29 August 2024
Appendix 4D
Half Year Report for the six months ended 30 June 2024
Reporting Period
The reporting period is for the half year ended 30
June 2024 with the corresponding reporting period being for the six
months ended 30 June 2023.
Results for Announcement to the
Market
|
30 June
|
30 June
Movement
Movement
|
|
2024
$'000
|
2023
$'000
|
$'000
|
%
|
| Revenuesfromordinaryactivities
341,503 |
329,499
|
12,004
|
4 %
|
Earningsbeforeinterest,tax,depreciation
and amortisation
(EBITDA)
116,388 |
101,378
|
15,010
|
15 %
|
| Profit after
income tax
33,401 |
87,679
|
(54,278)
|
(62)%
|
Profit
from ordinary activities after income tax
attributable to
members/net profit for the year
20,947 |
73,842
|
(52,895)
|
(72)%
|
|
|
Resolute Mining Limited ABN
39 097 088 689
Level 17, 2 Esplanade Perth,
Western Australia 6000 T +61 8 9261 6100 E contact@rml.com.au
Directors
Share Registry
Non-Executive Chairman Martin Botha
Computershare Investor Services Pty
Limited Managing Director & CEO Terence Holohan
Level
11, 172 St Georges Terrace
Non-Executive Director Simon
Jackson
Perth, Western Australia 6000
Non-Executive Director
Sabina Shugg
Home
Exchange
Non-Executive Director Adrian
Reynolds
Australian
Securities Exchange Non-Executive Director
Keith Marshall
Level 40, Central Park
Non-Executive Director Adrienne
Parker
152 St Georges Terrace
Non-Executive Director Andrew Wray
Perth, Western Australia 6000
Company Secretaries
Quoted on the
official lists of the
Australian Securities Exchange (ASX) and
London
Tim Whyte
Stock Exchange (LSE)
Sam Wright
ASX/LSE
Ordinary Share
Code: "RSG"
Registered Office
Level 17
Securities on Issue (30/06/2024)
2 Esplanade
Ordinary Shares
2,129,050,013
Perth, Western Australia
6000
Performance Rights
14,926,305
PO Box 7232 Cloisters Square
Auditor
Perth, Western Australia
6850
Ernst &
Young
Telephone: +61 8 9261 6100
Ernst & Young Building
Email: contact@rml.com.au
11
Mounts Bay
Rd
Perth, Western Australia 6000
Australian Business Number
ABN 39 097 088 689
Shareholders wishing to receive copies of Resolute's ASX
announcements by e-mail should register their interest by
contacting the Company at contact@rml.com.au
Website
Resolute Mining Limited maintains a website where
all announcements are available: www.rml.com.au
Table of
Contents
Director's report
4
Auditor's Independence Declaration
7
Consolidated Statement of Comprehensive Income
8 - 9
Consolidated Statement of Financial Position
10 - 11
Consolidated Statement of Changes in Equity
12
Consolidated Cash Flow Statement
13
Notes to the Financial Statements
14 - 18
Director's Declaration
19
Directors' Report
Your directors present their half year report on the
consolidated entity (referred to hereafter as the "Group" or
"Resolute") consisting of Resolute Mining Limited and the entities
it controlled at the end of or during the half year ended 30 June
2024 (H1 2024).
Corporate Information
Resolute Mining Limited ("Resolute" or "the
Company") is a company limited by shares that is incorporated and
domiciled in Australia.
Directors
The names of the Company's directors in office
during the entire half year period and until the date of this
report are set out below. Directors were in office for this entire
period unless otherwise stated.
Martin Botha (Non-Executive Chairman) Terence
Holohan (Managing Director & CEO) Simon Jackson (Non-Executive
Director)
Mark Potts (Non-Executive Director) (until March
2024) Sabina Shugg (Non-Executive Director)
Adrian Reynolds (Non-Executive Director) Keith
Marshall (Non-Executive Director)
Adrienne Parker (Non-Executive Director) (appointed
March 2024) Andrew Wray (Non-Executive Director) (appointed May
2024)
Company Secretaries
Tim Whyte Sam Wright
Operational Highlights
Key highlights for half year ended 30 June 2024
include:
▪ Production (gold poured) for H1 of 167,140 ounces (oz) compared to 176,631oz in H1 2023.
