Australian Pacific Coal (AQC) 2024年年度報告「ASX」.pdf

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1、Annual Report Australian Pacific Coal Limited Year Ending 30 June 2024 ABN 49 089 206 986 AUSTRALIAN PACIFIC COAL LIMITED ABN 49 089 206 986 ANNUAL REPORT 30 JUNE 2024 Annual Report Australian Pacific Coal Limited TOC Year Ending 30 June 2024 ABN 49 089 206 986 TABLE OF CONTENTS Chairman and CEOs Re

2、port i Review of Operations iv Annual Financial Report viii-Directors Report 2-Remuneration Report 5-Auditors Independence Declaration 12-Statement of Profit or Loss and Other Comprehensive Income 14-Statement of Financial Position 15-Statement of Changes in Equity 16-Statement of Cash Flows 17-Note

3、s to the Financial Statements 18-Consolidated entity disclosure statement 49-Directors Declaration 50-Independent Audit Report 51 Corporate Governance Statement 56 ASX Additional Information 68 Corporate Directory 70 CEO&CHAIRMANS REPORT Page i Australian Pacific Coal Limited Annual Report CEO&Chair

4、mans report ABN 49 089 206 986 Year Ending 30 June 2024 Dear Shareholders,The substantial achievements delivered in FY23 continued into FY24 as Australian Pacific Coal Limited(ASX:AQC)surged towards restarting underground mining at the Dartbrook coal mine in NSWs Hunter Valley.The number of major mi

5、lestones reached during FY24 reflects the high levels of operational,corporate and financial activity across all aspects of our business.The Board and Management had four key objectives for FY24:Dewater,restore and refurbish the Hunter Tunnel Secure sufficient restart capex funding and procure neces

6、sary equipment Commence refurbishment of the train load out facility and Coal Handling and Preparation Plant(CHPP)Achieve first coal to surface We have successfully achieved each of these goals,with a US$60 million(A$90 million)capex restart funding debt package secured in January 2024,completion of

7、 the Hunter Tunnel restoration in August 2024,first coal to surface in September 2024,and refurbishment of the train load out facility and CHPP underway.With limited new coal mines being sanctioned in NSW,Dartbrook,via AQC,represents one of the few opportunities where investors can access world-clas

8、s resources and infrastructure with excellent proximity to port and rail facilities on a pre-production basis.Safety,Environment and People Safety remains our highest priority and we are pleased to report that there were no recordable injuries or reportable environmental incidents in the 12 months t

9、o 30 June 2024.As activity levels increase at Dartbrook,we are committed to working with our Joint Venture partner to drive positive safety and environmental outcomes for our people and the community.In July 2024,following a period of negotiation,Dartbrook executed a four-year Greenfields Enterprise

10、 Agreement with the Mining and Energy Union(MEU).The Agreement provides the necessary framework for the planned employment for future mining and processing activities at Dartbrook.The Agreement,approved by the Fair Work Commission(“FWC”)in September 2024,will facilitate the transition from restorati

11、on to production as the workforce shifts from specialist contractors to operational personnel.Restart Capex Funding Secured Following the substantial de-risking of the mine and the streamlining of the operating joint venture in FY23,AQC launched a comprehensive domestic and international program to

12、source a debt funding package to provide restart capex for the Dartbrook project.In January 2024,AQC announced details of a US$60 million(A$92 million)debt facility provided by Vitol Asia Pte Ltd,a leading global energy and commodities company.The facility covers forecast restart expenditure at Dart

13、brook through to commercial production,including equipment acquisitions and completion of remediation works,and the acquisition of additional mining systems during ramp-up to achieve full capacity.The Dartbrook JV also entered into a Coal Sales and Marketing Agreement with Vitol for all Dartbrook co

14、al production,including assigning coal Marketing Rights to Vitol for the life of the mine(including any extensions).CEO&CHAIRMANS REPORT Page ii Australian Pacific Coal Limited Annual Report CEO&Chairmans report ABN 49 089 206 986 Year Ending 30 June 2024 Dartbrook Restart Gains Momentum The major f

15、ocus of the Dartbrook restart project in FY24 was the Hunter Tunnel.This key piece of infrastructure,which passes under the New England Highway,is critical to our ability to operate the mine as it connects the proposed underground mining panels with the above ground CHPP and rail loadout.As reported

16、 last year,the tunnel was successfully dewatered and more than 70 megalitres of water was removed safely without incident.Thereafter,restoration and refurbishment work made rapid progress.Major workstreams included roof and rib support,ventilation systems,roof and wall shotcreting,installation of se

17、rvices pipelines,and tunnel fit-out.Work on the Hunter Tunnel was completed in August 2024.Procurement made rapid progress once funding was secured.Orders for essential equipment for mining operations were immediately confirmed.The first phase of the restart plan requires two Continuous Mining Units

18、(CMU)and both units have been received.The first CMU is operating underground and the second CMU to follow once refurbishment,assembly and testing are complete.A third CMU has now been secured.The 4 km conveyor system,which transports Run of Mine(ROM)coal from the underground storage facility to the

19、 surface via the Hunter Tunnel,was successfully commissioned with first coal to the surface achieved in September 2024.On the surface,installation of the new hydraulic system for the train load out facility is nearing completion.Prior to commencing refurbishment works on the CHPP,a detailed study is

20、 being undertaken to assess all requirements and establish a work program which is planned to commence in the first quarter of CY2025.First Coal Produced to Surface With the key elements of the mining and transportation chain in place and operational,Dartbrook achieved a major milestone in early Sep

21、tember 2024 when it successfully produced ROM coal to surface the first time the mine had produced coal since it was placed in care and maintenance in 2006.This landmark event signalled the start of the ramp-up period to bring the mine into commercial production.During this period,the focus will be

22、on optimising systems,equipment,operations and maintenance procedures,as well as the recruitment and training of permanent employees for the production phase.The Dartbrook JV is targeting commercial production before the end of CY2024 with the intention of producing unwashed(bypass)coal initially wh

23、ile refurbishment of the CHPP wet plant is completed.Importantly,in September 2024 we received confirmation that coal from Dartbrook conforms to NEWC 6000 specifications which will ensure we can market Dartbrook thermal product to customers in key Asian export markets once refurbishment of the CHPP

24、is complete.Testing for metallurgical applications is ongoing and results will be provided to the market in due course.The ability to produce metallurgical coal would provide Dartbrook with product optionality and marketing flexibility.Looking Ahead While we have made great progress over the past 18

25、 months,there is still much to do in FY25.We are close to finalising a number of key operating agreements,chiefly Port and Rail access,and we are in the process of finalising a US$30 million Working Capital facility to facilitate growth as we ramp up production.We will continue to optimise the mine

26、plan to maximise Dartbrooks production potential,accelerating where possible,while remaining focused on safety and reliability.Completion of the CHPP refurbishment in the first half of CY2025 will be an important milestone,opening key export markets for Dartbrook product.Looking further ahead,we hav

27、e commenced work on the MOD8 submission to extend mining operations at Dartbrook by an additional six years to December 2033.Based on work done to date,we anticipate being in a CEO&CHAIRMANS REPORT Page iii Australian Pacific Coal Limited Annual Report CEO&Chairmans report ABN 49 089 206 986 Year En

28、ding 30 June 2024 position to make a formal submission to the NSW Department of Planning,Housing and Infrastructure(DPHI)before the end of CY2024.Finally,we would like to thank our employees,shareholders,partners and advisers for their hard work and commitment towards restarting production at Dartbr

29、ook.We are excited about bringing this world class coal mine back to life after lying dormant for 18 years and we are optimistic about the future potential of Australian Pacific Coal.Ayten Saridas John Robinson Managing Director&CEO Chairman REVIEW OF OPERATIONS Page iv Australian Pacific Coal Limit

30、ed Annual Report Review of Operations ABN 49 089 206 986 Year Ending 30 June 2024 DARTBROOK COAL MINE Dartbrook Mine is located approximately 10 kilometres(km)north-west of Muswellbrook and 4.5 km south-west of the village of Aberdeen in New South Wales(NSW)(see Figure 1).Dartbrook operated as an un

31、derground longwall coal mine from 1993 until December 2006,when it was placed in care and maintenance by the previous owner,Anglo Coal(Dartbrook Management)Pty Ltd(ACDM).The mine was acquired by Australian Pacific Coal(AQC)(ASX-AQC)in 2016 and the mine has remained in care and maintenance.Dartbrook

32、Mine is an unincorporated Joint Venture(Dartbrook Joint Venture)between Australian Pacific Coal Limited(via subsidiaries)and Tetra Resources Pty Ltd(Tetra,via subsidiaries).Dartbrook Operations Pty Ltd is the appointed operating management company,and the Mine Operator under Section 5 of the Work He

33、alth and Safety(Mines and Petroleum Sites)Regulation 2022(NSW).Dartbrook is managed in accordance with Development Consent DA 231-7-2000(Development Consent)granted on 28 August 2001 under the Environmental Planning and Assessment Act 1979(EP&A Act).DA 231-7-2000 originally allowed for underground l

34、ongwall mining and associated surface activities to be carried out until 5 December 2022.In February 2018,AQC lodged an application to modify DA 231-07-2000(MOD7)to provide further operational options for Dartbrook(in addition to those already approved)including the recommencement of mining via bord

35、 and pillar methodology within the Kayuga Seam and to extend the approval period under DA 231-07-2000 by 5 years(i.e.to 5 December 2027).DA 231-07-2000(MOD7)was determined by the NSW Independent Planning Commission(IPCN)on 9 August 2019.The IPCN approved the proposed recommencement of mining activit

36、ies but not the proposed five-year extension to the consent approval period.Without the extension to operate under DA 231-07-2000 for a further five years it was impractical to recommence mining at Dartbrook.In November 2019,an appeal was lodged against the IPCN determination of MOD7 in the NSW Land

37、 and Environment Court.The MOD7 application was the subject of a conciliation conference conducted pursuant to Section 34 of the Land and Environment Court Act 1979(LEC Act).AQC entered into a Section 34 agreement with the Minister for Planning and Public Spaces on 21 December 2021 with the approval

