Announcement PDF Flynn Gold Limited ABN 82 644 122 216 Half Year Report 31 December 2025 Table of contents Half Year Report 31 December 2025 | Page 2 Corporate Directory 3 Directors’ Report 4 Auditor’s Independence Declaration 8 Condensed Consolidated Statement of Loss and Other Comprehensive Loss 9 Condensed Consolidated Statement of Financial Position 10 Condensed Consolidated Statement of Changes in Equity 11 Condensed Consolidated Statement of Cash Flows 12 Notes to the Condensed Consolidated Financial Statements 13 Directors’ Declaration 20 Independent Auditor’s Report 21 Corporate directory Half Year Report 31 December 2025 | Page 3 Flynn Gold Limited ABN 82 644 122 216 Directors Clive Duncan, Non-Executive Chair Neil Marston, Managing Director & CEO Samuel Garrett, Technical Director John Forwood, Non-Executive Director Company Secretary Mathew Watkins Registered Office Suite 2 Level 11 385 Bourke Street Melbourne Victoria 3000 Share Register Computershare Investor Services Pty. Ltd. Yarra Falls 452 Johnston Street Abbotsford Victoria 3067 Telephone: 1300 850 505 Auditors William Buck Level 20 181 William Street Melbourne Victoria 3000 Stock Exchange Listing Australian Securities Exchange ASX code: FG1 & FG1O Corporate Governance Statement Corporate governance statements are available on the Company's website. Contact W: www.flynngold.com.au E: info@flynngold.com.au T: +61 3 9692 7222 Directors’ Report (continued) Half Year Report 31 December 2025 | Page 4 The Directors of Flynn Gold Limited (Company, Flynn or Flynn Gold) present their report on the Company and its subsidiaries (Group) for the half-year ended 31 December 2025 (Period). Directors The names and details of the Group’s Directors in office during the whole of the half year and until the date of this report (unless otherwise stated) are as follows: • Clive Duncan (Non-Executive Chair) • Neil Marston (Managing Director & CEO) • Sam Garrett (Technical Director) • John Forward (Non-Executive Director) Review of Operations Principal activities The principal activities of the Group during the half year were mineral exploration in Tasmania and Western Australia. There was no change in the nature of the Group’s principal activities, being mineral resource exploration and evaluation, during the half-year. Exploration – Tasmania Golden Ridge Project Throughout the first half of the year, Flynn’s exploration efforts in Tasmania remained primarily focused on the Golden Ridge Project in north-eastern Tasmania, where the Company undertook a trenching program at the Double Event Prospect, as well as diamond drilling programs at Double Event and Grenadier. At Double Event, results from surface trenching confirmed that the mineralised corridor extends over a strike length of at least 275 metres and remains open. A maiden diamond drilling program was also undertaken, comprising a series of nine short, closely spaced holes to test the high-grade quartz-sulphide veins reported in historical records and confirmed in trenching. This close spacing was designed to evaluate the trend, plunge and strike continuity of high-grade gold mineralisation encountered at surface. Drilling successfully intersected the targeted vein structures in every hole, confirming the presence of significant gold mineralisation to a depth of at least 72 metres below surface. At Grenadier, Phase 1 drilling was undertaken to test for extensions of the high-grade gold mineralisation identified in surface trenching. Diamond drilling confirmed earlier trench observations that gold mineralisation occurs within quartz veins containing pyrite and arsenopyrite developed along the contacts of fine-grained mafic dykes. These mafic dykes are interpreted to be part of a broader intrusive igneous system with deep-seated roots. These observations support the interpretation of the Grenadier Prospect as a structurally continuous mineralised system, with strike continuity demonstrated at surface through previous trenching programs and confirmed down-dip by drilling. The mineralised structures, consistent with their association with mafic dykes, remain open both along strike and down-dip. Drilling results reported confirm that the regional granodiorite-sediment contact at Golden Ridge represents a significant