▪ All-In Sustaining Cost (AISC) of $1,442/oz for the first half
of the year ($1,469/oz in H1 2023) due to lower operating cost,
continued efficiency improvements and lower sustaining
capital.
▪ H1 gold sales of 157,321oz at an average realised gold price of $2,170/oz compared
to 173,058oz
at an
average realised gold
price of $1,906/oz in H1 2023.
▪ Cash generation of $73.1 million excluding interest payments,
working capital movements, Ravenswood payment and debt repayment.
▪ Received A$30m (approximately $20m) first tranche cash
payment from restructured Gold Price Contingent Promissory Note
from the sale of the Ravenswood Gold Mine in Q1 2020.
▪ Net cash of $96.6 million (31 December 2023: $14.0
million).
|
Financial
Overview
|
|
|
Profit and Loss Analysis
|
H1
2024
|
H1
2023
|
|
$'000
|
Group
|
Group
|
|
Revenue
|
341,503
|
329,499
|
|
Cost of
sales excluding depreciation and amortisation
|
(193,509)
|
(193,413)
|
|
Royalties
|
(19,639)
|
(18,916)
|
|
Administration and other corporate expenses
|
(6,627)
|
(9,081)
|
|
Exploration expense
|
(5,340)
|
(6,368)
|
|
EBITDA
|
116,388
|
101,721
|
|
Depreciation and amortisation
|
(53,162)
|
(47,459)
|
|
Net
interest and finance costs
|
(3,766)
|
(7,120)
|
|
Inventories net realisable value movements and obsolete consumables
|
14,724
|
8,543
|
|
Fair value movements and treasury
transactions
|
(5,292)
|
29,837
|
|
Other
|
(15,514)
|
(5,721)
|
|
Net
profit before
tax
|
53,377
|
79,801
|
|
Income
tax expense
|
(19,976)
|
7,878
|
|
Net
profit after
tax
|
33,401
|
87,679
|
Financial Performance
Revenue for H1 2024 was $341.5 million, from gold sales of 157,321oz at an average realised price of $2,170/oz. EBITDA was
$116.4 million which is a 14% improvement on the comparative period
driven by higher gold prices realised and lower unit costs.
Resolute reported a Net profit after tax of $33.4 million .
Financial Position
As at 30 June 2024, Resolute had cash of $101.4 million and bullion with a market value of $42.0 million. The Group's net cash was $96.6 million at 30 June 2024
which is an increase of 662% from H1 2023's net debt position of
$17.2 million. Total borrowings as of 30 June 2024 were $47.7 million ( 31 December 2023: $74.1 million) which are from in- Country overdraft
facilities in Mali and Senegal.
Significant Events After Balance
Date
Since the end of the period and to the date of this
report, no matter or circumstance has arisen that has significantly
affected, or may significantly affect, the operations of the Group,
the results of operation or the state of affairs of the
consolidated group in subsequent periods.
Auditor's Independence
Refer to page 7 for a copy of the Auditor's
Independence Declaration to the Directors of Resolute Mining
Limited.
Rounding
Resolute is a company of the kind specified in
Australian Securities and Investments Commission Corporations
(Rounding in Financial Directors' Reports) Instrument 2016/191. In
accordance with that Instrument, amounts in the financial report
and the Directors' Report have been rounded to the nearest thousand
dollars unless specifically stated to be otherwise.
Signed in accordance with a resolution of the
directors.
Terence Holohan
Managing Director & CEO
Perth, Western Australia 29 August
2024
Ernst & Young
11 Mounts
Bay Road
Perth WA 6000 Australia
GPO Box M939 Perth WA 6843
Tel: +61 8 9429 2222
Fax: +61 8
9429 2436
ey.com/au
Auditor's independence declaration to the directors of
Resolute Mining Limited
As lead auditor for the review of the half-year
financial report of Resolute Mining Limited for the half-year ended
30 June 2024, I declare to the best of my knowledge and belief,
there have been:
a.
no contraventions of the auditor independence
requirements of the Corporations Act 2001 in relation to the
review; and
b.
no contraventions of any applicable code of
professional conduct in relation to the review; and
c.
No non-audit services provided that contravene
any applicable code of professional conduct in relation to the
review.