38、 granted on 11 March 2022.This agreement gave effect to MOD7 and extended the approved duration of mining operations until 5 December 2027.Refurbishment and recommissioning works commenced at Dartbrook in 2022.Coal to surface was achieved on 4 September 2024 and a commissioning period is currently u

39、nderway.Commercial production at Dartbrook is anticipated before the end of the 4th quarter of calendar year 2024.Production will ramp up over the first two years towards an initial target of approximately 2.4 million tonnes per annum(Mtpa)of Run of Mine(ROM)coal.During this reporting period,key mil

40、estone achieved include:Zero reportable environmental incidents and zero Lost Time and Disabling injuries.AQC raised$12 million during September-October 2023 via a$4 million Institutional Placement and a 1 for 4.75 Accelerated Non-Renounceable Entitlement Offer(ANREO)that raised$8 million.In Decembe

41、r 2023,AQC successfully completed a placement that raised$3.625 million in new funds and converted$3.375 million of short-term shareholder loans and accrued lease payments to equity.A US$60 million(A$92 million)senior debt facility for Dartbrook restart capex was executed in January 2024,covering fo

42、recast restart expenditure through to commercial production,including ramp-up.A Coal Sales and Marketing Agreement was signed with Vitol Asia Pte Ltd for all Dartbrook coal production,including coal Marketing Rights for the life of the mine(including any extensions).REVIEW OF OPERATIONS Page v Austr

43、alian Pacific Coal Limited Annual Report Review of Operations ABN 49 089 206 986 Year Ending 30 June 2024 Following the successful dewatering of the Hunter Tunnel in FY23,works undertaken in FY24 included re-supporting of roof and ribs,bolting and mesh construction,shot-creting,and construction of d

44、rainage,pumping,water management,electrical and ventilation restoration.New 4 km conveyor system was delivered,assembly commenced.Installation of the new hydraulic system for the train load-out facility is nearing completion.A detailed study of the Coal Handling&Processing Plant(CHPP)was conducted i

45、n preparation for the refurbishment program.Continued to optimise the Mine Plan schedules and designs to improve yields,coal quality and products.Dartbrook Community Consultative Committee met quarterly and continued to provide active and positive communications to neighbours and stakeholders.Subseq

46、uent to the end of the reporting period,key milestones achieved include:Dartbrook executed a four-year Greenfields Enterprise Agreement with the Mining and Energy Union(MEU)in July 2024 which was subsequently approved by the Fair Work Commission in September 2024.The first Continuous Miner Unit(CMU)

47、was sent underground and a bulk sample was cut and sent for lab analysis in July 2024.Refurbishment and restoration of the Hunter Tunnel was completed in August 2024.New 4 km conveyor system to convey ROM coal to the surface stockpile was commissioned First coal was produced from in-seam to the surf

48、ace stockpile in early September 2024.Ramp up of manning and production continues during September and will continue through 2025 Confirmation in September 2024 that washed Dartbrook coal will conform to NEWC 6000 specifications.REVIEW OF OPERATIONS Page vi Australian Pacific Coal Limited Annual Rep

49、ort Review of Operations ABN 49 089 206 986 Year Ending 30 June 2024 On the 28 October 2022,(2022 No649),the NSW Government under the Environment Planning and Assessment Act 1979,implemented a State Environmental Planning Policy(SEPP)Resources and Energy Amendment(Dartbrook Mine)2022 to prohibit ope

50、n cut mining on the land,being defined as the Authority 256 boundary.Refer to Figure 1 Highlighted Dartbrook area.In addition,all the Dartbrook mining tenure was renewed from pending status to all current and approved with the mining leases extended to 2043(ML 1456&1497)and 2033(ML 1381),refer to(Ta

51、ble 1-Tenure Summary Table).This is a considerable milestone as the project has now achieved tenure security and with this success will be highly valued and considered when the application for a further extension of the current Development Consent conditions(MOD 8)for an additional 6 years is prepar

52、ed and processed.This will be a priority once production is underway and the approval will be assessed by the Department of Planning&Environment.The Dartbrook mine is in a safe and operational readiness state with a professional workforce ready to transit into production.Figure 1 Regional Locality R

53、EVIEW OF OPERATIONS Page vii Australian Pacific Coal Limited Annual Report Review of Operations ABN 49 089 206 986 Year Ending 30 June 2024 OTHER PROJECTS In Queensland,the Company holds interests in the Matuan Downs Bentonite Project and a Joint Venture interest on tenements with Blackwood Resource

54、s.The Company will continue to assess potential development or divestment opportunities in relation to these assets.MINING TENEMENT SUMMARY Name Number Status Expiry Date Interest Held Dartbrook Project,Hunter Valley NSW AUTH 256 AUTH 256 Granted 16/12/2025 100%EL 4574 EL 4574 Granted 13/08/2024 100

55、%EL 4575 EL 4575 Granted 13/08/2027 100%EL 5525 EL 5525 Granted 22/09/2027 100%CL 386 CL 386 Granted 19/12/2033 100%ML 1381 ML 1381 Granted 19/12/2033 100%ML 1456 ML 1456 Granted 27/09/2043 100%ML 1497 ML 1497 Granted 5/12/2043 100%Matuan Downs Bentonite Project,Alpha Mantuan ML 70360 Granted 31/03/

56、2033 100%Table 1 Tenure Summary Table Name Number Status Interest Held Blackwood Joint Venture,Miles QLD Bungaban Creek EPC 1955 Granted 10%#Quondong EPC 1987 Granted 10%#The Companys 100%owned subsidiary Mining Investments One Pty Ltd holds a 10%interest in each of the following Blackwood Resources

57、 Pty Ltd JV tenements.Page viii Australian Pacific Coal Limited ABN 49 089 206 986 Annual Financial Report-30 June 2024 Australian Pacific Coal Limited Directors report 30 June 2024 2 The Directors present their report,together with the financial statements,on the Group(referred to hereafter as the

58、Group)consisting of Australian Pacific Coal Limited(referred to hereafter as the Company or parent entity)and the entities it controlled at the end of,or during,the year ended 30 June 2024.Directors The following persons were the Directors of Australian Pacific Coal Limited during the whole of the f

59、inancial year and up to the date of this report,unless otherwise stated:Current Directors John Robinson(Appointed 5 June 2024)Ayten Saridas Nicholas Johansen Jeff Gerard(Appointed 5 June 2024)Former Directors Jeff Beatty(Resigned 23 April 2024)Mike Ryan(Resigned 17 June 2024)Principal activities Dur

60、ing the financial year the principal continuing activities of the Group consisted of exploration and development activities at the Groups mining tenements situated in New South Wales,Australia.Dividends No dividends were declared or paid for the financial year ended 30 June 2024.Review of operations

61、 The review of operations of the Group during the year is detailed in the review of operations commencing in the Chairmans report and forms part of the Directors report.The Group holds an 80%working interest in the Dartbrook Joint Arrangement(70%economic interest),an arrangement structured as a stra

62、tegic partnership with the Group and other parties.The primary purpose of the joint arrangement is to facilitate exploration,mining and sale of coal from the Dartbrook project.Under the joint arrangement agreement,all of the assets,rights,duties,obligations and liabilities incurred by the arrangemen

63、t are shared by the partners in proportion to their share.As such the arrangement is classed as a joint operation,and accordingly,the Groups interests in the assets,liabilities,revenues and expenses attributable to the joint arrangement have been included in the appropriate line items in the consoli

64、dated financial statements.Comparative information for the financial year ended 30 June 2023 has therefore been reclassified into new categories as appropriate for comparison,with no changes to the underlying accounting.The loss for the Group after providing for income tax amounted to$12,630,899(30

65、June 2023:loss of$12,517,633).Significant changes in the state of affairs There were no significant changes in the state of affairs of the Group during the financial year.Likely developments and expected results of operations The Group intends to continue its development activities on its existing p

66、rojects and to explore other suitable opportunities as they arise.Environmental regulation The Group is subject to,and is compliant with,all aspects of environmental regulation in its exploration and mining activities.The Directors believe that the Company is in compliance with all environmental law

67、s.The Group is subject to the reporting requirements of both the Energy Efficiency Opportunities Act 2006 and the National Greenhouse and Energy Reporting Act 2007.The Energy Efficiency Opportunities Act 2006 requires the Group to assess its energy usages,including the identification,investigation a

68、nd evaluation of energy saving opportunities,and to report publicly on the assessments undertaken,including what action the Group intends to take as a result of these assessments.Due to this Act,the Group has registered with the Department of Resources,Energy and Tourism as a participant entity and

69、reports the results from its assessments.Australian Pacific Coal Limited Directors report 30 June 2024 3 The National Greenhouse and Energy Reporting Act 2007 require the Group to report its annual greenhouse gas emissions and energy use.The Group has previously implemented systems and processes for

70、 the collection and calculation of data.Further information on the reporting and results of the application of the above Acts to the Groups activities can be found on the Groups website.Matters subsequent to the end of the financial year No matter or circumstance has arisen since 30 June 2024 that h

71、as significantly affected,or may significantly affect the Groups operations,the results of those operations,or the Groups state of affairs in future financial years.Information on Directors Name:John Robinson Title:Non-Executive Director and Chairman from 18 June 2024 Qualifications:Bachelor of Acco

72、unting Experience and expertise:Mr Robinson is an accomplished executive and director with background in the property,mining and retail sectors.John is also the former Managing Director of Australian Pacific Coal Limited from 30 October 2018 to 18 November 2019.Director of Australian Pacific Coal Li

73、mited since 5 June 2024.Other current directorships:None Former directorships(last 3 years):None Interests in shares:None Interests in options:None Interests in performance rights:None Name:Ayten Saridas Title:Manager Director and Chief Executive Officer from 18 June 2024(Executive Director and Acti

74、ng Chief Executive Officer from 16 January 2023 to 17 June 2024)Qualifications:Masters of Applied Finance,Bachelor of Commerce,Fellow CPA Experience and expertise:Ms Saridas is a finance executive with over 30 years of international experience across a broad range of industries including oil and gas

75、,mining,retail,infrastructure,property,and financial services.Ms Saridas has an established reputation in the financial markets and has held CFO and executive roles with Coronado Global Resources,Santos Limited,AWE Limited and Woolworths amongst other ASX listed companies.Director of Australian Paci

