2020
AN NUAL REP ORT
CORPORATE
DIRECTORY
DIRECTORS &
COMPANY SECRETARY
Mr Wayne Trumble
Non-Executive Chairman
Mr Alasdair Cooke
Executive Director
Mr Richard Monti
Non-Executive Director
Mr Steve Abbott
Managing Director
Mr Alexander Sundich
Non-Executive Director
Mr Daniel Davis
Company Secretary
REGISTERED
& PRINCIPAL OFFICE
Suite 1, 245 Churchill Avenue
Subiaco 6008
Western Australia
Telephone: +61 8 9426 6400
Facsimile: +61 8 9426 6448
Internet: caravelminerals.com.au
SHARE REGISTER
Automic Group
Level 2, 267 St Georges Terrace
Perth 6000
Western Australia
Telephone: 1300 288 664
Internet: automicgroup.com.au
SECURITIES
EXCHANGE LISTING
Australian Securities
Exchange Limited
Home Branch – Perth
Level 40, Central Park
152-158 St George’s Terrace
Perth 6000
Western Australia
ASX CODE
CVV
Fully paid ordinary shares
SOLICITORS
Jackson McDonald
17/225 St Georges Terrace,
Perth WA 6000
AUDITOR
BDO Audit (WA) Pty Ltd
38 Station Street
Subiaco 6008
Western Australia
2
TABLE OF
CONTENTS
Managing Director's Report
Report on Activities
Financial Report
Director’s Report
Auditor’s Independence Declaration
Consolidated Statement of Profit or
Loss and Other Comprehensive Income
Consolidated Statement
of Financial Position
Consolidated Statement
of Changes in Equity
Consolidated Statement of Cash Flows
Note to the Consolidated
Financial Statements
Directors’ Declaration
Independent Auditor’s Report
ASX Additional Information
1
2
8
9
17
18
19
20
21
22
38
39
43
MANAGING
DIRECTOR’S
REPORT
I am pleased to report on our activities for what has
been an active year for Caravel Minerals.
Towards the end of the previous financial year Caravel
released an updated Scoping Study for the Caravel
Copper Project. The Study demonstrated robust
economics for the project and the upgraded mineral
resource, which is now Western Australia’s largest copper
resource at 1.86Mt of contained Cu. This was a significant
milestone for the Caravel Copper Project and the team
that has formed to advance the project and deliver on
our goals as an explorer and developer. Since discovery
of the Bindi deposit in 2009, Caravel has made significant
progress in growing the Project’s copper resources and
advancing the project to a development decision.
Throughout the course of this year, the Company has
received considerable interest from and actively engaged
with various parties as we seek a cornerstone investor
to assist Caravel advance to the next level of project
feasibility and ultimately develop the Project. The large
scale of the Project and required capital expenditure
make this an important option for Caravel to explore
as part of the Project development plans. Interested
parties have ranged from investment houses assessing
acquisitions in strategic copper projects to large
copper producers familiar with the large porphyry-style
deposits around the world similar to Caravel’s project.
Whilst a suitable agreement has not yet been reached
the discussions are progressing and I’d like to take this
opportunity to sincerely thank all of the parties for their
interest so far.
Early in 2020 the company progressed a number of
greenfields exploration opportunity assessments both
within our own tenements and elsewhere within Western
Australia. This strategy was initiated by a review of the
Company’s proprietary regional geochemical datasets
with along with recent regional geophysical data and
identified a number of high-potential anomalous
areas. The timing of this analysis fortunately preceded
a significant new nickel-copper-PGM (platinum group
minerals) discovery at Julimar, 60km south west of the
Caravel project. The Julimar discovery highlighted
the exploration potential of the South West Yilgarn
Terrane and has attracted significant new interest in the
area from other exploration companies and investors.
Caravel secured it’s key prospects ahead of this this new
interest and now holds a strategic mineral title position
in the region with extensive holdings over the Caravel
porphyry copper belt and it’s northern extensions as
well as a number of other promising copper and nickel
prospects.
In August of this year the Company raised $2.15M through
a share placement and Share Purchase Plan, both at 4c
per share. The funds raised will be used to undertake
exploration activities across Caravel’s projects, in
particular targeting higher grade ores at the Ninan,
Dasher and Opie areas within the Caravel Copper Project.
Work on the new exploration areas will commence over
the summer as access becomes available.
In early 2020 the copper price declined to its lowest
levels since 2016 reaching a price of US$2.20/lb. This
resulted in downward pressure on share values for all
copper development companies including Caravel. Since
then the copper price has been steadily increasing to
levels above US$3/lb with many analysts forecasting
tighter supply and increasing demand supporting further
copper price increases. This has led to renewed investor
interest in copper development projects such as Caravel
as our value is highly leveraged to the copper price. If
the current price trend continues this will allow Caravel
to secure new funding on much better terms than has
been possible to date.
Western Australia is now the number one ranked region
in the Fraser Investment Attractiveness Index which
occurred prior to recent travel restrictions, making
locally based projects even more attractive. With
increasing copper prices, excellent location and a
shortage of long-life quality copper projects globally
the potential of the Caravel Copper Project has gained
considerable recognition in recent months.
With our quality assets and future growth prospects
Caravel is in a great position to deliver value for
shareholders into next year and beyond. I would like to
thank the shareholders for their ongoing support as we
look forward to an exciting and encouraging year ahead.
Steve Abbott
Managing Director
1
ANNUAL REPORT 2020CARAVEL MINERALS
REPORT ON
ACTIVITIES
Caravel Copper Project Update
The Caravel Copper Project located just 150kms north
east of Perth, Western Australia is one of the largest
undeveloped copper projects in Western Australia.
The Project is underpinned by a Mineral Resource (at a
0.15% cut-off) of 662 million tonnes at 0.28% Cu, for 1.86
million tonnes of contained Cu and is shown in Table 1.
Caravel Copper Project1 Mineral Resource
(using 0.15% Cu cut-off).
CATEGORY
Measured
Indicated
Inferred
Total
Mt
-
393.4
268.6
661.9
Cu (%) Mo (ppm) Cu (T)
-
0.29
0.27
0.28
-
57
52
55
-
1,128,800
734,000
1,862,800
Note – appropriate rounding applied
Caravel Copper Project1 Combined Mineral Resource
at Various Cu Cut-off Grades.
Cu Cut-Off (%)
Mt
Cu (%) Mo (ppm)
Cu (T)
0.15
0.20
0.25
0.30
661.9
488.5
372.1
248.5
0.28
0.32
0.35
0.39
55
63
69
77
1,862,800
1,563,600
1,301,600
962,200
Note – appropriate rounding applied
Table 1: Caravel Copper Project Mineral Resource
The Mineral Resource was the basis of the Scoping Study
issued in May 2019.
The mining studies on the Bindi and Dasher deposits for
the Scoping Study assumed traditional open-pit mining
with all mining activities to be performed by a mining
contractor.
Pit optimisations were carried out to identify and
quantify potential mining inventories within optimal
pit shells. The mine production scheduling generated
a practical, realistically achievable schedule which
maximises value within the applied constraints.
Metallurgical test work undertaken on composite
samples from the diamond drilling campaigns,
demonstrates the copper mineralisation can be
processed utilising standard sulphide flotation methods,
at a relatively coarse grain size with very high recoveries
and low reagent consumption.2
1 Caravel Copper Project Mineral Resource which was prepared in accordance with the requirements of the JORC Code (2012). This information
was included in the Company’s previous announcement as follows: ASX announcement dated 29 April 2019 Caravel Copper Resource and
Project Update. Refer to Competent Person Statements on page 44.
2 See ASX announcements 18 February 2019 and 29 April 2019
2
CARAVEL MINERALSANNUAL REPORT 2020
Legend (Cu%)
0.11-0.20%
0.20-0.30%
0.30-0.50%
>0.50%
Bindi West
Figure 1: Bindi Deposit optimised starter pit shells (blue) and final pit shell (purple)
Bindi Hinge
Bindi East
3
ANNUAL REPORT 2020CARAVEL MINERALS Ro Grade Recovery Curves CV02 (18CADD002 Master Composite)
%
e
d
a
r
G
u
C
30.0
25.0
20.0
15.0
10.0
5.0
0.0
CT5768 3418A 106μm
CT5805 3418A 106μm
CT5769 3418A 150μm
CT5785 A3894 106μm
CT5786 SEX 106μm
CT5818 No Reagents in Mill 150μm
70
80
90
100
Recovery %
Figure 2: : Example of rougher recoveries from CV02 Master Composite
The process design work carried out to treat the ore
resulted in a standard crush, grind (HPGR and ball mills),
and flotation flowsheet for the production of a copper
concentrate (separate molybdenum concentrate) for
export.
Initial copper concentrate analyses indicates the plant
can produce a very clean copper concentrate with low
level impurities which is likely to be attractive to copper
smelters.
Arsenic (As) is one key impurity element that is
undesirable to smelters and is increasingly being seen
in high concentration in many copper concentrates.
Penalties for As usually start above 0.1-0.2% and
concentrates >0.5% are not permitted to be imported to
some countries.
Caravel copper concentrate levels for arsenic are
<0.01%, at least ten times lower than the threshold level
penalties that would apply, making it ideal for blending.
Other impurities such as Cadmium (Cd), Selenium (Se),
Antimony (Sb) and Lead (Pb) are similarly an order of
magnitude or more under the typical threshold limits for
smelters.
Caravel Minerals has briefed or communicated with a
range of government, non-government and community
stakeholders as part of the project definition studies.
The next stage of the project will be to complete a
Pre-Feasibility Study (PFS) addressing the technical,
social, environmental and economic aspects of the
project to reduce the risk factors and increase confidence
in the project.
The company has engaged and continues to discuss the
project with a number of potential strategic investors
who have expressed an interest in the project.
Element
Cu (%)
Ag (ppm)
As (%)
Au (ppm)
Bi (%)
Cd (ppm)
Cl (%)
F (ppm)
Caravel Copper
Concentrate¹
~25%
118.0
<0.01
~2
0.01
<5
<0.01
200
Element
Fe (%)
Hg (ppm)
Pb (%)
Mo (ppm)
S (%)
Sb (ppm)
Se (ppm)
Zn (%)
Caravel Copper
Concentrate¹
26.5
0.5
<0.01
65.0
29.3
0.70
40.0
0.20
The project is in an enviable position of being located
adjacent to significant infrastructure such as roads
and power and with the option of exporting through
Geraldton or Bunbury ports.
Table 2: Copper Concentrate Analyses Results
1 This information was prepared in accordance with the JORC Code
(2012) and included in the Company's ASX announcement "Caravel
Copper Project Initial Copper Concentrate Analyses' dated 18 June 2019
which can be found at www.caravelminerals.com.au
4
CARAVEL MINERALSANNUAL REPORT 2020
ANNUAL REPORT 2020
HAUL TRUCK
GYRATOR
CRUSHER
SECONDARY
SCREEN x 2
CRUSHED ORE
STOCKPILE
COPPER ROUGHER
FLOTATION (2x6)
CONDITIONER
CYCLONE
CLUSTER
FEED
HOPPER
HPGR x 2
FLAKE
DISINTEGRATOR
HPGR PRIMARY
SCREEN x 2
HPGR SECONDERY
SCREEN x 2
CYCLONE
CLUSTER
COPPER 2nd CLEANERS
COPPER CLEANERS
REGRIND
BALL MILL
COPPER 3rd CLEANERS
COPPER SCAVENGERS
CYCLONE CLUSTER
FEED HOPPER
CONDITIONER
TAILINGS STORAGE FACILITY
Figure 3: Process plant flowsheet
TAILS
THICKENER
POTENTIAL MO CIRCUIT
ROUGHER FLOTATION
CONDITIONING TANKS (2)
1st, 2nd, 3rd AND 4TH CLEANERS
1st AND 2nd COLUMN FLOTATION
FINAL Mo CON THICKENER
SURGE TANK
Mo FILTER
MO DRYER AND COOLER
BAGGED Mo
FINAL COPPER CON THICKENER
COPPER
CONCENTRATE
FILTER
COPPER
CONCENTRATE
THICKENER
BOREFIELD
COPPER
CONCENTRATE
PROCESS WATER POND
5
CARAVEL MINERALS
The geochemical database, in conjunction with Caravel’s
geological interpretation of the region and models for
surface expressions of mineralisation zones based on
the Caravel deposits, have been used to identify other
areas of interest within the South West Terrane. These
include the Dalwallinu, Brookton, Congelin, Moodiarrup
and Toolbrunup projects (Figure 4).
Subject to granting of exploration licences and obtaining
land access consent, the Company intends to progress
an exploration program on all the new project areas.
This will typically involve a combination of geological
mapping and geochemical sampling programs to test
the regolith over target zones, ground or airborne
geophysical surveys and follow up drilling to evaluate
targets.
Figure 4: Location map of the Caravel Minerals Ltd exploration
and development projects in the South West Terrain of the Yilgarn
Block, overlaid on regional gravity imagery.
Exploration
During the year Caravel continued its program of
brownfield exploration at the Caravel Copper Project
in support of further feasibility studies. The Project’s
Scoping Study (May 2019) identified potentially large
upside from the addition of a relatively small increase
in higher grade resources (+30Mt at >0.5% Cu) into the
proposed early mining schedule. The Company has
identified a number of target areas close to existing
resources and planned infrastructure that will be tested
with further drilling, in particular at the Ninan Prospect.
