Impact Minerals Limited Annual Report 2021

DIRECTOR’S REPORT Impact Minerals Ltd Annual Report 2021 81 At the Arkun project in Western Australia a new project, Beau, was purchased. This covers a modest but extensive circular magnetic anomaly that is of a similar geometry to the Gonneville intrusion, the host to the recent major Julimar discovery (Chalice Mining Limited ASX:CHN). In addition, 17 targets for follow up work were identified across the Arkun project, including Beau, and a soil geochemistry survey was completed along gazetted roads and tracks, with assays to be received. The 17 areas were identified from an interpretation of magnetic data. In Queensland, Impact sold its Clermont project to now listed company Australasian Gold Limited (ASX:A8G) for 1,000,000 shares. The shares are escrowed until April 2022. There was no activity at the Blackridge project and Impact is considering its options for it. FINANCIAL As at 30 June 2021, the Group had net assets of $15,632,776 (2020: $13,377,076) including cash and cash equivalents of $3,415,778 (2020: $2,431,426). RESPONSE TO COVID-19 Impact is continuing to review the ongoing situation relating to the COVID-19 pandemic and the implications for the health and wellbeing of our employees, contractors and stakeholders. The Company has been pro-active with respect to its response to COVID-19 and has developed operational procedures and plans in line with official health advice and government directives. Impact will continue to operate within these guidelines and will adapt its procedures as required. The impact on the Group’s operations to date has not been material and whilst the situation with regards to COVID-19 remains uncertain, the Company remains an active explorer across its projects and does not foresee, at this time, that it will have a material impact on future operations. Competent Persons Statement The review of operations contained in this report is based on information compiled by Dr Mike Jones, a Member of the Australian Institute of Geoscientists. He is a director of the Company and works for Impact Minerals Limited. He has sufficient experience which is relevant to the style of mineralisation and types of deposits under consideration and to the activity which he is undertaking to qualify as a Competent Person as defined in the 2012 edition of the Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves (the JORC Code). Dr Jones has consented to the inclusion in the report of the matters based on his information in the form and context in which it appears. Impact Minerals confirms that it is not aware of any new information or data that materially affects the information included in previous market announcements and in the case of mineral resource estimates, that all material assumptions and technical parameters underpinning the estimates continue to apply and have not materially changed. SIGNIFICANT CHANGES IN THE STATE OF AFFAIRS Significant changes in the state of affairs of the Group during the financial year were as follows: • In July 2020, the Company raised $3,245,000 (before costs) via a placement of 216,333,333 new shares at an issue price of 1.5 cents each. • In April 2021, the Company raised $4,000,000 (before via a placement of 242,424,242 new shares at an issue price of 1.65 cents each.

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