76、fic Coal Limited since 25 November 2022.Other current directorships:Parkway Corporation Limited Former directorships(last 3 years):None Interests in shares:None Interests in options:None Interests in performance rights:None Australian Pacific Coal Limited Directors report 30 June 2024 4 Name:Nick Jo

77、hansen Title:Non-Executive Director Qualifications:Bachelor of Economics;Bachelor of Law Experience and expertise:Mr Johansen is a solicitor with extensive mining experience,ranging from junior exploration to production,across a range of commodities.Nick has expertise in transactions,resources regul

78、ation,native title and environmental law.Nick completed his Graduate Diploma of Legal Practice at Australian National University.In addition,he holds a BA in economics from the University of Adelaide.Director of Australian Pacific Coal Limited since 9 January 2023.Other current directorships:Orcoda

79、Limited(non-executive)Former directorships(last 3 years):Paterson Resources Limited(non-executive)Interests in shares:None Interests in options:None Interests in performance rights:None Name:Jeff Gerard Title:Non-Executive Director from 5 June 2024 Qualifications Associate Diploma in Applied Chemist

80、ry Experience and expertise:Mr Gerard is a seasoned Company Director of exploration,development and operating companies globally.He has over 40 years management experience in the resource industry gained through various technical,operational,commercial and executive management roles with global mini

81、ng companies in Australia and internationally.Other current directorships KGL Resources Limited Former directorships(last 3 years):None Interests in shares:None Interests in options:None Interests in performance rights:None Name:Jeff Beatty Mr Beatty was appointed as a Director of Australian Pacific

82、 Coal Limited on 9January 2023.Mr Beatty resigned from the Company effective 23 April 2024.Name:Mike Ryan Mr Ryan was appointed as a Director of Australian Pacific Coal Limited on 25 November 2022 and Acting Chairman from 16 January 2023.Mr Ryan resigned from the Company effective 17 June 2024.Other

83、 current directorships quoted above are current directorships for listed entities only and excludes directorships of all other types of entities,unless otherwise stated.Former directorships(last 3 years)quoted above are directorships held in the last 3 years for listed entities only and excludes dir

84、ectorships of all other types of entities,unless otherwise stated.Chief Financial Officer Theo Renard was appointed as the Chief Financial Officer on 29 April 2024.Mr Renard is a Chartered Accountant and has over 21 years experience in credit and relationship banking in commercial and investment ban

85、king across South Africa,Asia,and Australia.He is an experienced Chief Financial Officer and Company Secretary within retail group environments and manufacturing operations in Asia and the Subcontinent,as well as within resources in Australia and overseas.He is an experienced director,having served

86、on the boards of both overseas listed companies and ASX listed companies.Australian Pacific Coal Limited Directors report 30 June 2024 5 Company secretary Craig McPherson was appointed as the Company Secretary on 23 August 2019.Mr McPherson graduated with a Bachelor of Commerce degree from the Unive

87、rsity of Queensland and is a member of Chartered Accountants Australia and New Zealand.He has in excess of twenty-five years of commercial and financial management experience and has held various executive roles with ASX,TSX and NZX listed companies over the past seventeen years in Australia and ove

88、rseas.Meetings of Directors The number of meetings of the Companys Board of Directors(the Board)and of each Board committee held during the year ended 30 June 2024,and the number of meetings attended by each Director were:Full board Attended Held John Robinson 1 1 Ayten Saridas 20 20 Nick Johansen 2

89、0 20 Jeff Gerard 1 1 Jeff Beatty 18 18 Mike Ryan 20 20 Held:represents the number of meetings held during the time the Director held office or was a member of the relevant committee.Remuneration report(audited)The remuneration report details the key management personnel remuneration arrangements for

90、 the Group in accordance with the requirements of the Corporations Act 2001 and its Regulations.Key management personnel are those persons having authority and responsibility for planning,directing and controlling the activities of the entity,directly or indirectly,including all Directors.The remune

91、ration report is set out under the following main headings:Principles used to determine the nature and amount of remuneration Details of remuneration Service agreements Share-based compensation Additional information Additional disclosures relating to key management personnel Principles used to dete

92、rmine the nature and amount of remuneration The objective of the Groups executive reward framework is to ensure reward for performance is competitive and appropriate for the results delivered.The framework aligns executive reward with the achievement of strategic objectives and the creation of value

93、 for shareholders,and it is considered to conform to the market best practice for the delivery of reward.The Board of Directors(the Board)ensures that executive reward satisfies the following key criteria for good reward governance practices:competitiveness and reasonableness acceptability to shareh

94、olders performance linkage/alignment of executive compensation Transparency The Board is responsible for determining and reviewing remuneration arrangements for its Directors and Executives.The performance of the Group depends on the quality of its Directors and Executives.The remuneration philosoph

95、y is to attract,motivate and retain high performance and high-quality personnel.The Board has structured an executive remuneration framework that is market competitive and complementary to the reward strategy of the Group.Australian Pacific Coal Limited Directors report 30 June 2024 6 The reward fra

96、mework is designed to align executive reward to shareholders interests.The Board has considered that it should seek to enhance shareholders interests by:having economic profit as a core component of plan design focusing on sustained growth in shareholder wealth,consisting of dividends and growth in

97、share price,and delivering constant or increasing return on assets as well as focusing the executive on key financial and non-financial drivers of value attracting and retaining high calibre executives Additionally,the reward framework seeks to enhance executives interests by:rewarding capability an

98、d experience reflecting competitive reward for contribution to growth in shareholder wealth providing a clear structure for earning rewards In accordance with best practice corporate governance,the structure of Non-Executive Director and Executive Director remuneration is separate.Non-executive dire

99、ctors remuneration Fees and payments to Non-Executive Directors reflect the demands and responsibilities of their role.Board may,from time to time,receive advice from independent remuneration consultants to ensure non-executive directors fees and payments are appropriate and in line with the market.

100、ASX listing rules require the aggregate Non-Executive Directors remuneration be determined periodically by a general meeting.The most recent determination was at the General Meeting held on 30 October 2015 where the shareholders approved a maximum annual aggregate remuneration of$500,000.Non-Executi

101、ve Directors are also entitled to consulting fees to the extent that they provide services in excess of those typically provided as a Non-Executive Director of the Company.Executive remuneration The Group aims to reward executives based on their position and responsibility,with a level and mix of re

102、muneration which has both fixed and variable components.The executive remuneration and reward framework has four components:base pay and non-monetary benefits short-term performance incentives share-based payments other remuneration such as superannuation and long service leave The combination of th

103、ese components comprises the executives total remuneration.Fixed remuneration,consisting of base salary,superannuation and non-monetary benefits,is reviewed regularly by the Board and subject to individual contracts is based on individual and business unit performance,the overall performance of the

104、Group and comparable market remunerations.Executives may receive their fixed remuneration in the form of cash or other fringe benefits(for example motor vehicle benefits)where it does not create any additional costs to the Group and provides additional value to the executive.The Board periodically r

105、eviews the Companys short-term and long-term incentive arrangements for Executive Directors,Non-Executive Directors and employees and consultants to ensure the appropriate alignment of interests of all stakeholders and to reward the achievement of pre-specified Key Performance Indicators.Group perfo

106、rmance and link to remuneration Remuneration for certain individuals may be directly linked to the performance of,and outcomes achieved for,the Group together with bonus and incentive payments at the discretion of the Board.Voting and comments made at the companys 2023 Annual General Meeting(AGM)At

107、the 2023 AGM,shareholders voted to support the adoption of the remuneration report for the year ended 30 June 2023.The Company did not receive any specific feedback at the AGM regarding its remuneration practices.Australian Pacific Coal Limited Directors report 30 June 2024 7 Details of remuneration

108、 Amounts of remuneration Details of the remuneration of Key Management Personnel of the Group are set out in the following tables.The Key Management Personnel of the Group consisted of the following Directors of Australian Pacific Coal Limited during the year:John Robinson-Non-Executive Director(app

109、ointed on 5 June 2024)and Acting Chairman from 18 June 2024 Ayten Saridas Managing Director and Chief Executive Officer from 18 June 2024 Nicholas Johansen Non-executive Director Jeff Gerard Non-executive Director(appointed on 5 June 2024)Theo Renard Chief Financial Officer(appointed on 29 April 202

110、4)Jeff Beatty Non-executive Director(resigned on 23 April 2024)Mike Ryan Non-executive Director and Acting Chairman(resigned on 17 June 2024)Short-term benefits Post-employment benefits Long-term benefits Share-based payments Cash salary Cash Termination Super-Long service Equity-settled Equity-sett

111、led and fees bonus annuation leave shares options Total 2024$Non-Executive Directors:John Robinson 6,506-716-7,222 Nicholas Johansen 52,000-52,000 Jeff Gerard 6,250-6,250 Jeff Beatty 42,996-4,730-47,726 Mike Ryan 46,900 100,000-5,159-152,059 Executive Director:Ayten Saridas 452,000-452,000 Theo Rena

112、rd 57,375-57,375 664,027 100,000 -10,605 -774,632 Australian Pacific Coal Limited Directors report 30 June 2024 8 Short-term benefits Post-employment benefits Long-term benefits Share-based payments Cash salary Cash Termination Super-Long service Equity-settled Equity-settled and fees bonus annuatio

113、n leave shares options Total 2023$Non-Executive Directors:Mike Ryan 28,235 -2,965 -31,200 Nicholas Johansen 24,043 -24,043 Jeff Beatty 21,758 -2,285 -24,043 Tony Lalor 35,083 150,000 -185,083 Craig McPherson 21,667 -21,667 Executive Directors:Ayten Saridas 212,056 -212,056 David Conry 300,639 150,00

114、0 -450,639 643,481 300,000 -5,250 -948,731 1.Craig McPherson resigned 25 November 2022 2.Mike Ryan appointed 25 November 2022 3.Ayten Saridas appointed 25 November 2022 4.Nicholas Johansen appointed 9 January 2023 5.Jeff Beatty appointed 9 January 2023 6.David Conry AM resigned 16 January 2023 7.Ton

