Platina Resources Limited
ACN 119 007 939
Annual Report
2022
Platina Resources Annual Report 30 June 2022
Cautionary
Statements
Information relating to Previous Disclosure
The information in this presentation that relates to Exploration
Results, Mineral Resources and Ore Reserves were last reported by
the Company in compliance with the 2012 Edition of the JORC
Australasian Code for Reporting of Exploration Results, Mineral
Resources and Ore Reserves in market releases dated as follows:
• Platina Scandium Project - Positive Definitive Feasibility Study, 13
December 2018
• Platina Scandium Project Ore Reserve, 13 December 2018
• Platina expanding presence in WA Goldfields, 23 July 2020
• Platina acquires gold project in prolific gold province, 11 June
2020
• Platina builds gold presence in Western Australia, 4th April 2021
• Platina moves closer to maiden drilling program at the Challa
Gold Project, 31 March 2021
• New soil sampling program planned for Challa gold project, 11
January 2020
• Challa exploration to ramp up after encouraging results, 4
November 2020
• Platina Builds Gold Presence in Western Australia, 13 April 2021
• Platina geophysics identifies strong drill targets at Xanadu Gold
Project in Western Australia, 22 February 2022
• Platina to Build Gold Presence in WA, 3 August 2022
The Company confirms that it is not aware of any new information
or data that materially affects the information included in the market
announcements referred above and further confirms that all
material assumptions underpinning the production targets and all
material assumptions and technical parameters underpinning the
Ore Reserve and Mineral Resource statements contained in those
market releases continue to apply and have not materially changed.
Disclaimer
Statements regarding the Company’s’ plans with respect to its
mineral properties are forward-looking statements. There can be no
assurance that the Company plans for development of its mineral
properties will proceed as currently expected. There can also be no
assurance that the Company will be able to confirm the presence of
additional mineral deposits, that any mineralisation will prove to be
economic or that a mine will successfully be developed on any of
the Company’s mineral properties or that the Company will achieve
any of the valuation increases shown by the peer group companies.
1
Platina Resources Annual Report 30 June 2022
Platina Resources is advancing a
portfolio of precious, speciality and
base metal projects and investments at
various stages of development through
exploration, feasibility, and permitting,
and monetising through either sale,
joint venture or development.
Contents
Cautionary
Statements
17
Interests
Tenement
02
Chairman’s Letter
03
Review of
Operations
18
Directors Report
31
Statements
Consolidated
Financial
62
Directors
Declaration by
63
Auditor’s Report
Independent
43
68
Information
Notes to the
Financial
Statements
Shareholder
15
Annual Mineral
Resources and
Ore Reserves
Statement
35
Notes to the
Consolidated
Financial
Statements
71
Directory
Corporate
2
Platina Resources Annual Report 30 June 2022
Chairman’s
Letter
Dear shareholder
During the year, our strategy has continued on the
focus of building a significant Australian gold
exploration company.
Subsequent to the end of the financial year, Platina
started drilling at both its Challa and Xanadu projects
while increasing its Western Australian gold footprint
significantly by applying for an exploration licence for
the Jubilee tenement in the Murchison Province, and
striking a conditional deal to acquire Sangold
Resources Pty Ltd and full ownership of the
Brimstone, Beete, and Binti Binti gold projects in the
Eastern Goldfields district.
This level and speed of progress followed 12 months
of relentless activity behind the scenes. The Board,
led by Managing Director, Corey Nolan, worked
tirelessly with backlogged government departments to
secure the long list of statutory approvals required,
including cultural heritage and archaeological
clearances, to get drill rigs on the ground and in
operation on some of our project areas.
The fine pinpointing of drill targets across Challa and
Xanadu followed a comprehensive review of historical
data and innovative soil geochemical surveys over the
prior year. The appointment of experienced gold
geologist Rohan Deshpande as Platina’s Perth-based
Exploration Manager in March 2022 helped
considerably to accelerate obtaining some of the
required approvals. At his previous role with De Grey
Mining, Mr Deshpande was one of the discovery team
leaders on the multi-million ounce Hemi Gold Deposit
in the Pilbara. As the new financial year unfolds, we
look forward with excitement to receiving drill results
across our portfolio.
In sharpening our focus on our operated gold assets,
the company closed the sale of its 30% interest in the
Munni Munni Project to Alien Metals (AIM: UFO) for
A$0.25 million in cash and AUD $1.98 million worth of
Alien shares. This transaction delivered new funding
to help finance gold exploration activities and will
allow Platina shareholders to share in any upside
achieved by Alien at Munni Munni
through its Alien shareholding.
Meanwhile, Platina remains committed to unlocking
value in the Platina Scandium Project (PSP) in New
South Wales. Our new development strategy pursues
the development of master alloy production
intellectual property (IP) and a two-phase market
entry strategy based on the development of a
commercial scale master alloy production facility
initially using third party purchased scandium oxide
feedstock until such time that the market size or
security of oxide supply warrants the PSP
development. Concurrently, stakeholder engagement
continued throughout the year to secure operating
permits at both Condobolin and the Red Heart Mine
site.
During the 2023 financial year, Platina will implement
drilling programs at existing projects and look to
finalise the Sangold acquisition so exploration
activities can commence on these projects.
Yours faithfully
Brian Moller
Executive Chairman
3
Platina Resources Annual Report 30 June 2022
Review of
Operations
4
Platina Resources Annual Report 30 June 2022
Review of
operations
Platina Resources controls a portfolio of precious
and speciality metal projects and investments at
various stages of exploration and development.
Shareholder value is created by advancing these
projects through exploration, feasibility, and
permitting, and monetising through either sale,
joint venture or development.
Throughout the year, Platina continued to implement
its newly developed strategy to focus on gold
exploration in Western Australia.
Subsequent to the end of the financial year, drilling
programs began at our Xanadu and Challa Projects
after all the necessary statutory approvals including
cultural heritage clearance were obtained over the
previous 12 months.
In March, Platina closed its sale of a 30 per cent
interest in the Munni Munni platinum project to Alien
Metals Ltd (Alien, AIM:UFO) for AUD $0.25 million in
cash and AUD $1.98 million worth of Alien shares.
Project locations
At the Platina Scandium Project, processing and
product development trials are continuing while a
stakeholder engagement program is ongoing as the
Company seeks to secure operating permits at both
Condobolin and the Red Heart Mine site.
As the new financial year gets underway, Platina will
also focus on completing due diligence and finalising
the Sangold Resources Pty Ltd (Sangold) transaction
announced on 10 August 2022. Platina is seeking to
expand its portfolio of gold assets and has signed a
conditionally binding term sheet to acquire Sangold
which includes full ownership of the Brimstone, Beete,
and Binti Binti gold projects all located in world-class
gold districts (see ASX release dated 10 August 2022,
“Pivotal Acquisition Increased Platina’s Gold Footprint
in Western Australia”). The acquisition remains
subject to completion of due diligence by Platina.
5
Platina Resources Annual Report 30 June 2022
Xanadu Gold
Project
Western Australia, Australia
Ownership 100%
The Xanadu Gold Project is located in the
Ashburton Basin in close proximity to the multi-
million ounce Mt Olympus gold deposit explored
by ASX-listed Kalamazoo Resources Limited (ASX:
KZR).
Xanadu comprises seven prospecting licences and
five exploration licences covering 568km2. Execution
of activities on the licences are expected to benefit
from access to the proximal regional mining centre of
Paraburdoo 38km to the north.
Subsequent to the end of the financial year, Platina
announced it had started its maiden drilling program
at Xanadu comprising a planned 3,000m of reverse
circulation (RC) drilling over 11 holes. The first phase
of the program is targeting the core 4km of the 10km
section of the Xanadu gold trend distinguished by
historic gold occurrences drilled within the Duck
Creek Dolomite, where it is affected by the
Nanjilgardy fault zone and its splays.
Along this target area, the Company is testing
several induced polarisation (IP) chargeable
anomalies identified in a survey earlier this year,
Xanadu Project location
which potentially represent sulphides with
associated gold mineralisation, as well as shallower
oxide mineralised zones.
Xanadu is located within a large alteration system
hosted within sediments and carbonates
prospective for intrusion related gold mineralisation
such as the Telfer Gold Mine (Newcrest) and the
Hemi discovery (De Grey Mining). Xanadu also
displays strong similarities to the Carlin gold
deposits in Nevada, USA. Previous holders of
Xanadu have reported several economic grade gold
drill intercepts which had never been followed up
with a systematic exploration campaign.
Platina’s exploration program to date, which included
geological mapping and reprocessing of historic
airborne magnetics data, is assisting in developing an
understanding of the structures and host rocks. Whilst
there is significant potential to expand upon the
known oxide mineralisation, the longer-term prize is
targeting primary mineralisation within the alteration
core which has never been tested by historical drill
programs.
6
Platina Resources Annual Report 30 June 2022
Challa Project
Western Australia, Australia
Ownership 100%
The Challa Gold Project is located between the
prolific Mt Magnet and Sandstone gold districts
in Western Australia, 500km north-east of Perth.
Challa includes two high quality exploration
licences covering 293km2, providing Platina with
exposure to a world-class gold province. The
Yilgarn Craton of Western Australia has been a
prodigious gold producing province since the 19th
century and home to many successful mining
operations.
The Sandstone Province has produced over 1.3
million ounces (Moz) of gold from numerous
underground and open pit mining operations, while
Mt Magnet produced over 6Moz since discovery in
1891. Nearby, the Youanmi Gold Mine produced
670,000oz of gold throughout its life and is
currently the focus of new resource drilling
targeting high-grade gold zones.
Challa Project location
Subsequent to the end of the financial year, Platina
announced on 4 July 2022 that it had commenced
an air core drilling program at Challa designed to
define and prioritise bedrock targets below the
ubiquitous transported sheet wash soils that cover
most of the tenements for future RC drilling. The
program comprised approximately 60 holes for a
total of 3,500m, subject to the depth of cover across
the tenements. The technique has been
successfully applied to other under cover gold
discoveries in the Yilgarn like Bronzewing and
Jundee, and Tropicana in the Albany Fraser
Orogen.
The air core program targeted surface anomalies
identified through recent mapping, geophysics, and
a rock chip sampling and geochemistry program
involving more than 3,500 soil samples across the
tenement. Rock chip samples up to 5.89 g/t have
been assayed within the northern tenement.
The Company worked closely with the traditional
landowners to secure the required site clearances
and will provide employment opportunities to local
indigenous workers in the process.
7
Platina Resources Annual Report 30 June 2022
Drilling at Xanadu Project, August 2022
8
Platina Resources Annual Report 30 June 2022
Mt Narryer Project
Western Australia, Australia
Exploration Licence Application
Platina has applied for an exploration licence at Mt
Narryer South, 580km north of Perth and 300km
north- west of the company’s Challa Gold Project
within the Yilgarn Craton.
The exploration licence application covers 165km 2
and has not undergone intensive mineral
exploration in the past due to the lack of
outcropping ‘greenstones’ that have hosted most of
the main gold and base metal deposits discovered
to date in Western Australia.
However, Chalice Gold Mines (ASX: CHN) at their
Julimar nickel- copper-PGE project has shown that
a re-interpretation of the regional geology along
with aero-magnetics can yield substantial new
mineral deposits. The Exploration Licence
straddles the Carnarvon-Mullewa Road and is 20km
north of the Murchison township, providing easy
access and accommodation for the field crews.
Earlier geochemical sampling in 2010 of only nine
rock chip samples by Athena Resources returned
assays of up to 48 parts per billion gold (ppb Au)
offering encouragement that the district hosts gold
mineralisation.
During the reporting period, Platina reduced the
size of the tenement application to exclude a small
fraction which covered state forest. Platina has now
been informed by DMIRS that they are now
reviewing their previously accepted practice of
granting a tenement for a lesser area than was
originally applied for, as well as the practice of
priority waivers for certain tenure.
Once granted a soil sampling program will be
implemented.
9
Platina Resources Annual Report 30 June 2022
Jubilee Project
Western Australia, Australia
Exploration Licence Application
Platina has applied for an exploration licence (E
51/2114) over the Jubilee Project, 15km east of
Meekatharra in the Murchison Province, within the
prolific gold producing Yilgarn Craton.
The Jubilee Project covers 156km2 in close
proximity to Westgold Resources’ (ASX:WGX)
Meekatharra Gold Operation, which incorporates
the 1.8 million tonnes per annum Bluebird gold
processing hub covering the Paddy’s Flat,
Yaloginda, Nannine and Reedy’s open-pit and
underground mining centres. Paddy’s Flat is a
large, historic gold field which has produced in
excess of 1.5 million ounces.
The Jubilee Project also adjoins the eastern border
of Great Boulder Resources’ (ASX:GBR) Side Well
Project which hosts the high-grade Mulga Bill
prospect which has returned very high-grade
drilling intersections. Mulga Bill and Ironbark gold
prospects are located 4km and 2km west of
Platina’s E 51/2114 tenement application,
respectively. Meeka Gold Ltd’s (ASX: MEK)
Turnberry Mineral Resource (610koz) is located
only 19km NNE of Platina’s E 51/2114 application.
MEK’s Andy Well Resource (505koz) is located only
28km north of Jubilee.
The Jubilee Project has seen very little modern
exploration even though historic prospector activity
claims suggest high probability of mineralisation
being present.
Exploration Strategy
Key attractive geological features at the Jubilee
Project include:
• Magnetic interpretation indicates favourable
structural settings which could potentially host
gold mineralisation in the tenement area;
• There is potential for reinterpretation of the
Geological Survey of Western Australia less
prospective granitoids/granites post on ground
gravity surveys to be greenstones;
• Much of the tenement area is covered by
transported alluvium, hence conventional soil
sampling techniques might be unreliable; and
• The Jubilee Project has seen very little modern
exploration even though historic prospector
activity claims suggest high probability of
mineralisation being present.
Considering these above points post grant of
tenement, existing magnetic image will be
reprocessed, on ground gravity surveys will be
conducted. Mulga Bill Electromagnetic (EM) and
Induced Polarisation (IP) techniques have proved
successful and will also be employed over the
Jubilee Project.
Like Mulga Bill there is a high possibility of deeper
weathering, with the top-of-fresh rock surface
varying from 90m to over 120m below surface.
Gold in the regolith at Mulga Bill tends to be
depleted and remobilised into a widespread
amorphous blanket of anomalous supergene gold.
Hence, Aircore Drilling will be key in identifying
potential mineralised corridors.
10
Platina Resources Annual Report 30 June 2022
Jubilee Project location
11
Platina Resources Annual Report 30 June 2022
Munni Munni
Project
Western Australia, Australia
In November 2021, Platina signed a conditional
Binding Heads of Agreement to sell its 30 per cent
interest in the Munni Munni Project to London Stock
Exchange Alternative Investment Market listed,
Alien Metals Ltd (Alien, AIM:UFO) for $A0.25 million
in cash and $A1.98 million worth of Alien shares.
The transaction closed on 23 March 2022. The
shares were escrowed in three equal tranches for 3,
6 and 12 months.
Alien is an exploration and mining project developer
focused on precious and base metal projects
including the Hamersley Iron Ore Project, Elizabeth
Hill Silver Project and the surrounding Munni Munni
North exploration permit, all located within the
Pilbara region of Western Australia, as well as two
silver projects and a copper gold project in Mexico.
Alien’s acquisition of the 30% interest in Munni
Munni (plus the Artemis Resources’ 70% interest)
with create a platform to consolidate the Elizabeth
Hill and Munni Munni districts which is prospective
for precious and platinum group metals.
An exploration and drilling program during the period
at the Munni Munni Project near Karratha in Western
Australia confirmed the project as one of Australia’s
largest undeveloped palladium deposits with
endowments of platinum, gold and rhodium.
A RC drilling program comprised 15 drill holes for
2,740 metres spread through the entire upper portion
of the mineralisation, to a maximum depth of 250
metres, included the following results:
• 9m @ 1.67g/t 2PGE + Au (1.04g/t Pd, 0.54g/t Pt,
0.09g/t Au) from 117m, 21MMRC002;
• 5m @ 2.34g/t 2PGE + Au (1.2g/t Pd, 0.886g/t Pt,
0.25g/t Au) from 108m, 21MMRC003;
• 3m @ 2.61g/t1 2PGE + Au (1.23g/t Pd, 1.11g/t Pt,
0.27g/t Au) from 81m, 21MMRC004;
• 7m @ 2.20g/t 2PGE + Au (1.46g/t Pd, 0.67 g/t Pt,
0.07g/t Au) from 124m, 21MMRC005;
12
Platina Resources Annual Report 30 June 2022
Platina Scandium
Project
New South Wales, Australia
100% Ownership
Located in central New South Wales, the Platina
Scandium Project (PSP) is one of the world’s
highest-grade scandium deposits and has
potential to be Australia’s first scandium
producer with platinum, cobalt and nickel
credits.
