GREAT WESTERN EXPLORATION LIMITED
AND CONTROLLED ENTITIES
ABN 53 123 631 470
ANNUAL REPORT
30 JUNE 2024
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)
Hall Chadwick WA Audit Pty Ltd
283 Rokeby Road
Subiaco WA 6008
Company Secretary
Anthony Walsh
Principal Office
Level 2, 160 St Georges Terrace
Perth, WA 6000
Telephone (08) 6311 2852
Solicitors
Steinepreis Paganin
16 Milligan Street
Perth, WA 6000
Share Registry
Computershare Investor Services Pty Limited
Level 17, 221 St Georges Terrace
Perth, WA 6000
Telephone: 1300 787 272
Facsimile: (08) 9323 2033
Website:
www.greatwesternexploration.com.au
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
1
Sustainability
19
Directors’ Report
20
Consolidated Statement of Profit or Loss and other Comprehensive
Income
32
Consolidated Statement of Financial Position
33
Consolidated Statement of Changes in Equity
34
Consolidated Statement of Cash Flows
35
Notes to the Consolidated Financial Statements
36
Directors’ Declaration
68
Auditor’s Independence Declaration
69
Independent Auditor’s Report
70
Additional Information
75
Great Western Exploration Limited
1
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 2024.
Yerrida Project: Oval and Oval South
•
Great Western made strong progress during the year towards its goal of drilling the highly
compelling Oval and Oval South copper targets. As a result, the Company expects to get both
targets to drill ready status in the September 2024 Quarter.
•
As part of these preparations, the Company has secured co-funding for the diamond drilling
under the WA Government’s Exploration Incentive Scheme (EIS). The EIS approval is a
significant endorsement of the prospectivity of Oval and Oval South, and Great Western
appreciates the support of the Western Australian Government.
•
Great Western's belief is that there is potential for a very significant discovery to be made,
supported by the coincident geophysics anomalism, their location on a major crustal mantle
tapping fault that is intersected by a basin defining growth fault (that focuses mineralised
fluids), and favourable stratigraphy of the Yerrida Basin to host mineralisation.
Fairbairn Project
•
Great Western completed a reconnaissance drilling programme that drill-tested three fixed-
loop electromagnetic (FLEM) conductor targets, spaced 2-4 kilometres apart, at the Fairbairn
Copper Project in Western Australia.
•
Deep-sea turbidite sedimentary rocks and mafic and bimodal volcanic rocks similar to the host
geology of the DeGrussa Copper VHMS Deposit were intersected, confirming the targeted
geological environment.
•
Drilling of the EM conductors at the modelled depths intersected graphitic shales and
disseminated pyrite. The Company interprets these units to be responsible for the FLEM
conductor response.
•
The Company plans to complete a down-hole electromagnetic survey to test for potential off-
hole conductors.
Lake Way Project
•
Seven water bore drill holes were completed to test modelled paleochannel depth and sample
the brine for potash. Results and modelling of this data are expected to be completed in the
September 2024 Quarter.
Yandal West
•
Great Western completed a proof-of-concept drilling programme completing four drill-holes
along the Barwidgee Fault at the Yandal West Project which returned significant results.
Firebird Gold Project
•
A maiden RC drilling programme and a phase 2 air core drilling programme were completed at
Firebird. Results from these programmes confirmed a mineralised gold system at the project,
but were lower grade and deeper than anticipated.
Corporate
•
The Company is pleased to advise that it was successful in its application for participation in
the Federal Government’s Junior Mineral Exploration Incentive (“JMEI”) Scheme. The Company
has received an allocation of $1,488,500 in JMEI credits for the 2024/2025 tax year.
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.
Great Western Exploration Limited
2
Operating Activities
Yerrida Project: Oval and Oval South
Exploration focused on the Oval and Oval South Targets, with both targets hosted by the vastly under-
explored Yerrida Basin, located approximately 800km north-east of Perth (Figure 1). Great Western
interprets these targets represent giant Winu Style intrusive related copper-gold mineralisation.
Figure 1: Location of the Oval and Oval South Targets and Great Western Tenements within the Yerrida Basin, with
the location of the Ida and GSWA Growth Faults that potentially focused fluids at these two targets.
The Oval and Oval South Targets were originally defined by a Rio Tinto Tempest airborne EM survey in
the late 1990s. Rio Tinto drill tested the Oval Target, drilling a hole to a depth of 232m and terminating the
hole within black shale with disseminated pyrite, considered at the time to be the source of the conductor.
In 2010, a VTEM survey was completed by Great Western over an area that encompassed both Oval and
Oval South. This geophysical method can penetrate deeper into highly conductive terrains such as shales
found at this location than the Tempest technique utilised by Rio Tinto. The VTEM data defined the
conductor at a depth of 300m, below the shale surface where OVR001 was terminated (Figure 2); hole
OVR001 did not intersect the conductor.
Figure 2: Position of Rio Tinto drilled hole at Oval overlaid on VTEM data. Note position of conductor below
termination of OVN001.
Great Western Exploration Limited
3
Further definition of the Oval and Oval South targets was completed by a joint venture between Great
Western and Sandfire Resources (ASX: SFR), where Sandfire spent $4.5M on exploration on the project
from 2017 before withdrawing. Great Western assumed 100% ownership of the Yerrida North Project, and
all associated exploration data compiled and completed by Sandfire during the joint venture was provided
to the Company.
Sandfire completed an Airborne Gravity Gradiometry (AGG) in 2022, with the AGG survey defining discrete
gravity highs at Oval and Oval South, that overlayed near perfectly with the VTEM anomalies (Figure 3).
The coincident gravity and EM anomalies were interpreted as potential buried bodies of metal rich sulphide
mineralisation. The geophysical signatures are interpreted by Great Western as sharing similarities with
the colossal intrusive related copper-gold Winu and Haverion Deposits.
Figure 3: Oval and Oval EM anomalies, overlaid on gravity gradiometry data. Note the location of the Ida Fault Shear
Zone and Yerrida Basin Growth Fault, focusing potential metal rich fluids.
Discovery of giant deposits often involves the identification of at least three key ingredients that may define
a potential major mineralisation system. The very significant key ingredients of Oval and Oval South
identified greatly enhances the discovery of a giant Winu Style intrusive related copper-gold system, which
includes:
Co-incident gravity and EM anomalies – zones of dense rocks that are conductive interpreted to
represent obscured metal rich sulphide mineralisation;
Co-incident magnetic anomalism potentially representing a deep intrusive providing mineralised
fluids and heat source to drive a mineralised system;
Proximity to the crustal scale Ida Fault a proven fertile conduit for metal rich mantle fluids;
Intersection of the Ida Fault by the basin defining Yerrida Basin Growth Structure, interpreted by
the Geological Survey of Western Australia (GSWA). This intersection interpreted to have focused
Great Western Exploration Limited
4
ascending mineralised fluids to within suitable trap site/stratigraphy of the Yerrida Basin;
Favourable Yerrida Basin stratigraphy of the Johnson Cairn Formation for mineralised fluids to
deposit copper-gold (shales, dolomites, siltstones, sandstones); and
Position of both Oval and Oval South within an east-west intrusive corridor; a potential zone of
weakened crust which in conjunction with the Ida Fault and GSWA growth Fault makes an ideal
trap site for metal accumulation.
Great Western Exploration Limited secured funding from the WA Government during the 2024 financial
year for the upcoming diamond drilling program at Oval and Oval South. The funding will be provided under
the Government’s Exploration Incentive Scheme (EIS), and Great Western will receive funding for up to
50 per cent of the drilling costs (capped at $113,000), and up to $5,000 towards drill rig mobilisation costs.
The Company believes the EIS co-funding is a strong endorsement of the prospectivity of Oval and Oval
South and appreciates the support from the Western Australian Government for the Company's exploration
programme.
Negotiating of access agreements for drilling of the Oval and Oval South targets continued and as a result,
the Company expects to get both targets to drill ready status in the September 2024 Quarter.
