More annual reports from Auriant Mining:
2023 ReportAURIS MINERALS LIMITED
ANNUAL REPORT
30 JUNE 2021
ABN 77 085 806 284
DIRECTORS
Neville Bassett
Craig Hall
Mike Hendriks
Non-Executive Chair
Non-Executive Director
Managing Director
COMPANY SECRETARY
Chris Achurch
AUSTRALIAN BUSINESS NUMBER
77 085 806 284
REGISTERED AND PRINCIPAL OFFICE
Level 3, 18 Richardson Street
West Perth, Western Australia 6005
PO Box 298
West Perth, Western Australia 6872
Telephone: (+61-8) 6109 4333
Email: general@aurisminerals.com.au
Website: www.aurisminerals.com.au
SHARE REGISTRY
Automic Pty Ltd
Level 2, 267 St George’s Terrace
Perth, Western Australia 6000
Telephone (+61-8) 9324 2099
Email: hello@automic.com.au
Website: www.automicgroup.com.au
AUDITORS
Elderton Audit Pty Ltd
Level 2, 267 St Georges Terrace
Perth, Western Australia 6000
AUSTRALIAN SECURITIES EXCHANGE
Level 40, Central Park
152-158 St Georges Terrace
Perth, Western Australia 6000
ASX CODES
Ordinary Shares: AUR
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CONTENTS
Chair’s Letter
Directors’ Report
Schedule of Mining Tenements
Additional Shareholder Information
Auditor’s Independence Declaration
Consolidated Statement of Profit or Loss and Other Comprehensive Income
Consolidated Statement of Financial Position
Consolidated Statement of Changes in Equity
Consolidated Statement of Cashflows
Notes to the Consolidated Financial Reports
Directors’ Declaration
Independent Auditor’s Review Report
3
5
33
35
38
39
40
41
42
43
64
65
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CHAIR’S LETTER
Dear valued Shareholder,
I am pleased to present you with the Auris Minerals Annual Report for the financial year ended 30 June 2021
(“FY 2021”).
FY 2021 has seen the continuation of an aggressive program of exploration across our considerable position in
the Bryah Basin. This tenement portfolio of 1,369km² covers eight well-defined project areas, with several target
areas demonstrating encouraging potential to host copper and gold mineralisation. During FY 2021 several
important work programs were advanced, and we continue to intersect particularly significant copper
mineralisation within the Forrest and Wodger deposits. Our exploration focus heading into FY 2022 is to target
the potential sources of these mineralised structures across our tenements.
During the year we welcomed our exploration JV partner Sandfire Resources (ASX: SFR) to the register
following the conversion of Auris listed options (ASX code: AUROC) that were issued as part of the upfront
consideration in relation to the proposed acquisition of the 80% interest in the Sams Creek Gold Project. Sandfire
exercised 32,150,000 Options at $0.08 each, for proceeds of $2,572,000, giving Sandfire a 6.75% interest in
Auris.
Further, I would like to extend our thanks to our shareholders, and option holders, who exercised options by 30
November 2020. All options exercised delivered a total of $5.4M in funding which is being used to support our
exploration activities in the Byrah Basin and will enable us to assess other project opportunities that align with
our strategic focus should they arise.
Although we were disappointed in being unable to finalise the acquisition of the Sams Creek Gold Project, we
remain in the enviable position of being able to accelerate exploration across our tenement package which sits
in a highly sought-after region in Western Australia.
I would also like to wish Sandfire the best of luck with their exploration program that continues on our joint
venture ground. We are delighted to have Sandfire as our JV partner in the Bryah Basin and they continue to
make significant gold and copper exploration progress at Morck Well and other JV ground. Results from Morck
Well continue to be a major highlight, given the location is only 5km from the world-class DeGrussa Copper-
Gold Mine and close proximity to Sandfire’s emerging gold deposit at “Old Highway”. We are further enthused
that a 5.4km gold mineralised trend at Morck Well extends 2.2km into our 100% owned Feather Cap project.
We are planning follow up drilling of this positive gold mineralised structure over the coming months. Sandfire
has also discovered a new MLEM anomaly at the Doolgunna Project and we look forward to further progress
from this site.
On the corporate front, Rob Martin retired from the Board and we express our appreciation for his tenure and
support, as his time and commitment to Auris over the years have been invaluable. Mr Martin leaves the
company well capitalised, with a strong exploration focus and a very positive outlook. He remains a major
shareholder of Auris and is highly supportive of the Company’s strategies moving forward.
We also welcomed Mike Hendriks to the Board as Managing Director. Having held the position of Chief
Operating Officer since July 2018, and Company Secretary for the past 12 months, Mr Hendriks has played an
instrumental role in the delivery of a number of key milestones, and we look forward to receiving his continued
input and leadership at Board level.
The role of company secretary is now filled by Chris Achurch. Mr Achurch has over 10 years’ experience in Audit
and Assurance at RSM Australia and 2.5 years as CFO and Joint Company Secretary at Kalium Lakes Limited.
Mr Achurch provides company secretarial, corporate advisory and general consulting services to several ASX
listed clients.
Further thanks are extended to management, consultants and my fellow Directors whom all worked together
over the last 12 months during the COVID pandemic to collectively reduce costs, including taking reductions in
salaries.
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CHAIR’S LETTER
We are all grateful for the ongoing support of our shareholders and are highly enthused for the opportunities
that lie ahead this financial year.
The Company looks forward to providing you with further news as our drilling and exploration programs
advances and again, I thank you for your continued support.
Yours sincerely,
NEVILLE BASSETT
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DIRECTORS’ REPORT
The directors present their report together with the financial report of Auris Minerals Limited (the Company or
Auris), for the year ended 30 June 2021 and the auditor’s report thereon.
1. Directors and officers
Directors
The directors of the Company at any time during or since the end of the financial year are:
Name
Period of Directorship
Mr Neville Bassett – Non-Executive Chair
Appointed 20 April 2018
Mr Robert Martin – Non-Executive Director
Appointed 2 November 2016;
Resigned 20 November 2020
Mr Craig Hall – Non-Executive Director
Appointed 1 August 2018
Mr Mike Hendriks – Managing Director
Appointed 20 November 2020
The qualifications, experience, interest in shares and options, and other directorships of the directors in office
at the date of this report and during the financial year are:
Current Directors
Neville Bassett
Non-Executive Chair
Experience and expertise
Mr Bassett is a Chartered Accountant specialising in corporate, financial
and management advisory services. He has been involved with numerous
public company listings and capital raisings, mergers and acquisitions and
maintains significant knowledge and exposure to the Australian financial
markets. He has a wealth of experience in matters pertaining to the
Corporations Act, ASX listing requirements, corporate taxation and finance.
Mr Bassett is a Fellow of Chartered Accountants Australia and New
Zealand. He was a Director/Councillor of the Royal Flying Doctor Service in
Western Australia for 26 years, serving 8 years as Chairman before his
retirement
in 2017. He served 6 years as Western Operations
representative on the National Board of the Australian Council of the Royal
Flying Doctor Service of Australia. Mr Bassett was awarded a Member of
the Order of Australia (AM) in the 2015 Australia Day Honours.
Interest in Shares and Options
1,100,000 ordinary shares in Auris Minerals Ltd.
Listed company directorships
in last three years
Currently a Non-Executive Director of Pointerra Limited (ASX: 3DP), Auris
Minerals Ltd (ASX: AUR), Pharmaust Ltd (ASX: PAA) and Tennant Minerals
NL (ASX: TMS). Previously a Non-Executive Director of Metalsearch Ltd
and Yowie Group Ltd.
Craig Hall
Non-Executive Director
Experience and expertise
Mr Craig Hall is an experienced geologist with over 30 years of minerals
industry experience in exploration, development and production roles in a
range of commodities, principally precious and base metals. He has held a
variety of senior positions with mid-tier and junior sector resource
companies within Australia and overseas. He has previously consulted to
the minerals industry providing high quality exploration outcomes, on-site
mining support, expert reporting, project valuations and strategic advice to
companies
through an association with a well-respected Western
Australian resource consultancy.
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DIRECTORS’ REPORT
Interest in Shares and Options Nil
Listed company directorships
in last three years
Mr Hall is currently a Non-Executive Director of Horseshoe Metals Ltd (ASX:
HOR) and Scorpion Minerals Ltd (ASX: SCN). Previously a Non-Executive
Director of Eclipse Metals Ltd, Target Energy Ltd and Redbank Copper Ltd.
