NEXUS MINERALS LIMITED
ABN: 96 122 074 006
ANNUAL REPORT
FOR THE YEAR ENDED
30 JUNE 2024
Nexus Minerals Annual Report 2024
1
Corporate Directory
Contents
Page
Letter from the Board to Shareholders ......................................................................................................................... 2
Review of Operations .......................................................................................................................................................... 4
Directors’ Report.................................................................................................................................................................29
Auditor’s Independence Declaration ...........................................................................................................................39
Consolidated Statement of Profit or Loss and Other Comprehensive Income .............................................40
Consolidated Statement of Financial Position ..........................................................................................................41
Consolidated Statement of Cashflows ........................................................................................................................42
Consolidated Statement of Changes in Equity .........................................................................................................43
Notes to the Consolidated Financial Statements ....................................................................................................45
Consolidated Entity Disclosure Statement ................................................................................................................72
Directors’ Declaration .......................................................................................................................................................73
Auditor’s Report ..................................................................................................................................................................74
Shareholder Information..................................................................................................................................................77
Schedule of Mineral Tenements....................................................................................................................................82
Details of Mineral Resources and Ore Reserves ......................................................................................................83
Directors
Paul Boyatzis
Non-Executive Chairman
Andy Tudor
Managing Director
Bruce Maluish Non-Executive Director
Company Secretary
Phillip MacLeod
Registered Office
Units 8-9, 88 Forrest Street
Cottesloe, Western Australia, 6011
Principal Office
41-47 Colin Street
West Perth, Western Australia, 6005
T: (08) 9387 1749
www.nexus-minerals.com
ABN
96 122 074 006
Auditor
Nexia Perth Audit Services Pty Ltd
Level 3,
88 William Street
Perth, Western Australia, 6000
Share Registry
Automic Registry Services
Level 2, 267 St George’s Terrace
Perth, Western Australia, 6000
T: 1300 288 664
Securities Exchanges
ASX Limited
Home Branch: Perth
Code: NXM
Frankfurt Stock Exchange
Code: YAK
Nexus Minerals Annual Report 2024
2
Letter from the Board to Shareholders
Dear Shareholder
Nexus Minerals Limited (“Nexus” or the “Company”) and its Controlled Entities (the “Group”) is an active exploration
company with a portfolio of highly prospective projects in Australia, with its flagship gold projects located in the world
class mining region of Western Australia. Nexus’ 260km2 Wallbrook and Pinnacles gold projects are located
approximately 150km north/east of Kalgoorlie in the eastern goldfields of Western Australia and abut Northern Star’s
multi-million-ounce Carosue Dam mining operations to the south. Additionally, the Group’s portfolio comprises a
porphyry copper-gold project strategically located in northeastern Victoria, and a 15,000km2 greenfields critical
minerals project in New South Wales.
Wallbrook Gold Project
During the financial year Nexus continued to actively explore the highly prospective Wallbrook Gold Project
(“Wallbrook”). In May 2024 the Company was pleased to announce a 70% expansion to the JORC 2012 Open Pit
combined Mineral Resource Estimate (MRE) over the Crusader-Templar project at Wallbrook to 5.67Mt at 1.7g/t for
Au of 304,000oz (see ASX announcement 1st May 2024).
Exploration Target
The Crusader-Templar Exploration Target is inclusive of the JORC 2012 Crusader-Templar Open Pit combined
Mineral Resource Estimate (MRE).
Note: The potential quantity and grade of the Exploration Target is conceptual in nature and as such there has been insufficient
exploration drilling conducted to estimate a mineral resource. At this stage it is uncertain if further exploration drilling will result in
the estimation of a mineral resource. The Exploration Target has been prepared in accordance with the JORC Code (2012).
Mineral Resource Estimate
The Crusader-Templar JORC 2012 Open Pit combined Mineral Resource Estimate (MRE) of:
➢ 5.67Mt @ 1.7g/t Au for 304,000 ounces contained gold (0.4g/t cut-off), including:
➢ Indicated: 2.46 Mt @ 1.8g/t Au for 140,000 ounces contained gold
➢ Inferred: 3.21 Mt @ 1.6g/t Au for 164,000 ounces contained gold
MRE for the Crusader-Templar deposit – April 2024
Material
Cut-off
(Au g/t)
Indicated
Inferred
TOTAL
Tonnes
(kt)
Au
grade
(g/t)
Au
ounces
(koz)
Tonnes
(kt)
Au
grade
(g/t)
Au
ounces
(koz)
Tonnes
(kt)
Au
grade
(g/t)
Au
ounces
(koz)
Oxide
0.4
110
1.5
5
240
1.4
11
350
1.4
16
Transitional
0.4
320
1.6
17
430
1.4
19
750
1.5
36
Fresh
0.4
2,030
1.8
118
2,540
1.6
134
4,570
1.7
252
Total
0.4
2,460
1.8
140
3,210
1.6
164
5,670
1.7
304
Notably the MRE focused on mine constrained open pit potential only and includes a significant component of
indicated material comprising 46% of the overall mineral resource. The MRE, with reasonable prospect of eventual
Tonnes Low
Tonnes High
Grade (g/t Au)
Low
Grade (g/t Au)
High
Contained Gold
Ounces Low
Contained Gold
Ounces High
10,000,000
14,000,000
1.50
1.75
480,000
790,000
Nexus Minerals Annual Report 2024
3
economic extraction factors applied, is only a small component of the larger Exploration Target delineated by the
extensive drilling undertaken.
The preliminary mine studies focused on the potential for a low-risk, high margin open pit operation. The MRE is
positioned within the larger Crusader/Templar deposit that remains open to the north and south along strike, down
plunge of higher-grade shoots, and has potential for parallel lodes to the east.
Wallbrook Regional Exploration
Aircore (AC) drilling programs were completed at multiple regional prospects, located within the Wallbrook project,
and successfully intersected targets with potential to host near-surface gold mineralisation. The results of systematic
regional exploration success from regional areas illustrate the ongoing exploration opportunity at the Wallbrook Gold
Project and the emerging “Gold Camp” prospectivity.
Recent AC drill results include:
➢ 8m @ 2.93 g/t Au (within 28m @1.05g/t Au) from 28 metres - Target MC2.1
➢ 8m @ 2.33 g/t Au (within 14m @1.37g/t Au to EOH) from 32 metres - Target MC2.1
➢ 4m @ 2.88 g/t Au (within 24m @0.83g/t Au) from 32 metres - Target MC2.1
➢ 8m @ 2.16 g/t Au (within 36m @0.65g/t Au) from 36 metres - Target MC2.1
➢ 8m @ 1.55 g/t Au (within 20m @0.77g/t Au) from 52 metres - Target MC2.1
➢ 2m @ 4.28 g/t Au (within 6m @ 1.60 g/t Au) from 24 metres - Target MC5.1
Corporate
The Company continues to maintain a strong financial cash position and held $7.1 million as at 18 September 2024.
Finally, on behalf of the board I would like to thank all staff and contractors for their valuable contribution during the
year and thank Nexus shareholders for their ongoing support during the past twelve months.
Paul Boyatzis
Chairman
Nexus Minerals Annual Report 2024
4
Review of Operations
Nexus Minerals Ltd (“Nexus” or “the Company”) and the entities it controls (together referred to as “the Group”)
provides this Review of Operations report.
Nexus’ strategy is to invest and actively explore for gold and copper within its portfolio of Australian assets. The
Company’s significant landholdings are located in the Eastern Goldfields of Western Australia, and the Wagga-Omeo
Zone in southern New South Wales and northeastern Victoria.
The Wallbrook Gold Project (“Wallbrook”) was acquired from multiple entities in 2018 and consists of a contiguous
package of some 192km2 in Western Australia. The Wallbrook tenement package is considered highly prospective
for the discovery of significant gold mineralisation.
Nexus had previously entered into a Farm-In and Joint Venture Agreement with Northern Star (Carouse Dam) Pty
Ltd, a subsidiary of successful ASX- listed gold producer Northern Star Limited (“NST” or “Northern Star”), over the
Pinnacles Gold Project (“Pinnacles JV”) in September 2015. Nexus currently holds a 90% interest in the Pinnacles
JV (Northern Star 10%). The Company also holds the Pinnacles Gold Project (“PGP”), with tenements that cover
approximately 68km2 in Western Australia and encapsulate the Pinnacles JV Project.
Nexus acquired 100% of the Bethanga porphyry copper-gold project in January 2022. The Bethanga porphyry
copper-gold project area is 141km2 and is located in northeastern Victoria. Nexus is targeting large-scale porphyry
copper-gold systems and completed the project fertility assessment during the year.
Nexus secured an extensive landholding of potential critical minerals tenure in 2023. Covering an impressive expanse
of 15,000 km2, this exploration tenure stands as the largest tenement package within New South Wales. The tenure
is highly prospective for various critical minerals, including lithium, caesium, tantalum, tin, copper and gold.
Figure 1: Nexus Western Australian and Eastern States projects
Nexus Minerals Annual Report 2024
5
EASTERN GOLDFIELDS (GOLD)
Figure 2. Project locations, Eastern Goldfields Western Australia.
Wallbrook Gold Project
Regional Geology
The Wallbrook Project occurs within the Norseman - Wiluna Archaean Greenstone belt in the Eastern Goldfields
province of the Yilgarn Craton. The Project is located within the Edjudina Region in the Laverton Tectonic Zone,
centrally between Kalgoorlie and Laverton, 35km north of Northern Star Limited’s Carosue Dam Gold Mining
Operation and approximately 150km northeast of Kalgoorlie in Western Australia.
The granite-greenstone belt is approximately 600 kilometres in length and is characterised by thick, possibly rift-
controlled accumulations of ultramafic, mafic, felsic volcanic, intrusives and sedimentary rocks. Greenstone
successions of the southern Eastern Goldfields have been segregated into elongate structural terranes bounded by
regional NNW-trending faults (Swager, 1995). These terranes include the Kalgoorlie Terrane, Gindalbie Terrane,
Kurnalpi Terrane and the Edjudina Terrane. These terranes contain distinct similarities, including timing of the
deposition of volcano-sedimentary sequences (2720-2675 Ma) and regional deformation and plutonism (2675-2620
Ma). The terranes differ only in lithostratigraphic development and early tectonic history (Swager, 1995).
Nexus Minerals Annual Report 2024
6
Figure 3. Wallbrook Project Regional Geology
Nexus Minerals Annual Report 2024
7
Local Geology and Mineralisation
The Wallbrook Project area is located between two major converging tectonic features, the Laverton and Keith-
Kilkenny tectonic zones. The Laverton Tectonic Zone (LTZ) forms the central portion of the Laverton Greenstone
Belt, running north-south in the eastern parts of the Wallbrook Project. The LTZ is recognised as a world class gold
province, with a mineral endowment (production + resources) of over 20 Moz of gold. Major deposits include Sunrise
Dam (8.0 Moz), Wallaby (8.0 Moz) and Granny Smith (3.6 Moz). The Keith-Kilkenny Tectonic Zone (KKTZ) has a
northwest-southeast orientation and is an important vector to mineralisation in the region between Leonora and
Leinster. The southern extension of the KKTZ intersects the Carosue Dam Operation (4.275 Moz).
The lithologies at Wallbrook are dominated by intermediate (andesitic) volcanics, intrusive felsic porphyries and
granite. The dominant feature in the project area is the Wallbrook Monzonite. North of the monzonite are relatively
smaller granitic intrusions and related narrow felsic porphyry dykes/sills which run predominantly parallel to the
regional trend.
The project area covers the convergence of two major trends wrapping around the northern end of the tear-shaped
Wallbrook Monzonite. There are several phases of alteration observed, including:
•
chlorite + magnetite (associated with regional deformation);
•
hematite + silica + sulphides (+ associated felsic intrusives); and
•
sericite + silica + carbonate + pyrite + gold (late tectonic + mineralising event).
As with many of the gold deposits within the Eastern Goldfields, gold mineralisation occurred relatively late in the
deformational history of the area. Within the felsic lithologies there is a relationship between the hematite/silica
alteration and gold mineralisation. Arnold (1999) suggests gold mineralisation is related to hematite bearing oxidized
alteration assemblages, with deposition occurring where gold bearing fluids have come into contact with earlier
magnetite-hematite assemblages.
Nexus owns 100% of the highly prospective Wallbrook project in the Eastern Goldfields of Western Australia. The
192km2 highly prospective gold tenement package was the focus of exploration activity during the period with the
Company undertaking significant drill campaigns at the Crusader-Templar and Branches Prospects, within the
broader Wallbrook Gold Project. In addition, successful field campaigns including geological mapping and an
ongoing high resolution ground magnetometer survey were also undertaken.
Crusader-Templar MRE Update
Nexus has completed an update of the JORC 2012 Crusader-Templar combined Mineral Resource Estimate (MRE),
resulting in a 70% increase in contained ounces to 5.67Mt at 1.7g/t for Au of 304,000oz (refer to ASX:NXM 1/5/2024).
As shown in Table 1, the Indicated material comprises 46% of the combined MRE. The MRE has been reported
within an optimised open-pit shell with consideration for reasonable prospects for eventual economic extraction
(RPEEE). The project highlights characteristics of a low risk open pit operation, supported by strong metallurgical
recoveries (refer to ASX:NXM 25/1/2022), favourable environmental studies (refer to ASX:NXM 16/8/2022), granted
mining tenure and access to infrastructure.
MRE for the Crusader-Templar deposit – April 2024
Material
Cut-off
(Au g/t)
Indicated
Inferred
TOTAL
Tonnes
(kt)
Au
grade
(g/t)
Au
ounces
(koz)
Tonnes
(kt)
Au
grade
(g/t)
Au
ounces
(koz)
Tonnes
(kt)
Au
grade
(g/t)
Au
ounces
(koz)
Oxide
0.4
110
1.5
5
240
1.4
11
350
1.4
16
Transitional
0.4
320
1.6
17
430
1.4
19
750
1.5
36
Fresh
0.4
2,030
1.8
118
2,540
1.6
134
4,570
1.7
252
Total
0.4
2,460
1.8
140
3,210
1.6
164
5,670
1.7
304
Table 1: Crusader-Templar Mineral Resource Summary (0.4g/t cut-off) (rounding errors may occur)
Nexus Minerals Annual Report 2024
8
The recent update to the MRE marks a significant milestone in the ongoing development of the Wallbrook Gold
Project. The update was completed in support of continuing mine studies, reflecting a concerted effort to refine and
expand understanding of the deposit's potential. Leading industry consultants Snowden Optiro were engaged to
complete the new model, following on from their technical support during the discovery of the deposit.
In line with the work previously completed by Snowden Optiro, the updated MRE has incorporated a detailed
geological and structural appraisal to better model mineralised lodes. The local structural framework has been refined
to consist of a regional northwest trending antiform, with the Crusader mineralisation located on the western limb,
and the Templar mineralisation on the eastern limb. The mineralisation follows the west dipping porphyry units at
Crusader, and east dipping en-echelon arrays of porphyry intrusives at Templar.
Figure 4: Plan View of Crusader-Templar Block Model
Nexus Minerals Annual Report 2024
9
Figure 5: Isometric View of Crusader-Templar Block Model and RPEEE Pit
Figure 6: Long Section of Crusader-Templar Block Model
Nexus Minerals Annual Report 2024
10
A key highlight of the MRE update is the substantial 70% increase in contained ounces within the deposit - with
approximately 46% of the total MRE classified as Indicated material. In addition to the increase in ounces, the MRE
has retained a strong grade of 1.7g/t Au (0.4g/t cut-off) and remains robust over a range of cut-offs.
The MRE has been reported within a pit shell based on an AUD$3950/oz gold price (approximately 11% above recent
gold price levels of AUD$3500/oz), indicating a clear evaluation of its economic feasibility for eventual economic
extraction. Underground opportunities have not been considered, noting that further drilling would be required to
adequately define the higher-grade plunging shoots.
The geology at Crusader-Templar has proved the key to determining the continuity and geometry of the mineralised
domains. 3D geological models of the porphyry intrusives were used to control the interpretation of the mineralised
veins. This process identified that variability in the down dip continuity of the Templar mineralisation was related to
pinch and swell en-echelon structures that were modelled in the porphyry arrays. This produced shallow north
plunging subvertical shoots which could be followed from section to section. It also explained the reason for low
grade intersections below well mineralised drillholes and this was key to constraining the upper and lower extents to
the shoots. The correlation of lithology, structure and mineralisation was used to demonstrate continuity during the
interpretation process.
Overall, the project exhibits characteristics indicative of a low-risk open-pit operation, supported by strong
metallurgical recoveries, favourable environmental studies, secure mining tenure, and access to existing
infrastructure. These attributes position the project favourably for future development.
Exploration Target Context
The Crusader-Templar JORC (2012) Exploration Target previously reported remains unchanged (refer to ASX:NXM
26/3/2023). The Exploration Target is therefore inclusive of the updated combined MRE for the Crusader Templar
deposit of 5.67Mt @ 1.7g/t Au for 304,000 ounces contained gold (0.4g/t cut-off).
The Exploration Target has been modelled assuming continuity of the anastomosing porphyry dykes and associated
structure down-dip to approximately 400 metres below surface and south along strike of the Templar Main Lode
where the company has had exploration success.
Tonnes Low
Tonnes High
Grade (g/t Au)
Low
Grade (g/t Au)
High
Contained
Gold Ounces
Low
Contained Gold
Ounces High
10,000,000
14,000,000
1.50
1.75
480,000
790,000
Table 2: Crusader-Templar Exploration Target (refer to ASX:NXM 26/3/2023)
Note: The potential quantity and grade of the Exploration Target is conceptual in nature and as such there has been
insufficient exploration drilling conducted to estimate a mineral resource. At this stage it is uncertain if further
exploration drilling will result in the estimation of a mineral resource. The Exploration Target has been prepared in
accordance with the JORC Code (2012).
Nexus Minerals Annual Report 2024
11
Crusader-Templar Scoping Study
Cautionary Statement
The Scoping Study referred to in this report has been undertaken to determine the viability of open pit mining and
third-party toll treatment of the Crusader-Templar gold deposit. It is a preliminary technical and economic study of
the potential viability of the Project. It is based on low level technical and economic assessments that are not sufficient
to support estimation of ore reserves. The Company has concluded that it has reasonable grounds for disclosing a
production target which includes an amount of Inferred Mineral Resources. There is a low level of geological
confidence associated with Inferred Mineral Resources and there is no certainty that further exploration work will
result in the determination of Indicated Mineral Resources or that the production target itself will be realised. Inferred
Mineral Resources comprise approximately 27% of the modelled mining inventory. Further evaluation work and
appropriate studies are required before Nexus will be able to estimate any ore reserves or to provide any assurance
of an economic development case.