The Company has also identified that there are numerous
mineralised targets throughout the 30km mineralised
trend at the Caravel Copper Project which have not
been sufficiently tested with drilling. Of the 2,208 holes
completed at the Project, most are shallow aircore holes
and only 306 are greater than 100m depth. There are
numerous unexplained mineralised intersections and
the Company has opportunities to discover additional
resources and is evaluating further drilling programs.
Caravel has undertaken an evaluation of new target
areas for copper, gold and nickel mineralisation in the
prospective South West Terrane of the Yilgarn Block.
Caravel has subsequently secured additional mineral
exploration licences and licence applications over
several new areas of interest (Figure 4).
The mineral potential of the South West Yilgarn Block
has been highlighted by the recent high-grade Pd-Ni-Cu
discovery at the Julimar Prospect by Chalice Gold Mines
Ltd. The Julimar discovery, located approximately 60km
to the southwest of the Caravel Copper Project, has
shown that significant mineralisation can be concealed
below the surface weathering zone with no surface
indications except subtle geochemical responses. The
Caravel copper deposits were discovered in 2010 by the
same process of surface sampling and identification of
low level anomalous geochemical responses.
Caravel owns the most comprehensive database of
surface geochemical samples over the South West Yilgarn
Block, comprising approximately 250,000 samples. Of
these, over 100,000 samples have been collected by
Caravel and its predecessor Dominion Mining.
6
CARAVEL MINERALSANNUAL REPORT 2020
Project
Calingiri
Dalwallinu
Toolbrunup
Brookton
Congelin
Moodiarrup
Tenement
E 70/2788
E 70/2789
E 70/3674
E 70/3680
E 70/4732
E 70/5228
E 70/5229
R 70/0060
E 70/5400
E 70/5417
E 70/5511
E 70/5512
E 70/5462
E 70/5506
E 70/5542
E 70/5596
Status
Date Granted
Date Expires
Interest
Live
Live
Live
Live
Live
Live
Live
Live
Live
Live
Pending
Pending
Pending
Pending
Pending
Pending
6/03/2007
5/03/2021
11/08/2006
10/08/2020*
15/11/2010
23/11/2009
11/08/2015
6/11/2019
6/11/2019
17/01/2020
3/06/2020
9/07/2020
-
-
-
-
-
-
14/11/2020
22/11/2021
10/08/2020*
5/11/2024
5/11/2024
16/01/2023
2/06/2025
8/07/2025
-
-
-
-
-
-
100%
100%
100%
100%
100%
100%
100%
80%
100%
100%
-
-
-
-
-
-
*Application for Extension of Term submitted to DMIRS
Table 3: Tenement schedule as at 17 September 2020
CARAVEL MINERALS
7
ANNUAL REPORT 2020 FINANCIAL REPORT
3 0 J UNE 2020
8
CARAVEL MINERALS
ANNUAL REPORT 2020
Directors’ Report
Director's Report
30 June 2020
30 June 2020
The Directors of Caravel Minerals Limited (the “Company” or “Caravel”) present their report on the consolidated entity (the
“Group”) consisting of Caravel Minerals Limited and its subsidiaries for the year ended 30 June 2020.
Directors
Qualifications, Experience and Special Responsibilities of Directors
Wayne Trumble - Chairman
Mr Trumble is a senior executive with 35 years of specific industry expertise in mining, electricity, investment and construction. Mr
Trumble is currently employed as energy manager for Newmont Mining energy subsidiary Newmont Power Pty Ltd managing the
supply of energy to the KCGM mining operations in Kalgoorlie.
For the twelve years to 2013, Mr Trumble was the Executive General Manager of Griffin Power Pty Ltd, reporting to the Board of
the Griffin Group, where he led Griffin’s move from fuel supplier to electricity generator. Mr Trumble led the team responsible for
preparation of strategy and the development, execution and operation of Griffin’s $1.2 billion Bluewaters coal fired project,
providing 436 MW of base load power in Western Australia.
Other current directorships
None
Special responsibilities
Chairman
Former directorships in the last three years
African Energy Resources Ltd
Interests in shares and options
500,000 options
Stephen Abbott - Managing Director
A highly regarded mining executive with more than 25 years’ experience in senior international and resource sector roles. Mr
Abbott has proven technical and management experience at senior levels across exploration, mining, processing, metallurgy,
maintenance, smelting, refining, infrastructure, approvals and stakeholder engagement.
Prior to Caravel, Mr Abbott worked as General Manager Iron Ore and Industrial Minerals for BC Iron and General Manager Business
Development for Gindalbie Minerals.
Earlier in his career, Mr Abbott spent eight years at Western Mining Corporation where he held various mechanical engineer and
metallurgist roles culminating in a period as smelter superintendent at Olympic Dam.
Mr Abbott holds a Bachelor of Engineering from Curtin University of Technology as well as a Post Graduate Diploma in Metallurgy
and he attained an MBA from La Trobe University. He completed a diploma at Australian Institute of Company Directors.
Other current directorships
Nil
Special responsibilities
Managing Director
Former directorships in the last three years
None
Interests in shares and options
957,144 shares
8,000,000 options
Alasdair Cooke - Executive Director
Alasdair Cooke has over 30-years of experience in the mining
industry with over 15 years managing public resource
companies. Alasdair is a qualified geologist with a track record of successful exploration and project development. He is a founding
partner of Perth-based investment and technical services company Mitchell River Group (MRG). MRG has established a number
of successful mining projects including greenfield mines in Australia, Africa and South America. Mr Cooke is also the Chairman of
African Energy Resources and a Director of EVE Investments and Anova Metals.
Alasdair is a substantial shareholder of Caravel Minerals.
Other current directorships
EVE Investments Limited
African Energy Resources Ltd
Special responsibilities
Executive Director
Former directorships in the last three years
Anova Metals Limited (retired 8 May 2020)
Interests in shares and options
22,676,358 shares
4,730,000 options
Financial Report 2020
CARAVEL MINERALS
2
Caravel Minerals Limited
9
Directors’ Report
Director's Report
30 June 2020
30 June 2020
Alexander Sundich - Non-Executive Director
Alex Sundich has over 30-years experience in the financial services industry and has been an independent corporate advisor and
company director since 2008, focusing on clients in the mining industry.
Other current directorships
Petrel Energy Limited - Chairman
Ellex Medical Limited
Former directorships in the last three years
Special responsibilities
Nil
Interests in shares and options
2,000,000 shares
500,000 options
Daniel Davis – CFO and Company Secretary
Daniel is a qualified accountant who has fifteen years-experience in senior accounting and corporate roles for resources businesses
in all stages from exploration to development, construction and mining. He has been company secretary of ASX-listed companies
African Energy Resources, Albidon and Energy Ventures (now EVE Investments) in the past ten years.
Principal Activities
The principal activities of the group during the financial year were the exploration of mineral tenements in Western Australia
(“WA”).
Dividends
No dividends have been declared, provided for or paid in respect of the year ended 30 June 2020 (30 June 2019: nil)
Corporate and Financial Position
The group’s net loss from operations for the year was $1,118,461 (2019: $3,211,611).
At 30 June 2020, the group had net current assets of $169,317 (2019: $443,821). Subsequent to year end, the Company completed
a $2.15M capital raising (before costs) by the issue of 53.75M shares at 4 cents per share. The Directors believe there are sufficient
funds to meet the Group’s working capital requirements and as at the date of this report the Group believes it can meet all liabilities
as and when they fall due.
This report is prepared on the going concern basis which assumes the continuity of normal business activity and the realisation of
assets and settlement of liabilities in the normal course of business.
The Directors have reviewed the business outlook and the assets and liabilities of the Group and are of the opinion that the going
concern basis of accounting is appropriate as they believe the Group will continue to be successful in securing additional funds
through equity issues as and when the need to raise funds arises.
Business Strategies and Prospects
The group currently has the following business strategies and prospects over the medium to long term:
Seek to maximise the value of the group through successful exploration activities;
(i)
(ii) Develop the Caravel Copper Project;
(iii) Selectively expand the group’s portfolio of exploration assets; and
(iv) Examine other new business development opportunities in the mining and resources sector.
Significant Changes in the State of Affairs
Nil
Matters subsequent to the end of the financial year
The Company completed a $2.15M capital raising (before costs) by the issue of 53.75M shares at 4 cents per share.
Mr Richard Monti was appointed to the board as non-executive Director on 18 August 2020. The Caravel board has resolved to
issue 500,000 options exercisable at 8 cents and expiring 30 September 2022 to Mr Monti. Furthermore, Caravel has engaged Mr
Monti to provide services as part of Caravel’s exploration committee which is responsible for the ongoing review of exploration
results and formulation of exploration strategy. It is expected that this initial 12-month role will take an average 2-days per month.
Mr Monti’s remuneration for Consulting Services will be payable in Options. A maximum of 1,800,000 Options will be issued to Mr
Monti for Consulting Services over the next 12 months. The issue of Options to Mr Monti is subject to shareholder approval.
The impact of the Coronavirus (COVID-19) pandemic is ongoing and while it has not significantly impacted the entity up to 30 June
2020, it is not practicable to estimate the potential impact, positive or negative, after the reporting date. The situation is rapidly
developing and is dependent on measures imposed by the Australian Government and other countries, such as maintaining social
distancing requirements, quarantine, travel restrictions and any economic stimulus that may be provided.
Financial Report 2020
Caravel Minerals Limited
3
10
CARAVEL MINERALSANNUAL REPORT 2020 Directors’ Report
Director's Report
30 June 2020
30 June 2020
At a general meeting of shareholders held on 11 September 2020, shareholders approved the issue of 2,500,000 placement shares
at 4 cents per share and the issue of 2,730,000 options to Alasdair Cooke under the Company's Employee Incentive Scheme.
No other matter or circumstance has arisen since 30 June 2020 that has significantly affected, or may significantly affect the entity's
operations, the results of those operations, or the entity's state of affairs in future financial years.
Environmental Regulation and Performance
The group’s operations are subject to various environmental laws and regulations under the relevant government’s legislation. Full
compliance with these laws and regulations is regarded as a minimum standard for all operations to achieve.
Instances of environmental non-compliance by an operation are identified either by external compliance audits or inspections by
relevant government authorities. There have been no significant known breaches by the group during the financial period.
Likely Developments and Expected Results
It is the Board's current intention that the group will seek to progress exploration on current projects. The group will also continue
to examine new opportunities in the mining and resources sector where appropriate.
These activities are inherently risky and there can be no certainty that the group will be able to successfully achieve the objectives.
Greenhouse Gas and Energy Data Reporting Requirements
The Directors have considered compliance with the National Greenhouse and Energy Reporting Act 2007 which requires entities to
report annual greenhouse gas emissions and energy use. The directors have assessed that there are no current reporting
requirements, but may be required to do so in the future.
Meetings of Directors
The following table sets out the number of meetings of the Company's directors held during the year ended 30 June 2020, and the
number of meetings attended by each director.
Wayne Trumble
Alexander Sundich
Stephen Abbott
Alasdair Cooke
Insurance of Officers and Auditors
Board Meetings
Number Eligible
to attend
7
Board Meetings
Number
attended
7
7
7
7
7
7
7
During or since the end of the financial year the Company has given an indemnity or entered into an agreement to indemnify, or
paid or agreed to pay insurance premiums as follows:
The Company has paid premiums to insure each of the directors against liabilities for costs and expenses incurred by them in
defending any legal proceedings arising out of their conduct while acting in the capacity of director of the Company, other than
conduct involving a wilful breach of duty in relation to the Company. The amount of the premium is $10,500 (2019: $9,766) exclusive
of GST.
Share Options on Issue at the Date of this Report
Unissued shares
At the date of this report, the unissued ordinary shares of Caravel Minerals Limited under option are as follows:
Unquoted (exercise price $0.08 and expiry date 30 September 2021)
Unquoted (exercise price $0.08 and expiry date 30 June 2022)
Total existing Options
16,900,000
4,465,100
21,365,100
Option holders do not have any right, by virtue of the option, to participate in any share issue of the Company or any related body
corporate.
Shares issued as a result of the exercise of options
During the financial year, employees and executives did not exercise any options to acquire ordinary shares.
Financial Report 2020
4
Caravel Minerals Limited
11
ANNUAL REPORT 2020CARAVEL MINERALS Directors’ Report
Director's Report
30 June 2020
30 June 2020
Non-Audit Services
There were no non-audit services provided during the year by the auditor, BDO Audit (WA) Pty Ltd.
Auditor’s Independence Declaration
The auditor’s independence declaration is on page 17 of the Annual Report.
Remuneration Report
(Audited)
This Remuneration Report outlines the director and executive remuneration arrangements of the Company in accordance with the
requirements of the Corporations Act 2001 and its Regulations. For the purposes of this report Key Management Personnel (KMP)
of the Group are defined as those persons having the authority and responsibility for planning, directing and controlling the major
activities of the Group, directly or indirectly, including any director (whether executive or otherwise) of the Group. Based on this
definition the KMP of Caravel Minerals Limited are the directors of the Company.
Details of Key Management Personnel
Directors
Wayne Trumble
Stephen Abbott
Alasdair Cooke
Alexander Sundich
Non-Executive Chairman
Managing Director
Executive Director
Non-Executive Director
The only change in KMP after the reporting date and before the date the annual financial report was authorised for issue was the
appointment of Richard Monti as non-executive Director on 18 August 2020.
