GREAT WESTERN EXPLORATION LIMITED
AND CONTROLLED ENTITIES
ABN 53 123 631 470
ANNUAL REPORT
30 JUNE 2023
GREAT WESTERN EXPLORATION LIMITED
ABN 53 123 631 470
CORPORATE DIRECTORY
Directors
Auditor
Kevin Clarence Somes (Chairman)
Shane Pike (Managing Director)
Grey Egerton-Warburton (Director)
Ross Williams (Director)
Company Secretary
Anthony Walsh
Principal Office
Level 2, 160 ST Georges Terrace
Perth, Western Australia 6005
Telephone (08) 6311 2852
Share Registry
Computershare Investor Services Pty Limited
Level 17
221 St Georges Terrace
Perth
Western Australia 6000
Telephone: 1300 787 272
Facsimile: (08) 9323 2033
Website:
www.greatwesternexploration.com.au
Hall Chadwick WA Audit Pty Ltd
283 Rokeby Road
Subiaco WA 6008
Solicitors
Steinepreis Paganin
16 Milligan Street
Perth
Western Australia 6000
Stock Exchange
The Company’s shares are listed by the
Australian Securities Exchange Limited
The home exchange is Perth
ASX Code - Fully paid shares GTE
GREAT WESTERN EXPLORATION LIMITED
CONTENTS
Review of Operating and Corporate Activities
Sustainability
Directors’ Report
Consolidated Statement of Profit or Loss and other Comprehensive
Income
Consolidated Statement of Financial Position
Consolidated Statement of Changes in Equity
Consolidated Statement of Cash Flows
Notes to the Consolidated Financial Statements
Directors’ Declaration
Auditor’s Independence Declaration
Independent Auditor’s Report
Additional Information
1
21
22
34
35
36
37
38
70
71
72
77
Great Western Exploration Limited
Review of Operating and Corporate Activities
Executive Summary
Great Western Exploration Limited (ASX: GTE) (“the Company”, “Great Western”) is pleased to provide a
review of its operating and corporate activities for the year ended 30 June 2023.
• At the Firebird Gold Project a broad-spaced aircore drilling was completed, testing the large 3.7km
x 450m wide untested soil anomaly at this location. Anomalous results were returned from the
programme, with follow-up RC drilling completed subsequent to the end of June 2023.
• A heliborne EM survey was completed at the Fairbairn Nickel-Copper Project, exploring for Nova
and Julimar style magmatic nickel-copper deposits along the margin of the Yilgarn Craton. Seven
targets were identified warranting further investigation.
• Within the Atley North Project a RC drilling was completed at the Angus Target, testing a large
950m x 450m Ultrafine+ soil anomaly. Angus is located along the Youanmi Fault, with bedrock
obscured by colluvium cover potentially obscuring mineralised units below.
• A passive seismic survey was completed at the Company’s Lake Way Potash Project, defining a
major paleochannel extending from S04’s project to the north and traversing 60km through the
length of Great Western’s Tenure to the south. The paleochannel measured 2.5km in width with
the deepest calibrated depth section of 162 metres.
• At the Yerrida North Joint Venture an airborne gravity gradiometry survey was completed refining
the Yerrida Basin Model A comprehensive data collation was completed by Sandfire Resources
that identified a number of new targets, with this data and identified targets reverting to Great
Western after Sandfire’s withdrawal from the project.
• Basement modelling was completed at the Golden Corridor Project, with EIS Initiative co-funding
granted by the Western Australian Government to test depth to basement. This drilling will target
mineralised Wiluna Greenstone interpreted to be shallower than previously interpreted, evident by
gold in soil anomalism along north-east trending structural breaks.
• Within the Yandal Project a second phase of RC drilling was completed at Harris Find. All drilled
holes intersected the targeted mineralised structure; with predominately narrow low-grade results
received from these intervals.
• $2.85mil fund raised by way of a placement in April and May 2023.
Great Western looks forward to continuing to update shareholders in the coming financial year, in what is
expected to be a period of high intensity exploration activity.
Operating Activities
Firebird Gold Project
GTE 100% (E53/1894, E53/2027) and GTE Earning up to 80% (E53/2129)
The Firebird Gold Project (“Firebird”) is located within the Youanmi Greenstone Belt, comprised of 100%
owned GTE tenure and the adjacent Great Western-Dynamic Metals (ASX:DYM) Joint Venture (Great
Western earning 80%). Firebird is 2.5km west of Western Gold Resources’ Gold Duke Project which
contains several Mineral Resources reported to JORC 2012 standard (Figure 1), demonstrating the fertility
and economic potential of the greenstone sequence.
1
Great Western Exploration Limited
Figure 1: Location of the Firebird Project, with the location of the Gold Juke JORC 2012 standard resources located
west of the Firebird Project.
Great Western completed Phase 1 aircore drill programme during the June 2023 Quarter, with 3,040m
drilling completed to test the large 3.7km x 400m soil anomalism at Firebird (shown in Figure 2). Results
returned from this drilling programme subsequent to the end of June 2023 confirmed the soil anomalism
as insitu. The mineralisation was hosted by heavily weathered Archean Greenstones, rock units that host
most of Western Australian’s gold deposits. Assays of note included (shown in Figure 2-Figure 6):
• 2m @ 1.20g/t Au from 42m (GFB045);
• 2m @ 0.88g/t Au from 2m (GFB047);
• 2m @ 0.88g/t Au from 48m (GFB031);
• 2m @ 0.34g/t Au from 58m (GFB061);
• 4m @ 0.22g/t Au from 48m (GFB061);
• 4m @ 0.21g/t Au from 42m (GFB027); and
• 4m @ 0.20g/t Au from 24m (GFB027).
RC follow-up drill testing of the anomalous aircore drilling results was completed late July 2023, with assays
from this programme expected in the September 2023 Quarter.
2
Great Western Exploration Limited
Figure 2: Plan section of soil anomalism, drilled aircore holes and associated anomalous assay results.
3
Great Western Exploration Limited
Figure 3: Cross section on 7,039,000N displaying anomalous result from drill-hole GFB045.
Figure 4: Cross section on 7,039,400N displaying anomalous aircore drill results of GFB027, GFB030, and GFB031.
4
Great Western Exploration Limited
Figure 5: Cross section on 7,037,000N with anomalous assay result from drill-hole GFB061. Aircore holes GFB059
and 060 were abandoned due to hard ground.
Figure 6:Cross Section of 7,039,800N and anomalous results from aircore drill-hole GFB018.
5
Great Western Exploration Limited
Fairbairn Nickel-Copper Project
GTE 100% (E69/3443)
The Fairbairn Nickel-Copper Project is located 900km north-east of Perth, on the northern margin of the
Yilgarn Craton, within the Earaheedy Basin. The Yilgarn Craton margin is highly prospective for base metal
deposits, and host to both the Julimar and Nova Deposits (Figure 7). Little previous exploration has been
completed at Fairbairn, with work completed during the 1980s and early-1990s focused on diamond
exploration rather than magmatic nickel-copper style mineralisation.
Figure 7: Location of the Fairbairn Base Metal Project on the margin of the Yilgarn Craton, and the interpreted “mantle
tapping” Ockerburry Fault, a potential conduit for metal deposit formation.
A helicopter-borne electromagnetic (EM) survey was completed in January 2023 at the Fairbairn Nickel-
Copper Project with the aim of delineating magmatic nickel-copper targets. Interpretation of this data
identified seven modelled EM plate targets with significant lateral extents, measuring up to 900m along the
plate’s length (Figure 8). The plates sit below the government mapped and modelled sedimentary rocks of
Earaheedy Basin, with basement interpreted to be mafic and ultramafic rocks of Archean Greenstone
6
Great Western Exploration Limited
Terrain, prospective for magmatic nickel-copper deposits.
Figure 8: Location of interpreted plates from the helicopter-borne EM Survey in yellow, overlaid on reduced to pole
magnetic data. Note location of previously drilled holes M017, M105, and DH8, in relation to the newly defined targets.
The magnetic highs shown in Figure 8 supports a greenstone basement interpretation, and legacy drilling
completed in the 1990s intersected mafic and ultramafic rocks below basin cover. This drilling returned
previously reported anomalous results of 20m @ 1,214ppm Ni from 28m (M017), from the limited suite of
elements assayed at the time.
Review of government open file data found 1990s drilled holes M105 and DH8 (Figure 9) intersected
ultramafic rocks with quartz-calcite veins and copper-sulphide mineralisation (described as chalcopyrite -
DH8), adjacent to two modelled EM plates; no assays are available for this interval. These drilled intercepts
potentially represent distal mineralisation from a mineralised source.
7
Great Western Exploration Limited
Figure 9: Cross Section (A-A', refer Figure 2) showing modelled EM plates and 1990s legacy drilling where copper-
sulphide mineralisation was described.
Great Western prioritised further exploration on this project, with a field inspection completed during the
June 2023 Quarter. Subsequent to the end of June 2023, a ground electromagnetic (EM) survey was
undertaken to further define the seven previously identified heliborne EM targets. Interpretation of the
ground EM data is underway, which the Company anticipates will further refine the seven heliborne EM
targets.
Altey North Project
GTE 100% (E57/1130)
The Atley North Project is located along the Youanmi Shear, host to nearby gold deposits such as Youanmi
(Rox Resources) and Penny West (Ramelius Resources), shown in Figure 10. The Angus Target within
this project is a large Ultrafine+ soil anomaly, with extents of 950m x 450m (Figure 11). Government
bedrock mapping interprets Archean granitoids at this location; however, bedrock is obscured by
transported cover, which potentially conceals Archean Greenstone units that are prospective for large
orogenic gold deposits.
8
Great Western Exploration Limited
Figure 10: Location of the Atley North Project in proximity to nearby gold mines.
A reverse circulation (RC) drilling programme was completed subsequent to the end of June 2023, which
tested the large 950m x 450m Ultrafine+ soil anomalism at the Angus Target, shown in Figure 11. The
anomalous contours of the soil anomalism are sub-parallel with faulting of the Youanmi Shear Zone, with
drilling designed to test the anomalies below shallow colluvial cover. Results from this programme are
expected to be returned in the September 2023 Quarter.
9
Great Western Exploration Limited
Figure 11: Atley North Project: anomalous soil contours, planned drilling, and float sample locations overlaid on
1:500,000 government interpreted geological map.
Lake Way Potash Project
GTE 100% (E53/1949, E53/2017, E53/2026, E53/2146, E53/2206)
Great Western’s Lake Way Potash Project is located approximately 50km south-east from Wiluna and
adjoins SO4’s potash development project. The majority of SO4’s potash resources are hosted within a
single paleochannel which continues downstream into Great Western’s tenure (Figure 12). Previously
completed test work indicates that the potash brine within the basal sands of the paleochannel remains
high grade (>5,000mg/l potash) as it enters Great Western’s Lake Way Potash Project area (ASX
Announcements by SO4 on 28th March 2018 and Great Western on 6th February 2020 and 1 July 2021).
Company data was reviewed by hydrogeologist KH Morgan of KH Morgan and Associates. In Mr Morgan’s
preliminary assessment of Great Western’s Lake Way Project (GTE ASX Announcement 1 July 2021), he
advised Great Western that: “A comprehensive test pumping programme by WMC defined the hydraulic
properties of the aquifer providing useful data for any evaluation of brine abstraction from the Great
10
Great Western Exploration Limited
Western land. The WMC report also provides a range of potassium values. The higher potassium values
occur in both shallow and deep aquifers.” (GTE ASX Announcement 1 July 2021).
Figure 12: Interpreted continuation of SO4’s Lake Way high grade potash paleochannel leading downstream into
GTE’s Lake Way Potash Project.
A passive seismic survey, a non-ground disturbing, low impact geophysical survey technique, was recently
completed over the interpreted position of the paleochannel. Modelling of the horizontal to vertical (HVSR)
survey data by Resource Potentials confirmed the paleochannel extends approximately 60km through the
Company’s held tenure, with central widths of up to 2.5km, and the deepest calibrated depth section being
162 metres near the western side of the tenure (illustrated in Figure 13 and Figure 14).
In KH Morgan’s assessment of the recently acquired survey data, he described the paleochannel as
forming initially from a centralised inset valley, which would have filled with lateritic and boulder colluvium
from the valley slopes. He interprets “Many of these sediments have high hydraulic conductive properties
providing ideal targets for high yield brine production bores” (GTE ASX Announcement 22 May 2023). The
inset channel is overlain by a thinner sequence of potential brine yielding sediment, in places more than
10 kilometres in width.”
Mr Morgan advised “The principal conclusion from combined passive seismic surveys is the potential
presence of a major brine saturated palaeochannel system extending the full sixty-kilometre length through
the Great Western tenements, clearly requiring ongoing evaluation for SOP resources”.
11
Great Western Exploration Limited
Figure 13: Coloured passive seismic sections overlain on state-wide pseudo-colour gravity and greyscale
aeromagnetic imagery.
Great Western believes that the magnitude of the paleochannel presents an opportunity for the Company
to unlock significant shareholder value. The services of Mr Morgan have been retained on a Consultancy
basis to continue working with the Company to advance the Project to report a brine resource to equivalent
standards as the JORC Code 2012 Code, which would potentially allow progress to a prefeasibility study.
The Company was also pleased to report that the 26D Water Licences held over the Company’s Lake Way
Tenements were renewed for a further two years to May 2025. These water licences allow up to 50
exploration bores to be drilled and to undertake sampling and test pumping of bore capability.
12
Great Western Exploration Limited
Figure 14: Three-dimensional view of the interpreted paleochannel pathway (thalweg) (after Resource Potential,
March 2023).
Yerrida North Joint Venture
An airborne gravity gradiometry (AGG) survey comprising 2,177 line-kilometres was completed across
the majority of the Yerrida North Joint Venture Project, to further define Yerrida basin modelling and for
target generation and exploration programme prioritisation. Interpretation of the AGG data was
completed by Peter Kovac, an industry expert in AGG interpretation. The survey and subsequent basin
structural interpretation was wholly funded by Sandfire Resources (ASX:SFR, “Sandfire”) and combined
AGG, magnetic and airborne electromagnetic data. The interpretation described two structural domains
within the basin: (1) western compressional, and (2) eastern extensional/transtensional domains.
In addition, Sandfire completed an extensive data collation and interpretation of previously completed
exploration across the Yerrida North Joint Venture. The collated and interpreted data was integrated with
the basin model described above, with field reconnaissance completed on areas of interest.
Subsequent to the end of June 2023, Great Western Exploration was advised by Sandfire that it was
withdrawing from the Yerrida North Joint Venture. Sandfire spent $4.5M on exploration within the Yerrida
North JV since the commencement of the joint venture in 2017, acquiring and compiling a comprehensive
geological data package for future exploration, which will now revert to Great Western.
13
Great Western Exploration Limited
Figure 15: Airborne gravity gradiometry with interpreted major tectonic zones, and the Oval and Oval South Targets.
This data includes the basin models and legacy data compilation described above, plus geological mapping
and surface geochemical sampling data, and data from several geophysical programmes completed by
Sandfire since 2017.
Interpretation of this expansive data set by Sandfire resulted in several targets generated including Oval,
a Rio Tinto VTEM target defined in the 1990s, interpreted to have not been effectively drill tested, and Oval
South, a co-incident gravity-magnetic feature (Figure 15). Oval South is located on an east-west
extensional structure, with potassic-magnetic alteration mapped at surface, and is interpreted as a potential
mineralised intrusion warranting further exploration.
Great Western will now make its own assessment of the data generated by SFR and determine its forward
exploration strategy.
Golden Corridor Project
GTE 100%
The Archean Wiluna-Norsemen Greenstone belt is one of Australia’s most prolific mineral terrains, host to
several multi-million-ounce gold and base metal deposits. The belt is interpreted to extend north-west from
Wiluna and below Proterozoic Yerrida Basin cover. Great Western’s Golden Corridor Project is located
along this projected trend, on the eastern margin of the basin shown in Figure 16. Several Ultrafine+ soil
anomalies have been defined at this location (Figure 17), which the Company interprets are zones of
potential leakage from mineralised Archean Greenstone below basin cover.
