The directors present their report together with the financial report of RNI NL (the Company or RNI), for the year ended 30 June 2015 and the auditor's report thereon.
-
Directors
The directors of the Company at any time during or since the end of the financial year are:
Name Period of Directorship
Mr Miles A Kennedy - Executive Chairman Director since 7 September 2006, Non-Executive with effect
from 28 November 2014, Executive with effect from 2 July 2015
Mr Albert G Thamm - Non-Executive Director Director since 1 December 2011; Non-Executive with effect
from 28 November 2014
Ms Nanette Anderson - Non-Executive Director
Mr Royce McAuslane - Managing Director
Mr Thomas J Mann - Non-Executive Director
Appointed 7 July 2015
Appointed 11 November 2014, Resigned 2 July 2015
Resigned 15 May 2015
Mr John R Hutton - Non-Executive Director Resigned 5 November 2014
The qualifications, experience, interest in shares and options, and other directorships of the directors in office at the date of this report are:
Miles A Kennedy Executive Chairman
Experience and expertise Mr Kennedy was a lawyer. He has held directorships of Australian
listed resource companies for over 32 years. He was founding Chairman of Macraes Mining Company Ltd, Executive Chairman of Kimberley Diamond Company NL (1993 to 2007) and Executive Chairman of Sandfire Resources NL (Aug 2007 to Dec 2009).
Interest in Shares and Options 30,115,336 ordinary shares in RNI NL and options to acquire a further
7,000,000 ordinary shares.
Listed company directorships in last three years
Currently Non-Executive Chairman of Lucapa Diamond Company Limited (since Nov 2014). Formerly Executive Officer / Managing Director of Lucapa Diamond Company Limited (Sept 2008 to Nov 2014). Currently Chairman of Marine Produce Australia Limited (since Jun 2008). Formerly Chairman of MOD Resources Limited (Mar 2011 to May 2014).
Albert G Thamm Non-Executive Director
Experience and expertise Mr Thamm has over 25 years of experience in exploration and mining
project development in Australia, Africa and South America. He holds Bachelors, Honours and Masters Degrees in Geology and is a fellow and chartered professional of the Australasian Institute of Mining and Metallurgy and a fellow of the Society of Economic Geologists (USA).
Interest in Shares and Options 400,000 ordinary shares in RNI NL and options to acquire a further
2,000,000 ordinary shares.
Listed company directorships in last three years
Currently a Non-Executive Director of Lucapa Diamond Company Limited (since May 2014).
Nanette Anderson Non-Executive Director
Experience and expertise Ms Anderson has worked in the resource sector for 18 years, with a
background in geology, exploring and developing projects throughout Australia and South East Asia. Her experience extends from equity raisings through to project sales, acquisitions and joint ventures. She was previously Managing Director of Southern Gold Ltd, where she was instrumental in securing finance for the Cannon Gold Project, WA through a Mine Finance and Profit Share Agreement with Metals X Ltd. She hold Bachelor and Honours Degrees in Geology and is a member of the Australian Institute of Company Directors and the Australian Institute of Mining and Metallurgy.
Interest in Shares and Options None
Listed company directorships in last three years
Ms Anderson was previously Managing Director of Southern Gold Ltd until Feb 2015 and a director of Jaguar Minerals Ltd.
-
Company Secretary
Mr Mark Clements holds the position of Company Secretary, being appointed on 2 July 2012. Mr Clements gained a Bachelor of Commerce degree from the University in Western Australia. He is a Fellow of the Institute of Chartered Accountants and a member of the Australian Institute of Company Directors and an affiliated member of the Institute of Chartered Secretaries in Australia. Mr Clements currently holds the position of Company Secretary for a number of publically listed companies and has experience in corporate finance, accounting and administration, capital raisings and ASX compliance and regulatory requirements.
-
Directors' Meetings
Formal meetings of the directors of the Company during the financial year are tabled as follows:
Director Meetings eligible to attend
Meetings attended
Miles Kennedy 9 9
Albert Thamm 9 9
Nanette Anderson - -
Royce McAuslane 6 6
John Hutton 3 3
Thomas Mann 9 7
-
Principal Activities and Review of Operations
Introduction
RNI NL (ASX: RNI) continued to advance its copper-gold exploration activities across the Company's extensive and highly-prospective Bryah Basin tenement package during the year under review (Figure 1).
