Financial Performance - For the fiscal year ending December 31, 2023, the company reported a revenue of HKD 26,150.2 million, an increase of 25.8% compared to HKD 20,913.2 million in 2022[9]. - The company recorded a loss of HKD 150.5 million for the year, compared to a profit of HKD 285.9 million in the previous year, indicating a significant decline in profitability[12]. - Adjusted EBITDA for the year was HKD 167.0 million, down from HKD 453.5 million in 2022, reflecting a decrease of 63.2%[9]. - The company reported a net loss of HKD 150.5 million for the year ended December 31, 2023, while adjusted EBITDA was HKD 167.0 million[26]. - The company recorded a gross loss of HKD 136.9 million for the year, compared to a gross profit of HKD 421.4 million in 2022, largely due to a non-cash impairment charge of HKD 119.9 million related to its Canadian assets[57]. - NTEC's annual revenue for 2023 was HKD 475.8 million, a decrease of 47.2% compared to 2022, with an average realized price of CAD 20.2 per barrel of oil equivalent, down from CAD 35.2 the previous year[33]. - The company has a net working capital of HKD 134.3 million as of December 31, 2023, down from HKD 193.9 million in 2022[60]. - The company reported no donations made during the fiscal year ending December 31, 2023, consistent with the previous year[161]. Asset and Debt Management - The company’s total assets decreased to HKD 1,700.7 million from HKD 2,165.4 million in the previous year, indicating a reduction in overall asset value[9]. - The company maintained a debt ratio of 29.9%, down from 39.0% in the previous year, reflecting improved financial stability[9]. - Total equity as of December 31, 2023, was HKD 1,192.4 million, a decrease from HKD 1,321.6 million in 2022, with a net asset value per share of HKD 0.14, down from HKD 0.15[65]. - The group’s net current assets as of December 31, 2023, were approximately HKD 775.5 million, down from HKD 855.4 million in 2022, while cash and bank balances were HKD 796.6 million, compared to HKD 851.2 million in the previous year[65]. Operational Developments - The company successfully acquired three segments of land in West Gold Creek, Alberta, estimated to contain 2.9 million barrels of oil equivalent, providing over two years of quality drilling inventory[13]. - The company plans to commence drilling in the Montney Formation in Alberta, Canada, with an expected start date in September 2024[55]. - The company is actively exploring investment opportunities in the global energy sector to maximize shareholder value[21]. - The company’s exploration and production assets span over 761,000 acres across four locations in Western Canada, with over 800 active wells[31]. - The company is transforming its Discovery Park into a green ecosystem center, integrating hydrogen/green ammonia facilities, biofuel production, aquaculture, and vertical farming[25]. Environmental and Sustainability Initiatives - The company emphasizes environmental sustainability and social responsibility in its business model, aiming for a transition to a low-carbon future[21]. - The company aims to achieve net-zero emissions by collaborating with local authorities and stakeholders[182]. - The company has initiated a leak detection and repair program to manage fugitive emissions, enhancing safety and reducing greenhouse gas emissions[178]. - The company is committed to sustainable development and aims to create economic value while contributing to climate protection and resource efficiency[174][175]. - The company implements environmental assessments, design and engineering, operational arrangements, continuous monitoring, waste management, and restoration measures to minimize the impact of its oil and gas operations on local communities and ecosystems[198]. Challenges and Risks - The company is facing challenges in Argentina due to a 211% inflation rate and a 354% depreciation of the Argentine peso against the US dollar, impacting revenue and profitability[15]. - Due to production interruptions from local fires, NTEC's daily production decreased by 3,200 barrels of oil equivalent and 7,700 barrels of oil equivalent for HRB and GSA facilities, respectively[33]. - The company faces various risks, including operational, financial, and market risks, and is committed to mitigating these through strategic planning and a robust management team[71]. Shareholder and Corporate Governance - The company will not declare a final dividend for the year ended December 31, 2023[60]. - The company has maintained good relationships with suppliers and customers, emphasizing customer service and creating value[107]. - The company has complied with applicable environmental laws and regulations, continuously reviewing its environmental practices to enhance sustainability[107]. - The independent auditor, PwC, will be reappointed at the upcoming annual general meeting[164]. - The company has disclosed no interests or holdings in competing businesses by its directors[147]. Production and Reserves - NTEC's average daily oil and gas production for the year ended December 31, 2023, was 11,100 barrels of oil equivalent, with 95% being natural gas[33]. - The total oil equivalent reserves attributable to the group are 30.7 million barrels, a decrease of 10.0% from 34.1 million barrels as of December 31, 2022[81]. - Approximately 95% of the group's reserves consist of natural gas, with the remaining comprising natural gas liquids and oil[83]. - The proven reserves in the Greater Sierra area are 15.8 million barrels, down from 17.9 million barrels in the previous year, representing a decline of 11.7%[81]. Employee and Management Information - The group employed a total of 142 long-term employees as of December 31, 2023, an increase from 132 in 2022, with total employee compensation amounting to HKD 94.6 million, down from HKD 102.6 million[75]. - The company’s senior management includes executive directors with extensive experience in finance and accounting[94]. - The annual salary for the executive director and chairman, Mr. Cheng Kam Chiu, has been adjusted to HKD 3,094,800, while the CEO's salary is HKD 4,040,000[157].
新时代集团控股(00166) - 2023 - 年度财报