Page 69 - Bauxite Resources Annual Report 2013

Notes to the Financial Statements cont.
Consolidated Group
2013
$
2012
$
19. REMUNERATION OF AUDITORS
(a) Audit services
Moore Stephens - audit and review of financial reports 34,425 34,906
Total remuneration for audit services 34,425 34,906
(b) Non-audit services
Moore Stephens – Taxation services 25,545 32,323
Total remuneration for other services 25,545 32,323
20. CONTINGENCIES
On 25 June 2010, Bauxite Resources Ltd was notified that a litigation funder proposed to fund claims that current or former
shareholders may have against the Company, in relation to the Company’s October 2009 share placement. Since then, the
litigation funder has not communicated further with the Company, and no legal proceedings have been commenced.
The Company will keep shareholders informed of any developments, including the commencement of any proceedings or any
announcement that the litigation funder no longer proposes to involve itself in any action. In view of the fact that there has been
no further correspondence from the litigation funder, and that the matter is no longer listed of the litigation founder’s website as
a pending matter, the Board has taken the decision that litigation funder does not intend pursuing this claim
Consolidated Group
2013 2012
$ $
21. COMMITMENTS
(a) Exploration commitments
The Company has certain commitments to meet minimum expenditure requirements on the mineral exploration assets it has an interest in.
Outstanding exploration commitments are as follows:
within one year 1,688,816 3,821,260
later than one year but not later than five years 3,461,371 10,371,874
5,150,187 14,193,134
The exploration commitments above reflect a commitment of 30% of total minimum annual expenditure requirements for tenements included
in the Bauxite Resource Joint Venture Agreement. As legal title remains with BRL, it is the responsibility of the Company to meet these
minimum expenditure requirements. Total commitments on tenements held by BRL total $3,604,054 (2012: $5,880,762) within one year and
$7,262,068 (2012: $16,143,626) later than one year but not later than five years.
(b) Commercial property lease commitments
within one year 702,023 673,784
later than one year but not later than five years 1,164,361 1,866,384
Later than five years - -
Aggregate lease expenditure contracted for at reporting date but not recognised
as liabilities 1,866,384 2,540,168
The property lease is a non-cancellable lease with a six-year term, with rent payable monthly in advance. Contingent rental provisions within
the lease agreement require the minimum lease payments to increase annually by set margins for 2 years followed by CPI increases. An option
exists to renew the lease at the end of the six-year term for an additional term of three years. The lease allows for subletting of all lease areas.
(c) Remuneration commitments
Amounts disclosed as remuneration commitments include commitments arising from the service contracts of key management personnel
referred to in section C of the remuneration report on page 29 that are not recognised as liabilities and are not included in the key
management personnel compensation.
within one year 180,000 165,000
later than one year but not later than five years - -
180,000 165,000
Annual Report 2013 Bauxite Resources 67