ABN 12 108 560 069
ANNUAL REPORT
30 JUNE 2024
RAGNAR METALS LIMITED
AND CONTROLLED ENTITIES
ABN 12 108 560 069
ANNUAL REPORT 30 JUNE 2024
P a g e | i
CORPORATE DIRECTORY
Current Directors
Steven Formica
Non-Executive Chairman
Ariel (Eddie) King
Executive Director
David Wheeler
Non-Executive Director
Company Secretary
Jessamyn Lyons
Registered Office
Share Registry
Street:
Level 3
Automic Pty Limited
88 William Street
Level 5, 191 St Georges Terrace
Perth WA 6000
Perth WA 6000
Postal:
GPO Box 2570
Telephone (Australia): 1300 288 644 (investors
Perth WA 6001
Telephone:
+61 (02) 9698 5414
Telephone:
+61 (08) 9463 2463
Email:
hello@automicgroup.com.au
Facsimile:
+61 (08) 9463 2499
Website:
www.automicgroup.com.au
Email:
info@ragnarmetals.com.au
Website:
www.ragnarmetals.com.au
Securities Exchange
Auditors
Australian Securities Exchange
Hall Chadwick WA Audit Pty Ltd
Level 40, Central Park, 152-158 St Georges Terrace
283 Rokeby Road
Perth WA 6000
Subiaco
Telephone:
131 ASX (131 279) (within Australia) WA 6008
Telephone:
+61 (02) 9338 0000
Telephone:
+61 (08) 9426 0666
Facsimile:
+61 (02) 9227 0885
Website: www.hallchadwick.com.au
Website:
www.asx.com.au
ASX Code
RAG
RAGNAR METALS LIMITED
AND CONTROLLED ENTITIES
ABN 12 108 560 069
ANNUAL REPORT 30 JUNE 2024
P a g e | ii
CONTENTS
Chairman’s report
1
Activities report
2
Director’s report
15
Remuneration report
19
Auditor’s independence declaration
23
Financial statements
24
Consolidated statement of profit or loss and other comprehensive income
24
Consolidated statement of financial position
25
Consolidated statement of changes in equity
26
Consolidated statement of cash flows
27
Notes to the consolidated financial statements
28
Consolidated entity disclosure statement
52
Directors’ declaration
53
Independent auditor’s report
54
Additional Information for Listed Public Companies
60
RAGNAR METALS LIMITED
AND CONTROLLED ENTITIES
ABN 12 108 560 069
ANNUAL REPORT 30 JUNE 2024
P a g e | 1
CHAIRMANS’ LETTER
Dear Shareholders,
I wish to start by thanking our new and existing shareholders for your unwavering support throughout the
year.
After finalising the sale of Tullsta to BHP last year, we have remained proactive in our pursuit of new
opportunities that will add significant value for our shareholders. Although challenging, the current
economic environment presents opportunities we will continue exploring.
Sweden is a strategic focus as we pursue district-scale opportunities in a mining-friendly regulatory
environment with world class infrastructure. We have been actively assessing our Lithium and Rare Earth
projects in Sweden to ascertain the validity of drilling programs in light of the current environment.
In October 2023, we added the Orrvik Lithium project expanding our lithium portfolio to 168km2 at the district
scale. Orrvik has 36km2 of highly prospective tenure, and recent fieldwork has identified drill-ready targets
to consider.
Our Olserum North Rare Earth project covers an area of 50.9km2 and adjacent to the Olserum Project,
owned by European Green Transition plc (EGT) and is a “Project of National Interest.” Our recent fieldwork
produced rock chip samples with encouraging results, reinforcing our confidence in the region. Our in-
country team is working closely with EGT’s technical team, and we continue to monitor results from Olserum
as they increase their exploration activities. This region is renowned for Rare Earth Element (REE) deposits,
with the distinction of housing Sweden's largest REE deposit, Norra Karr.
While these projects are still in their early stages, we are immensely excited by the preliminary results.
In May, we diversified our asset portfolio with a strategic investment in Kaiser Reef (KAU), which owns
Victoria's fully permitted Nova Gold project, which hosts the high-grade A1 gold mine. The investment
diversifies shareholder's commodity exposure and provides leverage to a high-grade production asset with
record Gold prices. Last financial year, Kaiser brought A1 into production, producing 30,537 @11.6g/t, and
is well-funded and well-resourced to increase production at the A1 gold mine. Strategically, Kaiser owns a
fully permitted gold plant with processing and tailing storage capacity to increase production. We believe
Kaiser’s gold projects have enormous potential within a burgeoning gold price environment.
We are well-positioned to capitalise on the strong position of Ragnar Metals and look forward to the next
phase of our journey. This phase promises to unlock the immense potential of our critical metal portfolio
and, in doing so, create further value for our shareholders.
Sincerely,
Steve Formica
Non-Executive Chairman
Ragnar Metals Limited
RAGNAR METALS LIMITED
AND CONTROLLED ENTITIES
ABN 12 108 560 069
ANNUAL REPORT 30 JUNE 2024
P a g e | 2
ACTIVITIES REPORT
MINING INTERESTS
SWEDISH TENEMENTS
Rare Earth Element Projects
Lithium Projects
Gaddebo Nickel Project
Rare Earth Element Projects
In June 2023, the Company announced the acquisition of two projects in Sweden comprising 37.3km2 of
tenure, highly prospective for heavy rare earth element (HREE) mineralisation and NdPr metals, the
Olserum North HREE Project and the Gruvhagen NdPr Project. Both projects are in the southwestern
Fennoscandian Province, renowned for rare earth element (REE) deposits, including Sweden’s largest REE
deposit, Norra Kärr.
Project tenure at Olserum North comprises 50.9km2, following the acquisition of a second exploration
licence, Olserum North Nr 2 in December 2023, and is strategically located 8.5km north of the Olserum
HREE deposit, which contains 7.8Mt at 0.6% TREO with 34% HREO. This deposit is in an identical
geological setting characterised by the same host Palaeoproterozoic Svekokarelian metasedimentary rocks
(1.9Ga) and Palaeoproterozoic alkalic granite and syenite rocks (1.8Ga) mapped by the Geological Survey
of Sweden (Figure 1).
Figure 1: Simplified geological map of Southwest Fennoscandian Shield showing
the location of Ragnar’s REE Projects in relation to the Olserum and Norra Karr REE deposits.
RAGNAR METALS LIMITED
AND CONTROLLED ENTITIES
ABN 12 108 560 069
ANNUAL REPORT 30 JUNE 2024
P a g e | 3
During the year, the Company conducted field exploration activities on the Olserum North HREE Project,
predominantly reconnaissance field programs collecting rock chip samples at the Melsjon (now called
Melson), Flaken and Hylleled prospects.
In March 2024, Ragnar geologists completed fieldwork at Olserum North and collected 41 rock samples in
the area. This work aimed to extend the known outcropping HREE mineralisation reported in 2023 and
identify HREE mineralisation in the first rock sampling on the newly acquired Olserum North nr 2 license.
One of the crucial breakthroughs of the program was the discovery of an entirely new zone of HREE
mineralisation at the Melson Prospect (Figure 2). The geology of this exciting area is described as a biotite-
magnetite-amphibole-altered felsic dyke intruding a biotite-alteration schist with visual evidence for
hematite alteration. Notably, other biotite-altered syenites with no magnetite are also mineralised with REE.
Assay highlights included 17,407 ppm (1.7%) TREO with up to 40% of high-value HREO, including HREO
metals 684 ppm Dy2O3 and 80 ppm Tb4O7 in B3739 and 6,416 ppm (0.6%) TREO with up to 39% of high-
value HREO in B3741 (Figure 2).
Figure 2: Airborne Magnetic Map (tilt derivative) showing the location of recent rock sample results.
(*TREO includes all rare earth elements plus Y and Sc)
Subsequent to the end of the period, on 24 September 2024, the Company announced assay results for
the second field program. The most significant outcome of this work at Melson is the discovery of syenite
intrusive hosted HREE mineralisation recorded in the area. These magnetite-poor syenite intrusions are
very different host rocks from the shear-hosted biotite-magnetite HREE mineralisation characteristic of the
Olserum deposit and Ragnar’s Flaken and Hylleled prospects. This new style of mineralisation at Melson
provides compelling new evidence for also targeting a different deposit style since alkalic and syenite-
hosted REE deposits are known to be large tonnage deposits with many examples known worldwide, and
in Sweden at the Norra Kärr deposit.
RAGNAR METALS LIMITED
AND CONTROLLED ENTITIES
ABN 12 108 560 069
ANNUAL REPORT 30 JUNE 2024
P a g e | 4
During the field program at the Flaken Prospect, detailed investigations were conducted and several new
outcrops of magnetite-bearing altered rock returned significant assays, including 41,412 ppm (4.1%) TREO
with up to 40% of very high HREO, including HREO metals 1,882 ppm Dy2O3 and 307 ppm Tb4O7 in
B3758 (Figure 2), and 23,010 ppm (2.3%) TREO with up to 24% of significant HREO, including HREO
metals 584 ppm Dy2O3 and 101 ppm Tb4O7 in B3722.
This work confirmed that consistent HREE mineralisation >0.4% TREO occurs at Flaken over at least 400m
strike and is open in all directions, plus a second stacked zone identified to the north in the 2023 program
(Figure 2).
At the Hylleled Prospect, detailed investigations were conducted during the field program, where at least
two new mineralisation outcrops were identified. The most important outcome is the discovery of a new
outcrop of biotite-altered rock (no magnetite) that is highly mineralised, including 22,920 ppm (2.3%) TREO
with up to 24% of significant HREO, including HREO metals 745 ppm Dy2O3 and 129 ppm Tb4O7 in B3746,
as well as magnetite-altered mineralisation that returned 7,011 ppm (0.7%) TREO with up to 65% of very
high HREO, including HREO metals 456 ppm Dy2O3 and 76 ppm Tb4O7 in B3747.
This work suggests that HREE mineralisation >0.4% TREO is likely to occur at Hylleled over at least 330m
strike and is open in all directions (Figure 2). This new zone of mineralisation is another example of high-
grade HREE mineralisation unrelated to magnetite and cannot be detected with magnetic geophysical
methods.
On 20 March 2024, the Company shared the results of comprehensive Magnetic and Gravity geophysical
surveys at Olserum. The surveys were conducted following previous field observations and defined highly
magnetic and dense samples of HREE mineralisation that returned up to 1.2% TREO with up to 93% HREO
(Figure 3).
The outcomes of this work identified multiple highly magnetic trends over a well-defined corridor measuring
4.5km long and 500m-1km wide, where no previous sampling had been completed, and six new magnetic
trends coinciding with gravity anomalies, indicating high-density targets are highly prospective for HREE
mineralisation.
Figure 3: Airborne Magnetic Map (TMIRTP_1VDAGC) showing REE-magnetite occurrences (pink triangles) and interpreted
magnetic trends (red dash). (TREO includes all rare earth elements including Y and Sc)
RAGNAR METALS LIMITED
AND CONTROLLED ENTITIES
ABN 12 108 560 069
ANNUAL REPORT 30 JUNE 2024
P a g e | 5
On 11 June 2024, the company released assay results for the surface channel sampling program at its
Flaken prospect and a 3D Magnetic Inversion at its Olserum North Heavy Rare Earth Project in southern
Sweden.
The channel sampling work produced highly encouraging results which included a 6.3m wide mineralised
outcrop exposure with up to 10,198 ppm (1.0%) TREO over 0.38m within an overall average grade of
4,824 ppm TREO (33% HREO) in surface channel T2; a 9.3m wide mineralised outcrop exposure with up
to 11,384 ppm (1.1%) TREO over 0.65m within overall average grade of 4,063 ppm TREO (21% HREO)
in surface channel T1; a 1.35m outcrop exposure at 11,845 ppm (1.2%) TREO (35% HREO) in surface
channel T5; and a 1.05m outcrop exposure at 12,420 ppm (1.5%) TREO (20% HREO) in surface channel
T3 (Figure 4).
It is important to note that all channel samples were taken on exposed rock outcrops only since earthworks
were not available to expose further outcrops undercover. As a result, all the channel sampling composite
assay intervals are open at both ends of each channel where mineralisation extends under cover. This
indicates widths could be much wider.
The 3D modelling work has successfully provided further context to the channel and rock sampling work.
The 3D modelling indicates good continuity between Flaken and Hylleled and a depth extent of HREO
mineralisation from surface down to maximum depth of 500m. These observations strongly support the
potential for the future discovery of a HREO deposit in the area. Furthermore, the modelling has identified
several excellent new targets for HREO, including a very large magnetic isosurface to the north of Hylleled
and two others to the south. More fieldwork is required in close proximity to these newly identified targets
to assess for drill permitting and testing.
Figure 4: 3D Image looking northwest and down of the 3D inversion at Olserum North Project showing new channel and
rock assay results as well as the new targets. (NB: TREO includes Sc and Y, M.I. is the magnetic susceptivity index on the 3D
inversion model)
RAGNAR METALS LIMITED
AND CONTROLLED ENTITIES
ABN 12 108 560 069
ANNUAL REPORT 30 JUNE 2024
P a g e | 6
Lithium Projects
During the year, Ragnar purchased the Orrvik Project, which consists of four exploration licenses, from
Pallas Metals AB. The project covers 36km2 and is highly prospective for spodumene-bearing LCT-
pegmatite-type lithium Deposits (Figure 5).
Figure 5: Interpreted bedrock geology map in the Bergom area showing Ragnar's existing tenure and the
location of the Orrvik project acquisition.
Orrvik & Bergom Lithium
Ragnar completed a series of rock sampling campaigns at the Bergom and Orrvik Projects from May to
August 2023, where a total of eighty-three (83) regional rock samples were collected. Assays received
confirm high-grade lithium mineralisation in two areas and highly elevated pathfinder metals confirming
highly fractionated rare metals pegmatites have been confirmed in three additional locations.
Highlight results included:
1. Orrvik: Spodumene minerals confirmed in several places (Figure 6) corresponding with assays up
to 1.2% Li2O and 262 ppm Ta2O5 with other highly elevated pathfinder metals.
2. Stenback: Spodumene was confirmed in the field (Figure 6), corresponding with assays up to 1.7%
Li2O and 27.9 ppm Ta2O5 with other highly elevated pathfinder metals.
3. Orrvik East: Evidence for lithium phosphate minerals tryphyllte-lithiophyllite observed with the
characteristic purple oxidation product heterosite-purpurite and assays up to 417 ppm Li2O and
64.7 ppm Ta2O5 with other highly elevated pathfinder metals.
4. Dyngselet: Evidence of lithium phosphate minerals tryphyllte-lithiophyllite minerals observed and
assays up to 348 ppm Li2O and 52.6 ppm Ta2O5 with other highly elevated pathfinder metals.
5. Anundsbole: Large, rare metal pegmatite outcrop extending for 100m strike and 30m wide with
assays up to 402 ppm Li2O and 48.4 ppm Ta2O5 with other highly elevated pathfinder metals.
RAGNAR METALS LIMITED
AND CONTROLLED ENTITIES
ABN 12 108 560 069
ANNUAL REPORT 30 JUNE 2024
P a g e | 7
Figure 6: Interpreted bedrock geology map of the Bergom and Orrvik Project areas and highlighted assay
results from new rock sampling programs.
On 21 February 2024, the Company announced it had completed three 200-metre-long Electric Resistivity
Tomography (ERT) profiles at its Orrvik lithium project, which included a line over a known outcropping
spodumene pegmatite occurrence (Figure 7) which returned rock chips up to 1.2% Li2O and 262 ppm
Ta2O5. ERT is used to estimate the soil and bedrock's DC electric properties, highlighting more resistive
rocks shown in red and orange (Figure 7), which could represent concealed and untested pegmatites. The
survey aimed to distinguish more resistive pegmatite bodies from host rocks and delineate the extent of
pegmatite bodies both north and south of the Orrvik spodumene occurrence.
Figure 7: Simplified geology map showing the three resistivity lines, historical drilling and highlighting untested targets.
Central Orrvik Line 2 (Figure 7) was surveyed over the top of the outcrop at Orrvik, which exhibits a strong
resistive volume associated with the spodumene-bearing pegmatite outcrop close to the surface, which is
sub-vertical and is interpreted to dip to the west (Figure 8). It is important to note that historical drilling has
only tested small to moderate resistive anomalies and returned 2m at 0.85% Li2O, including 1.0m at 1.5%
Li2O in drill hole OR-2-85. Further drilling to the west towards a stronger and thicker resistivity target is now
the priority target for thicker pegmatite bodies.
RAGNAR METALS LIMITED
AND CONTROLLED ENTITIES
ABN 12 108 560 069
ANNUAL REPORT 30 JUNE 2024
P a g e | 8
Figure 8: Orrvik Section Line 2. Inverted resistivity model section showing a strong resistive subvertical body associated
the outcropping spodumene pegmatite that appears to be plunging to the west. A deeper, more resistive target area has
not been drill tested.
Northern Orrvik Line 3 (Figure 9) indicated a clearer resistive unit dipping towards the west, suggesting
potential good continuity of the pegmatite observed in Line 2. A near vertical intermediate resistivity feature
plunging steeply to the east is also noted. The target area along this line has yet to undergo drill testing
(Figure 7), and the highly resistive anomalies that appear to widen at depth require further exploration via
drilling to assess their significance.
Figure 9: Orrvik Section Line 3. Inverted resistivity model section showing a strong resistive body associated dipping to
the west. This has never been drill tested and represents a strong drill target.
