ACN: 616 795 245
ANNUAL REPORT
30 JUNE 2023
2023 Annual Report
CONTENTS
Corporate Directory
Letter from the Chairman
Directors’ Report
Consolidated Statement of Profit or Loss and Other Comprehensive Income
Consolidated Statement of Financial Position
Consolidated Statement of Changes in Equity
Consolidated Statement of Cash Flows
Notes to the Financial Statements
Directors' Declaration
Auditor’s Independence Declaration
Independent Auditors’ Report
Annual Mineral Resource Statement
Additional ASX Information
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2023 Annual Report
Corporate Directory
Directors
Ian Stuart
Leslie Ingraham
Brian Davis
Non-executive Chair
Non-executive Director
Non-executive Director
Chief Executive Officer
Ashley Jones
Company Secretary
Neville Bassett
Registered Office & Principal Place of Business
Level 2, 50 Kings Park Rd
West Perth WA 6005
Telephone
08 9321 0001
Share Registry
Automic Pty Ltd
Level 5, 191 St Georges Terrace,
Perth WA 6000
Telephone
1300 288 664
Auditors
Elderton Audit Pty Ltd
Level 32, 152 St Georges Terrace,
Perth WA 6000
Solicitors
Steinepreis Paganin
Level 4, The Read Building,
16 Milligan Street,
Perth WA 6000
Securities Exchange Listing
Bryah Resources Limited shares (BYH) and options (BYHOA) are quoted on the Australian Securities
Exchange (ASX).
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2023 Annual Report
Letter from the Chair
On behalf of your Board of Directors, I have pleasure in presenting the Annual Report and Financial
Statements of Bryah Resources Limited for the year to 30 June 2023.
Since the last Annual Report, Bryah has drilled two campaigns in its Manganese project to extend the March
2022 Manganese JORC compliant mineral resource estimate. It has signed a collaboration agreement with
the Government relating to Australian Vanadium’s $49M grant to collaborate on the base metal inventory at
Gabanintha. We have also drilled two deep diamond drill holes at Windalah to locate a potential
Volcanogenic Massive Sulphide (VMS) style mineralisation at the Windalah project and released encouraging
results from the Olympus Project, both in the Bryah Basin.
Bryah’s portfolio is dominated by the battery metals, lithium, manganese, copper and nickel. Evolving
political policy, electrification of the transportations sector and a global push to decarbonise the economy
means a very positive outlook for these metals which is expected to push demand to record levels.
In 2022/23 the Company has continued its exploration at Windalah after identifying a VMS style
mineralisation. The Olympus prospect EIS drilling results were release in September 2022 and indicated
sulphide zones geochemically similar to Windalah. The Windalah deep diamond drilling., partially funded by
an Exploration incentive scheme (EIS) were also completed to vertical depths of 350m and 450m and
intersected again massive pyrite indicative of a VMS.
The Bryah Manganese Joint Venture is with OM (Manganese) Limited, a wholly owned subsidiary of ASX-
listed OM Holdings Limited, a vertically integrated manganese company. OM (Manganese) Limited is funding
exploration activities earning 51% JV interest in the Joint Venture (JV). The resource mineral estimate of 1.8
million Tonnes at 21% Mn was increased subsequently to the year end and was a result of the June/July and
December drill campaigns totalling 3,015m of RC drilling over 79 drill holes. The mineral resource is now 3.07
million tonnes at 20.2% Mn.
A collaboration agreement with the Australian Government and Australian Vanadium was signed in relation
to the $49 million Modern Manufacturing Initiative Collaboration Stream grant (MMI) to AVL. With the aid
of this grant, Bryah will assist AVL to help bring the base metals circuit (Ni, Cu and Co) to the BFS level of
study.
Additionally, Bryah holds 18.43% in ASX-listed Star Minerals and further performance rights on success
conditions, keeps exposure to the project’s success and the gold price. Bryah had an option agreement on its
Lake Johnston Lithium tenements package with Mining Green Metals which was not exercised and Bryah is
now advancing an exploration program for this prospective Lithium exploration package.
The Board of Bryah Resources Limited remains committed to developing a successful well-funded,
exploration business with a focus on copper, manganese, and other critical energy metals. I again thank
management, our employees and consultants for their achievements this year and the ongoing support of
our growing number of shareholders. We look forward to another very active year on our Projects in 2024.
Yours faithfully,
Ian Stuart
Non-executive Chair
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2023 Annual Report
Directors’ Report
Your directors present their report on Bryah Resources Limited (“Bryah” or the “Company”) and its subsidiary
(the “Consolidated Entity” or “Group”) for the year ended 30 June 2023.
Corporate Highlights
Corporate
$1,432,250 (before costs) raised in August 2022 to fund gold-copper exploration activities and working
capital.
Renounceable Rights Issue raising $1,147,049 (before costs) in May 2023. The Company issued 60,370,971
new fully paid ordinary shares and 40,247,385 free attaching options exercisable at $0.035 each, with an
expiry date of 1 December 2025.
Bryah presented to the Brisbane Mining Conference. The presentation can be located at the link:
https://vimeo.com/810790800
Bryah Basin – Gold-Copper
Windalah
• Results received for 717m (1,216 including RC pre-collars) diamond drilling program completed in late
2022.
• Best results include:
o 2m @ 3.88 g/t Au from 437m in BBRD072
o 1m @ 0.35% Cu from 429m in BBRD072
• Targeting Cu-Au VMS mineralisation at 300m and 500m depth
• Deep VMS targets are a product of multiple lines of strong geological evidence
• Downhole electromagnetic surveys to test for off-hole conductors commenced in H2 2023
• WA State Government EIS Co-funding for $140,0001
Olympus
First pass drilling at Olympus for a total of 2,148m of RC drilling completed in June/July 2022 and has
identified a prospective mineralised horizon.
Semi massive sulphide mineralisation and anomalous copper up to 0.1% Cu.
Highly anomalous Volcanogenic Hosted Massive Sulphide (VHMS) pathfinder elements identified.
Follow up copper-gold drill targets identified.
WA State Government EIS grant funding for $130,000 covered approximately 50% of the drilling costs.
1 See ASX announcement dated 2nd May 2022 ‘Bryah Secures $140,000 Drilling Grant’.
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2023 Annual Report
Follow up downhole electromagnetic (DHEM) surveys planned to test for off-hole conductors that may
correspond with copper sulphide mineralisation.
Aquarius Trend
Successful WA State Government EIS grant funding for $165,0002.
Multiple early-stage geochemical anomalies identified.
Bryah Basin – Manganese Joint Venture
• Results received for the following drill programs at the Brumby Creek project area:
• 41 drill holes for 1,557 metres of RC drilling completed at the Brumby Creek manganese targets.
• Best intersects downhole drill hole Intersections at Brumby Creek West of:
o 9m at 26.7% Mn in hole BRRC232 from 13m
o 7m at 21.7% Mn in hole BRRC233 from 16m
o 12m at 21.6% Mn in hole BRRC234 from 16m
• Best intersects downhole drill hole Intersections at Red Rum of:
o 7m at 26.4% Mn in hole RRRC053 from 9m
o 7m at 23.0% Mn in hole RRRC055 from 7m including 4m at 27.3% Mn
o 10m at 27.2% Mn in hole RRRC064 from 14m
• Gradient Array Induced Polarisation (GAIP) surveys completed over 5 project areas.
• Mapping and rock chip results3:
o Black Hill Northeast prospect include: 54.9% Mn, 50.3% Mn, 49.5% Mn, 53.3% Mn
o Gold Trip prospect include: 47.5% Mn, 45.7% Mn, 38.2% Mn, 35.5% Mn
o Epona prospect include: 41.5% Mn, 38.1% Mn, 36.3% Mn, 33.3% Mn,
o Black Beauty North prospect include: 42.4% Mn, 40.0% Mn, 39.2% Mn, 35.7% Mn
Gabanintha –-Base Metals
• Australian Vanadium Limited (AVL) executed a $49 million grant agreement under the Federal
Government Modern Manufacturing Initiative – Manufacturing Collaboration Stream to support the
Australian Vanadium Project.
• Bryah Resources signs as a collaboration participant and retains the nickel and copper rights.
• The collaboration between AVL and Bryah is focused on realising the significant strategic value of the
Ni, Co and Cu within the non-magnetic tailings fraction at the Australian Vanadium Project.
• The target base metals are contained in the Indicated portion of the Mineral Resource, 16.1 Mt @ 762
ppm Nickel, 212 ppm Copper and 231 ppm Cobalt, included in the high-grade vanadium zone within
the planned open pits of AVL’s vanadium project as described in its Bankable Feasibility Study.
• The collaborative project includes recovery of nickel, copper and cobalt from the tails stream.
Discussions with AVL on an alternative testwork program in progress.
2 See ASX announcement dated 2nd May 2022 ‘Bryah Secures $165,000 Drilling’.
3 See ASX announcement dated 2nd February 2023 ‘ High-grade Rock Chips confirms Manganese Prospectivity’.
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2023 Annual Report
Copper Hills
• Close spaced 25m lines ground magnetics survey completed at Copper Hills South Prospect.
• Copper mineralisation intersected at Copper Hills South Prospect in 5 historical drill holes. Best
intersection reported in 20134 was:
o GRC1152 - 18 metres (7-25m) @ 0.42% Cu, including 2m (20-22m) @ 2.19% Cu
• Copper mineralisation in GRC1152 is open in all directions.
Lake Johnston Lithium Nickel Project (100%)
An Option agreement amended with Mining Green Metals (MGM) to acquire a 70% interest in the Lake
Johnston Lithium-Nickel project.
A transaction deal over $2 million upon a successful Initial Public Offer (IPO).
Subsequent to June 30, MGM advised that they are not exercising the option on the tenements due to the
IPO condition not being met. Bryah is now advancing an exploration program for this prospective Lithium
exploration package.
West Bryah Targets (100%)
Desktop review shows rare earth element and uranium potential.
Follow up of reported pegmatites with rock chips collected for rare earth element (REE) assaying.
Yarlarweelor complex and the Despair Granite is Archean I type granite with mapped pegmatites historically
reported.
Uranium intersection of 35m at 503ppm U3O8 less than 200m from the tenement boundary.
Anomalous Lanthanum values in statewide dataset
4 See Yellow Rock Resources Limited (ASX: YRR) ASX announcement dated 27 November 2013 for full details.
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2023 Annual Report
Review of Operations
Bryah holds a quality exploration portfolio in three highly prospective locations in Western Australia (Figure
1). Two projects have production potential with JORC compliant mineral resource estimates defined. Bryah
have defined JORC resources estimates of manganese in the Bryah Basin and Nickel and Copper in the
Gabanintha area south of Meekatharra.
Exploration upside is the core focus with copper targets in the Bryah Basin at the projects; Windalah and
Olympus where VMS style mineralisation has been identified.
Figure 1 Project Location Map
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2023 Annual Report
The Bryah Basin project covers approximately 1,048km2 in central Western Australia. The project is located
close to several mining operations including the high-grade Volcanogenic Massive Sulphide (VMS) DeGrussa
copper-gold mine operated by Sandfire Resources NL (ASX: SFR) and the Fortnum gold mine operated by
Westgold Resources Limited (ASX: WGX) (Figure 2).
During the period, the Company has made considerable progress in refining a VMS target at Windalah and
has expanded what it has learnt to other nearby areas that display similar geochemical anomalies. Previous
diamond drilling intersected massive pyrite zones and then large intersections of pyrite stringers. Two deep
holes totalling 1,261m were drilled targeting the 300m and 500m vertical depth. The sulphide style was
interpreted as VMS style mineralisation. RC pre-collars and diamond drilling extensions completed at
Windalah totalling 1,261m over the 2 holes with results released in May 2023. Results from the June 2022
drilling were released this period for the 2,148m drill program at the Olympus project.
Figure 2 Bryah Basin Project Location Plan
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2023 Annual Report
Windalah
VMS systems in the Bryah Basin are known to host high-grade copper-gold deposits such as Sandfire’s
DeGrussa and Monty mines and the historical Horseshoe Lights mine, located 13 kilometres to the north of
Bryah’s Windalah Prospect. The exploration target at Windalah occupies the same stratigraphic position as
the Horseshoe Lights deposit.
The Current geological model and targeting hypothesis remain the same. A massive, laminated sulphide
horizon is thought to occur along the intersection of a footwall stringer zone and the ‘ore stratigraphic
horizon’ – the equivalent stratigraphic position of the nearby Horseshoe Lights Cu-Au mine. Bryah believes
that following structural, geological, geochemical and hyperspectral vectors will lead to the discovery of Cu
sulphides at greater depth than current drilling.
Figure 3: Schematic geological map of the Windalah prospect showing the plunging target zone and BBRD072 and
BBRD076.
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2023 Annual Report
Figure 4: Schematic Cross section showing significant intercepts from latest drilling.
Current deep drilling at Windalah has focussed on a narrow window of the prospective plunging target zone.
The holes were strategically designed to cover both down dip and lateral extent with respect to the following
DHEM surveys. The upcoming DHEM survey will allow us to cover much more of the target zone.
The next steps for the Windalah copper-gold project are:
• Downhole Electromagnetic Surveys (DHEM).
• Renewed geological interpretation and targeting.
Downhole Electromagnetic Surveying
It is anticipated that downhole electromagnetic (DHEM) surveying will be undertaken on the full length of
BBRD072 and BBRD076 (includes RC precollar and diamond tail). A total length of the drillholes will be
surveyed.
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2023 Annual Report
Figure 5: Schematic geological map of the Windalah prospect showing approximate 50, 100, and 150 metre search
radius/DHEM coverage.
Olympus EIS Funding Co-funded Drilling
The results for the EIS ($130,000) co-funded RC drilling program included 9 holes drilled across the full strike
length of the Olympus Soil Geochemical Anomaly were reported in September 20225. The project has similar
elemental anomalism to Windalah and relative values indicate it may be closer to the ‘hotter’ parts of the
VMS targets. Drilling these holes commenced in the last week of June 2022.
The holes were drilled on five 320m spaced lines with some sections containing multiple holes to provide
stratigraphic section. A total of 2,148m of RC drilling was completed in June/July 2022. The map in Figure 6
shows the location of these drillholes.
5 ASX announcement 13 September -Olympus Prospect confirmed VMS type Copper-Gold from Co-funded EIS drilling.
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2023 Annual Report
Figure 6: Drillhole collar locations showing inferred geological contacts and the Olympus soil geochemical anomaly.
Olympus lies on the Northern limb of the Mars Dome, which forms part of a series of double-plunging
anticlinal dome structures in the northern Bryah Basin. This is termed the Aquarius trend and consists also of
the Saturn and Jupiter Domes to the north-west. These dome structures connect laterally with outcropping
Narracoota Formation to the northeast through a series of possible covered dome and basin structures.
Reverse Circulation (RC) drilling at Olympus has so far identified a downhole pathfinder anomalous zone with
copper-gold potential in the stratigraphic footwall. Drilling has identified numerous lithofacies, textures,
mineralogy, alterations, and styles of mineralisation that are typical of high sulphidation VMS deposits such
as the nearby Horseshoe Lights Cu-Au mine.
