Red5 Annual Report 2022

59 2022 ANNUAL REPORT 5 REVENUE AND EXPENSES Consolidated Year ended 30 June 2022 30 June 2021 $’000 $’000 (a) Revenue Gold and silver sales 162,899 189,711 Realised gains/(losses) on cashflow hedges 2,063 (16,353) 164,962 173,358 (b) Cost of sales Operating costs (153,934) (147,848) Depreciation and amortisation (1) (42,115) (23,202) (196,049) (171,050) (c) Other income Other income 208 692 208 692 (d) Administration and other expenses Employee and consultancy expenses (5,750) (4,109) Share-based payments (4,171) (1,767) Corporate costs (1,547) (1,457) Property and other indirect taxes (931) (201) Legal fees (379) (878) Depreciation (399) (291) Travel and accommodation (205) (59) Acquisition related costs - (176) Foreign exchange gains 647 2 Other administration overheads (636) (636) (13,371) (9,572) (e) Care and maintenance (2) Fuel and utilities - (1,026) Other costs - (160) External services - (848) Materials and consumables used - (35) - (2,069) (f) Finance income / (expenses) Interest income 8 347 8 347 Interest expense on borrowings and leases (1,867) (921) Amortisation of borrowing costs (90) (150) Unwinding of discount on rehabilitation provision (858) (161) Unrealised loss on fuel hedges - (113) (2,815) (1,345) (2,807) (998) (1) With Darlot underground transitioning to a satellite mine providing ore to King of the Hills, accelerated depreciation and impairments for the Darlot Process Plant (now in care and maintenance) were booked during the year and totalled $22.585 million. (2) Care and maintenance costs in 2021 relate to the King of the Hills gold mine, which previously went into care and maintenance in February 2021. Notes to the CONSOLIDATED FINANCIAL STATEMENTS for the year ended 30 June 2022 (cont.)

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