Mike Hendriks
Managing Director
Experience and expertise
Mr Hendriks has gained extensive experience in the financial services
sector in various roles in investment banking, accounting and stockbroking
industries. He also has extensive management skills gained through
various roles as a company director and secretary holding executive and
non-executive directorships and senior positions of ASX listed and private
companies in the industrial and resource sectors.
Mr Hendriks graduated from Curtain University with a BBus , he is a
Chartered Accountant and member of the Australian Institute of Company
Directors.
Interest in Shares and Options
500,000 ordinary shares in Auris Minerals Ltd.
Listed company directorships
in last three years
Previously Non-Executive Director and Company Secretary of Vector
Resources Limited (ASX: VEC).
Former Director
Robert Martin
Non-Executive Director
Experience and expertise
Mr Martin is a major shareholder in the Company and has extensive
experience in ASX listed companies.
Mr Martin is also a director of Bulletin Resources Limited (ASX: BNR).
Mr Martin played a key role in the BNR joint venture with Pantoro (ASX:
PNR) to establish the highly successful Halls Creek gold mine.
Interest in Shares and Options Upon resignation, 42,401,486 ordinary shares and 18,969,762 options in
Auris Minerals Limited and 2,000,000 performance rights expiring 22
November 2020.
Listed company directorships
in last three years
Company Secretary
Non-Executive Director of Bulletin Resources Limited (ASX: BNR)
Mr Chris Achurch holds the position of Company Secretary, being appointed on 20 November 2020. Mr Achurch
spent 10 years in public practice in the Audit and Assurance division with RSM Australia, based in Perth, Dallas
and New York and 2.5 years as CFO and Joint Company Secretary at Kalium Lakes Limited. Mr Achurch
provides company secretarial, corporate advisory and general consulting services to a number of ASX listed
clients.
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DIRECTORS’ REPORT
2. Corporate activity summary
Sam’s Creek Gold Project Transaction
As reported on 30 September 2020, Auris entered into a Share Purchase Agreement (SPA) to acquire Sandfire
Resources Limited’s (ASX: SFR) interest in the Sam’s Creek Gold Project in New Zealand, held through its
wholly owned subsidiary Sam’s Creek Gold Limited (SCGL).
In February 2021, Auris executed the SPA with Sandfire in relation to the sale of shares in Sandfire’s wholly
owned subsidiary Sam’s Creek Gold Limited (“SCGL”) to Auris.
Due to delays in the acquisition approval process, several conditions precedent were not finalised by the
stipulated date of 31 March 2021 and the parties mutually agreed an extension to fulfill these conditions to 31
May 2021.
With further delays encountered, on 1 June 2021, Auris advised shareholders that the SPA between Auris
Minerals Limited and Auris NZ Pty Ltd (together Auris) and Sandfire Resources and MOD Resources (NZ) Pty
Ltd (together Sandfire) had been terminated as an extension to satisfy outstanding pre‐conditions was not
agreed to by both parties.
Accordingly, Auris opted not to proceed with the proposed acquisition of Sam’s Creek, with the Company’s
exploration resources deployed towards advancing exploration across its robust 1,369km² portfolio of highly
prospective exploration tenements in the Bryah Basin of Western Australia.
Conversion of AUROC Options – SFR Joins Register
On 10 December 2020 the Company announced that it had received $5,435,569 (before costs) from the exercise
of 67,944,617 listed Options (AUROC) which had an expiry date of 30 November 2020 and an exercise price of
$0.08 each. This included 32,150,000 Options exercised by Sandfire Resources Limited (ASX:SFR) (refer to
ASX announcement dated 13 November 2020). SFR now holds a 6.75% stake in Auris.
Board Changes and Company Secretary Appointment
During the year, Non‐Executive Director Rob Martin tendered his resignation from the Board and Mike Hendriks
transitioned from the role of Chief Operating Officer/Company Secretary to Managing Director.
Mr Martin remains a major shareholder of Auris Minerals and is highly supportive of the Company’s corporate
and operational strategies moving forward as evidenced with his early exercise of 6,250,000 options (AUROC)
exercisable at 8 cents raising $500,000 for the Company.
In line with his transition to Managing Director, Mr Hendriks ceased his role as company secretary and Chris
Achurch was appointed as the new company secretary (refer ASX announcement dated 20 November 2020).
Cash Position
At 30 June 2021 Auris maintained a healthy cash position of A$3.3M, allowing the Company to advance its
Bryah Basin exploration strategy, whilst also assessing new strategic project opportunities that align with the
Company’s current focus on gold and copper exploration.
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DIRECTORS’ REPORT
3. Directors’ Meetings
Formal meetings of the directors of the Company during the financial year are tabled as follows:
Director
Neville Bassett
Craig Hall
Mike Hendriks
Rob Martin
Meetings eligible to attend
Meetings attended
8
8
4
4
8
8
4
4
4. Principal Activities and Review of Operations
Review of Financial Condition
The Group recorded a loss of $2,312,605 for the year ended 30 June 2021 (2020: loss of $422,531). The loss
includes an impairment adjustment for exploration and evaluation expenditure of $1,558,554.
As at 30 June 2021, the Group had net working capital of $3,098,605 (2020: $604,642). The Group’s net asset
position was $24,059,689 (2020: $19,852,790).
Exploration Activity and Highlights
Auris Minerals Limited (Auris) is primarily exploring for high grade gold and copper-gold deposits in the highly
prospective Bryah Basin region of Western Australia.
Significant exploration activities during the 2021 financial year (FY21) included the following:
Extensive exploration completed by Joint Venture partner Sandfire Resources Limited (ASX: SFR)
within Morck Well and Cashman JV’s comprising:
o 1,468 Air Core holes for 108,537m
o Two diamond holes for 764.7m
o DHEM surveys and moving loop EM surveys
Air Core drilling has determined that several significant mineralised trends require follow up drilling at
the Feather Cap and Durack East Prospects, which are both located within the Feather Cap Project
o 63 Air Core drill holes for 6,572m was completed during the year
Total Copper Resource of 2.4 Mt @ 1.7% Cu for 41,500t Cu metal estimated at Forrest and Wodger
Copper Deposits
Offset Pole‐Dipole Induced Polarisation (IP) survey completed at the Forrest Project with multiple
anomalous targets identified for initial follow-up Air Core drill testing
Significant copper mineralisation intersected by diamond drilling of resource extensions at the Forrest
and Wodger Deposits
o Five holes completed for 2,339.3m
Exploration Portfolio
Auris has consolidated a tenement portfolio of 1,369km², which is divided into eight well-defined project areas:
Forrest, Cashman, Cheroona, Doolgunna, Morck Well, Feather Cap, Milgun and Horseshoe Well, (Figure 1).
In February 2018, Auris entered a Farm-in Agreement with Sandfire in relation to the Morck Well and Doolgunna
Projects which covers ~430km² (the Morck Well JV). During September 2019, Auris entered into a Farm-in with
Sandfire in relation to the Cashman Project tenements, E51/1053 and E51/1120, (the Cashman JV). On 4
February 2020 Auris and Northern Star Resources Limited (NST) entered into a Farm-in with Sandfire in relation
to the Cheroona Project tenements, E51/1391, E51/1837 and E51/1838, (the Cheroona JV). Sandfire has the
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DIRECTORS’ REPORT
right to earn a 70% interest in each of above projects upon completion of a Feasibility Study on a discovery of
not less than 50,000t contained copper (or metal equivalent) on the project. Auris manages exploration on all
other tenements, including those that are subject to arrangements with third parties.
Figure 1: Auris' copper-gold exploration tenement portfolio, with Sandfire (SFR), Northern Star
(NST), Westgold (WGX), Fe Ltd and Gateway JV areas indicated
Notes:
1. The Forrest Project tenements E52/1659 and E52/1671 have the following outside interests:
Auris 80%; Westgold Resources Ltd 20% (ASX:WGX). Westgold Resources Ltd interest is free carried until a Decision
to Mine
Westgold Resources Ltd own the gold rights over the Auris interest.
2. The Forrest Project tenement P52/1493 have the following outside interests:
Westgold Resources Ltd own the gold rights over the Auris interest.
