RNS Number : 6407E
Petrolatina Energy PLC
30 September 2008
30 September 2008
PetroLatina Energy Plc
("PetroLatina" or "the Company")
Interim Results for the six months ended 30 June 2008
On track to commence drilling campaign in early November
PetroLatina, the oil and gas exploration and production company focused on Latin America, announces its interim results for the six
months ended 30 June 2008.
Operational Highlights
* Average production of 280 bopd net to the Company (June 2007 net 326 bopd)
* RZA pipeline average throughput increase by 6% to 3,134 bopd (June 2007: 2,958)
* Ryder Scott reports $164.9 million NPV10 on 3P reserves of 7.34 million boe as at 31 December 2007
* Significant cost savings achieved
* Drill rig secured, drilling expected to commence in November at La Paloma
Financial Highlights
* Revenues increased by 45% $4.5 million (June 2007 restated: $3.1million)
* First operational profit realized by the Group : $273,000 (June 2007 restated: loss of $3,476,000)
* Gross profit in creased by over 300% to $2.3 million (June 2007 restated: $570,000)
* Loss before tax significantly reduced to $408,000 (June 2007 restated: ($4.2 million))
* Loss per share of ($0.016) (June 2007 restated: ($0.215))
* Cash at period end of $1.9 million
* $25 million equity investment secured from Tribeca Oil and Gas, first tranche of $10 million in convertible debt, converted post
period end.
Outlook
* Full impact of cost saving initiatives to have further benefits in second half
* On track to deliver increased production and reserves
Luc Gerard, Chairman of PetroLatina, commented:
"Having secured a rig, PetroLatina is on track to meet the commitment it made in August to commence the drilling programme within 100
days; the first well is expected to spud in early November.
"With positive cash flow and a clear investment plan we believe that PetroLatina is now firmly on track to achieve success in the near
future through both increased production and reserves. Our cost saving initiatives introduced in the first half are delivering and should
have a material impact on the full year performance."
Enquiries:
PetroLatina Energy Plc
Juan Carlos Rodriguez Charry, Chief Executive Tel: +57 (1) 627 95 10
Officer
Pawan Sharma, Executive Vice President - Corporate Tel: +44 (0)20 7956 2820
Affairs
Strand Partners Limited Tel: +44 (0)20 7409 3494
Simon Raggett / Matthew Chandler
Financial Dynamics Tel: +44 (0)20 7831 3113
Ben Brewerton / Susan Quigley
A copy of PetroLatina's interim financial statements is available from the Company's registered office at No. 1 Liverpool Street, Suite
219, London EC2M 7QD, registered company number 05173588 and is also available for download from the Company's website at
www.petrolatinaenergy.com.
Operating Review
Overview
PetroLatina is an oil and gas exploration and production company focused on Latin America, an area in which the management team has
decades of operating experience and where it has pursued a long-term strategy of finding and developing reserves.
As at 30 June 2008, the Group held interests in seven contracts in Colombia and a 20 per cent. carried interest in three wells and a 20
per cent working interest in two licence areas in Guatemala.
The Group's balanced portfolio of contracts comprises a base of production, development drilling and work over opportunities,
supplemented by several high-potential exploration projects.
The Group intends to continue increasing the asset value of its portfolio by utilising the cash flow from current production to advance
certain projects, whilst looking for partners for other projects which should allow their potential value to be realised more quickly.
Ryder Scott Group, LP ("Ryder Scott"), the petroleum consultancy firm, independently audit the Group's portfolio of contracts and
reserves yearly. Ryder Scott most recently reported that as at 31 December 2007 within the Group's portfolio, proved plus probable reserves
("2P reserves") net to the Group totalled 5.6 million barrels of oil equivalent ("boe") and proved plus probable plus possible reserves ("3P
reserves") net to the Group totalled 7.34 million boe. This report includes the additional reserves related to the Tisquirama licence
extension.
