And let's not forget this "little pearler"Carrying value of...

And let's not forget this "little pearler"

Carrying value of exploration and evaluation expenditureThe Group has capitalised exploration and evaluation expenditure of $10,649,560 as at 30 June 2024 (2023:$6,284,940). This amount includes additions of $4,364,620 for administration and exploration costs and tenementcosts written off of $Nil (2023: $92,391) for the lithium project areas during the year. Exploration and evaluationexpenditure is capitalised until the Company has completed its assessment of the existence or otherwise ofrecoverable resources. The ultimate recovery of the carrying value of exploration expenditure is dependent uponthe successful development and commercial exploitation or, alternatively, sale of the interest in the tenements.Until exploration and evaluation activities have reached a stage where the assessment is complete, including theforecasting of cash flows to assess the fair value of the expenditure, there is an uncertainty as to the carrying valueof the expenditure.

Without carrying that $ 10,649,560 (which they may never realise) as an asset, 1MC is trading whilst insolvent.