ANNUAL REPORT FOR THE YEAR ENDED
30 JUNE 2023
ABN 65 084 918 481
Jupiter Energy Limited
Corporate directory
30 June 2023
Directors
Geoffrey Gander (Executive Chairman/Chief Executive Officer)
Baltabek Kuandykov (Non-Executive Director)
Alexey Kruzhkov (Non-Executive Director)
Alexander Kuzev (Non-Executive Director)
Keith Martens (Non-Executive Director – appointed 5 July 2023)
Mark Ewing (Non-Executive Director – resigned 5 July 2023)
Company secretary
James Barrie
Registered office
Suite 2
Level 14, 333 Collins Street
Melbourne VIC 3000
Principal place of business
Microdistrict 12, Building 79, BC Zhastar
Aktau, Kazakhstan, 130000
Share register
Computershare Investor Services Pty Ltd
Level 17, 221 St George’s Terrace
Perth WA 6000
Auditor
Solicitors
Bankers
Ernst & Young
11 Mounts Bay Road
Perth WA 6000
Steinepreis Paganin
Level 4,
16 Milligan Street
Perth WA 6000
National Australia Bank Ltd
UB13.03, 100 St Georges Terrace
Perth WA 6000
Stock exchange listing
Jupiter Energy Limited shares are listed on the Australian Securities Exchange (ASX
code: "JPR")
Website
www.jupiterenergy.com
Corporate Governance Statement
www.jupiterenergy.com
1
Jupiter Energy Limited
Chairman's letter
30 June 2023
Dear Shareholder,
I am pleased to present the 2023 Annual Report for Jupiter Energy Limited (“Jupiter Energy”, “the Company” or “the Group”).
The operating environment in Kazakhstan has seen some improvement over the past 12 months but continues to be
impacted by the geopolitical tension that exists between Russia and Ukraine.
Despite this unfortunate situation, with the focus and dedication of our Aktau based team and the ongoing support of our major
shareholder and four Noteholders, the Company is now producing oil at optimal levels and is free to sell its oil into both the
Kazakh domestic and certain overseas oil markets.
The Group produced 132,800 barrels of oil during the year (an increase of 46% year on year) and generated revenues of
US$3.8 million - approximately $US32 per barrel for oil. Production increased markedly in the last quarter of the year as the
Company installed the requisite infrastructure to achieve 100% gas utilisation and was thereby granted approval to return its
production wells to optimal levels.
Achieving 100% gas utilisation has been a significant milestone for the Company. From March 2023, production increased to
~85 tonnes (640 barrels) per day and with the various workovers being carried out on existing wells during the next few
months, production should increase to over ~100 tonnes (750 barrels) per day.
The Company is now subject to monthly quotas set by the Kazakh Ministry of Energy in terms of what quantity of its oil must
be sold into the Kazakh domestic market and what quantity the Company is free to sell via alternative channels. From April
2023, these alternative channels include sales into the export market.
Unfortunately, the pricing of export oil has been impacted by routing restrictions linked to the ongoing situation in Ukraine.
As a result, export sales are currently not achieving the best net price for oil. It is hoped that the environment for selling
export oil will improve over the coming twelve months.
Another significant milestone achieved during the past year occurred at the December 2022 Annual General Meeting when
shareholders approved a significant debt restructure plan. This plan saw Balance Sheet debt reduced from ~$US75m
(~$AU106.2m) to ~$US16.5m (~$AU24.4m). The carrying value of the debt at 30 June 2023 is ~$US13.9m (~$AU20.8m).
As part of this restructuring, our 4 Noteholders agreed to write off a proportion of their outstanding balance and convert
proportion to shares in the company. The restructured Balance Sheet ensures the Company is now in a far better position to
seek new investors, if and when seeking new funds is deemed appropriate.
I would like to thank the four Noteholders, our shareholders and all employees for working together to get Jupiter Energy into
this much improved operational position and I look forward to the Company continuing to make good progress over the next
twelve months.
Sincerely
Geoff Gander
Chairman/CEO
2
Jupiter Energy Limited
Directors' report
30 June 2023
The directors present their report, together with the financial statements, on the consolidated entity (referred to hereafter as
the 'consolidated entity' or ‘the Group’) consisting of Jupiter Energy Limited (referred to hereafter as the 'company' or 'parent
entity') and the entities it controlled at the end of, or during, the year ended 30 June 2023.
Directors
The following persons were directors of Jupiter Energy Limited during the whole of the financial year and up to the date of
this report, unless otherwise stated:
Geoffrey Gander (Executive Chairman/Chief Executive Officer)
Baltabek Kuandykov (Non-Executive Director)
Alexey Kruzhkov (Non-Executive Director)
Alexander Kuzev (Non-Executive Director)
Keith Martens (Non-Executive Director - appointed 5 July 2023)
Mark Ewing (Non-Executive Director - resigned 5 July 2023)
Principal activities
During the financial year the principal continuing activities of the consolidated entity consisted of:
●
●
Exploration for oil and gas in Kazakhstan; and
Appraisal, development and production of oil and gas properties in Kazakhstan.
Dividends
There were no dividends paid, recommended or declared during the current or previous financial year.
Review of operations
The profit for the consolidated entity after providing for income tax amounted to $44,192,282 (30 June 2022: loss of
$11,511,006).
The profit for year included a gain of $52,726,436 from a restructure of the company's debt.
Review of financial condition
At the end of the 2023 financial year, cash resources were $860,795 (2022: $1,330,334). These accounts have been
prepared on a going concern basis, predicated on the Group’s ability to raise additional cash. Refer to note 1 for additional
information surrounding going concern.
Total assets at 30 June 2023 were $23,238,966 (2022: $20,606,629) and the consolidated entity had net liabilities of
$1,922,193 (2022: negative $81,563,998).
Funding and capital management
As at 30 June 2023, the Group had 1,229,850,121 (2022: 153,377,693) listed shares trading under the ASX ticker "JPR". The
increase in the number of listed shares reflected the debt for equity shares issued in December 2022 as part of the debt
restructure plan approved by shareholders at the 2022 Annual General Meeting (AGM).
Funding for operations during the year came entirely from prepaid oil sales.
As at 30 June 2023 the Company had approximately $US16.57m ($AU25M) in debt, compared to ~$US73m ($AU105.9m)
as at 30 June 2022. This remaining debt will be carried interest free until 31 December 2024 and the Company expects to
repay the amount, using $US generated from oil sales, over the coming years.
The Company announced on 03 July 2023 that it had agreed a new $US5m facility with major shareholder Waterford Finance
& International Limited. This facility is provided interest fee, is unsecured and any funds drawn on the facility will be repayable
on or before 31 December 2024, unless this date is extended by mutual agreement. No monies have been drawn down from
this facility as at the date of this report. Any amounts drawn down under this facility will be repaid prior to the company'
existing noteholders.
The Group is still reviewing its ongoing funding options to enable it to complete its committed work program for the 2023/2024
financial year.
Status of Production Licences
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Jupiter Energy Limited
Directors' report
30 June 2023
The Akkar North (East Block) oilfield currently operates under its Commercial Production Licence and this Licence runs until
05 March 2046. The field is currently producing without restrictions. A workover of the J-50 well is scheduled to be carried
out in the coming months.
The Akkar East oilfield currently operates under its Commercial Production Licence that runs until 02 March 2045. The field
is also currently producing without restrictions, although the J-51 has been shut in for a period as it undergoes a major
workover. A workover of the J-52 well is also scheduled to be carried out in the coming months.
The West Zhetybai oilfield returned to production when its 100% gas utilisation infrastructure was installed, late in 1Q 2023.
The West Zhetybai oilfield continues to operate under the “Preparatory Period” of its Commercial Production Licence and
this is expected to continue until 01 September 2024. The field will then revert to its full Commercial Production Licence and
this Licence will run until 01 September 2049. The field is currently producing without restrictions. A workover of the J-58 well
is scheduled to be carried out in the coming months.
As detailed in the summary of production table further below, achieving 100% gas utilisation in 1Q 2023 enabled production
to increase from a daily cumulative rate of ~30 tonnes (~225 barrels) to ~85 tonnes (~640 barrels) and it is expected that the
planned workovers will increase this daily cumulative rate to over ~100 tonnes (~750 barrels) in the coming months.
Operating review
Production Report
Production – Akkar East (J-51, J-52, J-53 and Well 19):
Oil was produced from the Akkar East J-51, J-52 and 19 wells under the Preparatory Period restrictions of its Commercial
Licence until March 2023. These three wells are all located on the northern section of the permit area and are part of the
Akkar East oilfield.
Production rates from the wells for the first 8 months of the year were constrained to a cumulative total of ~22 tonnes (~160
barrels) per day from the 3 wells. Once the 100% gas utilisation infrastructure was in place and approved to operate (during
March 2023), the cumulative production level improved to ~42 tonnes (~315 barrels) per day. This production came from the
J-52 and 19 wells. The J-51 well was shut in during March 2023 in order to carry out a major workover and is expected to
return to production during 4Q 2023.
The J-53 well, which is also located on the Akkar East oilfield, was shut in for the entire financial year, awaiting further
remedial work before potentially coming back onto production.
Production – Akkar North [East Block] (J-50 well):
Oil was produced from the Akkar North (East Block) J-50 well under the Preparatory Period restrictions of its Commercial
Licence until March 2023.
The J-50 production rate for the first 8 months of the year was constrained to ~8 tonnes (~60 barrels) per day. Once the
100% gas utilisation infrastructure was in place and approved to operate (during March 2023), the production level of the
well improved to ~18 tonnes (~135 barrels) per day.
The well is scheduled to undergo a workover in the coming months.
Production- West Zhetybai (J-55, 58, 59 wells):
Production recommenced from the J-58 well in January 2023. Flow rates were restricted in January and February 2023 as
the 100% gas utilisation infrastructure was installed and the well returned to optimal production in March 2023. Optimal
production from this well is ~25 tonnes (~190 barrels) per day.
The well is scheduled to undergo a workover in the coming months.
The J-55 well and J-59 wells are also located on the West Zhetybai oilfield and were both shut in for the entire financial year,
awaiting further remedial work before potentially coming back onto production.
A summary of the oil produced from all production wells during the financial year, broken down by quarter, is as follows:
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Jupiter Energy Limited
Directors' report
30 June 2023
Well Number
J-50
J-51
J-52
Well 19
J-58
Drilling Report
Production
(1Q) (bbls)
Production
(2Q) (bbls)
Production
(3Q) (bbls)
Production
(4Q) (bbls)
TOTAL bbls
for the
2022/2023
Financial
Year
5,600
4,800
4,800
4,800
-
5,600
4,800
4,800
4,800
-
5,300
6,400
6,400
6,400
10,300
11,300
-
14,500
14,500
17,700
27,800
16,000
30,500
30,500
28,000
20,000
20,000
34,800
58,000
132,800
There was no new drilling during the financial year.
The drilling of any other new wells in the 2023/2024 financial year will require access to additional working capital and/or
agreement to deferred payment terms with a turnkey drilling operator. The current forward drilling plan is for no wells to be
drilled during 2023, but this is always under review.
Oil Production and Revenues
There were approximately 132,800 barrels of oil produced during the year, achieving revenues of ~$5.6 million This
compared with approximately 91,000 barrels produced in the previous reporting period, generating revenues of ~$A4.1
million. All oil produced during the first nine months of the year was sold into the domestic market to a local trader - as per
the terms of both the Company’s Exploration Period Licence and “the Preparatory Period” restrictions of Jupiter Energy’s
Commercial Licences.
In March 2023, when 100% gas utilisation infrastructure had been installed and approved by the authorities, oil sales were
permitted to be made to both domestic and export markets, subject to quotas that are advised by the Kazakh Ministry of
Energy on a month by month basis.
Due to the geopolitical tension in the region, the limited availability of routes for export oil meant that pricing for export oil
was not particularly attractive and the Company only sold oil into the export market in April 2023. Since that time, all oil has
been sold into the domestic markets to both government refineries and local mini refineries.
Oil continues to be sold on a prepayment basis.
Status of Exploration and Commercial Licences
As detailed above, the Akkar North (East Block) and Akkar East field are currently operating under their 25 year Commercial
Production Licences. The West Zhetybai field is running under the Preparatory Period of its Commercial Licence and is
expected to commence operating under its 25 year Full Commercial Production Licence from 1 September 2024.
Creation of Joint Venture for the trading of Domestic Oil
During the year, as a result of Kazakh legislation introduced in January 2023, the Company was required to create a Joint
Venture (JV) vehicle with a trader (or traders) to enable it to continue selling oil into the Kazakh domestic market under its
Full Commercial Licence. As part of this process, the Company took a 50% shareholding in the JV.
Ongoing Funding
During the year the Company continued to evaluate various opportunities for new sources of funding. Until recently one of
the key impediments for attracting potential investors was the lack of 100% gas utilisation infrastructure on the three oilfields
and the impact this had on daily oil production.
The other key impediment for attracting further investment was the level of debt on the balance sheet.
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Jupiter Energy Limited
Directors' report
30 June 2023
With both of these areas now addressed, the Company continues to work with its partners regarding opportunities for
attracting new sources of funding.
Debt restructure
Shareholders approved a major debt restructure plan at the 2022 AGM. The four Noteholders agreed to write off a proportion
of their outstanding balance and convert proportion to shares in the company. The remaining balance of their principal debts
remains on the Balance Sheet – meaning that total debt has been reduced from over $US75m to ~$US16.5m.
The ~$US16.5m debt is interest free until 31 December 2024 and the Company is focused on paying down this amount from
oil sales as soon as is possible.
Corporate structure
The Company monitored its personnel numbers during the financial year and ended the year with 42 employees, an increase
of 12 over the year. This increase of personnel in Kazakhstan reflected the return to optimal production levels during the year
as well as the installation and running of the gas utilisation infrastructure on the three oilfields.
Annual General Meeting
The 2022 AGM was held virtually on 09 December 2022. The delay of the meeting into December was required to ensure
that all documentation required to enable the Debt Restructure Plan to be put to shareholders was competed and dispatched
as per regulatory requirements.
The Company expects the 2023 AGM to be held during November 2023 – again virtually.
A Notice of Meeting outlining business to be covered at the 2023 AGM will be dispatched to shareholders during October
2023, and the Notice will include details on how to attend online.
Shares for Fee Plan
A General Meeting of shareholders was held on 29 June 2023. At this meeting, shareholders approved a “Shares for Fees”
plan that saw ~$A560k of debt removed from the Balance Sheet as participating Directors agreed to accept rights to shares
to cover all accrued fees outstanding and due to them. The Directors agreed to this subsequent to year end and the terms
and condition were signed off by the Directors in September 2023.
In addition, participating Directors agreed to take rights to shares, instead of deferred cash, to cover Directors Fees from 1
January 2023.
Summary
The 2022/23 Financial Year saw a ~46% increase in the number of barrels of oil produced with revenues increasing from
~A$4.1 million to ~$A5.6 million, year on year. The increase in production was as a result of the installation and approval to
operate the requisite infrastructure to achieve 100% gas utilisation on the three oilfields.
The three oilfields were able to operate at optimal production levels from March 2023.
Our team in Aktau did an excellent job in ensuring the gas utilisation infrastructure equipment was brought into the country,
installed and approved within tight timelines and taking into account logistical disruptions created by the ongoing COVID
lockdowns in China at the beginning of 2023.
The four Noteholders continued their support for the Company during the year in agreeing to a significant Debt Restructure
Plan that meant Balance Sheet debt has been reduced from ~$US75m to ~$US16.5m.
