Investor Presentaiton
Armour Energy and controlled entities
Financial report continued
Notes to the consolidated financial statements continued
NOTE 21. DEFERRED CONSIDERATION
Current
Deferred consideration payable
Non-current
Deferred consideration payable
Consolidated
30 June
30 June
2020
$
2019
$
1,000,000
1,000,000
NOTE 23. NON-CURRENT LIABILITIES - BORROWINGS
TOTAL SECURED LIABILITIES
The total secured liabilities are as follows:
Tribeca Loan Facility
919,143
FIIG Corporate Bonds
FIIG Corporate Bonds - issue costs
1,000,000
1,919,143
armourenergy.com.au
Consolidated
30 June
2020
$
30 June
2019
$
45,100,000
(1,977,421)
4,648,566
55,000,000
(2,233,323)
43,122,579
57,415,243
ACCOUNTING POLICY FOR DEFERRED CONSIDERATION
On
1 September 2015 Armour Energy (Surat Basin) Pty Ltd, a subsidiary of Armour Energy Ltd, entered into agreements to acquire
the Kincora Project from Oil Investments Pty Ltd (Origin Energy). The combined agreements totalled a cash purchase price of $10
million plus $3 million deferred consideration, which was contingent on first gas. The Group achieved first gas in September 2017,
and the deferred consideration became due.
Refer to note 26 for further information on financial risk management.
The Group complied with all covenant requirements of the Tribeca loan facility and FIIG Corporate bonds during the year ended 30
June 2020.
For personal use, only
88
The deferred element consisted of three $1 million payments to be made on the 1st, 2nd, and 3rd anniversary of first gas. The final
payment is due in September 2020 and $1 million has been classified as a current liability.
NOTE 22. CURRENT LIABILITIES - BORROWINGS
Tribeca Loan Facility
FIIG Corporate Bond
FIIG Corporate Bond accrued interest
Consolidated
30 June
2020
$
30 June
2019
$
Corporate Bond facility
Consolidated
Movement in carrying amounts:
30 June
30 June
Face value of corporate bond facility
51,150,000
2020
$
2019
Issue costs of corporate bond facility
(2,350,866)
55,000,000
(2,350,866)
$
Amortisation of bond facility costs
373,445
117,543
5,663,940
6,050,000
1,203,125
Tribeca loan facility
49,172,579
52,766,677
11,713,940
1,203,125
Movement in carrying amounts:
Face value of loan facility
Issue costs of loan facility
6,759,200
(137,218)
6,759,200
(137,218)
Other equity securities - value of conversion rights, net of issue costs
(2,893,012)
(2,893,012)
Amortisation of loan facility
Amortisation of issue costs
1,885,603
49,367
895,986
23,610
5,663,940
4,648,566
89View entire presentation