Review of Operations
During the first half of 2008, and since the period end, PetroLatina successfully completed a previously announced fundraising, in which
Tribeca Oil & Gas Inc. ("TOGI"), a portfolio investment company of Tribecapital Partners S.A., a Colombian Private Equity Firm, acquired a
35 per cent interest in the Group by way of an investment of US$25,000,000. The new funds provided the Group with additional cash resources
to meet certain outstanding liabilities and fund its ongoing work programme in Colombia.
In August the Company announced a campaign called "Drilling in 100 days" and it is pleased to announce that it is on track with this 100
day commitment. A rig has been secured in Houston which has undergone inspection and testing by technical staff, and is due to arrive on
site by mid October. Drilling at La Paloma is expected to start during the second week of November.
The Company has expressed an interest in participating in 20 per cent of a new well to be drilled in Guatemala by its partner, Quetzal
Energy Inc., to whom it sold its Guatemalan interests last year. Analysis and study has given confidence that Quetzal will be able to
secure positive results from the new well, called Atzam-3.
Colombian Exploration and Production Activities
Exploration activities at the Midas, Gaita and La Paloma Blocks during the first half of 2008 have been aggressive. Up to 76 square
kilometres of 3D seismic has been acquired in the first two licences, and an additional 54 square kilometres of 3D seismic will be acquired
in La Paloma during the second half of this year. PetroLatina expects to define four additional prospects within these three blocks, which
it believes will serve to increase the Group's reserves.
The exploratory La Paloma prospect with possible recoverable reserves of up to 19 million barrels of oil will be drilled during the
second half of 2008. This will be the first well to be drilled in the new drilling campaign. The location for the drilling platform is
currently being built and well services are in process.
The Group intends to participate in the upcoming bidding round called "minirronda 2008" to be conducted by the Colombian national
hydrocarbons agency, ANH. Being a qualified bidder and having acquired the data pack, PetroLatina is evaluating opportunities to obtain new
blocks and licences in this bidding round.
At the Santa Lucia field an important change in the 3D seismic design was completed, the purpose being to explore new areas around the
field. The Santa Lucia 3D seismic program now has an additional 74 square kilometres of seismic data which will be processed and interpreted
to define the optimal positions for new wells to be drilled in early 2009. Most of these wells will be infill wells, with one exploratory
well, which the Group believes have a high probability of success at a reasonable cost.
An evaluation of new production zones on the DoMaria field will also commence in the second half of 2008.
Rio Zulia - Ayacucho Pipeline ("RZA")
The RZA pipeline operations continue. During the first half of 2008, daily average throughput of 3,134 bopd from the Tibd R Zulia fields
was achieved. Further development of the Tibeld by Ecopetrol and Petrobras could lead to a significant increase in the flow of oil
throughput and consequently the Group expects utilisation of the Group's RZA pipeline to increase.
Guatemalan Assets
Despite having sold out assets (Licence A7-2005 and A-6-93) in Guatemala to Quetzal Energy Inc. on 23 July 2007, PetroLatina retained a
20 per cent. carried interest in the first three wells to be worked over in 2008, and a 20 per cent. working interest in future wells.
An evaluation of the Atzam-3 project was completed during the period and the Company has expressed an interest in participating in this
particular well.
Serafin Gas Development
During 2007, PetroLatina completed the first stage of its Serafin Gas Development which highlighted the gas potential in the area. Well
�1 was worked over in January 2007 and tested at flow rates of 14 million cubic feet of gas per day ("mmcfd"). Gross reserves are estimated
at between 5 and 6 billion cubic feet of gas in place. Construction of a 3.5km trunk pipeline was completed which ties the well to the now
established gas pipeline network.
During the second half of 2008, the Group should receive the legal clearance required to bring the Serafin gas well into production.
Commercial gas sales are expected to commence in the second quarter of 2009 which will provide valuable cash revenues to the Group to
support the development of its producing fields.
Recent increases in the domestic price of gas in Colombia (from US$3.50 to US$5.00 per thousand cubic feet) mean that the Serafin
project offers the prospect of strong short term cash flow and economic returns, with a projected pay back period of less than three months.
