ANNUAL REPORT
2023
ABN 43 107 159 713
ASX Code: BML
PAGE 2
BOAB METALS LIMITED
CORPORATE DIRECTORY
DIRECTORS
COMPANY SECRETARY
Gary Comb (Chairman)
Jerry Monzu
Simon Noon (Managing Director & CEO)
Richard Monti (Non-Executive Director)
Andrew Parker (Non-Executive Director)
REGISTERED OFFICE
SHARE REGISTRY
4 Clive Street
WEST PERTH WA 6005
Automic Group Pty Ltd
Level 5
191 St Georges Terrace
PERTH WA 6000
BANKERS
AUDITORS
Australian and New Zealand Banking
BDO Audit (WA) Pty Ltd
Group Limited
Level 1
1275 Hay Street
WEST PERTH WA 6005
Level 9, Mia Yellagonga Tower 2
5 Spring Street
PERTH WA 6000
SECURITIES EXCHANGE LISTING
WEBSITE ADDRESS
Boab Metals Limited shares are listed on the
www.boabmetals.com
Australian Securities Exchange
(Home Branch-Perth) ASX Code: BML
ANNUAL REPORT FOR THE YEAR ENDED 30 JUNE 2023
PAGE 3
TABLE OF CONTENTS
4
5
7
23
39
40
41
42
43
44
76
77
81
CHAIRMAN’S REPORT
MANAGING DIRECTOR’S REPORT
REVIEW OF OPERATIONS
DIRECTORS’ REPORT
AUDITOR’S INDEPENDENCE DECLARATION
CONSOLIDATED STATEMENT OF PROFIT OR LOSS &
OTHER COMPREHENSIVE INCOME
CONSOLIDATED STATEMENT OF FINANCIAL POSITION
CONSOLIDATED STATEMENT OF CHANGES IN EQUITY
CONSOLIDATED STATEMENT OF CASH FLOWS
NOTES TO THE FINANCIAL STATEMENTS
DIRECTORS’ DECLARATION
INDEPENDENT AUDITOR’S REPORT
SHAREHOLDER INFORMATION
FORWARD LOOKING STATEMENTS
This Annual Report may contain forward looking statements. Such statements are only predictions, based on
certain assumptions and involve known and unknown risks, uncertainties, and other factors, many of which
are beyond the Company’s control. Actual events or results may differ materially from the events or results
expected or implied in any forward-looking statement. The inclusion of such statements should not be regarded
as a representation, warranty, or prediction with respect to the accuracy of the underlying assumptions or that
any forward-looking statements will be or are likely to be fulfilled. The Company undertakes no obligation
to update any forward-looking statement to reflect events or circumstances after the date of this document
(subject to securities exchange disclosure requirements). The information in this document does not consider
the objectives, financial situation or needs of any person. Nothing contained in this document constitutes
investment, legal, tax, or other advice.
PAGE 4
CHAIRMAN’S REPORT
Dear Shareholders,
On behalf of your Board of Directors, I am pleased to present the 2023 Annual Report and recap on
the progress that Boab Metals Limited has made over the past financial year at our flagship Sorby
Hills Lead-Silver Project and toward delivering on our objective to become a profitable low-cost
producer and responsible economic contributor to the East Kimberley community.
The release of the Sorby Hills Definitive Feasibility Study was a standout achievement. The study
delivered a material increase in value over the Sorby Hills Prefeasibility Study and represents an
outstanding result given the difficult macroeconomic conditions under which it was completed. I
would like to commend Simon and the team on the outcome, however, acknowledge that the job
is not yet done as our focus is firmly toward reaching a Final Investment Decision at Sorby Hills and
subsequently, delivery of the project.
To that end, I am pleased to report that Project development has continued at pace, with Front
End Engineering & Design, project optimisation, final approvals and other pre–Final Investment
Decision deliverables all well advanced. Constructive discussions with potential Financiers and
our selected Offtakers continue to provide us with confidence that funding for the Project can be
secured despite the highly inflationary environment and very challenging market conditions we are
currently faced with.
Our clear objective over the coming 12 months is to reach a fully funded Final Investment Decision
at Sorby Hills and commence our journey to becoming Australia’s next Lead-Silver producer. Our
strategy will be to move the Project forward diligently, proactively and cost-effectively, whilst
encouraging opportunities that lead to value creation such as our recent discovery at the Keep
Seismic Target.
The Board is grateful for the support of all shareholders and would like to commend all staff on their
hard work and dedication during the year. We look forward to an exciting year ahead.
Gary Comb
Chairman
BOAB METALS LIMITED
PAGE 5
MANAGING DIRECTOR’S
REPORT
Throughout the 2023 financial year, the Boab team has focused on workstreams required to bring
about a Final Investment Decision on our 75% owned Sorby Hills Lead-Silver Project located in the
East Kimberley Region of Western Australia.
A standout achievement of the year has been the delivery of the Sorby Hills Definitive Feasibility
Study (DFS) which produced a robust outcome and supports the Company’s progress toward a
Final Investment Decision.
Key highlights of the study included:
•
improved 18.3Mt Production Target (a ~24% increase over the Sorby Hills Prefeasibility Study)
underpinned by 83% Reserve (including a 53% increase in Proved Reserves);
•
increased process plant throughput of 2.25Mtpa (versus 1.25Mtpa considered in the Sorby Hills
Prefeasibility Study) delivering an average of 103ktpa Lead-Silver Concentrate;
•
reduced unit C1 operating costs of US$0.39/lb payable Pb (versus US$0.47/lb payable Pb in the
Sorby Hills Prefeasibility Study);
• upfront Capital Cost of A$245M, of which 75% was supported by live tendered pricing; and
• strong value metrics including A$1.0B in operating cashflow, A$705M net cash flow, pre-tax
NPV8 of A$370M, IRR of 35%, and an average annualised EBITDA of A$119M.
I’m extremely proud of the hard work the Boab team has put into the Sorby Hills DFS and the high-
quality product that has been delivered.
In conjunction with completing the DFS, Boab has been busy preparing for a Final Investment
Decision at Sorby Hills. Primarily, the appointment of tier-1 engineering firm GR Engineering Services
as the preferred EPC contractor, and the subsequent commencement of Front-End Engineering &
Design, has seen the firming up of detailed project designs and the exploration and incorporation
of value-adding and cost-saving initiatives across the Project. The increase in Project size and scope
has necessitated review and amendment of previously received environmental approvals. The
Company is diligently working through these processes, together with the standard set of statutory
permits and approvals required for construction and operations.
Engagement with Financiers continues to be constructive. Similarly, negotiations with selected
Offtakers, concerning the Sorby Hills concentrate, are well advanced with the final award being
subject to exploring opportunities for Offtakers to provide finance to support senior lenders finance.
ANNUAL REPORT FOR THE YEAR ENDED 30 JUNE 2023 PAGE 6
MANAGING DIRECTOR’S
REPORT
Boab’s proud support of the local community continued throughout the period with our ongoing
sponsorship of the renowned Ord Valley Muster held in May 2023. Furthermore, the execution
of a Heads of Agreement with the Shire of Wyndham and East Kimberley for the development
and long-term lease of a new 180-person accommodation facility in Kununurra provides further
evidence of the potential synergies and significant economic opportunities between the Sorby
Hills Project and the East Kimberley community.
Looking forward, I am excited by the opportunity that the coming year brings. Our flagship Sorby
Hills Project is approaching development-ready, and I am confident we will secure the required
funding to bring the project to fruition. Additionally, the recent and very exciting exploration
success at Sorby Hills and the progress made at our Manbarrum and Eight Mile Creek Projects,
offer enormous potential and further our vision to establish a long-life mining hub in the East
Kimberley Region.
I would like to take this opportunity to acknowledge all of our staff and their families for their
continued hard work. I would like to also extend my appreciation to my fellow Board members for
their invaluable guidance over the 2023 financial year.
Lastly, a big thank you to our shareholders, both new and old, for your confidence in Boab Metals.
We look forward to rewarding your continued support over the coming year.
Simon Noon
Managing Director & CEO
BOAB METALS LIMITED PAGE 7
REVIEW OF OPERATIONS
OVERVIEW
During the Financial Year to 30 June 2023, Boab Metals Ltd (“Boab”) has continued to focus on
reaching a Final Investment Decision at its 75% owned Sorby Hills Project (“Sorby Hills” or “the
Project”), located within the Kimberley Region of Western Australia. Sorby Hills is the largest
undeveloped, near-surface Lead-Silver-Zinc deposit in Australia.
Key activities undertaken during the period included:
Completion of the Sorby Hills Definitive Feasibility Study (“DFS”)
• An updated 47.3Mt at 3.1% Pb, 35g/t Ag and 0.4% Zn Mineral Resource Estimate by CSA Global
achieving a 78% increase in Measured Resources;
• Six open-pit deposits delivering a 18.3Mt Production Target underpinned 83% by Ore Reserves,
including a 12% increase in overall Reserves and 53% increase in Proved Ore Reserves versus
the Pre-Feasibility Study;
• 2.25Mtpa conventional crush-grind-flotation Process Plant;
• A$1.0Bn in operating cashflow, A$705M net cash flow, Pre-Tax NPV8 of A$370M, IRR of 35% and
an average annualised EBITDA of A$119M;
• Pre-production Capital Cost of A$245M and C1 cash cost of US$0.39/lb payable Pb (including a
net Silver credit of US$0.38/lb payable Pb) delivering an average operating margin of 41%; and
• High-confidence study with up-to-date tendered pricing for 75% of the Capital Costs.
Preparation for a Final Investment Decision
• Selection of GR Engineering Services (“GRES”) as preferred EPC contractor and the
commencement for Front End Engineering & Design (“FEED”);
• Undertaking Project optimisation workstreams to refine and improve economic outcomes;
•
Implementation of a cost-effective accommodation solution including the purchase of a
second-hand facility to accommodate workers throughout construction and the execution of
a Heads of Agreement with the Shire of Wyndham and East Kimberley with respect to a new
long term facility built in Kununurra;
• Progressing final approvals including securing of an EPA S45c amendment with respect to an
increased Project development area;
• Ongoing engagement and progress with Tier-1 Offtakers and debt Financiers with respect to
securing debt finance to support upfront funding of the Project.
ANNUAL REPORT FOR THE YEAR ENDED 30 JUNE 2023 PAGE 8
REVIEW OF OPERATIONS
Phase VI and Phase VII Drilling Programs
• Phase VI Drilling Program successfully completed with a total of 3,020m drilled across 28
Reverse Circulation (RC) drill holes with mud rotary collars.
o SHRC_157 (Beta): 7m @ 19.17% PbEq, (16.23% Pb & 82g/t Ag) from 72m, including 3m
@ 41.38% PbEq, (35.26% Pb & 174g/t Ag) from 72m.
o SHRC_149 (Norton North): 2m @ 16.64% PbEq, (10.92% Pb & 163g/t Ag) from 103m (hole
terminated in mineralisation).
• Phase VII Drilling Program successfully completed with a total of 2,634m drilled across 22
diamond holes using sonic drilling technology to penetrate the unconsolidated cover rocks.
o
Identification of an exciting new zinc rich mineralisation zone approximately 1-2 km
south of the existing Sorby Hills deposits.
Figure 1: Phase VII Drilling at Sorby Hills Project
BOAB METALS LIMITED PAGE 9
REVIEW OF OPERATIONS
Stakeholder Engagement
• Productive discussions held with the local indigenous group the, Miriuwung Gajerrong people,
to significantly progress the definition of a mutual Benefits Agreement.
• Boab’s proud support of the East Kimberley region continued throughout the period with
ongoing sponsorship of the renowned Ord Valley Muster and Teach Learn Grow tutoring and
mentorship initiative (Figure 2).
Figure 2: Ord Valley Muster 2023 and Simon Noon - Managing Director/CEO with the team at Teach
Learn Grow, East Kimberley.
SORBY HILLS DEFINITIVE FEASIBILITY STUDY
On January 2023, Boab released a DFS on the Project (ASX Announcement 19 January 2023).
The DFS proposed the open-pit mining and processing of 18.3Mt of ore from five of the six deposits,
namely: Omega, A, B, Beta and Norton. Mined ore will be treated via a simple crush-mill-flotation
circuit at an initial rate of 1.5Mtpa expanding to 2.25Mtpa after 1 year of production. Concentrate
produced at the Project will be transported ~150km by road in sealed half-height containers to
Wyndham Port from where it will be shipped to market (Figure 3).
Over the initial 8.5-year processing period contemplated by the DFS, 18.3Mt of ore is to be mined
and processed through the Sorby Hills process plant to deliver an average 103ktpa of concentrate
containing 64ktpa of payable Lead and 2Moz p.a. of payable Silver to generate a pre-tax NPV8 of
A$370M and IRR of 35% (Figure 4). The DFS economics are underpinned by 15.2Mt of Ore Reserves,
and a large, well-defined 47.3Mt Mineral Resource that offers significant potential for low-risk mine
life extensions.
The result demonstrated robust economics (Table 1) and supported the Company’s progress toward
a Final Investment Decision.
ANNUAL REPORT FOR THE YEAR ENDED 30 JUNE 2023 PAGE 10
REVIEW OF OPERATIONS
Figure 3: Location of the Sorby Hills Project relative to Kununurra and route to Wyndham Port.
Figure 4: Highlights of the Sorby Hills Project DFS.
BOAB METALS LIMITED PAGE 11
REVIEW OF OPERATIONS
Table 1: Key Life of Mine Metrics
Item
Physicals
Life of Mine
ROM Mined
Strip Ratio
Processed Tonnes
Lead / Silver Grade
Lead / Silver Recovery
Concentrate Produced
Avg Lead / Silver Grade
Payable Lead
Payable Sliver
Cash Flow
Gross Revenue
Selling Costs
Operating Costs
Net Operating Cash Flow
Pre-Production Capital
Sustaining Capex & Closure
Net Project Cash Flow
Value Metrics
Pre-Tax NPV8
Pre-Tax IRR
Average Annual EBITDA
Unit
Years
‘000 t
Waste : Ore (t:t)
‘000 t
%, g/t
%
‘000 dmt
%, g/t
‘000 t
‘000 oz
A$M
A$M
A$M
A$M
A$M
A$M
A$M
A$M
%
A$M
Value
8.5
18,263
7.5
18,263
3.4, 39
91%, 82%
872
65.5, 666.5
543
17,232
2,481
(285)
(1,191)
1,005
(245)
(55)
705
370
35%
119
Macroeconomic assumptions for Lead, Silver and FX were based on the forward curves extracted from
Bloomberg on 16 January 2023.
ANNUAL REPORT FOR THE YEAR ENDED 30 JUNE 2023 PAGE 12
REVIEW OF OPERATIONS
PREPARATION FOR A FINAL INVESTMENT DECISION
Front End Engineering & Design
Following the selection of GRES as the preferred EPC Contractor for the Sorby Hills Project (ASX
Announcement 21 November 2022) and the subsequent execution of an Engineering & Services
Agreement (ASX Announcement 13 March 2023), Boab and GRES focused on FEED workstreams in
preparation for EPC contract award.
The output resulted in a refined process plant design and the issue of tender packages for long-lead
items. Furthermore, the optimised site layout (Figure 5) has allowed for an amended bulk earthworks
design to be undertaken by Coffey, and subsequently, a re-estimate of materials quantities that will
form the basis of updated tenders for the Early Earth Works program.
Figure 5: 3D Model of the Sorby Hills Process Plant layout looking northward from the ROM Pad toward
the processing facilities and administration buildings.
Project Optimisation
Mining Schedule and Tailings Strategy Update
The Sorby Hills DFS tailings strategy incorporated both above-ground tailings storage within an
integrated waste landform (“IWL”) and in-pit tailings deposition in the B and Omega South pits.
Subsequent to the DFS, Boab has determined that the initial footprint of the IWL is sufficient to support
additional raises that will provide capacity for approximately 6 years of above-ground tailings storage.
BOAB METALS LIMITED PAGE 13
REVIEW OF OPERATIONS
The changed strategy allows for the lower grades of the Omega South pit (which was to be completed
and used for tailings deposition from Year 5) to be replaced by higher grades of the Omega and
Norton pits in the mining schedule, thus bringing forward metal production and revenue.