This declaration is in respect of Resolute Mining
Limited and the entities it controlled during the financial
period.
Ernst & Young
Philip Teale Partner
29 August 2024
A member firm of Ernst & Young
Global Limited
Liability limited by a scheme approved under Professional Standards
Legislation
Consolidated Statement of Comprehensive Income
|
|
For the
half year
ended 30
June
|
For the
half year
ended 30
June
|
|
2024
|
2023
|
|
|
Note
|
$'000
|
$'000
|
|
Revenue
from contracts with customers for gold and silver sales
|
3
|
341,503
|
329,499
|
|
Costs of
production
|
3
|
(193,509)
|
(193,413)
|
|
Gross
profit
|
|
147,994
|
136,086
|
|
Depreciation and amortisation
|
3
|
(53,162)
|
(47,459)
|
|
Royalties
|
3
|
(19,639)
|
(18,916)
|
|
Gross
profit from
operations
|
|
75,193
|
69,711
|
|
Interest
income
|
3
|
1,448
|
1,411
|
|
Other
income
|
3
|
859
|
(104)
|
|
Exploration expense
|
3
|
(5,340)
|
(6,368)
|
|
Administration and other corporate expenses
|
3
|
(6,627)
|
(9,081)
|
|
Share-based payment expense
|
3
|
(160)
|
(344)
|
|
Fair value movements and treasury
transactions
|
3
|
(5,292)
|
29,837
|
|
Inventories net realisable value movements and obsolete
consumables
|
3
|
14,724
|
8,543
|
|
Finance costs
|
3
|
(5,214)
|
(8,531)
|
|
Indirect
tax expense
|
3
|
(16,214)
|
(5,273)
|
|
Profit
before tax
|
|
53,377
|
79,801
|
|
Tax benefit/(expense)
|
3&5
|
(19,976)
|
7,878
|
|
Profit
for the
period
|
|
33,401
|
87,679
|
|
Profit
attributable to:
|
|
|
|
|
Members
of the parent
|
|
20,947
|
73,842
|
|
Non-controlling interest
|
|
12,454
|
13,837
|
|
Profit
for the
period
|
|
33,401
|
87,679
|
Consolidated Statement of Comprehensive Income
(continued)
|
|
|
For the
half year
ended
|
For the
half year
ended
|
|
|
|
30 June
2024
|
30 June
2023
|
|
|
Note
|
$'000
|
$'000
|
|
Profit
for the
period (brought
forward)
|
|
33,401
|
87,679
|
|
Other
comprehensive income/(loss)
|
|
|
|
|
Items that may be reclassified subsequently
to profit
or loss
|
|
|
|
|
Exchange
differences on translation of foreign operations:
|
|
|
|
|
- Members
of the parent
|
|
(16,293)
|
(23,623)
|
|
Items that may not be reclassified subsequently to profit or loss
|
|
|
|
|
Exchange
differences on translation of foreign operations:
|
|
|
|
|
-
Non-controlling interest
|
|
1,606
|
(1,226)
|
|
Other
comprehensive loss
for the
period, net
of
tax
|
|
(14,687)
|
(24,849)
|
|
|
|
|
|
|
Total
comprehensive income
for the
period
|
|
18,714
|
62,830
|
|
Total
comprehensive income
attributable to:
|
|
|
|
|
Members
of the parent
|
|
4,654
|
50,219
|
|
Non-controlling interest
|
|
14,060
|
12,611
|
|
Total
comprehensive income
for the
period
|
|
18,714
|
62,830
|
|
Profit
per share
for net
profit attributable
for operations
to
the ordinary equity holders of
the parent:
|
|
|
|
|
Basic
earnings per share
|
|
0.98 cents
|
3.47 cents
|
|
Diluted
earnings per share
|
|
0.98 cents
|
3.47 cents
|
|
Profit
per share
for net
profit attributable
for continuing operations to the
ordinary equity holders of the parent:
|
|
|
|
|
Basic
earnings per share
|
|
0.98 cents
|
3.47 cents
|
|
Diluted
earnings per share
|
|
0.98 cents
|
3.47 cents
|
Consolidated Statement of Financial Position
|
|
31 December
|
|
|
Note
|
30 June 2024
$'000
|
2023
$'000
|
|
Current
assets
|
|
|
|
|
Cash and cash equivalents
|
|
101,437
|
59,769
|
|
Other
financial assets - restricted cash
|
|
4,618
|
1,412
|
|
Receivables
|
6
|
18,617
|
60,102
|
|
