Buy
Sell
Share Name Share Symbol Market Type Share ISIN Share Description
Petro Matad Limited LSE:MATD London Ordinary Share IM00B292WR19 ORD USD0.01
  Price Change % Change Share Price Bid Price Offer Price High Price Low Price Open Price Shares Traded Last Trade
  0.00 0.0% 2.40 2.30 2.50 2.40 2.40 2.40 1,030,779 08:00:23
Industry Sector Turnover (m) Profit (m) EPS - Basic PE Ratio Market Cap (m)
Oil & Gas Producers 0.6 -12.7 -1.9 - 16

Petro Matad Limited Interim results

17/08/2020 7:00am

UK Regulatory (RNS & others)


Petro Matad (LSE:MATD)
Historical Stock Chart


From Jul 2020 to Oct 2020

Click Here for more Petro Matad Charts.

TIDMMATD

RNS Number : 2519W

Petro Matad Limited

17 August 2020

Petro Matad Limited

('Petro Matad' or the 'Company')

Interim results for the six months ended 30 June 2020

LONDON, 17 August 2020: Petro Matad Limited, the AIM quoted Mongolian oil company, is pleased to announce its unaudited interim results for the six months ended 30 June 2020.

Financial Summary

The Group posted a loss of USD 2.35 million for the six-month period ended 30 June 2020, which compares to a loss of USD 4.41 million for the comparable period in 2019. The Company's cash balance at 30 June 2020 was USD 2.08 million (USD 2.07 million in cash and USD 0.01 million in Financial Assets), which compares to a cash balance of USD 16.12 million (USD 3.79 million in cash and USD 12.33 million in Financial Assets) on 30 June 2019.

The Company has strategically put in place cost saving measures without sacrificing its operational capability, which in the absence of new sources of financing, will enable it to remain in an operationally ready state until mid-2021. Meanwhile the Company is pursuing a number of options to fund the next stage of its activities.

Operational Update

-- The Block XX Exploitation Licence (EL) application continues to progress through the government's approval processes. A key component is approval of the Company's reserve report for its Heron 1 oil discovery. The report has been reviewed by auditors appointed by the Ministry of Mining and Heavy Industry (MMHI) and forwarded for final review and approval to the Mineral Resource Professional Council (MRPC). We are pushing for the council to meet and we are hopeful that it will do so before the end of the third quarter.

-- Once the reserves report has been approved, the EL award process requires the development area to be agreed with industry regulator Mineral Resources and Petroleum Authority of Mongolia (MRPAM) and then the Plan of Development must be reviewed and approved by MRPAM and MMHI. The Plan of Development has been completed save for any minor modifications which may result from the ongoing review of the reserves report and it will be submitted to the relevant bodies as soon as the reserves report approval is in hand.

-- The Covid-19 pandemic combined with the Mongolian parliamentary election which was held in June 2020 have caused some delays in the EL approval processes but the previously announced one-year moratorium obtained for Block XX ensures that the PSC remains in good standing as the EL award process progresses.

-- In parallel with the EL the Company is also working with MRPAM to progress the issues of land access which caused some delay and disruption to operations in 2019. MRPAM advises that they expect the issues, which arose as a result of new legislation (Reg 287 of 2017), will be resolved by the adoption of the conclusions of a working group. Those conclusions are currently progressing through the government's approval processes.

-- Mongolia continues to manage the Covid-19 pandemic with the strict application of in-country measures as well as maintaining border closures to all but essential travel. To date, community spread has successfully been prevented in Mongolia and the impact on the Company's activities has been limited with its office and those of MRPAM and MMHI functioning as normal throughout.

Further operational updates will be provided in due course.

- Ends -

Further information please contact:

 
Petro Matad Limited 
                                               +97 670 141 099 / +97 675 751 
Mike Buck, CEO                                 099 
 
Shore Capital (Nominated Adviser and Broker) 
Toby Gibbs 
 Jerry Keen 
 John More                                     +44 (0) 20 7408 4090 
 
  FTI Consulting (Communications 
  Advisory Firm) 
Sara Powell 
 Ben Brewerton                                 +44 (0) 20 3727 1000 
 
 

About Petro Matad

Petro Matad is the parent company of a group focussed on oil exploration, as well as future development and production in Mongolia. At the current time, Petro Matad holds 100% working interest and the operatorship of three Production Sharing Contracts with the Government of Mongolia. Block XX has an area of 10,367 square kilometres in the far eastern part of the country and Blocks IV and V have an area of 29,062 square kilometres and 21,143 square kilometres, respectively, in the central western part of the country.

