FOR IMMEDIATE RELEASE

28 April 2023

 

               Predator Oil & Gas Holdings Plc / Index: LSE / Epic: PRD / Sector: Oil & Gas

                                             LEI 213800L7QXFURBFLDS54

Predator Oil & Gas Holdings Plc

("Predator" or the "Company" and together with its subsidiaries the "Group")

 

           

                                       Financial Statements for the Year Ended 31 December 2022

Predator Oil & Gas Holdings Plc (PRD), the Jersey-based Oil and Gas Company with operations in Trinidad, Morocco and Ireland is pleased to announce its audited financial statements for the year ended 31 December 2022, extracts of which are set out below.

The Company's Annual Report is available to shareholders to download from the Company's website at www.predatoroilandgas.com.  In line with ESG best practice no hard copies of the Annual Report will be printed.

 

In addition, a copy of the 2022 Annual Report will be uploaded to the National Storage Mechanism and will be available for viewing at

 

https://data.fca.org.uk/#/nsm/nationalstoragemechanism.

 

The financial information set out below does not constitute the Company's statutory accounts for the year ending 31 December 2022.

 

Highlights of Financial Results for 2022

 

·    Loss from operations of GBP2,558,844 (2021: Re-stated loss of £1,517,571).

The increase in operating loss is entirely attributable to share based payments (the award of options).

 

·    Administrative expenses of GBP2,545,789 (2021: Re-stated £1,517,552).

Excluding share based payments for options and warrants corporate administrative expenses were GBP1,310,909 (GBP1,323,268 for the restated period to 31 December 2021).

 

·    Increased cash balance at period end of 2022 GBP3,323,161 (2021: Re-stated GBP1,523,035).

 

·    Additional, restricted cash of USD1,500,000 (USD1,500,000 for the period ended 31 December 2021).

 

·    Placed 66,500,000 new ordinary shares of no par value in the Company to raise GBP4,335,000 (before expenses).

 

·    Exercise of warrants Novum Securities Ltd. resulted in the issue of 5,949,210  new ordinary shares of no par value in the Company to raise GBP242,253.

·    Exercise of share options by directors and former directors resulted in the issue of 18,363,712 new ordinary shares of no par value in the Company to raise GBP837,852

 

·    Debt-free except for directors loans of GBP507,604

 

Highlights of key Operational Activities in 2022

 

·    Completed post-well geological desktop studies for MOU-1 drilled in 2021.

 

·    Validated the Moulouya Fan geological concept.

 

·    Validated a thermogenic gas source in MOU-1.

 

·    Re-evaluated the MOU-1 rigless testing programme to determine cost-effective ways to perforate additional potential targets for testing.

 

·    Reprocessed 278 kilometres of 2D seismic data in Guercif.

 

·    Completed geophysical studies for MOU-1 to confirm seismic amplitude response

Is in response to presence of gas at the top of the Moulouya Fan.

·    Mapped an area of stronger seismic amplitudes for the Moulouya Fan of at least 30km².

 

·    Technical work supports 2022 SLR CPR Best Estimate net  gas resources of 295 BCF.

 

·    Identified several potential drilling locations on the Moulouya Fan.

 

·    Completed all well planning, well inventory purchases and mobilisation of well services in preparation for commencing MOU-2 drilling operations.

 

·    Identified a drilling location for the MOU-NE Jurassic target.

 

·    Executed a binding term sheet with Challenger Energy Group Plc to settle historical issues and to acquire TRex Holdings Trinidad Ltd. and the Cory Moruga field subject to the consent of the Ministry of Energy and Energy Industries.

 

·    Continued to raise awareness in Ireland in respect of the Mag Mell offshore LNG import option and its applications for successor authorisations for Corrib South and Ram Head in the context of security of energy supply.

 

Highlights of Directorate Changes

 

·    Board was strengthened by the appointment of Alistair Jury and Carl Kindinger as Non-executive directors with additional financial experience to replace outgoing Non-executive directors.

 

Post Period End:

 

·    MOU-2 was drilled to 1,260 meters Measured Depth and suspended awaiting technical assessments for a potential re-entry.

 

·    Optiva Securities Ltd. exercised warrants resulting in the issue of 2,035,714 new Ordinary shares in the Company of no par value to raise GBP79,500.

 

·    An update on the proposed rigless testing of MOU-1 was provided.

 

·    Placed 14,174,056 new ordinary shares of no par value in the Company and a director loaned 22,189,580 existing ordinary shares  to raise GBP2,000,000 (before expenses).

 

·    Update on MOU-3 civil engineering well site preparations.

 

 

Paul Griffiths, Executive Chairman of Predator Oil & Gas Holdings Plc commented:

"We are pleased to have managed operating losses and administrative expenses in 2022, after allowing for share-based payments whilst increasing cash balances at the end of the period and maintaining a debt-free status. This has been achieved despite rising global cost inflation and maintaining momentum in our three areas of business operations in what again has been very challenging times due to the UK-Russian conflict.

 

Preparing for the drilling of MOU-2 and beyond has resulted in us having to establish a brand new operational base in Morocco to ensure that we can source well inventory and services in a competitive manner and continue to press forward with drilling operations at the pace required to avail of opportunities to sell gas to the Moroccan industrial market.

 

The Moulouya Fan has been identified as a sizeable asset capable of in itself potentially supplying all of the current industrial market's CNG requirements. It will require additional wells over time to maintain and scale up the gas supply, but the priority at present will be to complete a drilling and rigless testing programme to validate the commercial CNG concept.

 

There will be geological and operational challenges to overcome which are no different to those faced by other operators along this particular trend of gas discoveries and fields.

Currently the Company is the only operator in Morocco preparing for imminent drilling.

 

We thank our shareholders for their continued support as always but particularly in what has been another volatile year in the financial markets coupled with unprecedented rises in modern times in inflation and cost of living. We will continue to focus on developing our Moroccan asset during 2023."

 

 

This announcement contains inside information for the purposes of Article 7 of the Regulation (EU) No 596/2014 on market abuse

  

 

For further information visit www.predatoroilandgas.com

 

Follow the Company on twitter @PredatorOilGas.

 

 

This announcement contains inside information for the purposes of Article 7 of the Regulation (EU) No 596/2014 on market abuse

  

 

For more information please visit the Company's website at www.predatoroilandgas.com: 

 

 

 

 

 

Enquiries:

Predator Oil & Gas Holdings Plc Paul Griffiths               Executive Chairman Lonny Baumgardner   Managing Director	Tel: +44 (0) 1534 834 600 [email protected]
Novum Securities Limited David Coffman / Jon Belliss   Optiva Securities Limited Christian Dennis, CEO Ben Maitland, Corporate Finance	Tel: +44 (0) 207 399 9425     Tel: +44 (0) 203 137 1902   Tel. +44 (0) 203 034 2707
Flagstaff Strategic and Investor Communications Tim Thompson  Mark Edwards Fergus Mellon	Tel: +44 (0) 207 129 1474 [email protected]

 

Notes to Editors:  

 

Predator is operator of the Guercif Petroleum Agreement onshore Morocco which is prospective for Tertiary gas in prospects less than 10 kilometres from the Maghreb gas pipeline and suitable for the development of Compressed Natural Gas for Morocco's industrial sector.  The MOU-1 well has been completed and is subject to a follow-up testing programme. The MOU-2 well is currently suspended pending a potential re-entry.

 

Predator is seeking to further develop the remaining oil reserves of Trinidad's mature onshore oil fields through the application of CO2 EOR techniques and by sequestrating anthropogenic carbon dioxide in oil reservoirs.

 

In addition, Predator also owns and operates exploration and appraisal assets in licensing options offshore Ireland, for which successor authorisations have been applied for, adjoining Vermilion's Corrib gas field in the Slyne Basin on the Atlantic Margin and east of the decommissioned Kinsale gas field in the Celtic Sea.

 

Predator has developed a Floating Storage and Regasification Project ("FSRUP") for the import of LNG and its regassification for Ireland and is also developing gas storage concepts to address security of gas supply and volatility in gas prices during times of peak gas demand.

 

The Company has a highly experienced management team with a proven track record in operations in the oil and gas industry.

 

Consolidated statement of comprehensive income
For the year ended 31 December 2022
		01.01.2022 to 31.12.2022		01.01.2021 to 31.12.2021
			£
	Notes	£		(restated)
Administrative expenses	4	(2,545,789)		(1,517,552)
Operating loss		(2,545,789)		(1,517,552)
Finance Income	3	4,477		-
Finance expense	5	(17,532)		(19)
Loss for the year before taxation		(2,558,844)		(1,517,571)
Taxation	6	-		-
Loss for the year after taxation		(2,558,844)		(1,517,571)
Comprehensive income		-		-
Total comprehensive loss for the year attributable to the owner of the parent		(2,558,844)		(1,517,571)
Earnings per share basic and diluted (pence)	8	(0.792)		(0.570)
The accompanying accounting policies and notes on pages 85 to 112 form an integral part of these financial statements.
All items in the above statement derive from continuing operations.

