Announcement PDF TEMPEST MINERALS LIMITED ACN 612 008 358 Phone: +61 8 9200 0435 Fax: +61 8 9380 6761 Address: Level 2, Suite 9 389 Oxford Street, Mount Hawthorn WA 6016 ACN 612 008 358 CONSOLIDATED FINANCIAL REPORT FOR THE YEAR ENDED 30 JUNE 2026 TEMPEST MINERALS LIMITED - ACN 612 008 358 ANNUAL REPORT 2026 Contents Page 1 Cautionary Statements 2 Corporate Information 3 Letter from the Chairman 4 Review of Operations 5 Directors’ Report 14 Auditor’s Independence Declaration 24 Consolidated Statement of Profit or Loss and Other Comprehensive Income 25 Consolidated Statement of Financial Position 26 Consolidated Statement of Changes In Equity 27 Consolidated Statement of Cash Flows 28 Notes to the Consolidated Financial Statements 29 Consolidated Entity Disclosure Statement 46 Directors’ Declaration 47 Independent Auditor’s Report 48 Shareholder Information 52 Interests in Tenements 54 Annual Mineral Resources and Ore Reserves Statement 55 TEMPEST MINERALS LIMITED - ACN 612 008 358 ANNUAL REPORT 2026 Cautionary Statements Page 2 Forward-looking statements This document may contain certain forward-looking statements. Such statements are only predictions, based on certain assumptions and involve known and unknown risks, uncertainties and other factors, many of which are beyond the Company’s control. Actual events or results may differ materially from the events or results expected or implied in any forward-looking statement. The inclusion of such statements should not be regarded as a representation, warranty or prediction with respect to the accuracy of the underlying assumptions or that any forward-looking statements will be or are likely to be fulfilled. Tempest Minerals Limited undertakes no obligation to update any forward-looking statement to reflect events or circumstances after the date of this document (subject to securities exchange disclosure requirements). The information in this document does not take into account the objectives, financial situation or particular needs of any person or organisation. Nothing contained in this document constitutes investment, legal, tax or other advice. Competent Person Statement The information in this report that relates to Exploration Results is based on, and fairly represents information compiled by Mr Don Smith, a Competent Person who is a member of AusIMM and the Australian Institute of Geoscientists (AIG). Mr Smith is the Managing Director of the Company and has sufficient experience that is relevant to the style of mineralisation and type of deposit under consideration and to the activity being undertaken to qualify as a Competent Person as defined in the 2012 Edition of the “Australasian Code for Reporting of Exploration Results, Mineral Resource and Ore Reserves”. Mr Smith consents to the inclusion in this report of the matters based on his information in the form and context in which it appears. Information relating to Previous Disclosure This report contains information extracted from previous ASX market announcements reported in accordance with the 2012 JORC Code and is available for viewing at www.tempestminerals.com. The information in this report that relates to exploration results and exploration targets as reported above were last reported by the Company in compliance with the 2012 Edition of the JORC Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves. The Company confirms that it is not aware of any new information or data that materially affects the information included in the market announcements referred to above and further confirms that all material assumptions and technical parameters underpinning the exploration results and exploration target contained in those market releases continue to apply and have not materially changed. Compliance Statement The information in this operations report that relates to the Mineral Resource for the Remorse Project are extracted from the ASX Announcement listed below which is available on the Company website at www.tempestminerals.com and the ASX website (ASX code: TEM): Date Announcement 8 May 2025 Inaugural JORC Mineral Resource - Remorse Project - Amended The Company confirms that it is not aware of any new information or data that materially affects the information included in the original market announcements and that all material assumptions and technical parameters underpinning the estimates in the market announcements continue to apply and have not materially changed. The Company confirms that the form and context in which the Competent Person’s findings are presented have not been materially modified from the original market announcement. TEMPEST MINERALS LIMITED - ACN 612 008 358 ANNUAL REPORT 2026 Corporate Information Page 3 Directors and Company Secretary Brian Moller (Non-Executive Chairman) Don Smith (Managing Director) Andrew Haythorpe (Non-Executive Director) Owen Burchell (Non-Executive Director) Paul Jurman (Company Secretary) Head Office and Registered Office Tempest Minerals