Company Registration Number: 12497319 (England and Wales)

GREAT SOUTHERN COPPER PLC

ANNUAL REPORT AND FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2024

GREAT SOUTHERN COPPER PLC

CONTENTS

YEAR ENDED 31 MARCH 2024

Chairman’s Statement 2

Operations Report 4

Board Of Directors and Senior Management Report 7

Directors’ Report 9

Directors’ Remuneration Report 14

Strategic Report 19

Corporate Governance 28

Independent Auditor’s Report 36

Consolidated Statement of Comprehensive Income 42

Consolidated Statement of Financial Position 43

Company Statement of Financial Position 44

Consolidated Statement of Changes in Equity 45

Company Statement of Changes in Equity 46

Consolidated Statement of Cashflows 47

Company Statement of Cashflows 48

Notes to the Financial Statements 49

GREAT SOUTHERN COPPER PLC

CHAIRMAN’S STATEMENT

YEAR ENDED 31 MARCH 2024

It has been an important year of progress for Great Southern Copper plc (“the Company” and “GSC”)

that has laid the foundations for an exciting period of upcoming exploration. Over the year, the Company

was successful in both advancing its existing prospects and identifying additional prospects to diversify

our portfolio. The past twelve months have seen us maintain momentum, achieving several important

milestones across the business in line with our strategy.

Exploration projects

We remain excited by our portfolio of prospects in Chile, which includes large-scale projects and multiple

high-grade copper-gold (“Cu-Au”) targets ready to drill. During the period, GSC saw particularly

encouraging developments at our Especularita project, where we received strong results from mapping

and sampling activity across various prospects. Post period, in April 2024, our confidence was further

strengthened by the results from our scout RC drilling programmes at the Abundante and Teresita

prospects, all of which delivered evidence of high grades of Cu-Au.

In June 2024, we were pleased to expand our footprint at Especularita by adding the Artemisa and Cerro

Negro group of concessions. These acquisitions consist of 1,748 additional hectares, encompassing five

highly prospective areas within the project. Subsequent to the year end GSC dropped a number of non-

core concessions at both Especuralita and San Lorenzo, showing strong discipline over its areas of

interest.

In addition, we delivered our strategic objective to acquire a third project and diversify our portfolio

through the acquisition of the Monti Lithium Project. The Monti Lithium Project concession applications

surround the Salar de Atacama in northern Chile, a premier lithium brine production region. Chile, already

the largest producer and exporter of copper globally, also holds the world’s largest reserves of lithium

and is the second-largest producer after Australia. The government’s National Lithium Strategy, initiated

in 2023, aims to promote the development of lithium production, making it an ideal location for exploration.

Chile’s long history of mining and metal processing have provided the country with a highly educated and

experience workforce, supported by first-class infrastructure and a robust legal framework which is highly

receptive to foreign ownership of mining assets. The Board believes these characteristics provide GSC

with an advantage in an underexplored area, given historical evidence, excellent infrastructure, and the

rights to earn 100% of the projects with no overhanging payments.

As both copper and lithium are essential for powering the global drive towards net zero, we believe GSC

is well-positioned to support the critical metals market, which is forecasted to experience growing

pressure on supply. Global demand for copper is rising, and the growth of the electric vehicle market will

further increase pressure on lithium supply.

Corporate

We were delighted to welcome Martin Page as Chief Financial Officer ("CFO") and as a member of the

Board. Martin brings with him more than 15 years of experience in finance within the mineral resources

sector and has been an excellent addition to the team since taking the role in August 2023.

Despite the continuing headwinds in the capital markets we were able to secure three fundraisings for

the Company which raised a total of c. £3.15m (including amounts raised in June 2024). Firstly, in May

2023 we secured a total of £1.0m through a combination of a placing and subscription and a convertible

loan facility, and in November 2023, we raised another £905,000 through a well-supported placing and

subscription. Most recently in June 2024, we were successful in securing an additional £1.25m in funding

supported by existing, institutional and new investors, a testament to the strength of our project portfolio,

our strategy, and reputation within the investor community. The funds will enable us to accelerate our

exploration efforts with our strong pipeline of targets.

GREAT SOUTHERN COPPER PLC

CHAIRMAN’S STATEMENT (CONTINUED)

YEAR ENDED 31 MARCH 2024

Looking ahead

Our commitment remains to deliver value to our shareholders through strategic exploration, disciplined

capital allocation, and a focus on high-quality, high-potential projects.

We are exploring in a tier one region, with excellent infrastructure, for resources where there is high

demand and increasing pressure on supply. Our portfolio includes large-scale, promising prospects with

significant potential and numerous drill-ready targets. As a result, the Board is looking forward to

continuing our progress over the next twelve months and updating shareholders as we advance our

exploration campaigns.

Finally, I would like to thank our highly knowledgeable and dedicated team, including the Board, our

management and our team on the ground in Chile for their passion and devotion towards advancing the

Company’s exploration efforts whilst ensuring the values, beliefs and standards of the Company are

upheld and promoted.

Charles Bond

25 July 2024

GREAT SOUTHERN COPPER PLC

OPERATIONS REPORT

YEAR ENDED 31 MARCH 2024

The Company has three projects all located in Chile, Especularita, San Lorenzo and Monti Lithium. Of

these, the primary focus is its Especularita project which is highly prospective for porphyry Cu-Au,

intrusive related Cu-Au and high-grade IOCG Skarn-type mineralisation.

The Company’s Especularita and San Lorenzo projects are strategically located within the coastal

metallogenic belt, offering significant infrastructure advantages over explorers operating in the high-

altitude Andean belt including access to roads, power, towns, and ports, which facilitate more efficient

and cost-effective operations. Geologically, the coastal metallogenic belt also offers the company deposit

style optionality being known for large IOCG deposits as well as porphyry copper deposits.

Both projects are along trend from major deposits and exhibit substantial evidence of historical artisanal

mining, yet the areas remain relatively underexplored compared to the Andean regions. This under-

exploration presents an opportunity for significant discoveries in a region with proven mineral potential.

We have also acquired the Monti Lithium project in Chile during the period, which is a lithium brine project

located in the highly prospective Salar de Atacama in Chile

Exploration activities at the projects for the year to 31 March 2024 and subsequent to the year end are

set out below.

Especularita Project

At Especularita, we have seen some particularly exciting developments as we advanced our exploration

campaign through the year. We received strong results from mapping and sampling activity at various

prospect locations across the project. Assay results from our rock chip sampling at Victoria, returned

grades up to 6.9% Cu and 1.85g/t Au, highlighting the significance of the Victoria prospect with

consistent high grades of copper and associated gold-silver mapped and sampled in the outcrop

The results of our drone-magnetics survey at Especularita were also highly encouraging, which

identified high grade Cu-Au prospects, Abundante and Teresita, as magnetic anomalies, prompting

plans to drill at these sites.

It also identified multiple NE-trending targets within the Teresita magnetic

anomaly corridor and bullseye anomalies that potentially represent breccia-pipe or pencil-porphyry type

Cu deposits.

Building on these findings, we completed our scout drilling programme at the Abundante and Teresita

prospects

. At Teresita, broad intervals of anomalous Cu-Au results from scout RC drill-testing of the

Gato Negro vein validated our IRGS target models and we are now aggressively advancing our follow-

up exploration activities. Significantly, the Teresita drill results also confirm the IRGS nature of

mineralisation at the Company’s Victoria prospect.

Our initial exploration programme at the Aurelia prospect delivered another high-grade copper target

into the drilling prospect pipeline, with assay grades up to 6.76% Cu

. This success gave us the impetus

for follow-up exploration, including soil sampling and petro-chemical surveys, setting the stage for initial

scout drilling at the prospect.

We also announced results from our latest mapping and sampling programme at our Victoria prospect,

which reported grades up to 4.04% Cu, 4.57g/t Au and 26.7g/t Ag

. These results continue to highlight

the significance of the Victoria prospect with consistent high grades of copper and associated gold-

silver mapped and sampled in outcrop. Work is now continuing at Victoria with a view to better

understanding the controls on mineralisation and advancing the prospect toward being ready for drill

testing.

GREAT SOUTHERN COPPER PLC

OPERATIONS REPORT (CONTINUED)

YEAR ENDED 31 MARCH 2024

In February 2024, we announced our intention to expand the Company’s footprint at Especularita by

signing binding letters of intent for two new high-priority prospects, Artemisa and Cerro Negro

, and in

June and July 2024 respectively, we completed those agreements adding a total of 1,748 ha of new

concessions, including drill-ready targets.

The Artemisa group of concessions comprise 5 new prospect areas and significantly expands the

Company’s Victoria and Lipa exploration targets. The Cerro Negro option includes the historic Mostaza

Cu-Ag-Au Mine which was previously owned by Antofagasta Minerals. Due diligence work by GSC

indicates that mining in the past did not exhaust the Mostaza mineral inventory and as such potential

exists to expand the known deposit in all directions as well as discover new deposits along trend.

San Lorenzo

San Lorenzo comprises both mining and exploration concessions covering 25,680 ha. The project area

includes extensive historical mine workings for high-grade Cu-Au as well as evidence of placer gold

workings in two locations.

During the period, the Company received the results of reconnaissance sampling at the newly acquired

Suyay prospect with results up to 4.13g/t Au and 1.75% Cu. The anomalous geochemistry combined with

our early understanding of the geology and controls on mineralisation now suggests that there is potential

at Suyay for a high-level gold-rich porphyry or intrusive-related system. The Company has identified a

number of large radiometric anomalies potentially representative of porphyry-type silica-clay-sericite

alteration which it intends to target with regional mapping and sampling programmes.

Monti Lithium

GSC made its first foray into lithium exploration with the acquisition of an option over the Monti Lithium

Project located in the Salar de Atacama region of Chile.

The Group secured rights to 100% ownership of the Monti Lithium Project comprising concession

applications surrounding the Salar de Atacama, Chile's premier lithium producing region. The Salar de

Atacama is a tier 1 lithium production region with estimated pre-mine resources greater than 6.0 Mt

LiCO3. Lithium is hosted in subterranean brine solutions which are pumped to the surface, where the

lithium is extracted via evaporation processes producing a lithium carbonate (LiCO3) concentrate

product.

The Monti Project initially comprised 81 concession applications for a total combined concession area of

235 km2 (23,500 ha).

In October 2023, the total concession application area of the Monti Lithium project was expanded to 331

km2 (33,100 ha), strategically targeting areas where the Company believes the fluid-flow of Li-rich brines

into the Salar de Atacama basin is enhanced by large-scale structures9.

GSC is now conducting due diligence on the project with a view to ranking the concession areas on the

basis of potential access to brine-rich horizons in the basin in-flow regions. Work will include

reconnaissance field trips to undertake surface sampling and mapping programmes.

Outlook

It has been a positive year of progress as we continue to make significant strides across our prospects,

particularly at Especularita. Our exploration campaigns have yielded encouraging results and we have

established a very strong pipeline of drill targets. Whilst acknowledging that GSC will need to continue to

raise funds for its activities, with a strengthened capital base, we are poised to accelerate our exploration

efforts, where we aim to commence drilling shortly at our highly prospective targets.

GREAT SOUTHERN COPPER PLC

OPERATIONS REPORT (CONTINUED)

YEAR ENDED 31 MARCH 2024

Our Especularita project remains our primary focus, given its highly promising potential for porphyry Cu-

Au, intrusive-related Cu-Au, and high-grade IOCG Skarn-type mineralisation. The impressive assay

results and magnetic surveys have reinforced our confidence in the project's potential, and we are

advancing with aggressive follow-up exploration activities. The expansion of our footprint at Especularita,

including the recent acquisition of Artemisa and Cerro Negro, strategically positions us to unlock

significant value from these highly prospective areas. In addition, the team has shown strong discipline

in dropping certain non-core concessions subsequent to the year end.

Looking ahead, our strategic priorities are clear and the next six to twelve months promise to be an

exciting period for the Company with our plans to drill our priority targets, namely Cerro Negro, Victoria

and Aurelia. All drilling activities are subject to permitting approvals, rig availability and community

consultations. We will continue to prioritise and advance our high-potential targets with a focused and

disciplined approach aimed at advancing prospects to drill-ready status. Our strengthened financial

position enables us to commence our exploration drilling plans at Cerro Negro, ensuring that we

maximise the value of our asset base.

Sam Garrett

Chief Executive Officer

25 July 2024

References:

1. RNS 9894M (20 Sep 2023): GSC Secures "Monti Lithium Project" in the Prolific Salar de

Atacama Region, Chile,

2. RNS 0032C (05 Feb 2024): Rock Chip Sampling at Victoria Prospect Delivers Assay Results up

to 4.04% Cu, 4.16g/t Au and 26.7g/t Ag from Multiple Quartz-Sulphide Vein Breccias,

3. RNS 4849P (10 Oct 2023): Especularita Magnetics Survey Identifies Multiple Targets,

4. RNS 5914A (23 Jan 2024): Scout Drilling Completed at Abundante Prospect, Especularita,

5. RNS 4473Q (18 Oct 2023): High Grade Rock Chips up to 6.76% Cu at Aurelia Prospect,

Especularita,

6. RNS 0032C (05 Feb 2024): Rock Chip Sampling at Victoria Prospect Delivers Assay Results up

to 4.04% Cu, 4.16g/t Au and 26.7g/t Ag from Multiple Quartz-Sulphide Vein Breccias,

7. RNS 0741E (22 Feb 2024): GSC Expands Especularita Project with Two New Agreements,

8. RNS 4266J (16 Aug 2023): New "Suyay" Prospect Delivers High-Grade Gold-Copper in Rock

Chip Samples, San Lorenzo,

9. RNS 7843R (31 Oct 2023): Monti Lithium Project Grows by 40% with New Concession Filing

GREAT SOUTHERN COPPER PLC

BOARD OF DIRECTORS AND SENIOR MANAGEMENT REPORT

YEAR ENDED 31 MARCH 2024

The Board of Directors has overall responsibility for the Group. Its aim is to represent all stakeholders

and to provide leadership and control in order to promote the successful growth and development of the

business.

Samuel Garrett (Chief Executive Officer)

Samuel Garrett MSc. Applied Finance, Macquarie University (2011), MSc. Economic Geology, University

of Tasmania (1992), BSc. Hons. Geology, University of Tasmania (1988), is a geologist with over thirty

years of exploration management, assessment and operational experience for multi-national and junior

mining and exploration companies in ten countries and a broad range of geologic environments. He is

the executive director of Flynn Gold Ltd and also the Principal Consulting Geologist at Metal Ventures

Pty Limited. Samuel’s experience includes significant discovery credits including the Mt Elliot copper

mine (QLD), Dinkidi copper-gold mine (Philippines), Tujuh Bukit Au-Ag-Cu mine (Indonesia) and the

Havieron copper-gold deposit (WA). Samuel is a member of the Australian Institute of Geoscientists

(AIG), the Society of Economic Geologists (SEG) and he is a member of the Australian Institute of

Company Directors (AICD).

Martin Page (Chief Financial Officer)

Martin Page is a qualified chartered accountant and experienced CFO. He was previously CFO at Trident

Royalties plc, an AIM quoted junior mining royalty company, where he presided over an increase in the

company's market cap from c.$40 million to c.$200m. In this role, Martin was responsible for oversight

and management of the Group's finances, negotiation of debt financing and the deployment of over

US$100m in capital across several large deals. Prior to that he held the position of CFO at Toro Gold, a

group that owned and operated the Mako Gold mine in Senegal, which was sold to Resolute Mining for

in excess of US$300m in 2019.

Nicholas Briers (Non-Executive Director)

Nicholas Briers BSc. Hons. Geography, Royal Holloway College, University of London, is a Director of

Corporate Broking at SI Capital, specialists in delivering pre-IPO, primary and secondary funding to small

companies listed on the London market. Prior to that he has over 25 years of experience in financial

markets heading up Exchange Traded Derivatives sales desks at a number of tier 1 broking houses,

most recently at Tullett Prebon, now TPICAP, the world's largest Inter Dealer Broker. Nick was formerly

a Non-Executive Director of AMTE Power. He sits on the Company's Remuneration Committee and its

Audit Committee.

Stuart Greene (Non-Executive Director)

Stuart Greene is a geologist and former Director of RMB Resources, the resource investment arm of First

Rand Bank. He has sixteen years’ experience working in southern Africa as a mine geologist and

geological consultant with Western Areas gold mine, SRK Consulting, Knight Piesold, Venmyn Rand and

others, followed by 14 years as a mining financier with RMB Resources in their London office. Whilst

there, Stuart originated, evaluated and executed equity and debt financings for junior mining companies

with projects at every stage of development from exploration through to production; for commodities that

included gold, silver, copper, lead, zinc, nickel, diamonds, uranium and oil; and for project locations in

North America, South America, Europe, Africa and SE Asia. He is currently a founding partner and

director of Tanjun Capital Limited, the investment advisor to a mining credit fund, investing in junior and

mid-tier mining companies. Stuart chairs the Company's Audit Committee

GREAT SOUTHERN COPPER PLC

BOARD OF DIRECTORS AND SENIOR MANAGEMENT REPORT (CONTINUED)

YEAR ENDED 31 MARCH 2024

Charles Bond (Non-Executive Chairman)

Charles is a corporate finance lawyer with some 30 years of experience and has worked with mining

companies for the last 18 years. He is a partner in the London office of international law firm Gowling

WLG (UK) LLP, where he leads the UK firm's Natural Resources group and Equity Capital Markets team.

He practises in equity capital markets and public and private M&A for mining clients in developed and

emerging markets, helping to develop their business using his wide international network of contacts in

the sector. He spent ten years as a corporate lawyer with Freshfields Bruckhaus Deringer, before heading

the equity capital markets and natural resources teams at Cobbetts LLP and the UK branch of Canadian

law firm Gowlings, for eight years and four years respectively, before Gowlings' merger with UK firm

Wragge Lawrence Graham to become Gowling WLG. He has acted as lead counsel for numerous mining

companies and financial advisers, advising on flotations on the London and Toronto stock exchanges,

on secondary fundraises, public and private M&A, corporate governance, joint ventures and earn-ins. He

has been named as one of the few leading mining lawyers in England in the most recent International

Who's Who of Mining Lawyers. Charles chairs the Company's Remuneration Committee.

GREAT SOUTHERN COPPER PLC

DIRECTORS’ REPORT

YEAR ENDED 31 MARCH 2024

The Directors have pleasure in submitting their report together with the audited financial statements for

Great Southern Copper plc (the ‘Company’ and together with its subsidiary, the ‘Group’) for the year

ended 31 March 2024.

Principal Activities

The Group is currently focussed upon the exploration for copper and gold in Chile. Further detail is

covered in the Chairman’s Statement and also in the Operations Report.

Risks and Uncertainties

The business of mineral exploration, evaluation and development contains inherent risks. The Group’s

exposure to such risks and associated uncertainties is covered in the Strategic Report on page 19.

