20974 29Metals AR23 WEB V1 - Flipbook - Page 173
2023 key
results
94
Chair letter and
CEO report
About
29Metals
Our
assets
Sustainability
& ESG Report
Mineral Resources
and Ore Reserves
Annual
Financial Report
169
29Metals Appendix 4E and Annual Financial Report for 29Metals Limited and its Controlled Entities for the year ended 31 December 2023
Consolidated Financial Statements
Note 21: Impairment of non-current assets (continued)
Capricorn Copper CGU (continued)
Key Assumptions (continued)
ŝƐĐŽƵŶƚƌĂƚĞ
he discount rate represents the current mar et assessment o the ris s speci ic to the CGU ta ing into consideration the time alue o mone and
indi idual ris s o the underl ing assets that ha e not been incorporated in the cash low estimates he discount rate calculation is based on the
speci ic circumstances o the CGU and is deri ed rom its weighted a erage cost o capital
sĂůƵĂƚŝŽŶŽĨDŝŶĞƌĂůZĞƐŽƵƌĐĞƐŶŽƚŝŶĐůƵĚĞĚŝŶƚŚĞ>KD
ineral esources which are not included in a CGU’s
plan as result o the current assessment o economic returns timing o speci ic production
alternati es and the pre ailing economic en ironment ha e been alued and included in the assessed air alue he air alue o these resources has
been determined based on the obser able mar et alue o assets considered similar to the ineral esources not included in the current
plan
KƉĞƌĂƚŝŶŐĂŶĚĐĂƉŝƚĂůĐŽƐƚƐ
operating and capital cost assumptions are based on the Group’s latest budget and
plans perating cost assumptions re lect the e pectation
that costs will o er the long term ha e a degree o positi e correlation to the pre ailing metal price assumptions
KŶŐŽŝŶŐŝŶƐƵƌĂŶĐĞĐůĂŝŵ
s described urther in ote
etals has an ongoing insurance claim in relation to propert damage and business interruption as a result o the
treme eather ent at Capricorn Copper in arch
or the purposes o the CGU impairment assessment
etals has applied management’s
best estimate assumptions regarding uture insurance claim proceeds which assumptions are highl commerciall sensiti e
ZĞƐƵůƚŽĨŝŵƉĂŝƌŵĞŶƚƚĞƐƚ
s a result o the anal sis per ormed an impairment loss o
was recorded or the ear ended
ecember
allocated to Capricorn
Copper CGU as summarised in the table below his impairment loss was recognised as at
une
s a result o the impairment test per ormed
as at
ecember
no impairment loss ad ustment was re uired to be recognised
Year ended 31 December 2023
2023
$’000
Note
ine properties
ropert plant and e uipment
ight o use assets
dŽƚĂůĂƉƌŝĐŽƌŶŽƉƉĞƌŝŵƉĂŝƌŵĞŶƚ
ϭϳϬ͕ϬϬϬ
ĂƉƌŝĐŽƌŶŽƉƉĞƌ^ĞŶƐŝƚŝǀŝƚLJŶĂůLJƐŝƐ
sensiti it anal sis o the
C or Capricorn Copper CGU to changes in e assumptions in isolation at
ecember
is set out below
Increase in key assumption
Decrease in key assumption
Reduction / (increase)1
Reduction / (increase)1
$’000
$’000
change in copper price
change in the U
U
oreign e change rate
change in discount rate
change in air alue o resources not included in
change in mining cost
change in processing cost
change in modelled uture insurance proceeds
eduction
e er to ote
increase cited is reduction in impairment loss or increase in impairment loss as applicable
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