Limited Level 2, Suite 9 389 Oxford Street Mt Hawthorn, WA 6016 Tel: +61 8 9200 0435 www.tempestminerals.com Auditors HLB Mann Judd Level 4, 130 Stirling Street Perth WA 6000 Share Registry Automic Pty Ltd Level 5, 126 Phillip Street Sydney NSW 2000 Tel: 1300 288 664 www.automicgroup.com.au Stock Exchange Listing Australian Securities Exchange Ltd ASX Code: TEM Australian Company Number 612 008 358 Solicitor HopgoodGanim Lawyers Level 10 360 Queen Street Brisbane QLD 4000 Tel: +61 7 3024 0000 Fax: +61 7 3024 0300 www.hopgoodganim.com.au TEMPEST MINERALS LIMITED - ACN 612 008 358 ANNUAL REPORT 2026 Letter from the Chairman Page 4 Dear Shareholders On behalf of the board of directors of Tempest Minerals Ltd (Tempest or the Company), I take pleasure in presenting the Annual Report for 2026. During the past year we have continued to focus on our iron, gold and copper exploration projects in Western Australia whilst at the same time exploring other opportunities. We sold our Yalgoo project to ASX listed Capricorn Metals Ltd (CMM) for total consideration of $500k cash and 294,811 CMM shares (equivalent to $4,000,000, calculated by reference to the 5-day VWAP of CMM shares prior to completion). We continued work on our Range gold project at Mt Magnet with positive results from drilling and further works are planned, including drilling. We retain our Five Wheels project and further work is planned in the coming financial year. We continue to work with Green Steel & Iron Pty Ltd with a view to progressing establishment of a green steel production facility in the region. We also continue to look at other opportunities, in the best interests of our shareholders. I would like to extend my thanks to Mr Don Smith, the Company’s Managing Director, my fellow directors and the management team for their ongoing efforts in progressing the Company’s projects and look forward to being able to update all shareholders with the progress on exploration of our projects over the course of the company year. On behalf of the Board, I thank you for your continued support and look forward to bringing our further news as our exploration efforts continue. We also respectfully acknowledge the Traditional Custodians of the land in which we operate and pay our respect to all the elders, past, present and emerging, who carry deep knowledge of these lands. We commit to being open to receive this knowledge and incorporate it into the work we do. We recognise their continuing connection to the land, waters and culture in the area in which we operate. Yours faithfully Brian Moller Chairman TEMPEST MINERALS LIMITED - ACN 612 008 358 ANNUAL REPORT 2026 Review of Operations Page 5 Mt Magnet Mt Magnet Region Mt Magnet is a prolific multi-million-ounce gold mining centre with numerous large-scale, long-life open pit and underground mines. It has been operated by major resources companies such as Western Mining Corporation and Harmony Gold Ltd, and more contemporary successful mid-tier companies such as Ramelius Resources Ltd (ASX:RMS and Westgold Ltd, with considerable current exploration success by companies such as Ordell Minerals Ltd (ASX:ORD). Figure 01: Overview of Mt Magnet major tenement holdings Range Project Located in the heart of the Mount Magnet mineral field and 5km along strike from the prolific +6Moz Mount Magnet Operations, the Range Project consists of 11 tenements covering 20km2. The project is interpreted as containing similar geology as the high-profile neighbouring Ramelius Resources Ltd and Ordell Minerals Ltd's Barimaia Project to the east. During FY 2025-26, TEM revitalised exploration at the Range Project. In July 2025, fieldwork including geological mapping and target generation commenced, identifying 5 new priority targets, several of which were approved for drilling. Surface sampling at the Cherokee Target subsequently returned multiple rock chips at approximately 1g/t gold, indicating potential extensions of mineralisation from the adjacent open pit and a large-scale auger geochemical program was completed over the southern portion of the project area to gather high-priority subsurface geochemistry. TEMPEST MINERALS LIMITED - ACN 612 008 358 ANNUAL REPORT 2026 Review of Operations Page 6 Figure 02: Range Project geochemical work completed Figure 03: Range Project - Rock chip sampling at the Cherokee Target TEMPEST MINERALS LIMITED - ACN 612 008 358 ANNUAL REPORT 2026 Review of Operations Page 7 In late September 2025, TEM commenced its inaugural drilling program at Range comprising approximately 1,500m of Reverse Circulation (RC) drilling across 19 holes testing multiple high-priority, shallow gold targets. Drilling was completed in October 2025. Assay results received confirmed the extension of gold mineralisation believed to be a substantial extension of adjacent Britannia Open Pit Mineralisation was intersected from surface to depth, including:  MGTDH002: 3m @ 3.2g/t Au from 58m (including 1m @ 5.9g/t Au from 