Ann: Annual Report to shareholders, page-19

Finally read the report tonight and it's not a good look for us holders imo. For those who read this as a good report then it's obvious to me why LNY has been in this mess for many years imo. Sadly what I have been saying for last 12 mths or so is validated imo and amplifies many concerns to me as it should for holders. This report isn't one to be celebrating the performance of LNY imo, quite the opposite. Cash on hand very concerning, even the Auditor highlights this risk among others, only $593k at end of 30 June..

My concerns from start of report.

Ashford deal terrible deal imo ANW AusTin- SP 0.001c and not a liquid stock, been that way for many years. This deal is imo conflicted. 2 of ANW management also on same board as SB (LNY) Armour Energy and rest are on multiple boards as each other like Dark Horse, Sol Gold, DGR Global, Iron Ridge etc. Office down road from LNY. Conflicted an No independence for their holders imo.

LNY management are all mainly made up of financial types. LNY says they have 3 independent directors, excluding SB holds 28%. Also no independent body oversees remuneration/bonuses the company sets it all. I absolutely disagree imo about having no conflict and all 3 are independent directors. Just look below and make up your own minds. Where's the independence?? Maybe one - MB.

SB Finance background - 1.09 Bil shares 28.8%. Chairman of both, LNY and BCP (BCP earns excessive rent imo from LNY $64.7k 2019, Nov to June 20 $57.2K) Director of Armour Energy same as 2 of ANW.
PW   Finance - 13 Mil shares. Director LNY and Partner of BCP with SB & Dir of Bass Metals same as RA.
RA Lawyer -  74.7 Mil shares. Director LNY and Bass Metals same as PW.
MB   Media -  152.3 Mil shares. Director LNY and not sure if he has any common interests

PM Finance/Law - 100 Mil shares. Company Secretary LNY.   
SH Geo -  10.75 Mil shares. COO formally Operations Manager.

Total shares on issue 3.7 Billion and Management hold 1.44 Billion shares. Which is 39%. Might go to 42% if convertible notes converted in 2021. However Top 20 own 2 Billion 53% of shares and I would say 80-85% would all be SB/LNY supporters imo. Any top 20 holders on here who are also not pleased???

So not sure where holders got SB or Board control 70%, I think it might be a range from 43-50% and this is a workable range for those who are inclined to spill a board. So only need to a mail out to 1500 holders. No need to do 5125 on register. But not impossible but all would need to vote against, which is difficult imo.

Now the go slow mining in 2020 at Agate Creek which frustrates most of us especially when we are in a booming gold cycle!! 12 Months since last mined, apparently Covid was to blame. Seriously!! Maroon Gold figures in 2019 angered me last year and re reading them has ignited a sense of how this deal went ahead and concerns for me.

Other holders have complained about the Gold sales on here so I won't break it all down again. But they basically mined 8500 Oz gold = $19Mil and LNY only got 2636 Oz gold = $5.7Mil and Maroon still owes us $1.8Mil and why the company hasn't filed for this debt is beyond comprehension to me. LNY has to explain this imo!

Remuneration one would have thought pay would have reflected the companies comments that LNY was impacted by Covid and pay scaled back but NO, they paid themselves increases. Demonstrates clear empathy for the holders to me, NOT! Look at last part of Maroon mining we got such small income from gold and LNY even claimed Govt Subsidies like Job Keeper $36k and Aust cash flow boost $62.5k. Especially when the SP fell from 0.01c to 0.003-0.006c management remuneration was excessive and unacceptable when Aust markets collapsed and LNY didn't really do anything imo.

SB   (weekly rate $3000) Rem increased from $123k to $156k = 27% increase
PM  (weekly rate $3000) Rem increased from $132k to $156k = 18% increase
SH   (fixed $219k)  Rem maintained $221k (note in 2019 "bonuses of 10 mil shares REM $310k")
RA Rem increased from $37k to $48k = 30% increase
MB   Rem increased from $37k to $48k = 30% increase
PW   Rem increased from $37k to $48k = 30% increase

This doesn't include their properly incurred expenses such as travelling etc etc.

Finally it's clearly evident to me that a lot of holders are clearly unhappy, even furious with the contempt, arrogance and poor communications then alone the poor performance of LNY imo. Basically wasting the true potential in all time gold cycle highs. LNY even had a few ASX Corporate Act issues, late reports etc.

Hence I believe imo the Company is concerned so they even "paid a premium to insure each of their directors against liabilities for costs and expenses incurred by them in defending any legal proceedings arising out of their conduct while acting as Directors". Why and how much is this ?

This is not a good look, it's obvious to me imo the company doesn't have a good relationship with many holders. Sadly it's clearly broken down imo and again imo rightly so LNY have not done anywhere enough to unlock wealth for holders as I see it. The excessive pay increases while my substantial shares sit on substantial losses is totally unacceptable to me!

This post is all imo and understanding from what I have read from this report so I encourage all to DYOR and some figures are rounded, GLTA. Hope my exit is soon. Over LNY..