 

 

Consolidated statement of financial position
As at 31 December 2022
				31.12.2021
		31.12.2022		£
	Notes	£		(restated)
Non-current assets
Tangible fixed assets	11	3,448		5,884
Intangible asset	10	5,275,720		2,687,026
		5,279,168		2,692,910
Current assets
Trade and other receivables	13	1,986,670		1,737,258
Cash and cash equivalents	14	3,323,161		1,523,035
		5,309,831		3,260,293
Total assets		10,588,999		5,953,203
Equity attributable to the owner of the parent
Share capital	17	16,840,165		11,425,061
Reconstruction reserve		1,909,540		2,386,321
Warrants issuance cost	18	(583,825)		(376,820)
Share based payments reserve	18	1,379,964		611,173
Retained deficit		(10,210,097)		(8,337,551)
Total equity		9,335,747		5,708,184
Current liabilities
Trade and other payables	15	1,253,252		245,019
Total liabilities		1,253,252		245,019
Total liabilities and equity		10,588,999		5,953,203

 

The accompanying accounting policies and notes on pages 85 to 112 form an integral part of these financial statements.

The Company has adopted the exemption under Companies (Jersey) Law 1991 Article 105 (11) not to prepare separate accounts.

The Group reported a loss after taxation for the year of £2.55 million (2021 (restated): £1.5 million loss).

The financial statements on pages 81 to 112 were approved and authorised for issue by the Board of Directors on 27 April 2023 and were signed on its behalf by:

 

 

 

Paul Griffiths

Director

 

Consolidated statement of changes in equity
For the year ended 31 December 2022
	Attributable to owner of the parent
	Share Capital	Reconstruction reserve	Warrants issuance cost reserve	Share based payments reserve	Retained deficit
						Total
	£	£	£	£	£	£
Balance at 31 December 2020	6,832,564	2,797,421	(208,887)	458,840	(7,054,229)	2,825,709
Issue of ordinary share capital	4,585,000	-	-	-	-	4,585,000
Issue of warrants	-	-	-	195,327	-	195,327
Fair value of share options	-	-	-	75,533	-	75,533
Transaction costs	-	(411,100)	-	-	-	(411,100)
Exercised warrants	7,497	-	3,028	-	(3,028)	7,497
Warrants issuance costs	-	-	(170,961)	-	-	(170,961)
Total contributions by and distributions to owners of the parent recognised directly in equity	4,592,497	(411,100)	(167,933)	270,860	(3,028)	4,281,296
Loss for the year	-	-	-	-	(1,398,821)	(1,398,821)
Total comprehensive income for the year	-	-	-	-	(1,398,821)	(1,398,821)
Balance at 31 December 2021 as previously reported	11,425,061	2,386,321	(376,820)	729,700	(8,456,078)	5,708,184
Impact of prior year adjustment (Note 26)	-	-	-	(118,527)	118,527	-
Balance at 31 December 2021 (as restated)	11,425,061	2,386,321	(376,820)	611,173	(8,337,551)	5,708,184
Issue of ordinary share capital	4,335,000	-	-	-	-	4,335,000
Issue of warrants	-	-	-	449,656	-	449,656
Fair value of share options	-	-	-	1,234,880	-	1,234,880
Transaction costs	-	(476,781)	-	-	-	(476,781)
Exercised options	837,851	-	-	(728,618)	728,618	837,851
Exercised warrants	242,253	-	187,127	(187,127)	-	242,253
Cancelled/expired warrants	-	-	42,320	-	(42,320)	-
Warrants issuance costs	-	-	(436,452)	-	-	(436,452)
Total contributions by and distributions to owners of the parent recognised directly in equity	5,415,104	(476,781)	(207,005)	768,791	686,298	6,186,407
Loss for the year	-	-	-	-	(2,558,844)	(2,558,844)
Total comprehensive income for the year	-	-	-	-	(2,558,844)	(2,558,844)
Balance at 31 December 2022	16,840,165	1,909,540	(583,825)	1,379,964	(10,210,097)	9,335,747

 

The accompanying accounting policies and notes on pages 85 to 112 form an integral part of these financial statements.

Consolidated statement of cash flows
For the year ended 31 December 2022
			01.01.2022 to 31.12.2022		01.01.2021 to 31.12.2021
					£
		Notes	£		(restated)
Cash flows from operating activities
Loss for the period before taxation			(2,558,844)		(1,517,571)
Adjustments for:
Issue of share options		19	1,234,880		194,284
Finance expense		5	17,532		19
Finance income		3	(4,477)		-
Fair value of warrants		19	13,204		24,366
Depreciation		11	2,436		2,338
Foreign exchange		4	(67,840)		(244,282)
(Increase) in trade and other receivables			(249,412)		(6,059)
Increase in trade and other payables			1,008,233		161,527
Net cash used in operating activities			(604,288)		(1,385,378)
Cash flow from investing activities
Loan advances			-		(115,881)
Purchase of computer equipment		11	-		(2,629)
Capitalised costs - Project Guercif - Morocco		10	(2,588,694)		(2,687,026)
Net cash used in investing activities			(2,588,694)		(2,805,536)
Cash flows from financing activities
Proceeds from issuance of shares, net of issue costs		17	4,938,323		4,181,397
Finance expense paid			(12,206)		(19)
Finance income received			4,477		-
Net cash generated from financing activities			4,930,594		4,181,378
Effect of exchange rates on cash			62,514		206,820
Net increase in cash and cash equivalents			1,800,126		197,284
Cash and cash equivalents at the beginning of the year			1,523,035		1,325,751
Cash and cash equivalents at the end of the year			3,323,161		1,523,035

 

The accompanying accounting policies and notes on pages 85 to 112 form an integral part of these financial statements.

Significant non-cash transactions

During the year there were various significant non-cash transactions relating to share options, warrants issued during the year and loans to directors for shares lent, which are detailed in notes 15, 17 and 19.

 

Statement of accounting policies

For the year ended 31 December 2022

General information

Predator Oil & Gas Holdings Plc ("the Company") and its subsidiaries (together "the Group") are engaged principally in the operation of an oil and gas development business in the Republic of Trinidad and Tobago and an exploration and appraisal portfolio in Ireland and Morocco. The Company's ordinary shares are on the Official List of the UK Listing Authority in the standard listing section of the London Stock Exchange.

Basis or preparation and going concern assessment

The principal accounting policies adopted in the preparation of the financial information are set out below. The policies have been consistently applied throughout the current year and prior year, unless otherwise stated. These financial statements have been prepared in accordance with International Financial Reporting Standards (IFRSs and IFRIC interpretations) issued by the International Accounting Standards Board (IASB) as adopted by the European Union and with those parts of the Companies (Jersey) Law, 1991 applicable to companies preparing their accounts under IFRS. The Company has adopted the exemption under Companies (Jersey) Law 1991 Article 105 (11) not to prepare separate accounts.

The consolidated financial statements incorporate the results of Predator Oil & Gas Holdings Plc and its subsidiary undertakings as at 31 December 2022. In prior years, the financial statements notes were rounded to the nearest thousands and did not follow the same treatment as the prime statements, therefore, the Directors have decided to change the notes to be rounded to the nearest pound.

The financial statements are prepared under the historical cost convention on a going concern basis. The financial statements of the subsidiaries are prepared for the same reporting period as the parent company, using consistent accounting policies. All intra-group balances, transactions, income and expenses and profits and losses resulting from intra-group transactions that are recognised in assets, are eliminated in full. Subsidiaries are fully consolidated from the date of acquisition, being the date on which the Group obtains control, and continue to be consolidated until the date that such control ceases.

The preparation of financial statements requires an assessment on the validity of the going concern assumption. At the date of these financial statements the Directors expect that the Group will require further funding for the Group's corporate overheads; Irish licence interests, Moroccan licence and for the development of a CO2 EOR pilot project. Post the year end the Group issued shares for a total capital raised of £2.0mil before expenses, largely to progress MOU-3 surface location and drilling programme as well as a small portion of the total capital raised being used for general working capital. Following this capital raise, the Directors are confident that the Group will be able meet requirements over the course of the next 24 months, in cash, as debt finance, joint venture or farminee partner equity, share issues or otherwise.

The Group expects the acquisition of Cory Moruga to be completed in the near future, should it receive consent from the Trinidadian Ministry of Energy Industries. The acquisition would involve an initial cash outflow of USD2.0 million settlement, which the Board is confident that it would be able to raise in a further capital placing.

Failing the success of these fund raising activities the Directors will be prepared to accept appropriate reductions in their remuneration to conserve cash resources.

Change in Accounting Policies

At the date of approval of these financial statements, certain new standards, amendments and interpretations have been published by the International Accounting Standards Board but are not as yet effective and have not been adopted early by the Group.  All relevant standards, amendments and interpretations will be adopted in the Group's accounting policies in the first period beginning on or after the effective date of the relevant pronouncement.

 

 

At the date of authorisation of these financial statements, a number of Standards and Interpretations were in issue but were not yet effective. The Directors do not anticipate that the adoption of these standards and interpretations, or any of the amendments made to existing standards as a result of the annual improvements cycle, will have a material effect on the financial statements in the year of initial application.

Standards and amendments to existing standards effective 1 January 2022

- Amendment to IAS 37 - Provisions, Contingent Liabilities and Contingent Assets - Onerous contracts

- Amendments to IFRS 3 - Business Combinations - Reference to Conceptual Framework

- Amendments to IAS 16 - Property, Plant and Equipment - Proceeds before Intended Use

New Standards, amendments and interpretations effective after 1 January 2022 and have not been early adopted

The Group does not believe that the below standards not yet effective, will have a material impact on the consolidated financial statements:

- Amendments to IAS 1 - Presentation of Financial Statements and IFRS Practice Statement 2: Disclosure of Accounting Policies

- Amendments to IAS 8 - Accounting Policies, Changes in Accounting Estimates and Errors - Definition of Accounting Estimates

Areas of estimates and judgement

The preparation of the group financial statements in conformity with generally accepted accounting principles requires the use of estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Although these estimates are based on management's best knowledge of current events and actions, actual results may ultimately differ from those estimates. The Group commenced operations in 2018 and did not enter into material operational transactions requiring significant estimates and assumptions to be effected in preparation of financial statements for the reporting period. The critical accounting estimates and judgements made are in line with those made in the audited financial statements for the year ended 31 December 2021.

a) Going concern and Inter-company loan recoverability.

