46 / 67
KUWAIT ENERGY plc
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
For the six months ended 30 June 2014
44
18.
INVESTMENT IN JOINT VENTURE
The Group owns a 20% equity interest in Medco L.L.C. (“Medco”), a jointly controlled entity incorporated in Oman,
engaged as operator for Karim Small fields in Oman. In accordance with IFRS 11, the Group has determined its
interest in Medco to be a joint venture and accordingly accounts for it using the equity accounting method (see note
2).
Summarised financial statement information (100%) of Medco, based on its IFRS financial statements adjusted to
bring the accounting policies of Medco in line with those of the Group, and reconciliation with the carrying amount of
the investment in the Group’s consolidated financial statements are set out below:
As at 30 June
As at 31 December
2014
2013
2013
2012
2011
Audited
Unaudited
Audited
Audited
Audited
USD 000’s USD 000’s USD 000’s USD 000’s USD 000’s
Cash and bank balances
8,845
12,236
19,849
8,089
8,580
Other current assets
27,062
27,019
32,087
30,919
30,509
Non-current assets
7,197
10,334
8,672
11,997
15,321
Current liabilities
(15,901)
(15,944)
(24,227)
(25,171)
(19,346)
Non-current liabilities
(376)
(643)
(295)
(357)
(352)
Equity
26,827
33,002
36,086
25,477
34,712
Group’s equity interest in Medco
20%
20%
20%
20%
20%
Proportion of the Group's
ownership interest in Medco
5,365
6,600
7,217
5,095
6,942
Adjustments made to bring the
accounting policies of Medco in
line with those of the Group
4,304
3,183
3,381
3,960
4,061
Carrying amount of the Group’s
interest in Medco
9,669
9,783
10,598
9,055
11,003
For the six months
period ended 30 June
For the year ended 31 December
2014
2013
2013
2012
2011
Audited
Unaudited
Audited
Audited
Audited
USD 000’s USD 000’s USD 000’s USD 000’s USD 000’s
Revenue
51,165
49,503
109,490
103,035
100,148
Amortization
1,662
1,662
3,325
3,325
3,325
Taxation charges
1,113
1,016
1,452
2,139
1,051
Profit and total comprehensive
income for the period/year
8,242
7,526
10,610
15,764
7,788
Group’s share of profit for the
period/year
1,648
1,505
2,122
3,153
1,558
Adjustments made to bring the
accounting policies of Medco in
line with those of the Group
923
(777)
(579)
(101)
(439)
Share of results from joint venture
recognised in consolidated
income statement
2,571
728
1,543
3,052
1,119
Dividend received from the joint
venture during the period/year
3,500
-
-
5,000
-