REG - Westmount Energy Ld - Half Yearly Report <Origin Href="QuoteRef">WNRG.L</Origin>

Westmount EnergyAnnouncement

30/03/2016 07:05

RNS Number : 4493T
Westmount Energy Limited
30 March 2016
Westmount Energy Limited
("Westmount" or the "Company")
Interim Results
The Company is pleased to announce its Interim Results for the six months ended 31 December 2015. A copy of the results is available on the Company's website, www.westmountenergy.com, and will be posted to shareholders shortly.
CHAIRMAN'S REVIEW
The period under review has been an active one for your Company. 
Last December your Company successfully raised a total of 509,602 by way of an Open Offer to existing shareholders and a Placing with two new investors, Mr John Craven and Mr Dermot Corcoran. Following the Annual General Meeting on 11 December 2015, the share capital was also amended to Nil Par Value. The amendments to our share capital, addition to our working capital and strengthening of our shareholder base has provided a strong platform to enhance shareholder value going forward.
Since the period end the oil price has continued to be volatile, hitting lows in January not seen since 2003. More recently, the oil price has recovered from the lows and according to the International Energy Agency, the oil price may have bottomed out. Opportunities are emerging as a result of distressed situations, divestments from medium and large oil and gas exploration and production companies and due to cut backs in exploration budgets. We are focusing on repositioning your Company as a niche exploration and production investor in the conventional oil and gas sector, focusing on value creation in the low price environment, utilising the distressed environment to re-house high quality assets and to position investors to benefit from a likely price upswing in the next two to five years.
We continue to identify and assess investment opportunities in line with the above strategy which may take time to emerge but I believe that our patience should be rewarded. 
Portfolio
Your Company's portfolio of energy shares is mainly focused on the Falkland Islands. In spite of positive news events, valuations have suffered as a result of the poor oil price environment and negative sentiment in the sector. Your Company recorded a loss in the portfolio of 284,950 which arose mainly from market depreciation in our holding in Falkland Oil and Gas ("FOGL").
During the period, FOGL completed Drilling - 14/20-2 (Isobel-2 Re-drill) as an oil discovery and also completed an all share merger with Rockhopper Exploration plc ("Rockhopper") in early January 2016, resulting in a net holding of 358,142 shares in Rockhopper.
As a result, our new Rockhopper investment provides shareholders with exposure to the Sea Lion oil field development as well as its substantial cash balances and diversification by way of its Mediterranean E & P portfolio.
We continue to hold investments in Argos Resources Ltd and Sterling Energy which will be kept under review while we assess investment opportunities in line with our strategy. We look forward to updating investors with further developments when appropriate.
Gerard Walsh
Chairman
29 March 2016
Enquiries:-
Westmount Energy Limited www.westmountenergy.com
David King, Director Tel: +44 (0)1534 823028
Cenkos Securities plc, Nomad and Broker
Nicholas Wells / Elizabeth Bowman Tel: +44 (0)20 7397 8900
 
CONDENSED STATEMENT OF COMPREHENSIVE INCOME
FOR THE PERIOD ENDED 31 DECEMBER 2015

Six months ended 
31 Dec 2015
(unaudited)

Six months ended 
31 Dec 2014
(unaudited)

Year ended
30 Jun 2015
(audited)
Net loss on financial assets held at fair value through profit or loss 
(284,950)

(30,685)

(95,485)
Administration expenses
(77,857)

(59,659)

(126,754)






Operating loss
(362,807)

(90,344)

(222,239)






Loss before tax
(362,807)

(90,344)

(222,239)






Tax
-

-

-






Comprehensive loss for the period / year
(362,807)

(90,344)

(222,239)












Basic loss per share (pence)
(0.02)

(0.92)

(2.26)
Diluted loss per share
(0.02)

(0.92)

(2.26)
All results are derived from continuing operations.
The Company had no items of other comprehensive income during the period / year.
 
CONDENSED STATEMENT OF FINANCIAL POSITION
AS AT 31 DECEMBER 2015

31 Dec 2015
(unaudited)

31 Dec 2014
(unaudited)

30 Jun 2015
(audited)






ASSETS





Non-current assets





Financial assets at fair value through profit or loss
192,261

601,621

536,821
Current assets





Other receivables
9,451

1,522

9,721
Cash and cash equivalents
494,245

69,326

7,291

503,696

70,848

17,012






Total assets
695,957

672,469

553,833












LIABILITIES AND EQUITY





Current liabilities





Trade and other payables
27,089

53,283

31,760






EQUITY





Share capital
3,027,222

1,966,060

1,966,060
Share premium account
-

516,777

551,560
Share option account
349,906

349,906

349,906
Retained earnings
(2,708,260)

(2,213,557)

