REGISTERED NUMBER: |
UNAUDITED FINANCIAL STATEMENTS |
FOR THE YEAR ENDED 30 APRIL 2023 |
FOR |
SOSINA EXPLORATION LTD |
REGISTERED NUMBER: |
UNAUDITED FINANCIAL STATEMENTS |
FOR THE YEAR ENDED 30 APRIL 2023 |
FOR |
SOSINA EXPLORATION LTD |
SOSINA EXPLORATION LTD (REGISTERED NUMBER: 03346143) |
CONTENTS OF THE FINANCIAL STATEMENTS |
FOR THE YEAR ENDED 30 APRIL 2023 |
Page |
Company Information | 1 |
Balance Sheet | 2 |
Notes to the Financial Statements | 3 | to | 5 |
Chartered Accountants' Report | 6 |
SOSINA EXPLORATION LTD |
COMPANY INFORMATION |
FOR THE YEAR ENDED 30 APRIL 2023 |
DIRECTORS: |
SECRETARY: |
REGISTERED OFFICE: |
REGISTERED NUMBER: |
ACCOUNTANTS: |
Chartered Accountants |
4 West Craibstone Street |
Bon-Accord Square |
ABERDEEN |
AB11 6YL |
SOSINA EXPLORATION LTD (REGISTERED NUMBER: 03346143) |
BALANCE SHEET |
30 APRIL 2023 |
2023 | 2022 |
Notes | £ | £ |
CURRENT ASSETS |
Debtors | 5 |
Cash at bank |
CREDITORS |
Amounts falling due within one year | 6 |
NET CURRENT LIABILITIES | ( |
) | ( |
) |
TOTAL ASSETS LESS CURRENT LIABILITIES |
( |
) |
( |
) |
CAPITAL AND RESERVES |
Called up share capital |
Share premium |
Retained earnings | ( |
) | ( |
) |
( |
) | ( |
) |
The directors acknowledge their responsibilities for: |
(a) | ensuring that the company keeps accounting records which comply with Sections 386 and 387 of the Companies Act 2006 and |
(b) | preparing financial statements which give a true and fair view of the state of affairs of the company as at the end of each financial year and of its profit or loss for each financial year in accordance with the requirements of Sections 394 and 395 and which otherwise comply with the requirements of the Companies Act 2006 relating to financial statements, so far as applicable to the company. |
In accordance with Section 444 of the Companies Act 2006, the Income Statement has not been delivered. |
The financial statements were approved by the Board of Directors and authorised for issue on |
SOSINA EXPLORATION LTD (REGISTERED NUMBER: 03346143) |
NOTES TO THE FINANCIAL STATEMENTS |
FOR THE YEAR ENDED 30 APRIL 2023 |
1. | STATUTORY INFORMATION |
Sosina Exploration Ltd is a |
2. | ACCOUNTING POLICIES |
Basis of preparing the financial statements |
Intangible assets - exploration and appraisal costs |
The company applies the successful efforts method of accounting for exploration and appraisal costs having regard to the requirements of IFRS 6 - "Exploration for and Evaluation of Mineral Resources". |
Under the successful efforts method of accounting, all licence acquisition costs and the direct costs of exploration and appraisal activities are initially capitalised as intangible assets, pending determination of the existence of commercial reserves in the licence area. Such costs are classified as intangible assets based on the nature of the underlying asset, which does not have proven physical substance. Once commercial reserves are determined to exist and the technical feasibility of extraction and commercial viability can be demonstrated, the related capitalised exploration/appraisal costs are first tested for impairment and the resulting carrying value is transferred to development and production assets within property,plant and equipment and depreciated over their useful economic lives. |
Exploration costs are not amortised prior to the conclusion of appraisal activities. |
If after completion of appraisal activities in an area, it is not possible to determine the technical feasibility and commercial viability, or of the company decides not to continue exploration activity, the costs of unsuccessful exploration and appraisal are written off to the Income Statement and retained earnings in the period the relevant events occur. |
Expenditure incurred prior to the acquisition of a licence is written off to the Income Statement and retained earnings. |
An impairment test is performed whenever events and circumstances arising during the development stage indicate that the carrying value of a development asset may exceed its recoverable amount. The carrying value is compared against the expected recoverable amount of the asset, generally by reference to the future net cash flows expected to be derived from production of commercial reserves. An impairment identified is charged to the Income Statement and retained earnings. |
Intangible assets - exploration software |
All exploration software is recorded at cost, net of amortisation and any provision for impairment. Exploration software is now fully amortised. |
Taxation |
Taxation for the year comprises current and deferred tax. Tax is recognised in the Income Statement, except to the extent that it relates to items recognised in other comprehensive income or directly in equity. |
Current or deferred taxation assets and liabilities are not discounted. |
Current tax is recognised at the amount of tax payable using the tax rates and laws that have been enacted or substantively enacted by the balance sheet date. |
Deferred tax |
Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the balance sheet date. |
Timing differences arise from the inclusion of income and expenses in tax assessments in periods different from those in which they are recognised in financial statements. Deferred tax is measured using tax rates and laws that have been enacted or substantively enacted by the year end and that are expected to apply to the reversal of the timing difference. |
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. |
SOSINA EXPLORATION LTD (REGISTERED NUMBER: 03346143) |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 30 APRIL 2023 |
2. | ACCOUNTING POLICIES - continued |
Going concern |