A Definitive Feasibility Study (DFS), completed in
late 2018, demonstrated the technical and
economic viability of constructing the project. The
positive DFS demonstrated the opportunity to
create substantial long-term sustainable
shareholder value at a manageable capital cost. The
next step to unlocking value in the project is to
secure an offtake agreement to facilitate project
financing and finalise the required permits to begin
construction.
Platina’s prime objective is to secure production
offtake agreements, which will enable project
financing options to be pursued for construction
funding. The Company is actively working on a
scandium off-take marketing program, which is
targeting potential customers in the USA, Europe,
Asia and Australia.
During the period, Platina commenced a number of
initiatives to advance the PSP including a master
alloy production and intellectual property
development program at Swinburne University and a
detailed review of the permitting process and
required actions to secure a Mining License.
Master Alloy Development Program
The aim of the development program is to create a
proprietary process for the production of value-
added, aluminium-scandium master alloy. The
aluminium industry prefers scandium supply via a
master alloy or “hardener” rather than scandium
Platina Scandium Project location
13
Platina Resources Annual Report 30 June 2022
oxide, the planned product of the PSP operations in
New South Wales.
Once intellectual property has been developed,
customer trials and a feasibility study will be
undertaken to assess the capital and operating costs
of the production process. Our internal studies
demonstrate that the incremental capital and
operating cost to construct a master alloy production
facility will be relatively small but allow the production
of a higher-value more readily saleable product to the
market.
PSP Permitting Process
In parallel with the preparation of the PSP DFS during
2017 and 2018, a number of work programs including
community consultation, Environmental Impact
Assessments (EIA) and Mining Licence Application
were progressed. In 2019, these were put on hold
pending further progress on scandium marketing
initiatives and offtake agreements.
Platina is now planning to recommence the permitting
process and secure a Mining Licence for the project.
To complete the permitting process for the PSP
involves the following activities:
• Red Heart – Completing the EIA process, lodging
new Development Application (DA) and Mining
Lease Applications (MLA) for the mine site,
essentially for a small quarry, with development
consent determined and managed by Lachlan
Shire Council will be required; and
• Condobolin plant processing site – Completing the
EIA, and a new DA for an industrial facility at the
plant site for the processing and refining of
scandium. The permitting process will be managed
by the New South Wales Department of Planning,
Industry & Environment.
There are a number of other permits required to
complete the process and secure the Mining Licence.
14
Platina Resources Annual Report 30 June 2022
Investments
Platina holds share investments in a number of
publicly traded companies. These shares will be
divested over time to fund the gold exploration
activities in Western Australia.
Major Precious Metals
(49 million shares, NEO: SIZE)
Major is a Canadian mining and exploration company
whose flagship Skaergaard Project hosts one of the
world’s largest undeveloped gold deposits and one of
the largest palladium resources outside of South
Africa and Russia.
Blue Moon Metals Corporation
(6 million shares, TSXV: MOON)
Blue Moon Metals owns a 100% interest in the Blue
Moon Zinc Project in the USA which has a NI43-101
resource.
Alien Metals
(~112 million shares, AIM: UFO)
Exploration and mining project developer focused on
precious and base metal projects including the
Hamersley Iron Ore Project, Elizabeth Hill Silver
Project and the surrounding Munni Munni exploration
permits, all located within the Pilbara region of
Western Australia, as well as two silver projects and a
copper gold project in Mexico.
Nelson Resources Limited
(~6 million shares, ASX: NES)
Nelson Resources is an ASX-listed gold exploration
company with a portfolio of 1,641km² of wholly owned
gold projects located in Western Australia. Nelson’s
flagship project is the 1,185km² Woodline Project
which is located at the boundary between the
Proterozoic Albany-Fraser Orogen and the Archean
Yilgarn-Craton.
15
Platina Resources Annual Report 30 June 2022
Annual Mineral
Resources and Ore
Reserves Statement
Platina reviews and reports its Ore Reserve and Mineral Resources at least annually. The date of reporting is 30
June each year, to coincide with the Company’s end of financial year balance date. If there are any material
changes to the Ore Reserves and Mineral Resource estimates for our projects over the course of the year, we are
required to report these changes.
Platina Scandium Project (PSP), New South Wales
There has been no change in the PSP Mineral Resource estimate since last year’s Annual Mineral Resources and
Ore Reserves Statement.
PSP JORC (2012) Mineral Resource Estimate
Mineral Resources – at a 300ppm scandium cut-off
Classification
Tonnage
(Dry Mt)
Scandium
ppm
Platinum
(g/t)
Nickel
(%)
Cobalt
%
Scandia
(tonnes)*
Platinum
koz
Nickel
(tonnes)
Cobalt
(tonnes)
Measured
Indicated
Inferred
TOTAL
7.8
12.5
15.3
35.6
435
410
380
405
0.42
0.26
0.22
0.28
0.13
0.11
0.08
0.10
0.07
0.06
0.05
0.06
5,200
7,800
8,900
22,000
105
106
106
317
9,900
13,400
12,400
5,400
8,100
7,000
35,700
20,500
Mineral Resources – at a 600ppm scandium cut-off
Classification
Tonnage
(Dry Mt)
Scandium
ppm
Platinum
(g/t)
Nickel
(%)
Cobalt
%
Scandia
(tonnes)*
Platinum
koz
Nickel
(tonnes)
Cobalt
(tonnes)
Measured
Indicated
Inferred
TOTAL
0.74
0.75
0.26
1.76
685
670
645
675
0.39
0.32
0.22
0.34
0.17
0.14
0.10
0.15
0.16
0.11
0.07
0.12
800
800
300
9
8
2
1,300
1,100
300
1,200
800
200
1,800
19
2,600
2,200
Mineral Resources – at a 0.08% cobalt cut-off
Classification
Tonnage
(Dry Mt)
Scandium
ppm
Platinum
(g/t)
Measured
Indicated
Inferred
TOTAL
4.0
6.2
6.7
16.9
380
350
245
315
0.49
0.26
0.21
0.29
Nickel
(%)
0.29
0.20
0.21
0.22
Cobalt
%
Scandia
(tonnes)*
Platinum
koz
Nickel
(tonnes)
Cobalt
(tonnes)
0.14
0.12
0.11
0.12
2,340
3,340
2,520
8,210
63
51
45
11,610
12,380
13,910
5,690
7,440
7,270
160
37,900
20,410
*Scandium is typically sold as Scandia or Scandium Oxide (Sc2O3) product and is calculated from scandium metal content and
a 1.53 factor to convert to the oxide form
16
Platina Resources Annual Report 30 June 2022
There has been no change in the PSP Ore Reserve estimate since last year’s Annual Statement.
PSP JORC (2012) Ore Reserve Estimate
Ore Reserves – at a 450ppm scandium cut-off
Classification
Tonnage
(Dry Kt)
Scandium
ppm
Proven
Probable
TOTAL
3,054
972
4,027
575
550
570
Nickel
(%)
0.13
0.08
0.12
Cobalt
(%)
0.10
0.07
0.09
Scandia
(tonnes)*
Cobalt
(tonnes)
Nickel
(tonnes)
2,696
2,945
4,054
816
654
767
3,512
3,599
4,821
The information in this Director’s Report that relates to the PSP Mineral Resources and Ore Reserves was
last reported by the company in compliance with the 2012 Edition of the JORC Australasian Code for
Reporting of Exploration Results, Mineral Resources and Ore Reserves in market releases dated as
follows:
• Platina Scandium Project - Positive Definitive Feasibility Study, 13 December 2018
• Platina Scandium Project Ore Reserve, 13 December 2018
• Owendale Measured, Indicated and Inferred Mineral Resource – 16 August 2018
The Company confirms that it is not aware of any new information or data that materially affects the
information included in the market announcements referred to above and further confirms that all
material assumptions underpinning the production targets and all material assumptions and technical
parameters underpinning the Ore Reserve and Mineral Resource statements contained in those market
releases continue to apply and have not materially changed.
Competent Person Statement
The information in this Annual Mineral Resources and Ore Reserves Statement is based on, and fairly
represents information and supporting documentation prepared by Mr John Horton, Principal Geologist,
who is a Fellow and Chartered Professional of the Australasian Institute of Mining and Metallurgy and a
full time employee of ResEval Pty Ltd. Mr. Horton has sufficient experience that is relevant to the style of
mineralisation and type of deposit under consideration and to the activity being undertaken to qualify as
a Competent Person as defined in the 2012 Edition of the “Australasian Code for Reporting of
Exploration Results, Mineral Resources and Ore Reserves”. Mr. Horton has approved the Statement as a
whole and consents to its inclusion in the Annual Report in the form and context in which it appears.
Mineral Resource and Ore Reserve Governance Arrangements
The Company ensures that all Mineral Resource or Ore Reserve estimates are subject to
appropriate levels of governance and controls.
Exploration results are collected and managed by qualified geologists. All data collection activities are
conducted to industry standards based on a framework of quality assurance and quality control protocols
covering all aspects of sample collection, topographical and geophysical surveys, drilling, sample
preparation, physical and chemical analysis, and data and sample management.
The Mineral Resource and Ore Reserve Estimates are prepared by qualified Independent Competent
Persons. If there is a material change in the estimate of a Mineral Resource or Ore Reserve, the
estimate and supporting documentation in question is reviewed by a suitably qualified independent
Competent Person.
The Company reports its Mineral Resources and Ore Reserves estimates on an annual basis in
accordance with the 2012 JORC Code.
17
Platina Resources Annual Report 30 June 2022
Tenement Interests
Platina Resources Limited held the following interests in tenements as at 20 September 2022:
Tenement ID
EL58/552
EL58/553
E52/2089
E09/2423
E09/2704
EL7644
EL52/3711
EL52/3758
EL52/3763
EL52/3764
E52/3946
Area
Challa
Challa
Location
WA, Australia
WA, Australia
Jubilee, Murchison Province
WA, Australia
Mt Narryer South
Mt Narryer South
Owendale
WA, Australia
WA, Australia
NSW, Australia
Peak Hill – Ashburton Basin
WA, Australia
Peak Hill – Ashburton Basin
WA, Australia
Peak Hill – Ashburton Basin
WA, Australia
Peak Hill – Ashburton Basin
WA, Australia
Peak Hill – Ashburton Basin
WA, Australia
EL52/3692
Peak Hill – Ashburton Basin
WA, Australia
PL 52/1592
Peak Hill – Ashburton Basin
WA, Australia
PL 52/1593
Peak Hill – Ashburton Basin
WA, Australia
PL 52/1594
Peak Hill – Ashburton Basin
WA, Australia
PL 52/1595
Peak Hill – Ashburton Basin
WA, Australia
PL 52/1596
Peak Hill – Ashburton Basin
WA, Australia
PL 52/1597
Peak Hill – Ashburton Basin
WA, Australia
PL 52/1598
Peak Hill – Ashburton Basin
WA, Australia
Ownership
% Ownership
PGM
PGM
PGM
PGM
PGM
PGM
PGM
PGM
PGM
PGM
PGM
PGM
PGM
PGM
PGM
PGM
PGM
PGM
PGM
100
100
Not granted
Not granted
Not granted
100
100
100
100
100
Not granted
100
100
100
100
100
100
100
100
18
Platina Resources Annual Report 30 June 2022
Photo
Directors
Report
19
Platina Resources Annual Report 30 June 2022
Directors Report
Your Directors present their report together with the
financial report for Platina Resources Limited (“the
Company”) and its controlled entities (“the Group” or
“the consolidated entity”) for the year ended 30 June
2022 and the auditor’s report thereon.
DIRECTORS
The following persons were Directors of Platina
Resources Limited during the financial year and up
the date of this report, unless otherwise stated:
Brian Moller
Non-Executive Chairman
LL.B (Hons)
Mr Moller was appointed as a Non-Executive Director
on 30 January 2007 and appointed Non-Executive
Chairman on 1 January 2017.
Mr Moller is a partner with HopgoodGanim Lawyers
and practices almost exclusively in the corporate area
with an emphasis on capital raising, mergers and
acquisitions and corporate restructuring. Mr Moller
acts for many publicly listed resource and industrial
companies in Australia, and regularly advises boards
of directors on corporate governance and related
issues.
During the past three years, Mr Moller has also served
as a director of the following ASX listed companies:
• DGR Global Ltd (since 2 October 2002)
Corey Nolan
Managing Director
B.Com, MMEE, GAICD
Mr Nolan is an accomplished public company director
whose nearly 30-year career in the resources industry
started on the ground in operations before spanning a
broad range of corporate roles from equities analyst
and corporate finance director to a number of senior
executive and board positions.
As Managing Director of ASX listed Platina Resources
Limited since August 2018, he has been instrumental
in restructuring the company’s project portfolio, which
has included the acquisition, funding, exploration and
development of new assets.
Prior to Platina, Mr Nolan was Chief Executive Officer
at Sayona Mining Limited where he led the acquisition
and development of the Authier Lithium Project in
Canada and chartered a substantial growth in the
company’s market capitalisation.
Mr Nolan is a Non-Executive Director of ASX-listed
Elementos Limited, a company he incorporated and
floated on the ASX in 2009 which is now developing
one of the world's highest-grade tin projects in Spain.
Mr Nolan’s qualifications include a Bachelor of
Commerce, Masters Degree in Mineral and Energy
Economics and graduate diploma from the Australian
Institute of Company Directors.
• Aus Tin Mining Limited (since 1 December 2006) -
Chairman
During the past three years, Mr Nolan has also served
as a director of the following ASX listed companies:
• New Peak Metals Limited (since 22 January 2003)
• Elementos Limited (since 24 July 2009)
• Tempest Minerals Limited (since 13 October 2016)
- Chairman
20
Platina Resources Annual Report 30 June 2022
Christopher Hartley
Non-Executive Director
BSc; PhD; MIMMM; CEng; GAICD
Dr Hartley was appointed as a Non-Executive Director
on 1 January 2017.
Dr Hartley has 40 years’ experience in the mining
industry in a variety of roles relating to management
and development of mining and metallurgical
operations. Most recently he spent five years with
Bloom Energy in the role of Technical Director
Strategic Materials, leading a team that established
secure and efficient supplies of scandium oxide for
their manufacturing operations in the USA. Prior to
that he held roles with BHP Billiton and its
predecessor Billiton, as well as working as an
independent consultant. He has been based in the
Netherlands, the UK, India and the USA and worked
on projects in many more countries.
Dr Hartley holds no other (ASX listed) directorships.
John Anderson
Non-Executive Director
LL.B, B.Ec, GDCL, GAICD
Mr Anderson was appointed as a Non-Executive
Director on 9 April 2018.
Vietnam, Bangladesh, Malaysia, PNG and Indonesia.
He has extensive experience in Asia Pacific in LNG
projects and the commercialisation of undeveloped
resources, energy markets and more recently in
decarbonisation strategies and implementation.
Mr Anderson holds no other (ASX listed)
directorships.
Paul Jurman
Company Secretary – appointed 1 June 2016
B.Com, CPA
Mr Jurman is a Certified Practising Accountant with
over 15 years’ experience and has been involved with
a diverse range of Australian public listed companies
in company secretarial and financial roles. He is also
company secretary of ASX listed Carnavale
Resources Limited, Lord Resources Limited and
Tempest Minerals Limited.
DIRECTORS’ MEETINGS
The number of meetings of Directors (including
meetings of committees of directors) held during the
year and the number of meetings attended by each
Director was as follows:
Mr Anderson has had more than 25 years’ experience
in the resources sector with 12 of those in senior
executive roles at Santos Limited (Santos). He was
also a director of Darwin LNG for more than 8 years.
Directors
Board
No. of
meetings
held while in
office
Meetings
attended
At Santos, Mr Anderson was responsible for leading
strategic projects, business development, mergers
and acquisitions, commercial and marketing and
trading. Mr Anderson also had roles leading two of
Santos' business units, in Western Australia and the
Northern Territory and in Asia Pacific in which he was
accountable for all activities from exploration through
to development, operations and sales.
Mr Anderson is an experienced executive in the
Australian and Asian energy markets with direct
international experience in the Asian region having led
businesses operating in the region for a number of
years including Santos’ significant investments in
Brian Moller
Corey Nolan
Christopher Hartley
John Anderson
3
3
3
3
3
3
3
3
At present, the Company does not have any formally
constituted committees of the Board. The Directors
consider that the Group is not of a size nor are its
affairs of such complexity as to justify the formation of
special committees.
