Contents
Chairman’s Letter .......................................................................................................................................................... 2
Review of Operations ................................................................................................................................................... 5
Mineral Resource Governance Statement ............................................................................................................... 15
Schedule of Tenements.............................................................................................................................................. 20
Directors’ Report ......................................................................................................................................................... 21
Remuneration Report ................................................................................................................................................. 25
Consolidated statement of profit or loss & other comprehensive income for the year ended 30 June 2022 38
Consolidated statement of financial position as at 30 June 2022 ......................................................................... 39
Consolidated statement of changes in equity for the year ended 30 June 2022 ................................................ 40
Consolidated statement of cashflows for the year ended 30 June 2022 ............................................................. 41
Notes to the consolidated financial statements ..................................................................................................... 42
Directors’ declaration ................................................................................................................................................. 78
Auditor’s independence declaration ........................................................................................................................ 79
Independent auditor’s report .................................................................................................................................... 80
Corporate Governance Statement ............................................................................................................................ 85
Shareholder information ........................................................................................................................................... 94
Page 1
Chairman’s Letter
During the year Peel continued to progress its significant copper dominant polymetallic South Cobar
Project. The Company is well positioned to benefit from increased demand for metals required for the
world’s energy transition.
A capital raising for $29 million was completed in April 2022 and the Company’s cash position at 30 June
2022 was $22.5m.
Peel’s primary focus has been advancing its two 100% owned copper dominant deposits, of Mallee Bull
and Wirlong, which combined contain a reported 176,000 tonnes copper. Drilling has been ongoing
since these resources were published and once the next stage of drilling is completed and assays
received, an updated resource will be provided.
During the year 28,177 metres of additional diamond drilling was completed at Mallee Bull.
New intercepts at Mallee Bull included:
24.7m @ 4.33% Cu, 33g/t Ag from 414.3m and 5m @ 1.89% Cu, 7g/t Ag from 451m (MBDD048)
29.9m @ 6.52% Cu, 110g/t Ag, 0.15g/t Au from 635.1m in MBDD063
58m @ 4.96% Cu, 59g/t Ag, 0.20g/t Au from 585m (MBDD064)
31.07m @ 5.29% Cu, 44g/t Ag, 0.27g/t Au from 524m (MBDD068)
34.54m @ 4.08% Cu, 43g/t Ag, 0.08g/t Au from 654m (MBDD070)
29.15m @ 7.08% Cu, 60g/t Ag, 0.24g/t Au from 509.69m (MBDD080)
25m @ 8.26% Cu, 61g/t Ag, 0.16g/t Au from 626m including: 7.49m @ 18.9% Cu, 142g/t Ag,
0.35g/t Au from 630.51m (MBDD091)
Also during the year 21,538 metres of additional diamond drilling was completed at Wirlong.
New intercepts at Wirlong include:
205m @ 1.4% Cu, 3g/t Ag from 434m including 161m @ 1.53% Cu, 3g/t Ag from 434m
WLDD040
43m @ 1.92% Cu, 8g/t Ag from 280m including: 18.8m @ 3.35% Cu, 13g/t Ag from 293m in
WLDD034
24m @ 1.48% Cu, 7g/t Ag from 300m including: 5.75m @ 2.56% Cu, 11g/t Ag from 303.25m;
and 7.5m @ 3.18% Cu, 8g/t Ag from 529m in WLDD048
31m @ 1.55% Cu, 4g/t Ag from 536m including: 14m @ 2.52% Cu, 6g/t Ag from 546m in
WLDD057
35m @ 1.82% Cu, 4g/t Ag from 472m including: 15m @ 3.11% Cu, 6g/t Ag from 492m in
WLDD059.
These results are encouraging.
Permitting and environmental work is underway and applications to obtain approval for the
construction of exploration declines at Mallee Bull and Wirlong are in progress.
Page 2
The Company also has significant zinc and lead resources at Wagga Tanks /Southern Nights and at
Mallee Bull. Exploration drill results received during the year confirmed mineralisation is open to the
south of the existing Wagga Tank/ Southern Nights resource.
In March 2022, when the first tranche of the capital raising was completed the following Board and
management changes took place, I was appointed Chairman and Jim Simpson appointed CEO and
Managing Director. Rob Tyson moved to Technical Director and Simon Hadfield to a non-executive
director role. In that regard, I would like to thank them both.
Yours sincerely
Mark Okeby
Chairman
September 2022
Page 3
Review of Operations
Peel Mining Limited (“the Company”) is a base and precious metals company focused on advancing its
projects in the Cobar Region of New South Wales, Australia. The Company has been active in the Cobar
Superbasin since March 2010, and since that time, has established a reputation as one of NSW’s most
successful minerals explorer, with the largest single company landholding of ~3,370km2 in the Cobar
Superbasin. Peel’s South Cobar Project (SCP), which includes the Mallee Bull, Wirlong, May Day, Southern
Nights and Wagga Tank deposits, has a copper focused strategy for development of the project. The SCP
project is centred on establishing initial critical mass via high quality mineral resource definition at each of
Peel’s copper deposits, Mallee Bull and Wirlong, and lead zinc deposits, Southern Nights and Wagga Tank to
support a proposed centralised processing plant possessing economy of scale and mine life.
Resource drill outs and near resource exploration was the focus of the year’s activities.
Exploration activities
MALLEE BULL - COPPER, SILVER, GOLD, LEAD, ZINC; WESTERN NSW.
Mallee Bull represents one of Australia’s highest grade undeveloped copper deposits and is located ~100km
south of Cobar. The Company completed resource upgrade drilling at the Mallee Bull deposit during the year.
This drilling is part of the Company’s strategy to advance each of the Company’s deposits to mineable
resources in order to achieve critical mass.
The resource upgrade drilling program which commenced in April 2021, saw 54 holes for 28,177 metres of
diamond drill core drilled and was primarily designed to convert Inferred classified resources to Indicated
classification.
The program returned some excellent high grade assays. A sample of highlights from the program include:
36m @ 3.55% Cu, 72g/t Ag from 345m including 14.4m @ 4.71% Cu, 103g/t Ag from 359m in
MBDD038
24.7m @ 4.33% Cu, 33g/t Ag from 414.3m and 5m @ 1.89% Cu, 7g/t Ag from 451m in MBDD048
57m @ 3.70% Cu, 39g/t Ag from 614m including 31m @ 5.51% Cu, 57g/t Ag from 632m in MBDD052
26.84m @ 3.12% Cu, 23g/t Ag from 542.16m and 10m @ 5.92% Cu, 30g/t Ag from 553m in
MBDD053
48m @ 3.61% Cu, 36g/t Ag, 0.22g/t Au from 484m in MBDD058
34.55m @ 3.04% Cu, 28g/t Ag, 0.14g/t Au from 544.11m in MBDD059
39m @ 3.93% Cu, 30g/t Ag, 0.29g/t Au from 524m in MBDD060
29.9m @ 6.52% Cu, 110g/t Ag, 0.15g/t Au from 635.1m in MBDD063
58m @ 4.96% Cu, 59g/t Ag, 0.20g/t Au from 585m in MBDD064
31.07m @ 5.29% Cu, 44g/t Ag, 0.27g/t Au from 524m in MBDD068
34.54m @ 4.08% Cu, 43g/t Ag, 0.08g/t Au from 654m in MBDD070
22m @ 3.71% Cu, 40g/t Ag, 0.15g/t Au from 446m and 29m @ 1.59% Cu, 22g/t Ag, 0.14g/t Au from
482m in MBDD078
29.15m @ 7.08% Cu, 60g/t Ag, 0.24g/t Au from 509.69m in MBDD080
25m @ 8.26% Cu, 61g/t Ag, 0.16g/t Au from 626m including: 7.49m @ 18.9% Cu, 142g/t Ag, 0.35g/t
Au from 630.51m in MBDD091
29m @ 3.26% Cu, 31g/t Ag, 0.20g/t Au from 536m including: 19.04m @ 4.46% Cu, 41g/t Ag, 0.24g/t
Au from 544.96m in MBDD090
27.8m @ 3.06% Cu, 39g/t Ag, 0.15g/t Au from 474m including: 16m @ 4.35% Cu, 52g/t Ag, 0.20g/t
Au from 475m in MBDD089
Page 5
Diamond drilling also defined a new high-grade zinc-lead-silver lens in the hanging wall of the deposit. Assays
returned and released to the market during the year included:
7.85m @ 17.72% Zn, 18.13% Pb, 127g/t Ag, 0.34% Cu, 0.58g/t Au from 371.2m in MBDD046
4.41m @ 16.82% Zn, 17.67% Pb, 109g/t Ag, 0.45% Cu, 0.98g/t Au from 352.59m in MBDD048
16m @ 7.99% Zn, 8.54% Pb, 72g/t Ag, 0.64% Cu, 1.01g/t Au from 395m in MBDD051
3m @ 16.86% Zn, 8.67% Pb, 190g/t Ag, 0.90g/t Au from 482m in MBDD063
16.54m @ 7.5% Zn, 6.4% Pb, 38 g/t Ag, 0.24g/t Au from 401.17m in MBDD077
The true width of Mallee Bull intercepts reported is estimated to be approximately 40-60% of the downhole
widths.
The Company will incorporate these results into a future resource upgrade for the South Cobar Project.
WIRLONG - COPPER, SILVER; WESTERN NSW.
Wirlong is located ~75km south of Cobar, NSW and about 40km north of Peel’s Mallee Bull copper deposit.
Wirlong represents a classic Cobar-style Cu-Ag deposit analogous to the CSA mine. Strong copper
mineralisation commences at ~60m below surface and has been defined to at least 600m below surface. The
deposit remains open along strike and at depth.
During the year drilling continued to establish a maiden copper-dominant resource at Wirlong. A maiden
resource of 2.45Mt @ 2.4% Cu, 8.7g/t Ag for 57,900t contained copper and 686,000oz contained silver (see
Mineral Resource Statement) was released in November 2021. Following a resources review which contained
estimates from drilling up until December 2021, the Company embarked on a resource growth program to
extend and upgrade the Wirlong maiden resource. At the time of reporting the drilling was continuing.
Drilling at Wirlong has been designed to drill test the upper ~500m of the Wirlong Central zone where high-
grade copper (chalcopyrite) mineralisation is understood to be structurally controlled on a NW-SE orientation.
A total of 42 diamond drillholes were completed during the year for a total of 21,538 metres. Highlights from
diamond assays returned and released to the market during the years drill programs include:
13m @ 2.2% Cu, 10g/t Ag from 315m including 5m @ 4.35% Cu, 14g/t Ag from 319m in WLDD029
205m @ 1.4% Cu, 3g/t Ag from 434m including 161m @ 1.53% Cu, 3g/t Ag from 434m;
o which included 11m @ 4.32% Cu, 8g/t Ag from 501m and 10m @ 4.6% Cu, 7g/t Ag from 584m
and also 16m @ 2.02% Cu, 3g/t Ag from 622m in WLDD040
11m @ 2.93% Cu, 10g/t Ag from 388m including 4.88m @ 6.04% Cu, 20g/t Ag, 0.66g/t Au from
393m in WLDD043
43m @ 1.92% Cu, 8g/t Ag from 280m including: 18.8m @ 3.35% Cu, 13g/t Ag from 293m in
WLDD034
5.7m @ 5.54% Cu, 24g/t Ag from 239m and 49m @ 1.50% Cu, 6g/t Ag from 260m including: 20m @
2.86% Cu, 10g/t Ag from 286m in WLDD035
13m @ 4.49% Cu, 19g/t Ag from 201m in WLDD038
7.21m @ 2.98% Cu, 7g/t Ag from 348m in WLDD042
24m @ 1.48% Cu, 7g/t Ag from 300m including: 5.75m @ 2.56% Cu, 11g/t Ag from 303.25m; and
7.5m @ 3.18% Cu, 8g/t Ag from 529m in WLDD048
3.6m @ 11.77% Cu, 39g/t Ag from 374.1m in WLDD056
31m @ 1.55% Cu, 4g/t Ag from 536m including: 14m @ 2.52% Cu, 6g/t Ag from 546m in WLDD057
35m @ 1.82% Cu, 4g/t Ag from 472m including: 15m @ 3.11% Cu, 6g/t Ag from 492m in WLDD059.
Page 6
SOUTHERN NIGHTS WAGGA TANK - ZINC, LEAD, SILVER, COPPER, GOLD; WESTERN NSW.
The Southern Nights deposit is located on the western edge of the Cobar Superbasin, ~130 km south of Cobar
or ~50km southwest of Mallee Bull and is host to the polymetallic VMS-type deposit. Mineralisation straddles
a broad zone of intense tectonic brecciation and hydrothermal alteration (sericite-chlorite with local
silicification) and occurs as sub-vertical elongate shoots/lenses. Drilling by Peel to date has focused on
defining the geometry and extent of large-scale Zn-rich mineralisation at Southern Nights. The Company has
established a predominately Indicated JORC resource of 4.950Mt at 5.0% Zn, 2.0%Pb, 78g/t Ag 0.3% Cu and
0.4g/t Au.
No drilling at Southern Nights was completed during the year however assays were received from drilling in
the previous year, which was designed to step-out and systematically test the prospective sediment-volcanic
horizon for southern extensions to the high-grade massive sulphide mineralisation discovered in late 2019.
Assay results returned confirmed that mineralisation remains open to the south, with better results including:
1.2m @ 8.14% Zn, 3.58% Pb, 36g/t Ag from 276m and 16m @ 1.76% Zn, 0.80% Pb, 21g/t Ag from
297m including 2m @ 2.66% Zn, 2.59% Pb, 66g/t Ag from 297m in WTRCDD248
2m @ 1.34% Zn, 0.43% Pb, 7g/t Ag from 302m and 1.8m @ 1.56% Zn from 297m in WTDD002
The massive sulphide mineralisation returned in WTRCDD248 occurs ~120m south of the current resource
model, continuing the southern trend outside of the current mineral resource for Southern Nights.
The Company is currently assessing how to best optimise the Southern Nights Wagga Tank deposit as part of
the total South Cobar Project.
Page 7
Pre-development activities
WIRLONG METALLURGICAL TESTWORK
During the year the Company focused its metallurgical testwork program on the Wirlong copper deposit, in
conjunction with the release of the maiden resource. Metallurgical samples from WLDD009, WLDD011 and
WLDD013 were selected as potentially representative of the grade and mineralisation styles for the
anticipated resource model. The sample composites were continuous, with the two WLDD013 samples
divided into a low-grade and high-grade interval to capture the likely grade variations that could exist.
The testwork program was conducted by ALS Metallurgy Lab in Burnie, Tasmania, and was designed to
establish a preliminary flowsheet and assess recoverability of the Wirlong copper mineralisation into a
flotation concentrate. Following initial grind establishment and two-staged “cleaner” sequential flotation
process, a six-stage repetitive locked cycle test was undertaken on Wirlong samples to simulate operation of
a continuous circuit where an intermediate recirculation process of the cleaner stream(s) is performed.
The results from this early-stage testwork were outstanding, with the locked cycle flotation tests yielding 95%
copper recoveries to 32% copper concentrate grade. These excellent results were attributed to the purity of
the chalcopyrite dominant mineralisation and the absence of any other sulphide minerals.
Figure 1. Wirlong Sequential Flotation & Locked Cycle Testing Process
Wirlong Copper Sequential Flotation Test Results
Stage
Cu
Recovery
Cu Conc
Grade
Cu
Recovery
Cu Conc
Grade
Cu
Recovery
Cu Conc
Grade
Rougher
Cleaner 1
Cleaner 2
(%)
98.2
96.9
90.8
(%)
20.1
27.1
31.0
(%)
95.6
93.9
90.1
(%)
22.1
28.7
31.3
(%)
96.4
94.7
91.8
(%)
20.2
27.4
30.7
Wirlong Copper Locked Cycle Test Results
Stage
Rougher
Cleaner
Cu
Recovery
Cu Conc
Grade
Cu
Recovery
Cu Conc
Grade
Cu
Recovery
Cu Conc
Grade
(%)
97.6
95.6
(%)
20.3
32.2
(%)
97.1
95.2
(%)
19.9
33.0
(%)
96.7
94.6
(%)
21.6
33.8
Page 8
Preliminary comminution testing (Bond Ball Mill Work Index) work was also conducted and showed the ore
to be hard, typically requiring 19.5 to 20 kwh/t.
Wirlong Preliminary Comminution Testing Results
Sample Identity
Bond BMWi (kWh/t)
WLDD009
WLDD011 (Sample A)
WLDD013 (Sample B)
WLDD013 (Sample C)
19.5
19.9
20.9
18.6
ORE SORTING TESTWORK
Following on from the successful ore-sorting testwork conducted in January 2021, on the Mallee Bull
and Southern Nights deposits - see ASX Announcement 28th January 2021 “Processing Hub Report &
Promising Ore-Sorting Testwork Results”, the Company submitted samples from the Wirlong and
Mallee Bull deposits to undergo further ore-sorting trials at the TOMRA Sorting facility in Sydney.
For performance testing all material was crushed and screened at 8 - 19mm & 19 - 50mm with
subsequent 8 - 19mm & 19 - 50mm products sorted. Less than 8mm material was considered as
unsorted undersize material and would be directly milled in a conceptual full-scale operation.
The primary sorting task was to investigate the sortability of material from three samples - designated
A, B & C - and attempt to provide high-recovery sorts for both size fractions. All runs utilized both DE-
XRT processing to eject high-density sulphides and the EM sensor to eject any magnetic / conductive
sulphides such as pyrrhotite.
Cu values for Wirlong Sample A, B and C
Sample
Size
Run #
Fraction
WLDD033
A
8-19mm
Run 9
19-50mm Run 10
WLDD033
B
8-19mm
Run 3
19-50mm Run 4
WLDD033
C
8-19mm
Run 11
19-50mm Run 12
Feed
Product
Waste
Feed
Product
Waste
Feed
Product
Waste
Feed
Product
Waste
Feed
Product
Waste
Feed
Product
Waste
Cu
%
1.114
2.02
0.1
0.917
1.58
0.08
4.355
6.63
0.26
3.566
5.28
0.42
0.699
1.74
0.07
0.606
1.46
0.06
Recovery
96%
96%
98%
96%
94%
94%
Mass
Kg
57.2
30.2
27.0
292.0
163.0
129.0
16.8
10.8
6.0
79.4
51.4
28.0
77.0
29.0
48
354
138
216
%
100%
53%
47%
100%
56%
44%
100%
64%
36%
100%
65%
35%
100%
38%
62%
100%
39%
61%
Page 9
Results generated from the Wirlong testwork were very successful. Significant upgrades were achieved
within all runs for the sample A, B and C. The selected samples were composited to represent variability
within the deposit and as such, have varied feed grades.
Due to the well liberated nature of the sulphides and excellent classification of material types, all
samples consistently produced low-grade waste fractions (less than 0.42% Cu) enabling copper
recoveries to remain consistently high (greater than 94% across all runs).
Importantly A and C samples had extremely low waste grade (less than 0.1% Cu) while only Sample B
had elevated waste grades, due to a higher feed grade.
Cu values for Mallee Bull Sample A, B and C
Sample
Size
Run #
Fraction
MBDD041
A
MBDD041
B
MBDD041
C
8-19mm
Run 5
19-50mm
Run 6
8-19mm
Run 1
19-50mm
Run 2
8-19mm
Run 7
19-50mm
Run 8
Feed
Product
Waste
Feed
Product
Waste
Feed
Product
Waste
Feed
Product
Waste
Feed
Product
Waste
Feed
Product
Waste
Cu
Recovery
92%
93%
93%
96%
95%
97%
%
0.048
0.07
0.01
0.027
0.03
0.01
1.21
1.88
0.22
1.46
1.78
0.29
1.922
2.9
0.25
2.283
3.13
0.24
Mass
Kg
19.3
12.3
7.0
88.4
73.0
15.4
68.6
40.8
27.8
285.6
224.0
61.6
31.7
20
11.7
133
94
39
%
100%
64%
36%
100%
83%
17%
100%
59%
41%
100%
78%
22%
100%
63%
37%
100%
71%
29%
Results generated from the Mallee Bull testwork were also very successful. Significant upgrades were
achieved within all runs for the Sample A, B and C. The selected samples were composited to represent
variability within the deposit and as such, have varied feed grades.
Once again, due to the well liberated nature of the sulphides and excellent classification of material
types, all samples consistently produced low-grade waste fractions (less than 0.30% Cu) enabling
copper recoveries to remain consistently high (greater than 92% across all runs).
Following the positive ore-sorting testwork results from the Wirlong and Mallee Bull deposits, the
Company undertook baseline flotation and locked cycle testwork on the ore-sorted samples. This was
to not only simulate a realistic process flowsheet, incorporating ore sorting technology, but to further
assess and optimize the recovery process and resultant concentrate grades.
Page 10
The testwork program was conducted by ALS Metallurgy Lab in Burnie, Tasmania, and was designed to
establish a flowsheet and assess recoverability of the Wirlong and Mallee Bull ore sorted copper
mineralisation (separately) into flotation concentrates. Following initial grind establishment and two-
staged “cleaner” sequential flotation process, a six-stage repetitive locked cycle test was undertaken on
samples from both deposits to simulate operation of a continuous circuit where an intermediate
recirculation process of the cleaner stream(s) is performed. Results from both tests are shown in tables
below.