Performance and Future Developments

A review of the work undertaken at the Group’s projects is contained in the Operations Report as is an

outline of proposed future activities. Further detail is to be found in the Chairman’s Report.

General Background Information

The Company was incorporated in England and Wales on 4 March 2020. On 20 December 2021, the

Company was admitted to listing on the Official List (Standard Segment) of the Financial Conduct

Authority and to trading on the Main Market of the London Stock Exchange.

Details of issues of Ordinary Shares issued in the course of the year are covered in Note 18.

Further general information can also be found in Note 1, the Chairman’s Statement and the Operations

Report.

Dividends

No dividends are planned (2023: £nil).

Political and Charitable Donations

No political or charitable donations were made during the year under review (2023: £nil).

Directors

The Directors of the Company during the year were:

Charles Bond

Samuel Garrett

Stuart Greene

Martin Page (appointed 1 August 2023)

Nicholas Briers

The Directors’ interests in the ordinary share capital of the Company and details of their remuneration

are set out in the Remuneration Report from page 14.

GREAT SOUTHERN COPPER PLC

DIRECTORS’ REPORT (CONTINUED)

YEAR ENDED 31 MARCH 2024

Substantial Interests

As at 31 March 2024, the total number of issued ordinary shares in the Company with voting rights was

343,491,487. Details of the Company’s capital structure and voting rights are set out in note 18 to the

financial statements.

As at the date of approval of this report, the Company had 448,212,827 shares in issue and has been

notified of the following interests in 3% or more of the issued ordinary share capital of the Company:

Number of Ordinary Shares % of Issued Share Capital

Foreign Dimensions Pty Limited

Spreadex Limited*

Lowell Resources Fund

224,146,887

17,916,666

15,503,727

50.01

4.00

3.46

*Nominee, not beneficial shareholder.

Streamlined Energy and Carbon Reporting

The UK government’s SECR was implemented on 1 April 2019, when the Companies (Directors’ Report)

and Limited Liability Partnerships Energy and Carbon Report regulations 2018 came into force. The

regulations require that quoted companies and large unquoted companies that have consumed more

than 40,000 kilowatt hours (kWh) of energy in the reporting period must include energy and carbon

information within their Directors’ report. The Company does not currently exceed this threshold but

nevertheless, in the spirit of the requirements, it has calculated its energy usage below.

The Company will comply with applicable reporting obligations in line with the SECR regulations as the

Company’s strategy develops. The Board is conscious of its responsibilities under this legislation and

has ensured that all its employees and contractors are imbued with a similar philosophy.

The Company does not maintain a centralised office within the UK or Australia (where the Board are

based), preferring to rely upon on-line meetings wherever possible. The Board met face to face twice in

the financial reporting period; travel is kept to a bare minimum and operational energy consumption is

reduced to an insignificant level.

Operations in Chile are still at an early stage. A limited amount of drilling and trenching work has taken

place at both of its exploration projects, but all plant is hired in and is operated by contractors. Apart from

this, very little energy consuming work has taken place. The only material travel has consisted of visits

by the Chief Executive Officer, Chief Financial Officer and by the Company’s country manager. There

have been no Board visits during this financial reporting period.

GREAT SOUTHERN COPPER PLC

DIRECTORS’ REPORT (CONTINUED)

YEAR ENDED 31 MARCH 2024

Streamlined Energy and Carbon Reporting (continued)

Consistent with the previous reporting period, all administration work is contracted out in Chile to a

company whose energy consumption would be unlikely to alter materially without the presence of the

Group.

Taking all these factors into account, the Board has calculated that its energy consumption for the year

under review is in the order of 4,600 kWh, of which 72% relates to travel and the remaining 28% to office

use and below the 40,000 kWh threshold.

Directors’ and Officers’ Liability Insurance

During the year under review, the Company maintained cover for its Directors and Officers under a

Directors’ and Officers’ Liability policy. No qualifying third-party indemnity cover for the Directors has

been provided by the Company.

Report on Payments to Governments

The Group makes no payments which are required to be disclosed under this category. However, annual

statutory fees paid to the Chilean government by the holder of the concessions over which PTRC has

options, are directly reimbursed by PTRC.

Subsequent Events

Further details on subsequent events can be found in note 24 and in the strategic report.

Going Concern

In common with many other mineral exploration companies, the Group has raised equity and debt finance

for its exploration activities. The Board recognises that further finance will need to be raised as and when

required to progress its exploration projects and add shareholder value. The Board also acknowledges

that previous success in raising funds does not necessarily provide any guarantee that the Group will be

able to do so in the future.

As at 31 March 2024, the Group’s cash at bank amounted to £503k; at the date of signing this report, the

balance of cash and committed funds amounted to £1,005k.

The Board has reviewed the Group’s cash flow forecast up to 31 July 2025 and are aware that additional

funds will need to be sourced in order to continue to advance its exploration activities and continue as a

going concern for a period of at least 12 months from the approval of these financial statements. The

Directors are confident that they will be able to secure the necessary funding in order to enable the Group

to continue to advance its projects, however he requirement for further uncommitted fundings casts

significant doubt over the Group’s ability to continue as a going concern. The auditors have

acknowledged this going concern uncertainty in their unqualified audit report

The Board continues to closely monitor its cash position, allocate funds in line with its detailed budget

and maintain a strict control over non-project spend. The Directors remain confident in the Company’s

ability to raise additional funds as required, from existing and/or new investors and therefore consider it

appropriate to continue to adopt the going concern basis of accounting in preparing these financial

statements.

GREAT SOUTHERN COPPER PLC

DIRECTORS’ REPORT (CONTINUED)

YEAR ENDED 31 MARCH 2024

Auditors

A resolution to re-appoint the Company’s Auditors, PKF Littlejohn LLP, will be proposed at the next

Annual General Meeting of the Company, to be held before the end of September 2024.

Financial Reporting Council’s Audit Quality Review

The Financial Reporting Council’s Audit Quality Review team (AQR) reviewed PFK Littlejohn LLP’s audit

of the Group’s 2022 financial statements as part of its annual inspection of audit firms. The Audit

Committee received and reviewed the final report from the FRC in December 2023. The Audit Committee

was satisfied that the matters raised by the AQR were appropriately incorporated into the 2024 audit

plan.

Statement of Directors' Responsibilities

The Directors are responsible for preparing the Annual Report, Strategic Report, Directors' Report,

Governance Report and Directors' Remuneration Report along with the financial statements in

accordance with applicable law and regulations.

Company law requires the Directors to prepare financial statements for each financial year. Under the

law the Directors have elected to prepare the financial statements in accordance with the UK-adopted

International Accounting Standards.

Under Company law the Directors must not approve the financial statements unless they are satisfied

that they give a true and fair view of the state of affairs of the Company and the Group and of the profit

or loss of the Company and the Group for that year. The Directors are also required to prepare financial

statements in accordance with the rules of the London Stock Exchange for companies with a Standard

Listing.

In preparing these financial statements, the Directors are required to:

• Select suitable accounting policies and then apply them consistently;

• Make judgements and accounting estimates that are reasonable and prudent;

• State whether applicable accounting standards have been followed, subject to any material

departures disclosed and explained in the financial statements; and

• Prepare the financial statements on the going concern basis unless it is inappropriate to

presume that the Company will continue in business.

The Directors are responsible for keeping adequate records that are sufficient to show and explain the

Company's transactions and disclose with reasonable accuracy at any time the financial position of the

Company and enable them to ensure that the financial statements comply with the Companies Act 2006.

They are also responsible for safeguarding the assets of the Company and hence for taking reasonable

steps for the prevention and detection of fraud and other irregularities.

The maintenance and integrity of the Great Southern Copper plc website is the responsibility of the

Directors; work carried out by the auditor does not involve the consideration of these matters and,

accordingly, the auditor accepts no responsibility for any changes that may have occurred in the accounts

since they were initially presented on the website.

Legislation in the United Kingdom governing the preparation and dissemination of the accounts and the

other information included in annual reports may differ from legislation in other jurisdictions.

GREAT SOUTHERN COPPER PLC

DIRECTORS’ REPORT (CONTINUED)

YEAR ENDED 31 MARCH 2024

Directors' responsibility statement pursuant to Disclosure and Transparency Rules

Each of the Directors, whose names and functions are listed on page 7 and 8, confirms that to the best

of his knowledge and belief:

• The financial statements prepared in accordance with UK-adopted International Accounting

Standards and in conformity with the Companies Act 2006, give a true and fair view of the assets,

liabilities, financial position and loss of the Group and parent company; and

• The Annual Report and financial statements, including the Operations Report, includes a fair

review of the development and performance of the business and the position of the Group and

parent company, together with a description of the principal risks and uncertainties that they face.

Statement as to Disclosure of Information to the Auditor

So far as the Directors are aware, there is no relevant audit information (as defined by Section 418 of the

Companies Act 2006) of which the Company's auditor is unaware, and each Director has taken all the

steps that he ought to have taken as a Director in order to make himself aware of any relevant audit

information and to establish that the Company's auditor is aware of the information.

We confirm to the best of our knowledge:

• The financial statements, prepared in accordance with the relevant financial reporting framework,

give a true and fair view of the assets, liabilities, financial position and profit or loss of the

Company and the undertakings included in the consolidation as a whole;

• The strategic report includes a fair review of the development and performance of the business

and the position of the Company and the undertakings included in the consolidation taken as a

whole, together with a description of the principal risks and uncertainties that they face; and

• The annual report and financial statements, taken as a whole, are fair, balanced and

understandable and provide the information necessary for shareholders to assess the

Company's position and performance, business model and strategy.

Approved by the Board of Directors and signed on behalf of the Board by:

Charles Bond

Chairman

25 July 2024

GREAT SOUTHERN COPPER PLC

DIRECTORS’ REMUNERATION REPORT

YEAR ENDED 31 MARCH 2024

The Company’s Remuneration Committee comprises two Non-Executive Directors: Charles Bond and

Nick Briers. The Committee operates within the terms of reference approved by the Board. In the year to

31 March 2024, the Remuneration Committee did not formally convene as no changes were considered

necessary for formal review.. The items included in this report are unaudited unless otherwise stated.

Implementation of remuneration policy

Insofar as is practicable, the Remuneration Committee will ensure that the remuneration policy will be

reviewed in the next financial year. However, implementation of any recommended changes will be

dependent upon a number of factors as outlined above. The review will be undertaken with the aim of

retaining and incentivising current management. The statement of Remuneration Policy will be proposed

for approval by shareholders at the forthcoming Annual General Meeting before the end of September

this year.

Statement of policy on Directors’ remuneration

Given the current size and stage of development of the Group, there is no formal policy yet in place in

respect of remuneration, although it is the Company's intention to maintain levels of remuneration so as

to attract, motivate, and retain Directors and senior management, who can contribute their experience to

deliver the appropriate performance required by the Company’s operations. The Company is particularly

mindful of the need to balance this objective with the fact that it is pre-revenue.

Since the date of admission to listing, the Non-Executive Directors have been remunerated through

salaries and the grant of share options at the time of admission and a subsequent grant in December

2023. The salary of the Chairman has been settled by way of issuance of new shares. Total salaries

payable to Directors have been modest. As the Company grows, and increasingly will need to make

external hires, it will become necessary to move to a more long-term and sustainable policy, which

continues to align the interests of Directors and senior management with those of shareholders, while

recognising that new hires will not initially have an equity position. Accordingly, it is likely that

compensation packages for executive directors in particular will need to move over time to a level more

consistent with the market.

Currently Directors’ remuneration is not subject to specific performance targets. The Company is

sufficiently small that the Remuneration Committee does not consider that it is necessary to impose such

targets as a matter of principle, but believes that exceptional performance should be rewarded on an ad

hoc basis. Over the next year the Board will review the possibility of setting relevant objectives for

executive management, dependent on factors such as exploration progress, market profile and ESG

targets. Similarly, the Committee has not adopted a specific policy with regard to share option grants;

nonetheless, the use of share options will continue to be an important part of the compensation packages

both for executive and non-executive directors, particularly until such time as the Company is generating

cash from operations.

The Remuneration Committee considers the remuneration of directors and senior staff and their

employment terms, and makes recommendations to the Board of Directors on the overall remuneration

packages. No Director takes part in any decision directly affecting their own remuneration.

This statement of Remuneration policy will be proposed for approval by shareholders at the forthcoming

Annual General Meeting.

GREAT SOUTHERN COPPER PLC

DIRECTORS’ REMUNERATION REPORT (CONTINUED)

YEAR ENDED 31 MARCH 2024

Directors’ remuneration

The Directors who held office at 31 March 2024 and who had beneficial interests in the ordinary shares

of the Company are summarised as follows:

Name of Director Position

Samuel Garrett Chief Executive Officer

Martin Page Chief Financial Officer (appointed 1 August 2023)

Stuart Greene Non-Executive Director

Nicholas Briers Non-Executive Director

Charles Bond Non-Executive Chairman

Details of these beneficial interests can be found on Page 17 of this report.

Samuel Garrett entered into a service agreement at the time of the Company’s admission to the market

in December 2021 and each of the Non-Executive Directors entered into a letter of appointment. Martin

Page entered in a service agreement as Chief Financial Officer on 1 August 2023. Details of those

agreements are set out below. There were no other major remuneration decisions in the period.

Chief Executive Officer’s Remuneration

There has been no change to the basis of calculation or the daily rate paid to the Chief Executive Officer.

Any variation in the amount for the current year compared to the prior year is solely due to a difference

in the time allocated to the Company and a variation in the exchange rate.

Directors’ service contracts

Samuel Garrett

Samuel was appointed as Chief Executive Officer of the Company on 11 September 2020 and pursuant

to the terms of a service agreement with the Company dated 7 December 2021, either party may

terminate the appointment upon six months' written notice. He is paid a salary equivalent to US$200,000

per annum pro rata to the time committed to the Company, which is a minimum of 50%.

Martin Page

Martin was appointed Chief Financial Officer of the Company on 1 August 2023 and pursuant to the terms

of a service agreement with the Company dated 12 July 2023, either party may terminate the appointment

upon three months' written notice. He is paid a salary equivalent to GBP£125,000 per annum pro rata to

the time commitment to the Company, currently three working days a week.

Stuart Greene

Stuart entered into a letter of appointment with the Company on 7 December 2021 pursuant to which

either party may terminate the appointment upon three months' written notice and he is paid an annual

salary of £28,571 per annum.

Nicholas Briers

Nicholas entered into a letter of appointment with the Company on 7 December 2021 pursuant to which

either party may terminate the appointment upon three months' written notice and he is paid an annual

salary of £28,571 per annum.

Charles Bond

Charles entered into a letter of appointment with the Company on 7 December 2021 pursuant to which

either party may terminate the appointment upon three months' written notice and he is paid an annual

salary of £39,286 per annum payable by way of shares in the Company.

GREAT SOUTHERN COPPER PLC

DIRECTORS’ REMUNERATION REPORT (CONTINUED)

YEAR ENDED 31 MARCH 2024

Remuneration components

The Board has to date structured remuneration and incentivisation around the principles set out in

guidelines published by the Quoted Company Alliance, and also taken into account the fact that the

Company is an early-stage exploration business. Remuneration packages therefore are aimed at

motivating directors and supporting the delivery of the business objectives in the short and longer term,

using a combination of both salaries and share options, some of which are linked to share price

performance thereby aligning their interests with the interests of long-term shareholders. Remuneration

packages have been set high enough to recruit and retain high quality executives, but at levels that are

benchmarked to peers, not excessive and well within market parameters for a business of the size and

stage of the Company.

For the year ended 31 March 2024, salaries and share incentive arrangements were the sole component

of remuneration. The Remuneration Committee will continue to consider the components of Directors’

remuneration during the year and following this review anticipate that they will continue to consist of

salaries and share incentive arrangements, but the Committee will also consider the use of bonus

arrangements for executive management if appropriate for medium term incentivisation, based on

relevant factors such as exploration progress, market profile and ESG targets.

Directors’ emoluments and compensation (audited)

Set out below are the emoluments of the Directors for the years ended 31 March 2024 and 2023:

Name of Director

Short term employment

benefits*

Share-based payment

charge

Other benefits Total

2024

2023

2024

2023

2024

2023

2024

2023

Stuart Greene

Nicholas Briers

Charles Bond

28,571

39,286

28,571

39,286

20,858

34,763

8,119

13,532

7,299

56,729

49,430

74,045

36,690

52,818

Non-Executive total

96,428 96,428 76,479 29,770 7,299 - 180,204 126,198

Samuel Garrett

138,137 105,714

75,704 21,651

13,814 13,382 227,655 140,747

Martin Page**

50,000 -

25,104 -

- - 75,104 -

Executive total

188,137 105,714 100,808 21,651 13,814 13,382 302,759 140,747

Total

284,565 202,142 177,287 51,421 21,113 13,382 482,965 266,945

* Excludes NI paid by Company of £13,153 (2023: £13,998).

** Appointed 1 August 2023.

GREAT SOUTHERN COPPER PLC

DIRECTORS’ REMUNERATION REPORT (CONTINUED)

YEAR ENDED 31 MARCH 2024

The interests of the Directors who served during the year in the share capital of the Company at

31 March 2024 and at the date of this report were as follows:

Name of Director

Number of ordinary

shares held 31 March

2024

As at the date

of this report

Number of

ordinary shares

held 31 March

2023

Number of

share options

vested but

unexercised

as at 31

March 2024

Number of share

options vested

but unexercised

as at 31 March

2023

Samuel Garrett 10,863,835 12,947,168 4,926,878 2,021,111 1,347,407

Martin Page - - - - -

Stuart Greene 1,155,555 1,155,555 100,000 757,916 505,276

Nicholas Briers 1,477,777 1,477,777 200,000 757,916 505,276

Charles Bond* 4,263,644 5,401,650 1,260,311 1,263,194 842,128

*The allotment of shares to Charles Bond for the quarter ended 31 March 2024 took place on 4 April

2024 with issuance of a further 304,673 ordinary shares, the relevant salary is accrued and included in

the remuneration figures above.

Total pension entitlements (audited)

The Company makes a 10% contribution to the Chief Executive Officer’s superannuation scheme but

otherwise has no other pension plans.

Payments to past directors (audited)

The Company has not paid any compensation to past Directors.

Payments for loss of office (audited)

The Company has not paid any amounts for loss of office.

Directors’ interests in share options (audited)

Details at 31 March 2024 of share options (vested and unvested) over ordinary shares held by directors

who served during the year are set out in the table below

Name of Director

Options

exercisable at

Options

exercisable at

Total share options at 31

March 2024

Number of share options

at 31 March 2023

Samuel Garrett 2,021,111 8,000,000 10,021,111 4,042,222

Martin Page - 5,000,000 5,000,000 -

Stuart Greene 757,916 1,500,000 2,257,916 1,515,833

Nicholas Briers 757,916 1,500,000 2,257,916 1,515,833

Charles Bond 1,263,194 2,500,000 3,763,194 2,526,388

The detailed terms of the options are provided in note 19. The options exercisable at 1p were granted

during the year. The weighted average contract length on the options was 6 years (2023: 4 years). The

remaining average contractual life of the options was 5 years 2 months (2023: 2 years 8 months). Other

than as set out above, there were no awards of annual bonuses or incentive arrangements in the period.

