RE: Boom Time!20 Jan 2022 21:17
As an outside chance, they may get an extension of the licences without further work obligations, but they need to demonstrate funding as a going concern. It means the licences will sit idle for another 3 year period. However, they do say they need to demonstrate they can meet their financial obligations under the terms of the licences.
30th September 2020
Chief Executive's Statement
The current phase of the Company's Falkland Islands Production Licences (PL018, PL019, PL020) and its Discovery Area Licence are due to expire at the end of January 2022. An application has been submitted to the Falkland Islands Executive Council requesting an extension to all licences. As part of the approval process the Company will have to demonstrate that it can meet its financial obligations under the terms of the licences.
For the six-month reporting period up until 30 June 2021, Borders & Southern incurred a loss from operations of $446,000 (loss for the same period in 2020 was $721,000). Administrative expenses were $546,000 (2020: $579,000). The cash balance at 30 June 2021 was $1.35 million compared with a balance of $2.56 million at 30 June 2020. The Company has no debt.
Given the decreasing cash balance, it is likely that additional funds will be sought before the end of January 2022 in order to meet licence and working capital needs and in order to meet the "going concern" tests of the 2021 year-end audit.
During the last six months the Company has undertaken a re-marketing initiative to attract partners. This work is in progress. We have always emphasised the outstanding sub-surface characteristics of the project, the quality of the reservoir and its exceptional imaging, but to support the current farmout, technical work has focused on defining different development options, early production possibilities and minimising the environmental impact of a development.
Sign In
Follow the stocks
