Announcement PDF Fulcrum Lithium Ltd and its controlled entities ABN: 23 665 528 307 Interim Financial Statements For the Half Year Ended 31 December 2024 Contents For the Half Year Ended 31 December 2024 Page Directors' Report 1 Lead Auditor’s Independence Declaration 8 Condensed Consolidated Interim Financial Statements Condensed Consolidated Interim Statement of Profit or Loss and Other Comprehensive Income 9 Condensed Consolidated Interim Statement of Financial Position 10 Condensed Consolidated Interim Statement of Changes in Equity 11 Condensed Consolidated Interim Statement of Cash Flows 12 Notes to the Condensed Consolidated Interim Financial Statements 13 Directors' Declaration 18 Independent Auditor’s Review Report 19 Corporate Directory 21 FULCRUM LITHIUM LTD and its controlled entities Directors' Report The Directors present their report together with the consolidated interim financial statements of the Group, comprising Fulcrum Lithium Ltd (Fulcrum or the Company) and its controlled entities, for the half year ended 31 December 2024. DIRECTORS The names of each person who has been a Director of the Company during the half year and to the date of this report are: Mr Norman A. Seckold Executive Chairman - Appointed 6 February 2023 Mr Seckold graduated with a Bachelor of Economics degree from the University of Sydney in 1970. He has spent more than 40 years in the full time management of natural resource companies, both in Australia and overseas. Mr Seckold has been the Chairman of a number of publicly listed companies including Moruya Gold Mines (1983) N.L., Pangea Resources Limited, Timberline Minerals, Inc. Perseverance Corporation Limited, Valdora Minerals N.L., Viking Gold Corporation, Mogul Mining N.L., Santana Minerals Ltd and Bolnisi Gold N.L. Mr Seckold is currently Chairman of ASX Listed Alpha HPA Limited, Nickel Industries Limited and Sky Metals Limited. Mr Peter J. Nightingale Executive Director, Chief Financial Officer and Company Secretary - Appointed 6 February 2023 Mr Nightingale graduated with a Bachelor of Economics degree from the University of Sydney and is a member of Chartered Accountants Australia and New Zealand. He has worked as a chartered accountant in both Australia and the USA. As a director or company secretary, Mr Nightingale has, for more than 35 years, been responsible for the financial control, administration, secretarial and in-house legal functions of a number of private and public listed companies in Australia and the USA including Alpha HPA Limited, Bolnisi Gold N.L. and Nickel Industries Limited. Mr Nightingale is currently a director of ASX listed Prospech Limited. Mr Foster V. Wilson Non-Executive Director - Appointed 6 February 2023 Mr Wilson has over 40 years of experience, with a focus on lithium claystone and brine exploration projects, in roles ranging from reserve drilling and estimation, feasibility studies, mine permitting and development. He has worked in various capacities for Placer Dome Inc., Echo Bay Mines Ltd., American Bonanza Gold Corp. and various junior exploration companies. Mr. Wilson served as President of TSX-V listed Mesa Uranium Corporation from 2005 to 2020. Mr. Wilson was a director of CSE listed Alpha Lithium Corporation from 2016 to 2023. Mr Wilson currently serves as a director of TSX-V listed Atomic Minerals Corporation and CSE listed Global Uranium Corporation. Mr Anthony Sgro Non-Executive Director - Appointed 6 February 2023 Mr Sgro is a Chemical Engineer, graduating from University of Sydney. His studies included a thesis on Minerals Chlorination, which focused on the application of chlorination techniques to the extractive metallurgy of various minerals including titanium, nickel, chromium and tungsten ores. He also completed a Graduate Diploma in Marketing from Macquarie University School of Business. In a career spanning 45 years, Mr Sgro was involved in the technical and commercial aspects of supply of specialised equipment to the major process industries including oil and gas, petrochemical, chemical and mining industries, including equipment specification, material selection, commercial and technical aspects of large tenders, contract negotiation and contract management. Mr Sgro is currently a non-executive director of ASX listed Alpha HPA Limited. 