3. The Forrest Project tenements P52/1494-1496 have the following outside interests:
Auris 80%; Fe Ltd 20% (ASX:FEL). Fe Ltd interest is free carried until a Decision to Mine
4. The Cheroona Project tenements E51/1391, E51/1837-38 have the following outside interests:
Auris 70%; Northern Star Resources Ltd 30% (ASX:NST)
5. The Horseshoe Well Project tenement E52/3291 has the following outside interests:
Auris 85%; Gateway Projects WA Pty Ltd (formerly OMNI Projects Pty Ltd) 15% (Gateway Projects free carried until a
Decision to Mine)
6. The Milgun Project tenement E52/3248 has the following outside interests:
Auris 85%; Gateway Projects WA Pty Ltd (formerly OMNI Projects Pty Ltd) 15% (Gateway Projects free carried until a
Decision to Mine)
7. The Morck Well Project tenements E51/1033, E52/1613 and E52/1672 have the following outside interests:
Auris 80%; Fe Ltd 20% (ASX:FEL). Fe Ltd interest is free carried until a Decision to Mine
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DIRECTORS’ REPORT
Exploration Strategy
Auris’ exploration strategy is summarised as follows:
Focus attention on unlocking the value of the current tenement package in the Bryah Basin
Assess new strategic project opportunities as they arise
Target multiple Au and Cu-Au deposits
Develop the best regional geological control possible (to provide context), by means of published maps,
airborne geophysics (magnetics, radiometrics & EM), ground gravity, lithogeochemical analysis and field
mapping
Commitment to drill exploration targets as soon as possible after definition
Sell, JV or relinquish tenements that no longer fit with the companies exploration strategy
Adhere to highest technical standards in all activities
Review of Operations
Forrest Project
The Forrest Project is located 130kmnorth of Meekatharra, in the Bryah Basin, Western Australia. The project
includes tenements E52/1659 and E52/1671, which host the Wodger and Forrest Deposits respectively and fall
under an agreement with Westgold Resources Limited (“WGX”) whereby WGX own all gold rights and a 20%
free carried interest until a decision to mine for all copper rights.
Maiden Mineral Resource Estimate
A maiden mineral resource estimate was completed during FY21 on the Forrest and Wodger Prospects, both
situated within the broader Forrest Project. A total Inferred Resource of 2.4 Mt @ 1.7% Cu and 0.44g/t Au for
41,500 t Cu and 34,300 oz Au has been estimated for both deposits and reported above a nominal 1.0% Cu
cut-off grade, (refer Table 1 and ASX announcement 2 July 2020).
Table 1 - Forrest Project June 2020 Mineral Resource Estimate (1.0% Copper Cut-off)
Prospect
Type
Oxide
Transitional
Fresh
Total
Oxide
Transitional
Fresh
Total
Wodger
Forrest
Grand Total
Tonnage
(t)
28,000
490,000
845,000
1,363,000
4,000
354,000
681,000
1,039,000
2,402,000
Cu
(%)
1.5
2.1
1.6
1.8
1.3
2.2
1.4
1.7
1.7
Au
(g/t)
0.22
0.44
0.48
0.46
0.25
0.64
0.31
0.42
Cu
(t)
420
Au
(oz)
200
10,200
7,000
13,500
13,100
24,200
20,200
50
7,600
9,600
30
7,300
6,800
17,300
14,100
0.44
41,500
34,300
Note:
Differences in sum totals of tonnages and grades may occur due to rounding
Copper attributable 80% to AUR
Gold 100% attributable to WGX
Gold mineralisation not associated with the copper resource is not included in the estimated gold resource. This includes gold
mineralisation within the gold cap at the Forrest Deposit which overlies the copper resource and is currently the focus of mining
studies by Westgold
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DIRECTORS’ REPORT
IP Survey Identifies Compelling Targets
An offset pole-dipole induced polarisation (IP) survey was undertaken at the Forrest Project to test for zones of
resistivity and/or chargeability potentially associated with quartz/copper sulphide veining and/or zones of
disseminated or massive copper sulphides. The IP survey was also designed to evaluate approximately 4.5kmof
strike of an interpreted copper anomalous trend within the Forrest Project, encompassing both the Forrest and
Wodger Deposits (Figure 2).
A total of ten (10) IP target areas (Figures 3 and 4) have been identified from the modelling, interpretation and
integration of the IP survey results with other exploration datasets (which remains on‐going, (Refer ASX
announcement 22 January 2021). Several of these identified IP target areas are located along strike from the
Forrest and Wodger Deposits. The source of these chargeable responses could be sulphide veining and/or
disseminated sulphide mineralisation, alteration, or chargeable stratigraphic units, which is potentially the case
for a large and strike‐extensive chargeability anomaly located in the west of the survey area likely associated
with chargeable sedimentary units of the Horseshoe Formation.
Priority IP target areas identified by the survey will be initially drill tested by Air Core drilling. Full details of the
IP survey are available in the ASX announcement dated 22 January 2021.
Figure 2. Extent of Forrest Project IP Survey
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DIRECTORS’ REPORT
Figure 3. 350mRL slice of 3D inversion modelled chargeability showing preliminary IP target areas
Figure 4. 350mRL slice of 3D inversion modelled conductivity showing preliminary IP target areas
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DIRECTORS’ REPORT
Diamond Drilling Programme
Auris completed a programme of five diamond drill holes for 2,339.3m at the Forrest and Wodger Deposits
(Refer ASX Announcement 8 June 2021) to infill and test for dip and plunge extensions to current copper
resources of 2.4Mt @ 1.7% Cu for 41,500t Cu, (Refer ASX announcement 2 July 2020).
During FY21, Auris completed three diamond drill holes for 1,476.8m comprising one diamond drill hole
(FPDD005) for 444.6m at the Forrest Deposit and two diamond drill holes (WRDD006 and WRDD007) for
1032.2m at the Wodger Deposit. Results were also received for four drill holes, FPDD004/W1 and FPDD005
(Forrest deposit) and WRDD006 and WRDD007 (Wodger deposit).
Significant results were returned from the assaying of Forrest Deposit drill hole FPDD004/W1 including 8m @
1.19% Cu from 401m including 3m @ 2.1% Cu from 406m (Table 2, Refer ASX Announcement 28 April 2021).
The mineralisation within FPDD004/W1 is associated with a zone comprising 3% bornite along vuggy foliated
fabric including a more discrete zone of 0.5m (407-407.5m) comprising 6% bornite and 2% chalcopyrite in
fractures. The results from the drilling completed at the Forrest Deposit support interpretations of a potential
steepening of the northerly plunge to the copper mineralisation. Copper mineralisation at depth along the plunge
to the mineralisation remains open.
Results were also received from the drilling completed at the Wodger Deposit, (WRDD006 and WRDD007), with
a significant result of 2m @ 0.68% Cu from 531m (WRDD006) returned.
All significant results from the drill programme are listed on Table 2.
Table 2– Significant Copper Intersections -Forrest Project Diamond Drilling 2021
Hole ID
FPDD003
including
including
including
FPDD004
FPDD004W1
including
including
WRDD006
From
(m)
292
292
299
299
305
308
319
383
386
390
401
406
531
To
(m)
295
293
302
300
311
310
321
Interval
(m)
3
1
3
1
6
2
2
383.4
0.4
391
391
409
409
533
5
1
8
3
2
Cu
(%)
0.8
1.03
1.86
4.35
1.5
3.05
1.07
2.55
0.68
1.34
1.19
2.1
0.68
Intersection
Au
(ppm)
Ag
(ppm)
0.02
0.02
0.32
0.84
0.08
0.18
0.01
0.7
0.21
0.54
0.58
0.77
0.15
0.14
0.18
7.00
14.85
3.00
6.89
1.29
1.74
1.41
3.26
1.85
3.42
2.06
Table 3 – Forrest Project Diamond Drilling Collar Details
Northing
(GDA94_50)
Easting
(GDA94_50)
RL (m)
Dip
Azi
Metres
Drilled (m)
Max
Depth (m)
Hole
FPDD003
FPDD004
7185820
7185740
FPDD004W1
7185739
FPDD005
7185900
WRDD006
7188890
WRDD007
7188985
640670
640640
640776
640600
639230
639234
536
536
203
536
530
530
-70
-70
90
90
-62.4
90.7
-70
-70
-70
90
60
60
372.6
383.4
106.5
444.6
560.9
471.3
372.6
383.4
465.6
444.6
560.9
471.3
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DIRECTORS’ REPORT
A structural review of the Forrest Project, incorporating recent data collected from the Forrest and Wodger
Deposits diamond drilling, is being undertaken to assist with future targeting within the project area.
Figure 5 -Forrest Deposit Longitudinal Projection
Figure 6 -Wodger Deposit Longitudinal Projection
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DIRECTORS’ REPORT
Westgold RC Drilling Programme
Westgold completed an RC drilling programme at the Forrest Deposit during January 2021, comprising 39 drill
holes for 3,081 metres (refer ASX announcement 12 March 2021). The drilling was primarily aimed at the
leached gold cap but also to assist with understanding the interaction of copper oxide minerals in the transition
zone. As part of this programme Westgold drilled three deeper holes on behalf of the JV.