21
Platina Resources Annual Report 30 June 2022
DIRECTORS’ INTERESTS IN SECURITIES
As at the date of this report, the interests of the
Directors in the shares and options of Platina
Resources Limited are shown in the table below:
Directors
Brian Moller
Corey Nolan
Ordinary
shares
Unlisted
options
-
2,500,000
400,000
9,000,000
Christopher Hartley
-
2,000,000
John Anderson
104,340
2,000,000
PRINCIPAL ACTIVITIES
The principal activities of the Group during the financial
year were acquiring, exploring and developing mineral
interests, prospective for precious metals and other
mineral deposits.
OPERATING RESULTS
The net profit / (loss) of the Group for the year, after
provision for income tax, amounted to ($15,676,545)
(2021: profit of $20,062,559).
DIVIDENDS PAID OR RECOMMENDED
There were no dividends paid or recommended during
the financial year.
REVIEW OF OPERATIONS
Information on the operations of the Group during the
financial year and up to the date of this report is set out
separately in the Annual Report under Review of
Operations.
REVIEW OF OPERATIONS / OPERATING AND
FINANCIAL REVIEW
The Group is primarily engaged in mineral exploration
in Australia. A review of the Group’s operations,
including information on exploration activity and
results thereof, financial position, strategies and
projects of the Group during the year ended 30 June
2022 is provided in this Financial Report and, in
particular, in the Review of Operations section
immediately preceding this Directors’ Report. The
Group’s financial position, financial performance and
use of funds information for the financial year is
provided in the financial statements that follow this
Directors’ Report.
The Coronavirus (COVID-19) pandemic has to date
not had a significant direct financial impact on the
Group. Staff have been able to work from home and
have remained in good health. The Group has
refocused its activities on Western Australian gold
projects as a result of the Challa and Xanadu
acquisition and the applications for exploration
licences at Mt Narryer South. The Company is on
track to complete the majority of its planned
exploration program during the current field season.
The majority of the planned program for the 2022/23
financial year is focused on the WA projects. The
Company will engage with WA based consultants for
planned exploration programs, including for drilling
services. Completion of the program is subject to
there being no internal travel restrictions or health
concerns associated with travel in Western Australia,
and contractors delivering agreed services.
As an exploration entity, the Group has no recurring
operating revenue or earnings and consequently the
Group’s performance cannot be gauged by reference
to those measures. Instead, the Directors’ consider
the Group’s performance based on the success of
exploration activity, acquisition of additional
prospective mineral interests and, in general, the
value added to the Group’s mineral portfolio during
the course of the financial year.
Whilst performance can be gauged by reference to
market capitalisation, that measure is also subject to
numerous external factors. These external factors can
be specific to the Group, generic to the mining
industry and generic to the stock market as a whole
and the Board and management would only be able to
control a small number of these factors.
The Group’s business strategy for the financial year
ahead and, in the foreseeable future, is to continue
exploration activity on the Group’s existing mineral
projects, identify and assess new mineral project
opportunities and review development strategies
where individual projects have reached a stage that
allows for such an assessment. Due to the inherent
risky nature of the Group’s activities, the Directors are
unable to comment on the likely results or success of
these strategies.
22
Platina Resources Annual Report 30 June 2022
The Group’s activities are also subject to numerous
risks, mostly outside the Board’s and management’s
control. These risks can be specific to the Group,
generic to the mining industry and generic to the
stock market as a whole. The key risks, expressed in
summary form, affecting the Group and its future
performance include but are not limited to:
• geological and technical risk posed to exploration
and commercial exploitation success;
• security of tenure including licence renewal,
inability to obtain regulatory or landowner consents
or approvals and native title issues;
• change in commodity prices and market
conditions;
• change in prices of listed investments and foreign
currencies;
• environmental and occupational health and safety
risks;
• government policy changes;
•
retention of key staff; and
• capital requirement and lack of future funding.
This is not an exhaustive list of risks faced by the
Group or an investment in it. There are other risks
generic to the stock market and the world economy as
a whole and other risks generic to the mining industry,
all of which can impact on the Group.
Treasury policy
The consolidated entity does not have a formally
established treasury function. The Board is
responsible for managing the consolidated entity’s
finance facilities. The Group does not currently
undertake hedging of any kind.
Liquidity and funding
The consolidated entity has sufficient funds to finance
its operations and exploration activities, and to allow
the consolidated entity to take advantage of
favourable business opportunities, not specifically
budgeted for, or to fund unforeseen expenditure.
REVIEW OF FINANCIAL CONDITION
Capital structure
As at 30 June 2021 the Company had 434,382,342
ordinary shares and 43,860,000 options on issue.
During the year ended 30 June 2022, the following
securities were issued:
•
In May 2022, the Company issued a total of
6,000,000 unlisted Options to Mr Rohan
Deshpande, Group Exploration Manager;
As at 30 June 2022 the Company had 434,382,342
ordinary shares and 49,860,000 options on issue.
As at the date of this report, there are no performance
rights on issue.
SIGNIFICANT CHANGES IN THE STATE OF AFFAIRS
There were no significant changes in the state of
affairs of the Group in the financial year except as
disclosed in the Review of Operations.
AFTER BALANCE DATE EVENTS
No matter or circumstance has arisen since the end of
the financial year, to the date of this report, that has
significantly affected, or may significantly affect, the
operations of the Group, the results of those
operations, or the state of affairs of the Group in future
financial years other than the following:
•
•
In August 2022, 17,452,830 shares were issued as
final share consideration for the acquisition of
100% of the Xanadu Gold Project;
In August 2022, the Company signed a conditional
binding term sheet with Sangold Resources Pty
Ltd (Sangold) to acquire 100% of the advanced,
high-grade, near-surface Brimstone Gold Project,
40 km north-east of Kalgoorlie (refer ASX release
dated 10 August 2022). The transaction is subject
to a three-month exclusivity and due diligence
period, (funded by a $50,000 option payment) that
expires on 31 October 2022, during which time all
conditions must be either satisfied or waived.
Consideration for the acquisition includes $2.5
million of Platina shares to be issued at a 5%
discount to the 10-day volume weighted average
(VWAP) price on announcement of the transaction
and $150,000 cash. Shares to the value of $1
million shares will be issued if a JORC compliant
Inferred Mineral Resource above 100,000 ounces
at 1.5g/t is achieved on any project within the
acquisition tenements, based on a 5% discount to
the 10-day VWAP at the time the JORC Mineral
Resource is announced;
•
In August 2022, the Company advised it had
confirmed the allotment of 89.2 million ordinary
fully paid shares (Shares) at $0.025 per share to
raise $2.23 million to sophisticated, professional
and other exempt investors, (Placement) (before
costs of raising);
• Subsequent to the end of the period, the Company
sold 26 million Alien Metals shares for gross
proceeds of approximately AUD $290,000;
23
Platina Resources Annual Report 30 June 2022
• The Company advises that the value of
investments held by Platina has decreased from
AUD $5.9 million at 30 June 2022 to $2.799 million
(taking into account the disposal of Alien Metals
shares noted above post balance date) at the date
of signing this report; and
• On 14 September 2022, shareholders of major
Precious Metals Limited (Major) approved a
voluntary delisting of Major’s common shares from
the NEO Stock Exchange in Toronto. The Board of
Major cited the rationale for the delisting was due
to the prolonged weak market conditions, owed
greatly to a continued market-driven disconnect
between the share price of Major, relative to it’s
believed true asset value, would be in the best
interests of its shareholders and the Company in
order to preserve its current business. The shares
will finish trading on the NEO Stock Exchange on 7
October 2022.
Whilst delisted, Major intends to complete an
updated Mineral Resource Estimate to incorporate
the new data from the 2021 drilling program. In
addition, a NI43-101 Technical Report will be
prepared and used as a Competent Person Report
for a Prospects and relisting on another Stock
Exchange during the next six months if conditions
are favourable.
LIKELY DEVELOPMENTS, EXPECTED RESULTS,
PROSPECTS AND BUSINESS STRATEGIES
Likely developments in the operations of the Group
and the expected results of those operations in
subsequent financial years have been discussed
where appropriate in the Annual Report under Review
of Operations.
There are no further developments of which the
Directors are aware which could be expected to affect
the results of the Group’s operations in subsequent
financial years. The Directors are unable to comment
on the likely results from the Company’s planned
exploration and pre-development activities due to the
speculative nature of such activities.
Business Results
The prospects of the Group in progressing their
exploration projects in Australia may be affected by a
number of factors. These factors are similar to most
exploration companies moving through the
exploration phase and attempting to get projects into
development. Some of these factors include:
• Exploration - the results of the exploration activities
may be such that the estimated resources are
insufficient to justify the financial viability of the
projects. Platina Resources undertakes extensive
exploration and product quality testing prior to
establishing JORC compliant resource estimates
and to (ultimately) support mining feasibility
studies. The Group engages external experts to
assist with the evaluation of exploration results and
relies on third party Competent Persons to prepare
JORC resource statements. Economic feasibility
modelling of projects will be conducted in
conjunction with third party experts and the results
of which will usually be subject to independent
third-party peer review.
• Regulatory and Sovereign - the Group operates in
Australia and deals with local regulatory authorities
in relation to the exploration of its properties. The
Group may not achieve the required local
regulatory approvals to continue exploration or
properly assess development prospects. The
Group takes appropriate legal and technical advice
to ensure it manages its compliance obligations
appropriately.
• Social Licence to Operate – the ability of the Group
to secure and undertake exploration and
development activities within prospective areas is
also reliant upon satisfactory resolution of native
title and (potentially) overlapping tenure. To
address this risk, the Group develops strong, long
term effective relationships with landholders with a
focus on developing mutually acceptable access
arrangements. The Group takes appropriate legal
and technical advice to ensure it manages its
compliance obligations appropriately. Mining
tenements that the Group currently holds, or has
applied for, are subject to Native Title claims. The
Group has a policy that is respectful of the Native
Title rights and is continuing to negotiate with
relevant indigenous bodies.
• Environmental - All phases of mining and
exploration present environmental risks and
hazards. Platina’s operations in Australia are
subject to environmental regulation pursuant to a
variety of state and municipal laws and regulations.
Environmental legislation provides for, among
other things, restrictions and prohibitions on spills,
releases or emissions of various substances
produced in association with mining operations.
Compliance with such legislation can require
significant expenditures and a breach may result in
the imposition of fines and penalties, some of
which may be material. Environmental legislation is
evolving in a manner expected to result in stricter
standards and enforcement, larger fines and
liabilities and potentially increased capital
expenditures and operating costs.
24
Platina Resources Annual Report 30 June 2022
Environmental assessments of proposed projects
carry a heightened degree of responsibility for
companies and directors, officers and employees.
The Group assesses each of its projects very
carefully with respect to potential environmental
issues, in conjunction with specific environmental
regulations applicable to each project, prior to
commencing field exploration. Periodic reviews are
undertaken once field exploration commences.
• Safety - Safety is of critical importance in the
planning, organisation and execution of Platina
Resources’ exploration activities. Platina
Resources is committed to providing and
maintaining a working environment in which its
employees are not exposed to hazards that will
jeopardise an employee’s health, safety or the
health and safety of others associated with our
business. Platina Resources recognise that safety
is both an individual and shared responsibility of all
employees, contractors and other persons
involved with the operation of the organisation. The
Group has a comprehensive Safety and Health
Management system, which is designed to
minimise the risk of an uncontrolled safety and
health event and to continuously improve safety
culture within the organisation.
• Funding - the Group will require additional funding
to continue exploration and potentially move from
the exploration phase to the development phases
of its projects. There is no certainty that the Group
will have access to available financial resources
sufficient to fund its exploration, feasibility or
development costs at those times. The Group has
no material financial commitments.
• Market - there are numerous factors involved with
exploration and early stage development of its
projects, including variance in commodity price
and labour costs, which can result in projects
being uneconomical.
ENVIRONMENTAL REGULATIONS
The Group’s operations are subject to significant
environmental regulation under the laws of Australia.
The Group has a policy of complying with
its
environmental obligations and, at the date of this
report, is not aware of any breach of such regulations.
REMUNERATION REPORT (AUDITED)
This report outlays the remuneration arrangements in
place for the Key Management Personnel (as defined
under section 300A of the Corporations Act 2001) of
Platina Resources Limited. The information provided
in this remuneration report has been audited as
required by section 308(3C) of the Corporations Act
2001.
The following were Key Management Personnel of the
consolidated entity at any time during the year and
unless otherwise indicated were Key Management
Personnel for the year:
Details of Key Management Personnel
(i) Directors
Brian Moller
Corey Nolan
Non-Executive Chairman
Managing Director
Christopher Hartley
Non-Executive Director
John Anderson
Non-Executive Director
There have been no changes of Key Management
Personnel after the reporting date and up to the date
the financial report was authorised for issue.
Remuneration philosophy
The Board reviews the remuneration packages
applicable to the executive Directors and non-
executive Directors on an annual basis. The broad
remuneration policy is to ensure the remuneration
package properly reflects the person’s duties and
responsibilities and level of performance and that
remuneration is competitive in attracting, retaining
and motivating people of the highest quality.
Independent advice on the appropriateness of
remuneration packages is obtained, where necessary,
although no such independent advice was sought
during the financial year.
Remuneration is not linked to past company
performance but rather towards generating future
shareholder wealth through share price performance.
As a minerals explorer, the Company does not
generate operating revenues or earnings and
company performance, at this stage, can only be
judged by exploration success and, ultimately,
shareholder value. Market capitalisation is one
measure of shareholder value but this is subject to
many external factors over which the Company has
no control. Consequently linking remuneration to past
performance is difficult to implement and not in the
best interests of the Company. Presently, total fixed
remuneration for senior executives is determined by
reference to market conditions and incentives for out-
25
Platina Resources Annual Report 30 June 2022
performance are provided by way of options or
performance rights over unissued shares. The
Directors believe that this best aligns the interests of
the shareholders with those of the senior executives.
All remuneration paid to key management personnel
is valued at cost to the Group and charged to the
profit and loss account as an expense or capitalised
as part of exploration expenditure as appropriate.
Shares given to directors and executives are valued
as the difference between the market price of those
shares and the amount paid by the director or
executive. Options and performance rights are valued
using the Black-Scholes methodology. There are no
schemes for retirement benefits other than statutory
superannuation for executive directors.
Voting and comments made at the Company’s 2021
Annual General Meeting (AGM): – At the 2021 AGM,
less than 3% of the votes received (excluding
abstentions) did not support the adoption of the
remuneration report for the year ended 30 June 2021.
The Company did not receive any specific feedback at
the AGM regarding its remuneration practices.
Remuneration committee
Given the size and scale of the Company’s operations,
the full Board has undertaken the roles previously
undertaken by the Remuneration Committee. The
Board is considered to have sufficient legal,
corporate, commercial and industry experience in the
context of the Company’s affairs to properly assess
the remuneration issues required by the Group.
The Board assesses the appropriateness of the nature
and amount of remuneration of Directors and senior
managers on a periodical basis by reference to
relevant employment market conditions with the
overall objective of ensuring maximum stakeholder
benefit from the retention of a high quality board and
management team.
Remuneration structure
In accordance with best practice corporate
governance, the structure of non-executive Directors
and executive Director remuneration is separate and
distinct.
Non-executive Directors remuneration
Objective
attract and retain directors of the highest calibre,
whilst incurring a cost which is acceptable to
shareholders.
Structure
The Constitution and the ASX Listing Rules specify
that the aggregate remuneration of non-executive
Directors shall be determined from time to time by a
general meeting. An amount not exceeding the
amount determined is then divided between the
Directors as agreed. The present limit of approved
aggregate remuneration is $250,000 per year.
The Board reviews the remuneration packages
applicable to the non-executive Directors on an
annual basis. The Board considers fees paid to non-
executive directors of comparable companies when
undertaking the annual review process.
The appointment conditions of the non-executive
Chairman and the non-executive Directors are
formalised in service agreements. Under the
Constitution of the Group, these appointments, if not
terminated sooner, end on the date of retirement by
rotation. The Constitution requires one third of
Directors retire each year at a general meeting of
shareholders. If re-elected at future general meetings
of shareholders, the appointments continue for further
terms.
It has been agreed that the non-executive Directors
shall each receive a fee of $50,000 plus statutory
superannuation per annum effective from their
appointment date. Mr Moller, as Chairman, is entitled
to a fee of $57,800 per annum. Non-executive
Directors may also be remunerated for additional
specialised services performed at the request of the
Board.
The remuneration of the non-executive Directors for
the year ending 30 June 2022 and 30 June 2021 is
detailed in Table 1 of this report.
Managing Director’s remuneration
Objective
The company aims to reward the Managing Director
with a level of remuneration commensurate with his
position and responsibilities within the Company and
so as to:
• align the interests of the Managing Director with
those of shareholders;
The Board seeks to set aggregate remuneration at a
level which provides the Company with the ability to
•
link reward with the strategic goals and
performance of the Company; and
• ensure total remuneration is competitive by market
standards.