Fairbairn Copper Project
GTE 100% (E69/3443)
The Fairbairn Copper Project is located 900km north-east of Perth and 120km north-east from Sandfire
Resources’ (ASX: SFR) DeGrussa copper-gold project. A RC pre-collared diamond drilling reconnaissance
drill programme was completed which tested three Fixed Loop Electromagnetic (FLEM) targets, spaced
between two and four kilometres apart. The three isolated and discrete targets were interpreted to
represent DeGrussa Style Copper-Gold mineralisation, identified by both FLEM ground and a heliborne
EM surveys.
Three RC pre-collared diamond drill holes (totalling 854m) were completed, one at each FLEM target.
Drilling intersected turbidite stratigraphy (conglomerates fining upwards to siltstones and shales) in all three
holes. Mafic volcanic rocks (dolerites) were intersected in drill-hole 24FNDD001 (Figure 4), and phyillic
altered bimodal volcanic rocks (andesites and dacites) were noted in drill-hole 24FNDD003 (Figure 5).
Potassic-silica-pyrite altered siltstones with minor quartz veining was logged below the turbidite-volcanic
sequences in drill-hole 24FNDD003 (310.1- 383.25m, Figure 6).
At the modelled position of all three FLEM conductors, interbedded shale and siltstone sequences were
intersected, with the former units containing graphite on sheared surfaces (up to 1%) and disseminated
pyrite. The Company interprets that the graphitic shale generated the conductive FLEM response.
The turbidite rocks are indicative of a deep-sea environment, and combined with mafic and bimodal rocks
intersected, are interpreted by the Company to be a prospective geological environment for volcanic hosted
massive sulphide deposits formation, validating the targeted geological model. These turbidite units share
similarities with the host stratigraphy of the DeGrussa Copper-Gold Deposit, which were also formed within
turbidite and volcanic rock types.
Selective hematite alteration of the individual bedding within the turbidite sequence within holes
24FNDD001 and 003, and trace chalcopyrite (<0.1%) noted in drillhole 24FNDD001 (196.8 - 202.21m)
suggests a position proximal to a potential VHMS system. However, no significant results were returned
from these intervals.
Great Western Exploration Limited
5
Figure 4: Cross Section of drill-hole 24FNDD001 and modelled EM Plate FLG134, looking east. Note turbidite
sequence and dolerite units that are similar to the host stratigraphy at the DeGrussa Copper-Gold Deposit. Trace
(<0.1%) Chalcopyrite was noted between 196.8 – 202.2m, at the position of the EM conductor. Further, silica and
potassic alteration with minor quartz veining was noted within siltstones below the turbidite and dolerite units.
Figure 5: Cross Section of drill-hole 24FNDD002 and modelled EM Plate FLG574, looking west. Note turbidite
sequence unit that are similar to the host stratigraphy at the DeGrussa Copper-Gold Deposit.
Great Western Exploration Limited
6
Figure 6: Cross Section of drill-hole 24FNDD003 and modelled EM Plate FLG285, looking east. Phyllic altered bimodal
volcanic rocks intersected, with turbidite sequence showing similarities to the host stratigraphy at the DeGrussa
Copper-Gold Deposit.
The geological units intersected in the programme are indicative of an underexplored and prospective
VHMS belt, supported by weakly anomalous copper and gold results. Down-hole electromagnetic surveys
are planned to be undertaken to test for off-hole conductors. Forward geophysical modelling found off-hole
VHMS mineralisation could be defined as discrete conductors, despite the presence of the intersected
graphitic shales. The Company plans to complete down-hole electromagnetic surveying for all three holes,
targeting the prospective turbidite and volcanic stratigraphy.
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. 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).
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Figure 7: Interpreted continuation of SO4’s Lake Way high grade potash paleochannel leading downstream into
GTE’s Lake Way Potash Project.
As previously advised, 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, 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 Western land.
The WMC report also provides a range of potassium values. The higher potassium values occur in both
shallow and deep aquifers.”
As previously reported, a passive seismic survey, a non-ground disturbing, low impact geophysical survey
technique, was 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, with the deepest calibrated
depth section being 162 metres near the western side of the tenure (illustrated in Figure 8 and Figure 9).
In KH Morgan’s assessment of the 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,
and he interprets “Many of these sediments have high hydraulic conductive properties providing ideal
targets for high yield brine production bores”. The inset channel is overlain by a thinner sequence of
potential brine yielding sediment, in places more than 10 kilometres in width.”
Great Western Exploration Limited
8
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”.
Figure 8: Coloured passive seismic sections overlain on state-wide pseudo-colour gravity and greyscale
aeromagnetic imagery.
Great Western believes that the magnitude of the paleochannel, which significantly exceeded
expectations, presents an opportunity for Great Western to unlock a project of significant shareholder
value. The services of Mr Morgan will continue to be 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.
Great Western Exploration Limited
9
Figure 9: Three-dimensional view of the interpreted paleochannel pathway (thalweg) (after Resource Potential,
March 2023).
The Company also advises that the 26D Water Licences held over the Company’s Lake Way Tenements
are in place until May 2025. These water licences give the Company the option to complete up to 50
exploration bores to be drilled and to undertake sampling and test pumping of bore capability.
Seven water bore drill holes were completed during the June 2024 Quarter, to test modelled paleochannel
depth and sample the brine for potash. Results and modelling of this data are expected to be completed
in the September 2024 Quarter.
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 and 60km south of the Jundee Gold Mines (Figure 10). Great Western completed
a “proof of concept” drilling programme to test the Barwidgee Fault’s fertility during the December 2023
Quarter, by capitalising on an under-utilised drill-rig work working close to the Yandal West Project and
completing four drill-holes that returned significant results.
Great Western Exploration Limited
10
Figure 10: Location of the Yandal West Project in relation to the Jundee and Bronzewing Gold Deposits.
The Barwidgee Fault is a discrete largely untested structure, with anomalous Rotary Air Blast (RAB) drilling
and high-grade rock-chip results (including 23.5g/t Au – GTE ASX Announcement 5 July 2017) recorded
in the northern defined extremities of the feature (Figure 11). The Barwidgee Fault is evident in both
magnetic and radiometric data interpretation.
Great Western Exploration Limited
11
The late-1990s drilled RAB holes returned anomalous gold results at the interpreted projection of the
Barwidgee Fault. However, while these holes demonstrate the structure’s fertility, the drill-hole spacing
relative to this feature was considered to have not adequately tested the fault. The four drill-holes
completed were designed to test below and along strike from anomalous legacy aircore drilling and the
high-grade 23.5g/t Au rock-chip result, shown in Figure 12.
Figure 11: Plan section of interpreted Barwidgee Structure and location of anomalous RAB and rock-chip results,
overlaid on Geological Survey of Western Australia 1:500,000 Geological Map.
Great Western Exploration Limited
12
Figure 12: Location of reported drilling and position of high-grade rock-chip samples and open extent from significant
assays from 23YWRC023.
Significant assay results were returned from drill-hole 23YWRC023 (shown in Table 1), confirming the
fault’s potential to host a large gold mineralised system. This hole was drilled between two legacy
anomalous RAB holes and north of the high-grade (23.5g/t Au) rock-chip sample detailed above. The
significant results were recorded from a logged basalt-chert sheared contact, which the Company
interpreted dips to the west (Figure 13).
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13
Based on this interpretation, the mineralisation recorded by 23YWRC023 was not intersected by hole
23YWRC022 drilled below (Figure 13), or holes 23YWRC024 (located 50m south) and 23YWRC025
(positioned 600m to the north) shown in Figure 12. In addition, the previously drilled RAB holes angled to
the west potentially paralleled 23YWRC023 defined mineralisation and therefore did not record significant
results. The significant results of 23YWRC023 are therefore interpreted to be open up to 2km along strike
to the south and 650m to the north from this drill-hole.
Table 1: Barwidgee Fault and EM Targets drill results (see Appendix 1 for further details).
Drill hole
Drill Type
From
To
Drill Intercept
23YWRC022 RC
97
98
1m @ 0.75g/t Au
RC
99
100
1m @ 0.65g/t Au
23YWRC023 RC
23
30
7m @ 1.02g/t Au
Including
29
30
1m @ 3.5g/t Au
RC
32
33
1m @ 0.60g/t Au
RC
39
43
4m @ 9.00g/t Au
Including
48
59
1m @ 34.50g/t Au
23YWRC024
NSA
23YWRC025
NSA
NSA: No significant Assay
Figure 13: Cross-section of significant results returned from 23YWRC023 and interpreted mineralised zone.
