Annual Report 2025

Annual Report 2025

Contents

Review of Operations 1

Environmental, Social and Governance 4

Tenement Schedule and Resource Summary 5

Directors' Report 6

Auditor's Independence Declaration 13

Consolidated Statement of Comprehensive Income 15

Consolidated Statement of Financial Position 16

Consolidated Statement of Cash Flows 17

Consolidated Statement of Changes in Equity 18

Notes to the Consolidated Financial Statements 19

Consolidated Entity Disclosure Statement 35

Directors' Declaration 36

Independent Auditor's Report 37

Additional Information 41

HIGHLIGHTS

− Excellent metallurgical results were achieved from samples at the Lepidolite Hill project. Demonstrating an 80.5% lithia recovery to a lepidolite concentrate grading 3.75% Li2O using a combination of magnetic separation and conventional flotation.

− A 1:10 consolidation of capital was carried out to result in a more appropriate and effective capital structure for the Company.

LITHIUM PROJECT

The Lepidolite Hill Lithium Project is within the Coolgardie Domain of the Kalgoorlie Terrane. Post-orogenic granite-pegmatites within the district are prospective for lithium, beryl and tantalum- niobium. Lithium-rich pegmatites are common in the Project area.

The Project was a historical old lepidolite and petalite mine in the early 1970's. An exploration drilling program conducted by Lithium Australia Ltd in 2019 discovered further lithium mineralisation at the Project. Pegmatite horizons were encountered in all drill holes and visual lepidolite and/or petalite were recorded in 19 out of the 35 reverse circulation (RC) holes, with an outstanding result of lithium bearing pegmatite grading 18m @ 1.45% Li2O from 5m within drill hole LHRC023 (refer to Company announcement dated 8 May 2023).

In March quarter 2024, the Company completed a drilling program for a total of 37 RC holes for 4,744m with pegmatites recorded in 33 holes. The assay results from the 22 drillholes demonstrate significant high-grade lithium mineralisation hosted by shallow lithium-bearing pegmatites along over 1 km of strike and extending to a minimum of 154m below surface. Drilling has intersected lithium mineralisation up to 31m in thickness at 0.86% Li2O (ref ASX: EFE 18 April 2024). The assay results from drill samples in the drilling program confirmed continuity and thickness of lithium mineralisation with multiple stacked shallow north-west dipping lithium-bearing pegmatites to a depth of at least 154m below surface.

During the reporting period ("Period"), the Company conducted metallurgical testwork on samples from the Lepidolite Hill Lithium Project, which the Company has a 70% interest in and Livium Ltd (ASX:LIT) retains a 30% interest.

The metallurgical program was designed to test the ability to produce a commercial lithium concentrate. Nagrom, an experienced metallurgical laboratory, was engaged to design and conduct the works.

Excellent metallurgical results were achieved in the preliminary test work, demonstrating that recoveries range between 80% to 82% producing a 3.7% Lithia in lepidolite concentrate could be achieved using a combination of magnetic separation and conventional flotation.

Results Summary

A summary of recoveries and grades for lithium (Li2O) and iron (Fe2O) are presented in Table 1 Table 1: Flotation Results

Metallurgical Test Work Overview

A batch of 27 kg composite samples selected from the Project were delivered to Nagrom to conduct test work. The program was designed to test the ability to produce a commercial lithium concentrate by conventional multi-stage separation and floatation technology.

Flotation

Flotation is the most widely used technique for the beneficiation of lithium-bearing minerals and is more suited to the processing of fine particle size feed. The processing route selected was as follows:

− Stage Crush (~20kg) to P100 =3.35mm

− Grind (17x 1kg) to P80= 0.106mm

− Cyclone Deslime (17kg) to produce one (1) Overflow and one (1) Underflow fraction, with target Cut-Point @D50 =10-

20μm

− WHGMS145 (~15kg) to produce one (1) Overflow and one (1) Underflow fraction, at 3000 Gauss

− Sighter Multi-Stage Flotation (1kg) to produce up to ten (10) fractions

− All tests were done in Perth tap water

All samples were analysed via ICP/XRF for Li2O, Fe2O3, CaO, K2O, MgO, Al2O3, SiO2, Na2O, Ta2O5, Nb2O5 and LOI1000.

The Trigg Hill Lithium Project is located in East Pilbara, Western Australia. A historical old tantalum and tin mine was operated during the 1960s and early 1980s within the project area. A significant number of pegmatite outcrops have been mapped over an area of 3km strike by up to 1.2km in the Trigg Hill Lithium Project including the East Curlew lithium-caesium-tantalum ("LCT") pegmatites, which extend for up to 1.8km.

Rock-chip confirms extensive LCT pegmatites, with results up to 2.28% Li2O, 1,552ppm Cs2O, and 514ppm Ta2O5 from the Trigg Hill project (refer to the Company announcement dated 8 July 2022). Drilling in 2022 intercepted anomalous lithium which are confirmed to contain spodumene. Peak assay of 1.41% Li2O from 54m within drill hole ECRC009 (ref ASX: EFE 11 January 2023).

During the financial year, the Company conducted an additional soil sampling program at the Project.

This soil sampling program covered the untested area which had not received any modern exploration analysis and assessed the prospectivity of the area to obtain an understanding of zonation and lithium mineralisation.

The program provided geochemical coverage over the northwest area of the Project where lithium bearing pegmatites had been identified at Trigg Hill and East Curlew prospects.

Sampling was undertaken on eight lines and collected on a nominal 200m X 80m regional grid, immediately west and northwest of the Curlew ML.

The Yalgoo West and the Lake Johnston Projects were surrendered due to the lack of potential for a significant lithium resource in those tenements.

NOWA NOWA IRON PROJECT

During the financial year the Company advanced a range of permitting processes that form part of the Environmental Effects Assessment ("EES") process. The ESS is an all-inclusive permitting approach including all planning and operating licence requirements for the development and operation of the Nowa Nowa Iron project.

