Source - RNS
RNS Number : 4286N
Path Investments plc
18 January 2019
 

18 January 2019

Path Investments plc

("Path" or the "Company")

 

Interim Results for the six months to 30 June 2018

 

Path Investments plc (TIDM: PATH), the energy investment company, announces its interim results for the six months to 30 June 2018.

 

There was no revenue in the period as activities were focused on completing the previously announced proposed transaction with 5P Energy GmbH ("5P").  However, as announced post period end on 5 November 2018, 5P decided not to continue with the Conditional Farm-In Agreement signed in December 2017.

 

Following the termination of the proposed transaction with 5P the Company sought alternative investment opportunities and the Company is pleased to have announced earlier today that it has entered into a Heads of Agreement with ARC Marlborough Pty Limited ("ARC") regarding the proposed acquisition of ARC by the Company (the "Proposed Transaction").

 

Whilst the reported loss before tax for the six months ended 30 June 2018 was £483,418 (H1 2017 profit of £73,048), during the period the Company sought to minimise its cash costs through the deferment of director's salaries and other cost saving measures.  As at 30 June 2018 the Company held cash of £30,734 (31 December 2017 £159,505).

 

Commenting, Christopher Theis, Chief Executive of Path, said: "We were very disappointed that 5P decided not to complete the Farm-In Agreement, particularly when we had secured Institutional funding to do so. Nevertheless, we are delighted to have entered into the Heads of Agreement with ARC.  We believe the Proposed Transaction is one that can deliver significant value for Path shareholders."

 

Enquiries:

Path Investments plc

Christopher Theis

Andy Yeo

020 3934 6630

 

 

Shard Capital (Broker and Financial Adviser)

Simon Leathers

Damon Heath

 

020 7186 9900

IFC Advisory (Financial PR & IR)

Tim Metcalfe

Heather Armstrong

Miles Nolan

 

020 3934 6630

 

STATEMENT OF COMPREHENSIVE INCOME

FOR THE SIX MONTHS ENDED 30 JUNE 2018

 

 

 

 

 

 

Notes

Six months ended

30 June

Six months ended

30 June

Year ended 31 December

 

 

2018

2017

2017

 

 

Unaudited

Unaudited

Audited

 

 

£

£

£

Administrative expenses

3

(483,492)

110,543

(585,533)

Total administrative expenses

 

(483,492)

110,543

(585,533)

 

 

 

 

 

 

 

 

 

 

Operating (loss)/profit

 

(483,492)

110,543

(585,533)

 

 

 

 

 

Finance income

 

74

5

56

Finance cost

 

-

(37,500)

(38,500)

 

 

 

 

 

(Loss)/profit on ordinary activities before taxation

 

(483,418)

73,048

(623,977)

 

 

 

 

 

Tax on (loss)/profit on ordinary activities

 

-

-

-

 

 

 

 

 

(Loss)/profit for the period and total comprehensive (loss)/profit for period

 

(483,418)

73,048

(623,977)

 

 

 

 

 

 

 

 

 

 

(Loss)/profit per share (pence)

 

 

 

 

- Basic & diluted

4

(0.25)

0.067

(0.42)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

All operating income and operating gains and losses relate to continuing activities.

STATEMENT OF CHANGES IN EQUITY

FOR THE SIX MONTHS ENDED 30 JUNE 2018

 

 

 

 

Share Capital

Share Premium

Share

based payments reserve

Retained earnings

Total

 

£

£

£

£

£

As at 1 January 2018                          

8,979,767

25,413,617

-

(34,407,084)

(13,700)

Comprehensive income

Loss for the period

 

-

 

-

 

-

 

(483,418)

 

(483,418)

 

 

 

 

 

 

As at 31 June 2018                        

8,979,767

25,413,617

-

(34,890,502)

(497,118)

 

 

 

 

 

Share Capital

Share Premium

Share

based payments reserve

Retained earnings

Total

 

£

£

£

£

£

As at January 2017                              

8,805,838

24,134,750

715,752

(34,902,611)

(1,246,271)

Comprehensive income

Loss for the period

 

-

 

-

 

-

 

(623,977)

 

(623,977)

Issue of share capital

173,929

1,565,363

--

-

1,739,292

Issue costs

-

(286,496)

-

-

(286,496)

Lapsed or waived share options

-

-

(382,479)

382,479

-

Transfer to retained reserves

-

-

(333,273)

333,273

-

Share based payment

-

-

-

403,752

403,752

As at 31 December 2017                           

8,979,767

25,413,617

-

(34,407,084)

(13,700)

 

 

 

 