Inventories
|
7
|
151,790
|
135,417
|
|
Prepayments and other assets
|
|
14,591
|
11,021
|
|
Income
tax asset
|
|
8,860
|
1,810
|
|
Total
current assets
|
|
299,913
|
269,532
|
|
Non
current assets
|
|
|
|
|
Income
tax asset
|
|
-
|
7,317
|
|
Receivables
|
6
|
86,739
|
54,456
|
|
Inventories
|
7
|
44,734
|
42,489
|
|
Exploration assets
|
|
11,847
|
6,354
|
|
Development assets
|
8
|
264,035
|
298,927
|
|
Property,
plant and equipment
|
8
|
173,088
|
160,894
|
|
Right-of-use assets
|
|
8,506
|
10,106
|
|
Deferred tax asset
|
|
3,005
|
3,005
|
|
Total
non current
assets
|
|
591,954
|
583,547
|
|
Total
assets
|
|
891,867
|
853,078
|
|
Current
liabilities
|
|
|
|
|
Payables
|
|
112,115
|
67,302
|
|
Financial liabilities
|
9
|
47,697
|
74,066
|
|
Provisions
|
10
|
82,046
|
66,188
|
|
Current
tax liability
|
|
7,452
|
4,791
|
|
Lease liabilities
|
|
3,171
|
3,070
|
|
Total
current liabilities
|
|
252,481
|
215,417
|
|
Non
current liabilities
|
|
|
|
|
Provisions
|
10
|
82,854
|
85,863
|
|
Lease liabilities
|
|
7,859
|
9,625
|
|
Total
non current
liabilities
|
|
90,713
|
95,488
|
|
Total
liabilities
|
|
343,194
|
310,905
|
|
Net assets
|
|
548,674
|
542,173
|
Consolidated Statement of Financial Position
(continued)
|
|
31 December
|
|
|
Note
|
30 June 2024
$'000
|
2023
$'000
|
|
Equity
attributable to
equity holders
of
the parent
|
|
|
|
|
Contributed equity
|
|
882,731
|
882,731
|
|
Reserves
|
|
(56,954)
|
(40,821)
|
|
Retained
earnings/(Accumulated losses)
|
|
(230,817)
|
(251,764)
|
|
Total
equity attributable
to
equity holders
of
the parent
|
|
594,960
|
590,146
|
|
Non-controlling interest
|
|
(46,286)
|
(47,973)
|
|
Total
equity
|
|
548,674
|
542,173
|
Consolidated Statement of Changes in Equity
At 1
January 2024
882,731 (9,745) 22,210
4,321 (636)
(56,971) (251,764) (47,973) 542,173
Profit for the period
-
-
-
-
-
-
20,947
12,454
33,401
Other comprehensive
(loss)/income, net of tax
Total comprehensive (loss)/income
for the
period, net of tax
-
-
-
-
- (16,293)
-
1,606 (14,687)
-
-
-
-
- (16,293) 20,947 14,060 18,714
-
Dividends declared
-
-
-
-
-
-
- (12,373) (12,373)
Share based payments
-
-
160
-
-
-
-
-
160
to employees
At
30 June
2024
882,731 (9,745) 22,370
4,321 (636)
(73,264) (230,817) (46,286)
548,674
|
At 1 January 2023
882,731
|
(9,348)
|
20,447
|
4,152
|
(37,207)
|
(317,341)
|
(71,940)
|
471,494
|
|
Profit
for the period
-
Other
comprehensive
|
-
|
-
|
-
|
-
|
73,842
|
13,837
|
87,679
|
|
(loss)/income, net of
tax
-
|
-
|
-
|
-
|
(23,623)
|
-
|
(1,226)
|
(24,849)
|
|
Total comprehensive
(loss)/income for
the
-
period, net of
tax
|
-
|
-
|
-
|
(23,623)
|
73,842
|
12,611
|
62,830
|
|
Dividends
paid
-
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
|
Share based payments
to
employees
-
|
-
|
403
|
-
|
-
|
-
|
-
|
403
|
|
At 30 June
2023
882,731
|
(9,348)
|
20,850
|
4,152
|
(60,830)
|
(243,499)
|
(59,329)
|
534,727
|
|
|
Consolidated Cash Flow Statement
|
|
For the
half year
ended
|
For the
half year
ended
|
|
30 June 2024
|
30 June 2023
|
|
$'000
|
$'000
|
|
Cash flows
from operating activities
|
|
|
|
Receipts from customers
|
341,503
|
330,209
|
|
Payments to suppliers, employees
and others
|
(220,540)
|
(271,761)
|
|
Exploration expenditure
|
(5,340)
|
(4,446)
|
|
Income
tax paid
|
(13,025)
|
(3,261)
|
|
Cash
flows from operating activities
|
102,598
|
50,741
|
|
Cash flows
used in investing activities
|
|
|
|
Payments
for property, plant & equipment
