ANNUAL REPORT
2021
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CODA MINERALS LIMITED ACN 625 763 957 ANNUAL REPORT AND FINANCIAL STATEMENTS 2021 2
CODA MINERALS LIMITED ACN 625 763 957 ANNUAL REPORT AND FINANCIAL STATEMENTS 2021 TABLE OF CONTENTS
ABOUT CODA MINERALS
LETTER FROM THE CHAIR
OPERATIONAL UPDATE
DIRECTORS’ REPORT
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05
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AUDITOR’S INDEPENDENCE DECLARATION 33
INDEPENDENT AUDITOR’S REPORT
DIRECTORS’ DECLARATION
STATEMENT OF PROFIT OR LOSS
AND OTHER COMPREHENSIVE INCOME
STATEMENT OF FINANCIAL POSITION
STATEMENT OF CHANGES IN EQUITY
STATEMENT OF CASH FLOWS
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39
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41
42
43
NOTES TO THE FINANCIAL STATEMENTS 45
ASX ADDITIONAL INFORMATION
CORPORATE DIRECTORY
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CODA MINERALS LIMITED ACN 625 763 957 ANNUAL REPORT AND FINANCIAL STATEMENTS 2021 2
CODA MINERALS LIMITED ACN 625 763 957 ANNUAL REPORT AND FINANCIAL STATEMENTS 2021 C ODA MINE R ALS L IMITE D ACN 625 763 957 ANNUA L RE PO RT AND FINANCIAL STATEME NTS 2021
ABOUT CODA MINER ALS
Coda Minerals Limited (ASX: COD) is a minerals exploration company focused on the discovery, and development of base
metals, precious metals, and battery minerals.
Coda is primed to unlock the value of its highly prospective Elizabeth Creek Copper Project, which is located in the heart of
the Olympic Copper Province, Australia’s most productive copper belt.
The Elizabeth Creek Copper Project is centred 100km south of BHP’s Olympic Dam mine 15km from BHP’s Oak Dam West
Project and 50 km west of OZ Minerals’ Carrapateena copper-gold project.
Coda has a dual strategy for success at Elizabeth Creek. Firstly, it is working to further define and extend known Zambian-
style copper-cobalt resources across multiple prospects, including Emmie Bluff, Powerline and MG14 North. Secondly, it
is implementing a substantial drill programme at Emmie Bluff Deeps following discovery of a major mineralised IOCG (iron
oxide copper-gold) system in June 2021.
The Elizabeth Creek Copper Project includes JORC 2012-compliant Indicated Mineral Resources at the Windabout and MG14
deposits, which together host a combined 159,000 tonnes of contained copper and 9,500 tonnes of contained cobalt. The
project also includes Coda’s Emmie Bluff deposit where Coda expects to release a Maiden JORC Resource in Q4 2021.
Coda has a long history of exploration activities at Elizabeth Creek, which has earned the Company a majority interest in
the project (70%). Coda holds the rights and interests to earn up to 75% interest in the project in Joint Venture with Torrens
Mining Limited (ASX:TRN).
Coda has also entered into a Farm-In and Joint Venture Agreement with Wilgus Investments Pty LTD to acquire up to 80%
ownership of the Cameron River Copper-Gold Project in the heart of copper gold exploration country near Mt Isa in North
Queensland.
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CODA MINERALS LIMITED ACN 625 763 957 ANNUAL REPORT AND FINANCIAL STATEMENTS 2021 LETTER FROM THE CHAIR
Dear Shareholders,
I am pleased to present Coda Minerals’ 2021 Annual Report and to reflect on what has been an exceptional year for
the Company.
The 2021 financial year has been marked by a combination of exploration success, growth in our asset portfolio and two
well supported capital raisings, all of which have driven a substantial increase in our market capitalisation.
Coda listed on the ASX on 28th October 2020 following a heavily oversubscribed capital raising. We immediately put our
balance sheet strength to work drilling at Elizabeth Creek, with the drill rigs turning almost constantly across two major
assets since that date.
In this first year of our life as an ASX-listed copper exploration and development company, we have fundamentally
improved the underlying quality of our mineral assets. In June 2021, at our flagship Elizabeth Creek Copper Project in
South Australia, the discovery of a major IOCG system at Emmie Bluff Deeps led to significant re-rating in our share
price and major changes to the structure of our share register, with institutional investors now making up a significant
proportion of the top-10. We have been active outside the IOCG space as well, acquiring the Cameron River Copper-Gold
Project in Queensland and completing 30 deep diamond drillholes at our Emmie Bluff Copper Cobalt deposit that will
underpin a maiden Mineral Resource at the prospect which is scheduled for completion in the December 2021 quarter.
Following an oversubscribed $14.4 million capital raising completed in June, Coda is now very well supported and
well-funded as we work hard to build on this success with continued drilling at Emmie Bluff Deeps and a maiden drill
programme set to commence at Cameron River in the new year.
Corporately, we augmented our executive team with the recruitment of a highly experienced and well-credentialled Chief
Financial Officer Kudzai Mtsambiwa, to work alongside our CEO, Chris Stevens, and help guide us through what we expect
to be a major growth period ahead.
Copper’s pivotal role in the impending global energy transformation is expected to drive an extraordinary period of demand
growth in the coming years. As we enter this exciting period, Coda Minerals is stronger than ever, building a material
copper inventory across multiple projects.
In conclusion, I would like to thank our shareholders for their tremendous support over the past year, my fellow board
members, our CEO Chris Stevens and the team at Coda as well as our advisers, CPS Capital, who have provided excellent
support and guidance over the past year.
Keith Jones
Chairperson
Coda Minerals Ltd
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CODA MINERALS LIMITED ACN 625 763 957 ANNUAL REPORT AND FINANCIAL STATEMENTS 2021 6
CODA MINERALS LIMITED ACN 625 763 957 ANNUAL REPORT AND FINANCIAL STATEMENTS 2021 OPERATIONAL UPDATE
Coda’s mission is to explore for, define and develop copper, cobalt, gold and other base metal assets in stable, tier-1
jurisdictions globally. We believe that technical excellence and discipline is at the heart of value creation for shareholders.
Our team is therefore dedicated to high-value, technically-driven exploration and study management.
Our flagship Elizabeth Creek Project in South Australia is located in one of the world’s most prospective copper exploration
regions, surrounded by major exploration, development and producing assets including Carrapateena, Oak Dam West, and
Olympic Dam further to the north.
Although highly prospective, the area can be challenging to explore with deposits generally occurring deep under cover.
Over the past year we have refined and calibrated our exploration techniques, and this has resulted in drill-backed success.
Our key areas of focus at Elizabeth Creek over the coming year will be:
Zambian-Style Copper-Cobalt Resources
Zambian-Style Copper-Cobalt mineralisation represents a crucial pillar of Coda’s growth strategy at the Elizabeth Creek
Project, and resource expansion of this deposit type will remain a core focus over the coming year.
Prior to trading on the ASX, we had drill rigs turning at Emmie Bluff in the first of two major drill programmes which
commenced during the 2020/21 year. As it stands today, Coda has drilled a total of 30 diamond holes in and around the basin
which hosts the Emmie Bluff mineralisation.
The addition of a substantial Mineral Resource at Emmie Bluff, which is expected before the end of 2021, will be a potentially
game-changing event for the Company in terms of the scale and the potential future economics of the Elizabeth Creek project
as a whole. The Emmie Bluff Resource will augment the 280,000 tonnes of copper equivalent already in Indicated Mineral
Resources at Windabout and MG14.
Coda’s technical team has a long history with this style of mineralisation, including a detailed and advanced understanding
of the metallurgy of these deposits, which will enable the Company to rapidly progress commercialisation options for
Zambian-style mineralisation. In addition to undertaking work to progress existing and near-term resources, our exploration
ground around Emmie Bluff remains wide open for new discoveries, the potential for which is strongly supported by
geophysics.
IOCG (Iron Oxide Copper-Gold) Mineralisation
In June 2021, the discovery of a major IOCG system at Emmie Bluff Deeps was a pivotal moment for Coda, substantially
increasing the value of the Company and, most importantly, validating our IOCG exploration model.
In the three months since the first release of visual data, the Company has completed an enormous amount of work, including a
total of eight drill holes each averaging over a kilometre in depth, and continuing to expand the mineralised envelope.
There is no doubt that much work remains to be done, however each additional drill hole has increased our understanding of the
deposit and we believe today that we are investigating a truly significant IOCG system with the potential to drive the company’s
growth into the future. Drilling is anticipated to continue well into 2022, following the trend defined by the higher-grade bornite
core of the mineralisation and expanding both the thickness and lateral extent of the drill-delineated mineralisation.
Success at Emmie Bluff Deeps has also provided critical substantiation of the company’s exploration models for IOCG
mineralisation. The same process that identified the prospectivity at Emmie Bluff Deeps also highlighted the Elaine IOCG
prospect some 35km south. While our focus has been firmly fixed on Emmie Bluff and Emmie Bluff Deeps throughout this
past year, the coming 12 months will see us branch out and explore additional prospects, with Elaine being first on that list
at Elizabeth Creek.
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CODA MINERALS LIMITED ACN 625 763 957 ANNUAL REPORT AND FINANCIAL STATEMENTS 2021 Cameron River Copper-Gold Project
Away from Elizabeth Creek, Coda’s technical team has also been advancing the Cameron River Project, which Coda acquired
in March of 2021. Exploration to date has been limited to surface rock chipping, geophysical interpretation and mapping
which will allow the team to hit the ground running in the coming months as weather improves and borders open, with
drilling anticipated in the early part of 2022.
ESG
We hold the values of respect for indigenous heritage and environmental custodianship at the core of every activity that we
undertake across our projects. We have established an excellent working relationship with the Traditional Owners of the
land upon which we operate at Elizabeth Creek, and as we grow in size and development focus, we will continue to build on
that trust and mutual respect and also work to strengthen other key aspects of our environmental and social governance
(ESG). With regard to our broader ESG credentials, it is worth noting that we are exploring for minerals that are critical
to a low-carbon future, we are working to develop lixiviants (liquid media used in hydrometallurgy) for processing with a
low environmental impact, and we are operating in South Australia – one of the world’s most progressive jurisdictions for
renewable energy.
SUMMARY
Over the past year, Coda’s technical team has turned targets into drill-backed assets with a resource imminent at Emmie
Bluff and a major IOCG discovery emerging at Emmie Bluff Deeps. If Coda’s successes over the past year prove anything, it
is that the application of good science and hard work to prospective ground can produce results. We plan to continue this
approach as we progress on all fronts: at established deposits like MG14 and Windabout, at exciting emerging prospects such
as Emmie Bluff and Emmie Bluff Deeps, and at highly prospective targets yet to be tested like Elaine and Cameron River.
In conclusion, I would like to thank our shareholders, the board, the technical team at Coda – led by our head geologist Matt
Weber – and all of the people who support us at Elizabeth Creek, without whom none of this would be possible.
Chris Stevens
Chief Executive Officer
Coda Minerals Ltd
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CODA MINERALS LIMITED ACN 625 763 957 ANNUAL REPORT AND FINANCIAL STATEMENTS 2021 PROJECT SUMMARY
CODA HOLDS THE RIGHTS AND INTERESTS TO TWO PROJECTS IN AUSTRALIA. CODA’S FLAGSHIP PROJECT IS THE
ELIZABETH CREEK COPPER-COBALT PROJECT LOCATED IN THE EASTERN GAWLER CRATON IN SOUTH AUSTRALIA.
CODA’S SECOND PROJECT IS THE CAMERON RIVER COPPER-GOLD PROJECT LOCATED IN THE HIGHLY PROSPECTIVE
MOUNT ISA INLIER IN QUEENSLAND.
ELIZABETH CREEK
CAMERON RIVER
• 701 km2 of exploration tenure in a world class
copper province.
• Validated IOCG prospectivity at Emmie Bluff Deeps
• 35 km2 of copper and gold exploration tenure
• Close to establish infrastructure. Halfway between
Mt Isa and Clonclurry.
- Potential future IOCG opportunity at Elaine
• Shallow Cu-Au targets identified
• Existing Extensive Exploration Target at Emmie Bluff.
• Existing JORC compliant Indicated Resources at MG14
and Windabout
CAMERON
RIVER
TOTAL AREA 35km2
EMMIE
BLUFF DEEPS
IOCG
PROSPECT
WINDABOUT
250,000 CuEq
MG14 NORTH
ZAMBIAN STYLE
MG14
30,000T CuEq
EMMIE BLUFF
ELAINE
IOCG
PROSPECT
POWERLINE
ZAMBIAN STYLE
TOTAL AREA 701km2
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EXISTING MINERAL RESOURCES
(JORC 2012 indicated) 0.5% CuEq. cut-off
ELIZABETH
CREEK
Deposit
Category
Mt
Cu%
Co% Ag g/t
CuEq%
Windabout1,2
Indicated
17.67
MG141,2
Total2
Indicated
1.83
19.5
0.77
1.24
0.8
0.05
0.03
0.05
8
14
8.6
1.41
1.67
1.41
Contained
Metal3
Tonnes Tonnes
MOz
Tonnes
159,000
9,400
5.4 280,000
EMMIE BLUFF EXPLORATION2,3,4 TARGET
Tonnage range
(Mt)
Cu Range
(%)
Co Range
(%)
Ag Range
(g/t)
CuEq. Range4
(%)
46-77
0.34 - 1.5
0.02 - 0.10
5 - 19
0.5 - 2.3
1 See Gindalbie Metals ASX announcement on 19 January 2018 for Competent Person’s
statement and full details
2 Numbers have been rounded
3 Refer to Gindalbie ASX Announcement, Initial Exploration Target Delivered at Emmie Bluff
Cu-Co Prospect, Mt Gunson, South Australia (19 June 2019)
4 The Company notes that the potential quantity and grade of the Exploration Target is
conceptual in nature, and that there has been insufficient exploration to estimate a Mineral
Resource. It is uncertain whether further exploration will result in the estimation of a Mineral Resource
CODA MINERALS LIMITED ACN 625 763 957 ANNUAL REPORT AND FINANCIAL STATEMENTS 2021 ELIZABETH CREEK
EMMIE BLUFF IS CODA’S FLAGSHIP ZAMBIAN STYLE COPPER COBALT DEPOSIT, SITUATED AT THE NORTHERN EDGE OF
THE COMPANY’S TENURE AT AN APPROXIMATE DEPTH OF 400M.
The prospect has been a large part of Coda’s focus during 2020/21, with an extensive 17 hole diamond drill programme being
undertaken between October and March, and a follow-up drill programme of an additional 13 holes commencing just as the
year was ending. These programmes were designed first to test the potential for expansion of the Emmie Bluff prospect
and define the edges of the basin which hosts the mineralisation, and then to provide sufficient information to bring a
significant part of that basin into a JORC Compliant Mineral Resource. Estimation of this resource is ongoing at the time of
this report.
In the coming year, Coda will deliver a JORC Compliant Mineral Resource at Emmie Bluff, and undertake scoping level
mining and metallurgical studies in support of an advanced scoping study aimed at delivering a go-forward case for further
feasibility studies and resource definition drilling. Several of these studies have already commenced as of the time of this
report.
In June of this year, Coda announced the intersection by drillhole DD21EB0018 of approximately 200m of intensely
haematitic and altered sediments and granites, including approximately 50m of moderate to intense copper sulphide
mineralisation, including chalcocite, chalcopyrite and bornite. This was the first hole that the company had drilled into the
Emmie Bluff Deeps prospect, and this initial highly encouraging result was followed up with additional wedges and further
drilling in the following months, which continue at the time of publication of this report.
EVENTS SUBSEQUENT TO YEAR END
Following the end of the 2020/21 financial year, Coda announced preliminary results from follow-up drilling. In early October
2021, Coda had completed 3 holes from surface and a total of five wedges from those holes, with two more ongoing .
As of now, the IOCG mineralisation remains open in almost all directions and has been confirmed by multiple drill
intersections, including some materially better than the initial hit. The mineralisation appears to be in at least two or more
stacked stratiform lodes, with a distinct lateral zonation indicating the presence of a major local mineralising structure,
which continues to be a primary target of further drilling.
Going forward, the company will seek both lateral extension to fully map out the footprint of the deposit and vertical expansion.
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CODA MINERALS LIMITED ACN 625 763 957 ANNUAL REPORT AND FINANCIAL STATEMENTS 2021 ELIZABETH CREEK
SAE 4
DD21EBD0001
ELIZABETH CREEK PROJECT
EMMIE BLUFF DEEPS
SIMPLIFIED PLAN VIEW: 1:6500
5KM HIGH PASS GRAVITY
LEGEND
HISTORICAL IOCG DRILLHOLE COLLAR
CODA IOCG DRILLHOLE COLLAR
DRILLHOLE INTERSECT SULPHIDE ASSEMBLAGE
BORNITE-CHALCOCITE-COVELLITE DOMINANT
CHALCOCITE-BORNITE DOMINANT
PYRITE-CHALCOPYRITE DOMINANT
DD21EB0018
DD21EB0018W1
DD21EB0018W2
DD21EB0018W3
DD21EBD0002W2
MGD 55
DD21EBD0002
SAE 3
DD21EBD0003W1
DD21EBD0002W1
DD21EBD0003W2
DD21EBD0003
HOLE ID
MINERALISATION
ESTIMATED
WIDTH
BEST ASSAY RESULTS*
DD21EB0018
CHALCOPYRITE
DOMINATED
4.5m @ 1.01% Cu, 0.17g/t Au from 797.45m
45m
28m @ 1.21% Cu, 0.37g/t Au from 810.79m
DD21EB0018W1
CHALCOPYRITE
DOMINATED
20m
2.5m @ 2.11% Cu, 0.30g/t Au from 842.03m
2m @ 1.76% Cu, 1.09 g/t Au from 820.56m
17m @ 1.18% Cu, 0.31 g/t Au from 824.07
DD21EB0018W2
BORNITE DOMINATED
24m
24m @ 2.17% Cu, 0.29 g/t Au from 815m
DD21EB0018W2
BORNITE DOMINATED
13m
13m @ 3.46% Cu, 0.64 g/t Au from 902.15m
DD21EBD0002
PYRITE/CHALCOPYRITE
DOMINATED
DD21EBD0002W1
CHALCOPYRITE
DOMINATED
55m
27m
Assays Pending
Assays Pending
DD21EBD0002W2
Assays Pending, Drilling Ongoing
DD21EBD0003
BORNITE DOMINATED
20m
Assays Pending
DD21EBD0003W1
CHALCOPYRITE
DOMINATED
50m
Assays Pending
DD21EBD0003W2
BORNITE DOMINATED
27m
Assays Pending
DD21EBD0003W2
CHALCOPYRITE
DOMINATED
40m
Assays Pending, Drilling Ongoing
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CODA MINERALS LIMITED ACN 625 763 957 ANNUAL REPORT AND FINANCIAL STATEMENTS 2021 OTHER PROSPECTIVE TARGETS
ELAINE
The same comprehensive geophysical review which identified Emmie Bluff Deeps as among Coda’s most prospective
targets also highlighted the Elaine prospect, some 33km south. Elaine is characterised by semi-coincident gravity and
magnetic anomalies, and historic drilling in the region has identified IOCG-type anomalism, including low-grade diffuse
chalcopyrite and haematised sediments. Coda intends to drill the Elaine prospect in the coming year and will focus
primarily on the southern core of the gravity anomaly, which, as at Emmie Bluff Deeps, is offset from the most intense
magnetic anomalism.
MAGNETIC
Magnetic Inversion Slice
(RL-890m)
GRAVITY
Gravity Inversion Slice
(RL-890m)
COINCIDENT ANOMALISM
Magnetic Susceptibility (Red),
Gravity (Blue) and MT Resistivity
(Green) inversion models.