The Scoping Study is based on the material assumptions outlined in the announcement released to ASX on 4 June
2024. These include the availability of funding. While Nexus considers all the material assumptions to be based on
reasonable grounds, there is no certainty that they will prove to be correct or that the range of outcomes indicated by
the Scoping Study will be achieved.
To achieve the range of outcomes indicated in this Scoping Study, funding in the order of $10 million to $15 million
will likely be required. Investors should note that there is no certainty that Nexus will be able to raise that amount of
funding when needed. It is also possible funding may only be available on terms that may be dilutive to or otherwise
affect the value of Nexus shares. It is also possible that Nexus could pursue other ‘value realisation’ strategies such
as a sale, partial sale or operational joint venture of the Project. If it does, this could materially reduce Nexus’
proportionate ownership of the Project.
Potential funding options may also include third parties through; right to mine JV, operational JV or a processing
agreement. At this stage the Company has not yet secured any contracts and accordingly cannot make an assurance
that it will have a processing contract available and, on the assumptions made, in this Scoping Study. The Company
will update the market accordingly if any contracts are entered into. The Study has been completed to a level of
accuracy of +/-35% in line with industry standard accuracy for this stage of development. Given the uncertainties
involved, investors should not make any investment decisions based solely on the results of the Scoping Study
Nexus released its positive Scoping Study for open-pit mining and third-party toll treatment of the Crusader-Templar
gold deposit (refer to ASX: NXM 4/6/2024). Whilst Nexus is confident of continuing to grow Crusader-Templar, and/or
find additional proximal discoveries across its extensive tenement position, Nexus has received various approaches
to evaluate such a development option to realise early cash-flow. The positive results of this Scoping Study (“Study”)
provide a basis to refine material inputs and enhance project economics for the Crusader-Templar gold deposit (refer
ASX: NXM 4/6/2024).
Nexus commissioned Minecomp Pty Ltd, a Kalgoorlie based mine planning consulting firm with extensive experience
evaluating mining projects through the Western Australian goldfields and across Australia, to undertake a Scoping
Study evaluating potential open pit mining at Crusader-Templar and ore processing via toll treatment at an existing
plant.
The processing plants considered for this study are located within a radius of 150km from Crusader-Templar. No
agreement has been entered into at the time of writing, and there is no guarantee an agreement will be entered into.
Nexus Minerals Annual Report 2024
12
Figure 7: Wallbrook Gold Project location and existing infrastructure
Nexus Minerals Annual Report 2024
13
Scoping Study Highlights
•
Various options utilising third-party processing plants operating under a toll treatment agreement were
considered. There are currently multiple active processing plants with a radius of 150km from Crusader-
Templar. A range of outcomes were defined based on gold price, and processing cost including cost of trucking
ore 150km from Crusader-Templar;
•
All results outlined are in AUD$;
•
The cost parameters used for the Scoping Study would be accurate to +/-35%;
•
$3,000 gold price used for study pit shell optimisations;
•
Substantial further upside potential exists as this Scoping Study has only assessed the economics based on
mining 26% of the current published 5.7Mt @ 1.7g/t for 304,000oz gold mineral resource of Crusader-Templar;
•
Using a gold price of $3,500, the Production Target mining inventory for the Project is approximately: 1.5Mt at
1.75g/t producing 80koz gold;
•
The Production Target generates an undiscounted accumulated cash surplus of $67M and an operating
profit margin of 33% (after payment of all working capital costs and pre-mining capital requirements);
Table 3. Scoping Study Outcomes
•
At a gold price of $4,000 the same Production Target mining inventory generates an undiscounted accumulated
cash surplus of $106M, and at a gold price of $3,000 the same Production Target mining inventory generates
an undiscounted accumulated cash surplus of $28M;
•
Mining is contemplated as a Stage 1 multi-pit campaign over approximately 28 months;
•
Average strip ratio across the Stage 1 pits of 16:1;
•
Pre-mining capital and start-up costs are estimated to be approximately $2.2M to $3.3M;
•
Total funding requirements (including working capital) of between approximately $10M and $15M were
estimated based on a Stage 1 “multi-pit” design, providing a 28 month mine life;
•
Results suggest that Stage 1 project economics are robust for a broad range of gold prices, with positive
outcomes returned above a gold price of $2,635 per ounce.
Areas highlighted for improving initial Scoping Study results are:
•
Further RC drilling to “fill out” optimised pit shells and convert material currently identified as waste into mining
inventory material;
•
Undertake a mining inventory study to supplement the high-grade material (to be transported and delivered to
a 3rd party mill) to include the low-grade ore material (0.3-0.7g/t Au) into a heap leach operation study;
•
Extend any grade control program to multiple benches beneath the proposed pit floor, where higher grade
intercepts have been received from previous RC dill campaigns.
Nexus Minerals Annual Report 2024
14
Figure 8: Crusader and Templar Stage 1 Pit Designs – Plan View
Figure 9. Crusader and Templar Stage 1 Pit Designs – Isometric View (looking north-west)
Nexus Minerals Annual Report 2024
15
Crusader-Templar Mineral Resource Area Diamond Drilling
A diamond drilling program was successfully completed at the Crusader-Templar deposit during the June 2024
quarter. The final program consisted of 13 holes totalling 1,473 metres, which all successfully intercepted planned
targets. Intercepting the mineralised zones at planned depths and widths provides further validation of the modelling
work completed in the most recent resource update. The diamond drilling program is being used to facilitate key
studies including metallurgical testwork, geotechnical assessment, waste rock characterisation and water monitoring.
Wallbrook Regional Prospects
During the beginning of the 2024 financial year, the Company received final reverse circulation (RC) 1m assay results
for Branches and MC4.1 Prospects, situated on the Company’s Wallbrook Project located 140km northeast of
Kalgoorlie in Western Australia. Both prospects have returned outstanding results. The results promote Wallbrook
Project as an emerging Gold Camp, with significant opportunity to build scale through systematic regional exploration
(refer to ASX: NXM 28/8/2023).
The exploration team remains focused on deploying the validated and methodical exploration approach to build a
suite of exploration targets for drill testing. There are currently 5 mineralised corridors (MC1- MC5) identified on the
project which remain substantially underexplored despite their proximity to existing mining operations. Given the early
exploration maturity of the project, initial targeting is focusing on the top 0-100 metres below surface, where significant
opportunity exists for a cost-effective build to the project gold ounce portfolio through both incremental and significant
discovery.
Branches Prospect
The Branches RC drill program consisted of 30 drill holes for 2,463 metres. The program successfully infilled key
areas of shallow oxide mineralisation and confirmed mineralisation extensions to surface (1m at 6.02g/t Au within 7m
at 0.95g/t Au from surface). Several drill holes returned outstanding intercepts above 50 metres vertical depth
including 4m at 6.37g/t Au and 7m at 4.34g/t Au (within 36m at 2.40g/t Au from 18 m), and 4m at 3.40g/t Au and 7m
at 2.71g/t Au (within 30m at 1.31g/t Au from 25m). The latest results are illustrative of the potential at Branches, with
the prospect footprint extending over 1.1km and with further opportunity to add scale close to surface (refer to ASX:
NXM 28/8/2023).
Gold mineralisation was identified in the oxide zone by increased abundance of quartz-goethite in the strongly
weathered host. Fresh rock geology confirms the strong association of mineralisation within and on the boundaries
of altered quartz porphyry dykes. The current program has added significantly to the geological interpretation,
identifying further structural components which will enable ongoing refinement of future drill hole targeting.
Company geologists continue to interpretate and review the results to effectively define mineralised zones of highest
economic potential for future follow up drilling. Further extensions to the corridor are also being reviewed as part of
a broader aircore drilling program.
Nexus Minerals Annual Report 2024
16
Figure 10: Wallbrook Regional Prospects highlighting Mineralised Corridors MC1 – MC5 (over Magnetics)
Photo 1: NMWBRC23-690 20-32m – Quartz – Goethite (+/- sericite) in oxide mineralisation (12m @ 3.21g/t Au - within
44m @ 1.10g/t Au from 12m)
Nexus Minerals Annual Report 2024
17
Site ID
Prospect Easting Northing Elevation Azimuth Dip
Depth From To
Interval g/t Au
NMWBRC23-
Branches 432953 6700552 369
0
-90
126
25
55
30
1.31
inc.
29
33
4
3.40
and
39
46
7
2.71
NMWBRC23-
Branches 432928 6700570 369
271
-60
42
0
7
7
0.95
inc.
4
5
1
6.02
NMWBRC23-
Branches 432982 6700593 370
271
-60
86
61
75
14
0.82
inc.
68
72
4
1.48
NMWBRC23-
Branches 432996 6700612 370
271
-60
132
120
126
6
3.10
inc.
120
121
1
16.35
NMWBRC23-
Branches 432939 6700639 369
0
-90
130
18
54
36
2.40
inc.
19
26
7
3.32
and
32
36
4
6.37
and
44
51
7
4.34
NMWBRC23-
Branches 432923 6700711 369
271
-86
108
64
92
28
0.72
inc.
68
79
11
1.09
and
84
87
3
1.22
NMWBRC23-
Branches 432938 6700763 370
271
-60
84
32
43
11
0.96
inc.
32
34
2
3.47
NMWBRC23-
Branches 432956 6700766 370
271
-60
120
84
89
5
1.32
NMWBRC23-
Branches 432915 6700769 369
271
-87
126
28
38
10
0.75
inc.
35
38
3
1.66
58
118
60
0.57
inc.
66
71
5
1.14
and
97
99
2
1.24
NMWBRC23-
Branches 432957 6700782 370
271
-60
120
93
105
12
0.82
inc.
93
96
3
1.99
NMWBRC23-
Branches 432917 6700800 370
273
-61
50
23
48
25
0.68
inc.
34
43
9
1.40
NMWBRC23-
Branches 432934 6700800 370
266
-61
84
47
57
10
0.76
inc.
47
49
2
1.44
NMWBRC23-
Branches 432934 6700828 370
270
-61
96
59
69
10
0.78
inc.
60
64
4
1.36
NMWBRC23-
Branches 432901 6700881 369
269
-60
64
22
30
8
1.28
inc.
25
27
2
3.81
42
54
12
0.74
inc.
42
47
5
1.41
NMWBRC23-
Branches 432919 6700887 370
274
-60
84
60
74
14
0.58
inc.
64
69
5
1.20
NMWBRC23-
Branches 432866 6700940 369
270
-60
72
17
26
9
0.92
inc.
17
21
4
1.36
NMWBRC23-
Branches 432859 6700961 369
271
-60
60
20
54
34
1.02
inc.
22
30
8
2.64
and
49
51
2
3.19
NMWBRC23-
Branches 432899 6700967 370
271
-59
102
60
72
12
1.43
inc.
60
65
5
2.87
NMWBRC23-
Branches 432883 6700980 369
272
-60
66
28
43
15
1.13
inc.
30
33
3
3.24
Table 4: Selected Branches RC Significant Intercepts (final 1 metre results)
Nexus Minerals Annual Report 2024
18
Figure 11: Branches RC Drill Hole Locations over Geology
Nexus Minerals Annual Report 2024
19
MC4.1 Prospect
The MC4.1 Prospect RC drill program consisted of 26 drill holes for 2,512 metres and represents the first RC drill
program at the prospect (refer to ASX: NXM 28/8/2023). The program was broad in nature over some 800 metres of
strike within a 1.7km anomaly identified in a previously completed aircore (AC) drill campaign. Results show
mineralisation extending across the full extent of the tested 800 metres of strike, with notable intercepts including
23m at 2.52g/t Au including 8m at 5.41g/t Au (within 34m at 1.73g/t Au from 5m) and 6m at 4.28g/t Au (within 11m
at 2.6g/t Au from 76m).
Gold mineralisation in the oxide and transitional zones at MC4.1 is associated with an increase in quartz veining and
goethite. Mineralisation in the fresh rock is associated with a sheared and veined intermediate volcanic/volcaniclastic
lithology. Increasing silicification, quartz veining and pyrite have a correlation to gold grade. Sub-parallel to parallel
tourmaline is indicative of shearing in the host lithology and commonly accompanied by an increase in sericite.
Mineralisation remains open in all directions, with the prospect currently subject to interpretation and review by the
exploration team.
Site ID
Prospec
Eastin
Northin
Elevatio
Azimut
Dip
Dept
Fro
To
Interva
g/t
NMWBRC23-
Target
435653
6698361
381
88
-60
102
35
51
16
0.87
inc.
36
38
2
4.42
NMWBRC23-
Target
435612
6698358
381
86
-60
102
76
87
11
2.60
inc.
78
84
6
4.28
NMWBRC23-
Target
435574
6698364
381
90
-60
102
76
98
22
0.41
inc.
89
92
3
1.35
NMWBRC23-
Target
435603
6698399
381
89
-61
108
24
30
6
0.76
inc.
24
27
3
1.09
89
96
7
0.61
inc.
91
93
2
1.42
NMWBRC23-
Target
435560
6698399
381
89
-60
114
88
112
24
0.69
inc.
88
91
3
3.99
NMWBRC23-
Target
435596
6698427
381
89
-61
72
28
53
25
1.17
inc.
31
38
7
3.56
NMWBRC23-
Target
435600
6698600
381
90
-60
96
22
36
14
0.60
inc.
29
34
5
1.22
NMWBRC23-
Target
435562
6698598
381
87
-60
102
75
77
2
4.44
NMWBRC23-
Target
435623
6698650
381
87
-60
120
96
103
7
3.03
inc.
96
98
2
8.75
NMWBRC23-
Target
435702
6698697
381
89
-60
102
14
45
31
0.56
inc.
21
23
2
2.26
and
31
39
8
1.11
NMWBRC23-
Target
435659
6698698
381
90
-61
102
74
90
16
0.84
inc.
77
83
6
1.53
NMWBRC23-
Target
435503
6698699
381
92
-61
96
21
26
5
0.88
inc.
21
23
2
1.81
NMWBRC23-
Target
435472
6698704
381
94
-60
102
35
44
9
1.07
inc.
35
38
3
2.60
NMWBRC23-
Target
435420
6698898
383
89
-62
102
39
42
3
1.29
NMWBRC23-
Target
435714
6698317
381
269
-56
102
5
39
34
1.73
inc.
11
34
23
2.52
inc.
23
31
8
5.41
NMWBRC23-
Target
435524
6698197
380
93
-62
78
60
67
7
1.77
inc.
60
62
2
4.47
Table 5: Selected MC4.1 RC Significant Intercepts (final 1 metre results)
Nexus Minerals Annual Report 2024
20
Figure 12: MC4.1 RC Drill Hole Locations over Geology
Nexus Minerals Annual Report 2024
21
Wallbrook Regional AC Drilling
The regional aircore drill program was commenced during the June 2024 quarter and completed in July 2024 with a
total of 239 holes drilled for a total of 9,467 metres. The program was designed to achieve a first pass assessment
of four new prospects across four mineralised corridors. These priority targets offer near-surface opportunities to
efficiently expand the project's ounce portfolio, aligning with the Company's exploration strategy.
The four targets are summarised below and displayed in Figure 10. Results are anticipated in August.
Target MC1.4 is an area of increased porphyry dyke activity, the geological units implicated in controlling gold
mineralisation at the Crusader-Templar deposit. A major NW-SE trending structure with multiple splays serves as a
potential pathway for hydrothermal fluids.
Target MC2.1 consists of two zones immediately north of the Wallbrook Gold Mine (Northern Star Resources), with
potential to host extensions of the same resource. Historical exploration has identified gold opportunities with
characteristics similar to the Crusader-Templar deposit.
Target MC4.2 lies on the boundary between iron-rich and iron-poor intermediate packages with a series of NE-SW
faults. The disruption in the magnetic signature suggests a zone of magnetic destruction due to hydrothermal activity.
This target is situated south along the strike from the Enterprise Gold Mine (Northern Star Resources) within the
same geological package.
Target MC5.1 is located immediately south along the strike from the Million Dollar Gold Mine (Northern Star
Resources) and features structural complexity with NNE-SSW trending faults, which may act as conduits for
mineralising fluids.
Pinnacles Gold Project
The Pinnacles Gold Project tenements cover approximately 125km2. The tenement area is immediately to the south
of Northern Star’s Carosue Dam mining operation, which includes the Karari underground gold mine, currently in
operation. The Carosue Dam district exhibits a large scale mineralised hydrothermal gold system having produced
multi-million ounces of gold to date, and still today contains >4Moz gold in regional resources.
The geological setting provides for a location between two large granite batholiths, where the basal sequence of
basalt and dolerite is overlain by a volcanoclastic sedimentary sequence. Structurally, the Project is within a major
regional shear zone, with the Yilgangi Fault (the southern extension of the Keith-Kilkenny Fault) and numerous large
scale north-south regional structures evident. The district represents a large Archaean intrusion related alteration
system that hosts significant gold mineralisation.
Pinnacles Gold JV Project
Nexus continues to assess the exploration potential of the Pinnacles Gold JV Project (Nexus 90% / NST 10%). The
project hosts the Pinnacles East Mineral Resource of 609,000t at 4.0g/t Au for 78,000z from surface to 350m (ASX:
NXM 27/2/2020).
Nexus Minerals Annual Report 2024
22
NSW MINERAL PROJECT
Nexus Minerals has secured the largest package of exploration tenure in NSW (extending south into Victoria) to
undertake the search for critical minerals - lithium, caesium, tantalum, tin, copper and gold (refer to ASX: NXM
29/3/2023). The project is considered highly prospective due to its geological setting, including the presence of
reduced, fractionated S-type granites, presence of I-type granites, and historical mineralization in the region
(including tin, copper, and gold). Very limited exploration for these critical minerals has taken place in this highly
prospective geological terrain. Exploration from first principals will allow Nexus to ascertain and prioritise exploration
of specific targets, allowing this large tenement holding (15,000km2) to be reduced in the medium term (Figure 13
and Figure 14).
Nexus has now taken significant steps to leverage the best available government and open-file company geophysics
surveys. These surveys have been compiled and re-processed, encompassing detailed magnetic, radiometric, and
gravity data. To aid in the analysis, a comprehensive set of images and enhancements of the data have been
generated, providing valuable insights for the ongoing exploration efforts. In conjunction with Southern Geoscience
Consultants (SGC) - the data has been interrogated with the following objectives:
1.