Great Western was notified by the Western Australian Department of Mines that the Company’s Co-
Funded Exploration Drilling Application was approved. The Department will co-fund up to 50% of drilling
costs to a maximum of $110,000, with a maximum of $5,000 for rig mobilisation also available to be used
14
Great Western Exploration Limited
to drill test the Company’s basement model.
Figure 16: The Golden Corridor is Australia’s most important gold terrane and host to many of Australia’s
largest gold deposits.
The Company’s Archean Greenstone basement model was generated by the compilation of previously
completed basement interpretation within the interpreted Wiluna Greenstone extension, with a 3D
basement surface created. The model utilised previously completed gravity and magnetic inversion
geophysical models, passive seismic data, geology logs from the limited drilling in the north-east of the
basin margin, and government geological mapping and associated cross-sectional interpretation.
The model defined the depth to basement along the eastern margin was significantly less than government
mapping predictions, with gravity data suggesting the basement is composed of Archean Greenstone
(Wiluna-Norsemen Belt) rather than granitic terrain from government interpretation. No drilling had been
completed at this location to an adequate depth to test the basement and, as a result, presents a compelling
target.
15
Great Western Exploration Limited
Figure 17: GC1 to GC4 aeromagnetic structural targets in relation to the anomalous gold contours (modified after GTE
ASX Announcement 3 March 2022).
Great Western Exploration intends to drill a diamond hole from surface (Figure 17 and Figure 18), allowing
detailed logging of the Yerrida Basin units, the basement contact, and the interpreted underlying Archean
16
Great Western Exploration Limited
Wiluna-Norsemen Greenstone rocks. The proposed diamond drill hole will be located within a north-east
trending Ultrafine+ Soil anomaly, interpreted as a structural trend allowing leakage of underlying
mineralised greenstone. This trend may be a fault uplift zone, where the basement is potentially closer to
the surface than previously modelled.
Figure 18: Cross section of Co-Funded drill-hole, with interpreted Yerrida Basin contact with Archean Wiluna-
Norseman Greenstone.
Yandal West Project
GTE 80% (E53/1612)
The Yandal West Project is located within the world class Yandal Greenstone Belt, approximately 55km
north of the Bronzewing Gold Mine and 60km south of the Jundee Gold Mine. A second phase of drilling
was completed at Harris’ Find in January 2023, which aimed to extend high-grade mineralisation below
and along strike of previously announced significant legacy drill intercepts at this location, which included
7m @ 4.3g/t from 27m. Results from the drilling programme were received and shown in Figure 19 and
Figure 20, and Table 1.
All drilled holes intersected the targeted mineralised structure; with predominately narrow low-grade
results received from these intervals.
17
Great Western Exploration Limited
Table 1: Harris' Find Phase 2 RC drilling results from the targeted Harris Find Structure (see Appendix 1 for further
details)
Drill hole
Drill Type
From
To
Drill Intercept
GYWDD013 DD
GYWRC014 RC
GYWRC015 RC
GYWRC016 RC
GYWRC017 RC
Including
GYWRC018 RC
GYWRC019 RC
NSA: No significant Assay
55.2
46
32
63
44
48
55
70
56
47
36
64
51
59
58
72
NSA
1m @ 0.6 g/t Au
4m @ 0.84g/t Au
1m @ 2.84 g/t Au
7m @ 1.13g/t Au
1m @ 3.16g/t Au
NSA
2m @ 0.81g/t
Figure 19: Harris' Find longitudinal section, with previously reported drill intercepts displayed, coloured by gold grams
x drilled metres, and results of the Phase 2 RC drilling programme.
While the latest drill results downgraded Harris’ Find, the structure is open 3km to the north from Harris’
Find along the Barwidgee Fault, with previously reported anomalous RAB drilling results and high-grade
rock-chips along strike.
18
Great Western Exploration Limited
Figure 20: Plan section of reported drill-hole results positions.
Corporate
Fund raisings
In April and May 2023, the Company completed a fund raising of $2.85 million (before costs) by way of a
placement of 71,250,000 ordinary shares at an issue price of $0.04 per share (“Placement”) to
professional and sophisticated investors. The Placement ensures that Great Western is fully funded for
its current exploration plans.
Euroz Hartleys Limited and Peloton Capital acted as Joint Lead Managers for the Placement. Great
Western directors, Kevin Somes, Ross Williams and Grey Egerton-Warburton participated in the
Placement following shareholder approval at a General Meeting held on 16 May 2023.
Junior Mineral Exploration Incentive
Subsequent to 30 June 2023, the Company was successful in its application for participation in the
Federal Government’s Junior Mineral Exploration Incentive (“JMEI”) Scheme for the 2023/2024 tax year.
Great Western has received an allocation of up to $1,050,000 in JMEI credits for the 2023/2024 tax year.
19
Great Western Exploration Limited
The Federal Government’s JMEI scheme encourages investment in exploration companies that
undertake greenfields mineral exploration in Australia, by allowing these exploration companies to forgo
a portion of their carried forward tax losses that have arisen from allowable expenditure on "greenfield"
exploration for potential distribution to eligible investors. Great Western wish to acknowledge the support
of the Federal Government in making the JMEI available.
References
1. 28 March 2018
Exploration Targets Reveal World Class Scale Potential, Salt Lake Potash (S04:ASX),
ASX Announcement.
2. 1 July 2021 Lake Way Potash Project – Work Programme to Commence, Great Western Exploration
(GTE:ASX), ASX Announcement.
3. 22 May 2023
Lake Way Potash Seismic Survey Defines Major Paleochannel, Great Western
Exploration (GTE:ASX), ASX Announcement
Competent Person Statement
The information in this report that relates to Exploration Results, Mineral Resources or Ore Reserves is
based on information compiled by Mr. Shane Pike who is a member of the Australian Institute of Mining
and Metallurgy. Mr. Pike is an employee of Great Western Exploration Limited and has sufficient
experience which is relevant to the style of mineralisation and type of deposit under consideration and to
the activity which he is undertaking to qualify as a Competent Person as defined in the 2012 Edition of
the ‘Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves’. Mr.
Pike consents to the inclusion in the report of the matters based on his information in the form and
context in which it appears.
20
Great Western Exploration Limited
Sustainability
Great Western Exploration Limited and the Board are committed to being a leading and sustainable
Australian exploration company built on exploration and corporate success for the benefit of all of its
stakeholders. The Company continues to review and update its Sustainability policies in compliance with
new legislation and best practice. These policies apply to all our personnel and implementation of these
policies and their supporting standards and procedures are required across all the Company exploration
operations.
The Company’s
www.greatwesternexploration.com.au
sustainability policies
Environment
can be
viewed on
the Company’s website,
The Company seeks to being effective environmental guardians and managing our impacts, whilst both
achieving operational excellence and fulfilling our corporate social responsibilities. The Company is
committed to positive environmental management outcomes to maintain and enhance performance.
The Company acknowledges the threat posed by climate change and will work to decarbonise our business
in a measured, proportionate and sustainable manner.
Community
The Company seeks to create enduring value for our local communities and limiting our negative impacts,
whilst both achieving operational excellence and fulfilling our corporate social responsibilities.
Health & Safety
The Company seeks to minimise the harm caused by workplace hazards whilst both achieving operational
excellence and fulfilling our corporate social responsibilities. The Company is committed to leadership in
health and safety through the use of responsible and reliable management systems to maintain and
enhance performance. During the year, the Company updated its work, health and safe systems and
procedures in compliance with the Western Australian WHS Act.
Governance
Great Western Exploration Limited and the Board are committed to achieving and demonstrating the
highest standards of corporate governance. Great Western Exploration has reviewed its corporate
governance practices against the Corporate Governance Principles and Recommendations (4th edition)
published by the ASX Corporate Governance Council.
The 2023 Corporate Governance Statement was approved by the Board on 14 September 2023 and is
current as at 14 September 2023. A description of the Group’s current corporate governance practices is
set out in the Group’s Corporate Governance Statement which along with the 2023 Appendix 4G can be
viewed on the Company’s website, www.greatwesternexploration.com.au.
21
Great Western Exploration Limited
DIRECTORS’ REPORT
The Directors present the annual report of the Consolidated Group (“the Group) for the year ended 30 June
2023.
DIRECTORS
The names of the Directors in office during the year and until the date of this report are as below. Directors
were in office for the entire period unless otherwise stated.
Kevin Clarence Somes
Chairman
Shane Pike
Managing Director
Grey Egerton-Warburton
Non-executive Director
Ross Williams
Non-executive Director
Mr Kevin Clarence Somes FCA
Non-executive Chairman
Experience and expertise
Mr Somes is a fellow of the Institute of Chartered Accountants and was a partner of Somes & Cooke
Chartered Accountants for over 25 years.
Mr Somes has extensive experience in the management of exploration companies, with Somes & Cooke
being the auditors of a number of ASX listed mining companies during his tenure.
Other current directorships
None.
Former directorships in last three years
None.
Share and Option holding in the Company
8,017,233 Ordinary Shares
Mr Shane Pike
Managing Director
Mr Pike is a geologist with well over 20 years’ of successful technical and management experience and a
proven track record in gold and base metals exploration, discovery, project development in both open pit
and underground mining. Mr Pike holds a Bachelor of Applied Science (Double Major Geology). Mr Pike
was Exploration Manager (East Coast) for Evolution Mining Limited (ASX: EVN) (7 years), and Senior
Exploration Geologist for Newcrest Mining Limited (ASX: NCM) (3 years) and Equigold NL (9 years). Mr
Pike also served as Chief Executive Officer of Santana Minerals.
Other current directorships
None.
Former directorships in last three years
None.
Share and Option holding in the Company
Nil Ordinary Shares
5,000,000 zero exercise priced options which expire on 19/06/2027, (subject to Mr Pike remaining in
employment during the relevant vesting period) and vesting on certain conditions.
22
Great Western Exploration Limited
DIRECTORS’ REPORT (continued)
Mr Grey Egerton Warburton
Non-executive Director
Grey Egerton-Warburton has a strong background in corporate finance, with extensive experience in equity
capital markets, acquisitions, divestments and domestic and international change of control transactions.
Grey has led a substantial number of capital raisings and led many successful takeovers and mergers for
ASX listed companies, across many sectors. Prior to his career in corporate finance Mr Egerton-Warburton
practiced as a corporate solicitor at a tier one national law firm.
Other current directorships
None.
Former directorships in last three years
None.
Share and Option holding in the Company
29,225,500 Ordinary Shares
Mr Ross Williams
Non-executive Director
Mr Ross Williams is a highly experienced Company Director and businessman, having co-founded a Mining
Services business from start up through to ASX listing and a market capitalisation over $400m with
revenues in excess of $500m. Ross held the role of Finance Director for 12 years and during this time was
responsible for capital management, finance, financial reporting, corporate strategy and investor relations
before retiring to a Non-Executive role. Mr Williams started his career in Banking and Finance and his listed
company roles have also included Non-Executive Director of a successful Mining Company and Chairman
of a listed investment Company.
Other current directorships
None
Former directorships in last three years
None.
Share and Option holding in the Company
29,255,760 Ordinary Shares
COMPANY SECRETARY
The Company Secretary is Mr Anthony Walsh. Mr Walsh was appointed company secretary on 4 June
2020.
Mr Walsh has over 30 years’ experience in dealing with listed companies, ASX, ASIC and corporate
transactions including 14 years with the ASX in Perth where he acted as ASX liaison with the JORC
committee, four years as Chairman of an ASX listed mining explorer and as a director of a London AIM
listed explorer. Mr Walsh is also currently Company Secretary of Legend Mining Limited. Mr Walsh is a
member of the Australian Institute of Company Directors, a Fellow of the Governance Institute of Australia,
the Institute of Chartered Secretaries and the Institute of Chartered Accountants in Australia. He is currently
a non-executive director of the not-for-profit Women’s and Infants Research Foundation.
23
Great Western Exploration Limited
DIRECTORS’ REPORT (continued)
NATURE OF OPERATIONS AND PRINCIPAL ACTIVITIES
The principal activities during the period of the entities within the consolidated entity were exploration for
gold and base metals deposits in Australia.
RESULTS OF OPERATIONS
The loss of the consolidated entity for the year after tax was $5,861,986 (2022: $598,504 loss).
FINANCIAL POSITION
At the end of the financial year the Group had cash reserves of $3,021,416 (2022: $4,624,561) and incurred
expenditure on exploration and evaluation of $3,326,510 (2022: $3,213,568) before write offs during the
year.
RISKS AND RISK MANAGEMENT
The Company attempts to mitigate risks that may affect its future performance through a systematic
process of identifying, assessing, reporting and managing risks of corporate significance. Key operational
risks and their management are recurring items for discussion at Board meetings.
The following discusses the Company’s most significant business risks.
a) Exploration
Whilst considered highly prospective, the Company’s tenements are early stage exploration
tenements with limited exploration undertaken on them to date.
Exploration is a high risk undertaking. The Company’s joint venture projects for copper, nickel and
gold prospects in Australia are in the preliminary stages of exploration and no assurance is given
that exploration of its current projects or any future projects will result in the delineation or discovery
of a significant mineral resource. Even if a significant mineral resource is identified, there can be
no guarantee that it can be economically exploited.
b) Commodity prices
As an explorer for copper, gold, nickel and potentially other minerals, any successes of the
Company are expected to be closely related to the price of those and other commodities.
Fluctuating prices in those commodities make market prices for securities in the Company more
volatile than for other investments.
Commodities prices are affected by numerous factors beyond the control of the Company. These
factors include worldwide and regional supply and demand for commodities, general world
economic conditions and the outlook for interest rates, inflation and other economic factors on both
a regional and global basis. These factors may have a positive or negative effect on the
Company’s exploration, project development and production plans and activities, together with the
ability to fund those plans and activities.
24
Great Western Exploration Limited
DIRECTORS’ REPORT (continued)
c) Environmental
The Company’s projects are subject to rules and regulations regarding environmental matters and
the discharge of hazardous wastes and materials. As with all mineral projects, the Company’s
projects are expected to have a variety of environmental impacts should development proceed.
Development of any of the Company’s projects will be dependent on the Company satisfying
environmental guidelines and, where required, being approved by government authorities.
The Company intends to conduct its activities in an environmentally responsible manner and in
accordance with all applicable laws but may still be subject to accidents or other unforeseen events
which may compromise its environmental performance and which may have adverse financial
implications.
d) Future capital needs.
The Company’s ability to raise further capital (equity or debt) within an acceptable time of a
sufficient amount and on terms acceptable to the Company will vary according to a number of
factors, including prospectivity of projects (existing and future), the results of exploration,
subsequent feasibility studies, development and mining, stock market and industry conditions and
the price of relevant commodities and exchange rates.
No assurance can be given that future funding will be available to the Company on favourable
terms (or at all). If adequate funds are not available on acceptable terms, the Company may not
be able to further develop its projects and it may impact on the Company’s ability to continue as a
going concern.
SIGNIFICANT CHANGES IN THE STATE OF AFFAIRS
There has been no significant change in the state of affairs of the Company during the financial year.
DIVIDENDS
No dividends have been recommended by the Directors.
MATTERS SUBSEQUENT TO THE END OF THE FINANCIAL YEAR
No matters or circumstances have arisen since the end of the year to the date of this report which have
significantly affected, or may significantly affect, the operations of the Company, the results of those
operations or the state of affairs of the Company, other than:
• On 17 August 2023 the Company announced that it had been advised by Sandfire Resources
(Sandfire) that it was withdrawing from the Yerrida North Joint Venture (JV). Sandfire spent ~$4.5M
on exploration within the Yerrida North JV since the commencement of the joint venture in 2017,
acquiring and compiling a comprehensive geological data package for future exploration, which will
now revert to Great Western.
• On 1 August 2023 the Company announced RC drilling has been completed at the Firebird Gold
Project, with 1,700m drilled. Assay results from this drilling are pending.
25
Great Western Exploration Limited
DIRECTORS’ REPORT (continued)
LIKELY DEVELOPMENTS AND EXPECTED RESULTS OF OPERATIONS
The Directors are not aware of any developments that might have a significant effect on the operations of
the Company in subsequent financial years not already disclosed in this report.