26
Platina Resources Annual Report 30 June 2022
Structure
Variable remuneration – Long Term Incentive (‘LTI’)
Remuneration consists of the following key elements:
Objective
• Fixed remuneration
• Variable remuneration
Fixed remuneration
The level of fixed remuneration is set so as to provide
a base level of remuneration that is both appropriate
to the position and is competitive in the market.
Fixed remuneration is reviewed annually by the Board
and the process consists of a review of company-
wide, business unit and individual performance,
relevant comparative remuneration in the market and
internal and, where appropriate, external advice on
policies and practice.
Mr Corey Nolan entered into an executive services
agreement with the Company on 14 May 2018,
effective from 1 August 2018 to act as Managing
Director and Chief Executive Officer of the Company.
Mr Nolan was paid an annual salary of $323,000,
including statutory superannuation.
As part of a revised contract entered into effective
from 1 July 2021, Mr Nolan is entitled to an annual
salary of $310,000, including statutory superannuation
and the termination period for both Platina and Mr
Nolan has been reduced from six months to two
months. Mr Nolan can also receive an annual bonus
of up to 50% of the annual remuneration (excluding
the statutory superannuation) upon the achievement
of certain performance criteria. The duties are those
as are customarily expected of a Managing Director
and, from time to time, delegated by the Board.
Executive Director remuneration for the year ending
30 June 2022 and 30 June 2021 is detailed in Table 1
of this report.
The objective of the LTI plan is to reward executives
and senior managers in a manner that aligns this
element of remuneration with the creation of
shareholder wealth.
As such LTI grants are only made to executives who
are able to influence the generation of shareholder
wealth and thus have a direct impact on the Group’s
performance.
Structure
LTI grants to Key Management Personnel are
delivered in the form of options and performance
rights. The issue of options / performance rights as
part of the remuneration packages of executive and
non-executive directors is an established practice of
junior public listed companies and, in the case of the
Company, has the benefit of conserving cash whilst
properly rewarding each of the directors.
Performance Rights Plan (PRP)
Shareholders approved the Company’s PRP at the
Annual General Meeting held on 30 November 2021.
The PRP is designed to provide a framework for
competitive and appropriate remuneration so as to
retain and motivate skilled and qualified personnel
whose personal rewards are aligned with the
achievement of the Company’s growth and strategic
objectives.
Employee Option Incentive Plan (EOIP)
Shareholders last approved the Platina Resources
Limited EOIP at the General Meeting on 16 October
2020. The EOIP is designed to provide incentives,
assist in the recruitment, reward and retention of
employees or key consultants. Participation in the
plan is at the Board’s discretion and no individual has
a contractual right to participate in the plan or receive
any guaranteed benefit.
27
Platina Resources Annual Report 30 June 2022
Table 1: Remuneration details
The following table details, in respect to the financial years ended 30 June 2022 and 2021, the components of
remuneration for each key management person of the Group.
Short term employee
benefit
Post-
employment
benefits
Termination
benefits
Equity
% of
Remuner-
ation as
Share-
based
payment
Superannuat
ion/
retirement
benefits
Other
Share-
based
payment
Total
Key Management Personnel
Directors
Brian Moller (Non-Executive Chairman)
2022
2021 (i)
Corey Nolan (Managing Director & CEO)
2022
2021 (I, ii)
Christopher Hartley (Non-Executive
Director)
2022
2021 (i)
John Anderson (Non-Executive Director)
2022
2021 (i)
Total, all specified Directors
2022
2021
Salary &
Fees
Other
$
$
57,800
57,800
286,432
-
-
-
$
-
-
23,430
228,310
120,000
21,690
50,000
50,000
50,000
50,000
444,232
-
-
-
-
-
5,000
4,750
5,000
4,750
33,430
386,110
120,000
31,190
$
$
$
%
-
-
-
-
-
-
-
-
-
-
-
57,800
-
56,623
114,423
49.5
-
309,862
-
196,557
566,557
34.7
-
55,000
-
45,298
100,048
45.3
-
55,000
-
45,298
100,048
45.3
-
477,662
343,776
881,076
(i)
In October 2020, following shareholder approval, 15.5 million options were issued as part of the remuneration
package for the Company’s directors and the charge to the profit and loss account for the reporting period
was $337,409.
(ii) During the year ended 30 June 2021, following a performance review conducted by the Board it was resolved
that Mr Nolan would be paid a cash bonus in recognition of his performance during the period.
28
Platina Resources Annual Report 30 June 2022
Shareholdings of Key Management Personnel
The numbers of shares in the Company held during the financial period by Directors and other Key Management
Personnel, including shares held by entities they control, are set out below:
Balance
1 July 2021
Granted as
compensation
Performance
Rights Converted
Net Change Other
Balance
30 June 2022
Directors
Brian Moller
Corey Nolan
Christopher
Hartley
-
400,000
-
John Anderson
104,340
Paul Jurman
Total
-
504,340
Option holdings of Key Management Personnel
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
400,000
-
104,340
-
504,340
The numbers of options in the Company held during the financial period by Directors and other Key Management
Personnel, including options held by entities they control, are set out below:
Directors
Brian Moller
Corey Nolan
Christopher
Hartley
John Anderson
Total
Balance
1 July 2021
2,500,000
9,000,000
2,000,000
2,000,000
15,500,000
Options Granted
as compensation
Options Exercised
/ Expired
Net Change Other
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
Balance
30 June 2022
2,500,000
9,000,000
2,000,000
2,000,000
15,500,000
The Options were provided at no cost and expire on 16 October 2022.
Performance Rights of Key Management Personnel
There were no performance rights in the Company held during the financial period by Directors and other Key
Management Personnel.
Loans to Key Management Personnel and their related parties
There were no loans outstanding at the reporting date to Key Management Personnel and their related parties.
Other Transactions with Key Management Personnel
A number of Key Management Personnel, or their related parties, held positions in other entities that result in them
having control or significant influence over the financial or operating policies of these entities. Transactions between
related parties are on normal commercial terms and conditions unless otherwise stated.
• During the year ending 30 June 2022, HopgoodGanim, a legal firm of which Mr Brian Moller is a partner was paid
legal fees by the Group of $28,314 (2021: $298,230). There was an amount of $1,787 payable at balance date.
End of Remuneration Report
29
Platina Resources Annual Report 30 June 2022
INDEMNIFICATION AND INSURANCE OF
DIRECTORS, OFFICERS AND AUDITOR
CORPORATE GOVERNANCE
Each of the Directors of Platina Resources Limited has
entered into a Deed with Platina Resources Limited
under the terms of which the Company has provided
certain contractual rights of access to its books and
records to those Directors.
Platina Resources Limited has insured all of the
Directors and officers of Platina Resources Limited.
The contract of insurance prohibits the disclosure of
the nature of the liabilities covered and amount of the
premium paid. The Corporations Act does not require
disclosure of the information in these circumstances.
PROCEEDINGS ON BEHALF OF THE
CONSOLIDATED ENTITY
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.
Moreover, the Group was not a party to any such
proceedings during the year.
NON-AUDIT SERVICES
There have been no non-audit services provided by
the Company’s auditor during the year (2021: Nil).
AUDITOR’S INDEPENDENCE DECLARATION
The lead auditor’s independence declaration for the
year ended 30 June 2022 has been received and can
be found on the following page.
The Board of the Company is responsible for the
corporate governance of the Company and guides
and monitors the business and affairs on behalf of the
shareholders by whom they are elected and to whom
they are accountable. The Company’s governance
approach aims to achieve exploration, development
and financial success while meeting stakeholders’
expectations of sound corporate governance
practices by proactively determining and adopting the
most appropriate corporate governance
arrangements.
ASX Listing Rule 4.10.3 requires listed companies to
disclose the extent to which they have followed the
recommendations set by the ASX Corporate
Governance Council during the reporting period. The
Company has disclosed this information on its website
at www.platinaresources.com.au/corporate-
governance. The Corporate Governance Statement is
current as at 30 June 2022, and has been approved
by the Board of Directors.
The Company’s website at www.
platinaresources.com.au contains a corporate
governance section that includes copies of the
Company’s corporate governance policies.
This report is signed in accordance with a resolution
of the directors.
Corey Nolan
Managing Director
Brisbane
Date: 27 September 2022
30
AUDITOR’S INDEPENDENCE DECLARATION
UNDER SECTION 307C OF THE CORPORATIONS ACT 2001
TO THE DIRECTORS OF PLATINA RESOURCES LIMITED
I declare that, to the best of my knowledge and belief, during the year ended 30 June 2022 there have been:
i. no contraventions of the auditor independence requirements as set out in the Corporations Act 2001 in
relation to the audit; and
ii. no contraventions of any applicable code of professional conduct in relation to the audit.
Bentleys Brisbane Partnership
Chartered Accountants
Ashley Carle
Partner
Brisbane
27 September 2022
A member of Bentleys, a network of independent advisory and accounting firms located
throughout Australia, New Zealand and China that trade as Bentleys. All members of the
Bentleys Network are affiliated only, are separate legal entities and not in partnership. Liability
limited by a scheme approved under Professional Standards Legislation.
31
Platina Resources Annual Report 30 June 2022
Consolidated
Financial
Statements
Consolidated Statement of Comprehensive Income
for the Year Ended 30 June 2022
Note
30 June 2022
30 June 2021
$
$
Revenue and other income
Administration expenses
Depreciation and amortisation expense
Employee benefits expense
Exploration costs expensed
Foreign exchange gain / (loss)
Marketing expenses
Professional services
Share based payments expensed
Net fair value gain / (loss) on fair value of equity investments
Operating Profit / (Loss)
Profit / (Loss) before income tax
Income tax benefit/(expense)
Net profit / (loss) for the year
Other comprehensive income net of tax
Total comprehensive profit / (loss) of year
Earnings per share
Basic profit / (loss) per share ($ per share)
Diluted profit / (loss) per share ($ per share)
2
3
3
4
7
7
The accompanying notes form part of these financial statements.
2,255,248
10,091,163
(226,647)
(6,393)
(394,274)
(881,876)
397,172
(79,995)
(250,813)
(9,002)
(16,479,965)
(15,676,545)
(15,676,545)
-
(204,514)
(5,082)
(391,383)
(704,286)
(561,783)
(114,083)
(622,297)
(389,073)
12,938,998
20,037,660
20,037,660
24,899
(15,676,545)
20,062,559
-
-
(15,676,545)
20,062,559
Cents
(0.036)
(0.036)
Cents
0.049
0.045
32
Platina Resources Annual Report 30 June 2022
Consolidated Statement of Financial Position
as at 30 June 2022
Note
30 June 2022
30 June 2021
$
$
Current Assets
Cash and cash equivalents
Trade and other receivables
Other current assets
Total Current Assets
Non-Current Assets
Property, plant and equipment
Financial assets at FVTPL
Exploration
acquisition costs
and
evaluation
expenditure
–
Other non-current assets
Total Non-Current Assets
TOTAL ASSETS
Current Liabilities
Trade and other payables
Total Current Liabilities
TOTAL LIABILITIES
NET ASSETS
Equity
Issued capital
Share-issue costs
Share-based payments reserve
Accumulated losses
8
9
13
10
11
12
13
14
15
16
1,222,365
17,486
12,996
1,252,847
13,428
5,897,399
1,550,975
32,099
7,493,901
2,594,200
64,187
10,457
2,668,844
8,688
20,003,717
1,540,008
42,099
21,594,512
8,746,748
24,263,356
437,040
437,040
437,040
286,105
286,105
286,105
8,309,708
23,977,251
55,402,571
(3,135,853)
52,266,718
897,760
(44,854,770)
55,402,571
(3,135,853)
52,266,718
888,758
(29,178,225)
TOTAL EQUITY
8,309,708
23,977,251
The accompanying notes form part of these financial statements.
Total
$
1,057,352
2,538,900
(71,033)
389,073
-
-
33
Platina Resources Annual Report 30 June 2022
Consolidated Statement of Changes in Equity
For the Year Ended 30 June 2022
Share Capital
Ordinary
Share-based
Payments
Reserve
Accumulated
Losses
$
$
$
Balance at 1 July 2020
49,762,851
571,285
(49,276,784)
Issue of shares
Share issue costs
Performance rights and options
expensed / issued
2,538,900
(71,033)
-
-
-
389,073
Performance rights converted
36,000
(36,000)
-
-
-
-
Performance rights lapsed and adjusted
to accumulated losses
Issue of Options
Sub total
(36,000)
36,000
-
-
52,266,718
888,758
(49,240,784)
3,914,692
400
-
400
Total Comprehensive profit / (loss)
-
-
20,062,559
20,062,559
Balance at 30 June 2021
52,266,718
888,758
(29,178,225)
23,977,251
Options expensed / issued
-
9,002
-
9,002
Sub total
52,266,718
897,760
(29,178,225)
23,986,253
Total Comprehensive profit / (loss)
-
-
(15,676,545)
(15,676,545)
Balance at 30 June 2022
52,266,718
897,760
(44,854,770)
8,309,708
The accompanying notes form part of these financial statements
34
Platina Resources Annual Report 30 June 2022
Consolidated Statement of Cash Flows
For the Year Ended 30 June 2022
Cash Flows from Operating Activities
Payments to suppliers and employees
Interest received
Other receipts
Other receipts – GST received on sale of exploration tenements
Note
2022
$
2021
$
(1,219,789)
(1,243,796)
270
22,093
223,000
69
166,486
-
Net cash used in operating activities
18
(974,426)
(1,077,241)
Cash Flows from Investing Activities
Payments for purchase of investments
Payments for purchase of property, plant and equipment
Receipts from refund of security deposit
Receipts from sale of investments
Receipts from sale of exploration tenements
Exploration and evaluation expenditure – acquisition costs
Exploration and evaluation expenditure
Net cash provided by (used in) investing activities
Cash Flows from Financing Activities
Proceeds from issue of shares and options
Share Issue costs
Net cash provided by (used in) financing activities
Net increase/(decrease) in cash held
Cash and cash equivalents at beginning of year
Effects of exchange rate fluctuations on the balances of cash held in
foreign currencies
-
(11,133)
10,000
3,031
250,000
(10,967)
(636,572)
(395,641)
-
(5,295)
(5,295)
(1,375,362)
2,594,200
3,527
(426,485)
-
-
2,739,801
521,594
(345,547)
(753,691)
1,735,672
894,800
(71,403)
823,397
1,481,828
1,117,565
(5,193)
Cash and cash equivalents at end of financial year
8
1,222,365
2,594,200
The accompanying notes form part of these financial statements.
35
Platina Resources Annual Report 30 June 2022
Notes to the Financial
Statements
for the year ended 30
June 2022
NOTE 1 SUMMARY OF SIGNIFICANT ACCOUNTING
POLICIES
The principal accounting policies adopted in the
preparation of these consolidated financial statements
are set out below. These policies have been
consistently applied to all the periods presented,
unless otherwise stated. The financial statements are
for the Consolidated Entity (or “Group”) consisting of
Platina Resources Limited (“Company”) and the
entities it controlled from time to time throughout the
year. For the purpose of preparing the consolidated
financial statements, the Company is a for-profit entity.
a. Basis of preparation
The financial report is a general purpose financial
report that has been prepared in accordance with
Australian Accounting Standards, other
authoritative pronouncements of the Australian
Accounting Standards Board, the Corporations Act
2001 and other requirements of the law and
Australian equivalents to International Financial
Reporting Standards (AIFRS). The financial report
has been prepared on a historical cost basis,
except where otherwise stated.
The financial report is presented in Australian
dollars.
The Company is a listed public company,
incorporated and domiciled in Australia that has
operated during the year in Australia. The Group’s
principal activities are evaluation and exploration of
mineral interests, prospective for precious metals
and other mineral deposits.
b. Statement of compliance with IFRS
The financial report was authorised for issue on the
date the director’s report was signed. It complies
with Australian Accounting Standards, which
include Australian equivalents to International
Financial Reporting Standards (AIFRS).
Compliance with AIFRS ensures that the financial
report, comprising the financial statements and
notes thereto, complies with International Financial
Reporting Standards (IFRS).
c. Going Concern
The financial report for the year ended 30 June
2022 is prepared on a going concern basis, which
contemplates the continuity of normal business
activity and the commercial realisation of the
Group’s assets and the settlement of liabilities in
the normal course of business.
The Group has recorded a loss after tax of
$15,676,545 for the year ended 30 June 2022
(2021: Profit $20,062,559) which included
unrealised Net fair value losses on equity
investments of $16,479,965. The Group has
experienced net operating and investing cash
outflows of $1,370,067 (2021: net operating and
investing cash inflows of $658,431) and continues
to incur expenditure on its exploration projects
drawing on its cash balances, without a consistent
source of income. As at 30 June 2022, the Group
had $1,222,365 (30 June 2021: $2,594,200) in
cash and cash equivalents.
