.
On 19 August 2022, the Company issued 2,528,089 fully paid ordinary shares at a deemed issue price of
$0.0178 in relation to a part payment of a fee.
On 14 September 2022, the Company announced a maiden JORC 2012 Resource at its Mt Dudley Gold
Prospect within the Company(cid:146)s Gold Project on the eastern Lachlan Ford Belt, NSW.
Except for the above, no other matters or circumstances have arisen since the end of the financial year which
significantly affected or could significantly affect the operations of the Group, the results of those operations,
or the state of the affairs of the Group in future financial years.
67
ARGENT MINERALS LIMITED
DIRECTORS' DECLARATION
1.
In the opinion of the directors of Argent Minerals Limited (the Company):
(a)
the consolidated financial statements and notes thereto and the Remuneration Report in the
Directors Report are in accordance with the Corporations Act 2001, including:
(i) giving a true and fair view of the Group(cid:146)s financial position as at 30 June 2022 and of its
performance for the financial year ended on that date; and
(ii) complying with Australian Accounting Standard, the Corporations Regulations 2001 and
other mandatory professional reporting requirements;
(b)
there are reasonable grounds to believe that the Company will be able to pay its debts as and when
they become due and payable.
2. The directors have been given the declarations required by Section 295A of the Corporations Act 2001
from the Chief Executive Officer and Chief Financial Officer (Equivalent) for the financial year ended
30 June 2022.
3. The directors draw attention to note 2(a) of the consolidated financial statements, which includes a
statement of compliance with International Financial Reporting Standards.
On behalf of the directors,
Mr Pedro Kastellorizos
Managing Director/Chief Executive Officer
Perth, 30 September 2022
68
Tel: +61 8 6382 4600
Fax: +61 8 6382 4601
www.bdo.com.au
Level 9, Mia Yellagonga Tower 2
5 Spring Street
Perth WA
PO Box 700 West Perth WA 6872
Australia
INDEPENDENT AUDITOR'S REPORT
To the members of Argent Minerals Limited
Report on the Audit of the Financial Report
Opinion
We have audited the financial report of Argent Minerals Limited (the Company) and its subsidiaries (the
Group), which comprises the consolidated statement of financial position as at 30 June 2022, 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, and notes
to the financial report, including a summary of significant accounting policies and the directors’
declaration.
In our opinion the accompanying financial report of the Group, is in accordance with the Corporations
Act 2001, including:
(i)
Giving a true and fair view of the Group’s financial position as at 30 June 2022 and of its
financial performance for the year ended on that date; and
(ii)
Complying with Australian Accounting Standards and the Corporations Regulations 2001.
Basis for opinion
We conducted our audit in accordance with Australian Auditing Standards. Our responsibilities under
those standards are further described in the Auditor’s responsibilities for the audit of the Financial
Report section of our report. We are independent of the Group in accordance with the Corporations
Act 2001 and the ethical requirements of the Accounting Professional and Ethical Standards Board’s
APES 110 Code of Ethics for Professional Accountants (including Independence Standards) (the Code)
that are relevant to our audit of the financial report in Australia. We have also fulfilled our other
ethical responsibilities in accordance with the Code.
We confirm that the independence declaration required by the Corporations Act 2001, which has been
given to the directors of the Company, would be in the same terms if given to the directors as at the
time of this auditor’s report.
We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis
for our opinion.
1
BDO Audit (WA) Pty Ltd ABN 79 112 284 787 is a member of a national association of independent entities which are all members of BDO Australia Ltd
ABN 77 050 110 275, an Australian company limited by guarantee. BDO Audit (WA) Pty Ltd and BDO Australia Ltd are members of BDO International
Ltd, a UK company limited by guarantee, and form part of the international BDO network of independent member firms. Liability limited by a scheme
approved under Professional Standards Legislation.
69
Key audit matters
Key audit matters are those matters that, in our professional judgement, were of most significance in
our audit of the financial report of the current period. These matters were addressed in the context of
our audit of the financial report as a whole, and in forming our opinion thereon, and we do not provide
a separate opinion on these matters. We have determined the matters described below to be the key
audit matters to be communicated in our report.
Accounting for Share Based Payments
Key audit matter
How the matter was addressed in our audit
During the year, the group awarded share based
Our procedures included, but were not limited to the
payments in the form of share options and
following:
performance rights.
•
Reviewing relevant supporting documentation to
Due to the complex and judgemental estimates used in
obtain an understanding of the contractual
determining the valuation of the share based payments
nature, terms and conditions of the share based
in accordance with AASB 2 Share Based Payment, we
payment arrangements;
consider the Group’s calculation of the share based
payment expense, and associated disclosure to be a
key audit matter.
• Considering the appropriateness of the valuation
methodology used by management to measure
and value the share-based payments;
•
Involving our internal specialists to re-perform
the valuation and assess the reasonableness of
inputs used in valuations of the share-based
payments;
• Assessing the allocation of the share-based
payment expense over managements expected
vesting period; and
• Assessing the adequacy of the related disclosures
in the financial report.
70
Other information
The directors are responsible for the other information. The other information comprises the
information in the Group’s annual report for the year ended 30 June 2022, but does not include the
financial report and the auditor’s report thereon.
Our opinion on the financial report does not cover the other information and we do not express any
form of assurance conclusion thereon.
In connection with our audit of the financial report, our responsibility is to read the other information
and, in doing so, consider whether the other information is materially inconsistent with the financial
report or our knowledge obtained in the audit or otherwise appears to be materially misstated.