ENVIRONMENTAL REGULATIONS
Great Western Exploration Limited conducts its exploration activities in an environmentally sensitive
manner, and believes it has adequate systems in place for the management of environmental
requirements. The Company is not aware of any breach of statutory conditions or obligations.
The Directors have considered the enacted National Greenhouse and Energy Reporting Act 2007 (the
NGER Act) which introduces a single national reporting framework for the reporting and dissemination of
information about the greenhouse gas emissions, greenhouse gas projects, and energy use and
production of corporations. At the current stage of development, the Directors have determined that the
NGER Act will have no effect on the Company for the current, nor subsequent, financial year. The
Directors will reassess this position as and when the need arises.
DIRECTORS’ MEETINGS
The Directors attended the following director meetings during the year and up to the date of this report:
Shane Pike
Kevin Somes
Grey Egerton-Warburton
Ross Williams
Meetings Eligible to Attend
8
8
8
8
Meetings Attended
8
8
8
8
DIRECTORS’ INTERESTS IN THE SHARES AND OPTIONS OF THE COMPANY
The particulars of Directors’ interest in shares and options are as at the date of this report:
Ordinary Shares
Options
Shane Pike
Kevin Somes
Grey Egerton-Warburton
Ross Williams
-
8,017,233
29,225,500
29,255,760
5,000,000
-
-
-
DIRECTORS AND OFFICERS INSURANCE
The Company has made an agreement to indemnify all the Directors and Officers against all indemnifiable
losses or liabilities incurred by each Director and Officer in their capacities as Directors and Officers of the
Company to the extent permitted by the Corporations Act 2001.
The Company has taken out an insurance policy at a premium of $23,044 before GST (2022: $23,044) in
relation to Directors and Officers indemnity. Policy cover and premiums are unchanged from last year.
26
Great Western Exploration Limited
DIRECTORS’ REPORT (continued)
OUTSTANDING OPTIONS AT DATE OF REPORT
The following series of options were outstanding at the date of this report:
Grant
Date
No of
Options
Grant Date
Fair Value
Exercise
Price
Expiry
Date
Vesting
Date
20/06/2022
1,500,000
20/06/2022
1,500,000
20/06/2022
2,000,000
$0.08
$0.08
$0.08
29/12/2020
1,200,000
$0.0124
6/04/2021
2,750,000
$0.0645
6/04/2021
1,250,000
$0.0442
$0.00
$0.00
$0.00
$0.31
$0.37
$0.52
20/06/2027 20/06/2023
20/06/2027 20/06/2024
20/06/2027 20/06/2025
29/12/2023 29/12/2020
31/3/2024
6/4/2021
31/3/2024
6/4/2021
Total No. 10,200,000
PROCEEDINGS ON BEHALF OF COMPANY
No person has applied for leave of Court to bring proceedings on behalf of the company or intervene in
any proceedings to which the company is a party for the purpose of taking responsibility on behalf of the
company for all or any part of those proceedings.
The company was not a party to any such proceedings during the year.
NON-AUDIT SERVICES
Hall Chadwick did not provide any non-audit services during the year ended 30 June 2023.
Details of the amounts paid or payable to the auditor for audit during the year are set out in Note 23.
AUDITOR’S INDEPENDENCE DECLARATION
A copy of the Auditor’s Independence Declaration, as required under section 307C of the Corporations Act
2001, is set out on page 71.
27
Great Western Exploration Limited
REMUNERATION REPORT (AUDITED)
Remuneration Policy
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 Company are defined as those persons having
authority and responsibility for planning, directing and controlling the major activities of the Company and
its subsidiaries, directly or indirectly, including any director (whether executive or otherwise) of the
Company.
For the purposes of this report, the term “executive” encompasses the Chief Executive and senior
executives.
Directors
Shane Pike
Kevin Somes
Managing Director
Chairman (Non-executive)
Grey Egerton-Warburton
Non-executive Director
Ross Williams
Non-executive Director
There were no other changes of key management personnel after reporting date and before the financial
report was authorised for issue.
Since the current Board was formed on 4 June 2020 with the appointment of Messrs Williams and Egerton-
Warburton, directors’ fees have not been paid to any directors other than the Managing Director, Mr Shane
Pike since his appointment.
The Company has established a Remuneration Committee, assumed by the Board, as a whole, which is
responsible for determining and reviewing the remuneration arrangements of the directors and executives.
The Board assesses the appropriateness of the nature and amount of emoluments of such Directors and
executives on an annual basis by reference to market and industry conditions.
In order for the Company to prosper, thereby creating shareholder value, the Company must be able to
attract and retain the highest calibre executives.
Executive and non-executive directors, other key management personnel and other senior employees
have been granted options over ordinary shares under the Company’s Employee Share Option Plan. The
recipients of options are responsible for growing the Company and increasing shareholder value. If they
achieve this goal the value of the options granted to them will also increase. Therefore, the options provide
an incentive to the recipients to remain with the Company and to continue to work to enhance the
Company’s value.
Due to the nature of the Company’s operations the current remuneration policy is not linked to the
performance of the Company.
Non-executive Directors’ remuneration
The Board seeks to set remuneration levels that provide the Company with the ability to attract and retain
the highest calibre professionals.
Fees and payments to non-executive Directors reflect the demands that are made on and the
responsibilities of the Directors from time to time.
28
Great Western Exploration Limited
REMUNERATION REPORT (AUDITED) (continued)
Remuneration Policy (continued)
Directors’ fees are determined by the Board within the aggregate Directors fee limit approved by
shareholders. The maximum currently approved by the Constitution stands at $250,000.
Remuneration in the form of share options issued under the Company’s Employee Share Option Plan is
designed to reward Directors and executives in a manner aligned to the creation of shareholder wealth.
Subject to shareholders’ approval non-executive directors may participate in the Company’s Employee
Share Option Plan. The Board considers the grant of options to be reasonable given the necessity to
attract and retain the highest calibre professionals to the Company.
Non-executive Directors receive superannuation benefits in accordance with the Superannuation
Guarantee Legislation. Non-executive directors are permitted to salary sacrifice all or part of their fees.
Due to the nature of the Company’s operation i.e. mineral exploration and development, the remuneration
of directors and executives, at present, does not include performance-based incentives.
Executive Remuneration (including executive directors)
The Board aims to reward executives with a level and mix of remuneration commensurate with their
position and responsibilities to align the interests of executives with those of shareholders and to ensure
that remuneration is market competitive.
Remuneration consists of:
• Fixed Remuneration.
Being base salary, non-monetary benefits and superannuation. Fixed remuneration is reviewed
annually.
• Variable remuneration – Long term incentives.
Being share options issued under the Company’s Employee Share Option Plan. The options do
not have any vesting conditions other than service conditions.
Remuneration issued in the form of share options issued under the Company’s Employee Share
Option Plan is designed to reward directors and executives in a manner aligned to the creation of
shareholder wealth.
Due to the nature of the Company’s operation i.e. mineral exploration and development, the remuneration
of directors and executives, at present, does not include performance-based incentives.
The Company has entered into standard contracts with Directors, the details of which are set out below.
29
Great Western Exploration Limited
REMUNERATION REPORT (AUDITED) (continued)
Remuneration of Key Management Personnel
2023
Name of Director:
Executive director
Shane Pike(1)
Non-executive director
Kevin Somes
Ross Williams
Grey Egerton-Warburton
Totals
2022
Name of Director:
Executive director
Shane Pike(1)
Thomas Ridges
Non-executive director
Kevin Somes
Ross Williams
Grey Egerton-Warburton
Totals
Short term
benefits
Salary &
Wages
Other long
term
employee
benefits
Superannuation
Remuneration/
entitlements
relinquished
Total
Performance
related %
$310,000
$200,906
$32,550
- $543,456
0.0%
-
-
-
$310,000
-
-
-
$200,906
-
-
-
$32,550
-
-
-
-
-
-
- $543,456
-
-
-
Short term
benefits
Salary &
Wages
Other long
term
employee
benefits
Superannuation
Remuneration/
entitlements
relinquished
Total
Performance
related %
$58,423
$250,034
$54,627
$111,123
$5,669
$25,003
($449,064)
- $118,719
($62,904)
0.0%
0.0%
-
-
-
$308,457
-
-
-
$165,750
-
-
-
$30,672
-
-
-
($449,064)
-
-
-
$55,815
-
-
-
(1) Shane Pike was appointed on 19 April 2022 with a salary of $310,000 per annum plus superannuation and a notice period of
three (3) months by either the Company or Mr Pike.
(2) Thomas Ridges was appointed on 10 October 2020 with a salary of $273,973 per annum plus superannuation. Mr Ridges
resigned from the Company on 14th April 2022. Options not vested at date of resignation lapsed on their terms, being the date Mr
Ridges ceased to be a director of the Company.
Options granted as part of remuneration
No options were issued to directors during the year ended 30 June 2023.
.
The following options were issued to directors during the year ended 30 June 2022.
Grant Date
No.
Options
of
Exercise
price
Vesting Date
Expiry Date
Value of
Options
Granted
Shane Pike
Shane Pike
Shane Pike
20 June 2022
1,500,000 $0.00
20 June 2023
20 June 2027
$120,000
20 June 2022
1,500,000 $0.00
20 June 2024
20 June 2027
$120,000
20 June 2022
2,000,000 $0.00
20 June 2025
20 June 2027
$160,000
30
Great Western Exploration Limited
REMUNERATION REPORT (AUDITED) (continued)
Options granted as part of remuneration
For details on the valuation of options, including models and assumptions used, refer to Note 17.
There were no alterations to the terms and conditions of options granted as remuneration since their grant
date.
Option Holding of Key Management Personnel
30 June 2023
Directors
Shane Pike
Kevin Somes
Grey Egerton-
Warburton
Ross Williams
30 June 2022
Directors
Shane Pike(1)
Thomas Ridges(2)
Kevin Somes
Grey Egerton-
Warburton
Ross Williams
Balance at
1 July 2022 Granted
Expired
Lapsed
Balance at
30 June 2023 Vested
5,000,000
-
-
-
5,000,000
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
5,000,000
-
-
1,500,000
n/a
n/a
-
n/a
5,000,000
1,500,000
Balance at
1 July 2021 Granted
Expired
Lapsed
Balance at
30 June 2022 Vested
-
5,000,000
-
-
5,000,000
-
-
-
-
-
5,000,000
5,000,000
-
-
-
-
-
-
-
(3,500,000)
-
-
5,000,000
1,500,000
-
-
Nil
1,500,000
n/a
n/a
-
-
n/a
(3,500,000)
6,500,000
1,500,000
Shareholdings of Key Management Personnel
30 June 2023
Directors
Shane Pike
Kevin Somes
Grey Egerton-
Warburton
Ross Williams
Balance
1 July 2022
Granted as
Remuneration
On exercise
of Options
Net Change
Other
Balance
30 June 2023
-
5,517,233
24,225,500
24,255,760
-
-
-
-
53,998,493
-
-
-
-
-
-
-
2,500,000
5,000,000
5,000,000
12,500,000
-
8,017,233
29,225,500
29,255,760
66,498,493
31
Great Western Exploration Limited
REMUNERATION REPORT (AUDITED) (continued)
Shareholdings of Key Management Personnel
30 June 2022
Directors
Shane Pike(1)
Thomas Ridges(2)
Kevin Somes
Grey Egerton-
Warburton
Ross Williams
Balance
1 July 2021
Granted as
Remuneration
On exercise
of Options
Net Change
Other
Balance
30 June 2022
-
-
4,267,233
20,000,000
20,030,260
-
-
-
-
-
44,297,493
-
-
-
-
-
-
-
-
-
1,250,000
4,225,500
4,225,500
9,701,000
-
-
5,517,233
24,225,500
24,255,760
53,998,493
(1) Shane Pike was appointed on 19 April 2022.
(2) Thomas Ridges was appointed on 10 October 2020 and resigned from the Company on 14th April 2022. Options not vested at
date of resignation lapsed on their terms, being the date Mr Ridges ceased to be a director of the Company.
.
Transactions with Key Management Personnel
There were no transactions with Key Management Personnel during the year (2022: Nil).
END OF REMUNERATION REPORT (AUDITED)
32
Great Western Exploration Limited
DIRECTORS’ REPORT (continued)
This Report of Directors, incorporating the Remuneration Report, is signed in accordance with a resolution
of the Directors.
Dated this 14th day of September 2023
Shane Pike
Managing Director
33
Great Western Exploration Limited
ABN 53 123 631 470
CONSOLIDATED STATEMENT OF PROFIT OR LOSS
AND OTHER COMPREHENSIVE INCOME
FOR THE YEAR ENDED 30 JUNE 2023
Interest revenue
Other income
Employee benefits expense
Administration costs
Depreciation
Compliance and regulatory
Share based payments
Mineral exploration written off
Loss before income tax
Income tax expense
Loss for the period
Note
Consolidated
Consolidated
30.06.2023
30.06.2022
$
$
16
17
11
30,027
-
(189,737)
(536,358)
(13,695)
(61,058)
(200,906)
(4,890,259)
592
-
(274,592)
(336,147)
(10,150)
(63,009)
97,634
(12,832)
(5,861,986)
(598,504)
-
-
(5,861,986)
(598,504)
Other comprehensive income
-
-
Total comprehensive income for the period attributable
to members
(5,861,986)
(598,504)
Earnings per share
From continuing operations:
Basic earnings per share (cents)
6
(3.02)
(0.43)
The accompanying notes form part of this consolidated financial report.
34
Great Western Exploration Limited
ABN 53 123 631 470
CONSOLIDATED STATEMENT OF FINANCIAL POSITION
AS AT 30 JUNE 2023
ASSETS
CURRENT ASSETS
Cash and cash equivalents
Trade and other receivables
Other assets
TOTAL CURRENT ASSETS
NON-CURRENT ASSETS
Plant and equipment
Mineral exploration expenditure
TOTAL NON-CURRENT ASSETS
TOTAL ASSETS
CURRENT LIABILITIES
Trade and other payables
Provisions
TOTAL CURRENT LIABILITIES
TOTAL LIABILITIES
NET ASSETS
EQUITY
Issued capital
Reserves
Accumulated losses
TOTAL EQUITY
Consolidated
Consolidated
Note
30.06.2023
30.06.2022
$
$
7
8
9
10
11
12
13
13
3,021,416
446,178
400
4,624,561
400,498
400
3,467,994
5,025,459
26,676
30,069
12,155,832
13,719,581
12,182,508
13,749,650
15,650,502
18,775,109
302,390
37,310
339,700
424,637
22,365
447,002
339,700
447,002
15,310,802
18,328,107
44,466,129
41,432,354
1,621,556
1,810,650
(30,776,883)
(24,914,897)
15,310,802
18,328,107
The accompanying notes form part of this consolidated financial report.
35
Great Western Exploration Limited
ABN 53 123 631 470
CONSOLIDATED STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 30 JUNE 2023
Issued
Capital
Option
Reserves
Accumulated
Losses
$
$
Total
$
Consolidated
Balance at 1.07.2022
41,432,354
1,810,650
(24,914,897)
18,328,107
Loss for the period
Other comprehensive income for
the period
Total comprehensive
Income for the period
Share issue
Options issued
Share based payments
Issue costs
-
-
-
-
-
-
(5,861,986)
(5,861,986)
-
-
(5,861,986)
(5,861,986)
13
13
17
13
2,850,000
390,000
-
-
(390,000)
200,906
(206,225)
-
-
-
-
-
2,850,000
-
200,906
(206,225)
Balance at 30.06.2023
44,466,129
1,621,556
(30,776,883)
15,310,802
Consolidated
Balance at 1.07.2021
38,168,373
1,908,284
(24,316,393)
15,760,264
Loss for the period
Other comprehensive income for
the period
Total comprehensive
Income for the period
-
-
-
-
-
-
(598,504)
(598,504)
-
-
(598,504)
(598,504)
Share issue
Options issued
Options lapsed
Issue costs
13
3,500,000
-
-
(236,019)
-
54,627
(152,261)
-
-
-
-
-
3,500,000
54,627
(152,261)
(236,019)
Balance at 30.06.2022
41,432,354
1,810,650
(24,914,897)
18,328,107
The accompanying notes form part of this consolidated financial report.