Accurately map and refine the granite boundaries.
2.
Categorise granites according to their geophysical signatures.
3.
Identify S-type granites based on geophysical signature.
4.
Identify granites with zoning evident in the geophysics.
5.
Map large scale faults and structure that may be controlling pegmatite distribution.
The Nexus exploration team will refine priority target areas to focus on ground exploration activities.
Figure 13: Nexus Critical Minerals Projects Location over Geology
Nexus Minerals Annual Report 2024
23
Figure 14: Nexus Critical Minerals Project targets
Nexus Minerals Annual Report 2024
24
BETHANGA PROJECT
Background
The Bethanga porphyry Cu-Au project lies within the East Lachlan Fold Belt (ELFB). This belt has an endowment of
more than 13 million tonnes of copper and 80 million ounces of gold. It hosts the Tier 1 Newcrest Cadia - Ridgeway
deposits that represent some of the worlds most profitable producers. In addition, the ELFB hosts the long-life mining
copper-gold operations at Northparkes and Cowal. The Bethanga project lies in a unique tectonic setting and has
recently been recognised by the Geological Survey of Victoria as a region highly prospective for porphyry copper-
gold style mineralisation. Bethanga was historically mined for copper and gold in the early 1900’s (118kOz Au at
39g/t and 618t Cu) and there has seen no exploration activity since 1987.
Nexus previously completed a Porphyry Cu-Au fertility assessment study at the Bethanga project (refer to ASX: NXM
9/3/2023). This study returned positive outcomes with Bethanga considered highly prospective for hosting a porphyry
Cu-Au system. The porphyry target zone covers ~8km x 3km, with a high priority target zone of ~3km x 1.5km.
Aeromagnetic and ground magnetic surveys confirm the existence of a multi-phase magnetic intrusive complex –
indicative of the core of a porphyry Cu-Au system. Rock litho-geochemistry indicates the intrusive rocks are consistent
with emplacement into a tectonic porphyry environment and soil geochemistry returned commodity and trace element
enrichment expected in the upper levels of a porphyry Cu system. The elemental association is interpreted to have
been formed by magmatic – hydrothermal fluids originating from a fertile porphyry Cu system.
Diamond Drilling
During the second half of FY2024 Nexus completed a diamond drill campaign at the Bethanga Project, Victoria (refer
to ASX: NXM 27/6/2024). Three deep drill holes were completed over the course of the campaign for a total of 1,516
metres. The program targeted magnetic and geochemical targets within the multi-element and copper target zones
identified in the prior porphyry Cu-Au fertility study. Each target zone covers some ~3km x 1.5km and exist within the
broader ~8km x 3km zone (Figure 13).
In addition to geological logging, drill holes were selectivity sampled to improve understanding of the system. A total
of 84 samples were collected for laboratory analysis, which included 4-acid lithogeochemical analysis, fire assay and
hyperspectral analysis. Sampling focused on areas of obvious alteration and trace mineralisation (sphalerite, galena,
chalcopyrite, pyrite), as well as spaced samples throughout the holes to provide information on hydrothermal
alteration. The results of this analysis were received during the June 2024 quarter and a preliminary analysis
undertaken to improve understanding of the system. Encouragingly, results confirm previous conclusions from the
fertility study, with levels observed consistent with metal enrichment in the upper portions of a porphyry Cu-Au system
distal from the potassic core. NMBGDD24-003 returned results up to 3.23g/t Au and 474ppm Cu (167-168 m).
Conclusions and Project Review
Results from the FY2024 diamond drilling program are indicative of distal, regional chlorite-illite alteration potentially
related to a magmatic hydrothermal system, confirming the results of the fertility assessment study. Near-surface
historical Au-Ag-Cu workings at Bethanga may represent narrow intermediate to high-sulfidation vein systems
associated with local argillic alteration related to a porphyry Cu-Au system at depth. Trace elements such as As, Bi,
Sb and W are elevated in surface samples and drill core, but others, such as Te, Se, Sn and Mo remain low,
suggesting shallow levels within a porphyry Cu-Au system.
Nexus is currently reviewing the project and assessing an appropriate exploration strategy. The Company remains
busy across its project portfolio with the exploration opportunity at Bethanga to compete against opportunities across
the significant Mineral Project in NSW and the Wallbrook Gold Project in WA.
Nexus Minerals Annual Report 2024
25
Figure 15. Bethanga Project map with drill hole location
Table 6: Summary of results (>0.1 ppm Au or >50ppm Cu)
Nexus Minerals Annual Report 2024
26
Merrimac Project Option
In March 2023, Nexus announced it had secured an option to acquire the Merrimac Project (tenement EL007493)
(refer to ASX: NXM 29/3/2023). This Option agreement allowed Nexus to have the exclusive right for a period of 9
months (Option Period) to undertake reconnaissance exploration activities on the tenements. Nexus has elected not
to exercise the Option.
The consideration for the acquisition of 100% of the Merrimac project would have required payment of $300,000
cash consideration; and at Nexus’ discretion either:
•
Payment of a further $600,000 cash; or
•
The issue of fully paid ordinary shares in the capital of Nexus Minerals to the value of $600,000, at a 7 day
VWAP to the date Nexus issues the exercise notice, subject to shareholder approval.
An initial field mapping and sampling campaign at the Merrimac Project identified LCT pegmatites in the southwestern
portion of the exploration licence. Pegmatite dykes returned one anomalous high-grade lithium assay of 2.85% Li2O.
A further 112 litho-geochemical samples were collected across various lithologies to assist in mapping, with 13
pegmatite rock chip samples returning anomalous results greater than 0.20% Li2O, with 5 samples of 1.00% Li2O or
greater. The final mapping and interpretation of the Merrimac pegmatite dykes has determined that the density,
thickness and grades of the pegmatites associated with the anomalous zone were not sufficient to warrant exercising
the option. The decision to not exercise the option is also taken in light of Nexus being granted over 15,000km2 of
prospective LCT pegmatite tenure in April 2023.
Figure 16: Merrimac Project map
Nexus Minerals Annual Report 2024
27
RESEARCH AND DEVELOPMENT PROJECT
In co-ordination with current exploration, Nexus runs a research and development (R&D) program. Nexus’ R&D
program is focused on developing new rock characterising processes for deeply deformed, altered, metamorphosed,
and weathered rock formations. The project is developing several new tools and processes by coupling data from
Portable X-Ray Fluorescence analysers (pXRF) with image analysis and data from other rock property instruments
where appropriate.
The tools and processes developed have a potential wide array of applications in a range of industries. This includes
an automated drill chip rock classification program, estimation of the impact of weathering on geochemical data with
a weathering correction tool and inexpensive lithology identification of fine-grained rocks through multi-disciplinary
data analysis.
The program saw a number of core and supporting activities undertaken during the 2023 financial year which resulted
in an R&D rebate of $1.35m, received early in the March 2024 quarter. The R&D project has continued through the
2024 financial year and a further claim will be lodged.
CORPORATE
In September Nexus undertook a renounceable entitlement issue to raise $3.2m (before costs). In early October, the
Company issued a total of 63,606,820 new fully paid ordinary shares and 34,723,777 new options exercisable at
$0.13, with an expiry date of 26 March 2025. The entitlement issue was partially underwritten by Mahe Capital Pty
Ltd. The proceeds are to advance drilling activities at Wallbrook Gold Project and Bethanga Copper-Gold Project.
Positive support was received from new and existing shareholders reflecting confidence in the Company’s ongoing
exploration activities.
During the financial year ended 30 June 2024, Nexus Managing Director Andy Tudor presented to a number of
stockbrokers, fund managers and high net worth investors in Perth as well as via Zoom to
Sydney/Melbourne/Adelaide. The presentations were well received and provided an update of the Company’s
activities at the Wallbrook Gold project, and other Company projects.
Nexus attended multiple conferences during the year and the Company’s presentations were well received.
The Company held its Annual General Meeting on 23 November 2023. All resolutions were passed by the required
majority on a poll.
Competent Person’s Statement
The information in this report relating to the current resource estimate for the Crusader-Templar gold deposit is extracted from the Company’s
announcement to the ASX dated 1 May 2024 ‘Crusader-templar Updated MRE Expands to over 300,000 oz Gold’ and is available to view on the
Nexus website, nexus-minerals.com. The Company confirms that it is not aware of any new information or data that materially affects the
information included in the original market announcement and, that all material assumptions and technical parameters underpinning the estimates
in the relevant market announcement continue to apply and have not materially changed. The Company confirms that the form and context in
which the Competent Person’s findings are presented have not been materially modified from the original market announcement. The estimated
mineral resources underpinning the Production Target have been prepared by the Competent Person in accordance with the requirements of the
JORC Code (2012).
The information in this report that relates to the Open Pit Mining Scoping Study for Crusader-Templar and to the Production Target derived from
the Scoping Study is based on information compiled by Mr Gary McCrae, a Competent Person who is a Member or Fellow of The Australian
Institute of Mining and Metallurgy and a full time employee of Minecomp Pty Ltd. Mr McCrae 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 Exploration Results, Mineral Resources and Ore Reserves”. Mr McCrae
consents to the inclusion in the report of the matters based on his information in the form and context in which it appears.’
The information in this report relating to metallurgy of the Crusader-Templar gold deposit is extracted from the announcement of Nexus Minerals
Ltd released to the market on 25 January 2022 “Wallbrook Gold Project Exploration Update”.
The Company confirms that it is not aware of any new information or data that materially affects the information included in the original market
announcement and, that all material assumptions and technical parameters underpinning the estimates in the relevant market announcement
continue to apply and have not materially changed. The Company confirms that the form and context in which the Competent Person’s findings
Nexus Minerals Annual Report 2024
28
are presented have not been materially modified from the original market announcement. The results are available to be viewed on the Company
website www.nexus-minerals.com.
The information in the report to which this statement is attached that relates to Mineral Resources based upon information compiled by Mr Paul
Blackney, a Competent Person who is a member of the Australian Institute of Geoscientists. Mr Blackney is a full-time employee of Snowden
Optiro, consultants to Nexus Minerals Limited. Mr Blackney has sufficient experience that is relevant to the style of mineralisation and type of
deposit under consideration and to the activity being undertaken 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 Blackney consents to the inclusion in the
report of matters based on his information in the form and context in which it appears.
The Exploration Target estimate has been prepared by Mr Andy Tudor, who is a Member of the Australasian Institute of Mining and Metallurgy
and the Australian Institute of Geoscientists. Mr Tudor is the Managing Director and full-time employee of Nexus Minerals Limited. Mr Tudor has
sufficient experience which is relevant to the style of mineralisation and type of deposit under consideration and to the activity for which he is
undertaking to qualify as a Competent Person as defined in the 2012 Edition of the “Australian Code for Reporting of Exploration Results, Mineral
Resources and Ore Reserves”. Mr Tudor consents to the inclusion in the release of the matters based on his information in the form and context
in which it appears.
The information in this report that relates to the Nexus Minerals Limited Pinnacles JV Mineral Resource is based upon information from the
Company’s announcement dated 27 February 2020 and is available to view on the Company’s website at www.nexus-minerals.com. The
information was compiled by Mr Mark Drabble, a Competent Person who is a member of The Australian Institute of Mining and Metallurgy and
the Australian Institute of Geoscientists. Mr Drabble is a full-time employee of Optiro Pty Ltd, consultants to Nexus Minerals Limited. Mr Drabble
has sufficient experience that is relevant to the style of mineralisation and type of deposit under consideration and to the activity being undertaken
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’. The Company confirms that it is not aware of any new information or data that materially affects the information included in
the original market announcement and that all material assumptions and technical parameters underpinning the estimate in the relevant market
announcement continue to apply and have not materially changed.
The information in this release that relates to Exploration Results, Mineral Resources or Ore Reserves is based on, and fairly represents,
information and supporting documentation, prepared, compiled or reviewed by Mr Andy Tudor, who is a Member of the Australasian Institute of
Mining and Metallurgy and the Australian Institute of Geoscientists. Mr Tudor is the Managing Director and full-time employee of Nexus Minerals
Limited. Mr Tudor has sufficient experience which is relevant to the style of mineralisation and type of deposit under consideration and to the
activity for which he is undertaking to qualify as a Competent Person as defined in the 2012 Edition of the “Australian Code for Reporting of
Exploration Results, Mineral Resources and Ore Reserves”. Mr Tudor consents to the inclusion in the release of the matters based on his
information in the form and context in which it appears.
No Ore Reserves have currently been defined on the Wallbrook or Pinnacles tenements. There has been insufficient exploration and technical
studies to estimate an Ore Reserve and it is uncertain if further exploration and/or technical studies will result in the estimation of an Ore Reserve.
The potential for the development of a mining operation and sale of ore from the Wallbrook or Pinnacles tenements has yet to be established.
The exploration results are available to be viewed on the Company website www.nexus-minerals.com. The Company confirms it is not aware of
any new information that materially affects the information included in the original announcements. The Company confirms that the form and
context in which the Competent Person’s findings are present have not been materially modified from the original announcements of 13/10/2016,
7/2/2017, 6/9/2018, 20/9/2018, 16/10/18, 29/11/2018, 24/1/2019, 4/2/2019, 27/2/19, 15/3/2019, 2/4/2019, 9/4/2019, 16/4/2019, 18/4/2019,
29/5/2019, 8/7/2019, 28/8/2019, 8/10/2019, 21/10/2019, 27/2/2020, 13/3/2020 , 21/4/2020, 29/6/2020, 15/7/2020, 16/7/2020,24/7/2020,
13/8/2020, 28/8/2020, 1/8/2020, 5/10/2020, 19/10/2020, 2/11/2020, 17/11/2020 and 23/11/2020, 2/12/2020, 7/12/2020, 15/12/2020, 29/1/2021,
16/2/2021, 21/4/2021, 23/4/2021, 28/4/2021, 27/5/2021, 13/7/2021, 28/7/2021, 16/8/2021, 23/8/2021, 8/9/2021, 11/10/2021, 25/10/2021,
8/11/2021 9/11/2021, 15/11/2021, 21/12/2021, 24/12/2021, 18/1/2022, 25/1/2022, 3/03/2022, 14/3/2022, 31/3/2022,. 11/04/2022, 19/4/2022,
21/04/2022, 3/5/2022, 9/5/2022, 16/5/2022, 24/05/2022, 25/5/2022, 28/6/2022, 7/7/2022, 26/7/2022, 8/8/2022, 16/8/2022, 24/8/2022, 9/9/2022,
20/9/2022, 24/10/2022, 17/11/2022, 23/11/2022, 24/01/2023 08/02/2023, 09/03/2023, 29/03/2023, 20/04/2023, 26/04/2023 , 02/05/2023,
08/05/2023, 02/06/2023, 22/06/2023, 05/07/2023, 19/07/2023, 25/07/2023, 28/07/2023, 07/08/2023, 28/08/2023, 04/09/2023, 12/09/2023,
14/09/2023, 21/09/2023, 29/09/2023, 3/10/2023, 5/10/2023, 17/10/2023, 23/10/2023, 23/10/2023, 17/11/2023, 23/10/2023, 30/10/2023,
17/11/2023, 23/11/2023, 05/12/2023, 30/01/2024, 09/02/2024, 13/03/2024, 14/03/2024,16/04/2024, 1/05/2024, 60/5/2024, 15/05/2024,
40/6/2024, 27/06/2024, 3/07/2024 and 31/7/2024.
FORWARD LOOKING AND CAUTIONARY STATEMENTS. Some statements in this report regarding estimates or future events are forward-
looking statements. They include indications of, and guidance on, future earnings, cash flow, costs and financial performance. Forward looking
statements include, but are not limited to, statements preceded by words such as “planned”, “expected”, “projected”, “estimated”, “may”,
“scheduled”, “intends”, “anticipates”, “believes”, “potential”, "predict", "foresee", "proposed", "aim", "target", "opportunity", “could”, “nominal”,
“conceptual” and similar expressions. Forward-looking statements, opinions and estimates included in this report are based on assumptions and
contingencies which are subject to change without notice, as are statements about market and industry trends, which are based on interpretations
of current market conditions. Forward-looking statements are provided as a general guide only and should not be relied on as a guarantee of
future performance. Forward-looking statements may be affected by a range of variables that could cause actual results to differ from estimated
results and may cause the Company’s actual performance and financial results in future periods to materially differ from any projections of future
performance or results expressed or implied by such forward-looking statements. So, there can be no assurance that actual outcomes will not
materially differ from these forward-looking statements.
Nexus Minerals Annual Report 2024
29
Directors’ Report
The directors present their report together with the financial report of the Group consisting of Nexus Minerals Limited
(“the Company”) and the entities it controlled (together referred to as the “Group”) for the financial year ended 30
June 2024 and the auditor’s report thereon.
1. Directors
The directors of the Company at any time during or since the end of the financial year are:
Paul Boyatzis – Chairman, Non-Executive Director, appointed 6 October 2006
B.Bus, ASA, MSDIA
Mr Boyatzis has over 30 years’ experience in the commercial, investment and equity markets, and has assisted many
emerging growth companies within the resources and financial services sectors. He has served as Chairman and
director of a number of public and private companies.
During the last three years Mr Boyatzis has served as a director of VRX Silica Limited (24th September 2010 –
present) and Aruma Resources Limited (5th January 2010 – 9th November 2022).
Andy Tudor – Managing Director, appointed 6 July 2016
BAppSc(Geol) MAusIMM MAIG
Mr Tudor has over 36 years’ experience encompassing roles from Managing Director/CEO of ASX listed companies
to General Manager, Country Manager and Exploration Manager roles as well as Exploration and Mine Geology
functions.
In addition to his extensive management experience Mr Tudor has also held the position of General Manager &
Principal Consultant of a global mineral consulting firm where his role concentrated on project assessment, due
diligence and evaluation studies, in conjunction with geological and resource assessments.
During the last three years Mr Tudor has served as a director of OzAurum Resources Limited (5th August 2020 –
present).
Bruce Maluish – Non-Executive Director appointed 1 July 2015
BSc (Surv), Dip Met Min
Mr Maluish has more than 40 years’ experience in the mining industry and has had numerous roles as Managing
Director and General Manager with companies such as Monarch Group Pty Ltd, Abelle Pty Ltd, Hill 50 Gold Limited
and Forsyth Mining Company, while mining a variety of commodities from gold, nickel and mineral sands from both
open pits and underground.
