ANNUAL
REPORT 2023
superiorresources.com.au
Corporate
Directory
COMPANY
Superior Resources Limited
ABN 72 112 844 407
REGISTERED OFFICE
Unit 8, 61 Holdsworth Street
COORPAROO QLD 4151
PRINCIPAL OFFICE
Suite 3, Level 1, 5 Gardner Close
MILTON QLD 4064
T: 07 3847 2887
E: manager@superiorresources.com.au
DIRECTORS
Carlos Alberto Fernicola
(Non-Executive Chairman)
Peter Henry Hwang
(Managing Director)
Simon James Pooley
(Non-Executive Director)
COMPANY SECRETARY
Carlos Alberto Fernicola
STOCK EXCHANGE
ASX LIMITED
ASX Code: SPQ
CONTENTS
INTERNET ADDRESS
www.superiorresources.com.au
POSTAL ADDRESS
PO Box 189
COORPAROO QLD 4151
SHARE REGISTRY
Link Market Services Limited
Level 21, 10 Eagle Street
BRISBANE QLD 4000
POSTAL ADDRESS
Locked Bag A14
SYDNEY SOUTH NSW 1235
T: 1300 554 474
F: 02 9287 0303
E: registrars@linkmarketservices.com.au
AUDITOR
William Buck
Level 21, 307 Queen Street
BRISBANE QLD 4000
T: 07 3229 5100
F: 07 3221 6027
Chairman and Managing Director’s Review
Highlights
Review of Operations
Directors' Report
Auditor's Independence Declaration
Corporate Governance
Consolidated Statement of Profit or Loss
Consolidated Statement of other Comprehensive Income
Consolidated Statement of Financial Position
Consolidated Statement of Changes In Equity
Consolidated Statement of Cash Flows
Notes to the Consolidated Financial Statements
Directors' Declaration
Independent Auditor’s Report
Shareholder Information
Tenement Schedule
Mineral Resources Statement
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S U P E R I O R R E S O U R C E S L I M I T E D
AN N UAL REPO RT 2023
SUPERIOR
RESOURCES
Big projects.
Big potential.
Superior Resources Limited (ASX:SPQ) is an Australian public company
exploring for large copper-gold, nickel-copper-PGE, gold and lead-zinc-
silver deposits in northern Queensland which have the potential to return
maximum value growth for shareholders.
Based in Brisbane, Queensland, Superior is focused on multiple Tier-1 potential
exploration targets and has a dominant position within the Carpentaria Zinc Province
in north-west Qld and Ordovician rock belts hosting copper-gold porphyries in north-
east Qld, considered equivalents of the NSW Macquarie Arc.
Amid rising demand from the green transition for metals such as copper, nickel,
PGEs, cobalt and zinc, Superior has the right projects in the right location at the
right time.
Our experienced Board has expertise in all aspects of minerals exploration, financial
management and corporate governance, backed by an expert geological team to
advance our exploration portfolio.
To find out more, visit our website at www.superiorresources.com.au
1
CHAIRMAN AND
MANAGING
DIRECTOR’S REVIEW
Dear Fellow Shareholders
Bottletree results impress
Superior Resources has achieved
significant value growth in its
future-facing portfolio of projects
through continued high impact
exploration outcomes.
Despite challenging global economic
and market conditions, we have
continued to attract the necessary
investor support to maintain an active
exploration program across our projects
in northern Queensland.
This exploration program has built the
foundations for further growth in market
value, as we continue to target potential
‘elephants’ in an extremely prospective
region, including porphyry copper, and
magmatic sulphide nickel-copper-PGE.
Notably, Superior’s 100 per cent owned
Greenvale Project has been validated as
a province containing several porphyry
systems with Tier-1 deposit potential.
The province extends for at least 65
kilometres and includes at least five
known or suspected porphyry prospects.
It is believed to represent the northern
remnants of the New South Wales
Ordovician-age Macquarie Arc, which
hosts the world-class Cadia and
Ridgeway porphyry deposits.
The Bottletree Copper-Gold Prospect
within Superior’s Greenvale Project
continues to impress, with drill
results showing the potential for a
significant porphyry copper, gold and
molybdenum discovery.
Importantly, Bottletree has been
recognised as a copper-gold-
molybdenum porphyry system by
internationally recognised porphyry-
epithermal experts, which provides a
solid foundation for the project.
Commencing in mid-June, the 2022
drilling program started with the
collaring of the program’s first diamond
core hole, BTDD005. The primary
objective was to build a geological
model to better understand the
mineralisation and identify porphyry-
related alteration zones.
In August 2022, Superior announced
that visual copper mineralisation had
been intersected over almost the entire,
933 metre BTDD005, reinforcing the
prospect’s large size potential and
confirming a buried porphyry system.
A new porphyry target was also
identified, with at least two potential
core porphyries.
Bottletree’s 2022 drilling program was
completed in December, comprising six
diamond core holes for 4,952m of core.
Several dacite porphyry intrusions and
2
varying degrees of disseminated and
vein quartz-chalcopyrite mineralisation
were intersected at each hole.
In April 2023, Superior reported the
discovery of a large porphyry-style
alteration and copper-gold-molybdenum
mineralisation system, extending from
the surface to at least 850m down-
dip depth. This included high-grade
molybdenum mineralisation, including a
spectacular 5.2% Mo assay.
With molybdenum currently trading
at around US$50,000 per tonne,
Bottletree’s molybdenum potential could
be substantial in terms of its overall
economic potential.
The discovery of a copper-
molybdenum porphyry system in this
part of Queensland is significant, as
metallogenically-fertile Orodovician-
age porphyries similar to those in NSW
were not previously known to exist
in Queensland.
A phase two drilling program at
Bottletree was announced in June 2023,
targeting an interpreted intrusion centre
considered a likely source of copper
and molybdenum mineralisation, as
well as testing for wallrock porphyry
deposit potential.
SUPERIOR RESOURCES LIMITED ANNUAL REPORT 2023 Both the Queensland and federal
governments consider metals such
as copper and nickel key to the energy
transition. For example, a typical electric
car requires six times the mineral
inputs of a conventional vehicle and an
offshore wind plant requires 13 times
more mineral resources than a similarly
sized gas-fired plant.
The International Energy Agency expects
demand for such critical minerals to
more than double by 2030 and grow
another 3.5 times by 2050, making
the discovery of such minerals vital to
facilitate global net zero targets.
Having identified two new high-impact
mineral provinces and with the potential
for near-term revenue from Superior’s
Steam Engine Gold Project, the
Company is extremely well placed to
deliver significant value growth.
With such a bright outlook, Superior is
set for further gains in fiscal 2024 and I
thank you for your continued support.
Yours sincerely
Carlos Fernicola
Chairman
Peter Hwang
Managing Director
Cockie Creek advances
In June 2023, Superior announced plans
to commence a maiden diamond drilling
program at the Cockie Creek Porphyry
Prospect. The program targeted two
significant anomalies directly below the
shallow copper-gold deposit, as well as
resource definition drilling.
The current Mineral Resource estimate
comprises 13 million tonnes @ 0.42 per
cent copper (0.25 per cent cut-off grade),
based on a strike length of 1.2 km and a
maximum depth of 250m.
Cockie Creek has been subject to very
limited historical exploration and prior
explorers did not consider it a porphyry
copper-gold system. Consequently,
Superior’s drilling program is the first
to target a large porphyry system
potentially responsible for the known
mineralisation. The prospect has
significant potential for the discovery
of a large porphyry, copper-gold-
molybdenum mineralisation system.
Post-balance date, in August the
Company announced the completion of
the first four Resource definition holes,
with each hole generally confirming a
greater extent of copper mineralisation
than reported in historical drill
hole assays.
In September, further drill holes
confirmed that the strong visually
observed copper sulphide mineralisation
continued to be intersected for
significant distances outside the
historically reported mineralisation
envelope. The holes also extended the
mineralised zone down dip.
The first assays announced later the
same month returned strong porphyry
copper mineralisation indicative of a
well-mineralised porphyry copper-gold-
molybdenum system. Assays from the
second hole were also encouraging,
confirming higher grades and broader
width of porphyry copper and gold
mineralisation at deeper levels.
The quality of the mineralisation
at Cockie Creek in terms of grade,
consistency and continuity has been
impressive, boosting confidence in the
size and grade potential of the causative
porphyry system.
Elsewhere, Superior is planning
maiden exploration programs on the
Greenvale magmatic nickel-copper-PGE
sulphide province.
New tenement applications for three
new exploration permits for minerals
were made during the September
quarter 2023, with Superior targeting
terrain considered prospective for
Voisey’s Bay-style magmatic nickel-
copper-PGE sulphide systems.
Investors support capital raise
Recent drilling programs would have
been impossible without investor
support and Superior thanks all
shareholders for their continued backing,
particularly amid recent geopolitical and
economic conditions.
In May, a placement to institutional and
sophisticated investors secured around
$4 million, including new institutional
investors. The funding has enabled
the Company to accelerate exploration
across multiple prospects within the
Greenvale porphyry province, including
at Bottletree and Cockie Creek, while
also progressing a Mining Options Study
and Resource expansion program at the
Steam Engine Gold Project.
Superior looks forward to advancing
exploration across its project portfolio,
to deliver returns to investors and
increased value for all stakeholders.
I would also like to thank my fellow
Directors, our employees, consultants,
contractors and suppliers and all those
associated with Superior for your
support over the past year, without
which recent achievements would not
have been possible.
Superior’s project pipeline is well placed
amid the world’s net zero push, with
minerals such as copper vital to the
global decarbonisation drive.
3
SUPERIOR RESOURCES LIMITED ANNUAL REPORT 2023
HIGHLIGHTS
Discovery of large porphyry-style system at
Bottletree Copper-Gold Prospect
Bottletree recognised by international
experts as copper-gold-molybdenum
porphyry system
Spectacular molybdenum grades of up to
5.2% Mo boost Bottletree’s potential
Maiden diamond drilling program launched at
Cockie Creek Porphyry Copper-Gold Prospect
Successful capital raise secures $4 million
to advance multi-prospect drilling program
4
SUPERIOR RESOURCES LIMITED ANNUAL REPORT 2023 Review of
Operations
Superior Resources (ASX:SPQ) holds a portfolio of
quality Tier 1 potential exploration projects in North
Queensland prospective for copper, gold, nickel-PGE,
zinc-lead-silver, rare earth elements and uranium.
Nicholson
Victor
Mount Isa
Cairns
Greenvale
Townsville
QLD
5
Location map showing
the Company’s current
portfolio of projects.
Brisbane
SUPERIOR RESOURCES LIMITED ANNUAL REPORT 2023 S U P E R I O R R E S O U R C E S L I M I T E D
AN NUAL REPORT 2023
LEVERAGING
THE GREEN
TRANSITION
Superior’s projects are leveraging the green transition, with
our portfolio of key forward-facing metals including copper,
nickel, PGEs, cobalt and zinc, together with uranium and rare
earth elements.
Feasibility Study
Resource definition /
Significant mineralisation
Advanced exploration
Exploration
6
Greenvale Project
The Greenvale Project (SPQ 100%) is
highly prospective for multiple porphyry
copper-gold, orogenic gold, VMS
copper, Voisey’s Bay style magmatic
nickel-copper-PGE sulphide and zinc
deposits and contains at least 60 high
potential prospects.
The project covers a substantial area
of 1,750 sq km and is located within a
region of notable economic significance,
being proximal to the Kidston, Balcooma,
Surveyor and Dry River South deposits.
The Kidston Clean Energy Hub, being
constructed at the former Kidston
mine site, will supply 100% renewable
energy into the NEM via a transmission
line passing through the centre of the
Greenvale Project area.
Mineral prospects within the Greenvale
Project include the following:
Bottletree
Porphyry copper-molybdenum-gold
Cockie Creek
Porphyry copper-gold
Wyandotte Copper
High-grade copper, potential porphyry
Galah Dam
Big Mag
Palmer Rails
Phantom Creek
Potential porphyry / massive sulphide copper-gold-zinc
Potential magmatic nickel-copper-PGE sulphide
Voisey’s Bay style magmatic nickel-copper-
PGE sulphide
Voisey’s Bay style magmatic nickel-copper-
PGE sulphide
Bombay Sapphire
Potential VMS or porphyry copper
Steam Engine
High-grade orogenic lode gold
Halls Reward
Cyprus style VMS (high-grade copper)
One Mile/One Mile Dam
Potential VMS / porphyry copper-gold
Riesling
Potential Broken Hill Style zinc-lead-copper
Lucky Creek
Lateritic Nickel-Cobalt-Rare Earth Elements
Figure 1: Greenvale Project
tenements and prospects
shown over satellite imagery.
7
SUPERIOR RESOURCES LIMITED ANNUAL REPORT 2023 Figure 2: Exploration drilling at Superior’s
Greenvale Project in Queensland
Bottletree Copper-Gold Prospect
The Bottletree Copper-Gold Prospect
has continued to impress, with drilling
results showing the potential for a
significant porphyry copper, gold and
molybdenum discovery.
The project is located around 210 km
west of Townsville, Qld and only 5 km
south of Superior’s Steam Engine
Gold Project.
Importantly, Bottletree has been
recognised as a copper-gold-molybdenum
porphyry system by internationally
recognised porphyry experts, providing a
solid foundation for the project.
Bottletree’s 2022 drilling program
commenced on 15 June 2022 with the
collaring of the program’s first diamond
core hole, BTDD005. The primary
objective was to build a geological model
to better understand the mineralisation
and identify porphyry-related alteration
zones and zonation of alteration to enable
vectoring towards the central mineralised
potassic core(s) of a porphyry system.
In August 2022, Superior announced
that visual copper mineralisation had
been intersected over almost the entire,
933 metre BTDD005, collared 300m
west of BTDD004. The 250m interval
of strong copper mineralisation in
BTDD005 indicated at least 700m of
down-dip continuation from surface of the
strongly mineralised distal copper zone
identified in BTDD004. This was the best
confirmation of a buried porphyry system
at Bottletree.
A new porphyry target was also identified,
along with at least two other potential
core porphyries.
Bottletree’s 2022 drilling program
was completed on 9 December 2022,
comprising six diamond core holes
(BTDD005 – BTDD010) for 4,952m of
core. Several dacite porphyry intrusions
and varying degrees of disseminated and
vein quartz-chalcopyrite mineralisation
was intersected at each hole.
In April 2023, Superior reported a
significant breakthrough with the
discovery of a large porphyry-style
alteration and copper-gold-molybdenum
mineralisation system, extending from
the surface to at least 850m down-
dip depth. This included high-grade
molybdenum mineralisation, including a
spectacular 5.2% assay.
With molybdenum currently trading at
around US$50,000 per tonne, Bottletree’s
molybdenum potential could be
transformational in terms of its overall
economic potential.
8
The drilling program validated Greenvale
as a newly recognised porphyry
province containing several porphyry
systems with Tier-1 deposit potential.
The province extends for at least 65
km, includes at least five known or
suspected additional porphyry prospects
and is 100 per cent owned by Superior.
The discovery of a copper-
molybdenum porphyry system in this
part of Queensland is significant, as
metallogenically-fertile Orodovician-
age porphyries similar to those in NSW
were not previously known to exist
in Queensland.
A phase two drilling program of a
minimum 2,000m of diamond core
drilling at Bottletree was announced
in June 2023, targeting an interpreted
intrusion centre considered a likely
source of copper and molybdenum
mineralisation, as well as testing for
wallrock porphyry deposit potential.
