ABN 62 115 927 681
ANNUAL REPORT
30 JUNE 2012
AURA ENERGY LIMITED
AND CONTROLLED ENTITIES
ABN 62 115 927 681
ANNUAL REPORT 30 JUNE 2012
CORPORATE DIRECTORY
Directors
Brett Fraser
Chairman
Robert (Bob) Beeson
Managing Director
Simon O’Loughlin
Jay Stephenson
Leigh Junk
Non-executive Director
Non-executive Director
Non-executive Director
Julian (Jules) Perkins
Non-executive Director
Company Secretary
Jay Stephenson
Principal registered office
Street:
Level 4, 66 Kings Park Road
West Perth WA 6005
PO Box 52
West Perth WA 6872
+61 (0)8 6141 3570
+61 (0)8 6141 3599
info@auraenergy.com.au
Postal:
Telephone:
Facsimile:
Email:
Auditor
Bentleys
Level 1, 12 Kings Park Road
West Perth WA 6005
Share Registry
Computershare Registry Services
Level 2, 45 St Georges Terrace
Perth WA 6000
Australian Securities Exchange
ASX Code – AEE
Website: www.auraenergy.com.au
Other offices
Exploration office – Melbourne
Exploration office – Sweden
Exploration office – Mauritania
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AURA ENERGY LIMITED
AND CONTROLLED ENTITIES
ABN 62 115 927 681
ANNUAL REPORT 30 JUNE 2012
CONTENTS
Operations Review
Corporate Governance Statement
Directors’ Report
Remuneration Report
Auditor’s Independence Declaration
Financial Report
Directors’ Declaration
Independent Auditor’s Report
Additional Information for Listed Public Companies
Tenement Report
5
17
23
29
33
34
71
72
74
76
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AURA ENERGY LIMITED
AND CONTROLLED ENTITIES
ABN 62 115 927 681
ANNUAL REPORT 30 JUNE 2012
OPERATIONS REVIEW 2012
Achievements
Initial scoping study confirms economic viability of Häggån project, Sweden with valuation of
US$1.85 billion
Häggån resource significantly expanded to 800 million pounds uranium
Announced excellent results from the second phase of bioleach testwork at Häggån
Signed exclusivity agreement with potential strategic partner for Häggån and completed first phase
of strategic review
Initial resource of 50.2 million pounds established for Reguibat project in Mauritania
Drilling programme highlighted strong mineralisation extends well beyond Reguibat resource
Objectives for 2012/13
Commence pre-feasibility study at Häggån; the PFS will include:
Upgrade part of the resource from Inferred to Indicated status
Next phase of bioheap leach testwork
Engineering studies
Continue environmental baseline studies
Commence a major metallurgical test work programme for the Reguibat calcrete uranium project
Extend Reguibat uranium resource
Commence scoping studies at Reguibat
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AURA ENERGY LIMITED
AND CONTROLLED ENTITIES
ABN 62 115 927 681
ANNUAL REPORT 30 JUNE 2012
OPERATIONS REVIEW
SWEDISH ACTIVITIES
Häggån Project
Excellent progress was made on the development of the Häggån uranium project during the 2011 – 2012
financial year. A positive scoping study was completed valuing the project at US$1.85 billion and potentially
placing Häggån
producing operations.
in the top five global uranium
The Häggån Project forms part of a large uranium
field in Central Sweden which is located on eight
granted exploration permits, wholly owned by Aura.
The permits are on privately held land and in an area
where forestry has been carried out for generations
and where no parks or reserves exist. As a mining
destination Sweden has a well-documented and an
industry, with a clear regulatory
active mining
position and an established path from exploration to
mining permit.
The uranium within the Häggån project occurs with
molybdenum, nickel, vanadium and zinc in black
shales and forms a near-continuous sheet with
thicknesses ranging between 20 and in areas, more
than 250 metres. The project lends itself to large
scale, low cost open pit mining.
Scoping Study
In early 2012, a scoping study on Häggån which
examined a range of processing options was completed by independent consultants RMDSTEM Limited.
RMDSTEM has extensive experience in the economic modelling of mining projects, including for BHP Billiton’s
Olympic Dam pilot plant and copper refinery.
The consultants considered conventional agitation leach, bacterial agitation leach, bacterial heap leach and the
possibility of adding a vanadium extraction model. Specialist mining group Exoro Mine Planning Services
developed pit shells around the resources.
The bacterial heap leach option showed that Häggån is a financially robust project among the lowest cost
uranium heap leach operations globally.
An audit was conducted on the study’s financial model in May 2012 to more accurately reflect market pricing of
uranium oxide and resulted in a substantial enhancement of project economics. This suggested that Häggån, in
terms of uranium produced, could be within the top five current and planned global uranium producing
operations.
The scoping study assumes a 30 million tonnes per year operation and an initial mine life of 25 years.
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AURA ENERGY LIMITED
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ANNUAL REPORT 30 JUNE 2012
Other assumptions used for the model include:
Metal recoveries as indicated for bioleaching options and for other options in reports by ANSTO and the
Parker Cooperative Research Centre for Hydrometallurgy
Metal prices (per pound): U3O8 - US$65, Ni - US$7.9, MoO3 - US$16.0
Zinc and vanadium recovery have not been accounted for in the models
The key outcomes from the study using the bacterial heap leach option are:
Pre-Tax NPV of $US1.85 billion, based on uranium price of $US65 per pound U3O8, and a fixed discount rate
of 10 per cent. The key factors influencing the NPV are U3O8 price, U3O8 heap leach recovery, ore U3O8 head
grade, mining rate and heap leach operating cost.
Internal Rate of Return (IRR) of 49%
Häggån is amongst the lowest cost uranium operations globally and is clearly demonstrated by:
Operating costs of US$13/lb U308 when nickel and molybdenum are treated as by-products
Operating costs of US$26/lb U308 when nickel and molybdenum are treated as uranium equivalent
Pre-production capital of US$537 million and sustaining capital (annual) of US$18 million per year
Payback in 4.3 years, or 17% of the project life
Initial pit shells contain >741 million tonnes of mineralisation, with much of the prospective area remaining
in the tenements undrilled
A target initial production of 7.8 million pounds (3,538 tonnes) uranium, 14.8 million pounds nickel and 4.3
million pounds molybdenum
Low mining costs with strip ratio of 0.75:1
Uses low risk bioheap leach technology for extraction which has been used extensively for many decades in
the copper industry in Chile and elsewhere
Similar-sized successful multi-metal bioheap leach operation on alum shales at Talvivaara in neighbouring
Finland
Final planning for the pre-feasibility study on the Häggån Project has begun with the next stage of metallurgical
test work now complete, as well as progress on mining studies.
Strategic Review
In May 2012, Aura appointed leading independent Australian investment house Gresham Advisory Partners
(Gresham) as a corporate advisor to the company. Gresham’s mandate is to focus on identifying appropriate
development opportunities for the Häggån project as a result of recent expressions of interest from a number of
significant players in the uranium sector.
The company was encouraged by the widespread interest shown in the Häggån project and in August 2012,
signed a 90-day Exclusivity Agreement with a major uranium market participant and potential strategic partner.
The strategic partner is currently undertaking due diligence within the exclusivity period. Discussions remain at
an early stage and there can be no assurance a binding agreement will be executed.
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AURA ENERGY LIMITED
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ANNUAL REPORT 30 JUNE 2012
Drilling and Resource Expansion
Aura commenced a 14-hole, 2,000 metre diamond drilling programme in March 2012 with the objective of
providing sufficient material for the next phase of metallurgical testwork, and to add to the resource base at the
Häggån permit. Initial results were announced in June 2012 and confirmed thick uranium mineralisation
throughout previously untested areas of the project. The mineralisation occurs in between the two previous
areas of the resource.
Thicker zones of mineralisation encountered within 30 metres from the surface included:
137m @ 154ppm U3O8
147m @ 170ppm U3O8 (from 15m below surface)
148m @ 154ppm U3O8 (from 28m below surface)
114m @ 161ppm U3O8 (from 24m below surface)
In addition to the nine exploration holes, five large diameter holes were also drilled to provide samples for the
pre-feasibility metallurgical testwork and to add to existing information on key inputs for mining options outlined
in the revised scoping study. They may also provide additional options for the mining studies currently underway.
Independent resource consultants, H&S Consultants (H&SC) used all available drillhole data to significantly
upgrade the Häggån resource from 631 million pounds to 800 million pounds uranium at a grade of 160 ppm
U3O8. For the first time, this resource includes mineralisation in the separate Marby permit and only covers 25
per cent of the permit.
The Häggån project is now the second largest undeveloped uranium resource in the world.
U3O8 (100ppm
Cutoff)
Tonnes
(Bt)
U3O8 (ppm) Mo (ppm)
(ppm)
V
Inferred
2.35
155
207
1,519
Ni
(ppm)
316
Zn
(ppm)
431
Table 1: Inferred Resources for the Häggån Project
(Bt = billion tonnes)
Significant figures quoted do not imply precision and are to minimise round-off errors.
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AURA ENERGY LIMITED
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ANNUAL REPORT 30 JUNE 2012
Map of Häggån Project and Marby permit 2012 drilling and metallurgical test holes
Marby Permit
Aura’s 100 per cent owned Marby permit also holds a substantial zone of the uranium-molybdenum-vanadium-
bearing Alum Shale. Drilling at Marby during 2012 was part of a focus on developing mining and processing
options for the pre-feasibility study on the Häggån Project.
The Marby drilling programme comprised three holes totalling 665 metres. These holes targeted mineralisation
intersected in the southern part of the permit during the 2008 campaign, and were designed to confirm the
presence of thick polymetallic mineralisation analogous to Häggån.
Average thicknesses of mineralised shale in the Marby permit are between 90 and 100 metres, similar to those
within the Häggån permit to the south.
The results confirmed that thick mineralised Alum Shale forms a continuous sheet of mineralisation at Marby and
contributed to the maiden resource announced in August 2012.
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AURA ENERGY LIMITED
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ANNUAL REPORT 30 JUNE 2012
Exploration Target
H&SC also provided Aura with an Exploration Target of 440 to 840 million pounds uranium, demonstrating the
significant potential for additional resource increases.
The exploration target is based on completed drilling that is not of sufficient drill density to be included as
Inferred Resources. This potential quantity and grade is conceptual in nature and there has been insufficient
exploration to define a Mineral Resource. It is uncertain if further exploration will result in the determination of a
Mineral Resource.
U3O8 Cutoff
(ppm)
Tonnes
(Bt)
U3O8 (g/t)
Mo
V
Ni
Zn
(pmm)
(ppm)
(ppm)
(ppm)
100
1.0-2.0
150-160
200-210
1450-1600
310-330
430-450
Table 3: Häggån Permit, Exploration Target
U3O8 Cutoff
(ppm)
Tonnes
(Bt)
U3O8
(ppm)
Mo
(ppm)
V
Ni
Zn
(ppm)
(ppm)
(ppm)
100
0.3-0.7
125-138
165-185
1140-1275
240-270
340-380
Table 4: Marby Permit, Exploration Target
These tonnages and grades convert to the following amounts of metal in millions of pounds:
U3O8 Cutoff
(ppm)
U3O8
(Mlb)
Mo
(Mlb)
V
(Mlb)
Ni
(Mlb)
Zn
(Mlb)
100
350-650
450-900
3200-7000
650-1450
950-1950
Table 5: Häggån Permit, Exploration Target contained metal
Mlb = Million pounds
U3O8 Cutoff
(ppm)
100
U3O8
(Mlb)
Mo
(Mlb)
V
(Mlb)
Ni
(Mlb)
Zn
(Mlb)
90-190
120-250
850-1750
200-350
250-550
Table 6: Marby Permit, Exploration Target contained metal
Mlb = Million pounds
Metallurgical Testwork
Aura commenced a programme of bioleaching testwork at SGS Minerals in Perth in late 2011 with the aim of
confirming positive results from small-scale columns obtained at the Parker Cooperative Research Centre for
Hydrometallurgy. SGS brings extensive experience in bacterial and heap leaching from a range of commodities.
A program of 10 columns, each two metres high and 15 centimetres in diameter, each containing approximately
50 kilograms of material sourced from across the Häggån resource, was undertaken using variable leaching
conditions in the presence of bacteria.
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AURA ENERGY LIMITED
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ANNUAL REPORT 30 JUNE 2012
The tests successfully demonstrated high metal recovery and low acid consumption could be maintained with
increased column size, providing a more accurate representation of bioheap leach conditions and strongly
suggesting this process route is technically feasible for Häggån.
Häggån bacterial heap and tank leach testing at SGS Lakefield Oretest, Perth
Maximum extractions of metals obtained were:
Uranium:
Nickel:
Molybdenum:
85%
58%
18%
The results indicated that the uranium extraction of 75 per cent applied in the scoping study may be
conservative.
The metallurgical programme will continue in the PFS with the next phase tests aimed at testing larger-sized
samples.
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AURA ENERGY LIMITED
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ABN 62 115 927 681
ANNUAL REPORT 30 JUNE 2012
WEST AFRICAN ACTIVITIES
In both Mauritania and Niger there are well established mining industries. Aura has been active in the provinces
of West Africa since 2007 where there is an extensive presence of international mining groups and mining activity
is encouraged. Aura has made greenfields uranium discoveries and realised significant advantages of being a first
mover in the area including securing substantial landholdings.
Reguibat Project, Mauritania
Aura’s skills and its confidence in its greenfields Reguibat Project was confirmed by the calculation of the first
JORC-code compliant resource in July 2011. The exploration team had undertaken radiometric surveys and two
large drilling programs to successfully define several laterally extensive developments of calcrete uranium
mineralisation within the Reguibat Project in northern Mauritania.
The initial Mineral Resource Statement for Aura was prepared by the independent experts, Coffey Mining
Limited. All of the resource is within six meters of surface potentially allowing low cost mining.
The Inferred Resource of 50.2 million pounds at 330 ppm uranium on the Reguibat Project was based on a cut-off
grade of 100ppm uranium. A total of 97 per cent of this resource is contained in permits 100 per cent held by
Aura and compares favourably to other global calcrete resources.
Mauritanian permits and drilling to date
Aura
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AURA ENERGY LIMITED
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ANNUAL REPORT 30 JUNE 2012
Excellent Drilling Results
A major ground geophysical survey was completed in the project’s eastern permits in late 2011 and these targets
were followed up by drilling in the first quarter 2012, with the aim of locating calcrete uranium mineralisation
extensions to add to the existing resource. The results highlighted strong mineralisation extending well beyond
the boundaries of the current resource.
Previous drilling had focussed primarily on areas with strong radiometric response. The recent drilling
programme was directed around the edges of the resource zones, in areas where radiometric response was
generally lower as can often occur when there is sand cover or other materials blocking the radioactive response.
The presence of strong mineralisation in areas of weak surface radiometric response highlights an opportunity
for the discovery of additional new mineralised zones close by.
Key intercepts of uranium included:
4.5m @ 850 ppm (12ASACC259)
2.5m @ 823 ppm (12ASACJ099)
3.5m @ 618 ppm (12ASACJ174)
2.5m @ 615 ppm (12ASACC231)
Strong and extensive mineralisation was located in three zones tested: Ain Sder Zone C, Ain Sder Zone I, and Oum
Ferkik Zone L.
Of particular interest is Ain Sder Zone C where mineralisation has been intersected consistently for more than
one kilometre south of the currently defined resource limit. Mineralisation in several holes in this area is also
unusually thick. On the western side of a large longitudinal sand-dune covering the northern end of the Ain Sder
Zone C radiometric anomaly mineralisation has now been intersected on both sides of the dune, which is greater
than 2.5 kilometres wide.
Ain Sder Zone C, southern end. Note extension of mineralisation for +1 km
to the south of current resource outlines.
Work this year in Mauritania focussed on extending the resource possibilities and working towards the
commencement of a scoping study for the Reguibat Project.
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AURA ENERGY LIMITED
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ABN 62 115 927 681
ANNUAL REPORT 30 JUNE 2012
WESTERN AUSTRALIA YILGARN CALCRETE PROJECTS
Wondinong
The wholly owned Wondinong project area covers a broad, sedimentary deltaic environment at the eastern end
of Lake Austin where Aura has defined an Inferred Resource of seven million pounds uranium above a lower cut-
off grade of 100ppm uranium under the JORC code.
During first quarter 2012, Aura began the formal process of negotiating an agreement with the registered native
title claimants prior to submission of Mining Lease application 58/359 covering a major part of the uranium
resource within the central area of E58/290 at Wondinong.
Previous exploration results have shown that there is potential to increase the uranium resource base and extend
the limits of known mineralisation outside Mining Lease application 58/359. A revised program comprising 800
metres of additional shallow aircore drilling has been proposed to explore for and test any possible extension of
the resource into areas of E58/290 and E58/349.
NEXT STEPS FOR AURA
The coming year will see Aura take big steps forward at Häggån. The aim will be to commence pre-feasibility
studies on the back of excellent scoping study results. The strategic review currently underway will continue to
work towards securing appropriate development opportunities for Häggån.
In West Africa the primary aim will be to initiate a major metallurgical testing programme. In addition Aura will
extend the current Reguibat calcrete resource in Mauritania, which already favourably compares to other global
calcrete resources, and commence the first scoping study on the project.
Moving forward, Aura will aim to create shareholder value by ultimately completing studies on these two key
projects and moving to development.
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AURA ENERGY LIMITED
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ABN 62 115 927 681
ANNUAL REPORT 30 JUNE 2012
RESOURCE STATEMENTS
Häggån Resource Statements
Category
Cutoff U3O8
Size
U3O8
Mo
V
Ni
Zn
ppm U3O8
Bt
ppm
ppm
ppm
ppm
ppm
Inferred
100
2.35
155
207
1519
316
431
Inferred Resources for the Häggån Project
(Bt = billion tonnes)
Significant figures quoted do not imply precision and are to minimise round-off errors.
Category
Cutoff U3O8
U3O8
Mo
V
Ni
Zn
ppm U3O8
Mlbs
Mlbs
Mlbs
Mlbs
Inferred
100
800
1070
7860
1640
Contained metal in Inferred Resources for the Häggån Project
Significant figures quoted do not imply precision and are to minimise round-off errors.