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2023 Annual Report
Highlight observations include:
•
Identification of a spatially coherent Pb-Bi-Mo-(Cu-Zn-Te-Se) anomaly approaching the hanging wall
contact to mineralised stratigraphic horizon. This level of enrichment is also observed in the hanging
wall volcaniclastics at Windalah.
• Observation of semi-massive sulphide mineralisation. The most significant intercept of sulphide
mineralisation includes 1m @ 33 wt% pyrite6.
• Some chips of semi-massive pyrite appear to show a fine-grained, granular texture - a distinctive
textural feature of the Windalah and Horseshoe Lights massive sulphide.
Reverse Circulation (RC) drilling at Olympus has identified a geochemical pathfinder enrichment similar to
that observed in the hanging wall transition facies stratigraphy at the Windalah Cu-Au prospect.
These pathfinder elements, especially Pb, Bi, Te, and As, suggest there is potential for a Windalah-style
massive sulphide system in the stratigraphic footwall to the current limit of drilling at Olympus. This will be
the target of further drill campaigns.
This enrichment forms a spatially coherent, vaguely stratiform multi-element anomaly in the hanging wall to
observed sulphides and approaching the interpreted mineralised stratigraphic horizon (Figure 6). A similar
spatial distribution of enrichment in hanging wall volcanics observed is considered encouraging and may
imply a similar hydrothermal system.
6 wt% pyrite estimates are based on sulphur assays. The accepted estimation is pyrite wt% = S% x 1.87 (assuming all sulphur is in
pyrite).
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2023 Annual Report
Bryah Basin Project – Manganese Joint Venture (49% BYH)
During the period, RC drilling results were reported for the December 2022 drilling program. Drilling results
for both Red Rum and Brumby Creek West continues to identify further manganese mineralisation.
Figure 7: Rock chip locations with geology background showing the Horseshoe Formation
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2023 Annual Report
Brumby Creek West Drilling Results
Drilling during December 2022 was aimed to extend known mineralisation. The area targeted was Brumby
West which would extend the current mineral JORC resource. The area was open in multiple directions after
the last round of drilling in 2022.
Figure 8: Collar Plan of December 2022 Manganese Drilling (Red collars)
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2023 Annual Report
Figure 9 Oblique section A-A1 at Brumby West
Drilling continues to indicate that a mineralised Mn unit is still open to the south of the current resource
area. The new drill intersections will be used to expand and update the current JORC resource of the prospect.
Red Rum Drilling Results
Area 74 and Redrum prospects were targeted to extend the areas where manganese mineralisation was open
in multiple directions after the last drilling campaign in 2022. Drilling to the south targeted a potential
channel in the southern area of Redrum enlarging the prospective area7.
7 See ASX announcement dated 10th May 2023 ‘Drilling at Redrum Increases Resource Potential’.
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2023 Annual Report
Figure 10 Collar Plan of December 2022 Manganese Drilling (Red collars)
Shallow mineralisation is evident in the area which appears to be consistent across multiple areas. Geological
modelling has commenced to assist in targeting further mineralisation. Mineralisation now covers over 300m
in strike and over 100m in width and is still open.
In April 2019, Bryah executed a Manganese Farm-In and Joint Venture Agreement (“JV Agreement”) with
OMM, a wholly owned subsidiary of ASX-listed OM Holdings Limited (ASX: OMH). The JV Agreement applies
to the rights to manganese only over approximately 600 km2 of the entire tenement package held by the
Company in the Bryah Basin. The Manganese JV includes the Horseshoe South Manganese Mine, which is the
largest historical manganese mine in the region (Figure 12).
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2023 Annual Report
Figure 11 Oblique Section Redrum Prospect
Figure 12: Bryah Basin Manganese JV - Tenement Location Plan
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2023 Estimate
Mn %
Fe %
2023 Annual Report
Maiden Manganese Resource –Updated subsequent to year end
Category
Prospect
Area 74
Brumby Creek
Horseshoe
Indicated
Redrum
Black Hill
Total Indicated
Area 74
Brumby Creek
Horseshoe
Redrum
Total Inferred
Inferred
kt
286
1,038
295
429
24
2,072
16
276
351
351
994
24.1
20.6
20.5
19.2
29.7
20.9
18.0
18.5
19.5
18.0
18.6
21.1
20.5
23.6
22.7
20.2
21.5
23.5
24.4
29.9
23.8
26.1
23.0
Total Mineral Resource
3,066
Table 1: JORC Manganese Mineral Resources at 15% Mn Cut-off8
20.2
Note: Appropriate rounding applied. kt = 1,000 tonnes
The Manganese Resource was updated in August 2023. The resource as at 30th June 2023 can be located in
the Annual Resource Statement in this report.
Drilling Programs
During the reporting period two manganese drilling programs were completed. A total of 59 drill holes for
1,717 metres was completed for the year. The results for the June 2022 drill program were also released to
the market.
GAIP Surveys
Five Gradient Array Induced Polarisation (“GAIP”) surveys were completed during the period. The use of GAIP
has been successful in assisting targeting of the manganese as the manganese is slightly inductive. The
program initially covered the Brumby Creek area in 2021 and was then taken in 2022 to cover the Horseshoe,
southern area of Brumby Creek, Black Hill, Cheval and Mudderwearie areas. An area 4.45km2 was completed
in the financial year.
Joint Venture Agreement
The Bryah Basin hosts several historical manganese mining areas. The Horseshoe Range has been the main
manganese producing region within the Bryah and Padbury Basins with production dominated by the
Horseshoe South Mine and a satellite deposit at Horseshoe North.
8 ASX announcement 24th August 2023.
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2023 Annual Report
Reported production from these deposits from 1948 to 1971, was 490,000 tonnes of manganese ore at an
average grade of 42% manganese9. Mining between 2008 and 2011 produced over 400,000 tonnes of
manganese ore from the reprocessing of historical stockpiles and open pit mining at Horseshoe South.
In April 2019, Bryah executed a Farm-In and Joint Venture Agreement (“Agreement”) with OM (Manganese)
Limited (“OMM”), a wholly owned subsidiary of ASX-listed OM Holdings Limited 10. The Agreement applies
to the rights to manganese only over approximately 600 km2 in the Bryah Basin, including the historic
Horseshoe South mine. The Agreement objective is to explore for commercially mineable manganese,
potentially leading to near term production.
Gabanintha Gold and Base Metals Project (100% BYH)
Bryah holds the rights to all minerals except Vanadium, Uranium, Cobalt, Chromium, Titanium, Lithium,
Tantalum, Manganese & Iron Ore (Excluded Minerals) over an 80km2 project area at Gabanintha,
approximately 40km south of Meekatharra, Western Australia (see Figure 13). Australian Vanadium Limited
(AVL) retains 100% rights in the Excluded Minerals on the project, which includes its Australian Vanadium
Project.
On May 30th AVL finalised a $49M grant for its Australian Vanadium Project. Part of the grant involves
collaboration on realising the significant strategic value of the Ni, Co and Cu within the mine tailings at the
Project. Previous metallurgical test work has shown a floatation circuit can make a sulphide concentrate of
up to 6.3% base metals copper, cobalt and nickel11. Importantly, throughout the BFS, AVL has provisioned
space in the plant design for the floatation circuit. Bryah benefits from the portion of the grant to finalise
studies, and benefits from the whole grant as it moves AVL closer to developing the Australian Vanadium
Project.
Australian Vanadium (ASX:AVL) completed a Bankable Feasibility Study in December 2021 on their Australian
Vanadium Project, where Bryah updated the Cu, Ni and Co resource based on the pit designs in May 2022.
JORC Resource Cu Ni
An Indicated and Inferred Base Metal Mineral Resource for the Project has been reported within the high-
grade vanadium domain, beneath the base of sulphide weathering, in the areas of highest drill density (80 –
140 metre spaced drill lines with 30 metre drill centres). Base metals are potentially economically recoverable
as a sulphide flotation of the tails produced through beneficiation of the vanadium ore. Due to the reliance
on concentration of the base metals into the non-magnetic tails through beneficiation of the vanadium ore,
the Indicated Mineral Resource is restricted to the high-grade domain within the pit optimisations from AVL’s
Bankable Feasibility study (BFS). Inferred Mineral Resource is located beneath the optimised pits in the
vanadium high-grade domain within classified vanadium Mineral Resources. Table 2 below outlines the
resource by pit area.
9Pirajno, F., Occhipinti, S. A., and Swager, C. P., 2000, Geology and mineralization of the Palaeoproterozoic Bryah and Padbury
Basins, Western Australia: Western Australia Geological Survey, Report 59, 52p.
10See BYH ASX Announcement dated 23 April 2019 for full details.
11 See BYH ASX announcement dated 1st June 2021 ’31.3 Million Tonne Nickel-Copper-Cobalt Mineral Resource at Gabanintha’.
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2023 Annual Report
Table 2: May 2022 Base Metals Mineral Resource Inventory at the Australian Vanadium Project12
2022 Base Metals
Resource Area
Classification
Million Tonnes
(Mt)
Ni
ppm
Cu
ppm
Co
ppm
S %
In Pit North
Indicated
In Pit Central
Indicated
In Pit South
Indicated
7.6
4.6
3.8
719
211
227
0.20
775
191
228
0.23
834
220
264
0.11
Total In Pits
INDICATED
16.1
762
207
236
0.19
Under North Pit
Inferred
Under Central Pit
Inferred
Under and within
South Pit
Inferred
Total Under Pits
INFERRED
Total Base Metals
Resource
GLOBAL
8.0
3.5
8.4
19.9
36.0
710
202
180
0.20
755
197
231
0.25
834
236
268
0.15
770
216
226
0.19
766
212
231
0.19
The Indicated Mineral Resources portion is 16.1 Mt at 762 ppm Nickel, 207 ppm Copper and 236 ppm Cobalt.
This part of the resource falls entirely within the existing pit designs for the proposed 25 year mine-life
vanadium project and is expected to be processed through the 1.6 Mt per annum crushing, milling and
beneficiation plant. AVL’s BFS reports a reserve of 30.9 million tonnes. The base metal resource portion of
the 30.9 Mt of high-grade vanadium resource that is included in the pits is 16.1 Mt and represents ~52% of
the total beneficiation plant feed.
The remaining Inferred Mineral Resource lies within the classified vanadium resource in the high-grade
domain beneath the base of each of the designed pits where pit optimisations are currently drill limited,
highlighting the potential for future production.
12 ASX announcement 25th May 2022.
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2023 Annual Report
Figure 13 - Gabanintha Project Tenement Location Plan
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2023 Annual Report
Base Metals Mineral Resource – Australian Vanadium Project
Figure 14 Base Metals Mineral Resource Category Long Section – Local Grid, looking West.
Regional Exploration – Copper Hills South Target
The Copper Hills South Prospect (formerly Gabanintha East) is located 1.5 kilometres south of the Copper
Hills Prospect on a granted mining lease M51/878 (see Figure 15). It was the outcome of target generation
review over the area.13
Bryah holds a suite of mineral rights over tenements held by AVL covering 148km² (see Figure 13). Bryah’s
mineral rights are for all minerals, excluding vanadium, titanium, cobalt, chromium, uranium, lithium,
tantalum, iron ore and manganese. The vanadium-titanium-magnetite deposit is approximately 11.5km long
within the Project with most of this lying on Mining Lease M51/878 which was granted in 2020.
13 See ASX announcement dated 28th February 2023 ‘Data Puts Copper Potential at Copper Hills South into Focus’’.
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2023 Annual Report
Figure 15 Gabanintha Project Location Map
In 2012, Australian Vanadium Limited (AVL) (formerly named Yellow Rock Resources Limited) completed a
HELITEM helicopter-borne electromagnetic (EM) and magnetic survey over the Gabanintha Project. The aim
of the geophysical survey was to gain a better understanding of the distribution of the structures and
lithological units in the bedrock, define the location and extent of bedrock conductors, identify areas for
potential mineralisation, and quantitative geological modelling of the layered gabbro within the project area.
Modelling of the HELITEM survey data led to the identification of an EM zone, interpreted to be an ultramafic
unit, parallel to, and east of AVL’s Vanadium-Titanium-Magnetite deposit.14
14 See Yellow Rock Resources Limited (ASX: YRR) ASX announcement dated 23 October 2012 for full details.
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2023 Annual Report
A follow-up Induced Polarisation (IP) survey conducted in 2013 confirmed the strong EM anomaly in the area.
The centre of the IP survey anomaly occurs at 100m to 300m below surface for a strike length exceeding 2
kilometres15 (see Figure 16). The anomaly appears to be open to the southeast, beyond the edge of the IP
survey area.
The potential that substantial sulphide mineralisation may occur and be associated with a left stepping
structural “jog”, where co-incident strong to very strong modelled IP and strong magnetic anomalies occur,
lead AVL to complete a program of 5 scout Reverse Circulation (RC) drill holes in 2013.
Figure 16 New Ground Magnetic survey with previous drill results and max copper results
The assay results from the scout drilling of the IP anomaly confirmed significant copper in hole GRC1152.
Mineralisation was intersected from 7m to 25m down hole, where 18m was intersected an average of 0.42%
Cu, including 2m at 2.19% Cu. This intersection is in the oxide zone and associated with hematite and minor
magnetite on a contact zone between basalt and ultramafic units.16
Despite this very encouraging initial result no follow-up work was undertaken.
15 See Yellow Rock Resources Limited (ASX: YRR) ASX announcement dated 18 February 2013 for full details.
16 See Yellow Rock Resources Limited (ASX: YRR) ASX announcement dated 26 November 2013 for full details.
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2023 Annual Report
Figure 17 Section interpretation A-A1
Late in 2022, Bryah undertook Magnetic Susceptibility readings of historical drill pulps to assist in geological
interpretations, as well as re-analysing the pulps using a field portable XRF unit. The XRF results indicated
significant nickel anomalism.
The drilling completed in 2013 was wide spaced across lines 200 metres, testing a small part of the 2 km long
geophysical anomaly. The results to date warrant additional follow-up drilling.
25
2023 Annual Report
Lake Johnston Lithium – Nickel Project (100% BYH)
The Lake Johnston Lithium-Nickel project consists of eight exploration licence applications covering a total of
690km2.
The exploration ground extends to within 10 kilometres east of the world class Mt Holland Lithium mine and
concentrator being developed under the Wesfarmers Limited/SQM Australia Pty Ltd joint venture. The Mt
Holland Lithium project includes the Earl Grey Lithium deposit with a reported Mineral Resource of 189
million tonnes grading 1.5% Li2O17, making it a globally significant high-grade hard rock lithium deposit.
Bryah’s tenure is to the immediate west and north of Poseidon Nickel Limited’s Lake Johnston Project, which
encompasses the Maggie Hays/Emily Ann mine and associated processing plant, which is currently under
care and maintenance. The Emily Ann Mine historically produced 46,000 tonnes nickel with a resource grade
averaging 4.1% nickel18.