Southern Orrvik Line 1 appears to be disjointed from Lines 2 and 3, possibly indicated by a change in
geology and faulting (Figure 10). Historical drill hole OR-4-85 drilled roughly 20m off section intersected 3m
at 1.2% Li2O. It is associated with a strong resistive anomaly. The larger and stronger anomaly to the west
has again yet to be drill tested.
RAGNAR METALS LIMITED
AND CONTROLLED ENTITIES
ABN 12 108 560 069
ANNUAL REPORT 30 JUNE 2024
P a g e | 9
Figure 10: Orrvik Section Line 1. Inverted resistivity model section showing a strong resistive body that appears to be
disjointed from Lines 2 and 3 possibly indicated a change in geology possibly related to faulting. Historical drill hole OR-4-
85 intersected 3m at 1.2% Li2O associated with a strong resistive anomaly. A large stronger anomaly to the west has not
been drill tested.
Hälleberget Lithium Project
The Hälleberget Lithium Project is located 10km north of the Järkvissle lithium pegmatite deposit. Previous
exploration at Hälleberget has identified outcropping lithium-bearing pegmatites over 500m strike with
historical exploration results up to 0.473% Li2O, 196 ppm Ta, and 4.48% Sn.
The area is considered highly prospective for discovering lithium pegmatite deposits since the district
represents the western extent of the same belt that contains the largest lithium deposits in Scandinavia,
the Kaustinen Lithium province in Finland.
Compilation work by Ragnar identified additional mapped pegmatites by the Geological Survey of Sweden,
including an area further south where Ragnar lodged and was granted an exploration permit, expanding
the Hälleberget ground holding from 21km2 to 51km2.
On 9 November 2023, Ragnar confirmed it had completed various rock sampling campaigns at the
Hälleberget project area, where sixty-four (64) regional rock assays were collected, and assays had been
received.
Multiple areas of thick outcropping pegmatites were identified, as well as classic lithium phosphate minerals
(i.e. triphylite-lithiophilite) similar to those identified at the Stenback spodumene occurrence, together with
trace tantalite and cassiterite in places which are typical of LCT pegmatites. Extensive work on these LCT
pegmatite systems indicates that this mineralogy, particularly lithium phosphates, indicates highly
fractionated pegmatites approaching the spodumene zone.
As reported in November 2023, assays were received with three highlighted priority areas identified:
1. H2: This prospect returned a surprisingly high lithium result of up to 0.13% Li2O and 46.1 ppm
Ta2O5 with other highly elevated pathfinder metals.
2. H1: Evidence of a range of rare metal minerals was observed at the prospect, including tantalite,
cassiterite and lithium phosphates with assays up to 348 ppm Li2O and 190.9 ppm Ta2O5 with
other highly elevated pathfinder metals.
3. H3: Extensive large thick ridges of pegmatites previously reported that measure up to 400m in
strike by 30m width with assays up to 495 ppm Li2O and 56.6 ppm Ta2O5 with other highly elevated
pathfinder metals.
RAGNAR METALS LIMITED
AND CONTROLLED ENTITIES
ABN 12 108 560 069
ANNUAL REPORT 30 JUNE 2024
P a g e | 10
Figure 11: Interpreted bedrock geology map of the Hälleberget project area in relation to the
Jarkvissle lithium, showing the new assay results.
The Bergom Project is located 100km east-northeast of Hälleberget and is in an area of known LCT
pegmatites. Previous discoveries have been made at the Orrvik lithium occurrence, where assays of up
to 2.8% Li2O and 7,820 ppm Ta have been reported on pegmatites mapped for over 400m of strike.
The initial field visit in July 2023 was encouraging, particularly in the open ground area where Ragnar
identified 14 additional unsampled pegmatites, including the Anundsböle tin-niobium-lithium pegmatite
occurrence. As a result, Ragnar lodged an application to add 47km2 of tenure, which was subsequently
granted, expanding the Bergom project's total area to 75km2 (Figure 12).
Figure 12: Interpreted bedrock geology map of the Bergom project area in relation to the Orrvik lithium prospect.
RAGNAR METALS LIMITED
AND CONTROLLED ENTITIES
ABN 12 108 560 069
ANNUAL REPORT 30 JUNE 2024
P a g e | 11
Table 1: Ragnar Metals Swedish Projects Tenement Details
Name
License ID
RAG Ownership
Area Ha
Expiry Date
Gruvhagen nr 1
2023 38
100%
1612.54
23/03/2026
Olserum North
2023 55
100%
2082.61
25/04/2026
Olserum North Nr 2
2023 118
100%
3014.02
17/08/2026
Bergom nr 2
2023 35
100%
2767.31
20/03/2026
Bergom nr 3
2023 116
100%
4773.73
17/08/2026
Hälleberget nr 1
2023 36
100%
2110.45
20/03/2026
Hälleberget nr 2
2023 58
100%
2985.79
25/10/2026
Flugen nr 1
2024 89
100%
3885.98
14/05/2027
Ingelsbo nr 1
2024 92
100%
719.66
27/05/2027
Viken East
2024 93
100%
2275.11
23/05/2027
Viken South
2024 88
100%
3963.56
14/05/2027
Orrvik Nr 110
2020 93
100%
600
3/12/2026
Orrvik Nr 210
2021 23
100%
922.52
16/03/2027
Orrvik Nr 300
2020 83
100%
450.07
5/11/2026
Orrvik Nr 400
2022 77
100%
1636.18
14/11/2025
Total Area
33799.53
Tullsta Nickel Project
On 26 June 2023, the Company announced that it had entered into a conditional sale and purchase
agreement (SPA) to dispose of its wholly owned subsidiary Ragnar Metals Sweden AB to BHP Metals
Exploration Pty Ltd, a subsidiary of BHP Group Limited (ASX: BHP).
The sale included tenements and exploration licenses over the Tullsta nickel project in Sweden, with
A$9,800,000 to be paid by BHP Metals Exploration Pty Ltd on completion. Deferred consideration, in the
form of a 1% Net Smelter Return Royalty (Royalty), will be payable to Ragnar upon commencement of
commercial production. The Purchaser may buy out the Royalty for a further A$10,000,000.
On 18 October 2023, the Company confirmed that the sale had been completed and confirmed receipt of
A$9,800,000. The licenses transferred are listed in Table 2.
Gaddebo Nickel Project
Gaddebo is a small tenure measuring 1km x 1km located 15km SE of the town of Sala. The Gaddebo
project is a historical nickel mine that contains two small shafts and an open pit located ~20km ESE of
Granmuren and produced grades up to 4.9% Ni historically.
This project forms part of the conditional sale and purchase agreement (SPA) entered into with BHP Metals
Exploration Pty Ltd, a subsidiary of BHP Group Limited (ASX: BHP) as announced on 26 June 2023 and
completed on 18 October 2023.
RAGNAR METALS LIMITED
AND CONTROLLED ENTITIES
ABN 12 108 560 069
ANNUAL REPORT 30 JUNE 2024
P a g e | 12
Table 2: Swedish licenses transferred following sale to BHP Metals Exploration Pty Ltd
Name
License ID
RAG
Ownership
Area Ha
Valid From
Valid To
Berga nr 1
2018 48
100%
2181.525
28/03/2018
28/03/2026
Tullsta nr 6
2017 158
100%
2695.025
06/11/2017
06/11/2025
Tullsta nr 7
2019 5
100%
4452.737
25/01/2019
25/01/2024
Tullsta nr 8
2020 45
100%
31.415
07/05/2020
07/05/2025
Tullsta nr 9
2021 75
100%
1598.830
27/10/2021
27/10/2024
Gaddebo Nr 3
2014 91
100%
99.815
30/10/2014
30/10/2026
Total Area
11,059.347
WESTERN AUSTRALIA TENEMENTS
Leeds Project
Table 3: Ragnar Metals Western Australian Tenement Details
Tenement ID
RAG Ownership
Area Ha
Expiry Date
Leeds Project
P15/6017
Loki Exploration Pty Ltd (80%)
198
2/04/2025
P15/6018
Loki Exploration Pty Ltd (80%)
199
2/04/2025
Ragnar has an interest in a highly prospective West Australian gold project strategically located in the
prolific gold mining district of the Norseman-Wiluna Greenstone Belt of Western Australia.
The Leeds Project, in which the Company has an 80% interest, is located on the Norseman-Wiluna
greenstone belt approximately 20km south of the Goldfields St Ives Gold Mining Camp at Kambalda. The
Leeds Project comprises two granted prospecting licenses collectively covering a total area of 3.94km2.
The project occurs in the area hosted by the Black Flag volcano-sedimentary package of rocks that host
the Junction, Argo, and Invincible gold deposits at the St Ives Gold Camp. More importantly, the Leeds
Project is located very close to the regional Speedway Fault and the associated subsidiary structures that
are widely known to be critical for the formation of various deposits at St Ives including invincible and Argo.
The Company’s technical team is considering satellite imagery options to define alterations and potential
new targets on the Leeds Gold Project. This work is currently in progress and ongoing to incorporate all
existing exploration work completed by the Company.
RAGNAR METALS LIMITED
AND CONTROLLED ENTITIES
ABN 12 108 560 069
ANNUAL REPORT 30 JUNE 2024
P a g e | 13
Listing Rule 5.23.2 statement
This report contains information extracted from reports available to view on the Company’s website
www.ragnarmetals.com.au. In relying on the below ASX announcements and pursuant to ASX Listing Rule
5.23.2, the Company confirms it is not aware of any new information or data that materially affects the
information included in the abovementioned announcements or this Annual Report.
In preparing the Annual Report for the period ended 30 June 2024, the Company has relied on the following
ASX announcements:
‘Drill-Ready Targets Defined at Swedish Lithium Project 14 August 2024
‘Settlement of Strategic Investment in KAU’ 17 July 2024
‘Channel Sampling & Scale Potential at Olserum North’ 11 June 2024
‘Business Initiative, Placement and Director Appointment’ 22 May 2024
‘HREE Mineralisation Expansion at Olserum North’ 16 May 2024
‘Geophysics Define HREE Targets over 4.5km Strike’ 20 March 2024
‘Three New Shallow Target Areas Identified at Orrvik’ 21 February 2024
‘Olserum North Rare Earth Project Update – Amendment’ 7 December 2023
‘Assays up to 1.7% Li2O on Sweden Lithium Portfolio’ 9 November 2023
‘Exploration and Project Update of Sweden Lithium Portfolio’ 26 October 2024
‘Completion of Sale of Ragnar Metals Sweden AB to BHP’ 19 October 2023
‘Agreement To Acquire Orrvik Lithium Project, Sweden’ 12 October 2023
‘High Grade REE and Gallium at Gruvhagen’ 16 August 2023
‘Exploration Program to Commence on Lithium Portfolio’ 9 August 2023
‘Potential 1.1kmof Strike of HREE Mineralisation Identified’ 13 July 2023
‘Entitlement Issue to Raise $1.89m’ 26 June 2023
‘Sale of Ragnar Metals Sweden AB to BHP for A$9,800,00’ 26 June 2023
‘Acquisition of Two Rare Earth Projects in Sweden’ 26 June 2023
‘Acquisition of Two Lithium Projects in Sweden’ 26 June 2023
Each of the announcements referred to above included a Competent Person’s Statement as required by
Listing Rule 5.22. The Company was not, as of 27 September 2024 when the Annual Report was released,
aware of any new information or data that materially affects this information regarding the exploration
results.
RAGNAR METALS LIMITED
AND CONTROLLED ENTITIES
ABN 12 108 560 069
ANNUAL REPORT 30 JUNE 2024
P a g e | 14
CORPORATE
The corporate activities during the financial year are outlined as follows:
Sale of Ragnar Metals Sweden AB
On 26 June 2023, the Company announced that it had entered into a conditional sale and purchase
agreement (SPA) to dispose of its wholly owned subsidiary Ragnar Metals Sweden AB to BHP Metals
Exploration Pty Ltd, a subsidiary of BHP Group Limited (ASX: BHP). The sale of subsidiary was treated as
a discontinued operation.
The sale included tenements and exploration licenses over the Tullsta nickel project in Sweden, which were
considered non-current assets held for sale as at 30 June 2023. On 19 October 2023, the Company
confirmed that the sale had been completed and confirmed receipt of A$9,800,000. Deferred consideration,
in the form of a 1% Net Smelter Return Royalty (Royalty), will be payable to Ragnar upon commencement
of commercial production. The Purchaser may buy out the Royalty for a further A$10,000,000.
Strategic Investment in Kaiser Reef (ASX:KAU)
On May 22nd, Ragnar Metals Limited entered into a Strategic Investment agreement with ASX-listed Kaiser
Reef (ASX: KAU). Ragnar agreed to place Kaiser shares at $0.15 per share and will be represented on the
Kaiser board. This strategic investment was entered following a period of due diligence by Ragnar, which
focused on the extension of the decline at Kaiser’s A1 Nova Gold Project.
The terms of Ragnar’s strategic investment are:
$5,010,000 placement in Kaiser at 15c per share (no discount)
Tranche 1 of $930,000 (6,200,000 shares and 3,100,000 unlisted options) to be issued using
Kaiser’s Listing Rule 7.1 capacity
Tranche 2 of $4,080,000 (27,200,000 shares and 13,600,000 options) to be issued subject to
Kaiser shareholder approval at a general meeting
Completion of Tranches 1 and 2 is to take place by 18 July 2024.
1 Option for every 2 Shares issued, with a 22-cent exercise price and expiry date of 31 July 2028 (the
exercise price representing a 47% premium to the last traded Kaiser share price of 15c)
Ragnar will receive a 1.5% NSR on gold produced from the A1 Gold Mine for 5 years commencing
from 1 July 2025
Ragnar has the right to have a nominee representative appointed to the Kaiser board while it holds not less
than 10% of the Kaiser shares on issue.
Subsequent to the end of the period, on 17 July 2024, the Company announced the strategic investment in
Kaiser Reef Limited had been approved by KAU shareholders at KAU’s Extraordinary General Meeting.
Successful Completion of Capital Raise
On 26 June 2023, the Company announced a non-renounceable entitlement issue of 1 fully paid ordinary
share for every 4 shares held by shareholders of the Company at an issue price of $0.02 to raise up to
$1,890,000, together with one option to acquire a Share (Option), each with an exercise price of $0.03 and
an expiry date of 30 September 2024.
On 25 July 2023, the Company released the entitlement issue results of valid acceptances from eligible
shareholders for 51,149,660 shares and 51,149,660 options, representing gross proceeds of
$1,022,993.20. The remaining 43,646,417 shares and 43,646,417 options, representing gross proceeds of
$872,928.34 were issued pursuant to the terms of the Underwriting Agreement.
Funds raised from the Offer are intended to be used for activities on the Company’s Swedish assets, costs
of the divestment of Ragnar Metals Sweden AB and general working capital.
RAGNAR METALS LIMITED
AND CONTROLLED ENTITIES
ABN 12 108 560 069
ANNUAL REPORT 30 JUNE 2024
P a g e | 15
Directors' report
Your directors present their report on Ragnar Metals together with the financial statements of the Group, consisting of
Ragnar Metals Limited (“Ragnar Metals”, “Ragnar” or the “Company” or the “parent entity”) and its controlled entities
(collectively the “Group”), for the financial year ended 30 June 2024.
1.
Directors
The names of Directors in office at any time during the reporting year and up to the date of this report are:
Mr Steven Formica
Non-Executive Chairman
Mr Ariel (Eddie) King
Executive Director
Mr David Wheeler
Non-Executive Director
Directors have been in office since the start of the financial year to the date of this report unless otherwise stated.
2.
Company Secretary
Ms Jessamyn Lyons was appointed Company Secretary on 9 November 2020.
Qualifications
Ms Lyons is a Chartered Secretary, a Fellow of the Governance Institute of Australia,
and holds a Bachelor of Commerce from the University of Western Australia with
majors in Investment Finance, Corporate Finance and Marketing
Experience
Ms Lyons is also a director at Nexia Perth, Company Secretary of Dreadnought
Resources Limited and Echo IQ Limited and Joint Company Secretary of Torque
Metals Limited. Ms Lyons also has 15 years of experience working in the stockbroking
and banking industries and has held various positions with Macquarie Bank, UBS
Investment Bank (London) and more recently Patersons Securities.
3.
Principal Activities
The principal activities of the Group during the financial year were the exploration and evaluation of its projects in
Scandinavia and the exploration and evaluation of its Australian projects.
4.
Dividends Paid or Recommended
There were no dividends paid or recommended during the financial year ended 30 June 2024 (2023: Nil).
5.
Operating and financial review
5.1. Nature of Operations Principal Activities
The company is a mineral resources exploration and development company.
5.2. Operations Review
A detailed review of the Group’s exploration activities is set out in the section titled “Activities Report” in this annual
report.
5.3. Financial Review
a.
Operating results
For the 2024 financial year, the Group delivered a profit after tax of $3,605,732 (2023: Loss $647,279).
The financial statements have been prepared on a going concern basis, which contemplates the continuity of
normal business activity and the realisation of assets and the settlement of liabilities in the ordinary course of
business.
b.
Financial position
The net assets of the Group have increased to $10,900,898 on 30 June 2024 (2023: $4,895,461).
As of 30 June 2024, the Group's cash and cash equivalents were $9,345,254 (2023: $196,050) and the group
had net working capital of $8,900,551 (2023: $118,236). See Note 14.
RAGNAR METALS LIMITED
AND CONTROLLED ENTITIES
ABN 12 108 560 069
ANNUAL REPORT 30 JUNE 2024
P a g e | 16
Directors' report
6.
