Financial Performance - Production revenue for the three months ended June 30, 2019, was CAD 2,082,155, a decrease of 40% compared to CAD 3,480,033 in 2018[15]. - Trade revenue (net) for the six months ended June 30, 2019, was CAD 218,708, down 26% from CAD 295,448 in 2018[15]. - Adjusted EBITDA for the six months ended June 30, 2019, was CAD 89,874, a decrease of 97% compared to CAD 3,402,095 in 2018[15]. - The total comprehensive loss for the three months ended June 30, 2019, was CAD (10,743,765), an increase of 3,043% from CAD (341,871) in 2018[15]. - The comprehensive loss per share for the six months ended June 30, 2019, was CAD (0.04), a 100% increase from CAD (0.00) in 2018[15]. - The company reported total revenue of CAD 2,082 million for the three months ended June 30, a decrease of 47% year-over-year[38]. - The company reported a net loss of CAD 10,743,765 for the three months ended June 30, 2019, compared to a loss of CAD 341,871 in the same period of 2018[169]. - The net loss for the six months ended June 30, 2019, was CAD 12,753,683, compared to a net loss of CAD 886,706 for the same period in 2018[177]. Production and Sales - Average daily sales (barrel of oil equivalent per day) for the six months ended June 30, 2019, were 2,341, down 16% from 2,772 in 2018[15]. - Total production for the three months ended June 30 was 1,255 barrels of oil equivalent per day, a decrease of 38% compared to the same period in 2018[32]. - Total sales for the three months ended June 30 averaged 1,622 barrels of oil equivalent per day, down 30% year-over-year[35]. - Natural gas production for the three months ended June 30 was 6,717 thousand cubic feet per day, a decrease of 41% compared to the same period in 2018[35]. - Oil production remained stable with a slight increase of 5% in Q2 2019, totaling 490 thousand barrels compared to 467 thousand barrels in Q2 2018[41]. - Average daily production of total oil equivalent in Q2 2019 was 1,255 barrels per day, a decrease from 3,041 barrels per day in Q1 2019[154]. Operating Costs and Expenses - Operating costs increased by 51% and 56% for the three and six months ended June 30, 2019, compared to the same periods in 2018, primarily due to fixed FT-Volume commitments[58]. - General and administrative expenses totaled CAD 1,245,000 for the three months ended June 30, 2019, a 1% increase from CAD 1,238,000 in 2018, while a 12% decrease was observed for the six months, totaling CAD 2,266,000 compared to CAD 2,566,000 in 2018[60]. - Financing costs rose by 55% to CAD 1,107,000 for the three months ended June 30, 2019, and by 80% to CAD 2,024,000 for the six months, attributed to bank debt and subordinated debt[63]. - The average cost per barrel of oil equivalent increased by 145% to CAD 15.68 for the three months ended June 30, 2019, compared to CAD 6.40 in 2018, and by 88% to CAD 10.70 for the six months[65]. - The company reported a significant impairment loss of CAD 8,044,705 for the six months ended June 30, 2019[177]. Capital and Financing Activities - The company completed a subscription agreement on May 14, 2019, issuing 23.6 million shares at HKD 1.50 per share, raising approximately CAD 6 million[17]. - The company plans to use proceeds from a recent share issuance of CAD 6.0 million to expand existing operations and develop new business[28]. - The company issued shares for cash amounting to CAD 6,000,000 during the period[172]. - The company plans to allocate 83% of the net proceeds from the share issuance to expand existing operations, with CAD 4.5 million actually utilized for this purpose by June 30, 2019[86]. Agreements and Future Expectations - The company announced a natural gas processing agreement with Gexcon Energy (Canada) Ltd. on May 9, 2019, allowing access to the Voyager gas collection system[17]. - The company expects initial production from the Voyager gas processing agreement to commence in the first quarter of 2020[17]. - The completion of the Voyager pipeline is expected to increase production, with the first batch of natural gas anticipated in Q1 2020[40]. - The company anticipates first production from the Voyager area under the gas processing agreement to begin in Q1 2020[33]. Shareholder and Governance Information - As of June 30, 2019, the company's major shareholders, including Aspen, held a total of 186,862,832 shares, representing approximately 61.90% of the issued share capital[135]. - The company has established a written terms of reference for the audit and risk committee in accordance with corporate governance codes[134]. - The company has maintained compliance with the corporate governance code during the reporting period[128]. Risks and Compliance - The company continues to face significant risks associated with resource exploration, development, and refining, as previously disclosed[122]. - The audit and risk committee, consisting of three independent non-executive directors, reviewed the interim results for the six months ending June 30, 2019, ensuring compliance with applicable accounting standards and regulations[134]. - There were no significant changes identified in the internal controls over financial reporting for the three and six months ended June 30, 2019[124].
吉星新能源(03395) - 2019 - 中期财报