Petro Matad Limited is incorporated in the Isle of Man under company number 1483V. Its registered office is at Victory House, Prospect Hill, Douglas, Isle of Man, IM1 1EQ.

STATEMENT OF COMPREHENSIVE INCOME

FOR THE HALF-YEARED 30 JUNE 2020

 
                                                                     Consolidated 
                                                        30 Jun 2020    30 Jun 2019 
                                                           $'000          $'000 
----------------------------------------------------   -------------  ------------- 
 
 Continuing Operations 
 Revenue 
 Interest Income                                                  15            508 
 Other Income                                                     20              2 
                                                       -------------  ------------- 
                                                                  35            510 
 
 Expenditure 
 Consultancy fees                                               (38)           (62) 
 Depreciation and amortisation                                  (63)          (101) 
 Employee benefits expenses                                  (1,323)        (1,510) 
 Exploration expenditure                                       (293)        (2,152) 
 Other expenses                                                (670)        (1,091) 
 Profit/(Loss) from continuing operations 
  before income tax                                          (2,352)        (4,406) 
 Income tax expense                                                -              - 
                                                       -------------  ------------- 
 Profit/(Loss) from continuing operations 
  after income tax                                           (2,352)        (4,406) 
                                                       -------------  ------------- 
 Net Loss                                                    (2,352)        (4,406) 
                                                       -------------  ------------- 
 
 Other comprehensive income/(loss) 
 Exchange rate differences on translating 
  foreign operations                                            (12)            (1) 
                                                       -------------  ------------- 
 Other comprehensive income/(loss), net 
  of income tax                                                 (12)            (1) 
                                                       -------------  ------------- 
 Total comprehensive loss                                    (2,364)        (4,407) 
                                                       =============  ============= 
 
 Profit/(Loss) attributable to owners 
  of the parent                                              (2,352)        (4,406) 
                                                       =============  ============= 
 
 Total comprehensive income/(loss) attributable 
  to owners of the parent                                    (2,364)        (4,407) 
                                                       =============  ============= 
 
 Earnings/(loss) per share (cents per 
  share) 
 
   *    Basic and diluted earnings/(loss) per share           (0.35)         (0.67) 
 

STATEMENT OF FINANCIAL POSITION

AS AT 30 JUNE 2020

 
                                                                 Consolidated 
                                   30 Jun 2020      31 Dec 2019      30 Jun 2019 
                                      $'000            $'000            $'000 
-------------------------------  ---------------  ---------------  -------------- 
 ASSETS 
 Current Assets 
 Cash and cash equivalents                 2,069            2,815           3,790 
 Trade and other receivables                   8               23              42 
 Prepayments                                 160              155             220 
 Financial assets                             10            1,510          12,334 
 Inventory                                   225              226             205 
                                 ---------------  ---------------  -------------- 
 Total Current Assets                      2,472            4,729          16,591 
                                 ---------------  ---------------  -------------- 
 
 Non-Current Assets 
 Exploration and evaluation               15,275           15,275          15,275 
 Property, plant and equipment               203              260             319 
 Total Non-Current assets                 15,478           15,535          15,594 
                                 ---------------  ---------------  -------------- 
 TOTAL ASSETS                             17,950           20,264          32,185 
                                 ---------------  ---------------  -------------- 
 
 LIABILITIES 
 Current liabilities 
 Trade and other payables                    246              502             477 
 Total Current Liabilities                   246              502             477 
                                 ---------------  ---------------  -------------- 
 TOTAL LIABILITIES                           246              502             477 
                                 ---------------  ---------------  -------------- 
 NET ASSETS                               17,704           19,762          31,708 
                                 ===============  ===============  ============== 
 
 EQUITY 
 Issued capital                          143,721          143,174         143,174 
 Reserves                                  2,809            3,062           2,579 
 Accumulated losses                    (128,826)        (126,474)       (114,045) 
                                 ---------------  ---------------  -------------- 
 TOTAL EQUITY                             17,704           19,762          31,708 
                                 ===============  ===============  ============== 
 

CONDENSED CASH FLOW STATEMENT

FOR THE HALF-YEARED 30 JUNE 2020

 
                                                    Consolidated 
                                              30 Jun 2020   30 Jun 2019 
                                                 $'000         $'000 
-------------------------------------------  ------------  ------------ 
 
 Cash flows from operating activities 
 Payments to suppliers and employees              (2,349)       (5.568) 
 Interest received                                     15           508 
 Net cash flows from/(used in) operating 
  activities                                      (2,334)       (5,060) 
                                             ------------  ------------ 
 