Equity and Performance Rights in Star Minerals ASX:SMS
a) 3,000,000 Class A Performance Rights, vesting upon a Measured Mineral Resource report;
and
b) 4,000,000 Class B Performance Rights, vesting upon commencement of commercial gold
production.
Each Performance Right will convert to one fully paid ordinary share in the capital of Star Minerals upon the
achievement of the above milestones.
At 30th June 2023, Star Minerals (ASX:SMS) has 53,561,799 ordinary shares on issue with Bryah holding
11,000,000 shares, representing a 20.54% equity holding.
17 See KDR ASX Announcement dated 19 March 2018 for further details.
18 See POS ASX Announcement dated 26 September 2018 for further details.
26
2023 Annual Report
Figure 16 Location Plan showing tenements and regional geology map
In May 2022, BYH signed an option agreement for the Joint Venture and potential sale of the Lake Johnston
tenements to Mining Green Metals (MGM)19.
Subsequent to the annual report period MGM terminated the option agreement as the condition of an initial
public offering was not met.
19 ASX Announcement 19 May 2022, Sale of 51% Interest in Lake Johnston Lithium-Nickel Project.
27
2023 Annual Report
Material Business Risks
Exploration and development
The Company’s mining tenements are at various stages of exploration, and potential investors should
understand that mineral exploration and development are high-risk undertakings. There can be no assurance
that future exploration of these tenements, or any other mineral tenements that may be acquired in the
future, will result in the discovery of an economic resource. Even where an apparently viable resource is
identified, there is no guarantee that it can be economically exploited.
Staffing and reliance on key management
The Company relies on the experience and knowledge of key members of its staff. In the event that key
personnel leave and the Company is unable to recruit suitable replacements, such loss could have a materially
adverse effect on the Company.
Capital and funding requirements
Given its focus on exploration, the Company has negative operating cashflow and, at present, it does not
generate any material revenue. No assurance can be given that the Company will achieve commercial viability
through its existing exploration programs or otherwise. Until the Company is able to realise the full value
from it’s exploration activities, it is likely to incur ongoing operating losses.
28
2023 Annual Report
Directors
The names of the directors in office during or since the end of the financial year and up to the date of this
report are as follows. Directors were in office for this entire period unless otherwise stated.
Ian Stuart
Leslie Ingraham
Brian Davis
Non-executive Chair
Non-executive Director
Non-executive Director
Information about the Directors
The names, qualifications and experience of each person who has been a director during the period and to
the date of this report are:
Ian George Stuart B.Sc. (Hons) F.FIN MAICD
Mr Stuart is a geologist by profession with experience in both the finance and mining industries. He holds an
Honours degree in Geology, is a Fellow of the Financial Services Institute of Australasia and a member of the
Australian Institute of Company Directors. Ian has extensive experience in capital markets and is conversant
with public company governance and management across international jurisdictions.
Mr Stuart is also the Non-executive Chair of ASX listed company Star Minerals Limited.
Leslie James Ingraham
Mr Ingraham has been in private business for over 30 years and is an experienced mineral prospector and
professional investor. He has successfully worked as a consultant for both private companies and companies
listed on the ASX. Core competencies include capital raising and shareholder liaison.
During the past three years, Mr Ingraham was also a director of ASX listed company Australian Vanadium
Limited.
Brian Davis B.Sc.(Hons) DipEd MAusIMM RPGeo MAICD
Mr Davis is a 50-year veteran of the resources industry, and principal of exploration and resource
development consultancy group Geologica for over 20 years. He has worked in exploration and mining for
small and large resource companies focused on commodities including gold, base metals, vanadium,
uranium, iron ore, coal and rare earths in Australia and overseas.
Mr Davis holds a Bachelor of Science in Geology (honours) from King’s College in London and is a registered
practising geoscientist.
Company Secretary
The following person held the position of Company Secretary at the end of the year and at the date of this
report:
Neville Bassett
29
2023 Annual Report
Meetings of Directors
The number of meetings of Directors (including meetings of committees of Directors) held during the period
and the number of meetings attended by each Director were as follows:
Board of Directors
Number eligible to attend
Number attended
Ian Stuart
Leslie Ingraham
Brian Davis
2
2
2
2
2
2
The full Board fulfils the role of remuneration, nomination and audit committees.
Operating and Financial Review
A Review of Operations is contained in the Directors’ Report.
The operating loss of the Group for the financial year after providing for income tax amounted to $1,828,164
(2022: loss of $1,020,338). The Group’s net assets as at 30 June 2023 were $11,820,571 (2022: $10,985,394).
At 30 June 2023, the Group had cash reserves of $1,114,069 (2022: $810,216). The increase in cash was
largely the result of capital raising during the current financial year with payments for exploration and general
overheads in line with previous years.
The annual financial statements for the Consolidated Entity have been prepared based on assumptions and
conditions prevalent at 30 June 2023. Given ongoing economic uncertainty, these assumptions could change
in the future.
Principal Activities
The principal activities of the Group during the period were the pursuit of exploration and evaluation
activities on the Bryah Basin and Gabanintha projects located in the Meekatharra region of Western
Australia.
Likely Developments and Expected Results
Likely developments in the operations of the Group and the expected results of those operations in future
financial periods have not been included in this report as the inclusion of such information is likely to result
in unreasonable prejudice to the Group.
Environmental Regulation
The Group’s operations are subject to various environmental laws and regulations under government
legislation. The exploration tenements held by the Company are subject to these regulations and there have
not been any known breaches of any environmental regulations during the financial period and up until the
date of this report.
30
2023 Annual Report
Dividends
No dividends have been declared since the start of the financial year.
Events Subsequent to Reporting Date
In May 2022, BYH signed an option agreement for the Joint Venture and potential sale of the Lake Johnston
tenements to Mining Green Metals (MGM). Subsequent to the annual report period MGM terminated the
option agreement as the condition of an initial public offering was not met.
An increase to the manganese resource was announced in August 2023. The mineral resource is now 3.07
million tonnes at 20.2% Mn.
No other matter or circumstance has occurred subsequent to year end that has significantly affected, or may
significantly affect, the operations of the Company, the results of those operations or the state of affairs of
the entity in subsequent years.
Share Options
At the date of this report, options were outstanding for the following unissued ordinary shares:
• 2,000,000 unlisted options with an exercise price of $0.054 each and an expiry of 12 August 2025.
These options were issued as part consideration for the provision of lead manager services to Spark
Plus (Australia) Pty Ltd.
• 2,294,097 unlisted options with an exercise price of $0.035 each and an expiry date of 1 December
2025. These options were issued to the Underwriter as part consideration for services in relation to
the rights issue.
• 40,247,385 options with an exercise price of $0.035 each and an expiry date of 1 December 2025.
These options were issued 1 June 2023 as free attaching options under a placement of new shares.
No person entitled to exercise these options had, or has any right, by virtue of the option, to participate in
any share issue of any other body corporate.
Indemnification of Officers
Deeds of indemnity have been given and insurance premiums paid since the end of the financial period for
directors and officers of the Company.
Proceedings on behalf of the Company
No person has applied for leave of Court to bring proceedings on behalf of the Company or intervene in any
proceedings to which the Company is a party for the purpose of taking responsibility on behalf of the
company for all or any part of those proceedings.
The Company was not a party to any such proceedings during the period.
31
2023 Annual Report
Remuneration Report (Audited)
This report details the nature and amount of remuneration for each director and executive of the Group.
For the purposes of this report Key Management Personnel of the Group are defined as those persons having
authority and responsibility for planning, directing and controlling the major activities of the Company and
the Group, directly or indirectly, including any Director (whether executive or otherwise) of the Parent
Company.
For the purposes of this report the term “executive” includes those key management personnel who are not
Directors of the Group.
Remuneration Committee
The full Board carries out the role and responsibilities of the Remuneration Committee and is responsible for
determining and reviewing the compensation arrangements for the Directors themselves and any Executives.
Executive remuneration is reviewed annually having regard to individual and business performance, relevant
comparative remuneration and internal and independent external advice.
Remuneration policy
The board policy is to remunerate Directors at market rates for time, commitment and responsibilities. The
board determines payments to the Directors and reviews their remuneration annually, based on market
practice, duties and accountability. Independent external advice is sought when required. The maximum
aggregate amount of Directors’ fees that can be paid is subject to approval by shareholders in a general
meeting, from time to time. Fixed fees for non-executive directors are not linked to the performance of the
Company. However, to align Directors’ interests with shareholders’ interests, the Directors are encouraged
to hold shares in the Company and may be issued with options and performance rights from time to time.
The Group’s aim is to remunerate at a level that will attract and retain high-calibre directors and employees.
Company Directors and officers are remunerated to a level consistent with the size of the Company.
The executive Directors and full-time executives receive a superannuation guarantee contribution as
required by government legislation, which during the reporting period was 10.5%, and do not receive any
other retirement benefits. Some individuals, however, may choose to sacrifice part of their salary to increase
payments towards superannuation.
All remuneration paid to Directors and executives is valued at the cost to the Group and expensed.
The Board believes that it has implemented suitable practices and procedures that are appropriate for an
organisation of this size and maturity.
Remuneration Structure
In accordance with best practice corporate governance, the structure of non-executive director and executive
compensation is separate and distinct.
32
2023 Annual Report
Non-executive Director Compensation
Objective
The Board seeks to set aggregate compensation at a level that provides the Company with the ability to
attract and retain directors of the highest calibre, whilst incurring a cost that is acceptable to shareholders.
Structure
The Constitution and the ASX Listing Rules specify that the aggregate compensation of non-executive
directors shall be determined from time to time by a general meeting. An amount not exceeding the amount
determined is then divided between the Directors as agreed. The latest determination approved by
shareholders was an aggregate compensation of $500,000 per year.
The amount of aggregate compensation sought to be approved by shareholders and the manner in which it
is apportioned amongst Directors is reviewed annually. The Board considers advice from external consultants
as well as the fees paid to non-executive directors of comparable companies when undertaking the annual
review process. Non-executive Directors’ remuneration may include an incentive portion consisting of
options, as considered appropriate by the Board, which may be subject to Shareholder approval in
accordance with ASX Listing Rules.
Separate from their duties as Directors, the non-executive Directors may undertake work for the Company
directly related to the evaluation and implementation of various business opportunities, including mineral
exploration/evaluation and new business ventures, for which they may receive a daily rate. These payments
will be made pursuant to individual agreements with the non-executive Directors and will not be taken into
account when determining their aggregate remuneration levels.
Executive Compensation
Objective
The entity aims to reward executives with a level and mix of compensation commensurate with their position
and responsibilities within the entity to:
•
reward executives for Company and individual performance against targets set by appropriate
benchmarks;
• align the interests of executives with those of shareholders;
•
• ensure total compensation is competitive by market standards.
link rewards with the strategic goals and performance of the Company; and
Structure
In determining the level and make-up of executive remuneration, the Board negotiates a remuneration to
reflect the market salary for a position and individual of comparable responsibility and experience. Due to
the limited size of the Company and of its operations and financial affairs, the use of a separate remuneration
committee is not considered appropriate. Remuneration is regularly compared with the external market by
participation in industry salary surveys and during recruitment activities generally. If required, the Board may
engage an external consultant to provide independent advice in the form of a written report detailing market
levels of remuneration for comparable executive roles.
33
2023 Annual Report
Remuneration consists of a fixed remuneration and a long-term incentive portion as considered appropriate.
Compensation may consist of the following key elements:
• Fixed Compensation;
• Variable Compensation;
• Short Term Incentive (STI); and
•
Long Term Incentive (LTI).
Fixed Remuneration
The level of fixed remuneration is set to provide a base level of remuneration which is both appropriate to
the position and is competitive in the market. Fixed remuneration is reviewed annually by the Board having
regard to the Company and individual performance, relevant comparable remuneration in the mining
exploration sector and external advice.
The fixed remuneration is a base salary or monthly consulting fee.
Variable Pay - Long Term Incentives
The objective of long-term incentives is to reward Directors/executives in a manner which aligns this element
of remuneration with the creation of shareholder wealth. The incentive portion is payable based upon
attainment of objectives related to the director’s/executive’s job responsibilities. The objectives vary, but all
are targeted to relate directly to the Company’s business and financial performance and thus to shareholder
value.
Long term incentives (LTIs) granted to Directors and executives may be delivered in the form of options or
performance rights. LTI grants to executives are delivered in the form of the Company’s Performance Rights
and Options Plan.
The objective of the granting of options or rights is to reward executives in a manner which aligns the element
of remuneration with the creation of shareholder wealth. As such LTI’s are made to executives who are able
to influence the generation of shareholder wealth and thus have an impact on the Company’s performance.
The level of LTI granted is, in turn, dependent on the Company’s recent share price performance, the seniority
of the executive, and the responsibilities the executive assumes in the Company.
Typically, the grant of LTIs occurs at the commencement of employment or in the event that the individual
receives a promotion.
Employment contracts of directors and senior executives
The employment arrangements of the non-executive chairman and non-executive directors are formalised
in letters of appointment.
Remuneration and other terms of employment for the Chief Executive Officer are formalised in an executive
service agreement.
34
2023 Annual Report
Details of remuneration for period
Remuneration of Directors and Key Management Personnel for the year ended 30 June 2023 and
comparatives are shown over the next two pages:
Remuneration of Directors and Key Management Personnel for the year ended 30 June 2023:
Short-term benefits
Post -
employment
Share-
based
payments
Salary
& Fees
Other
benefits
SGC
Perf.
Rights
Total
$
$
$
$
$
Proportion of
total
performance
related
%
2023
Directors
I. Stuart
12 months to 30 June 2023
80,000
L. Ingraham
12 months to 30 June 2023
99,996
B. Davis
12 months to 30 June 2023
40,000
Total Directors
12 months to 30 June 2023
219,996
Key Management Personnel
A. Jones
12 months to 30 June 2023
199,998
Total Key Management
12 months to 30 June 2023
199,998
Total Directors and Key
Management Personnel
-
-
-
-
-
-
-
-
-
-
35,653
115,65
31%
35,653
135,64
26%
4,174
44,174
9%
75,480
295,47
26%
21,000
46,087
267,08
17%
21,000
46,087
267,08
17%
12 months to 30 June 2023
419,994
-
21,000
121,567
562,56
22%
35
2023 Annual Report
2022
Directors
I. Stuart
12 months to 30 June 2022
80,000
L. Ingraham
12 months to 30 June 2022
99,996
N. Marston 1
Short-term benefits
Post -
employment
Salary &
Fees
Other
benefits
SGC
$
$
-
-
$
-
-
Share-
based
payments
Perf.