Cockie Creek Porphyry Copper-Gold
Prospect
Superior’s most advanced porphyry
prospect, Cockie Creek has potential
for significant porphyry copper-gold
mineralisation, with its mineralised
system extending over 1.2 km and
with a true width of up to 60m.
The mineralisation shows good
continuity and has only been drilled to
shallow depths.
SUPERIOR RESOURCES LIMITED ANNUAL REPORT 2023 In September 2023, further drill holes
confirmed that the strong visually
observed copper sulphide mineralisation
continued to be intersected for
significant distances outside the
historically reported mineralisation
envelope. The holes also extended the
mineralised zone down dip.
The first assays announced later the
same month returned strong porphyry
copper mineralisation indicative of a
well-mineralised porphyry copper-gold-
molybdenum system. Results included
71m @ 0.48% Cu and 70ppm Mo from
16m (CCDD001), including 31m @
0.65% Cu and 80ppm Mo from 36m.
Assays from the second hole announced
in October 2023 were also encouraging,
confirming higher grades and broader
width of porphyry copper and gold
mineralisation at deeper levels. Results
included 117m @ 0.52% Cu, 0.11 g/t Au
and 109ppm Mo from 20m (CCDD002).
As at 16 October 2023, Superior had
completed seven holes for a total of
2,773m of core, the first systematic
drilling at Cockie Creek for over 30 years
and the first to target the prospect as a
porphyry system.
The quality of the mineralisation
at Cockie Creek in terms of grade,
consistency and continuity has been
impressive, boosting confidence in the
size and grade potential of the causative
porphyry system.
The drilling results have also validated
the Greenvale Lucky Creek Corridor as
a preserved island arc system hosting a
belt of regularly spaced porphyry copper-
gold mineralisation systems.
Figure 3: Intense molybdenum mineralisation
within tonalite porphyry (1m @ 5.2% Mo within 6m
@ 1.39% Mo, BTDD010, 474m-476m).
The current Mineral Resource estimate
comprises 13Mt @ 0.42% Cu (0.25%
Cu cut-off grade) (JORC 2004), based
on a strike length of 1.2 km and down
to around 300m depth (compiling
Mineral Resource Estimation to comply
with JORC 2012). Two large, intense IP
chargeability targets are located at depth
below the defined mineralisation.
In June 2023, Superior announced
plans to commence a maiden diamond
drilling program at the Cockie Creek
Porphyry Prospect to produce 4,500m
of drill core. The program targeted two
significant anomalies directly below the
shallow copper-gold deposit, as well as
resource definition drilling to establish a
JORC 2012 compliant Mineral Resource
Estimate and expand the size of
the resource.
Cockie Creek has been subject to very
limited historical exploration and prior
explorers did not consider it a porphyry
copper-gold system. Consequently,
Superior’s drilling program is the first to
target a large porphyry system potentially
responsible for the known mineralisation.
The prospect has significant potential for
the discovery of a large porphyry, copper-
gold-molybdenum mineralisation system.
As at Bottletree, the likely wall rock-hosted
mineralisation at Cockie Creek represents
a potentially significant copper resource.
Copper grades at Cockie Creek are
relatively high in porphyry deposit terms,
while a significant zone of gold (3m @
9.0 g/t Au, from 80m in hole CRC003)
was returned immediately before the
western chargeable zone.
Post-balance date, in August 2023 the
Company announced the completion of
the first four Resource definition holes,
with each hole generally confirming a
greater extent of copper mineralisation
than reported in historical drill
hole assays.
Figure 4: 3D IP chargeability model showing
moderate to high chargeability zone. Historical
drill holes (grey traces) and copper mineralisation
(green) with 2023 planned drill holes in red.
Viewed looking northeast.
9
SUPERIOR RESOURCES LIMITED ANNUAL REPORT 2023 Wyandotte Copper Prospect
The Wyandotte Prospect is a
shallow zone of high-grade copper
mineralisation, which is potentially
associated with a deeper intrusion-
related or porphyry system.
In June 2023, Superior announced
plans for the first drilling at Wyandotte
since 1975, with the drilling campaign
scheduled for late 2023 – early
2024. The Company is progressing
initial geological and survey work in
preparation, with initial field work having
significantly upgraded its porphyry
potential and scale.
Figure 6: Exploration at Superior’s
Greenvale Project
Superior previously announced an
Exploration Target (see Cautionary Note
below) that meets the requirements
of clauses 17 and 38 of the JORC
Code 2012, ASX Listing Rules 5.7,
5.12 and 5.16 and ASX Listing Rules
Guidance Note 31. The Exploration
Target was expressed as a tonnage and
grade range:
Figure 5: 3-D view of Wyandotte mineralisation
wireframes of +1% copper and +0.2% copper
mineralisation.
Table 1. Exploration Target – Wyandotte Copper Prospect
Tonnes
400,000
1,000,000
SG
2.7
3.0
Cu %
2.2%
1.9%
Cu tonnes
8,800
19,000
Range
Lower
Upper
Cautionary Statement (JORC, 2012)
Exploration Target: The Wyandotte Exploration Target has been calculated using historic drill hole and
assay information by a Competent Person (Competent Person declaration is provided in the latter parts of
this report). The Exploration Target is reported in a form comprising a tonnage and copper mineralisation
grade range. The Exploration Target does not constitute a Mineral Resource or Ore Reserve. The potential
quantity and grade expressed by the Exploration Target is conceptual in nature as there has been insufficient
exploration information to estimate a Mineral Resource. Furthermore, it is uncertain whether further
exploration work will result in the estimation of a Mineral Resource.
10
SUPERIOR RESOURCES LIMITED ANNUAL REPORT 2023 S U P E R I O R R E S O U R C E S L I M I T E D
AN N UAL REPO RT 2023
11
Steam Engine Gold Deposit
The Steam Engine Gold Deposit contains
at least two sub-parallel gold-bearing
lodes, referred to as the Steam Engine
Lode and the Eastern Ridge Lode.
A third zone of sub-parallel mineralisation
exists to the east of Eastern Ridge Lode
(Dinner Creek Lode) and an area of gold
mineralisation comprising multiple lodes
(Southern Zone) is located between, and
to the south of the Steam Engine and
Eastern Ridge lodes.
A 2021 resource drilling program
resulted in a material upgrade to the
Steam Engine Mineral Resource (JORC
2012), as shown below.
Au
Ounces
200,000
180,000
160,000
140,000
120,000
100,000
80,000
60,000
40,000
20,000
Steam Engine Resource Growth
(Total contained Au)
Inferred
85,000
Inferred
64,000
Indicated
30,000
Inferred
55,000
Indicated
47,000
Measured
20,000
Inferred
75,000
Indicated
68,000
Measured
53,000
October 2017
(cut-off 1.0 g/t Au)
May 2020
(cut-off 0.5 g/t Au)
March 2021
(cut-off 0.5 g/t Au)
April 2022
(cut-off 0.25 g/t Au)
Figure 7: Chart showing growth of total contained Au metal from Resources Estimates of the
Steam Engine Gold Project.
The Resource envelope was developed
to shallow depths along 1.3 km of lode
strike, with at least 14 km of additional
lode potential identified.
Superior is conducting an Options Study
for the mining and processing of Steam
Engine ore.
Other planned future activities include
advancing toll treatment discussions
with third parties; undertaking a
Feasibility Study on Steam Engine and
the Eastern Ridge lodes; metallurgical
and environmental studies; a Mining
Lease Application; and conducting
Resource extension geophysical surveys.
Key results included:
Lower Grade Owner Operated
Processing Plant Model (lower cut-off
grade of 0.25 g/t Au)
60.7% increase in total Measured,
Indicated and Inferred Resource to
4.18 Mt @ 1.5 g/t Au for 196,000
oz Au
80.6% increase in total Measured
and Indicated Resource to: 2.22 Mt
@ 1.7 g/t Au for 121,000 oz Au
High Grade Toll Treatment Model (higher
cut-off grade of 1.0 g/t Au)
40.2% increase in the total
Measured, Indicated and Inferred
Resource to: 2.72 Mt @ 2.0 g/t Au
for 171,000 oz Au
65.7% increase in total Measured
and Indicated Resources to: 1.61
Mt @ 2.2 g/t Au for 111,000 oz Au
Table 2. Steam Engine Gold Project updated JORC, 2012 Mineral Resources Estimates
Model
Classification
OWNER OPERATOR MODEL
(0.25 g/t Au block grade cut-off)
TOTAL
TOLL TREATMENT MODEL
(1.0 g/t Au block grade cut-off)
TOTAL
Measured
Indicated
Inferred
Measured
Indicated
Inferred
Tonnes
800,000
1,420,000
1,960,,000
4,180,000
590,,000
1,020,000
1,110,000
2,720,000
12
Grade (g/t Au)
Ounces (Au)
2.1
1.5
1.2
1.5
2.6
1.9
1.7
2.0
53,000
68,000
75,000
196,000
49,000
62,000
60,000
171,000
SUPERIOR RESOURCES LIMITED ANNUAL REPORT 2023 Figure 8: Exploration drilling at Superior’s
Greenvale Project
Magmatic Nickel-Copper-PGE
Sulphide Project
Superior’s Magmatic Nickel-Copper-PGE
Sulphide Project represents a newly
recognised magmatic nickel sulphide
province. The province has been proven
by mining major Anglo American to
host Ni-Cu-PGE sulphide mineralisation
within intrusions similar to the large-
scale magmatic Ni-Cu-PGE sulphide
ore bodies of the Norilsk and Voisey’s
Bay deposits.
More than 40 fertile troctolite intrusions
have been identified, with only one
intrusion subjected to initial drilling.
Limited historic drilling by Anglo
American confirmed the presence of
fertile host rocks carrying magmatic
sulphide mineralisation with up to 133m
@ 0.12% Ni and 105m @ 0.14% Ni (up
to 0.58% Ni, 0.28% Cu, 290ppb Pd,
220ppm Pt).
Anglo American concluded that “mafic
and ultramafic intrusive complexes that
were previously unknown in the area
do in fact exist and have the potential
to host Ni-Cu-PGE sulphide deposits
similar to that at Voisey’s Bay” and
their drill results “are considered to be
very significant” and show that “(i) the
rights rocks are present, (ii) there are
multiple untested intrusions and (iii)
the magmas are fertile – all of which
are very encouraging for further Ni
[sulphide] exploration”.
13
Superior is in a sector-leading Ni-Cu-
PGE position, aided by the advantage of
having enormous amounts of modern
exploration data generated by Anglo
American on a proven magmatic Ni-Cu-
PGE sulphide province, including large,
high resolution airborne geophysical
surveys totalling more than 5,070
line-kilometres and information from
petrographic and academic studies on
key rock types.
As a result, the project represents the
most prospective new nickel sulphide
province in Australia.
SUPERIOR RESOURCES LIMITED ANNUAL REPORT 2023 S U P E R I O R R E S O U R C E S L I M I T E D
AN NUAL REPORT 2023
14
Figure 9: The expanded 100%-owned Greenvale
Project tenements showing new EPM applications
in yellow.
Two field reconnaissance visits to the
project area were conducted during
November and December 2022. The
objectives of the visits were to conduct
rock chip sampling of key intrusions
that crop out at surface, establish
practical access arrangements with the
landholder and identify logistical factors
relevant to field exploration work.
The field visits also enabled two
well-funded parties to conduct field
due diligence on the project as part
of commercial discussions relating
to potential farm-in and joint venture
transactions. Discussions with the
parties are continuing.
The parties’ interests in Superior’s nickel
assets do not conflict with each other as
their objectives target different styles of
nickel mineralisation (i.e. Magmatic Ni-
Cu-PGE sulphide and Laterite Ni).
Superior also applied for three new
exploration permits for minerals
(EPMs), comprising Six Mile Creek,
Lyndhurst and Middle Creek. Each of the
applications comprised 10 sub-blocks,
covering a total of 900 sq km, being the
maximum size permitted for an EPM.
The applications were made for the
purpose of covering additional terrain
considered prospective for Voisey’s Bay
style magmatic Ni-Cu-PGE sulphides.
These include several high priority
magnetic features considered by Anglo
American to be priority intrusion-related
magmatic sulphide targets.
The area also includes several known
uranium occurrences. Superior will
collate all available information relating
to these, including historic exploration.
Notably, the local area is known for
uranium mineralisation, with the Oasis
Uranium Prospect located around 25 km
to the north-northwest.
15
Figure 10: Magmatic Ni-Cu-PGE Project showing
key intrusions over aerial magnetics data and
tenement boundaries.
SUPERIOR RESOURCES LIMITED ANNUAL REPORT 2023 Victor and
Nicholson Projects
The Nicholson Project
(EPM15670 and EPM18203),
together with the Victor
Project is located north-
west of Mount Isa and
provides the Company with
opportunities to discover
similar Mount Isa style zinc-
lead-copper deposits with a
portfolio of drill-ready targets.
The projects are located
in the Carpentaria Zinc
Province, which contains
20% of the world’s zinc
resource inventory.
In the region immediately
surrounding Mount Isa, rocks
prospective for Mount Isa
Style deposits are exposed
at or close to surface and as
a consequence, have been
intensely explored.
In contrast, the Company’s
Nicholson and Victor projects
are located in an equally
prospective region that is
relatively unexplored. These
are the most likely areas
within Queensland to make
the next Mount Isa discovery.
Exploration work completed
to date has identified at
least eight large high priority
geophysical targets, each
of which have potential
to be caused by Tier
1-sized stratiform base
metal deposits.
In addition, the project
area also includes the
Walford Creek West
Zinc-Lead-Copper-Cobalt
Prospect and the Hedleys
Uranium Prospect.
During the year, Superior
undertook exploration
program planning,
including a review of the
geophysical data.
Figure 11: Rock chip of
gabbro outcrop taken from
Phantom intrusion carrying fine
disseminated sulphides.
Nicholson Project
8+ Tier 1 potential
EM targets
Mount Isa Style (lead-zinc-silver)
Walford Creek West
Mount Isa Style (sulphide copper-
lead-zinc-cobalt)
Hedleys Uranium
Uranium
Victor Project
The Victor Project comprises
four exploration permits for
minerals covering a total
area of 438 sq km. Work
conducted by the Company
indicates that stratigraphy
prospective for the discovery
of Mount Isa Style deposits
is likely to be present under
moderate sedimentary cover
within the project area. This
area is relatively unexplored.
Superior’s exploration
strategy is based on the
mechanism of geochemical
“leakage” of key metals
(lead, zinc and copper)
from a deeper Proterozoic
mineralised source into
the younger sediments
overlying the Proterozoic,
which may be one of the
best methods of targeting
prospective areas for Mount
Isa style deposits.During
the year, Superior undertook
exploration program
planning, including a review
of the geophysical data.
Victor Project
Mount Isa Style (lead-zinc-silver)
Kingfisher
Copper-cobalt
16
Hedleys Uranium
Hedleys Uranium is a strong,
localised airborne uranium
radiometric anomaly
associated with a major fault.
The anomaly has previously
been considered to be an
anomaly related to radon gas
dissolved in spring waters
and has not previously
been drilled.
Superior’s work indicates that
the source of the anomaly
lies approximately 100 to
150m above the major
unconformity between the
sandstones and siltstones
of the South Nicholson
Group and the underlying
carbonaceous siltstones of
the Doomadgee Formation
and the Mt Les Siltstone.
No work was undertaken
on the project during the
financial year.