exploration target, with high-grade gold mineralisation identified over a 9km contact zone. Directors’ Report (continued) Half Year Report 31 December 2025 | Page 5 Mangana Project Drilling commenced at the Mangana Project, which is located approximately 25km south-west of Golden Ridge, in November 2025. Two diamond drill-holes, co-funded up to $60,000 by the Tasmanian State Government under their Exploration Drilling Grants Initiative, were planned to test for high-grade gold mineralisation beneath the historical workings at the Golden Entrance Mine, in a zone that has not been previously drill tested. Up to the end of the reporting period, two drill-holes were successfully completed and the program was extended with a further two drill holes completed in early 2026. Full details of the drilling program will be released with the assay results when they are received in 2026. Firetower Project During the reporting period, Flynn commenced a program of re-sampling historical drill core from the Firetower Project for critical metals, mainly cobalt and tungsten. Results from this re-sampling program yielded wide, high-grade gold-tungsten intercepts from near-surface. In addition, re-assaying of selected historical drill core pulps was undertaken using a more accurate analytical technique to determine tungsten grades in mineralised zones. The use of this enhanced analytical technique has proven to be successful with analysis of the pulps from 2019FTDD007E delivering a 92% increase in the averaged tungsten assay from 0.38% WO3 to 0.73% WO3 over a 17-metre interval. The Company is targeting the delivery of a maiden Mineral Resource Estimate for the Firetower Project in H1 CY2026. Henty Project During the reporting period, the Company completed planning and permitting for drilling a prospective 1.6 kilometre-long zone between the historical silver-lead mine workings at Silver King and the South King/Zeehan Bell areas at the Henty Project. Approval has been received from Mineral Resources Tasmania (MRT) to undertake diamond drilling, which commenced in Q1 2026. This will represent the first drilling to be completed at these mines since 1947. Exploration – Western Australia Flynn Gold has four projects in Western Australia, strategically located in districts that host large gold and lithium deposits or in districts that the Company considers to be relatively under-explored for gold-lithium. During the reporting period, no field work was undertaken on any of these projects. Corporate Capital Raising In October 2025 Flynn completed a one-for-three renounceable rights issue at an issue price of 2.3 cents per share to raise $3 million (before costs). For every two new shares subscribed, shareholders received one free attaching option with an exercise price of 4 cents per option, expiring 30 months from the date of issue. To accommodate the significant demand from new domestic and international institutional investors, the Company also completed a placement to raise an additional $2 million, on the same terms as the rights issue. In total the Company issued 217,338,826 new fully-paid ordinary shares at the rights issue offer price of 2.3 cents and 108,669,454 one for two free attaching options exercisable at $0.04, with an expiry date of 14 April 2028. The Options are quoted under the ASX code FG1OA. Directors’ Report (continued) Half Year Report 31 December 2025 | Page 6 Funds raised through the Rights Issue and Follow-on Placement totalled $4,998,793 (before costs), which will be used to advance the Company’s gold, silver and critical metals exploration programs in Tasmania. EDGI Co-funding Grants Flynn was successful with two applications in Round 11 of the Tasmanian State Government’s Exploration Drilling Grant Initiative (EDGI), securing up to $130,000 to co-fund drilling. The funding will support upcoming drill testing at two projects: • Mangana Project – EDGI to co-fund (up to $60,000) two diamond drill-holes totalling 400m to test beneath the historical Golden Entrance mine, which produced 2,939oz @ 127g/t Au (~4oz/t) to 1905; and • Henty South Project – EDGI to co-fund (up to $70,000) one 500m diamond drill hole targeting a coincident gravity and IP anomaly north of the Grieves Siding zinc-lead-silver