Announcement PDF INTERIM FINANCIAL REPORT 31 December 2024 ABN 48 002 678 640 www.cypriummetals.com CONTENTS Corporate Directory PAGE 2 Director’s Report and Review of Operations 3 Auditor’s Independence Declaration 7 Consolidated Statement of Profit or Loss and Other Comprehensive Income 8 Consolidated Statement of Financial Position 9 Consolidated Statement of Changes in Equity 10 Consolidated Statement of Cash Flows 11 Notes to the Consolidated Interim Financial Statements 12 Directors’ Declaration 21 Independent Auditor’s Report 22 CORPORATE DIRECTORY Directors Matthew (Matt) Fifield (Executive Chairman) Gary Comb (Non-Executive Director) Ross Bhappu (Non-Executive Director) Scott Perry (Non-Executive Director) Auditors HLB Mann Judd Level 4, 130 Stirling Street Perth WA 6000 Company Secretary David Hwang Website www.cypriummetals.com Registered Office & Principal Place of Business Level 1 437 Roberts Road Subiaco WA 6008 Telephone: +61 8 6374 1550 Share Registry Automic Level 5, 191 St Georges Terrace Perth NSW 6000 Telephone: 1300 288 664 or +61 2 8072 1400 Securities Exchange Australian Securities Exchange Cyprium Metals Limited (ASX: CYM / OTCQB: CYPMF) 2 DIRECTORS’ REPORT AND REVIEW OF OPERATIONS The Directors present their report for Cyprium Metals Limited (“CYM”, “Cyprium” or “the Company”) and its subsidiaries (“the Group”) for the 6 months ended 31 December 2024. All amounts are expressed in Australian Dollars unless otherwise stated. Chairman’s Letter to Shareholders The first half of the year has been a defining period for Cyprium Metals, marked by significant milestones that reinforce our commitment to delivering long-term value for shareholders. Our achievements this past six months — highlighted by the robust Prefeasibility Study (PFS) for the Nifty Copper Complex — demonstrate the strength of our strategy. The PFS confirmed Nifty’s potential as a cornerstone copper project, boasting a $1.12 billion pre-tax NPV and a 20-year mine life, and solidifying its status as one of Australia’s most significant near-term copper opportunities, and generating valuable exposure to our shareholders to the emerging copper thematic. In parallel, we have taken decisive steps to strengthen the company’s finances and heighten our focus on our most valuable opportunities. This reporting period saw the complete refinancing of the Company’s balance sheet and the release of value from our asset-heavy portfolio through asset sales and rationalization of our exploration portfolio. We have consistently demonstrated our ability to execute at pace across the half year. We have repositioned the company through positive and decisive action and have clear strategic priorities that guide our forward plan. With a growing demand for copper globally, one of the few brownfield copper assets that is capable of coming online quickly, and important strategic partners, Cyprium is set up for further commercial and operational breakthroughs in 2025. I look forward to updating you our continued success and thank you for your continued support. Sincerely, Matthew (Matt) Fifield | Executive Chairman Perth, WA 14 March 2025 Cyprium Metals Limited (ASX: CYM / OTCQB: CYPMF) 3 REVIEW OF OPERATIONS Cyprium executed a number of strategic priorities across the first half of the financial year that has strengthened the Company’s financial and operational base and prepared it to capitalize on its strategic portfolio of western Australian copper assets. Key initiatives executed in the period included: ▪ Strengthening the company’s financial position. During the period, the Company extended the maturities of its key balance sheet liabilities, being its convertible notes and senior loan facilities, all of which were current at the start of the period. With these maturities extended into 2027 and beyond, the Company has generated important runway during which it can create and realise the substantial inherent value from its strategic portfolio of copper assets. Important milestones in the period included: – Strong equity support from insiders and key shareholders in a private placement and accompanying rights issue announced in December 2024 – Sale or strategic review of non-core assets, including surplus power generation and non-core tenements – Extension of maturity of existing convertible note – Refinance and upsize of senior loan facilities ▪ Increasing the maturity and understanding of the Company’s core assets. Cyprium completed a number of important technical milestones in the period to enhance its understanding of the company’s flagship asset, the Nifty Copper Complex. These milestones followed the release of an upgraded mineral resource estimate of Nifty’s sulphide resource in the prior period and included: – Release of an updated Mineral Resource Estimate for the above ground heap leach resources at Nifty – Release of a