1 FULCRUM LITHIUM LTD and its controlled entities Directors' Report REVIEW OF OPERATIONS Fulcrum Lithium Ltd listed on the ASX on 22 November 2024, to explore the largest lithium exploration lode claim holding area by a company, of approximately 230 km2, in the heart of Nevada’s ‘lithium belt’ which hosts Albemarle Corporation’s (NYSE: ALB) Silver Peak lithium mine, the only lithium producing mine in the USA. Fulcrum’s three projects, Alkali Flats, Summit and Fairway, are proximate to, or on trend with, significant lithium projects at various stages of exploration and development in a geologic setting with demonstrated success and a mining friendly jurisdiction (Figure 1). Alkali Flats Project The Alkali Flats project comprises 2,276 lode claims, an area of 190 km2, located in the Clayton Valley, Nevada, USA. During the half year ended 31 December 2024, the Company commenced drilling at the Alkali Flats project, which the USA Bureau of Land Management (BLM) had permitted in September 2023. The drilling program, comprising 14 Reverse Circulation (RC) drill holes averaging 171 metres depth on a grid spacing of approximately 800 metres, was designed to test the Siebert Formation; the regional claystone host for lithium (Li) deposits and in a location where Fulcrum’s initial surface sampling results returned lithium concentrations up to 797 ppm Li (Figure 2). Fulcrum’s initial surface sampling results have measured lithium concentrations up to 797 ppm Li with over 14 samples returning greater than 300 ppm Li. In addition to testing for lithium in the Siebert Formation at depth, the drilling also enabled the thickness of the Quaternary cover over the Siebert Formation to be mapped, assisting in the planning of further step out drilling into the basin. The Alkali Flats Exploration Target Areas are known to have lithium claystone mineralisation within a closed basin with prominent geothermal activity, characteristics that are similar to other deposits in the district. Figure 1. FULCRUM’S PROJECT LOCATIONS 2 FULCRUM LITHIUM LTD and its controlled entities Directors' Report During the half year ended 31 December 2024, a total of 8 drill holes (AFRC-1 to AFRC-8) of the 14 holes planned at the Alkali Flats project were completed for a total of approximately 1,295.5 metres. The final 6 holes (AFRC-9 to AFRC-14) were completed between the period from 7 January 2025 to 21 January 20251. Table 1 is a list of the drill holes completed and their coordinates using NAD 83 Zone 11 datum. Concurrently with the Phase 1 drilling, planning is underway for a Phase 2 drilling program with a view to commencing the Phase 2 drilling program in Q2 2025. Figure 2. ALKALI FLATS PHASE 1 DRILLING PLAN 1. Refer ASX announcement “Alkali Flats Project Update, 21 February 2025”. 3 FULCRUM LITHIUM LTD and its controlled entities Directors' Report Table 1. ALKALI FLATS PHASE 1 DRILL HOLE LOCATIONS AND DEPTH Drill Hole ID Easting Northing Elevation (M) Total Depth (M) AFRC-1 480568 4185258 1581 128.0 AFRC-2 481354 4184335 1600 131.1 AFRC-3 479982 4185235 1574 172.2 AFRC-4 479608 4184480 1585 175.3 AFRC-5 480493 4184399 1595 213.4 AFRC-6 481342 4183633 1615 105.2 AFRC-7 AFRC-8 480497 479182 4183616 4186900 1595 1545 228.6 141.7 AFRC-9 479183 4186899 1543 141.7 AFRC-10 479368 4183616 1584 105.2 AFRC-11 479223 4185291 1564 180.3 AFRC-12 480494 4182820 1610 227.0 AFRC-13 481295 4182791 1612 475.0 AFRC-14 482534 4181879 1616 228.0 2,393.0 TOTAL All 14 holes intersected the Seibert Formation at shallow depths, on average at 6m depth with a maximum alluvial overburden of 14m being intercepted. Drilling shows that the Seibert Formation geology comprises an interbedded mixture of claystones, volcanic tuffs, tuffaceous volcaniclastic sands and gravels. A weathered and fresh basalt flow was commonly intersected in a number of holes which correlates to the Mira Basalt which is known to be present locally in the Seibert Formation. The thickness of claystones intersected in the Seibert Formation in the 14 holes ranges from 0m to 71.1m, averaging 