Competent Persons Statement
General
6
Jupiter Energy Limited
Directors' report
30 June 2023
Alexey Glebov, PhD, with over 35 years' oil & gas industry experience, is the qualified person who has reviewed and
approved the technical information contained in this report. Alexey PhD’s in technical science (1992) and geology science
(2006), has an Honors Degree in Geology and Geophysics (1984) from Novosibirsk State University and a Gold Medal (1985)
from USSR Academy of Sciences. He is a member since 2001 of the European Association of Geoscientists & Engineers
(EAGE #M2001-097) and was made an Honorary Oilman in 2011 by the Ministry of Energy of the Russian Federation. Alexey
Glebov is qualified in accordance with ASX Listing Rule 5.41.
Kazakh State Approved Reserves
Any information in this report which relates to the C1 and C2 Block 31 reserve estimations is based on information compiled
by Kazakh Institutes, Reservoir Evaluation Services LLP (“RES”) and Nauchno Proizvodstvennyi Tsentr (“NPC”). Both are
Kazakh based oil & gas consulting Groups that specialise in oil & gas reserve estimations. RES and NPC have used the
Kazakh Reserve classification system in determining their estimations. RES and NPC have sufficient experience which is
relevant to oil & gas reserve estimation and to the specific permit in Kazakhstan to qualify as competent to verify the
information pertaining to the C1 and C2 reserve estimations. RES and NPC have given and not withdrawn their written consent
to the inclusion of the C1 and C2 reserve estimations in the form and context in which they appear in this report. RES and
NPC have no financial interest in the Group.
Matters subsequent to the end of the financial year
The Company announced on 03 July 2023 that it had agreed a new $US5m facility with major shareholder Waterford Finance
& International Limited. This facility is provided interest fee, is unsecured and any funds drawn on the facility will be repayable
on or before 31 December 2024, unless this date is extended by mutual agreement. No monies have been drawn down from
this facility as at the date of this report.
On 05 July 2023 Mark Ewing retired from the Board and Keith Martens was appointed as a Non-Executive Director.
At the Company’s General Meeting held 29 June 2023, shareholders approved the adoption of a Securities for Fees Plan
and associated issuance of securities to certain directors of the Company as consideration for accrued director and consulting
fees for the period up to 30 June 2023 and such fees that would otherwise then accrue for the period 1 January 2023 through
to 31 December 2024. This shareholder approval has resulted in a further improvement in the balance sheet and future cash
expenditure of the Company.
Following the finalisation of required documentation, on 18 September 2023 the company issued 18,646,800 remuneration
share rights to certain directors as consideration for accrued fees totalling $559,404 for the period up to 30 June 2023. On
18 September 2023, the company issued 27,980,134 fully paid ordinary shares to Jupiter Employee Securities Pty Ltd in
relation to these accrued fees and associated share remuneration rights for the period out to 31 December 2024. These
shares are held in trust by that entity until all vesting conditions relating to the remuneration share rights are met and the
rights are exercised.
No other matter or circumstance has arisen since 30 June 2023 that has significantly affected, or may significantly affect the
consolidated entity's operations, the results of those operations, or the consolidated entity's state of affairs in future financial
years.
Likely developments and expected results of operations
The Directors will continue to pursue oil and gas exploration and production opportunities in the Republic of Kazakhstan.
Significant changes in the state of affairs
Except as otherwise set out in this report, the Directors are unaware of any significant changes in the state of affairs or
principal activities of the consolidated entity that occurred during the financial year.
Environmental regulation
The consolidated entity is committed to achieving the highest standards of environmental performance. Standards set by the
Government of Kazakhstan are comprehensive and highly regulated. The consolidated entity strives to comply not only with
all Kazakh government regulations, but also maintain worldwide industry standards.
To maintain these high standards the Group is committed to a locally developed environmental monitoring program. This
monitoring program will continue to expand as and when new regulations are implemented and adopted in Kazakhstan.
There have been no known breaches of any environmental obligations.
7
Jupiter Energy Limited
Directors' report
30 June 2023
Health and safety
The Group has developed a comprehensive Health and Safety policy for its operations in Kazakhstan and has the appropriate
personnel in place to monitor the performance of the Group with compliance under this policy. The Group outsources many
of its key drilling and operational functions and as part of any contract entered into with third parties, a commitment to Health
& Safety and a demonstrated track record of success and this area is a key performance indicator in terms of deciding on
which companies will be contracted.
The Aktau operations team continues to exercise vigilance with respect to employee and contractor safety.
Information on directors
Name:
Title:
Qualifications:
Experience and expertise:
Geoffrey Gander
Executive Chairman/CEO
Mr Gander graduated from the University of Western Australia in 1984 where he
completed a Bachelor of Commerce Degree.
Mr Gander was involved in the identification and purchase of the Block 31 licence in
Kazakhstan and has driven the development of the business there since 2007. He is
currently responsible for the overall Operational Leadership of the Company as well as
Investor Relations and Group Corporate Development.
Nil
Other current directorships:
Former directorships (last 3 years): Powerhouse Ventures Limited (ASX : PVL) – resigned 25 November 2021
Interests in shares:
Interests in rights:
Nil
5,176,700 remuneration share rights
Name:
Title:
Experience and expertise:
Baltabek Kuandykov
Independent Non-Executive Director
Mr Kuandykov has considerable experience in the oil and gas industry in the region,
having served as President of Kazakhoil (predecessor of the Kazakh State oil company
KazMunaiGas). He was also seconded by the Kazakh Government to work with
Chevron Overseas Petroleum on CIS projects. Mr Kuandykov also has extensive
government experience in Kazakhstan, having served as Deputy Minister of Geology,
Head of the Oil and Gas Directorate at the Ministry of Geology, and was Deputy Minister
of Energy and Fuel Resources.
Other current directorships:
Nil
Former directorships (last 3 years): Nil
Nil
Interests in shares:
Name:
Title:
Experience and expertise:
Alexander Kuzev
Independent Non-Executive Director
Mr Kuzev is an oil industry professional with over 27 years of experience. Most of
Alexander’s career has been spent working in the Former Soviet Union (FSU) with
much of that time responsible for the overall management of field operations with a
focus on production sustainability, technology and field maintenance. He has worked
with a range of oil and gas companies including Schlumberger and Gazprom
Drilling. Alexander brings an important technical skill set to the Jupiter Energy Board
as well as in country experience, having been involved with various Kazakhstan based
oil and gas operations since the late 1990’s.
Nil
Other current directorships:
Former directorships (last 3 years): Nil
Nil
Interests in shares:
8
Jupiter Energy Limited
Directors' report
30 June 2023
Name:
Title:
Experience and expertise:
Alexey Kruzhkov
Non-Executive Director
Mr Kruzhkov holds an Engineering Degree and an MBA and has over 10 years’
experience working in the investment industry, focusing primarily on organisations
involved in Oil & Gas, Mining and Real Estate. He has served as a Director on the
Boards of companies listed in Canada and Norway. He is a board member and part of
the executive team of Waterford Investment and Finance Limited and resides in
Cyprus. He holds British and Russian citizenships.
Other current directorships:
Nil
Former directorships (last 3 years): Nil
Nil
Interests in shares:
13,482,100 remuneration share rights
Interests in rights:
Name:
Title:
Qualifications:
Experience and expertise:
Mark Ewing
Independent Non-Executive Director (resigned 5 July 2023)
Mark has had more than 40 years’ experience as a Chartered Accountant.
Mark Ewing is an experienced company director and member of the Institute of
Company Directors. Mark has had more than 40 years’ working with private and public
companies in Australia, Asia, UK and the US. He specialises in the provision of
corporate advice to SME’s and small ASX listed companies, due diligence, capital
raisings and business sales.
Other current directorships:
N/A
Former directorships (last 3 years): N/A
N/A
Interests in shares:
Name:
Title:
Qualifications:
Experience and expertise:
Other current directorships:
Former directorships (last 3 years): Nil
Nil
Interests in shares:
Keith Martens
Independent Non-Executive Director (appointed 5 July 2023)
B.Sc (University of British Columbia)
Keith has over 40 years of experience as an oil finder and manager around the world.
Keith has served a technical advisor and consultant to a number of Australian oil and
gas companies.
Grand Gulf Energy Limited (ASX: GGE)
'Other current directorships' quoted above are current directorships for listed entities only and excludes directorships of all
other types of entities, unless otherwise stated.
'Former directorships (last 3 years)' quoted above are directorships held in the last 3 years for listed entities only and excludes
directorships of all other types of entities, unless otherwise stated.
Company secretary
James Barrie (GAICD, Dipl InvRel (AIRA), B. Business) is a professional director and company secretary. He provides the
Jupiter Board independent advice and expertise, and is skilled in the areas of corporate governance, company secretary,
share registry, employee plans, treasury, capital management, accounting, commercial analysis, strategy, stakeholder
relations, sales, business development, IPOs and mergers and acquisitions.
Meetings of directors
The number of meetings of the company's Board of Directors ('the Board') held during the year ended 30 June 2023, and
the number of meetings attended by each director were:
G Gander
B Kuandykov
A Kruzhkov
A Kuzev
M Ewing
9
Full Board
Attended
Held
5
5
4
5
4
5
5
5
5
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Jupiter Energy Limited
Directors' report
30 June 2023
Held: represents the number of meetings held during the time the director held office.
Due to the small number and geographical spread of the Directors, it was determined that the Board would undertake all of
the duties of properly constituted Audit & Compliance and Remuneration Committees.
Remuneration report (audited)
This remuneration report outlines the Director and executive remuneration arrangements of the consolidated entity in
accordance with the requirements of the Corporations Act 2001 and its Regulations. For the purposes of this report, key
management personnel (KMP) of the consolidated entity are defined as those persons having authority and responsibility for
planning, directing and controlling the major activities of the consolidated entity, directly or indirectly, including any Director
(whether executive or otherwise) of the Company. KMP comprise the company's directors which are listed above,
For the purposes of this report, the term 'executive' encompasses the Executive Chairman/Chief Executive Officer.
Principles used to determine the nature and amount of remuneration
The remuneration policy of the consolidated entity has been designed to align Directors and executives interests with the
shareholder and business objectives by providing a fixed remuneration component and offering long term incentives based
on a key performance area – with a focus to the material improvement in share price performance. The Board of the
consolidated entity believes the remuneration policy to be appropriate to attract and retain the best executives and Directors
to run and manage the consolidated entity, as well as create goal congruence between Directors, executives and
shareholders.
The Board's policy for determining the nature and amount of remuneration for Board members and senior executives of the
consolidated entity is as follows:
●
The remuneration policy, setting the terms and conditions for the executive directors and other senior executives, was
developed by the Board after a review of similar listed and unlisted companies with activities in overseas jurisdictions
and taking into account the experience and skill set required to successfully develop operations in these jurisdictions
from early-stage development. The consolidated entity does not have a remuneration committee. The Board is of the
opinion that due to the size of the consolidated entity, the functions performed by a Remuneration Committee can be
adequately handled by the full Board.
All executives receive a base salary (which is based on factors such as length of service and experience),
superannuation, fringe benefits and performance incentives.
The Board reviews executive packages annually by reference to the consolidated entity's performance, executive
performance and comparable information from industry sectors and other listed companies in similar industries.
●
●
Remuneration Structure
Non-Executive Director Remuneration
Objective
The Board seeks to set aggregate remuneration at a level which provides the consolidated entity with the ability to attract
and retain directors of the highest calibre, whilst incurring a cost which is acceptable to shareholders.
Structure
The Board policy is to remunerate non-executive directors at market rates for comparable companies for time, commitment
and responsibilities. The Board determines payments to the non-executive Directors and reviews their remuneration annually,
based on market practice, duties and accountability. Independent external advice is sought when required. The maximum
aggregate amount of fees that can be paid to non-executive Directors is subject to approval by shareholders at the Annual
General Meeting. Total remuneration for all non-executive Directors, is not to exceed $350,000 per annum as approved by
shareholders at the Annual General Meeting held on 15 November 2010. Fees for non-executive Directors are not linked to
performance of the consolidated entity. Non-executive Directors are also encouraged to hold shares in the company. It should
be noted that Directors Fees for all Directors, except Mark Ewing who resigned from the Board on 05 July 2023, are currently
being deferred and a table summarising the outstanding fees due to Directors can be found on page 13 of this Report.
As approved at a General Meeting of shareholders held on 29 June 2023, as of 1 January 2023, participating Directors
(Gander and Kruzhkov) are being issued renumeration share rights as payment for fees and non participating Directors
(Kuandykov and Kuzev) are continuing to defer their cash fees. Newly appointed Director (Martens) will be issued fully paid
ordinary shares as payment for fees, subject to shareholder approval at the 2023 Annual General Meeting. The Directors
agreed to this subsequent to year end and the terms and condition were signed off by the directors in September 2023.
Executive Remuneration
10
Jupiter Energy Limited
Directors' report
30 June 2023
Objective
The consolidated entity aims to reward executives with a level and mix of remuneration commensurate with their position
and responsibilities within the consolidated entity so as to:
●
●
●
●
reward executives for consolidated entity, business unit and individual performance;
align the interests of executives with those of shareholders;
link reward with the strategic goals and performance of the consolidated entity; and
ensure total remuneration is competitive by market standards
Structure
In determining the level and make-up of executive remuneration, the Board reviews remuneration packages provided by
similar listed and unlisted companies with activities in overseas jurisdictions and taking into account the experience and skill
set required to successfully develop operations in these jurisdictions from early stage development as well as the salary
levels of local workers in that jurisdiction. It is the Board’s policy that employment contracts are entered into with the Chief
Executive Officer and all key management personnel.
Fixed Remuneration
The fixed remuneration of executives is comprised of a base salary and superannuation. The fixed remuneration of
executives is reviewed annually.
Variable remuneration – Short Term Incentives (STI)
The CEO may be awarded a one off annual bonus payment by mutual agreement and at the discretion of the Board. In the
years ended 30 June 2023 and 30 June 2022, no cash bonuses were paid.
Variable Remuneration – Long Term Incentives (LTI)
The objectives of long term incentives are to:
●
●
●
●
align executives remuneration with the creation of shareholder wealth;
recognise the ability and efforts of the Directors, employees and consultants of the consolidated entity who have
contributed to the success of the consolidated entity and to provide them with rewards where deemed appropriate;
provide an incentive to the Directors, employees and consultants to achieve the long term objectives of the consolidated
entity and improve the performance of the consolidated entity; and
attract persons of experience and ability to employment with the consolidated entity and foster and promote loyalty
between the consolidated entity and its Directors, employees and consultants.
Structure
Long term incentives granted to Directors and senior executives are delivered either in the form of a defined bonus or via the
issue of Performance Rights, issued under the Performance Rights Plan. There were no performance rights issued during
the current financial year or prior financial year. There is a bonus that forms part of the CEO package which is linked to the
sale of the permit area. Under the terms of the package, the CEO is entitled to $US350,000 or 0.5% (whichever is greater)
of the value of the consideration received if Jupiter or Contract 2275 (pertaining to the main project) is assigned, transferred
or sold to a third party during the term of the agreement.
Use of remuneration consultants
During the financial year ended 30 June 2023, the consolidated entity did not use remuneration consultants.
Voting and comments made at the company's 9 December 2022 Annual General Meeting ('AGM')
At the 9 December 2022 AGM, 99.70% of the votes received supported the adoption of the remuneration report for the year
ended 30 June 2022. The company did not receive any specific feedback at the AGM regarding its remuneration practices.
Details of remuneration
Amounts of remuneration
Details of the remuneration of key management personnel of the consolidated entity are set out in the following tables.