The following assessments have currently been undertaken: Aboriginal Cultural Heritage Impact assessment, Ecology Impact assessment, Traffic Impact and a Groundwater Impact assessment. A range of other assessments are underway.

NOWA NOWA COPPER PROJECT

No exploration work was carried out during the financial year.

NEW PROJECTS SEARCH AND ACQUISITION

The Company reviewed a number of opportunities and progressed due diligence on exploration projects prospective for precious metals. Commercial discussions with various parties are at an early stage and the likelihood of the Company finalising an acquisition is uncertain. The Company is committed to exploration projects that will add to shareholder value.

CORPORATE

During the financial year, a 1:10 consolidation was carried out. The aim of the consolidation was to reduce the Company's shares on issue by creating a share count below one billion, resulting in a more appropriate and effective capital structure for the Company and a share price that is considered more appealing to a wider range of investors. Meanwhile, a range of Director and executive performance rights and/or options were restructured consistent with the consolidation. After the consolidation, the capital structure of the Company is as set out below:

Reference to the Company's previous ASX announcements:

− 18 October 2024: Proposed consolidation of capital

− 20 November 2024: Consolidation of capital

− 22 January 2025: Excellent metallurgical test results - Lepidolite Hill

− 7 May 2025: Project Update - Trigg Hill

Lithium Projects

Eastern Resources has chosen to focus its exploration efforts on the identification of lithium mineralisation. This strategy is reflective of the Board's belief that financial reward for stakeholders, especially shareholders, can be achieved whilst supporting initiatives to reduce carbon emissions and create a better world for everyone. Lithium is a key input into the battery production process and exploration success could allow EFE to deliver lithium into the projected lithium supply shortfall in coming years.

Stakeholder Processes

The Company engages across a broad range of external stakeholder groups, some of which are addressed below.

Native Title

With projects in Western Australia and Victoria, Eastern Resources is committed to communicating and negotiating effectively and fairly with the relevant native title groups in the areas of its activities. The company currently has a number of exploration access agreements in place and is negotiating others.

Regional Stakeholders

The Company regularly communicates with stakeholders in its projects including relevant government departments and landholders. The Company supports the communities in which it has activities, through its commercial activities (e.g. purchase of goods and services, accommodation and the like).

Licences

Eastern Resources is the holder of a number of exploration and/or prospecting licences and mining lease applications. The Company has processes in place to ensure the ongoing retention / maintenance and adherence to its tenement obligations, ensuring that its relationship with the regulator remains sound. This includes full rehabilitation after exploration activities have been completed.

Shareholder Communications

Regular communication with shareholders and the investment community is through the ASX announcements platform, it's website and shareholder meetings. Further details are provided in the Corporate Governance Statement.

Governance

The Company's Corporate Governance Statement details the broad scope of governance measures applied by the Company.

AS AT 30 JUNE 2025

EL: Exploration Licence RL: Retention Licence MIN: Mining Licence

E: Exploration Licence

Gippsland Iron Pty Ltd and Eastern Lithium Pty Ltd are wholly owned subsidiaries of Eastern Resources Ltd. Notes: 1. Eastern Lithium Pty Ltd has 70% ownership and Livium Ltd has 30% ownership of the Tenement.

2. During the Period, the following tenement was surrendered: E59/2653, E59/2654, E63/2175, E63/2211, E63/2212, and E63/2219.

NOWA NOWA, VICTORIA

Note decimals do not imply precision and are used to avoid rounding errors

Resource is estimated at a lower cut-off of 40%.

This report has been approved by and fairly represents information and supporting documents compiled by Mr Greg De Ross, BSc. Mr De Ross is a consultant of Eastern Resources Limited and is a Fellow of the Australasian Institute of Mining and Metallurgy and is bound by and follows the Institutes codes and recommended practices. He has sufficient experience which is relevant to the styles of mineralisation and types of deposits under consideration and to the activities being undertaken 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 information in this table that relates to Estimation and Reporting of Mineral Resources has been prepared by and is based on and fairly represents information and supporting documents compiled by Mr Rupert Osborn BSc, MSc who is a member of the Australasian Institute of Geoscientists, a full time employee of H&S Consultants and an independent consultant to Eastern Resources Limited. Full details of the Nowa Nowa Resource estimate including Table 1 details and competent person consents were published on 21 May 2014 under the guidelines of the JORC 2012 Code in a report to the ASX titled "Resource Upgrade at Nowa Nowa Iron Project".

Eastern Resources Limited confirms that it is not aware of any new information or data that materially affects the information included in this report and that all material assumptions and technical parameters underpinning the Mineral resource Estimates in the report continue to apply and have not materially changed.

Your Directors submit their report for the year ended 30 June 2025.

The names and details of the Company's directors in office during the financial year and until the date of this report are as

follows. Directors were in office for this entire period unless otherwise stated.

As at the date of this report, the interests of the Directors in the shares and options of Eastern Resources Limited were:

The principal activity of the Group is the exploration for and delineation of battery minerals, iron ore, precious and base metals resources in Australia/Asia Pacific region and the development of those resources into economic, cash flow generating mines.

The net result of operations after applicable income tax expense was a loss of $1,081,725 (2024: $843,974). There was

$528,549 exploration and evaluation expenditure written off during the year (2024: 396,289).

No dividends were paid or proposed during the period.

A review of the operations of the Company during the financial period and the results of those operations commence on page 1 in this report.

The Directors are not aware of any significant changes in the state of affairs of the Group occurring during the financial period, other than as disclosed in this report.

There were, at the date of this report, no matters or circumstances which have arisen since 30 June 2025 that have significantly affected or may significantly affect the operations of the Group, the results of those operations, or the state of affairs of the Group, in future financial years.

As the Company's areas of interest are at an early stage of exploration, it is not possible to postulate likely developments and any expected results. The Company is hoping to identify other battery minerals exploration and evaluation targets.