Share Capital

Share Premium

Share

based payments reserve

Retained earnings

Total

 

£

£

£

£

£

As at 1 January 2017                            

8,805,837

24,134,750

715,752

(34,902,611)

(1,246,272)

Comprehensive income

Profit for the period

 

-

 

--

 

--

 

73,048

 

73,048

Issue of share capital

173,930

1,565,363

--

-

1,739,293

Share issue costs

-

(283,088)

-

-

(283,088)

Waived share options

-

--

(382,479)

382,479

-

Transfer to retained reserves

-

--

(333,273))

333,273

-

Share based payment

-

--

-

298,290

298,290

As at 30 June 2017                              

8,979,767

25,417,025

--

(33,815,521)

581,271

 

The Share Capital represents the nominal value of the equity shares.

 

The Share Premium represents the amount subscribed for share capital, in excess of the nominal amount, less costs directly relating to the issue of shares.

The Share Based Payments reserve represents the fair value of the equity settled share option scheme.

The Retained Earnings reserve represents the cumulative net gains and losses less distributions made.

 

 

 

STATEMENT OF FINANCIAL POSITION

FOR THE SIX MONTHS ENDED 30 JUNE 2018

 

 

 

Notes

As at

30 June

2018

As at

30 June

2017

As at

31 December

2017

 

 

Unaudited

Unaudited

Audited

 

 

£

£

  £

 

 

 

 

 

ASSETS

 

 

 

 

Current assets

 

 

 

 

Trade and other receivables

 

-

7,199

8,978

Cash and cash equivalents

 

30,734

586,726

159,505

 

 

30,734

593,925

168,483

LIABILITIES

 

 

 

 

Current liabilities

 

 

 

 

Trade and other payables

5

(527,852)

(12,654)

(182,183)

Net Current (Liabilities)Assets

 

(497,118)

581,271

(13,700)

 

 

 

 

 

NET (LIABILITIES)ASSETS

 

(497,118)

581,271

(13,700)

 

SHAREHOLDERS' EQUITY

 

 

 

 

Called up share capital

6

195,943

195,943

195,943

Deferred shares

6

8,783,824

8,783,824

8,783,824

Share premium account

 

25,413,617

25,417,025

25,413,617

Retained earnings

 

(34,890,502)

(33,815,521)

(34,407,084)

TOTAL EQUITY

 

(497,118)

581,271

(13,700)

 

 

 

 

 

 

STATEMENT OF CASH FLOWS

FOR THE SIX MONTHS ENDED 30 JUNE 2018

 

 

 

Six months to 30 June 2018

Six months to 30 June 2017

Year ended 31 December

2017

 

 

Unaudited

Unaudited

Audited

 

 

£

£

£

Operating (loss)/profit

 

(483,492)

110,543

(585,533)

Decrease in debtors

 

8,978

83,500

81,722

Increase/(decrease) in creditors within one year

 

345,669

(1,347,989)

(1,178,462)

Share based payment

 

-

298,290

403,755

Convertible loan note interest

 

-

(37,500)

(38,500)

 

 

 

 

 

Net cash outflow from operating activities

 

(128,845)

(893,156)

(1,317,018)

 

 

 

 

 

 

 

 

 

 

Cash flows from investing activities

 

 

 

 

Interest received

 

74

5

56

Net cash generated from investing activities

 

74

5

56

 

 

 

 

 

Cash flows from financing activities

 

 

 

 

Net proceeds from the issue of ordinary shares

 

-

1,456,205

1,452,795

Net cash inflow from financing activities

 

-

1,456,205

1,452,795

 

 

 

 

 

Net (decrease)/increase in cash and cash equivalents

 

(128,771)

563,054

135,833

Cash and cash equivalents at beginning of period

 

159,505

23,672

23,672

Cash and cash equivalents at end of period

 

30,734

586,726

159,505

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

  

 

1.         GENERAL INFORMATION

 

Path Investments Plc is a public limited company incorporated in the United Kingdom, registered under company number 04006413. The address of the registered office is Aston House, Cornwall Avenue, London, N3 1LF. The principal activity of the Company is the investment in oil and gas production and development assets.

 

 

 

2.         ACCOUNTING POLICIES

 

2.1    Basis of preparation

 

The financial statements are presented in UK Sterling and all values are rounded to the nearest pound except where indicated otherwise.

 

The financial statements have been prepared under the historical cost convention or fair value where appropriate. 

