IGO Interactive Annual Report 2018

Notes to the consolidated financial statements 30 June 2018 (continued) 20 Derivatives (continued) Diesel (continued) Litres of oil ('000) Weighted average price (AUD/litre) Fair value 2018 2017 2018 2017 2018 $'000 2017 $'000 0 - 6 months 5,400 16,464 0.51 0.48 1,342 36 6 -12 months 2,700 16,560 0.51 0.49 648 (91) 1 - 2 years - 8,640 - 0.51 - (251) Total 8,100 41,664 0.51 0.49 1,990 (306) Copper There were no copper commodity contracts, or foreign exchange contracts which matched the terms of the commodity contracts, held by the Group at 30 June 2018. The table below details the outstanding copper commodity contracts which were outstanding at 30 June 2017: Tonnes of metal Weighted average price (USD/metric tonne) Fair value 2018 2017 2018 2017 2018 $'000 2017 $'000 0 - 6 months - 1,020 - 5,613 - (435) 6 - 12 months - 1,020 - 5,613 - (475) Total - 2,040 - 5,613 - (910) The following table details the forward foreign currency contracts outstanding at the reporting date: Notional amounts (USD) Weighted average AUD:USD exchange rate Fair value 2018 $'000 2017 $'000 2018 2017 2018 $'000 2017 $'000 Sell USD forward 0 - 6 months - 5,725 - 0.7353 - 330 6 - 12 months - 5,726 - 0.7336 - 327 Total - 11,451 - 0.7345 - 657 (b) Recognition and measurement Derivatives are initially recognised at fair value on the date a derivative contract is entered into and are subsequently remeasured to their fair value at the end of each reporting period. The accounting for subsequent changes in fair value depends on whether the derivative is designated as a hedging instrument, and if so, the nature of the item being hedged. The Group designates certain derivatives as either: • hedges of the fair value of recognised assets or liabilities or a firm commitment (fair value hedges); or • hedges of a particular risk associated with the cash flows of recognised assets and liabilities and highly probable forecast transactions (cash flow hedges). Independence Group NL 37 IGO ANNUAL REPORT 2018— 101 NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS 30 JUNE 2018