70
71
KUWAIT ENERGY plc AND SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
For the year ended 31 December 2011
23
4. JUDGEMENTS AND KEY SOURCES OF ESTIMATION UNCERTAINTY (CONTINUED)
Key sources of estimation uncertainty (Continued)
Debtor recoverability
The Group has significant trade receivables which are past due but not impaired, as described in note 16. The
majority of this balance is due from Egyptian General
Petroleum Corporation (“EGPC”)
. During the course of
2011, the Egyptian
political situation remained unstable due to the “Arab Spring” revolution
s, which caused a
significant delay in the receipt of amounts owed to the Group. However, management believes that all amounts
owed at 31 December 2011 will be collected during the course of the coming year. In making this judgement,
factors considered include EGPC
’s strong track record of ultimate settlement, the receipt of significant (USD
46.4 million) funds during 2011 and an agreement reached subsequent to year-end under which funds will be
received on a regular monthly basis.
5.
SEGMENTAL INFORMATION
IFRS 8 requires operating segments to be identified on the basis of internal reports about components of the
Group that are regularly reviewed by the chief operating decision maker in order to allocate resources to the
segment and to assess its performance.
The information reported to the Group’s chief operating decision m
aker
for the purposes of resource allocation and assignment of segment performance is specifically focused on the
geographical area (country). All of the segment revenue reported below is from external customers.
The accounting policies of the reportabl
e segments are the same as the Group’s accounting policies described in
note 3. Segment profit represents the operating profit earned by each segment. This is the measure reported to
the chief operating decision maker for the purposes of resource allocation and assessment of segment
performance.
For the purposes of monitoring segment performance and allocating resources between segments:
there are no assets used jointly by any reportable segment; and
there are no liabilities for which any segment is jointly liable other than the murabaha facilities from
International Finance Corporation (See note 20) amounting to USD 45 Million (2010: USD 45 Million)
which has been utilised jointly by the Company, Kuwait Energy Egypt Ltd and Kuwait Energy Yemen Ltd.
No revenue or assets arose in or relate to Jersey, the Company’s country of domicile
, in either year.
Revenue from major products and services
The Group’s revenues from oil and gas are disclosed in note
6 to these consolidated financial statements.
Information about major customers
Included in revenues arising from Egypt for the year is revenue of approximately USD 120,019 thousand
(2010: USD 84,582 thousand) which arose from sales to the Group’s largest customer.
KUWAIT ENERGY plc AND SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
For the year ended 31 December 2011
24
5. SEGMENTAL INFORMATION (CONTINUED)
Egypt
Yemen
Iraq
Oman
Ukraine
Russia
Others
Total
USD
000’s
USD
000’s
USD
000’s
USD
000’s
USD
000’s
USD
000’s
USD
000’s
USD
000’s
31 December 2011
Segment revenues
120,245
18,273
-
20,029
12,272
8,102
-
178,921
Segment results
73,263
5,269
(1,008)
1,329
(9,635)
(6,543)
(11,673)
51,002
Loss on held for
trading derivative
(75)
Other income
800
Foreign exchange
gain
654
Finance costs
(7,749)
Profit before tax
44,632
Taxation
(9,869)
Profit for the year
34,763
Segment assets
464,138
43,154
4,646
14,942
178,384
134,383
44,423
884,070
E&E assets
76,416
35,524
-
-
7,500
10,655
19,106
149,201
PP&E
221,274
3,585
4,484
7,125
139,651
112,841
4,167
493,127
Segment liabilities
32,780
6,129
1,115
3,940
21,537
27,928
56,349
149,778
Other information
Impairment loss
-
-
-
-
8,520
-
-
8,520
Additions to E&E
24,795
7,627
-
-
-
558
3,293
36,273
Additions to PP&E
46,319
3,025
3,801
14,346
5,948
32,001
2,984
108,424
Kuwait Energy Plc And Subsidiaries
Notes To The Consolidated Financial Statements
For The Year Ended 31 December 2011
Kuwait Energy Plc And Subsidiaries
Notes To The Consolidated Financial Statements
For The Year Ended 31 December 2011