Copper Sequential Flotation Test Results
SAMPLE ID
WLDD033
MBDD041 Composite
Stage
Cu Recovery (%)
Cu Recovery (%)
Cu Recovery (%)
Rougher
Cleaner 1
Cleaner 2
99.1
98.3
97.5
96.0
94.5
93.0
96.0
94.5
93.0
Sample ID
WLDD033
Copper Locked Cycle Test Results
Cu Conc Grade
(%)
17.8
26.5
29.8
Stage
Cu Recovery (%)
Cu Conc Grade
(%)
Ag Recovery (%) Ag Conc Grade (ppm)
Rougher
Cleaner
Sample ID
Stage
Rougher
Cleaner
98.8
97.1
20.1
33.4
63.4
58.1
-
94
MBDD041 Composite
Cu Recovery
(%)
94.2
92.6
Cu Conc Grade (%) Ag Recovery (%) Ag Conc Grade (ppm)
17.2
31.8
81.9
75.8
-
265
Wirlong locked cycle flotation results previously reported for non-sorted Wirlong WLDD009, WLDD011
and WLDD013 resulted in Cu flotation recoveries of between 94.6% and 95.6% at 32.2% and 33.8% Cu
grade. The flotation recovery following ore sorting is likely slightly improved due to the rejection of
some fine-grained disseminated Cu mineralisation.
Previous locked cycle flotation testing of a non-sorted high grade (4.88% Cu) sample selected from
MBDD009 achieved 94.2% Cu recovery at 30.2% Cu grade – whereas the current sorted sample assayed
2.23% Cu and achieved 92.6% Cu recovery at a 31.8% Cu grade.
The ore-sorted sample metallurgical test work from both Wirlong and Mallee Bull is seen as highly
encouraging as the Company progress its South Cobar Project mining studies.
Page 11
Ore sorted Wirlong and Mallee Bull samples (Sample A, B and C) were supplied to ALS to undergo
comminution testwork. The testwork included SMC, bond ball mill and abrasion index testing.
The Bond Abrasion Index (Ai) is a measure of the abrasiveness of an ore – the composite is tumbled in
a mill fitted with a paddle of known weight. After the process is finished, the mass of the paddle is
weighed again, and the percentage wear of the paddle is the Ai. Ai is used to determine the wear rates
of liners and grinding media consumption.
WLDD033 Bond Abrasion Index Results
Sample
WLDD033 AI
MBDD041 AI
A
B
C
0.0839
0.0521
0.0326
0.0821
0.0701
0.0480
The Bond Ball Mill Work Index (BWi) is used to calculate the power requirements to grind ore to a typical
ball mill product. BWi values for the Wirlong ore samples in Table 8 tested were classified as hard. BWi
values indicate for the Mallee Bull ore samples in Table 9 tested were classified as hard to very hard.
Bond Work Index Classification
Material Property
Very Soft
Bond BWi (kWh/t)
<7
Soft
7 to 9
Medium
Hard
Very Hard
9 to 14
14 to 20
>20
Bond Ball Mill Work Index Results
WLDD033
Bond BMWi (kWh/t)
Closing Screen Size
(µm)
Classification
A
B
C
18.3
19.2
19.7
106
106
106
Hard
Hard
Hard
MBDD041
Bond BMWi (kWh/t)
Closing Screen Size
(µm)
Classification
A
B
C
17.0
20.4
20.6
106
106
106
Hard
Very Hard
Very Hard
Page 12
The SMC suite of testwork is intended to provide parameters for use in comminution modelling.
WL
Sample
A
B
C
MB
Sample
WLDD033 SMC parameters
SMC
A
b
A x b
ta
Dwi
Dwi
Mi Parameter (kWh/t)
SG
SCSE
(kWh/m3)
(%)
Mia Mih Mic
64.8
0.60
38.9
0.35
7.4
60.0
19.7
14.9
64.2
0.73
46.9
0.41
9.63
44.0
16.9
12.3
63.9
0.56
35.8
0.32
8.0
67.0
21.1
16.1
7.7
6.4
8.3
2.89
10.44
2.93
9.63
2.87
10.82
MBDD041 SMC parameters
A
b
A x b
ta
SMC
Dwi
(kWh/m3)
Dwi
(%)
Mi Parameter (kWh/t)
SG
SCSE
Mia
Mih
Mic
A
B
C
67.1 0.65
43.6
0.33
69.8 0.51
35.6
0.32
62.2 0.67
41.7
0.36
7.8
8.2
7.1
65.0
17.5
13.3
69.0
21.0
16.2
56.0
18.5
13.9
6.9
8.4
7.2
3.40 10.49
2.92 10.99
2.98 10.30
ENVIRONMENT AND PERMITTING
During the year the Company commissioned R.W Corkery & Co. Pty. Ltd to upgrade the existing Review of
Environmental Factors (REF) for the proposed Mallee Bull exploration decline and associated surface
infrastructures. The Company commissioned a number of environmental specialist consultants to undertake
environmental assessments (biodiversity, heritage, air quality, noise and vibration assessment) at Mallee Bull
in compliance with regulatory requirements. It is anticipated that the regulatory approval for the exploration
decline will take between 4 to 6 months after the submission of Review of Environmental Factor (REF) to the
NSW Department of Planning and Environment – Resource Regulator.
Peel completed a Water Monitoring Bore (WMB) drill program at Wirlong and Mallee Bull during the year. The
program was designed to investigate the pre-mining baseline of groundwater environment and to collect
sufficient groundwater information for the environmental regulatory compliance submissions. A total of 14
water monitoring bores have been drilled. Two holes (one from Wirlong and one from Mallee Bull) have been
fitted with a Vibrating Wire Piezometers (VWPs) to provide information regarding the vertical hydraulic
gradient throughout the fractured rock aquifer. The Water Monitoring Bore (WMB) drill program will be
extended to Southern Nights Wagga Tank.
The WMB Drilling program was successful at Wirlong establishing two water monitoring bores yielding water
flows greater than 5 litres per second. Monitoring bores drilled at Mallee Bull did not intersect significant
water flows and hence the company is looking to further extend the Water Monitoring Bore (WMB) drilling
program at Mallee Bull in the coming months.
Page 13
CORPORATE ACTIVITIES
CAPITAL RAISING
In 2022 the Company announced a capital raising comprising a two-tranche placement and share purchase
plan (SPP). The placement saw Peel raise $21m via the issue of 116,666,670 shares at an issue price of $0.18
per share
The Company launched the SPP component of the equity raise on 3rd March 2022.The SPP was heavily
oversubscribed and the Company exercised its discretion to accept subscriptions of $8,006,702. The issue of
44,481,428 new shares as part of the SPP was completed on the 21st March 2022.
As part of the Brokerage paid on the above Capital Raising, the Company issued 1,522,014 fully paid shares
and 4,248,106 share options exercisable at 23.6 cents to Ashanti Capital Pty Ltd.
DIRECTOR OPTIONS
At the EGM held 13th April 2022, shareholders approved 13,000,000 options issued to Company Directors,
Mr James Simpson, Mr Mark Okeby and Mr Robert Tyson, pursuant to the Performance Rights and Option
Plan and the terms and conditions set out in the Notice of Meeting released on 11th March 2022.
BOARD APPOINTMENTS
Immediately after the completion of Tranche 1 of the Placement, the Board appointed Mr Mark Okeby as
Non-executive Chairman, Mr James Simpson was appointed to CEO and Managing Director, with Mr Robert
Tyson transitioning to the role of Executive Director – Technical, and Mr Simon Hadfield transitioning from
Chairman to Non-Executive Director.
SHUTTLETON STATION PURCHASE
Peel Mining completed the purchase of Shuttleton Station, located ~70km south of Cobar NSW, in April 2022
for a total consideration of $1.83 million. The station comprises more than 12,000 acres of Western Lands
Lease and importantly, contains the immediate footprint of Peel’s 100%-owned Wirlong copper deposit.
COVID-19
For the entire year, in response to the COVID-19 pandemic, the Company continued its precautionary
measures as part of its OHS policies to ensure that risk around COVID-19 is minimised for all employees and
contractors. These measures include increased testing regimes, restrictions on non-essential travel, social
distancing and hygiene, cleanliness and awareness. The Company has been able to continue its field drilling
programs utilising its NSW-based staff.
The Company will continue to monitor the situation in relation to COVID-19 and will act in accordance with
Government advice to ensure a safe working environment for all its staff.
Page 14
Mineral Resource Governance Statement
During the year, Peel Mining Limited released a maiden mineral resource estimate for its Wirlong Project.
The Mallee Bull, Wagga Tank Southern Nights and May Day Mineral Resource estimates were unchanged for
the year, after being updated in July 2017, March 2020 and March 2021 respectively. The Attunga Mineral
Resource estimates remained unchanged from the Resources estimate as at 30 June 2014.
Peel Mining Ltd has ensured that the Mineral Resource estimates are subject to good governance
arrangements and internal controls. The Mineral Resources reported have been generated by independent
external consultants who are experienced in best practices in modelling and estimation methods. The
consultants have also undertaken a review of the quality and suitability of the underlying information used
to generate the resource estimations. Additionally, Peel Mining Ltd carries out regular reviews and audits of
internal processes and external contractors that have been engaged by the Company.
The Mineral Resources estimates for Wirlong, Mallee Bull, Wagga Tank-Southern Nights and May Day, were
compiled and reported in accordance with the 'Australasian Code for Reporting of Exploration Results,
Mineral Resources and Ore Reserves' (the JORC Code) 2012 Edition, whilst the Attunga Resource Estimate was
completed in accordance with the JORC Code 2004 Edition.
The Wirlong, Wagga Tank Southern Nights and May Day Mineral Resource Estimates were reported using an
NSR cut-off value to determine the proportion of the deposit having reasonable prospects for eventual
economic extraction. The NSR methodology is common practice at polymetallic mines and deposits and
considers metallurgical recoveries for each of the product streams, along with metal prices, exchange rates,
payabilities, deductions/penalties, transport, treatment/refining charges, and royalties.
Mineral Resources updated in the 30 June 2022 financial year are set out below:
Wirlong Maiden Mineral Resource Estimate
Resource
Classification
Tonnes (Kt)
Indicated
Inferred
Total Resource
860
1,590
2,450
Cu
(%)
2.3
2.4
2.4
Ag
(g/t)
9.1
8.5
8.7
Contained
Cu (t)
Contained
Ag (oz)
19,800
252,000
38,200
435,000
57,900
686,000
Page 15
The tables below set out Mineral Resource estimates for 2022, which are unchanged from 30 June 2021.
Combined May Day Indicated Mineral Resource Estimate (ROUNDED)
Cut off
Tonnes
Open Pit
Oxide
$27/t
$NSR1
Sulphide
$37/t
Subtotal
Underground (Sulphide)
$80/t
Combined
Kt
510
390
900
170
1,070
Au
g/t
1.03
1.00
1.02
1.03
1.02
Ag
g/t
20.4
28.2
23.8
39.4
26.3
Zn
%
-
1.31
0.57
1.67
0.74
Pb
%
-
0.84
0.36
1.21
0.50
The figures in this table are rounded to reflect the precision of the estimates and include rounding errors.
1NSR = (metal grades x expected metallurgical recoveries x expected payabilities x metal prices) – (deductions/penalties +
transport + treatment/refining charges + royalties)
For further information see the announcement released 31st March 2021 – "May Day Indicated Mineral Resource
Estimate".
March 2020 Southern Nights Mineral Resource Estimate
Resource
Classification
Tonnes
(Kt)
Indicated
Inferred
Total Resource
2,540
1,600
4,140
Zn
(%)
5.90
3.7
5.0
Pb
(%)
2.30
1.4
2.0
Ag
(g/t)
88.9
59
77
March 2020 Wagga Tank Mineral Resource Estimate
Resource
Classification
Tonnes
(Kt)
Indicated
Inferred
Total Resource
410
400
810
Zn
(%)
4.67
5.3
5.0
Pb
(%)
2.52
2.3
2.4
Ag
(g/t)
64.3
98
81
Cu
(%)
0.19
0.3
0.2
Cu
(%)
0.50
0.3
0.4
March 2020 Combined Southern Nights-Wagga Tank Mineral Resource Estimate
Resource
Classification
Indicated
Inferred
Total Resource
Tonnes
(Kt)
2,950
2,000
4,950
Zn
(%)
5.73
4.0
5.0
Pb
(%)
2.33
1.6
2.0
Ag
(g/t)
85.5
67
78
Cu
(%)
0.23
0.3
0.3
Au
(g/t)
0.33
0.3
0.3
Au
(g/t)
0.53
0.5
0.5
Au
(g/t)
0.36
0.3
0.4
The March 2020 Wagga Tank Southern Nights Mineral Resource Estimate utilises AU$80/tonne NSR cut-off mineable
shapes that include minimum mining widths and internal dilution.
Page 16
July 2017 Mallee Bull Mineral Resource Estimate
Category
Indicated
Inferred
Total
Kt
1,340
5,420
6,760
CuEq %
2.15
2.7
2.6
Cu %
0.91
2
1.8
Ag g/t
30
31
31
Au g/t
0.4
0.4
0.4
Pb %
0.96
0.5
0.6
Zn %
1.23
0.4
0.6
The figures in the above table are rounded to reflect the precision of the estimates and include rounding errors.
Mallee Bull Mineral Resource estimate at 30 June 2019 based on 1% copper equivalent (CuEq) cut-off grade.
April 2008 Attunga Mineral Resource Estimate
Category
Inferred
WO3equivalent cut-off
0.2
Mt
1.29
WO3Eq %
0.73
WO3 %
0.61
Mo %
0.05
Attunga Tungsten Deposit Inferred Mineral Resource Estimate based on a 0.2% WO3 equivalent cut-off.
Page 17
Competent Persons Statements
WIRLONG
The information in this report that relates to Mineral Resource estimates for Wirlong is based on information
compiled by Mr Jonathon Abbott, who is a Member of The Australian Institute of Geoscientists. Mr Abbott is
a full time employee of MPR Geological Consultants Pty Ltd and has sufficient experience which is relevant
to the style of mineralisation and type of deposit under consideration and to the activity which he is
undertaking to qualify as a Competent Person as defined in the 2012 edition of the “Australasian Code for
Reporting Exploration Results, Mineral Resources and Ore Reserves”. Mr Abbott consents to the inclusion in
the report of the matters based on his information in the form and context in which it appears.
WAGGA TANK SOUTHERN NIGHTS DEPOSITS
The information in this report that relates to data and geological modelling included in Mineral Resource
estimates is based on information reviewed by Mr Jason McNamara who is a Fellow of The Australasian
Institute of Mining and Metallurgy. Mr McNamara was a full time employee of Peel Mining and has sufficient
experience which 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 Exploration Results, Mineral Resources and Ore Reserves”. Mr McNamara
consents to the inclusion in the documents of the matters based on this information in the form and context
in which it appears.
The information in this report that relates to grade estimation and Mineral Resource estimates is based on
information reviewed by Mr Jason McNamara, who is a Fellow of The Australasian Institute of Mining and
Metallurgy. Mr McNamara was a full time employee of Peel Mining and has sufficient experience which is
relevant to the style of mineralisation and type of deposit under consideration and to the activity which he is
undertaking to qualify as a Competent Person as defined in the 2012 edition of the “Australasian Code for
Reporting Exploration Results, Mineral Resources and Ore Reserves”. Mr McNamara consents to the inclusion
in the documents of the matters based on this information in the form and context in which it appears. This
release may include aspirational targets. These targets are based on management’s expectations and beliefs
concerning future events as of the time of the release of this document. Targets are necessarily subject to
risks, uncertainties and other factors, some of which are outside the control of Peel Mining that could cause
actual results to differ materially from such statements. Peel Mining makes no undertaking to subsequently
update or revise the forward-looking statements made in this release to reflect events or circumstances after
the date of this release.
MALLEE BULL
The information in this report that relates to the Mallee Bull Mineral Resource estimates, and reported by the
Company in compliance with JORC 2012 is based on information compiled by Mr Jonathon Abbott, a
Competent Person who is a Member of the Australian Institute of Geoscientists. Mr Abbott is a full-time
employee of MPR Geological Consultants Pty Ltd and is an independent consultant to Peel Mining Ltd.
Mr Abbott has sufficient experience that is relevant to the style of mineralisation and type of deposit under
consideration and to the activity being undertaking to qualify as a Competent Person as defined in the 2012
Edition of the “Australasian Code for Reporting of Mineral Resources and Ore Reserves”. Mr Abbott consents
to the inclusion in this report of the matters based on his information in the form and context in which it
appears. As at the date of this report, there has been no material changes to the Mallee Bull Resource
estimates.
Page 18
MAY DAY
The information in this report that relates to Exploration Results is based on information compiled by Mr
Robert Tyson who is a fulltime employee of the company. Mr Tyson is a member of the Australasian Institute
of Mining and Metallurgy. Mr Tyson has sufficient experience of relevance to the styles of mineralisation and
the types of deposits under consideration, and to the activities undertaken, to qualify as Competent Persons
as defined in the 2012 Edition of the Joint Ore Reserves Committee (JORC) Australasian Code for Reporting of
Exploration Results, Mineral Resources and Ore Reserves. Mr Tyson consents to the inclusion in this report
of the matters based on information in the form and context in which it appears. Exploration results are
based on standard industry practices, including sampling, assay methods, and appropriate quality assurance
quality control (QAQC) measures.
ATTUNGA TUNGSTEN DEPOSIT
The information referred to in this report in relation to the Attunga Resource Estimate is based on
information compiled by Mr Murray Hutton, a Competent Person who is a Member of the Australian Institute
of Geoscientists. At the time of calculating the Resource Estimate Mr Hutton was a full-time employee of Geos
Mining and was an independent consultant to Peel Mining Ltd.
Mr Hutton 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 2004
Edition of the 'Australasian Code for Reporting of Mineral Resources and Ore Reserves'.
Mr Hutton consented to the inclusion of the matters based on his information in the form and context in
which it appears.
EXPLORATION RESULTS
The information in this report that relates to Exploration Results is based on information compiled by Mr
Robert Tyson who is a fulltime employee of the company. Mr Tyson is a member of the Australasian Institute
of Mining and Metallurgy. Mr Tyson has sufficient experience of relevance to the styles of mineralisation and
the types of deposits under consideration, and to the activities undertaken, to qualify as Competent Persons
as defined in the 2012 Edition of the Joint Ore Reserves Committee (JORC) Australasian Code for Reporting of
Exploration Results, Mineral Resources and Ore Reserves. Mr Tyson consents to the inclusion in this report
of the matters based on information in the form and context in which it appears. Exploration results are
based on standard industry practices, including sampling, assay methods, and appropriate quality assurance
quality control (QAQC) measures.
Page 19
Schedule of Tenements
Project
Burthong
Gilgunnia South
Glenwood
Iris Vale
Manuka
Mirrabooka
Mundoe
Mundoe North
Norma Vale
Pine Ridge
Sandy Creek
Tara
Yackerboon
Attunga
Gilgunnia
May Day
Beanbah
Brambah
Linera
Marigold
Michelago
Mt View
Mt Walton
Nombinnie
Wagga Tank
Wongawood
Gromit
Florida
McGraw East
Thunderdome
Thunderdome South
Number
Holder
Peel Interest
EL8534
EL7519
EL8314
EL8113
EL8071
EL8105
EL7976
EL8201
EL8126
EL8345
EL8307
EL8070
EL8112
EL8326
EL7461
Peel (CSP) Pty Ltd
Peel (CSP) Pty Ltd
Peel (CSP) Pty Ltd
Peel (CSP) Pty Ltd
Peel (CSP) Pty Ltd
Peel (CSP) Pty Ltd
Peel (CSP) Pty Ltd
Peel (CSP) Pty Ltd
Peel (CSP) Pty Ltd
Peel (CSP) Pty Ltd
Peel (CSP) Pty Ltd
Peel (CSP) Pty Ltd
Peel (CSP) Pty Ltd
Peel Mining Ltd
Peel Mining Ltd
ML1361
Peel Mining Ltd
EL8450
EL8655
EL8447
EL8656
EL8451
EL7484
EL8414
EL8751
EL6695
EL7226
EL8872
EL8900
EL9398
EL8877
EL9108
Peel Mining Ltd
Peel Mining Ltd
Peel Mining Ltd
Peel Mining Ltd
Peel Mining Ltd
Peel Mining Ltd
Peel Mining Ltd
Peel Mining Ltd
Peel Mining Ltd
Peel Mining Ltd
Peel Mining Ltd
Peel Mining Ltd
Peel Mining Ltd
Peel Far West Pty Ltd
Peel Far West Pty Ltd
100%
100%
100%
100%
100%
100%
100%
100%
100%
100%
100%
100%
100%
100%
100%
100%
100%
100%
100%
100%
20%
100%
20%
100%
100%
100%
100%
100%
100%
100%
100%
Page 20
Directors’ Report
Your directors present their report on the consolidated entity (“Group”) comprising Peel Mining Limited
(“Company”) and the entities it controlled at the end of, or during the financial year ended 30 June 2022 and
the comparative period.
Directors
The following persons were directors of Peel Mining Limited during the financial year and up to the date of
this report.
Mark Okeby (appointed 3 March 2022)
Simon Hadfield
Graham Hardie
Robert Tyson
James Simpson
Directors’ interest in shares, options and performance rights
Directors’ interests in shares and options as at the date of this report are set out in the table below.
Director
M Okeby
S Hadfield
G Hardie
J Simpson
R Tyson
Number of Shares
Directly and Indirectly
Held
Number of Options
Number of Performance
Rights
7,222,222
5,772,712
20,753,984
7,737,667
8,186,180
4,000,000
500,000
500,000
8,000,000
4,000,000
-
-
-
1,500,000
2,500,000
Principal activities
The principal activity of the Group is the exploration for economic deposits of minerals. For the period of this
report, the emphasis has been on copper along with other base and precious metals.
Results
The loss for the Group for the financial year after providing for income tax amounted to $3,421,924 (2021:
profit of $3,691,351).
Page 21
Dividends
No dividends were paid or proposed during the year.
Review of operations
A review of the operations of the Group during the financial year and the results of those operations are
contained in pages 5 to 14 in this report.
Significant changes in the state of affairs
Board Appointments and Transitions
On the 3rd March 2022, the Board appointed Mr Mark Okeby as Non-executive Chairman of the Company.
