Sagitta Energy Ltd
Sagitta Energy Ltd
Registered number: 12925343
Unaudited Financial Statements
For the Period
1 January 2021
to
30 June 2022
Sagitta Energy Ltd
Unaudited Financial Statements
For the Period
1 January 2021
to
30 June 2022
Unaudited Financial Statements
Contents | |
Page | |
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Balance Sheet | 1—2 |
Notes to the Financial Statements | 3—7 |
Sagitta Energy Ltd
Balance Sheet
As at
30 June 2022
Balance Sheet
Registered number:
12925343
For the period ending 30 June 2022 the company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.
The member has not required the company to obtain an audit in accordance with section 476 of the Companies Act 2006.
The director acknowledges his responsibilities for complying with the requirements of the Act with respect to accounting records and the preparation of accounts.
These accounts have been prepared and delivered in accordance with the provisions applicable to companies subject to the small companies' regime.
30 June 2022 | 31 December 2020 | ||||
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Notes | $ | $ | $ | $ | |
FIXED ASSETS | |||||
Investments | 4 |
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CURRENT ASSETS | |||||
Debtors | 5 |
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Cash at bank and in hand |
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Creditors: Amounts Falling Due Within One Year | 6 |
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NET CURRENT ASSETS (LIABILITIES) |
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TOTAL ASSETS LESS CURRENT LIABILITIES |
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NET ASSETS |
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CAPITAL AND RESERVES | |||||
Called up share capital | 7 |
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Share premium account |
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Profit and Loss Account |
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SHAREHOLDERS' FUNDS | 441,953 | 6 | |||
Sagitta Energy Ltd
Balance Sheet (continued)
As at
30 June 2022
The company has taken advantage of section 444(1) of the Companies Act 2006 and opted not to deliver to the registrar a copy of the company's Profit and Loss Account.
On behalf of the board
Director
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The notes on pages 3 to 7 form part of these financial statements.
Sagitta Energy Ltd
Notes to the Financial Statements
For the Period
1 January 2021
to
30 June 2022
Notes to the Financial Statements
1.
General Information
Sagitta Energy Ltd
is a private company, limited by shares, incorporated in England & Wales, registered number
12925343
. The registered office is 17 Hanover Square, London, W1S 1BN.
The Company changed its year end from 31 December to 30 June by extending the year ended 31 December 2021 to an 18 month period ending 30 June 2022.
2.
Accounting Policies
2.1.
Basis of Preparation of Financial Statements
The financial statements have been prepared under the historical cost convention and in accordance with Financial Reporting Standard 102 section 1A Small Entities "The Financial Reporting Standard applicable in the UK and Republic of Ireland" and the Companies Act 2006.
The accounts are presented in US Dollar (US$), which is the functional currency of the Company.
2.2.
Going Concern Disclosure
The directors have not identified any material uncertainties related to events or conditions that may cast significant doubt about the company's ability to continue as a going concern.
The financial statements have been prepared on the going concern basis, in accordance with the Companies Act 2006 and applicable accounting standards in the United Kingdom. In considereing the going concern assumption, the director have considered the cash flow requirements of the Company. The director are confident that the Company has adequate resources to continue in operation existence for the foreseeable future. Accordingly, the director continue to adopt the going concern basis of accounting in preparing the financial statements.
2.3.
Turnover
Turnover is measured at the fair value of the consideration received or receivable, net of discounts and value added taxes. Turnover includes revenue earned from the sale of goods and from the rendering of services. Turnover is reduced for estimated customer returns, rebates and other similar allowances.
The Company had no turnover during the period.
Sale of goods
Turnover from the sale of goods is recognised when the significant risks and rewards of ownership of the goods has transferred to the buyer. This is usually at the point that the customer has signed for the delivery of the goods.
Rendering of services
Turnover from the rendering of services is recognised by reference to the stage of completion of the contract. The stage of completion of a contract is measured by comparing the costs incurred for work performed to date to the total estimated contract costs. Turnover is only recognised to the extent of recoverable expenses when the outcome of a contract cannot be estimated reliably.
Sagitta Energy Ltd
Notes to the Financial Statements (continued)
For the Period
1 January 2021
to
30 June 2022
2.4.
Financial Instruments
The Company has chosen to adopt FRS 102, Section 11 Basic Financial Instruments and 12 Other Financial Instruments Issues of FRS 102 in respect of financial instruments.
All financial assets and liabilities are initially measured at transaction price, including transaction costs, except for those financial assets classified at fair value through profit or loss, which are initially measured at fair value (at transaction price excluding transaction costs) unless the arrangement constitutes a financing transaction.