A maximum significant copper result of 32m @ 1.8% Cu from 111m including 4m @ 4.63% Cu from 112m
(20FSTRC038) returned from one of the deeper RC drill holes infilling the copper resource below the gold cap
and along an interpreted high-grade trend/plunge within the weathering profile.
All significant results are listed below, (Table 4).
Table 4 – Westgold RC Drilling Significant Copper Results - Forrest Deposit
Hole Number
20FSTRC001
incl
20FSTRC006
20FSTRC021
incl
20FSTRC038
and
incl
20FSTRC039
Depth
From (m)
Depth
To (m)
Interval
(m)
103
104
99
63
73
98
111
112
138
106
106
105
77
77
100
143
116
149
3
2
6
14
4
2
32
4
11
Cu
(%)
5.04
6.75
0.89
1.73
4.01
3.99
1.8
4.63
0.84
Au
(g/t)
0.96
1.13
0.16
2.6
7.89
0.68
1.23
2.39
0.08
Notes:
All significant results are calculated based on a minimum intercept length of two metres grading a minimum of 0.5% Cu. Within
the calculated zones, maximum lengths of two metres of consecutive internal dilution are incorporated.
Gold mineralisation not associated with the significant copper mineralisation is not included. This includes gold mineralisation
within the gold cap at the Forrest Deposit which overlies the copper resource.
The significant intersections within the RC drilling reinforce the strong copper geochemistry within the near-
surface at the Forrest Deposit.
Feather Cap
A total of 63 Air Core drill holes were completed for 6,572m at the Feather Cap Project, (Refer ASX
announcement 10 December 2020), predominately designed to further evaluate two priority regional gold targets
– the Durack East and Feather Cap prospects respectively
Durack East Summary
Twenty-seven (27) Air Core holes for 3,133mwere completed at the Durack East prospect to test for strike
extensions to high grade gold mineralisation identified by Sandfire within Air Core drilling in the Morck Well JV.
Importantly, results from Air Core drilling completed by Sandfire within the Morck Well JV include a maximum
result of 5m @ 4.76g/t Au from 70m (MWAC2682, Refer ASX announcement 17 July 2020) which forms part of
an interpreted gold mineralised of totally 5.6km spread between the Feather Cap Project and the Morck Well JV
with Sandfire.
Significant gold mineralisation also occurs to the west of the completed drilling in the form of the Durack Gold
Resource (Refer WGX announcement dated 4 September 2017), located along over 3km strike and outside of
Auris tenure. Historical RAB drilling by Plutonic Resources and Geopeko in the 1990’s, located approximately
1.7km to the west along strike from the proposed drilling has intersected high grade gold results including 35m
@ 1.8g/t Au from 32m including 8m @ 5.19g/t Au from 32m (JRB43) and 20m @ 3.01g/t Au from 40m including
4m @ 10.7g/t Au from 40m, (Refer ASX announcement 28 October 2020).
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The completed drilling was undertaken over a single line with drill holes initially spaced every 100m. Infill drilling
to 50m spacings was completed in two locations along the drill line due to the intersection of prospective chert
horizons and Narracoota/Ravelstone Formations contacts resulting in the completion of an addition four drill
holes.
Assay results from the drilling were received (Refer ASX Announcement 28 January 2021), returning an
encouraging result from the Durack East prospect of 4m @ 0.69g/t Au from 141m including 2m @ 1.26g/t Au
from 142m from DEAC0009 associated with minor quartz veining and chert horizons within mafic lithologies of
the Narracoota Formation. The intersection is interpreted to be located along strike from the Durack resource to
the west and significant air core intersections within previous Sandfire drilling in Morck Well JV to the east.
All other significant results returned from the drilling are interpreted to be associated with zones of lateral
dispersion of gold within the weathering environment trending along regolith boundaries, resulting in the
interpretation of a depleted gold zone down to vertical depths ranging between 70 and 100m.
The competed Air Core drilling at Durack East identified significant mineralisation along interpreted mineralised
trends which link significant mineralisation along strike to the east and west. Further Air Core drilling is required
along the 1.7km prospective trend between the completed drilling and the Durack Resource tenement boundary
to further evaluate the gold potential of the mineralised trends.
Figure 7 – Durack East Prospect / Morck Well JV Drill Plan
Figure 11 Notes:
Durack Gold Resource – Refer WGX announcement dated 4 September 2017
^ Refer ASX announcement 17 July 2020
* Refer ASX announcement 23 October 2020
All other results - Refer ASX announcement 28 October 2020
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Feather Cap Summary
A total of 27 Air Core holes for 2,628m were completed to infill existing drilling at the Feather Cap prospect to a
50/100 x 200m drill spacing in order to better evaluate identified anomalous gold mineralisation within previous
drilling, (including a maximum result of 11m @ 0.82g/t Au from 33m including 1m @ 4.76g/t Au from 35m,
FCAC039). Gold mineralisation has been interpreted over a strike extent of approximately 1.8km and remains
open to the north and south, (Refer ASX announcement 10 October 2018).
A maximum significant result of 5m @ 1.39g/t Au from 30m was returned from FCAC093 (Refer ASX
Announcement 28 January 2021) which is interpreted to be associated with the lateral dispersion of gold along
regolith boundaries within the weathering environment. A maximum result of 2m @ 0.34g/t Au and 0.2% Cu was
returned within FCAC093 associated with jasperoidal chert. Significant mineralisation within drilling at Feather
Cap remains open to the south.
Further Air Core drilling is required at the Feather Cap Prospect in order to test for southern extensions to the
mineralisation.
Figure 8 – Feather Cap Prospect Drill Plan
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Table 5 – Significant Air Core Intersection – Feather Cap Air Core
Prospect
Hole ID
From (m)
To (m)
Interval (m)
Intersection
Au (ppm)
Cu (ppm)
Durack East
DEAC0009
incl
DEAC0010
DEAC0011
DEAC0012
DEAC0018
DEAC0021
DEAC0026
DEAC0027
Feather Cap
FCAC081
incl
FCAC083
FCAC084
FCAC087
FCAC087
FCAC088
FCAC089
FCAC093
FCAC094
FCAC095
FCAC099
FCAC104
141
142
150
82
85
110
80
90
120
90
36
36
30
38
25
35
35
50
30
58
70
35
35
90
40
90
145
144
153
83
90
120
85
100
125
100
38
37
35
45
30
45
55
55
35
60
73
50
40
100
45
95
4
2
3
1
5
10
5
10
5
10
2
1
5
7
5
10
20
5
5
2
3
15
5
10
5
5
0.69
1.26
0.18
0.29
0.25
0.28
0.21
0.11
0.11
0.30
1.14
2.17
0.11
0.17
0.17
0.22
0.34
0.40
1.39
0.34
0.19
0.24
0.10
0.12
0.10
0.34
197
167
89
52
115
98
240
157
80
147
200
273
194
171
343
177
219
115
174
1200
183
105
116
77
68
123
Regional Summary
The remaining 9 holes for 811m were completed within tenements E52/3275, E52/3350 and E52/3351, to further
evaluate lower priority gold targets. No significant results were returned from this drilling.
Horseshoe Well / Milgun Project (85-100% AUR)
The Horseshoe Well Project tenement E52/3291 and the Milgun Project tenement E52/3248 are both considered
regionally underexplored. Milgun’s geology is considered similar to Fortnum Wedge which has total production
and resources of 2.2Moz.
Rock chip and soil sampling within E52/3248 has previously returned anomalous rock chip results up of 0.52ppm
Au, 3470ppm As and 22.4ppm Sb within interpreted structural corridor which historically has returned historic
sporadic gold and pathfinder elements within rock chip sampling and RAB drilling.
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Previous auger sampling on E52/3291 in 2017 highlighted a coincident low-level Cu-Pb-Zn anomaly in surface
cover which correlates with interpreted Narracoota Formation. Edmund-Collier Group rocks cover prospective
Bryah Group rocks in the north of both project areas.
Regional Air Core drilling is currently planned to evaluate geological, geophysical and geochemical target areas
across both E52/3291 and E52/3248.
Morck Well JV (Managed by Sandfire Resources Ltd)
The Morck Well and Doolgunna projects are strategically located 22km to the south-west and 4km to the
southeast respectively, of Sandfire’s DeGrussa Copper Mine in Western Australia. The Morck Well project is
located 8km along strike from Sandfire’s Old Highway gold deposit with comparable high grade gold
mineralisation being intersected associated within similar geology within completed regional Air Core drilling.
In February 2018, Auris entered a Farm-in Agreement with Sandfire in relation to the Morck Well East and
Doolgunna Projects which cover ~430km². Sandfire has the right to earn a 70% interest in the projects upon
completion of a Feasibility Study on a discovery of not less than 50,000t contained copper (or metal equivalent).
