Black Canyon (BCA) H2 2024 earnings summary

Executive summary

• Achieved significant exploration success, delineating a Global Mineral Resource Estimate (MRE) of 314Mt @ 10.5% Mn, containing 33.1Mt of manganese, the largest in Western Australia and second largest in Australia.

• Completed a 7,000m RC drilling program, resulting in new discoveries and maiden MREs across multiple targets.

• Positive Scoping Study for KR1 and KR2 deposits confirmed strong financial returns over a 16-year mine life, with an average annual operating cashflow of A$46.1m and a payback period of less than two years.

• Successfully produced battery-grade High Purity Manganese Sulphate Monohydrate (HPMSM) from KR1, marking a major R&D milestone.

Financial highlights

• Revenue and other income for FY2024 was $513,243, up from $40,625 in FY2023.

• Net loss before tax for FY2024 was $1,993,629, compared to a loss of $2,021,869 in FY2023.

• Net assets increased by $444,343 to $6,048,341 as of 30 June 2024.

• Cash and cash equivalents at year-end were $669,045, down from $1,126,920 the previous year.

• Working capital at year-end was $468,285 (2023: $856,265).

Outlook and guidance

• Ongoing evaluation of cost-saving opportunities in mining, processing, and transport to improve project margins and reduce risk.

• Further exploration and development planned, with additional drilling to potentially upgrade Exploration Target Estimates to Mineral Resources.

• Placement of $850,000 post-year-end to fund development studies and exploration, with a Share Purchase Plan to raise up to an additional $500,000.