Mlbs
2230
Competent Persons Statement
Mr. Arnold van der Heyden takes responsibility for estimation of uranium and associated metals in the Häggån Resource. Mr.
van der Heyden is a director of H&SC and is a competent person in the meaning of JORC having had around thirty years
relevant experience in exploration and estimation of uranium and other metal resources in many parts of the world. He is a
member of the Australian Institute of Geoscientists. Mr. van der Heyden consents to the inclusion in the report of the matters
based on his information in the form and context in which it appears.
Dr Robert Beeson has sufficient experience which is relevant to the style of mineralisation and type of deposit under
consideration and to the activity which he is undertaking. This qualifies Dr Beeson as a Competent Person as defined in the
2004 edition of the ‘Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves’. Dr Robert
Beeson consents to the inclusion in the report of the matters based on his information in the form and context in which it
appears. Dr Beeson is a member of the Australian Institute of Geoscientists. Dr Beeson takes responsibility for data integrity,
QA/QC and the requirement of “reasonable prospects for eventual economic extraction” for the reporting of Häggån
Resources at the quoted cut-off grades.
Estimation procedure
In estimating the resources H&SC assumed that mineralisation will be mined at a large scale using 10 metre
benches. It has been further assumed that contacts between mineralisation and non-mineralised units can be
identified. It is considered that dilution with inter-bedded and overlying limestone and massive shale units will be
kept to a minimum commensurate with large scale mining.
Two metre composited intervals were used to interpolate grades into 200 metre by 200 metre by 10 metre
panels, discretised to five by five by two. Two search passes used ordinary kriging to populate blocks the details
of which are shown in the table below.
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AURA ENERGY LIMITED
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ANNUAL REPORT 30 JUNE 2012
Search parameters
Pass 1
Pass 2
400 m
400 m
10 m
800 m
800 m
20 m
8
6
4
2
8
6
4
1
Axis
X
Y
Z
Composite Data Requirements
Minimum data points (total)
Maximum points per sector
Sectors
Hole count
Azimuth
10
100
190
Dip
0
0
90
Blocks populated in Pass 1 were attributed to the Inferred Resource whereas those populated in Pass 2 were attributed to the
Exploration Target inventory.
Ordinary kriging is informed by variograms of the mineralised lithotype for each of the metals estimated. The
range of the uranium variogram exceeded 200 metres in the vertical dimension and was in excess of 700 metres
in the horizontal plane with a small elongation in the east-west direction. Variograms of V, Ni, Zn, and Mo varied
little from the uranium variograms. H&SC considers that the continuity of mineralisation is demonstrably very
high and suitable for resource estimation.
Density measurements using a non-wax immersion technique has been made over a selection of typical
lithologies in the mineralised Alum Shale sequence. Application of a density of 2.52 g/cc measured for samples of
mineralised shale to the proportion of the panel estimates the tonnage of mineralised material within each
panel.
Reguibat Resource Statement
Category
Lower Cutoff
Tonnes
Grade
Contained U308
Inferred
ppm U3O8
100
150
200
250
300
Mt
68.7
67.3
60.7
48.8
35.8
ppm U3O8
330
340
350
380
420
Mlb
50.2
49.9
47.3
41.3
33.4
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AURA ENERGY LIMITED
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ABN 62 115 927 681
ANNUAL REPORT 30 JUNE 2012
Competent Persons Statement
The Competent Person for the Requibat Resource estimation and classification is Mr Oliver Mapeto from Coffey Mining.
The Competent Person for the drill hole data and data quality is Dr Robert Beeson from Aura Energy.
The information in the report to which this statement is attached that relates to the Mineral Resource and is based on
information compiled by Oliver Mapeto. Oliver Mapeto has sufficient experience which is relevant to the style of mineralisation
and type of deposit under consideration and to the activity which he is undertaking. The qualifies Mr Mapeto as a Competent
Person as defined in the 2004 edition of the “ Australian Code for Reporting of Exploration Results, Mineral Resources and Ore
Reserves’ Mr Mapeto is a Member of The Australasian Institute of Mining and Metallurgy and is employed by Coffey Mining
Pty Ltd. Mr Mapeto consents to the inclusion in the report of the matters based on his information in the form and context in
which it appears.
Dr Robert Beeson has sufficient experience which is relevant to the style of mineralisation and type of deposit under
consideration and to the activity which he is undertaking. This qualifies Dr Beeson as a Competent Person as defined in the
2004 edition of the ‘Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves’. Dr Robert
Beeson consents to the inclusion in the report of the matters based on his information in the form and context in which it
appears. Dr Beeson is a member of the Australian Institute of Geoscientists.
Wondinong Resource Statement
Lower Cutoff
Tonnes
ppm U3O8
100
150
200
250
Mt
22.6
6.5
1.9
0.3
Competent Persons Statement
Grade
ppm U3O8
140
185
225
270
Contained U308
Mlb
7.0
2.6
0.9
0.2
Dr Robert Beeson has sufficient experience which is relevant to the style of mineralisation and type of deposit under
consideration and to the activity which he is undertaking. This qualifies Dr Beeson as a Competent Person as defined in the
2004 edition of the ‘Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves’. Dr Robert
Beeson consents to the inclusion in the report of the matters based on his information in the form and context in which it
appears. Dr Beeson is a member of the Australian Institute of Geoscientists. Dr Beeson takes responsibility for the requirement
of “reasonable prospects for eventual economic extraction” for the reporting of Häggån Resources at the quoted cut-off
grades.
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AURA ENERGY LIMITED
AND CONTROLLED ENTITIES
ABN 62 115 927 681
ANNUAL REPORT 30 JUNE 2012
CORPORATE GOVERNANCE STATEMENT
As the framework of how the Board of Directors of Aura Energy Limited (“Company”) carries out its duties
and obligations, the Board has considered the eight principles of corporate governance as set out in the ASX
Good Corporate Governance and Best Practice Recommendations.
The essential corporate governance principles are:
1 Lay solid foundations for management and oversight;
2 Structure the Board to add value;
3 Promote ethical and responsible decision-making;
4 Safeguard integrity in financial reporting;
5 Make timely and balanced disclosure;
6 Respect the rights of shareholders;
7 Recognise and manage risk;
8 Remunerate fairly and responsibly.
1. Lay solid foundations for management and oversight.
Recommendation 1.1: Management should establish and disclose functions reserved to the board and
delegated to management.
Roles and Responsibilities:
The roles and responsibilities carried out by the Board are to:
Oversee control and accountability of the Company;
Set the broad targets, objectives, and strategies;
Monitor financial performance;
Assess and review risk exposure and management;
Oversee compliance, corporate governance, and legal obligations;
Approve all major purchases, disposals, acquisitions, and issue of new shares;
Approve the annual and half-year financial statements;
Appoint and remove the Company’s Auditor;
Appoint and assess the performance of the Managing Director and members of the senior management
team;
Report to shareholders.
Recommendation 1.2: Companies should disclose the process for evaluating the performance of senior
executives.
The Board regularly reviews the performance of senior executives.
Recommendation 1.3: Provide the information indicated in the ASX Corporate Governance Council’s Guide to
Reporting on Principle 1.
The evaluation of performance of senior executives has taken place throughout the year.
2. Structure the Board to add value.
Recommendation 2.1: A majority of the Board should be independent Directors. – The majority of the Board is
independent. Refer general comment below.
Recommendation 2.2: The Chairperson should be an independent Director. – The Chairman is not
independent. Refer general comment below.
Recommendation 2.3: The roles of the Chairperson and Chief Executive should not be exercised by the same
individual.
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AURA ENERGY LIMITED
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ANNUAL REPORT 30 JUNE 2012
CORPORATE GOVERNANCE STATEMENT
Recommendation 2.4: Establishment of a nominations committee.
Recommendation 2.5: Disclose the process for performance evaluation of the board, its committees and
individual directors, and key executives.
Recommendation 2.6: Provide the information indicated in the ASX Corporate Governance Council’s Guide to
Reporting on Principle 2.
General Comments:
Membership
The Board’s membership and structure is selected to provide the Company with the most appropriate
direction in the areas of business controlled by the Company. The Board currently consists of six members; a
Managing Director, and five non-executive Directors. Refer to the Directors’ Report for details of each
Director’s profile. The majority of the Board is independent.
Chairman and Managing Director
The roles of the Chairman and the Managing Director are separate. The Chairman is responsible for leading
the Board in its duties, and facilitating effective discussions at Board level. The Managing Director is
responsible for the efficient and effective operation of the Company.
Nomination Committee
The Company has a formal charter for the Nomination Committee, however, no Committee has been
appointed to date. The Board as a whole deals with areas that would normally fall under the charter of the
Nomination Committee. These include matters relating to the renewal of Board members, and Board
performance.
Skills
The Directors bring a range of skills and background to the Board including exploration, mining engineering,
metallurgical engineering, technical management, accountancy, finance, stockbroking, and legal.
Experience
The Directors have considerable experience in business at both operational and corporate levels.
Meetings
The Board endeavours to meet at least bi-monthly on a formal basis, although the Board regularly meets
informally.
Independent professional advice
Each Director has the right to seek independent professional advice at the Company’s expense for which the
prior approval of the Chairman is required, and is not unreasonably withheld.
3. Promote ethical and responsible decision-making.
Recommendation 3.1: Establish a code of conduct to guide the Directors, the Chief Executive Officer (or
equivalent) and any other key executives as to:
3.1.1 The practices necessary to maintain confidence in the Company’s integrity;
3.1.2 The practices necessary to take into account legal obligations and the reasonable expectations of
shareholders;
3.1.2 The responsibility and accountability of individuals for reporting and investigating reports of unethical
practices.
The Company is committed to its Directors and employees maintaining high standards of integrity, and
ensuring that activities are in compliance with the letter and spirit of both the law and Company policies.
Each staff member is issued with the Company’s Policies and Procedures manual at the beginning of their
employment with the Company.
P a g e | 18
AURA ENERGY LIMITED
AND CONTROLLED ENTITIES
ABN 62 115 927 681
ANNUAL REPORT 30 JUNE 2012
CORPORATE GOVERNANCE STATEMENT
Recommendation 3.2: Establish a policy concerning diversity and disclose the policy or a summary of that
policy. The policy should include requirements for the board to establish measurable objectives for achieving
gender diversity for the board to assess annually both the objectives and progress in achieving them.
The Company has a diversity policy included in its Corporate Governance Policy.
Recommendation 3.3: Disclose in each annual report the measurable objectives for achieving gender diversity
set by the board in accordance with the diversity policy and progress towards achieving them.
The Company believes that the promotion of diversity on boards, in senior management and within the
organisation generally broadens the pool for recruitment of high quality directors and employees; is likely to
support employee retention; through the inclusion of different perspectives, is likely to encourage greater
innovation; and is socially and economically responsible governance practice.
The Company is in compliance with the ASX Corporate Governance Council’s Principles & Recommendations
on Diversity. The Board of Directors is responsible for adopting and monitoring the Company’s diversity policy.
The policy sets out the beliefs and goals and strategies of the Company with respect to diversity within the
Company. Diversity within the Company means all the things that make individuals different to one another
including gender, ethnicity, religion, culture, language, sexual orientation, disability and age. It involves a
commitment to equality and to treating of one another with respect.
The Company is dedicated to promoting a corporate culture that embraces diversity. The Company believes
that diversity begins with the recruitment and selection practices of its board and its staff. Hiring of new
employees and promotion of current employees are made on the bases of performance, ability and attitude.
Recommendation 3.4: Disclose in each annual report the proportion of women employees in the whole
organisation, women in senior executive positions and women on the board.
Currently there are 4 women employees in the whole organisation, in senior executive positions, or on the
Board. Given the present size of the Company, there are no plans to establish measurable objectives for
achieving gender diversity at this time. The need for establishing and assessing measurable objectives for
achieving gender diversity will be re-assessed as the size of the Company increases.
Recommendation 3.5: Provide the information indicated in the ASX Corporate Governance Council’s Guide to
Reporting on Principle 3.
A summary of both the Company’s Code of Conduct and its Share Trading Policy is included on the Company’s
website.
General Comments:
Integrity of Company’s Financial Condition
The Company’s Financial Controller and Company Secretary report in writing to the Board that the
consolidated financial statements of the Company and its controlled entities for the half and full financial
year present a true and fair view, in all material respects, of the Company’s financial condition and
operational results are in accordance with relevant accounting standards.
P a g e | 19
AURA ENERGY LIMITED
AND CONTROLLED ENTITIES
ABN 62 115 927 681
ANNUAL REPORT 30 JUNE 2012
CORPORATE GOVERNANCE STATEMENT
Audit Committee
The Company has a formal charter for an Audit Committee. The Audit Committee comprises Messrs Fraser,
Junk, and O’Loughlin who are responsible for the following activities:
Review the Company’s accounting policies;
Review the content of financial statements;
Review the scope of the external audit, its effectiveness, and independence of the external audit;
Ensure accounting records are maintained in accordance with statutory and accounting standard
requirements;
Monitor systems used to ensure financial and other information provided is reliable, accurate, and timely;
Review the audit process with the external auditors to ensure full and frank discussion of audit issues;
Present half and full year financial statements to the Board.
5. Make timely and balanced disclosure.
Recommendation 5.1: Establish written policies and procedures designed to ensure compliance with ASX
Listing rules disclosure requirements and to ensure accountability at a senior management level for that
compliance.
Being a listed entity on the ASX, the Company has an obligation under the ASX Listing Rules to maintain an
informed market with respect to its securities. Accordingly, the Company advises the market of all
information required to be disclosed under the Rules that the Board believes would have a material affect on
the price of the Company's securities.
The Company Secretary has been appointed as the person responsible for communication with the Australian
Securities Exchange (ASX). This role includes responsibility for ensuring compliance with the continuous
disclosure requirements of the ASX Listing Rules, and overseeing and co-ordinating information disclosure to
the ASX, analysts, brokers, shareholders, the media, and the public.
All shareholders receive a copy of the Company's annual report.
Recommendation 5.2: Provide the information indicated in the ASX Corporate Governance Councils’ Guide to
Reporting on Principle 5.
Disclosure is reviewed as a routine agenda item at each Board meeting.
6. Respect the rights of shareholders.
Recommendation 6.1: Design and disclose a communications strategy to promote effective communication
with shareholders and encourage effective participation at general meetings.
Recommendation 6.2: Request the external auditor to attend the annual general meeting and be available to
answer shareholder questions about the conduct of the audit, and the preparation and content of the
auditor's report.
General Comments:
The Company is committed to keeping shareholders fully informed of significant developments at the
Company. In addition to public announcements of its financial statements and significant matters, the
Company provides the opportunity for shareholders to question the Board and management about its
activities at the Company's annual general meeting.
The Company's auditor, Bentleys, will be in attendance at the annual general meeting and will also be
available to answer questions from shareholders about the conduct of the audit and the preparation and
content of the auditor's report.
P a g e | 20
AURA ENERGY LIMITED
AND CONTROLLED ENTITIES
ABN 62 115 927 681
ANNUAL REPORT 30 JUNE 2012
CORPORATE GOVERNANCE STATEMENT
7. Recognise and manage risk
Recommendation 7.1: The Board or appropriate Board committee should establish policies on risk oversight
and management.
Recommendation 7.2: The chief executive officer (or equivalent) and the chief financial officer (or equivalent)
to state in writing to the Board that:
7.2.1 The statement given in accordance with best practice recommendation 4.1 (the integrity of financial
statements) is founded on a sound system of risk management and internal compliance and control
which implements the policies adopted by the Board.
7.2.2 The Company's risk management and internal compliance and control system is operating efficiently
and effectively in all material respects.
Recommendation 7.3: The board should disclose whether it has received assurance from the chief executive
officer (or equivalent) and the chief financial officer (or equivalent) that the declaration provided in
accordance with section 295A of the Corporations Act is founded on a system of risk management and
internal control and that the system is operating effectively in all material respects in relation to the financial
reporting risks.
Recommendation 7.4: Provide the information indicated in the ASX Corporate Governance Council’s Guide to
reporting on Principle 7.
General Comments:
The Board oversees the Company's risk profile. The financial position of the Company and matters of risk are
considered by the Board. The Board is responsible for ensuring that controls and procedures to identify,
analyse, assess, prioritise, monitor and manage risk are in place, being maintained and adhered to.
The Financial Controller and Company Secretary state in writing to the Board that:
The statement given in accordance with best practice recommendation 4.1 (the integrity of financial
statements) is founded on a sound system of risk management and internal compliance and control,
which implements the policies adopted by the Board.
The Company's risk management and internal compliance and control system is operating efficiently and
effectively in all material respects.
8. Remunerate fairly and responsibly
Recommendation 8.1: The Board should establish a Remuneration Committee.
Recommendation 8.2: Clearly distinguish the structure of non-executive Directors' remuneration from that of
executives.
Recommendation 8.3: Provide the information indicated in the ASX Corporate Governance Council’s Guide to
Reporting on Principle 8.
General Comments:
Principles used to determine the nature and amount of remuneration
The objective of the Company's remuneration framework is to ensure reward for performance is competitive
and appropriate to the results delivered. The framework aligns executive reward with the creation of value
for shareholders, and conforms to market best practice.
The remuneration committee ensures that executive rewards satisfy the following key criteria for good
reward governance practices:
Competitiveness and reasonableness;
Acceptability to the shareholders;
Performance linked;
Transparency;
Capital management.
P a g e | 21
AURA ENERGY LIMITED
AND CONTROLLED ENTITIES
ABN 62 115 927 681
ANNUAL REPORT 30 JUNE 2012
CORPORATE GOVERNANCE STATEMENT
The Company has structured an executive remuneration framework that is market competitive and
complimentary to the reward strategy of the organisation.
Remuneration Committee
Members of the Remuneration Committee are Messrs Fraser, Junk, and Stephenson.
Directors' Remuneration
Further information on Directors' and executives' remuneration is set out in the Directors' Report and Note 5
to the financial statements.
P a g e | 22
AURA ENERGY LIMITED
AND CONTROLLED ENTITIES
ABN 62 115 927 681
ANNUAL REPORT 30 JUNE 2012
DIRECTORS’ REPORT
Your Directors present their report together with the financial statements of the Group, being the company
and its controlled entities, for the financial year ended 30 June 2012.
