Axiom Mining 2015 Annual Report

GROUP FINANCIAL REPORT

Notes to the financial statements for the year ended 30 September 2015

63

17. Note to statement of cash flows Reconciliation of loss from operations to net cash outflow from operating activities:

2015 $000

2014 $000

Loss for the period

(12,460)

(15,880)

Non-cash items Depreciation and amortisation

326

206 714 277

Expense recognised in respect of shares issued in exchange for consulting services

10

Interest on lease liability

459

Impairment loss on mineral exploration expenditure

17

1,560

Share-based payments expense

902

703

Fair value (gains)/losses Write-off of subsidiary Net foreign exchange loss

86

– –

133

–

16

Changes in operating assets and liabilities – (Increase) in other receivables

(354)

(772)

AXIOM MINING LIMITED ANNUAL REPORT 2015

– Increase in other payables

2,208

719

– Increase in provisions

179

60

Net cash flows used from operations

(8,494)

(12,397)

18. Commitments

a. Expenditure commitments Estimated capital expenditure required to maintain tenements by the balance sheet date, but not provided for, are payable as follows:

2015 $000

2014 $000

Within one year

750

704

After one year but within five years

1,571 2,321

1,742

2,446

These commitments may be achieved by seeking exemptions, relinquishment or by joint venture arrangements. During the year the company has spent less than the annual expenditure commitment under the amalgamated expenditure arrangement. However, the company expects to meet any shortfall in this arrangement in future periods. The company is in process of renewing its tenement licenses in the West Guadacanal area, and the Kolosori area is subject to litigation matters. Recoverability of the carrying amount of exploration assets is dependent on the successful exploration and commercial exploitation of the tenements.