GREAT SOUTHERN COPPER PLC

DIRECTORS’ REMUNERATION REPORT (CONTINUED)

YEAR ENDED 31 MARCH 2024

All remuneration was therefore fixed in nature and no illustrative table of the application of remuneration

policy has been included in this report.

Consideration of employment conditions elsewhere in the Group

The Committee has not consulted with employees about executive pay but considers that the current

remuneration of Executive Directors is consistent with pay and employment benefits across the wider

Group.

UK 10-year performance graph

The Directors have considered the requirement for a UK 10-year performance graph comparing the

Group’s Total Shareholder Return with that of a comparable indicator. The Directors do not currently

consider that including the graph will be meaningful because the Company has only been listed since

December 2021, is not paying dividends and is currently incurring losses. The Directors will review the

inclusion of this table for future reports.

UK 10-year CEO table and UK percentage change table

The Directors have considered the requirement for a UK 10-year CEO table and UK percentage change

table. The Directors do not currently consider that including these tables would be meaningful as

remuneration is not currently linked to performance, therefore any comparison across years or with the

employee group would be significantly skewed and would not add any information of value to

shareholders. The Directors will review the inclusion of this table for future reports.

Relative importance of spend on pay

The Directors have considered the requirement to present information on the relative importance of spend

on pay compared to shareholder dividends paid. Given that the Company does not currently pay

dividends they have not considered it necessary to include such information.

Compliance with Listing Rule 9.8.4 (7)

In accordance with the terms of his employment arrangements, the Chairman’s remuneration is payable

in the form of ordinary shares in the Company, calculated quarterly on the basis of the volume weighted

average price for the preceding quarter. Shares are allotted on this basis after the deduction of

appropriate income tax and national insurance contributions. Full details of the allotments relating to

remuneration payable for the year ended 31 March 2024 are set out in the Company's announcements

dated 14 December 2023 and 16 January 2024. Allotment of shares for the quarter ended 31 March 2024

took place subsequent to the year end, and the remuneration disclosed does take into account the

consideration for such allotment. In addition, the CEO was partially paid in the form of ordinary shares in

the Company, as detailed in the Company announcement dated 14 December 2023.

Other matters

The Company does not currently have any annual or long-term incentive schemes in place for any of the

Directors other than as disclosed above.

Approved by the Board on 25 July 2024.

Charles Bond - Chairman of the Remuneration Committee

GREAT SOUTHERN COPPER PLC

STRATEGIC REPORT

YEAR ENDED 31 MARCH 2024

The Directors present their Strategic Report on the Group and Company for the year ended 31 March

2024.

Strategy and Business Review

The Company’s strategy is to create value for shareholders by using the expertise of its management

team to successfully explore for copper-gold (Cu-Au) deposits in Chile and, potentially, to identify and

acquire other mineral exploration projects.

The Company’s key exploration projects in Chile comprise the and the Especularita Cu-Au project located

approximately 350km north of Santiago and the San Lorenzo Cu-Au project north east of the coastal

town of La Serena in northern Chile. Both projects are situated in the Coastal Cordillera of Chile with

good access to infrastructure. In addition, the Company has an option over the Monti lithium project

located in the Salar de Atacama district of northern Chile.

Subsequent Events

On 26 June 2024, the Company completed a fund-raising through the placing and subscription for

104,416,667 new ordinary shares of 1p each at £0.012 per share raising £1.25m before expenses.

On 12 June 2024, the Company signed a binding purchase option agreement to acquire the Artemisa

copper project at the Company’s Especuralita project in Chile.

On 29 June 2024, the Company signed a binding purchase option agreement to acquire the Cerro Negro

copper project at the Company’s Especuralita project in Chile.

Principal Risks

The Directors have identified the following principal risks in regards to the Company’s future. The relative

importance of these risks is likely to evolve over time as the Company executes its strategy in Chile and

as the external economic and market environment changes.

Strategic Risk

The Company’s strategy may not deliver the results anticipated by the shareholders. The Directors

regularly monitor the Company’s progress and will modify the strategy as required, based on internal and

external developments and exploration results. The strategy is monitored at the Company’s regular Board

meetings.

Concentration Risk

The Company’s activities are currently geographically concentrated in Chile. As a result of this

concentration, the Company may be disproportionately exposed to the impact of local delays or

interruptions to development of, and future production from, these locations caused by significant

changes to governmental regulation, interruption to transportation together with capacity constraints,

curtailment of future production, natural disasters, adverse weather conditions, civil unrest, labour

disputes or other events which impact this area.

Exploration Risk

The Company’s projects are regarded as 'early-stage exploration', are highly speculative in nature, and

may not result in success. There is no guarantee that further mineralisation or recoverable economic

resources will be found.

Whilst the Directors endeavour to apply their skills to assess the projects, exploration is costly, highly

speculative and often unsuccessful. For instance, factors such as adverse weather conditions, natural

disasters, equipment or services shortages, procurement delays or difficulties arising from the

environmental and other conditions in the areas where the potential resources are located, may increase

costs and make it uneconomical to advance or develop the Company's projects. Failure to discover new

mineral resources or maintain existing mineral rights could materially and adversely affect the Company’s

results of operations, cash flows, financial conditions and prospects.

GREAT SOUTHERN COPPER PLC

STRATEGIC REPORT (CONTINUED)

YEAR ENDED 31 MARCH 2024

Government Regulation

The licences and operations of the Company are in jurisdictions outside of the UK and there will,

therefore, be a number of risks that the Company will be unable to control.

Whilst the Company will make every effort to ensure that it has robust commercial agreements in place,

there is a risk that the Company may be adversely affected by political factors such as taxes and

charges, suspension of licences and changes to the laws governing mineral exploration and extraction

activities. The adoption of a mining royalty tax in Chile may adversely affect the Company's operations

in the future.

On 10 August 2023, a mining royalty law was enacted which introduces a new royalty system payable

by copper mining companies. The law contains a variable royalty rate, dependent on the quantity of

copper sold and will apply to companies producing more than 50,000 metric tonnes of fine copper per

annum. The Company is aware of the law and will continue to monitor relevant regulations and any

other proposed changes and specifically the impact they could have on any potential future operations

of the Company.

Permitting

The Company's rights to the exploration projects are defined by option agreements that its subsidiary,

PTRC, has over the exploration and exploitation concessions at these projects. The option agreements

and all of the concessions are in good standing.

Exploration concessions in Chile currently last for 2 years, counted since their constitution by judicial

ruling, and are subject to the payment of annual fees to the Chilean Treasury. If these fees are not paid

in a timely manner, the claim can only be restored to good standing by paying double the annual fee

the following year. At the end of the two-year period, the exploration concession may i) be renewed for

an additional two years, in which case at least 50% of the surface area of the exploration concession

must be relinquished, or ii) be converted, totally or partially, into an exploitation concession. Pursuant

to article 112 of the Mining Code, amended by Law No. 21,420 of 4 February 2022 which became

effective on 1 January 2024, exploration concessions will have a duration of 4 years counted since

their constitution (and the 4-year period cannot be extended).

Exploitation concessions are valid indefinitely so long as annual fees are paid to the Chilean

government. Pursuant to article 142 bis of the Mining Code, added by Law No. 21,420 of February 4,

2022 which became effective on 1 January 2024, the annual fee for proving the start and maintenance

of mining works will be US$8/ha. In the event that the exploitation concessions do not comply with

such requirement (maintenance of mining works), a progressive annual fee will be applied for the

aforementioned measure, as follows:(i) USD32/ha for the first 5 years of validity; (ii) USD64/ha from

year 6 to year 10; (iii) USD72/ha from year 11 to year 15; (iv) USD96/ha from year 16 to year 20; (v)

USD240/ha from year 21 to year 25; (vi) USD580/ha from year 26 to year 30; and (vi) USD960/ha from

year 31. Pursuant to article 142 bis of the Mining Code, added by Law No. 21,420 of February 4, 2022

which became effective on 1 January 2024, the annual fee for proving the start and maintenance of

mining works will be US$8/ha.

The process to incorporate an exploitation concession is based on the principle that grants preference

to the first petitioner before the local court. The holder of an exploration concession in good standing

has the preferential right to incorporate an exploitation concession within the boundaries of its

exploration concession. Notwithstanding, anyone can request the incorporation of an exploitation

concession within the limits of the exploration concession of a different owner, in which case the holder

has to file a claim opposing the aforementioned constitution, within 30 days, counted from the date of

publication of the application made by the interested third party. Exploration and exploitation

concessions do not necessarily imply a right to mine, except on a small scale. However, they give the

owner the right to mine subject to the granting of permits.

There is no guarantee that any of PTRC’s granted exploration concessions, or any exploration

concessions granted in the future, will be renewed. Additionally, there is no guarantee that PTRC’s

exploitation concessions granted or to be granted can be effectively maintained by payment of the

appropriate annual licence fees or by means of compliance with any new regulation that may control

GREAT SOUTHERN COPPER PLC

STRATEGIC REPORT (CONTINUED)

YEAR ENDED 31 MARCH 2024

the granting and maintenance of exploitation concessions in the future. If these exploration and

exploitation concessions are not renewed or maintained, or if new exploration and exploitation

concessions are applied for and not granted, this could have a material adverse effect on the

Company's business, prospects, financial conditions and results of operations.

Whilst the Company is satisfied that it has taken reasonable measures to ensure an unencumbered

right to explore its projects in Chile, the relevant concessions may be subject to undetected defects. If

a defect does exist, it is possible that the PTRC may lose all or part of its interest in one or more of the

concessions to which the defect relates and its exploration and exploitation rights over the areas related

to such concessions and prospects of commercial production may accordingly be adversely affected.

Exploration concessions, which PTRC has the right to acquire through option agreements, need to be

duly registered in the Chilean Mining Registrar in order for them to be enforceable. Whilst PTRC is

satisfied that it has submitted all option agreements not currently registered in the Chilean Mining

Registrar for registration, if PTRC fails to register any option agreement in the Chilean Mining Registrar,

then it may be unable to enforce the benefit of them and PTRC's title to the exploration concession

and could be subject to potential litigation by third parties claiming an interest in them.

Environmental and Other Regulatory Requirements

Currently the Group’s environment impact is limited to the activities associated with exploration and is

therefore minimal. The development of any project into a mining operation will have a considerable impact

on the local landscape and communities. There may at some point be opposition to mining by some

parties and this may impact the ability of the Company to progress these projects towards production.

Although the Company believes that its projects are currently in compliance with all relevant

environmental and health and safety laws and regulations, there can be no guarantee that new laws or

regulations, or amendments to current laws or regulations will not be introduced and they may have a

material impact on the Company and its projects. The Company will continue to maintain the highest

standards and aim to comply with all appropriate laws and regulations. The Company will also continue

to engage with local communities and non-governmental and governmental bodies to ensure any impacts

of current and future activities are minimised and managed appropriately.

Financing

The Company is in the exploration stage of its development and will only become revenue producing

once successful exploration has been achieved and an operating mine developed. Consequently, the

Company will be dependent on either equity funding or bringing in partners to finance its operations. The

Company may not be successful in the procurement of the required funds and may therefore have to

adjust its exploration strategy accordingly.

Commodity Prices

The market prices of copper and gold, like many commodities, are volatile and are affected by numerous

factors which are beyond the Company’s control. Sustained downward movements in copper and gold

prices could render less economic, or uneconomic, the mineral projects that the Company is exploring

and could negatively impact the availability of equity finance to the Company for it to continue to fund its

exploration activities.

GREAT SOUTHERN COPPER PLC

STRATEGIC REPORT (CONTINUED)

YEAR ENDED 31 MARCH 2024

Foreign Currency and Exchange Rates

The Company may be exposed to ongoing currency risk, however no forex sensitivities have been

included as they are deemed to be immaterial. Proceeds of fundraises are expected to be mostly in

Sterling; the Company’s financial statements are stated in Sterling and certain ongoing management

costs will be denominated in Sterling. Its operational costs are largely in Chilean Peso (CLP). As a result,

fluctuations in the exchange rates of these currencies may adversely affect the Company’s exploration

budgets, operating results, cash flows or financial condition to a material extent.

Market Conditions

The Company cannot predict the extent of periods of slow or negative economic growth and any resultant

weakening of consumer and business confidence. This might result in difficulties in raising capital and

lower the level of demand for many products across a wide variety of industries, including those industries

for which commodities in the natural resources sector are an important raw material. Accordingly, the

Company’s estimate of the results of operations, financial condition and prospects of the Company, and

of any future acquisition targets, will be uncertain and may be adversely impacted by unfavourable

general global, regional and national macroeconomic conditions.

Dependence on Key Personnel

The Company’s success depends to a significant extent on the quality of its management. The

Company’s business may be disrupted, additional cost may be incurred or its future may be jeopardised

by a loss of, or failure to retain, sufficient numbers and quality of management staff or senior personnel.

To mitigate this risk, measures are in place and are under review to reward and retain key individuals

and to protect the Company from the impact of staff turnover.

Social, Community and Human Rights

It is the Company’s intention to operate for the benefit of all stakeholders. In this regard, it will ensure

that PTRC:

• Adopts fair, non-discriminatory employment practices;

• Ensures safe working practices for all employees;

• Positively engages with local communities and is sensitive to any concerns that they may have

regarding land usage, water resources, biodiversity, cultural sites and artefacts; and

• Will treat local suppliers fairly.

Whilst the projects are still at an early stage of exploration, the Company recognises that for any mine to

be developed at the project sites, it must be able to demonstrate to all stakeholders, a clear positive

benefit that respects social, community and human rights.

GREAT SOUTHERN COPPER PLC

STRATEGIC REPORT (CONTINUED)

YEAR ENDED 31 MARCH 2024

Climate-Related Financial Disclosures

The Group recognises that climate change represents one of the most significant challenges facing the

world today. Under the Listing Rules compliance with the Task Force on Climate-Related Financial

Disclosures (TCFD) is required for premium and standard listed companies on a comply or disclose basis.

TCFD Purpose

In contrast to the Streamlined Energy and Carbon Reporting (SECR) disclosures which requires listed

companies to disclose their greenhouse gases emissions, CO2 and energy usage, TCFD is primarily

designed to protect shareholders from the impacts of climate change by ensuring companies disclose

key information within these areas and communicate how they are thinking about and assessing climate-

related risks and opportunities as part of their resilience and risk assessment processes.

TCFD adherence requires disclosure of greenhouse gas (GHG) emissions as part of the Metrics and

Targets section. This creates a degree of overlap with SECR requirements; however TCFD’s focus is

understanding how Greenhouse Gas (“GHG”) emissions may expose a company to future changes in

law, regulation or market dynamics which penalise higher polluting industry sectors, sub sectors or

companies.

Climate Change Risks and Opportunities

The following table includes our TCFD disclosures and where necessary explanations why the Group

has not fully met them and the Board’s plans to implement these in future.

GOVERNANCE Management of climate-related risks and opportunities

Boards Oversight

The Company does not currently have a climate risk committee although

climate risk is discussed at board meetings when relevant. A climate risk

committee will be implemented when deemed necessary, most likely once

a development project reaches feasibility stage, prior to financing and

implementation.

Since the Company’s strategy and business plan are to capitalise on

climate change by providing the materials the world needs to reduce its

impact, the Board understand that climate change opportunity is embedded

in the Company’s activity and that it needs to ensure that the raw materials

it intends to produce or will produce are delivered in the least damaging

way.

Assessment/

management

GSC will engage environmental consultants as part of regulatory

compliance for its operations: environmental audits and EIAs. It will also

engage a consultant to do a Fatal Flaw Analysis as part of any Scoping

Study.

GREAT SOUTHERN COPPER PLC

STRATEGIC REPORT (CONTINUED)

YEAR ENDED 31 MARCH 2024

STRATEGY Climate change affects integrated into early stage projects

Risks/opportunities

Climate related issues identified and discussed include:

Opportunities (mostly medium-long term)

• Producing copper to enable the world’s energy transition.

• Supplying products that can satisfy Responsible Sourcing

• Net zero objective (ambitious).

Risks

• Continued use of climate damaging technology in the natural

resources sector

• Non-Climate Change environmental and social impact that also

need to be mitigated.

RISK MANAGEMENT Group identifies, assesses and manages climate-related risks

Risk identification

The Company has identified, through discussions at Board level and

between the Executive team, key climate change related risks as follows:

• Competition for minerals projects

• Competition for equity capital

• Climate change physical impacts on jurisdiction and regions where

metals and minerals deposits are located.

• Potential for higher input costs, notably for fossil fuels and building

materials such as cement and steel that will reduce the value of

each project and the ability to finance construction

As the Company matures, it will consider setting targets to manage climate-

related risks and opportunities. These targets will be informed by the

culmination of ongoing climate-related scenario analyses and the setting of

a baseline carbon footprint once the business is fully operating.

METRICS/TARGETS

Disclose the metrics and targets used to assess and manage relevant

climate-related risks and opportunities

GHG metrics

The Company’s GHG emissions are currently low due to the nature of

operations. During the period under review the main GHG emitters were:

• International/domestic travel to and from site in Chile and

international travel for fund raising.

• Employee / contractor accommodation and associated energy

use.

• Exploration drilling and associated logistics.

• Home office usage by the Board in the UK and Australia

As noted in the Company’s SECR disclosure above, energy usage was

below 40,000 kWh and as a result Scope 1, 2 and 3 GHG data was not

GREAT SOUTHERN COPPER PLC

STRATEGIC REPORT (CONTINUED)

YEAR ENDED 31 MARCH 2024

collected. During 2024/25 the Group expects GHG emissions and energy

usage to remain low.

At this stage of the Company’s development there are no other relevant

targets or metrics, but the Company will continue to monitor this as the

business matures.

At the UK Company level, the Directors ensure that climate change risks and opportunities are embedded

in strategy. The Directors are of the view that the global demand for copper will continue to rise, driven

by the world’s transition to renewable energies and hence its own strategy to explore for and develop

these assets is aligned to TCFD opportunities and will result in share price appreciation.

Governance will be strengthened to ensure reporting on these climate related risks is meaningful and

transparent. Risk Management will include a process for identifying, assessing, and managing climate-

related risks and the Group will establish various metrics and targets to assess climate-related risks and

opportunities.

The Board considers different climate related scenarios as part of its business model reviews and

strategy sessions at Board level. At this stage of development, the Board do not consider there to be a

diverse change to the resilience of the business model at various levels of climate change.