There is also believed to be a high probability of further gas deposits on the licence area and the Company is currently conducting studies
using its existing 3D seismic coverage to identify further drillable prospects. PetroLatina has a 25 per cent. interest in the project.
Outlook
During the second half of 2008, we will continue to pursue our strategy of growing PetroLatina into one of the major players in the oil
and gas industry in Colombia and will seek to capitalise on the clear opportunities available to increase both production and shareholder
returns.
Internally, having committed to achieving cost savings throughout the Group, management has identified and undertaken further cost
cutting and expects the full year results to demonstrate the benefit of such actions.
The board and management team believe that PetroLatina is now firmly on track to achieve success in the near future through both
increased production and reserves.
Financial Review
During the first half of 2008, revenues totalled US$4,498,000 (2007 restated: US$3,110,000), an increase on the previous year
principally due to higher oil market prices. For the first half of 2007, the average sale price achieved was US$42/bbl while for the same
period in 2008 prices averaged US$75/bbl.
The increase in revenues was slightly offset by natural production decline and pipeline maintenance which led to no oil transportation
in June, the pipeline was back in full operation in July.
As a result of the above increase in revenues and a reduced depreciation, depletion and amortisation ("DD&A") charge, the loss for the
period has been significantly reduced to US$424,000 (2007 restated: US$4,749,000).
The reduced DD&A charge of US$334,000 (2007 restated: US$3,769,000) stems from the new terms of the Tisquirama licence extension up to
its economical life. The original contract, which prior to the recent renewal was due to expire at the end of 2008, led to accelerated well
and other petroleum asset depreciation in the prior year period.
The Tisquirama licence extension in Colombia, as announced earlier this year, is a milestone in the Group's development as it secures
its long-term operations.
With regards to financing activities, debt owed to Macquarie Bank Limited and related parties was fully repaid in the period and the
conversion of the TOGI loan post period end left the group largely debt free.
As mentioned above, the Group successfully completed a fundraising with TOGI raising US$25,000,000 after period end the proceeds of
which were used to settle all outstanding indebtedness, with the remainder being earmarked to satisfy current and planned future work
commitments. The Group will need to raise additional funds to complete its entire planned work programme, and the directors are confident
that the Group, which is currently in discussions with third party finance providers as well as its key shareholders, will be able to raise
the required funds to finance its future working capital requirements.
Independent review report to PetroLatina Energy Plc
Introduction
We have been engaged by the Group to review the condensed set of financial statements in the half-yearly financial report for the six
months ended 30 June 2008 which comprises the Consolidated Interim Income Statement, the Consolidated Interim Balance Sheet, the
Consolidated Interim Cash Flow Statement, the Consolidated Interim Statement of Changes in Equity and related explanatory notes 1 to 5.
We have read the other information contained in the half-yearly financial report and considered whether it contains any apparent
misstatements or material inconsistencies with the information in the condensed set of financial statements.
Directors' responsibilities
The interim report, including the financial information contained therein, is the responsibility of and has been approved by the
directors. The directors are responsible for preparing the interim report in accordance with the rules of the London Stock Exchange for
companies trading securities on the Alternative Investment Market which require that the half-yearly report be presented and prepared in a
form consistent with that which will be adopted in the Group's annual accounts having regard to the accounting standards applicable to such
annual accounts.
Our responsibility
Our responsibility is to express to the Group a conclusion on the condensed set of financial statements in the half-yearly financial
report based on our review.
Our report has been prepared in accordance with the terms of our engagement to assist the Group in meeting the requirements of the rules
of the London Stock Exchange for companies trading securities on the Alternative Investment Market and for no other purpose. No person is
entitled to rely on this report unless such a person is a person entitled to rely upon this report by virtue of and for the purpose of our
terms of engagement or has been expressly authorised to do so by our prior written consent. Save as above, we do not accept responsibility
for this report to any other person or for any other purpose and we hereby expressly disclaim any and all such liability.