The directors do not consider it to be appropriate to adopt the going concern basis of accounting in preparing the financial statements, and accordingly they have been prepared on a basis other than going concern. |
Adopting a basis other than going concern has meant that assets are written down to their net realisable values.The company's intangible assets are therefore fully impaired at the date of these accounts. There has been no impact on the recognition or measurement of the company's assets or liabilities. The financial statements do not include any provision for future costs of terminating the business. |
Foreign currencies |
Transactions in foreign currencies are translated into sterling at the rate of exchange ruling at the date of the transaction. Monetary assets and liabilities in foreign currencies are translated into sterling at the rates of exchange ruling at the balance sheet date. Exchange differences then arising are taken into account in arriving at the operating result. |
3. | EMPLOYEES AND DIRECTORS |
The average number of employees during the year was NIL (2022 - NIL). |
4. | INTANGIBLE FIXED ASSETS |
Other |
intangible |
assets |
£ |
COST |
At 1 May 2022 |
and 30 April 2023 |
AMORTISATION |
At 1 May 2022 |
and 30 April 2023 |
NET BOOK VALUE |
At 30 April 2023 |
At 30 April 2022 |
During the year to 30 April 2023, the company recognised an impairment charge of £10,563 ( 2022: £1,631,910) on its exploration and appraisal cost, representing the write-down of the company's exploration assets to net realisable value following the directors' decision to prepare the financial statements on a basis other than going concern. |
5. | DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
2023 | 2022 |
£ | £ |
Other debtors |
6. | CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
2023 | 2022 |
£ | £ |
Trade creditors |
Amounts owed to group undertakings |
Other creditors |
SOSINA EXPLORATION LTD (REGISTERED NUMBER: 03346143) |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 30 APRIL 2023 |
7. | RELATED PARTY DISCLOSURES |
During the year, the company made purchases of £nil (2022: £nil) and accrued interest of £188,431 (2022: £166,858) from a related party under common control. |
At the year-end a loan of £4,915,332 (2022: £4,528,021) was due by the company to a related party under common control. This loan is unsecured and repayable on demand. Interest is charged at 4% per annum. |
During the year, the company purchased legal services with a market value of £520 (2022: £4,776) from a firm where a director is also a partner. |
8. | ULTIMATE CONTROLLING PARTY |
The ultimate controlling party is |
The company's immediate and ultimate parent undertaking is OD-S Holding A/S, which is incorporated in Denmark with the registered office at c/o Nyborg & Rordam Advokatfirma P/S, Store Kongensgade 77, 1264 Kobenhavn K, Denmark. The consolidated financial statements of OD-S Holding A/S can be obtained from its registered office. |
OD-S Holding A/S is this company's controlling party by virtue of its 90.80% shareholding. OD-S Holding A/S is under the control of John Odegaard and Ulrik Danneskiold-Samsoe. |
CHARTERED ACCOUNTANTS' REPORT TO THE BOARD OF DIRECTORS |
ON THE UNAUDITED FINANCIAL STATEMENTS OF |
SOSINA EXPLORATION LTD |
The following reproduces the text of the report prepared for the directors in respect of the company's annual unaudited financial statements. In accordance with the Companies Act 2006, the company is only required to file a Balance Sheet. Readers are cautioned that the Income Statement and certain other primary statements and the Report of the Directors are not required to be filed with the Registrar of Companies. |
In order to assist you to fulfil your duties under the Companies Act 2006, we have prepared for your approval the financial statements of Sosina Exploration Ltd for the year ended 30 April 2023 which comprise the Income Statement, Balance Sheet and the related notes from the company's accounting records and from information and explanations you have given us. |
As a practising member firm of ICAS, we are subject to its ethical and other professional requirements which are detailed at http://www.icas.com/accountspreparationguidance. |
This report is made solely to the Board of Directors of Sosina Exploration Ltd, as a body, in accordance with our terms of engagement. Our work has been undertaken solely to prepare for your approval the financial statements of Sosina Exploration Ltd and state those matters that we have agreed to state to the Board of Directors of Sosina Exploration Ltd, as a body, in this report in accordance with the requirements of ICAS as detailed at http://www.icas.com/accountspreparationguidance. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the company and its Board of Directors, as a body, for our work or for this report. |
It is your duty to ensure that Sosina Exploration Ltd has kept adequate accounting records and to prepare statutory financial statements that give a true and fair view of the assets, liabilities, financial position and loss of Sosina Exploration Ltd. You consider that Sosina Exploration Ltd is exempt from the statutory audit requirement for the year. |
We have not been instructed to carry out an audit or a review of the financial statements of Sosina Exploration Ltd. For this reason, we have not verified the accuracy or completeness of the accounting records or information and explanations you have given to us and we do not, therefore, express any opinion on the statutory financial statements. |
Chartered Accountants |
4 West Craibstone Street |
Bon-Accord Square |
ABERDEEN |
AB11 6YL |