Gender/Minority Ethnic Background of the Company

As at 31 March 2024 (the ‘Reference Date’) and based on how our employees identify themselves, the

gender and minority ethnic background of the Company’s board of directors and executive management

fails to meet the Financial Conduct Authority’s three targets for a company with a standard listing of equity

shares (regulation LR 13.3.33 R) which are:

• at least 40% of the individuals on its board of directors are women;

• at least one of the senior positions on its board of directors is held by a woman; and

• at least one individual on its board of directors is from a minority ethnic background.

The Company’s small board and executive management team currently comprises 100% white British

and Australian males and this situation remains unchanged at the date of this annual report.

# of Board

members

Percentage

of the Board

Executive

management

Percentage

executive

mana

ement

Men 5 100 2 100

Women - - - -

Notwithstanding the current situation, the Company is committed to fostering a diverse and inclusive work

environment whilst seeking to attract and retain the most qualified professionals regardless of gender or

ethnicity. The Company’s failure to meet the FCA targets reflects the early-stage development of the

Company (with just five employees) and the reality of a mining industry that is still very male dominated.

Nevertheless, our aspiration is to create a more gender and minority ethnicity balanced company in time

as we expand and build out our team.

Gender Pay Gap

As a result of the Company’s early stage of development, there are just five employees and none of them

are women (as described above). As a consequence, there is no basis for a gender pay gap analysis.

GREAT SOUTHERN COPPER PLC

STRATEGIC REPORT (CONTINUED)

YEAR ENDED 31 MARCH 2024

Key Performance Indicators (KPIs)

Given that the Company is at an early stage in its development, has no turnover and is dependent on

raising funds in the equity market to finance its activities, many of the quantifiable KPIs that companies

in other industries may present are not applicable here. Nevertheless, management is monitoring key

performance indicators or the process associated with:

• Company expenses and the cash balance to ensure that the Company can meet its expected

obligations as they fall due and to inform the required timing of the next fund raising;

• The progress of the exploration programme and the status and commitments with regards to

the exploration concessions; and

• Ensuring that Pacific Trends Resources Chile Spa (“PTRC”) meets its environmental and social

obligations in Chile.

• Ensuring that the Group maintains as low an impact on climate change as possible

The Directors are of the opinion that, for an early-stage mineral exploration company, the audited

accounts, the Chairman’s Statement and the Operations Report are the best means of assessing the

performance of the Company during the year.

Section 172(1) Statement

The Directors believe they have acted in the way that they consider, in good faith, would be most likely

to promote the success of the Company for the benefit of its members as a whole (as required by s172

of the Companies Act 2006), and in doing so have had regard (amongst other matters) to the following

factors:

• The likely consequences of any decision in the long term;

• The interests of the Company's employees;

• The need to foster the Company's business relationships with suppliers, customers and others;

• The impact of the Company's operations on the community and the environment;

• The desirability of the Company maintaining a reputation for high standards of business conduct;

and

• The need to act fairly as between members of the Company.

The application of the s172 requirements can be demonstrated by the actions and key decisions of the

Company during the year including:

• In pursuit of the Company’s strategy of creating value for shareholders via the exploration for

copper mineral deposits in Chile, the Company has, in the past year:

• carried out exploration and identified copper mineralisation at its two projects in Chile;

• confirmed the discovery of a large intrusive-related copper-gold mineralised system at

Especuralita;

• identified mineralised vein breccia targets for follow up work; and

• added a third project to the Company – being the Monti lithium project

• In order to pursue the strategy outlined, the Directors are aware of the importance of developing

the skills of its employees and establishing a good team work ethic where team members work

well together and communicate openly with each other. In pursuit of this objective, the CEO

visited the projects in Chile on a number of occasions during the year, working with team

members and, together with the Company’s experienced exploration manager, imparting the

benefit of their expertise to more junior team members.

• In the past year, the Company has acted fairly, in good faith and without problems with all of the

service providers.

• At this stage of the Company’s development, it has no customers.

GREAT SOUTHERN COPPER PLC

STRATEGIC REPORT (CONTINUED)

YEAR ENDED 31 MARCH 2024

Section 172(1) Statement (continued)

• The Directors are very aware of the need to carefully manage environmental and social matters

in Chile in order to ensure that it has a social licence to explore and, if successful, to ultimately

mine at the project sites. The Company has prepared a ‘Sustainability’ statement which appears

on the Company’s website and has commenced work on an Environmental, Social and Corporate

Governance (“ESG”) policy to govern how members of the team manage these matters and to

ensure that the Company operates to the highest standards.

• The Company’s values of business conduct are described in the Corporate Governance

Statement. Additionally, the culture of the Company is illustrated by the following statements

that appear on the Company’s website:

• We will be guided by our company values to act with integrity at all times both within the

workplace and within the community more broadly; and

• We will communicate transparently and honestly with all stakeholders

• Retaining investor support is important to the Company and, therefore, the Directors intend to

keep shareholders fully and equally informed. In the past year, the Company has kept

shareholders informed of progress via news releases, web podcasts, the Company’s website,

attending a mining conference and through direct contact. Moving forward, management will

continue to attend mining conferences where they will be available to meet shareholders in

person.

Approved by the Board on 25 July 2024

Stuart Greene

Chairman of Audit Committee (Non-Executive Director)

GREAT SOUTHERN COPPER PLC

CORPORATE GOVERNANCE

YEAR ENDED 31 MARCH 2024

The Directors of the Company are listed on page 7. The Chief Executive Officer (“CEO”) is responsible

for the day-to-day management of the Company, subject to the directions of the Board. The CEO is

supported by the Non-Executive Directors, a Chief Financial Officer who is responsible for the financial

control, management, accounting and reporting functions of the Company, and an in-country manager

to assist with local operations.

The Company recognises the importance of and is committed to high standards of corporate governance.

As a Company listed on the Standard Segment of the Official List of the Financial Conduct Authority, the

Company is not required to comply with the provisions of the UK Corporate Governance Code. However,

in the interests of observing best practice on corporate governance, the Company observes the

requirements of The Quoted Companies Alliance Corporate Governance Code (the "QCA Code"), insofar

as is appropriate having regard to the size and nature of the Company and the composition of the Board.

A copy of the QCA Code is available at qca.com.

Since adopting the QCA Code at the time of listing, the Company has departed from it in the following

respects and for the following reasons:

• The CEO is currently only contracted to spend 50% of his time serving the requirements of the

Company and the CFO is only contracted for 3 days a week. This is partly due to other current

obligations of each individual but also assists with maintaining lower remuneration costs for

the Company during its initial stages. As the Company matures it expects to engage its CEO

and CFO on a full-time basis.

• Given its early-stage nature, the Company does not currently have a senior independent

director. For a similar reason the Company does not have a nomination committee, rather this

function will be carried out by the Remuneration Committee. The Board has not carried out a

board performance evaluation during the year.

• The Board does not consider an internal audit function to be applicable due to the Company's

limited number of transactions.

• A diversity policy has not yet been developed but biographies of directors and senior

management and their relevant experience are set out on pages 7 & 8.

The sections below set out how the Group otherwise applies the principles of the QCA Code.

The Board notes the QCA has updated its Corporate Governance Code (2023 Code) and that the new

Code will apply to financial years beginning on or after 1 April 2024. The Board has begun the process

of migrating to the new Code and will be using a 12 month transition period to make the necessary

adjustments to how the governance of the Company operates. In addition, the Boad notes the new

Listing Rules applicable from 29 July 2024 and will assess the implications upon the business.

Strategy and business model which promotes long-term value for shareholders

The Company is involved with mineral exploration for copper-gold resources in Chile. Its primary

objective is to generate long term value for shareholders, which it is seeking initially to achieve through

the exploration and evaluation of two early-stage copper-gold projects, and potentially thereafter

through further acquisitions and investments. Using the Company's expertise, it is carrying out a two-

year evaluation work programme to target principally large tonnage, low to medium grade porphyry

style Cu-Au deposits, and subsequently exercise its options to acquire them.

Early stage mineral exploration is by its nature speculative and the Company aims to reduce the risks

inherent in the business by maintaining a close relationships with its Chilean partners who own the

GREAT SOUTHERN COPPER PLC

CORPORATE GOVERNANCE (CONTINUED)

YEAR ENDED 31 MARCH 2024

mineral rights over which the Company has an option, keeping abreast of current Chilean political

developments, which might affect the mining industry, regularly reviewing the good standing of the

concessions under option to the Company, and the careful application of funds to the most promising

exploration targets. Further risk factors which the Company regularly takes into account are set out in

the Strategic Report.

Shareholder communications

The Company is committed to engaging with its shareholders to ensure that its strategy, operational

results and financial performance are clearly understood. At this early stage, the Board is focusing on

in-country operations, but expects to engage more actively with shareholders once it has its first drilling

results, including via roadshows, attending investor conferences and through its regular reporting on

the London Stock Exchange. The Company's announcements are set out on its website, which also

hosts its prospectus that was produced for the listing, and its most recent corporate presentation,

webcasts and phone numbers to contact the Company and its professional advisers.

Whilst the Chief Executive Officer has ad-hoc meetings with larger retail shareholders in Australia to

seek their views and concerns, the Company's forthcoming annual general meeting will be the main

forum for dialogue with shareholders and the Board, and notice of the meeting will be sent to

shareholders at least 21 days beforehand. All UK based Directors are expected to attend the AGM and

to be available to answer questions raised by shareholders. For each vote, the number of proxy votes

received for, against and withheld will be announced at the meeting. The results of the AGM will also

be announced via the London Stock Exchange. Investors can always contact the Company via its

website (www.gscplc.com). The Non-Executive Chairman and Non-Executive Directors are also

available to meet with major shareholders in the UK if required to discuss issues of importance to them

and are considered to be independent from the executive management of the Company.

Wider stakeholder and social responsibilities and their implications for long term success

Aside from its shareholders, the Group's most important stakeholder groups are its employees, local

partners and those local communities that may be impacted by its exploration activities, although given

the size, stage and location of the Company's projects there is minimal impact currently. The Board

regularly reviews stakeholder issues and their potential impact on the Group's business to enable the

Board to understand and consider these issues in decision-making. The Board understands that

maintaining the support of all its stakeholders will be paramount for the long-term success of the

Company.

The Board is also mindful of its obligations to the local environment and to operate according to

appropriate health and safety regulations in respect of both local workers and the local community.

Although at this stage of exploration there is little requirement for engagement, the Board is mindful of

the future need to do so as exploration and development activity on projects increase, such as holding

public forums, site visits and workshops. Social projects in the local communities will be dependent on

local need and also the stage of exploration/level of project investment.

If and when the Company's projects move forward towards potential mining activities, it may seek to

bring in partners, who can credibly make the investments to move towards mine production. In doing

so the Board will have regard for their ability and desire to move projects forward, their industry

reputation and their commitment to treating the local communities fairly and protecting the environment.

GREAT SOUTHERN COPPER PLC

CORPORATE GOVERNANCE (CONTINUED)

YEAR ENDED 31 MARCH 2024

Risk management and mitigation

Audit, risk and internal control

Financial controls

The Company has a framework of internal financial controls, the effectiveness of which is regularly

reviewed by the Directors and the Audit Committee. The key financial controls are:

• The Board is responsible for reviewing and approving overall Company strategy, approving

new exploration projects and budgets, and for determining the financial structure of the

Company including treasury and tax matters. The Company maintains a schedule of matters

reserved for the Board;

• The Audit Committee assists the Board in discharging its duties regarding the financial

statements, accounting policies and the maintenance of proper internal business, and

operational and financial controls;

• The Remuneration Committee assists the Board in reviewing the scale and structure of the

executive directors’ and senior employees’ remuneration and the terms of their service or

employment contracts, including share option schemes and other bonus arrangements;

• Regular budgeting and forecasting are performed to monitor the Company’s ongoing cash

requirements and management information is provided to the Board on a monthly basis;

• Due to the international nature of the business the Group holds bank accounts in the UK,

Australia and Chile and moves money between them to mitigate against foreign exchange rate

movement exposures. Foreign currency balances are maintained to meet expected

requirements; and

• The Company manages exploration risk of failure to find economic deposits by low cost early-

stage exploration techniques, with detailed analysis of results. Moving projects to more

expensive exploration techniques requires a rigorous review of results data prior to deciding

whether to proceed with further work.

Non-financial controls

The Board has ultimate responsibility for the Company’s system of internal control and for reviewing its

effectiveness. However, any such system of internal controls can provide only reasonable, but not

absolute, assurance against material misstatement or loss. The Board considers that the internal

controls in place are appropriate for the size, complexity and risk profile of the Company. The principal

elements of the Company’s internal control system include:

• Close management of the day-to-day activities of the Company by the Chief Executive Officer

and Chief Financial Officer;

• An organisational structure with defined levels of responsibility, which promotes

entrepreneurial decision-making and rapid implementation while minimising risks; and

• Central control over key areas such as capital expenditure authorisation and banking facilities.

GREAT SOUTHERN COPPER PLC

CORPORATE GOVERNANCE (CONTINUED)

YEAR ENDED 31 MARCH 2024

Non-financial controls (continued)

The Company will review at least annually the effectiveness of its system of internal control, whilst also

having regard to its size and the resources available. As part of the Company’s plans, it continues to

review a number of non-financial controls covering areas such as regulatory compliance, business

integrity, health and safety, and corporate social responsibility. All employees have been made aware

of their obligations under anti-bribery and corruption legislation.

Maintaining the Board as a well-functioning, balanced team led by the Chairman

The Board comprises the Non-Executive Chairman, two Executive Directors (CEO And CFO) and two

Non-Executive Directors. All Non-executive Directors are considered to be independent and have

extensive experience in the mining industry. The Chairman, Charles Bond, is a qualified lawyer, who

advises a large variety of mining companies, and the other two Non-Executives are a seasoned mining

financier (Stuart Greene) and a stockbroker for mining companies (Nick Briers) respectively. All

committed a substantial amount of their time to launching the Company on the London Stock Exchange,

have conducted a site visit and continue to contribute a significant amount of time to the Company's

operations.

The Board is satisfied that it has a suitable balance between independence on the one hand, and

knowledge of the Company and industry on the other, to enable it to discharge its duties and

responsibilities effectively. All Directors are encouraged to use their independent judgement and to

challenge all matters, whether strategic or operational.

The Chief Executive Officer is contracted to spend at least half of his time working for the Company,

and the Chief Financial Officer is contracted to provide three days a week of his time. In reality both

have contributed more time during and since the Company's listing, and as operations increase it is

expected that these positions will move to become full time, or alternative staffing arrangements will be

put in place. The Board aims to meet at least quarterly. The agenda is set by the Chairman in

consultation with the Chief Executive, with supporting information provided in a timely manner. The

standard agenda points include:

• Review of previous meeting minutes and actions arising there from;

• A report by the CEO covering all operational matters;

• A report from the CFO covering all financial matters;

• Any other business.

Directors’ conflict of interest

The Company has effective procedures in place to monitor and deal with conflicts of interest. The Board

is aware of the other commitments and interests of its Directors, and changes to these commitments

and interests are reported to and, where appropriate, agreed with the rest of the Board. The Directors

have access to the Company’s brokers and its lawyers, and in particular used these advisers fully for

recent fundraises. The advisers do not typically provide materials for Board meetings except if

requested to do so for the purposes of discussing upcoming regulations and other issues. Directors and

Officers Liability insurance is maintained for all Directors.

GREAT SOUTHERN COPPER PLC

CORPORATE GOVERNANCE (CONTINUED)

YEAR ENDED 31 MARCH 2024

Directors’ conflict of interest (continued)

Board meetings

The table below sets out the attendance statistics for all current Board members to 31 March 2024:

Meetings Attended Meetings Held

Samuel Garrett 13 14

Martin Page 11 11

Stuart Greene 14 14

Nicholas Briers 14 14

Charles Bond 14 14

Directors’ experience, skills and capabilities

The Board is satisfied that, between the Directors, it has an effective and appropriate balance of skills

and experience, particularly so in the area of copper and gold exploration. The Chairman is a practising

lawyer specialising in the mining industry, whilst the other two non-executive directors maintain ongoing

skills at broking for the mining industry and financing mining projects respectively. The Board is

conscious of its current lack of gender balance and will in due course be seeking to address this with

an appropriate appointment insofar as one is available. All Directors receive regular and timely

information on the Company’s operational and financial performance. Relevant information is circulated

to the Directors in advance of meetings. Service contracts are available for inspection at the Company’s

registered office and at the Annual General Meeting (“AGM”). Where members of the Board are also

members of a professional body they maintain their membership and appropriate continued

professional development as appropriate to their roles, responsibilities and experience. Monitoring of

ongoing training needs are carried out by the remuneration committee.

New Directors will also be selected having regards to the Company’s needs for a balance of operational,

industry, legal and financial skills. Experience of the Mining industry and in particular the exploration

sector is important but not critical, as is experience of running a public company.

All Directors will retire by rotation at regular intervals in accordance with the Company’s Articles of

Association.

Appointment, removal and re-election of Directors

Policy for new appointments

Base salary levels will take into account market data for the relevant role, internal relativities, the

individual’s experience and their current base salary. Where an individual is recruited at below market

norms, they may be realigned over time (e.g., two to three years), subject to performance in the role.

Benefits will generally be in accordance with the approved policy.

Policy on payment for loss of office

Payment for loss of office would be determined by the Remuneration Committee, taking into account

contractual obligations.

Independent advice

All Directors are able to take independent professional advice in the furtherance of their duties, if

necessary, at the Company’s expense from lawyers, brokers and other professional advisers that they

deem relevant. In addition, the Directors have direct access to the advice and services of the Company

Secretary and Chief Financial Officer.

GREAT SOUTHERN COPPER PLC

CORPORATE GOVERNANCE (CONTINUED)

YEAR ENDED 31 MARCH 2024

Board performance based on clear and relevant objectives

Over the next 12 months the Board intends to continue to review the performance of the team as a unit

to ensure that the members of the Board collectively function in an efficient and productive manner.

Over the same period the Non-Executive Directors will continue to seek to set clear and relevant

objectives for the Chief Executive Officer and Chief Financial Officer, and for the Board as a whole.

A culture that is based on ethical values and behaviours

The Board aims to lead by example and do what is in the best interests of the Company. As it operates

in remote and under-developed areas, it ensures its employees understand their obligations towards

the environment and in respect of anti-bribery and corruption. The Company maintains governance

structures and committees that allow good decision-making by the Board. The Board will maintain this

focus by site visits to the projects in Chile.

Board programme

The Board aims to meet at least quarterly and as and when required. The Board sets direction for the

Company through a formal schedule of matters reserved for its decision. The Board receives

appropriate and timely information prior to each meeting; a formal agenda is produced for each meeting

and Board papers are distributed by the Chairman and Chief Executive several days before meetings

take place. Any Director may challenge Company proposals and decisions are taken democratically

after discussion. Any Director who feels that any concern remains unresolved after discussion may ask

for that concern to be noted in the minutes of the meeting, which are then circulated to all Directors.

Any specific actions arising from such meetings are agreed by the Board and are then followed up by

the Company’s management.