Directors
The names of Directors in office at any time during or since the end of the year are:
Mr Brett Fraser
Dr Bob Beeson
Mr Jay Stephenson
Mr Simon O’Loughlin
Mr Leigh Junk
Mr Julian (Jules) Perkins
Directors have been in office since the start of the financial year to the date of this report unless
otherwise stated.
Company Secretary
The following person held the position of Company Secretary at the end of the financial year:
Mr Jay Richard Stephenson — Fellow of Certified Practicing Accountants; Certified Management
Accountant; Member of Australian Institute of Company Directors; Master of Business Administration;
Fellow of Institute of Chartered Secretaries Australia. Mr Stephenson is also a non-executive director
and performs the role of Chief Financial Officer for the Company.
Principal Activities
The principal activities of the Group during the financial year were the exploration and evaluation of its
projects in Sweden, Africa, and Australia.
Operating Results
The consolidated loss for the year amounted to $2,343,450 (2011: $2,417,029).
Dividends Paid or Recommended
There were no dividends paid or recommended during the financial year ended 30 June 2012.
Review of Operations
A detailed review of the Group’s exploration activities is set out in the section titled “Operations Review” in
this annual report.
Financial Position
The net assets of the Group have increased by $2,154,363 from 30 June 2011 to $16,220,907 at 30 June 2012.
P a g e | 23
AURA ENERGY LIMITED
AND CONTROLLED ENTITIES
ABN 62 115 927 681
ANNUAL REPORT 30 JUNE 2012
DIRECTORS’ REPORT
Significant Changes in State of Affairs
The following significant changes in the state of affairs of the Group occurred during the financial year:
The Company issued 4,500,000 shares on 1 September 2011, raising $1,466,550; and
The Company issued 22,798,345 shares on 16 February 2012, raising $3,420,460.
There were no other significant changes to the state of affairs of the Group.
After Balance Date Events
In August 2012 the Group signed an Exclusivity Agreement with a major uranium participant, in respect of a potential
strategic partnership which would provide funding for further feasibility work at Häggån, in return for equity in the
project. The Agreement provides an exclusivity period of 90 days, and there is no assurance that a binding agreement will
be executed.
There are no other significant after balance date events that are not covered in the Operations Review or
elsewhere in this Annual Report.
Likely Developments
Likely developments, future prospects and business strategies of the operations of the Group and the
expected results of those operations have not been included in this report as the directors believe that the
inclusion of such information would be likely to result in unreasonable prejudice to the Group.
Information on Directors
Mr Brett Fraser
Qualifications
— Chairman (Non-Executive).
— Fellow of Certified Practicing Accountants; Fellow of the Financial Services
Institute of Australasia; Grad Dip Finance, Securities Institute of Australia;
Bachelor of Business (Accounting); International Marketing Institute - AGSM
Sydney.
Experience
— Board member since 24 August 2005.
Interest in Shares and
Options
— 2,286,040 ordinary Shares in Aura Energy Limited and 1,076,399 options.
Special Responsibilities
— Member of the Audit Committee, Due Diligence Committee, and
Directorships held in other
listed entities
Remuneration Committee.
— Current non-executive director and Chairman of Drake Resources Limited
since March 2004, and non-executive director and Chairman of Blina
Diamonds NL since September 2008. Past director of Doray Minerals
Limited from October 2009 until November 2011. No other directorships in
the past three years.
P a g e | 24
AURA ENERGY LIMITED
AND CONTROLLED ENTITIES
ABN 62 115 927 681
ANNUAL REPORT 30 JUNE 2012
DIRECTORS’ REPORT
Dr Robert Beeson
— Managing Director
Qualifications
— Bachelor of Science with Honours; PhD; Member of the Australian Institute
of Geoscientists
Experience
— Board member since 31 March 2006. Geologist with over 30 years of global
Interest in Shares and
Options
Directorships held in other
listed entities
experience in base and precious metal exploration and development.
— 2,069,960 Ordinary Shares in Aura Energy Limited and 2,270,710 options.
— Current Managing Director of Drake Resources Limited since November
2004. No other directorships in the past three years.
Mr Jay Stephenson
— Director (Non-Executive); Company Secretary
Qualifications
— Fellow of Certified Practicing Accountants; Certified Management
Accountant; Member Australian Institute of Company Directors; Master of
Business Administration; Fellow Institute of Chartered Secretaries Australia.
Experience
— Board member since 24 August 2005
Interest in Shares and
Options
— 1,843,568 Ordinary Shares in Aura Energy Limited and 1,013,368 options.
Special Responsibilities
— Member of Due Diligence Committee and Remuneration Committee
Directorships held in other
listed entities
— Current non-executive Director of Drake Resources Limited since March
2004, Strategic Minerals Corporation NL since July 2009, Doray Minerals
Limited since August 2009, Spencer Resources Limited and Parker Resources
Limited since January 2011, and Nickelore Limited since July 2011.
Chairman and non-executive Director of Quintessential Resources Limited
since February 2011. Past non-executive director of Excelsior Gold Limited
from October 2009 to November 2009. No other directorships in the past
three years.
Mr Simon O’Loughlin
— Director (Non-Executive)
Qualifications
Experience
Interest in Shares and
Options
— BA(Acc),Law Society Certificate in Law.
— Board member since 31 March 2006.
— 993,112 Ordinary Shares in Aura Energy Limited and 125,000 options
Special Responsibilities
— Member of Audit Committee and Due Diligence Committee
Directorships held in other
listed entities
— Australia Oriental Minerals NL since April 2012, Chesser Resources Limited
since March 2006, Goldminex Resources Limited since June 2012, Kibaran
Resources Limited since September 2010, Neurodiscovery Limited since
March 2012, Petratherm Limited since October 2003, and WCP Resources
Limited since March 2005
Former director of Bondi Mining Limited (December 2006 to January 2012),
Bioxyne Limited (July 2008 to April 2012), Avenue Resources Limited (March
2010 to March 2012), and Living Cell Technologies Limited (May 2004 to
November 2010)
No other directorships in the past three years.
P a g e | 25
AURA ENERGY LIMITED
AND CONTROLLED ENTITIES
ABN 62 115 927 681
ANNUAL REPORT 30 JUNE 2012
DIRECTORS’ REPORT
Mr Leigh Junk
Qualifications
— Director (Non-Executive)
— Diploma of Surveying from Wembley Technical College in 1992 and
graduated from the University of Ballarat with a Graduate Diploma of
Mining Engineering in 2000, and a Masters in Mineral Economics from
Curtin University in 2008.
Experience
— Board member since 7 June 2011.
Mr Junk is a mining engineer with 19 years’ experience in mine planning.
Leigh was the Executive responsible for feasibility studies, project
evaluation, production scheduling and mine design with several mining
companies throughout Western Australia, including Pilbara Manganese Pty
Ltd, WMC Resources Ltd. and Mincor Operations Pty Ltd.
— 875,000 Ordinary Shares in Aura Energy Limited and 125,000 options.
Interest in Shares and
Options
Special Responsibilities
— Member of Audit Committee and Remuneration Committee
Directorships held in other
listed entities
— Mr. Junk is a Director of Doray Minerals Limited, Sentosa Mining Limited,
the Goldfields Money Limited and of TSX-Venture listed Brilliant Mining
Resources Inc.
Mr Jules Perkins
— Director (Non-Executive)
Qualifications
— Master of Science (Imperial College of Science & Technology) 1972; Associate
of the Camborne School of Metalliferous Mining (Honours) 1967; Fellow of
the Australasian Institute of Mining and Metallurgy; Member of the Australian
Institute of Company Directors.
Experience
— Board member since 7 June 2011.
Jules has over 40 years' experience in operations and management with
major companies in the international minerals industry. He was Manager of
Mining & Technology (Australia) for AngloGold Ashanti Ltd, one of the
world’s largest gold mining companies, until 2006. His career includes
underground mining engineering in South Africa and management of
metallurgic operations on the Zambian Copperbelt. Jules led the mineral
processing department of Shell Research in the Netherlands for three years
before moving into corporate management in the Netherlands and then in
Australia. Mr Perkins is currently Chairman of the Board of Parker Centre
Ltd, which manages the Parker Cooperative Research Centre (‘CRC’) for
Hydrometallurgy. Jules has previously been a director on the boards of the
CRC Mining and the Australian Centre for Mining Environmental Research.
Interest in Shares and
Options
— 106,667 Ordinary Shares in Aura Energy Limited and 56,667 options.
Special Responsibilities
— None
Directorships held in other
listed entities
— No other directorships held in other listed entities.
P a g e | 26
AURA ENERGY LIMITED
AND CONTROLLED ENTITIES
ABN 62 115 927 681
ANNUAL REPORT 30 JUNE 2012
DIRECTORS’ REPORT
Meetings of Directors
During the financial year, 6 meetings of Directors (including committees of Directors) were held.
Attendances by each Director during the year were as follows:
COMMITTEE MEETINGS
DIRECTORS’
MEETINGS
DUE DILIGENCE
COMMITTEE
REMUNERATION
AUDIT
COMMITTEE
COMMITTEE
Number
eligible to
attend
Number
Attended
Number
eligible to
attend
Number
Attended
Number
eligible to
attend
Number
Attended
Number
eligible to
attend
Number
Attended
Brett Fraser
Bob Beeson
Jay Stephenson
Simon O’Loughlin
Leigh Junk
Jules Perkins
6
6
6
6
6
6
6
6
5
6
5
6
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
2
-
-
2
-
-
2
-
-
2
-
-
Indemnifying Officers or Auditor
During or since the end of the financial year the Company has given an indemnity or entered into an
agreement to indemnify, or paid or agreed to pay insurance premiums as follows:
The Company has entered into agreements to indemnify all Directors and provide access to documents,
against any liability arising from a claim brought by a third party against the Company. The agreement
provides for the company to pay all damages and costs which may be awarded against the Directors.
The Company has paid premiums to insure each of the directors against liabilities for costs and expenses
incurred by them in defending any legal proceedings arising out of their conduct while acting in the
capacity of director of the company, other than conduct involving a wilful breach of duty in relation to the
Company. The amount of the premium was $10,560.
No indemnity has been paid to auditors.
Options
At the date of this report, the un-issued ordinary shares of Aura Energy Limited under option (listed and
unlisted) are as follows:
Grant Date
8 February 2011
8 February 2011
24 April 2008
Date of Expiry
30 March 2013
30 March 2013
24 April 2013
23 December 2009
23 December 2014
31 March 2011
31 March 2016
24 November 2011
31 October 2014
23 December 2011
1 December 2014
24 May 2012
31 May 2015
Exercise Price
Number under Option
$0.69
$1.05
$0.60
$0.30
$0.45
$0.31
$0.20
$0.20
650,000
650,000
400,000
375,000
570,000
3,500,000
32,789,218
1,000,000
39,934,218
P a g e | 27
AURA ENERGY LIMITED
AND CONTROLLED ENTITIES
ABN 62 115 927 681
ANNUAL REPORT 30 JUNE 2012
DIRECTORS’ REPORT
No person entitled to exercise the option has or has any right by virtue of the option to participate in any
share issue of any other body corporate.
Environmental Regulations
In the normal course of business, there are no environmental regulations or requirements that the Company
is subject to.
The Directors have considered the enacted National Greenhouse and Energy Reporting Act 2007 (the NGER
Act) which introduced a single national reporting framework for the reporting and dissemination of
information about the greenhouse gas emissions, greenhouse gas projects, and energy use and production of
corporations. At the current stage of development, the Directors have determined that the NGER Act has no
effect on the Company for the current, nor subsequent, financial year. The Directors will reassess this
position as and when the need arises.
Non-audit Services
During the year ended 30 June 2012, taxation consulting services were provided to the Company by a party
related to the auditors. These services amounted to $2,800 (2011: $1,650).
Proceedings on Behalf of 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.
Auditor’s Independence Declaration
The lead auditor’s independence declaration for the year ended 30 June 2012 has been received and can be
found on page 33 of the annual report.
P a g e | 28
AURA ENERGY LIMITED
AND CONTROLLED ENTITIES
ABN 62 115 927 681
ANNUAL REPORT 30 JUNE 2012
REMUNERATION REPORT (AUDITED)
A. Remuneration Policy
The remuneration policy of Aura Energy Limited has been designed to align director and management
objectives with shareholder and business objectives by providing a fixed remuneration component, and
offering specific long-term incentives based on key performance areas affecting the Group’s financial results.
The Board of Aura Energy Limited believes the remuneration policy to be appropriate and effective in its
ability to attract and retain the best management and directors to run and manage the Group, as well as
create goal congruence between directors, executives and shareholders.
The Board’s policy for determining the nature and amount of remuneration for Board members and senior
executives of the Group is as follows:
The remuneration policy, setting the terms and conditions for the executive directors and other senior
executives, was developed by the Remuneration Committee and approved by the Board. All executives
receive a base salary (which is based on factors such as length of service and experience), superannuation,
options and performance incentives. The Remuneration Committee reviews executive packages annually by
reference to the Group’s performance, executive performance, and comparable information from industry
sectors and other listed companies in similar industries.
Executives are also entitled to participate in the employee share and option arrangements.
The non-executive Directors and executives receive a superannuation guarantee contribution required by the
government, which is currently 9%, and do not receive any other retirement benefits.
All remuneration paid to Directors and executives is valued at the cost to the Company and expensed.
Options given to Directors and employees are valued using the Black-Scholes methodology.
The Board policy is to remunerate non-executive Directors at the lower end of market rates for comparable
companies for time, commitment, and responsibilities. The non-executive Directors have been provided with
options that are meant to incentivise the non-executive Directors. The Remuneration Committee determines
payments to the non-executive Directors and reviews their remuneration annually based on market practice,
duties, and accountability. Independent external advice is sought when required. The maximum aggregate
amount of fees that can be paid to non-executive Directors is subject to approval by shareholders at the
Annual General Meeting. Fees for non-executive Directors are not linked to the performance of the Group.
However, to align Directors’ interests with shareholder interests, the Directors are encouraged to hold shares
in the Company.
The remuneration policy has been tailored to increase the direct positive relationship between shareholders
investment objectives and directors’ and executives’ performance. Currently, this is facilitated through the
issue of options to the majority of directors and executives to encourage the alignment of personal and
shareholder interests. The Company believes this policy will be effective in increasing shareholder wealth. For
details of directors and executives interests in options at year end, refer to note 5 of the financial statements.
P a g e | 29
AURA ENERGY LIMITED
AND CONTROLLED ENTITIES
ABN 62 115 927 681
ANNUAL REPORT 30 JUNE 2012
REMUNERATION REPORT (AUDITED)
B. Remuneration Details for the Year Ended 30 June 2012
There were no cash bonuses paid during the year and there are no set performance criteria for achieving cash
bonuses.
The following table of benefits and payment details, in respect to the financial year, the components of
remuneration for each member of the key management personnel of the Group:
2012
Group Key
Management
Personnel
Short-term benefits
Post-
employment
benefits
Long-term
benefits
Equity-settled share-
based payments
Total
Salary, fees
Profit share
Non-
Other
Super-
Other
Equity
Options
and leave
and bonuses
monetary
annuation
$
$
$
$
$
$
$
$
$
Brett Fraser1
Bob Beeson
60,000
165,000
Jay Stephenson1
55,000
Simon O’Loughlin
55,000
Leigh Junk
Jules Perkins2
James Merrillees3
55,000
55,000
-
445,000
2011
Group Key
Management
Personnel
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
45,000
5,400
-
14,850
45,000
-
-
51,625
207,951
4,950
4,950
4,950
4,950
-
349,576
40,050
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
93,139
203,539
124,186
304,036
-
-
-
-
-
104,950
59,950
59,950
111,575
207,951
217,325
1,051,951
Short-term benefits
Post-
employment
benefits
Long-term
benefits
Equity-settled share-
based payments
Total
Salary, fees
Profit share
Non-
Other
Super-
Other
Equity
Options
and leave
and bonuses
monetary
annuation
$
$
$
$
$
$
$
$
$
Brett Fraser1
Bob Beeson
58,750
146,675
Jay Stephenson1
50,000
Simon O’Loughlin
50,000
Leigh Junk
Jules Perkins
-
-
305,425
-
-
-
-
-
-
-
-
-
-
-
-
-
-
45,000*
16,434
-
25,000
45,000*
13,626
-
-
-
13,626
-
-
90,000
68,686
-
-
-
-
-
-
-
-
-
-
-
-
-
-
39,958
160,142
59,938
231,613
39,958
148,584
39,958
103,584
-
-
-
-
179,812
643,923
1
Cash from other activities paid to Mr Fraser and Mr Stephenson are paid to Wolfstar Group Pty Ltd, a company controlled by Mr Fraser and
Mr Stephenson. Wolfstar Group Pty Ltd provides Financial services (including but not limited to: financial reporting, management reporting,
fiscal management), and Company Secretarial services to Aura Energy Limited.
2 Cash from other activities paid to Jules Perkins were paid to RRI Trust for metallurgical consulting.
3 James Merrillees was employed as Exploration Manager by Drake Resources Limited, which recharged half of his salary for the current and
prior year during the current year. Of the $207,951, $103,976 relates to services provide for the 2011, recharged by Drake Resources Limited
to Aura Energy Limited in December 2011.
P a g e | 30
AURA ENERGY LIMITED
AND CONTROLLED ENTITIES
ABN 62 115 927 681
ANNUAL REPORT 30 JUNE 2012
REMUNERATION REPORT (AUDITED)
C. Service Agreements
The Managing Director, Dr Robert Beeson, is employed under an extension of the terms of a previous
contract of employment.
The employment contract stipulates a one month resignation period. The Company may terminate the
employment contract without cause by providing one month’s written notice, or making payment in lieu of
notice based on the individual’s annual salary component. Termination payments are generally not payable
on resignation or dismissal for serious misconduct. In the instance of serious misconduct the Company can
terminate employment at any time.
D. Share-based compensation
Incentive Option Scheme
Options are granted under the Aura Energy Limited Incentive Option Scheme. All staff who have been
continuously employed by the Company for a period of at least one year are eligible to participate in the plan.
Options are granted under the plan for no consideration.
Director and Key Management Personnel Options
On 24 November 2011, 3,500,000 share options were granted to directors to take up ordinary shares at an
exercise price of $0.31 each. The options are exercisable on or before 31 October 2014.