Rights
Total
$
$
Proportion of
total
performance
related
%
30,087
110,087
27%
30,087
130,083
23%
1 July 2021 to 7 December
146,936
120,000
22,389
(13,683)
275,642
0%
B. Davis 2
6 Dec 2021 to 30 June 2022
22,796
-
-
-
22,796
0%
Total Directors
12 months to 30 June 2022
349,728
120,000
22,389
46,491
538,608
9%
Key Management Personnel
A. Jones 3
6 Dec 2021 to 30 June 2022
116,142
Total Key Management
12 months to 30 June 2022
116,142
-
-
Total Directors and Key
Management Personnel
11,101
24,614
151,857
16%
11,101
24,614
151,857
16%
12 months to 30 June 2022
465,870
120,000
33,490
71,105
690,465
10%
1. N. Marston resigned 6 December 2021
2. B. Davis was appointed 6 December 2021
3. A. Jones was appointed 6 December 2021
4. Salary includes movements in annual leave provision for the year
5. Includes termination payment to N. Marston
36
2023 Annual Report
Compensation options granted to Key Management Personnel
No incentive options were granted to Directors or Key Management Personnel (“KMP”) during the year
ended 30 June 2023 (2022: nil).
Shares issued to Key Management Personnel on exercise of compensation options
No shares were issued to Directors or Key Management Personnel on exercise of compensation options
during the year ended 30 June 2023 (2022: nil).
Compensation performance rights granted to Key Management Personnel
During the financial year 8,500,000 performance rights were issued to Directors and Key Management
Personnel (2022: 3,000,000).
The performance rights were granted for nil consideration and vest subject to certain Company performance
conditions being met.
Name
Ashley Jones
Ian Stuart
Leslie Ingraham
Brian Davis
Number of performance rights
granted during the period
Fair value of performance
rights (per right)
3,000,000
2,000,000
2,000,000
1,500,000
$0.0240
$0.0260
$0.0260
$0.0260
Compensation options lapsed during the period
No incentive options previously issued to Key Management Personnel lapsed during the year (2022: nil).
Performance Rights holdings of Key Management Personnel and their related entities
The table below outlines the movements in performance rights, and the balance held by each KMP, for the
year ending 30 June 2023 and 30 June 2022.
On vesting, each right automatically converts to one ordinary share. If the employee ceases employment
before the rights vest, the rights will be forfeited, except in limited circumstances that are approved by the
Board.
37
2023 Annual Report
2023
Name & Grant
Date
Opening
Balance
01/07/2022
Granted as
Remun-
eration
Forfeited
Balance
30/06/2023
Not vested
& not
exercisable
at
30/06/2023
Vested &
exercisable
at
30/06/2023
Ian Stuart
23/11/2022
3,000,000
2,000,000
5,000,000
5,000,000
Leslie Ingraham
23/11/2022
3,000,000
2,000,000
-
5,000,000
5,000,000
Brian Davis
23/11/2022
Ashley Jones
-
1,500,000
-
1,500,000
1,500,000
02/02/2023
4,000,000
3,000,000
Total
10,000,000
8,500,000
-
-
7,000,000
7,000,000
18,500,000
18,500,000
-
-
-
-
-
2022
Name & Grant
Date
Opening
Balance
01/07/2021
Granted as
Remun-
eration
Forfeited
Balance
30/06/2022
Not vested
& not
exercisable
at
30/06/2022
Vested &
exercisable
at
30/06/2022
Neil Marston 1.
4 Dec 2020
3,000,000
-
(3,000,000)
-
-
Leslie Ingraham
4 Dec 2020
3,000,000
Ian Stuart
4 Dec 2020
3,000,000
Ashley Jones 2.
-
-
-
3,000,000
3,000,000
-
3,000,000
3,000,000
9 Feb 2022
1,000,000
3,000,000
-
4,000,000
4,000,000
Total
10,000,000
3,000,000
(3,000,000)
10,000,000
10,000,000
1. N. Marston resigned 6 December 2021.
2. A. Jones was appointed 6 December 2021 and held 1,000,000 performance rights at that date.
38
-
-
-
-
-
2023 Annual Report
The performance conditions of each grant of performance rights affecting remuneration in the reporting
period are set out below:
Tranche
Tranche 1
Performance Condition
Amount
Fair Value
A share price of at least $0.12 over 20 consecutive trading days
on which the Company's shares have actually traded.
2,000,000
$0.056
Tranche 2
A share price of at least $0.16 over 20 consecutive trading days
on which the Company's shares have actually traded.
2,000,000
$0.056
Tranche 3
A share price of at least $0.20 over 20 consecutive trading days
on which the Company's shares have actually traded
2,000,000
$0.038
Tranche 4
A share price of at least $0.12 over 20 consecutive trading days
on which the Company's shares have actually traded.
1,000,000
$0.0529
Tranche 5
A share price of at least $0.16 over 20 consecutive trading days
on which the Company's shares have actually traded.
1,000,000
$0.0506
Tranche 6
A share price of at least $0.20 over 20 consecutive trading days
on which the Company's shares have actually traded.
1,000,000
$0.0485
Tranche 8
The Company delineating an Inferred Manganese JORC Code
2012 compliant Resource over 3M tonnes at >15% Mn cut-off.
Tranche 9
The Company delineating an Inferred Manganese JORC Code
2012 compliant Resource over 3M tonnes at >15% Mn cut-off.
5,500,000
$0.0260
3,000,000
$0.0240
The performance rights granted during the year end 30 June 2021 were valued using the binomial option
valuation methodology with the following inputs:
• Effective interest rate: 0.335%
• Volatility: 100.19%
• Expiry date: 15 January 2026
• Share price at grant date: $0.064
• Exercise price: nil.
The performance rights granted during the year end 30 June 2022 were valued using the trinomial option
valuation methodology with the following inputs:
• Effective interest rate: 1.795%
• Volatility: 92.46%
• Expiry date: 8 February 2027
• Share price at grant date: $0.057
• Exercise price: nil.
The performance rights granted (Tranche 8 & 9) during the year end 30 June 2023 were valued using the
binomial option valuation methodology with the following inputs:
• Effective interest rate: 3.380% and 3.425% respectively
• Volatility: 88.24%
• Expiry date: 30 June 2028
• Share price at grant date: $0.026 and $0.024 respectively
• Exercise price: nil.
39
2023 Annual Report
Share holdings of Key Management Personnel and their related entities
Opening Balance
01/07/2022
Received as
Remuneration
Acquired/
Disposed
Closing Balance
30/06/2023
Directors
Leslie Ingraham
Ian Stuart
Brian Davis
KMP
7,333,334
3,100,000
-
Ashley Jones
1,400,000
-
-
-
-
3,270,121
10,603,455
161,846
3,261,846
-
-
1,802,627
3,202,627
Opening Balance
01/07/2021
Received as
Remuneration
Acquired/
Disposed
Closing Balance
30/06/2022
Directors
Neil Marston 1
Leslie Ingraham
Ian Stuart
KMP
6,500,000
6,333,334
3,100,000
Ashley Jones 2
1,150,000
1. N. Marston resigned 6 December 2021.
2. A. Jones was appointed 6 December 2021.
-
-
-
-
-
6,500,000
1,000,000
7,333,334
-
3,100,000
250,000
1,400,000
Loans and other transactions with Key Management Personnel
There were no loans to or from key management personnel.
End of remuneration report.
40
2023 Annual Report
Auditor
Elderton Audit Pty Ltd continues in office in accordance with section 327 of the Corporations Act 2001.
Non-Audit Services
During the year Elderton Audit Pty Ltd did not provide any non-audit services.
Auditor’s Independence Declaration
A copy of the auditor’s independence declaration is set out on page 75.
Signed in accordance with a resolution of the Board of Directors:
IAN STUART
Non-executive Chair
29 September 2023
41
2023 Annual Report
Consolidated Statement of Profit or Loss and Other
Comprehensive Income
For the period ended 30 June 2023
Consolidated
Income
Gain on disposal of assets held for sale
Impairment of capitalised exploration cost
Stock exchange and registry expenses
Legal expenses
Depreciation
Travel and accommodation expenses
Share Based Payments
Directors' fees and benefits expenses
Loss in Associate
Impairment of Investment in Associate
Note
2(a)
30/06/2023
$
585,217
-
(621,794)
(58,297)
-
(45,133)
(37,188)
(279,020)
(219,996)
(240,999)
(144,000)
(766,954)
8
21
17
10
10
30/06/2023
$
784,477
1,363,090
(150,276)
(81,954)
(98,041)
(46,168)
(8,178)
(123,725)
(492,117)
(140,063)
(1,179,937)
(847,446)
Other corporate and administration expenses
2(b)
Loss before income tax expense
Income tax expense
Net loss for period
Total comprehensive loss attributable to members
of Bryah Resources Limited
Basic and diluted loss per share
(1,828,164)
(1,020,338)
-
-
(1,828,164)
(1,020,338)
(1,828,164)
(1,020,338)
Cents
(0.66)
Cents
(0.46)
3
5
The accompanying notes form part of these financial statements.
42
2023 Annual Report
Consolidated Statement of Financial Position
as at 30 June 2023
Consolidated
30/06/2023
30/06/2022
Note
$
$
ASSETS
Current Assets
Cash and cash equivalents
Trade and other receivables
Assets classified as held for sale
Total Current Assets
Non-Current Assets
Plant and equipment
Investment in Associate
Exploration and evaluation assets
Total Non-Current Assets
TOTAL ASSETS
LIABILITIES
Current Liabilities
Trade and other payables
Other liabilities
Provisions
Total Current Liabilities
TOTAL LIABILITIES
NET ASSETS
EQUITY
Issued Capital
Reserves
Accumulated losses
TOTAL EQUITY
6
7
8
10
9
11
12
13
14
15
1,114,069
474,842
-
810,216
329,620
107,661
1,588,912
1,247,497
106,848
495,001
10,283,605
10,885,454
12,474,366
407,892
55,758
190,145
653,795
653,795
149,627
880,000
9,487,676
10,517,303
11,764,800
584,307
2,000
193,099
779,406
779,406
11,820,571
10,985,394
18,169,324
285,322
(6,634,075)
11,820,571
15,631,177
374,818
(5,020,601)
10,985,394
The accompanying notes form part of these financial statements.
43
2023 Annual Report
Consolidated Statement of Changes in Equity
For the period ended 30 June 2023
Consolidated
Attributable to equity holders of the parent
Issued Capital
$
Reserves
$
Accumulated
Losses
$
Total
$
Balance as at 1 July 2021
14,374,297
251,093
(4,000,263)
10,625,127
Loss for the period
Total Comprehensive Loss
-
-
Ordinary shares issued for cash
1,000,000
Recognition of share-based
payments – for services provided
by employees
Recognition of share-based
payments – for services provided
by KMP and directors
Recognition of share-based
payments – third parties
Shares issued as consideration
Share issue costs
-
-
-
338,000
(81,120)
-
-
-
45,911
71,104
6,710
-
-
(1,020,338)
(1,020,338)
(1,020,338)
(1,020,338)
-
-
-
-
-
-
1,000,000
45,911
71,104
6,710
338,000
(81,120)
Balance as at 1 July 2022
15,631,177
374,818
(5,020,601)
10,985,394
Loss for the period
Total Comprehensive Loss
-
-
Ordinary shares issued for cash
2,579,355
Shares issued as consideration
63,693
-
-
-
-
121,900
(121,900)
Recognise performance rights
converted to shares
Recognition of share-based
payments – for services provided
by employees
Recognition of share-based
payments – for services provided
by KMP and directors
Recognition of share-based
payments – third parties
(1,828,164)
(1,828,164)
(1,828,164)
(1,828,164)
-
-
-
-
-
-
-
2,579,355
63,693
-
93,760
121,565
31,769
(226,800)
-
-
-
93,760
121,565
31,769
-
Share issue costs
(226,800)
Recognise expiry of options
-
(214,690)
214,690
-
Balance as at 30 June 2023
18,169,324
285,322
(6,634,075)
11,820,571
44
2023 Annual Report
Consolidated Statement of Cash Flows
For the period ended 30 June 2023
Consolidated
Note
30/06/2023
$
30/06/2022
$
Cash flows used in operating activities
Payments to suppliers and employees
(2,001,335)
(2,000,653)
Interest received
Net receipts from other entities
73
461,405
568
186,586
Net Cash used in operating activities
6a
(1,539,859)
(1,813,499)
Cash flows used in investing activities
Payments for exploration of mining
interests
Receipts from Government grants
Receipts from exploration and mining
interests
Proceeds from disposal of tenements
Payments to acquire entities /
investments
Payment for property, plant and
equipment
Net Cash used in investing activities
Cash flows provided by financing
activities
Net proceeds from issue of securities
Payment of capital raising costs
Net cash provided by financing activities
Net increase / (decrease) in cash held
Cash and cash equivalents at beginning
of the financial period
Cash at end of the financial period
6
(977,789)
242,000
-
-
41,999
(646)
(1,887,091)
-
500,000
25,000
(75,000)
(19,151)
(694,436)
(1,456,242)
2,764,823
(226,676)
2,538,148
303,853
810,216
1,114,069
1,000,000
(81,120)
918,880
(2,350,861)
3,161,077
810,216
The accompanying notes form part of these financial statements.
45
2023 Annual Report
STATEMENT OF SIGNIFICANT ACCOUNTING POLICIES
1.
These financial statements and notes represent those of Bryah Resources Limited (the “Company”)
and Controlled Entities (the “Consolidated Entity” or “Group”) for the year ended 30 June 2023.
Bryah Resources Limited is a company limited by shares incorporated in Australia. The Company is
domiciled in Western Australia. The nature of operations and principal activities of the Company are
described in the Directors' Report.
1(a) Basis of Preparation
The financial statements are general purpose financial statements that have been prepared in
accordance with Australian Accounting Standards, Australian Accounting Interpretations, other
authoritative pronouncements of the Australian Accounting Standards Board (AASB) and the
Corporations Act 2001. Compliance with Australian Accounting Standards ensures the Consolidated
Financial Report of the Group complies with International Financial Reporting Standards (“IFRSs”). The
Company is a for-profit entity for financial reporting purposes under Australian Accounting Standards.
The financial statements have been prepared on an accruals basis and are based on historical costs
modified, where applicable, by the measurement at fair value of selected non-current assets, financial
assets and financial liabilities. Material accounting policies adopted in preparation of these financial
statements are presented below and have been consistently applied unless otherwise stated.
The Group’s financial statements are presented in Australian dollars.
1(b) Going concern
The financial report has been prepared on the going concern basis, which contemplated the continuity
of normal business activity and the realisation of assets and settlement of liabilities in the normal
course of business.
The directors have considered the funding and operational status of the business in arriving at their
assessment of going concern and believe that the going concern basis of preparation is appropriate,
based upon the following:
• Current cash and cash equivalents on hand;
• The ability of the Company to obtain funding through various sources, including debt and equity;
• The ability to further vary cash flow depending upon the achievement of certain milestones
within the business plan;
1(c) Basis of consolidation
(i) Subsidiaries
The Consolidated Financial Statements incorporate the Financial Statements of the Company and the
entities controlled by the Company (its subsidiaries). Subsidiaries are entities controlled by the Group.
Control exists when the Group has power over the investee, is exposed to, or has right to, variable
returns from its involvement with the investee, and has the ability to use its power to affect its returns.
When the Group has less than a majority of the voting rights of an investee, it has power over the
investee when the voting rights are sufficient to give it the practical ability to direct the relevant
activities of the investee unilaterally. The Financial Statements of subsidiaries are included in the
46
2023 Annual Report
Consolidated Financial Statements from the date that control commences until the date that control
ceases.
