30 Jun 2016 13:54
30 June 2016
JKX Oil & Gas plc ("JKX" or the "Company")
Consolidated report on payments to governments
JKX Oil and Gas plc presents below its consolidated report on payments to governments for the year ended 31 December 2015, for activities related to exploration, development and extraction of oil and gas resources.
The Company has prepared the following consolidated report in accordance with DTR 4.3A of the Financial Conduct Authority Disclosure and Transparency Rules and in compliance with the Reports on Payments to Governments Regulations 2014 (SI 2014/3209), as amended by the Reports on Payments to Governments (Amendment) Regulations 2015 (SI 2015/1928).
Basis of preparation
The Company discloses below payments made to governments of the Group's subsidiaries involved in extractive activities. The term 'government' includes a department, agency or entity that is controlled by the government authority.
Reporting currency
Where payments have been made in currencies other than the reporting currency (US$), the exchange rate existing at the time the payment is made has been used.
Payment types disclosed at project level
"Project" is defined as "operational activities governed by a single contract, license, lease, concession or similar legal agreements and form the basis for payment liabilities with a government". Where multiple such agreements are substantially interconnected, this was considered a project for the purpose of this report.
The payments are presented on a cash basis, net of any interest and penalties on late tax payments or on underpaid tax.
There were no payments in kind made to a Government during the year.
The following payment types are disclosed for legal entities involved in extractive activities for the year ended 31 December 2015:
Corporate income taxes
Payments to governments based on taxable profits under legislated income tax rules.
Production taxes
Payments to governments in relation to revenue or production generated under licence agreements.
Fees
Payments to governments in the form of fees include: tax on gas consumed for its own use, licence fees, area fees.
Excluded amounts
Taxes levied on consumption such as value added taxes, personal income taxes, sales taxes, property and environmental taxes have not been included in this report.
Payments summary
Payments to governments made during the year ended 31 December 2015:
Production taxes | Corporate income taxes | Fees | Total | |
Governments | $'000 | $'000 | $'000 | $'000 |
Ukraine | ||||
State treasury: State budget | 30,049 | 696 | 114 | 30,859 |
Total Ukraine | 30,049 | 696 | 114 | 30,859 |
Russia | ||||
State treasury: State budget | 1,445 | - | - | 1,445 |
Total Russia | 1,445 | - | - | 1,445 |
Hungary | ||||
State treasury: State budget | - | (82) | 49 | (33) |
State treasury: Local budget | 1 | - | 3 | 4 |
Total Hungary | 1 | (82) | 52 |
(29) |
Slovakia | ||||
State treasury: State budget | - | - | 173 | 173 |
Total Slovakia | - | - | 173 | 173 |
Grand Total | 31,495 | 614 | 339 | 32,448 |
Payments to governments by project type made during the year ended 31 December 2015:
Production taxes | Corporate income taxes | Fees | Total | |
$'000 | $'000 | $'000 | $'000 | |
Ukraine | ||||
Novo-Nikolaevskoye Complex | 20,117 | - | 114 | 20,231 |
Elizavetovskoye field | 9,932 | - | - | 9,932 |
Payment at an entity level | - | 696 | - | 696 |
Total Ukraine | 30,049 | 696 | 114 | 30,859 |
Russia - Koshekhablskoye Field | 1,445 | - | - | 1,445 |
Hungary - appraisal and exploration | 1 | (82) | 52 | (29) |
Slovakia - exploration | - | - | 173 | 173 |
Grand Total | 31,495 | 614 | 339 | 32,448 |
For further information please contact EM:
Stuart Leasor
leasor@em-comms.com
T: +44 20 3709 5711
M: +44 7703 537721
JKX.L (JKX)