There were no director options issued during the 2011 financial year. An expense was raised in that year for
options issued in prior periods, in accordance with their vesting conditions.
Share-based Payments
The terms and conditions relating to options granted as remuneration during the year to Directors and Key
Management Personnel are as follows:
Group Key
Management
Personnel
Brett Fraser
Bob Beeson
Grant date
Grant value
$
Reason for
grant
Percentage
vested during
year
%
(Note 2)
Percentage
forfeited
during year
%
Percentage
remaining as
unvested
%
Range of
possible values
relating to
future
payments
Expiry date for
vesting
24 November
2011
24 November
2011
154,950
Note 1
206,600
Note 1
60
60
-
-
40
40
31 October
2014
31 October
2014
-
-
P a g e | 31
AURA ENERGY LIMITED
AND CONTROLLED ENTITIES
ABN 62 115 927 681
ANNUAL REPORT 30 JUNE 2012
REMUNERATION REPORT (AUDITED)
Note 1
The options have been granted to Key Management Personnel (KMP) to provide a market-linked
incentive package in their capacity as KMP and for future performance by them in their roles. The
vesting conditions of the options are as follows:
Director options will vest 12 months after the issue date.
KMP options will vest 12 months after the issue date and if the KMP is continually employed
by the Company during that 12 months.
KMP options vest only if the share price is greater than 26 cents for 5 consecutive days during
the 12 months vesting period.
Note 2
The dollar value of the percentage vested during the period has been reflected in the Table of
Benefits and Payments on previous page.
All options were issued by Aura Energy Limited and entitle the holder to one ordinary share in
Aura Energy Limited for each option exercised.
Description of Options Issued as Remuneration
Details of the options granted as remuneration to those key management personnel listed in the previous table
are as follows:
Grant date
Issuer
Entitlement on exercise
Dates exercisable
Value per
Amount paid/
option at grant
date
$
payable by
recipient
$
Exercise price
$
30 November 2009
Aura Energy Limited
1:1 Ordinary Shares in
Aura Energy Limited
From vesting date to 11
September 2011 (expiry)
$0.23
$0.0959
19 July 2010
Aura Energy Limited
24 November 2011
Aura Energy Limited
1:1 Ordinary Shares in
Aura Energy Limited
From vesting date to 30
June 2011 (expiry)
1:1 Ordinary Shares in
Aura Energy Limited
From vesting date to 31
October 2014 (expiry)
$0.197
$0.0352
$0.31
$0.1033
-
-
-
Option values at grant date were determined using the Black-Scholes method.
Details relating to service and performance criteria required for vesting have been provided in the Share-based
Payments table in Note 19.
END OF REMUNERATION REPORT
This Report of the Directors, incorporating the Remuneration Report, is signed in accordance with a resolution
of the Board of Directors.
JAY STEPHENSON
Director
Dated this 28th Day of September 2012
P a g e | 32
To The Board of Directors
As lead audit director for the audit of the financial statements of Aura Energy Limited and
its controlled entities for the financial year ended 30 June 2012, I declare that to the best of
my knowledge and belief, there have been no contraventions of:
the auditor independence requirements of the Corporations Act 2001 in relation to the
audit; and
any applicable code of professional conduct in relation to the audit.
Yours faithfully
BENTLEYS
Chartered Accountants
RANKO MATIC CA
Director
DATED at PERTH this 28th day of September 2012
AURA ENERGY LIMITED
AND CONTROLLED ENTITIES
ABN 62 115 927 681
ANNUAL REPORT 30 JUNE 2012
CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME
FOR THE YEAR ENDED 30 JUNE 2012
Revenue
Other income
Accounting and audit fees
Employee benefits
Legal and consulting fees
Business development
Computers and software
Depreciation
Insurance
Public relations
Share registry and listing fees
Rent and utilities
Travel and accommodation
Share-based payments
Write-off capitalised exploration
Other expenses
Loss before income tax
Income tax benefit
Loss from continuing operations
Other Comprehensive Income
Foreign currency movement
Other comprehensive income for the year, net of tax
Note
2
2
19
11
3
4
2012
$
113,762
22,898
136,660
(146,157)
(684,738)
(328,552)
(14,781)
(23,634)
(15,026)
(36,960)
(233,828)
(87,566)
(111,441)
(81,988)
(294,599)
(438,739)
(131,995)
2011
$
133,263
4,730
137,993
(69,138)
(549,708)
(54,972)
(58,539)
(29,025)
(43,836)
(43,439)
(201,906)
(89,746)
(32,935)
(154,217)
(433,009)
(687,505)
(107,047)
(2,493,344)
(2,417,029)
149,894
-
(2,343,450)
(2,417,029)
(14,688)
(14,688)
(33,177)
(33,177)
Total comprehensive income attributable to
members of the parent entity
(2,358,138)
(2,450,206)
Earnings per Share:
Basic loss per share (cents per share)
7
(1.62)
(2.10)
The accompanying notes form part of these financial statements.
P a g e | 34
AURA ENERGY LIMITED
AND CONTROLLED ENTITIES
ABN 62 115 927 681
ANNUAL REPORT 30 JUNE 2012
CONSOLIDATED STATEMENT OF FINANCIAL POSITION AS AT 30 JUNE 2012
CURRENT ASSETS
Cash and cash equivalents
Trade and other receivables
TOTAL CURRENT ASSETS
NON-CURRENT ASSETS
Plant and equipment
Exploration and evaluation assets
TOTAL NON-CURRENT ASSETS
TOTAL ASSETS
CURRENT LIABILITIES
Trade and other payables
Short term provisions
TOTAL CURRENT LIABILITIES
TOTAL LIABILITIES
NET ASSETS
EQUITY
Issued capital
Reserves
Accumulated losses
TOTAL EQUITY
Note
2012
$
2011
$
8
9
10
11
12
13
14
15
1,725,512
244,949
1,970,461
21,943
14,714,507
14,736,450
3,289,774
187,607
3,477,381
26,933
11,465,790
11,492,723
16,706,911
14,970,104
442,681
43,323
486,004
885,253
18,307
903,560
486,004
903,560
16,220,907
14,066,544
25,723,535
579,036
(10,081,664)
16,220,907
21,074,083
923,395
(7,930,934)
14,066,544
The accompanying notes form part of these financial statements.
P a g e | 35
AURA ENERGY LIMITED
AND CONTROLLED ENTITIES
ABN 62 115 927 681
ANNUAL REPORT 30 JUNE 2012
CONSOLIDATED STATEMENT OF CHANGES IN EQUITY FOR THE YEAR ENDED 30 JUNE 2012
Issued
Accumulated
Options
Capital
Losses
Reserve
Foreign
Exchange
Translation
Reserve
$
$
$
$
Total
$
Balance at 1 July 2010
12,681,865
(5,704,385)
859,129
933
7,837,542
(2,417,029)
-
(2,417,029)
-
-
-
-
-
-
-
(2,417,029)
(33,177)
(33,177)
(33,177)
(2,450,206)
Loss for the year
Other comprehensive income for
the year
Total comprehensive income for
the year
Transaction with owners, directly
in equity
Shares issued during the year
Transaction costs
8,763,498
(507,632)
-
-
(9,667)
-
Options expired during the year
136,352
190,480
(326,832)
Options issued during the year
-
-
Balance at 30 June 2011
21,074,083
(7,930,934)
433,009
955,639
-
-
-
-
8,753,831
(507,632)
-
433,009
(32,244)
14,066,544
Balance at 1 July 2011
21,074,083
(7,930,934)
955,639
(32,244)
14,066,544
Loss for the year
Other comprehensive income for
the year
Total comprehensive income for
the year
Transaction with owners, directly
in equity
Shares issued during the year
Transaction costs
-
-
-
(2,343,450)
-
(2,343,450)
3,420,460
(239,383)
-
-
-
-
-
-
-
Options expired during the year
-
192,720
(192,720)
Options exercised during the year
1,468,375
Options issued during the year
-
-
Balance at 30 June 2012
25,723,535
(10,081,664)
(431,550)
294,599
625,968
-
(2,343,450)
(14,688)
(14,688)
(14,688)
(2,358,138)
-
-
-
-
-
3,420,460
(239,383)
-
1,036,825
294,599
(46,932)
16,220,907
The accompanying notes form part of these financial statements.
P a g e | 36
AURA ENERGY LIMITED
AND CONTROLLED ENTITIES
ABN 62 115 927 681
ANNUAL REPORT 30 JUNE 2012
CONSOLIDATED STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 30 JUNE 2012
CASH FLOWS FROM OPERATING ACTIVITIES
Receipts from customers
Interest received
Payments to suppliers and employees
Payments for exploration expenditure
Income tax received for Research & Development
Note
2012
$
2011
$
19,088
101,123
43,437
98,506
(1,999,082)
(1,928,931)
(3,552,137)
(4,883,019)
149,894
-
Net cash used in operating activities
18a
(5,281,114)
(6,670,007)
CASH FLOWS FROM INVESTING ACTIVITIES
Purchase of plant and equipment
Repay loan for acquisition of subsidiary
Loan for acquisition of subsidiary
Net cash used in investing activities
CASH FLOWS FROM FINANCING ACTIVITIES
Proceeds from issue of shares
Capital raising costs
Net cash provided by financing activities
Net increase/(decrease) in cash held
Cash at 1 July
Cash at 30 June
8
(10,036)
(491,014)
-
(501,050)
4,457,285
(239,383)
4,217,902
(1,564,262)
3,289,774
1,725,512
(17,443)
-
509,200
491,757
8,753,831
(507,632)
8,246,199
2,067,949
1,221,825
3,289,774
The accompanying notes form part of these financial statements.
P a g e | 37
AURA ENERGY LIMITED
AND CONTROLLED ENTITIES
ABN 62 115 927 681
ANNUAL REPORT 30 JUNE 2012
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2012
NOTE 1: STATEMENT OF SIGNIFICANT ACCOUNTING POLICIES
These are the consolidated financial statements and notes of Aura Energy Limited and controlled entities (‘Consolidated Group’
or ‘Group’). Aura Energy Limited is a company limited by shares, domiciled and incorporated in Australia.
The separate financial statements of the parent entity, Aura Energy Limited, have not been presented with this financial report
as permitted by the Corporations Act 2001.
Basis of Preparation
The financial statements are general purpose financial statements that have been prepared in accordance with Australian
Accounting Standards, including Australian Accounting Interpretations, other authoritative pronouncements of the Australian
Accounting Standards Board and the Corporations Act 2001.
Australian Accounting Standards set out accounting policies that the AASB has concluded would result in a financial report
containing relevant and reliable information about transactions, events and conditions to which they apply. Compliance with
Australian Accounting Standards ensures that the financial statements and notes also comply with International Financial
Reporting Standards as issued by the IASB. Material accounting policies adopted in the preparation of these financial
statements are presented below. They have been consistently applied unless otherwise stated.
The financial statements have been prepared on an accruals basis and are based on historical costs modified, where applicable,
by the measurement at fair value of selected non-current assets, financial assets and financial liabilities.
The financial statements were authorised for issue on 28 September 2012 by the directors of the Company.
Going Concern
The financial statements have been prepared on a going concern basis, which contemplates the continuity of normal business
activity and the realisation of assets and the settlement of liabilities in the ordinary course of business.
The Company incurred a loss for the year of $2,343,450 and net cash outflows of $1,564,262.
As at 30 June 2012, the Group had a working capital of $1,484,457.
The ability of the Group to continue as a going concern is principally dependent upon the ability of the Group to secure funds
by raising capital from equity markets or by other means, and by managing cash flows in line with available funds, and / or the
successful development of the Group's exploration assets. Should the above matters are not by achieved; the Group will be
required to raise funds for working capital from debt or equity sources.
Based upon cash flow forecasts and other factors referred to above, the directors are satisfied that the going concern basis of
preparation is appropriate, including the meeting of exploration commitments. In addition, given the Group's history of raising
funds to date, the directors are confident of the Group's ability to raise additional funds as and when they are required.
Should the Company be unable to continue as a going concern it may be required to realise its assets and extinguish its
liabilities other than in the normal course of business and at amounts different to those stated in the financial statements.
The financial statements do not include any adjustments relating to the recoverability and classification of asset carrying
amounts or to the amount and classification of liabilities that might result should the Company be unable to continue as a going
concern and meet its debts as and when they fall due.
(a) Principles of Consolidation
A controlled entity is any entity over which Aura Energy Limited has the power to govern the financial and operating
policies so as to obtain benefits from its activities. In assessing the power to govern, the existence and effect of
holdings of actual and potential voting rights are considered.
P a g e | 38
AURA ENERGY LIMITED
AND CONTROLLED ENTITIES
ABN 62 115 927 681
ANNUAL REPORT 30 JUNE 2012
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2012
NOTE 1: STATEMENT OF SIGNIFICANT ACCOUNTING POLICIES
A list of controlled entities is contained in Note 17 to the financial statements.
All inter-group balances and transactions between entities in the Consolidated Group, including any unrealised profits or
losses, have been eliminated on consolidation. Accounting policies of subsidiaries have been changed where necessary to
ensure consistency with those adopted by the parent entity.
As at reporting date, the assets and liabilities of all controlled entities have been incorporated into the consolidated
financial statements as well as their results for the year then ended. Where controlled entities have entered (left) the
Consolidated Group during the year, their operating results have been included (excluded) from the date control was
obtained (ceased).
Business Combinations
Business combinations occur when an acquirer obtains control over one or more businesses.
A business combination is accounted for by applying the acquisition method, unless it is a combination involving entities
or businesses under common control. The business combination will be accounted for from the date that control is
attained, whereby the fair value of the identifiable assets acquire and liabilities (including contingent liabilities) assumed
is recognised (subject to certain limited exemptions).
When measuring the consideration transferred in the business combination, any asset or liability resulting from a
contingent consideration arrangement is also included. Subsequent to initial recognition, contingent consideration
classified as an asset or liability is remeasured each reporting period to fair value, recognising any change to fair value in
profit or loss, unless the change in value can be identified as existing at acquisition date.
All transaction costs incurred in relation to the business combination are expensed to the statement of comprehensive
income.
The acquisition of a business may result in the recognition of goodwill or a gain from a bargain purchase.
(b) Exploration and Development Expenditure
Exploration, evaluation, and development expenditure incurred is accumulated in respect of each identifiable area of
interest. These costs are only carried forward to the extent that they are expected to be recouped through the successful
development of the area or where activities in the area have not yet reached a stage that permits reasonable assessment
of the existence of economically recoverable reserves.
Accumulated costs in relation to an abandoned area are written off in full against profit in the year in which the decision
to abandon the area is made.
When production commences, the accumulated costs for the relevant area of interest will be amortised over the life of
the area according to the rate of depletion of the economically recoverable reserves.
A regular review is undertaken of each area of interest to determine the appropriateness of continuing to capitalise costs
in relation to that area of interest.
Costs of site restoration will be provided over the life of the project, when such costs are incurred or the Group becomes
liable for, from when exploration commences and are included in the costs of that stage. Site restoration costs will
include the dismantling and removal of mining plant, equipment and building structures, waste removal, and
rehabilitation of the site in accordance with clauses of the mining permits. Such costs have been determined using
estimates of future costs, current legal requirements and technology on an undiscounted basis.
P a g e | 39
AURA ENERGY LIMITED
AND CONTROLLED ENTITIES
ABN 62 115 927 681
ANNUAL REPORT 30 JUNE 2012
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2012
NOTE 1: STATEMENT OF SIGNIFICANT ACCOUNTING POLICIES
Any changes in the estimates for the costs are accounted on a prospective basis. In determining the costs of site
restoration, there is uncertainty regarding the nature and extent of the restoration due to community expectations and
future legislation. Accordingly the costs have been determined on the basis that the restoration will be completed within
one year of abandoning the site.
(c)
Income Tax
Current income tax expense charged to the profit or loss is the tax payable on taxable income calculated using applicable
income tax rates enacted, or substantially enacted, as at reporting date. Current tax liabilities (assets) are therefore
measured at the amounts expected to be paid to (recovered from) the relevant taxation authority.
Deferred income tax expense reflects movements in deferred tax asset and deferred tax liability balances during the year
as well unused tax losses.
Current and deferred income tax expense (income) is charged or credited outside profit or loss when the tax relates to
items recognised outside profit or loss.
Deferred tax assets and liabilities are ascertained based on temporary differences arising between the tax bases of assets
and liabilities and their carrying amounts in the financial statements. Deferred tax assets also result where amounts have
been fully expensed but future tax deductions are available. No deferred income tax will be recognised from the initial
recognition of an asset or liability, excluding a business combination, where there is no effect on accounting or taxable
profit or loss.
Deferred tax assets and liabilities are calculated at the tax rates that are expected to apply to the period when the asset is
realised or the liability is settled, based on tax rates enacted or substantively enacted at reporting date. Their
measurement also reflects the manner in which management expects to recover or settle the carrying amount of the
related asset or liability.
Deferred tax assets relating to temporary differences and unused tax losses are recognised only to the extent that it is
probable that future taxable profit will be available against which the benefits of the deferred tax asset can be utilised.
Where temporary differences exist in relation to investments in subsidiaries, branches, associates, and joint ventures,
deferred tax assets and liabilities are not recognised where the timing of the reversal of the temporary difference can be
controlled and it is not probable that the reversal will occur in the foreseeable future.
Current tax assets and liabilities are offset where a legally enforceable right of set-off exists and it is intended that net
settlement or simultaneous realisation and settlement of the respective asset and liability will occur. Deferred tax assets
and liabilities are offset where a legally enforceable right of set-off exists, the deferred tax assets and liabilities relate to
income taxes levied by the same taxation authority on either the same taxable entity or different taxable entities where it
is intended that net settlement or simultaneous realisation and settlement of the respective asset and liability will occur
in future periods in which significant amounts of deferred tax assets or liabilities are expected to be recovered or settled.
(d) Plant and Equipment
Each class of plant and equipment is carried at cost or fair value less, where applicable, any accumulated depreciation and
impairment losses.
Plant and equipment
Plant and equipment are measured on the cost basis.
The carrying amount of plant and equipment is reviewed annually by Directors to ensure it is not in excess of the
recoverable amount from these assets. The recoverable amount is assessed on the basis of the expected net cash flows
that will be received from the assets employment and subsequent disposal. The expected net cash flows have not been
discounted to their present values in determining recoverable amounts.