North looking Magnetic (top) and Gravity
(bottom) inversion models showing key AoI.
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CODA MINERALS LIMITED ACN 625 763 957 ANNUAL REPORT AND FINANCIAL STATEMENTS 2021 OTHER PROSPECTIVE TARGETS
CAMERON RIVER
March 2021 Coda entered into a Farm-In and Joint Venture Agreement with Wilgus Investments Pty LTD to acquire up to
80% ownership of the Cameron River Copper-Gold Project, near Mt Isa in North Queensland.
The project is sited 11 kilometres north of the Mary Kathleen U-REE deposit along the Cameron Fault, and has considerable
potential to host copper, gold and rare earth mineralisation.
A desktop compilation and technical review of historic data was carried out by Coda to prioritise sites for field investigation,
subsequently a reconnaissance rock chip sampling programme was conducted over the project targeting the Cameron
Fault, the prospective Corella Formation boundary, and the historic Rebound and Copper Weed prospects. The rock chips
confirmed the tenor of the surface expression of the copper prospects, and identified new areas of prospectivity in the
central and southeast portions of the tenement.
Historic geophysical data was acquired and re-processed by consultants Resource Potentials to identify additional targets
obscured by vegetation and cover, this work was ongoing at the end of the reporting period.
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CODA MINERALS LIMITED ACN 625 763 957 ANNUAL REPORT AND FINANCIAL STATEMENTS 2021 CODA MINER ALS TIMELINE
CODA SUCCESSFULLY LISTS
ON THE ASX
The company commenced trading on
the ASX, raising $8.5 million at $0.30
per share after a successful, heavily
oversubscribed IPO.
APPOINTMENT OF COMPANY
SECRETARY
Coda is excited to welcome aboard
highly experienced company secretary,
Susan Parks to the team.
OCTOBER 2020
NOVEMBER 2020
EMMIE BLUFF EXPLORATION TARGET
UPDATE AND REISSUE
DRILLING COMMENCES
AT EMMIE BLUFF
Exploration Target updated with
improved density data. New figure of
46 – 77 MT @ 0.5 – 2.3 per cent CuEq.
Drill program will focus on testing the
Exploration Target area and potential
expansion opportunities
SEPTEMBER 2020
OCTOBER 2020
E
T
A
R
O
P
R
O
C
T
C
E
J
O
R
P
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CODA MINERALS LIMITED ACN 625 763 957 ANNUAL REPORT AND FINANCIAL STATEMENTS 2021 CODA MINER ALS TIMELINE
CODA SUCCESSFULLY RAISES
$14.4M TO FAST-TRACK
EXPLORATION
Coda raised $14.4 million following
the placement of 12 million shares
at $1.20 per share. Managed by
CPS, the placement was heavily
oversubscribed, with proceeds going
to fund an ambitious and fast-paced
exploration programme at Emmie
Bluff Deeps.
JUNE 2021
CODA EXPANDS COPPER PORTFOLIO
WITH CAMERON RIVER ACQUISITION
Coda has entered into a Farm-In Joint
Venture with Wilgus Investments Pty Ltd
over the highly prospective Cameron
River Project, located in the heart of the
world-class Mt Isa mineral province in
North Queensland.
MARCH 2021
JOINT VENTURE COMMENCES
AT ELIZABETH CREEK PROJECT
CODA ACHIEVES 70% OWNERSHIP
OF ELIZABETH CREEK PROJECT
Coda increases its interest in the Elizabeth
Creek Copper Cobalt project in South
Australia to 70% following the completion
of the A$2.75 million Stage 3 expenditure
requirement under the Farm-In Agreement
with Terrace Mining.
Following the completion of the Free-
Carry expenditure requirement, A$2.0
million, under the Farm-In Agreement with
Terrace Mining, Coda and Torrens formed
a 70%/30% unincorporated Joint Venture.
Each party will now contribute funding to
continue exploration and feasibility work in
accordance with their respective interests
JANUARY 2021
MARCH 2021
DRILLING CONCLUDES AT
EMMIE BLUFF (17 DRILLHOLES)
17-hole diamond drill program
strongly validates the Exploration
Model for an extensive zone of
copper-cobalt mineralisation
extending well over 4.5 square
kilometres of lateral extent.
MARCH 2021
GRANT AWARDED FOR
INNOVATIVE GEOPHYSICS
AT ELIZABETH CREEK
Coda, as operator of the Elizabeth
Creek JV, was a successful
applicant of the South Australian
Government’s Accelerated
Discovery Initiative (ADI). The
grant will provide up to A$75,000
to fund a helicopter-borne
electromagnetic (EM) survey to
help explore for Zambian-style
copper-cobalt deposits at depth.
MAY 2021
MAJOR DRILLING PROGRAMME
UNDERWAY AT ELIZABETH CREEK
Extensive and transformation
drilling programme to test multiple
highly prospective targets across
the Elizabeth Creek tenure. This
includes a Tier-1 IOCG target at
Emmie Bluff Deeps, Inferred
Resource drill out at Emmie Bluff and
other shallow Zambian Style targets
across the tenure.
MAY 2021
15
IOCG MINERALISATION
INTERSECTED AT EMMIE
BLUFF DEEPS
First drillhole at Emmie
Bluff Deeps, DD21EB0018,
intersected 200m of intense
IOCG alteration including
approximately 50m of copper
sulphide mineralisation.
Follow up drilling is expected
to continue for the next three
months.
JUNE 2021
CODA MINERALS LIMITED ACN 625 763 957 ANNUAL REPORT AND FINANCIAL STATEMENTS 2021 16
CODA MINERALS LIMITED ACN 625 763 957 ANNUAL REPORT AND FINANCIAL STATEMENTS 2021 DIRECTORS ’ REPORT
FOR THE YEAR ENDED 30 JUNE 2021
The directors present their report together with the financial statements of Coda Minerals Ltd (‘the Company’ or ‘Coda’)
for the financial year ended 30 June 2021 and the Auditor’s Report thereon. In order to comply with the provisions of the
Corporations Act 2001, the Directors’ report as follows:
DIRECTORS
The directors of the Company at any time during or since the end of the financial year were:
NAME & QUALIFICATIONS
EXPERIENCE AND SPECIAL RESPONSIBILITIES
Mr Keith F Jones
BBus, FCA, FAICD, FFin
Non-Executive Chairperson
Appointed: 26 April 2018
Other current directorships:
Ora Banda Mining Limited
(Appointed April 2019)
Former directorships in last 3 years:
Gindalbie Metals Ltd
(February 2013 to July 2019)
Mr Andrew Marshall
I Eng (UK), MAICD
Non-Executive Director
Appointed: 19 July 2019
Former directorships in last 3 years:
Gindalbie Metals Ltd
(December 2010 to July 2019)
Mr Jones is an experienced public company Chairperson with a background of over 40
years professional experience providing advisory and consulting services to the mining and
resources sector.
Mr Jones served for 10 years on the Board of Deloitte Australia and was elected Chairperson
of Deloitte Australia for four years. He is the former Chairperson of Gindalbie Metals Limited
and Cannings Purple and currently serves as a Non-Executive Director of ASX listed Ora
Banda Mining Limited.
Mr Jones has significant executive leadership experience serving for 15 years as the
Managing Partner of Deloitte in Western Australia and as Leader of the National Chinese
Services Group and National Energy and Resources Group.
During his career as a Partner at Deloitte, Mr Jones provided Audit, Corporate Finance and
Advisory Services to a wide range of corporate clients with a focus on the resources sector.
He has also advised on numerous transactions, capital raisings, valuations and takeovers as
advisor or expert.
Mr Andrew (Robin) Marshall has previously been involved in managing the successful
delivery of some of the world’s largest resource projects, including major iron ore projects
for BHP Billiton and North Limited.
At Vale Inco, he held the position of Project Director with responsibility for delivery of the
multi-billion dollar Goro Nickel Project in New Caledonia through to its commissioning in
early 2009. At BHP Billiton Iron Ore, Mr Marshall held the position of Vice President – Asset
Development Projects with responsibility for the development of a number of projects in the
first wave of expansion in the iron ore business sector.
In additional to these roles, Mr Marshall also previously held key positions of Project
Manager for the West Angelas Iron Ore Project with North Limited, Project Director with Iron
Ore Company of Canada, Manager Projects for Forrestania Gold/LionOre Australia, Manager
Engineering & Project Services for Western Mining Corporation and Project Manager for
Nedpac (Signet Engineering). Mr Marshall provides consulting services to major companies
and has extensive experience with overseas projects and operations.
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CODA MINERALS LIMITED ACN 625 763 957 ANNUAL REPORT AND FINANCIAL STATEMENTS 2021 DIRECTORS ’ REPORT
FOR THE YEAR ENDED 30 JUNE 2021
NAME & QUALIFICATIONS
EXPERIENCE AND SPECIAL RESPONSIBILITIES
Mr Colin Moorhead
BSc (Hons), FAusIMM (CP), FSEG,
GAICD.
Non-Executive Director
Appointed: 21 August 2019
Other current directorships:
Xanadu Mines Ltd
(Appointed November 2019)
Aeris Resources Ltd
(Appointed July 2020)
Sihayo Gold Ltd
(Appointed July 2020)
Former directorships in last 3 years:
Merdeka Copper Gold Ltd
(January 2016 to July 2020)
Finders Resources Ltd
(August 2018 to October 2019)
Mr Paul Hallam
BE(Hons) Mining, FAICD, FAusIMM
Non-Executive Director
Appointed: 21 August 2019
Other current directorships:
Sandfire Resources Ltd
(Appointed May 2013)
Greatland Gold Plc.
(Appointed September 2021)
Mr Moorhead is an experienced mining professional. He is well recognised in the mining
industry, including building safe, successful and highly regarded technical teams; ability
to develop and deliver strategy, culture and governance; a thorough understanding of the
technical, legal and commercial aspects of the mining business with an exposure to many
different cultures and operating environments. Also recognised as a leader in the areas of
health, safety, environment and community.
Prior to joining Coda Minerals, he served as CEO PT Merdeka Copper Gold Tbk (2016-2018),
EGM Minerals, Newcrest Mining Ltd, Australia (2008-2015), GM Resources & Reserves of the
same company (2006-2008), Geology Manager, PT Nusa Halmahera Minerals, Gosowong
Gold Mine, Indonesia (2003-2006), Technical Services Manager, Cadia Holdings Ltd, NSW,
Australia (1997-2003), and various other positions in the mining industry in a career spanning
34 years since 1987.
In addition to this role at Coda, Colin is also the Non-Executive Chairperson of Xanadu Mines
Ltd, Executive Chairperson of Sihayo Gold Limited and a Non-Executive Director of Aeris
Resources Limited.
Mr. Moorhead is a former President of The Australasian Institute of Mining and Metallurgy
(AusIMM) and a former member of The JORC Committee. He is also a graduate of the
Australian Institute of Company Directors and the Harvard Business School Advanced
Management Program (AMP183, 2012).
Mr Hallam has more than 40 years Australian and international resource industry
experience. His operating and corporate experience is across a range of commodities
(iron ore, bauxite, alumina, aluminium, gold, silver, copper, zinc and lead) and includes
both surface and underground mining. Mr Hallam retired in 2011 to pursue a career as a
professional non-executive director. He has held Australian and international non-executive
director roles since 1997.
His former executive roles include Director – Operations with Fortescue Metals Group,
Executive General Manager – Developments & Projects with Newcrest Mining Limited,
Director – Victorian Operations with Alcoa and Executive General Manager – Base and
Precious Metals with North Ltd.
Former directorships in last 3 years:
Gindalbie Metals Ltd
(December 2011 to July 2019)
Mr Hallam is a qualified mining engineer and holds a BE (Hons) from Melbourne University
and a Certificate of Mineral Economics from Curtin University. He is a Fellow of the
Australian Institute of Company Directors and the Australasian Institute of Mining &
Metallurgy.
Mr Chris Stevens
BA (Hons), MA (Oxon),
MSc, GAICD, FAusIMM
Chief Executive Officer
Appointed: 26 April 2018
Mr Stevens is an experienced resources executive and mineral economist who joined
Coda after holding the role of CEO at Gindalbie Metals. Prior to joining Gindalbie in 2016, Mr
Stevens was the Western Australian Mining Consulting Lead at PricewaterhouseCoopers
(PwC), where he managed professional teams to devise strategy, evaluate investment
options and assist in delivery of major transactions for various ASX listed mining and energy
companies.
Prior to joining PwC, Mr Stevens held senior roles in the mining industry including General
Manager- Commercial at Asia Iron and Commercial Manager at Gindalbie Metals.
In addition to his executive resources experience, Mr Stevens has over 18 years’ experience
working with Chinese companies in commercial consulting and private equity. Mr Stevens is
a Fellow of the AusIMM, holds an Honours degree from the University of Oxford, a Master of
Science in Mineral Economics from Curtin University, and is a fluent Chinese speaker.
18
CODA MINERALS LIMITED ACN 625 763 957 ANNUAL REPORT AND FINANCIAL STATEMENTS 2021 DIRECTORS ’ REPORT
FOR THE YEAR ENDED 30 JUNE 2021
NAME & QUALIFICATIONS
EXPERIENCE AND SPECIAL RESPONSIBILITIES
Mr Li is an experienced economist in Materials Management. Mr Li has been with Ansteel
since 1989 and is now the Deputy General Manager of Ansteel Mining Corporation
responsible for Overseas Affairs.
Mr Li is also a Director of Karara Mining Limited and of Ansteel Investment Company.
He joined the Board of Coda as a Nominee of Ansteel Mining on 22 May 2020 and resigned on
25 August 2020.
Mr Zhu is an experienced mining engineer. Mr Zhu has been with Ansteel since 1987 and is
now the CEO of Karara Mining Limited (a wholly owned subsidiary of Ansteel).
He joined the Board of Coda as a Nominee of Ansteel Mining on 22 May 2020 and resigned on
31 August 2021.
Mr Li Zhiqi
Bachelor Degree of Engineering
in Materials Management
Non-Executive Director
Appointed: 22 May 2020
Resigned: 25 August 2020
Mr Zhu Changjiang
Bachelor of Mining Mechanical
Engineering
Non-Executive Director
Appointed: 22 May 2020
Resigned: 31 August 2021
COMPANY SECRETARIES
The Company’s company secretary is Ms Susan Park BCom, ACA, F Fin, FGIA, FCIS, GAICD. Ms Park was appointed to the
position of company secretary on 25 November 2020.
Ms Telma Southgate served as company secretary and Chief Financial Officer from 3 February 2020. She resigned as
Company Secretary on 25 November 2020 and as Chief Financial Officer on 16 December 2020.
PRINCIPAL ACTIVITIES
The principal activities of the Company during the financial year were the progression of exploration and evaluation
activities associated with the Elizabeth Creek Copper Cobalt Project, exploration for and evaluation of projects and
potential joint ventures with other mining companies to explore for minerals.
COVID-19
The ongoing COVID-19 pandemic affecting Australia and the world has had a limited impact on Coda’s operations with
restrictions on interstate travel and challenges associated with maintaining government recommended social distancing
practices being the key areas the Company has had to consider. Although these factors have the potential to impact
Coda’s ability to undertake fieldwork safely and cost effectively, the impact to date has been limited during the current
field programme. The Company has retained experienced, South Australia based geologists and field staff who are not
required to cross state borders. The Company’s COVID-19 management plan has been established to address the ongoing
potential future impact. The Company will continue to monitor and manage the impact on its operations.
19
CODA MINERALS LIMITED ACN 625 763 957 ANNUAL REPORT AND FINANCIAL STATEMENTS 2021 DIRECTORS ’ REPORT
FOR THE YEAR ENDED 30 JUNE 2021
SIGNIFICANT CHANGES IN THE STATE OF AFFAIRS
Significant changes in the state of affairs of the group during the financial year were as follows.
Coda was officially admitted to the ASX on 26th October 2020 and commenced trading on the 28th of October 2020,
following a successful, heavily oversubscribed IPO. The IPO raised a total of $8.5M.
Share capital increased by $23,472,301 (from $1,000 to $23,473,301) as a result of:
•
•
•
•
a non-renounceable entitlement offer legally pursuant to the Prospectus dated 8 June 2020 to existing shareholders
under a non-renounceable entitlement offer of one fully paid new share for every share held by eligible shareholders on
Record Date at an issue price of $0.10 per new share. There were no special terms or features attached to the shares on
offer;
an initial public offer legally issued pursuant to the IPO Prospectus dated 4 September 2020 and the Supplementary
Prospectus dated 18 September 2020 of one fully paid new share per successful applicant at $0.30 per share. There
were no special terms or features attached to the shares on offer;
a placement to institutional and sophisticated shareholders under Coda’s Listing Rule 7.1 placement capacity resulting
in the issuance of 12 million new shares. There were no special terms or features attached to the shares on offer; and
Issuance of 250,000 new shares to Wilgus Investments Pty Ltd in consideration for entry into the Cameron River Farm
In and Joint Venture Agreement. There were no special terms or features attached to the shares on offer.
The net cash received from the increase in share capital will be used principally to fund further exploration and evaluation
of the Elizabeth Creek Copper Project, the Cameron River Copper- Gold Project, and to provide general working capital.
The Company also granted 6,000,000 options to key management personnel on the 3 July 2020 as part of the Employee
Incentive Plan. The options issued were in the form of a Premium exercise price options “PEPO”. The options carry an
exercise price of $0.2145 per option and vesting conditions requiring continued service, and the Company’s ASX listed
share price achieving the following hurdle prices of $0.23, $0.27, and $0.30 for each third of options granted. The options
may be exercised on or before 3 July 2024.
On 22 January 2021 Coda announced that it had increased its holding to 70% in the Elizabeth Creek Copper Cobalt Project
as a result of satisfaction of the Stage 3 Earning Obligation under the Farm-in and Joint Venture Agreement with Terrace
Mining Pty Ltd. As a result of Coda reaching the Stage 3 Earning Obligation, Terrace has granted Coda an irrevocable
option to acquire an additional 5% interest in the Project for a payment of A$1.5M. This option may be exercised at any
time up to 60 days from the parties reaching a Decision to Mine. The Free Carry Expenditure Limit was reached on
the 7 April 2021 triggering creation of an unincorporated joint venture under which each party will contribute funding to
continued exploration and feasibility work in accordance with their respective interests in the Elizabeth Creek Project.
On 22 March 2021 the Company announced that it had secured an addition to its portfolio of Australian copper exploration
projects after entering into a Farmin and Joint Venture Agreement over the highly prospective Cameron River Project,
located in the heart of the world class Mt Isa mineral province in North Queensland. Coda entered into a binding Farm-
in and Joint Venture Agreement with Wilgus Investments Pty Ltd (“Wilgus”) giving it the right to acquire up to an 80%
ownership in the Cameron River project (“Cameron River”) near Mt Isa in Queensland by spending up to $2 million on
exploration in stages over a three-year period.
On 9 June 2021, the Company announced that it had encountered approximately 200m of intense IOCG alteration
including approximately 50m of visually identified copper sulphide mineralisation in deep diamond hole DD21EB0018. This
was the first deep diamond hole targeting an IOCG (iron oxide copper-gold) anomaly at the Company’s Emmie Bluff Deeps
Copper-Gold prospect at the Elizabeth Creek Copper Project in South Australia. Subsequent to year end, independent
laboratory assays confirmed copper-gold mineralisation in hole DD21EB0018 as well as two additional wedge holes from
the parent hole.