Subsequent to the end of the reporting period, the
Company completed a private placement for 89.2
million shares to raise $2,230,000 (before costs) at
$0.025 per share. The Directors consider that
additional funding will be required to enable the
Group to continue as a going concern for a period
of at least twelve months from the date of signing
this financial report.
Such additional funding is potentially available
from a number of sources including further capital
raisings, sale of financial assets comprising shares
held in listed companies (valued at $5,897,399 at
balance date), sale of projects and managing cash
flow in line with available funds. The Group’s
operations require the raising of capital on an on-
going basis to fund its planned exploration
program and to commercialise its projects.
36
Platina Resources Annual Report 30 June 2022
NOTE 1 SUMMARY OF SIGNIFICANT ACCOUNTING
POLICIES (Continued)
However, due to the existence of the above
financial conditions, there exists a material
uncertainty that may cast significant doubt about
the Group’s ability to continue as a going concern
and therefore the Group may be unable to realise
its assets and discharge its liabilities in the normal
course of business.
The Directors believe the Group will obtain
sufficient funding from one or more of the funding
opportunities detailed above to enable it to
continue as a going concern and therefore that it is
appropriate to prepare the financial statements on
a going concern basis.
d. Basis of Consolidation
Controlled Entities
The financial results of controlled entities are
included in the consolidated financial statements
from the date control commences until the date
control ceases.
The acquisition of subsidiaries is accounted for
using the purchase method of accounting. The
purchase method of accounting involves allocating
the cost of the business combination to the fair
value of the assets acquired and the liabilities and
contingent liabilities assumed at date of
acquisition.
Details of controlled entities at balance date are
included in Note 22.
e. New standards and interpretations not yet adopted
A number of new standards and interpretations are
effective for annual reporting periods beginning
after 1 July 2022 and earlier application is
permitted, however the Company has not early
adopted the new or amended standards in
preparing these financial statements. The new
standards relate to very specific circumstances
that are not likely to be applicable to the Company.
f.
Income Tax
The income tax expense (benefit) for the year
comprises current income tax expense (income)
and deferred tax expense (income).
Current income tax expense charged to the profit
or loss is the tax payable on taxable income
calculated using applicable income tax rates
enacted, or substantially enacted, as at the end of
the reporting period. Current tax liabilities (assets)
are therefore measured at the amounts expected
to be paid to (recovered from) the relevant taxation
authority.
Deferred income tax expense reflects movements
in deferred tax asset and deferred tax liability
balances during the year as well as unused tax
losses.
Current and deferred income tax expense
(income) is charged or credited directly to equity
instead of the profit or loss when the tax relates to
items that are credited or charged directly to
equity.
Deferred tax assets and liabilities are ascertained
based on temporary differences arising between
the tax bases of assets and liabilities and their
carrying amounts in the financial statements.
Deferred tax assets also result where amounts
have been fully expensed but future tax deductions
are available. No deferred income tax will be
recognised from the initial recognition of an asset
or liability, excluding a business combination,
where there is no effect on accounting or taxable
profit or loss.
Deferred tax assets and liabilities are calculated at
the tax rates that are expected to apply to the
period when the asset is realised or the liability is
settled, based on tax rates enacted or
substantially, enacted at the end of the reporting
period. Their measurement also reflects the
manner in which management expects to recover
or settle the carrying amount of the related asset
or liability.
Deferred tax assets relating to temporary
differences and unused tax losses are recognised
only to the extent that it is probable that future
taxable profit will be available against which the
benefits of the deferred tax asset can be utilised.
Current tax assets and liabilities are offset where a
legally enforceable right to set-off exists and it is
intended that net settlement or simultaneous
realisation and settlement of the respective asset
and liability will occur. Deferred tax assets and
liabilities are offset where a legally enforceable
right of set-off exists, the deferred tax assets and
liabilities relate to income taxes levied where it is
intended that net settlement or simultaneous
realisation and settlement of the respective asset
and liability will occur in future periods in which
significant amounts of deferred tax assets or
liabilities are expected to be recovered or settled.
37
Platina Resources Annual Report 30 June 2022
NOTE 1 SUMMARY OF SIGNIFICANT ACCOUNTING
POLICIES (Continued)
i. Financial Instruments
Recognition
g. Property, Plant and Equipment
Each class of property, plant and equipment is carried
at cost less, where applicable, any accumulated
depreciation and impairment losses.
Plant and equipment
Plant and equipment are measured on the cost basis.
The carrying amount of plant and equipment is
reviewed annually by directors to ensure it is not in
excess of the recoverable amount from these assets.
The expected net cash flows have been discounted to
their present values in determining recoverable
amounts.
All repairs and maintenance are charged to the
statement of comprehensive income during the
financial period in which they are incurred.
Depreciation
The depreciable amount of all fixed assets is
depreciated on a straight-line basis over their useful
lives to the Group commencing from the time the asset
is held ready for use.
The depreciation rates used for each class of
depreciable assets are:
Class of Fixed
Asset
Depreciation Rate
Plant and equipment
7.5% -40%
Gains and losses on disposals are determined by
comparing proceeds with the carrying amount. These
gains and losses are included in the statement of
comprehensive income.
h. Leases
At inception of a contract, the Group assesses whether
a contract is, or contains, a lease. A contract is, or
contains, a lease if the contract conveys the right to
control the use of an identified asset for a period of
time in exchange for consideration. To assess whether
a contract conveys the right to control the use of an
identified asset, the Group uses the definition of a
lease in AASB 16. Since the date of inception of the
new standard, the Group has not entered into any
contracts that contain a lease. As a result, no detailed
accounting policy for leases is disclosed in this report.
In the event a contract is entered into that contains a
lease, the Group will develop a policy based on the
requirements of AASB 16.
Financial instruments are initially measured at fair
value on trade date, which includes transaction costs,
when the related contractual rights or obligations exist.
Subsequent to initial recognition these instruments are
measured as set out below.
Financial assets at amortised cost
These financial assets consist of trade and other
receivables, which are measured at cost less any
accumulated impairment losses. There is a significant
concentration of credit risk with the Australia Taxation
Office, however management considers the credit risk
of this entity to be extremely low.
Individually significant receivables are considered for
impairment when they are past due or when other
objective evidence is received that a specific
counterparty will default. Receivables that are not
considered to be individually impaired are reviewed for
impairment in groups, which are determined by
reference to the industry and region of a counterparty
and other shared credit risk characteristics. The
impairment loss estimate is then based on recent
historical counterparty default rates for each identified
group.
Financial Assets at fair value through profit or loss
Financial assets are valued at ‘fair value through profit
or loss’ when they are either held for trading for the
purpose of short-term profit taking, derivatives not
held for hedging purposes, or when they are
designated as such to avoid an accounting mismatch
or to enable performance evaluation where a group of
financial assets is managed by Key Management
Personnel on a fair value basis in accordance with a
documented risk management or investment strategy.
Such assets are subsequently measured at fair value
with changes in carrying value being included in profit
or loss.
Financial liabilities
Non-derivative financial liabilities are recognised at
amortised cost, comprising original debt less principal
payments and amortisation.
Fair Value
Fair value is determined based on current bid prices
for all quoted investments.
38
Platina Resources Annual Report 30 June 2022
NOTE 1 SUMMARY OF SIGNIFICANT ACCOUNTING
POLICIES (Continued)
m. Cash and Cash Equivalents
i. Financial Instruments (continued)
Impairment
At each reporting date, the Group assesses whether
there is objective evidence that a financial instrument
has been impaired.
j.
Impairment of Assets
At each reporting date, the Group reviews the
carrying values of its tangible and intangible assets to
determine whether there is any indication that those
assets have been impaired. If such an indication
exists, the recoverable amount of the asset, being the
higher of the asset’s fair value less costs to sell and
value in use, is compared to the asset’s carrying
value. Any excess of the asset’s carrying value over
its recoverable amount is expensed to profit and loss.
Where it is not possible to estimate the recoverable
amount of an individual asset, the Group estimates
the recoverable amount of the cash-generating unit
to which the asset belongs.
k. Employee Benefits
Short-term employee benefits, including wages and
payments made to defined contribution
superannuation funds, are recognised when incurred.
Provision is made for the Group’s liability for
employee benefits arising from services rendered by
employees to balance date. Employee benefits that
are expected to be settled within one year have been
measured at the amounts expected to be paid when
the liability is settled. Other non-current employment
benefit obligations are discounted using market
yields on corporate bonds.
l. Equity settled compensation
The Group operates share-based compensation
plans for employees. The element over the exercise
price of the employee services rendered in exchange
for the grant of shares and options is recognised as
an expense in the statement of comprehensive
income. The total amount to be expensed over the
vesting period is determined by reference to the fair
value of the options granted.
Cash and cash equivalents include cash on hand,
deposits held at call with banks, other short-term
highly liquid investments with original maturities of
twelve months or less, and bank overdrafts. Where
applicable, bank overdrafts are shown within short-
term borrowings in current liabilities on the
statement of financial position.
n. Revenue and Other income
Interest revenues are recognised on a proportional
basis taking into account the interest rates
applicable to the financial assets.
All revenue is stated net of the amount of goods
and services tax (GST).
Other income is recognised when the Group
obtains a contractual right to control the income.
o. Goods and Services Tax (GST)
Revenues, expenses and assets are recognised
net of the amount of GST, except where the
amount of GST incurred is not recoverable from
the Australian Tax Office. In these circumstances,
the GST is recognised as part of the cost of
acquisition of the asset or as part of an item of the
expense. Receivables and payables in the
statement of financial position are shown inclusive
of GST.
Cash flows are presented in the statement of cash
flows on a gross basis, except for the GST
component of investing and financing activities,
which are disclosed as operating cash flows.
p. Provisions
Provisions are recognised when the Group has a
legal or constructive obligation, as a result of past
events, for which it is probable that an outflow of
economic benefit will result and that outflow can
be reliably measured.
No provision has yet been recognised for mine
restoration and rehabilitation costs because the
definition above has not yet been satisfied in
relation to any of the areas of interest operated by
the Group.
39
Platina Resources Annual Report 30 June 2022
NOTE 1 SUMMARY OF SIGNIFICANT ACCOUNTING
POLICIES (Continued)
q. Trade and Other Payables
Trade and other payables represent the liability
outstanding at the end of the reporting period for
goods and services received by the Group during
the reporting period which remains unpaid. The
balance is recognised as a current liability with the
amount being normally paid within 30 days of
reconciliation of the liability.
r. Critical Accounting Estimates and Judgments
The Directors evaluate estimates and judgments
incorporated into the financial statements based
on historical knowledge and best available current
information. Estimates assume a reasonable
expectation of future events and are based on
current trends and economic data, obtained both
externally and within the Group.
Key Judgements - Share Based Payments
The Group measures the cost of equity-settled
transactions by reference to the fair value of the
equity instruments at the date at which they are
granted. The fair value of options with non-market
conditions is determined by an internal valuation
using a Black-Scholes option pricing model taking
into account the terms and conditions upon which
the instruments were granted. The fair value of
performance rights with market conditions is
determined by using a Black-Scholes option
pricing model or Barrier model simulation taking
into account the terms and conditions upon which
the instruments were granted.
Exploration and evaluation expenditure
The Group’s accounting policy for exploration and
evaluation expenditure is set out in Note 1 (u). The
application of this policy necessarily requires the
Board to make certain estimates and assumptions
as to future events and circumstances. Any such
estimates and assumptions may change as new
information becomes available. If, after having
capitalised expenditure under this policy, it is
concluded that the expenditures are unlikely to be
recoverable by future exploitation or sale, then the
relevant capitalised amount will be written off to
the statement of comprehensive income.
The Board determines when an area of interest
should be abandoned. When a decision is made
that an area of interest is not commercially viable,
all costs that have been capitalised in respect of
that area of interest are written off. The Directors’
decision is made after considering the likelihood of
finding commercially viable reserves.
s. Foreign Currency Transactions and Balances
Functional and presentation currency
The functional currency of each of the Group’s
entities is measured using the currency of the
primary economic environment in which that entity
operates. The consolidated financial statements
are presented in Australian dollars, which is the
parent entity’s functional currency.
Transactions and balances
Foreign currency transactions are translated into
functional currency using the exchange rates
prevailing at the date of the transaction. Foreign
currency monetary items are translated at the
year-end exchange rate. Non-monetary items
measured at historical cost continue to be carried
at the exchange rate at the date of the transaction.
Non-monetary items measured at fair value are
reported at the exchange rate at the date when fair
values were determined.
Exchange differences arising on the translation of
monetary items are recognised in profit or loss,
except where deferred in equity as a qualifying
cash flow or net investment hedge.
Exchange differences arising on the translation of
non-monetary items are recognised directly in
other comprehensive income to the extent that the
underlying gain or loss is recognised in other
comprehensive income; otherwise the exchange
difference is recognised in profit or loss.
Foreign exchange differences relating to qualifying
assets are capitalised. Costs incurred in mining
exploration are considered to be part of qualifying
assets and can be capitalised.
t. Government Grants
To the extent that contributions or rebates are
received from taxation authorities, they are
recognised in profit and loss as an Income Tax
Benefit.
40
Platina Resources Annual Report 30 June 2022
NOTE 1 SUMMARY OF SIGNIFICANT ACCOUNTING
POLICIES (Continued)
u. Acquisition, Exploration and Evaluation Expenditure
Acquisition costs of mining tenements are
accumulated in respect of each identifiable area of
interest. These costs are only carried forward to
the extent that the Group’s rights of tenure to that
area of interest are current and that the costs are
expected to be recouped through the successful
development of the area or where activities in the
area have not yet reached a stage that permits
reasonable assessment of the existence of
economically recoverable reserves.
Costs in relation to an abandoned area are written
off in full against profit or loss in the year in which
the decision to abandon the area is made. Each
area of interest is also reviewed annually and
acquisition costs written off to the extent that they
will not be recoverable in the future. Exploration,
evaluation and development costs of mining
tenements are written off as incurred.
v. Comparative Information
Where necessary, comparative financial
information may be adjusted to improve
comparability, or as required by the adoption of
new or revised accounting standards.
41
Platina Resources Annual Report 30 June 2022
NOTE 2 REVENUE
Interest revenue – Banks
Other income
Other income – Sale of Exploration Projects1
Other income – profit on disposal of investments2
2022
$
124
22,093
2,230,000
3,031
2021
$
370
138,617
7,941,545
2,010,631
10,091,163
1. During the year ended 30 June 2022, Platina received $250,000 cash and AUD $1,980,000 million worth of London Stock
Exchange Alternative Investment Market listed, Alien Metals Ltd (Alien, AIM: UFO) shares (138,703,396 shares, based on the
15 day VWAP price per UFO share at date of contract) for the sale of its 30% interest in the Munni Munni Project in Western
Australia. During the year ended 30 June 2021, Platina received CAD 0.5 million cash and CAD 7.15 million worth of
Canadian-listed Major Precious Metals Corp (CSE: SIZE) shares (55 million shares, based on the last traded price at CAD
0.13c per SIZE share at date of contract) for the sale of its Skaergaard Project in Greenland. In January 2021, Platina issued
15.56 million ordinary fully paid shares (at a deemed price of $0.024 per share) to nominees of Argonaut Limited as
consideration for corporate advisory services provided to the Company in connection with the sale of the Skaergaard Project.
2. During the year ended 30 June 2022, the Platina disposed of its rights entitlement in Nelson Resources Limited. During the
2,255,248
year ended 30 June 2021, Platina sold 6 million Major Precious Metal shares (CSE: SIZE).
NOTE 3 PROFIT / (LOSS) FOR THE YEAR
Profit / (Loss) for the year is derived after charging the following significant
expenses:
Depreciation of property, plant and equipment
Share-based payments expensed
NOTE 4 INCOME TAX EXPENSE
(a) The components of tax expense comprise:
Current tax
Deferred tax
Income tax expense/(benefit) reported in statement of comprehensive income
(b) The prima facie income tax on the loss is reconciled to the income tax
expense/(benefit) as follows:
Prima facie tax benefit / (expense) on loss from ordinary activities before income tax
25% (2021: 26%)
Add tax effect of:
-
-
-
non-allowable items
share options / performance rights expensed during period
reversal of net fair value loss / (gain) of equity investments designated at FVOCI
Less tax effect of
non-assessable non-exempt income
Benefit of tax losses and temporary differences not brought to accounts
R&D tax offset (benefit)
Income tax attributable to the Group
2022
$
2021
$
(6,393)
(9,002)
(5,082)
(389,073)
2022
$
-
-
-
2021
$
(24,899)
-
(24,899)
(3,919,136)
5,209,792
445
2,251
-
154
101,159
(52,232)
(3.916,440)
5,258,873
-
3,916,440
-
-
(2,075,916)
(3,182,957)
(24,899)
(24,899)
42
Platina Resources Annual Report 30 June 2022
NOTE 4 INCOME TAX EXPENSE (continued)
(c) Unrecognised deferred tax balances
Net unrecognised deferred tax balances for tax losses and temporary differences
6,915,750
3,090,024
2022
$
2021
$
NOTE 5 KEY MANAGEMENT PERSONNEL
(a) Names and positions held by Group key management personnel in office at any time during the financial year are:
Director
Position
Brian Moller
Non-Executive Chairman
Corey Nolan
Managing Director
Christopher
Hartley
Non-Executive Director
John Anderson
Non-Executive Director
The key management personnel compensation included in “Employee benefits expense” and “Exploration
Expenditure” is as follows:
Short-term employee
benefits
Post-employment benefits
Termination benefits
Share-based payments
2022
$
444,232
33,430
-
-
477,662
2021
$
506,110
31,190
-
343,776
881,076
Individual Directors’ and executives’ compensation disclosures
Information regarding individual Directors’ and executives’ compensation and some equity instruments disclosures as
permitted by Schedule 5B to the Corporations Regulations 2001 is provided in the Remuneration Report section of
the Directors’ Report. Apart from the details disclosed in this note, no Director has entered into a material contract
with the Company or the Group since the end of the previous financial year and there were no material contracts
involving Directors’ interests existing at year-end.