26.7m and can be generally correlated in a lower and an upper zone (Figure 3). Drill cutting samples were securely transported to American Assay Laboratories. Assays for the 14 holes were received in January and February 2025 and confirm that 8 out of the 14 holes intersected zones of elevated lithium mineralisation, above 300ppm1. The full table of significant lithium assay results can be found in Table 2. The highest zones intersected are highlighted as:     AFRC-3: AFRC-4: and AFRC-7: AFRC-1: 21.3m @ 507ppm Li with internal values up to 617ppm Li 13.7m @ 471ppm Li with internal values up to 594ppm Li 9.1m @ 770ppm Li with internal values up to 919ppm Li 15.2m @ 360ppm Li with internal values up to 450ppm Li 6.1m @ 454ppm Li with internal values up to 490ppm Li 4 FULCRUM LITHIUM LTD and its controlled entities Directors' Report Table 2. ASSAY RESULTS SHOWING ZONES ABOVE 300PPM Li Drill Hole ID From (m) To (m) Length (m) Li (ppm) AFRC-1 24.4 AFRC-2 1.5 33.5 9.1 427 3.0 1.5 304 and 66.5 67.1 1.6 457 AFRC-3 103.6 124.9 21.3 507 AFRC-4 6.1 19.8 13.7 471 and 137.2 146.3 9.1 771 AFRC-5 1.5 4.6 3.1 353 No zones > 300PPM AFRC-6 AFRC-7 44.2 59.4 15.2 360 No zones > 300PPM AFRC-8 No zones > 300PPM AFRC-9 AFRC-10 16.8 18.3 1.5 432 and 24.4 25.9 1.5 336 AFRC-11 79.2 85.3 6.1 335 AFRC-12 No zones > 300PPM AFRC-13 No zones > 300PPM AFRC-14 No zones > 300PPM Figure 3. CROSS SECTION OF SELECTED ALKALI FLATS PHASE 1 DRILL HOLES DISPLAYING INTERCEPTED LITHOLOGIES AND LITHIUM CONCENTRATION (15X VERTICAL EXAGGERATION) 5 FULCRUM LITHIUM LTD and its controlled entities Directors' Report Geological Mapping Program On completion of the Phase 1 drilling program, a team of Fulcrum geologists were mobilised to site in February 2025 to commence a comprehensive geological mapping and sampling program across the full 230km2 of claims holdings of the Alkali Flats, Fairway and Summit projects. The geological mapping results will be incorporated along with the full set of drilling results and geological interpretation from Phase 1 drilling, to plan the Phase 2 drilling program scheduled for Q2 2025. Summit Project The Summit project comprises 160 lode claims, an area of 13 km2, located in the Lida Valley, Nevada, USA (Figure 1). No field activities were undertaken during the half yearly period at the Summit exploration licences. Subsequently, on completion of the Alkali Flats Phase 1 drilling program, a team of Fulcrum geologists were mobilised to site in February 2025 to commence a comprehensive geological mapping and sampling program across the Summit project1. The geological mapping results will be incorporated along with the full set of drilling results and geological interpretation from Phase 1 drilling, to plan the Phase 2 drilling program scheduled for Q2 2025. Fairway Project The Fairway project comprises 327 lode claims, an area of 27 km2 located in the Fish Lake Valley, Nevada, USA (Figure 1). No field activities were undertaken during the half yearly period at the Fairway exploration licences. Subsequently, on completion of the Alkali Flats Phase 1 drilling program, a team of Fulcrum geologists were mobilised to site in February 2025 to commence a comprehensive geological mapping and sampling program across the Fairway project. The geological mapping results will be incorporated along with the full set of drilling results and geological interpretation from Phase 1 drilling, to plan the Phase 2 drilling program scheduled for Q2 2025. NO MATERIAL CHANGES The Company confirms it is not aware of any new information or data that materially affects the information included in this report and that all material assumptions and technical parameters underpinning the Exploration Results and Exploration Targets in this announcement continue to apply and have not materially changed. CORPORATE During half year ended 31 December 2024, the Company through the successful Initial Public Offer (IPO), issued 48,500,000 ordinary fully paid shares at 20 cent each raising $9,700,000 before costs. The Company was admitted to the official list of the Australian Securities Exchange (ASX) and on 22 November 2024 the Company’s ordinary shares commenced quotation on the ASX. The Company issued 3,000,000 performance rights to Directors of the company expiring 18 months from the date of issue at a nil consideration. The performance rights will convert on a 1 for 1 basis into ordinary shares for nil consideration subject to the satisfaction of the Company admission to the ASX official quotation and completing at least 10 drill holes of which a minimum of 450 metres is drilled in total across the 10 holes, with at least one intersection returning a minimum grade of 750 ppm lithium. During December 2024, drilling at the Alkali Flats project commenced. 