His management experience includes the set up and marketing of IPOs from commencement of exploration to full
production, to the identification, development and expansion of projects including mergers and acquisitions.
During the past three years, Mr Maluish has served as a director of VRX Silica Limited (24th September 2010 –
present).
Phillip MacLeod – Company Secretary appointed 6 October 2006
B.Bus, FGIA, MAICD
Mr MacLeod has over 30 years’ commercial experience and has held the position of company secretary with listed
public companies since 1995. Mr MacLeod has provided corporate, management and accounting advice to a number
of public and private companies involved in the resource, technology, property and healthcare industries.
Nexus Minerals Annual Report 2024
30
Directors’ Report
2. Directors’ meetings
The number of Directors’ meetings held and the number of meetings attended by each of the Directors of the
Company during their term in office during the financial year is as follows:
Director
Meetings Held
Meetings Attended
Paul Boyatzis
4
4
Andy Tudor
4
4
Bruce Maluish
4
4
The Company does not have any committees. Matters usually considered by an audit, remuneration or nomination
committee were dealt with by the directors during regular Board meetings.
3. Directors’ and executives’ interests
The relevant interest of each director and executive in the shares and options of the Company and its subsidiaries
as notified by the directors to the Australian Securities Exchange in accordance with Section 205G(1) of the
Corporations Act 2001, at the date of this report is as follows:
Directors
Fully Paid Ordinary
Shares
Number
Share Options
Number
Paul Boyatzis
10,347,400
4,449,417
Andy Tudor
5,160,000
4,430,000
Bruce Maluish
2,540,000
2,000,000
4. Share options
Unissued shares under option
At the date of this Report, there are 50,473,777 options over unissued shares in Nexus Minerals Limited (2023:
16,500,000), as follows:
Number of Shares
Under Option
Exercise Price of
Options (cents)
Expiry Date of
Options
1,000,000
50.0
28 September 2024
6,500,000
68.0
9 November 2024
5,000,000
27.0
22 November 2025
34,723,777
13.0
26 March 2025
3,250,000
7.5
19 August 2027
Share options expired
During the financial year ended 30 June 2024, no options were cancelled or forfeited (2023: nil) and 4,000,000
options expired (2023: nil).
Nexus Minerals Annual Report 2024
31
Directors’ Report
Shares issued on exercise of options
There were no ordinary shares issued as a result of the exercise of options during the financial year ended 30 June
2024(2023: 8,000,000).
Share options granted to directors and key management personnel
During the financial year ended 30 June 2024, no share options were granted to directors of the Company and the
entities they control as part of their remuneration (2023: 5,000,000).
5. Principal activity
The principal activity of the Group during the course of the year was mineral exploration in Australia.
6. Review of operations
The Group made a loss after tax for the year of $3,178,182 (2023: $8,829,818). As at 30 June 2024, the consolidated
cash and cash equivalents balance was $4,414,709 (30 June 2023: $4,424,190), which is a decrease of $9,841
compared to the prior year.
Information on the operations of the Group and its business strategies are set out on pages 4 to 28 of the Annual
Report.
7. Financial Position
The consolidated financial report has been prepared on the going concern basis, which contemplates continuity of
normal business activities and the realisation of assets and settlements of liabilities in the ordinary course of business.
At year end, the Group had $4,414,709 (2023: $4,424,190) in cash and cash equivalents and a working capital surplus
of $4,101,923 (2023: $4,436,137). In addition the Group completed a capital raising in September 2024 (see note
29). The directors manage discretionary expenditure in line with the Group’s cash flow and are confident that there
are sufficient funds to meet the Group’s working capital and funding requirements for a minimum of 12 months from
the date of this report.
8. Business Strategies and Prospects
The Group’s business model is aimed at generating value from the discovery of economic quantities of mineralisation
and resources. It involves identifying projects aligned to the Nexus’ strategy, then developing project specific
exploration programs designed to quantify a project’s mineral potential.
An important part of the Nexus’ proposed model is to assess exploration results on an ongoing basis against the
current exploration strategies, other projects, funding options and other opportunities.
The Group’s activities have inherent risk and the Board is unable to provide certainty of the expected results of these
activities or that any or all of these likely activities will be achieved. The material business risks faced by Nexus that
could influence future prospects, and how the risk is managed, are outlined below.
Exploration and Development Risk
Mineral exploration, by its nature, is a high-risk endeavour and consequently, there can be no assurance that
exploration of the Group’s existing projects, or any other projects that may be acquired in the future, will result in
discovery of an economic mineral deposit. Should a discovery be made, there is no guarantee that it will be
commercially viable.
Nexus Minerals Annual Report 2024
32
Directors’ Report
The development of mineral projects would follow only if favourable exploration results are obtained. There are still
development and operational risks to overcome before a commercial mine can be established. A variety of factors,
both geological and market related, can cause a technical discovery to be uneconomic.
Future Capital Requirements
The ability of the Group to continue as a going concern is dependent on securing additional funding through debt or
equity issues or partial sale of its mineral properties as and when the need to raise working capital arises, to continue
to fund its operational activities.
Management believe there are sufficient funds to meet the Group’s working capital requirements as at the date of
this report. Subsequent to period end the Group has received additional funds through the issue of equity securities.
Native Title and Aboriginal Heritage
The Group’s activities in Australia are subject to Commonwealth and State legislation relating to native title and sites
of significance to Aboriginal custom and tradition. There is significant uncertainty associated with native title and
Aboriginal heritage issues in Australia and this may impact on the Company’s future plans. The Directors will closely
monitor the potential effect of native title claims or heritage sites involving the Group’s projects.
Environmental Risks
The operations and activities of the Group are subject to State and Federal laws and regulations concerning the
environment. As with most exploration projects and mining operations, the Group’s activities have an impact on the
environment. The Group conducts its activities in compliance with all environmental laws.
Climate Change
The Directors recognise that there are a number of risks related to climate change which may affect the Group,
including but not limited to:
•
the changes which may occur to the climate of the area in which the Group’s projects are situated which cannot
be predicted;
•
changes in governmental policy in response to climate change could adversely impact the value of the Group’s
assets, its business strategy and/or the costs of its operations; and
•
climate change may have an impact on the operations of participants in the mining industry.
General Economic Conditions
General macro-economic conditions such as inflation, currency fluctuation, interest rates, supply and demand and
industrial disruption may each have an adverse impact on operating costs, commodity prices and stock market
processes. The Groups future possible revenues and Share price can be affected by these factors, which are beyond
the control of the Group and its Directors.
9. Dividends
No dividends were paid or declared by the Company during the financial year or since the end of the financial year.
Nexus Minerals Annual Report 2024
33
Directors’ Report
10. Events subsequent to reporting date
On 6 September 2024 the Company announced that it had received firm commitments for a placement to raise
$4.1million through the issue of 97,265,031 new fully paid ordinary shares. Settlement of the placement occurred on
12 September 2024. In addition, Directors have committed for 1.7 million new shares on the same terms as the
placement, subject to shareholder approval at the Company’s upcoming annual general meeting. The funds raised
will support ongoing aircore, reverse circulation and diamond drilling, as well as geophysical surveys, exploration
activities and mine studies at the Wallbrook Gold Project. Funds raised will also support minimum expenditure
requirements at the Pinnacles Gold Project and the Company’s NSW and Victorian projects and provide the Company
with general working capital.
Other than as described above, no matter or circumstance has arisen since 30 June 2024 that has significantly
affected, or may significantly affect the consolidated group’s operations, the results of those operations, or the Group's
state of affairs in future financial years.
11. Likely developments
The Group will continue planning and executing mineral exploration work on its existing projects as well as any new
projects or investments which come under review during the financial year.
12. Environmental regulations
In the course of its normal mining and exploration activities the Group adheres to environmental regulations imposed
on it by the various regulatory authorities, particularly those regulations relating to ground disturbance and the
protection of rare and endangered flora and fauna. The Group has complied with all material environmental
requirements up to the date of this report. The Board believes that the Group has adequate systems in place for the
management of its environmental requirements and is not aware of any breach of these environmental requirements
as they apply to the Group.
13. Indemnification of officers and auditors
The Company has entered into Director and Officer Protection Deeds (Deed) with each director and the Company
Secretary (officers). Under the Deed, the Company indemnifies the officers to the maximum extent permitted by law
and the Constitution against legal proceedings, damage, loss, liability, cost, charge, expense, outgoing or payment
(including legal expenses on a solicitor/client basis) suffered, paid or incurred by the officers in connection with the
officers being an officer of the Company, the employment of the officer with the Company or a breach by the Company
of its obligations under the Deed.
Also pursuant to the Deed, the Company must insure the officers against liability and provide access to all board
papers relevant to defending any claim brought against the officers in their capacity as officers of the Company.
The Company has paid insurance premiums during the year in respect of liability for any past, present or future
directors, secretary, officers and employees of the Company or related body corporate. The insurance policy does
not contain details of the premium paid in respect of individual officers of the Company. Disclosure of the nature of
the liability cover and the amount of the premium is subject to a confidentiality clause under the insurance policy. To
the extent permitted by law, the Group has agreed to indemnify its auditors, Nexia Perth Audit Services Pty Ltd, as
part of the terms of its audit engagement agreement against claims by third parties arising from the audit (for an
unspecified amount). No payment has been made to indemnify Nexia Perth Audit Services Pty Ltd during and/or
since the Group’s FY24.
Nexus Minerals Annual Report 2024
34
Directors’ Report
14. Remuneration report (audited)
14.1 Principles of compensation
This report, which forms part of the Directors’ report, outlines the remuneration arrangements in place for the key
management personnel (“KMP”) of the Group for the financial year ended 30 June 2024. The information provided in
this remuneration report has been audited as required by Section 308(3C) of the Corporations Act 2001.
Remuneration is referred to as compensation throughout this report.
Key management personnel have the authority and responsibility for planning, directing and controlling the activities
of the Company, including the directors of the Company and other executives. Key management personnel comprise
the directors of the Company and other executives.
Key Management Personnel
The directors and other key management personnel of the Group during or since the end of the financial year were:
Directors
Paul Boyatzis
Non-executive Chairman
Andy Tudor
Managing Director
Bruce Maluish
Non-executive Director
The named persons held their current positions for the whole of the financial year and since the financial year unless
otherwise stated.
Remuneration levels for key management personnel are competitively set to attract and retain appropriately qualified
and experienced directors and executives and take account of factors such as length of service, particular experience
and expertise. The directors obtain independent advice on the appropriateness of compensation packages of the
Company, given trends in comparative local companies and the objectives of the Company’s compensation strategy.
Non-executive directors receive a fixed fee of up to $54,000 plus statutory superannuation, if applicable. The
Chairman receives a fixed fee of $108,000 per annum plus statutory superannuation, if applicable. Currently key
management personnel remuneration is not dependent on the satisfaction of any performance condition.
14.2 Directors’ remuneration
Details of the nature and amount of each major element of remuneration of each Director of the Company are shown
in the table on page 35.
14.3 Share-based payments granted as compensation for the current financial year
During the financial year ended 30 June 2024, no share options over unissued shares were granted to Directors
(2023: 5,000,000).
14.4 Service agreements
On 6 July 2016 the Company appointed Mr Andy Tudor to the position of Managing Director (previously appointed 7
July 2014 as Chief Executive Officer). Mr Tudor receives a basic salary of $291,892 plus superannuation of 11.0%
(11.5% from 1 July 2024).
The service agreement is open ended and may be terminated by either party with one year’s notice.
Nexus Minerals Annual Report 2024
35
Directors’ Report
14. Remuneration report (audited)
Details of the nature and amount of each major element of remuneration for each director are as follows:
Nexus Minerals
Limited
Short-term
Post
Employment
Other
long-
term
Share-
based
Payments
Total
$
Proportion of
remuneration
performance
related
%
Value of
options as
proportion of
remuneration
%
Salaries&
fees
$
Cash
Bonus
$
Non-
monetary
benefits
$
Total
$
Superannuation
benefits
$
$
Termination
benefit
$
Options &
rights
$
Director
2024 Year
Mr P Boyatzis
103,000
-
-
103,000
11,330
-
-
-
114,330
-
0.0%
Mr A Tudor
282,883
-
-
282,883
31,117
(12,070)
-
-
301,930
-
0.0%
Mr B Maluish
51,500
-
-
51,500
5,665
-
-
-
57,165
-
0.00%
Total
437,383
-
-
437,383
48,112
(12,070)
-
-
473,425
-
0.0%
2023 Year
Mr P Boyatzis
96,000
-
-
96,000
10,080
-
-
213,518
319,598
-
66.8%
Mr A Tudor
271,493
-
-
271,493
28,507
(7,243)
-
213,518
506,275
-
42.2%
Dr M Elliott *
20,000
-
-
20,000
-
-
-
-
20,000
-
0.0%
Mr B Maluish
48,000
-
-
48,000
5,040
-
-
106,758
159,798
-
66.8%
Total
435,493
-
-
435,493
43,627
(7,243)
-
533,794
1,005,671
-
53.1%
* Resigned 23 November 2022
Nexus Minerals Annual Report 2024
36
Directors’ Report
14. Remuneration report (audited)
14.5 Share-based payments granted as compensation to key management personnel during the current
financial year
There were no options over ordinary shares granted as compensation to key management personnel during the
current financial year (2023: 5,000,000).
No options that were previously granted to key management personnel as part of their compensation were exercised
during the year by key management personnel (2023: 6,500,000). No options lapsed unexercised during the year
(2023: nil).
14.6 Key management personnel equity holdings
The movement during the financial year ended 30 June 2024 in the number of ordinary shares in Nexus Minerals
Limited held, directly, indirectly or beneficially, by each key management person, including their personally related
entities, is as follows:
* Shares held at time of resignation (23 November 2022).
2024
Held at
1 July 2023
Granted as
compensation
Entitlement
Offer Shares
Subscribed
Other changes
Held at
30 June 2024
Directors
Mr P Boyatzis
9,448,566
-
898,834
-
10,347,400
Mr A Tudor
4,300,000
-
860,000
-
5,160,000
Mr B Maluish
2,540,000
-
-
-
2,540,000
2023
Held at
1 July 2022
Granted as
compensation
Received on
exercise of
options
Other changes
Held at
30 June 2023
Directors
Mr P Boyatzis
7,448,566
-
2,000,000
-
9,448,566
Mr A Tudor
1,800,000
-
2,500,000
-
4,300,000
Mr B Maluish
1,540,000
-
1,000,000
-
2,540,000
Dr M Elliott
3,102,487
-
1,000,000
(4,102,487)*
-
Nexus Minerals Annual Report 2024
37
Directors’ Report
14. Remuneration report (audited)
14.6 Key management personnel equity holdings
The movement during the year in the number of options over ordinary shares in Nexus Minerals Limited held, directly,
indirectly or beneficially, by each key management person, including their personally-related entities, is as follows:
2024
Held at
1 July 2023
Granted as
compensation
Options
exercised
Options
issued with
Entitlement
Offer
Held at
30 June 2024
Vested
during
the year
Vested and
exercisable at
30 June 2024
Directors
Mr P Boyatzis
4,000,000
-
-
449,417
4,449,417
-
4,449,417
Mr A Tudor
4,000,000
-
-
430,000
4,430,000
-
4,430,000
Mr B Maluish
2,000,000
-
-
-
2,000,000
-
2,000,000
2023
Held at
1 July 2022
Granted as
compensation
Options
exercised
Options
held at
resignation
Held at
30 June 2023
Vested
during
the year
Vested and
exercisable at
30 June 2023
Directors
Mr P Boyatzis
4,000,000
2,000,000
(2,000,000)
-
4,000,000
-
4,000,000
Mr A Tudor
4,500,000
2,000,000
(2,500,000)
-
4,000,000
-
4,000,000
Mr B Maluish
2,000,000
1,000,000
(1,000,000)
-
2,000,000
-
2,000,000
Dr M Elliott*
2,000,000
-
(1,000,000)
(1,000,000)
-
-
-
* Resigned 23 November 2022
End of remuneration report (audited)
15. Proceedings on behalf of the company
No person has applied to the Court under Section 237 of the Corporations Act 2001 for leave to bring proceedings
on behalf of the company, or to 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 part of those proceedings.
16. Rounding of amounts
The Group has applied the relief available to it in ASIC Legislative Instrument 2016/191 and accordingly amounts
included in this report and in the consolidated financial report have been rounded off to the nearest $1 (where rounding
is applicable).
Nexus Minerals Annual Report 2024
38
Directors’ Report
17. Non-audit services
Nexia Perth Pty Ltd performed taxation advisory services for Nexus Minerals Limited during the financial year ended
30 June 2024.
The Board has considered the non-audit services provided during the year and resolved that it is satisfied that the
provision of those non-audit services during the year by the Nexia Perth Pty Ltd is compatible with, and does not
compromise, the auditor independence requirements of the Corporations Act 2001. The non-audit services provided
did not undermine the general principles relating to auditor independence as set out in APES110 (Code of Ethics for
Professional Accountants (including Independence Standards)), as they did not involve reviewing or auditing the
auditor’s own work, acting in a management or decision-making capacity for the Group, acting as an advocate for
the Group or jointly sharing risks and rewards.
18. Auditor’s independence declaration under section 307C of the Corporations Act 2001
The auditor’s independence declaration as required under section 307C of the Corporations Act 2001 is set out on
page 39.
19. Significant changes in state of affairs
In the opinion of the Directors there were no significant changes in the state of affairs of the Group that occurred
during the year other than as previously disclosed in this report.
Signed in accordance with a resolution of the directors:
P Boyatzis
Chairman
Perth, Western Australia
Dated 24 September 2024
Page 39
Auditor’s Independence Declaration under section 307C of the Corporations Act 2001
To the Board of Directors of Nexus Minerals Limited
As lead auditor for the audit of the financial statements of Nexus Minerals 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:
(i)
the auditor independence requirements of the Corporations Act 2001 in relation to the audit; and
(ii) any applicable code of professional conduct in relation to the audit.