Great Western Exploration Limited
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Drilling was also completed on two electromagnetic (EM) targets in the south of the Yandal West Project,
the Jewel and Golden Orb anomalies (Figure 14). A 10m intercept of massive sulphide was intersected in
hole 23YWRC021 and disseminated sulphides in 23YWRC020 at the modelled EM plate which verified
the anomalies; however, no significant base or precious metal results were returned from either of these
holes.
Figure 14: Location of the Jewel and Golden Orb EM anomalies. Drilling intersected massive sulphide at Golden
Orb, with no significant results recorded.
Great Western Exploration Limited
15
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%), shown in Figure 15.
Figure 15: Location of the Firebird Project, with the location of the Gold Juke JORC 2012 standard resources located
east of the Firebird Project.
Great Western completed a maiden Reverse Circulation (RC) drilling programme at the Firebird Project,
targeting a large (3.7km x 450m) soil anomaly and following up anomalous aircore drill results drilled the
previous financial year. Several significant gold assays were received from the RC programme. The
majority of significant intercepts were recorded clustered at the southern extent of the higher tenor soil
anomalism, and included:
•
1m @ 16.8g/t Au from 50m (23FBRC008);
•
1m @ 2.00g/t Au from 70m (23FBRC003);
•
2m @ 1.95g/t Au from 125m (23FBRC008);
•
1m @ 1.38g/t Au from 70m (23FBRC008); and
•
1m @ 1.03g/t Au from 73m (23FBRC012).
A follow-up aircore drilling programme was completed by the Company, comprising 8,021m, designed to
test encouraging results from the maiden RC drilling programme (Figure 16). A number of notable gold
assay results were returned from this aircore programme; however, due to the depth of the lower grade
intercepts the Company decided to focus its exploration efforts on the giant Oval and Oval South Targets
within the Yerrida North Project.
Great Western Exploration Limited
16
Figure 16: Phase 1 and 2 Drilling Results.
Great Western Exploration Limited
17
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. Several Ultrafine+ soil anomalies
have been defined at this location, which the Company interprets are zones of potential leakage from
mineralised Archean Greenstone below basin cover.
Figure 17: 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.
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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.
Corporate
Fund raisings
In December 2023 and January 2024, 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 to
professional and sophisticated investors.
Euroz Hartleys Limited and Peloton Capital acted as Joint Lead Managers for this placement. Directors,
Kevin Somes, Ross Williams and Grey Egerton-Warburton participated in this placement following
shareholder approval at a General Meeting held on 16 January 2024.
Subsequent to the year end, on 9 August 2024, the Company announced that it would raise ~$3.5 million
(before costs) in two tranches at an issue price of 2.6 cents to professional and sophisticated investors.
On 20 August 2024, the Company issued ~87 million shares at 2.6 cents for Tranche 1 of this placement,
raising ~$2.26 million. Subject to shareholder approval at a general meeting scheduled for 26 September
2024, Tranche 2 securities, raising an additional ~$1.24 million, will be issued in early October 2024 to
complete this placement.
Euroz Hartleys Limited and Peloton Capital also acted as Joint Lead Managers for this placement.
Directors, Kevin Somes, Ross Williams and Grey Egerton-Warburton will participate in this placement
following shareholder approval at a General Meeting scheduled to be held on 26 September 2024.
Junior Mineral Exploration Incentive
Subsequent to 30 June 2024, the Company was successful in its application for participation in the
Federal Government’s Junior Mineral Exploration Incentive (“JMEI”) Scheme for the 2024/2025 tax year.
Great Western has received an allocation of up to $1,488,500 of exploration credits for potential
distribution to eligible investors in the 2024/2025 tax year. This is the third consecutive year where the
Company has been successful in applying for exploration credits.
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 wishes to acknowledge the
support of the Federal Government in making the JMEI scheme available.
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.
Great Western Exploration Limited
19
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
sustainability
policies
can
be
viewed
on
the
Company’s
website,
www.greatwesternexploration.com.au
Environment
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 2024 Corporate Governance Statement was approved by the Board on 12 September 2024 and is
current as at 12 September 2024. A description of the Group’s current corporate governance practices is
set out in the Group’s Corporate Governance Statement which along with the 2024 Appendix 4G can be
viewed on the Company’s website, www.greatwesternexploration.com.au.
Great Western Exploration Limited
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DIRECTORS’ REPORT
The Directors present the annual report of the Consolidated Group (“the Group) for the year ended 30 June
2024.
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
9,579,733 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
625,000 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.
Great Western Exploration Limited
21
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
38,600,500 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
38,630,760 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.
Great Western Exploration Limited
22
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 $5,605,031 (2023: $5,861,986 loss).
FINANCIAL POSITION
At the end of the financial year the Group had cash reserves of $1,512,168 (2023: $3,021,416) and incurred
expenditure on exploration and evaluation of $3,909,588 (2023: $3,326,510) 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.
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.
Great Western Exploration Limited
23
DIRECTORS’ REPORT (continued)
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 9th August 2024, the Company announced that it has received binding commitments from
professional and sophisticated investors to raise $3.5 million to fund its forthcoming drilling
programmes at Oval and Oval South copper-gold targets within the Yerrida North Copper-Gold Project.
•
On 20 August 2024, the Company issued ~87 million shares at 2.6 cents for Tranche 1 of this
placement, raising ~$2.26 million. Subject to shareholder approval, the second tranche of placement
securities, raising an additional ~$1.24 million, will be issued in early October 2024 to complete this
placement.
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.
Great Western Exploration Limited
24
DIRECTORS’ REPORT (continued)
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:
Meetings Eligible to Attend
Meetings Attended
Shane Pike
8
8
Kevin Somes
8
6
Grey Egerton-Warburton
8
8
Ross Williams
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
625,000
5,000,000
Kevin Somes
Grey Egerton-Warburton
9,579,733
38,600,500
-
-
Ross Williams
38,630,760
-
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 (2023: $23,044) in
relation to Directors and Officers indemnity. Policy limits and premiums have remained unchanged from
the previous two years.
Great Western Exploration Limited
25
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
09/03/2024
2,430,000
$0.048
$0.00
14/09/2027
28/02/2025
09/03/2024
2,430,000
$0.046
$0.00
14/09/2027
28/02/2026
09/03/2024
2,440,000
$0.044
$0.00
14/09/2027
28/02/2027
08/02/2024
1,000,000
$0.046
$0.00
07/02/2029
15/03/2024
08/02/2024
1,000,000
$0.046
$0.00
07/02/2029
*
16/01/2024
64,062,500
$0.02
$0.08
15/07/2025
20/06/2025
11/12/2023
31,250,000
$0.03
$0.08
15/07/2025
20/06/2025
20/06/2022
1,500,000
$0.08
$0.00
20/06/2027
20/06/2023
20/06/2022
1,500,000
$0.08
$0.00
20/06/2027
20/06/2024
20/06/2022
2,000,000
$0.08
$0.00
20/06/2027
20/06/2025
* Refer to Note 17
Total No. 109,612,500
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 2024.
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 69.
Great Western Exploration Limited
26
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
Managing Director
Kevin Somes
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.
Great Western Exploration Limited
27
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.
Great Western Exploration Limited
28
REMUNERATION REPORT (AUDITED) (continued)
Remuneration of Key Management Personnel
2024
Short term
benefits
Salary &
Wages
Other long
term
employee
benefits
Superannuation
Remuneration/
entitlements
relinquished
Total
Performance
related %
Name of Director:
Executive director
Shane Pike(1)
$310,000
$101,693
$34,100
-
$445,793
0.0%
Non-executive director
Kevin Somes
-
-
-
-
-
-
Ross Williams
-
-
-
-
-
-
Grey Egerton-Warburton
-
-
-
-
-
-
Totals
$310,000
$101,693
$34,100
-
$445,793
2023
Short term
benefits
Salary &
Wages
Other long
term
employee
benefits
Superannuation
Remuneration/
entitlements
relinquished
Total
Performance
related %
Name of Director:
Executive director
Shane Pike(1)
$310,000
$200,906
$32,550
-
$543,456
0.0%
Non-executive director
Kevin Somes
-
-
-
-
-
-
Ross Williams
-
-
-
-
-
-
Grey Egerton-Warburton
-
-
-
-
-
-
Totals
$310,000
$200,906
$32,550
-
$543,456
(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.