|
(28,545)
|
(13,526)
|
|
Payments
for development activities
|
(15,867)
|
(22,557)
|
|
Payments for evaluation activities
|
(6,234)
|
(1,047)
|
|
Deferred
consideration from sale of Ravenswood mine
|
20,012
|
-
|
|
Extension fee on Ravenswood promissory note
|
849
|
-
|
|
Other
investing activities
|
(416)
|
1,915
|
|
Cash
flows used
in
investing activities
|
(30,201)
|
(35,215)
|
|
Cash flows
used in financing activities
|
|
|
|
Repayment of borrowings
|
(25,000)
|
(30,000)
|
|
Finance cost
|
(3,207)
|
(5,756)
|
|
Dividend
paid
|
(1,239)
|
(1,430)
|
|
Repayment
of principal portion of lease liability
|
(1,841)
|
(1,988)
|
|
Repayment
of/(drawdown from) short term finance facilities
|
(925)
|
6,548
|
|
Cash
flows used
in
financing activities
|
(32,212)
|
(32,626)
|
|
|
|
|
|
Increase
(decrease) in
cash and
cash equivalents
|
40,185
|
(17,100)
|
|
Cash and
cash equivalents at the beginning of the period
|
59,769
|
80,873
|
|
Exchange rate adjustment
|
1,483
|
2,005
|
|
Cash
and cash
equivalents at
the end
of
the period
|
101,437
|
65,777
|
Notes to the Financial Statements
|
|
Note 1:
Corporate Information
The financial report of Resolute Mining Limited and
its controlled entities for the half year ended 30 June 2024 was
authorised for issue in accordance with a resolution of directors
for release on 29 August 2024.
Resolute (the parent) is a for profit company
limited by shares incorporated and domiciled in Australia whose
shares are publicly traded on the Australian Securities Exchange
and the London Stock Exchange.
The principal activities of entities within the
consolidated entity during the half year were:
•
gold mining; and,
•
prospecting and exploration for minerals.
There has been no significant change in the nature
of those activities during the half year ended 30 June 2024.
Where appropriate in the financial report,
comparative information has been reclassified to align to changes
in presentation in the current period to reflect more reliable and
relevant information. The Company has reclassified certain expense
items to costs of production to better reflect the actual costs
incurred at our operations.
Note 2:
Basis of
Preparation and
Summary of
Significant Accounting Practices
a) Basis of Preparation
This interim financial report for the half year
ended 30 June 2024 has been prepared in accordance with AASB 134
Interim Financial Reporting and the Corporations Act 2001.
The half year financial report does not include all
notes of the type normally included within the annual financial
report and therefore cannot be expected to provide as full an
understanding of the financial performance, financial position and
financing and investing activities of the Group as the full
financial report.
It is recommended that the half year financial
report be read in conjunction with the Annual Report for the year
ended 31 December 2023 and considered together with any public
announcements made by Resolute Mining Limited during the half year
ended 30 June 2024 in accordance with the continuous disclosure
obligations of the Australian Securities Exchange listing rules and
London Stock Exchange rules. The consolidated financial report is
presented in United States dollars ("$") rounded to the nearest
thousand dollars, unless otherwise stated.
The accounting policies and methods of computation
are the same as those adopted in the most recent annual financial
report.
