Page 76 - Bauxite Resources Annual Report 2014

74 | Bauxite Resources Annual Report 2014
NOTES TO THE FINANCIAL STATEMENTS
Notes to the Financial Statements cont.
Annual Report 2014 Bauxite Resources 74
21. COMMITMENTS
Consolidated Group
2014 2013
$ $
(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 1,370,406 1,688,816
later than one year but not later than five years 1,965,735 3,461,371
Later than five years - -
3,336,141 5,150,187
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 $2,660,412 (2013: $3,604,054) within one year and $4,160,285 (2013:
$7,262,068) later than one year but not later than five years.
(b) Commercial property lease commitments
within one year 731,456 702,023
later than one year but not later than five years 432,905 1,164,361
Later than five years - -
Aggregate lease expenditure contracted for at reporting date but not recognised as
liabilities 1,164,361 1,866,384
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 30 that are not recognised as liabilities and are not included
in the key management personnel compensation.
within one year 120,000 180,000
later than one year but not later than five years - -
Later than five years - -
120,000 180,000
22. RELATED PARTY TRANSACTIONS
Consolidated Group
2014 2013
$ $
(a) Amounts received from related parties
Bauxite Alumina Joint Ventures Pty Ltd 402,077 337,817
Bauxite Resource Joint Venture 113,723 189,919
Alumina Refinery Joint Venture - -
515,800 527,736
(b) Amounts paid to related parties (excluding equity contributions
Bauxite Alumina Joint Ventures Pty Ltd 19,098 20,960
Bauxite Resource Joint Venture 21,334 65,005
Alumina Refinery Joint Venture - -
40,432 85,965