Rationalisation of Contract Packages
The updated mining schedule and tailings strategy has provided Boab with the opportunity to
explore a rationalisation of contract packages, including the bundling of the mining contract with
bulk earthworks activities. Boab has worked closely with contractors who have previously tendered
for the mining and bulk earthworks packages to help them refine their pricing based on the updated
schedule and the bundled contract.
Power Supply Initiatives
Boab has executed a Heads of Agreement with Horizon Power to provide a power solution for the
Sorby Hills Project that is underpinned by green energy from the Ord River Hydroelectric Power
Plant (ASX Announcement 22 April 2022). Whilst the availability of power from the hydroelectric
plant is expected to be more than 90%, the DFS conservatively included 100% redundancy in the
form of a 12MW diesel-fuelled back-up power plant located on-site.
In consultation with GRES and Horizon Power, Boab is working towards an optimised solution
whereby the need for diesel power redundancy is both reduced and potentially replaced by an
alternate power source such as an on-site solar farm. A positive outcome would further enhance
the clean energy credentials of the Sorby Hills Project, lower operating costs and reduces exposure
to fluctuations in the price of diesel.
Concentrate Logistics
GHD completed a road safety assessment for the Sorby Hills Project. The final report will be used
in the application for concessional loading made to Main Roads Western Australia. A successful
concessional loading application would result in improved haulage costs from the mine site to
Wyndham Port.
Cost Effective Accommodation Solution
Kununurra Accommodation Facility
Boab has executed a Heads of Agreement with the Shire of Wyndham and East Kimberley (“SWEK”)
for the construction and long-term lease of a new 180 person accommodation facility within
Kununurra (ASX Announcement 19 July 2023).
ANNUAL REPORT FOR THE YEAR ENDED 30 JUNE 2023 PAGE 14
REVIEW OF OPERATIONS
Under the terms of the agreement, Boab will secure a 10-year lease of the new facility in return
for funding pre-construction work including approvals workstreams and conceptual designs. Pre-
construction workstreams funded by SMPL will be rebated against lease fees. SWEK will fund and
oversee detailed design and construction of the facility.
Construction Camp
During the period, a 178 room camp was acquired for a total purchase price of A$1.29 million, staged
in two tranches: A$259,000 deposit paid upfront, and A$1.04 million balance paid in Q4 2022 (ASX
Announcement 15 September 2022). The acquisition represented a significant saving to the Project
relative to a new camp bought outright or via a lease finance arrangement.
The camp was transported to site during Q4 2022 and will be utilised throughout the project
construction phase to house project employees and contractors.
Approvals
As part of the Sorby Hills DFS and ongoing project execution workstreams, Boab has sought two
sets of amendments to the Project original EPA Approval received in 2014. The amendments
primarily relate to changes in the “development area” and refinement of the water management
strategy within the tenements. The first of these amendments was approved in July 2022 (ASX
Announcement 1 July 2022). The second amendment process is nearing completion, with updated
water balance modelling from GHD and independent third-party engineering reports from tailings
and water storage specialist Red Earth Engineering supporting the application.
In light of the EPA amendments, and other design changes to the process plant and site layout,
Boab re-referred the Project to the Department of Climate Change, Energy, the Environment and
Water (“DCCEEW”) under the Environmental Protection and Biodiversity Conservation Act (“EPBC”).
Sorby Hills was previously approved under the EPBC Act in 2013. Self-assessment by Boab utilising
the ‘Protected Matters Search Tool’ has been completed on the DCCEEW website and identified no
new potential impacts from the proposed operations, outside those that were assessed previously.
In addition to the key approvals above, the Company continued to advance other permits and
approvals related to construction and operations including EPA Part V Works Approval, Mining
Proposal, Water Extraction Licence and Mining Operational Notification.
Engagement with Financiers and Offtakers
Following the conclusion of the DFS, Boab continued to progress constructive discussions with
potential financiers of the Sorby Hills Project. In parallel, the lender’s Independent Technical Expert
completed its review of the Project.
Negotiation of offtake terms with multiple Tier-1 counterparties is substantially complete. Boab
is now exploring options for offtaker financing with these groups, to work in tandem with senior
secured debt.
BOAB METALS LIMITED PAGE 15
REVIEW OF OPERATIONS
PHASE VI AND PHASE VII DRILLING PROGRAMS
During the financial year, Boab completed a Phase VI drilling program and commenced a Phase VII
drilling program at Sorby Hills.
Phase VI Drilling Program
The Phase VI drilling program comprised a total 3,020m drilled across 28 RC holes, including some
that were pre-collared by mud rotary drilling and completed with RC drilling (Figure 6). The primary
objective of the program was to facilitate an increase in the portion of the Beta and the Norton
Deposits classified as Ore Reserves (ASX Announcement 23 January 2023).
Positive drilling results from the Phase VI program include:
• SHRC_157 (Beta): 7m @ 19.17% PbEq, (16.23% Pb & 82g/t Ag) from 72m
o
Incl. 3m @ 41.38% PbEq, (35.26% Pb & 174g/t Ag) from 72m.
• SHRC_136 (Beta): 20m @ 7.39% PbEq, (5.58% Pb & 52g/t Ag) from 65m
o
Incl. 8m@ 13.86% PbEq, (10.49% Pb & 96g/t Ag) from 77m.
• SHRC_151 (Beta): 5m @ 5.13% PbEq, (3.70% Pb & 41g/t Ag) from 45m.
• SHRC_163 (Beta): 13m @ 2.90% PbEq, (2.26% Pb & 18g/t Ag) from 49m.
• SHRC_149 (Norton N): 2m @ 16.64% PbEq, (10.92% Pb & 163g/t Ag) from 103m (terminated in
mineralisation).
• SHRC_147 (Norton N): 11m @ 5.74% PbEq, (3.84% Pb & 54g/t Ag) from 86m.
• SHRC_143 (Norton N): 13m @ 4.06% PbEq, (2.82% Pb & 35g/t Ag) from 95m.
o
Incl. 5m @ 5.35% PbEq, (3.91% Pb & 41g/t Ag) from 95m.
Drilling results from the Beta Deposit further confirmed the revised mineralisation model for the
deposit and opened the prospect for further mineralisation extensions (Figure 7). Drilling results
in the northeast portion of the Norton Deposit increased the confidence level in the continuity of
high-grade mineralisation beyond the current pit designs (Figure 8). Overall, the Phase VI program
delivered positive results in key locations for future Resources and Reserves growth.
ANNUAL REPORT FOR THE YEAR ENDED 30 JUNE 2023 PAGE 16
REVIEW OF OPERATIONS
Figure 6: Phase VI drill hole locations overlain on the 2021 Mineral Resource surface projections. Selected
intercepts mentioned in the highlights are shown as PbEq.
BOAB METALS LIMITED PAGE 17
REVIEW OF OPERATIONS
Figure 7: Beta Cross Section trending NNE with incorporation of Phase VI intercepts and reinterpreted
outline of the mineral resource envelopes.
Figure 8: Norton Cross Section trending NE showing the position of Phase VI drill holes, intercepts and
reinterpreted outline of the Mineral Resource envelopes.
ANNUAL REPORT FOR THE YEAR ENDED 30 JUNE 2023 PAGE 18
REVIEW OF OPERATIONS
Phase VII Drilling Program
The Phase VII drilling program was launched in June 2023 with the objective of increasing the size
of the Norton deposit Reserve base via:
• additional metallurgical testwork to potentially improve conservative metal recoveries
adopted in the Sorby Hills Definitive Feasibility Study; and
•
testing extensions to the Norton deposit mineralisation adjacent to the current open pit
design, including that identified in SHMR_149 which was stopped in high grade mineralisation
(2m @ 10.9%Pb) due to technical issues with the drill rig.
The program was successfully completed in August 2023 with a total of 22 holes drilled for 2,634 m
(24% more than originally planned) including an additional hole at Beta and a further exploration
hole drilled at the recently identified Keep Seismic Target (Figure 9).
Figure 9: Plan view of the Sorby Hills Project showing the locations of Phase VII drill holes.
BOAB METALS LIMITED PAGE 19
REVIEW OF OPERATIONS
Mineralisation observed in drill holes at Norton and Beta was consistent with the current geological
model and with the objectives of the program.
Significantly, new sphalerite (Zinc) and galena (Lead) massive-sulphide mineralisation was
intersected in hole SHSD_185 drilled at the Keep Seismic Target (Figures 8, 9 and 10).
The upper interval of mineralisation was intersected at the base of the impermeable Milligan’s Shales
which is part of the Middle Carboniferous sediments, from a down-hole depth of 82.5 m for about
5.5 m. It consists of disseminated and thin bands of massive sulphide filled veins of galena (PbS),
marcasite (FeS) and sphalerite (ZnS) immediately below the shale. This stratigraphic position is the
main host of the Sandy Creek zinc deposit at Boab’s Manbarrum project located on the eastern side
of the Burt Range Trough in the Northern Territory.
The lower mineralisation interval – the principal target – was intersected from 242.5 metres over
an interval length of about 15 metres with intermittent intervals of massive colloform sulphides
dominated by sphalerite and disseminated coarse crystalline galena (Figure 11) with the lowermost
massive sphalerite bed located at 266.2 m.
While the intersected mineralisation is predominantly of a stratabound, replacement-type nature
it centres around a fault breccia at a depth of ~ 251.3 m which shows evidence of zinc and lead
sulphide mineralisation.
Boab is of the view that the initial result at the Keep Seismic Target is a major exploration success
demonstrating not only proof of concept but more importantly the potential of the Burt Range
Basin to host significantly more base metal mineralisation.
Assays for the Phase VII drilling program are expected to be received early in the December quarter
of 2023.
Figure 10: Geological interpretation of SHSD_185 and seismic line WP_96-08.
ANNUAL REPORT FOR THE YEAR ENDED 30 JUNE 2023 PAGE 20
REVIEW OF OPERATIONS
galena > sphalerite
sphalerite > galena
sphalerite > galena
Figure 11: Photograph of drill core interval 244.6 m to 248.04 m showing massive sphalerite + galena
mineralisation intervals.
Figure 12: Close up photograph of drill core interval 245.3 m to 246.1 m showing colloform massive
sulphides (low-iron sphalerite = cream coloured & galena = blue grey)
BOAB METALS LIMITED PAGE 21
ANNUAL REPORT FOR THE YEAR ENDED 30 JUNE 2023 PAGE 22
BOAB METALS LIMITED
FINANCIAL
STATEMENTS
23
39
40
41
42
43
44
76
77
81
DIRECTORS’ REPORT
AUDITORS’ INDEPENDENCE DECLARATION
CONSOLIDATED SATEMENT OF PROFIT OR LOSS AND
OTHER COMPREHENSIVE INCOME
CONSOLIDATED STATEMENT OF FINANCIAL POSITION
CONSOLIDATED STATEMENT OF CHANGES IN EQUITY
CONSOLIDATED STATEMENT OF CASH FLOWS
NOTES TO THE FINANCIAL STATEMENTS
DIRECTORS’ DECLARATION
INDEPENDENT AUDITOR’S REPORT
SHAREHOLDER INFORMATION
BOAB METALS LIMITED PAGE 23
DIRECTORS’ REPORT
FINANCIAL AND OPERATING REVIEW
FINANCIAL REVIEW
The Group began the financial year with a cash reserve of $6,317,527. During the year, total
exploration expenditure incurred by the Group amounted to $4,185,218 (2022: $4,436,892). In line
with the Group’s accounting policies, all exploration expenditure incurred in the ordinary course of
operations was expensed. The result for the year was an operating loss after income tax of $5,904,209
(2022: $6,804,523). As at 30 June 2023, available cash funds totalled $4,578,654 (2022: $6,317,527).
OPERATING RESULTS
Summarised operating results for the year are as follows:
Geographic Segments
2023
Revenues
$
Results
$
Australia
Revenues and (loss) from ordinary activities before income tax expense
298,865
(5,887,346)
Colombia
Revenues and profit from ordinary activities before income tax expense
-
(16,863)
Revenue/(Loss before income tax)
298,865 (5,904,209)
Shareholder Returns
Basic Loss per share (cents per share)
2023
2022
3.((3.58)
3(4.4(4.44)
SIGNIFICANT CHANGES IN THE STATE OF AFFAIRS
During the year there were no significant changes in the state of affairs of the Group other than as
disclosed in this report.
ANNUAL REPORT FOR THE YEAR ENDED 30 JUNE 2023 PAGE 24
DIRECTORS’ REPORT
MATTERS SUBSEQUENT TO THE END OF THE FINANCIAL YEAR
Boab Metals Limited has executed a Heads of Agreement with the Shire of Wyndham and East
Kimberley (SWEK) for the construction and long term lease of a new 180-person accommodation
facility within Kununurra, 50Km from its 75% owned Sorby Hills Lead-Silver-Zinc project located in
the Kimberley Region of Western Australia.
Under the HOA, Boab will fund pre-construction work including approvals, workstreams and conceptual
design in return for securing a 10-year lease for the facility with an option to extend for a further 5 years.
Boab’s pre-construction costs will be rebated against leasing costs.
SWEK will fund and oversee detailed design and construction of the facility.
There were no matters subsequent to the end of the financial year that materially affected the
financial accounts and required separate disclosure.
LIKELY DEVELOPMENTS AND EXPECTED RESULTS
The Group will continue exploration and development activities and to assess commercial
opportunities for corporate growth, including the acquisition of interests in projects, as they arise.
Due to the unpredictable nature of these opportunities, developments may occur at short notice.
ENVIRONMENTAL REGULATION AND PERFORMANCE
The Group is subject to substantial environmental regulation regarding its exploration activities. The
Group endeavours to maintain an appropriate standard of environmental care through awareness
of, and compliance with, new and existing environmental legislation. The Directors are not aware of
any breach of environmental legislation for the year under review.
RISK MANAGEMENT
The Board is responsible for ensuring that risks and opportunities are identified on a timely basis
and that activities are aligned with these. At this stage of the Company’s development the Board
has not established a separate risk management committee under the belief that it is crucial for all
Board members to be a part of this process. The Board has several mechanisms in place to ensure
that managements’ objectives are aligned with Board identified risks. Mechanisms include board
approval of a strategic plan (designed to meet stakeholders’ needs and reduce business risk), and
Board approved operating plans and budgets (with progress monitored by the Board).
Financial Risks
The Group’s activities expose it to a variety of financial risks: market risk (including foreign
currency risk, price risk and interest rate risk), credit risk and liquidity risk. The Group’s overall risk
management program focuses on the unpredictability of financial markets and seeks to minimise
potential adverse effects on the financial performance of the Group.
Various methods are used to measure risks to which the Group is exposed, including sensitivity
analysis for interest rate, foreign exchange and other price risks, and ageing analysis for credit risk.
Risk management is carried out by the accounting team under Board approved policies covering
identification and analysis of risk exposure, risk limits, and appropriate procedures and controls.
Reporting is provided to the Board.
BOAB METALS LIMITED
PAGE 25
DIRECTORS’ REPORT
RISK MANAGEMENT (CONTINUED)
Environmental Risks
The Company’s operations and activities are subject to the environmental laws of Australia and any
other places the Company may conduct business. As with most exploration projects, the Company’s
operations and activities are expected to have an impact on the environment, particularly if advanced
exploration or mine development proceeds. The Company attempts to conduct its operations
and activities to the highest standard of environmental obligation, including compliance with all
environmental laws and regulations.
Further, the Company is unable to predict the effect of additional environmental laws and regulations
which may be adopted in the future, including whether any such laws or regulations would
materially increase the Company’s cost of doing business or affect its operations in any area. There
can be no assurances that new environmental laws, regulations or stricter enforcement policies,
once implemented, will not oblige the Company to incur expenses and undertake investments
which could have a material adverse effect on the Company’s operations, financial position and
performance.
Regulatory Social License Risks
Exploration and prospective production are dependent upon the granting and maintenance
of appropriate licences, permits and regulatory consents and authorisations, which may not be
granted or may be withdrawn or by made subject to limitations at the discretion of government or
regulatory authorities. Although the authorisations may be renewed following expiry or grant (as
the case may be), there can be no assurance that such authorisations will be continued, renewed
or granted, or as to the terms of renewals or grants. If the Company cannot obtain or retain the
appropriate authorisations or there is a material delay in obtaining or renewing them or they are
granted subject to onerous conditions, then the Company’s ability to conduct its exploration or
development operations may be affected.