Options granted as part of remuneration
No options were issued to directors during the year ended 30 June 2024 or during the year ended 30 June
2023.
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.
Great Western Exploration Limited
29
REMUNERATION REPORT (AUDITED) (continued)
Option Holding of Key Management Personnel
30 June 2024
Balance at
1 July 2023
Granted
Expired
Lapsed
Balance at
30 June 2024
Vested
Directors
Shane Pike
5,000,000
-
-
-
5,000,000
3,000,000
Kevin Somes
-
-
-
-
-
n/a
Grey Egerton-
Warburton
-
-
-
-
-
n/a
Ross Williams
-
-
-
-
-
n/a
5,000,000
-
-
-
5,000,000
3,000,000
30 June 2023
Balance at
1 July 2022
Granted
Expired
Lapsed
Balance at
30 June 2023
Vested
Directors
Shane Pike
5,000,000
-
-
-
5,000,000
1,500,000
Kevin Somes
-
-
-
-
-
n/a
Grey Egerton-
Warburton
-
-
-
-
-
n/a
Ross Williams
-
-
-
-
-
n/a
5,000,000
-
-
-
5,000,000
1,500,000
Shareholdings of Key Management Personnel
30 June 2024
Balance
1 July 2023
Granted as
Remuneration
On exercise
of Options
Net Change
Other
Balance
30 June 2024
Directors
Shane Pike
-
-
-
625,000
625,000
Kevin Somes
8,017,233
-
-
1,562,500
9,579,733
Grey Egerton-
Warburton
29,225,500
-
-
9,375,000
38,600,500
Ross Williams
29,255,760
-
-
9,375,000
38,630,760
66,498,493
-
-
20,937,500
87,435,993
Shareholdings of Key Management Personnel
30 June 2023
Balance
1 July 2022
Granted as
Remuneration
On exercise
of Options
Net Change
Other
Balance
30 June 2023
Directors
Shane Pike
-
-
-
-
-
Kevin Somes
5,517,233
-
-
2,500,000
8,017,233
Grey Egerton-
Warburton
24,225,500
-
-
5,000,000
29,225,500
Ross Williams
24,255,760
-
-
5,000,000
29,255,760
53,998,493
-
-
12,500,000
66,498,493
Great Western Exploration Limited
30
REMUNERATION REPORT (AUDITED) (continued)
Transactions with Key Management Personnel
There were no transactions with Key Management Personnel during the year (2023: Nil).
END OF REMUNERATION REPORT (AUDITED)
Great Western Exploration Limited
31
DIRECTORS’ REPORT (continued)
This Report of Directors, incorporating the Remuneration Report, is signed in accordance with a resolution
of the Directors.
Dated this 12th day of September 2024
Shane Pike
Managing Director
Great Western Exploration Limited
ABN 53 123 631 470
32
CONSOLIDATED STATEMENT OF PROFIT OR LOSS
AND OTHER COMPREHENSIVE INCOME
FOR THE YEAR ENDED 30 JUNE 2024
Note
Consolidated
Consolidated
30.06.2024
30.06.2023
$
$
Interest revenue
22,129
30,027
Other income
-
-
Employee benefits expense
16
(317,369)
(189,737)
Administration costs
(719,426)
(536,358)
Depreciation
(13,631)
(13,695)
Compliance and regulatory
(59,631)
(61,058)
Share based payments
17
(270,450)
(200,906)
Mineral exploration written off
11
(4,246,653)
(4,890,259)
Loss before income tax
(5,605,031)
(5,861,986)
Income tax expense
-
-
Loss for the period
(5,605,031)
(5,861,986)
Other comprehensive income
-
-
Total comprehensive income for the period attributable
to members
(5,605,031)
(5,861,986)
Earnings per share
From continuing operations:
Basic earnings per share (cents)
6
(1.88)
(3.02)
The accompanying notes form part of this consolidated financial report.
Great Western Exploration Limited
ABN 53 123 631 470
33
CONSOLIDATED STATEMENT OF FINANCIAL POSITION
AS AT 30 JUNE 2024
Consolidated
Consolidated
Note
30.06.2024
30.06.2023
$
$
ASSETS
CURRENT ASSETS
Cash and cash equivalents
7
1,512,168
3,021,416
Trade and other receivables
8
436,894
446,178
Other assets
9
400
400
TOTAL CURRENT ASSETS
1,949,462
3,467,994
NON-CURRENT ASSETS
Plant and equipment
10
15,331
26,676
Mineral exploration expenditure
11
11,818,767 12,155,832
TOTAL NON-CURRENT ASSETS
11,834,098
12,182,508
TOTAL ASSETS
13,783,560
15,650,502
CURRENT LIABILITIES
Trade and other payables
12
931,040
302,390
Provisions
55,619
37,310
TOTAL CURRENT LIABILITIES
986,659
339,700
TOTAL LIABILITIES
986,659
339,700
NET ASSETS
12,796,901
15,310,802
EQUITY
Issued capital
13
47,286,808
44,466,129
Reserves
13
1,892,007
1,621,556
Accumulated losses
(36,381,914)
(30,776,883)
TOTAL EQUITY
12,796,901
15,310,802
The accompanying notes form part of this consolidated financial report.
Great Western Exploration Limited
ABN 53 123 631 470
34
CONSOLIDATED STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 30 JUNE 2024
Issued
Capital
Option
Reserves
Accumulated
Losses
Total
$
$
$
Consolidated
Balance at 1.07.2023
44,466,129
1,621,556
(30,776,883)
15,310,802
Loss for the period
-
-
(5,605,031)
(5,605,031)
Other comprehensive income for
the period
-
-
-
-
Total comprehensive
Income for the period
-
-
(5,605,031)
(5,605,031)
Share issue
13
3,050,000
-
-
3,050,000
Options issued
13
-
-
-
-
Share based payments
17
-
270,451
-
270,451
Issue costs
13
(229,321)
-
-
(229,321)
Balance at 30.06.2024
47,286,808
1,892,007
(36,381,914)
12,796,901
Consolidated
Balance at 1.07.2022
41,432,354
1,810,650
(24,914,897)
18,328,107
Loss for the period
-
-
(5,861,986)
(5,861,986)
Other comprehensive income for
the period
-
-
-
-
Total comprehensive
Income for the period
-
-
(5,861,986)
(5,861,986)
Share issue
13
2,850,000
-
-
2,850,000
Options issued
390,000
(390,000)
-
-
Share based payments
-
200,906
-
200,906
Issue costs
(206,225)
-
-
(206,225)
Balance at 30.06.2023
44,466,129
1,621,556
(30,776,883)
15,310,802
The accompanying notes form part of this consolidated financial report.
Great Western Exploration Limited
ABN 53 123 631 470
35
CONSOLIDATED STATEMENT OF CASH FLOWS
FOR THE YEAR ENDED 30 JUNE 2024
Consolidated
Consolidated
30.06.2024
30.06.2023
$
$
CASH FLOWS FROM OPERATING ACTIVITIES
Payments to suppliers and employees
(969,349) (634,124)
Government grant received
-
-
Interest received
22,129
30,027
Net cash used in operating activities 14
(947,220)
(604,097)
CASH FLOWS FROM INVESTING ACTIVITIES
Deposits paid on exploration tenements
(64,470)
(99,465)
Refund on withdrawal of applications
84,949
-
Purchase of property, plant and equipment
(2,515)
(6,695)
Payments for mineral exploration expenditure
(3,401,591)
(3,515,249)
Net cash used in investing activities
(3,383,627)
(3,621,409)
CASH FLOWS FROM FINANCING ACTIVITIES
Proceeds from issue of shares and options
3,050,000
2,850,000
Securities issue costs
(228,401)
(227,639)
Net cash provided by financing activities
2,821,599
2,622,361
Net decrease in cash held
(1,509,248)
(1,603,145)
Cash and cash equivalents at beginning of period
3,021,416
4,624,561
Cash and cash equivalents at end of period
1,512,168
3,021,416
The accompanying notes form part of this consolidated financial report.