Details of unissued shares or interests under option for Eastern Resources Limited as at the date of this report are:

The holders of these options do not have the right, by virtue of the option, to participate in any share issue of the Company or of any other body corporate or registered scheme.

Eastern Resources and its wholly owned subsidiaries hold an exploration licence, a retention licence and a mining licence application issued by the Victorian Department of Economic Development, Jobs, Transport and Resources. The Company also has an obligation on an exploration licence issued by the Western Australia Department of Mines, Industry Regulation and Safety. The Company's operations are subject to specific guidelines for environmental impacts in relation to exploration activities. The licence conditions provide for the full rehabilitation of the areas of exploration in accordance with the Department's guidelines and standards. There have been no significant known breaches of the licence conditions.

Indemnification

The Company has not, during or since the end of the financial period, in respect of any person who is or has been an officer of the Company or a related body corporate indemnified or made any relevant agreement for indemnifying against a liability incurred as an officer, including costs and expenses in successfully defending legal proceedings except for the Company Secretary who has been granted an indemnity for services provided under his contract.

Insurance Premiums

During the financial period the Company has paid premiums to insure each of the Directors and officers against liabilities for costs and expenses incurred by them in defending any legal proceedings arising out of their conduct while acting in the capacity of Director or officer of the Company, other than conduct involving a wilful breach of duty in relation to the Company.

The premiums paid are not disclosed as such disclosure is prohibited under the terms of the contract.

This remuneration report for the year ended 30 June 2025 outlines the remuneration arrangements of the Company and the Group in accordance with the requirements of the Corporations Act 2001 (the Act) and its regulations. This information has been audited as required by section 308(3C) of the Act.

The remuneration report details the remuneration arrangements for key management personnel (KMP) who are defined as those persons having authority and responsibility for planning, directing and controlling the major activities of the Company and the Group, directly or indirectly, including any director (whether executive or otherwise) of the parent company.

Details of Key Management Personnel

Details of KMP including the top five remunerated executives of the Parent and Group are set out below.

Remuneration Philosophy

The objective of the Company's remuneration framework is to ensure reward for performance is competitive and appropriate for the results delivered. The framework aligns executive reward with achievement of strategic objectives and the creation of value for shareholders. The Board believes that executive remuneration satisfies the following key criteria:

− Competitiveness and reasonableness.

− Acceptability to shareholders.

− Performance linkage/alignment of executive compensation.

− Transparency.

− Capital management.

These criteria result in a framework which can be used to provide a mix of fixed and variable remuneration, and a blend of

short and long term incentives in line with the Company's limited financial resources.

Fees and payments to the Company's Non-Executive Directors and Senior Executives reflect the demands which are made on, and the responsibilities of, the Directors and the senior management. Such fees and payments are reviewed annually by the Board. The Company's Executive and Non-Executive Directors, Senior Executives and Officers may be offered to receive options under the Company's Employee Share Option Scheme.

Non-Executive Director Remuneration Arrangements

Directors are entitled to remuneration out of the funds of the Company but the remuneration of the Non-Executive Directors (NED) may not exceed in any year the amount fixed by the Company in general meeting for that purpose. The aggregate remuneration of the NED's has been fixed at a maximum of $250,000 per annum to be apportioned among the NED's in such a manner as the Board determines. Directors are also entitled to be paid reasonable travelling, accommodation and other expenses incurred in consequence of their attendance at Board meetings and otherwise in the execution of their duties as Directors.

Effective from 1 May 2022 the base fee for all Non-Executive Directors including the Chairman was increased from $60,000

p.a to $72,000 p.a plus an additional $24,000 p.a is paid for the Chairman consulting fee with no additional payments for chairing Board Committee.

Service Agreements

Remuneration and other terms of employment for key management personnel are formalised in employment contracts and contractor agreements. Details of these agreements are set out below.

Executive Director - Myles Fang

− Contract term: Rolling contract. The Company may terminate the agreement with 120 days' notice, or the contractor may terminate the agreement with 30 days' notice.

− Remuneration: Effective from 1 July 2024 Mr Fang's contract is $330,000 p.a. excluding GST. Mr Fang is entitled to be paid reasonable travelling, accommodation and other expenses incurred in execution of his duties as Executive Director.

− Termination payments: The Company may make a cash payment in lieu of part or all of a notice period of an amount equivalent to the Cash Service Fee or Share Service Fee that would have been payable if the Engagement had continued during that period.

Company Secretary - Heath Roberts

− Contract term: Rolling contract. Either party may terminate the agreement with one months' notice.

− Remuneration: Effective from 1 July 2024 to 31 December 2024 and effective from 1 January 2025 to 30 June 2025 retainer amount of $4,000 per month and $2,000 per month respectively. Plus $175 per hour plus GST for services outside of an agreed scope of work.

− Termination payments: Nil

Performance based remuneration granted during the 2025 financial period was the Performance Rights issued which vest if the company achieves a 20 day volume weighted average price of $0.10 within 3 years after the date of their issue. The Performance Rights expire on 28 December 2029.

Performance based remuneration granted during the 2024 financial period was the Performance Rights issued which vest if the company achieves a 20 day volume weighted average price of $0.014. The Performance Rights expire on 18 December 2028. The Performance Rights were cancelled during the year ended 30 June 2025.

Share-Based Compensation

Employee Share Option Plan

The Company has established the Eastern Resources Employee Share Option Plan ("Plan") to assist in the attraction, retention and motivation of employees of the Company. There are no options granted under the Plan as at the date of this report. The Plan will be administered by the Board in accordance with the rules of the Plan, and the rules are subject to the Listing Rules.

A summary of the Rules of the Plan follows. All full-time employees will be eligible to participate in the Plan. The allocation of options to each employee is at the discretion of the Board. The options will be issued for nil consideration and are non-transferable, except with the consent of Directors. However, at the time of accepting the offer to participants of the Plan, the eligible employee may nominate another person in whose favour the options should be granted. If permitted by the Board, options may be issued to an employee's nominee (for example, a spouse or family company).