Mr Simon Hadfield stepped down as Chairman, however remained on the Board as a Non-executive Director.
At the same time, Mr James Simpson, formally Executive Director – Mining, was appointed to the position of
CEO and Managing Director and Mr Robert Tyson transitioned from the role of Managing Director to
Executive Director – Technical.
Contributed Equity
During the financial year, contributed equity increased by $28,272,657 through the issue of
(i) 104,524,437 new ordinary shares at $0.18 as part of a placement to new and existing shareholders
in February 2022 (Tranche 1)
(ii) 44,481,428 new ordinary shares at $0.18 as part of a rights entitlement offer to existing shareholders
in March 2022
(iii) 12,142,232 new ordinary shares at $0.18 as part of a placement to new and existing shareholders in
April 2022 (Tranche 2)
(iv) 1,522,014 new ordinary shares at $0.18 issued to Ashanti Capital as lead manager of the share
placement in February 2022
(v) 1,600,000 unlisted director and employee performance rights issued in November 2021
(vi) 4,248,106 unlisted options issued to Ashanti Capital as lead manager of the share placement in
February 2022
(vii) 13,000,000 unlisted director options issued in April 2022
Details in changes in contributed equity are disclosed in note 10 to the financial statements.
The directors are not aware of any other significant changes in the state of affairs of the Group occurring
during the financial year, other than as disclosed in this report.
Events occurring after balance date
On the 12th August 2022 the company sold its holding of 50,000,000 shares in Odin Metals Limited (ASX:
ODM). The sale was completed at 1.8 cents per share for a total consideration of $900,000 (before costs).
On the 9th September 2022, 2,000,000 director options with an exercise price of $0.31, issued to Jim Simpson,
lapsed unexercised.
There were no other significant events that have occurred after balance date and prior to the date of this
report.
Page 22
Likely developments and expected results
It is the Board’s intention to progress its projects towards development. These activities are inherently risky
and there are no certainties that the group will successfully achieve its objectives.
Information on key management personnel
Mark Okeby
Mr Okeby is a Master of Law (LLM) and has over 30 years’ experience as a director of ASX listed mining and
exploration companies. He is currently a director of Capricorn Metals Limited (appointed in 2019) and Red
Hill Iron Ltd (appointed in 2016) and previously has been a director of Regis Resources Ltd, Hill 50 Ltd, Abelle
Ltd, Metals X Limited and Westgold Resources Ltd. Mr Okeby has been a major contributor on the Capricorn
board in transforming Capricorn from a small gold developer to one of Australia’s newest gold producers. Mr
Okeby played a similar board role at Regis Resources during which Regis was transformed into one of
Australia’s largest producers. Mr Okeby has a deep knowledge of the Australian resources landscape and the
regulatory regimes around mine development and operation. He also has significant experience in project
development, financing and corporate transactions. Other than those mentioned above, no other
directorships were held in the past 3 years. Mr Okeby is considered an independent director.
Mr Okeby holds 7,222,222 shares and 4,000,000 share options in Peel Mining Limited.
James Simpson – CEO & Managing Director
Mr Simpson is an experienced Mining Engineer with significant board and management experience. Mr
Simpson was previously the Chief Executive Officer and Managing Director at Aurelia Metals Limited, Chief
Operating Officer & Executive Vice President for Peak Gold Limited; General Manager & Director at Goldcorp
Asia Pacific; and General Manager Mining Lead Zinc at MIM Holdings, Mt Isa. Mr Simpson’s experience ranges
from mine development and management through to corporate and equity market participation. Mr
Simpson is the non-executive director of Queensland Pacific Metals Limited (appointed in 2021) (ASX: QPM).
No other directorships were held in the past 3 years. Mr Simpson is not considered an independent director.
Mr Simpson holds 7,737,667 shares, 8,000,000 share options and 1,500,000 performance rights in Peel Mining
Limited.
Robert Tyson B.App Sc(Geol).GradDip Applied Finance(SIA) – Executive Director – Technical
Mr Tyson is a geologist with more than 20 years resources industry experience having worked in exploration
and mining-related roles for companies including Cyprus Exploration Pty Ltd, Queensland Metals Corporation
NL, Murchison Zinc Pty Ltd, Normandy Mining Ltd and Equigold NL. Mr Tyson is also a non-executive director
of Saturn Metals Limited (appointed in 2018) (ASX: STN). No other directorships were held in the past 3 years.
Mr Tyson is not considered an independent director.
Mr Tyson holds 8,186,180 shares, 4,000,000 share options and 2,500,000 performance rights in Peel Mining
Limited
Simon Hadfield – Non-executive Director
Mr Hadfield has more than 30 years company management experience and has held directorships in publicly-
listed industrial and resource companies. Mr Hadfield is a director of RIU Conferences Pty Ltd and Resource
Information Unit Pty Ltd. No other directorships were held in the past 3 years. Mr Hadfield is considered an
independent director.
Mr Hadfield holds 5,772,712 shares and 500,000 share options in Peel Mining Limited.
Page 23
Graham Hardie FCA – Non-executive Director
Mr Hardie is the principal of Hardie Finance Corporation, a private Perth-based property development
company, and is also the principal of Entertainment Enterprises, a private Perth-based hospitality company.
He is a Fellow of the Institute of Chartered Accountants and a former partner in a leading Chartered
Accounting firm. Mr Hardie has extensive commercial and financial experience and has held board positions
on a number of public companies in the mining, media, transport and retail industries. No other directorships
were held in the past 3 years. Mr Hardie is considered an independent director.
Mr Hardie holds 20,753,984 shares and 500,000 share options in Peel Mining Limited.
Ryan Woodhouse – Company Secretary and Chief Financial Officer
Mr Woodhouse has 15 years of experience in the mining and energy industries in the area of accounting and
governance. He holds a Bachelor of Commerce from Curtin University and is a member of the Institute of
Chartered Accountants. Mr Woodhouse currently holds the position of Company Secretary with Peel Mining
Limited.
Mr Woodhouse was appointed Company Secretary on 7 January 2015.
Mr Woodhouse holds 811,111 shares, 400,000 options and 700,000 performance rights in Peel Mining
Limited.
Meeting of Directors
Director
Number held
whilst in office
Number
attended
Number held
whilst in office
Number
attended
M Okeby
S Hadfield
G Hardie
J Simpson
R Tyson
Board Meeting
Audit and Risk Committee
Meeting
3
11
11
11
11
3
11
11
11
11
0
2
2
2
2
0
2
2
2
2
Page 24
Remuneration Report (Audited)
The remuneration report is set out under the following headings:
a) Key Management Personnel (KMP) covered in this report
b) Remuneration policy and link to performance
c) Details of remuneration
d) Service agreements
e) Share-based compensation
f) Share holdings of directors
g) Other transactions with directors and key management personnel
h) Additional information
a) Key Management Personnel (KMP) covered in this report
Non-executive and executive directors
Chairman (appointed 3 March 2022)
Mark Okeby
CEO & Managing Director
Executive Director – Technical
Non-executive Director
Non-executive Director
Other key management personnel
James Simpson
Robert Tyson
Simon Hadfield
Graham Hardie
Company Secretary & Chief Financial Officer
Ryan Woodhouse
b) Remuneration policy and link to performance
The objective of the remuneration framework of Peel Mining Limited is to ensure reward for performance is
competitive and appropriate for the results delivered. The framework aligns executive reward with
achievement of strategic objectives and the creation of value for shareholders. The Board believes that
executive remuneration satisfies the following key criteria:
Competitiveness and reasonableness
Acceptability to shareholders
Performance linkage/alignment of executive compensation
Transparency
Capital management
These criteria result in a framework which can be used to provide a mix of fixed and variable remuneration,
and a blend of short and long-term incentives in line with the Company’s remuneration policy.
Board and senior management
Fees and payments to the directors and other key management personnel reflect the demands which are
made on, and the responsibilities of, the directors and the senior management. Such fees and payments are
determined by the board and reviewed annually.
Page 25
Company policy in relation to remunerating executives is that directors are entitled to remuneration out of
the funds of the Company, but the remuneration of the Non-executive Directors may not exceed in any year
the amount fixed by the Company in general meeting for that purpose.
The aggregate of fees of the Non-executive Directors has been fixed at a maximum of $250,000 per annum
to be apportioned among the Non-executive Directors in such a manner as they determine (approved by
shareholders at the AGM held 28th November 2019). Directors are also entitled to be paid reasonable travel,
accommodation and other expenses incurred in consequence of their attendance at board meetings and
otherwise in the execution of their duties as directors. Senior management are paid based on applicable
market rates.
Remuneration is not linked to past Group performance but rather towards generating future shareholder
wealth through share price performance. The Board and management are issued share based payments in
the company on a periodic basis as a means to link executive rewards to shareholder value and the
Company’s strategic goals. The Board reviews the share based remuneration granted to management on an
annual basis.
Statutory performance indicators
We aim to align our executive remuneration to our strategic and business objectives and the creation of
shareholder wealth. The table below shows measures of the Group’s financial performance over the last five
years as required by the Corporations Act 2001. However, these are not necessarily consistent with the
measures used in determining the variable amounts of remuneration to be awarded to KMPs. As a
consequence, there may not always be a direct correlation between the statutory key performance measures
and the variable remuneration awarded.
Statutory Key Performance Indicator of the group over the last five years
2022
2021
2020
2019
2018
Profit or (loss) for the
year attributable to
owners of
Peel Mining Limited ($)
Basic earnings per
share ($)
Dividend payments
Increase/(decrease) in
share price
(3,421,924)
3,691,351
3,610,070
(2,870,270)
(1,672,686)
(0.007)
0.010
0.015
(0.014)
(0.009)
Nil
-36%
Nil
+52%
Nil
-48%
Nil
Nil
-32%
+150%
Page 26
c) Details of Remuneration
Details of the nature and amount of each element of the remuneration of each of the directors of Peel Mining
Limited and other key management personnel of the Group during the year ended 30 June 2022 and the
prior year are set out in the following tables:
30 June 2022
Short term
employment
benefits
Cash salary
and fees
Post-employment
Superannuation
Long-term
benefits
Annual &
Long Service
Leave
Share-
based
payments1
$
$
$
$
Total
$
Performance
Related
%
M Okeby2
16,668
J Simpson
195,114
1,667
19,511
457,697
476,032
797,669
1,012,294
R Tyson
279,417
33,306
29,357
529,813
871,893
S Hadfield
G Hardie
50,004
50,004
5,000
5,000
-
-
-
-
55,004
55,004
0%
10%
20%
0%
0%
R Woodhouse
198,381
21,077
20,834
59,552
299,844
20%
Total
789,588
85,561
50,191
1,844,731
2,770,071
1. Share based payment amounts are not cash payments made to directors. The amounts represent the value ascribed by an acceptable
valuation method to options or performance rights granted and measured under the accounting standard AASB 2 Share-based
payments. Options issued to Directors during the year were valued on the date of shareholder approval as required per AASB 2, and not
issue date. Further information about options and performance rights granted can be found within the annual report.
2. Appointed 3 March 2022
30 June 2021
Short term
employment
benefits
Cash salary,
bonus and
fees
Long-term
benefits
Annual &
Long Service
Leave
Share-
based
payments1
Post-employment
Superannuation
$
$
$
$
Total
$
Performance
Related
%
S Hadfield
G Hardie
50,004
50,004
4,750
4,750
-
-
-
-
54,754
54,754
R Tyson
312,690
84,456
26,517
87,960
511,623
J Simpson
140,000
13,300
-
103,442
256,742
R Woodhouse
199,992
18,999
18,940
63,662
301,593
0%
0%
18%
40%
22%
Total
752,690
126,255
45,457
255,064
1,179,466
1. Share based payment amounts are not cash payments made to directors. The amounts represent the value ascribed by an acceptable
valuation method to options or performance rights granted and measured under the accounting standard AASB 2 Share-based
payments. Further information about options and performance rights granted can be found within the annual report.
Page 27
d) Service Agreements
Remuneration and other terms of employment for the directors and key management personnel, except
those of Non-executive Directors, are formalised in Employment Agreements or Letters of Offer. Details of
the employment conditions for directors and key management personnel are set out below:
Mark Okeby – Chairman
Mr Okeby was appointed as Director of the Company on 3 March 2022 in the role of Non-executive Chairman.
The terms of his contract include:
Annual remuneration of $55,000 per annum, including superannuation contributions.
Mr Okeby will be issued 4,000,000 unlisted options, exercisable at $0.236 each, with an expiry date of 21
February 2025 (shareholder approval granted 13th April 2022).
Mr Okeby received cash payments and share options totalling $476,032 in his role as Chairman of the
Company.
James Simpson – CEO & Managing Director
Mr Simpson was appointed a Director of the Company on 9 September 2019 and was appointed to the role
of CEO and Managing Director on 3 March 2022. The terms of his contract include:
Salary of $450,000 per annum (inclusive of statutory superannuation) .
Continuation of his participation in the Company’s Incentive Option Plan.
Mr Simpson will be issued 6,000,000 unlisted options, exercisable at $0.236 each, with an expiry date
of 21 February 2025 (shareholder approval granted 13th April 2022).
Other than for serious misconduct, the Company is required to give Mr Simpson 3 months’ notice of
termination, plus 3 months’ salary.
Mr Simpson is required to give the Company 3 months’ notice of resignation.
If there is a Fundamental Change in Mr Simpson’s employment status, Mr Simpson can terminate the
agreement with 1 months’ notice and will be paid a sum equal to 12 months’ salary.
Mr Simpson received cash payments, leave entitlements and share-based payments totalling $1,012,294
(2021: $256,742) in his roles as Executive Director Mining and CEO and Managing Director of the Company.
Page 28
Robert Tyson – Executive Director – Technical
Mr Tyson was appointed a Director of the Company on 20 April 2006. During the year Mr Tyson transitioned
to the role of Executive Director - Technical of the Company under an ongoing contract. The terms of his
contract include:
The Executive Director - Technical receives fixed remuneration of $310,000 per annum gross, plus
statutory superannuation guarantee.
Continuation of his participation in the Company’s Incentive Option Plan.
Mr Tyson will be issued 3,000,000 unlisted options, exercisable at $0.236 each, with an expiry date of
21 February 2025 (shareholder approval granted 13th April 2022.
The Executive Director is required to give the Company 3 months’ notice of resignation.
Other than for serious misconduct, the Company is required to give Mr Tyson 3 months’ notice of
termination, plus 3 months’ salary.
If there is a Fundamental Change in Mr Tyson’s employment status, Mr Tyson can terminate the
agreement with 1 months’ notice and will be paid a sum equal to 12 months’ salary.
Mr Tyson received cash payments, leave entitlements and share-based payments totalling $871,893 (2021:
$511,623) in his roles as Managing Director and Executive Director – Technical of the Company.
Simon Hadfield – Non Executive Director
Mr Hadfield was appointed a Director of the Company on 20 April 2006. Mr Hadfield has not entered into a
formal contract with the Company in respect to his appointment as a Director of the Company. Mr Hadfield
received cash payments and share options totalling $55,004 (2021: $54,754) in his roles as Chairman and a
Non-executive Director of the Company during the year.
Graham Hardie – Non Executive Director
Mr Hardie was appointed a Director of the Company on 24 February 2010. Mr Hardie has not entered into a
formal contract with the Company in respect to his appointment as a Non-executive Director. Mr Hardie
received cash payments and share options totalling $55,004 (2021: $54,754) in his role as a Non-executive
Director of the Company during the year.
Ryan Woodhouse – Company Secretary & Chief Financial Officer
Mr Woodhouse is both the Company Secretary and Chief Financial Officer (CFO) of the company. Mr
Woodhouse was appointed a Company Secretary on 7 January 2015. The terms of his contract state:
The Company Secretary and CFO receives fixed remuneration of $220,000 per annum gross, plus
statutory superannuation guarantee.
The Company Secretary and CFO is required to give the Company 3 months’ notice of resignation. Other
than for serious misconduct, the Company is required to give Mr Woodhouse 3 months’ notice of
termination.
The Company Secretary and Chief Financial Officer may be invited to participate in the Company’s
Employee Share Option Plan.
Mr Woodhouse received cash payments, leave entitlements and share-based payments totalling $299,844
(2021: $301,593) in his role as Company Secretary and Chief Financial Officer of the Company.
Page 29
e) Share-based compensation
Details of options and performance rights over ordinary shares in the Company provided as remuneration
to each director and key management personnel of Peel Mining Limited are set out below. When exercisable,
each option or performance right is convertible into one ordinary share of Peel Mining Limited. Further
information on share-based payments is set out in note 20 to the financial statements.
Options
KMP
Fair value at grant date
M Okeby1
J Simpson
R Tyson
S Hadfield
G Hardie
2022
$
457,697
686,546
343,273
-
-
2021
$
-
-
-
-
-
R Woodhouse
460
25,823
Number of options
granted during the year
Number of options vested
during the year
20222
2021
2022
2021
Number
Number
Number
Number
4,000,000
6,000,000
3,000,000
-
-
-
-
-
-
-
-
4,000,000
-
6,000,000
1,000,000
3,000,000
-
-
-
-
-
400,000
200,000
200,000
1. Appointed 3 March 2022
2. These options had no vesting conditions and were issued to the KMPs in this manner to encourage retention.
The fair value at grant date of options is recorded evenly over the period from grant date through vesting
date (where vesting conditions exist) for the purpose of reporting share-based payments as remuneration in
the table on page 32. Where options vest immediately the total expense is recorded in that year. Fair values
have been determined using a Black-Scholes option pricing model that takes into account the exercise price,
term of the option, impact of dilution, share price at grant date, price volatility of the underlying share,
expected dividend yield and the risk-free interest rate for the term of the option.
Options over shares in Peel Mining Limited may be granted to Employees or Directors under the Company’s
Employee Share Option Plan, which was initially created in June 2008, and re-approved by shareholders at
the annual general meeting held on 28 November 2019. The Employee Share Option Plan is designed to
provide long-term incentives for employees to deliver long-term shareholder returns. Participation in the
plan is at the board’s discretion.
Options granted to executive directors during the year were ratified at the company’s Extraordinary General
Meeting on 13 April 2022. As per AASB 2 Share Based Payments, the options were valued on this date.
Page 30
Performance Rights
KMP
Fair value at grant date
M Okeby1
J Simpson
R Tyson
S Hadfield
G Hardie
2022
$
-
111,123
186,540
-
-
2021
$
-
183,250
311,525
-
-
Number of performance
rights granted during the
year
Number of performance
rights vested during the
year
2022
2021
2022
2021
Number
Number
Number
Number
-
-
500,000
1,000,000
800,000
1,700,000
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
R Woodhouse
59,092
90,740
300,000
400,000
1. Appointed 3 March 2022
2. J. Simpson was issued 125,000 of Class D, 125,000 of Class E and 250,000 of Class F. R. Tyson was issued 200,000 of Class D, 200,000
of Class E and 400,000 of Class F. R Woodhouse was issued 75,000 Class D, 75,000 of Class E and 150,000 of Class F.
Performance rights were granted to executive directors and employees during the year. The director
performance rights were ratified at the company’s AGM on 29 November 2021, whilst the employee
performance rights fall under the Employee Share Plan. These performance rights were divided into three
vesting classes, Classes D, E & F which are defined below, and expire on 31 December 2023.
Class D Performance Rights - The Company publishing a Definitive Feasibility Study (as defined in the JORC
Code) in relation to the South Cobar Project, on or before 31 December 2023.
Class E Performance Rights - The Company commencing decline development (exploration or mining) at the
South Cobar Project on or before 31 December 2023.
Class F Performance Rights - will be subject to a hurdle based on the Company’s Total Shareholder Return
(TSR), which will be calculated as follows:
TSR
<50%
Between
Between
Percentage of Class F Performance Rights that will vest
0%
50% and 100%
50% and 100% (on a pro rata basis)
Greater than 100%
100%
The performance rights for Classes D & E are valued at $0.225 and the performance rights for Class F are
valued at $0.114 by an independent consultant. The total value of related party share based payment at grant
date is $271,200, the expense will be prorated over two years per the vesting conditions. Please refer to note
20 for more details on the different classes and its fair value.
Page 31
The terms and conditions of each grant of options or performance rights existing for both directors and
employees at reporting date is as follows:
Grant Date
28 November
2019
28 November
2019
Date Vested & Exercisable
2,000,000 Director Options
28 November 2019
2,000,000 Executive Director Options
under the ESOP
28 November 2019 (50%)
28 November 2020 (50%)
Expiry Date
29 November
2022
9 September
2022
Exercise Price
32.0 cents
Value per
Option at Grant
Date
12.9 cents
31.0 cents
12.6 cents
13 July 2020
2,050,000 Employee Options
13 July 2020 (50%)
13 July 2021 (50%)
26 November
2020
1,755,000 Executive Directors’
Performance Rights Class A & B
31 Dec 2022 (100%)
26 November
2020
945,000 Executive Directors’
Performance Rights Class C
31 Dec 2022 (100%)
23 December
2020
260,000 Employee Performance
Rights lass A & B
31 Dec 2022 (100%)
23 December
2020
140,000 Employee Performance
Rights Class C
31 Dec 2022 (100%)
29 November
2021
650,000 Executive Director
Performance Rights Class D & E
31 December 2023
29 November
2021
650,000 Executive Director
Performance Rights Class F
31 December 2023
29 November
2021
150,000 Employee Performance
Rights Class D & E
31 December 2023
29 November
2021
150,000 Employee Performance
Rights Class F
31 December 2023
22 February
2022
13,000,000 Director Options
22 February 20221
12 July 2023
27.5 cents
6.4 cents
26 May 2023
0.0 cents
22.0 cents
26 May 2023
0.0 cents
11.5 cents
23 June 2023
0.0 cents
26.5 cents
26 May 2023
0.0 cents
15.6 cents
31 December
2023
31 December
2023
31 December
2023
31 December
2023
0.0 cents
22.5 cents
0.0 cents
11.4 cents
0.0 cents
22.5 cents
0.0 cents
11.4 cents
21 February 2025
23.6 cents
13.1 cents
1. The director options were issued on 22 February 2022 subject to receiving shareholder approval, which was granted at the
Extraordinary General Meeting on 13 April 2022. As per AASB 2 Share Based Payments, the options were valued on the date which
shareholder approval was granted.
