Mincor Resources NL : REPLACEMENT Quarterly Cashflow Report

Rule 5.5

Appendix 5B

Mining exploration entity or oil and gas exploration entity

quarterly cash flow report

Name of entity

MINCOR RESOURCES NL
ABN	Quarter ended ("current quarter")
42 072 745 692	31 December 2021

Consolidated statement of cash flows	Current quarter	Year to date (6
			$A'000	months)
				$A'000
1.	Cash flows from operating activities
1.1	Receipts from customers	30	60
1.2	Payments for
	(a)	exploration & evaluation	(4,387)	(8,280)
	(b)	development	-	-
	(c)	production	-	-
	(d)	staff costs	(721)	(2,147)
	(e)	administration and corporate costs	(478)	(1,240)
1.3	Dividends received (see note 3)	-	-
1.4	Interest received	44	73
1.5	Interest and other costs of finance paid	-	-
1.6	Income taxes paid	-	-
1.7	Government grants and tax incentives	-	-
1.8	Other (provide details if material)	160	105
1.9	Net cash from / (used in) operating	(5,352)	(11,429)
	activities
2.	Cash flows from investing activities
2.1	Payments to acquire or for:
	(a)	entities	-	-
	(b)	tenements	-	-
	(c)	property, plant and equipment	(376)	(776)
	(d)	exploration & evaluation	-	-
	(e)	investments	-	-
	(f)	other non-current assets	(15,803)	(30,753)
		Mine properties in development

ASX Listing Rules Appendix 5B (17/07/20)	Page 1
+ See chapter 19 of the ASX Listing Rules for defined terms.

Appendix 5B Mining exploration entity or oil and gas exploration entity quarterly cash flow report

Consolidated statement of cash flows	Current quarter	Year to date (6
			$A'000	months)
				$A'000
2.2	Proceeds from the disposal of:
	(a)	entities	-	-
	(b)	tenements	-	-
	(c) property, plant and equipment	63	495
	(d)	investments	-	-
	(e)	other non-current assets	-	-
2.3	Cash flows from loans to other entities	-	-
2.4	Dividends received (see note 3)	-	-
2.5	Other (provide details if material)	-	-
2.6	Net cash from / (used in) investing	(16,116)	(31,034)
	activities

3. Cash flows from financing activities

3.1 Proceeds from issues of equity securities

	(excluding convertible debt securities)	-	66,281
3.2	Proceeds from issue of convertible debt	-	-
	securities
3.3	Proceeds from exercise of options	-	-
3.4	Transaction costs related to issues of equity	(435)	(2,313)
	securities or convertible debt securities
3.5	Proceeds from borrowings	30,000	30,000
3.6	Repayment of borrowings	-	-
3.7	Transaction costs related to loans and	(449)	(698)
	borrowings
3.8	Dividends paid	-	-
3.9	Other (provide details if material)	(232)	(268)
	Includes lease payments and interest paid on
	borrowings
3.10	Net cash from / (used in) financing	28,884	93,002
	activities

4. Net increase / (decrease) in cash and cash equivalents for the period

4.1	Cash and cash equivalents at beginning of	102,052	58,929
	period
4.2	Net cash from / (used in) operating	(5,352)	(11,429)
	activities (item 1.9 above)
4.3	Net cash from / (used in) investing activities	(16,116)	(31,034)
	(item 2.6 above)
4.4	Net cash from / (used in) financing activities	28,884	93,002
	(item 3.10 above)

ASX Listing Rules Appendix 5B (17/07/20)	Page 2
+ See chapter 19 of the ASX Listing Rules for defined terms.

Appendix 5B Mining exploration entity or oil and gas exploration entity quarterly cash flow report

Consolidated statement of cash flows

1. Effect of movement in exchange rates on cash held
2. Cash and cash equivalents at end of period

Current quarter	Year to date (6
$A'000	months)
	$A'000
-	-
109,468	109,468

5.	Reconciliation of cash and cash	Current quarter	Previous quarter
	equivalents	$A'000	$A'000
	at the end of the quarter (as shown in the
	consolidated statement of cash flows) to the
	related items in the accounts
5.1	Bank balances	800	208
5.2	Call deposits	108,373	101,549
5.3	Bank overdrafts	-	-
5.4	Other (provide details)	295	295
5.5	Cash and cash equivalents at end of	109,468	102,052
	quarter (should equal item 4.6 above)

6.	Payments to related parties of the entity and their	Current quarter
	associates	$A'000
6.1	Aggregate amount of payments to related parties and their	291
	associates included in item 1 *
6.2	Aggregate amount of payments to related parties and their	-
	associates included in item 2

Note: if any amounts are shown in items 6.1 or 6.2, your quarterly activity report must include a description of, and an explanation for, such payments.

• Amounts shown in item 6.1 relates to salaries/ fees (including superannuation) paid to directors during the quarter.

ASX Listing Rules Appendix 5B (17/07/20)	Page 3
+ See chapter 19 of the ASX Listing Rules for defined terms.

Appendix 5B Mining exploration entity or oil and gas exploration entity quarterly cash flow report

7. Financing facilities

Note: the term "facility' includes all forms of financing arrangements available to the entity.

Add notes as necessary for an understanding of the sources of finance available to the entity.