Remuneration Philosophy
The performance of the Company depends upon the quality of its Directors and Executives. To prosper, the Company must attract,
motivate and retain highly skilled Directors and Executives.
To this end, the Company embodies the following principles in its remuneration framework:
•
•
Provide competitive rewards to attract high calibre executives; and
Link executive rewards to shareholder value.
Due to the early stage of development which the Company is in, shareholder wealth is directly affected by the Company share price,
as the Company is not in a position to pay dividends. By remunerating Directors and Executives in part by share based payments,
the Company aims to align the interests of Directors and Executives with Shareholder wealth, thus providing individual incentive to
perform and thereby improving overall Company performance and associated value.
As the Company has been incorporated since June 2006 and remains in the development stage of an inherently risky industry, the
remuneration policy does not currently take into account current or prior year earnings. Other than share based payments made
to the directors from time to time, there is no specific link to the Company’s performance and directors’ remuneration.
Remuneration structure
In accordance with best practice corporate governance, the structure of non-executive director and executive remuneration is
separate and distinct.
Non-executive director remuneration
Objective
The Board seeks to set aggregate remuneration at a level which provides the Company with the ability to attract and retain directors
to the highest calibre, whilst incurring a cost which is acceptable to shareholders.
Structure
The Constitution and the ASX Listing Rules specify that the aggregate directors' fees payable to non-executive directors shall be
determined from time to time by a general meeting. An amount not exceeding the amount determined is then divided between
the directors as agreed. Shareholders’ have approved aggregate directors' fees payable of $300,000 per year.
Financial Report 2020
5
Caravel Minerals Limited
12
CARAVEL MINERALSANNUAL REPORT 2020 Directors’ Report
Director's Report
30 June 2020
30 June 2020
The Board determines payments to the non-executive directors and reviews their remuneration annually, based on market practice,
duties and accountability. Independent external advice is sought when required. Cash fees for non-executive directors are not linked
to the performance of the Company or shareholder wealth.
All remuneration paid to Non-Executive Directors is valued at cost to the Company and expensed.
The remuneration of Non-Executive Directors for the years ended 30 June 2020 and 30 June 2019 is detailed below, within this
section.
Executive remuneration
Objective
The Company aims to reward executives (both directors and company executives) with a level and mix of remuneration
commensurate with their position and responsibilities within the Company and so as to:
•
•
•
Reward executives for Company performance;
Align the interest of executives with those of shareholders; and
Ensure total remuneration is competitive by market standards.
Structure
The remuneration policy for executives is to provide a fixed remuneration component and a specific equity related component. The
board believes that this remuneration policy is appropriate given the stage of development of the Company and the activities which
it undertakes and is appropriate in aligning director objectives with shareholder and business objectives.
The remuneration policy going forward in regard to setting the terms and conditions for the executive directors has been
developed by the board taking into account market conditions and comparable salary levels for companies of a similar size and
operating in similar sectors.
Fixed Remuneration
Objective
The level of fixed remuneration is set so as to provide a base level of remuneration.
Fixed remuneration is to be reviewed annually and the process consists of a review of company and individual performance, relevant
comparative remuneration in the market and internal policies and practices.
Structure
Executives are given the opportunity to receive their fixed remuneration in a variety of forms including cash and fringe benefits. It
is intended that the manner of payment chosen will be optimal for the recipient without creating undue cost for the Company.
The remuneration policy going forward in regard to setting the terms and conditions for the executive directors has been developed
by the board taking into account market conditions and comparable salary levels for companies of a similar size and operating in
similar sectors.
The remuneration of executives for the years ended 30 June 2020 and 30 June 2019 is detailed below, within this section.
Variable Remuneration
Objective
The objective of variable remuneration provided is to reward executives in a manner which aligns this element of remuneration
with the creation of shareholder wealth. Mr Abbott was granted a bonus of $50,000 upon his appointment on 29 May 2019 payable
upon securing funding for a feasibility study. The bonus was not payable at balance date.
Structure
Variable remuneration may be delivered in the form of options, shares or cash bonus. No cash bonuses were granted or paid during
the year ended 30 June 2020.
Executives receive a superannuation guarantee contribution required by the government, which is currently 9.5% (9.5% for the year
ended 30 June 2019) and do not receive any other retirement benefit. Some individuals, however, may choose to sacrifice part of
their salary to increase payments towards superannuation.
Financial Report 2020
6
Caravel Minerals Limited
13
ANNUAL REPORT 2020CARAVEL MINERALS Directors’ Report
Director's Report
30 June 2020
30 June 2020
Options Granted
Some Directors were awarded options during the year. All options were granted over unissued fully paid ordinary shares in the
company. The number of options granted was determined having regard to the factors described above. Options vest based on the
provision of service over the vesting period whereby the director becomes beneficially entitled to the option on vesting date.
Options are exercisable by the holder as from the vesting date. There has not been any alteration to the terms or conditions of the
grant since the grant date. There are no amounts paid or payable by the recipient in relation to the granting of such options other
than.
Date of issue
Number of options
Dividend yield (%)
Expected volatility (%)
Risk free interest rate (%)
Expected life of the option (years)
Option exercise price ($)
Share price at grant date ($)
Expected Vesting Date
Fair value per option ($)
Total value at grant date ($)
Awarded to
Stephen Abbott
Alasdair Cooke
21/11/2019*
3,000,000
-
104%
0.76%
1.86
0.080
0.032
28/05/2020
0.010
29,675
21/11/2019*
3,000,000
-
104%
0.76%
1.86
0.080
0.032
30/06/2021
0.010
29,675
11/09/2020**
2,340,000
-
104%
0.24%
2.00
0.080
0.100
Upon issue
0.057
133,146
3,000,000
-
3,000,000
-
-
2,340,000
No compensation options were exercised during the year.
* Share based payments expense to Mr Abbott relates to options that were issued in the prior year and continued to vest during
the current year. Shareholder approval was obtained the current year and the options were revalued on this date.
** On 11 September 2020, the Company's shareholders approved the issue of 2,730,000 options to Alasdair Cooke under the
Company's Employee Incentive Scheme and have been valued accordingly on this date. Each option issued under the plan converts
into one ordinary share of the Company on exercise. No amounts are paid or payable by the recipient on receipt of the option.
Options neither carry rights to dividends nor voting rights. Options may be exercised at any time from the date of vesting to the
date of their expiry. The options were issued for Director services for the period 1 January to 31 July 2020 and therefore 2,340,000
have been granted as at 30 June 2020.
Employment Contracts
Executive Directors
The employment conditions of Managing Director, Mr Stephen Abbott, are formalised in a contract of employment which was
amended with effect from 1 January 2020. The total current remuneration package as at 30 June 2020 was $7,800 per month
inclusive of statutory superannuation with an additional $1,500 per day for additional time worked.
The employment conditions of Executive Director, Mr Alasdair Cooke, are formalised in a contract of employment. The total
remuneration package from 1 July 2019 to the reporting date was $150,000 per annum, aside from the seven months from January
2020 to July 2020 where remuneration was amended to the award of 390,000 options per month exercisable at 8c and expiring 30
June 2022. Notice of one month is required for either party to terminate the contract.
Financial Report 2020
7
Caravel Minerals Limited
14
CARAVEL MINERALSANNUAL REPORT 2020 Directors’ Report
Director's Report
30 June 2020
30 June 2020
Key Management Personnel Remuneration
Key Management Personnel
remuneration - 2020
Non-Executive Directors
Alexander Sundich
Wayne Trumble
Executive Directors
Stephen Abbott
Alasdair Cooke
Total
Key Management Personnel
remuneration - 2019
Non-Executive Directors
Alexander Sundich
Wayne Trumble
Executive Directors
Stephen Abbott
Alasdair Cooke
Total
Short term
employee
benefits
Post-
employment
benefits
Share based
payments
%
Performance-
based
Total
Cash salary
Superannuation
Options
28,395
7,087
170,736
75,000
281,218
2,024
23,332
16,220
-
41,576
-
-
39,601*
133,146
172,747
-
-
17%
64%
35%
30,419
30,419
226,557
208,146
495,541
Short term
employee
benefits
Post-
employment
benefits
Share based
payments
%
Performance-
based
Total
Cash salary
Superannuation
Options
32,026
10,900
20,833
172,049
235,808
3,042
22,688
1,979
-
27,709
14,450
14,450
4,571
57,800
91,271
29%
30%
17%
25%
26%
49,518
48,038
27,383
229,849
354,789
* Share based payments expense to Mr Abbott relates to options that were issued in the prior year and continued to vest during
the current year. Shareholder approval was obtained the current year and the options were revalued on this date.
Additional Disclosures Relating to Key Management Personnel
Shareholding
The number of shares in the company held during the financial year by KMP of the consolidated entity, including their personally
related parties, is set out below:
Non-Executive Directors
Alexander Sundich
Wayne Trumble
Executive Directors
Stephen Abbott
Alasdair Cooke
Total
Balance at
30/06/2019
Purchases
Balance at
30/06/2020
Balance at
Reporting Date
914,287
-
130,614
-
1,044,901
-
2,000,000
-
400,001
16,409,132
17,723,420
57,143
2,458,449
2,646,206
457,144
18,867,581
20,369,626
957,144
22,676,358
25,633,502
Financial Report 2020 8
Caravel Minerals Limited
15
ANNUAL REPORT 2020CARAVEL MINERALS
Directors’ Report
Director's Report
30 June 2020
30 June 2020
Option holding
The number of options over ordinary shares in the company held during the financial year by KMP of the consolidated entity,
including related parties, is set out below:
Non-Executive Directors
Alexander Sundich
Wayne Trumble
Executive Directors
Stephen Abbott
Alasdair Cooke
Total
Balance at
30/06/2019
Issued as
remuneration
during the
year
Expired
During the
Year
Balance at
30/06/2020
Vested and
exercisable
500,000
500,000
8,000,000
4,900,000
13,900,000
-
-
-
-
2,340,000
2,340,000
-
(2,900,000)
(2,900,000)
500,000
500,000
-
8,000,000
4,340,000
13,340,000
500,000
500,000
5,000,000
4,340,000
10,340,000
Use of Remuneration Consultants
The company did not use the services of any remuneration consultants during the year.
Voting and comments made at the Company’s 2019 Annual General Meeting
At the Annual General Meeting held on 21 November 2019 the company’s shareholders did not record a vote of more than 25%
against the Remuneration Report and no questions were raised at the meeting in relation to the Remuneration Report.
Transactions with key management personnel
During the year ending 30 June 2020, $79,928 (2019: $366,436) was paid to Mitchell River Group, of which Mr Alasdair Cooke is a
part owner, for provision of serviced offices and geological consultancy. $37,530 remained unpaid at 30 June 2020 (30 June 2019:
$40,793).
No loans to key management personnel were provided during the period or up to the date of signing this report.
END OF AUDITED REMUNERATION REPORT
Signed in accordance with a resolution of the directors.
Stephen Abbott
Managing Director
30 September 2020
Financial Report 2020
9
Caravel Minerals Limited
16
CARAVEL MINERALSANNUAL REPORT 2020 Auditor's Independence Declaration
Tel: +61 8 6382 4600
Fax: +61 8 6382 4601
www.bdo.com.au
38 Station Street
Subiaco, WA 6008
PO Box 700 West Perth WA 6872
Australia
DECLARATION OF INDEPENDENCE BY DEAN JUST TO THE DIRECTORS OF CARAVEL MINERALS LIMITED
As lead auditor of Caravel Minerals Limited for the year ended 30 June 2020, I declare that, to the best
of my knowledge and belief, there have been:
1. No contraventions of the auditor independence requirements of the Corporations Act 2001 in
relation to the audit; and
2. No contraventions of any applicable code of professional conduct in relation to the audit.
This declaration is in respect of Caravel Minerals Limited and the entities it controlled during the
period.
Dean Just
Director
BDO Audit (WA) Pty Ltd
Perth, 30 September 2020
BDO Audit (WA) Pty Ltd ABN 79 112 284 787 is a member of a national association of independent entities which are all members of BDO Australia Ltd ABN 77 050 110 275,
an Australian company limited by guarantee. BDO Audit (WA) Pty Ltd and BDO Australia Ltd are members of BDO International Ltd, a UK company limited by guarantee, and
form part of the international BDO network of independent a firms. Liability limited by a scheme approved under Professional Standards Legislation.
17
ANNUAL REPORT 2020CARAVEL MINERALS Consolidated Statement of Profit or Loss and Other Comprehensive Income
Consolidated Statement of Profit or Loss and Other Comprehensive Income
For the Year Ended 30 June 2020
For the Year Ended 30 June 2020
Other Income
Gain on Sale of Listed Investment
Administration services
Employee expenses
Exploration expenses
Gain / (Loss) on disposal of fixed assets
Loss from continuing operations before income tax expense
Income tax expense
Loss from continuing operations
Loss for the year
Other comprehensive income
Comprehensive loss attributable to the shareholders of the Company
Comprehensive loss attributable to the shareholders of the Company arises from:
Basic and diluted loss per share (cents per share) for continuing operations
attributable to the shareholders of the Company
Basic and diluted loss per share (cents per share) attributable to the
shareholders of the Company
Note
3.1
3.2
3.2
3.4
2020
$
72,757
-
(160,625)
(682,890)
(347,703)
-
(1,118,461)
-
(1,118,461)
(1,118,461)
-
(1,118,461)
2019
$
192,506
46,033
(335,286)
(895,067)
(2,252,712)
32,915
(3,211,611)
-
(3,211,611)
(3,211,611)
-
(3,211,611)
3.5
3.5
(0.58)
(0.58)
(2.06)
(2.06)
The above Consolidated Statement of Profit or Loss and Other Comprehensive Income should be read in conjunction with the
accompanying notes.