Page 32
Option holdings of key management personnel (KMP)
Balance
Vested &
at the
Granted
Expired
Balance at
Vested
start of
as
during the
Other
end of the
&
30 June 2022
the year
compensation
year
Exercised
Change
year
exercisable Unvested
M Okeby1
-
4,000,000
J Simpson
2,000,000
6,000,000
-
-
R Tyson
2,000,000
3,000,000
(1,000,000)
S Hadfield
1,000,000
G Hardie
1,000,000
R Woodhouse
800,000
1. Appointed 3 March 2022
-
-
-
(500,000)
(500,000)
(400,000)
-
-
-
-
-
-
-
-
-
-
-
-
4,000,000
4,000,000
8,000,000
8,000,000
4,000,000
4,000,000
500,000
500,000
500,000
500,000
400,000
400,000
-
-
-
-
-
-
Performance rights holdings of key management personnel (KMP)
Vested &
Balance at
Granted
Expired
Balance at
Vested
the start
as
during
Other
end of the
&
30 June 2022
of the year
compensation
the year
Exercised
Change
year
exercisable
Unvested
M Okeby1
-
-
J Simpson
1,000,000
R Tyson
1,700,000
500,000
800,000
S Hadfield
G Hardie
R
-
-
-
-
Woodhouse
400,000
300,000
1. Appointed 3 March 2022
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
1,500,000
2,500,000
-
-
700,000
- 1,500,000
- 2,500,000
-
-
-
-
-
700,000
f) Shareholdings of Directors in Peel Mining Limited
30 June 2022
Balance at
1 July 2021
the year on the
Other changes
exercise of options
during the year
Balance at
30 June 2022
Received during
M Okeby1
J Simpson
R Tyson
S Hadfield
G Hardie
R Woodhouse
1. Appointed 3 March 2022
-
4,556,698
8,019,514
5,050,490
19,365,095
700,000
-
-
-
-
-
-
7,222,222
3,180,969
166,666
722,222
1,388,889
111,111
7,222,222
7,737,667
8,186,180
5,772,712
20,753,984
811,111
Page 33
g) Other transactions with Directors and key management personnel (KMP)
Simon Hadfield is a Director of Resource Information Unit Pty Ltd (RIU). RIU leases the Company office space
and charges the Company lease fees on a monthly basis. Total fees charged to the Company by RIU for the
year ended 30 June 2022 were $61,149 (2021: $59,102).
During the year the Company participated in conferences organised by RIU Conferences Pty Ltd, a company
of which Mr Hadfield is a Director, to the value of $9,900 (2021: $26,950). These amounts are included in
earnings for the year within administration expenses and on the statement of financial position within trade
and other payables at year-end in relation to any unpaid amounts.
Aggregate amounts of each of the above types of “other transactions” with key management personnel of
Peel Mining Limited:
Consolidated
Consolidated
2022
$
2021
$
61,149
9,900
71,049
59,102
26,950
86,052
Amounts recognised as expense
Rent and office management fees
Conferences
h) Additional information
Year end result
Peel Mining Limited listed on 11 May 2007 at $0.20 per share and the share price at 30 June 2022 was $0.16
(2021: $0.25). As an advanced exploration company, it is accustomed for the Company to make losses until it
reaches production. No dividends have been declared or paid during the reporting period.
Share-based compensations – options and performance rights
Other than options granted and ratified at the Extraordinary Meeting on 13 April 2022, as described in (e)
above, and performance rights issued to directors, which were ratified by the AGM on 29 November 2021,
and those issued to the CFO on the same terms under the Performance Rights and Options Plan, there were
no options or performance rights issued to or exercised by directors of Peel Mining Limited or other key
management personnel during the year.
Use of remuneration consultants
During the year ended 30 June 2022, the Group did not employ the services of a remuneration consultant to
review its existing remuneration policies and to provide recommendations in respect of both executive short-
term and long-term incentive plan design.
Voting and comments made at the Company’s 2021 Annual General Meeting
Peel Mining Limited received 99% of “yes” votes on its remuneration report for the 2021 financial year. The
Company did not receive any specific feedback at the AGM or throughout the year on its remuneration
practices.
End of Audited Remuneration Report
Page 34
Shares under option or performance rights
Date options or
performance right granted
28 November 2019
28 November 2019
13 July 2020
26 November 2020
23 December 2020
29 November 2021
29 November 2021
22 February 20221
22 February 20222
Expiry date
9 September 2022
29 November 2022
12 July 2023
23 June 2023
26 May 2023
31 December 2023
31 December 2023
21 February 2025
21 February 2025
Issue price of
shares
$
Number under
option
0.310
0.320
0.275
nil
nil
nil
nil
0.236
0.236
2,000,000
2,000,000
2,050,000
2,700,000
400,000
1,300,000
300,000
13,000,000
4,248,106
1. The director options were issued on 22 February 2022 subject to receiving shareholder approval, which was granted at the
Extraordinary General Meeting on 13 April 2022
2. Issued to Ashanti Capital as lead manager of the share placement in February 2022, subject to receiving shareholder approval, which
was granted at the Extraordinary General Meeting on 13 April 2022.
No option holder has any right under the options to participate in any other share issue of the Company
Indemnification and Insurance of Directors and Officers
During the financial year the Company paid a premium of $71,723 (2021: of $53,284) to insure the directors
and officers of the Group. The policy indemnifies each director and officer of the Group against certain
liabilities arising in the course of their duties.
Indemnification of Auditors
To the extent permitted by law, the Company has agreed to indemnify its auditors, Ernst & Young Australia,
as part of the terms of its audit engagement agreement against claims by third parties arising from the audit.
No payment has been made to indemnify Ernst & Young Australia during or since the financial year.
Proceedings on behalf of the Company
No person has applied for leave of court to bring proceedings on behalf of the Group or intervene in any
proceedings to which the Group is a party for the purpose of taking responsibility on behalf of the Group for
all or any part of those proceedings. The Group was not a party to any such proceedings during the year.
Page 36
Environmental Regulation
The Group holds exploration licences and mining leases in Australia. These licences specify guidelines for
environmental impacts in relation to exploration activities. The licence conditions provide for the full
rehabilitation of the areas of exploration in accordance with the respective jurisdiction’s guidelines and
standards. The Company is not aware of any significant breaches of the licence condition.
Auditor’s Independence Declaration
A copy of the Auditor’s Independence Declaration as required under section 307C of the Corporations Act
2001 is included at the end of this financial report.
Non-Audit Services
The Company may decide to employ the auditor on assignments additional to their statutory audit duties
where the auditor’s expertise and experience with the Company are important. The Board has considered
the position and is satisfied that the provision of the non-audit services is compatible with the general
standard of independence for auditors imposed by the Corporations Act 2001.
The Directors are satisfied that the provision of non-audit services by the auditor as set out below did not
compromise the auditor independence requirements of the Corporations Act 2001 for the following reasons:
All non-audit services have been reviewed by the Board to ensure they do not impact the impartiality
and objectivity of the auditor; and,
None of the services undermine the general principles relating to the auditor independence as set out
in APES 110 Code of Ethics for Professional Accountants.
Details of the fees paid to the auditor during the year can be found at note 21 of the notes to the consolidated
financial statements.
This report is made in accordance with a resolution of the board of directors and signed for on behalf of the
board by:
James Simpson
CEO & Managing Director
Perth, Western Australia
20th September 2022
Page 37
Consolidated statement of profit or loss & other
comprehensive income for the year ended 30 June
2022
Revenues and other income
Interest income
Net gain or loss on disposal of assets
Revenue and other income
Share-based remuneration to directors & employees
Depreciation expense
Employee and directors’ benefit expenses
Administration expenses
Write-off of exploration expenditure
Profit (loss) before income tax
Income tax benefit (expense)
Profit (loss) from continuing operations after
income tax
Items that will not be classified to profit or loss
Changes in the fair value of equity assets at fair value
through other comprehensive income
Deferred tax charged through OCI
Total comprehensive (loss)/ income for the year
attributable to the members of Peel Mining Limited
Basic (loss)/earnings per share for the year attributable
to the members of Peel Mining Limited
Diluted (loss)/earnings per share for the year
attributable to the members of Peel Mining Limited
Note
12 (i)
12 (ii)
12 (iii)
20
7
13
13
5
14
8
14
22
22
Consolidated
2022
$
2021
$
42
39,780
(358)
39,464
(1,846,627)
(146,416)
(914,259)
(1,045,003)
(60,211)
7,437,642
40,359
1,290,676
8,768,677
(344,628)
(113,323)
(761,189)
(821,128)
(345,584)
(3,973,052)
6,382,825
551,128
(2,691,474)
(3,421,924)
3,691,351
(1,100,000)
61,756
-
(16,027)
(4,521,924)
3,737,080
(0.007)
0.010
(0.007)
0.010
The above consolidated statement of profit or loss and other comprehensive income should be read in conjunction with the accompanying
notes.
Page 38
Consolidated statement of financial position as at
30 June 2022
Current Assets
Cash and cash equivalents
Trade and other receivables
Total Current Assets
Non-Current Assets
Security deposits
Property
Plant & equipment
Investments in listed securities
Exploration assets
Total Non-Current Assets
Total Assets
Current Liabilities
Trade and other payables
Total Current Liabilities
Non-Current Liabilities
Deferred tax liability
Total Non-Current Liabilities
Total Liabilities
Net Assets
Equity
Contributed equity
Accumulated losses
Share based payment reserve
Fair value reserve of financial assets at FVOCI
Total Equity
Consolidated
Note
2022
$
2021
$
4
6
6
7
7
2
5
9
22,556,938
16,796,149
297,374
384,634
22,854,312
17,180,783
597,990
2,757,249
707,627
650,000
589,366
840,487
513,609
1,750,000
89,717,191
70,409,634
94,430,057
74,103,096
117,284,369
91,283,879
2,751,520
2,751,520
2,071,225
2,071,225
14
1,553,495
1,553,495
2,219,644
2,219,644
4,305,015
4,290,869
112,979,354
86,993,010
10
113,304,683
84,917,005
11(i)
11(ii)
11(iii)
(5,682,750)
(2,260,826)
6,457,421
4,336,831
(1,100,000)
-
112,979,354
86,993,010
The above consolidated statement of financial position should be read in conjunction with the accompanying notes.
Page 39
Consolidated statement of changes in equity for the
year ended 30 June 2022
Contributed
equity
Accumulated
losses
Fair value
reserve of
financial
assets at
FVOCI
Share based
payment
reserve
Total
equity
$
$
$
$
$
48,977,246
(6,857,906)
860,000
3,992,203
46,971,543
-
-
-
-
-
3,691,351
-
-
-
61,756
(16,027)
921,756
(921,756)
(16,027)
16,027
37,403,329
(1,951,427)
487,857
-
-
-
-
84,917,005
(2,260,826)
(3,421,924)
-
-
-
-
-
-
-
29,280,665
(1,008,008)
115,021
-
-
-
-
-
-
-
-
(1,100,000)
-
-
-
-
-
-
-
-
-
-
-
-
344,628
3,691,351
61,756
(16,027)
-
-
37,403,329
(1,951,427)
487,857
344,628
4,336,831
86,993,010
-
-
-
-
-
(3,421,924)
(1,100,000)
29,280,665
(1,008,008)
115,021
1,846,627
1,846,627
273,963
273,963
Consolidated
Balance at
30 June 2020
Profit for the year
Other comprehensive
income - revaluation
11
11
Deferred tax charge
through OCI
Transfer of gain on
disposal of equity
investments at FVOCI to
accumulated losses
Transfer of deferred tax
charge to accumulated
losses
Issue of share capital
Share issue expenses
Deferred tax charge to
equity
Share based payments
Balance at
30 June 2021
Profit for the year
Other comprehensive
income – revaluation
Issue of share capital
Share issue expenses
Deferred tax charge to
equity
Share based payments
– employees
Share based payments
– other
Balance at 30 June
2022
11
10
10
14
20
11
11
10
10
14
20
113,304,683
(5,682,750)
(1,100,000)
6,457,421
112,979,354
The above consolidated statement of changes in equity should be read in conjunction with the accompanying notes.
Page 40
Consolidated statement of cashflows for the year
ended 30 June 2022
Cash flows from operating activities
Payments to suppliers and employees
Government relief grants
Management fee income
Interest received
Consolidated
2022
$
2021
$
(2,108,948)
(1,546,183)
-
-
22,992
77,626
13,010
40,359
Note
12(i)
12(i)
12(ii)
Net cash outflow from operating activities
(2,085,956)
(1,415,188)
Cash flows from investing activities
Payments for exploration expenditure
Payment for Mallee Bull asset acquisition
Payment for Wedarla royalty
Transfer to security deposits
Payments for purchases of property, plant and equipment
Proceeds from sale of financial asset
Research and Development Tax Incentive - E&E Asset
(18,414,582)
(10,189,063)
-
-
(17,000,000)
(1,200,000)
(10,000)
(2,275,292)
-
-
(47,500)
(228,178)
2,892,539
332,545
Net cash outflow from investing activities
(20,699,874)
(25,439,657)
Cash flows from financing activities
Proceeds from issue of shares
Transaction costs of issue of shares
Net cash inflow from financing activities
10
10
29,006,702
37,403,329
(460,083)
(1,951,427)
28,546,619
35,451,902
Net increase in cash and cash equivalents
Cash and cash equivalents at the start of year
5,760,789
16,796,149
8,597,057
8,199,092
Cash and cash equivalents at the end of year
4
22,556,938
16,796,149
The above consolidated statement of cashflows should be read in conjunction with the accompanying notes.
Page 41
Notes to the consolidated financial statements
1. Subsidiaries
The consolidated financial statements incorporate the assets, liabilities and results of the following
subsidiaries in accordance with the accounting policy described in note 24(b):
Name
Country of
Incorporation
Class of
Shares
Equity holding
2022
Equity holding
2021
Peel Environmental Services Ltd
Apollo Mining Pty Ltd
Peel (CSP) Pty Ltd
Peel Far West Pty Ltd
Australia
Australia
Australia
Australia
Ordinary
Ordinary
Ordinary
Ordinary
%
100.00
100.00
100.00
100.00
%
100.00
100.00
100.00
100.00
2. Investment in listed securities
On 30 June 2021, Odin Metals Limited (‘Odin’) issued the 50,000,000 fully paid ordinary shares to Peel on 30
June 2021 as consideration for the sale of its Koonenberry Project licenses which were carried at $453,536.
The fair value of the listed security was $1,750,000. The Company recorded a gain on sale on the disposal of
$1,296,464 once the conditions precedent were met. The securities were issued and quoted on 30 June 2021.
The closing price for the securities that day was AU$0.035.
The company did not acquire or dispose of any investments in listed securities during year ended 30 June
2022. The Odin securities were revalued during the period and a revaluation loss of $1,100,000 was recorded
through other comprehensive income as shown below:
Listed securities – beginning of the period
Obtained as consideration on sale of Exploration Assets
Revaluation through other comprehensive income
Consolidated
2022
$
2021
$
1,750,000
.
-
1,750,000
(1,100,000)
Note
8
8
Listed securities – end of the period
650,000
1,750,000
For more information on investments in listed securities, including the Group’s policies for estimating fair
value, see note 8.
Page 42
3. Segment information
Management has determined that the Group has only one reportable segment being mineral exploration
and development in New South Wales.
The Group is focused on mineral exploration and development of the South Cobar Project, and the Board
monitors the Group based on actual versus budgeted expenditure incurred. This internal reporting
framework is the most relevant to assist the Board with making decisions regarding the Group and its
ongoing exploration and development activities, while also taking into consideration the results of
exploration work that has been performed. The Board will review its position on the Company’s reportable
segments as it progresses towards development.
4. Cash and cash equivalents
Cash at bank and in hand
Term deposits with financial institutions1
Refer to Note 16 for the policy on financial risk management
1.
Term deposits have an original maturity date of 90-days or less.
Consolidated
Consolidated
2022
$
2021
$
3,553,931
16,796,149
19,003,007
-
22,556,938
16,796,149
Page 43
5. Exploration assets
All exploration and evaluation expenditure is capitalised under AASB 6 Exploration for and Evaluation of
Mineral Resources. Mineral interest acquisition costs and exploration and evaluation expenditure incurred is
accumulated and capitalised in relation to each identifiable area of interest.
These costs are only carried forward to the extent that the Group’s right to tenure to that area of interest are
current and either the costs are expected to be recouped through successful development and exploitation
of the area of interest (alternatively by sale) or where areas of interest have not at reporting date reached a
stage which permits a reasonable assessment of the existence or otherwise of economically recoverable
reserves, and active, and significant operations are undertaken in relation to the area of interest.
Amortisation is not charged on costs carried forward in respect of areas of interest in the exploration and
evaluation phase or development phase until production commences.
Peel accounts for funds received from the ATO under the Research and Development (R&D) Tax Incentive
Scheme as an offset to the Exploration and Evaluation asset, where the initial expenses to which it relates
were capitalised. No R&D Tax Incentive Scheme claims were made in the year ended 30 June 2022 (2021: Nil).
At cost
Opening balance
Acquisition of assets
Exploration expenditure
Consolidated
Consolidated
Note
2022
$
2021
$
89,717,191
70,409,634
70,409,634
-
19,367,768
-
-
(60,211)
41,896,334
18,200,000
11,444,965
(453,536)
(332,545)
(345,584)
Disposal of Koonenberry Assets
2
Research and development tax incentive grant
Write-off of exploration expenditure
Closing balance
89,717,191
70,409,634
Impairment assessment
The carrying value of capitalised exploration and evaluation expenditure is assessed for impairment regularly
and if after expenditure is capitalised, information becomes available suggesting that the recovery of
expenditure is unlikely or that the Group no longer holds tenure, the relevant capitalised amount is written
off to the Consolidated Statement of Profit or Loss and Other Comprehensive Income in the period when the
new information becomes available.
Mineral exploration and evaluation expenditure are also assessed for impairment prior to the reclassification
as mine properties and development costs.
During the period, the Company has written off $60,211 (2021: $345,584) of exploration assets.
Page 44
6. Trade and other receivables
Trade receivables are amounts due from customers for goods sold or services performed in the ordinary
course of business. They are generally due for settlement within 30 days and therefore are all classified as
current. Trade receivables are recognised initially at the amount of consideration that is unconditional unless
they contain significant financing components, when they are recognised at fair value. The Group holds the
trade receivables with the objective to collect the contractual cash flows and therefore measures them
subsequently at amortised cost using the effective interest method.
The Group applies the AASB 9 simplified approach to measuring expected credit losses which uses a lifetime
expected loss allowance for all trade receivables. Other current receivables and prepayments were previously
presented together with trade receivables but are now presented as other financial assets at amortised cost
(receivables) and other current assets (prepayments) in the balance sheet, to reflect their different nature.
In determining the recoverability of a trade or other receivable using the expected credit loss model, the
Group performs a risk analysis considering the type and age of the outstanding receivables, the
creditworthiness of the counterparty, contract provisions, letter of credit and timing of payment.
No material provision for credit losses was required to be recognised in the current period ending 30 June
2022 (2021: Nil).
The Group classifies its financial assets as loans and receivables. Management determines the classification
at initial recognition and where applicable re-evaluates this designation at the end of each reporting period.
Loans and receivables are carried at amortised cost using the effective interest method. The Group assesses
at the end of each financial period whether a financial asset is impaired.
Security deposits are non-derivative financial assets with fixed or determinable payments that are not quoted
in an active market.
Receivables (Current)
Trade and other receivables
GST recoverable from taxation authority
Accrued income
Prepayments
Refer to Note 16 for the policy on financial risk management
Receivables (Non-current)
Security deposits in relation to exploration tenements
Refer to Note 16 for the policy on financial risk management.
Consolidated
Consolidated
2022
$
2021
$
-
204,106
16,788
76,480
297,374
86,546
241,550
-
56,538
384,634
597,990
597,990
589,366
589,366
Page 45
7. Property, plant and equipment
Property (land held at cost)
Property, being interests in land, is held at historical cost and is not depreciated as per AASB 116 Property,
Plant and Equipment.
During the year, the Company purchased Shuttleton Station, a 12,000 acre property ~70km south of Cobar
NSW. Under the terms of the purchase and sale agreement with a private landholder, Peel has paid total
consideration of $1,830,000 (plus costs), which has given them a combination of freehold land ownership and
perpetual rights via Western Lands Lease.
Plant and equipment
All assets acquired, including plant and equipment are initially recorded at their cost of acquisition, being the
fair value of the consideration provided plus incidental costs directly attributable to the acquisition.
Depreciation on plant and equipment is calculated using the straight-line method to allocate their cost or
revalued amounts over their estimated useful lives from the time the asset is held ready for use as follows:
Plant
Vehicles
Office equipment
Computer software
3-10 years
3-5 years
3-5 years
3-5 years
The assets’ residual values and useful lives are reviewed, and adjusted if appropriate, at the end of each
reporting period. An asset’s carrying amount is written down immediately to its recoverable amount if the
asset’s carrying amount is impaired.
An item of plant and equipment is derecognised upon disposal or when no future economic benefits are
expected from its use or disposal.
Any gain or loss arising on de-recognition of the asset (calculated as the difference between net disposal
proceeds and the carrying amount of the asset) is included in profit or loss in the year the asset is
derecognised.
Impairment of assets
At each reporting date, the Group assesses whether there is any indication that an asset may be impaired.
Where an indicator of impairment exists, the Company makes a formal estimate of recoverable amount.
Where the carrying amount of an asset exceeds its recoverable amount the asset is considered impaired and
is written down to its recoverable amount.