Roles of the Board, Chairman and Chief Executive Officer

The Board is responsible for the long-term success of the Company. There is a formal schedule of

matters reserved to the Board. It is responsible for overall Company strategy; approval of exploration

projects; approval of the annual and interim results; annual budgets; dividend policy; and Board

structure. It monitors the exposure to key business risks. There is a clear division of responsibility at

the head of the Company. The Chairman is responsible for running the business of the Board and for

ensuring appropriate strategic focus and direction.

The Chief Executive Officer is responsible for proposing the strategic focus to the Board, implementing

it once it has been approved and overseeing the management of the Company. Together with the Chief

Financial Officer and the Company’s in-country manager, he is responsible for establishing and

enforcing systems and controls, and liaison with external advisors, such as the Company’s technical

adviser, Dough Kirwin. He has responsibility for communicating with shareholders, assisted by other

members of the Board where relevant.

Board committees and Policies

Audit Committee

The Audit Committee has primary responsibility for monitoring the quality of internal controls and

ensuring that the financial performance of the Group is properly measured and reported on. It receives

and reviews reports from the Group’s management and auditors relating to the interim and annual

accounts and the accounting and internal control systems in use throughout the Group. The Audit

Committee is responsible for keeping under review the scope and results of the audit, its cost

effectiveness and the independence and objectivity of the auditors. It also has responsibility for public

reporting and internal controls, and arrangements whereby employees may raise matters of concern in

GREAT SOUTHERN COPPER PLC

CORPORATE GOVERNANCE (CONTINUED)

YEAR ENDED 31 MARCH 2024

Audit Committee (continued)

confidence. The Audit Committee, which met three times during the year, is chaired by Stuart Greene

and its other member is Nick Briers.

Remuneration Committee

The Remuneration Committee reviews the performance of the CEO and CFO and makes

recommendations to the Board on matters relating to their remuneration and terms of employment.

Under its terms of reference, it is required to meet at least once a year and is responsible for ensuring

that the executive Directors, officers and other key employees are fairly rewarded (which extends to all

aspects of remuneration) for their individual contribution to the overall performance of the Group. The

Remuneration Committee is chaired by Charles Bond and its other member is Nick Briers.

Share dealing policy

The Company has adopted a share dealing policy, which sets out the requirements and procedures for

dealings in any of its listed securities. The share dealing policy applies widely to all Directors of the

Company and its subsidiaries, certain employees and persons closely associated with them. The policy

complies with the Market Abuse Regulations, which came into effect on 10 July 2016 and was onshored

into UK law on 31 December 2020.

Dividend policy

The Board’s current intention is to retain any earnings for use in the Company’s operations and the

Directors do not anticipate declaring any dividends in the foreseeable future. The Company will only

pay dividends at such times (if any) and in such amounts (if any) as the Board determines appropriate

and to the extent that to do so is in accordance with all applicable laws.

Anti-bribery and corruption policy

The Company has adopted an Anti-Corruption and Bribery Policy. It applies to the Directors and all

employees of the Company. The Board believes that the Group, through its internal controls, has

appropriate procedures in place to reduce the risk of bribery and that all employees, agents, consultants

and associated persons are made fully aware of the Group’s policies and procedures with respect to

ethical behaviour, business conduct and transparency.

Health and safety

The safety of the Group’s employees and contractors is critical to its operations. The Company aims to

prevent all incidents and accidents at its operations and in a reasonably practicable manner and strives

to minimise hazards inherent in the working environment. The Company is committed to providing a

working environment that is conducive to good health and safety; complying with applicable legal

requirements; ensuring that appropriate resources, training and personal protective equipment are

provided to improve occupational health and safety; ensuring that employees and contractors have the

relevant skills to perform work-related tasks in a safe manner and that they are aware of their individual

health and safety obligations and rights.

Environmental policy

The Company undertakes its exploration activities in a manner that strives to minimise or eliminate

negative impacts and maximise positive impacts of an environmental or socio-economic nature. The

Company is committed to responsible stewardship of natural resources and the ecological environment.

GREAT SOUTHERN COPPER PLC

CORPORATE GOVERNANCE (CONTINUED)

YEAR ENDED 31 MARCH 2024

Environmental policy (continued)

The Company aims to continually improve its environmental performance and the prevention of

pollution, reduce or control the creation, emission or discharge of any type of pollutant or waste and to

reduce adverse environmental impacts; the integration of environmental management into

management practices throughout the company; rehabilitate disturbed land as much as possible and

protect environmental biodiversity; protect cultural heritage resources; comply with applicable legal

requirements; and train and educate employees in environmental responsibilities.

Social policy

The Company aims to minimise potential negative social impacts while promoting opportunities and

benefits for host communities.

The Company is committed to continually improving community development and community

investment programmes through monitoring, measuring and managing our social and economic

impacts; placing local people at the centre of development by helping to build their capacity to control

their own development. The Company has adopted a Social Media Policy to minimise the risks to the

Group’s business through use of social media.

The Company continues to communicate how it Is governed and is performing, by maintaining a

dialogue with shareholders and other relevant stakeholders.

The Company communicates with shareholders through the Annual Report and Accounts, full-year and

half-year results’ announcements, the Annual General Meeting (AGM) and one-to-one meetings with

large existing or potential new shareholders. The Company posts LSE announcements covering

operational and corporate matters. A range of corporate information (including all Company

announcements and a corporate presentation) is also available to shareholders, investors and the

public on the Company’s corporate website, www.gscplc.com.

Signed on behalf of the Board

Charles Bond

Chairman

25 July 2024

INDEPENDENT AUDITOR’S REPORT TO THE MEMBERS OF GREAT SOUTHERN

COPPER PLC

INDEPENDENT AUDITOR’S REPORT TO THE MEMBERS OF GREAT SOUTHERN COPPER PLC

Opinion

We have audited the financial statements of Great Southern Copper Plc (the ‘parent company’) and its

subsidiary (the ‘group’) for the year ended 31 March 2024 which comprise the Consolidated Statement

of Comprehensive Income, the Consolidated and Parent Company Statements of Financial Position, the

Consolidated and Parent Company Statements of Changes in Equity, the Consolidated and Parent

Company Statements of Cash Flows and notes to the financial statements, including significant

accounting policies. The financial reporting framework that has been applied in their preparation is

applicable law and UK-adopted international accounting standards and as regards the parent company

financial statements, as applied in accordance with the provisions of the Companies Act 2006.

In our opinion:

• the group financial statements give a true and fair view of the state of the group’s and of the

parent company’s affairs as at 31 March 2024 and of the group’s loss for the year then ended;

• the group financial statements have been properly prepared in accordance with UK-adopted

international accounting standards;

• the parent company financial statements have been properly prepared in accordance with UK-

adopted international accounting standards and as applied in accordance with the provisions of

the Companies Act 2006; and

• the financial statements have been prepared in accordance with the requirements of the

Companies Act 2006.

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and

applicable law. Our responsibilities under those standards are further described in the Auditor’s

responsibilities for the audit of the financial statements section of our report. We are independent of the

company in accordance with the ethical requirements that are relevant to our audit of the financial

statements in the UK, including the FRC’s Ethical Standard as applied to listed public interest entities,

and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe

that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Material uncertainty related to going concern

We draw attention to note 2 in the financial statements, which indicates that further funding will be

required within 12 months following the date of approval of the financial statements in order to meet

working capital requirements and fund further exploration on the group’s projects. As stated in note 2,

these events or conditions indicate that a material uncertainty exists that may cast significant doubt on

the group’s and parent company’s ability to continue as a going concern. Our opinion is not modified in

respect of this matter.

In auditing the financial statements, we have concluded that the director’s use of the going concern basis

of accounting in the preparation of the financial statements is appropriate. Our evaluation of the directors’

assessment of the group’s and parent company’s ability to continue to adopt the going concern basis of

accounting included:

• Reviewing the group’s budgets and cashflow projections which cover the period to 31 July 2025,

being 12 months from when the financial statements are authorised for issue;

• Challenging management’s judgements and estimates and assessing against post year end

performance by agreeing to supporting documentation, such as post year end bank statements

and post year end Regulatory News Service announcements;

• Substantiating the key assumptions and inputs to the projections and stress testing plausible

outcomes taking into consideration the financing in place. We also assessed whether the

cashflow projections were in line in with our understanding of the entity and management’s

strategic plans; and

INDEPENDENT AUDITOR’S REPORT TO THE MEMBERS OF GREAT SOUTHERN

COPPER PLC (CONTINUED)

• Assessing the mathematical accuracy of the cashflow projections and reviewing the historical

accuracy of management’s projections against prior year actuals.

Our responsibilities and the responsibilities of the directors with respect to going concern are described

in the relevant sections of this report.

Our application of materiality

The scope of our audit was influenced by our application of materiality. The quantitative and qualitative

thresholds for materiality determine the scope of our audit and the nature, timing and extent of our audit

procedures. The materiality applied to the group financial statements was £179,000 (2023: £134,000),

based on 5% (2023: 5%) of the net assets. Net assets were selected as the benchmark because the

intangible exploration assets are the primary assets of the business, and their development is the

principal activity of the group. The materiality applied to the parent company financial statements was

£142,000 (2023: £76,000) based on 5% (2023: 5%) of the net assets and capped below group materiality.

Net assets was selected as the benchmark for the parent company materiality as the significant balance

in the parent company financial statements is the investment in the subsidiary which owns and operates

the underlying exploration assets.

We use performance materiality to reduce to an appropriately low level the probability that the aggregate

of uncorrected and undetected misstatements exceeds overall materiality. Specifically, we use

performance materiality in determining the scope of our audit and the nature and extent of our testing of

account balances, classes of transactions and disclosures. The performance materiality for the group

was £125,000 (2023: £93,800) and £99,000 (2023: £53,200) for the parent company, being 70% (2023:

70%) of materiality for the financial statements as a whole.

In determining performance materiality, we considered the following factors:

• Our cumulative knowledge of the group and its environment, including industry specific trends;

• The level of judgement required in respect of the key accounting estimates; and

• The level of misstatements in prior periods.

Component materiality for the parent company’s only subsidiary was set lower than our overall group

materiality at £126,000 (2023: £107,000), based on 5% (2023: 5%) of net assets, with a performance

materiality of £88,000 (2023: £74,900). Net assets were selected as the benchmark because intangible

exploration assets are the primary assets of the business.

We agreed with the audit committee that we would report all audit differences identified during the course

of our audit in excess of £8,900 (2023: £6,700) at group level, and £7,100 (2023: £3,800) for the parent

company, as well as differences below that threshold that, in our view, warranted reporting on qualitative

grounds.

Our approach to the audit

Our audit is risk based and is designed to focus our efforts on the areas at greatest risk of material

misstatement, aspects subject to significant management judgement as well as greatest complexity, risk

and size.

As part of designing our audit, we determined materiality, as above, and assessed the risk of material

misstatement in the financial statements. In particular, we looked at areas involving significant accounting

estimates and judgement by the directors and considered future events that are inherently uncertain.

These areas of estimate and judgement included:

• The recoverability of intangible assets and investments in subsidiary undertakings, as the future

exploration results are inherently uncertain; and

• The valuation of share based payments which were assessed as an area which involved

significant judgements by management.

INDEPENDENT AUDITOR’S REPORT TO THE MEMBERS OF GREAT SOUTHERN

COPPER PLC (CONTINUED)

We also addressed the risk of management override of internal controls, including among other matters

consideration of whether there was evidence of bias that represented a risk of material misstatement due

to fraud.

The accounting records of the parent company and the subsidiary undertaking are centrally located in

London and audited by us. Local auditors were engaged to report to us on specified procedures in relation

to the subsidiary, namely the compliance with Chilean laws and regulations and for local banking

confirmations.

Key audit matters

Key audit matters are those matters that, in our professional judgment, were of most significance in our

audit of the financial statements of the current period and include the most significant assessed risks of

material misstatement (whether or not due to fraud) we identified, including those which had the greatest

effect on: the overall audit strategy, the allocation of resources in the audit; and directing the efforts of

the engagement team. These matters were addressed in the context of our audit of the financial

statements as a whole, and in forming our opinion thereon, and we do not provide a separate opinion on

these matters. In addition to the matter described in the Material uncertainty related to going

concern section we have determined the matters described below to be the key audit matters to be

communicated in our report.

Audit Matte

How our scope addressed this matte

Carrying value of the intangible exploration

assets

(

Note 11

)

The group has intangible assets in relation to

capitalised exploration costs in respect of the San

Lorenzo, Especularita and Monti Lithium projects

in Chile held within its subsidiary company,

Pacific Trends Resources Pty Limited (“PTRC”).

The exploration projects are at an early stage of

development and the assets are subject to

annual impairment reviews. The carrying value

and its recoverability is dependent on the future

commerciality of the underlying projects which is

inherently uncertain.

There is also a risk that the asset is overstated as

a result of additions being incorrectly capitalised

through not meeting the IFRS 6 Exploration for

and Evaluation of Mineral Resources recognition

criteria and that indicators of impairment exist as

at 31 March 2024, which have not been

considered by management in their assessment

of the carrying value of the assets.

Due to the size of the balance within the financial

statements and the level of management

estimation and judgement, the risk is considered

to be a key audit matter.

Our work in this area included:

• Validating ownership of project licenses to

documentation and obtaining

representation from local legal counsel.

• Reviewing documentation to ensure

option payments and minimum spend

commitments under the licenses have

been met;

• Testing the exploration costs capitalised

and agreeing these to supporting

documentation to ensure they are

capitalised in accordance with IFRS 6;

• Reviewing the concession listings in

comparison to prior years to assess for

any disposals in the year and appropriate

accounting of these;

• Critically assessing management’s

impairment review, and challenging their

review with consideration from both

internal and external indicators of

impairment under IFRS 6.

• Assessing the individual projects in

conjunction with the impairment indicators

under IFRS 6; and

• Ensuring appropriate disclosures in the

financial statements

INDEPENDENT AUDITOR’S REPORT TO THE MEMBERS OF GREAT SOUTHERN

COPPER PLC (CONTINUED)

Based on the audit procedures performed,

management’s assessment and judgements in

relation to the carrying value of the intangible

assets appears reasonable.

Other information

The other information comprises the information included in the annual report, other than the financial

statements and our auditor’s report thereon. The directors are responsible for the other information

contained within the annual report. Our opinion on the group and parent company financial statements

does not cover the other information and, except to the extent otherwise explicitly stated in our report,

we do not express any form of assurance conclusion thereon. Our responsibility is to read the other

information and, in doing so, consider whether the other information is materially inconsistent with the

financial statements or our knowledge obtained in the course of the audit, or otherwise appears to be

materially misstated. If we identify such material inconsistencies or apparent material misstatements, we

are required to determine whether this gives rise to a material misstatement in the financial statements

themselves. If, based on the work we have performed, we conclude that there is a material misstatement

of this other information, we are required to report that fact.

We have nothing to report in this regard.

Opinions on other matters prescribed by the Companies Act 2006

In our opinion the part of the directors’ remuneration report to be audited has been properly prepared in

accordance with the Companies Act 2006.

In our opinion, based on the work undertaken in the course of the audit:

• the information given in the strategic report and the directors’ report for the financial year for

which the financial statements are prepared is consistent with the financial statements; and

• the strategic report and the directors’ report have been prepared in accordance with applicable

legal requirements.

Matters on which we are required to report by exception

In the light of the knowledge and understanding of the group and parent company and their environment

obtained in the course of the audit, we have not identified material misstatements in the strategic report

or the

directors’ report.

We have nothing to report in respect of the following matters in relation to which the Companies Act 2006

requires us to report to you if, in our opinion:

• adequate accounting records have not been kept, or returns adequate for our audit have not

been received from branches not visited by us; or

• the parent company financial statements and the part of the directors’ remuneration report to be

audited are not in agreement with the accounting records and returns; or

• certain disclosures of directors’ remuneration specified by law are not made; or

• we have not received all the information and explanations we require for our audit.

Responsibilities of directors

As explained more fully in the statement of directors’ responsibilities, the directors are responsible for the

preparation of the group and parent company financial statements and for being satisfied that they give

a true and fair view, and for such internal control as the directors determine is necessary to enable the

preparation of financial statements that are free from material misstatement, whether due to fraud or

error.

In preparing the group and parent company financial statements, the directors are responsible for

assessing the group and parent company’s ability to continue as a going concern, disclosing, as

INDEPENDENT AUDITOR’S REPORT TO THE MEMBERS OF GREAT SOUTHERN

COPPER PLC (CONTINUED)

applicable, matters related to going concern and using the going concern basis of accounting unless the

directors either intend to liquidate the group or parent company or to cease operations, or have no realistic

alternative but to do so.

Auditor’s responsibilities for the audit of the financial statements

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole

are free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that

includes our opinion. Reasonable assurance is a high level of assurance but is not a guarantee that an

audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists.

Misstatements can arise from fraud or error and are considered material if, individually or in the

aggregate, they could reasonably be expected to influence the economic decisions of users taken on the

basis of these financial statements.

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design

procedures in line with our responsibilities, outlined above, to detect material misstatements in respect

of irregularities, including fraud. The extent to which our procedures are capable of detecting

irregularities, including fraud is detailed below:

• We obtained an understanding of the group and parent company and the sector in which they

operate to identify laws and regulations that could reasonably be expected to have a direct effect

on the financial statements. We obtained our understanding in this regard through discussions

with management, and our knowledge and experience of the mineral exploration sector.

• We determined the principal laws and regulations relevant to the group and parent company in

this regard to be those arising from the Companies Act 2006, the Listing Rules, the operating

terms set out in the exploration licences, as well as local laws and regulations in Chile.

• We designed our audit procedures to ensure the audit team considered whether there were any

indications of non-compliance by the group and parent company with those laws and regulations.

These procedures included, but were not limited to:

o conducting enquiries of management regarding potential instances of non-compliance;

o reviewing Regulatory News Service announcements;

o reviewing legal and professional fees ledger accounts;

o using local experts in Chile to report on the good standing of the subsidiary; and

o reviewing board minutes and other correspondence from management.

• We also identified the risks of material misstatement of the financial statements due to fraud. We

considered, in addition to the non-rebuttable presumption of a risk of fraud arising from

management override of controls, whether key management judgements could include

management bias. The potential for bias was identified in relation to the carrying value of the

exploration assets and we addressed this as outlined in the Key audit matters section. The

potential for management bias also existed in the carrying value of the parent company’s

investment in subsidiary and valuation of the share-based payments issued in the year. Audit

procedures were performed in this regard to assess management’s impairment assessment on

the subsidiary and recalculate the charge with reference to the underlying agreements,

respectively.

• As in all of our audits, we addressed the risk of fraud arising from management override of

controls by performing audit procedures which included, but were not limited to: the testing of

journals and reviewing accounting estimates for evidence of bias.

