COPY OF FINAL PROSPECTUS - Mirabela Nickel

Selected Annual Financial Information
For a summary of the Company’s annual results for each of the Company’s two most recently completed
financial years, see ‘‘Selected Consolidated Financial Information’’.
Six Months Ended December 31, 2006 Compared to Six Months Ended December 31, 2005
Financial Position and Results of Operations
In the six month period ended December 31, 2006, Mirabela continued to focus on developing the Santa
Rita Project and completing the BFS. Activities during the six months ending December 31, 2006 included
drilling to upgrade and extend the Santa Rita resource, exploration of the Peri Peri project area two kilometres
to the north-east of the Santa Rita Project, conformation of the Palestina project area (25 kilometres to the
south of the Santa Rita Project) and various studies into the operational aspects of the proposed mill as part of
the BFS.
In the six month period ended December 31, 2006, the Company also signed a memorandum of
understanding with the Bahia State government in respect of the fiscal benefit package for the development of
the Santa Rita Project and concluded agreements for the purchase of four farms totalling 1,724 hectares,
comprising all the land management believes to be required for the Santa Rita Project.
Also, in December, 2006, the Company’s environmental impact assessment report was approved by the
environmental authorities and the Company was issued a Licença de Localização, the preliminary environmental
licence.
The Company’s principal source of income during the six month period ended December 31, 2006 was from
interest on bank deposits which amounted to A$297,061 compared to A$161,918 for the fiscal year ended
June 30, 2006 and A$18,954 for the six month period ended December 31, 2005. This increase in income reflects
the higher level of average cash balances invested in interest-bearing short term deposits and an increase in the
deposit rate obtainable on invested cash.
The consolidated net loss for the six months ended December 31, 2006 amounted to A$713,898 (A$0.01 per
share) compared to A$925,760 (A$0.02 per share) for the fiscal year ended June 30, 2006 and A$328,360
(A$0.01 per share) for the six months ended December 31, 2005. The change in consolidated net loss is primarily
the result of increases in general and administrative expenses and exploration and evaluation expenditures.
General and administrative expenses were A$949,220 for the six month period ended December 31, 2006 as
compared to A$1,080,627 for the fiscal year ended June 30, 2006 and A$347,314 for the six month period ended
December 31, 2005. General and administrative costs increased as a result of the addition of staff members and
increased activity across the Company leading to an increase in IT support, printing and stationery,
communications, travel and depreciation.
During the six month period ended December 31, 2006, Mirabela incurred expenses of A$11,848,091 on
exploration and evaluation activities. This compares to A$3,027,560 for the six month period ended
December 31, 2005 and A$8,938,690 for the fiscal year ended June 30, 2006. This increase was primarily due to
the cost of activities conducted in connection with the BFS and the cost of resource drilling and assays required
to upgrade the Santa Rita resource.
The Company’s exploration and evaluation expenditures have primarily related to the BFS, expected to be
completed in May 2007.
Cash Flow
Total cash and cash equivalents on hand at December 31, 2006 was A$28,708,269 compared to A$6,427,797
as at June 30, 2006 and A$767,459 as at December 31, 2005, principally on account of the proceeds of the private
placements completed in August and December 2006.
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