prospect. Sale of Non-Core Exploration Assets During the reporting period, Flynn sold its 100% interest in Exploration Licence E45/5055 (part of the Mount Dove Project) to Northern Star Resources Limited for $200,000 in cash. Flynn is actively seeking opportunities to divest or joint venture its remaining non-core Western Australian exploration assets, with any proceeds being applied to ongoing exploration of its advanced, high-potential Tasmanian projects. Financial Performance The Group’s consolidated net loss for the half-year ended 31 December 2025 after providing for income tax amounted to $2,133,133 (2024: $2,045,200). The loss for the period is primarily driven by: • Exploration and evaluation expenditure of $1,721,679 (2023: $1,412,629) • Employee benefits expenses of $280,101 (2024: $279,724) • Corporate and administrative expenses of $435,702 (2024: $384,281); offset by • Other Income of $292,449 (2024: $nil); and • Interest income of $11,900 (2024: $31,433) Cash and cash equivalents at 31 December 2025 was $3,452,871 (30 June 2025: $1,210,238). The Group held net assets of $3,219,573 as at 31 December 2025 (30 June 2025: $846,694) with working capital of $3,024,718 (30 June 2025: $637,198). Significant Changes in the State of Affairs Other than those matters discussed in this report, no significant changes in the state of affairs of the Group occurred during the financial period. Directors’ Report (continued) Half Year Report 31 December 2025 | Page 7 Events Since the End of the Financial Year On 25 February 2026, the Company announced that it had reached an agreement to sell its 100% interest in the Forrestania and Lake Johnston Projects in Western Australia to Forrestania Resources Limited (ASX: FRS) for consideration of $350,000, to be satisfied in fully paid ordinary shares of Forrestania at a deemed issue price of $0.5457 per share. Completion of the transaction is expected by 31 March 2026. There have been no other events of a material nature or transaction, that have arisen since half-year end and the date of this report that has significantly affected, or may significantly affect, the Group’s operations, the results of those operations, or its state of affairs. Dividends Paid or Recommended No dividends have been paid or declared by the Company for the current financial period. No dividends were paid for the previous financial period. Auditor's independence declaration A copy of the auditor's independence declaration as required under section 307C of the Corporations Act 2001 is set out immediately after this directors' report. Rounding of amounts Flynn Gold Limited is a type of Company that is referred to in ASIC Corporations (Rounding in Financial/Directors’ Reports) Instrument 2016/191 and therefore the amounts contained in this report and in the financial report have been rounded to the nearest dollar. This report is made in accordance with a resolution of directors. Clive Duncan Non-Executive Chair 11 March 2026 Level 20, 181 William Street, Melbourne VIC 3000 +61 3 9824 8555 vic.info@williambuck.com williambuck.com.au William Buck is an association of firms, each trading under the name of William Buck across Australia and New Zealand with affiliated offices worldwide. Liability limited by a scheme approved under Professional Standards Legislation. Lead Auditor’s Independence Declaration under Section 307C of the Corporations Act 2001 To the directors of Flynn Gold Limited As lead auditor for the review of Flynn Gold Limited for the half-year ended 31 December 2025, I declare that, to the best of my knowledge and belief, there have been: — no contraventions of the auditor independence requirements as set out in the Corporations Act 2001 in relation to the review; and — no contraventions of any applicable code of professional conduct in relation to the review. This declaration is in respect of Flynn Gold Limited and the entities it controlled during the period. William Buck Audit (Vic) Pty Ltd ABN 59 116 151 136 W. H. D. Lee Director Melbourne, 11 March 2026 Condensed Consolidated statement of profit or loss & other comprehensive income For the half year ended 31 December 2025 Half Year Report 31 December 2025 | Page 9 Note 31 December 2025 31 December 2024 $ $ Income Interest income 11,900 