115、y Lalor resigned 3 March 2023 The proportion of remuneration linked to performance and the fixed proportion are as follows:Fixed remuneration At risk-STI At risk-LTI Name 2024 2023 2024 2023 2024 2023 Non-Executive Directors:John Robinson 100%100%-Nicholas Johansen 100%100%-Jeff Gerard 100%100%-Jeff

116、 Beatty 100%100%-Mike Ryan 100%100%-Executive Director:Ayten Saridas 100%100%-Service agreements Remuneration and other terms of employment for Key Management Personnel are formalised in service agreements.Details of these agreements are as follows:Current agreements:Name Ayten Saridas Title Managin

117、g Director and Chief Executive Officer Term of agreement Ongoing appointment,subject to termination rights noted below.Details Base salary of$400,000 per annum plus director fee of$75,000 per year.Ms Saridas or her nominee is eligible to receive any forms of equity type compensation as reasonably de

118、termined by the Board from time to time.1 months notice of intention to resign and the Company may terminate the agreement by giving 1 months notice.Australian Pacific Coal Limited Directors report 30 June 2024 9 Name Theo Renard Title Chief Financial Officer Term of agreement 2-year appointment,sub

119、ject to extension or termination rights noted below.Details Base fee of$388,500 per annum.Mr Renard or his nominee is eligible to receive any forms of equity type compensation as reasonably determined by the Board from time to time.Upon completion of the term,appointment to be extended for rolling t

120、wo-year periods thereafter upon mutual agreement.3 months notice of intention to resign and the Company may terminate the agreement by giving 6 months notice.Key Management Personnel have no entitlement to termination payments in the event of removal for misconduct.Options There were no options over

121、 ordinary shared issued as remuneration to Directors or other Key Management Personnel in the year ended 30 June 2024.Performance Rights There are no performance rights over ordinary shares granted,exercised and lapsed for Directors and other key management personnel as part of compensation during t

122、he year ended 30 June 2024 and 2023.No performance rights have been granted to Key Management Personnel since the end of the financial year.Additional disclosures relating to Key Management Personnel Shareholding The number of shares in the Company held during the financial year by each Director and

123、 other members of Key Management Personnel of the Group,including their personally related parties,is set out below:Balance at Received Balance at the start of as part of Disposals/the end of the year remuneration Additions Other the year Ordinary shares John Robinson -Ayten Saridas -Nicholas Johans

124、en -Jeff Gerard -Theo Renard -Jeff Beatty 1 -Mike Ryan 1 -1.Represents shareholding at date of resignation as Director Option holding There were no options over ordinary shares in the Company held during the financial year by any Director and other members of Key Management Personnel of the Group,in

125、cluding their personally related parties.Performance Rights Held by Key Management Personnel There were no performance rights held directly,indirectly or beneficially by Key Management Personnel during the financial year.Other transactions with key management personnel and their related parties From

126、 1 July 2023 until resignation as a Director,the Group paid Whiterock Resources Pty Ltd,an entity associated with Mr Beatty,$317,375 for services connected with the Dartbrook Joint Venture,which was paid in full at reporting date.There were no other transactions with key management personnel and the

127、ir related parties during the financial year other than those transactions disclosed within this annual financial report.This concludes the remuneration report,which has been audited.Australian Pacific Coal Limited Directors report 30 June 2024 10 Shares under option,performance rights or convertibl

128、e note On 5 April and 27 May 2024,12,085,526 and 1,700,835 options were issued to Evolution Capital Pty Ltd respectively as a settlement of a dispute in connection with an underwriting agreement.These options were issued with a$0.34 exercise price and a 3-year exercise period expiring on 5 April 202

129、7.There are no other unissued ordinary shares of Australian Pacific Coal Limited under option or convertible note at the date of this report.Proceedings on behalf of the Company No person has applied to the Court under section 237 of the Corporations Act 2001 for leave to bring proceedings on behalf

130、 of the Company,or to intervene in any proceedings to which the Company is a party for the purpose of taking responsibility on behalf of the Company for all or part of those proceedings.Non-audit services Details of the amounts paid or payable to the auditor for non-audit services provided during th

131、e financial year by the auditor are outlined in Note 23 to the financial statements.The Directors are satisfied that the provision of non-audit services during the financial year by the auditor(or by another person or firm on the auditors behalf)is compatible with the general standard of independenc

132、e for auditors imposed by the Corporations Act 2001.The Directors are of the opinion that the services as disclosed in note 23 to the financial statements do not compromise the external auditors independence requirements of the Corporations Act 2001 for the following reasons:all non-audit services h

133、ave been reviewed and approved to ensure that they do not impact the integrity and objectivity of the auditor;and none of the services undermine the general principles relating to auditor independence as set out in APES 110 Code of Ethics for Professional Accountants issued by the Accounting Profess

134、ional and Ethical Standards Board,including reviewing or auditing the auditors own work,acting in a management or decision-making capacity for the company,acting as advocate for the company or jointly sharing economic risks and rewards.The following fees were paid or payable to Hall Chadwick for non

135、-audit services provided during the year ended 30 June 2024:$Taxation services 11,500 11,500 Officers of the Company who are former partners of Hall Chadwick Chartered Accountants There are no officers of the Company who are former partners of Hall Chadwick Chartered Accountants.Rounding of amounts

136、The Company is of a kind referred to in Corporations Instrument 2016/191,issued by the Australian Securities and Investments Commission,relating to rounding-off.Amounts in this report have been rounded off in accordance with that Corporations Instrument to the nearest dollar.Auditors independence de

137、claration A copy of the auditors independence declaration as required under section 307C of the Corporations Act 2001 is set out immediately after this Directors report.Auditor Hall Chadwick Chartered Accountants continues in office in accordance with section 327 of the Corporations Act 2001.Indemni

138、ty and insurance of officers The Company has indemnified the Directors and Executives of the Company for costs incurred,in their capacity as a director or executive,for which they may be held personally liable,except where there is a lack of good faith.During the financial year,the Company paid a pr

139、emium in respect of a contract to insure the Directors and Executives of the company against a liability to the extent permitted by the Corporations Act 2001.Details of the premium are subject to a confidentiality clause under the contract of insurance.Australian Pacific Coal Limited Directors repor

140、t 30 June 2024 11 This report is made in accordance with a resolution of Directors,pursuant to section 298(2)(a)of the Corporations Act 2001.On behalf of the Directors _ John Robinson Chairman 30 September 2024 Brisbane Australian Pacific Coal Limited Directors report 30 June 2024 13 Consolidated St

141、atement of Profit or Loss and Other Comprehensive Income 14 Consolidated Statement of Financial Position 15 Consolidated Statement of Changes in Equity 16 Consolidated Statement of Cash Flows 17 Notes to the Consolidated Financial Statements 18 Consolidated entity disclosure statement 49 Directors d

142、eclaration 50 Independent auditors report to the members of Australian Pacific Coal Limited 51 General information The consolidated financial statements cover Australian Pacific Coal Limited as a Group consisting of Australian Pacific Coal Limited and the entities it controlled at the end of,or duri

143、ng,the year.The consolidated financial statements are presented in Australian dollars,which is Australian Pacific Coal Limiteds functional and presentation currency.Australian Pacific Coal Limited is a listed public company limited by shares,incorporated and domiciled in Australia.Its registered off

144、ice and principal place of business are:Registered office Principal place of business Level 1,371 Queen Street Stair Street Brisbane QLD 4000 Kayuga NSW 2333 A description of the nature of the Groups operations and its principal activities are included in the Directors report,which is not part of th

145、e financial statements.The financial statements were authorised for issue,in accordance with a resolution of Directors,on 30 September 2024.The Directors have the power to amend and reissue the financial statements.Australian Pacific Coal Limited Statement of Profit or Loss and Other Comprehensive I

146、ncome As at 30 June 2024 Consolidated Note 2024 2023*$The above statement of financial position should be read in conjunction with the accompanying notes 14 Revenue other income 4 2,536,951 319,715 Expenses Site and corporate overheads 5(10,026,294)(6,265,006)Depreciation and amortisation expense 5(

147、1,186,086)(1,029,053)Finance costs 5(3,955,470)(5,543,289)Loss before income tax expense from continuing operations (12,630,899)(12,517,633)Income tax expense 6-Other comprehensive income Other comprehensive income for the year,net of tax -Total comprehensive income for the year (12,630,899)(12,517,

148、633)Earnings per share for profit attributable to the owners of Australian Pacific Coal Limited Cents Cents Basic earnings per share 32(2.74)(5.23)Diluted earnings per share 32(2.72)(5.23)*The comparative information for 2023 is reclassified into new categories where appropriate to align with 2024 d

149、isclosures to reflect the Groups nature of business under joint operation.Australian Pacific Coal Limited Statement of financial position As at 30 June 2024 Consolidated Note 2024 2023$The above statement of financial position should be read in conjunction with the accompanying notes 15 Assets Curre

150、nt assets Cash and cash equivalents 7 17,784,637 3,681,525 Trade and other receivables 8 1,612,126 340,301 Loans receivable 9 1,200,000 16,022,782 Other 10 2,198,507 397,333 Total current assets 22,795,270 20,441,941 Non-current assets Property,plant and equipment 11 5,034,022 2,751,401 Exploration

151、and evaluation 12-5,894,592 Mining properties 13 55,570,567-Right-of-use assets 14 2,880,682-Loan receivable 9 8,185,150-Other 16 7,996,993 8,998,233 Total non-current assets 79,667,414 17,644,226 Total assets 102,462,684 38,086,167 Liabilities Current liabilities Trade and other payables 17 13,792,

152、181 4,497,454 Lease liabilities 24 514,231-Total current liabilities 14,306,412 4,497,454 Non-current liabilities Provisions 18 16,922,800 20,041,000 Lease liabilities 24 2,395,278-Borrowings 20 50,020,181-Total non-current liabilities 69,338,259 20,041,000 Total liabilities 83,644,671 24,538,454 Ne

153、t assets 18,818,013 13,547,713 Equity Issued capital 19 172,655,173 154,753,974 Accumulated deficits (153,837,160)(141,206,261)Total equity 18,818,013 13,547,713 Australian Pacific Coal Limited Statement of changes in equity For the year ended 30 June 2024 The above statement of changes in equity sh