Recoverable amount is the greater of fair value less costs of disposal and value in use. It is determined for
an individual asset, unless the asset’s value in use cannot be estimated to be close to its fair value less costs
of disposal and it does not generate cash inflows that are largely independent of those from other assets or
groups of assets, in which case, the recoverable amount is determined for the cash-generating unit to which
the asset belongs. The estimated future cash flows are discounted to their present value using a post-tax
discount rate reflecting current market assessments of the time value of money and the risks specific to the
asset.
No impairment loss has been recognised for the year ended 30 June 2022 (2021: $nil).
Page 46
Property
Land (at cost)
Plant and equipment
Depreciating plant and equipment
Less accumulated depreciation
Total property, plant and equipment
2022 Reconciliation
Carrying amount at beginning of year
Additions
Depreciation expense
Accumulated depreciation on disposals
Disposals
Closing balance
2021 Reconciliation
Carrying amount at beginning of year
Additions
Depreciation expense
Accumulated depreciation on disposals
Disposals
Closing balance
Consolidated
Consolidated
2022
$
2021
$
2,757,249
840,487
1,367,273
(659,646)
707,627
3,464,876
Plant &
Equipment
513,609
343,792
(146,416)
27,365
(30,723)
707,627
Plant &
Equipment
386,034
269,648
(113,323)
84,626
(113,376)
513,609
Property
840,487
1,916,762
-
-
-
2,757,249
Property
840,487
-
-
-
840,487
1,054,205
(540,596)
513,609
1,354,096
Total
1,354,096
2,260,554
(146,416)
27,365
(30,723)
3,464,876
Total
1,226,521
269,648
(113,323)
84,626
(113,376)
1,354,096
Page 47
8. Financial assets at fair value through comprehensive income
Classification of financial assets at fair value through other comprehensive income
Financial assets at fair value through other comprehensive income (FVOCI) held by the Group comprise of
equity securities, with companies listed on the Australian securities exchange. The group has irrevocably
elected at initial recognition to recognise category gains and losses through other comprehensive income
and accumulated in the fair value reserve of financial assets at FVOCI. These are strategic investments and
the Group considers this classification to be more relevant. On disposal of these equity investments, any
related balance within the fair value reserve is reclassified to accumulated losses. Note 24 sets out the
remaining accounting policies in relation to Financial Assets.
Listed securities at fair value through other comprehensive income
Listed securities at FVOCI comprise the following individual investments:
Non-current assets
Listed securities
Odin Metals Limited
Consolidated
Consolidated
2022
$
2021
$
650,000
650,000
1,750,000
1,750,000
During the year, the following gains (losses) were recognised in profit and loss and other comprehensive
income.
Gain/(loss) recognised in other comprehensive income
related to equity investments
(1,100,000)
61,756
Consolidated
Consolidated
2022
$
2021
$
Page 48
Fair value hierarchy
This section explains the judgements and estimates made in determining the fair values of the financial
instruments that are recognised and measured at fair value in the financial statements. To provide an
indication about the reliability of the inputs used in determining fair value, the group has classified its
financial instruments into the three levels prescribed under the accounting standards. An explanation of each
level follows under the table.
Recurring fair value measurements as at
30 June 2022
Level 1
$
Level 2
$
Level 3
$
Total
$
Financial Assets
Financial Assets at fair value through other
comprehensive income (FVOCI)
Listed securities
Total financial assets
650,000
650,000
650,000
650,000
Recurring fair value measurements as at 30
June 2021
Level 1
$
Level 2
$
Level 3
$
Total
$
Financial Assets
Financial Assets at fair value through other
comprehensive income (FVOCI)
Listed securities
Total financial assets
1,750,000
1,750,000
-
-
-
-
1,750,000
1,750,000
There were no transfers between the levels for recurring fair value measurements during the year. The
group’s policy is to recognise transfers into and out of fair value hierarchy levels as at the end of the reporting
period.
Level 1: The fair value of financial instruments traded in active markets (such as publicly traded derivatives
and 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 current bid price. These instruments are
included in level 1.
Level 2: The fair value of financial instruments that are not traded in an active market (for example, over-the-
counter derivatives) is determined using valuation techniques which maximise the use of observable market
data and rely as little as possible on entity-specific estimates. If all significant inputs required to fair value an
instrument are observable, the instrument is included in level 2.
Level 3: If one or more of the significant inputs is not based on observable market data, the instrument is
included in level 3. This is the case for unlisted equity securities.
All of the resulting fair value estimates for the year ended 30 June 2022 and 2021 are included in level 1 as
the financial instruments are securities listed on the Australian securities exchange. Therefore, the fair value
estimate is the share price of the listed securities as at balance date ($0.013 – 30 June 2022; $0.035 - 30 June
2021).
Page 49
9. Trade and other payables
These amounts represent liabilities for goods and services provided to the Group prior to the end of the
financial year which are unpaid. The amounts are unsecured and are usually payable within 30 days of
invoice. They are recognised initially at fair value and subsequently at amortised cost.
Consolidated
Consolidated
2022
$
1,287,024
1,464,496
2,751,520
2021
$
1,641,258
429,967
2,071,225
Trade payables
Accrued expenses & other payables
10. Contributed equity
Ordinary shares are classified as equity. Incremental costs directly attributable to the issue of new shares,
performance rights or options are shown in equity as a deduction, net of tax, from the proceeds. Incremental
costs directly attributable to the issue of new shares, performance rights or options for the acquisition of a
business are not included in the cost of the acquisition as part of the purchase consideration.
If the entity acquires its own equity instruments, e.g. as the result of a share buy-back, those instruments are
deducted from equity and the associated shares are cancelled. No gain or loss is recognised in the profit or
loss and the consideration paid including any directly attributable incremental costs (net of income taxes) are
recognised directly in equity.
a) Share Capital
Consolidated and Parent entity
2022
2021
Number of
Shares
$
Number of
Shares
$
580,767,868
113,304,683
418,097,757
84,917,005
Authorised and issued,
ordinary shares fully paid
b) Movements in ordinary share capital
Consolidated and Parent entity
2022
2021
Number of
shares
$
Number of
shares
$
Opening balance, 1 July
418,097,757
84,917,005
243,683,611
48,977,246
Shares issued as a result of share placements
116,666,669
21,000,000
130,000,000
29,050,000
Shares issued as a result of rights entitlement
44,481,428
8,006,702
44,414,146
8,353,329
Shares issued in lieu of fees for services
1,522,014
273,963
Transaction costs on share issues (cash)
Transaction costs on share issues (non-cash)
Deferred tax charged to equity
-
-
-
(460,083)
(547,925)
115,021
-
-
-
-
-
(1,951,427)
-
487,857
Closing balance, 30 June
580,767,868
113,304,683
418,097,757
84,917,005
Page 50
c) Ordinary shares
Ordinary shares entitle the holder to participate in dividends and the proceeds on winding up of the Company
in proportion to the number of and amounts paid on the shares held.
By a poll, every ordinary share provides an entitlement to one vote either in person at the meeting or by
proxy.
Ordinary shares have no par value, and the company does not have a limited amount of authorised capital.
d) Options
Information relating to options issued during the year is set out in note 20.
e) Performance rights
Information relating to performance rights issued during the year is set out in note 20.
f) Capital risk management
In employing its capital, the Company seeks to ensure that it will be able to continue as a going concern and
in time provide value to shareholders by way of increased market capitalisation and/or dividends. In the
current stage of its development, the Company has invested its available capital in acquiring and exploring
mining tenements. As is appropriate at this stage, the Company is funded entirely by equity. As it moves
forward to develop its tenements towards production, the Company will adjust its capital structure to support
its operational and strategic objectives, by raising additional capital or taking on debt, as is seen to be
appropriate from time to time given the overriding objective of creating shareholder value. In this regard,
the board will consider each step forward in the development of the Company on its merits and in the context
of the then capital markets, in deciding how to structure funding arrangements.
Page 51
11. Reserves and accumulated losses
(i) Accumulated losses
Opening balance
Profit (loss) for the year after tax
Reclassification of gain on disposal of equity
instruments at FVOCI, net of tax
Transfer of deferred tax charge to accumulated losses
Closing balance
(ii) Share-based payment reserve
Opening balance
Share based payment expenses
Share based payment expenses (other options)
Closing balance
(iii) Fair value reserve of financial assets at FVOCI
Opening balance
Fair value movement on financial assets
Deferred tax charge through OCI
Reclassification of gain on disposal of equity
instruments at FVOCI, net of tax
Transfer of deferred tax charge to accumulated losses
Consolidated
Consolidated
2022
$
2021
$
(2,260,826)
(6,857,906)
(3,421,924)
3,691,351
-
-
921,756
(16,027)
(5,682,750)
(2,260,826)
4,336,831
1,846,627
273,963
3,992,203
344,628
-
6,457,421
4,336,831
-
(1,100,000)
-
-
-
Closing balance
(1,100,000)
860,000
61,756
(16,027)
(921,756)
16,027
-
Page 52
Nature and purpose of share-based payment reserve
The share-based payment reserve represents the fair value of equity benefits provided to directors and
employees as part of their remuneration for services provided to the Company paid for by the issue of equity.
Refer note 20 for more details.
Consolidated and parent entity
2022
2021
Number
$
Number
$
Opening balance
12,712,500
4,336,831
10,462,500
3,992,203
Options issued to directors, employees &
contractors
13,000,000
1,489,873
2,050,000
181,688
Options issued to broker in lieu of service fees
4,248,106
273,963
Performance rights issued to directors &
employees
Lapsed
Exercised
Closing balance
1,600,000
356,754
3,100,000
162,940
(3,562,500)
-
-
-
(2,900,000)
-
-
-
27,998,106
6,457,421
12,712,500
4,336,831
Option exercisable at $0.641 each on or
before 7 December 2021
Options exercisable at $0.570 each on or
before 7 December 2021
Options exercisable at $0.310 each on or
before 9 September 2022
Options exercisable at $0.320 each on or
before 29 November 2022
Options exercisable at $0.275 each on or before
12 July 2023
-
-
2,000,000
2,000,000
2,050,000
Performance rights expiry 26 May 2023
3,100,000
Performance rights expiry 31 December 2023
1,600,000
Options exercisable at $0.236 each on or before
21 February 2025
Options exercisable at $0.236 each on or before
21 February 2025
4,248,106
13,000,000
27,998,106
-
-
-
-
-
-
-
-
-
-
2,000,000
1,562,500
2,000,000
2,000,000
2,050,000
3,100,000
-
-
-
12,712,500
-
-
-
-
-
-
-
-
Nature and purpose of fair value reserve of financial assets at FVOCI
The Group has elected to recognise the changes in the fair value of certain investments in listed securities in
other comprehensive income and through this reserve, as explained in note 8. The group transfers amounts
from this reserve to retained earnings or accumulated losses when the listed securities are disposed.
Page 53
12. Revenues and other income
Income recognition
Income is recognised to the extent that it is probable that the economic benefit will flow to the Group and
the income can be reliably measured. The following specific recognition criteria must also be met before
income is recognised.
(i) Other income
Derecognition of deferred income1
Government relief grants2
Operator management fee3
Option subscription price fee4
Note
12
Consolidated
Consolidated
2022
$
2021
$
-
-
-
42
42
7,347,006
77,626
13,010
-
7,437,642
1. Notification was received by Peel from JOGMEC on 14 August 2020 that it was withdrawing from the agreement. The withdrawal
resulted in all rights and interests in the CSP tenure being transferred to Peel at no cost, resulting in Peel regaining 100% ownership
through its subsidiary Peel CSP Pty Ltd. JOGMEC did not take up its 50% interest, thus the full amount of deferred income, being
$7,347,006, has been recognised as a gain in the profit or loss.
2. COVID-19 government assistances received. There are no unfulfilled conditions or other contingencies attaching to these grants. The
government grants are recognised at their fair value.
3. Peel (CSP) Pty Ltd received 10% management fee on all exploration expenses as the operator of the CSP Project, under the JOGMEC
farm-in arrangement. The income was accrued when expenditure was incurred. This revenue fell under the adoption of AASB 15
effective 1 July 2018 as it is identified to be a single performance obligation and separately identifiable from the deferred income.
4. Option subscription price fee received from Ashanti Capital as part of the agreement to issue options in lieu of service fees for share
placement.
(ii) Interest income
Interest income is recognised as the interest accrues using the effective interest rate method.
Interest income
(iii) Gain on disposal of assets
Gain on sale of Koonenberry Assets
(Loss) or gain on disposal of PPE
Consolidated
Consolidated
2022
$
2021
$
39,780
40,359
Note
2
Consolidated
Consolidated
2022
$
-
(358)
(358)
2021
$
1,296,464
(5,788)
1,290,676
Page 54
13. Expenses
Loss before income taxes includes the following specific expenses:
Employees and director’s benefit expenses
Employee costs
Directors’ fees
Superannuation and oncosts
Administration expenses
Corporate
Consultants
Consolidated
Consolidated
2022
$
2021
$
422,547
273,667
218,045
914,259
847,938
197,065
1,045,003
401,255
134,741
225,193
761,189
636,904
184,225
821,129
14. Deferred and income tax expense
The income tax expense (or benefit) for the period is the tax payable (or refundable) on the current period’s
taxable income based on the notional income tax rate for each jurisdiction adjusted by changes in deferred
tax assets and liabilities attributable to temporary differences and to unused tax losses.
Deferred income tax is provided on all temporary differences at the reporting date between the tax bases of
assets and liabilities and their carrying amounts for financial reporting purposes.
Deferred income tax assets are recognised for all deductible temporary differences, carry forward of unused
tax assets and unused tax losses, to the extent that it is probable that taxable profit will be available against
which the deductible temporary differences, and the carry-forward of unused tax assets and unused tax
losses can be utilised.
A deferred income tax asset is not recognised where the deferred income tax asset relating to the deductible
temporary difference arises from the initial recognition of an asset or liability in a transaction that is not a
business combination and, at the time of the transaction, affects neither the accounting profit nor taxable
income or when the deductible temporary difference is associated with investments in subsidiaries,
associates or interests in joint ventures, in which case a deferred tax asset is only recognised to the extent
that it is probable that the temporary difference will reverse in the foreseeable future and taxable profit will
be available against which the temporary difference can be utilised.
The carrying amount of deferred income tax assets are reviewed at each reporting date and reduced to the
extent it is no longer probable that sufficient taxable income will be available to allow all or part of the
deferred income tax asset to be utilised.
Page 55
Deferred income tax assets and liabilities are measured at the tax rates that are expected to apply to the year
when the asset is realised or the liability is settled, based on tax rates (and tax laws) that have been enacted
at the reporting date. Income taxes relating to items recognised directly in equity are recognised in equity
and not in profit and loss for the year.
Current tax
Deferred tax recognised through profit or loss
Deferred tax recognised through OCI
Income Tax Expense
Consolidated
Consolidated
Note
2022
$
2021
$
-
-
(551,128)
2,691,474
-
16,027
(551,128)
2,707,501
Numerical reconciliation of income tax to prima facie tax payable:
Consolidated
Consolidated
2022
$
2021
$
Profit from continuing operations before income tax
(3,973,052)
6,382,825
At the statutory income tax rate of 25% (2021: 26.0%)
(993,263)
1,659,535
Expenditure/income not allowed for income tax purposes:
Share based payments
Sundry items
Benefit of temporary differences not previously recognised
Adjustment in respect to prior years
Effective tax rate change
Adjustments for fair value gains recognised in OCI
Income Tax Expense
461,657
1,531
66,890
(87,943)
-
(551,128)
89,603
(4,729)
1,010,306
(63,240)
16,027
2,707,501
Page 56
Deferred Tax Assets
Tax Losses
Deferred Income
Other
Total DTA
Consolidated
Consolidated
Note
2022
$
2021
$
16,482,233
10,575,912
-
508,459
-
605,705
16,990,692
11,181,617
Set-off of deferred tax liabilities pursuant to set-off provisions
(16,990,692)
(11,181,617)
Net deferred tax assets
-
-
Deferred Tax Liabilities
Exploration Assets
Other
Total DTL
18,525,067
13,401,261
19,120
-
18,544,187
13,401,261
Set-off of deferred tax assets pursuant to set-off provisions
(16,990,692)
(11,181,617)
Net deferred tax liabilities
1,553,495
2,219,644
Net deferred tax liabilities at 1 July
Charged/(credited)
To profit or loss
To other comprehensive income
Directly to equity
Net deferred tax liabilities at 30 June
2022
$
2,219,644
(551,128)
-
(115,021)
1,553,495
2021
$
-
2,691,474
16,027
(487,857)
2,219,644
Page 57
15. Reconciliation of cash flows from operating activities to earnings after
income tax
For statement of cash flows preparation purposes, cash and cash equivalents includes cash on hand and
short-term deposits held at call (other than deposits used as cash backing for performance bonds) with
financial institutions. Any bank overdrafts are shown within borrowings in the current liabilities on the
statement of financial position.
Profit (Loss) after income tax
Adjustments for
Share-based payments
Depreciation
Gain/(loss) on disposal of assets
Loss of associate
Derecognition of deferred income
Write-off of exploration and evaluation asset
Income tax benefit (expense) through profit and loss
Change in operating assets and liabilities
(Increase) / decrease in receivables
(Increase) / decrease in provisions
Increase / (decrease) in payables
Consolidated
Consolidated
2022
$
2021
$
(3,421,924)
3,691,351
1,846,627
146,416
(358)
-
-
60,211
(551,128)
(11,530)
(97,060)
(57,210)
344,628
113,323
(1,290,676)
-
(7,347,006)
345,584
2,691,474
(33,149)
(40,070)
(109,353)
Net cash outflow from operating activities
(2,085,956)
(1,415,188)
Page 58
16. Financial risk management
Overview
The Group is exposed to financial risks through the normal course of its business operations. The key risks
impacting the Group’s financial instruments are considered to be interest rate risk, liquidity risk, and credit
risk. The Group’s financial instruments exposed to these risks are cash and cash equivalents, security
deposits, trade receivables, trade payables and other payables.
Credit risk
Credit risk arises from cash and cash equivalents, deposits with banks and financial institutions, as well as
credit exposures to wholesale and retail customers, including outstanding receivables. Management
assesses the credit quality of the counterparties by taking into account its financial position, past experience
and other factors. For banks and financial institutions, management considers independent ratings and only
dealing with banks licensed to operate in Australia.
The Company applies the AASB 9 simplified approach to measuring expected credit losses which uses a
lifetime expected loss allowance for all trade receivables and contract assets. To measure the expected credit
losses, trade receivables and contract assets have been grouped based on shared credit risk characteristics
and the days past due.
Tax receivables and prepayments do not meet the definition of financial assets.
Risk management
The Group limits its exposure to credit risk in relation to cash and cash equivalents and other financial assets
by only utilising banks and financial institutions with acceptable credit ratings.
The Group operates in the mining exploration sector and does not have trade receivables from customers. It
does however have credit risk arising from other receivables.
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 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 by maintaining adequate
reserves by continuously monitoring forecast and actual cash flows ensuring there are appropriate plans in
place to finance these future cash flows.
Typically, the Group ensures it has sufficient cash on hand to meet expected operational expenses, including
the servicing of financial obligations; this excludes the potential impact of extreme circumstances that cannot
reasonably be predicted, such as natural disasters.
Financial obligations
Trade and other payables
Note
9
Consolidated
Carrying Amount
2022
$
2021
$
2,751,520
2,071,225
Page 59
Interest rate risk
Interest rate risk is the risk that the Group’s financial position will be adversely affected by movements in
interest rates, cash and cash equivalents at variable rates exposes the Group to cashflow interest rate risk.
The Group is not exposed to fair value interest rate risk as all of its financial assets and liabilities are carried
at amortised amount.
Profile
At the reporting date the interest rate profile of the consolidated entity’s interest-bearing financial
instruments was:
Variable rate instruments
Cash at bank
Fixed rate instruments
Short term cash deposits
Security deposits
Consolidated
Carrying Amount
2022
$
2021
$
3,553,931
16,796,149
19,003,007
-
597,990
589,366
Cash flow sensitivity analysis for variable rate instruments of the consolidated entity
The company’s cash at bank attracts nominal interest rates such that the company is not susceptible to
material interest rate risk. The company’s short-term term deposits as at 30 June 2022 represent fixed rates
and are not subject to any interest rate risk specifically at period end.During the prior year the company did
not hold short term cash deposits and therefore were not exposed to material interest rate risk.
Capital Management
The Directors’ objectives when managing capital are to ensure that the Group can fund its operations and
continue as a going concern, so that it may continue to provide returns for shareholders and benefits for
other stakeholders. Due to the nature of the Group’s activities, being mineral exploration, the Group does
not have ready access to credit facilities, with the primary source of funding being equity raisings. Therefore,
the focus of the Group’s capital risk management is the current working capital position against the
requirements of the Group to meet exploration programmes and corporate overheads.
The Group’s strategy is to ensure appropriate liquidity is maintained to meet anticipated operating
requirements, with a view to initiating appropriate capital raisings as required.
Page 60
The working capital position of the Group were as follows:
Consolidated
Carrying Amount
2022
$
2021
$
22,556,938
16,796,149
297,374
384,635
(2,751,520)
(2,071,225)
20,102,792
15,109,559
Note
4
6
9
Cash and cash equivalents
Trade and other receivables
Trade and other payables
Working capital position
Fair values
The carrying values of all financial assets and financial liabilities, as disclosed in the Consolidated Statement
of Financial Position, are the same as their fair values, due to their short-term nature.
Equity security price risk
The Group’s income may be exposed to equity security price fluctuations arising from investments in equity
securities and the options available to the Group. At 30 June 2022, the Group did not hold any listed equity
securities at fair value through profit and loss (2021: Nil).