11
Jupiter Energy Limited
Directors' report
30 June 2023
2023
Non-Executive Directors:
A Kruzhkov *
B Kuandykov **
A Kuzev **
M Ewing
Executive Directors:
Geoff Gander *
Short-term benefits
Post-
employment
benefits
Long-term
benefits
Share-
based
payments
Directors Consulting
fees
$
fees ***
$
Non-
monetary
$
Super-
annuation
$
Long
service
leave
$
Equity-
settled
$
Total
$
59,396
59,396
44,550
30,000
-
119,419
104,927
-
-
193,342
360,798
585,144
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
59,396
178,815
149,477
30,000
360,798
778,486
*
**
Directors fees from February 2015 have been deferred until such time that at least US$10,000,000 in new equity is
raised or alternatively the consolidated entity sells the Block 31 licence and receives the funds associated with that sale.
On 18 September 2023, remuneration share rights were issued to Mr Gander and Mr Kruzhkov settling accrued director
fees, outstanding as at 30 June 2023. Ongoing Directors fees, from 1 January 2023, will be payable via remuneration
share rights, issued on a 6 monthly in arrears basis.
Director fees from February 2015 have been deferred until such time that at least US$10,000,000 in new equity is raised
or alternatively the consolidated entity sells the Block 31 licence and receives the funds associated with that sale.
*** Consulting fees relate to specific fees paid in relation to the oil and gas industry consultations.
Short-term benefits
Post-
employment
benefits
Long-term
benefits
Share-
based
payments
Directors Consulting
fees
$
fees ***
$
Non-
monetary
$
Super-
annuation
$
Long
service
leave
$
Equity-
settled
$
Total
$
55,109
55,109
41,331
41,667
-
116,419
87,192
-
-
193,216
342,094
545,705
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
55,109
171,528
128,523
41,667
342,094
738,921
2022
Non-Executive Directors:
A Kruzhkov *
B Kuandykov **
A Kuzev **
M Ewing
Executive Directors:
Geoff Gander *
*
**
Directors fees from February 2015 have been deferred until such time that at least US$10,000,000 in new equity is
raised or alternatively the consolidated entity sells the Block 31 licence and receives the funds associated with that sale.
On 18 September 2023, remuneration share rights were issued to Mr Gander and Mr Kruzhkov settling accrued director
fees, outstanding as at 30 June 2023.
Director fees from February 2015 have been deferred until such time that at least US$10,000,000 in new equity is raised
or alternatively the consolidated entity sells the Block 31 licence and receives the funds associated with that sale.
*** Consulting fees relate to specific fees paid in relation to the oil and gas industry consultations.
12
Jupiter Energy Limited
Directors' report
30 June 2023
The proportion of remuneration linked to performance and the fixed proportion are as follows:
Name
Non-Executive Directors:
A Kruzhkov
B Kuandykov
A Kuzev
M Ewing
Executive Directors:
Geoff Gander
Fixed remuneration
2022
2023
At risk - STI
At risk - LTI
2023
2022
2023
2022
100%
100%
100%
100%
100%
100%
100%
100%
100%
100%
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
The total deferred fees owing to each related party are included within Trade and Other Payables in the Statement of
Financial Position and have been detailed below:
Geoff Gander
Baltabek Kuandykov
Alexey Kruzhkov
Alexander Kuzev
Consolidated
2023
$
2022
$
148,274
507,614
412,571
262,443
104,941
430,107
338,713
208,855
1,330,902
1,082,616
On 18 September 2023, after receiving approval at a General Meeting of shareholders held on the 29 June 2023, the
company issued the below remuneration share rights:
●
●
5,164,700 rights were issued Geoff Gander, valued at 3 cents per right settling accrued fees valued at $154,941; and
13,482,100 rights were issued Alexy Kruzhkov, valued at 3 cents per right settling accrued fees valued at $404,463.
Service agreements
Remuneration and other terms of employment for key management personnel are formalised in service agreements. Details
of these agreements are as follows:
Name:
Title:
Agreement commenced:
Term of agreement:
Geoffrey Gander
Executive Chairman/Chief Executive Officer
8 September 2017
Consulting fees of GBP200,000 (A$366,638) per annum, of which A$5,000 per month
relates to directors fees. As from 1 January 2023 director fees will be paid via the rights
to future shares. On 18 September 2023, Mr Gander was issued 5,164,700 rights,
valued at 3 cents per right, settling accrued fees dating from February 2015 to 30 June
2023, totalling $154,941. These rights will vest with Mr Gander when at least
US$10,000,000 in new equity is raised or alternatively the consolidated entity sells the
Block 31 licence and receives the funds associated with that sale. Mr Gander is also
entitled to a Bonus of $US350,000 or 0.5% (whichever is greater) of the value of the
consideration received by the consolidated entity if the Company or Contract 2275 is
assigned, transferred or sold to a third party during the term of the Agreement.
13
Jupiter Energy Limited
Directors' report
30 June 2023
Name:
Title:
Agreement commenced:
Term of agreement:
Name:
Title:
Agreement commenced:
Term of agreement:
Name:
Title:
Agreement commenced:
Term of agreement:
Name:
Title:
Agreement commenced:
Term of agreement:
Name:
Title:
Agreement commenced:
Term of agreement:
Baltabek Kuandykov
Non-Executive Director
5 October 2010
Mr Kuandykov is entitled to a base fee of US$ 40,000 per annum. Mr Kuandykov’s fees
are deferred until such time that at least US$10,000,000 in new equity is raised or
alternatively the consolidated entity sells the Block 31 licence and receives the funds
associated with that sale. Mr Kuandykov will be reimbursed reasonable expenses
incurred in performing his duties, including the cost of attending Board Meetings, travel,
accommodation and entertainment where agreed to by the Board. The appointment of
Mr Kuandykov as a non-executive Director is otherwise on terms that are customary
for an appointment of this nature. In addition, he is entitled to consulting fee of
$US60,000 per annum.
Alexey Kruzhkov
Non-Executive Director
18 June 2016
Mr Kruzhkov is entitled to a base fee of US$ 40,000 per annum and as from 1 January
2023 this fee will be paid via the rights to future shares. On 18 September 2023
13,482,100 rights were issued to Mr Kruzhkov, valued at 3 cents per right, settling
accrued fees dating from February 2015 to 30 June 2023, valued at $404,463. These
rights will vest with Mr Kruzhkov when at least US$10,000,000 in new equity is raised
or alternatively the consolidated entity sells the Block 31 licence and receives the funds
associated with that sale. Mr Kruzhkov will be reimbursed reasonable expenses
incurred in performing his duties, including the cost of attending Board Meetings, travel,
accommodation and entertainment where agreed to by the Board. The appointment of
Mr Kruzhkov as a non-executive Director is otherwise on terms that are customary for
an appointment of this nature.
Alexander Kuzev
Non-Executive Director
12 September 2017
Mr Kuzev is entitled to a base fee of US$ 30,000 per annum. Mr Kuzev’s fees are
deferred until such time that at least US$10,000,000 in new equity is raised or
alternatively the consolidated entity sells the Block 31 licence and receives the funds
associated with that sale. Mr Kuzev will be reimbursed reasonable expenses incurred
in performing his duties, including the cost of attending Board Meetings, travel,
accommodation and entertainment where agreed to by the Board. The appointment of
Mr Kuzev as a non-executive Director is otherwise on terms that are customary for an
appointment of this nature. In addition, he is entitled to consulting fee of $US60,000
per annum.
Mark Ewing
Non-Executive Director (resigned 5 July 2023)
24 November 2020
Mr Ewing is entitled to a base fee of $A30,000 per annum plus GST.
Keith Martens
Non-Executive Director
05 July 2023
Mr Martens is entitled to a base fee of $A50,000 per annum and this fee will be payable
(subject to shareholder approval at the 2023 AGM) via the issue of fully paid ordinary
shares. Mr Martens may also be entitled to consulting fees in relation to performing
duties outside his role as a Non-Executive Director. These consulting fees may also be
paid via the issue of fully paid ordinary shares, subject to shareholder approval.
The termination provisions of Geoff Gander's contract are as follows:
14
Jupiter Energy Limited
Directors' report
30 June 2023
Reason for termination
initiated
termination with reason or
Contractor -
incapacitation
Company - initiated termination without reason
Company – initiated termination for serious misconduct
Contractor – initiated termination with reason
Notice Period
Payment in lien of
notice
for Contractor
1 month
12 months
12 months
None
30 days
12 months
None
12 months
Share-based compensation
A General Meeting of shareholders was held on 29 June 2023. At this meeting, shareholders approved a “Shares for Fees”
plan were $559,404 accrued directors fees were to settled via the issue of rights to shares in the company. The rights to
shares are subject to the same vesting conditions as the previously accrued directors fees.
In addition, participating Directors have agreed to take rights to shares, instead of deferred cash, to cover Directors Fees
from 1 January 2023. This arrangement was also approved at the General Meeting of shareholders held on 29 June 2023.
Agreements were signed with the relevant directors in September 2023, and the related shares and rights to shares were
only issued on 18 September 2023. For this reason, they have not been recognised in the current year's financial statements
and remuneration report.
Issue of shares
There were no shares issued to directors and other key management personnel as part of compensation during the year
ended 30 June 2023.
Options
There were no options over ordinary shares issued to directors and other key management personnel as part of
compensation that were outstanding as at 30 June 2023.
There were no options over ordinary shares granted to or vested by directors and other key management personnel as part
of compensation during the year ended 30 June 2023.
Additional information
The earnings of the consolidated entity for the five years to 30 June 2023 are summarised below:
2023
$
2022
$
2021
$
2020
$
2019
$
Sales revenue
Profit /loss after income tax *
Market capitalisation
5,588,957
44,192,282
22,137,302
4,126,946
(11,511,006)
3,060,000
4,025,701
61,655
6,120,000
5,634,059
(42,352,138)
2,300,000
8,963,533
(8,927,775)
942,000
*
The profit in current year includes a gain on debt restructure of $52,726,436.
The factors that are considered to affect total shareholders return ('TSR') are summarised below:
2023
2022
2021
2020
2019
Share price at financial year end (cents)
Basic earnings/(loss) per share (cents per
share)
1.80
6.17
2.00
(7.51)
3.20
0.04
1.50
1.10
(27.61)
(5.82)
Additional disclosures relating to key management personnel
Shareholding
No director or other member of key management personnel of the consolidated entity held any shares in the company during
the financial year.
This concludes the remuneration report, which has been audited.
15
Jupiter Energy Limited
Directors' report
30 June 2023
Shares under option
There were no unissued ordinary shares of Jupiter Energy Limited under option outstanding at the date of this report.
Shares issued on the exercise of options
There were no ordinary shares of Jupiter Energy Limited issued on the exercise of options during the year ended 30 June
2023 and up to the date of this report.
Indemnity and insurance of officers
The company indemnifies the directors and executives of the company for costs incurred, in their capacity as a director or
executive, for which they may be held personally liable, except where there is a lack of good faith.
During the financial year, the company paid a premium in respect of a contract to insure the directors and executives of the
company against a liability to the extent permitted by the Corporations Act 2001. The contract of insurance prohibits
disclosure of the nature of the liability and the amount of the premium.
Indemnity and insurance of auditor
To the extent permitted by law, the Group has agreed to indemnify its auditors, Ernst & Young Australia, as part of the terms
of its audit engagement agreement against claims by third parties arising from the audit (for an unspecified amount). No
payment has been made to indemnify Ernst & Young during or since the financial year.
Proceedings on behalf of the company
No person has applied to the Court under section 237 of the Corporations Act 2001 for leave to bring proceedings on behalf
of the company, or to intervene in any proceedings to which the company is a party for the purpose of taking responsibility
on behalf of the company for all or part of those proceedings.
Non-audit services
Details of the amounts paid or payable to the auditor for non-audit services provided during the prior financial year by the
auditor are outlined in note 21 to the financial statements. There were no non-audit services provided during the current
financial year.
The directors are satisfied that the provision of non-audit services during the financial year, by the auditor (or by another
person or firm on the auditor's behalf), is compatible with the general standard of independence for auditors imposed by the
Corporations Act 2001.
The directors are of the opinion that the services as disclosed in note 21 to the financial statements do not compromise the
external auditor's independence requirements of the Corporations Act 2001 for the following reasons:
●
●
all non-audit services have been reviewed and approved to ensure that they do not impact the integrity and objectivity
of the auditor; and
none of the services undermine the general principles relating to auditor independence as set out in APES 110 Code
of Ethics for Professional Accountants issued by the Accounting Professional and Ethical Standards Board, including
reviewing or auditing the auditor's own work, acting in a management or decision-making capacity for the company,
acting as advocate for the company or jointly sharing economic risks and rewards.
Officers of the company who are former partners of Ernst & Young
There are no officers of the company who are former partners of Ernst & Young.
Auditor's independence declaration
A copy of the auditor's independence declaration as required under section 307C of the Corporations Act 2001 is set out
immediately after this directors' report.
Auditor
Ernst & Young continues in office in accordance with section 327 of the Corporations Act 2001.
16
Jupiter Energy Limited
Directors' report
30 June 2023
This report is made in accordance with a resolution of directors, pursuant to section 298(2)(a) of the Corporations Act 2001.
On behalf of the directors
___________________________
Geoffrey Gander
Director
29 September 2023
17
Ernst & Young
11 Mounts Bay Road
Perth WA 6000 Australia
GPO Box M939 Perth WA 6843
Tel: +61 8 9429 2222
Fax: +61 8 9429 2436
ey.com/au
Auditor’s independence declaration to the directors of Jupiter Energy
Limited
As lead auditor for the audit of the financial report of Jupiter Energy Limited for the financial year
ended 30 June 2023, I declare to the best of my knowledge and belief, there have been:
a. No contraventions of the auditor independence requirements of the Corporations Act 2001 in
relation to the audit;
b. No contraventions of any applicable code of professional conduct in relation to the audit; and
c. No non-audit services provided that contravene any applicable code of professional conduct in
relation to the audit.
This declaration is in respect of Jupiter Energy Limited and the entities it controlled during the
financial year.
Ernst & Young
Jared Jaworski
Partner
29 September 2023
A member firm of Ernst & Young Global Limited
Liability limited by a scheme approved under Professional Standards Legislation
Jupiter Energy Limited
Contents
30 June 2023
Consolidated statement of profit or loss and other comprehensive income
Consolidated statement of financial position
Consolidated statement of changes in equity
Consolidated statement of cash flows
Notes to the consolidated financial statements
Directors' declaration
Independent auditor's review report to the members of Jupiter Energy Limited
Shareholder information
General information
20
21
22
23
24
50
51
56
The financial statements cover Jupiter Energy Limited as a consolidated entity consisting of Jupiter Energy Limited and the
entities it controlled at the end of, or during, the year. The financial statements are presented in Australian dollars, which is
Jupiter Energy Limited's functional and presentation currency.
Jupiter Energy Limited is a listed public company limited by shares, incorporated and domiciled in Australia. Its registered
office and principal place of business are:
Registered office
Level 14, 333 Collins Street
Melbourne VIC 3000
Principal place of business
Microdistrict 12, Building 79, BC Zhastar
Aktau, Kazakhstan, 130000
A description of the nature of the consolidated entity's operations and its principal activities are included in the directors'
report, which is not part of the financial statements.
The financial statements were authorised for issue, in accordance with a resolution of directors, on 29 September 2023. The
directors have the power to amend and reissue the financial statements.
