Nordic Energy Plc / Annual Financial Report
30-Oct-2015 / 18:58 CET/CEST
Dissemination of a Regulatory Announcement, transmitted by EQS Group AG.
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30 October 2015
Nordic Energy Plc
(‘Nordic’ or the ‘Company’)
Unaudited Final Results for the Year ended 31 May 2015
The Directors of Nordic Energy, the oil and gas E&P company focused on Denmark, Norway and the North Sea sectors of the Netherlands and the UK (Nordic area), are pleased to present the Company’s preliminary results for the full year ended 31 May 2015.
Chief Executive’s Statement
Highlights:
– extension of Phase 1 of Licence 1/13(‘Licence’) to 30/11/15; the largest exploration and production licence in the Danish North Sea.
– Loss before taxation for the year is £322,159 (2014 – £184,552), reflecting the low cost nature of the early stage development of the Company.
The Company’s long-term strategy is to build an attractive portfolio of oil and gas exploration and production assets predominantly in the North Sea and northern Europe, where the board has significant and relevant experience.
In the short term the Company will endeavour to continues appraise the potential within the existing Licence 1/13 held in the Danish North Sea. It is the Board’s intention to develop and mature Licence 1/13 supported by the completed maturation and migration study modelling, seismic attribute work and further mapping of prospects and structural interpretation through the acquisition of additional 2D, working toward the planning and acquisition of a 3D seismic programme as well as carrying out work to optimise a development concept for the Maja gas discovery and its surrounding accumulations. The Board recognises that further discussions will be needed with the Danish authorities and funds will need to be raised to allow for Nordic’s work programme to be progressed.
Ken Seymour, CEO, commented: ‘This has been a challenging year, but we continue to strive to maximise value for all shareholders.’
Consolidated statement of comprehensive income
for the year ended 31 May 2015
|
2015 |
2014 |
|
|
|
|
£ |
£ |
Continuing operations |
|
|
|
|
|
Administrative expenses |
337,932 |
174,307 |
|
|
|
Exchange loss / (gain) |
(5,731) |
10,722 |
|
_________ |
_________ |
|
|
|
Operating loss |
(332,201) |
(185,029) |
|
|
|
Finance income |
313 |
477 |
|
_________ |
_________ |
|
|
|
Loss before tax |
(331,888) |
(184,552) |
|
|
|
Income tax expense |
– |
– |
|
_________ |
_________ |
|
|
|
Loss for the year attributable to equity holders of the parent |
(331,888) |
(184,552) |
|
_________ |
_________ |
|
|
|
Other comprehensive income: |
|
|
Items that may be reclassified subsequently to profit or loss |
|
|
Exchange differences on translating foreign operations |
(7,902) |
(2,120) |
|
_________ |
_________ |
Other comprehensive income for the year (net of tax) |
(7,902) |
(2,120) |
|
|
|
Total comprehensive loss for the year
attributable to equity holders of the parent |
(339,790) |
(186,672) |
|
_________ |
_________ |
|
|
|
Loss per share |
|
|
Basic and diluted loss per share |
(0.3p) |
(0.2p) |
|
_________ |
_________ |
Statements of financial position
at 31 May 2015
|
Group |
Company |
Group & Company |
Company number 08068442 |
2015 |
2015 |
2014 |
|
|
|
|
|
£ |
£ |
£ |
Assets |
|
|
|
|
|
|
|
Intangible assets |
404,803 |
– |
315,337 |
Investments |
– |
401,972 |
– |
|
_________ |
_________ |
_________ |
|
|
|
|
Total non-current assets |
404,803 |
401,972 |
315,377 |
|
_________ |
_________ |
_________ |
|
|
|
|
Trade and other receivables |
2,882 |
911 |
27,304 |
Cash and cash equivalents |
42,551 |
42,551 |
278,644 |
|
_________ |
_________ |
_________ |
|
|
|
|
Total current assets |
45,432 |
43,462 |
305,948 |
|
_________ |
_________ |
_________ |
|
|
|
|
Total assets |
450,235 |
445,434 |
621,325 |
|
_________ |
_________ |
_________ |
|
|
|
|
Equity attributable to the equity
holders of the parent |
|
|
|
Issued capital |
102,972 |
102,972 |
100,732 |
Share premium |
619,802 |
619,802 |
622,042 |
|
|
|
|
Shares to be issued |
76,000 |
76,000 |
76,000 |
Warrants reserve |
71,431 |
71,431 |
71,430 |
Translation reserve |
7,747 |
– |
(2,120) |
Accumulated losses |
(675,032) |
(672,087) |
(356,804) |
|
_________ |
_________ |
_________ |
|
|
|
|
Total equity |
202,919 |
198,118 |
511,281 |
|
_________ |
_________ |
_________ |
|
|
|
|
Liabilities |
|
|
|
Trade and other payables |
247,315 |
247,315 |
110,044 |
|
_________ |
_________ |
_________ |
|
|
|
|
Total current liabilities |
247,315 |
247,315 |
110,044 |
|
_________ |
_________ |
_________ |
|
|
|
|
Total liabilities |
247,315 |
247,315 |
110,044 |
|
_________ |
_________ |
_________ |
|
|
|
|
Total equity and liabilities |
450,235 |
445,434 |
621,325 |
|
_________ |
_________ |
_________ |
Statement of cashflows
for the year ended 31 May 2015
|
Group |
Company |