SUPERIOR RESOURCES LIMITED ANNUAL REPORT 2023 S U P E R I O R R E S O U R C E S L I M I T E D
AN N UAL REPO RT 2023
17
SUPERIOR RESOURCES LIMITED (ABN 72 112 844 407)
DIRECTORS’ REPORT
Your Directors present their report on the consolidated entity (referred to in this Report as the Group) consisting of
Superior Resources Limited and the entities it controlled during the year ended 30 June 2023 (Report).
DIRECTORS
The following persons were Directors of the Company during the year and up to the date of this Report:
P H Hwang
C A Fernicola
S J Pooley
Managing Director
Chairman and Company Secretary
Non-Executive Director
PRINCIPAL ACTIVITIES
During the year the principal activity of the Group was the continued evaluation and expansion of the Bottletree
Copper-Gold Prospect. The Group also continued exploration for copper-gold and magmatic nickel sulphide
deposits in northern Queensland, Australia. There were no significant changes in the nature of the Company’s
activities during the year and no significant changes in activity are anticipated.
DIVIDENDS
There were no dividends paid to members during the financial year (2022: $nil).
REVIEW OF OPERATIONS
The loss after tax for the year was $889,011 (2022: loss of $597,287).
Operations Summary
The principal activity of the Group during the full year period was exploration for porphyry copper-gold, gold and
nickel-copper-PGE deposits in northern Queensland, Australia. There were no significant changes in the nature of
the Group’s activities during the reporting period.
•
GREENVALE PROJECT (porphyry copper, gold and magmatic sulphide nickel-copper-PGE)
Bottletree Copper-Gold Prospect
o
o
2022 Bottletree drilling program was completed on 9 December 2022. A total of six diamond core holes
were drilled (BTDD005 – BTDD010) for 4,952.8 metres of core.
Detailed studies of drill core from the 2022 program confirm the discovery of a large porphyry-style
alteration and Cu-Au-Mo mineralisation system.
o High-grade molybdenum mineralisation associated with late-stage tonalite porphyry intrusions with up to
a spectacular 5.2% Mo (1m assay) was encountered in BTDD010.
o Western-most hole BTDD010 and deeper part of BTDD005 potentially drilled within close proximity to a
targeted porphyry core.
o Wall rock-hosted copper mineralisation (out of porphyry zone) likely sourced from a mineralised porphyry
core, has been shown to extend to at least 850m depth from surface with approximately 270m true width.
Primary objective is to build a geological model to enable vectoring of 2023 holes to the central mineralised
potassic core(s).
Conducted a multi-element soil geochemistry sampling and assaying program.
Conducted a gravity survey.
Preparation and planning of 2023 Bottletree exploration program.
o
o
o
o
18
SUPERIOR RESOURCES LIMITED ANNUAL REPORT 2023
SUPERIOR RESOURCES LIMITED (ABN 72 112 844 407)
DIRECTORS’ REPORT
REVIEW OF OPERATIONS – (continued)
Wyandotte Copper Prospect
o Conducted initial field reconnaissance mapping and investigations.
o Prepared and planned of a maiden diamond drilling program.
Cockie Creek Porphyry Copper-Gold Prospect
o Progressed a technical study.
o Prepared and planned a maiden diamond drilling program.
Commenced porphyry copper-gold potential study over the entire Greenvale Project area.
Magmatic Nickel-Copper-PGE sulphide Project
o Conducted data review and geophysical modelling of magnetic and VTEM survey data at the Big Mag, Dido
and Phantom Creek nickel-copper-PGE prospects.
o Applied for three new exploration permits for minerals (EPMs) (Six Mile Creek, Lyndhurst and Middle Creek).
Steam Engine Gold Deposit
o Conducting an Options Study for the mining and processing of Steam Engine ore.
• VICTOR AND NICHOLSON PROJECTS (SEDEX lead-zinc-silver, copper, uranium)
o Reviewing geological and geophysical data.
CORPORATE and COMMERCIAL
•
•
The Group completed one capital raising during the fourth calendar Quarter of 2023 comprising a placement of
133,333,333 shares.
Each share subscribed for was entitled to free options on a 2:1 basis resulting in the issue of 76,666,667 options
for no consideration with an expiry date of 30 November 2024 and an exercise price of $0.06.
CASH CONSERVATION
The Company’s Board maintains cash conservation measures concerning the Company’s head office and
administration.
19
SUPERIOR RESOURCES LIMITED ANNUAL REPORT 2023
SUPERIOR RESOURCES LIMITED (ABN 72 112 844 407)
DIRECTORS’ REPORT
SIGNIFICANT CHANGES IN THE STATE OF AFFAIRS
There are no significant changes in the state of affairs of the Group during the financial year.
MATTERS SUBSEQUENT TO THE END OF THE FINANCIAL YEAR
Apart from other matters already stated, no other matters or circumstances have arisen since 30 June 2023 that
have significantly affected, or may significantly affect:
(a)
(b)
(c)
the Group’s operations in future financial years, or
the results of those operations in future financial years, or
the Group’s state of affairs in future financial years.
LIKELY DEVELOPMENTS AND EXPECTED RESULTS FROM OPERATIONS
The Group is currently conducting an Options Study on the feasibility of a range of mining and processing options
for the mining and processing of gold ore from the Steam Engine Gold Deposit (Greenvale Project).
The Group commenced a maiden drilling program on the Cockie Creek porphyry copper prospect (Greenvale Project)
in July 2023. The objectives of the program are to:
-
-
-
target two high order induced polarisation (IP) chargeability anomalies directly below the Discovery
Outcrop. The chargeability anomalies are interpreted to represent the upper zones of a mineralised
Cu-Au-Mo porphyry core;
target interpreted large intrusion centres west of the Discovery Outcrop; and
establish a JORC (2012)-compliant upgraded Mineral Resource Estimate on the Discovery Outcrop.
REGULATORY MATTERS
The Group’s operations are subject to substantial and significant regulatory control under various Queensland State
and Commonwealth legislation. Significant matters that are regulated include mining, environmental, native title
and real property. No matters of material concern have arisen in relation to regulatory control up to the date of this
Report.
INFORMATION ON DIRECTORS
Peter Henry Hwang B.Sc.(Hons), LLB, MAIG, MGSA, MQLS
Managing director.
Experience and expertise
Mr Hwang has over 10 years’ experience as a gold, base metals and diamond exploration geologist and 20 years’
experience as a solicitor practicing in Queensland and national law firms specialising in resources, commercial,
M&A, infrastructure and native title law. He has extensive experience in advising on the development and permitting
of mining and major infrastructure projects, mining transactions as well as resource sector mergers and acquisitions
transactions.
Other current directorships
None.
Former directorships in last 3 years
None.
Special responsibilities
Managing Director.
Interests in SPQ shares and options
50,696,338 ordinary shares.
20
SUPERIOR RESOURCES LIMITED ANNUAL REPORT 2023
SUPERIOR RESOURCES LIMITED (ABN 72 112 844 407)
DIRECTORS’ REPORT
Carlos Alberto Fernicola B.Com., FCA, F Fin FCIS FGIA CTA
Chairman.
Experience and expertise
Mr Fernicola is the Principal of Carlos Fernicola & Co., Chartered Accountants. Mr Fernicola is a Fellow of the
Institute of Chartered Accountants in Australia, Fellow of the Governance Institute of Australia and Fellow of the
Financial Services Institute of Australia. He has over 30 years of experience in accounting, taxation, audit and the
financial services industry.
Other current directorships
None.
Former directorships in last 3 years
None.
Special responsibilities
Chairman and Company Secretary.
Member of the Audit Committee.
Interests in SPQ shares and options
51,999,998 ordinary shares.
Simon James Pooley B.Sc., MAIM, GAICD
Non-Executive Director.
Experience and expertise
Mr Pooley has 30 years’ experience in mine development, operations and mineral exploration. He has held senior
industry positions that have demonstrated leadership and management of base and precious metals exploration
and mining operations, development of project assessment types including definitive and bankable feasibility
studies and their conversion into mining operations and managed teams undertaking exploration evaluations and
valuations, project evaluation, resource estimation and exploration management.
Other current directorships
None.
Former directorships in last 3 years
None.
Special responsibilities
Member of the Audit Committee.
Interests in SPQ shares and options
Nil.
COMPANY SECRETARY
The Company Secretary is Mr Carlos Alberto Fernicola, B.Com, FCA, FFin FCIS FGIA, CTA. Graduate Diploma
Advanced Accounting, Graduate Diploma Applied Finance and Investments, Graduate Diploma Corporate
Governance and Graduate Certificate Financial Planning.
Mr Fernicola was appointed to the position of Company Secretary on 11 November 2010.
21
SUPERIOR RESOURCES LIMITED ANNUAL REPORT 2023
SUPERIOR RESOURCES LIMITED (ABN 72 112 844 407)
DIRECTORS’ REPORT
MEETINGS OF DIRECTORS
The numbers of meetings of the company’s Board of Directors held during the year ended 30 June 2023, and the
numbers of meetings attended by each director were:
Board
Director
PH Hwang
CA Fernicola
SJ Pooley
Audit Committee
Director
CA Fernicola
SJ Pooley
Meetings Eligible
to attend
5
5
5
Meetings
attended
5
5
5
Meetings eligible
to attend
2
2
Meetings
attended
2
2
22
SUPERIOR RESOURCES LIMITED ANNUAL REPORT 2023
SUPERIOR RESOURCES LIMITED (ABN 72 112 844 407)
DIRECTORS’ REPORT
REMUNERATION REPORT (AUDITED)
The Directors are pleased to present your Group’s 2023 remuneration report which sets out remuneration
information for Superior Resources Limited’s non-executive Directors, executive Directors, and other key
management personnel.
The report contains the following sections:
(a) Directors and key management personnel disclosed in this Report
(b) Remuneration governance
(c) Use of remuneration consultants
(d) Executive remuneration policy and framework
(e) Relationship between remuneration and Superior Resources Limited’s performance
(f) Non-executive director remuneration policy
(g) Details of remuneration
(h) Service agreements
(i) Details of share-based compensation and bonuses
(j) Equity instruments held by key management personnel
(k) Loans to key management personnel
(l) Other transactions with key management personnel
(a)
Directors and key management personnel disclosed in this Report
Non-executive and executive Directors
P H Hwang
C A Fernicola
S J Pooley
Other key management personnel
Name
C A Fernicola
(b)
Remuneration governance
The Board is responsible for:
Position
Company Secretary
•
•
the over-arching executive remuneration framework;
the operation of any established incentive plans which may apply to the executive team, including key
performance indicators and performance hurdles;
remuneration levels of executive Directors and other key management personnel; and
•
• non-executive Directors' fees.
The objective is to ensure that remuneration policies and structures are fair and competitive and aligned with the
long-term interests of the Group.
(c)
Use of remuneration consultants
The Group engaged the services of a remuneration consultant during the 2021 financial year.
(d)
Executive remuneration policy and framework
The combination of base pay and superannuation make up the executive Directors’ total remuneration. Base pay
for the executive Directors is reviewed annually to ensure the executives’ pay is competitive with the market. The
Board ensures that executive reward satisfies the following key criteria for good reward governance practices:
•
•
•
•
competitiveness and reasonableness;
acceptability to shareholders;
transparency; and
capital management.
23
SUPERIOR RESOURCES LIMITED ANNUAL REPORT 2023
SUPERIOR RESOURCES LIMITED (ABN 72 112 844 407)
DIRECTORS’ REPORT
REMUNERATION REPORT (AUDITED) – (continued)
Long-term incentives
In the event that the Board of Directors proposes to establish any long-term incentives for executive Directors, the
Board will obtain approval at a general meeting of shareholders.
Any issue of options to executive Directors is designed to focus executives on delivering long-term shareholder
returns.
(e)
Relationship between remuneration and Superior Resources Limited’s performance
There is no direct link between remuneration, company performance and shareholder wealth. The Group’s activities
focus on the objective of delivery of long-term shareholder returns.
(f)
Non-executive director remuneration policy
Fees and payments to non-executive Directors reflect the demands which are made on, and the responsibilities of
those Directors. Non-executive Directors’ fees and payments are reviewed annually by the Board.
Non-executive Directors’ fees are determined within an aggregate Directors’ fee pool limit, which is periodically
recommended for approval by shareholders. The maximum total pool currently stands at $250,000 in aggregate
plus statutory superannuation.
(g)
Details of remuneration
The following tables show details of the remuneration entitled to be received by the Directors and the key
management personnel of the Group for the current and previous financial year.
24
SUPERIOR RESOURCES LIMITED ANNUAL REPORT 2023
SUPERIOR RESOURCES LIMITED (ABN 72 112 844 407)
DIRECTORS’ REPORT
REMUNERATION REPORT (AUDITED) – (continued)
2023
Name
Non-executive Directors
C A Fernicola
S J Pooley
Other key management
personnel
C A Fernicola (Company
Secretary)
Sub-total non-executive
Directors and other key
management personnel
Executive Directors
P H Hwang - Managing
Director
Totals
2022
Name
Non-executive Directors
C A Fernicola
S J Pooley
Other key management
personnel
C A Fernicola (Company
Secretary)
Sub-total non-executive
Directors and other key
management personnel
Executive Directors
P H Hwang - Managing
Director
Totals
Short-term
benefits
Post-employment
benefits
Share-based
payments
Cash salary and
fees
$
Superannuation
$
Options
$
48,000
32,727
36,000
116,727
270,000
386,727
-
3,436
-
3,436
28,628
32,064
-
-
-
-
-
-
Short-term
benefits
Post-employment
benefits
Share-based
payments
Cash salary and
fees
$
Superannuation
$
Options
$
48,000
32,752
-
3,275
36,000
-
116,752
3,275
240,000
356,752
24,175
27,450
-
-
-
-
-
-
Total
$
48,000
36,163
36,000
120,163
298,628
418,791
Total
$
48,000
36,027
36,000
120,027
264,175
384,202
25
SUPERIOR RESOURCES LIMITED ANNUAL REPORT 2023
SUPERIOR RESOURCES LIMITED (ABN 72 112 844 407)
DIRECTORS’ REPORT
REMUNERATION REPORT (AUDITED) – (continued)
(h)
Service agreements
Remuneration and other terms of employment of the Managing Director are formalised in an agreement. The major
provisions of the agreement relating to remuneration are set out below.
P H Hwang, Managing Director
•
•
Term of employment agreement – indefinite commencing 22 April 2013.
Base salary was reviewed in June 2023 and set at $300,000, back dated to 1 January 2023, plus superannuation
and is to be reviewed at least annually by the Board.
Payment of a termination benefit on early termination by the Company, other than for gross misconduct, equal
to six months remuneration.
Agreement may be terminated by employee giving six months’ notice in writing.
•
•
(i)
Details of share-based compensation and bonuses
There have been no share-based compensation and bonuses affecting remuneration in the current or a future
reporting period.
(j)
Equity instruments held by key management personnel
The tables below show the number of shares and options in the company that were held during the financial year by
key management personnel of the Group, including their close family members and entities related to them.
Ordinary Shares
Name
P H Hwang
C A Fernicola
S J Pooley
50,696,338
51,999,998
-
Balance at the
start of the year
Received on
exercising
options
Net purchased /
(sold)
Other changes
-
-
-
-
-
-
Balance at the
end of the year
50,696,338
51,999,998
-
-
-
-
-
-
-
Options Over Unissued Ordinary Shares
Balance at the
start of the year
Options
Exercised
Name
P H Hwang
C A Fernicola
S J Pooley
-
-
-
All options are vested and exercisable.
(k)
Loans to key management personnel
There were no loans to key management personnel during the financial period.
(l)
Other transactions with key management personnel and/or their related parties
There were no other transactions with key management personnel or their related parties.