Great Western Exploration Limited
ABN 53 123 631 470
36
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2024
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 12 September 2024 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 $5,605,031 (2023: $5,861,986). The Group has a working capital
surplus of $962,803 at 30 June 2024 (2023: $3,128,294). 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.
Great Western Exploration Limited
ABN 53 123 631 470
37
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2024
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)
The consideration transferred;
(ii)
Any non-controlling interest, and
(iii)
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.
Great Western Exploration Limited
ABN 53 123 631 470
38
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2024
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 2023.
Changes in accounting policies on initial application of Accounting Standards
In the year ended 30 June 2024, 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 2023. 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 2024. 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.
Great Western Exploration Limited
ABN 53 123 631 470
39
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2024
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 1 (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.
Great Western Exploration Limited
ABN 53 123 631 470
40
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2024
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.
Great Western Exploration Limited
ABN 53 123 631 470
41
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2024
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.
Great Western Exploration Limited
ABN 53 123 631 470
42
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2024
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.
Great Western Exploration Limited
ABN 53 123 631 470
43
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2024
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.
Great Western Exploration Limited
ABN 53 123 631 470
44
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2024
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.
Great Western Exploration Limited
ABN 53 123 631 470
45
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2024
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.
Great Western Exploration Limited
ABN 53 123 631 470
46
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2024
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:
Great Western Exploration Limited
ABN 53 123 631 470
47
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2024
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.
Great Western Exploration Limited
ABN 53 123 631 470
48
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2024
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.
Great Western Exploration Limited
ABN 53 123 631 470
49
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2024
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:
Note
30.06.2024
$
30.06.2023
$
Financial Assets
Cash and cash equivalents
7
1,512,168
3,021,416
Receivables
8
436,894
446,178
Financial assets
9
400
400
1,949,462
3,467,994
Financial Liabilities
Trade and payables
12
931,040
302,390
931,040
302,390
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 $1,512,168
(2023: $3,021,416) being the total of its cash and cash equivalents and financial assets.
Great Western Exploration Limited
ABN 53 123 631 470
50
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2024
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
Total Carrying
Amount
Note
2024
$
2023
$
2024
$
2023
$
2024
$
2023
$
Financial Assets
Cash and cash
equivalents
Trade and other
Receivables
Other Financial
assets
7
8
9
1,502,224
-
-
3,010,094
-
-
9,944
436,894
400
11,322
446,178
400
1,512,168
436,894
400
3,021,416
446,178
400
Weighted average
interest rate
1.35
1.25
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 (2023:
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.
(d)
Liquidity Risk
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.
Great Western Exploration Limited
ABN 53 123 631 470
51
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2024
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
30.06.2024
$
30.06.2023
$
Payable
- Less than 6 months
931,040
302,390
- 6 to 12 months
-
-
- 1 to 5 years
-
-
931,040
302,390
(e)
Commodity Price Risk
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.
(g)
Net fair values
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.
Great Western Exploration Limited
ABN 53 123 631 470
52
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2024
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.
Great Western Exploration Limited
ABN 53 123 631 470
53
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2024
NOTE 4: OPERATING SEGMENTS (Continued)
(i)
Segment performance
30.06.2024
Mineral
Exploration ($)
Finance and
Administration ($)
Total ($)
Interest received
-
22,129
22,129
Other income – Government Grant
-
-
-
Other income
-
-
-
Total segment revenue
-
22,129
22,129
Employee benefit expense
-
(317,369)
(317,369)
Administration expenses
-
(719,426)
(719,426)
Depreciation
-
(13,631)
(13,631)
Compliance and regulatory expenses
-
(59,631)
(59,631)
Share based payments
-
(270,450)
(270,450)
Mineral exploration written-off
(4,246,653)
-
(4,246,653)
Net profit/ (loss) before tax from
operations
(4,246,653)
(1,358,378)
(5,605,031)
30.06.2023
Mineral
Exploration ($)
Finance and
Administration ($)
Total ($)
Interest received
-
30,027
30,027
Other income – Government Grant
-
-
-
Other income
-
-
-
Total segment revenue
-
30,027
30,027
Employee benefit expense
-
(189,737)
(189,737)
Administration expenses
-
(536,358)
(536,358)
Depreciation
-
(13,695)
(13,695)
Compliance and regulatory expenses
-
(61,058)
(61,058)
Share based payments
-
(200,906)
(200,906)
Mineral exploration written-off
(4,890,259)
-
(4,890,259)
Net profit/ (loss) before tax from
operations
(4,890,259)
(971,727)
(5,861,986)
Great Western Exploration Limited
ABN 53 123 631 470
54
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2024
NOTE 4: OPERATING SEGMENTS (Continued)
(ii)
Segment assets
30.06.2024
Mineral
Exploration ($)
Finance and
Administration ($)
Total ($)
Current assets
Cash and cash equivalents
-
1,512,168
1,512,168
Trade and other receivables
308,900
127,994
436,894
Other
-
400
400
Non-current assets
Exploration and evaluation
expenditure
11,818,767
-
11,818,767
Plant & Equipment
12,855
2,476
15,331
Total assets from operations
12,140,522
1,643,038
13,783,560
30.06.2023
Mineral
Exploration ($)
Finance and
Administration ($)
Total ($)
Current assets
Cash and cash equivalents
-
3,021,416
3,021,416
Trade and other receivables
352,303
93,875
446,178
Other
-
400
400
Non-current assets
Exploration and evaluation
expenditure
12,155,832
-
12,155,832
Plant & Equipment
23,595
3,081
26,676
Total assets from operations
12,531,730
3,118,772
15,650,502
(iii)
Segment liabilities
30.06.2024
Mineral
Exploration ($)
Finance and
Administration ($)
Total ($)
Current liabilities
Trade and other payables
769,354
161,686
931,040
Provisions
-
55,619
55,619
Total liabilities from operations
769,354
217,305
986,659
30.06.2023
Mineral
Exploration ($)
Finance and
Administration ($)
Total ($)
Current liabilities
Trade and other payables
207,111
95,279
302,390
Provisions
-
37,310
37,310
Total liabilities from operations
207,111
132,589
339,700
Great Western Exploration Limited
ABN 53 123 631 470
55
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2024
NOTE 5: INCOME TAX
30.06.2024
$
30.06.2023
$
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
(5,605,031)
(5,861,986)
Income tax benefit at the statutory income tax rate of 25% (2023:
25%)
(1,401,258)
(1,465,497)
Expenditure not allowable for income tax purposes
1,157,042
1,298,226
Capitalised mineral exploration expenditure
(977,147)
(842,043)
Other deductible expenditure/non-assessable income
(22,412)
(20,000)
Capital raising costs
(52,510)
(41,044)
Under/over from prior year
-
-
Benefit of tax losses not brought to account as an asset
1,296,284
1,070,358
Income Tax expense reported in the Statement of Profit or Loss and
Other Comprehensive Income
-
-
b)
As at 30 June 2024, the Company has estimated tax losses of approximately $38,530,446 (2023:
$36,055,374), 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 $11,818,767 (2023: $12,155,832) 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
30.06.2024
$
30.06.2023
$
Loss used in the calculation of basic EPS
(5,605,031)
(5,861,986)
Weighted average number of ordinary shares used in calculation
of basic earnings per share
297,899,316
194,132,095
Basic earnings per share
(1.88)
(3.02)
Great Western Exploration Limited
ABN 53 123 631 470
56
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2024
NOTE 7: CASH AND CASH EQUIVALENTS
30.06.2024
$
30.06.2023
$
Cash at bank
1,512,168
3,021,416
Cash on deposit
-
-
1,512,168
3,021,416
The effective interest rate on short term bank deposits on average was 1.35% (2023: 1.25%), with an
average maturity of 6 months.
