Annual report
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RED HILL MINERALS LIMITED ANNUAL REPORT 2025 1
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CORPORATE DIRECTORY DIRECTORS Joshua Pitt Executive Chairman Garry Strong Non-Executive Director Mark Okeby Non-Executive Director Nanette Allen Non-Executive Director CHIEF EXECUTIVE OFFICER Michael Wall COMPANY SECRETARY Ira Gibbs REGISTERED OFFICE Level 2, 9 Havelock Street, West Perth WA 6005 Tel: (08) 9481 8627 Email: enquiries@redhillminerals.com.au Web: www.redhillminerals.com.au AUDITORS HLB Mann Judd Level 4, 130 Stirling Street, Perth WA 6000 HOME EXCHANGE Australian Securities Exchange Ltd SHARE REGISTRY Automic Group Level 5, 126 Phillip Street SYDNEY NSW 2000 Telephone: 1300 288 664 Email: hello@automic.com.au ASX SHARE CODE RHI
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RED HILL MINERALS LIMITED ANNUAL REPORT 2026 1 CONTENTS LETTER FROM THE CHAIRMAN .......................................................................................................................... 2 HIGHLIGHTS 2026 .............................................................................................................................................. 3 ROYALTIES .......................................................................................................................................................... 4 EXPLORATION PROJECTS .................................................................................................................................... 7 COMPLIANCE STATEMENTS ............................................................................................................................. 30 MINERAL TENEMENT INFORMATION .............................................................................................................. 31 DIRECTORS’ REPORT ........................................................................................................................................ 32 AUDITOR’S INDEPENDENCE DECLARATION ..................................................................................................... 41 CONSOLIDATED STATEMENT OF PROFIT OR LOSS AND OTHER COMPREHENSIVE INCOME ........................... 42 CONSOLIDATED STATEMENT OF FINANCIAL POSITION ................................................................................... 43 CONSOLIDATED STATEMENT OF CHANGES IN EQUITY .................................................................................... 44 CONSOLIDATED STATEMENT OF CASH FLOWS ................................................................................................ 45 CONTENTS OF THE NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS ................................................ 46 NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS ............................................................................... 47 CONSOLIDATED ENTITY DISCLOSURE STATEMENT .......................................................................................... 64 DIRECTORS’ DECLARATION .............................................................................................................................. 65 INDEPENDENT AUDITOR’S REPORT ................................................................................................................. 66 MINERAL RESOURCES AND ORE RESERVES ..................................................................................................... 71 ADDITIONAL INFORMATION ............................................................................................................................ 72
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RED HILL MINERALS LIMITED ANNUAL REPORT 2026 2 LETTER FROM THE CHAIRMAN Dear Shareholders, The Onslow Iron Project has reached nameplate capacity and the revenue achieved from our 0.75% royalty for FY26 was $28.8 million. This receipt was buoyed by the continuation of firm iron ore prices throughout the year. We will continue our dividend policy of distributing half of our royalty receipts with a final dividend declared for FY26 of 10.8 cents per share, totalling the dividend for FY26 of 22.4 cents per share. At year end we had maintained a healthy cash balance of $ 62.77 million that, together with our ongoing royalty income, provides us with the capacity to fund our exploration projects and the ample potential to secure additions to our royalty portfolio. Our other current royalty interests are a 2% Gross Revenue Royalty held over a central portion of Brightstar Resources Ltd’s Sandstone Gold Project, which is advancing rapidly towards the completion of a PFS, and a 1.5% NSR over the Thomson Project of Legacy Minerals Holdings Ltd. Our team has been very active with diamond drilling and reverse circulation programs advancing our key targets for Tier 1 ore bodies. We carried out 9 deep diamond drill holes for the Curnamona Joint Venture completing our 75% earn-in expenditure of $6.5 million in the process. This joint venture is comprised of the Anabama and Broken Hill Projects - both proximal to the SA-NSW border. Two diamond drillholes at the Central Target of the Anabama Project , tested below the bottom of historic drilling, confirming that the copper -gold mineralisation continue s at d epth with strong hydrothermal alteration. Subsequent downhole electromagnetics have defined an exciting off hole anomaly boosting our confidence in the resource potential. Subsequent to year end, two further deep diamond drillholes have been completed with assays pending. Diamond drilling was carried out at three targets at the Broken Hill Project with the highlight being at the Dementus Target where we intersected a highly prospective BHT lode horizon of 250 metres width that was anomalous in lead and revealed key textural features. We will return shortly for follow up drilling of this exciting prospect as well as new targets defined by the recently completed, extensive gravity and MMT surveying. Several targets were also tested at our Red Hill Project with the focus on better defining the gold mineralisation at the Barkley Target. Heritage surveys are now under way prior to continuing the project appraisal which will include returning to the S-Bend Target where a moving-loop electromagnetic geophysical anomaly associated with broad zinc mineralisation will be diamond drilled. An application for EIS government funding for this drilling was submitted and, if successful, will contribute up to $180,000 of drilling costs. Mike Wall and his team have had a busy year both undertaking our targeted exploration work and reviewing many opportunities for expanding our royalty portfolio. I would like to thank them for their efforts and you, our shareholders, for your ongoing support. Joshua Pitt Chairman
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RED HILL MINERALS LIMITED ANNUAL REPORT 2026 3 HIGHLIGHTS 2026 Red Hill Minerals Limited (Red Hill or the Company) had a successful year with safe and efficient exploration activities focussing on the West Pilbara of WA and the Curnamona region that straddles the SA-NSW border. We have identified these regions as prime target areas for Tier 1 gold and base metal discov eries. The year also saw the Onslow Iron Project reach nameplate capacity 1 resulting in a solid appreciation of our royalty revenue from that source. The Red Hill exploration team has established a robust foundation to sustain ongoing systematic exploration and is well -positioned to broaden its focus to additional opportunities. The Company is strongly placed to generate shareholder value through both exploration success and the creation or acquisition of royalties. Key achievements for the financial year: • Total income of $31.56 million including Onslow Iron Project royalty income of $28.8 million. • Profit before tax of $28.8 million and net profit after tax of $20.1 million. • Earnings per share 31.27 cents per share. • Payment of two fully franked dividends totalling $11.6 million or 18.1 cents per share during FY2026. A final dividend declared for financial year ended 30 June 2026 of $6.9 million or 10.8 cents per share fully franked to be paid on 30 September 2026. • Cash balance at 30 June 2026 of $62.77 million. • Earned our 75% interest in the Curnamona Joint Venture by meeting earn-in requirement to spend $6.5 million within five years on exploration at the Broken Hill and Anabama Projects in the Curnamona Joint Venture with Spectre Metals Ltd. Diamond drilling at the Anabama Copper-Gold Target
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RED HILL MINERALS LIMITED ANNUAL REPORT 2026 4 ROYALTIES ONSLOW IRON PROJECT ROYALTY Red Hill Minerals ’ 0.75% FOB royalty over the Onslow Iron Project , located in Western Australia and is operated by Mineral Resources Limited (ASX: MIN) (‘MinRes’) generated $28.8 million in revenue, in line with our forecast. The project reached its 35 Mtpa nameplate capacity in August 20251. The royalty revenue stream on iron ore payable to Red Hill covers a combined Mineral Resource Estimate of over 1.1 billion tonnes of iron ore and will be sourced from (Figure 1): i. all future production from the RHIOJV tenements . At the commencement of mining in June quarter 2024, there was a Mineral Resource2 of 744 Mt at a grade of 56.3% iron. ii. for the first 10 years, all production from the Australian Premium Iron Joint Venture owned Upper Red Hill Creek tenement, if the Project expands into that tenement that has a Mineral Resource3 of 91.8 Mt at a grade of 57.1% iron, and iii. all production from the Mineral Resources Limited owned Bungaroo South tenement if developed in association with the RHIOJV tenements that has a Mineral Resource 4 of 283 Mt at a grade of 56.5% iron. MinRes in their June 2026 Quarterly Report5 reported a current annualised run rate of approximately 38.4 Mtpa (wmt), exceeding its nameplate capacity of 35 Mtpa (wmt). Shipping costs, which form part of the royalty calculation, have increased due to the conflict in the Middle East. Figure 1: Onslow Iron Project and Royalty Location Plan
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RED HILL MINERALS LIMITED ANNUAL REPORT 2026 5 SANDSTONE ROYALTY The Company owns a 2% Gross Revenue Royalty over part of Brightstar Resources Limited’s (ASX: BTR) Sandstone Gold Project6 tenements in Western Australia. Brightstar announced an increase in their Sandstone Hub Mineral Resource Estimate to 2.9 Moz (Figure 2). The deposits covered by the Red Hill Sandstone Royalty contain a Mineral Resource Estimate of 35.2 Mt at 1.3 grams per tonne gold for 1,341,000 ounces7. Brightstar reported that a further Mineral Resource Estimate upgrade is expected later this year along with the delivery of a Pre -Feasibility Study and maiden Ore Reserve in the second half of CY 2026 7 for the Sandstone Gold Project. THOMSON ROYALTY The Company owns a 1.5% Net Smelter Royalty (NSR) over the Intrusion Related Gold and Copper Thomson Project tenements8 in New South Wales. The tenements subject to the Royalty form part of ASX-listed Legacy Minerals Holdings Limited’s (ASX: LGM) Intrusion Related Gold and Copper Thomson Project and covers approximately 553 square kilometres. The tenements host several untested or underexplored magnetic anomalies, providing potential for a major intrusion related copper-gold discovery.
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RED HILL MINERALS LIMITED ANNUAL REPORT 2026 6 Figure 2: Brightstar Resources’ Sandstone Gold Project Mineral Resource7 and the Red Hill Minerals’ Royalty area
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RED HILL MINERALS LIMITED ANNUAL REPORT 2026 7 EXPLORATION PROJECTS THE CURNAMONA JOINT VENTURE (EARNING UP TO 75%) The Curnamona Joint Venture comprises the Broken Hill and Anabama Projects in highly prospective terrain covering approximately 1,835 square kilometres (Figure 3). Red Hill Minerals has successfully earned 75% interest9 in the joint venture, having met its $6.5 million expenditure commitment. The Broken Hill region is one of the most highly mineralised provinces in Australia and is considered prospective for copper, gold, lead, zinc, silver, nickel, cobalt, molybdenum, uranium and platinum group elements (PGEs). The Anabama region, located approximately 140 kilometres southwest of Broken Hill within the Olary Province of South Australia, is prospective for copper, gold and uranium, and hosts historic copper workings. Figure 3: Location Plan of The Curnamona Joint Venture Tenements
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RED HILL MINERALS LIMITED ANNUAL REPORT 2026 8 THE BROKEN HILL PROJECT The Broken Hill Project is located in New South Wales adjacent to the South Australian border approximately 30 kilometres northwest of Broken Hill township. The large 860 square kilometre project area is under - explored, mostly due to the thick cover sequences, but significant potential exists for a Tier 1 lead-zinc-silver base metal system. Mineralisation is known to exist over a large area within the tenements which host the highly prospective Willyama Supergroup where occurrences of interpreted Broken Hill Type (BHT) and Sedimentary Exhalative (SEDEX) lead-zinc-silver mineralisation occur primarily within equivalents of Broken Hill Group units, along with promising copper and gold intercepts in the Thackaringa Group. Previous explorers have recognised the potential of the area around the Broken Hill Project to host several additional styles of mineralisation, including: • Shear hosted copper-cobalt in the Thackaringa Group (e.g. Copper Blow), • Iron-oxide-copper-gold (IOCG) near the redox boundary, and • Nickel-copper-PGE associated with ultramafic sills. During the financial year the Company completed its maiden drill program with a 3,734-metre diamond drilling greenfields exploration program targeting prospective stratigraphic horizons and associated lead-zinc- silver Broken Hill Type (BHT) at Dementus, Woolly and Immortan, and polymetallic copper-gold mineralisation at K110. At the Dementus Target, drilling intersected over 250 metres of a highly prospective BHT lode horizon package including key textural features and anomalous lead. A second zone with elevated zinc was encountered deeper in the hole. Assay results included: • 91.1 metres at 0.1% lead and 0.3 grams per tonne silver from 328 metres, and • 152.6 metres at 0.2% zinc and 1.3 grams per tonne silver from 658 metres in 25DMDD001. The presence of lead dominant sulphide mineralogy, classic BHT textures, encouraging alteration index geochemistry and broad width of the sequence confirms the significant exploration potential of the Dementus Target. A downhole -EM survey was also completed on this hole, identifying conductors that indicate updip-continuation of intersected mineralised intervals. Infill gravity survey and a 122-station audio-magnetotelluric (AMT) survey were completed at the Dementus and Immortan Targets to assist in refining the structural interpretation of the target areas for follow up drill planning (Figure 4). Processed gravity and AMT survey data was received from the Dementus and Immortan Targets. The high resolution allows refinement of the structural interpretation of the target areas, improving accuracy for follow up drill planning. Two applications for up to $320,000 of funding for diamond drilling and geophysical surveying were granted by the NSW government as part of the Critical Minerals and High-Tech Metals Exploration Program which has helped offset the cost of the exploration program.
