30 Sep 2009 15:45
30 September 2009
CASPIAN HOLDINGS PLC
INTERIM RESULTS FOR THE SIX MONTHS ENDED 30TH JUNE 2009
Caspian Holdings (the "Company"), the oil and gas development company with assets in the USA and Kazakhstan, announces its interim results for the 6 months to 30 June 2009.
Highlights
Debt for Equity Swap Agreement Approved by Shareholders
Operating loss reduced substantially reduced to £21,871 (2008 loss £ £299,449)
Events since the balance sheet date
Completion of Debt for Equity Swap
An extract of the Interim results for the Company for the six months ended 30 June 2009 is presented below. A full version of these will be available on the Company website www.caspianoil.co.uk
Enquiries:
| Caspian Holdings Plc | Grant Thornton UK LLP | Hoodless Brennan |
| Michael Masterman | Fiona Owen | |
| T: +44 (0) 7791 288381 | T: +44 (0) 20 7383 5100 | T: +44 (0) 20 7538 1166 |
| www.caspianoil.co.uk |
Chairmans Statement
The current year has been challenging for Caspian Holdings Plc (the "Company"). The Company reached an agreement to convert its outstanding loan notes and major creditor positions to equity at an issue price of £0.005. At the Annual General Meeting of the Company held on 29 June 2009, the Shareholders approved the debt equity swap, which resulted in the issue of 230,423,326 shares and the removal of major liabilities from the balance sheet, and helped improve the financial position of the Company, post the close of the financial period under review.
Further to the announcement of 10 August 2009, after some short administrative delays, the Company continues to progress the sale of the core and non core field equipment at Zhengeldy. Progress is slowly being made towards initial equipment sales and shareholders will be kept upto date with progress. In the event that equipment sale realisation is delayed or becomes problematic, then the Company would need to raise capital to continue to meet its obligations when they fall due. The Company will keep the market updated on any the development on the sale of the assets.
The interim financial results reflect a period of the low activity of the Company. Costs have been reduced in line with activity. For the six months to 30 June 2009 the financial results show a loss after taxation of £74,539 compared to £1,176,224 in the previous year.
CASPIAN HOLDINGS Plc - GROUP INCOME STATEMENT
FOR THE SIX MONTHS ENDED 30 JUNE 2009
| Unaudited Six Months to 30 June | Unaudited Six Months to 30 June | Audited Year to 31 December | ||||
| Notes | 2009 | 2008 | 2008 | |||
| TURNOVER | 2 | - | 48,870 | 48,870 | ||
| Cost of sales | - | (110,093) | (110,093) | |||
| GROSS LOSS Administrative expenses | - (21,871) | (61,223) (238,226) | (61,223) (4,261,265) | |||
| OPERATING LOSS | (21,871) | (299,449) | (4,322,488) | |||
| Exchange gains/losses in period Adjustment in fair values of fixed assets Provisions created in period Deferrals created in the period Finance income | (38,163) - - - 4 | 143,838 (1,000,000) (15,120) 11,128 1,148 | - - - - - | |||
| Finance costs | (14,509) | (17,769) | (74,658) | |||
| LOSS BEFORE TAXATION | (74,539) | (1,176,224) | (4,397,146) | |||
| Taxation | 3 | - | - | - | ||
| RETAINED LOSS FOR THE FINANCIAL PERIOD | 5 | £(74,539) | £(1,176,224) | £(4,397,146) | ||
| Basic and diluted profit/(loss) per share | 4 | (0.05)p | (1.15)p | (2.52)p | ||
CASPIAN HOLDINGS Plc - GROUP BALANCE SHEET
as at 30 JUNE 2009
| Notes | Unaudited 30 June 2009 | Unaudited 30 June 2008 | Audited31 December 2008 | ||
| ASSETS NON-CURRENT ASSETS | |||||
| Goodwill Intangible assets | 242,895 - | - 145,354 | 278,242 - | ||
| Property, plant and equipment | - | 2,144,132 | - | ||
| 242,895 | 2,289,486 | 278,242 | |||
| CURRENT ASSETS | |||||
| Inventories | - | 211,477 | - | ||
| Trade and other receivables | 8,533 | 767,174 | 23,598 | ||
| Cash and cash equivalents | 1,324 | 246,412 | 36,918 | ||
| 9,857 |
1,225,063 | 60,516 | |||
| LIABILITIES CURRENT LIABILITIES Bank Overdraft Trade and other payables Financial liabilities - borrowings Interest bearing loans and borrowings Provisions | 2,955 471,340 799,969 - 1,274,264 | - 535,782 - 50,297 586,079 | - 532,762 799,969 - 1,332,731 | ||
