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KUWAIT ENERGY plc
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
For the six months ended 30 June 2014
63
33.
FINANCIAL INSTRUMENTS (CONTINUED)
Credit risk management (continued)
The maximum exposure to credit risk for trade receivables at the reporting date by geographic region was:
As at 30 June
As at 31 December
2014
2013
2013
2012
2011
Audited
Unaudited
(Restated)
Audited
(Restated)
Audited
(Restated)
Audited
(Restated)
USD 000’s USD 000’s USD 000’s USD 000’s USD 000’s
Egypt
121,370
128,837
115,824
163,891
131,039
Yemen
1,715
12,897
8,961
1,649
1,134
123,085
141,734
124,785
165,540
132,173
Liquidity risk management
Liquidity risk is the risk that the Group will not be able to meet its financial obligations as they fall due. The Group’s
approach to managing liquidity is to ensure, as far as possible, that it will always have sufficient liquidity to meet its
liabilities when due, under both normal and stressed conditions, without incurring unacceptable losses or risking
damage to the Group’s reputation.
Ultimate responsibility for liquidity risk management rests with the management, which has built an appropriate
liquidity risk management framework for the management of the Group’s short, medium and long-term funding and
liquidity management requirements. The Group manages liquidity risk by maintaining adequate reserves and banking
facilities, by continuously monitoring forecast and actual cash flows and matching the maturity profiles of financial
assets and liabilities.
The following tables detail the Group’s remaining contractual maturity for its financial liabilities. The tables have
been drawn up based on the undiscounted cash flows of financial liabilities.
Financial liabilities
Less than
1 year
Between
1 and 3
years
Between
3 and 5
years
More than
5 years
Total
Weighted
average
effective
interest rate
USD 000’s USD 000’s USD 000’s USD 000’s USD 000’s
%
At 30 June 2014
Long-term loans
68,284
100,115
-
-
168,399
6.62%
Convertible loans
8,000
16,000
109,960
-
133,960
16%
Trade and other
payables
148,846
-
-
-
148,846
225,130
116,115
109,960
-
451,205
At 30 June 2013
Long-term loans
125,000
-
-
-
125,000
6.62%
Convertible loans
8,000
16,000
65,801
52,150
141,951
16%
Trade and other
payables (restated)
69,072
-
-
-
69,072
202,072
16,000
65,801
52,150
336,023
At 31 December 2013
Long-term loans
84,436
93,447
-
-
177,883
6.62%
Convertible loans
8,000
16,000
96,796
17,169
137,965
16%
Trade and other
payables (restated)
89,001
-
-
-
89,001
-
181,437
109,447
96,796
17,169
404,849