Nexia Perth Audit Services Pty Ltd
Muranda Janse Van Nieuwenhuizen
Director
Perth, Western Australia
24 September 2024
Nexus Minerals Annual Report 2024
40
Consolidated Statement of Profit or Loss
and Other Comprehensive Income
For the Year Ended 30 June 2024
Note
Consolidated
2024
$
Consolidated
2023
$
Revenue from continuing operations
3. (a)
1,359,176
-
Other income
3. (b)
-
49,000
Exploration expenditure expensed as incurred
(3,477,162)
(7,019,526)
Employee benefits
(368,579)
(342,106)
ASX and regulatory expenses
(129,540)
(128,070)
Depreciation
15, 16
(131,417)
(126,834)
Directors’ fees
(171,495)
(179,120)
Insurance
(39,532)
(48,492)
Legal and professional fees
(77,351)
(131,171)
Marketing and promotion
(146,647)
(179,645)
Travel expenses
-
(2,006)
Occupancy expenses
(81,804)
(69,158)
Share-based compensation
24
-
(533,794)
Loss on disposal of plant and equipment
-
(976)
Other expenses
(143,683)
(216,811)
Loss for the year before financial income
(3,408,034)
(8,928,709)
Financial income
238,083
110,681
Financial expenses
(8,231)
(11,790)
Net financial income
5
229,852
98,891
Loss from continuing operations before tax
(3,178,182)
(8,829,818)
Income tax expense
8
-
-
Loss for the year
(3,178,182)
(8,829,818)
Other comprehensive income
Items that may not be reclassified to profit and loss
Net change in the fair value of financial assets
12
459
(53,209)
Other comprehensive income for the year net of tax
459
(53,209)
Total comprehensive loss for the year
(3,177,723)
(8,883,027)
Earnings/(loss) per share
Basic and diluted loss per share
7
(0.9) cents
(2.8) cents
The accompanying notes form part of these consolidated financial statements.
Nexus Minerals Annual Report 2024
41
Consolidated Statement of Financial Position
As at 30 June 2024
Note
Consolidated
2024
$
Consolidated
2023
$
Current assets
Cash and cash equivalents
10
4,414,709
4,424,190
Trade and other receivables
11
103,336
144,323
Other financial assets
12 a)
140,237
134,196
Other assets
13
111,746
203,864
Total current assets
4,770,028
4,906,573
Non-current assets
Financial assets
12 b)
219,500
219,041
Exploration and evaluation assets
14
1,125,160
1,125,160
Right-of-use asset
15
54,806
91,344
Plant and equipment
16
268,740
306,619
Total non-current assets
1,668,206
1,742,164
Total assets
6,438,234
6,648,737
Current liabilities
Trade and other payables
17
462,536
298,839
Lease liabilities
18 a)
50,696
46,119
Provisions
19 a)
154,873
125,478
Total current liabilities
668,105
470,436
Non-current liabilities
Lease liabilities
18 b)
26,974
77,670
Provisions
19 b)
4,546
2,635
Total non-current liabilities
31,520
80,305
Total liabilities
699,625
550,741
Net assets
5,738,609
6,097,996
Equity
Issued capital
20
58,024,192
55,232,173
Reserves
21
2,114,537
2,087,761
Accumulated losses
22
(54,400,120)
(51,221,938)
Total equity
5,738,609
6,097,996
The accompanying notes form part of these consolidated financial statements.
Nexus Minerals Annual Report 2024
42
Consolidated Statement of Cashflows
For the Year Ended 30 June 2024
Note
Consolidated
2024
$
Consolidated
2023
$
Cash flows from operating activities
Receipts from exploration and related activities
-
75,000
Receipts from government grants
1,359,176
-
Interest received
267,188
104,807
Interest paid
(8,231)
(8,587)
Exploration expenditure
(2,257,385)
(6,499,507)
Payments to suppliers and employees
(2,119,638)
(2,044,764)
Net movement in GST
34,192
775,007
Net cash (used in) operating activities
27 b)
(2,724,698)
(7,598,044)
Cash flows from investing activities
Payments for purchase of plant and equipment
(57,000)
(42,271)
Proceeds from sale of plant and equipment
-
5,000
Payments for exploration interests
-
(100,000)
Net cash (used in) investing activities
(57,000)
(137,271)
Cash flows from financing activities
Proceeds from issue of shares
3,180,342
5,000,000
Proceeds from exercise of options
-
555,000
Share issue expenses
(362,006)
(210,131)
Repayment of lease liabilities
(46,119)
(31,772)
Net cash provided by financing activities
2,772,217
5,313,097
Net increase/(decrease) in cash and cash equivalents
(9,481)
(2,422,218)
Cash and cash equivalents at 1 July
4,424,190
6,846,408
Cash and cash equivalents at 30 June
10
4,414,709
4,424,190
The accompanying notes form part of these consolidated financial statements.
Nexus Minerals Annual Report 2024
43
Consolidated Statement of Changes in Equity
For the Year Ended 30 June 2024
30 June 2024
Issued
Capital
$
Accumulated
Losses
$
Share-based
Payment Reserve
$
Fair value
Reserve
$
Total
Equity
$
Balance at 1 July 2023
55,232,173
(51,221,938)
3,274,220
(1,186,459)
6,097,996
Total comprehensive loss for the year
Loss for the year
-
(3,178,182)
-
-
(3,178,182)
Other comprehensive income
Change in the fair value of financial assets
-
-
-
459
459
Total comprehensive loss for the year
-
(3,178,182)
-
459
(3,177,723)
Transactions with owners of the Company
recognised directly in equity
Issue of options
-
-
26,317
-
26,317
Issue of shares for cash
3,180,342
-
-
-
3,180,342
Share issue costs
(388,323)
-
-
-
(388,323)
Total transactions with owners of the
Company
2,792,019
-
26,317
-
2,818,336
Balance at 30 June 2024
58,024,192
(54,400,120)
3,300,537
(1,186,000)
5,738,609
Nexus Minerals Annual Report 2024
44
Consolidated Statement of Changes in Equity
For the Year Ended 30 June 2024
30 June 2023
Issued
Capital
$
Accumulated
Losses
$
Share-based
Payment Reserve
$
Fair value
Reserve
$
Total
Equity
$
Balance at 1 July 2022
49,755,368
(42,392,120)
2,872,362
(1,133,250)
9,102,360
Total comprehensive loss for the year
Loss for the year
-
(8,829,818)
-
-
(8,829,818)
Other comprehensive income
Change in the fair value of financial assets
-
-
-
(53,209)
(53,209)
Total comprehensive loss for the year
-
(8,829,818)
-
(53,209)
(8,883,027)
Transactions with owners of the Company
recognised directly in equity
Issue of options
-
-
533,794
-
533,794
Shares issued on conversion of options
686,936
-
(131,936)
-
555,000
Issue of shares for cash
5,000,000
-
-
-
5,000,000
Share issue costs
(210,131)
-
-
-
(210,131)
Total transactions with owners of the
Company
5,476,805
-
401,858
-
5,878,663
Balance at 30 June 2023
55,232,173
(51,221,938)
3,274,220
(1,186,459)
6,097,996
The accompanying notes form part of these consolidated financial statements.
Nexus Minerals Annual Report 2024
Notes to the Consolidated Financial Statements
For the Year Ended 30 June 2024
45
1. Material Accounting Policy Information
The accounting policies that are material to the Group are set out below. The accounting policies adopted are
consistent with those of the previous year, unless otherwise stated.
a) Statement of Compliance
These consolidated financial statements are general purpose financial statements which have been prepared in
accordance with the Corporations Act 2001 and Australian Accounting Standards issued by the Australian Accounting
Standards Board and comply with other requirements of the law.
The consolidated financial statements and notes of the Group comply with International Financial Reporting
Standards (‘IFRS’) issued by the International Accounting Standards Board.
The financial statements were authorised for issue by the directors on 24 September 2024.
b) Basis of Preparation
Nexus Minerals Limited (the “Company” or “Parent”) is a listed company domiciled in Australia. The Group’s principal
activity is mineral exploration in Australia.
Historical cost convention
The consolidated financial report has been prepared on the basis of historical cost, except for the revaluation of
financial instruments. Cost is based on the fair value of the consideration given in exchange for assets. All amounts
are presented in Australian dollars, the Group’s functional currency, unless otherwise noted.
Critical accounting estimates and judgements
The preparation of the financial statements requires the use of certain critical accounting estimates. It also requires
management to exercise its judgement in the process of applying the Group’s accounting policies. The areas
involving a higher degree of judgement or complexity, or areas where assumptions and estimates are significant to
the financial statements are disclosed in note 2.
c) Financial position
The financial report has been prepared on the going concern basis, which contemplates continuity of normal business
activities and the realisation of assets and settlements of liabilities in the ordinary course of business.
The Group has reported a net loss for the year of $3,178,182 (2023: $8,829,818) and a cash outflow from operating
activities of $2,724,698 (2023: $7,598,044).
At year end, the Group had $4,414,709 (2023: $4,424,190) in cash and cash equivalents and a working capital surplus
of $4,101,923 (2023: $4,436,137). In addition the Group completed a capital raising in September 2024 (see note
29). The directors manage discretionary expenditure in line with the Group’s cash flow and are confident that there
are sufficient funds to meet the Group’s working capital and funding requirements for a minimum of 12 months from
the date of this report.
d) Adoption of New and Revised Accounting Standards
The Group has adopted all of the new and revised Standards and Interpretations issued by the Australian Accounting
Standards Board (the AASB) that are relevant to their operations and effective for the current year.
Any new or amended Accounting Standards or Interpretations that are not yet mandatory have not been early
adopted.
Nexus Minerals Annual Report 2024
Notes to the Consolidated Financial Statements
For the Year Ended 30 June 2024
46
New Accounting Standards and Interpretations not yet mandatory or early adopted
The Directors have also reviewed all of the new and revised Standards and Interpretations on issue not yet adopted
for the year ended 30 June 2024. As a result of this review the Directors have determined that there is no material
impact of the Standards and Interpretations on issue not yet adopted on the Group and, therefore, no change is
necessary to Group accounting policies.
e) Principles of Consolidation
The consolidated financial statements comprise the consolidated financial statements of Nexus Minerals Limited and
its subsidiaries as at 30 June each year. Control is achieved where the Company has exposure to variable returns
from the entity and the power to affect those returns.
The financial statements of the subsidiaries are prepared for the same reporting period as the Company, using
consistent accounting policies.
In preparing the consolidated financial statements, all intercompany balances and transactions, income and expenses
and profit and losses resulting from intra-group transactions have been eliminated in full.
Subsidiaries are fully consolidated from the date on which control is transferred to the Group and cease to be
consolidated from the date on which control is transferred out of the Group. The existence and effect of potential
voting rights that are currently exercisable or convertible are considered when assessing when the Group controls
another entity.
Unrealised gains or transactions between the Group and its associates are eliminated to the extent of the Group’s
interests in the associates. Unrealised losses are also eliminated unless the transaction provides evidence of an
impairment of the asset transferred. Accounting policies of associates have been changed where necessary to ensure
consistency with the policies adopted by the Group.
Non-controlling interests represent the portion of profit or loss and net assets in subsidiaries not held by the Group
and are presented separately in the consolidated statement of profit and loss and other comprehensive income and
within equity in the consolidated statement of financial position. Losses are attributed to the non-controlling interests
even if that results in a deficit balance.
The Group treats transactions with non-controlling interests that do not result in a loss of control as transactions with
equity owners of the Group. A change in ownership interest results in an adjustment between the carrying amounts
of the controlling and non-controlling interests to reflect their relative interests in the subsidiary. Any difference
between the amount of the adjustment to non-controlling interests and any consideration paid or received is
recognised within equity attributable to owners of Nexus Minerals Limited.
When the Group ceases to have control, joint control or significant influence, any retained interest in the entity is
remeasured to its fair value with the change in carrying amount recognised in profit or loss. The fair value is the initial
carrying amount for the purposes of subsequently accounting for the retained interest as an associate, joint controlled
entity or financial asset. In addition, any amounts previously recognised in other comprehensive income in respect
of that entity are accounted for as if the Group had directly disposed of the related assets or liabilities. This may mean
that amounts previously recognised in other comprehensive income are reclassified to profit or loss.
f)
Revenue and Other Income
1. Interest Income
Interest income is recognised when it is probable that the economic benefits will flow to the Group and the amount
of income can be measured reliably. Interest income is accrued on a time basis, by reference to the principal
outstanding and at the effective interest rate applicable, which is the rate that exactly discounts estimated future cash
receipts through the expected life of the financial asset to that asset’s net carrying amount on initial recognition.
Nexus Minerals Annual Report 2024
Notes to the Consolidated Financial Statements
For the Year Ended 30 June 2024
47
2. Research & Development Rebate
Research and development rebates are recognised when there is reasonable assurance that the rebate will be
received, and the entity will comply with the conditions attached to it. Management judgement is required to assess
that the rebate meets the recognition criteria and in determining the measurement of the rebate including the
assessment of the eligibility and appropriateness of the apportionment of eligible expenses based on research
and development activities undertaken by the consolidated entity and taking into consideration relevant legislative
requirements.
3. Other Revenue
The Group’s other revenue consists of charges for the use of the Company’s exploration camp by third parties,
primarily drilling contractors. Revenue is recognised when the performance obligation has been performed.
Plant and Equipment
Items of plant and equipment are measured at cost less accumulated depreciation and impairment losses.
Depreciation is charged to the statement of profit or loss and other comprehensive income on a straight-line basis
over the estimated useful lives of each part of an item of plant and equipment. The estimated useful lives in the
current and comparative periods are as follows:
(i)
Office furniture and equipment
4 to 7 years
(ii)
Computer software
2.5 years
(iii)
Computer hardware
4 years
(iv)
Exploration equipment
7 years
(v)
Leasehold improvements
6 years
Depreciation methods, useful lives and residual values are reviewed at each reporting date.
g) Cash and Cash Equivalents
Cash comprises cash at bank and in hand. Cash equivalents are short term, highly liquid investments that are readily
convertible to known amounts of cash and which are subject to an insignificant risk of changes in value. Bank
overdrafts are shown within borrowings in current liabilities in the statement of financial position.
For the purposes of the consolidated statement of cash flows, cash and cash equivalents consist of cash and cash
equivalents as defined above, net of outstanding bank overdrafts.
h) Impairment
Non-financial assets
The carrying amounts of the Group’s non-financial assets are reviewed at each reporting date to determine whether
there is any indication of impairment. If any such indication exists then the asset’s recoverable amount is estimated.
The recoverable amount of an asset or cash-generating unit is the greater of its value in use and its fair value less
costs to sell. In assessing value in use, the estimated future cash flows are discounted to their present value using
a pre-tax discount rate that reflects current market assessments of the time value of money and the risks specific to
the asset. For the purpose of impairment testing, assets are grouped together into the smallest group of assets that
generates cash inflows from continuing use that are largely independent of the cash inflows of other assets or groups
of assets (the “cash-generating unit”). The goodwill acquired in a business combination, for the purpose of
impairment testing, is allocated to cash-generating units that are expected to benefit from the synergies of the
combination.
An impairment loss is recognised if the carrying amount of an asset or its cash-generating unit exceeds its
recoverable amount. Impairment losses are recognised in profit or loss. Impairment losses recognised in respect of
cash-generating units are allocated first to reduce the carrying amount of any goodwill allocated to the units and then
to reduce the carrying amount of the other assets in the unit (group of units) on a pro rata basis.
Nexus Minerals Annual Report 2024
Notes to the Consolidated Financial Statements
For the Year Ended 30 June 2024
48
An impairment loss in respect of goodwill is not reversed. In respect of other assets, impairment losses recognised
in prior periods are assessed at each reporting date for any indications that the loss has decreased or no longer
exists. An impairment loss is reversed if there has been a change in the estimates used to determine the recoverable
amount. An impairment loss is reversed only to the extent that the asset’s carrying amount does not exceed the
carrying amount that would have been determined, net of depreciation or amortisation, if no impairment loss had
been recognised.
i)
Issued Capital
Ordinary shares
Ordinary shares are classified as issued capital. Incremental costs directly attributable to the issue of ordinary shares
and share options are recognised as a deduction from equity, net of any tax effects.
j)
Employee Benefits
A liability is recognised for benefits accruing to employees in respect of wages and salaries, annual leave, and long
service leave when it is probable that settlement will be required, and they are capable of being measured reliably.
Liabilities recognised in respect of short-term employee benefits, are measured at their nominal values using the
remuneration rate expected to apply at the time of settlement.
Liabilities recognised in respect of long term employee benefits are measured at the present value of the estimated
future cash outflows to be made by the Group in respect of services provided by employees up to reporting date.
Contributions to defined contribution retirement benefit plans are recognised as an expense when employees have
rendered service entitling them to the contributions.
k) Income Tax
Income tax on the consolidated statement of profit or loss and other comprehensive income for the periods presented
comprises current payable and deferred tax. Income tax is recognised in the consolidated statement of
comprehensive income except to the extent that it relates to items recognised directly in equity, in which case it is
recognised in equity.
Current tax is the expected tax payable on the taxable profit for the year. Taxable profit differs from profit as reported
in the consolidated statement of comprehensive income because of items of income or expense that are taxable or
deductible in other years and items that are not taxable or deductible. The Group’s liability for current tax is calculated
using tax rates enacted or substantially enacted at the balance date, and any adjustment to tax payable in respect
of previous years.
Deferred tax is provided using the balance sheet liability method, providing for temporary differences between the
carrying amounts of assets and liabilities for financial reporting purposes and the amounts used for taxation purposes.
The following temporary differences are not provided for: the initial recognition of assets or liabilities that affect neither
accounting, nor taxable profit and differences relating to investments in subsidiaries to the extent that they will
probably not reverse in the foreseeable future. The amount of deferred tax provided is based on the expected manner
of realisation or settlement of the carrying amount of assets and liabilities, using tax rates enacted or substantively
enacted at the balance sheet date.
A deferred tax asset is recognised only to the extent that it is probable that future taxable profits will be available
against which the asset can be utilised. Deferred tax assets are reduced to the extent that it is no longer probable
that the related tax benefit will be realised.
l)
Provisions
Provisions are recognised when the Group has a present obligation (legal or constructive) as a result of a past event,
it is probable that the Group will be required to settle the obligation, and a reliable estimate can be made of the
amount of the obligation.
Nexus Minerals Annual Report 2024
Notes to the Consolidated Financial Statements
For the Year Ended 30 June 2024
49
The amount recognised as a provision is the best estimate of the consideration required to settle the present
obligation at the end of the reporting period, taking into account the risks and uncertainties surrounding the obligation.
Where a provision is measured using the cash flows estimated to settle the present obligation, its carrying amount is
the present value of those cash flows.