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RED HILL MINERALS LIMITED ANNUAL REPORT 2026 9 Figure 4: The Broken Hill Project target location plan with gravity and MT / AMT survey locations and the redox boundary shown on aeromagnetic imagery Diamond drilling at Broken Hill
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RED HILL MINERALS LIMITED ANNUAL REPORT 2026 10 DEMENTUS TARGET The Dementus Target lies under cover, on the Mundi Mundi Plains , within a potential graben structure interpreted from the 2025 gravity and magnetic data. This structural target is interpreted to be favourable for BHT mineralisation with vertical RC drilling completed by BHP in 1998 returning low -grade base metal mineralisation. A diamond drillhole was completed by Red Hill to test this concept to a total de pth of 958 metres in November 2025. 25DMDD001 intersected over 250 metres of highly prospective BHT lode horizon package with key textural features including layers of galena-dominant sulphide assemblages. Significant results from this horizon include10: • 91.1 metres at 0.1% lead and 0.3 grams per tonne silver from 328 metres. Deeper within 25DMDD001, a highly sulphidic Bimba Formation (lower Broken Hill Group) was intersected between 650 and 820 metres. Downhole electromagnetic (DHEM) surveying was carried out post drilling resulting in two modelled conductor plates. These plates align with parts of the intersected mineralised interval, indicating that these intervals may extend up-dip (Figure 5 and Figure 6). Zinc assays from this second horizon within 25DMDD001 include10: • 152.6 metres at 0.2% zinc and 1.3 grams per tonne silver from 658 metres, including • 18.0 metres at 0.5% zinc and 1.7 grams per tonne silver from 706 metres, and • 5.9 metres at 1.0% zinc and 7.9 grams per tonne silver from 784.6 metres. The presence of lead dominant sulphide mineralogy in the upper portion of the hole, classic BHT textures, encouraging alteration index geochemistry and the broad width of the sequence confirms the significant exploration potential of the Dementus Target. The Company believes this combination may indicate proximity toward a vent source in the Lower Broken Hill Group (BHG). High resolution gravity and audio-magnetotelluric (AMT) surveys were completed as follow up to drilling to assist with vectoring in on structures interpreted to be proximal to higher-grade mineralisation. Infill gravity data added significant detail to the existing dataset, reinforcing the previously interpreted graben structure across the regionally mineralised redox boundary. Early interpretation of the AMT/MT data highlights a strike-extensive, unconfirmed conductor at depth and a highly conductive response where gravity data is indicating structural complexity. Reconnaissance for Broken Hill drilling
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RED HILL MINERALS LIMITED ANNUAL REPORT 2026 11 Figure 5: Location plan and diamond drilling results at the Dementus Target Figure 6: Geological cross section A-A’ at the Dementus Target with DHEM plates
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RED HILL MINERALS LIMITED ANNUAL REPORT 2026 12 IMMORTAN TARGET The Immortan Target encompasses an interpreted geological setting of a syncline with a fault terminating the fold to the southeast. This interpreted fault may represent a reactivated fluid pathway. Two 600 -metre diamond drillholes were planned to test this concept for polymetallic BHT mineralisation. In November 2025, one hole was drilled at the Immortan Target for 474 metres before it was terminated early after intersecting interpreted Thackaringa Formation below the regionally persistent amphibolite horizon. The Thackaringa unit is well below the targeted stratigraphy of the Lower Broken Hill Group and, as such, the hole was not continued. The second hole was not drilled due to its proposed position also being too low in the sequence. The Company believes the target remains prospective north of the current drilling, higher in the stratigraphy, given the encouraging structural deformation seen throughout the first drillhole. Further geophysical investigations (gravity and AMT/MT surveys) were completed to increase the understanding of the target area and refine follow-up drill targeting. Modelling of the new geophysical datasets is ongoing. WOOLLY TARGET The Woolly Target is located approximately two kilometres Northwest of base metal mineralisation intercepted by Teck Australia Pty Ltd in 2018 at the Polygonum Target. Based on an updated interpretation of the stratigraphic sequence from historical drilling and newly acquired geophysical data, Red Hill interpreted thickening of a prospective BHT sequence toward the Northwest. Two diamond drillholes were designed to test this concept, with a total of 1,603 metres drilled. Best results from 25WLDD001 include10: • 81 metres at 0.1% zinc and 0.2 grams per tonne silver from 315 metres, • 4.6 metres at 0.3% zinc and 1.6 grams per tonne silver from 545.4 metres, and • 37.5 metres at 0.1% zinc and 1.0 grams per tonne silver from 764 metres. Within 25WLDD002 a siliceous breccia was sporadically intersected throughout the target depths of the gravity inversion and no significant assay results were returned from 25WLDD002. K1 TARGET Red Hill drilled one diamond drillhole to 698 metres at K1 into the modelled magnetic body. The drillhole intersected magnetic Banded Iron Formation (BIF) at the modelled depths but encountered limited brecciation and a lack of hydrothermal veining seen in mineralisation drillholes over the South Australian side of the border. Results from the 2006 Western Plains Gold drilling11 included 0.3 metres at 7.1 grams per tonne gold from 223.2 metres and 1 metre at 4.5 grams per tonne gold from 225 metres in DDHK1-2 but were not replicated along strike by Red Hill on the New South Wales side of the target. 25K1DD001 returned 1 metre at 0.3 grams per tonne gold, 0.7 grams per tonne silver and 0.2% copper from 433 metres and as such the target has been downgraded10.
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RED HILL MINERALS LIMITED ANNUAL REPORT 2026 13 THE ANABAMA PROJECT The Anabama Project covers an area of 913 square kilometres in eastern South Australia, located approximately 140 kilometres southwest of Broken Hill, NSW , within the Olary Province. The project area was expanded by the grant of the Cronje Dam tenement (EL 7135) located imm ediately along strike of the Anabama Target. The project is prospective for copper, gold and uranium and contains numerous historic copper workings. Previous explorers, including Diatreme Resources Limited, Carpentaria Exploration Co Pty Ltd and Placer Exploration Ltd, concentrated on the structurally controlled copper/gold mineralisation at the Cronje Dam, Anabama and White Rocks Targets. Little work has been undertaken since the late 2000s. During the year a maiden diamond drill program was completed at the Anabama Target with follow-up drilling designed to test a strong off-hole conductor that was identified from DHEM survey along strike from a broad 20 metre zone of copper-gold-silver mineralisation intersected in 25ANDD00113. ANABAMA TARGET The Anabama Target is located on the regionally prospective Anabama -Redan Shear Zone which marks the structurally controlled, northwest -dipping contact of the Benda Siltstone with the underlying Boucaut Volcanics. Historic drilling over approximately a two -kilometre section mainly focused on near -surface mineralisation with minimal work undertaken to systematically evaluate the deeper structural corridor (Figure 7). Red Hill completed two diamond drillholes for a total of 945.5 metres in December 2025. Drillhole 25ANDD001 of 501.6 metres was designed to confirm historic results at the main prospect area. It confirmed that the copper-gold mineralisation continues at depth in fresh bedrock some 130 metres below the bottom of historic drillhole CRD1012. Assays from 25ANDD00113 include (Figure 7, Figure 8 and Figure 9): • 20.0 metres at 0.6% copper, 0.2 grams per tonne gold and 3.0 grams per tonne silver from 313.1 metres, including • 3.2 metres at 1.0% copper, 1.0 grams per tonne gold, 3.8 grams per tonne silver from 313.6 metres, and • 3.8 metres at 1.2% copper, 0.3 grams per tonne gold, 8.1 grams per tonne silver from 324.3 metres. This broad copper -gold-silver mineralised zone , with higher grade intercepts , confirms the association of metals with hydrothermal sources, supporting the interpretation of continued higher-grade mineralisation at depth. The targeted Induced Polarisation (IP) anomaly14,15 correlates with these intersections and downhole electromagnetic surveying was carried out on 25ANDD001. The survey data from 25ANDD001 recorded two conductive plates that appear to be along strike of the intersected copper mineralisation (Figure 8). The latest two -hole 1,431 metre diamond drill program tested this strike extension for continuation of mineralisation; • The first hole (26ANDD001), drilled to 756 metres stepping out 150 metres southwest of the conductive plates identified in 25ANDD001, and • The second hole drilled to 674.9 metres stepping out a further 450 metres to the southwest of 26ANDD001 along strike. Both diamond drillholes have been completed and DHEM and assay results are expected to be received in October.
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RED HILL MINERALS LIMITED ANNUAL REPORT 2026 14 CRONJE DAM TARGET The Cronje Dam Tenement (EL 7135) was granted to Red Hill Minerals through the South Australian Government’s competitive Exploration Release Area (ERA) process. The application was based on the interpretation that copper-gold mineralisation intersected at the Anabama Target may extend along strike of the Anabama–Redan Shear Zone, continuing southwest through the Cronje Dam area. The total strike length on the Red Hill controlled tenure of the target horizon has now increased to greater than 25 kilometres (Figure 3). Historical exploration at Cronje Dam Target identified an approximately four -kilometre-long trend of anomalous bottom of hole RAB copper results 16 associated with a corridor of historic workings. There has only been limited drilling, making the project a compelling exploration opportunity. The Company is digitising and extracting historic data for targeting and carrying out geological reconnaissance. Rock chip sampling outcrop at Anabama
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RED HILL MINERALS LIMITED ANNUAL REPORT 2026 15 Figure 7: Diamond drillhole locations and assay results at the Anabama Copper-Gold Target
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RED HILL MINERALS LIMITED ANNUAL REPORT 2026 16 Figure 8: Geological section, looking northeast, showing interpreted copper mineralisation, drill hole 26ANDD001 designed to test the off-hole conductor along strike from 25ANDD001
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RED HILL MINERALS LIMITED ANNUAL REPORT 2026 17 Figure 9: Diamond drill core photos from 313.1 to 333.1 metres in 25ANDD001 that intercepted quartz- carbonate veining hosting high-grade copper – gold - silver mineralisation
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RED HILL MINERALS LIMITED ANNUAL REPORT 2026 18 THE WEST PILBARA GOLD AND BASE METAL PROJECT (100% RHI) The West Pilbara Project covers a contiguous area of 1,600 square kilometres within the Ashburton Basin, adjacent to the western margin of the Hamersley Basin (Figure 10). The Company retains 100% of the rights to all minerals other than iron ore over the RHIOJV tenements (listed in the attached Tenement Schedule). While historical exploration of the tenement package has predominantly focused on iron ore, the Company considers the area to hold significant potential for gold and base metal mineralisation. Red Hill is focused on systematically exploring the project area using modern exploration techniques. The Company previously completed a 5,905 line-kilometre VTEM MAX airborne survey over the northern half of the West Pilbara Project, which has been utilised to identify targets for gold and base metal mineralisation17. During FY26, heritage surveys were completed at various targets with both the Robe River Kuruma people and the Puutu Kunti Kurrama and Pinikura people, in preparation for site access and drilling. A total of 18 RC drillholes for 3,476 metres were drilled, providing initial proof of concept and extensional testing of several gold and base metal targets, including Barkley, G1, and King Brown. A borehole imaging program using optical and acoustic scanners (BHTV) was conducted upon completion of the drilling campaign on all open RC collars, obtaining in -situ structural information otherwise not captured due to the nature of RC sampling. Geological mapping and rock chip sampling of high -priority target areas continued, with an increased focus on the southern portion of the project area. Heritage survey in the West Pilbara
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RED HILL MINERALS LIMITED ANNUAL REPORT 2026 19 Figure 10: West Pilbara Project Location Plan
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RED HILL MINERALS LIMITED ANNUAL REPORT 2026 20 TARGET DETAILS BARKLEY GOLD TARGET The Barkley Gold Target is located proximal to the major northwest -trending Deepdale Fault system, which separates the stratigraphy of the Hamersley and Ashburton Basins. Previous exploration drilling by the Company18,19,20,21,22 defined mineralisation associated with faults or shears into anticlinal zones and along favourable geological contacts, with intercepts including 4 metres at 4.1 grams per tonne gold from 65 metres in 23BKRC008, 3 metres at 2.0 grams per tonne gold from 9 metres in 25BKRC007 and 9 metres at 2.4 grams per tonne gold from 133 metres in 25BKRC008 which remain open in several directions (Figure 11). Mineralisation is present in both weathered and fresh rock. Bedrock alteration and structural overprinting have been observed in diamond drill core to increase with depth, including hematite alteration, observed from approximately 190 metres in EIS-funded diamond hole 25BKDD002, suggesting an increasing alteration overprint at depth. Similar alteration is now also being identified in RC drilling, with hematite-altered sample piles evident in some drillholes. During the year, 12 RC holes for 2,332 metres were completed to test extensions of mineralisation beyond previous drilling, targeting open areas where drilling approvals had been obtained. The drilling intersected geology consistent with previous drilling campaigns. Petrological analysis on selected diamond core samples has commenced to support geological and mineralisation interpretation. Detailed geochemical analysis of pathfinder signatures is also underway to refine lithological classifications and improve unders tanding of geochemical controls associated with mineralisation. Initial 3D geological modelling of the Barkley project is ongoing and will incorporate the latest drilling results together with structural data acquired from the Borehole Televiewer (BHTV) surveys. Figure 11: Gold results, RC and diamond drill hole locations at the Barkley Gold Target
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RED HILL MINERALS LIMITED ANNUAL REPORT 2026 21 G1 GOLD TARGET The G1 Gold Target is approximately nine kilometres to the north of the Barkley Gold Target and features favourable geology and structure (Figure 12). Reconnaissance mapping has identified Wooly Formation dolomite in contact with outcropping chert breccias, the latter interpreted to be associated with a similar structural setting as observed at Barkley. Exploration results have highlighted an area of significant gold and pathfinder anomalism with soil samples up to 367 ppb gold. Limited historic RC drilling has occurred at the prospect in 2007 and 201723 with results including: • 12m at 0.4 grams per tonne gold from surface, and • 4m at 0.1 grams per tonne gold from 20m in WPRC17015, • 1m at 0.5 grams per tonne gold from 89m in CBI005, • 1m at 0.9 grams per tonne gold from 218m in CBI006, • 1m at 0.1 grams per tonne gold from 3m in CBI009. Three RC drillholes were drilled during the year for a total of 606 metres with the aim of testing the source of anomalous gold values in soil samples and previous drilling interpreted to be related to structures under cover which were observed in outcrop nearby and interpreted in magnetic data. Drilling encountered several intersections of sulphides associated with quartz veining. Samples have been submitted to the lab and assays remain pending. Figure 12: RC drill hole locations and the G1 Gold Target
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RED HILL MINERALS LIMITED ANNUAL REPORT 2026 22 KING BROWN BASE METAL TARGET The King Brown Base Metal Target was identified due to its favourable geological setting, with Mt McGrath Formation (quartzites, siltstones) in contact with dolomitic units (Duck Creek Dolomite or Wooly Formation), structural complexity, identified during geological reconnaissance, and high base metal anomalism in historic soil samples (Figure 13). During the year, three RC holes were drilled for 538 metres with two holes drilled to the southwest, targeting a geochemical anomaly associated with an interpreted fault and textures indicating the former presence of sulphides within nearby outcropping breccias along strike. The third hole was drilled to the northeast, targeting a geochemical anomaly associated with observed breccia and a tight synform -antiform feature, bounded to the west by a fault. Difficulties during drilling indicate structural complexity, with one hole abandoned due to multiple cavities at depth in line with expected intersection of the interpreted structure. Samples have been submitted to the lab and assays remain pending. Figure 13: RC drill hole locations and the King Brown Target