P a g e | 40
AURA ENERGY LIMITED
AND CONTROLLED ENTITIES
ABN 62 115 927 681
ANNUAL REPORT 30 JUNE 2012
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2012
NOTE 1: STATEMENT OF SIGNIFICANT ACCOUNTING POLICIES
Depreciation
The depreciable amount of all fixed assets including building and capitalised lease assets, but excluding freehold land, is
depreciated on a straight line basis over their useful lives to the Consolidated Group commencing from the time the asset
is held ready for use. Leasehold improvements are depreciated over the shorter of either the unexpired period of the
lease or the estimated useful lives of the improvements.
The depreciation rates used for each class of depreciable assets are:
Plant and equipment
Computers
Motor Vehicles
20%
33%
25%
The assets' residual values and useful lives are reviewed, and adjusted if appropriate, at the end of each reporting period.
An asset's carrying amount is written down immediately to its recoverable amount if the asset's carrying amount is
greater than its estimated recoverable amount.
Gains and losses on disposals are determined by comparing proceeds with the carrying amount. These gains and losses
are included in the statement of comprehensive income. When re-valued assets are sold, amounts included in the
revaluation reserve relating to that asset are transferred to retained earnings.
(e)
Employee Benefits
Provision is made for the Company’s liability for employee benefits arising from services rendered by employees to the
end of the reporting period. Employee benefits that are expected to be settled within one year have been measured at
the amounts expected to be paid when the liability is settled, plus related on-costs. Employee benefits payable later than
one year have been measured at the present value of the estimated future cash outflows to be made for those benefits.
(f)
Cash and cash equivalents
Cash and cash equivalents includes cash on hand, deposits held at call with banks, other short-term highly liquid
investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within
short-borrowings in current liabilities on the Statement of financial position.
(g) Revenue and Other Income
Interest revenue is recognised on a proportional basis taking into account the interest rates applicable to the financial
assets.
Management fees are recognised on portion of completion basis.
Gain on disposal of tenements, and revenue from equipment chargebacks, are recognised on receipt of compensation.
All revenue is stated net of the amount of goods and services tax (GST).
(h) Goods and Services Tax (GST)
Revenues, expenses, and assets are recognised net of the amount of GST, except where the amount of GST incurred is not
recoverable from the Australian Tax Office. In these circumstances the GST is recognised as part of the cost of acquisition
of the asset or as part of an item of the expense. Receivables and payables in the statement of financial position are
shown inclusive of GST.
Cash flows are presented in the statement of cash flows on a gross basis, except for the GST component of investing and
financing activities, which are disclosed as operating cash flows.
P a g e | 41
AURA ENERGY LIMITED
AND CONTROLLED ENTITIES
ABN 62 115 927 681
ANNUAL REPORT 30 JUNE 2012
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2012
NOTE 1: STATEMENT OF SIGNIFICANT ACCOUNTING POLICIES
(i)
Leases
Leases of fixed assets where substantially all the risks and benefits incidental to the ownership of the asset, but not the
legal ownership, are transferred to entities in the Group are classified as finance leases.
Finance leases are capitalised by recording an asset and a liability at the lower of the amounts equal to the fair value of
the leased property or the present value of the minimum lease payments, including any guaranteed residual values.
Lease payments are allocated between the reduction of the lease liability and the lease interest expense for the period.
Leased assets are depreciated on a straight-line basis over their estimated useful lives where it is likely that the Group will
obtain ownership of the asset or over the term of the lease.
Lease payments for operating leases, where substantially all the risks and benefits remain with the lessor, are charged as
expenses in the periods in which they are incurred.
Lease incentives under operating leases are recognised as a liability and amortised on a straight-line basis over the life of
the lease term.
(j)
Financial Instruments
Initial recognition and measurement
Financial instruments, incorporating financial assets and financial liabilities, are recognised when the entity becomes a
party to the contractual provisions of the instrument. Trade date accounting is adopted for financial assets that are
delivered within timeframes established by marketplace convention.
Financial instruments are initially measured at fair value plus transactions costs where the instrument is not classified as
at fair value through profit or loss. Transaction costs related to instruments classified as at fair value through profit or loss
are expensed to profit or loss immediately.
The Group does not designate any interests in subsidiaries, associates or joint venture entities as being subject to the
requirements of accounting standards specifically applicable to financial instruments.
Classification and Subsequent Measurement
Financial assets at fair value through profit and loss
Financial assets are classified at fair value through profit or loss when they are held for trading for the purpose of short
term profit taking, where they are derivatives not held for hedging purposes, or designated as such to avoid an
accounting mismatch or to enable performance evaluation where a group of financial assets is managed by key
management personnel on a fair value basis in accordance with a documented risk management or investment strategy.
Realised and unrealised gains and losses arising from changes in fair value are included in profit or loss in the period in
which they arise.
Loans and receivables
Loans and receivables are non-derivative financial assets with fixed or determinable payments that are not quoted in an
active market and are subsequently measured at amortised cost.
Loans and receivables are included in current assets, except for those which are not expected to mature within 12 months
after the end of the reporting period.
Held-to-maturity investments
Held-to-maturity investments are non-derivative financial assets that have fixed maturities and fixed or determinable
payments, and it is the Group’s intention to hold these investments to maturity. They are subsequently measured at
amortised cost.
P a g e | 42
AURA ENERGY LIMITED
AND CONTROLLED ENTITIES
ABN 62 115 927 681
ANNUAL REPORT 30 JUNE 2012
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2012
NOTE 1: STATEMENT OF SIGNIFICANT ACCOUNTING POLICIES
Held-to-maturity investments are included in non-current assets, except for those which are expected to mature within
12 months after the end of the reporting period. All other investments are classified as current assets.
Available-for-sale financial assets
Available-for-sale financial assets are non-derivative financial assets that are either not suitable to be classified into other
categories of financial assets due to their nature, or they are designated as such by management. They comprise
investments in the equity of other entities where there is neither a fixed maturity nor fixed or determinable payments.
They are subsequently measured at fair value with changes in such fair value (ie. gains or losses) recognised in other
comprehensive income (except for impairment losses and foreign exchange gains and losses). When the financial asset is
derecognised, the cumulative gain or loss pertaining to that asset previously recognised in other comprehensive income is
reclassified into profit or loss.
Available-for-sale financial assets are included in non-current assets, except for those which are expected to mature
within 12 months after the end of the reporting period. All other financial assets are classified as current assets.
Financial liabilities
Non-derivative financial liabilities (excluding financial guarantees) are subsequently measured at amortised cost.
Derivative instruments
Derivative instruments are measured at fair value. Gains and losses arising from changes in fair value are taken to the
statement of comprehensive income unless they are designated as hedges.
Fair value
Fair value is determined based on current bid prices for all quoted investments. Valuation techniques are applied to
determine the fair value for all unlisted securities, including recent arm’s length transactions, reference to similar
instruments and option pricing models.
Impairment
At the end or each reporting period, the Group assesses whether there is objective evidence that a financial instrument
has been impaired. In the case of available-for sale financial instruments, a prolonged decline in the value of the
instrument is considered to determine whether an impairment has arisen. Impairment losses are recognised in the profit
or loss. Also, any cumulative decline in fair value previously recognised in other comprehensive income is reclassified to
profit or loss at this point.
Derecognition
Financial assets are derecognised where the contractual rights to cash flow expires or the asset is transferred to another
party whereby the entity no longer has any significant continuing involvement in the risks and benefits associated with
the asset. Financial liabilities are derecognised where the related obligations are either discharged, cancelled or expired.
The difference between the carrying value of the financial liability extinguished or transferred to another party and the
fair value of consideration paid, including the transfer of non-cash assets or liabilities assumed, is recognised in profit or
loss.
(k)
Earnings Per Share
Basic earnings per share
i.
Basic earnings per share is determined by dividing the profit attributable to equity holders of the Company, excluding any
costs of service 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 year.
P a g e | 43
AURA ENERGY LIMITED
AND CONTROLLED ENTITIES
ABN 62 115 927 681
ANNUAL REPORT 30 JUNE 2012
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2012
NOTE 1: STATEMENT OF SIGNIFICANT ACCOUNTING POLICIES
ii. Diluted earnings per share
Diluted earnings per share adjusts the figure used in the determination of basic earnings per share to take into account
the after income tax effect of interest and other financial 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.
(l)
Impairment of Assets
At the end of each reporting period, the Group reviews the carrying values of its tangible and intangible assets to
determine whether there is any indication that those assets have been impaired. If such an indication exists, the
recoverable amount of the asset, being the higher of the asset’s fair value less costs to sell and value in use, is compared
to the asset’s carrying value. Any excess of the asset’s carrying value over its recoverable amount is recognised
immediately to profit or loss.
Impairment testing is performed annually for goodwill and intangible assets with indefinite lives.
Where it is not possible to estimate the recoverable amount of an individual asset, the Group estimates the recoverable
amount of the cash-generating unit to which the asset belongs.
(m) Provisions
Provisions are recognised when the Group has a legal or constructive obligation, as a result of past events, for which it is
probable that an outflow of economic benefits will results and that outflow can be reliably measured.
(n) Borrowing Costs
Borrowing costs directly attributable to the acquisition, construction or production of assets that necessarily take a
substantial period of time to prepare for their intended use or sale, are added to the cost of those assets, until such time
as the assets are substantially ready for their intended use or sale.
All other borrowing costs are recognised in income in the period in which they are incurred.
(o) Equity-settled compensation
The Group operates an employee share ownership scheme. Share-based payments to employees are measured at the
fair value of the instruments issued and amortised over the vesting periods. Share-based payments to non-employees
are measured at the fair value of goods or services received or the fair value of the equity instruments issued, if it is
determined the fair value of the goods or services cannot be reliably measured, and are recorded at the date the goods or
services are received. The corresponding amount is recorded to the option reserve. The fair value of options is
determined using the Black-Scholes pricing model. The number of shares and options expected to vest is reviewed and
adjusted at the end of each reporting period such that the amount recognised for services received as consideration for
the equity instruments granted is based on the number of equity instruments that eventually vest.
(p) Comparative Figures
Where required by Accounting Standards comparative figures have been adjusted to conform with changes in
presentation for the current financial year.
(q)
Foreign Currency Transactions and Balances
Functional and presentation currency
The functional currency of each of the Group’s entities is measured using the currency of the primary economic
environment in which that entity operates. The consolidated financial statements are presented in Australian dollars
which is the parent entity’s functional and presentation currency.
P a g e | 44
AURA ENERGY LIMITED
AND CONTROLLED ENTITIES
ABN 62 115 927 681
ANNUAL REPORT 30 JUNE 2012
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2012
NOTE 1: STATEMENT OF SIGNIFICANT ACCOUNTING POLICIES
Transaction and balances
Foreign currency transactions are translated into functional currency using the exchange rates prevailing at the date of
the transaction. Foreign currency monetary items are translated at the year-end exchange rate. Non-monetary items
measured at historical cost continue to be carried at the exchange rate at the date of the transaction. Non-monetary
items measured at fair value are reported at the exchange rate at the date when fair values were determined.
Exchange differences arising on the translation of monetary items are recognised in the profit or loss except where
deferred in equity as a qualifying cash flow or net investment hedge.
Exchange differences arising on the translation of non-monetary items are recognised directly in other comprehensive
income to the extent that the gain or loss is directly recognised in other comprehensive income, otherwise the exchange
difference is recognised in the profit or loss.
Group companies
The financial results and position of foreign operations whose functional currency is different from the Group’s
presentation currency are translated as follows:
assets and liabilities are translated at year-end exchange rates prevailing at that reporting date;
income and expenses are translated at average exchange rates for the period; and
retained earnings are translated at the exchange rates prevailing at the date of the transaction.
Exchange differences arising on translation of foreign operations are transferred directly to the Group’s foreign currency
translation reserve in the statement of financial position. These differences are recognised in the profit or loss in the
period in which the operation is disposed.
(r) Critical Accounting Estimates and Judgments
The Directors evaluate estimates and judgments incorporated into the financial report based on historical knowledge and
best available current information. Estimates assume a reasonable expectation of future events and are based on current
trends and economic data, obtained both externally and within the Company.
Key Judgments – Exploration and evaluation expenditure
Exploration and evaluation costs are carried forward where right of tenure of the area of interest is current. These costs
are carried forward in respect of an area that has not at reporting date reached a stage that permits reasonable
assessment of the existence of economically recoverable reserves, refer to the accounting policy stated in note 1(b). The
carrying value of capitalised expenditure at reporting date is $14,713,339.
During the financial year, the Group undertook assessment of its tenement assets, As a result of this assessment, the
Group decided to impair some of its exploration assets. Refer Note 11.
Key Judgments – Environmental Issues
Balances disclosed in the financial statements and notes thereto are not adjusted for any pending or enacted
environmental legislation, and the directors understanding thereof. At the current stage of the company’s development
and its current environmental impact, the directors believe such treatment is reasonable and appropriate.
Key Estimate – Taxation
Balances disclosed in the financial statements and the notes thereto, related to taxation, are based on the best estimates
of directors. These estimates take into account both the financial performance and position of the company as they
pertain to current income taxation legislation, and the directors understanding thereof. No adjustment has been made
for pending or future taxation legislation. The current income tax position represents that directors’ best estimate,
pending an assessment by tax authorities in relevant jurisdictions.
P a g e | 45
AURA ENERGY LIMITED
AND CONTROLLED ENTITIES
ABN 62 115 927 681
ANNUAL REPORT 30 JUNE 2012
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2012
NOTE 1: STATEMENT OF SIGNIFICANT ACCOUNTING POLICIES
Key Estimate — Impairment
The Group assesses impairment at each reporting date by evaluating conditions specific to the Group that may lead to
impairment of assets. Where an impairment trigger exists, the recoverable amount of the asset is determined. Value-in-use
calculations performed in assessing recoverable amounts incorporate a number of key estimates.
Key Estimate – Share-based payments
The Group measures the cost of equity-settled transactions with employees by reference to the fair value of the equity
instruments at the date at which they are granted. The fair value is determined by an internal valuation using a Black-
Scholes option pricing model, using the assumptions detailed in Note 19.
(s) New Accounting Standards for Application in Future Periods
The AASB has issued new and amended Accounting Standards and Interpretations that have mandatory application dates
for future reporting periods and which the Group has decided not to early adopt. A discussion of those future
requirements and their impact on the Group is as follows:
AASB 9: Financial Instruments (issued December 2009 and amended December 2010)
Applicable for annual reporting periods commencing on or after 1 January 2015.
Amends the requirements for classification and measurement of financial assets. The available-for-sale and held-to-
maturity categories of financial assets in AASB 139 have been eliminated. AASB 9 requires that gains or losses on
financial liabilities measured at fair value are recognised in profit or loss, except that the effects of changes in the
liability’s credit risk are recognised in other comprehensive income. Adoption of AASB 9 is only mandatory for the
year ending 30 June 2016. The Group has not yet made an assessment of the impact of these amendments.
AASB 10: Consolidated Financial Statements (issued August 2011)
Applicable for annual reporting periods commencing on or after 1 January 2013.
Introduces a single ‘control model’ for all entities, including special purpose entities (SPEs), whereby all of the
following conditions must be present:
- Power over investee (whether or not power used in practice).
- Exposure, or rights, to variable returns from investee.
- Ability to use power over investee to affect the entity’s returns from investee.
- Introduces the concept of ‘defacto’ control for entities with less than 50% ownership interest in an entity, but
which have a large shareholding compared to other shareholders. This could result in more instances of control
and more entities being consolidated.
When this standard is first adopted for the year ended 30 June 2014, there will be no impact on transactions and
balances recognised in the financial statements because the Group does not have any special purpose entities. The
Group does not have ’defacto’ control of any entities with less than 50% ownership in an entity.
AASB 11: Joint Arrangements (issued August 2011)
Applicable for annual reporting periods commencing on or after 1 January 2013.
Joint arrangements will be classified as either ‘joint operations’ (where parties with joint control have rights to
assets and obligations for liabilities) or ‘joint ventures’ (where parties with joint control have rights to the net assets
of the arrangement). When this standard is first adopted for the year ended 30 June 2014, there will be no impact
on transactions and balances recognised in the financial statements because the Group has not entered into any
joint arrangements.
AASB 12: Disclosure of Interests in Other Entities (issued August 2011)
Applicable for annual reporting periods commencing on or after 1 January 2013.
P a g e | 46
AURA ENERGY LIMITED
AND CONTROLLED ENTITIES
ABN 62 115 927 681
ANNUAL REPORT 30 JUNE 2012
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2012
NOTE 1: STATEMENT OF SIGNIFICANT ACCOUNTING POLICIES
Combines existing disclosures from AASB 127 Consolidated and Separate Financial Statements, AASB 128
Investments in Associates and AASB 131 Interests in Joint Ventures. Introduces new disclosure requirements for
interests in associates and joint arrangements, as well as new requirements for unconsolidated structured entities.
As this is a disclosure standard only, there will be no impact on amounts recognised in the financial statements.
However, additional disclosures will be required for interests in associates and joint arrangements, as well as for
unconsolidated structured entities.
AASB 13: Fair Value Measurement (issued September 2011)
Applicable for annual reporting periods commencing on or after 1 January 2013.
AASB 13 establishes a single framework for measuring fair value of financial and non-financial items recognised at
fair value in the statement of financial position or disclosed in the notes to the financial statements. Additional
disclosures required for items measured at fair value in the statement of financial position, as well as items merely
disclosed at fair value in the notes to the financial statements. Extensive additional disclosures are required for
items measured at fair value that are ‘level 3’ valuations in the fair value hierarchy that are not financial
instruments.
When this standard is first adopted for the year ended 30 June 2014, additional disclosures will be required about
fair values.
AASB 2011-4: Amendments to AASB 124 to Remove Individual Key Management Personnel Disclosure
Requirements (issued July 2011)
Applicable for annual reporting periods commencing on or after 1 July 2013.
These amendments remove individual key management personnel (KMP) disclosure requirements from AASB 124
to eliminate duplicated information required under the Corporation Act 2001. When this standard is first adopted
for the year ended 30 June 2014, the Group will show reduced disclosures under the Key Management Personnel
note to the financial statements.