31,433 Other Income 4 292,449 - 304,349 31,433 Expenses Exploration and evaluation expenditure 5 (1,721,679) (1,412,629) Employee benefits 7(b) (280,101) (279,724) Consultants & Contractors (218,729) (186,036) General and administrative (153,997) (139,008) Depreciation (12,874) (19,066) Compliance and listing (50,017) (39,650) Finance costs (85) (520) Loss before income tax expense (2,133,133) (2,045,200) Income tax expense - - Loss after income tax for the year attributable to equity holders of the Company (2,133,133) (2,045,200) Other comprehensive income for the half year, net of tax - - Loss after income tax for the year attributable to equity holders of the Company (2,133,133) (2,045,200) Loss per share attributable to equity holders of the Company: Basic and diluted loss per share (cents per share) 8 (0.45) (0.80) The above condensed consolidated statement of profit or loss and other comprehensive income should be read in conjunction with the accompanying notes. Condensed Consolidated statement of financial position As at 31 December 2025 Half Year Report 31 December 2025 | Page 10 Note 31 December 2025 30 June 2025 $ $ Assets Current assets Cash and cash equivalents 3,452,871 1,210,239 Goods and services tax receivable 104,219 75,870 Prepayments 32,842 88,824 Total current assets 3,589,932 1,374,933 Non-current assets Security deposits 173,920 163,800 Plant and equipment 57,416 66,624 Right of use assets - 3,666 Total non-current assets 231,336 234,090 Total assets 3,821,268 1,609,023 Liabilities Current liabilities Trade and other payables 382,580 568,412 Lease liabilities - 3,890 Employee benefits 182,634 165,432 Total current liabilities 565,214 737,734 Non-current liabilities Employee benefits 36,481 24,595 Total non-current liabilities 36,481 24,595 Total liabilities 601,695 762,328 Net assets 3,219,573 846,694 Equity Issued capital 6 27,536,011 23,148,870 Reserves 7(a) 173,091 255,753 Accumulated losses (24,489,529) (22,557,929) Total equity 3,219,573 846,694 The above condensed consolidated statement of financial position should be read in conjunction with the accompanying notes. Condensed Consolidated Statement of Changes in Equity For the half year ended 31 December 2025 Half Year Report 31 December 2025 | Page 11 Note Issued Capital Share based payment reserve Accumulated losses Total equity $ $ $ $ Balance at 1 July 2024 20,734,509 288,113 (18,519,390) 2,503,232 Loss after income tax expense for the half year - - (2,045,200) (2,045,200) Other comprehensive income for the half year, net of tax - - - - Total comprehensive loss for the half year - - (2,045,200) (2,045,200) Transactions with owners in their capacity as owners Exercise of options 3,369 - - 3,369 Exercise of performance rights 39,180 (39,180) - - Transaction costs of equity (27,910) - - (27,910) Balance at 31 December 2024 20,749,148 248,933 (20,564,590) 433,491 Balance at 1 July 2025 23,148,870 255,753 (22,557,929) 846,694 Loss after income tax expense for the half year - - (2,133,133) (2,133,133) Other comprehensive income for the half year, net of tax - - - - Total comprehensive loss for the half year - - (2,133,133) (2,133,133) Transactions with owners in their capacity as owners Shares issued for placement, net of transaction costs 6(a) 4,387,141 109,262 - 4,496,403 Lapse of options and performance rights 7(a) - (201,532) 201,532 - Vesting of share based payments 7(b) 9,608 - 9,608 Balance at 31 December 2025 27,536,011 173,091 (24,489,529) 3,219,573 The above condensed consolidated statement of changes in equity should be read in conjunction with the accompanying notes. Condensed Consolidated Statement of Cash Flows For the half year ended 31 December 2025 Half Year Report 31 December 2025 | Page 12 Note 31 December 2025 31 December 2024 $ $ Operating activities Loss after income tax expense for the half year (2,133,133) (2,045,200) Adjustments for: Depreciation expense 12,874 19,066 Share based payments 7(b) 9,608 - Finance costs (85) - Change in operating assets and liabilities: Decrease/(increase) in GST receivables (28,348) 4,860 Decrease/(increase) in prepayments 55,982 90,385 Increase/(decrease) in trade and other payables (182,831) (247,239) Increase/(decrease) in employee benefits 29,090 23,126 Net cash flows used