End of Remuneration Report
26
Net purchased /
(sold)
Other changes
Balance at the
end of the year
-
-
-
-
-
-
-
-
-
SUPERIOR RESOURCES LIMITED ANNUAL REPORT 2023
SUPERIOR RESOURCES LIMITED (ABN 72 112 844 407)
DIRECTORS’ REPORT
SHARES UNDER OPTION
76,666,667 options were issued during the year with an exercise price of $0.06 and an expiry date of 30 November
2024.
During the year there were no shares issued on the exercise of options granted.
Since the end of the year, 10,000,000 options with an exercise price of $0.08 expired on 31 August 2023.
As at the date of this Report, a total of 76,666,667 options are on issue.
INSURANCE OF OFFICERS
During the year the Group paid a premium of $49,103 to insure the Directors and Secretary of the Company.
The risks insured include pecuniary orders and legal costs that may result from civil or criminal proceedings that
may be brought against the officers in their capacity as officers and any other payments arising in connection with
such proceedings. This does not include such liabilities that arise from conduct involving a wilful breach of duty by
the officers or the improper use by the officers of their position or of information to gain advantage for themselves
or someone else or to cause detriment to the company. It is not possible to apportion the premium between
amounts relating to the insurance against legal costs and those relating to other liabilities.
INDEMNITY AND INSURANCE OF AUDITOR
The Company has not, during or since the end of the financial year, indemnified or agreed to indemnify the auditor
of the Company or any related entity against a liability incurred by the auditor.
PROCEEDINGS ON BEHALF OF THE COMPANY
No person has applied to any Court under section 237 of the Corporations Act 2001 for leave to bring proceedings
on behalf of the Company or to intervene in any proceedings to which the Company is a party for the purpose of
taking responsibility on behalf of the Company for all or part of those proceedings.
No proceedings have been brought or intervened in or on behalf of the Company with leave of the Court under section
237 of the Corporations Act 2001.
NON-AUDIT SERVICES
The Group may decide to employ the auditor on assignments additional to their statutory audit duties where the
auditor’s expertise and experience with the Group are important.
Details of amounts paid or payable to the auditor for audit services provided during the year are outlined in Note 20
to the financial statements. There are no non-audit services provided during the year.
AUDITOR’S INDEPENDENCE DECLARATION
A copy of the auditor’s independence declaration as required under section 307C of the Corporations Act 2001 is
set out on page 12.
set out on page 28.
AUDITOR
The auditor of the Group is William Buck (Qld).
This Report is made in accordance with a resolution of the Directors.
CA Fernicola
Chairman
Brisbane, 26th day of September 2023
27
SUPERIOR RESOURCES LIMITED ANNUAL REPORT 2023
AUDITOR’S INDEPENDENCE DECLARATION
AUDITOR’S INDEPENDENCE DECLARATION
UNDER S 307C OF THE CORPORATIONS ACT 2001
TO THE DIRECTORS OF SUPERIOR RESOURCES LIMITED
I declare that, to the best of my knowledge and belief, during the year ended 30 June 2023, there have
been:
-
no contraventions of the auditor independence requirements as set out in the Corporations Act
2001 in relation to the audit; and
-
no contraventions of any applicable code of professional conduct in relation to the audit.
William Buck (Qld)
ABN 21 559 713 106
J A Latif
Director
Brisbane, 26 September 2023
28
12
SUPERIOR RESOURCES LIMITED ANNUAL REPORT 2023
SUPERIOR RESOURCES LIMITED (ABN 72 112 844 407)
CORPORATE GOVERNANCE
Corporate Governance practices that form the basis of a comprehensive system of control and accountability for
the administration of the Group have been adopted. The Board is committed to administering the policies and
procedures with openness and integrity, pursuing the true spirit of corporate governance commensurate with the
Company’s needs.
The Company has reviewed its corporate governance practices against the Corporate Governance Principles and
Recommendations (4th edition) published by the ASX Corporate Governance Council.
A description of the Company’s current corporate governance practices is set out in the Company’s corporate
governance statement. This statement is available on the Company’s website and can be viewed at
www.superiorresources.com.au.
AUDITOR’S INDEPENDENCE DECLARATION
AUDITOR’S INDEPENDENCE DECLARATION
UNDER S 307C OF THE CORPORATIONS ACT 2001
TO THE DIRECTORS OF SUPERIOR RESOURCES LIMITED
I declare that, to the best of my knowledge and belief, during the year ended 30 June 2023, there have
been:
-
no contraventions of the auditor independence requirements as set out in the Corporations Act
2001 in relation to the audit; and
-
no contraventions of any applicable code of professional conduct in relation to the audit.
William Buck (Qld)
ABN 21 559 713 106
J A Latif
Director
Brisbane, 26 September 2023
12
13
29
SUPERIOR RESOURCES LIMITED ANNUAL REPORT 2023
SUPERIOR RESOURCES LIMITED (ABN 72 112 844 407)
CONSOLIDATED STATEMENT OF PROFIT OR LOSS
FOR THE YEAR ENDED 30 JUNE 2023
Note
2023
$
2022
$
Other income
Accounting and audit fees
Administration expenses
Depreciation and amortisation
Office rent and outgoings
Tenement expenditure written-off
Total expenses
Loss before income tax
Income tax (expense) / benefit
Loss after tax for the year from continuing
operations attributable to owners of Superior
Resources Limited
Earnings (loss) per share
Basic earnings (loss) per share
Diluted earnings (loss) per share
8
13
14
9
25
25
54
-
(33,172)
(830,267)
(2,070)
(19,715)
(3,841)
(29,037)
(547,468)
(5,355)
(15,427)
-
(889,065)
(597,287)
(889,011)
(597,287)
-
-
(889,011)
(597,287)
Cents
(0.05)
(0.05)
Cents
(0.04)
(0.04)
The accompanying notes form part of these financial statements.
14
30
SUPERIOR RESOURCES LIMITED ANNUAL REPORT 2023
SUPERIOR RESOURCES LIMITED (ABN 72 112 844 407)
CONSOLIDATED STATEMENT OF OTHER COMPREHENSIVE INCOME
FOR THE YEAR ENDED 30 JUNE 2023
Loss for the year from continuing operations attributable to
owners of Superior Resources Limited
(889,011)
(597,287)
Note
2023
$
2022
$
Items that will not be reclassified subsequently to profit or loss:
Fair value gains / (losses) on financial assets at fair value
through other comprehensive income, net of tax
18
8,964
(6,723)
Other comprehensive income for the year, net of tax
8,964
(6,723)
Total comprehensive loss for the year, net of tax, attributable
to owners of Superior Resources Limited
(880,047)
(604,010)
The accompanying notes form part of these financial statements.
15
31
SUPERIOR RESOURCES LIMITED ANNUAL REPORT 2023
SUPERIOR RESOURCES LIMITED (ABN 72 112 844 407)
CONSOLIDATED STATEMENT OF FINANCIAL POSITION
AS AT 30 JUNE 2023
ASSETS
Current Assets
Cash and cash equivalents
Trade and other receivables
Financial assets
Total Current Assets
Non-Current Assets
Plant and equipment
Exploration and evaluation assets
Other
Note
2023
$
2022
$
10
11
12
13
14
15
3,946,671
98,231
42,300
4,097,824
77,041
33,336
4,087,202
4,208,201
8,277
11,769,482
75,000
10,347
8,888,186
41,500
Total Non-Current Assets
11,852,759
8,940,033
Total Assets
LIABILITIES
Current Liabilities
Payables
15,939,961
13,148,234
16
603,749
661,376
Total Current Liabilities
603,749
661,376
Total Liabilities
Net Assets
Equity
Contributed equity
Reserves
Accumulated losses
Total Equity
603,749
661,376
15,336,212
12,486,858
17
18
24,318,029
(2,907,183)
(6,074,634)
20,588,628
(2,916,147)
(5,185,623)
15,336,212
12,486,858
The accompanying notes form part of these financial statements.
16
32
SUPERIOR RESOURCES LIMITED ANNUAL REPORT 2023
SUPERIOR RESOURCES LIMITED (ABN 72 112 844 407)
CONSOLIDATED STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 30 JUNE 2023
Contributed
Equity
$
Reserves
$
Accumulated
losses
$
Total
$
Balance at 30 June 2022
20,588,628
(2,916,147)
(5,185,623)
12,486,858
Loss for the year
Other comprehensive income / (loss)
Total comprehensive income for the
year
Transactions with owners in their
capacity as owners:
Contributions of equity, net of
transaction costs
-
-
-
-
(889,011)
(889,011)
8,964
-
8,964
8,964
(889,011)
(880,047)
3,729,401
-
-
3,729,401
Balance at 30 June 2023
24,318,029
(2,907,183)
(6,074,634)
15,336,212
Balance at 30 June 2021
14,960,308
(3,123,316)
(4,588,336)
7,248,656
Loss for the year
Other comprehensive income / (loss)
Total comprehensive income for the
year
Transactions with owners in their
capacity as owners:
Contributions of equity, net of
transaction costs
Balance at 30 June 2022
-
-
-
-
(597,287)
(597,287)
(6,723)
-
(6,723)
(6,723)
(597,287)
(604,010)
5,628,320
213,892
-
5,842,212
20,588,628
(2,916,147)
(5,185,623)
12,486,858
The accompanying notes form part of these financial statements.
17
33
SUPERIOR RESOURCES LIMITED ANNUAL REPORT 2023
SUPERIOR RESOURCES LIMITED (ABN 72 112 844 407)
CONSOLIDATED STATEMENT OF CASH FLOWS
FOR THE YEAR ENDED 30 JUNE 2023
Note
2023
$
2022
$
Cash flows from operating activities
Payments to suppliers and employees (GST inclusive)
Interest received
(953,858)
(597,997)
54
-
Net cash outflow from operating activities
24
(953,804)
(597,997)
Cash flows from investing activities
Payments for exploration expenditure
Payments for plant and equipment
Payments of security deposits
Net cash outflow from investing activities
Cash flows from financing activities
Share application moneys (refunded)/received
Proceeds on issue of shares
Payment of capital raising costs
Net cash inflow from financing activities
Net increase in cash held
Cash at beginning of financial year
Cash at the end of financial year
10
(2,892,112)
-
(33,500)
(2,925,612)
(2,849,909)
(2,684)
(8,000)
(2,860,593)
(1,138)
4,000,000
(270,599)
3,728,263
(151,153)
4,097,824
3,946,671
(1,596)
6,247,962
(405,750)
5,840,616
2,382,026
1,715,798
4,097,824
The accompanying notes form part of these financial statements.
18
34
SUPERIOR RESOURCES LIMITED ANNUAL REPORT 2023
SUPERIOR RESOURCES LIMITED (ABN 72 112 844 407)
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2023
1. General Information
Superior Resources Limited (Company) is a company limited by shares, incorporated, and domiciled in Australia.
The Company’s shares are listed on the Australian Securities Exchange.
The registered office and principal place of business of the Company is:
Suite 3, 5 Gardner Close
Milton QLD 4064
Ph 07 3847 2887
The financial statements are for the Group consisting of Superior Resources Limited and its subsidiaries (the
consolidated entity or the Group).
2. Significant Accounting Policies
(a)
Statement of compliance
These financial statements are general purpose financial statements which have been prepared in accordance with
the Corporations Act 2001, Australian Accounting Standards and Interpretations of the Australian Accounting
Standard Board and in compliance with International Financial Reporting Standards (‘IFRS’) as issued by the
International Accounting Standards Board. The Group is a for-profit entity for financial reporting purposes under
Australian Accounting Standards. Material accounting policies adopted in the preparation of these financial
statements are presented below and have been consistently applied unless stated otherwise.
The financial statements were authorised for issue by the Directors on 26 September 2023.
(b)
Basis of preparation
Except for cash flow information, the financial statements have been prepared on an accrual basis and are based
on historical costs, modified, where applicable, by the measurement at fair value of selected financial assets and
financial liabilities.
(c)
Principles of consolidation
The consolidated financial statements incorporate all of the assets, liabilities and results of the Parent (Superior
Resources Limited) and all of the subsidiaries (including any structured entities). Subsidiaries are entities the Parent
controls. The Parent controls an entity when it is exposed to, or has rights to, variable returns from its involvement
with the entity and has the ability to affect those returns through its power over the entity. A list of the subsidiaries
or controlled operations is provided in Note 26.
The assets, liabilities and results of all subsidiaries are fully consolidated into the financial statements of the Group
from the date on which control is obtained by the Group. The consolidation of a subsidiary is discontinued from the
date that control ceases. Intercompany transactions, balances and unrealised gains or losses on transactions
between Group entities are fully eliminated on consolidation. Accounting policies of subsidiaries have been changed
and adjustments made where necessary to ensure uniformity of the accounting policies adopted by the Group.
The acquisition method of accounting is used to account for business combinations by the Group.
Non-controlling interests in the results and equity of subsidiaries are shown separately in the consolidated statement
of profit or loss, statement of other comprehensive income, statement of changes in equity and statement of
financial position, respectively.
35
19
SUPERIOR RESOURCES LIMITED ANNUAL REPORT 2023
SUPERIOR RESOURCES LIMITED (ABN 72 112 844 407)
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2023
2. Significant Accounting Policies (continued)
(d)
Revenue recognition
Revenue is recognised to depict the transfer of promised goods or services to customers in an amount that reflects
the consideration to which the entity expects to be entitled in exchange for the goods or services. Revenue is
recognised when the performance obligations of a contract are satisfied.
Interest revenue is recognised using the effective interest rate 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.
Other revenue is recognised when it is received or when the right to receive payment is established.
All revenue is stated net of the amount of goods and services tax (GST).
Government grants
Government grants relating to costs are deferred and recognised in profit or loss over the period necessary to match
them with the costs that they are intended to compensate. Government grants are recognised when there are
reasonable assurance that the funding conditions will be complied and the grants will be received.
(e)
Income Tax
The income tax expense or revenue for the period is the tax payable on the current period’s taxable income based
on the applicable income tax rate for each jurisdiction adjusted by changes in deferred tax assets and liabilities
attributable to temporary differences and to unused tax losses.
Deferred income tax is provided in full, using the liability method, on temporary differences arising between the tax
bases of assets and liabilities and their carrying amounts in the financial statements. However, the deferred income
tax is not accounted for if it arises from initial recognition of an asset or liability in a transaction other than a business
combination that at the time of the transaction affects neither accounting nor taxable profit or loss. Deferred income
tax is determined using tax rates (and laws) that have been enacted or substantially enacted by the reporting date
and are expected to apply when the related deferred income tax asset is realised or the deferred income tax liability
is settled.
Deferred tax assets are recognised for deductible temporary differences and unused tax losses only if it is probable
that future taxable amounts will be available to utilise those temporary differences and losses.
Deferred tax assets and liabilities are offset when there is a legally enforceable right to offset current tax assets and
liabilities and when the deferred tax balances relate to the same taxation authority. Current tax assets and tax
liabilities are offset where the entity has a legally enforceable right to offset and intends either to settle on a net
basis, or to realise the assets and settle the liability simultaneously.
Current and deferred tax is recognised in profit or loss, except to the extent that it relates to items recognised in
other comprehensive income or directly in equity. In this case, the tax is also recognised in other comprehensive
income or directly in equity, respectively.
(f)
Cash and cash equivalents
For the consolidated statement of cash flows presentation purposes, cash and cash equivalents includes cash on
hand and deposits held at call with financial institutions, other short-term, highly liquid investments with original
maturities of three months or less that are readily convertible to known amounts of cash and which are subject to
an insignificant risk of changes in value, and bank overdrafts.