154、ould be read in conjunction with the accompanying notes 16 Issued capital Reserves Retained profits Total equity Consolidated$Balance at 1 July 2022 60,487,791 413,750(128,688,628)(67,787,087)Loss after income tax expense for the half-year-(12,517,633)(12,517,633)Other comprehensive income for the h

155、alf-year,net of tax-Total comprehensive income for the half-year-(12,517,633)(12,517,633)Transactions with owners in their capacity as owners:Share based payments-Contributions of equity,net of transaction costs 93,852,433-93,852,433 Contributions of equity,transfers from reserves 413,750(413,750)-B

156、alance at 30 June 2023 154,753,974 -(141,206,261)13,547,713 Issued capital Reserves Retained profits Total equity Consolidated$Balance at 1 July 2023 154,753,974 -(141,206,261)13,547,713 Loss after income tax expense for the year-(12,630,899)(12,630,899)Other comprehensive income for the year,net of

157、 tax-Total comprehensive income for the year-(12,630,899)(12,630,899)Transactions with owners in their capacity as owners:Contributions of equity,net of transaction costs 17,901,199-17,901,199 Contributions of equity,transfers from reserves-Balance at 30 June 2024 172,655,173-(153,837,160)18,818,013

158、 Australian Pacific Coal Limited Statement of cash flows For the year ended 30 June 2024 Consolidated Note 2024 2023*$The above statement of cash flows should be read in conjunction with the accompanying notes 17 Cash flows from operating activities Payments to suppliers and employees (24,582,113)(5

159、,920,500)Net interest(paid)/received (3,428,240)40,009 Net cash from operating activities 31a(28,010,353)(5,880,491)Cash flows from investing activities Payments for property,plant and equipment (1,678,491)(109,150)Payments for mining properties (32,018,591)-(Payments for)/Refund of security bond/de

160、posits (1,784,316)500 Payments for exploration and evaluation -(174,422)Loan advances (2,982,901)(13,845,903)Net cash used in investing activities (38,464,299)(14,128,975)Cash flows from financing activities Contributions of equity,net of transaction costs 16,026,202 23,352,433 Proceeds from borrowi

161、ngs 64,648,238-Lease payments (96,676)-Net cash used in financing activities 31b 80,577,764 23,352,433 Net increase/(decrease)in cash and cash equivalents 14,103,112 3,342,967 Cash and cash equivalents at the beginning of the financial year 3,681,525 338,558 Cash and cash equivalents at the end of t

162、he financial year 7 17,784,637 3,681,525 *The comparative information for 2023 is reclassified into new categories where appropriate to align with 2024 disclosures to reflect the Groups nature of business under joint operation.Australian Pacific Coal Limited Notes to the financial statements 30 June

163、 2024 18 Note 1.Material accounting policies The principal accounting policies adopted in the preparation of the financial statements are set out below.These policies have been consistently applied to all the years presented,unless otherwise stated.New or amended Accounting Standards and Interpretat

164、ions adopted The Group has adopted all of the new or amended Accounting Standards and Interpretations issued by the Australian Accounting Standards Board(AASB)that are mandatory for the current reporting period.Basis of preparation These general purpose consolidated financial statements have been pr

165、epared in accordance with Australian Accounting Standards and Interpretations issued by the Australian Accounting Standards Board(AASB)and the Corporations Act 2001,as appropriate for for-profit entities.These consolidated financial statements also comply with International Financial Reporting Stand

166、ards(IFRS)as issued by the International Accounting Standards Board(IASB).Historical cost convention The consolidated financial statements have been prepared under the historical cost convention,except for,where applicable,the revaluation of available-for-sale financial assets,financial assets and l

167、iabilities at fair value through profit or loss,investment properties,certain classes of property,plant and equipment and derivative financial instruments.Critical accounting estimates The preparation of the consolidated financial statements requires the use of certain critical accounting estimates.

168、It also requires management to exercise its judgement in the process of applying the Groups 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 disclosed in note 2.Going Concern Th

169、e Group has incurred a net loss of$12,630,899 for the year ended 30 June 2024.These consolidated financial statements have been prepared on a going concern basis as the Directors consider that the Company and the Group will be able to realise its assets and settle its liabilities in the normal cours

170、e of business and at amounts stated in the consolidated financial statements.The continuation of the Company and the Group as a going concern is dependent on their ability to achieve the following objectives:Capital raisings or borrowings to support existing or new opportunities.Successfully develop

171、ment,exploitation or advancement of the Dartbrook operation.Realisation of surplus assets.Should the above not generate the expected cash flows,the Company and the Group may not be able to pay its debts as and when they become due and payable and it may be required to realise assets and extinguish l

172、iabilities other than in the ordinary course of business and at amounts different from those stated in the consolidated financial statements.These consolidated financial statements do not include any adjustments relating to the recoverability and classification of recorded asset amounts and classifi

173、cation of liabilities that might be necessary should the Company and the Group not continue as going concerns.Parent entity information In accordance with the Corporations Act 2001,these consolidated financial statements present the results of the Group only.Supplementary information about the paren

174、t entity is disclosed in Note 28.Principles of consolidation The consolidated financial statements incorporate the assets and liabilities of all subsidiaries of Australian Pacific Coal Limited(Company or parent entity)as at 30 June 2024 and the results of all subsidiaries for the year then ended.Aus

175、tralian Pacific Coal Limited and its subsidiaries together are referred to in these consolidated financial statements as the Group.Subsidiaries Subsidiaries are all those entities over which the Group has control.The Group controls an entity when the Group is exposed to,or has rights to,variable ret

176、urns from its involvement with the entity and has the ability to affect those returns through its power to direct the activities of the entity.Subsidiaries are fully consolidated from the date on which control is transferred to the Group.They are de-consolidated from the date that control ceases.Aus

177、tralian Pacific Coal Limited Notes to the financial statements 30 June 2024 Note 1.Material accounting policies(continued)19 Intercompany transactions,balances and unrealised gains on transactions between entities in the Group are eliminated.Unrealised losses are also eliminated unless the transacti

178、on provides evidence of the impairment of the asset transferred.Accounting policies of subsidiaries have been updated where necessary to ensure consistency with the policies adopted by the Group.The acquisition of subsidiaries is accounted for using the acquisition method of accounting.A change in o

179、wnership interest,without the loss of control,is accounted for as an equity transaction,where the difference between the consideration transferred and the book value of the share of the non-controlling interest acquired is recognised directly in equity attributable to the parent.Non-controlling inte

180、rest in the results and equity of subsidiaries are shown separately in the statement of profit or loss and other comprehensive income,statement of financial position and statement of changes in equity of the Group.Losses incurred by the Group are attributed to the non-controlling interest in full,ev

181、en if that results in a deficit balance.Where the Group loses control over a subsidiary,it derecognises the assets including goodwill,liabilities and non-controlling interest in the subsidiary together with any cumulative translation differences recognised in equity.The Group recognises the fair val

182、ue of the consideration received and the fair value of any investment retained together with any gain or loss in profit or loss.Joint arrangements A joint arrangement is an arrangement over which the Group and one or more third parties have joint control.These joint arrangements are in turn classifi

183、ed as:Joint ventures whereby the Group has rights to the net assets of the arrangements,rather than rights to its assets and obligations for its liabilities;and Joint operations whereby the Group has rights to the assets and obligations for the liabilities relating to the arrangement.Interest in joi

184、nt ventures(joint operation)The Groups interests in jointly controlled assets are accounted for by recognising its proportionate share in assets and liabilities from joint ventures,except where as operator the Group takes on the role as independent contractor.In these instances,receivables and payab

185、les relating to jointly controlled operations brought to account on a gross basis.Joint venture expenses and the Groups entitlement to production are recognised on a pro rata basis according to the Groups interest.Operating segments Operating segments are presented using the management approach,wher

186、e the information presented is on the same basis as the internal reports provided to the Chief Operating Decision Makers(CODM).The CODM is responsible for the allocation of resources to operating segments and assessing their performance.Foreign currency translation The financial statements are prese

187、nted in Australian dollars,which is Australian Pacific Coal Limiteds functional and presentation currency.Foreign currency transactions Foreign currency transactions are translated into Australian dollars using the exchange rates prevailing at the dates of the transactions.Foreign exchange gains and

188、 losses resulting from the settlement of such transactions and from the translation at financial year-end exchange rates of monetary assets and liabilities denominated in foreign currencies are recognised in profit or loss.Foreign operations The assets and liabilities of foreign operations are trans

189、lated into Australian dollars using the exchange rates at the reporting date.The revenues and expenses of foreign operations are translated into Australian dollars using the average exchange rates,which approximate the rates at the dates of the transactions,for the period.All resulting foreign excha

190、nge differences are recognised in other comprehensive income through the foreign currency reserve in equity.The foreign currency reserve is recognised in profit or loss when the foreign operation or net investment is disposed of.Australian Pacific Coal Limited Notes to the financial statements 30 Ju

191、ne 2024 Note 1.Material accounting policies(continued)20 Revenue recognition The Group has applied AASB 15:Revenue from Contracts with Customers.The major components of revenue are recognised as follows:Interest Interest revenue is recognised as interest accrues using the effective interest method.T

192、his is a method of calculating the amortised cost of a financial asset and allocating the interest income over the relevant period using the effective interest rate,which is the rate that exactly discounts estimated future cash receipts through the expected life of the financial asset to the net car

193、rying amount of the financial asset.Other revenue Other revenue is recognised when it is received or when the right to receive payment is established.Income tax The income tax expense or benefit for the period is the tax payable on that periods taxable income based on the applicable income tax rate

194、for each jurisdiction,adjusted by the changes in deferred tax assets and liabilities attributable to temporary differences,unused tax losses and the adjustment recognised for prior periods,where applicable.Deferred tax assets and liabilities are recognised for temporary differences at the tax rates

195、expected to be applied when the assets are recovered or liabilities are settled,based on those tax rates that are enacted or substantively enacted,except for:When the deferred income tax asset or liability arises from the initial recognition of goodwill or an asset or liability in atransaction that