 

The Group's cash flow projections indicate that, following the latest fundraise in April 2023, the Group has sufficient resources to continue as a going concern for the near future. The Board is confident that should the Group require further funds to complete and future works, that it will be able to raise further funds through issuing equity.

The recoverability of inter-company loans advanced by the Company to subsidiaries depends also on the subsidiaries realising their cash flow projections. This is the case for Predator Oil & Gas Trinidad Ltd. where production revenues are forecast from the near-term from pilot CO2 EOR operations where project economics have been stress-tested at lower oil prices. In the event of sustained lower oil prices positive cash flow will be less and the time taken to recover inter-company loans longer.

In the case of Predator Gas Ventures Ltd., recovery of inter-company loans is dependent upon the Guercif drilling programme successfully recovering commercial quantities of gas that can be developed and brought to market. The Moroccan gas market is commercially attractive and even relatively low volumes of discovered gas are likely to be economic. A partial sale of equity in a future potential gas discovery is the preferred strategy for recovery of inter-company loans rather than a longer term dependency on a gas development.

In the case of Predator Oil and Gas Ventures Ltd., the quantum of inter-company loan is relatively small and no substantive expenditures are anticipated going forward. The change in business strategy to a focus on LNG and gas storage offshore Ireland, creates a marketing opportunity for the Group's relevant experience and expertise within this sector of the industry. It creates the potential as promoters of the project to receive introduction and service providers' fees and a free minority equity position in a joint venture vehicle to move to the project development stage. Under these circumstances the inter-company loan would constitute past costs contributing to the level of free equity. Recovery of the relatively modest inter-company loan therefore has a variety of ways of being repaid.

Management have also assessed that the carrying value and recoverability of the investment, including intercompany receivables is ultimately dependent on the value of the underlying assets of the Group. Further evidence of its realisable value can also be noted by reference the market capitalisation of the Group on the London Stock exchange at the date of this report which can be used as a guide and to provide further assurance of its carrying value subsequent to the year end.

b) Recoverability of loan

The Group entered into an agreement FRAM Exploration Trinidad Limited ("FRAM"), a wholly owned subsidiary of Columbus Energy Resources PLC, who are listed on AIM.

Management have concluded that there is no impairment required at the reporting date, as the Group has entered into a settlement agreement with Challenger Energy Group Plc ("CEG") for the acquisition of T-Rex Trinidad Limited and the total liability due from FRAM will be offset against the total consideration agreed when the transaction is complete.

c) Share based payments

 

The Group has applied the requirements of IFRS 2 Share-based Payment for all grants of equity instruments.

The Group operates an equity settled share option scheme for directors. The increase in equity is measured by reference to the fair value of equity instruments at the date of grant. The liabilities assumed under these arrangements into shares in the parent company, under an option arrangement. The fair value of the service received in exchange for the grant of options and warrants is recognised as an expense. Equity-settled share-based payments are measured at fair value (excluding the effect of non-market based vesting conditions) at the date of grant. The fair value determined at the grant date of equity-settled share-based payment is expensed over the vesting period, based on the Group's estimate of shares that will eventually vest and adjusted for the effect of non-market based vesting conditions.

During the year, the Company issued warrants in lieu of fees to stockbrokers. The warrant agreements do not contain vesting conditions and therefore the full share-based payment charge, being the fair value of the warrants using the Black-Scholes model, has been recorded immediately. The charge is recognised within the statement of changes in equity. The valuation of these warrants involves making a number of estimates relating to price volatility, future dividend yields and continuous growth rates (see Note 19).

The fair value of the share options is estimated by using the Black Scholes model on the date of grant based on certain assumptions. Those assumptions are described in note 19 and include, among others, the expected volatility and expected life of the options. The expected life used in the model has been adjusted, based on management's best estimate, for the effects of non-transferability exercise restrictions and behavioural considerations. The market price used in the model is the issue price of the Company's shares at the last placement of shares immediately preceding the calculation date. Where the terms and conditions of options are modified before they vest, the increase in the fair value of the warrants, measured immediately before and after the modification, is also charged to profit or loss over the remaining vesting period.

Where equity instruments are granted to persons or entities other than staff, the fair value of goods and services received is charged to profit or loss, except where it is in respect to costs associated with the issue of shares, in which case, it is charged to the share premium account.

The fair values calculated are inherently subjective and uncertain due to the assumptions made and the limitation of the calculations used. Further details of the specific amounts concerned are given in note 19.

 

 

 

 

d) Intangible assets - Project Guercif

All expenditure relating to oil and gas activities is capitalised in accordance with the "successful efforts" method of accounting, as described in IFRS 6 - "Exploration for and Evaluation of Mineral Resources". Under this standard, the Group's exploration and appraisal activities are capitalised as intangible assets.

The direct costs of exploration and appraisal are initially capitalised as intangible assets, pending determination of the existence of commercial reserves in the licence area.   Such costs are classified as intangible assets based on the nature of the underlying asset, which does not yet have any proven physical substance. Exploration and appraisal costs are held, un-depreciated, until such a time as the exploration phase on the licence area is complete or commercial reserves have been discovered.

If no commercial reserves exist, then that particular exploration/appraisal effort was "unsuccessful" and the costs are written off to the income statement in the period in which the evaluation is made. The success or failure of each exploration/appraisal effort is judged on a field by field basis.

Net proceeds from any disposal of an exploration asset are initially credited against the previously capitalised costs. Any surplus proceeds are credited to the income statement. Net proceeds from any disposal of exploration assets are credited against the previously capitalised cost. A gain or loss on disposal of an exploration asset is recognised in the income statement to the extent that the net proceeds exceed or are less than the appropriate portion of the net capitalised costs of the asset.

Upon commencement of production, capitalised costs will be amortised on a unit of production basis which is calculated to write off the expected cost of each asset over its life in line with the depletion of proved and probable reserves.

For more information please refer to note 10.             

Basis of consolidation

Where the Group has control over an investee, it is classified as a subsidiary. The Group controls an investee if all three of the following elements are present: power over the investee, exposure to variable returns from the investee, and the ability of the investor to use its power to affect those variable returns. Control is reassessed whenever facts and circumstances indicate that there may be a change in any of these elements of control.

The consolidated financial statements present the results of the Company and its subsidiaries ("the Group") as if they formed a single entity. Inter-company transactions and balances between Group companies are therefore eliminated in full. Uniform accounting policies are applied across the Group.

The consolidated financial statements incorporate the results of business combinations using the acquisition method. In the statement of financial position, the acquirer's identifiable assets, liabilities and contingent liabilities are initially recognised at their fair values at the acquisition date. The results of acquired operations are included in the consolidated statement of comprehensive income from the date on which control is obtained. They are deconsolidated from the date on which control ceases.

Intangible assets

Mineral exploration and evaluation expenditure relates to costs incurred in the exploration and evaluation of potential mineral resources and includes exploration and mineral licences, researching and analysing historical exploration data, exploratory drilling, trenching, sampling and the costs of pre-feasibility studies.

Exploration and evaluation expenditure for each area of interest, other than that acquired from another entity, is charged to the consolidated statement of income as incurred except when the expenditure is expected to be recouped from future exploitation or sale of the area of interest and it is planned to continue with active and significant operations in relation to the area, or at the reporting period end, the activity has not reached a stage which permits a reasonable assessment of the existence of commercially recoverable reserves, in which case the expenditure is capitalised. Purchased exploration and evaluation assets are recognised at their fair value at acquisition. As the capitalised exploration and evaluation expenditure asset is not available for use, it is not depreciated.

Exploration and evaluation assets have an indefinite useful life and are assessed for impairment annually or when facts and circumstances suggest that the carrying amount of an asset may exceed its recoverable amount. The assessment is carried out by allocating exploration and evaluation assets to cash generating units, which are based on specific projects or geographical areas. IFRS 6 permits impairments of exploration and evaluation expenditure to be reversed should the conditions which led to the impairment improve. The Group continually monitors the position of the projects capitalised and impaired.

Whenever the exploration for and evaluation of mineral resources in cash generating units does not lead to the discovery of commercially viable quantities of mineral resources and the Group has decided to discontinue such activities of that unit, the associated expenditures are written off to the Statement of comprehensive income.

Financial assets

The Financial assets currently held by the Group and Company are classified as loans and receivables and cash and cash equivalents. These assets are non-derivative financial assets with fixed or determinable payments that are not quoted in an active market. They are initially recognised at fair value plus transaction costs that are directly attributable to their acquisition or issue and are subsequently carried at amortised cost using the effective interest rate method less provision for impairment.

Impairment provisions are recognised when there is objective evidence (such as significant financial difficulties on the part of the counterparty or default or significant delay in payment) that the Group will be unable to collect all of the amounts due under the terms receivable, the amount of such a provision being the difference between the net carrying amount and the present value of the future expected cash flows associated with the impaired receivable. For receivables, which are reported net, such provisions are recorded in a separate allowance account with the loss being recognised within administrative expenses in the statement of comprehensive income. On confirmation that the receivable will not be collectable, the gross carrying value of the asset is written off against the associated provision.