36
20
SUPERIOR RESOURCES LIMITED ANNUAL REPORT 2023
SUPERIOR RESOURCES LIMITED (ABN 72 112 844 407)
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2023
2. Significant Accounting Policies (continued)
(g)
Financial instruments
Initial Recognition and Measurement
Financial assets and financial liabilities are recognised when the Group becomes a party to the contractual
provisions of the financial instrument. Financial assets will be recognised on the date that the Group becomes
contractually bound to the relevant asset purchase or sale transaction (i.e. trade date accounting is adopted).
Financial instruments (except for trade receivables) are initially measured at fair value plus transaction costs, except
where the instrument is classified "at fair value through profit or loss", in which case transaction costs are expensed
to profit or loss immediately. Where available, quoted prices in an active market are used to determine fair value.
In other circumstances, valuation techniques are adopted.
Trade receivables are initially measured at the transaction price if the trade receivables do not contain a significant
financing component or if the practical expedient was applied as specified in paragraph 63 of AASB 15: Revenue
from Contracts with Customers.
Classification and Subsequent Measurement
Financial assets
Financial assets are subsequently measured at:
•
•
•
amortised cost;
fair value through other comprehensive income; or
fair value through profit and loss.
Measurement is on the basis of the two primary criteria, being:
•
•
the contractual cash flow characteristics of the financial asset; and
the business model for managing the financial assets.
A financial asset that meets the following conditions is subsequently measured at amortised cost:
•
•
the financial asset is managed solely to collect contractual cash flows; and
the contractual terms within the financial asset give rise to cash flows that are solely payments of principal
and interest on the principal amount outstanding on specified dates.
A financial asset that meets the following conditions is subsequently measured at fair value through other
comprehensive income:
•
•
the contractual terms within the financial asset give rise to cash flows that are solely payments of principal
and interest on the principal amount outstanding on specified dates; and
the business model for managing the financial assets comprises both contractual cash flows collection
and the selling of the financial asset.
By default, all other financial assets that do not meet the measurement conditions of amortised cost and fair value
through other comprehensive income are subsequently measured at fair value through profit or loss.
37
21
SUPERIOR RESOURCES LIMITED ANNUAL REPORT 2023
SUPERIOR RESOURCES LIMITED (ABN 72 112 844 407)
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2023
2. Significant Accounting Policies (continued)
Financial liabilities
Financial liabilities are subsequently measured at:
•
•
amortised cost; or
fair value through profit and loss.
A financial liability is measured at fair value through profit and loss if the financial liability is:
•
•
•
a contingent consideration of an acquirer in a business combination to which AASB 3 Business
Combinations applies;
held for trading; or
initially designated as at fair value through profit or loss.
All other financial liabilities are subsequently measured at amortised cost using the effective interest method.
Equity instruments
At initial recognition, as long as the equity instrument is not held for trading and not a contingent consideration
recognised by an acquirer in a business combination to which AASB 3 Business Combinations applies, the Group
made an irrevocable election to measure any subsequent changes in fair value of the equity instruments in other
comprehensive income, while the dividend revenue received on underlying equity instruments investment will still
be recognised in profit or loss.
Regular way purchases and sales of financial assets are recognised and derecognised at settlement date in
accordance with the Group’s accounting policy.
Derecognition
Derecognition refers to the removal of a previously recognised financial asset or financial liability from the statement
of financial position.
Derecognition of financial liabilities
A liability is derecognised when it is extinguished (i.e. when the obligation in the contract is discharged, cancelled or
expires). An exchange of an existing financial liability for a new one with substantially modified terms or a
substantial modification to the terms of a financial liability, is treated as an extinguishment of the existing liability
and recognition of a new financial liability.
The difference between the carrying amount of the financial liability derecognised and the consideration paid and
payable, including any non-cash assets transferred or liabilities assumed, is recognised in profit or loss.
Derecognition of financial assets
A financial asset is derecognised when the holder's contractual rights to its cash flows expires, or the asset is
transferred in such a way that all the risks and rewards of ownership are substantially transferred.
All the following criteria need to be satisfied for derecognition of financial assets:
•
•
•
the right to receive cash flows from the asset has expired or been transferred;
all risk and rewards of ownership of the asset have been substantially transferred; and
the Group no longer controls the asset (i.e. no practical ability to make unilateral decision to sell the asset
to a third party).
38
22
SUPERIOR RESOURCES LIMITED ANNUAL REPORT 2023
SUPERIOR RESOURCES LIMITED (ABN 72 112 844 407)
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2023
2. Significant Accounting Policies (continued)
Impairment
The Group recognises a loss allowance for expected credit losses on:
•
•
•
•
•
financial assets that are measured at amortised cost or fair value through other comprehensive income;
lease receivables;
contract assets (e.g. amount due from customers under construction contracts);
loan commitments that are not measured at fair value through profit or loss; and
financial guarantee contracts that are not measured at fair value through profit or loss.
Loss allowance is not recognised for:
•
•
financial assets measured at fair value through profit or loss; or
equity instruments measured at fair value through other comprehensive income.
Expected credit losses are the probability-weighted estimate of credit losses over the expected life of a financial
instrument. A credit loss is the difference between all contractual cash flows that are due and all cash flows
expected to be received, all discounted at the original effective interest rate of the financial instrument.
Recognition of expected credit losses in financial statements
At each reporting date, the Group recognises the movement in the loss allowance as an impairment gain or loss in
the statement of profit or loss.
The carrying amount of financial assets measured at amortised cost includes the loss allowance relating to that
asset.
Assets measured at fair value through other comprehensive income are recognised at fair value, with changes in
fair value recognised in other comprehensive income. Amounts in relation to change in credit risk are transferred
from other comprehensive income to profit or loss at every reporting period.
For financial assets that are unrecognised (e.g. loan commitments yet to be drawn, financial guarantees), a provision
for loss allowance is created in the statement of financial position to recognise the loss allowance.
(h)
Plant and equipment
Plant and equipment is stated at historical cost less depreciation. Historical cost includes expenditure that is
directly attributable to the acquisition of the items.
Depreciation is calculated using the straight-line method to allocate their cost, net of their residual values, over their
estimated useful lives, as follows:
Equipment / Software:
3 – 5 years
The asset’s residual values and useful lives are reviewed and adjusted if appropriate at each balance date.
An asset’s carrying amount is written down immediately to its recoverable amount if the asset’s carrying amount is
greater than its estimated recoverable amount.
Gains and losses on disposals are determined by comparing proceeds with carrying amount. These are included in
the consolidated statement of profit or loss. When revalued assets are sold, it is the Group policy to transfer the
amounts included in other reserves in respect of those assets to retained earnings.
(i)
Trade and other payables
These amounts represent liabilities for goods and services provided to the company prior to the end of the
financial year which are unpaid. The amounts are unsecured and are usually paid within 30 days of recognition.
39
23
SUPERIOR RESOURCES LIMITED ANNUAL REPORT 2023
SUPERIOR RESOURCES LIMITED (ABN 72 112 844 407)
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2023
2. Significant Accounting Policies (continued)
(j)
Exploration and evaluation assets
Exploration and evaluation costs are accumulated separately for each area of interest until such time as the area is
abandoned or sold. The realisation of the value of the exploration and evaluation assets carried forward depends
on any commercial results that may be obtained through successful development and exploitation of the area of
interest or alternatively by its sale. If an area of interest is abandoned or is considered to be of no further commercial
interest the accumulated exploration and evaluation assets relating to the area are written off against income in the
year of abandonment. Some exploration and evaluation assets may also be written off where areas of interest are
partly relinquished and in cases where uncertainty exists as to the value, provisions for possible diminution in value
are established.
When production commences, the accumulated costs for the relevant area of interest are amortised over the life of
the area according to the rate of depletion of the economically recoverable reserves.
A regular review is undertaken of each area of interest to determine the appropriateness of continuing to capitalise
costs in relation to that area.
(k)
Contributed equity
Ordinary shares are classified as equity.
Incremental costs directly attributable to the issue of new shares or options are shown in equity as a deduction, net
of tax, from the proceeds.
(l)
Dividends
Provision is made for the amount of any dividend declared, being appropriately authorised and no longer at the
discretion of the entity, on or before the end of the financial year but not distributed at balance date.
(m)
Earnings per share
Basic earnings per share
Basic earnings per share is calculated by dividing the profit or loss attributable to equity holders of the Group,
excluding any costs of servicing equity other than ordinary shares, by the weighted average number of ordinary
shares outstanding during the financial year, adjusted for bonus elements in ordinary shares issued during the year.
Diluted earnings per share
Diluted earnings per share adjusts the figures used in the determination of basic earnings per share to take into
account the after income tax effect of interest and other financing costs associated with dilutive potential ordinary
shares and the weighted average number of shares assumed to have been issued for no consideration in relation to
dilutive potential ordinary shares.
40
24
SUPERIOR RESOURCES LIMITED ANNUAL REPORT 2023
SUPERIOR RESOURCES LIMITED (ABN 72 112 844 407)
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2023
2. Significant Accounting Policies (continued)
(n)
Goods and Services Tax (GST)
Revenues, expenses and assets are recognised net of the amount of associated GST, unless the GST incurred is not
recoverable from the taxation authority. In this case it is recognised as part of the cost of acquisition of the asset
or as part of the expense.
Receivables and payables are stated inclusive of the amount of GST receivable or payable. The net amount of GST
recoverable from, or payable to, the taxation authority is included with other receivables or payables in the statement
of financial position.
Cash flows are presented on a gross basis. The GST components of cash flows arising from investing or financing
activities which are recoverable from, or payable to the taxation authority, are presented as operating cash flows.
(o)
Employee benefits
Short-term obligations
Liabilities for wages and salaries, including non-monetary benefits, annual leave and accumulating sick leave, which
are expected to be settled within 12 months after the end of the period in which the employees render the related
services, are recognised in respect of employees’ services up to the end of the reporting period and are measured
at the amounts expected to be paid when the liabilities are settled. The liability for annual leave is recognised in the
provision for employee entitlements. All other short-term employee benefit obligations are presented as payables.
Other long-term employee benefit obligations
The liability for long service leave and annual leave which is not expected to be settled within 12 months after the
end of the period in which the employees render the related services, is recognised in the provision for employee
benefits and measured as the present value of expected future payments to be made in respect of services provided
by employees up to the end of the reporting period. Consideration is given to expected future wage and salary levels,
employee departures and periods of service.
Expected future payments are discounted using market yields at the end of the reporting period on government
bonds with terms and currencies that match, as closely as possible, the estimated future cash outflows.
The obligations are presented as current liabilities in the statement of financial position if the entity does not have
an unconditional right to defer settlement for at least twelve months after the reporting date, regardless of when the
actual settlement is expected to occur.
(p)
Parent entity financial information
The financial information for the parent entity, Superior Resources Limited, disclosed in note 27 has been prepared
on the same basis as the consolidated financial statements.
(q)
Comparative Figures
When required by Australian Accounting Standards, comparative figures have been adjusted to conform to 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.
41
25
SUPERIOR RESOURCES LIMITED ANNUAL REPORT 2023
SUPERIOR RESOURCES LIMITED (ABN 72 112 844 407)
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2023
2. Significant Accounting Policies (continued)
(r)
Fair Value of Assets and Liabilities
The Group measures some of its assets and liabilities at fair value on either a recurring or non-recurring basis,
depending on the requirements of the applicable Accounting Standard.
Fair value is the price the Group would receive to sell an asset or would have to pay to transfer a liability in an orderly
(i.e. unforced) transaction between independent, knowledgeable and willing market participants at the measurement
date.
As fair value is a market-based measure, the closest equivalent observable market pricing information is used to
determine fair value. Adjustments to market values may be made having regard to the characteristics of the specific
asset or liability. The fair values of assets and liabilities that are not traded in an active market are determined using
one or more valuation techniques. These valuation techniques maximise, to the extent possible, the use of
observable market data.
To the extent possible, market information is extracted from either the principal market for the asset or liability (i.e.
the market with the greatest volume and level of activity for the asset or liability) or, in the absence of such a market,
the most advantageous market available to the entity at the end of the reporting period (i.e. the market that
maximises the receipts from the sale of the asset or minimises the payments made to transfer the liability, after
taking into account transaction costs and transport costs).
For non-financial assets, the fair value measurement also takes into account a market participant’s ability to use the
asset in its highest and best use or to sell it to another market participant that would use the asset in its highest and
best use.
The fair value of liabilities and the entity’s own equity instruments (excluding those related to share-based payment
arrangements) may be valued, where there is no observable market price in relation to the transfer of such financial
instruments, by reference to observable market information where such instruments are held as assets. Where this
information is not available, other valuation techniques are adopted and, where significant, are detailed in the
respective note to the financial statements.
(s)
Impairment of Non-financial Assets
At the end of each reporting period, the Group assesses whether there is any indication that a non-financial asset
may be impaired. The assessment will include the consideration of external and internal sources of information
including dividends received from subsidiaries, associates or joint ventures deemed to be out of pre-acquisition
profits. If such an indication exists, an impairment test is carried out on the asset by comparing the recoverable
amount of the asset, being the higher of the asset’s fair value less costs of disposal and value in use, to the asset’s
carrying amount. Any excess of the asset’s carrying amount over its recoverable amount is recognised immediately
in profit or loss, unless the asset is carried at a revalued amount in accordance with another Standard (for example
in accordance with the revaluation model in AASB 116: Property, Plant and Equipment). Any impairment loss of a
revalued asset is treated as a revaluation decrease in accordance with that other Standard.
Where it is not possible to estimate the recoverable amount of an individual asset, the Group estimates the
recoverable amount of the cash-generating unit to which the asset belongs.
Impairment testing is performed annually for goodwill, intangible assets with indefinite lives and intangible assets
not yet available for use.
When an impairment loss subsequently reverses, the carrying amount of the asset (or cash-generating unit) is
increased to the revised estimate of its recoverable amount, but so 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
(or cash-generating unit) in prior years. A reversal of an impairment loss is recognised immediately in profit or loss,
unless the relevant asset is carried at a revalued amount, in which case the reversal of the impairment loss is treated
as a revaluation increase.
42
26
SUPERIOR RESOURCES LIMITED ANNUAL REPORT 2023
SUPERIOR RESOURCES LIMITED (ABN 72 112 844 407)
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2023
3. New and Amended Accounting Standards
The Group has adopted all of the new or amended Accounting Standards and Interpretations issued by the Australian
Accounting Standards Board ('AASB') that are mandatory for the current reporting period. There was no material
impact to the financial statements.
Any new or amended Accounting Standards or Interpretations that are not yet mandatory have not been adopted.
There are no other standards that are not yet effective and that are expected to have a material impact on the
consolidated entity in the current or future reporting periods and on foreseeable future transactions.
4. Financial Risk Management
The Group’s overall risk management plan seeks to minimise potential risks resulting from the unpredictability of
financial markets.
The Group does not actively engage in the trading of financial assets for speculative purposes nor does it write
options. The most significant financial risks to which the Group are exposed are credit risk, liquidity risk, market risk
and cash flow interest rate risk.
The Group holds the following financial assets and liabilities:
Financial assets
Cash and cash equivalents (Note 10)
Other receivables (Note 11)
Financial assets at fair value through other comprehensive
income (Note 12)
Financial liabilities
Trade and other payables (Note 16)
2023
$
2022
$
3,946,671
270
42,300
3,989,241
4,097,824
30,653
33,336
4,161,813
412,704
412,704
489,878
489,878
Risk management is carried out by the Group’s finance function under policies and objectives which have been
approved by the Board of Directors. The Managing Director has been delegated the authority for designing and
implementing processes which follow the objectives and policies.