Scope of review
Except as explained in the following paragraph, we conducted our review in accordance with International Standard on Review Engagements
(UK and Ireland) 2410, ''Review of Interim Financial Information Performed by the Independent Auditor of the Entity'', issued by the
Auditing Practices Board for use in the United Kingdom. A review of interim financial information consists of making enquiries, primarily of
persons responsible for financial and accounting matters, and applying analytical and other review procedures. A review is substantially
less in scope than an audit conducted in accordance with International Standards on Auditing (UK and Ireland) and consequently does not
enable us to obtain assurance that we would become aware of all significant matters that might be identified in an audit. Accordingly, we do
not express an audit opinion.
Opinion
Based on our review, nothing has come to our attention that causes us to believe that the condensed set of financial statements in the
half-yearly financial report for the six months ended 30 June 2008 is not prepared, in all material respects, in accordance with the rules
of the London Stock Exchange for companies trading securities on the Alternative Investment Market.
Emphasis of matter - going concern
In forming our opinion, which is not qualified, we have considered the adequacy of the disclosures made in the Financial Review section
of the Chief Executive Officer's statement on page 6 of the half-yearly financial report for the six months ended 30 June 2008 concerning
the Group's need to raise further funds in order to finance the Group's development work programme. Although the directors expect to be able
to raise the required funds, there are no binding agreements in place at this time. These conditions indicate the existence of a material
uncertainty which may cast significant doubt on the ability of the Group to continue in business. The financial statements do not include
any adjustments that would result if the Group were unable to continue as a going concern.
BDO STOY HAYWARD LLP
Chartered Accountants and Registered Auditors
London
29 September 2008
PetroLatina Energy Plc
Consolidated Interim Income Statement
For the period ended 30 June 2008
Note Six months ended Six months ended Twelve months ended
30 June 2008 30 June 2007 31 Dec 2007
Unaudited Unaudited Audited
$'000 Restated $'000
$'000
Revenue 4,498 3,110 7,092
Cost of sales 4 (2,171) (2,540) (6,873)
________ ________ ________
Gross profit 2,327 570 219
General and administration 4 (2,054) (4,046) (6,040)
costs
________ ________ ________
Profit / (Loss) from 273 (3,476) (5,821)
operations
Finance income 9 12 24
Finance expense 4 (690) (704) (2,587)
________ ________ ________
Loss before tax (408) (4,168) (8,384)
Income tax 4 (16) 320 433
________ ________ ________
Loss from continuing (424) (3,848) (7,951)
operations
Loss on discontinued 4 - (901) (4)
operation, net of tax
________ ________ ________
Loss for the period (424) (4,749) (7,955)
attributable to equity
shareholders of the parent
________ ________ ________
Loss per share attributable to 2 (0.0161) (0.2156) (0.3465)
the equity holders of the
parent during the period
(basic and diluted) (US$)
________ ________ ________
Loss per share - Continuing 2 (0.0161) (0.1747) (0.3463)
operations (basic and diluted)
(US$)
________ ________ ________
PetroLatina Energy Plc
Consolidated Interim Balance Sheet
30 June 2008
Note As at As at As at
30 June 2008 30 June 2007 31 Dec 2007
Unaudited Unaudited Audited
$'000 Restated $'000
$'000
ASSETS
Non-Current Assets
Property, plant and equipment 4 32,151 19,879 32,407
Intangible assets 4 4,615 1,830 4,328
________ ________ ________
36,766 21,709 36,735
Current Assets
Inventories 62 55 52
Trade, prepayments, other 4 3,889 3,066 425
receivables
Cash and cash equivalents 1,865 2,212 3,542
________ ________ ________
5,816 5,333 4,019
________ ________ ________
Non-current assets held for 4 - 3,429 -
sale
________ ________ ________
Total Assets 42,582 30,471 40,754
________ ________ ________
LIABILITIES
Non-current liabilities
Provisions 556 556 556
Deferred tax liability 4 6,269 3,534 6,576
________ ________ ________
6,825 4,090 7,132
Current liabilities
Trade and other payables 8,174 2,555 10,380
Short term loans 10,840 8,700 6,388
________ ________ ________
19,014 11,255 16,768
Liabilities in relation to 4 - 326 -
non-current assets held for
sale