Each option is to subscribe for one fully paid ordinary share in the Company and will expire five years from its date of issue. An option is exercisable at any time from its date of issue. Options will be granted free.

The exercise price of options will be determined by the Board. The total number of shares the subject of options issued under the Plan, when aggregated with issues during the previous five years pursuant to the Plan and any other employee share plan, must not exceed 5% of the Company's issued share capital.

If, prior to the expiry date of options, a person ceases to be an employee of a Group company for any reason (other than termination with cause), the options held by that person (or that person's nominee) must be exercised within one month thereafter otherwise they will automatically lapse. The Plan may be terminated or suspended at any time.

Except with the consent of the Directors, options may not be transferred. The Company will not apply for official quotation of any options. Shares issued as a result of the exercise of options will rank equally with the Company's previously issued shares.

If there is a bonus share issue to the holders of shares, the number of shares over which an option is exercisable will be increased by the number of shares which the optionholder would have received if the option had been exercised before the record date for the bonus issue. The options or exercise price of the options will be adjusted if there is a pro-rata issue, bonus issue or any reconstruction in accordance with the Listing Rules. If there is a pro-rata issue (other than a bonus share issue) to the holders of shares, the exercise price of an option will be reduced to take account of the effect of the pro-rata issue. If there is a reorganisation of the issued capital of the Company, unexercised options will be reorganised in accordance with the Listing Rules.

Subject to obtaining required members' approval to authorise the granting of financial assistance to a participant, the Directors can make loans to eligible employees in connection with shares to be issued upon exercise of options under the Plan.

The Board may amend the Plan Rules subject to the requirements of the Listing Rules.

Compensation Options: Granted and Vested During the Year

Share-based Payments held by Directors and Key Management as at 30 June 2025

The value of options granted during the period is recognised as compensation over the vesting period of the grant, in accordance with Australian Accounting Standards.

For details on the valuation of the options, including models and assumptions used, please refer to Note 10.

There were no alterations to the terms and conditions of options granted as remuneration since their grant date. There were no forfeitures during the period.

The following table sets out the number of Directors' meetings and meetings of Committees of Directors, held during the

financial year and the number of meetings attended by each Director:

The duties of the Corporate Governance Committee were carried out by the full Board at Board meetings for the 2025 financial year.

*During the period the Board passed three circular resolutions.

To the directors of Eastern Resources Limited

As engagement partner for the audit of Eastern Resources Limited for the year ended 30 June 2025, I declare that, to the best of my knowledge and belief, there have been:

1. no contraventions of the independence requirements of the Corporations Act 2001 in relation to the audit; and

2. no contraventions of any applicable code of professional conduct in relation to the audit.

BDJ Partners

…………………………………………

Anthony Dowell Partner

17 September 2025

13

Phone

+61 2 9956 8500

Email

bdj@bdj.com.au

Office

Level 8, 124 Walker Street North Sydney NSW 2060

Postal

PO Box 1664,

North Sydney NSW 2059

Liability limited by a scheme approved under Professional Standards Legislation. Please refer to the website for our standard terms of engagement.

Non-audit services

The Company's auditor, BDJ Partners did not provide non-audit services for Eastern Resources during the financial year ended 30 June 2025 (2024: Nil). The Directors are satisfied that the provision of non-audit services is compatible with the general standard of independence for auditors imposed by the Corporations Act 2001. The nature and scope of each type of non-audit service provided means that auditor independence was not compromised.

Signed 17th day of September 2025 in accordance with a resolution of the Directors.

Ariel Edward King

Chairman

The Consolidated Statement of Comprehensive Income should be read in conjunction with the accompanying notes.

The Consolidated Statement of Financial Position should be read in conjunction with the accompanying notes.

The Consolidated Statement of Cash Flows should be read in conjunction with the accompanying notes.

The Consolidated Statement of Changes in Equity should be read in conjunction with the accompanying notes.

1. CORPORATE INFORMATION

   The financial report of Eastern Resources Limited (the Company) for the year ended 30 June 2025 was authorised for issue in accordance with a resolution of the Directors on 17 September 2025.

   Eastern Resources Limited is a company limited by shares incorporated and domiciled in Australia whose shares are publicly traded on the Australian Securities Exchange Ltd using the ASX code EFE.

   The consolidated financial statements comprise the financial statements of Eastern Resources Limited and its subsidiaries (the Group or Consolidated Entity).

   The nature of the operations and principal activities of the Consolidated Entity are described in the Directors' Report.

2. MATERIAL ACCOUNTING POLICY INFORMATION

   Basis of Preparation

   The financial report is a general purpose financial report, which has been prepared in accordance with the requirements of the Corporations Act 2001 and Australian Accounting Standards. The financial report has been prepared on a historical cost basis. All amounts are presented in Australian dollars.

   Statement of Compliance

   The financial report is a general purpose financial report which has been prepared in accordance with the Corporations Act 2001, Accounting Standards and Interpretations, and complies with other requirements of the law. Accounting Standards include Australian equivalents to International Financial Reporting Standards (AIFRS). Compliance with AIFRS ensures that the financial statements and notes of the Group comply with International Financial Reporting Standards (IFRS).

   Basis of Consolidation

   The consolidated financial statements comprise the financial statements of Eastern Resources Limited (Eastern Resources or the "Company") and its subsidiaries if applicable ("the Group") as at 30 June each year. The financial statements of subsidiaries are prepared for the same reporting period as the parent company, using consistent accounting policies. Adjustments are made to bring into line any dissimilar accounting policies that may exist.

   All inter-company balances and transactions, including unrealised profits arising from intra-group transactions, have been eliminated in full. Subsidiaries are fully consolidated from date on which control is transferred to the Group and cease to be consolidated from the date on which control is transferred out of the Group.