 Cash flows from operating activities 
 Purchase of property, plant and equipment           (10)          (87) 
 Proceeds of financial assets                       1,500         6,827 
 Proceeds from the disposal of plant 
  and equipment                                         -             - 
 Net cash flows from/(used in) investing 
  activities                                        1,490         6.740 
                                             ------------  ------------ 
 
 Cash flows from financing activities 
 Proceeds from issue of shares                        110             - 
 Capital raising costs                                  -             - 
 Net cash flows from/(used in) financing 
  activities                                          110             - 
                                             ------------  ------------ 
 
 Net increase/(decrease) in cash and 
  cash equivalents                                  (734)         1.680 
 Net foreign exchange differences                    (12)           (1) 
 Cash and cash equivalents at beginning 
  of period                                         2,815         2,111 
                                             ------------  ------------ 
 Cash and cash equivalents at end 
  of period                                         2,069         3,790 
                                             ============  ============ 
 

STATEMENT OF CHANGES IN EQUITY

FOR THE HALF-YEARED 30 JUNE 2020

 
                                                                              Consolidated 
                                                              Attributable to equity holders of the parent 
 
                                                    Issued Capital     Accumulated Losses         Other 
                                                        $'000                $'000            Reserves $'000     Total 
                                                                                                                 $'000 
 
 As at 1 January 2019                                      143,174              (109,809)              2,660    36,025 
 Income/(Loss) for the period                                    -                (4,406)                  -   (4,406) 
 Other comprehensive income                                      -                      -                (1)       (1) 
                                                 -----------------  ---------------------  -----------------  -------- 
 Total comprehensive income/(loss) for the 
  period                                                   143,174              (114,215)              2,659    31,618 
 Transactions with owners in their capacity as 
 owners 
 Issue of share capital                                          -                      -                  -         - 
 Cost of capital raising                                         -                      -                  -         - 
 Share based payments                                            -                    170               (80)        90 
                                                 -----------------  ---------------------  -----------------  -------- 
 As at 30 June 2019                                        143,174              (114,045)              2,579    31,708 
                                                 -----------------  ---------------------  -----------------  -------- 
 
 
 As at 1 January 2020                                      143,174              (126,474)              3,062    19,762 
 Income/(Loss) for the period                                    -                (2,352)                  -   (2,352) 
 Other comprehensive income                                      -                      -               (12)      (12) 
                                                 -----------------  ---------------------  -----------------  -------- 
 Total comprehensive income/(loss) for the 
  period                                                   143,174              (128,826)              3,050    17,398 
 Transactions with owners in their capacity as 
 owners 
 Issue of share capital                                        121                      -                  -       121 
 Cost of capital raising                                         -                      -                  -         - 
 Share based payments                                          426                      -              (241)       185 
 As at 30 June 2020                                        143,721              (128,826)              2,809    17,704 
                                                 -----------------  ---------------------  -----------------  -------- 
 
   1.   CORPORATE INFORMATION 

The financial report covers the consolidated entity of Petro Matad Limited and its controlled entities.

Petro Matad Limited, a company incorporated in the Isle of Man on 30 August 2007 has four wholly owned subsidiaries, including Capcorp Mongolia LLC and Petro Matad LLC (both incorporated in Mongolia), Central Asian Petroleum Corporation Limited ("Capcorp") and Petromatad Invest Limited (both incorporated in the Cayman Islands). Its major shareholder is Petrovis Matad Inc.

   2.   SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES 

The half-year financial report does not include all of the notes of the type normally included within the annual financial report and therefore cannot be expected to provide as full an understanding of the financial performance, financial position and financing and investing activities of the consolidated entity as the full financial report.

The half-year financial report should be read in conjunction with the annual Financial Report of Petro Matad Limited as at 31 December 2019. The half-year consolidated financial statements have been prepared using the same accounting policies as used in the annual financial statements for the year ended 31 December 2019.

It is also recommended that the half-year financial report is considered together with any public announcements made by Petro Matad Limited and its controlled entities during the half-year ended 30 June 2020.

   (a)      Basis of Preparation 

The half-year consolidated financial report is a general-purpose financial report, which has been prepared in accordance with the requirements of International Financial Reporting Standards ("IFRS") as issued by the International Accounting Standards Board ('IASB'). The half-year financial report has been prepared on a historical cost basis, except where stated.

The financial report is presented in US dollars and all values are rounded to the nearest thousand dollars ($'000).

For the purpose of preparing the half-year financial report, the half-year has been treated as a discrete reporting period.

   (b)      Basis of consolidation 

The consolidated financial statements comprise the financial statements of the Group as at 31 December each year.