(2,345,453)
Total equity
668,868

619,186

522,073






Total liabilities and equity
695,957

672,469

553,833






CONDENSED STATEMENT OF CHANGES IN EQUITY
FOR THE PERIOD ENDED 31 DECEMBER 2015
Share capital account
Share premium account
Share option account
Retained earnings
Total equity
As at 1 July 2014 
1,966,060
516,778
349,906
(2,123,214)
709,530
Total Comprehensive Income
Loss for the year ended 30 June 2015
-
-
-
(222,239)
(222,239)
Transactions with owners
Expired redemption of B shares not taken up
-
34,782
-
-
34,782
As at 30 June 2015
1,966,060
551,560
349,906
(2,345,453)
522,073
Total Comprehensive Income
Loss for the period ended 31 December 2015
-
-
-
(362,807)
(362,807)
Transactions with owners
Conversion to Nil Par Value Shares
551,560
(551,560)
-
-
-
Open offer at 0.04 per share
509,602
-
-
-
509,602
As at 31 December 2015
3,027,222
-
349,906
(2,708,260)
668,868
Share capital account
Share premium account
Share option account
Retained earnings
Total equity
As at 1 July 2013 as previously stated 
1,966,060
492,103
293,427
(1,861,129)
890,461
Prior year adjustment
-
-
56,479
(56,479)
-
As at 1 July 2013 restated
1,966,060
492,103
349,906
(1,917,608)
890,461
Total Comprehensive Income
Loss for the year ended 30 June 2014
-
-
-
(205,606)
(205,606)
Transactions with owners
Expired redemption of B shares not taken up
-
24,675
-
-
24,675
As at 30 June 2014
1,966,060
516,778
349,906
(2,123,214)
709,530
CONDENSED STATEMENT OF CASH FLOWS
FOR THE PERIOD ENDED 31 DECEMBER 2015

Six months ended 
31 Dec 2015
(unaudited)

Six months ended 
31 Dec 2014
(unaudited)

Year ended
30 Jun 2015
(audited)






Net cash (outflows) from operating activities
 (82,259)

(58,123)

(154,939)
Cash flows from investing activities





Sale of investments
59,611

50,582

50,582
Net cash generated from investing activities
59,611

50,582

50,582
Cash flows from financing activities





Expired redemption - B Shares not taken up
-

-

34,782
Ordinary shares issues - open offer
509,602

-

-
Net cash used in financing activities
509,602

-

34,782
Net (decrease) in cash and cash equivalents
486,954

(7,541)

(69,575)
Cash and cash equivalents at the beginning of the period / year
7,291

76,866

76,866
Cash and cash equivalents at the end of the period / year
494,245

69,325

7,291
Reconciliation of net cash flowfromoperating activities


Six months ended 
31 Dec 2015
(unaudited)

Six months ended 
31 Dec 2014
(unaudited)

Year ended
30 Jun 2015
(audited)






Total comprehensive loss for the period / year
(362,807)

(90,344)

(222,239)
Adjustment for unrealised (gain) / loss on investments at fair value through profit or loss
177,612

(263,960)

(199,159)
Adjustments for realised gains on investments at fair value through profit or loss
107,337

294,644

294,644
Decrease / (increase) in prepayments and accrued income
270

6,087

(2,114)
Decrease in creditors and accrued expenses
(4,671)

(4,548)

(26,071)
Net cash out flow from operating activities
(82,259)

(58,123)

(154,939)
NOTES TO THE UNAUDITED CONDENSED FINANCIAL STATEMENTS 
FOR THE PERIOD ENDED 31 DECEMBER 2015
1. Accounting Policies
Basisof accounting
The interim financial statements have been prepared in accordance with the International Accounting Standard ("IAS") 34, Interim Financial Reporting.
The interim financial statements do not include all the information and disclosures required in the annual financial statements and should be read in conjunction with the Company's annual financial statements for the period to 30 June 2015. The annual financial statements have been prepared in accordance with International Financial Reporting Standards ("IFRS").
The same accounting policies and methods of computation are followed in the interim financial statements as in the annual financial statements for the period ended 30 June 2015.
2. Investments 

Six months ended 
31 Dec 2015
(unaudited)

Six months ended 
31 Dec 2014
(unaudited)

Year ended
30 Jun 2015
(audited)






Sterling Energy PLC, at market value
43,500

58,620

52,500
Cost, 300,000 shares
517,838

517,838

517,838
(31 December 2014: 300,000 shares, 30 June 2015: 300,000 shares)










Argos Resources Limited, at market value
45,000

145,000

81,300
Cost, 1,000,000 shares
310,775

310,775

310,775
(31 December 2014: 1,000,000 shares, 30 June 2015: 1,000,000 shares)










Falkland Oil and Gas Limited ("Falkland"), at market value
99,318

296,553

394,198
Cost, 1,196,600 shares
799,081

966,029

966,029
(31 December 2014: 1,446,600 shares, 30 June 2015: 1,446,600 shares)










Pancontinental Oil and Gas NL ("Pancontinental"), at market value
4,443

101,448

8,823
Cost, 3,000,000 shares
393,246

393,246

393,246
(31 December 2014: 3,000,000 shares, 30 June 2015: 3,000,000 shares)










Total market value
192,261

601,621

536,821





Total cost
2,020,940

2,187,888

2,187,888
Current period movement
(1,828,679)

(1,586,267)

(1,651,067)
Reverse prior year FV adjustment
1,651,067

1,850,226

1,586,267
(177,612)

263,959

(64,800)
Realised (loss
(107,337)

(294,644)

(294,644)
Unrealised (loss) / gain 
(177,612)

263,959

199,159
Current period income statement impact
(284,949)

(30,685)

(95,485)






This information is provided by RNS
The company news service from the London Stock Exchange
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