ABN: 87 145 011 178
Corporate Directory & Contents
Corporate Directory
Board of Directors
Executive Chairman
Thomas Sanders
Mark Edwards
Non-Executive Director
Michael Kitney Non-Executive Director
Non-Executive Director
Linton Putland
Non-Executive Director
Eric Vincent
Senior Management
Exploration Manager
Alastair Barker
Michelle Simson Manager Corporate
Affairs/Company Secretary
Principal Place of Business &
Registered Office
12 Walker Avenue
West Perth, Western Australia 6005
+61 8 9226 3666
+61 8 9226 3668
Tel:
Fax:
Email: breaker@breakerresources.com.au
Website: www.breakerresources.com.au
ABN
87 145 011 178
Cover photo: Drone photo of the Bombora Resource area;
Inside front cover: Drilling at Lake Roe; Inside back cover: Lake
Roe landscape
Contents
Auditors
Rothsay Auditing
Level 1, 4 Ventnor Avenue
West Perth, Western Australia 6005
Solicitors
Steinepreis Paganin
Level 4, 16 Milligan Street
Perth, Western Australia 6000
Hopgood Ganim
Level 27, 77 St George’s Terrace
Perth, Western Australia 6000
Share Registry
Automic Registry Services
Level 5, 126 Phillip Street
Sydney, New South Wales 2000
Tel:
1300 288 664 (within Australia)
+61 2 9698 5414 (outside Australia)
Email:
hello@automic.com.au
Website: www.automic.com.au
Securities Exchange Listing
Shares in Breaker Resources NL are quoted on
ASX Limited (code: BRB). The Home Exchange is
Perth, Western Australia.
Chairman’s Letter __________________________________________________________________________________________ 2
Review of Activities _________________________________________________________________________________________ 3
Tenement Schedule _______________________________________________________________________________________ 14
Directors’ Report __________________________________________________________________________________________ 15
Auditor’s Independence Declaration _____________________________________________________________________ 28
Statement of Profit or Loss and Other Comprehensive Income ___________________________________________ 29
Statement of Financial Position ___________________________________________________________________________ 30
Statement of Changes in Equity __________________________________________________________________________ 31
Statement of Cash Flows __________________________________________________________________________________ 32
Notes to the Financial Statements ________________________________________________________________________ 33
Directors’ Declaration _____________________________________________________________________________________ 50
Independent Auditor’s Report ____________________________________________________________________________ 51
ASX Additional Information ________________________________________________________________________________ 55
2020 Annual Report
1
Chairman’s Letter
Dear Shareholder,
Breaker Resources NL is poised for dynamic growth in the year ahead. Over the last
few years, we have successfully identified a rare and large new gold field only 100km
from Kalgoorlie. Despite a 1Moz open pit Resource# and 250,000m of drilling, it is still
in the early stages of delineation.
This is an enviable position for any Company to be in, and one that I believe the
market will recognise and reward in due course. This view has also attracted the
support of several prominent US gold funds who have either invested in Breaker, such as Electrum Strategic
Opportunities Fund II, or who intend to invest, such as Paulson and Co., subject to shareholder approval.
This support is a major vote of confidence in the potential of the Lake Roe project, our people and our
systematic approach to growth built on early de-risking.
To reflect briefly on our journey to date, the Company made a virgin discovery hidden by transported
cover in 2015, in an area that several other companies had previously explored. Breaker then set about
creating an early development option by proving up a 1Moz open pit Resource# at Bombora, which
remains open in all directions after 250,000m of RC and diamond drilling. The deposit starts 5m from
surface and is high-grade by nature, a favourable combination particularly in the early years of mining.
After a strategic review in late 2019, Breaker decided to continue drilling to grow the Resource and
expand and de-risk the Company’s development options. We made this decision because we could see
the growth potential. We also understood that the market is wary of single asset developers perceived
to be moving into production too early, a view reinforced by negative outcomes at several recent
developments.
We started an aggressive drilling campaign to expand the Resource in early 2020. Prior to this, drilling
outside Bombora was limited due to an early focus on de-risking the open pit Resource. Since the start
of 2020, our drilling has had early and material success. As a result, we have identified three large areas
of emerging discovery and extension that are slated for resource growth. This outcome demonstrates
that our view of the substantial growth potential is correct.
We have identified a 2km-long strike length of high-grade lodes below the open pit Resource to date
that are not yet in Resource. In the process, we have also demonstrated the potential for underground
mining. By changing the lower cut-off grade, there is scope to mine underground. This not only extends
mine life, but can also add multiples to any project valuation based purely on open pit mining.
We have identified an emerging, 2km-long discovery at the Kopai-Crescent Prospect, situated 3km north
of Bombora, where drilling is still scoping the areal extent of mineralisation.
We have made a potentially significant discovery at the Carbineer Prospect, which extends over a 12km-
long zone directly to the east of Bombora. Maiden drilling hits of up to 22g/t Au highlight this potential,
and a new style of gold mineralisation is potentially opening up along the granite contact.
These results confirm that the 1Moz Resource# at Bombora is part of a much larger gold system that is up
to 15km-long, within a large (600km2) project with a granted mining lease and 40km of strike potential. As
a result, we plan to run at least three drill rigs continuously for the foreseeable future, and at the right time
we plan to step this up.
In closing, I would like to thank our highly professional staff, technical team, contractors and suppliers for
their hard work that has made our success possible. I would also like to thank our shareholders for their
ongoing support and I look forward to a rewarding year ahead.
Yours sincerely
Tom Sanders
Chairman
2
Breaker Resources NL
Review of Activities
Review of Exploration Activities
Breaker Resources NL (ASX:BRB) is focused on expanding a rare 1Moz# greenfields gold discovery at its
Lake Roe Gold Project, 100km east of Kalgoorlie, Western Australia.
After 250,000m of drilling, the deposit, which is concealed by thin (5m) transported cover, is open in all
directions. The consistency and areal extent of the results indicate a new gold camp in the early stages
of delineation, with 600km2 of tenure, a granted mining lease, and 40km of strike potential.
The deposit is similar in style to the well-known (70Moz) Golden Mile deposit in Kalgoorlie, and has yielded
some of the best drill hits in Western Australia in the last few years, such as 25m @ 18.53g/t from 52m, 7m
@ 61.78g/t from 59m and 6.1m @ 10.54g/t from 491.8m1.
The Lake Roe Gold Project has the attributes of scale, grade and camp-scale growth potential, and the
open pit and underground mining potential are extensively de-risked.
A major drilling program is underway to increase the 1Moz open pit Resource# at Bombora to expand the
future development options. Since the start of 2020, an aggressive drilling campaign has had early success.
As a result, there are three large areas of emerging discovery and extension slated for resource growth.
Figure 1: Lake Roe Project District Geology & Gold Prospects
2020 Annual Report
3
Review of Activities
2019/20 Drilling
A 42,575m program of regional geochemical aircore drilling was undertaken in the period June 2019 to
November 2019 in preparation for further exploratory reverse circulation (RC) drilling following an intensive
three year-long phase of Resource delineation drilling at Bombora.
A second major phase of RC and diamond drilling commenced in December 2109 and is currently in
progress with two diamond rigs and one RC rig operating continuously. Campaign-style RC drilling in the
period December 2019 to early-February 2020, reverted to continuous RC drilling from May 2020. To date
14,072m of RC drilling and 9,959m of diamond drilling have been reported, which includes all drilling to
and including ASX Release of 2 July 2020.
Since the start of 2020, the RC and diamond drilling has had early success with three large areas of
emerging discovery and extension identified and which are slated for ongoing resource growth:
(i)
Bombora Deeps, directly below the extensively de-risked open pit Resource (80% Indicated; Figures
1, 3 & 4);
The emerging 2km-long discovery in the Kopai-Crescent area, 3km north of Bombora (Figure 5); and
(ii)
(iii) The new Carbineer area, an emerging 12km-long zone 400m east of Bombora (Figures 6 & 7).
Due to the large size of the targets, the drilling is necessarily wide-spaced to scope the areal extent and
nature of the mineralisation, and to prioritise the best areas for resource definition drilling. The wide drill
spacing makes any positive results obtained more significant, resulting in either discovery or material
extension.
Based on the ongoing success of the drilling, the Company plans to continue operating at least three drill
rigs for the foreseeable future, but plans to step this up at the right time.
Figure 2: Drilling summary by quarter
Overview and Summary of Drilling Results
The extensional focus of Breaker’s drilling since the start of 2020 has delivered discovery and material
extension in three large areas outside the Bombora Resource – Bombora Deeps, Kopai-Crescent and
Carbineer (Figure 1).
The results highlight the growth potential of a rare large greenfields gold system that is still in the early
stages of delineation; and which already hosts an extensively de-risked, 1Moz open pit Resource#.
4
Breaker Resources NL
Review of Activities
Drilling below the Bombora open pit resource resulted in the discovery of several new lodes and the
material extension of others at grades that are typically mined underground. Accordingly, there is now a
2km strike length of high-grade lodes below (outside) the Resource, and the potential for underground
mining is materially upgraded and is open along strike.
Early drilling in the Kopai-Crescent area, 3km north of Bombora, points to a new 2km-long discovery linking
the Kopai and Crescent Prospects.
Maiden drilling at Carbineer, to the east of Bombora, hit high-grade gold of up to 4m at 21.79g/t Au2 in a
new unit of quartz dolerite with the potential for a 1km extension to the north.
Further east, there is emerging potential for syenite-associated gold mineralisation along the 12km-long
sheared western contact of the Swan Lake Syenite (Figures 1 & 6).
This contact is anomalous in gold, silver, molybdenum and tungsten based on Breaker’s regional aircore
drilling (Figure 7), and several significant drill intersections along this contact have not yet been tracked
into syenite: eg. Claypan 5m @ 3.64g/t Au (BAC1032), 12m @ 1.17g/t Au (BBRC1434) and 7m @ 1.68g/t Au
(BBRC0705)2. Syenite-associated magnetite alteration is commonly present near the contact. This is
important as magnetite is a well-known trigger for gold deposition in many Archean gold deposits in
Western Australia.
Bombora Deeps Overview
Drilling below the 1Moz open pit Resource# at Bombora has discovered new lodes, and materially
extended others at grades typically amenable to underground mining.
These results increased the strike length of high-grade gold lodes below the open pit Resource by 600m
to 2,000m that extend to a maximum depth of 600 metres below surface. None of this is in the existing
open pit Resource, which is defined to a variable depth of 180m to 300m below surface. The physical
dimension of some of the flat and west lode systems is in excess of 1km-long.
Figure 3: Same scale comparison of Bombora, Plutonic and Darlot gold deposits3
2020 Annual Report
5
Review of Activities
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6
Breaker Resources NL
Review of Activities
Photo 1: New high-grade steep lode in diamond drill core BBDD0096W2 with annotated depth and grade4
Kopai-Crescent Overview
The Kopai-Crescent area is an emerging discovery. The first meaningful RC drilling to the north of Crescent
intersected significant gold up to 4g/t5 over a very large area. Follow-up results indicate a likely link between
the Kopai and Crescent Prospects and point to a new 2km-long zone of mineralisation (Figure 5).
The objective of the RC drilling currently underway is to establish the areal extent and nature of the
mineralisation prior to targeting the main structures controlling the high-grade gold.
Figure 5: Kopai and Crescent Prospect Drill Hole Location Plan
2020 Annual Report
7
Review of Activities
Carbineer Overview
The Carbineer Prospect is part of a 300m-wide, north-trending corridor between the Claypan Shear Zone
and Swan Lake Syenite, 400m east of the Bombora deposit (Figures 1 & 7). A maiden 14-hole
reconnaissance RC drilling program was completed in June 2020 to test an anomalous zone of gold and
pathfinder anomalism defined by aircore drilling.
The first three drill holes of this program returned high-grade gold of up to 4m at 21.79g/t Au6 in a new unit
of quartz dolerite which has the potential to translate into a 1km extension to the north (Figure 6).
The remaining eleven wide-spaced reconnaissance drill holes (1,608m) returned anomalous gold of up
to 0.41g/t Au7 on each of the four drill lines situated along the western contact of the Swan Lake Syenite
(Figure 6).
Figure 6: Carbineer Prospect Drill Hole Location Plan
The anomalous gold is accompanied by widespread magnetite-rich alteration and local shearing and
quartz veining in all rock types near the margin of the Swan Lake Syenite (intermingled dolerite, basalt
and syenite).