Cash and cash equivalents

These amounts comprise cash on hand and balances with banks. Cash equivalents are short term, highly liquid accounts that are readily converted to known amounts of cash. They include short-term bank deposits and short-term investments.

Any cash or bank balances that are subject to any restrictive conditions, such as cash held in escrow pending the conclusion of conditions precedent to completion of a contract, are disclosed separately as "Restricted cash". The security deposit is recognised within trade and other receivables in note 13.

There is no significant difference between the carrying value and fair value of receivables.

Derecognition

The Group derecognises a financial asset when the contractual rights to the cash flow from the asset expire, or it transfers the asset and substantially all the risk and rewards of ownership of the asset to another entity.

Financial liabilities

The Group's financial liabilities consist of trade and other payables (including short terms loans) and long term secured borrowings. These are initially recognised at fair value and subsequently carried at amortised cost, using the effective interest method.  All interest and other borrowing costs incurred in connection with the above are expensed as incurred and reported as part of financing costs in profit or loss. Where any liability carries a right to convertibility into shares in the Group, the fair value of the equity and liability portions of the liability is determined at the date that the convertible instrument is issued, by use of appropriate discount factors.

Derecognition

The Group derecognises a financial liability when the obligations are discharged, cancelled or they expire.

Foreign currency

The functional currency of the Group and all of its subsidiaries is the British Pound Sterling.

Transactions entered into by the Group entities in a currency other than the currency of the primary economic environment in which it operates (the "functional currency") are recorded at the rates ruling when the transactions occur. Foreign currency monetary assets and liabilities are translated at the rates ruling at the date of the statement of financial position.  Exchange differences arising on the retranslation of unsettled monetary assets and liabilities are similarly recognised immediately in profit or loss, except for foreign currency borrowings qualifying as a hedge of a net investment in a foreign operation.

The exchange rates applied at each reporting date were as follows:

31 December 2022 - £1: US$1.2041, £1: Euro1.1313 and £1: MAD12.5824

31 December 2021 - £1: US$1.3846 and £1: Euro1.1633

 

Investments in subsidiaries

The Group's investment in its subsidiaries are recorded at cost.

 

Plant and equipment

Plant and equipment owned by the Group relates solely to computer equipment.

 

Depreciation is provided on equipment so as to write off the carrying value of items over their expected useful economic lives. It is applied at the following rates:

 

Computer equipment - 20% per annum, straight line

 

Share options and Equity Instruments

Where the terms and conditions of options are modified before they vest, the increase in the fair value of the options, measured immediately before and after the modification, is also charged to profit or loss over the remaining vesting period.  Where equity instruments are granted to persons other than consultants, the fair value of goods and services received is charged to profit or loss, except where it is in respect to costs associated with the issue of shares, in which case, it is charged to the share capital or share premium account.

 

Equity instruments

Share capital represents the amount subscribed for shares at each of the placings.

The reconstruction reserve account represents premiums received on the share capital of subsidiaries and also includes directly related share issue costs.

Warrants issuance cost reserve includes any costs relating to warrants issued for services rendered accounted for in accordance with IFRS 2 - Equity-settled instruments.

The share-based payments reserve represents equity-settled shared-based employee remuneration for the fair value of the options issued.

Retained earnings include all current and prior period results as disclosed in the Statement of comprehensive income, less dividends paid to the owners of the Company.

Taxation

The Company and all subsidiaries ('the Group') are registered in Jersey, Channel Islands and are taxed at the Jersey company standard rate of 0%. However, the Group's projects are situated in jurisdictions where taxation may become applicable to local operations.

 

The major components of income tax on the profit or loss include current and deferred tax.

 

Current tax

Current tax is based on the profit or loss adjusted for items that are non-assessable or disallowed and is calculated using tax rates that have been enacted or substantively enacted by the reporting date.

 

Tax is charged or credited to the statement of comprehensive income, except when the tax relates to items credited or charged directly to equity, in which case the tax is also dealt with in equity.

 

Deferred tax

Deferred tax assets and liabilities are recognised where the carrying amount of an asset or liability in the statement of financial position differs to its tax base, except for differences arising on:

 

• The initial recognition of an asset or liability in a transaction which is not a business combination and at the time of the transaction affects neither accounting or taxable profit; and

 

• Investments in subsidiaries and jointly controlled entities where the Group is able to control the timing of the reversal of the difference and it is probable that the differences will not reverse in the foreseeable future.

 

Recognition of deferred tax assets is restricted to those instances where it is probable that taxable profit will be available against which the difference can be utilised.

The amount of the asset or liability is determined using tax rates that have been enacted or substantively enacted by the reporting date and are expected to apply when deferred tax liabilities/ (assets) are settled/ (recovered). Deferred tax balances are not discounted.

The Group currently does not hold any deferred tax asset or liability.

 

Notes to the financial statements

For the year ended 31 December 2022

 

1.    Segmental analysis

The Group operates in one business segment, the exploration, appraisal and development of oil and gas assets. The Group has interests in three geographical segments being Africa (Morocco), Europe (Ireland) and the Caribbean (Trinidad and Tobago).

The Group's operations are reviewed by the Board (which is considered to be the Chief Operating Decision Maker ('CODM')) and split between oil and gas exploration and development and administration and corporate costs.

Exploration and development are reported to the CODM only on the basis of those costs incurred directly on projects.

Administration and corporate costs are further reviewed on the basis of spend across the Group.

Decisions are made about where to allocate cash resources based on the status of each project and according to the Group's strategy to develop the projects.  Each project, if taken into commercial development, has the potential to be a separate operating segment.  Operating segments are disclosed below on the basis of the split between exploration and development and administration and corporate.

	Europe		Caribbean		Africa		Corporate
Year ended 31 December 2022	£		£		£		£
Finance income	-		-		-		4,477
Gross loss
Administrative and overhead expenses	(205,580)		(67,843)		(657,988)		(366,294)
Share options and warrant expense	-		-		-		(1,248,084)
Finance expense	-		-		-		(17,532)
Loss for the year from continuing operations	(205,580)		(67,843)		(657,988)		(1,627,433)
Total reportable segment intangible assets	-		-		5,275,720		-
Total reportable segment non-current assets	-		-		-		3,448
Total reportable segment current assets	-		659,504		1,634,816		3,015,511
Total reportable segment assets	-		659,504		6,910,536		3,018,959
Total reportable segment liabilities	(10,049)		(2,821)		(598,002)		(642,380)

 

 

 

 

 

 

 

 

									Corporate
		Europe			Caribbean		Africa		£
Year ended 31 December 2021	£				£		£		(restated)
Gross Loss
Administrative and overhead expenses	(150,147)				(140,997)		(266,389)		(960,038)
Share options and warrant expense	-				-		-		-
Finance expense	-				-		-		-
Loss for the year from continuing operations	(150,147)				(140,997)		(266,389)		(960,038)
Total reportable segment intangible assets	-				-		2,687,026		-
Total reportable segment non-current assets	-				-		-		5,884
Total reportable segment current assets	4,104				594,589		1,173,242		1,488,358
Total reportable segment assets	4,104				594,589		3,860,268		1,494,242
Total reportable segment liabilities	(10,141)				(8,629)		(80,794)		(145,455)

 

			2022		2021
			Group		Group
2.    Auditors remuneration			£		£
Audit of the accounts of the Group			61,200		27,500
Review of interim financial statements			2,500		1,500
			63,700		27,500

 

				2022		2021
				Group		Group
3.    Finance income				£		£
Bank interest received				4,477		-
				4,477		-

 

 

 

 

 

 

 

 

 

						2021
				2022		Group
				Group		£
4.    Administration expenses				£		(restated)
Administration fees				107,425		84,957
Design, publishing, presentation and printing fees				-		1,036
Audit fee - See note 2				63,700		27,500
Annual return fee				1,350		1,125
Non-executive director fees				107,342		89,996
Share based payments - options				1,234,880		194,284
Share based payments - warrants				13,204		24,366
Insurance				102,947		58,545
Legal and professional fees				106,890		52,197
AIM listing costs (1)				62,089		-
Listing costs				216,877		303,281
Website costs				3,950		4,117
Directors fees				245,331		229,165
Technical Consultancy fees				296,653		360,484
Travel expenses				119,090		41,137
Computer/system costs/IT support				114,429		4,249
Bank charges				34,559		49,262
Depreciation				2,436		2,338
Sundry expenses				2,717		3,817
Foreign exchange				(290,080)		(14,304)
				2,545,789		1,517,552

 

(1)   During the year, the Group attempted to move to AIM and was subsequently aborted.

				2022		2021
				Group		Group
5.    Finance expense				£		£
Bank interest paid				-		19
Interest on Stock Lending Agreement (1) - See note 15				14,330		-
Directors' loan (2) - See note 15				3,202		-
				17,532		19

 

											2021
									2022		Group
									Group		£
6.    Taxation									£		(restated)
Loss on ordinary activities before tax									(2,558,844)		(1,517,571)
Loss on ordinary activities at Jersey standard 0% tax (2021: 0%)									-		-
Tax charge for the year									-		-

 

No charge to taxation arises due to the losses incurred.

Predator Gas Ventures Limited is subject to tax in its operating jurisdiction of Morocco, however, the Company is loss making and has no taxable profits to date.

No deferred tax asset has been recognised on accumulated tax losses because of uncertainty over the timing of future taxable profits against which the losses may be offset.

