Westgold Resources Limited Annual Report 2021

82 Westgold Resources Limited Annual Report 2021 for the year ended 30 June 2021 FINANCIAL REPORT NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS 20. TRADE AND OTHER PAYABLES 2021 2020 Trade creditors (a) 44,573,485 34,521,626 Sundry creditors and accruals (b) 39,209,946 35,143,292 83,783,431 69,664,918 The carrying value of trade and other payables approximates the fair value. (a) Trade creditors are non-interest bearing and generally on 30-day terms. (b) Sundry creditors and accruals are non-interest bearing and generally on 30-day terms. 21. PROVISIONS (current) 2021 2020 Provision for annual leave 9,262,707 7,884,585 Provision for long service leave 2,142,555 1,902,341 11,405,262 9,786,926 22. PROVISIONS (non-current) 2021 2020 Provision for long service leave 2,277,616 1,839,187 Provision for rehabilitation (a) 74,840,940 76,650,886 77,118,556 78,490,073 (a) Provision for rehabilitation The Group makes full provision for the future cost of rehabilitating mine sites and related production facilities on a discounted basis at the time of developing the mines and installing and using those facilities. The rehabilitation provision represents the present value of rehabilitation costs relating to mine sites, which are expected to be incurred up to 2030, which is when the producing mine properties are expected to cease operations. These provisions have been created based on the Group’s internal estimates. Assumptions based on the current economic environment have been made, which management believe is a reasonable basis upon which to estimate the future liability. These estimates are reviewed regularly to take into account any material changes to the assumptions. However, actual rehabilitation costs will ultimately depend upon future market prices for the necessary rehabilitation works required that will reflect market conditions at the relevant time. Furthermore, the timing of rehabilitation is likely to depend on when the mines cease to produce at economically viable rates. This, in turn, will depend upon future gold prices, which are inherently uncertain. The discount rates used in the calculation of the provision as at 30 June 2021 range from 0.90% to 1.37% (2020: range from 0.58% to 0.87%). Refer to Note 3 for further detail. (b) Current and non-current movements in provision for rehabilitation 2021 2020 At 1 July 76,650,886 69,017,942 Disposal of subsidiary – – Adjustment due to revised conditions (2,157,420) 6,714,063 Unwind of discount 347,474 918,881 At 30 June 74,840,940 76,650,886