8
Breaker Resources NL
Review of Activities
Implications of New Carbineer Results
The Carbineer results are potentially significant for several reasons:
(i) Carbineer is part of a 12km-long corridor between the Claypan Shear (East Branch) and the sheared
western contact of the Swan Lake Syenite, and includes the Claypan Prospect and several other
unnamed targets (Figure 7);
(ii) Syenite-associated magnetite alteration along this contact is extensive;
(iii) Magnetite is a key catalyst for triggering gold mineralisation at many deposits, including the
Bombora, Golden Mile and Wallaby gold deposits;
(iv) RC drilling within the syenite is limited but significant gold has previously been intersected in several
areas near the contact (eg. Claypan Prospect; Figures 1 & 7A); and
(v) End-of-hole aircore samples in the 12km corridor are anomalous in gold (Figure 7B), silver and many
gold pathfinder elements including molybdenum, tungsten, barium and lead, a similar geochemical
signature to the 8Moz Wallaby gold deposit, near Laverton, Western Australia.
Figure 7A: Carbineer Trend RC and Diamond
Maximum Gold8
Figure 7B: Carbineer Trend Aircore End-of-hole Gold8
Aircore Drilling
A total of 42,575m of regional geochemical aircore drilling was undertaken in the period June 2019 to
November 2019 in preparation for follow-up RC and diamond drilling, which started in December 2020.
This drilling included some sterilisation drilling (186 holes for 7,195m) in areas of potential mine infrastructure,
and a further 31 holes (677m) to assess potential water sources for processing and camp requirements.
2020 Annual Report
9
Review of Activities
The aircore drilling was conducted on typical drill line spacings of 100m or 200m (up to 2.8km) with typical
drill hole spacing of 40m or 80m (up to 160m). All holes were drilled to refusal with each hole sampled
continuously downhole for gold, and multi-element geochemistry conducted on each relatively fresh
end-of-hole sample. The aircore drilling returned positive results on several fronts.
The aircore drilling had several highlights that are briefly summarised below:
The results extended the overall strike length of the camp-scale Lake Roe oxide gold anomaly, to least
9.5km, with further anomalism on a wide drill hole spacing along the western contact of the Swan Lake
Syenite, which may extend this to 15km (Figure 8);
At the Kopai Prospect, 3km north of Bombora, the drilling outlined a 400m-long zone of >1.0g/t Au
bedrock gold with bedrock gold results up to 3.46g/t Au9;
At the Claypan Prospect, 1.3km south-east of Bombora deposit, the drilling identified a 2.5km-long
anomaly associated with new quartz dolerite with results up to 4m @ 2.75g/t and 3m @ 2.66g/t Au)10;
The aircore drilling encountered end-of-hole gold and pathfinder anomalism along a 12km corridor
along the western contact of the Swan Lake Syenite.
Figure 8: Aeromagnetic image of the Claypan Prospect, with aircore collars coloured by maximum gold in hole
(ppm or g/t Au). Key geological features are outlined in black.
10 Breaker Resources NL
Review of Activities
Updated Mineral Resource
An update to the April 2018 and April 2019 Mineral Resources for Bombora was released in September
201911. It captures gold mineralisation to a variable depth of 180m to 300m below surface, and includes
mining dilution expected in an open pit mining scenario.
The Mineral Resource is summarised in Table 1 below.
Indicated
Inferred
Grand Total
oxide
trans
fresh
Total
oxide
trans
fresh
Total
Tonnes
Grade
Ounce
141,000
1,842,000
16,373,000
18,356,000
214,000
922,000
3,717,000
4,853,000
23,210,000
1.3
1.4
1.4
1.4
1.0
0.9
1.2
1.1
1.3
6,000
83,000
714,000
803,000
7,000
27,000
144,000
178,000
981,000
Table 1: September 2019 Bombora Deposit Mineral Resource (0.5g/t Au cut-off)11
Lake Roe Pre-Feasibility Study
The Lake Roe Project is on a granted mining lease. Environmental, geotechnical, hydrological and
metallurgical studies undertaken to date do not highlight any impediments to development.
Pre-feasibility activities during 2019/20 included:
ongoing resource modelling;
metallurgical and processing studies;
sterilisation drilling in areas of proposed infrastructure;
groundwater studies;
waste rock characterisation studies;
heritage studies; and
aquatic ecology studies.
The PFS was deferred subsequent to the strategic review undertaken in October/November 2019. Breaker
decided defer the PFS to continue drilling to grow the resource and expand and de-risk the Company’s
development options.
Manna Lithium Prospect
The Manna Prospect is located approximately 15km south of Bombora and outcropping lithium-bearing
pegmatite was discovered in the area in early 2018. First-pass rock-chip sampling identified widespread
enrichment in lithium (up to 3.81% Li2O), tantalum (up to 366ppm Ta2O5) and niobium (up to 251ppm
Nb2O5) and strong evidence of chemical zoning12. Mapping and sampling during 2018/19 confirmed the
presence of a spodumene-rich, lithium-cesium-tantalum (LCT) pegmatite system over a 3.4km x 1km area;
an area which is constrained by outcrop limits and the extent of sampling.
Four diamond holes were drilled at Manna in June 2019 to provide samples for preliminary metallurgical
testwork, involving an assessment of the amenability of the spodumene-rich mineralisation to upgrade to
a lithium concentrate by heavy liquid separation. The results were reported during 2019/20.
The holes intercepted coarse-grained, spodumene-bearing pegmatite intervals as expected (Photo 2).
Significant lithium results are shown in Figure 9.
2020 Annual Report 11
Review of Activities
Figure 9: Manna Lithium Prospect Drill Hole Location Plan12
Photo 2: Manna Lithium Prospect - BMDD0001 41.40-45.01m (Wet)13
Mineralogy analysis indicates that lithium in the sampled lithologies in the Manna deposit is characterised
by the presence of spodumene in isolation. The Manna pegmatite appears to contain relatively low iron
and typical levels of feldspar-associated sodium and potassium that are generally removed by heavy
media separation. The feldspar minerals represent the principal source of alkali contaminants. Clinochlore
and garnet carry most of the contaminant iron in the material.
Although preliminary in nature, the test program suggests the Manna lithium deposit has the potential to
produce high grade, low impurity spodumene concentrates.
Other Exploration
The Ularring Rock project is located 100km east of Perth. The project covers the Centre Forest and
Southern Brook gold-copper prospects, where historic RC drill intercepts of copper-gold mineralisation
include 61m @ 0.83g/t Au, and 37m @ 0.72g/t Au and 0.26% Cu.
2019/20 activities were primarily focused on field reconnaissance and evaluation. The Company plans
to undertake some reconnaissance drilling at the earliest opportunity to evaluate several gold-copper,
tungsten and platinum group element-nickel targets identified.
12 Breaker Resources NL
Review of Activities
As at 30 June 2020, the Company held approximately 908km2 of tenements comprising a granted mining
lease at Lake Roe, as well as nine granted exploration licences across the Lake Roe and Ularring Rock
Project areas.
Review of Corporate Activities
On 4 October 2019, and following the receipt of several unsolicited enquiries from corporate and other
entities, the Company advised of a decision to undertake a strategic review of all options available to
accelerate unlocking of value from the Lake Roe Gold Project. The review process considered a range
of potential partnering, funding and other asset initiatives, with a focus on maximising shareholder value.
The strategic review was completed in mid-November 2019, at which time Breaker announced the
objective of expanding the Lake Roe Resource base through further drilling and an $8million share
placement to Electrum Strategic Opportunities Fund II LP (Electrum), a major US-based private equity fund
focused on precious metals. The placement, consisting of 23,015,211 newly issued shares was undertaken
at $0.35 per share.
On 6 September 2019 the Company announced a call on its partly paid shares (ASX: BRBCA) of $0.19
representing the balance of monies owed on the shares. The call was due and payable on 4 October
2019. Partly paid shares on which the call remain unpaid were forfeited on 18 October 2019 and a public
auction was held on 14 November 2019. All forfeited partly paid shares were sold at the auction.
A total of 4,200,000 unlisted options were issued to personnel during the year under the Company’s
Incentive Option Scheme. 4,900,000 options lapsed or expired.
As at 30 June 2020, the Company’s capital structure comprised:
231,320,076 fully paid ordinary shares (ASX: BRB); and
8,450,000 unlisted options at various exercise prices and expiry dates.
At the beginning of the period the Company’s fully paid ordinary shares were trading at $0.32, and the
Company had a market capitalisation of $65.9million and as at 30 June 2020, the share price was $0.29
and the market capitalisation $67.1million.
On 23 March 2020 the Company announced the appointment of US-based investment executive Eric
Vincent to the Board of Directors. Eric has strong links in the North American capital markets and joins the
Board as a nominee of Electrum.
The Company was represented at numerous industry events during the year including the Diggers &
Dealers Mining Forum in Kalgoorlie, the Precious Metals Summit and Denver Gold Forum in Colorado,
Australian Resources Conference in Zurich and the Prospectors and Developers Association of Canada
conference in Toronto.
______________________________________
1 ASX Release 8 July 2020
2 ASX Release 2 July 2020
3 ASX Release 27 July 2020
4 ASX Release 17 June 2020
5 ASX Release 11 June 2020
6 ASX Releases 2 July 2020
7 ASX Release 27 July 2020
8 ASX Release 27 July 2020
9 ASX Release 24 October 2019
10 ASX Release 24 October 2019
11 ASX Release 2 September 2019
12 ASX Release 30 April 2018
13 ASX Release 31 October 2019
2020 Annual Report 13
Tenement Schedule
Tenement Schedule
The following is a summary of tenements held by Breaker Resources NL as at 30 June 2020.
Project
Lake Roe
Ularring Rock
Tenement
Number
E28/2515
E28/2522
E28/2551
E28/2555
E28/2556
E28/2559
E28/2920
M28/388
E70/4686
E70/4901
Status
Granted
Granted
Granted
Granted
Granted
Granted
Granted
Granted
Granted
Granted
Percentage
Held/Earning
%
100
100
100
100
100
100
100
100
100
100
Photo 3: Milky Way over Lake Roe Camp
Photo 4: Diamond Core Logging
COMPETENT PERSONS STATEMENT
The information in this report that relates to Exploration Results is based on and fairly represents information and
supporting documentation compiled by Tom Sanders, Competent Person, who is a Member of the Australasian Institute
of Mining and Metallurgy. Mr Sanders is an executive of Breaker Resources NL and his services have been engaged
by Breaker on an 80% of full time basis; he is also a shareholder in the Company. Mr Sanders has sufficient experience
that is relevant to the style of mineralisation and type of deposit under consideration and to the activity being
undertaken to qualify as a Competent Person as defined in the 2012 Edition of the ‘Australasian Code for Reporting of
Exploration Results, Mineral Resources and Ore Reserves’. Mr Sanders consents to the inclusion in the report of the
matters based on his information in the form and context in which it appears.
#The reference in this report to Mineral Resources is based on information announced to the ASX on
2 September 2019 (also see table on page 11). Breaker confirms that it is not aware of any new information or data in
relation to the Resource that materially affects the information included in the relevant market announcement that
has not been updated in subsequent announcements, and that all material assumptions and technical parameters
underpinning the estimate in the relevant market announcement continue to apply and have not materially changed.
14 Breaker Resources NL
Directors’ Report
Directors’ Report
The directors of Breaker Resources NL herewith submit the financial report for the year ended 30 June
2020. In order to comply with the provisions of the Corporations Act 2001 (Cth), the directors report as
follows:
Information about Officeholders
Directors
The names of the directors of the Company during or since the end of the financial year and up to the
date of this report, and the term of their appointment, are provided below.
Thomas Sanders BSc (Geology); MSc (Mineral Economics); MAusIMM; FAICD
Executive Chairman (appointed 2 July 2010)
Tom Sanders is a geologist with over 35 years’ experience in the Australian mining industry. He has
extensive experience in project generation, exploration, feasibility, mining and corporate management
with a strong emphasis on gold and nickel in Western Australia (WA). Mr Sanders has published works on
nickel and gold in WA, in addition to regional mineralisation studies on the eastern Kimberley region under
contract to the Geological Survey of WA.
