Imperial Mining, Minerals and Chemicals Trading UK Ltd |
Strategic Report |
for the year ended 31 December 2022 |
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The directors present their strategic report for Imperial, Minerals and Chemicals Trading UK Ltd (the ‘Company’ or ‘Imperial UK’) and its subsidiaries (together the ‘Group’) for the year ended 31 December 2022. |
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Review of the business |
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The Company has two subsidiary companies: Mining Mineral and Commodity Trading LLC ('MMCT' or the ‘US subsidiary’) and Imperial Mining, Minerals and Chemicals GmbH ('Imperial Germany' or the ‘German subsidiary’). |
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The Group has two distinct lines of businesses both involving soda ash. Imperial UK and Imperial Germany act as compliance agents under chemicals regulations in the UK and the EU for exports of ash soda by related companies from Turkey to those territories. MMCT trades in soda ash itself, buying from related companies in Turkey through their sales agent in the UK and selling in the USA. |
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MMCT's turnover increased increased to £20,620,615 in 2022 (2021: £19,681,923). It operates a reseller model which builds its product purchase costs as well as shipping and other direct costs into its selling prices. |
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Principal risks and uncertainties |
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The directors are responsible for the Group’s risk management and for reviewing its effectiveness. The following risks are managed by the Group’s management team: |
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Risk |
Description of risk |
Response to risk |
Funding |
Any failure to forecast and work within the Group’s financial structure could impact liquidity and lead to an inability to deliver the business objectives. Any inability to access external funding, if necessary, may also pose a risk. |
The Group regularly reviews its cash flow, working capital and funding options, and aims to maintain a prudent approach to budgeting and planning to ensure sufficient working capital to meet commitments. |
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Political |
The Group sells products in the USA and earns agency fees in the UK and the EU on supplies wholly originating from related entities in Turkey. |
The Group monitors developments in Turkey although these can be difficult to predict. The Group endeavours to maintain positive relationships with key stakeholders in Turkey and the USA. |
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Product price |
The Group is reliant mainly on sales revenue of soda ash by MMCT in the USA. The decrease in soda ash prices can lead to loss of value and have an adverse effect on revenue, margins, profitability and cash flow. |
The Group continues to monitor its cost structure to ensure that it is aligned to onward sales. As MMCT does not produce ash soda but operates a reseller model, it seeks to minimise the price fluctuation risks mainly by managing its purchases. |
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Foreign exchange fluctuation |
The Group’s business is dependent on related party suppliers operating with Turkish Lira (TRY) as their functional currency. The continuing devaluation of the TRY since 2020 presents challanging conditions locally. |
The Group’s agency fees are receivable in EUR and the sales of soda ash are receivable in USD with its cost of supply also anchored in USD. Therefore, the Group expects to maintain a neutral exposure to developments in TRY. |
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Local laws and regulations |
The Group operates in the UK, the EU and the USA, requiring compliance with local laws and regulations in these jurisdictions. Non-compliance would impede the Group’s ability to continue to operate or cause fines and penalties and damage to the Group’s reputation or credit rating. |
Specific expertise is required to ensure compliance with local laws and regulations. The Group ensures this by consulting with external experts where there is ambiguity or new laws and regulations that need to be addressed. The Group is not directly exposed to laws and regulations in Turkey which remain the domain of its suppliers. |
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Development and performance |
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Imperial UK has made a profit of £8,052 in 2022 (2021: £16,875 loss ) and is expecting to continue on a small profit-making trajectory. |
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Imperial Germany made a profit of £34,491 in 2022 (2021: £4,338). Following the reporting date, Imperial Germany left the Group on 29 February 2024. |
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MMCT made a loss of £288,382 (2021: £1,289,668 profit). Following the end of an arrangement in late 2021 with a related party who had acted as MMCT's sales intermediary for many years, MMCT retained the same ultimate client base for direct sales in 2022 but was unable to renew these sales contracts in 2023 just as it had entered new 5-year expenditure commitments for new marine services. MMCT faces a challanging outlook, but has plans to improve revenue and reduce expenses to improve gross profit and increase cash flows from operations. |
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As described in Note 2.3 to the accounts, the directors consider that, whilst a material uncertainty related to going concern exists, the Group will continue to be able to meet its liabilities as they fall due for at least 12 months from the date of their approval of these Group Accounts. |
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2022 |