In preparing the Consolidated Financial Statements, all inter-company balances and transactions,
income and expenses, profit and losses resulting from intra-group transactions have been eliminated
in full.
(ii) Joint arrangements
Under AASB 11 Joint Arrangements Investments in joint arrangements are classified as either joint
operations or joint ventures. The classification depends on the contractual rights and obligations of
each investor, rather than the legal structure of the joint arrangement. Bryah Limited has only joint
operations. A joint operation is a joint arrangement 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.
(iii) Joint operations
Bryah Resources Limited recognises its direct right to the assets, liabilities, revenues and expenses of
joint operations and its share of any jointly held or incurred assets, liabilities, revenues, and expenses.
These have been incorporated in the financial statements under the appropriate headings. Details of
the joint operations are set out in note 25.
1(d) Adoption of new and revised accounting standards
In the year ended 30 June 2023, the Directors have reviewed all the new and revised Standards and
Interpretations issued by the AASB that are relevant to the Company and effective for the current
annual reporting period. As a result of this review, the Directors have determined that there is no
material impact of the new and revised Standards and Interpretations on the Company and, therefore,
no material change is necessary to the Company’s accounting policies.
1(e)
Statement of Compliance
The financial report was authorised for issue on 29 September 2023.
Australian Accounting Standards set out accounting policies that the AASB has concluded would result
in a financial report containing relevant and reliable information about transactions, events, and
conditions. Compliance with Australian Accounting Standards ensures that the financial statements
and notes also comply with International Financial Reporting Standards (IFRS).
1(f)
Revenue and other income
Revenue is recognised to the extent that it is probable that the economic benefits will flow to the
Group and the revenue can be reliably measured.
Interest revenue is recognised as it accrues, taking into account the effective yield on the financial
asset.
47
2023 Annual Report
1(g)
Cash and cash equivalents
Cash comprises cash at bank and in hand. Cash equivalents are short term, highly liquid investments
that are readily convertible to known amounts of cash and which are subject to an insignificant risk of
changes in value.
For the purposes of the statement of cash flows, cash and cash equivalents consist of cash and cash
equivalents as described above, net of outstanding bank overdrafts.
1(h)
Trade and other receivables
Trade receivables, which generally have 30 days terms, are recognised and carried at original invoice
amount less an allowance for any uncollectible amounts. An allowance for doubtful debts is made
when there is objective evidence that the Company will not be able to collect the debts. Bad debts are
written off when identified.
1(i)
Income Tax
Current tax assets and liabilities for the current and prior periods are measured at the amount
expected to be recovered from or paid to the taxation authorities. The tax rates and tax laws used to
compute the amount are those that are enacted or substantively enacted by the reporting date.
Deferred income tax is provided on all temporary differences at the reporting date between the tax
bases of assets and liabilities and their carrying amounts for financial reporting purposes.
Deferred income tax liabilities are recognised for all taxable temporary differences except when the
deferred income tax liability arises from the initial recognition of an asset or liability in a transaction
that is not a business combination and that, at the time of the transaction, affects neither the
accounting profit nor taxable profit or loss.
Deferred income tax assets are recognised for all deductible temporary differences, carry-forward of
unused tax assets and unused tax losses, to the extent that it is probable that taxable profit will be
available against which the deductible temporary differences and the carry-forward of unused tax
credits and unused tax losses can be utilised, except when the deferred income tax asset relating to
the deductible temporary difference arises from the initial recognition of an asset or liability in a
transaction that is not a business combination and, at the time of the transaction, affects neither the
accounting profit nor taxable profit or loss.
The carrying amount of deferred income tax assets is reviewed at each reporting date and reduced to
the extent that it is no longer probable that sufficient taxable profit will be available to allow all or
part of the deferred income tax asset to be utilised.
Unrecognised deferred income tax assets are reassessed at each reporting date and are recognised to
the extent that it has become probable that future taxable profit will allow the deferred tax asset to
be recovered.
Deferred income tax assets and liabilities are measured at the tax rates that are expected to apply to
the period when the asset is realised, or the liability is settled, based on tax rates (and tax laws) that
have been enacted or substantively enacted at the reporting date.
48
2023 Annual Report
Income taxes relating to items recognised directly in equity are recognised in equity and not in profit
or loss.
Deferred tax assets and deferred tax liabilities are offset only if a legally enforceable right exists to set
off current tax assets against current tax liabilities and the deferred tax assets and liabilities relate to
the same taxable entity and the same taxation authority.
The amount of benefits brought to account or which may be realised in the future is based on the
assumption that no adverse change will occur in income legislation and the anticipation that the
Company will derive sufficient future assessable income to enable the benefit to be realised and
comply with the conditions of deductibility imposed by the law. No deferred tax is recognised in the
current period for the carried forward losses as the Company considers there will be no taxable profit
to offset the brought forward tax losses in future.
1(j)
Other taxes
Revenues, expenses and assets are recognised net of the amount of GST except:
• when the GST incurred on a purchase of goods and services is not recoverable from the
taxation authority, in which case the GST is recognised as part of the cost of acquisition of the
asset or as part of the expense item as applicable; and
•
receivables and payables, which are stated with the amount of GST included.
The net amount of GST recoverable from, or payable to, the taxation authority is included as part of
receivables or payables in the statement of financial position.
Cash flows are included in the statement of cash flows on a gross basis and the GST component of
cash flows arising from investing and financing activities, which is recoverable from, or payable to, the
taxation authority are classified as operating cash flows.
Commitments and contingencies are disclosed net of the amount of GST recoverable from, or payable
to, the taxation authority.
1(k)
Plant and equipment
Plant and equipment is stated at cost less accumulated depreciation and any accumulated impairment
losses.
Depreciation is calculated on a straight-line basis over the estimated useful life of the assets as follows:
Category
Life (years)
Depreciation Rate
Computers
Office equipment
Plant and equipment
Vehicles
Min
2
2
5
4
Max
4
10
20
10
Min
25%
10%
5%
10%
Max
50%
50%
20%
25%
49
2023 Annual Report
The assets’ residual values, useful lives and amortisation methods are reviewed, and adjusted if
appropriate, at each financial year end.
Impairment
(i)
The carrying values of property, plant and equipment are reviewed for impairment at each reporting
date, with recoverable amount being estimated when events or changes in circumstances indicate
that the carrying value may be impaired.
The recoverable amount of plant and equipment is the higher of fair value less costs to sell and value
in use. In assessing value in use, the estimated future cash flows are discounted to their present value
using a pre-tax discount rate that reflects current market assessments of the time value of money and
the risks specific to the asset.
For an asset that does not generate largely independent cash inflows, recoverable amount is
determined for the cash-generating unit to which the asset belongs, unless the asset’s value in use
can be estimated to be close to its fair value.
An impairment exists when the carrying value of an asset or cash-generating units exceeds its
estimated recoverable amount. The asset or cash-generating unit is then written down to its
recoverable amount. Impairment losses are recognised in the statement of profit or loss and other
comprehensive income.
Derecognition and disposal
(ii)
An item of plant and equipment is derecognised upon disposal or when no further future economic
benefits are expected from its use or disposal.
Any gain or loss arising on derecognition of the asset (calculated as the difference between the net
disposal proceeds and the carrying amount of the asset) is included in the statement of profit or loss
and other comprehensive income in the year the asset is derecognised.
1(l)
Assets held for sale
Non-current assets, or disposal groups comprising assets and liabilities, are classified as held-for-sale
if it is highly probable that they will be recovered primarily through sale rather than through continuing
use.
Such assets, or disposal groups, are generally measured at the lower of their carrying amount and fair
value less costs of disposal. Any impairment loss on a disposal group is allocated to the assets and
liabilities on a pro rata basis, except that no loss is allocated to inventories, financial assets, deferred
tax assets, employee benefit assets which continue to be measured in accordance with the Group’s
other accounting policies. Impairment losses on initial classification as held-for-sale and subsequent
gains and losses on re-measurement are recognised in profit or loss.
Once classified as held-for-sale, intangible assets and property, plant and equipment are no longer
amortised or depreciated, and any equity-accounted investee is no longer equity accounted.
50
2023 Annual Report
1(m)
Exploration and evaluation expenditure
Exploration and evaluation expenditures in relation to each separate area of interest are recognised
as an exploration and evaluation asset in the period in which they are incurred where the following
conditions are satisfied:
(i)
the rights to tenure of the area of interest are current; and
(ii) at least one of the following conditions is also met:
(a)
(b)
the exploration and evaluation expenditures are expected to be recouped through
successful development and exploitation of the area of interest, or alternatively, by its sale;
or
exploration and evaluation activities in the area have not, at the reporting date, reached a
stage which permits a reasonable assessment of the existence, or otherwise, of
economically recoverable reserves and active and significant operations in, or relation to,
the area of interest are continuing.
Exploration and evaluation assets are initially measured at cost and include acquisition of rights to
explore, studies, exploratory drilling, trenching and sampling and associated activities and an
allocation of depreciation and amortisation of assets used in exploration and evaluation activities.
General and administrative costs are only included in the measurement of exploration and evaluation
costs where they are related directly to operational activities in a particular area of interest.
Exploration and evaluation assets are assessed for impairment when facts and circumstances suggest
that the carrying amount of an exploration and evaluation asset may exceed its recoverable amount.
The recoverable amount of the exploration and evaluation asset (for the cash generating unit(s) to
which it has been allocated being no larger than the relevant area of interest) is estimated to
determine the extent of the impairment loss (if any). Where an impairment loss subsequently
reverses, the carrying amount of the asset is increased to the revised estimate of its recoverable
amount, but only to the extent that the increased carrying amount does not exceed the carrying
amount that would have been determined had no impairment loss been recognised for the asset in
previous periods.
Where a decision has been made to proceed with development in respect of a particular area of
interest, the relevant exploration and evaluation asset is tested for impairment and the balance is
then reclassified to mine development.
1(n)
Impairment of non-financial assets
The Group assesses at each reporting date whether there is an indication that an asset may be
impaired. If any such indication exists, or when annual impairment testing for an asset is required, the
Group makes an estimate of the asset’s recoverable amount. An asset’s recoverable amount is the
higher of its fair value less costs to sell and its value in use and is determined for an individual asset,
unless the asset does not generate cash inflows that are largely independent of those from other
assets or groups of assets and the asset’s value in use cannot be estimated to be close to its fair value.
In such cases the asset is tested for impairment as part of the cash-generating unit to which it belongs.
51
2023 Annual Report
When the carrying amount of an asset or cash-generating unit exceeds its recoverable amount, the
asset or cash-generating unit is considered impaired and is written down to its recoverable amount.
In assessing value in use, the estimated future cash flows are discounted to their present value using
a pre-tax discount rate that reflects current market assessments of the time value of money and the
risks specific to the asset. Impairment losses relating to continuing operations are recognised in those
expense categories consistent with the function of the impaired asset unless the asset is carried at a
revalued amount (in which case the impairment loss is treated as a revaluation decrease).
An assessment is also made at each reporting date as to whether there is any indication that previously
recognised impairment losses may no longer exist or may have decreased. If such indication exists,
the recoverable amount is estimated. A previously recognised impairment loss is reversed only if there
has been a change in the estimates used to determine the asset’s recoverable amount since the last
impairment loss was recognised. If that is the case the carrying amount of the asset is increased to its
recoverable amount. That increased amount cannot exceed the carrying amount that would have
been determined, net of depreciation, had no impairment loss been recognised for the asset in prior
periods. Such reversal is recognised in profit or loss unless the asset is carried at a revalued amount,
in which case the reversal is treated as a revaluation increase. After such a reversal the depreciation
charge is adjusted in future periods to allocate the asset’s revised carrying amount, less any residual
value, on a systematic basis over its remaining useful life.
1(o)
Trade and other payables
Trade payables and other payables are carried at amortised costs and represent liabilities for goods
and services provided to the Group prior to the end of the financial period that are unpaid and arise
when the Group becomes obliged to make future payments in respect of the purchase of these goods
and services.
1(p)
Employee benefits
Liabilities for wages and salaries, including non-monetary benefits, and annual leave expected to be
settled within 12 months of the reporting date are recognised in other payables in respect of
employees’ services up to the reporting date and are measured at the amounts expected to be paid
when the liabilities are settled.
1(q)
Share-based payment transactions
The Company may provide benefits to employees (including senior executives) of the Company in the
form of share-based payments, whereby employees render services in exchange for shares or rights
over shares (equity-settled transactions).
When provided, the cost of these equity-settled transactions with employees is measured by
reference to the fair value of the equity instruments at the date at which they are granted. The fair
value is determined by an external valuer using an appropriate model.
In valuing equity-settled transactions, no account is taken of any performance conditions, other than
conditions linked to the price of the shares of the Company (market conditions) if applicable.
52
2023 Annual Report
The cost of equity-settled transactions is recognised, together with a corresponding increase in equity,
over the period in which the performance and/or service conditions are fulfilled, ending on the date
on which the relevant employees become fully entitled to the award (the vesting period).
The cumulative expense recognised for equity-settled transactions at each reporting date until vesting
date reflects:
(i)
(ii)
the extent to which the vesting period has expired, and
the Company’s best estimate of the number of equity instruments that will ultimately vest.
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. The amount charged
or credited to the statement of profit or loss and other comprehensive income for a period represents
the movement in cumulative expense recognised as at the beginning and end of that period.
No expense is recognised for awards that do not ultimately vest, except for awards where vesting is
only conditional upon a market condition.
If the terms of an equity-settled award are modified, as a minimum an expense is recognised as if the
terms had not been modified. In addition, an expense is recognised for any modification that increases
the total fair value of the share-based payment arrangement, or is otherwise beneficial to the
employee, as measured at the date of modification.
If 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 award are treated as if they were a modification of the original award,
as described in the previous paragraph.
The dilutive effect, if any, of outstanding options is reflected as additional share dilution in the
computation of earnings per share.
1(r)
Issued capital
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.
1(s)
Segment Reporting
Operating segments are reported in a manner consistent with the internal reporting provided to the
chief operating decision maker. The chief operating decision maker, who is responsible for allocating
resources and assessing performance of the operating segments, has been identified as the Board of
Directors of the Company. The Group presently operates in one segment being mineral exploration
within Australia.
1(t)
Earnings per share
Basic earnings per share is calculated as net profit or loss attributable to members of the Company,
adjusted to exclude any costs of servicing equity (other than dividends) and preference share
dividends, divided by the weighted average number of ordinary shares, adjusted for any bonus
element.
53
2023 Annual Report
Diluted earnings per share is calculated as net profit or loss attributable to members of the Company,
adjusted for:
•
•
costs of servicing equity (other than dividends) and preference share dividends;
the after-tax effect of dividends and interest associated with dilutive potential ordinary shares
that have been recognised as expenses; and
• other non-discretionary changes in revenues or expenses during the period that would result
from the dilution of potential ordinary shares; divided by the weighted average number of
ordinary shares and dilutive potential ordinary shares, adjusted for any bonus element.