Corporate Governance Risks
The Directors support and adhere to the principles of corporate governance in order to mitigate
and safeguard any potential risks in this area, recognising the need for the highest standard of
corporate behaviour and accountability. The Directors are focused on fulfilling their responsibilities
individually, and as a Board, for the benefit of all Company stakeholders. That involves recognition
of, and a need to adopt, principles of good corporate governance. The Board supports the guidelines
on the ‘Principles of Good Corporate Governance and Recommendations – 4th Edition’ established
by the ASX Corporate Governance Council. Given the size and structure of the Group, the nature of its
business activities, the stage of its development and the cost of strict and detailed compliance with
all of the recommendations, it has adopted a range of modified systems, procedures and practices
which enable it to meet the principles of good corporate governance. The Groups’ practices are
consistent with the guidelines and where these do not directly relate to the recommendations in the
guidelines the Group considers that its adopted practices are appropriate. Corporate Governance
policies can be found on the Company website.
ANNUAL REPORT FOR THE YEAR ENDED 30 JUNE 2023 PAGE 26
DIRECTORS’ REPORT
INSURANCE OF DIRECTORS AND OFFICERS
During the financial year, the Group has paid an insurance premium in respect of a Directors’ and
Officers’ Liability insurance contract. The insurance premium relates to liabilities that may arise
from an officer’s position, except for conduct involving a wilful breach of duty or improper use
of information or position to gain personal advantage. The contract of insurance prohibits the
disclosure of the nature of the liabilities and the amount of premium.
DIRECTORS MEETINGS
The following table sets out the number of directors’ meetings held during the financial year and
the number of meetings attended by each director while they held the position. During the financial
year, 6 board meetings were held (2022: 5).
Directors
Eligible
Attended
Board of Directors
Gary Comb
Simon Noon
Richard Monti
Andrew Parker
6
6
6
6
6
6
6
6
INFORMATION ON DIRECTORS
GARY COMB BE(Mech), BSc, Dip Ed.
Chairman
Gary was appointed 9 March 2020. Gary is an engineer with over 30 years’ experience in the
Australian mining industry, with a strong track record in successfully commissioning and operating
base metal mines. He was Chairman of Flinders Resources Limited from 2013 until its takeover in
2018. Mr Comb was previously the Managing Director of Jabiru Metals Limited and the CEO of BGC
Contracting Pty Ltd.
Interests in Shares, Options and Performance Rights
680,237 Ordinary Shares.
600,000 Class “B” Unlisted Performance Rights
800,000 Class “C” Unlisted Performance Rights
Other Directorships in Listed Entities in the past three years
Cyprium Metals Limited.
BOAB METALS LIMITED
PAGE 27
DIRECTORS’ REPORT
INFORMATION ON DIRECTORS (CONTINUED)
SIMON NOON MAICD, FAIM
Managing Director & CEO
Simon was appointed 19 October 2013. Simon is an experienced mining executive having spent the
past 15 years managing Public Resources Companies. Simon has a strong background in strategic
management, business planning, finance and capital raising across a variety of commodities.
Simon’s experience includes managing Groote Resources Ltd from a Market Cap under $10M to
market highs in excess of $200M. After leaving Groote, Simon co-founded West Rock Resources Ltd
where he held the position of Managing Director until the company was acquired by Boab Metals
Ltd in 2013. As Managing Director of West Rock, Simon secured and operated joint ventures and
strategic alliances with mid and top tier miners.
Since his appointment in 2013, Simon has managed the Company’s exploration and evaluation of
a range of projects across Australia and South America. Most notably, Simon led the Company’s
transformative acquisition of Sorby Hills in Western Australia in 2018.
Over the past 4 years, Simon has overseen the rapid development of Sorby Hills including a 50%
increase in the size of the Mineral Resource and the delivery of a high-quality Pre-Feasibility Study
and Definitive Study detailing the Project’s low risk and robust economics.
Simon is a passionate member of the WA resources industry, a member of the Australian Institute
of Company Directors and an Associate Fellow of the Australian Institute of Management.
Interests in Shares, Options and Performance Rights
2,362,000 Ordinary Shares
2,000,000 Class “B” Unlisted Performance Rights
2,400,000 Class “C” Unlisted Performance Rights
Other Directorships in Listed Entities in the past three Years - Nil
ANNUAL REPORT FOR THE YEAR ENDED 30 JUNE 2023 PAGE 28
DIRECTORS’ REPORT
INFORMATION ON DIRECTORS (CONTINUED)
RICHARD MONTI BSc (Hons), Grad Dip AppFin., MAusIMM
Non-Executive Director
Richard was appointed 12 October 2009 and resigned as Non-Executive Chairman on 6 March
2020, from this date Richard assumed the role of Non-Executive Director. Richard is a geologist
with a successful career of over thirty years in the international mineral resource industry resulting
in broad industry knowledge and strong strategic planning capabilities. Richard has over sixty-
three director-years’ experience on sixteen ASX and TSX listed mining and exploration companies
from micro-caps through to mid-size miners and has built and managed teams of up to seventy
personnel. Richard was principal of a corporate advisory firm, Ventnor Capital, from 2005 to 2010
and is currently principal of Terracognita which supplies advice to resource industry companies.
Interests in Shares, Options and Performance Rights
1,404,982 Ordinary Shares.
400,000 Class “B” Unlisted Performance Rights
500,000 Class “C” Unlisted Performance Rights
Other Directorships in Listed Entities in the past three years
Zinc of Ireland NL, Black Dragon Gold, Alto Metals Limited and Caravel Minerals Limited.
ANDREW PARKER LLB
Non-Executive Director
Andrew was appointed on 12 October 2009, and holds a law degree from the University of Western
Australia and has significant experience in the exploration and mining industry and a wealth of
expertise in corporate advisory, strategic consultancy, and capital raisings. Before joining Boab, he
co-founded Trident Capital Pty Ltd, a corporate advisory and venture capital firm where he held the
position of Managing Director until 2008. Andrew is also the Non-Executive Chairman of ASX listed
Widgie Nickel Limited.
Interests in Shares, Options and Performance Rights
369,005 Ordinary Shares.
400,000 Class “B” Unlisted Performance Rights
500,000 Class “C” Unlisted Performance Rights
Other Directorships in Listed Entities in the past three years
Widgie Nickel Limited.
JERRY MONZU FGIA, CPA, Bbus
Company Secretary
Jerry is a corporate executive with over 25 years’ experience in corporate governance, finance and
accounting across various industry sectors with Australia and globally, acting as Company Secretary,
Chief Financial Officer and Non-Executive Director of several private and listed ASX, JSE and AIM
companies throughout his career.
BOAB METALS LIMITED PAGE 29
DIRECTORS’ REPORT
REMUNERATION REPORT - AUDITED
Our remuneration report is set out under the following main headings:
PRINCIPLES USED TO DETERMINE THE NATURE AND AMOUNT OF REMUNERATION;
DETAILS OF REMUNERATION;
SERVICE AGREEMENTS;
SHARE-BASED COMPENSATION; and
ADDITIONAL INFORMATION.
The information provided under headings A-E includes disclosures that are required under
Accounting Standard AASB 124 Related Party Disclosures. These disclosures have been transferred
from the financial report and have been audited.
A. PRINCIPLES USED TO DETERMINE THE NATURE AND AMOUNT OF REMUNERATION
Remuneration Policy
The remuneration policy of the Group aligns Directors and Executives 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 believes the
policy is appropriate and effective in its ability to attract and retain high calibre Executives and
Directors.
The Board’s policy for determining the nature and amount of remuneration for Directors and
Executives of the Group is as follows:
• All Executives receive a base salary (based on factors such as experience) plus statutory
superannuation.
• The Board reviews Executive packages with reference to the Group’s performance, Executive
performance and information from relevant industry sectors and comparable listed companies.
Independent external advice is sought where required.
• The Board may exercise discretion in relation to approving incentives, bonuses, and the issue
of options.
• All remuneration paid to Directors and Executives is valued at the cost to the Group and
expensed.
The maximum aggregate amount of fees that can be paid to Non-Executive Directors is subject to
approval by shareholders at the Annual General Meeting (currently $300,000). Director fees are not
linked to the performance of the Group however, to align Director and shareholder interests, the
Directors are encouraged to hold Company shares.
ANNUAL REPORT FOR THE YEAR ENDED 30 JUNE 2023
PAGE 30
DIRECTORS’ REPORT
REMUNERATION REPORT - AUDITED (CONTINUED)
Performance Based Remuneration
The Group has issued performance rights which form part of the Directors and Executive
remuneration packages. These performance rights have various vesting conditions based on market
and operational hurdles being met.
Group Performance, Shareholder Wealth and Directors’ and Executives’ Remuneration
The Group’s remuneration policy encourages the alignment of personal and shareholder interests
through the issue of options to Directors and Executives. The Board believes this policy is effective
in increasing shareholder wealth. The Group currently benchmarks remuneration paid against
other peer group companies and the Board acts in its capacity as the Remuneration Committee in
assessing Executive remuneration. The Company did not use any external remuneration consultants
in the financial year.
Voting and comments on the Remuneration Report at the 2022 Annual General Meeting
At the Company’s 2022 Annual General Meeting (“AGM”), a resolution to adopt the 2022 remuneration
report was put to a vote and passed unanimously on a show of hands with proxies received also
indicating majority. 79.15% of validly appointed proxies were in favour of adopting the remuneration
report. No comments were made on the remuneration report at the AGM.
B. DETAILS OF REMUNERATION
Details of the remuneration of the Directors and Key Management Personnel as defined in AASB
124 Related Party Disclosures of the Group are set out in the following table. Given the size and
nature of operations of the Group, no other employees are required to have their remuneration
disclosed in accordance with the Corporations Act 2001.
BOAB METALS LIMITED PAGE 31
DIRECTORS’ REPORT
REMUNERATION REPORT - AUDITED (CONTINUED)
Director
Salary &
Fees
Non-
Monetary
(1,2)
Super-
annuation
Shares issued
on achieve-
ment of
Performance
Rights
Milestone
Options/
Performance
Rights
Total
Proportion of
remuneration
performance
related
$
$
$
$
$
$
%
G. Comb
2023
2022
S. Noon
2023
2022
R. Monti
2023
2022
A. Parker
P. Hewitt
2023
2022
D. English
2023
2022
Totals
2023
2022
2023
2022
48,000
48,000
48,000
48,000
98,462
-
-
100,000
100,000
-
-
10,500
11,187
21,000
54,730
186,230
-
(11,778)
99,409
332,308
9,743
27,500
84,000
190,010
643,561
320,000
24,963
27,500
-
(55,340)
317,123
-
-
-
-
-
-
-
5,040
4,800
5,040
4,800
10,338
-
-
14,000
35,684
102,724
-
(11,529)
41,271
14,000
35,684
102,724
(9,223)
43,577
-
-
-
-
-
53,584
162,384
33%
-
-
-
-
(9,340)
199,863
199,480
(9,581)
19,304
41%
-
43%
-
48%
-
48%
-
-
-
-
-
-
626,770
9,743
58,418
133,000
369,692
1,197,623
715,480
15,382
67,591
-
(97,210)
701,243
1 Relates to the movement in leave provisions for the period.
2 (See Note 28).
No retirement benefits are payable post-employment under the Group’s executive services agreements.
ANNUAL REPORT FOR THE YEAR ENDED 30 JUNE 2023
PAGE 32
DIRECTORS’ REPORT
REMUNERATION REPORT - AUDITED (CONTINUED)
C. SERVICE AGREEMENTS
Material terms of the Executives service agreements are as follows:
Gary Comb – Chairman
• Remuneration payable of $100,000 per annum plus statutory superannuation;
• The right to participate in the Company’s Employee Share Incentive Plan as approved by the
Board; and
• The right to resign with no formal resignation period.
Simon Noon - Managing Director
• Remuneration payable of $320,000 per annum plus statutory superannuation;
• Either party may terminate the agreement without cause on three months’ written notice;
• The right to participate in the Company’s Employee Share Incentive Plan as approved by the
Board; and
• The Managing Director will not be paid a separate Director’s fee for service to the Board.
Richard Monti - Non-Executive Director
• Remuneration payable of $48,000 per annum plus statutory superannuation;
• The right to participate in the Company’s Employee Share Incentive Plan as approved by the
Board; and
• The right to resign with no formal resignation period.
Andrew Parker - Non-Executive Director
• Remuneration payable of $48,000 per annum plus statutory superannuation;
• The right to participate in the Company’s Employee Share Incentive Plan as approved by the
Board; and
• The right to resign with no formal resignation period.
Paul Hewitt – Director of Operations
• Remuneration payable of $320,000 per annum plus statutory superannuation;
• The right to participate in the Company’s Employee Share Incentive Plan as approved by the
Board; and
• The right to resign with a two-month notice period.
D. SHARE-BASED COMPENSATION
During the year Performance Rights of 760,000 were converted to shares and issued to Directors as
an additional compensation (2022: Nil Performance Rights).
BOAB METALS LIMITED PAGE 33
DIRECTORS’ REPORT
REMUNERATION REPORT - AUDITED
D. SHARE-BASED COMPENSATION (CONTINUED)
Performance Income as a Proportion of Total Compensation
There were no cash performance based bonuses paid during the year (2022: Nil). During the FY23,
the Group issued Performance rights Class A, B and C to Key management personnel as disclosed
below. On 24 January 2023 760,000 Class “A” Performance Rights converted into Ordinary Shares
upon the successful completion of the Definitive Feasibility Study, the charge to the Profit and Loss
for these securities was $133,000.
E. ADDITIONAL INFORMATION
Movements in Shares
Movement in the number of ordinary shares in the Company held (directly, indirectly or beneficially)
by each Director and Key Management Personnel, including their related parties, is shown below.
There were 760,000 shares issued as part of Director remuneration during the year (2022: Nil).
KMP
G Comb
R. Monti
S. Noon
A. Parker
P. Hewitt(3)
KMP
G. Comb
R. Monti
S. Noon
A. Parker
Held at 1 July 2022
Movement(4)
Held at 30 June 2023
560,237
120,000
1,324,982
1,882,000
369,005
-
80,000
480,000
80,000
-
680,237
1,404,982
2,362,000
449,005
-
4,136,224
760,000
4,896,224
Held at 1 July 2021
Movement
Held at 30 June 2022
560,237
1,324,982
1,817,119
369,005
-
-
560,237
1,324,982
64,881(1)
1,882,000
-
-
369,005
-
D. English(2)
-
4,017,343
64,881
4,136,224
(1) Movement relates to shares purchased on market.
(2) David English resigned on 6 January 2022, no shares were held by Mr English either directly or beneficially
as at his resignation date.
(3) Paul Hewitt was appointed to the position of Project Director on 13 March 2023, no shares were held by
Mr Hewitt either directly or beneficially as at the date of this report.
(4) Movement is represented by the conversion of Class “A” Performance Rights. These Performance
Rights were approved by Shareholders at the Annual General Meeting of the Company held in
October 2022 and converted into Ordinary Shares upon the successful completion of the Definitive
Feasibility Study.
ANNUAL REPORT FOR THE YEAR ENDED 30 JUNE 2023 PAGE 34
DIRECTORS’ REPORT
REMUNERATION REPORT - AUDITED (CONTINUED)
Movement in Options
There were no KMP options on issue during the financial year ended 30 June 2023 (2022 : Nil)
Movements in Performance Rights
Movement in the number of Performance Rights in the Company held (directly, indirectly or
beneficially) by Directors and Key Management Personnel, including their related parties, during
the reporting period is as follows:
KMP
Held at 1 July
2022
Issued during
the period
Cancelled
during the
period
Converted
into Ordinary
shares(4)
Held at 30
June 2023
Vested at 30
June 2023
G. Comb
160,000
1,520,000(1)
(160,000)(3)
(120,000)
1,400,000
R. Monti
S. Noon
A. Parker
P. Hewitt
-
-
-
-
980,000(1)
4,880,000(1)
980,000(1)
700,000(2)
-
-
-
-
(80,000)
900,000
(480,000)
4,400,000
(80,000)
900,000
-
700,000
160,000
9,060,000
(160,000)
(760,000)
8,300,000
-
-
-
-
-
-
(1) Class A, B and C Performance Rights issued to Directors of the Company with Shareholder Approval
obtained at the Annual General Meeting of the Company held on 20 October 2022, these
Performance Rights have a zero exercise price, various vesting conditions and convert into 1 Ordinary
Share per Performance Right.