20
CODA MINERALS LIMITED ACN 625 763 957 ANNUAL REPORT AND FINANCIAL STATEMENTS 2021 DIRECTORS ’ REPORT
FOR THE YEAR ENDED 30 JUNE 2021
RESULTS OF OPERATIONS
The net loss for the year ended 30 June 2021 was $6,523,291 (net loss for the period ended 30 June 2020 was $3,937,764).
As at the reporting date, the Company has $21,787,110 of cash reserves.
CORPORATE GOVERNANCE
In recognising the need for high standards of corporate behaviour and accountability, the Directors support and have
substantially adhered to the best practice recommendations set by the ASX Corporate Governance Council.
The Company’s corporate governance policies are all available on the Company’s website at www.codaminerals.com
COMMITTEE MEMBERSHIPS
The Company maintains an Audit and Risk Committee and a Nomination and Remuneration Committee which consist of
the following Directors:
AUDIT AND RISK COMMITTEE
NOMINATION AND REMUNERATION COMMITTEE
P Hallam (Chairperson)
KF Jones (Chairperson)
KF Jones
A Marshall
DIRECTORS’ MEETINGS
A Marshall
P Hallam
C Moorhead
The number of Directors’ meetings held during the financial year and the numbers of meetings attended by each
Director were:
DIRECTORS’ MEETINGS
NOMINATION AND
REMUNERATION
COMMITTEE MEETINGS
AUDIT AND RISK COMMITTEE
MEETINGS
ELIGIBLE
ATTENDED
ELIGIBLE
ATTENDED
ELIGIBLE
ATTENDED
KF. Jones
A. Marshall
C. Moorhead
P. Hallam
C. Stevens
Z. Li
C. Zhu
11
11
11
11
11
-
11
11
11
11
10
11
-
3
2
2
2
2
-
-
-
2
2
2
2
-
-
-
2
2
-
2
-
-
-
2
2
-
2
-
-
-
21
CODA MINERALS LIMITED ACN 625 763 957 ANNUAL REPORT AND FINANCIAL STATEMENTS 2021 DIRECTORS ’ REPORT
FOR THE YEAR ENDED 30 JUNE 2021
CORPORATE STRATEGY & LIKELY DEVELOPMENTS
Coda’s business strategy is to build long term shareholder value through the exploration and commercialisation of copper,
gold, cobalt and other base and battery minerals in the world’s premier mining jurisdictions.
Coda’s primary focus is on exploration and development opportunities at its Elizabeth Creek Copper Project in South
Australia. The Company has a dual strategy for success at Elizabeth Creek. Firstly, it is working to further define and
extend known Zambian-style copper-cobalt resources across multiple prospects and is preparing to deliver a maiden
resource at its flagship Emmie Bluff Copper-Cobalt deposit. Secondly, it is implementing a substantial drill programme at
Emmie Bluff Deeps to evaluate the potential rapidly and efficiently for a Tier-1 IOCG system following a major mineralised
intercept in June 2021.
While the Company remains resolutely focused on work at Elizabeth Creek, particularly the ongoing resource definition
drilling at Emmie Bluff and the exciting IOCG work, the opportunity to acquire Cameron River provided Coda with
additional highly prospective exposure to copper-gold exploration assets. This was a logical and complementary addition
to Coda’s existing portfolio of copper projects in South Australia that will open up a second platform for discovery,
exploration success and, ultimately, resource growth for Coda in a Tier-1 copper province. With numerous shallow, well-
defined targets, Cameron River offers the potential for rapid, low-cost exploration without compromising the pace of
ongoing activity at the flagship Emmie Bluff Project or upcoming IOCG exploration at Elizabeth Creek.
EVENTS SUBSEQUENT TO REPORTING DATE
Since 30 June 2021 there were two corporate changes; Ansteel Nominee Director, Mr Zhu Changjiang resigned from
office effective 31 August 2021.
The Company appointed experienced mining executive, Mr Kudzai Mtsambiwa as Chief Financial Officer greatly
augmenting the executive team.
The Company released assays from its first IOCG diamond hole at Emmie Bluff Deeps on 28 July 2021 and assays from two
wedge holes from the parent hole 23 August 2021.
ENVIRONMENTAL REGULATION
The Company’s current exploration and development activities are conducted in accordance with environmental
regulations under both Commonwealth and State legislation.
As stated in the Environmental Policy, the Company is committed to achieving superior standards in its environmental
performance. It has employed environmental professionals to monitor this area of operating performance, with
responsibility for monitoring of environmental exposures and compliance with environmental regulations.
Compliance with the requirements of environmental regulations and with specific requirements of the relevant managing
authorities including the Department of Environment and Conservation, and the Department of Industry and Resources
was achieved across all aspects of the current operations.
There were no instances of non-compliance in relation to any instructions or directions from the relevant governing
agencies. The Board is not aware of any significant breaches during the period covered by this report.
22
CODA MINERALS LIMITED ACN 625 763 957 ANNUAL REPORT AND FINANCIAL STATEMENTS 2021 DIRECTORS ’ REPORT
FOR THE YEAR ENDED 30 JUNE 2021
REMUNERATION REPORT - AUDITED
The directors present the Coda Minerals Ltd 2021 remuneration report, outlining key aspects of our remuneration policy
and framework, and remuneration awarded this year.
(a) Key management personnel
The following persons were deemed to be Key Management Personnel (“KMP”) during or since the end of the financial
year for the purpose of Section 300A of the Corporations Act 2001 and unless otherwise stated were KMP for the
entire reporting period.
NON-EXECUTIVE DIRECTORS
Keith F. Jones
Andrew Marshall
Colin Moorhead
Paul Hallam
Zhu Changjiang
Non-Executive Director & Chairperson
Non-Executive Director
Non-Executive Director
Non-Executive Director
Non-Executive Director
Mr Li Zhiqi was a Non-Executive Director until his resignation on 25 August 2020.
He did not receive any remuneration during the financial year.
EXECUTIVE DIRECTORS
Chris Stevens
Chief Executive Officer & Executive Director
OTHER EXECUTIVES
Telma Southgate
Chief Financial Officer & Company Secretary
Ms Southgate served as Company Secretary until her resignation on 25 November 2020 and
Chief Financial Officer until her resignation on 16 December 2020.
(b) Remuneration policy for key management personnel
The Board is responsible for determining the appropriate remuneration for directors and senior management via the
Remuneration Committee. The committee is made up of independent non-executive directors.
The Company’s remuneration policy is designed to:
•
•
•
ensure that coherent remuneration policies and practices are observed which enable the attraction and retention
of directors and management who will create value for shareholders;
fairly and responsibly reward directors and senior management having regard to the Company’s performance, the
performance of the senior management and the general pay environment; and
comply with all relevant legal and regulatory provisions.
23
CODA MINERALS LIMITED ACN 625 763 957 ANNUAL REPORT AND FINANCIAL STATEMENTS 2021 DIRECTORS ’ REPORT
FOR THE YEAR ENDED 30 JUNE 2021
Non-executive directors
The board’s policy is to remunerate Non-executive Directors at market rates for comparable companies for time,
commitment and responsibilities. The Remuneration Committee on behalf of the board determines payments to the
Non-executive Directors and reviews their remuneration annually to ensure it remains aligned to business needs and
meets remuneration principles. From time to time, the committee also engages external remuneration consultants
to assist with this review. Although no remuneration consultant was engaged during the current Financial Year
the board undertook comparable benchmarking of peer remuneration. In particular, the board aims to ensure that
remuneration practices are:
•
•
•
•
competitive and reasonable, enabling the company to attract and retain key talent;
aligned to the company’s strategic and business objectives and the creation of shareholder value;
transparent and easily understood; and
acceptable to shareholders.
The maximum aggregate amount of fees that can be paid to Non-executive Directors is $950,000 as approved by
shareholders in July 2019. Fees for Non-executive Directors are not linked to the performance of the economic
entity. However, to align Directors’ interests with shareholder interests, the Directors are encouraged to hold shares
in the Company.
Executive directors and other senior executives
The remuneration policy for employees is developed by the Remuneration Committee taking into account market
conditions and comparable salary levels for companies of a similar size and operating in similar sectors.
The Board will make decisions regarding the remuneration of executive directors and senior management having
regard to various factors including performance and any recommendations made by the Managing Director/CEO,
senior management, compensation consultants and other advisors. The Board will also make a decision regarding
the remuneration of non executive directors having regard to, amongst other things, any recommendations made by
compensation consultants and other advisors.
The Company adopted a Employee Incentive Plan (“EIP”) for its staff, executive KMP and Non-executive Directors
on 19 June 2020. The board believes that the EIP will assist the Company in remunerating and providing ongoing
incentives to employees of the Company. The rules of the EIP enable the Company to issue shares, option or
performance rights to eligible personnel subject to performance and vesting conditions determined by the Company.
All remuneration provided to KMP in the form of share based payments are valued pursuant to AASB 2 Share-based
Payment at fair value on grant date and are expensed on a pro rata basis over the vesting period of the relevant
security.
24
CODA MINERALS LIMITED ACN 625 763 957 ANNUAL REPORT AND FINANCIAL STATEMENTS 2021
DIRECTORS ’ REPORT
FOR THE YEAR ENDED 30 JUNE 2021
(c) Elements of remuneration
Remuneration for non executive directors may contain any or all of the following:
(i) annual fees - reflecting the value of the individuals’ personal performance, time commitment and responsibilities
of the role;
(ii) equity based remuneration - issues of shares or securities, reflecting the contribution of the Director towards the
Company’s medium and long term performance objectives; and
(iii) other benefits - superannuation payments, but not including retirement benefits that are additional to the
individual’s superannuation.
Remuneration for executive directors and other senior executives may incorporate fixed and variable pay
performance elements with both a short term and long term focus.
Remuneration packages may contain any or all of the following:
(i) annual base salary - reflecting the value of the individuals’ personal performance, their ability and experience, as
well as the Company’s obligations at law and labour market conditions and should be relative to the scale of the
business of the Company;
(ii) performance based remuneration - rewards, bonuses, special payments and other measures available to reward
individuals and teams following a particular outstanding business contribution having regard to clearly specified
performance targets and to the Company’s circumstances, values and risk appetite;
(iii) equity based remuneration - share participation via employee share and option schemes, reflecting the
Company’s short, medium and long term performance objectives;
(iv) other benefits - such as holidays, sickness benefits, superannuation payments and long service benefits;
(v) expense reimbursement - for any expenses incurred in the course of the personnel’s duties; and
(vi) termination payments - any termination payments should reflect contractual and legal obligations and will not be
made when an executive is removed for misconduct.
(d) Link between remuneration and performance
The table below sets out summary information about the Consolidated Entity’s earnings and movements in
shareholder wealth for the two years to June 2021.
Revenue
Net loss before tax
Net loss after tax
Share price at start of year
Share price at end of year
Basic earnings per share
1. The Company listed on ASX on 28 October 2021 at $0.30 per share.
30 JUNE 2021
30 JUNE 2020
$
-
(6,523,291)
(6,523,291)
$/SHARE
$ 0.301
$1.245
$
-
(3,937,764)
(3,937,764)
$/SHARE
-
-
CENTS/SHARE
CENTS/SHARE
(0.07)
(0.12)
25
CODA MINERALS LIMITED ACN 625 763 957 ANNUAL REPORT AND FINANCIAL STATEMENTS 2021 DIRECTORS ’ REPORT
FOR THE YEAR ENDED 30 JUNE 2021
(e) KMP remuneration expenses
The KMP received the following amounts during the year as compensation for their services as directors and
executives of the Company.
SHORT-TERM EMPLOYEE BENEFIT
POST-
EMPLOYMENT
BENEFIT
SHARE BASED
PAYMENTS
2021
SALARY
& FEES
BONUS(IV)
NON-
MONETARY(III)
ANNUAL
LEAVE
MOVEMENT(II)
SUPER-
ANNUATION SHARES
PERFOR-
MANCE
RIGHTS
TOTAL
REMUNER-
ATION
LINKED TO
PERFOR-
MANCE
$
$
$
$
$
$
$
$
%
Non-executive directors
Keith F.
Jones
Andrew
Marshall
Colin
Moorhead
100,000
50,000
50,000
Paul Hallam
50,000
Zhu
Changjiang
-
250,000
Executive directors
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
9,500
4,750
4,750
4,750
-
23,750
Chris
Stevens
328,997
114,712
328,997
114,712
3,600
3,600
13,918
13,918
21,694
21,694
Other executives
Telma
Southgate(i)
Total
Notes:
78,032
78,032
-
-
-
-
(4,512)
(4,512)
6,485
6,485
657,029
114,712
3,600
9,406
51,929
-
-
-
-
-
-
-
-
-
-
-
27,815
137,315
9,271
64,021
9,271
64,021
9,271
64,021
-
-
55,628
329,378
-
-
-
-
-
27,815
510,736
22%
27,815
510,736
-
-
80,005
80,005
-
83,443
920,119
(i) Ms Southgate served as Company Secretary until her resignation on 25 November 2020 and Chief Financial Officer until her resignation
on 16 December 2020.
(ii) The amounts disclosed represent the movement in the associated annual leave provision balances. The value may be negative when an
Executive resigns or takes more leave than the entitlement accrued during the year.
(iii) Non-monetary benefits relate to office car parking.
(iv) The FY21 bonus was approved by the Remuneration Committee in June 2021 following analysis of attainment of KPIs against criteria set
in November 2020. Bonuses for eligible employees are based on a percentage of Total Fixed Remuneration (TFR) and assessed against
companywide criteria. During the FY21 period, the CEO was eligible for a cash bonus of up to 23% of TFR.
26
CODA MINERALS LIMITED ACN 625 763 957 ANNUAL REPORT AND FINANCIAL STATEMENTS 2021
DIRECTORS ’ REPORT
FOR THE YEAR ENDED 30 JUNE 2021
FY21 KPIs were set in November 2020 based on the following criteria:
AREA
THRESHOLD
50%
TARGET
75%
EXCEED
100%
WEIGHT
1. Safety,
Environment
and Heritage
76-100% Construction and
Mining Industry benchmark
LTIFR.
51-75% Construction and Mining
Industry benchmark LTIFR.
≤50% Construction and Mining
Industry benchmark LTIFR.
2. Adherence
to Budget
Adherence to approved
FY21 budget with utilisation
of contingency and minor
overruns or variations.
Adherence to FY21 budget
with strong budgetary controls
and no material overruns or
material variations.
3. Share Price
Share price performance in
top 50% of selected basket of
peers.
Share price performance in
top 75% of selected basket of
peers.
Board assesses budgetary
control to be beyond
expectations and with clear
overperformance and/ or cost
savings identified.
Share price growth resulting
in an enterprise value > 300%
of listing value and being in top
quartile of peers.
4. Business
Development
Material progress towards a
maiden resource at Emmie
Bluff.
Material progression towards
a maiden resource at Emmie
Bluff deliverable in CY21 and
IOCG targeting or discovery.
Material progression of a
material maiden resource at
Emmie Bluff and/ or a material
IOCG based discovery.
10%
20%
40%
30%
In June 2021 the board passed and approved the payment of bonus against the KPIs as follows:
AREA
KPI
KPI Weighting
Award Recommended
Award % Recommended
Eligible for Enhanced Award*
1
Safety
10%
Exceed
100%
Yes
2
Budget
20%
Target
75%
Yes
3
Share Price
40%
Exceed
100%
Yes
4
Business
Development
30%
Exceed
100%
Yes
* Following suspension of the FY20 Short Term Incentive Plan, the Board resolved to pay FY21 cash bonus incentives at 1.5 times base level
for any KPIs attained at >75% attainment. Consequently, the FY 21 cash bonus was increased by 1.5 times base level for eligible employees
employed for the whole of the FY20 tax year to compensate for previously forgone bonus payments.
27
CODA MINERALS LIMITED ACN 625 763 957 ANNUAL REPORT AND FINANCIAL STATEMENTS 2021
DIRECTORS ’ REPORT
FOR THE YEAR ENDED 30 JUNE 2021
SHORT-TERM EMPLOYEE BENEFIT
POST-
EMPLOYMENT
BENEFIT
SHARE BASED
PAYMENTS
2020
SALARY
& FEES
BONUS
NON-
MONETARY
ANNUAL
LEAVE
MOVEMENT
SUPER-
ANNUATION SHARES
PERFOR-
MANCE
RIGHTS
TOTAL
REMUNER-
ATION
LINKED TO
PERFOR-
MANCE
$
$
$
$
$
$
$
$
%
Non-executive directors
Keith F.
Jones
Andrew
Marshall
Colin
Moorhead
Paul Hallam
Zhu
Changjiang
58,333
29,167
29,167
29,167
-
145,834
Executive directors
Chris
Stevens
309,173
309,173
Other executives
Telma
Southgate(i)
58,654
58,654
Total
513,661
Notes:
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
5,542
2,771
2,771
2,771
-
13,855
21,002
21,002
5,572
5,572
40,429
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
63,875
31,938
31,938
31,938
-
159,689
330,175
330,175
64,226
64,226
- 554,090
(i) Ms Southgate served as Company Secretary until her resignation on 25 November 2020 and Chief Financial Officer until her resignation
on 16 December 2020.
28
CODA MINERALS LIMITED ACN 625 763 957 ANNUAL REPORT AND FINANCIAL STATEMENTS 2021
DIRECTORS ’ REPORT
FOR THE YEAR ENDED 30 JUNE 2021
(f) KMP contractual arrangements
Executive directors and other executives
COMPONENT
EXECUTIVE DIRECTOR – CHRIS STEVENS
OTHER EXECUTIVE – TELMA SOUTHGATE
Fixed remuneration (pa)
$ 350,000 inclusive of superannuation
$ 164,250 inclusive of superannuation
Contract duration
Ongoing contract
Resigned 16 December 2020
6 weeks’ notice (individual)
6 weeks’ notice plus 3 months remuneration
(Company).
6 weeks
Entitlement to pro-rata STI for the year
Unvested LTI will remain on foot subject to achievement of the performance hurdles at the original
date of testing.
The Board has discretion to award a greater or lower amount.
STI is not awarded, and all unvested LTI will lapse.
Vested and unexercised LTI can be exercised within a period of 30 days from termination.
Notice by the
individual/company
Termination of
employment
(without cause)
Termination of
employment (with cause)
or by the individual
Non-executive directors
COMPONENT
Board base fees (pa)
Additional fees (pa):
CHAIR
$100,000
Audit & Risk Management Committee
Remuneration & Nomination Committee
-
-
MEMBER
$50,000
-
-
All non-executive directors enter into a service agreement with the company in the form of a letter of appointment.
The letter summarises the board policies and terms, including remuneration, relevant to the office of director.
(g) KMP share holding
Details of fully paid ordinary shares held by KMP during the financial year is set out below:
2021
OPENING
BALANCE
Non-executive directors
Keith F. Jones
2,370,267
Andrew Marshall
20,873
Colin Moorhead
Paul Hallam
Zhu Changjiang
-
116,111
-
Executive directors
Chris Stevens
138,889
Other executives
Telma Southgate
-
GRANTED
AS
COMPEN-
SATION
RECEIVED
ON
EXERCISE
OF OPTIONS
PURCHASES
ENTITLE-
MENT
OFFER1
PURCHASES
IPO
NET
OTHER
CHANGE
CLOSING
BALANCE
-
-
-
-
-
-
-
-
-
-
-
-
-
-
4,740,534
-
191,746
16,674
-
-
-
500,000
1,132,777
-
200,031
100,000
-
-
-
-
-
-
-
7,110,801
229,293
500,000
1,248,888
338,920
100,0002
1. 2/3 shares purchased under entitlement offer are subject to escrow. 4,498,928 are held in escrow until 28 October 2022.