Mr Sanders has managed a large number of exploration projects, several of which he progressed into
production during a 23 year period based in the Kalgoorlie region in WA. He has extensive production
experience on several underground and open pit gold and nickel operations.
Mr Sanders was responsible for identifying Breaker’s initial projects and guiding the Company to a
successful ASX listing in 2012. Mr Sanders previously founded Navigator Resources Limited and steered
that company from initial project acquisition to ASX-listing. He then managed the building of a two million
ounce gold resource inventory through discovery and acquisition and identified the Cummins Range rare
earth resource.
During the past three (3) years, Mr Sanders has not served as a director on any other listed company.
Mark Edwards BJuris; LLB
Non-Executive Director (appointed 2 July 2010)
Mark Edwards is a solicitor with over 30 years of experience in resources and corporate law. He has
advised a number of ASX-listed companies active in the resources sector and on a range of resources
projects in Australia and overseas, including significant nickel, gold and iron ore projects. His professional
work has involved him in many facets of the resources industry ranging from ASX listings, exploration and
mining joint ventures to project development agreements and project financing.
During the past three (3) years, Mr Edwards has not served as a director on any other listed company.
Michael Kitney Assoc. Met; Post Grad Dip (Extractive Metallurgy); MSc (Mineral Economics); MAICD;
MAusIMM
Non-Executive Director (appointed 2 July 2010)
Mike Kitney is a process engineer with over 40 years’ experience in the mining industry. He has
participated in the development and construction of projects throughout Australia, Africa, south east Asia
and the former Soviet Union. Mr Kitney’s particular strengths are in production and mineral processing, all
aspects of environmental management, project evaluation and assessment and leadership of
interdisciplinary project teams. He brings to the Company vast project development expertise and
practical experience in commissioning new projects.
2020 Annual Report 15
Directors’ Report
Mr Kitney has previously held senior technical and project management positions with Kasbah Resources
Limited, Alcoa Australia Limited, Minproc Engineers Limited, Property Company of London plc, British
Phosphate Commissioners, Nelson Gold Corporation Limited and Avocet Mining plc. He is currently a
technical consultant to ASX-listed Prospect Resources Limited.
During the past three (3) years, Mr Kitney has served as a director on ASX-listed General Mining
Corporation Limited (appointed 20 October 2015; ceased 5 August 2016).
Linton Putland BEng (Mining), MSc (Mineral Economics), MAusIMM, GAICD
Non-Executive Director (appointed 16 August 2018)
Linton Putland holds a degree in mining engineering and a masters in science from the Western Australian
School of Mines and has over 30 years' experience in mining operations, joint ventures and corporate
management in Australia, Africa and the Americas over a wide range of commodities.
Mr Putland is principal of LJ Putland & Associates, a private mining consultancy company which was
founded in 2002, providing advisory and consultancy services in mining project and company evaluation
and due diligence appraisals with a focus on corporate growth. During this period he has also been
Managing Director of a privately owned exploration company, with joint venture interests in Africa. Prior
to this he held corporate and senior management roles in IAMGOLD Corporation, AurionGold Limited,
Delta Gold NL and Pancontinental Mining Limited.
During the past three (3) years, Mr Putland has served as a director on previously ASX-listed companies
Pacific Energy Limited (appointed 18 October 2016; resigned 28 November 2019) and Azumah Resources
Limited (appointed 18 July 2018; resigned 14 November 2019).
Eric Vincent BA; JD
Non-Executive Director (appointed 23 March 2020)
Eric Vincent is the President of Sarissa Capital, a healthcare-focused activist investment firm in the United
States. Most recently, he served as the Head of Business Development at Mubadala Capital, the financial
investment arm of the sovereign wealth firm Mubadala Investment Company. From 2012 through 2017,
Mr Vincent was Chief Executive Officer of Electrum Group.
Mr Vincent previously served as President of Ospraie Management, an investment firm focused on
commodities and basic industries. From 2007 through October 2009, he served as Chairman of the Board
of Directors of the Managed Funds Association, the leading trade association representing the US hedge
fund industry.
He began his career as an attorney at Cravath, Swaine & Moore and holds a Juris Doctor degree from
Harvard Law School and a Bachelor of Arts degree from Williams College. Mr Vincent was previously a
member of the Global Markets Advisory Committee of the US Commodity Futures Trading Commission
and a member of the Investor Advisory Group of the Public Company Accounting Oversight Board.
During the past three (3) years, Mr Vincent has not served as a director on any other listed company.
Company Secretary
The name of the company secretary of the Company during or since the end of the financial year and
up to the date of this report, and the term of their appointment, are provided below.
Michelle Simson EMBA (Dist.); GradDipACG; ACIS; AGIA
Company Secretary (appointed 22 October 2012)
Michelle Simson has 25 years’ administration experience, including the last 15 years in the resources
industry working in both exploration and mining companies in the commodities of gold and uranium. She
16 Breaker Resources NL
Directors’ Report
has previously held positions with Agincourt Resources Limited, Nova Energy Limited and Navigator
Resources Limited and has completed an Executive Master of Business Administration with Distinction at
the University of Western Australia and a Graduate Diploma in Applied Corporate Governance. She is a
Chartered Secretary and member of the Governance Institute of Australia.
During the past three (3) years, Miss Simson has not served as a director on any other listed company.
Board Committee Membership
As at the date of this report, the Board has an Audit Committee, Nomination Committee, Remuneration
Committee and a Risk Committee. Three of the five directors comprise membership of each committee
and the respective chairmen are:
Audit Committee: Mark Edwards;
Nomination Committee: Linton Putland;
Remuneration Committee: Mike Kitney; and
Risk Committee: Tom Sanders.
Directors’ Meetings
The number of meetings of directors (including meetings of committees of directors) held during the year
and the number of meetings attended by each director is as follows:
Board of
Directors
Committee Meetings
Audit
Nomination
Remuneration
Risk
Director
Held
Present Held
Present
Held
Present Held
Present
Held
Present
Tom Sanders
Mark Edwards
Mike Kitney
Linton Putland
Eric Vincent
(appointed 23/03/2020)
4
4
4
4
1
Directors’ Interests
4
4
4
4
1
-
2
2
2
-
-
2
2
2
-
1
1
-
1
-
1
1
-
1
-
-
1
1
1
-
-
1
1
1
-
2
-
2
2
-
2
-
2
2
-
The following table sets out each director’s relevant interest in shares and options in shares of the
Company or a related body corporate as at the date of this report.
Director
Tom Sanders
Mark Edwards
Mike Kitney
Linton Putland
Eric Vincent
Fully paid
ordinary shares
Number
23,414,531
1,843,190
1,526,669
-
-
Unlisted
share options
Number
3,000,000
-
-
1,250,000
-
During the financial year Nil share options were granted to directors of the Company as part of their
remuneration (2019: 4,250,000).
2020 Annual Report 17
Directors’ Report
Directors’ and Officers’ Insurance
During the financial year, Breaker paid a premium to insure the directors and secretary of the Company.
Details of the premium are subject to a confidentiality clause under the contract of insurance. The
liabilities insured are legal costs that may be incurred in defending civil or criminal proceedings that may
be brought against the officers in their capacity as officers of the Company and any other payments
arising from liabilities incurred by the officers 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.
Corporate Structure
Breaker Resources NL is a no liability public company limited by shares, domiciled and incorporated in
Australia.
Principal Activities
During the year the Company carried out exploration activities on its tenements in Western Australia with
the objective of identifying gold and other economic mineral deposits.
Operational Review
Activities Review
A review of the exploration activities undertaken during the year commences on page 3.
Financial Review
During the year total exploration expenditure incurred by the Company amounted to $9,595,634 (2019:
$14,418,057). In line with the Company’s accounting policies, all exploration expenditure is written off as
it is incurred. Administration and other expenses, net of income, amounted to $1,336,002 (2019:
$1,892,150). The Company’s operating loss after income tax for the year is $10,931,636 (2019: $16,310,207).
At year end the Company held cash and cash equivalents and term deposits of $3,643,184 (2019:
$4,925,956).
Operating Results for the Year
Summarised operating results are as follows:
Revenues and profit/(loss) from ordinary activities before income tax
expenses
246,375
(10,931,636)
Revenues
Results
$
$
Shareholder Return
Summarised shareholder return is as follows:
Basic profit/(loss) per share
2020
cents
2019
Cents
(4.94)
(9.30)
18 Breaker Resources NL
Directors’ Report
Dividends
No dividends were paid or declared during the year. No recommendation for payment of dividends has
been made.
Share Options
As at the date of this report, there are 8,650,000 unissued ordinary shares of Breaker Resources NL in
respect of which options are outstanding. This number comprises:
Type of option
Unlisted
Unlisted
Unlisted
Unlisted
Unlisted
Unlisted
Unlisted
Unlisted
Unlisted
Unlisted
Number
4,250,000
1,000,000
125,000
1,000,000
150,000
1,000,000
175,000
200,000
550,000
200,000
Exercise price
Expiry date
$0.465
$0.375
$0.246
$0.195
$0.169
$0.166
$0.150
$0.288
$0.320
$0.339
31 December 2021
30 November 2022
28 February 2023
28 February 2023
28 February 2023
28 February 2023
27 March 2023
15 May 2023
28 February 2023
10 July 2023
No person entitled to exercise any option referred to above has or had, by virtue of the option, a right to
participate in any share issue of any other body corporate.
Share Options Issued
The following options were issued by Breaker Resources NL during the financial year:
Type of option
Number
Exercise
price
Expiry date
Comment
Unlisted
Unlisted
Unlisted
Unlisted
Unlisted
Unlisted
Unlisted
Unlisted
1,000,000
$0.375
30 November 2022
125,000
$0.246
28 February 2023
1,000,000
$0.195
28 February 2023
150,000
$0.169
28 February 2023
1,000,000
$0.166
28 February 2023
175,000
$0.150
27 March 2023
200,000
$0.288
15 May 2023
550,000
$0.320
28 February 2023
Issued under Company’s
Incentive Option Scheme
Issued under Company’s
Incentive Option Scheme
Issued under Company’s
Incentive Option Scheme
Issued under Company’s
Incentive Option Scheme
Issued under Company’s
Incentive Option Scheme
Issued under Company’s
Incentive Option Scheme
Issued under Company’s
Incentive Option Scheme
Issued under Company’s
Incentive Option Scheme
Shares Issued on Exercise of Options
There were Nil shares issued due to the exercise of options during the financial year.
2020 Annual Report 19
Directors’ Report
Share Options that Expired/Lapsed
The following options expired or lapsed during the financial year:
Type of option
Number
Exercise price
Expiry date
Reason for lapse
Unlisted
Unlisted
Unlisted
Unlisted
2,500,000
2,000,000
150,000
250,000
$0.448
$0.432
$0.644
$0.730
31 December 2019
31 December 2019
31 December 2019
31 December 2020
Expired
Expired
Expired
Lapsed on cessation
of employment
Significant Changes in State of Affairs
During the financial year there were no significant changes in the state of affairs of the Company other
than those referred to in the Financial Statements and notes thereto.
Subsequent Events
On 30 July 2020 the Company announced a $23 million capital raising comprising a two tranche
placement to institutional and sophisticated investors, a placement to existing major shareholder
Electrum Strategic Opportunities Fund II LP (Electrum) and a share purchase plan (SPP). The issue price of
the capital raising was $0.24. The issue of shares associated with the first tranche of the placement took
place on 5 August 2020. The issue of shares to participants in the second tranche of the placement and
to Electrum, is subject to shareholder approval at the annual general meeting expected to be held on
17 September 2020. The SPP opened on 7 August 2020 and the indicative closing date is 9 September
2020.
The impact of the Coronavirus (COVID-19) pandemic is ongoing and while there has been no material
impact on the Company’s financial position and operation up to 30 June 2020, it is not practicable to
estimate the potential impact, positive or negative, after the reporting date. The situation is rapidly
developing and is dependent on measures imposed by the WA and Australian Governments and other
countries, such as maintaining social distancing requirements, quarantine, travel restrictions and any
economic stimulus that may be provided.
There were no other matters or circumstances arising since the end of the reporting period that have
significantly affected or may significantly affect the operations of the Company and the results of those
operations or the state of the affairs of the Company in the financial period subsequent to 30 June 2020.
Likely Developments and Expected Results
The Company expects to maintain a similar status and level of activities to that at present and hence
there are no likely developments in the entity's operations.