59m)6 Further results included 3m @ 1.9g/t Au from 13m and 2m @ 1.2g/t Au from 21m, with numerous drillholes intersecting thick mineralised zones. Gold-bearing mineralisation has now been intersected over a 1.5km strike length. These shallow gold results all lie adjacent to existing open pit operations and less than 10km from the planned Ramelius Resources major processing circuit expansion. Mineralisation remains open along strike and down plunge. Significant value is considered to remain within the extensive untested geochemical and geological footprint at Range. Figure 04: TEM drilling at the Range Project TEMPEST MINERALS LIMITED - ACN 612 008 358 ANNUAL REPORT 2026 Review of Operations Page 8 Figure 05: Range Drilling Figure 06: Range Project Longitudinal Projection of 2025 drill results TEMPEST MINERALS LIMITED - ACN 612 008 358 ANNUAL REPORT 2026 Review of Operations Page 9 Yalgoo The Company's prior holding in the Yalgoo region of Western Australia totalled approximately 1,000 km2 located near a number of high-profile neighbours and prospective for multiple commodities, including Base Metals (29 Metals Ltd - ASX:29M; Tungsten Mining NL - ASX:TGN), Gold (Spartan Resources Ltd - ASX:SPR; Vault Minerals Ltd - ASX:VAU; Capricorn Metals Ltd - ASX:CMM), and Iron (Fenix Resources Ltd - ASX:FEX; Karara Mining Limited and Sinosteel Midwest Group). Tempest previously used data-driven processes to identify poorly or unexplored areas of highly prospective geology. This approach has had considerable success and includes the discovery of multiple instances of new mineralisation including the substantial Remorse magnetite deposit in 2024. Figure 07: Combined Yalgoo Projects During the year, TEM identified further iron mineralisation at the Halo Target and completed the sale of the Yalgoo gold tenement package to Capricorn Metals Limited for a total consideration of $4.5 million and a conditional option agreement over the Remorse Deposit with Green Steel and Iron Pty Ltd (GISA). TEM has retained various rights to the iron-bearing eastern tenements, which host the Remorse Deposit and Halo Target. Remorse Deposit The Remorse Deposit is located on the eastern side of the Yalgoo Project. In September 2024, exploration drilling for base metals ultimately resulted in the discovery of a large-scale magnetite iron deposit. TEM subsequently outlined an Exploration Target, completed an inaugural Mineral Resource Estimate in accordance with the JORC Code 2012 comprising an Inferred category total of 63.5 Mt @ 30.6% Fe (at a 28% Fe cut-off) completed metallurgical studies with outstanding results including Davis Tube Recoveries of up to 70.1% Fe, and commenced collaboration with green steel developer GISA. In December 2025, TEM signed a binding conditional Option Agreement with GISA for GISA to acquire the Remorse Magnetite Project in a share-based deal, with TEM entitled to 50% of the issued capital of GISA as consideration together with options. GISA, a 100% Western Australian company, intends to progress to an IPO and develop the MidWest Green Iron and Steel facility in the Yalgoo region, and in parallel has secured further MOUs with other potential magnetite iron ore producers in the region. GISA has also submitted an application to the Federal Government's Green Iron Fund, which is under consideration. Under the Option Agreement, GISA has 90 days to exercise the option following satisfaction of a series of conditions on or before 31 December 2026, including TEM being granted a mining lease over Remorse on acceptable terms and GISA securing a site for the facility. TEM also holds the right to exercise the option on the same terms, and is entitled to reacquire Remorse should GISA fail to achieve key outcomes, including a successful IPO, within 18 months of acquiring the deposit. TEMPEST MINERALS LIMITED - ACN 612 008 358 ANNUAL REPORT 2026 Review of Operations Page 10 Figure 08: Mineral Resource Estimate for the Remorse Iron Deposit reported at 28% Fe cut-off grade. Figure 09: Regional infrastructure, Remorse Deposit and potential GreenSteel site Halo Target In August 2025, TEM announced the identification of the substantial Halo Iron Target, located approximately 5km west of the Remorse Deposit. In response to the Remorse discovery, a TEM data review of similar geology nearby indicated the likely presence of further iron mineralisation at Halo, with historic rock chip samples collected by previous explorers returning grades of up to 62% Fe, and indicating the possible presence of both magnetite and hematite mineralisation. TEMPEST MINERALS LIMITED - ACN 612 008 358 ANNUAL REPORT 2026 Review of Operations Page 11 Figure 10: Halo Target, historical sampling and geology Halo bears many similarities to the Remorse Deposit and is considered likely to be a key part of any future project development. During September 2025, TEM received regulatory approval to drill at Halo and, in conjunction with the traditional owners of