If, based on the work we have performed, we conclude that there is a material misstatement of this
other information, we are required to report that fact. We have nothing to report in this regard.
Responsibilities of the directors for the Financial Report
The directors of the Company are responsible for the preparation of the financial report that gives a
true and fair view in accordance with Australian Accounting Standards and the Corporations Act 2001
and for such internal control as the directors determine is necessary to enable the preparation of the
financial report that gives a true and fair view and is free from material misstatement, whether due to
fraud or error.
In preparing the financial report, the directors are responsible for assessing the ability of the group to
continue as a going concern, disclosing, as applicable, matters related to going concern and using the
going concern basis of accounting unless the directors either intend to liquidate the Group or to cease
operations, or has no realistic alternative but to do so.
Auditor’s responsibilities for the audit of the Financial Report
Our objectives are to obtain reasonable assurance about whether the financial report as a whole is free
from material misstatement, whether due to fraud or error, and to issue an auditor’s report that
includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an
audit conducted in accordance with the Australian Auditing Standards will always detect a material
misstatement when it exists. Misstatements can arise from fraud or error and are considered material
if, individually or in the aggregate, they could reasonably be expected to influence the economic
decisions of users taken on the basis of this financial report.
A further description of our responsibilities for the audit of the financial report is located at the
Auditing and Assurance Standards Board website at:
https://www.auasb.gov.au/admin/file/content102/c3/ar1_2020.pdf
This description forms part of our auditor’s report.
71
Report on the Remuneration Report
Opinion on the Remuneration Report
We have audited the Remuneration Report included in pages 25 to 30 of the directors’ report for the
year ended 30 June 2022.
In our opinion, the Remuneration Report of Argent Minerals Limited, for the year ended 30 June 2022,
complies with section 300A of the Corporations Act 2001.
Responsibilities
The directors of the Company are responsible for the preparation and presentation of the
Remuneration Report in accordance with section 300A of the Corporations Act 2001. Our responsibility
is to express an opinion on the Remuneration Report, based on our audit conducted in accordance with
Australian Auditing Standards.
BDO Audit (WA) Pty Ltd
Jarrad Prue
Director
Perth, 30 September 2022
72
ARGENT MINERALS LIMITED
SHAREHOLDER INFORMATION
ASX ADDITIONAL INFORMATION AS AT 14 SEPTEMBER 2022
Home Exchange
The Company is listed on the ASX Limited. The home exchange is Perth.
Use of Cash and Assets
Since the Company's listing on the ASX, the Company has used its cash and assets in a way consistent
with its stated business objectives.
Class of Shares and Voting Rights
There is only one class of shares in the Company, fully paid ordinary shares.
The rights attaching to shares in the Company are set out in the Company's Constitution. The following is
a summary of the principal rights of the holders of shares in the Company.
Every holder of shares present in person or by proxy, attorney or representative at a meeting of
shareholders has one vote on a vote taken by a show of hands, and, on a poll every holder of shares who
is present in person or by proxy, attorney or representative has one vote for every fully paid share registered
in the shareholder's name on the Company's share register.
Distribution of Equity Security holders
As at 14 September 2022, the distribution of each class of equity was as follows:
Quoted Securities (cid:150) Fully Paid Ordinary Shares
Holding Ranges
above 0 up to and including 1,000
above 1,000 up to and including 5,000
above 5,000 up to and including 10,000
above 10,000 up to and including 100,000
above 100,000
Totals
162
163
212
1,298
Holders Total Units
16,627
552,823
1,839,593
56,388,735
744 826,460,564
2,579 885,258,342
% Issued Capital
0.00%
0.06%
0.21%
6.37%
93.36%
100.00%
At 14 September 2022, 1,047 shareholders held less than a marketable parcel of shares.
Substantial Shareholders
The names of the substantial shareholders who have notified the Company in Accordance with Section 671B of
the Corporations Act 2001 are:
Shareholder
HSBC CUSTODY NOMINEES
(AUSTRALIA) LIMITED
Ordinary shares held
Percentage interest %
152,153,936
17.19%
73
ARGENT MINERALS LIMITED
SHAREHOLDER INFORMATION
Twenty (20) Largest Quoted Shareholders
Position
1
Holder Name
HSBC CUSTODY NOMINEES (AUSTRALIA) LIMITED
OCEANIC CAPITAL PTY LTD
CITICORP NOMINEES PTY LIMITED
Holding
152,153,936
41,835,499
28,593,397
SHIPBARK PTY LIMITED
18,000,000
BNP PARIBAS NOMINEES PTY LTD
ELPHINSTONE HOLDINGS PTY LTD
JRMA GROUP PTY LTD
16,835,575
14,285,714
12,988,422
% IC
17.19%
4.73%
3.23%
2.03%
1.90%
1.61%
1.47%
ST BARNABAS INVESTMENTS PTY LTD
11,000,000
1.24%
MR DANNY MURPHY & MRS SUSAN MURPHY
10,882,631
1.23%
MR AVIJEET CHAUHAN & MS ANJANA RAO
GEOSAN SMSF PAXSON GROUP
BNP PARIBAS NOMS PTY LTD
MR DAVID IAN RAYMOND HALL & MRS DENISE ALLISON
HALL
DIXTRU PTY LIMITED
MR JOHN ANTHONY COOPER & MRS ROBYN LIDDELL
COOPER
MR DANIEL HIDAJAT
CAVES ROAD INVESTMENTS PTY LTD
MR OWEN BARRY MERRETT & MRS JOANNE ROSS
MERRETT
MR DEAN MICHAEL MATHEWS
BNP PARIBAS NOMINEES PTY LTD ACF CLEARSTREAM
Total
Total issued capital - selected security class(es)
10,580,858
10,535,109
10,091,967
9,290,130
8,800,000
7,903,718
7,158,888
6,315,000
1.20%
1.19%
1.14%
1.05%
0.99%
0.89%
0.81%
0.71%
6,250,000
0.71%
6,233,317
6,102,549
395,836,710
885,258,342
0.70%
0.69%
44.71%
100.00%
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
There are no current on-market buy-backs.