Financial Report 2020
11
Caravel Minerals Limited
18
CARAVEL MINERALSANNUAL REPORT 2020 Consolidated Statement of Financial Position
Consolidated Statement of Financial Position
As at 30 June 2020
As at 30 June 2020
Assets
Current assets
Cash and cash equivalents
Trade and other receivables
Other current assets
Total current assets
Non-current assets
Exploration and evaluation expenditure
Property, plant and equipment
Total non-current assets
Total assets
Liabilities
Current liabilities
Trade & other payables
Total current liabilities
Total liabilities
Net assets
Equity
Share capital
Accumulated loss
Reserves
Total equity attributable to shareholders of the Company
Note
2020
$
2019
$
4.1
4.3
2.1
2.2
4.4
5.1
231,850
17,564
7,839
257,253
3,107,811
129,526
3,237,337
3,494,590
87,936
87,936
87,936
713,451
59,638
6,673
779,762
3,107,811
151,566
3,259,377
4,039,139
335,941
335,941
335,941
3,406,654
3,703,198
46,146,487
(45,970,841)
3,231,008
3,406,654
45,503,512
(44,852,380)
3,052,066
3,703,198
The above Consolidated Statement of Financial Position should be read in conjunction with the accompanying notes.
Financial Report 2020
12
Caravel Minerals Limited
19
ANNUAL REPORT 2020CARAVEL MINERALS Consolidated Statement of Changes in Equity
Consolidated Statement of Changes in Equity
For the Year Ended 30 June 2020
For the Year Ended 30 June 2020
At 30 June 2019
Loss for the year
Total comprehensive loss for the year
Transactions with owners in their capacity as owners:
Issue of new shares net of cost
Share-based payments
At 30 June 2020
At 30 June 2018
Loss for the year
Total comprehensive loss for the year
Transactions with owners in their capacity as owners:
Issue of new shares net of cost
Share-based payments
At 30 June 2019
Contributed
equity
Accumulated
losses
Share-Based
Payments
Reserve
Total
equity
$
45,503,512
-
-
$
(44,852,380)
(1,118,461)
(1,118,461)
$
$
3,052,066
3,703,198
-
-
(1,118,461)
(1,118,461)
642,975
-
642,975
46,146,487
-
-
-
(45,970,841)
42,451,988
-
-
(41,640,769)
(3,211,611)
(3,211,611)
2,728,312
323,213
3,051,524
45,503,512
-
-
-
(44,852,380)
-
178,942
178,942
3,231,008
2,743,334
-
-
-
308,732
308,732
3,052,066
642,975
178,942
821,917
3,406,654
3,554,553
(3,211,611)
(3,211,611)
-
2,728,312
631,945
3,360,256
3,703,198
The above Consolidated Statement of Changes in Equity should be read in conjunction with the accompanying notes.
Financial Report 2020
13
Caravel Minerals Limited
20
CARAVEL MINERALSANNUAL REPORT 2020 Consolidated Statement of Cash Flows
Consolidated Statement of Cash Flows
For the Year Ended 30 June 2020
For the Year Ended 30 June 2020
Cash flows from operating activities
Interest received
Government grants
Payments to suppliers and employees
Payments for exploration and evaluation expenditure
Net cash (outflow) from operating activities
Cash flows from investing activities
Proceeds from receipt of security deposits
(Payments)/proceeds for property, plant and equipment
Net cash (outflow) from investing activities
Cash flows from financing activities
Proceeds from issue of shares
Share issue costs
Net cash inflow from financing activities
Cash and cash equivalents at the beginning of the year
Net increase/ (decrease) in cash and cash equivalents
Cash and cash equivalents at the end of the year
Note
2020
$
2019
$
470
72,287
(874,145)
(323,188)
(1,124,576)
3,718
158,788
(1,093,306)
(1,652,903)
(2,583,703)
-
-
-
660,116
(17,141)
642,975
713,451
(481,601)
231,850
20,000
(37,996)
(17,996)
2,862,516
(134,204)
2,728,312
586,838
126,613
713,451
4.2
5.2
5.2
4.1
4.1
The above Consolidated Statement of Cash Flows should be read in conjunction with the accompanying notes.
Financial Report 2020
14
Caravel Minerals Limited
21
ANNUAL REPORT 2020CARAVEL MINERALS Notes to the Consolidated Financial Statements
Notes to the Consolidated Financial Statements
For the Year Ended 30 June 2020
For the Year Ended 30 June 2020
1. Basis of preparation
The annual report of Caravel Minerals Limited for the year ended 30 June 2020 was authorised for issue in accordance with a
resolution of the directors on 30 September 2020.
1.1. Statement of Compliance
These financial statements are general purpose financial statements which have been prepared in accordance with the
requirements of the Corporations Act 2001, Australian Accounting Standards and other authoritative pronouncements
of the Australian Accounting Standards Board.
Caravel Minerals Limited is a for-profit entity for the purpose of preparing the financial statements.
1.2. Basis of Measurement
The financial report has been prepared on a historical cost basis.
1.3. Functional and Presentation Currency
The financial report is presented in Australian dollars.
1.4. Compliance with IFRS
These financial statements comply with Australian Accounting Standards as issued by the Australian Accounting
Standards Board and International Financial Reporting Standards (IFRS) as issued by the International Accounting
Standards Board.
1.5. Principles of consolidation
The consolidated financial statements incorporate the assets and liabilities of all subsidiaries of Caravel Minerals Limited
(‘company’ or ‘parent entity’) as at 30 June 2020 and the results of all subsidiaries for the year then ended. Caravel
Minerals Limited and its subsidiaries together are referred to in this financial report as the group or the consolidated
entity.
Subsidiaries are all those entities over which the consolidated entity has control. The consolidated entity controls an
entity when the consolidated entity is exposed to, or has rights to, variable returns from its involvement with the entity
and has the ability to affect those returns through its power to direct the activities of the entity. Subsidiaries are fully
consolidated from the date on which control is transferred to the consolidated entity. They are de-consolidated from
the date that control ceases.
A list of controlled entities is contained in note 6.1.1 to the financial statements.
Intercompany transactions, balances and unrealised gains on transactions between group companies are eliminated.
Unrealised losses are also eliminated unless the transaction provides evidence of the impairment of the asset
transferred. Accounting policies of subsidiaries have been changed where necessary to ensure consistency with the
policies adopted by the group.
The acquisition of subsidiaries is accounted for using the acquisition method of accounting. A change in ownership
interest, without the loss of control, is accounted for as an equity transaction, where the difference between the
consideration transferred and the book value of the share of the non-controlling interest acquired is recognised directly
in equity attributable to the parent.
Non-controlling interest in the results and equity of subsidiaries are shown separately in the statement of profit or loss
and other comprehensive income, statement of financial position and statement of changes in equity of the consolidated
entity. Losses incurred by the consolidated entity are attributed to the non-controlling interest in full, even if that results
in a deficit balance.
Where the consolidated entity loses control over a subsidiary, it derecognises the assets including goodwill, liabilities
and non-controlling interest in the subsidiary together with any cumulative translation differences recognised in equity.
The consolidated entity recognises the fair value of the consideration received and the fair value of any investment
retained together with any gain or loss in profit or loss.
1.6. Going Concern
This report is prepared on the going concern basis which assumes the continuity of normal business activity and the
realisation of assets and settlement of liabilities in the normal course of business.
Financial Report 2020
15
Caravel Minerals Limited
22
CARAVEL MINERALSANNUAL REPORT 2020 Notes to the Consolidated Financial Statements
Notes to the Consolidated Financial Statements
For the Year Ended 30 June 2020
For the Year Ended 30 June 2020
The Group incurred a net loss of $1,118,461 during the year ended 30 June 2020 (2019: $3,211,611) and as of that date
the Group had net current assets of $169,317 (30 June 2019: $443,821) including cash and cash equivalents of $213,850
(30 June 2019: $713,451). Net cash used in operating activities for the period was $1,124,576 (2019: $2,583,703).
These conditions indicate a material uncertainty that may cast doubt about the ability of the Group to continue as a
going concern. The ability of the Group to continue as a going concern is principally dependent upon its ability to secure
funds by raising capital from equity markets or by other means, and by managing cash flows in line with available funds,
and/or the successful development of its exploration assets.
The Directors are confident of the ability of the Company to potentially raise capital as and when required. The Directors
are satisfied there are sufficient funds to meet the Group’s working capital requirements as at the date of this report.
Subsequent to balance date, the Company completed a $2.15M capital raising (before costs) by the issue of 53.75M
shares at 4 cents per share as outlined in Note 8.1.
The directors are uncertain of the duration of the COVID-19 pandemic and of the potential consequential impact that
may flow through to the Group’s future operating costs and exploration activities. The directors believe there are
reasonable prospects the Group can continue operations through the COVID-19 pandemic and are committed to the
long term development and growth of the Company on behalf of its shareholders, employees and the communities in
which it operates.
The Directors have reviewed the business outlook and the assets and liabilities of the Group and are of the opinion that
the going concern basis of accounting is appropriate as they believe the Group will continue to be successful in securing
additional funds as and when the need to raise funds arises. Should the Group not be able to continue as a going concern,
it may be required to realise its assets and discharge its liabilities other than in the ordinary course of business, and at
amounts that differ from those stated in the financial statements and that the financial report does not include any
adjustments relating to the recoverability and classification of recorded asset amounts or liabilities that might be
necessary should the entity not continue as a going concern.
1.7. Significant Accounting Judgements, Estimates and Assumptions
The preparation of the financial statements requires management to make judgements, estimates and assumptions that
affect the reported amounts in the financial statements. Management continually evaluates its judgements and
estimates in relation to assets, liabilities, contingent liabilities, revenue and expenses. Management bases its judgements
and estimates on historical experience and on other various factors it believes to be reasonable under the circumstances,
the results of which form the basis of the carrying values of assets and liabilities that are not readily apparent from other
sources. Actual results may differ from these estimates under different assumptions and conditions.
Management has identified the following critical accounting policies for which significant judgements, estimates and
assumptions are made. Actual results may differ from these estimates under different assumptions and conditions and
may materially affect financial results or the financial position reported in future periods.
Further details of the nature of these assumptions and conditions may be found in the relevant notes to the financial
statements.
Significant accounting judgements
The determination of mineral resources impacts the accounting for asset carrying values. Caravel Minerals Limited
estimates its mineral resources in accordance with the Australasian Code for Reporting of Exploration Results, Mineral
Resources and Ore Reserves 2012 (the ‘JORC’ Code). The information on mineral resources was prepared by or under
the supervision of Competent Persons as defined in the JORC Code. The amounts presented are based on the mineral
resources determined under the JORC Code.
There are numerous uncertainties inherent in estimating mineral resources, and assumptions that are valid at the time
of estimation may change significantly when new information becomes available.
Significant accounting estimates and assumptions
Exploration and evaluation expenditure
Exploration and evaluation expenditure is assessed for impairment if sufficient data exists to determine technical
feasibility and commercial viability or facts and circumstances suggest that the carrying amount exceeds the recoverable
amount.
Exploration and evaluation expenditure is assessed for indicators of impairment in accordance with AASB 6 Exploration
for and Evaluation of Mineral Resources when any of the following facts and circumstances exist:
•
The term of exploration licence in the specific area of interest has expired during the reporting period or will
expire in the near future, and is not expected to be renewed;
Financial Report 2020 16
Caravel Minerals Limited
23
ANNUAL REPORT 2020CARAVEL MINERALS
Notes to the Consolidated Financial Statements
Notes to the Consolidated Financial Statements
For the Year Ended 30 June 2020
For the Year Ended 30 June 2020
•
•
•
Substantive expenditure on further exploration and/ or evaluation of mineral resources in the specific area are
not budgeted nor planned;
Exploration for and evaluation of mineral resources in the specific area have not led to the discovery of
commercially viable quantities of mineral resources and the decision was made to discontinue such activities
in the specified area; or
Sufficient data exist to indicate that, although a development in the specific area is likely to proceed, the
carrying amount of the exploration and evaluation asset is unlikely to be recovered in full from successful
development or by sale.
Where a potential impairment is indicated, an assessment is performed for each cash generating unit that is no larger
than the area of interest. The Group performs impairment testing in accordance with accounting policy note 2.3.
Judgement is applied when considering whether fact and circumstances as per above indicate that the exploration and
evaluation asset should be tested for impairment and no impairment indicators were noted during the year.
Share based payments
The consolidated entity measures the cost of equity-settled transactions with employees (including directors) by
reference to the fair value of the equity instruments at the date at which they are granted. The fair value is determined
by using either the Binomial or Black-Scholes model taking into account the terms and conditions upon which the
instruments were granted. The accounting estimates and assumptions relating to equity-settled share-based payments
would have no impact on the carrying amounts of assets and liabilities within the next annual reporting period but may
impact profit or loss and equity.
