and its Controlled Entities
Annual Financial Report 30 June 2016
TABLE OF CONTENTS
Directors' Report 2
Auditor's Independence Declaration 18
Independent Auditor's Report 19
Consolidated Statement of Comprehensive Income 21
Consolidated Statement of Financial Position 22
Consolidated Statement of Cash Flows 23
Consolidated Statement of Changes in Equity 24
Notes to Financial Statements 25
Directors' Declaration 50
Tenement Schedule 51
Additional Shareholder Information 52
Corporate Directory 54
DIRECTORS' REPORT
The directors of Peak Resources Limited submit herewith the financial statements of the Company for the financial year ended 30 June 2016. In order to comply with the provisions of the Corporations Act 2001, the Directors Report as follows:
DIRECTORS
The names and details of the Company's directors in office during and since the financial year end until the date of the report are as follows. Directors were in office for the entire period unless otherwise stated.
Mr Peter Harold Non-Executive Chairman (appointed 1 December 2015) Mr Darren Townsend Managing Director
Mr Dave Hammond Technical Director
Mr Jonathan Murray Non-Executive Director (Chairman from 1 April 2015 to 30 November 2015) Mr Robin Mills Non-Executive Director
Mr John Jetter Non-Executive Director
INFORMATION ON DIRECTORS
Mr Peter Harold- Non-Executive Chairman (Appointed Chairman 1 December 2015) B.AppSc (Chem), AFAICD
Mr. Harold trained as an industrial chemist and has almost 30 years operational and corporate experience in the minerals industry specialising in financing, marketing, operating and business development with a focus on building cash flow generative businesses. Peter was a founding director of Panoramic Resources Limited (formerly Sally Malay Mining) and has been responsible for managing the company through the development phase of the $65 million Savannah (formerly the Sally Malay) Nickel Project in the Kimberley region of WA and the acquisition of five other resource projects.
Peter is currently the Managing Director of Panoramic Resources. He is also the Chairman of Youth Focus, an independent not for profit charity that focusses on the prevention of youth suicide and depression. He has held previous senior roles with Spectrum Rare Earths, Alloy Resources, Shell Australia, Australian Consolidated Minerals, MPI Mines Limited and Normandy Mining Limited.). Peter has also served as a director of the following other listed companies:
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Panoramic Resources Limited - from 16 March 2001
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Pacifico MInerals Limited - from 19 August 2013
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Spectrum Rare Earths Limited - from 1 March 2007 to June 2014
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Alloy Resources Limited - from 15 September 2005 to June 2014
Mr Darren Townsend - Managing Director (Appointed 3 February 2014) B.Eng (Mining-Hons) EMBA Managing Director
Darren is a mining engineer with extensive mining and corporate experience. Prior to joining Peak over a period of 6 years Darren was President & CEO of TSXV listed Pacific Wildcat Resources Corp where he was responsible for building a tantalum mine in Mozambique and completing the acquisition and resource drill out of a large rare earth and niobium project in Kenya. Previously Darren has also worked at De Grey Mining Ltd where he held the position of Managing Director from May 2006 to December 2007. Prior to that he was General Manager of Operations at Sons of Gwalia's (now Tailson) Wodgina Tantalum operations and over a period of 7 years, led and managed the development of the mine to become the world's largest hard rock Tantalum operations. Darren has also served as a director of the following other listed companies:
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De Grey Mining Ltd - from 23 May 2006 until 20 November 2014
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Pacific Wildcat Resources Corp - from 25 July 2008 until 14 January 2015
Mr David Hammond - Technical Director (Appointed 25 October 2010) MSc in Mineral Exploration, DIC, BSc (Hons), MAusIMM
David has over 25 years technical and management experience in Africa, Australia and South America. He has been Technical Director with Peak and the Ngualla Project for almost six years, since the second drill hole into the main Bastnaesite Zone. He was
previously the Exploration Manager with De Grey Mining Limited working on projects in the Pilbara and new project acquisitions globally. Previous positions include Exploration Manager for Sons of Gwalia in NE Goldfields of Western Australia and Project Geologist with Billiton/Gencor in South Africa and Zambia in a range of commodities and geological deposit styles.
Mr Jonathan Murray - Non-Executive Director (Appointed 22 February 2011, Chairman from 1 April 2015 to 30 November 2015) Bachelor Laws and Commerce
Jonathan is a partner at independent corporate law firm Steinepreis Paganin, based in Perth, Western Australia. He specialises in equity capital raisings, all forms of acquisitions and divestments, governance and corporate compliance.
Mr Murray graduated from Murdoch University in 1996 with a Bachelor of Laws and Commerce (majoring in Accounting). He is also a member of FINSIA (formerly the Securities Institute of Australia). Jonathan has also served as a director of the following other listed companies:
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Hannans Reward Ltd - from 22 January 2010
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Lemur Resources Limited (appointed 6 November 2013; resigned 29 May 2014)
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Highfield Resources Ltd (appointed 25 October 2011; resigned 14 August 2013)
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Vietnam Industrial Investments Limited - from 19 January 2016
Mr Robin Mills - Non-Executive Director (Appointed 1 April 2015) BSc.Eng.Rand.(Mining), FSAIMM., FIMMM.(UK), CEng.(UK)
Robin is a South African who has had a long global mining career as an engineer, operating manager and director.
For 40 + years this included operational, consulting and board level assignments with the Anglo American and De Beers Groups, primarily in gold, nickel, copper, platinum and diamond mine projects and operations in Africa, North and South America.
He operated in positions ranging from Mine and General Manager, Consulting Engineer, COO and CEO responsibilities over that period and concluded his career with the majors as the Group Technical Director for De Beers. Robin is currently a senior partner in the London based Appian Capital Advisory LLP. Robin also serves as a director of the following other listed companies:
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Royal Bafokeng Platinum Ltd (JSE) - from 20 September 2010
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RoXgold Incorporated (TSX) - from 11 June 2015
Mr John Jetter - Non-Executive Director (Appointed 1 April 2015) BLaw, BEcon, INSEAD
John has Bachelor of Law and Bachelor of Economics degrees and has extensive international finance and M&A experience having been the former Managing Director, CEO and head of investment banking of JP Morgan in Germany and Austria, and a member of the European Advisory Council of JP Morgan in London. He has held various senior positions with JP Morgan during which time he focused his attention on major corporate clients and advised on some of Europe's largest transactions. Before joining JPMorgan, he spent 12 years with CRA Limited (now Rio Tinto) in a variety of senior management roles gaining extensive experience in the mining and mineral processing industries. In addition, John has an extensive understanding of the rare earths industry and has been actively involved in negotiating and executing rare earth offtake agreements. John has also served as a director of the following other listed companies:
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Otto Energy - from 10 December 2007
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Venture Minerals Ltd - from 8 June 2010
COMPANY SECRETARY
The following person(s) have held the position of company secretary during or at the end of the financial year:
Graeme Scott - Company Secretary (Appointed 3 November 2014) FCCA
Graeme is a fellow of the Association of Chartered Certified Accountants (UK) with more than 20 years' experience in professional and corporate roles in both Australia and the UK. He has spent the last 11 years working in the resources sector in CFO and Company Secretarial roles for both ASX and TSX listed companies.