2021 |
Financial key performance indicators |
£ |
£ |
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Turnover |
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20,730,150 |
19,719,888 |
Gross profit |
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1,142,105 |
2,230,752 |
(Loss)/profit for the year |
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(245,839) |
1,277,131 |
Net cash (outflow)/inflow from operating activities |
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(461,834) |
1,591,985 |
Cash at bank |
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213,480 |
1,970,342 |
Bank borrowing |
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- |
1,731,345 |
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As in previous years, the Group’s results are predominantly attributable to MMCT. Gross profit decreased in 2022 due to competitive pressures in the USA, leading to a net loss in that year, which is set to continue until sales volume and margins improve. MMCT repaid its bank borrowing in 2022 as planned but new finance may be required again in future. |
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This strategic report was approved by the board on 4 April 2024 and signed on its behalf by: |
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Erdoğan Erdoğan |
Director |
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Basis of opinion |
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We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditor’s responsibilities for the audit of the accounts section of our report. We are independent of the Group and the Company in accordance with the ethical requirements that are relevant to our audit of the accounts in the UK, including the FRC’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion. |
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Material uncertainty related to going concern |
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We draw attention to Note 2.3 in the accounts, which sets out matters which 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. |
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In auditing the accounts, we have concluded that the directors' use of the going concern basis of accounting in the preparation of the accounts is appropriate. |
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Our responsibilties and the responsibilties of the directors with respect to going concern are described in the relevant secions of this report. |
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Other information |
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The other information comprises the information included in the annual report other than the accounts and our auditor’s report thereon. The directors are responsible for the other information contained within the annual report. Our opinion on the accounts does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. |
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Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the accounts or our knowledge obtained in the course of the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the accounts themselves. 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. |
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Opinions on other matters prescribed by the Companies Act 2006 |
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In our opinion, based on the work undertaken in the course of the audit: |
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the information given in the strategic report and directors’ report for the financial year for which the accounts are prepared is consistent with the accounts; and |
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the strategic report and the directors’ report have been prepared in accordance with applicable legal requirements. |
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Matters on which we are required to report by exception |
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In the light of the knowledge and understanding of the Group and the Company and their environment obtained in the course of the audit, we have not identified material misstatements in the strategic report or the directors’ report. |
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We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 requires us to report to you if, in our opinion: |
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adequate accounting records have not been kept by the Company, or returns adequate for our audit have not been received from branches not visited by us; or |
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the Company's accounts are not in agreement with the accounting records and returns; or |
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certain disclosures of directors’ remuneration specified by law are not made; or |
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we have not received all the information and explanations we require for our audit. |
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Responsibilities of directors |
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As explained more fully in the directors’ responsibilities statement set out within the directors' report, the directors are responsible for the preparation of the accounts and for being satisfied that they give a true and fair view, and for such internal control as the directors determine is necessary to enable the preparation of accounts that are free from material misstatement, whether due to fraud or error. |
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In preparing the accounts, the directors are responsible for assessing the Group and the Company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the directors either intend to liquidate the Group or the Company or to cease operations, or have no realistic alternative but to do so. |