6 FULCRUM LITHIUM LTD and its controlled entities Directors' Report SUBSEQUENT EVENTS On 21 February 2025, the second vesting conditions on the performance rights that were granted to the Directors have been completed. Other than the matter described above, there have been no matters or circumstances have arisen since the end of the half year which significantly affected or may significantly affect the operations of the Group, the results of those operations, or the state of affairs of the Group in future financial years. COMPETENT PERSON’S STATEMENT The information in this Report that relates to Exploration Results is based on, and fairly represents, information and supporting documentation prepared by Mr Bill R. Fleshman of Global Geological Services, LLC, a geologist who is a Fellow and Chartered Professional of the Australasian Institute of Mining and Metallurgy and (FAusIMM CP Geology #107342) and has sufficient experience which is relevant to the style of mineralisation and type of deposit under consideration and to the activities which are 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’. Mr Fleshman is an independent consulting geologist and consents to the inclusion of the Exploration Results and Exploration Targets and supporting information in the form and context in which it appears. LEAD AUDITOR’S INDEPENDENCE DECLARATION The lead auditor’s independence declaration is set out on page 8 and forms part of the Directors' Report for the half year ended 31 December 2024. This report has been signed in accordance with a resolution of the directors and is dated 13 March 2025: Signed at Sydney this 13th day of March 2025 Norman A. Seckold Peter J. Nightingale 7 Lead Auditor’s Independence Declaration under Section 307C of the Corporations Act 2001 To the Directors of Fulcrum Lithium Ltd I declare that, to the best of my knowledge and belief, in relation to the review of Fulcrum Lithium Ltd for the half-year ended 31 December 2024 there have been: i. no contraventions of the auditor independence requirements as set out in the Corporations Act 2001 in relation to the review; and ii. no contraventions of any applicable code of professional conduct in relation to the review . KPMG Adam Twemlow Partner Gold Coast 13 March 2025 KPM_INI_01 K PAR_SIG_01 PAR_NAM_01 PAR_POS_01 PAR_DAT_01 PAR_CIT_01 8 KPMG, an Australian partnership and a member firm of the KPMG global organisation of independent member firms affiliated with KPMG International Limited, a private English company limited by guarantee. All rights reserved. The KPMG name and logo are trademarks used under license by the independent member firms of the KPMG global organisation. Liability limited by a scheme approved under Professional Standards Legislation. FULCRUM LITHIUM LTD and its controlled entities CONDENSED CONSOLIDATED INTERIM STATEMENT OF PROFIT OR LOSS AND OTHER COMPREHENSIVE INCOME FOR THE HALF YEAR ENDED 31 DECEMBER 2024 Consolidated Notes 31 December 2024 31 December 2023 $ $ Continuing operations Administration costs Consultants’ fees 9 (527,477) (94,163) (253,481) (822,629) Other expenses from ordinary activities (24,365) (21,900) Operating loss before financing income (805,323) (938,692) Interest income 16,151 14,317 Interest expense - - 16,151 14,317 (789,172) (924,375) Income tax expense - - Loss for the period (789,172) (924,375) Exchange differences on translation of foreign operations 287,938 (86,025) Total comprehensive loss for the period (501,234) (1,010,400) (0.84) (1.21) Net financing income Loss before income tax expense Other comprehensive income Basic and diluted loss per share (cents) The above Condensed Consolidated Interim Statement of Profit or Loss and Other Comprehensive Income should be read in conjunction with the accompanying notes. 