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RED HILL MINERALS LIMITED ANNUAL REPORT 2026 23 S-BEND BASE METAL TARGET The S -Bend target encompasses 6.2 kilometres of prospective faulted contacts between the Duck Creek Dolomite and the June Hill Volcanics. Several RC holes were previously drilled21,22 to test a VTEM target at S- Bend, with anomalous zinc mineralisation intersected in a number of holes over a two kilometres strike area (Figure 14). Logging of the RC drill cuttings identified several sulphide-bearing intervals, including vein-hosted mineralisation, with the target remaining open. A review of the geophysical datasets, including data from a ground EM survey, resulted in a reinterpretation of the geological model. An application was subsequently submitted under Round 34 of the Western Australian Government’s Exploration Incentive Scheme (EIS) to support diamond drilling aimed at testing the VTEM target at depth, which was not adequately tested by hole 24SBRC005. If the application is successful, the Company will be eligible for reimbursement of up to $180,000 in diamond drilling costs. A heritage survey is scheduled for later this year, with diamond drilling planned for next year (Figure 14). Figure 14: Moving Loop Electromagneitc (MLEM) conductor plates and location of the proposed EIS diamond drillholes at the S-Bend Target
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RED HILL MINERALS LIMITED ANNUAL REPORT 2026 24 HUNTER ZONE GOLD TARGET The Hunter Zone gold target follows a regional structural corridor, the Hunter Fault Zone, which is evident in geological and geophysical data, and has previously attracted interest from various explorers (Figure 10). The target is interpreted to be prospective for orogenic-style gold mineralisation. During the year t he tenement (E08/3540) was granted and Native Title and access agreements finalised. Geological reconnaissance, and an ethnographic heritage survey to support preliminary access to the Hunter Fault Zone was completed. Heritage survey at Hunter Zone Gold Target
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RED HILL MINERALS LIMITED ANNUAL REPORT 2026 25 THE PANNAWONICA IRON ORE PROJECT (100% RHI) The Pannawonica Iron Ore Project is located in the West Pilbara and contains an Ore Reserve24 of 4.68 million tonnes at 56% iron using a 54.5% iron cut-off grade, within a total Mineral Resource25 of 62.5 million tonnes at 53.4% iron at a 52% iron block model cut-off grade (Figure 15). During the year c onsolidated technical reports for the Pannawonica Project were completed for terrestrial fauna, troglofauna, vegetation and flora. These reports will be used to inform and support further development studies carried out for Pannawonica. During the year the miscellaneous licence application L08/305, which was applied for as the proposed haul road corridor and links into third party haul route options, was granted. All third-party access agreements are in place. Ethnographic and archaeological heritage surveys were completed for proposed access tracks, laydown areas and potential water bore locations at both Redgate and Whitegate. Applications for 5C and 26D licenses (to take groundwater and construct bores, respectively) are in preparation for submission, to support future project development and operations. The Company also owns the Three Peaks Hard Rock Deposit which is on a granted mining lease and previous test work has shown the material could be used as a source for concrete or asphalt aggregates, high-quality road bases or unbound pavement material in the development of any infrastructure associated with the Pannawonica Iron Ore Project. Figure 15: The Pannawonica Iron Ore Project
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RED HILL MINERALS LIMITED ANNUAL REPORT 2026 26 SUSTAINABILITY Red Hill Minerals integrates sustainable business practices throughout all operational facets, demanding both high performance and adaptability to evolving business and on-site environments, ultimately supporting the Company’s growth and longevity. Red Hill Minerals’ success in the field is intrinsically tied to these sustainable practices. Key business areas in which the Company has identified the need to ensure sustainable practices include: • People • Health and Safety • Corporate Governance • Community, Social Responsibility and Environment PEOPLE The Company consists of a small, dynamic team which allows for flexibility, creativity and innovation. These are critical factors in successful mineral exploration. It employs full-time, part-time and casual workers and uses some long-term consultants for specific advice. The Company’s employees and its consultants have diverse backgrounds including a broad range of technical and corporate experience as well as a variety of ages, genders and nationalities. Opportunities for personnel to develop skills supporting their careers are sought and encouraged whilst policies and procedures are developed and maintained to attract and retain the right talent for successful exploration. Red Hill Minerals has an Employee Securities Incentive Plan in place with the objectives of the Plan to: • Assist in the reward, retention and motivation of Eligible Participants; • Link the reward of Eligible Participants to shareholder value creation; and • Align the interests of Eligible Participants with shareholders of the Company and its related entities by providing an opportunity to Eligible Participants to receive an equity interest in the Company in the form of securities. By investing in its people, Red Hill Minerals is working to: • Ensure geological knowledge is retained, which is important in the systematic and efficient exploration of large project areas; • Develop a team that can rapidly adapt to new areas and perform efficiently from the start; and • Allow for different opinions and ideas to be discussed and reviewed, encouraging alternative and progressive exploration thinking. A team with a strong, cohesive work ethic will facilitate long-term involvement and support a successful and rewarding work environment. Performance reviews are conducted on an annual basis. HEALTH AND SAFETY The Company is committed to providing an accident and injury -free workplace and to protecting the health and wellbeing of its personnel in a supportive work environment free from bullying and harassment. Red Hill Minerals takes measures to safeguard the health, safety and wellbeing of its employees, contractors and visitors by: • Providing essential training, supervision and resources to uphold a safe and healthy work environment and ensuring clear communication and collaboration with employees, contractors and other stakeholders; • Thoroughly investigating and reporting all incidents and implementing corrective and preventative measures to guard against and mitigate recurrence; and
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RED HILL MINERALS LIMITED ANNUAL REPORT 2026 27 • Consistently enhancing Health and Safety systems via comprehensive risk identification, robust management systems and routine review processes that involve the field team and are supported by external health, safety and hygiene consultants when necessary. These commitments are endorsed by the Company’s Board and Management. An Employee Assistance Program is in place and available to all employees and their families on a confidential basis. During the year, there were no lost time injuries (LTIs). CORPORATE GOVERNANCE The Board of our Company ensures that the Company upholds the highest standard s of corporate governance. The Board believes that governance reflects the Company’s commitment to maintaining transparency, accountability and ethical leadership. Red Hill Minerals acts with integrity in all its business engagements and interactions with stakeholders, including shareholders, employees, JV partners, Traditional Owners, pastoralists, government, contractors and the community. These relationships enhan ce the Company’s ability to access Company project areas unimpeded with the approval of relevant landholders, enabling on-ground personnel to focus on exploration operations. Details of the corporate governance practices adopted by Red Hill Minerals can be found in our ‘Corporate Governance Statement for the Financial Year ended 30 June 2026’ lodged with the ASX and included on our website. COMMUNITY , SOCIAL RESPONSIBILITY AND ENVIRONMENT Red Hill Minerals is committed to minimising the potential impact that its exploration activities may have on the environment and communities through a sustainable and collaborative process. During planning, making business decisions and when operating in the field, the effect on our people, their families, stakeholders and the environment is always taken into account. We ensure this by: • Continuously improving Health, Safety, Environmental and Community (HSEC) performance through identifying potential risks, implementing effective management systems and strategies, and consistently reviewing the processes in place; • Respecting cultural heritage, customs and traditions by avoiding or mitigating impacts through early engagement, meaningful consultation and agreed processes for cultural heritage protection where appropriate; • Maintaining currency and complying with changes to legislation and standards which impact business operations as well as operating within the framework of applicable local laws and licence requirements; and • Working with landholders to ensure a cooperative approach and minimise our impact on stakeholder activities and environmental footprint. The Company is passionate about and committed to ensuring the sustainability of the mineral exploration industry. Red Hill has sponsored two undergraduate Earth Science scholarships with Curtin University. These scholarships assist students with their degrees, providing insight and connections to the exploration and minerals industry, as well as opportunities for Red Hill employees through mentoring. This year we are also sponsoring Adelaide University students moving from second year into third year with geological hammers and hand len ses, providing networking opportunities for Red Hill with Curnamona focussed researchers and potential local employees based in Adelaide.
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RED HILL MINERALS LIMITED ANNUAL REPORT 2026 28 We are also proud to support Australian Earth Science Education (AusEarthEd). This not-for-profit organisation promotes earth sciences as a vital part of STEM, showcasing its relevance to global challenges and its potential as a rewarding career path. Diamond drilling at the Anabama Copper-Gold Target
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RED HILL MINERALS LIMITED ANNUAL REPORT 2026 29 REFERENCES TO PREVIOUS ANNOUNCEMENTS 1 Refer ASX: MIN announcement dated 27 August 2025 “FY25 Full Year Results”. 2 Refer ASX: MIN announcements dated 21 May 2025 “Onslow Iron Resources and Reserves Update”. 3 Refer Upper Red Hill Creek Mineral Resource Estimate in report titled “West Pilbara Iron Ore Project BFS Mineral Resource Estimate” dated November 2017. Accessed by https://wamex.dmp.wa.gov.au/Wamex/Search/Reports (where A number = 118791, page 159, of file 1648592-005-R-Rev0 (complete).pdf). 4 Refer ASX: BCI announcement dated 30 August 2016 “BC Iron Mineral Resource and Ore Reserves”. 5 Refer ASX: MIN announcement dated 29 July 2026 “Quarterly Activity Report – Q4 FY26”. 6 Refer ASX: RHI announcement dated 28 April 2025 “Acquisition of Sandstone Gold Project Royalty Expands Red Hill Minerals Royalty Portfolio”. 7 Refer ASX: BTR announcement dated 15 July 2026 “Sandstone Mineral Resource Grows to 2.9 Moz”. 8 Refer ASX: RHI announcement dated 5 May 2025 “Acquisition of Thomson Gold-Copper Project Royalty for the Red Hill Minerals Royalty Portfolio”. 9 Refer ASX: RHI announcement dated 5 July 2024 “Binding Heads of Agreement expands Red Hill’s exploration into the Broken Hill and Olary regions of NSW and SA”. 10 Refer ASX: RHI announcement dated 22 January 2026 “ Exploration Update: Maiden Diamond Drilling Program Completed at Broken Hill Project Broad Broken Hill Type Mineralisation Intersected”. 11 Jones, G.J.;Mason, D.R.;Corbett, W.L.;MacRae, G. Mulyungarie. Annual and final reports to licence expiry/full surrender, for the period 1/12/2004 to 23/3/2012. Mineral Company Report - Mineral Exploration: https://pid.sarig.sa.gov.au/document/mesac24646 12 Refer ASX: RHI announcement dated 1 October 2024 “Curnamona Earn-In JV Exploration Update”. 13 Refer ASX: RHI announcement dated 27 January 2026 “Exploration Update: Maiden Exploration Drilling Results Confirm Copper-Gold at the Anabama Target in South Australia”. 14 Refer ASX: RHI announcement dated 28 July 2025 “Induced Polarisation Survey Highlights 4km Strike Potential at the Anabama Copper-Gold Target”. 15 Refer ASX: RHI announcement dated 18 August 2025 “Further induced polarisation survey lines extend strike potential at the Anabama copper-gold target to 6km”. 16 Refer Open File Envelope No. 3608 – EL 508 and EL 937 Cronje Dam. Progress and final reports to Licence Expiry for the period 21/8/79 to 29/11/84. Carpentaria Exploration Co. Pty Ltd, 1984. 17 Refer ASX: RHI announcement dated 30 January 2023 “Activities Report for the Quarter Ended 31 December 2022”. 18 Refer ASX: RHI announcement dated 27 September 2023 “RC Drilling Intersects Gold Mineralisation at the Barkley Gold Target”. 19 Refer ASX: RHI announcement dated 15 December 2023 “Exploration Update - RC Drilling extends gold system at the Barkley Prospect”. 20 Refer ASX: RHI announcement dated 22 July 2024 “Exploration Drilling Results Expand Gold Targets”. 21 Refer ASX: RHI announcement dated 13 January 2025 “Exploration Drilling Results Continue To Expand Multiple Gold & Base Metal Targets”. 22 Refer ASX: RHI announcement dated 14 July 2025 “Exploration Drilling Results Continue to Expand Multiple Gold & Base Metal Targets”. 23 Refer to WAMEX portal, report A115935 dated 3 July 2018. 24 Refer ASX: RHI announcement dated 23 July 2021 “Pannawonica Iron Ore Project – Ore Reserve Statement Update”. 25 Refer ASX: RHI announcement dated 14 April 2014 “Pannawonica Iron Ore Project: Pre -Feasibility Study Completed With Maiden Ore Reserves”.
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RED HILL MINERALS LIMITED ANNUAL REPORT 2026 30 COMPLIANCE STATEMENTS Streamline Statement (Listing Rule 5.23.2) – The Pannawonica Project Red Hill Minerals Limited is not aware of any new information or data that materially affects the information included in the relevant market announcement and in the case of estimates of Mineral Resources or Ore Reserves that all material assumptions and technical parameters underpinning the estimates in the relevant market announcement continue to apply and have not materially changed. Competent Person Statements The information in this report that relates to data and exploration results is based on information compiled by Mr Michael Wall, Chief Executive Officer, Red Hill Minerals Limited who is a Member of the Australian Institute of Mining and Metallurgy. Mr Wal l is a full -time employee of Red Hill 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 has been undertaken, to qualify as a Competent Person as defined by the 2012 edition of the “Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves”. Mr Wall consents to the report being issued in the form and context in which it appears. Where reference is made to previously reported exploration results in this announcement, the Company confirms that it is not aware of any new information or data that materially affects the information included in those announcements and all material assum ptions and technical parameters underpinning the exploration results included in those announcements continue to apply and have not materially changed. Forward Looking Statements This document may contain certain forward -looking statements which have not been based solely on historical facts but rather on Red Hill Minerals’ expectations about future events and on a number of assumptions which are subject to significant risks, uncertainties and contingencies many of which are outside the control of Red Hill Minerals and its directors, officers and advisers. Forward-looking statements include, but are not necessarily limited to, statements concerning Red Hill Minerals’ planned exploration programme, strategies and objectives of management, anticipated dates and expected costs or outputs. When used in this document, words such as "could", "plan", "estimate", "expect", "intend", "may", potential", "should" and similar exp ressions are forward -looking statements. Due care and attention ha ve been taken in the preparation of this document and although Red Hill Minerals believes that its expectations reflected in any forward-looking statements made in this document are reasonable, no assurance can be given that actual results will be consistent with these forward-looking statements. This document should not be relied upon as providing any recommendation or forecast by Red Hill Minerals or its directors, officers or advisers. To the fullest extent permitted by law, no liability, however arising, will be accepted by Red Hill Minerals or its directors, officers or advisers, as a result of any reliance upon any forward -looking statement contained in this document.