in operating activities (2,236,843) (2,155,002) Investing activities Payments for plant and equipment - (6,889) Payments for security deposits (10,120) (8,480) Net cash used in investing activities (10,120) (15,369) Financing activities Proceeds from issue of shares from placement, net of transaction costs 6 4,493,403 (27,910) Proceeds from exercise of options - 3,369 Repayment of lease liabilities (3,807) (11,190) Net cash from financing activities 4,489,596 (35,731) Net increase (decrease) in cash and cash equivalents 2,242,633 (2,206,102) Cash and cash equivalents, beginning of year 1,210,238 2,958,799 Cash and cash equivalents, end of the half year 3,452,871 752,697 The above condensed consolidated statement of cash flows should be read in conjunction with the accompanying notes. Notes to the Condensed Consolidated Financial Statements For the half year ended 31 December 2025 Half Year Report 31 December 2025 | Page 13 1. General Information These financial statements are consolidated financial statements for the group consisting of Flynn Gold Limited (the 'Company') and its subsidiaries. The financial statements are presented in the Australian currency which is the Company’s functional and presentation currency. Flynn Gold Limited is a listed public company limited by shares, incorporated and domiciled in Australia. Its registered office and principal place of business is: Suite 2 Level 11, 385 Bourke Street Melbourne VIC 3000 The financial statements were authorised for issue, in accordance with a resolution of directors, on 11 March 2026. The directors have the power to amend and reissue the financial statements. 2. Material accounting policy information This condensed consolidated interim financial report for the half-year reporting period ended 31 December 2025 has been prepared in accordance with Accounting Standard AASB 134 Interim Financial Reporting and the Corporations Act 2001. The half-year report does not include all the notes of the type normally included in an annual financial report. Accordingly, this report is to be read in conjunction with the annual report for the year ended 30 June 2025 and any public announcements made by Flynn Gold Limited during the half-year reporting period in accordance with the continuous disclosure requirements of the Corporations Act 2001. The accounting policies adopted are consistent with those of the previous financial year and corresponding interim reporting period, except for the adoption of new and amended standards as set out below. New and amended Accounting Standards and Interpretations adopted by the group The Company has adopted all of the new or amended Accounting Standards and Interpretations issued by the Australian Accounting Standards Board ('AASB') that are mandatory for the current reporting period. The adoption or amendment during the period did not have a material impact on the financial statements of the Company. Any new or amended Accounting Standards or Interpretations that are not yet mandatory have not been early adopted. Going concern This financial report has been prepared on a going concern basis, which assumes the continuity of normal business operations and the realisation of assets and settlement of liabilities in the ordinary course of business. For the half year ended 31 December 2025, the Group incurred a net loss after tax of $2,133,133 (2024: $2,045,200) and net cash outflows from operating activities of $2,236,843 (2024: $2,155,002). As at 31 December 2025, the Group held cash reserves of $3,452,871 (30 June 2025: $1,210,239). The Group remains in the exploration stage and does not generate operating cash inflows. Accordingly, it is reliant on additional capital raisings or external financing to fund its activities. The Directors have prepared cash flow forecasts covering a period of at least 12 months from the date of signing this report which indicate that additional funding may be required to continue planned exploration programs, meet statutory tenement commitments and fund corporate overheads. Notes to the Condensed Consolidated Financial Statements For the half year ended 31 December 2025 Half Year Report 31 December 2025 | Page 14 In forming the view that the going concern basis is appropriate, the Directors have considered the Group’s ability to raise capital through recent equity issues, the At-The-Market Subscription Agreement with Dolphin Corporate Investments Pty Ltd, potential funding from listed and unlisted options, the ability to defer discretionary expenditure, and opportunities to generate liquidity through joint ventures or divestments.. Based on these considerations, the Directors are satisfied that it is appropriate to prepare the financial report on a going concern basis. 