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Auditor’s responsibilities for the audit of the accounts |
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Our objectives are to obtain reasonable assurance about whether the accounts as a whole are 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 ISAs (UK) 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 these accounts. |
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Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud, is described below: |
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The Company comes within the audit requirement by reason of being part of a non-small group whereas it would have been exempt as an individually small company. In common with many other entities in the smaller spectrum, the Group and the Company currently operate simple accounting systems and controls which are inherently capable of override not least by the directors themselves. Therefore, in the absence of key controls relevant to our audit procedures, our audit approach primarily comprised of substantive tests of transactions and balances rather than compliance tests of systems and controls. |
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Whilst we expect this approach to be capable of detecting material irregularities, including fraud, the absence of a systematic control environment increases possibilities that some irregularities may escape detection. Irregularities that result from fraud may also be inherently more difficult to detect than irregularities that result from error. |
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Our work also includes a consideration of the legal and regulatory framework applicable to the entity and the sector in which it operates and whether there are any instances of non-compliance which may impact the accounts. |
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As part of our work, we discuss all our significant concerns or findings as to possible material misstatements with the directors with a view to corrective or preventative action. Such concerns or discoveries may not necessarily impact our audit report unless we judge that the truth and fairness of the accounts are affected, in which case we may modify our audit opinion in part or as a whole. Our opinion in our present report is not modified in these respects. |
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A further description of our responsibilities for the audit of the accounts is available on the Financial Reporting Council’s website at www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor’s report. |
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Use of our report |
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This report is made solely to the Company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the Company's members those matters we are required to state to them in an auditor's report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the Company and the Company's members as a body, for our audit work, for this report, or for the opinions we have formed. |
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Tuğrul Kaban |
Senior Statutory Auditor |
for and on behalf of |
Kaban & Company Ltd |
Chartered Accountants and Statutory Auditors |
Albany Chambers, 26 Bridge Road East, Welwyn Garden City, Hertfordshire, AL7 1HL |
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4 April 2024 |
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Imperial Mining, Minerals and Chemicals Trading UK Ltd |
Notes to the Accounts |
for the year ended 31 December 2022 |
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1 |
Company information |
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Imperial Mining, Minerals and Chemicals Trading UK Ltd (the 'Company') is a private company limited by shares, incorporated in England and registered at Unit 7, Kinetica, 13 Ramsgate Street, London, E8 2FD. |
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2 |
Accounting policies |
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2.1 Basis of preparation |
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The accounts have been prepared under the historical cost convention and in accordance with FRS 102, The Financial Reporting Standard applicable in the UK and Republic of Ireland. |
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2.2 Basis of consolidation |
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The accounts include the results and net assets of the Company and its subsidiaries (together the 'Group'). Intra-group transactions and balances are eliminated on consolidation. The Group Accounts are on the basis that the Group qualifies as a medium-sized Group. |
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2.3 Going concern |
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The Group made a loss in the year ended 31 December 2022 although the Group’s current assets still exceeded its current liabilities as at 31 December 2022. During the year ended 31 December 2023, the US subsidiary was unable to renew its customer contracts, which formed all its revenue base for the year ended 31 December 2022. Also during the year ended 31 December 2023, the US subsidiary entered into a new marine services purchase agreement which commits it to minimum annual expenditure of approximately $2 million for 5 years. The US subsidiary has plans to improve revenue and reduce expenses to improve gross profit and increase cash flows from operations. |
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The Group’s forecasts indicate that the US subsidiary will need to obtain significant new customer contracts or obtain new debt or equity financing in order for the Group to continue as a going concern for a period of at least 12 months from the date of the directors' approval of the Group Accounts. |