the area, the Badimia People, completed a heritage survey over the phase I drill area. The Halo target is primarily known as an iron occurrence; however, extensive exploration completed by TEM shows the area to be highly prospective also for copper and gold. TEMPEST MINERALS LIMITED - ACN 612 008 358 ANNUAL REPORT 2026 Review of Operations Page 12 Five Wheels The Five Wheels Project is 266km2 of granted tenure in the Earaheedy region of Western Australia proximal to the high-profile world-class Rumble Resources Ltd (ASX:RTR) discoveries. The project remains largely under-explored (or unexplored for base metals) and shares similar geology to both the nearby Rumble Resources Chinook deposit and the emerging Strickland Metals Ltd (ASX:STR) zinc-lead-copper discoveries. The Project is located in the Earaheedy Basin, where a major geological unconformity surrounding the edge of the basin hosts the initial Rumble Resources discoveries. More recent exploration implies that multiple key geological sequences are or have the potential to be mineralised, and the prospectivity is more widespread than originally considered. The project remains a key part of TEM's WA base metals inventory. Project Portfolio Rationalisation During the year TEM implemented a strategic portfolio review, designed to direct capital and resources to assets offering the greatest near-term opportunity for shareholder value. In February 2026, TEM completed the sale of the Yalgoo Project gold tenement package to Capricorn Metals Limited for $4.5 million, retaining the iron-bearing eastern tenements hosting the Remorse Deposit and Halo Target (refer Yalgoo section). In April 2026, TEM elected to withdraw from the Elephant Project Joint Venture. While the Elephant Project remains prospective, the strategic review recommended portfolio rationalisation, with capital and resources reallocated to advance other assets. In March 2026, TEM announced a binding Term Sheet to acquire Zealandia Resources Pty Ltd, holder of an advanced 145km2 gold portfolio in New Zealand comprising multiple drill-ready targets across 4 epithermal gold system project areas located in a province with production exceeding 15 Moz of gold, for consideration of $2 million in scrip with potential further performance milestones. Following completion of due diligence, the parties mutually agreed to terminate the agreement in May 2026. TEMPEST MINERALS LIMITED - ACN 612 008 358 ANNUAL REPORT 2026 Review of Operations Page 13 Investment Portfolio Capricorn In February 2026, Tempest completed the sale to Capricorn Metals Limited (CMM) for CMM to acquire the Yalgoo Project gold tenement package. Total consideration of $4.5 million was comprised of $500,000 cash and CMM issued Tempest 294,811 CMM shares (equivalent to $4,000,000, calculated by reference to the 5-day VWAP of CMM shares prior to completion). During the period, Tempest sold 50,811 shares in CMM for a total of $699,004. At 30 June 2026, Tempest held 244,000 CMM shares which were valued at $3,084,160. Africa Through a divestment deal in 2020, Tempest retains a holding (2.5 million shares) in London listed Premier African Minerals Ltd (AIM:PREM). At 30 June 2026, PREM was priced at GBP 0.016 and the market value of Tempests' holding was ~AUD$769. USA Lithium The Company sold its 80% interest in the Tonopah Lithium Project in Nevada, United States of America, to ASX listed Argosy Minerals Ltd (ASX: AGY) in 2020. Tempest retains exposure to the project through an agreed milestone payment of $250,000 payable upon Argosy announcing a JORC compliant reserve at the project of at least one million tonnes of lithium carbonate equivalent product or the commencement of commercial production of lithium product at the Tonopah Lithium Project. TEMPEST MINERALS LIMITED - ACN 612 008 358 ANNUAL REPORT 2026 Directors’ Report Page 14 The directors submit their report on the consolidated entity (“Group”) consisting of Tempest Minerals Limited and the entities it controlled at the end of, and during, the financial year ended 30 June 2026. Directors The following persons were directors of Tempest Minerals Limited during the financial year and up to the date of this report, unless otherwise stated: Brian Moller Don Smith Andrew Haythorpe Owen Burchell Information on Directors The board has a strong combination of technical, managerial and capital markets experience. Expertise and experience include operating and mineral exploration. The names and qualifications of the current directors are summarised as follows: Brian Moller – Non-Executive Chairman - LL.B (Hons) Brian specialises in capital markets, mergers and acquisitions and corporate restructuring, and has acted in numerous transactions and capital raisings in the industrial, resources and energy sectors. He was a partner at the legal firm, HopgoodGanim for 41 years and led the Corporate Advisory and Governance practice and remains a consultant to the firm. Mr Moller acts for many publicly