9 FULCRUM LITHIUM LTD and its controlled entities CONDENSED CONSOLIDATED INTERIM STATEMENT OF FINANCIAL POSITION AS AT 31 DECEMBER 2024 Consolidated Notes 31 December 2024 30 June 2024 $ $ Current assets Cash and cash equivalents Other assets 7,755,559 55,785 18,502 211,088 7,774,061 266,873 3 Total current assets Non-current assets Other financial assets 3 20,314 18,851 Property plant and equipment 4 3,188 - Exploration and evaluation expenditure 5 4,037,709 2,642,274 Total non-current assets 4,061,211 2,661,125 Total assets 11,835,272 2,927,998 399,888 107,676 Total current liabilities 399,888 107,676 Total liabilities 399,888 107,676 11,435,384 2,820,322 Current liabilities Trade and other payables 6 Net assets Equity Issued capital 7 12,734,918 3,872,103 Reserves 8 532,298 (9,121) Accumulated losses (1,831,832) (1,042,660) Total equity 11,435,384 2,820,322 The above Condensed Consolidated Interim Statement of Financial Position should be read in conjunction with the accompanying notes. 10 FULCRUM LITHIUM LTD and its controlled entities CONDENSED CONSOLIDATED INTERIM STATEMENT OF CHANGES IN EQUITY FOR THE HALF YEAR ENDED 31 DECEMBER 2024 Notes Performance Accumulated Rights Losses Reserve Issued Capital $ Balance as at 1 July 2023 Total comprehensive income for the period $ $ Foreign Currency Translation Reserves Total $ $ 3,012,103 (17,309) - 20,730 3,015,524 Loss for the period - (924,375) - - (924,375) Other comprehensive loss - - - (86,025) (86,025) Total comprehensive loss for the period - (924,375) - (86,025) (1,010,400) 860,000 - - - 860,000 3,872,103 (941,684) - (65,295) 2,865,124 Performance Accumulated Rights Losses Reserve Foreign Currency Translation Reserves Total $ $ Transactions with owners, recorded directly in equity Contribution by and distribution to owners Ordinary shares issued Balance as at 31 December 2023 7,8 Notes Issued Capital $ Balance as at 1 July 2024 Total comprehensive income for the period Loss for the period Other comprehensive gain Total comprehensive gain / (loss) for the period $ $ 3,872,103 (1,042,660) - (789,172) - - (9,121) 2,820,322 - (789,172) 287,938 287,938 287,938 (501,234) - 9,700,000 - (837,185) - - - (789,172) Ordinary shares issued 9,700,000 - Transaction costs on shares issued (837,185) - - - 253,481 - 253,481 12,734,918 (1,831,832) 253,481 278,817 11,435,384 - Transactions with owners, recorded directly in equity Contribution by and distribution to owners Share-based payment Balance as at 31 December 2024 7,8 - The above Condensed Consolidated Interim Statement of Changes in Equity should be read in conjunction with the accompanying notes. 11 FULCRUM LITHIUM LTD and its controlled entities CONDENSED CONSOLIDATED INTERIM STATEMENT OF CASH FLOWS FOR THE HALF YEAR ENDED 31 DECEMBER 2024 Consolidated Notes 31 December 2024 31 December 2023 $ $ (430,456) (412,541) 16,151 14,317 (414,305) (398,224) (942,465) (1,128,737) (3,256) - (945,721) (1,128,737) Cash flows from operating activities Cash payments in the course of operations Interest received Net cash used in operating activities Cash flows from investing activities Payments for exploration and development expenditure Payments for plant and equipment Net cash used in investing activities Cash flows from financing activities Proceeds from share issues 7 9,700,000 150,000 Transaction costs on shares issued 7 (640,200) - Proceed from borrowings 11 1,000,000 - Repayment of borrowings 11 (1,000,000) - Net cash from financing activities 9,059,800 150,000 Net increase/(decrease) in cash held 7,699,774 (1,376,961) 55,785 1,539,214 7,755,559 162,253 Cash and cash equivalents at the beginning of the half year Cash and cash equivalents at the end of the half year The above Condensed Consolidated Interim Statement of Cash Flows should be read in conjunction with the accompanying notes. 