KUWAIT ENERGY plc GROUP
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
For the year ended 31 December 2013
F-71
29.
FINANCIAL INSTRUMENTS (CONTINUED)
Capital risk management
The Group manages its capital to ensure that it will be able to continue as a going concern while maximising the
return to the shareholders through the optimisation of debt and equity balance. The Group’s overall strategy
remains unchanged from 2011 and 2012.
The capital structure of the Group consists of equity comprising issued share capital, share premium and reserves.
Gearing ratio
The gearing ratio at year end was as follows:
2013
2012
USD 000’s
USD 000’s
Debt (i)
277,067
143,213
Less: Cash and bank balances and liquid investments
(131,563)
(48,384)
Net debt
145,504
94,829
Equity
509,993
756,943
Net debt to equity ratio (%)
28.5
12.5
(i) Debt is defined as long-term and short term loans as detailed in note 22 and convertible loans as detailed in
note 23.
30.
SUBSIDIARY COMPANIES
The principal subsidiaries of the Company at 31 December 2013 were as follows:
Company’s name
Ownership %
Country of
incorporation
Country of
operations
Type of activity
2013
2012
KEC (Egypt) Ltd
100
100
British Virgin
Islands
Egypt
Exploration /
development/
production
Kuwait Energy Egypt Ltd
100
100
British Virgin
Islands
Egypt
Exploration /
development/
production
KEC (Eastern Desert) Petroleum
Services SAE
100
100
Egypt
Egypt
Exploration /
development/
production
Kuwait Energy Yemen Ltd
100
100
British Virgin
Islands
Yemen
Exploration /
development/
production
Kuwait Energy Iraq
Limited
100
100
British Virgin
Islands
Iraq
Exploration /
development/
production
Kuwait Netherlands
Cooperative
100
100
Netherlands
Ukraine/
Latvia/ Russia
Holding Company
Kuwait Energy Ukraine
100
100
Ukraine
Ukraine
Exploration/
Production