NOTE 8: TRADE AND OTHER RECEIVABLES
30.06.2024
$
30.06.2023
$
Current
Tenement applications and deposits
308,901
352,303
GST receivable
91,360
64,263
Prepayments
36,633
29,612
436,894
446,178
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
30.06.2024
$
30.06.2023
$
Financial assets
Other
400
400
400
400
Changes in fair value are included in the statement of comprehensive income.
Great Western Exploration Limited
ABN 53 123 631 470
57
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2024
NOTE 10: PROPERTY, PLANT AND EQUIPMENT
30.06.2024
$
30.06.2023
$
Plant and Equipment – at cost
66,817
64,530
Less: accumulated depreciation
(51,486)
(37,854)
15,331
26,676
Reconciliation of the carrying amount of property, plant and
equipment
30.06.2024
$
30.06.2023
$
Carrying amount at beginning of year
26,676
30,069
Additions
2,286
10,302
Disposals
-
-
Depreciation for the year
(13,631)
(13,695)
Carrying amount at end of financial year
15,331
26,676
NOTE 11: MINERAL EXPLORATION EXPENDITURE
30.06.2024
$
30.06.2023
$
Balance at beginning of the year
12,155,832
13,719,581
Acquisition of tenements
-
-
Capitalised exploration expenditure
3,909,588
3,326,510
Mineral expenditure written off 1
(4,246,653)
(4,890,259)
Balance at end of financial year
11,818,767
12,155,832
1 Relates to expenditures on tenements that are no longer part of the Group’s exploration strategy during the coming
year and includes costs ($52,504) relating to tenement applications surrendered or not 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 mineral exploration; and
•
The recoupment of costs through successful development and exploitation of the areas of interest
or, alternatively, by their sale.
Great Western Exploration Limited
ABN 53 123 631 470
58
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2024
NOTE 12: TRADE AND OTHER PAYABLES
30.06.2024
$
30.06.2023
$
Current
Trade payables
772,045
157,249
Sundry payables and accruals
110,985
122,634
PAYG Withholding
48,010
22,507
931,040
302,390
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
30.06.2024
No. on issue
$
ISSUED CAPITAL
Ordinary shares on issue
348,010,617
47,286,808
No. on issue
$
Movements in Ordinary Shares
Balance at the beginning of the year 1/7/23
252,698,117
44,466,129
Options exercised during the year
-
-
Issued during the year
95,312,500
3,050,000
Issue costs
-
(229,321)
Balance at year end 30/06/24
348,010,617
47,286,808
Options Reserve
Unlisted
Balance at the beginning of the year 1/7/23
10,200,000
1,621,556
Options exercised during the year
Options issued during the year
-
104,612,500
-
-
Amount recognised during the year
-
270,451
Expired or lapsed during the year
(5,200,000)
-
Balance at the end of the period 30/06/24
109,612,500
1,892,007
Great Western Exploration Limited
ABN 53 123 631 470
59
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2024
NOTE 13: EQUITY (Continued)
30.06.2023
No. on issue
$
ISSUED CAPITAL
Ordinary shares on issue
252,698,117
44,466,129
No. on issue
$
Movements in Ordinary Shares
Balance at the beginning of the year 1/7/22
179,948,117
41,432,354
Options exercised during the year
Issued during the year
1,500,000
71,250,000
390,000
2,850,000
Issue costs
-
(206,225)
Balance at year end 30/06/23
252,698,117
44,466,129
Options Reserve
Unlisted
Balance at the beginning of the year 1/7/22
11,700,000
1,810,650
Options exercised during the year
Amount recognised during the year
(1,500,000)
-
(390,000)
200,906
Expired or lapsed during the year
-
-
Balance at the end of the period 30/06/23
10,200,000
1,621,556
The Company at 30 June 2024 has issued share capital amounting to 348,010,617 (2023: 252,698,117)
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.
Great Western Exploration Limited
ABN 53 123 631 470
60
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2024
NOTE 14: CASH FLOW STATEMENT RECONCILIATION
30.06.2024
$
30.06.2023
$
Reconciliation of net loss after tax to net cash flows from
operations
Loss for the year
(5,605,031)
(5,861,986)
Depreciation
13,631
13,695
Share based payments
270,450
200,906
Mineral exploration expenditure written off
4,246,653
4,890,259
Changes in assets and liabilities:
(Increase)/Decrease in trade and other receivables and
prepayments
9,283
(43,886)
Increase/(Decrease) in trade and other payables
Increase /(Decrease) in provisions
99,485
18,309
181,970
14,945
(947,220)
(604,097)
NOTE 15: RELATED PARTY DISCLOSURE
There were no related party transactions with Directors or any Director related entities during the year
ended 30 June 2024 or 30 June 2023.
NOTE 16: KEY MANAGEMENT PERSONNEL
30.06.2024
$
30.06.2023
$
(a)
Remuneration for Key Management Personnel
Short term employee benefits 16 (b)
310,000
310,000
Post-employment benefits 16 (b)
34,100
32,550
Share based payments
101,693
200,906
Entitlements lapsed
-
-
445,793
543,456
(b)
Reconciliation of Directors’ fees
Cash component of remuneration
344,100
342,550
Portion capitalised in mineral exploration expenditure
(154,981)
(181,266)
Directors’ salary included in Employee Benefits Expense
189,119
161,284
Great Western Exploration Limited
ABN 53 123 631 470
61
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2024
NOTE 16: KEY MANAGEMENT PERSONNEL (Continued)
30.06.2024
$
30.06.2023
$
(c)
Reconciliation of Employee Benefits Expense
Directors’ salary included in employee benefits expense
189,119
161,284
Other employee benefits expense
128,250
28,453
Total Employee Benefits Expense
317,369
189,737
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:
30.06.2024
$
30.06.2023
$
Expense arising from equity share-based payment
transactions settled via options
270,450
200,906
Lapsed equity share-based payment transactions settled
during period
-
-
Total expense arising from
share-based payment transactions
270,450
200,906
The share-based payment plans are described below. There have been no cancellations or
modifications to any of the plans during 2024 and 2023.
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)
the contribution to the Company which has been made by the Participant;
(ii)
the period of employment of the Participant with the Company, including (but not limited
to) the years of service by that Participant;
(iii)
the potential contribution of the Participant to the Company; and
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,
Great Western Exploration Limited
ABN 53 123 631 470
62
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2024
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
30.06.2024
30.06.2023
No.
Exercise
Price
No.
Exercise
Price
Outstanding at
beginning of financial year
10,200,000
11,700,000
Granted during the year:
- unlisted options expiring 15 Jul 2025
95,312,500
$0.08
-
-
- unlisted options expiring 07 Feb 2029
2,000,000
$0.00
-
-
- unlisted options expiring 14 Sep 2027
7,300,000
$0.00
-
-
Lapsed during the year
-
-
-
-
Expired during the year(1)
(1,200,000)
$0.31
-
-
Expired during the year(1)
(2,750,000)
$0.37
-
-
Expired during the year(1)
(1,250,000)
$0.52
-
-
Exercised during the year
-
-
(1,500,000)
-
Outstanding at end of financial year
109,612,500
10,200,000
(1)Includes unlisted options that expired on 29 December 2023 and on 31 March 2024.