3. Operating segments The Group has identified the board of directors as the chief operating decision maker (“CODM”). The Group operates in one segment, being an explorer of gold and other minerals, which is also the basis on which the board reviews the company’s financial information. AASB 8 requires operating segments to be identified on the basis of internal reports about the components of the Group that are regularly reviewed by the CODM in order to allocate resources to the segment and to assess its performance. In the current year the board reviews the Group as one operating segment being mineral exploration within Australia. All assets and liabilities and operations are based in Australia. 4. Other income 31 December 2025 31 December 2024 $ $ Research & Development tax incentive 92,449 - Sale of Mount Dove tenement (1) 200,000 - Other income 292,449 - (1) On 31 July 2025, the Company announced the divestment of its 100% interest in its Mount Dove Project tenement (exploration licence E45/5055) in Western Australia to Northern Star Resources Ltd for cash consideration of $200,000. 5. Exploration and evaluation expenditure 31 December 2025 31 December 2024 $ $ Employee benefits 554,468 531,603 Drilling costs 630,707 386,910 Geology 224,838 229,587 Overheads and others 217,628 175,058 Tenement rental and management 94,038 89,471 Exploration and evaluation 1,721,679 1,412,629 Notes to the Condensed Consolidated Financial Statements For the half year ended 31 December 2025 Half Year Report 31 December 2025 | Page 15 6. Issued capital 31 Dec 2025 30 Jun 2025 31 Dec 2025 30 Jun 2025 No. of shares No. of shares $ $ Ordinary shares - fully paid 608,655,296 391,316,470 27,536,011 23,148,870 (a) Movements in ordinary share capital Date No. of shares Issue price $ Opening balance 1 Jul 2025 391,316,470 23,148,870 Share issue - Placement 31-Jan-24 86,900,000 0.02 1,998,700 Share issue - Renounceable Rights Issue 06-May-24 130,438,826 0.02 3,000,093 Share issue costs (611,652) Closing balance 31 December 2025 608,655,296 27,536,011 (b) Movements in share options Grant date Expiry date Exer- cise price Balance at start of year Granted during the period Exercised during the period Expired during the period Balance at the end of the period Vested and exercisable at the end of the period 2025 3-Aug-22 2-Aug-25 $0.200 400,000 - (400,000) - - 7-May-24 7-Nov-26 $0.075 5,424,227 - - - 5,424,227 5,424,227 7-May-24 7-Nov-26 $0.075 45,156,999 - - 45,156,999 45,156,999 24-Apr-25 23-Apr-28 $0.040 500,000 - - - 500,000 500,000 24-Apr-25 23-Apr-28 $0.040 65,000,000 - - - 65,000,000 65,000,000 14-Oct-25(1,2) 14-Apr-28 $0.040 - 108,669,454 - - 108,669,454 108,669,454 14-Oct-25(3) 14-Apr-28 $0.040 - 9,997,586 - - 9,997,586 9,997,586 116,481,226 118,667,040 (400,000) 234,748,266 234,748,266 Weighted average exercise price $0.06 $0.04 $0.20 $0.05 $0.20 Weighted average remaining contractual life: 1.8 years (1) On 14 October 2025, the Company issued 43,450,008 listed options with a fair value of $nil to subscribers of the Placement. The Listed Options were issued as free attaching options for every two shares subscribed. (2) On 14 October 2025, the Company issued 65,219,446 listed options with a fair value of $nil to subscribers of the October 2025 Rights Issue. The Listed Options were issued as free attaching options for every two shares subscribed. (3) On 14 October 2025, the Company granted 9,997,586 listed options to the lead manager of the Rights Issue as part consideration for the Underwriting and Lead Manager service. These listed options were granted on the same terms as the options offered under the Rights Issue. These were valued using the Black Scholes options pricing model. See note 8(b)(ii) for more details. Notes to the Condensed Consolidated