Speciality Metals International Limited Annual Report 2020

22 Speciality Metals International Limited Annual Report 2020 Directors’ Report continued Page | 22 DIRECTORS’ REPORT The Directors are not aware of any other significant changes in the state of affairs of the Company occurring during the financial period, other than as disclosed in this report. M ATTERS S UBSEQUENT TO THE E ND OF THE F INANCIAL Y EAR At the date of this Directors’ Report, the Directors are not aware of any matter or circumstance that has arisen that has significantly affected, or may significantly affect, the operations of the Group, the results of those operations or the state of affairs of the Group in the financial year subsequent to 30 June 2020 other than: - Issue of the following options to Kim Cavallaro upon commencement of employment as the Group’s Chief Commercial Officer on 1 July 2020: § two (2) million options exercisable at $0.04 on or before 1 July 2023. These options were issued under the Company’s Equity Incentive Plan and will vest upon the completion of six (6) months employment with the Company; and § three (3) million options exercisable at $0.06 on or before 1 July 2023. These options were issued under the Company’s Equity Incentive Plan and will vest upon the completion of twelve (12) months employment with the Company. - The Company was part of the project consortium awarded a $220,000 grant by METS Ignited Australia Limited under the Queensland METS Collaborative Projects Fund for the mine waste transformation project titled “Optimised X-Ray Ore Sorting Technologies and Material Handling Concepts for Historic Tungsten Mine Waste Transformation” (refer ASX announcement “Govt Support for Mt Carbine Mine Waste Transform. Initiative dated 24 July 2020). - Ms Suzanne Irwin was appointed as Company Secretary on 1 September 2020 following the resignation of Mr Adrien Wing on the same day (refer ASX announcement “Change in Company Secretary and Registered Office” dated 1 September 2020). - The Company also changed its registered office as from 1 September 2020 to: Office 06-110 Level 6, 25 King Street Bowen Hills Qld 4006 (refer ASX announcement “Change in Company Secretary and Registered Office” dated 1 September 2020; and - The commencement of the XRT Sorting Pilot Plant Test Program being undertaken with CRONIMET Australia Pty Ltd showing positive early results and significant tungsten ore upgrade (refer ASX announcement “Pilot Sorter Delivers Significant Tungsten Ore Upgrade” dated 7 September 2020). L IKELY D EVELOPMENTS The Company, will continue to expand upon its current operations at the Mt Carbine Mine Site with respect to its quarrying and mineral processing activities which will include the XRT sorting of ~12 million tonnes of stockpiled material during 2021 financial year. The Company also plans on carrying out exploration programs within its exploration prospects within the coming financial year along with continuing its exploration activities associated with the identification of additional tungsten deposits and other new economy and critical minerals both within and outside of its existing exploration permits. E NVIRONMENTAL R EGULATION & P ERFORMANCE The Group is committed to minimising the environmental footprint of its operations, and has during the year, undertaken ongoing reviews of environmental matters to ensure compliance with environmental regulations. The Group proactively engaged with the Queensland Department of Environment and Science to submit reports and updates of its project development timeline. In addition, the Group is actively reviewing its energy and water usage, to ensure efficiencies are identified and implemented. The Group is also continuing its efforts to identify opportunities for mutually reinforcing social and business values with local communities. An example is the Company’s engagement with the neighbouring wildlife conservancy to undertake an on-site weed management program to support biodiversity of the native flora and fauna in the area.