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The directors consider that, whilst a material uncertainty related to going concern exists, the Group will continue to be able to meet its liabilities as they fall due for at least 12 months from the date of their approval of these Group Accounts. The directors also confirm that their plans for future actions required to enable the Group to continue as a going concern are feasible. Therefore, the directors consider that the going concern basis remains appropriate for preparing the Group's Accounts. |
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2.4 Functional and presentation currency |
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The functional currency of each entity within the Group is that of the primary economic environment in which the entity operates. The presentation currency at Group level is Pound sterling ("£"). |
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2.5 Turnover |
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Turnover is measured at the fair value of the consideration received or receivable, net of discounts and value added taxes. Turnover includes revenue earned from the sale of goods and the rendering of services.Turnover from the sale of goods is recognised at the point of sale. Turnover from the rendering of services is recognised on completion of the service. |
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2.6 Tangible assets |
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Tangible fixed assets are measured at cost less accumulative depreciation and any accumulative impairment losses. Depreciation is provided on tangible fixed assets at rates calculated to write off the cost less estimated residual value of each asset evenly over its expected useful life, as follows: |
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Equipment |
over 4 - 5 years |
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2.7 Investments in subsidiaries |
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Investments in subsidiaries are measured at cost less any accumulative impairment losses. Subsidiaries are consolidated for the duration that the Group has control. Control comprises the power to govern the financial and operating policies of the investee so as to obtain benefit from its activities and is achieved through direct or indirect ownership of voting rights. The accounts of subsidiaries are prepared for the same reporting period as the Company and for the most part using consistent accounting policies. Where the accounting policies of the subsidiaries differ from those of the Company, they are aligned to the accounting policies of the Company for the purpose of the Group accounts. |
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2.8 Stocks |
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Stocks of goods held for resale are measured at the lower of cost and net realisable value, using the first-in-first-out method. Cost includes attributable costs of acquisition and sale. Provision is made for damaged, obsolete and slow-moving stock where appropriate. The carrying amount of stock sold is recognised as an expense in the period in which the related revenue is recognised. |
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2.9 Debtors |
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Short term debtors are measured at transaction price less any impairment losses for bad and doubtful debts. Longer term loans and other financial assets are initially recognised at transaction price including any transaction costs and subsequently measured at amortised cost determined using the effective interest method, less any impairment losses for bad and doubtful debts. |
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2.10 Creditors |
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Short term creditors are measured at transaction price. Longer term loans and other financial liabilities are initially recognised at transaction price net of any transaction costs and subsequently measured at amortised cost determined using the effective interest method. |
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2.11 Taxation |
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A current tax liability is recognised for the tax payable on the taxable profit of the current and past periods. A current tax asset is recognised in respect of a tax loss that can be carried back to recover tax paid in a previous period. Deferred tax is recognised in respect of all timing differences between the recognition of income and expenses in the accounts and their inclusion in tax assessments. Unrelieved tax losses and other deferred tax assets are recognised only to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. Deferred tax is measured using the tax rates and laws that have been enacted or substantively enacted by the reporting date and that are expected to apply to the reversal of the timing difference. Current and deferred tax assets and liabilities are not discounted. |
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2.12 Impairment |
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Assets not measured at fair value are reviewed for any indication that the asset may be impaired at each balance sheet date. If such indication exists, the recoverable amount of the asset, or the asset's cash generating unit, is estimated and compared to the carrying amount. Where the carrying amount exceeds its recoverable amount, an impairment loss is recognised in the profit and loss account unless the asset is carried at a revalued amount, in which case the impairment loss is a revaluation decrease. |
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2.13 Foreign currency translation |