(2) Paul Hewitt was appointed to the position of Project Director on 13 March 2023, these Performance
rights were issued by the Board of the Company under the Company’s Employee Securities Incentive
Plan, they have non market vesting conditions a zero exercise price and convert into 1 Ordinary Share
per Performance Right.
(3) Per the conditions of the new Performance Rights Class A, B and C issued under Shareholder
Approval these original class “D” Performance rights were cancelled on 25 October 2022.
(4) Class “A” Performance Rights converted into Ordinary Shares upon the successful completion of the
Definitive Feasibility Study.
BOAB METALS LIMITED
PAGE 35
DIRECTORS’ REPORT
REMUNERATION REPORT - AUDITED
MOVEMENTS IN PERFORMANCE RIGHTS (CONTINUED)
KMP
G. Comb
R. Monti
S. Noon
A. Parker
Held at 1 July 2021
Other Changes
Held at 30 June
2022
Vested at 30 June
2022
420,000
(260,000)(1)
160,000
-
200,000
(200,000)(1)
960,000
(960,000)(1)
160,000
(160,000)(1)
-
-
-
-
-
-
-
-
D. English(2)
280,000
(280,000)(2)
2,020,000
(1,860,000)
160,000
-
(1)
These Performance Rights were converted into Ordinary Shares in the 2022 financial year as the
attaching Performance Milestones were met.
(2) Mr English resigned on 6 January 2022 and held 280,000 Performance Rights up to the date of his
resignation, these Performance Rights were cancelled on his resignation.
Performance Rights
9,060,000 Performance Rights were granted during the year to Directors and Key Management
Personnel (2022: Nil). During the year 160,000 Class “D” Performance Rights were cancelled per the
terms of the Shareholder Approval obtained at the Annual General Meeting of the Company held
on 20 October 2022. 760,000 Class “A” Performance Rights were converted into Ordinary Shares in
the Company upon the achievement of a milestone.
The Performance Rights will, if not vested, lapse on 25 October, 2027.
Performance rights will be automatically exercisable when the performance hurdle has been
achieved. Each performance right which vests will entitle the holder to be issued one share in the
Company.
On 22 February 2023, the Company granted 700,000 performance rights to Mr. Paul Hewitt (Project
Director) as part of the Employee Securities Incentive Plan (ESIP). The performance rights will vest
upon the successful achievement of the financial investment decision (FID). Given the non-market
based vesting condition the fair value per right was determined to be the share price on grant date
of $0.22. The performance rights expire 12 months from issue date.
ANNUAL REPORT FOR THE YEAR ENDED 30 JUNE 2023
PAGE 36
DIRECTORS’ REPORT
REMUNERATION REPORT - AUDITED (CONTINUED)
Performance Rights Valuation
Class A Performance
Rights
Class B Performance
Rights
Class C Performance
Rights
Methodology
Monte Carlo
Monte Carlo
Monte Carlo
Iterations
Grant date
Expiry date
760,000
3,400,000
4,200,000
20 October 2022
20 October 2022
20 October 2022
25 October 2027
25 October 2027
25 October 2027
Share price at grant date ($)
Exercise price ($)
VWAP hurdle ($)
Risk-free rate (%)
Volatility (%)
Dividend yield (%)
0.175
nil
0.50
3.701
100
nil
0.175
nil
0.60
3.701
100
nil
0.175
nil
0.70
3.701
100
nil
Fair value per right ($)
0.1576
0.1532
0.1494
The fair value of the performance rights has been calculated using the Monte Carlo valuation method
with key inputs noted above.
BOAB METALS LIMITED PAGE 37
DIRECTORS’ REPORT
REMUNERATION REPORT - AUDITED (CONTINUED)
Performance Rights Issued to Directors
Security
Recipient
Number
Details
Vesting condition
Exercise
price
Expiry
date
Class A
Performance
Rights
Class B
Performance
Rights
Class C
Performance
Rights
Gary Comb
120,000
Simon Noon
480,000
Andrew Parker
80,000
Richard Monti
80,000
Performance
Rights issued for
nil consideration
each exercisable
into one ordinary
share at any
time between
meeting the
vesting condition
and the expiry
date
Gary Comb
600,000
Simon Noon
2,000,000
Andrew Parker
400,000
Richard Monti
400,000
Performance
Rights issued for
nil consideration
each exercisable
into one ordinary
share at any
time between
meeting the
vesting condition
and the expiry
date
Gary Comb
800,000
Simon Noon
2,400,000
Andrew Parker
500,000
Richard Monti
500,000
Performance
Rights issued for
nil consideration
each exercisable
into one ordinary
share at any
time between
meeting the
vesting condition
and the expiry
date
Upon achievement of:
- successful completion
of a definitive feasibility
study; or
- the volume weighted
average price (“VWAP”)
of the Company’s
shares traded on the
Australian Securities
Exchange (“ASX”) is
equal to or greater
than $0.50 for 10 con-
secutive business days
Upon achievement of:
- The Company
successfully securing
Project Finance in an
amount not less than
$50 million; or
- The VWAP of the
Company’s shares
traded on the ASX is
equal to or greater
than $0.60 for 10
consecutive business
days
Upon achievement of:
- completion of first
commercial production
(as defined in the terms
and conditions); or
- The VWAP of the
Company’s shares
traded on the ASX is
equal to or greater
than $0.70 for 10
consecutive business
days
END OF THE REMUNERATION REPORT
nil
25
October
2027
nil
25
October
2027
nil
25
October
2027
ANNUAL REPORT FOR THE YEAR ENDED 30 JUNE 2023 PAGE 38
DIRECTORS’ REPORT
OPTIONS OVER ORDINARY SHARES
There were no options on issue as at the date of the Directors Report.
Performance Rights
Performance rights on issue at the date of the Directors Report had the following expiry dates and
exercise prices:
Details
Performance
Rights
Exercise Price
Grant Date
Expiry Date
Class "B" Performance Rights
3,400,000
Class "C" Performance Rights
4,200,000
Employee Performance Rights
700,000
Nil
Nil
Nil
20/10/2022
24/10/2027
20/10/2022
24/10/2027
22/02/2023
28/03/2024
NON AUDIT SERVICES
8,300,000
No non-audit services were provided by the auditor of the Group, BDO Audit (WA) Pty Ltd during
the financial year.
AUDITOR’S INDEPENDENCE DECLARATION
A copy of the auditor’s independence declaration as required under section 307C of the
Corporations Act 2001 is set out on the following page.
Signed in accordance with a resolution of the Directors.
Gary Comb
Chairman
22 September 2023
BOAB METALS LIMITED
PAGE 39
AUDITOR’S INDEPENDENCE
DECLARATION
Tel: +61 8 6382 4600
Fax: +61 8 6382 4601
www.bdo.com.au
Level 9, Mia Yellagonga Tower 2
5 Spring Street
Perth, WA 6000
PO Box 700 West Perth WA 6872
Australia
DECLARATION OF INDEPENDENCE BY GLYN O'BRIEN TO THE DIRECTORS OF BOAB METALS LIMITED
As lead auditor for the review of Boab Metals Limited for year ended 30 June 2023, I declare that, to
the best of my knowledge and belief, there have been:
1. No contraventions of the auditor independence requirements of the Corporations Act 2001 in
relation to the review; and
2. No contraventions of any applicable code of professional conduct in relation to the review.
This declaration is in respect of Boab Metals Limited and the entities it controlled during the period.
Glyn O’Brien
Director
BDO Audit (WA) Pty Ltd
Perth,
22 September 2023
BDO Audit (WA) Pty Ltd ABN 79 112 284 787 is a member of a national association of independent entities which are all members of BDO Australia
Ltd ABN 77 050 110 275, an Australian company limited by guarantee. BDO Audit (WA) Pty Ltd and BDO Australia Ltd are members of BDO
International Ltd, a UK company limited by guarantee, and form part of the international BDO network of independent member firms. Liability
limited by a scheme approved under Professional Standards Legislation.
ANNUAL REPORT FOR THE YEAR ENDED 30 JUNE 2023
PAGE 40
FINANCIAL REPORT
CONSOLIDATED STATEMENT OF
PROFIT OR LOSS AND OTHER
COMPREHENSIVE INCOME
FOR THE YEAR ENDED 30 JUNE 2023
Revenue
Expenditure
Exploration Expenses
Development Expenses
Notes
2023
$
2022
$
5
6
298,865
251,492
(3,821,297)
(4,436,892)
(363,921)
-
Salaries and Employee Benefits Expenses
(860,509)
(858,676)
Depreciation Expenses
6,11
(22,837)
(17,087)
Corporate Expenses
Occupancy Expenses
Consulting Expenses
Administration Expenses
(440,902)
(231,044)
(42,009)
(65,747)
(119,970)
(180,115)
(104,856)
(274,433)
Share Based Payments Expenses
27
(369,692)
97,210
Depreciation of Right of Use Assets
Write Down of Investment
(Loss) Before Income Tax
Income Tax
Total (Loss) for the Year
Movement in Foreign Exchange Translation Reserve
Total Comprehensive (Loss)
(Loss) Attributed to the Members
7
18
(70,305)
(64,559)
-
(1,024,672)
(5,917,433)
-
(6,804,523)
-
(5,917,433)
(6,804,523)
15,992
316
5,901,441
(6,804,207)
5,917,433
(6,804,523)
Total Comprehensive (Loss) Attributed to the Members
5,901,441
(6,804,207)
Basic and Diluted Loss per Share for Loss Attributable to
the Ordinary Equity Holders of the Company (Cents per
Share)
(3.58)
(4.44)
The above Consolidated Statement of Profit or Loss and Other Comprehensive Income should be read in
conjunction with the Notes to the Financial Statements.
BOAB METALS LIMITED
PAGE 41
FINANCIAL REPORT
CONSOLIDATED STATEMENT
OF FINANCIAL POSITION
AS AT 30 JUNE 2023
Current Assets
Cash and Cash Equivalents
Trade and Other Receivables
Prepayments
Total Current Assets
Non-Current Assets
Notes
2023
$
2022
$
8
9
9
4,578,654
6,317,527
510,954
49,928
350,051
36,458
5,139,536
6,704,036
Exploration and Evaluation Assets
10
4,643,995
4,668,040
Investments
Other Assets
Plant and Equipment
ROU Asset
Total Non-Current Assets
Total Assets
Current Liabilities
Trade and Other Payables
Provisions
Lease Liabilities
Total Current Liabilities
Non-Current Liabilities
Lease Liabilities
Provisions
Deferred Tax Liabilities
Total Non-Current Liabilities
Total Liabilities
Net Assets
Equity
Contributed Equity
Reserves
Accumulated Losses
Total Equity
11
12
13
14
15
16
18
60,000
76,333
1,676,350
28,957
60,000
74,889
61,800
98,631
6,485,635
4,963,360
11,625,171
11,667,396
803,622
162,047
30,495
996,164
-
71,564
162,647
234,211
616,271
143,093
69,974
829,338
30,220
65,070
162,647
257,937
1,230,375
1,087,275
10,394,796
10,580,121
53,677,822
48,198,398
1,445,843
1,193,159
(44,728,869)
(38,811,436)
10,394,796
10,580,121
The above Consolidated Statement of Financial Position should be read in conjunction with the Notes to the
Financial Statements.
ANNUAL REPORT FOR THE YEAR ENDED 30 JUNE 2023
PAGE 42
FINANCIAL REPORT
CONSOLIDATED STATEMENT OF
CHANGES IN EQUITY
AS AT 30 JUNE 2023
Issued Capital
Share / Option
Reserve
Foreign
Currency
Translation
Reserve
Accumulated
Losses
Total
2023
$
$
$
$
$
Balance at 1 July 2022
48,198,398
1,526,601
(333,442)
(38,811,436)
10,580,121
(Loss) for the Year
-
-
-
(5,917,433)
(5,917,433)
-
-
15,992
-
15,992
Other Comprehensive
(Loss) for the Year
Total Comprehensive
(Loss) for the Year
-
Issue of Shares/Options
5,658,588
Performance Right
converted to shares
133,000
Share Based Payments
-
236,692
Share issue costs
(312,164)
-
-
-
-
15,992
(5,917,433)
(5,901,441)
-
-
-
-
-
-
-
-
5,658,588
133,000
236,692
(312,164)
Balance at 30 June 2023
53,677,822
1,763,293
(317,450)
(44,728,869)
10,394,796
2022
Balance at 1 July 2021
47,698,398
1,623,811
(333,758)
(32,006,913)
16,981,538
(Loss) for the Year
Other Comprehensive
(Loss)/Income for the Year
Total Comprehensive
(Loss) for the Year
-
-
-
Share/Option Issue Expense
500,000
-
-
-
-
Share Based Payments
-
(97,210)
-
(6,804,523)
(6,804,523)
316
-
316
(316)
(6,804,523)
(6,804,207)
-
-
-
-
500,000
(97,210)
Balance at 30 June 2022
48,198,398
1,526,601
(333,442)
(38,811,436)
10,580,121
The above Consolidated Statement of Changes in Equity should be read in conjunction with the Notes to
the Financial Statements.
BOAB METALS LIMITED PAGE 43
FINANCIAL REPORT
CONSOLIDATED STATEMENT
OF CASH FLOWS
AS AT 30 JUNE 2023
Notes
2023
$
2022
$
Cash Flows from Operating Activities
Expenditure on Mining Interests
(4,091,678)
(4,846,003)
Payments to Suppliers and Employees
(1,574,995)
(1,984,288)
Interest Received
Management Fees
Other Income
88,983
35,915
200,753
304,033
-
1,100
Net Cash Outflow from Operating Activities
25
(5,376,937)
(6,489,243)
Cash Flows from Investing Activities
Payments of Security Deposit – Bank Guarantee
Cash Transferred from Security Deposits
Payments for Purchase of Property, Plant and
Equipment
-
-
(28,300)
40,541
(1,644,730)
(36,507)
Proceeds from sale of Motor vehicle
9,000
-
Net Cash Outflow from Investing Activities
(1,635,730)
(24,266)
Cash Flows from Financing Activities
Proceeds From Issues of Shares
Payment of Share Issue Costs
Payments on Lease Liability
5,658,588
(312,164)
-
-
(72,630)
(65,924)
Net Cash Inflow from Financing Activities
5,273,794
(65,924)
Net (Decrease)/Increase in Cash and Cash Equivalents
(1,738,873)
(6,579,433)
Cash and Cash Equivalents at the Beginning of the
Financial Year
6,317,527
12,896,960
Cash and Cash Equivalents at the End of the Financial Year
8
4,578,654
6,317,527
The above Consolidated Statement of Cash Flows should be read in conjunction with the Notes to the
Financial Statements.
ANNUAL REPORT FOR THE YEAR ENDED 30 JUNE 2023
PAGE 44
NOTES TO THE FINANCIAL
STATEMENTS
1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
The principal accounting policies adopted in the preparation of the financial report are set out
below. These policies have been consistently applied to all years presented unless otherwise
stated. The financial report includes the financial statements for Boab Metals Limited (“Parent” or
“Company”) and its subsidiaries (the “Group”) for the year ended 30 June 2023. The financial report
was authorised for issue in accordance with a resolution of the Board of Directors of Boab Metals
Limited 22 September 2023. Boab Metals Limited is a company incorporated in Australia whose
shares are publicly traded on the Australian Securities Exchange. The nature of the operations and
principal activities of the Group is exploration of mineral tenements in Australia.
(a)
BASIS OF PREPARATION
This general-purpose financial report has been prepared in accordance with Australian
Accounting Standards, other authoritative pronouncements of the Australian Accounting
Standards Board, Australian Interpretations, and the Corporations Act 2001.