Total Liabilities 25,839 15,671 23,900
________ ________ ________
Total Net assets 16,743 14,800 16,854
________ ________ ________
EQUITY
Share capital 4 11,735 11,735 11,735
Share premium 4 55,718 55,718 55,718
Shares to be issued 4,560 - 4,560
Warrant reserve 4 1,937 924 1,624
Retained earnings 4 (57,207) (53,577) (56,783)
________ ________ ________
Total equity 16,743 14,800 16,854
________ ________ ________
PetroLatina Energy Plc
Consolidated Interim Cashflow Statement
30 June 2008
Six months ended Six months ended Twelve months ended
30 June 2008 30 June 2007 31 Dec 2007
Unaudited Unaudited Audited
$'000 Restated $'000
$'000
Operating activities
Loss for the period (424) (4,749) (7,955)
Share-based payments 313 560 1,094
Depreciation of property, 334 3,769 5,503
plant and equipment
Loss on disposal of property, - - 122
plant and equipment
Loss on sale of discontinuing - - 4
operations
Interest income (9) (12) (24)
Finance expense 277 704 778
Income tax (expense) / income (96) 39 (433)
Exchange loss (4) - -
________ ________ ________
Cash flows from operating
activities before
changes in working capital and 391 311 (911)
provisions
increase in inventories (11) (1) (1)
(increase)/decrease in trade (1,464) (2,059) 788
and other receivables
increase/(decrease) in trade 390 295 (36)
and other payables
________ ________ ________
Cash absorbed by operations (694) (1,454) (160)
Income taxes paid - - (284)
________ ________ ________
Net cash absorbed by (694) (1,454) (444)
operations
Investing activities
Interest received 9 12 24
Purchase of property, plant (2,381) (2,197) (298)
and equipment
Payments for exploration (286) (756) (3,760)
activity
Deferred consideration paid (2,500) - -
Proceeds from sale of - - 3,992
subsidiaries and other assets
Proceeds from sale of fixed - - 49
assets
________ ________ ________
Net cash flows from investing (5,158) (2,941) 7
activities
PetroLatina Energy Plc
Consolidated Interim Cashflow Statement
30 June 2008
Six months ended Six months ended Twelve months ended
30 June 2008 30 June 2007 31 Dec 2007
Unaudited Unaudited Audited
$'000 Restated $'000
$'000
Financing activities
Exercise of share warrants - 375 375
Proceeds from related party 2,900 - -
loans
Repayment of related party (2,900) - -
loans
Proceeds from short term loan 10,000 1,034 -
Repayment of short term loan (5,548) - (1,270)
Interest paid (277) (454) (778)
________ ________ ________
Net cash flows from Financing 4,175 955 (1,673)
activities
________ ________ ________
Decrease in cash and cash (1,677) (3,440) (2,110)
equivalents
Cash and cash equivalents at 3,542 5,652 5,652
the start of the period
________ ________ ________
Cash and cash equivalents at 1,865 2,212 3,542
the end of the period
________ ________ ________
PetroLatina Energy Plc
Consolidated Interim Statement of Changes in Equity
For the period ended 30 June 2008
Share Shares to Share Warrant
capital be issued premium reserve
$'000 $'000 $'000 $'000
Restated Restated Restated
Opening balance - 1 January 2007 11,077 - 55,357 1,051
Loss for the period - - - -
Issue of share capital 658 - 361 -
Transfer on lapse of warrants and - - - (127)
options
Balance as at 30 June 2007 11,735 - 55,718 924
(unaudited)
Loss for the period - - - -
Issue of warrants - - - 700
Deferred consideration payable - 3,000 - -
Share-based payment - 1,560 - -
Balance as at 31 December 2007 11,735 4,560 55,718 1,624
(audited)
Loss for the period - - - -
Issue of warrants - - - 313
Balance as at 30 June 2008 11,735 4,560 55,718 1,937
(unaudited)
________ _________ _________ _________
(continued from table above)
Share option Retained Total
reserve earnings equity
$'000 $'000 $'000
Restated Restated
Opening balance - 1 January 2007 314 (49,269) 18,530
Loss for the period - (4,749) (4,749)
Issue of share capital - - 1,019
Transfer on lapse of warrants and options (314) 441 -
Balance as at 30 June 2007 (unaudited) - (53,577) 14,800
Loss for the period - (3,206) (3,206)
Issue of warrants - - 700
Deferred consideration payable - - 3,000
Share-based payment - - 1,560
Balance as at 31 December 2007 (audited) - (56,783) 16,854
Loss for the period - (424) (424)
Issue of warrants - - 313
Balance as at 30 June 2008 (unaudited) - (57,207) 16,743
________ _________ _________
The following describes the nature and purpose of each reserve within owners' equity:
Reserve Descriptions and purpose
Share capital Amount subscribed for share capital at nominal value.
