xii
that which is reflected in these forecasts, the Group’s reserves and resources could be subject to material downward
revision.
Because of these limitations, the Group’s non-IFRS measures should not be considered as measures of discretionary cash
available to the Group to invest in the growth of its business, as measures of cash that will be available to the Group to
meet its obligations or as a statement of the commercial viability or market value of the Group’s present or future
operations. You should compensate for these limitations by relying primarily on the Group’s IFRS results and using
these non-IFRS measures only to supplement your evaluation of the Group’s performance.
Unaudited operating information in relation to the Group’s business, specifically the Group’s finding costs per barrel,
drilling success rate, average realised oil sales price, 1P organic reserve replacement ratio and 2P organic reserve
replacement ratio are derived from the following sources within the Group: (i) internal records related to production,
transportation and sales of crude oil; (ii) accounting systems (based on invoices issued and/or received); and (iii) internal
reporting systems supporting the preparation of financial statements. Operating information derived from management
accounts or internal reporting systems in relation to the Group’s business is to be found principally in “
The Group’s
business
” and “
Management’s discussion and analysis of financial condition and results of operations
” of this Offering
Memorandum. This operating information does not relate to technological and geological information or information
regarding the Group’s estimated reserves or resources, which information is derived from the CPR.
Rounding
Percentages and certain amounts included in this document have been rounded to the nearest whole number or single
decimal place for ease of presentation. Accordingly, figures shown as totals in certain tables may not be the precise sum
of the figures that precede them. In addition, certain percentages and amounts contained in this document reflect
calculations based on the underlying information prior to rounding, and accordingly may not confirm exactly to the
percentages or amounts that would be derived if the relevant calculations were based upon the rounded numbers.
Times
All times referred to in this document are, unless otherwise stated, references to the time in London, United Kingdom.
Reserves and Resources
See “
Presentation of financial and other information—Reserves and Resources Reporting
Basis of Preparation
.”
Currencies
Unless otherwise indicated, in this document, all references to:
•
“
Pounds sterling
”, “
£
”, “
pence
” or “
p
” are to the lawful currency of the United Kingdom;
•
“
US dollars
”, “
USD
”, “
dollars
”, “
$
” or “
cents
” are to the lawful currency of the United States; and
•
“
Euros
” or “
€
” are to the lawful currency of the European Union (as adopted by certain Member States).
Unless otherwise indicated, the financial information contained in this document has been expressed in US dollars. For
all companies in the Group, the functional currency is the US dollar and the Group prepares its financial information in
US dollars.
The Competent Person’s Report
This document contains information concerning the Group’s oil and gas reserves extracted or derived from the report of
Gaffney Cline & Associates (“
GCA
”) dated as at the date hereof and set out in “
Competent Person’s Report
” of this
document (the “
CPR
”). GCA is an independent international energy advisory group of more than 50 years’ standing,
whose expertise includes petroleum reservoir evaluation and economic analysis.
GCA’s address is Bentley Hall, Blacknest, Alton, Hampshire GU34 4PU, United Kingdom. Neither GCA nor its
directors, officers or employees have any interest in any assets or share capital of the Issuer or in the promotion of the
Issuer. Except for the provision of professional services on a fee basis, GCA does not have any commercial arrangement
with any other person or company involved in the interests of the Group. Furthermore, GCA is independent of the Issuer,
its Directors, members of senior management and the Group’s other advisers, has no economic or beneficial interest