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RED HILL MINERALS LIMITED ANNUAL REPORT 2026 31 MINERAL TENEMENT INFORMATION Mining tenements and beneficial interests held at 30 June 2026: Tenement Location Registered Holding Beneficial Interest E08/1227-I West Pilbara, WA 0% Note 1 E08/1283-I West Pilbara, WA 0% Note 1 E08/1289-I West Pilbara, WA 0% Note 1 E08/1293-I West Pilbara, WA 0% Note 1 E08/1294-I West Pilbara, WA 0% Note 1 E08/1295-I West Pilbara, WA 0% Note 1 E08/1430-I West Pilbara, WA 0% Note 1 E08/1516-I West Pilbara, WA 0% Note 1 E08/1537-I West Pilbara, WA 0% Note 1 E47/1141-I West Pilbara, WA 0% Note 1 E47/1693-I West Pilbara, WA 0% Note 1 M47/1472-I West Pilbara, WA 0% Note 1 M08/483-I West Pilbara, WA 0% Note 1 M08/484-I West Pilbara, WA 0% Note 1 M08/485-I West Pilbara, WA 0% Note 1 M08/480-I West Pilbara, WA 0% Note 2 M08/512-I West Pilbara, WA 0% Note 2 M47/1504-I West Pilbara, WA 0% Note 2a M47/1464-I West Pilbara, WA 0% Note 2 M08/499-I West Pilbara, WA 100% Note 3 M08/500-I West Pilbara, WA 100% Note 3 M08/501 West Pilbara, WA 100% Note 3 M08/505-I West Pilbara, WA 100% Note 3 E08/2729 West Pilbara, WA 100% Note 3 E08/2730 West Pilbara, WA 100% Note 3 E08/3540 West Pilbara, WA 100% Note 3 ELA08/3558 West Pilbara, WA 100% Note 3 ELA08/3753 West Pilbara, WA 100% Note 3 L08/305 West Pilbara, WA 100% Note 3 EL8778 Broken Hill, NSW 100% Note 4 EL8877 Broken Hill, NSW 0% Note 4 EL9108 Broken Hill, NSW 0% Note 4 EL9535 Broken Hill, NSW 0% Note 4 EL9586 Broken Hill, NSW 0% Note 4 EL9673 Broken Hill, NSW 0% Note 4 EL9676 Broken Hill, NSW 0% Note 4 EL9769 Broken Hill, NSW 100% Note 4 EL9807 Broken Hill, NSW 100% Note 3 EL6959 Quondong, SA 0% Note 4 EL7135 Quondong, SA 100% Note 4 Notes: Note 1: Red Hill Minerals Limited has a 100% interest in all minerals other than iron ore pursuant to the RHIOJV Agreement and an Iron Ore Production Royalty Agreement with Mineral Resources Limited. Note 2: Iron Ore Production Royalty Agreement with Mineral Resources Limited. Note 2a: Contingent interest under the Iron Ore Production Royalty Agreement with Mineral Resources Limited. Note 3: 100% Note 4: Red Hill Minerals Limited has earned a 75% interest in the tenements via the Curnamona Joint Venture Agreement with Peel Far West Pty Ltd. The tenements will be transferred to Silverton Minerals Pty Ltd, a wholly owned subsidiary of Red Hill Minerals Limited in due course. Key: E/EL: Exploration Licence ELA: Exploration Licence Application M: Mining Lease L: Miscellaneous Licence Application
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RED HILL MINERALS LIMITED ANNUAL REPORT 2026 32 DIRECTORS’ REPORT The Directors present their Directors’ Report together with the financial statements for the consolidated entity consisting of Red Hill Minerals Limited (‘Red Hill Minerals ’, ‘Red Hill ’ or ‘the Company ’) and its controlled entities (together ‘the Group’) for the financial year ended 30 June 2026. DIRECTORS The names of directors who held office during or since the end of the year and until the date of this report are as follows. Directors were in office for this entire period unless otherwise stated. Joshua Pitt BSc, MAusIMM, MAIG Executive Chairman Experience: Mr Pitt is a geologist with extensive exploration experience who has, for more than forty years, been a director of exploration and mining companies in Australia. Mr Pitt is involved in private mineral exploration and also in substantial resource investments. Mr Pitt was appointed a Director of Red Hill Minerals on its formation in June 2005 and assumed the position of Executive Chairman in December 2019. Directorships held in other listed entities in the last three years: Mr Pitt is a Non-Executive Director at Red Metal Limited (appointed July 2003) and was previously Executive Chairman (resigned 18 June 2024) and Non - Executive Director (appointed 18 June 2024, resigned 31 August 2024) of Liberty Metals Limited (formerly known as Traka Resources Limited). He has held no other directorships of ASX listed companies during the last three financial years. Garry Strong Non-Executive Director Experience Mr Strong is a prospector with a lifetime of experience in gold and base metal reconnaissance exploration in Australia and is a founding director of Red Hill Minerals. Directorships held in other listed entities in the last three years: He has held no other directorships of ASX listed companies during the last three financial years. Mark Okeby LLM Non-Executive Director Experience Mr Okeby has over 3 5 years’ experience as a director of ASX listed mining and exploration companies. He holds a Master of Laws (LLM) and was appointed a Non-Executive Director of Red Hill Minerals on 12 August 2015. Mr Okeby is currently a director of Capricorn Metals Limited (appointed in 2019). Previously Mr Okeby has been a director of Hill 50 Ltd, Abelle Limited, Metals X Limited, Westgold Resources Limited, Lynas Corporation Ltd, Regis Resources Limited and Peel Mining Limited. Directorships held in other listed entities in the last three years: Mr Okeby was appointed a Non -Executive Director of Capricorn Metals Ltd on 8 July 2019 and was Non -Executive Chairman of Peel Mining Limited from March 2022 to November 2025. He has held no other directorships of ASX listed companies during the last three financial years.
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RED HILL MINERALS LIMITED ANNUAL REPORT 2026 33 Nanette Allen BSc (Hons), BPsychSc (Hons), MAusIMM, MAICD Non-Executive Director Experience Ms Allen, having worked in the resource sector for over 20 years as a mining executive and geologist, has a wealth of technical and corporate experience. This experience ranges from business development and governance to exploration and mine development, finance and asset divestment. Directorships held in other listed entities in the last three years: Ms Allen has held no other directorships of ASX listed companies during the last three financial years. COMPANY SECRETARY The name and details of the Company Secretary in office during the financial year and until the date of this report are as follows: Ira Gibbs, BAcc (Hons), CA, AGIA Experience Ms Gibbs has worked with the Red Hill Minerals team since 2015 and is a Chartered Accountant with considerable company secretarial and corporate governance experience and, over the past 10 years, has worked within the WA mineral exploration sector. DIRECTORS’ MEETINGS Director Attended Eligible to attend Joshua Pitt 7 7 Garry Strong 7 7 Mark Okeby 7 7 Nanette Allen 7 7 In addition to the directors’ meetings reported above, 10 board resolutions were passed during the year. The Company does not have any committees. DIRECTORS’ INTERESTS IN SHARES AND OPTIONS The number of shares and options in the Company held directly and indirectly by the Directors as at the date of this report is set out below: Director Ordinary shares Options over ordinary shares Joshua Pitt 13,798,806 - Garry Strong 2,073,139 - Mark Okeby 2,357,142 - Nanette Allen 500,000 - PRINCIPAL ACTIVITIES The principal activity of the Company and its subsidiary during the financial year were exploration for gold and base metals.
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RED HILL MINERALS LIMITED ANNUAL REPORT 2026 34 REVIEW AND RESULTS OF OPERATIONS The Directors present the Group’s operating and financial review for the financial year ended 30 June 202 6 (‘FY2026’). The information provided in the highlights 2026 set out in pages 3 to page 29 of this Annual Report forms part of the Directors’ Report and provides information to assist users in assessing the operations and activities of the Group. FINANCIAL PERFORMANCE For FY2026, the Group reported a net profit after tax of $20.06 million (FY2025: $9.13 million). The strong results are mainly due to the increase in royalty income earned from the Onslow Iron Project of $28.76 million (2025: $11.88 million) and interest received of $2.63 million (2025: $4.01 million). During the year a total of $7.26 million was spent on e xploration and evaluation (2025: $6.56 million) of which $0.44 million was expensed (2025: $1.50 million) and $6.81 million capitalised (2025: $5.06 million). Corporate and administrative costs were $1.96 million (2025: $1.15 million). At 30 June 2026, the Company has successfully earned its 75% interest in the Curnamona Joint Venture. FINANCIAL POSITION At balance date the Group had net assets of $95.31 million (2025: $86.52 million), and an excess of current assets over current liabilities of $67.28 million (2025: $63.28 million). As at 30 June 202 6, the Group had cash balance of $62.77 million (2025: $64.52 million) and total asset of $106.78 million (2025: $98.75 million). DIVIDENDS The Company had adopted a dividend policy targeting six -monthly dividend payments from the royalty receipts from the Onslow Iron Project. The proportion of funds received to be applied to dividends is currently set at 50%, with the payment of any dividend remaining at the discretion of the Board. During the financial year, the Company paid the following dividends: • Ordinary dividend of $0.065 per share fully franked at 30% on 10 October 2025 • Ordinary dividend of $0.116 per share fully franked at 30% on 24 March 2026 The Directors declared a final fully franked dividend of 10.8 cents per share to be paid in respect of the financial year ended 30 June 2026. SIGNIFICANT CHANGES IN THE STATE OF AFFAIRS There were no significant changes in the state of affairs of the Company or its controlled entity during the financial year. EVENTS SUBSEQUENT TO THE REPORTING DATE Subsequent to year end, the Directors declared a final fully franked dividend of 10.8 cents to be paid in respect of the year ended 30 June 2026. On 24 July 2026, 150,000 options were issued under the Employee Securities Incentive Plan to the Company Secretary. There were no other matter or circumstance that has arisen since 30 June 2026 that has significantly affected, or may significantly affect the Group’s operations, the results of those operations, or the Group’s state of affairs in future financial years. LIKELY DEVELOPMENTS The Company intends to continue its exploration activities on its existing projects and to evaluate further suitable projects as opportunities arise.
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RED HILL MINERALS LIMITED ANNUAL REPORT 2026 35 ENVIRONMENTAL REGULATION The Company holds exploration licences and mining leases in Australia. These licences include conditions and regulations related to the rehabilitation of explored areas, in line with the guidelines and standards of the respective jurisdictions. To the best of the Directors' knowledge, all exploration activities have been conducted in compliance with the pertinent environmental regulations. INSURANCE OF DIRECTORS AND OFFICERS During the financial year, the Company paid a premium under a contract insuring all Directors and Officers of the Company against liability incurred in that capacity. Disclosure of the nature of liabilities insured and the premium is subject to a confidentiality clause under the contract of insurance. INDEMNIFICATION OF AUDITORS The Company has not, during or since the end of the financial year, indemnified or agreed to indemnify the auditor of the company or any related entity against a liability incurred by the auditor. During the financial year, the Company has not paid any premium in respect of a contract to insure the auditor of the Company or any related entity. PROCEEDINGS ON BEHALF OF THE COMPANY No person has applied for leave of court to bring proceedings on behalf of the Company or intervene in any proceedings to which the Company is a party for the purpose of taking responsibility on behalf of the Company for all or part of those proceedings. AUDIT COMMITTEE The Company is not of a size nor are its financial affairs of such complexity to justify a separate audit committee of the Board of Directors. All matters that might properly be dealt with by such a committee are the subject of scrutiny at full board meetings. NON-AUDIT SERVICES HLB Mann Judd, the Company’s auditor, did not perform any non-audit services for the Company for the year ended 30 June 2026. Details of amounts paid or payable to the auditor for audit and other assurance services provided during the year by the auditor are outlined in Note 24 to the financial statements. The Directors are satisfied that the provision of other assurance services is compatible with the general standard of independence for auditors imposed by the Corporations Act 2001. The Directors are of the opinion that the services do not compromise the auditor’s independence as all other assurance services have been reviewed to ensure that they do not impact the impartiality and objectivity of the auditor and none of the services un dermine the general principles relating to auditor independence as set out in Code of Conduct APES 110: Code of Ethics for Professional Accountants issued by the Accounting Professional & Ethical Standards Board SHARE OPTIONS During the financial year, 333,333 options held by the Chief Executive Officer were exercised into 101,394 shares through the cashless exercise mechanism detailed in the Company’s Employee Securities Incentive Plan. As at the date of this report, the number of unlisted options on issue are set out below: Grant date Expiry date Exercise price per share Number Percent Vested 1 May 2026 30 April 2031 $5.50 2,000,000 0% 24 July 2026 30 April 2031 $5.50 150,000 0%
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RED HILL MINERALS LIMITED ANNUAL REPORT 2026 36 AUDITED REMUNERATION REPORT The information provided in this remuneration report has been audited as required by section 308(3c) of the Corporations Act 2001. a) Principles used to determine the nature and amount of remuneration The objective of the Company’s remuneration policy for Directors and other key management personnel is to ensure that: • remuneration packages properly reflect the duties and responsibilities of the persons concerned, and • remuneration is competitive in attracting, retaining and motivating people of the highest quality. The remuneration framework has regard to shareholders’ interests by: • focusing on sustained growth in share price, as well as focusing the executives on key non -financial drivers of value, and • attracting and retaining high calibre executives. The remuneration framework has regard to executives’ interests by: • rewarding capability and experience, • providing a clear structure for earning rewards, and • providing recognition for contribution. Remuneration is not dependent on the satisfaction of any conditions relating to the Company’s market performance. Remuneration is reviewed by the Board on an annual basis having regard to performance and market competitiveness. The remuneration of executive personnel, other than the Chairman, is determined by the Non-Executive Directors and the Chairman and comprises a base salary or fee based on the services provided and market rates of remuneration and, from time to time, the grant of options to acquire shares in the Company. The remuneration of the Executive Chairman is determined by the remainder of the Board. All remuneration paid to key management personnel is valued at cost to the Company and expensed. Non-Executive Directors Fees paid to the Non -Executive Directors for services as Directors are determined by the Board (within the overall limit set by shareholders) based on their level of responsibility and with reference to the general level of fees paid by companies of similar size and operations. The Company operates with a small staff and a Non-Executive Director can be called upon to undertake work for the Company in addition to his/her services as a Director. Where this occurs, the Director may be remunerated for those additional services at market rates. Non -Executive Directors may be reimbursed all travelling and other expenses properly incurred by them in the business of the Company. Executives The remuneration of the Executive Chairman, Mr J Pitt, is the basic fee, plus superannuation, paid to a Non- Executive Director. The remainder of the Board reviews the terms of the Executive Chairman’s remuneration on an annual basis. The remuneration of the Chief Executive Officer, Mr Michael Wall, is a market related base salary, plus superannuation, and options to acquire ordinary shares in the Company that may be granted from time to time.