Share premium Amount subscribed for share capital in excess of
nominal value.
Warrant reserve Amounts resulting from the issue of warrants.
Share option reserve Amounts resulting from incentive stock options vesting.
Retained earnings Cumulative net gains and losses recognised in the
consolidated income statement.
Shares to be issued The fair value of shares to be issued in respect of
consideration for services or liabilities delivered in
the period.
Notes to Editors
1. Basis of preparation
This interim report was approved by the Directors on 29 September 2008. The condensed interim financial information was prepared using
applicable accounting policies and practices consistent with those adopted in the annual report and using accounting policies consistent
with IFRS as adopted by the EU.
The condensed interim financial information for 30 June 2007 has not been audited. The condensed interim financial information for 30
June 2008 has not been audited, but was the subject of an independent review.
The comparatives for the full year ended 31 December 2007 are derived from, but do not constitute, the Group's full statutory accounts
for that year. A copy of the statutory accounts for that year has been delivered to the Registrar of Companies. The auditors' report on
those accounts was unqualified, did not include references to any matters to which the auditors drew attention by way of emphasis without
qualifying their report and did not contain a statement under section 237(2)-(3) of the Companies Act 1985.
2. Loss per share
Loss per ordinary share is calculated by dividing the loss attributable to ordinary shareholders by the weighted number of shares in
issue during the relevant financial periods.
30 June 2008 30 June 2007 31 December 2007
US$ US$ US$
Loss from continuing (424,000) (3,848,000) (7,951,000)
operations
Losses for the Group (424,000) (4,749,000) (7,955,000)
attributable to the equity
holders of the parent
Weighted average number of 26,312,724 22,031,906 22,959,246
equity shares in issue for the
period (adjusted for the
capital restructuring)
Loss per share attributable to (0.0161) (0.2156) (0.3465)
the equity holders of the
parent during the period
(basic and diluted)
Loss per share - Continuing (0.0161) (0.1747) (0.3463)
operations (basic and diluted)
On 28 April 2008, the Group obtained shareholder approval to complete a 1 for 5 share consolidation; the earnings per share calculations
for all periods have been updated to reflect this recapitalisation.
3. Post balance sheet events
On 14 July 2008, the Group completed the second tranche of the proposed investment of US$25,000,000 in the Group by TOGI. The
US$10,000,000 Notes were converted by TOGI into 5,890,080 new Ordinary Shares, at a conversion price of US$1.72 (�0.86) per Ordinary Share.