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Transactions in foreign currencies are initially recognised at the rate of exchange ruling at the date of the transaction. At the end of each reporting period foreign currency monetary items are translated at the closing rate of exchange. Non-monetary items that are measured at historical cost are translated at the rate ruling at the date of the transaction. All differences are eliminated to the profit and loss account, except for translation differences on consolidation which are eliminated to the translation reserve. |
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2.14 Operating leases |
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Operating lease payments are recognised as an expense on a straight line basis over the lease term. |
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2.15 Key sources of estimation uncertainty, and signficiant judgments not involving estimation |
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The accounts preparation process of the US subsidiary did not include a full count of stocks at 31 December 2022 but was based on management's tracking of stock movement and estimates of stock shrinkage. There were no other key assumptions concerning the future or key sources of estimation uncertainty at the balance sheet date that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next financial year. There were no other signficant judgments, not involving estimation, made in the process of applying the Group's and the Company's accounting policies. |
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3 |
Company profit and loss account |
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The Company has taken the option provided in Section 408 of the Companies Act 2006 not to present its individual profit and loss account in addition to the Group profit and loss account that is presented. |
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GROUP |
GROUP |
4 |
Turnover |
2022 |
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2021 |
£ |
£ |
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Turnover analysis by activity and geographical area: |
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Soda ash sales in the USA |
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20,620,615 |
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19,681,923 |
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Representation fees in the UK and the EU |
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109,535 |
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37,965 |
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20,730,150 |
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19,719,888 |
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GROUP |
GROUP |
5 |
Employees and directors |
2022 |
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2021 |
£ |
£ |
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Directors' remuneration |
202,393 |
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6,399 |
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Directors' benefits-in-kind |
36,451 |
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28,132 |
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Staff salaries |
200,506 |
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- |
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Staff benefits-in-kind |
2,554 |
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- |
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Staff pensions contributions |
2,449 |
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- |
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Employer social security costs |
26,441 |
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- |
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470,794 |
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34,531 |
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Number of persons employed: |
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Management and administration |
3 |
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2 |
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Amounts attributable to highest paid director |
232,445 |
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28,132 |
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GROUP |
GROUP |
6 |
Interest expense |
2022 |
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2021 |
£ |
£ |
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Interest on bank loan |
12,789 |
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66,506 |
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GROUP |
GROUP |
7 |
(Loss)/profit before taxation |
2022 |
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2021 |
£ |
£ |
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(Loss)/profit before taxation is stated after charging: |
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Depreciation of tangible assets |
12,406 |
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7,965 |
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Operating lease rentals |
547,458 |
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54,946 |
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Auditor's remuneration - parent Company |
36,199 |
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14,618 |
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Auditor's remuneration - subsidiaries |
74,979 |
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- |
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Exchange differences |
644 |
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240 |
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GROUP |
GROUP |
8 |
Tax |
2022 |
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2021 |
£ |
£ |
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Tax on profit |