196、is not a business combination and that,at the time of the transaction,affects neither the accounting nor taxable profits;or When the taxable temporary difference is associated with interests in subsidiaries,associates or joint ventures,and the timing of the reversal can be controlled and it is proba

197、ble that the temporary difference will not reverse in the foreseeablefuture.Deferred tax assets are recognised for deductible temporary differences and unused tax losses only if it is probable that future taxable amounts will be available to utilise those temporary differences and losses.The carryin

198、g amount of recognised and unrecognised deferred tax assets are reviewed at each reporting date.Deferred tax assets recognised are reduced to the extent that it is no longer probable that future taxable profits will be available for the carrying amount to be recovered.Previously unrecognised deferre

199、d tax assets are recognised to the extent that it is probable that there are future taxable profits available to recover the asset.Deferred tax assets and liabilities are offset only where there is a legally enforceable right to offset current tax assets against current tax liabilities and deferred

200、tax assets against deferred tax liabilities;and they relate to the same taxable authority on either the same taxable entity or different taxable entities which intend to settle simultaneously.Australian Pacific Coal Limited(the head entity)and its wholly-owned Australian subsidiaries have formed an

201、income tax consolidated group under the tax consolidation regime.The head entity and each subsidiary in the tax consolidated group continue to account for their own current and deferred tax amounts.The tax consolidated group has applied the separate taxpayer within group approach in determining the

202、appropriate amount of taxes to allocate to members of the tax consolidated group.In addition to its own current and deferred tax amounts,the head entity also recognises the current tax liabilities(or assets)and the deferred tax assets arising from unused tax losses and unused tax credits assumed fro

203、m each subsidiary in the tax consolidated group.Assets or liabilities arising under tax funding agreements with the tax consolidated entities are recognised as amounts receivable from or payable to other entities in the tax consolidated group.The tax funding arrangement ensures that the intercompany

204、 charge equals the current tax liability or benefit of each tax consolidated group member,resulting in neither a contribution by the head entity to the subsidiaries nor a distribution by the subsidiaries to the head entity.Current and non-current classification Assets and liabilities are presented i

205、n the statement of financial position based on current and non-current classification.Australian Pacific Coal Limited Notes to the financial statements 30 June 2024 Note 1.Material accounting policies(continued)21 An asset is classified as current when:it is either expected to be realised or intende

206、d to be sold or consumed in the Groups normal operating cycle;it is held primarily for the purpose of trading;it is expected to be realised within 12 months after the reporting period;or the asset is cash or cash equivalent unless restricted from being exchanged or used to settle a liability for at

207、least 12 months after the reporting period.All other assets are classified as non-current.A liability is classified as current when:it is either expected to be settled in the Groups normal operating cycle;it is held primarily for the purpose of trading;it is due to be settled within 12 months after

208、the reporting period;or there is no unconditional right to defer the settlement of the liability for at least 12 months after the reporting period.All other liabilities are classified as non-current.Deferred tax assets and liabilities are always classified as non-current.Cash and cash equivalents Ca

209、sh and cash equivalents include cash on hand,deposits held at call with financial institutions,other short-term,highly liquid investments with original maturities of three months or less that are readily convertible to known amounts of cash and which are subject to an insignificant risk of changes i

210、n value.For the statement of cash flows presentation purposes,cash and cash equivalents also includes bank overdrafts,which are shown within borrowings in current liabilities on the statement of financial position.Trade and other receivables Trade receivables are initially recognised at fair value a

211、nd subsequently measured at amortised cost using the effective interest method,less any provision for impairment.Trade receivables are generally due for settlement within 30 days.Collectability of trade receivables is reviewed on an ongoing basis.Debts which are known to be uncollectable are written

212、 off by reducing the carrying amount directly.A provision for impairment of trade receivables is raised when there is objective evidence that the Group will not be able to collect all amounts due according to the original terms of the receivables.The amount of the impairment allowance is the differe

213、nce between the assets carrying amount and the present value of estimated future cash flows,discounted at the original effective interest rate.Cash flows relating to short-term receivables are not discounted if the effect of discounting is immaterial.The Group applies the simplified approach permitt

214、ed by AASB 9 Financial Instruments,which requires expected lifetime losses to be recognised from initial recognition of the receivables.Inventories Inventories are stated at the lower of cost and net realisable value on a first in first out basis.Cost comprises direct materials and delivery costs,di

215、rect labour,import duties and other taxes,an appropriate proportion of variable and fixed overhead expenditure based on normal operating capacity,and,where applicable,transfers from cash flow hedging reserves in equity.Costs of purchased inventory are determined after deducting rebates and discounts

216、 received or receivable.Cost is determined on the following basis:(a)Ore and other metals on hand is valued on an average total production cost method(b)Ore stockpiles are valued at the average cost of mining and stockpiling the ore,including haulage (c)A proportion of related depreciation and amort

217、isation charge is included in the cost of inventory Stock in transit is stated at the lower of cost and net realisable value.Cost comprises of purchase and delivery costs,net of rebates and discounts received or receivable.Net realisable value is the estimated selling price in the ordinary course of

218、 business less the estimated costs of completion and the estimated costs necessary to make the sale.Property,plant and equipment Land and buildings are shown at historical cost.On any revaluation,accumulated depreciation at the date of revaluation is eliminated against the gross carrying amount of t

219、he asset and the net amount is restated to the revalued amount of the asset.Increases in the carrying amounts arising on revaluation of land and buildings are credited in other comprehensive income through to the revaluation surplus reserve in equity.Any revaluation decrements are initially taken in

220、 other comprehensive income through to the revaluation surplus reserve to the extent of any previous revaluation surplus of the same asset.Thereafter the decrements are taken to profit or loss.Australian Pacific Coal Limited Notes to the financial statements 30 June 2024 Note 1.Material accounting p

221、olicies(continued)22 Plant and equipment is stated at historical cost less accumulated depreciation and impairment.Historical cost includes expenditure that is directly attributable to the acquisition of the items.Depreciation is calculated on a straight-line basis to write off the net cost of each

222、item of property,plant and equipment(excluding land)over their expected useful lives as follows:Buildings 2 10 years Leasehold improvements 40 years Plant and equipment 1-10 years Land is not depreciated.The residual values,useful lives and depreciation methods are reviewed,and adjusted if appropria

223、te,at each reporting date.An item of property,plant and equipment is derecognised upon disposal or when there is no future economic benefit to the Group.Gains and losses between the carrying amount and the disposal proceeds are taken to profit or loss.Any revaluation surplus reserve relating to the

224、item disposed of is transferred directly to retained profits.Exploration and evaluation assets Exploration and evaluation expenditure in relation to separate areas of interest for which rights of tenure are current is carried forward as an asset in the statement of financial position where it is exp

225、ected that the expenditure will be recovered through the successful development and exploitation of an area of interest,or by its sale;or exploration activities are continuing in an area and activities have not reached a stage which permits a reasonable estimate of the existence or otherwise of econ

226、omically recoverable reserves.Where a project or an area of interest has been abandoned,the expenditure incurred thereon is written off in the year in which the decision is made.Mining properties Capitalised mining development costs include expenditures incurred to develop new ore bodies to define f

227、urther mineralisation in existing ore bodies,to expand the capacity of a mine and to maintain production.Mining development also includes costs transferred from exploration and evaluation phase once development of commercial production is approved.Mining development is amortised on a units of produc

228、tion basis over the estimated proved and probable reserves,resulting in an amortisation charge proportional to the depletion of the anticipated remaining life of mine production.Proved and probable mineral reserves reflect estimated quantities of economically recoverable reserves which can be recove

229、red in the future from known mineral deposits.Changes in the annual amortisation rate resulting from changes in the remaining estimated reserves,are applied on a prospective basis Intangible assets Intangible assets acquired as part of a business combination,other than goodwill,are initially measure

230、d at their fair value at the date of the acquisition.Intangible assets acquired separately are initially recognised at cost.Indefinite life intangible assets are not amortised and are subsequently measured at cost less any impairment.Finite life intangible assets are subsequently measured at cost le

231、ss amortisation and any impairment.The gains or losses recognised in profit or loss arising from the derecognition of intangible assets are measured as the difference between net disposal proceeds and the carrying amount of the intangible asset.The method and useful lives of finite life intangible a

232、ssets are reviewed annually.Changes in the expected pattern of consumption or useful life are accounted for prospectively by changing the amortisation method or period.Australian Pacific Coal Limited Notes to the financial statements 30 June 2024 Note 1.Material accounting policies(continued)23 Leas

233、es The Group has lease contracts for various items of property,plant and equipment used within its operations and office premises.The Group recognises right-of-use assets at the commencement date of the lease(i.e.the date the underlying asset is available for use).Right-of-use assets are measured at

234、 cost,less any accumulated depreciation and impairment losses,and adjusted for any remeasurement of lease liabilities.The cost of right-of-use assets includes the amount of lease liabilities recognised,initial direct costs incurred,and lease payments made at or before the commencement date less any

235、lease incentives received.Unless the Group is reasonably certain to obtain ownership of the leased asset at the end of the lease term,the recognised right-of-use assets are depreciated on a straight-line basis over the shorter of its estimated useful life and the lease term.Right-of-use assets are p

236、resented in property,plant and equipment and are subject to impairment assessment.At the commencement date of the lease,the Group recognises lease liabilities measured at the present value of lease payments to be made over the lease term.The lease payments include fixed payments(including in-substan

237、ce fixed payments)less any lease incentives receivable,variable lease payments that depend on an index or a rate,and amounts expected to be paid under residual value guarantees.The lease payments also include the exercise price of a purchase option reasonably certain to be exercised by the Group and

238、 payments of penalties for terminating a lease,if the lease term reflects the Group exercising the option to terminate.The variable lease payments that do not depend on an index or a rate are recognised as expense in the period on which the event or condition that triggers the payment occurs.In calc

239、ulating the present value of lease payments,the Group uses the incremental borrowing rate at the lease commencement date if the interest rate implicit in the lease is not readily determinable.After the commencement date,the amount of lease liabilities is increased to reflect the accretion of interes

240、t and reduced for the lease payments made.In addition,the carrying amount of lease liabilities is remeasured if there is a modification,a change in the lease term,a change in the in-substance fixed lease payments or a change in the assessment to purchase the underlying asset.Lease components are sep