Financial assets and financial liabilities are only offset in the Company balance sheet when, and only when, there is a legally enforceable right to set off the recognised amounts and the Company intends to settle on a net basis, or to realise the asset and settle the liability simultaneously.
Debt instruments (other than those repayable or receivable within one year), including loans and other accounts receivable and payable, are initially measured at the present value of the future cash flows and subsequently amortised using the effective interest method.
Creditors
Short-term creditors are measured at transaction price. Other financial liabilities, including bank loans, are measured initially at fair value, net of transaction costs, and are subsequently measured at amortised cost using the effective interest method.
Debtors
Short-term debtors are measured at transaction price, less any impairment. Loans receivable are measured initially at fair value, net of transaction costs, and are subsequently measured at amortised cost using the effective interest method, less any impairment.
Cash and cash equivalents
Cash is represented by cash on hand and deposits with financial institutions repayable without penalty on notice of not more than 24 hours. Cash equivalents are highly liquid investments which mature in no more than three months from the date of acquisition and which are readily convertible into known amounts of cash with insignificant risk of change in value.
Finance costs
Finance costs are charged to profit or loss over the term of the debt using the effective interest method so that the amount charged is at a constant rate on the carrying amount. Issue costs are initially recognised as a reduction in the proceeds of the associated financial instrument.
Impairment
Financial assets measured at amortised cost are assessed at the end of each reporting period for objective evidence of impairment. If objective evidence of impairment is found, an impairment loss is recognised in profit or loss.
For financial assets measured at amortised cost, the impairment loss is measured as the difference between the asset’s carrying amount and the present value of estimated cash flows discounted at the asset’s effective interest rate. If a financial asset has a variable interest rate, the discount rate for measuring any impairment loss is the current effective interest rate determined under the contract.
For financial assets measured at cost less impairment, the impairment loss is measured as the difference between an asset’s carrying amount and best estimate, which is an approximation of the amount that the Company would receive for the asset if it were to be sold at the reporting date.
Derecognition
Financial assets are derecognised when and only when:
• the contractual rights to the cash flows from the financial asset expire or are settled; or
• the Company transfers substantially all of the risks and rewards of ownership of the financial asset
to another party; or
• the Company, despite having retained some, but not all, significant risks and rewards of ownership,
has transferred control of the asset to another party.
2.5.
Foreign Currencies
Sagitta Energy Ltd functional currency is USD (United States Dollar).
Monetary assets and liabilities in foreign currencies are translated into USD at the rates of exchange ruling at the balance sheet date. Transactions in foreign currencies are translated into USD at the rate ruling on the date of the transaction. Exchange differences are taken into account in arriving at the operating profit.
Sagitta Energy Ltd
Notes to the Financial Statements (continued)
For the Period
1 January 2021
to
30 June 2022
2.6.
Taxation
Income tax expense represents the sum of the tax currently payable and deferred tax.
The tax currently payable is based on taxable profit for the year. Taxable profit differs from profit as reported in the statement of comprehensive income because of items of income or expense that are taxable or deductible in other years and items that are never taxable or deductible. The company's liability for current tax is calculated using tax rates that have been enacted or substantively enacted by the end of the reporting period.
Deferred tax is recognised on timing differences between the carrying amounts of assets and liabilities in the financial statements and the corresponding tax bases used in the computation of taxable profit. Deferred tax liabilities are generally recognised for all taxable timing differences. Deferred tax assets are generally recognised for all deductible temporary differences to the extent that it is probable that taxable profits will be available against which those deductible timing differences can be utilised. The carrying amount of deferred tax assets is reviewed at the end of each reporting period and reduced to the extent that it is no longer probable that sufficient taxable profits will be available to allow all or part of the asset to be recovered.
Deferred tax assets and liabilities are measured at the tax rates that are expected to apply in the period in which the liability is settled or the asset realised, based on tax rates (and tax laws) that have been enacted or substantively enacted by the end of the reporting period. Deferred tax liabilities are presented within provisions for liabilities and deferred tax assets within debtors. The measurement of deferred tax liabilities and assets reflect the tax consequences that would follow from the manner in which the Company expects, at the end of the reporting period, to recover or settle the carrying amount of its assets and liabilities.
Current or deferred tax for the year is recognised in profit or loss, except when they related to items that are recognised in other comprehensive income or directly in equity, in which case, the current and deferred tax is also recognised in other comprehensive income or directly in equity respectively.
2.7.