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RED HILL MINERALS LIMITED ANNUAL REPORT 2026 37 Company performance and its consequences on shareholder wealth The table below shows the other income, profit/(loss), and earnings/(loss) per share for the last five years: 2026 2025 2024 2023 2022 Other Income $ 31,557,376 16,036,574 201,417,747 1,266,167 200,046,217 Net profit / (loss) $ 20,063,802 9,133,780 153,561,880 (2,260,832) 144,492,565 Earnings / (loss) per share cents 31.27 14.24 240.39 (3.54) 230.45 Share price at year end $ 4.76 2.86 6.60 4.45 3.20 During the year the Company paid the following fully franked dividends: • Ordinary dividend of $0.065 per share fully franked at 30% on 10 October 2025 • Ordinary dividend of $0.116 per share fully franked at 30% on 24 March 2026 b) Details of remuneration As at the date of this report, the key management personnel of the Company are the Directors and the Chief Executive Officer. The remuneration of key management personnel for the financial year is summarised below: Short-term benefits Post-employment benefits Share based payments Total Performance related Year Salary & fees Superannuation Options $ $ $ $ % Executive Directors Joshua Pitt (Chairman) 2026 50,000 6,000 - 56,000 - 2025 50,000 5,750 - 55,750 - Non-Executive Directors Garry Strong 2026 50,000 6,000 - 56,000 - 2025 50,000 5,750 - 55,750 - Mark Okeby 2026 50,000 6,000 - 56,000 - 2025 50,000 5,750 - 55,750 - Nanette Allen 2026 50,000 6,000 - 56,000 - 2025 50,000 5,750 - 55,750 - Chief Executive Officer Michael Wall1 2026 342,000 41,040 88,462 471,502 18.8% 2025 335,000 38,525 238,146 611,671 38.9% Total 2026 542,000 65,040 88,462 695,502 12.7% 2025 535,000 61,525 238,146 834,671 28.5% 1 Michael Wall was paid a cash bonus of $7,000, which is included in salary and fees.
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RED HILL MINERALS LIMITED ANNUAL REPORT 2026 38 Directors Shareholders of the Company have approved the maximum fees payable in aggregate to the Non-Executive Directors of the Company for their services as Directors be set at $300,000 per annum. Each Director of the Company is currently entitled to receive an annual fee of $50,000 (202 5: $50,000) plus statutory superannuation for their services as Directors. Non-Executive Directors Service agreements are in place for Mr Okeby (appointed 15 August 2015) and Ms Allen (appointed 1 February 2021). No fixed term or notice period applies and there is no provision for termination benefits. There is no separate service agreement with Mr Strong, who was appointed on the foundation of the Company. Executive Chairman There is no separate service agreement with the Chairman in respect of his executive duties as Executive Chairman. No fixed term or notice period applies and there is no provision for termination benefits. Chief Executive Officer On 28 July 2022, Mr Michael Wall was engaged as Chief Executive Officer of the Company. His current service agreement provides for an annual salary of $3 40,000 plus statutory superannuation with a three-month notice of termination. Mr Wall was granted 1,000,000 unlisted options, exercisable at $3.50 per share, upon engagement. During the year, Mr Wall was granted 440,000 unlisted options as part of the Employee Securities Incentive Plan. Key management personnel shareholdings Balance 1 July 2025 Exercise of Options Net Acquisitions/ Disposals Balance 30 June 2026 Number Number Number Number Executive Directors Joshua Pitt (Chairman) 13,798,806 - - 13,798,806 Non-Executive Directors Garry Strong 2,073,139 - - 2,073,139 Mark Okeby 2,357,142 - - 2,357,142 Nanette Allen 500,000 - - 500,000 Chief Executive Officer Michael Wall 162,141 101,394 - 263,535 Share-based compensation Share based payments are generally provided in the form of options vesting immediately or over a period. Each option is convertible into one ordinary share and carries no dividend or voting right. The issue of options is not linked to past company performance since their principal purpose is to promote additional incentive to the key management personnel. Directors receiving share -based payments are not involved in any Board discussions regarding their remuneration. No options over ordinary shares were granted as compensation to any key management personnel or employees during the year . Note 9 discloses the valuation details of the options held by key management personnel under share-based payment arrangements.
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RED HILL MINERALS LIMITED ANNUAL REPORT 2026 39 Key management personnel option holdings Balance 1 July 2025 Granted as Remuneration Options Exercised Balance 30 June 2026 Vested - Held Number Number Number Number % Executive Directors Joshua Pitt (Chairman) - - - - - Non-Executive Directors Garry Strong - - - - - Mark Okeby - - - - - Nanette Allen - - - - - Chief Executive Officer Michael Wall (1) 333,333 440,000 (333,333) 440,000 0% (1) During the year, Michael Wall exercised 333,333 options through the cashless exercise mechanism detailed in the Company’s Employee Securities Incentive plan, resulting in the issue of 101,394 shares. Transactions with key management personnel Payments from related parties During the year, the Company received $9,600 from Hampton Hill Mining NL for the provision of office space and administration services (2025: $9,600). Mr Pitt is a director and shareholder of Hampton Hill Mining NL. This agreement is at arms-length and on normal commercial terms and conditions. During the year, the Company received $10,800 from Murchison Prospecting Partnership for the provision of office space and administration services (202 5: $10,810). Mr Pitt and Mr Strong are associated with the Murchison Prospecting Partnership. Exercise of options by key management personnel During the year, Michael Wall exercised 333,333 options through the cashless exercise mechanism detailed in the Company’s Employee Securities Incentive plan, resulting in the issue of 101,394 shares. Loans to key management personnel and their related parties The Company has not made any loans to key management personnel and their related parties during the year.
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RED HILL MINERALS LIMITED ANNUAL REPORT 2026 40 Additional information The Company received a majority of votes in favour of its remuneration report for the 2025 financial year at its Annual General Meeting (AGM). The Company did not receive any specific comments on its remuneration practices at the AGM or throughout that year. The Company has not engaged remuneration consultants to make a remuneration recommendation in respect of any of the key management personnel. The audited remuneration report ends here. AUDITOR’S INDEPENDENCE DECLARATION The auditor’s independence declaration, as required under section 307C of the Corporations Act 2001, is set out on page 41 and forms part of this Directors’ Report. Signed in Perth in accordance with a resolution of Directors on 7 September 2026. Joshua Pitt Chairman
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RED HILL MINERALS LIMITED ANNUAL REPORT 2026 41 AUDITOR’S INDEPENDENCE DECLARATION
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RED HILL MINERALS LIMITED ANNUAL REPORT 2026 42 CONSOLIDATED STATEMENT OF PROFIT OR LOSS AND OTHER COMPREHENSIVE INCOME FOR THE YEAR ENDED 30 JUNE 2026 2026 2025 Note $ $ Royalty income 5 28,758,404 11,884,669 Interest income 5 2,626,691 4,013,158 Other income 5 172,281 138,747 Exploration and evaluation expenditure (444,991) (1,499,545) Corporate and administrative expenses 6 (1,956,480) (1,147,807) Share-based payments 9 (345,332) (238,146) Profit before income tax 28,810,573 13,151,076 Income tax expense 7 (8,746,771) (4,017,296) Profit for the year attributable to owners of the Company 20,063,802 9,133,780 Other comprehensive income - - Total comprehensive income for the year attributable to owners of the Company 20,063,802 9,133,780 cents cents Basic earnings per share from continuing operations 8 31.27 14.24 Diluted earnings per share from continuing operations 8 31.27 14.22 The above consolidated statement of profit or loss and other comprehensive income should be read in conjunction with the accompanying notes.
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RED HILL MINERALS LIMITED ANNUAL REPORT 2026 43 CONSOLIDATED STATEMENT OF FINANCIAL POSITION AS AT 30 JUNE 2026 2026 2025 Note $ $ Current assets Cash and cash equivalents 10 62,773,048 64,516,134 Other receivables and prepayments 11 8,182,215 5,484,385 Total current assets 70,955,263 70,000,519 Non-current assets Exploration and evaluation assets 12 30,256,594 23,444,556 Royalty intangible assets 13 4,220,000 4,220,000 Plant and equipment 14 501,895 580,960 Right-of-use asset 15 505,142 321,207 Other assets 340,542 179,961 Total non-current assets 35,824,173 28,746,684 Total assets 106,779,436 98,747,203 Current liabilities Trade and other payables 16 954,976 3,940,235 Income tax payable 7 2,497,916 2,575,556 Lease liability 17 221,576 199,762 Total current liabilities 3,674,468 6,715,553 Non-current liabilities Lease liability 17 290,471 128,628 Deferred tax liability 7 7,507,889 5,384,320 Total non-current liabilities 7,798,360 5,512,948 Total liabilities 11,472,828 12,228,501 Net assets 95,306,608 86,518,702 Equity Issued capital 18 33,238,688 32,591,086 Reserves 20 572,852 877,486 Retained earnings 19 61,495,068 53,050,130 Total equity 95,306,608 86,518,702 The above consolidated statement of financial position should be read in conjunction with the accompanying notes.
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RED HILL MINERALS LIMITED ANNUAL REPORT 2026 44 CONSOLIDATED STATEMENT OF CHANGES IN EQUITY FOR THE YEAR ENDED 30 JUNE 2026 Issued capital Retained earnings Share based payments reserve Total 2026 $ $ $ $ Balance at 1 July 2025 32,591,086 53,050,130 877,486 86,518,702 Profit for the year - 20,063,802 - 20,063,802 Other comprehensive income for the year - - - - Total comprehensive income for the year - 20,063,802 - 20,063,802 Dividends paid - (11,618,864) - (11,618,864) Share-based payments - - 345,332 345,332 Shares issued on exercise of options 649,966 - (649,966) - Issued equity costs (2,364) - - (2,364) Balance at 30 June 2026 33,238,688 61,495,068 572,852 95,306,608 Issued capital Retained earnings Share based payments reserve Total 2025 $ $ $ $ Balance at 1 July 2024 32,007,135 161,269,904 1,226,539 194,503,578 Profit for the year - 9,133,780 - 9,133,780 Other comprehensive income for the year - - - - Total comprehensive income for the year - 9,133,780 - 9,133,780 Dividends paid - (117,353,554) - (117,353,554) Share-based payments - - 238,146 238,146 Shares issued on exercise of options 587,199 - (587,199) - Issued equity costs (3,248) - - (3,248) Balance at 30 June 2025 32,591,086 53,050,130 877,486 86,518,702 The above consolidated statement of changes in equity should be read in conjunction with the accompanying notes.
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RED HILL MINERALS LIMITED ANNUAL REPORT 2026 45 CONSOLIDATED STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 30 JUNE 2026 2026 2025 Note $ $ Cash flows from operating activities Receipts from royalties 25,877,643 7,377,513 Payments to suppliers and employees (1,722,130) (4,111,351) Payments for exploration and evaluation (864,161) (713,957) Income tax paid (6,699,830) (39,142,329) Interest received 2,795,999 3,631,136 Interest paid (12,017) (11,528) Other income received 198,230 109,152 Net cash provided by / (used in) operating activities 10 19,573,734 (32,861,364) Cash flows from investing activities Proceeds from disposal of joint venture interest - 200,000,000 Proceeds from disposal of tenements - 72,500 Payments for exploration expenditure (7,281,884) (4,729,301) Payment to acquire royalty interests (2,000,000) (2,220,000) Payments to acquire mineral rights - (290,000) Payments to acquire property, plant and equipment (48,507) (277,840) Payment for security deposits (160,581) (89,186) Net cash (used in) / provided by investing activities (9,490,972) 192,466,173 Cash flows from financing activities Dividends paid 21 (11,618,864) (117,353,554) Payment of principal portion of lease liabilities (203,607) (180,332) Share issue costs paid (3,377) (4,640) Net cash used in financing activities (11,825,848) (117,538,526) Net (decrease) / increase in cash and cash equivalents (1,743,086) 42,066,283 Cash and cash equivalents at the beginning of the year 64,516,134 22,449,851 Cash and cash equivalents at the end of the financial year 10 62,773,048 64,516,134 The above consolidated statement of cash flows should be read in conjunction with the accompanying notes.