2. Shares held as at the date of Ms Southgate resignation, 16th December 2020.
29
CODA MINERALS LIMITED ACN 625 763 957 ANNUAL REPORT AND FINANCIAL STATEMENTS 2021 DIRECTORS ’ REPORT
FOR THE YEAR ENDED 30 JUNE 2021
Options and performance rights
The following tables summarises information relevant to the current financial year in relation to the grant of performance
rights to KMP as part of their remuneration.
NAME
GRANT DATE
Non-executive directors
NUMBER
GRANTED
NUMBER
VESTED
FAIR VALUE
AT GRANT DATE
EXERCISE
DATE
Keith F. Jones
Andrew Marshall
Colin Moorhead
Paul Hallam
Zhu Changjiang
Executive directors
3/7/2020
3/7/2020
3/7/2020
3/7/2020
2,000,000
2,000,0001
666,666
666,667
666,667
666,6661
666,6671
666,6671
112,000
37,333
37,333
37,333
3/7/2024
3/7/2024
3/7/2024
3/7/2024
Chris Stevens
3/7/2020
2,000,000
2,000,0001
112,000
3/7/2024
Other executives
Telma Southgate
-
-
-
-
-
1. All Options have an exercise price of $0.2145, an expiry date of 28 May 2024 and are subject to escrow until 28 October 2022.
The options vested in tranches as follows:
1/3 of the options vested upon reaching a share price of $0.23
1/3 of the options vested upon reaching a share price of $0.27
1/3 of the options vested upon reaching a share price of $0.30
Details of options and performance rights held by KMP during the financial year is set out below:
2021
Non-executive directors
Keith F. Jones
Andrew Marshall
Colin Moorhead
Paul Hallam
Zhu Changjiang
Executive directors
Chris Stevens
Other executives
Telma Southgate
OPENING
BALANCE
VESTED DURING
PERIOD
EXPIRED DURING
PERIOD
NET OTHER
CHANGE
CLOSING
BALANCE
-
-
-
-
-
2,000,0001
666,6661
666,6671
666,6671
-
-
2,000,0001
-
-
-
-
-
-
-
-
-
2,000,000
666,666
666,667
666,667
-
2,000,000
-
-
-
-
-
-
-
1. All Options have an exercise price of $0.2145, an expiry date of 28 May 2024 and are subject to escrow until 28 October 2022.
The options vested in tranches as follows:
1/3 of the options vested upon reaching a share price of $0.23
1/3 of the options vested upon reaching a share price of $0.27
1/3 of the options vested upon reaching a share price of $0.30
END OF AUDITED REMUNERATION REPORT.
3 0
CODA MINERALS LIMITED ACN 625 763 957 ANNUAL REPORT AND FINANCIAL STATEMENTS 2021
DIRECTORS ’ REPORT
FOR THE YEAR ENDED 30 JUNE 2021
SHARE OPTIONS AND PERFORMANCE RIGHTS
Unissued shares under option
At the date of this financial report unissued ordinary shares of the Company under option are:
TRANCHE
NUMBER OF OPTIONS
EXPIRY DATE
EXERCISE PRICE
VESTING CONDITION
A
B
C
2,000,000
2,000,000
2,000,000
28 May 2024
28 May 2024
28 May 2024
$0.2145
$0.2145
$0.2145
Upon reaching a share price of $0.23
Upon reaching a share price of $0.27
Upon reaching a share price of $0.30
All options are employee options and vesting is subject to the option holder maintaining continuous employment with the
Company. Should option holders resign, the Board may at its discretion waive the vesting condition relating to the requirement
to remain a Director of the Company and allow the option holder to continue to hold the options following resignation.
The above options do not entitle the holder to participate in any potential share issue of the Company.
Shares issued on exercise of options
During the financial year, the Company has issued nil ordinary shares as a result of the exercise of options.
NON-AUDIT SERVICES
Details of the amounts paid to the auditor of the Company, Deloitte Touche Tohmatsu, and its related practices for audit
and non-audit services provided during the period are set out below:
Auditors of the Company – Deloitte Touche Tohmatsu
Audit and review of financial reports
Other assurance and agreed-upon procedures under other legislation or
contractual arrangements
Other services - Tax consulting services
Auditor’s Remuneration
30 JUNE 2021
30 JUNE 2020
$
39,863
-
14,777
54,639
$
32,700
16,000
18,879
67,579
INDEMNIFICATION AND INSURANCE - OFFICER OR AUDITOR
During the financial year, the Company has indemnified each of the Directors and Officers against all liabilities incurred by them
as Directors or Officers of the Company and all legal expenses incurred by them as Directors or Officers of the Company.
The indemnification is subject to various specific exclusions and limitation.
The Directors and Officers of the Company have been insured against all liabilities and expenses arising as a result of
work performed in their respective capacities, to the extent permitted by law. The contract of insurance prohibits the
disclosure of the amount of the insurance premiums paid during the year ended 30 June 2021.
The Company did not provide any insurance or indemnification for the auditors of the Company.
LEAD AUDITOR’S INDEPENDENCE DECLARATION
In accordance with section 307C of the Corporations Act 2001, the directors received the
attached Independence Declaration set out on page 33 and forms part of the Directors’ Report
for the year ended 30 June 2021.
Signed in accordance with a resolution of Directors
at Perth, WA on 29 September 2021.
K F Jones
Director
31
CODA MINERALS LIMITED ACN 625 763 957 ANNUAL REPORT AND FINANCIAL STATEMENTS 2021
3 2
CODA MINERALS LIMITED ACN 625 763 957 ANNUAL REPORT AND FINANCIAL STATEMENTS 2021 Deloitte Touche Tohmatsu
ABN 74 490 121 060
Tower 2, Brookfield Place
123 St Georges Terrace
Perth WA 6000
GPO Box A46
Perth WA 6837 Australia
Tel: +61 8 9365 7000
Fax: +61 8 9365 7001
www.deloitte.com.au
The Board of Directors
Coda Minerals Ltd
6 Altona Street
West Perth WA 6005
29 September 2021
Dear Board Members
AAuuddiittoorr’’ss IInnddeeppeennddeennccee DDeeccllaarraattiioonn ttoo CCooddaa MMiinneerraallss LLttdd
In accordance with section 307C of the Corporations Act 2001, I am pleased to provide the following declaration
of independence to the directors of Coda Minerals Ltd.
As lead audit partner for the audit of the financial report of Coda Minerals Ltd for the year ended 30 June 2021, I
declare that to the best of my knowledge and belief, there have been no contraventions of:
• The auditor independence requirements of the Corporations Act 2001 in relation to the audit; and
• Any applicable code of professional conduct in relation to the audit.
Yours faithfully
DDEELLOOIITTTTEE TTOOUUCCHHEE TTOOHHMMAATTSSUU
DDaavviidd NNeewwmmaann
Partner
Chartered Accountants
Liability limited by a scheme approved under Professional Standards Legislation
Member of Deloitte Asia Pacific Limited and the Deloitte organisation.
33
CODA MINERALS LIMITED ACN 625 763 957 ANNUAL REPORT AND FINANCIAL STATEMENTS 2021
Deloitte Touche Tohmatsu
ABN 74 490 121 060
Tower 2, Brookfield Place
123 St Georges Terrace
Perth WA 6000
GPO Box A46
Perth WA 6837 Australia
Tel: +61 8 9365 7000
Fax: +61 8 9365 7001
www.deloitte.com.au
Independent Auditor’s Report to the members of Coda
Minerals Ltd
RReeppoorrtt oonn tthhee AAuuddiitt ooff tthhee FFiinnaanncciiaall RReeppoorrtt
Opinion
We have audited the financial report of Coda Minerals Ltd (the “Company”) which comprises the statement of
financial position as at 30 June 2021, the statement of profit or loss and other comprehensive income, the
statement of changes in equity and the statement of cash flows for the year then ended, and notes to the financial
statements, including a summary of significant accounting policies and other explanatory information, and the
directors’ declaration.
In our opinion, the accompanying financial report of the Company is in accordance with the Corporations Act 2001,
including:
• Giving a true and fair view of the Company’s financial position as at 30 June 2021 and of its financial
performance for the year then ended; and
• Complying with Australian Accounting Standards and the Corporations Regulations 2001.
Basis for Opinion
We conducted our audit in accordance with Australian Auditing Standards. Our responsibilities under those
standards are further described in the Auditor’s Responsibilities for the Audit of the Financial Report section of
our report. We are independent of the Company in accordance with the auditor independence requirements of
the Corporations Act 2001 and the ethical requirements of the Accounting Professional & Ethical Standards Board’s
APES 110 Code of Ethics for Professional Accountants (including Independence Standards) (the Code) that are
relevant to our audit of the financial report in Australia. We have also fulfilled our other ethical responsibilities in
accordance with the Code.
We confirm that the independence declaration required by the Corporations Act 2001, which has been given to
the directors of the Company, would be in the same terms if given to the directors as at the time of this auditor’s
report.
We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our
opinion.
Key Audit Matters
Key audit matters are those matters that, in our professional judgement, were of most significance in our audit of
the financial report for the current period. These matters were addressed in the context of our audit of the
financial report as a whole, and in forming our opinion thereon, and we do not provide a separate opinion on
these matters.
Liability limited by a scheme approved under Professional Standards Legislation
Member of Deloitte Asia Pacific Limited and the Deloitte organisation.
3 4
CODA MINERALS LIMITED ACN 625 763 957 ANNUAL REPORT AND FINANCIAL STATEMENTS 2021
KKeeyy AAuuddiitt MMaatttteerr
HHooww tthhee ssccooppee ooff oouurr aauuddiitt rreessppoonnddeedd ttoo tthhee KKeeyy AAuuddiitt MMaatttteerr
AAccccoouunnttiinngg ffoorr eexxpplloorraattiioonn aanndd eevvaalluuaattiioonn
aasssseettss aanndd eexxppeennddiittuurree
As at 30 June 2021, the carrying value of
exploration and evaluation assets was
$1.69 million as disclosed in Note 13. In
addition, exploration and evaluation
expenditure of $3.99 million was expensed
during the year then ended.
judgement
Significant
in
determining the treatment of exploration
and evaluation expenditure including:
is applied
Our procedures associated with exploration and evaluation
expenditure incurred during the year included, but were not
limited to:
•
obtaining an understanding of the relevant controls
associated with
the expensing of exploration and
evaluation expenditure; and
testing on a sample basis, exploration and evaluation
expenditure to confirm the nature and valuation of the costs
incurred, and the appropriateness of the classification as
asset or expense.
•
•
•
determining whether facts and
circumstances indicate that the
exploration and evaluation assets
should be tested for impairment; and
Our procedures associated with assessing the carrying value of
exploration and evaluation assets included, but were not limited
to:
•
assessing the relevant controls associated with the
identification of indicators of impairment; and
determining the treatment of
exploration and evaluation
expenditure incurred, including:
o whether the particular area of
interest meets the recognition
conditions for an asset; and
o which elements of exploration
and evaluation expenditures
qualify for capitalisation for each
area of interest.
•
evaluating management’s
indicator
assessment, including whether any of the following events
exist at the reporting date which may indicate that
exploration and evaluation assets may not be recoverable
by:
impairment
o
o obtaining a schedule of the areas of interest held by the
Company and confirming whether the rights to tenure
of those areas of interest remained current at balance
date;
inquiring of management as to the status of ongoing
exploration programmes in the respective areas of
interest, and reviewing announcements made by the
Company to corroborate these inquiries; and
o assessing whether any facts or circumstances existed
to suggest impairment testing was required.
We also assessed the appropriateness of the disclosures in Note
13 to the financial statements.
Other Information
The directors are responsible for the other information. The other information comprises the information included
in the Company’s annual report for the year ended 30 June 2021, but does not include the financial report and
our auditor’s report thereon.
Our opinion on the financial report does not cover the other information and we do not and will not express any
form of assurance conclusion thereon.
In connection with our audit of the financial report, our responsibility is to read the other information identified
above and, in doing so, consider whether the other information is materially inconsistent with the financial report
or our knowledge obtained in the audit, or otherwise appears to be materially misstated. If, based on the work we
have performed on the other information that we obtained prior to the date of this auditor’s report, we conclude
that there is a material misstatement of this other information, we are required to report that fact. We have
nothing to report in this regard.
Responsibilities of the Directors for the Financial Report
The directors of the Company are responsible for the preparation of the financial report that gives a true and fair
view in accordance with Australian Accounting Standards and the Corporations Act 2001 and for such internal
control as the directors determine is necessary to enable the preparation of the financial report that gives a true
and fair view and is free from material misstatement, whether due to fraud or error.
35
CODA MINERALS LIMITED ACN 625 763 957 ANNUAL REPORT AND FINANCIAL STATEMENTS 2021
In preparing the financial report, the directors are responsible for assessing the ability of the Company to continue
as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis
of accounting unless the directors either intend to liquidate the Company or to cease operations, or has no realistic
alternative but to do so.
Auditor’s Responsibilities for the Audit of the Financial Report
Our objectives are to obtain reasonable assurance about whether the financial report as a whole is free from
material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinion.
Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance
with the Australian Auditing Standards will always detect a material misstatement when it exists. Misstatements
can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably
be expected to influence the economic decisions of users taken on the basis of this financial report.
As part of an audit in accordance with the Australian Auditing Standards, we exercise professional judgement and
maintain professional scepticism throughout the audit. We also:
•
Identify and assess the risks of material misstatement of the financial report, whether due to fraud or error,
design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and
appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement resulting from
fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions,
misrepresentations, or the override of internal control.
• Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are
appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the
Company’s internal control.
• Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and
related disclosures made by the directors.
• Conclude on the appropriateness of the directors’ use of the going concern basis of accounting and, based on
the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may
cast significant doubt on the Company’s ability to continue as a going concern. If we conclude that a material
uncertainty exists, we are required to draw attention in our auditor’s report to the related disclosures in the
financial report or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the
audit evidence obtained up to the date of our auditor’s report. However, future events or conditions may cause
the Company to cease to continue as a going concern.
• Evaluate the overall presentation, structure and content of the financial report, including the disclosures, and
whether the financial report represents the underlying transactions and events in a manner that achieves fair
presentation.
We communicate with the directors regarding, among other matters, the planned scope and timing of the audit
and significant audit findings, including any significant deficiencies in internal control that we identify during our
audit.
We also provide the directors with a statement that we have complied with relevant ethical requirements
regarding independence, and to communicate with them all relationships and other matters that may reasonably
be thought to bear on our independence, and where applicable, actions taken to eliminate threats or safeguards
applied.
From the matters communicated with the directors, we determine those matters that were of most significance
in the audit of the financial report of the current period and are therefore the key audit matters. We describe
these matters in our auditor’s report unless law or regulation precludes public disclosure about the matter or
when, in extremely rare circumstances, we determine that a matter should not be communicated in our report
because the adverse consequences of doing so would reasonably be expected to outweigh the public interest
benefits of such communication.
3 6
CODA MINERALS LIMITED ACN 625 763 957 ANNUAL REPORT AND FINANCIAL STATEMENTS 2021
RReeppoorrtt oonn tthhee RReemmuunneerraattiioonn RReeppoorrtt
Opinion on the Remuneration Report
We have audited the Remuneration Report included in pages 23 to 30 of the Directors’ Report for the year
ended 30 June 2021.
In our opinion, the Remuneration Report of Coda Minerals Ltd, for the year ended 30 June 2021, complies with
section 300A of the Corporations Act 2001.
Responsibilities
The directors of the Company are responsible for the preparation and presentation of the Remuneration Report
in accordance with section 300A of the Corporations Act 2001. Our responsibility is to express an opinion on the
Remuneration Report, based on our audit conducted in accordance with Australian Auditing Standards.
DDEELLOOIITTTTEE TTOOUUCCHHEE TTOOHHMMAATTSSUU
DDaavviidd NNeewwmmaann
Partner
Chartered Accountants
Perth, 29 September 2021
37
CODA MINERALS LIMITED ACN 625 763 957 ANNUAL REPORT AND FINANCIAL STATEMENTS 2021 3 8
CODA MINERALS LIMITED ACN 625 763 957 ANNUAL REPORT AND FINANCIAL STATEMENTS 2021 DIRECTORS ’ DECLARATION
FOR THE YEAR ENDED 30 JUNE 2021
1.
In the opinion of the directors of Coda Minerals Ltd (“the Company”):
(a) the financial statements and notes, are in accordance with the Corporations Act 2001, including:
(i)
giving a true and fair view of the financial position of the Company as at 30 June 2021 and of its performance,
for the financial period ended on that date; and
(ii)
complying with Australian Accounting Standards and the Corporations Regulations 2001; and
(b) there are reasonable grounds to believe that the Company will be able to pay its debts as and when they become
due and payable.
2. The directors have been given the declarations required by section 295A of the Corporations Act 2001 for the financial
year ended 30 June 2021.
3. The Directors draw attention to Note 2(a) to the financial statements, which include a statement of compliance with
International Financial Reporting Standards.
Dated at Perth this 29th day of September 2021.
Signed in accordance with a resolution of the directors.
KF Jones
Director
39
CODA MINERALS LIMITED ACN 625 763 957 ANNUAL REPORT AND FINANCIAL STATEMENTS 2021
STATEMENT OF PROFIT OR LOSS AND OTHER COMPREHENSIVE INCOME
FOR THE YEAR ENDED 30 JUNE 2021
Other income
Administration expenses
Exploration & evaluation expenses
Corporate finance expenses
Other expenses
Results from operating activities
Finance income
Finance expenses
Loss before income tax
Income tax benefit / (expense)
NOTE
5
5 (a)
5 (b)
5 (c)
5 (d)
5
5 (e)
7
30 JUNE 2021
30 JUNE 2020
$
37,500
(2,135,524)
(3,991,793)
(311,799)
(122,134)
$
-
(1,297,800)
(1,650,269)
(885,512)
(114,603)
(6,523,750)
(3,948,184)
8,682
(8,222)
20,928
(10,508)
(6,523,291)
(3,937,764)
-
-
Loss for the period attributable to owners of the Company
(6,523,291)
(3,937,764)
Other comprehensive income
-
-
Total comprehensive (loss) for the period attributable
to owners of the Company
(6,523,291)
(3,937,764)
Earnings per share
Basic and diluted (loss) per share
22
(0.09)
(0.12)
The statement of profit or loss and other comprehensive income is to be read in conjunction with the notes
to the financial statements. Refer to Note 2 on basis of preparation.
40
CODA MINERALS LIMITED ACN 625 763 957 ANNUAL REPORT AND FINANCIAL STATEMENTS 2021 STATEMENT OF FINANCIAL POSITION
AS AT 30 JUNE 2021
30 JUNE 2021
30 JUNE 2020
NOTE
$
$
8
9
10
20
9
11
12
13
15
16
17
17
18
19
19
21,787,110
179,968
69,036
-
4,192,295
118,173
23,304
230,295
22,036,114
4,564,067
55,000
280,229
144,552
1,686,359
2,166,141
55,000
142,120
157,886
1,416,359
1,771,365
24,202,255
6,335,433
927,299
101,070
98,268
1,126,637
91,786
91,786
434,517
29,884
91,652
556,053
8,002
8,002
1,218,424
564,056
22,983,832
5,771,377
23,473,301
12,040,106
263,444
(12,793,019)
1,000
12,040,106
-
(6,269,729)
CURRENT ASSETS
Cash and cash equivalents
Receivables
Prepayments
Other assets
TOTAL CURRENT ASSETS
NON-CURRENT ASSETS
Exploration licence bonds
Property, plant and equipment
Intangible assets
Exploration and evaluation assets
TOTAL NON-CURRENT ASSETS
TOTAL ASSETS
CURRENT LIABILITIES
Trade and other payables
Employee benefits
Lease liabilities current
TOTAL CURRENT LIABILITIES
NON-CURRENT LIABILITIES
Lease liabilities non-current
TOTAL NON-CURRENT LIABILITIES
TOTAL LIABILITIES
NET ASSETS
EQUITY
Issued capital
Capital contribution reserve
Share based payment reserve
Accumulated losses
TOTAL EQUITY
22,983,832
5,771,377
The statement of financial position is to be read in conjunction with the notes to the financial statements.