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Current tax: |
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UK corporation tax |
- |
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- |
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Non-UK tax |
21,502 |
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427,197 |
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Total current tax |
21,502 |
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427,197 |
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Deferred tax: |
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US reversal of temporary timing differences |
(30,391) |
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30,391 |
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Tax (relief)/charge on (loss)/profit |
(8,889) |
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457,588 |
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Reconciliation of current tax charge |
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(Loss)/profit before tax |
(254,728) |
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1,734,719 |
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Tax which would be due at 19% UK standard rate |
(48,398) |
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329,597 |
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Difference with actual tax is due to effects of: |
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Tax not arising on loss-making group companies |
56,764 |
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2,742 |
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Relief against losses brought forward |
(6,887) |
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(824) |
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Additional tax allowances available |
(39) |
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(47) |
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Expenses not deductable for tax purposes |
444 |
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511 |
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Prior year tax calculations adjustments |
20,014 |
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- |
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Tax rate differential of non-UK jurisdictions |
(396) |
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95,218 |
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Total current tax |
21,502 |
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427,197 |
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GROUP |
COMPANY |
9 |
Tangible assets |
2022 |
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2022 |
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£ |
£ |
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Cost |
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At 1 January 2022 |
92,900 |
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|
949 |
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At 31 December 2022 |
92,900 |
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|
949 |
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Depreciation |
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At 1 January 2022 |
22,816 |
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|
711 |
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Charge for the year |
12,406 |
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|
238 |
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At 31 December 2022 |
35,222 |
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|
949 |
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Net book value |
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At 31 December 2022 |
57,678 |
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|
- |
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At 31 December 2021 |
70,084 |
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|
238 |
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COMPANY |
10 |
Investments in subsidiaries |
2022 |
£ |
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Cost |
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At 1 January 2022 |
50,398 |
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At 31 December 2022 |
50,398 |
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Capital and |
Profit/(loss) |
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As at 31 December 2022 the Company holds 100% of |
reserves |
for the year |
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the ordinary share capital of the following companies: |
£ |
£ |
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Mining Mineral Commodity Trading LLC |
3,984,106 |
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(288,382) |
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Imperial Mining, Minerals and Chemicals GmbH |
30,371 |
|
34,491 |
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The registered address of Mining Mineral Commodity Trading LLC is 1675 South State Street, Suite B, Dover, Kent County, Delaware 19901, USA, and that of Imperial Mining, Minerals and Chemicals GmbH is Konigsallee 2b, 40212 Dusseldorf, Germany. |
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GROUP |
GROUP |
COMPANY |
COMPANY |
11 |
Stocks |
2022 |
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2021 |
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2022 |
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2021 |
£ |
£ |
£ |
£ |
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Soda ash held for resale |
982,397 |
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2,817,229 |
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- |
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- |
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GROUP |
GROUP |
COMPANY |
COMPANY |
12 |
Debtors |