Notes to the Financial Statements
Note 3 (a): Segment revenue and expenses
|
For
the half
year ended
30
June 2024
|
Mako
(Senegal)
|
Syama
(Mali)
|
Corp/Other
(b)
|
Total
|
|
|
$'000
|
$'000
|
$'000
|
$'000
|
|
Revenue from gold and silver sales (a)
|
125,663
|
215,840
|
-
|
341,503
|
|
Costs of
production
|
(68,872)
|
(124,637)
|
-
|
(193,509)
|
|
Segment
gross profit
|
56,791
|
91,203
|
-
|
147,994
|
|
Depreciation and amortisation
|
(27,105)
|
(25,505)
|
(552)
|
(53,162)
|
|
Royalties
|
(6,283)
|
(12,938)
|
(417)
|
(19,638)
|
|
Segment
gross profit
from operations
|
23,403
|
52,760
|
(969)
|
75,194
|
|
Interest
income
|
-
|
-
|
1,448
|
1,448
|
|
Other
income
|
-
|
9
|
849
|
858
|
|
Exploration expense
|
(2,297)
|
(2,568)
|
(475)
|
(5,340)
|
|
Administration and other corporate expenses
|
-
|
-
|
(6,627)
|
(6,627)
|
|
Share based payment expense
|
-
|
-
|
(160)
|
(160)
|
|
Fair value movements and treasury
transactions
|
(4,358)
|
(2,628)
|
1,694
|
(5,292)
|
|
Inventories net realisable value movements and obsolete
consumables
|
3,160
|
11,564
|
-
|
14,724
|
|
Finance costs
|
(928)
|
(3,263)
|
(1,022)
|
(5,213)
|
|
Indirect
tax expense
|
(15,281)
|
(933)
|
-
|
(16,214)
|
|
Profit
before tax
from operations
|
3,699
|
54,941
|
(5,262)
|
53,377
|
|
Income
tax expense
|
(17,894)
|
(2,156)
|
74
|
(19,976)
|
|
Profit/(loss)
for the
period
|
(14,195)
|
52,785
|
(5,188)
|
33,401
|
(a) Revenue from external
sales for
each reportable segment is derived from
several customers.
(b) This information does not represent an operating segment as
defined by AASB 8 'Operating Segments' and forms part of the
reconciliation of the results and positions of the operating
segments to the financial statements.
Notes to the Financial Statements
Note 3
(a): Segment
revenue and
expenses (continued)
|
For
the half
year ended
30
June 2023
|
Mako
(Senegal)
|
Syama (Mali)
|
Corp/Other
(b)
|
Total
|
|
|
$'000
|
$'000
|
$'000
|
$'000
|
|
Revenue from gold and silver sales (a)
|
121,910
|
207,589
|
-
|
329,499
|
|
Costs of
production
|
(56,345)
|
(137,067)
|
-
|
(193,413)
|
|
Segment
gross profit
|
65,565
|
70,522
|
-
|
136,086
|
|
Depreciation and amortisation
|
(24,339)
|
(22,267)
|
(852)
|
(47,459)
|
|
Royalties
|
(6,096)
|
(12,820)
|
-
|
(18,916)
|
|
Segment
gross profit
from operations
|
35,130
|
35,434
|
(852)
|
69,711
|
|
Interest
Income
|
4
|
-
|
1,407
|
1,411
|
|
Other
income
|
-
|
(135)
|
31
|
(104)
|
|
Exploration expense
|
(2,016)
|
(4,352)
|
-
|
(6,368)
|
|
Administration and other corporate expenses
|
-
|
-
|
(9,081)
|
(9,081)
|
|
Share based payment expense
|
-
|
-
|
(344)
|
(344)
|
|
Fair value movements and treasury transactions
|
(1,537)
|
379
|
30,995
|
29,837
|
|
Inventories net realisable value movements and obsolete
consumables
|
928
|
7,615
|
-
|
8,543
|
|
Finance costs
|
(896)
|
(3,655)
|
(3,981)
|
(8,531)
|
|
Indirect
tax expense
|
(5,000)
|
(273)
|
-
|
(5,273)
|
|
Profit
before tax
from operations
|
26,614
|
35,013
|
18,175
|
79,801
|
|
Income
tax expense
|
14,463
|
(4,608)
|
(1,977)
|
7,878
|
|
Profit
for the
period
|
41,077
|
30,405
|
16,198
|
87,679
|
(a) Revenue from external
sales for
each reportable segment is derived from
several customers.
