Overview of IGO's impairment of exploration assets in FY24

IGO Limited (ASX: $IGO) has announced that it expects to record an impairment against its exploration assets in the FY24 Financial Results. The impairment is a result of the comprehensive Exploration Business Review, focusing on rationalising the portfolio and allocating resources effectively to the most prospective targets. The expected impairment range for exploration assets is between $275M and $295M for the full year. This non-cash impairment will not impact IGO's FY24 EBITDA and will be included in the Company's FY24 Audited Financial Results to be released on 29 August 2024.

Executive commentary on the impairment of exploration assets

The impairment of exploration assets reflects our commitment to rigorously evaluate and optimize our exploration portfolio. We are dedicated to ensuring that our resources are directed towards the most commercially promising targets. While the impairment is a non-cash item and will not affect our FY24 EBITDA, it is an important step in aligning our exploration strategy with our long-term objectives. We remain focused on delivering value to our shareholders and stakeholders through disciplined decision-making and strategic resource allocation.

Summary of IGO's impairment announcement and outlook

IGO (ASX: $IGO) has announced an expected impairment of exploration assets in its FY24 Financial Results, following a comprehensive Exploration Business Review. The impairment range is projected to be between $275M and $295M for the full year, primarily related to the revaluation of specific nickel exploration assets and rationalisation of the broader exploration portfolio. This non-cash impairment will be included in the Company's FY24 Audited Financial Results and is not anticipated to impact the FY24 EBITDA. IGO remains committed to optimizing its exploration strategy and resource allocation to drive long-term value for its stakeholders.