AASB 2011-9: Amendments to AASB 101 Presentation of Items of Other Comprehensive Income (issued September
2011)
Applicable for annual reporting periods commencing on or after 1 July 2012.
- One statement of comprehensive income to be referred to as ‘statement of profit or loss and other
comprehensive income’.
- Two statements to be referred to as ‘statement of profit or loss’ and ‘statement of other comprehensive income’.
- OCI items must be grouped together into two sections: those that could subsequently be reclassified into profit or
loss, and those that cannot.
When this standard is first adopted for the year ended 30 June 2013, there will be no impact on amounts
recognized for transactions and balances for 30 June 2013 and comparatives.
Interpretation 20: Stripping Costs in the Production Phase of a Surface Mine (issued November 2011)
Applicable for annual reporting periods commencing on or after 1 January 2013.
Clarifies that costs of removing mine waste materials (overburden) to gain access to mineral ore deposits during the
production phase of a mine must be capitalised as inventories under AASB 102 Inventories if the benefits from
stripping activity are realised in the form of inventory produced. Otherwise, if stripping activity provides improved
access to the ore, stripping costs must be capitalized as a non-current, stripping activity asset if certain recognition
criteria are met.
As the Group does not operate a surface mine, there will be no impact on the financial statements when this
interpretation is first adopted.
P a g e | 47
AURA ENERGY LIMITED
AND CONTROLLED ENTITIES
ABN 62 115 927 681
ANNUAL REPORT 30 JUNE 2012
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2012
NOTE 2: REVENUE AND OTHER INCOME
Revenue:
Interest received from financial institutions
Management fees
Total Revenue
Other Income
Foreign exchange gain
Equipment charge-backs
Total Other Income
NOTE 3: LOSS BEFORE INCOME TAX
Note
2012
$
2011
$
101,123
12,639
113,762
18,186
4,712
22,898
98,506
34,757
133,263
-
4,730
4,730
2012
$
2011
$
The following significant revenue and (expense) items are relevant
in explaining the financial performance:
Superannuation expense
(45,544)
(36,592)
P a g e | 48
AURA ENERGY LIMITED
AND CONTROLLED ENTITIES
ABN 62 115 927 681
ANNUAL REPORT 30 JUNE 2012
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2012
NOTE 4: INCOME TAX
(a) Income tax expense / (benefit)
Current tax
Deferred tax
Tax rebate for Research and Development
Note
2012
$
2011
$
-
-
(149,894)
(149,894)
-
-
-
-
Deferred income tax expense included in income tax expense
comprises:
-
-
Increase / (decrease) in deferred tax assets
(Increase) / decrease in deferred tax liabilities
4(c)
4(d)
12,664
(12,664)
(107,398)
107,398
-
-
(b) Reconciliation of income tax expense to prima facie tax payable
The prima facie tax payable / (benefit) on loss from ordinary
activities before income tax is reconciled to the income tax
expense as follows:
Prima facie tax on operating loss at 30% (2011: 30%)
(748,003)
(725,109)
Add / (Less)
Tax effect of:
- Share-based payments
- Other adjustments
- Deferred tax asset not brought to account
Income tax expense / (benefit) attributable to operating loss
Less rebates:
- Research and Development
Income tax expense / (benefit)
88,380
25,406
634,217
-
(149,894)
(149,894)
129,903
50,669
544,537
-
-
-
The applicable weighted average effective tax rates attributable to
operating profit are as follows
nil%
nil%
Balance of franking account at year end
nil
nil
P a g e | 49
AURA ENERGY LIMITED
AND CONTROLLED ENTITIES
ABN 62 115 927 681
ANNUAL REPORT 30 JUNE 2012
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2012
NOTE 4: INCOME TAX (cont.)
(c) Deferred tax assets
Tax losses
Provisions and accruals
Other
Set-off deferred tax liabilities
Net deferred tax assets
Less deferred tax assets not recognised
Net tax assets
(d) Deferred tax liabilities
Exploration expenditure
Set-off deferred tax assets
Net deferred tax liabilities
(e) Tax losses
Unused tax losses for which no deferred tax asset has been
recognised, that may be utilised to offset tax liabilities:
- Revenue losses
- Capital losses
Note
2012
$
2011
$
2,148,537
2,062,603
21,247
210,885
5,696
195,030
2,380,669
2,263,328
4(d)
(378,219)
(390,883)
2,002,450
1,872,446
(2,002,450)
(1,872,446)
-
-
378,219
378,219
390,883
390,883
4(c)
(378,219)
(390,883)
-
-
6,674,833
6,241,485
691,104
691,104
7,365,937
6,932,589
Potential deferred tax assets attributable to tax losses and exploration expenditure carried forward have not
been brought to account at 30 June 2012 because the directors do not believe it is appropriate to regard
realisation of the deferred tax assets as probable at this point in time. These benefits will only be obtained if:
i.
the company derives future assessable income of a nature and of an amount sufficient to enable the benefit
from the deductions for the loss and exploration expenditure to be realised;
ii. the company continues to comply with conditions for deductibility imposed by law; and
iii. no changes in tax legislation adversely affect the company in realising the benefit from the deductions for the
loss and exploration expenditure.
P a g e | 50
AURA ENERGY LIMITED
AND CONTROLLED ENTITIES
ABN 62 115 927 681
ANNUAL REPORT 30 JUNE 2012
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2012
NOTE 5: KEY MANAGEMENT PERSONNEL COMPENSATION
(a) Key management personnel (KMP) compensation
The names are positions of KMP are as follows:
Brett Fraser
Chairman
Robert (Bob)Beeson
Managing Director
Simon O’Loughlin
Non-executive Director
Jay Stephenson
Non-executive Director
Leigh Junk
Non-executive Director
Julian Perkins
Non-executive Director
James Merrillees
Exploration Manager
Refer to the Remuneration Report contained in the Director’s Report for details of the remuneration paid to
each member of the Group’s KMP for the year ended 30 June 2012.
The totals of remuneration paid to KMP during the year are as follows:
Short-term employee benefits
Post-employment benefits
Share based payments
Other long term benefits
Termination benefits
Total
2012
$
2011
$
794,576
395,425
40,050
68,686
217,325
179,812
-
-
-
-
1,051,951
643,923
(b) Equity instrument disclosures relating to KMP
(i) Option holdings
The number of options over ordinary shares held by each KMP of the Group during the financial year is as
follows:
30 June 2012
Balance at start
of year
Granted as
remuneration
during the year
Directors of Aura Energy Limited
Exercised during
the year
Other changes
during the year
Balance at end
of year
Vested and
exercisable
Brett Fraser
1,000,000
1,500,000
(1,000,000)
(423,601)
1,076,399
Robert Beeson
1,500,000
2,000,000
(1,500,000)
270,710
2,270,710
Jay Stephenson
Simon O’Loughlin
Leigh Junk
Julian Perkins
Other KMP
1,000,000
1,000,000
-
50,000
James Merrillees
50,000
-
-
-
-
-
(1,000,000)
1,013,368
1,013,368
(1,000,000)
-
-
-
125,000
125,000
6,667
125,000
125,000
56,667
14,167
64,167
4,600,000
3,500,000
(4,500,000)
1,131,311
4,731,311
-
-
-
-
-
-
50,000
50,000
P a g e | 51
AURA ENERGY LIMITED
AND CONTROLLED ENTITIES
ABN 62 115 927 681
ANNUAL REPORT 30 JUNE 2012
CONSOLIDATED NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2012
NOTE 5: KEY MANAGEMENT PERSONNEL COMPENSATION (cont.)
30 June 2011
Balance at start
of year
Granted as
remuneration
during the year
Directors of Aura Energy Limited
Exercised during
Other changes
during the year
Balance at end
of year
Vested and
exercisable
the year
Brett Fraser
Robert Beeson
Jay Stephenson
Simon O’Loughlin
Leigh Junk
Julian Perkins
(iii) Shareholdings
1,000,000
3,000,000
1,000,000
1,000,000
-
-
6,000,000
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
1,000,000
1,000,000
(1,500,000)
1,500,000
1,500,000
-
-
-
-
1,000,000
1,000,000
1,000,000
1,000,000
-
-
-
-
(1,500,000)
4,500,000
4,500,000
The number of ordinary shares in Aura Energy Limited held by each KMP of the Group during the financial year
is as follows:
30 June 2012
Balance at start of
year
Received during
the year as
compensation
Received during the
year on the exercise
of options
Other changes
during the year
Balance at end of
year
Directors of Aura Energy Limited
Brett Fraser
Robert Beeson
Jay Stephenson
Simon O’Loughlin
Leigh Junk
Julian Perkins
Other KMP
James Merrillees
1,641,200
1,299,250
1,355,200
768,112
750,000
-
250,000
6,063,762
-
-
-
-
-
-
-
-
1,000,000
1,500,000
1,000,000
1,000,000
-
-
-
(355,160)
(729,290)
(511,633)
(775,000)
125,000
106,667
2,286,040
2,069,960
1,843,567
993,112
875,000
106,667
(150,833)
99,167
4,500,000
(2,290,249)
8,273,513
30 June 2011
Balance at start of
year
Received during
the year as
compensation
Received during the
year on the exercise
of options
Other changes
during the year
Balance at
end of year
Directors of Aura Energy Limited
Brett Fraser
Robert Beeson
Jay Stephenson
Simon O’Loughlin
Leigh Junk
Julian Perkins
1,326,000
1,165,000
1,146,000
768,112
-
-
4,405,112
-
-
-
-
-
-
-
-
-
-
-
-
-
-
315,200
134,250
209,200
-
750,000
-
1,641,200
1,299,250
1,355,200
768,112
750,000
-
1,408,650
5,813,762
Other changes during the year relate to shares purchased on market.
P a g e | 52
AURA ENERGY LIMITED
AND CONTROLLED ENTITIES
ABN 62 115 927 681
ANNUAL REPORT 30 JUNE 2012
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2012
NOTE 5: KEY MANAGEMENT PERSONNEL COMPENSATION (cont.)
(c) Loans to key management personnel
There are no loans made to directors of Aura Energy as at 30 June 2012.
(d) Other transactions with key management personnel
There have been no other transactions involving equity instruments other than those described in the tables
above. For details of other transactions with key management personnel, refer Note 21: Related party transactions.
NOTE 6: AUDITOR’S REMUNERATION
Remuneration of the auditor of the Group for:
- Auditing or reviewing the financial reports
- Taxation services provided by a related practice of the auditor
NOTE 7: EARNINGS PER SHARE
(a) Reconciliation of earnings to net profit or loss
Loss used in the calculation of basic EPS
(b) Weighted average number of ordinary shares outstanding during
the year used in calculation of basic EPS
Basic and diluted earnings per share (cents per share)
NOTE 8: CASH AND CASH EQUIVALENTS
Cash at bank
Reconciliation of Cash
Cash at the end of the financial year as shown in the consolidated
statement of cash flows is reconciled to items in the consolidated
statement of financial position as follows:
Note
2012
$
2011
$
39,000
2,800
41,800
41,065
1,650
42,715
2012
$
2011
$
(2,343,450)
(2,417,029)
144,452,555
114,889,796
(1.62)
(2.10)
2012
$
2011
$
1,725,512
3,289,774
Cash and cash equivalents
1,725,512
3,289,774
The effective interest rate on short term bank deposits was 4% (2011: 6%). These deposits have an average
maturity of 5 months (2011: 4 months).
NOTE 9: TRADE AND OTHER RECEIVABLES
CURRENT
Goods and Services Tax and MOMS1 receivable
Trade debtors and prepayments
1 MOMS is an acronym for the Swedish equivalent to a broad-based consumption tax,
such as GST and VAT.
2012
$
2011
$
186,531
58,418
244,949
155,072
32,535
187,607
P a g e | 53
AURA ENERGY LIMITED
AND CONTROLLED ENTITIES
ABN 62 115 927 681
ANNUAL REPORT 30 JUNE 2012
CONSOLIDATED NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2012
NOTE 10: PLANT AND EQUIPMENT
NON-CURRENT
Plant and equipment
Accumulated depreciation
Motor vehicles
Accumulated depreciation
Total plant and equipment
a. Movements in Carrying Amounts
Balance at the beginning of year
Additions
Depreciation expense
Carrying amount at the end of year
NOTE 11: EXPLORATION AND EVALUATION ASSETS
NON-CURRENT
Exploration expenditure capitalised
- Exploration and evaluation phases at cost
Other
Less: Exploration expenditure written-off
Net carrying value
Note
2012
$
2011
$
180,005
169,969
(158,062)
(143,036)
21,943
62,948
26,933
62,948
(62,948)
(62,948)
-
-
21,943
26,933
26,933
10,036
53,327
17,442
3(a)
(15,026)
(43,836)
21,943
26,933
Note
2012
$
2011
$
15,152,108
12,145,707
1,168
7,588
(438,769)
(687,505)
14,714,507
11,465,790
The value of the Group interest in exploration expenditure is dependent upon:
the continuance of the Group’s rights to tenure of the areas of interest;
the results of future exploration; and
the recoupment of costs through successful development and exploitation of the areas of interest, or
alternatively, by their sale.
The Group’s exploration properties may be subjected to claim(s) under Native Title (or jurisdictional equivalent),
or contain sacred sites, or sites of significance to the indigenous people of Australia, Sweden, and Mauritania.
As a result, exploration properties or areas within the tenements may be subject to exploration restrictions,
mining restrictions and/or claims for compensation. At this time, it is not possible to quantify whether such
claims exist, or the quantum of such claims.
P a g e | 54
AURA ENERGY LIMITED
AND CONTROLLED ENTITIES
ABN 62 115 927 681
ANNUAL REPORT 30 JUNE 2012
CONSOLIDATED NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2012
NOTE 12: TRADE AND OTHER PAYABLES
Note
2012
$
2011
$
CURRENT
Unsecured
Trade payables
Accrued expenses
GST and PAYG payable
Trade payables are non-interest bearing and usually settled within 45 days.
NOTE 13: SHORT TERM PROVISIONS
CURRENT
Employee benefits
Number of employees at year end
NOTE 14: ISSUED CAPITAL
The Company has issued share capital amounting to 159,622,540 (2011:
132,315,068) fully paid ordinary shares at no par value.
(a) Ordinary shares
At the beginning of the reporting period
Shares issued during the year:
12,484,898 Shares issued on 23 September 2010
19,143,511 Shares issued on 25 October 2010
17,229,000 Shares issued on 20 December 2010
25,000 Shares issued on 9 February 2011
200,000 Shares issued on 30 June 2011
4,500,000 Shares issued on 1 September 2011
22,798,345 Shares issued on 16 February 2012
6,368 Shares issued on 1 March 2012
2,759 Shares issued on 23 March 2012
Transaction costs relating to share issues
Premium paid on expired options transferred as contributed equity
At reporting date
394,715
837,947
27,500
20,466
31,749
15,557
442,681
885,253
Note
2012
$
2011
$
43,323
18,307
2
3
2012
$
2011
$
14(a)
25,723,535
21,074,083
21,074,083
12,681,865
-
-
-
-
-
1,872,735
2,871,527
3,962,670
10,127
46,440
1,466,550
3,420,460
1,273
552
-
-
-
-
(239,383)
(507,633)
-
136,352
25,723,535
21,074,083
P a g e | 55
AURA ENERGY LIMITED
AND CONTROLLED ENTITIES
ABN 62 115 927 681
ANNUAL REPORT 30 JUNE 2012
CONSOLIDATED NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2012
NOTE 14: ISSUED CAPITAL (cont.)
At the beginning of the reporting period
Shares issued during the year:
12,484,898 Shares issued on 23 September 2010
19,143,511 Shares issued on 25 October 2010
17,229,000 Shares issued on 20 December 2010
25,000 Shares issued on 9 February 2011
200,000 Shares issued on 30 June 2011
4,500,000 Shares issued on 1 September 2011
22,798,345 Shares issued on 16 February 2012
6,368 Shares issued on 1 March 2012
2,759 Shares issued on 23 March 2012
At reporting date
Note
2012
No.
2011
No.
132,315,068
83,232,659
-
-
-
-
-
4,500,000
22,798,345
6,368
2,759
159,622,540
12,484,898
19,143,511
17,229,000
25,000
200,000
-
-
-
-
132,315,068
Ordinary shares participate in dividends and the proceeds on winding up of the Company in proportion to the
number of shares held. At shareholders meetings each ordinary share is entitled to one vote when a poll is called,
otherwise each shareholder has a vote on a show of hands.
(b) Options
For information relating to the Aura Energy Limited employee options scheme, including details of options issued,
issued and lapsed during the financial year, and the options outstanding at balance date, refer to Note 19, Share-
based Payments. The total number of options on issue are as follows:
Listed options
Unlisted options
(c) Capital Management
2012
No.
32,789,218
7,145,000
39,934,218
2011
No.
-
7,562,000
7,562,000
The Directors’ objectives when managing capital are to ensure that the Group can fund its operations and
continue as a going concern, so that they may continue to provide returns for shareholders and benefits for other
stakeholders.
Due to the nature of the Group’s activities, being mineral exploration, the Group does not have ready access to
credit facilities, with the primary source of funding being equity raisings. Therefore, the focus of the Group’s
capital risk management is the current working capital position against the requirements of the Group to meet
exploration programmes and corporate overheads. The Group’s strategy is to ensure appropriate liquidity is
maintained to meet anticipated operating requirements, with a view to initiating appropriate capital raisings as
required.
The working capital position of the Group at 30 June 2012 and 30 June 2011 were as follows:
Cash and cash equivalents
Trade and other receivables
Trade and other payables
Short term provisions
Working capital position
2012
$
1,725,512
244,949
(442,681)
(43,323)
1,484,457
2011
$
3,289,774
187,607
(885,253)
(18,307)
2,573,821
P a g e | 56
AURA ENERGY LIMITED
AND CONTROLLED ENTITIES
ABN 62 115 927 681
ANNUAL REPORT 30 JUNE 2012
CONSOLIDATED NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2012
NOTE 15: RESERVES
Option reserve
Foreign exchange reserve
Option reserve
Note
2012
$
625,968
(46,932)
579,036
2011
$
955,639
(32,244)
923,395
The option reserve records items recognised as expenses on valuations of employee and consultant share
options.