The Board receives monthly reports which provide details of the effectiveness of the processes and policies in place.
43
27
SUPERIOR RESOURCES LIMITED ANNUAL REPORT 2023
SUPERIOR RESOURCES LIMITED (ABN 72 112 844 407)
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2023
4. Financial Risk Management (continued)
(a)
Credit risk
Credit risk is the risk of loss from a counterparty failing to meet its financial obligations to the Group.
The maximum exposure to credit risk, excluding the value of any collateral or other security, at balance date to
recognised financial assets is the carrying amount of those assets, net of any allowance for expected credit loss, as
disclosed in the consolidated statement of financial position and notes to the financial statements.
Credit risk arises from cash and cash equivalents and deposits with banks and financial institutions. For bank and
financial institutions, only independently rated parties with a minimum rating of ‘A’ are accepted.
The credit quality of financial assets that are neither past due nor impaired can be assessed by reference to external
credit ratings (if available).
Trade and other receivables
2023
$
270
270
2022
$
30,653
30,653
Other than cash and cash equivalents, the most significant financial assets are trade and other receivables. The
Group does not have any material credit risk exposure to any single debtor or Group of debtors under financial
instruments entered into by the Group. There were no past due debts at balance date requiring consideration of
impairment provisions.
(b)
Liquidity risk
Prudent liquidity risk management implies maintaining sufficient cash and marketable securities to meet obligations
when due.
The Group manages liquidity risk by continuously monitoring forecast and actual cash flows. No finance facilities
were available to the Group at the end of the reporting period.
Maturities of financial liabilities
The table below analyses the Group’s financial liabilities into relevant maturity groupings.
Contractual maturities of
financial liabilities
At 30 June 2023
Trade and other payables
Within 1
year
$
412,704
412,704
At 30 June 2022
Trade and other payables
489,878
489,878
Between
1 and 2
years
Between
2 and 5
years
Over 5
years
Total
contractual
cash flows
Carrying
amount
$
-
-
-
-
$
-
-
-
-
$
$
412,704
412,704
412,704
412,704
489,878
489,878
489,878
489,878
$
-
-
-
-
44
28
SUPERIOR RESOURCES LIMITED ANNUAL REPORT 2023
SUPERIOR RESOURCES LIMITED (ABN 72 112 844 407)
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2023
4. Financial Risk Management (continued)
(c)
Market risk
The Group is exposed to equity securities price risk. This arises from securities investments held by the Group in
Deep Yellow Limited and classified on the statement of financial position as financial assets.
The Group is not exposed to any commodity price risk.
The table below summaries the impact of increases and decreases in the Deep Yellow Limited share price on the
Group’s total comprehensive income and loss for the year and on equity. The analysis is based on the assumption
that the share price had increased or decreased by 25% (2022: 25%) from balance date fair value with all other
variables held constant.
Impact on post-tax loss
2023
$
2022
$
Impact on reserves
2023
$
2022
$
+25%
-25%
+25%
-25%
+25%
-25%
+25%
-25%
-
-
-
-
10,575
(10,575)
8,334
(8,334)
Investment in
Deep Yellow
Limited
(d)
Cash flow and fair value interest rate risk
As the Group has no significant interest-bearing assets or borrowings, the Group’s income and operating cash flows
are not materially exposed to changes in market interest rates.
(e)
Fair value measurements
The fair value of financial assets and financial liabilities must be estimated for recognition and measurement or for
disclosure purposes. The net fair value of financial assets and financial liabilities approximates the respective
carrying values as disclosed in the consolidated statement of financial position and the notes to the financial
statements.
5. Critical Accounting Estimates and Judgements
Estimates and judgements are continually evaluated and are based on historical experience and other factors,
including expectations of future events that may have a financial impact on the entity and that are believed to be
reasonable under the circumstances.
Critical judgements in applying the entity’s accounting policies
The Group has capitalised non-current exploration expenditure of $11,769,482 (2022: $8,888,186).
This amount includes costs directly associated with exploration. These costs are capitalised as an intangible asset
until assessment of the permit is complete and the results have been evaluated. These costs include direct
employee remuneration, materials, drilling costs, delay costs, rental payments and payments to contractors. The
expenditure is carried forward until such a time as the asset moves into the development phase, is abandoned or
sold. Given exploration activities have not yet reached a stage which permits a reasonable assessment of the
existence or otherwise of recoverable resources and the difficulty in forecasting cash flows to assess the fair value
of exploration expenditure, there is uncertainty as to the carrying value of exploration expenditure. The ultimate
recovery of the carrying value of exploration expenditure is dependent upon the successful development and
commercial exploitation or, alternatively, sale of the Group’s interest in the tenements.
45
29
SUPERIOR RESOURCES LIMITED ANNUAL REPORT 2023
SUPERIOR RESOURCES LIMITED (ABN 72 112 844 407)
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2023
6. Going Concern Principle
Notwithstanding that the Group incurred an operating loss after tax of $889,011 (2022: loss of $597,287) and a net
cash outflow from operating activities of $953,804 (2022: $597,997) these financial statements have been prepared
on a going concern basis which assumes continuity of normal business activities and the realisation of assets and
the settlement of liabilities in the ordinary course of business for the foreseeable future.
The ability of the Group to continue as a going concern depends on one or more of the following:
•
•
•
•
obtaining additional funding from capital raising activities;
achieving sufficient future cash flows from operations to enable its obligations to be met;
the success of cost saving initiatives, which include entering into Joint Venture arrangements and reducing
tenement areas, so as to reduce the carrying and expenditure costs for tenements; and
cash flows from the sale of any of the Group’s assets.
The Directors acknowledge that to continue the exploration and development of the Group’s exploration projects,
the budgeted cash flows from operating and investing activities for the future will necessitate further capital
raisings.
At the date of this Report and having considered the above factors, the Directors consider that the Group will be able
to continue as a going concern and will be able to pay its debts as and when they fall due and payable.
The reliance on securing additional capital gives rise to the existence of a material uncertainty that may cast
significant doubt on the Group’s ability to continue as a going concern with the result that the Group may be required
to realise its assets at amounts different from those currently recognised, settle liabilities other than in the ordinary
course of business and make provisions for costs which may arise as a result of cessation or curtailment of normal
business operations.
7. Segment Information
The Group operates solely within one segment, the mineral exploration industry in Australia.
8. Other Income
Interest
2023
$
54
54
2022
$
-
-
46
30
SUPERIOR RESOURCES LIMITED ANNUAL REPORT 2023
SUPERIOR RESOURCES LIMITED (ABN 72 112 844 407)
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2023
9. Income Tax
(a) Numerical reconciliation of income tax expense / (benefit)
to prima facie tax payable:
Profit (loss) from continuing operations before income tax
expense
Tax at the Australian tax rate of 30%
Tax effect of permanent differences
Temporary differences not recognised
Income tax expense / (benefit)
(b) Tax losses
Unused tax losses for which no deferred tax asset has been recognised
Potential tax benefit @ 30%
(c) Franking credits
2023
$
2022
$
(889,011)
(597,287)
(266,703)
21
(179,186)
-
266,682
-
179,186
-
22,229,905
18,307,419
6,668,972
5,492,226
Franking credits available for use in subsequent financial
year
251,146
251,146
10. Cash and Cash Equivalents
Cash at bank and on hand
11. Trade and Other Receivables
CURRENT
Other receivables
Prepayments
3,946,671
4,097,824
270
97,961
98,231
30,653
46,388
77,041
47
31
SUPERIOR RESOURCES LIMITED ANNUAL REPORT 2023
SUPERIOR RESOURCES LIMITED (ABN 72 112 844 407)
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2023
12. Financial Assets
CURRENT
Deep Yellow Limited1
Investments in listed equity securities designated at fair value through
other comprehensive income
Total financial assets
1 Listed equity securities
2023
$
2022
$
42,300
33,336
42,300
33,336
The investment in listed equity securities are stated at fair value. AASB 13 Fair Value Measurement requires
disclosure of fair value measurements by the level of the following fair value measurement hierarchy:
1) Level 1 – Quoted prices (unadjusted) in active markets for identical assets or liabilities.
2) Level 2 – Inputs other than quoted prices included within Level 1 that are observable for the asset or liability.
3) Level 3 – Inputs for the asset or liability that are not based on observable market data.
The listed equity securities are traded in an active market, being the Australian Securities Exchange, and
consequently they are measured as a Level 1 instrument on the fair value hierarchy. The quoted market price, used
to determine the value of these securities, is the bid price at balance date.
13. Plant and Equipment
NON-CURRENT
Equipment / software – at cost
Accumulated depreciation
Movement in Plant and Equipment
Opening net book amount
Additions
Depreciation charge
Closing net book amount
2023
$
97,850
(89,573)
8,277
10,347
-
(2,070)
8,277
2022
$
97,850
(87,503)
10,347
13,018
2,684
(5,355)
10,347
48
32
SUPERIOR RESOURCES LIMITED ANNUAL REPORT 2023
SUPERIOR RESOURCES LIMITED (ABN 72 112 844 407)
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2023
14. Exploration and Evaluation Assets
2023
$
2022
$
Exploration phase property costs
Deferred geological, geophysical, drilling and other expenditure – at cost
Non-current
Total capitalised exploration expenditure
11,769,482
11,769,482
8,888,186
8,888,186
The capitalised exploration expenditure carried forward above has been
determined as follows:
Opening balance
Expenditure incurred during the year
Tenement expenditure written-off *
Closing balance
* Tenement written off due to surrender of the tenement right.
8,888,186
2,885,137
(3,841)
11,769,482
6,065,340
2,822,846
-
8,888,186
15. Non-Current Assets – Other
Security deposits
75,000
41,500
16. Payables
Current liabilities
Trade payables and accrued expenses
Other payables – related party (i)
Trade and other payables
Other payables – ATO
Share application monies
Employee entitlements
Total Payables
142,282
270,422
412,704
9,037
536
181,472
603,749
158,295
331,583
489,878
23,585
1,674
146,239
661,376
(i) These amounts represent the unpaid Directors’ remuneration that may be called within the next 12 months. The
liability is unsecured, and no decision has been made by the Directors on the timing or nature of the consideration
to be provided in settlement.
49
33
SUPERIOR RESOURCES LIMITED ANNUAL REPORT 2023
SUPERIOR RESOURCES LIMITED (ABN 72 112 844 407)
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2023
17. Contributed Equity
2023
$
2022
$
1,834,553,751 (2022: 1,701,220,418) ordinary shares fully paid
24,318,029
20,588,628
(a)
Movements in ordinary share capital
Date
Details
30 June 2021
16 September 2021
Options exercised
16 September 2021
Shares issued
11 November 2021
8 December 2021
20 December 2021
14 January 2022
20 January 2022
8 February 2022
8 February 2022
30 June 2022
31 May 2023
30 June 2023
Options exercised
Options exercised
Options exercised
Options exercised
Options exercised
Options exercised
Shares issued
Share issue costs –
options to lead
manager
Share issue costs
Shares issued
Share issue costs
Number of shares
Issue price
$
1,381,335,791
1,699,088
119,818,096
35,224,166
15,305,430
23,492,602
5,725,583
143,054
55,555
118,421,053
0.006
0.0105
0.006
0.006
0.006
0.006
0.006
0.006
0.038
1,701,220,418
133,333,333
0.030
1,834,553,751
$
14,960,308
10,194
1,258,090
211,345
91,833
140,956
34,353
858
333
4,500,000
(213,892)
(405,750)
20,588,628
4,000,000
(270,599)
24,318,029
(b)
Ordinary shares
Ordinary shares entitle the holder to participate in dividends and the proceeds on winding up of the Company in
proportion to the number of and amounts paid on the shares held.
On a show of hands every holder of ordinary shares present at a meeting, in person or by proxy, is entitled to one
vote and upon a poll, each share is entitled to one vote.
50
34
SUPERIOR RESOURCES LIMITED ANNUAL REPORT 2023
SUPERIOR RESOURCES LIMITED (ABN 72 112 844 407)
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2023
17. Contributed Equity (continued)
(c)
Share options
Date
Details
Number of
options
Weighted Average
Exercise Price
$
At 30 June 2021
16 September 2021
11 November 2021
8 December 2021
20 December 2021
14 January 2022
20 January 2022
7 February 2022
8 February 2022
14 April 2022
At 30 June 2022
31 May 2023
At 30 June 2023
Balance
Options exercised
Options exercised
Options exercised
Options exercised
Options exercised
Options exercised
Unlisted options issued
Options exercised
Options expired
Balance
Listed options issued
Balance
86,419,683
(1,699,088)
(35,224,166)
(15,305,430)
(23,492,602)
(5,725,583)
(143,054)
10,000,000a
(55,555)
(4,774,205)
10,000,000
76,666,667b
86,666,667
0.006
0.006
0.006
0.006
0.006
0.006
0.080
0.006
0.006
0.060
Expiry
31-Dec-21
31-Dec-21
31-Dec-21
31-Dec-21
31-Dec-21
31-Dec-21
31-Aug-23
31-Dec-21
31-Dec-21
30-Nov-24
a The lead manager to the share placement undertaken in February 2022 received 10 million options (during the
year). The total value for the options granted is $213,892. These options expired on 31 August 2023.
b Free attaching options issued as part of the 31 May 2023 share placement.
(d)
Capital risk management
The Group’s objectives when managing capital are to safeguard its ability to continue as a going concern, so that it
can continue to provide returns for shareholders, benefits for other stakeholders and to maintain an optimal capital
structure to reduce the cost of capital.
The capital structure of the Group includes cash and cash equivalents, equity attributable to equity holders
comprising of contributed equity, reserves, and accumulated losses. To maintain or adjust the capital structure, the
Group may issue new shares, sell assets or adjust the level of activities undertaken by the Group.
The Group monitors capital based on cash flow requirements for corporate overheads, exploration and evaluation
expenditure. The Group’s exposure to borrowings as at 30 June 2023 totals $nil (2022: $nil). The Group will continue
to access capital markets and joint venture arrangements to satisfy anticipated funding requirements.
The Group’s strategy to capital risk management is unchanged from prior years.
51
35
SUPERIOR RESOURCES LIMITED ANNUAL REPORT 2023
SUPERIOR RESOURCES LIMITED (ABN 72 112 844 407)
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2023
18. Reserves
Financial assets revaluation reserve
Share-based payment reserve
Total reserve
At beginning of year
Revaluation increment / (decrement)
Share-based payments
At end of year
19. Key Management Personnel Disclosures
(a)
Key management personnel compensation
Short-term employee benefits
Post-employment benefits
2023
$
(3,179,595)
272,412
(2,907,183)
(2,916,147)
8,964
-
(2,907,183)
2022
$
(3,188,559)
272,412
(2,916,147)
(3,123,316)
(6,723)
213,892
(2,916,147)
2023
$
386,727
32,064
418,791
2022
$
356,752
27,450
384,202
Detailed remuneration disclosures are provided in the remuneration report on pages 7 to 10.
Detailed renumeration disclosures are provided in the renumeration report on pages 23 to 26.
At 30 June 2023, $270,422 (2022: $331,583) remains payable.
(b)
Equity instrument disclosures relating to key management personnel
(i)
Options provided as remuneration and shares issued on exercise of such options
There have been no options granted affecting remuneration in the current or a future reporting period.
(ii)
Option holdings
There were no options over ordinary shares in the Company held during the financial year by any Director of the
Company and other key management personnel of the Group, including their related parties.