(b) This information does not represent an operating segment as
defined by AASB 8 'Operating Segments' and forms part of the
reconciliation of the results and positions of the operating
segments to the financial statements.
Note 3 (b): Segment assets and liabilities1
|
For
the half
year ended
30
June 2024
|
Mako
(Senegal)
|
Syama (Mali)
|
Corp/ Other
|
Total
|
|
|
$'000
|
$'000
|
$'000
|
$'000
|
|
Segment assets
|
196,758
|
542,921
|
152,188
|
891,867
|
|
Segment liabilities
|
107,347
|
227,156
|
8,691
|
343,193
|
|
Net assets
|
89,411
|
315,765
|
143,497
|
548,674
|
1 This information does not represent an operating segment as
defined by AASB 8 'Operating Segments' and forms part of the
reconciliation of the results and positions of the operating
segments to the financial statements.
Note 4: Dividend
There were no interim dividends paid or declared for
Resolute Mining Limited during the half year end up to the date of
this report (half year ended 30 June 2023: $nil).
In May 2024, a subsidiary of the Group declared a
dividend of $120.0 million of which $12.4 million will be
distributed to its minority shareholders.
Notes to the Financial Statements
Note 5: Taxes
At 30 June 2024, the Group recognised an income tax expense of $19.98 million (30 June 2023: tax benefit of
$7.9 million). The increase in the income tax
expense is primarily due to an income tax settlement of $17.5
million with the Australian Tax Office and Senegalese State in the
first half of 2023.
Note 6: Receivables
Included in the total receivables balance of $105.4
million are indirect tax receivables of $48.3 million at 30 June
2024 (31 December 2023: $29.3 million). This primarily relates to
indirect taxes owing to the Group from the Republic of Mali and
Senegal. The remaining receivables are from the sale of the
Ravenswood mine.
Note 7:
Inventories
|
|
|
31 December
|
|
30 June 2024
$'000
|
2023
$'000
|
|
Doré
bars
|
24,928
|
13,340
|
|
Gold in
circuit
|
52,240
|
50,837
|
|
Ore stockpiles
|
57,056
|
47,523
|
|
Consumables, spare
parts and
supplies
|
62,299
|
66,207
|
|
Total
inventories
|
196,524
|
177,906
|
|
Less:
Non-current metal inventories
|
44,734
|
42,489
|
|
Current
portion of
inventories
|
151,790
|
135,417
|
Note 8: Development
assets and
property, plant
and
equipment
At 30 June 2024, the Group's mine properties amount
to $437.1
million (31
December 2023:
$459.8 million).
During the six-month period to 30 June
2024, further additions for development activities were made of
$15.9 million.
Note 9: Interest bearing liabilities
|
|
|
31 December
|
|
30 June 2024
$'000
|
2023
$'000
|
|
Financial liabilities
(current)
|
|
|
|
Bank
overdraft
|
47,475
|
46,196
|
|
Insurance
premium funding
|
176
|
180
|
|
Borrowings
|
47
|
25,218
|
|
Financial derivative
liabilities
|
-
|
2,472
|
|
Total
Financial liabilities
|
47,698
|
74,066
|
Note 10:
Provisions
|
|
|
31 December
|
|
|
30 June 2024
|
2023
|
|
|
$'000
|
$'000
|
|
Current
|
|
|
|
Site restoration
|
2,473
|
626
|
|
Employee entitlements
|
4,323
|
5,744
|
|
Provision
for direct and indirect taxes1
|
72,746
|
57,157
|
|
Other
provisions
|
2,504
|
2,661
|
|
Total
provisions (current)
|
82,046
|
66,188
|
|
Non
Current
|
|
|
|
Site restoration
|
82,633
|
85,570
|
|
Employee entitlements
|
221
|
293
|
|
Total
provisions (non
current)
|
82,854
|
85,863
|
1 The Group received notifications from the Senegalese
Government on alleged tax and customs infringements. Whilst some of
these matters have been settled after 30 June 2024, Resolute
continues to work with its external advisors and the Senegalese
authorities to resolve any outstanding matters. Provisions have
been recorded for the best estimate of the expected resolution for
these matters at 30 June 2024.