When some or all the economic benefits required to settle a provision are expected to be recovered by a third party,
a receivable is recognised as an asset if it is virtually certain that reimbursement will be received, and the amount of
the receivable can be measured reliably.
A provision is recognised in the statement of financial position when the Group has a present legal or constructive
obligation as a result of a past event, and it is probable that an outflow of economic benefits will be required to settle
the obligation. If the effect is material, provisions are determined by discounting the expected future cash flows at a
pre-tax rate that reflects current market assessments of the time value of money and, when appropriate, the risks
specific to the liability.
m) Goods and Services Tax
Revenues, expenses and assets are recognised net of the amount of goods and services tax (GST) except:
i.
Where the amount of GST incurred is not recoverable from the taxation authority, it is recognised as part of the
cost of acquisition of an asset or as part of an item of expense; or
ii. for receivables and payables which are recognised inclusive of GST.
The net amount of GST recoverable from, or payable to, the taxation authority is included as part of the receivables
or payables.
Cash flows are included in the consolidated statement of cash flows on a gross basis. The GST component of cash
flows arising from investment or financing activities that is payable to, or recoverable from, the taxation authority is
classified within operating cash flows.
n) Exploration and evaluation
Exploration and evaluation costs, excluding the costs of acquiring licences, are expensed as incurred. Acquisition
costs will be assessed on a case by case basis and, if appropriate, they will be capitalised as exploration assets.
These acquisition costs are only carried forward if the rights to tenure of the area of interest are current and either:
•
They are expected to be recouped through successful development and exploitation of the area of interest; or
•
The activities in the area of interest at the reporting date have not reached a stage which permits a reasonable
assessment of the existence or otherwise of economically recoverable reserves, and active and significant
operations in, or in relation to, the area of interest is continuing.
Accumulated acquisition costs in relation to an abandoned area are written off in full against profit in the year in which
the decision to abandon the area is made.
The carrying values of acquisition costs are reviewed for impairment when events or changes in circumstances
indicate the carrying value may not be recoverable.
o) Earnings per Share
The Company presents basic and diluted earnings per share (EPS) data for its ordinary shares. Basic EPS is
calculated by dividing the profit or loss attributable to ordinary shareholders of the Company by the weighted average
number of ordinary shares outstanding during the period. Diluted EPS is determined by adjusting the profit or loss
attributable to ordinary shareholders and the weighted average number of shares outstanding for the effects of all
dilutive potential ordinary shares, which comprise share options granted.
Nexus Minerals Annual Report 2024
Notes to the Consolidated Financial Statements
For the Year Ended 30 June 2024
50
p) Segment Reporting
Operating segments are reported in a manner consistent with the internal reporting provided to the chief operating
decision maker. The chief operating decision maker, who is responsible for allocating resources and assessing
performance of the operating segments, has been identified as the Board of Directors of Nexus Minerals Limited.
q) Share-based payment transactions
(i) Equity settled transactions:
The Group provides benefits to directors and executives of the Group in the form of share-based payments, whereby
directors and executives render services in exchange for shares or rights over shares (equity-settled transactions).
The cost of these equity-settled transactions with directors and executives is measured by reference to the fair value
of the equity instruments at the date at which they are granted. The fair value is determined using an appropriate
option valuation, further details of which are given in note 24.
In valuing equity-settled transactions, no account is taken of any performance conditions, other than conditions linked
to the price of the shares of the Group (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, ending on the date on which the relevant directors
become fully entitled to the award (the vesting period).
The cumulative expense recognised for equity-settled transactions at each reporting date until vesting date reflects
(i) the extent to which the vesting period has expired and (ii) the Group’s best estimate of the number of equity
instruments that will ultimately vest. No adjustment is made for the likelihood of market performance conditions being
met as the effect of these conditions is included in the determination of fair value at grant date. The profit or loss
charge or credit for a period represents the movement in cumulative expense recognised as at the beginning and
end of that period.
No expense is recognised for awards that do not ultimately vest, except for awards where vesting is only conditional
upon a market condition.
If the terms of an equity-settled award are modified, as a minimum an expense is recognised as if the terms had not
been modified. In addition, an expense is recognised for any modification that increases the total fair value of the
share-based payment arrangement, or is otherwise beneficial to the 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.
r) Trade and Other Payables
Trade payables and other payables are carried at amortised cost and represent liabilities for goods and services
provided to the Group prior to the end of the financial year that are unpaid and arise when the Group becomes obliged
to make future payments in respect of the purchase of these goods and services.
s) Leases
At inception of a contract, the consolidated entity assesses whether a contract is, or contains, a lease. A contract is
considered to contain a lease if it allows the consolidated entity the right to control the use of an identified asset over
a period of time in return for consideration. Where a contract or arrangement contains a lease, the consolidated entity
recognises a right-of-use asset and a lease liability at the commencement date of the lease.
A right-of-use asset is initially measured at cost, which is the present value of future lease payments adjusted for any
lease payments made at or before the commencement date, plus any make-good obligations and initial direct costs
Nexus Minerals Annual Report 2024
Notes to the Consolidated Financial Statements
For the Year Ended 30 June 2024
51
incurred. Lease assets are depreciated using the straight-line method over the shorter of their useful life and the
lease term. Periodic adjustments are made for any re-measurements of the lease liabilities and for impairment losses.
Lease liabilities are initially measured at the present value of future minimum lease payments, discounted using the
consolidated entity’s incremental borrowing rate if the rate implicit in the lease cannot be readily determined, and are
subsequently measured at amortised cost using the effective interest rate. Minimum lease payments include fixed
payments, amounts expected to be paid under a residual value guarantee, the exercise price of purchase options for
which the consolidated entity is reasonably certain to exercise and incorporate the consolidated entity’s expectations
of lease extension options.
The lease liability is remeasured when there are changes in future lease payments arising from a change in rates,
index or lease terms from exercising an extension or termination option. A corresponding adjustment is made to the
carrying amount of the lease assets.
Short term leases (lease term of 12 months or less) and leases of low value assets ($5,000 or less) are recognised
as incurred as an expense in the consolidated income statement. Low value assets comprise computers and items
of IT equipment. The consolidated entity has no short term leases nor leases of low value assets.
2. Critical accounting judgements and key sources of estimation of uncertainty
In the application of the Group’s accounting policies which are described in note 1, the directors are required to make
judgments, estimates and assumptions about the carrying amounts of assets and liabilities that are not readily
apparent from other sources. The estimates and associated assumptions are based on historical experience and
other factors that are considered to be relevant. Actual results may differ from these estimates.
The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates
are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the
estimate is revised if the revision affects only that period, or in the period of the revision and future periods if the
revision affects both current and future periods.
Share-based Payment Transactions
The Group measures the cost of equity-settled transactions with directors and executives by reference to the fair
value of the equity instruments at the date at which they are granted. The fair value was determined using a Black-
Scholes model, using the assumptions detailed in note 24.
Exploration and evaluation assets carried forward
The recoverability of the carrying amount of exploration assets has been reviewed by the directors. In conducting the
review, the directors have elected for exploration assets relating to the acquisition of licenses to be carried at cost.
All other exploration and evaluation costs are expensed during the financial year in which they are incurred.
Recovery of deferred tax assets
Deferred tax assets are recognised for deductible temporary differences only when management considers that it is
probable that sufficient future tax profits will be available to utilise those temporary differences. Significant
management judgement is required to determine the amount of deferred tax assets that can be recognised, based
upon the likely timing and the level of future taxable profits over the next two years together with future tax planning
strategies.
Nexus Minerals Annual Report 2024
Notes to the Consolidated Financial Statements
For the Year Ended 30 June 2024
52
3. Revenue
Consolidated
2024
$
Consolidated
2023
$
3. (a)
Revenue
Joint Venture contribution
-
-
R & D tax incentive
1,359,176
-
1,359,176
-
3. (b) Other income
Camp usage fees
-
49,000
-
49,000
4. Loss before income tax
Loss before income tax expense has been arrived at
after charging the following items:
Depreciation
131,416
126,834
5. Financing income
Interest income
238,083
110,681
Interest expense
(8,231)
(11,790)
229,852
98,891
6. Auditors’ remuneration
During the year the following fees were paid or
payable for services provided by the auditors of the
Group, its related practices and non-related audit
firms:
Audit and review services:
Nexia Perth Audit Services Pty Ltd
48,122
38,527
48,122
38,527
Taxation and other services:
Nexia Perth Pty Ltd
8,000
21,950
8,000
21,950
Nexus Minerals Annual Report 2024
Notes to the Consolidated Financial Statements
For the Year Ended 30 June 2024
53
Consolidated
2024
$
Consolidated
2023
$
7. Earnings/(loss) per share
Earnings/(loss) per share calculated using the
weighted average number of fully paid ordinary
shares on issue at the reporting date
(0.9) cents
(2.8) cents
Loss per share – continuing operations
(0.9) cents
(2.8) cents
a) Number of ordinary shares on issue at 30 June
389,060,129
325,453,309
Weighted average number of shares used in
calculation of basic and diluted loss per share
372,666,574
315,897,753
b) Loss used in calculating basic and diluted loss per
share
$3,178,182
$8,829,818
c) Loss used in calculating basic and diluted loss per
share in continued operations
$3,178,182
$8,829,818
The Company’s potential ordinary shares, being options granted, are not considered dilutive as conversion of these
options to shares would result in a decrease in the net loss per share.
Consolidated
2024
$
Consolidated
2023
$
8. Income taxes
Recognised in the statement of comprehensive
income
The major components of the tax expense/(income)
are:
Current tax expense
-
-
Deferred tax expense/(income) relating to the
origination and reversal of temporary timing
differences
-
-
Total income tax attributable to continuing operations
-
-
Nexus Minerals Annual Report 2024
Notes to the Consolidated Financial Statements
For the Year Ended 30 June 2024
54
Consolidated
2024
$
Consolidated
2023
$
8. Income taxes (continued)
The prima facie income tax expense/(benefit) on pre-
tax accounting result from operations reconciles to
the income tax expense in the financial statements
as follows:
Numerical reconciliation between aggregate
income tax expense recognised in the statement
of comprehensive income and tax expense
calculated per the statutory income tax rate.
Profit/(loss) before income tax expense from
continuing operations
(3,178,182)
(8,829,818)
Income tax expense/(income) calculated at 30%
(2023: 30%)
(953,455)
(2,648,945)
Prior year under-provision
-
-
Effect of expenses that are not deductible in
determining taxable profit
1,269
160,138
Effect of revenues that are not assessable in
determining taxable profit
(405,472)
-
Adjustments recognised in the current year in
relation to tax of previous years
971,733
Effect of temporary differences that would be
recognised directly in equity
(116,359)
(78,926)
Effect of unused tax losses and tax offsets not
recognised as deferred tax assets
502,284
2,567,733
Income tax expense/(benefit)
-
-
The tax rate used in the above reconciliation is the corporate tax rate of 30% (2023: 30%) payable by Australian
corporate entities on taxable profits under Australian tax law.
Nexus Minerals Annual Report 2024
Notes to the Consolidated Financial Statements
For the Year Ended 30 June 2024
55
Consolidated
2024
$
Consolidated
2023
$
8. Income taxes (continued)
Unrecognised deferred tax assets/(liabilities)
The following deferred tax assets have not been
brought to account:
Tax losses – revenue
14,519,987
13,926,769
Temporary differences
607,872
698,805
15,127,859
14,625,574
Deferred tax assets/(liabilities) not recognised in
respect of the following items:
Items capitalised for tax purposes
(83,962)
(24,777)
Trade and other receivables
(11,928)
(1,253)
Trade and other payables
4,365
7,455
Employee benefits
48,271
38,434
Financial assets
181,085
355,938
Right-of-use lease liability
23,301
37,137
Other future deductions
463,182
313,274
Right-of-use asset
(16,442)
(27,403)
Tax losses carry forward
14,519,987
13,926,769
Total deferred tax assets not recognised
15,127,859
14,625,574
Potential deferred tax assets attributable to tax losses have not been brought to account at 30 June 2024 because
the directors do not believe it is appropriate to regard realisation of the deferred tax assets as probable at this point
in time. These benefits will only be obtained if:
i.
the Group derives future assessable income of a nature and of an amount sufficient to enable the benefit from
the deductions for the loss and exploration expenditure to be realised;
ii.
the Company continues to comply with conditions for deductibility imposed by law; and
iii.
no changes in legislation adversely affect the Group in realising the benefit from the deductions for the loss
and exploration expenditure.
Nexus Minerals Annual Report 2024
Notes to the Consolidated Financial Statements
For the Year Ended 30 June 2024
56
9. Financial instruments
Overview
The Group has exposure to the following risks from their use of financial instruments:
•
Credit risk
•
Liquidity risk
•
Market risk
This note presents information about the Group’s exposure to each of the above risks, their objectives, policies and
processes for measuring and managing risk, and the management of capital. Further quantitative disclosures are
included throughout this financial report.
The Board of Directors has overall responsibility for the establishment and oversight of the risk management
framework. Management monitors and manages the financial risks relating to the operations of the Group through
regular reviews of the risks.
Credit Risk
Credit risk is the risk of financial loss to the Group if a customer or counterparty to a financial instrument fails to meet
its contractual obligations and arises principally from the Group’s receivables from customers and investment
securities.
Investments
The Group limits its exposure to credit risk by only investing in liquid securities and only with counterparties that have
an acceptable credit rating. Cash and cash equivalents and term deposit investments are held with Westpac Bank,
which is an Australian bank with an AA- credit rating (Standard & Poor’s).
Trade and Other Receivables
As the Group operates in the mining exploration sector it does not have trade receivables and is therefore not
exposed to credit risk in relation to trade receivables. Other receivables include GST credits and cashflow boost
payments receivable from the Australian Taxation Office.
Presently, the Group undertakes exploration and evaluation activities in Australia. At the reporting date there were
no significant concentrations of credit risk.
Exposure to Credit Risk
The carrying amount of the Group’s financial assets represents the maximum credit exposure. The Group’s
maximum exposure to credit risk at the reporting date was:
Carrying amount
Note
Consolidated
2024
$
Consolidated
2023
$
Cash and bank balances
10
4,414,709
4,424,190
Trade and other receivables
11
9,311
44,456
Term deposit investments
12
140,237
134,196
Nexus Minerals Annual Report 2024
Notes to the Consolidated Financial Statements
For the Year Ended 30 June 2024
57
Credit Risk
None of the Company’s trade and other receivables are past due (2023: $nil). As the Group is not trading there is
no management of credit risk performed through an ageing analysis.
Liquidity Risk
Liquidity risk is the risk that the Group will not be able to meet its financial obligations as they fall due. The Group’s
approach to managing liquidity is to ensure, as far as possible, that it will always have sufficient liquidity to meet its
liabilities when due, under both normal and stressed conditions, without incurring unacceptable losses or risking
damage to the Group’s reputation.
The Group manages liquidity risk by maintaining adequate reserves by continuously monitoring forecast and actual
cash flows.
Typically, the Group ensures it has sufficient cash on demand to meet expected operational expenses for a minimum
period of 90 days.
Carrying
amount
$
Contractual
cash flows
$
6 months or
less
$
6 months or
more
$
30 June 2024
Trade and other payables
424,025
(424,025)
(424,025)
-
Lease liabilities
77,670
(77,670)
(24,821)
(52,849)
501,695
(501,695)
(448,846)
(55,849)
30 June 2023
Trade and other payables
267,584
(267,584)
(267,584)
-
Lease liabilities
123,789
(123,789)
(22,310)
(101,479)
391,373
(391,373)
(289,894)
(101,479)
The weighted average interest rate on lease liabilities is 8.35% (2023: 8.35%)
Market Risk
Market risk is the risk that changes in market prices, such as foreign exchange rates, interest rates and equity prices
will affect the Group’s income or the value of its holdings of financial instruments. The objective of market risk
management is to manage and control market risk exposures within acceptable parameters, while optimising the
return.
Currency risk
The Group currently undertakes no transactions denominated in foreign currencies. The Group has no hedging policy
in place to manage those risks, however all foreign exchange purchases are settled promptly.
Interest rate risk
The Group is exposed to interest rate risk due to variable interest being earned on its assets held in cash and cash
equivalents.
The Group has no borrowings.
Nexus Minerals Annual Report 2024
Notes to the Consolidated Financial Statements
For the Year Ended 30 June 2024
58
Profile
At the reporting date the interest rate profile of the Group’s interest-bearing financial instruments was:
Consolidated 2024
Consolidated 2023
Carrying
amount
$
Weighted
Average
Interest rate
%
Carrying
amount
$
Weighted
Average
Interest rate
%
Fixed rate instruments
Term deposit investments
140,237
5.04
134,196
3.92
Variable rate instruments
Cash and bank balances
4,414,709
4.57
4,424,190
4.10
Cash Flow Sensitivity Analysis for Variable Rate Instruments
A change of 100 basis points would have increased/(decreased) equity and profit or loss by the amounts shown
below. This analysis assumes that all other variables remain constant. The analysis is performed on the same basis
for 2023.
Equity
Profit and Loss
100bp
increase
100bp
decrease
100bp
increase
100bp
decrease
30 June 2024
Variable rate instruments
44,147
(44,147)
44,147
(44,147)
30 June 2023
Variable rate instruments
44,242
(44,242)
44,242
(44,242)
Fair value of financial instruments
The Group is disclosing the fair value of financial assets and financial liabilities by level of the following fair value
measurement hierarchy:
•
Quoted prices (unadjusted) in active markets for identical assets or liabilities (level 1)
•
Inputs other than quoted prices included within level 1 that are observable for the asset or liability, either directly
(as prices) or indirectly (derived from prices) (level 2), and
•
Inputs for the asset or liability that are not based on observable market data (unobservable inputs) (level 3).
Nexus Minerals Annual Report 2024
Notes to the Consolidated Financial Statements
For the Year Ended 30 June 2024
59
The following table presents the Group’s assets and liabilities measured and recognised at fair value at 30 June 2024
and 30 June 2023.
Consolidated
30 June 2024
Level 1
$
Level 2
$
Level 3
$
Total
$
Assets
Financial assets
219,500
-
-
219,500
Consolidated
30 June 2023
Level 1
$
Level 2
$
Level 3
$
Total
$
Assets
Financial assets
219,041
-
-
219,041
The fair value of financial instruments traded in active markets (such as equity securities) is based on quoted market
prices at the end of the reporting period. The quoted market price used for financial assets held by the Group is the
closing price at reporting date. These instruments are included in level 1.