241、arately identified to non-lease components of contracts where applicable.Short-term Leases and Leases of Low-value Assets The Group applies the short-term lease recognition exemption to its short-term leases(i.e.,those leases that have a lease term of 12 months or less from the commencement date and

242、 do not contain a purchase option).It also applies the low-value asset recognition exemption to leases that are considered of low value.Lease payments on short-term leases and leases of low-value assets are recognised as an expense on a straight-line basis over the lease term.During the year,the Gro

243、up incurred short-term lease expenses of$131,200(2023:$32,800).The value of leases of low-value assets was not material.Furthermore,the Groups commitment for short-term leases not provided for in the financial statements at the reporting date was not material.Impairment of non-financial assets Non-f

244、inancial assets are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount may not be recoverable.An impairment loss is recognised for the amount by which the assets carrying amount exceeds its recoverable amount.Recoverable amount is the higher of an a

245、ssets fair value less costs of disposal and value-in-use.The value-in-use is the present value of the estimated future cash flows relating to the asset using a pre-tax discount rate specific to the asset or cash-generating unit to which the asset belongs.Assets that do not have independent cash flow

246、s are grouped together to form a cash-generating unit.Trade and other payables These amounts represent liabilities for goods and services provided to the Group prior to the end of the financial year and which are unpaid.They are recognised initially at fair value,and their carrying amount generally

247、approximates to fair value due to their short-term nature.The amounts are unsecured and are usually settled within 30 days of recognition.Where settlement is not due in short term and where the effect is material,they are measured at amortised cost using the effective interest method.Borrowings Loan

248、s and borrowings are initially recognised at the fair value of the consideration received,net of transaction costs.They are subsequently measured at amortised cost using the effective interest method.The component of the convertible notes that exhibits characteristics of a liability is recognised as

249、 a liability in the statement of financial position,net of transaction costs.Australian Pacific Coal Limited Notes to the financial statements 30 June 2024 Note 1.Material accounting policies(continued)24 On the issue of the convertible notes the fair value of the liability component is determined u

250、sing a market rate for an equivalent non-convertible bond and this amount is carried as a non-current liability on the amortised cost basis until extinguished on conversion or redemption.The increase in the liability due to the passage of time is recognised as a finance cost.The remainder of the pro

251、ceeds are allocated to the conversion option that is recognised and included in shareholders equity as a convertible note reserve,net of transaction costs.The carrying amount of the conversion option is not remeasured in the subsequent years.The corresponding interest on convertible notes is expense

252、d to profit or loss.Finance costs Finance costs attributable to qualifying assets are capitalised as part of the asset.All other finance costs are expensed in the period in which they are incurred.Provisions Provisions are recognised when the Group has a present(legal or constructive)obligation as a

253、 result of a past event,it is probable the Group will be required to settle the obligation,and a reliable estimate can be made of the amount of the obligation.The amount recognised as a provision is the best estimate of the consideration required to settle the present obligation at the reporting dat

254、e,taking into account the risks and uncertainties surrounding the obligation.If the time value of money is material,provisions are discounted using a current pre-tax rate specific to the liability.Rehabilitation costs include the dismantling and removal of mining plant,equipment and building structu

255、res,waste removal and rehabilitation of the site in accordance with the requirements of the mining permits and expectations from communities.Such costs are determined using estimates of future costs,current legal requirements and technology.Rehabilitation costs are recognised in full at present valu

256、e as a non-current liability.An equivalent amount is capitalised as part of the cost of the asset when an obligation arises to decommission or restore a site to a certain condition after abandonment as a result of bringing the assets to its present location.The capitalised cost is amortised on a uni

257、ts of production basis and the provision is accreted periodically as the discounting of the liability unwinds.The unwinding of the discount is recorded as a finance cost.Any changes in the estimates for the costs or other assumptions against the cost of relevant assets are accounted for on a prospec

258、tive basis.In determining the costs of site restoration there is uncertainty regarding the nature and extent of the restoration due to community expectations and future legislation.Employee benefits Short-term employee benefits Liabilities for wages and salaries,including non-monetary benefits,annua

259、l leave and long service leave expected to be settled wholly within 12 months of the reporting date are measured at the amounts expected to be paid when the liabilities are settled.Other long-term employee benefits The liability for annual leave and long service leave not expected to be settled with

260、in 12 months of the reporting date are measured at the present value of expected future payments to be made in respect of services provided by employees up to the reporting date using the projected unit credit method.Consideration is given to expected future wage and salary levels,experience of empl

261、oyee departures and periods of service.Expected future payments are discounted using market yields at the reporting date on corporate bonds with terms to maturity and currency that match,as closely as possible,the estimated future cash outflows.Defined contribution superannuation expense Contributio

262、ns to defined contribution superannuation plans are expensed in the period in which they are incurred.Share-based payments Equity-settled and cash-settled share-based compensation benefits are provided to employees.Equity-settled transactions are awards of shares,or options over shares,that are prov

263、ided to employees in exchange for the rendering of services.Cash-settled transactions are awards of cash for the exchange of services,where the amount of cash is determined by reference to the share price.Australian Pacific Coal Limited Notes to the financial statements 30 June 2024 Note 1.Material

264、accounting policies(continued)25 The cost of equity-settled transactions is measured at fair value on grant date.Fair value is independently determined using either the Binomial or Black-Scholes option pricing model that takes into account the exercise price,the term of the option,the impact of dilu

265、tion,the share price at grant date and expected price volatility of the underlying share,the expected dividend yield and the risk free interest rate for the term of the option,together with non-vesting conditions that do not determine whether the Group receives the services that entitle the employee

266、s to receive payment.No account is taken of any other vesting conditions.The cost of equity-settled transactions is recognised as an expense with a corresponding increase in equity over the vesting period.The cumulative charge to profit or loss is calculated based on the grant date fair value of the

267、 award,the best estimate of the number of awards that are likely to vest and the expired portion of the vesting period.The amount recognised in profit or loss for the period is the cumulative amount calculated at each reporting date less amounts already recognised in previous periods.The cost of cas

268、h-settled transactions is initially,and at each reporting date until vested,determined by applying either the Binomial or Black-Scholes option pricing model,taking into consideration the terms and conditions on which the award was granted.The cumulative charge to profit or loss until settlement of t

269、he liability is calculated as follows:during the vesting period,the liability at each reporting date is the fair value of the award at that date multiplied by theexpired portion of the vesting period.from the end of the vesting period until settlement of the award,the liability is the full fair valu

270、e of the liability at the reporting date.All changes in the liability are recognised in profit or loss.The ultimate cost of cash-settled transactions is the cash paid to settle the liability.Market conditions are taken into consideration in determining fair value.Therefore any awards subject to mark

271、et conditions are considered to vest irrespective of whether that market condition has been met,provided all other conditions are satisfied.If equity-settled awards are modified,as a minimum an expense is recognised as if the modification has not been made.An additional expense is recognised,over th

272、e remaining vesting period,for any modification that increases the total fair value of the share-based compensation benefit as at the date of modification.If the non-vesting condition is within the control of the Group or employee,the failure to satisfy the condition is treated as a cancellation.If

273、the condition is not within the control of the Group or employee and is not satisfied during the vesting period,any remaining expense for the award is recognised over the remaining vesting period,unless the award is forfeited.If equity-settled awards are cancelled,it is treated as if it has vested o

274、n the date of cancellation,and any remaining expense is recognised immediately.If a new replacement award is substituted for the cancelled award,the cancelled and new award is treated as if they were a modification.Fair value measurement When an asset or liability,financial or non-financial,is measu

275、red at fair value for recognition or disclosure purposes,the fair value is based on the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date;and assumes that the transaction will take place either:

276、in the principal market;or in the absence of a principal market,in the most advantageous market.Fair value is measured using the assumptions that market participants would use when pricing the asset or liability,assuming they act in their economic best interests.For non-financial assets,the fair val

277、ue measurement is based on its highest and best use.Valuation techniques that are appropriate in the circumstances and for which sufficient data are available to measure fair value,are used,maximising the use of relevant observable inputs and minimising the use of unobservable inputs.Assets and liab

278、ilities measured at fair value are classified,into three levels,using a fair value hierarchy that reflects the significance of the inputs used in making the measurements.Classifications are reviewed at each reporting date and transfers between levels are determined based on a reassessment of the low

279、est level of input that is significant to the fair value measurement.Australian Pacific Coal Limited Notes to the financial statements 30 June 2024 Note 1.Material accounting policies(continued)26 For recurring and non-recurring fair value measurements,external valuers may be used when internal expe

280、rtise is either not available or when the valuation is deemed to be significant.External valuers are selected based on market knowledge and reputation.Where there is a significant change in fair value of an asset or liability from one period to another,an analysis is undertaken,which includes a veri

281、fication of the major inputs applied in the latest valuation and a comparison,where applicable,with external sources of data.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

282、 tax,from the proceeds.Dividends Dividends are recognised when declared during the financial year and no longer at the discretion of the Company.Business combinations The acquisition method of accounting is used to account for business combinations regardless of whether equity instruments or other a

283、ssets are acquired.The consideration transferred is the sum of the acquisition-date fair values of the assets transferred,equity instruments issued or liabilities incurred by the acquirer to former owners of the acquiree and the amount of any non-controlling interest in the acquiree.For each busines

284、s combination,the non-controlling interest in the acquiree is measured at either fair value or at the proportionate share of the acquirees identifiable net assets.All acquisition costs are expensed as incurred to profit or loss.On the acquisition of a business,the Group assesses the financial assets

285、 acquired and liabilities assumed for appropriate classification and designation in accordance with the contractual terms,economic conditions,the Groups operating or accounting policies and other pertinent conditions in existence at the acquisition-date.Where the business combination is achieved in

286、stages,the Group remeasures its previously held equity interest in the acquiree at the acquisition-date fair value and the difference between the fair value and the previous carrying amount is recognised in profit or loss.Contingent consideration to be transferred by the acquirer is recognised at th

287、e acquisition-date fair value.Subsequent changes in the fair value of the contingent consideration classified as an asset or liability is recognised in profit or loss.Contingent consideration classified as equity is not remeasured and its subsequent settlement is accounted for within equity.The diff