Significant Changes in State of Affairs
These are outlined in detail in the Mining Interest and Corporate and Administrative Sections of the group’s Activities
Reports and include:
Corporate
On 26 June 2023, the Group announced that it had entered into a conditional sale and purchase agreement (SPA) to
dispose of its wholly owned subsidiary Ragnar Metals Sweden AB to BHP Metals Exploration Pty Ltd, a subsidiary of
BHP Group Limited (ASX: BHP) for $9,800,000.
On 18 October 2023, the Company confirmed that the sale had been completed and confirmed receipt of A$9,800,000.
Deferred consideration, in the form of a 1% Net Smelter Return Royalty (Royalty), will be payable to Ragnar upon
commencement of commercial production. The Purchaser may buy out the Royalty for a further A$10,000,000.
Mining
As disclosed in the Mining Interests section of the Activities Report.
7.
Events Subsequent to the Reporting Date
Subsequent to 30 June 2024, the following significant events were undertaken by the Group:
On 17 July 2024, the Company announced that its strategic investment in Kaiser Reef Limited (ASX: KAU)
had been approved, with KAU shareholders voting in favour of the two-tranche placement at their
Extraordinary General Meeting (10/7/24). After the final settlement of the strategic placement, Ragnar
became the largest shareholder in KAU, with a 16.3% shareholding.
Final payment to Pallas Metals AB in relation the acquisition of exploration licences in Sweden (announced
on 12 October 2023).
On 27 September 2024 the Company issued 5,012 shares following exercise of options at $0.03.
8.
Future Developments, Prospects and Business Strategies
Likely developments, future prospects, and business strategies of the operations of the Group and the expected results
of those operations have not been included in this report as the Directors believe that the inclusion of such information
would be likely to result in unreasonable prejudice to the Group.
9.
Information relating to the directors
Mr Steve Formica
Non-executive Chairman (Appointed 2 September 2019)
Experience
Mr Formica has been a successful businessman and operations manager for
over 35 years in several privately held business ventures across multiple
industry sectors.
Interest in Shares and
Options
20,000,000 ordinary shares, 4,000,000 performance rights and options to
acquire a further 12,422,621 ordinary shares in Ragnar Metals Limited.
Directorships held in other
listed entities in the past three
years
Mr Formica is currently the Non-Executive Chairman of Albion Resources
Limited (ASX:ALB) and Kaiser Reef Ltd (ASX:KAU), Non-Executive Director of
EchoIQ (ASX: EIQ) ), Bindi Metals Ltd (ASX:BIM) and Great Northern Minerals
Limited (ASX:GNM). He was a former director of Jade Gas Holdings Limited
(ASX:JGH), Bowen Coking Coal Ltd (ASX: BCB), Orminex Ltd (ASX: ONX) and
Lindian Resources Limited (ASX: LIN).
RAGNAR METALS LIMITED
AND CONTROLLED ENTITIES
ABN 12 108 560 069
ANNUAL REPORT 30 JUNE 2024
P a g e | 17
Mr Ariel Eddie King
Executive Director (Appointed 1 March 2021) previously Non-executive Director
(Appointed 10 February 2017)
Qualifications
Bachelor of Commerce and Bachelor of Engineering
Experience
Mr King holds a Bachelor of Commerce (Investment and Corporate Finance)
and a Bachelor of Engineering (Mining Systems) from the University of Western
Australia. Mr King is a director of CPS Capital Group, one of Australia’s most
active stockbroking and corporate advisory firms specialising in small to
medium-high-growth companies. Mr King’s previous experience includes being
a manager for an investment banking firm, where he specialised in the technical
and financial analysis of bulk commodity and other resource projects for
investment and acquisition.
Interest in Shares and
Options
4,750,000 ordinary shares, 4,000,000 performance rights and options to
acquire a further 9,950,000 ordinary shares in Ragnar Metals Limited.
Directorships held in other
listed entities in the past three
years
Mr King is currently on the board of Bindi Metals Limited (ASX:BIM), Great
Northern Minerals Limited (ASX:GNM), M3 Mining Limited (ASX:M3M), Noble
Helium Limited (ASX:NHE), Eastern Resources Ltd (ASX:EFE), Queensland
Pacific Metals Ltd (ASX:QPM), and Rubix Resources Limited (ASX: RB6). He
was a former director of Lindian Resources Ltd (ASX:LIN), Bowen Coking Coal
Ltd (ASX:BCB), Axxis Technology Group Ltd (ASX:AYG) (renamed to ECS
Botanics Ltd (ASX:ECS), Six Sigma Metals (ASX:SI6), and Sultan Resources
Ltd (ASX:SLZ).
Mr David Wheeler
Non-executive Director (Appointed 4 December 2017)
Qualifications
Fellow of the Australian Institute of Company Directors
Experience
Mr Wheeler has more than 30 years of Executive Management Directorship
and Corporate Advisory experience. He is a foundation Director and Partner of
Pathways Corporate, a boutique corporate advisory firm that undertakes
assignments on behalf of family offices, private clients and ASX listed
companies. Mr Wheeler has successfully engaged in business projects in the
USA, UK, Europe, NZ, China, Malaysia, Singapore and the Middle East. Mr
Wheeler is a Fellow of the Australian Institute of Company Directors and serves
on public and private company boards, currently holding a number of
Directorships and Advisory positions in Australian ASX listed companies.
Interest in Shares and
Options
1,250,000 ordinary shares, 1,500,000 performance rights and options to
acquire a further 4,750,000 ordinary shares in Ragnar Metals Limited.
Directorships held in other
listed entities in the past three
years
Mr Wheeler also acts as a director of, Avira Resources Limited (ASX: AVW),
Earths Energy Limited (ASX:EE1) (formally Cradle Resources Ltd (ASX:CXX)),
Cycliq Group Ltd (ASX:CYQ), MOAB Minerals Limited (ASX: MOM) (formally
Delecta Limited (ASX:DLC)), OZZ Resources Ltd (ASX:OZZ), Protean Energy
Ltd (ASX: POW), PVW Resources Limited (ASX: PVW) and Invex Therapeutics
Ltd (ASX: IXC). He was a former director of Athena Resources Limited
(ASX:AHN), Blaze Minerals Limited (ASX: BLZ), Eneabba Gas Ltd (ASX: ENB),
Health House International (ASX: HHI) and Syntonic Limited (ASX: SYT)
Tyranna Resources Ltd (ASX: TYX) and Wellfully Ltd (ASX:WFL).
RAGNAR METALS LIMITED
AND CONTROLLED ENTITIES
ABN 12 108 560 069
ANNUAL REPORT 30 JUNE 2024
P a g e | 18
10. Meetings of directors and committees
During the financial year, four meetings of Directors were held. Attendances by each Director during the year are
stated in the following table.
DIRECTORS'
MEETINGS
AUDIT
COMMITTEE
NOMINATION
COMMITTEE
REMUNERATION
COMMITTEE
FINANCE AND
OPERATIONS
COMMITTEE
Number
eligible to
attend
Number
Attended
Number
eligible to
attend
Number
Attended
Number
eligible to
attend
Number
Attended
Number
eligible to
attend
Number
Attended
Number
eligible to
attend
Number
Attended
Steve Formica
4
4
At the date of this report, the Remuneration, Audit, Nomination, and Finance and Operations
Committees comprise the full Board of Directors. The Directors believe the Company is not
currently of a size nor are its affairs of such complexity as to warrant the establishment of these
separate committees. Accordingly, all matters capable of delegation to such committees are
considered by the full Board of Directors.
Eddie King
4
4
David Wheeler
4
4
11. Indemnifying Officers or Auditor
During or since the end of the financial year, the Company has given an indemnity or entered into an agreement to
indemnify, or has paid or agreed to pay insurance premiums as follows:
The Company has entered into agreements to indemnify all Directors against any liability arising from a claim
brought by a third party against the Company and to provide a right of access to company records. The agreement
provides for the company to pay all damages and costs which may be awarded against the Directors.
The Company has paid premiums to insure each of the directors against liabilities for costs and expenses incurred
by them in defending any legal proceedings arising out of their conduct while acting in the capacity of director of the
company, other than conduct involving a wilful breach of duty in relation to the Company. The amount of the
premium in 2024 was $42,858 (2023: $35,000).
No indemnity has been paid in respect of auditors.
12. Options
12.1. Unissued shares under option
At the date of this report, the un-issued ordinary shares of Ragnar Metals Limited under option (listed and unlisted)
are as follows:
Grant Date
Date of Expiry
Exercise Price
Number under
Option
5 Nov 2021
4 Nov 2024
$0.0564
10,000,000
11 Sep 2023
30 Jun 2025
$0.03
16,500,000
15 Nov 2023
29 Nov 2027
$0.03
13,000,000
27 July 2023 1
30 Sep 2024
$0.03
94,796,077
134,296,077
(1) Listed Options – all other options are unlisted
No person entitled to exercise the option has or has any right by virtue of the option, to participate in any share
issue of any other body corporate.
12.2. Shares issued on exercise of options
No ordinary shares were issued by the Company as a result of the exercise of options during year. Subsequent
to the end of the financial year 5,012 ordinary shares have been issued as a result of exercise of options granted
27 July 2023 at an exercise price of $0.03.
13. Environmental Regulations
The Group's operations are subject to environmental regulations in the jurisdictions it operates in. In respect of the
current year under review, the Directors are not aware of any particular or significant environmental issues which have
been raised in relation to the Group’s operations.
RAGNAR METALS LIMITED
AND CONTROLLED ENTITIES
ABN 12 108 560 069
ANNUAL REPORT 30 JUNE 2024
P a g e | 19
14. Non-audit services
During the year, Hall Chadwick, the Company’s auditor, did not perform any non-audit services to the Company (2023:
None). Details of remuneration paid to the auditor can be found within the financial statements at Note 5, Auditor's
Remuneration.
In the event that non-audit services are provided by Hall Chadwick, the Board has established certain procedures to
ensure that the provision of non-audit services are compatible with, and do not compromise, the auditor independence
requirements of the Corporations Act 2001. These procedures include:
non-audit services will be subject to the corporate governance procedures adopted by the Company and will be
reviewed by the Board to ensure they do not impact the integrity and objectivity of the auditor; and
ensuring non-audit services do not involve reviewing or auditing the auditor's own work, acting in a management
or decision-making capacity for the Company, acting as an advocate for the Company or jointly sharing risks and
rewards.
15. Proceedings on behalf of company
No person has applied for leave of Court to bring proceedings on behalf of the Company or intervene in any proceedings
to which the Company is a party for the purpose of taking responsibility on behalf of the Company for all or any part of
those proceedings.
The Company was not a party to any such proceedings during the year.
16. Auditor's independence declaration
The lead auditor's independence declaration under section 307C of the Corporations Act 2001 (Cth) for the year ended
30 June 2024 has been received and can be found on page 23 of the annual report.
17. Remuneration report (audited)
The information in this remuneration report has been audited as required by s308(3C) of the Corporations Act 2001.
17.1. Key management personnel (KMP)
KMP have authority and responsibility for planning, directing and controlling the activities of the Group. KMP comprise
the directors of the Company and key executive personnel:
Mr Steve Formica: Non-Executive Chairman
Mr Ariel (Eddie) King: Executive Director
Mr David Wheeler: Non-Executive Director
17.2. Remuneration Policy
The remuneration policy of Ragnar Metals Limited has been designed to align director and management objectives
with shareholder and business objectives by providing a fixed remuneration component, and offering specific long-term
incentives based on key performance areas affecting the Group’s financial results. The Board of Ragnar Metals Limited
believes the remuneration policy to be appropriate and effective in its ability to attract and retain the best management
and directors to run and manage the Group, as well as create goal congruence between directors, executives and
shareholders.
The Board’s policy for determining the nature and amount of remuneration for Board members and senior executives
of the Group is as follows:
The remuneration policy, setting the terms and conditions for the executive directors and other senior
executives, was developed by the Remuneration Committee and approved by the Board. All executives
receive a base salary (which is based on factors such as length of service and experience), superannuation,
options and performance incentives. The Remuneration Committee reviews executive packages annually by
reference to the Group’s performance, executive performance, and comparable information from industry
sectors and other listed companies in similar industries.
Executives are also entitled to participate in the employee share and option arrangements.
All remuneration paid to Directors and executives is valued at the cost to the Company and expensed. Options
given to Directors and employees are valued using the Black-Scholes methodology.
RAGNAR METALS LIMITED
AND CONTROLLED ENTITIES
ABN 12 108 560 069
ANNUAL REPORT 30 JUNE 2024
P a g e | 20
The Board’s policy is to remunerate Non-Executive Directors at the lower end of market rates for comparable
companies for time, commitment, and responsibilities. The Non-Executive Directors have been provided with
options that are meant to incentivise the Non-Executive Directors. The Remuneration Committee determines
payments to the Non-Executive Directors and reviews their remuneration annually based on market practice,
duties, and accountability. Independent external advice is sought when required. The maximum aggregate
amount of fees that can be paid to Non-Executive Directors is subject to approval by shareholders at the
Annual General Meeting. Fees for Non-Executive Directors are not linked to the performance of the Group.
However, to align Directors’ interests with shareholder interests, the Directors are encouraged to hold shares
in the Company.
The remuneration policy has been tailored to increase the direct positive relationship between shareholders’ investment
objectives and directors’ and executives’ performance. Currently, this is facilitated through the issue of options to the
directors and executives to encourage the alignment of personal and shareholder interests. The Company believes
this policy will be effective in increasing shareholder wealth.
17.3. Remuneration Details for the Year Ended 30 June 2024
There were no cash bonuses paid during the year and there are no set performance criteria for achieving cash bonuses.
The term “Key Management Personnel” refers to those persons having authority and responsibility for planning,
directing and controlling the activities of the group directly or indirectly including any Director (whether executive or
otherwise) of the Group.
A Consultancy agreement was signed with Ariel (Eddie) King to manage the business of the company in 2021.
At the AGM held on 15 November 2023, 98.46% of the votes received supported the adoption of the remuneration
report for the year ended 30 June 2023. The Company did not receive any specific feedback at the AGM or throughout
the year regarding its remuneration practices.
17.4. Directors’ and KMP Remuneration
The following table details the components of remuneration for each member of the KMP of the Group:
2024
Short-term
benefits
Post-
employment
benefits
Long-term
benefits
Termination
benefits
Equity-
settled
share-
based
payments
Total
% Share
based
payments
Salary, fees
and leave
Profit share
and
bonuses
Other
Super
Other
Options
$
$
$
$
$
$
$
$
%
Steve Formica
176,091
-
-
20,240
-
-
90,479
286,810
31.55%
Eddie King
120,000
-
-
-
-
-
90,479
210,479
42.99%
David Wheeler
36,000
-
-
-
-
-
49,502
85,502
57.90%
332,091
-
-
20,240
-
-
230,460
582,791
-
2023
Short-term
benefits
Post-
employment
benefits
Long-term
benefits
Termination
benefits
Equity-
settled
share-
based
payments
Total
% Share
based
payments
Salary, fees
and leave
Profit share
and
bonuses
Other
Super
Other
Options
$
$
$
$
$
$
$
$
%
Steve Formica
96,000
-
-
10,080
-
-
14,354
120,434
11.92%
Eddie King
120,000
-
-
-
-
-
14,354
134,354
10.68%
David Wheeler
36,000
-
-
-
-
-
5,383
41,383
13.01%
252,000
-
-
10,080
-
-
34,091
296,171
-
RAGNAR METALS LIMITED
AND CONTROLLED ENTITIES
ABN 12 108 560 069
ANNUAL REPORT 30 JUNE 2024
P a g e | 21
17.5. Share-based compensation
a.
Director share options
On 15 November 2023, shareholders approved the issue of 13,000,000 unlisted options to Directors (5,000,000
to Eddie King, 5,000,000 to Steve Formica and 3,000,000 to David Wheeler). The unlisted options have an
exercise price of $0.03 and expire on 29 November 2027. The unlisted options were valued using the Black
Scholes model based on the following assumptions and a volatility of 87%.
Class
Number
granted
Grant date
Exercise
price
Risk-free
interest
rate
Expiry date
Fair value
at grant
date
Total fair
value
% vested
Class A
13,000,000
15 Nov 2023
$0.03
4.17%
29 Nov 2027
$0.014
$179,944
100%
b.
Director ordinary shares
There were no shares granted as remuneration to Directors during the year.
c.
Director performance rights
There were no performance rights granted as remuneration to directors during the year
d.
Performance Rights on issue as Remuneration
Outstanding performance rights granted as remuneration to directors in previous financial years
2024
Performance
Rights
Issued
No.
Grant Date
Fair Value
per right
$
Fair Value
$
Expiry Date
Steve Formica
2,000,000
26/10/2022
0.01269
25,380
21/11/2025
Steve Formica
2,000,000
26/10/2022
0.01383
27,660
21/11/2025
Eddie King
2,000,000
26/10/2022
0.01269
25,380
21/11/2025
Eddie King
2,000,000
26/10/2022
0.01383
27,660
21/11/2025
David Wheeler
750,000
26/10/2022
0.01269
9,518
21/11/2025
David Wheeler
750,000
26/10/2022
0.01383
10,373
21/11/2025
All options have been issued to nominees of the directors.
17.6. KMP equity holdings
a.
Movement in shareholdings of each KMP by number of shares
2024
Balance at
start of year
Consolidation of
shares
Received
as
compensation
Other changes
during the year (i)
Balance at
end of year
Steve Formica
13,690,484
-
-
6,309,516
20,000,000
Eddie King
3,800,000
-
-
950,000
4,750,000
David Wheeler
1,000,000
-
-
250,000
1,250,000
18,490,484
-
-
7,509,516
26,000,000
(i)
Participation in the non-renounceable entitlement issue as announced to the market on 26 June 2023. The Entitlement
Issue offered Eligible Shareholders registered on the Record Date the ability to subscribe for Shares and Options on the
basis of one (1) Share for every four (4) Shares held at an issue price of $0.02 per Share, together with one (1) Option
for every one (1) Share issued.