Financial Statements For the half year ended 31 December 2025 Half Year Report 31 December 2025 | Page 16 (c) Movements in performance rights Grant date Expiry date Hurdle price Balance at start of year Granted during the period Exercised during the period Expired during the period Balance at the end of the period Vested and exercisable at the end of the period 2025 22-Aug-22 9-Sep-25 $0.150 800,000 - - (800,000) - - 22-Aug-22 9-Sep-25 $0.250 800,000 - - (800,000) - - 22-Aug-22 9-Sep-25 $0.350 800,000 - - (800,000) - - 26-Nov-25(2) 18-Dec-26 $0.050 - 3,800,000 - - 3,800,000 - 26-Nov-25(2) 18-Dec-27 $0.075 - 5,550,000 - - 5,550,000 - 26-Nov-25(2) 18-Dec-28 $0.100 - 8,950,000 - - 8,950,000 - 18-Dec-25 (3) 18-Dec-29 $0.000 - 2,000,000 - - 2,000,000 - 2,400,000 20,300,000 - (2,400,000) 20,300,000 - Weighted average exercise price $0.25 $0.07 $0.00 $0.25 $0.07 $0.00 Weighted average remaining contractual life: 2.5 years (1) All performance rights have a nil exercise price. (2) Vests upon the 20-day VWAP of Flynn’s share price being equal to or greater than the hurdle price. See note 8(b)(i) for more details. (3) 50% vest and become exercisable on the first financial year end date since the commencement date of the employment if still employed by the Company; and the remaining 50% become exercisable on the second financial year end date if the employee is still employed by the Company. See note 8(b) for more details. Notes to the Condensed Consolidated Financial Statements For the half year ended 31 December 2025 Half Year Report 31 December 2025 | Page 17 7. Share based payments (a) Share based payment reserve The movements in the share based payment reserve is shown in the table below: 31 December 2025 30 June 2025 $ $ Opening balance 255,753 288,113 Share based payment expense 9,608 6,820 Exercise of performance rights - employee - (39,180) Options issued to lead manager (i) 109,262 - Transfer of expired option expense – employee (180,640) - Transfer of expired option expense –consultant (20,892) - Closing balance 173,091 255,753 The share-based payment reserve records items recognised on valuation of performance rights and options issued to employees and consultants. (i) Options The fair value of the options granted to lead manager were estimated using a Black Scholes options pricing model taking in to account the terms and conditions upon which the options were granted. The table below lists the assumptions used in the valuation model to determine the fair value of the options granted: Assumptions Number granted 9,997,586 Spot price $0.026 Exercise price $0.04 Expiry date 14-Apr-2028 Expected future volatility 86% Risk free rate 4.07% Dividend Yield Nil Fair value per right $0.011 Fair value at grant date $109,262 Notes to the Condensed Consolidated Financial Statements For the half year ended 31 December 2025 Half Year Report 31 December 2025 | Page 18 (b) Share based payment expenses The table below provides the breakdown of share based payment expenses recorded: 30 December 2025 31 December 2024 $ $ Vesting of performance rights 9,608 - Total share based payment expense 9,608 - During the year, the Company issued 118,667,040 listed options (30 June 2025: 65,500,000 unlisted options) as free attaching options in connection with the equity raise. As no goods or services were received in return for the options, no expense has been recognised in the financial statements in accordance with AASB 2 Share-based Payment. 8. Loss per share 31 December 2025 31 December 2024 $ $ Net loss attributable to ordinary equity holders of the Company (2,133,133) (2,045,200) Weighted average number of ordinary shares outstanding during the year used in calculating basic and diluted loss per share 476,058,558 254,846,513 Basic and diluted loss per share (cents per share) (0.45) (0.80) Both the basic and diluted loss per share have been calculated using the loss attributable to shareholders of the Company as the numerator (i.e. no adjustments to loss were necessary in either 2025 or 2024). The performance rights and broker options have not been included in the weighted average number of ordinary shares for the purposes of calculating diluted loss per share as they do not meet the requirements for inclusion in AASB 133 “Earnings per