Subsidiaries are entities controlled by the Group. Control exists when the Group has the power to govern the financial and operating policies of an entity so as to obtain benefits from its activities. In assessing control, potential voting rights that presently are exercisable or convertible are taken into account. The financial statements of the subsidiaries are included in the consolidated financial statements from the date that control commences until the date that control ceases.

The financial statements of subsidiaries are prepared for the same reporting period as the parent company, using consistent accounting policies. Adjustments are made to bring into line any dissimilar accounting policies that may exist.

A change in the ownership interest of a subsidiary that does not result in a loss of control is accounted for as an equity transaction.

All intercompany balances and transactions, including unrealised profits arising from intra-group transactions, have been eliminated in full. Unrealised losses are eliminated unless costs cannot be recovered.

   3.   CONTRIBUTED EQUITY 
 
                                                                       CONSOLIDATED 
                                           30 Jun 
                                             2020                     31 Dec 2019 
                                            $'000                          $'000 
                                          --------  ---------------------------------------------- 
 Ordinary shares (i) 
 674,289,306 shares issued 
 and fully paid 
 (31 Dec 2019: 662,196,306)                143,721   143,174 
                                           143,721   143,174 
                                      ============  ======== 
 
 

(i) Ordinary shares

Fully paid ordinary shares carry one vote per share and carry the right to dividends.

   4.   RESERVES 

A detailed breakdown of the reserves of the Group is as follows:

 
                                                   Equity       Foreign 
                                        Merger     benefits     currency 
                                        reserve    reserve     translation   Total 
  Consolidated                          $'000       $'000        $'000       $'000 
                                     ----------  ----------  -------------  ------ 
 
  As at 1 July 2019                         831       2,938        (1,190)   2,579 
  Currency translation differences            -           -           (13)    (13) 
  Share based payments                        -         496              -     496 
                                     ----------  ----------  -------------  ------ 
  As at 31 December 2019                    831       3,434        (1,203)   3,062 
 
  Currency translation differences            -           -           (12)    (12) 
  Share based payments                        -       (241)              -   (241) 
  As at 30 June 2020                        831       3,193        (1,215)   2,809 
                                     ==========  ==========  =============  ====== 
 
   5.   EARNINGS/(LOSS) PER SHARE 

The following reflects the income and share data used in the total operations basic and diluted earnings/(loss) per share computations:

 
                                                     CONSOLIDATED 
                                                   30 Jun    30 Jun 
                                                     2020      2019 
 Basic earnings/(loss) per share 
 Total basic earnings/(loss) per share (US$ 
  cents per share) (note a)                         (0.35)    (0.67) 
                                                  --------  -------- 
 
 Diluted earnings/(loss) per share 
 Total diluted earnings/(loss) per share (US$ 
  cents per share) (note b)                         (0.35)    (0.67) 
                                                  --------  -------- 
 
 (a) Basic earnings/(loss) per share 
 The profit/(loss) and weighted average number 
  of ordinary shares used in the calculation 
  of basic loss per share are as follows: 
 
 
 Net profit/(loss) attributable to ordinary 
  shareholders (US$'000)                           (2,352)   (4,406) 
                                                  --------  -------- 
 
 Weighted average number of ordinary shares 
  for the purposes of basic earnings per share 
  ('000)                                           672,429   662,196 
 
 (b) Diluted earnings/(loss) per share 
 The profit/(loss) and weighted average number 
  of ordinary shares used in the calculation 
  of diluted earnings per share are as follows: 
 
 
 Net profit/(loss) attributable to ordinary 
  shareholders (US$'000)                           (2,352)   (4,406) 
                                                  --------  -------- 
 
 Weighted average number of ordinary shares 
  for the purposes of basic earnings per share 
  ('000)                                           672,429   662,246 
                                                  --------  -------- 
 

Share Options and Conditional Share Awards could potentially dilute basic loss per share in the future, however they have been excluded from the calculation of diluted loss per share because they are anti-dilutive for both years presented.

This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact rns@lseg.com or visit www.rns.com.

END

IR UNVVRRVUWAAR

(END) Dow Jones Newswires

August 17, 2020 02:00 ET (06:00 GMT)

1 Year Petro Matad Chart

1 Year Petro Matad Chart

1 Month Petro Matad Chart

1 Month Petro Matad Chart
ADVFN Advertorial
Your Recent History
LSE
MATD
Petro Mata..
Register now to watch these stocks streaming on the ADVFN Monitor.

Monitor lets you view up to 110 of your favourite stocks at once and is completely free to use.

By accessing the services available at ADVFN you are agreeing to be bound by ADVFN's Terms & Conditions

P: V:gb D:20201021 19:12:47