1(u)
Significant Accounting Estimates and Judgments
In the process of applying the Group’s accounting policies, management has made the following
estimates and judgments, which have the most significant effect on the amounts recognised in the
financial statements.
Exploration and evaluation assets
The Group’s accounting policy for exploration and evaluation expenditure is set out at Note 1(j). The
application of this policy necessarily requires management to make certain judgements and
assumptions as to future events and circumstances. Any such judgements and assumptions may
change as new information becomes available. If, after having capitalised expenditure under the
policy, it is concluded that the expenditures are unlikely to be recovered by future exploitation or sale,
then the relevant capitalised amount will be written off to the statement profit or loss and other
comprehensive income.
Share-based payment transactions
The Group measures the cost of equity-settled transactions with employees and directors by
reference to the fair value of the equity instruments at the date at which they are granted. The fair
value is determined from a binomial pricing model that incorporates various estimates and
assumptions.
1(v)
Associates
Associates are entities over which the consolidated entity has significant influence but not control or
joint control. Investments in associates are accounted for using the equity method. Under the equity
method, the share of the profits or losses of the associate is recognised in profit or loss and the share
of the movements in equity is recognised in other comprehensive income. Investments in associates
are carried in the statement of financial position at cost plus post-acquisition changes in the
consolidated entity's share of net assets of the associate. Goodwill relating to the associate is
included in the carrying amount of the investment and is neither amortised nor individually tested
for impairment. Dividends received or receivable from associates reduce the carrying amount of the
investment.
When the consolidated entity's share of losses in an associate equals or exceeds its interest in the
associate, including any unsecured long-term receivables, the consolidated entity does not recognise
further losses, unless it has incurred obligations or made payments on behalf of the associate.
54
2023 Annual Report
The consolidated entity discontinues the use of the equity method upon the loss of significant
influence over the associate and recognises any retained investment at its fair value. Any difference
between the associate's carrying amount, fair value of the retained investment and proceeds from
disposal is recognised in profit or loss.
1(w)
Provisions
Provisions are recognised when the consolidated entity has a present (legal or constructive) obligation
as a result of a past event, it is probable the consolidated entity will be required to settle the
obligation, and a reliable estimate can be made of the amount of the obligation. The amount
recognised as a provision is the best estimate of the consideration required to settle the present
obligation at the reporting date, taking into account the risks and uncertainties surrounding the
obligation. If the time value of money is material, provisions are discounted using a current pre-tax
rate specific to the liability. The increase in the provision resulting from the passage of time is
recognised as a finance cost.
Rehabilitation provision
A provision has been made for the present value of anticipated costs for future rehabilitation of land
explored or mined. The consolidated entity's mining and exploration activities are subject to various
laws and regulations governing the protection of the environment. The consolidated entity recognises
management's best estimate for assets retirement obligations and site rehabilitations in the period in
which they are incurred. Actual costs incurred in the future periods could differ materially from the
estimates. Additionally, future changes to environmental laws and regulations, life of mine estimates
and discount rates could affect the carrying amount of this provision.
55
Consolidated
30/06/2023
$
30/06/2022
$
73
252,645
332,499
585,217
267,373
63,511
71,550
59,498
20,171
101,670
183,181
766,954
568
550,000
233,909
784,477
167,087
66,070
74,749
108,170
20,715
73,756
336,899
847,446
2023 Annual Report
2.
REVENUE AND EXPENSES
Income
2(a)
Interest received
Reimbursement of exploration expenses *
Other Income
* Reimbursement of expenses by Bryah Basin JV
Other Expenses
2(b)
Salaries and wages
Superannuation
Rental and office facility expenses
Investor relations expenses
Auditor's fees
Insurance
Other corporate and administration expenses
56
2023 Annual Report
INCOME TAX
Income tax expense
3.
3(a)
The components of tax expense comprise
Current tax
Deferred tax
Consolidated
30/06/2023
$
30/06/2022
$
-
-
-
-
Numerical reconciliation of income tax expense to prima facie tax payable
3(b)
Profit (loss) from ordinary activities before income tax expense
(1,828,164)
(1,020,338)
Prima facie tax benefit on loss from ordinary activities at 25%
Tax effect of amounts which are not deductible (taxable) in calculating taxable income:
(457,041)
Fines
Share based payments
Movement in unrecognised temporary differences on
comparable income tax rates of 25%
-
46,478
(410,563)
(257,365)
(255,085)
35
30,931
(224,119)
(176,397)
Tax effect of current year tax losses for which no deferred tax
asset has been recognised
Income Tax Expense
667,928
400,516
-
-
Unrecognised temporary differences
3(c)
Deferred tax assets at relevant tax rates
Accrued expenses
Entity establishment costs
Provision for expenses
Impairment of investments
Capital raising costs
Carry forward revenue tax losses
Deferred tax liabilities at relevant tax rates
Prepaid expenses
Depreciable assets
Mineral exploration
1,441
-
17,536
330,984
135,368
3,152,227
3,637,556
5,011
12,816
2,182,069
2,199,896
8489
18,024
18,275
330,000
127,229
2,580,627
3,082,644
13,303
16,672
1,865,844
1,895,819
Net Deferred Aset/(Liability) not recognised
1,437,660
1,186,825
57
2023 Annual Report
The deferred tax asset and deferred tax liability have not been brought to account as it is unlikely
they will arise unless the company generates sufficient revenue to utilise them.
4.
AUDITORS’ REMUNERATION
Amounts paid or due and payable to Elderton Audit Pty Ltd for:
-audit or review services
Consolidated
30/06/2023
30/06/2022
$
$
20,171
20,171
20,315
20,315
5.
EARNINGS PER SHARE
Basic Profit / (loss) per share
The earnings and weighted average number of ordinary shares
used in the calculation of basic and diluted loss per share is as
follows:
Net Profit / (loss) for the period
Weighted average number of ordinary shares used in the
calculation of Basic and diluted EPS
(Cents)
(0.66)
(Cents)
(0.46)
(1,828,164)
(1,020,338)
No.
No.
278,394,668
221,685,436
58
2023 Annual Report
6.
CASH AND CASH EQUIVALENTS
Cash at bank
Consolidated
30/06/2023
30/06/2022
$
$
1,114,069
810,216
1,114,069
810,216
Short term deposits earn interest at market rates fixed at the time of the contract. Cash and cash
equivalents for the purpose of the statement of cash flows are comprised of cash at bank and short-
term deposits.
Consolidated
30/06/2023
$
30/06/2022
$
6(a)
Reconciliation of loss for the period to net cash flows from operating activities:
Profit/(Loss) for the period
Depreciation
Disposal of assets
Impairment of exploration expenditure
Share based payments
Changes in operating assets and liabilities
(Increase)/decrease in trade and other receivables
Increase/(decrease) in trade and other payables relating to
operating activities
Increase/(decrease) in provisions
(1,828,164)
(1,020,338)
45,133
46,168
-
(1,888,090)
621,794
279,020
(145,222)
(176,415)
(336,005)
150,276
123,725
(23,170)
121,878
675,052
Net cash flows from operating activities
(1,539,859)
(1,814,499)
7.
TRADE AND OTHER RECEIVABLES
Current
GST receivable
Other receivables
Trade receivable
Consolidated
30/06/2023
$
30/06/2022
$
55,304
291,461
128,077
474,842
108,591
173,312
47,717
329,620
Consolidated
30/06/2023
30/06/2022
59
2023 Annual Report
8.
PLANT AND EQUIPMENT
Plant and Equipment
At Cost
Accumulated Depreciation
$
$
337,300
(230,452)
106,848
336,655
(187,028)
149,627
8(a) Movements in carrying amounts
Movements in the carrying amounts for each class of plant and equipment during the financial year:
Balance at 1 July 2022
Additions
Disposals
Depreciation Expense
Balance at 30 June 2023
Plant &
Equipment
96,105
2,354
-
(34,331)
64,128
Motor
Vehicles
53,522
-
-
(10,802)
42,720
Total
149,627
2,354
-
(45,133)
106,848
Note
Consolidated
30/06/2023
$
30/06/2022
$
9.
EXPLORATION AND EVALUATION ASSET
Opening Balance
Acquisition of Rilukin tenements (a)
Acquisition of Lake Johnston project
(b)
Impairment on transfer to held for sale
Exploration written off
Impairment of interest in Bryah Basin
Manganese Project (c)
Other tenement acquisition costs
Expenditures during the period
Balance as at 30 June 2023
9,487,676
-
-
-
(621,794)
-
-
1,417,723
10,283,605
6,827,565
232,000
211,100
(107,661)
-
(11,279)
16,650
2,319,302
9,487,676
The expenditure above relates principally to the exploration and evaluation phase. The ultimate recoupment
of this expenditure is dependent upon the successful development and commercial exploration, or
alternatively, sale of the respective areas of interest, at amounts at least equal to the carrying value.
60
2023 Annual Report
10.
INVESTMENT IN ASSOCIATE
Purchase price of investment in Star Minerals Ltd
Loss in Associate
Impairment of Investment in Associate
Consolidated
Note
30/06/2023
$
30/06/2022
$
2,200,000
(381,062)
(1,323,937)
495,001
2,200,000
(140,063)
(1,179,937)
880,000
Name
Principal
Activities
Country of
Incorporation
Shares
Ownership Interest
Carrying Amount of
Investment
Star Minerals
Limited
Mineral
Exploration
Australia
Listed:
Ordinary
Summarised financial information of Star Minerals Limited
Cash and cash equivalents
Other current assets
Non-current assets
Current liabilities
Non-current liabilities
Equity
Finance costs
Depreciation
Other expenses
Loss before tax
Income tax expense
Loss for the period
Group’s share of loss for the period from date of acquiring
interest
2023
%
2022
%
2023
$
2022
$
20.54
20.75
495,001
880,000
30/06/2023
$
784,026
83,393
5,542,511
215,463
-
30/062022
$
2,974,731
185,529
4,626,984
470,987
-
6,194,467
7,316,258
-
5,413
1,167,903
1,173,316
-
1,173,316
240,999
289
221
796,051
795,983
-
795,983
140,063
Consolidated
61
2023 Annual Report
11.
TRADE AND OTHER PAYABLES
Current
Trade payables and payroll liabilities
Other payables and accruals
30/06/2023
$
30/06/2022
$
97,820
310,072
407,892
173,680
410,627
584,307
Trade creditors are non-interest bearing and are normally settled on 30-day terms. Due to the short-term
nature of trade payables and accruals, their carrying value is assumed to approximately their fair value.
2,000
53,758
55,758
2,000
-
2,000
37,079
153,066
190,145
42,083
151,016
193,099
Consolidated
30/06/2023
$
30/06/2022
$
20,116,107
17,351,159
(1,946,783)
(1,719,982)
18,169,324
15,631,177
12.
OTHER LIABILITIES
Current
Share application funds held in trust
Insurance – financed
PROVISIONS
13.
Current
Employee entitlements
Exploration rehabilitation obligations
14.
ISSUED CAPITAL
14(a) Share capital
Ordinary Shares – fully paid
Share issue costs written off against issued capital
62
2023 Annual Report
14(b) Movements in ordinary share capital
Ordinary shares – fully paid
226,207,175
196,873,841
17,351,159
16,013,159
30/06/2023
No.
30/06/2022
No.
30/06/2023
$
30/06/2022
$
Issue of shares for cash
Issue of ordinary shares in lieu of
cash consideration1.
Issue of ordinary shares as
collateral security
Shares issued on conversion of
performance rights2.
113,417,270
13,333,334
2,579,355
1,000,000
3,230,839
6,000,000
63,693
338,000
-
10,000,000
-
2,650,000
-
121,900
-
-
345,505,284
226,207,175
20,116,107
17,351,159
1. During the financial year 2,000,000 fully paid shares were issued as consideration for investor relations services and
1,230,839 fully paid shares were issued as part consideration for capital raising services.
2. During the financial year performance rights issued to employees vested, 2,650,000 shares were issued following a
conversion of the performance rights. 1 performance right converts to 1 fully paid share.
14(c)
Terms and conditions of issued capital
Ordinary shares have the right to receive dividends as declared and, in the event of the winding up the Company
to participate in proceeds from the sale of all surplus assets in proportion to the number of and amounts paid up
on shares held.
15.
RESERVES
Share-based payment reserve
Share-based payment reserve
Opening balance
Converted to equity
Transfer to retained earnings
Option and performance rights expense
Balance at end of period
63
Consolidated
30/06/2023
$
30/06/2022
$
285,322
285,322
374,818
374,818
374,818
(121,900)
(214,690)
247,094
285,322
251,093
-
-
123,725
374,818
2023 Annual Report
Nature and purpose of reserves
The share-based payment reserve is used to recognise:
• The grant date fair value of options issued to employees but not yet exercised;
• The grant date value of shares issued to employees; and
• The grant date fair value of performance rights granted to employees but not yet vested.
Consolidated
30/06/2023
$
30/06/2022
$
16.
COMMITMENTS
16(a) Exploration Commitments
The Company has certain obligations to perform minimum exploration work and to expend minimum
amounts of money on such work on mining tenements. These obligations may be varied from time to time
subject to approval and are expected to be fulfilled in the normal course of the operations of the Company.
These commitments have not been provided for in the accounts. The current minimum expenditure
commitments on the tenements are:
Payable
-
-
no later than 1 year
between 1 and 5 years
1,199,980
7,950,780
9,150,760
1,180,980
7,530,060
8,711,040
16(b) Operating Lease Commitments
The Company has a shared service agreement which includes access to office facilities at Level 2, 50 Kings
Park Road, West Perth, and warehouse facilities at Unit 6/32 Mooney Street, Bayswater:
Payable
-
-
no later than 1 year
between 1 and 5 years
60,000
-
60,000
14,762
-
14,762
64
2023 Annual Report
KEY MANAGEMENT PERSONNEL DISCLOSURES
17.
17(a) Compensation of Key Management Personnel
Refer to the remuneration report contained in the Directors’ Report for details of the remuneration paid
or payable to each member of the Company’s key management personnel.
Director and Executive Disclosures Compensation of key management personnel
Short-term personnel benefits
Post-employment benefits
Share-based payments (refer note 21)
Consolidated
30/06/2023
30/06/2022
$
419,994
21,000
121,567
562,561
$
585,870
33,490
71,105
690,465
17(b)
Loans and Other Transactions with Key Management Personnel
There were no loans to key management personnel or their related entities during the financial year.
SEGMENT INFORMATION
18.
AASB 8 requires a ‘management approach’ under which segment information is presented on the same
basis as that used for internal reporting purposes. The Board will regularly review the identified segments
in order to allocate resources to the segment and to assess its performance.
During the year, the Company considers that it operated in only one segment, being mineral exploration
within Australia. All the assets are located in Australia only.
CONTINGENT ASSETS AND LIABILITIES
19.
A contingent liability exists in relation to 10 million ordinary shares issued as collateral security to Acuity
Capital for an At-the-Market Subscription Agreement which provides the Company with up to $3 million
of standby equity capital.
In the opinion of the Directors, the Company does not have any contingent liabilities as at 30 June 2023.