(iii)
Share holdings
The number of ordinary shares in the company held during the financial year by each Director of Superior Resources
Limited and other key management personnel of the Group, including their personally related parties, is set out
below.
2023
Balance at the
start of the year
Name
Directors of Superior Resources Limited
P H Hwang
C A Fernicola
S J Pooley
50,696,338
51,999,998
-
Received on
exercising
options
-
-
-
2022
Balance at the
start of the year
Name
Directors of Superior Resources Limited
P H Hwang
C A Fernicola
S J Pooley
46,796,621
51,999,998
-
Received on
exercising
options
Net purchased /
(sold)
Other changes
Balance at the
end of the year
-
-
-
Net purchased /
(sold)
Other changes
-
-
-
-
-
-
50,696,338
51,999,998
-
Balance at the
end of the year
50,696.338
51,999,998
-
-
-
-
3,899,717
-
-
52
36
SUPERIOR RESOURCES LIMITED ANNUAL REPORT 2023
SUPERIOR RESOURCES LIMITED (ABN 72 112 844 407)
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2023
20. Remuneration of Auditors
During the year, the following fees were paid or payable for services
provided by the auditor, its related practices and non-related audit firms:
William Buck (Qld)
Review of financial report
Audit of financial report
21. Contingencies
2023
$
2022
$
5,500
16,500
22,000
5,000
15,000
20,000
There are no contingent liabilities affecting the Group as at the date of this Report (2022: nil).
22. Commitments
(a)
Exploration commitments
To maintain current rights to tenure of various exploration and mining tenements, the Group is required to outlay
amounts in respect of tenement rent to the relevant governing authorities and to meet certain annual exploration
expenditure commitments. These outlays (exploration expenditure and rent), which arise in relation to granted
tenements are as follows:
Exploration expenditure commitments
Commitments for payments under exploration permits for minerals in
existence at the reporting date but not recognised as liabilities payable is
as follows:
Payable within one year
Payable between one and five years
2023
$
2022
$
3,244,894
3,637,989
6,882,883
1,739,603
6,792,626
8,532,229
Outlays expressed as “Exploration Expenditure Commitments” may be varied from time to time, subject to approval
of the relevant government departments, and may be relieved if a tenement is relinquished or certain contractual
arrangements are entered into with third parties (e.g. a farm-in or joint venture arrangement). Cash security bonds
totalling $75,000 (2022: $41,500) are currently held by the relevant governing authorities to ensure compliance with
granted tenement conditions.
53
37
SUPERIOR RESOURCES LIMITED ANNUAL REPORT 2023
SUPERIOR RESOURCES LIMITED (ABN 72 112 844 407)
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2023
23. Events Occurring After Balance Date
Apart from other matters already stated, no matters or circumstances have arisen since 30 June 2023 that have
significantly affected, or may significantly affect:
(a)
(b)
(c)
the Group’s operations in future financial years, or
the results of those operations in future financial years, or
the Group’s state of affairs in future financial years.
24. Reconciliation of Loss After Income Tax to Net Cash Flows From Operating Activities
2023
$
2022
$
Loss for the year after income tax
(889,011)
(597,287)
Depreciation and amortisation
Tenement expenditure written off
Changes in operating assets and liabilities:
(Increase)/decrease in trade and other receivables
(Increase) / decrease in prepayments
Increase/(decrease) in other payables
Increase/(decrease) in employee entitlements
2,070
3,841
5,355
-
30,383
(51,573)
(84,747)
35,233
(15,255)
(14,988)
(44,864)
69,042
Net cash outflow from operating activities
(953,804)
(597,997)
54
38
SUPERIOR RESOURCES LIMITED ANNUAL REPORT 2023
SUPERIOR RESOURCES LIMITED (ABN 72 112 844 407)
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2023
25. Earnings (loss) Per Share
(a) Basic earnings (loss) per share
2023
Cents
2022
Cents
Profit (loss) per share attributable to the ordinary equity holders of the
company
(0.05)
(0.04)
(b) Diluted earnings (loss) per share
Profit (loss) per share attributable to the ordinary equity holders of the
company
(0.05)
2023
$
(0.04)
2022
$
(c) Reconciliations of earnings (loss) used in calculating earnings per
share
Basic earnings (loss) per share
Profit (loss) attributable to ordinary equity holders of the company used in
calculating basic earnings per share
(889,011)
(597,287)
Diluted earnings(loss) per share
Profit (loss) attributable to ordinary equity holders of the company used in
calculating diluted earnings per share
(889,011)
(597,287)
2023
Number
2022
Number
(d) Weighted average number of shares used as the denominator
Weighted average number of ordinary shares used as the denominator in
calculating basic earnings (loss) per share
Adjustments for calculation of diluted earnings (loss) per share:
Options
Weighted average number of ordinary shares and potential ordinary
shares used as the denominator in calculating diluted earnings (loss) per
share
1,712,179,322
1,568,864,514
-
-
1,712,179,322
1,568,864,514
Unissued ordinary shares under option are not included in the calculation of diluted earnings per share because they
are antidilutive for the years ended 30 June 2023 and 30 June 2022. These shares under option could potentially
dilute basic earnings per share in the future.
26. Related Party Disclosures
(a)
Parent entity
The parent entity within the Group is Superior Resources Limited.
55
39
SUPERIOR RESOURCES LIMITED ANNUAL REPORT 2023
SUPERIOR RESOURCES LIMITED (ABN 72 112 844 407)
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2023
26. Related Party Disclosures (continued)
(b)
Subsidiaries
The subsidiaries listed below have share capital consisting solely of ordinary shares which are held directly by the
Group. The % ownership interests held equals the voting rights held by the Group.:
Country of
incorporation
Principal Place
of Business
% ownership interest
Held by the Group
2022
2023
Investment
2023
$
2022
$
Subsidiaries
Superior Gold Pty
Ltd
Australia
Australia
100
100
1,000
1,000
(c)
Key management personnel
Disclosures relating to key management personnel are set out in Note 19.
27. Share-based payments
(a) Value of share-based payments in the financial statements
Recognised as share issue costs:
Success fee for share placement – options
Recognised in statement of changes in equity
2023
$
2022
$
-
-
213,892
213,892
The Group provides benefits in the form of share-based payment transactions as follows:
Type
Options
Holder(s)
Lead Managers
Services provided
Success fee for share placement
(b) Accounting Policy: share-based payment transactions
Services are rendered in exchange for options and/or shares in the Company (equity-settled transactions).
The cost of equity-settled transactions is determined by the fair value at the date when the grant is made using an
appropriate valuation model. That cost is recognised, together with a corresponding increase in other capital
reserves in equity, over the period in which the performance and/or service conditions are fulfilled.
(c) Fair value of options
The fair value of the options granted is estimated as at the date of grant using the Black-Scholes valuation model
taking into account the following inputs:
Grant date
Vesting date
Expiry date
Number of options granted
Underlying price per share
Exercise price
Risk-free rate
Volatility
Dividend yield
Option value
7 February 2022
7 February 2022
31 August 2023
10,000,000
$0.042
$0.080
0.64%
143.96%
0%
$0.02138
56
40
SUPERIOR RESOURCES LIMITED ANNUAL REPORT 2023
SUPERIOR RESOURCES LIMITED (ABN 72 112 844 407)
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2023
27. Parent Entity Information
(a)
Summary financial information
The individual financial statements for the parent entity show the following aggregate amounts:
Statement of financial position
Assets
Current assets
Non-current assets
Total assets
Liabilities
Current liabilities
Non-current liabilities
Total liabilities
Net assets
Shareholders’ equity
Issued capital
Reserves
Accumulated losses
Statement of profit or loss and other comprehensive income
Loss for the year
Other comprehensive income/(loss) net of tax
Total comprehensive income/(loss) for the year
2023
$
2022
$
4,072,662
11,853,759
15,926,421
4,193,096
8,941,032
13,134,128
579,839
-
579,839
638,795
-
638,795
15,346,582
12,495,333
24,318,029
(2,907,183)
(6,064,264)
20,588,628
(2,916,147)
(5,177,148)
15,346,582
12,495,333
(887,116)
8,964
(878,152)
(596,872)
(6,723)
(603,595)
(b)
Contingent liabilities and commitments of the parent entity
The parent entity did not have any contingent liabilities as at 30 June 2023 or 30 June 2022.
The commitments of the parent entity are as disclosed at Note 22 for the Group.
57
41
SUPERIOR RESOURCES LIMITED ANNUAL REPORT 2023
SUPERIOR RESOURCES LIMITED (ABN 72 112 844 407)
DIRECTORS’ DECLARATION
In the Directors’ opinion:
1.
the financial statements and notes set out on pages 14 to 41, are in accordance with the Corporations Act
set out on pages 30 to 57, are in accordance with the Corporations Act
2001, including:
complying with Accounting Standards, the Corporations Regulations 2001 and other mandatory
(a)
professional reporting requirements, and
(b)
giving a true and fair view of the Group’s financial position as at 30 June 2023 and of its
performance for the financial year ended on that date, and
2.
having regard to note 6 to the financial statements, there are reasonable grounds to believe that the Group
will be able to pay its debts as and when they become due and payable.
Note 2(a) confirms that the financial statements also comply with International Financial Reporting Standards as
issued by the International Accounting Standards Board.
The Directors have been given the declarations by the chief executive officer/chief financial officer as required by
section 295A of the Corporations Act 2001.
This declaration is made in accordance with a resolution of the Directors.
CA Fernicola
Chairman
Brisbane, 26th September 2023
42
58
SUPERIOR RESOURCES LIMITED ANNUAL REPORT 2023
Superior Resources Limited
Independent auditor’s report to the members
Superior Resources Limited
Independent auditor’s report to the members
Report on the Audit of the Financial Report
Report on the Audit of the Financial Report
Opinion
We have audited the financial report of Superior Resources Limited (the Company and its subsidiaries
Opinion
(the Group)), which comprises the consolidated statement of financial position as at 30 June 2023, the
We have audited the financial report of Superior Resources Limited (the Company and its subsidiaries
consolidated statement of profit or loss, consolidated statement of other comprehensive income, the
(the Group)), which comprises the consolidated statement of financial position as at 30 June 2023, the
consolidated statement of changes in equity and the consolidated statement of cash flows for the year
consolidated statement of profit or loss, consolidated statement of other comprehensive income, the
then ended, and notes to the financial statements, including a summary of significant accounting
consolidated statement of changes in equity and the consolidated statement of cash flows for the year
policies and other explanatory information, and the Directors’ declaration.
then ended, and notes to the financial statements, including a summary of significant accounting
policies and other explanatory information, and the Directors’ declaration.
In our opinion, the accompanying financial report of the Group, is in accordance with the Corporations
Act 2001, including:
In our opinion, the accompanying financial report of the Group, is in accordance with the Corporations
Act 2001, including:
(i)
giving a true and fair view of the Group’s financial position as at 30 June 2023 and of its
financial performance for the year ended on that date; and
(i)
(ii)
giving a true and fair view of the Group’s financial position as at 30 June 2023 and of its
financial performance for the year ended on that date; and
complying with Australian Accounting Standards and the Corporations Regulations 2001.
(ii)
Basis for Opinion
complying with Australian Accounting Standards and the Corporations Regulations 2001.
Basis for Opinion
We conducted our audit in accordance with Australian Auditing Standards. Our responsibilities under
those standards are further described in the Auditor’s Responsibilities for the Audit of the Financial
We conducted our audit in accordance with Australian Auditing Standards. Our responsibilities under
Report section of our report. We are independent of the Group in accordance with the auditor
independence requirements of the Corporations Act 2001 and the ethical requirements of the
those standards are further described in the Auditor’s Responsibilities for the Audit of the Financial
Accounting Professional and Ethical Standards Board’s APES 110 Code of Ethics for Professional
Report section of our report. We are independent of the Group in accordance with the auditor
Accountants (including Independence Standards) (the Code) that are relevant to our audit of the
independence requirements of the Corporations Act 2001 and the ethical requirements of the
financial report in Australia. We have also fulfilled our other ethical responsibilities in accordance with
Accounting Professional and Ethical Standards Board’s APES 110 Code of Ethics for Professional
the Code.
Accountants (including Independence Standards) (the Code) that are relevant to our audit of the
financial report in Australia. We have also fulfilled our other ethical responsibilities in accordance with
We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for
the Code.
our opinion.
We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for
Material Uncertainty Related to Going Concern
our opinion.
We draw attention to Note 6 in the financial report, which indicates that the Group incurred a net loss
Material Uncertainty Related to Going Concern
after tax of $889,011 during the year ended 30 June 2023 and had net cash outflows from operations of
$953,804. As stated in Note 6, these events or conditions, along with other matters as set forth in Note
We draw attention to Note 6 in the financial report, which indicates that the Group incurred a net loss
6, indicate that a material uncertainty exists that may cast significant doubt on the Group’s ability to
after tax of $889,011 during the year ended 30 June 2023 and had net cash outflows from operations of
continue as a going concern. Our opinion is not modified in respect of this matter.
$953,804. As stated in Note 6, these events or conditions, along with other matters as set forth in Note
6, indicate that a material uncertainty exists that may cast significant doubt on the Group’s ability to
continue as a going concern. Our opinion is not modified in respect of this matter.
43
59
43
SUPERIOR RESOURCES LIMITED ANNUAL REPORT 2023
Key Audit Matters
Key audit matters are those matters that, in our professional judgement, were of most significance in our audit of
the financial report of the current period. These matters were addressed in the context of our audit of the financial
report as a whole, and in forming our opinion thereon, and we do not provide a separate opinion on these matters.
In addition to the matter described in the Material Uncertainty Related to Going Concern section, we have
determined the matter described below to be the key audit matter to be communicated in our report.
CARRYING VALUE OF EXPLORATION COSTS
Area of focus
Refer also to note 14
Capitalised exploration and evaluation assets represent 74% of
the Group’s total assets. The carrying value of exploration and
evaluation assets is impacted by the Group’s ability, and
intention, to continue to explore and evaluate these assets. The
results of these
activities then determine the extent to which it may or may not
be commercially viable to develop and extract identified
reserves.
Judgement is required in evaluating management’s
application of the requirements of AASB 6 Exploration for and
Evaluation of Mineral Resources (“AASB 6”). AASB 6 is an
industry specific accounting standard requiring the application
of significant judgements, estimates and industry knowledge.
This includes specific requirements for expenditure to be
capitalised as an asset and subsequent requirements which
must be complied with for capitalised expenditure to continue
to be carried as an asset.
Due to the significance of this asset and the subjectivity
involved in determining its carrying value and recoverable
amount, this is a key audit matter.
How our audit addressed it
Our audit procedures included:
— A review of the Directors’ assessment of the
criteria for the continuous capitalisation of
exploration and evaluation expenditure and
their assessment of whether there are any
indicators of impairment to capitalised
costs;
— Test of additions to capitalised expenditure
for the year by agreeing a sample of
recorded expenditure for consistency to
underlying records, capitalisation
requirements of the Group’s accounting
policy and the requirements of AASB 6;
— Considering the Group’s intention and ability
to continue activities necessary to support a
decision to develop the exploration and
evaluation assets, which included an
assessment of the Group’s ability to fund
such activities and a review of their future
budgets;
— Performing an assessment of whether any
indicators of impairment existed in line with
requirements of Australian Accounting
Standards, including a review of the integrity
of tenement title status and total
commitments value; and
— Assessing the adequacy of the Group’s
disclosures in respect of the carrying value
of exploration costs.