(ii) During the period Steve Formica purchased 2,886,895 ordinary shares on-market.
RAGNAR METALS LIMITED
AND CONTROLLED ENTITIES
ABN 12 108 560 069
ANNUAL REPORT 30 JUNE 2024
P a g e | 22
b.
Movement in option holdings of each KMP by number of options.
2024
Balance at
Start of year
Granted as
Remuneration
During the
year (i)
Other
changes
during the
year (ii)
Lapsed
During
year
Balance at
end of year
Vested and
Exercisable
Not Vested
Steve Formica
4,000,000
5,000,000
3,422,621
-
12,422,621
-
12,422,621
Eddie King
4,000,000
5,000,000
950,000
-
9,950,000
-
9,950,000
David Wheeler
1,500,000
3,000,000
250,000
-
4,750,000
-
4,750,000
9,500,000
13,000,000
4,622,621
-
27,122,621
-
27,122,621
(i)
Following shareholder approval on 15 November 2023, 13,000,000 unlisted options were issued to Directors. Options
have an exercise price of $0.03 and expire on 29 November 2027.
(ii)
Participation in the non-renounceable entitlement issue as announced to the market on 26 June 2023. The Entitlement
Issue offered Eligible Shareholders registered on the Record Date the ability to subscribe for Shares and Options on the
basis of one (1) Share for every four (4) Shares held at an issue price of $0.02 per Share, together with one (1) Option
for every one (1) Share issued.
c.
Movement in performance rights holdings of each KMP by number of performance rights
2024
Balance at
Start of year
Granted as
Remuneration
During the
year
Lapsed During
year
Balance at end
of year
Vested and
Exercisable
Not Vested
Steve Formica
4,000,000
-
-
4,000,000
-
4,000,000
Eddie King
4,000,000
-
-
4,000,000
-
4,000,000
David Wheeler
1,500,000
-
-
1,500,000
-
1,500,000
9,500,000
-
-
9,500,000
-
9,500,000
17.7. Other transactions with KMP and their related parties
No other transactions occurred during the year between KMP and their related parties.
END OF REMUNERATION REPORT
This Report of the Directors, incorporating the Remuneration Report, is signed in accordance with a resolution of the
Board of Directors made pursuant to s.298(2) of the Corporation Act 2001.
STEVE FORMICA
Non-executive Chairman
Dated 27 September 2024
To The Board of Directors
AUDITOR’S INDEPENDENCE DECLARATION UNDER SECTION 307C OF THE
CORPORATIONS ACT 2001
As lead audit director for the audit of the financial statements of Ragnar Metals Limited for the financial
year ended 30 June 2024, I declare that to the best of my knowledge and belief, there have been no
contraventions of:
•
the auditor independence requirements of the Corporations Act 2001 in relation to the audit;
and
•
any applicable code of professional conduct in relation to the audit.
Yours faithfully,
HALL CHADWICK WA AUDIT PTY LTD
D M BELL CA
Director
Dated this 27th day of September 2024
Perth, Western Australia
RAGNAR METALS LIMITED
AND CONTROLLED ENTITIES
ABN 12 108 560 069
ANNUAL REPORT 30 JUNE 2024
P a g e | 24
Consolidated statement of profit or loss and other comprehensive income
For the year ended 30 June 2024
Note
2024
$
2023
$
Continuing operations
Income
3
335,201
5,654
335,201
5,654
Share Based Payments
19
(436,969)
(83,165)
Public relations and advertising
(107,987)
(66,173)
Registry and ASX fees
(72,336)
(60,299)
Directors Fees
4
(112,345)
(58,376)
Accounting and audit fees
(48,738)
(42,490)
Legal and professional fees
(318,081)
(36,515)
Insurance
(46,779)
(24,001)
Contractors and consultants
(129,934)
(88,181)
Finance Costs
(1,482)
(120)
Foreign exchange gain/(loss)
79,210
(273)
Exploration expenses written off
4,11
(1,470,656)
-
Other expenses
(97,623)
(1,757)
Loss before tax
(2,428,519)
(455,696)
Income tax benefit / (expense)
6
-
-
Loss for the period from continuing operations after tax
(2,428,519)
(455,696)
Profit / (loss) after income tax expense from discontinued operations
26
6,034,251
(191,583)
Net (loss) / profit for the year
3,605,732
(647,279)
Other comprehensive income, net of income tax
Items that may be reclassified subsequently to profit or loss
Exchange differences on translation of foreign operations
(480)
44,146
Exchange differences on translation of discontinued operations
26
76,099
(4,681)
Other comprehensive income for the year, net of income tax
75,619
39,465
Total comprehensive income attributable to members of the parent
entity
3,681,351
(607,814)
Earnings per share:
₵
₵
Basic loss per share (cents per share) – continuing operations
7
(0.52)
(0.12)
Basic profit / (loss) per share (cents per share) – continuing and
discontinued operations
7
0.78
(0.17)
Diluted profit / (loss) per share (cents per share) – continuing and
discontinued operations
7
0.76
(0.17)
The consolidated statement of profit or loss and other comprehensive income is to be read in conjunction with the accompanying
notes.
RAGNAR METALS LIMITED
AND CONTROLLED ENTITIES
ABN 12 108 560 069
ANNUAL REPORT 30 JUNE 2024
P a g e | 25
Consolidated statement of financial position
as at 30 June 2024
Note
2024
$
2023
$
Current assets
Cash and cash equivalents
8
9,345,254
196,050
Trade and other receivables
9
166,109
38,262
Non-current assets classified as held for sale
26
-
1,075,088
Total current assets
9,511,363
1,309,400
Non-current assets
Plant and equipment
10
80,294
-
Exploration and evaluation assets
11
1,920,053
3,702,137
Total non-current assets
2,000,347
3,702,137
Total assets
11,511,710
5,011,537
Current liabilities
Trade and other payables
12
610,812
116,076
Total current liabilities
610,812
116,076
Total liabilities
610,812
116,076
Net assets
10,900,898
4,895,461
Equity
Issued capital
13a
35,737,002
33,850,015
Reserves
15
903,991
437,451
Accumulated losses
(25,740,095)
(29,392,005)
Total equity
10,900,898
4,895,461
The consolidated statement of financial position is to be read in conjunction with the accompanying notes.
RAGNAR METALS LIMITED
AND CONTROLLED ENTITIES
ABN 12 108 560 069
ANNUAL REPORT 30 JUNE 2024
P a g e | 26
Consolidated statement of changes in equity
for the year ended 30 June 2024
Note
Issued
Capital
$
Accumulated
Losses
$
Share-based
Payments
Reserve
$
Foreign
Exchange
Translation
Reserve
$
Total
$
Balance at 1 July 2023
33,850,015
(29,392,005)
444,328
(6,877)
4,895,461
Profit for the year
-
3,605,732
-
-
3,605,732
Other comprehensive income for the
year
-
-
75,619
75,619
Total comprehensive income
-
3,605,732
-
75,619
3,681,351
Transaction with owners, directly in
equity
Shares issued during the year
13a
1,895,922
-
-
-
1,895,922
Transaction costs
(8,935)
-
-
-
(8,935)
Transfer of expired options to
accumulated losses
46,178
(46,178)
-
Proceeds from issue of options
-
-
130
-
130
Share-based payments expense
13b
-
-
436,969
-
436,969
Balance at 30 June 2024
35,737,002
(25,740,095)
835,249
68,742
10,900,898
Balance at 1 July 2022
33,850,015
(31,175,590)
2,792,027
(46,342)
5,420,110
Loss for the year
-
(647,279)
-
-
(647,279)
Other comprehensive income for the
year
-
-
-
39,465
39,465
Total comprehensive income
-
(647,279)
-
39,465
(607,814)
Transaction with owners, directly in
equity
Transfer of expired options to
accumulated losses
-
2,430,864
(2,430,864)
-
-
Share-based payments expense
13b
-
-
83,165
-
83,165
Balance at 30 June 2023
33,850,015
(29,392,005)
444,328
(6,877)
4,895,461
The consolidated statement of changes in equity is to be read in conjunction with the accompanying notes.
RAGNAR METALS LIMITED
AND CONTROLLED ENTITIES
ABN 12 108 560 069
ANNUAL REPORT 30 JUNE 2024
P a g e | 27
Consolidated statement of cash flows
for the year ended 30 June 2024
Note
2024
$
2023
$
Cash flows from operating activities
Payments to suppliers and employees
(913,905)
(447,664)
Finance cost
(1,278)
(120)
Interest received
237,145
5,265
GST Received
-
91,295
VAT Received – discontinued operations
-
282,095
Payments to suppliers and employees - discontinued operations
26
(1,216)
(13,811)
Net cash used in operating activities
8c.i
(679,254)
(82,940)
Cash flows from investing activities
Payments for property, plant and equipment
(96,357)
-
Payments for exploration expenditure
(1,460,654)
(501,260)
Payments for exploration expenditure - discontinued operations
-
(1,290,732)
Proceeds from sale of entity
9,494,416
-
Payments for investments
-
(7,924)
Net cash generated from / (used in) investing activities
7,937,405
(1,799,916)
Cash flows from financing activities
Proceeds from issue of equity securities
1,895,921
-
Transaction costs related to issue of securities
(8,934)
-
Net cash provided by financing activities
1,886,987
-
Net increase / (decrease) in cash held
9,145,138
(1,882,856)
Cash and cash equivalents at the beginning of the year
196,050
2,082,661
Effect of exchange rates on cash holdings in foreign currencies
26
4,066
(3,756)
Cash and cash equivalents at the end of the year
8a
9,345,254
196,050
The consolidated statement of cash flows is to be read in conjunction with the accompanying notes.
RAGNAR METALS LIMITED
AND CONTROLLED ENTITIES
ABN 12 108 560 069
ANNUAL REPORT 30 JUNE 2024
P a g e | 28
Notes to the consolidated financial statements
for the year ended 30 June 2024
Note 1
Statement of material accounting policies
These are the consolidated financial statements and notes of Ragnar Metals Limited (Ragnar Metals or the Company)
and controlled entities (collectively the Group). Ragnar Metals is a company limited by shares, domiciled and
incorporated in Australia.
The separate financial statements of Ragnar Metals, as the parent entity, have not been presented with this financial
report as permitted by the Corporations Act 2001 (Cth).
The financial statements were authorised for issue on 27 September 2024 by the directors of the Company.
a. Basis of preparation
The financial statements comprise the consolidated financial statements of the Group. For the purposes of preparing
the consolidated financial statements, the Company is a for-profit entity. Material accounting policies adopted in the
preparation of these financial statements are presented below. They have been consistently applied unless otherwise
stated.
The financial reports have been prepared on an accruals basis and is based on historic costs modified by the
revaluation of financial assets, financial liabilities and selected non-current assets for which the fair value basis of
accounting has been applied.
The presentation currency of the company is Australian Dollars (AUD).
i. Statement of compliance
These financial statements are general purpose financial statements which have been prepared in accordance with
Australian Accounting Standards and Interpretations of the Australian Accounting Standards Board (AAS Board)
and International Financial Reporting Standards (IFRS) as issued by the International Accounting Standards Board
(IASB), and the Corporations Act 2001 (Cth).
Australian Accounting Standards (AASBs) set out accounting policies that the AAS Board has concluded would
result in a financial report containing relevant and reliable information about transactions, events and conditions to
which they apply. Compliance with AASBs ensures that the financial statements and notes also comply with IFRS
as issued by the IASB.
ii. Use of estimates and judgments
The preparation of consolidated financial statements requires management to make judgements, estimates and
assumptions that affect the application of policies and reported amounts of assets and liabilities, income and
expenses. These estimates and associated assumptions are based on historical experience and various factors
that are believed to be reasonable under the circumstances, the results of which form the basis of making the
judgements about carrying values of assets and liabilities that are not readily apparent from other sources. Actual
results may differ from these estimates.
Estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are
recognised in the period in which the estimate is revised and in any future periods affected.
Judgements made by management in the application of AASBs that have significant effect on the consolidated
financial statements and estimates with a significant risk of material adjustment in the next year are discussed in
note 1f.
iii. Comparative figures
Where required by AASBs comparative figures have been adjusted to conform with changes in presentation for the
current financial year.
Where the Group retrospectively applies an accounting policy, makes a retrospective restatement or reclassifies
items in its financial statements, an additional (third) statement of financial position as at the beginning of the
preceding period in addition to the minimum comparative financial statements is presented.
b. Accounting Policies
The Group has consistently applied the following accounting policies to all periods presented in the financial statements.
The Group has considered the implications of new and amended Accounting Standards applicable for annual reporting
periods but determined that their application to the financial statements is either not relevant or not material.
RAGNAR METALS LIMITED
AND CONTROLLED ENTITIES
ABN 12 108 560 069
ANNUAL REPORT 30 JUNE 2024
P a g e | 29
Notes to the consolidated financial statements
for the year ended 30 June 2024
Note 1
Statement of material accounting policies
c. Basis of consolidation
As at reporting date, the assets and liabilities of all controlled entities have been incorporated into the consolidated
financial statements as well as their results for the year then ended. Where controlled entities have entered (left) the
Consolidated Group during the year, their operating results have been included (excluded) from the date control was
obtained (ceased).
d. Foreign currency transactions and balances
i. 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 and presentation currency.
ii. Transaction 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 the 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 gain or loss is directly recognised in other comprehensive income,
otherwise the exchange difference is recognised in the profit or loss.
iii. Group companies and foreign operations
The financial results and position of foreign operations whose functional currency is different from the Group's
presentation currency are translated as follows:
assets and liabilities are translated at year-end exchange rates prevailing at that reporting date;
income and expenses are translated at average exchange rates for the period; and
retained earnings are translated at the exchange rates prevailing at the date of the transaction.
Exchange differences arising on translation of foreign operations are transferred directly to the Group's foreign
currency translation reserve in the statement of financial position. These differences are recognised in the profit or
loss in the period in which the operation is disposed.
e. Revenue recognition
The Group recognises revenue as follows:
i. Interest
Interest revenue is recognised as interest accrues using the effective interest method. This is a method of
calculating the amortised cost of a financial asset and allocating the interest income over the relevant period using
the effective interest rate, which is the rate that exactly discounts estimated future cash receipts through the
expected life of the financial asset to the net carrying amount of the financial asset.
ii. Other revenue
Other revenue is recognised when it is received or when the right to receive payment is established. Revenue in
relation to joint venture agreements is recognised over the period the services are rendered.
f. Critical Accounting Estimates and Judgments
The Directors evaluate estimates and judgments incorporated into the financial report 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.
RAGNAR METALS LIMITED
AND CONTROLLED ENTITIES
ABN 12 108 560 069
ANNUAL REPORT 30 JUNE 2024
P a g e | 30
Notes to the consolidated financial statements
for the year ended 30 June 2024
Note 1
Statement of material accounting policies
i. Key Judgments – Exploration and evaluation expenditure
Exploration and evaluation costs are carried forward where right of tenure of the area of interest is current. These
costs are carried forward in respect of an area that has not at reporting date reached a stage that permits reasonable
assessment of the existence of economically recoverable reserves. Exploration and evaluation assets are initially
measured at cost and include acquisition of rights to explore, studies, exploratory drilling, trenching and sampling
and associated activities and an allocation of depreciation and amortised assets used in exploration and evaluation
activities. General and administrative costs are only included in the measurement of exploration and evaluation
costs where they are related directly to operational activities in a particular area of interest. The carrying value of
capitalised expenditure at reporting date is $1,920,053 (2023: $3,407,232).
ii. Key Judgments – Environmental Issues
Balances disclosed in the financial statements and notes thereto are not adjusted for any pending or enacted
environmental legislation, and the directors understanding thereof. At the current stage of the Group’s development
and its current environmental impact, the directors believe such treatment is reasonable and appropriate.
iii. Key Estimate – Taxation
Balances disclosed in the financial statements and the notes thereto, related to taxation, are based on the best
estimates of directors. These estimates take into account both the financial performance and position of the
company as they pertain to current income taxation legislation, and the directors understanding thereof. No
adjustment has been made for pending or future taxation legislation. The current income tax position represents
that directors' best estimate, pending an assessment by tax authorities in relevant jurisdictions. Refer Note 6 Income
Tax.
iv. Key judgements and estimates – Share-based payments
The Group measures the cost of equity-settled share-based payments to employees and others providing similar
services are measured at the fair value of the equity instruments at the grant date. The fair value is determined by
an internal valuation using a Black-Scholes option pricing model, using the assumptions detailed in note 19 Share-
based payments.
v. Key judgements and estimates – Impairment
Exploration and evaluation assets are assessed for impairment when facts and circumstances suggest that the
carrying amount of an exploration and evaluation asset may exceed its recoverable amount at the reporting date.
The recoverable amount of the exploration and evaluation asset is estimated to determine the extent of the
impairment loss (if any). Accumulated costs in relation to an abandoned area are written off in full against profit in
the year in which the decision to abandon the area is made.
g. New, revised or amending Accounting Standards and Interpretations
In the year ended 30 June 2024, the Directors have reviewed all of the new and revised Standards and Interpretations
issued by the AASB that are relevant to the Company and effective for the current annual reporting period. As a result
of this review, the Directors have determined that there is no material impact of the new and revised Standards and
Interpretations on the Company and, therefore, no material change is necessary to the Company’s accounting policies.
h. New Accounting Standards and Interpretations not yet mandatory or early adopted
Australian Accounting Standards and Interpretations that have recently been issued or amended but are not yet
mandatory, have not been early adopted by the consolidated entity for the annual reporting period ended 30 June 2024.
