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Cassini Resources Limited and its Controlled Entities ANNUAL REPORT 2014

CONTENTS

Corporate Information ...... 2 Letter to Shareholders ...... 3 Directors Report ...... 4 Auditor’s Independence Declaration...... 36 Independent Auditor’s Report ...... 37 Consolidated Statement of Profit or Loss and Other Comprehensive Income ...... 39 Consolidated Statement of Financial Position ...... 40 Consolidated Statement of Cash Flows ...... 41 Consolidated Statement of Changes in Equity ...... 42 Notes to the consolidated Financial Statements ...... 43 Directors’ Declaration ...... 79 Corporate Governance Statement ...... 80 ASX Additional Information ...... 89

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Cassini Resources Limited Annual Report for the Year Ended 30 June 2014 1

CORPORATE INFORMATION

This financial report includes the consolidated financial statements and notes of Cassini Resources Limited and its Controlled entities (‘the Group’). The Group’s functional and presentation currency is AUD ($).

A description of the Group’s operations and of its principal activities is included in the review of operations and activities in the Director’s report. The Director’s report is not part of the financial report.

Directors Auditors Michael (Mike) Young BDO Audit (WA) Pty Ltd Non-Executive Chairman 38 Station Street Subiaco WA 6008 Richard Bevan Managing Director Bankers Westpac Banking Corporation Philip Warren Level 13, 109 St Georges Terrace Non-Executive Director Perth WA 6000

Greg Miles Solicitors Executive Director Steinepreis Paganin Level 4, Next Building Jon Hronsky 16 Milligan Street Non-Executive Director Perth WA 6000

Company Secretary Stock Exchange Steven Wood Australian Securities Exchange Limited Level 40, Central Park Registered Office 152-158 St George's Terrace 945 Wellington Street Perth WA 6000 West Perth WA 6005 ASX Code: CZI Share Registry Automic Registry Services Level 1, 7 Ventnor Avenue West Perth WA 6005 T: +1300 288 664

Website www.cassiniresources.com.au

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Cassini Resources Limited Annual Report for the Year Ended 30 June 2014 2

LETTER TO SHAREHOLDERS

Dear Shareholders The Cassini space probe, launched in 1997, is the most ambitious planetary exploration program ever mounted. On its way to Saturn, the probe circled the Sun twice, used Venus to slingshot itself, and arrived in orbit around Saturn in 2004. This recent exploration of the planet by the Cassini spacecraft has surprised and delighted everyone with spectacular and unexpected results. We’ve known about Saturn and its rings since Galileo first saw them in 1610 and up until the Cassini space probe we thought we knew pretty much all there was to know about Saturn. It goes to show what new eyes can do. Which brings us to Cassini Resources. To say that Cassini Resources is an ambitious exploration company is an understatement. The acquisition of BHPB’s West Musgrave Project surprised many, not least for its audacity. But having begun our Company on the back of the Musgrave region, we have always held the firm view that this is one of the last true frontiers of exploration in Australia. It is underexplored and underdeveloped and having the acreage we do, in Western Australia, is hugely advantageous in a world of Ebola, Islamic State, and sovereign risk. The Nebo, Babel and Succoth deposits at the West Musgrave Project are part of a massive nickel-copper system that had been viewed as being uneconomic. However, like the new discoveries at Saturn, our ‘new look’ at the West Musgrave Project will, we expect, likewise yield spectacular and surprising results. As I write this, we have two Reverse Circulation rigs on site and drilling the infill programs which we anticipate will define higher-grade zones within the massive Ni-Cu systems at Nebo-Babel. We will also carry out infill drilling at Succoth, a copper-nickel-PGE deposit, w