   Going Concern

   The financial report has prepared on the going concern basis that the Group has the ability to pay its debts as and when they become due and payable for at least the next 12 months from the date of issuing the financial report.

   For the year ended 30 June 2025, the Group incurred a loss from continuing operations after tax of $1,081,725 (2024:

   $843,974). The Group had operating cash outflows of $325,435 (2024: $278,468). The Group's net cash outflow from investing activities was $257,700 (2024: $1,313,593). The Group's net current assets were $3,588,164 (2024: $4,230,196). The Group is continuing to optimise cash usage in its operations, balancing preservation of cash with the need to advance its exploration interests.

   At 30 June 2025, the Group had a cash balance of $3,730,643. From a cash flow forecast for the next 12 months prepared by management, the Directors believe that the Group will have sufficient working capital to meet its project development and administrative expenses as and when they are due, and therefore, the financial report has been prepared on the going concern basis.

   Financial Liabilities

   The financial liabilities of the Group comprise trade and other payables.

   Joint Arrangements

   Joint arrangements are bound to contractual arrangements. The arrangement gives two or more parties joint control of the arrangement. Joint arrangement is either Joint Operation or Joint Venture.

   Joint control is the contractually agreed sharing of control of an arrangement, which exists only when decisions about the relevant activities require the unanimous consent of the parties sharing control.

   An entity shall determine the type of joint arrangement in which it is involved. The classification of a joint arrangement as a joint operation or a joint venture depends upon the rights and obligations of the parties to the arrangement.

   Joint Operation

   A joint operation is a joint arrangement whereby the parties that have joint control of the arrangement have rights to the assets, and obligations for the liabilities, relating to the arrangement. Those parties are called joint operators.

   Joint operator shall recognise in relation to its interest in a joint operation:

   1. its assets, including its share of any assets held jointly;

   2. its liabilities, including its share of any liabilities incurred jointly;

   3. its revenue from the sale of its share of the output arising from the joint operation;

   4. its share of the revenue from the sale of the output by the joint operation; and

   5. its expenses, including its share of any expenses incurred jointly.

   A joint operator shall account for the assets, liabilities, revenues and expenses relating to its interest in a joint operation in accordance with the Standards applicable to the particular assets, liabilities, revenues and expenses.

   Joint Venture

   A joint venture is a joint arrangement whereby the parties that have joint control of the arrangement have rights to the net assets of the arrangement. Those parties are called joint venturers.

   A joint venturer shall recognise its interest in a joint venture as an investment and shall account for that investment using the equity method in accordance with AASB 128 Investments in Associates and Joint Ventures unless the entity is exempted from applying the equity method as specified in that standard. A party that participates in, but does not have joint control of, a joint venture shall account for its interest in the arrangement in accordance with AASB 9 Financial Instruments, unless it has significant influence over the joint venture, in which case it shall account for it in accordance with AASB 128.

   Exploration, Evaluation, Development and Restoration Costs

   Exploration and Evaluation

   Exploration and evaluation expenditure incurred by or on behalf of the Group is accumulated separately for each area of interest. Such expenditure comprises net direct costs and an appropriate portion of related overhead expenditure, but does not include general overheads or administrative expenditure not having a specific connection with a particular area of interest.

   Exploration and evaluation costs in relation to separate areas of interest for which rights of tenure are current are brought to account in the year in which they are incurred and carried forward provided that:

   − Such costs are expected to be recouped through successful development and exploitation of the area, or alternatively through its sale.

   − Exploration and/or evaluation activities in the area have not yet reached a stage which permits a reasonable assessment of the existence or otherwise of economically recoverable reserves.

   Once a development decision has been taken, all past and future exploration and evaluation expenditure in respect of the area of interest is aggregated within costs of development.

   Exploration and Evaluation - Impairment

   The Directors assess at each reporting date whether there is an indication that an asset has been impaired and for exploration and evaluation cost whether the above carry-forward criteria are met.

   Accumulated costs in respect of areas of interest are written off or a provision made in the Income Statement when the above criteria do not apply or when the Directors assess that the carrying value may exceed the recoverable amount. The costs of productive areas are amortised over the life of the area of interest to which such costs relate on the production output basis, provisions would be reviewed and if appropriate, written back.

   Development

   Development expenditure incurred by or on behalf of the Group is accumulated separately for each area of interest in which economically recoverable reserves have been identified to the satisfaction of the Directors. Such expenditure comprises net direct costs and, in the same manner as for exploration and evaluation expenditure, an appropriate portion of related overhead expenditure having a specific connection with the development property.

   All expenditure incurred prior to the commencement of commercial levels of production from each development property is carried forward to the extent to which recoupment out of revenue to be derived from the sale of production from the relevant development property, or from the sale of that property, is reasonably assured.

   No amortisation is provided in respect of development properties until a decision has been made to commence mining. After this decision, the costs are amortised over the life of the area of interest to which such costs relate on a production output basis.

   Restoration

   Provisions for restoration costs are recognised when the Group has a present obligation (legal or constructive) as a result of a past event, and it is probable that an outflow of resources embodying economic benefits will be required to settle the obligation and a reliable estimate can be made of the amount of the obligation. If the effect of the time value of money is material, provisions are determined by discounting the expected cash flows at a pre-tax rate that reflects current market assessments of the time value of money and, where appropriate, the risks specific to the liability. When discounting is used, the increase in the provision due to the passage of time is recognised as a finance cost.

   R&D Tax Offset

   The R&D Tax Offset attributable to capitalised exploration expenditure is offset against the deferred exploration and evaluation expenditure asset.

   Share-Based Payments

   In addition to salaries, the Group provides benefits to certain employees (including Directors and Key Management personnel) of the Group in the form of share-based payment transactions, whereby employees render services in exchange for shares or rights over shares ("equity-settled transactions"). There is currently an Employee Share Option Plan in place to provide these benefits.