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RED HILL MINERALS LIMITED ANNUAL REPORT 2026 46 CONTENTS OF THE NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2026 BASIS OF PREPARATION Note 1: Corporate Information Note 2: Reporting entity Note 3: Basis of preparation PERFORMANCE FOR THE YEAR Note 4: Segment reporting Note 5: Income Note 6: Corporate and administrative expenses Note 7: Income tax Note 8: Earnings per share SHARE BASED PAYMENTS Note 9: Share based payments ASSETS Note 10: Cash and cash equivalents Note 11: Other receivables and prepayments Note 12: Exploration and evaluation assets Note 13: Royalty intangible assets Note 14: Property, plant and equipment Note 15: Right-of-use-assets LIABILITIES AND EQUITY Note 16: Trade and other payables Note 17: Lease liabilities Note 18: Issued capital Note 19: Retained earnings Note 20: Reserves Note 21: Dividends OTHER INFORMATION Note 22: Financial risk management Note 23: Contingent assets and liabilities Note 24: Remuneration of auditors Note 25: Commitments Note 26: Related party transactions Note 27: Parent entity disclosures Note 28: Events occurring after the reporting period ACCOUNTING POLICIES Note 29: Adoption of new and revised accounting standards
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RED HILL MINERALS LIMITED ANNUAL REPORT 2026 47 NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS BASIS OF PREPARATION This section of the financial report sets out the Company’s accounting policies that relate to the Financial Statements. Where an accounting policy is specific to one note, the policy is described in the note to which it relates. The notes include information which is required to understand the Financial Statements and is material and relevant to the operations and the financial position and performance of the Company. Information is considered relevant and material if: • The amount is significant due to its size or nature • The amount is important in understanding the results of the Company • It helps to explain the impact of significant changes in the Company’s business • It relates to an aspect of the Company’s operations that is important to its future performance. 1. CORPORATE INFORMATION The consolidated financial report of Red Hill Minerals Limited for the year ended 30 June 2026 was authorised for issue in accordance with a resolution of Directors on 7 September 2026. Red Hill Minerals Limited is listed on the Australian Securities Exchange ( ‘ASX’) (trading under the code RHI) and is domiciled in Australia at its principal place of business, Level 2, 9 Havelock Street, West Perth, Western Australia. The nature of the operations and principal activities are disclosed in the Directors’ Report. 2. REPORTING ENTITY The consolidated financial report comprises the financial s tatements of Red Hill Minerals Limited and its subsidiaries for the year ended 30 June 2026. 3. BASIS OF PREPARATION a) Statement of compliance The financial report is a general purpose financial report which has been prepared in accordance with the requirements of the Corporations Act 2001, Australian Accounting Standards and other authoritative pronouncements of the Australian Accounting Standar ds Board. The financial report also complies with International Financial Reporting Standards (IFRS) as issued by the International Accounting Standards Board. b) Basis of measurement The financial report has been prepared on a historical cost basis, except for financial assets which have been measured at fair value. Cost is based on the fair values of the consideration given in exchange for assets. Red Hill Minerals is domiciled in Aus tralia and all amounts are presented in Australian dollars, unless otherwise indicated. The Company is a for-profit entity for the purpose of applying these standards. The financial statements provide comparative information in respect of the previous period.
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RED HILL MINERALS LIMITED ANNUAL REPORT 2026 48 c) Going concern The financial statements have been prepared on the going concern basis of accounting, which contemplates the continuity of normal business activity, realisation of assets and settlement of liabilities in the normal course of business. 4. SEGMENT REPORTING The Group has identified its operating segments based on internal reports that are reviewed and used by the Chief Executive Officer and the Board of Directors in assessing performance and in determining the allocation of resources. The Group considers that it only operated in one reported segment, being mineral exploration and evaluation in Australia. The reportable segment is represented by the primary statements forming these financial statements. 5. INCOME 2026 2025 $ $ Royalty income 28,758,404 11,884,669 Interest income 2,626,691 4,013,158 Other income 172,281 138,747 31,557,376 16,036,574 Royalty income The Company considers royalty interests to represent a retained interest in the relevant mineral asset. The royalty is therefore a payment by the operator of the respective mining property on which the royalty interest is held for the right to extract and sell commodities from that retained interest. The existing royalty arrangement provides Red Hill with a right to periodic payments calculated as a percentage of the amount invoiced by the operator in the given period. The Company recognises royalty income when iron ore is sold by the operator under customer contracts (the Company is not a party to these contracts). Practically, the Company is provided with periodic communication from the operator about the quantities of iron ore sold and the amounts invoiced. Income from royalty arrangements is measured each period based on the agreed terms of the royalty arrangement. Interest income Interest income is recognised on an accruals basis based on the interest rate, deposited amount and time which lapses before the reporting period end date. Other income Other income relates to exploration grants received as well as the provision of office space and administrative services.
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RED HILL MINERALS LIMITED ANNUAL REPORT 2026 49 6. CORPORATE AND ADMINISTRATIVE EXPENSES 2026 2025 $ $ Personnel and directors’ expenses 759,065 845,350 Depreciation and amortisation 330,901 290,838 Regulatory and compliance 574,697 (250,684) Finance expense 12,017 11,548 Other corporate and administration costs 279,800 249,989 Foreign exchange losses - 766 1,956,480 1,147,807 Regulatory and compliance costs in the prior year include the reversal of prior period accrued expenses, which were recognised in relation to the Company’s disposal of its 40% equity interest in the Red Hill Iron Ore Joint Venture. 7. INCOME TAX a) Income tax expense 2026 2025 $ $ The components of income tax expense comprise: Current tax (6,622,189) (2,573,069) Deferred tax (2,124,582) (1,444,227) (8,746,771) (4,017,296) b) Reconciliation of income tax expense to prima facie tax payable on accounting profit 2026 2025 $ $ Profit before income tax 28,810,573 13,151,076 Prima facie tax payable at Australian rate of 30% (2025 - 30%) (8,643,172) (3,945,323) Adjusted for tax effect of the following amounts: Non-deductible items (103,599) (71,476) Previously unrecognised net deferred tax assets - - Adjustment for change in tax rate - - (Under)/Over-provision in prior period - (497) Income tax expense (8,746,771) (4,017,296) The debit for current income tax expense is based on the profit for the period adjusted for any non-assessable or disallowed items. It is calculated using tax rates that have been enacted or are substantively enacted by the balance date.
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RED HILL MINERALS LIMITED ANNUAL REPORT 2026 50 c) Deferred tax assets and liabilities brought to account The Directors estimate the potential deferred tax assets and liabilities carried forward at period end, at the Australian corporate tax rate of 30% (2025: 30%), as: 2026 2025 $ $ Exploration and evaluation assets (9,016,805) (6,968,117) Plant and equipment (69,770) (89,160) Leases 2,071 2,155 Accruals and provisions 34,774 30,667 Royalty receivable 1,540,195 1,638,428 Other 1,646 1,707 Deferred tax liabilities (7,507,889) (5,384,320) d) Deferred tax recognised directly in equity 2026 2025 $ $ Deferred tax credit relating to share issue costs 1,013 1,393 1,013 1,393 e) Income tax payable 2026 2025 $ $ Current tax liability comprises: Income tax payable 2,497,916 2,575,556 2,497,916 2,575,556 The income tax expense or benefit for the period is the tax payable or receivable on the current period’s taxable income based on the applicable income tax rate adjusted by changes in deferred tax assets and liabilities attributable to temporary differences and to unused tax losses. The current income tax charge is calculated on the basis of the tax laws enacted or substantially enacted at the end of the reporting period in the country where the Company’s subsidiaries operate and generate taxable income. Provisions are established where appropriate on the basis of amounts expected to be paid to the tax authorities. Current tax liabilities for the current period and prior periods are measured at the amount expected to be recovered from or paid to taxation authorities. The tax rates and tax laws used to compute the amount are those that are enacted or substantially enacted by the balance date. Deferred income tax is provided on all temporary differences at reporting date between the tax bases of assets and liabilities and their carrying amounts for financial reporting purposes. Unrecognised deferred income tax assets at each reporting date are recognised to the extent that it has become probable that future taxable profit will allow the deferred tax asset to be recovered. Income taxes relating to items recognised directly in equity are recognised in equity and not profit or loss. Deferred tax assets and deferred tax liabilities are offset if a legally enforceable right exists to set off current tax assets against current tax liabilities and the deferred taxes relate to the same taxable entity and the same taxation authority.
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RED HILL MINERALS LIMITED ANNUAL REPORT 2026 51 8. EARNINGS PER SHARE The calculation of basic earnings per share is based on the profit attributable to ordinary shareholders of the parent entity and a weighted average number of ordinary shares outstanding during the year. The weighted average number of ordinary shares outstanding during the financial years comprised the following: 2026 2025 $ $ Profit attributable to ordinary shareholders for basic earnings 20,063,802 9,133,780 Weighted average number of ordinary shares on issue at the end of the year 64,159,293 64,124,155 Weighted average number of ordinary shares (diluted) on issue at the end of the year 64,159,293 64,210,836 Basic earnings per share (cents) 31.27 14.24 Diluted earnings per share (cents) 31.27 14.22 9. SHARE-BASED PAYMENTS The expense for share-based payment transactions recognised during the year is shown in the following table: 2026 2025 $ $ Share options granted – equity settled (345,332) (238,146) (345,332) (238,146) Share based payments are generally provided in the form of options vesting immediately or over a period. Each option is convertible into one ordinary share and carries no dividend or voting right. The issue of options is not linked to past company performance since their principal purpose is to promote additional incentive to the key management personnel. Directors receiving share -based payments are not involved in any Board discussions regarding their remuneration. The number and weighted average exercise prices of share options on issue is as follows: 2026 2025 Weighted average exercise price Number of options Weighted average exercise price Number of options $ Number $ Number Outstanding at the beginning of the year 3.50 333,333 3.50 666,666 Exercised during the year 3.50 (333,333) 3.50 (333,333) Issued during the year 5.50 2,000,000 - - Forfeited during the year - - - - Outstanding at the end of the year 5.50 2,000,000 3.50 333,333 Vested/exercisable at the end of the year - - - - The share options outstanding as of 30 June 2026 had a weighted average contractual life remaining of 4.84 years (2025: 2.07 years). The fair value of the share options is estimated at the date of grant using a Black-Scholes option-pricing model. Expected volatility has been based on historical volatility as it is assumed that this is indicative of future volatility.
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RED HILL MINERALS LIMITED ANNUAL REPORT 2026 52 During the year, 2,000,000 unlisted options were issued under the Company’s Employee Securities Incentive Plan. T he following table provides the assumptions made in determining the fair value of the options outstanding. Options outstanding at 30 June 2026 Number of options: 2,000,000 Grant date: 1 May 2026 Expiry date: 30 April 2031 Exercise price per share: $5.50 Share price at grant date: $4.75 Expected volatility: 36% Risk-free interest rate: 4.74% Fair value per option at grant date: $1.64 10. CASH AND CASH EQUIVALENTS 2026 2025 $ $ Bank balances and cash on hand 6,773,048 4,516,134 Term deposits and at call accounts 56,000,000 60,000,000 62,773,048 64,516,134 2026 2025 Reconciliation of cash flows from operating activities $ $ Profit for the year attributed to owners of the parent 20,063,802 9,133,780 Adjustments for: Equity-settled share-based payment expenses (note 9) 345,332 238,146 Depreciation and amortisation 330,901 290,838 Changes in working capital and provisions: Increase in other receivables and prepayments (2,732,284) (4,888,904) Increase / (decrease) in payables and provisions (505,652) (2,481,293) Increase / (decrease) in tax payable 2,046,941 (35,125,033) Increase / (decrease) in GST receivable 24,694 (28,898) Net cash (used in) / provided by operating activities 19,573,734 (32,861,364) Movements in working capital balances have been adjusted to exclude amounts relating to capitalised exploration and evaluation expenditure, royalty intangible assets, and property, plant and equipment. These amounts are included within investing activities. 11. OTHER RECEIVABLES AND PREPAYMENTS 2026 2025 $ $ Royalty receivable 7,670,571 4,789,810 Other receivables(1) 442,673 629,829 Prepayments 68,971 64,746 8,182,215 5,484,385 (¹) Other receivables include GST receivable and interest receivable.
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RED HILL MINERALS LIMITED ANNUAL REPORT 2026 53 12. EXPLORATION AND EVALUATION ASSETS 2026 2025 $ $ West Pilbara Gold and Base Metal Project Balance at 1 July 12,092,725 8,482,221 Additions 2,318,975 3,610,504 Balance at end of year 14,411,700 12,092,725 Curnamona Project Balance at 1 July¹ 1,445,916 - Additions 4,493,063 1,445,916 Balance at end of year¹ 5,938,979 1,445,916 Pannawonica Iron Ore Project - acquisition cost 9,905,915 9,905,915 Balance at end of period 30,256,594 23,444,556 ¹Includes acquisition of a tenement that has been offered into the Curn amona Earn -in Joint Venture Agreement with Spectre Metals Limited (previously Peel Mining Limited). West Pilbara Gold and Base Metal Project and Curnamona Project The carrying amount represents capitalised exploration and evaluation expenditure incurred within the tenements that form part of the West Pilbara Gold and Base Metal Project and the Curnamona Project. Exploration and evaluation expenditure for these projects is capitalised as an exploration and evaluation asset in the year it is incurred, where the following conditions are satisfied: • the rights to tenure of the area of interest are current; and • at least one of the following conditions is met: o the exploration and evaluation expenditure is expected to be recouped through successful development and exploitation of the area of interest, or alternatively, through its sale; or o exploration and evaluation activities in the area of interest have not, at the balance date, reached a stage that permits a reasonable assessment of the existence or otherwise of economically recoverable reserves, and active and significant operations in, or in relation to, the area of interest are continuing. Exploration and evaluation assets are initially measured at cost and include the acquisition of rights to explore, studies, exploratory drilling, trenching and sampling, and associated activities, together with an allocation of depreciation and amortisatio n of assets used in exploration and evaluation activities. General and administrative costs are included in the measurement of exploration and evaluation costs only where they are directly related to operational activities in a particular area of interest. Pannawonica Iron Ore Project The carrying amount represents the initial acquisition cost of the Company’s wholly owned Pannawonica Iron Ore Project. Exploration and evaluation expenditure is recorded at historical cost on an area of interest basis. Expenditure on acquisition of this project is carried forward where rights to tenure of the area of interest are current and it is expected to be recouped through successful development and exploitation of the area of interest or alternatively by its sale, or exploration and evaluation activities a re continuing in an area of interest but at balance date have not yet reached a stage which permits a reasonable assessment of the existence or otherwise of economically recoverable reserves. Exploration and evaluation expenditure incurred by the Company subsequent to acquisition of this project is expensed as incurred. Once a decision to proceed to development has been taken, all further expenditure incurred relating to the area will be capitalised.
