Thought this was a good question so reached out to the company for an answer.
Dominic Allen was kind enough to reply:
The funds received to date are in the cash flow statement, but do not sit under Item 1.7 for accounting purposes. From an accounting perspective, IperionX is acquiring equipment on behalf of the DoD on an agency basis.
The company does not recognize the PP&E on the balance sheet, nor does it recognize grant income or liability to the DoD, only a receivable for any reimbursements due from the DoD.
Please see the note attributed to Item 2.2 in the Appendix 5B as an example.
IPX Price at posting:
$2.16 Sentiment: Buy Disclosure: Held