   The cost of these equity-settled transactions with employees is measured by reference to the fair value at the date at which they are granted. The fair value of the options is determined by using the Black-Scholes option pricing model. In valuing transactions settled by way of issue of options, no account is taken of any vesting limits or hurdles, or the fact that the options are not transferable. The cost of equity-settled transactions is recognised, together with a corresponding increase in equity, over the period in which the vesting conditions are fulfilled, ending on the date on which the relevant employees become fully entitled to the award (the vesting period).

   The cumulative expense recognised for equity-settled transactions at each reporting date until vesting date reflects:

   − The extent to which the vesting period has expired.

   − The Group's best estimate of the number of equity instruments that will ultimately vest.

   No adjustment is made for the likelihood of market performance conditions being met as the effect of these conditions is included in the determination of fair value at grant date. The income statement charge or credit for a period represents the movement in cumulative expense recognised as at the beginning and end of that period.

   No expense is recognised for awards that do not ultimately vest, except for awards where vesting is only conditional upon a market condition.

   If the terms of an equity-settled award are modified, at a minimum an expense is recognised as if the terms had not been modified. In addition, an expense is recognised for any modification that increases the total fair value of the share-based payment arrangement, or is otherwise beneficial to the employee, as measured at the date of modification. If an equity -settled award is cancelled, it is treated as if it had vested on the date of the cancellation, and any expense not yet recognised is recognised immediately. However, if a new award is substituted for the cancelled award and designated a replacement award on the date it is granted, the cancelled and the new award are treated as if there was a modification of the original award, as described in the previous paragraph. The dilutive effect, if any, of outstanding options is reflected as additional share dilution in the computation of earnings per share except where such dilution would serve to reduce a loss per share.

   Revenue

   Revenue is recognised to the extent that it is probable that the economic benefits will flow to the Group and the revenue can be reliably measured. The following specific recognition criteria must also be met before revenue is recognised:

   Interest

   Revenue is recognised as the interest accrues (using the effective interest method, which is the rate that exactly discounts estimated future cash receipts through the expected life of the financial instrument) to the net carrying amount of the financial asset.

   Income Tax

   Current tax assets and liabilities for the current and prior periods are measured at the amount expected to be recovered from or paid to the taxation authorities. The tax rates and tax laws used to compute the amount are those that are enacted or substantively enacted at the reporting date.Deferred income tax is provided on all temporary differences at the reporting date between the tax bases of assets and liabilities and their carrying amounts for financial reporting purposes.

   Deferred income tax liabilities are recognised for all taxable temporary differences:

   − Except where the deferred income tax liability arises from the initial recognition of an asset or liability in a transaction that is not a business combination and, at the time of the transaction, affects neither the accounting profit nor taxable profit or loss.

   − In respect of taxable temporary differences associated with investments in subsidiaries, associates and interests in joint ventures, except where the timing of the reversal of the temporary differences can be controlled and it is probable that the temporary differences will not reverse in the foreseeable future.

   Deferred income tax assets are recognised for all deductible temporary differences, carry-forward of unused tax assets and unused tax losses, to the extent that it is probable that taxable profit will be available against which the deductible temporary differences, and the carry forward of unused tax assets and unused tax losses can be utilised:

   − Except where the deferred income tax asset relating to the deductible temporary difference arises from the initial recognition of an asset or liability in a transaction that is not a business combination and, at the time of the transaction, affects neither the accounting profit nor taxable profit or loss.

   − In respect of deductible temporary differences associated with investments in subsidiaries, associates and interests in joint ventures, deferred tax assets are only recognised to the extent that it is probable that the temporary differences will reverse in the foreseeable future and taxable profit will be available against which the temporary differences can be utilised.

   The carrying amount of deferred income tax assets is reviewed at each reporting date and reduced to the extent that it is no longer probable that sufficient taxable profit will be available to allow all or part of the deferred income tax asset to be utilised.

   Deferred income tax assets and liabilities are measured at the tax rates that are expected to apply to the year when the asset is realised or the liability is settled, based on tax rates (and tax laws) that have been enacted or substantively enacted at the balance sheet date. Income taxes relating to items recognised directly in equity are recognised in equity and not in the income statement.

   Other Taxes

   Revenues, expenses and assets are recognised net of the amount of GST except:

   − Where the GST incurred on a purchase of goods and services is not recoverable from the taxation authority, in which case the GST is recognised as part of the cost of acquisition of the asset or as part of the expense item as applicable.

   − Receivables and payables are stated with the amount of GST included.

   The net amount of GST recoverable from, or payable to, the taxation authority is included as part of receivables or payables in the statement of financial position.

   Cash flows are included in the Cash Flow Statement on a gross basis and the GST component of cash flows arising from investing and financing activities, which is recoverable from, or payable to, the taxation authority, are classified as operating cash flows.

   Commitments and contingencies are disclosed net of the amount of GST recoverable from, or payable to, the taxation authority.

   Currency

   Both the functional and presentation currency is Australian dollars (A$).

   Impairment of Assets

   The Group assesses at each reporting date whether there is an indication that an asset may be impaired. If any such indication exists, or when annual impairment testing for an asset is required, the Group makes an estimate of the asset's recoverable amount. An asset's recoverable amount is the higher of its fair value less costs to sell and its value in use and is determined for an individual asset, unless the asset does not generate cash inflows that are largely independent of those from other assets or groups of assets and the asset's value in use cannot be estimated to be close to its fair value. In such cases the asset is tested for impairment as part of the cash-generating unit to which it belongs.

   When the carrying amount of an asset or cash-generating unit exceeds its recoverable amount, the asset or cash-generating unit is considered impaired and is written down to its recoverable amount.

   In assessing value in use, the estimated future cash flows are discounted to their present value using a pre-tax discount rate that reflects current market assessments of the time value of money and the risks specific to the asset. Impairment losses relating to continuing operations are recognised in those expense categories consistent with the function of the impaired asset unless the asset is carried at a revalued amount (in which case the impairment loss is treated as a revaluation decrease).