Foreign Exchange Translation Reserve
The foreign exchange reserve records exchange differences arising on translation of a foreign controlled
subsidiary.
NOTE 16: ACQUISITION OF ENTITY
2012
No acquisition transactions
2011
On 8 November 2010, the Company acquire 100% of GCM Africa Uranium Limited, a company incorporated in
the United Kingdom. The purchase required the initial payment of $1,429,629, a deferred payment of
US$500,000 after twelve months.
There is a contingent consideration of US$2,000,000 if the uranium resource exceeds 75 million pounds, and up
to an additional US$4,000,000 plus 4,000,000 Aura shares if the resource significantly exceeds this 75 million
pounds.
Purchase consideration:
Cash paid at settlement
Deferred liability
Assets and Liabilities at acquisition date:
Cash at bank
Value of exploration assets on acquisition
1,429,629
509,200
1,938,829
1
1,938,828
1,938,829
In the opinion of the Directors the contingent consideration component is considered to be not probable as the
likelihood of an outflow of resources is remote as at the date of this report. For this reason the contingent
consideration has not been recognised.
P a g e | 57
AURA ENERGY LIMITED
AND CONTROLLED ENTITIES
ABN 62 115 927 681
ANNUAL REPORT 30 JUNE 2012
CONSOLIDATED NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2012
Class of Shares
Percentage Owned
NOTE 17: CONTROLLED ENTITIES
Controlled Entities
Country of
Incorporation
Keyano Jack Pty Limited
Aura Energy Sweden AB
Australia
Sweden
Ordinary
Ordinary
GCM Africa Uranium Limited
United Kingdom
Ordinary
Investments in subsidiaries are accounted for at cost.
NOTE 18: CASH FLOW INFORMATION
(a) Reconciliation of Cash Flow from Operations to Loss After
Income Tax
Loss after income tax
Cash flows excluded from profit attributable to operating activities
Non-cash flows in profit from ordinary activities
Employee share-based payments expense
Depreciation
Foreign exchange gain on loan repayment
Write-off of capitalised exploration
Capitalised exploration expenditure included in cash flows from
operations
Changes in assets and liabilities, net of the effects of purchase and
disposal of subsidiaries
(Increase)/decrease in receivables and prepayments
Increase/(decrease) in trade and other payables
Increase/(decrease) in provisions
Cash flow from operations
Credit Standby Facilities
The Group has no credit standby facilities.
Non-Cash investing and financing activities
The Group has no non-cash investing and financing activities.
2012
100%
100%
100%
2011
100%
100%
100%
2012
$
2011
$
(2,343,450)
(2,417,029)
294,599
15,026
(18,186)
438,739
433,009
43,836
-
687,505
(3,552,136)
(5,530,546)
(94,324)
(46,398)
25,016
(5,015)
116,820
1,413
(5,281,114)
(6,670,007)
P a g e | 58
AURA ENERGY LIMITED
AND CONTROLLED ENTITIES
ABN 62 115 927 681
ANNUAL REPORT 30 JUNE 2012
CONSOLIDATED NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2012
NOTE 19: SHARE-BASED PAYMENTS
2012
$
2011
$
Share-based payment expense
294,599
433,009
The above share-based payment expense is comprised of the following arrangements in place at 30 June 2012:
i. On 24 April 2008, 600,000 share options were granted to employees and consultants under the Aura Energy
Limited Incentive Option Plan to take up ordinary shares at an exercise price of $0.60 each. The options are
exercisable on or before 24 April 2013. The options hold no voting or dividend rights and are not
transferable. During the year ended 30 June 2009, one employee ceased employment and 200,000 options
expired. Since that date, no other holder has ceased their employment. During the year ended 30 June
2011, one employee exercised 25,000 options, and therefore at balance date, 375,000 options remain.
ii. On 23 December 2009, 400,000 share options were granted to employees and consultants under the Aura
Energy Limited Incentive Option Plan to take up ordinary shares at an exercise price of $0.30 each. The
options are exercisable on or before 23 December 2014. The options hold no voting or dividend rights and
are not transferable. At balance date, no share option has been exercised or forfeited and 400,000 options
remain.
iii. On 31 March 2011, 570,000 share options were granted to employees and consultants under the Aura
Energy Limited Incentive Option Plan to take up ordinary shares at an exercise price of $0.45 each. The
options are exercisable on or before 31 March 2016. The options hold no voting or dividend rights and are
not transferable. At balance date, no share option has been exercised or forfeited and 570,000 options
remain.
iv. On 24 November 2011, 3,500,000 share options were granted to Directors under the Aura Energy Limited
Incentive Option Plan to take up ordinary shares at an exercise price of $0.31 each. The options are
exercisable on or before 31 October 2014. The options hold no voting or dividend rights and are not
transferable. At balance date, no share option has been exercised or forfeited and 3,500,000 options
remain.
v. On 24 May 2012, 1,000,000 share options were granted to consultants under the Aura Energy Limited
Incentive Option Plan to take up ordinary shares at an exercise price of $0.20 each. The options are
exercisable on or before 31 May 2015. The options hold no voting or dividend rights and are not
transferable. At balance date, no share option has been exercised or forfeited and 1,000,000 options
remain.
All options granted to key management personnel are ordinary shares in Aura Energy Limited, which confer a
right to one ordinary share for every option held.
Share-based payments recognised directly in equity and in place at 30 June 2012:
i. On 23 December 2011, 10,000,000 options were granted to Cygnet Capital as an underwriting fee in respect
to a non-renounceable entitlement issue. The value ascribed to the option issue was in accordance with the
underwriting agreement, inclusive of fees deducted from the proceeds of the capital raising, amounting to
$239,383.
P a g e | 59
AURA ENERGY LIMITED
AND CONTROLLED ENTITIES
ABN 62 115 927 681
ANNUAL REPORT 30 JUNE 2012
CONSOLIDATED NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2012
NOTE 19: SHARE-BASED PAYMENTS (cont.)
A summary of the movements of all company options issued as share-based payments is as follows:
Outstanding at the beginning of the year
Granted
Exercised
Expired
Outstanding at year-end
Exercisable at year-end
2012
2011
Number of
Options
Weighted
Average Exercise
Price
Number of Options
Weighted
Average Exercise
Price
7,695,000
14,500,000
(4,500,000)
(550,000)
17,145,000
13,645,000
$0.3785
$0.2856
$0.3000
$0.2500
$0.4234
$0.5322
7,450,000
2,070,000
(225,000)
(1,600,000)
7,695,000
7,695,000
$0.1212
$0.6893
$0.2084
$0.5469
$0.3785
$0.3785
The weighted average remaining contractual life of options outstanding at year end was 2.16 years. The
weighted average exercise price of outstanding shares at the end of the reporting period was $0.4234
The fair value of the options granted to employees is deemed to represent the value of the employee services
received over the vesting period.
The weighted average fair value of options granted during the year was $0.0937 (2011: $0.1307). These values
were calculated using the Black-Scholes option pricing model, applying the following inputs to options issued
this year:
Option exercise price:
$0.31
$0.20
Number of options issued:
3,500,000
1,000,000
Remaining life of the options:
Expected share price volatility:
Risk-free interest rate:
2.337
99.4%
3.07%
2.918
77.5%
2.36%
Historical volatility has been the basis for determining expected share price volatility as it is assumed that this is
indicative of future movements.
The life of the options is based on the historical exercise patterns, which may not eventuate in the future.
The value of the 10,000,000 options granted to Cygnet Capital has been determined by reference to the
underwriting agreement. Accordingly, no valuation methodology was required. The value ascribed to the option
issue was in accordance with the underwriting agreement, inclusive of fees deducted from the proceeds of the
capital raising, amounting to $239,383.
NOTE 20: EVENTS SUBSEQUENT TO REPORTING DATE
In August 2012 the Group signed an Exclusivity Agreement with a major uranium participant, in respect of a
potential strategic partnership which would provide funding for further feasibility work at Häggån, in return for
equity in the project. The Agreement provides an exclusivity period of 90 days, and there is no assurance that a
binding agreement will be executed.
There are no other significant after balance date events that are not covered in the Operations Review or
elsewhere in this Annual Report
P a g e | 60
AURA ENERGY LIMITED
AND CONTROLLED ENTITIES
ABN 62 115 927 681
ANNUAL REPORT 30 JUNE 2012
CONSOLIDATED NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2012
NOTE 21: RELATED PARTY TRANSACTIONS
Transactions between related parties are on normal commercial terms and
conditions no more favourable than those available to other parties unless
otherwise stated.
Transactions with Key Management Personnel:
Jay Stephenson
2012
$
2011
$
Aura Energy Limited rented office space from Jay Stephenson until May
2012
9,900
10,800
Wolfstar Group Pty Ltd
Mr Fraser and Mr Stephenson, non-executive Directors of Aura Energy
Limited, are Directors and Joint Shareholders of Wolfstar Group Pty Ltd.
Mr Stephenson provides Company Secretarial and Chief Financial Officer
duties to Aura Energy Limited, as well as providing corporate advisory
advice during the listing process.
James Merrillees
Drake Resources Limited provides the services of James Merrillees to Aura
Energy Limited, recharging for his salary and superannuation on a cost
basis. The fees for the previous years were recharged in the current year.
Of the $207,951, $103,976 relates to services provide for the 2011,
recharged by Drake Resources Limited to Aura Energy Limited
in
December 2011.
90,000
90,000
207,951
-
NOTE 22: CAPITAL COMMITMENTS
Exploration expenditure commitments:
Exploration expenditure commitments contracted for:
Exploration tenement minimum expenditure requirements
578,701
978,883
Payable:
- not later than 12 months
- between 12 months and 5 years
- greater than 5 years
Operating lease commitments:
Operating leases contracted for but not capitalised in the
financial statements
Payable:
- not later than 12 months
- between 12 months and 5 years
- greater than 5 years
Total commitments
159,000
419,701
-
594,500
384,383
-
578,701
978,883
16,506
-
-
13,000
21,000
-
16,506
34,000
P a g e | 61
AURA ENERGY LIMITED
AND CONTROLLED ENTITIES
ABN 62 115 927 681
ANNUAL REPORT 30 JUNE 2012
CONSOLIDATED NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2012
NOTE 23: OPERATING SEGMENTS
Identification of reportable segments
The Group operates predominantly in the mining industry. This comprises exploration and evaluation of uranium,
gold, silver and base metals projects. Inter-segment transactions are priced at cost to the Consolidated Group.
The Group has identified its operating segments based on the internal reports that are provided to the Board of
Directors on a monthly basis. Management has identified the operating segments based on the three principal
locations of its projects – Australia, Sweden and West Africa. The Group also maintains a treasury function,
primarily responsible for raising capital and managing and distributing those funds raised.
Corporate expenses include administration and regulatory expenses arising from operating an ASX listed entity.
Segment assets include the costs to acquire tenements and the capitalised exploration costs of those tenements
Financial assets including cash and cash equivalents, and investments in financial assets, are reported in the
Treasury segment.
Australian
Exploration
Sweden
Exploration
African
Exploration
$
$
$
Treasury
$
Total
$
1,273
3,440
12,639
119,309
136,661
(157,963)
(77,062)
(186,362)
119,195
(302,192)
(146,156)
(684,435)
(328,552)
(233,829)
(111,441)
(81,988)
(15,026)
(294,599)
(295,126)
149,894
(2,343,450)
1,259,561
6,428,920
7,024,858
1,725,512
16,438,850
For the Year to 30 June 2012
Segment Revenue
Segment Results
Amounts not
reviewed by Board:
included
in segment results but
Expenses not directly allocable to identifiable segments
or areas of interest
- Accounting and audit fees
- Employee benefits expense
- Legal and consulting
- Public relations
- Rent and utilities
- Travel and accommodation
- Depreciation
- Share-based payment expenses
- Other unallocated expenses
- Tax rebate for Research & Development
Loss after Income Tax
As at 30 June 2012
Segment Assets
Unallocated Assets:
Trade and other receivables
Plant and equipment
Other non-current assets
Total Assets
Segment asset increases for the period:
- capital expenditure - exploration
119,471
2,167,151
1,359,031
Segment Liabilities
Unallocated Liabilities:
Trade and other payables
Short term provisions
Total Liabilities
2,054
82,339
19,116
244,949
21,943
1,168
16,706,911
3,645,653
103,508
339,173
43,323
486,004
-
-
P a g e | 62
AURA ENERGY LIMITED
AND CONTROLLED ENTITIES
ABN 62 115 927 681
ANNUAL REPORT 30 JUNE 2012
CONSOLIDATED NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2012
NOTE 23: OPERATING SEGMENTS (CONT.)
Australian
Exploration
Sweden
Exploration
African
Exploration
For the Year to 30 June 2011
Segment Revenue
$
39,487
$
$
-
-
98,506
137,993
Treasury
$
Total
$
Segment Results
(471,814)
(173,553)
(46,514)
98,225
(593,656)
Amounts not included in segment results but reviewed
by Board:
Expenses not directly allocable to identifiable segments or
areas of interest
- Accounting and audit fees
- Employee benefits expense
- Legal and consulting
- Public relations
- Rent and utilities
- Travel and accommodation
- Depreciation
- Share-based payment expenses
- Other unallocated expenses
Loss after Income Tax
As at 30 June 2011
Segment Assets
Unallocated Assets:
Trade and other receivables
Plant and equipment
Other non-current assets
Total Assets
Segment asset increases for the period:
- capital expenditure - exploration
Segment Liabilities
Unallocated Liabilities:
Trade and other payables
Short term provisions
Total Liabilities
(69,138)
(549,708)
(54,972)
(201,906)
(32,935)
(154,217)
(43,836)
(433,009)
(283,652)
(2,417,029)
1,295,354
4,339,458
5,823,390
3,289,773
14,747,975
135,444
1,290,744
1,890,750
18,877
40,176
624,907
-
-
187,607
26,933
7,589
14,970,104
3,316,938
683,960
201,293
18,307
903,560
P a g e | 63
AURA ENERGY LIMITED
AND CONTROLLED ENTITIES
ABN 62 115 927 681
ANNUAL REPORT 30 JUNE 2012
CONSOLIDATED NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2012
NOTE 23: OPERATING SEGMENTS (CONT.)
Basis of accounting for purposes of reporting by operating segments
a. Accounting policies adopted
Unless stated otherwise, all amounts reported to the Board of Directors, being the chief decision maker
with respect to operating segments, are determined in accordance with accounting policies that are
consistent to those adopted in the annual financial statements of the Group.
b.
Inter-segment transactions
An internally determined transfer price is set for all inter-segment sales. This price is reset quarterly and is
based on what would be realised in the event the sale was made to an external party at arm’s length. All
such transactions are eliminated on consolidation of the Group’s financial statements.
Corporate charges are allocated to reporting segments based on the segments’ overall proportion of
revenue generation within the Group. The Board of Directors believes this is representative of likely
consumption of head office expenditure that should be used in assessing segment performance and cost
recoveries.
Inter-segment loans payable and receivable are initially recognised at the consideration received/to be
received net of transaction costs. If inter-segment loans receivable and payable are not on commercial
terms, these are not adjusted to fair value based on market interest rates. This policy represents a
departure from that applied to the statutory financial statements.
c.
Segment assets
Where an asset is used across multiple segments, the asset is allocated to that segment that receives
majority economic value from that asset. In the majority of instances, segment assets are clearly
identifiable on the basis of their nature and physical location.
d.
Segment liabilities
Liabilities are allocated to segments where there is a direct nexus between the incurrence of the liability
and the operations of the segment. Borrowings and tax liabilities are generally considered to relate to the
Group as a whole and are not allocated. Segment liabilities include trade and other payables and certain
direct borrowings.
e. Unallocated items
The following items of revenue, expenses, assets and liabilities are not allocated to operating segments as
they are not considered part of the core operations of any segment:
—
—
—
—
—
Impairment of assets and other non-recurring items of revenue or expense
Income tax expense
Deferred tax assets and liabilities
Current tax liabilities
Other financial liabilities
P a g e | 64
AURA ENERGY LIMITED
AND CONTROLLED ENTITIES
ABN 62 115 927 681
ANNUAL REPORT 30 JUNE 2012
CONSOLIDATED NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2012
NOTE 24 – FINANCIAL RISK MANAGEMENT
(a)
Financial Risk Management Policies
The Group’s financial instruments consist mainly of deposits with banks, short-term investments, and
accounts payable and receivable.
The Group does not speculate in the trading of derivative instruments.
A summary of the Group’s Financial Assets and Liabilities is shown below:
Floating
Interest
Rate
Non-
interest
bearing
2012
Total
Floating
Interest
Rate
Non-
interest
bearing
2011
Total
$
$
$
$
$
$
Financial Assets
Cash and cash equivalents
1,725,512
-
1,725,512
3,289,774
-
3,289,774
Trade and other receivables
-
244,949
244,949
-
187,607
187,607
Total Financial Assets
1,725,512
244,949
1,970,501
3,289,774
187,607
3,477,381
Financial Liabilities
Financial liabilities at amortised cost
- Trade and other payables
Total Financial Liabilities
-
-
442,681
442,681
442,681
442,681
-
-
885,253
885,253
885,253
885,253
Net Financial Assets
1,725,512
(197,732)
1,527,780
3,289,774
(697,646)
2,592,128
Specific Financial Risk Exposures and Management
The main risk the Group is exposed to through its financial instruments are credit risk, liquidity risk and market
risk consisting of interest rate, foreign currency risk and equity price risk.
a. Credit risk
Exposure to credit risk relating to financial assets arises from the potential non-performance by
counterparties of contract obligations that could lead to a financial loss to the Group.
The Group does not have any material credit risk exposure to any single receivable or group of receivables
under financial instruments entered into by the Group.
Credit risk exposures
The maximum exposure to credit risk is that to its alliance partners and that is limited to the carrying
amount, net of any provisions for impairment of those assets, as disclosed in the statement of financial
position and notes to the financial statements.
Credit risk related to balances with banks and other financial institutions is managed by the Group in
accordance with approved Board policy. Such policy requires that surplus funds are only invested with
financial institutions residing in Australia, where ever possible.
P a g e | 65
AURA ENERGY LIMITED
AND CONTROLLED ENTITIES
ABN 62 115 927 681
ANNUAL REPORT 30 JUNE 2012
CONSOLIDATED NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2012
NOTE 24 – FINANCIAL INSTRUMENTS (CONT.)
b.