60
44
SUPERIOR RESOURCES LIMITED ANNUAL REPORT 2023
Key Audit Matters
Other Information
Key audit matters are those matters that, in our professional judgement, were of most significance in our audit of
the financial report of the current period. These matters were addressed in the context of our audit of the financial
report as a whole, and in forming our opinion thereon, and we do not provide a separate opinion on these matters.
In addition to the matter described in the Material Uncertainty Related to Going Concern section, we have
determined the matter described below to be the key audit matter to be communicated in our report.
CARRYING VALUE OF EXPLORATION COSTS
Area of focus
Refer also to note 14
How our audit addressed it
Capitalised exploration and evaluation assets represent 74% of
Our audit procedures included:
the Group’s total assets. The carrying value of exploration and
evaluation assets is impacted by the Group’s ability, and
— A review of the Directors’ assessment of the
intention, to continue to explore and evaluate these assets. The
criteria for the continuous capitalisation of
activities then determine the extent to which it may or may not
their assessment of whether there are any
be commercially viable to develop and extract identified
indicators of impairment to capitalised
exploration and evaluation expenditure and
results of these
reserves.
costs;
Judgement is required in evaluating management’s
— Test of additions to capitalised expenditure
application of the requirements of AASB 6 Exploration for and
for the year by agreeing a sample of
Evaluation of Mineral Resources (“AASB 6”). AASB 6 is an
recorded expenditure for consistency to
industry specific accounting standard requiring the application
underlying records, capitalisation
of significant judgements, estimates and industry knowledge.
requirements of the Group’s accounting
This includes specific requirements for expenditure to be
policy and the requirements of AASB 6;
capitalised as an asset and subsequent requirements which
must be complied with for capitalised expenditure to continue
— Considering the Group’s intention and ability
to be carried as an asset.
to continue activities necessary to support a
decision to develop the exploration and
Due to the significance of this asset and the subjectivity
evaluation assets, which included an
involved in determining its carrying value and recoverable
assessment of the Group’s ability to fund
amount, this is a key audit matter.
such activities and a review of their future
budgets;
— Performing an assessment of whether any
indicators of impairment existed in line with
requirements of Australian Accounting
Standards, including a review of the integrity
of tenement title status and total
commitments value; and
— Assessing the adequacy of the Group’s
disclosures in respect of the carrying value
of exploration costs.
The Directors are responsible for the other information. The other information comprises the information in the
Group’s annual report for the year ended 30 June 2023, but does not include the financial report and the auditor’s
report thereon.
Our opinion on the financial report does not cover the other information and we do not express any form of
assurance conclusion thereon.
In connection with our audit of the financial report, our responsibility is to read the other information and, in doing
so, consider whether the other information is materially inconsistent with the financial report or our knowledge
obtained in the audit or otherwise appears to be materially misstated.
If, based on the work we have performed, we conclude that there is a material misstatement of this other
information, we are required to report that fact. We have nothing to report in this regard.
Responsibilities of the Directors for the Financial Report
The Directors of the Company are responsible for the preparation of the financial report that gives a true and fair
view in accordance with Australian Accounting Standards and the Corporations Act 2001 and for such internal
control as the Directors determine is necessary to enable the preparation of the financial report that gives a true
and fair view and is free from material misstatement, whether due to fraud or error.
In preparing the financial report, the Directors are responsible for assessing the ability of the Group to continue as
a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of
accounting unless the Directors either intend to liquidate the Group or to cease operations, or have no realistic
alternative but to do so.
Auditor’s Responsibilities for the Audit of the Financial Report
Our objectives are to obtain reasonable assurance about whether the financial report as a whole is free from
material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinion.
Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance
with the Australian Auditing Standards will always detect a material misstatement when it exists. Misstatements
can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably
be expected to influence the economic decisions of users taken on the basis of this financial report.
A further description of our responsibilities for the audit of these financial statements is located at the Auditing
and Assurance Standards Board website at:
https://www.auasb.gov.au/admin/file/content102/c3/ar1_2020.pdf
This description forms part of our independent auditor’s report.
44
61
45
SUPERIOR RESOURCES LIMITED ANNUAL REPORT 2023
Report on the Remuneration Report
Opinion on the Remuneration Report
We have audited the Remuneration Report included in the Directors’ Report for the year ended 30 June 2023.
In our opinion, the Remuneration Report of Superior Resources Limited, for the year ended 30 June 2023, complies
with section 300A of the Corporations Act 2001.
Responsibilities
The Directors of the Company are responsible for the preparation and presentation of the Remuneration Report in
accordance with section 300A of the Corporations Act 2001. Our responsibility is to express an opinion on the
Remuneration Report, based on our audit conducted in accordance with Australian Auditing Standards.
William Buck (Qld)
ABN 21 559 713 106
J A Latif
Director
Brisbane, 26 September 2023
62
46
SUPERIOR RESOURCES LIMITED ANNUAL REPORT 2023
Shareholder Information
The information set out below was applicable at 30 October 2023.
A. DISTRIBUTION OF EQUITY SECURITIES
Analysis of numbers of equity security holders by size of holding:
Class of security - Ordinary Shares
Number of Holders
Range
1 – 1,000
1,001 – 5,000
5,001 – 10,000
10,001 – 100,000
100,001 and over
Total
73
24
177
1,196
1,251
2,721
The number of holders holding less than a marketable parcel of ordinary shares was 545 and they held 6,124,593 securities.
B. EQUITY SECURITY HOLDERS
Total of Ordinary Shares on Issue 1,834,553,751.
Report on the Remuneration Report
Opinion on the Remuneration Report
We have audited the Remuneration Report included in the Directors’ Report for the year ended 30 June 2023.
In our opinion, the Remuneration Report of Superior Resources Limited, for the year ended 30 June 2023, complies
with section 300A of the Corporations Act 2001.
Responsibilities
The Directors of the Company are responsible for the preparation and presentation of the Remuneration Report in
accordance with section 300A of the Corporations Act 2001. Our responsibility is to express an opinion on the
Remuneration Report, based on our audit conducted in accordance with Australian Auditing Standards.
William Buck (Qld)
ABN 21 559 713 106
J A Latif
Director
Brisbane, 26 September 2023
46
63
SUPERIOR RESOURCES LIMITED ANNUAL REPORT 2023
Twenty largest equity security holders
Holders of fully paid ordinary shares (ASX:SPQ):
Holder
YARRAANDOO PTY LTD
MR TERRY TAYLOR & MRS LYNDA LOUISE TAYLOR
HBH FAMILY PTY LTD
KJ HARVEY & ASSOCIATES PTY LTD
CHOICE CONSTRUCTIONS PTY LTD
AIHANMI PTY LTD
MR MARTIN JOHN ERIC HOLTMAN
MALACHITE AILURIDAE PTY LTD
MR JOHN JOSEPH SCHOLL & MRS PATRICIA JOY SCHOLL
MR JAMES WILLIAM SWATMAN & MRS DEIRDRE CUTTLE
MR CARLOS ALBERTO FERNICOLA & MRS KERRIE ALISON FERNICOLA
NETWEALTH INVESTMENTS LIMITED
MR JOHN JOSEPH SCHOLL & MRS PATRICIA JOY SCHOLL
CITICORP NOMINEES PTY LIMITED
DR MATHEW FARRUGIA
HAMILTON HAWKES PTY LTD
ADESTE PTY LTD
TERRA SEARCH PTY LTD
CAPITAL FINANCIAL ADVISERS PTY LTD
D & B PERKS PTY LTD ATF PERKS FAMILY SUPERANNUATION FUND
Ordinary Shares
Number
Percent
160,000,000
42,000,000
41,949,072
37,542,724
35,471,436
31,600,000
27,636,058
25,699,943
20,009,556
20,000,000
19,101,666
18,159,737
17,098,610
16,049,489
16,000,604
15,960,850
15,743,401
14,999,766
14,604,585
13,000,000
8.72
2.29
2.29
2.05
1.93
1.72
1.51
1.40
1.09
1.09
1.04
0.99
0.93
0.87
0.87
0.87
0.86
0.82
0.80
0.71
Total
602,627,497
32.85
64
SUPERIOR RESOURCES LIMITED ANNUAL REPORT 2023 Unquoted equity securities
Unquoted Options
There are no unlisted options on issue
Number on issue
Number of Holders
Holders of greater than 20% of the unlisted equity securities
There are no holders of the unlisted equity securities of Superior Resources Limited at the date of this report.
C. SUBSTANTIAL HOLDERS
Substantial holders of the Company’s ordinary securities are set out below.
Holder of Relevant Interest
Registered Holder
Ordinary Shares
Number
Percent
MR GEOFFREY JAMES HARRIS
YARRAANDOO PTY LTD
160,000,000
8.72
D. VOTING RIGHTS
The voting rights attaching to each class of equity securities are set out below:
a. Ordinary shares
On a show of hands each member present at a meeting in person or by proxy shall have one vote and on a poll each share shall
have one vote.
b. Options
No voting rights.
65
SUPERIOR RESOURCES LIMITED ANNUAL REPORT 2023 Tenement Schedule
Current interests in tenements held by the Company and its subsidiaries as of 5 October 2023 are set out below.
All tenements are located within Queensland. Exploration Permits for Minerals (EPM) are specified for all minerals other than coal.
Tenement
Name
Project
Date of Grant
Date of Expiry
Area
Holder
Northwest Queensland
EPM15670
Hedleys 2
Nicholson
21 Aug 06
20 Aug 26
186 km2
EPM18203
Hedleys South
Nicholson
29 May 14
28 May 24
114 km2
EPM19097
Tots Creek
EPM19214
Scrubby Creek
EPM26720
Victor Extended
Victor
Victor
Victor
27 Nov 14
26 Nov 24
108 km2
27 Nov 14
26 Nov 24
30 Aug 18
29 Aug 23*
90 km2
60 km2
Northeast Queensland
EPM18987
Cockie Creek
Greenvale
25 Sep 13
24 Sep 23*
153 km2
EPM19247
Cassidy Creek
Greenvale
28 May 13
27 May 23*
48 km2
EPM25659
Dinner Creek
Greenvale
21 Apr 15
20 Apr 25
192 km2
EPM25691
Wyandotte
Greenvale
7 Apr 15
6 Apr 25
90 km2
EPM26165
Cockie South
Greenvale
30 Jan 17
29 Jan 27
108 km2
EPM26751
Twelve Mile Creek
Greenvale
28 May 19
27 May 24
258 km2
EPM27754
Dido
Greenvale
12 Aug 21
11 Aug 26
300 km2
EPM27755
Arthur Range
Greenvale
12 Aug 21
11 Aug 26
300 km2
EPM27932
Phantom Creek
Greenvale
7 Mar 22
6 Mar 27
300 km2
EPM28630
Six Mile Creek
Greenvale
Application
EPM28632
Lyndhurst
Greenvale
Application
EPM28633
Middle Creek
Greenvale
Application
300 km2
300 km2
300 km2
SPQ
SPQ
SPQ
SPQ
SPQ
SPQ
SPQ
SPQ
SPQ
SPQ
SPQ
SPQ
SPQ
SPQ
SPQ
SPQ
SPQ
SPQ
Interest
100%
100%
100%
100%
100%
100%
100%
100%
100%
100%
100%
100%
100%
100%
100%
100%
100%
Note *: permit renewal application lodged.
Abbreviations:
SPQ
EPM
Superior Resources Limited
Exploration Permit for Minerals
66
SUPERIOR RESOURCES LIMITED ANNUAL REPORT 2023 Mineral Resources Statement
Mineral Resources as at 30 June 2023
Project
Steam Engine
Gold Deposit
Notes:
Resource
category
Measured
Indicated
Inferred
Total
Cut-off
grade
(g/t Au)
0.25
0.25
0.25
0.25
Quantity
(tonnes)
Average Grade
(g/t Au)
Au
(ounces)
Notes
800,000
1,420,000
1,960,000
4,180,000
2.1
1.5
1.2
1.5
53,000
68,000
75,000
196,000
1, 2
1, 2
1, 2
1, 2
1. Steam Engine Gold Deposit lies 500 metres south of the Gregory Development Road within EPM26165 “Cockie South”,
approximately 210km west northwest of Townsville, Queensland, Australia.
2. Competent person – Mineral Resources, Mr Kevin Richter (MAusIMM); refer ASX announcement dated 11 April 2022.
Steam Engine Prospect
Information in relation to the Steam Engine Gold Deposit Mineral Resource Estimate and related information were originally
reported on the ASX Market Announcements Platform on 22 March 2021 (“Steam Engine revised Mineral Resource Estimate: JORC
Measured and Indicated Resource upgraded by 31%”) and 11 April 2022 (“Material upgrade in Steam Engine Resource to 196,000 oz
Au with 80.6% increase to Measured and Indicated categories”) each of which, complies with the guidelines of the 2012 JORC Code.
Mineral Resources comparison 2021 to 2022
2022
2021
Project
Steam Engine
Gold Deposit
Resource
category
Measured
Indicated
Inferred
Total
Cut-off
grade
(g/t Au)
0.25
0.25
0.25
Quantity
(tonnes)
800,000
1,420,000
1,960,000
0.25
4,180,000
Average
grade
(g/t Au)
2.1
1.5
1.2
1.5
Au
(ounces)
53,000
68,000
75,000
196,000
Cut-off
grade
(g/t Au)
0.5
0.5
0.5
0.5
Quantity
(tonnes)
240,000
610,000
880,000
1,730,000
Average
grade
(g/t Au)
2.6
2.4
1.9
2.2
Au
(ounces)
20,000
47,000
55,000
122,000
67
SUPERIOR RESOURCES LIMITED ANNUAL REPORT 2023 The revised Steam Engine Mineral Resource Estimate, as stated in this report and as published on 11 April 2022, is calculated using
a cut-off of 0.25 g/t Au, compared with a cut-off grade of 0.5 g/t Au that was used in the 2021 Mineral Resource Estimate. A lower
cut-off grade was for the 2023 Mineral Resource Estimate to enable feasibility studies to be carried out on the basis of a mining and
processing operation.
Mineral Resource and Ore Reserve Governance
The Mineral Resource Estimates as reported, have been generated by a suitably qualified person using industry standard best
practice modelling and estimation methods.
Unless stated otherwise, Mineral Resources and Ore Reserves are compiled in accordance with the Australasian Code for Reporting
of Exploration Results, Mineral Resources and Ore Reserves (JORC Code) 2012 Edition.
The Mineral Resources Statement included in this report has been reviewed by a suitably qualified Competent Person.
Reporting of Exploration Results
The reporting of Exploration Results, Mineral Resources or Exploration Targets in this report reflects information that was
originally reported in ASX market announcements as referenced in various parts of this report. The Company confirms that it is
not aware of any new information or data that materially affects the information, results or conclusions contained in the original
reported document.
In respect of previously reported Mineral Resource estimates, all originally reported material assumptions and technical parameters
underpinning the estimates continue to apply and have not been materially changed or qualified. The form and context in which the
relevant Competent Person’s findings are presented have not been materially modified from the original document.
68
SUPERIOR RESOURCES LIMITED ANNUAL REPORT 2023 69
SUPERIOR RESOURCES LIMITED ANNUAL REPORT 2023 SUPERIOR RESOURCES LIMITED
ABN 72 112 844 407
Registered Office
Unit 8, 61 Holdsworth Street
COORPAROO QLD 4151
Principal Office
Suite 3, Level 1, 5 Gardner Close,
Milton Qld 4064
T: 07 3847 2887
E: manager@superiorresources.com.au
superiorresources.com.au