NOTES TO THE CONSOLIDATED FINANCIAL  STATEMENTS FOR THE YEAR ENDED 30 JUNE 2011 1. CORPORATE INFORMATION 2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (A) BASIS OF PREPARATION The financial report of Metals X Limited for the year ended 30 June 2011 was authorised for issue in accordance  with a resolution of the Directors on 13 September 2011. Metals X Limited (“the Parent”) is a company limited by shares incorporated in Australia whose shares are  publicly traded on the Australian Securities Exchange. The nature of the operations and principal activities of the Consolidated Entity are described in the Directors’  Report. The address of the registered office is Level 3 Hyatt Centre, 123 Adelaide Terrace, East Perth, WA 6004. The financial report is a general purpose financial report, which has been prepared in accordance with the  requirements of the Corporations Act 2001 and Australian Accounting Standards and other authorative  pronouncements of the Australian Accounting Standards Board. The financial report has been prepared on a historical cost basis, except for derivative financial instruments and  available-for-sale investments, which have been measured at fair value. The financial report is presented in Australian dollars. The financial report complies with Australian Accounting Standards as issued by the Australian Accounting  Standards Board which include International Financial Reporting Standards (IFRS) as issued by the International  Accounting Standards Board. In the current year, the Consolidated Entity has adopted all of the new and revised Standards and Interpretations  issued by the Australian Accounting Standards Board (the AASB) that are relevant to its operations and effective  for annual reporting periods beginning on 1 July 2010. The adoption of these new and revised Standards and  Interpretations did not have any effect on the financial position or performance of the Consolidated Entity. The Australian Standards and Interpretations mandatory for reporting periods beginning on or after 1 July 2010,  adopted include: •  AASB 2009-5 Amendments to Australian Accounting arising from the Annual Improvements Project; •  AASB 2009-8 Amendments to Australian Accounting - Group Cash-settled Share-based Payment Transactions  (AASB 2); and  •  AASB 2010-3 Amendments to Australian Accounting arising from the Annual Improvements Project. Australian Accounting Standards and Interpretations that have recently been issued or amended but are not yet  effective have not been adopted by the Consolidated Entity for the annual reporting period ending 30 June 2011.  A full assessment has not yet been completed of the impact of all the new or amended Accounting Standards and  interpretations issued but not effective. These are outlined in the table below: (B) STATEMENT OF COMPLIANCE Adoption of new accounting standards 53  NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2011