74
ARGENT MINERALS LIMITED
SCHEDULE OF MINERAL TENEMENTS
Tenement Identifier
Location
Current Equity
Interest
Kempfield
EL5645 (1992)
EL5748 (1992)
EL7134 (1992)
EL7785 (1992)
EL8951 (1992)
EL8213 (1992)
EL9251 (1992)
PLL517 (1924)
PLL519 (1924)
PLL727 (1924)
PLL728 (1924)
West Wyalong
EL8430 (1992)
Loch Lilly
EL8199 (1992)
EL8200 (1992)
EL8515 (1992)
EL8516 (1992)
Ringville
El12/2017
Mount Farrell
EL12/2019
Sunny Corner
EL5964 (1992)
Mount Tennyson
EL9059 (1992)
NSW
NSW
NSW
NSW
NSW
NSW
NSW
NSW
NSW
NSW
NSW
NSW
NSW
NSW
NSW
NSW
TAS
TAS
NSW
NSW
100%2
100%2
100%2
100%2
100%2
100%2
100%2
100%2
100%2
100%2
100%2
79.59%3
51%4
51%4
51%4
51%4
100%
100%
100%5
100%
Notes
1. The definition of (cid:147)Mining Tenement(cid:148) in ASX Listing Rule 19.12 is (cid:147)Any right to explore or extract minerals in a given place(cid:148).
2. For all Kempfield tenements the tenement holder is Argent (Kempfield) Pty Ltd, a wholly-owned subsidiary of Argent.
3. Under the West Wyalong Joint Venture and Farm-In Agreement dated 8 June 2007 between Golden Cross Operations Pty
Ltd and Argent as tenement holder (WWJVA), Argent has earned a 70% interest plus ongoing increments. The ongoing
interests of the parties includes WWJVA expenditure contribution and dilution provisions commencing on a 70/30 basis.
4. The tenement holder for EL8199 and EL8200 is San Antonio Exploration Pty Ltd (SAE), and for EL8515 and EL8516 it is
Loch Lilly Pty Ltd (LLP), a wholly-owned subsidiary of Argent Minerals Limited. Under the Loch Lilly Fermin and Joint Venture
Agreement (JVA) dated 12 February 2017 (effective date 17 February 2017), the respective ownership of all the tenements
by the JVA Parties (SAE and LLP) is according to their respective JVA Interests. LLP has the right to earn up to a 90%
interest, with the first 51% interest earned by completing the drill test for the Eaglehawk and Netley targets. For further
details on earn in terms and conditions see ASX announcement 20 February 2017 (cid:150) Argent secures strategic stake in Mt.
Read equivalent belt.
5. The tenement holder is Sunny Silver Pty Ltd, a wholly-owned subsidiary of Argent Minerals Limited.
75
MINERAL RESOURCES AND ORE RESERVES STATEMENT
KEMPFIELD (NSW, AUSTRALIA - 100% ARGENT)
RESOURCE SUMMARY
The updated Kempfield JORC 2012 Mineral Resource estimate as announced on 30 May 2018 is summarised in
the following table at cut-off grades of 25 g/t Ag for Oxide/Transitional and 80 g/t Ag equivalent1 for Primary:
Table 1 - Kempfield Mineral Resource summary
Silver
(Ag)
Gold
(Au)
Lead
(Pb)
Zinc
(Zn)
In-situ Contained Metal
Equivalents2
Zn Eq
Ag Eq
Resource Grade
Tonnes
(g/t)
(Mt)
Contained
Metal
(Moz)
Grade
(g/t)
Contained
Metal
(000 oz)
Grade
(%)
Contained
Metal
(000 t)
Grade
(%)
Contained
Metal
(000 t)
Grade
(Zn Eq
%)
Contained
Zn Eq
(000 t)
Grade
(Ag Eq
g/t)
Contained
Ag Eq
(Moz)
Oxide/
Transitional*
6.0
55
11
0.11
21
N/Ri
N/Ri
N/Ri
N/Ri
1.0
62
64
12
Primary**
Total***
20
26
35
40
23
33
0.13
81
0.60
120
0.12
100
0.46
120
1.3
1.0
250
250
2.3
2.0
450
140
91
520
120
100
* 90% ** 76% *** 79%: % of material class tonnes in Measured or Indicated Category (see Table 4 for details). 1. See Note 1
for details. 2. See Note 2 for details. i : Not recoverable.
EXPLORATION TARGET ESTIMATE
An Exploration Target for potential mineralisation, additional to the existing resource, was estimated by H&S
Consultants Pty Ltd (H&SC) and announced on 6 June 2018, and is restated as follows as at 30 June 2020:
Silver
(Ag)
Gold
(Au)
Lead
(Pb)
Zinc
(Zn)
In-situ Contained Metal
Equivalentsb
Zn Eq
Ag Eq
Approx.