288、erence between the acquisition-date fair value of assets acquired,liabilities assumed and any non-controlling interest in the acquiree and the fair value of the consideration transferred and the fair value of any pre-existing investment in the acquiree is recognised as goodwill.If the consideration

289、transferred and the pre-existing fair value is less than the fair value of the identifiable net assets acquired,being a bargain purchase to the acquirer,the difference is recognised as a gain directly in profit or loss by the acquirer on the acquisition-date,but only after a reassessment of the iden

290、tification and measurement of the net assets acquired,the non-controlling interest in the acquiree,if any,the consideration transferred and the acquirers previously held equity interest in the acquirer.Business combinations are initially accounted for on a provisional basis.The acquirer retrospectiv

291、ely adjusts the provisional amounts recognised and also recognises additional assets or liabilities during the measurement period,based on new information obtained about the facts and circumstances that existed at the acquisition-date.The measurement period ends on either the earlier of(i)12 months

292、from the date of the acquisition or(ii)when the acquirer receives all the information possible to determine fair value.Earnings per share Basic earnings per share Basic earnings per share is calculated by dividing the profit attributable to the owners of Australian Pacific Coal Limited,excluding any

293、 costs of servicing equity other than ordinary shares,by the weighted average number of ordinary shares outstanding during the financial year,adjusted for bonus elements in ordinary shares issued during the financial year.Australian Pacific Coal Limited Notes to the financial statements 30 June 2024

294、 Note 1.Material accounting policies(continued)27 Diluted earnings per share Diluted earnings per share adjusts the figures used in the determination of basic earnings per share to take into account the after income tax effect of interest and other financing costs associated with dilutive potential

295、ordinary shares and the weighted average number of shares assumed to have been issued for no consideration in relation to dilutive potential ordinary shares.Goods and Services Tax(GST)and other similar taxes Revenues,expenses and assets are recognised net of the amount of associated GST,unless the G

296、ST incurred is not recoverable from the tax authority.In this case it is recognised as part of the cost of the 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

297、 to,the tax authority is included in other receivables or other 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 tax authority,are pre

298、sented as operating cash flows.Commitments and contingencies are disclosed net of the amount of GST recoverable from,or payable to,the tax authority.Rounding of amounts The Company is of a kind referred to in Corporations Instrument 2016/191,issued by the Australian Securities and Investments Commis

299、sion,relating to rounding-off.Amounts in this report have been rounded off in accordance with that Corporations Instrument to the nearest dollar.New or amended Accounting Standards and Interpretations adopted The Group has adopted all of the new or amended Accounting Standards and Interpretations is

300、sued by the Australian Accounting Standards Board(AASB)that are mandatory for the current reporting period.The application of the new and revised Standards and amendments did not have a material impact on the Groups consolidated financial statements.New and Amended Standards and Interpretations for

301、Future Periods Australian Accounting Standards and Interpretations that have recently been issued or amended but are not yet mandatory,have not been early adopted by the Group for the annual reporting period ended 30 June 2024.The Group has not yet assessed the impact of these new or amended Account

302、ing Standards and Interpretations.Note 2.Critical accounting judgements,estimates and assumptions The preparation of the consolidated financial statements requires management to make judgements,estimates and assumptions that affect the reported amounts in these consolidated financial statements.Mana

303、gement continually evaluates its judgements and estimates in relation to assets,liabilities,contingent liabilities,revenue and expenses.Management bases its judgements,estimates and assumptions on historical experience and on other various factors,including expectations of future events,management b

304、elieves to be reasonable under the circumstances.The resulting accounting judgements and estimates will seldom equal the related actual results.The judgements,estimates and assumptions that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities(ref

305、er to the respective notes)within the next financial year are discussed below.Share-based payment transactions The Group measures the cost of equity-settled transactions with employees by reference to the fair value of the equity instruments at the date at which they are granted.The fair value is de

306、termined by using either the Binomial or Black-Scholes model taking into account the terms and conditions upon which the instruments were granted.The accounting estimates and assumptions relating to equity-settled share-based payments would have no impact on the carrying amounts of assets and liabil

307、ities within the next annual reporting period but may impact profit or loss and equity.Australian Pacific Coal Limited Notes to the financial statements 30 June 2024 Note 2.Critical accounting judgements,estimates and assumptions(continued)28 Provision for impairment of receivables A simplified appr

308、oach is adopted in relation to trade receivables,as the loss allowance is measured at lifetime expected credit loss.Allowance for expected credit losses The allowance for expected credit losses assessment requires a degree of estimation and judgement.It is based on the lifetime expected credit loss,

309、grouped based on days overdue,and makes assumptions to allocate an overall expected credit loss rate for each group.These assumptions include recent sales experience,historical collection rates and forward-looking information that is available.The allowance for expected credit losses,as disclosed in

310、 note 8,is calculated based on the information available at the time of preparation.The actual credit losses in future years may be higher or lower.Provision for impairment of inventories The provision for impairment of inventories assessment requires a degree of estimation and judgement.Costs incur

311、red in or benefits of the productive process are accumulated as stockpiles,copper and other metals in process,ore on leach pads and product inventory.Net realisable value tests are performed at least annually and represent the estimated future sales price of the product based on prevailing metal pri

312、ces,less estimated costs to complete production and bring the product to sale.Stockpiles are measured by estimating the number of tonnes added and removed from the stockpile,the number contained metal ounces based on assay data,and the estimated recovery percentage based on the expected processing m

313、ethod.Stockpile tonnages are verified by periodic surveys.Although the quantity of recoverable metal is reconciled by comparing the grades of the ore to the quantities of metals actually recovered(metallurgical balancing),the nature of the process inherently limits the ability to precisely monitor r

314、ecoverability levels.As a result,the metallurgical balancing process is constantly monitored and the engineering estimates are refined based on actual results over time.Fair value measurement hierarchy The Group is required to classify all assets and liabilities,measured at fair value,using a three

315、level hierarchy,based on the lowest level of input that is significant to the entire fair value measurement,being:Level 1:Quoted prices(unadjusted)in active markets for identical assets or liabilities that the entity can access at the measurement date;Level 2:Inputs other than quoted prices included

316、 within Level 1 that are observable for the asset or liability,either directly or indirectly;and Level 3:Unobservable inputs for the asset or liability.Considerable judgement is required to determine what is significant to fair value and therefore which category the asset or liability is placed in c

317、an be subjective.The fair value of assets and liabilities classified as level 3 is determined by the use of valuation models.These include discounted cash flow analysis or the use of observable inputs that require significant adjustments based on unobservable inputs.Estimation of useful lives of ass

318、ets The Group determines the estimated useful lives and related depreciation and amortisation charges for its property,plant and equipment and finite life intangible assets.The useful lives could change significantly as a result of technical innovations or some other event.The depreciation and amort

319、isation charge will increase where the useful lives are less than previously estimated lives,or technically obsolete or non-strategic assets that have been abandoned or sold will be written off or written down.Australian Pacific Coal Limited Notes to the financial statements 30 June 2024 Note 2.Crit

320、ical accounting judgements,estimates and assumptions(continued)29 Impairment of non-financial assets other than goodwill and other indefinite life intangible assets The Group assesses impairment of non-financial assets other than goodwill and other indefinite life intangible assets at each reporting

321、 date by evaluating conditions specific to the Group and to the particular asset that may lead to impairment.If an impairment trigger exists,the recoverable amount of the asset is determined.This involves fair value less costs of disposal or value-in-use calculations,which incorporate a number of ke

322、y estimates and assumptions.It is reasonably possible that the underlying metal price assumption may change which may then impact the estimated life of mine determinant and may then require a material adjustment to the carrying value of mining assets.Furthermore,the expected future cash flows used t

323、o determine the value-in-use of these assets are inherently uncertain and could materially change over time.They are significantly affected by a number of factors including reserves and production estimates,together with economic factors such as metal spot prices,discount rates,estimates of costs to

324、 produce reserves and future capital expenditure.Business combinations The acquisition method is used to account for business combinations.The fair value of assets acquired,liabilities and contingent liabilities are measured by the Group taking into consideration all acquisition costs at the reporti

325、ng date.Fair value adjustments on the finalisation of the business combination accounting is retrospective,where applicable,to the period the combination occurred and may have an impact on the assets and liabilities,depreciation and amortisation reported.Income tax The Group is subject to income tax

326、es in the jurisdictions in which it operates.Significant judgement is required in determining the provision for income tax.There are many transactions and calculations undertaken during the ordinary course of business for which the ultimate tax determination is uncertain.The Group recognises liabili

327、ties for anticipated tax audit issues based on the Groups current understanding of the tax law.Where the final tax outcome of these matters is different from the carrying amounts,such differences will impact the current and deferred tax provisions in the period in which such determination is made.Re

328、covery of deferred tax assets Deferred tax assets are recognised for deductible temporary differences only if the Group considers it is probable that future taxable amounts will be available to utilise those temporary differences and losses.Employee benefits provision As discussed in note 1,the liab

329、ility for employee benefits expected to be settled more than 12 months from the reporting date are recognised and measured at the present value of the estimated future cash flows to be made in respect of all employees at the reporting date.In determining the present value of the liability,estimates

330、of attrition rates and pay increases through promotion and inflation have been taken into account.Rehabilitation provision A provision has been made for the present value of anticipated costs for future rehabilitation of land explored or mined.The Groups mining and exploration activities are subject

331、 to various laws and regulations governing the protection of the environment.The Group recognises managements best estimate for assets retirement obligations and site rehabilitations in the period in which they are incurred.Actual costs incurred in the future periods could differ materially from the

332、 estimates.Additionally,future changes to environmental laws and regulations,life of mine estimates and discount rates could affect the carrying amount of this provision.Australian Pacific Coal Limited Notes to the financial statements 30 June 2024 Note 2.Critical accounting judgements,estimates and

333、 assumptions(continued)30 Exploration and evaluation costs Exploration and evaluation costs have been capitalised on the basis that the Group will commence commercial production in the future.Key judgements are applied in considering costs to be capitalised which includes determining expenditures directly related to these activities and allocating overheads between those that are expensed and capi