The following share-based payment arrangements were in existence during the current and prior
reporting periods:
No of
Options
Grant Date
Fair Value
Exercise
Price
Expiry
Date
Vesting
Date
Value
recognized
during the
year
Value
recognized in
future years
30.06.2024
09/03/2024
2,430,000
$0.048
$0.00
14/09/2027
28/02/2025
$37,718
$81,109
09/03/2024
2,430,000
$0.046
$0.00
14/09/2027
28/02/2026
$18,623
$100,204
09/03/2024
2,440,000
$0.044
$0.00
14/09/2027
28/02/2027
$12,415
$106,901
08/02/2024
1,000,000
$0.046
$0.00
07/02/2029
08/02/2024
$50,000
-
08/02/2024
1,000,000
$0.046
$0.00
07/02/2029
08/02/2024
$50,000
-
16/01/2024
64,062,500
$0.02
$0.08
15/07/2025
16/01/2024
-
-
11/12/2023
31,250,000
$0.03
$0.08
15/07/2025
11/12/2023
-
-
20/06/2022
1,500,000
$0.08
$0.00
20/06/2027
20/06/2023
-
-
20/06/2022
1,500,000
$0.08
$0.00
20/06/2027
20/06/2024
$48,263
-
20/06/2022
2,000,000
$0.08
$0.00
20/06/2027
20/06/2025
$53,431
$42,774
Total
109,612,500
$270,450 $330,988
Great Western Exploration Limited
ABN 53 123 631 470
63
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2024
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
30.06.2023
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 $144,467
d)
Equity-settled transactions - Option pricing model
The fair value of the equity-settled share options granted under the Employee Share Option Plan
is estimated as at the date of the grant using a Monte Carlo Pricing Model as part of the term of
the issued options, the options will vest immediately when the Share Price Equals or exceeds the
Exercise Price of the respective shares after the date of issue of the options.
Binomial Pricing Model and Black and Scholes Model taking into account the terms and
conditions upon which the options were granted in relation to the Employee Share Option Plan
(ESOP) during the period.
Table 1 – Valuation methodology for 7,300,000 ZEPO’s issued under an employee incentive scheme
pursuant to the Company's ESOP approved at the Annual General Meeting on 30 November 2023.
Monte Carlo Pricing Model
Class A
Class B
Class C
Grant Date
09/03/2024
09/03/2024
09/03/2024
Grant Date Share Price ($)
0.049
0.049
0.049
Exercise price
-
-
-
Expected volatility (%)
100.0
100.0
100.0
Risk free interest rate (%)
3.59
3.59
3.59
Vesting Condition 1 – Remain in
employment
12 months from
grant date
24 months from
grant date
36 months from
grant date
Vesting Condition 2 – Share Price ($)
5 consecutive
trading.days >0.05
5 consecutive
trading.days >0.07
5 consecutive
trading.days >0.09
Vesting date
28/02/2025
28/02/2026
28/02/2027
Expiry date
14/09/2027
14/09/2027
14/09/2027
Fair value at grant date ($)
0.0483
0.0463
0.0449
Great Western Exploration Limited
ABN 53 123 631 470
64
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2024
NOTE 17: SHARE BASED PAYMENTS (Continued)
Table 2 – Valuation methodology for 2,000,000 ZEPO’s issued to a contractor (an Eligible Participant)
pursuant to the Company's ESOP approved at the Annual General Meeting on 30 November 2023.
Monte Carlo Pricing Model
Class A
Class B
Grant Date
08/02/2024
08/02/2024
Grant Date Share Price ($)
0.046
0.046
Exercise price
-
-
Expected volatility (%)
100.0
100.0
Risk free interest rate (%)
3.59
3.59
Vesting Condition – Market Cap ($)
16million
30million
Vesting date
15/03/2024
Not yet vested
Expiry date
07/02/2029
07/02/2029
Fair value at grant date ($)
0.046
0.046
Table 3 – Valuation methodology for incentive options issued to employees and contractors
pursuant to the Company's ESOP approved at the Annual General Meeting in October 2020.
Black-Scholes Model
Grant Date
06/04/2021
29/12/20
Dividend yield (%)
-
-
Expected volatility (%)
117
117
Risk free interest rate (%)
0.08
0.08
Expected life of options (yrs)
3.0
3.0
Option exercise price ($)
0.52
0.31
Grant Date Share Price
0.25
0.20
e) Share issued in lieu of services
No shares were issued in lieu of services during the years ended 30 June 2024 or 30 June 2023.
Great Western Exploration Limited
ABN 53 123 631 470
65
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2024
NOTE 18: PARENT INFORMATION
The following information has been extracted from the books and
records of the parent entity and has been prepared in accordance with
Australian Accounting Standards.
30.06.2024
$
30.06.2023
$
STATEMENT OF FINANCIAL POSITION
ASSETS
Current Assets
1,964,024
3,467,226
Non-current assets
11,832,498
12,177,671
TOTAL ASSETS
13,796,522
15,644,897
LIABILITIES
Current liabilities
981,055
334,095
Non-current liabilities
-
-
TOTAL LIABILITIES
981,055
334,095
NET ASSETS
12,815,467
15,310,802
EQUITY
Issued capital
47,001,643
44,180,963
Reserves
1,892,007
1,621,557
Accumulated losses
(36,078,183)
(30,491,718)
TOTAL EQUITY
12,815,467
15,310,802
STATEMENT OF PROFIT OR LOSS AND OTHER COMPREHENSIVE
INCOME
Total loss
(5,586,465)
(5,857,364)
Total comprehensive income
(5,586,465)
(5,857,364)
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 2024, there were no contingent liabilities in relation to the subsidiaries (2023: refer Note 21).
Contractual commitments
At 30 June 2024, Great Western Exploration Limited had not entered into any contractual commitments
for the acquisition of property, plant and equipment (2023: Nil).
Great Western Exploration Limited
ABN 53 123 631 470
66
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2024
NOTE 19: CONTROLLED ENTITIES
Consolidated Entity Disclosure Statement
Name of entity
Type of
entity
Trustee,
partner, or
participant in
joint venture
Principal
activity
Country of
incorporation
% of
Share
capital
held
Australian
or foreign
resident
(for tax
purposes)
Great Western Exploration
Limited
Body
corporate
Partner in JV
Mineral
Exploration
Australia
N/a
Australian
Vanguard Exploration
Limited
Body
corporate
N/a
Mineral
Exploration
Australia
100
Australian
Clean Energy Metals Pty
Ltd
Body
corporate
N/a
Project
Development
Australia
100
Australian
NOTE 20: COMMITMENTS
30.06.2024
$
30.06.2023
$
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
988,518
758,029
NOTE 21: CONTINGENT ASSETS AND LIABILITIES
In May 2024, a settlement was agreed between the Company and the Native Title group in respect of the
matter disclosed at 30 June, 2023. An invoice for a mutually agreeable compensation amount was
subsequently received from the Native Title group and has since been paid.
Great Western Exploration Limited
ABN 53 123 631 470
67
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2024
NOTE 22: EVENTS AFTER BALANCE DATE
The Directors are not aware of any matter or circumstance that has arisen since 30 June 2024 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 9th August 2024, the Company announced that it has received binding commitments from
professional and sophisticated investors to raise $3.5 million to fund its forthcoming drilling
programmes at Oval and Oval South copper-gold targets within the Yerrida North Copper-Gold Project.
On 20 August 2024, the Company issued ~87 million shares at 2.6 cents for Tranche 1 of this
placement, raising ~$2.26 million. Subject to shareholder approval, the second tranche of placement
securities, raising an additional ~$1.24 million, will be issued in early October 2024 to complete this
placement.
NOTE 23: AUDITORS’ REMUNERATION
30.06.2024
$
30.06.2023
$
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
41,555
42,907
•
other services in relation to the Group
-
-
41,555
42,907
GREAT WESTERN EXPLORATION LIMITED
ABN 53 123 631 470
68
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 32 to 67, are in accordance with the
Corporations Act 2001 and:
a.
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
b.
give a true and fair view of the financial position as at 30 June 2024 and of the
performance for the year ended on that date of the Company;
2.
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;
3.
the Directors have been given the declarations required by s 295A of the Corporations Act
2001 for the financial year ended 30 June 2024; and
4.
the Consolidated Entity Disclosure Statement on page 66 is true and correct as at 30
June 2024.
Dated this 12th day of September 2024
Shane Pike
Managing Director
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 2024, 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 12th day of September 2024
69
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 2024, 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, the
consolidated entity disclosure statement and the director’s 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 2024 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.
70
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
Capitalised Exploration and Evaluation Expenditure
As disclosed in note 11 to the financial statements, during
the year ended 30 June 2024 the Company capitalised
exploration and evaluation expenditure was carried at
$11,818,767 with an impairment expense of $4,246,653.
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.
Our review procedures included but were not limited to:
•
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.