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RED HILL MINERALS LIMITED ANNUAL REPORT 2026 54 Impairment In the event that an area of interest is abandoned, accumulated costs carried forward are written off in the year the decision is made. A regular review is undertaken for each area of interest to determine the appropriateness of continuing to carry forward costs in relation to that area. Projects are advanced to development status when it is expected that further expenditure can be recouped through sale or through successful development and exploitation of the area of interest. At each reporting date, the Company assesses the carrying value of capitalised exploration and evaluation expenditure for impairment. If, after expenditure has been capitalised, information becomes available indicating that recovery of the expenditure is unlikely, or that the Company no longer holds the tenure, the relevant capitalised amount is written off to the Statement of Profit or Loss and Other Comprehensive Income in the period when the new information becomes available. The recoupment of costs carr ied forward in relation to areas of interest in the exploration and evaluation phase is dependent on the successful development and commercial exploitation, or sale, of the respective areas. Compliance No breaches have occurred, and compliance was monitored across the tenements. 13. ROYALTY INTANGIBLE ASSETS The Company’s royalty intangible assets comprise mineral royalty interests over several tenements owned and operated by other parties in Australia. 2026 2025 $ $ Sandstone Gold Project Royalty acquisition2 4,000,000 4,000,000 Thomson Gold-Copper Project Royalty acquisition 220,000 220,000 Amortisation - - Balance at end of year 4,220,000 4,220,000 The Company had acquired the following royalty interests: • Sandstone Gold Project Royalty : 2% Gross Revenue Royalty over the Sandstone Gold Project tenements in Western Australia. The Sandstone Gold Project is owned and operated by Brightstar Resources Limited. Under the terms of the royalty purchase agreement, Red Hill has agreed to make deferred contingent payments to the vendors equal to 50% of the royalty receipts received from the first eight quarters of future production from the royalty tenements. These payments will only become payable as and when royalty income is received by the Company (Note 23). • Thomson Gold-Copper Project Royalty: 1.5% Net Smelter Royalty over the Intrusion Related Gold and Copper Thomson Project tenements in New South Wales. The Thomson Project is owned and operated by Legacy Minerals Holdings Limited. Under the royalty documentation, Legacy Minerals retains a buy -back right, whereby half of the royalty may be repurchased for $2 million, with the remaining half for a further $4 million. 2 At 30 June 2025, $2 million had been paid to the vendors, with the remaining $2m still to be paid (Note 16).
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RED HILL MINERALS LIMITED ANNUAL REPORT 2026 55 The Company also owns a 0.75% FOB Iron Ore Royalty (Onslow Iron Project Royalty), where royalty income is payable to Red Hill from the following sources: i. all future production from the RHIOJV tenements, ii. for the first 10 years, all production from the Australian Premium Iron Joint Venture owned Upper Red Hill Creek tenement, if the Project expands into that tenement, and iii. all production from the MinRes owned Bungaroo South tenement if developed in association with the RHIOJV tenements. No amount has been recognised in the statement of financial position in respect of this royalty, as it was obtained as part of the consideration for the sale of the Company’s 40% participating interest in the Red Hill Iron Ore Joint Venture to Mineral Resources Limited. Royalty income is recognised when production occurs and is disclosed as a receivable in Note 11. Measurement Royalties are initially measured at cost, including any transaction costs. The Company considers the substance of a royalty to be economically similar to holding a direct interest in the underlying mineral asset. Existence risk (the physical existence of t he commodity in the demonstrated quantity), production risk (the ability of the operator to achieve production and operate a commercially viable project), timing risk (the commencement and quantity of production, as determined by the operator), and price risk (returns varying with future commodity prices, driven by supply, demand, and foreign exchange rates) are all risks in which the Group participates on a similar basis to an owner of the underlying mineral licence. Furthermore, the Group has the right to receive cash only to the extent that production occurs. There are no interest payments, minimum payment obligations, or means to enforce production. Royalties are accounted for as intangible assets under AASB 138 Intangible Assets. Amortisation The Company’s royalty intangible assets are amortised in a manner consistent with the underlying usage of mineral reserves and resources in the period compared to those for the estimated remaining life of the mine. The amortisation starts upon the commencement of production at the underlying mining operation. Impairment The royalty intangible assets are not available for use and therefore are required to be reviewed for impairment annually. A full impairment review was conducted using value -in-use based on the discounted cashflows from royalties over project life of mine. The recoverable value was in excess of the carrying value and no impairment was required. The key inputs to the discounted cashflow model used for the Sandstone Gold Project Royalty: Gold price per ounce (USD) 4,187 Exchange rate (AUD/USD) 0.7 Discount rate 10% Estimated resource ounces on royalty tenements 1,342,000 The below movements in assumptions in combination, result in an impairment: Gold price per ounce (USD) 1,750 Discount rate 27.5%
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RED HILL MINERALS LIMITED ANNUAL REPORT 2026 56 14. PROPERTY , PLANT AND EQUIPMENT Leasehold improvements Office furniture & equipment Computer equipment Field equipment Motor vehicles Total $ $ $ $ $ $ 2026 Carrying amount at 1 July 2025 6,677 41,820 25,469 74,816 432,178 580,960 Additions during the year - 843 18,940 28,725 - 48,508 Depreciation expense (1,901) (9,437) (27,975) (29,400) (58,860) (127,573) Carrying amount at 30 June 2026 4,776 33,226 16,434 74,141 373,318 501,895 Cost 20,113 71,349 166,822 152,714 548,711 959,709 Accumulated depreciation (15,337) (38,123) (150,388) (78,573) (175,393) (457,814) 4,776 33,226 16,434 74,141 373,318 501,895 Leasehold improvements Office furniture & equipment Computer equipment Field equipment Motor vehicles Total $ $ $ $ $ $ 2025 Carrying amount at 1 July 2024 11,174 49,391 26,666 59,684 262,196 409,111 Additions during the year - 1,777 27,528 33,220 214,631 277,156 Depreciation expense (4,497) (9,348) (28,725) (18,088) (44,649) (105,307) Carrying amount at 30 June 2025 6,677 41,820 25,469 74,816 432,178 580,960 Cost 20,113 70,508 147,882 123,988 548,711 911,202 Accumulated depreciation (13,436) (28,688) (122,413) (49,172) (116,533) (330,242) 6,677 41,820 25,469 74,816 432,178 580,960 Recognition and measurement Property, plant and equipment is stated at historical cost, less accumulated depreciation and impairment losses. It also includes the direct costs of bringing the asset to the location and condition necessary for its intended use. Assets are subsequently m easured at cost, less accumulated depreciation and impairment losses. Depreciation Depreciation is calculated on a straight-line basis over the estimated useful lives of each part of an item of property, plant and equipment. The depreciation rates used in the current and comparative periods are as follows: Leasehold improvements: 6.6% - 33.0% straight line Office furniture: 10.0% - 20.0% straight line Computer equipment: 25.0% - 50.0% straight line Field equipment: 20.0% - 50.0% straight line Motor vehicles: 8.3% - 33.3% straight line Impairment The carrying values of plant and equipment are reviewed for impairment at each balance date in line with the Company’s impairment policy.
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RED HILL MINERALS LIMITED ANNUAL REPORT 2026 57 15. RIGHT-OF-USE ASSETS 2026 2025 $ $ Right-of-use assets At cost 619,003 529,353 Accumulated depreciation (113,861) (208,146) Net carrying amount 505,142 321,207 Reconciliation At 1 July net of accumulated depreciation 321,207 251,797 Additions 387,263 254,941 Deprecation charge for the year (203,328) (185,531) At 30 June net of accumulated deprecation 505,142 321,207 The Company has recognised a right-of-use asset and a corresponding lease liability in respect of two office leases, a warehouse lease, and a property used to support exploration programmes. 16. TRADE AND OTHER PAYABLES 2026 2025 $ $ Trade creditors 513,384 1,167,819 Other payables 132,597 121,416 Accrued expenses3 308,995 2,651,000 954,976 3,940,235 Trade and other payables are stated at amortised cost. Trade and other payables are presented as current liabilities unless payment is not due within 12 months. 17. LEASE LIABILITIES The Company has recognised a lease liability in respect of two office leases, a warehouse lease, and a property used to support exploration programmes. Leases are recognised as a right -of-use asset and a corresponding liability at the date at which the leased asset is available for use by the Company. Each lease payment is allocated between the liability and finance cost. The finance cost is charged to profit or loss over the lease period so as to produce a constant periodic rate of interest on the remaining balance of the liability for each period. The right-of-use asset is depreciated over the shorter of the asset’s useful life and the lease term on a straight-line basis. 2026 2025 $ $ Current Lease liabilities 221,576 199,762 Non-current Lease liabilities 290,471 128,628 512,047 328,390 3 At 30 June 2025. accrued expenses include $2 million payable in relation to the acquisition of the Sandstone Gold Project Royalty (Note 13).
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RED HILL MINERALS LIMITED ANNUAL REPORT 2026 58 18. ISSUED CAPITAL There were 64,229,019 shares on issue at 30 June 2026 (2025: 64,127,625). 2026 2025 Issued and fully paid ordinary shares Number $ Number $ Movements in ordinary shares on issue Balance at beginning of financial year 64,127,625 32,591,086 63,946,705 32,007,135 Options exercised during the year 101,394 649,966 180,920 587,199 Issued equity costs - (2,364) - (3,248) Balance at end of financial year 64,229,019 33,238,688 64,127,625 32,591,086 During the year, 333,333 options held by Chief Executive Officer, Michael Wall, were exercised into 101,394 shares through the cashless exercise mechanism detailed in the Company's Employee Securities Incentive Plan. 2026 2025 Share Options Number Number Balance at beginning of financial year 333,333 666,666 Options exercised during the year (333,333) (333,333) Options issued during the year 2,000,000 - Options forfeited during the year - - Balance at end of financial year 2,000,000 333,333 Set out below is a summary of unlisted options to acquire ordinary shares in the Company: 2026 2025 Type of options Expiry date Exercise price Number Number Employee options 26 Jul 2027 $3.50 - 333,333 Employee options 30 April 2031 $5.50 2,000,000 - Total 2,000,000 333,333 19. RETAINED EARNINGS 2026 2025 $ $ Balance at beginning of financial year 53,050,130 161,269,904 Profit for the year attributable to owners 20,063,802 9,133,780 Dividends paid (11,618,864) (117,353,554) Balance at end of financial year 61,495,068 53,050,130 20. RESERVES 2026 2025 $ $ Share based payment reserve 572,852 877,486 The share-based payments reserve is used to recognise the value of equity settled share -based payment transactions provided to employees, including key management personnel, as part of their remuneration.
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RED HILL MINERALS LIMITED ANNUAL REPORT 2026 59 21. DIVIDENDS 2026 2025 Dividends declared and paid during the financial year: $ $ Ordinary dividend of $0.116 fully franked at 30% (record date 10 Mar 2026) 7,450,566 - Ordinary dividend of $0.065 fully franked at 30% (record date 26 Sep 2025) 4,168,298 - Ordinary dividend of $0.03 fully franked at 25% (record date 30 Apr 2025) - 1,923,829 Special dividend of $0.30 fully franked at 25% (record date 29 Nov 2024) - 19,238,288 Special dividend of $1.50 fully franked at 25% (record date 10 Jul 2024) - 96,191,437 11,618,864 117,353,554 On 22 April 2025, the Company announced the adoption of a dividend policy targeting six-monthly dividend payments from royalty receipts from the Onslow Iron Project. The proportion of funds allocated to dividends is currently set at 50%, with the payment of any dividend remaining at the discretion of the Board. 22. FINANCIAL RISK MANAGEMENT a) Capital risk management The capital structure of the Company consists of equity attributable to equity holders, comprising issued capital, reserves, and retained earnings. The Board reviews the capital structure regularly and considers both the cost of capital and the risks associated with each class of capital. The Company balances its overall capital structure through new share issues and the issuance of debt, if required. b) Market risk exposures Market risk is the risk that changes in market prices, such as foreign exchange rates, equity prices, and interest rates, will affect the Company’s income. (i) Interest rate risk At the reporting date, the Company’s exposure to market risk from changes in interest rates relates primarily to its short-term cash deposits. The Company is not exposed to cash flow volatility from interest rate changes on borrowings, as it does not have any short-term or long-term borrowings. Red Hill continually analyses its exposure to interest rates, with consideration given to the potential renewal of existing positions and the period for which deposits may be fixed. The Company considers the preservation of capital to be the primary objecti ve, rather than maximising interest income by investing in higher -risk instruments. At reporting date, the following financial assets were exposed to fluctuations in interest rates: 2026 2025 $ $ Cash and cash equivalents 62,773,048 64,516,134 At balance date, if interest rates had been 0.5% higher or lower and all other variables were held constant, the Company’s profit or loss would increase/decrease by $ 313,839 (2025: $385,611); with no effect ( 2025: nil) on other components of equity. c) Liquidity risk Liquidity risk is the risk that the Company will be unable to meet its financial obligations as they fall due. The Board of Directors actively monitors the Company’s ability to pay its debts when they fall due by regularly reviewing the current and forecast cash position, based on expected future activities.