Capital Management
The Board’s policy is to maintain a strong capital base so as to maintain investor, creditor and market confidence
and to sustain future development of the business.
There were no changes in the Company’s approach to capital management during the year. The Company is not
subject to externally imposed capital requirements.
Consolidated
2024
$
Consolidated
2023
$
10. Cash and cash equivalents
Cash at hand
47
67
Cash at bank
4,414,662
4,424,123
4,414,709
4,424,190
%
%
Weighted average interest rate
4.57
4.10
Nexus Minerals Annual Report 2024
Notes to the Consolidated Financial Statements
For the Year Ended 30 June 2024
60
Consolidated
2024
$
Consolidated
2023
$
11. Trade and other receivables
Current
GST/WHT receivable
94,025
99,866
Interest receivable
8,786
43,932
Other receivables
525
525
103,336
144,323
Trade and other receivables are non-interest bearing.
12. Financial assets
a)
Current
Term deposit investments
140,237
134,196
140,237
134,196
b)
Non-current
Fair value at beginning of the year
219,041
272,250
Revaluation taken to reserve
459
(53,209)
Fair value at end of the year
219,500
219,041
Term deposit investments comprise term deposits with a maturity date of 6 to 12 months and attract a weighted
average interest rate of 5.04% (2023: 3.92%).
13. Other assets
Current
Prepayments
39,760
42,408
Deposit paid
70,530
160,000
Withholding tax
1,456
1,456
111,746
203,864
Nexus Minerals Annual Report 2024
Notes to the Consolidated Financial Statements
For the Year Ended 30 June 2024
61
Consolidated
2024
$
Consolidated
2023
$
14. Exploration and evaluation assets
Non-current
Balance at beginning of the year
1,125,160
1,125,160
Balance at end of the year
1,125,160
1,125,160
The reconciliation of exploration assets is as follows:
Opening carrying value
1,125,160
1,125,160
Closing carrying value
1,125,160
1,125,160
The ultimate recoupment of acquisition costs carried forward for exploration and evaluation phases is dependent on
the successful development and commercial exploitation or sale of the respective areas. At the reporting date the
exploration projects have not reached a stage where this determination can be made.
15. Right-of-use asset
Non-current
Carrying value
Land and buildings – Cost
146,150
146,150
Less: Accumulated amortisation
(91,344)
(54,806)
54,806
91,344
The reconciliation of right-of-use assets is as follows:
Opening carrying value
91,344
127,881
Amortisation
(36,538)
(36,537)
Closing carrying value
54,806
91,344
Nexus Minerals Annual Report 2024
Notes to the Consolidated Financial Statements
For the Year Ended 30 June 2024
62
Consolidated
2024
$
Consolidated
2023
$
16. Plant and equipment
Exploration equipment at cost
195,052
139,503
Accumulated depreciation
(78,868)
(49,635)
116,184
89,868
Leasehold improvements at cost
95,691
95,691
Accumulated amortisation
(57,522)
(34,707)
38,169
60,984
Computer & office equipment at cost
207,351
205,899
Accumulated depreciation
(145,624)
(113,552)
61,727
92,347
Motor vehicle at cost
85,845
85,845
Accumulated depreciation
(33,185)
(22,425)
52,660
63,420
Total carrying value
268,740
306,619
The reconciliation of plant and equipment is as
follows:
Opening carrying value
306,619
360,621
Additions
57,000
42,271
Disposals at carrying value
-
(5,976)
Depreciation
(94,879)
(90,297)
Closing carrying value
268,740
306,619
17. Trade and other payables
Current
Trade Creditors
258,312
216,878
Accruals
164,228
50,704
Other creditors
39,996
31,257
Trade creditors and accruals
462,536
298,839
All trade creditors and accruals are non-interest bearing.
Nexus Minerals Annual Report 2024
Notes to the Consolidated Financial Statements
For the Year Ended 30 June 2024
63
Consolidated
2024
$
Consolidated
2023
$
18. Lease liabilities
a)
Current
Lease liabilities
50,696
46,119
b)
Non-current
Lease liabilities
26,794
77,670
The Group leases office premises. The lease term is 4 years with 2 options to extend, each for a further 2 years.
Underlying assets serve as security for the related lease liabilities. A maturity analysis of future minimum lease
payments is presented below:
Lease payments due $
30 June 2024
<1 year
1-2 years
>2 years
Lease payments
54,888
27,444
-
Interest
(4,192)
(470)
-
Net present value
50,696
26,974
-
Lease payments due $
30 June 2023
<1 year
1-2 years
>2 years
Lease payments
54,350
54,888
27,444
Interest
(8,231)
(4,192)
(470)
Net present value
46,119
50,696
26,974
Consolidated
2024
$
Consolidated
2023
$
19. Provisions
a)
Current
Annual Leave
81,099
68,656
Long service leave
73,774
56,822
154,873
125,478
b)
Non-current
Long service leave
4,546
2,635
Nexus Minerals Annual Report 2024
Notes to the Consolidated Financial Statements
For the Year Ended 30 June 2024
64
Company
2024
$
Company
2023
$
20. Share capital
Fully paid ordinary shares
58,024,192
55,232,173
Movements during the year
2024
Number
2024
$
2023
Number
2023
$
Balance at beginning of year
325,453,309
55,232,173
289,675,531
49,755,368
Shares issued for cash
63,606,820
3,180,342
27,777,778
5,000,000
Shares issued on conversion of
options
-
-
8,000,000
686,936
Transaction costs arising on share
issues
-
(388,323)
-
(210,131)
Balance at end of year
389,060,129
58,024,192
325,453,309
55,232,173
Options
The movement of listed options on issue during the financial year is set out below:
Exercise
price $
Expiry date
Balance at
beginning
of year
Issued
Exercised
Lapsed
Balance at
end of year
0.13
26/03/2025
-
34,723,777
-
-
34,723,777
-
34,723,777
-
-
34,723,777
The movement of the unlisted options on issue during the financial year is set out below:
Exercise
price $
Expiry date
Balance at
beginning
of year
Issued
Exercised
Lapsed
Balance at
end of year
0.50
28/09/2024
1,000,000
-
-
-
1,000,000
0.68
09/11/2023
4,000,000
-
-
(4,000,000)
-
0.68
09/11/2024
6,500,000
-
-
-
6,500,000
0.27
22/11/2025
5,000,000
-
-
-
5,000,000
16,500,000
-
-
(4,000,000)
12,500,000
Nexus Minerals Annual Report 2024
Notes to the Consolidated Financial Statements
For the Year Ended 30 June 2024
65
Consolidated
2024
$
Consolidated
2023
$
21. Reserves
Share-based payment reserve
3,300,537
3,274,220
Fair value reserve
(1,186,000)
(1,186,459)
2,114,537
2,087,761
Movements:
Share-based payment reserve
Balance at beginning of year
3,274,220
2,872,362
Options exercised during the year
-
(131,936)
Share-based payments issued
26,317
533,794
Balance at end of year
3,300,537
3,274,220
Assets classified as Fair value through OCI
Balance at beginning of year
(1,186,459)
(1,133,250)
Increase/(decrease) in fair value recognised in
reserve
459
(53,209)
Balance at end of year
(1,186,000)
(1,186,459)
Share-based payment reserve
The share-based payment reserve is used to record the value of equity benefits provided to directors and executives
as part of their remuneration. Refer to note 24 for further details of these payments.
Fair value reserve
This reserve is used to record equity instruments which are measured at fair value with changes in fair value
recognised in other comprehensive income (OCI). The gains and losses on equity instruments are recognised in OCI
are not recycled on disposal of the asset and there is no separate impairment accounting. If the fair value of the
equity instrument declines, this decrease is recorded through OCI.
Consolidated
2024
$
Consolidated
2023
$
22. Accumulated losses
Balance at beginning of year
51,221,938
42,392,120
Loss for the year
3,178,182
8,829,818
Balance at end of year
54,400,120
51,221,938
Nexus Minerals Annual Report 2024
Notes to the Consolidated Financial Statements
For the Year Ended 30 June 2024
66
Consolidated
2024
$
Consolidated
2023
$
23. Commitments
Exploration Expenditure Commitments
Minimum exploration expenditure
Not later than 1 year
1,058,580
799,800
Later than 1 year but not later than 5 years
1,852,407
2,324,344
Later than 5 years
185,863
427,882
3,096,850
3,552,026
Exploration expenditure commitments are only mandatory to the extent the Group wishes to retain tenure to the
underlying tenements.
24. Share-based payments
During the year the Company did not issue any unlisted options (2023: 5,000,000) and issued 2,920,341 listed options
(ASX: NXMO) as a share based payment. Details of the share based payment expense are detailed below.
The inputs to the valuation of options granted as share-based compensation during the year were as follows:
Broker Options
Dividend yield
nil%
Expected volatility
94.7%
Risk-free interest rate
4.14%
Expected life of option
1.5 years
Exercise price
13 cents
Grant date
03/10/2023
Grant date share price
4.7 cents
Amount recognised in statement
of comprehensive income
$ -
Amount recognised in Equity
$26,317
During the year a total of $Nil (2023: $533,794) was recognised in comprehensive income and $26,317 (2023: $Nil)
was recognised in equity.
The valuation of options granted is determined using the Black-Scholes model. The expected life of the options is
based on historical data and is not necessarily indicative of exercise patterns that may occur. The expected volatility
reflects the assumption that the historical volatility is indicative of future trends, which may also not necessarily be
the actual outcome. No other features of options granted were incorporated into the measurement of fair value.
Nexus Minerals Annual Report 2024
Notes to the Consolidated Financial Statements
For the Year Ended 30 June 2024
67
The following share-based payment arrangements were in place during the year:
Nexus Minerals
Limited
Number
Grant
Date
Expiry
Date
Exercise
Price $
Fair Value at
Grant Date $
Option series No.12
1,000,000
28 September 2021
28 September 2024
0.500
146,255
Option series No.13
6,000,000
10 November 2021
9 November 2024
0.680
1,492,018
Option series No.15
500,000
30 November 2021
9 November 2024
0.680
130,730
Option series No.16
5,000,000
23 November 2022
22 November 2025
0.270
533,794
Option series No.17
2,920,341
3 October 2023
26 March 2025
0.130
26,317
The following table illustrates the number, weighted average exercise prices and movements in share options on
issue:
Nexus Minerals Limited
2024
Number
2024
Weighted
Average
Exercise
Price $
2023
Number
2023
Weighted
Average
Exercise
Price $
Outstanding at the beginning of the year
16,500,000
0.545
19,500,000
0.420
Exercised during the year
-
-
(8,000,000)
0.069
Expired during the year
(4,000,000)
0.680
-
-
Granted during the year
34,723,777
0.130
5,000,000
0.270
Outstanding at the end of the year
47,223,777
0.228
16,500,000
0.545
Exercisable at the end of the year
42,223,777
0.228
16,500,000
0.545
Nexus Minerals Annual Report 2024
Notes to the Consolidated Financial Statements
For the Year Ended 30 June 2024
68
25. Key management personnel
The following were key management personnel of the Group at any time during the year and unless otherwise
indicated were key management personnel for the entire year.
Non-executive directors
Mr P Boyatzis (Chairman)
Mr B Maluish
Executive Director
Mr A Tudor
a) Key management personnel compensation
The key management personnel compensation for the year is as follows:
Consolidated
2024
$
Consolidated
2023
$
Short-term employee benefits
437,383
435,493
Share-based payments
-
533,794
Post-employment benefits
48,112
43,627
Other long term benefits
(12,070)
(7,243)
473,425
1,005,671
Remuneration levels are competitively set to attract and retain appropriately qualified and experienced directors
and executives. Remuneration packages comprise fixed remuneration.
26. Related parties
a) Key management personnel
Disclosures relating to key management personnel are set out in note 25.
b)
Trade and other payables
There were no amounts payable to key management personnel at 30 June 2024 (30 June 2023: $Nil)
c) Related party transactions
Transactions with Mining Gurus Pty Ltd
During the year the Company paid $33,108 (2023: $817,232) to Mining Gurus Pty Ltd, a company controlled by Sean
Tudor, son of Andy Tudor a Director of the Company, for the supply of exploration geologists and field assistants.
The terms and conditions of the transactions with key management personnel and their related parties were no more
favourable than those available, or which might reasonably be expected to be available, on similar transactions to
non-key management personnel related entities on an arm’s length basis.
Nexus Minerals Annual Report 2024
Notes to the Consolidated Financial Statements
For the Year Ended 30 June 2024
69
27. Notes to statement of cash flows
Consolidated
2024
$
Consolidated
2023
$
a) Reconciliation of cash and cash equivalents for
the purposes of the statement of cash flows, cash
and cash equivalents comprise the following at 30
June:
Cash at hand
47
67
Cash at bank
4,414,662
4,424,123
4,414,709
4,424,190
b) Reconciliation of loss from ordinary activities after
income tax to net cash provided by operating
activities:
Loss for the year
(3,178,182)
(8,829,818)
Adjustments for:
Depreciation
131,417
126,834
Non-cash interest on right of use asset
-
3,203
Loss on sale of plant and equipment
-
976
Share-based payments
-
533,794
Changes in assets and liabilities:
(Increase)/decrease in trade and other receivables
40,987
779,580
(Increase)/decrease in prepayments
2,648
53,157
(Increase)/decrease in term deposit investments
(6,041)
(1,384)
(increase)/decrease in other assets
89,470
(60,000)
Increase/(decrease) in trade and other payables
163,697
(187,721)
Increase/(decrease) in provisions
31,306
(16,665)
Net cash used in operating activities
(2,724,698)
(7,598,044)
c) Non-cash investing and financing activities
There were no non-cash investing or financing activities during the year (2023: Nil)
Nexus Minerals Annual Report 2024
Notes to the Consolidated Financial Statements
For the Year Ended 30 June 2024
70
28. Segment information
The Group’s operating segments have been determined with reference to the monthly management accounts used
by the chief operating decision maker to make decisions regarding the consolidated entity’s operations and allocation
of working capital.
Due to the size and nature of the Company, the Board as a whole has been determined as the chief operating
decision maker.
The Group operates in one business segment and one geographical segment, namely the mineral exploration
industry in Australia.
29. Events subsequent to reporting date
On 6 September 2024 the Company announced that it had received firm commitments for a placement to raise
$4.1million through the issue of 97,265,031 new fully paid ordinary shares. Settlement of the placement occurred on
12 September 2024. In addition, Directors have committed for 1.7 million new shares on the same terms as the
placement, subject to shareholder approval at the Company’s upcoming annual general meeting. The funds raised
will support ongoing aircore, reverse circulation and diamond drilling, as well as geophysical surveys, exploration
activities and mine studies at the Wallbrook Gold Project. Funds raised will also support minimum expenditure
requirements at the Pinnacles Gold Project and the Company’s NSW and Victorian projects and provide the Company
with general working capital.
Other than as described above, no matter or circumstance has arisen since 30 June 2024 that has significantly
affected, or may significantly affect the group’s operations, the results of those operations, or the consolidated entity's
state of affairs in future financial years.
30. Dividends
No dividends were paid or declared by the Group during the year or since the end of the year.
31. Contingent liabilities
In the opinion of the directors, there were no contingent liabilities at the date of this report.
Nexus Minerals Annual Report 2024
Notes to the Consolidated Financial Statements
For the Year Ended 30 June 2024
71
32. Parent entity information
As at, and throughout, the financial year ending 30 June 2024 the parent company of the Group was Nexus Minerals
Limited.
Parent
2024
2023
$
$
Result of the parent entity
Loss for the year
(3,178,182)
(8,829,818)
Other comprehensive income/(expense)
459
(53,209)
Total comprehensive loss for the year
(3,177,723)
(8,883,027)
Financial position of parent entity at year end
Current assets
Cash and term deposits
4,414,709
4,424,190
Trade and other receivables
80,126
109,039
Other financial assets
140,237
134,196
Other current assets
41,216
43,864
Total current assets
4,676,288
4,711,289
Non-current assets
Financial assets
219,500
219,041
Investment in subsidiary
1,000,000
1,000,000
Right-of-use asset
54,806
91,344
Plant and equipment
268,740
306,619
Other non-current receivables
215,038
301,556
Total non-current assets
1,758,084
1,918,560
Total assets
6,434,372
6,629,849
Current liabilities
Trade and other payables
458,674
279,951
Lease liabilities
50,696
46,119
Provisions
154,873
125,478
Current liabilities
664,243
451,548
Non-current liabilities
Lease liabilities
26,974
77,670
Provisions
4,546
2,635
Non-current liabilities
31,520
80,305
Total liabilities
695,763
531,853
Net assets
5,738,609
6,097,996
Total equity of the parent entity comprising:
Share capital
58,024,192
55,232,173
Reserves
2,246,419
2,219,643
Accumulated losses
(54,532,002)
(51,353,820)
Total Equity
5,738,609
6,097,996
Nexus Minerals Annual Report 2024
72
Consolidated Entity Disclosure Statement
Entity type
Trustee,
Partner or JV
Participant
Date of
incorporation
Place of
incorporation
Taxation
residency
Ownership
interest
2024
Ownership
interest
2023
Parent Entity
Nexus Minerals Limited
Company
No
19 August 2009
WA
Aust
100%
100%
Controlled Entities
Nexus Minerals Australia Pty Ltd
Company
No
19 August 2009
WA
Aust
100%
100%
Nexus Wallbrook Pty Ltd
Company
No
18 July 2011
WA
Aust
100%
100%
Nexus Gold Pty Ltd
Company
No
18 July 2011
WA
Aust
100%
100%
ACN: 152 163 801 Pty Ltd
Company
No
18 July 2011
WA
Aust
100%
100%
ACN: 155 124 324 Pty Ltd
Company
No
12 January 2012
WA
Aust
100%
100%
Transformation Minerals Tanzania
Limited
Company
No
10 August 2012
Tanzania
Tanzania
100%
100%
Nexus Minerals Uganda Limited
Company
No
21 September 2012
Uganda
Uganda
100%
100%
Nexus Pinnacles Pty Ltd
Company
Yes,
Pinnacles JV
24 October 2016
WA
Aust
100%
100%
Nexus Mt Celia Pty Ltd
Company
No
9 October 2018
WA
Aust
100%
100%
Crescent Gold Pty Ltd
Company
No
29 January 2020
WA
Aust
100%
100%
Jamieson Minerals Pty Ltd
Company
No
30 July 2013
Vic
Aust
100%
100%
Nexus Minerals Annual Report 2024
73
Directors’ Declaration
In the directors' opinion:
•
the attached consolidated financial statements and notes thereto comply with the Corporations Act 2001, the
Australian Accounting Standards, the Corporations Regulations 2001 and other mandatory professional
reporting requirements;
•
the attached consolidated financial statements and notes thereto comply with International Financial
Reporting Standards as issued by the International Accounting Standards Board as described in note 1 to the
financial statements;
•
the attached consolidated financial statements and notes thereto give a true and fair view of the Group's
financial position as at 30 June 2024 and of its performance for the financial year ended on that date; and
•
there are reasonable grounds to believe that the Company will be able to pay its debts as and when they
become due and payable.
