Annual Report 2016
Sipa Resources Limited
Sipa Resources Limited (ASX:SRI)
Sipa Resources Limited
ABN 26 009 448 980
Contents
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Chairman's Address
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Review of Operations
12 Board of Directors
14 Social Responsibility
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Financial Report
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Directors' Report
21 Remuneration Report (Audited)
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Auditor Independence and Non-Audit Services
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Consolidated Statement of Comprehensive Income
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Consolidated Statement of Financial Position
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Consolidated Statement of Cash Flows
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Consolidated Statement of Changes in Equity
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Notes to the Financial Statements
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Directors' Declaration
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Independent Auditor's Report
65 Additional Statutory Information
67 Corporate Directory
www.sipa.com.au
Sipa Resources Limited
Chairman's Address
The Paterson North project provides balance and an important new dimension to Sipa's exploration portfolio in terms of commodity,
and jurisdictional exposure alongside our exciting 100 per cent owned Kitgum Pader base metal project in Uganda.
Dear shareholder,
am pleased to report on what has been a positive
giving us growing confidence that we have a nickel-copper system of significant scale and potential.
I would also like to thank my fellow board members for their contributions
throughout the year and to acknowledge
I
and productive year for Sipa. The Company has expanded and diversified its project
portfolio, whilst making
At the time of writing, we had just embarked on another key phase of drilling at Akelikongo which we are optimistic
will lead us closer to making a commercial discovery. While nickel and copper are the
the support and contribution of Joshua
Tuhumwire, our Ugandan Chairman, and Sameer Thakkar and his team at UHY Thakkar & Associates.
I would also like to take this opportunity
strong progress from our drilling programs
and completing a successful $4.5 million capital raising.
A key development during the year was the signing of a joint venture with Ming Gold Limited to earn an 80 per cent interest in the Great Sandy copper gold project, part of our Paterson North project located
in the strongly endowed and emerging Paterson Province, some 120km north of the giant Telfer gold-copper mine in Western Australia.
The Paterson North project provides a greater balance and an important new dimension to Sipa's exploration portfolio in terms of commodity, and jurisdictional exposure alongside our exciting 100 per cent owned Kitgum Pader base metal project in Uganda.
In August, we commenced our maiden drill program at Paterson North, with initial results indicating a large copper gold mineralized system. While still very early days, the results have exceeded our expectations and we look forward to digesting the full results of this drill program and planning the next.
We also made significant progress during the year in Uganda, with a highly successful program of follow-up drilling at the Akelikongo nickel copper discovery. This
primary mineral targets at Akelikongo, the Pamwa zinc lead discovery is a tantalising opportunity which gives the region status as a multi commodity terrain.
Our approach is always to ensure that technical excellence is combined with commercial rigour in order to have the best chance of achieving commercial success and enhance shareholder value.
On the corporate front, the Company was able to take advantage of an improvement in investor sentiment in the junior resource sector to complete a $4.5 million capital raising. The level of support from existing shareholders for this raising was exceptional, and I would like to take this
opportunity to express my thanks to those who participated. As a result of this raising, the Company is in a strong position to execute its key exploration programs over the coming year.
There are many people who have contributed to the Company's success. These include Lynda Burnett, our highly committed and very capable Managing Director, who has adopted a hands-on approach to the management of the Company's exploration activities both in Africa and Australia. Lynda is ably assisted by Tara Robson, our CFO and Company Secretary in Perth, and Bill Willmott, who
to thank Dalton Gooding, who retired as a Director on 31 March 2016 after 13 years on the Board. His guidance and input
to the Company over a long period has been invaluable.
On behalf of the Board I would also like to thank a number of other key stakeholders for their contribution, including the Government of Uganda and Department of Geological Survey and Mines, the Northern Ugandan Acholi people, in whose region
we operate, and our team of very capable geological and geophysical consultants. Finally, my thanks to you as shareholders for your continued support.
With a strong balance sheet and high quality project portfolio now evenly split between an emerging mineral province in Africa and a world class mineral province in Australia. I am optimistic about the future of our company and look forward to a year of increasing activity as we strive to deliver results and value for our shareholders.
Yours faithfully,
drilling returned some of the best assay
is a most competent in-country manager
results we have seen from the project,
and Director.
Craig Ian McGown
Annual Report 2016 1
Review of Operations
Review of Operations
2 Sipa Resources Limited