King Island Scheelite : Half Year Accounts December 2015

Microsoft Word - KIS Half Year Accounts Dec 2015 DRAFT vFINAL King Island Scheelite Limited

ABN 40 004 681 734

Interim Financial Statements

Six Months Ended 31 December 2015 RESULTS FOR ANNOUNCEMENT TO THE MARKET Six months interim period ended 31 December

2015 $	Up / Down	Movement %
Revenue from operating activities	-	-	-
Loss before interest and income tax	983,783	Down	45
Net financing income	4,665	Down	77
Income tax benefit	14,383	Up	100
Loss from ordinary activities after tax attributable to members	964,735	Down	46
Net loss for the period attributable to members	964,735	Down	46
Cents
Loss per share - basic	0.6	Down	50
Loss per share - diluted	0.6	Down	50
Dividends	Amount per security		Franked amount per security at 30%
2016 interim dividend 2015 final dividend paid Record date for determining entitlements to the interim dividend:	- - -		- - -

Brief explanation of any figures reported above or other items of importance not previously reported to the market:

Refer to the Directors' Report included in the interim financial statements for explanations.

Discussion and Analysis of the results for the six months ended 31 December 2015:

Refer to the Directors' Report included in the interim period financial report for commentary.

Net Tangible Assets per ordinary share (NTA Backing)

1.0 cent 1.5 cents Current Period

Previous corresponding

period

RESULTS FOR ANNOUNCEMENT TO THE MARKET (continued)

Details of Associates and Joint Venture Entities

Equity Accounted Associates and Joint Venture Entities

%Ownership Interest as at 31 December

Contribution to Net Loss for the six months ended 31 December

Current Period

Previous Corresponding

Period

Current Period

Previous Corresponding

Period

Balfour Joint Venture

- -- 486 % %A$ A$ Aggregate Share of Profits (Losses) of Associates and Joint Venture Entities

Groups' Share of Associates' and Joint Venture Entities':

Current Period

Previous Corresponding

Period

Profit(Loss) from ordinary activities before tax Income tax on ordinary activities

Profit(Loss) from ordinary activities after tax

Share of net profit(loss) of associates and joint venture entities

-

-

-

-

-

-

-

-

A$ A$ TABLE OF CONTENTS RESULTS FOR ANNOUNCEMENT TO THE MARKET 1 DIRECTORS' REPORT 4 CONSOLIDATED STATEMENT OF PROFIT OR LOSS AND OTHER COMPREHENSIVE INCOME 7 CONSOLIDATED STATEMENT OF CHANGES IN EQUITY 8 CONSOLIDATED STATEMENT OF FINANCIAL POSITION 9 CONSOLIDATED STATEMENT OF CASH FLOWS 10 NOTES TO THE INTERIM FINANCIAL STATEMENTS 11 DIRECTORS' DECLARATION 18 AUDITOR'S INDEPENDENCE DECLARATION 19 INDEPENDENT AUDITOR'S REPORT 20 SHAREHOLDER INFORMATION 22 DIRECTORS' REPORT

The directors of King Island Scheelite Limited (Company) present their report together with the consolidated financial report for the six months ended 31 December 2015 and the review report thereon.

DIRECTORS

The directors of the Company at any time during or since the end of the interim period are:

Johann JOOSTE-JACOBS	(Executive Chairman)	Appointed 30 November 2012
Christopher ELLIS	(Executive Director)	Appointed 8 November 2012
Allan DAVIES REVIEW OF OPERATIONS	(Non-Executive Director)	Appointed 30 September 2013

Key Points

• The Company obtained up to $2,000,000 committed funding through the issue of four $500,000 unsecured redeemable convertible notes (Convertible Notes).

  The Company drew $1,000,000 during December 2015 (Tranche 1) and, if required, the remaining $1,000,000 would be drawn (Tranche 2). Conversion or repayment is at the Company's sole discretion. (18 December 2015)

• Completion of an Updated Reserve Statement (JORC 2012 compliant) (21 September 2015).

• Continued compilation of definitive feasibility study.

• $1,508,517 cash on hand as at 31 December 2015.

  Dolphin Project

  The Company completed a Dolphin Updated Reserve Statement, released to the market on 21 September 2015 and based on previously defined open cut resources.

  The Updated Reserve Statement supports:

• An open cut mine life of 8 years (previously 4-5 years)

• An average strip ratio of 9.7:1 tonne for tonne1(previous strip ratio was 3.1:1 tonne for tonne).

• Probable Reserves of 3.14 million tonnes at 0.73% WO₃(at 0.2% WO₃cut-off), resulting in 22,900 tonnes of WO₃. Previously reported Probable Reserves were 1.90 million tonnes at 0.55% WO₃(at 0.2% WO₃cut-off), resulting in 10,450 tonnes of WO₃.

• Total Indicated Resources for Dolphin remained 9.60 million tonnes at 0.90% WO3(at 0.2% WO₃cut-off),

resulting in 86,400 tonnes of WO3.

Work continued during the period on compiling the new Definitive Feasibility Study.

Previously Released Information

This Directors' Report refers to information extracted from the following reports, which are available for viewing on the Company website www.kingislandscheelite.com.au.

• 24 April 2015 Updated Resource Statement

• 21 September 2015 and 20 October 2015 Updated Reserve Statement

1 One tonne of ore requires mining 9.7 tonnes of waste rock.