The group is currently assessing the impact of these new or amended Accounting Standards and Interpretations, the
impact of which is not yet known.
i.
Other standards not yet applicable
The Directors have also reviewed all of the new and revised Standards and Interpretations in issue not yet adopted for
the year ended 30 June 2024. As a result of this review the Directors have determined that there is no material impact
of the Standards and Interpretations in issue not yet adopted on the Group and, therefore, no change is necessary to
Group accounting policies.
RAGNAR METALS LIMITED
AND CONTROLLED ENTITIES
ABN 12 108 560 069
ANNUAL REPORT 30 JUNE 2024
P a g e | 31
Notes to the consolidated financial statements
for the year ended 30 June 2024
Note 2
Company details
The registered office and principal place of business of the Company is:
Address: Level 3
88 William Street
PERTH WA 6000
Postal:
GPO Box 2570
PERTH WA 6001
Telephone:
+61 (08) 9463 2463
Facsimile: +61 (08) 9463 2499
Note 3
Income
2024
$
2023
$
a. Income
Interest income
322,825
5,265
322,825
5,265
b. Other Income
Other income
12,376
389
12,376
389
Total Income
335,201
5,654
Note 4
Profit / (loss) before income tax
2024
$
2023
$
The following significant revenue and expense items are relevant in
explaining the financial performance:
Employment costs:
Directors’ fees
112,345
58,376
Employment costs:
Impairment
1,470,656
-
Note 5
Auditor's remuneration
2024
$
2023
$
Remuneration of the auditor of Ragnar Metals, Hall Chadwick WA Audit
Pty Ltd:
Auditing or reviewing the financial reports:
42,088
54,845
Taxation services provided by a related practice of the Auditor
-
-
42,088
54,845
RAGNAR METALS LIMITED
AND CONTROLLED ENTITIES
ABN 12 108 560 069
ANNUAL REPORT 30 JUNE 2024
P a g e | 32
Notes to the consolidated financial statements
for the year ended 30 June 2024
Note 6
Income tax
Note
2024
$
2023
$
a. Income tax expense / (benefit)
Current tax
-
-
Deferred tax
-
-
-
-
Deferred income tax expense included in income tax expense
comprises:
Increase / (decrease) in deferred tax assets
6c
-
-
(Increase) / decrease in deferred tax liabilities
6d
-
-
-
-
b. Reconciliation of income tax expense to prima facie tax payable
The prima facie tax payable on loss from ordinary activities before
income tax is reconciled to the income tax expense as follows:
Loss from continuing operations before income tax expense
(2,428,519)
(455,696)
Profit /(loss) from discontinuing operations before income tax expense
6,034,251
(191,583)
3,605,732
647,279
Australian Tax Rate
30%
25%
Prima facie tax payable / (refundable) on operating loss at 25% (25%)
1,081,720
(161,820)
Add / (Less)
Tax effect of:
Adjustments recognised in the current year in relation to the current
tax of previous years
11,308
(34,641)
Effect of tax rates in foreign jurisdictions
2,210
12,941
Other non-allowable items
(1,624,350)
20,791
Non assessable income
7,019
-
Capital raising & Borrowing costs deductible
-
-
Impact from change in tax rate on unrecognised deferred tax assets
(658,896)
-
Deferred tax asset not brought to account
1,180,989
162,728
Income tax expense / (benefit) attributable to operating loss
-
-
c. Deferred tax assets
Tax losses
3,609,528
2,922,691
Exploration and evaluation assets
417,335
-
Tax Losses - Capital
364,987
304,156
Tax Losses - Foreign
67,591
67,591
Other
41,790
12,933
Total deferred tax assets
4,501,231
3,307,371
Set-off deferred tax liabilities pursuant to set-off provisions
(25,764)
(12,893)
Net deferred tax assets
4,475,467
3,294,478
Less deferred tax assets not recognised
(4,475,467)
(3,294,478)
Net tax assets
-
-
RAGNAR METALS LIMITED
AND CONTROLLED ENTITIES
ABN 12 108 560 069
ANNUAL REPORT 30 JUNE 2024
P a g e | 33
Notes to the consolidated financial statements
for the year ended 30 June 2024
Note 6
Income tax (cont.)
Note
2024
$
2023
$
d. Deferred tax liabilities
Other
(25,764)
(12,893)
Total Deferred Tax Liabilities
(25,764)
(12,893)
Set-off deferred tax assets pursuant to set-off provisions
25,764
12,893
Net deferred tax liabilities
-
-
Unused tax losses for which no deferred tax asset has been recognised
12,031,762
11,690,764
Unused capital losses for which no deferred tax asset has been
recognised
1,216,623
1,216,623
Potential tax benefit at 30.0% (2023: 25.0%)
13,248,385
12,907,387
The benefit for tax losses will only be obtained if:
a)
The company and consolidated entity derive future assessable income of a nature and of an amount
sufficient to enable the benefit from the deductions for the losses to be utilised;
b)
The company and the consolidated entity continue to comply with the conditions for deductibility imposed by
law; and
c)
No changes in tax legislation adversely affect the ability of the company and consolidated entity to realise
these benefits.
The carrying amount of deferred income tax assets is reviewed at each balance date and reduced to the extent that
it is no longer probable that sufficient taxable profit will be available to allow all or part of the deferred income tax asset
to be utilised.
Unrecognised deferred income tax assets are reassessed at each balance date and are recognised to the extent that
it has become probable that future taxable profit will allow the deferred tax asset to be recovered.
Deferred income tax assets and liabilities are measured at the tax rates that are expected to apply to the year when
the asset is realised or the liability is settled, based on tax rates (and tax laws) that have been enacted or substantively
enacted at the balance date.
Income taxes relating to items recognised directly in equity are recognised in equity and not in profit or loss.
Deferred tax assets and deferred tax liabilities are offset only if a legally enforceable right exists to set off current tax
assets against current tax liabilities and the deferred tax assets and liabilities relate to the same taxable entity and the
same taxation authority.
Other taxes
Revenues, expenses and assets are recognised net of the amount of GST except:
•
when the GST incurred on a purchase of goods and services is not recoverable from the taxation authority, in
which case the GST is recognised as part of the cost of acquisition of the asset or as part of the expense item
as applicable; and
•
receivables and payables, which are stated with the amount of GST included.
The net amount of GST recoverable from, or payable to, the taxation authority is included as part of receivables or
payables in the statement of financial position.
Cash flows are included in the Statement of Cash Flows on a gross basis and the GST component of cash flows
arising from investing and financing activities, which is recoverable from, or payable to, the taxation authority are
classified as operating cash flows.
Commitments and contingencies are disclosed net of the amount of GST recoverable from, or payable to, the taxation
authority.
RAGNAR METALS LIMITED
AND CONTROLLED ENTITIES
ABN 12 108 560 069
ANNUAL REPORT 30 JUNE 2024
P a g e | 34
Notes to the consolidated financial statements
for the year ended 30 June 2024
Note 7
Earnings per share (EPS)
Note
2024
$
2023
$
a. Reconciliation of earnings to profit or loss
(Loss) / profit for the year – continuing operations
(2,428,519)
(455,696)
(Loss) / profit for the year – continuing and discontinued operations
6,034,251
(647,279)
2024
$
2023
$
b. Weighted average number of ordinary shares outstanding during
the year used in calculation of basic EPS
Basic weighted average number of shares outstanding
464,640,011
379,184,889
Dilutive effect of performance rights
9,181,205
12,921,057
Diluted number of shares outstanding
473,821,216
392,105,946
2024
₵
2023
₵
c. Earnings per share
From continuing operations – Basic
7d
(0.52)
(0.12)
From continuing and discontinued operations - Basic
7d
0.78
(0.17)
From continuing and discontinued operations – Diluted
7d
0.76
(0.17)
d. At the end of the 2024 financial year, the Group has 53,000,000 unissued shares under options (2023: 38,500,000).
Note 8
Cash and cash equivalents
2024
$
2023
$
a. Current
Cash at bank
9,345,254
196,050
9,345,254
196,050
Cash comprises cash at bank and in hand. Cash equivalents are short term, highly liquid investments that are
readily convertible to known amounts of cash and which are subject to an insignificant risk of changes in value.
For the purposes of the Statement of Cash Flows, cash and cash equivalents consist of cash and cash equivalents
as defined above, net of outstanding bank overdrafts.
Cash at bank earns interest at floating rates based on daily bank deposit rates.
Short-term deposits are made for varying periods of between one and three months, depending on the immediate
cash requirements of the Company, and earn interest at the respective short-term deposit rates.
b. The Group's exposure to interest rate risk and a sensitivity analysis for financial assets and liabilities are disclosed
in note 24 Financial risk management.
RAGNAR METALS LIMITED
AND CONTROLLED ENTITIES
ABN 12 108 560 069
ANNUAL REPORT 30 JUNE 2024
P a g e | 35
Notes to the consolidated financial statements
for the year ended 30 June 2024
Note 8 Cash and cash equivalents (continued)
c. Cash Flow Information
Note
2024
$
2023
$
i.
Reconciliation of cash flow from operations to (loss)/profit after income
tax
Profit / (Loss) after income tax
3,605,732
(647,279)
Non-cash flows in (loss)/profit from ordinary activities:
Impairments
11
1,470,656
-
Share-based payments
19
436,969
83,165
Depreciation
10
16,063
Accrued interest
(85,680)
Foreign exchange loss
-
178,523
Profit on discontinued operation
(6,034,251)
-
Changes in assets and liabilities:
(Increase)/decrease in receivables
(114,595)
302,832
Increase/(decrease) in trade and other payables
25,852
181
Cash flow from operations
(679,254)
(82,940)
d. Credit standby facilities
The Group has no credit standby facilities.
Note 9
Trade and other receivables
2024
$
2023
$
a. Current
GST and VAT receivable
70,793
29,440
Other receivables
9,636
8,822
Accrued interest
85,680
-
166,109
38,262
Trade receivables are measured on initial recognition at fair value, which ordinarily equates to cost and are
subsequently measured at cost less provision for impairment due to their short term nature. Trade receivables are
generally due for settlement within periods ranging from 15 days to 30 days.
Impairment of trade receivables is continually reviewed and those that are considered to be uncollectible are written
off by reducing the carrying amount directly. An allowance account is used when there is objective evidence that
the Group will not be able to collect all amounts due according to the original contractual terms. Factors considered
by the Group in making this determination include known significant financial difficulties of the debtor, review of
financial information and significant delinquency in making contractual payments to the Group. The impairment
allowance is set equal to the difference between the carrying amount of the receivable and the present value of
estimated future cash flows, discounted at the original effective interest rate. Where receivables are short-term,
discounting is not applied in determining the allowance.
The amount of the impairment loss is recognised in the statement of comprehensive income within other expenses.
When a trade receivable for which an impairment allowance had been recognised becomes uncollectible in a
subsequent period, it is written off against the allowance account. Subsequent recoveries of amounts previously
written off are credited against other expenses in the statement of profit or loss and other comprehensive income.
RAGNAR METALS LIMITED
AND CONTROLLED ENTITIES
ABN 12 108 560 069
ANNUAL REPORT 30 JUNE 2024
P a g e | 36
Notes to the consolidated financial statements
for the year ended 30 June 2024
Note 9 Trade and other receivables (continued)
Expected credit losses
The Group applies the AASB 9 simplified model of recognising lifetime expected credit losses for all trade
receivables as these items do not have a significant financing component.
Where applicable, in measuring the expected credit losses, the trade receivables are assessed on a collective basis
as they possess shared credit risk characteristics. They are grouped based on the days past due and also according
to the geographical location of customers.
The expected loss rates are based on the payment profile for sales over the past 48 months before 30 June 2024
and 30 June 2023 respectively as well as the corresponding historical credit losses during that period. The historical
rates are adjusted to reflect current and forwarding looking macroeconomic factors affecting the customer’s ability
to settle the amount outstanding.
Trade receivables are written off when there is no reasonable expectation of recovery. Failure to make payments
within 180 days from the invoice date and failure to engage with the Group on alternative payment arrangement
amongst other is considered indicators of no reasonable expectation of recovery.
b. The Group's exposure to interest rate risk and a sensitivity analysis for financial assets and liabilities are disclosed
in Note 24 Financial risk management.
Note 10
Plant & Equipment
Note
2024
$
2023
$
Field equipment - at cost
252,223
-
Less: Accumulated depreciation
(171,929)
-
Carrying amount at the end of the year
80,294
-
Consolidated
Total
$
Balance at 1 July 2022
-
Balance at 30 June 2023
-
Additions
96,359
Depreciation expense
(16,063)
Balance at 30 June 2024
80,294
RAGNAR METALS LIMITED
AND CONTROLLED ENTITIES
ABN 12 108 560 069
ANNUAL REPORT 30 JUNE 2024
P a g e | 37
Notes to the consolidated financial statements
for the year ended 30 June 2024
Note 11
Exploration and evaluation assets
Note
2024
$
2023
$
a. Non-current
Carrying amount at beginning of period
3,702,137
3,407,232
Exploration expenditure capitalised
1,510,090
1,369,993
Acquisition
500,000
-
Transfer of asset held for sale
26
(2,321,518)
(1,075,088)
Impairment and exploration activities written off
(1,470,656)
-
Carrying amount at the end of the year
1,920,053
3,702,137
(i) During the year the Company entered into an agreement to acquire four exploration licences in Sweden (Orrvik
Licences) from Pallas Metals AB at an agreed value of $500,000.
b. Recoverability of the carrying amount of exploration assets is dependent on the successful exploration of the areas
of interest.
The recoupment of costs carried forward in relation to areas of interest in the exploration and evaluation phases are
dependent on the successful development and commercial exploitation or sale of the respective areas.
Exploration and evaluation expenditures in relation to each separate area of interest are recognised as an exploration
and evaluation asset in the year in which they are incurred where the following conditions are satisfied:
•
the rights to tenure of the area of interest are current; and
•
at least one of the following conditions is also met:
i)
the exploration and evaluation expenditures are expected to be recouped through successful development
and exploitation of the area of interest, or alternatively, by its sale; or
ii)
exploration and evaluation activities in the area of interest have not at the balance date reached a stage which
permits a reasonable assessment of the existence or otherwise of economically recoverable reserves, and
active and significant operations in, or in relation to, the area of interest are continuing.
Exploration and evaluation assets are initially measured at cost and include acquisition of rights to explore, studies,
exploratory drilling, trenching and sampling and associated activities and an allocation of depreciation and amortised
of assets used in exploration and evaluation activities. General and administrative costs are only included in the
measurement of exploration and evaluation costs where they are related directly to operational activities in a particular
area of interest.
Exploration and evaluation assets are assessed for impairment when facts and circumstances suggest that the carrying
amount of an exploration and evaluation asset may exceed its recoverable amount. The recoverable amount of the
exploration and evaluation asset (for the cash generating unit(s.) to which it has been allocated being no larger than
the relevant area of interest) is estimated to determine the extent of the impairment loss (if any). Where an impairment
loss subsequently reverses, the carrying amount of the asset is increased to the revised estimate of its recoverable
amount, but only to the extent that the increased carrying amount does not exceed the carrying amount that would
have been determined had no impairment loss been recognised for the asset in previous years.
Where a decision has been made to proceed with development in respect of a particular area of interest, the relevant
exploration and evaluation asset is tested for impairment and the balance is then reclassified to development.
RAGNAR METALS LIMITED
AND CONTROLLED ENTITIES
ABN 12 108 560 069
ANNUAL REPORT 30 JUNE 2024
P a g e | 38
Note 12
Trade and other payables
Note
2024
$
2023
$
a. Current
Unsecured
Trade payables
12b
101,760
79,971
Accruals
508,910
36,105
Other payables
142
-
610,812
116,076
b. Trade payables are non-interest bearing and usually settled within the lower of terms of trade or 30 days.
c. The Group's exposure to interest rate risk and a sensitivity analysis for financial assets and liabilities are disclosed
in Note 24 Financial risk management.
Trade payables and other payables are carried at amortised cost and represent liabilities for goods and services
provided to the Group prior to the end of the financial year that are unpaid and arise when the Group becomes obliged
to make future payments in respect of the purchase of these goods and services. Trade and other payables are
presented as current liabilities unless payment is not due within 12 months.
Note 13
Issued capital
Note
2024
No.
2024
$
2023
No.
2023
$
Fully paid ordinary shares at no par
value
13a
473,980,966
35,737,002
379,184,889
33,850,015
a. Ordinary shares
At the beginning of the period
379,184,889
33,850,015
379,184,889
33,850,015
Entitlement issue (1)
51,149,660
1,022,994
-
-
Shortfall/Underwriting issue (1)
43,646,417
872,928
-
-
Transaction costs – share issue
-
(8,935)
-
-
At reporting date
473,980,966
35,737,002
379,184,889
33,850,015
(1) On 25 July 2023, the Company confirmed it had received valid acceptances from eligible shareholders for
51,149,660 shares and 51,149,660 options, representing gross proceeds of $1,022,994. The remaining 43,646,417
shares and 43,646,417 options, representing gross proceeds of $872,928 were issued pursuant to the terms of the
Underwriting Agreement.
RAGNAR METALS LIMITED
AND CONTROLLED ENTITIES
ABN 12 108 560 069
ANNUAL REPORT 30 JUNE 2024
P a g e | 39
Notes to the consolidated financial statements
for the year ended 30 June 2024
Note 13 Issued capital (continued)
Exercise
Price
Expiry
Date
2024
2024
2023
2023
b. Unlisted Options
Note
$
No.