Environmental Regulations and Performance
Breaker is subject to significant environmental regulation in respect to its exploration activities. The
Company aims to ensure that the appropriate standard of environmental care is achieved, and in doing
so, that it is aware of and is in compliance with all environmental legislation. The directors of the Company
are not aware of any breach of environmental legislation for the year under review.
20 Breaker Resources NL
Directors’ Report
Proceedings on Behalf of the Company
No persons have applied for leave pursuant to section 237 of the Corporations Act 2001(Cth) to bring, or
intervene in, proceedings on behalf of Breaker Resources NL.
Non-Audit Services
There were no non-audit services performed during the year by the auditors for the Company (or by
another person or firm on the auditor’s behalf).
Auditor’s Independence Declaration
The Auditor’s Independence Declaration is included on page 28 and forms part of the Directors’ Report
for the financial year ended 30 June 2020.
Remuneration Report
This Remuneration Report, which forms part of the Directors’ Report, sets out information about the
remuneration of Breaker Resources NL’s key management personnel for the financial year ended 30 June
2020. The information provided in this report has been audited as per the requirements of section 308(3C)
of the Corporations Act 2001 (Cth).
The report is set out under the following main headings:
Key management personnel;
Principles used to determine the components and amount of compensation;
Details of remuneration;
Details of share-based compensation; and
Details of service agreements and employment contracts.
Key Management Personnel
For the purposes of this report, key management personnel of the Company are defined as those persons
having authority and responsibility for planning, directing and controlling the major activities of the
Company, directly or indirectly. The key management personnel during the year were:
Tom Sanders
Mark Edwards
Mike Kitney
Linton Putland
Eric Vincent
Alastair Barker
Michelle Simson
Executive Chairman
Non-Executive Director
Non-Executive Director
Non-Executive Director
Non-Executive Director (appointed 23 March 2020)
Exploration Manager
Manager Corporate Affairs/Company Secretary
Principles Used to Determine the Components and Amount of Compensation
Remuneration Committee
The role of the Remuneration Committee is to assist the Company in fulfilling its corporate governance
responsibilities relating to remuneration by reviewing and making appropriate recommendations on:
remuneration packages of executive directors, non-executive directors and officers;
employee incentive and equity-based plans including the appropriateness of performance hurdles
and total payments proposed;
recruitment, retention and termination policies and procedures for senior executives; and
superannuation arrangements.
2020 Annual Report 21
Directors’ Report
Remuneration Policy
The remuneration policy of Breaker Resources NL has been designed to align key management personnel
objectives with shareholder and business objectives by providing a fixed remuneration component and
offering specific long-term incentives based on key performance areas affecting the Company’s results.
The Board of Breaker Resources NL believes the remuneration policy to be appropriate and effective in
its ability to attract and retain the best key management personnel to run and manage the Company.
The policy for determining the nature and amount of remuneration for senior executives of the Company
is summarised below:
The remuneration policy, setting the terms and conditions for the executive directors and other senior
executives, was developed by the Board. The Board reviews executive packages annually by
reference to the Company’s performance, executive performance and comparable information
from industry sectors and other listed companies in similar industries.
The Board may exercise discretion in relation to approving incentives, bonuses and options. The
policy is designed to attract and retain the highest calibre of executives and reward them for
performance that results in long-term growth in shareholder wealth.
Executives are also eligible to participate in the employee incentive option scheme.
Where applicable, executives receive a superannuation guarantee contribution required by the
government, which during the reporting period was 9.5%. Some individuals may choose to sacrifice
part of their salary to increase payments towards superannuation.
All remuneration paid to key management personnel is valued at the cost to the Company and
expensed. Options are valued using the Black-Scholes methodology.
The Board policy is to remunerate non-executive directors at market rates for comparable companies for
time, commitment and responsibilities. The Board determines payments to the non-executive directors
and reviews their remuneration annually, based on market practice, duties and accountability.
Independent external advice is sought when required.
The maximum aggregate amount of fees that can be paid to non-executive directors is subject to
approval by shareholders in general meeting. The current remuneration pool limit is $300,000 and is
currently utilised to a level of $192,000 per annum. The base fee paid to non-executive directors is $48,000
per annum inclusive of superannuation.
Fees for non-executive directors are not linked to the performance of the Company however to align
directors’ interests with shareholder interests, the directors are encouraged to hold shares in the Company
and are able to participate in the employee incentive option scheme, although any allocation must be
approved by shareholders in general meeting. There is no retirement benefit plan for directors.
Performance Based Remuneration
The Company currently has no individual performance based remuneration component built into key
management personnel remuneration packages.
Company Performance, Shareholder Wealth and Key Management Personnel Remuneration
The remuneration policy has been tailored to increase the direct positive relationship between
shareholders’ investment objectives and key management personnel performance. Currently, this is
facilitated through the issue of options to key management personnel to encourage the alignment of
personal and shareholder interests. The Company believes this policy will be effective in increasing
shareholder wealth.
22 Breaker Resources NL
Directors’ Report
Use of Remuneration Consultants
The Company did not employ the services of any remuneration consultants during the financial year
ended 30 June 2020.
Details of Remuneration
The key management personnel of the Company are disclosed above. Remuneration packages contain
the following elements:
Short-term employee benefits – cash salary and fees, cash bonuses, non-monetary benefits and other;
Post-employment benefits – including superannuation and termination; and
Share-based payments – shares and options granted.
The remuneration for each director and each of the other key management personnel of the Company
during the year was as follows:
Short-term
Post-employment
Share-
based
payments
Salary &
fees
$
Non-
monetary
$
Super-
annuation
$
Retirement
benefits
$
Options
$
Total
$
Key
management
personnel
Tom Sanders
2020
2019
Mark Edwards
2020
2019
Mike Kitney
2020
2019
Linton Putland
2020
2019
Eric Vincent5
350,698
313,875
48,000
47,000
45,2001
53,3302
58,0193
52,3164
2020
13,161
Alastair Barker
2020
2019
Michelle Simson
2020
2019
261,363
253,750
231,044
223,040
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
8,000
7,833
4,164
3,638
-
-
-
24,532
23,880
-
-
-
-
-
-
-
-
-
-
-
-
-
-
517,729
350,698
831,604
-
-
-
-
-
48,000
47,000
53,200
61,163
62,183
206,851
262,805
-
13,161
38,273
-
40,589
-
299,636
253,750
296,165
246,920
Notes
1 In addition to directors’ fees of $40,000 and associated superannuation of $8,000 during 2019/20, Metallurgical Design,
an entity controlled by Mike Kitney, was paid fees of $5,200, at arm’s length market rates, under an agreement for the
provision of project management services for Lake Roe metallurgical testwork.
2 In addition to Mike Kitney’s directors’ fees of $39,167 and associated superannuation of $7,833 during 2018/19,
Metallurgical Design was paid consulting fees of $14,163.
3 In addition to directors’ fees of $43,836 and associated superannuation of $4,164 during 2019/20, LJ Putland &
Associates, an entity controlled by Linton Putland, was paid fees of $14,183, at arm’s length market rates, under an
agreement for the provision of project management services for Lake Roe engineering studies.
4 In addition to Linton Putland’s directors’ fees of $38,297 and associated superannuation of $3,638 during 2018/19, LJ
Putland & Associates was paid consulting fees of $14,019.
5 Eric Vincent was appointed a director on 23 March 2020.
2020 Annual Report 23
Directors’ Report
No director or executive appointed during the year received a payment as part of his or her consideration
for agreeing to hold the position.
Details of Share-Based Compensation
Shares
Nil shares in the Company were issued to key management personnel as part of their remuneration during
the year (2019: Nil).
Options
2,000,000 options in the Company were issued to key management personnel as part of their
remuneration during the year (2019: 4,250,000). There were Nil options exercised or sold by key
management personnel during the year (2019: Nil). 4,500,000 options held by key management
personnel expired on 31 December 2019.
During the year, the following share-based payment arrangements for key management personnel were
in existence:
Option series
Grant date
Expiry date
Fair value per
option at grant
Vesting date
60532
60533
28 November 2016 31 December 2019
5 December 2016
31 December 2019
BRBOPT07
22 November 2018 31 December 2021
BRBOPT07
22 November 2018 31 December 2021
BRBOPT10
BRBOPT12
15 March 2020
28 February 2023
19 March 2020
28 February 2023
cents
22.36
17.48
16.55
17.26
4.05
3.83
28 November 2016
5 December 2016
28 November 2018
29 November 2018
16 March 2020
19 March 2020
Shareholdings of Key Management Personnel
The numbers of ordinary shares in the Company during the financial year in which each director of Breaker
Resources NL and other key management personnel of the Company holds a relevant interest, including
their closely related parties, are detailed below:
Key
management
personnel
Tom Sanders
2020
2019
Mark Edwards
2020
2019
Mike Kitney
2020
2019
Linton Putland
2020
2019
Fully Paid Ordinary Shares
Granted as
compen-
sation
Received on
exercise of
options
Balance at
start of year
Number
Number
Number
Other
changes
Number
Balance at
year end
Number
22,544,660
22,544,660
1,778,190
1,778,190
1,468,544
1,468,544
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
869,871
23,414,531
-
22,544,660
65,000
-
58,125
-
-
-
1,843,190
1,778,190
1,526,669
1,468,544
-
-
24 Breaker Resources NL
Directors’ Report
Key
management
personnel
Balance at
start of year
Granted as
compen-
sation
Received on
exercise of
options
Number
Number
Number
Other
changes
Number
Balance at
year end
Number
Eric Vincent1
2020
Alastair Barker
2020
2019
Michelle Simson
2020
2019
-
373,162
373,162
16,300
16,300
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
373,162
373,162
16,300
16,300
Notes
1 Eric Vincent was appointed a director on 23 March 2020.
Key
management
personnel
Tom Sanders
2020
2019
Mark Edwards
2020
2019
Mike Kitney
2020
2019
Linton Putland
2020
2019
Eric Vincent1
2020
Alastair Barker
2020
2019
Michelle Simson
2020
2019
Partly Paid Ordinary Shares
Balance at
start of year
Number
Granted as
compensation
Other changes
Number
Number
Balance at
year end
Number
309,871
309,871
65,000
65,000
58,125
58,125
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
(309,871)
-
(65,000)
-
(58,125)
-
-
-
-
-
-
-
-
-
309,871
-
65,000
-
58,125
-
-
-
-
-
-
-
Notes
1 Eric Vincent was appointed a director on 23 March 2020.
Option Holdings of Key Management Personnel
The numbers of options over ordinary shares in the Company during the financial year in which each
director of Breaker Resources NL and other key management personnel of the Company holds a relevant
interest, including their closely related parties, are detailed below:
2020 Annual Report 25
Directors’ Report
Key
management
personnel
Balance at
start of
year
Granted as
compen-
sation
Exercised
Other
changes
Balance at
year end
Vested and
exercisable
Number
Number
Number
Number
Number
Number
Tom Sanders
2020
2019
Mark Edwards
2020
2019
Mike Kitney
2020
2019
Linton Putland
2020
2019
Eric Vincent1
2020
Alastair Barker
2020
2019
Michelle Simson
2020
2019
3,000,000
-
-
3,000,000
1,250,000
1,250,000
1,250,000
1,250,000
1,250,000
-
-
-
-
-
-
-
1,250,000
-
1,000,000
1,000,000
1,000,000
-
1,000,000
1,000,000
1,000,000
-
Notes
1 Eric Vincent was appointed a director on 23 March 2020.
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
3,000,000
3,000,000
3,000,000
3,000,000
(1,250,000)
-
-
-
1,250,000
1,250,000
(1,250,000)
-
-
-
-
-
-
1,250,000
1,250,000
1,250,000
1,250,000
1,250,000
1,250,000
-
-
(1,000,000)
1,000,000
1,000,000
-
1,000,000
1,000,000
(1,000,000)
1,000,000
1,000,000
-
1,000,000
1,000,000
Details of Service Agreements and Employment Contracts
Service agreements are in place between the Company and Executive Chairman Tom Sanders and
Exploration Manager Alastair Barker. Manager Corporate Affairs/Company Secretary Michelle Simson is
employed via contract. Details of these arrangements as at 30 June 2020 are provided below:
Service Agreement: Tom Sanders – Executive Chairman
Term of agreement – Initial term of two (2) years and further terms of two (2) years, subject to
termination provisions; commenced 18 April 2012 (subject to ASX listing).