   An assessment is also made at each reporting date as to whether there is any indication that previously recognised impairment losses may no longer exist or may have decreased. If such indication exists, the recoverable amount is estimated. A previously recognised impairment loss is reversed only if there has been a change in the estimates used to determine the asset's recoverable amount since the last impairment loss was recognised. If that is the case the carrying amount of the asset is increased to its recoverable amount. The increased amount cannot exceed the carrying amount that would have been determined, net of depreciation, had no impairment loss been recognised for the asset in prior years. Such reversal is recognised in profit or loss unless the asset is carried at revalued amount, in which case the reversal is treated as a revaluation increase. After such a reversal the depreciation charge is adjusted in future periods to allocate the asset's revised carrying amount, less any residual value, on a systematic basis over its remaining useful life.

   Significant Accounting Judgements, Estimates and Assumptions

   The carrying amounts of certain assets and liabilities are often determined based on estimates and assumptions of future events. The key estimates and assumptions that have a significant risk of causing a material adjustment to the carrying amounts of certain assets and liabilities within the next annual reporting period are:

   Share-Based Payment Transactions

   The Group measures the cost of cash-settled share-based payments at fair value at the grant date using the Black-Scholes formula taking into account the terms and conditions upon which the instruments were granted, as detailed in Note 10.

   Capitalisation and Write-Off of Capitalised Exploration Costs

   The determination of when to capitalise and write-off exploration expenditure requires the exercise of judgement based on various assumptions and other factors such as historical experience, current and expected economic conditions.

   Accounting Standards Issued But Not Yet Effective

   Australian Accounting Standards and interpretations that have been issued or amended but are not yet effective have not been adopted by the Consolidated Entity for the year ended 30 June 2025. The Consolidated Entity plans to adopt these standards at their application dates.

   It is anticipated that the application of these standards will not have a material effect on the Group's results or financial

   report in future periods.

   The director's assessment of the impact of all standards applied during the current year is that they have not had a material

   impact on the financial report of the Group.

3. REVENUE FROM ORDINARY ACTIVITIES

   Interest received - other persons/corporation	2025 $	2024 $
   	147,197	184,206
   	147,197	184,206

4. INCOME TAX

   	2025 $	2024 $
   Prima facie income tax (credit) on operating (loss) at 25% (2024: 25%)	270,431	210,994
   Future income tax benefit in respect of timing differences - not recognised	(270,431)	(210,994)
   Income tax expense	-	-

   No provision for income tax is considered necessary in respect of the Group as at 30 June 2025. The Group has a deferred income tax liability of Nil (2024: Nil) associated with exploration costs deferred for accounting purposes but expensed for tax purposes. This liability has been brought to account and offset by deferred tax assets attributed to available tax losses. No recognition has been given to any deferred income tax asset which may arise from available tax losses, except to the extent offset against deferred tax liabilities. The Group has estimated its losses at $17,954,127 (2024: $13,118,681) as at 30 June 2025. There was no adjustment to deferred tax during the year. A benefit of 25% (2024: 25%) of approximately

   $4,488,531(2024: $3,279,670) associated with the tax losses carried forward will only be obtained if:

   − The Group derives future assessable income of a nature and of an amount sufficient to enable the benefit from the deductions for the losses to be realised.

   − The Group continues to comply with the conditions for deductibility imposed by the law.

   − No changes in tax legislation adversely affect the Group in realising the benefit from the deductions for the losses.

5. CASH AND CASH EQUIVALENTS

   Cash at bank	2025 $	2024 $
   	3,730,643	4,313,778
   	3,730,643	4,313,778

   Bank negotiable certificates of deposit, which are normally invested between 30 and 365 days were used during the period and are used as part of the cash management function.

6. RECEIVABLES - CURRENT

   	2025	2024
   	$	$
   Trade receivables	3,379	3,379
   Other debtors	2	2
   Interest receivables	33,962	60,008
   GST receivables	19,361	17,163
   Prepayments	18,801	18,294
   	75,505	98,846

7. DEFERRED EXPLORATION AND EVALUATION EXPENDITURE

   	2025 $	2024 $
   Costs brought forward	7,982,244	7,190,147
   Costs incurred during the period	353,815	1,188,386
   Expenditure written during the period	(528,549)	(396,289)
   Costs carried forward	7,807,510	7,982,244
   Exploration expenditure costs carried forward are made up of:
   Expenditure on joint arrangement areas	50,000	50,000
   Expenditure on non joint arrangement areas	7,757,510	7,932,244
   Costs carried forward	7,807,510	7,982,244

   The above amounts represent costs of areas of interest carried forward as an asset in accordance with the accounting policy set out in Note 2. The ultimate recoupment of deferred exploration and evaluation expenditure in respect of an area of interest carried forward is dependent upon the discovery of commercially viable reserves and the successful development and exploitation of the respective areas or alternatively sale of the underlying areas of interest for at least their carrying value. Amortisation, in respect of the relevant area of interest, is not charged until a mining operation has commenced.