• Compliance with laws and regulations at the subsidiary level was ensured through enquiry of

management, communication with local auditor and review of local auditor’s work on the

specified procedures and correspondence for any instances of non-compliance.

Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities,

including those leading to a material misstatement in the financial statements or non-compliance with

INDEPENDENT AUDITOR’S REPORT TO THE MEMBERS OF GREAT SOUTHERN

COPPER PLC (CONTINUED)

regulation. This risk increases the more that compliance with a law or regulation is removed from the

events and transactions reflected in the financial statements, as we will be less likely to become aware

of instances of non-compliance. The risk is also greater regarding irregularities occurring due to fraud

rather than error, as fraud involves intentional concealment, forgery, collusion, omission or

misrepresentation.

A further description of our responsibilities for the audit of the financial statements is located on the

Financial Reporting Council’s website at: www.frc.org.uk/auditorsresponsibilities.

This description forms

part of our auditor’s report.

Other matters which we are required to address

We were appointed by the audit committee on 9 September 2021 to audit the financial statements for the

period ended 31 March 2021 and subsequent financial periods. Our total uninterrupted period of

engagement is four years, covering the periods ending 31 March 2021 to 31 March 2024.

The non-audit services prohibited by the FRC’s Ethical Standard were not provided to the group or the

parent company and we remain independent of the group and parent company in conducting our audit.

Our audit opinion is consistent with the additional report to the audit committee.

Use of our report

This report is made solely to the company’s members, as a body, in accordance with Chapter 3 of Part

16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the

company’s members those matters we are required to state to them in an auditor’s report and for no

other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to

anyone, other than the company and the company's members as a body, for our audit work, for this

report, or for the opinions we have formed.

Adam Humphreys (Senior Statutory Auditor) 15 Westferry Circus

For and on behalf of PKF Littlejohn LLP Canary Wharf

Statutory Auditor London E14 4HD

25 July 2024

GREAT SOUTHERN COPPER PLC

CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME

YEAR ENDED 31 MARCH 2024

The notes from pages 49 to 74 form part of these financial statements.

Note

Year ended

31 March

2024

£’000

Year ended

31 March

2023

£’000

Continuing operations

Administrative expenses 6 (1,759) (1,299)

Operating loss

(1,759) (1,299)

Loss before taxation

Taxation

(1,759)

(1,299)

Loss for the year attributable to the owners of the

Company

(1,759)

(1,299)

Other comprehensive income

Items that may be reclassified subsequently to

profit or loss:

Exchange rate differences on translation of foreign

operations

Total comprehensive loss attributable to the owners

of the Company

(1,758)

(1,270)

Pence Pence

Earnings per share – basic and diluted 10 (0.638) (0.610)

GREAT SOUTHERN COPPER PLC

CONSOLIDATED STATEMENT OF FINANCIAL POSITION

AS AT 31 MARCH 2024

The notes from pages 49 to 74 form part of these financial statements.

Note

2024

£’000

2023

£’000

Assets

Non-current assets

Intangible assets 11 3,202 2,479

Property, plant and equipment 12 1 2

Total non-current assets 3,203 2,481

Current assets

Trade and other receivables 14 93 190

Cash and cash equivalents 15 503 654

Total current assets 596 844

Total assets 3,799 3,325

Liabilities

Current Liabilities

Trade and other payables 16 (204) (126)

Total liabilities

(204) (126)

Net current assets 392 718

Net assets 3,595 3,199

Equity

Share capital 18 3,435 2,133

Share premium

Share based payment reserve

3,816

342

3,176

236

Foreign currency translation reserve 20 6 5

Retained earnings 20 (4,004) (2,351)

Total equity attributable to the owners of

the Company

3,595

3,199

These financial statements were approved by the Board of Directors and authorised for issue on 25

July 2024 and signed on its behalf by:

M Page

Chief Financial Officer

Company registered number: 12497319

GREAT SOUTHERN COPPER PLC

COMPANY STATEMENT OF FINANCIAL POSITION

AS AT 31 MARCH 2024

The notes from pages 49 to 74 form part of these financial statements.

Note

2024

£’000

2023

£’000

Assets

Non-current assets

Investments

5,269

3,992

Total non-current assets 3,992

Current assets

Trade and other receivables 14 72 133

Cash and cash equivalents 15 492 651

Total current assets 564 784

Total assets 5,833 4,776

Liabilities

Current liabilities

Trade and other payables 16 (138) (104)

Total liabilities

(138) (104)

Net current assets 426 680

Net assets 5,695 4,672

Equity

Share capital 18 3,435 2,133

Share premium

Share based payments reserve

3,816

342

3,176

236

Retained earnings 20 (1,898) (873)

Total equity 5,695 4,672

The Company has taken advantage of the exemption under section 408 of the Companies Act 2006 by

choosing not to present its individual Statement of Comprehensive Income and related notes that form

part of these approved financial statements. The Company’s loss for the period from operations was

£1,131k (2023: £479k)

These financial statements were approved by the Board of Directors and authorised for issue on 25

July 2024 and signed on its behalf by:

M Page

Chief Financial Officer

Company registered number: 12497319

GREAT SOUTHERN COPPER PLC

CONSOLIDATED STATEMENT OF CHANGES IN EQUITY

YEAR ENDED 31 MARCH 2024

capital

£’000

premium

£’000

based

payments

£’000

Foreign

currency

translation

reserve

£’000

Retained

earnings

£’000

Total Equity

£’000

As at 1 April 2022 2,131 3,176 140 (24) (1,072) 4,351

Loss for the year - - - - (1,299) (1,299)

Exchange rate differences on

translation of foreign operations

- - - 29 - 29

Total comprehensive income for the

year

- - - 29 (1,299) (1,270)

Transactions with shareholders:

Issue of share capital, net of issue

costs

2 - (22)

Share based payments - - 118 - - 118

As at 31 March 2023 2,133 3,176 236 5 (2,351) 3,199

Loss for the year - - - - (1,759) (1,759)

Exchange rate differences on

translation of foreign operations

- - - 1 - 1

Total comprehensive income for the

year

- - - 1 (1,759) (1,758)

Transactions with shareholders:

Issue of share capital, net of issue

costs (note 18)

1,302 640 - - - 1,942

Share based payments - - 212 - - 212

Cancellation of share options - - (106) - 106 -

As at 31 March 2024 3,435 3,816 342 6 (4,004) 3,595

GREAT SOUTHERN COPPER PLC

COMPANY STATEMENT OF CHANGES IN EQUITY

YEAR ENDED 31 MARCH 2024

capital

£’000

premium

£’000

Share Based

payments

£’000

Retained

earnings

£’000

Total

equity

£’000

As at 1 April 2022 2,131 3,176 140 (414) 5,033

Loss for the year - - - (479) (479)

Total comprehensive income for the year - - - (479) (479)

Transactions with shareholders:

Issue of shares, net of issue costs 2 - (22) 20 -

Share based payments - - 118 - 118

As at 31 March 2023 2,133 3,176 236 (873) 4,672

Loss for the year - - - (1,131) (1,131)

Total comprehensive income for the year - - - (1,131) (1,131)

Transactions with shareholders:

Issue of shares, net of issue costs (note 18) 1,302 640 - - 1,942

Share based payments - - 212 - 212

Cancellation of share options - - (106) 106 -

As at 31 March 2024 3,435 3,816 342 (1,898) 5,695

GREAT SOUTHERN COPPER PLC

CONSOLIDATED STATEMENT OF CASH FLOWS

YEAR ENDED 31 MARCH 2024

Significant non-cash transactions from investing and financing activities are as follows:

Year ended

31 March

2024

£’000

Year ended

31 March

2023

£’000

Cash flows from operating activities

Loss for the year (1,759) (1,299)

Adjustments for:

Share based payments 212 89

Depreciation 1 1

Remuneration settled through issue of shares 68 29

Net foreign exchange losses 57 -

Working capital adjustments

Decrease in trade and other receivables 73 148

Increase/(decrease) in trade and other

payables

78 (179)

Net cash outflow from operations (1,270) (1,211)

Cash flows from investing activities

Purchase of intangible assets (759) (924)

Purchase of plant, property and equipment - (2)

Net cash used in investing activities (759) (926)

Cash flows from financing activities

Issue of ordinary share capital, net of issue

costs

1,376 -

Proceeds from convertible loan note 501 -

Net cash generated from financing

activities

1,877 -

Net decrease in cash and cash equivalents (152) (2,137)

Exchange gains on cash and cash equivalents 1 39

Cash and cash equivalents brought forward 654 2,752

Cash and cash equivalents carried forward 503 654

2024

£’000

2023

£’000

Share option charge

Remuneration settled through issue of shares

212

Shares issued to redeem convertible loan note 501 -

Issuance of shares in lieu of option payment 20 -

GREAT SOUTHERN COPPER PLC

COMPANY STATEMENT OF CASH FLOWS

YEAR ENDED 31 MARCH 2024

Significant non-cash transactions from investing and financing activities are as follows:

Year ended

31 March

2024

£’000

Year ended

31 March

2023

£’000

Net cash flows from operating activities

Loss for the year (1,131) (479)

Adjustments for:

Share based payments 212 89

Remuneration settled through issue of shares 68 29

Working capital adjustments

Increase in long term receivables (1,257) (1,350)

Decrease in trade and other receivables 37 129

Increase/(decrease) in trade and other payables 35 (92)

Net cash used in operations (2,036) (1,674)

Cash flows from financing activities

Issue of ordinary share capital, net of issue costs 1,376 -

Proceeds from convertible loan note 501 -

Net cash generated from financing activities 1,877 -

Net decrease in cash and cash equivalents (159) (1,674)

Cash and cash equivalents brought forward 651 2,325

Cash and cash equivalents carried forward 492 651

2024

£’000

2023

£’000

Share option charge

Remuneration settled through issue of shares

212

Shares issued to redeem convertible loan note 501 -

Issuance of shares in lieu of option payment 20 -

GREAT SOUTHERN COPPER PLC

NOTES TO THE FINANCIAL STATEMENTS

YEAR ENDED 31 MARCH 2024

1. General Information

Great Southern Copper plc ('the Company') and its subsidiaries (together 'the Group') principal activity is

currently focused upon the exploration for copper and gold in Chile. Further detail is covered in the

Chairman’s Statement and also in the Operations Report.

The Company is a public limited Company, which is listed on the London Stock Exchange and incorporated

and domiciled in England and Wales. The address of its registered office is Salisbury House, London Wall,

London, United Kingdom, EC2M 5PS.

2. Basis of Preparation

The consolidated Group financial statements and Company financial statements have been prepared in

accordance with United Kingdom (“UK”) adopted International Accounting Standards (‘IFRS’) and those

parts of the Companies Act 2006 applicable to companies reporting under IFRS. The consolidated Group

financial statements and Company financial statements are presented in Sterling and rounded to the

nearest thousand pound unless otherwise indicated. The financial statements are prepared on the historical

cost basis, except for certain financial instruments and share-based payments that have been measured

at fair value. The financial statements are presented in £ Sterling and rounded to the nearest £’000 unless

otherwise stated.

Going Concern Basis

In common with many other mineral exploration companies, the Group has raised equity and debt finance

for its exploration activities. The Board recognises that further finance will need to be raised as and when

required to progress its exploration projects and add shareholder value. The Board also acknowledges that

previous success in raising funds does not necessarily provide any guarantee that the Group will be able

to do so in the future.

As at 31 March 2024, the Group’s cash at bank amounted to £503k; at the date of signing this report, the

balance of cash and committed funds amounted to £1,005k.

The Board has reviewed the Group’s cash flow forecast up to 31 July 2025 and are aware that additional

funds will need to be sourced in order to continue to advance its exploration activities and continue as a

going concern for a period of at least 12 months from the approval of these financial statements. The

Directors are confident that they will be able to secure the necessary funding in order to enable the Group

to continue to advance its projects, however he requirement for further uncommitted fundings casts

significant doubt over the Group’s ability to continue as a going concern. The auditors have acknowledged

this going concern uncertainty in their unqualified audit report

The Board continues to closely monitor its cash position, allocate funds in line with its detailed budget and

maintain a strict control over non-project spend. The Directors remain confident in the Company’s ability

to raise additional funds as required, from existing and/or new investors and therefore consider it

appropriate to continue to adopt the going concern basis of accounting in preparing these financial

statements.

GREAT SOUTHERN COPPER PLC

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

YEAR ENDED 31 MARCH 2024

3. Accounting Policies

The principal accounting policies adopted are set out below.

Basis of Consolidation

The consolidated financial statements incorporate the assets, liabilities, income and expenses of the

Company and entity controlled by the Company (its subsidiary) made up to the Company’s accounting

reference date. Control is achieved when the Company has the power over the investee, is exposed or has

rights to variable return from its involvement with the investee and has the ability to use its power to affect

its returns. The Company reassesses whether or not it controls an investee if facts and circumstances

indicate that there are changes to one or more of the three elements of control listed above.

Consolidation of a subsidiary begins when the Company obtains control over the subsidiary and ceases

when the Company loses control of the subsidiary. Specifically, the results of subsidiaries acquired or

disposed of during the period are included in the consolidated income statement from the date that the

Company gains control until the date when the Company ceases to control the subsidiary.

Where necessary, adjustments are made to the financial statements of a subsidiary to bring the accounting

policies used into line with the Group’s accounting policies. All intra group assets and liabilities, equity,

income, expenses and cash flows, relating to transactions between the members of the Group, are

eliminated on consolidation.

The results of overseas subsidiaries are translated at the monthly average rates of exchange during the

period and their statements of financial position at the rates ruling at the reporting date. Exchange

differences arising on translation of the opening net assets and on foreign currency borrowings or deferred

consideration, to the extent that they hedge the Group's investment in such subsidiaries, are reported in

the statement of comprehensive income. The financial statements of the subsidiary are drawn up to 31

December, with management information utilised to take this out to 31 March in line with the reporting

period of the Group.

Currencies

Presentational Currency

Items included in the financial statements are measured using the currency of the primary economic

environment in which the ultimate parent undertaking operates which is Sterling (£). The functional currency

of the only subsidiary of the Group is the United States Dollar ($).

Transactions and Balances

Foreign currency transactions are translated into the functional currency using the exchange rates

prevailing at the dates of the transactions or at an average rate for a period if the rates do not fluctuate

significantly. Foreign exchange gains and losses, resulting from the settlement of such transactions and

from the translation at year end exchange rates of monetary assets and liabilities denominated in foreign

currencies, are recognised in the income statement. Non-monetary items that are measured in terms of

historical cost in a foreign currency are not retranslated.

Revenue Recognition

Revenue is recognised in the individual company financial statements in respect of management fees

charged to the subsidiary company. Revenue is recognised in respect of the period that the service has

been completed.

GREAT SOUTHERN COPPER PLC

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

YEAR ENDED 31 MARCH 2024

3. Accounting Policies (continued)

Intangible Assets – Exploration and Evaluation Expenditure

Mineral exploration and evaluation expenditure relates to costs incurred in the exploration and evaluation

of potential mineral resources and includes exploration and mineral licences, researching and analysing

historical exploration data, exploratory drilling, trenching, sampling and the costs of pre-feasibility studies.

Exploration and evaluation expenditure for each area of interest, other than that acquired from another

entity, is charged to profit or loss as incurred except when the expenditure is expected to be recouped from

future exploitation or sale of the area of interest and it is planned to continue with active and significant

operations in relation to the area, or at the reporting period end, the activity has not reached a stage which

permits a reasonable assessment of the existence of commercially recoverable reserves, in which case the

expenditure is capitalised. Purchased exploration and evaluation assets are recognised at their fair value

at acquisition. As the capitalised exploration and evaluation expenditure asset is not available for use, it is

not depreciated.

Exploration and evaluation assets have an indefinite useful life and are assessed for impairment when facts

and circumstances may suggest an impairment and circumstances suggest that the carrying amount of an

asset may exceed its recoverable amount. The assessment is carried out by allocating exploration and

evaluation assets to cash generating units, which are based on specific projects or geographical areas.

IFRS 6 permits impairments of exploration and evaluation expenditure to be reversed should the conditions

which led to the impairment improve. The Group continually monitors the position of the projects capitalised

and impaired.

Whenever the exploration for and evaluation of mineral resources in cash generating units does not lead

to the discovery of commercially viable quantities of mineral resources and the Group has decided to

discontinue such activities of that unit, the associated expenditures are written off to profit or loss.

Income Tax

The tax expense or credit represents the sum of the tax currently payable or recoverable and the movement

in deferred tax assets and liabilities.

Current Income Tax

Current tax is based upon taxable income for the year and any adjustment to tax from previous years.

Taxable income differs from net income in the income statement because it excludes items of income or

expense that are taxable or deductible in other years or that are never taxable or deductible. The calculation

uses the latest tax rates for the year that have been enacted or substantively enacted by the reporting date.

Deferred Tax

Deferred tax is calculated at the latest tax rates that have been substantively enacted by the reporting date

that are expected to apply when settled. It is charged or credited to profit or loss, except when it relates to

items credited or charged directly to equity, in which case it is also dealt with in equity.

Deferred tax is the tax expected to be payable or recoverable on differences between the carrying amounts

of assets and liabilities in the financial statements and the corresponding tax bases used in the computation

of taxable income and is accounted for using the liability method. Deferred tax liabilities and assets are not

discounted.

GREAT SOUTHERN COPPER PLC

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

YEAR ENDED 31 MARCH 2024

3. Accounting Policies (continued)

Deferred Tax

Deferred tax liabilities are generally recognised for all taxable temporary differences and deferred tax assets

are recognised to the extent that it is probable that taxable income will be available against which the asset

can be utilised. Such assets are reduced to the extent that it is no longer probable that the asset can be

utilised.

Deferred tax assets and liabilities are offset when there is a right to offset current tax assets and liabilities

and when the deferred tax assets and liabilities relate to taxes levied by the same taxation authority, on

either the same taxable entity or different taxable entities, where there is an intention to settle the balances

on a net basis.

Payroll Expense and Related Contributions

The Group provides a range of benefits to employees, including annual bonus arrangements, paid holiday

arrangements and defined contribution pension plans.

Short-term benefits, including holiday pay and other similar non-monetary benefits, are recognised as an

expense in the period in which the service is received.

Pension Costs

The Group operates a defined contribution pension scheme for employees. The annual contributions

payable are charged to profit or loss.

Share-Based Compensation

The Group issues share-based payments to certain employees and Directors. Equity-settled share-based

payments are measured at fair value at the date of grant and expensed on a straight-line basis over the

vesting period, along with a corresponding increase in equity. The Group has measured share based

payments using the Black Scholes and Monte Carlo option (note 19) models.

At each reporting date, the Group revises its estimate of the number of equity instruments expected to vest

as a result of the effect of non-market based vesting conditions. The impact of any revision is recognised

in profit or loss, with a corresponding adjustment to equity reserves.

The fair values of share options are determined using the Monte Carlo and Black Scholes models, taking

into consideration the best estimate of the expected life of the option and the estimated number of shares

that will eventually vest.