36
Great Western Exploration Limited
ABN 53 123 631 470
CONSOLIDATED STATEMENT OF CASH FLOWS
FOR THE YEAR ENDED 30 JUNE 2023
CASH FLOWS FROM OPERATING ACTIVITIES
Payments to suppliers and employees
Government grant received
Interest received
Consolidated Consolidated
30.06.2023
30.06.2022
$
$
(634,124
) (559,413)
-
30,027
-
592
Net cash used in operating activities 14
(604,097)
(558,821)
CASH FLOWS FROM INVESTING ACTIVITIES
Deposits paid on exploration tenements
Refund on withdrawal of applications
Purchase of property, plant and equipment
Payments for mineral exploration expenditure
Net cash used in investing activities
CASH FLOWS FROM FINANCING ACTIVITIES
Proceeds from issue of shares and options
Securities issue costs
Net cash provided by financing activities
Net decrease in cash held
Cash and cash equivalents at beginning of period
Cash and cash equivalents at end of period
(99,465)
(290,413)
-
(6,695)
17,864
(12,994)
(3,515,249)
(2,995,929)
(3,621,409)
(3,281,472)
2,850,000
(227,639)
3,500,000
(259,621)
2,622,361
3,240,379
(1,603,145)
4,624,561
(599,914)
5,224,475
3,021,416
4,624,561
The accompanying notes form part of this consolidated financial report.
37
Great Western Exploration Limited
ABN 53 123 631 470
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2023
These financial statements and notes represent those of Great Western Exploration Limited (‘the Company’)
and its controlled entities (‘the Group’).
The financial statements were authorised for issue on 14 September 2023 by the Directors of the Company.
NOTE 1: BASIS OF PREPARATION
The financial statements are general purpose financial statements that have been prepared in accordance with
Australian Accounting Standards, Australian Accounting Interpretations, other authoritative pronouncements of
the Australian Accounting Standards Board (AASB) and the Corporations Act 2001. The Group is a for-profit
entity for financial reporting purposes under Australian Accounting Standards.
Australian Accounting Standards set out accounting policies that the AASB has concluded would result in
financial statements containing relevant and reliable information about transactions, events and conditions.
Compliance with Australian Accounting Standards ensures that the financial statements and notes also comply
with International Financial Reporting Standards as issued by the IASB. Material accounting policies adopted
in the preparation of these financial statements are presented below and have been consistently applied unless
stated otherwise.
Except for cash flow information, the financial statements have been prepared on an accruals basis and are
based on historical costs, modified, where applicable, by the measurement at fair value of selected non-current
assets, financial assets and financial liabilities.
a) Going Concern
The financial report has been prepared on the going concern basis, which contemplates the continuity of
normal business activity, and the realisation of assets and the settlement of liabilities in the ordinary course of
business.
The Group incurred a loss for the year of $5,861,986 (2022: $598,504). The Group has a working capital
surplus of $3,128,294 at 30 June 2023 (2022: $4,578,457). The Group has ongoing expenditures in respect of
administration costs and exploration and evaluation expenditure on its Australian exploration projects.
The Directors believe that at the date of signing of the financial statements that the Group has sufficient funds
to meet its obligations as and when they fall due and continue to proceed with the Group’s objectives beyond
the currently committed expenditure for the 12-month period from the date of signing this financial report.
The financials do not include any adjustments relating to the recoverability and classification of recorded asset
amounts and classification of liabilities that might be necessary, should the Group not continue as a going
concern and meet its debts as and when they fall due.
b) Principles of Consolidation
The consolidated financial statements incorporate the assets, liabilities and results of entities controlled by
Great Western Exploration Limited at the end of the reporting period. A controlled entity is any entity over
which Great Western Exploration Limited has the ability and right to govern the financial and operating
policies so as to obtain benefits from the entity’s activities.
Where controlled entities have entered or left the Group during the year, the financial performance of those
entities is included only for the period of the year that they were controlled. A list of controlled entities is
contained in Note 19 to the financial statements.
38
Great Western Exploration Limited
ABN 53 123 631 470
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2023
NOTE 1. BASIS OF PREPARATION (continued)
In preparing the consolidated financial statements, all intragroup balances and transactions between entities
in the consolidated group have been eliminated in full on consolidation.
Non-controlling interests, being the equity in a subsidiary not attributable, directly or indirectly, to a parent, are
reported separately within the equity section of the consolidated statement of financial position and statement
of comprehensive income. The non-controlling interests in the net assets comprise their interests at the date
of the original business combination and their share of changes in equity since that date.
Business combinations
Business combinations occur where an acquirer obtains control over one or more businesses.
A business combination is accounted for by applying the acquisition method, unless it is a combination
involving entities or businesses under common control. The business combination will be accounted for from
the date that control is attained, whereby the fair value of the identifiable assets acquired and liabilities
(including contingent liabilities) assumed is recognised (subject to certain limited exemptions).
When measuring the consideration transferred in the business combination, any asset or liability resulting from
a contingent consideration arrangement is also included. Subsequent to initial recognition, contingent
consideration classified as equity is not remeasured and its subsequent settlement is accounted for within
equity. Contingent consideration classified as an asset or liability is remeasured in each reporting period to fair
value, recognising any change to fair value in profit or loss, unless the change in value can be identified as
existing at acquisition date.
All transaction costs incurred in relation to business combinations are expensed to the Statement of Profit or
Loss and Other Comprehensive income.
The acquisition of a business may result in the recognition of goodwill or a gain from a bargain purchase.
Goodwill
(i)
(ii)
(iii)
The consideration transferred;
Any non-controlling interest, and
The acquisition date fair value of any previously held equity interest over the acquisition date
fair value of net identifiable assets acquired.
The acquisition date fair value of the consideration transferred for a business combination plus the acquisition
date fair value of any previously held equity interest shall form the cost of the investment in the separate financial
statements.
Fair value uplifts in the value of pre-existing equity holdings are taken to the statement of comprehensive
income. Where changes in the value of such equity holdings had previously been recognised in other
comprehensive income, such amounts are recycled to profit or loss.
The amount of goodwill recognised on acquisition of each subsidiary in which the Company holds less than a
100% interest will depend on the method adopted in measuring the non-controlling interest. The Company can
elect in most circumstances to measure the non-controlling interest in the acquire either at fair value (full
goodwill method) or at the non-controlling interest’s proportionate share of the subsidiary’s identifiable net
assets (proportionate interest method). In such circumstances, the Company determines which method to
adopt for each acquisition and this is stated in the respective notes to these financial statements disclosing the
business combination.
Under the full goodwill method, the fair value of the non-controlling interests is determined using valuation
techniques which make the maximum use of market information where available. Under this method, goodwill
attributable to the non-controlling interests is recognised in the consolidated financial statements.
39
Great Western Exploration Limited
ABN 53 123 631 470
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2023
NOTE 1. BASIS OF PREPARATION (continued)
Goodwill on acquisition of subsidiaries is included in intangible assets. Goodwill on acquisition of associates is
included in investments in associates.
Goodwill is tested for impairment annually and is allocated to the Company’s cash-generating units or groups
of cash-generating units, representing the lowest level at which goodwill is monitored not larger than an
operating segment. Gains and losses on the disposal of an entity include the carrying amount of goodwill
related to the entity disposed of.
c) Application of New and Revised Accounting Standards
(i) New, revised or amending Accounting Standards and Interpretations adopted
The company has adopted all of the new, revised or amending Accounting Standards and Interpretations
issued by the Australian Accounting Standards Board ('AASB') that are mandatory for the current
reporting period. The adoption of these Accounting Standards and Interpretations did not have any
significant impact on the financial performance or position of the company during the financial year.
Any new, revised or amending Accounting Standards or Interpretations that are not yet mandatory have
not been early adopted.
(ii) Accounting Standards that are mandatorily effective for the current reporting year
The company has adopted all of the new and revised Standards and Interpretations issued by the
Australian Accounting Standards Board (the AASB) that are relevant to its operations and effective for
an accounting period that begins on or after 1 July 2022.
Changes in accounting policies on initial application of Accounting Standards
In the year ended 30 June 2023, the directors have reviewed all the new and revised Standards and
Interpretations issued by the AASB that are relevant to the company’s operations and effective for
annual reporting periods beginning on or after 1 July 2022. As a result of this review, the Directors have
determined that there is no material impact of any new and revised Standards and Interpretations issued
by the AASB.
Standards and Interpretations in issue not yet adopted
The Directors have also reviewed all of the new and revised Standards and Interpretations in issue not
yet adopted for the year ending 30 June 2023. As a result of this review, the Directors have determined
that there is no material impact of the new and revised Standards and Interpretations in issue not yet
adopted on the company and therefore no material change is necessary to company accounting policies.
d) Cash and Cash Equivalents
Cash and cash equivalents in the statement of financial position comprise cash at bank and in hand and short-
term deposits with an original maturity of six months or less that are readily convertible to known amounts of
cash and which are subject to an insignificant risk of changes in value.
e) Trade and Other Receivables
Trade receivables, which generally have 30-day terms, are recognised initially at fair value and subsequently
measured at amortised cost using the effective interest method, less an allowance for impairment. Collectability
of trade receivables is reviewed on an ongoing basis. Debts that are known to be uncollectible are written off
when identified. An impairment provision is recognised when there is objective evidence that the Company will
not be able to collect the receivable.
40
Great Western Exploration Limited
ABN 53 123 631 470
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2023
NOTE 1. BASIS OF PREPARATION (continued)
f) Financial Instruments
(1) (i)
Classification of financial instruments
The Group classifies its financial assets into the following measurement categories:
• those to be measured at fair value (either through other comprehensive income, or through profit or
loss); and
• those to be measured at amortised cost.
The classification depends on the Group’s business model for managing financial assets and the contractual
terms of the financial assets' cash flows.
The Group classifies its financial liabilities at amortised cost unless it has designated liabilities at fair value
through profit or loss or is required to measure liabilities at fair value through profit or loss such as derivative
liabilities.
(ii)
Financial assets measured at amortised cost
Debt instruments
Investments in debt instruments are measured at amortised cost where they have:
• contractual terms that give rise to cash flows on specified dates, that represent solely payments of
principal and interest on the principal amount outstanding; and
• are held within a business model whose objective is achieved by holding to collect contractual cash
flows.
These debt instruments are initially recognised at fair value plus directly attributable transaction costs and
subsequently measured at amortised cost. The measurement of credit impairment is based on the three-stage
expected credit loss model described below in Note (3) Impairment of financial assets.
(iii)
Financial assets measured at fair value through other comprehensive income
Equity instruments
Investment in equity instruments that are neither held for trading nor contingent consideration recognised by
the Group in a business combination to which AASB 3 "Business Combination" applies, are measured at fair
value through other comprehensive income, where an irrevocable election has been made by management.
Amounts presented in other comprehensive income are not subsequently transferred to profit or loss.
Dividends on such investments are recognised in profit or loss unless the dividend clearly represents a
recovery of part of the cost of the investment.
Items at fair value through profit or loss Items at fair value through profit or loss comprise:
• items held for trading;
• items specifically designated as fair value through profit or loss on initial recognition; and
• debt instruments with contractual terms that do not represent solely payments of principal and interest.
Financial instruments held at fair value through profit or loss are initially recognised at fair value, with
transaction costs recognised in the income statement as incurred. Subsequently, they are measured at fair
value and any gains or losses are recognised in the income statement as they arise.
Where a financial asset is measured at fair value, a credit valuation adjustment is included to reflect the credit
worthiness of the counterparty, representing the movement in fair value attributable to changes in credit risk.
41
Great Western Exploration Limited
ABN 53 123 631 470
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2023
NOTE 1. BASIS OF PREPARATION (continued)
(2) Financial instruments held for trading
A financial instrument is classified as held for trading if it is acquired or incurred principally for the purpose of
selling or repurchasing in the near term, or forms part of a portfolio of financial instruments that are managed
together and for which there is evidence of short-term profit taking, or it is a derivative not in a qualifying
hedge relationship.
Financial instruments designated as measured at fair value through profit or loss
Upon initial recognition, financial instruments may be designated as measured at fair value through profit or
loss. A financial asset may only be designated at fair value through profit or loss if doing so eliminates or
significantly reduces measurement or recognition inconsistencies (i.e. eliminates an accounting mismatch)
that would otherwise arise from measuring financial assets or liabilities on a different basis.
A financial liability may be designated at fair value through profit or loss if it eliminates or significantly reduces
an accounting mismatch or:
• if a host contract contains one or more embedded derivatives; or
• if financial assets and liabilities are both managed and their performance evaluated on a fair value
basis in accordance with a documented risk management or investment strategy.
Where a financial liability is designated at fair value through profit or loss, the moveme0nt in fair value
attributable to changes in the Group’s own credit quality is calculated by determining the changes in credit
spreads above observable market interest rates and is presented separately in other comprehensive income.
(3) Impairment of financial assets
The Group applies a three-stage approach to measuring expected credit losses (ECLs) for the following
categories of financial assets that are not measured at fair value through profit or loss:
• debt instruments measured at amortised cost and fair value through other comprehensive income;
• loan commitments; and
• financial guarantee contracts.
No ECL is recognised on equity investments.
Determining the stage for impairment
At each reporting date, the Group assesses whether there has been a significant increase in credit risk for
exposures since initial recognition by comparing the risk of default occurring over the remaining expected life
from the reporting date and the date of initial recognition. The Group considers reasonable and supportable
information that is relevant and available without undue cost or effort for this purpose. This includes
quantitative and qualitative information and also, forward-looking analysis.
An exposure will migrate through the ECL stages as asset quality deteriorates. If, in a subsequent period,
asset quality improves and also reverses any previously assessed significant increase in credit risk since
origination, then the provision for doubtful debts reverts from lifetime ECL to 12-months ECL. Exposures that
have not deteriorated significantly since origination are considered to have a low credit risk. The provision for
doubtful debts for these financial assets is based on a 12-months ECL. When an asset is uncollectible, it is
written off against the related provision. Such assets are written off after all the necessary procedures have
been completed and the amount of the loss has been determined. Subsequent recoveries of amounts
previously written off reduce the amount of the expense in the income statement.
The Group assesses whether the credit risk on an exposure has increased significantly on an individual or
collective basis. For the purposes of a collective evaluation of impairment, financial instruments are Grouped
on the basis of shared credit risk characteristics, taking into account instrument type, credit risk ratings, date
of initial recognition, remaining term to maturity, industry, geographical location of the borrower and other
relevant factors.
42
Great Western Exploration Limited
ABN 53 123 631 470
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2023
NOTE 1. BASIS OF PREPARATION (continued)
(4) Recognition and derecognition of financial instruments
A financial asset or financial liability is recognised in the balance sheet when the Group becomes a party to
the contractual provisions of the instrument, which is generally on trade date. Loans and receivables are
recognised when cash is advanced (or settled) to the borrowers.
Financial assets at fair value through profit or loss are recognised initially at fair value. All other financial
assets are recognised initially at fair value plus directly attributable transaction costs.
The Group derecognises a financial asset when the contractual cash flows from the asset expire or it transfers
its rights to receive contractual cash flows from the financial asset in a transaction in which substantially all the
risks and rewards of ownership are transferred.
Any interest in transferred financial assets that is created or retained by the Group is recognised as a
separate asset or liability.
A financial liability is derecognised from the balance sheet when the Group has discharged its obligation or
the contract is cancelled or expires.
(5) Offsetting
Financial assets and liabilities are offset and the net amount is presented in the balance sheet when the
Group has a legal right to offset the amounts and intends to settle on a net basis or to realise the asset and
settle the liability simultaneously.
g) Property, Plant and Equipment
Plant and equipment is stated at historical cost less accumulated depreciation and any accumulated
impairment losses.
Depreciation is calculated on a straight-line basis over the estimated useful life of the assets as follows:
Plant and Equipment – over 6 to 15 years
Motor Vehicles – over 4 years
Computer Equipment – over 3 years
The assets’ residual values, useful lives and amortisation methods are reviewed, and adjusted if appropriate,
at each financial year end.
An item of property, plant and equipment is derecognised upon disposal or when no further future economic
benefits are expected from its use or disposal.