Range
Resource Grade
Tonnes
(g/t)
(Mt)
Contained
Metal
(Moz)
Grade
(g/t)
Contained
Metal
(000 oz)
Grade
(%)
Contained
Metal
(000 t)
Grade
(%)
Contained
Metal
(000 t)
Grade
(Zn Eq
%)
Contained
Zn Eq
(000 t)
Grade
(Ag Eq
g/t)
Contained
Ag Eq
(Moz)
Lower
20
20
Upper
50
40
13
64
Exploration Target Notes:
0.1
64
0.3
60
0.7
140
1.3
300
80
58
0.2
320
0.5
250
1.0
500
2.1
1,000
130
190
a) An Exploration Target is a statement or estimate of the exploration potential of a mineral deposit in a defined geological setting where the
statement or estimate, quoted as a range of tonnes and a range of grade, relates to mineralisation for which there has been insufficient
exploration to estimate a Mineral Resource. The potential quantity and grade of the Exploration Target is conceptual in nature, there has
been insufficient exploration to estimate an additional Mineral Resource and it is uncertain if further exploration will result in the estimation
of an additional Mineral Resource.
b) Same as for the Mineral Resource, Ag Eq is based on US$16.77/oz Ag, US$1,295/oz Au, US$2,402/t Pb, and US$3,219/t Zn,
recoverable at 86% of head grade for Ag, 90% for Au, 92% for Zn, and 53% for Pb. For calculation details see Note 2.
c) The upper and lower grades of the Exploration Target estimate do not necessarily correspond to the upper and lower tonnages, nor do
the upper and lower grades for each element necessarily correspond.
d) The Exploration Target estimate is based on a cutoff grade 80 g/t Ag Eq.
e) The Exploration Target has been estimated on the basis of a combination of Exploration Results and the proposed exploration
programmes set out under the heading (cid:145)About the resource infill drilling programme(cid:146) in the 8 November 2017 announcement (cid:150) Kempfield
Exploration Target. A detailed technical description of the Exploration Target estimation methodology employed by H&SC (which remains
unchanged) is provided in Appendix B of that announcement.
f) The Exploration Target is based on 515 holes/49,229 metres, with drill hole spacing generally greater than 100 metres, and sample
spacing (downhole) predominantly 1.0 metres.
76
MINERAL RESOURCES AND ORE RESERVES STATEMENT
RESOURCE DETAILS
Table 2 - Kempfield Mineral Resource - Primary material tonnes and grades by mineralisation zone and locality
Contained Metal Grades
In-situ Contained Metal
Equivalent Grades2
Zone
Locality*
Resource
Tonnes
(Mt)
Silver
(Ag)
(g/t)
Gold
(Au)
(g/t)
Zinc
(Zn)
(%)
Lead
(Pb)
(%)
Zinc Equivalent
(Zn Eq)
(%)
Silver Equivalent
(Ag Eq)
(g/t)
BJ Zone
1
Southern Conglomerate Zone
Zone 1 Total
Quarries Zone
McCarron Zone
Zone 2 Total
West McCarron
Zone 3 Total
2
3
Total
Zone 1 + Zone 2 + Zone 3
6.9
0.20
7.1
2.8
7.9
11.1
2.2
2.2
20
47
31
46
27
31
30
22
22
35
0.05
1.2
0.37
0.29
0.62
0.53
0.06
0.05
0.17
0.14
0.27
0.27
0.13
1.2
1.4
1.2
1.3
1.6
1.6
1.3
0.38
0.66
0.78
0.75
0.58
0.58
0.60
2.1
1.7
2.1
2.2
2.3
2.3
2.6
2.6
2.3
130
110
130
140
140
140
160
160
140
* Mineral Resource Model constructed prior to re-characterisation of mineralisation into Zones and Horizons:
BJ Zone ► Kempfield North = C Horizon and D Horizon
Southern Conglomerate Zone ► Kempfield South = C Horizon and D Horizon
Quarries Zone ► Henry Zone = C Horizon & D Horizon
McCarron Zone ► Kempfield South = A Horizon and B Horizon
West McCarron Zone ► Kempfield West = FW1 Horizon
Table 3 - Kempfield Mineral Resource by category
Category
Oxide/Transitional
Measured
Indicated
Inferred
Total Oxide/Transitional
Primary
Measured
Indicated
Inferred
Total Primary
Total Resource
Grade (g/t)
Grade (%)
Resource
Tonnes
(Mt)
Silver
(Ag)
Gold
(Au)
Lead
(Pb)
Zinc
(Zn)
In-situ Grade
(Contained Zn Eq and Ag
Eq)b
Zinc
Equivalent
(Zn Eq %)
Silver
Equivalent
(Ag Eq g/t)
-
-
-
-
0.65
0.57
0.60
0.60
0.46
-
-
-
-
1.3
1.2
1.4
1.3
1.0
1.2
0.9
0.7
1.0
2.5
2.2
2.2
2.3
2.0
76
56
45
64
150
140
140
140
120
2.7
2.7
0.6
6.0
4.7
10
4.9
20
26
68
47
39
55
49
34
25
35
40
0.11
0.11
0.08
0.11
0.12
0.13
0.12
0.13
0.12
77
MINERAL RESOURCES AND ORE RESERVES STATEMENT
Table 4 - Kempfield Mineral Resource tonnes and contained metal in Measured and Indicated categories
Contained Metal
Resource
Tonnes
(Mt)
Moz
Silver
(Ag)
(cid:145)000 oz
Gold
(Au)
(cid:145)000 t
Lead
(Pb)
(cid:145)000 t
Zinc
(Zn)
(cid:145)000 t
In-situ Zinc
Equivalent
(Zn Eq)
Moz
In-situ Silver
Equivalent
(Ag Eq)
Oxide/Transitional
Measured
Indicated
Measured + Indicated
As % of Total
Oxide/Transitional
Primary
Measured
Indicated
Measured + Indicated
As % of Total Primary
Oxide/Transitional + Primary
Measured
Indicated
Total Measured + Indicated
2.7
2.7
5.4
5.8
4.1
9.9
9.3
9.9
19
90%
93%
93%
4.7
10
15
7.5
11
19
19
44
63
-
-
-
-
31
60
90
-
-
-
-
60
130
190
76%
83%
78%
76%
74%
7.4
13
21
13
15
29
28
54
82
31
60
90
59
130
190
As % of Total Resource
79%
86%
81%
76%
74%
33
25
57
6.6
4.9
11
93%
93%
120
230
350
76%
150
250
400
78%
24
46
69
76%
30
51
81
78%
Note 1 - 80 g/t Silver Equivalent Cut-off Grade for Primary
This Resource is only reported in Resource tonnes and contained metal (ounces of silver and gold, and tonnes for lead and
zinc). The Resource estimation for the Primary material is based on a silver equivalent (Ag Eq) cut-off grade of 80 g/t.