										2021
								2022		Group
								Group		£
7.    Personnel								£		(restated)
Executive and non-executive directors								522,051		545,853
Share option scheme								1,234,880		194,284
								1,756,931		740,137
The average number of personnel (including directors) during the year was:
Management - (Executive directors)								2		2
Non-management - (Non-executive directors)								2		2
								4		4

 

Four Directors at the end of the period have share options receivable under long term incentive schemes. The highest paid Director received an amount of £236,575 (2021: £229,850). The Group does not have employees. All personnel are engaged as service providers.

						2021
				2022		Group
8.    Earnings per share				Group		(restated)
Weighted average number of shares				323,184,523		266,433,024
Loss for the year				(2,558,844)		(1,517,571)
Earnings per share basic and diluted (pence)				(0.792)		(0.570)

Dilutive loss per Ordinary Share equals basic loss per Ordinary Share as, due to the losses incurred in 2021 and 2020, there is no dilutive effect from the subsisting share options. 16,209,770 shares were issued since 31 December 2022 and therefore the weighted average number of shares at the date of the financial statements is 335,420,297.

9.    Loss for the financial year

The Group has adopted the exemption in terms of Companies (Jersey) law 1991 and has not presented its own income statement in these financial statements.

 

10.  Other intangible assets						Project Guercif
Gross carrying amount
Balance at 1 January 2022						2,687,026
Additions						2,588,694
At 31 December 2022						5,275,720
Depreciation and impairment
Balance at 1 January 2022						-
Depreciation						-
Balance at 31 December 2022						-
Carrying amount at 31 December 2021						2,687,026
Carrying amount at 31 December 2022						5,275,720

 

The total carrying amount of Project Guercif as at 31 December 2022 of £5,275,720 (2021: £2,687,026) relates to costs incurred with wells MOU-1 and MOU-2.

MOU-1:

On 7 March 2023, the Company announced an update on the proposed testing of the MOU-1 well drilled and completed in 2021 in the area of the Guercif Petroleum Agreement onshore Morocco.

In conformance with the current Moroccan regulatory procedures for rigless well testing, the Company has expressed in writing to the Office National des Hydrocarbures et des Mines ("ONHYM") the intention to test MOU-1.

The Company will begin MOU-1 rigless testing at the very earliest opportunity once the regulatory process has been fully complied with.

MOU-2:

On 25 January 2023, the Company announced that MOU-2 well had been suspended with an option to re-enter after reaching a depth of 1,260 metres Measured Depth.

Wireline logs were acquired from the 95/8" casing point at 677 metres to 1,010 metres Measured Depth. The wireline logging tools were not able to log deeper than this depth due the presence of extremely sticky clays in a geological formation overlying the Moulouya Fan primary objective.

The debris flow potentially forms a highly effective seal on the underlying Moulouya Fan. The thickness of the Moulouya Fan reservoir interval is expected to increase between MOU-1 and MOU-2 based on the sand content of the debris-flow penetrated in MOU-2 allowed an extrapolation across to MOU-1 to be made. A re-entry and deepening of MOU-2 will be fully evaluated once a solution to optimising the drilling mud programme and mud properties has been completed.

All costs relating to Project Guercif have been capitalised and will be depreciated once gas discovery is declared commercial and a Plan of Development has been approved.

In accordance with IFRS 6, the Directors undertook an assessment of the following areas and circumstances which could indicate the existence of impairment:

• The Group's right to explore in an area has expired, or will expire in the near future without renewal

• No further exploration or evaluation is planned or budgeted for

• A decision has been taken by the Board to discontinue exploration and evaluation in an area due to the absence of a commercial level of reserves

• Sufficient data exists to indicate that the book value may not be fully recovered from future development and production

Following their assessment, the Directors concluded that no impairment charge in respect to any licences still held, was necessary for the year ended 31 December 2022(2021: £nil).

 

 

 

 

 

 

 

 

11.  Property, plant and equipment						£
Cost
At 31 December 2021						11,181
Additions						-
At 31 December 2022						11,181
Amortisation
At 31 December 2021						5,297
Charge for the year						2,436
At 31 December 2022						7,733
Carrying amount
At 31 December 2021						5,884
At 31 December 2022						3,448

 

12.  Investment in subsidiaries				2022		2021
				Group		Group
				£		£
Cost at the beginning of the year				537,088		537,088
				537,088		537,088

 

The principal subsidiaries of Predator Oil and Gas Holdings Plc, all of which are included in these consolidated Annual Financial Statements, are as follows:

	Country of registration		Class		Proportion held by Group		Nature of business
Predator Oil and Gas Ventures Limited	Jersey		Ordinary		100%		Licence options in offshore Ireland
Predator Oil and Gas Trinidad Limited	Jersey		Ordinary		100%		Profit rights for production revenues from a CO2 enhanced oil recovery project
Predator Gas Ventures Limited	Jersey		Ordinary		100%		Exploration licence onshore Morocco
Mag Mell Energy Ireland Ltd (Formerly Predator LNG Ireland Limited)	Jersey		Ordinary		100%		Licence application to import liquified natural gas

 

The registered address of all of the Group's companies is at 3rd Floor, IFC5, Castle Street, St Helier, JE2 3BY, Channel Islands.

 

13.  Trade and other receivables				2022		2021
				Group		Group
				£		£
Current
Loans receivable				659,504		591,066
Security deposit (US$1,500,000)				1,245,795		1,111,111
Prepayments and other debtors				81,371		35,081
				1,986,670		1,737,258

 

Loans receivable relates to a loan of £659,504 (2021: £591,065) effected to FRAM Exploration Trinidad Limited ('FRAM') in respect of the CO2 EOR project comprising USD360,096 (2021: USD360,096) advanced as cash and USD402,120 (2021: USD402,120) and £26,461 (2021: £26,461) advanced as equipment. The loans are denominated in both US Dollars and British Pound Sterling, which are unsecured, interest free and repayable at the discretion of Predator Oil & Gas Trinidad Limited provided not less than one week's notice is given.

On 7 June 2022, the Company provided an update with regards to the loan receivable from FRAM, whereby due to a Unilateral termination of the CO2 EOR Project by Challenger Energy Group Plc ("Challenger") without consultation with stakeholders and regulatory authorities deprived the Company of the mechanism to recover its Project Costs, the Company will seek redress for breach of the terms of the WPA.

On 20 December 2022, the Company announced a settlement agreement with Challenger, for the acquisition of 100% of the share capital of T-Rex Resources (Trinidad) Limited ("T-Rex"). Part of the transaction includes the settlement of the total outstanding loan amounts from FRAM.

A security deposit of USD1,500,000 (2021: USD1,500,000) is held by Barclays Bank in respect of a guarantee provided to Office National des Hydrocarbures et des Mines (ONHYM) as a condition of being granted the Guercif exploration licence. These funds are refundable on the completion of the Minimum Work Programme set out in the terms of the Guercif Petroleum Agreement and Association Contract.

Prepayments are in respect of amounts paid in advance to the Financial Conduct Authority, media service providers and an insurance premium.

There are no material differences between the fair value of trade and other receivables and their carrying value at the year end.

				2022		2021
				Group		Group
14.  Cash and cash equivalents				£		£
Royal Bank of Scotland International Limited				-		1,480,373
Barclays Bank Plc				2,967,535		2,397
Société Générale				355,626		40,265
				3,323,161		1,523,035

 

 

 

 

 

 

 

 

				2022		2021
				Group		Group
15.  Trade and other payables				£		£
Current
Trade payables				679,138		219,773
Accruals				61,183		25,246
Directors' loans (1) (2)				512,931		-
				1,253,252		245,019

 

(1)

On 17 August 2022, the Company announced the placement of 60,000,000 new ordinary shares of no par value at a placing price of 5.5 pence per share.

The Company did not have sufficient headroom shares to enable the issue and admission of all of the 60,000,000 Placing Shares, therefore it was proposed to issue and admit 45,000,000 new ordinary shares (up to its existing headroom) (the "New Placing Shares") and for a director, Paul Griffiths, to transfer by way of a loan of shares (the "Stock Lending Agreement"), 15,000,000 existing shares held by him in order to settle the Placing in a timely manner.

The 15,000,000 shares were valued at £825,000, being the market value at the placing price of 5.5 pence per share. Interest shall accrue on the loan balance at a rate of 6% per annum. Total interest paid and/or accrued for the year ended 31 December 2022 was £14,331 (2021: £nil).

Should the total of 15,000,000 of no par value shares not be returned to Paul Griffiths by the 31 August 2023, the interest rate will be 12% per annum.

On 15th November 2022 the Company issued 10,000,000 shares to Paul Griffiths, with the remaining balance of 5,000,000 remaining outstanding. The total value attributable to the outstanding shares is £275,000.00.

(2)

On 24 November 2022, the executive directors of the Company exercised share options to raise £1,256,880 to further develop the asset portfolio.

However, as the Company was unable to issue sufficient shares to fund this program without publishing an FCA approved prospectus, the executive directors Paul Griffiths and Lonny Baumgardner, with the approval of the independent non-executive Board members and Novum Securities Limited, to place their 15,710,972 New Ordinary Shares, resulting from the exercised share options, at a price of £0.08 to raise £1,256,877 before expenses of £92,981.

A back-to-back loan arrangement between the Directors and the Company enabled the Company to utilise all of the net proceeds after expenses (£749,276 from the exercise of the options and a Directors' loan ("Loan") of £507,604) from the placing of the Directors' exercised share options to fund the further maturing of all of its asset portfolio.

The loan with the executive directors incurs interest at a rate of 4%. Total interest paid and/or accrued for the year ended 31 December 2022 was £3,201 (2021: £nil).

The executive directors were also issued with share options on the 24 November, details of which are shown in note 19.