Any gain or loss arising on de-recognition of the asset (calculated as the difference between the net disposal
proceeds and the carrying amount of the asset) is included in profit or loss in the year the asset is derecognised.
h) Exploration and Evaluation Expenditure
Exploration and evaluation costs are capitalised as exploration and evaluation assets on a project by project
basis pending determination of the technical feasibility and commercial viability of the project. The capitalised
costs are presented as either tangible or intangible exploration and evaluation assets according to the nature
of the assets acquired.
43
Great Western Exploration Limited
ABN 53 123 631 470
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2023
NOTE 1. BASIS OF PREPARATION (continued)
When a licence is relinquished or a project abandoned, the related costs are recognised in the Statement of
Comprehensive Income immediately.
Exploration and evaluation assets shall be assessed for impairment when facts and circumstances suggest that
the carrying amount of an exploration and evaluation asset may exceed its recoverable amount. When facts
and circumstances suggest that the carrying amount exceeds the recoverable amount an impairment loss is
recognised in the Statement of Comprehensive Income.
i)
Interests in Joint Ventures
The Company’s shares of the assets, liabilities, revenue and expenses of jointly controlled operations have
been included in the appropriate line items of the consolidated financial statements.
j)
Impairment of Assets
Assets are tested for impairment whenever events or changes in circumstances indicate that the carrying
amount exceeds its recoverable amount. An impairment loss is recognised for the amount by which the asset’s
carrying amount exceeds it 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 Group at the lowest levels
for which there are separately identifiable cash inflows that are largely independent of the cash inflows from
other assets or Group 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.
k) Trade and other Payables
Trade and other payables are carried at amortised cost; due to their short-term nature they are not discounted.
They represent liabilities for goods and services provided to the Company prior to the end of the financial year
that are unpaid and arise when the Company becomes obliged to make future payments in respect of the
purchase of these goods and services. The amounts are unsecured and are usually paid within 30 days of
recognition.
l) Provisions and Employee Leave Benefits
Provisions are recognised when the Company has a present obligation (legal or constructive) as a result of a
past event, it is probable that an outflow of resources embodying economic benefits will be required to settle
the obligation and a reliable estimate can be made of the amount of the obligation.
When the Company expects some or all of the provision to be reimbursed, for example under an insurance
contract, the reimbursement is recognised as a separate asset but only when the reimbursement is virtually
certain. The expense relating to any provision is presented in the Statement of Comprehensive Income net of
any reimbursement.
Provisions are measured at the present value of management’s best estimate of the expenditure required to
settle the present obligation at the balance sheet date. If the effect of the time value of money is material,
provisions are discounted using a current pre-tax rate that reflects the time value of money and the risks specific
to the liability. The increase in the provision resulting from the passage of time is recognised in finance costs.
44
Great Western Exploration Limited
ABN 53 123 631 470
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2023
NOTE 1. BASIS OF PREPARATION (continued)
Employee Leave Benefits
(i) Wages, salaries, annual leave and sick leave
Liabilities for wages and salaries, including non-monetary benefits, annual leave and accumulating sick leave
expected to be settled within 12 months of the reporting date are recognised in respect of employees’ services
up to the reporting date. They are measured at the amounts expected to be paid when the liabilities are settled.
Expenses for non-accumulating sick leave are recognised when the leave is taken and are measured at the
rates paid or payable.
(ii) Long service leave
The liability for long service leave is recognised and measured as the present level of expected future payments
to be made in respect of services provided by employees up to the reporting date using the projected unit credit
method. Consideration is given to expected future wage and salary levels, experience of employee departures,
and periods of service. Expected future payments are discounted using market yields at the reporting date on
national government bonds with terms to maturity and currencies that match, as closely as possible, the
estimated future cash outflows.
m) Share Based Payment Transactions
(i) Equity settled transaction:
The Company provides benefits to its employees (including key management personnel) in the form of share-
based payments, whereby employees render services in exchange for shares or rights over shares (equity-
settled transactions).
The Company has in place the Great Western Exploration Limited Employee Share Option Plan to provide
benefits to directors and senior executives.
The cost of these equity-settled transactions with employees is measured by reference to the fair value of the
equity instruments at the date at which they are granted. The fair value is determined by an external valuer
using a binomial model.
In valuing equity-settled transactions, no account is taken of any vesting conditions other than conditions linked
to price of the shares of the Company (market conditions) 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 (the vesting period), ending on the date
on which the relevant employees become fully entitled to the award (the vesting date).
At each subsequent reporting date until vesting the cumulative charge to the Statement of Comprehensive
Income is the produce of:
(i)
the grant date fair value of the award;
(ii) the current best estimate of the number of awards that will vest, taking into account such factors as
the likelihood of employee turnover during the vesting period and the likelihood of non-market
performance conditions being met; and
(iii) the expired portion of the vesting period.
The charge to the Statement of Comprehensive Income for the year is the cumulative amount as calculated
above less the amounts already charged in previous years. There is a corresponding credit to equity.
Until an award has vested, any amounts recorded are contingent and will be adjusted if more or fewer awards
vest than were originally anticipated to do so. Any award subject to a market condition is considered to vest
irrespective of whether or not that market condition is fulfilled, provided that all other conditions are satisfied.
45
Great Western Exploration Limited
ABN 53 123 631 470
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2023
NOTE 1. BASIS OF PREPARATION (continued)
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. An additional expense is recognised for any modification that increases the total fair
value of the share-based payment arrangement, or is otherwise beneficial to the employee, as measured at the
date of modification.
If an equity-settled award is cancelled, it is treated as if it had vested on the date of cancellation, and any
expense not yet recognised for the award is recognised immediately. However, if a new award is substituted for
the cancelled award and designated as a replacement award on the date that it is granted, the cancelled and
new award are treated as if they were a modification of the original award, as described in the previous
paragraph.
The dilutive effect, if any, of outstanding options is reflected as additional share dilution in the computation of
diluted earnings per share.
n) Issued Capital
Ordinary shares are classified as equity. Incremental costs directly attributable to the issue of new shares or
options are shown in equity as a deduction, net of tax, from the proceeds.
o) Revenue Recognition
Revenue is recognised and measured at the fair value of the consideration received or receivable to the extent
it is probable that the economic benefits will flow to the Company and the revenue can be reliably measured.
The following specific recognition criteria must also be met before revenue is recognised.
(i)
Interest Income
Revenue is recognised as interest accrues using the effective interest method. This is a method of calculating
the amortised cost of a financial asset and allocating the interest income over the relevant year using the
effective interest rate, which is the rate that exactly discounts estimated future cash receipts through the
expected life of the financial asset to the net carrying amount of the financial asset.
p) Income Tax and other Taxes
Current tax assets and liabilities for the current and prior years are measured at the amount expected to be
recovered from or paid to the taxation authorities based on the current year’s taxable income. The tax rates and
tax laws used to compute the amount are those that are enacted or substantively enacted by the balance sheet
date.
Deferred income tax is provided on all temporary differences at the balance sheet date between the tax bases
of assets and liabilities and their carrying amounts for financial reporting purposes.
Deferred income tax liabilities are recognised for all taxable temporary differences except:
o When the deferred income tax liability arises from the initial recognition of goodwill or of an
asset or liability in the transaction that is not a business combination and that, at the time of the
transaction, affects neither the accounting profit nor taxable profit or loss; or
o when the taxable temporary difference is associated with investments in subsidiaries,
associates or interests in joint ventures, and the timing of the reversal of the temporary
difference can be controlled and it is probable that the temporary difference will not reverse in
the foreseeable future.
46
Great Western Exploration Limited
ABN 53 123 631 470
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2023
NOTE 1. BASIS OF PREPARATION (continued)
Deferred income tax assets are recognised for all deductible temporary differences, carry-forward of unused
tax credits and unused tax losses, to the extent that it is probable that taxable profit will be available against
which the deductible temporary differences and the carry-forward of unused tax credits and unused tax losses
can be utilised, except:
o when the deferred income tax asset relating to the deductible temporary difference arises from
the initial recognition of an asset or liability in a transaction that is not
o a business combination and, at the time of the transaction, affects neither the accounting profit
nor taxable profit or loss; or
o when the deductible temporary difference is associated with investments in subsidiaries,
associates or interests in joint ventures, in which case a deferred tax asset is only recognised
to the extent that it is probable that the temporary difference will reverse in the foreseeable
future and taxable profit will be available against which the temporary difference can be utilised.
The carrying amount of deferred income tax assets is reviewed at each balance sheet 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 balance sheet date and are recognised to
the extent that it has become probable that future taxable profit will allow the deferred tax asset to be recovered.
Deferred income tax assets and liabilities are measured at the tax rates that are expected to apply to the year
when the asset is realised or the liability is settled, based on tax rates (and tax laws) that have been enacted or
substantively enacted at the balance sheet date.
Deferred tax assets and deferred tax liabilities are offset only if a legally enforceable right exists to set off current
tax assets against current tax liabilities and the deferred tax assets and liabilities relate to the same taxable
entity and the same taxation authority.
Other Taxes
Revenues, expenses and assets are recognised net of the amount of GST except:
• when the GST incurred on a purchase of goods and services is not recoverable from the taxation
authority, in which case the GST is recognised as part of the cost of acquisition of the asset or as
part of the expense item as applicable; and
•
receivables and payables, which are stated with the amount of GST included.
The net amount of GST recoverable from, or payable to, the taxation authority is included as part of receivables
or payables in the Statement of Financial Position.
Cash flows are included in the Statement of Cash Flows on a gross basis and the GST component of cash flows
arising from investing and financing activities, which is recoverable from, or payable to, the taxation authority is
classified as part of operating cash flows.
Commitments and contingencies are disclosed net of the amount of GST recoverable from, or payable to, the
taxation authority.
q) Earnings per share
Basic earnings per share is calculated as net profit attributable to members of the parent, adjusted to exclude
any costs of servicing equity (other than dividends), divided by the weighted average number of ordinary shares,
adjusted for any bonus element.
47
Great Western Exploration Limited
ABN 53 123 631 470
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2023
NOTE 1. BASIS OF PREPARATION (continued)
Diluted earnings per share is calculated as net profit attributable to members of the parent, adjusted for:
▪
▪
costs of servicing equity (other than dividends);
the after tax effect of dividends and interest associated with dilutive potential ordinary shares; and
▪ other non-discretionary changes in revenues or expenses during the year that would result from
the dilution of potential ordinary shares;
Divided by the weighted average number of ordinary shares and dilutive potential ordinary shares, adjusted for
any bonus element.
r) Fair Value of Assets and Liabilities
The Company measures some of its assets and liabilities at fair value on either a recurring or non-recurring
basis, depending on the requirements of the applicable Accounting Standard.
Fair value is the price the Company would receive to sell an asset or would have to pay to transfer a liability in
an orderly (i.e. unforced) transaction between independent, knowledgeable and willing market participants at
the measurement date.
As fair value is a market-based measure, the closest equivalent observable market pricing information is used
to determine fair value. Adjustments to market values may be made having regard to the characteristics of the
specific asset or liability. The fair values of assets and liabilities that are not traded in an active market are
determined using one or more valuation techniques. These valuation techniques maximise, to the extent
possible, the use of observable market data.
To the extent possible, market information is extracted from either the principal market for the asset or liability
(i.e. the market with the greatest volume and level of activity for the asset or liability) or, in the absence of such
a market, the most advantageous market available to the entity at the end of the reporting period (i.e. the market
that maximises the receipts from the sale of the asset or minimises the payments made to transfer the liability,
after taking into account transaction costs and transport costs).
For non-financial assets, the fair value measurement also takes into account a market participant's ability to use
the asset in its highest and best use or to sell it to another market participant that would use the asset in its
highest and best use.
The fair value of liabilities and the entity's own equity instruments (excluding those related to share-based
payment arrangements) may be valued, where there is no observable market price in relation to the transfer of
such financial instruments, by reference to observable market information where such instruments are held as
assets. Where this information is not available, other valuation techniques are adopted and, where significant,
are detailed in the respective note to the financial statements.
Valuation techniques
In the absence of an active market for an identical asset or liability, the Company selects and uses one or more
valuation techniques to measure the fair value of the asset or liability, The Company selects a valuation
technique that is appropriate in the circumstances and for which sufficient data is available to measure fair
value. The availability of sufficient and relevant data primarily depends on the specific characteristics of the
asset or liability being measured. The valuation techniques selected by the Company are consistent with one
or more of the following valuation approaches:
48
Great Western Exploration Limited
ABN 53 123 631 470
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2023
NOTE 1. BASIS OF PREPARATION (continued)
Market approach: valuation techniques that use prices and other relevant information generated by market
transactions for identical or similar assets or liabilities.
Income approach: valuation techniques that convert estimated future cash flows or income and expenses into
a single discounted present value.
Cost approach: valuation techniques that reflect the current replacement cost of an asset at its current service
capacity.
Each valuation technique requires inputs that reflect the assumptions that buyers and sellers would use when
pricing the asset or liability, including assumptions about risks. When selecting a valuation technique, the
Company gives priority to those techniques that maximise the use of observable inputs and minimise the use
of unobservable inputs. Inputs that are developed using market data (such as publicly available information on
actual transactions) and reflect the assumptions that buyers and sellers would generally use when pricing the
asset or liability are considered observable, whereas inputs for which market data is not available and therefore
are developed using the best information available about such assumptions are considered unobservable.
Fair value hierarchy
AASB 13 requires the disclosure of fair value information by level of the fair value hierarchy, which categorises
fair value measurements into one of three possible levels based on the lowest level that an input that is
significant to the measurement can be categorised into as follows:
Level 1
Measurements based on quoted prices (unadjusted) in active markets for identical assets or liabilities that the
entity can access at the measurement date.
Measurements based on inputs other than quoted prices included in Level 1 that are observable for the asset
or liability, either directly or indirectly.
Level 2
Measurements based on inputs other than quoted prices included in Level 1 that are observable for the asset
or liability, either directly or indirectly
Level 3
Measurements based on unobservable inputs for the asset or liability.
The fair values of assets and liabilities that are not traded in an active market are determined using one or more
valuation techniques. These valuation techniques maximise, to the extent possible, the use of observable
market data. If all significant inputs required to measure fair value are observable, the asset or liability is included
in Level 2. If one or more significant inputs are not based on observable market data, the asset or liability is
included in Level 3.
The Company would change the categorisation within the fair value hierarchy only in the following
circumstances:
(i) if a market that was previously considered active (Level 1) became inactive (Level 2 or Level 3) or
vice versa; or
(ii) if significant inputs that were previously unobservable (Level 3) became observable (Level 2) or vice
versa.
When a change in the categorisation occurs, the Company recognises transfers between levels of the fair value
hierarchy (i.e. transfers into and out of each level of the fair value hierarchy) on the date the event or change in
circumstances occurred.
49
Great Western Exploration Limited
ABN 53 123 631 470
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2023
NOTE 2. CRITICAL ACCOUNTING ESTIMATES AND JUDGMENTS
Estimates and assumptions are continually evaluated and are based on historical experience and other factors,
including expectations of future events that are believed to be reasonable under the circumstances. Equally,
the Company continually employs judgement in the application of its accounting policies.
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. Those which may materially affect the carrying amounts of assets and liabilities reported in future
years are discussed below.
(a) Significant accounting estimates and judgements
(i)
Impairment of non-financial assets
The Company assesses impairment on all assets at each reporting date by evaluating conditions specific to the
Company and to the particular asset that may lead to impairment. These include technology and economic
environments. If an impairment trigger exists, the recoverable amount of the asset is determined. This involves
value-in-use calculations, which incorporate a number of key estimates and assumptions.
(ii) Share-based payment transactions
The Company measures the cost of equity settled transactions with directors and employees by reference to
the fair value of the equity instruments at the date at which they are granted. Equity settled transactions
comprise only options. Their fair value is determined using the Binomial Options Pricing model. 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 year but may impact expenses and
equity.
(iii) Estimation of useful lives of assets
The estimation of useful lives of assets has been based on historical experience. Adjustments to useful lives
are made when considered necessary. Depreciation and amortisation charges as well as estimated useful lives
are included in Note 1(g).