$
No.
$
At the beginning of the
period
12,000,000
398,024
84,600,000
1,349,418
Options Expired
(1)
(2,000,000)
(46,178)
(72,600,000)
(988,255)
Balance remaining:
Employee Options 1
(2)
0.04
19/05/2023
-
-
-
4,096
Employee Options 3
(2)
0.08
17/06/2023
-
-
-
9,676
Vendor Options
(3)
0.06
15/02/2024
-
14,548
-
23,089
Consultant Options
(4)
0,03
30/06/2025
16,500,000
172,740
-
-
Director Options
(5)
0.03
29/11/2027
13,000,000
179,945
-
-
At the end of the period
39,500,000
719,079
12,000,000
398,024
c. Options Listed
Note
2024
2024
2023
2023
No.
$
No.
$
Opening Balance
-
-
91,666,497
916,665
Options Expired
(1)
-
- (91,666,497)
(916,665)
Options Issued
(6)
94,796,077
-
At the end of the period
94,796,077
-
-
-
Total Options
134,296,077
719,079
12,000,000
398,024
c. Performance Rights
Expiry
2024
2024
2023
2023
Note
Date
No.
$
No.
$
Opening Balance
13,500,000
46,304
-
-
Director performance rights - Class A
(7)
27/11/2024
-
29,105
4,750,000
19,642
Director performance rights - Class B
(7)
27/11/2025
-
21,410
4,750,000
14,449
Vendor performance rights - Class A
(8)
27/11/2024
-
11,079
2,000,000
6,992
Vendor performance rights - Class B
(8)
27/11/2025
-
8,272
2,000,000
5,221
At the end of the period
13,500,000
116,170
13,500,000
46,304
Total Options and Performance rights
147,796,077
835,249
25,500,000
444,328
(1) Total options expired
Expiry of 600,000 unlisted options without conversion on 2/09/2022 (Price $0.075)
Expiry of 68,000,000 unlisted options without conversion on 19/05/2023 (Price $0.04)
Expiry of 91,666,497 listed options without conversion on 19/05/2023 (Price $0.04)
Expiry of 2,000,000 unlisted options without conversion on 17/06/2023 (Price $0.06)
Expiry of 2,000,000 unlisted vendor options without conversion on 15/02/2024 (Price $0.06)
(2) The Employee options are issued under the company’s incentive option plan and subject to the vesting condition
50% upon completing 12 months continuous employment and 50% upon 18 months continuous engagement with the
company.
4 million employee options exercisable on or before 19/05/23 at an exercise price of $0.04 per option.
2 million employee options exercisable on or before 17/06/23 at an exercise price of $0.06 per option.
2 million employee options exercisable on or before 17/06/2023 at an exercise price of $0.08 per option.
RAGNAR METALS LIMITED
AND CONTROLLED ENTITIES
ABN 12 108 560 069
ANNUAL REPORT 30 JUNE 2024
P a g e | 40
Notes to the consolidated financial statements
for the year ended 30 June 2024
Note 13 Issued capital (continued)
The fair value of option is ascertained by internal valuation using a Black-Scholes pricing model which incorporates
all market vesting conditions.
(3) 2,000,000 vendor options with an expiry date of 15 February 2024 and exercise price $0.06 lapsed unexercised
during the year.
(4) On 11 September 2023, the Company issued 16,500,000 unlisted options to its consultants and company secretary.
The unlisted options have an exercise price of $0.03 and expire on 30 June 2025. 2,000,000 of the unlisted options
have conditions of continuous employment which vested on 1 May 2024, the remaining options have no vesting
conditions.
Class
Number
granted
Grant date
Exercise
price
Risk-free
interest
rate
Expiry
date
Fair value
at grant
date
Total
fair
value
%
vested
Class A
14,500,000
18 Aug
2023
$0.03
3.94%
30 Jun
2025
$0.0105
$151,802
100%
Class B
2,000,000
18 Aug
2023
$0.03
3.94%
30 Jun
2025
$0.0105
$20,938
0%
(5) On 15 November 2023, shareholders approved the issue of 13,000,000 unlisted options to Directors (5,000,000 to
Eddie King, 5,000,000 to Steve Formica and 3,000,000 to David Wheeler). The unlisted options have an exercise
price of $0.03 and expire on 29 November 2027. The unlisted options were valued using the Black Scholes model
based on the following assumptions and a volatility of 87%.
Class
Number
granted
Grant date
Exercise
price
Risk-
free
interest
rate
Expiry date
Fair value
at grant
date
Total fair
value
%
vested
Class A
13,000,000
15 Nov
2023
$0.03
4.17%
29 Nov
2027
$0.014
$179,944
100%
(6) On 27 July 2023, following the successful completion of the non-renounceable entitlement issue, the Company
issued 51,149,660 listed options. A further 43,646,417 listed options were issued on 3 August 2023 pursuant to the
terms of the Underwriting Agreement. The Entitlement Issue offered entitled subscribers to one (1) Option for every
one (1) Share issued.
(7) On 26 October 2022, shareholders approved the issue of 9,500,000 Director Performance Rights (4,000,000
Performance Rights to Eddie King, 4,000,000 Performance Rights to Steve Formica, 1,500,000 Performance Rights
to David Wheeler). The Director Performance Rights are divided equally into two classes with different vesting
conditions and expiry dates. Class A - The 20 day VWAP being at least $0.07 on or before the date that is 2 years
from the date of issue of the Performance Rights. Class B - The 20 day VWAP being at least $0.10 on or before the
date that is 3 years from the date of issue of the Performance Rights.
(8) On 11 November 2022, 4,000,000 Performance Rights were issued to a consultant. The Consultant Performance
Rights are divided equally into two classes with different vesting conditions and expiry dates. Class A - The 20 day
VWAP being at least $0.07 on or before the date that is 2 years from the date of issue of the Performance Rights.
Class B - The 20 day VWAP being at least $0.10 on or before the date that is 3 years from the date of issue of the
Performance Rights.
Terms of Ordinary Shares
Voting rights
Ordinary shares participate in dividends and the proceeds on winding up of the Company in proportion to the number
of shares held and in proportion to the amount paid up on the shares held.
At shareholders meetings, each ordinary share is entitled to one vote in proportion to the paid-up amount of the share
when a poll is called, otherwise each shareholder has one vote on a show of hands.
RAGNAR METALS LIMITED
AND CONTROLLED ENTITIES
ABN 12 108 560 069
ANNUAL REPORT 30 JUNE 2024
P a g e | 41
Notes to the consolidated financial statements
for the year ended 30 June 2024
Note 14
Capital Management
The Directors’ objectives when managing capital are to ensure that the Group can fund its operations and continue as
a going concern, so that they may continue to provide returns for shareholders and benefits for other stakeholders.
Due to the nature of the Group’s activities, being mineral exploration, the Group does not have ready access to credit
facilities, with the primary source of funding being equity raisings. Therefore, the focus of the Group’s capital risk
management is the current working capital position against the requirements of the Group to meet exploration
programmes and corporate overheads.
The Group’s strategy is to ensure appropriate liquidity is maintained to meet anticipated operating requirements, with
a view to initiating appropriate capital raisings as required.
The working capital position of the Group were as follows:
Note
2024
$
2023
$
Cash and cash equivalents
8
9,345,254
196,050
Trade and other receivables
9
166,109
38,262
Trade and other payables
2
(610,812)
(116,076)
Working capital position
8,900,551
118,236
Note 15
Reserves
Note
2024
$
2023
$
Option reserve
13c
835,249
444,328
Foreign exchange reserve
68,742
(6,877)
Share-based payment reserve
-
-
903,991
437,451
a. Option reserve
The option reserve records items recognised as expenses on the value of directors, employee and other options.
Please refer Note 13 and Note 19 for further information.
b. Foreign exchange translation reserve
The foreign exchange reserve records exchange differences arising on translation of foreign controlled subsidiaries.
c. Share-based payments reserve
The share-based payments reserve records the expense of performance rights. During the year all expired
performance rights were transferred to retained earnings.
Note 16
Controlled entities
Ragnar Metals Limited is the ultimate parent of the Group.
d. Subsidiaries
Country of
Incorporation
Class of
Shares
Percentage Owned
2024
2023
Drake (Euro) Pty Ltd
Australia
Ordinary
100
100
Loki Exploration Pty Ltd
Australia
Ordinary
100
100
Ragnar Exploration AB
Sweden
Ordinary
100
100
Ragnar Sweden AB (i)
Sweden
Ordinary
0
100
(i) Ragnar Sweden AB was sold 19 October 2023.
e. Investments in subsidiaries are accounted for at cost.
RAGNAR METALS LIMITED
AND CONTROLLED ENTITIES
ABN 12 108 560 069
ANNUAL REPORT 30 JUNE 2024
P a g e | 42
Notes to the consolidated financial statements
for the year ended 30 June 2024
Note 17
Key Management Personnel compensation (KMP)
The names are positions of KMP are as follows:
Mr Steve Formica Non-Executive Chairman
Mr Ariel (Eddie) King
Executive Director
Mr David Wheeler
Non-Executive Director
Information regarding individual directors and executives’ compensation and some equity instruments disclosures as
required by the Corporations Regulations 2M.3.03 is provided in the Remuneration report. $239,986 (2023: $203,704)
was capitalised as exploration expenditure.
2024
$
2023
$
Short-term employee benefits
332,091
252,000
Post employment benefits
20,240
10,080
Share-based payments – Note 19
230,460
34,091
Total
582,791
296,171
Note 18
Related party transactions
Transactions between related parties are on normal commercial terms and conditions are no more favourable than
those available to other parties unless otherwise stated.
a. Balances and transactions between Ragnar Metals Limited and its subsidiaries, which are related parties of the
Company, have been eliminated on consolidation and are not discussed in this note.
b. Details of KMP remuneration are disclosed in Note 17.
Note 19
Share-based payments
Note
2024
$
2023
$
Director performance rights
50,515
34,091
Consultant performance rights
19,351
12,213
Consultant options
172,740
-
Director options
179,944
-
Vendor options
14,549
38,861
Gross share-based payments
a
436,969
83,165
a.
The following share-based payment arrangements existed at 30 June 2024
On 21 November 2022 9,500,000 Director Performance Rights were issued and are divided equally into two
classes with different vesting conditions and expiry dates. Class A - a 20 day VWAP being at least $0.07 on or
before the date that is 2 years from the date of issue of the Performance Rights. Class B - a 20 day VWAP being
at least $0.10 on or before the date that is 3 years from the date of issue of the Performance Rights. The valuation
of these performance rights was reported in the 31 December 2022 Half Year Report.
On 11 November 2022, 4,000,000 Consultant Performance Rights were issued and are divided equally into two
classes with different vesting conditions and expiry dates. Class A - The 20 day VWAP being at least $0.07 on or
before the date that is 2 years from the date of issue of the Performance Rights. Class B - The 20 day VWAP
being at least $0.10 on or before the date that is 3 years from the date of issue of the Performance Rights. The
valuation of these performance rights was reported in the 31 December 2022 Half Year Report.
RAGNAR METALS LIMITED
AND CONTROLLED ENTITIES
ABN 12 108 560 069
ANNUAL REPORT 30 JUNE 2024
P a g e | 43
Notes to the consolidated financial statements
for the year ended 30 June 2024
Note 19 Share-based payments (continued)
On 11 September 2023, the Company issued 16,500,000 unlisted options to its consultants and company
secretary. The unlisted options have an exercise price of $0.03 and expire on 30 June 2025. 2,000,000 of the
unlisted options have conditions of continuous employment which vest on 1 May 2024, the remaining options
have no vesting conditions.
On 15 November 2023, shareholders approved the issue of 13,000,000 unlisted options to Directors (5,000,000
to Eddie King, 5,000,000 to Steve Formica and 3,000,000 to David Wheeler). The unlisted options have an
exercise price of $0.03, expire on 29 November 2027 and vested immediately.
b. Movement in share-based payment arrangements during the period
A summary of the movements of all company options and performance rights issued as share-based payments is as
follows:
2024
2023
Number of
Options and
performance
rights
Weighted
Average
Exercise
Price
Number of
Options
Weighted
Average
Exercise
Price
Outstanding at the beginning of the year
25,500,000
$0.01
84,600,000
$0.05
Lapsed
(2,000,000)
($0.06)
(72,600,000)
($0.04)
Granted
29,500,000
$0.03
13,500,000
$0.00
Outstanding at year-end
53,000,000
($0.02)
25,500,000
$0.01
Exercisable at year-end
-
-
-
-
i.
The Company’s share options hold no voting or dividend rights and are not transferable. At balance date, no
options had been exercised or expired.
ii.
All options granted are for ordinary shares in Ragnar Metals Limited, which confer a right to one ordinary
share for every option held. All director options vested as at balance date and consultant options vest as noted
in Note 13a.
iii.
The weighted average remaining contractual life of unlisted options outstanding at year end was 1.57 years
(2023: 1.84 years). The weighted average exercise price of outstanding options at the end of the reporting
period was $0.02 (2023: $0.01).
Note 20
Commitments
The company’s minimum expenditure commitments for their Australian tenements is $15,880 for 2023/2024.
The company had no capital or other expenditure commitments at 30 June 2024 (2023: $Nil).
Note 21
Contingent asset/liabilities
There were no contingent assets or liabilities as at the reporting date.
RAGNAR METALS LIMITED
AND CONTROLLED ENTITIES
ABN 12 108 560 069
ANNUAL REPORT 30 JUNE 2024
P a g e | 44
Notes to the consolidated financial statements
for the year ended 30 June 2024
Note 22
Operating segments
a. Identification of reportable segments
The Group operates in the exploration and evaluation of nickel, gold, silver and base metals projects in Western
Australia and in Sweden. Inter-segment transactions are priced at cost to the Consolidated Group.
The Group has identified its operating segments based on the internal reports that are provided to the Board of
Directors on a monthly basis. Activities of the Group are managed on a Group structure basis and operating
segments are therefore determined on the same basis. In this regard the following list of reportable segments has
been identified.
Ragnar Metals Limited – Mineral Exploration in Western Australia
Ragnar Exploration AB – Mineral Exploration in Sweden
Ragnar Sweden AB - Mineral Exploration in Sweden (Discontinued Operation)
b. Basis of accounting for purposes of reporting by operating segments
i. Accounting policies adopted
Unless stated otherwise, all amounts reported to the Board, 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.
ii. Inter-segment transactions
An internally determined transfer price is set for all inter-segment sales. This price is reset quarterly and is
based on what would be realised in the event the sale was made to an external party at arm’s length. All such
transactions are eliminated on consolidation of the Group’s financial statements.
Corporate charges are allocated to reporting segments based on the segments’ overall proportion of revenue
generation within the Group. The Board of Directors believes this is representative of likely consumption of
head office expenditure that should be used in assessing segment performance and cost recoveries.
Inter-segment loans payable and receivable are initially recognised at the consideration received/to be received
net of transaction costs. If inter-segment loans receivable and payable are not on commercial terms, these are
not adjusted to fair value based on market interest rates. This policy represents a departure from that applied
to the statutory financial statements
iii. 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.
iv. 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. Borrowings and tax liabilities are generally considered to relate to the Group as a
whole and are not allocated. Segment liabilities include trade and other payables and certain direct borrowings.
v. Unallocated items
The following items of revenue, expenses, assets and liabilities are not allocated to geographic segments as
they are not considered part of the core operations of any segment:
Income tax expense
Deferred tax assets and liabilities
Current tax liabilities
Other financial liabilities
RAGNAR METALS LIMITED
AND CONTROLLED ENTITIES
ABN 12 108 560 069
ANNUAL REPORT 30 JUNE 2024
P a g e | 45
Notes to the consolidated financial statements
for the year ended 30 June 2024
Note 22 Operating segments (continued)
For year ended 30 June 2024
Ragnar
Metals
Limited
Ragnar
Exploration
AB
Ragnar
Sweden AB
(discontinued
operation)
Elimination
Total
$
$
$
$
Segment Revenue
335,197
-
6,035,467
-
6,370,664
Segment Expenses
(2,740,320)
(23,396)
(1,216)
(2,764,932)
Segment Results
(2,405,123)
(23,396)
6,034,251
-
3,605,732
Segment Assets
Cash
9,297,104
48,150
-
-
9,345,254
Trade and other receivables
128,812
37,297
-
-
166,109
Non-current assets
781,527
-
-
(781,527)
-
Other non-current assets
80,294
-
-
-
80,294
Exploration and evaluation assets
1,179,333
740,720
-
-
1,920,053
Total Segment Assets
11,467,070
826,167
-
(781,527)
11,511,710
Segment Liabilities
Current liabilities
(550,218)
(60,594)
-
(610,812)
Non-current liabilities
-
(781,527)
-
781,527
-
Total Segment Liabilities
(550,218)
(842,121)
-
781,527
(610,812)
Segment Net Assets
10,916,852
(15,954)
-
-
10,900,898
For year ended 30 June 2023
Ragnar
Metals
Limited
Ragnar
Sweden AB
(discontinued
operation)
Elimination
Total
$
$
$
Segment Revenue
5,654
-
-
5,654
Segment Expenses
(460,601)
(191,583)
(752)
(652,936)
Segment Results
(454,947)
(191,583)
(752)
(647,282)
As at 30 June 2023
Segment Assets
Cash
79,172
116,878
-
196,050
Trade and other receivables
25,078
13,184
-
38,262
Non-current assets held for sale
1,075,088
-
-
1,075,088
Non- current Assets
2,824,406
(2,822,525)
(1,881)
-
Exploration and evaluation assets
1,509,431
2,380,507
(187,801)
3,702,137
Total Segment Assets
5,513,175
(311,956)
(189,682)
5,011,537
Segment Liabilities
Current Liabilities
(116,076)
(7,351)
7,351
(116,076)
Total Segment Liabilities
(116,076)
(7,351)
7,351
(116,076)
Segment Net Assets
5,397,099
(319,307)
(182,331)
4,895,461
RAGNAR METALS LIMITED
AND CONTROLLED ENTITIES
ABN 12 108 560 069
ANNUAL REPORT 30 JUNE 2024
P a g e | 46
Notes to the consolidated financial statements
for the year ended 30 June 2024
Note 23
Events subsequent to reporting date
Subsequent to 30 June 2024, the following significant events were undertaken by the Group:
On 17 July 2024, the Company announced that its strategic investment in Kaiser Reef Limited (ASX:KAU) was
approved, with KAU shareholders voting in favour of the two-tranche placement at their Extraordinary General
Meeting held 10 July 2024.