An annual consultancy fee of $328,879* (inclusive of superannuation, plus GST) is paid to
Goldfields Geological Associates, an entity controlled by Mr Sanders, for the provision of services
by Mr Sanders on a minimum of 80% of fulltime basis.
The agreement continues until terminated by either Goldfields Geological Associates or the
Company. Subject to the Corporations Act 2001 (Cth) and the ASX Listing Rules, Mr Sanders is
entitled to a minimum notice period of 12 months and the Company is entitled to a minimum
notice period of three (3) months.
Goldfields Geological Associates will be reimbursed for expenses incurred on the Company’s
behalf.
Service Agreement: Alastair Barker – Exploration Manager
Term of agreement – Initial term of two (2) years and further terms of one (1) year subject to
termination provisions; commenced 18 April 2012 (subject to ASX listing).
An annual consultancy fee of $265,225* (inclusive of superannuation, plus GST) is paid to Horizon
Resources Pty Ltd, an entity controlled by Mr Barker, for the provision of services by Mr Barker on
a minimum of 80% of fulltime basis.
26 Breaker Resources NL
Directors’ Report
The agreement continues until terminated by either Horizon Resources Pty Ltd or the Company.
Subject to the Corporations Act 2001 (Cth) and ASX Listing Rules, Mr Barker is entitled to a
minimum notice period of 12 months (or six (6) months after the initial term). The Company is
entitled to a minimum notice period of three (3) months.
Employment Contract: Michelle Simson – Manager Corporate Affairs/Company Secretary
Base salary of $234,459* per annum (exclusive of superannuation).
Payment of termination benefit on termination by the employer, other than for gross misconduct,
equals three (3) months’ salary.
Notice period of three (3) months.
* The figures stated represent the respective fees as at 30 June 2020. An increase was implemented during 2019/20.
Signed in accordance with a resolution of directors made pursuant to section 298(2) of the Corporations
Act 2001 (Cth).
On behalf of the directors
TOM SANDERS
Executive Chairman
Perth, 13 August 2020
2020 Annual Report 27
Auditor’s Independence Declaration
28 Breaker Resources NL
Statement of Profit or Loss
Statement of Profit or Loss and Other Comprehensive Income
for the Financial Year ended 30 June 2020
Income
Government grant and incentive
Interest income
Other income
Total income
Expenses
Administration expenses
Depreciation expenses
Employee benefits expenses
Exploration and evaluation expenses
Share-based payment expenses
Other expenses
Total expenses
Notes
2020
$
2019
$
4
4
4
4
4
4
170,000
61,567
14,808
246,375
-
91,086
7,000
98,086
(686,076)
(185,284)
(341,237)
(785,535)
(172,758)
(304,747)
(9,595,634)
(14,418,057)
(369,483)
(297)
(724,580)
(2,616)
(11,178,011)
(16,408,293)
Profit/(Loss) before income tax
(10,931,636)
(16,310,207)
Income tax expense
6
-
-
Profit/(Loss) for the year
(10,931,636)
(16,310,207)
Other comprehensive income
-
-
Total comprehensive income/(loss) for the year
(10,931,636)
(16,310,207)
Profit/(Loss) attributable to owners of the Company
(10,931,636)
(16,310,207)
Total comprehensive income/(loss) attributable to
owners of the Company
(10,931,636)
(16,310,207)
Basic and diluted profit/(loss) per share attributable
to the ordinary equity holders of the Company
(cents per share)
14
(4.94)
(9.30)
The above Statement of Profit or Loss and Other Comprehensive Income should be read in conjunction
with the accompanying notes.
2020 Annual Report 29
Statement of Financial Position
Statement of Financial Position
as at 30 June 2020
Current Assets
Cash and cash equivalents
Term deposits
Trade and other receivables
Other financial assets
Total Current Assets
Non-Current Assets
Plant and equipment
Total Non-Current Assets
Total Assets
Current Liabilities
Trade and other payables
Total Current Liabilities
Total Liabilities
Net Assets
Equity
Contributed equity
Share-based payment reserve
Accumulated profit/(loss)
Total Equity
Notes
2020
$
2019
$
7
7
8
9
10
11
3,643,184
-
292,532
72,235
3,875,956
1,050,000
353,321
71,755
4,007,951
5,351,032
281,971
281,971
429,867
429,867
4,289,922
5,780,899
719,856
719,856
541,396
541,396
719,856
541,396
3,570,066
5,239,503
12
61,985,316
53,092,600
1,094,063
1,747,915
(59,509,313)
(49,601,012)
3,570,066
5,239,503
The above Statement of Financial Position should be read in conjunction with the accompanying notes.
30 Breaker Resources NL
Statement of Changes in Equity
Statement of Changes in Equity
for the Financial Year ended 30 June 2020
Contributed
Equity
$
Notes
Share-
based
Payments
Reserve
$
Accumulated
Profit/(Losses)
$
Total
$
Balance at 30 June 2018
37,051,251
1,140,114 (33,407,584)
4,783,781
Profit/(Loss) for the year
Total comprehensive income/(loss) for
the year
Options issued during the year
Options expired/withdrawn and
transferred to accumulated loss
Transactions with owners in their
capacity as owners:
Contributions of equity net of
transaction costs
-
-
-
-
- (16,310,207) (16,310,207)
- (16,310,207) (16,310,207)
724,580
-
724,580
(116,779)
116,779
-
12
16,041,349
-
- 16,041,349
Balance at 30 June 2019
53,092,600
1,747,915 (49,601,012)
5,239,503
Profit/(Loss) for the year
Total comprehensive income/(loss) for
the year
Options issued during the year
Options expired/withdrawn and
transferred to accumulated loss
Transactions with owners in their
capacity as owners:
Contributions of equity net of
transaction costs
-
-
-
- (10,931,636) (10,931,636)
- (10,931,636) (10,931,636)
369,483
-
369,483
-
(1,023,335)
1,023,335
-
12
8,892,716
-
-
8,892,716
Balance at 30 June 2020
61,985,316
1,094,063 (59,509,313)
3,570,066
The above Statement of Changes in Equity should be read in conjunction with the accompanying notes.
2020 Annual Report 31
Statement of Cash Flows
Statement of Cash Flows
for the Financial Year ended 30 June 2020
Cash flows from operating activities
Payments to suppliers and employees
Payments for exploration and evaluation
expenditure
Receipts from government grant and incentive
Other income received
Interest received
Notes
2020
$
2019
$
(1,041,679)
(1,128,117)
(9,342,018)
(15,070,750)
170,000
14,807
61,567
-
7,000
91,086
Net cash inflow/(outflow) from operating activities
16
(10,137,323)
(16,100,781)
Cash flows from investing activities
Payments for plant and equipment
Payments for other financial assets
Investment in term deposits
Withdrawn from term deposits
Net cash inflow/(outflow) from investing activities
Cash flows from financing activities
Proceeds from issue of ordinary shares
Share issue transaction costs
(37,685)
(480)
(186,669)
(1,365)
(4,550,000)
(7,350,000)
5,600,000
1,011,835
6,300,000
(1,238,034)
8,932,267
16,905,143
(39,551)
(863,794)
Net cash inflow/(outflow) from financing activities
8,892,716
16,041,349
Net increase/(decrease) in cash and cash
equivalents
(232,772)
(1,297,466)
Cash and cash equivalents at the beginning of the
period
3,875,956
5,173,422
Cash and cash equivalents at the end of the period
7
3,643,184
3,875,956
The above Statement of Cash Flows should be read in conjunction with the accompanying notes.
32 Breaker Resources NL
Notes to the Financial Statements
Notes to the Financial Statements
for the Year ended 30 June 2020
1. General information
Breaker Resources NL is a public company listed on the Australian Securities Exchange, incorporated in
Australia and operating in Australia. The Company’s registered office and its principal place of business
is 12 Walker Avenue, West Perth WA 6005. Breaker Resources NL’s principal activity is mineral exploration
and it is a for-profit entity for the purposes of preparing the Financial Statements.
These Financial Statements are for Breaker Resources NL as an individual entity and are presented in the
Australian currency. The Financial Statements were authorised for issue by the directors on 13 August
2020. The directors have the power to amend and reissue the Financial Statements.
2. Significant accounting policies
The principal accounting policies adopted in the preparation of the Financial Statements are set out
below.
(a)
Basis of preparation
These general purpose financial statements have been prepared in accordance with the
Corporations Act 2001 (Cth) (Corporations Act) and Australian Accounting Standards and
Interpretations (Standards) issued by the Australian Accounting Standards Board (AASB). The
Financial Statements and notes of the Company also comply with International Financial Reporting
Standards issued by the International Accounting Standards Board.
These Financial Statements have been prepared under the historical cost convention. Historical
cost is generally based on the fair values of the consideration given in exchange for assets. All
amounts are presented in Australian dollars, unless otherwise noted.
Going concern
The Financial Statements have been prepared on the basis of going concern which assumes
continuity of normal business activities and the realisation of assets and settlement of liabilities in
the ordinary course of business. The Directors have considered the impact of the COVID-19
pandemic on the position of the Company at 30 June 2020 and its operations in future periods.
The ability of the Company to continue as a going concern is dependent upon funding to provide
adequate working capital for a further 12 months from the date of signature of the Financial
Statements. The directors intend to raise capital if it is needed. Therefore, they are satisfied that the
going concern basis of preparation is appropriate.
The Financial Statements do not include any adjustments relating to the recoverability and
classification of recorded asset amounts or to the amounts and classification of liabilities that may
be necessary should the Company be unable to continue as a going concern.
(b) New and revised accounting standards
Amendments to Accounting Standards that are mandatorily effective for the current year
i.
The Company has adopted all of the new and revised Standards and Interpretations issued by the
AASB that are relevant to their operations and effective for the current year.
2020 Annual Report 33
Notes to the Financial Statements
AASB 16 Leases
AASB 16 introduces new or amended requirements with respect to lease accounting. It introduces
significant changes to lessee accounting by removing the distinction between operating and
finance lease and requiring the recognition of a right-of-use asset and a lease liability at
commencement for all leases, except for short-term leases and leases of low value assets. Under
AASB 16, right-of-use assets and lease liabilities need to be recognised in the Statement of Financial
Position, initially measured at the present value of the future lease payments. Depreciation of right-
of-use assets and interest on lease liabilities will subsequently be recognised in profit or loss
accounts.
The adoption of AASB 16 has not had material impact on the Company’s financial position and
performance as it did not have operating leases with terms over 12 months during the period.
AASB 2018-1 Amendments to Australian Accounting Standards – Annual Improvements 2015-2017
Cycle
- AASB 112 Income Taxes – The amendments clarify that the Company should recognise the
income tax consequences of dividends in profit or loss, other comprehensive income or equity
according to where the Company originally recognised the transactions that generated the
distributable profits. This is the case irrespective of whether different tax rates apply to
distributed and undistributed profits;
- AASB 123 Borrowing Cost – The amendments clarify that if any specific borrowing remains
outstanding after the related asset is ready for its intended use or sale, that borrowing becomes
part of the funds that an entity borrows generally when calculating the capitalisation rate on
general borrowings;
- AASB 3 Business Combinations – The amendments clarify when the Company obtains control
of a business that is a joint operation;
- AASB 11 Joint Arrangements – The amendments clarify that when a party that participates in,
but does not have joint control of, a joint operation that is a business, obtains joint control of
such a joint operation, the group does not remeasure its previously held interest in the joint
operation.
Interpretation 23 Uncertainty over Income Tax Treatments; AASB 2017-4 Amendments to Australian
Accounting Standards – Uncertainty over Income Tax Treatments
The Company has adopted Interpretation 23 for the first time in the current year. Interpretation 23
sets out how to determine the accounting tax position when there is uncertainty over income tax
treatments.
The Interpretation requires an entity to determine whether uncertain tax positions are assessed
separately or as a group; and assess whether it is probable that a tax authority will accept an
uncertain tax treatment used, or proposed to be used, by an entity in its income tax filings.
New and revised Accounting Standards in issue not yet adopted
ii.
At the date of authorisation of the Financial Statements, the Standards applicable to the
Company’s business listed below were in issue but not yet effective. The potential effect of the
revised Standards on the Company’s financial statements has not yet been determined.