(iv) Exploration and evaluation costs
Acquisition, exploration and evaluation expenditure incurred is accumulated in respect of each identifiable area
of interest. These costs are carried forward in respect of an area that has not at balance sheet date reached a
stage which permits a reasonable assessment of the existence or otherwise of economically recoverable
reserves, and active and significant operations in or relating to, the area of interest are continuing.
(v) Environmental issues
Balances disclosed in the financial statements and notes thereto are not adjusted for any pending or enacted
environmental legislation, and the Directors understanding thereof. At the current stage of the Company’s
development and its current environmental impact, the Directors believe such treatment is reasonable and
appropriate.
(vi) Taxation
Balances disclosed in the financial statements and the notes thereto, related to taxation, and are based on the
best estimates of Directors. These estimates take into account both the financial performance and position of
the Company as they pertain to current income taxation legislation, and the Directors understanding thereof.
No adjustment has been made for pending or future taxation legislation. The current income tax position
represents that Directors best estimate, pending an assessment by the Australian Taxation Office.
The Company’s financial instruments consist mainly of deposits with banks, accounts receivable and payable.
50
Great Western Exploration Limited
ABN 53 123 631 470
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2023
NOTE 3. FINANCIAL RISK MANAGEMENT OBJECTIVES AND POLICIES
The totals for each category of financial instruments, measured in accordance with AASB 139 as detailed in the
accounting policies to these financial statements, are as follows:
Financial Assets
Cash and cash equivalents
Receivables
Financial assets
Financial Liabilities
Trade and payables
Note
30.06.2023
$
30.06.2022
$
7
8
9
3,021,416
4,624,561
446,178
400,498
400
400
3,467,994
5,025,459
12
302,390
424,637
302,390
424,637
Financial Risk Management Policies
The Company attempts to mitigate risks that may affect its future performance through a systematic process of
identifying, assessing, reporting and managing risks of corporate significance.
The management and the Board discuss the principal risks of our businesses, particularly during the strategic
planning and budgeting processes. The board sets policies for the implementation of systems to manage and
monitor identifiable risks. The Board Risk Committee is responsible for the oversight of risk management.
The Company’s principal financial instruments comprise cash and short-term deposits. The Company has
various other financial assets and liabilities such as trade receivables and trade payables, which arise directly
from its operations.
The main purpose of these financial assets and liabilities is to raise finance for the Company’s operations. It is,
and has been throughout the entire year under review, the Company’s policy that no trading in financial
instruments shall be undertaken.
The main risks arising from the Group’s financial instruments are cash flow interest rate risk. Other minor risks
are either summarised below or disclosed in Note 8 in the case of credit risk and Note 13 in the case of capital
risk management. The Board reviews and agrees policies for managing each of these risks.
(a)
Credit Risk
The Company minimises credit risk by undertaking a review of its potential customers’ financial position
and the viability of the underlying project prior to entering into material contracts.
Financial instruments other than receivables that potentially subject the Company to concentrations of
credit risk consist principally of cash deposits. The Company places its cash deposits with high credit-
quality financial institutions, being in Australia only the major Australian (big four) banks. The
Company’s cash deposits all mature within twelve months and attract a rate of interest at normal short-
term money market rates.
The maximum amount of credit risk the Company considers it would be exposed to would be $3,021,416
(2022: $4,624,561) being the total of its cash and cash equivalents and financial assets.
51
Great Western Exploration Limited
ABN 53 123 631 470
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2023
NOTE 3. FINANCIAL RISK MANAGEMENT OBJECTIVES AND POLICIES (continued)
(b)
Cash Flow Interest Rate Risk
The Company’s exposure to the risks of changes in market interest rates relates primarily to the
Company’s short-term deposits with a floating interest rate. All other financial assets and liabilities
in the form of receivables and payables are non-interest bearing. The Company does not engage in
any hedging or derivative transactions to manage interest rate risk.
The following table sets out the Company’s exposure to interest rate risk and the effective weighted
average interest rate for each class of these financial instruments.
Floating Interest
Rate
Non-Interest
Bearing
Note
2023
$
2022
$
2023
$
2022
$
Total Carrying
Amount
2023
2022
Financial Assets
Cash and cash
equivalents
Trade and other
Receivables
Other Financial
assets
Weighted average
interest rate
7
8
9
3,010,094
1,307,385
11,322
3,317,176
3,021,416
4,624,561
446,178
400,498
446,178
400,498
400
400
400
400
-
-
-
-
1.15
0.01
The effect on profit and equity, after tax, if interest rates at that date had been 10% higher or 10% lower with all
other variables held constant as a sensitivity analysis would be a +/- change to profit and equity of nil (2022:
nil).
A sensitivity of 10% has been selected as this is considered by management to be reasonable in the current
environment. The Company constantly analyses its interest rate exposure to ensure the appropriate mix of fixed
and variable rates.
The Company has not entered into any hedging activities to cover interest rate risk. In regard to its interest
rate risk, the Company continuously analyses its exposure. Within this analysis consideration is given to
potential renewals of existing positions, alternative investments and the mix of fixed and variable interest
rates.
(c)
Price Risk
The Company is not exposed to equity securities price risk. There is no active market for available for
sale investments.
Liquidity Risk
(d)
The Company’s objective is to match the terms of its funding sources to the terms of the assets or
operations being financed. The Company uses a combination of trade payables and operating leases
to provide its necessary debt funding.
52
Great Western Exploration Limited
ABN 53 123 631 470
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2023
NOTE 3. FINANCIAL RISK MANAGEMENT OBJECTIVES AND POLICIES (continued)
The Company aims to hold sufficient reserves of cash or cash equivalents to help manage the
fluctuations in working capital requirements and provide the flexibility for investment into long-term
assets without the need to raise debt.
Contracted maturities of payables at balance date
Payable
- Less than 6 months
- 6 to 12 months
- 1 to 5 years
30.06.2023
$
30.06.2022
$
302,390
424,637
-
-
-
-
302,390
424,637
Commodity Price Risk
(e)
Due to the early stage of the Company’s operations its exposure is considered minimal. Risk arises as
its operations are involved in exploration and development of mineral commodities, changes in the price
of commodities for which the Group is exploring and developing may result in changes to the Company’s
market price. The Company entity does not hedge any of its exposures.
(f)
Foreign currency exchange rate
A risk arises when future commercial transactions and recognised assets and liabilities are
denominated in a currency other than the Company’s functional currency. At present, the Company is
not considered to be exposed to any significant foreign currency risk.
Net fair values
(g)
The Company has no financial assets or liabilities where the carrying value amount exceeds fair value
at balance date. The directors consider that the carrying amounts of financial assets and financial
liabilities recognised in the consolidated financial statements approximate their fair value.
The Company’s financial assets at fair value through profit or loss are listed investments (Note 9) and
are categorised as Level 1, meaning fair value is determined from quoted prices in active markets for
identical assets.
53
Great Western Exploration Limited
ABN 53 123 631 470
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2023
NOTE 4: OPERATING SEGMENTS
Segment Information
Identification of reportable segments
The Group has identified its operating segments based on the internal reports that are reviewed and used by
the Board of Directors (chief operating decision makers) in assessing performance and determining the
allocation of resources.
The Group’s principal activities are mineral exploration. Reportable segments disclosed are based on
aggregating operating segments where the segments are considered to have similar economic characteristics.
Types of products and services by segment
The Group’s exploration projects consist of:
• Mineral exploration
• Finance and administration
Basis of accounting for purposes of reporting by operating segments
Unless stated otherwise, all amounts reported to the Board of Directors as the chief decision maker with
respect to operating segments are determined in accordance with accounting policies that are consistent to
those adopted in the annual financial statements of the Group.
Segment assets
Segment assets are clearly identifiable on the basis of their nature and physical location.
Unless indicated otherwise in the segment assets note, investments in financial assets, deferred tax assets
and intangible assets have not been allocated to operating segments.
Segment liabilities
Liabilities are allocated to segments where there is direct nexus between the incurrence of the liability and the
operations of the segment. Segment liabilities include trade and other payables and certain direct borrowings.
Unallocated items
Items of revenue, expense, assets and liabilities are not allocated to operating segments if they are not
considered part of the core operations of any segment.
54
Great Western Exploration Limited
ABN 53 123 631 470
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2023
NOTE 4: OPERATING SEGMENTS (Continued)
(i)
Segment performance
30.06.2023
Interest received
Other income – Government Grant
Other income
Total segment revenue
Employee benefit expense
Administration expenses
Depreciation
Compliance and regulatory expenses
Share based payments
Mineral exploration written-off
Net profit/ (loss) before tax from
operations
Mineral
Exploration ($)
-
-
-
-
Finance and
Administration ($)
30,027
-
-
30,027
Total ($)
30,027
-
-
30,027
-
-
-
-
-
(4,890,259)
(189,737)
(536,358)
(13,695)
(61,058)
(200,906)
-
(189,737)
(536,358)
(13,695)
(61,058)
(200,906)
(4,890,259)
(4,890,259)
(971,727)
(5,861,986)
30.06.2022
Interest received
Other income – Government Grant
Other income
Total segment revenue
Employee benefit expense
Administration expenses
Depreciation
Compliance and regulatory expenses
Share based payments
Mineral exploration written-off
Net profit/ (loss) before tax from
operations
Mineral
Exploration ($)
-
-
-
-
Finance and
Administration ($)
592
-
-
592
-
-
-
-
-
(12,832)
(274,592)
(336,147)
(10,150)
(63,009)
97,634
-
Total ($)
592
-
-
592
(274,592)
(336,147)
(10,150)
(63,009)
97,634
(12,832)
(12,832)
(585,672)
(598,504)
55
Great Western Exploration Limited
ABN 53 123 631 470
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2023
NOTE 4: OPERATING SEGMENTS (Continued)
(ii)
Segment assets
30.06.2023
Current assets
Cash and cash equivalents
Trade and other receivables
Other
Non-current assets
Exploration and evaluation
expenditure
Plant & Equipment
Total assets from operations
30.06.2022
Current assets
Cash and cash equivalents
Trade and other receivables
Other
Non-current assets
Exploration and evaluation
expenditure
Plant & Equipment
Total assets from operations
(iii)
Segment liabilities
30.06.2023
Current liabilities
Trade and other payables
Provisions
Total liabilities from operations
30.06.2022
Current liabilities
Trade and other payables
Provisions
Total liabilities from operations
Mineral
Exploration ($)
Finance and
Administration ($)
-
352,303
-
3,021,416
93,875
400
Total ($)
3,021,416
446,178
400
12,155,832
23,595
12,531,730
-
3,081
12,155,832
26,676
3,118,772
15,650,502
Mineral
Exploration ($)
Finance and
Administration ($)
-
331,258
-
4,624,561
69,240
400
Total ($)
4,624,561
400,498
400
13,719,581
20,118
14,070,957
-
9,951
13,719,581
30,069
4,704,152
18,775,109
Mineral
Exploration ($)
Finance and
Administration ($)
207,111
-
207,111
95,279
37,310
132,589
Mineral
Exploration ($)
Finance and
Administration ($)
329,813
-
329,813
94,824
22,365
117,189
Total ($)
302,390
37,310
339,700
Total ($)
424,637
22,365
447,002
56
Great Western Exploration Limited
ABN 53 123 631 470
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2023
NOTE 5: INCOME TAX
30.06.2023
$
30.06.2022
$
a) The prima facie tax on profit/(loss) from ordinary activities before
income tax is reconciled to the income tax expense as follows:
Accounting loss before income tax
(5,861,986)
(598,504)
Income tax benefit at the statutory income tax rate of 25% (2022:
25%)
(1,465,497)
(149,626)
Expenditure not allowable for income tax purposes
1,298,226
(22,481)
Capitalised mineral exploration expenditure
(842,043)
(800,184)
Other deductible expenditure/non-assessable income
(20,000)
4,806
Capital raising costs
Under/over from prior year
(41,044)
(30,733)
-
3,953
Benefit of tax losses not brought to account as an asset
1,070,358
994,265
Income Tax expense reported in the Statement of Profit or Loss and
Other Comprehensive Income
-
-
b) As at 30 June 2023, the Company has estimated tax losses of approximately $36,055,374 (2022:
$32,158,235), which may be available to be offset against deferred tax liabilities and taxable income
in future years. The availability of these losses is subject to satisfying Australian taxation legislative
requirements. The deferred tax asset attributable to tax losses has not been brought to account in
these financial statements as the Directors believe it is not presently appropriate to regard realisation
of the future income tax benefits as probable.
c) Deferred Tax Liability
With regard to Mineral Exploration Expenditure of $12,155,832 (2022: $13,719,581) the tax liability in
respect of the book value has not been brought to account as it is offset by the tax losses set out in
5(b) above.
NOTE 6: EARNINGS PER SHARE
Loss used in the calculation of basic EPS
30.06.2023
$
30.06.2022
$
(5,861,986)
(598,504)
Weighted average number of ordinary shares used in calculation
of basic earnings per share
194,132,095
140,488,695
Basic earnings per share
(3.02)
(0.43)
57
Great Western Exploration Limited
ABN 53 123 631 470
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2023
NOTE 7: CASH AND CASH EQUIVALENTS
Cash at bank
Cash on deposit
30.06.2023
$
3,021,416
-
30.06.2022
$
3,317,176
1,307,385
3,021,416
4,624,561
The effective interest rate on short term bank deposits on average was 1.15% (2022: 0.01%).
NOTE 8: TRADE AND OTHER RECEIVABLES
Current
Tenement applications and deposits
GST receivable
Prepayments
30.06.2023
$
30.06.2022
$
352,303
64,263
29,612
446,178
275,349
111,819
13,330
400,498
Allowance for impairment loss
Trade and other receivables do not contain impaired assets and are not past due. It is expected that these
other balances will be received when due.
Fair value and credit risk
Due to the short-term nature of the receivables, their carrying value is assumed to approximate their fair
value. Given the nature of the receivables the Company’s exposure to risk is not considered material.
NOTE 9: OTHER ASSETS
Financial assets
Other
30.06.2023
$
30.06.2022
$
400
400
400
400
Changes in fair value are included in the statement of comprehensive income.
58
Great Western Exploration Limited
ABN 53 123 631 470
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2023
NOTE 10: PROPERTY, PLANT AND EQUIPMENT
Plant and Equipment – at cost
Less: accumulated depreciation
30.06.2023
$
30.06.2022
$
64,530
(37,854)
26,676
54,229
(24,160)
30,069
Reconciliation of the carrying amount of property, plant and
equipment
30.06.2023
$
30.06.2022
$
Carrying amount at beginning of year
Additions
Disposals
Depreciation for the year
Carrying amount at end of financial year
NOTE 11: MINERAL EXPLORATION EXPENDITURE
Balance at beginning of the year
Acquisition of tenements
Capitalised exploration expenditure
Mineral expenditure written off 1
Balance at end of financial year
30,069
10,302
-
(13,695)
26,676
27,225
12,994
-
(10,150)
30,069
30.06.2023
$
30.06.2022
$
13,719,581
10,518,845
-
-
3,326,510
3,213,568
(4,890,259)
(12,832)
12,155,832
13,719,581
1This relates to expenditure on tenements that are no longer part of the Group’s exploration strategy during the coming
year, including costs ($81,287) associated with tenement applications not yet granted. Consequently, the Group has
recorded an impairment charge.
The value of the Company’s interest in exploration expenditure is dependent upon:
the continuance of the Company’s rights to tenure of the areas of interest;
the results of future exploration; and
•
•
• The recoupment of costs through successful development and exploitation of the areas of interest
or, alternatively, by their sale.
59
Great Western Exploration Limited
ABN 53 123 631 470
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2023
NOTE 12: TRADE AND OTHER PAYABLES
Current
Trade payables
Sundry payables and accruals
PAYG Withholding
30.06.2023
$
30.06.2022
$
157,249
122,634
22,507
302,390
300,370
98,220
26,047
424,637
Due to the short-term nature of these payables, their carrying value is assumed to approximate fair value.
Trade payables are non-interest bearing and are generally settled within 30 days.