(i) Compliance with IFRS
Australian Accounting Standards include Australian equivalents to International
Financial Reporting Standards (“AIFRS”). Compliance with AIFRS ensures that the
financial statements and notes of Boab Metals Limited comply with International
Financial Reporting Standards (“IFRS”).
(ii) Historical Cost Convention
Financial statements have been prepared under the historical cost convention.
(iii) Going Concern Basis
The financial report has been prepared on a going concern basis, which contemplates
continuity of normal business activities and realisation of assets and settlement
of liabilities in the ordinary course of business. The going concern of the Group is
dependent upon maintaining enough funds for its operations and commitments.
The Directors continue to monitor the funding requirements of the Group and are
confident that funding can be secured as required to enable the Group to continue as
a going concern and are of the opinion that the financial report has been appropriately
prepared on a going concern basis.
(b)
PRINCIPLES OF CONSOLIDATION
(i)
Subsidiaries
Subsidiaries are all entities over which the Group has the power to govern the financial
and operating policies, generally accompanying a shareholding of more than half of
the voting rights.
BOAB METALS LIMITED
PAGE 45
NOTES TO THE FINANCIAL
STATEMENTS
1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
(i)
Subsidiaries (continued)
The existence and effect of potential voting rights that are currently exercisable or
convertible are considered when assessing whether the Group controls another entity.
Subsidiaries are fully consolidated from the date on which control is transferred to the
Group. They are de-consolidated from the date that control ceases. The acquisition
method of accounting is used to account for business combinations by the Group (refer
to Note 1(d)). Intercompany transactions, balances and unrealised gains on transactions
between Group companies are eliminated. Unrealised losses are also eliminated
unless the transaction provides evidence of the impairment of the asset transferred.
Accounting policies of subsidiaries have been changed where necessary to ensure
consistency with policies adopted by the Group.
(ii)
Investment in Joint Ventures
A joint venture is an arrangement under which the Group has joint control, whereby
the Group has rights to the net assets of the arrangement, rather than rights to its
assets and obligations for its liabilities. Joint control is defined as the contractually
agreed sharing of control of an arrangement, which exists only when decisions about
the relevant activities require the unanimous consent of the parties sharing control.
Interests in joint ventures are accounted for using the equity method.
Under the equity method of accounting, the investments are initially recognised at
cost and adjusted thereafter to recognise the Group’s share of the post-acquisition
profits or losses of the investee in profit or loss, and the Group’s share of movements in
other comprehensive income of the investee in other comprehensive income. Goodwill
relating to the joint venture is included in the carrying amount of the investment and
is not amortised or tested individually for impairment. Dividends received or receivable
from joint ventures are recognised as a reduction in the carrying amount of the
investment.
Financial statements of the joint venture are prepared for the same reporting period as
the Group. When necessary, adjustments are made to bring accounting policies in line
with those of the Group.
After application of the equity method, the Group determines whether it is necessary
to recognise an impairment loss on its investment in the joint venture. An impairment
loss is measured by comparing the recoverable amount of the investment with the
carrying amount. An impairment loss is recognised in the Consolidated Statement of
Profit or Loss and Other Comprehensive Income and is reversed if there has been a
favourable change in the estimates used to determine the recoverable amount.
Upon loss of significant influence over the joint venture, the Group measures and
recognises any retained investment at its fair value. Any difference between the
carrying amount of the joint venture upon loss of joint control and the fair value of the
retained investment and proceeds from disposal is recognised in profit or loss.
ANNUAL REPORT FOR THE YEAR ENDED 30 JUNE 2023
PAGE 46
NOTES TO THE FINANCIAL
STATEMENTS
1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
(iii)
Investment in Joint Operations
A joint arrangement occurs whereby the parties that have joint control of the
arrangement have rights to the assets, and obligations for the liabilities, relating to
the arrangement. Joint control is the contractually agreed sharing of control of an
arrangement, which exists only when decisions about the relevant activities require
unanimous consent of the parties sharing control.
When a group entity undertakes its activities under a joint arrangement, the Group as
operator, recognises in relation to its interest in a joint arrangement its:
liabilities, including its share of any liabilities incurred jointly;
revenue from the sale of its share of the output arising from the joint operation;
• assets, including its share of any assets held jointly;
•
•
• share of the revenue from the sale of the output by the joint operation; and
• expenses, including its share of any expenses incurred jointly.
The Group accounts for the assets, liabilities, revenues, and expenses relating to its
interest in a joint operation in accordance with the Australian Accounting Standards
applicable to the certain assets, liabilities, revenues, and expenses. When a group
entity transacts with a joint operation in which a group entity is a joint operator (such
as a sale or contribution of assets), the Group is considered to be conducting the
transaction with the other parties to the joint operation, and gains and losses resulting
from the transactions are recognised in the Group’s consolidated financial statements
only to the extent of other parties’ interests in the joint operation. When a group entity
transacts with a joint operation in which a group entity is a joint operator (such as a
purchase of assets), the Group does not recognise its share of the gains and losses until
it resells those assets to a third party.
(c)
FOREIGN CURRENCY TRANSLATION
(i) Functional and presentation currency
Items included in the financial statements of each of the Group’s entities are measured
using the currency of the primary economic environment in which the entity operates
(functional currency). The consolidated financial statements are presented in Australian
dollars, Boab’s functional and presentation currency, unless otherwise stated.
(ii) Transactions and balances
Foreign currency transactions are translated into the functional currency using the
exchange rate at the date of the transaction.
BOAB METALS LIMITED
PAGE 47
NOTES TO THE FINANCIAL
STATEMENTS
1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
(ii) Transactions and balances (continued)
Foreign exchange gains and losses relating to borrowings are presented in the
income statement within finance costs. All other foreign exchange gains and losses
are presented in the income statement on a net basis within other income or other
expenses.
Non-monetary items that are measured at fair value in a foreign currency are translated
using the exchange rate at the date when the fair value was determined. Translation
differences on assets and liabilities carried at fair value are reported as part of the fair
value gain or loss.
(iii) Group companies
The results and financial position of foreign operations that have a functional currency
other than the presentation currency are translated into the presentation currency as
follows:
• assets and liabilities for each balance sheet presented are translated at the closing
•
rate at the date of that balance sheet;
income and expenses for each income statement and statement of comprehensive
income are translated at average exchange rates (unless this is not a reasonable
approximation of the cumulative effect of the rates prevailing on the transaction
dates, in which case income and expenses are translated at the dates of the
transactions); and
• all resulting exchange differences are recognised in other comprehensive income.
On consolidation, exchange differences arising from the translation of any net
investment in foreign entities, and of borrowings and other financial instruments
designated as hedges of such investments, are recognised in other comprehensive
income. When a foreign operation is sold or any borrowings forming part of the net
investment are repaid, the associated exchange differences are reclassified to profit or
loss, as part of the gain or loss on sale.
Goodwill and fair value adjustments arising on the acquisition of a foreign operation
are treated as assets and liabilities of the foreign operation and translated at the closing
exchange rate.
(d)
SEGMENT REPORTING
Operating segments are identified, and segment information disclosed based on internal
reports received by the Board.
ANNUAL REPORT FOR THE YEAR ENDED 30 JUNE 2023
PAGE 48
NOTES TO THE FINANCIAL
STATEMENTS
1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
(e)
REVENUE RECOGNITION
Interest revenue is recognised on a time proportionate basis that considers the effective
yield on the financial assets. Grant income received from Governments is recognised on a
cash basis upon receipt. The Group recognised revenue from the Sorby Hills Joint Venture
in accordance with its proportional holding.
(f)
INCOME TAX
The income tax expense or revenue for the year is the tax payable on the current periods
taxable income (based on the national income tax rate for each jurisdiction adjusted by
changes in deferred tax assets and liabilities attributable to temporary differences and
to unused tax losses). Deferred income tax is provided in full, using the liability method,
on temporary differences arising between the tax bases of assets and liabilities and their
carrying amounts in the financial statements.
Deferred income tax is not accounted for if it arises from initial recognition of an asset
or liability in a transaction other than a business combination that at the time of the
transaction affects neither accounting nor taxable profit or loss. Deferred income tax is
determined using tax laws and rates that have been enacted or substantially enacted by
the balance sheet date and are expected to apply when the related deferred income tax
asset is realised, or the deferred income tax liability is settled.
Deferred tax assets are recognised for deductible temporary differences and unused tax
losses only if it is probable that future taxable amounts will be available to utilise those
temporary differences and losses. Deferred tax assets and liabilities are offset where there
is a legally enforceable right to offset current tax assets and liabilities and where the
deferred tax balances relate to the same taxation authority. Current tax assets and liabilities
are offset where the entity has a legally enforceable right to offset and intends either to
settle on a net basis, or to realise the asset and settle the liability simultaneously. Current
and deferred tax balances attributable to amounts recognised directly in equity are also
recognised directly in equity.
BOAB METALS LIMITED PAGE 49
NOTES TO THE FINANCIAL
STATEMENTS
1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
(g)
IMPAIRMENT OF ASSETS
Other assets are reviewed for impairment whenever events or changes in circumstances
indicate that the carrying amount may not be recoverable. An impairment loss is recognised
for the amount by which the asset’s carrying amount exceeds its recoverable amount.
The recoverable amount is the higher of an asset’s fair value less costs to sell, and value
in use. To assess impairment, assets are grouped at the lowest levels for which there are
separately identifiable cash inflows that are largely independent of the cash inflows from
other assets or groups of assets (cash-generating units). Non-financial assets other than
goodwill that suffered an impairment are reviewed for possible reversal of the impairment
at each reporting date.
(h)
CASH AND CASH EQUIVALENTS
For presentation purposes on the cash flow statement, cash and cash equivalents includes
cash on hand and deposits held by financial institutions.
(i)
TRADE AND OTHER RECEIVABLES
Trade and other receivables are non-derivative financial assets with fixed or determinable
payments that are not quoted in an active market. Trade receivables are initially recognised
at fair value and subsequently measured at amortised cost using the effective interest
method, less any allowance for expected credit losses.
Trade receivables for goods and services are generally due for settlement within 30 days
from date of invoice.
The group has applied the simplified approach to measuring expected credit losses, which
uses a lifetime expected loss allowance. To measure the expected credit losses, trade
receivables would be grouped based on days overdue.
Other receivables are recognised at amortised cost, less any allowance for expected credit
losses.
ANNUAL REPORT FOR THE YEAR ENDED 30 JUNE 2023 PAGE 50
NOTES TO THE FINANCIAL
STATEMENTS
1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
( j)
PLANT AND EQUIPMENT
All plant and equipment are stated at historical cost less depreciation. Historical cost
includes expenditure that is directly attributable to the acquisition of the items. Depreciation
of plant and equipment is calculated using the straight-line method to allocate their cost
(net of their residual values) over their estimated useful lives. The assets’ residual values
and useful lives are reviewed, and adjusted if appropriate, at each balance sheet date. An
asset’s carrying amount is written down immediately to its recoverable amount if the asset’s
carrying amount is greater than its estimated recoverable amount (Note 1(h)).
Gains and losses on disposals are determined by comparing proceeds with the carrying
amount. These are included in the income statement. When revalued assets are sold, it is
Group policy to transfer the amounts included in other reserves in respect of those assets
to retained earnings.
(k)
EXPLORATION AND EVALUATION COSTS
Exploration and evaluation costs are written off in the year they are incurred apart from
acquisition costs which are carried forward where right of tenure of the area of interest is
current, and they are expected to be recouped through sale or successful development and
exploration of the area of interest, or, where exploration and evaluation activities in the area
of interest have not reached a stage that permits reasonable assessment of the existence of
economically recoverable reserves. Where an area of interest is abandoned, or the Directors
decide that it is not commercial, any accumulated acquisition costs in respect of that area
are written off in the financial period the decision is made. Each area of interest is reviewed
at the end of each accounting period and accumulated costs written off to the extent that
they will not be recoverable in the future.
(l)
TRADE AND OTHER PAYABLES
Trade and other payables represent liabilities for goods and services provided to the Group
during the financial year which remain unpaid at the end of the period. The amounts are
unsecured and are paid on standard commercial terms.
(m)
EMPLOYEE BENEFITS
(i) Wages and Salaries, Leave and Other Employee Benefits
Provisions are made for employee benefits for services rendered during the period.
These benefits include salaries and leave benefits. Liabilities arising in respect of
employee benefits are measured at their nominal amounts based on remuneration
rates to be paid when the liability is settled.
BOAB METALS LIMITED
PAGE 51
NOTES TO THE FINANCIAL
STATEMENTS
1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
(m)
EMPLOYEE BENEFITS (CONTINUED)
(ii) Share-Based Payments
The Group provides benefits to employees (including Directors) and consultants of the
Group in the form of share-based payments whereby employees and contractors render
services in exchange for shares or rights over shares (“equity-settled transactions”). The
cost of these equity-settled transactions is measured by reference to the fair value at
the date at which they are granted. The fair value is determined by an internal valuation
using a Black-Scholes option pricing model. The cost of equity-settled transactions is
recognised, together with a corresponding increase in equity, over the period in which
the performance conditions are fulfilled, ending on the date on which the relevant
employees become fully entitled to the award (“vesting date”).
The cumulative expense recognised for equity-settled transactions at each reporting date
until vesting date reflects the extent to which the vesting period has expired and the
number of options that the Directors think will vest ultimately. This opinion is formed based
on the information available at balance date.
No adjustment is made for the likelihood of market performance conditions being met as
the effect of these conditions is included in the determination of fair value at grant date.
No expense is recognised for awards that do not ultimately vest, except for awards where
vesting is conditional upon a market condition. Where an equity-settled award is cancelled,
it is treated as if it had vested on the date of cancellation, and any expense not yet recognised
for the award is recognised immediately. However, if a new award is substituted for the
cancelled award and designated as a replacement award on the date that it is granted, the
cancelled and new awards are treated as if they were a modification of the original award.
(n)
CONTRIBUTED EQUITY
Ordinary shares are classified as equity. Incremental costs directly attributable to the
issue of new shares or options are shown in equity as a deduction (net of tax) from the
proceeds. Incremental costs directly attributable to the issue of new shares or options, for
the acquisition of a business, are not included in the cost of the acquisition as part of the
purchase consideration.
ANNUAL REPORT FOR THE YEAR ENDED 30 JUNE 2023
PAGE 52
NOTES TO THE FINANCIAL
STATEMENTS
1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
(o)
EARNINGS PER SHARE
(i) Basic Earnings Per Share
Basic earnings per share are calculated by dividing the profit attributable to equity
holders of the Parent entity, excluding any costs of servicing equity other than ordinary
shares, by the weighted average number of ordinary shares outstanding during the
financial year, adjusted for bonus elements in ordinary shares issued during the year.
(ii) Diluted Earnings Per Share
Diluted earnings per share adjusts the figures used in the determination of basic
earnings per share to take into account the after income tax effect of interest and other
financing costs associated with dilutive potential ordinary shares and the weighted
average number of shares assumed to have been issued for no consideration in relation
to dilutive potential ordinary shares.
(p)
GOODS AND SERVICES TAX (‘GST’)
Revenues, expenses and assets are recognised net of the amount of associated GST, unless
the GST incurred is not recoverable from the taxation authority. In this case it is recognised
as part of the cost of acquisition of the asset or as part of the expense.
Receivables and payables are stated inclusive of the amount of GST receivable or payable.
The net amount of GST recoverable from, or payable to, the taxation authority is included
with other receivables or payables in the balance sheet. Cash flows are presented on a
gross basis. The GST components of cash flows arising from investing or financing activities
which are recoverable from, or payable to the taxation authority, are presented as operating
cash flow.
(q)
SIGNIFICANT ACCOUNTING ESTIMATES AND JUDGEMENTS
The carrying amount of certain assets and liabilities is often determined based on estimates
and assumptions of future events. The key estimates and assumptions that have significant
risk of causing a material adjustment to the carrying amounts of certain assets and liabilities
within the next annual reporting period are:
(i) Deferred Taxation
The potential deferred tax asset arising from the tax losses and temporary differences
has not been recognised as an asset because recovery of the tax losses is not yet
considered probable.
