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KUWAIT ENERGY PLC
CONSOLIDATED STATEMENT OF CASH FLOWS
For the year ended 31 December 2016
9
Year ended
2016
Year ended
2015
Notes
US$ 000’s
US$ 000’s
OPERATING ACTIVITIES
Loss for the year
(116,117)
(62,367)
Adjustments for:
Share in results of joint venture
(1,451)
(445)
Depreciation, depletion and amortisation
62,394
69,147
Exploration expenditure written off
-
14,218
Impairment of oil and gas assets
94,337
69,010
Profit on farm-out of working interest
-
(33,876)
Tax charge
1,456
2,259
Foreign exchange loss
2,340
1,851
Change in fair value of convertible loans
24,774
9,261
Finance costs
9,365
9,654
Interest income
(548)
(1,177)
Provision for retirement benefit obligation
627
1,487
Operating cash flow before movement in working capital
77,177
79,022
(Increase)/decrease in trade and other receivables
(47,171)
58,776
Increase/(decrease) in trade and other payables
2,722
(25,807)
Crude oil prepayment
40,000
-
(Increase)/decrease in inventories
(749)
1,793
Tax paid
(532)
(9,624)
Net cash generated by operating activities
71,447
104,160
INVESTING ACTIVITIES
Purchase of intangible exploration and evaluation assets
(2,503)
(10,596)
Purchase of oil & gas assets
(83,297)
(205,922)
Purchase of other fixed assets
(142)
(10,802)
Increase in capital inventory stores
(42)
(4,562)
Proceeds from farm-out of working interests
13
3,500
43,190
Proceeds from disposal of other fixed assets
60
-
(Additions to)/ withdrawal from decommissioning fund
(150)
300
Investment in Joint Venture
(945)
(945)
Dividend received from joint venture
3,500
4,000
Interest received
655
1,157
Net cash used in investing activities
(79,364)
(184,180)
FINANCING ACTIVITIES
Proceeds from finance lease
-
5,902
Repayment of obligations under finance leases
(1,766)
(489)
Finance costs paid
(34,636)
(34,342)
Net cash used in financing activities
(36,402)
(28,929)
Effect of foreign currency translation on cash balances
(2,282)
(1,746)
Net decrease in cash and cash equivalents
(46,601)
(110,695)
Cash and cash equivalents at beginning of the year
105,297
215,992
Cash balances classified as held for sales
(385)
-
Cash and cash equivalents at end of the year
18
58,311
105,297