At the balance date the group had the following exposure to equity price risk:
Odin Metals Limited
2022
$
2021
$
650,000
1,750,000
650,000
1,750,000
At 30 June 2022, if the underlying equity prices had moved by a reasonably possible 10%, as illustrated in the
table below, with all other variables held constant, other comprehensive income and equity would have been
affected as follows:
Judgement of reasonably possible movements:
Equity price +10%
Equity price -10%
Other comprehensive income
higher/(lower)
2022
$
2021
$
65,000
175,000
(65,000)
(175,000)
A sensitivity of +10% or -10% has been selected as this is considered reasonable given recent fluctuations in
equity.
Page 61
17. Contingencies & Commitments
The Group had no contingent assets or liabilities as at 30 June 2022 (2021: $nil).
Lease commitments – Peel Mining Limited as lessee
The Company rents its Perth office, on a month-by-month basis. The Company has elected to apply the short-
term lease exemption to this agreement. The Company made payments during the year for the lease which
totalled $48,000 (2021: $48,000).
The Company has entered into an equipment rental agreement for a printer for a term of 36 months
commencing in August 2021. Under the Company’s accounting policy, all leased assets valued at or below
$10,000 qualify for the low value lease exemption. The lease payments for the printer which were expensed
during the year total $2,629 (2021: $nil).
The group had no other lease commitments within 12, before 60 or later than 60 months as at 30 June 2022.
Exploration commitments
Under the terms of mineral tenement licences held by the Group in New South Wales, there are no minimum
annual expenditure obligations required to be expended during the forthcoming financial year in order for
the tenements to maintain a status of good standing.
Work programs are submitted on application and renewal which may be subject to variation from time to
time in accordance with the relevant state department’s regulations. The Group may at any time relinquish
tenements, and avoid expenditure required on work programs, or may seek exemptions from the relevant
authority. The Groups only commitments in relation to these tenements are the payment of annual rents
which for the upcoming year total $78,780 (2021: $150,897).
18. Events after the reporting period
On the 12th August 2022 the company sold its holding of 50,000,000 shares in Odin Metals Limited (ASX:
ODM). The sale was completed at 1.8 cents per share for a total consideration of $900,000 (before costs).
On the 9th September 2022, 2,000,000 director options with an exercise price of $0.31, issued to Jim Simpson,
lapsed unexercised.
There were no other significant events that have occurred after balance date and prior to the date of this
report.
Page 62
19. Related parties
(a) Compensation of key management personnel
Short-term employee benefits
Post-employment benefits
Long-term benefits
Share-based payments
Consolidated
Consolidated
2022
$
789,588
85,561
50,191
1,844,731
2,770,071
2021
$
752,690
126,255
45,457
255,064
1,179,466
(b) Other transactions with key management personnel
Simon Hadfield, is a Director of Resource Information Unit Pty Ltd (RIU) and RIU Conferences Pty Ltd. RIU
leases office space to the Company and charges rental lease fees and office utility expenditure on a monthly
basis. Total fees charged to the Company by RIU for the year ended 30 June 2022 were $61,149 (2021:
$59,102).
During the year the Company participated in conferences, to the value of $9,900 (2021: $26,950) organised
by RIU Conferences Pty Limited. These amounts are included in profit for the year within administration
expenses.
Aggregate amounts of each of the above types of “other transactions” with key management personnel of
Peel Mining Limited:
Amounts recognised as expense
Rent and office management fees
Conferences
Consolidated
Consolidated
2022
$
2021
$
61,149
9,900
71,049
59,102
26,950
86,052
(c) Transaction with Saturn Metals Limited
During the prior year, Peel Mining Limited (PEX) sold all Saturn Metals shareholdings. Robert Tyson was a
non-executive director for Saturn Metals for the entire period. During the prior year, Saturn Metals Limited
engaged Peel Mining Limited in a non-exclusive basis to perform and provide administrative services and
facilities through a service agreement, this service ended on 31 May 2021.
Proceeds from management services
Consolidated
Consolidated
2022
$
-
2021
$
183,502
Other than the above, the Group had no other transactions with related parties.
Page 63
20. Share–based payments
Share-based compensation benefits to directors, employees and consultants are provided at the discretion
of the board. The fair value of share-based payments granted are recognised as an expense with a
corresponding increase in equity. The fair value is measured at grant date and recognised over the period
during which the recipient becomes unconditionally entitled to the share-based instrument.
Total prorated expenses arising from share-based payment transactions recognised in the profit and loss
during the year were as follows:
Employee option expense2
Director option expense1
Employee performance rights expense 2
Director performance rights expense 2
2022
$
2021
$
2,356
1,487,516
59,092
297,663
1,846,627
129,987
51,702
23,238
139,701
344,628
1. Amounts in respect to 2022 director options which were expensed upfront during the year.
2. Totals include expenses from current and prior year issues prorated over vesting periods per AASB 2.
In addition to the above, share-based payments in the form of shares ($273,963; 2021: $nil) and options
($273,963; 2021: $nil) were made to consultants in relation to brokerage services rendered as part of a share
capital raising. These were recorded under Contributed Equity accordingly. See note 10.
(a) OPTIONS
(i) Employee share option plan
During the year the Company did not grant any options to employees through its employee share option
plan (“ESOP”).
The fair value of options at grant date is independently determined using a Black-Scholes option pricing
model that takes into account the exercise price, term of the option, share price at grant date, expected price
volatility of the underlying share, expected dividend yield and the risk-free interest rate for the term of the
option. Total expenses arising from share-based payment transactions recognised in the profit and loss
during the year were as follows:
Consolidated
2022
Consolidated
2021
Number of options
$
Number of options
$
Options granted to employees
-
2,356
2,050,000
129,987
An employee share option plan, designed to provide long-term incentives for senior employees to deliver
long-term shareholder returns, was established in June 2008. Under the plan, participants are granted
options of which 50% are vested immediately and the remainder after 12 months employment with the
Company.
Options or performance right granted under the plan carry no dividend or voting rights.
Page 64
Set out below are summaries of Employee options granted.
30 June 2022
Grant
date
Expiry
date
Exercise
price
Balance at
start of the
year
Granted
during the
year
Exercised
during the
year
Vested and
lapsed
during the
year
Balance at
end of the
year
Vested and
exercisable
at end of the
year
$
Number
Number
Number
Number
Number
Number
13 Jul 20 12 Jul 23
0.275
2,050,000
7 Dec 18 7 Dec 21
0.570
1,562,500
-
-
-
-
-
2,050,000
2,050,000
(1,562,500)
-
-
30 June 2021
Grant date
Expiry
date
Exercise
price
Balance at
start of the
year
Granted
during the
year
Exercised
during the
year
Vested and
lapsed
during the
year
Balance at
end of the
year
Vested and
exercisable
at end of the
year
$
Number
Number
Number
Number
Number
Number
13 Jul 20
12 Jul 23
0.275
-
2,050,000
7 Dec 18
7 Dec 21
0.570
1,562,500
15 Aug 17
15 Aug 20
0.260
900,000
-
-
-
-
-
-
2,050,000
1,025,000
-
1,562,500
1,562,500
(900,000)
-
-
Fair value of options granted
There were no options granted to employees during the financial year ended 30 June 2022. The assessed fair
value at grant date of options granted to employees during the prior financial year ended 30 June 2021,
including the model inputs is tabled below.
Options are granted for no consideration
and vest accordingly
Exercise Price
Grant Date
Expiry Date
Share Price at Grant Date
Expected price volatility
Expected dividend yield
Risk-free interest rate
Fair Value at Grant Date
Employee Options
2021
50% vest immediately
50% vest in one year from grant
date
$0.275
13 July 2020
12 July 2023
$0.184
70%
0.00%
0.28%
6.4 cents
2022
Nil
-
-
-
-
-
-
-
-
Page 65
(ii) Director options
Total expenses arising from share-based payment transactions recognised in the profit and loss during the
year were as follows:
Consolidated
2022
2022
2021
2021
Number of
options
$
Number of
options
$
Options granted to directors
13,000,000
1,487,516
-
51,702
Set out below are summaries of director options granted.
30 June 2022
Grant date
Expiry date
Exercise
price
Balance at
start of the
year
Granted
during the
year
Exercised
during
the year
Lapsed
during the
year
Balance at
end of the
year
Vested and
exercisable
at end of the
year
$
Number
Number
Number
Number
Number
Number
22 Feb 221 21 Feb 25
0.236
-
13,000,000
28 Nov 19
29 Nov 22
0.320
2,000,000
28 Nov 19
9 Sep 22
0.310
2,000,000
7 Dec 18
7 Dec 21
0.641
2,000,000
-
-
-
-
-
-
-
-
-
13,000,000
13,000,000
2,000,000
2,000,000
-
2,000,000
2,000,000
(2,000,000)
-
-
1. The director options were issued on 22 February 2022 subject to receiving shareholder approval, which was granted at the Extraordinary
General Meeting on 13 April 2022
30 June 2021
Grant date
Expiry date
Exercise
price
Balance at
start of the
year
Granted
during the
year
Exercised
during the
year
Lapsed
during the
year
Balance at
end of the
year
Vested and
exercisable
at end of the
year
$
Number
Number
Number
Number
Number
Number
28 Nov 19
29 Nov 22
0.320
2,000,000
28 Nov 19
9 Sep 22
0.310
2,000,000
7 Dec 18
7 Dec 21
0.641
2,000,000
30 Nov 17
30 Nov 20
0.260
2,000,000
-
-
-
-
-
-
-
-
-
-
2,000,000
2,000,000
2,000,000
2,000,000
-
2,000,000
2,000,000
(2,000,000)
-
-
Page 66
The assessed fair value at grant date of the options granted to Directors during the financial year ended 30
June 2022 is tabled below. The model inputs for director options granted during the financial year ended 30
June 2022 included:
Options are granted
consideration
and vest accordingly
for no
Exercise Price
Grant Date1
Expiry Date
Share Price at Grant Date
Expected price volatility
Expected dividend yield
Risk-free interest rate
Fair Value at Grant Date
Director Options
2022
100% vest immediately
$0.236
13 April 2022
21 February 2025
$0.260
60%
0.00%
2.49%
11.4 cents
2021
Nil
-
-
-
-
-
-
-
-
1.
The director options were issued on 22 February 2022 subject to receiving shareholder approval, which was granted at the
Extraordinary General Meeting on 13 April 2022 (grant and subsequent valuation date under AASB 2).
(iii) Other options
During the year the Company granted options to Ashanti Capital as lead manager of the share placement in
February 2022, in lieu of fees for services.
Total expenses arising from share-based payment transactions recognised in equity during the year were as
follows:
Consolidated
2022
2022
2021
2021
Number of
options
$
Number of
options
$
Options granted to Ashanti Capital
4,248,106
273,963
-
-
Set out below are summaries of other options granted.
30 June 2022
Grant date
Expiry date
Exercise
price
Balance at
start of the
year
Granted
during the
year
Exercised
during
the year
Lapsed
during the
year
Balance at
end of the
year
Vested and
exercisable
at end of the
year
22 Feb 22
21 Feb 25
0.236
-
4,248,106
-
-
4,248,106
4,248,106
$
Number
Number
Number
Number
Number
Number
The assessed fair value at grant date of the options granted to Ashanti Capital were based on the fair value
of the service provided. There are no vesting conditions. The fair value was recorded in full under Contributed
Equity as the nature of the remuneration pertained to services to assist with share capital raising.
(iii) Weighted averages – options
The weighted average exercise price $0.25 (2021: $0.42).
The weighted average fair value of the share-based payments is $0.10 (2021: $0.17).
The weighted average remaining contractual life is 2.10 years (2021: 1.14 years).
Page 67
(b) PERFORMANCE RIGHTS
(i) Employee performance rights
During the financial year ended 30 June 2022 employees were granted performance rights.
30 June 2022
Grant
date
Expiry
date
Exercise
price
Balance
at start
of the
year
Granted
during
the year
Exercised
during
the year
Lapsed
during
the year
Balance
at end of
the year
Vested and
exercisable
at end of
the year
$
Number
Number
Number
Number
Number
Number
29 Nov 21
31 Dec 23
-
400,000
300,000
-
-
700,000
-
30 June 2021
Grant
date
Expiry
date
Exercise
price
Balance
at start
of the
year
Granted
during
the year
Exercised
during
the year
Lapsed
during
the year
Balance
at end of
the year
Vested and
exercisable
at end of
the year
$
Number
Number
Number
Number
Number
Number
23 Dec 20
23 Jun 23
-
-
400,000
-
-
400,000
-
Fair value of performance rights granted.
The performance rights issued during the year were valued by an independent consultant. The model inputs
and the assessed fair value at grant date of performance rights granted to employees during the financial
year ended 30 June 2022 is tabled below.
Performance rights are granted for no consideration and
vest accordingly
Exercise Price
Grant Date
Expiry Date
Share Price at Grant Date
Expected Price Volatility
Expected Dividend Yield
Risk-free interest rate
Fair Value at Grant Date
Employee Performance
Rights
Class D1 & E2
Employee Performance
Rights
Class F3
Refer 1 & 2
Nil
Refer 3
Nil
29 November 2021
29 November 2021
31 December 2023
31 December 2023
22.5 cents
22.5 cents
70%
0.00%
0.52%
70%
0.00%
0.52%
22.5 cents
11.4 cents
1. The Class D Rights vest subject to the Company publishing a Definitive Pre-Feasibility Study (PFS) (as defined in the JORC
Code) in relation to the South Cobar Project, on or before 31 December 2023.
2. The Class E Rights vest subject to the Company commencing decline development (Exploration or Mining) at the South
Cobar Project, on or before 31 December 2023.
3. The Class F Rights vest based on the total shareholder return (‘TSR’) of Peel Mining over the period from 29 November
2021 to 31 December 2023, assessed against predetermined TSR hurdles. The TSR of Peel Mining is based on the 20-day
volume weighted average price (‘VWAP’) of the Company’s shares trading on the Australian Securities Exchange.
Page 68
The model inputs and the assessed fair value at grant date of performance rights granted to employees
during the financial year ended 30 June 2021 is tabled below.
Performance rights are granted for no consideration and
vest accordingly
Exercise Price
Grant Date
Expiry Date
Share Price at Grant Date
Expected Price Volatility
Expected Dividend Yield
Risk-free interest rate
Fair Value at Grant Date
Employee Performance
Rights
Class A1 & B2
Employee Performance
Rights
Class C3
Refer 1 & 2
Nil
Refer 3
Nil
23 December 2020
23 December 2020
26 May 2023
26.5 cents
70%
0.00%
0.09%
26 May 2023
26.5 cents
70%
0.00%
0.09%
26.5 cents
15.6 cents
1. The Class A Rights vest subject to the Company establishing a minimum of 10 million tonnes (‘Mt’) of Indicated Resources
at the South Cobar Project and publishing a pre-feasibility study (‘PFS’) (as defined in the JORC Code) in relation to the South
Cobar Project, which is based on a 1Mt per annum 10 year mine-life scenario.
2. The Class B Rights vest based on the lodgement of an Environmental Impact Statement for the South Cobar Project with
the New South Wales (‘NSW’) Government Regulatory Body.
3. The Class C Rights vest based on the total shareholder return (‘TSR’) of Peel Mining over the period from 26 November
2020 to 31 December 2022, assessed against predetermined TSR hurdles. The TSR of Peel Mining is based on the 20-day
volume weighted average price (‘VWAP’) of the Company’s shares trading on the Australian Securities Exchange.
(ii) Director Performance Rights
During the financial year ended 30 June 2022 executive directors were granted performance rights.
30 June 2022
Grant
date
Expiry
date
Exercise
price
Balance at
start of
the year
Granted
during
the year
Exercise
d during
the year
Lapsed
during
the
year
Balance at
end of the
year
Vested and
exercisable
at end of
the year
$
Number
Number Number Number
Number
Number
29 Nov 21
31 Dec 23
-
2,700,000
1,300,000
-
-
4,000,000
-
30 June 2021
Grant
date
Expiry
date
Exercise
price
Balance
at start
of the
year
Granted
during
the year
Exercise
d during
the year
Lapsed
during
the
year
Balance at
end of the
year
Vested and
exercisable
at end of
the year
$
Number
Number Number Number
Number
Number
26 Nov 20
26 May 23
-
-
2,700,000
-
-
2,700,000
-
Page 69
Fair value of performance rights granted
The performance rights issued during the year were valued by an independent consultant. The model inputs
and the assessed fair value at grant date of performance rights granted to directors during the financial year
ended 30 June 2022 is tabled below.
Performance rights are granted for no consideration and
vest accordingly
Exercise Price
Grant Date
Expiry Date
Share Price at Grant Date
Expected Price Volatility
Expected Dividend Yield
Risk-free interest rate
Fair Value at Grant Date
Employee Performance
Rights
Class D1 & E2
Employee Performance
Rights
Class F3
Refer 1 & 2
Nil
Refer 3
Nil
29 November 2021
29 November 2021
31 December 2023
31 December 2023
22.5 cents
22.5 cents
70%
0.00%
0.52%
70%
0.00%
0.52%
22.5 cents
11.4 cents
1. The Class D Rights vest subject to the Company publishing a Definitive Pre-Feasibility Study (PFS) (as defined in the JORC
Code) in relation to the South Cobar Project, on or before 31 December 2023.
2. The Class E Rights vest subject to the Company commencing decline development (Exploration or Mining) at the South
Cobar Project, on or before 31 December 2023.
3. The Class F Rights vest based on the total shareholder return (‘TSR’) of Peel Mining over the period from 29 November
2021 to 31 December 2023, assessed against predetermined TSR hurdles. The TSR of Peel Mining is based on the 20-day
volume weighted average price (‘VWAP’) of the Company’s shares trading on the Australian Securities Exchange.
Page 70
The model inputs and assessed fair value at grant date of performance rights granted to directors during the
period ended 30 June 2021 is tabled below.
Performance
consideration and vest accordingly
rights granted at nil
Exercise Price
Grant Date
Expiry Date
Share Price at Grant Date
Expected Price Volatility
Expected Dividend Yield
Risk-free interest rate
Fair Value at Grant Date
Executive Director Performance
Rights
Class A1 & B2
Executive Director Performance
Rights
Class C3
Refer 1 & 2
Nil
Refer 3
Nil
26 November 2020
26 November 2020
26 May 2023
22.0 cents
70%
0.00%
0.09%
26 May 2023
22.0 cents
70%
0.00%
0.09%
22.0 cents
11.5 cents
1. The Class A Rights vest subject to the Company establishing a minimum of 10 million tonnes (‘Mt’) of Indicated Resources
at the South Cobar Project and publishing a pre-feasibility study (‘PFS’) (as defined in the JORC Code) in relation to the South
Cobar Project, which is based on a 1Mt per annum 10 year mine-life scenario.
2. The Class B Rights vest based on the lodgement of an Environmental Impact Statement for the South Cobar Project with
the New South Wales (‘NSW’) Government Regulatory Body.
3. The Class C Rights vest based on the total shareholder return (‘TSR’) of Peel Mining over the period from 26 November
2020 to 31 December 2022, assessed against predetermined TSR hurdles. The TSR of Peel Mining is based on the 20-day
volume weighted average price (‘VWAP’) of the Company’s shares trading on the Australian Securities Exchange.
(iii) Weighted averages – performance rights
The weighted average fair value of the share-based payments is $0.18 (2021: $0.19).
The weighted average remaining contractual life is 1.11 years (2021: 1.91 years).
Page 71
21. Remuneration of auditors
Amounts paid to PricewaterhouseCoopers1
Audit and review of financial reports (2021 FY)
Taxation services
Indirect taxation services
Consolidated
Consolidated
2022
$
2021
$
50,205
50,205
22,067
-
22,067
54,748
54,748
8,415
57,246
65,661
1. PricewaterhouseCoopers ceased to be the Company’s auditor as at 29 November 2021.
Amounts paid and due to Ernst & Young1
Audit and review of financial reports
Consolidated
Consolidated
2022
$
42,500
42,500
2021
$
-
-
1. Ernst & Young were appointed as auditor of Peel Mining Limited at the AGM on 29 November 2021.
Page 72
22. Earnings per share
Basic earnings per share is calculated by dividing the profit or loss attributable to equity holders of the
Company, excluding any costs of servicing equity other than ordinary shares, by the weighted average
number of ordinary shares outstanding during the financial year, adjusted for bonus elements in ordinary
shares issued during the year.
Diluted loss per share adjusts the figures used in the determination of basic earnings per share to take into
account the after-income tax effect of interest and other financing costs associated with dilutive potential
ordinary shares and the weighted average number of shares assumed to have been issued for no
consideration in relation to dilutive potential ordinary shares.
Basic earnings per share
(Loss)/profit from continuing operations
attributable to the ordinary equity holders of the
Company
Diluted earnings per share
(Loss)/profit from continuing operations
attributable to the ordinary equity holders of the
Company
Reconciliation of earnings used in calculation of
earnings per share
(Loss)/profit used in calculating basic profit per
share
Weighted average number of shares used as
the denominator
Weighted average number of shares used in
calculating basic earnings per share
Weighted average number of ordinary shares and
potential ordinary shares used as the
denominator in calculating diluted earnings per
share
Consolidated
Consolidated
2022
$
2021
$
(0.007)
0.010
(0.007)
0.010
(3,421,924)
3,691,351
Consolidated
Consolidated
2022
2021
Number of shares Number of shares
467,104,687
352,650,322
467,104,687
365,362,822
Effect of dilutive securities
Options and performance rights on issue at reporting date could potentially dilute earnings per share in the
future. The effect in the current year is to reduce the loss per share hence they are considered anti-dilutive
and as such have been excluded.