65
2023 Annual Report
FINANCIAL RISK MANAGEMENT
20.
The Company’s principal financial instruments comprise receivables, payables, cash and short-term
deposits. The Company manages its exposure to key financial risks in accordance with the Company’s
financial risk management policy. The objective of the policy is to support the delivery of the Company’s
financial targets while protecting future financial security.
The main risks arising from the Company’s financial instruments are interest rate risk, credit risk and
liquidity risk. The Company does not speculate in the trading of derivative instruments. The Company uses
different methods to measure and manage different types of risks to which it is exposed. These include
monitoring levels of exposure to interest rates and assessments of market forecasts for interest rates.
Ageing analysis of and monitoring of receivables are undertaken to manage credit risk, liquidity risk is
monitored through the development of future rolling cash flow forecasts.
The Board reviews and agrees policies for managing each of these risks as summarised below.
Primary responsibility for identification and control of financial risks rests with the Board. The Board
reviews and agrees policies for managing each of the risks identified below, including for interest rate risk,
credit allowances and cash flow forecast projections.
Details of the significant accounting policies and methods adopted, including the criteria for recognition,
the basis of measurement and the basis on which income and expenses are recognised, in respect of each
class of financial asset and financial liability are disclosed in note 1 to the financial statements.
Interest rate risk
20(a)
The Group’s exposure to risks of changes in market interest rates relates primarily to the Group’s cash
balances. The Group constantly analyses its interest rate exposure. Within this analysis consideration is
given to potential renewals of existing positions, alternative financing positions and the mix of fixed and
variable interest rates. As the Group has no interest-bearing borrowings its exposure to interest rate
movements is limited to the amount of interest income it can potentially earn on surplus cash deposits.
The following sensitivity analysis is based on the interest rate risk exposures in existence at the reporting
date.
30/06/2023
$
30/06/2022
$
At the reporting date, the Group had the following financial assets exposed to variable interest rates that
are not designated in cash flow hedges:
Financial Assets
Cash and cash equivalents (interest-bearing accounts)
1,114,069
1,114,069
810,216
810,216
Following a sensitivity analysis based on the interest rate risk exposures in existence at the reporting
date, it is the opinion of the Group that there would be minimal affect and as such no material interest
rate risk.
66
2023 Annual Report
20(b)
Liquidity Risk
The Group manages liquidity risk by monitoring immediate and forecast cash requirements and ensuring
adequate cash reserves are maintained.
20(c) Credit risk
Credit risk arises from the financial assets of the Group, which comprise deposits with banks and trade and
other receivables. The Group’s exposure to credit risk arises from potential default of the counter party,
with the maximum exposure equal to the carrying amount of these instruments. The carrying amounts of
financial assets included in the statement of financial position represents the Group’s maximum exposure
to credit risk in relation to those assets.
The Group does not hold any credit derivatives to offset its credit exposure. The Group trades only with
recognised, creditworthy third parties and as such collateral is not requested nor is it the Company’s policy
to securitise its trade and other receivables.
Receivable balances are monitored on an ongoing basis with the result that the Group does not have a
significant exposure to bad debts.
There are no significant concentrations of credit risk within the Group.
All surplus cash holdings within the Group are currently invested with mainstream Australian financial
institutions.
20(d) Capital Management Risk
Management controls the capital of the Group in order to maximise the return to shareholders and ensure
that the Group can fund its operations and continue as a going concern.
Management effectively manages the Group’s capital by assessing the Group’s financial risks and adjusting
its capital structure in response to changes in these risks and in the market. These responses include the
management of expenditure and debt levels and share and option issues.
The Group has no external loan debt facilities other than trade payables. There have been no changes in the
strategy adopted by management to control capital of the Group since the prior period.
20(e) Commodity Price and Foreign Currency Risk
The Group’s exposure to price and currency risk is minimal given the Group is still in the exploration phase.
20(f)
Fair Value
The methods of estimating fair value are outlined in the relevant notes to the financial statements. All
financial assets and liabilities recognised in the statement of financial position, whether they are carried at
cost or fair value, are recognised at amounts that represent a reasonable approximation of fair values
unless otherwise stated in the applicable notes.
67
2023 Annual Report
21.
SHARE BASED PAYMENTS
The following share-based payments were made during the period:
Directors’ remuneration
KMP Remuneration – A. Jones
Performance rights issued to employees
Shares issued third parties
Options issued in lieu of cash consideration 1.
Total
75,480
46,087
93,760
63,693
279,020
31,769
310,789
1The Group issued 2,294,097 options to the underwriter as part consideration for services in relation to the
rights issue, refer Prospectus 3/5/23. The fair value of listed options is estimated as at the date of grant using
a Binomial option valuation model taking into account the terms and conditions on which the options were
granted. The Group’s valuation of the options is based on the following key inputs: Exercise price - $0.035,
Volatility – 76%, Risk-free interest rate – 3.22%, Share price at grant date - $0.019.
The Group also issued 2,000,000 options to the lead manager as part consideration for services in relation to
capital raising. The fair value of listed options is estimated as at the date of grant using a Black Scholes option
valuation model taking into account the terms and conditions on which the options were granted. The
Group’s valuation of the options is based on the following key inputs: Exercise price - $0.054, Volatility – 91%,
Risk-free interest rate – 3.75%, Share price at grant date - $0.025.
The Group has assessed that it is not able to reliably measure the fair value of the goods and services received
from the counterparty of the share-based payment transaction and thus has measured the fair value of the
securities issued by reference to the fair value of the equity instruments granted.
Options over Unissued Shares
As at 30 June 2023, the following options over unissued ordinary shares were outstanding:
•
•
•
2,000,000 unlisted options with an exercise price of $0.054 each and an expiry of 12 August 2025.
These options were issued as part consideration for the provision of lead manager services to Spark
Plus (Australia) Pty Ltd.
2,294,097 unlisted options with an exercise price of $0.035 each and an expiry date of 1 December
2025. These options were issued to the Underwriter as part consideration for services in relation to
the rights issue.
40,247,385 free attaching options with an exercise price of $0.035 each and an expiry date of 1
December 2025. These options were issued 1 June 2023 as free attaching options under a placement
of new shares.
68
2023 Annual Report
The following illustrates the number and movements in share options issued during the period:
Outstanding at the beginning of the period
Granted during the period
Lapsed during the period
Outstanding at the end of the period
30/06/2023
No.
72,000,000
44,541,482
(72,000,000)
44,541,482
30/06/2022
No.
18,333,333
53,666,667
-
72,000,000
Exercisable at the end of the period
44,541,482
72,000,000
Performance Rights
Granted
2023
Granted
2022
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
1.1,000,000
2.1,000,000
31,000,000
4.3,350,000
Forefeited /
Converted
2023
-
-
-
-
-
-
-
-
-
Total
Grant date
Expiry date
2,000,000
4 Dec 20
15 Jan 26
2,000,000
4 Dec 20
15 Jan 26
2,000,000
4 Dec 20
15 Jan 26
Fair value
at grant
date
$0.0560
$0.0560
$0.0380
Vesting
conditions
Tranche 1
Tranche 2
Tranche 3
333,333
13 May 21
12 May 26
$0.0610
333,333
13 May 21
12 May 26
$0.0610
333,334
13 May 21
12 May 26
$0.0410
-
-
-
1,000,000
9 Feb 22
1,000,000
9 Feb 22
1,000,000
9 Feb 22
8 Feb 27
8 Feb 27
8 Feb 27
$0.0529
$0.0506
$0.0485
$0.0460
Tranche 4
Tranche 5
Tranche 6
Tranche 7
(3,000,000)
350,000
7 June 22
6 June 25
53,000,000
66,100,000
-
-
-
-
3,000,000
23 Nov 22
30 June 28
$0.0260
Tranche 8
6,100,000
2 Feb 23
30 June 28
$0.0240
Tranche 9
9,100,000
6,350,000
(3,000,000)
19,450,000
1., 2., 3. Issued to A. Jones
4. Issued to employees
5. Issued to A. Jones
6. Issued to Directors
69
2023 Annual Report
The performance condition of each tranche is set out below:
Performance Condition
Amount
Tranche
Tranche 1
Tranche 2
Tranche 3
Tranche 4
Tranche 5
Tranche 6
A share price of at least $0.12 over 20 consecutive trading days on which
the Company's shares have actually traded.
A share price of at least $0.16 over 20 consecutive trading days on which
the Company's shares have actually traded.
A share price of at least $0.20 over 20 consecutive trading days on which
the Company's shares have actually traded
A share price of at least $0.12 over 20 consecutive trading days on which
the Company's shares have actually traded.
A share price of at least $0.16 over 20 consecutive trading days on which
the Company's shares have actually traded.
A share price of at least $0.20 over 20 consecutive trading days on which
the Company's shares have actually traded
Tranche 7
Continuous employment from the grant date until 28 February 2023.
Tranche 8
Tranche 9
Vest on the Company delineating an Inferred Manganese JORC Code 2012
compliant Resource > 3M tonnes at >15% Mn cut-off.
Vest on the Company delineating an Inferred Manganese JORC Code 2012
compliant Resource > 3M tonnes at >15% Mn cut-off.
2,000,000
2,000,000
2,000,000
1,000,000
1,000,000
1,000,000
3,350,000
3,000,000
6,100,000
The following reconciles the performance rights outstanding at the beginning and end of the year:
Outstanding at the beginning of the period
Granted during the period
Forfeited during the period
Converted during the period
Outstanding at the end of the period
30/06/2023
No.
13,350,000
9,100,000
(350,000)
(2,650,000)
19,450,000
30/06/2022
No.
10,000,000
6,350,000
(3,000,000)
-
13,350,000
EVENTS SUBSEQUENT TO THE REPORTING DATE
22.
In May 2022, BYH signed an option agreement for the Joint Venture and potential sale of the Lake
Johnston tenements to Mining Green Metals (MGM).
Subsequent to the annual report period MGM terminated the option agreement as the condition of
an initial public offering was not met.
70
2023 Annual Report
RELATED PARTIES TRANSACTIONS
23.
23 (a) Key Management Personnel
Disclosures relating to key management personnel are set out in note 17 and the
remuneration report included in the Directors' Report.
23 (b) Transactions with Related Parties
As at the reporting date, a net receivable amount of $13,044.56 was outstanding from Star
Minerals Limited and the result of shared resources between the companies.
23 (c) Loans to/from related parties
There were no loans to or from related parties at the current and previous reporting date.
23 (d) Terms and Conditions
All transactions were made on normal commercial terms and conditions and at market rates.
24.
CONTROLLED ENTITIES
Parent entity
Bryah Resources Limited
Controlled entity
Peak Hill Manganese Pty
Ltd
West Coast Minerals Pty
Ltd
Country of
Incorporation
Principal Activity
Ownership Interest
30/6/2023
30/06/2022
Australia
Mineral Exploration
Australia
Mineral Exploration
100%
100%
Australia
Mineral Exploration
100%
100%
25.
JOINT VENTURES AND ASSOCIATES
Joint Operation
Joint Operation
Parties
Principal
Activities
30/06/2023
Interest %
30/06/2022
Interest %
Bryah Basin
Manganese JV
Bryah Resources Ltd
OM (Manganese) Ltd
Mineral
Exploration
49%
49%
The joint venture operations are not separate legal entities. They are contractual arrangements
between participants for the sharing of costs and outputs and do not in themselves generate revenue
and profit. The joint operations are of the type where initially one party contributes tenements with
the other party earning a specified percentage by funding exploration activities, thereafter the parties
often share exploration and development costs and output in proportion to their ownership of joint
operation assets.
71
2023 Annual Report
Associate
Star Minerals Limited
Principal
Activities
30/06/2023
Interest %
30/06/2022
Interest %
Mineral
Exploration
20.54%
20.75%
PARENT ENTITY
26.
The following table presents information regarding the parent entity for the year ended 30 June 2023
and the year ended 30 June 2022.
Financial position
Assets
Current assets
Non-current assets
Total assets
Liabilities
Current liabilities
Total liabilities
Equity
Issued capital
Reserves
Retained earnings
Total equity
Financial performance
Loss for the year
Other comprehensive income
Total comprehensive income
30/06/2023
30/06/2022
$
$
1,414,727
10,887,699
12,302,426
910,701
10,625,571
11,536,272
479,508
479,508
550,878
550,878
18,169,324
15,631,177
285,322
(6,631,728)
11,822,918
374,818
(5,020,601)
10,985,394
(1,827,524)
(1,018,701)
-
-
(1,827,454)
(1,018,701)
72
2023 Annual Report
Directors’ Declaration
The Directors of the Company declare that:
1.
the financial statements and notes set out on pages 46 to 72 are in accordance with the
Corporations Act 2001 including:
a.
b.
complying with Australian Accounting Standards, the Corporations Regulations 2001 and
other mandatory professional reporting requirements, and
giving a true and fair view of the Company’s financial position as at 30 June 2023 and of
the performance for the period ended on that date, and;
in the Directors’ opinion, there are reasonable grounds to believe that the Company will be able
to pay its debts as and when they become due and payable.
A statement that the attached financial statements are in compliance with International
Financial Reporting Standards has been included in the notes to the financial statements.
2.
3.
The Directors have been given the declarations pursuant to Section 295A of the Corporations Act 2001.
This declaration is made in accordance with a resolution of the Board of Directors.
IAN STUART
CHAIRMAN
Date: 29 September 2023
73
2023 Annual Report
Annual Mineral Resource Statement
In accordance with ASX Listing Rule 5.21, the Company reviews and reports its Mineral Resources at
least annually. The date of reporting is 30 June each year, to coincide with the Company’s end of
financial year balance date.
In completing the annual review for the year ended 30 June 2023, the historical resource factors were
reviewed and found to be relevant and current. The Company’s projects have not been converted to
any active operation yet and hence no resource depletion has occurred for the review period.
BRYAH BASIN MANGANESES JOINT VENTURE - MINERAL RESOURCE
STATEMENT
A summary of the Mineral Resources at the Bryah Basin Manganese Area as at 30 June 2023 is shown
in Table 3. This resource was updated post reporting period and is reported earlier in the report.
Manganese Resource as at 30th June 2023
Table 3 2012 JORC Manganese Mineral Resources at 15% Mn Cut-off20
Category
Prospect
Area 74
Brumby Creek East and
Brumby Creek West
Horseshoe South and
Horseshoe South Extended
Indicated
Black Hill
Total Indicated
Brumby Creek East and
Brumby Creek West
Horseshoe South and
Horseshoe South Extended
Inferred
Total Inferred
Total Mineral Resource
Kt*
239
525
295
24
1,083
403
351
753
1,836
Mn %
23.6
21.2
20.5
29.7
21.7
20.3
19.5
19.9
21.0
Fe %
21.4
19.1
23.6
20.2
20.9
21.8
29.9
25.6
22.8
*Totals may not add up due to rounding. KT = 1,000 Tonnes
GABANINTHA BASE METALS - MINERAL RESOURCE STATEMENT
A summary of the Base Metals Mineral Resource at the Australian Vanadium Project located at
Gabanintha as at 30 June 2023 is shown in Table 4 below.