Pre-feasibility Study that outlined the two projects at the brownfield Nifty Copper Complex, mainly the significant and long-lived Concentrate Project and the quick-to-cashflow Cathode Project. The PFS not only put further definition around these two projects, but was also a first detailed look at how the two projects interact with each other from a development and space planning perspective ▪ Building important commercial partnerships. Cyprium believes strongly in enhancing its ability to execute through building strong partnerships. In the period, the Company entered into a strategic commercial partnership with Glencore that entailed marketing rights for certain copper products, supply of key reagents for SXEW, and provision of finance. Following the period, the Company has entered into a strategic alliance with Macmahon Holdings, a wellknown mine operations contractor, to enhance the Company’s ability to execute the redevelopment of the Nifty Copper Complex. ▪ Continued enhanced communication with shareholders. The many work streams have resulted in a significantly repositioned company within a short space of time. The Company has continued to communicate regularly with shareholders of all size through 1-on-1 engagement, general meetings, and fulsome online disclosure. Additional information can be found online at www.cypriummetals.com and in the Company’s ASX disclosure. Cyprium Metals Limited (ASX: CYM / OTCQB: CYPMF) 4 Table 1 – Key PFS Metrics DIRECTORS The following persons were directors of Cyprium during the year and up to the date of this report: DIRECTOR M Fifield G Comb ROLE Executive Chairman Non-Executive Chairman Non-Executive Director R Bhappu Non-Executive Director CHANGES IN TENURE Appointed 16 February 2024 Appointed 13 September 2023 Transitioned from Non-Executive Chairman to Non-Executive Director on 13 September 2023 Appointed 15 November 2023 S Perry Non-Executive Director Appointed 18 April 2024 Cyprium Metals Limited (ASX: CYM / OTCQB: CYPMF) 5 AUDITOR’S INDEPENDENCE DECLARATION Section 307C of the Corporations Act 2001 requires our auditors, to provide the Directors of the Company with an Independence Declaration in relation to the review of the half-year financial report. This Independence Declaration is set out on page 25 and forms part of this Directors’ Report for the half-year ended 31 December 2024. ROUNDING The amounts contained in this report have been rounded to the nearest ‘000 (unless otherwise stated) under the option available to the Company under ASIC Corporations Instrument 2016/91. The company is an entity to which the legislative instrument applies. Cyprium Metals Limited (ASX: CYM / OTCQB: CYPMF) 6 AUDITOR’S INDEPENDENCE DECLARATION As lead auditor for the review of the consolidated interim financial report of Cyprium Metals Limited for the half-year ended 31 December 2024, I declare that to the best of my knowledge and belief, there have been no contraventions of: a) the auditor independence requirements of the Corporations Act 2001 in relation to the review; and b) any applicable code of professional conduct in relation to the review. Perth, Western Australia 14 March 2025 D B Healy Partner 7 Consolidated Statement of Profit or Loss and Other Comprehensive Income for the six months ended 31 December 2024 31-Dec-2024 31-Dec-2023 $’000 $’000 Interest income 61 247 Other income 1,014 1,023 Employee expenses (3,470) (3,065) Management and administrative expenses (5,815) (5,387) Share-based payments – performance rights (850) 669 Note Continuing Operations Depreciation and amortisation (595) (680) Interest and finance charges (3,848) (1,975) Gain on fair value of derivative financial liabilities 12 2,860 - Loss on convertible notes amendment 12 (724) - (3,029) 581 Gain/(Loss) on foreign exchange Exploration expenditure write down Loss before income tax Income tax benefit Net loss for the year from continuing operations Other comprehensive income Total comprehensive loss for the year Loss per share Basic loss per share (cents per share) 4 (3,125) - (17,521) (8,587) - - (17,521) (8,587) - - (17,521) (8,587) (1.14) (0.88) The above Consolidated Statement of Profit or Loss and Other Comprehensive Income should be read in conjunction with the accompanying notes. Cyprium Metals Limited (ASX: CYM / OTCQB: CYPMF) 8 Consolidated Statement of Financial Position as at 31 December 2024 Note 31-Dec-2024 30-Jun-2024 $’000 $’000 14,206 7,325 Current Assets Cash and cash equivalents Receivables Inventories 62 306 3 6,407 6,467 1,366 1,041 4 1,500 - 23,541 15,139 Other assets Non-current asset held for sale Total Current Assets Non-Current Assets Right-of-use asset 5 813 768 Property plant and equipment 6 120,547 115,444 Deferred exploration and evaluation expenditure 7 31,216 34,632 Other non-current financial assets 8 7,107 7,079 Total Non-Current Assets 159,683 157,923 