Final payment to Pallas Metals AB in relation the acquisition of exploration licences in Sweden (announced on
12 October 2023).
On 27 September 2024 the Company issued 5,012 shares following exercise of options at $0.03.
Note 24
Financial risk management
a. Financial Risk Management Policies
This note presents information about the Group's exposure to each of the above risks, its objectives, policies and
procedures for measuring and managing risk, and the management of capital.
The Group's financial instruments consist mainly of deposits with banks, short-term investments, and accounts
payable and receivable.
The Group does not speculate in the trading of derivative instruments.
A summary of the Group's Financial Assets and Liabilities is shown below:
Floating
Fixed
Non-
2024
Floating
Fixed
Non-
2023
Interest
Interest
interest
Interest
Interest
interest
Rate
Rate
Bearing
Total
Rate
Rate
Bearing
Total
$
$
$
$
$
$
$
$
Financial Assets
Cash and cash
equivalents
345,254
9,000,000
-
9,345,254
196,050
-
-
196,050
Trade and other
receivables
-
85,680
80,429
166,109
-
-
38,262
38,262
Total Financial Assets
345,254
9,085,680
80,429
9,511,363
196,050
-
38,262
234,312
Financial Liabilities
Trade and other
payables
-
-
610,812
610,812
-
- 116,076
116,076
Total Financial
Liabilities
-
-
610,812
610,812
-
- 116,076
116,076
Net Financial Assets/
(Liabilities)
345,254
9,085,680
691,241
10,122,175
196,050
- 154,338
350,388
b. Specific Financial Risk Exposures and Management
The main risk the Group is exposed to through its financial instruments are credit risk, liquidity risk and market risk
consisting of interest rate, foreign currency risk and equity price risk.
The Board of directors has overall responsibility for the establishment and oversight of the risk management
framework. The Board adopts practices designed to identify significant areas of business risk and to effectively
manage those risks in accordance with the Group's risk profile. This includes assessing, monitoring and managing
risks for the Group and setting appropriate risk limits and controls. The Group is not of a size nor is its affairs of such
complexity to justify the establishment of a formal system for risk management and associated controls. Instead, the
Board approves all expenditure, is intimately acquainted with all operations and discuss all relevant issues at the
Board meetings. The operational and other compliance risk management have also been assessed and found to be
operating efficiently and effectively.
RAGNAR METALS LIMITED
AND CONTROLLED ENTITIES
ABN 12 108 560 069
ANNUAL REPORT 30 JUNE 2024
P a g e | 47
Notes to the consolidated financial statements
for the year ended 30 June 2024
Note 24 Financial risk management (continued)
b. Specific Financial Risk Exposures and Management (continued)
Credit risk
Exposure to credit risk relating to financial assets arises from the potential non-performance by counterparties of
contract obligations that could lead to a financial loss to the Group.
The Group does not have any material credit risk exposure to any single receivable or group of receivables under
financial instruments entered into by the Group.
The objective of the group is to minimise the risk of loss from credit risk.
Although revenue from operations is minimal, the Group trades only with creditworthy third parties
In addition, receivable balances are monitored on an ongoing basis with the result that the Group's exposure to bad
debts is insignificant. The Group's maximum credit risk exposure is limited to the carrying value of its financial
assets as indicated on the statement of financial position.
The Group establishes an allowance for impairment that represents its estimate of incurred losses in respect of
trade and other receivables.
Credit risk exposures
The maximum exposure to credit risk is that to its alliance partners and that is limited to the carrying amount, net
of any provisions for impairment of those assets, as disclosed in the statement of financial position and notes to
the financial statements.
Credit risk related to balances with banks and other financial institutions is managed by the Group in accordance
with approved Board policy. Such policy requires that surplus funds are only invested with counterparties with a
Standard and Poor’s rating of at least AA-.
Liquidity risk
Liquidity risk arises from the possibility that the Group might encounter difficulty in settling its debts or otherwise
meeting its obligations related to financial liabilities.
Liquidity risk is the risk that the Group will not be able to meet its financial obligations as they fall due. The Group's
approach to managing liquidity is to ensure, as far as possible, that it will always have sufficient liquidity to meet its
liabilities when due, under both normal and stressed conditions, without incurring unacceptable losses or risking
damage to the Group's reputation.
The Group manages liquidity risk by continuously monitoring forecast and actual cash flows and ensuring sufficient
cash and marketable securities are available to meet the current and future commitments of the Group. Due to the
nature of the Group’s activities, being mineral exploration, the Group does not have ready access to credit facilities,
with the primary source of funding being equity raisings. The Board of Directors constantly monitors the state of
equity markets in conjunction with the Group’s current and future funding requirements, with a view to initiating
appropriate capital raisings as required. Any surplus funds are invested with major financial institutions.
The financial liabilities of the Group are confined to trade and other payables as disclosed in the Statement of
financial position. All trade and other payables are non-interest bearing and due within 30 days of the reporting
date.
RAGNAR METALS LIMITED
AND CONTROLLED ENTITIES
ABN 12 108 560 069
ANNUAL REPORT 30 JUNE 2024
P a g e | 48
Notes to the consolidated financial statements
for the year ended 30 June 2024
Note 24 Financial risk management (continued)
b. Specific Financial Risk Exposures and Management (continued)
Liquidity risk (continued)
Contractual Maturities
The following are the contractual maturities of financial liabilities of the Group:
Within 1 Year
Greater Than 1 Year
Total
2024
2023
2024
2023
2024
2023
$
$
$
$
$
$
Financial liabilities due for payment
Trade and other payables
610,812
116,076
610,812
116,076
Total contractual outflows
610,812
116,076
-
-
610,812
116,076
Financial assets
Cash and cash equivalents
9,345,254
196,050
9,345,254
196,050
Trade and other receivables
166,109
38,262
166,109
38,262
Total anticipated inflows
9,511,363
234,312
-
- 9,511,363
234,312
Net (outflow)/inflow on financial
instruments
8,900,551
118,236
-
- 8,900,551
118,236
It is not expected that the cash flows included in the maturity analysis could occur significantly earlier or at
significantly different amounts.
Market risk
Market risk is the risk that changes in market prices, such as foreign exchange rates, interest rates and equity
prices will affect the Group's income or the value of its holdings of financial instruments. The objective of market
risk management is to manage and control market risk exposures within acceptable parameters, while optimising
the return. The Board meets on a regular basis and considers the Group's interest rate risk.
Interest Rate Risk
Exposure to interest rate risk arises on financial assets and financial liabilities recognised at the end of the reporting
period whereby a future change in interest rates will affect future cash flows or the fair value of fixed rate financial
instruments. The Group is also exposed to earnings volatility on floating rate instruments.
Due to the low amount of debt exposed to floating interest rates, interest rate risk is not considered a high risk to
the Group. Movement in interest rates on the Group's financial liabilities and assets is not material.
Foreign Exchange Risk
Exposure to foreign exchange risk may result in the fair value or future cash flows of a financial instrument
fluctuating due to movement in foreign exchange rates of currencies in which the Group holds financial instruments
which are other than the AUD functional currency of the Group.
With instruments being held by overseas operations, fluctuations in foreign currencies may impact on the Group’s
financial results. The Group’s exposure to foreign exchange risk is minimal; however, the Board continues to review
this exposure regularly.
RAGNAR METALS LIMITED
AND CONTROLLED ENTITIES
ABN 12 108 560 069
ANNUAL REPORT 30 JUNE 2024
P a g e | 49
Notes to the consolidated financial statements
for the year ended 30 June 2024
Note 24 Financial risk management (continued)
b. Specific Financial Risk Exposures and Management (continued)
Price Risk
Price risk relates to the risk that the fair value or future cash flows of a financial instrument will fluctuate because of
changes in market prices. The Group does not presently hold material amounts subject to price risk. As such the
Board considers price risk as a low risk to the Group.
i. Sensitivity Analysis
The following table illustrates sensitivities to the Group's exposures to changes in interest rates. The table
indicates the impact on how profit and equity values reported at balance sheet date would have been affected
by changes in the relevant risk variable that management considers to be reasonably possible. These
sensitivities assume that the movement in a particular variable is independent of other variables.
(1) Interest rates
Profit
$
Equity
$
Year ended 30 June 2024
±100 basis points change in interest rates
±5,704
±5,704
Year ended 30 June 2023
±100 basis points change in interest rates
±7,667
±7,667
ii. Net Fair Values
(1) Fair value estimation
The fair values of financial assets and financial liabilities are presented in the table in note 20a and can be
compared to their carrying values as presented in the statement of financial position. Fair values are those
amounts at which an asset could be exchanged, or a liability settled, between knowledgeable, willing parties
in an arm's length transaction.
Financial instruments whose carrying value is equivalent to fair value due to their nature include:
Cash and cash equivalents;
Trade and other receivables; and
Trade and other payables.
The methods and assumptions used in determining the fair values of financial instruments are disclosed in
the accounting policy notes specific to the asset or liability.
RAGNAR METALS LIMITED
AND CONTROLLED ENTITIES
ABN 12 108 560 069
ANNUAL REPORT 30 JUNE 2024
P a g e | 50
Notes to the consolidated financial statements
for the year ended 30 June 2024
Note 25
Parent Entity Disclosures
2024
$
2023
$
a. Financial Position of Ragnar Metals Limited
Current assets
9,425,916
104,250
Non-current assets held for sale
-
1,075,088
Non-current assets
2,147,573
4,332,985
Total assets
11,573,489
5,512,323
Current liabilities
550,217
116,076
Total liabilities
550,217
116,076
Net assets
11,023,272
5,396,247
Equity
Issued capital
35,737,102
33,850,115
Reserves
835,249
444,328
Accumulated losses
(25,549,079)
(28,898,096)
Total equity
11,023,272
5,396,247
b. Financial performance of Ragnar Metals Limited
Profit / (loss) for the year
3,302,079
(454,947)
Other comprehensive income
-
-
Total comprehensive income
3,302,079
(454,947)
c. Guarantees entered into by Ragnar Metals Limited for the debts of its subsidiaries
There are no guarantees entered into by Ragnar Metals for the debts of its subsidiaries as at 30 June 2024 (2023:
none).
d. Commitments of Ragnar Metals Limited
The amounts applicable for both Ragnar Metals Limited (the parent) and the Consolidated Group can be found in
Note 20.
Note 26
Discontinued Operations and non-current asset held for sale
On 19 October 2023 the Company announced the completion of the sale of its wholly owned subsidiary Ragnar Metals
Sweden AB to BHP Metals Exploration Pty Ltd, a subsidiary of BHP Group Limited, originally announced on 26 June
2023. The assets held by Ragnar Metals Sweden AB included the exploration licences over the Tullsta nickel project
and the Gaddebo project in Sweden and cash of approximately A$300,000 (SEK 2,122,000) as at completion.
The total purchase consideration was A$9.8 million, and a net smelter return royalty of 1% payable upon
commencement of commercial production. The purchaser may buy out the royalty for a further A$10,000,000.
The subsidiary is reported in the current period as a discontinued operation. Financial information relating to the
discontinued operation for the period to the date of disposal is set out below.
RAGNAR METALS LIMITED
AND CONTROLLED ENTITIES
ABN 12 108 560 069
ANNUAL REPORT 30 JUNE 2024
P a g e | 51
Notes to the consolidated financial statements
for the year ended 30 June 2024
Note 26 Discontinued Operations and non-current asset held for sale
Discontinued operation
2024
$
2023
$
Financial Performance and Cash flow information
Gain on disposal of subsidiary
6,035,467
(177,772)
Foreign exchange gain/loss
-
(177,772)
Company secretarial
-
(11,532)
Contractors and consultants
(1,137)
-
Finance costs
(74)
-
Other expenses
(5)
(2,279)
Profit before income tax
6,034,251
191,583
Income tax benefit/expense
-
-
Profit after income tax of discontinued operation
6,034,251
191,583
Exchange differences on translation of discontinued operations
76,099
(4,681)
Other comprehensive income from discontinued operations
76,099
(4,681)
Cash flows
Net cash inflow from operating activities
(1,216)
(13,811)
Net cash (outflow) from investing activities
-
(1,290,732)
Net cash inflow from financing activities
-
-
Effect of exchange rates on cash holdings in foreign currencies - discontinued
operations
4,066
(3,756)
Net (decrease)/increase in cash generated by the discontinued
operation
2,850
(1,308,299)
Assets classified as held for sale
2024
$
2023
$
Exploration and evaluation assets (held by Ragnar Metals Ltd)
-
1,075,088
Total assets classified as held for sale
-
1,075,088
RAGNAR METALS LIMITED
AND CONTROLLED ENTITIES
ABN 12 108 560 069
ANNUAL REPORT 30 JUNE 2024
P a g e | 52
Consolidated Entity Disclosure Statement
Entity Name
Entity Type
% of share
capital
Country of
Incorporation
Australian or
Foreign
Resident
Tax
Residency
Ragnar Metals Limited
Body Corporate
100
Australia
Australian
Australian
Drake (Euro) Pty Ltd
Body Corporate
100
Australia
Australian
Australian
Loki Exploration Pty Ltd
Body Corporate
100
Australia
Australian
Australian
Ragnar Exploration AB
Body Corporate
100
Sweden
Foreign
Australian /
Sweden
Basis of Preparation
This consolidated entity disclosure statement (CEDS) has been prepared in accordance with the Corporations Act
2001 and includes information for each entity that was part of the consolidated entity as at the end of the financial
year in accordance with AASB 10 Consolidated Financial Statements.
Determination of tax residency
Section 295 (3A) of the Corporation Act 2001 defines tax residency as having the meaning in the Income Tax
Assessment Act 1997. The determination of tax residency involves judgement as there are currently several different
interpretations that could be adopted, and which could give rise to a different conclusion on residency. In determining
tax residency, the Group has applied the following interpretations:
Australian tax residency
The Group has applied current legislation and judicial precedent, including having regard to the Tax Commissioner's
public guidance in Tax Ruling TR 2018/5.
Foreign tax residency
Where necessary, the Group has used independent tax advisers in foreign jurisdictions to assist in determining tax
residency and ensure compliance with applicable foreign tax legislation.
Partnerships and Trusts
Australian tax law does not contain specific residency tests for partnerships and trusts. Generally, these entities are
taxed on a flow-through basis, so there is no need for a general residence test. Some provisions treat trusts as
residents for certain purposes, but this does not mean the trust itself is an entity that is subject to tax.
RAGNAR METALS LIMITED
AND CONTROLLED ENTITIES
ABN 12 108 560 069
ANNUAL REPORT 30 JUNE 2024
P a g e | 53
STEVE FORMICA
Non-Executive Chairman
Dated 27 September 2024
Directors' declaration
The Directors of the Company declare that:
1. The financial statements and notes, as set out on pages 24 to 51, are in accordance with the Corporations Act
2001 (Cth) and:
(a) comply with Accounting Standards;
(b) are in accordance with International Financial Reporting Standards issued by the International Accounting
Standards Board, as stated in note 1 to the financial statements; and
(c) give a true and fair view of the financial position as at 30 June 2024 and of the performance for the year ended
on that date of the Group.
(d) the Directors have been given the declarations required by s.295A of the Corporations Act 2001 (Cth);
(e) the information disclosed in the Consolidated Entity Disclosure Statement on page 52 is true and correct.
2. in the directors' opinion there are reasonable grounds to believe that the Company will be able to pay its debts as
and when they become due and payable.
This declaration is made in accordance with a resolution of the Board of Directors and is signed for and on behalf of
the directors by:
INDEPENDENT AUDITOR'S REPORT
TO THE MEMBERS OF RAGNAR METALS LIMITED
Report on the Audit of the Financial Report
Opinion
We have audited the financial report of Ragnar Metals Limited (“the Company”) and its subsidiaries (“the
Consolidated Entity”), which comprises the consolidated statement of financial position as at 30 June 2024,
the consolidated statement of profit or loss and other comprehensive income, the consolidated statement of
changes in equity and the consolidated statement of cash flows for the year then ended, and notes to the
financial statements, including material accounting policy information, the consolidated entity disclosure
statement and the director’s declaration.
In our opinion:
a.
the accompanying financial report of the Consolidated Entity is in accordance with the Corporations Act
2001, including:
(i)
giving a true and fair view of the Consolidated Entity’s financial position as at 30 June 2024 and
of its financial performance for the year then ended; and
(ii)
complying with Australian Accounting Standards and the Corporations Regulations 2001.
b.
the financial report also complies with International Financial Reporting Standards as disclosed in
1(a)(i).
