Page 85 - Sundance Resources Ltd Annual Report 2013

SUNDANCE RESOURCES LIMITED ANNUAL REPORT 2013 83
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2013
Note 2. SIGNIFICANT ACCOUNTING POLICIES
Statement of compliance
The financial report is a general purpose financial which has been prepared in accordance with the Corporations Act
2001, Accounting Standards and Interpretations, and complies with other requirements of the law.
The financial report includes the financial statements of the Consolidated Entity and the separate financial statements
of the parent entity (refer note 31). For the purposes of preparing the consolidated financial statements,
the Company is a for-profit entity.
Accounting Standards include Australian Accounting Standards. Compliance with Australian Accounting Standards
ensures that the financial statements and notes of the Company and the Consolidated Group comply with
International Financial Reporting Standards (‘IFRS’).
The financial statements were authorised for issue by the directors on 29 September 2013.
Going concern
The financial report has been prepared on the going concern basis, which contemplates the continuity of normal
business activity and the realisation of assets and the settlement of liabilities in the normal course of business.
The Consolidated Entity incurred a loss of $31,641,559 (2012: $25,308,131) and had cash outflows from operating
activities and investing activities of $45,519,680 (2012: $59,016,400) for the year ended 30 June 2013.
The Directors believe that at the date of signing the financial statements there are reasonable grounds to believe
that the Company and Consolidated Entity will have sufficient funds to meet their obligations as and when they fall
due and are of the opinion that the use of the going concern basis remains appropriate. In arriving at this position,
the directors have considered the following pertinent matters and have taken steps to ensure the Company and
Consolidated Entity continue as going concerns. These include:
(i) the Directors have reviewed the quantum and timing of all discretionary expenditures including exploration and
development costs and wherever necessary these costs will be minimised or deferred to suit the Consolidated
Entity’s cash flow forecast.
(ii) the Consolidated Entity’s cash flow forecast indicates a minimum of $18 million is required to support a reduced
level of the Consolidated Entity’s activities for the period to 30 September 2014, and these funds will be required
to be raised before December 2013. At the date of this report the Directors are in advanced negotiations to raise
a sum in excess of the required amount.
Should the Company and Consolidated Entity be unable to secure the additional funding referred to above,
a material uncertainty would exist as to whether the Company and Consolidated Entity will be able to continue as
going concerns and therefore, whether they will realise their assets and extinguish their liabilities in the normal
course of business.
Note 1. GENERAL INFORMATION
Sundance Resources Limited A.C.N. 055 719 394 (the Company) is a public company listed on the Australian
Stock Exchange (trading under the symbol ‘SDL’), incorporated in Australia and operating in Australia and Africa.
Sundance Resources Limited’s registered office and its principal place of business are as follows:
Registered office Principal place of business
Level 35 Level 35
Exchange Plaza Exchange Plaza
2 The Esplanade 2 The Esplanade
Perth WA 6000 Perth WA 6000
The Company’s principal activities during the year were iron ore exploration, evaluation and project development in
Cameroon and Congo.