Air Core Drilling
Regional Air Core drilling continued within the Morck Well JV, with a total of 1,162 holes for 91,361m, (refer ASX
announcements 23 October 2020, 20 January 2021, 20 April 2021 and 22 July 2021), completed during the
reporting period.
All of the completed Air Core drilling within the Morck Well project comprised the remaining portion of the broader
800 x 100m infill drill programme designed to provide high quality lithogeochemical samples and assistance with
delineation of stratigraphy.
All significant results returned during the period from the Morck Well JV Air Core drilling are tabulated below,
(Table 6). Post June 2021, results for 146 Air Core drill holes are pending.
Table 6. Significant composite intervals returned from first pass Morck Well JV AC
Hole ID
MWAC2691
including
MWAC2858
MWAC2870
including
MWAC2870
MWAC2940
MWAC3036
MWAC3298
MWAC3322
MWAC3354
MWAC3356
including
MWAC3503
MWAC3541
MWAC3545
From
(m)
To (m)
Interval
(m)
Cu
(ppm)
Intersection
Zn
Au
(ppm)
(ppm)
Pb
(ppm)
110
110
130
40
40
55
80
55
55
120
115
135
50
45
64
85
60
60
120
125
50
55
65
75
95
15
40
50
55
70
70
79
100
20
42
55
10
5
5
10
5
9
5
5
5
5
5
15
5
4
5
5
2
5
89
133
1710
4155
6400
1520
76
90
1360
1750
1600
4640
8930
1370
2110
197
104
32
0.88
1.13
<0.01
<0.01
<0.01
<0.01
0.52
1.6
<0.01
<0.01
<0.01
<0.01
<0.01
<0.01
<0.01
0.76
0.51
0.89
16
14
131
388
560
368
70
73
92
99
2070
157
111
488
51
32
18
14
33
41
10
140
13
190
5
7
21
2
885
104
171
795
17
4
6
14
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Table 6. Significant composite intervals returned from first pass Morck Well JV AC
From
(m)
To (m)
Interval
(m)
Cu
(ppm)
Intersection
Zn
Au
(ppm)
(ppm)
Pb
(ppm)
Hole ID
MWAC3574
including
MWAC3749
including
MWAC3782
MWAC3883B
65
65
40
100
100
110
25
45
75
70
45
115
110
115
30
50
MWAC3916
140
145
MWAC3918
MWAC3977
70
80
80
90
10
5
5
15
10
5
5
5
5
10
10
91
39
28
65
81
2.05
3.01
0.59
1.03
1.27
14
9
13
43
54
1480
<0.01
113
124
185
74
43.5
104
0.64
1.44
0.63
0.71
0.70
12
93
43
69.5
62
25
3
18
24
29
34
20
4
2.5
36
3.25
The above mineralisation is contained within an interpreted mineralised gold trend of 5.6km, of which 2.2km is
located within the 100% Auris Feather Cap project.
A maximum copper result of 15m at 0.46% Cu from 55m was returned from, MWAC3354, (Figures 9 and 10).
The intercept is located 100m along the extended drill line to the northwest from previously completed drill hole
MWAC2870 which returned an anomalous copper intercept of 10m at 0.42% Cu from 40m, (Refer ASX
Announcement 30 October 2020). Anomalous lead mineralisation of 50m at 0.32% Pb from 55m was intersected
in MWAC3355, located a further 200m along the drill line to the northwest.
The anomalous base metal mineralisation is coincident with goethite and haematite overprinted, pervasively
silicified carbonaceous sediments and minor malachite associated with quartz veining. The strongly anomalous
Pb, Zn and Cu assays in MWAC3354 – 3356 and MWAC2870 are indicative of possible Mississippi Valley Type
(MVT) style mineralisation. Air Core and/or RC drilling is likely to be planned to follow up the anomalous base
metal geochemistry.
Maximum composite gold results of 10m at 2.05g/t Au from 65m including 5m at 3.01g/t Au from 65m
(MWAC3574) and 15m @ 1.03g/t Au from 100m including 10m @ 1.27g/t Au from 100m (MWAC3749) were
returned during the year from drilling completed in the west of the project area, (Figure 9 and Table 6, Refer
ASX Announcement 20 April 2021 and 22 July 2021).
Further highlighting the importance of these results, the above encouraging results form part of a potential 5.6km
gold anomalous trend in the west of the project area, of which 2.2km is located within the 100% Auris Feather
Cap project.
Immediately to the west of the Morck Well Project, sits Auris’ 100% owned Feather Cap Project, where drilling
during December 2020 returned an encouraging result of 4m @ 0.69g/t Au from 141m including 2m @ 1.26g/t
Au from 142m (DEAC0009 – Refer ASX Announcement 28 January 2021). This intersection is interpreted to be
located along strike from Westgold’s Durack Deposit, located to the west, and significant Air Core intersections
within previous Sandfire drilling in the Morck Well JV to the east.
In summary, all Air Core drilling at Durack East and within Morck Well, completed by Auris and Sandfire
respectively, has identified significant mineralisation along interpreted trends over a potential strike extent of
approximately 5.6km, which require further evaluation via infill Air Core drilling this year.
Auris plans to complete Air Core drilling along the 2.2km prospective trend which extends into the Company’s
Feather Cap Project to further evaluate this gold potential. This drilling is expected to commence early in FY22.
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Figure 9. Drilling Summary Plan - Morck Well Project
Notes:
Morck Well Copper – Gold Prospect –SFR ASX announcement 6 June 2018
Jacques Gold Prospect –RNI ASX announcement 16 April 2013
Frenchy’s Gold Prospect – AUR ASX announcement 16 April 2019
Durack Gold Resource – Refer WGX announcement 4 September 2017
SFR (MWAC prefix) results refer ASX announcements 30 March 2020, 20 April 2020, 17 July 2020, 23 October 2020, 20
January 2021, 20 April 2021 and 9 June 2021
Figure 10. Drilling Summary Plan - Morck Well Project
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Doolgunna Project
A further 68 Air Core holes for 3,829m were completed within the Doolgunna project tenement E52/2438, to infill
sections of the Central Volcanics that have previously been inconsistently tested with shallow Air Core/RAB and
RC drilling, with the aim of more accurately defining the interpreted Karalundi Formation and Narracoota
Formation stratigraphy.
Figure 11. Drilling Summary Plan - Doolgunna Project
Previous RC drilling during 2011 by Auris at the Salmon prospect on the Cuba tenement returned several narrow
and high-grade gold intercepts including 5m @ 9.0g/t Au from 22m including 2m @ 19.1g/t Au from 23m
(DRC059) and 6m @ 6.8g/t Au from 31m including 2m @ 20.0g/t Au from 34m (DRC160) – Refer ASX
Announcement 31 October 2011. The mineralisation is probably related to the Cow Hole Bore Fault System
which hosts Sandfire’s Mafic Anticline and Cow Hole Bore gold mineralisation.
Geophysics
MLEM surveying at Cow Hole Bore on Doolgunna project tenement E52/2438 at a 400m line spacing, was
completed. An anomalous response was identified on line 54500 in the Cuba prospect and was recommended
for follow-up evaluation with infill MLEM to a 200m line spacing. The Infill MLEM was completed and no
anomalous response was received.
A steeply dipping, low conductivity (400S), square plate measuring 150m in width and height has been modelled
from the MLEM data, (Figure 11). The plate dips to the north (355°) and is located from a depth of approximately
250m from surface and 750m southwest along strike from the Salmon Au prospect and 5km to the southeast
from the DeGrussa Copper-Gold Mine. The MLEM anomalism has the potential to be associated with sulphide
mineralisation.
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Ongoing and Planned Work
Infill Air Core drilling at 400m line spacings is planned throughout the Morck Well project area to further evaluate
gold and/or base metal mineralisation highlighted by the regional Air Core drilling. Initial infill Air Core drilling will
focus initially on priority targets which includes the 3.4km gold mineralised trend in the west of the Morck Well
project area, and the high-grade gold mineralisation intersected in March 2020, which includes a maximum
result of 7m at 6.09 g/t Au from 48m including 3m at 10.6 g/t Au from 49m (MWAC2225 – Refer ASX
Announcement 17 July 2020) which remains open along strike to northeast and southwest for 800m.
The planned infill Air Core drilling will also further evaluate potential Mississippi Valley Type (MVT) style
mineralisation intersected within previous regional Air Core drilling including 15mat 0.46% Cu from 55m,
(MWAC3354) and 50mat 0.32% Pb from 55m (MWAC3355), (Refer ASX Announcement 29 January 2021).