Note 11: Events Occurring after
Balance Date
Since the end of the period and to the date of this
report, no matter or circumstance has arisen that has significantly
affected, or may significantly affect, the operations of the Group,
the results of operation or the state of affairs of the
consolidated group in subsequent periods
Directors' Declaration
In the opinion of the directors:
1) the financial statements and notes are in accordance with the
Corporations Act 2001, including:
(a)
complying with Accounting Standard AASB 134
Interim Financial Reporting, the Corporations Regulations 2001;
and
(b)
giving a true and fair view of the Group's
financial position as at 30 June 2024 and of its performance, as
required by Accounting Standards, for the half year ended on that
date.
2) there are reasonable grounds to believe that the Group will
be able to pay its debts as and when they become due and
payable.
This declaration has been made in accordance with a
resolution of the directors.
Terence Holohan
Managing Director & CEO
Perth, Western Australia
29 August 2024
Ernst & Young 11 Mounts Bay Road
Perth WA 6000 Australia
GPO Box M939
Perth WA 6843
Tel: +61 8 9429 2222
Fax: +61 8 9429 2436
ey.com/au
Independent auditor's review report to the members of Resolute Mining Limited
Conclusion
We have reviewed the accompanying half-year
financial report of Resolute Mining Limited (the Company)
and its
subsidiaries (collectively the
Group), which
comprises the
consolidated statement of financial position as at 30
June 2024, the consolidated statement of comprehensive income,
consolidated statement of changes in equity and the consolidated
cash flow statement for the
half-year ended on that date, notes comprising a statement of accounting policies and other explanatory
information, and the directors' declaration.
Based on our review, which is not an audit, we have
not become aware of any matter that makes us believe that the
half-year financial report of the Group does not comply with the
Corporations Act 2001,
including:
1. Giving a true and fair view of the consolidated financial
position of
the Group
as at 30 June 2024
and of its
consolidated financial performance for the half-year ended on that
date; and
2. Complying with Accounting Standard AASB 134
Interim Financial Reporting and the Corporations Regulations
2001.
Basis for conclusion
We conducted our review in accordance with ASRE 2410 Review of a Financial Report Performed by the Independent Auditor of the Entity (ASRE 2410) and ISRE 2410 Review of Interim Financial Information
Performed by the Independent Auditor of the
Entity(ISRE 2410). Our responsibilities are further
described in
the Auditor's
responsibilities for the review of the half-year financial report section of our report. We are independent of the Group in accordance with the auditor independence requirements
of the
Corporations Act 2001and the ethical
requirements of the Accounting Professional and Ethical Standards
Board's APES 110 Code of Ethics for Professional
Accountants(including Independence
Standards)(the Code) that are relevant to our audit of the
annual financial report in Australia. We have also fulfilled our
other ethical responsibilities in accordance with the Code.
Directors' responsibilities for
the half-year
financial report
The directors of the Company are responsible for the
preparation of the half-year financial report that gives a true and
fair view in accordance with Australian Accounting Standards and
the Corporations Act 2001and for such
internal control as the directors determine is necessary to enable
the preparation of the half-year financial report that gives a true
and fair view and is free from material misstatement, whether due
to fraud or error.
Auditor's responsibilities for
the review
of the half-year financial
report
Our responsibility is
to express
a conclusion
on the
half-year financial report based on our review. ASRE 2410
and ISRE
2410 require
us to
conclude whether
we have
become aware
of any
matter that makes
us believe that the half-year financial
report is not in accordance with the Corporations
Act 2001 including giving a true and fair view of the Group's financial position
as at
30 June
2024 and its
performance for the half-year ended on that date, and complying
with Accounting Standard
AASB 134 Interim Financial Reporting
and the
Corporations Regulations 2001.
A review of a half-year financial report consists of
making enquiries, primarily of persons responsible for financial
and accounting matters, and applying analytical and other review
procedures. A review is substantially less in scope than an audit
conducted in accordance with Australian Auditing Standards or
International Standards on Auditing issued by the International
Auditing and Assurance Standards Board and consequently does not
enable us to obtain assurance that we would become aware of all
significant matters that might be identified in an audit.
Accordingly, we do not express an audit opinion.
Ernst & Young
Philip Teale Partner
Perth
29 August 2024