Refer to Note 2 on basis of preparation.
41
CODA MINERALS LIMITED ACN 625 763 957 ANNUAL REPORT AND FINANCIAL STATEMENTS 2021
STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 30 JUNE 2021
Year ended 30 June 2021
Opening balance at 1 July 2020
Loss for the year
Total comprehensive loss for the year
Share based payments to Directors and
Employees
Share based payment consideration –
Cameron River Farm-in
ISSUED
CAPITAL
$
1,000
-
1,000
-
-
Shares issued under non-renounceable
entitlement offer
1,011,716
Shares issued under non-renouncement
entitlement offer
1,360,304
Shares issued under initial public offer
8,500,000
Shares issued under a Placement
14,400,000
Consideration Shares – Cameron River
Farm-in
Share issue costs
90,000
(1,889,719)
CAPITAL
CONTRIBUTION
RESERVE
SHARE BASED
PAYMENTS
RESERVE
ACCUMULATED
LOSSES
TOTAL
$
12,040,106
-
12,040,106
-
-
-
-
-
-
-
-
$
-
-
-
83,444
180,000
-
-
-
-
-
-
$
(6,269,729)
5,771,377
(6,523,291)
(6,523,291)
(12,793,020)
(751,913)
-
-
-
-
-
-
-
-
83,444
180,000
1,011,716
1,360,304
8,500,000
14,400,000
90,000
(1,889,719)
Closing balance at 30 June 2021
23,473,301
12,040,106
263,444
(12,793,020)
22,983,832
Year ended 30 June 2020
Opening balance at 1 July 2019
1,000
3,789,110
Loss for the year
Total comprehensive loss for the year
Capital contribution
-
-
-
-
-
8,250,996
Closing balance at 30 June 2020
1,000
12,040,106
-
-
-
-
-
(2,331,965)
1,458,145
(3,937,764)
(3,937,764)
(3,937,764)
(3,937,764)
-
8,250,996
(6,269,729)
5,771,377
The statement of changes in equity is to be read in conjunction with the notes to the financial statements.
Refer to Note 2 on basis of preparation.
42
CODA MINERALS LIMITED ACN 625 763 957 ANNUAL REPORT AND FINANCIAL STATEMENTS 2021 STATEMENT OF CASH FLOWS
FOR THE YEAR ENDED 30 JUNE 2021
30 JUNE 2021
30 JUNE 2020
NOTE
$
$
Cash flows from operating activities
Payments for exploration and evaluation expenditure
(4,149,924)
(1,474,802)
Payments for administration, corporate finance activities and other
expenditure
Net cash used in operating activities
24
(1,400,134)
(5,550,058)
(2,346,706)
(3,821,508)
Cash flows from investing activities
Interest received
Payments for property, plant & equipment
Net cash used in investing activities
Cash flows from financing activities
Payments associated with the issue of shares
Proceeds from issue of shares
Repayment of lease liabilities
Net cash inflow from financing activities
8,682
(248,075)
(239,393)
(1,889,719)
25,362,020
(88,035)
23,384,266
20,928
(68,197)
(47,269)
(121,418)
8,250,996
(86,048)
8,043,530
Net increase in cash and cash equivalents
17,594,815
4,174,753
Cash and cash equivalents at beginning of the year
4,192,295
17,542
Cash and cash equivalents at the end of the year
8
21,787,110
4,192,295
The statement of cash flows is to be read in conjunction with the notes to the financial statements.
Refer to Note 2 on basis of preparation.
43
CODA MINERALS LIMITED ACN 625 763 957 ANNUAL REPORT AND FINANCIAL STATEMENTS 2021
44
CODA MINERALS LIMITED ACN 625 763 957 ANNUAL REPORT AND FINANCIAL STATEMENTS 2021 NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2021
1. REPORTING ENTITY
Coda Minerals Ltd (the ‘Company’ or ‘Coda’) is a company domiciled in Australia. The address of the Company’s registered
office is 6 Altona Street, West Perth. The financial statements of the Company as at and for the year ended 30 June 2021
comprise the Company’s results.
The Company is a for-profit entity primarily involved in the exploration and evaluation of mineral resources.
2. BASIS OF PREPARATION
a) Statement of compliance
These financial statements are general purpose financial statements which have been prepared in accordance
with Australian Accounting Standards (“AAS”) adopted and other authoritative pronouncements issued by the
Australian Accounting Standards Board (“AASB”) and the Corporations Act 2001. The financial statements comply with
International Financial Reporting Standards (“IFRSs”) issued by the International Accounting Standards Board (“IASB”).
The financial statements were authorised for issue by the Directors on 29th September 2021.
b) Basis of preparation
The financial statements have been prepared on the historical cost basis where cost is based on the fair value of the
consideration given in exchange for assets. All amounts are presented in Australian dollars unless otherwise noted.
c) Going concern
The Directors believe that Coda will continue as a going concern, and as a result the financial information has been
prepared on a going concern basis, which contemplates the continuity of normal business activity and the realisation
of assets and the settlement of liabilities in the normal course of business.
As at 30 June 2021, Coda had cash and cash equivalents of $21,787,110 and a net asset position of $22,983,832
compared to 30 June 2020, when it had cash and cash equivalents of $4,192,295 and a net asset position of
$5,771,377. For the year ended 30 June 2021, Coda recorded a loss of $6,523,291 and experienced operating cash
outflows of $5,549,258. For the period ended 30 June 2020, Coda recorded a loss of $3,937,764 and experienced net
operating cash outflows of $3,821,508.
The Directors believe that, based on current conditions and performance assumptions, that Coda is sufficiently
funded to meet its anticipated near-term funding needs, including required expenditure under the Elizabeth Creek
Copper Cobalt Project and Cameron River Project over the next 12 months.
d) Use of estimates and judgements
The preparation of financial statements in conformity with AASB requires management to make judgements,
estimates and assumptions that affect the application of accounting policies and the reported amounts of assets,
liabilities, income and expenses. Actual results may differ from these estimates. Estimates and underlying
assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in
which the estimates are revised and in any future periods affected.
Information about critical judgements in applying accounting policies that have the most significant effect on the
amounts recognised in the financial statements is included in Note 13 – Exploration and evaluation.
Information about assumptions and estimation uncertainties that have a significant risk of resulting in a material
adjustment within the next financial period are included in the notes if applicable. There were no significant
estimations of useful life for the current reporting period.
e) Determination of fair values
A number of the Company’s accounting policies and disclosures require the determination of fair value, for both
financial and non-financial assets and liabilities. Fair values have been determined for measurement and/or
disclosure purposes based on the following methods. Where applicable, further information about the assumptions
made in determining fair values is disclosed in the notes specific to that asset or liability.
45
CODA MINERALS LIMITED ACN 625 763 957 ANNUAL REPORT AND FINANCIAL STATEMENTS 2021 NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2021
f) Goods and services tax (‘GST’)
Revenues, expenses and assets are recognised net of the amount of GST, except where the amount of GST incurred
is not recoverable from the Australian Tax Office (‘ATO’). In these circumstances the GST is recognised as part of the
cost of acquisition of the asset or as part of an item of the expense.
Cash flows are presented in the statement of cash flows on a gross basis.
g) Functional and presentation currency
These financial statements are presented in Australian dollars, which is the Company’s functional currency.
h) COVID-19
The ongoing COVID-19 pandemic affecting Australia and the world has had a limited impact on Coda’s operations
with restrictions on interstate travel and challenges associated with maintaining government recommended social
distancing practices being the key areas the Company has had to consider. Although these factors have the potential
to impact Coda’s ability to undertake fieldwork safely and cost effectively, the impact to date has been limited during
the current field programme. The Company has retained experienced, South Australia based geologists and field
staff who are not required to cross state borders.
The Company’s COVID-19 management plan has been established to address the ongoing potential future impact.
The Company will continue to monitor and manage the impact on its operations.
3. SIGNIFICANT ACCOUNTING POLICIES
Significant and other accounting policies that summarise the measurement basis used and which are relevant to
an understanding of the financial statements are provided throughout the notes to the financial statements.
Where possible, wording has been simplified to provide clearer commentary on the financial report of the Company.
Accounting policies determined non-significant are not included in the financial statements.
46
CODA MINERALS LIMITED ACN 625 763 957 ANNUAL REPORT AND FINANCIAL STATEMENTS 2021 NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2021
4. SEGMENT INFORMATION
Accounting policy
An operating segment is a component of the Company that engages in business activities from which it may incur
expenses. Segment capital expenditure is the total cost incurred during the period to acquire property, plant and
equipment, and exploration expenditure.
Management has determined the operating segments based on the reports reviewed by the Board of Directors that are
used to make strategic decisions.
For management purposes, the Company has identified two reportable segments relating to exploration activities in the
following business segments: the Elizabeth Creek Copper Cobalt project and the Cameron River Copper Gold project.
The business segments include the activities associated with the determination and assessment of the existence of
commercial reserves, from the Company’s mineral assets that fall under those projects.
The following is an analysis of the Company’s results by reportable operating segment for the full year under review:
30 JUNE 2021
30 JUNE 2020
$
$
(3,948,715)
(43,078)
(3,991,793)
37,500
(2,135,524)
(433,934)
8,682
(8,222)
(1,650,269)
-
(1,650,269)
-
(1,297,800)
(1,000,115)
20,928
(10,508)
(6,523,291)
(3,937,764)
-
-
(6,523,291)
(3,937,764)
Operating segment results
Elizabeth Creek
Cameron River
Total Exploration & Evaluation Expenses
Reconciliation of segment result to net loss:
Other income
Administration costs
Other corporate costs
Finance income
Finance costs
Loss before tax
Income tax expense
Consolidated loss for the period
47
CODA MINERALS LIMITED ACN 625 763 957 ANNUAL REPORT AND FINANCIAL STATEMENTS 2021
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2021
SEGMENT INFORMATION (continued)
Accounting policy
The following is an analysis of the Group’s assets and liabilities by reportable operating segment:
Segment assets
Elizabeth Creek
Cameron River
Segment liabilities
Elizabeth Creek
Cameron River
Total segments
Unallocated assets1
Unallocated liabilities2
Consolidated assets and liabilities
Included in segment assets are:
Additions to non-current assets
Elizabeth Creek
Cameron River
Total segments
Unallocated additions3
Consolidated additions to non-current assets
Notes:
30 JUNE 2021
30 JUNE 2020
$
$
3,467,491
270,000
1,629,245
-
(556,751)
(9,700)
3,171,040
20,464,764
(651,973)
22,983,832
-
270,000
270,000
246,910
516,910
(64,692)
-
1,564,553
4,706,188
(499,364)
5,771,377
-
-
-
243,389
243,389
1. Unallocated assets predominately relate to cash and cash equivalents
2. Unallocated liabilities relate to lease liabilities, employee benefits and trade and other payables
3. Unallocated additions relate to right of use asset for office lease and office equipment, fixtures and fittings
48
CODA MINERALS LIMITED ACN 625 763 957 ANNUAL REPORT AND FINANCIAL STATEMENTS 2021 NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2021
5. REVENUE, OTHER INCOME AND EXPENSES
Accounting policy
Revenue is measured at the fair value of the gross consideration received or receivable. The Company recognises
revenue when the amount of revenue can be reliably measured, and when it is probable that future economic benefits will
flow to the entity.
Finance income
Finance income comprises interest income on funds invested. Interest income is recognised as it accrues, using the
effective interest method.
Finance income
Interest income
Other income
30 JUNE 2021
30 JUNE 2020
$
$
8,682
20,928
Government cash flow boost(i)
37,500
-
Note:
(i) The Company benefited from the government’s temporary Cash Flow Boost support package designed to assist businesses manage
cashflow challenges and help retain employees during the economic downturn associated with COVID-19 19. Eligible businesses who
employed staff received cash flow boosts delivered as credits via the activity statement system (not as direct payments to the business).
The cash flow boost payments were made in two stages. The initial cash flow boost was based on the amount of the Company’s PAYG
withholding for the period April to June 2020. Eligible businesses that withheld tax on their employees’ salary and wages received
a credit equal to 100% of the amount withheld to a maximum payment of $50,000. The second payments were made for the July to
September 2020 quarter. Eligible businesses received an additional payment equal to the total that they had been paid in the first round
of payments to a maximum of $50,000, regardless of the amount of PAYG tax actually paid to the Australian Taxation Office (ATO). Refer
Note 2 Accounting Policies.
49
CODA MINERALS LIMITED ACN 625 763 957 ANNUAL REPORT AND FINANCIAL STATEMENTS 2021
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2021
5. REVENUE, OTHER INCOME AND EXPENSES (continued)
Accounting policy
Finance expenses
Finance expenses comprise interest expense on borrowings, bank charges, unwinding of the discount on provisions
and performance bond facility fees. Borrowing costs that are not directly attributable to the acquisition, construction
or production of a qualifying asset are recognised in profit or loss using the effective interest method. Foreign currency
gains and losses are reported on a net basis either as finance income or finance costs depending on whether they are in a
net gain or loss position.
30 JUNE 2021
30 JUNE 2020
NOTE
$
$
(a) Administration expenses
Audit or review of financial reports:
- Group
Corporate and consultant costs
Director fees, employee salary and on costs expenses
Other administration costs
Total administration expenses
(b) Exploration and evaluation expenses
Exploration and evaluation expenses
(c) Corporate finance expenses(i)
(39,863)
(503,570)
(1,368,327)
(223,766)
(2,135,524)
(32,700)
(290,097)
(794,144)
(180,859)
(1,297,800)
(3,991,793)
(1,650,269)
External advisors, consultants, brokers and legal expenses
(311,799)
(885,512)
(d) Other expenses
Amortisation and depreciation
11,12
(122,134)
(114,603)
(e) Finance expenses
Interest expense
Total Expenses
(8,222)
(10,508)
(6,569,473)
(3,937,794)
(i) Corporate finance expenses relate to advisor costs incurred in relation to corporate finance activities including the completed Voluntary
Share Sale Facility from FY20 ($885,512) and the IPO process, the Rights Issue Capital Raise and the Institutional Placement during FY21
($311,799).
5 0
CODA MINERALS LIMITED ACN 625 763 957 ANNUAL REPORT AND FINANCIAL STATEMENTS 2021
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2021
6. EMPLOYEE BENEFITS EXPENSE
Employee benefits expenses are allocated to exploration and evaluation expenses or administration expenses based
upon time-writing records.
Employee salaries, directors’ fees & on cost expenses
(1,007,410)
(880,700)
30 JUNE 2021
30 JUNE 2020
$
$
Share based payment
Staff bonuses STIP
Post-employment benefits
Transfer to exploration & evaluation expenses
Total employee benefits expense
7.
INCOME TAX
(83,444)
(192,083)
(85,390)
195,631
(1,172,695)
-
-
(74,925)
161,481
(794,144)
Accounting policy
Income tax expense comprises current and deferred tax. Income tax expense is recognised in profit or loss except to the
extent that it relates to items recognised directly in equity, in which case it is recognised in equity.
Current tax is the expected tax payable on the taxable income for the year, using tax rates enacted or substantively
enacted at the reporting date, and any adjustment to tax payable in respect of previous years.
Deferred tax is recognised using the balance sheet method, providing for temporary differences between the carrying
amounts of assets and liabilities for financial reporting purposes and the amounts used for taxation purposes. Deferred
tax is measured at the tax rates that are expected to be applied to the temporary differences when they reverse, based on
the laws that have been enacted or substantively enacted by the reporting date.
A deferred tax asset is recognised to the extent that it is probable that future taxable profits will be available against
which temporary differences can be utilised. Deferred tax assets are reviewed at each reporting date and are reduced to
the extent that it is no longer probable that the related tax benefit will be realised.
Current and deferred tax are recognised in profit or loss, except when they relate to items that are recognised in other
comprehensive income or directly in equity, in which case, the current and deferred tax are also recognised in other
comprehensive income or directly in equity respectively. Where current tax or deferred tax arises from the initial
accounting for a business combination, the tax effect is included in the accounting for the business combination.
Coda recognises deferred tax assets arising from unused tax losses to the extent that it is probable that future taxable
profits of Coda will be available against which the assets can be utilised. Coda assesses the recovery of its unused tax
losses and tax credits only in the period in which they arise. Any subsequent period adjustments to deferred tax assets
arising from unused tax losses as a result of revised assessments of the probability of recoverability are recognised by
the Company.
Current tax expense
Current period
Deferred tax expense
Origination and reversal of temporary differences
Benefit of tax losses and other deferred tax benefits not recognised
Total income tax expense / (benefit)
51
30 JUNE 2021
30 JUNE 2020
$
-
-
-
-
$
-
-
-
-
CODA MINERALS LIMITED ACN 625 763 957 ANNUAL REPORT AND FINANCIAL STATEMENTS 2021 NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2021
7.
INCOME TAX (continued)
Numerical reconciliation between current tax expense/(benefit) and pre-tax net profit/(loss)
30 JUNE 2021
30 JUNE 2020
$
$
Loss before tax
Income tax using the statutory rate of 30%
Increase in income tax expense due to:
Permanent differences
Deferred income tax not recognised
Total income tax expense / (benefit)
Tax assets and liabilities
Deferred tax assets and liabilities are attributable to the following:
(6,523,291)
(1,956,987)
17,233
1,939,835
-
(3,937,764)
(1,181,329)
10,680
1,170,649
-
Deferred tax assets / (liabilities)
Exploration asset
Intangible asset
Provisions
Accrued expenditure
Right of use asset
Lease liabilities
Capital raising costs
Tax losses
Deferred tax asset not recognised
Net deferred tax assets / (liabilities)
Unrecognised deferred tax assets
30 JUNE 2020
MOVEMENT
30 JUNE 2021
$
-
-
8,965
(62,116)
-
-
-
915,874
(862,723)
-
$
-
11,491
10,017
67,741
(54,942)
57,016
692,797
2,021,204
(2,805,324)
-
$
-
11,491
18,982
5,625
(54,942)
57,016
692,797
2,937,078
(3,668,047)
-
As at 30 June 2021 gross tax losses totalling $9,790,261 (2020: $2,875,743) have not been recognised as deferred tax
assets. A deferred tax asset has not been recognised in respect of the above tax losses because it is not probable that
future taxable profit will be available against which the consolidated entity can utilise the benefit.
5 2
CODA MINERALS LIMITED ACN 625 763 957 ANNUAL REPORT AND FINANCIAL STATEMENTS 2021 NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2021
8. CASH AND CASH EQUIVALENTS
Accounting policy
Cash and cash equivalents includes cash on hand, deposits held at call with financial institutions, other short-term, highly
liquid investments with original maturities of three months or less that are readily convertible to known amounts of cash
and which are subject to an insignificant risk of changes in value. Cash at bank earns interest at floating rates based on
daily bank deposit rates.
Bank balances
Cash and cash equivalents
9. RECEIVABLES
30 JUNE 2021
30 JUNE 2020
$
21,787,110
21,787,110
$
4,192,295
4,192,295
Accounting policy
Receivables are initially recognised at fair value and subsequently at the amounts considered receivable (financial
assets at amortised cost). In order for a financial asset to be classified and measured at amortised cost, it needs to give
rise to cash flows that are ‘solely payments of principal and interest (“SPPI”) on the principal amount outstanding. This
assessment is referred to as the SPPI test and is performed at an instrument level.