Coronavirus (COVID-19) pandemic
Judgement has been exercised in considering the impacts that the Coronavirus (COVID-19) pandemic has had, or may
have, on the company based on known information. This consideration extends to the nature of the products and
services offered, customers, supply chain, staffing and geographic regions in which the company operates. Other than
as addressed in specific notes, there does not currently appear to be either any significant impact upon the financial
statements or any significant uncertainties with respect to events or conditions which may impact the company
unfavourably as at the reporting date or subsequently as a result of the Coronavirus (COVID-19) pandemic.
2. Capital Expenditure
2.1. Exploration & Evaluation Expenditure
Caravel Mineral’s Copper Project is located 120kms from Perth in Western Australia’s Wheatbelt region. The potential
mining area is located on cleared agricultural freehold land and is well connected to existing infrastructure
including interconnected power, roads and highways, regional service towns and a range of export ports. Caravel’s
copper deposits form part of a regional copper-molybdenum-gold mineralised belt discovered in a previously
unexplored part of the Yilgarn Craton.
Exploration and evaluation costs are expensed as incurred as an operating cost of the Group. Costs related to the
acquisition of properties that contain mineral resources are capitalised and allocated separately to specific areas of
interest. These costs are capitalised until the viability of the area of interest is determined.
The Group has exploration costs carried forward in respect of areas of interest:
Areas of interest:
Caravel Copper Project
2020
$
3,107,811
2019
$
3,107,811
The recoverability of the carrying amount of the exploration and evaluation assets is dependent on the successful
development and commercial exploitation, or alternatively the sale, of the respective areas of interest.
2.2. Property Plant and equipment
Plant and equipment is stated at historical cost less accumulated depreciation and any accumulated impairment losses.
Subsequent costs are included in the asset's carrying amount or recognised as a separate asset, as appropriate, only
when it is probable that future economic benefits associated with the item will flow to the Group and the cost of the
item can be measured reliably. All other repairs and maintenance are charged to the statement of profit or loss and other
comprehensive income during the financial period in which they are incurred.
Financial Report 2020 17
Caravel Minerals Limited
24
CARAVEL MINERALSANNUAL REPORT 2020
Notes to the Consolidated Financial Statements
Notes to the Consolidated Financial Statements
For the Year Ended 30 June 2020
For the Year Ended 30 June 2020
Depreciation is calculated on either the straight-line basis or diminishing value basis over their useful lives to the Group
commencing from the time the asset is held ready for use. The depreciation rates used are as follows:
Plant and equipment
Exploration equipment
Vehicles
Leasehold improvements
Computer equipment and software
Buildings
30%
25%
30%
25%
40%
2.5%
The assets’ residual values, useful lives and depreciation methods are reviewed, and adjusted if appropriate, at each
reporting date.
Gains and losses on disposals are determined by comparing proceeds with the carrying amount. These gains and losses
are included in the Statement of profit or loss and other comprehensive income.
Land and building - Cost
Accumulated depreciation
Net carrying amount
Computer Equipment - Cost
Accumulated depreciation
Net carrying amount
Vehicles - Cost
Accumulated depreciation
Net carrying amount
Exploration Equipment - Cost
Accumulated depreciation
Net carrying amount
Total Property Plant and Equipment
Accumulated depreciation
Net carrying amount
2.3.
Impairment of assets
2020
$
2019
$
100,165
(14,669)
85,496
4,618
(2,905)
1,713
65,369
(49,045)
16,324
48,895
(22,902)
25,993
219,047
(89,521)
129,526
100,165
(8,167)
91,998
4,618
(1,757)
2,861
65,369
(42,022)
23,347
47,895
(14,535)
33,360
218,047
(66,481)
151,566
Caravel Minerals Limited conducts an annual internal review of asset values, which is used as a source of information to
assess for any indicators of impairment. External factors, such as changes in expected future processes, technology and
economic conditions, are also monitored to assess for indicators of impairment. If any indication of impairment exists,
an estimate of the asset’s recoverable amount is calculated.
An impairment loss is recognised for the amount by which the asset’s carrying value exceeds its recoverable amount.
Recoverable amount is the higher of an asset’s fair value less costs to sell and value in use. For the purposes of assessing
impairment, assets are grouped at the lowest levels for which there are separately identifiable cash inflows that are
largely independent of the cash inflows from other assets or groups of assets (cash-generating units). Non-financial
assets other than goodwill that suffered an impairment are tested for possible reversal of the impairment whenever
events or changes in circumstances indicate that the impairment may have reversed.
No impairment indicators were noted for the year ended 30 June 2020.
Financial Report 2020 18
Caravel Minerals Limited
25
ANNUAL REPORT 2020CARAVEL MINERALS
Notes to the Consolidated Financial Statements
Notes to the Consolidated Financial Statements
For the Year Ended 30 June 2020
For the Year Ended 30 June 2020
3. Financial Performance
3.1. Other Income
Government grants relating to costs are deferred and recognised in profit or loss over the period necessary to match
them with the costs that they are intended to compensate.
Other income is recognised to the extent that it is probable that economic benefits will flow to the Group and the income
can be reliably measured. Other income is measured at the fair value of the consideration received or receivable.
Other Income
Government Grants and rebates
Interest revenue
Other income
3.2. Expenses
Administration services
Audit, tax and accounting
Compliance & insurance
Legal fees
Marketing
Occupancy
Depreciation
Travel
Employee expenses
Directors Fees
Salaries and wages
Superannuation
Payroll Tax & Fringe Benefits Tax
Share based payments expense – Directors and employees
Other share based payments (SBP)
SBP consultants – included in Administration services
SBP drilling contractors – included in Exploration expenses
2020
$
2019
$
61,952
470
10,335
72,757
158,788
3,718
30,000
192,506
2020
$
2019
$
26,183
36,716
(14,871)
28,722
80,300
1,320
2,255
160,625
322,794
149,893
31,267
(6)
178,942
682,890
-
-
-
60,452
52,051
11,382
82,361
113,855
4,277
10,908
335,286
234,595
318,969
29,032
3,739
308,732
895,067
-
323,213
323,213
3.3. Segment Information
Management has determined the operating segments based on the reports reviewed by the board of directors that are
used to make strategic decisions. The Group does not have any material operating segments with discrete financial
information. The Group does not have any customers and all its’ assets and liabilities are primarily related to the mining
industry and are located within Australia. The Board of Directors review internal management reports on a regular basis
that is consistent with the information provided in the statement of profit or loss and other comprehensive income,
statement of financial position and statement of cash flows. As a result no reconciliation is required because the
information as presented is what is used by the Board to make strategic decisions.
3.4.
Income Tax
The income tax expense for the period is the tax payable on the current period’s taxable income based on the national
income tax rate for each jurisdiction adjusted by changes in deferred tax assets and liabilities attributable to temporary
differences between the tax bases of assets and liabilities and their carrying amounts in the financial statements, and to
unused tax losses.
Deferred tax assets and liabilities are recognised for temporary differences at the tax rates expected to apply when the
assets are recovered or liabilities are settled, based on those tax rates which are enacted or substantively enacted for
each jurisdiction. The relevant tax rates are applied to the cumulative amounts of deductible and taxable temporary
Financial Report 2020 19
Caravel Minerals Limited
26
CARAVEL MINERALSANNUAL REPORT 2020
Notes to the Consolidated Financial Statements
Notes to the Consolidated Financial Statements
For the Year Ended 30 June 2020
For the Year Ended 30 June 2020
differences to measure the deferred tax asset or liability. An exception is made for certain temporary differences arising
from the initial recognition of an asset or a liability. No deferred tax asset or liability is recognised in relation to these
temporary differences if they arose on goodwill or in a transaction, other than a business combination, that at the time
of the transaction did not affect either accounting profit or taxable profit or loss.
Deferred tax assets are recognised for deductible temporary differences and unused tax losses only if it is probable that
future taxable amounts will be available to utilise those temporary differences and losses.
The carrying amount of deferred income tax assets is reviewed at each reporting date and reduced to the extent that it
is no longer probable that sufficient taxable profit will be available to allow all or part of the deferred income tax asset
to be utilised.
Unrecognised deferred income tax assets are reassessed at each reporting date and are recognised to the extent that it
has become probable that future taxable profit will allow the deferred tax asset to be recovered.
Current and deferred tax balances attributable to amounts recognised directly in equity are also recognised directly in
equity.
Deferred tax assets and deferred tax liabilities are offset only if a legally enforceable right exists to set off current tax
assets against tax liabilities and the deferred tax liabilities relate to the same taxable entity and the same taxation
authority.
Caravel Minerals Limited and its wholly-owned Australian controlled entities have implemented the tax consolidation
legislation as of 1 July 2013. As a consequence, these entities are taxed as a single entity and the deferred tax assets and
liabilities of these entities are set off in the consolidated financial statements.
3.4.1. The major components of income tax are:
Current income tax
Deferred income tax
2020
$
2019
$
-
-
-
-
3.4.2. A reconciliation between tax expense and the product of accounting loss
Accounting loss before tax from continuing operations
Loss before income tax from discontinued operations
Accounting loss before income tax
At the Company’s statutory income tax rate of 27.5% (2019: 27.5%)
Non-deductible expenses
Share based payments
Non-assessable amounts
Impact of reduction in future corporate income tax rate
DTA not brought to account as their realisation is not probable
Income tax expense reported in the consolidated income statement
Income tax attributable to discontinued operations
2020
$
(1,118,461)
-
(1,118,461)
(307,577)
208
17,264
(7,274)
1,143,090
(845,711)
-
-
-
-
3.4.3. Deferred tax liabilities @ 25% (2019: 27.5%) have not been recognised in respect of
Deferred tax liabilities @ 25% (2019: 27.5%) have not been recognised in
respect of
Exploration & Evaluation Expenditure
Prepayments
2020
$
776,953
1,710
778,663
2019
$
(3,211,611)
-
(3,211,611)
(883,193)
(40,279)
84,901
-
-
838,571
-
-
-
-
2019
$
854,648
1,560
856,208
Financial Report 2020 20
Caravel Minerals Limited
27
ANNUAL REPORT 2020CARAVEL MINERALS
Notes to the Consolidated Financial Statements
Notes to the Consolidated Financial Statements
For the Year Ended 30 June 2020
For the Year Ended 30 June 2020
3.4.4. Deferred tax assets have not been recognised in respect of
Provisions and accruals
Business related costs
Carry forward revenue losses
Capital losses
Foreign losses
3.5. Loss Per Share
2020
$
3,831
38,234
12,186,091
220,458
-
12,448,614
2019
$
12,775
68,728
13,103,715
242,503
2,480
13,430,201
Basic earnings per share is calculated by dividing the profit/loss attributable to equity holders of the Group, excluding
any costs of servicing equity other than ordinary shares, by the weighted average number of ordinary shares outstanding
during the period, adjusted for bonus elements in ordinary shares issued during the period.
Diluted earnings per share adjusts the figures used in the determination of basic earnings per share to take into account
the after tax effect of interest and other financing costs associated with dilutive potential ordinary shares and the
weighted average number of shares assumed to have been issued for no consideration in relation to dilutive potential
ordinary shares.
The following reflects the income and share data used in the calculations of basic and diluted loss per share:
Gain (Loss) attributable to ordinary shareholders
Issued number of ordinary shares at 1 July
Effect of shares issued during the period
Weighted average number of shares for year to 30 June
2020
$
2019
$
(1,118,461)
(3,211,611)
184,365,039
8,592,286
192,957,325
120,621,214
35,572,256
156,193,470
Basic loss per share (cents per share)
(0.58)
(2.06)
As at reporting date, 16,900,000 (2019: 21,600,000) unlisted options (which represent potential ordinary shares) were
not dilutive as they would decrease the loss per share.
The Company completed a $2.15M capital raising (before costs) by the issue of 53.75M shares at 4 cents per share. There
have been no other conversions to, calls of, or subscriptions for ordinary shares or issues of potential ordinary shares
since the reporting date and before the completion of this financial report.
4. Working Capital Management
4.1. Cash and Cash Equivalents
“Cash and cash equivalents” includes cash on hand, deposits held at call with financial institutions and other short-term
highly liquid investments that are readily convertible to known amounts of cash and which are subject to an insignificant
risk of changes in value. For the purposes of the statement of cash flows, cash and cash equivalents consist of cash and
cash equivalents as defined above, net of any bank overdrafts.
Cash at bank and in hand
Short-term deposits
2020
$
211,850
20,000
231,850
2019
$
693,451
20,000
713,451
Financial Report 2020
21
Caravel Minerals Limited
28
CARAVEL MINERALSANNUAL REPORT 2020 Notes to the Consolidated Financial Statements
Notes to the Consolidated Financial Statements
For the Year Ended 30 June 2020
For the Year Ended 30 June 2020
4.2. Reconciliation of Net Loss After Income Tax Expense to Net Cash Used In Operating Activities
Cash flows from operating activities
(Loss) for the year
Adjustments for:
Equity-settled share-based payment expenses
Exploration expenses settled by issue of Shares
Depreciation and amortisation expense
(Profit)/Loss on disposal of Plant & Equipment
Change in operating assets & liabilities
(Increase) / decrease in receivables
Increase / (decrease) in payables
Net cash used in operating activities
4.3. Trade and Other Receivables
2020
$
2019
$
(1,118,461)
(3,211,611)
178,942
-
22,040
-
308,732
323,213
18,193
(32,915)
40,908
(248,005)
(1,124,576)
(2,605)
13,290
(2,583,703)
Trade receivables are initially recognised and carried at original invoice amount less allowance for expected credit loss.