19
Jupiter Energy Limited
Consolidated statement of profit or loss and other comprehensive income
For the year ended 30 June 2023
Revenue
Revenue from contracts with customers
Cost of sales
Gross profit
Gain on debt restructure
Other income
Foreign exchange gains (losses)
Finance income
Gain on remeasurement of promissory notes
Expenses
General and administration expenses
Impairment of exploration and evaluation assets
Impairment of trade receivables
Other expenses
Finance costs
Profit/(loss) before income tax expense
Income tax expense
Note
Consolidated
2023
$
2022
$
5,588,957
(3,959,682)
1,629,275
4,126,946
(2,627,886)
1,499,060
14
52,726,436
-
4
14
299,426
(1,865,082)
83,953
-
(1,481,703)
352,882
(8,346,417)
68,578
4,988,472
(2,936,485)
(2,329,737)
-
(96,978)
(19,321)
(6,235,690)
(1,992,148)
(367,892)
-
(21,684)
(7,691,857)
44,192,282
(11,511,006)
-
-
4
4
5
Profit/(loss) after income tax expense for the year attributable to the owners of
Jupiter Energy Limited
44,192,282
(11,511,006)
Other comprehensive income
Items that may be reclassified subsequently to profit or loss
Foreign currency translation
Other comprehensive income for the year, net of tax
Total comprehensive income /(loss) for the year attributable to the owners of
Jupiter Energy Limited
1,042,317
245,678
1,042,317
245,678
45,234,599
(11,265,328)
Cents
Cents
Basic earnings / (loss) per share
Diluted earnings / (loss) per share
31
31
6.17
6.17
(7.51)
(7.51)
The above consolidated statement of profit or loss and other comprehensive income should be read in conjunction with the
accompanying notes
20
Jupiter Energy Limited
Consolidated statement of financial position
As at 30 June 2023
Assets
Current assets
Cash and cash equivalents
Trade and other receivables
Inventories
Other current assets
Total current assets
Non-current assets
Investments accounted for using the equity method
Other financial assets
Property, plant and equipment
Exploration and evaluation assets
Oil and gas properties
Total non-current assets
Total assets
Liabilities
Current liabilities
Trade and other payables
Contract liabilities
Total current liabilities
Non-current liabilities
Provisions
Other financial liabilities
Total non-current liabilities
Total liabilities
Net liabilities
Equity
Issued capital
Reserves
Accumulated losses
Total deficiency in equity
Note
Consolidated
2023
$
2022
$
6
860,795
551,283
63,041
100,259
1,575,378
1,330,334
68,501
29,920
70,826
1,499,581
7
8
9
10
-
582
253,124
280,916
337,336
170,317
1,389,210
-
21,211,773 17,127,378
21,663,588 19,107,048
23,238,966 20,606,629
11
12
2,467,221
1,682,561
4,149,782
1,775,830
3,847
1,779,677
13
14
207,200
363,663
20,804,177 100,027,287
21,011,377 100,390,950
25,161,159 102,170,627
(1,922,193)
(81,563,998)
15
16
120,041,141 85,633,935
(23,942,708)
(24,985,025)
(98,020,626) (142,212,908)
(1,922,193)
(81,563,998)
The above consolidated statement of financial position should be read in conjunction with the accompanying notes
21
Jupiter Energy Limited
Consolidated statement of changes in equity
For the year ended 30 June 2023
Consolidated
Balance at 1 July 2021
Issued
capital
$
Accumulated
Reserves
$
losses
$
Total
deficiency in
equity
$
85,633,935
(25,230,703) (130,701,902)
(70,298,670)
Loss after income tax expense for the year
Other comprehensive income for the year, net of tax
Total comprehensive income /(loss) for the year
-
-
-
-
245,678
(11,511,006)
(11,511,006)
-
245,678
245,678
(11,511,006)
(11,265,328)
Balance at 30 June 2022
85,633,935
(24,985,025) (142,212,908)
(81,563,998)
Consolidated
Balance at 1 July 2022
Issued
capital
$
Accumulated
Reserves
$
losses
$
Total
deficiency in
equity
$
85,633,935
(24,985,025) (142,212,908)
(81,563,998)
Profit after income tax expense for the year
Other comprehensive income for the year, net of tax
Total comprehensive income for the year
-
-
-
-
1,042,317
44,192,282
-
44,192,282
1,042,317
1,042,317 44,192,282 45,234,599
Transactions with owners in their capacity as owners:
Contributions of equity, net of transaction costs (note 15)
34,407,206
-
-
34,407,206
Balance at 30 June 2023
120,041,141
(23,942,708)
(98,020,626)
(1,922,193)
The above consolidated statement of changes in equity should be read in conjunction with the accompanying notes
22
Jupiter Energy Limited
Consolidated statement of cash flows
For the year ended 30 June 2023
Cash flows from operating activities
Receipts from customers
Payments to suppliers and employees
Interest received
Other revenue
Note
Consolidated
2023
$
2022
$
7,352,713
(5,833,273)
83,953
-
3,938,073
(4,130,330)
68,578
352,882
Net cash from operating activities
29
1,603,393
229,203
Cash flows from investing activities
Payments for equity accounted investments
Payments for property, plant and equipment
Payments for exploration and evaluation assets
Payments for oil and gas properties
Net cash used in investing activities
Cash flows from financing activities
Proceeds from borrowings
Share issue transaction costs
Transactions costs related with debt restructure
Net cash from/(used in) financing activities
Net increase/(decrease) in cash and cash equivalents
Cash and cash equivalents at the beginning of the financial year
Effects of exchange rate changes on cash and cash equivalents
Cash and cash equivalents at the end of the financial year
(582)
(15,893)
-
(1,992,538)
-
(7,685)
(165,358)
(112,349)
(2,009,013)
(285,392)
-
(39,911)
(106,800)
694,902
-
-
(146,711)
694,902
(552,331)
1,330,334
82,792
638,713
690,949
672
860,795
1,330,334
The above consolidated statement of cash flows should be read in conjunction with the accompanying notes
23
Jupiter Energy Limited
Notes to the consolidated financial statements
30 June 2023
Note 1. Significant accounting policies
The principal accounting policies adopted in the preparation of the financial statements are set out below. These policies
have been consistently applied to all the years presented, unless otherwise stated.
New or amended Accounting Standards and Interpretations adopted
The consolidated entity has adopted all of the new or amended Accounting Standards and Interpretations issued by the
Australian Accounting Standards Board ('AASB') that are mandatory for the current reporting period.
Going concern
The consolidated financial statements have been prepared on a going concern basis with the Directors of the opinion that
the consolidated entity can meet its obligations as and when they fall due.
The consolidated financial statements have been prepared on the going concern basis, which contemplates continuity of
normal business activities and the realisation of assets and settlement of liabilities in the ordinary course of business. The
consolidated entity had net cash inflows from operating activities of $1,603,393 during the year ended 30 June 2023 and as
at 30 June 2023 had a net current liability and net liability position of $2,574,404 and $1,922,193 respectively. Net current
liabilities, includes an amount of $1,390,056 in accrued director fees. Subsequent to the year-end, $559,404 of these fees
have been settled through the issuance of share-based payment awards. The remaining balance of the accrued director fees
has been deferred for future settlement.
During the year the consolidated entity extended the repayment terms of its existing promissory note facilities to December
2024. On 21 December 2022, the Company completed a major debt restructure which significantly improved the consolidated
entity's net asset position, refer to note 14 for further details of the debt restructure. On 3 July 2023, a new $US5 million
facility was agreed with major shareholder Waterford Finance & International Limited. As of the date of this report, no funds
have been drawn down from this facility. The facility is provided interest-free, is unsecured, and any funds utilised must be
repaid on or before 31 December 2024, unless mutually extended.
For the consolidated entity to continue to carry out its intended activities and to have sufficient working capital to continue as
a going concern the consolidated entity will be required to achieve the following:
●
●
Have access to the US$5 million facility referred to above;
Continue to produce oil from its three oilfields under the terms of either its Full Commercial Licence (Akkar North (East
Block) and Akkar East) or its Preparatory Period Licence (West Zhetybai) on the basis that all three oilfields have the
requisite 100% gas utilisation infrastructure in place and approved to operate;
Continue to sell its oil into either the Kazakh Domestic Market (state owned refineries and local mini refineries) and/or
the international export market; and
Only carry out the drilling of new wells if it has the appropriate funding in place, whether that be via access to additional
working capital and/or agreement to deferred payment terms with a turnkey drilling operator
●
●
As at the date of this report, the directors are satisfied there is a reasonable basis to believe that the above matters can be
achieved.
Should the consolidated entity not achieve the matters set out above, there is significant uncertainty as to whether the
consolidated entity would continue as a going concern and therefore whether it would realise its assets and extinguish its
liabilities in the normal course of business and at the amounts stated in the financial report.
The financial report does not include adjustments relating to the recoverability or classification of the recorded asset amounts
nor to the amounts or classification of liabilities that might be necessary should the consolidated entity not be able to continue
as a going concern.
Basis of preparation
These general purpose financial statements have been prepared in accordance with Australian Accounting Standards and
Interpretations issued by the Australian Accounting Standards Board ('AASB') and the Corporations Act 2001, as appropriate
for for-profit oriented entities. These financial statements also comply with International Financial Reporting Standards as
issued by the International Accounting Standards Board ('IASB').
Historical cost convention
The financial statements have been prepared under the historical cost convention.
24
Jupiter Energy Limited
Notes to the consolidated financial statements
30 June 2023
Note 1. Significant accounting policies (continued)
Critical accounting estimates
The preparation of the financial statements requires the use of certain critical accounting estimates. It also requires
management to exercise its judgement in the process of applying the consolidated entity's accounting policies. The areas
involving a higher degree of judgement or complexity, or areas where assumptions and estimates are significant to the
financial statements, are disclosed in note 2.
Parent entity information
In accordance with the Corporations Act 2001, these financial statements present the results of the consolidated entity only.
Supplementary information about the parent entity is disclosed in note 25.
Principles of consolidation
The consolidated financial statements incorporate the assets and liabilities of all subsidiaries of Jupiter Energy Limited
('company' or 'parent entity') as at 30 June 2023 and the results of all subsidiaries for the year then ended. Jupiter Energy
Limited and its subsidiaries together are referred to in these financial statements as the 'consolidated entity'.
Subsidiaries are all those entities over which the consolidated entity has control. The consolidated entity controls an entity
when the consolidated entity is exposed to, or has rights to, variable returns from its involvement with the entity and has the
ability to affect those returns through its power to direct the activities of the entity. Subsidiaries are fully consolidated from
the date on which control is transferred to the consolidated entity. They are de-consolidated from the date that control ceases.
Intercompany transactions, balances and unrealised gains on transactions between entities in the consolidated entity are
eliminated. Unrealised losses are also eliminated unless the transaction provides evidence of the impairment of the asset
transferred. Accounting policies of subsidiaries have been changed where necessary to ensure consistency with the policies
adopted by the consolidated entity.
The acquisition of subsidiaries is accounted for using the acquisition method of accounting. A change in ownership interest,
without the loss of control, is accounted for as an equity transaction, where the difference between the consideration
transferred and the book value of the share of the non-controlling interest acquired is recognised directly in equity attributable
to the parent.
Where the consolidated entity loses control over a subsidiary, it derecognises the assets including goodwill, liabilities and
non-controlling interest in the subsidiary together with any cumulative translation differences recognised in equity. The
consolidated entity recognises the fair value of the consideration received and the fair value of any investment retained
together with any gain or loss in profit or loss.
Operating segments
An operating segment is a component of an entity that engages in business activities from which it may earn revenue and
incur expenses (including revenues and expenses relating to transactions with other components of the same entity), whose
operating results are regularly reviewed by the Board of Directors (the chief operating decision makers) to make decisions
about resources to be allocated to the segment and assess its performance and for which discrete financial information is
available. Management will also consider other factors in determining operating segments such as the existence of a line
manager and the level of segment information presented to the executive management team.
Operating segments are identified based on the information provided to the chief operating decision makers. Currently the
consolidated entity has only one operating segment, being the consolidate entity.
Foreign currency translation
The financial statements are presented in Australian dollars, which is Jupiter Energy Limited's functional and presentation
currency.
Functional and presentation currency
Both the functional and presentation currency of Jupiter Energy Limited and each of its Australian subsidiaries are Australian
dollars ($). The results and financial position of foreign subsidiaries whose functional currencies are not Australian dollars
are translated to the presentation currency of the consolidated entity, being Australian dollars ($).
25
Jupiter Energy Limited
Notes to the consolidated financial statements
30 June 2023
Note 1. Significant accounting policies (continued)
Transactions and balances
Transactions in foreign currencies are initially recorded in the functional currency by applying the exchange rates ruling at
the date of the transaction. Monetary assets and liabilities denominated in foreign currencies are retranslated at the rate of
exchange ruling at the reporting date.
Non-monetary items that are measured in terms of historical cost in a foreign currency are translated using the exchange
rate as at the date of the initial transaction. Non-monetary items measured at fair value in a foreign currency are translated
using the exchange rates at the date when the fair value was determined.
Translation of consolidated entity Companies’ functional currency to presentation currency
The results of the foreign subsidiaries are translated into Australian Dollars (presentation currency of the consolidated entity)
using weighted average rates. Assets and liabilities are translated at exchange rates prevailing at reporting date. Exchange
variations resulting from the translation are recognised in the foreign currency translation reserve in equity.
On consolidation, exchange differences arising from the translation of the net assets in the foreign subsidiaries are taken to
the foreign currency translation reserve. If a foreign subsidiary was disposed, the related cumulative amount of exchange
differences would be reclassified to profit or loss.
Revenue recognition
The consolidated entity recognises revenue as follows:
Sale of oil
Revenue from the sale of oil is recognised at a point in time when the control of the product is transferred to the customer,
this occurs at the well head for local sales to the mini refinery and at the time the oil enters the KTO pipeline for domestic
sales. Revenue is recognised at the amount to which the consolidated entity expects to be entitled.
Interest
Interest revenue is recognised as interest accrues using the effective interest method. This is a method of calculating the
amortised cost of a financial asset and allocating the interest income over the relevant period using the effective interest rate,
which is the rate that exactly discounts estimated future cash receipts through the expected life of the financial asset to the
net carrying amount of the financial asset.
Other revenue and income
Other revenue is recognised when it is received or when the right to receive payment is established.
Income tax
The consolidated entity adopts the liability method of tax-effect accounting whereby the income tax expense is based on the
profit adjusted for any non-assessable or disallowed items.
Deferred tax is accounted for using the liability method in respect of temporary differences arising between the tax bases of
assets and liabilities and their carrying amounts in the financial statements. No deferred income tax will be recognised from
the initial recognition of an asset or liability, excluding a business combination, where there is no effect on accounting or
taxable profit or loss. No deferred income tax will be recognised in respect of taxable temporary differences associated with
investments in subsidiaries, when the timing of the reversal of the temporary differences can be controlled by the company
and it is probable that the temporary differences will not reverse in the foreseeable future.
Deferred tax is calculated at the tax rates that are expected to apply to the period when the asset is realised or liability is
settled. Deferred tax is credited in the statement of profit or loss and other comprehensive income except where it relates to
items that is credited directly to equity, in which case the deferred tax is adjusted directly against equity.
Taxation receivables are considered statutory in nature and are measured at the tax rate when the transaction subject to tax
occurred.
Deferred income tax assets are recognised to the extent that it is probable that future tax profits will be available against
which deductible temporary differences can be utilised.
26
Jupiter Energy Limited
Notes to the consolidated financial statements
30 June 2023
Note 1. Significant accounting policies (continued)
The amount of benefits brought to account or which may be realised in the future is based on the assumption that no adverse
change will occur in income taxation legislation and the anticipation that the consolidated entity will derive sufficient future
assessable income to enable the benefit to be realised and comply with the conditions of deductibility imposed by the law.
Current and non-current classification
Assets and liabilities are presented in the statement of financial position based on current and non-current classification.
An asset is classified as current when: it is either expected to be realised or intended to be sold or consumed in the
consolidated entity's normal operating cycle; it is held primarily for the purpose of trading; it is expected to be realised within
12 months after the reporting period; or the asset is cash or cash equivalent unless restricted from being exchanged or used
to settle a liability for at least 12 months after the reporting period. All other assets are classified as non-current.