Total Assets 183,224 173,062 Current Liabilities Trade and other payables 9 4,307 5,952 Lease liabilities 10 555 418 Borrowings 11 - 16,016 Convertible notes 12 - 34,431 4,862 56,817 Total Current Liabilities Non-Current Liabilities Lease liabilities 9 855 1,005 Borrowings 11 43,768 - Convertible notes 12 14,751 - Provisions 13 34,057 34,461 Total Non-Current Liabilities 93,431 35,466 Total Liabilities 98,293 92,283 Net Assets 84,931 80,779 306,073 301,009 Equity Issued capital 14 Reserves 15 8,617 7,727 Convertible notes - equity component 16 15,720 8,748 (245,479) (236,705) 84,931 80,779 Accumulated losses Total Equity The above Consolidated Statement of Financial Position should be read in conjunction with the accompanying notes. Cyprium Metals Limited (ASX: CYM / OTCQB: CYPMF) 9 Consolidated Statement of Changes in Equity for the six months ended 31 December 2024 Balance at 1 July 2023 Loss for the period Total comprehensive loss for the year Transactions with owners in their capacity as owners Shares issued Issued capital Accumulated losses Convertible borrowingsequity component $’000 $’000 $’000 $’000 $’000 271,616 (215,533) 8,748 6,031 70,862 - (8,587) - - (8,587) - (8,587) - - (8,587) Reserves Total 31,780 - - - 31,780 Options issued - - - 185 185 Warrants issued - - - 1,206 1,206 Share based payments - - - (734) (734) Transfer from reserves - 3 - (3) - Cost of Issues (2,387) - - - (2,387) Balance at 31 December 2023 301,009 (224,117) 8,748 6,685 92,325 Balance at 1 July 2024 301,009 (227,958) 8,748 7,727 89,526 - (17,521) - - (17,521) - (17,521) - - (17,521) 5,200 - - - 5,200 Options issued - - - 465 465 Share based payments - - - 425 425 Convertible notes amendment - - 6,972 - 6,972 (136) - - - (136) 306,073 (245,479) 15,720 8,617 84,931 Loss for the period Total comprehensive loss for the year Transactions with owners in their capacity as owners Shares issued Cost of Issues Balance at 31 December 2024 The above Consolidated Statement of Changes in Equity should be read in conjunction with the accompanying notes. Cyprium Metals Limited (ASX: CYM / OTCQB: CYPMF) 10 Consolidated Statement of Cash Flows for the six months ended 31 December 2024 31-Dec-2024 31-Dec-2023 $’000 $’000 (8,686) (9,835) (40) (117) - - (2,282) (979) 61 247 (10,947) (10,684) Payment for plant and equipment (4,063) (2,587) Payments for exploration expenditure (1,796) (683) Note Cash flows from operating activities Payments to suppliers and employees – continuing operations Interest paid on lease liabilities Interest paid on convertible notes Interest on borrowing Interest received Net cash (used in) operating activities Cash flows from investing activities (Payments for)/refund of security deposits (28) (223) 1,014 1,023 (4,873) (2,470) 5,200 31,619 Proceeds from loan 45,247 4,308 Repayment of loan (21,875) - (1,392) (1,394) (5,000) - (137) (2,270) Proceeds from asset sales Net cash (used in) investing activities Cash flows from financing activities Proceeds from issue of shares Payments for loan issue costs Payments for convertible notes amendment Payments for share issue costs Payment of lease liabilities 12 (252) (120) Net cash provided by financing activities 21,791 32,143 Net increase in cash and cash equivalents 5,971 18,989 Cash and cash equivalents at the beginning of the year 7,325 3,602 910 - 14,206 22,591 Effect of exchange rate changes on cash and cash equivalents Cash and cash equivalents at the end of the year The above Consolidated Statement of Cash Flows should be read in conjunction with the accompanying notes. Cyprium Metals Limited (ASX: CYM / OTCQB: CYPMF) 11 Notes to the Consolidated Interim Financial Report for the six months ended 31 December 2024 1. Corporate Information The financial report of Cyprium Metals Limited (“Cyprium Metals” or “the Company”) and its controlled subsidies (“the Group”) for the year ended 31 December 2024 was authorised for issue in accordance with a resolution of the Directors on 14 March 2025. Cyprium Metals is a company limited by shares incorporated in Australia whose shares are publicly traded on the Australian Securities Exchange. The nature of the operations and the principal activities of the Company are described in the Directors’ Report and Review of Operations. 