Trade receivables are due for settlement no more than 30 days from the date of recognition. A provision for impairment
is made based on a forward-looking expected credit loss model in line the requirements of AASB 9. Bad debts are written
off when identified.
Trade debtors
GST receivable
2020
$
10,867
6,697
17,564
2019
$
5,726
53,912
59,638
The Group’s management considers that all of the above financial assets that are not impaired or past due for each of
the 30 June reporting dates under review are of good credit quality (refer to 5.5(1)).
4.4. Trade and Other Payables
Trade and other payables are carried at amortised cost and represent liabilities for the goods and services provided to
the Group prior to the end of the financial period that are unpaid and arise when the Group becomes obliged to make
future payments in respect of the purchase of these goods and services. The amounts are unsecured and are usually paid
within 30 days.
Trade payables
Accrued expenses
Other payables
5. Funding and risk management
2020
$
72,611
15,325
-
87,936
2019
$
277,078
45,325
13,538
335,941
The Group's objectives when managing capital are to safeguard their ability to continue as a going concern, so that it can
continue to provide returns for shareholders and benefits for other stakeholders and to maintain an optimal capital structure
to reduce the cost of capital.
Ordinary shares entitle the holder to participate in dividends and the proceeds on winding up of the Company in the
proportion to the number and amount paid on the shares held. Ordinary shares are classified as equity.
Incremental costs directly attributable to the issue of new shares or options are shown in equity as a deduction, net of tax,
from the proceeds. Incremental costs directly attributable to the issue of new shares or options for the acquisition of a
business are not included in the cost of the acquisition as part of the purchase consideration.
5.1. Contributed Equity
Ordinary shares are classified as equity. Issued and paid up capital is recognised at the fair value of the consideration
received by the Company.
Financial Report 2020
22
Caravel Minerals Limited
29
ANNUAL REPORT 2020CARAVEL MINERALS Notes to the Consolidated Financial Statements
Notes to the Consolidated Financial Statements
For the Year Ended 30 June 2020
For the Year Ended 30 June 2020
Incremental costs directly attributable to the issue of new shares or options are shown in equity as a deduction, net of
tax, from the proceeds.
Contributed equity
Cost of share issue
5.2. Movement in shares on issue
2020
$
48,261,641
(2,115,154)
46,146,487
2019
$
47,601,525
(2,098,013)
45,503,512
Ordinary shares have the right to receive dividends as declared and, in the event of the winding up of the Company, to
participate in the proceeds from the sale of all surplus assets in proportion to the number of and amounts paid up on
shares held. Ordinary shares entitle their holder to one vote, either in person or by proxy, at a meeting of the Company.
5.2.1. Ordinary Shares
Balance 30 June 2018
Entitlement Issue
Contractor share based payments
Entitlement Issue
Share Placement
Contractor share based payments
Exercise of Options
Contractor share based payments
Less Transaction costs
Balance 30 June 2019
Cancellation of Treasury Shares
Contractor share based payments
Entitlement Issue
Share Placement
Less Transaction costs
Balance 30 June 2020
5.3. Unlisted options
Outstanding at the beginning of the year
Issued during the year
Expired or lapsed during the year
Outstanding at the end of the year
Issue price
$
Date
13 Sep 2018
30 Nov 2018
01 Mar 2019
06 Mar 2019
07 Mar 2019
19 Jun 2019
28 Jun 2019
30 Jun 2019
02 Jul 2019
01 Oct 2019
01 Oct 2019
15 Oct 2019
30 Jun 2020
Number of
shares
120,621,214
32,495,251
1,405,522
22,074,569
2,680,000
1,827,020
341
3,261,122
-
184,365,039
(3,695,244)
750,000
13,252,897
2,500,000
-
197,172,692
cents
5.0
4.9
5.0
5.0
5.0
5.0
5.0
-
-
4.0
4.0
4.0
-
42,451,988
1,624,763
68,805
1,103,728
134,000
91,351
17
163,056
(134,196)
45,503,512
-
30,000
530,116
100,000
(17,141)
46,146,487
2020
Number
27,600,000
-
(10,700,000)
2019
Number
37,213,222
16,900,000
(26,513,222)
16,900,000
27,600,000
Exercisable at the end of the year
13,900,000
21,600,000
5.4. Capital risk management
When managing capital, management’s objective is to ensure the entity continues as a going concern as well as to
maintain optimal returns to shareholders and benefits for other stakeholders.
Being at an exploration stage, the Company does not generate cash inflows from its operations to fund its exploration
and working capital requirements, therefore, the Company may issue shares to either generate cash for operations or
to acquire assets in order to maintain adequate levels of cash reserves.
During the financial year ended 30 June 2020, the Company issued 16,502,857 ordinary shares (2019: 63,743,825
ordinary shares).
The Company is not subject to any externally imposed capital requirements.
Financial Report 2020
23
Caravel Minerals Limited
30
CARAVEL MINERALSANNUAL REPORT 2020 Notes to the Consolidated Financial Statements
Notes to the Consolidated Financial Statements
For the Year Ended 30 June 2020
For the Year Ended 30 June 2020
5.5. Financial risk management
The Group’s principal financial instruments comprise cash and short-term deposits.
The main purpose of these financial instruments is to fund capital expenditure on the Group’s operations. The Group has
various other financial assets and liabilities such as trade receivables and trade payables, which arise directly from its
operations. It is, and has been throughout the period under review, the Group’s policy that no trading in financial
instruments shall be undertaken. Being at an exploration stage, the Group has limited exposure to risks arising from its
financial instruments.
Currently the Group does not have any exposure to commodity price risk or foreign currency risk as the Group has ceased
operations in Spain. As the Group moves into development and production phases, exposure to commodity price risk,
foreign currency risk and credit risk are expected to increase. The Board will set appropriate policies to manage these
risks dependent on market conditions and requirements at that time.
Details of the significant accounting policies and methods adopted, including the criteria for recognition, the basis of
measurement and the basis on which income and expenses are recognised, in respect of each class of financial asset and
financial liability are disclosed in Note 1.
5.5.1. Credit risk
Credit risk represents the loss that would be recognised if counterparties fail to perform as contracted. The Group’s
maximum exposure to credit risk at reporting date in relation to each class of financial asset is the carrying amount of
those assets as indicated in the statement of financial position. The majority of cash and cash equivalents is held with
one Australian Bank which has an AA- long-term credit rating from Standard and Poor’s.
Wherever possible, the Group trades only with recognised, credit worthy third parties. There are no significant
concentrations of credit risk within the Group. Since the Group trades only with recognised third parties, there is no
requirement for collateral.
5.5.2. Liquidity risk
Liquidity risk is the risk that the Group does not have sufficient funds to pay its debts as and when they become due and
payable. The Group currently does not have major funding in place. However the Group continuously monitors forecast
and actual cash flows and the maturity profiles of financial assets and financial liabilities to manage its liquidity risk.
The Group’s objective is to maintain a balance between continuity of funding and flexibility through the use of bank loans
if and when required.
Cash at bank and on hand, as set out in Note 4.1, is available for use by the Group without restrictions.
Financial liabilities of the Group at 30 June 2020 are expected to be settled within 6 months of year-end.
5.5.3. Market risk
(A) Price risk
The group is not exposed to equity securities price risk. The group is not exposed to commodity price risk. The sensitivity
of movements in the price has not been disclosed as it is not material to the Group.
(B) Foreign currency risk
The group do not have any foreign currency balances and therefore is not exposed to any foreign currency risk.
Financial Report 2020
24
Caravel Minerals Limited
31
ANNUAL REPORT 2020CARAVEL MINERALS Notes to the Consolidated Financial Statements
Notes to the Consolidated Financial Statements
For the Year Ended 30 June 2020
For the Year Ended 30 June 2020
(C)
Interest rate risk
The following tables summarise the sensitivity of the Group’s financial assets to interest rate risk. Had the relevant
variables, as illustrated in the tables, moved, with all other variables held constant, post tax loss and equity would have
been affected as shown. The analysis has been performed on the same basis for 2020 and 2019 and represents
management’s judgement of a reasonably possible movement.
30 June 2020
Cash and cash equivalents
Other current assets
30 June 2019
Cash and cash equivalents
Other current assets
Carrying
Amount
$
231,850
25,403
Interest Rate Risk -1%
Equity
Net Loss
$
$
Interest Rate Risk +1%
Equity
Net Gain
$
$
(2,319)
(254)
(2,319)
(254)
2,319
254
7,135
663
2,319
254
7,135
663
713,451
66,311
(7,135)
(663)
(7,135)
(663)
None of the Group’s financial liabilities are interest bearing. Unless otherwise stated, the carrying amounts of financial
instruments reflect their fair value.
6. Group Structure
6.1. Basis of consolidation
6.1.1. Subsidiaries
Subsidiaries are all entities (including structured entities) over which the Group has control. The Group controls an entity
when the Group is exposed to, or has rights to, variable returns from its involvement with the entity and has the ability
to affect those returns through its power to direct the activities of the entity. Subsidiaries are fully consolidated from the
date on which control is transferred to the Group. They are deconsolidated from the date that control ceases.
Investments in subsidiaries are carried at their cost of acquisition in the Company’s financial statements.
The consolidated financial statements incorporate the assets, liabilities and results of the following subsidiaries in
accordance with the accounting policy described in note 1:
Name of entity
Country of
incorporation
Equity holding
Date of
incorporation
Quadrio Resources Pty Ltd
Australia
100%
11 June 1985
Caravel Resources Netherlands Cooperatief U.A.
Netherlands
99.999%
16 July 2012
*Caravel Employee Share Plan Pty Ltd was deregistered on 4 December 2019.
6.1.2. Transactions eliminated on consolidation
Intragroup balances, and any unrealised gains and losses or income and expenses arising from intragroup transactions,
are eliminated in preparing the consolidated financial statements.
6.1.3.
Comparatives
Prior period comparatives are for the year from 1 July 2018 to 30 June 2019.
Financial Report 2020
25
Caravel Minerals Limited
32
CARAVEL MINERALSANNUAL REPORT 2020 Notes to the Consolidated Financial Statements
Notes to the Consolidated Financial Statements
For the Year Ended 30 June 2020
For the Year Ended 30 June 2020
6.2. Parent Entity Information
The following information relates to the parent entity, Caravel Minerals Limited. The information presented has been
prepared using accounting policies that are consistent with those presented in the Notes to the Financial Statements.
Current Assets
Non-Current Assets
Total Assets
Current Liabilities
Total Liabilities
Contributed equity
Accumulated losses
Reserves
Total Equity
Gain (loss) for the year
Other comprehensive income / (loss) for the year
Total comprehensive income / (loss) for the year
Caravel Minerals Limited has not issued any guarantees on behalf of subsidiaries.
7. Related Parties
7.1. Related Parties
2020
$
212,544
3,266,858
3,479,402
2019
$
676,360
3,325,200
4,001,560
72,748
72,748
298,362
298,362
46,146,487
(45,970,841)
3,231,008
3,406,654
45,503,512
(44,852,380)
3,052,066
3,703,198
(1,118,461)
-
(1,118,461)
(1,186,549)
-
(1,186,549)
Details relating to key management personnel, including remuneration paid, are included in the audited remuneration
report section of the directors’ report. The aggregate compensation made to directors and other members of key
management personnel of the consolidated entity is set out below:
Short term employee benefits
Post-employment benefits
Share based payments
Total compensation
7.2. Transactions with Other Related Parties
2020
$
281,218
41,576
172,747
495,541
2019
$
235,808
27,709
91,271
354,789
During the year ending 30 June 2020, $79,928 (2019: $366,436) was paid to Mitchell River Group, of which Mr Alasdair
Cooke is a part owner, for provision of serviced offices and geological consultancy. $37,530 remained unpaid at 30 June
2020 (30 June 2019: $40,793).
7.3. Share Based Payments
The Group provides benefits to Directors, employees, consultants and other advisors of the Group in the form of share-
based payments, whereby the Directors, employees, consultants and other advisors render services in exchange for
shares or rights over shares (equity-settled transactions).
The cost of these equity-settled transactions is measured by reference to the fair value of the equity instruments at the
date at which they are granted. The fair value is determined using a Black-Scholes model or fair value of services.
In valuing equity-settled transactions, no account is taken of any performance conditions, other than conditions linked
to the market price of the shares of the Company if applicable.
The cost of equity-settled transactions is recognised, together with a corresponding increase in equity, over the period
in which the performance and/or service conditions are fulfilled, ending on the date on which the relevant recipient
becomes fully entitled to the award (the vesting period).
Financial Report 2020
26
Caravel Minerals Limited
33
ANNUAL REPORT 2020CARAVEL MINERALS Notes to the Consolidated Financial Statements
Notes to the Consolidated Financial Statements
For the Year Ended 30 June 2020
For the Year Ended 30 June 2020
The cumulative expense recognised for equity-settled transactions at each reporting date until vesting date reflects (i)
the extent to which the vesting period has expired and (ii) the Company’s best estimate of the number of equity
instruments that will ultimately vest. No adjustment is made for the likelihood of market performance conditions being
met as the effect of these conditions is included in the determination of fair value at grant date. The statement of profit
or loss and other comprehensive income charge or credit for a period represents the movement in cumulative expense
recognised as at the beginning and end of that period.