Investments
Investments in the Company balance sheet are shown at cost less provision for impairment. Investments are reviewed annually for indicators of impairment.
Subsidiaries
Investments in subsidiaries are measured at cost less accumulated impairment.
Where merger relief is applicable, the cost of the investment in a subsidiary undertaking is measured at the nominal value of the shares issued together with the fair value of any additional consideration paid.
3.
Average Number of Employees
Average number of employees, including directors, during the period was as follows: 1 (2020: NIL)
4.
Investments
Unlisted | |
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$ | |
Cost | |
As at
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Additions |
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As at
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Provision | |
As at
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As at
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Net Book Value | |
As at
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As at
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Investments entirely represent the Company’s 100% holding in Conterp - Consultoria e Serviços de Engenharia de Petróleo LTDA (“Conterp”) LTDA, a private limited company registered in Brazil. Conterp was fully acquired on 10 February 2021 and its principal activity is the provision of specialised services to the onshore and offshore energy, oil & gas and infrastructure sectors. During the period the Company received dividends from Conterp of US$ 200,010 (2020: nil). The Company does not prepare consolidated financial statements and has excluded Conterp from consolidation as the interest in the 100% subsidiary is held exclusively with a view to subsequent resale by 30 June 2023 to a UK public limited company (“PLC”).
Sagitta Energy Ltd
Notes to the Financial Statements (continued)
For the Period
1 January 2021
to
30 June 2022
5.
Debtors
30 June 2022 | 31 December 2020 | ||
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$ | $ | ||
Due within one year | |||
Other debtors |
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VAT |
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- | |
Amounts owed by subsidiaries |
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Trade and other debtors that are receivable within one year and do not constitute a financing transaction are recorded at the undiscounted amount expected to be received, net of impairment.
Amounts owed by group undertakings are unsecured, interest free, have no fixed date of repayment and are repayable on demand.
6.
Creditors: Amounts Falling Due Within One Year
30 June 2022 | 31 December 2020 | ||
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$ | $ | ||
Trade creditors |
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8.
Dividends
30 June 2022 | 31 December 2020 | ||
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$ | $ | ||
On equity shares: | |||
Interim dividend paid |
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138,000 | - | ||
9.
Post Balance Sheet Events
There were no adjusting or non-adjusting events that occurred after the balance sheet date and up to the date of signing the annual financial statements.
The Company is currently in the process of selling its 100% holding on its subsidiary Conterp - Consultoria e Serviços de Engenharia de Petróleo LTDA (“Conterp”) LTDA.
Sagitta Energy Ltd
Notes to the Financial Statements (continued)
For the Period
1 January 2021
to
30 June 2022
10.
Related Party Transactions
For the period ended 30 June 2022, the Company was due US$ 25,658 (2020: nil) from its shareholders, as follows:
- DCC Latam: US$ 499 (2020: nil)
- Entao PAT: US$ 12,618 (2020: nil)
- Iberica Capital Group: US$ 12,618 (2020: nil)
- Oswaldo de Souza: US$ 7 (2020: nil)
- Gustavo de Oliveira: US$ 7 (2020: nil)
- Scott Gilbert: US$ 22 (2020: nil)
- Lucas Franca: US$ 6 (2020: nil)
- Rodrigo Jaudenes: US$ 6 (2020: nil)
- Bahia Shareholders International: US$ 55 (2020: nil)
- Ricardo de Mesquita: US$ 22 (2020: nil)
The Company's 100% subsidiary Conterp owed the Company US$ 319,243 (2020: nil).
During the period the Company received services to the value of US$ 2,296 from De Clermont Capital Ltd, a company registered in England with registration number 10150871. De Clermont Capital Ltd is a related party by virtue of having a common director with Sagitta Energy Ltd.
11.
Controlling Party
The Company is owned by a number of private shareholders and companies, none of whom own more than 50% of the issued share capital of the Company. Accordingly there is no parent entity nor ultimate controlling party. The party with the most influence is the largest shareholder, DCC Latam Ltd, a company registered in Engalnd with registration number 12914909, by virtue of its 48.8% holding in the Company.
12.
Transition to FRS 102
The accounts have been prepared in accordance with the provisions of FRS 102 Section 1A Small Entities. There were no material departures from that standard. The Company transitioned to FRS 102 on 1 January 2021 and thus these are the first set of accounts under that standard. The prior period accounts were prepared under FRS 105 The Financial Reporting Standard applicable to the Micro-entities Regime. The comparatives were not restated as there is no material difference between FRS 102 and FRS 105 as applied to these accounts