Group & Company |
|
2015 |
2015 |
2014 |
|
|
|
|
|
£ |
£ |
£ |
|
|
|
|
Cash flows from operating activities |
|
|
|
Operating loss |
(335,146) |
(332,201) |
(185,029) |
Foreign exchange differences |
24,286 |
5,731 |
8,785 |
Share-based payments |
– |
– |
9,729 |
Shares issued in lieu of services |
– |
– |
5,774 |
(Increase) / Decrease in receivables |
32,339 |
24,423 |
(11,033) |
Increase in payables |
137,272 |
137,272 |
101,666 |
|
_________ |
_________ |
_________ |
|
|
|
|
Net cash utilised in operating activities |
(141,249) |
(164,775) |
(70,108) |
|
_________ |
_________ |
_________ |
|
|
|
|
Cash flows from investing activities |
|
|
|
Interest received |
313 |
313 |
477 |
Advance of loan to subsidiary |
– |
(65,900) |
– |
Acquisition of intangible assets |
(89,426) |
– |
(199,905) |
|
_________ |
_________ |
_________ |
|
|
|
|
Net cash utilised in investing activities |
(89,113) |
(65,587) |
(199,428) |
|
_________ |
_________ |
_________ |
|
|
|
|
Cash flows from financing activities |
|
|
|
Proceeds from the issue of share capital |
– |
– |
189,000 |
|
|
|
|
|
_________ |
_________ |
_________ |
|
|
|
|
Net cash from financing activities |
– |
– |
189,000 |
|
_________ |
_________ |
_________ |
|
|
|
|
Net (decrease) in cash and cash equivalents |
(230,362) |
(230,362) |
(80,535) |
Cash and cash equivalents at beginning of year |
278,644 |
278,644 |
370,084 |
Effect of exchange rate fluctuations on cash held |
(5,731) |
(5,731) |
(10,905) |
|
_________ |
_________ |
_________ |
|
|
|
|
Cash and cash equivalents at end of year |
42,551 |
42,551 |
278,644 |
|
_________ |
_________ |
_________ |
Notes to the accounts
Basis of preparation
The consolidated financial statements and company financial statements of Nordic Energy Plc have been prepared in accordance with International Financial Reporting Standards (‘IFRSs’) as adopted by the European Union, and those parts of the Companies Act 2006 applicable to companies reporting under IFRS.
The financial statements have been prepared on the historical cost basis and are presented in GB Pounds sterling.
Going concern
The Group is at an early stage of exploration and in common with many oil and gas exploration companies, it raises financing for its exploration and appraisal activities in discrete tranches. The Group had working capital of £42,551 at 31 May 2015 and is in discussion with a number of parties with regarding future funding. In view of this, the Directors consider that sufficient funds will be available to progress the Group’s planned exploration programmes and that it has adequate working capital for at least the next twelve months. The Directors therefore consider it appropriate to prepare these financial statements on the going concern basis.
However, the existing funds will not be sufficient to bring the projects into development and production should it be warranted and, in due course, further funding will be required. In the event that the Group is unable to secure further finance it may not be able to fully develop its projects which may have a consequential impact on the recoverability of the carrying value of the related intangible assets. Additionally, if the Group is unable to develop its projects then it will have a consequential impact on the recoverability of the carrying value of investments in subsidiaries held by the parent company.
Further, should access to additional funding not materialise, it is likely that the audited accounts may be qualified.
Loss per share
The calculation of basic loss per share at 31 May 2015 was based on the loss attributable to ordinary shareholders of £322,159 (2014 – £184,552) and a weighted average number of ordinary shares outstanding during the period ended 31 May 2015 of 100,731,429 (2014 – 95,585,439) calculated as follows:
|
2015 |
2014 |
|
|
|
|
£ |
£ |
Loss attributable to ordinary shareholders |
|
|
|
|
|
Loss for the period |
322,159 |
184,552 |
|
_________ |
_________ |
|
|
|
Loss attributable to ordinary shareholders |
322,159 |
184,552 |
|
_________ |
_________ |
|
|
|
Weighted average number of ordinary shares |
Number |
Number |
|
|
|
Number of shares in issue at beginning of year |
100,731,429 |
94,880,000 |
Effect of shares issued during the year |
– |
705,439 |
|
_________ |
_________ |
|
|
|
Weighted average number or ordinary shares in issue for the year |
100,731,429 |
95,585,439 |
|
_________ |
_________ |
There is no difference between the basic and diluted loss per share.
Dividend
At this stage in the Company’s development, the Directors will not be paying a divided.
Audit Review
The information contained in these unaudited final results has not been reviewed by the Group’s auditors.
30-Oct-2015 The EQS Distribution Services include Regulatory Announcements, Financial/Corporate News and Press Releases. Media archive at www.dgap.de/ukreg
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