Financial Instruments

Financial assets and financial liabilities are recognised in the Statement of Financial Position when the

Group becomes party to the contractual provisions of the instrument. Financial assets are

derecognised when the contractual rights to the cash flows from the financial asset expire or when the

contractual rights to those assets are transferred. Financial liabilities are derecognised when the obligation

specified in the contract is discharged, cancelled or expired.

GREAT SOUTHERN COPPER PLC

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

YEAR ENDED 31 MARCH 2024

3. Accounting Policies (continued)

Impairment of Financial Instruments

The Group recognises an allowance for expected credit losses (‘ECLs’) for all debt instruments not held at

fair value through profit or loss. ECLs are based on the difference between the contractual cash flows due

in accordance with the contract and all the cash flows that the Group expects to receive, discounted at an

approximation of the original effective interest rate (‘EIR’). The expected cash flows will include cash flows

from the sale of collateral held or other credit enhancements that are integral to the contractual terms

IFRS 9.5.5.1 ECLs are recognised in two stages. For credit exposures for which there has not been a

significant increase in credit risk since initial recognition, ECLs are provided for credit losses that result from

default events that are possible within the next 12-months (a 12-month ECL). For those credit exposures

for which there has been a significant increase in credit risk since initial recognition, a loss allowance is

required for credit losses expected over the remaining life of the exposure, irrespective of the timing of the

default (a lifetime ECL).

The Group considers a financial asset in default when contractual payments are 90 days past due.

However, in certain cases, the Group may also consider a financial asset to be in default when internal or

external information indicates that the Group is unlikely to receive the outstanding contractual amounts in

full before taking into account any credit enhancements held by the Group. A financial asset is written off

when there is no reasonable expectation of recovering the contractual cash flows and usually occurs when

past due for more than one year and not subject to enforcement activity.

At each reporting date, the Group assesses whether financial assets carried at amortised cost are credit

impaired. A financial asset is credit-impaired when one or more events that have a detrimental impact on

the estimated future cash flows of the financial asset have occurred.

Property Plant and Equipment

Property, plant and equipment are stated at cost net of accumulated depreciation and accumulated

impairment losses. Cost comprises purchase cost together with any incidental costs of acquisition.

Depreciation is provided to write down the cost less the estimated residual value of all tangible fixed assets

by equal instalments over their estimated useful economic lives on a straight-line basis. The following rates

are applied.

Computer equipment 3 years straight line

The gain or loss arising on the disposal of an asset is determined as the difference between the sale

proceeds and the carrying value of the asset and is credited or charged to profit or loss.

Trade and Other Receivables

Trade and other receivables, and amounts owed by Group undertakings, are classified at amortised cost

and recognised initially at fair value and subsequently measured at amortised cost using the effective

interest method (except for short-term receivables where interest is immaterial) less provisions for

impairment. These assets are held to collect contractual cash flows being solely the payments of the

principal amount and interest. Provisions for impairment of trade receivables are recognised for expected

lifetime credit losses using the simplified approach. Impairment reviews of other receivables, including

those due from related parties, use the general approach whereby twelve month expected losses are

provided for and lifetime credit losses are only recognised where there has been a significant increase in

credit risk, by monitoring the creditworthiness of the other party.

GREAT SOUTHERN COPPER PLC

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

YEAR ENDED 31 MARCH 2024

3. Accounting Policies (continued)

Cash and Cash Equivalents

Cash and cash equivalents are held at amortised cost and consist of cash on hand, demand deposits and

other short-term highly liquid investments that are readily convertible to a known amount of cash and are

subject to an insignificant risk of changes in value. Further details are given in note 15.

Trade and Other Payables

Trade and other payables are initially measured at their fair value and are subsequently measured at their

amortised cost using the effective interest rate method. This method allocates interest expense over the

relevant period by applying the ‘effective interest rate’ to the carrying amount of the liability.

Classification As Debt Or Equity

Debt and equity instruments issued by the Group are classified as either financial liabilities or as equity in

accordance with the substance of the contractual arrangements and the definitions of a financial liability

and an equity instrument.

Equity Instruments

An equity instrument is any contract that evidences a residual interest in the assets of an entity after

deducting all of its liabilities. Equity instruments issued by the Group are recognised at the proceeds

received, net of direct issue costs.

Convertible loan notes

The convertible loan note issued during the year is considered to be a compound financial instrument

comprising a financial liability (loan) and an embedded derivative (equity). At the date of issue both

elements were included in the balance sheet as liabilities and held at fair value as the equity element was

considered immaterial. The fair value of the loan element was estimated using the prevailing market interest

rate for similar non convertible debt. Subsequently the loan element was accounted for at amortised cost.

On conversion of the loan note to equity, the difference between the nominal value of the equity issued and

the contracted conversion price was credited to the share premium account

Accounting Developments

There have been no new standards, amendments and interpretations adopted in the preparation of the

financial statements.The Group does not expect any standards issued by the IASB, but not yet effective,

to have a material impact on the Group.

GREAT SOUTHERN COPPER PLC

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

YEAR ENDED 31 MARCH 2024

4. Critical Accounting Estimates and Judgements

The preparation of these financial statements requires management to make judgements and estimates

that affect the reported amounts of assets and liabilities at each reporting date and the reported results.

Actual results could differ from these estimates. Information about such judgements and estimations is

contained in individual accounting policies.

Accounting Estimates and Judgements

The key accounting estimates and judgements used in the preparation of the financial statements are as

follows:

Recognition and Valuation of Exploration Assets

Exploration and evaluation assets include mineral rights and exploration and evaluation costs, including

geophysical, topographical, geological and similar types of costs. Exploration and evaluation costs are

capitalised if management concludes that future economic benefits are likely to be realised and determines

that economically viable extraction operation can be established as a result of exploration activities and

internal assessment of mineral resources. According to 'IFRS 6 Exploration for and evaluation of mineral

resources', the potential indicators of impairment include: management's plans to discontinue the

exploration activities, lack of further substantial exploration expenditure planned, expiry of exploration

licences in the period or in the nearest future, or existence of other data indicating the expenditure

capitalised is not recoverable. At the end of each reporting period, management assesses whether such

indicators exist for the exploration and evaluation assets capitalised, which requires significant judgement.

As of 31 March 2024 total exploration and evaluation costs capitalised amounted to £3,202,080 (2023:

£2,478,738). Refer to note 11 for more information.

Carrying Value of Investments in Subsidiary Undertakings

Management must consider the carrying value of investments in subsidiary companies based on the

ongoing performance of said company. The nature of the judgement will impact whether or not there is

deemed to be any indicators of impairment, which could materially impact the carrying value of those

investments. The key driver of the assessment is linked to the impairment review carried out in respect of

exploration assets. The impairment review is carried out under IAS 36 – Impairment of assets and assesses

impairment indicators such as market value declines, negative changes in the industry and obsolescence

of the underlying assets. At 31 March 2024, the carrying value amounted to £5,269,417 (2023: £3,992,000).

Refer to note 13 for more information.

Share Based Payments

The Group measures the cost of equity-settled transactions with employees by reference to the fair value

of the equity instruments at the date at which they are granted. The fair value is determined by using either

the Monte Carlo or Black-Scholes model taking into account the terms and conditions upon which the

instruments were granted, see note 19 for further details.

5. Operating Segments

Operating segments are reported in a manner that is consistent with the internal reporting provided to the

chief operating decision maker. The chief operating decision maker has been identified as the Board. The

Board is responsible for allocating resources and assessing performance of operating segments.

The Group has two reportable segments, exploration and corporate, which are the Group’s strategic

divisions. For each of the strategic divisions the Board reviews internal management reports on a regular

basis.

GREAT SOUTHERN COPPER PLC

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

YEAR ENDED 31 MARCH 2024

5. Operating Segments (continued)

The Group’s reportable segments are:

Exploration: the exploration segment is presented as an aggregate of all Chile licences held. Expenditure

on exploration activities for each licence is used to measure agreed upon expenditure targets for each

licence to ensure the licence clauses are met.

Corporate: the corporate segment includes the holding company costs in respect of managing the Group.

Segment result:

	2024
	£’000
		2023
		£’000
Exploration - Chile
Corporate - UK
	(628)
	(1,131)
		(820)
		(478)
Loss before tax	(1,759)	(1,299)

Taxation	-	-
Loss after tax	(1,759)	(1,299)

Segment assets and liabilities:

Non current assets	2024
	£’000
		2023
		£’000
Exploration - Chile
Corporate - UK
	3,202
	-
		2,481
		-
Total	3,202	2,481

Total assets


	2024
	£’000

		2023
		£’000
Exploration - Chile
Corporate - UK
	3,234
	565
		2,541
		784
Total	3,799	3,325

Total liabilities	2024
	£’000
		2023
		£’000
Exploration - Chile
Corporate - UK
	(64)
	(140)
		(21)
		(105)
Total	(204)	(126)

GREAT SOUTHERN COPPER PLC

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

YEAR ENDED 31 MARCH 2024

6. Operating Expenses

	2024
	£
		2023
		£
Staff costs (including share based payments)	700	494
Foreign exchange loss/(gain)	68	(27)
Auditor’s remuneration	80	63
Travel expenses	90	46
Legal, professional & consultancy fees	250	231
Insurance	36	32
Subcontracted labour	252	202
Other administrative expenses	283	257
Total	1,759	1,299

As per the accounting policy disclosed in note 3 the Group has made the policy choice to only capitalise

specific identifiable exploration costs as an intangible asset. Related administration and contractor costs

(including staff and labour costs) are expensed as incurred.

7. Auditor’s Remuneration

	2024
	£’000
		2023
		£’000
Fees payable to the Company’s auditor for the audit of the parent
and consolidated annual accounts

	55

		60
Total audit fees	55	60

Audit-related assurance services	35	3
Total non-audit fees	35	3

8. Employee Numbers and Costs

The average monthly number of people employed was:

	Group		Company

	2024	2023	2024	2023

	Number	Number	Number	Number
Average number of employees:
Directors	5	4	5	4
Administrative staff	5	5	-	1
Total	10	9	5	5

GREAT SOUTHERN COPPER PLC

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

YEAR ENDED 31 MARCH 2024

8. Employee Numbers and Costs (continued)

The aggregate remuneration of all employees, including Directors, comprises:

	Group		Company

	2024
	£’000
		2023
		£’000
			2024
			£’000
				2023
				£’000
Wages and salaries	451	341	324	243
Social security costs	23	22	13	14
Other pension costs	14	13	14	13
Share based payments	212	118	219	118
Total	700	494	570	388

Details of Directors’ remuneration and pension entitlements are disclosed in the Remuneration Report on

page 16. Please refer to the Directors Remuneration report and related party note (note 21) for additional

disclosure relating to key management personnel.

The aggregate amount of gains made by Directors on the exercise of share options was £Nil (2023: £Nil).

9. Taxation

	2024
	£’000
		2023
		£’000
Current tax
Current period – UK corporation tax	-	-
Adjustments in respect of prior periods	-	-
Foreign current tax expense	-	-
Total current tax	-	-


Deferred tax
Origination and reversal of temporary differences	-	-
Adjustments in respect of prior periods	-	-
Impact of change in tax rate	-	-
Total deferred tax	-	-

Total tax charge	-	-

The standard rate of tax applied to reported profit on ordinary activities is 25% (2023: 19%). The Finance

Act 2021, which was substantively enacted on 24 May 2021, created a 25% main rate, 19% small profits

rate and a marginal rate which is effective from 1 April 2024.

GREAT SOUTHERN COPPER PLC

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

YEAR ENDED 31 MARCH 2024

9. Taxation (continued)

The tax charge for the year can be reconciled to the loss per the income statement as follows:

	2024
	£’000
		2023
		£’000
Loss before tax	(1,759)	(1,299)
Tax charge at 25.0 % (2023: 19.0%)	(440)	(247)

Expenses not deductible for tax	56	19
Remeasurement of deferred tax for changes in tax rates	-	(23)
Adjustments to losses	-	1
Difference in overseas tax rates	-	(49)
Movement in deferred tax not recognised	384	299
Total tax expense	-	-

Deferred tax in relation to carried forward losses is not recognised as there is deemed to be uncertainty

over when they will be recoverable.

The Company has tax losses of £1,344,970 (2023: £449,169) carried forward. The Group has tax losses

of £3,344,205 (2023: £1,809,391) carried forward.

10. Earnings Per Share

Basic earnings per share is calculated by dividing the net income for the period attributable to ordinary

equity holders by the weighted average number of ordinary shares outstanding during the period.

Diluted earnings per share amounts are calculated by dividing the profit attributable to owners of the parent

by the weighted average number of ordinary shares in issue during the financial year, adjusted for the

effects of potentially dilutive options. The dilutive effect is calculated on the full exercise of all potentially

dilutive ordinary share options granted by the Group, including performance-based options which the Group

considers to have been earned

The calculations of earnings per share are based upon the following:

	2024
	£’000
		2023
		£’000
Loss for the year	(1,759)	(1,299)
	Number	Number
Weighted average number of shares in issue	275,726,884	212,819,244

Weighted average number of shares – basic	275,726,884	212,819,244
Share options	154,531,593	160,030,082
Weighted average number of shares – diluted	430,258,477	372,849,326
	Pence	Pence
Earnings per share – basic	(0.638)	(0.610)
Earnings per share – diluted	(0.638)	(0.610)

In accordance with IAS 33, basic and diluted earnings per share are identical for the Group as the effect of

the exercise of the share options would be to decrease the loss per share.

GREAT SOUTHERN COPPER PLC

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

YEAR ENDED 31 MARCH 2024

11. Intangible Assets

Group



	Exploration
	assets
Cost

	£’000
As at 1 April 2022	1,489
Additions	924
Exchange difference	66
As at 1 April 2023	2,479
Additions	779
Exchange difference	(56)
As at 31 March 2024	3,202

Accumulated Amortisation
As at 1 April 2022	-
Charge for the period	-
As at 1 April 2023	-
Charge for the year	-
As at 31 March 2024	-
Carrying Amount:

As at 31 March 2024	3,202
As at 31 March 2023	2,479

Exploration projects in Chile are at an early stage of development and there are no JORC (Joint Ore

Reserves Committee) or non-JORC compliant resource estimates available to enable value in use

calculations to be prepared.

In accordance with IFRS 6, the Directors undertook an assessment of the following areas and

circumstances which could indicate the existence of impairment:

• The Group's right to explore in an area has expired, or will expire in the near future without renewal.

• No further exploration or evaluation is planned or budgeted for.

• A decision has been taken by the Board to discontinue exploration and evaluation in an area due to

the absence of a commercial level of reserves.

• Sufficient data exists to indicate that the book value may not be fully recovered from future

development and production.

Following the year end the Group dropped a number of non-core concession areas, none of which has

had any material expenditure from historic drilling or exploration campaigns.

Following their assessment, the Directors concluded that no impairment charge was necessary for the

year ended 31 March 2024 (2023: £Nil).

The Company had no intangible assets at 31 March 2024 or 31 March 2023.

GREAT SOUTHERN COPPER PLC

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

YEAR ENDED 31 MARCH 2024

12. Property, Plant and Equipment

Group



	Computer
	equipment
Cost

	£’000
As at 1 April 2022	-
Additions	2
Exchange difference	-
As at 1 April 2023	2
Additions	-
Exchange difference	-
As at 31 March 2024	2

Accumulated Depreciation
As at 1 April 2022	-
Charge for the period	-
As at 1 April 2023	-
Charge for the year	(1)
Exchange difference	-
As at 31 March 2024	(1)
Carrying Amount:

As at 31 March 2024	1
As at 31 March 2023	2

The Company had no plant, property and equipment at 31 March 2024 or 31 March 2023.

13. Investments

Company	Amounts owed
	by subsidiary
	£’000
		Shares in group
		undertakings
		£’000

			Total
			£’000
At 1 April 2023	2,770	1,222	3,992
Additions	1,277	-	1,277
Carrying value at end of the year	4,047	1,222	5,269

At 31 March 2024 the Company owned the following subsidiary:

	Registered
	Office
		Holding	Proportion of
			Voting Rights
			and Shares
			Held
				Nature of
				Business
Pacific Trends Resources Chile
SpA	1
		Ordinary
		Shares	100%
				Mining and
				exploration

GREAT SOUTHERN COPPER PLC

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

YEAR ENDED 31 MARCH 2024

13. Investments (continued)

1. Avenue El Bosque Central No. 92, 7th floor, Borough of Las Condes, Metropolitan Region

The credit risk of related parties is estimated based on the expected recoverable amount, taking into

account the creditworthiness of the other party. Any expected credit loss is calculated based on the general

approach as set out in IFRS 9. The Directors have determined that there has not been an increased credit

risk within the year and no impairment charge has been recognised against these balances.

Amounts owed by group undertakings are interest free and are due on demand. The recoverability of this

debt is dependent upon the liquidity of the subsidiary’s intangible assets. More details can be found in note

11.

14. Trade and Other Receivables

	Group



	2024
	£’000
		2023
		£’000
Other receivables	8	50
Prepayments	85	140
	93	190

	Company



	2024
	£’000
		2023
		£’000
Other receivables	8	34
Prepayments	64	99
	72	133

Other receivables consist of amounts owed in respect of shares subscribed for as part of the IPO, as well

as amounts due in respect of VAT.

GREAT SOUTHERN COPPER PLC

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

YEAR ENDED 31 MARCH 2024

15. Cash and Cash Equivalents

	Group



	2024
	£’000
		2023
		£’000
Cash at bank	503
		654

	Company



	2024
	£’000
		2023
		£’000
Cash at bank	492
		651

Banking facilities utilised by the Group are rated as follows:

• Bendigo and Adelaide Bank A- (Fitch)

• Revolut No rating available

• Banco Security BBB (Fitch)

Cash was held in the following currencies:

	Group



	2024
	£’000
		2023
		£’000
GBP Sterling	421	33
US Dollars	11	592
Australian Dollars	62	25
Chilean Peso	9	4
	503	654

16. Trade and Other Payables

	Group



	2024
	£’000
		2023
		£’000
Other payables	136	55
Accruals	68	71
	204	126

Other payables principally consist of amounts outstanding for trade purchases and ongoing costs. They are

non-interest bearing and are typically settled on 30 to 60 day terms.

The Directors consider that the carrying value of trade and other payables approximates their fair value.

Trade and other payables are denominated in Sterling. Great Southern Copper plc has financial risk

management policies in place to ensure that all payables are paid within the credit time frame and no

interest has been charged by any suppliers as a result of late payment of invoices during the period.