Loans to Key Management Personnel and their related parties
There were no loans outstanding at the reporting date to Key Management Personnel and their related parties.
Other Transactions with Key Management Personnel
A number of Key Management Personnel, or their related parties, held positions in other entities that result in them
having control or significant influence over the financial or operating policies of these entities. Transactions between
related parties are on normal commercial terms and conditions unless otherwise stated.
• During the year ending 30 June 2022, HopgoodGanim, a legal firm of which Mr Brian Moller is a partner was
paid legal fees by the Group of $28,314 (2021: $298,230). There was an amount of $1,787 payable at the
balance date.
43
Platina Resources Annual Report 30 June 2022
NOTE 6 AUDITOR’S RENUMERATION
Renumeration of the auditor of the Group for
- auditing or reviewing the financial reports
- non-audit services
NOTE 7 PROFIT / (LOSS) PER SHARE
Basic profit / (loss) per share ($ per share)
Diluted profit / (loss) per share ($ per share)
Reconciliation of earnings to profit or loss:
Profit / (Loss) for the period
Earnings used to calculate basic EPS
Earnings used in the calculation of dilutive EPS
2022
$
46,500
-
46,500
2022
$
(0.036)
(0.036)
(15,676,545)
(15,676,545)
(15,676,545)
2022
Number
2021
$
43,000
-
43,000
2021
$
0.049
0.045
20,062,559
20,062,559
20,062,559
2021
Number
Weighted average number of ordinary shares on issue in calculating
basic EPS
Weighted average number of options outstanding
Weighted average number of ordinary shares outstanding during the
period used in calculating dilutive EPS
434,382,342
407,966,555
44,418,904
434,382,342
37,257,918
445,224,473
Anti-dilutive options on issue not used in dilutive EPS calculation
44,418,904
-
NOTE 8 CASH AND CASH EQUIVALENTS
Cash at bank and in hand
Cash and cash equivalents
2022
$
1,222,365
1,222,365
2021
$
2,594,200
2,594,200
The average effective interest rate on short-term bank deposits was 0.02% (2021 = 0.02%). These deposits have an average
maturity of 6 months.
The cash and cash equivalents balance above reconciles to the statement of cash flows.
NOTE 9 TRADE AND OTHER RECEIVABLES
CURRENT
Sundry Debtors / GST receivable
Interest receivable
Total Receivables
2022
$
17,421
65
17,486
2021
$
63,976
211
64,187
44
Platina Resources Annual Report 30 June 2022
NOTE 10 PROPERTY, PLANT AND EQUIPMENT
PLANT AND EQUIPMENT
Plant and equipment:
At cost
Accumulated depreciation
Total Plant and Equipment
(a) Movements in Carrying Amounts
2022
$
42,573
(29,145)
13,428
2021
$
31,440
(22,752)
8,688
Movement in the carrying amounts for each class of property, plant and equipment between the beginning and the
end of the current financial year:
Balance at 1 July 2020
Depreciation expense
Balance at 30 June 2021
Additions
Depreciation expense
Balance at 30 June 2022
NOTE 11 FINANCIAL ASSETS AT FAIR VALUE THROUGH PROFIT OR LOSS
Financial assets at fair value through profit or loss
Listed equity securities – Investment in Blue Moon Zinc Corp.
Listed equity securities – Investment in Major Precious Metals Corp
Listed equity securities – Investment in Nelson Resources Limited
Listed equity securities – Investment in Alien Metals Limited
Total
(i) Classification of financial assets at fair value through profit or loss
Plant and Equipment
$
13,770
(5,082)
8,688
11,133
(6,393)
13,428
2021
$
-
329,031
19,347,027
327,659
-
20,003,717
2022
$
-
206,753
3,939,789
66,745
1,684,112
5,897,399
The Group classifies its equity based financial assets at fair value through profit or loss in accordance with
AASB 9. They are presented as current assets if they are expected to be sold within 12 months after the end of
the reporting period; otherwise they are presented as non-current assets. Changes in the fair value of financial
assets are recognised in the statement of profit or loss as applicable.
(ii) Amounts recognised in profit or loss
Changes in the fair values of financial assets at fair value have been recorded through profit or loss,
representing a net loss of $16,479,965 for the period.
45
Platina Resources Annual Report 30 June 2022
NOTE 11 FINANCIAL ASSETS AT FAIR VALUE THROUGH PROFIT OR LOSS (Continued)
(iii) Fair value measurement of financial instruments
Financial assets and financial liabilities measured at fair value in the statement of financial position are grouped
into three (3) levels of a fair value hierarchy. The three (3) levels are defined based on the observability of
significant inputs to the measurement, as follows:
Level 1: quoted prices (unadjusted) in active markets for identical assets or liabilities
Level 2: inputs other than quoted prices included within Level 1 that are observable for the asset or liability,
either directly or indirectly
Level 3: unobservable inputs for the asset or liability
The following table shows the levels within the hierarchy of financial assets and liabilities measured at fair value on a
recurring basis:
June 2022
Listed equity securities
Fair value at 30 June 2022
June 2021
Listed equity securities
Fair value at 30 June 2021
Level 1
$
5,897,399
5,897,399
Level 1
$
20,003,717
20,003,717
Level 2
Level 3
$
-
-
$
-
-
Level 2
Level 3
$
-
-
$
-
-
NOTE 12 EXPLORATION AND EVALUATION EXPENDITURE
Balance at beginning of the period
Capitalised
Impaired
Exploration and evaluation expenditure capitalised – at cost
2022
$
-
1,550,975
-
1,550,975
Total
$
5,897,399
5,897,399
Total
$
20,003,717
20,003,717
2021
$
-
1,540,008
-
1,540,008
Recoverability of the carrying amount of exploration assets is dependent on the successful exploration and sale of
minerals. Impairment losses are recognised on certain areas of interest where management has surrendered the lease
or where there is considered to be little or no chance of recovery of expenses through production. Capitalised amounts
represent acquisition costs for areas of interest. All subsequent costs are expensed.
NOTE 13 OTHER CURRENT AND NON-CURRENT ASSETS
CURRENT
Prepayments
NON CURRENT
Security and credit card deposits and rental bond
2022
$
12,996
12,996
32,099
32,099
2021
$
10,457
10,457
42,099
42,099
46
Platina Resources Annual Report 30 June 2022
NOTE 14 TRADE, OTHER PAYABLES AND PROVISIONS
CURRENT
Trade payables
Sundry payables and accrued expenses
Employee benefits
NOTE 15 ISSUED CAPITAL
Fully paid ordinary shares 434,382,342 (2021: 434,382,342)
Share issue costs
2022
$
117,432
267,438
52,170
437,040
2022
$
55,402,571
(3,135,853)
52,266,718
2021
$
49,528
200,427
36,150
286,105
2021
$
55,402,571
(3,135,853)
52,266,718
There were no movements in ordinary shares during the year ended 30 June 2022.
a) Ordinary shares
Ordinary shares participate in dividends and the proceeds on the winding up of the Group in proportion to the
number of shares held. At Shareholders meetings, on a show of hands, every member present in person or by
proxy, or attorney or representative has one vote and upon a Poll every member present in person, or by proxy,
attorney or representative shall in respect of each fully paid share held, 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).
b) Quoted Options
There were no quoted options during the year ended 30 June 2022.
(c) Unlisted Options
For information relating to the Group’s employee option plan, including details of options issued, exercised and
lapsed during the financial period and the options outstanding at period-end refer to Note 19 Share-based
Payments. For information relating to share options issued to Key Management Personnel during the financial
period, refer to Note 19 Share-based Payments.
47
Platina Resources Annual Report 30 June 2022
NOTE 15 ISSUED CAPITAL (Continued)
2022 - Options to take up ordinary shares in the capital of the Company have been granted as follows:
Exercise
Period
Note
Exercise
Price
Opening
Balance
1 July 2021
Options
Issued
2021/22
Options
Exercised/
Expired
2021/22
Number
Number
Number
Options expiring 16 October 2022
$0.08 11,500,000
Options expiring 16 October 2022
$0.09
3,000,000
Options expiring 16 October 2022
$0.105
3,000,000
Options expiring 16 October 2023
$0.10 26,360,000
-
-
-
-
Options expiring 23 August 2024
Options expiring 23 November 2024
Options expiring 23 May 2025
(i)
(i)
(i)
$0.09
$0.105
$0.12
-
-
-
2,000,000
2,000,000
2,000,000
43,860,000
6,000,000
-
-
-
-
-
-
-
-
Closing
Balance
30 June
2022
Number
Vested /
Exercisable
30 June
2022
Number
11,500,000
11,500,000
3,000,000
3,000,000
3,000,000
3,000,000
26,360,000
26,360,000
2,000,000
2,000,000
2,000,000
-
-
-
49,860,000
43,860,000
Weighted average exercise price ($)
0.094
0.105
0.096
0.094
(i)
In May 2022, the Company issued 6 million options as part of the remuneration package for the Company’s Group
Exploration Manager.
2021 - Options to take up ordinary shares in the capital of the Company have been granted as follows:
Exercise
Period
Note
Exercise
Price
Options expiring 16 October 2022
Options expiring 16 October 2022
Options expiring 16 October 2022
Options expiring 16 October 2023
(i)
(i)
(i)
(ii)
$0.08
$0.09
$0.105
$0.10
Weighted average exercise price ($)
Opening
Balance
1 July
2020
Number
Options
Issued
2020/21
Options
Exercised/
Expired
2020/21
Number
Number
Closing
Balance
30 June
2021
Number
Vested /
Exercisable
30 June
2021
Number
- 11,500,000
-
-
3,000,000
3,000,000
- 26,360,000
- 43,860,000
0.094
-
-
-
-
-
11,500,000
11,500,000
3,000,000
3,000,000
3,000,000
3,000,000
26,360,000
26,360,000
43,860,000
43,860,000
0.094
0.094
(i)
(ii)
In October 2020, following shareholder approval, 17.5 million options were issued as part of the remuneration package for
the Company’s directors and company secretary.
In July 2020, the Company completed a placement of 22.36 million shares to raise $894,400. In addition, the Company
agreed to issue 22.36 million free attaching options to the placement participants, following shareholder approval and
nominees of Argonaut Limited subscribed for 4,000,000 options on the same terms at an issue price of $0.0001 as part of
the agreement in connection with the placement.
None of the options had any voting rights, any entitlement to dividends or any entitlement to the proceeds of
liquidation in the event of a winding up.
48
Platina Resources Annual Report 30 June 2022
NOTE 15 ISSUED CAPITAL (Continued)
(d) Performance Rights
2022 - Performance Rights over ordinary shares in the capital of the Company have been granted as follows:
There are no Performance Rights over ordinary shares in the capital of the Company that have been granted during
the year ended 30 June 2022.
2021 - Performance Rights over ordinary shares in the capital of the Company have been granted as follows:
Grant date
Expiry Date
Note
Opening
Balance
1 July 2020
Rights
Issued
2020/21
Exercised/
Cancelled
2020/21
Number
Number
Number
20 August 2018
20 August 2020
(i)
2,000,000
2,000,000
-
-
(2,000,000)
(2,000,000)
Closing
Balance
30 June
2021
Number
-
-
Vested /
Exercisable
30 June 2021
Number
-
-
(i)
On 20 August 2020, the Company confirmed that 400,000 Performance Rights out of a total of 2,000,000
Performance Rights that were issued to Managing Director, Mr Nolan in August 2018, vested as the
performance conditions were satisfied which has resulted in the issue of 400,000 ordinary fully paid shares.
The balance of the Performance Rights lapsed as the performance conditions were not satisfied.
(e) Capital Management
Management controls the capital of the Group in order to maintain a good debt to equity ratio, provide the
shareholders with adequate returns and ensure that the Group can fund its operations and continue as a going
concern.
The Group’s debt and capital includes ordinary share capital and financial liabilities, supported by financial assets.
There are no externally imposed capital requirements.
Management effectively manages the Group’s capital by assessing the Group’s financial risks and adjusting its
capital structure in response to changes in these risks and in the market. These responses include the
management of debt levels, distributions to shareholders and share issues.
There have been no changes in the strategy by management to control the capital of the Group since the prior
year. This strategy is to ensure that the Group has no debts.
49
Platina Resources Annual Report 30 June 2022
NOTE 16 SHARE BASED PAYMENTS RESERVE
Share-based payments reserve
Share-based Payments Reserve
2022
$
897,760
897,760
2021
$
888,758
888,758
The share-based payments reserve records items recognised as expenses on valuation of share options and performance rights.
Movement during the year
Opening balance
-
Performance rights and options to directors and key management
personnel
- Options issued to Group Exploration manager
-
-
-
Shares issued on conversion of performance rights
Reversal of previously recognized expenses on unvested
performance rights to directors
Issue of options to subscribers at an issue price of $0.0001 as part of
the agreement in connection with the placement of shares and
attaching options in July 2020.
Closing balance
NOTE 17 COMMITMENTS
(a) Tenement Commitments
2022
$
2021
$
888,758
571,285
-
9,002
-
-
-
897,760
389,073
-
(36,000)
(36,000)
400
888,758
The Group has certain obligations to expend minimum amounts on exploration in tenement areas. These obligations
may be varied from time to time and are expected to be fulfilled in the normal course of operations of the Group.
• The Group owns a 100% interest in the Challa Gold Project, comprising E58/552 and E58/553 and in order to
maintain current contractual rights, the Group has certain commitments to meet minimum expenditure
requirements. The current annual minimum lease expenditure commitments on this tenement package is
$97,000.
• The Group completed the acquisition of a 100% interest in the Xanadu Gold Project and in order to maintain
current contractual rights, the Group has certain commitments to meet minimum expenditure requirements. The
current annual minimum lease expenditure commitments on this tenement package is $119,520.
To keep tenements in good standing, work programs should meet certain minimum expenditure requirements. The
Group has the option to negotiate new terms or relinquish the tenements and also to meet expenditure requirements
by joint venture or farm-in arrangements.
For the financial year ending June 2022 the Group may seek to renegotiate tenement arrangements or apply for
exemptions against expenditure in relation to those tenements which did not have sufficient expenditure recorded
against them in the prior 12 months of their term. In the event that renegotiation does not occur or exemption for
these tenements is not granted, the tenements may not be renewed. If the Group decides to relinquish certain
leases and/or does not meet these obligations, assets recognised in the balance sheet may require review to
determine the appropriateness of carrying values.
50
Platina Resources Annual Report 30 June 2022
NOTE 18 CASH FLOW INFORMATION
(a) Reconciliation of Cash Flow from Operations with Profit / (Loss)
after Income Tax
Profit / (Loss) after income tax
Non-cash flows in profit / (loss)
Depreciation
Exploration and evaluation expenditure written off
Share based payments expensed
Introduction and advisory services satisfied by issue of shares
2022
$
2021
$
(15,676,545)
20,062,559
6,393
881,876
9,002
-
5,082
704,286
389,073
106,000
Net fair value gain / (loss) on fair value of equity investments designated at
FVTPL
16,479,965
(12,938,998)
Other income – Sale of Greenland
Other income – Sale of Munni Munni
Other income – profit on disposal of investments
Foreign exchange loss/ (gain)
Changes in assets and liabilities
(Increase)/decrease in prepayments
(Increase)/decrease in other current assets
Increase/(decrease) in trade payables and accruals
Increase/(decrease) in provisions
Cash flow from operations
b) Non-Cash Financing and Investing Activities
-
(7,941,545)
(2,230,000)
-
(3,031)
(2,010,631)
(397,172)
561,784
(2,539)
53,588
(111,983)
16,020
29,095
(53,677)
(4,352)
14,083
(974,426)
(1,077,241)
During the year ended 30 June 2022, Platina received $250,000 cash and AUD $1,980,000 million worth of London
Stock Exchange Alternative Investment Market listed, Alien Metals Ltd (Alien, AIM:UFO) shares (138,703,396 shares,
based on the 15 day VWAP price per UFO share at date of contract) for the sale of its 30% interest in the Munni Munni
Project in Western Australia.