BOAB METALS LIMITED
PAGE 53
NOTES TO THE FINANCIAL
STATEMENTS
1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
(q)
SIGNIFICANT ACCOUNTING ESTIMATES AND JUDGEMENTS (CONTINUED)
(ii) Capitalised Exploration Costs
The application of the Group’s accounting policy for exploration and evaluation
expenditure requires judgement in determining whether future economic benefits
are likely, either from exploration or sale, or where activities have not reached a stage
which permits reasonable assessment.
(iii) Share-Based Payments
The Group measures the cost of equity-settled and cash-settled transactions by
reference to the fair value of the goods and services received or, if this cannot be
reliably measured, the fair value of the equity instruments at the date at which they
are granted. The fair value of the equity instruments is determined by using the Black-
Scholes model and the assumptions and carrying amount at the reporting date is
disclosed in Note 27.
(r)
LEASES
The Group as lessee
At inception of a contract the Group assesses if the contract contains or is a lease. If there is a
lease present, a right-of-use asset and a corresponding liability are recognised by the Group
where the Group is a lessee. However, all contracts that are classified as short-term leases (i.e.
leases with a remaining lease term of 12 months or less) and leases of low-value assets are
recognised as an operating expense on a straight-line basis over the term of the lease.
Initially, the lease liability is measured at the present value of the lease payments still to be
paid at the commencement date. The lease payments are discounted at the interest rate
implicit in the lease. If this rate cannot be readily determined, the Group uses incremental
borrowing rate.
Lease payments included in the measurement of the lease liability are as follows;
• fixed lease payments less any lease incentives;
• variable lease payments that depend on an index or rate, initially measured using the
index or rate at the commencement date;
•
•
the amount expected to be payable by the lessee under residual value guarantees;
the exercise price of purchase options if the lessee is reasonably certain to exercise
the options;
•
lease payments under extension options, if the lessee is reasonably certain to
exercise the options; and
• payments of penalties for terminating the lease, if the lease term reflects the exercise
of options to terminate the lease.
ANNUAL REPORT FOR THE YEAR ENDED 30 JUNE 2023
PAGE 54
NOTES TO THE FINANCIAL
STATEMENTS
1.
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
(r)
LEASES (CONTINUED)
The Group as lessee (continued)
The right-of-use assets comprise the initial measurement of the corresponding lease liability,
any lease payments made at or before the commencement date and any initial direct
costs. The subsequent measurement of the right-of-use assets is at cost less accumulated
depreciation and impairment losses. Right-of-use assets are depreciated over the lease
term or useful life of the underlying asset, whichever is the shortest.
Where a lease transfers ownership of the underlying asset or the costs of the right-of-use
asset reflects that the Group anticipates exercising a purchase option, the specific asset is
depreciated over the useful life of the underlying asset.
The Group as lessor
The Group does not have any property which has been leased out, and therefore not
applicable.
2.
NEW AND AMENDED ACCOUNTING POLICIES ADOPTED BY THE GROUP
The Group has considered the implications of new and amended Accounting Standards
which have become applicable for the current financial reporting period.
• AASB 2020-1: Amendments to Australian Accounting Standards – Classification
of Liabilities as Current or Non-current
The amendment amends AASB 101 to clarify whether a liability should be presented
as current or non-current. The Group plans on adopting the amendment for the
reporting period ending 30 June 2024. The amendment is not expected to have a
material impact on the financial statements once adopted.
• AASB 2021-2: Amendments to Australian Accounting Standards – Disclosure of
Accounting Policies and Definition of Accounting Estimates
The amendment amends AASB 7, AASB 101, AASB 108, AASB 134 and AASB Practice
Statement 2. These amendments arise from the issuance by the IASB of the
following International Financial Reporting Standards: Disclosure of Accounting
Policies (Amendments to IAS 1 and IFRS Practice Statement 2) and Definition of
Accounting Estimates (Amendments to IAS 8).
The Group plans on adopting the amendment for the reporting period ending 30
June 2024. The impact of the initial application is not yet known.
BOAB METALS LIMITED
PAGE 55
NOTES TO THE FINANCIAL
STATEMENTS
3.
FINANCIAL RISK MANAGEMENT
FINANCIAL RISK MANAGEMENT OBJECTIVES
The Group’s activities expose it to a variety of financial risks: market risk (including foreign
currency risk, price risk and interest rate risk), credit risk and liquidity risk. The Group’s
overall risk management program focuses on the unpredictability of financial markets and
seeks to minimise potential adverse effects on the financial performance of the Group.
Various methods are used to measure risks to which the Group is exposed, including
sensitivity analysis for interest rate, foreign exchange and other price risks, and ageing
analysis for credit risk.
Risk management is carried out by the accounting team under Board approved policies
covering identification and analysis of risk exposure, risk limits, and appropriate procedures
and controls. Reporting is provided to the Board on a monthly basis.
MARKET RISK
(i) Foreign Currency Risk
The Group completes certain transactions denominated in foreign currency and is
exposed to foreign currency risk through exchange rate fluctuations. Foreign currency
risk arises from future commercial transactions and recognised financial assets and
financial liabilities in a currency other than the Group’s functional currency. The risk is
measured using sensitivity analysis and cash flow forecasting.
Based on the net exposure to foreign currencies, a change in the foreign exchange rate
as at the end of the year would not have a significant effect on the Group’s financial
results.
(ii) Price Risk
Presently, the Group is not directly exposed to commodity price risk as it is in the
exploration phase. The Group is indirectly exposed to price movements for commodities
such as gold, copper and silver as these may affect the Group’s ability to access capital
markets.
(iii)
Interest Rate Risk
The Group’s main interest rate risk arises from cash and term deposits held at variable
interest rates as term deposits issued at fixed rates expose the Group to fair value
risk. The Group’s policy is to maximise interest rate returns, having regard to the cash
requirements of the business.
ANNUAL REPORT FOR THE YEAR ENDED 30 JUNE 2023
PAGE 56
NOTES TO THE FINANCIAL
STATEMENTS
3.
FINANCIAL RISK MANAGEMENT (CONTINUED)
MARKET RISK (Continued)
(iv) Credit Risk
Credit risk refers to the risk that a counterparty will default on its contractual
obligations, resulting in financial loss to the Group. The maximum exposure to credit
risk at the reporting date to recognised financial assets is 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.
(v) Liquidity Risk
Liquidity risk management requires the Group to maintain enough liquid assets to
pay debts as and when they fall due. The Group manages liquidity risk by maintaining
adequate cash reserves through continuously monitoring actual and forecast cash
flows and matching the maturity profiles of financial assets and liabilities.
INTEREST RATE RISK
The Group is exposed to market interest rate movements on short-term deposits. Group
policy is to monitor the interest rate yield curve to 120 days to ensure a balance is maintained
between the liquidity of cash assets and the interest rate return. At 30 June 2023, if interest
rates had changed by -/+ 100 basis points from the year-end rates with all other variables
held constant, pre-tax loss would have been $46,285 lower/higher (2022 – change of 100
bps: $63,659 lower/higher) as a result of lower interest income.
BOAB METALS LIMITED
PAGE 57
NOTES TO THE FINANCIAL
STATEMENTS
3.
FINANCIAL RISK MANAGEMENT (CONTINUED)
INTEREST RATE RISK (Continued)
The Group’s exposure to interest rate risks and the effective interest rates of financial assets
and financial liabilities, both recognised and unrecognised at the balance date, are as follows:
Fixed Interest Rate Maturing
Floating
Interest
Rate
Non-
Interest
Bearing
Total
Carrying
Amount
Financial Instrument
$
>1 Year in 1-5 Years <5 Years
$ $ $
$
$
2023
Financial Assets
Cash and Cash Equivalents
4,578,654
Investments
Trade & Other Receivables
Deposits
-
-
49,843
Total Financial Assets
4,628,497
-
-
-
-
-
Financial Liabilities
Trade Creditors
Other Creditors and Accruals
Lease Liabilities
Total Financial Liabilities
-
-
30,495
30,495
-
-
-
-
-
-
-
Weighted average effective interest rate is 0.03%
2022
Financial Assets
Cash and Cash Equivalents
6,317,527
-
-
-
-
-
-
-
-
-
-
-
-
4,578,654
60,000
60,000
510,954
510,954
26,490
76,333
597,444
5,225,941
-
-
30,495
30,495
-
6,317,527
60,000
60,000
Investments
Trade & Other Receivables
-
-
-
-
-
-
-
350,051
350,051
Deposits
48,399
-
-
-
26,490
74,889
Total Financial Assets
6,365,926
-
-
-
436,541 6,802,467
Financial Liabilities
Trade Creditors
-
-
-
-
589,433
589,433
Other Creditors and Accruals
-
-
-
-
26,838
26,838
Lease Liabilities
-
69,974
30,220
-
-
100,194
Total Financial Liabilities
-
69,974
30,220
-
616,271
716,465
ANNUAL REPORT FOR THE YEAR ENDED 30 JUNE 2023
PAGE 58
NOTES TO THE FINANCIAL
STATEMENTS
3.
FINANCIAL RISK MANAGEMENT (CONTINUED)
NET FAIR VALUES
All financial assets and liabilities have been recognised at the balance date at amounts
approximating their carrying value.
CREDIT RISK EXPOSURES
The Group has no significant concentrations of credit risk. The maximum exposure to credit
risk at balance date is the carrying amount (net of provision for doubtful debts) of those
assets as disclosed in the balance sheet and notes to the financial statements. A formal
credit risk management policy is not maintained.
4.
SEGMENT INFORMATION
AASB 8 requires operating segments to be identified based on internal reports provided to the
Board in order to allocate resources to the segments and assess performance. Information reported
to the Board is based on exploration in the principal locations of the Group’s projects, Australia and
Colombia. The revenues and profit generated by each of the Group’s operating segments, assets
and liabilities are summarised as follows:
Australia
Columbia
Total
2023
$
2022
$
2023
$
2022
$
2023
$
2022
$
Segment Revenues
298,865
251,491
-
1
298,865
251,492
Segment Operating
(Losses)
(5,900,570)
(6,787,157)
(16,863)
(17,366)
(5,917,433)
(6,804,523)
Segments Assets
11,621,551
11,661,294
3,620
6,102
11,625,171
11,667,396
Segments Liabilities
1,227,604
1,082,894
2,771
4,381
1,230,675
1,087,275
BOAB METALS LIMITED
PAGE 59
NOTES TO THE FINANCIAL
STATEMENTS
5.
REVENUE
From Continuing Operations
Sorby Hills Project Revenue
Interest
Other Income
6.
EXPENSES
Loss Before Income Tax Includes the Following Expenses:
Depreciation of Plant and Equipment
Depreciation of ROU Asset
Consolidated
2023
$
2022
$
201,745
160,662
95,463
1,657
35,915
54,915
298,865
251,492
Consolidated
2023
$
22,837
70,305
2022
$
17,087
64,559
Exploration and Evaluation Expenditure
3,821,297
4,436,882
Development Expenses
Write-down of Borroloola Exploration Asset
363,921
-
-
1,024,672
ANNUAL REPORT FOR THE YEAR ENDED 30 JUNE 2023
PAGE 60
NOTES TO THE FINANCIAL
STATEMENTS
7.
INCOME TAX
Income Tax Expense/Benefit
Current Tax
Deferred Tax
Adjustments for Current Tax of Prior Years
Numerical Reconciliation of Income Tax Expense to
Prima Facie Tax Payable
Loss from Continuing Operations Before
Income Tax Expense
Prima Facie Tax Benefit at the Australian
Tax Rate of 25% (2022: 25%)
Tax Effect of Amounts which are not Deductible (Taxable)
in Calculating Taxable Income
Other Items
Tax Effect of Current Year Tax Losses and other temporary
differences for which no DTA has been recognised
Consolidated
2023
$
2022
$
-
-
-
-
-
-
-
-
(5,917,433)
(6,804,523)
(1,479,358)
(1,701,131)
10,686
278,460
(1,468,672)
(1,422,671)
1,468,672
1,422,671
Income Tax Expense/(Benefit)
-
-
Unrecognised Temporary Differences
Deferred Tax Assets
On Income Tax Account
S. 40-880 Deductions
150,912
172,810
Write off Acquired Tenement Costs over 15 years
1,039,870
1,397,142
Accruals and Provisions
Carry Forward Tax Losses
Deferred Tax Liabilities Prepayments
53,380
51,771
9,515,703
7,835,423
10,759,865
9,457,146
-
-
Total Unrecognised Temporary Differences
10,759,865
9,457,146
BOAB METALS LIMITED
PAGE 61
NOTES TO THE FINANCIAL
STATEMENTS
7.
INCOME TAX (CONTINUED)
Consolidated
2023
$
2022
$
Deferred Tax Liabilities
Beginning Exploration and Evaluation on Acquisition
Reduction of Deferred Tax Liability Due to Impairment
162,647
-
169,153
(6,506)
Deferred Tax Liability - Exploration and Evaluation Assets
162,647
162,647
The deferred tax assets have not been brought to account, as it is not probable within the immediate
future that tax profits will be available against which deductible temporary differences and tax losses
can be utilised.
8.
CURRENT ASSETS - CASH AND CASH EQUIVALENTS
Cash at Bank
Cash and Cash Equivalents as Shown in the Consolidated
Statement of Financial Position and the Consolidated
Statement of Cash Flows
9.
CURRENT ASSETS - OTHER
Trade and Other Receivables
Prepayments
Consolidated
2023
$
2022
$
4,578,654
6,317,527
4,578,654
6,317,527
Consolidated
2023
$
2022
$
510,954
350,051
49,928
36,458
560,882
386,509
The above receivables are within initial trade terms and therefore have not been impaired.
ANNUAL REPORT FOR THE YEAR ENDED 30 JUNE 2023
PAGE 62
NOTES TO THE FINANCIAL
STATEMENTS
10.
NON-CURRENT ASSETS - EXPLORATION AND EVALUATION ASSETS
Consolidated
2023
$
2022
$
Balance at Beginning of the Year
4,668,040
5,160,560
Additions
Reclassification of costs
Disposal/Write down of Assets
Reduction of Deferred Tax Liability
-
538,658
(24,045)
-
-
-
(1,024,672)
(6,506)
Balance at the End of the Year
4,643,995
4,668,040
11.
NON-CURRENT ASSETS - PLANT AND EQUIPMENT
Cost
Accumulated Depreciation
Net Carrying Amount
Plant and Equipment - Movement
Opening Net Book Amount
Additions
Disposal
Depreciation Charge
Closing Net Carrying Amount
Consolidated
2023
$
2022
$
1,755,525
110,304
(79,175)
(48,504)
1,676,350
61,800
61,800
1,646,387
(9,000)
42,380
36,507
-
(22,837)
(17,087)
1,676,350
61,800
On 1 September 2022, Boab Metals Limited purchased a camp totaling $1,568,000 (inclusive of
freight and insurance), to be used as accommodation at Sorby Hills Project.
BOAB METALS LIMITED
PAGE 63
NOTES TO THE FINANCIAL
STATEMENTS
12.
CURRENT LIABILITIES - TRADE AND OTHER PAYABLES
Trade Payables
Other Payables and Accruals
Consolidated
2023
$
2022
$
442,173
589,433
361,449
26,838
803,622
616,271
The above payables are within initial trade terms and therefore are not past due.
13.
CURRENT LIABILITIES - PROVISIONS
Current
Provision for Annual Leave
14.
NON-CURRENT LIABILITIES - PROVISIONS
Provision for Long Service Leave
15.
NON-CURRENT LIABILITIES – DEFERRED TAX LIABILITIES
Deferred Tax Liabilities Comprise Temporary Differences
Attributable to:
Beginning Exploration and Evaluation on Acquisition
Movement as a Result of Change in Tax Rate
Deferred Tax Liability
Consolidated
2023
$
2022
$
162,047
143,093
162,047
143,093
Consolidated
2023
$
71,564
71,564
2022
$
65,070
65,070
Consolidated
2023
$
2022
$
162,647
-
169,153
(6,506)
162,647
162,647
ANNUAL REPORT FOR THE YEAR ENDED 30 JUNE 2023
PAGE 64
NOTES TO THE FINANCIAL
STATEMENTS
16.