•
the consolidated entity disclosure statement included in the financial report is true and correct.
The directors have been given the declarations required by section 295A of the Corporations Act 2001.
This declaration is signed in accordance with a resolution of the Board of Directors.
On behalf of the directors
P Boyatzis
Chairman
Perth, Western Australia
Dated this 24th day of September 2024
Page 74
Independent Auditor’s Report to the Members of Nexus Minerals Limited
Report on the Audit of the Financial Report
Opinion
We have audited the financial report of Nexus Minerals Limited (“the Company”) and its subsidiaries
(“the Group”), 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 Consolidated financial statements, including material accounting policy
information, the Consolidated entity disclosure statement and the director’s declaration.
In our opinion, the accompanying financial report of the Group is in accordance with the Corporations
Act 2001, including:
(i) giving a true and fair view of the Group’s financial position as at 30 June 2024 and of its
performance for the year then ended; and
(ii) complying with Australian Accounting Standards and the Corporations Regulations 2001.
Basis for opinion
We conducted our audit in accordance with Australian Auditing Standards. Our responsibilities under
those standards are further described in the Auditor’s Responsibility for the Audit of the Financial Report
section of our report. We are independent of the Company in accordance with the auditor independence
requirements of the Corporations Act 2001 and the ethical requirements of the Accounting Professional
and Ethical Standards Board’s APES 110 Code of Ethics for Professional Accountants (including
Independence Standards) (“the Code”) that are relevant to our audit of financial reports in Australia.
We have also fulfilled our other ethical responsibilities in accordance with the Code.
We confirm that the independence declaration required by the Corporations Act 2001, which has been
given to the directors of the Company, would be in the same terms if given to the directors as at the
time of this auditor’s report.
We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis
for our opinion.
Key audit matters
Key audit matters are those matters that, in our professional judgement, were of most significance in
our audit of the financial report 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.
Page 75
Key audit matter
How our audit addressed the key audit matter
Funding and Liquidity
Refer to Note 1 (c) (Financial position).
Nexus Minerals Limited and its subsidiaries are
gold exploration companies focusing on gold
opportunities in Western Australia.
As per the financial statements, the Group
reported a comprehensive loss for the year of
$3,177,723 (2023: $8,883,027) and a net cash
outflow from operating activities of $2,724,698
(2023: $7,598,044). The Group had a net
working capital surplus of $4,101,923 at 30 June
2024 (2023: $4,436,137) including cash and term
deposit balances of $4,414,709 at 30 June 2024
(June 2023: $4,424,190).
The adequacy of funding and liquidity, as well as
the relevant impact on the going concern
assessment, was considered to be a key audit
matter due to the significance of management’s
judgements and estimates in respect of this
assessment.
Our procedures included, amongst others:
• Assessing the Group’s working capital position as at
30 June 2024;
• Vouching the cash and cash equivalents to
supporting documentation;
• Checking the mathematical accuracy of the
cashflow forecast prepared by management;
• Evaluating the reliability and completeness of
management’s assumptions by comparing them to
our understanding of the Group’s future plans and
operating conditions;
• Obtaining an understanding of management’s
cashflow forecast and evaluating the sensitivity of
assumptions made by management;
• Considering events subsequent to year end to
determine whether any additional facts or
information have become available since the date
on which management made its assessment; and
• Assessing the adequacy of the disclosures included
in the financial report.
Other information
The directors are responsible for the other information. The other information comprises the information
included in the Group’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.
Directors’ responsibility for the financial report
The directors of the Company are responsible for the preparation of:
a) the financial report (other than the consolidated entity disclosure statement) that gives a true and
fair view in accordance with Australian Accounting Standards and the Corporations Act 2001; and
b) the consolidated entity disclosure statement that is true and correct in accordance with the
Corporations Act 2001, and
for such internal control as the directors determine is necessary to in the preparation of:
i.
the financial report (other than the consolidated entity disclosure statement) that gives a true and
fair view and is free from material misstatement, whether due to fraud or error; and
ii. the consolidated entity disclosure statement that is true and correct and is free of misstatement,
whether due to fraud or error.
Page 76
In preparing the financial report, the directors are responsible for assessing the Group’s ability to continue
as a going concern, disclosing, as applicable, matters related to going concern basis of accounting unless
the directors either intend to liquidate the Group or to cease operations, or have no realistic alternative to
do so.
Auditor’s responsibility for the audit of the financial report
Our objectives are to obtain reasonable assurance about whether the financial report as a whole is free from
material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our
opinion. Reasonable assurance is a high level of assurance but is not a guarantee that an audit conducted
in accordance with the Australian Auditing Standards will always detect a material misstatement when it
exists. Misstatements can arise from fraud or error and are considered material if, individually or in the
aggregate, they could reasonably be expected to influence the economic decisions of users taken on the
basis of this financial report.
A further description of our responsibilities for the audit of the financial report is located at the Australian
Auditing and Assurance Standards Board website at:
https://www.auasb.gov.au/admin/file/content102/c3/ar2_2020.pdf.
This description forms part of our auditor’s report.
Report on the Remuneration Report
Opinion on the Remuneration Report
We have audited the Remuneration Report included in pages 34 to 37 of the Directors’ Report for the year
ended 30 June 2024.
In our opinion, the Remuneration Report of Nexus Minerals Limited for the year ended 30 June 2024,
complies with Section 300A of the Corporations Act 2001.
Responsibilities
The directors of the Company are responsible for the preparation and presentation of the Remuneration
Report in accordance with section 300A of the Corporations Act 2001. Our responsibility is to express an
opinion on the Remuneration Report, based on our audit conducted in accordance with Australian Auditing
Standards.
Nexia Perth Audit Services Pty Ltd
Muranda Janse Van Nieuwenhuizen
Director
Perth, Western Australia
24 September 2024
Nexus Minerals Annual Report 2024
Shareholder information
77
Additional information as at 13 September 2024 required by the ASX Limited Listing Rules and not disclosed
elsewhere in this report is set out below.
Voting rights
Ordinary shares
On a show of hands every member present at a meeting in person or by proxy shall have one vote and upon a poll
each share shall have one vote.
Options
No voting rights.
On-market buy-back
There is no current on-market buy-back.
Restricted securities
The Company has 486,325,160 shares, 14,750,000 unlisted options and 34,723,777 listed options on issue. No
shares or options are subject to ASX or voluntary escrow.
Distribution of equity security holders
Quoted ordinary shares (ASX: NXM)
Category
Number of holders
Number of shares
%
1 - 1,000
116
37,067
0.01
1,001 - 5,000
501
1,492,020
0.31
5,001 - 10,000
393
3,234,865
0.67
10,000 - 100,000
1,378
54.104.337
11.12
100,000 and over
621
427.456.871
87.89
3,009
486.325.160
100.00
1,034 shareholders hold less than a marketable parcel of ordinary shares.
Quoted options (ASX: NXMO)
Exercisable at 13 Cents, expiring 26 March 2025
Category
Number of holders
Number of options
%
1 - 1,000
86
49,390
0.14
1,001 - 5,000
156
462,921
1.33
5,001 - 10,000
81
680,268
1.96
10,000 - 100,000
166
5,550,891
15.99
100,000 and over
59
27,980,307
80.58
548
34,723,777
100.00
Nexus Minerals Annual Report 2024
Shareholder information
78
Unquoted options
Options exercisable at 50 cents expiring
28 September 2024
Options exercisable at 68 cents expiring
9 November 2024
Category
Number of holders
%
Number of holders
%
1 - 1,000
-
-
-
-
1,001 - 5,000
-
-
-
-
5,001 - 10,000
-
-
-
-
10,000 - 100,000
-
-
-
-
100,000 and over
2
100.00
5
100.00
2
100.00
5
100.00
Options exercisable at 27 cents expiring
22 November 2025
Options exercisable at 7.5 cents expiring
19 August 2027
Category
Number of holders
%
Number of holders
%
1 - 1,000
-
-
-
-
1,001 - 5,000
-
-
-
-
5,001 - 10,000
-
-
-
-
10,000 - 100,000
-
-
-
-
100,000 and over
3
100.00
7
100.00
3
100.00
7
100.00
Nexus Minerals Annual Report 2024
Shareholder information
79
Twenty largest shareholders (ASX: NXM)
Name
Number of
ordinary shares held
Percentage of
capital held (%)
Cleland Projects Pty Ltd
15,750,000
3.24
Cleland Projects Pty Ltd
12,500,000
2.57
Citicorp Nominees Pty Limited
11,300,366
2.32
Northern Star Resources Ltd
10,991,400
2.26
Mr Paul John Pheby
9,060,287
1.86
Westminex Pty Ltd
8,000,000
1.64
Saracen Mineral Holdings Ltd
7,924,728
1.63
Equity Trustees Limited
7,142,858
1.47
Ram Platinum Pty Ltd
6,542,793
1.35
Lesuer Pty Ltd
6,500,000
1.34
Pachem Investments Pty Ltd
6,452,381
1.33
Cedarfield Holdings Pty Ltd
5,950,000
1.22
Evans Leap Holdings Pty Ltd
5,777,108
1.19
Tarney Holdings Pty Ltd
5,650,000
1.16
AJTSF Pty Ltd
5,160,000
1.06
WCS Properties Pty Ltd
4,250,000
0.87
Netwealth Investments Limited
4,230,285
0.87
Rookharp Capital Pty Limited
4,000,000
0.82
Querion Pty Ltd
3,801,373
0.78
Westedge Investments Pty Ltd
3,800,000
0.78
144,783,579
29.77
Substantial shareholders
Name
Number of
ordinary shares held
Percentage of
capital held (%)
Adam Leinert
30,750,000
6.32
Nexus Minerals Annual Report 2024
Shareholder information
80
Twenty largest option holders (ASX: NXMO)
Name
Number of
options held
Percentage
held (%)
Cleland Projects Pty Ltd
2,000,000
5.76
Rookharp Capital Pty Limited
2,000,000
5.76
Mr Paul John Pheby
1,945,687
5.60
Dr Ronald Tze Ching Pang
1,255,000
3.61
CF SMSF Pty Ltd
1,175,996
3.39
Dr Michael Edward Bowles
1,050,000
3.02
Mr Stephen Peter Cohen
1,004,400
2.89
Buttonwood Nominees Pty Ltd
1,002,500
2.89
Dr Michael Ruane
1,000,000
2.88
Northern Star Resources Ltd
915,950
2.64
Collective Noun Investment Pty Ltd
903,000
2.60
WCS Properties Pty Ltd
800,000
2.30
3M Holdings Pty Limited <3M Investment Spec A/C>
750,000
2.16
Saracen Mineral Holdings Ltd
660,394
1.90
Puresteel Holdings Pty Ltd
571,505
1.65
Mr Ryan James Rowe
500,000
1.44
Mr Nicholas Stergos Pontikinas
500,000
1.44
Mr Jan Marach & Mrs Renata Marach
497,123
1.43
AJTSF Pty Ltd
430,000
1.24
Mr Robin Desmond Ashton
419,429
1.21
19,380,984
55.81
Nexus Minerals Annual Report 2024
Shareholder information
81
Unquoted securities
The names of holders of more than 20% of an unlisted class of security are:
Options exercisable at 50 cents expiring
28 September 2024
Number of unlisted options
1,000,000
Number of holders
2
Options exercisable at 68 cents expiring
9 November 2024
Number of unlisted options
6,500,000
Number of holders
5
Holders with more than 20%
AJTSF Pty Ltd
2,000,000
30.8%
Lesuer Pty Ltd
2,000,000
30.8%
Options exercisable at 27 cents expiring
22 November 2025
Number of unlisted options
5,000,000
Number of holders
3
Holders with more than 20%
AJTSF Pty Ltd
2,000,000
40.0%
Lesuer Pty Ltd
2,000,000
40.0%
Options exercisable at 7.5 cents expiring
19 August 2027
Number of unlisted options
3,250,000
Number of holders
7
On-market buy-back
There is no current on-market buy-back.
Nexus Minerals Annual Report 2024
82
Schedule of Mineral Tenements
Western Australia
Pinnacles (Gold)
M28/243
90% Nexus Pinnacles Pty Ltd
E28/2526
90% Nexus Gold Pty Ltd
E28/2487
100% Nexus Gold Pty Ltd
Wallbrook (Gold)
E31/1160
100% Nexus Wallbrook Pty Ltd
E31/1361 Application
E31/1362 Application
M31/157
M31/188
M31/190
M31/191
M31/231
M31/251
M31/501 Application
P31/2192 Application
P31/2176 Application
E31/1107
E31/1108
E31/1118
Victoria
Bethanga (Copper)
EL006920
100% Jamieson Minerals Pty Ltd
Victoria Lithium
EL008111 Application
100% Jamieson Minerals Pty Ltd
New South Wales
New South Wales Lithium
EL9546
100% Jamieson Minerals Pty Ltd
EL9556
EL9557
EL9558
EL9559
EL9566
Nexus Minerals Annual Report 2024
83
Details of Mineral Resources and Ore Reserves
Results of Annual Review of Mineral Resource and Ore Reserve
The Wallbrook Crusader-Templar mineral resource was first estimated during the 2023 financial year. The Company
had previously reported a mineral resource at Crusader. However, owing to the extensive drilling undertaken and
substantial change to the interpretation, this historic resource has been superseded and cannot be compared. An
update of the Crusader-Templar mineral resource was completed in the 2024 financial year and is discussed below.
The Pinnacles East mineral resource was estimated during the 2020 financial year and no review has subsequently
been conducted.
The Company does not have any ore reserves.
Mineral Resource and Ore Reserve Governance and Internal Controls
Nexus Minerals ensures that the Mineral Resource estimate quoted is subject to governance arrangements and
internal controls activated at a site level and at the corporate level. Internal and external reviews of Mineral Resource
estimation procedures and results are carried out through a technical review team which is comprised of highly
competent and qualified professionals. These reviews have not identified any material issues. The Company has
finalised its governance framework in relation to the Mineral Resource estimate in line with its business structure.
Nexus Minerals reports its Mineral Resource on an annual basis in accordance with the ‘Australasian Code for
Reporting of Exploration Results, Mineral Resources and Ore Reserves’ (the JORC Code) 2012 Edition. Competent
Persons named by Nexus Minerals are Members or Fellows of the Australasian Institute of Mining and Metallurgy
and/or the Australian Institute of Geoscientists and qualify as Competent Persons as defined in the JORC Code.
Wallbrook Crusader-Templar Mineral Resource
Table 1: Updated Wallbrook Crusader-Templar Mineral Resource Estimate (FY24)
Deposit
Category
Tonnes
Grade (g/t Au)
Au (Oz)
Crusader-Templar
Indicated
2,460,000
1.8
140,000
Inferred
3,210,000
1.6
164,000
Total
5,670,000
1.7
304,000
Note: Mineral Resources are reported at a 0.4g/t Au cutoff within an optimised pit shell based on a $3950 gold price. All numbers
are rounded to reflect appropriate levels of confidence. Apparent differences may occur due to rounding. Reported according to
the 2012 JORC Code on 26 April 2024. Full details of the Wallbrook Crusader-Templar resource calculations as per JORC Code
(2012) are contained in the Company’s announcement dated 1 May 2024.
A summary of the reporting differences is provided below. The main causes of the reporting differences between the
two generations of Mineral Resource estimation is:
•
Different reporting cut-off grades (2023 - 1.0g/t : 2024 - 0.4g/t);
•
Mineralisation domains defined by a 0.5g/t grade threshold in 2023 and a 0.35g/t grade threshold in 2024
and the related interpretational differences;
•
Different approaches to applying RPEEE constraints to the reporting of the Mineral Resource; depth below
surface (200m below surface) applied in 2023 and an optimised pit shell limit in 2024 (which is sometimes
deeper and sometimes shallower than the depth below surface used in 2023);
•
Exclusion of smaller mineralised volumes with less drillhole support in 2023 while all mineralised volume was
retained as Inferred Mineral Resource in 2024; and
•
Application of change of support methods during the 2024 estimation process.
Nexus Minerals Annual Report 2024
84
Table 2: Crusader-Templar Mineral Resource Comparison Table
Reporting cut-off (g/t)
Tonnes (kt)
Grade Au (g/t)
Contained Au ounces
2023 MRE
1.0
2,572
2.1
175,000
2024 MRE
0.4
5,670
1.7
304,000
Difference
0.6
3,098
-0.4
129,000
Pinnacles Project Pinnacles East Mineral Resource
Table 3: Pinnacles East Mineral Resource Estimate (90% Nexus)
Deposit
Cut Off Grade
(g/t Au)
Category
Tonnes
Grade (g/t Au)
Au (Oz)
Pinnacles
East
0.5
Open Pit
Indicated
140,000
2.6
11,000
Inferred
19,000
1.6
1,000
Sub-total
159,000
2.4
12,000
1.0
Underground
Indicated
170,000
5.6
30,000
Inferred
280,000
4.0
36,000
Sub-total
450,000
4.6
66,000
Grand Total
609,000
4.0
78,000
Note: Mineral Resources are reported at a 0.5g/t cutoff for open pit material and 1.0g/t Au cutoff for underground. The reported
resource has been constrained to the limits of a pit shell constructed assuming typical eastern goldfields wall angles, mining costs
and processing costs, and toll milling. A projected future gold price of AUD2,100 was assumed. The resource is defined from
surface to a depth of only 350m. All numbers are rounded to reflect appropriate levels of confidence. Apparent differences may
occur due to rounding. Reported according to the 2012 JORC Code on 27 February 2020. Full details of the Pinnacles East
resource calculations as per JORC Code (2012) are contained in the Company’s announcement dated 27 February 2020.
The Company has reviewed the Mineral Resource Estimate and finds no material change to report.