NOTE 13: EQUITY
ISSUED CAPITAL
Ordinary shares on issue
Movements in Ordinary Shares
Balance at the beginning of the year 1/7/22
Options exercised during the year
Issued during the year
Issue costs
Balance at year end 30/06/23
Options Reserve
Unlisted
Balance at the beginning of the year 1/7/22
Options exercised during the year
Amount recognised during the year
Expired or lapsed during the year
30.06.2023
No. on issue
$
252,698,117
44,466,129
No. on issue
$
179,948,117
1,500,000
71,250,000
-
252,698,117
11,700,000
(1,500,000)
-
-
41,432,354
390,000
2,850,000
(206,225)
44,466,129
1,810,650
(390,000)
200,906
-
Balance at the end of the period 30/06/23
10,200,000
1,621,556
Listed
Balance at the beginning of the year 1/7/22
Expired or exercised during the year
Balance at the end of the period 30/06/23
-
-
-
-
-
-
60
Great Western Exploration Limited
ABN 53 123 631 470
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2023
NOTE 13: EQUITY (Continued)
ISSUED CAPITAL
Ordinary shares on issue
Movements in Ordinary Shares
Balance at the beginning of the year 1/7/21
Issued during the year
Issue costs
Balance at year end 30/06/22
Options Reserve
Unlisted
Balance at the beginning of the year 1/7/21
Options issued during the year
Expired during the year
Balance at the end of the period 30/06/22
Listed
Balance at the beginning of the year 1/7/21
Expired or exercised during the year
Balance at the end of the period 30/06//22
30.06.2022
No. on issue
$
179,948,117
41,432,354
No. on issue
$
136,198,117
43,750,000
-
179,948,117
10,466,667
5,000,000
(3,766,667)
11,700,000
-
-
-
38,168,373
3,500,000
(236,019)
41,432,354
1,908,284
54,627
(152,261)
1,810,650
-
-
-
The Company at 30 June 2023 has issued share capital amounting to 252,698,117 (2022: 179,948,117)
ordinary shares with no par value.
Ordinary shares participate in dividends and the proceeds on winding up of the parent entity in proportion
to the number of shares held.
At the shareholders’ meetings each ordinary share is entitled to one vote when a poll is called, otherwise
each shareholder has one vote on a show of hands.
61
Great Western Exploration Limited
ABN 53 123 631 470
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2023
NOTE 14: CASH FLOW STATEMENT RECONCILIATION
Reconciliation of net loss after tax to net cash flows from
operations
Loss for the year
Depreciation
Share based payments
Mineral exploration expenditure written off
Changes in assets and liabilities:
(Increase)/Decrease in trade and other receivables and
prepayments
Increase/(Decrease) in trade and other payables
Increase /(Decrease) in provisions
NOTE 15: RELATED PARTY DISCLOSURE
30.06.2023
$
30.06.2022
$
(5,861,986)
(598,504)
13,695
200,906
4,890,259
10,150
(97,634)
12,832
(43,886)
181,970
14,945
(109,444)
229,744
(5,965)
(604,097)
(558,821)
There were no related party transactions with Directors or any Director related entities during the year
ended 30 June 2023 or 30 June 2022.
NOTE 16: KEY MANAGEMENT PERSONNEL
$
30.06.2023
30.06.2022
$
(a)
Remuneration for Key Management Personnel
Short term employee benefits 16 (b)
Post-employment benefits 16 (b)
Share based payments
Entitlements lapsed (1)
310,000
32,550
200,906
308,457
30,672
165,750
-
(449,064)
543,456
55,815
. (1) Options granted in 2020 to Mr Thomas Ridges lapsed on their terms at the date of his resignation from the Company and were
relinquished.
(b)
Reconciliation of Directors’ fees
Cash component of remuneration
342,550
331,129
Portion capitalised in mineral exploration expenditure
(181,266)
(189,828)
Directors’ salary included in Employee Benefits Expense
161,284
141,301
62
Great Western Exploration Limited
ABN 53 123 631 470
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2023
NOTE 16: KEY MANAGEMENT PERSONNEL (Continued)
$
Reconciliation of Employee Benefits Expense
(c)
30.06.2023
30.06.2022
$
Directors’ salary included in employee benefits expense
Other employee benefits expense
161,284
28,453
141,301
133,291
Total Employee Benefits Expense
189,737
274,592
NOTE 17: SHARE BASED PAYMENTS
(a) Recognised share based payment
The share-based payment expense recognised for employee services, consultants and tenement
acquisition received during the year is shown in the table below:
Expense arising from equity share-based payment
transactions settled via options
Lapsed equity share-based payment transactions settled
during period
Total expense arising from
share-based payment transactions
30.06.2023
$
30.06.2022
$
200,906
54,627
-
(152,261)
200,906
(97,634)
The share-based payment plans are described below. There have been no cancellations or
modifications to any of the plans during 2023 and 2022.
b)
Types of Share based payment plans
Great Western Exploration Limited, Employee Share Option Plan
Share options are granted to senior executives and designed to provide executives an incentive
and participate along with shareholders by increasing the value of the Company’s shares. The
options are issued by the Board having regard, in each case to:
(i)
(ii)
the contribution to the Company which has been made by the Participant;
the period of employment of the Participant with the Company, including (but not limited
to) the years of service by that Participant;
the potential contribution of the Participant to the Company; and
(iii)
any other matters which the Board considers in its absolute discretion, to be relevant.
The options are issued to participants at a price the Board considers appropriate, but in any event,
63
Great Western Exploration Limited
ABN 53 123 631 470
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2023
NOTE 17: SHARE BASED PAYMENTS (Continued)
no more than nominal consideration. Details of options expiry date and exercise price are set out
in Note 17 (c) below.
c)
Summary of Options on issue
Outstanding at
beginning of financial year
Granted during the year:
- unlisted options expiring 20 Jun 2027
- unlisted options expiring 20 Jun 2027
- unlisted options expiring 20 Jun 2027
Lapsed during the year(1)
Expired during the year(2)
Exercised during the year
30.06.2023
30.06.2022
No.
Exercise
Price
No.
Exercise
Price
11,700,000
10,466,667
-
-
-
-
-
(1,500,000)
-
-
-
-
-
-
1,500,000
1,500,000
2,000,000
(3,500,000)
(266,667)
-
11,700,000
-
-
-
-
-
-
Outstanding at end of financial year
10,200,000
(1)Includes unlisted options issued to Mr Thomas Ridges that lapsed on their terms on his resignation from the Company
on 14th April 2022.
(2)Includes listed options that expired on 31 December 2021 and on 30 June 2021.
The following share-based payment arrangements were in existence during the current and prior
reporting periods:
Grant
Date
No of
Options
Grant Date
Fair Value
Exercise
Price
Expiry
Date
Vesting
Date
Value
recognized
during the
year
Value
recognized in
future years
30.06.2023
20/06/2022 1,500,000
$0.080
$0.00
20/06/2027 20/06/2023 $91,930
-
20/06/2022 1,500,000
$0.080
$0.00
20/06/2027 20/06/2024 $57,675
$48,263
20/06/2022 2,000,000
$0.080
$0.00
20/06/2027 20/06/2025 $51,301
$96,204
6/4/2021
2,750,000
$0.0645
$0.37
31/3/2024
6/4/2021
6/4/2021
1,250,000
$0.0442
$0.52
31/3/2024
6/4/2021
29/12/2020 1,200,000
$0.0124
$0.31
29/12/2023 29/12/2020
-
-
-
-
-
-
Total
10,200,000
$200,906 $144,467
64
Great Western Exploration Limited
ABN 53 123 631 470
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2023
NOTE 17: SHARE BASED PAYMENTS (Continued)
Grant
Date
No of
Options
Grant Date
Fair Value
Exercise
Price
Expiry
Date
Vesting
Date
Value
recognized
during the
year
Value
recognized in
future years
30.06.2022
12/10/2020 1,500,000
$0.26
$0.00
12/10/2025 12/10/2021 $111,123
-
20/06/2022 1,500,000
$0.080
$0.00
20/06/2027 20/06/2023 $28,110
$114,390
20/06/2022 1,500,000
$0.080
$0.00
20/06/2027 20/06/2024 $14,036
$128,464
20/06/2022 2,000,000
$0.080
$0.00
20/06/2027 20/06/2025 $12,482
$177,518
6/4/2021
2,750,000
$0.0645
$0.37
31/3/2024
6/4/2021
6/4/2021
1,250,000
$0.0442
$0.52
31/3/2024
6/4/2021
29/12/2020 1,200,000
$0.0124
$0.31
29/12/2023 29/12/2020
-
-
-
-
-
-
Total
11,700,000
$165,751 $420,372
d)
Option pricing model
Equity-settled transactions
The fair value of the equity-settled share options granted under the Employee Share Option Plan
is estimated as at the date of the grant using a Monte Carlo Pricing Model as part of the term of
the issued options, the options will vest immediately when the Share Price Equals or exceeds the
Exercise Price of the respective shares after the date of issues of the options.
Binomial Model Pricing Model and Black and Scholes Model taking into account the terms and
conditions upon which the options were granted options included in relation to acquisition of
tenements and corporate advisory services during the period.
Binomial Model Pricing Model
Grant Date
Dividend yield (%)
Expected volatility (%)
Risk free interest rate (%)
Expected life of options (yrs)
Option exercise price ($)
Weighted average share price at
measurement date ($)
20/06/22
-
131.5
3.82
5.0
0.00
0.08
65
Great Western Exploration Limited
ABN 53 123 631 470
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2023
NOTE 17: SHARE BASED PAYMENTS (Continued)
Black-Scholes Model
Grant Date
Dividend yield (%)
Expected volatility (%)
Risk free interest rate (%)
Expected life of options (yrs)
Option exercise price ($)
Grant Date Share Price
06/04/2021
29/12/20
-
117
0.08
3.0
0.52
0.25
-
117
0.08
3.0
0.31
0.2
e) Share issued in lieu of services
No shares were issued in lieu of services during the years ended 30 June 2023 or 30 June 2022.
66
Great Western Exploration Limited
ABN 53 123 631 470
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2023
NOTE 18: PARENT INFORMATION
The following information has been extracted from the books and
records of the parent and has been prepared in accordance with
Australian Accounting Standards.
STATEMENT OF FINANCIAL POSITION
ASSETS
Current Assets
Non-current assets
TOTAL ASSETS
LIABILITIES
Current liabilities
Non-current liabilities
TOTAL LIABILITIES
NET ASSETS
EQUITY
Issued capital
Reserves
Accumulated losses
TOTAL EQUITY
30.06.2023
$
30.06.2022
$
3,467,226
12,177,671
15,644,897
5,024,691
13,744,814
18,769,505
334,095
-
334,095
441,398
-
441,398
15,310,802
18,328,107
44,180,963
1,621,557
(30,491,718)
41,147,188
1,810,650
(24,629,731)
15,310,802
18,328,107
STATEMENT OF PROFIT OR LOSS AND OTHER COMPREHENSIVE
INCOME
Total loss
(5,857,364)
(598,504)
Total comprehensive income
(5,857,364)
(598,504)
Guarantees
Great Western Exploration Limited has not entered into any guarantees, in the current or previous
financial year, in relation to the debts of its subsidiaries.
Contingent Liabilities
At 30 June 2023, there were certain contingent liabilities in relation to the parent entity (2022: Nil) as
outlined in Note 21.
Contractual commitments
At 30 June 2023, Great Western Exploration Limited had not entered into any contractual commitments
for the acquisition of property, plant and equipment (2022: Nil).
67
Great Western Exploration Limited
ABN 53 123 631 470
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2023
NOTE 19: CONTROLLED ENTITIES
Interests are held in the following:
Name
Principal
Activity
Country of
Incorporation Shares
Ownership Interest
30.06.2023 30.06.2022
Vanguard Exploration Limited
Mineral
Exploration
Australia
Ordinary
100%
100%
Clean Energy Metals Pty Ltd Development Australia
Ordinary 100%
Nil
Project
NOTE 20: COMMITMENTS
COMMITMENTS
30.06.2023
$
30.06.2022
$
a) Exploration Tenement Leases
In order to maintain rights of tenure to exploration tenements
currently granted, the Group is required to outlay lease rentals and
to meet the minimum expenditure requirements of the Western
Australian Department of Mines, Industry Regulation & Safety.
Within one year
881,034
2,248,500
NOTE 21: CONTINGENT ASSETS AND LIABILITIES
As at 30 June 2023, the Group has a potential exposure in relation to compensation payable under a
Native Title Land Access and Mineral Exploration Agreement dated 25 September 2019 (the
“Agreement”) covering twenty individual tenements held by the Group in Western Australia. A claim to
the value of $300,000 has been issued under an invoice dated 30 June 2023.
The Directors obtained legal advice which concluded that the invoice issued by the Native Title group is
not supported by the terms of the Agreement. Consequently, the directors are of the view that the
payment schedule contained in the Agreement only applies to a limited number of tenements and will
strongly dispute the assessment by the Native Title group.
As at the reporting date, there is no resolution of the contested compensation claim. There were no other
contingencies at the end of financial year 2023.
68
Great Western Exploration Limited
ABN 53 123 631 470
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2023
NOTE 22: EVENTS AFTER BALANCE DATE
The Directors are not aware of any matter or circumstance that has arisen since 30 June 2023 which has
significantly affected or may significantly affect the operations of the Group, the results of those operations,
or the state of affairs of the Group, in future financial years, other than:
• On 17 August 2023 the Company announced that it had been advised by Sandfire Resources
(Sandfire) that it was withdrawing from the Yerrida North Joint Venture (JV). Sandfire spent ~$4.5M
on exploration within the Yerrida North JV since the commencement of the joint venture in 2017,
acquiring and compiling a comprehensive geological data package for future exploration, which will
now revert to Great Western.
• On 1 August 2023 the Company announced RC drilling has been completed at the Firebird Gold
Project, with 1,700m drilled. Assay results from this drilling are pending.
NOTE 23: AUDITORS’ REMUNERATION
The Auditor of Great Western Exploration Limited is Hall Chadwick WA
Audit Pty Ltd.
Amounts received or due and receivable for
• an audit or review of the financial report of the Group
• other services in relation to the Group – other services
30.06.2023
$
30.06.2022
$
42,907
39,321
-
-
42,907
39,321
69
GREAT WESTERN EXPLORATION LIMITED
ABN 53 123 631 470
Directors’ Declaration
In accordance with a resolution of the directors of Great Western Exploration Limited, the Directors of
the Company declare that:
1.
the financial statements and notes, as set out on pages 34 to 69, are in accordance with the
Corporations Act 2001 and:
a.
b.
comply with Australian Accounting Standards, which, as stated in accounting policy
Note 1 to the financial statements, constitutes compliance with International Financial
Reporting Standards (IFRS); and
give a true and fair view of the financial position as at 30 June 2023 and of the
performance for the year ended on that date of the Company;
2.
3.
in the Directors’ opinion, subject to the matters mentioned in Note 1(a) to the financial
statements, there are reasonable grounds to believe that the Company will be able to pay its
debts as and when they become due and payable; and
the Directors have been given the declarations required by s 295A of the Corporations Act
2001 for the financial year ended 30 June 2023.
Dated this 14th day of September 2023
Shane Pike
Managing Director
70
To the Board of Directors,
Auditor’s Independence Declaration under Section 307C of the Corporations Act 2001
As lead audit Director for the audit of the financial statements of Great Western Exploration Limited for
the financial year ended 30 June 2023, I declare that to the best of my knowledge and belief, there have
been no contraventions of:
•
•
the auditor independence requirements of the Corporations Act 2001 in relation to the audit; and
any applicable code of professional conduct in relation to the audit.
Yours Faithfully
HALL CHADWICK WA AUDIT PTY LTD
MARK DELAURENTIS CA
Director
Dated Perth, Western Australia this 14th day of September 2023
71
INDEPENDENT AUDITOR'S REPORT
TO THE MEMBERS OF GREAT WESTERN EXPLORATION
LIMITED
Report on the Audit of the Financial Report
Opinion
We have audited the financial report of Great Western Exploration Limited (“the Company”) and its
subsidiaries (“the Consolidated Entity”), which comprises the consolidated statement of financial
position as at 30 June 2023, the consolidated statement of profit or loss and other comprehensive
income, the consolidated statement of changes in equity and the consolidated statement of cash flows
for the year then ended, and notes to the financial statements, including a summary of significant
accounting policies, and the directors’ declaration.