Page 73
23. Parent entity information
Statement of financial position
Current assets
Total assets
Current liabilities
Total liabilities
Net assets
Issued capital
Share-based payment reserve
Financial Assets at FVOCI Reserve
Accumulated losses
Total equity
Statement of profit or loss and other comprehensive income
Interest Revenue
Other revenue and income
Comprehensive loss for the year
Total comprehensive loss / (gain) for the year
Parent entity
2022
$
2021
$
23,129,913
17,570,727
108,219,467
83,110,933
(1,003,570)
(897,748)
(2,557,066)
(3,464,928)
105,662,401
79,646,005
113,304,683
84,917,005
6,457,421
4,336,831
(1,100,000)
-
(12,999,703)
(9,607,831)
105,662,401
79,646,005
39,779
(315)
40,359
2,303,069
(3,431,335)
(4,605,497)
(3,391,871)
(2,262,069)
Commitments for the parent entity are the same as those for the consolidated entity and are set out in note
17.
The parent entity has not entered into a deed of cross guarantee nor are there any contingent liabilities at
year-end.
24. Statement of other significant accounting policies
The principal accounting policies adopted in the preparation of the financial report are set out below. These policies
have been consistently applied to all the years presented, unless otherwise stated. The financial report includes
the financial statements for the Group which comprises Peel Mining Limited and its controlled entities at the end
of, or during the financial years ended 30 June 2021 and the comparative period.
(a)
Basis of preparation
These general-purpose financial statements have been prepared in accordance with Australian Accounting
Standards, other authoritative pronouncements of the Australian Accounting Standards Board, Australian
Accounting Interpretations and the Corporations Act 2001. Peel Mining Limited is a for-profit entity for the purpose
of preparing the financial statements. As at 30 June 2022, the Group made a net loss after tax of $3,421,924 (2021:
Profit $3,691,351). The ongoing capital requirements of the Group are dependent on the Group’s ability to raise
funds in the future.
The Directors have prepared a cash flow forecast, which indicates that the Group will have sufficient cash flows to
meet all commitments and working capital requirements for the twelve-month period from the date of signing this
financial report. Based on the cash flow forecasts and other factors referred to above, the directors are satisfied
that the basis of preparation is appropriate.
Page 74
Compliance with IFRS
The financial statements and notes of the Group comply with International Financial Reporting Standards (IFRS).
Historical cost convention
These financial statements have been prepared under the historical cost convention except for financial assets
measured at fair value.
(b)
Principles of consolidation
The consolidated financial statements are those of the consolidated entity, comprising Peel Mining Limited (“the
parent entity”) and entities controlled during the year and at reporting date (“Group”). A controlled entity is any
entity that the Group is exposed to, or has rights to, variable returns from its involvement with the entity and has
the ability to affect those returns through its power to direct the activities of the entity.
Information from the financial statements of the controlled entities is included from the date the parent company
obtains control until such time as control ceases. Where there is a loss of control of a subsidiary, the consolidated
financial statements include the results for the part of the reporting period during which the parent company has
control.
Subsidiary acquisitions are accounted for using the acquisition method of accounting.
The financial statements of subsidiaries are prepared for the same reporting period as the parent entity, using
consistent accounting policies.
All intercompany balances and transactions, including unrealised profits arising from intra-Group transactions,
have been eliminated in full. Unrealised losses are eliminated except where costs cannot be recovered.
Investments in subsidiaries are carried at cost in the parent entity.
Under AASB 11 Joint Arrangements investments in joint arrangements are classified as either joint operations or joint
ventures. The classification depends on the contractual rights and obligations of each investor, rather than the legal
structure of the joint arrangement.
Joint operations
Peel Mining Limited previously recognised its direct right to the assets, liabilities, revenues and expenses of joint
operations and its share of any jointly held or incurred assets, liabilities, revenues and expenses. These have been
incorporated in the financial statements under the appropriate headings. At 30 June 2021, Peel Mining no longer
was party to any arrangements that were considered joint operations.
(c)
Fair value estimation
The fair value of financial assets and financial liabilities must be estimated for recognition and measurement or for
disclosure purposes.
The carrying value less impairment provision of trade receivables and payables are assumed to approximate their
fair values due to their short-term nature. The fair value of financial liabilities for disclosure purposes is estimated
by discounting the future contractual cash flows at the current market interest rate that is available to the Group
for similar financial instruments.
(d)
Accounting for farmouts
The Group may enter into transactions whereby a third party (“Farmee”) may earn a right to acquire an interest in
assets owned by the Group by meeting certain obligations agreed to by both parties. As the terms of farm-ins are
not generic management assess each agreement on a transaction-by-transaction basis and determines the
appropriate accounting treatment based on the terms of the agreement.
(e)
Leases
AASB 16 Leases eliminates the classifications of operating leases and finance leases for lessees. Except for short-
term leases and leases of low-value assets, rights-of-use assets and corresponding lease liabilities are recognised
in the statement of financial position. The right-of-use asset is depreciated over the shorter of the asset’s useful life
and the lease term on a straight-line basis, while the lease liability is reduced by an allocation of each lease payment.
Payments associated with short-term leases and leases of low-value assets are recognised on a straight-line basis
as an expense in profit or loss. Short-term leases are leases with a lease term of 12 months or less. Low-value assets
comprise IT-equipment and small items of office furniture.
Page 75
As at 30 June 2022, the Group did not recognise any lease assets or lease liabilities on the balance sheet. During the
prior period, the Group classified the lease for its office space as a short termlease with payments recognised as an
expense as incurred. As the contract term is less than 12 months, and considered short-term, the Group elects to
recognise the lease payments directly as an expense in profit or loss.
(f)
Investments and other financial assets
The group classifies its financial assets in the following measurement categories:
those to be measured subsequently at fair value (either through OCI or through profit or loss), and
those to be measured at amortised cost. The classification depends on the entity’s business model for
managing the financial assets and the contractual terms of the cash flows
For assets measured at fair value, gains and losses will either be recorded in profit or loss or OCI. For investments
in equity instruments that are not held for trading, this will depend on whether the group has made an irrevocable
election at the time of initial recognition to account for the equity investment at fair value through other
comprehensive income (FVOCI).
The group reclassifies debt investments when and only when its business model for managing those assets
changes.
Recognition and derecognition
Purchases and sales of financial assets are recognised on trade date, being the date on which the group commits
to purchase or sell the asset. Financial assets are derecognised when the rights to receive cash flows from the
financial assets have expired or have been transferred and the group has transferred substantially all the risks and
rewards of ownership.
Measurement
At initial recognition, the group measures a financial asset at its fair value plus, in the case of a financial asset not
at fair value through profit or loss (FVPL), transaction costs that are directly attributable to the acquisition of the
financial asset. Transaction costs of financial assets carried at FVPL are expensed in profit or loss.
Financial assets with embedded derivatives are considered in their entirety when determining whether their cash
flows are solely payment of principal and interest.
Equity instruments
The group subsequently measures all equity investments at fair value. Where the group’s management has elected
to present fair value gains and losses on equity investments in OCI, there is no subsequent reclassification of fair
value gains and losses to profit or loss following the derecognition of the investment.
Dividends from such investments continue to be recognised in profit or loss as other income when the group’s right
to receive payments is established.
Changes in the fair value of financial assets at FVPL are recognised in other gains/(losses) in the statement of profit
or loss as applicable. Impairment losses (and reversal of impairment losses) on equity investments measured at
FVOCI are not reported separately from other changes in fair value.
(g)
Employee benefits
Short-term obligations
Liabilities for wages and salaries, including non-monetary benefits and leave entitlements that are expected to be
settled wholly within 12 months after the end of the period in which the employees render the related service are
recognised in respect of employees’ services up to balance date and are measured at the amounts expected to be
paid when the liabilities are settled.
Page 76
(h)
Goods and services tax
Revenues, expenses and assets are recognised net of goods and services tax (“GST”), except where the amount of
GST incurred is not recoverable from the taxation authority. In these circumstances the GST is recognised as part
of the cost of acquisition of the asset or as part of the expense item.
Receivables and payables are stated with the amount of GST included. The net amount of GST recoverable is
included as a current asset in the statement of financial position.
Cash flows are included in the statement of cash flows on a gross basis. The GST components of cash flows arising
from investing and financing activities which are recoverable from the taxation authority are classified as operating
cash flows.
(i)
New accounting standards and amendments
Certain new accounting standards and interpretations have been published that are mandatory for the 30 June
2022 reporting period and have not been early adopted by the group. These standards are not expected to have a
material impact on the entity in the current or future reporting periods and on foreseeable future transactions.
(j)
Critical accounting estimates and judgements
The directors evaluate estimates and judgements incorporated into the financial report based on historical
knowledge and best available current information.
The Company makes estimates and judgements in applying the accounting policies. Critical judgements in respect
of accounting policies relate to exploration assets, where exploration expenditure is capitalised in certain
circumstances. Recoverability of the carrying amount of any exploration assets is dependent on the successful
development and commercial exploitation or sale of the respective areas of interest.
Share-based payment transactions
The Group measures the cost of equity-settled share-based payment transactions with employees by reference to
the fair value of the equity instruments at the grant date. The fair value is determined using a variety of financial
models including hybrid and Black-Scholes models. The accounting estimates and assumptions relating to equity-
settled share-based payments would have no impact on the carrying amounts of assets and liabilities within the
next annual reporting period but may impact expenses and equity.
Impairment of capitalised exploration and evaluation expenditure
It is the Group’s policy to capitalise costs relating to exploration and evaluation activities. The future recoverability
of capitalised exploration and evaluation expenditure is dependent upon a number of factors, including whether
the Group decides to exploit the related lease itself or, if not, whether it successfully recovers the related exploration
and evaluation asset through sale.
Factors that could impact future recoverability include the level of reserves and resources, future technological
changes which could impact the cost of mining, future legal changes (including changes to environmental
restoration obligations) and changes to commodity prices.
To the extent that capitalised exploration and evaluation expenditure is determined not to be recoverable in the
future, profits and net assets will be reduced in the period in which the determination is made.
Page 77
Directors’ declaration
The board of directors of Peel Mining Limited declares that:
(a)
the financial statements, comprising the consolidated statement of profit or loss and other
comprehensive income, consolidated statement of financial position, consolidated statement of
cash flows, consolidated statement of changes in equity and accompanying notes are in
accordance with the Corporations Act 2001 and:
(i)
comply with Accounting Standards and the Corporations Regulations 2001 and other mandatory
professional reporting requirements ; and
(ii)
give a true and fair view of the consolidated financial position as at 30 June 2022 and of its
performance for the financial year ended on that date of the consolidated entity.
(b)
the financial statements and notes also comply with international financial reporting standards as
disclosed in 24(a).
(c)
In the directors’ opinion, there are reasonable grounds to believe that the Company will be able to
pay its debts as and when they become due and payable;
(d)
the board of directors have been given the declaration by the chief executive officer and chief
financial officer required by Section 295A of the Corporations Act 2001.
This declaration is made in accordance with a resolution of the board of directors and is signed for and on
behalf of the directors by:
James Simpson
CEO & Managing Director
Perth, Western Australia
20th September 2022
Page 78
Ernst & Young
11 Mounts Bay Road
Perth WA 6000 Australia
GPO Box M939 Perth WA 6843
Tel: +61 8 9429 2222
Fax: +61 8 9429 2436
ey.com/au
Auditor’s independence declaration to the directors of
Peel Mining Limited
As lead auditor for the audit of the financial report of Peel Mining Limited for the financial year ended
30 June 2022, I declare to the best of my knowledge and belief, there have been:
a. No contraventions of the auditor independence requirements of the Corporations Act 2001 in
relation to the audit;
b. No contraventions of any applicable code of professional conduct in relation to the audit; and
c. No non-audit services provided that contravene any applicable code of professional conduct in
relation to the audit.
This declaration is in respect of Peel Mining Limited and the entities it controlled during the financial
year.
Ernst & Young
Philip Teale
Partner
20 September 2022
A member firm of Ernst & Young Global Limited
Liability limited by a scheme approved under Professional Standards Legislation
Ernst & Young
11 Mounts Bay Road
Perth WA 6000 Australia
GPO Box M939 Perth WA 6843
Tel: +61 8 9429 2222
Fax: +61 8 9429 2436
ey.com/au
Independent auditor’s report to the members of Peel Mining Limited
Opinion
We have audited the financial report of Peel Mining Limited (the Company) and its subsidiaries
(collectively the Group), which comprises the consolidated statement of financial position as at
30 June 2022, the consolidated statement of comprehensive income, consolidated statement of
changes in equity and consolidated statement of cash flows for the year then ended, notes to the
financial statements, including a summary of significant accounting policies, and the directors’
declaration.
In our opinion, the accompanying financial report of the Group is in accordance with the Corporations
Act 2001, including:
a. Giving a true and fair view of the consolidated financial position of the Group as at 30 June 2022
and of its consolidated financial performance for the year ended on that date; and
b. Complying with Australian Accounting Standards and the Corporations Regulations 2001.
Basis for opinion
We conducted our audit in accordance with Australian Auditing Standards. Our responsibilities under
those standards are further described in the Auditor’s responsibilities for the audit of the financial
report section of our report. We are independent of the Group in accordance with the 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 the
financial report in Australia. We have also fulfilled our other ethical responsibilities in accordance with
the Code.
We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis
for our opinion.
Key audit matters
Key audit matters are those matters that, in our professional judgment, were of most significance in
our audit of the financial report of the current year. These matters were addressed in the context of
our audit of the financial report as a whole, and in forming our opinion thereon, but we do not provide
a separate opinion on these matters. For the matter below, our description of how our audit addressed
the matter is provided in that context.
We have fulfilled the responsibilities described in the Auditor’s responsibilities for the audit of the
financial report section of our report, including in relation to this matter. Accordingly, our audit
included the performance of procedures designed to respond to our assessment of the risks of
material misstatement of the financial report. The results of our audit procedures, including the
procedures performed to address the matter below, provide the basis for our audit opinion on the
accompanying financial report.
A member firm of Ernst & Young Global Limited
Liability limited by a scheme approved under Professional Standards Legislation
1. Exploration and evaluation assets
Why significant
How our audit addressed the key audit matter
As disclosed in Note 5 of the financial report, the
Group held exploration and evaluation asset of
$89,717,191.
The carrying value of exploration and evaluation
assets are assessed for impairment by the Group
when facts and circumstances indicate that the
exploration and evaluation assets may exceed
their recoverable amount. During the year, the
Group determined that there had been no
indicators of impairment.
This was considered a key audit matter as the
determination as to whether an exploration and
evaluation asset can be carried forward, or
alternatively should be impaired, involves a
number of judgements including whether the
Group has tenure, whether the Group will be able
to perform ongoing expenditure and whether
there is sufficient information for a decision to
be made that the area of interest in not
commercially viable.
Our audit procedures included the following:
►
►
►
►
Considered the Group’s right to explore in the
relevant exploration area, which included
obtaining and assessing supporting
documentation such as license agreements.
Considered the Group’s intention to carry out
significant exploration and evaluation activities
in the relevant areas which included assessing
whether the Group’s cash-flow forecasts
included planned exploration and evaluation
activities, and enquiring with management as to
the intentions and strategy of the Group.
Considered the Group’s assessment of whether
the commercial viability of extracting mineral
resources had been demonstrated and whether
it was appropriate to continue to classify the
capitalised expenditure for the area of interest
as an exploration and evaluation asset.
Considered whether there was any other data or
information that indicated the carrying value of
the capitalised exploration and evaluation
expenditure would not be recovered in full from
successful development or by sale.
►
Assessed the adequacy of the disclosure
included in the financial report.
A member firm of Ernst & Young Global Limited
Liability limited by a scheme approved under Professional Standards Legislation
Information other than the financial report and auditor’s report thereon
The directors are responsible for the other information. The other information comprises the
information included in the annual report, 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, with the exception of the Remuneration Report
and our related assurance opinion.
In connection with our audit of the financial report, our responsibility is to read the other information
and, in doing so, consider whether the other information is materially inconsistent with the financial
report or our knowledge obtained in the audit or otherwise appears to be materially misstated.
If, based on the work we have performed, we conclude that there is a material misstatement of this
other information, we are required to report that fact. We have nothing to report in this regard.
Responsibilities of the directors for the financial report
The directors of the Company are responsible for the preparation of the financial report that gives a
true and fair view in accordance with Australian Accounting Standards and the Corporations Act 2001
and for such internal control as the directors determine is necessary to enable the preparation of the
financial report that gives a true and fair view and is free from material misstatement, whether due to
fraud or error.
In preparing the financial report, the directors are responsible for assessing the Group’s ability to
continue as a going concern, disclosing, as applicable, matters relating to going concern and using the
going concern basis of accounting unless the directors either intend to liquidate the Group or to cease
operations, or have no realistic alternative but to do so.
Auditor’s responsibilities for the audit of the financial report
Our objectives are to obtain reasonable assurance about whether the financial report as a whole is
free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that
includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an
audit conducted in accordance with the Australian Auditing Standards will always detect a material
misstatement when it exists. Misstatements can arise from fraud or error and are considered material
if, individually or in the aggregate, they could reasonably be expected to influence the economic
decisions of users taken on the basis of this financial report.
A member firm of Ernst & Young Global Limited
Liability limited by a scheme approved under Professional Standards Legislation
As part of an audit in accordance with the Australian Auditing Standards, we exercise professional
judgment and maintain professional scepticism throughout the audit. We also:
►
Identify and assess the risks of material misstatement of the financial report, whether due to
fraud or error, design and perform audit procedures responsive to those risks, and obtain audit
evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not
detecting a material misstatement resulting from fraud is higher than for one resulting from
error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the
override of internal control.
► Obtain an understanding of internal control relevant to the audit in order to design audit
procedures that are appropriate in the circumstances, but not for the purpose of expressing an
opinion on the effectiveness of the Group’s internal control.
► Evaluate the appropriateness of accounting policies used and the reasonableness of accounting
estimates and related disclosures made by the directors.
► Conclude on the appropriateness of the directors’ use of the going concern basis of accounting
and, based on the audit evidence obtained, whether a material uncertainty exists related to
events or conditions that may cast significant doubt on the Group’s ability to continue as a going
concern. If we conclude that a material uncertainty exists, we are required to draw attention in
our auditor’s report to the related disclosures in the financial report or, if such disclosures are
inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up
to the date of our auditor’s report. However, future events or conditions may cause the Group to
cease to continue as a going concern.
► Evaluate the overall presentation, structure and content of the financial report, including the
disclosures, and whether the financial report represents the underlying transactions and events
in a manner that achieves fair presentation.
► Obtain sufficient appropriate audit evidence regarding the financial information of the entities or
business activities within the Group to express an opinion on the financial report. We are
responsible for the direction, supervision and performance of the Group audit. We remain solely
responsible for our audit opinion.
We communicate with the directors regarding, among other matters, the planned scope and timing of
the audit and significant audit findings, including any significant deficiencies in internal control that we
identify during our audit.
We also provide the directors with a statement that we have complied with relevant ethical
requirements regarding independence, and to communicate with them all relationships and other
matters that may reasonably be thought to bear on our independence, and where applicable, actions
taken to eliminate threats or safeguards applied.
A member firm of Ernst & Young Global Limited
Liability limited by a scheme approved under Professional Standards Legislation
From the matters communicated to the directors, we determine those matters that were of most
significance in the audit of the financial report of the current year and are therefore the key audit
matters. We describe these matters in our auditor’s report unless law or regulation precludes public
disclosure about the matter or when, in extremely rare circumstances, we determine that a matter
should not be communicated in our report because the adverse consequences of doing so would
reasonably be expected to outweigh the public interest benefits of such communication.
Report on the audit of the Remuneration Report
Opinion on the Remuneration Report
We have audited the Remuneration Report included in the directors’ report for the year ended
30 June 2022.
In our opinion, the Remuneration Report of Peel Limited for the year ended 30 June 2022, 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.
Ernst & Young
Philip Teale
Partner
Perth
20 September 2022
A member firm of Ernst & Young Global Limited
Liability limited by a scheme approved under Professional Standards Legislation
Corporate Governance Statement
ASX best practice recommendations
This statement outlines the main corporate governance practices that were formally in place from 11 September
2014 onwards and were updated 7 September 2022. These corporate governance practices comply with the ASX
Corporate Governance Council recommendations unless otherwise stated.
Company values
The Company’s culture is based on striving to achieve excellence in all we do through perseverance and teamwork.
The core values we seek our board, management, staff, and contractors to commit to are:
Safety
undertaking all activities in a safe and responsible manner
Sustainability
undertaking our activities in an effort to create a better future for all stakeholders
Integrity
acting honestly and reliably in all actions and dealings
Respect
Excellence
Perseverance
accepting others for who they are, and giving consideration to their opinions and
rights
striving to be the best that we can be and persisting when faced with challenges
persistence in undertaking our activities despite difficulty or challenges in achieving
success
Board of directors
The Board operates in accordance with the broad principles set out in its’ Corporate Governance Plan (Plan), which
is available
from
the corporate governance
information section of
the Company website at
www.peelmining.com.au.
Role and responsibilities of the board
The Board is responsible for ensuring that the Company is managed in a manner which protects and enhances the
interests of it’s’ shareholders and takes into account the interests of all stakeholders. This includes setting the
strategic directions for the company, establishing goals for management and monitoring the achievement of these
goals.
A summary of the key responsibilities of the Board include:
Strategy
Providing strategic guidance to the Company, including contributing to the
development of and approving the corporate strategy
Financial performance
Approving budgets, monitoring management and financial performance
Financial reporting and audits
Monitoring financial performance including approval of the annual and half-
year financial reports and liaison with the external auditors
Leadership
performance
selection
and
Appointment, performance assessment and removal of the CEO & Managing
Director. Ratifying the appointment and/or removal of other senior
management, including the Company Secretary and other Board members
Remuneration
Risk management
Management of the remuneration and reward systems and structures for
Executive management and staff
Ensuring that appropriate risk management systems and internal controls are
in place
Relationships
exchanges,
continuous disclosure
regulators
with
the
and
Ensuring that the capital markets are kept informed of all relevant and
material matters and ensuring effective communications with shareholders.