Figure 1: RNI's extensive Bryah Basin copper-gold exploration portfolio, including the gold assets to be sold to Metals X
Discussions also progressed with various parties to provide the development funding required for the Grosvenor Gold Project and to address the repayment of the financing facility provided by Taurus Resources No 2 Fund (Taurus).
As referred to in the Events Subsequent to Reporting Date section of this report, RNI announced on 31 July 2015 the Company had entered into a binding Heads of Agreement to sell the Grosvenor Gold Project and its other gold assets to Metals X Limited (ASX: MLX) subject to the finalisation of legal agreements, approval from RNI shareholders and other regulatory approvals. In consideration for the gold assets, Metals X will issue the Company with 18 million new fully paid ordinary Metals X Shares.
As announced to the ASX on 26 August 2015, RNI reached agreement to fix the amount of the debt owed to Taurus at $23 million and extend the debt repayment deadline to 30 November 2015.
RNI intends to repay the Taurus debt via a combination of a non-renounceable entitlements issue to raise up to $5.48 million, the issue of RNI shares to Taurus for up to $2.5 million and the orderly sale of the Metals X shares. As announced on 22 September 2015, GMP Securities Australia has underwritten $5 million of the entitlements issue.
The sale of the gold assets to Metals X will enable RNI to refocus on its 1,300km2 exploration portfolio in the Bryah Basin, which is considered highly prospective for significant copper-gold discoveries.
The retained portfolio will include the Cashmans, Morck's Well/Beatty Park and Doolgunna Projects and the 12km volcanic hosted massive sulphide (VHMS) corridor which includes the Forrest copper-gold discovery and the Wodger and Big Billy targets.
In conjunction with the sale, RNI will purchase from Metals X the Chunderloo Copper-Gold Project at Meekatharra for a consideration of 25 million new RNI shares, providing additional scale to the Company's copper-gold exploration strategy.
Exploration
Doolgunna Copper-Gold Project (RNI option to acquire 100%)
The potential for the Doolgunna Project to host copper-gold discoveries was significantly re-rated following the high-grade copper-gold discovery at the Monty Prospect, which has included diamond drilling results of 16.5m
@ 18.9% Cu and 2.1g/t Au, and 13.1m @ 8.4% Cu and 2.1g/t.
RNI's Doolgunna Project is located within 5km along strike from the Monty discovery and approximately 2.5km from the DeGrussa copper-gold mine (Figure 2).
The Monty discovery prompted RNI to conduct a thorough re-evaluation of all previous exploration data from Doolgunna. This review successfully identified a series of advanced copper-gold targets - all located within three geological corridors considered highly prospective for the development of copper-gold VHMS mineralising systems (Figure 2).
Figure 2: High priority copper-gold targets identified within three VHMS corridors at RNI's Doolgunna Project showing proximity to both the Monty massive sulphide discovery and the DeGrussa copper-gold mine. Targets defined by anomalous soil geochemistry, first pass drill intersections and gravity anomalism
These three VHMS corridors represent a combined ~13 strike km of prospective stratigraphy. Previous exploration by RNI across these corridors was primarily limited to shallow testing, with most drilling less than 100 metres. In addition, previous surface electromagnetic (EM) survey work was hindered by highly-resistive surface conditions which limited penetration. RNI is evaluating drilling and exploration programs to test the priority targets along the three VHMS corridors.
Forrest Copper-Gold Discovery (RNI 80%, Fe Ltd 20%)
RNI made the Forrest copper-gold discovery (Figure 1) in the June 2014 quarter, with the first diamond hole, FGDD001, returning a major intersection of oxide-transitional copper-gold mineralisation of 9.1m @ 5.27% Cu, 2g/t Au and 8.35g/t Ag from 142.9m. This included 4.25m @ 8.86% Cu, 2.84g/t Au and 15.07g/t Ag from 145.6m.
RNI's follow-up drilling program at Forrest proved highly successful, with all holes intersecting significant copper mineralisation. The most recent holes drilled - FGDD006 and FGDD004b - both intersected zones of stringer copper sulphides (chalcopyrite and minor bornite), grading up to 4% Cu.
The results clearly demonstrate the extensive continuity of the copper mineralisation at Forrest, with the mineralisation (oxide, transitional and primary) so far defined over a strike length of 300m and 350m down dip plunge. The mineralisation at Forrest remains totally open down-plunge.