12 FULCRUM LITHIUM LTD and its controlled entities NOTES TO THE CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS FOR THE HALF YEAR ENDED 31 DECEMBER 2024 1 Reporting Entity Fulcrum Lithium Ltd (the Company) is a for-profit company limited by shares, incorporated and domiciled in Australia. The condensed consolidated interim financial statements of the Company as at and for the half year ended 31 December 2024 comprises the Company and its subsidiaries (together referred to as the Group). The consolidated annual financial statements of the Company as at and for the year ended 30 June 2024 are available upon request from the Company’s registered office at Level 2, 66 Hunter Street, Sydney, NSW, 2000 or at www.fulcrumlithium.com. This condensed consolidated interim financial report was approved by the Board of Directors on 13 March 2025. 2 Basis of Preparation (a) Statement of compliance The condensed consolidated interim financial statements are general purpose financial statements which has been prepared in accordance with Australian Accounting Standards (AASBs) adopted by the Australian Accounting Standards Board (AASB) and the Corporations Act 2001. The financial statements of the Group comply with International Financial Reporting Standards (IFRS) and interpretations adopted by the International Accounting Standards Board (IASB). Selected explanatory notes are included to explain events and transactions that are significant to an understanding of the changes in financial position and performance of the Group since the last consolidated financial statements as at and for the year ended 30 June 2024. The condensed consolidated interim financial statements do not include all the information required for full annual financial statements and should be read in conjunction with the consolidated financial statements of the Group as at and for the year ended 30 June 2024. (b) Use of estimates and judgements The preparation of the condensed consolidated interim financial statements requires management to make judgements, estimates and assumptions that affect the application of accounting policies and the reported amounts of assets, liabilities, income and expense. Actual results may differ from these estimates. The significant judgements made by management in applying the Group's accounting policies and the key sources of estimation uncertainty were the same as those that applied to the consolidated financial statements for the period ended 30 June 2024:    Going concern - Note 2(c) Exploration and evaluation assets - Note 5 Share-based payments – Note 9 (c) Going concern The consolidated interim financial statements have been prepared on a going concern basis which contemplates the continuation of normal business operations and the realisation of assets and settlement of liabilities in the normal course of business. For the interim period ended 31 December 2024, the Group incurred a loss of $789,172. Further, it used $414,305 of cash in operations and $942,465 of cash for exploration and evaluation expenditure over the interim period. During the interim period the Group raised net cash of $8,862,815 through a share issue. At period end it had cash of $7,755,559. The Directors have prepared cash flow projections for the period to 31 March 2026 which indicate the Group has sufficient cash to continue as a going concern. These cash flow projections assume the Group continues exploration activities in its areas of interest. (d) Changes in accounting policies The accounting policies applied in these condensed consolidated interim financial statements are consistent with those applied in the 30 June 2024 financial report. (e) New accounting standards and interpretations not yet adopted The AASB has issued new and amended Accounting Standards and Interpretations that have mandatory application dates for future reporting periods. The Group has decided not to early adopt these Accounting Standards. 