8. PAYABLES - CURRENT LIABILITIES

   	2025	2024
   	$	$
   Trade creditors	124,071	109,938
   Accrued expenses	93,913	72,490
   	217,984	182,428

9. CONTRIBUTED EQUITY

   	2025 $	2024 $
   (a) Share capital
   126,089,947 fully paid ordinary shares (2024: 1,241,946,517) Fully paid ordinary shares carry one vote per share and carry the right to dividends.	27,949,279	27,877,279
   Share issue costs	(1,479,142)	(1,479,142)
   	26,470,137	26,398,137
   	Number	$
   Movements in ordinary shares on issue
   At 30 June 2023	1,241,946,517	27,877,279
   Shares issued	-	-
   At 30 June 2024	1,241,946,517	27,877,279
   Share consolidation	(1,117,751,306)	-
   Shares issued	1,894,736	72,000
   At 30 June 2025	126,089,947	27,949,279

   (b) Options and performance rights

   Date	Number of options/rights	Exercise price	Expiry date	Vested and exercisable at end of the year number	Weighted average exercise price
   Unlisted
   At 1 July 2023	61,615,519			61,615,519	$0.0320
   30 September 2023	(20,350,000)	$0.0400	30 Sep 23	(20,350,000)	$0.0427	(a)
   7 December 2023	(1,500,000)	$0.0800	7 Dec 23	(1,500,000)	$0.0427	(b)
   19 December 2023	46,500,000	-	18 Dec 28	46,500,000	$0.0000	(c)
   At 30 June 2024	86,265,519			86,265,519	$0.0120

   1. There were 20,350,000 options at $0.004 each not exercised and lapsed on 30 September 2023.

   2. There were 1,500,000 options at $0.008 each not exercised and lapsed on 7 December 2023.

   3. Allot of 46,500,000 options to Directors and consultants under Performance Rights at nil consideration approved by shareholders at the AGM on 21 November 2023.

      Date	Number of options/rights	Exercise price	Expiry date	Vested and exercisable at end of the year number	Weighted average exercise price
      Unlisted
      At 1 July 2024	86,265,519			86,265,519	$0.0120
      25 November 2024	(18,688,967)	$0.00500	30 Sep 25	(18,688,967)	$0.005	(d)
      25 November 2024	(19,000,000)	-	28 Nov 27	(19,000,000)	-	(e)
      25 November 2024	(46,500,000)	-	18 Dec 28	(46,500,000)	-	(f)
      29 November 2024	6,550,000	-	28 Nov 29	6,550,000	-	(g)
      At 30 June 2025	8,626,552			8,626,552	-

   4. Reduction of 18,688,967 options from 10:1 consolidation.

   5. Cancellation of 19,000,000 Performance Rights at nil consideration.

   6. Cancellation of 46,500,000 Performance Rights at nil consideration.

   7. Issue of 6,550,000 Performance Rights to Directors and consultants at nil consideration approved by shareholders at the AGM on 21 November 2024.

   Weighted average disclosures on options and performance rights

   	2025	2024
   Weighted average exercise price of options/rights at 1 July	$0.0120	$0.0320
   Weighted average exercise price of options/rights granted during period	-	-
   Weighted average exercise price of options/rights outstanding at 30 June	$0.1204	$0.0120
   Weighted average exercise price of options/rights exercisable at 30 June	$0.1204	$0.0120
   Weighted average contractual life	3.41 years	3.46 years
   		$0.0400 -
   Range of exercise price	$0.0-$0.5	$0.0800

   Terms and Conditions of Contributed Equity

   Ordinary Shares

   Ordinary shares have the right to receive dividends as declared and, in the event of winding up the Company, to participate in the proceeds from the sale of all surplus assets in proportion to the number of and amounts paid up on shares held. Ordinary shares entitle their holder to one vote, either in person or by proxy, at a meeting of the Company.

   Options and performance rights

   Options and performance rights do not carry voting rights or rights to dividend until they are exercised.

10. RESERVES/SHARE-BASED PAYMENTS

    Reserves

    	2025 $	2024 $
    Balance at 1 July	281,941	872,110
    Share-based payment expense during the financial year	191,727	153,082
    Cancelled/expired share option value transferred to accumulated losses	(74,355)	(743,251)
    Balance at 30 June	399,313	281,941

    The share-based payment plans are described below. There have been no cancellations or modifications to any of the plans during 2025 and 2024.

    Types of Share-Based Payment Plans

    Share-Based Payments

    An Employee Share Option Plan (ESOP) has been established where selected officers and employees of the Company can be issued with options and performance rights over ordinary shares in Eastern Resources Limited. The options and performance rights, issued for nil consideration, will be issued in accordance with a performance review by the Directors. The options and performance rights cannot be transferred and will not be quoted on the ASX.

    Summary of ESOP Options and Performance Rights Granted By The Parent Entity

    	2025 no.	2024 no.
    Outstanding at the beginning of the year	69,275,001	44,605,001
    Granted during the year	6,550,000	46,500,000
    Cancelled/expired during the year	(69,275,001)	(21,830,000)
    Outstanding at the end of the year	6,550,000	69,275,001

    Options/Rights Pricing Model and Terms of Options/Rights

    The following table lists the inputs to the options/rights model and the terms of options/rights granted:

    Grant date	Number of options/rights issued	Exercise price	Expiry date	Expected volatility	Risk-free rate	Expected life years	Estimated Model fair value used
    Nov 24	6,550,000	-	28 Dec 29	100.00%	4.350%	5.0	$0.0400 Black-scholes (a)

    1. There were 6,550,000 options issued to Directors and consultants under Performance Rights at nil cash consideration approved by shareholders at the AGM on 21 November 2024.

       The options vested on grant date.

11. EARNINGS PER SHARE

    	2025	2024
    Net profit/(loss) used in calculating basic and diluted gain/(loss) per share	(1,081,725)	(843,974)
    	Number	Number
    Weighted average number of ordinary shares outstanding during the year		124,194,652 Cents per share
    used in calculation of basic EPS	124,306,779
    	Cents per share
    Basic earnings (loss) per share	(0.87)	(0.68)
    Diluted earnings (loss) per share	(0.87)	(0.68)

    The weighted average ordinary share numbers above have been adjusted as if the 10:1 share consolidation occurred on 1 July 2023.

12. KEY MANAGEMENT PERSONNEL

Key Management Personnel Compensation

The aggregate compensation made to key management personnel of the Group is set out below:

Shareholdings of Key Management Personnel

Fully paid ordinary shares held in Eastern Resources Limited

Option Holdings of Key Management Personnel

Share options held in Eastern Resources Limited