Significantly, the copper mineralisation at Forrest also contains the pathfinder elements (bismuth, tellurium, silver and barium) consistent with a close VHMS source, though it is now clear that the mineralisation is structurally modified and largely remobilised.
The interpretation is that the currently defined copper mineralisation represents a fault controlled remobilisation that is likely to be proximal to a primary VHMS source. Further exploration is planned at Forrest and the 12km VHMS corridor which extends north towards the Grosvenor gold plant.
Mor c k 's W ell Pr oj ec t (R NI 8 0%; Fe Ltd 20%)
Morck's Well is located in the eastern part of the Bryah Basin covering a large area of the prospective Narracoota Volcanic Formation (~40km strike length). The northern boundary of Morck's Well is contiguous with Sandfire Resources NL's DeGrussa-Doolgunna exploration property (Figures 1 and 3).
Figure 3: VTEM targets at the Morck's Well Project
Morck's Well has been the subject of a program of high quality, systematic regional data collection designed to explore for copper-gold and gold deposits.
As announced to the ASX on 30 January 2015, RNI completed ground-based fixed loop electromagnetic (FLEM) surveys over three late-time conductors previously identified at Morck's Well from VTEM survey data to confirm and better define the anomalies with the aim of generating drilling targets (Figure 3).
The results of the FLEM surveys produced two priority targets at Morck's Well:
Target 3 - Jacques Copper-Gold Prospect
The FLEM survey confirmed the original anomaly identified in the VTEM data. This has since been modelled as a flat lying feature at a depth of 200m (Figure 3). In addition, a separate conductive zone to the north-west of the original feature was identified. This zone is modelled at a relatively shallow depth (50-75m) as either a sub-vertical or flat lying body (Figure 3).
The target zone at Jacques is located to the immediate south of a series of significant previous high-grade gold intersections. Shallow previous RAB drilling (CRA Exploration) across the area also defined a large, strongly- anomalous copper zone supported by elevated gold values.
The Jacques prospect has developed into a significant exploration target for RNI. The nature of the highly- anomalous copper and gold drilling results, in broad association with the FLEM anomalies, clearly requires additional exploration.
Target 2 - Mt Leake Prospect
The FLEM survey at Mt Leake confirmed and better constrained the original anomaly identified in the VTEM data. This is now modelled as a moderately south dipping body at a depth of 200m. The modelling to date has identified a well-defined and relatively localised target that can be tested with a single 300m drill hole.
Grosvenor Gold Project
RNI continued to advance a low-cost and near-term development pathway for the 100% owned Grosvenor Gold Project during the year under review, which included alternative new mine designs and scheduling plans to address a range of factors including the lower gold price environment.
As mentioned earlier in this report, RNI subsequently entered into a binding heads of agreement to sell the Grosvenor Gold Project and the other gold assets to Metals X (See ASX announcements 31 July 2015 and 26 August 2015). (See Events Subsequent to Reporting Date section).
Review of Financial Condition
The Group recorded a loss of $20,162,654 for the year ended 30 June 2015 (2014: loss of $7,866,050). The loss includes an impairment adjustment for exploration and evaluation expenditure of $9,942,052 (2014:
$57,947).
As at 30 June 2015, the Group had a net working capital deficit of $24,275,824 (2014: $16,750,090), represented significantly by a short term bridging loan of $19,002,899 repayable by November 2015. (2014:
$19,500,000). The Group's net asset position was $5,362,415 (2014: $17,870,744).
-
Significant Changes in the State of Affairs
In the opinion of the directors there were no significant changes in the state of affairs of the Group that occurred during the financial year, other than those described in this report under 'Principal activities and review of operations'.
-
Environmental Regulations
The Group's exploration activities are subject to various environmental regulations. The Board is responsible for the regular monitoring of environmental exposures and compliance with environmental regulations.
The Group is committed to achieving a high standard of environmental performance and conducts its activities in a professional and environmentally conscious manner and in accordance with applicable laws and permit requirements. The Board believes that the Group has adequate systems in place for the management of its environmental requirements and is not aware of any breach of those environmental requirements as they apply to the Group.
The directors have considered the enacted National Greenhouse and Energy Reporting Act 2007 (the NGER Act) which introduces a single national reporting framework for the reporting and dissemination of information about the greenhouse gas emissions, greenhouse gas projects, and energy use and production of corporations. At the current stage of development, the directors have determined that the NGER Act will have no effect on the Company for the current financial year. The directors will reassess this position as and when the need arises.