TOGI invested a further US$15,000,000 in the Group by way of a subscription for 8,835,120 Ordinary Shares ("the Subscription"). As of the
date of this report, TOGI holds, in aggregate, 14,725,200 Ordinary Shares, representing a 35 per cent. interest in the Group. All related
security held by TOGI relating to the Group and members of its Group since 16 May 2008 was released post the period end. As part of the
consideration for the Subscription, TOGI was also granted 1,875,260 warrants which are automatically exercisable, for no additional
consideration, into 1,875,260 Ordinary Shares if, and to the extent that, any exercise of the Group's existing outstanding 3,482,625
warrants occurs. Luc Gerard and Ciro Mdez, representatives of Tribeca, joined the Group's board as Executive Chairman and Non-executive Director respectively, and Gregory Smith, Executive Chairman stepped down from
the board following the period end.
On 14 July 2008, 380,769 Ordinary Shares were allotted to Greg Smith in part settlement of his compensation entitlement on loss of
office. 800,000 Ordinary Shares were issued to Macquarie Bank Limited in full and final settlement of historic liabilities owed to them.
On 15 July 2008, the final balancing cash payment of US$4,500,000 due to the vendors of Petroleos del Norte S.A. ("PDN") was made. In
addition, 294,504 Ordinary Shares were allotted to Dignam Holdings Corporation in respect of finders fees due on the successful introduction
of TOGI to the Group, and a further 739,573 Ordinary Shares to the vendors of PDN in lieu of interest due to them on the aforementioned
outstanding US$4,500,000 payment.
On 5 August 2008, Mark Patterson resigned from the board as a Non-executive Director.
On 6 August 2008, Menno Wiebe joined the board as a Non-executive Director, and Ciro Mendez became an Executive Director having been a
Non-executive Director previously.
4. Restatement
The interim financial statements for the six months ended 30 June 2007 have been restated in accordance with IAS 8 as the availability
of additional information revealed errors in respect of transactions under the scope of IFRS 3 business combinations, IFRS 2 share based
payment and other accounting errors. In addition the group entered into an exclusive negotiation agreement on 10 May 2007 with a third party
to dispose of its Guatemalan operations, therefore the income statement and balance sheet have been represented in accordance with IFRS 5
Non-current assets held for sale and discontinued operations.
The accounting treatment does now conform with the accounting policies adopted in the twelve months ended 31 December 2007 and six
months ended 30 June 2008.
In particular the restatement had the following effect:
* Total assets were increased by $2,104,000 at 30 June 2007, which is explained by an increase in property, plant and equipment of
$1,623,000, trade and other receivables were increased by $481,000.
* Total liabilities were increased by $4,091,000 at 30 June 2007, which is explained by provisions being increased by $557,000 and
the non-current deferred tax liability being increased by $3,534,000.
* The income statement was affected by cost of sales increasing by $1,499,000, administrative expenses increasing by $349,000,
finance costs increasing by $250,000 and a deferred tax credit for the six month period of $359,000 which created an overall tax credit for
the six month period ended 30 June 2007.
* Loss per share (basic and diluted) has been increased from $0.15 reported (taking into account the share capital restructuring) in
the original interim statement published on the 25 September 2007 to the revised loss per share of $0.2156 and a loss per share for
continuing operations of $0.1747.
The net reduction in net assets totalled $1,987,000. The corresponding impact on equity at 30 June 2007 was to increase share capital by
$283,000, to increase share premium by $361,000, to decrease warrant reserve by $127,000 and to decrease retained earnings by $2,504,000.
The above inconsistencies solely affect the interim financial statements for the six months ended 30 June 2007 and have no bearing on
the 31 December 2007 financial statements and they do not affect the six months ended 30 June 2008.
5. Availability of Interim Financial Statements
A copy of the interim financial statements is available from the Company's registered office at No. 1 Liverpool Street, Suite 219,
London EC2M 7QD, registered company number 05173588 and is also available for download from the Company's website at
www.petrolatinaenergy.com.
This information is provided by RNS
The company news service from the London Stock Exchange
END
IR SDISLSSASELU
Petrolatina Energy (LSE:PELE)
Historical Stock Chart
From Jun 2024 to Jul 2024
Petrolatina Energy (LSE:PELE)
Historical Stock Chart
From Jul 2023 to Jul 2024
