For personal use only
ODESSA MINERALS LIMITED (FORMERLY FARGO ENTERPRISES LIMITED)
ABN 99 000 031 292
INTERIM FINANCIAL REPORT
FOR THE HALF YEAR ENDED 31 DECEMBER 2021
For personal use only
ODESSA MINERALS LIMITED (FORMERLY FARGO ENTERPRISES LIMITED)
ABN 99 000 031 292
INTERIM FINANCIAL REPORT
FOR THE HALF YEAR 31 DECEMBER 2021
CORPORATE DIRECTORY
Registered Office
Suite 1, 295 Rokeby Road
Perth WA 6008
Australia
Share Registry
Automic Registry Services
Level 2, 267 St Georges Terrace
Perth WA 6000
Securities Exchange Listing
ASX Limited
Level 40, Central Park
152-158 St Georges Terrace
Perth WA 6000
ASX Code: ODE
Auditor
Hall Chadwick WA Audit Pty Ltd
283 Rokeby Road
Subiaco WA 6008
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For personal use only
ODESSA MINERALS LIMITED (FORMERLY FARGO ENTERPRISES LIMITED)
ABN 99 000 031 292
INTERIM FINANCIAL REPORT
FOR THE HALF YEAR 31 DECEMBER 2021
CONTENTS | PAGE |
DIRECTORS' REPORT | 4 |
CONDENSED CONSOLIDATED STATEMENT OF PROFIT OR LOSS AND OTHER | 12 |
COMPREHENSIVE INCOME | |
CONDENSED CONSOLIDATED STATEMENT OF FINANCIAL POSITION | 13 |
CONDENSED CONSOLIDATED STATEMENT OF CHANGES IN EQUITY | 14 |
CONDENSED CONSOLIDATED STATEMENT OF CASH FLOWS | 15 |
NOTES TO THE FINANCIAL STATEMENTS | 16 |
DIRECTORS' DECLARATION | 22 |
AUDITOR'S INDEPENDENCE DECLARATION | 23 |
INDEPENDENT AUDITOR'S REVIEW REPORT | 24 |
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For personal use only
ODESSA MINERALS LIMITED (FORMERLY FARGO ENTERPRISES LIMITED)
ABN 99 000 031 292
INTERIM FINANCIAL REPORT 31 DECEMBER 2021
DIRECTORS' REPORT
The Directors of Odessa Minerals Limited (formerly Fargo Enterprises Limited) ("the Company") and controlled entities ("the Group" or "the Consolidated Entity") submit the following report for the half year ended 31 December 2021 ("Financial Period").
DIRECTORS
The names and the particulars of the Directors of the Company during the half year and to the date of this report are:
Name | Status | Appointed |
Mr Zane Lewis | Non-Executive Chairman | Appointed 21 November 2019 |
Dr Darren Holden | Non-Executive Director | Appointed 17 January 2022 |
Ms Lisa Wells | Non-Executive Director | Appointed 17 January 2022 |
Dr Catriona Wallace | Non-Executive Director | Appointed 3 November 2016, resigned 17 January 2022 |
Mr Philip Coulson | Non-Executive Director | Appointed 29 January 2021, resigned 17 January 2022 |
COMPANY SECRETARY
The names and the particulars of the Company Secretary of the Company during the half year and to the date of this report are:
Name | Appointed | |
Mr Zane Lewis | Appointed 6 | February 2017, resigned 3 September 2021 |
Mr Robbie Featherby | Appointed 3 | September 2021 |
REVIEW AND RESULTS OF OPERATIONS
The net loss of the Group after income tax for the half year ended 31 December 2021 amounted to $699,467 (31 December 2020: $458,738).
As announced 23 August 2021, the Company entered into a binding Terms Sheet to acquire Odessa Minerals Limited. Odessa has a 90% interest in the Aries Project, plus 100% interest in the Calwynyardah Project and Aries Extension Project, as well as 11 applications for exploration licences, which are located in the Kimberley region of Western Australia and are highly prospective for diamonds. These applications are held over the Ellendale Diamond Field, the Calwynyardah Diamond Field and the Noonkanbah Diamond Field.
Odessa holds 2,000 square kilometres of tenure, including granted licenses and applications, the transaction positions the Company as one of Australia's only diamond explorers. The Aries Kimberlite field has had previous exploration indicating multiple diamond bearing pipes, with multiple alluvial diamond occurrences.
Applications in the Ellendale diamond field include known pipes, with multiple diamond occurrences bordering Burgundy Diamond Mines'(BDM.ASX) Ellendale operation, which "previously produced 50% of the worlds fancy yellow diamonds". Calwynyardah and Noonkanbah diamond field contain multiple diamond bearing pipes and alluvial potential.
As part of the transaction process, the Company consolidated the shares on issue on a 5 to 1 basis approved by shareholders at the Annual General Meeting on 26 November 2021. Acquisition consideration consisted of ~196m Ordinary Fargo shares and ~98m unquoted options with an exercise price of $0.04 and a 4-year expiry date.
The Company issued a Prospectus and raised of $6 million at $0.02 per share.
The Company appointed Dr Darren Holden and Ms Lisa Wells as Non-Executive Directors, with Dr Catriona Wallace and Phillip Coulson resigning as Directors, and Mr Zane Lewis remaining as a Director.
Post re-listing, the Company also changed its name to "Odessa Minerals Limited".
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ODESSA MINERALS LIMITED (FORMERLY FARGO ENTERPRISES LIMITED)
ABN 99 000 031 292
INTERIM FINANCIAL REPORT
For personal use only
Project Location Map, Kimberley Region, Western Australia
Odessa Minerals Transaction
Under the name Odessa Minerals Limited (ASX code: ODE), the Company was officially reinstated to official quotation on ASX on 18 January 2022, following satisfactory compliance with Chapters 1 and 2 of the ASX Listing Rules.
The Company's Public Offer attracted very strong demand resulting in A$6 million being raised (before costs), the maximum capacity under the Prospectus. As part of the Public Offer, the Company offered 300,000,000 new Shares at an offer price of $0.02 per Share, which included a Priority Offer to Eligible Shareholders of Fargo (Offer).
Funds raised will be applied to diamond exploration activities across the Company's portfolio of projects in the Kimberley diamond district of Western Australia.. Importantly, the Company is one step closer to becoming Australia's newest ethically-sourced diamond exploration company, at a time when rough diamond prices are surging.
Upon relisting, Odessa had an enterprise value of approximately $7.7 million and will be one of just four ASX-listed diamond companies.s.
Exploration Planning
Work has commenced on the compilation of all historical non-digital exploration data into a single digital database. The Company will use this to develop spatial models of both alluvial targets and specifically the Aries diamond pipe. These models will be important to determine targeted exploration programs including passive seismic geophysics and drill programs.
The Aries diamond pipe, located on a granted license, will need a program of works (POW) approved before groundwork can commence after the Kimberley wet season. Odessa anticipates the POW will be submitted and approved during the second quarter of his year. Once approval is received, mobilization of contractors will occur to commence groundwork.
In February 2022, Odessa Minerals Limited presented results from the new 3D modelling of airborne magnetic data at the Aries Diamond Project (Aries), located in the Central Kimberley of Western Australia, which indicates the expansion of the Aries Pipe footprint at depth and implies a potential geometry of 800m x 350m at 400m below surface. Aries
represents a significant diamond exploration target and will be the Company's priority focus for the upcoming 2022
drilling program.
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Odessa Minerals Ltd. published this content on 14 March 2022 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 14 March 2022 00:53:05 UTC.