AASB 2014-10 Amendments to Australian Accounting standards – Sale or Contribution of Assets
between an investor and its Associates or Joint Venture [AASB 10 & AASB 128], AASB 2015-10
Amendments to Australian Accounting Standards – Effective Date of Amendments to AASB 10 and
AASB 128 and AASB 2017-5 Amendments to Australian Accounting Standards – Effective Date of
Amendments to AASB 10 and AASB 128 and Editorial Corrections, effective for annual reporting
periods beginning on or after 1 January 2021;
34 Breaker Resources NL
Notes to the Financial Statements
AASB 2018-6 Amendments to Australian Accounting Standards – Definition of a Business, effective
for annual reporting periods beginning on or after 1 January 2020;
AASB 2018-7 Amendments to Australian Accounting Standards – Definition of Material, effective for
annual reporting periods beginning on or after 1 January 2020;
AASB 2019-1 Amendments to Australian Accounting Standards – References to the Conceptual
Framework, effective for annual reporting periods beginning on or after 1 January 2020;
AASB 2019-3 Amendments to Australian Accounting Standards – Interest Rate Benchmark Reform,
effective for annual reporting periods beginning on or after 1 January 2020;
AASB 2019-5 Amendments to Australian Accounting Standards – Disclosure of the Effect of New
IFRS Standards Not Yet Issued in Australia, effective for annual reporting periods beginning on or
after 1 January 2020.
(c)
Segment reporting
An operating segment is defined as a component of an entity that engages in business activities
from which it may earn revenues and incur expenses, whose operating results are regularly
reviewed by the entity’s chief operating decision maker to make decisions about resources to be
allocated to the segment and assess its performance, and for which discrete financial information
is available.
Operating segments are reported in a manner consistent with the internal reporting provided to
the chief operating decision maker. The Company’s chief operating decision maker, who is
responsible for allocating resources and assessing performance of the operating segments, has
been identified as the Board of Directors.
(d) Government grants
Government grants are not recognised until there is reasonable assurance that the Company will
comply with the conditions attaching to them and that the grants will be received. Government
grants that are receivable as compensation for expenses or losses already incurred or for the
purpose of giving immediate financial support to the Company with no future related costs are
recognised in profit or loss in the period in which they become receivable.
(e)
(f)
Interest income
Interest income is accrued on a time basis, by reference to the principal outstanding and at the
effective interest rate applicable.
Income tax
The income tax expense for the year is the tax payable on the current year’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.
The current income tax charge is calculated on the basis of the tax laws enacted or substantively
enacted at the end of the reporting period in the countries where the Company operates and
generates taxable income. Management periodically evaluates positions taken in tax returns with
respect to situations in which applicable tax regulation is subject to interpretation. It creates
provisions, where appropriate, on the basis of amounts expected to be paid to the tax authorities.
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 tax income is not accounted for if it arises from initial recognition of an asset
or liability in a transaction 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 substantively 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.
2020 Annual Report 35
Notes to the Financial Statements
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 these temporary
differences and losses. The carrying amount of deferred tax assets is reviewed at the end of each
reporting period and reduced to the extent that it is no longer probable that sufficient taxable
profits will be available to allow all or part of the asset to be recovered.
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 asset 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.
(g)
Impairment of non-financial assets
At the end of each reporting period, the Company reviews the carrying amounts of its non-
financial assets to determine whether there is any indication that those assets have suffered an
impairment loss. An impairment loss is recognised for the amount by which the asset’s carrying
amount exceeds its recoverable amount. The recoverable amount is the higher of an asset’s fair
value less costs to sell and value in use. In assessing value in use, the estimated future cash flows
are discounted to their present value using a pre-tax discount rate that reflects current market
assessments of the time value of money and the risks specific to the asset for which the estimates
of future cash flows have not been adjusted.
If the recoverable amount of an asset is estimated to be less than its carrying amount, the carrying
amount of the asset is reduced to its recoverable amount. An impairment loss is recognised
immediately in profit or loss, unless the relevant asset is carried at a revalued amount, in which case
the impairment loss is treated as a revaluation decrease.
When an impairment loss subsequently reverses, the carrying amount of the asset 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 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.
(h) Cash and cash equivalents
For the purpose of presentation in the Statement of Cash Flows, cash and cash equivalents include
cash on hand, deposits held at call with financial institutions and other short term highly liquid
investments with original maturities of three (3) months or less that are readily convertible to known
amounts of cash and which are not subject to significant risk of changes in value.
(i)
(j)
Trade and other receivables
Receivables are recognised and carried at original invoice amount less a provision for any
uncollectible debts. An estimate for doubtful debts is made when collection of the full amount is
no longer probable. Bad debts are written off as incurred.
Financial assets
There are three principal classification categories for financial assets: measured at amortised cost,
at fair value through other comprehensive income (FVTOCI) and at fair value through profit and
loss (FVTPL). The classification of financial assets is generally based on the business model in which
a financial asset is managed and its contractual cash flow characteristics.
36 Breaker Resources NL
Notes to the Financial Statements
Impairment
The Company assesses at each reporting date whether there is an expected credit loss in relation
to the impairment of financial assets. The Company accounts for expected credit losses and
changes in those expected credit losses at each reporting date to reflect changes in credit risk
since initial recognition of the financial assets.
(k)
Plant and equipment
All plant and equipment is stated at historical cost less depreciation. Historical cost includes
expenditure that is directly attributable to the acquisition of the items.
Subsequent costs are included in the asset’s carrying amount or recognised as a separate asset,
as appropriate, only when it is probable that future economic benefits associated with the item will
flow to the Company and the cost of the item can be measured reliably. The carrying amount of
any component accounted for as a separate asset is derecognised when replaced. All other
repairs and maintenance are charged to the Statement of Profit or Loss and Other Comprehensive
Income during the reporting period in which they are incurred.
Depreciation of plant and equipment is calculated using the straight line method to allocate their
cost or revalued amounts, net of their residual values, over their estimated useful lives or, in the
case of leasehold improvements and certain leased plant and equipment, the shorter lease term.
All plant and equipment is depreciated at the rate of 25% per annum.
The assets’ residual values and useful lives are reviewed, and adjusted if appropriate, at each
reporting 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 (refer to Note 2(g)).
Gains and losses on disposals are determined by comparing proceeds with carrying amount. These
are included in the Statement of Profit or Loss and Other Comprehensive Income.
(l)
Exploration and evaluation costs
Exploration and evaluation costs are written off in the year they are incurred.
(m)
(n)
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, non-interest bearing and
are paid on normal commercial terms. They are presented as current liabilities unless payment is
not due within 12 months after the reporting period.
Employee benefits
Short-term obligations
Liabilities for wages and salaries, including non-monetary benefits, and annual leave that are
expected to be settled wholly within 12 months after the end of the period in which the employees
render the related service are recognised in respect of employees’ services up to the end of the
reporting period and are measured at the amounts expected to be paid when the liabilities are
settled. The short-term employee benefit obligations are presented as payables.
Other long-term employee benefit obligations
The liabilities for long service leave and annual leave that are not expected to be settled wholly
within 12 months after the end of the period in which the employees render the related service are
recognised in 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 using the projected unit credit method. Consideration is given to expected future
wage and salary levels, experience of employee departures and periods of service. Expected
future payments are discounted using market yields at the end of the reporting period of
government bonds with terms and currencies that match, as closely as possible, the estimated
future cash outflows.
2020 Annual Report 37
Notes to the Financial Statements
Remeasurements as a result of experience adjustments and changes in actuarial assumptions are
recognised in profit or loss.
(o)
Share-based payments
The Company provides benefits to employees (including directors and contractors) and suppliers in
the form of share-based payment transactions, whereby employees and suppliers render goods or
services in exchange for shares or rights over shares (equity-settled transactions) (refer to Note 17).
The cost of these equity-settled transactions with employees is measured by reference to the fair
value at the date at which they are granted. The fair value of options is determined by an internal
valuation using a Black-Scholes option pricing model. The cost of equity-settled transactions is
recognised, together with a corresponding increase in equity, over the period in which any
performance conditions are fulfilled, ending on the date on which the relevant employees or
suppliers become fully entitled to the award (vesting date).
The cumulative expense recognised for equity-settled transactions at each reporting date until
vesting date reflects:
the extent to which the vesting period has expired; and
the number of options that, in the opinion of the directors of the Company, will ultimately vest.
This opinion is formed based on the best available information at balance date. No adjustment is
made for the likelihood of market performance conditions being met as the effect of these
conditions is included in the determination of fair value at grant date. No expense is recognised
for awards that do not ultimately vest, except for awards where vesting is conditional upon a
market condition.
Where an equity-settled award is cancelled, it is treated as if it had vested on the date of
cancellation, and any expense not yet recognised for the award is recognised immediately.
However, if a new award is substituted for the cancelled award, and designated as a replacement
award on the date that it is granted, the cancelled and new award are treated as if they were a
modification of the original award.
(p)
Issued capital
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.
(q) 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.
(r) Critical judgements, estimates and assumptions
The preparation of these Financial Statements requires the use of certain critical accounting
estimates, which, by definition, will seldom equal the actual results. It also requires management
to exercise its judgement in the process of applying the Company’s accounting policies. The areas
involving a higher degree of judgement or complexity, or areas where assumptions and estimates
are significant to the Financial Statements are:
38 Breaker Resources NL
Notes to the Financial Statements
Environmental issues
Balances disclosed in the Financial Statements and notes thereto are not adjusted for any pending
or enacted environmental legislation, and the directors’ understanding thereof. At the current
stage of the Company’s development and its current environmental impact, the directors believe
such treatment is reasonable and appropriate.
Taxation
Balances disclosed in the Financial Statements and the notes thereto related to taxation are based
on the best estimates of the directors. These estimates take into account both the financial
performance and position of the Company as they pertain to current income taxation legislation,
and the directors’ understanding thereof. No adjustment has been made for pending or future
taxation legislation. The current income tax position represents the directors’ best estimate,
pending an assessment by the Australian Taxation Office.
Coronavirus (COVID-19) pandemic
Judgement has been exercised in considering the impacts that the COVID-19 pandemic has had,
or may have, on known information. This consideration extends to the nature of business, supply
chain, staffing and geographic regions in which the entity operates. Other than as addressed in
specific notes, there does not currently appear to be either any significant impact upon the
Financial Statements or any significant uncertainties with respect to events or conditions which may
impact the consolidated entity unfavourably as at the reporting date or subsequently as a result
of the COVID-19 pandemic.
3. Financial risk management
The Company’s activities expose it to a variety of financial risks: market risk (including currency risk, interest
rate risk and price risk), credit risk and liquidity risk. The Company’s overall risk management program
focuses on the unpredictability of financial markets and seeks to minimise potential adverse effects on
the financial performance of the Company.
Risk management is carried out by the Board via the audit and risk committees as the Company believes
that it is crucial for directors to be involved in this process. The Executive Chairman, with the assistance
of senior management as required, has responsibility for identifying, assessing, treating and monitoring
risks and reporting to the Board on risk management.
(a) Market risk
Foreign exchange risk
As all current operations are within Australia the Company is not exposed to foreign exchange risk.
Commodity price risk
Given the current level of operations the Company is not directly exposed to commodity price risk.
Interest rate risk
The Company is exposed to movements in market interest rates on cash and cash equivalents and
bank deposits. The Company’s policy is to monitor the interest rate yield curve out to six (6) months
to ensure a balance is maintained between the liquidity of cash assets and the interest rate return.
The entire balance of cash and bank deposits for the Company of $3,643,184 (2019: $4,925,956) is
subject to interest rate risk. The weighted average interest rate received on cash and cash
equivalents by the Company was 0.39% (2019: 1.71%).
Sensitivity analysis
At 30 June 2020, if interest rates had changed by -/+ 100 basis points from the weighted average
rate for the year with all other variables held constant, post-tax loss for the Company would have
been $42,846 lower/higher (2019: $50,497) as a result of lower/higher interest income from cash
and cash equivalents.
2020 Annual Report 39
Notes to the Financial Statements
(b) Credit risk
The Company has no significant concentrations of credit risk. The maximum exposure to credit risk
at balance date is the carrying amount of those assets as disclosed in the Statement of Financial
Position and Notes to the Financial Statements.
As the Company does not presently have any debtors, lending, significant stock levels or any other
credit risk, a formal credit risk management policy is not maintained.