Key Audit Matter
How our audit addressed the Key Audit Matter
Share Based Payments
As disclosed in note 17 to the financial statements, during
the year ended 30 June 2024 the Company incurred share
based payments totalling $270,450.
Our procedures amongst others included:
•
Analysing agreements to identify the key terms
and conditions of share based payments issued
and relevant vesting conditions in accordance
with AASB 2 Share Based Payments;
•
Evaluating management’s Valuation Models and
assessing the assumptions and inputs used;
•
Assessing the amount recognised during the year
in accordance with the vesting conditions of the
agreements; and
•
We also assessed the appropriateness of the
related disclosures in note 17 to the financial
statements.
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 2024, 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.
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 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 2024.
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
2024, 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 12th day of September 2024
GREAT WESTERN EXPLORATION LIMITED
ABN 53 123 631 470
75
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 2024
Shareholder
No of Shares
Seascape Capital Pty Ltd
38,630,760
Budworth Capital Pty Ltd
38,600,500
1.3
DISTRIBUTION OF HOLDERS AS AT 21 August 2024
Fully Paid Ordinary
Shares
No. of Ordinary
Shares
1 – 1000
729
158,223
1001 – 5,000
244
620,046
5001 – 10,000
113
862,314
10,001 – 100,000
407
16,611,503
100,001 – and over
349
416,761,183
`Total number of holders
1,842
435,013,269
At 21 August 2024 the Company had 1,187 unmarketable parcels
1.4
TOP TWENTY HOLDERS:
Ordinary Shares fully paid: The names of the twenty largest shareholders as at 21 August
2024 are as follows:
Name
%
No. of Shares
1
SEASCAPE CAPITAL PTY LTD
8.88
38,630,760
2
BUDWORTH CAPITAL PTY LTD
8.87
38,600,500
3
RIGGERS SPLASH FOR CASH PTY LTD
2.69
11,692,307
4
NINAN PTY LTD
2.26
9,825,000
5
PORTCULLIS HOUSE PTY LTD
1.64
7,150,000
6
AGILIS PTY LTD
1.62
7,056,072
7
WESTGATE CAPITAL PTY LTD
1.62
7,033,334
8
MRS JANE ELIZABETH SOMES + MS AMY JANE SOMES
1.56
6,803,620
9
GANDRIA CAPITAL PTY LTD
1.49
6,472,500
10
MR FRANCIS JOSEPH MAHER + MRS SHARON JANE MAHER
1.44
6,250,000
11
NARRAWALLEE CAPITAL PTY LTD
1.34
5,846,154
12
MR JORDAN LUCKETT
1.18
5,139,087
13
SAYERS INVESTMENTS (ACT) PTY LIMITED
1.12
4,875,000
GREAT WESTERN EXPLORATION LIMITED
ABN 53 123 631 470
76
14
TAZGA TWO PTY LTD
1.06
4,605,556
15
QUICKSILVER ASSET PTY LTD
1.02
4,429,815
16
WOMBAT SUPER INVESTMENTS PTY LTD
0.99
4,317,052
17
SIMON LEE
0.96
4,166,667
18
HARDWICK MANAGEMENT PTY LTD
0.93
4,050,000
19
DR MARK ANTHONY BENNETT
0.92
4,000,000
20
JEC CAPITAL PTY LTD
0.88
3,846,153
42.48
184,789,577
At 30 June 2024, the Company had no quoted options .
1.5
Unlisted option holders at 21 August 2024:
Class of Unlisted Option
No. of unlisted options on issue
No of holders
Zero Exercise price expiring 7 February 2029
2,000,000
111
Zero Exercise price expiring 14 September 2027 s.t.
milestones
7,300,000
4
Zero Exercise price expiring 19 Apr 2027 s.t. milestones
5,000,000
1
8 cent expiring on 15 July 2025
95,312,500
95
1.6
Restricted Securities:
The Company has no restricted securities on issue.
GREAT WESTERN EXPLORATION LIMITED
ABN 53 123 631 470
77
2.
SCHEDULE OF MINERAL TENEMENTS
Tenement Schedule at 30 June 2024
Project
Tenement
Status
Holder
Ownership
Comments
Atley
E 57/1131
Live
Great Western Exploration Limited
100%
Fairbairn
E 69/3443
Live
Vanguard Exploration Ltd
100%
100% Owned Subsidiary
Fairbairn
E 69/3903
Live
Great Western Exploration Limited
100%
Fairbairn
E 69/4195
Pending
Great Western Exploration Limited
100%
Fairbairn
E 69/4197
Pending
Great Western Exploration Limited
100%
Fairbairn
E 69/4198
Pending
Great Western Exploration Limited
100%
Forrestania South
E 74/603
Live
IGO Forrestania Limited
10%
Free Carried To PFS
Firebird
E 53/2129
Live
Dynamic Metals Limited
0%
JV with Dynamic Metals Limited, GTE
Earning 80%
Golden Corridor
E 51/1855
Live
Great Western Exploration Limited
100%
Golden Corridor
E51/2010
Live
Great Western Exploration Limited
90%
Westex Resources Free Carried to BFS
Golden Corridor
E 53/2124
Live
Great Western Exploration Limited
100%
Golden Corridor
E 53/2138
Live
Great Western Exploration Limited
100%
Golden Corridor
E 53/2139
Live
Great Western Exploration Limited
100%
Golden Corridor
E 53/2141
Live
Great Western Exploration Limited
100%
Golden Corridor
E 53/2142
Live
Great Western Exploration Limited
100%
Lake Way Potash
E 53/1949
Live
Great Western Exploration Limited
100%
Extension of Term pending
Lake Way Potash
E 53/2017
Live
Great Western Exploration Limited
100%
Lake Way Potash
E 53/2026
Live
Great Western Exploration Limited
100%
Lake Way Potash
E 53/2146
Live
Great Western Exploration Limited
100%
Yandal West
E 53/1369
Live
Vanguard Exploration Ltd
100%
100% Owned Subsidiary
Yandal West
E 53/1612
Live
Diversified Asset Holdings Pty Ltd
80%
Diversified Free Carried To BFS
Yandal West
E 53/1816
Live
Diversified Asset Holdings Pty Ltd
80%
Diversified Free Carried To BFS
Copper Ridge
E 51/1856
Live
Great Western Exploration Limited
100%
Copper Ridge
E 53/1894
Live
Great Western Exploration Limited
100%
Yerrida South
E 51/1733
Live
Great Western Exploration Limited
100%
Yerrida South
E 53/2027
Live
Great Western Exploration Limited
100%
GREAT WESTERN EXPLORATION LIMITED
ABN 53 123 631 470
78
Project
Tenement
Status
Holder
Ownership
Comments
Yerrida North
E 51/1324
Live
Great Western Exploration Limited
100%
Yerrida North
E 51/1330
Live
Great Western Exploration Limited
100%
Extension of Term pending
Yerrida North
E 51/1560
Live
Great Western Exploration Limited
100%
Extension of Term pending
Yerrida North
E 51/1712
Live
Great Western Exploration Limited
100%
Yerrida North
E 51/1723
Live
Great Western Exploration Limited
100%
Yerrida North
E 51/1724
Live
Great Western Exploration Limited
100%
Yerrida North
E 51/1728
Live
Great Western Exploration Limited
100%
Yerrida North
E 51/1746
Live
Great Western Exploration Limited
100%
Yerrida North
E 51/1747
Live
Great Western Exploration Limited
100%
Yerrida North
E 51/1819
Live
Great Western Exploration Limited
100%
Yerrida North
E 51/1827
Live
Great Western Exploration Limited
100%
Yerrida North
E 51/2033
Live
Great Western Exploration Limited
100%
Yerrida North
E 51/2068
Live
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%
Yerrida North
E 51/2177
Pending
Great Western Exploration Limited
100%
Yerrida North
E 51/2182
Pending
Great Western Exploration Limited
100%
Yerrida North
E 51/2208
Pending
Great Western Exploration Limited
100%
Station Bore South
E 69/4220
Pending
Great Western Exploration Limited
100%
Lake Kerrylyn
E 69/4221
Pending
Great Western Exploration Limited
100%