20 ASX announcement 3rd March 2022
79
2023 Annual Report
An Indicated and Inferred Base Metal Mineral Resource for the Project has been reported within the
high-grade vanadium domain, beneath the base of sulphide weathering, in the areas of highest drill
density (80 – 140 metre spaced drill lines with 30 metre drill centres). Base metals are potentially
economically recoverable as a sulphide flotation of the tails produced through beneficiation of the
vanadium ore. Due to the reliance on concentration of the base metals into the non-magnetic tails
through beneficiation of the vanadium ore, the Indicated material is restricted to the high-grade
domain within the pit optimisations from AVL’s Bankable Feasibility study (BFS). Inferred material is
located beneath the optimised pits in the vanadium high-grade domain within classified vanadium
Mineral Resources. Table 4 below outlines the resource, by pit area.
Table 4 May 2022 Base Metals Mineral Resource Inventory at the Australian Vanadium Project 21
2022 Base Metals
Resource Area
Classification
Million Tonnes
(Mt)
Ni
ppm
Cu
ppm
Co
ppm
S %
In Pit North
In Pit Central
In Pit South
Indicated
Indicated
Indicated
7.6
4.6
3.8
719
211
227
0.20
775
191
228
0.23
834
220
264
0.11
Total In Pits
INDICATED
16.1
762
207
236
0.19
Under North Pit
Under Central Pit
Under and within
South Pit
Inferred
Inferred
Inferred
8.0
3.5
8.4
710
202
180
0.20
755
197
231
0.25
834
236
268
0.15
Total Under Pits
INFERRED
19.9
770
216
226
0.19
Total Base Metals
Resource
GLOBAL
36.0
766
212
231
0.19
21 ASX Announcement 25th May 2022
80
2023 Annual Report
Recovery Test Work
The proportion of base metals that report to the non-magnetic tails is variable based on 18 tests
conducted to date. Davis Tube Recovery (DTR) test work completed by AVL shows the percentage of
the contained metal reporting to the tail in Table 5.
Table 5 Recovery (%) Reporting to Non-magnetic Tail
Cu
Recovery
Ni
Recovery
Co
Recovery
S
Recovery
Average AVL Variability work 62%
2021 bulk samples North Pits 39.3
2021 bulk samples South Pits 59.9
34%
20.5
28.3
59%
47.6
53.3
93%
85.6
88.1
Further magnetic separation test work is planned to understand the variation in results and refine the
proportion of each metal reporting to the non-magnetic tail. The difference between the recoveries
is likely the difference between the LIMS and MIMS separation methodologies. The mass percentage
to the magnetic tail were significantly higher for the LIMS separation only returning masses of 19%
and 23.9% to the tail for the north and south pit samples.
The 2022 closed circuit floatation test work produced a potentially saleable product with sulphide
concentrate grades in the market specifications range. Grades in the sulphide concentrate for both
samples averaged 1.17 % Ni, 1.38% Cu and 1.34% Co and 30.1% S.
MATERIAL CHANGES AND RESOURCE STATEMENT COMPARISON
In respect to the mineral resource estimation calculated for the Gabanintha Base metals resource, the
Company is not aware of any new information or data that materially affects the information and all
material assumptions and technical parameters underpinning the estimate continue to apply and have
not materially changed.
In respect to the mineral resource estimation calculated for the Bryah Basin Manganese, the company
updated the resource subsequent to the financial year end. The Company is not aware of any new
information or data that materially affects the information and all material assumptions and technical
parameters underpinning the estimate continue to apply and have not materially changed.
GOVERNANCE ARRANGEMENTS AND INTERNAL CONTROLS
The Company has ensured that the Mineral Resources quoted are subject to good governance
arrangements and internal controls. The Mineral Resources reported have been generated by
independent consultants where appropriate who are experienced in best practices in modelling and
estimation methods. The consultants have also undertaken reviews of the quality and suitability of
the underlying information used to determine the resource estimate. In addition, management carries
out regular reviews and audits of internal processes and external contractors that have been engaged
by the Company.
81
2023 Annual Report
Competent Person Statement — Bryah Basin Manganese Area Mineral Resource
Estimation
The information in this announcement that relates to Mineral Resources is based on and fairly
represents information compiled by Mr Lauritz Barnes, (Consultant with Trepanier Pty Ltd), Dr Joe
Drake-Brockman (Consultant with Drake-Brockman Geoinfo Pty Ltd) and Ms Gemma Lee (Principal
Geologist with Bryah Resources). Mr Barnes, Dr Drake-Brockman and Ms Lee are members of the
Australasian Institute of Mining and Metallurgy (AusIMM) and/or the Australian Institute of
Geoscientists (AIG). All have sufficient experience of relevance to the styles of mineralisation and types
of deposits under consideration, and to the activities undertaken to qualify as Competent Persons as
defined in the 2012 Edition of the Joint Ore Reserves Committee (JORC) Australasian Code for
Reporting of Exploration Results, Mineral Resources and Ore Reserves. Specifically, Mr Barnes is the
Competent Person for the estimation, Dr Drake-Brockman is the Competent Person for the geological
model and site visits and Ms Lee is the Competent Person for the geological database. Mr Barnes, Dr
Drake-Brockman and Ms Lee consent to the inclusion in this announcement of the matters based on
their information in the form and context in which they appear.
Competent Person Statement — Gabanintha Base Metals Mineral Resource
Estimation
The information in this announcement that relates to Mineral Resources is based on and fairly
represents information compiled by Mr Lauritz Barnes, (Consultant with Trepanier Pty Ltd) and Mr
Brian Davis (Consultant with Geologica Pty Ltd and Director of Bryah Resources Ltd). Mr Barnes and
Mr Davis are both members of the Australasian Institute of Mining and Metallurgy (AusIMM) and the
Australian Institute of Geoscientists (AIG). Both have sufficient experience of relevance to the styles
of mineralisation and types of deposits under consideration, and to the activities undertaken to qualify
as Competent Persons as defined in the 2012 Edition of the Joint Ore Reserves Committee (JORC)
Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves.
Specifically, Mr Barnes is the Competent Person for the estimation and Mr Davis is the Competent
Person for the database, geological model and site visits. Mr Barnes and Mr Davis consent to the
inclusion in this announcement of the matters based on their information in the form and context in
which they appear.
Competent Persons Statement
The information in this report that relates to Exploration Results is based on information compiled by
Mr Tony Standish, who is a Member of the Australian Institute of Geoscientists. Mr Standish is a
consultant to Bryah Resources Limited (“the Company”). Mr Standish has sufficient experience which
is relevant to the style of mineralisation and type of deposit under consideration and to the activity
which he is undertaking to qualify as a Competent Person as defined in the 2012 Edition of the
‘Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves’. Mr
Standish consents to the inclusion in this report of the matters based on his information in the form
and context in which it appears.
82
2023 Annual Report
SCHEDULE OF INTERESTS IN MINING TENEMENTS
AS AT 30 JUNE 2023
PROJECT
TENEMENT
AREA
EQUITY
ANNUAL EXPENDITURE
COMMITMENT
Bryah Basin
Lake Johnston
Gabanintha
E52/3014
E52/3236
E52/3237
E52/3238
E52/3240
E52/3349
E52/3401
E52/3453
E52/3454
E52/3508
E52/3700
E52/3703
E52/3705
E52/3725
E52/3726
E52/3796
E52/3848
E52/3865
E52/3871
E52/3898
E52/3963
P52/1527
E52/4096
PLA52/1659
M52/806
M52/1068
E52/1557-I
E52/1860-I
E63/2155
E63/2156
E63/2132
E63/2134
E63/2135
E63/2157
E63/2158
E63/2159
E51/843
E51/1534
M51/878
M51/897
1 block
26 blocks
8 blocks
7 blocks
9 blocks
42 blocks
43 blocks
40 blocks
8 blocks
4 blocks
24 blocks
11 blocks
1 block
10 blocks
3 blocks
37 blocks
2 blocks
30 blocks
1 block
12 blocks
2 blocks
156.47 ha
1 block
316.15 ha
1,819.97 ha
16 blocks
35 blocks
12 blocks
8 blocks
3,565.86 ha
1,812.05 ha
83
100%
100%1
100%1
100%
100%1
100%1
100%1
100%
100%
100%1
100%
100%
100%
100%
100%
100%
100%
100%
100%
100%
100%
100%
100%
100%
100%1
0%1 2
0%1 2
0%1 2
100%
100%
100%
100%
100%
100%
100%
100%
100%3
100%3
100%3
100%3
TOTAL
20,000
78,000
70,000
70,000
70,000
126,000
52,000
80,000
50,000
30,000
36,000
30,000
10,000
20,000
20,000
37,000
15,000
30,000
10,000
20,000
15,000
6,280
10,000
10,000
31,700
N/A
N/A
N/A
946,980
50,000
40,000
39,000
21,000
20,000
43,000
20,000
20,000
253,000
N/A
N/A
N/A
N/A
1,199,980
2023 Annual Report
1. OM (Manganese) Limited holds a 51% Joint Venture Interest in the Manganese Mineral Rights in respect to
M52/806, M52/1068, E52/1557, E52/1860, E52/3349, E52/3236 (portion), E52/3237, E52/3240, E52/3401
and E52/3508
2.Bryah holds the mineral rights to prospect, explore, mine and develop manganese ore (Manganese Mineral
Rights) only. Annual expenditure commitment obligations remain with the primary tenement holder.
Rights
3.Mineral
only.
Australian Vanadium Limited retains 100% rights in V/U/Co/Cr/Ti/Li/Ta/Mn & iron ore on the Gabanintha
Project. Annual expenditure commitment obligations remain with Australian Vanadium Limited.
V/U/Co/Cr/Ti/Li/Ta/Mn &
all minerals
except
iron
ore
for
ASX Additional Information
Additional information required by the ASX Listing Rules not disclosed elsewhere in this Annual Report
is set out below. The information is current as at 22 September 2023.
Distribution of Equity Securities
Analysis of numbers of equity security holders by size of holding:
Listed Shares,
Fully Paid Ordinary
No of
Holders
48
26
147
670
330
1,221
Number of shares
6,164
89,882
1,323,634
29,301,404
327,884,200
358,605,284
Range
1 – 1,000
1,001 – 5,000
5,001 – 10,000
10,001 – 100,000
100,001+
Total
Number of options
Listed 3.5 cent Options
expiring 1 December 2025
No of
Holders
8
24
20
60
48
160
5,015
72,211
140,238
1,919,197
40,404,821
42,541,482
Unmarketable Parcels
There were 510 holders of less than a marketable parcel ($500) of ordinary shares.
Restricted Securities
The Company has no restricted securities on issue as at 22 September 2023.
Unquoted Securities
The Company has the following unquoted securities on issue as at 22 September 2023:
- 2,000,000 options exercisable at $0.054 on or before 12 August 2025 issued to 2 holders.
Substantial Shareholders
The Company has the following substantial holders as at 22 September 2023:
Shareholder
Pet FC Pty Ltd
Number of
shares
27,123,334
84
2023 Annual Report
Corporate Governance
The company’s corporate governance statement is located on its website at: bryah.com.au
Top 20 Shareholders
Name
1
2
3
4
5
6
7
8
9
10
Pet Fc
Australian Vanadium
Botsis Holdings Pty Ltd
Acuity Capital Investment Management Pty Ltd
Woolmaton Pty Ltd
Hsbc Custody Nominees (Australia) Limited - A/C 2
Jalein Pty Ltd
Mr James Stati &
Miss Kathie Lee Fletcher
Bnp Paribas Noms Pty Ltd
M & K Korkidas Pty Ltd
Rookharp Capital Pty Limited
14
15
13
16
17
11
11 Mr Iain Milton Mcdougall
12 Ms Xiaodan Wu
Sunemar Pty Ltd
Faustus Nominees Pty Ltd
Scarfell Pty Ltd
Rilukin Holdings Pty Ltd
Spark Plus Pte Ltd
Jolyn Investments Pty Ltd
Mike Moore Super Pty Ltd
Mr Ashley Stewart Jones
Total
Total Remaining Holders Balance
18
20
19
85
Number of
Shares
27,123,334
18,506,174
17,555,556
% of
Shares
7.56%
5.16%
4.90%
14,000,000
3.90%
13,836,500
10,000,000
8,777,779
3.86%
2.79%
2.45%
7,400,000
2.06%
5,944,922
1.66%
5,581,503
5,263,158
5,263,158
5,238,333
4,800,000
4,290,000
3,700,000
3,600,000
3,575,698
3,533,334
1.56%
1.47%
1.47%
1.46%
1.34%
1.20%
1.03%
1.00%
1.00%
0.99%
3,511,000
0.98%
3,202,627
0.89%
174,703,076
183,902,208
48.72%
51.28%
2023 Annual Report
Top 20 Listed Option holders
Name
Rookharp Capital Pty Limited
1
1 Mr Iain Milton Mcdougall
2
3
Botsis Holdings Pty Ltd
Australian Vanadium
M & K Korkidas Pty Ltd
4
5 Mrs Chinique Wyatt
6
3m Holdings Pty Limited
<3m Investment Spec A/C>
7 Mahe Investments Pty Ltd
8
9
10
11
12
13
13
13
13
13
14
15
16
17
18
Goldfields Retirement Pty Ltd
Dr Leon Eugene Pretorius
Jalein Pty Ltd
Sugarloaf Ventures Pty Ltd
Getmeoutofhere Pty Ltd
Theatrical Television Display Services Pty Ltd
Merribrook Super Pty Ltd
Mr Benjamin James Opie
Mrs Yan Wang
Bond Street Custodians Limited
Mr Ashley Stewart Jones
Tedleng Pty Ltd
Jolyn Investments Pty Ltd
Demasiado Pty Ltd
Mr Kevin Daniel Leary &
Mrs Helen Patricia Leary
19 Mr Kenneth Yu
19
19
19
Bond Street Custodians Limited
Success Investments Pty Limited
Aviv Pty Ltd
86
Number of
Listed
Options
3,508,772
3,508,772
3,333,334
3,084,363
2,791,756
2,017,669
2,000,000
1,900,098
1,754,386
1,333,333
1,129,630
% of
Listed
Options
8.25%
8.25%
7.84%
7.25%
6.56%
4.74%
4.70%
4.47%
4.12%
3.13%
2.66%
1,052,000
2.47%
876,667
701,755
701,755
2.06%
1.65%
1.65%
701,755
1.65%
701,755
1.65%
701,755
1.65%
701,752
1.65%
701,646
1.65%
588,890
1.38%
526,000
1.24%
525,789
1.24%
350,877
350,877
350,877
350,877
0.82%
0.82%
0.82%
0.82%
2023 Annual Report
19
19
19
Benjamin & Co Pty Ltd
Lsf Nominees Pty Ltd
Mr Jeremy Charles Gibb &
Mrs Susan Michelle Gibb
20 Ms Xiaodan Wu
Total
Total Remaining Holders Balance
350,877
0.82%
350,877
0.82%
350,877
0.82%
350,667
4,891,044
23,971,192
0.82%
11.50%
37.16%
87