A silver equivalent was not employed for the oxide/transitional material estimation and is based on a 25 g/t silver only cut-off
grade.
The contained metal equivalence formula is based on the following assumptions:
Silver price:
Gold price:
Zinc price:
Lead price:
Silver recoverable:
Gold recoverable:
Zinc recoverable:
Lead recoverable:
$US 16.77/oz
$US 1,295/oz
$US 3,129/tonne
$US 2,402/tonne
86% of head grade
90% of head grade
92% of head grade
53% of head grade
The metals pricing is based on the one-year historical average daily market close on which the 30 May 2018 Significant
Kempfield Resource Update report was based.
The metallurgical recovery assumptions are based on metallurgical testing to date, including the results announced on 12 April
2018. It is the Company(cid:146)s opinion that all the elements in the metals equivalents calculation have a reasonable potential to be
recovered and sold.
Note 2 (cid:150) In-situ contained metal equivalent ((cid:145)Zn Eq(cid:146) and (cid:145)Ag Eq(cid:146)) calculation details
(i) The zinc equivalent (Zn Eq) continues to be reported for the Kempfield deposit on the basis that zinc is estimated to be a
material contributor to potential revenues, comparable to silver, with the relative order of zinc and silver contributions highly
sensitive to volatile market prices.
(ii) The formula for calculating the zinc equivalent grade (% Zn Eq) is:
% Zn Eq = % Zn + % Pb x 0.4422 + g/t Ag x 0.0161 + g/t Au x 1.3017
(iii) The silver equivalent (Ag Eq) continues to be reported on the basis that a) the estimated silver contribution to potential
78
MINERAL RESOURCES AND ORE RESERVES STATEMENT
revenues is also material, comparable to zinc, with the relative order of zinc and silver contributions highly sensitive to
volatile market prices; and b) since the Company has historically published a silver equivalent, the Company(cid:146)s opinion is that
continuing to do so is in the interest of transparency for investors.
(iv) The formula for calculating the silver equivalent grade (g/t Ag Eq) is:
g/t Eq Ag = g/t Ag + g/t Au x 80.81 + % Pb x 27.46 + % Zn x 62.08
(v) The above Ag Eq and Zn Eq formulae apply to both the Oxide/Transitional and Primary. For Oxide/Transitional the grade
value for Pb and Zn is entered into each formula as zero.
Note 3 (cid:150) Rounding and Significant Figures
Figures in the tables in this Mineral Resources and Ore Reserves Statement may not sum precisely due to rounding; the
number of significant figures does not imply an added level of precision.
Note 4 - Comparison with Previous Mineral Resource Estimate
The underlying Mineral Resource estimate that was initially reported on 26 April 2012, subsequently updated to JORC 2012
reporting standard on 6 May 2014, and further updated on 16 October 2014 with the addition of the metal zonation detail in
Table 2 of the Mineral Resource statement.
On 30 May 2018 the Company announced substantial revisions to the contained metal equivalence formula to reflect the
significant impact of the metallurgical recoveries announced on 12 April 2018 for the primary material, and updated market
pricing for zinc, silver, lead and gold. This resulted in significant increases to contained metal equivalents (approximately
doubling the Ag Eq ounces), and the addition of a zinc equivalent for the first time.
Whilst the underlying mineral resource estimation methodology and individual metal grade estimates remain unchanged, the
cut-off grade for reporting of the primary material resource, which is based on the contained metal equivalence formula set out
in Note 1 and Note 2, has been increased to 80 g/t Ag Eq (from 50 g/t Ag Eq previously).
The cut-off grade for the oxide/transitional material, which does not depend on the equivalence formula, remains unchanged at
25 g/t Ag.
There have been no further changes in the Mineral Resource estimate from 30 May 2018 to 30 June 2020.
Accordingly, no comparison is provided for Mineral Resource estimate statement as at 30 June 2020 versus 30 June 2019.
JORC 2012 MINERAL RESOURCES AND ORE RESERVES STATEMENT - COMPETENT PERSON
STATEMENT
The information in the Mineral Resources and Ore Reserves Statement for the Kempfield deposit is based on
information compiled by Mr. Arnold van der Heyden, geologist and a Director of H&S Consultants Pty Ltd (H&SC).