A liability is classified as current when: it is either expected to be settled in the consolidated entity's normal operating cycle;
it is held primarily for the purpose of trading; it is due to be settled within 12 months after the reporting period; or there is no
unconditional right to defer the settlement of the liability for at least 12 months after the reporting period. All other liabilities
are classified as non-current.
Deferred tax assets and liabilities are always classified as non-current.
Cash and cash equivalents
Cash and short-term deposits in the balance sheet comprise cash at bank. A deposit is defined as short-term, if it has a
maturity of three months or less from the date of acquisition.
For the purposes of the statement of cash flows, cash and cash equivalents consist of cash and cash equivalents as defined
above, net of outstanding bank overdrafts.
Trade and other receivables
Trade receivables, which generally have 30-90 day terms, are recognised and carried at amortised cost amount less an
allowance for expected credit losses. A receivable represents the consolidated entity's right to an amount of consideration
that is unconditional (i.e., only the passage of time is required before payment of the consideration is due).
Inventories
Inventories are stated at the lower of cost and net realisable value. Net realisable value is the estimated selling price in the
ordinary course of business less the estimated costs of completion and any estimated selling costs.
Joint ventures
A joint venture is a joint arrangement whereby the parties that have joint control of the arrangement have rights to the net
assets of the arrangement. Investments in joint ventures are accounted for using the equity method. Under the equity method,
the share of the profits or losses of the joint venture is recognised in profit or loss and the share of the movements in equity
is recognised in other comprehensive income. Investments in joint ventures are carried in the statement of financial position
at cost plus post-acquisition changes in the consolidated entity's share of net assets of the joint venture. Goodwill relating to
the joint venture is included in the carrying amount of the investment and is neither amortised nor individually tested for
impairment. Income earned from joint venture entities reduce the carrying amount of the investment.
Financial assets and liabilities
Financial assets are classified as measured at amortised cost, fair value through profit or loss, or fair value through other
comprehensive income. The classification is based on two criteria: the consolidated entity’s business model for managing
the assets; and whether the instruments’ contractual cash flows represent ‘solely payments of principal and interest’ on the
principal amount outstanding. The assessment of whether contractual cash flows on debt instruments are solely comprised
of principal and interest are made based on the facts and circumstances at initial recognition of the assets.
Financial assets at amortised cost
A financial asset is measured at amortised cost only if both of the following conditions are met: (i) it is held within a business
model whose objective is to hold assets in order to collect contractual cash flows; and (ii) the contractual terms of the financial
asset represent contractual cash flows that are solely payments of principal and interest.
27
Jupiter Energy Limited
Notes to the consolidated financial statements
30 June 2023
Note 1. Significant accounting policies (continued)
Impairment
Under AASB 9, impairments of financial assets classified as measured at amortised cost are recognised on an expected loss
basis which incorporates forward-looking information when assessing credit risk. Movements in the expected loss reserve
are recognised in profit or loss.
For trade receivables, a simplified approach is used and for all other receivables, a general approach is used whereby the
consolidated entity recognises lifetime expected credit losses when there has been a significant increase in credit risk since
initial recognition. If the credit risk on the financial instrument has not increased significantly since initial recognition, the
consolidated entity measures the loss allowance for the financial instrument at an amount equal to expected credit losses
within the next 12 months. Expected credit losses are a probability-weighted estimated of credit losses over the expected life
of the financial instrument. Credit losses are measured as the present value of all cash shortfalls (i.e. the difference between
the cash flows due to the entity in accordance with the contract and the cash flows that the consolidated entity expects to
receive). Expected credit losses are discounted at the effective interest rate of the financial asset.
Financial liabilities are classified, at initial recognition, as financial liabilities at fair value through profit or loss (‘FVTPL’), loans
and borrowings, or as derivatives, as appropriate. A financial liability is classified as at FVTPL if it is classified as held-for-
trading, it is a derivative or it is designated as such on initial recognition. Financial liabilities at FVTPL are measured at fair
value and net gains and losses, including any interest expense, are recognised in profit or loss.
All financial liabilities are recognised initially at fair value and, in the case of loans and borrowings, net of directly attributable
transaction costs. After initial recognition, loans and borrowings are subsequently measured at amortised cost using the EIR
method. Gains and losses are recognised in profit or loss when the liabilities are derecognised as well as through the effective
interest rate (“EIR") amortisation process. Amortised cost is calculated by taking into account any discount or premium on
acquisition and fees or costs that are an integral part of the EIR. The EIR amortisation is included as finance costs in the
statement of profit or loss.
The consolidated entity’s financial liabilities include trade and other payables and loans and borrowings. The consolidated
entity did not recognise any financial liabilities as at FVTPL.
Borrowings are classified as current liabilities unless the consolidated entity has an unconditional right to defer settlement of
the liability for at least 12 months after the reporting period.
Property, plant and equipment
Plant and equipment is stated at historical cost less accumulated depreciation and any accumulated impairment losses. Such
cost includes the cost of replacing parts that are eligible for capitalisation when the cost of replacing the part is incurred.
Similarly, when each major inspection is performed, its cost is recognised in the carrying amount of the plant and equipment
as a replacement only if it is eligible for capitalisation. All other repairs and maintenance are recognised in profit or loss as
incurred.
Depreciation is calculated on a straight-line basis to write off the net cost of each item of property, plant and equipment
(excluding land) over their expected useful lives as follows:
Plant and equipment
3-10 years
The assets’ residual values, useful lives and amortisation methods are reviewed, and adjusted if appropriate, at each financial
year end.
An item of plant and equipment is derecognised upon disposal or when no further future economic benefits are expected to
be derived from its use or disposal on a prospective basis. Any gain or loss arising on derecognition of the asset (calculated
as the difference between the net disposal proceeds and the carrying amount of the asset) is included in the profit or loss in
the year the asset is derecognised.
28
Jupiter Energy Limited
Notes to the consolidated financial statements
30 June 2023
Note 1. Significant accounting policies (continued)
Exploration and evaluation assets
Exploration and evaluation expenditure incurred is accumulated in respect of each identifiable area of interest. These costs
are only carried forward to the extent that they are expected to be recouped through the successful development of the area
or where activities in the area have not yet reached a stage that permits reasonable assessment of the existence of
economically recoverable reserves. A regular review is undertaken of each area of interest to determine the appropriateness
of continuing to carry forward costs in relation to that area of interest.
Unsuccessful exploration in the area of interest is expensed as incurred even if activities in this area of interest are continuing.
Accumulated costs in relation to an abandoned area are written off in full to profit or loss in the year in which the decision to
abandon the area is made.
When a discovered oil or gas field enters the development phase or an individual well is assessed as being in production
(once a trial production licence is granted) the accumulated exploration and evaluation expenditure is transferred to oil and
gas properties or property plant and equipment, depending on its nature. Field costs that do not specifically relate to a well,
are transferred to oil and gas properties once the well enters commercial production.
Oil and gas properties
Oil and gas properties usually comprise single oil or gas fields being developed for future production or which are in the
production phase. Where several individual oil fields are to be produced through common facilities, the individual oil field and
the associated production facilities are managed and reported as a single oil and gas asset.
Assets in development
When the technical and commercial feasibility of an undeveloped oil or gas field has been demonstrated, the field enters its
development phase. The costs of oil and gas assets in the development phase are accounted for as tangible assets and
include past exploration and evaluation costs, development drilling and plant and equipment and any associated land and
buildings.
Producing assets
The costs of oil and gas assets in production are accounted for as tangible assets and include past exploration and evaluation
costs, pre-production development costs and the ongoing costs of continuing to develop reserves for production and to
expand or replace plant and equipment and any associated land and buildings. Producing assets are depreciated over total
proved and probable reserves on a unit of production basis.
Impairment of assets
At each reporting date, the consolidated entity reviews the carrying values of its tangible and intangible assets (excluding
goodwill) to determine whether there is any indication that those assets have been impaired. If such an indication exists, the
recoverable amount of the asset, being the higher of the asset’s fair value less costs of disposal and value in use, is compared
to the asset’s carrying value. Any excess of the asset’s carrying value over its recoverable amount is expensed to the profit
or loss.
Trade and other payables
Trade payables and other payables are carried at amortised costs and due to their short-term nature are not discounted.
They represent liabilities for goods and services provided to the consolidated entity prior to the end of the financial year that
are unpaid and arise when the consolidated entity becomes obliged to make future payments in respect of the purchase of
these goods and services. The amounts are unsecured and are usually paid within 30 days of recognition.
Contract liabilities
A contract liability is the obligation to transfer goods or services to a customer for which the consolidated entity has received
consideration (or an amount of consideration is due) from the customer. If a customer pays consideration before the
consolidated entity transfers goods or services to the customer, a contract liability is recognised when the payment is made
or the payment is due (whichever is earlier). Contract liabilities are recognised as revenue when the consolidated entity
performs under the contract. The consolidated entity applies a practical expedient available under AASB 15 by which the
consolidated entity does not adjust the promised amount of consideration for the effects of a significant financing component
because the consolidated entity expects, at contract inception, that the period between when the consolidated entity transfers
the goods or services to a customer and when the customer pays for those goods or services will be one year or less.
Finance costs
Finance costs attributable to qualifying assets are capitalised as part of the asset. All other finance costs are expensed in
the period in which they are incurred.
29
Jupiter Energy Limited
Notes to the consolidated financial statements
30 June 2023
Note 1. Significant accounting policies (continued)
Provisions
Provisions are recognised when the consolidated entity has a present obligation (legal or constructive) as a result of a past
event, it is probable that an outflow of resources embodying economic benefits will be required to settle the obligation and a
reliable estimate can be made of the amount of the obligation.
Where the consolidated entity expects some or all of a provision to be reimbursed, for example under an insurance contract,
the reimbursement is recognised as a separate asset but only when the reimbursement is virtually certain. The expense
relating to any provision is presented in the profit and loss net of any reimbursement.
If the effect of the time value of money is material, provisions are determined by discounting the expected future cash flows
at a pre-tax rate that reflects current market assessments of the time value of money and, where appropriate, the risks
specific to the liability.
Where discounting is used, the increase in the provision due to the passage of time is recognised as a finance cost.
Restoration
Costs of site restoration are provided over the life of the field or facility from when exploration commences and are included
in the costs of that stage. Site restoration costs include the dismantling and removal of plant, equipment and building
structures, waste removal, and rehabilitation of the site in accordance with clauses of the permits. Such costs have been
determined based on current legal requirements and technology. In calculating the provision the future estimated costs are
discounted to present value.
Any changes in the estimates for the costs are accounted on a prospective basis. In determining the costs of site restoration,
there is uncertainty regarding the nature and extent of the restoration due to community expectations and future legislation.
Accordingly the costs have been determined on the basis that the restoration will be completed within one year of abandoning
the site.
Employee benefits
Liabilities for wages and salaries, including non-monetary benefits, annual leave and accumulating sick leave expected to
be settled wholly within 12 months of the reporting date are recognised in provisions in respect of employees' services up to
the reporting date. They are measured at the nominal amounts based on current wage and salary rates, and include related
on-costs. Liabilities for non-accumulating sick leave are recognised when the leave is taken.
Fair value measurement
Assets and liabilities measured at fair value are classified into three levels, using a fair value hierarchy that reflects the
significance of the inputs used in making the measurements. Classifications are reviewed at each reporting date and transfers
between levels are determined based on a reassessment of the lowest level of input that is significant to the fair value
measurement.
For recurring and non-recurring fair value measurements, external valuers may be used when internal expertise is either not
available or when the valuation is deemed to be significant. External valuers are selected based on market knowledge and
reputation. Where there is a significant change in fair value of an asset or liability from one period to another, an analysis is
undertaken, which includes a verification of the major inputs applied in the latest valuation and a comparison, where
applicable, with external sources of data.
Issued capital
Ordinary shares are classified as equity. Incremental costs directly attributable to the issue of new shares or options are
shown in equity as a deduction, net of tax, from the proceeds.
Earnings/loss per share
Basic loss/earnings per share
Basic earnings/loss per share is calculated as net profit/loss attributable to members of the parent, adjusted to exclude any
preference share dividends, divided by the weighted average number of ordinary shares, adjusted for any bonus element.
Diluted loss/earnings per share
Diluted earnings/loss per share is calculated as net profit attributable to members of the parent, adjusted for:
30
Jupiter Energy Limited
Notes to the consolidated financial statements
30 June 2023
Note 1. Significant accounting policies (continued)
●
●
the after tax effect of dividends and interest associated with dilutive potential ordinary shares that have been recognised
as expenses; and
other non-discretionary changes in income or expenses during the period that would result from the dilution of potential
ordinary shares;
divided by the weighted average number of ordinary shares and dilutive potential ordinary shares, adjusted for any bonus
element.
Other taxes
Revenues, expenses and assets are recognised net of the amount of GST or VAT except:
●
●
where the GST or VAT incurred on a purchase of goods and services is not recoverable from the taxation authority, in
which case the GST or VAT is recognised as part of the cost of acquisition of the asset or as part of the expense item
as applicable; and
receivables and payables are stated with the amount of GST or VAT included.
The net amount of GST or VAT recoverable from, or payable to, the taxation authority is included as part of receivables or
payables in the balance sheet.
Cash flows are included in the Cash Flow Statement on a gross basis and the GST or VAT component of cash flows arising
from investing and financing activities, which is recoverable from, or payable to, the taxation authority, are classified as
operating cash flows.
Commitments and contingencies are disclosed net of the amount of GST or VAT recoverable from, or payable to, the taxation
authority.
New Accounting Standards and Interpretations not yet mandatory or early adopted
Australian Accounting Standards and Interpretations that have recently been issued or amended but are not yet mandatory,
have not been early adopted by the consolidated entity for the annual reporting period ended 30 June 2023. The consolidated
entity has reviewed the changes and believes that they will not have a material impact.
Note 2. Critical accounting judgements, estimates and assumptions
The preparation of the financial statements requires management to make judgements, estimates and assumptions that
affect the reported amounts in the financial statements. Management continually evaluates its judgements and estimates in
relation to assets, liabilities, contingent liabilities, revenue and expenses. Management bases its judgements, estimates and
assumptions on historical experience and on other various factors, including expectations of future events, management
believes to be reasonable under the circumstances. The resulting accounting judgements and estimates will seldom equal
the related actual results. The judgements, estimates and assumptions that have a significant risk of causing a material
adjustment to the carrying amounts of assets and liabilities (refer to the respective notes) within the next financial year are
discussed below.
Production start date
The consolidated entity assesses each well to determine when the well moves into the production stage. This is when the
well is substantially completed and ready for intended use. The consolidated entity considers various criteria in determining
the production start date, including but not limited to, results of well testing, the ability of the well to sustain ongoing
production, installation of the relevant well infrastructure and receiving the relevant regulatory approvals.
When the well moves into the production stage the capitalisation of certain development costs ceases and costs incurred
are expensed as a production cost. It is also at this point when that the well commences depreciation. Any proceeds received
from oil sales prior to the production start date as part of any well testing, are deducted from the asset.
Recovery of deferred tax assets
Judgement is required in determining whether deferred tax assets are recognised in the statement of financial position.
Deferred tax assets, including those arising from unutilised tax losses, require the consolidated entity to assess the likelihood
that the consolidated entity will generate sufficient taxable earnings in future periods, in order to utilise recognised deferred
tax assets. Judgment is also required in respect of the application of existing tax laws in each jurisdiction.
31
Jupiter Energy Limited
Notes to the consolidated financial statements
30 June 2023
Note 2. Critical accounting judgements, estimates and assumptions (continued)
Assumptions about the generation of future taxable profits depend on management’s estimates of future cash flows. These
estimates of future taxable income are based on forecast cash flows from operations (which are impacted by production and
sales volumes oil prices, reserves, operating costs, closure and rehabilitation costs, capital expenditure, and other capital
management transactions). To the extent that future cash flows and taxable income differ significantly from estimates, the
ability of the consolidated entity to realise the deferred tax assets recorded at the reporting date could be impacted.