As at 31 December 2022, the balances with Paul Griffiths and Lonny Baumgardner were £324,945 and £187,986 respectively.

 

 

 

 

16.  Financial instruments - risk management

Details of the significant accounting policies in respect of financial instruments are disclosed on pages 85 to 91.

The Group's financial instruments comprise cash and items arising directly from its operations such as other receivables, trade payables and loans.

Financial risk management

The Board seeks to minimise its exposure to financial risk by reviewing and agreeing policies for managing each financial risk and monitoring them on a regular basis. No formal policies have been put in place in order to hedge the Group's activities to the exposure to currency risk or interest risk; however, the Board will consider this periodically.

The Group is exposed through its operations to the following financial risks:

 

• Credit risk

• Market risk (includes cash flow interest rate risk and foreign currency risk)

• Liquidity risk

 

The policy for each of the above risks is described in more detail below.

The principal financial instruments used by the Group, from which financial instruments risk arises are as follows:

• Receivables

• Cash and cash equivalents

• Trade and other payables (excluding other taxes and social security)

• Loans: payable within one year and payable in more than one year

The table below sets out the carrying value of all financial instruments by category and where applicable shows the valuation level used to determine the fair value at each reporting date.  The fair value of all financial assets and financial liabilities is not materially different to the book value.

			2022		2021
			£		£
Cash and trade receivables
Cash and cash equivalents			3,323,161		1,523,035
Trade and other receivables			1,905,299		1,702,177
Other liabilities
Trade and other payables (excluding short term loans)			1,192,069		219,773

 

Credit risk

Financial assets, which potentially subject the Group to concentrations of credit risk, consist principally of cash, short-term deposits and other receivables. Cash balances are all held at recognised financial institutions. Other receivables are presented net of allowances for doubtful receivables.  Other receivables currently form an insignificant part of the Group's business and therefore the credit risks associated with them are also insignificant to the Group as a whole.

 

The Group has a credit risk in respect of inter-company loans to subsidiaries. The Company is owed £9,546,184 by its subsidiaries. The recoverability of these balances is dependent on the commercial viability of the exploration activities undertaken by the respective subsidiary companies. The credit risk of these loans is managed as the directors constantly monitor and assess the viability and quality of the respective subsidiary's investments in intangible oil & gas assets.

 

 

 

 

 

 

 

 

 

 

Maximum to credit risk

The Group's maximum exposure to credit risk by category of financial instrument is shown in the table below:

 

	2022		2022		2021		2021
	carrying		maximum		carrying		maximum
	value		exposure		value		exposure
	£		£		£		£
Cash and cash equivalents	3,323,161		5,521,472		1,523,035		4,009,388
Receivables	1,986,670		1,986,670		1,737,257		1,737,257

 

Market risk

Cash flow interest rate risk

The Group has adopted a non-speculative policy on managing interest rate risk.  Only approved financial institutions with sound capital bases are used to borrow funds and for the investments of surplus funds.

The Group seeks to obtain a favourable interest rate on its cash balances through the use of bank deposits. The Group's bank paid a total of £4,477 (2021: £nil) interest on cash balances during the year. At 31 December 2022, the Group had a cash balance of £3.323 million (2021: £1.523 million) which was made up as follows:

				2022		2021
				£		£
Sterling				2,108,558		848,338
United States Dollar				830,810		631,522
Euro				28,168		2,910
Moroccan dirham				355,625		40,265
				3,323,161		1,523,035

 

As detailed in Note 15, the Group entered into interest bearing agreements with the Executive Directors. The agreements have fixed rates of 4% and 6% (2021: %nil).

 

Foreign currency risk

Foreign exchange risk is inherent in the Group's activities and is accepted as such. The majority of the Group's expenses are denominated in Sterling and therefore foreign currency exchange risk arises where any balance is held, or costs incurred, in currencies other than Sterling. At 31 December 2022 and 31 December 2021, the currency exposure of the Group was as follows:

 

	Sterling		US Dollar		Other		Total
	£		£		£		£
at 31 December 2022
Cash and cash equivalents	2,108,558		830,810		383,793		3,323,161
Trade and other receivables	107,831		1,878,839		-		1,986,670
Trade and other payables	803,549		228,339		221,364		1,253,252
at 31 December 2021
Cash and cash equivalents	848,339		631,521		43,175		1,523,035
Trade and other receivables	1,172,653		564,605		-		1,737,258
Trade and other payables	163,447		43,348		38,224		245,019

 

 

 

 

 

 

Liquidity risk

Any borrowing facilities are negotiated with approved financial institutions at acceptable interest rates. All assets and liabilities are at fixed and floating interest rate. The Group seeks to manage its financial risk to ensure that sufficient liquidity is available to meet the foreseeable needs both in the short and long term. See also references to Going Concern disclosures in the Strategic Report.

Capital

The objective of the directors is to maximise shareholder returns and minimise risks by keeping a reasonable balance between debt and equity. At 31 December 2022 the Group's only debt balance relates to the balance due to Directors of £512,931 (2021: £nil) as per note 15.

				Number of shares		Nominal value
17.  Share capital
Issued and fully paid
Opening Balance				292,946,267		11,425,061
31 March 2022
Share issue				11,500,000		1,035,000
12 July 2022
Warrants exercise - See note 20				4,149,210		143,253
23 August 2022
Share issue (i)				45,000,000		3,300,000
29 September 2022
Share options exercised - See note 20				1,001,370		28,038
12 October 2022
Share options exercised - See note 20				1,001,370		28,038
15 November 2022
Share issue (ii)				10,000,000		-
21 November 2022
Share options exercised - See note 20				1,800,000		99,000
23 November 2022
Share options exercised - See note 20				650,000		32,500
24 November 2022
Share options exercised - See note 20				15,710,972		749,275
				383,759,189		16,840,165

 

(i)

On the share placing dated 23 August 2022 for a total of 60,000,000 shares of no par value, only 45,000,000 were shares considered to be issued, the other 15,000,000 were lent by Paul Griffiths, a Director of the Company.

(ii)

The share placing dated 15 November 2022 for a total of 10,000,000 of shares of no par value, for no consideration, relates to the partial return to Paul Griffiths of 15,000,000 shares lent to the Company. The outstanding number of shares of no par value due to Paul Griffiths as at 31 December 2022 is 5,000,000.

 

 

 

 

 

 

 

18.  Other reserves

			2022		2021
			Group		Group
Warrants issuance cost reserve		No of warrants	£		£
Balance brought forward		10,123,678	(376,820)		(208,887)
Issue of warrants		5,389,768	(436,452)		(170,961)
Exercised warrants at fair value		(5,949,214)	187,127		3,028
Cancelled and/or expired warrants (i)		-	42,320		-
Balance carried forward		9,564,232	(583,825)		(376,820)

 

(i) The movement in reserve of £42,320 (2021: £nil), relates to warrants that expired in 2021 but were recognised in reserves during this year. The total warrants of 2,083,333 that expired in 2021 related to Arato Global Opportunities LLP and had an expiry date of 15 February 2021.

					2021
			2022		Group
			Group		£
Share based payments reserve		No of share options	£		(restated) Note 26
Balance brought forward		13,158,226	611,173		458,840
Issue of share options		45,566,458	436,452		170,961
Extension of warrants exercise date		-	13,204		24,366
Accelerated share-based payment charge -(note 26)		-	-		(118,527)
Fair value movement of share options		-	1,234,880		75,533
Share options exercised		(18,363,712)	(728,618)		-
Warrants exercised		-	(187,127)		-
Balance carried forward		40,360,972	1,379,964		611,173

 

19.  Share based payments

						2021
				2022		Group
				Group		£
Warrant and share option expense				£		(restated)
Warrant and share option expense:
- in respect of remuneration contracts				1,234,880		194,284
- in respect of expired remuneration contracts - Accelerated charges				-		(237,278)
- in respect of expiry date extension				13,204		24,366
				1,248,084		(18,628)

 

 

 

 

 

 

 

 

 

 

Share Options

 

The Group operates a share option plan for directors.  Details of share options granted and exercised during the year on a Director basis are noted below:

Paul Griffiths

Share options issued during the year:

On 9 November 2022, the Company issued 7,500,000 share options at an exercise price of 10.00p. The share options are exercisable by 8 November 2029.

Following the share options loan on 23 November 2022, the Company issued 7,855,486 share options at an exercise price of 8.00p. The share options are exercisable by 22 November 2029.

Share options exercised during the year:

On 24 November 2022, exercised the following share options:

·      Share options agreement dated 24 May 2018 - 4,005,486 were exercised at 2.80p each

·      Share options agreement dated 27 October 2020 - 3,850,000 were exercised at 5.00p each

Share options held as at year end:

·      Share options agreement dated 9 November 2022 - 7,500,000 share options at an exercise price of 10.00p. The share options are exercisable by 8 November 2029.

·      Share options agreement dated 23 November 2022 - 7,855,486 share options at an exercise price of 8.00p. The share options are exercisable by 22 November 2029.

 

Lonny Baumgardner

Share options issued during the year:

On 31 January 2022, the Company issued 7,855,486 share options at an exercise price of 5.66p. The share options are exercisable by 30 January 2029.

On 9 November 2022, the Company issued 7,500,000 share options at an exercise price of 10.00p. The share options are exercisable by 8 November 2029.

Following the share options loan on 23 November 2022, the Company issued 7,855,486 share options at an exercise price of 8.00p. The share options are exercisable by 22 November 2029.