| NETCURRENTASSETS/(LIABILITIES) | (1,264,407) | 638,984 | (1,272,215) | ||
| NON CURRENT LIABILITIES Trade and other payables Financial liabilities - borrowings Interest bearing loans and borrowings | - - - | 91,468 799,969 891,437 | - - - | ||
| NET ASSETS/(LIABILITIES) | £(1,021,512) | £2,037,033 | £(993,973) | ||
| SHAREHOLDERS EQUITY Called up share capital | 5 | 132,818 | 118,399 | 124,649 | |
| Share premium account Revaluation reserve Translation reserve | 5 5 5 | 10,022,725 - - | 9,940,145 26,272 (117,846) | 9,983,895 - - | |
| Profit and loss account | 5 | (11,177,056) | (7,929,937) | (11,102,517) | |
| TOTAL SHAREHOLDERS EQUITY | £(1,021,512) | £2,037,033 | £(993,973) |
CASPIAN HOLDINGS Plc - GROUP CASH FLOW STATEMENT
FOR THE SIX MONTHS ENDED 30 JUNE 2009
| Notes | Unaudited Six Months to 30 June 2009 | Unaudited Six Months to 30 June 2008 | Audited Year to 31 December 2008 | ||
| Cash flows from operating activities Cash generated from operations Finance cost Net cash from operating activities | 1 | (71,044) (14,509) (85,553) | (324,502) (17,769) (342,271) | (251,646) (74,658) (326,304) | |
| Cash flows from investing activities Proceeds from disposal of fixed assets Purchase of intangible fixed assets Purchase of tangible fixed assets Finance income Net cash from investing activities | - - - 4 4 |
- (76,883) (4,029) 1,148 (79,764) | - - - - - | ||
| Cash flows from financing activities Share issue Receipt of loan Repayment of financial liabilities - borrowings Interest bearing loans and borrowings Net cash from financing activities Cash flow from Acquisitions and Disposals Acquisition of Subsidiary New asset acquired with Subsidiary | 47,000 - - 47,000 - - - | 485,200 99,993 - 585,193 - - - | 5 35,200 2 3,010 - 5 58,210
(278,242) - £ £(278,242) | ||
| (Decrease)/Increase in cash and cash equivalents Cash and cash equivalents at beginning of year | 2 | (38,549) 36,918 | 163,158 83,254 | (46,336) 83,254 | |
| Cash and cash equivalents at end of year | 2 | £(1,631) | £246,412 | £36,918 |
STATEMENT OF CHANGES IN EQUITIES FOR THE PERIOD 1 JANUARY 2009 TO 30 JUNE 2009
| Group | Share Capital | Revalua -tion Reserve | Translation Reserve | Share Premium | Profit and Loss Account | Total Shareholders Fund |
| Loss for the financial year | (74,539) | (74,539) | ||||
| Shares issued | 8,170 | ___ - | ___- | 38,830 | ___- | 47,000 |
| Net additions to shareholders' funds | 8,170 | - |
- | 38,830 | (74,539) | (27,539) |
| Opening shareholders' funds | 124,649 | ___- | ___- | 9,983,895 | (11,102,517) | (993,973) |
| Closing shareholders' funds | 132,819 | ___ - | ___ - | 10,022,725 | (11,177,056) | (1,021,512) |
NOTES TO ACCOUNTS (EXTRACTS)
1. BASIS OF PREPARATION
These financial statements have been prepared in accordance with International Financial Reporting Standards and IFRIC interpretations and with those parts of the Companies Act 2006 applicable to companies reporting under IFRS. The financial statements have been prepared under the historical cost convention.
The interim results are unaudited but have been reviewed by the auditors. The financial statements herein do not amount to full statutory accounts within the meaning of Part 15 of the Companies Act 2006.
Going concern - the Company reached an agreement on 29 June 2009 to issue 230,423,326 new ordinary shares to noteholders and creditors in relation to the debt for equity swap agreement, and which were duly issued on 3 July 2009. The Company is also continuing to undertake the realisation of proceeds from the sale of Zhengeldy Equipment to provide income cashflow.
Based on the Directors expectation that significant proceeds will be realised from the sale of this equipment, the Directors are satisfied that the Group (the Company and its subsidiaries) has sufficient resources to continue its operation, and to meet its commitments in the foreseeable future. The financial statements have therefore been prepared on the going concern basis.