2. Summary of Material Accounting Policies (a) Basis of Preparation These general-purpose financial statements for the six months ended 31 December 2024 have been prepared in accordance with applicable accounting standards including AASB 134” Interim Financial Reporting” and the Corporations Act 2001. Compliance with AASB 134 ensures compliance with IAS 34 “Interim Financial Reporting”. These interim financial statements for the six months ended 31 December 2024 do not include all the notes of the type normally included in annual financial statements and therefore cannot be expected to provide as full an understanding of the financial performance, financial position and financing and investing activities of the Group as the full financial statements. Accordingly, these interim financial statements for the six months ended 31 December 2024 are to be read in conjunction with the annual financial statements for the year ended 30 June 2024 and any public announcements made by Cyprium Metals Limited during the half-year reporting period in accordance with the continuous disclosure requirements of the Corporations Act 2001. The half-year report has been prepared on an accruals basis and is based on historical costs. For the purpose of preparing the half-year financial report, the half-year period has been treated as a discrete reporting period. (b) Compliance Statement The financial report complies with Australian Accounting Standards, which include Australian equivalents to International Financial Reporting Standards (AIFRS). Compliance with AIFRS ensures that the financial report, comprising the financial statements and notes thereto, complies with International Financial Reporting Standards (IFRS). (c) Critical accounting estimates and judgements The application of accounting policies requires the use of judgements, estimates and assumptions about the carrying values of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates. The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions are recognised in the year in which the estimate is revised if it affects only that year, or in the year of the revision and future years if the revision affects both current and future years. Share-Based Payments The Group measures the cost of equity-settled transactions with employees by reference to the fair value of the equity instruments at the date at which they are granted. The fair value is determined using a binomial valuation model. The Group measures the cost of cash-settled share-based payments at fair value at the grant date using a binomial valuation model taking into account the terms and conditions upon which the instruments were granted. Cyprium Metals Limited (ASX: CYM / OTCQB: CYPMF) 12 Notes to the Consolidated Interim Financial Report for the six months ended 31 December 2024 Deferred Tax In accordance with the Group's accounting policies for deferred taxes, a deferred tax asset is recognised for unused tax losses only if it is probable that future taxable profits will be available to utilise those losses. Determination of future taxable profits requires estimates and assumptions as to future events and circumstances, in particular, whether successful development and commercial exploitation, or alternative sale, of the respective areas of interest will be achieved. This includes estimates and judgements about commodity prices, ore reserves, exchange rates, future capital requirements, future operational performance, and the timing of estimated cash flows. Changes in these estimates and assumptions could impact on the amount and probability of estimated taxable profits and accordingly the recoverability of deferred tax assets. The Group has not recognised a net deferred tax asset for temporary differences and tax losses as at 31 December 2024 on the basis that the ability to utilise these temporary differences and tax losses cannot yet be regarded as probable. Deferred Exploration and Evaluation Expenditure Deferred exploration and evaluation expenditure has been capitalised on the basis that the Group will commence commercial production in the future, from which time the costs will be amortised in proportion to the depletion of the mineral resources. Key judgements are applied in considering costs to be capitalised which includes determining expenditures directly related to these activities and allocating overheads between those that are expensed and capitalised. In addition, costs are only capitalised that are expected to be recovered either through successful development or sale of the relevant mining interest. Factors that could impact the future commercial production at the mine include the level of reserves and resources, future technology changes, which could impact the cost of mining, future legal changes, and changes in commodity prices. To the extent that capitalised costs are determined not to be recoverable in the future, they will be written off in the year in which this determination is made. Mine Rehabilitation Provision The recognition and measurement of closure and rehabilitation provisions requires the use of significant estimates and assumptions, including, but not limited to: a. the extent (due to legal or constructive obligations) of potential activities required for the removal of infrastructure and rehabilitation activities; b. costs associated with future rehabilitation activities; c. applicable real discount rates; d. the timing of cash flows and ultimate closure