Current Receivables
GST receivable from the ATO
Other receivables
Current receivables
Non-current Receivables
Exploration license bonds
Non-current receivables
30 JUNE 2021
30 JUNE 2020
$
76,491
103,477
179,968
55,000
55,000
$
50,121
68,052
118,173
55,000
55,000
All receivables are short term in nature, consequently their carrying amount is assumed to approximate their fair value.
30 JUNE 2021
30 JUNE 2020
$
11,454
57,582
69,036
$
-
23,304
23,304
10. PREPAYMENTS
Prepaid office rent
Other prepayments
Prepayments
53
CODA MINERALS LIMITED ACN 625 763 957 ANNUAL REPORT AND FINANCIAL STATEMENTS 2021 NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2021
11. PROPERTY, PLANT & EQUIPMENT
Accounting policy
(i) Recognition and measurement
Items of property, plant and equipment are measured at cost less accumulated depreciation and accumulated
impairment losses.
Cost includes expenditure that is directly attributable to the acquisition of the asset. The cost of self-constructed
assets includes the cost of materials and direct labour, any other costs directly attributable to bringing the assets to
a working condition for their intended use, the costs of dismantling and removing the items and restoring the site on
which they are located and capitalised borrowing costs. Cost also may include transfers from other comprehensive
income of any gain or loss on qualifying cash flow hedges of foreign currency purchases of property, plant and
equipment. Purchased software that is integral to the functionality of the related equipment is capitalised as part of
that equipment.
When parts of an item of property, plant and equipment have different useful lives, they are accounted for as
separate items (major components) of property, plant and equipment.
The gains and losses on disposal of an item of property, plant and equipment are determined by comparing the
proceeds from disposal with the carrying amount of property, plant and equipment and are recognised net within
other income/other expenses in profit or loss.
(ii) Depreciation and amortisation
Depreciation is recognised in profit or loss on a straight line basis over the estimated useful lives of each part or item
of property, plant and equipment.
The estimated useful lives for the current and comparative periods are as follows:
•
•
furniture fittings and equipment
3-8 years
leased plant and equipment
5-15 years
Depreciation methods, useful lives and residual values are reviewed at each reporting date.
RIGHT OF USE ASSET
(LEASED OFFICES)
EQUIPMENT,
FIXTURES AND
FITTINGS
PROJECT
EQUIPMENT
$
$
175,194
178,035
353,229
(82,195)
(87,895)
(170,090)
92,999
183,139
68,195
68,875
137,071
(19,074)
(20,906)
(39,980)
49,121
97,091
$
-
-
-
-
-
-
-
-
TOTAL
$
243,389
246,910
490,300
(101,269)
(108,801)
(210,070)
142,120
280,229
Cost
At 1 July 2020
Additions
At 30 June 2021
Accumulated depreciation
At 1 July 2020
Depreciation
At 30 June 2021
Net book value
At 1 July 2020
At 30 June 2021
5 4
CODA MINERALS LIMITED ACN 625 763 957 ANNUAL REPORT AND FINANCIAL STATEMENTS 2021 NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2021
RIGHT OF USE ASSET
(LEASED OFFICES)
EQUIPMENT,
FIXTURES AND
FITTINGS
PROJECT
EQUIPMENT
TOTAL
$
-
175,194
175,194
-
(82,195)
(82,195)
-
92,999
$
-
68,195
68,195
-
(19,074)
(19,074)
-
49,121
$
-
-
-
-
-
-
-
-
$
-
243,389
243,389
-
(101,269)
(101,269)
-
142,120
Cost
At 1 July 2019
Additions
At 30 June 2020
Accumulated depreciation
At 1 July 2019
Depreciation
At 30 June 2020
Net book value
At 1 July 2019
At 30 June 2020
The Company leases its corporate office at 6 Altona Street West Perth. The lease expired on 23 July 2021. The lease
has been renewed for a further 2 years. This lease is recognised in accordance with the new AASB 16: Leases which
the Company adopted on 1 July 2019. Refer to note 17 for further details.
12. INTANGIBLE ASSETS
Accounting policy
Licences acquired are initially recognised at cost and are subsequently carried at cost less accumulated amortisation
and accumulated impairment losses. These costs are amortised to profit or loss using the straightline method over 15
years, which is the estimated useful lives and periods of contractual rights.
Intangible assets – Technology licence
Carrying amount at beginning of year
Amortisation
Carrying amount at end of year
30 JUNE 2021
30 JUNE 2020
$
$
157,886
(13,333)
144,553
171,219
(13,333)
157,886
Gindalbie executed licence agreements for the use of mineral processing technology in 2017. This licence provides
the Company with the right to use the technology on new projects that may be identified during ongoing business
development and strategy work.
The license was novated to Coda as part of a common-control transaction whereby the capitalised amounts in Gindalbie’s
books were transferred at the net book value to its 100% owned subsidiary Coda.
55
CODA MINERALS LIMITED ACN 625 763 957 ANNUAL REPORT AND FINANCIAL STATEMENTS 2021 NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2021
13. EXPLORATION AND EVALUATION ASSETS
Accounting policy
Expenditure on exploration and evaluation is accounted for in accordance with the ‘area of interest’ method and with
AASB 6 Exploration for and Evaluation of Mineral Resources, which is the Australian equivalent of IFRS 6.
Exploration and evaluation expenditure encompasses expenditures incurred by the Company in connection with the
exploration for and evaluation of mineral resources before the technical feasibility and commercial viability of extracting
a mineral resource are demonstrable.
For each area of interest, expenditure incurred in the acquisition of rights to explore is capitalised, classified as tangible
or intangible, and recognised as an exploration and evaluation asset. Exploration and evaluation assets are measured at
cost at recognition. Exploration and evaluation expenditure incurred by the Company subsequent to acquisition of the
rights to explore is expensed as incurred, up until the point at which a scoping study is completed, a pre-feasibility study
entered into and the pre-feasibility study enters the stage where a case to proceed with preliminary engineering design
work has been made by the Project Steering Committee or the Company’s Board.
Exploration and evaluation assets are only recognised if the rights of tenure to the area of interest are current and either:
(i) the expenditures are expected to be recouped through successful development and exploitation of the area of
interest; or
(ii) activities in the area of interest 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 in relation to, the area of interest are continuing.
Once the technical feasibility and commercial viability of the extraction of mineral resources in an area of interest are
demonstrable, exploration and evaluation assets attributable to that area of interest are first tested for impairment and
then reclassified from intangible assets to mining property and development assets within property, plant and equipment.
Where a decision is made to proceed with development, accumulated expenditure is tested for impairment and
transferred to development properties, and then amortised over the life of the reserves associated with the area of
interest once mining operations have commenced.
Recoverability of the carrying amount of the exploration and evaluation assets is dependent on successful development
and commercial exploitation, or alternatively, sale of the respective areas of interest.
Elizabeth Creek1
Cameron River2
Total Exploration and Evaluation Assets
Movement of Exploration and Evaluation Assets
Carrying amount at beginning of year1
Additions2
Carrying amount at end of year
Notes:
30 JUNE 2021
30 JUNE 2020
$
1,416,359
270,000
1,686,359
1,416,359
270,000
1,686,359
$
1,416,359
-
1,416,359
1,416,359
-
1,416,359
1.
In April 2017, Gindalbie Metals Ltd entered into a Farm-in and Joint Venture Agreement (“Agreement”) with Terrace Mining Pty Ltd, a
wholly owned subsidiary of Torrens Mining Limited. The Agreement provided Gindalbie the opportunity to earn up to 75% interest in the
Elizabeth Creek Copper-Cobalt Project, located 135km north-west of Port Augusta in South Australia.
Following the receipt of approval by the Foreign Investment Review Board in August 2018, Gindalbie finalised a Novation Agreement with
Terrace Mining Pty Ltd to novate the Mt Gunson Farm-in and Joint Venture Agreement to Coda. As a result of the novation, a common-
control transaction took place whereby the capitalised amounts in Gindalbie were transferred at the net book value to its 100% owned
subsidiary Coda.
2.
In March 2021, Coda entered into a Farm-in and Joint Venture Agreement with Wilgus Investments Pty Ltd (“Wilgus”), giving Coda the
right to acquire up to an 80% interest in the Cameron River Project near Mount Isa in Queensland. In June 2021, 250,000 shares fair
valued at $90,000 and 500,000 performance rights fair valued at $180,000 were issued to Wilgus on completion of all conditions
precedent associated with the Cameron River Farm In Agreement. This has been treated as an asset acquisition as it is an exploration
stage project, and does not satisfy the definition of a business combination.
5 6
CODA MINERALS LIMITED ACN 625 763 957 ANNUAL REPORT AND FINANCIAL STATEMENTS 2021
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2021
The key terms of the earn-in commitments under the Cameron River agreement were as follows:
Stage 1: Expenditure of $1 million on exploration activities within 2 years from execution to earn a 51% interest in the
Project.
Stage 2: Expenditure of an additional $1 million on exploration activities within 1 year of earning the Stage 1 interest,
to earn an additional 29% interest in the Project. Coda has the right to determine exploration activity conducted on
the Project during the farm-in.
Exploration programs in each area of interest continue but have not reached a stage which permits a reasonable
assessment of economically recoverable reserves. The recoverability of the carrying amounts of exploration and
evaluation assets is dependent on the successful development and commercial exploitation or sale of the respective area
of interest.
14. IMPAIRMENT OF NON FINANCIAL ASSETS
Accounting policy
The carrying amounts of the Company’s non-financial assets, other than inventories and deferred tax assets are reviewed
at each reporting date to determine whether there is any indication of impairment. If any such indication exists then the
asset’s recoverable amount is estimated.
An impairment loss is recognised if the carrying amount of an asset or its cash-generating unit exceeds its recoverable
amount. A cash-generating unit is the smallest identifiable asset of the Company that generates cash flows that are
largely independent from other assets. Impairment losses are recognised in profit or loss.
The recoverable amount of an asset or cash-generating unit is the greater of its value in use and its fair value less costs
to sell. 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 recognised in prior periods are assessed at each reporting date for any indications that the loss
has decreased or no longer exists. An impairment loss is reversed if there has been a change in the estimates used to
determine the recoverable amount. An impairment loss is reversed only to the extent that the asset’s carrying amount
does not exceed the carrying amount that would have been determined, net of depreciation or amortisation, if no
impairment loss had been recognised.
At 30 June 2021 there were no internal or external indicators of impairment and as a result, no impairment testing was
conducted.
15. TRADE AND OTHER PAYABLES
Accounting policy
Trade and other payables are initially recognised at the value of the invoice received from a supplier and subsequently
measured at amortised cost. They represent liabilities for goods and services provided to the company prior to the end
of the financial year that are unpaid and arise when the Company becomes obliged to make future payments in respect of
the purchase of these goods and services. The amounts are unsecured and generally paid within 60 days of recognition.
Trade and other payables are presented as current liabilities unless payment is not due within 12 months from the
reporting date. The carrying amounts of trade and other payables are assumed to be the same as their fair values, due to
their short-term nature.
30 JUNE 2021
30 JUNE 2020
$
307,949
619,350
927,299
$
227,464
207,054
434,517
Trade creditors
Other creditors and accruals
Trade and other payables
57
CODA MINERALS LIMITED ACN 625 763 957 ANNUAL REPORT AND FINANCIAL STATEMENTS 2021 NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2021
16. EMPLOYEE BENEFITS
Accounting policy
A current liability is recognised for the amount expected to be paid to an employee for annual leave they are presently
entitled to as a result of past service. The liability includes allowances for on-costs such as superannuation and payroll
taxes, as well as any future salary and wage increases that the employee may reasonably be entitled to. The Company’s
net obligation in respect of long-term employee benefits is the amount of future benefit that employees have earned in
return for their service up to reporting date, plus related on costs.
(i) Defined contribution superannuation funds
Obligations for contributions to defined contribution superannuation funds are recognised as an expense in profit or
loss when they are owed.
(ii) Other long-term employee benefits
The Company’s net obligation in respect of long-term employee benefits is the amount of future benefit that
employees have earned in return for their service in the current and prior periods plus on-costs; that benefit is
discounted to determine its present value. The discount rate is the yield at the reporting date on AA credit-rated
(Corporate bond rate) bonds that have maturity dates approximating the terms of the Company’s obligations.
(iii) Termination benefits
Termination benefits are recognised as an expense when the Company is demonstrably committed, without realistic
possibility of withdrawal, to a formal detailed plan to terminate employment before the normal retirement date.
(iv) Short-term benefits
Short-term employee benefit obligations are measured on an undiscounted basis and are expensed as the related
service is provided. A liability is recognised for the amount expected to be paid under short-term cash bonus plans if
the Company has a present legal or constructive obligation to pay this amount as a result of past service provided by
the employee and the obligation can be estimated reliably.
Current
Employee benefits
Total employee benefit provision
30 JUNE 2021
30 JUNE 2020
$
$
101,070
101,070
29,884
29,884
5 8
CODA MINERALS LIMITED ACN 625 763 957 ANNUAL REPORT AND FINANCIAL STATEMENTS 2021 NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2021
17. LEASE LIABILITY
Accounting policy
The Company as a lessee, has recognised right-of-use assets representing its rights to use the underlying assets and
lease liabilities representing its obligation to make lease payments.
The Company as a lessee will assess whether a contract is, or contains, a lease under AASB 16. A contract is,or contains
a lease if the contract conveys the right to control the use of an identified asset for a period of time in exchange for
consideration.
If the contract is assessed to be, or contains, a lease, the Company will recognise a right-of-use asset and a lease liability
at the lease commencement date. The right-of-use asset is initially measured at cost, and subsequently at cost less any
accumulated depreciation and impairment losses and adjusted for certain remeasurements of the lease liability.
Depreciation is based on the straight-line method from the commencement date to the earlier of the end of the useful life
of the right-of-use asset or the end of the lease term.
The lease liability is initially measured at the present value of the lease payments that are not paid at the commencement
date, discounted using the interest rate implicit in the lease or, if that rate cannot be readily determined, the Company’s
incremental borrowing rate. Generally, the Company uses its incremental borrowing rate as the discount rate.
The lease liability is subsequently increased by the interest cost on the lease liability, offset by lease payments made.
It is remeasured when there is a change in future lease payments arising from a change in an index or rate, a change in
the estimate of the amount expected to be payable under a residual value guarantee, or as appropriate, changes in the
assessment of whether a purchase or extension option is reasonably certain to be exercised or a termination option is
reasonably certain not to be exercised.
The Company has elected not to recognise right-of-use assets and lease liabilities for short-term leases lease term of
12 months or less and leases for low-value assets. The Company will recognise the payments associated with these
leases as an expense on a straight-line basis over the lease term.
30 JUNE 2021
30 JUNE 2020
$
$
98,268
91,786
-
190,054
98,268
91,786
190,054
87,895
8,222
95,858
8,002
(4,206)
99,654
91,652
8,002
99,654
82,195
10,508
(a) Lease liability
Maturity analysis
Within one year
Later than one year and not later than three years
Less unearned interest
Total lease liability
Current
Non-current
Total lease liability
(b) Amounts recognised in profit and loss
Depreciation expense on right-of use assets (Note 11)
Interest expense on lease liabilities
59
CODA MINERALS LIMITED ACN 625 763 957 ANNUAL REPORT AND FINANCIAL STATEMENTS 2021 NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2021
18. ISSUED CAPITAL
Accounting policy
Issued Capital
Ordinary shares are classified as contributed equity. Costs directly attributable to the issue of new shares or options are
shown in issued capital as a deduction from the proceeds.
30 JUNE 2021
30 JUNE 2021
30 JUNE 2020
30 JUNE 2020
Balance at beginning of period
33,463,651
1,000
1,000
NOTE
NO. OF SHARES
$
NO. OF SHARES
Movements during the period:
Issued on demerger from former
parent entity (i)
Issued under non-renounceable
entitlement offer (ii)
Issued under non-renouncement
entitlement offer (ii)
Issued under initial public offer (iii)
Capital raising costs
-
-
33,462,651
10,117,162
1,011,716
13,603,037
28,333,334
-
1,360,304
8,500,000
(966,825)
-
-
-
-
$
1,000
-
-
-
-
-
Issued under a Placement(iv)
12,000,000
14,400,000
Placement costs
Consideration Shares –
Cameron River Farm-in
Balance at end of period
Note:
-
(922,894)
13
250,000
90,000
97,767,184
23,473,301
33,463,651
1,000
(i)
On 23 July 2019, the Company was demerged from its former parent entity pursuant to the implementation of the parent entity’s
shareholder and court approved demerger scheme. As a result of the demerger scheme;
- Coda received an $8.06 million capital injection from the former parent entity;
- the capital structure of Coda was restructured by way of an equal sub-division of shares such that Coda had 33,463,651 shares on issue;
- The former parent entity’s shareholders received shares in Coda on the basis of 1 Coda share for every 45 shares held in the former
parent entity at Record Date;
- Coda is no longer a subsidiary of the former parent entity.
(ii) Legally issued pursuant to the Prospectus dated 8 June 2020 to existing shareholders under a non-renounceable entitlement offer of
one fully paid New Share for every Share held by eligible shareholders on Record Date at an issue price of $0.10 per New Share. There
were no special terms or features attached to the shares on offer.
(iii) Legally issued pursuant to the IPO Prospectus dated 4 September 2020 and the Supplementary Prospectus dated 18 September 2020 of
one fully paid New Share per successful applicant at $0.30 per share. There were no special terms or features attached to the shares on
offer.
(iv) Legally issued on 28 June 2021 pursuant to the placement to sophisticated and institutional investors under Section 708A(5)e of the
Corporations Act. There were no special terms or features attached to the shares on offer.
Terms and conditions
Holders of ordinary shares are entitled to receive dividends as declared from time to time and are entitled to one vote per
share at shareholders meetings. In the event of winding up of the Company, ordinary shareholders rank after all other
shareholders and creditors and are fully entitled to any proceeds of liquidation.
6 0
CODA MINERALS LIMITED ACN 625 763 957 ANNUAL REPORT AND FINANCIAL STATEMENTS 2021
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2021
19. RESERVES
Nature and purpose of reserves
(a) Capital contribution reserve
The capital contribution reserve represents cash and asset contributions from the Company’s former ultimate
parent company made prior to the completion of the demerger on 23 July 2019.
Reserve at beginning of year
Capital contributions during the year
Capital contribution reserve at end of period
(b) Share based payments reserve
30 JUNE 2021
30 JUNE 2020
$
12,040,106
-
12,040,106
$
3,789,110
8,250,996
12,040,106
The fair value of options, as at the grant date, granted to employees is recognised as an employee expense, with a
corresponding increase in equity, over the period during which the employees become unconditionally entitled to
the options. The amount recognised as an expense is adjusted to reflect the actual number of share options that
vest, except where forfeiture is only due to share prices not achieving the threshold for vesting. The fair value of
the performance rights consideration for the Cameron River Farm-in is recognised as an exploration and evaluation
asset with a corresponding increase in equity at the date of the commencement of the Farm-in Agreement.
The share based payments reserve comprises the net value of employee options expensed over the vesting period
as well as performance rights consideration for Cameron River Farm-in calculated at grant date using the Modified
Binomial, Black-Scholes or Monte Carlo model, depending on whether they contain market performance conditions.
For employee options with a future vesting period, the option value is brought to account progressively over the term
of the vesting period.