(c)
Liquidity risk
The Company manages liquidity risk by continuously monitoring forecast and actual cash flows
and ensuring sufficient cash and marketable securities are available to meet the current and future
commitments of the Company. Due to the nature of the Company’s activities, being mineral
exploration, the Company does not have ready access to credit facilities, with the primary source
of funding being equity raisings.
The Board constantly monitors the state of equity markets in conjunction with the Company’s
current and future funding requirements, with a view to initiating appropriate capital raisings as
required.
The financial liabilities of the Company are generally confined to trade and other payables as
disclosed in the Statement of Financial Position. All trade and other payables are non-interest
bearing and due within 12 months of the reporting date.
(d)
Fair value estimation
The fair value of financial assets and financial liabilities must be estimated for recognition and
measurement or for disclosure purposes. All financial assets and financial liabilities of the Company
at the balance date are recorded at amounts approximating their carrying amount due to their
short-term nature.
4. Income and expenses
(a)
Income from continuing operations includes the following revenue items:
Government grant and incentive
Interest income
Other
(b)
Loss for the year includes the following specific expenses:
Depreciation expenses
Exploration and evaluation expenses
2020
$
170,000
61,567
14,808
246,375
2020
$
185,284
9,595,634
2019
$
-
91,086
7,000
98,086
2019
$
172,758
14,418,057
40 Breaker Resources NL
Notes to the Financial Statements
2020
$
145,723
160,833
16,330
18,351
341,237
2019
$
139,441
128,936
616
35,754
304,747
(c)
Employee benefit expenses:
Wages and superannuation
Directors’ fees
Leave provisions
Other
5. Operating segments
For management purposes, the Company has identified only one (1) reportable segment as exploration
activities undertaken in Australia. This segment includes activities associated with the determination and
assessment of the existence of commercial economic reserves from the Company’s mineral assets in this
geographic location. Segment performance is evaluated based on the operating profit and loss and
cash flows and is measured in accordance with the Company’s accounting policies.
Segment revenue
Reconciliation of segment revenue to total revenue before tax:
Government grant and incentive
Interest revenue
Other income
Total revenue
Segment result
2020
$
-
170,000
61,567
14,808
246,375
2019
$
-
-
91,086
7,000
98,086
(9,595,634)
(14,418,057)
Reconciliation of segment result to loss before tax:
Depreciation expenses
(185,284)
(172,758)
Other corporate and administration income/(expenses), net
(1,150,718)
(1,719,392)
Net profit/(loss) before tax
(10,931,636)
(16,310,207)
Segment operating assets
245,647
381,562
Reconciliation of segment operating assets to total assets:
Other corporate and administration assets
Total assets
Segment additions to non-current assets
Other corporate additions to non-current assets
Total additions to non-current assets
4,044,275
4,289,922
5,399,337
5,780,899
28,530
9,155
37,685
134,261
6,545
140,806
Segment operating liabilities
635,592
381,974
Reconciliation of segment operating liabilities to total liabilities:
Other corporate and administration liabilities
Total liabilities
84,264
719,856
159,422
541,396
2020 Annual Report 41
Notes to the Financial Statements
6. Income tax
Income tax expense
Current tax
Deferred tax
Numerical reconciliation of income tax expense to prima facie
tax payable
Profit/(Loss) from continuing operations before income tax
expense
Prima facie tax benefit at the Australian tax rate of 27.5% (2019:
30%)
Tax effect of amounts which are not deductible (taxable) in
calculating taxable income:
Non-assessable income
Capital raising costs
Non-deductible expenses
Share-based payments
2020
$
2019
$
-
-
-
-
(10,931,636)
(16,310,207)
(3,006,200)
(4,893,062)
(13,750)
(123,211)
1,502
101,608
-
(133,214)
3,926
221,005
(3,040,051)
(4,801,345)
Movements in unrecognised temporary differences
26,709
(29,633)
Tax effect of current year tax losses for which no deferred tax
asset has been recognised
Income tax expense
3,013,342
4,830,978
-
-
Unrecognised temporary differences
Deferred tax liabilities on income tax account
Prepayments
Plant and equipment
DTL used to offset DTA
Deferred tax liabilities
Deferred tax assets on income tax account
Accruals
Provisions
Capital raising costs
Carry forward tax losses
DTL used to offset DTA
17,109
77,542
21,458
121,577
(94,651)
(143,035)
-
-
11,842
2,995
246,777
19,500
12,280
386,860
12,708,767
10,576,826
(94,651)
(143,035)
12,875,730
10,852,431
Deferred tax assets
-
-
Breaker Resources NL is considered a base rate entity for income tax purposes for the 2020 income year
and is therefore subject to income tax at a rate of 27.5% (2019: 30%). As a result, the deferred tax assets
of the Company have been adjusted in the 2020 year to reflect the decrease in corporate tax rate
applicable to the Company.
42 Breaker Resources NL
Notes to the Financial Statements
Net deferred tax assets have not been brought to account as it is not probable within the immediate
future that tax profits will be available against which deductible temporary differences and tax losses can
be utilised. The Company’s ability to use losses in the future is subject to the Company satisfying the
relevant tax authority’s criteria for using these losses.
The deductible temporary differences and tax losses do not expire under current tax legislation. Deferred
tax assets have not been recognised in respect of these items because it is not probable that future
taxable profit will be available against which the Company can utilise benefits. The utilisation of tax losses
is dependent on the Company satisfying the continuity of ownership test or the same business test at the
time the tax losses are applied against taxable income.
7. Cash and cash equivalents
Cash at bank and in hand
Cash and cash equivalents as shown in the Statement of
Financial Position and the Statement of Cash Flows
2020
$
2019
$
3,643,184
3,875,956
3,643,184
3,875,956
Term deposits classified separate to cash on face of Statement of
Financial Position
-
1,050,000
Cash and cash equivalents include short-term deposits made for varying periods of between one (1)
month and three (3) months depending on the immediate cash requirements of the Company and earn
interest at the respective short-term deposit rates.
As at 30 June 2020, the Company had Nil term deposits with maturities more than three (3) months (2019:
$1,050,000 with maturity of four (4) months).
8. Trade and other receivables
Prepayments
GST receivable and PAYG withheld
2020
$
74,215
218,317
292,532
2019
$
71,529
281,792
353,321
The carrying amounts of trade and other receivables are assumed to be the same as their fair values, due
to their short-term nature.
9. Other financial assets
Term deposits as a security
Other financial assets
2020
$
71,472
763
72,235
2019
$
70,992
763
71,755
2020 Annual Report 43
Notes to the Financial Statements
10. Plant and equipment
2020
2019
Furniture &
office
equipment
$
Exploration
equipment
$
Motor
vehicles
$
Total
$
Furniture
& office
equipment
$
Exploration
equipment
$
Motor
vehicles
$
Total
$
Cost
142,154
210,285
799,757 1,152,196 132,999
184,628 799,758 1,117,385
Accumulated depreciation
(105,830)
(157,000) (607,395)
(870,225)
(84,694)
(141,908) (460,916) (687,518)
Net book amount
36,324
53,285
192,362
281,971
48,305
42,720 338,842
429,867
Opening net book amount
48,305
42,720
338,842
429,867
60,810
39,061 360,248
460,119
Additions
9,155
28,530
-
37,685
6,545
18,979 115,282
140,806
Depreciation charge
(21,136)
(17,668) (146,480)
(185,284) (19,050)
(15,320) (136,688) (171,058)
Disposal
-
(297)
-
(297)
-
-
-
-
Closing net book amount
36,324
53,285
192,362
281,971
48,305
42,720 338,842
429,867
11.
Trade and other payables
Trade creditors
Other payables and accruals
2020
$
660,156
59,700
719,856
2019
$
412,890
128,506
541,396
Trade payables are unsecured and are usually paid within 30 days of recognition. The carrying amounts
of trade and other payables are assumed to be the same as their fair values, due to their short-term
nature.
12. Contributed equity
(a)
Share capital
2020
2019
Notes
Number
$
Number
$
Ordinary shares fully paid
(b),(d) 231,320,076
61,985,316
203,689,492
53,046,447
Ordinary shares partly paid
(b)
-
-
4,615,373
46,153
Total issued capital
231,320,076
61,985,316
208,304,865
53,092,600
(b) Movements in ordinary share capital
Beginning of the year
Issued during the year:
Placements to sophisticated
and professional investors
Partly paid shares converted to
fully paid shares
Transaction costs
End of the year
2020
2019
Number
$
Number
$
208,304,865
53,092,600
150,766,967
37,051,251
23,015,211
8,055,324
57,537,898
16,895,643
-
-
876,943
(39,551)
-
-
9,500
(863,794)
231,320,076
61,985,316
208,304,865
53,092,600
44 Breaker Resources NL
Notes to the Financial Statements
(c) Movements in options on issue
Beginning of the year
Issued
Expired or lapsed
End of the year
2020
Number
9,150,000
4,200,000
2019
Number
5,650,000
4,250,000
(4,900,000)
(750,000)
8,450,000
9,150,000
All options on issue are exercisable on a 1:1 basis for the Company’s ordinary shares and carry no
rights to dividends and no voting rights. The options are exercisable at prices between $0.150 and
$0.465 and expire between 31 December 2021 and 15 May 2023.
(d) 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
(1) vote, and upon a poll each share is entitled to one (1) vote, in proportion to the number of and
amounts paid as a proportion of the issue price on the shares held (excluding any amounts paid
up in advance of a call). Ordinary shares have no par value and the Company does not have a
limited amount of authorised capital.
(e) Capital risk management
The Company’s objective when managing capital is to safeguard its ability to carry on as a going
concern, so that it may continue to provide returns for shareholders and benefits for other stakeholders.
Due to the nature of the Company’s activities, being mineral exploration, the Company does not
have ready access to credit facilities, with the primary source of funding being equity raisings.
Therefore, the focus of capital risk management is the current working capital position against the
requirements of the Company to meet exploration programs and corporate overheads. The
Company’s strategy is to ensure appropriate liquidity is maintained to meet anticipated operating
requirements, with a view to initiating appropriate capital raisings as required.
The working capital position of the Company at 30 June 2020 and 30 June 2019 is as follows:
Cash and cash equivalents
Term deposits
Trade and other receivables
Other financial assets
Trade and other payables
Working capital position
13. Dividends
2020
$
3,643,184
-
292,532
72,235
(719,856)
3,288,095
2019
$
3,875,956
1,050,000
353,321
71,755
(541,396)
4,809,636
No dividends were paid during the financial year. No recommendation for payment of dividends has
been made.
2020 Annual Report 45
Notes to the Financial Statements
14.
Loss per share
(a)
Reconciliation of earnings used in calculating profit/(loss) per share
2020
$
2019
$
Profit/(Loss) attributable to the owners of the Company
used in calculating basic and diluted profit/(loss) per share
(10,931,636)
(16,310,207)
(b) Weighted average number of shares used as the denominator
Weighted average number of ordinary shares used as the
denominator in calculating basic and diluted loss per share
221,359,478
175,292,538
2020
Number
2019
Number
(c)
Information on classification of options
As the Company has made a loss for the year ended 30 June 2020, all options on issue are
considered antidilutive and have not been included in the calculation of diluted earnings per
share. These options could potentially dilute basic earnings per share in the future.
15. Commitments
(a)
Exploration Commitments
The Company must maintain current rights of tenure to tenements, which requires outlays of
expenditure in 2020/21. Under certain circumstances these commitments are subject to the
possibility of adjustment to the amount and/or timing of such obligations however they are
expected to be fulfilled in the normal course of operations.
Estimated expenditure on mining, exploration and prospecting leases for 2020/21 as at the date of
this report:
2021
$
2020
$
869,900
635,100
(b) Capital Commitments
There are no capital expenditure commitments for the Company as at 30 June 2020.
(c)
Lease Commitments: Company as Lessee
The Company leases its office under a non-cancellable operating lease expiring within one (1)
year. During the financial year, the short-term lease expense was recognised as an operating
expense and charged to profit or loss accounts under the new AASB 16.