13 FULCRUM LITHIUM LTD and its controlled entities NOTES TO THE CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS FOR THE HALF YEAR ENDED 31 DECEMBER 2024 31 December 2024 $ 3 Other assets Current Withholding tax on deposits recoverable GST receivable Prepayments 6,450 12,052 18,502 6,450 366 204,272 211,088 20,314 18,851 3,256 (68) 3,188 - 3,400,980 208,008 428,721 4,037,709 2,199,580 145,035 297,659 2,642,274 Alkali Flats Balance at beginning of the period Additions Foreign currency translation movement Net book value 2,199,580 1,030,753 170,647 3,400,980 1,227,295 1,007,769 (35,484) 2,199,580 Summit Balance at beginning of the period Additions Foreign currency translation movement Net book value 145,035 51,721 11,252 208,008 139,617 5,418 145,035 Fairway Balance at beginning of the period Additions Foreign currency translation movement Net book value 297,659 107,969 23,093 428,721 298,172 (513) 297,659 Non-current Bond deposit 4 Property plant and equipment Computer at cost Accumulated depreciation Net book value 5 30 June 2024 $ Exploration and evaluation expenditure Alkali Flats project Summit project Fairway project The recoverability of the carrying amount of the exploration and evaluation assets is dependent on successful development and commercial exploitation, or alternatively, sale of the respective areas of interest. 14 FULCRUM LITHIUM LTD and its controlled entities NOTES TO THE CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS FOR THE HALF YEAR ENDED 31 DECEMBER 2024 31 December 2024 $ 6 7 Trade and other payables Trade creditors Accruals Balance at end of period 30 June 2024 $ 368,177 31,711 40,922 66,754 399,888 107,676 Issued capital 31 December 2024 30 June 2024 Number $ Number 82,600,005 3,872,103 74,000,005 3,012,103 Issued ordinary shares 6 November 2023 for $0.10 - - 7,100,000 710,000 Issued ordinary shares 12 December 2023 for $0.10 - - 1,500,000 150,000 Issued ordinary shares 18 November 2024 for $0.20 48,500,000 9,700,000 - (837,185) - - 131,100,005 12,734,918 82,600,005 3,872,103 Ordinary fully paid shares at beginning of the period $ Movement in ordinary shares Issue costs The movement in issued capital during the half year period to 31 December 2024 included the following: On 6 November 2023, the Company issued 7,100,000 ordinary shares at an issue price of $0.10 per share for $710,000 in consideration for the novation of the Fairway project to Flasher LLC, a Company incorporated in the state of Nevada, USA. Refer to note 11 for further details. On 18 November 2024, the Company successfully completed the Initial Public Offer issuing 48,500,000 ordinary fully paid shares at 20 cent each raising $9,700,000 before costs and admitted to the ASX on 20 November 2024. Terms and conditions – Shares Holders of ordinary shares are entitled to receive dividends as declared from time to time and are entitled to one vote per share at the shareholders meetings. In the event of winding up of the Company, ordinary shareholders rank after creditors and are fully entitled to any proceeds of liquidation. 8 Reserves 31 December 2024 $ Foreign currency translation reserve Performance share reserve 30 June 2024 $ 278,817 253,481 532,298 (9,121) (9,121) (9,121) 287,938 278,817 20,730 (29,851) (9,121) Share based payment – vested performance rights 253,481 - Balance at end of period 253,481 - Foreign currency translation reserve Balance at the beginning of the period Currency translation differences Balance at end of period Performance rights reserve Balance at the beginning of the period 15 FULCRUM LITHIUM LTD and its controlled entities NOTES TO THE CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS FOR THE HALF YEAR ENDED 31 DECEMBER 2024 9 Share based payment On 22 March 2024, the Company granted 3,000,000 performance rights to Directors of the Company expiring 18 months from date of quotation on the ASX. The performance rights include non-market performance conditions. The fair value of the performance rights on grant date was determined to be 10 cents per performance right which was based on the share price at grant date. These performance rights will vest upon the following:  the Company receiving conditional approval to be admitted to Official Quotation on the ASX; and  the Company completing at least 10 drill holes of which a minimum of 450 metres is drilled in total across the 10 holes, with at least one intersection returning a minimum grade of 750 ppm lithium. Upon satisfying the vesting condition the performance rights will convert o