Reserve at beginning of year
Share based payments to Directors & Employees expensed during the year
Share based payments consideration capitalised – Cameron River Farm-in
Share based payments reserve at end of period
20. OTHER ASSETS
Capital raising costs
Other assets
30 JUNE 2021
30 JUNE 2020
$
-
83,444
180,000
263,444
$
-
-
-
-
30 JUNE 2021
30 JUNE 2020
$
-
-
$
230,295
230,295
The above capital raising costs relate to the Rights Issue (Prospectus dated 9 June 2020). As at 30 June 2020, these
costs have been recorded as Other Assets, however, will be offset against cash proceeds from the Rights Issue when it
completes.
61
CODA MINERALS LIMITED ACN 625 763 957 ANNUAL REPORT AND FINANCIAL STATEMENTS 2021 NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2021
21. CAPITAL AND OTHER COMMITMENTS
(a) Exploration expenditure commitments
In order to maintain current rights of tenure to exploration tenements, the Company is required to perform minimum
exploration work to meet the minimum expenditure requirements specified by the Government of South Australia.
These requirements are subject to renegotiation when application for a mining lease is made and at other times.
As described in Note 13 Exploration and Evaluation Assets, the exploration expenditure commitments include the
Elizabeth Creek Copper Cobalt Project.
Payable no later than one period:
Annual fees – Elizabeth Creek (70%)
Annual Fees – Cameron River
Exploration
Total commitments
30 JUNE 2021
30 JUNE 2020
$
11,611
1,845
-
13,456
$
17,152
-
-
17,152
Coda received an extension to the Elizabeth Creek Project Amalgamated Expenditure Arrangement on 22 July 2020
confirming the minimum exploration expenditure of $1.1 million required to be spent for a 24 month period ending
30 June 2022. This agreement applies to exploration licences 6265, 6141 and 6518 which combined are known as
the Elizabeth Creek Project Exploration Licences. See note 13 for the terms of the Cameron River Joint Ventrue and
Farm-In Agreement.
22. EARNINGS PER SHARE
The Company presents basic and diluted earnings per share (‘EPS’) data for its ordinary shares. Basic EPS is calculated
by dividing the profit or loss attributable to ordinary shareholders of the Company by the weighted average number of
ordinary shares outstanding during the period. Diluted EPS is determined by adjusting the profit or loss attributable to
ordinary shareholders and the weighted average number of ordinary shares outstanding for the effects of all dilutive
potential ordinary shares, which comprise share options granted to employees.
Basic earnings per share
The calculation of basic earnings per share at 30 June 2021 was based on the loss attributable to ordinary shareholders
of $6,523,291 and a weighted average number of ordinary shares outstanding during the year ended 30 June 2021 of
75,076,122 calculated as follows:
30 JUNE 2021
30 JUNE 2020
$
$
Basic earnings per share
Loss attributable to ordinary shareholders
(6,523,291)
(3,937,764)
Weighted average number of ordinary shares
Shares on issue at the beginning of the year / on incorporation
Effect of shares issued on exercise of share options
33,463,651
-
1,000
-
Weighted average number of ordinary shares at the end of the year
75,076,122
33,463,651
NO. OF SHARES
NO. OF SHARES
Earnings / (loss) per share:
Basic and diluted
6 2
(0.09)
(0.12)
CODA MINERALS LIMITED ACN 625 763 957 ANNUAL REPORT AND FINANCIAL STATEMENTS 2021
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2021
23. FINANCIAL INSTRUMENTS & FINANCIAL RISK MANAGEMENT
Accounting policy
Financial Instruments
Recognition and derecognition
Financial assets and financial liabilities are recognised when the Company becomes a party to the contractual provisions
of the financial instrument.
Financial assets are derecognised when the contractual rights to the cash flows from the financial asset expire, or when
the financial asset and substantially all the risks and rewards are transferred. A financial liability is derecognised when it
is extinguished, discharged, cancelled or expires.
Classification and initial measurement of financial assets
Except for those trade receivables that do not contain a significant financing component and are measured at the
transaction price in accordance with IFRS 15, all financial assets are initially measured at fair value adjusted for
transaction costs.
Financial assets, other than those designated and effective as hedging instruments, are classified into the following
categories:
•
•
•
amortised cost
fair value through profit or loss (“FVTPL”)
fair value through other comprehensive income (“FVOCI”).
In the period presented in this financial report the Company does not have any financial assets categorised as FVOCI or
FVTPL.
The classification is determined by both:
•
•
the entity’s business model for managing the financial asset
the contractual cash flow characteristics of the financial asset.
All income and expenses relating to financial assets that are recognised in profit or loss are presented within finance
costs, finance income or other financial items, except for expected credit losses of trade receivables which is presented
in other expense.
Financial Assets at Amortised Cost
Financial assets are measured at amortised cost if the assets meet the following conditions (and are not designated as
FVTPL):
•
•
they are held under a business model whose objective it is “hold to collect and sell” the associated cash flows and sell;
and
the contractual terms of the financial assets give rise to cash flows that are solely payments of principal and interest
on the principal amount outstanding
After initial recognition, these are measured at amortised cost using the effective interest method. Discounting is
omitted where the effect of discounting is immaterial. The Company’s cash and cash equivalents, trade receivables and
most other receivables fall into this category of financial instruments.
Financial Assets at FVTPL
Financial assets that are held within a different business model other than ‘hold to collect’ or ‘hold to collect and sell’
are categorised at fair value through profit and loss. Further, irrespective of an entity’s business model financial assets
whose contractual cash flows are not solely payments of principal and interest are accounted for at FVTPL. All derivative
financial instruments fall into this category, except for those designated and effective as hedging instruments, for which
the hedge accounting requirements apply.
63
CODA MINERALS LIMITED ACN 625 763 957 ANNUAL REPORT AND FINANCIAL STATEMENTS 2021 NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2021
23. FINANCIAL INSTRUMENTS & FINANCIAL RISK MANAGEMENT (continued)
Financial Assets at FVTOCI
The Company accounts for financial assets at FVOCI if the assets meet the following conditions:
•
•
they are held under a business model whose objective it is “hold to collect and sell” the associated cash flows and sell;
and
the contractual terms of the financial assets give rise to cash flows that are solely payments of principal and interest
on the principal amount outstanding.
Any gains or losses recognised in other comprehensive income (“OCI”) will be recycled upon derecognition of the asset.
Impairment of financial assets
The Company considers a broader range of information when assessing credit risk and measuring expected credit losses,
including past events, current conditions, reasonable and supportable forecasts that affect the expected collectability of
the future cash flows of the instrument.
Trade and other receivables
The Company makes use of a simplified approach in accounting for trade and other receivables and records the loss
allowance as lifetime expected credit losses. These are the expected shortfalls in contractual cash flows, considering
the potential for default at any point during the life of the financial instrument. In calculating, the Company uses its
historical experience, external indicators and forward-looking information to calculate the expected credit losses using a
provision matrix.
Classification and measurement of financial liabilities
The Company’s financial liabilities include borrowings, trade and other payables and derivative financial instruments.
Financial liabilities are initially measured at fair value, and, where applicable, adjusted for transaction costs.
Subsequently, financial liabilities are measured at amortised cost using the effective interest method.
All interest-related charges are recognised in profit or loss within finance costs, finance income or other financial items.
Fair values versus carrying amounts
The estimated fair value of financial instruments has been determined by the Company using available market
information and appropriate valuation methods. The estimates presented are not necessarily indicative of the amounts
that will ultimately be realized by the Company upon maturity or disposal. The use of different market assumptions and/or
estimation methods may have a material effect on the estimated fair value amounts. For all financial assets and liabilities,
the carrying value approximates fair value.
Financial Risk Management Overview
The Company has exposure to the following risks from its use of financial instruments:
•
•
credit risk
liquidity risk
• market risk
This note presents information about the Company’s exposure to each of the above risks, their objectives, policies and
processes for measuring and managing risk, and the management of capital including risks resulting from its investment
in fair value accounted Investment. Further quantitative disclosures are included throughout the financial report.
The Board of Directors has overall responsibility for the establishment and oversight of the risk management framework.
The Board is responsible for developing and monitoring risk management policies. The Board reviews its activities regularly.
Risk management policies are established to identify and analyse the risks faced by the Company, to set appropriate risk
limits and controls, and to monitor risks and adherence to limits. Risk management policies and systems are reviewed
regularly to reflect changes in market conditions and the Company’s activities. The Company, through its training and
management standards and procedures, aims to develop a disciplined and constructive control environment in which all
employees understand their roles and obligations.
The Company’s Board oversees how management monitors compliance with the Company’s risk management policies
and procedures and reviews the adequacy of the risk management framework in relation to the risks faced by the
Company.
6 4
CODA MINERALS LIMITED ACN 625 763 957 ANNUAL REPORT AND FINANCIAL STATEMENTS 2021 NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2021
(a) Credit Risk
Credit risk is the risk of financial loss to the Company if a customer or counterparty to a financial instrument fails
to meet its contractual obligations, and arises principally from the Company’s cash, cash equivalents and term
deposits.
Exposure to credit risk
The carrying amount of the Company’s financial assets represents the maximum credit exposure. Refer to Note 5 for
the credit management process. The Company’s maximum exposure to credit risk at the reporting date was:
Cash and cash equivalents
Other receivables
NOTE
8
30 JUNE 2021
30 JUNE 2020
$
21,787,110
103,477
$
4,192,295
68,052
The Company’s cash and cash equivalents of $21,787,110 at 30 June 2021 represent its maximum credit exposure on
these assets. The cash and cash equivalents are held with bank and financial institution counterparties, which are
rated at between A2 and A1+ from Standard & Poor’s and A from Moody’s.
None of the Company’s receivables are past due.
(b) Liquidity risk
Liquidity risk is the risk that the Company will not be able to meet its financial obligations as they fall due. The
Company’s approach to managing liquidity is to ensure, as far as possible, that it will always have sufficient liquidity
to meet its liabilities when due, under both normal and stressed conditions, without incurring unacceptable losses or
risking damage to the Company’s reputation.
The following are the contractual maturities of the Company’s financial liabilities, including estimated interest
payments and excluding the impact of netting agreements:
30 JUNE 2021
30 JUNE 2020
CARRYING
AMOUNT
6 MONTHS
OR LESS
CARRYING
AMOUNT
6 MONTHS
OR LESS
$
$
$
$
Non-derivative financial liabilities
Trade and other payables
927,299
927,299
434,517
434,517
(c) Market risk
Market risk is the risk that changes in market prices, such as foreign exchange rates, interest rates and equity prices
that will affect the Company’s income or the value of its holdings of financial instruments. The objective of market
risk management is to manage and control market risk exposures within acceptable parameters, while optimising
the return.
(d)
Interest rate risk
Exposure to interest rate risk
The Company’s exposure to interest rate risk at balance date was as follows, based on notional amounts:
Variable rate instruments
Cash and cash equivalents
30 JUNE 2021
30 JUNE 2020
$
$
21,787,110
21,787,110
4,192,295
4,192,295
At reporting date, the Company did not hold any instruments that exposed it to any material interest rate risk.
65
CODA MINERALS LIMITED ACN 625 763 957 ANNUAL REPORT AND FINANCIAL STATEMENTS 2021 NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2021
23. FINANCIAL INSTRUMENTS & FINANCIAL RISK MANAGEMENT (continued)
(e) Capital management
The Board’s policy is to maintain a strong capital base so as to maintain investor, creditor and market confidence and
to sustain future development of the business. The Company manages its capital to ensure it will be able to continue
as a going concern while maximising the return to shareholders through the optimisation of its capital structure.
Since the Company’s demerger from Gindalbie, the Board’s capital management policy remains unchanged.
The capital structure of the Company consists of issued capital, reserves and retained earnings as disclosed in Notes
18 and 19, respectively.
24. NOTES TO THE STATEMENT OF CASH FLOWS
Reconciliation of loss after income tax to net cash inflow from operating activities:
Loss for the period after income tax
Adjustments for:
Depreciation and amortisation
Employee option expense EOST
Net finance costs
30 JUNE 2021
30 JUNE 2020
$
$
(6,523,291)
(3,937,764)
122,134
83,445
(8,222)
114,603
-
(10,420)
Operating loss before changes in working capital and provisions
(6,325,934)
(3,833,582)
Decrease / (increase) in receivables
Decrease/(increase) in exploration license bonds
Decrease /(increase) in prepayments
Increase / (decrease) in trade and other payables
Increase / (decrease) in employee benefits
Net cash (used in) operating activities
129,893
-
(9,926)
624,833
31,076
(104,318)
(55,000)
(22,224)
163,731
29,884
(5,550,058)
(3,821,508)
25. RELATED PARTIES DISCLOSURES
Key management personnel (KMP) compensation
The compensation paid to the Company’s Key Management Personnel is shown below.
Employee salaries & directors’ fees
Share based payment
Staff bonuses STIP
Annual leave movement
Post-employment benefits
Non-monetary benefits
Total employee benefits expense
30 JUNE 2021
30 JUNE 2020
$
(657,029)
(83,443)
(114,712)
(9,406)
(51,929)
(3,600)
(920,119)
$
(513,661)
-
-
-
(40,429)
-
(554,090)
Detailed remuneration disclosures are provided in the remuneration report on page 26.
6 6
CODA MINERALS LIMITED ACN 625 763 957 ANNUAL REPORT AND FINANCIAL STATEMENTS 2021 NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2021
Equity holdings and transactions
The movement during the reporting period in the number of ordinary shares of Coda Minerals Limited held, directly,
indirectly, or beneficially by each key management person, including their related parties is as follows:
HELD AT
1 JULY 2020
PURCHASED OR
GRANTED AS
COMPENSATION
RECEIVED ON
EXERCISE OF
OPTIONS
SOLD OR
DISPOSED OF
HELD AT
30 JUNE 2021
Directors
Mr K F Jones
Mr P D Hallam
Mr A R Marshall
Mr C A Moorhead
Executive Director
2,370,267
4,740,534(i)
116,111
20,873
-
1,132,777(i)
208,420(i)
500,000(i)
Mr C Stevens
138,889
200,031(i)
Notes:
-
-
-
-
-
-
-
-
-
-
7,110,801
1,248,888
229,293
500,000
338,920
(i) 2/3 shares purchased under entitlement offer are subject to escrow. 4,498,928 are held in escrow until 28 October 2022
Options and rights over equity instruments
As described on page 30, on 3 July 2020, the KMP were granted 6,000,000 options over ordinary shares of the Company.
Each option exercisable at $0.2145 each expiring on 3rd July 2024 (subject to escrow until 28th October 2022.)
Number of options as at 30 June 2021
HELD AT
1 JULY 2020
PURCHASED OR
GRANTED AS
COMPENSATION
EXPIRED
DURING THE
PERIOD
CONVERTED
TO SHARES
HELD AT
30 JUNE 2021
Directors
Mr K F Jones
Mr P D Hallam
Mr A R Marshall
Mr C A Moorhead
Executive Director
Mr C Stevens
-
-
-
-
-
2,000,000
666,667
666,666
666,667
2,000,000
-
-
-
-
-
-
-
-
-
-
2,000,000
666,667
666,666
666,667
2,000,000
Transactions with other related parties
There have been no related party transactions during the reporting period.
67
CODA MINERALS LIMITED ACN 625 763 957 ANNUAL REPORT AND FINANCIAL STATEMENTS 2021 NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2021
26. SHARE BASED PAYMENTS
Accounting policy
The fair value of employee stock options is measured using an acknowledged valuation formula. Measurement inputs
include share price on measurement date, exercise price of the option, expected volatility (based on weighted average
historic volatility adjusted for changes expected due to publicly available information), expected life of the option,
expected dividends, and the risk-free interest rate (based on government bonds). Service and non-market performance
conditions attached to the option are not taken into account in determining fair value. Details in relation to the options
granted during the period, including the valuation model applied are included below.
The grant date fair value of options granted to employees is recognised as an employee expense, with a corresponding
increase in equity, over the period during which the employees become unconditionally entitled to the options. The
amount recognised as an expense is adjusted to reflect the actual number of share options that vest, except where
forfeiture is only due to share prices not achieving the threshold for vesting.
Options over Ordinary Shares
On 3 July 2020, the Company granted 6,000,000 options to key management personnel as part of the Employee Incentive
Plan. The options issued were in the form of a Premium exercise price options “PEPO”. The options carry an exercise
price of $0.2145 per option and vesting conditions requiring continued service, and the Company’s ASX listed share price
achieving the following hurdle prices of $0.23, $0.27, and $0.30 for each third of options granted. The options may be
exercised on or before 3 July 2024.
TRANCHE
A
B
C
NUMBER OF
OPTIONS
2,000,000
2,000,000
2,000,000
EXPIRY DATE
28 May 2024
28 May 2024
28 May 2024
EXERCISE
PRICE
$0.2145
$0.2145
$0.2145
VESTING CONDITION
Upon reaching a share price of $0.23
Upon reaching a share price of $0.27
Upon reaching a share price of $0.30
The options were valued using a Barrier Up and In Trinomial Option Pricing Model. The model takes into consideration that
the options can vest at any time during the performance period, given the Company’s share price meets or exceeds pre-
determined barriers.
6 8
CODA MINERALS LIMITED ACN 625 763 957 ANNUAL REPORT AND FINANCIAL STATEMENTS 2021 NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2021
The following table provides a summary of terms under which the options were issued:
ITEM
TRANCHE A
TRANCHE B
TRANCHE C
Value of underlying security
Exercise price
Share price barrier
Valuation date
Expiry date
Expiration period (years)
Volatility
Risk-free interest rate
Number of options
Valuation per option
$0.10
$0.2145
$0.230
28 May 2020
28 May 2024
4.00
100%
0.405%
2,000,000
$0.056
$0.10
$0.2145
$0.270
28 May 2020
28 May 2024
4.00
100%
0.405%
2,000,000
$0.056
$0.10
$0.2145
$0.300
28 May 2020
28 May 2024
4.00
100%
0.405%
2,000,000
$0.056
All options have the following vesting conditions:
(a) share price to reach the barrier price at any time during the options life; and
(b) continuous employment is required (unless cessation of employment is due to redundancy or illness).
Should option holders resign, the Board may at its discretion waive the vesting condition relating to the requirement to
remain a Director of the Company and allow the option holder to continue to hold the options following resignation.
The above options do not entitle the holder to participate in any potential share issue of the Company.
Shares issued on exercise of options
During the financial year, the Company has issued nil ordinary shares as a result of the exercise of options.
27. CONTINGENT ASSETS AND LIABILITIES
At the reporting date, the Company had no contingent assets or liabilities.
28. AUDITOR’S REMUNERATION
The auditor of Coda Resources Ltd is Deloitte Touche Tohmatsu.
Audit and review of financial reports
30 JUNE 2021
30 JUNE 2020
$
39,863
$
32,700
Other assurance and agreed-upon procedures under other legislation or
contractual arrangements
-
16,000
Other services - Tax consulting services
Auditor’s Remuneration
14,777
54,640
18,879
67,579
29. EVENTS SUBSEQUENT TO REPORTING DATE
Other than as set out elsewhere in this Annual Financial Report, no matters or circumstances have arisen since the end of
the financial year.
69
CODA MINERALS LIMITED ACN 625 763 957 ANNUAL REPORT AND FINANCIAL STATEMENTS 2021 NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2021
30. NEW AND AMENDED STANDARDS
The following standards and interpretations apply for the first time to financial reporting periods commencing on or after
1 January 2020. The adoption of these standards has not had a material impact on the Company’s financial statements,
and the Company has not had to make retrospective adjustments as a result of adopting these standards.