In our opinion:
a.
the accompanying financial report of the Consolidated Entity is in accordance with the
Corporations Act 2001, including:
(i)
giving a true and fair view of the Consolidated Entity’s financial position as at 30 June 2023
and of its financial performance for the year then ended; and
(ii)
complying with Australian Accounting Standards and the Corporations Regulations 2001.
b.
the financial report also complies with International Financial Reporting Standards as disclosed
in Note 1.
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 Consolidated Entity in accordance with the
auditor independence requirements of 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 (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 believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for
our opinion.
72
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.
Key Audit Matter
How our audit addressed the Key Audit Matter
As disclosed in note 11 to the financial statements,
Our review procedures included but were not limited
to:
•
•
•
during the year ended 30 June 2023 the Company
capitalised exploration and evaluation expenditure
was carried at $12,155,832 with an impairment
expense of $4,890,259.
Mineral exploration expenditure is a focus area due
to:
•
•
•
The significance of the balance to the
Consolidated Entity’s financial position;
The level of judgement required in evaluating
management’s application of the requirements
of AASB 6 Exploration for and Evaluation of
Mineral Resources (“AASB 6”). AASB 6 is an
industry specific accounting standard requiring
the application of significant judgements,
estimates and industry knowledge. This
includes specific requirements for expenditure
to be capitalised as an asset and subsequent
requirements which must be complied with for
capitalised expenditure to continue to be
carried as an asset; and
The assessment of impairment of mineral
exploration expenditure being inherently
difficult.
Assessing management’s determination of its
areas of interest for consistency with the definition
in AASB 6 Exploration and Evaluation of Mineral
Resources (“AASB 6”);
Assessing the Consolidated Entity’s rights to
tenure for a sample of tenements;
By reviewing the status of the Consolidated
Entity’s tenure and planned future activities,
reading board minutes and discussions with
management we assessed each area of interest
for one or more of the following circumstances
that may indicate impairment of the mineral
exploration expenditure:
• The licenses for the rights to explore expiring
in the near future or are not expected to be
renewed;
• Substantive expenditure for further exploration
in the area of interest is not budgeted or
planned;
• Decision or intent by the Consolidated Entity
to discontinue activities in the specific area of
interest due to lack of commercially viable
quantities of resources; and
• Data indicating that, although a development in
the specific area is likely to proceed, the
carrying amount of the exploration asset is
unlikely to be recorded in full from successful
development or sale; and
• We also assessed the appropriateness of the
related disclosures in note 11 to the financial
statements.
73
Other Information
The directors are responsible for the other information. The other information comprises the information
included in the Consolidated Entity’s annual report for the year ended 30 June 2023, but does not include
the financial report and our auditor’s report thereon.
Our opinion on the financial report does not cover the other information and accordingly 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 Note 1, the directors also state in accordance with Australian Accounting Standard AASB 101
Presentation of Financial Statements, that the financial report complies with International Financial
Reporting Standards.
In preparing the financial report, the directors are responsible for assessing the Consolidated Entity’s
ability 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
Consolidated Entity 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.
74
As part of an audit in accordance with the Australian Auditing Standards, we exercise professional
judgement and maintain professional scepticism throughout the audit. We also:
•
Identify and assess the risks of material misstatement of the financial report, whether due to
fraud or error, design and perform audit procedures responsive to those risks, and obtain audit
evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not
detecting a material misstatement resulting from fraud is higher than for one resulting from error,
as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the
override of internal control.
• Obtain an understanding of internal control relevant to the audit in order to design audit
procedures that are appropriate in the circumstances, but not for the purpose of expressing an
opinion on the effectiveness of the Consolidated Entity’s internal control.
•
Evaluate the appropriateness of accounting policies used and the reasonableness of accounting
estimates and related disclosures made by the directors.
• Conclude on the appropriateness of the directors’ use of the going concern basis of accounting
and, based on the audit evidence obtained, whether a material uncertainty exists related to
events or conditions that may cast significant doubt on the Consolidated Entity’s ability to
continue as a going concern. If we conclude that a material uncertainty exists, we are required
to draw attention in our auditor’s report to the related disclosures in the financial report or, if
such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit
evidence obtained up to the date of our auditor’s report. However, future events or conditions
may cause the Consolidated Entity to cease to continue as a going concern.
•
Evaluate the overall presentation, structure and content of the financial report, including the
disclosures, and whether the financial report represents the underlying transactions and events
in a manner that achieves fair presentation.
• Obtain sufficient appropriate audit evidence regarding the financial information of the entities or
business activities within the Consolidated Entity to express an opinion on the financial report.
We are responsible for the direction, supervision and performance of the Consolidated Entity
audit. We remain solely responsible for our audit opinion.
We communicate with the directors regarding, among other matters, the planned scope and timing of
the audit and significant audit findings, including any significant deficiencies in internal control that we
identify during our audit.
We also provide the directors with a statement that we have complied with relevant ethical requirements
regarding independence, and to communicate with them all relationships and other matters that may
reasonably be thought to bear on our independence, and where applicable, related safeguards.
From the matters communicated with the directors, we determine those matters that were of most
significance in the audit of the financial report of the current period and are therefore the key audit
75
matters. We describe these matters in our auditor’s report unless law or regulation precludes public
disclosure about the matter or when, in extremely rare circumstances, we determine that a matter should
not be communicated in our report because the adverse consequences of doing so would reasonably
be expected to outweigh the public interest benefits of such communication.
Report on the Remuneration Report
We have audited the Remuneration Report included in the directors’ report for the year ended 30 June
2023. The directors of the Company are responsible for the preparation and presentation of the
remuneration report in accordance with s 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.
Auditor’s Opinion
In our opinion, the Remuneration Report of Great Western Exploration Limited, for the year ended 30
June 2023, complies with section 300A of the Corporations Act 2001.
HALL CHADWICK WA AUDIT PTY LTD
MARK DELAURENTIS CA
Director
Dated in Perth, Western Australia this 14th day of September 2023
76
GREAT WESTERN EXPLORATION LIMITED
ABN 53 123 631 470
ADDITIONAL INFORMATION
1.
SHAREHOLDER INFORMATION
1.1
VOTING RIGHTS
Every member has one vote for every fully paid ordinary share held.
1.2
SUBSTANTIAL SHAREHOLDERS AS AT 21 August 2023
Shareholder
Seascape Capital Pty Ltd
Budworth Capital Pty Ltd
No of Shares
29,255,760
29,225,500
1.3
DISTRIBUTION OF HOLDERS AS AT 21 August 2023
1 – 1000
1001 – 5,000
5001 – 10,000
10,001 – 100,000
100,001 – and over
`Total number of holders
Fully Paid Ordinary
Shares
No. of Ordinary
Shares
764
271
118
318
196
,667
162,489
699,900
896,960
11,769,558
239,169,210
252,698,117
At 21 August 2023 the Company had 1,166 unmarketable parcels
1.4
TOP TWENTY HOLDERS:
Ordinary Shares fully paid: The names of the twenty largest shareholders as at 21 August
2023 are as follows:
Name
%
No. of Shares
1 SEASCAPE CAPITAL PTY LTD
2 BUDWORTH CAPITAL PTY
3 NINAN PTY LTD
4 WESTGATE CAPITAL PTY LTD
5
6
MRS J E SOMES + MS A J SOMES
PORTCULLIS HOUSE PTY LTD
7 MR JORDAN LUCKETT
8 WOMBAT SUPER INVESTMENTS PTY LTD
9 SIMON LEE
10 QUICKSILVER ASSET PTY LTD
11 FJ and SJ MAHER
12 AGILIS PTY LTD
13 TAZGA TWO PTY LTD
77
11.58
11.57
2.90
2.78
2.07
1.94
1.68
1.67
1.65
1.62
1.48
1.39
1.20
29,255,760
29,225,500
7,325,000
7,033,334
5,241,120
4,900,000
4,239,087
4,211,250
4,166,667
4,086,534
3,750,000
3,500,000
3,043,056
GREAT WESTERN EXPLORATION LIMITED
ABN 53 123 631 470
14 SIMORE PTY LTD
15 GEOFF BARNES
16 MA BENNETT
17 GANDRIA CAPITAL PTY LTD
18 LITTLE BREAKAWAY PTY LTD
19 JE AND JC MOORE
20 HSBC CUSTODY NOMINEES (AUSTRALIA) LIMITED
1.13
1.05
1.05
1.02
1.01
0.99
0.95
2,853,749
2,650,000
2,650,000
2,572,500
2,561,764
2,500,000
2,397,065
50.72
128,162,386
At 30 June 2023, the Company had no quoted options (GTEOA) outstanding.
1.5
Unlisted option holders:
Class of Unlisted Option
No. of unlisted options on issue No of holders
Exercisable at $0.31 and expiring 29 December 2023
Zero Exercise price expiring 12 Oct 2025 s.t. milestones
Zero Exercise price expiring 19 Apr 2027 s.t. milestones
Exercisable at $0.37 and expiring 31 March 2024
Exercisable at $0.52 and expiring 31 March 2024
1,200,000
1,500,000
5,000,000
2,750,000
1,250,000
1
1
1
4
3
1.6
Restricted Securities:
The Company has no restricted securities on issue.
78
GREAT WESTERN EXPLORATION LIMITED
ABN 53 123 631 470
2.
SCHEDULE OF MINERAL TENEMENTS
Tenement Schedule at 30 June 2023
Project
Tenement
Status
Holder
Ownership
Comments
Atley
Atley
Atley
Atley
Atley
Atley
Atley
Atley
Atley
E 57/1130
E 57/1131
E 57/1160
E 57/1161
E 57/1162
E 57/1164
E 57/1165
E 57/1166
E 57/1204
Live
Live
Live
Live
Live
Live
Live
Live
Live
Great Western Exploration Limited
100%
Great Western Exploration Limited
100%
Great Western Exploration Limited
100%
Great Western Exploration Limited
100%
Great Western Exploration Limited
100%
Great Western Exploration Limited
100%
Great Western Exploration Limited
100%
Great Western Exploration Limited
100%
Great Western Exploration Limited
100%
Fairbairn
E 69/3443
Live
Vanguard Exploration Ltd
100%
100% Owned Subsidiary
Fairbairn
E 69/3810
Pending
Great Western Exploration Limited
100%
Fairbairn
E 69/3899
Live
Great Western Exploration Limited
100%
Fairbairn
E 69/3903
Pending
Great Western Exploration Limited
100%
Fairbairn
E 69/3906
Live
Great Western Exploration Limited
100%
Fairbairn
E 69/4065
Pending
Great Western Exploration Limited
100%
Reapplication of E 69/3903
Fairbairn
E 69/4150
Pending
Great Western Exploration Limited
100%
Fairbairn
E 69/4151
Pending
Great Western Exploration Limited
100%
Forrestania South
E 74/603
Live
Western Areas Ltd
10%
Free Carried To PFS
Firebird
E 53/2129
Live
Jindalee Resources Limited
0%
JV with Dynamic Resources Ltd, GTE
Earning 80%
Golden Corridor
E 51/1855
Golden Corridor
E 51/2046
Golden Corridor
E51/2010
Golden Corridor
E 53/1983
Golden Corridor
E 53/2124
Golden Corridor
E 53/2138
Golden Corridor
E 53/2139
Golden Corridor
E 53/2141
Live
Live
Live
Live
Live
Live
Live
Live
Great Western Exploration Limited
100%
Great Western Exploration Limited
100%
Great Western Exploration Limited
90%
Westex Resources Free Carried to BFS
Great Western Exploration Limited
100%
Great Western Exploration Limited
100%
Great Western Exploration Limited
100%
Great Western Exploration Limited
100%
Great Western Exploration Limited
100%
79
GREAT WESTERN EXPLORATION LIMITED
ABN 53 123 631 470
Project
Tenement
Status
Holder
Ownership
Comments
Golden Corridor
E 53/2142
Live
Great Western Exploration Limited
100%
Lake Way Potash
E 53/1949
Lake Way Potash
E 53/2017
Lake Way Potash
E 53/2026
Lake Way Potash
E 53/2146
Yandal West
E 53/1369
Yandal West
E 53/1612
Yandal West
E 53/1816
Live
Live
Live
Live
Live
Live
Live
Great Western Exploration Limited
100%
Great Western Exploration Limited
100%
Great Western Exploration Limited
100%
Great Western Exploration Limited
100%
Vanguard Exploration Ltd
100%
100% Owned Subsidiary
Diversified Asset Holdings Pty Ltd
Diversified Asset Holdings Pty Ltd
80%
80%
Diversified Free Carried To BFS,
Diversified Free Carried To BFS
Yandal West
E 53/2206
Pending
Great Western Exploration Limited
100%
Competing Application, second drawn in
ballot
Copper Ridge
E 51/1727
Copper Ridge
E 51/1734
Copper Ridge
E 51/1856
Copper Ridge
E 53/1894
Copper Ridge
E53/2156
Yerrida South
E 51/1732
Yerrida South
E 51/1733
Yerrida South
E 51/1993
Yerrida South
E51/2062
Yerrida South
E51/2063
Yerrida South
E 53/2027
Yerrida South
E 53/2077
Yerrida South
E 53/2196
Yerrida South
E 51/2078
Live
Live
Live
Live
Live
Live
Live
Live
Live
Live
Live
Live
Live
Live
Great Western Exploration Limited
100%
Great Western Exploration Limited
100%
Great Western Exploration Limited
100%
Great Western Exploration Limited
100%
Great Western Exploration Limited
100%
Great Western Exploration Limited
100%
Great Western Exploration Limited
100%
Great Western Exploration Limited
100
Great Western Exploration Limited
100%
Great Western Exploration Limited
100%
Great Western Exploration Limited
100%
Great Western Exploration Limited
100%
Great Western Exploration Limited
100%
Great Western Exploration Limited
100%
Yerrida North
E 51/2127
Pending
Great Western Exploration Limited
100%
Yerrida North
E 51/2128
Pending
Great Western Exploration Limited
100%
Yerrida North
E 51/2129
Pending
Great Western Exploration Limited
100%
Calyerup
E 70/6032
Live
Great Western Exploration Limited
100%
Weld Spring
E 69/4021
Pending
Great Western Exploration Limited
100%
Weld Spring
E 69/4022
Pending
Great Western Exploration Limited
100%
80
GREAT WESTERN EXPLORATION LIMITED
ABN 53 123 631 470
Project
Tenement
Status
Holder
Ownership
Comments
Weld Spring
E 69/4023
Pending
Great Western Exploration Limited
100%
Weld Spring
E 69/4024
Pending
Great Western Exploration Limited
100%
Weld Spring
E 69/4025
Pending
Great Western Exploration Limited
100%
Weld Spring
E 69/4026
Pending
Great Western Exploration Limited
100%
Weld Spring
E 69/4027
Pending
Great Western Exploration Limited
100%
Previoulsly in a
Joint Venture
with Sandfire
Resources
Limited
Yerrida North JV
E 51/1324
Yerrida North JV
E 51/1330
Yerrida North JV
E 51/1560
Yerrida North JV
E 51/1712
Yerrida North JV
E 51/1723
Yerrida North JV
E 51/1724
Yerrida North JV
E 51/1728
Yerrida North JV
E 51/1746
Yerrida North JV
E 51/1747
Yerrida North JV
E 51/1819
Yerrida North JV
E 51/1827
Yerrida North JV
E 51/2033
Yerrida North JV
E 51/2068
Live
Live
Live
Live
Live
Live
Live
Live
Live
Live
Live
Live
Live
Great Western Exploration Limited
100%
Great Western Exploration Limited
100%
Great Western Exploration Limited
100%
Great Western Exploration Limited
100%
Great Western Exploration Limited
100%
Great Western Exploration Limited
100%
Great Western Exploration Limited
100%
Great Western Exploration Limited
100%
Great Western Exploration Limited
100%
Great Western Exploration Limited
100%
Great Western Exploration Limited
100%
Great Western Exploration Limited
100%
Great Western Exploration Limited
100%
81