Basis for Opinion
We conducted our audit in accordance with Australian Auditing Standards. Our responsibilities under those
standards are further described in the Auditor’s Responsibilities for the Audit of the Financial Report section
of our report. We are independent of the Consolidated Entity in accordance with the auditor independence
requirements of the Corporations Act 2001 and the ethical requirements of the Accounting Professional and
Ethical Standards Board’s APES 110 Code of Ethics for Professional Accountants (the Code) that are relevant
to our audit of the financial report in Australia. We have also fulfilled our other ethical responsibilities in
accordance with the Code.
We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our
opinion.
Key Audit Matters
Key audit matters are those matters that, in our professional judgement, were of most significance in our audit
of the financial report of the current period. These matters were addressed in the context of our audit of the
financial report as a whole, and in forming our opinion thereon, and we do not provide a separate opinion on
these matters.
Key Audit Matter
How our audit addressed the Key Audit Matter
Exploration and Evaluation – $1,920,053
(Refer Note 11)
Exploration and evaluation is a key audit matter due
to:
•
The significance of the balance to the
Consolidated Entity’s financial position; and
•
The
level
of
judgement
required
in
evaluating management’s application of the
requirements of AASB 6 Exploration for and
Evaluation of Mineral Resources. AASB 6 is
an industry specific accounting standard
requiring the application of significant
judgements,
estimates
and
industry
knowledge.
This
includes
specific
requirements
for
expenditure
to
be
capitalised as an asset and subsequent
requirements which must be complied with
for capitalised expenditure to continue to be
carried as an asset.
Our procedures amongst others included:
•
Assessing management’s determination of
its areas of interest for consistency with the
definition in AASB 6. This involved analysing
the tenements in which the consolidated
entity holds an interest and the exploration
programs planned for those tenements;
•
For each area of interest, we assessed the
Consolidated Entity’s rights to tenure by
corroborating to government registries or
relevant evaluating agreements in place with
other parties as applicable;
•
We tested the additions to capitalised
expenditure for the year by evaluating a
sample
of
recorded
expenditure
for
consistency to underlying records, the
capitalisation
requirements
of
the
Consolidated Entity’s accounting policy and
the requirements of AASB 6;
•
We considered the activities in each area of
interest to date and assessed the planned
future activities for each area of interest by
evaluating budgets for each area of interest;
•
We assessed each area of interest for one
or more of the following circumstances that
may indicate impairment of the capitalised
expenditure:
o
the licenses for the right to explore
expiring in the near future or are not
expected
to
be
renewed;
Key Audit Matter
How our audit addressed the Key Audit Matter
o
substantive expenditure for further
exploration in the specific area is
neither budgeted or planned
o
decision
or
intent
by
the
Consolidated Entity to discontinue
activities in the specific area of
interest due to lack of commercially
viable quantities of resources; and
o
data indicating that, although a
development in the specific area is
likely to proceed, the carrying
amount of the exploration asset is
unlikely to be recovered in full from
successful development or sale.
•
We assessed the appropriateness of the
related disclosures in note 11 to the financial
statements.
Disposal of subsidiary
As disclosed in note 26 to the financial statements,
the Consolidated Entity completed the sale of its
wholly owned subsidiary Ragnar Metals Sweden AB
to BHP Metals Exploration Pty Ltd for consideration
of $9,800,000 and a 1% net smelter return royalty
upon commencement of commercial production.
Our procedures amongst others included:
•
Reviewed the Share Sale and Purchase
Agreement (“the Agreement”) and assessed
whether the transaction was accounted for
in accordance with AASB 5 Non-current
Assets Held for Sale and Discontinued
Operations (“AASB 5”);
•
Reviewed the calculation of the gain on
disposal; and
•
Assessed the adequacy of the disclosures
included in note 26 to the financial
statements
in
accordance
with
the
requirements of AASB 5.
Other Information
The directors are responsible for the other information. The other information comprises the information
included in the Consolidated Entity’s annual report for the year ended 30 June 2024, but does not include the
financial report and our auditor’s report thereon.
Our opinion on the financial report does not cover the other information and accordingly we do not express
any form of assurance conclusion thereon.
In connection with our audit of the financial report, our responsibility is to read the other information and, in
doing so, consider whether the other information is materially inconsistent with the financial report or our
knowledge obtained in the audit or otherwise appears to be materially misstated.
If, based on the work we have performed, we conclude that there is a material misstatement of this other
information, we are required to report that fact. We have nothing to report in this regard.
Responsibilities of the Directors for the Financial Report
The directors of the Company are responsible for the preparation of the financial report that gives a true and
fair view in accordance with Australian Accounting Standards and the Corporations Act 2001 and for such
internal control as the directors determine is necessary to enable the preparation of the financial report that
gives a true and fair view and is free from material misstatement, whether due to fraud or error, and the
consolidated entity disclosure statement that is true and correct and is free of misstatement, whether due to
fraud or error. In Note 1(a)(i), the directors also state in accordance with Australian Accounting Standard AASB
101 Presentation of Financial Statements, that the financial report complies with International Financial
Reporting Standards.
In preparing the financial report, the directors are responsible for assessing the Consolidated Entity’s ability to
continue as a going concern, disclosing, as applicable, matters related to going concern and using the going
concern basis of accounting unless the directors either intend to liquidate the Consolidated Entity or to cease
operations, or has no realistic alternative but to do so.
Auditor’s Responsibilities for the Audit of the Financial Report
Our objectives are to obtain reasonable assurance about whether the financial report as a whole is free from
material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinion.
Reasonable assurance is a high level of assurance but is not a guarantee that an audit conducted in
accordance with the Australian Auditing Standards will always detect a material misstatement when it exists.
Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate,
they could reasonably be expected to influence the economic decisions of users taken on the basis of this
financial report.
As part of an audit in accordance with the Australian Auditing Standards, we exercise professional judgement
and maintain professional scepticism throughout the audit. We also:
•
Identify and assess the risks of material misstatement of the financial report, whether due to fraud or
error, design and perform audit procedures responsive to those risks, and obtain audit evidence that
is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material
misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve
collusion, forgery, intentional omissions, misrepresentations, or the override of internal control.
•
Obtain an understanding of internal control relevant to the audit in order to design audit procedures
that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the
effectiveness of the Consolidated Entity’s internal control.
•
Evaluate the appropriateness of accounting policies used and the reasonableness of accounting
estimates and related disclosures made by the directors.
•
Conclude on the appropriateness of the directors’ use of the going concern basis of accounting and,
based on the audit evidence obtained, whether a material uncertainty exists related to events or
conditions that may cast significant doubt on the Consolidated Entity’s ability to continue as a going
concern. If we conclude that a material uncertainty exists, we are required to draw attention in our
auditor’s report to the related disclosures in the financial report or, if such disclosures are inadequate,
to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of our
auditor’s report. However, future events or conditions may cause the Consolidated Entity to cease to
continue as a going concern.
•
Evaluate the overall presentation, structure and content of the financial report, including the
disclosures, and whether the financial report represents the underlying transactions and events in a
manner that achieves fair presentation.
•
Obtain sufficient appropriate audit evidence regarding the financial information of the entities or
business activities within the Consolidated Entity to express an opinion on the financial report. We are
responsible for the direction, supervision and performance of the Consolidated Entity audit. We remain
solely responsible for our audit opinion.
We communicate with the directors regarding, among other matters, the planned scope and timing of the audit
and significant audit findings, including any significant deficiencies in internal control that we identify during
our audit.
We also provide the directors with a statement that we have complied with relevant ethical requirements
regarding independence, and to communicate with them all relationships and other matters that may
reasonably be thought to bear on our independence, and where applicable, related safeguards.
From the matters communicated with the directors, we determine those matters that were of most significance
in the audit of the financial report of the current period and are therefore the key audit matters. We describe
these matters in our auditor’s report unless law or regulation precludes public disclosure about the matter or
when, in extremely rare circumstances, we determine that a matter should not be communicated in our report
because the adverse consequences of doing so would reasonably be expected to outweigh the public interest
benefits of such communication.
Report on the Remuneration Report
We have audited the Remuneration Report included in the directors’ report for the year ended 30 June 2024.
The directors of the Company are responsible for the preparation and presentation of the remuneration report
in accordance with s 300A of the Corporations Act 2001. Our responsibility is to express an opinion on the
remuneration report, based on our audit conducted in accordance with Australian Auditing Standards.
Auditor’s Opinion
In our opinion, the Remuneration Report of Ragnar Metals Limited, for the year ended 30 June 2024, complies
with section 300A of the Corporations Act 2001.
HALL CHADWICK WA AUDIT PTY LTD
D M BELL CA
Director
Dated this 27th day of September 2024
Perth, Western Australia
RAGNAR METALS LIMITED
AND CONTROLLED ENTITIES
ABN 12 108 560 069
ANNUAL REPORT 30 JUNE 2024
P a g e | 60
Additional Information for Listed Public Companies
The following additional information is required by the Australian Securities Exchange in respect of listed public
companies.
1
Capital
a)
Ordinary share capital as at 27 August 2024
473,980,966 ordinary fully paid shares held by 966 shareholders.
b) Listed Options over issued Shares
94,796,077 Listed Options with a $0.03 exercise price per option expiring 30 September 2024, held by 218
option holders.
c)
Unlisted Options over Unissued Shares
9,500,000 Unlisted Options (Director) with a $0.0564 exercise price per Option expiring 4 November
2024 held by 3 Option holders.
500,000 Unlisted Options (Employee) with a $0.0564 exercise price per Option expiring 4 November
2024 held by 1 Option holder.
16,500,000 Unlisted Options (Consultant) with a $0.03 exercise price per Option expiring 30 June 2025
held by 8 Option holders
13,000,000 Unlisted Options (Director) with a $0.03 exercise price per Option expiring 29 November
2027 held by 4 Option holders.
d) Performance Rights
6,750,000 Class A Performance Rights expiring 21 November 2025 are held by 5 holders.
6,750,000 Class B Performance Rights expiring 21 November 2025 are held by 5 holders.
e)
Voting Rights
The voting rights attached to each class of equity security are as follows:
Ordinary shares: Each ordinary share is entitled to one vote when a poll is called, otherwise each
member present at a meeting or by proxy has one vote on a show of hands.
Listed and Unlisted Options: Options do not entitle the holders to vote in respect of that equity
instrument, nor participate in dividends, when declared, until such time as the options are exercised or
performance shares convert and subsequently registered as ordinary shares.
Performance Rights: Performance Rights do not entitle the holders to vote in respect of that equity
instrument, nor participate in dividends, when declared, until such time as the performance shares
convert and subsequently registered as ordinary shares.
f)
Substantial Shareholders as at 27 August 2024 are Nil
g) Distribution of Shareholders as at 27 August 2024
Category (size of holding)
Total Holders
Number
Ordinary
% Held of Issued
Ordinary Capital
1 – 1,000
74
9,865
0.00
1,001 – 5,000
15
28,612
0.01
5,001 – 10,000
60
559,972
0.11
10,001 – 100,000
469
19,367,975
4.09
100,001 – and over
348
454,014,542
95.79
966
473,980,966
100.00
RAGNAR METALS LIMITED
AND CONTROLLED ENTITIES
ABN 12 108 560 069
ANNUAL REPORT 30 JUNE 2024
P a g e | 61
h) Distribution of Listed Option holders (Options $0.03 exercise price expiring 30 September 2024) as at 27
August 2024
Category (size of holding)
Total Holders
Number
Units
% Held of Issued
Ordinary Capital
1 – 1,000
9
1,029
0.00
1,001 – 5,000
38
131,116
0.14
5,001 – 10,000
21
158,591
0.17
10,001 – 100,000
64
2,830,881
2.96
100,001 – and over
86
91,699,460
96.73
218
94,796,077
100.00
i)
Unmarketable Parcels as at 27 August 2024
As at 27 August 2024 there were 317 fully paid ordinary shareholders holding less than a marketable parcel
of shares.
j)
On-Market Buy-Back
There is no current on-market buy-back.
k)
Restricted Securities
There are no restricted securities on issue.
RAGNAR METALS LIMITED
AND CONTROLLED ENTITIES
ABN 12 108 560 069
ANNUAL REPORT 30 JUNE 2024
P a g e | 62
l)
20 Largest Shareholders — Ordinary Shares as at as at 27 August 2024
Name
Number of Ordinary
Fully Paid Shares
Held
% Held of Issued
Ordinary Capital
1
Mr Viktor Poznik & Mrs Vesna Anna Poznik
23,652,500
4.99%
2
Hunt Prosperity Pty Ltd
23,600,000
4.98%
3
Sisu International Pty Ltd
17,750,000
3.74%
4
Ton-Cheng Pty Ltd
13,000,000
2.74%
5
Stevsand Investments Pty Ltd
12,600,000
2.66%
6
Sunset Capital Management Pty Ltd
12,491,581
2.64%
7
Shah Nominees Pty Ltd
11,010,500
2.32%
8
First One Realty Pty Ltd
10,000,000
2.11%
9
Isla Zast Pty Ltd
9,125,000
1.93%
10
J & J Bandy Nominees Pty Ltd
8,375,000
1.77%
11
KVC Property Investments Pty Ltd
7,000,000
1.48%
11
KLI Pty Ltd
7,000,000
1.48%
12
Formica Investments Pty Ltd
6,250,000
1.32%
12
Mr Brian Joseph Glynn
6,250,000
1.32%
13
Kitara Investments Pty Ltd
6,062,210
1.28%
14
A22 Pty Limited
6,000,000
1.27%
14
Shah Nominees Pty Ltd
6,000,000
1.27%
15
Howard Smith Investments Pty Ltd
5,201,017
1.10%
16
Professional Payment Services Pty Ltd
5,000,000
1.05%
16
Mr Brian Peter Byass
5,000,000
1.05%
16
Davco Group Pty Ltd
5,000,000
1.05%
16
Awaba Funds Management Pty Ltd
5,000,000
1.05%
16
Mr Gavin Jeremy Dunhill
5,000,000
1.05%
16
Piccolo Terremoto Pty Ltd
5,000,000
1.05%
16
Taurus Capital Pty Ltd
5,000,000
1.05%
17
Futurity Private Pty Ltd
4,834,641
1.02%
18
Mrs Aibao Gong
4,558,420
0.96%
19
Ariel Edward King
4,125,000
0.87%
20
Mrs Vanessa Jade Howard-Smith
4,052,017
0.85%
243,937,886
51.47%
RAGNAR METALS LIMITED
AND CONTROLLED ENTITIES
ABN 12 108 560 069
ANNUAL REPORT 30 JUNE 2024
P a g e | 63
m) 20 Largest Optionholders - Listed Options $0.03 exercise price expiring 30 September 2024 as at 27 August 2024
Name
Holding
%
1
Hunt Prosperity Pty Ltd
12,500,000
13.19%
2
Kitara Investments Pty Ltd
5,000,000
5.27%
2
First One Realty Pty Ltd
5,000,000
5.27%
2
Celtic Capital Pty Ltd
5,000,000
5.27%
3
Mr Viktor Poznik & Mrs Vesna Anna Poznik
4,730,500
4.99%
4
Futurity Private Pty Ltd
4,276,405
4.51%
5
Haslingden Pty Ltd
2,750,000
2.90%
6
TJF Investments (WA) Pty Ltd
2,500,000
2.64%
6
Miss Fallon Lee Formica
2,500,000
2.64%
7
Sunset Capital Management Pty Ltd
2,498,316
2.64%
8
Ton-Cheng Pty Ltd
2,150,000
2.27%
9
Mr Benjamin Anton McCombie
2,100,861
2.22%
10
Stevsand Investments Pty Ltd
1,942,621
2.05%
11
J & J Bandy Nominees Pty Ltd
1,875,000
1.98%
12
Isla Zast Pty Ltd
1,825,000
1.93%
13
Shah Nominees Pty Ltd
1,375,000
1.45%
13
Cheng Wing Resources Limited
1,375,000
1.45%
14
Davco Group Pty Ltd
1,250,000
1.32%
14
A22 Pty Limited
1,250,000
1.32%
14
Formica Investments Pty Ltd
1,250,000
1.32%
14
Mr Brian Joseph Glynn
1,250,000
1.32%
15
Mr Alexander Lewit
1,125,000
1.19%
16
Mr Christopher James Martin Whitehead
1,025,000
1.32%
17
Ocean Light Asset Management Pty Ltd
1,021,417
1.08%
18
Mr MD Akram Uddin
1,000,000
1.05%
18
Grazian Pty Ltd
1,000,000
1.05%
18
Mr Ian Randal Thompson & Mr Peter Randal Thompson
1,000,000
1.05%
19
Awaba Funds Management Pty Ltd
4,000,000
40.00
2.
King Corporate Pty Ltd
4,000,000
40.00
RAGNAR METALS LIMITED
AND CONTROLLED ENTITIES
ABN 12 108 560 069
ANNUAL REPORT 30 JUNE 2024
P a g e | 64
Unlisted Options @ $0.03 ex price, expiring 29 November 2027
Name
Holding
%
1.
Formica Investments Pty Ltd
5,000,000
38.46
2.
King Corporate Pty Ltd
3,500,000
26.92
3
Pathways Corp Investments Pty Ltd
3,000,000
23.08
1
The Company Secretary is Jessamyn Lyons.
2
Principal registered office
As disclosed in the Corporate Directory on page i of this Annual Report.
3
Registers of securities
As disclosed in the Corporate Directory on page i of this Annual Report.
4
Stock exchange listing
Quotation has been granted for all the ordinary shares of the Company on all Member Exchanges of the Australian
Securities Exchange Limited, as disclosed in the Corporate Directory on page i of this Annual Report.
5
Use of funds
The Company has used its funds in accordance with its initial business objectives.