of operations. Rehabilitation activities are generally undertaken at the end of production life at mine sites. Given the long-lived nature of the Group’s assets, closure activities are not expected to occur for a significant period of time. While the closure and rehabilitation provisions reflect management’s best estimates based on current knowledge and information, further studies, and detailed analysis of the closure activities for individual assets will be performed as the assets near the end of their operational life and/or detailed closure plans are required to be submitted to relevant regulatory authorities. Such studies and analysis can impact the estimated costs of closure activities. Derivative Financial Liabilities at fair value The group measures the fair value of derivative financial instruments using the Black Scholes Option Pricing model. The instrument is valued at inception and revalued at each reporting date and at the date of the conversion to equity. (d) Financial risk management The Group’s financial risk management objectives and policies are consistent with those disclosed in the consolidated financial report as at and for the year ended 30 June 2024. Cyprium Metals Limited (ASX: CYM / OTCQB: CYPMF) 13 Notes to the Consolidated Interim Financial Report for the six months ended 31 December 2024 (e) Going concern The financial report has been prepared on a going concern basis, which contemplates continuity of normal business activities and the realisation of assets and settlements of liabilities in the ordinary course of business. At balance date the Group has a closing cash balance of $14.2 million. 3. Inventories Stores and spares (at cost) 31-Dec-2024 $’000 6,407 6,407 30-Jun-2024 $’000 6,467 6,467 4. Non-current asset held for sale 31-Dec-2024 30-Jun-2024 $’000 $’000 Murchison Copper Project 1,500 1,500 During the period, the Group commenced a divestment process for the Murchison Copper Project. On 5 February 2025, the Group executed the binding Sales and Purchase agreement with Solstice Minerals Limited of the copper projects located in Murchison Region of Western Australia. The Consideration is as follows: ▪ $1 million (ex GST) in immediately available funds on completion of Divestment; ▪ 3,000,000 fully paid ordinary shares in the capital of Solstice (Solstice Shares) on Completion. The Solstice Shares will be subject to a holding lock until, in respect of 50% of the Shares, 6 months after Completion, and in respect of the remaining 50% of the Shares, 12 months after Completion; and ▪ 3,000,000 Solstice Shares if, within 4 years of Completion, the Company issues an announcement to the ASX of a Mineral Resource within the land the subject of the Tenements which contains more than 250,000 tonnes of contained copper applying a cut-off grade of not less than 0.20% Cu (Deferred Consideration Shares) The Murchison Copper Project had a carrying value of $4.63 million at 31 December 2024. The Group has reclassed the Murchison Copper Project from deferred exploration and evaluation expenditure assets to noncurrent assets held for sale as the sale is considered highly probable to complete within 12 months. On reclassification, the Murchison Copper Project has been written down to its expected sale price of approximately $1.5 million, and a write down of $3.13 million has been recorded in the statement of profit or loss and other comprehensive income. 5. Right-of-use asset Leased premises Movement in right-of-use asset: Opening balance Acquisitions Amortisation for the period Closing balance Cyprium Metals Limited (ASX: CYM / OTCQB: CYPMF) 31-Dec-2024 $’000 813 813 30-Jun-2024 $’000 768 768 768 189 (144) 813 963 23 (218) 768 14 Notes to the Consolidated Interim Financial Report for the six months ended 31 December 2024 6. Property, Plant and Equipment At cost Land and buildings $’000 Balance at 1-Jul-2024 577 Additions Depreciation (67) Balance at 31-Dec-2024 510 Cost 1,673 Accumulated depreciation (1,163) Balance at 31-Dec-2024 510 Mining properties and leases $’000 88,614 3,236 91,850 91,850 91,850 Plant and equipment $’000 13,172 (334) 12,838 16,457 (3,619) 12,838 Capital works in progress $’000 13,081 2,268 15,349 15,349 15,349 Total $’000 115,444 5,504 (401) 120,547 125,329 (4,782) 120,547 At 31 December 2024, the Group’s market capitalisation is lower than its net asset, this represented an indicator of impairment. The Group has determined that there is only one cash generating unit and it consists of the inventories, property, plant and equipment, security deposits, associated exploration assets, and provision for rehabilitation. The recoverable amount estimation was based on the estimated value in use of the Nifty Copper Mine with a discount rate of 13% applied to the cash flow projections. No impairment was recognised as a result of this assessment. 