No expense is recognised for awards that do not ultimately vest, except for awards where vesting is only conditional
upon a market condition.
If the terms of an equity-settled award are modified, as a minimum an expense is recognised as if the terms had not
been modified. In addition, an expense is recognised for any modification that increases the total fair value of the share-
based payment arrangement, or is otherwise beneficial to the recipient, as measured at the date of modification.
If an equity-settled award is cancelled, it is treated as if it had vested on the date of cancellation, and any expense not
yet recognised for the award is recognised immediately. However, if a new award is substituted for the cancelled award
and designated as a replacement award on the date that it is granted, the cancelled and new award are treated as if they
were a modification of the original award, as described in the previous paragraph.
The dilutive effect, if any, of outstanding options is reflected as additional share dilution in the computation of loss per
share (see Note 3.5).
The effect of such an arrangement is equivalent to an option with a strike price per share equal to the share price on
grant date.
7.4. Employee Incentive Plan
Shareholders approved the establishment of the Caravel Employee Incentive Plan at the 2019 AGM.
The following table illustrates the number (No.) and weighted average exercise prices (WAEP) of, and movements in,
share options granted as consideration for services provided to the Company during the year:
Outstanding at the beginning of the year
Granted during the year
Expired or lapsed during the year
Outstanding at the end of the year
Exercisable at the end of the year
2020
Number
18,700,000
2,755,800
(1,800,000)
19,655,800
16,655,800
2020
WAEP
0.08
0.08
0.08
0.08
0.08
2019
Number
1,800,000
16,900,000
-
18,700,000
12,700,000
2019
WAEP
0.08
0.08
-
0.08
0.08
Weighted average remaining contractual life of options at 30 June 2020: 1.27 years (2019: 2.04 years)
Financial Report 2020
27
Caravel Minerals Limited
34
CARAVEL MINERALSANNUAL REPORT 2020 Notes to the Consolidated Financial Statements
Notes to the Consolidated Financial Statements
For the Year Ended 30 June 2020
For the Year Ended 30 June 2020
7.5. Option pricing model
Options granted during the year have been valued using the Black-Scholes Option Valuation model, which takes account
of factors including the option exercise price, the current level and volatility of the underlying share price, the risk-free
interest rate, expected dividends on the underlying share, current market price of the underlying share and the expected
life of the option. See below for the assumptions used for grants made during the year ended 30 June 2020 and 30 June
2019:
Date of issue
Number of options
Dividend yield (%)
Expected volatility (%)
Risk free interest rate (%)
Expected life of the option
(years)
Option exercise price ($)
Share price at grant date
($)
Vested
Fair value per option ($)
Total value at grant date
($)
Awarded to
Stephen Abbott
Alasdair Cooke
Wayne Trumble
Alex Sundich
27/09/2018 29/11/2018
3,000,000
-
100%
1.50%
7,900,000
-
100%
1.50%
21/11/2019* 21/11/2019* 29/11/2019 11/09/2020**
2,340,000
-
104%
0.24%
3,000,000
-
104%
0.76%
3,000,000
-
104%
0.76%
415,800
-
104%
0.27%
2.96
0.080
0.400
2.82
0.080
0.054
1.86
0.080
0.032
1.86
0.080
0.032
2.58
0.080
0.035
On issue
0.028
On issue
0.027
28/05/2020
0.010
30/06/2021
0.010
On issue
0.015
216,460
86,700
29,675
29,675
6,195
2.00
0.080
0.100
On issue
0.057
133,146
-
-
-
-
-
2,000,000
500,000
500,000
3,000,000
-
-
-
3,000,000
-
-
-
-
-
-
-
-
2,340,000
-
-
* Share based payments expense to Mr Abbott relates to options that were issued in the prior year and continued to
vest during the current year. Shareholder approval was obtained in the current year and the options were revalued on
this date.
** On 11 September 2020, the Company's shareholders approved the issue of 2,730,000 options to Alasdair Cooke
under the Company's Employee Incentive Scheme and have been valued accordingly on this date. Each option issued
under the plan converts into one ordinary share of the Company on exercise. No amounts are paid or payable by the
recipient on receipt of the option. Options neither carry rights to dividends nor voting rights. Options may be exercised
at any time from the date of vesting to the date of their expiry.
The dividend yield reflects the assumption that the current dividend payout will remain unchanged. The expected life of
the options is based on historical data and is not necessarily indicative of exercise patterns that may occur. The expected
volatility reflects the assumption that the historical volatility is indicative of future trends, which may also not necessarily
be the actual outcome.
7.6. Shares
No shares were issued to suppliers in exchange for services in the year ended 30 June 2020.
During the year ended 30 June 2019, 6,493,664 ordinary shares were issued to contractors of the Company for drilling
and engineering services. The shares were issued at market value calculated by a 10-day VWAP at the end of each invoice
month for a total consideration of $323,213. The value of the services could not be reliably determined and therefore,
were measured at their fair value calculated on the 10-day VWAP (volume weighted) trading price of the company’s
share price for the last 10 days of each calendar month in which the invoice was received.
7.7. Recognised share-based payment expense in profit or loss
Expense arising from employee options issued
Shares issued for drilling and engineering services
Total share-based payments expensed in profit or loss
2020
$
178,942
-
178,942
2019
$
308,732
323,213
631,945
Financial Report 2020
28
Caravel Minerals Limited
35
ANNUAL REPORT 2020CARAVEL MINERALS Notes to the Consolidated Financial Statements
Notes to the Consolidated Financial Statements
For the Year Ended 30 June 2020
For the Year Ended 30 June 2020
8. Other
8.1. Events occurring after the reporting period
The Company completed a $2.15M capital raising (before costs) by the issue of 53.75M shares at 4 cents per share.
Mr Richard Monti was appointed to the board as non-executive Director on 18 August 2020. The Caravel board has
resolved to issue 500,000 options exercisable at 8 cents and expiring 30 September 2022 to Mr Monti. Furthermore,
Caravel has engaged Mr Monti to provide services as part of Caravel’s exploration committee which is responsible for
the ongoing review of exploration results and formulation of exploration strategy. It is expected that this initial 12-month
role will take an average 2-days per month. Mr Monti’s remuneration for Consulting Services will be payable in Options.
A maximum of 1,800,000 Options will be issued to Mr Monti for Consulting Services over the next 12 months. The issue
of Options is subject to shareholder approval.
At a general meeting of shareholders held on 11 September 2020, shareholders approved the issue of 2,500,000
placement shares at 4 cents per share and the issue of 2,730,000 options to Alasdair Cooke under the Company's
Employee Incentive Scheme.
The impact of the Coronavirus (COVID-19) pandemic is ongoing and while it has not significantly impacted the entity up
to 30 June 2020, it is not practicable to estimate the potential impact, positive or negative, after the reporting date. The
situation is rapidly developing and is dependent on measures imposed by the Australian Government and other
countries, such as maintaining social distancing requirements, quarantine, travel restrictions and any economic stimulus
that may be provided.
Other than the matters above, at the date of this report there are no other matters or circumstances which have arisen
since 30 June 2020 that have significantly affected or may significantly affect:
•
•
the operations, in financial years subsequent to 30 June 2020, of the Group;
the results of those operations, in financial years subsequent to 30 June 2020, of the Group.
8.2. Commitments and Contingencies
The Company has certain obligations to perform minimum exploration work on the tenements in which it has an interest.
These obligations vary from time to time. The aggregate of the prescribed expenditure conditions applicable to the
granted tenements for the next twelve months amounts to $557,084.
Application for exemption from all or some of the prescribed expenditure conditions will be made but no assurance is
given that any such application will be granted. Nevertheless, the Company is optimistic, given its level of expenditure in
the North Perth Basin, that it would likely be granted exemptions, on a project basis, in respect of the prescribed
expenditure conditions applicable to many of its North Perth Basin tenements.
If the prescribed expenditure conditions are not met with respect to a tenement, that tenement is liable to forfeiture.
The Company has the ability to diminish its exposure under these conditions through the application of a variety of
techniques including applying for exemptions (from the regulatory expenditure obligations), surrendering tenements,
relinquishing portions of tenements or entering into farm-out agreements whereby third parties bear the burdens of
such obligation in whole or in part.
As at 30 June 2020 Caravel Minerals Limited has no contingent liabilities.
8.3. Remuneration of Auditors
Amount received or due and receivable by the auditor for:
Auditing the financial statements, including audit review - current year audits
Total remuneration of auditors
2020
$
2019
$
45,913
45,913
33,434
33,434
Financial Report 2020
29
Caravel Minerals Limited
36
CARAVEL MINERALSANNUAL REPORT 2020 Notes to the Consolidated Financial Statements
Notes to the Consolidated Financial Statements
For the Year Ended 30 June 2020
For the Year Ended 30 June 2020
8.4. New and revised accounting standards
Early adoption of accounting standards
The Group has not elected to apply any pronouncements before their operative date in the annual reporting year
beginning 1 July 2019.
New accounting standards and interpretations not yet adopted
New or amended Accounting Standards and Interpretations adopted
The Group has adopted all of the new or amended Accounting Standards and Interpretations issued by the Australian
Accounting Standards Board ('AASB') that are mandatory for the current reporting period.
Any new or amended Accounting Standards or Interpretations that are not yet mandatory have not been early adopted.
The following Accounting Standards and Interpretations are most relevant to the Group:
AASB 16 Leases
The Group has adopted AASB 16 from 1 July 2019. The standard replaces AASB 117 'Leases' and for lessees eliminates
the classifications of operating leases and finance leases. Except for short-term leases and leases of low-value assets,
right-of-use assets and corresponding lease liabilities are recognised in the statement of financial position. Straight-line
operating lease expense recognition is replaced with a depreciation charge for the right-of-use assets (included in
operating costs) and an interest expense on the recognised lease liabilities (included in finance costs). In the earlier
periods of the lease, the expenses associated with the lease under AASB 16 will be higher when compared to lease
expenses under AASB 117. However, EBITDA (Earnings Before Interest, Tax, Depreciation and Amortisation) results
improve as the operating expense is now replaced by interest expense and depreciation in profit or loss. For classification
within the statement of cash flows, the interest portion is disclosed in operating activities and the principal portion of
the lease payments are separately disclosed in financing activities. For lessor accounting, the standard does not
substantially change how a lessor accounts for leases.
Impact of adoption
AASB 16 was adopted using the modified retrospective approach and as such the comparatives have not been restated.
The impact of adoption of AASB16 was not material to the financial statements.
When adopting AASB 16 from 1 July 2019, the Group has applied the following practical expedients:
•
•
•
Applying a single discount rate to the portfolio of leases with reasonably similar characteristics;
Accounting for leases with a remaining lease term of 12 months as at 1 July 2019 as short-term leases;
Excluding any initial direct costs from the measurement of right-of-use assets;
• Using hindsight in determining the lease term when the contract contains options to extend or terminate the
lease; and
• Not apply AASB 16 to contracts that were not previously identified as containing a lease.
Standards and Interpretations in use not yet adopted
Australian Accounting Standards and Interpretations that have recently been issued or amended but are not yet
mandatory, have not been early adopted by the Group for the annual reporting period ended 30 June 2020. The Group's
assessment of the impact of these new or amended Accounting Standards and Interpretations, most relevant to the
Group, are set out below.
Conceptual Framework for Financial Reporting (Conceptual Framework)
The revised Conceptual Framework is applicable to annual reporting periods beginning on or after 1 January 2020 and
early adoption is permitted. The Conceptual Framework contains new definition and recognition criteria as well as new
guidance on measurement that affects several Accounting Standards. Where the Group has relied on the existing
framework in determining its accounting policies for transactions, events or conditions that are not otherwise dealt with
under the Australian Accounting Standards, the Group may need to review such policies under the revised framework.
At this time, the application of the Conceptual Framework is not expected to have a material impact on the Group's
financial statements.
Financial Report 2020 30
Caravel Minerals Limited
37
ANNUAL REPORT 2020CARAVEL MINERALS
Director's Declaration
Directors Declaration
In accordance with a resolution of the directors of Caravel Minerals Limited, I state that:
(1)
In the opinion of the directors:
(a)
the financial statements, notes and the additional disclosures included in the directors’ report designated as audited, of
the Group are in accordance with the Corporations Act 2001 including:
(i)
(ii)
giving a true and fair view of the Group’s financial position as at 30 June 2020 and of its performance for the
period ended on that date; and
complying with Accounting Standards, the Corporations Regulations 2001 and other
mandatory professional reporting requirements, 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)
(3)
The Company has included in the notes to the financial statements an explicit and unreserved statement of compliance
with International Financial Reporting Standards.
This declaration has been made after receiving the declarations required to be made to the directors in accordance with
section 295A of the Corporations Act 2001 for the year ended 30 June 2020.
On behalf of the Board.
Stephen Abbott
Managing Director
30 September 2020
Financial Report 2020
31
Caravel Minerals Limited
38
CARAVEL MINERALSANNUAL REPORT 2020 Tel: +61 8 6382 4600
Fax: +61 8 6382 4601
www.bdo.com.au
38 Station Street
Subiaco, WA 6008
PO Box 700 West Perth WA 6872
Australia
INDEPENDENT AUDITOR'S REPORT
To the members of Caravel Minerals Limited
Report on the Audit of the Financial Report
Opinion
We have audited the financial report of Caravel Minerals Limited (the Company) and its subsidiaries
(the Group), which comprises the consolidated statement of financial position as at 30 June 2020, the
consolidated statement of profit or loss and other comprehensive income, the consolidated statement
of changes in equity and the consolidated statement of cash flows for the year then ended, and notes
to the financial report, including a summary of significant accounting policies and the directors’
declaration.