Liquidity risk
Liquidity risk arises from the possibility that the Group might encounter difficulty in settling its debts or
otherwise meeting its obligations related to financial liabilities.
The Group manages liquidity risk by continuously monitoring forecast and actual cash flows and ensuring
sufficient cash and marketable securities are available to meet the current and future commitments of the
Group. Due to the nature of the Group’s activities, being mineral exploration, the Group does not have
ready access to credit facilities, with the primary source of funding being equity raisings. The Board of
Directors constantly monitor the state of equity markets in conjunction with the Group’s current and
future funding requirements, with a view to initiating appropriate capital raisings as required. Any surplus
funds are invested with major financial institutions.
The financial liabilities of the Group are confined to trade and other payables as disclosed in the statement
of financial position. All trade and other payables are non-interest bearing and due within 30 days of the
reporting date.
c. Market risk
The Board meets on a regular basis and considers the Group’s exposure currency and interest rate risk.
i.
Interest rate risk
Exposure to interest rate risk arises on financial assets and financial liabilities recognised at the end of
the reporting period whereby a future change in interest rates will affect future cash flows or the fair
value of fixed rate financial instruments. The Group is also exposed to earnings volatility on floating
rate instruments.
Interest rate risk is not material to the Group as no debt arrangements have been entered into, and
movement in interest rates on the Group’s financial assets is not material.
ii. Foreign exchange risk
Exposure to foreign exchange risk may result in the fair value or future cash flows of a financial
instrument fluctuating due to movement in foreign exchange rates of currencies in which the Group
holds financial instruments which are other than the AUD functional currency of the Group.
With instruments being held by overseas operations, fluctuations in foreign currencies may impact on
the Group’s financial results. The Group’s exposure to foreign exchange risk is minimal, however the
Board continues to review this exposure regularly.
iii. Price risk
Price risk relates to the risk that the fair value or future cash flows of a financial instrument will
fluctuate because of changes in market prices.
The Group is exposed to securities price risk on investments held for trading or for medium to longer
terms.
The investment in listed equities has been valued at the market price prevailing at balance date.
Management of this investment’s price risk is by ongoing monitoring of the value with respect to any
impairment.
P a g e | 66
AURA ENERGY LIMITED
AND CONTROLLED ENTITIES
ABN 62 115 927 681
ANNUAL REPORT 30 JUNE 2012
CONSOLIDATED NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2012
NOTE 24 – FINANCIAL INSTRUMENTS (CONT.)
Sensitivity Analysis
i. Interest rates
The following table illustrates sensitivities to the Group’s exposures to changes in interest rates. The
table indicates the impact on how profit and equity values reported at balance sheet date would have
been affected by changes in the relevant risk variable that management considers to be reasonably
possible. These sensitivities assume that the movement in a particular variable is independent of other
variables.
Year ended 30 June 2012
Profit
$
Equity
$
+/-1% in interest rates
+/- 17,255
+/- 17,255
Year ended 30 June 2011
+/-1% in interest rates
+/- 32,897
+/- 32,897
ii. Foreign exchange
The Group does not carry significant assets or liabilities in foreign currencies, and therefore is not
currently subject to material foreign exchange risk, and according not subject to material sensitivities.
Net Fair Values
Fair value estimation
The fair values of financial assets and financial liabilities are presented in the following table and can be
compared to their carrying values as presented in the statement of financial position. Fair values are
those amounts at which an asset could be exchanged, or a liability settled, between knowledgeable,
willing parties in an arm’s length transaction.
Cash and cash equivalents, trade and other receivables, and trade and other payables are short-term
investments in nature whose carrying value is equivalent to fair value.
Financial Liability and Asset Maturity Analysis
Financial liabilities due for
payment
Trade and other payables
Total contractual outflows
Financial assets
Cash and cash equivalents
Trade and other receivables
Total anticipated inflows
Net (outflow)/inflow on financial
instruments
Within 1 Year
Total
2012
$
2011
$
2012
$
2011
$
442,681
442,681
1,688,492
132,033
1,820,525
885,253
885,253
3,226,828
85,259
3,312,087
442,681
442,681
1,688,492
132,033
1,820,525
885,253
885,253
3,226,828
85,259
3,312,087
1,377,844
2,426,834
1,377,844
2,426,834
P a g e | 67
AURA ENERGY LIMITED
AND CONTROLLED ENTITIES
ABN 62 115 927 681
ANNUAL REPORT 30 JUNE 2012
CONSOLIDATED NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2012
NOTE 25: PARENT ENTITY DISCLOSURES
(a) Financial Position of Aura Energy Limited
CURRENT ASSETS
Cash and cash equivalents
Trade and other receivables
TOTAL CURRENT ASSETS
NON-CURRENT ASSETS
Plant and equipment
Financial assets
Other assets
TOTAL NON-CURRENT ASSETS
Note
2012
$
2011
$
1,688,492
132,033
1,820,525
21,943
2,264,686
12,750,911
15,037,540
3,226,828
85,259
3,312,087
26,933
2,244,472
9,495,775
11,767,180
25(b)
TOTAL ASSETS
16,858,065
15,079,267
CURRENT LIABILITIES
Trade and other payables
Short term provisions
TOTAL CURRENT LIABILITIES
TOTAL LIABILITIES
NET ASSETS
EQUITY
Issued Capital
Option Reserve
Accumulated Losses
TOTAL EQUITY
(b) Financial assets
Loans to subsidiaries
Shares in controlled entities at cost
Net carrying value
442,681
43,323
486,004
885,253
18,307
903,560
486,004
903,560
16,372,061
14,175,707
25,723,535
625,968
(9,977,442)
16,372,061
21,074,083
955,639
(7,854,015)
14,175,707
223,274
2,041,412
2,264,686
243,373
2,001,099
2,244,472
Loans are provided by the parent entity to its controlled entities to fund their activities. The eventual recovery of
loans and investments will be dependent upon the successful commercial application of these projects or their
sale to third parties.
P a g e | 68
AURA ENERGY LIMITED
AND CONTROLLED ENTITIES
ABN 62 115 927 681
ANNUAL REPORT 30 JUNE 2012
CONSOLIDATED NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2012
NOTE 25: PARENT ENTITY DISCLOSURES (CONT.)
(c) Financial Performance of Aura Energy Limited
Loss for the year
Other comprehensive income
Total comprehensive income
2012
$
2011
$
(2,272,284)
(2,357,634)
-
-
(2,272,284)
(2,357,634)
(d) Guarantees entered into by Aura Energy Limited for the debts of its subsidiaries
There are no guarantees entered into by Aura Energy Limited for the debts of its subsidiaries as at 30 June 2012
(2011: none).
(e) Contingent liabilities of Aura Energy Limited
There are no contingent liabilities as at 30 June 2012, other than as detailed in note 26. (2011: none)
(f) Commitments by Aura Energy Limited
Capital expenditure commitments contracted for:
2012
$
2011
$
Exploration tenement minimum expenditure requirements
578,701
978,883
Not longer than 1 year
Longer than 1 year and not longer than 5 years
Longer than 5 years
Total commitments
(f) Commitments by Aura Energy Limited (cont.)
Operating lease commitments:
Operating leases contracted for but not capitalised in the
financial statements
Payable:
- not later than 12 months
- between 12 months and 5 years
- greater than 5 years
Total commitments
159,000
419,701
-
594,500
384,383
-
578,701
978,883
2012
$
2011
$
16,506
-
-
16,506
13,000
21,000
-
34,000
The amounts noted above are applicable for both Aura Energy Limited (the parent) and the Consolidated Group.
P a g e | 69
AURA ENERGY LIMITED
AND CONTROLLED ENTITIES
ABN 62 115 927 681
ANNUAL REPORT 30 JUNE 2012
CONSOLIDATED NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2012
NOTE 26: CONTINGENT LIABILITIES
The Group has a contingent consideration of US$2,000,000 to the vendors of GCM Africa Uranium Limited if the
uranium resource it holds exceeds 75 million pounds, and up to an additional US$4,000,000 plus 4,000,000 Aura
shares if the resource significantly exceeds this 75 million pounds.
There are no other contingent liabilities as at 30 June 2012 (2011: none).
NOTE 27: COMPANY DETAILS
The registered office of the Company is:
Address:
Street:
Postal:
Telephone:
Facsimile:
Website:
email:
Level 4, 66 Kings Park Road
West Perth WA 6005
PO Box 52
West Perth WA 6872
+61 (0)8 6141 3570
+61 (0)8 6141 3599
www.auraenergy.com.au
info@auraenergy.com.au
The principal places of business are:
Level 4, 66 Kings Park Road
West Perth WA 6005
Suite 3, Level 1
19-23 Prospect Place
Box Hill VIC 3128
P a g e | 70
AURA ENERGY LIMITED
AND CONTROLLED ENTITIES
ABN 62 115 927 681
ANNUAL REPORT 30 JUNE 2012
DIRECTORS’ DECLARATION
The directors of the Company declare that:
1.
The financial statements and notes, as set out on pages 34 to 70, are in accordance with the
Corporations Act 2001 and:
(a)
comply with Accounting Standards;
(b) are in accordance with International Financial Reporting Standards issued by the International
Accounting Standards Board, as stated in note 1 to the financial statements; and
(c)
give a true and fair view of the financial position as at 30 June 2012 and of the performance for the
year ended on that date of the Company and Consolidated Group.
2.
the Chief Executive Officer and Chief Finance Officer have each declared that:
(a)
the financial records of the Company for the financial year have been properly maintained in
accordance with s 286 of the Corporations Act 2001;
(b)
the financial statements and notes for the financial year comply with the Accounting Standards; and
(c)
the financial statements and notes for the financial year give a true and fair view.
3.
in the directors’ opinion there are reasonable grounds to believe that the Company will be able to pay
its debts as and when they become due and payable.
This declaration is made in accordance with a resolution of the Board of Directors and is signed for and on
behalf of the directors by:
JAY STEPHENSON
Director
Dated this 28th Day of September 2012
P a g e | 71
We have audited the accompanying financial report of Aura Energy Limited (“the
Company”) and Controlled Entities (“the Consolidated Entity”), which comprises the
consolidated statement of financial position as at 30 June 2012, and the consolidated
statement of comprehensive income, consolidated statement of changes in equity and
consolidated statement of cash flows for the year then ended, notes comprising a summary
of significant accounting policies and other explanatory information, and the directors’
declaration of the Consolidated Entity, comprising the Company and the entities it
controlled at the year’s end or from time to time during the financial year.
The directors of the Company are responsible for the preparation and fair presentation of
the financial report 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 is free from material misstatement,
whether due to fraud or error. In Note 1, the directors also state, in accordance with
Accounting Standards AASB 101: Presentation of Financial Statements, that the financial
statements comply with International Financial Reporting Standards.
Our responsibility is to express an opinion on the financial report based on our audit. We
conducted our audit in accordance with Australian Auditing Standards. These Auditing
Standards require that we comply with relevant ethical requirements relating to audit
engagements and plan and perform the audit to obtain reasonable assurance whether the
financial report is free from material misstatement.
An audit involves performing procedures to obtain audit evidence about the amounts and
disclosures in the financial report. The procedures selected depend on the auditor’s
judgment, including the assessment of the risks of material misstatement of the financial
report, whether due to fraud or error. In making those risk assessments, the auditor
considers internal control relevant to the entity’s preparation and fair presentation of the
financial report in order to design audit procedures that are appropriate in the
circumstances, but not for the purpose of expressing an opinion on the effectiveness of the
entity’s internal control. An audit also includes evaluating the appropriateness of
accounting policies used and the reasonableness of accounting estimates made by the
directors, as well as evaluating the overall presentation of the financial report.
We believe that the audit evidence we have obtained is sufficient and appropriate to
provide a basis for our audit opinion.
In conducting our audit, we followed applicable independence requirements of Australian professional ethical
pronouncements and the Corporations Act 2001.
In our opinion:
a. The financial report of Aura Energy Limited and Controlled Entities is in accordance with the Corporations
Act 2001, including:
i.
giving a true and fair view of the Company and Consolidated Entity’s financial position as at 30 June
2011 and of its performance for the year ended on that date; and
ii.
complying with Australian Accounting Standards and the Corporations Regulations 2001;
b. The financial report also complies with International Financial Reporting Standards as disclosed in Note 1.
Without qualifying our opinion, we draw attention to note 1 of the financial report which indicates that the
company incurred a net loss of $2,343,450 during the year ended 30 June 2012. This condition, along with
other matters as set forth in note 1, indicate the existence of a material uncertainty which may cast significant
doubt about the ability of the company to continue as a going concern and whether it will realise its assets and
extinguish its liabilities in the normal course of business and at the amounts stated in the financial report.
We have audited the Remuneration Report included in directors’ report of the year ended 30 June 2012. 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.
In our opinion, the Remuneration Report of Aura Energy Limited for the year ended 30 June 2012, complies
with section 300A of the Corporations Act 2001.
BENTLEYS
Chartered Accountants
RANKO MATIC CA
Director
DATED at PERTH this 28th day of September 2012
AURA ENERGY LIMITED
AND CONTROLLED ENTITIES
ABN 62 115 927 681
ANNUAL REPORT 30 JUNE 2012
ADDITIONAL INFORMATION FOR LISTED PUBLIC COMPANIES
The following additional information is required by the Australian Securities Exchange in respect of listed public
companies only.
1
Shareholding as at 27 September 2012
(a) Distribution of Shareholders
Category (size of holding)
1 – 1,000
1,001 – 5,000
5,001 – 10,000
10,001 – 100,000
100,001 – and over
Number
Ordinary
89
260
243
805
215
1612
(b) The number of shareholdings held in less than marketable parcels is 253.
(c) Voting Rights
The voting rights attached to each class of equity security are as follows:
Ordinary shares
—
Each ordinary share is entitled to one vote when a poll is called, otherwise each member present at a meeting
or by proxy has one vote on a show of hands.
(d) 20 Largest Shareholders — Ordinary Shares as at 26 September 2012.
Name
1
2
UBS NOMINEES PTY LTD
NATIONAL NOMINEES LIMITED
3 WISEVEST PTY LTD
4
5
6
DRAKE RESOURCES LIMITED
YARANDI INVESTMENTS PTY LTD
ASHABIA PTY LTD
7 MR MICHAEL BUSHELL
8
9
10
11
HSBC CUSTODY NOMINEES (AUSTRALIA) LIMITED
CITICORP NOMINEES PTY LIMITED
PASAGEAN PTY LIMITED
J P MORGAN NOMINEES AUSTRALIA LIMITED
12 MRS JENNY LEE BUSHELL
13 DRAKE RESOURCES LIMITED
14
15
SUVALE NOMINEES PTY LTD
SAMBOLD PTY LTD
16 MRS JO-ANNE WEBER
17 DAVSLAV PTY LTD
18 ROMAP PTY LIMITED
19 MIDWAY SECURITIES PTY LTD
20 MR ROBERT BEESON
Number of Ordinary
Fully Paid Shares Held
% Held of Issued
Ordinary Capital
11,334,501
6,176,674
5,825,000
4,795,000
4,603,834
4,325,000
3,280,722
3,058,458
2,979,399
2,900,000
2,755,156
2,472,945
2,333,334
2,333,334
2,308,334
1,705,706
1,633,334
1,435,000
1,400,000
1,283,334
7.10
3.87
3.65
3.00
2.88
2.71
2.06
1.92
1.87
1.82
1.73
1.55
1.46
1.46
1.45
1.07
1.02
0.90
0.88
0.80
TOTAL
68,939,065
43.19
2
The name of the Company Secretary is Jay Richard Stephenson.
P a g e | 74
AURA ENERGY LIMITED
AND CONTROLLED ENTITIES
ABN 62 115 927 681
ANNUAL REPORT 30 JUNE 2012
ADDITIONAL INFORMATION FOR LISTED PUBLIC COMPANIES
3
The address of the principal registered office in Australia is Level 4, 66 Kings Park Road, West Perth WA 6005.
Telephone (08) 6141 3500.
4
Registers of securities are held at the following addresses
Western Australia
5
Stock Exchange Listing
Computershare Registry Services
Level 2, 45 St Georges Terrace
PERTH WA 6000
Quotation has been granted for all the ordinary shares of the Company on all Member Exchanges of the Australian
Securities Exchange Limited.
6
Unquoted Securities
Options over Unissued Shares
A total of 7,145,000 options are on issue of which 4,667,144 options are on issue to the six Directors.
7
Use of Funds
The Company has used its funds in accordance with its initial business objectives.
P a g e | 75
AURA ENERGY LIMITED
AND CONTROLLED ENTITIES
ABN 62 115 927 681
ANNUAL REPORT 30 JUNE 2012
TENEMENT REPORT
Western Australia
West Africa
E69/2658 Disappointed Hill
E38/1200 Kirgella Rocks
E69/2245 Neale - Thin
E39/1221 Ponton
E53/1245 Porcupine Well
E38/1920 Tierney Springs
E58/290 Wondinong Central
E58/349 Wondinong NE
M58/357 Wondinong Resource
Sweden
Djurkalla nr 1
Flandern nr 1
Grässlåtten nr 1
Gurumyren nr 1
Hackås nr 1
Hageby nr 1
Hageby nr 2
Häggån nr 1
Häggån nr 2
Hamborg nr 1
Hamborg nr 2
Hara nr 1
Koborgsmyren nr 1
Marby nr 1
Näkten nr 1
Norrsten nr 1
Olden nr 2
Råssnesudden nr 1
StavlÖsa nr 1
Stenby nr 1
Stripa nr 1
Ullevi nr 1
Virka nr 10
Vuoltajaur nr 1
100%
100%
100%
100%
100%
100%
100%
100%
100%
100%
100%
100%
100%
100%
100%
100%
100%
100%
100%
100%
100%
100%
100%
100%
100%
100%
100%
100%
100%
100%
100%
100%
100%
Ain Sder
Fai Est
Mserif
Oued Chouk
Oued El Foule Est
Oued El Foule Nord
Oued El Merre
Oum Drouss
Oum Ferkik
Saabia
Aguelt Essfaya
Tenebdar
100%
100%
100%
100%
100%
100%
100%
100%
100%
100%
0%
0%
P a g e | 76