2022 |
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2021 |
|
2022 |
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2021 |
£ |
£ |
£ |
£ |
|
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Trade debtors |
6,208,429 |
|
3,656,146 |
|
- |
|
8,818 |
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Amounts owed by group undertakings |
|
|
|
- |
|
- |
|
15,839 |
|
6,614 |
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Other debtors |
4,401 |
|
991,226 |
|
4,401 |
|
3,971 |
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Prepayments and accrued income |
98,782 |
|
114,818 |
|
63,847 |
|
15,117 |
|
|
|
|
|
|
6,311,612 |
|
4,762,190 |
|
84,087 |
|
34,520 |
|
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GROUP |
GROUP |
COMPANY |
COMPANY |
13 |
Creditors: amounts falling due within one year |
2022 |
|
2021 |
|
2022 |
|
2021 |
£ |
£ |
£ |
£ |
|
|
Bank loan |
- |
|
1,731,345 |
|
- |
|
- |
|
Trade creditors |
2,876,088 |
|
3,332,756 |
|
- |
|
1,248 |
|
Taxation and social security |
|
|
|
|
559,863 |
|
613,283 |
|
- |
|
- |
|
Other creditors |
81,019 |
|
69,879 |
|
80,917 |
|
64,378 |
|
Accruals and deferred income |
87,787 |
|
72,259 |
|
70,617 |
|
55,435 |
|
|
|
|
|
|
3,604,757 |
|
5,819,522 |
|
151,534 |
|
121,061 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
14 |
Changes in net debt |
Bank |
Cash |
Net |
loan |
at bank |
surplus/(debt) |
£ |
£ |
£ |
|
GROUP |
|
At 1 January 2022 |
(1,731,345) |
|
1,970,342 |
|
238,997 |
|
Bank loan repayments |
1,731,345 |
|
- |
|
1,731,345 |
|
Cash flows |
- |
|
(1,756,862) |
|
(1,756,862) |
|
At 31 December 2022 |
- |
|
213,480 |
|
213,480 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
COMPANY |
|
At 1 January 2022 |
- |
|
24,184 |
|
24,184 |
|
Cash flows |
(10,804) |
|
(10,804) |
|
At 31 December 2022 |
- |
|
13,380 |
|
13,380 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
GROUP |
GROUP |
COMPANY |
COMPANY |
15 |
Share capital |
2022 |
|
2021 |
|
2022 |
|
2021 |
£ |
£ |
£ |
£ |
|
Allotted, called up and fully paid: |
|
100 Ordinary shares of £1 each |
100 |
|
100 |
|
100 |
|
100 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
GROUP |
GROUP |
COMPANY |
COMPANY |
16 |
Translation reserve |
2022 |
|
2021 |
|
2022 |
|
2021 |
£ |
£ |
£ |
£ |
|
|
At 1 January 2022 |
(41,545) |
|
(82,633) |
|
- |
|
- |
|
Currency differences arising on consolidation |
436,317 |
|
41,088 |
|
- |
|
- |
|
At 31 December 2022 |
394,772 |
|
(41,545) |
|
- |
|
- |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
GROUP |
GROUP |
COMPANY |
COMPANY |
17 |
Retained earnings |
2022 |
|
2021 |
|
2022 |
|
2021 |
£ |
£ |
£ |
£ |
|
|
At 1 January 2022 |
3,811,377 |
|
2,534,246 |
|
(11,821) |
|
5,054 |
|
(Loss)/profit for the year |
(245,839) |
|
1,277,131 |
|
8,052 |
|
(16,875) |
|
At 31 December 2022 |
3,565,538 |
|
3,811,377 |
|
(3,769) |
|
(11,821) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
18 |
Events after the reporting date |
|
|
During the year ended 31 December 2023, the US subsidiary was unable to renew its customer contracts, which formed all its revenue base for the year ended 31 December 2022. Also during the year ended 31 December 2023, the US subsidiary entered into a new marine services purchase agreement which commits it to minimum annual expenditure of approximately $2 million for 5 years. The German subsidiary left the Group on 29 February 2024. |
|
|
GROUP |
GROUP |
COMPANY |
COMPANY |
19 |
Commitments under leases |
2022 |
|
2021 |
|
2022 |
|
2021 |
£ |
£ |
£ |
£ |
|
Total future minimum payments under non-cancellable operating leases falling due: - |
|
Not later than one year |
426,728 |
|
398,993 |
|
- |
|
- |
|
Later than one year and not later than five years |
1,661,267 |
|
1,493,906 |
|
- |
|
- |
|
Later than five years |
415,317 |
|
742,004 |
|
- |
|
- |
|
|
|
|
|
|
2,503,312 |
|
2,634,903 |
|
- |
|
- |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
GROUP |
GROUP |
COMPANY |
COMPANY |
20 |
Related parties |
2022 |
|
2021 |
|
2022 |
|
2021 |
£ |
£ |
£ |
£ |
|
|
The Group and the Company had the following transactions during the year and outstanding balances at the end of the year with related parties. All related party transactions were carried out under normal market conditions. Outstanding debtor and creditor balances are interest-free and unsecured. |
|
|
Transactions with entities outside the Group but under the control of the same ultimate beneficial owner: |
|
Turnover |
|
|
|
109,534 |
|
19,659,747 |
|
62,517 |
|
30,277 |
|
Cost of sales |
|
|
|
|
12,566,233 |
|
12,850,439 |
|
- |
|
- |
|
Administrative expenses |
|
|
|
503,580 |
|
50,135 |
|
- |
|
- |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Balances with entities outside the Group but under the control of the same ultimate beneficial owner: |
|
Trade debtors |
|
|
|
61,362 |
|
3,595,621 |
|
- |
|
8,818 |
|
Other debtors |
|
|
|
- |
|
986,401 |
|
- |
|
1,886 |
|
Accrued income |
|
|
|
|
95,770 |
|
18,896 |
|
63,847 |
|
15,117 |
|
Trade creditors |
|
|
|
2,531,400 |
|
3,286,185 |
|
- |
|
- |
|
Other creditors |
|
|
|
44,313 |
|
34,902 |
|
44,313 |
|
29,695 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Balances with the immediate controlling party: |
|
Other debtors |
|
|
|
|
2,481 |
|
- |
|
2,481 |
|
- |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Balances with the ultimate beneficial owner: |
|
Other creditors |
33,829 |
|
33,829 |
|
33,829 |
|
33,829 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Balances with key management personnel: |
|
Other creditors |
2,774 |
|
854 |
|
2,774 |
|
854 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
21 |
Controlling party |
|
|
The Company is a wholly owned subsidiary of Mining, Minerals and Chemicals Ltd (the 'immediate controlling party'), registered at Palm Grove House, PO Box 438, Road Town, Tortola, British Virgin Islands. The ultimate beneficial owner is Mr Turgay Ciner. |