-
Dividends
The directors have not recommended the declaration of a dividend. No dividends were paid or declared during the current or prior period.
-
Events Subsequent to Reporting Date
Subsequent to the reporting date the Company released the following ASX announcements:
On 7 July 2015 RNI announced a Board restructure following the resignation of Managing Director, Royce McAuslane.
On 9 July 2015 RNI announced bonanza gold results at the Starlight Gold Complex.
On 17 July 2015 RNI announced results of the General Meeting whereby the issue of convertible notes was approved.
On 31 July 2015, RNI announced it had signed a binding heads of agreement to sell its gold assets to Metals X Limited (ASX: MLX), subject to the finalisation of legal agreements, approval from RNI shareholders and other regulatory approvals. The gold assets to be sold to Metals X include the Grosvenor Gold Project, the Horseshoe Project and part of the Peak Hill Project. RNI will retain the Forrest copper discovery, while Metals X will have a first right of refusal on any future sale by RNI of its copper or gold assets. In consideration for the gold assets, Metals X will issue RNI with 18 million new fully-paid Metals X shares. Metals X will also advance RNI $300,000 as an interest-free convertible loan to provide the Company with working capital during the sale process.
On 5 August 2015 RNI announced the new Copper-Gold exploration program at Doolgunna. On 7 August 2015 RNI announced the intention to embark on capital raising to fund exploration. On 10 August 2015 RNI made a debt repayment of $1,000,000 to Taurus Funds Management.
On 17 August 2015 RNI announced that it had received $300,000 from Metals X as an interest free to loan as working capital to complete the sale of its gold assets to Metals X. RNI intends to convert the loan to a convertible notes subject to shareholder approval. The conversion price for shares would be at a $.02 per share.
On 26 August 2015, RNI announced it had signed an agreement with Taurus Resources No 2 Fund (Taurus) paving the way for the orderly sale of the gold assets to Metals X, as detailed in the ASX announcement of 31 July 2015. The agreement included fixing the amount owing to Taurus by RNI at $23 million, remain interest free until 15 October 2015 and extending the repayment deadline to 30 November 2015. The loan amount can either be fully paid in cash, or at least $20.5 million in cash and the balance of up to $2.5 million by issuing RNI shares. Any interest accruing after 15 October 2015 may also be paid in RNI shares.
The agreement gives RNI the flexibility to repay the Taurus debt via a combination of proceeds from a planned non-renounceable entitlements issue to raise approximately $5 million, the issue of RNI shares to Taurus for up to $2.5 million and the orderly sale of the 18 million Metals X shares.
The sale of the gold assets to Metals X will enable RNI to refocus on its ~1,300km2 exploration portfolio including the Cashmans, Morck's Well and Doolgunna projects and the Peak Hill copper interests.
In conjunction with the sale, it is proposed that RNI will purchase from Metals X the Chunderloo copper-gold project at Meekatharra for a consideration of 25 million new fully-paid RNI shares, providing additional scale to RNI's copper exploration strategy.
On 22 September 2015, RNI announced that GMP Securities Australia Pty Limited had underwritten $5 Million of the RNI Entitlements Issue being offered to shareholders on a 1 for 2 basis at $0.015 per share to raise approximately $5.4million before costs.
Net assets with the 30 June 2015 carrying amounts listed below have been identified to be sold as a result of the agreement with Metals X.
|
Exploration and evaluation (Gold tenements)
|
$
18,165,907
|
|
Project development
|
4,207,855
|
|
Plant and equipment
|
7,796,883
|
|
Motor vehicles
|
65,887
|
|
Inventory
|
706,166
|
|
Environmental provision
|
(9,047,646)
|
|
21,895,052
|
|
9. Likely Developments
|
Comments on expected results of certain operations of the Group are included in this financial report under section 4, Principal activities and review of operations.
-
Directors' Interests
The relevant interest of each director in the shares and options as notified by the directors to the Australian Securities Exchange in accordance with S205G(1) of the Corporations Act 2001, at the date of this report is as follows:
Fully paid
Unlisted
Unlisted
Unlisted option
ordinary
options @$0.12 options @$0.25 @$0.03 expiring
shares 21 Nov 2016 15 Sep 2017
|
Miles Kennedy
|
30,115,336
|
-
|
3,000,000
|
4,000,000
|
|
Albert Thamm
|
400,000
|
2,000,000
|
-
|
-
|
|
Nanette Anderson
|
-
|
-
|
-
|
-
|
Each option carries the right to subscribe for one fully paid ordinary share in RNI NL.