In addition, future changes in tax laws in the jurisdictions in which the consolidated entity operates could limit the ability of
the consolidated entity to obtain tax deductions in future periods.
Exploration and evaluation assets
The consolidated entity's accounting policy for exploration and evaluation assets is set out in note 1. The application of this
policy necessarily requires management to make certain judgements, estimates and assumptions as to future events and
circumstances, in particular the assessment of whether economic quantities of reserves may be found. Any such, estimates
and assumptions may change as new information becomes available. If, after having capitalised expenditure under the
consolidated entity’s policy, management concludes that the consolidated entity is unlikely to recover the expenditure by
future exploitation or sale, then the relevant capitalised amount will be written off to the profit and loss. Management have
reviewed the carrying value of exploration and evaluation assets at 30 June 2023, and concluded that there were no
indicators of impairment.
Management reviewed the carrying value of exploration and evaluation assets at 30 June 2022. No further exploration and
evaluation expenditure was budgeted for the J55 and J 59 wells, which represented an indicator of impairment. The carrying
value of both assets was reviewed and written-off in full in the prior year, as the value in use was assessed to be nil with no
future cash flows are currently expected to be recovered from further exploration and development.
Provision for restoration
Costs of site restoration are provided over the life of the field and related facilities from when exploration commences and
are included in the costs of that stage. Site restoration costs include the dismantling and removal of plant, equipment and
building structures, waste removal, and rehabilitation of the site in accordance with clauses of the permits.
Any changes in the estimates for the costs are accounted on a prospective basis. In determining the costs of site restoration,
there is uncertainty regarding the nature and extent of the restoration due to community expectations and future legislation.
Accordingly, the costs have been determined on the basis that the restoration will be completed within one year of
abandoning the site.
Units of production depreciation of oil and gas properties
Oil and gas properties are depreciated using the units of production (UOP) method over total proved and probable
hydrocarbon reserves. This results in a depreciation/amortisation charge proportional to the depletion of the anticipated
remaining production from the field/well.
Each item’s life, which is assessed annually, has regard to both its physical life limitations and to present assessments of
economically recoverable reserves of the field at which the asset is located. These calculations require the use of estimates
and assumptions, including the amount of recoverable reserves. The calculation of the UOP rate of depreciation could be
impacted to the extent that actual production in the future is different from current forecast production based on total proved
and probable reserves. Changes to proved and probable reserves could arise due to changes in the factors or assumptions
used in estimating reserves, including:
●
●
The effect on proved and probable reserves of differences between actual commodity prices and commodity price
assumptions; or
Unforeseen operational issues.
Changes are accounted for prospectively.
32
Jupiter Energy Limited
Notes to the consolidated financial statements
30 June 2023
Note 2. Critical accounting judgements, estimates and assumptions (continued)
Recoverability of oil and gas properties
The consolidated entity assesses each asset or cash generating unit (CGU) (excluding goodwill, which is assessed annually
regardless of indicators) every reporting period to determine whether any indication of impairment exists. Where an indicator
of impairment exists, a formal estimate of the recoverable amount is made, which is considered to be the higher of the fair
value less costs of disposal and value in use. These assessments require the use of estimates and assumptions such as
long-term oil prices (considering current and historical prices, price trends and related factors), discount rates, operating
costs, future capital requirements, decommissioning costs, exploration potential, reserves operating performance (which
includes production and sales volumes).
These estimates and assumptions are subject to risk and uncertainty. Therefore, there is a possibility that changes in
circumstances will impact these projections, which may impact the recoverable amount of assets and/or CGUs. Management
has assessed Block 31 as being an individual CGU, which is the lowest level for which cash inflows are largely independent.
In measuring the recoverable amount, future cashflows are sensitive to changes in the following key assumptions;
●
●
●
●
●
Forecast commodity prices and exchange rates;
Production volumes, reserves and timing of export sales;
Recoverable reserves;
Cost assumptions; and
Discount rate
Management have reviewed the carrying value of oil and gas properties at 30 June 2023 and are satisfied that there are no
indicators of impairment.
Debt restruture
On 9 December 2022, the company entered into a debt restructure. The fair value of the new debt was measured using a
market rate of debt of 13%, refer to note 14 for further details.
Note 3. Operating segments
Identification of reportable operating segments
Operating segments are identified based on the information provided to the chief operating decision makers.
The consolidated entity has identified that it has one operating segment being related to the activities in Kazakhstan, on the
basis that the operations in Australia relate to running the Corporate Head Office only.
All oil sales are with one oil trader in Kazakhstan.
Geographical information
Sales to external customers
Geographical non-current
assets
2023
$
2022
$
2023
$
2022
$
Kazakhstan
5,588,957
4,126,946 21,663,588 19,107,048
All significant property, plant and equipment, oil and gas properties and exploration and evaluation assets are domiciled in
Kazakhstan.
33
Jupiter Energy Limited
Notes to the consolidated financial statements
30 June 2023
Note 4. Expenses
Profit/(loss) before income tax includes the following specific expenses:
Depreciation and amortisation
Depreciation and amortisation (charged to cost of sales)
Depreciation and amortisation (charged to general and administration expense)
Total depreciation and amortisation
Impairment
Exploration and evaluation assets
Trade receivables
Total impairment
Employee benefits included in are summarised below
Expensed in cost of sales
Expensed in general and administration
Finance costs
Interest and finance charges paid/payable on promissory note (prior to restructure)
Unwinding of discount on promissory notes (post restructure)
Unwinding of the discount on provisions
Finance costs expensed
Foreign exchange gains and (losses)
Unrealised gains and losses on promissory notes
Other foreign exchange differences
Foreign exchange gains and (losses)
Note 5. Income tax expense
Numerical reconciliation of income tax expense and tax at the statutory rate
Profit/(loss) before income tax expense
Tax at the statutory tax rate of 25%
Tax effect amounts which are not deductible/(taxable) in calculating taxable income:
Effect of tax rates in foreign jurisdictions
Interest expense
Temporary differences and tax losses not brought to account as a deferred tax asset
Gain on remeasurement of promissory notes
Gain on debt restructure
Unwinding of discount
Income tax expense
34
Consolidated
2023
$
2022
$
436,646
8,438
476,899
9,137
445,084
486,036
-
96,978
367,892
-
96,978
367,892
723,946
422,017
687,127
49,917
1,145,963
737,044
4,852,769
1,350,942
31,979
7,684,021
-
7,836
6,235,690
7,691,857
(1,853,532)
(11,550)
(8,264,740)
(81,677)
(1,865,082)
(8,346,417)
Consolidated
2023
$
2022
$
44,192,282
(11,511,006)
11,048,071
(2,877,752)
53,984
1,213,192
528,627
-
(13,181,609)
337,735
41,368
1,921,004
2,162,498
(1,247,118)
-
-
-
-
Jupiter Energy Limited
Notes to the consolidated financial statements
30 June 2023
Note 5. Income tax expense (continued)
Deferred tax assets not recognised
Deferred tax assets not recognised comprises temporary differences attributable to:
Unrealised FX (gain) / loss
Tax losses – Australia
Tax losses – Foreign Subsidiaries
Provisions
Consolidated
2023
$
2022
$
2,229,665
9,153,748
5,849,024
41,440
1,776,282
8,967,822
5,677,155
72,733
Total deferred tax assets not recognised
17,273,877 16,493,992
The above potential tax benefit, which excludes tax losses, for deductible temporary differences has not been recognised in
the statement of financial position as the recovery of this benefit is uncertain.
Note 6. Trade and other receivables
Current assets
Trade receivables
Less: Allowance for expected credit losses
Other indirect taxes receivable
Consolidated
2023
$
2022
$
224,873
(100,399)
124,474
10,489
-
10,489
426,809
58,012
551,283
68,501
Allowance for expected credit losses
The ageing of the receivables and allowance for expected credit losses provided for above are as follows:
Consolidated
Expected credit loss rate
2023
%
2022
%
Carrying amount
2022
$
2023
$
Allowance for expected
credit losses
2023
$
2022
$
0 to 3 months overdue
50%
-
200,798
-
100,399
-
For trade receivables, a simplified approach is used and for all other receivables, a general approach is used whereby the
consolidated entity recognises lifetime expected credit losses when there has been a significant increase in credit risk since
initial recognition.
Note 7. Other financial assets
Non-current assets
Liquidation fund
Consolidated
2023
$
2022
$
280,916
253,124
35
Jupiter Energy Limited
Notes to the consolidated financial statements
30 June 2023
Note 7. Other financial assets (continued)
The consolidated entity has a deposit for the purpose of a liquidation fund. The deposit is to be used for land restoration
when required. Under the laws of Kazakhstan, the deposit previously had to be replenished in the amount of 1% of the annual
investments. The amount required in the fund is now calculated on the basis of the field development project in proportion
to the actual hydrocarbon production. The carrying value approximates the fair value.
Note 8. Property, plant and equipment
Non-current assets
Plant and equipment - at cost
Less: Accumulated depreciation
Consolidated
2023
$
2022
$
2,445,884
(2,275,567)
2,038,160
(1,700,824)
170,317
337,336
Reconciliations
Reconciliations of the written down values at the beginning and end of the current and previous financial year are set out
below:
Plant &
equipment
$
541,261
7,685
5,412
(217,022)
337,336
15,893
34,538
(217,450)
170,317
Consolidated
2023
$
2022
$
-
1,389,210
Consolidated
Balance at 1 July 2021
Additions
Exchange differences
Depreciation expense
Balance at 30 June 2022
Additions
Exchange differences
Depreciation expense
Balance at 30 June 2023
Note 9. Exploration and evaluation assets
Non-current assets
Exploration and evaluation - at cost
36
Jupiter Energy Limited
Notes to the consolidated financial statements
30 June 2023
Note 9. Exploration and evaluation assets (continued)
Reconciliations
Reconciliations of the written down values at the beginning and end of the current and previous financial year are set out
below:
Consolidated
Balance at 1 July 2021
Additions
Exchange differences
Impairment of assets
Balance at 30 June 2022
Change in estimate
Exchange differences
Transfers to oil and gas properties (note 10)
Balance at 30 June 2023
Exploration &
evaluation
$
1,558,934
165,358
32,810
(367,892)
1,389,210
72,708
89,365
(1,551,283)
-
The consolidated entity assesses each asset or cash generating unit (CGU) every reporting period to determine whether any
indication of impairment exists. Where an indicator of impairment exists, a formal estimate of the recoverable amount is
made, which is considered to be the higher of the fair value less costs of disposal and value in use. Management has
assessed Block 31 as being an individual CGU, which is the lowest level for which cash inflows are largely independent.
Impairment
Management reviewed the carrying value of exploration and evaluation assets at 30 June 2022. No further expenditure has
presently been budgeted for the J55 and J 59 wells, which represents an indicator of impairment. The carrying value of both
assets was reviewed and written-off in full in the prior year as the value in use was assessed to be nil with no future cash
flows are currently expected to be recovered from further exploration and development.
Note 10. Oil and gas properties
Non-current assets
Oil and gas properties - at cost
Less: Accumulated amortisation
Consolidated
2023
$
2022
$
23,686,876 19,240,591
(2,113,213)
(2,475,103)
21,211,773 17,127,378
37
Jupiter Energy Limited
Notes to the consolidated financial statements
30 June 2023
Note 10. Oil and gas properties (continued)
Reconciliations
Reconciliations of the written down values at the beginning and end of the current and previous financial year are set out
below:
Consolidated
Balance at 1 July 2021
Additions
Change in estimate of restoration liability
Exchange differences
Amortisation expense
Balance at 30 June 2022
Additions
Change in estimate of restoration liability
Exchange differences
Transfers from exploration and evaluation (note 9)
Amortisation expense
Balance at 30 June 2023
Note 11. Trade and other payables
Current liabilities
Trade payables
Accrued expenses and other payables
Refer to note 18 for further information on financial instruments.
Note 12. Contract liabilities
Current liabilities
Contract liabilities
Oil and gas
properties
$
16,757,259
113,080
(731)
406,037
(148,267)
17,127,378
1,837,808
(123,035)
1,045,973
1,551,283
(227,634)
21,211,773
Consolidated
2023
$
2022
$
1,211,319
1,255,902
1,060,937
714,893
2,467,221
1,775,830
Consolidated
2023
$
2022
$
1,682,561
3,847
Unsatisfied performance obligations
The contract liability refers to amounts received in advance for oil sales. As at 30 June 2023, there is approximately 5,411
tonnes of oil to be delivered under the contract (2022: 12 tonnes). This obligation is expected to be fulfilled within the quarter
ending 30 September 2023 (2022 :30 September 2022).
38
Jupiter Energy Limited
Notes to the consolidated financial statements
30 June 2023
Note 13. Provisions
Non-current liabilities
Rehabilitation
Consolidated
2023
$
2022
$
207,200
363,663
Rehabilitation
The consolidated entity accrues provisions for the forthcoming costs of rehabilitation of the territory. The timing of
rehabilitation is likely to depend on when the field ceases to produce at economically viable rates which is currently estimated
to be 2044 (2022: 2044). This will depend upon future oil and gas prices, which are inherently uncertain. The underlying
rehabilitation costs are denominated in Tenge and in calculating the provision at 30 June 2023 a discount rate of 8.57%
(2022: 5.05%)
Movements in provisions
Movements in each class of provision during the current financial year, other than employee benefits, are set out below:
Consolidated - 2023
Carrying amount at the start of the year
Change in estimates
Exchange differences
Accretion expense
Carrying amount at the end of the year
Note 14. Other financial liabilities
Non-current liabilities
Promissory notes
Rehabilitation
$
363,663
(205,058)
16,616
31,979
207,200
Consolidated
2023
$
2022
$
20,804,177 100,027,287
On 9 December 2022, the company entered into a debt restructure. A total of 1,076,472,428 fully paid ordinary shares valued
at $34,447,117 were issued to note holders. The fair value of the shares were based on the market value of the company’s
shares at the date of the shareholder approval. The new shares are subject to voluntary trading escrow with 25% under
escrow for 6 months from the date of issue, 50% under escrow for 12 months from the date of issue and 25% under escrow
for 18 months from the date of issue. The conditions of voluntary escrow may be amended, at the absolute discretion of the
Jupiter Board of Directors.
In addition to the shares issued, a new unsecured interest free promissory note with a fair value of AU$18,963,074 was
recognised that is due and payable on 31 December 2024. The fair value of the new debt was measured using a market rate
of debt of 13%. Should management fail to pay the new debt, a penalty interest of 15% per annum will be charged against
the company. The debt is subsequently measured at amortised cost.
A gain on debt restructure of $52,726,436 (net of $106,800 of transaction costs) has been recognised for the difference
between the carrying amount of the old promissory note and the consideration, which consists of the fair value of shares
issued and new interest-free promissory note.
Reconciliation of the carrying values at the beginning and end of the current and previous financial year is set out below:
39
Jupiter Energy Limited
Notes to the consolidated financial statements
30 June 2023
Note 14. Other financial liabilities (continued)
Opening balance at 1 July 2022
Interest accrued
Foreign exchange differences up to date of restructure
Extinguishment of the old debt arising from the debt restructure
Recognition of new financial liability
Unwinding of discount
Foreign exchange differences since date of restructure
Note 15. Issued capital
100,027,287
4,852,769
1,363,371
106,243,427
(106,243,427)
18,963,074
1,350,942
490,161
20,804,177
Consolidated
2023
Shares
2022
Shares
2023
$
2022
$
Ordinary shares - fully paid
1,229,850,121
153,377,693 120,041,141 85,633,935
Movements in ordinary share capital
Details
Date
Shares
$
Balance
Issue of shares from debt restructure
Less cost of capital raised
1 July 2022
21 December 2022
153,377,693 85,633,935
1,076,472,428 34,447,117
(39,911)
-
Balance
30 June 2023
1,229,850,121 120,041,141
Ordinary shares
Ordinary shares entitle the holder to participate in dividends and the proceeds on the winding up of the company in proportion
to the number of and amounts paid on the shares held. The fully paid ordinary shares have no par value and the company
does not have a limited amount of authorised capital.
