Inca Minerals : Half Yearly Report and Accounts

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Inca Minerals Limited

ACN 128 512 907

Half Year Financial Report

For the half year ended 31 December 2021

Inca Minerals Limited	Half year ended 31 December 2021

For personal use only

CONTENTS
Corporate Particulars	1
Directors' Report	2
Auditor's Independence Declaration	4
Financial Report
Consolidated Statement of Profit or Loss and Other Comprehensive Income	5
Consolidated Statement of Financial Position	6
Consolidated Statement of Changes in Equity	7
Consolidated Statement of Cash Flows	8
Condensed Notes to the Consolidated Financial Statements	9
Directors' Declaration	15
Independent Auditor's Review Report	16

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Inca Minerals Limited

CORPORATE PARTICULARS

Directors

Company Secretary

Registered Office

Corporate Office

Share Registry

Auditor

Half year ended 31 December 2021

Mr Ross Brown - Managing Director

Mr Gareth Lloyd

Dr Jonathan West

Mr Adam Taylor

Malcolm Smartt

Emma Curnow

Suite 1, 16 Nicholson Road

SUBIACO, WA, 6008, AUSTRALIA

Suite 1, 16 Nicholson Road

SUBIACO, WA, 6008, AUSTRALIA

Advanced Share Registry Ltd

110 Stirling Highway

PERTH, WA, 6009, AUSTRALIA

Stantons

Level 2, 40 Kings Park Road,

WEST PERTH, WA, 6005, AUSTRALIA

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Inca Minerals Limited	Half year ended 31 December 2021

DIRECTORS' REPORT

The Directors present their report on Inca Minerals Limited (Inca or Company) for the half year ended 31 December 2021.

Directors

The names of Directors who held office during or since the end of the half year are:

Mr Ross Brown

Dr Jonathan West

Mr Gareth Lloyd

Mr Adam Taylor (appointed 1 March 2022)

Directors were in office since the start of the financial year to the date of this report unless otherwise stated.

Review of Operations and Exploration Activities

The loss attributable to members of Inca Minerals Limited for the half year ended 31 December 2021 (report period) was $566,395 (2020: profit $2,213,873). No dividends were paid or declared payable during or since the report period.

During the report period the Company completed several important programs, including but not limited to, the NE Area drilling program at Riqueza and several geophysical surveys across the Australian projects.

The Company lodged an exploration licence application (ELA) over the NTGS drill holes NDIBK01 and NDIBK04. During the report period the Company was informed that the ELA was awarded in Inca's favour. The ELA is likely to be granted in early to mid-2022. Government drill hole NDIBK04 intersected 327m of hydrothermally altered sulphide-bearing bedrock.

Eleven IOCG and/or SEDEX tier-1 scale drill targets were generated as the result of modelling and interpretations of AMAGRAD and ground gravity surveys conducted in a previous report period at the Frewena Group Project. A large 28,800m drill program was designed to adequately test these targets. This program is scheduled to commence in early 2022.

Across the southern and eastern half of the Frewena Group Project, the Company completed a government co-funded airborne geophysics magnetic and radiometric (AMAGRAD) survey. The 58,171 line- kilometre survey was co-funded by the Northern Territory Department of Primary Industry and Resources (NTPIR) for one hundred thousand dollars ($100,000) under its Geophysics and Drilling Collaborations Program. At the end of the report period, the data is still being reviewed with the objective of delineating drill targets.

A similar AMAGRAD survey was conducted at Jean Elson, with a total of 30,026 line-kilometre. Also, a co- funded survey, at the end of the report period, the data is still being reviewed with the objective of delineating drill targets.

At the Company's MaCauley Creek Project bonanza grade silver and percentage level copper mineralisation was identified during a mapping and sampling program. The mineralisation is porphyry and/or skarn-like. An induced polarisation ground geophysics survey was then carried out at MaCauley Creek. The survey was not completed prior to the onset of the wet season and will be resumed as ground conditions improve.

In Peru, the NE Area drilling identified a broadly propylitic-altered and sulphide-bearing limestone sequence. No economic grade mineralisation was intersected. Elsewhere at Riqueza, additional ground was acquired towards the south, following the identification of bonanza grade silver and percentage level copper mineralisation in mapping and sampling. Now referred to as Riqueza South, this new area is adjacent to the known Huancullo gold-copper epithermal and porphyry deposits, the latter partly owned by Anglo American.

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Inca Minerals Limited	Half year ended 31 December 2021

Events Subsequent to Reporting Date

On 4 January 2022, the Company issues 266,731 fully paid ordinary shares at $0.1145 per share.

Other than as disclosed in this report, there have been no further material items, transactions or events subsequent to 31 December 2021 which, although they do not relate to conditions existing at that date, have not been dealt with in this report and which would cause reliance on the information shown in this report to be misleading.

Lead Auditor's Independence Declaration under Section 307C of the Corporations Act 2001

The lead auditor's independence declaration under Section 307C of the Corporations Act 2001 is set out on

page 4, and forms part of the Directors' Report for the half year ended 31 December 2021.

Signed in accordance with a resolution of the Directors.

Ross Brown

Managing Director

Dated at Perth this 11th day of March 2022.

Competent Person's Statement

The information in this report that relates to mineralisation for the Greater Riqueza and Cerro Rayas Projects located in Peru, is based on information compiled by Mr Ross Brown BSc (Hons), MAusIMM, SEG, MAICD, Managing Director, Inca Minerals Limited, who is a Member of the Australasian Institute of Mining and Metallurgy. He has sufficient experience, which is relevant to the style of mineralisation and types of deposits under consideration, and to the activity which has been undertaken, to qualify as a Competent Person as defined in the 2012 Edition of the "Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves". Mr Brown is a fulltime employee of Inca Minerals Limited and consents to the report being issued in the form and context in which it appears.

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