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RED HILL MINERALS LIMITED ANNUAL REPORT 2026 60 The following tables detail the Company’s expected undiscounted contractual maturities for its financial liabilities, based on the earliest date on which the Company may be required to repay, and include both interest and principal cash flows: Interest rate Within 6 months 6 -12 months 1 – 2 years 2+ years $ $ $ $ 2026 Trade and other payables 954,976 - - - Income tax payable 2,497,916 - - - Lease liability 4.5% 109,201 112,375 235,913 54,558 2025 Trade and other payables 3,940,235 - - - Income tax payable 2,575,556 - - - Lease liability 4.5% 109,082 100,399 83,493 49,546 d) Credit risk Credit risk is the risk of financial loss to the Company if a customer or counterparty to a financial instrument fails to meet its contractual obligations. The maximum exposure to credit risk, excluding the value of any collateral or other security, at the balance date in respect of recognised financial assets, is the carrying amount net of any allowance for doubtful debts, as disclosed in the notes to the financial statements. It is not the Company’s policy to securitise its trade and other receivables; however, receivable balances are monitored on an ongoing basis. In addition, the Company currently diversifies its cash holdings across two major Australian financial institutions. 23. CONTINGENT ASSETS AND LIABILITIES Sandstone Gold Project royalty – deferred contingent payments The Company owns a 2% Gross Revenue Royalty over the Sandstone Gold Project tenements in Western Australia. The Sandstone Gold Project is owned and operated by Brightstar Resources Limited. Under the terms of the royalty purchase agreement, Red Hill has agreed to make deferred contingent payments to the vendors equal to 50% of the royalty receipts received from the first eight quarters of future production from the royalty tenements. These pa yments will only become payable as and when royalty income is received by the Company. The Sandstone Gold Project is not yet in production. As such, contingent payments under the royalty agreement cannot be reliably estimated and have not been recognised. Accordingly, the obligation to make such payments has been disclosed as a contingent liability, as it is dependent on future production and the resulting royalty receipts. The Directors are not aware of any other contingent assets or liabilities. 24. REMUNERATION OF AUDITORS 2026 2025 Audit services $ $ HLB Mann Judd: Audit and review of financial reports 62,926 65,371 Other assurances services 5,000 - 67,926 65,371
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RED HILL MINERALS LIMITED ANNUAL REPORT 2026 61 25. COMMITMENTS The Company holds exploration tenements in different Australian States. In order to maintain current rights of tenure to exploration tenements, the Company is required to comply with prescribed conditions under which tenements were granted. 2026 2025 $ $ Within one year 650,016 310,316 One to five years 824,780 925,200 1,474,796 1,235,516 West Pilbara Gold and Base Metal Project and Pannawonica Iron Project The minimum estimated expenditure, in accordance with the requirements of the Western Australian Department of Mines, Industry Regulation and Safety, for the next financial year in respect of the Pannawonica Project is $261,200 (2025: $304,516). These commitments are expected to be met in the normal course of operations and may be varied from time to time, subject to governmental approval. Exploration expenditure commitments beyond twelve months cannot be reliably determined. Curnamona Project Red Hill had entered into a five-year farm-in agreement with Peel Far West Pty Ltd, a subsidiary of ASX-listed Peel Mining Limited, in relation to exploration at the Curnamona Project. Under the terms of the agreement, Red Hill has the right to earn up to a 75% interest in the Curnamona Project by incurring exploration expenditure of $6.5 million over a five-year period. Of this amount, Red Hill is required to incur a minimum of $1.5 mil lion in in -ground exploration expenditure within the initial 24 months. At 30 June 2026, the Company has successfully earned its 75% interest in the Curnamona Joint Venture. Certain tenements that form part of the Curnamona Project are held directly by the Company. The required exploration expenditure during the tenure of these tenements, inclusive of rent, levies and work program commitments, is $1,213,595 (2025: $931,000). 26. RELATED PARTY TRANSACTIONS Silverton Minerals Pty Ltd is a wholly owned subsidiary of Red Hill Minerals Limited. Key management personnel Executive Director Non-executive Directors Chief Executive Officer Joshua Pitt (Chair) Garry Strong Michael Wall Mark Okeby Nanette Allen The key management personnel compensation is as follows: 2026 2025 $ $ Short-term employee benefits 542,000 535,000 Post-employment benefits 65,040 61,525 Share-based payments 88,462 238,146 695,502 834,671
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RED HILL MINERALS LIMITED ANNUAL REPORT 2026 62 Transactions with Director-related entities Payments from related parties Payments recognised during the year relating to key management personnel and their related parties are as follows: 2026 2025 $ $ Corporate services income 20,400 20,400 20,400 20,400 During the year, the Company received $9,600 from Hampton Hill Mining NL for the provision of office space and administration services (2025: $9,600). Mr Pitt is a director and shareholder of Hampton Hill Mining NL. This agreement is at arms-length and on normal commercial terms and conditions. During the year, the Company received $10,800 from Murchison Prospecting Partnership for the provision of office space and administration services (202 5: $10,8 00). Mr Pitt and Mr Strong are associated with the Murchison Prospecting Partnership. Loans to key management personnel and their related parties No loans were made to key management personnel or their related parties. Other key management personnel transactions with the Group During the year, 333,333 options held by Chief Executive Officer Michael Wall were exercised into 101,394 shares through the cashless exercise mechanism detailed in the Company's Employee Securities Incentive Plan. All related party transactions were conducted on an arm’s length basis. There were no other key management personnel transactions within the Group during the year ended 30 June 2026.
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RED HILL MINERALS LIMITED ANNUAL REPORT 2026 63 27. PARENT ENTITY DISCLOSURES The following information has been extracted from the books and records of the parent entity and has been prepared in accordance with Australian Accounting Standards. Statement of financial position 2026 2025 $ $ Current assets 70,923,257 69,978,923 Non-current assets 35,832,199 28,326,062 Total assets 106,755,456 98,304,985 Current liabilities 3,616,560 6,689,554 Non-current liabilities 6,076,840 5,464,953 Total liabilities 9,693,400 12,154,507 Issued capital 33,238,688 32,591,086 Reserves 572,852 877,486 Retained earnings 63,250,516 52,681,906 Total equity 97,062,056 86,150,478 Statement of comprehensive income 2026 2025 $ $ Profit for the year attributable to owners of the parent entity 21,772,475 8,765,556 Total comprehensive income for the year attributable to owners of the parent entity 21,772,475 8,765,556 28. EVENTS OCCURRING AFTER THE REPORTING PERIOD Subsequent to year end, the Directors declared a final fully franked dividend of 10.8 cents to be paid in respect of the year ended 30 June 2026. On 24 July 2026, 150,000 options were issued under the Employee Securities Incentive Plan to the Company Secretary. There were no other matter or circumstance that has arisen since 30 June 2026 that has significantly affected, or may significantly affect the Company’s operations, the results of those operations, or the Company’s state of affairs in future financial years. 29. ADOPTION OF NEW AND REVISED ACCOUNTING STANDARDS Australian Accounting Standards and Interpretations that have recently been issued or amended but are not yet effective have not been early adopted by the Company for the year ended 30 June 2026. For annual reporting periods beginning on or after 1 January 2028, AASB 18 Presentation and Disclosure in Financial Statements will replace AASB 101 Presentation of Financial Statements and aims to improve how entities communicate in their financial statem ents, with a particular focus on information about financial performance in the statement of profit or loss. The Directors have yet to determine whether there will be a material impact from adopting AASB 18 Presentation and Disclosure in Financial Statements. The Directors have also reviewed all Standards and Interpretations on issue and not yet adopted for the period ended 30 June 2026. As a result of this review the Directors have determined that there is no material impact of the Standards and Interpretations on issue and not yet adopted by the Company.
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RED HILL MINERALS LIMITED ANNUAL REPORT 2026 64 CONSOLIDATED ENTITY DISCLOSURE STATEMENT Name of entity Type of entity Ownership interest Country of incorporation Australian or foreign tax residency Foreign jurisdiction tax residency Red Hill Minerals Limited Body Corporate 100% Australia Australian N/A Silverton Minerals Pty Ltd Body Corporate 100% Australia Australian N/A Basis of Preparation The Consolidated Entity Disclosure Statement (CEDS) has been prepared in accordance with the Corporations Act 2001 and includes required information for each entity that was part of the consolidated entity as at the end of the financial year. Consolidated Entity This CEDS includes only those entities consolidated as at the end of the financial year, in accordance with AASB 10: Consolidated Financial Statements. Determination of Tax Residency Section 295.3A of the Corporations Act 2001 defines tax residency as having the meaning in the Income Tax Assessment Act 1997. The determination of tax residency involved judgement as there are currently several different interpretations that could be adopted, and which could give rise to a different conclusion on residency. In determining tax residency, the Consolidated Entity has applied the following interpretations: • Australian tax residency The Consolidated Entity has applied current legislation and judicial precedent, including having regard to the Tax Commissioner’s public guidance.
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RED HILL MINERALS LIMITED ANNUAL REPORT 2026 65 DIRECTORS’ DECLARATION FOR THE YEAR ENDED 30 JUNE 2026 1. In the opinion of the directors of Red Hill Minerals Limited (‘the Company’): a) the consolidated financial statements, notes, and the additional disclosures in the directors’ report designated as audited of the Company and Group, are in accordance with the Corporations Act 2001 including: i. giving a true and fair view of the Consolidated entity’s financial position as at 30 June 2026 and of its performance for the year then ended; and ii. complying with Australian Accounting Standards, the Corporations Regulations 2001, professional reporting requirements and other mandatory requirements. b) there are reasonable grounds to believe that the Company will be able to pay their debts as and when they become due and payable. c) the financial statements and notes are in accordance with International Financial Reporting Standards issued by the International Accounting Standards Board. d) the Consolidated Entity Disclosure Statement is true and correct. 2. This declaration has been made after receiving the declarations required to be made to the Directors in accordance with section 295A of the Corporations Act 2001 for the year ended 30 June 2026. This declaration is signed in accordance with a resolution of the board of Directors. Joshua Pitt Chairman Perth, 7 September 2026
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RED HILL MINERALS LIMITED ANNUAL REPORT 2026 66 INDEPENDENT AUDITOR’S REPORT
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RED HILL MINERALS LIMITED ANNUAL REPORT 2026 71 MINERAL RESOURCES AND ORE RESERVES AS AT 30 JUNE 2026 PROJECT: PANNAWONICA Commodity: Iron ore Red Hill Minerals interest: 100% Location: West Pilbara, Western Australia Review: The Mineral Resources and Ore Reserves of the project remained unchanged during the year ended 30 June 2026. Mineral Resources (JORC 2012): (Red Hill Minerals ASX announcement 18 February 2014) Project JORC category Mt Fe (%) Al2O3 (%) P (%) SiO2 (%) LOI (%) Pannawonica Measured 5.5 53.8 4.7 0.03 8.2 9.4 Indicated 47.6 53.4 5.1 0.05 8.8 9.0 Inferred 9.3 53.4 5.2 0.05 8.6 9.1 Total 62.5 53.4 5.1 0.05 8.7 9.0 The Mineral Resources in this table are inclusive of the Ore Reserves in the table below. Ore Reserves (JORC 2012): (Red Hill Minerals ASX announcement 23 July 2021) Project JORC category Mt Fe (%) Al2O3 (%) P (%) SiO2 (%) LOI (%) Pannawonica Proved 0.63 55.7 3.8 0.03 6.2 8.9 Probable 4.05 56.0 4.4 0.05 6.7 8.0 Total 4.68 56.0 4.3 0.04 6.6 8.2 Comparison with previous year: There have been no changes in the Mineral Resources and Ore Reserves since the previous year's statement. Competent Person Statement: The information in this report that relates to Mineral Resources and Ore Reserves for the Pannawonica Project is based on, and fairly represents, information compiled by Mr Douglas Stewart, who is a consultant of Red Hill Minerals Limited. Mr Stewart is a Fellow of the Australasian Institute of Mining and Metallurgy. Mr Stewart has had sufficient experience that is relevant to the style of mineralisation, type of deposit under consideration and to the activity 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” (JORC Code 2012). Mr Stewart consents to the inclusion of this information in this public stateme nt in the form and context in which it appears. Governance and internal controls: The Company is satisfied that the above statements of Minerals Resources and Ore Reserves comply with the Company’s Corporate Governance arrangements and internal controls.
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RED HILL MINERALS LIMITED ANNUAL REPORT 2026 72 ADDITIONAL INFORMATION SHAREHOLDER INFORMATION AS AT 31 AUGUST 2026 SUBSTANTIAL SHAREHOLDERS The substantial shareholders and/or associates together with the number of ordinary shares in the Company to which each has a relevant interest, as advised to the Company: Shareholder Name Number of Ordinary Shares Perth Capital Pty Ltd and associates 22,060,511 China Baowu Steel Group Corporation Limited 9,920,202 Aigle Royal Superannuation Pty Ltd <The A Poli Superannuation Fund> 8,650,000 VOTING RIGHTS Subject to any rights or restrictions for the time being attached to any class or classes of shares (at present there are no restricted ordinary shares on issue), at a general meeting every shareholder or class of shareholder present in person or by proxy, attorney or representative has one vote on a show of hands and, on a poll, one vote for each fully paid share which that member holds or represents and, in respect of partly paid shares, voting rights pro-rata to the amount paid up or credited as paid up on each such share. ON-MARKET BUY-BACK There is no current on-market buy-back of securities. NUMBER AND DISTRIBUTION OF SHARES AND OPTIONS Number on Issue Number of Holders Securities Share-listed Ordinary shares fully paid 64,229,019 1,482 Options over unissued shares – unlisted Options vesting 1 May 2027, exercisable at $5.50, expiring 30 April 2031 716,667 9 Options vesting 1 May 2028, exercisable at $5.50, expiring 30 April 2031 716,667 9 Options vesting 1 May 2029, exercisable at $5.50, expiring 30 April 2031 716,666 9 DISTRIBUTION OF SHARES AND OPTIONS BY SIZE OF HOLDING Ordinary fully paid shares Options Range Number of Holders Number of Shares % Held Number of Holders Number of Options 1 – 1,000 693 288,750 0.45% - - 1,001 – 5,000 415 1,075,535 1.68% - - 5,001 – 10,000 139 1,087,843 1.69% - - 10,001 – 100,000 187 5,261,545 8.19% 1 60,000 100,001 and over 48 56,515,346 87.99% 8 2,090,000 Total 1,482 64,229,019 100.0% 9 2,150,000 UNMARKETABLE PARCEL There are 120 holders of less than a marketable parcel of ordinary shares.
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RED HILL MINERALS LIMITED ANNUAL REPORT 2026 73 TWENTY LARGEST SHAREHOLDERS The names of the twenty largest holders of quoted ordinary shares are listed below: Shareholder name Number of Ordinary Shares Percentage of Capital (%) 1 Perth Capital Pty Ltd 11,616,544 18.09 2 Aquila Resources Pty Ltd 9,920,202 15.45 3 Elohpool Pty Ltd 8,862,286 13.80 4 Aigle Royal Superannuation Pty Ltd <A Poli Super Fund A/C 8,650,000 13.47 5 Yandal Investments Pty Ltd 2,200,000 3.43 6 Douglas Haig Stewart 2,000,000 3.11 7 Liberty Management Pty Ltd <The Liberty Super Fund A/C> 1,857,142 2.89 8 Glyde Street Nominees Pty Ltd & <J Pitt Super Fund A/C> 1,441,371 2.24 9 Strong Investments Pty Ltd & <The Prospectors Super A/C> 988,392 1.54 10 Garry Robert Strong 878,092 1.37 11 Fifty-First Y Pty Ltd <Clarkefarm Super Fund A/C> 667,142 1.04 12 Wythenshawe Pty Ltd 500,891 0.78 13 Anneling Pty Ltd <Serendipity Super Fund A/C> 500,000 0.78 14 Nanette Maie Allen <Arete A/C> 500,000 0.78 15 Liberty Management Pty Ltd <The Liberty A/C> 500,000 0.78 16 Martin Eric I'Ons 473,507 0.74 17 Jay Hughes & Linda Hughes <Inkese Super A/C> 430,000 0.67 18 Heather Margaret Phillips <J F G Phillips Family A/C> 389,280 0.61 19 17 Culloden Super Pty Ltd <Stirco Pty Ltd S/F A/C> 350,000 0.54 20 Citicorp Nominees Pty Limited 282,976 0.44 Total Top 20 53,007,825 82.55
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