CONTRIBUTED EQUITY
SHARE CAPITAL
2023
2022
Shares
$
Shares
$
Ordinary Shares Fully Paid
174,462,770
53,677,822
153,493,527
48,198,398
Total Contributed Equity
174,462,770
53,677,822
153,493,527
48,198,398
MOVEMENTS IN ORDINARY SHARE CAPITAL
2023
2022
Shares
$
Shares
$
Beginning of the Financial Year
153,493,527
48,198,398
152,307,006
47,698,398
Issued during the year:
Share Placement/Share Purchase
Plan
Conversion of Performance Rights
to shares
Shares Issued for Manbarrum
Acquisition
Less Transaction costs
20,209,243
5,658,588
760,000
133,000
-
-
-
-
-
-
-
1,186,521
500,000
(312,164)
-
-
174,462,770
53,677,822
153,493,527
48,198,398
On 1 December 2022, Boab Metals Limited conducted a placement of 20,209,243 Ordinary Shares
to sophisticated and professional investors at $0.28per share raising $5,568,588 before capital
raising costs of $312,164.
Additionally, on 24 January 2023, 760,000 Performance Rights were converted into fully paid
Ordinary Shares on the achievement of a performance rights milestone.
BOAB METALS LIMITED
PAGE 65
NOTES TO THE FINANCIAL
STATEMENTS
16.
CONTRIBUTED EQUITY (CONTINUED)
ORDINARY SHARES
Ordinary shares entitle the holder to participate in dividends and the proceeds on winding up of the
Parent entity proportionate to the number of and amounts paid for shares held. On a show of hands
every holder of ordinary shares present at a meeting in person or by proxy is entitled to one vote and
upon a poll each share is entitled to one vote.
CAPITAL RISK MANAGEMENT
Safeguarding its ability to continue as a going concern is the Group’s objective when it comes to
managing capital in order to provide benefits to both shareholders and stakeholders and maintain
an optimal capital structure to reduce cost of capital. When an opportunity to invest in, or explore,
a project is seen as value adding relative to the share price at the time of investment, the Group will
seek to raise capital if required.
17.
DIVIDENDS
No recommendation for payment of dividends or dividend payments were made during the report
period.
18.
RESERVES
Share/option reserve is used to recognise the fair value of shares and options issued.
Share/Option Reserve
Foreign Currency Translation Reserve
Consolidated
2023
$
2022
$
1,763,293
1,526,601
(317,450)
(333,442)
1,445,843
1,193,159
ANNUAL REPORT FOR THE YEAR ENDED 30 JUNE 2023
PAGE 66
NOTES TO THE FINANCIAL
STATEMENTS
18.
RESERVES (CONTINUED)
SHARE/OPTION RESERVE
Balance at Beginning of Year
Reclassification of Performance Rights upon conversion to ordinary
shares
Issue of Options / Performance Rights
Reversal of Lapsed Performance Rights
Balance at End of Year
Details of movement in share options
Consolidated
2023
$
2022
$
1,526,601
1,623,811
(7,219)
243,911
-
-
-
(97,210)
1,763,293
1,526,601
2023
2022
Weighted
Weighted
No of share
Average
No of share
Average
Options
Exercise
Options
Exercise
Price
Price
Outstanding at Beginning of Year
Expired during the year
Outstanding at the End of the Year
-
-
-
-
-
-
400,000
(400,000)
-
0.50
0.50
-
Details of movement in performance rights
Balance at Beginning of Year
Granted during the year
Forfeited/ Cancelled during the year
Converted during the year
Expired during the year
Balance at End of Year
2023
2022
Number of
Number of
Performance
Performance
Rights
Rights
160,000
2,020,000
(9,060,000)
-
(160,000)
(280,000)
(760,000)
-
-
(1,580,000)
8,300,000
160,000
BOAB METALS LIMITED
PAGE 67
NOTES TO THE FINANCIAL
STATEMENTS
18.
RESERVES (CONTINUED)
FOREIGN CURRENCY TRANSLATION RESERVE
Foreign currency translation reserve is used to recognise exchange differences arising from the
translation of financial statements of foreign operations that do not use Australian dollars as their
functional currency.
Consolidated
2023
$
2022
$
Balance at Beginning of Year
(333,442)
(333,758)
Exchange Differences Arising on Translation of Foreign Operations
15,992
316
Balance at End of Year
(317,450)
(333,442)
19.
PARENT ENTITY INFORMATION
Total Current Assets
Total Non-Current Assets
Total Assets
Total Current Liabilities
Total Non-Current Liabilities
Total Liabilities
Equity
Issued Capital
Share Based Payments Reserve
Accumulated Losses
Total Equity
Results of The Parent Entity
Loss for the Year
Other Comprehensive Income
Parent
2023
$
2022
$
4,330,046
3,948,989
6,479,150
2,245,749
10,809,196
6,194,738
252,578
263,076
71,564
165,264
324,142
428,340
53,677,822
48,198,398
1,763,293
1,526,601
(44,956,061)
(43,958,601)
10,485,054
5,766,398
(997,460)
(660,881)
-
-
Total Comprehensive Loss for the Year
(997,460)
(660,881)
ANNUAL REPORT FOR THE YEAR ENDED 30 JUNE 2023
PAGE 68
NOTES TO THE FINANCIAL
STATEMENTS
19.
PARENT ENTITY INFORMATION (CONTINUED)
CAPITAL AND CONTINGENT LIABILITIES
The parent entity had no capital or contingent liabilities as at 30 June 2023 (2022: Nil).
The accounting policies of the parent entity are consistent with those of the Group, as disclosed in
Note 1, except for investments in subsidiaries being accounted for at cost (less any impairment) in
the parent entity.
20.
INTERESTS IN SUBSIDIARIES
The consolidated financial statements incorporate the assets, liabilities and results of the following
wholly owned subsidiaries in accordance with the accounting policy described in Note 1b(i):
Subsidiary
Incorporated
Ownership
West Rock Resources Pty Ltd
Sorby Hills Pty Ltd
Sorby Management Pty Ltd
West Rock Resources Panama Corp.
Manbarrum Pty Ltd
Australia
Australia
Australia
Panama
Australia
Pacifico Minerals Sucursal Colombia (Branch)
Colombia
Pacifico Holdings SAS
Colombia
21.
REMUNERATION OF AUDITORS
2023
2022
100%
100%
100%
100%
100%
100%
100%
100%
100%
100%
100%
100%
100%
100%
During the period the following fees were paid, or payable, for services provided by the auditors of
the Group.
Audit Services
Stantons Audit and Review of Financial Reports
BDO Audit and Review of Financial Reports1/2
Total Remuneration for Audit Services
Consolidated
2023
$
2022
$
-
52,408
47,870
-
47,870
52,408
1 In December 2022, BDO Audit (WA) Pty Ltd was appointed as Boab Metals Limited auditor.
2 No non-audit services were provided by BDO Audit (WA) Pty Ltd.
BOAB METALS LIMITED
PAGE 69
NOTES TO THE FINANCIAL
STATEMENTS
22.
COMMITMENTS AND CONTINGENCIES
The Group plans to conduct exploration work on its tenements to meet obligations and retain rights of
tenure. If required, the Group can reduce these expenditure obligations by establishing joint venture
agreements, applications for expenditure exemptions, or selective relinquishment of exploration
tenements. Due to the nature of the Group’s operations in exploring and evaluating areas of interest, it
is difficult to accurately forecast future expenditure. The annual commitment across the Group for the
next year is $1,567,872 (2022: $1,978,574).
Exploration Commitments
Within One Year
Consolidated
2023
$
2022
$
1,567,872
1,978,574
Later than One Year But Not Later Than Five Years
2,057,447
2,190,371
Over Five Years
598,935
976,896
4,224,254
5,145,841
There are no material contingent assets of the Group at balance date (2022: Nil). In 2019 the acquisition
of the Sorby Hills Project included a provision for a 1% net smelter royalty payable to Quintana MH
Holding Company LLC that has been classified as a material Contingent Liability, this is still in existence
as at balance date 30 June 2023.
The terms of the acquisition of the Manbarrum Project included a Net Smelter Return (NSR) Royalty of
1.25% payable on future revenue generated from the sale of minerals extracted from the Manbarrum
Project. The royalty will be secured by a mining mortgage over the Manbarrum Project tenements
that may be subordinated to potential project financiers provided certain conditions are met. Boab
has retained the right to buy-back the royalty at market value subject to the completion of a Pre-
Feasibility Study on the Manbarrum Project.
23.
INTERESTS IN JOINT OPERATIONS
The Group recognises its share of jointly held assets, liabilities, revenues and expenses of joint operations.
These have been incorporated into the financial statements under the appropriate classifications.
Information relating to joint operations that are material to the Group are set out below:
• Borroloola West Project (Boab 51%). Net assets carried as at 30 June 2023 are Nil (2022: Nil).
• Sorby Hills Project (Boab 75%). Net assets carried as at 30 June 2023 are $4,373,828 after write
off of exploration costs of $3,557,546 and development costs of $363,921 (2022: $6,496,367 after
a write off of exploration costs of $4,355,745, development costs 2022 - Nil).
ANNUAL REPORT FOR THE YEAR ENDED 30 JUNE 2023
PAGE 70
NOTES TO THE FINANCIAL
STATEMENTS
24.
EVENTS OCCURRING AFTER THE BALANCE SHEET DATE
Boab Metals Limited has executed a Heads of Agreement (HOA) with the Shire of Wyndham and East
Kimberley (SWEK) for the construction and long term lease of a new 180-person accommodation
facility within Kununurra, 50Km from its 75% owned Sorby Hills Lead-Silver-Zinc project located in
the Kimberley Region of Western Australia.
Under the HOA, Boab will fund pre-construction work including approvals, workstreams and
conceptual design in return for securing a 10-year lease for the facility with an option to extend for
a further 5 years.
Boab’s pre-construction costs will be rebated against leasing costs.
SWEK will fund and oversee detailed design and construction of the facility.
There have been no other matters that would require disclosure subsequent to the end of the
financial year.
25.
CASH FLOW RECONCILIATION
RECONCILIATION OF NET LOSS AFTER INCOME TAX TO NET CASH OUTFLOW FROM OPERATING
ACTIVITIES
Net Loss for the Year
Non-Cash Items
Depreciation of Non Current and ROU Assets
Interest on Lease Liabilities
Consolidated
2023
2022
(5,917,433)
(6,804,523)
93,143
2,300
81,646
2,071
Share Based Payments - Director/Staff Options
369,692
(97,210)
Gain on sale of Motor Vehicle
Write Down of Borroloola investment
Foreign Exchange (Gain)/Loss
Change in Operating Assets and Liabilities
(1,657)
-
-
-
1,024,672
-
(Increase)/Decrease in Trade and Other Receivables
(145,884)
9,786
Decrease/(Increase) in Prepayments
(13,470)
(23,680)
Increase/(Decrease) in Operating, Trade and Other Payables
210,926
(714,289)
Increase/(Decrease) in Provisions
25,448
32,284
Net Cash Outflow from Operating Activities
(5,376,935)
(6,489,243)
BOAB METALS LIMITED
PAGE 71
NOTES TO THE FINANCIAL
STATEMENTS
26.
LOSS PER SHARE (POST CONSOLIDATION)
Earnings per share
Basic loss per share (cents per share)
Diluted loss per share (cents per share)
Net (loss)
Loss used to calculate earnings per share
Consolidated
2023
cents
(3.58)
(3.57)
2022
cents
(4.44)
(4.44)
Consolidated
2023
$
2022
$
(5,917,433)
(6,804,523)
(5,917,433)
(6,804,523)
Loss used to calculate diluted earnings per share
(5,917,433)
(6,804,523)
Number of Shares
2023
$
2022
$
Weighted average number of ordinary shares used in calculating
earnings per share
165,503,035
153,226,966
Weighted average number of ordinary shares used in calculating
diluted earnings per share
165,523,857
153,226,966
27.
SHARE BASED PAYMENTS
ORDINARY SHARES
Share Based Payments
Issued to Directors and Key Management Personnel
Consolidated
2023
$
369,692
2022
$
-
Reversal of previously recognised expense due to Performance
-
(97,210)
369,692
(97,210)
During the year 760,000 Performance Rights were converted to shares and issued to Directors (2022:
Nil). There were no ordinary shares issued to Directors in lieu of cash payments (2022: Nil).
ANNUAL REPORT FOR THE YEAR ENDED 30 JUNE 2023
PAGE 72
NOTES TO THE FINANCIAL
STATEMENTS
27.
SHARE BASED PAYMENTS (CONTINUED)
OPTIONS OVER ORDINARY SHARES
No Options were issued in 2023 (2022: Nil) and there were no options on issue as at 30 June 2023.
Performance Rights
9,060,000 Performance Rights were granted during the year to Directors and Key Management
Personnel (2022: Nil). During the year 160,000 Class “D” Performance Rights were cancelled per the
terms of the Shareholder Approval obtained at the Annual General Meeting of the Company held
on 20 October 2022. 760,000 Class “A” Performance Rights were converted into Ordinary Shares in
the Company upon the achievement of a milestone.
Performance rights on issue as at 30 June 2023 are as follows;
Details
Performance
Rights
Exercise
Price
Grant Date
Expiry Date
Class “B” Performance Rights
3,400,000
Class “C” Performance Rights
4,200,000
Employee Performance Rights
700,000
Nil
Nil
Nil
20/10/2022
24/10/2027
20/10/2022
24/10/2027
20/10/2022
28/03/2024
8,300,000
BOAB METALS LIMITED PAGE 73
NOTES TO THE FINANCIAL
STATEMENTS
27.
SHARE BASED PAYMENTS (CONTINUED)
Performance Rights Valuation Inputs
Class A Performance
Rights
Class B Performance
Rights
Class C Performance
Rights
Methodology
Monte Carlo
Monte Carlo
Monte Carlo
Iterations
Grant date
Expiry date
760,000
3,400,000
4,200,000
20 October 2022
20 October 2022
20 October 2022
25 October 2027
25 October 2027
25 October 2027
Share price at grant date ($)
Exercise price ($)
VWAP hurdle ($)
Risk-free rate (%)
Volatility (%)
Dividend yield (%)
0.175
nil
0.50
3.701
100
nil
0.175
nil
0.60
3.701
100
nil
0.175
nil
0.70
3.701
100
nil
Fair value per right ($)
0.1576
0.1532
0.1494
The fair value of the performance rights has been calculated using the Monte Carlo valuation method
with key inputs noted above.
The Performance Rights will, if not vested lapse on 25 October 2027.
Performance rights will be automatically exercisable when the performance hurdle has been achieved.
Each performance right which vests will entitle the holder to be issued one share in the Company.
On 22 February 2023, the Company granted 700,000 performance rights to Mr. Paul Hewitt (Project
Director) as part of the Employee Securities Incentive Plan (ESIP). The performance rights will vest
upon the successful achievement of the financial investment decision (FID). Given the non-market
based vesting condition the fair value per right was determined to be the share price on grant date of
$0.22. The performance rights expire 12 months from issue date.
ANNUAL REPORT FOR THE YEAR ENDED 30 JUNE 2023 PAGE 74
NOTES TO THE FINANCIAL
STATEMENTS
27.
SHARE BASED PAYMENTS (CONTINUED)
Performance Rights Issued to Directors
Security
Recipient
Number
Details
Vesting condition
Exercise
price
Expiry
date
Class A
Performance
Rights
Class B
Performance
Rights
Class C
Performance
Rights
Gary Comb
120,000
Simon Noon
480,000
Andrew Parker
80,000
Richard Monti
80,000
Performance
Rights issued for
nil consideration
each exercisable
into one ordinary
share at any
time between
meeting the
vesting condition
and the expiry
date
Gary Comb
600,000
Simon Noon
2,000,000
Andrew Parker
400,000
Richard Monti
400,000
Performance
Rights issued for
nil consideration
each exercisable
into one ordinary
share at any
time between
meeting the
vesting condition
and the expiry
date
Gary Comb
800,000
Simon Noon
2,400,000
Andrew Parker
500,000
Richard Monti
500,000
Performance
Rights issued for
nil consideration
each exercisable
into one ordinary
share at any
time between
meeting the
vesting condition
and the expiry
date
Upon achievement of:
- successful completion
of a definitive feasibility
study; or
- the volume weighted
average price (“VWAP”)
of the Company’s
shares traded on the
Australian Securities
Exchange (“ASX”) is
equal to or greater
than $0.50 for 10 con-
secutive business days
Upon achievement of:
- The Company
successfully securing
Project Finance in an
amount not less than
$50 million; or
- The VWAP of the
Company’s shares
traded on the ASX is
equal to or greater
than $0.60 for 10
consecutive business
days
Upon achievement of:
- completion of first
commercial production
(as defined in the terms
and conditions); or
- The VWAP of the
Company’s shares
traded on the ASX is
equal to or greater
than $0.70 for 10
consecutive business
days
nil
25
October
2027
nil
25
October
2027
nil
25
October
2027
BOAB METALS LIMITED PAGE 75
NOTES TO THE FINANCIAL
STATEMENTS
28.