The information in the Mineral Resources and Ore Reserves Statement, including the Exploration Target, is based
on, and fairly represents, information and supporting documentation prepared by Mr. Arnold van der Heyden. Mr.
Arnold van der Heyden is a Member and Chartered Professional (Geology) of the Australasian Institute of Mining
and Metallurgy. Mr. Arnold van der Heyden has sufficient experience which is relevant to the style of
mineralisation and type of deposit under consideration and to the activity being undertaken to qualify as a
Competent Person as defined in the 2012 Edition of the (cid:145)Australasian Code for Reporting of Exploration Results,
Mineral Resources and Ore Reserves prepared by the Joint Ore Resources Committee, the Australasian Institute
of Mining and Metallurgy, Australian Institute of Geoscientists and the Mineral Council of Australia(cid:146). The Mineral
Resources and Ore Reserves Statement for the Kempfield deposit as a whole, and the Exploration Target in the
Operations Review section of this 2019 Annual Report, are approved by Mr. Arnold van der Heyden in the form
and context in which they appear.
PINE RIDGE (NSW, AUSTRALIA - 100% ARGENT)
On 20 April 2022, Argent announced a small maiden Resource for Pine Ridge Prospect, located approximately
65 kilometres south of the township of Bathurst and 10 km south-west of Trunkey.
The following table sets out the Pine Ridge Mineral Resource statement as at 20 April 2022. This information was
prepared and first disclosed under the JORC Code 2012.
At a cut-off grade of 0.3 g/t Au:
79
MINERAL RESOURCES AND ORE RESERVES STATEMENT
Table 6 (cid:150) Pine Ridge Mineral Resource Estimate
Category
Inferred
Resource Tonnes
419,887
Au (g/t) Contained Au Metal (oz)
1.65
22,122
JORC 2004 MINERAL RESOURCES AND ORE RESERVES STATEMENT - COMPETENT PERSON
STATEMENT
The information in the Mineral Resources and Ore Reserves Statement for the Pine Ridge deposit is based on
information compiled and reviewed by Mr. Alfred Gillman, Director of independent consulting firm, Odessa
Resource Pty Ltd. Mr. Gillman, a Fellow and Chartered Professional of the Australasian Institute of Mining and
Metallurgy (the AusIMM) and has sufficient experience relevant to the styles of mineralisation under
consideration and to the activity being reported to qualify as a Competent Person as defined in the 2012
Edition of the Australasian Code for Reporting of Exploration Results, Exploration Targets and Mineral
Resources. Mr Gillman is a full-time employee of Odessa Resource Pty Ltd, who specialises in mineral
resource estimation, evaluation, and exploration. Mr. Gillman has sufficient experience which is relevant to the
style of mineralisation and type of deposit under consideration and to the activity being undertaken to qualify as a
Competent Person as defined in the 2012 Edition of the (cid:145)Australasian Code for Reporting of Exploration Results,
Mineral Resources and Ore Reserves prepared by the Joint Ore Resources Committee, the Australasian Institute
of Mining and Metallurgy, Australian Institute of Geoscientist and the Mineral Council of Australia. The Mineral
Resources and Ore Reserves Statement for the Pine Ridge as a whole is approved by Mr. Gillman in the form
and context in which it appears.
MT. DUDLEY (NSW, AUSTRALIA - 100% ARGENT)
On 14 September 2022, Argent announced a small maiden Resource for Mt Dudley Prospect, located
approximately 5 km northwest of the township of Trunkey, near Blayney in New South Wales
The following table sets out the Pine Ridge Mineral Resource statement as at 14 September 2022. This information
was prepared and first disclosed under the JORC Code 2012.
At a cut-off grade of 0.5 g/t Au:
Table 6 - Mt Dudley Mineral Resource Estimate
Category
Inferred
Resource Tonnes
330,070
Au (g/t) Contained Au Metal (oz)
1.03
29,238
JORC 2004 MINERAL RESOURCES AND ORE RESERVES STATEMENT - COMPETENT PERSON
STATEMENT
The information in the Mineral Resources and Ore Reserves Statement for the Pine Ridge deposit is based on
information compiled and reviewed by Mr. Alfred Gillman, Director of independent consulting firm, Odessa
Resource Pty Ltd. Mr. Gillman, a Fellow and Chartered Professional of the Australasian Institute of Mining and
Metallurgy (the AusIMM) and has sufficient experience relevant to the styles of mineralisation under
consideration and to the activity being reported to qualify as a Competent Person as defined in the 2012
Edition of the Australasian Code for Reporting of Exploration Results, Exploration Targets and Mineral
Resources. Mr Gillman is a full-time employee of Odessa Resource Pty Ltd, who specialises in mineral
resource estimation, evaluation, and exploration. Mr. Gillman has sufficient experience which is relevant to the
style of mineralisation and type of deposit under consideration and to the activity being undertaken to qualify as a
Competent Person as defined in the 2012 Edition of the (cid:145)Australasian Code for Reporting of Exploration Results,
Mineral Resources and Ore Reserves prepared by the Joint Ore Resources Committee, the Australasian Institute
of Mining and Metallurgy, Australian Institute of Geoscientist and the Mineral Council of Australia. The Mineral
Resources and Ore Reserves Statement for the Pine Ridge as a whole is approved by Mr. Gillman in the form
and context in which it appears.