	Company



	2024
	£’000
		2023
		£’000
Other payables	70	34
Accruals	68	70
	138	104

GREAT SOUTHERN COPPER PLC

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

YEAR ENDED 31 MARCH 2024

17. Financial Instruments

Principal Financial Instruments

The principal financial instruments used by the Group, from which financial instrument risk arises, are as

follows:

Financial Assets

The Group held the following financial assets at amortised cost:

	Group
	2024
	£’000
		2023
		£’000
Cash and cash equivalents
Other receivables (excluding VAT and prepayment)
	503
	-
		654
		42
	503	696

Financial Liabilities

The Group held the following financial liabilities, classified as other financial liabilities at amortised cost:

		Group
	2024
	£’000
		2023
		£’000
Other payables and accruals	204	125
	204	125

Financial Assets

The Company held the following financial assets at amortised cost:

	Company
	2024
	£’000
		2023
		£’000
Cash and cash equivalents	492	651
Other receivables (excluding VAT and prepayments)	-	26
	492	677

Financial Liabilities

The Company held the following financial liabilities, classified as other financial liabilities at amortised

cost:

	Company
	2024
	£’000
		2023
		£’000
Other payables and accruals	138	104
	138	104

The Group’s activities expose it to certain financial risks: market risk, credit risk and liquidity risk. The overall

risk management programme focuses upon the unpredictability of financial markets and seeks to minimise

potential adverse effects on the Group’s financial performance. Risk management is carried out by the

Directors, who identify and evaluate financial risks in close cooperation with key members of staff.

GREAT SOUTHERN COPPER PLC

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

YEAR ENDED 31 MARCH 2024

17. Financial Instruments (continued)

Market Risk

Market risk is the risk of loss that may arise from changes in market factors such as interest rates and

foreign exchange rates.

Foreign Currency Risk Management

Currency risk is the risk that the financial results of the Group will be adversely affected by changes in

exchange rates to which the Group is exposed. No foreign currency sensitivities have been included as

they are deemed to be immaterial. The Group undertakes certain transactions denominated in foreign

currencies. The majority of the Company's expenditures are denominated in Pound Sterling, while its

exploration expenses are incurred in US Dollars, accordingly, the result for the year are adversely impacted

by depreciation of the Pound Sterling against the US$ while the Group's assets are positively impacted by

appreciation of the US$ against the Pound. Currency risk is monitored on a regular basis.

The following is a note of the assets and liabilities denominated at each period end in US Dollars:

	Group


	2024	2023



	$’000	$’000
Other receivables	10	19
Cash and cash equivalents	14	736
Other payables	(170)	(26)

	(146)	729

Liquidity Risk

Liquidity risk is the risk that the Group will not be able to meet its financial obligations as they fall due. This

risk relates to the Group’s prudent liquidity risk management and implies maintaining sufficient cash. The

Directors monitor rolling forecasts of the Group’s liquidity and cash and cash equivalents based upon

expected cash flow.

Credit Risk

Credit risk is the risk that a customer may default or not meet its obligations to the Group on a timely basis,

leading to financial losses to the Group. Credit risk arises from cash and deposits kept with banks, advances

paid and other receivables. The maximum exposure to credit risk at the reporting date to recognised

financial assets is the carrying amount, net of any provisions for impairment of those assets, as disclosed

in the statement of financial position and notes to the financial statements. The consolidated entity does

not hold any collateral.

Generally, other receivables are written off when there is no reasonable expectation of recovery. Indicators

of this include the failure of a debtor to engage in a repayment plan, no active enforcement activity and a

failure to make contractual payments for a period greater than 1 year.

Capital Risk Management

The Group's objectives when managing capital are to safeguard the Group's ability to continue as a going

concern, to enable the Group to continue its exploration and evaluation activities, and to maintain an optimal

capital structure to reduce the cost of capital. In order to maintain or adjust the capital structure, the Group

may adjust the issue of shares or sell assets to reduce debts.

GREAT SOUTHERN COPPER PLC

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

YEAR ENDED 31 MARCH 2024

17.Financial Instruments (continued)

At 31 March 2024 the Group had borrowings of £Nil (2023: £Nil) and defines capital based on the total

equity of the Group. The Group monitors its level of cash resources available against future planned

exploration and evaluation activities and may issue new shares in order to raise further funds from time to

time.

Fair Value Estimation

The carrying value of other receivables and payables are assumed to approximate to their fair values

because of the short-term nature of such assets and the effect of discounting liabilities is negligible.

The Group is exposed to the risks that arise from its financial instruments. The policies for managing those

risks and the methods to measure them are described earlier in this note.

Maturity Of Financial Assets And Liabilities

All of the Group’s non-derivative financial liabilities and its financial assets at the reporting date are either

payable or receivable within one year.

GREAT SOUTHERN COPPER PLC

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

YEAR ENDED 31 MARCH 2024

18. Share Capital

Number of Shares in Issue

	2024
Ordinary share capital	Number	£’000
Authorised, Issued and fully paid:
Ordinary shares of £0.01 as at 1 April 2023	212,336,411	2,133
Issued during the year	130,155,076	1,302
Ordinary shares of £0.01 as at 31 March 2024	343,491,487	3,435

Rights of Share Capital

Ordinary shares carry rights to dividends and other distributions from the Company, as well as carrying

voting rights.

On 19 May 2023, the Company issued 41,749,998 ordinary shares with a nominal value of £0.01 per share,

through a placing and subscription at a share price of £0.0120, raising £501,000 before costs.

On 14 December 2023, the Company issued 40,222,206 ordinary shares with a nominal value of £0.01 per

share, through a placing and subscription at a share price of £0.0225, raising £905,000 before costs.

On 14 December 2023, the Company issued 41,749,995 ordinary shares with a nominal value of £0.01 per

share, following the conversion of a convertible loan facility between the Company and its major

shareholder, at a share price of £0.0120 per share (see note 23).

On 14 December 2023, the Company issued 1,693,767 ordinary shares with a nominal value of £0.01 per

share, as part payment to the vendors of the San Lorenzo project, at a share price of £0.0120 per share.

On 14 December 2023, the Company issued 4,436,834 ordinary shares with a nominal value per share of

£0.01 as remuneration for work performed by key management personnel. The amount of remuneration in

relation to the share issue amounted to £60,656.

On 16 January 2024, the Company issued 302,276 ordinary shares with a nominal value per share of £0.01

as remuneration for work performed by key management personnel. The amount of remuneration in relation

to the share issue amounted to £7,817.

GREAT SOUTHERN COPPER PLC

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

YEAR ENDED 31 MARCH 2024

19. Share Based Payments

The Group had warrants and share option schemes in place during the year ended 31 March 2024 and

31 March 2023 as follows:

Warrants – outstanding at the beginning of the year

On 7 December 2021 the Company issued 148,327,850 warrants. The warrants were granted in the

following tranches:

1. 60,555,550 granted to Pacific Trends Resources Pty Ltd following the acquisition of Pacific

Trends Resources Chile SpA.

2. 1,407,300 Broker warrants grated as part of the IPO.

3. 70,365,000 placing warrants granted as part of the IPO.

4. 16,000,000 conversion warrants granted to Foreign Dimensions Pty Ltd, the largest individual

shareholder.

All the above warrants, with the exception of the Broker Warrants entitled the holder to subscribe for one

ordinary share at a price of £0.10 per share. The warrants became exercisable on admission and had a

maximum life of two years. All warrants, excepting the Broker Warrants time expired during the year. The

Broker warrants have an exercise price of £0.05 and a life of three years.

Warrants – granted during the year

On 19 May 2023, the Company issued 41,749,998 warrants (conditional on the publication of a prospectus

that was subsequently issued on 7 December 2023) in relation to a share placing and subscription.

On 19 May 2023, the Company issued 41,749,995 warrants (conditional on the publication of a prospectus

that was subsequently issued on 7 December 2023) in relation to a convertible loan note (see note 23).

The above warrants entitled the holder to subscribe for one ordinary share at a price of £0.024 per share.

The warrants became immediately exercisable and had a maximum life of three years.

On 14 December 2023, the Company issued 40,222,206 warrants in relation to a share placing and

subscription. The warrants entitled the holder to subscribe for one ordinary share at a price of £0.045 per

share. The warrants became immediately exercisable and had a maximum life of two years

	Number of
	warrants
		Weighted
		average
		exercise price


			Number of
			warrants
				Weighted
				average
				exercise price
	2024	2024	2023	2023
Outstanding at beginning of the year	148,327,850	£0.10	148,327,850	£0.10
Granted during the year	123,722,199	£0.03	1,407,300	£0.05
Cancelled during the year	-	-	(1,407,300)	£0.05
Lapsed during the year	(146,920,550)	£0.10	-	-
Outstanding at the end of the year	125,129,499	£0.03	148,327,850	£0.10
Exercisable at the end of the year	125,129,499	£0.03	148,327,850	£0.10

Broker warrants fall within the scope of IFRS 2 – Share Based Payments as there is an associated service

attached to their issue, whilst the other warrants referred to above do not confer any such service so have

not been subject to valuation. The weighted average contract length of the warrants is 2 years 8 months,

whilst the remaining average contractual life is 1 year 11 months (2023: 8 months).

GREAT SOUTHERN COPPER PLC

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

YEAR ENDED 31 MARCH 2024

19.Share Based Payments (continued)

Share options

On 19 September 2023 the Company issued 22,500,000 options to director and other personnel employed

within the group. These options all carry an exercise price of £0.01 and vest in 3 tranches, 1/3 on the first

anniversary of the grant, 1/3 on the second anniversary of the grant and 1/3 on the third anniversary of the

grant and expire on 19 September 2030.

On 7 December 2021, the Company issued 11,702,232 options to directors and key personnel employed

within the group as follows:

1.) 10,105,554 options were granted to directors and a key employee of Great Southern Copper Plc.

These options are split into 2 equal tranches, all carry an exercise price of £0.05 per share and

have the following vesting conditions:

a.) 50% vest in 3 tranches, 1/3 on admission, 1/3 on the first anniversary of admission and 1/3 on the

second anniversary of admission.

b.) 50% vest in 3 tranches, 1/3 when the share price reaches £0.10, 1/3 when the share price reaches

£0.15 and 1/3 when the share price reaches £0.20.

On 19 September 2023, in relation to the issuance of the new 2023 share options, 4,800,138 share options

(as described in 1b above) were cancelled. The share-based payment expense in relation to these options

was accelerated and fully recognised in the year totalling £79,123.

The remaining options must be exercised by the third anniversary of admission, being 20 December 2024.

2.) 1,596,678 options were granted to other key personnel, including employees of Pacific Trends

Resources Chile SpA. These options all carry an exercise price of £0.01 and vest in 3 tranches,

1/3 on admission, 1/3 on the first anniversary of admission and 1/3 on the second anniversary of

admission.

The above options (2) must be exercised by 7 December 2026.

	Number of
	options
		Weighted
		average
		exercise
		price


			Number of
			options
				Weighted
				average
				exercise
				price
	2024	2024	2023	2023
Outstanding at beginning of the year	11,702,232	£0.04	11,702,232	£0.04
Exercised during the year	-	-	-	-
Granted during the year	22,500,000	£0.01	-	-
Cancelled during the year	(4,800,138)	£0.05	-	-
Outstanding at the end of the year	29,402,094	£0.02	11,702,232	£0.04
Exercisable at the end of the year	6,649,455		9,485,747

The weighted average contract length on the options was 6 years (2023: 4 years). The remaining average

contractual life of the options was 5 years 2 months (2023: 3 years 8 months).

GREAT SOUTHERN COPPER PLC

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

YEAR ENDED 31 MARCH 2024

19.Share Based Payments (continued)

Valuation

Given the existence of market based vesting conditions in certain of the options, the valuation exercise was

split into 2 parts with the options including those conditions being valued using a Monte Carlo option pricing

model, whilst the other options have been valued using the Black Scholes option pricing model.

Options granted on 7 December 2021 valued

– Monte Carlo Model

Share price at date of grant
	£0.0455
Fair value at the year end
	£0.02
Exercise price
	£0.05
Time to expiry (years)
	3 years
Risk-free rate (%) – 3 years
	0.46%
Volatility (%)
	70.0%
Dividend yield (%)
	0%
Employee retention rate (%)
	100 %

Options granted on 7 December 2021 valued

– Black Scholes Model

Share price at date of grant
	£0.0455
Fair value at the year end – £0.01 options
	£0.02
Fair value at the year end – £0.05 options
	£0.01
Exercise price
	£0.05; £0.01
Time to expiry (years)
	3 and 5 years
Risk-free rate (%) – £0.01 options
	0.35%
Risk-free rate (%) – £0.05 options
	0.46%
Volatility (%)
	70.0%
Dividend yield (%)
	0%
Employee retention rate (%)
	100% for employees with £0.01 options,
	100% for employees with £0.05 options

Options granted on 19 September 2023 valued –

Black Scholes Model

Share price at date of grant
	£0.025
Fair value at the year end – £0.01 options
	£0.017
Exercise price
	£0.01
Time to expiry (years)
	7 years
Risk-free rate (%) – £0.01 options
	0.35%
Volatility (%)
	70.0%
Dividend yield (%)
	0%
Employee retention rate (%)
	100% for employees with £0.01 options

Volatility is measured using a weekly share price over a period of 5 years prior to the date of grant.

The risk-free rate is derived using a 3 and 5 year gilt rate.

The total share-based payment expense in relations to warrants and options in the year is £212,005

(2023: £88,607).

GREAT SOUTHERN COPPER PLC

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

YEAR ENDED 31 MARCH 2024

20. Reserves

Share Premium

Consideration received for shares issued above their nominal value net of transaction costs.

Share Based Payments

The cumulative share-based payment expenses of unvested awards that have not been exercised.

Shares To Be Issued

Shares to be issued to a director in lieu of cash remuneration.

Foreign Currency Translation

Cumulative gains and losses in respect of the translation of the results of overseas subsidiaries into the

presentational currency of the Group.

Retained Earnings

Cumulative profit and loss net of distributions to owners.

GREAT SOUTHERN COPPER PLC

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

YEAR ENDED 31 MARCH 2024

21. Related Party Transactions

Remuneration Of Key Personnel - Group

Remuneration of key management personnel, considered to be the Directors and other senior

management of the Group is as follows:

	2024	2023

	£’000	£’000
Short-term remuneration*	330	257
Other pension costs	13	13
Share-based payments	177	94

	520	364

Reconciliation of short-term remuneration
* As above	330	257
Less: Employer’s National Insurance	(13)	(13)
Previous Chief Financial Officer’s remuneration	(32)	(70)
Add: Remuneration settled through issue of shares	-	29
Total per Directors’ Remuneration Report – Page 16	285	203

Transactions And Balances With Key Personnel - Group

Balances outstanding to key personnel at year end totalled to £9,504 (2023: £13,357).

As at 31 March 2024 a balance of £14,150 was owed to the largest shareholder (2023: £14,150).

SI Capital Limited are a related party through common key management personnel. The charge in relation

to Broker warrants of £Nil (2023: £nil) is included within share premium. At 31 March 2024 amounts owed

to the Group by SI Capital Limited totalled £nil (2023: £25,000).

During the year payments were made to third parties in respect of services provided by one of the Directors.

Payments made to SI Capital Limited totalled £25,000 (2023: £21,758) respectively. During the year

£25,000 (2023: £25,000) broker fees were charged by SI Capital Limited.

During the year the charge for the services of the Chief Executive were made through Metal Ventures Inc

totalling £138,137 (2023: £105,714).

The Directors’ disclosures have been included in the Directors Remuneration report.

GREAT SOUTHERN COPPER PLC

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

YEAR ENDED 31 MARCH 2024

22. Contingencies and Commitments

The option agreements held by the Company in relation to the San Lorenzo and Especularita projects give

the Company the discretionary right to acquire the relevant concessions, provided the annual option fees

totalling US$100,000 due by March 2024 specified in such agreements, have been paid in full. There are

no royalty, third party payments, or other obligations in favour of third parties regarding the option payments

or the concessions to which they relate.

The Company’s commitments to meeting and finalising its purchase of the mineral concessions under the

Option Agreements, if it chooses to do so, are summarised in the following table:

Especularita		San Lorenzo
Date	Payment
		Date	Payment
01/03/2025 Final Payment
	US$ 1,100,000	01/06/2024	US$ 50,000
Extension of final payment to
01/03/2025
	US$ 100,000	01/06/2025 Final Payment	US$ 1,610,000
Extension of final payment to
01/03/2026
	US$ 100,000	Extension of final payment to
		01/06/2026
			US$ 100,000
		Extension of final payment to
		01/06/2027
			US$ 100,000

To acquire 100% of the Especularita project a total payment of US$1.5m is required (of which US$400,000

has been paid to date) with the final payment due on 01/03/2024. The Company may defer the final payment

for a period of 2 years at a cost of US$100,000 per additional year, which it has opted to do. To acquire

100% of the San Lorenzo project a total payment of US$2.0m is required (of which US$340,000 has been

paid to date), with a quota of US$50,000 due before 01/06/2024 and the final payment due before

01/06/2025. The Company may defer the final payment for a period of 2 years at a cost of US$100,000 per

additional year, which it has opted to do.

In September 2023, the Company signed a binding term sheet which allows the Company to earn 100% of

the mining rights of the Monti lithium project once its concessions are granted. Details of the related

commitments are given in the table below:

Monti
Date	Cash US$	Value in GSC
		equity
		US$
01/03/2024
(due payable)
	US$50,000	-
01/09/2024	US$50,000	US$50,000
01/09/2025	US$50,000	US$50,000
01/09/2026	US$1,000,000	US$1,000,000

GREAT SOUTHERN COPPER PLC

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

YEAR ENDED 31 MARCH 2024

23. Convertible loan note

On 15 May 2023, the Company entered into a convertible loan totalling £501,000 with its major shareholder

Foreign Dimensions Pty Ltd. The loan was interest free, unsecured and automatically converted to equity

on issuance of a prospectus. Following the publication of a prospectus on 7 December 2023, the loan

was fully redeemed by conversion to 41,749,995 ordinary shares with a nominal value of £0.01 per share

(see note 18). No amounts remained due or payable under the facility at the balance sheet date.

	£’000
As at 1 April 2023	-
Convertible loan drawn in the year	501
Conversion of loan to equity	(501)
As at 31 March 2024	-

The convertible loan note was initially recognised as a compound financial instrument. The host contract

was recognised as a liability on the balance sheet. The conversion element would have been recognised

as equity, although the balance was calculated as immaterial, and not relevant at the year end given the

full conversion of the instrument as detailed above.

24. Post Balance Sheet Events

On 26 June 2024, the Company completed a fund-raising through the placing and subscription for

104,416,667 new ordinary shares of 1p each at £0.012 per share raising £1.25m before expenses.

On 12 June 2024, the Company signed a binding purchase option agreement to acquire the Artemisa

copper project at the Company’s Especuralita project in Chile.

On 29 June 2024, the Company signed a binding purchase option agreement to acquire the Cerro Negro

copper project at the Company’s Especuralita project in Chile.

25. Ultimate Controlling Party

In the opinion of the Directors, there is considered to be no ultimate controlling party.

GREAT SOUTHERN COPPER PLC

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

YEAR ENDED 31 MARCH 2024