7. Deferred Exploration and Evaluation Expenditure Opening balance Exploration and evaluation expenditure incurred during the year Reclass Murchison Project to asset held for sale (note 4) Closing balance 31-Dec-2024 $’000 34,632 1,209 (4,625) 31,216 30-Jun-2024 $’000 33,364 1,268 34,632 The recoupment of costs carried forward in relation to areas of interest in the exploration and evaluation phases is dependent on the successful development and commercial exploitation or sale of the respective areas. 8. Other non-current financial assets Security deposits and bank guarantees 9. Trade and other payables Current: Trade payables and accrued expenses Other consumption taxes payable Cyprium Metals Limited (ASX: CYM / OTCQB: CYPMF) 31-Dec-2024 $’000 7,107 7,107 30-Jun-2024 $’000 7,079 7,079 31-Dec-2024 $’000 30-Jun-2024 $’000 4,176 131 4,307 5,822 130 5,952 15 Notes to the Consolidated Interim Financial Report for the six months ended 31 December 2024 10. Lease liabilities Leased premises - current Leased premises - non-current Movement in lease liabilities Opening balance Interest Additions Principal repayments Closing balance 11. Borrowings – Non-Current Opening Balance Loan repayment Loan drawdown Arrangement fee Borrowing costs Loss due to foreign exchange movement Closing balance Current Non-Current 31-Dec-2024 $’000 555 855 1,410 30-Jun-2024 $’000 418 1,005 1,423 1,423 40 172 (252) 1,410 1,665 42 23 (307) 1,423 31-Dec-2024 $’000 16,016 (21,875) 45,247 (546) 1,526 3,400 43,768 30-Jun-2024 $’000 14,296 906 814 16,016 43,768 43,768 16,016 16,016 During the current period, the Company entered into a 4 years, USD-denominated Senior Secured Loan Facility (“Loan Facility”) with Glencore International AG and its affiliates (Glencore). The facility has refinanced $14.5 million Secured Loan Deed facility with Nebari and provides additional working capital to advance the development of Nifty. The material terms of the Loan Facility are as follows: ▪ Funded amount: USD 27,300,000 ▪ Facility term: 4 years following the first drawdown ▪ Coupon: 3M Term SOFR + a market-based fixed margin, paid quarterly ▪ Repayment holiday: 24 months following first drawdown ▪ Amortisation: 100% bullet on maturity ▪ Security: over the assets of Cyprium and its projects 12. Convertible notes – financial liability at amortised cost Opening balance Loss on amendment of convertible notes agreement Less derivative liability Amendment fee Amendment fee - options Borrowing costs Closing balance Current Non-Current Cyprium Metals Limited (ASX: CYM / OTCQB: CYPMF) 31-Dec-2024 $’000 34,431 724 (18,580) (5,000) (465) 3,641 14,751 30-Jun-2024 $’000 33,935 496 34,431 14,751 14,751 34,431 34,431 16 Notes to the Consolidated Interim Financial Report for the six months ended 31 December 2024 During the first half of FY 2024-205, the Company announced that amendment to unsecured convertible notes. Key terms of the amendment are as follows: ▪ Convertible Note redemption date extended to 31 March 2028. ▪ $5 million amendment fee payable in two equal instalments of $2.5 million. ▪ Annual interest rate adjusted to 6% per year, payable in cash semi-annually. ▪ Conversion price will be amended to a 25% premium to the share price at which Cyprium next raises equity capital (Conversion Price). ▪ Convertible Notes can be redeemed early at Cyprium’s option through payment of 115% of face value. In the event of an early redemption Metals X can, at its sole option, elect to take a maximum of 200 million Cyprium shares at the Conversion Price rather than receiving cash consideration, with the balance to be paid in cash. ▪ Cyprium will issue Metals X 40.6 million options, with a two-year expiry and an exercise price equal to the Conversion Price Derivative liability at fair value Opening balance Fair value of conversion derivative liability at inception Fair value gain Fair value of derivative liability at derecognition and transfer to equity reserve (note 16) Closing balance 31-Dec-2024 $’000 18,580 (2,860) 30-Jun-2024 $’000 - (15,720) - - - The conversion price of the convertible note became fixed at $0.035 after the capital raise of 185,714,285 shares at an issue price of $0.028 was completed on 20 December 2024. At this point the conversion derivative liability was settled and its fair value of $15.72 million at settlement date was derecognised and transferred to convertible note equity reserve. 13. Provisions Provision for Rehabilitation Movements in Provision Opening balance Transfer – PPE Closing balance 31-Dec-2024 $’000 34,057 34,057 30-Jun-2024 $’000 34,461 34,461 34,461 (404) 34,057 36,345 (1,884) 34,461 Mine Rehabilitation The mine rehabilitation provision is recognised for the estimated cost of rehabilitation, decommissioning, restoration, and long-term monitoring of areas disturbed during operation of the Nifty Copper Operations up to reporting date but not y