Total facility amount	Amount drawn
at quarter end	at quarter end
$A'000	$A'000

7.1	Loan facilities	30,000	30,000
7.2	Credit standby arrangements	-	-
7.3	Other (please specify)	295	295
7.4	Total financing facilities	30,295	30,295
7.5	Unused financing facilities available at quarter end		-

7.6 Include in the box below a description of each facility above, including the lender, interest rate, maturity date and whether it is secured or unsecured. If any additional financing facilities have been entered into or are proposed to be entered into after quarter end, include a note providing details of those facilities as well.

The Company has a bond, credit card and procurement management facility financed through Commonwealth Bank of Australia with a limit of $295,000. This facility is denominated in Australian dollars and is secured against cash deposits of the same amount shown as restricted cash in Item 5.4 of this report. An annual performance bond fee is charged at market rates. No amounts are payable under these facilities, other than the annual fee, unless the consolidated entity does not adhere to the terms of the agreements guaranteed.

On 29 October 2021, the Company completed a A$30 million Revolving Credit Facility ("RCF") financed by BNP Paribas to replace the previous A$55 million Project Finance Facility1. Key terms of the RCF are as follows:

Facility Amount	A$30 million
Tenor	September 2023. The term may be extended for two further
	1-year periods at each annual review date.
Interest rate	Based on current markets, the interest rate remains
	consistent with the Project Finance Facility.
Mandatory Hedging	In April 2021, as required under the Project Finance
	Facility, the Company completed the mandatory hedge
	program with the execution of forward contracts for 4,666
	nickel tonnes at an average price (after bank margin) of
	between A$21,000/tonne and $22,000/t, over the period
	September 2022 to February 2024.
Conditions and warranties	Customary for a revolving facility of this nature.

1. Please refer to ASX Announcement on 17 September 2020 for further details.

8.	Estimated cash available for future operating activities	$A'000
8.1	Net cash from / (used in) operating activities (item 1.9)	(5,352)
8.2	(Payments for exploration & evaluation classified as investing	-
	activities) (item 2.1(d))
8.3	Total relevant outgoings (item 8.1 + item 8.2)	(5,352)
8.4	Cash and cash equivalents at quarter end (item 4.6)	109,468
8.5	Unused finance facilities available at quarter end (item 7.5)	-
8.6	Total available funding (item 8.4 + item 8.5)	109,468

ASX Listing Rules Appendix 5B (17/07/20)	Page 4
+ See chapter 19 of the ASX Listing Rules for defined terms.

Appendix 5B Mining exploration entity or oil and gas exploration entity quarterly cash flow report

8.7	Estimated quarters of funding available (item 8.6 divided by	20
item 8.3)

Note: if the entity has reported positive relevant outgoings (ie a net cash inflow) in item 8.3, answer item 8.7 as "N/A". Otherwise, a figure for the estimated quarters of funding available must be included in item 8.7.

8.8 If item 8.7 is less than 2 quarters, please provide answers to the following questions:

8.8.1 Does the entity expect that it will continue to have the current level of net operating cash flows for the time being and, if not, why not?

Answer:

Not applicable.

8.8.2 Has the entity taken any steps, or does it propose to take any steps, to raise further cash to fund its operations and, if so, what are those steps and how likely does it believe that they will be successful?

Answer:

Not applicable.

8.8.3 Does the entity expect to be able to continue its operations and to meet its business objectives and, if so, on what basis?

Answer:

Not applicable.

Note: where item 8.7 is less than 2 quarters, all of questions 8.8.1, 8.8.2 and 8.8.3 above must be answered.

Compliance statement

1. This statement has been prepared in accordance with accounting standards and policies which comply with Listing Rule 19.11A.
2. This statement gives a true and fair view of the matters disclosed.

25 January 2022

Date:...................................................................................

BOARD OF MINCOR RESOURCES NL

Authorised by: ...................................................................................

(Name of body or officer authorising release - see note 4)

Notes

1. This quarterly cash flow report and the accompanying activity report provide a basis for informing the market about the entity's activities for the past quarter, how they have been financed and the effect this has had on its cash position. An entity that wishes to disclose additional information over and above the minimum required under the Listing Rules is encouraged to do so.
2. If this quarterly cash flow report has been prepared in accordance with Australian Accounting Standards, the definitions in, and provisions of, AASB 6: Exploration for and Evaluation of Mineral Resources and AASB 107: Statement of Cash Flows apply to this report. If this quarterly cash flow report has been prepared in accordance with other accounting standards agreed by ASX pursuant to Listing Rule 19.11A, the corresponding equivalent standards apply to this report.
3. Dividends received may be classified either as cash flows from operating activities or cash flows from investing activities, depending on the accounting policy of the entity.
4. If this report has been authorised for release to the market by your board of directors, you can insert here: "By the board".
   If it has been authorised for release to the market by a committee of your board of directors, you can insert here: "By the [name of board committee - eg Audit and Risk Committee]". If it has been authorised for release to the market by a disclosure committee, you can insert here: "By the Disclosure Committee".
5. If this report has been authorised for release to the market by your board of directors and you wish to hold yourself out as complying with recommendation 4.2 of the ASX Corporate Governance Council's Corporate Governance Principles and Recommendations, the board should have received a declaration from its CEO and CFO that, in their opinion, the financial

ASX Listing Rules Appendix 5B (17/07/20)	Page 5
+ See chapter 19 of the ASX Listing Rules for defined terms.