RELATED PARTY TRANSACTIONS
Other than the transactions with Directors and Key Management Personnel as disclosed in the
Remuneration Report, there were no related party transactions to report for the period.
KEY MANAGEMENT PERSONNEL COMPENSATION
Short Term Employee Benefit
Consolidated
2023
$
2022
$
636,513
730,862
Shares issued on achievement of Performance Rights milestone
133,000
-
Share Based Payments
Post-Employment Benefit
369,692
(97,210)
58,418
67,591
1,197,623
701,243
ANNUAL REPORT FOR THE YEAR ENDED 30 JUNE 2023
PAGE 76
DIRECTORS’ DECLARATION
The Directors of the Company declare that:
1. The financial statements accompanying the notes are in accordance with the Corporations
Act 2001, and:
a. Comply with Accounting Standards, the Corporations Act 2001 and other
mandatory professional reporting requirements;
b. Give a true and fair view of the financial position as at 30 June 2023 and of the
performance for the report period for the consolidated entity.
2. In the Directors’ opinion, there are reasonable grounds to believe that the Group will be able
to pay its debts as and when they become due and payable.
3. In the Directors’ opinion, the financial statements and notes are prepared in compliance with
IFRS and interpretations issued by the International Accounting Standards Board.
4. The remuneration disclosures as set out on pages 29-37 of the Directors’ Report comply
with Accounting Standards AASB 124 Related Party Disclosures and section 300A of the
Corporations Act 2001.
5. The Directors have been given the declarations required under section 295A of the Corporations
Act 2001.
This declaration is made in accordance with a resolution of the Board of Directors and is signed on
behalf of the Directors.
Gary Comb
Chairman
22 September 2023
BOAB METALS LIMITED
PAGE 77
INDEPENDENT AUDITOR’S
REPORT
Tel: +61 8 6382 4600
Fax: +61 8 6382 4601
www.bdo.com.au
Level 9, Mia Yellagonga Tower 2
5 Spring Street
Perth, WA 6000
PO Box 700 West Perth WA 6872
Australia
INDEPENDENT AUDITOR'S REPORT
To the members of Boab Metals Limited
Report on the Audit of the Financial Report
Opinion
We have audited the financial report of Boab Metals Limited (the Company) and its subsidiaries (the
Group), which comprises the consolidated statement of financial position as at 30 June 2023, the
consolidated statement of profit or loss and other comprehensive income, the consolidated statement
of changes in equity and the consolidated statement of cash flows for the year then ended, and notes
to the financial report, including a summary of significant accounting policies and the directors’
declaration.
In our opinion the accompanying financial report of the Group, is in accordance with the Corporations
Act 2001, including:
(i)
(ii)
Giving a true and fair view of the Group’s financial position as at 30 June 2023 and of its
financial performance for the year ended on that date; and
Complying with Australian Accounting Standards and the Corporations Regulations 2001.
Basis for opinion
We conducted our audit in accordance with Australian Auditing Standards. Our responsibilities under
those standards are further described in the Auditor’s responsibilities for the audit of the Financial
Report section of our report. We are independent of the Group in accordance with the Corporations
Act 2001 and the ethical requirements of the Accounting Professional and Ethical Standards Board’s
APES 110 Code of Ethics for Professional Accountants (including Independence Standards) (the Code)
that are relevant to our audit of the financial report in Australia. We have also fulfilled our other
ethical responsibilities in accordance with the Code.
We confirm that the independence declaration required by the Corporations Act 2001, which has been
given to the directors of the Company, would be in the same terms if given to the directors as at the
time of this auditor’s report.
We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis
for our opinion.
Key audit matters
Key audit matters are those matters that, in our professional judgement, were of most significance in
our audit of the financial report of the current period. These matters were addressed in the context of
our audit of the financial report as a whole, and in forming our opinion thereon, and we do not provide
a separate opinion on these matters.
BDO Audit (WA) Pty Ltd ABN 79 112 284 787 is a member of a national association of independent entities which are all members of BDO Australia
Ltd ABN 77 050 110 275, an Australian company limited by guarantee. BDO Audit (WA) Pty Ltd and BDO Australia Ltd are members of BDO
International Ltd, a UK company limited by guarantee, and form part of the international BDO network of independent member firms. Liability
limited by a scheme approved under Professional Standards Legislation.
ANNUAL REPORT FOR THE YEAR ENDED 30 JUNE 2023
PAGE 78
INDEPENDENT AUDITOR’S
REPORT
Accounting for Exploration and Evaluation Assets
Key audit matter
How the matter was addressed in our audit
At 30 June 2023, we note that the carrying value of the
Our procedures included, but were not limited to:
Exploration and Evaluation Asset is significant to the
financial statements, as disclosed in note 10.
•
Obtaining a schedule of the areas of interest
held by the Group and assessing whether the
As a result, we considered it necessary to assess
rights to tenure of those areas of interest
whether any facts or circumstances exist to suggest
remained current at balance date;
that the carrying amount of this asset may exceed its
recoverable amount.
•
Considering the status of the ongoing
exploration programmes in the respective
Judgement is applied in determining the treatment of
areas of interest by holding discussions with
exploration expenditure in accordance with Australian
management, and reviewing the Group’s
Accounting Standard AASB 6 Exploration for and
exploration budgets, ASX announcements and
Evaluation of Mineral Resources. In particular:
directors’ minutes;
• Whether the conditions for capitalisation are
•
Considering whether any such areas of
satisfied; and
• Whether facts and circumstances indicate that
the exploration and evaluation assets should
interest had reached a stage where a
reasonable assessment of economically
recoverable reserves existed;
be tested for impairment.
•
Considering whether any facts of
circumstances existed to suggest impairment
testing was required; and
•
Assessing the adequacy of the related
disclosures in Note 10 of the Financial
Report.
BOAB METALS LIMITED
PAGE 79
INDEPENDENT AUDITOR’S
REPORT
Other Matter
The financial report of Boab Metals Limited, for the year ended 30 June 2022 was audited by another
auditor who expressed an unmodified opinion on that report on 2 September 2022.
Other information
The directors are responsible for the other information. The other information comprises the
information in the Group’s annual report for the year ended 30 June 2023, but does not include the
financial report and the auditor’s report thereon.
Our opinion on the financial report does not cover the other information and we do not express any
form of assurance conclusion thereon.
In connection with our audit of the financial report, our responsibility is to read the other information
and, in doing so, consider whether the other information is materially inconsistent with the financial
report or our knowledge obtained in the audit or otherwise appears to be materially misstated.
If, based on the work we have performed, we conclude that there is a material misstatement of this
other information, we are required to report that fact. We have nothing to report in this regard.
Responsibilities of the directors for the Financial Report
The directors of the Company are responsible for the preparation of the financial report that gives a
true and fair view in accordance with Australian Accounting Standards and the Corporations Act
2001 and for such internal control as the directors determine is necessary to enable the preparation of
the financial report that gives a true and fair view and is free from material misstatement, whether
due to fraud or error.
In preparing the financial report, the directors are responsible for assessing the ability of the group to
continue as a going concern, disclosing, as applicable, matters related to going concern and using the
going concern basis of accounting unless the directors either intend to liquidate the Group or to cease
operations, or has no realistic alternative but to do so.
Auditor’s responsibilities for the audit of the Financial Report
Our objectives are to obtain reasonable assurance about whether the financial report as a whole is free
from material misstatement, whether due to fraud or error, and to issue an auditor’s report that
includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an
audit conducted in accordance with the Australian Auditing Standards will always detect a material
misstatement when it exists. Misstatements can arise from fraud or error and are considered material
if, individually or in the aggregate, they could reasonably be expected to influence the economic
decisions of users taken on the basis of this financial report.
A further description of our responsibilities for the audit of the financial report is located at the
Auditing and Assurance Standards Board website (http://www.auasb.gov.au/Home.aspx) at:
https://www.auasb.gov.au/admin/file/content102/c3/ar1_2020.pdf
This description forms part of our auditor’s report.
ANNUAL REPORT FOR THE YEAR ENDED 30 JUNE 2023
PAGE 80
INDEPENDENT AUDITOR’S
REPORT
Report on the Remuneration Report
Opinion on the Remuneration Report
We have audited the Remuneration Report included in pages 29 to 37 of the directors’ report for the
year ended 30 June 2023.
In our opinion, the Remuneration Report of Boab Metals Limited, for the year ended 30 June 2023,
complies with section 300A of the Corporations Act 2001.
Responsibilities
The directors of the Company are responsible for the preparation and presentation of the
Remuneration Report in accordance with section 300A of the Corporations Act 2001. Our responsibility
is to express an opinion on the Remuneration Report, based on our audit conducted in accordance with
Australian Auditing Standards.
Glyn O'Brien
Director
BDO Audit (WA) Pty Ltd
Perth,
22 September 2023
BOAB METALS LIMITED PAGE 81
SHAREHOLDER INFORMATION
AS AT 19 SEPTEMBER 2023
Additional information is set out below in accordance with the listing rules of the Australian Stock
Exchange Limited and is current as at 19 September 2023.
1.
STATEMENT OF ISSUED CAPITAL
Distribution of holdings for Ordinary Shares on Issue ‘BML’:
Number of Holders by Holding Size
Holders
Total Units
% of Issued
Capital
1 - 1,000
1,001 - 5,000
5,001 - 10,000
10,001 - 100,000
100,001 and over
Total
161
1,209
615
1,261
276
37,300
3,383,273
4,776,485
0.02%
1.94%
2.74%
43,399,988
24.88%
122,865,724
70.43%
3,522
174,462,770
100.00%
Ordinary shares carry one vote per share without restriction. The number of fully paid ordinary
shareholdings held in less than marketable parcels is 956 (based on a share price of $0.155).
2.
UNQUOTED SECURITIES
Distribution of holdings for Performance Rights on issue:
“B” class Performance Rights on issue expire on 25 October 2027 and have vesting conditions
attached. Each Performance Right vests into one Ordinary Fully Paid Share on conversion.
Number of Holders by Holding Size
Holders
Total Units*
1 - 1,000
1,001 - 5,000
5,001 - 10,000
10,001 - 100,000
100,001 and over
Total
-
-
-
-
4
4
% of Issued
Capital
-
-
-
-
-
-
-
-
3,400,000
100.00%
3,400,000**
100.00%
* Performance Shares do not carry any voting rights until they vest and are converted into
Ordinary Fully Paid shares.
** Mr Simon Alexander Noon holds 58.9% or 2,000,000 “B” class Performance Rights.
ANNUAL REPORT FOR THE YEAR ENDED 30 JUNE 2023 PAGE 82
SHAREHOLDER INFORMATION
AS AT 19 SEPTEMBER 2023
2.
UNQUOTED SECURITIES (CONTINUED)
C” class Performance Rights on issue expire on 25 October 2027 and have vesting conditions
attached. Each Performance Right vests into one Ordinary Fully Paid Share on conversion.
Number of Holders by Holding Size
Holders
Total Units
1 - 1,000
1,001 - 5,000
5,001 - 10,000
10,001 - 100,000
100,001 and over
Total
-
-
-
-
4
4
% of Issued
Capital
-
-
-
-
-
-
-
-
4,200,000
100.00%
4,200,000**
100.00%
* Performance Shares do not carry any voting rights until they vest and are converted into
Ordinary Fully Paid shares.
** Mr Simon Alexander Noon holds 57.1% or 2,400,000 “B” class Performance Rights
Employee Incentive Performance Rights on issue expire on 28 March 2024 and have vesting
conditions attached. Each Performance Right vests into one Ordinary Fully Paid Share on
conversion.
Number of Holders by Holding Size
Holders
Total Units*
1 - 1,000
1,001 - 5,000
5,001 - 10,000
10,001 - 100,000
100,001 and over
Total
-
-
-
-
1
1
% of Issued
Capital
-
-
-
-
-
-
-
-
700,000
100.00%
700,000
100.00%
* Employee Incentive Performance Rights do not carry any voting rights until they vest and are
converted into Ordinary Fully Paid shares.
On-Market Buy back
There is no current on-market buy back.
Restricted Securities
The Company has no restricted securities currently on issue.
BOAB METALS LIMITED PAGE 83
SHAREHOLDER INFORMATION
AS AT 19 SEPTEMBER 2023
SUBSTANTIAL SHAREHOLDERS
Holder**
VILLIERS QUEENSLAND PL*
Number
15,246,527
%
8.74
* Denotes merged holders.
** The holders detailed above held more than 5% of the Issued Capital of the Company as at the date of
this additional Shareholder information.
ANNUAL REPORT FOR THE YEAR ENDED 30 JUNE 2023 PAGE 84
SHAREHOLDER INFORMATION
AS AT 19 SEPTEMBER 2023
3.
QUOTATION
Fully paid ordinary shares are quoted on the Australian Stock Exchange Limited. There is a total of
174,462,770 shares on issue. The top twenty shareholders, as listed below, hold 35.31% of these shares:
Position
Holder Name
Holding
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
VILLIERS QUEENSLAND PL*
ZERO NOMINEES PTY LTD
CITICORP NOMINEES PTY LIMITED
MR BRENT DAVID CONNOLLY
CURIOUS COMMODITIES PTY LTD
SURPION PTY LTD
15,246,527
7,547,620
5,862,557
4,390,000
2,771,163
2,600,000
MR GRAHAM CHARLES POWELL
2,485,000
HSBC CUSTODY NOMINEES
(AUSTRALIA) LIMITED
SIMON NOON*
MR WARWICK DYSON
SOJOURN SERVICES PTY LTD
LADAKH PTY LTD
BNP PARIBAS NOMINEES PTY LTD
MIEI RAGAZZI PTY LTD
BNP PARIBAS NOMS PTY LTD
RICHARD MONTI*
TODD RIVER METALS PTY LTD
GREENFEET PTY LTD
HSBC CUSTODY NOMINEES
(AUSTRALIA) LIMITED
BOLTON & LING SUPER PTY LTD
Total
2,429,563
2,362,000
2,000,000
1,875,000
1,773,182
1,583,187
1,575,000
1,434,523
1,324,982
1,186,521
1,100,000
1,032,000
1,017,888
61,596,713
Total Issued Capital - Ordinary
174,462,770
%
8.74%
4.33%
3.36%
2.52%
1.59%
1.49%
1.42%
1.39%
1.35%
1.15%
1.07%
1.02%
0.91%
0.90%
0.82%
0.76%
0.68%
0.63%
0.59%
0.58%
35.31%
100.00%
BOAB METALS LIMITED PAGE 85
SHAREHOLDER INFORMATION
4.
SCHEDULE OF INTERESTS IN MINING TENEMENTS HELD
Farm-In Agreements/
Project Tenements
Location
% Held
Sorby Hills Project
M80/196
M80/197
M80/285
M80/286
M80/287
E80/5317
Borroloola West Project
EL31354
EL26938
EL26939
EL28508
EL28658
EL30305
MLN624
Manbarrum Project
EL24395
MA24518
MA26581
Urrao Project
2791
Western Australia
Northern Territory Australia
Northern Territory Australia
75%
75%
75%
75%
75%
100%
100%
51%
51%
51%
51%
51%
51%
100%
100%
100%
Colombia
100%
ANNUAL REPORT FOR THE YEAR ENDED 30 JUNE 2023 ANNUAL REPORT 2023
4 Clive St, West Perth WA 6005
+61 6268 0449
www.boabmetals.com