80
MINERAL RESOURCES AND ORE RESERVES STATEMENT
SUNNY CORNER (NSW, AUSTRALIA - 70% ARGENT)
Background
In the 12 August 2008 announcement, the Company reported that (cid:147)The GCO campaign comprised a total of 49
RC holes for a total of 4,090 metres drilled beneath and adjacent to the historical Sunny Corner mine which is
reported to have produced 210,000 tons @ 13.8 ounces of silver per ton for 2.9 million ounces of silver between
1881 and 1893(cid:148).
On 12 August 2008 Argent announced a maiden Mineral Resource at Sunny Corner. The resource estimates were
completed by H&S Consultants Pty Ltd (H&SC) and were reported using a cut-off grade of 2.5% combined base
metals (copper, lead & zinc) based on data derived from Golden Cross Operations Pty Ltd(cid:146)s (GCO) 2004 drilling
campaign, and excludes results from the Company(cid:146)s three-hole RC drilling campaign in June 2007 for a total of
340 metres (Three RC Holes). The Exploration Results were compiled by Dr Vladimir David.
In April 2009 Argent announced its completion of a 5-hole HQ diamond hole drilling campaign at Sunny Corner.
The vertical holes were drilled for metallurgical testwork purposes, over a 100 metre north-south strike length for a
total of 279.75 metres (Metallurgical Holes).
In September 2013, H&SC was engaged by Argent to review the potential impact of the Metallurgical Holes on the
Sunny Corner resource statement announced in August 2008, for reporting as at 30 June 2013. The review
concluded that the data from the Metallurgical Holes were unlikely to have a material impact on the existing
resource estimate.
Sunny Corner Mineral Resource Statement
The following table sets out the Sunny Corner Mineral Resource statement as at 30 June 2020. This information
was prepared and first disclosed under the JORC Code 2004. It has not been updated since to comply with the
JORC Code 2012 on the basis that the information has not materially changed since it was last reported.
At a combined base metals (cbm) cut-off grade of 2.5%:
Table 7 - Sunny Corner Mineral Resource Estimate
Resource
Tonnes
(Mt)
Density
cbm
(%)
Au
(g/t)
Pb
(%)
Zn
(%)
Cu
(%)
Ag
(g/t)
Inferred
1.5
2.8
6.2
0.17
2.13
3.70
0.39
24
for contained metal as:
■ 55,000 tonnes of zinc;
■ 32,000 tonnes of lead;
■ 5,800 tonnes of copper; and
■ 1.2 million ounces of silver.
Note 1 - Qualification
No account has been made for any historical production or mine development; and
The data from the Three RC Holes from within the resource and the Metallurgical Holes, have not been included in any resource
estimate. However, H&SC believes that they would have a minor impact on the resource estimate figures and spatial location of
grades.
Note 2 - Comparison with Previous Mineral Resource Estimate
There has been no change in this Mineral Resource estimate in relation to the Mineral Resource estimate that was previously
stated as at 30 June 2019. Accordingly, no comparison is provided.
81
MINERAL RESOURCES AND ORE RESERVES STATEMENT
JORC 2004 MINERAL RESOURCES AND ORE RESERVES STATEMENT - COMPETENT PERSON
STATEMENT
The information in this report that relates to Exploration Results for the Sunny Corner Deposit is based on
information compiled by Dr Vladimir David, who is a member of the Australian Institute of Geoscientists, a
consultant to Argent, and who has sufficient experience relevant to the style of mineralisation and type of deposit
under consideration and to the activity he is undertaking to qualify as a Competent Person as defined in the 2004
Edition of the (cid:145)Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves(cid:146). Dr.
David consents to the inclusion in the report of the matters based on his information in the form and context in
which it appears.
The data in this report that relates to Mineral Resources for the Sunny Corner Deposit is based on information
evaluated by Mr Simon Tear who is a Member of The Australasian Institute of Mining and Metallurgy (MAusIMM)
and who has sufficient experience relevant to the style of mineralisation and type of deposit under consideration
and to the activity which he is undertaking to qualify as a Competent Person as defined in the 2004 Edition of the
Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves (the (cid:147)JORC Code(cid:148)).
Mr Tear is a Director of H&S Consultants Pty Ltd and he consents to the inclusion of the estimates in the report of
the Mineral Resource in the form and context in which they appear.
RINGVILLE AND QUEENSBERRY (TAS, AUSTRALIA - 100% ARGENT)
Background
On 29 January 2018 Argent announced pre-JORC Code historical mineralisation estimates for the Company(cid:146)s
newly acquired Ringville and Queensberry tenements in Tasmania (Historical Estimates). The following summaries
are provided in accordance with ASX Listing Rule 5.14 in relation to progress made by Argent in evaluating the
Historical Estimates, and the status of further evaluation and/or exploration work required to verify the Historical
Estimates and report as Mineral Resources in accordance with the JORC Code 2012 Edition.
Salmons and Pieman Lodes (cid:150) Ringville tenement
The Salmons and Pieman Historical Estimates (being separate veins of the same deposit) were based on the
drilling results for 50 drillholes totalling 18,308.4 metres; assays were attained using atomic absorption
spectroscopy (AAS) for Cu, Pb, Zn, Ag, As, Hg and Mn, fire assay with AAS finish for Au, and X-ray fluorescence
(XRF) for Sn; 265 samples were used for specific gravity determination.
Work conducted during the year included selective sampling of the main mineralised lode in representative
drillholes and assay of samples using the 4-acid ICPMS assay method. Assay results were comparable to historic
reported assays. It is intended to confirm the location of the mineralised lodes through geological mapping and
physical drilling as a next step to advance the historical estimates to JORC 2012 status. These activities will
continue into the 2019/20 financial year.
