Quarterly report pursuant to Section 13 or 15(d)

Supplemental Information on Oil And Gas Operations

v3.21.2
Supplemental Information on Oil And Gas Operations
9 Months Ended
May 31, 2019
Supplemental Information On Oil And Gas Operations [Abstract]  
SUPPLEMENTAL INFORMATION ON OIL AND GAS OPERATIONS
28. SUPPLEMENTAL INFORMATION ON OIL AND GAS OPERATIONS

Supplemental unaudited information regarding the Company’s oil and gas activities is presented in this note.


The Company has not commenced commercial operations, therefore the disclosure of the results of operations of hydrocarbon activities is limited to advance royalties paid. All expenditure incurred to date is capitalized as part of the development cost of the Company’s oil extraction plant.


The Company does not have any proven hydrocarbon reserves or historical data to forecast the standardized measure of discounted future net cash flows related to proven hydrocarbon reserve quantities. Upon the commencement of production, the Company will be able to forecast future revenues and expenses of its hydrocarbon activities.


Costs incurred


The following table reflects the costs incurred in hydrocarbon property acquisition and development expenses.


All costs were incurred in the US.


(In US$ 000’s)   Nine months ended
May 31,
2019
    Nine months ended
May 31,
2018
 
             
Advanced royalty payments   $ 300     $ 469  
Mineral rights acquired     10,800       -  
Construction of oil extraction plant     7,851       3,025  
    $ 18,951     $ 3,494  

Results of operations


The only operating expenses incurred to date on hydrocarbon activities relate to minimum royalties paid on mineral leases that the Company has entered into and certain operating expenses related to plant maintenance.


All costs were incurred in the US.


(In US$ 000’s)   Nine months ended
May 31,
2019
    Nine months ended
May 31,
2018
 
             
Plant maintenance expenses   $ 729     $ -  
Advanced royalty payments   199     234  
    $ 928     $ 234  

Proven reserves


The Company does not have any proven hydrocarbon reserves as of May 31, 2019.