On a show of hands every member present at a meeting in person or by proxy shall have one vote and upon a poll each
share shall have one vote.
Share buy-back
There is no current on-market share buy-back.
Capital risk management
The consolidated entity's objectives when managing capital is to safeguard its ability to continue as a going concern, so that
it can provide returns for shareholders and benefits for other stakeholders and to maintain an optimum capital structure to
reduce the cost of capital.
Capital is regarded as total equity, as recognised in the statement of financial position, plus net debt. Net debt is calculated
as total borrowings less cash and cash equivalents.
In order to maintain or adjust the capital structure, the consolidated entity may adjust the amount of dividends paid to
shareholders, return capital to shareholders, issue new shares or sell assets to reduce debt.
The consolidated entity would look to raise capital when an opportunity to invest in a business or company was seen as
value adding relative to the current company's share price at the time of the investment. The consolidated entity is not actively
pursuing additional investments in the short term as it continues to integrate and grow its existing businesses in order to
maximise synergies.
40
Jupiter Energy Limited
Notes to the consolidated financial statements
30 June 2023
Note 15. Issued capital (continued)
The consolidated entity is not subject to externally imposed capital requirements. The capital risk management policy
remains unchanged from the 30 June 2022 Annual Report
Note 16. Reserves
Foreign currency reserve
Share-based payments reserve
Consolidated
2023
$
2022
$
(29,706,722)
5,764,014
(30,749,039)
5,764,014
(23,942,708)
(24,985,025)
Foreign currency reserve
The reserve is used to recognise exchange differences arising from the translation of the financial statements of foreign
operations to Australian dollars.
Share-based payments reserve
The reserve is used to recognise the value of equity benefits provided to employees and directors as part of their
remuneration, and other parties as part of their compensation for services.
Movements in reserves
Movements in each class of reserve during the current and previous financial year are set out below:
Consolidated
Balance at 1 July 2021
Foreign currency translation
Balance at 30 June 2022
Foreign currency translation
Balance at 30 June 2023
Note 17. Dividends
Foreign
currency
$
Share-based
payments
$
Total
$
(30,994,717)
245,678
5,764,014
-
(25,230,703)
245,678
(30,749,039)
1,042,317
5,764,014
-
(24,985,025)
1,042,317
(29,706,722)
5,764,014
(23,942,708)
There were no dividends paid, recommended or declared during the current or previous financial year.
Note 18. Financial instruments
Financial risk management objectives
The main purpose of these financial instruments is to provide finance for the consolidated entity’s operations. The
consolidated entity has various other financial assets and liabilities such as trade receivables and trade payables, which
arise directly from its operations. The main risks arising from the consolidated entity’s financial instruments are cash flow
interest rate risk, liquidity risk, foreign currency risk and credit risk.
Primary responsibility for identification and control of financial risks rests with the Board. The Board reviews the risks identified
below, including the setting of limits for trading in derivatives, hedging cover of foreign currency and interest rate risk, credit
allowances, and future cash flow forecast projections.
41
Jupiter Energy Limited
Notes to the consolidated financial statements
30 June 2023
Note 18. Financial instruments (continued)
Market risk
Foreign currency risk
The consolidated entity has transactional currency exposures. Such exposure arises from sales or purchases by an operating
entity in currencies other than the functional currency.
At balance date, the consolidated entity had the following exposure to United States Dollars that is not designated in cash
flow hedges:
The carrying amount of the consolidated entity's foreign currency denominated financial assets and financial liabilities at the
reporting date were as follows:
Consolidated
US dollars
Assets
Liabilities
2023
$
2022
$
2023
$
2022
$
1,128,571
542,688 20,804,177 100,027,287
The following tables summarise the sensitivity of financial instruments held at balance date to movement in the exchange
rate of the Australian dollar to the United States Dollar, with all other variables held constant.
Consolidated - 2023
% change
profit before
tax
Effect on
equity
% change
profit before
tax
Effect on
equity
AUD strengthened
Effect on
AUD weakened
Effect on
US Dollars
10%
(1,967,560)
(1,967,560)
10%
1,967,560
1,967,560
Consolidated - 2022
% change
profit before
tax
Effect on
equity
% change
profit before
tax
Effect on
equity
AUD strengthened
Effect on
AUD weakened
Effect on
US Dollars
10%
(9,948,459)
(9,948,459)
10%
9,948,459
9,948,459
Price risk
The consolidated entity is not exposed to any significant price risk.
Interest rate risk
The consolidated entity’s exposure to market risk for changes in interest rates is only on cash and cash equivalents, which
given the current level of cash and cash equivalents does not present a material risk. Other financial liabilities in the form of
Promissory notes are interest free and are therefore not subject to interest rate risk.
Credit risk
Credit risk represents the loss that would be recognised if counterparties fail to perform as contracted.
With respect to credit risk arising from the financial assets of the consolidated entity, which comprise cash and cash
equivalents, a liquidation fund and trade receivables, the consolidated entity’s exposure to credit risk arises from default of
the counter party, with a maximum exposure equal to the carrying amount of these instruments.
The consolidated entity continuously monitors the credit quality of counterparties. Where available, external credit ratings
and/or reports on the counterparty are obtained and used. The consolidated entity’s policy is to deal only with credit worthy
counterparties. Credit terms are subject to an internal approval process which considers the credit rating of the customer.
The ongoing credit risk is managed through regular review of ageing analysis.
42
Jupiter Energy Limited
Notes to the consolidated financial statements
30 June 2023
Note 18. Financial instruments (continued)
Liquidity risk
Management and the Board monitor the consolidated entity’s liquidity on the basis of expected cash flow. The information
that is prepared by senior management and reviewed by the Board includes monthly and annual cash flow budgets.
Remaining contractual maturities
The following tables detail the consolidated entity's remaining contractual maturity for its financial instrument liabilities. The
tables have been drawn up based on the undiscounted cash flows of financial liabilities based on the earliest date on which
the financial liabilities are required to be paid. The tables include both interest and principal cash flows disclosed as remaining
contractual maturities and therefore these totals may differ from their carrying amount in the statement of financial position.
Consolidated - 2023
Non-derivatives
Non-interest bearing
Trade payables
Promissory note
Interest-bearing - fixed rate
Promissory notes
Total non-derivatives
Consolidated - 2022
Non-derivatives
Non-interest bearing
Trade payables
Interest-bearing - fixed rate
Promissory notes
Total non-derivatives
Weighted
average
interest rate
%
1 year or less
$
Between 1
and 2 years
$
Between 2
and 5 years
$
Over 5 years
$
Remaining
contractual
maturities
$
-
-
-
2,467,221
-
- 24,977,375
-
2,467,221 24,977,375
-
-
-
-
-
-
2,467,221
- 24,977,375
-
-
- 27,444,596
Weighted
average
interest rate
%
1 year or less
$
Between 1
and 2 years
$
Between 2
and 5 years
$
Over 5 years
$
Remaining
contractual
maturities
$
-
1,775,830
-
15.00%
- 123,027,248
1,775,830 123,027,248
-
-
-
-
1,775,830
- 123,027,248
- 124,803,078
The cash flows in the maturity analysis above are not expected to occur significantly earlier than contractually disclosed
above.
The Company announced on 03 July 2023 that it had agreed a new $US5m facility with major shareholder Waterford Finance
& International Limited. This facility is provided interest free, is unsecured and any funds drawn on the facility will be repayable
on or before 31 December 2024, unless this date is extended by mutual agreement. No monies have been drawn down from
this facility as at the date of this report.
43
Jupiter Energy Limited
Notes to the consolidated financial statements
30 June 2023
Note 19. Fair value measurement
Fair value hierarchy
The following tables detail the consolidated entity's assets and liabilities, measured or disclosed at fair value, using a three
level hierarchy, based on the lowest level of input that is significant to the entire fair value measurement, being:
Level 1: Quoted prices (unadjusted) in active markets for identical assets or liabilities that the entity can access at the
measurement date
Level 2: Inputs other than quoted prices included within Level 1 that are observable for the asset or liability, either directly or
indirectly
Level 3: Unobservable inputs for the asset or liability
Consolidated - 2023
Liabilities
Promissory notes
Total liabilities
There were no transfers between levels during the financial year.
Note 20. Key management personnel disclosures
Level 1
$
Level 2
$
Level 3
$
Total
$
- 20,804,177
- 20,804,177
- 20,804,177
- 20,804,177
Compensation
The aggregate compensation made to directors and other members of key management personnel of the consolidated entity
is set out below:
Short-term employee benefits
Note 21. Remuneration of auditors
Consolidated
2023
$
2022
$
778,486
738,921
During the financial year the following fees were paid or payable for services provided by Ernst & Young, the auditor of the
company, and its network firms:
Audit services - Ernst & Young Australia
Audit or review of the financial statements
Audit services - overseas member firms
Audit or review of the financial statements
Note 22. Contingent liabilities
The consolidated entity had no contingent liabilities as at 30 June 2023 and 30 June 2022.
Consolidated
2023
$
2022
$
126,990
103,190
49,399
42,830
44
Jupiter Energy Limited
Notes to the consolidated financial statements
30 June 2023
Note 23. Commitments
Drilling commitments
Committed at the reporting date but not recognised as liabilities, payable:
Within one year
Drilling Commitments
Consolidated
2023
$
2022
$
5,742,081
3,181,286
As at 30 June 2023, the consolidated entity has commitments to drill 3 wells under one sidetrack under it licenses in
Kazakstan during the calendar year 2023. The estimated costs of meeting those commitments to be met by the end of the
calendar year is disclosed above. In the event these commitments are not met by the end of the calendar year, penalties are
expected to be applied and charged against the consolidated entity.
Note 24. Related party transactions
Parent entity
Jupiter Energy Limited is the parent entity.
Subsidiaries
Interests in subsidiaries are set out in note 26.
Joint ventures
Interests in joint ventures are set out in note 27.
Key management personnel
Disclosures relating to key management personnel are set out in note 20.
Transactions with related parties
There were no transactions with related parties during the current and previous financial year.
Receivable from and payable to related parties
The following balances are outstanding at the reporting date in relation to transactions with related parties:
Current payables:
Total directors fees payable*
Consolidated
2023
$
2022
$
1,390,056
1,148,897
*
Of these fees a total $1,330,902 (2022:$1,082,616) has been deferred until such time that at least US$10,000,000 in
new equity is raised or alternatively the consolidated entity sells the Block 31 licence and receives the funds associated
with that sale. The deferred director fees will be paid in cash. On 18 September 2023, the company issued remuneration
share rights extinguishing $559,404 of this deferred amount.
45
Jupiter Energy Limited
Notes to the consolidated financial statements
30 June 2023
Note 24. Related party transactions (continued)
Loans to/from related parties
The following transactions and balances are outstanding at the reporting date in relation to loans with related parties:
Consolidated
2023
$
2022
$
Non-current borrowings:
Promissory note with Waterford Finance and Investment Ltd (an entity that significant
influence over the company)
Promissory note with the Blackbird Trust (an entity that significant influence over the
company)
14,733,370
4,675,731
-
-
Terms and conditions
All transactions were made on normal commercial terms and conditions and at market rates.
Note 25. Parent entity information
Set out below is the supplementary information about the parent entity.
Statement of profit or loss and other comprehensive income
Profit/(loss) after income tax
Total comprehensive income /(loss)
Statement of financial position
Total current assets
Total assets
Total current liabilities
Total liabilities
Equity
Issued capital
Share-based payments reserve
Accumulated losses
Total deficiency in equity
Parent
2023
$
2022
$
43,254,131
(12,281,551)
43,254,131
(12,281,551)
Parent
2023
$
2022
$
112,042
93,338
17,470,437 18,740,152
1,585,154
1,293,096
22,389,331 101,320,383
120,041,141 85,633,935
5,764,014
(130,724,049) (173,978,180)
5,764,014
(4,918,894)
(82,580,231)
Guarantees entered into by the parent entity in relation to the debts of its subsidiaries
The parent entity had no guarantees in relation to the debts of its subsidiaries as at 30 June 2023 and 30 June 2022.
Contingent liabilities
The parent entity had no contingent liabilities as at 30 June 2023 and 30 June 2022.
46
Jupiter Energy Limited
Notes to the consolidated financial statements
30 June 2023
Note 25. Parent entity information (continued)
Commitments
The parent entity had no commitments as at 30 June 2023 and 30 June 2022.
Significant accounting policies
The accounting policies of the parent entity are consistent with those of the consolidated entity, as disclosed in note 1, except
for the following:
●
Investments in subsidiaries are accounted for at cost, less any impairment, in the parent entity.
Note 26. Interests in subsidiaries
The consolidated financial statements incorporate the assets, liabilities and results of the following subsidiaries in accordance
with the accounting policy described in note 1:
Name
Jupiter Energy (Victoria) Pty Ltd
Jupiter Biofuels Pty Ltd
Jupiter Energy (Kazakhstan) Pty Ltd
Jupiter Energy Pte Ltd
Jupiter Energy (Services) Pte Ltd
Note 27. Interests in joint ventures
Principal place of business /
Country of incorporation
Australia
Australia
Australia
Singapore
Singapore
Ownership interest
2022
2023
%
%
100.00%
100.00%
100.00%
100.00%
100.00%
100.00%
100.00%
100.00%
100.00%
100.00%
Interests in joint ventures are accounted for using the equity method of accounting. Information relating to joint ventures that
are material to the consolidated entity are set out below:
Name
Principal place of business /
Country of incorporation
Ownership interest
2022
2023
%
%
Jupiter Refining Limited Liability Partnership
Kazakhstan
50.00%
-
Note 28. Events after the reporting period
The Company announced on 03 July 2023 that it had agreed a new $US5m facility with major shareholder Waterford Finance
& International Limited. This facility is provided interest fee, is unsecured and any funds drawn on the facility will be repayable
on or before 31 December 2024, unless this date is extended by mutual agreement. No monies have been drawn down from
this facility as at the date of this report.
On 05 July 2023 Mark Ewing retired from the Board and Keith Martens was appointed as a Non-Executive Director.
At the Company’s General Meeting held 29 June 2023, shareholders approved the adoption of a Securities for Fees Plan
and associated issuance of securities to certain directors of the Company as consideration for accrued director and consulting
fees for the period up to 30 June 2023 and such fees that would otherwise then accrue for the period 1 January 2023 through
to 31 December 2024. This shareholder approval has resulted in a further improvement in the balance sheet and future cash
expenditure of the Company.
Following the finalisation of required documentation, on 18 September 2023 the company issued 18,646,800 remuneration
share rights to certain directors as consideration for accrued fees totalling $559,404 for the period up to 30 June 2023. On
18 September 2023, the company issued 27,980,134 fully paid ordinary shares to Jupiter Employee Securities Pty Ltd in
relation to these accrued fees and associated share remuneration rights for the period out to 31 December 2024. These
shares are held in trust by that entity until all vesting conditions relating to the remuneration share rights are met and the
rights are exercised.
47
Jupiter Energy Limited
Notes to the consolidated financial statements
30 June 2023
Note 28. Events after the reporting period (continued)
No other matter or circumstance has arisen since 30 June 2023 that has significantly affected, or may significantly affect the
consolidated entity's operations, the results of those operations, or the consolidated entity's state of affairs in future financial
years.