listed companies in Australia and regularly advises boards of directors on corporate governance and related issues. Brian is a solicitor of the Supreme Court of Queensland and Solicitor and Barrister of the Supreme Court of Western Australia. During the past three years, Mr Moller has also served as a director of the following listed companies:  DGR Global Ltd* (since 2 October 2002)  Clara Resources Limited (appointed1 December 2006, resigned 8 March 2025)  Newpeak Metals Limited* (since 22 January 2003)  Platina Resources Ltd* (since 30 January 2007)  Tolu Minerals Limited (admitted to the official list on ASX on 9 November 2023, appointed 24 February 2022, resigned 16 June 2024) *denotes current directorship Brian is a member of the Audit & Risk Management Committee. Don Smith – Managing Director - BSc(Newcastle), MBA(AIB) Don is a geologist and entrepreneur with over 20 years in the mining industry. He has worked in operational, development, exploration and consultant roles for junior through to multinational firms spanning over 10 countries and numerous commodities including base metals, precious metals and energy minerals. Don has a Bachelor of Science from Newcastle University and a Master of Business Administration from the Australian Institute of Business. Don is a member of the Australasian Institute of Mining and Metallurgy (AusIMM), the Australian Institute of Geoscientists (AIG) and the Geological Society of Australia (GSA). Don sits on the board of TSX-V listed International Prospect Ventures (TSX-V: IZZ). Don does not sit on the board of any other listed companies, nor has he served as a director of any other listed company in the last three years. TEMPEST MINERALS LIMITED - ACN 612 008 358 ANNUAL REPORT 2026 Directors’ Report Page 15 Andrew Haythorpe – Independent Non-Executive Director - BSc Andrew has 40 years’ experience in geology, funds management and has been a Director and Chairman of a number of TSX and ASX listed companies. Since 1999, Andrew has been involved in over A$300 million of mergers and acquisitions and capital raisings in mining and technology companies listed on the TSX and ASX. Andrew has a Bachelor of Science (Hons) from James Cook University, is a member of the Australian Institute of Company Directors (MAICD) and a Fellow of the Australian Minerals Institute (FAusIMM). During the past three years, Andrew has also served as a director of the following listed companies:  McLaren Minerals Limited (formerly Allup Silica Ltd) (appointed 5 April 2013, resigned 31 January 2025)  Rokeby Resources Limited (appointed 2 September 2024) Andrew is a member of and Chairman of the Audit & Risk Management Committee. Owen Burchell – Non-Executive Director Owen is a mining engineer with more than 20 years of technical, operational and corporate experience including management positions at Rio Tinto, BHP and Barrick Gold through to numerous mining start-ups, closures and operational turnaround projects. Owen holds several post graduate qualifications from the West Australian School of Mines and is the holder of a First Class Managers Certificate of Competency. Owen does not sit on the board of any other listed companies, nor has he served as a director of any other listed company in the last three years. Company Secretary Paul Jurman is involved with a diverse range of Australian public listed companies in company secretarial and financial roles. He is currently company secretary of Platina Resources Limited, Carnavale Resources Limited, Diablo Resources Limited, Desert Metals Limited and Lord Resources Limited. Interests in Securities As at the date of this report, the interests of each director in shares and options issued by the Company are shown in the table below: Directors Shares Unlisted Options ($0.02, expiring 26-Nov-2028) Unlisted Options ($0.01, expiring 31-May-2027) B. Moller 2,421,643 6,000,000 186,881 D. Smith 23,830,836 8,000,000 1,985,904 A. Haythorpe 1,154,250 6,000,000 96,188 O. Burchell 20,504,834 6,000,000 1,708,737 Principal Activities The principal activity of the Group during the financial year was mineral exploration. Dividends Paid or Recommended There were no dividends paid or recommended during the financial year. Review of Operations Information on the operations of the Group during the financial year and up to the date of this report is set out separately in the Annual Report under Review of Operations. TEMPEST MINERALS LIMITED - ACN 612 008 358 ANNUAL REPORT 2026 Directors’ Report Page 16 Operating Results The Group’s operating loss for the financial year was $4,620,213 (2025: $1,566,079). Exploration and evaluation expenditure incurred during the year totalled $896,236 (2025: $2,145,698). Capital Structure As at 30 June 2025 the Company had on issue 1,101,795,042 ordinary shares, and 154,798,948 unlisted options (144,852,264 options, exercise price $0.01, expiry 31 May 2027 and 9,946,684 options, exercise price $0.016, expiry 6 August 2026) on issue. During the year ended 30 June 2026, the following securities were issued or expired:  In October 2025, the Company issued 81,250 shares on the exercise of 81,250 options at 1 cent each, raising $813.  