In our opinion the accompanying financial report of the Group, is in accordance with the Corporations
Act 2001, including:
(i)
Giving a true and fair view of the Group’s financial position as at 30 June 2020 and of its
financial performance for the year ended on that date; and
(ii)
Complying with Australian Accounting Standards and the Corporations Regulations 2001.
Basis for opinion
We conducted our audit in accordance with Australian Auditing Standards. Our responsibilities under
those standards are further described in the Auditor’s responsibilities for the audit of the Financial
Report section of our report. We are independent of the Group in accordance with the Corporations
Act 2001 and the ethical requirements of the Accounting Professional and Ethical Standards Board’s
APES 110 Code of Ethics for Professional Accountants (including Independence Standards) (the Code)
that are relevant to our audit of the financial report in Australia. We have also fulfilled our other
ethical responsibilities in accordance with the Code.
We confirm that the independence declaration required by the Corporations Act 2001, which has been
given to the directors of the Company, would be in the same terms if given to the directors as at the
time of this auditor’s report.
We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis
for our opinion.
Material uncertainty related to going concern
We draw attention to Note 1.6 in the financial report which describes the events and/or conditions
which give rise to the existence of a material uncertainty that may cast significant doubt about the
group’s ability to continue as a going concern and therefore the group may be unable to realise its
assets and discharge its liabilities in the normal course of business. Our opinion is not modified in
respect of this matter.
BDO Audit (WA) Pty Ltd ABN 79 112 284 787 is a member of a national association of independent entities which are all members of BDO Australia Ltd ABN 77 050 110 275,
an Australian company limited by guarantee. BDO Audit (WA) Pty Ltd and BDO Australia Ltd are members of BDO International Ltd, a UK company limited by guarantee, and
form part of the international BDO network of independent a firms. Liability limited by a scheme approved under Professional Standards Legislation.
39
ANNUAL REPORT 2020CARAVEL MINERALS Independent Auditor’s Report
Key audit matters
Key audit matters are those matters that, in our professional judgement, were of most significance in
our audit of the financial report of the current period. These matters were addressed in the context of
our audit of the financial report as a whole, and in forming our opinion thereon, and we do not provide
a separate opinion on these matters. In addition to the matter described in the Material uncertainty
related to going concern section, we have determined the matters described below to be the key audit
matters to be communicated in our report.
Carrying value of exploration and evaluation assets
Key audit matter
How the matter was addressed in our audit
The carrying value of the capitalised exploration
and evaluation asset as at 30 June 2020 is
disclosed in Notes 1.7 and 2.1 of the financial
report.
As the carrying value of the exploration and
evaluation asset represents a significant asset of
the Group, we considered it necessary to assess
whether any facts or circumstances exist to
suggest that the carrying amount of this asset
may exceed its recoverable amount.
Judgement is applied in determining the
treatment of exploration expenditure in
accordance with Australian Accounting Standard
AASB 6 Exploration for and Evaluation of Mineral
Resources. In particular:
• Whether the conditions for capitalisation
are satisfied;
• Which elements of exploration and
evaluation expenditures qualify for
recognition; and
• Whether facts and circumstances indicate
that the exploration and expenditure
assets should be tested for impairment.
Our procedures included, but were not limited
to:
•
•
•
•
•
Obtaining a schedule of the area of
interest held by the Company and
assessing whether the rights to tenure of
the area of interest remained current at
balance date;
Considering the status of the ongoing
exploration programmes in the area of
interest by holding discussions with
management, and reviewing the
Company’s exploration budgets, ASX
announcements and director’s minutes;
Considering whether the area of interest
had reached a stage where a reasonable
assessment of economically recoverable
reserves existed;
Considering whether any facts or
circumstances existed to suggest
impairment testing was required; and
Assessing the adequacy of the related
disclosures in Notes 1.7 and 2.1 to the
financial report.
Financial Report 2020 33
Caravel Minerals Limited
40
CARAVEL MINERALSANNUAL REPORT 2020
Other information
The directors are responsible for the other information. The other information comprises the
information in the Group’s annual report for the year ended 30 June 2020, but does not include the
financial report and the auditor’s report thereon.
Our opinion on the financial report does not cover the other information and we do not express any
form of assurance conclusion thereon.
In connection with our audit of the financial report, our responsibility is to read the other information
and, in doing so, consider whether the other information is materially inconsistent with the financial
report or our knowledge obtained in the audit or otherwise appears to be materially misstated.
If, based on the work we have performed, we conclude that there is a material misstatement of this
other information, we are required to report that fact. We have nothing to report in this regard.
Responsibilities of the directors for the Financial Report
The directors of the Company are responsible for the preparation of the financial report that gives a
true and fair view in accordance with Australian Accounting Standards and the Corporations Act 2001
and for such internal control as the directors determine is necessary to enable the preparation of the
financial report that gives a true and fair view and is free from material misstatement, whether due to
fraud or error.
In preparing the financial report, the directors are responsible for assessing the ability of the group to
continue as a going concern, disclosing, as applicable, matters related to going concern and using the
going concern basis of accounting unless the directors either intend to liquidate the Group or to cease
operations, or has no realistic alternative but to do so.
Auditor’s responsibilities for the audit of the Financial Report
Our objectives are to obtain reasonable assurance about whether the financial report as a whole is free
from material misstatement, whether due to fraud or error, and to issue an auditor’s report that
includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an
audit conducted in accordance with the Australian Auditing Standards will always detect a material
misstatement when it exists. Misstatements can arise from fraud or error and are considered material
if, individually or in the aggregate, they could reasonably be expected to influence the economic
decisions of users taken on the basis of this financial report.
A further description of our responsibilities for the audit of the financial report is located at the
Auditing and Assurance Standards Board website (http://www.auasb.gov.au/Home.aspx) at:
https://www.auasb.gov.au/admin/file/content102/c3/ar1_2020.pdf
This description forms part of our auditor’s report.
41
ANNUAL REPORT 2020CARAVEL MINERALS Report on the Remuneration Report
Opinion on the Remuneration Report
We have audited the Remuneration Report included in pages 12 to 16 of the directors’ report for the
year ended 30 June 2020.
In our opinion, the Remuneration Report of Caravel Minerals Limited, for the year ended 30 June 2020,
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.
BDO Audit (WA) Pty Ltd
Dean Just
Director
Perth, 30 September 2020
42
CARAVEL MINERALSANNUAL REPORT 2020 Additional Shareholder Information
Additional Shareholder Information – as at 24 September 2020
- as at 24 September 2020
1.
TWENTY LARGEST SHAREHOLDERS
The names of the twenty largest holders of each class of listed securities as at 24 September 2020 are listed below:
ORDINARY SHARES
Rank
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
Holder Name
Alasdair Cooke (and associated entities)
African Energy Resources Limited (and associated entities)
Glenvar Nominees
Orbit Drilling
Citicorp Nominees
MSP Engineering
Newstead South Holdings Pty Ltd
Lowell Resources Fund
Beebee Holdings Pty Ltd
Mandel Pty Ltd
Mr Anthony Poustie & Mrs Rosamund Mary Poustie
Aviemore Capital Pty Ltd
Fulton Securities Pty Ltd
Burls Holdings Pty Ltd
J P Morgan Nominees Australia Pty Limited
Clarkson's Boathouse Pty Ltd
Windell Holdings Pty Ltd
Terra Metallica Nominees Pty Ltd
Octavius Share Holdings Pty Ltd
Mr Robert Campbell Cooke & Mrs Elizabeth Minna Cooke
Top 20 Total
Total Remaining Holders Balance
Total Shares on Issue
2. DISTRIBUTION OF EQUITY SECURITIES
Analysis of security by size holding as at 24 September 2020:
Securities
22,676,358
18,383,872
13,142,858
8,927,081
8,403,291
7,832,551
6,690,138
6,479,552
6,189,491
6,175,000
6,116,906
6,000,499
6,000,000
5,620,512
4,324,043
4,190,850
3,800,000
3,263,586
3,000,000
2,845,715
%
9.04%
7.33%
5.24%
3.56%
3.35%
3.12%
2.67%
2.58%
2.47%
2.46%
2.44%
2.39%
2.39%
2.24%
1.72%
1.67%
1.51%
1.30%
1.20%
1.13%
150,062,303
100,860,388
250,922,691
59.80%
40.20%
100.00%
Range
100,001 and Over
10,001 to 100,000
5,001 to 10,000
1,001 to 5,000
1 to 1,000
Total
Unmarketable Parcels
Securities
234,966,912
14,950,140
800,675
183,917
21,047
250,922,691
204,964
%
No. of holders
93.64%
5.96%
0.32%
0.07%
0.01%
100.00%
0.08%
195
379
98
57
60
789
117
%
24.71%
48.04%
12.42%
7.22%
7.60%
100.00%
14.83%
3.
SUBSTANTIAL SHAREHOLDERS
The names of the substantial shareholders listed in the company’s register as at 24 September 2020 are:
Name
Alasdair Cooke (and associated entities)
African Energy Resources Limited (and associated entities)
Glenvar Nominees
Number of Shares Held
22,676,358
18,383,872
13,142,858
Financial Report 2020 36
Caravel Minerals Limited
43
ANNUAL REPORT 2020CARAVEL MINERALS
Additional Shareholder Information
Additional Shareholder Information – as at 24 September 2020
- as at 24 September 2020
4.
UNQUOTED SECURITIES
As at 24 September 2020, the following unquoted securities are on issue:
Unquoted Securities
$0.080 Options expiring 30/09/2021
$0.080 Options expiring 30/06/2022
Total unquoted securities
Number on Issue
Number of Holders
16,900,000
4,465,100
21,365,100
12
3
5.
VOTING RIGHTS
The voting rights of the ordinary shares are as follows:
Subject to any rights or restrictions for the time being attached to any shares or class of shares of the Company, each member
of the Company is entitled to receive notice of, attend and vote at a general meeting. Resolutions of members will be decided
by a show of hands unless a poll is demanded. On a show of hands each eligible voter present has one vote. However, where a
person present at a general meeting represents personally or by proxy, attorney or representation more than one member, on a
show of hands the person is entitled to one vote only despite the number of members the person represents.
On a poll each eligible member has one vote for each fully paid share held.
There are no voting rights attached to any of the options that the Company currently has on issue. Upon exercise of these options,
the shares issued will have the same voting rights as existing ordinary shares.
6.
ON-MARKET BUY BACK
There is currently no on-market buy-back program for any of Caravel Minerals Limited’s listed securities.
7. MINERAL RESOURCES
At 24 September 2020 the Company has an Indicated and Inferred Mineral Resource at its Caravel Copper Project of 372.1
million tonnes at 0.35% Cu for 1,301,600 tonnes copper using a 0.25% Cu Cut-off (Indicated 224.7 million tonnes at 0.36% Cu
for 802,900 tonnes copper and Inferred 147.3 million tonnes at 0.34% Cu for 498,700 tonnes copper). The resource was
announced on 29 April 2019 and a subsequent Scoping Study was completed and released on 29 May 2019.
The Company engaged independent consultants to prepare the Resource estimate. In the course of doing so the consultants
have:
•
•
•
•
•
•
Reviewed the Company’s assay and QA/QC data;
Generated digital models that represent the interpreted geology, mineralisation and oxidisation profiles based on
drilling and geological information supplied by the Company;
Completed statistical analysis and variography of economic elements;
Estimated grades of economic elements using ordinary kriging and completed model validity checks;
Classified the Mineral Resource estimate in accordance with the 2012 Edition of the JORC Code; and
Reported the estimates and compiled supporting documentation in accordance with the 2012 Edition of the JORC
code guidelines.
Competent Person Statements
The information in this report that relates to the Calingiri Mineral Resource estimates is extracted from an ASX Announcement, (see ASX
Announcement – 29 April 2019 “Caravel Copper Resource and Project Update”, www.caravelminerals.com.au and www.asx.com.au). The
Company confirms that it is not aware of any new information or data that materially affects the information included in the original market
announcement and that all material assumptions and technical parameters underpinning the Mineral Resource estimates in the relevant market
announcement continue to apply and have not materially changed. The Company confirms that the form and context in which the Competent
Person’s findings are represented have not been materially modified from the original market announcement.
Production Targets and Financial Information
Information in relation to the Caravel Copper Project Scoping Study, including production targets and financial information, included in this
report is extracted from an ASX Announcement dated 29 May 2019, (see ASX Announcement - 29 May 2019, “Scoping Study Confirms New 23-
Year WA Copper Project With Outstanding Economics”, www.caravelminerals.com.au and www.asx.com.au) The Company confirms that all material
assumptions underpinning the production target and financial information set out in the announcement released on 29 May 2019 continue to
apply and have not materially changed.
Financial Report 2020
37
Caravel Minerals Limited
44
CARAVEL MINERALSANNUAL REPORT 2020 ASX:CVV
Suite 1, 245 Churchill Avenue, Subiaco WA 6008
Phone: +618 9426 6400 - Fax: +618 9426 6448