The commencement of the 400m spaced infill Air Core drilling is dependent on heritage clearance of the drill
lines. A significant programme of heritage surveying (>270-line km) commenced early in June 2021 and is
expected to be completed in the September 2021 quarter.
Forty-two holes remain to be drilled as part of the AC infill drilling programme at the Doolgunna project.
Additionally, an RC hole has been designed to test a model generated from an anomalous response that was
identified on Line 54500 of the MLEM survey at Cow Hole Bore on the Doolgunna project. This drill hole is
planned for completion during the September quarter.
Cashman JV (Managed by Sandfire Resources Ltd)
In September 2019, Auris entered into a farm-in agreement with Sandfire to advance exploration at the
Company’s Cashman Project located in the Bryah Basin of Western Australia. Under the agreement Sandfire
are sole funding exploration until a Feasibility Study is completed on a discovery of >50,000t copper to earn a
70% interest.
Air Core Drilling
A total of 306 Air Core holes for 17,176m were completed during the reporting period, (refer ASX announcement
23 October 2020 and 22 July 2021).
Two hundred and fifty-six holes were completed for a total of 15,513m as part of the 1,600x100m spaced first-
pass pattern through E52/1120, located north west of the 400x100m-spaced Air Core drilling completed over
the Orient and Cashman prospect areas. This programme was designed to test the continuation of the Karalundi
Formation stratigraphy in the south west of the basin. A significant result of 5m @ 0.13% Cu from 5m
(CHAC1693) was returned during the period from this drilling.
A total of fifty Air Core drill holes for 1,663m were completed which were designed to infill existing 100m-spaced
drill collars, specifically targeting prospective sediment horizons of the Karalundi Formation to provide additional
geochemical data in the area proximal to the Orient gossan. All results are pending for all completed Air Core
drilling.
Diamond Drilling
Two diamond tails (CHRC0007 and OTRC007, Figure 4) were completed at the Orient prospect during the June
2021 quarter for a total of 764.7m. All results are pending for all completed diamond drilling.
Ongoing and Forecast Work
Geological interpretation at the Cheroona Project is ongoing. DHEM surveying of OTRC007 and CHRC0007 will
be completed in the next reporting period.
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Corporate
5. Significant Changes in the State of Affairs
In the opinion of the directors there were no significant changes in the state of affairs of the Group that occurred
during the financial year, other than those described in this report under ‘Principal activities and review of
operations’.
6. Environmental Regulations
The Group’s exploration activities are subject to various environmental regulations. The Board is responsible for
the regular monitoring of environmental exposures and compliance with environmental regulations.
The Group is committed to achieving a high standard of environmental performance and conducts its activities
in a professional and environmentally conscious manner and in accordance with applicable laws and permit
requirements. The Board believes that the Group has adequate systems in place for the management of its
environmental requirements and is not aware of any breach of those environmental requirements as they apply
to the Group.
The directors have considered the enacted National Greenhouse and Energy Reporting Act 2007 (the NGER
Act) which introduces 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 will have no effect on the
Company for the current financial year. The directors will reassess this position as and when the need arises.
7. Dividends
The directors have not recommended the declaration of a dividend. No dividends were paid or declared during
the current or prior period.
8. Events Subsequent to Reporting Date
No matters or circumstances have arisen since the end of the financial year which significantly affected or may
significantly affect the operations of the Company, the results of those operations, or the state of affairs of the
Company in future financial years, other than the following:
- The impact of the Coronavirus (COVID-19) pandemic is ongoing and while it has had no significant
impact on the Group up to 30 June 2021, it is not practicable to estimate the potential impact, positive
or negative, after the reporting date. The situation is rapidly developing and is dependent on measures
imposed by the Australian Government and other countries, such as maintaining social distancing
requirements, quarantine, travel restrictions and any economic stimulus that may be provided.
9. Likely Developments
Likely developments in the operations of the Group and the expected results of those operations in future
financial years have not been included in this report, as the inclusion of such information is likely to result in
unreasonable prejudice to the Group.
10. Share Options
Unissued shares under option
At the date of this report there are no unissued ordinary shares of the Company under option.
Other shares issued since the end of the financial year
There have been no shares issued since the end of the financial year.
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DIRECTORS’ REPORT
11. Remuneration Report - Audited
Principles of compensation
Remuneration is referred to as compensation throughout this report.
Key management personnel have authority and responsibility for planning, directing and controlling the activities
of the Group. Key management personnel comprise the directors of the Group.
Compensation levels for key management personnel of the Group are competitively set to attract and retain
appropriately qualified and experienced directors and executives. The Board may obtain independent advice on
the appropriateness of compensation packages of the Group given trends in comparative companies both locally
and internationally and the objectives of the Group’s compensation strategy.
The compensation structures explained below are designed to attract suitably qualified candidates, reward the
achievement of strategic objectives, and achieve the broader outcome of creation of value for shareholders.
Compensation packages include a mix of fixed compensation, equity-based compensation, performance-based
compensation as well as employer contributions to superannuation funds.
Shares and options may only be issued to directors subject to approval by shareholders in general meeting.
Fixed compensation
Fixed compensation consists of base compensation as well as employer contributions to superannuation funds.
Compensation levels are reviewed annually by the Board through a process that considers individual and overall
performance of the Group. In addition, from time to time external consultants provide analysis and advice to
ensure the directors’ and senior executives’ compensation is competitive in the market place. The Group did not
employ the services of any remuneration consultants during the financial year ended 30 June 2021.
Performance linked compensation (Short-term incentive bonus)
In considering the Group’s strategic objectives the Board may integrate certain performance linked short-term
incentives (STIs) into key management personnel compensation packages.
Performance linked compensation primarily include STIs and are considered by the Board as and when projects
are delivered and are entirely at the Board’s discretion. The measures chosen are designed to align the
individual’s reward to the achievement of the Group’s strategies and goals and to reward key management
personnel for meeting or exceeding their personal objectives. No bonuses were paid during the financial year.
Equity based compensation (Long-term incentive bonus)
The Board provides equity-based long-term incentives (LTIs) to promote continuity of employment and to provide
additional incentive to key management personnel to increase shareholder wealth. LTIs are provided as options
and rights over ordinary shares of the Company and are provided to key management personnel based on their
level of seniority and position within the Group. Options and rights may only be issued to directors subject to
approval by shareholders in general meeting.
Key Management Personnel Incentives
Short-term and long-term incentive structure and consequences of performance on shareholder wealth have
been considered. However, given the Group’s principal activity during the course of the financial year consisted
of exploration and evaluation, the Board has given more significance to service criteria instead of market related
criteria in setting the Group’s incentive schemes. Accordingly, at this stage the Board does not consider the
Company’s earnings or earning measures to be an appropriate key performance indicator. The issue of options
or rights as part of the remuneration package of directors is an established practice for listed exploration
companies and has the benefit of conserving cash whilst appropriately rewarding the directors. In considering
the relationship between the Group’s remuneration policy and the consequences for the Company’s shareholder
wealth, changes in share price are analysed.
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DIRECTORS’ REPORT
The Group’s respective earnings and share price for the periods ended 30 June 2017 to 30 June 2021 are as
follows:
30 Jun 17
30 Jun 18
30 Jun 19
30 Jun 20
30 Jun 21
Net loss
(884,710)
(1,317,036)
(1,845,664)
(422,531)
(2,312,605)
Closing ASX share price
$0.057
$0.068
$0.015
$0.048
$0.048
Note, the closing price for the 30 June 2017 period is based on pre-consolidation figures.
In the opinion of the Board, these earnings, as listed above, are largely irrelevant for assessing the Group’s
respective performance during the exploration and evaluation phases.
Service contracts
i)
Non-Executive Chair
Director and consulting services are provided by Mr Bassett via an associated company on normal commercial
terms and conditions.
The Non-Executive Chair rate was set at $45,000 per annum with effect from 1 February 2017. Additional fees
are paid to Mr Bassett for any additional duties performed outside his role as Non-Executive Chair at a rate of
$1,500 per day.
ii)
Non-Executive Directors
Non-Executive Directors are currently paid at a rate of $30,000 per annum on a continuous service arrangement
requiring at least one month’s notice for termination. Total compensation for all Non-Executive Directors is set
based on advice, from time to time, from external advisors with reference to fees paid to other Non-Executive
Directors of comparable companies. The Group did not employ the services of any remuneration consultants
during the financial year ended 30 June 2021. Non-Executive Directors’ fees are presently limited to $250,000
per annum, excluding director services charged under management or consulting contracts.
