Vango Mining : Half Yearly Report and Accounts 31 December 2021

For personal use only

Half Year Financial Report

31 December 2021

ABN 68 108 737 711

For personal use only

VANGO MINING LIMITED

TABLE OF CONTENTS

FOR THE HALF YEAR ENDED 31 DECEMBER 2021

Corporate Directory	1
Directors' Report	2
Auditor's Independence Declaration	12
Consolidated Statement of Profit and Loss and Other Comprehensive Income	13
Consolidated Statement of Financial Position	14
Consolidated Statement of Changes in Equity	15
Consolidated Statement of Cash Flows	16
Notes to the Consolidated Financial Statements	17
Directors' Declaration	30
Independent Auditor's Review Report	31

For personal use only

VANGO MINING LIMITED

CORPORATE DIRECTORY

FOR THE HALF YEAR ENDED 31 DECEMBER 2021

Directors	Bruce McInnes	- Executive Chairman
	Andrew Stocks	- Managing Director, Resigned 14 December 2020
	Shengqiang (Sean) Zhou - Non-Exec Deputy Chairman
	Zhenzhu (Carol) Zhang	- Executive Director, to 28 October 2020
		- Non-Executive Director, from 28 October 2020
	Yan Chao (Hunter) Guo - Non-Executive Director
	Craig Wallace	- Non-Executive Director

Company Secretary	Ian Morgan
Registered Office	Aurora Place
	Building 1, Level 29
	88 Phillip Street
	Sydney NSW 2000
Principal place of	Aurora Place
business	Building 1, Level 29
	88 Phillip Street
	Sydney NSW 2000
Share Register	Boardroom Limited
	Level 12, Grosvenor Place
	225 George Street
	The Rocks NSW 2000
	Telephone: [phone] (in Australia)
	Website: boardroomlimited.com.au
Auditor	RSM Australia Partners
	Level 13
	60 Castlereagh Street
	Sydney NSW 2000
Solicitors	Lawton Macmaster Legal
	Level 9
	40 The Esplanade
	Perth WA 6000
Stock exchange listing	Australian Securities Exchange
	ASX Code: VAN, VANOB
Website	www.vangomining.com

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VANGO MINING LIMITED

DIRECTORS' REPORT

FOR THE HALF YEAR ENDED 31 DECEMBER 2021

__________________________________________________________________________________

Your directors present their report on the consolidated entity consisting of Vango Mining Limited and the entities it controlled (the "Group") at the end of, or during, the half-year ended 31 December 2021.

Directors

The names of the Company's Directors in office during the period and until the date of this report are set out below. Directors were in office for this entire period unless otherwise stated.

Bruce McInnes

- Executive Chairman

Shengqiang (Sean) Zhou - Non-Executive Deputy Chairman

Zhenzhu (Carol) Zhang	- Non-Executive Director
Yan Chao (Hunter) Guo - Non-Executive Director
Craig Wallace	- Non-Executive Director

Principal Activities

The Group is focused on the exploration and development of its 100%-owned Marymia Gold Project in the Mid-West region of Western Australia ("the Project"). It plans to systematically develop the Project's assets into a significant, long term gold mining operation.

Review of operations

The loss for the consolidated entity after providing for income tax amounted to $1,071,138 (31 December 2020: $2,432,251) reflecting several cost saving initiatives. Factors contributing to the decreased loss include that the Group incurred less expense from loss on issue of shares $9,274 (31 December 2020: 780,516) as well as the reversal of the share based payments expense due to changes in the assumptions around the probability of achieving the performance hurdles.

The Group currently has no borrowings. Corporate overheads and most other cost centres remained broadly in line with the corresponding 6 months in 2020. This reflects the ongoing activities in exploration activity.

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VANGO MINING LIMITED

DIRECTORS' REPORT

FOR THE HALF YEAR ENDED 31 DECEMBER 2021

__________________________________________________________________________________

Exploration and Development Activities

Vango's core focus for the half-year ended 31 December 2021 was on its 2021 drilling campaign at the Marymia Gold Project. This extensive campaign targeted priority open-pits within the Marymia Project, which are not currently part of the Marymia JORC 2012 resource - 1.02Moz @ 3.0 g/t Au2. (VAN ASX, 20/05/20)

The aim of the drilling campaign is to add significant near-surface resources amenable to open pit mining, as part of any future mining operation at the Project. It is also designed to deliver 'critical mass' to increase the mine life of a proposed future mining operation from Marymia's resource base.

Vango commenced and completed the first phase of this drilling campaign during the half. This comprised 8,914 metres of reverse circulation (RC) drilling across 56 holes, at all 11 targeted open-pits. (Table 1).

The 11 open pit targets were ranked in order of priority, based on historic gold inventory and a review of historic drilling. The 11 open pits are; Apollo, Exocet, Ibis, Kookaburra, Parrot, Pigeon, Prickleys, Redfin, Rosella, Skyhawk and Speckled (Figure 1).

Figure 1: Marymia Gold Project showing the 11 priority open pits targeted in 2021 drilling campaign

During the half-year, all results were reported from eight open-pit targets - Skyhawk, Parrot, Apollo, Prickleys, Ibis, Exocet, Rosella and Pigeon. Results from the remaining three open-pits were released subsequent to the half (ASX announcements, 19 January and 21 February 2022).

Following the first-phase of the drilling campaign, Vango commenced follow-up, second phase drilling at targets which delivered positive results from the completed first round of drilling, to test for further extensions of gold mineralisation to add to the Marymia resource base.

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