 

The results for the six months to 30 June 2018 have been prepared on the basis of the accounting policies set out in the company's 2017 annual report and accounts. The interim accounts do not constitute statutory accounts as defined by section 434 of the Companies Act 2006. The auditor has reported on the 2017 accounts and the report was unqualified and did not contain a statement under section 498(2) of (3) of the Companies Act 2006. The company's 2017 report and accounts have been filed with the registrar of companies.

 

During the period, there have been no changes in the nature of the related party transactions from those described in the company's 2017 accounts.

 

The results for the six months are unaudited.

 

2.2       Responsibility statement

The directors confirm that these condensed interim financial statements have been prepared in accordance with International Accounting Standard 34 "Interim Financial Reporting", as adopted by the European Union and as issued by the IASB and that the interim management report includes a fair review of the information required by DTR 4.2.7 and DTR 4.2.8, namely;

 

a)     An indication of the important events that have occurred during the first six months and their impact on the condensed set of financial statements, and a description of the principal risks and uncertainties for the remaining six months of the financial year; and

 

b)     Material related party transactions in the first six months and any material changes in related party transactions described in the last annual report.

 

 

3.         ADMINISTRATIVE EXPENSES

 

 

Six months to 30 June 2018

Six months to 30 June 2017

Year ended 31 December

2017

 

Unaudited

Unaudited

Audited

 

£

£

£

Directors remuneration

131,960

(824,837)

(620,838)

Share based payment

-

298,291

400,346

Other administrative expenses

351,532

416,003

806,025

 

483,492

(110,543)

585,533

 

Included in Directors Remuneration for the period ended 30 June 2017 and the year ended 31 December 2017 are previously accrued remuneration of £940,905 which have been waived.

 

Included in Directors remuneration for the period ended 30 June 2018 are accrued salaries of £95,781.

 

 

4.         LOSS PER SHARE

The calculation of the basic and diluted loss per share is based on the loss on ordinary activities after taxation of and on the weighted average number of ordinary shares in issue.

 

There was no dilutive effect from the share options or convertible loan notes outstanding during the period.

 

In order to calculate the diluted earnings per share, the weighted average number of ordinary shares in issue is adjusted to assume conversion of all dilutive potential ordinary shares according to IAS33. Dilutive potential ordinary shares include convertible loan notes and share options granted to Directors and consultants where the exercise price (adjusted according to IAS 33) is less than the average market price of the Company's ordinary shares during the period.

 

 

 

 

Six months to 30 June 2018

Six months to 30 June 2017

Year ended 31 December

2017

 

Unaudited

Unaudited

Audited

 

£

£

£

Net (loss)profit for the period

(483,418)

110,543

(623,977)

 

 

 

 

The weighted average number of shares in the period were:

 

 

 

 

 

 

 

Basic and dilutive ordinary shares

195,943,802

108,274,675

149,164,700

 

 

 

 

Basic and dilutive (loss)/profit per share (pence)

(0.25)

0.067

(0.42)

 

 

 

 

5.         TRade and other payables

 

 

As at 30 June 2017

As at 30 June 2017

As at 31 December 2016

 

Unaudited

Unaudited

Audited

 

 

£

£

 

 

 

 

Trade payables

168,319

376

38,711

Taxation and social security

-

9,653

8,542

Other payables

68,000

-

-

Accruals and deferred income

291,533

2,625

134,930

 

527,852

12,654

182,183

 

 

 

 

6.         SHARE Capital

 

 

 

 

 

 

 

 

 

 

 

Unaudited

Unaudited

Unaudited

Unaudited

Allotted, called up and fully paid

 

 

no

£

no

£

 

 

 

Ordinary Shares of 0.1p each

Ordinary Shares of 0.1p each

Deferred Share of 39.9p each

Deferred Share of 39.9p each

At 1 January 2017

 

 

22,014,596

22,014

22,014,596

8,783,824

Share issues

 

 

 

 

 

 

On 22 March 2017, the company issued 140,000,000 Ordinary shares at 1p each

 

 

140,000,000

 

140,000

 

 

On 16 May 2017, the company issued 20,300,000 Ordinary shares at 1p each on conversion of unsecured loan stock 2016

 

 

20,300,000

 

20,300

 

 

On 16 May 2017, the company issued 13,629,206 Ordinary shares at 1p each in settlement of various invoices from the company's advisers.

 

 

13,629,206

 

13,630

 

 

 

 

 

                     

                   

                     

                     

As at 30 June 2017(unaudited), (December 2017 (audited) and June 2018 (unaudited)

 

195,943,802

195,943

22,014,596

8,783,824

 

 

 

                    

                  

                    

                  

 


This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact [email protected] or visit www.rns.com.
 
END
 
 
IR BRMATMBIBBIL