Directors’ fees cover all main Board activities. The Board has no established retirement or redundancy schemes
in relation to Non-Executive Directors.
iii) Managing Director
The Managing Director services are provided by Mr Hendriks via an associated company on normal commercial
terms and conditions.
The Managing Director is currently paid $180,000 per annum, subject to annual review. The service contract,
for no fixed term , may be terminated by either party providing the other with three (3) months notice in writing.
On termination, Mr Hendriks will be entitled to three (3) months salary if removal from the position occurs for
any reason other than a serious breach of contract.
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DIRECTORS’ REPORT
Key Management Personnel remuneration
Details of the nature and amount of each major element of remuneration are as follows:
Key Management Personnel
(KMP)
Short
term
salary
and fees
Super-
annuation
benefits
Termination
benefits
Equity settled
share based
payments
Total
Proportion of
remuneration
performance
related
$
$
$
$
$
%
Value of
options/rights
as proportion
of
remuneration
%
Non-executive chair
N Bassett (i)
2021
2020
40,500
41,625
Managing director / Chief operating officer
M Hendriks (ii)
2021
2020
143,490
138,750
Non-executive director
-
-
-
-
C Hall (iii)
B Thomas (iv)
R Martin (v)
Total
2021
2020
2021
2020
2021
2020
2021
2020
24,658
25,342
-
2,342
2,408
-
20,548
1,952
8,667
27,750
217,315
254,015
-
-
2,342
4,360
-
-
-
-
-
-
-
-
-
-
-
-
-
-
40,500
41,625
- 143,490
- 138,750
-
-
-
-
-
-
27,000
27,750
-
22,500
8,667
27,750
- 219,657
- 258,375
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
(i)
Neville Bassett was appointed Non-Executive Chair on 20 April 2018.
(ii) Mike Hendriks was appointed as COO on 6 July 2018 on a consultancy arrangement. On 20 November 2020 Mr Hendriks resigned
as COO and Company Secretary and was appointed as Managing Director.
(iii) Craig Hall was appointed as Non-Executive Director on 1 August 2018 as the Investmet representative.
(iv) Brian Thomas was appointed as Non-Executive Director on 20 April 2018; Resigned 31 March 2020.
(v) Robert Martin was appointed 2 November 2016; Resigned 20 November 2020.
Equity instruments
Options holdings
Options refer to options over ordinary shares of Auris and are exercisable on a one-for-one basis. Details of
options over ordinary shares in Auris that were granted and vested as compensation to each key management
person are as follows:
Balance at 1
July 20 or
date of
appointment
Issue
date
Granted as remuneration
Exercised (i)
Lapsed (i)
Other
changes
Balance at
30 June 21
or date of
resignation
No.
Value
No.
No.
No.
Non-executive Chairman
N Bassett
4,275,000
Managing Director / Chief Operating Officer
M Hendriks
2,500,000
Non-executive Directors
C Hall
R Martin (ii)
4,000,000
25,219,762
-
-
-
-
-
-
-
-
-
-
-
-
-
(4,2750,000)
(500,000)
(2,000,000)
-
(4,000,000)
(6,250,000)
-
-
-
-
-
(i)
During the period, AUROC shares were converted or expired on 30 November 2020.
(ii) Robert Martin resigned as Non-executive director on 20 November 2020.
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DIRECTORS’ REPORT
No terms of equity-settled share-based payment transactions (including options and rights granted as
compensation to a key management person) have been altered or modified by the issuing entity during the
reporting period or the prior period.
During the reporting period, no shares were issued on exercise of options previously granted as compensation
and no options were forfeited by key management persons during the reporting period.
Performance rights holdings
Rights refer to performance rights held over ordinary shares of the Company and are exercisable on a one-for-
one basis when vesting conditions are met. Details of the grant of performance rights to key management
personnel are set out in the table below.
Tranche
Balance at 1
July 20 or date
of appointment
Granted as remuneration
Issue
date
No.
Value
Exercised
Lapsed
Other
changes
Non-Executive Chairman
N Bassett
-
Managing Director / Chief Operating Officer
M Hendriks
Non-Executive Directors
C Hall
R Martin (i)
-
-
1
2
-
-
-
1,000,000
1,000,000
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
Balance at
30 June 21
or date of
resignation
-
-
-
-
-
-
-
-
1,000,000
1,000,000
(i)
Robert Martin resigned as Non-executive Director on 20 November 2020.
Share holdings
During the year, Mike Hendriks and Rob Martin exercised 500,000 and 6,250,000 AUROC options respectively
resulting in ordinary shares being granted.
No shares were granted to key management personnel during the reporting period as compensation in 2021.
The movement during the reporting period in the number of ordinary shares in Auris Minerals Limited held,
directly, indirectly or beneficially, by each key management person, including their related parties, is as follows:
Balance at 1
July 20 or date
of appointment
Acquired during
the period
Exercise of
options (i)
Other changes
Balance at 30
June 21 or date
of resignation
Non-Executive Chairman
N Bassett
1,100,000
Managing Director / Chief Operating Officer
M Hendriks
Non-Executive Directors
C Hall
R Martin (ii)
(i)
Exercised AUROC options.
-
-
36,151,486
-
-
-
-
-
500,000
-
6,250,000
-
-
-
-
1,100,000
500,000
-
42,401,486
(ii) Robert Martin resigned as Non-executive Director on 20 November 2020.
Other Equity-related KMP Transactions
There have been no other transactions involving equity instruments apart from those described in the tables
above relating to options, rights, and shareholdings.
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DIRECTORS’ REPORT
Other Transactions with KMP and / or their Related Parties
There were no other transactions conducted with the Group and KMP or their related parties, apart from those
disclosed above. All transactions were conducted in accordance with normal employee, customer or supplier
relationships on terms no more favourable than those reasonably expected under arm’s length dealings with
unrelated persons.
END OF AUDITED SECTION
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DIRECTORS’ REPORT
12. Proceeding 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 party to any such proceedings during the year.
13. Indemnification and Insurance of Officers and Auditors
Indemnification
The Group indemnifies each of its directors and company secretary. The Group indemnifies each director or
officer to the maximum extent permitted by the Corporations Act 2001 from liability to third parties, except where
the liability arises out of conduct involving lack of good faith, and in defending legal and administrative
proceedings and applications for such proceedings.
The Group must use its best endeavours to insure a director or officer against any liability, which does not arise
out of a conduct constituting a wilful breach of duty or a contravention of the Corporations Act 2001. The Group
must also use its best endeavour to insure a director or officer against liability for costs and expenses incurred
in defending proceedings whether civil or criminal.
The Group has not entered into any agreement with its current auditors indemnifying them against any claims
by third parties arising from their report on the financial report.
The directors of the Company are not aware of any proceedings or claim brought against Auris Minerals Ltd or
its controlled entities as at the date of this report.
Insurance
The Group holds cover in respect of directors’ and officers’ liability and legal expenses’ insurance, for current
and former directors and officers of the Group.
14. Non-audit Services
During the year Elderton Audit Pty Ltd, the Company’s auditor, did not perform any services other than their
audit services.
In the event that non-audit services are provided by Elderton Audit Pty Ltd, the Board has established certain
procedures to ensure that the provision of non-audit services are compatible with, and do not compromise, the
auditor independence requirements of the Corporations Act 2001. These procedures include:
non-audit services will be subject to the corporate governance procedures adopted by the Group and
will be reviewed by the Group to ensure they do not impact the integrity and objectivity of the auditor;
and
ensuring non-audit services do not involve reviewing or auditing the auditor’s own work, acting in a
management or decision making capacity for the Group, acting as an advocate for the Group or jointly
sharing risks and rewards.
Details of the amounts paid to the auditor of the Company and their related practices for audit services provided
during the year are set out below.
Audit and review of financial reports
2021
$
28,700
28,700
2020
$
24,000
24,000
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DIRECTORS’ REPORT
15. Competent Person’s Statement
Competent Person’s Statement
Information in this report that relates to exploration results is based on and fairly represents information and
supporting documentation prepared and compiled by Mr Matthew Svensson, who is a Member of the Australian
Institute of Geoscientists.
Mr Svensson is the Exploration Manager for Auris Minerals Limited. Mr Svensson 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 to qualify as a Competent Person, as defined in the 2012 Edition of the Australasian Code for
Reporting Exploration Results, Mineral Resources and Ore Reserves. Mr Svensson consents to the inclusion in
this report of the matters based on this information in the form and context in which it appears.