NOTE 19 SHARE BASED PAYMENTS
Performance Rights Plan (PRP)
Shareholders approved the Company’s PRP at the Annual General Meeting held on 30 November 2021. The PRP
was designed to provide a framework for competitive and appropriate remuneration so as to retain and motivate
skilled and qualified personnel whose personal rewards are aligned with the achievement of the Company’s growth
and strategic objectives.
During the financial year, the Company did not grant any performance rights over unissued ordinary shares in the
Company (2021: nil). Refer to Note 15(d) for additional information.
51
Platina Resources Annual Report 30 June 2022
NOTE 19 SHARE BASED PAYMENTS (continued)
Employee Option Incentive Plan (“EOIP”)
Shareholders last approved the Platina Resources Limited EOIP at the General Meeting on 8 October 2020. The
EOIP allows Directors from time to time to invite eligible employees to participate in the Plan and offer options to
those eligible persons. The Plan is designed to provide incentives, assist in the recruitment, reward, retention of
employees and provide opportunities for employees (both present and future) to participate directly in the equity of
the Company. The contractual life of each option granted is three years or as otherwise determined by the Directors.
There are no cash settlement alternatives. 6,000,000 options were issued to the Group Exploration manager, Mr
Rohan Deshpande under the EOIP in 2022 (2021: 2,000,000l).
Non - Plan based payments
The Company also makes share-based payments to consultants and / or service providers from time to time, not
under any specific plan. Specific shareholder approval was obtained for any share-based payments to directors and
officers of the parent entity.
15.5 million options were issued to directors during the year ended 30 June 2021.
Refer to Note 15(c) for additional information.
The following share-based payment arrangements existed at 30 June 2022:
a. Unlisted Options
30 June 2022
30 June 2021
Number of
Options
Weighted Average
Exercise Price ($)
Number of
Options
Weighted Average
Exercise Price ($)
Outstanding at beginning of the
year
Granted (i) (ii)
Expired
43,860,000
0.094
-
6,000,000
0.105
43,860,000
Outstanding at end of the year
49,860,000
Exercisable at end of the year
43,860,000
-
-
0.096
0.094
-
43,860,000
43,860,000
-
0.094
-
0.094
0.094
Expenses arising from share-based payment transactions - Unlisted Options
Share-based payments, are as follows (with additional information provided in Note 15 and 16 above):
2022
Number
2022
$
2021
Number
2021
$
Options to directors and company secretary (i)
-
-
17,500,000
382,707
Options to Group Exploration manager (ii)
6,000,000
9,002
-
-
Total
6,000,000
9,002
17,500,000
382,707
(i)
In October 2020, following shareholder approval, 17.5 million options were issued as part of the remuneration
package for the Company’s directors and company secretary whose combined value was $382,707 and this
amount was charged to the profit and loss account for the prior reporting period. During the prior reporting
period there was an additional $6,366 charged to the profit and loss account for performance rights issued to
Mr Nolan in 2018. Refer to Note 15(d) and Note 16 for additional information.
(ii)
In May 2022, 6,000,000 options were issued to the Group Exploration manager, Mr Rohan Deshpande under
the EOIP in 2022 and the charge to the profit and loss account for the prior reporting period was $9,002.
52
Platina Resources Annual Report 30 June 2022
NOTE 19 SHARE-BASED PAYMENTS (Continued)
The following table lists the inputs to the model used for the financial period ended 30 June 2022 and 30 June 2021.
(a) Grant date
(b) Exercise price
(c) Expiry date
(d) Share price at grant date
(e) Expected price volatility of the Company’s
shares
(f) Risk-free interest rate
(g) Discount for market vesting condition
27 May 2022
$0.09, $0.105 and
$0.12
23 August 2024, 23
November 2024 and 23
May 2025
$0.036
73%
0.35%
Nil
16 October 2020
$0.08, $0.09 and $0.105
16 October 2022
$0.051
106%
0.25%
Nil
During the year ended 30 June 2022, no options were exercised.
b. Performance Rights
30 June 2022
30 June 2021
Number of
Performance
Rights
Weighted Average
Exercise Price ($)
Number of
Performance Rights
Weighted Average
Exercise Price ($)
Outstanding at beginning of the year
Granted
Exercised / Expired
Cancelled / Lapsed
Outstanding at end of the year
Exercisable at end of the year
-
-
-
-
-
-
-
-
-
-
-
-
2,000,000
-
(400,000)
(1,600,000)
-
-
-
-
-
-
-
-
The following share-based payment arrangements were in place during the prior period:
2021
Performance Rights issued to C
Nolan
Number of
Performance
Rights
Grant date
Expiry date
at grant date
Vesting date
Fair value
$
2,000,000 20-Aug-18
20-Aug-20
180,000 20-Aug-20
The following performance rights were exercised during the prior period:
2021
Number of
Performance
Rights
Number of performance
Rights Exercised
Exercise date
Performance Rights issued to C
Nolan
2,000,000
400,000
20-Aug-20
Share price at
exercise date
$
0.045
53
Platina Resources Annual Report 30 June 2022
NOTE 20 OPERATING SEGMENTS
The Group operates predominately in mineral exploration with a focus on platinum group metals, zinc and gold and
base metals.
Segment Information
Identification of reportable segments
The Group has identified its operating segments based on the internal reports that are reviewed and used by the
Board of Directors (chief operating decision makers) in assessing performance and determining the allocation of
resources.
The Group is managed primarily on the basis of geographical locations as these locations have notably different risk
profiles and performance assessment criteria. Operating segments are therefore determined on the same basis.
Reportable segments disclosed are based on aggregating operating segments where the segments are considered
to have similar economic characteristics and are similar with respect to any external regulatory requirements.
Basis of accounting for purposes of reporting by operating segments:
(a) Accounting policies adopted
Unless stated otherwise, all amounts reported to the Board of Directors, being the chief decision maker with respect
to operating segments, are determined in accordance with accounting policies that are consistent to those adopted
in the annual financial statements of the Group.
(b) Segment assets
Where an asset is used across multiple segments, the asset is allocated to that segment that receives majority
economic value from that asset. In the majority of instances, segment assets are clearly identifiable on the basis of
their nature and physical location.
(c) Segment liabilities
Liabilities are allocated to segments where there is a direct nexus between the incurrence of the liability and the
operations of the segment. Segment liabilities include trade and other payables.
(d) Unallocated items
The following items of revenue, expenses, assets and liabilities are not allocated to operating segments as they are
not considered part of the core operations of any segment:
• Derivatives
•
Impairment of assets and other non-recurring items of revenue or expense
• Deferred tax assets and liabilities
• Current tax liabilities
• Other financial liabilities
•
Intangible assets
• Discontinuing operations
• Depreciation
• Corporate charges
54
Platina Resources Annual Report 30 June 2022
NOTE 20 OPERATING SEGMENTS (Continued)
i. Segment Performance
Australia
North America All Other Segments
30 June 2022
REVENUE
Interest revenue
Other revenue
Total segment revenue
$
124
2,255,124
2,255,248
Reconciliation of segment revenue to Group
revenue
Total Group revenue
Reconciliation of segment result of Group net
loss after tax
Segment net profit / (loss)
before tax
Income tax benefit
(1,142,790)
-
Amounts not included in segment result but
reviewed by Board
- Corporate charges
- Depreciation and amortisation
Net Loss after tax from
continuing operations
-
-
-
-
-
$
-
-
-
Total
$
124
2,255,124
2,255,248
2,255,248
(16,219,051)
(17,361,841)
-
-
(563,559)
(6,393)
(563,559)
(6,393)
(15,676,545)
55
Platina Resources Annual Report 30 June 2022
NOTE 20 OPERATING SEGMENTS (Continued)
Greenland
Australia
North America
30 June 2021
REVENUE
Interest revenue
Other revenue
Total segment revenue
$
-
7,941,545
7,941,545
$
370
60,010
60,380
Reconciliation of segment revenue to Group
revenue
Total Group revenue
Reconciliation of segment result of Group net
loss after tax
All Other
Segments
$
-
-
78,607
2,010,631
78,607
2,010,631
Total
$
370
10,090,793
10,091,163
10,091,163
Segment net profit / (loss)
before tax
7,904,851
(198,323)
20,305
12,938,998
20.665.831
Income tax benefit
-
24,899
-
-
24,899
Amounts not included in segment result but
reviewed by Board
- Corporate charges
- Depreciation and amortisation
Net Profit after tax from
continuing operations
ii. Segment Assets
30 June 2022
Reconciliation of segment assets to Group
assets
Segment Assets
Unallocated Assets
- Corporate
Total Group Assets
Segment Asset Increases (Decreases)
Capitalised expenditure for the period
(623,089)
(5,082)
(623,089)
(5,082)
20,062,559
Australia
All Other
Segments
$
$
Total
$
1,617,720
5,830,653
7,448,373
-
1,298,375
8,746,748
- Exploration and Other
10,967
-
10,967
56
Platina Resources Annual Report 30 June 2022
NOTE 20 OPERATING SEGMENTS (Continued)
30 June 2021
Reconciliation of segment assets to Group
assets
Segment Assets
Unallocated Assets
- Corporate
Total Group Assets
Segment Asset Increases (Decreases)
Capitalised expenditure for the period
Australia
$
All Other
Segments
$
Total
$
1,867,666
19,676,058
21,543,724
2,719,632
24,263,356
- Exploration and Other
1,530,008
-
1,530,008
iii. Segment Liabilities
Australia
$
30 June 2022
Reconciliation of segment liabilities to Group
liabilities
437,040
Total Group Liabilities
30 June 2021
Reconciliation of segment liabilities to Group
liabilities
Total Group Liabilities
Australia
$
286,105
All Other
Segments
$
-
All Other
Segments
$
-
Total
$
437,040
437,040
Total
$
286,105
286,105
57
Platina Resources Annual Report 30 June 2022
NOTE 21 FINANCIAL RISK MANAGEMENT
Financial Risk Management Policies
The Group’s financial instruments consist mainly of deposits with banks, short term investments, accounts
receivable and accounts payable.
The main risks and related risk management policies arising from the Group’s financial instruments are summarised
below.
Credit Risk
The maximum exposure to credit risk at balance date to recognised financial assets, net of any provisions for
doubtful debts, is disclosed in the statement of financial position and notes to and forming part of the financial
report.
Interest Rate Risk
The Group’s exposure to interest rate risk is the risk that an increase or decrease in market interest rates will result
in increased or reduced revenue from interest receipts. The Group’s exposure to interest rate risk is minimal.
Liquidity Risk
The Group manages liquidity risk by monitoring forecast cash flows. The Group’s operations require the raising of
capital on an on-going basis to fund its planned exploration program and to commercialise its tenement assets.
The Group’s past success in the raising of capital will ensure it can continue as a going concern and proceed with
planned exploration expenditure.
Net Fair Values
The net fair values of financial assets and financial liabilities approximate their carrying value. No financial assets
and financial liabilities are readily traded on organised markets in standardised form, except for the financial assets
at fair value through profit or loss, as disclosed in Note 11. The aggregate net fair values and carrying amounts of
financial assets and financial liabilities are disclosed in the statement of financial position and in the notes to and
forming part of the financial report.
The Group’s exposure to interest rate risk and effective average interest rate for classes of financial assets and
financial liabilities is set out below.
58
Platina Resources Annual Report 30 June 2022
NOTE 21 FINANCIAL RISK MANAGEMENT (Continued)
Weighted
Average
Effective
Interest Rate
Floating
Interest Rate
Less than 1
year
Fixed Interest
Rate
Maturing
Non-Interest
Bearing
Total
2022
Financial Assets
Cash and cash equivalent assets
0.02%
120,031
-
1,102,334
1,222,365
Security deposits and deposits at
financial institutions
Financial assets at FVTPL
Other financial assets
Total Financial Assets
Financial Liabilities
Other financial liabilities
Total Financial Liabilities
2021
Financial Assets
0.75%
-
-
-
-
-
32,099
-
32,099
-
-
5,897,399
17,486
5,897,399
17,486
120,031
32,099
7,017,219
7,169,349
-
-
-
-
437,040
437,040
437,040
437,040
Cash and cash equivalent assets
0.02%
120,005
-
2,474,195
2,594,200
Security deposits and deposits at
financial institutions
Financial assets at FVTPL
Other financial assets
Total Financial Assets
Financial Liabilities
Other financial liabilities
Total Financial Liabilities
Foreign exchange risk
0.75%
-
-
-
-
-
32,099
10,000
42,099
-
-
20,003,717
20,003,717
64,187
64,187
120,005
32,099
22,552,099
22,704,203
-
-
-
-
286,105
286,105
286,105
286,105
Exposure to foreign exchange risk may result in fair value or future cash flows of a financial instrument fluctuating
due to movement in foreign exchange rates of currencies in which the Group makes purchases or holds financial
instruments which are other than the AUD functional currency.
The investments held in Blue Moon Zinc Corp, Major Precious Metals and Alien Metals Ltd, as disclosed in Note 11,
are denominated in US dollars, Canadian dollars and British pounds respectively. Foreign exchange exposures are
not hedged.
59
Platina Resources Annual Report 30 June 2022
NOTE 22 PLATINA RESOURCES LIMITED PARENT INFORMATION
a. Platina Resources Limited
ASSETS
Current assets
Non-current assets
TOTAL ASSETS
LIABILITIES
Current liabilities
TOTAL LIABILITIES
NET ASSETS
EQUITY
Issued capital
Share issue costs
Share-based payments reserve
Accumulated Losses
TOTAL EQUITY
FINANCIAL PERFORMANCE
Profit / (loss) for the period
2022
$
1,252,846
7,493,900
8,746,746
437,040
437,040
8,309,706
55,402,571
(3,135,853)
52,266,718
897,760
(44,854,772)
8,309,706
2021
$
2,668,844
21,578,153
24,246,997
269,748
269,748
23,977,249
55,402,571
(3,135,853)
52,266,718
888,758
(29,178,227)
23,977,249
(15,676,545)
20,098,557
Contingent liabilities of the parent entity
The parent entity’s contingent liabilities are noted in Note 23.
Commitments for the acquisition of property, plant and equipment by the parent entity
The parent entity has not made any commitments for the acquisition of property, plant and equipment.
For details on commitments, see Note 17.
60
Platina Resources Annual Report 30 June 2022
NOTE 22 PLATINA RESOURCES LIMITED PARENT INFORMATION (Continued)
b. Interest in Subsidiaries
Company Name
Parent Entity
Country of
Incorporation
Percentage Owned (%)*
2022
2021
Platina Resources Limited
Australia
Subsidiaries
Platina (South America) Pty Ltd Australia
Red Heart Mines Pty Ltd
Platina Scandium Pty Ltd
Australia
Australia
Skaergaard Holdings Pty Ltd1
Australia
Coolabah Resources Pty
Ltd
Australia
100
100
100
100
100
100
100
100
100
100
* Percentage of voting power is in proportion to ownership
1. Skaergaard Holdings Pty Ltd is the parent entity of Coolabah Resources Pty Ltd.
None of the subsidiaries have traded during the year and do not have any assets and liabilities.
c. Amounts Outstanding from Related Parties
There are no amounts outstanding from related parties.
NOTE 23 CONTINGENT LIABILITIES
There are no known contingent liabilities as at 30 June 2022 other than as below;
In accordance with the tenement acquisition agreements entered into by the Group the following deferred
consideration may become payable in future periods:
Challa Gold Project
•
A 0.75% gross gold royalty is payable on any gold produced from the tenements and a milestone payment of
$100,000 is payable on reporting of a JORC (2012) Mineral Resource of 50,000 oz of gold or a decision to
mine.
Xanadu Gold Project
•
•
•
At year end, Platina has an option to acquire the Xanadu Project by issuing a further 17,452,830 Platina
ordinary shares 5.3c per share to the Vendors. The shares were issued in August 2022.
A milestone payment of $200,000 on reporting of a JORC (2012) Mineral Resource of 100,000 oz of gold; and
A 1% gross gold royalty is payable on any gold produced from the Prospecting Licenses and a further 1% new
smelter royalty payable on all the tenements. Platina can buy back 50% of the net smelter royalty for $1
million.
61
Platina Resources Annual Report 30 June 2022
NOTE 24 RELATED PARTY TRANSACTIONS
There have been no other transactions with key management personnel during the year ended 30 June 2022.
