Encounter Resources (ENR) H2 2024 earnings summary

Executive summary

• Advanced exploration at the Aileron project in West Arunta, WA, with significant niobium and rare earth element (REE) discoveries at multiple prospects, including Green, Crean, Emily, Hurley, and Joyce.

• Expanded drilling programs across 100% owned and farm-in projects, with major partners such as BHP, South32, IGO, and Newcrest funding exploration.

• Sandover Copper Project in NT returned high-grade copper intersections, supporting the potential for a large-scale sediment-hosted copper system.

• Maintained a diversified portfolio of copper and critical mineral projects in Australia, with ongoing farm-in agreements and joint ventures.

Financial highlights

• Net loss after tax for FY2024 was $4,331,728, compared to $1,429,900 in FY2023.

• Cash and term deposits at year-end totaled $14,050,537, up from $11,817,728 the previous year.

• Capitalised mineral exploration and evaluation expenditure increased to $22,853,601 from $17,783,090 year-over-year.

• Raised $10,500,000 via share placement and $1,145,800 from option exercises.

• No dividends declared or paid.

Outlook and guidance

• Continued focus on delineating high-grade, near-surface niobium resources at Aileron and expanding exploration at new targets.

• Ongoing drilling and exploration at Sandover, Jessica, Carrara, and Yeneena projects, with results from recent programs pending.

• Expectation to maintain exploration programs at key projects and further collaboration with major partners.