No New Information
Except where explicitly stated, this report contains references to prior exploration results and Mineral Resource
estimates, all of which have been cross referenced to previous market reports made by the Company. The
Company confirms that it is not aware of any new information or data that materially affects the information
included in the relevant market announcements and, in the case of estimates of Mineral Resources that all
material assumptions and technical parameters underpinning the results and/or estimates in the relevant market
report continue to apply and have not materially changed.
Forward-Looking Statements
This report has been prepared by Auris Minerals Limited. This document contains background information about
Auris Minerals Limited and its related entities current at the date of this report. This is in summary form and does
not purport to be all inclusive or complete. Recipients should conduct their own investigations and perform their
own analysis in order to satisfy themselves as to the accuracy and completeness of the information, statements
and opinions contained in this report. This report is for information purposes only. Neither this document nor the
information contained in it constitutes an offer, invitation, solicitation or recommendation in relation to the
purchase or sale of shares in any jurisdiction.
This report may not be distributed in any jurisdiction except in accordance with the legal requirements applicable
in such jurisdiction. Recipients should inform themselves of the restrictions that apply in their own jurisdiction. A
failure to do so may result in a violation of securities laws in such jurisdiction. This document does not constitute
investment advice and has been prepared without taking into account the recipient’s investment objectives,
financial circumstances or particular needs and the opinions and recommendations in this representation are
not intended to represent recommendations of particular investments to particular persons. Recipients should
seek professional advice when deciding if an investment is appropriate. All securities transactions involve risks,
which include (among others) the risk of adverse or unanticipated market, financial or political developments.
No responsibility for any errors or omissions from this document arising out of negligence or otherwise is
accepted. This document does include forward-looking statements. Forward-looking statements are only
predictions and are subject to risks, uncertainties and assumptions which are outside the control of Auris
Minerals Limited. Actual values, results, outcomes or events may be materially different to those expressed or
implied in this report. Given these uncertainties, recipients are cautioned not to place reliance on forward-looking
statements.
Any forward-looking statements in this report speak only at the date of issue of this report. Subject to any
continuing obligations under applicable law and ASX Listing Rules, Auris Minerals Limited does not undertake
any obligation to update or revise any information or any of the forward-looking statements in this document or
any changes in events, conditions or circumstances on which any such forward-looking statement is based.
16.
Corporate Governance Statement
The Company’s 2021 Corporate Governance Statement has been released as a separate document and is
located on the Company’s website at www.aurisminerals.com.au
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DIRECTORS’ REPORT
17. Lead Auditor’s Independence Declaration
The lead auditor’s independence declaration is set out on page 38 and forms part of the directors’ report for the
financial year ended 30 June 2021.
This report is made with a resolution of the directors.
NEVILLE BASSETT
NON-EXECUTIVE CHAIR
Dated at West Perth this 9th day of September 2021
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SCHEDULE OF MINING TENEMENTS
Schedule of Mining Tenements as at 30 June 2021
Tenement
Number
Doolgunna Project
Registered Holder
Date Granted
Area
Area
Note
Graticular
Blocks(bk) /
Hectares (ha)
Sq
km
E52/2438
Auris Minerals Limited
11/02/2010
7bk
21.68
1,7
Morck Well Project
E51/1033
Auris Exploration Pty Ltd 80%;
22/09/2005
53bk
161.84
3,7
E51/1883
E52/1613
Jackson Minerals Pty Ltd 20%
Auris Exploration Pty Ltd 100%
Auris Exploration Pty Ltd 80
Jackson Minerals Pty Ltd 20%
02/08/2019
29/03/2006
4bk
30bk
12.21
92.77
7
3,7
E52/1672
Auris Exploration Pty Ltd 80%;
22/09/2005
35bk
108.02
3,7
Jackson Minerals Pty Ltd 20%
Feather Cap Project
E52/1910
E52/2472
E52/3275
E52/3327
E52/3350
E52/3351
P52/1497
P52/1503
P52/1504
Auris Exploration Pty Ltd
Auris Exploration Pty Ltd
Auris Exploration Pty Ltd
Auris Exploration Pty Ltd
Auris Exploration Pty Ltd
Auris Exploration Pty Ltd
Auris Exploration Pty Ltd
Auris Exploration Pty Ltd
Auris Exploration Pty Ltd
Cashman Project
E51/1053
E51/1120
Auris Exploration Pty Ltd
Auris Exploration Pty Ltd
Cheroona Project
E51/1391
E51/1837
Northern Star Resources Ltd
Auris Exploration Pty Ltd 70%
Northern Star Resources Ltd 30%
10/08/2006
19/11/2009
01/06/2016
15/10/2015
02/03/2016
02/03/2016
6/3/2015
6/3/2015
6/3/2015
22/09/2005
10/08/2006
11/11/2010
19/01/2018
41bk
124.21
4
2bk
2bk
2bk
3bk
2bk
155.90ha
172.86ha
191.81ha
35bk
40bk
21bk
3bk
6.1
6.1
6.1
9.2
6.1
1.56
1.73
1.92
105.26
122.46
64.82
9.2
7
7
7,9
7,9
E51/1838
Auris Exploration Pty Ltd 70%
19/01/2018
11bk
33.62
7,9
Northern Star Resources Ltd 30%
Forrest Project
E52/1659
Auris Exploration Pty Ltd 80%
27/01/2004
13bk
34.09
5,8
Aragon Resources Pty Ltd 20%
E52/1671
Auris Exploration Pty Ltd 80%
23/11/2004
61bk
185.26
5,8
P52/1493
P52/1494
Aragon Resources Pty Ltd 20%
Auris Exploration Pty Ltd
Auris Exploration Pty Ltd 80%
Jackson Minerals Pty Ltd 20%
6/3/2015
6/3/2015
191.66ha
179.33ha
1.92
1.79
P52/1495
Auris Exploration Pty Ltd 80%
6/3/2015
181.09ha
1.81
5
2
2
Jackson Minerals Pty Ltd 20%
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SCHEDULE OF MINING TENEMENTS
Tenement
Number
Registered Holder
Date Granted
Area
Area
Note
Graticular
Blocks(bk) /
Hectares (ha)
Sq
km
P52/1496
Auris Exploration Pty Ltd 80%
6/3/2015
183.70ha
1.83
2
Jackson Minerals Pty Ltd 20%
Milgun Project
E52/3248
Auris Exploration Pty Ltd 85%
31/03/2015
11bk
33.62
6
Omni Projects Pty Ltd 15%
E52/3757
Auris Exploration Pty Ltd
7/1/2020
37bk
113.15
Horseshoe Well Project
E52/3291
Auris Exploration Pty Ltd 85%
02/03/2016
13bk
39.73
6
Omni Projects Pty Ltd 15%
E52/3166
Auris Exploration Pty Ltd
18/12/2014
20bk
103.92
Notes:
Auris Exploration Pty Ltd (AE) is a wholly owned subsidiary of Auris Minerals Limited.
1. Ascidian Prospecting Pty Ltd hold a 1% gross revenue royalty from the sale of all minerals.
2. Peak Hill Sale Agreement: AE 80%, Jackson Minerals Pty Ltd 20% & free carried to a decision to mine.
3. PepinNini Robinson Range Pty Ltd (PRR) hold a 0.8% gross revenue royalty from the sale or disposal of iron
ore.
4. PRR hold a 1.0% gross revenue royalty from the sale or disposal of iron ore.
5. Westgold Resources Limited owns gold mineral rights over the AE interest.
6. AE 85% beneficial interest, Omni Projects Pty Ltd 15% beneficial interest.
7. Sandfire Resources Limited – Earn-in Agreement with rights to earn 70% interest.
8. AE 80%, Westgold Resources Limited 20% & free carried to a decision to mine
9. AE 70%, Northern Star Resources Ltd 30%
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ADDITIONAL SHAREHOLDER INFORMATION
Shareholder Information
The shareholder information set out below was applicable at 8 September 2021.
A.Distribution of Equity Securities
i)Analysis of numbers of shareholders by size of holding:
Ordinary Shares (AUR)
No. of
shareholders
Percentage of issued
capital
153
95
189
602
267
1,306
0.01
0.06
0.32
4.92
94.70
100
1 – 1,000
1,001 – 5,000
5,001 – 10,000
10,001 – 100,000
Over 100,000
Total
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ADDITIONAL SHAREHOLDER INFORMATION
B.Equity Security Holders
Twenty largest quoted equity security holders. The names of the 20 largest holders of quoted equity securities
are listed below:
Number of ordinary
shares held
Percentage of
issued shares
CITICORP NOMINEES PTY LIMITED
INVESTMET LIMITED
HSBC CUSTODY NOMINEES (AUSTRALIA) LIMITED
SANDFIRE RESOURCES LIMITED
NITRO SUPER PTY LTD
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