26,000,000 KMP options were issued to Directors, following approval by shareholders at the Annual General Meeting held in November 2025. An additional 6,000,000 unlisted options were issued under the Employee Share and Option Plan to the company secretary and a consultant. These unlisted options are exercisable at $0.02 each and expire on 26 November 2028. As at 30 June 2026 the Company had 1,101,876,292 ordinary shares, and 186,717,698 unlisted options (144,771,014 exercise price $0.01, expiry 31 May 2027, 9,946,684 exercise price $0.016, expiry 6 August 2026 and 32,000,000 exercise price $0.02, expiry 26 November 2028) on issue. Treasury policy The Group does not have a formally established treasury function. The Board is responsible for managing the Group’s finance facilities. The Group does not currently undertake hedging of any kind and is not currently directly exposed to material currency risks. Significant Changes in State of Affairs Other than the securities issued as noted above, there were no other significant changes in the state of affairs of the Group in the financial year. Subsequent Events There are no material matters or circumstances that have arisen since the end of the year which significantly affected or may significantly affect the operations of the Group, the results of those operations, or the state of affairs of the Group in future financial years. Risks The prospects of the Group in progressing their exploration projects may be affected by a number of factors. These factors are similar to most exploration companies moving through exploration phase and attempting to progress projects into development. Some of these factors include:  Exploration – the results of the exploration activities may be such that the estimated resources are insufficient to justify the financial viability of the projects. The Group undertakes extensive exploration and product quality testing prior to establishing JORC compliant resource estimates and to (ultimately) support mining feasibility studies. The Group engages external experts to assist with the evaluation of exploration results where required and utilises third party competent persons to prepare JORC resource statements or suitably qualified senior management of the Group. Economic feasibility modelling of projects will be conducted in conjunction with third party experts and the results of which will usually be subject to independent third-party peer review.  Regulatory and Sovereign – the Group currently operates only in Australia and deals with local regulatory authorities in relation to the exploration of its properties. The Group may not achieve the required local regulatory approvals to continue exploration or properly assess development prospects. The Group takes appropriate legal and technical advice to ensure it manages its compliance obligations appropriately. TEMPEST MINERALS LIMITED - ACN 612 008 358 ANNUAL REPORT 2026 Directors’ Report Page 17  Social Licence to Operate – the ability of the Group to secure and undertake exploration and development activities within prospective areas is also reliant upon satisfactory resolution of native title and (potentially) overlapping tenure. To address this risk, the Group develops strong, long term effective relationships with landholders with a focus on developing mutually acceptable access arrangements. The Group takes appropriate legal and technical advice to ensure it manages its compliance obligations appropriately.  Environmental – All phases of mining and exploration present environmental risks and hazards. The Group’s operations are subject to environmental regulations pursuant to a variety of state and municipal laws and regulations. Environmental legislation provides for, among other things, restrictions and prohibitions on spills, releases or emissions of various substances produced in association with mining operations. Compliance with such legislation can require significant expenditures and a breach may result in the imposition of fines and penalties, some of which may be material. Environmental legislation is evolving in a manner expected to result in stricter standards and enforcement, larger fines and liability and potentially increased capital expenditures and operating costs. Environmental assessments of proposed projects carry a heightened degree of responsibility for companies and directors, officers and employees. The Group assesses each of its projects very carefully with respect to potential environmental issues, in conjunction with specific environmental regulations applicable to each project, prior to commencing field exploration. Periodic reviews are undertaken once field exploration commences.  Safety – Safety is of critical importance in the planning, organ