Commitments for minimum lease payments in relation to non-cancellable operating leases are
payable as follows:
Within one (1) year
46 Breaker Resources NL
2020
$
45,576
45,576
2019
$
45,551
45,551
Notes to the Financial Statements
16. Reconciliation of loss after income tax to net cash outflow from operating
activities
Reconciliation of net loss after income tax to net cash flow from
operating activities
Net profit/(loss) for the year
Non-cash items
Depreciation of non-current assets
Disposal of plant and equipment
Share-based payments of employee options
Share-based payments in exchange of services
Change in operating assets and liabilities
(Increase)/decrease in trade and other receivables
Increase/(decrease)in trade and other payables
2020
$
2019
$
(10,931,636)
(16,310,207)
185,284
297
369,483
-
60,789
178,460
172,758
2,616
724,580
12,104
(57,618)
(645,014)
Net cash inflow/(outflow) from operating activities
(10,137,323)
(16,100,781)
(a) Non-cash transactions
During the year, the Company granted 4,200,000 options to its employees as incentives. The value
of the options was included in the Share-based Payments (refer to Note 17).
17. Share-based payments
(a)
Employee share options
The Company provides benefits to employees (including directors and eligible contractors) of the
Company in the form of share-based payment transactions, whereby employees render services
in exchange for options to acquire ordinary shares. Options are granted under the plan for no
consideration.
The table below summarises the share-based payment options granted by Breaker Resources NL:
2020
2019
Weighted
average
exercise
price
cents
46.3
25.0
46.2
35.8
35.8
Number
9,150,000
4,200,000
4,900,000
8,450,000
8,450,000
Weighted
average
exercise
price
cents
46.0
46.5
69.0
46.3
46.3
Number
5,150,000
4,250,000
250,000
9,150,000
9,150,000
Outstanding at the beginning
of the year
Granted
Forfeited/cancelled/expired
Outstanding at year end
Exercisable at year end
A total of 250,000 unlisted employee options lapsed during the year and 4,650,000 options expired.
The weighted average remaining contractual life of share options outstanding at the end of the
financial year was 2.06 years (2019: 1.46 years) and the exercise prices ranged from 15.0 cents to
46.5 cents (2019: 43.2 cents to 73.0 cents).
2020 Annual Report 47
Notes to the Financial Statements
The weighted average fair value of the employee share options granted during the year was 8.80
cents (2019: 16.76 cents). The fair value of the options was estimated using a Black-Scholes pricing
model. Expected volatility was based on the historical movement of the underlying share price
around its average share price. The assumption that the historical volatility is indicative of future
trends may also not necessarily be the actual outcome.
Inputs into the pricing model
BRBOPT08
BRBOPT09
BRBOPT10
BRBOPT11
Issue date share price
Exercise price
Expected volatility
Option life
$0.310
$0.375
80.97%
$0.110
$0.246
79.70%
$0.110
$0.195
79.70%
$0.100
$0.169
79.61%
3.03 years
2.95 years
2.95 years
2.94 years
Risk-free interest rate
0.75%
0.45%
0.45%
0.34%
Inputs into the pricing model
BRBOPT12
BRBOPT13
BRBOPT14
BRBOPT15
Issue date share price
Exercise price
Expected volatility
Option life
$0.100
$0.166
79.61%
$0.150
$0.150
79.28%
$0.280
$0.288
81.03%
$0.320
$0.320
84.69%
2.94 years
2.98 years
2.98 years
2.67 years
Risk-free interest rate
0.34%
0.24%
0.25%
0.26%
(b) Other party options
In addition to options issued to employees, the Company may also issue unlisted options to other
parties.
There were no other party options granted during the year.
(c)
Share-based payments expenses
During the year, an amount of $369,483 was recognised as a share-based payment expense. An
amount of $1,023,335 was transferred from the share-based payment reserve to accumulated
losses as a result of the lapse or expiry of 4,900,000 options.
18. Key management personnel transactions
The aggregate compensation made to directors and other members of key management personnel of
the Company is set out below:
Short term benefits
Post-employment benefits
Share-based payments
2020
$
1,007,485
36,696
78,862
2019
$
943,311
35,351
724,580
1,123,043
1,703,242
There were no loans to/from key management personnel during the year. Detailed remuneration
disclosures are provided in the Remuneration Report commencing on page 21.
48 Breaker Resources NL
Notes to the Financial Statements
19. Related party transactions
In addition to the services provided by Mr Sanders, the value of which is shown as Mr Sanders’
remuneration in the Remuneration Report commencing on page 21, Goldfields Geological Associates is
also reimbursed for other Company expenses including software maintenance and other out-of-pocket
costs incurred on the Company’s behalf. The value of these expenses incurred during the year was
$44,813 (2019: $41,762).
The Company had no other transactions with related parties during the year except as outlined above
and the payments to the key management personnel disclosed in the Remuneration Report
commencing on page 21.
There were no guarantees provided to related parties during the year.
20. Remuneration of auditor
During the year the following fees were paid or payable for services provided by the auditor of the
Company, its related practices and non-related audit firms:
(a) Audit services
Rothsay Auditing – audit and review of financial reports
Total remuneration for audit services
2020
$
2019
$
22,000
22,000
22,000
22,000
(b) Non-audit services
There were Nil non-audit services provided by the auditor of the Company, Rothsay Auditing,
during the year (2019: Nil).
21. Subsequent events
On 30 July 2020 the Company announced a $23 million capital raising comprising a two tranche
placement to institutional and sophisticated investors, a placement to existing major shareholder
Electrum and a SPP. The issue price of the capital raising was $0.24. The issue of shares associated with
the first tranche of the placement took place on 5 August 2020. The issue of shares to participants in the
second tranche of the placement and to Electrum, is subject to shareholder approval at the annual
general meeting expected to be held on 17 September 2020. The SPP opened on 7 August 2020 and the
indicative closing date is 9 September 2020.
The impact of the COVID-19 pandemic is ongoing and while there has been no material impact on the
Company’s financial position and operation up to 30 June 2020, it is not practicable to estimate the
potential impact, positive or negative, after the reporting date. The situation is rapidly developing and is
dependent on measures imposed by the WA and Australian Governments and other countries, such as
maintaining social distancing requirements, quarantine, travel restrictions and any economic stimulus that
may be provided.
There were no other matters or circumstances arising since the end of the reporting period that have
significantly affected or may significantly affect the operations of the Company and the results of those
operations or the state of the affairs of the Company in the financial period subsequent to 30 June 2020.
2020 Annual Report 49
Directors’ Declaration
Directors’ Declaration
The directors declare that:
the Financial Statements comprising the Statement of Profit or Loss and Other Comprehensive
Income, Statement of Financial Position, Statement of Changes in Equity, Statement of Cash Flows
and accompanying notes set out on pages 33 to 49 are in accordance with the Corporations Act
2001 (Cth), including:
i. complying with Accounting Standards, the Corporations Regulations 2001 (Cth) and other
mandatory professional reporting requirements; and
ii. giving a true and fair view of the Company’s financial position as at 30 June 2020 and of its
performance for the financial year ended on that date;
in the opinion of the directors there are reasonable grounds to believe that the Company will be able
to pay its debts as and when they become due and payable;
a statement that the attached financial statements are in compliance with International Financial
Reporting Standards has been included in the Notes to the Financial Statements; and
the directors have been given the declarations by the chief executive officer and chief financial
officer required by section 295A of the Corporations Act 2001 (Cth).
Signed in accordance with a resolution of the directors made pursuant to section 295(5) of the
Corporations Act 2001 (Cth).
On behalf of the directors
TOM SANDERS
Executive Chairman
Perth, 13 August 2020
50 Breaker Resources NL
Independent Auditor’s Report
2020 Annual Report 51
Independent Auditor’s Report
52 Breaker Resources NL
Independent Auditor’s Report
2020 Annual Report 53
Independent Auditor’s Report
54 Breaker Resources NL
ASX Additional Information
ASX Additional Information
Additional information required by the Australian Securities Exchange and not shown elsewhere in this
report is provided below. The information is current as at 7 August 2020.
Corporate Governance Statement
The 2020 Corporate Governance Statement of Breaker Resources NL is available on the Company’s
website at http://www.breakerresources.com.au/company/corporate-governance.
Distribution of Equity Securities
Analysis of numbers of equity security holders by size of holding:
Fully paid ordinary shares
Number of
holders
Number of
shares
% held
1-1,000
1,001-5,000
5,001-10,000
124
619
397
24,422
1,825,953
3,336,234
10,001-100,000
1,085
40,223,026
100,001 and over
275 214,971,445
2,500 260,381,080
0.01
0.70
1.28
15.45
82.56
Unmarketable Parcel
There are 271 holders of unmarketable parcels of fully paid ordinary shares, based on the closing market
price of $0.25 on 7 August 2020, representing 249,614 shares and amounting to 0.10% of issued capital.
Restricted Securities
There are no restricted securities on issue.
Voting Rights
All fully paid ordinary shares carry one (1) vote per share without restriction. Unlisted options carry no
attaching voting rights.
Substantial Shareholders
The names of substantial shareholders who have notified the Company in accordance with section 671B
of the Corporations Act, and the details of their holding at the time of notification, are:
Shareholder
1
2
3
Mr Thomas Stephen Sanders & Mrs Helen Sanders
Electrum Strategic Opportunities Fund II LP
Norfolk Enchants Pty Ltd
Voting interest
Number
Voting power
%
22,854,531
23,015,211
15,500,000
10.98
9.95
8.48
2020 Annual Report 55
ASX Additional Information
Top 20 Shareholders
The names of the 20 largest holders of quoted fully paid ordinary shares (ASX: BRB) are:
Shareholder
Ordinary shares
Number
Equity held
%
1
Citicorp Nominees Pty Ltd
2
Norfolk Enchants Pty Ltd
3
Mr Thomas Stephen Sanders & Mrs Helen Sanders
4
HSBC Custody Nominees (Australia) Limited
5
BT Portfolio Services Limited
6
JP Morgan Nominees Australia Pty Ltd
7
Mr Thomas Stephen Sanders & Mrs Helen Sanders
8
Gurravembi Investments Pty Ltd
9
Kurraba Investments Pty Ltd
10
Dr Stephen Garth Nordstrom
11
T T Nicholls Pty Ltd
12
Gurravembi Investments Pty Ltd
13
Palmer Bookmaking Pty Ltd
14
Twynam Investments Pty Ltd
15
Ausdrill International Pty Ltd
16
Kemast Investments Pty Ltd
17
Tom Hume Pty Ltd
18 Mr Johan Schicht
19
20
Ross Sutherland Properties Pty Ltd
BNP Paribas Noms Pty Ltd
Unquoted Securities
Details of unquoted securities on issue are:
Class
27,440,132
15,920,000
15,295,702
14,735,331
9,000,000
8,627,069
8,094,829
6,500,000
5,021,429
3,200,000
2,788,067
2,700,000
2,311,681
2,166,731
1,994,460
1,844,828
1,785,000
1,700,000
1,653,895
1,605,829
134,384,983
10.54
6.11
5.87
5.66
3.46
3.31
3.11
2.50
1.93
1.23
1.07
1.04
0.89
0.83
0.77
0.71
0.69
0.65
0.64
0.62
51.61
Securities
Number
Holders
Number
Unlisted 46.5 cent options, exercisable on or before 31 December 2021
4,250,000
Unlisted 37.5 cent options, exercisable on or before 20 November 2022
1,000,000
Unlisted 24.6 cent options, exercisable on or before 28 February 2023
125,000
Unlisted 19.5 cent options, exercisable on or before 28 February 2023
1,000,000
Unlisted 16.9 cent options, exercisable on or before 28 February 2023
150,000
Unlisted 16.6 cent options, exercisable on or before 28 February 2023
1,000,000
Unlisted 15.0 cent options, exercisable on or before 27 March 2023
Unlisted 28.8 cent options, exercisable on or before 15 May 2023
Unlisted 32.0 cent options, exercisable on or before 28 February 2023
Unlisted 33.9 cent options, exercisable on or before 10 July 2023
175,000
200,000
550,000
200,000
2
1
1
1
1
1
1
1
1
1
Holders of 20% or more of the class
There are no relevant holders of 20% or more of a class of unquoted securities.
On-market Buy-back
There is no current on-market buy-back.
56 Breaker Resources NL
ABN: 87 145 011 178
12 Walker Avenue, West Perth, Western Australia 6005
Tel: +61 8 9226 3666 | Fax: +61 8 9226 3668
Email: breaker@breakerresources.com.au
www.breakerresources.com.au