Godkin deposit (cid:150) Ringville Tenement
Historical information on which the Godkin Historical Estimate is based comprises 4 drillholes totalling 978.4 metres
with full assay results not reported, only highlighted intersections for Sn, Cu, and As. Little further work has been
conducted during the 2019/20 year.
Queensberry Mine deposit
Hyperspectral studies were conducted by Mineral Resources Tasmania (MRT) on drillholes
LCD01 and LCD04 in the previous year and results were assessed during the 2018/19 year. Further work will
include regional and local mapping to locate all outcrops of mineralisation followed by a series of stream sediment
and soil sampling programs to identify any further potential mineralisation in the area.
82
MINERAL RESOURCES AND ORE RESERVES STATEMENT
PRE-JORC CODE HISTORICAL MINERALISATION ESTIMATES - COMPETENT PERSON
STATEMENT
The information in this report that relates to Exploration Results and the reporting of pre-JORC Code historical
mineralisation estimates is based on information compiled by Mr Stuart Leslie Till who is a member of the
Australasian Institute of Mining and Metallurgy, and was a director of Argent Minerals, and who has sufficient
experience relevant to the style of mineralisation and type of deposit under consideration and to the activities
being undertaken to qualify as a Competent Person as defined in the 2012 Edition of the (cid:145)Australasian Code for
Reporting Exploration Results, Mineral Resources and Ore Reserves(cid:146) (JORC Code).
Mr Till consents to the inclusion in this report of the matters based on the information in the form and context in
which it appears, and confirms that the information provided in this announcement under ASX Listing Rule 5.14
is an accurate representation of the progress made by Argent in evaluating the Historical Estimates, and the
status of further evaluation and/or exploration work required to verify the Historical Estimates and report as
Mineral Resources in accordance with the JORC Code 2012 Edition.
GOVERNANCE ARRANGEMENTS
Argent(cid:146)s management and Board of Directors include individuals with many years(cid:146) work experience in the mineral
exploration and mining industry who monitor all exploration programmes and oversee the preparation of reports
on behalf of the Company by independent consultants. The exploration data is produced by or under the direct
supervision of qualified geoscientists. In the case of drill hole data half core samples are preserved for future
studies and quality assurance and quality control. The Company uses only accredited laboratories for analysis of
samples and records the information in electronic databases that are automatically backed up for storage and
retrieval.
DISCLAIMER
Certain statements contained in this report, including information as to the future financial or operating
performance of Argent and its projects, are forward-looking statements that:
May include, among other things, statements regarding targets, estimates and assumptions in respect of mineral
reserves and mineral resources and anticipated grades and recovery rates, production and prices, recovery costs
and results, capital expenditures, and are or may be based on assumptions and estimates related to future
technical, economic, market, political, social and other conditions;
Are necessarily based upon a number of estimates and assumptions that, while considered reasonable by Argent,
are inherently subject to significant technical, business, economic, competitive, political and social uncertainties
and contingencies; and,
Involve known and unknown risks and uncertainties that could cause actual events or results to differ materially
from estimated or anticipated events or results reflected in such forward-looking statements.
Argent disclaims any intent or obligation to update publicly any forward-looking statements, whether as a result of
new information, future events or results or otherwise. The words (cid:145)believe(cid:146), (cid:145)expect(cid:146), (cid:145)anticipate(cid:146), (cid:145)indicate(cid:146),
(cid:145)contemplate(cid:146), (cid:145)target(cid:146), (cid:145)plan(cid:146), (cid:145)intends(cid:146), (cid:145)continue(cid:146), (cid:145)budget(cid:146), (cid:145)estimate(cid:146), (cid:145)may(cid:146), (cid:145)will(cid:146), (cid:145)schedule(cid:146) and similar
expressions identify forward-looking statements.
All forward-looking statements made in this report are qualified by the foregoing cautionary statements. Investors
are cautioned that forward-looking statements are not guarantees of future performance and accordingly investors
are cautioned not to put undue reliance on forward-looking statements due to the inherent uncertainty therein.
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ARGENT MINERALS LIMITED
CORPORATE DIRECTORY
CORPORATE DIRECTORY
Directors
Peter Michael (cid:150) Non-Executive Chairman
Pedro Kastellorizos (cid:150) Managing Director/Chief Executive Officer
George Karageorge (cid:150) Non-Executive Director
David Greenwood (cid:150) Non-Executive Director
Company Secretary
Kavi Bekarma
Registered Office and Principal Place of Business
Level 2, 7 Havelock Street
West Perth WA 6005
Phone: +61 8 6311 2818
Email: info@argentminerals.com.au
Web: www.argentminerals.com.au
Share Registry
Automic Registry Services
Level 5, 191 St Georges Terrace
Perth WA 6000
Phone: 1300 288 664 (within Australia)
Phone: +61 2 9698 5414 (outside Australia)
Fax: +61 8 9321 2337
Email: hello@automic.com.au
Web: www.automic.com.au
Auditors
BDO Audit (WA) Pty Ltd
Level 9, Mia Yellagonga Tower 2
5 Spring Street
Perth WA 6000
Home Exchange
ASX Limited Level 40, Central Park
152-158 St Georges Terrace
Perth WA 6000
Solicitors
Nova Legal Corporate Lawyers
Level 2, 50 Kings Park Road
West Perth WA 6005
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