Note 29. Reconciliation of profit/(loss) after income tax to net cash from operating activities
Profit/(loss) after income tax expense for the year
44,192,282
(11,511,006)
Consolidated
2023
$
2022
$
Adjustments for:
Depreciation and amortisation
Impairment of exploration and evaluation assets
Write off of receivable
Foreign exchange differences
Non cash finance costs
Gain on remeasurement of promissory notes
Gain on debt restructure
Change in operating assets and liabilities:
Decrease/(increase) in trade and other receivables
Decrease/(increase) in inventories
Decrease/(increase) in other operating assets
Increase in trade and other payables
Increase/(decrease) in contract liabilities
Increase in other provisions
Net cash from operating activities
Note 30. Changes in liabilities arising from financing activities
Consolidated
Balance at 1 July 2021
Net cash from financing activities
Gain on remeasurement
Exchange differences
Accrued interest
Balance at 30 June 2022
Accrued interest
Extinguishment of debt upon restructure
Recognition of new debt
Exchange differences
Unwinding of discount
Balance at 30 June 2023
48
445,084
-
96,978
1,853,532
6,235,690
-
(52,726,436)
365,289
367,892
-
8,264,740
7,691,857
(4,988,472)
-
(583,181)
(33,121)
(29,433)
473,284
1,678,714
-
12,467
7,206
163,566
10,838
(201,340)
46,166
1,603,393
229,203
Promissory
notes
$
88,372,096
694,902
(4,988,472)
8,264,740
7,684,021
100,027,287
4,852,769
(106,243,427)
18,963,074
1,853,532
1,350,942
20,804,177
Jupiter Energy Limited
Notes to the consolidated financial statements
30 June 2023
Note 31. Earnings per share
Consolidated
2023
$
2022
$
Profit/(loss) after income tax attributable to the owners of Jupiter Energy Limited
44,192,282
(11,511,006)
Weighted average number of ordinary shares used in calculating basic earnings per share
716,682,443
153,377,693
Weighted average number of ordinary shares used in calculating diluted earnings per share
716,682,443
153,377,693
Number
Number
Basic earnings / (loss) per share
Diluted earnings / (loss) per share
Cents
Cents
6.17
6.17
(7.51)
(7.51)
49
Jupiter Energy Limited
Directors' declaration
30 June 2023
In the directors' opinion:
●
●
●
●
the attached financial statements and notes comply with the Corporations Act 2001, the Australian Accounting
Standards, the Corporations Regulations 2001 and other mandatory professional reporting requirements;
the attached financial statements and notes comply with International Financial Reporting Standards as issued by the
International Accounting Standards Board as described in note 1 to the financial statements;
the attached financial statements and notes give a true and fair view of the consolidated entity's financial position as at
30 June 2023 and of its performance for the financial year ended on that date; and
there are reasonable grounds to believe that the company will be able to pay its debts as and when they become due
and payable, subject to matters disclosed in note 1 Going Concern.
Signed in accordance with a resolution of directors made pursuant to section 295(5)(a) of the Corporations Act 2001.
On behalf of the directors
___________________________
Geoffrey Gander
Director
29 September 2023
50
Ernst & Young
11 Mounts Bay Road
Perth WA 6000 Australia
GPO Box M939 Perth WA 6843
Tel: +61 8 9429 2222
Fax: +61 8 9429 2436
ey.com/au
Independent auditor’s report to the members of Jupiter Energy Limited
Report on the audit of the financial report
Opinion
We have audited the financial report of Jupiter Energy Limited (the Company) and its subsidiaries
(collectively the Group), which comprises the consolidated statement of financial position as at 30
June 2023 the consolidated statement of profit or loss and other comprehensive income,
consolidated statement of changes in equity and consolidated statement of cash flows for the year
then ended, notes to the financial statements, including a summary of significant accounting policies,
and the directors’ declaration.
In our opinion, the accompanying financial report of the Group is in accordance with the Corporations
Act 2001, including:
a. Giving a true and fair view of the consolidated financial position of the Group as at 30 June 2023
and of its consolidated financial performance for the year ended on that date; and
b. Complying with Australian Accounting Standards and the Corporations Regulations 2001.
Basis for opinion
We conducted our audit in accordance with Australian Auditing Standards. Our responsibilities under
those standards are further described in the Auditor’s responsibilities for the audit of the financial
report section of our report. We are independent of the Group in accordance with the auditor
independence requirements of the Corporations Act 2001 and the ethical requirements of the
Accounting Professional and Ethical Standards Board’s APES 110 Code of Ethics for Professional
Accountants (including Independence Standards) (the Code) that are relevant to our audit of the
financial report in Australia. We have also fulfilled our other ethical responsibilities in accordance with
the Code.
We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis
for our opinion.
Material uncertainty related to going concern
We draw attention to Note 1 of the financial report, which describes the principal conditions that raise
doubt about the Group’s ability to continue as a going concern. These events or conditions indicate
that a material uncertainty exists that may cast significant doubt on the Group’s ability to continue as
a going concern. Our opinion is not modified in respect of this matter.
A member firm of Ernst & Young Global Limited
Liability limited by a scheme approved under Professional Standards Legislation
2
Key audit matters
Key audit matters are those matters that, in our professional judgment, were of most significance in
our audit of the financial report of the current year. These matters were addressed in the context of
our audit of the financial report as a whole, and in forming our opinion thereon, but we do not provide
a separate opinion on these matters. In addition to the matter described in the Material uncertainty
related to going concern section, we have determined the matter described below to be the key audit
matter to be communicated in our report. For the matter below, our description of how our audit
addressed the matter is provided in that context.
We have fulfilled the responsibilities described in the Auditor’s responsibilities for the audit of the
financial report section of our report, including in relation to these matters. Accordingly, our audit
included the performance of procedures designed to respond to our assessment of the risks of
material misstatement of the financial report. The results of our audit procedures, including the
procedures performed to address the matter below, provide the basis for our audit opinion on the
accompanying financial report.
Gain on debt restructure
Why significant
How our audit addressed the key audit matter
At 30 June 2023, the Group had a financial liability of
$20,804,177 (2022: $100,027,287) relating to
promissory note facilities as disclosed in Note 14.
On 3 October 2022, the Group entered into a settlement
deed with Promissory Note holders regarding promissory
notes issued in prior-years. The agreement involved
converting a portion of the debt into shares and new
promissory notes, with the remaining balance written off.
This transaction was accounted for as an extinguishment of
the old promissory notes, resulting in the derecognition of
their carrying value. A gain on debt restructure of
$52,726,436 was recorded in the statement of profit or
loss, representing the difference between the carrying
value of the old promissory notes and the combined fair
value of the shares and new promissory notes issued,
determined at the date of obtaining shareholder approval
on 9 December 2022. A total of 1,076,472,428 fully paid
shares and US$16.6 million in new promissory notes were
issued.
Given the significance of the debt structure and the
estimation involved in measuring the fair value of the new
promissory notes, this matter was considered a key audit
matter.
We evaluated the appropriateness of the accounting for the
settlement deed transaction, including the measurement of
the Group’s new promissory note facilities. In performing our
procedures, we:
• Considered the key terms of the settlement agreements
and assessed whether the Group’s accounting treatment
for the transaction complied with the requirements of
Australian Accounting Standards
• Assessed the methodology and inputs used to determine
the market interest rate for calculating the fair value of
the new promissory notes
• Recalculated the gain on debt restructure
• Confirmed the completeness and accuracy of the balance
owing to the holders of the promissory notes at 30 June
2023
• Assessed the adequacy of disclosure in Note 14 to the
financial report.
A member firm of Ernst & Young Global Limited
Liability limited by a scheme approved under Professional Standards Legislation
3
Information other than the financial report and auditor’s report thereon
The directors are responsible for the other information. The other information comprises the
information included in the Company’s 2023 annual report, but does not include the financial report
and our auditor’s report thereon.
Our opinion on the financial report does not cover the other information and accordingly we do not
express any form of assurance conclusion thereon, with the exception of the Remuneration Report
and our related assurance opinion.
In connection with our audit of the financial report, our responsibility is to read the other information
and, in doing so, consider whether the other information is materially inconsistent with the financial
report or our knowledge obtained in the audit or otherwise appears to be materially misstated.
If, based on the work we have performed, we conclude that there is a material misstatement of this
other information, we are required to report that fact. We have nothing to report in this regard.
Responsibilities of the directors for the financial report
The directors of the Company are responsible for the preparation of the financial report that gives a
true and fair view in accordance with Australian Accounting Standards and the Corporations Act 2001
and for such internal control as the directors determine is necessary to enable the preparation of the
financial report that gives a true and fair view and is free from material misstatement, whether due to
fraud or error.
In preparing the financial report, the directors are responsible for assessing the Group’s ability to
continue as a going concern, disclosing, as applicable, matters relating to going concern and using the
going concern basis of accounting unless the directors either intend to liquidate the Group or to cease
operations, or have no realistic alternative but to do so.
Auditor’s responsibilities for the audit of the financial report
Our objectives are to obtain reasonable assurance about whether the financial report as a whole is
free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that
includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an
audit conducted in accordance with the Australian Auditing Standards will always detect a material
misstatement when it exists. Misstatements can arise from fraud or error and are considered material
if, individually or in the aggregate, they could reasonably be expected to influence the economic
decisions of users taken on the basis of this financial report.
A member firm of Ernst & Young Global Limited
Liability limited by a scheme approved under Professional Standards Legislation
4
As part of an audit in accordance with the Australian Auditing Standards, we exercise professional
judgment and maintain professional scepticism throughout the audit. We also:
►
Identify and assess the risks of material misstatement of the financial report, whether due to
fraud or error, design and perform audit procedures responsive to those risks, and obtain audit
evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not
detecting a material misstatement resulting from fraud is higher than for one resulting from
error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the
override of internal control.
► Obtain an understanding of internal control relevant to the audit in order to design audit
procedures that are appropriate in the circumstances, but not for the purpose of expressing an
opinion on the effectiveness of the Group’s internal control.
► Evaluate the appropriateness of accounting policies used and the reasonableness of accounting
estimates and related disclosures made by the directors.
► Conclude on the appropriateness of the directors’ use of the going concern basis of accounting
and, based on the audit evidence obtained, whether a material uncertainty exists related to
events or conditions that may cast significant doubt on the Group’s ability to continue as a going
concern. If we conclude that a material uncertainty exists, we are required to draw attention in
our auditor’s report to the related disclosures in the financial report or, if such disclosures are
inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up
to the date of our auditor’s report. However, future events or conditions may cause the Group to
cease to continue as a going concern.
► Evaluate the overall presentation, structure and content of the financial report, including the
disclosures, and whether the financial report represents the underlying transactions and events
in a manner that achieves fair presentation.
► Obtain sufficient appropriate audit evidence regarding the financial information of the entities or
business activities within the Group to express an opinion on the financial report. We are
responsible for the direction, supervision and performance of the Group audit. We remain solely
responsible for our audit opinion.
We communicate with the directors regarding, among other matters, the planned scope and timing of
the audit and significant audit findings, including any significant deficiencies in internal control that we
identify during our audit.
We also provide the directors with a statement that we have complied with relevant ethical
requirements regarding independence, and to communicate with them all relationships and other
matters that may reasonably be thought to bear on our independence, and where applicable, actions
taken to eliminate threats or safeguards applied.
A member firm of Ernst & Young Global Limited
Liability limited by a scheme approved under Professional Standards Legislation
5
From the matters communicated to the directors, we determine those matters that were of most
significance in the audit of the financial report of the current year and are therefore the key audit
matters. We describe these matters in our auditor’s report unless law or regulation precludes public
disclosure about the matter or when, in extremely rare circumstances, we determine that a matter
should not be communicated in our report because the adverse consequences of doing so would
reasonably be expected to outweigh the public interest benefits of such communication.
Report on the audit of the Remuneration Report
Opinion on the Remuneration Report
We have audited the Remuneration Report included in the Director’s report for the year ended
30 June 2023.
In our opinion, the Remuneration Report of Jupiter Energy Limited for the year ended 30 June 2023
complies with section 300A of the Corporations Act 2001.
Responsibilities
The directors of the Company are responsible for the preparation and presentation of the
Remuneration Report in accordance with section 300A of the Corporations Act 2001. Our
responsibility is to express an opinion on the Remuneration Report, based on our audit conducted in
accordance with Australian Auditing Standards.
Ernst & Young
Jared Jaworski
Partner
Perth
29 September 2023
A member firm of Ernst & Young Global Limited
Liability limited by a scheme approved under Professional Standards Legislation
Jupiter Energy Limited
Shareholder information
30 June 2023
The shareholder information set out below was applicable as at 20 September 2023.
Distribution of equitable securities
Analysis of number of equitable security holders by size of holding:
1 to 1,000
1,001 to 5,000
5,001 to 10,000
10,001 to 100,000
100,001 and over
Holding less than a marketable parcel
Equity security holders
Twenty largest quoted equity security holders
The names of the twenty largest security holders of quoted equity securities are listed below:
Ordinary shares
Number
of holders
% of total
shares
issued
416
425
198
339
66
0.01
0.09
0.12
0.99
98.79
1,444
100.00
1,222
0.46
Ordinary shares
Number held
% of total
shares
issued
1,091,041,821
40,734,581
27,980,134
19,837,751
14,007,536
12,500,000
11,068,130
9,517,273
4,539,905
2,287,804
2,000,000
1,870,000
1,497,445
1,205,295
946,021
815,162
633,754
523,000
506,450
500,000
1,244,012,062
85.89
3.21
2.20
1.56
1.10
0.98
0.87
0.75
0.36
0.18
0.16
0.15
0.12
0.09
0.07
0.06
0.05
0.04
0.04
0.04
97.92
FISKE NOMINEES LIMITED
FISKE NOMINEES LIMITED (FISKPOOL A/C)
JUPITER EMPLOYEE SECURITIES PTY LTD
FISKE NOMINEES LIMITED
CITICORP NOMINEES PTY LIMITED (580214-1 A/C)
SLEIPNIR TECHNOLOGIES
FISKE NOMINEES LIMITED
CITICORP NOMINEES PTY LIMITED
COLLEGE SEARCH PTY LTD
HSBC CUSTODY NOMINEES (AUSTRALIA) LIMITED
MR JOHN NORMAN ACKLAND
MR GLENN WILLIAM TWOMEY + MRS KAREN LYNNE TWOMEY
BNP PARIBAS NOMS PTY LTD (DRP)
BNP PARIBAS NOMINEES PTY LTD ACF CLEARSTREAM
MR SOON JEUNG YUEN
MR RICHARD DONALD MILLAR
MR KULDEEP SINGH MALIK + MRS SUDESH MALIK (UDAY SINGH MALIK A/C)
MR STEVY TRENT MAYALL + MS RACHELLE LEA WALTON
ALDENHAM HOLDINGS LIMITED
MR BARRY PAUL AHERNE
Unquoted equity securities
The company also has 18,646,800 remuneration share rights on issue
56
Jupiter Energy Limited
Shareholder information
30 June 2023
Substantial holders
Substantial holders in the company are set out below:
WATERFORD FINANCE AND INVESTMENT LIMITED
WEIGHBRIDGE TRUST LIMITED
Voting rights
The voting rights attached to ordinary shares are set out below:
Ordinary shares
Number held
% of total
shares
issued
769,400,664
268,485,779
60.57
21.14
Ordinary shares
On a show of hands every member present at a meeting in person or by proxy shall have one vote and upon a poll each
share shall have one vote.
Remuneration share rights
Remuneration share rights do not have voting rights.
There are no other classes of equity securities.
57