Page 85
The Company Secretary is accountable directly to the Board, through the Chairman, on all matters to do with the
proper functioning of the board. All directors have direct access to the Company Secretary.
The Board has delegated to management responsibility for the day-to-day operation and administration of the
Company is delegated by the board to the Managing Director. The Board ensures that the Managing Director and
the management team is appropriately qualified and experienced to discharge their responsibilities and has in
place procedures to assess the performance of the Managing Director and Executive Directors.
The roles of Chairman and Managing Director are not combined. The Managing Director is accountable to the Board
for all authority delegated to the position.
Whilst there is a clear division between the responsibilities of the Board and management, the Board is responsible
for ensuring that management’s objectives and activities are aligned with the expectations and risks identified by
the Board. The Board has a number of mechanisms in place to ensure this is achieved including:
Board approval and monitoring of a strategic plan;
approval of annual and semi-annual budgets and monitoring actual performance against budget; and
procedures are in place to incorporate presentations to each Board Meeting by financial and operations
management.
Composition of the board
The names, skills, experiences and period of office of the Directors of the Company in office at the date of this
Statement are set out in the Director’s Report. A summary of these skills and experiences are provided in table 1.
The composition of the Board is determined using the following principles.
Persons nominated as Non-executive Directors shall be expected to have qualifications, experience and
expertise of benefit to the Company and to bring an independent view to the Board’s deliberations. Persons
nominated as Executive Directors must be of sufficient stature and security of employment to express
independent views on any matter;
The Chairperson should ideally be independent, but in any case be Non-executive and be elected by the
Board based on his/her suitability for the position;
The roles of Chairperson and Managing Director should not be held by the same individual;
All Non-executive Directors are expected voluntarily to review their membership of the Board from time-to-
time taking into account length of service, age, qualifications and expertise relevant to the Company’s then
current policy and programme, together with the other criteria considered desirable for composition of a
balanced board and the overall interests of the Company;
The Company considers that the Board should have at least three Directors (minimum required under the
Company's Constitution) and to have a majority of independent Directors but acknowledges that this may
not be possible at all times due to the size of the Company. Currently the Board has four Directors, with only
Mr Hadfield as independent. The number of Directors is maintained at a level which will enable effective
spreading of workload and efficient decision making.
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The Board has accepted the following definition of an independent Director:
An independent Director is a Director who is not a member of management (a Non-executive Director) and who:
does not hold more than 5% of the voting shares of the Company and is not an officer of, or otherwise
associated directly or indirectly with, a shareholder of more than 5% of the voting shares of the Company;
is not, or has not been, employed in an executive capacity by the Company or any of its child entities and there
has not been a period of at least three years between ceasing such employment and serving on the board;
is not, or has not within the last three years been, a partner, director or senior employee of a provider of
material professional services or a material consultant to the Company or any of its child entities is not, or has
not been within the last three years, in a material business relationship (e.g. as a supplier or customer) with
the Company or any of its child entities, or an officer of, or otherwise associated with, someone with such a
relationship;
is not a substantial security holder of the Company or an officer of, or otherwise associated with, a substantial
security holder of the Company;
does not have a material contractual relationship with the Company or its child entities other than as a Director;
does not have close family ties with any person who falls within any of the categories described above; or
has not been a Director of the Company for such a period that his or her independence may have been
compromised.
The materiality thresholds are assessed on a case-by-case basis, taking into account the relevant Director’s specific
circumstances, rather than referring to a general materiality threshold.
All Board Members receive performance-based remuneration as outlined in the Remuneration Report. However,
the Board are of the opinion that these incentives are aligned with the Company’s objectives and the quantum
received do not compromise the independence of the individual director.
The Board recognises that it has 50% independent directors and not a majority. This is mainly due to the size of the
Board and the composition of executive and non-executive directors. When the Board decides to appoint additional
members, it will ensure that the majority of directors are independent.
Table 1: Skills and Experience Matrix of Peel Mining Limited’s Directors
Area
Competence
Business and finance
Accounting, Tax, Business Strategy, Corporate Financing, Financial Literacy,
Agreements/Fiscal Terms and Risk Management, Marketing
Leadership
Sustainability &
Stakeholder
Industry Specific
(Australia)
Business Leadership, Executive Management and Mentoring, Public Listed Company
Experience
Community Relations, Corporate Governance, Environmental Issues, Government
Affairs, Health & Safety, Human Resources, Industrial Relations and Remuneration
Precious Metals – Geology Exploration & Production, Base Metals – Geology
Exploration & Production, Precious Metals – Mining Engineering, Base Metals – Mining
Engineering, Mineral Economics
The directors on the Board collectively have a combination of skills and experience in the competencies set out in
the table above. These competencies are set out in the skills matrix that the Board uses to assess the skills and
experience of each director and the combined capabilities of the Board. Where an existing or projected competency
gap is identified, the Board will address those gaps. The Board does not currently consider that there are any
existing or projected competency gaps.
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Independent professional advice and access to company information
Each Director has the right to seek independent external professional advice as they considered necessary at the
expense of the Company, subject to prior consultation with the Chairman. A copy of any such advice received is
made available to all members of the Board.
Nomination committee / appointment of new directors
Because of the size of the Group and the size of the Board, the Directors do not believe it is appropriate to establish
a separate Nomination Committee. The board has adopted a Nomination Committee Charter and will act in
accordance with the Charter and hold special meetings or sessions as required. The Board are confident that this
process for selection and review is stringent and full details of all Directors are provided to shareholders in the
annual report and on the internet. The composition of the Board is reviewed on an annual basis to ensure the Board
has the appropriate mix of expertise and experience. Where a vacancy exists, through whatever cause, or where it
is considered that the Board would benefit from the services of a new Director with particular skills, the Board
determines the selection criteria for the position based on the skills deemed necessary for the Board to best carry
out its responsibilities and then appoints the most suitable candidate who must stand for election at the next
general meeting of shareholders.
Non-executive Directors (except for the Chairman) do not have written agreements setting out the key terms and
conditions of their appointment because the Company’s constitution and the ASX Listing Rules govern the term of
each director’s appointment. Directors are required to retire by rotation. Common law and the Corporations Act
govern the duties of directors and members are required to approve the maximum fees paid to Non-executive
Directors. Executive directors enter into an employment agreement which governs the terms of their appointment.
The Board undertakes appropriate checks prior to nominating a director for election by shareholders. These checks
include a police and reference checks. Shareholders are provided with all material information in its possession
concerning a director standing for election or re-election in the relevant notice of meeting.
An informal induction is provided to all new directors, which includes meeting with technical and financial personnel
to understand Peel Mining Limited’s business, including strategies, risks, company policies and health and safety.
All Directors are required to maintain professional development necessary to maintain their skills and knowledge
needed to perform their duties. In addition to training provided by relevant professional affiliations of the Directors,
additional development is provided through attendance at seminars and provision of technical papers on industry
related matters and developments offered by various professional organisations, such as accounting firms and
legal advisors. The Board will approve and review continuing professional development programs and procedures
for Directors to ensure that they can effectively discharge their responsibilities.
Term of office
Under the Company's Constitution, the minimum number of Directors is three. At each Annual General Meeting,
one third of the Directors (excluding the Managing Director) must resign, with Directors resigning by rotation based
on the date of their appointment. Directors resigning by rotation may offer themselves for re-election. Where
standing for re-election as a Director, the term of office served by the Director and a statement of whether the
Board considers the candidate to be independent and if the Board supports the re-election of the candidate will be
provided to shareholders.
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Performance of Directors and Managing Director
The performance of all Directors, the Board as a whole and the Managing Director and Company Secretary is
reviewed annually.
The Board meets once a year with the specific purpose of conducting a review of its composition and performance.
This review includes:
comparison of the performance of the Board against the requirements of the Corporate Governance Plan;
assessment of the performance of the Board over the previous twelve months having regard to the corporate
strategies, operating plans and the annual budget;
review the Board’s interaction with management;
identification of any particular goals and objectives of the Board for the next year;
review the type and timing of information provided to the directors; and
identification of any necessary or desirable improvements to Board or committee charters.
A review was undertaken during the reporting period.
Performance of senior executives
The Managing Director is responsible for assessing the performance of the key executives within the Company.
This is to be performed through a formal process involving a formal meeting with each senior executive. The basis
of evaluation of senior executives will be on agreed performance measures.
A review of senior executives was undertaken during the reporting period.
Conflict of interest
In accordance with the Corporations Act 2001 and the Company’s constitution, Directors must keep the Board
advised, on an ongoing basis, of any interest that could potentially conflict with those of the Company. Where the
Board believes a significant conflict exists, the Director concerned does not receive the relevant Board papers and
is not present at the Board meeting whilst the item is considered. Details of Directors related entity transactions
with the Company are set out in the related parties note in the financial statements.
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Diversity
Peel Mining Limited recognises the benefits arising from employee and Board diversity, including a broader pool of
high-quality employees, improving employee retention, accessing different perspectives and ideas and benefiting
from all available talent. Diversity includes, but is not limited to, gender, age, ethnicity and cultural background.
The Diversity Policy defines the initiatives which assist Peel Mining Limited with maintaining and improving the
diversity of its workforce. A copy of the Diversity Policy can be found in the company’s Corporate Governance
Framework on the Company’s website. The Company currently has a naturally diverse workplace in terms of gender,
age, ethnicity and cultural background, and believes that currently meets the objectives of its policy. As such no
formal measurable objectives have been required or set for achieving diversity. This will be monitored by the Board
on an annual basis.
The policy was formally adopted by the Company on the 23 September 2015 and updated as at 1st September
2020.
The respective proportions of men and women on the Board, in senior executive positions and across the whole
organisation employed throughout the year are set out in the table below:
Proportion of Women
Organisation as a whole
Executive management team
Board
Remuneration
Proportion of women
12 out of 42 (29%)
0 out of 2 (0%)
0 out of 5 (0%)
The performance of the Company depends upon the quality of its Directors and Executives. To prosper, the
Company must attract, motivate and retain highly skilled Directors and Executives.
To this end, the Company embodies the following principles in its remuneration framework:
Provide competitive rewards to attract high quality Executives and Management;
Design executive remuneration to attract, retain and motivate high quality senior executives;
Link Executive rewards to shareholder value; and
Establish appropriate performance hurdles in relation to variable Executive and Management remuneration.
A full discussion of the Company’s remuneration philosophy and framework and the remuneration received by
Directors and Executives in the current year is included in the remuneration report, which is contained within the
Report of the Directors.
There are no schemes for retirement benefits for Non-executive Directors, other than superannuation.
Board remuneration committee
Once the Board is of a sufficient size and structure, and the Company’s operations are of a sufficient magnitude, to
assist the Board in fulfilling its duties, the Board will establish a Remuneration Committee. Until that time, the Board
has adopted a Remuneration Committee Charter and will act in accordance with the Charter. The full Board will
hold special meetings or sessions as required to review any matters of significance affecting the remuneration of
the Board and employees of the Company. The Board are confident that this process is stringent and full details of
remuneration policies and payments are provided to shareholders in the annual report and on the web.
Page 90
Audit and risk committee
Due to the increased activity undertaken by the Company and growth of its operations and financial affairs, the
Board establish a separate Audit and Risk committee during the year. At the current time all Board members will
sit on the committee, with Mr Graham Hardie appointed Chair. Their qualifications and experience can be found in
the Remuneration Report. The Committee will assure the integrity of the financial statements by:
a)
reviewing the Company’s statutory financial statements to ensure the reliability of the financial
information presented and compliance with current laws, relevant regulations and accounting standard;
monitoring compliance of the accounting records and procedures in conjunction with the Company’s
auditor, on matters overseen by the Australian Securities and Investments Commission, ASX and
Australian Taxation Office;
i.
reviewing the Company’s statutory financial statements to ensure the reliability of the financial
information presented and compliance with current laws, relevant regulations and accounting
standards;
ii. monitoring compliance of the accounting records and procedures in conjunction with the
Company’s auditor, on matters overseen by the Australian Securities and Investments
Commission, ASX and Australian Taxation Office;
iii.
ensuring that management reporting procedures, and the system of internal control, are of a
sufficient standard to provide timely, accurate and relevant information as a sound basis for
management of the Group’s business;
iv.
v.
reviewing audit reports and management letters to ensure prompt action is taken;
when required, nominating the external auditor and at least annually review the external
auditor in terms of their independence and performance in relation to the adequacy of the
scope and quality of the annual statutory audit and half-year review and the fees charged.
During the year the Audit and Risk Committee met twice.
Risk oversight and management
The Audit and Risk Committee has been established to make recommendations to the Board in relation to
determining the Company’s ‘risk profile’ and for overseeing and implementing risk management strategy and
policies, internal compliance and internal control systems. In summary, the Committee will ensure the Company
policies are designed to ensure strategic, operational, legal, reputation and financial risks are identified, assessed,
effectively and efficiently managed and monitored to enable achievement of the Company’s business objectives.
The Company has exposure to economic risks, including general economy wide economic risks and risks associated
with the economic cycle which impact on the price and demand for minerals which affects the sentiment for
investment in exploration companies.
There will be a requirement in the future for the Company to raise additional funding to pursue its business
objectives. The Company’s ability to raise capital may be affected by these economic risks.
The Company has in place risk management procedures and processes to identify, manage and minimise its
exposure to these economic risks where appropriate.
The operations and proposed activities of the Company are subject to State and Federal laws and regulations
concerning the environment. As with most exploration projects and mining operations, the Company’s activities are
expected to have an impact on the environment, particularly if advanced exploration or mine development proceed.
It is the Company’s intention to conduct its activities to the highest standard of environmental obligation, including
compliance with all environmental laws.
The Audit and Risk Committee currently considers that the Company does not have any material exposure to social
sustainability risk.
Page 91
The Company’s Corporate Code of Conduct outlines the Company’s commitment to integrity and fair dealing in its
business affairs and to a duty of care to all employees, clients and stakeholders. The code sets out the principles
covering appropriate conduct in a variety of contexts and outlines the minimum standard of behaviour expected
from employees when dealing with stakeholders.
The Committee reviewed the Risk Management Framework, including the policies, procedures and the Company’s
Risks during the reporting period.
A summary of Peel Mining Limited’s Risk Management review procedures can be found in the corporate governance
information section of the Company website at www.peelmining.com.au.
Considerable importance is placed on maintaining a strong control environment. The Board actively promotes a
culture of quality and integrity. Control procedures cover management accounting, financial reporting, compliance
and other risk management issues.
No internal audit function is currently in place due to the size of the Company; however the Committee regularly
assesses the need for an internal audit function. The Board encourages management accountability for the
Company’s financial reports by ensuring ongoing financial reporting during the year to the Board. Half yearly, the
Chief Financial Officer (or equivalent) and the Managing Director are required to state in writing to the Board that
in all material respects:
Declaration required under s295A of the Corporations Act 2001 –
the financial records of the Company for the financial period have been properly maintained;
the financial statements and notes comply with the accounting standards;
the financial statements and notes for the financial year give a true and fair view; and
any other matters that are prescribed by the Corporations Act regulations as they relate to the financial
statements and notes for the financial year are satisfied.
Additional declaration required as part of corporate governance –
the risk management and internal compliance and control systems in relation to financial risks are sound,
appropriate and operating efficiently and effectively.
These declarations were received for the June 2022 financial year.
Code of conduct
The Company has developed a Code of Conduct (the Code) which has been fully endorsed by the Board and applies
to all directors and employees. The Code is regularly reviewed and updated as necessary to ensure it reflects the
highest standards of behaviour and professionalism and the practices necessary to maintain confidence in the
Company’s integrity.
The Code of Conduct embraces the values of:
Integrity & Objectivity
Excellence
Commercial Discipline
The Board encourages all stakeholders to report unlawful/unethical behaviour and actively promotes ethical
behaviour and protection for those who report potential violations in good faith.
Page 92
Trading in Peel Mining Limited securities by directors, officers and
employees
The Board has adopted a specific policy in relation to Directors and officers, employees and other potential insiders
buying and selling shares.
Directors, officers, consultants, management and other employees are prohibited from trading in the Company’s
shares, options and other securities if they are in possession of price-sensitive information.
The Company's Security Trading Policy is provided to each new employee as part of their induction training.
The Directors are satisfied that the Company has complied with its policies on ethical standards, including trading
in securities.
Continuous disclosure
The Board has a Market Disclosure Policy to ensure the compliance of the Company with the various laws and ASX
Listing Rule obligations in relation to disclosure of information to the market. The Managing Director is responsible
for ensuring that all employees are familiar with and comply with the policy.
The Company is committed to:
a)
complying with the general and continuous disclosure principles contained in the Corporations Act and
the ASX Listing rules;
b)
c)
preventing the selective or inadvertent disclosure of material price sensitive information;
ensuring shareholders and the market are provided with full and timely information about the Company’s
activities; and
d)
ensuring that all market participants have equal opportunity to receive externally available information
issued by the Company.
Shareholder communications strategy
The Company recognises the value of providing current and relevant information to its shareholders. The Company
has adopted a Shareholder Communications Strategy which can be found in the Company’s Corporate Governance
Plan, and accessed from Peel Mining Limited’s website at http://www.peelmining.com.au.
Information is communicated to shareholders through the annual and half yearly financial reports, quarterly
reports on activities, announcements through the Australian Stock Exchange and the media, on the Company’s web
site and through the Chairman’s address at the annual general meeting. After the Annual General Meeting, the
Managing Director provides shareholders with a presentation. Afterwards all directors are available to meet with
any shareholders and answer questions.
Shareholders are encouraged to contact the Company through the Contact Us section on Peel Mining Limited’s
website, to submit any questions via email, or call.
The Company’s website provides communication details for its Share Registry, including an email address for
shareholder enquiries direct to the Share Registry.
In addition, news announcements and other information are sent by email to all persons who have requested their
name to be added to the email list. If requested, the Company will provide general information by email.
The Company will, wherever practicable, take advantage of new technologies that provide greater opportunities for
more effective communications with shareholders.
The Company ensures that its external auditor is present at all Annual General Meetings to enable shareholders to
ask questions relevant to the audit directly to the auditor.
All resolutions at shareholder meetings will be decided by a poll.
Page 93
Company website
Peel Mining Limited has made available details of all its corporate governance principles, which can be found
in the corporate governance information section of the Company website at www.peelmining.com.au
Shareholder information
Information relating to shareholders at 8 September 2022.
Distribution of shareholders
Range
1-1,000
1,001 - 5,000
5,001 - 10,000
10,001 - 100,000
100,001 – 999,999,999
Number of
holders
102
Number of ordinary
shares
20,882
340
229
855
494
1,066,899
1,864,355
34,793,308
543,022,424
Total
2,020
580,767,868
Substantial shareholders
1. Hampton Hill
Number of ordinary
shares
111,541,926
2. St Barbara Limited
41,537,109
%
0
0.18
0.32
5.99
93.5
100
%
19.21
7.15
Page 94
Twenty largest shareholders
Range
Number of holders
Number of ordinary
shares
%
PERTH CAPITAL PTY LTD
59,666,667
10.27
1.
2.
3.
4.
5.
6.
7.
8.
9.
HSBC CUSTODY NOMINEES (AUSTRALIA) LIMITED
43,923,672
ST BARBARA LTD
PERTH CAPITAL PTY LTD
41,537,109
25,689,440
J P MORGAN NOMINEES AUSTRALIA PTY LIMITED
20,254,599
BELGRAVIA STRATEGIC EQUITIES PTY LTD
19,605,555
WINCHESTER INVESTMENTS GROUP PTY LIMITED
18,166,666
POINT NOMINEES PTY LTD
18,000,751
TREASURY SERVICES GROUP PTY LTD
16,044,932
10.
UBS NOMINEES PTY LTD
11.
HAMPTON HILL MINING NL
12.
JAYLEAF HOLDINGS PTY LTD
13.
LIBERTY MANAGEMENT PTY LTD
14.
CITICORP NOMINEES PTY LIMITED
15.
KERONGA DEVELOPMENTS PTY LTD
16.
WYTHENSHAWE PTY LTD
17.
SANDINI PTY LTD
18.
BERNE NO 132 NOMINEES PTY LTD
19.
WYTHENSHAWE PTY LTD
11,575,005
10,800,000
8,178,739
7,222,222
6,621,991
6,504,740
6,166,666
6,025,556
5,555,555
5,078,750
20.
ASHANTI INVESTMENT FUND PTY LTD
4,444,444
7.56
7.15
4.42
3.49
3.38
3.13
3.10
2.76
1.99
1.86
1.41
1.24
1.14
1.12
1.06
1.04
0.96
0.87
0.77
341,063,059
58.73
Page 95
At the prevailing market price of $0.185 per share there were 246 shareholders with less than a marketable
parcel of shares at 8 September 2022.
At 8 September 2022 there were 2,020 holders of ordinary shares in the Company.
At the date of this report there were no shares or options restricted by the ASX.
Unquoted securities
At the date of this report the Company had 27,998,106 unlisted securities on issue comprising of 23,298,106
share options on issue and 4,700,000 performance rights.
Voting Rights
The voting rights attaching to the ordinary shares, set out in Clause 12.11 of the Company’s Constitution are:
“Subject to any rights or restrictions for the time being attached to any class or classes of Shares, at meetings
of Shareholders or classes of Shareholders:
1. each Shareholder entitled to vote may vote in person or by proxy, attorney or Representative;
2. on a show of hands, every person present who is a Shareholder or a proxy, attorney or Representative
of a Shareholder has one vote; and
3. on a poll, every person present who is a Shareholder or a proxy, attorney or Representative of a
Shareholder shall, in respect of each fully paid Share held by him, or in respect of which he is appointed
a proxy, attorney or Representative, have one vote for the Share, but in respect of partly paid Shares,
shall have such number of votes being equivalent to the proportion which the amount paid (not
credited) is of the total amounts paid and payable in respect of those Shares (excluding amounts
credited)”
Page 96