TITLE
KEY REQUIREMENTS
AASB 2018-6
Amendments to
Australian Accounting
Standards – Definition of
a Business [AASB 3]
The amended definition of a business requires an acquisition to include an input
and a substantive process that together significantly contribute to the ability to
create outputs. The definition of the term ‘outputs’ is amended to focus on goods
and services provided to customers, generating investment income and other
income, and it excludes returns in the form of lower costs and other economic
benefits.
The amendments will likely result in more acquisitions being accounted for as
asset acquisitions.
EFFECTIVE DATE
1 January 2020
AASB 2018-7
Amendments to
Australian Accounting
Standards – Definition of
Material [AASB 101 and
AASB 108]
The AASB has made amendments to AASB 101 Presentation of Financial
Statements and AASB 108 Accounting Policies, Changes in Accounting
Estimates and Errors which use a consistent definition of materiality throughout
International Financial Reporting Standards and the Conceptual Framework for
Financial Reporting, clarify when information is material and incorporate some of
the guidance in AASB 101 about immaterial information.
1 January 2020
1 January 2020
In particular, the amendments clarify:
• that the reference to obscuring information addresses situations in which the
effect is similar to omitting or misstating that information, and that an entity
assesses materiality in the context of the financial statements as a whole, and
• the meaning of ‘primary users of general purpose financial statements’ to
whom those financial statements are directed, by defining them as ‘existing and
potential investors, lenders and other
creditors’ that must rely on general purpose financial statements for much of the
financial information they need.
The AASB has issued a revised Conceptual Framework which will initially only
apply to for-profit private sector entities that have public accountability and are
required by legislation to comply with Australian Accounting Standards (AAS), and
to other for-profit entities that elect to apply it. Key changes include:
•
increasing the prominence of stewardship in the objective of financial reporting
• reinstating prudence as a component of neutrality • defining a reporting entity,
which may be a legal entity, or a portion of an entity
• revising the definitions of an asset and a liability • removing the probability
threshold for recognition and adding guidance on derecognition
• adding guidance on different measurement basis, and
• stating that profit or loss is the primary performance indicator and that, in
principle, income and expenses in other comprehensive income should be
recycled where this enhances the relevance or faithful representation of the
financial statements.
While no changes have been made to any of the current accounting standards,
entities that rely on the Framework in determining their accounting policies for
transactions, events or conditions that are not otherwise dealt with under the
accounting standards will need to apply the revised Framework from 1 January
2020 if they have public accountability and are required by legislation to comply
with AAS. These entities will need to consider whether their accounting policies
are still appropriate under the revised Framework.
The consequential changes made to other standards via AASB 2019-1 are
designed to retain the previous Framework for the Preparation and Presentation
of Financial Statements for entities that do not have yet to apply the revised
Framework. AASB 2020-2 Amendments to Australian Accounting Standards –
Removal of Special Purpose Financial Statements for Certain For-Profit Private
Sector Entities extends the application of the framework to certain other for-
profit private sector entities from 1 July 2021.
Revised Conceptual
Framework for Financial
Reporting AASB
2019-1 Amendments to
Australian Accounting
Standards – References
to the Conceptual
Framework
70
CODA MINERALS LIMITED ACN 625 763 957 ANNUAL REPORT AND FINANCIAL STATEMENTS 2021 NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2021
TITLE
KEY REQUIREMENTS
AASB 2019-5
Amendments to
Australian Accounting
Standards – Disclosure
of the Effect of New
IFRS Standards Not Yet
issued in Australia [AASB
1054]
The standard amends AASB 1054 by adding a new requirement for entities to
disclose the potential impact of IFRSs that have not yet been issued by the AASB.
This disclosure is necessary for entities that wish to state compliance with IFRS,
but not required for entities reporting under tier 2 of the reduced disclosure
regime.
The disclosure is an extension of the requirement in AASB 108 Accounting
Policies, Changes in Accounting Estimates and Errors to explain if there are
any accounting standards and interpretations which are not yet applied but are
expected to have a material effect on the entity in the current period and on
foreseeable future transactions. It applies where there are any international
standards or interpretations (or amendments thereof) that have not yet been
endorsed by the AASB at the time of the completion of the entities’ financial
statements.
EFFECTIVE DATE
1 January 2020
The following standards and interpretations have been issued but are not yet mandatory for annual reporting periods
ending on 30 June 2021. The adoption of these standards is not expected to have a material impact on the financial
statements.
TITLE
KEY REQUIREMENTS
EFFECTIVE DATE
AASB 2020-3
Amendments to
Australian Accounting
Standards – Annual
Improvements
2018–2020 and Other
Amendments [AASB 1,
AASB 3, AASB 9, AASB
116, AASB 137 & AASB 141]
The following improvements and other amendments were made in June 2020:
1 January 2022
• AASB 9 Financial Instruments – clarifies which fees should be included in the
10% test for derecognition of financial liabilities.
• AASB 16 Leases – amends the illustrative example 13 by removing the illustration
of payments from the lessor relating to leasehold improvements, to remove any
confusion about the treatment of lease incentives.
• AASB 1 First-time Adoption of International Financial Reporting Standards
– allows entities that have measured their assets and liabilities at carrying
amounts recorded in their parent’s books to also measure any cumulative
translation differences using the amounts reported by the parent. This
amendment will also apply to associates and joint ventures that have taken the
same AASB 1 exemption.
• AASB 3 Business Combinations – updates the references to the Conceptual
Framework for Financial Reporting and adds an exception for the recognition
of liabilities and contingent liabilities within the scope of AASB 137 Provisions,
Contingent Liabilities and Contingent Assets and Interpretation 21 Levies. The
amendments also confirm that contingent assets should not be recognised at
the acquisition date.
• AASB 116 Property, Plant and Equipment (PP&E) – prohibits an entity from
deducting from the cost of an item of PP&E any proceeds received from selling
items produced while the entity is preparing the asset for its intended use. It
also clarifies that an entity is ‘testing whether the asset is functioning properly’
when it assesses the technical and physical performance of the asset. The
financial performance of the asset is not relevant to this assessment. Entities
must disclose separately the amounts of proceeds and costs relating to items
produced that are not an output of the entity’s ordinary activities.
• AASB 137 – clarifies that the direct costs of fulfilling a contract include both
the incremental costs of fulfilling the contract and an allocation of other costs
directly related to fulfilling contracts. Before recognising a separate provision
for an onerous contract, the entity recognises any impairment loss that has
occurred on assets used in fulfilling the contract.
7 1
CODA MINERALS LIMITED ACN 625 763 957 ANNUAL REPORT AND FINANCIAL STATEMENTS 2021 NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2021
EFFECTIVE DATE
1 January 2023
TITLE
KEY REQUIREMENTS
The narrow-scope amendments to AASB 101 Presentation of Financial
Statements clarify that liabilities are classified as either current or non-current,
depending on the rights that exist at the end of the reporting period. Classification
is unaffected by the expectations of the entity or events after the reporting date
(eg the receipt of a waver or a breach of covenant). The amendments also clarify
what AASB 101 means when it refers to the ‘settlement’ of a liability.
The amendments could affect the classification of liabilities, particularly for
entities that previously considered management’s intentions to determine
classification and for some liabilities that can be converted into equity.
They must be applied retrospectively in accordance with the normal requirements
in AASB 108 Accounting Policies, Changes in Accounting Estimates and Errors.
AASB 2020-1
Amendments to
Australian Accounting
Standards –
Classification of
Liabilities as Current
or Non-current
[AASB 101] AASB
2020-6 Amendments
to Australian
Accounting Standards
– Classification of
Liabilities as Current or
Non-current – Deferral of
Effective Date [AASB 101]
72
CODA MINERALS LIMITED ACN 625 763 957 ANNUAL REPORT AND FINANCIAL STATEMENTS 2021 ASX ADDITIONAL INFORMATION
The following additional information is required by the Australian Securities Exchange. The information is current as at
11th October 2021.
STATEMENT ON USE OF FUNDS
Pursuant to Listing Rule 4.10.19, over the reporting period between 1 July 2020 and 30 June 2021 and to the date of this
Annual Report, the Company used its cash and assets in a form readily convertible to cash that it had at the time of
admission in a way consistent with its business objectives.
SHARES
As at 11th October 2021, there were 9,454 shareholders holding a total of 97,767,184 fully paid ordinary shares.
UNQUOTED SECURITIES
UNQUOTED SECURITY
Options exercisable at $0.2145 on or before 28 May 2024
DISTRIBUTION SCHEDULE OF SHAREHOLDERS
Ordinary Shares
HOLDING RANGES
HOLDERS
TOTAL UNITS
1 - 1,000
1,001 - 5,000
5,001 – 10,000
10,001 – 100,000
100,001 – and over
Total
Options
7,150
1,382
382
462
78
9,454
1,538,313
3,278,390
2,870,177
13,765,299
76,315,005
97,767,184
NUMBER ON ISSUE
6,000,000
% OF ISSUED
SHARE CAPITAL
1.57%
3.35%
2.94%
14.08%
78.06%
100%
HOLDING RANGES
HOLDERS
TOTAL UNITS
% OF ISSUED SHARE
CAPITAL
0
0
0
0
5
5
0
0
0
0
6,000,000
6,000,000
0.00%
0.00%
0.00%
0.00%
100.00%
100.00%
TOTAL UNITS
END OF ESCROW PERIOD
6,310,952
125,000
6,435,952
28-Oct-22
5-Dec-21
1 - 1,000
1,001 - 5,000
5,001 – 10,000
10,001 – 100,000
100,001 – and over
Total
ESCROWED SECURITIES
CATEGORY
Shares
Shares
Total
73
CODA MINERALS LIMITED ACN 625 763 957 ANNUAL REPORT AND FINANCIAL STATEMENTS 2021
ASX ADDITIONAL INFORMATION
UNMARKETABLE PARCELS
As of 11th October 2021, there were 6,305 shareholders with an unmarketable parcel of shares being a holding of less than
532 shares at a $0.94. Unmarketable parcels totalled 906,930 shares, representing a 1% of issued capital.
TOP TWENTY SHAREHOLDERS
RANK
SHAREHOLDER
NUMBER OF ORDINARY
SHARES HELD
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
ANGANG GROUP HONG KONG (HOLDINGS) LIMITED
CITICORP NOMINEES PTY LTD
MR KEITH FRANCIS JONES & MRS JENNIFER JONES
HSBC CUSTODY NOMINEES (AUSTRALIA) LIMITED
CS THIRD NOMINEES PTY LIMITED
SUNSET CAPITAL MANAGEMENT PTY LTD
UBS NOMINEES PTY LTD
LUJETA PTY LTD
MS LINLIN LI
COSSACK HOLDINGS (AUS) PTY LTD
LUJAMA PTY LTD
MR PAUL DUNCAN HALLAM & MRS CHRISTINE JOY HALLAM
GOLDNEY PTY LTD
PATHWAYS CORP INVESTMENTS PTY LTD
MRS ADRI SWIEGERS
INVIA CUSTODIAN PTY LIMITED
ONE MANAGED INVESTMENT FUNDS LIMITED
MARVEL VENTURE LIMITED
J P MORGAN NOMINEES AUSTRALIA
20
MR ANDREW RHYS JACKSON
Total
SUBSTANTIAL SHAREHOLDERS
11,899,834
10,345,899
7,110,801
6,200,100
4,133,126
4,078,698
3,553,176
3,169,801
1,876,936
1,800,000
1,500,000
1,248,888
1,000,000
1,000,000
783,205
756,592
704,333
633,334
586,965
575,000
%IC
12.17
10.58
7.27
6.34
4.23
4.17
3.63
3.24
1.92
1.84
1.53
1.28
1.02
1.02
0.80
0.77
0.72
0.65
0.60
0.59
64.39%
Substantial shareholders in Coda Minerals Ltd and the number of equity securities over which the substantial shareholder
has a relevant interest as disclosed in substantial holding notices provided to the Company are listed below:
SHAREHOLDER NAME
REGAL FUNDS MANAGEMENT PTY LTD
MR KEITH FRANCIS JONES & MRS JENNIFER JONES
SPROTT INC.
VOTING RIGHTS
ORDINARY
SHARES HELD
% ORDINARY
SHARES HELD
DATE OF NOTICE
7,203,141
7,110,801
5,207,100
7.37%
7.27%
5.33%
30-Jun-21
2-Nov-21
12-Aug-21
All fully paid ordinary shares carry one vote per share without restriction. Unquoted options have no voting rights.
74
CODA MINERALS LIMITED ACN 625 763 957 ANNUAL REPORT AND FINANCIAL STATEMENTS 2021
ASX ADDITIONAL INFORMATION
MINING TENURE SUMMARY
As at 11th October 2021, Coda owns an interest in three exploration tenements which collectively make up the Elizabeth
Creek Copper-Cobalt (formerly Mt Gunson) Project. The Elizabeth Creek Copper-Cobalt Project is located 135km north-
west of Port Augusta in South Australia.
TENEMENT
REGISTERED HOLDER / APPLICANT
% HELD
GRANT DATE
EXPIRY DATE
AREA
EL 6518
(formerly EL 5636)
EL 6141
(formerly EL 5108)
EL 6265
(formerly EL 5333)
Coda Minerals Ltd
(ACN 625 763 957)
Terrace Mining Pty Ltd
(ACN 161 377 340)
Coda Minerals Ltd
(ACN 625 763 957)
Terrace Mining Pty Ltd
(ACN 161 377 340)
Coda Minerals Ltd
(ACN 625 763 957)
Terrace Mining Pty Ltd
(ACN 161 377 340)
70%
30%
70%
30%
70%
30%
25 March 2015
24 March 2022
363 km2
29 October 2017
28 October 2022
47 km2
7 October 2018
6 October 2023
291 km2
On 22 January 2021 Coda announced that it had increased its holding to 70% in the Elizabeth Creek Copper Cobalt Project
as a result of satisfaction of the Stage 3 Earning Obligation under the Farm-in and Joint Venture Agreement with Terrace
Mining Pty Ltd. As a result of Coda reaching the Stage 3 Earning Obligation, Terrace has granted Coda an irrevocable
option to acquire an additional 5% interest in the Project for a payment of A$1.5M.
On 22 March 2021 the Company announced that it had secured an addition to its portfolio of Australian copper exploration
projects after entering into a Farmin and Joint Venture Agreement over the highly prospective Cameron River Project,
located in the heart of the world class Mt Isa mineral province in North Queensland. Coda entered into a binding Farm-
in and Joint Venture Agreement with Wilgus Investments Pty Ltd (“Wilgus”) giving it the right to acquire up to an 80%
ownership in the Cameron River project (“Cameron River”) near Mt Isa in Queensland by spending up to $2 million on
exploration in stages over a three-year period.
MINERAL RESOURCE AND ORE RESERVE STATEMENT
In accordance with ASX Listing Rule 5.21, the Company reviews and reports its Mineral Resources and Ore Reserves at
least annually. The date of reporting is 30 June each year, to coincide with the Company’s end of financial year balance
date. If there are any material changes to its Mineral Resources or Ore Reserves over the course of the year, the Company
is required to promptly report these changes.
75
CODA MINERALS LIMITED ACN 625 763 957 ANNUAL REPORT AND FINANCIAL STATEMENTS 2021 ASX ADDITIONAL INFORMATION
MINERAL RESOURCE SUMMARY
The Windabout and MG14 Cu-Co-Ag deposits are located in the Mt Gunson district of South Australia on EL 6518. The
Windabout and MG14 Mineral Resources (the resources) are classified and reported according to the guidelines of the
2012 edition of the JORC Code below.
Windabout Indicated Resource
CU_EQ > 0.5% CUTOFF
CU_EQ > 1.0% CUTOFF
MT
17.67
CU %
0.77
CO PPM
AG G/T
CU_EQ %
492
8
1.41
MT
11.86
CU %
0.95
CO PPM
AG G/T
CU_EQ %
599
10
1.73
MG14 Indicated Resource
CU_EQ > 0.5% CUTOFF
CU_EQ > 1.0% CUTOFF
MT
1.83
CU %
1.24
CO PPM
AG G/T
CU_EQ %
334
14
1.67
MT
1.59
CU %
1.33
CO PPM
AG G/T
CU_EQ %
360
15
1.8
Classification of the Windabout and MG14 deposits takes into account data quality and distribution, spatial continuity,
confidence in the geological interpretation and estimation confidence. Because of the high confidence in the simple
geological model, grade continuity, drill hole spacing and data integrity, both the MG14 and Windabout resources have
been classified as Indicated Resource. The deposit was not classified as a Measured Resource due to the heavy reliance
on historic data without QAQC reports, and the apparent negative bias between historic and recent drilling data sets.
The resources are reported at a 0.5 and 1.0% Cu equivalent cut offs to provide a range of resource figures for financial
analysis and mineral reserve estimation. A Cu equivalent has been used to reflect, in Coda Minerals’ and Torrens Mining’s
belief is the value of recoverable and salable Cu and Co in the resource. Ag also has the potential to add significant value
to the project, however Ag analyses in the estimation and metallurgical test work are as yet insufficient to include in a
metal equivalent calculation.
The estimation was validated by visually checking the interpolation results against drill hole data in plan and section,
comparing input and output statistics and comparing with previous estimates. The estimate is considered to be robust
on the basis of the above checks.
Both deposits contain zones of higher copper and cobalt grades and the deposits may be amenable to mining at higher
cutoff grades.
COMPETENT PERSON AND JORC CODE
This resource was prepared in accordance with the 2012 Edition of the ‘Australasian Code for Reporting of Exploration
Results, Mineral Resources and Ore Reserves’ (“JORC Code”) by Tim Callaghan, who is a Member of the Australian Institute
of Mining and Metallurgy (“AusIMM”), has a minimum of five years’ experience in the estimation and assessment and
evaluation of Mineral Resources of this style and is the competent Person as defined in the JORC Code. This report
accurately summarises and fairly reports his estimations and he has consented to the resource report in the form and
context it appears.
ORE RESERVE SUMMARY
At this time, Coda has no interest in any Mineral Reserves.
76
CODA MINERALS LIMITED ACN 625 763 957 ANNUAL REPORT AND FINANCIAL STATEMENTS 2021 CORPORATE DIRECTORY
DIRECTORS:
Keith Francis Jones – Non-Executive Chairperson
Andrew Marshall – Non-Executive Director
Colin Moorhead – Non-Executive Director
Paul Hallam – Non-Executive Director
Chris Stevens – Chief Executive Officer
COMPANY SECRETARY:
Susan Park
REGISTERED AND CORPORATE OFFICE
6 Altona Street
West Perth
Western Australia, 6005
Telephone: (08) 6270 6331
Email: info@codaminerals.com
SHARE REGISTRY
Link Market Services Limited
Postal Address: Locked Bag A14, Sydney South NSW 1235
Perth Office: Level 12, QV1 Building, 250 St Georges Terrace,
Perth WA 6000
Phone: (08) 9211 6670
www.linkmarketservices.com.au
AUDITORS
Deloitte Touche Tohmatsu
Tower 2, Brookfield Place
123 St Georges Terrace, Perth WA 6000
STOCK EXCHANGE LISTINGS
ASX:COD
WEBSITE
www.codaminerals.com
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CODA MINERALS LIMITED ACN 625 763 957 ANNUAL REPORT AND FINANCIAL STATEMENTS 2021 78
CODA MINERALS LIMITED ACN 625 763 957 ANNUAL REPORT AND FINANCIAL STATEMENTS 2021 79
CODA MINERALS LIMITED ACN 625 763 957 ANNUAL REPORT AND FINANCIAL STATEMENTS 2021 CODAMINERALS.COM
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CODA MINERALS LIMITED ACN 625 763 957 ANNUAL REPORT AND FINANCIAL STATEMENTS 2021