Orion Metals : Half Yearly Report and Accounts

ORION METALS LIMITED

ACN 096 142 737

INTERIM FINANCIAL REPORT

FOR THE HALF-YEAR ENDED

31 AUGUST 2020

Orion Metals Limited

Contents	Page No.
Corporate information	2
Directors' report	3
Auditor's independence declaration	5
Half-year interim financial report
Consolidated Statement of Financial Position	6
Consolidated Statement of Profit or Loss and Other Comprehensive Income	7
Consolidated Statement of Changes in Equity	8
Consolidated Statement of Cash Flows	9
Notes to the interim financial report	10
Directors' declaration	14
Independent auditor's review report	15

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Corporate information

Directors	Dr Yi Yang (Chairman, Non-Executive Director)
	Dr Feng Wu (Executive Director)
	Mr Bo Wang (Non-Executive Director)
	Mr Bin Cai (Executive Director/CFO)
Company secretary	Bill Lyne
Registered office	35 Hamish St
	Calamvale QLD 4116
Share registry	Link Market Services Limited
	Level 21
	10 Eagle Street
	Brisbane Qld 4000
	Telephone: + 61 2 8280 7111
	Facsimile: + 61 2 9287 0303
Auditor	BDO Audit Pty Ltd
	Level 10
	12 Creek Street
	Brisbane Qld 4000
	Telephone: + 61 7 3237 5999
	Facsimile: + 61 7 3221 9227
Lawyers	Ashurst Australia
	Level 38,
	Riverside Centre,
	123 Eagle Street,
	Brisbane QLD 4000
	Telephone: [phone]
	Facsimile: [phone]
Stock exchange listing	Orion Metals Limited shares are quoted on the Australian Securities Exchange
	under the code 'ORM'
Website address	www.orionmetals.com.au

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Orion Metals Limited

Directors' report

The Directors of Orion Metals Limited ('Orion', 'ORM' or 'the Company') submit herewith the interim financial report of the Company for the half-year ended 31 August 2020.

Directors

The names and details of the Directors of the Company in office during the half-year and until the date of this report are:

Dr Yi Yang (Non-Executive Chairman, Non-Executive Director)

Dr Feng Wu (Executive Director)

Bo Wang (Non-Executive Director)

Bin Cai (Executive Director/CFO)

Principal activities

The principal activity of the Company during the period was exploration for rare earth metals and gold.

Review of operations

The Company recorded a loss after tax of $255,966 for the half-year ended 31 August 2020 (31 August 2019: $276,579).

Exploration and Evaluation expense during the half-year was $28,830 (2019: $63,160).

The Company's only exploration project is now Top Camp and no on-ground exploration activities were conducted there during the half-year period. The Company has continued to assess the project to maintain the tenements in good standing.

With regard to the Tanami West project, in August 2019 a Tenements Sale Agreement was executed between PVW Resources NL ('PVW') and Orion's wholly-owned subsidiary, Rich Resources Investments Pty Ltd ('RRI'). Under the Agreement RRI has agreed to sell the 7 exploration tenements to PVW Tanami Pty Ltd ('PVW Tanami') for a total of $250,000. Initial payment of $130,000 was received by Orion in the previous financial period and the balance of $120,000 will be received on completion of the transfer of the titles, which is expected soon. Revenue from the sale of the tenements will be recognised on completion date.

Exploration activities:

There was no on-ground exploration conducted this half-year by Orion.

Orion's exploration activities remain tightly constrained at the Top Camp project while the Company's Board of Directors decides on exploration objectives and strategy.

Top Camp Project

Gold and Copper

Located 40km south west of Cloncurry in Queensland, the Top Camp Project consists of 4 granted mining leases. All the leases are 100% ORM held. The Project is considered prospective for IOCG (iron oxide copper gold) type deposits and has alluvial gold potential.

During the current reporting period the Queensland DNRME renewed ML 2764 for a further 5 years commencing 1 February 2020. Orion has applied to renew ML 2786 for an additional 5 years commencing 1 March 2021.

No on-ground exploration was conducted during this period.

Tanami West Project

Rare Earth Elements (REE) and Gold

This is a REE and gold exploration Project located in the Tanami region of north-eastern Western Australia. It consists of 7 granted tenements covering 107 sub-blocks over 321² km. The granted tenements are held by RRI.

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