-
Share Options
Unissued shares under option
At the date of this report unissued ordinary shares of the Company under option are:
Expiry date Exercise Price Number ofshares
|
20 October 2015
|
$0.15
|
42,500,000
|
|
19 February 2016
|
$0.15
|
9,170,294
|
|
11 November 2016
|
$0.20
|
2,100,000
|
|
21 November 2016
|
$0.12
|
7,000,000
|
|
31 January 2017
|
$0.35
|
2,100,000
|
|
31 January 2017
|
$0.095
|
3,000,000
|
|
31 January 2017
|
$0.03
|
150,000,000
|
|
13 March 2017
|
$0.35
|
4,000,000
|
|
15 September 2017
|
$0.25
|
3,000,000
|
|
9 November 2017
|
$0.60
|
1,500,000
|
|
3 October 2018
|
$0.12
|
7,400,000
|
|
8 October 2019
|
$0.26
|
12,500,000
|
|
244,270,294
|
The options do not entitle the holder to participate in any share issue of the Company or any other body corporate.
Share options issued
The following options over ordinary shares were issued by the Company during or since the end of the financial year.
|
Expiry date
20 October 2015
|
Exercise Price
$0.15
|
Number of shares
42,500,000
|
|
19 February 2016
|
$0.15
|
9,170,294
|
|
31 January 2017
|
$0.03
|
150,000,000
|
|
15 September 2017
|
$0.25
|
3,000,000
|
|
8 October 2019
|
$0.26
|
12,500,000
|
No shares have been issued as a result of the exercise of options.
Other shares issued since the end of the financial year
The following ordinary shares have been issued since the end of the financial year.
Issue date Share Price Number ofshares
Nature
|
6 August 2015
|
$0.02
|
117,9000,000
|
Placement
|
|
6 August 2015
|
$0.01
|
36,000,000
|
Convertible notes
|
|
11 August 2015
|
$0.01
|
14,000,000
|
Convertible notes
|
|
13 August 2015
|
$0.01
|
7,500,000
|
Convertible notes
|
|
14 August 2015
|
$0.01
|
803,833
|
Accrued interest
|
|
19 August 2015
|
$0.01
|
22,414,243
|
Convertible notes / accrued interest
|
|
21 August 2015
|
$0.01
|
17,499,398
|
Convertible notes / accrued interest
|
|
28 August 2015
|
$0.01
|
7,162,273
|
Convertible notes / accrued interest
|
|
4 September 2015
|
$0.01
|
6,750,000
|
Convertible notes
|
Share options expired
The following options over ordinary shares expired during or since the end of the financial year.
|
Expiry date
|
Exercise Price
|
Number of shares
|
|
27 March 2015
|
$0.44
|
3,597,621
|
-
Convertible Notes
The following convertible notes have been issued since the end of the financial year
|
$30,000
|
Notes
1
|
$30,000
|
$0.01
|
|
$25,000
|
14
|
$350,000
|
$0.01
|
|
$20,000
|
56
|
$1,120,000
|
$0.01
|
|
71
|
$1,500,000
|
Face Value Numberof
Total Value Conversion rate
The following convertible notes have been converted since the end of the financial year
|
$30,000
|
Notes
1
|
$30,000
|
$0.01
|
|
$25,000
|
14
|
$350,000
|
$0.01
|
|
$20,000
|
36
|
$720,000
|
$0.01
|
|
51
|
$1,100,000
|
Face Value Numberof
Total Value Conversion rate
The convertible notes expire on 1 July 2018 and earn interest at a rate of 12% per annum.
-
Remuneration Report - Audited
13.1 Principles of compensation
Remuneration is referred to as compensation throughout this report.
Key management personnel have authority and responsibility for planning, directing and controlling the activities of the Group. Key management personnel comprise the directors of the Group.
Compensation levels for key management personnel of the Group are competitively set to attract and retain appropriately qualified and experienced directors and executives. The Board obtains independent advice on the appropriateness of compensation packages of the Group given trends in comparative companies both locally and internationally and the objectives of the Group's compensation strategy.