Share options exercised during the year:

On 24 November 2022, exercised the following share options:

·      Share options agreement dated 31 January 2022 - 7,855,486 were exercised at 5.66p each

Share options held at year end:

·      Share options agreement dated 9 November 2022 - 7,500,000 share options at an exercise price of 10.00p. The share options are exercisable by 8 November 2029.

·      Share options agreement dated 23 November 2022 - 7,855,486 share options at an exercise price of 8.00p. The share options are exercisable by 22 November 2029.

 

 

 

 

 

 

Alistair Jury

Share options issued during the year:

On 5 July 2022, the Company issued 2,000,000 share options at an exercise price of 8.13p. The share options are exercisable by 31 January 2023.

Share options held at year end:

·      Share options agreement dated 5 July 2022 - 2,000,000 share options at an exercise price of 8.13p. The share options are exercisable by 4 July 2029.

 

Carl Kindinger

Share options issued during the year:

On 9 November 2022, the Company issued 2,000,000 share options at an exercise price of 7.75p. The share options are exercisable by 31 May 2023.

Share options held at year end:

·      Share options agreement dated 9 November 2022 - 2,000,000 share options at an exercise price of 7.75p. The share options are exercisable by 8 November 2029.

 

Tom Evans

Share options issued during the year:

 On 5 July 2022, the Company issued 2,000,000 share options at an exercise price of 8.13p. The share options are exercisable by 31 January 2023.

Share options held at year end:

·      Share options agreement dated 5 July 2022 - 2,000,000 share options at an exercise price of 8.13p. The share options are exercisable by 4 July 2029.

 

Sarah Cope

Share options exercised during the year:

On 7 October 2022, exercised the following share options:

·      Share options agreement dated 24 May 2018 - 1,001,370 were exercised at 2.80p each

Share options held at year end:

·      There are no share options held by Sarah Cope.

 

Dr Steve Staley

Share options exercised during the year:

On 5 July 2022, exercised the following share options:

·      Share options agreement dated 24 May 2018 - 1,001,370 were exercised at 2.80p each

Share options held at year end:

·      Share options agreement dated 27 October 2020 - 1,650,000 share options at an exercise price of 5.00p. The share options are exercisable by 26 October 2027.

 

 

Louis Castro

Share options exercised during the year:

On 18 November 2022, exercised the following share options:

·      Share options agreement dated 27 October 2020 - 650,000 out of 1,650,000 were exercised at 5.00p each

Share options issued during the year:

·      On 31 January 2022, the Company issued 1,000,000 share options at an exercise price of 5.66p. The share options are exercisable by 30 January 2029.

Share options held at year end:

·      Share options agreement dated 27 October 2020 - 1,000,000 share options at an exercise price of 5.00p. The share options are exercisable by 26 October 2027.

·      Share options agreement dated 31 January 2022 - 1,000,000 share options at an exercise price of 5.66p. The share options expired on 30 January 2029.

 

The Black Scholes model has been used to fair value the options, the inputs into the model were as follows:

Grant date				January 2022		July 2022
Share price				£0.0630		£0.9250
Exercise price				£0.0566		£0.0810
Term				10 months		6 months
Expected volatility				298%		211%
Expected dividend yield				0%		0%
Risk free rate				3.51%		3.34%
Fair value per option				£0.0528		£0.0409
Total fair value of the options				£466,858		£213,922

 

Grant date (continued)		23 November 2022		9 November 2022		9 November 2022
Share price		£0.1200		£0.0825		£0.0825
Exercise price		£0.080		£0.1000		£0.0775
Term		6 months		6 months		6 months
Expected volatility		204%		204%		204%
Expected dividend yield		0%		0%		0%
Risk free rate		3.10%		3.25%		3.25%
Fair value per option		£0.0689		£0.0401		£0.0451
Total fair value of the options		£1,081,855		£601,175		£90,119

 

The total share option reserve expense in respect of 2022 is £1,234,880 (2021 (restated): £194,284).

Warrants

During the year, the Company has granted the below warrants to Novum Securities Limited ("Novum"):

• On 1 April 2022, 690,000 warrants were issued exercisable at 9p, which were based on 6% of the total share placing of 11,500,000 shares. The Warrants have an expiry date of 31 March 2025;

• On 16 August 2022, 3,600,000 warrants were issued exercisable at 5.5p, which were based on 6% of the total share placing of 60,00,000 shares. The Warrants have an expiry date of 31 August 2025. On 15 November 2022, 1,800,000 warrants were exercised for total proceeds of £99,000;

• On 23 November 2022, 1,099,768 warrants were issued exercisable at 8p, which were based on 7% of the total share placing of 15,710,972.  The Warrants have an expiry date of 30 November 2025;

The total warrant agreements for the aforesaid 5,389,768 warrants issued during the year ended 31 December 2022 do not contain vesting conditions and therefore the full share based payment charge, being the fair value of the warrants using the Black-Scholes model, has been recorded immediately.

As at the year ended 31 December 2022, the total number of warrants in issue at are:

1. On 24 May 2018 2,321,428 warrants were issued exercisable at 2.8p with an initial expiry date of 24 May 2021, with an option to extend the expiry date. As at 31 December 2022, 1,892,694 warrants have been exercised, 338,284 warrants have lapsed, with the outstanding exercisable warrants total being 160,714, which had their expiry date extended by one further year to 24 May 2023.

2. On 15 February 2019 4,083,333 warrants were issued exercisable at 12p with an initial expiry date of 15 February 2021, with an option to extend the expiry date by one year. Of the total, 2,083,333 warrants were issued to Arato Global Opportunities LLP and expired on 15 February 2021 as the option to extend was not actioned. The exercise date on the remaining 2,000,000 warrants issued to Novum Securities Ltd was further extended by one year to 15 February 2023 and as at 31 December 2022 remain outstanding.

3. On 17 February 2020 4,450,000 warrants were issued exercisable at 4p with an initial expiry date of 27 February 2023. Of the total, 1,875,000 warrants were issued to Optiva Securities Limited and the remaining 2,575,000 warrants were issued to Novum Securities Limited. As at 31 December 2022, 2,256,250 warrants have been exercised, with the outstanding exercisable warrants being 2,193,750.

4. On 12 March 2021 1,020,000 warrants were issued to Novum Securities Limited exercisable at 10.5p with an initial expiry date of 12 March 2024, which was extended by a further year to 12 March 2025. As at 31 December 2022, no warrants have been exercised, with the outstanding exercisable warrants being 1,020,000.

5. On 18 June 2021 600,000 warrants were issued to Novum Securities Limited exercisable at 15p with an initial expiry date of 18 June 2024, which was extended by a further year to 18 June 2025, which was approved by the Directors. As at 31 December 2022, no warrants have been exercised, with the outstanding exercisable warrants being 600,000.

6. On 28 March 2022 690,000 warrants were issued to Novum Securities Limited exercisable at 9.0p with an initial expiry date of 28 March 2025. As at 31 December 2022, no warrants have been exercised, with the outstanding exercisable warrants being 690,000.

7. On 23 August 2022 3,600,000 warrants were issued to Novum Securities Limited exercisable at 5.5p with an initial expiry date of 23 August 2025. As at 31 December 2022, 1,800,000 warrants have been exercised, with the outstanding exercisable warrants being 1,800,000.

8. On 23 November 2022 1,099,768 warrants were issued to Novum Securities Limited exercisable at 8.0p with an initial expiry date of 23 November 2025. As at 31 December 2022, no warrants have been exercised, with the outstanding exercisable warrants being 1,099,768.

The valuation of these warrants involves making a number of estimates relating to price volatility, future dividend yields and continuous growth rates.

The Black Scholes model has been used to fair value the warrants, the inputs into the model were as follows:

Grant date		1 April 2022		23 August 2022		23 November 2022
Share price		£0.1100		£0.0638		£0.1200
Exercise price		£0.0900		£0.0550		£0.0800
Term		3 years		3 years		3 years
Expected volatility		80%		80%		80%
Expected dividend yield		0%		0%		0%
Risk free rate		1.38%		2.52%		3.10%
Fair value per warrants		£0.109		£0.064		£0.120
Total fair value of the warrants		£74,911		£229,576		£131,964

 

The weighted average exercise price of the warrants at the year end is £0.0814 (2021: £0.0664). The weighted average life of the warrants at the year end is 1.4349 years (2021: 1.1249 years).

In addition to the total warrants fair value movement of £436,452, a further £13,204 (2021: £24,366) was recognised in the total fair value movement for the year, reflecting the impact of the warrants extension detailed above.

20.  Reserves

Details of the nature and purpose of each reserve within owners' equity are provided below:

• Share capital represents the nominal value each of the shares in issue.

• Share Based Payments Reserve are included in the Consolidated Statement of Changes in Equity and in the Consolidated Statement of Financial Position and represent the accumulated balance of share benefit charges recognised in respect of share options and warrants granted by the Company, less transfers to retained losses in respect of options exercised or lapsed.

• Warrants Issuance Cost Reserve are included in the Consolidated Statement of Changes in Equity and in the Consolidated Statement of Financial Position and represent the accumulated balance of charges recognised in respect of warrants granted by the Company less transfers to retained losses in respect of options exercised or lapsed.

• The Retained Deficit Reserve represents the cumulative net gains and losses recognised in the Group's statement of comprehensive income.

• The Reconstruction Reserve arose through the acquisition of Predator Oil & Gas Ventures Limited. This entity was under common control and therefore merger accounting was adopted.   

 

21.  Related party transactions

Directors and key management emoluments are disclosed note 7 and 19 and in the Directors' remuneration report on pages 68 to 73.