Key Management Personnel
Disclosures relating to Key Management Personnel are set out in Note 5.
For full details refer to the Remuneration Report included in the Director’s Report.
NOTE 25 SUBSEQUENT EVENTS
No matter or circumstance has arisen since the end of the financial year, to the date of this report, that has
significantly affected, or may significantly affect, the operations of the Group, the results of those operations, or the
state of affairs of the Group in future financial years other than the following:
•
•
In August 2022, 17,452,830 shares were issued as final share consideration for the acquisition of 100% of the
Xanadu Gold Project; and
In August 2022, the Company signed a conditional binding term sheet with Sangold Resources Pty Ltd
(Sangold) to acquire 100% of the advanced, high-grade, near-surface Brimstone Gold Project, 40 km north-
east of Kalgoorlie (refer ASX release dated 10 August 2022). The transaction is subject to a three-month
exclusivity and due diligence period, (funded by a $50,000 option payment) that expires on 31 October 2022,
during which time all conditions must be either satisfied or waived. Consideration for the acquisition includes
$2.5 million of Platina shares to be issued at a 5% discount to the 10-day volume weighted average (VWAP)
price on announcement of the transaction and $150,000 cash. Of the consideration shares issued for the
transaction, $2.4 million will be subject to a 12-month escrow period and $0.1 million for a 3-month period.
A further $1 million shares will be issued if a JORC compliant Inferred Mineral Resource above 100,000
ounces at 1.5g/t is achieved on any project within the acquisition tenements, based on a 5% discount to the
10-day VWAP at the time the JORC Mineral Resource is announced.
•
In August 2022, the Company advised it had confirmed the allotment of 89.2 million ordinary fully paid shares
(Shares) at $0.025 per share to raise $2.23 million to sophisticated, professional and other exempt investors,
(Placement) (before costs of raising).
• Subsequent to the end of the period, Platina sold 26 million Alien metals shares for gross proceeds of
approximately AUD $290,000;
• The Company advises that the value of investments held by Platina has decreased from AUD $5.9 million at
30 June 2022 to $2.799 million (taking into account the disposal of Alien Metals shares noted above post
balance date) at the date of signing this report; and
• On 14 September 2022, shareholders of major Precious Metals Limited (Major) approved a voluntary delisting
of Major’s common shares from the NEO Stock Exchange in Toronto. The Board of Major cited the rationale
for the delisting was due to the prolonged weak market conditions, owed greatly to a continued market-driven
disconnect between the share price of Major, relative to it’s believed true asset value, would be in the best
interests of its shareholders and the Company in order to preserve its current business. The shares will finish
trading on the NEO Stock Exchange on 7 October 2022.
Whilst delisted, Major intends to complete an updated Mineral Resource Estimate to incorporate the new data
from the 2021 drilling program. In addition, a NI43-101 Technical Report will be prepared and used as a
Competent Person Report for a Prospects and relisting on another Stock Exchange during the next six
months if conditions are favourable.
The financial report was authorised for issue on the date the Director’s Report was signed. The Board has the power
to amend and re-issue the financial report.
62
Platina Resources Annual Report 30 June 2022
Declaration by
Directors
In the opinion of the Directors of Platina Resources
Limited (the ‘Company’):
a. the accompanying financial statements and notes
are in accordance with the Corporations Act 2001
including:
i. giving a true and fair view of the Consolidated
Entity’s financial position as at 30 June 2022
and of its performance for the year then ended;
and
ii. complying with Australian Accounting
Standards, the Corporations Regulations 2001,
professional reporting requirements and other
mandatory requirements;
b. there are reasonable grounds to believe that the
Company will be able to pay its debts as and when
they become due and payable; and
c. the financial statements and notes thereto are in
accordance with International Financial Reporting
Standards issued by the International Accounting
Standards Board.
This declaration has been made after receiving the
declarations required to be made to the Directors in
accordance with Section 295A of the Corporations
Act 2001 for the financial year ended 30 June 2022.
This declaration is signed in accordance with a
resolution of the Board of Directors.
Corey Nolan
Managing Director
Brisbane
Date: 27 September 2022
63
INDEPENDENT AUDITOR’S REPORT
TO THE DIRECTORS OF PLATINA RESOURCES LIMITED
Opinion
We have audited the financial report of Platina Resources Limited (“the Company”), and its controlled
entities (the “Group”), which comprises the consolidated statement of financial position as at 30 June 2022
and the consolidated statement of comprehensive income, consolidated statement of changes in equity
and consolidated statement of cash flows for the year then ended, notes comprising a summary of
significant accounting policies and other explanatory information, and the director’s declaration.
In our opinion, the consolidated financial report of the Group is in accordance with the Corporations Act
2001, including:
(i) giving a true and fair view of the Group’s financial position as at 30 June 2022 and of its financial
performance for the year then ended; and
(ii) complying with Australian Accounting Standards and the Corporations Regulations 2001.
Basis for Opinion
We conducted our audit in accordance with Australian Auditing Standards. Our responsibilities under those
standards are further described in the Auditor’s 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 Australian Professional and
Ethical Standards Board’s APES 110 Code of Ethics for Professional Accountants (the Code) that are
relevant to our audit of the financial report in Australia. We have also fulfilled our other ethical
responsibilities in accordance with the Code.
We confirm that the independence declaration required by the Corporations Act 2001, which has been
given to the directors of the Company, would be in the same terms if given to the directors as at the time
of this auditor’s report.
We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for
our opinion.
Material Uncertainty Related to Going Concern
We draw attention to Note 1(c) in the financial report, which indicates that the Group recorded a loss after
income tax of $15,676,545, net operating and investing cash outflows of $1,370,067 and continues to incur
expenditure on its exploration projects drawing on its cash balances, without a consistent source of
income. As stated in Note 1(c), these events or conditions, along with other matters as set forth in Note
1(c), indicate that a material uncertainty exists that may cast significant doubt on the Group’s ability to
continue as a going concern. Our opinion is not modified in respect of this matter.
Key Audit Matters
Key audit matters are those matters that, in our professional judgement, were of most significance in our
audit of the financial report of the current period. These matters were addressed in the context of our audit
of the financial report as a whole, and in forming our opinion thereon, and we do not provide a separate
opinion on these matters. In addition to the matter described in the Material Uncertainty Related to Going
Concern section, we have determined the matters described below to be the key audit matters to be
communicated in our report.
A member of Bentleys, a network of independent advisory and accounting firms located
throughout Australia, New Zealand and China that trade as Bentleys. All members of the
Bentleys Network are affiliated only, are separate legal entities and not in partnership. Liability
limited by a scheme approved under Professional Standards Legislation.
64
INDEPENDENT AUDITOR’S REPORT
TO THE DIRECTORS OF PLATINA RESOURCES LIMITED
Key Audit Matter
How our audit addressed the key audit matter
Exploration and evaluation expenditure- acquisition
costs - $1,550,975
Our procedures included, amongst others:
As disclosed in Note 12, the Group recognized deferred
exploration and evaluation expenditure assets of
$1,550,975.
The carrying value of exploration and evaluation
expenditure is assessed for impairment by the Group
when facts and circumstances indicate that the
exploration and evaluation expenditure may exceed its
recoverable amount.
The determination as to whether there are any
indicators to require deferred exploration and
evaluation expenditure to be assessed for impairment,
involves a number of judgements, including assessing
the intention of the Group to carry out significant
exploration and evaluation activity in the near future,
and, whether there is sufficient information available to
conclude that the area of interest is not commercially
viable. Due to the size of the deferred exploration and
evaluation expenditure asset relative to the Group’s
total assets and the judgement involved in assessing
whether indicators of impairment exist at 30 June 2022,
this was a key audit matter.
Financial Assets at Fair Value Through P&L -
$5,897,399
As disclosed in Note 11, the Group has acquired (either
through sale of assets or direct purchase) a number of
investments in entities that are publicly traded on
exchanges in Australia and overseas.
The financial assets at fair value through profit or loss
is considered to be a key audit matter due to:
• Foreign currency considerations for three of the
four investments.
• The investments have become the largest
asset on the Statement of Financial Position
• Unrealized losses ($16.4m) relating to the
investments are the largest line items in the
Consolidated Statement of Comprehensive
Income.
• Considering the Group’s process for
identifying and considering indicators of
impairment and the completeness of the
matters identified
• Considering the Group’s right to explore in
the relevant exploration area which included
obtaining and assessing supporting
documentation such as license agreements
and extension of term applications
• Considering the Group’s intention to carry out
significant exploration and evaluation activity
in the relevant exploration area which
included assessment of the Group’s cash-
flow forecast models and enquiries as to the
intentions and strategy of the Group
• Assessing the ability to finance any planned
future exploration and evaluation activity
• Assessing the adequacy of disclosures in the
financial report.
Our procedures included, amongst others:
• Evaluating management’s assessment of how
such assets should be classified, having
regard to the requirements of AASB 9
Financial Instruments, AASB 11 Joint
Arrangements and AASB 128 Investments in
Associates and Joint Ventures
• Obtaining from management a schedule of
investment held by the Group and vouching
the ownership of the investments to
supporting documentation.
• Reviewing managements’ assessment of the
fair value of the investments by reference to
quoted prices in active markets and foreign
exchange rates (where applicable) and
ensuring that all gains and losses have been
treated appropriately.
A member of Bentleys, a network of independent advisory and accounting firms located
throughout Australia, New Zealand and China that trade as Bentleys. All members of the
Bentleys Network are affiliated only, are separate legal entities and not in partnership. Liability
limited by a scheme approved under Professional Standards Legislation.
65
INDEPENDENT AUDITOR’S REPORT
TO THE DIRECTORS OF PLATINA RESOURCES LIMITED
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 Group's annual report for the year ended 30 June 2022 but does not include the financial
report and our auditor's report thereon.
Our opinion on the financial report does not cover the other information and accordingly we do not express
any form of assurance conclusion thereon.
In connection with our audit of the financial report, our responsibility is to read the other information and,
in doing so, consider whether the other information is materially inconsistent with the financial report or
our knowledge obtained in the audit or otherwise appears to be materially misstated.
If, based on the work we have performed, we conclude that there is a material misstatement of this other
information, we are required to report that fact. We have nothing to report in this regard.
Responsibilities of the Directors for the Financial Report
The directors of the Company are responsible for the preparation of the financial report that gives a true
and fair view in accordance with Australian Accounting Standards and the Corporations Act 2001 and for
such internal control as the directors determine is necessary to enable the preparation of the financial
report that gives a true and fair view and is free from material misstatement, whether due to fraud or error.
In preparing the financial report, the directors are responsible for assessing the ability of the Group to
continue as a going concern, disclosing, as applicable, matters related to going concern and using the
going concern basis of accounting unless the directors either intend to liquidate the Group or to cease
operations, or has no realistic alternative but to do so.
Auditor’s Responsibilities for the Audit of the Financial Report
Our objectives are to obtain reasonable assurance about whether the financial report as a whole is free
from material misstatement, whether due to fraud or error, and to issue an auditor's report that includes
our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit
conducted in accordance with the Australian Auditing Standards will always detect a material misstatement
when it exists. Misstatements can arise from fraud or error and are considered material if, individually or
in the aggregate, they could reasonably be expected to influence the economic decisions of users taken
on the basis of this financial report.
A member of Bentleys, a network of independent advisory and accounting firms located
throughout Australia, New Zealand and China that trade as Bentleys. All members of the
Bentleys Network are affiliated only, are separate legal entities and not in partnership. Liability
limited by a scheme approved under Professional Standards Legislation.
66
INDEPENDENT AUDITOR’S REPORT
TO THE DIRECTORS OF PLATINA RESOURCES LIMITED
Auditor’s Responsibilities for the Audit of the Financial Report (continued)
As part of an audit in accordance with Australian Auditing Standards, we exercise professional judgement
and maintain professional scepticism throughout the audit. We also:
•
Identify and assess the risks of material misstatement of the financial report, whether due to fraud or
error, design and perform audit procedures responsive to those risks, and obtain audit evidence that
is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material
misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve
collusion, forgery, intentional omissions, misrepresentations, or the override of internal control.
• Obtain an understanding of internal control relevant to the audit in order to design audit procedures
that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the
effectiveness of the 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 those charged with governance regarding, among other matters, the planned scope
and timing of the audit and significant audit findings, including any significant deficiencies in internal control
that we identify during our audit.
We also provide the directors with a statement that we have complied with relevant ethical requirements
regarding independence, and to communicate with them all relationships and other matters that may
reasonably be thought to bear on our independence, and where applicable, related safeguards.
From the matters communicated with the directors, we determine those matters that were of most
significance in the audit of the financial report of the current period and are therefore the key audit matters.
We describe these matters in our auditor's report unless law or regulation precludes public disclosure
about the matter or when, in extremely rare circumstances, we determine that a matter should not be
communicated in our report because the adverse consequences of doing so would reasonably be
expected to outweigh the public interest benefits of such communication.
A member of Bentleys, a network of independent advisory and accounting firms located
throughout Australia, New Zealand and China that trade as Bentleys. All members of the
Bentleys Network are affiliated only, are separate legal entities and not in partnership. Liability
limited by a scheme approved under Professional Standards Legislation.
67
INDEPENDENT AUDITOR’S REPORT
TO THE DIRECTORS OF PLATINA RESOURCES LIMITED
Report on 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 Platina Resources Limited, for the year ended 30 June 2022,
complies with section 300A of the Corporations Act 2001.
Responsibilities
The directors of the Group 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.
Bentleys Brisbane Partnership
Chartered Accountants
Ashley Carle
Partner
Brisbane, 27 September 2022
A member of Bentleys, a network of independent advisory and accounting firms located
throughout Australia, New Zealand and China that trade as Bentleys. All members of the
Bentleys Network are affiliated only, are separate legal entities and not in partnership. Liability
limited by a scheme approved under Professional Standards Legislation.
68
Platina Resources Annual Report 30 June 2022
Shareholder
Information
Additional information required by the Australian Securities Exchange and not shown elsewhere in this report is as
follows. The information is current as at 20 September 2022.
(a) Distribution of equity securities
The number of holders, by size of holding, in each class of security are:
Ordinary Shares
Number of
Holders
112
152
268
1,097
594
2,223
Number
18,986
469,980
2,256,994
44,674,477
493,614,735
541,035,172
1 - 1,000
1,001 - 5,000
5,001 - 10,000
10,001 - 100,000
100,001 and over
Total
The number of shareholders holding less than a marketable parcel was 814 and they hold a total of 6,840,445 shares.
Unquoted equity securities
Class
Options exercisable at $0.10 expiring 16 Oct 2023
Options exercisable at $0.08 expiring 16 Oct 2022
Options exercisable at $0.09 expiring 16 Oct 2022
Options exercisable at $0.105 expiring 16 Oct 2022
Options exercisable at $0.09 expiring 23 Aug 2024
Options exercisable at $0.105 expiring 23 Nov 2024
Options exercisable at $0.12 expiring 23 May 2025
Number
26,360,000
11,500,000
3,000,000
3,000,000
2,000,000
2,000,000
2,000,000
Number of
Holders
Notes
5
5
1
1
1
1
1
1
2
3
4
5
5
5
Holders of more than 20% of this class of options:
1. Palisades Gold Corp Limited 19,360,000 options
2. Corey Nolan
3,000,000 options
2,500,000 options
2. Brian Moller
3,000,000 options
3. Corey Nolan
3,000,000 options
4. Corey Nolan
2,000,000 options
5. Rohan Deshpande
69
Platina Resources Annual Report 30 June 2022
Twenty largest holders
The names of the twenty largest holders, in each class of quoted security are:
i. Ordinary shares:
Registered Name
Number
% of total shares
CAIRNGLEN INVESTMENTS PTY LTD*
J P MORGAN NOMINEES AUSTRALIA LIMITED
BNP PARIBAS NOMINEES PTY LTD ACF CLEARSTREAM
63,242,317
27,997,598
17,236,379
BNP PARIBAS NOMINEES PTY LTD <
11,863,297
#
1
2
3
4
5
6
7
8
9
BNP PARIBAS NOMINEES PTY LTD
SINO PORTFOLIO INTERNATIONAL LIMITED
MR MICHAEL WONG
CITICORP NOMINEES PTY LIMITED
YANDAL INVESTMENTS PTY LTD
10 MINERAL EDGE PTY LTD
11
AYERS CAPITAL PTY LTD
12
HSBC CUSTODY NOMINEES (AUSTRALIA) LIMITED
13
YARRAANDOO PTY LTD
14
TEGAR PTY LTD
15
OPEKA DALE PTY LTD
16
NOVASC PTY LTD
17
BOND STREET CUSTODIANS LIMITED
18 MRS ANNE RICHARDSON
19
HARSHELL INVESTMENTS PTY LTD