The compensation structures explained below are designed to attract suitably qualified candidates, reward the achievement of strategic objectives, and achieve the broader outcome of creation of value for shareholders. Compensation packages include a mix of fixed compensation, equity-based compensation, performance- based compensation as well as employer contributions to superannuation funds.
Shares and options may only be issued to directors subject to approval by shareholders in general meeting.
Fixed compensation
Fixed compensation consists of base compensation as well as employer contributions to superannuation funds. Compensation levels are reviewed annually by the Board through a process that considers individual and overall performance of the Group. In addition, from time to time external consultants provide analysis and advice to ensure the directors' and senior executives' compensation is competitive in the market place. The Group did not employ the services of any remuneration consultants during the financial year ended 30 June 2015.
Performance linked compensation (Short-term incentive bonus)
In considering the Group's strategic objectives the Board may integrate certain performance linked short-term incentives (STIs) into key management personnel compensation packages.
Performance linked compensation primarily include STIs and are considered by the Board as and when projects are delivered and are entirely at the Board's discretion. The measures chosen are designed to align the individual's reward to the achievement of the Group's strategies and goals and to reward key management personnel for meeting or exceeding their personal objectives.
No bonuses were paid during the current financial year.
Equity based compensation (Long-term incentive bonus)
The Board provides equity-based long-term incentives (LTIs) to promote continuity of employment and to provide additional incentive to key management personnel to increase shareholder wealth. LTIs are provided as options over ordinary shares of the Company and are provided to key management personnel based on their level of seniority and position within the Group. Options may only be issued to directors subject to approval by shareholders in general meeting.
Key Management Personnel Incentive Options
Short-term and long-term incentive structure and consequences of performance on shareholder wealth have been considered. However given the Group's principal activity during the course of the financial year consisted of exploration and evaluation, the Board has given more significance to service criteria instead of market related criteria in setting the Group's incentive schemes. Accordingly, at this stage the Board does not consider the Company's earnings or earning measures to be an appropriate key performance indicator. The issue of options as part of the remuneration package of directors is an established practice for listed exploration companies and has the benefit of conserving cash whilst appropriately rewarding the directors. In considering the relationship between the Group's remuneration policy and the consequences for the Company's shareholder wealth, changes in share price are analysed.
13. Remuneration Report - Audited (contd)
The following table outlines the Group's respective earnings and share price for the period 1 July 2010 to 30 June 2015.
|
30 Jun 11
|
30 Jun 12
|
30 Jun 13
|
30 Jun 14
|
30 Jun 15
|
|
($2,810,183)
|
($4,118,771)
|
($42,660,488)
|
(7,866,050)
|
(20,162,654)
|
|
$1.29
|
$0.31
|
$0.055
|
$0.20
|
$0.017
|
Net loss
Closing ASX share price
In the opinion of the Board, these earnings, as listed above, are largely irrelevant for assessing the Group's respective performance during the exploration and evaluation phases.
Service contracts
-
Executive chairman
Director and consulting services are provided by Mr Kennedy via an associated company on normal commercial terms and conditions, but not under any contract. The rate was set at $120,000 per annum with effect from 28 November 2014, previously $235,176 per annum.
-
Executive director
Services were provided by Mr Thamm during the period 1 July 2014 to 28 November 2014.
-
Remuneration - $280,000 per annum, (including superannuation)
-
Termination notice required - 3 months
-
Termination benefit: $70,000
-
Managing director
Services were provided by Mr McAuslane.
-
Remuneration - $180,000 per annum, (excluding superannuation)
-
Superannuation at 9.5% - $17,100
-
Termination notice required - 3 months
-
Termination benefit: $45,000
-
Non-executive directors
Non-executive directors are paid at a rate of $60,000 per annum on a continuous service arrangement requiring at least one month's notice for termination. Total compensation for all non-executive directors are set based on advice, from time to time, from external advisors with reference to fees paid to other non-executive directors of comparable companies. The Group did not employ the services of any remuneration consultants during the financial year ended 30 June 2015. Non-executive directors' fees are presently limited to $250,000 per annum, excluding director services charged under management or consulting contracts.
Non-executive directors do not receive performance related compensation. Options issued to non-executive directors are provided as an incentive to promote continuity of service and are not performance based.
Directors' fees cover all main Board activities. The Board has no established retirement or redundancy schemes in relation to non-executive directors.