In addition to the Directors and key management emoluments, the executive Directors had various transactions that are disclosed in note 15.

During the year, the Company incurred costs of EUR52,500 (£46,091) relating to capitalised operations and logistic costs in Morocco, of which EUR10,500 (£9,281) remains outstanding at the year end. These costs are payable to Earthware Energy Inc a company owned by/related to Karima Absa, the wife of Lonny Baumgardner.

As at year end, the balance owed to Directors for their services are as follows:

·      Paul Griffiths - £38,008

·      Lonny Baumgardner - £28,420

·      Alistair Jury - £2,000

·      Carl Kindinger - £1,183

 

22.  Contingent liabilities and capital commitments

The Group current minimum exploration commitment relating to Guercif is USD3,458,000. Further information can be found on page 26.

23.  Litigation

As at 31 December 2022, the Group is not currently involved in any litigation.

However, the Company initiated litigation process with Challenger Energy Group Plc ("Challenger") as per announcement on 7 June 2022. The process was resolved by 20 December 2022, when the Company announced that it had entered into a binding head of terms for the conditional sale of T-Rex Resources (Trinidad) Limited.

 

 

24.  Events after the reporting date

 

25 January 2023

 

The Company announced an update on the drilling of the MOU-2 well in the Guercif Petroleum Agreement onshore Morocco.

The MOU-2 well had been suspended with an option to re-enter after reaching a depth of 1,260 metres Measured Depth.

Below the logged interval down to 1,010 metres Measured Depth a gross interval of 165 metres was penetrated with up to 100 metres of variable quality sand.

The Moulouya Fan target had not been reached yet in MOU-2 as a consequence of the requirement to re-evaluate the drilling programme through the unexpected geological formation encountered in the well.

The mud programme and its compatibility with the previously not seen sand-rich geological formation represented by the debris-flow will require re-evaluation to achieve a more cost effective rate of penetration.

 

6 March 2023

The Company announced that it had received an exercise notice from Optiva Securities Limited ("Optiva") in respect of 2,035,714 warrants issued to it pursuant to warrant agreements with the Company:

1,875,000 of the warrants were exercisable at 4 pence per share whilst the balance of 160,714 warrants were exercisable at GBP0.028 per share.

The Company therefore allotted and issued to Optiva the total of 2,035,714 new ordinary shares (the "New Shares") following receipt of the aggregate GBP79,500.

7 March 2023

 

The Company announced an update on the proposed testing of the MOU-1 well drilled and completed in 2021 in the area of the Guercif Petroleum Agreement onshore Morocco.

In conformance with the current Moroccan regulatory procedures for rigless well testing, the Company had expressed in writing to the Office National des Hydrocarbures et des Mines ("ONHYM") the intention to test MOU-1.

8 March 2023

 

The Company announced an update that, further to entry into a binding term sheet with Challenger Energy Group PLC and relevant subsidiary entities ("CEG") as announced on 19 December 2022 ("the Transaction"), the Company had now completed all confirmatory due diligence and the Company and CEG have subsequently entered into fully termed long-form legal documentation.

 

17 March 2023

 

The Company announced that it had conditionally placed 15,500,000 new ordinary shares of no par value in the Company and 20,863,636 existing ordinary shares of no par value in the Company transferred by a director of the Company, Paul Griffiths, (the "Placing Shares") at a placing price of GBP0.055 each (the "Placing Price") to raise GBP2,000,000 (before expenses) (the "Placing").

 

The Company will not have sufficient headroom to enable issue and admission of all of the 36,363,636 Placing Shares which are required to be issued pursuant to the Placing without producing of an FCA approved prospectus.

The Company is therefore proposing to issue and admit 15,500,000 new ordinary shares (up to its existing headroom limit existing at 31 March 2023) on 3 April 2023.

On the same date, it is also intended for a director of the Company, Paul Griffiths, to make up the shortfall by way of a loan of 20,863,636 existing ordinary shares (the "Loan Shares") held by him in order to settle the Placing in a timely manner. For the avoidance of doubt, the transfer of the shares subject to Novum from Paul Griffiths involves no consideration being paid. The transfer of these shares is expected to be made on 3 April 2023.

28 March 2023

 

The Company released an update to the fund raising announced on 17 March 2023, whereby on that date the Company  announced that it had conditionally placed 15,500,000 new ordinary shares of no par value in the Company ("New Shares") and 20,863,636 existing ordinary shares of no par value in the Company ("Loan Shares") transferred by a director of the Company, Paul Griffiths, at a placing price of 5.5 pence each (the "Placing Price") to raise £2,000,000 (before expenses) (the "Placing") for completion on 3 April 2023.

 

The Company now confirms that the number of New Shares issued will be 14,174,056 whilst the number of Loan Shares to be transferred by Paul Griffiths will be 22,189,580.

 

The Loan Shares were valued at £1,220,427 and accrue interest at a rate of 4% (four percent) above SONIA, with the default rate being 12%.

 

The total funds raised by the Placing remains at £2,000,000, which is conditional on the New Shares being admitted to listing on the Official List (standard listing segment) and to trading on the London Stock Exchange's main market for listed securities ("Admission") on or around 3 April 2023 (or such later date as may be agreed by the Company and Novum).

 

 

29 March 2023

 

The Company announced the issue of share options to Moyra Scott a Drilling Manager in Morocco as well as her appointment as a director of the Group's subsidiary company Predator Gas Ventures Ltd.

 

The total share options granted to Moyra were 3,000,000 options exercisable at 10.0 pence per share and will vest after 6 months or upon the release of a Company RNS with the MOU-3 wireline log results - whichever occurs first.

 

3 April 2023

 

The Company announced admission of 14,174,056 new ordinary shares of no par value in the Company ("New Shares").

 

The Company raised a total of £2,000,000 (before expenses).

 

4 April 2023

 

The Company announced that Predator Gas Ventures Morocco Branch ("PGVMB") has awarded the contract for the construction of the MOU-3 well pad platform and the improvement of access roads to Moroccan company Skayavers Sarl.

 

Completion of permitting and survey requirements are expected to be finalised shortly. Civil works are due to start on or before 10 April 2023 to facilitate the commencement of drilling activities prior to the end of May.

 

PGVMB confirmed that it has managed to source and order for delivery the most critical outstanding long lead items in what is a very competitive and challenging international market at present due to supply chain deficiencies.

 

An update on the MOU-1 testing programme will be provided in due course and it is expected to be executed in April. It will be scheduled around the MOU-3 pre-drill planning, which is the current priority in order to enable MOU-3 to commence drilling at the earliest opportunity.

The materials and logistical requirements for a potential re-entry of the suspended well MOU-2 are being evaluated, but it is not expected that any such operation would be executed before the completion of drilling p

25.  Ultimate controlling party

In the opinion of the Directors there is no ultimate controlling party as no one individual is deemed to satisfy this definition.

26.  Prior year adjustment

An error in relation to share based payments in the 2021 financial statements has been identified and corrected, and put through the financial statements as a prior year adjustment. The 2021 comparatives have been restated for the correction of this errors, details of which are given below.

The prior year adjustment only impacts the December 2021 figures and therefore no third statement of financial position is required to be disclosed. The changes have resulted in changes in both the Statement of Comprehensive Income for 2021 and the Statement of Financial Position. However, the prior year adjustments have not had any impact on the overall accumulated loss stated for the Group for 2022 or the total net assets of the Group for 2022.

In 2021, share options previous granted to a previous director were cancelled. In accordance with IFRS 2, the remaining charge of £118,751 should have been accelerated and expenses to the Statement of Comprehensive Income as a share-based payment. This resulted in an increased operating loss of £118,751. Subsequently, the total fair value of the share options of £237,278, as included in the share-based payment reserve should have been recycled to retained deficit.

 

Reconciliation:

	£
Operating loss previously reported	(1,398,821)
Accelerated share-based payment charge	118,751
Operating loss as restated	(1,517,571)
	£
Share-based payment reserve previously reported	729,700
Accelerated share-based payment charge	118,751
Cancelled share options	(237,278)
Operating loss as restated	611,173
	£
Retained deficit previously reported	(8,456,078)
Accelerated share-based payment charge	(118,751)
Cancelled share options	237,278
Operating loss as restated	(8,337,551)

 

 

Corporate information

Directors                                                                                     Paul Stanard Griffiths (Executive Director - Chairman)

Lonny Baumgardner (Managing Director)

                                                                                                    Louis Castro (resigned 31 May 2022)

George Staley (resigned 8  March 2022)

Alistair Jury (appointed 12 May 2022)

Thomas Evans (appointed 12 May 2022  resigned 24 October 2022)

Carl Kindinger (appointed 24 October 2022)

 

Company Secretary                                                                Oak Secretaries (Jersey) Limited

                                                 3rd Floor, IFC5

                                                          Castle Street

                                                                                                 St. Helier

Jersey JE2 3BY       

 

Registered Office                                                                     3rd Floor, IFC5

                                          Castle Street

                                                                                                 St. Helier

Jersey JE2 3BY

                                                                                                    Telephone+44 (0) 1534 834 600

 

Joint Broker and Placing Agent                                                         Novum Securities Limited

                                                 Lansdowne House

                                                                                                             57 Berkeley Square

                                                                  London W1J 6ER

 

Joint Broker and Placing Agent                                             Optiva Securities Limited

                                                                                                 118 Piccadilly

                                                                                                  London W1J 7NW

                                                                                                                           

Auditors                                                                                    PKF Littlejohn LLP

15 Westferry Circus Canary Wharf

London E14 4HD