Siem Oil Service Invest Holdings Limited - Limited company accounts 23.2

REGISTERED NUMBER: 10140028 (England and Wales)

SIEM OIL SERVICE INVEST HOLDINGS LIMITED

GROUP STRATEGIC REPORT, REPORT OF THE DIRECTORS AND

CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023

Page

Company Information

1

Group Strategic Report

2

Report of the Directors

3

Report of the Independent Auditors

5

Consolidated Income Statement

8

Consolidated Other Comprehensive Income

9

Consolidated Balance Sheet

10

Company Balance Sheet

11

Consolidated Statement of Changes in Equity

12

Company Statement of Changes in Equity

13

Consolidated Cash Flow Statement

14

Notes to the Consolidated Cash Flow Statement

15

Notes to the Consolidated Financial Statements

16

DIRECTORS:

K Siem

G Toshniwal

A Razmuss

G Pettersen

REGISTERED OFFICE:

40 Brighton Road

Sutton

SM2 5BN

REGISTERED NUMBER:

10140028 (England and Wales)

AUDITORS:

Rothmans Audit LLP

Statutory Auditors

Chartered Accountants

Fryern House

125 Winchester Road

Chandlers Ford

Hampshire

SO53 2DR

The directors present their strategic report of the company and the group for the year ended 31 December 2023.

REVIEW OF BUSINESS

Overall the Group generated revenues of $15.9m (2022: $17.2m). The Group generated an operating profit of $2.2m (2022: -$0.4m) in the period. From a balance sheet perspective, the net asset position of the Group has increased from $34.1m in 2022 to $36.1m in 2023. The work undertaken during the period gives the Group a strong foundation for increased levels of activity in 2024.

PRINCIPAL RISKS AND UNCERTAINTIES

The Board believes the principal risks and uncertainties for the Group include the general prospects for the offshore segment. The Group's business is exposed to political risks. The Group is also exposed to the performance of customers, service providers and suppliers.

Additionally, there is an inherent risk with the operation of ships and the possible negative outcome of any pollution-based violation of the MARPOL convention.

KEY PERFORMANCE INDICATORS

The Board consider the Group's key performance indicators to be revenue, operating profit and net assets. These have been considered in the business review above.

ON BEHALF OF THE BOARD:

G Pettersen - Director

2 May 2024

The directors present their report with the financial statements of the company and the group for the year ended 31 December 2023.

DIVIDENDS

No dividends will be distributed for the year ended 31 December 2023.

FUTURE DEVELOPMENTS

The Company is a holding company for its subsidiaries and will invariably try to optimise the timing for divestment and investment in new assets.

For the Group, there is a general overcapacity in the market for offshore service vessels, but it is expected that there will be a significant increase in the demand for OSCVs (Offshore Subsea Construction Vessels). The offshore wind market continues with good activity and it is expected that this segment will grow further. The increased activity within the traditional oil and gas market is expected to result in higher rates as well as longer contracts for ships in the long term.

DIRECTORS

The directors shown below have held office during the whole of the period from 1 January 2023 to the date of this report.

K Siem

G Toshniwal

A Razmuss

Other changes in directors holding office are as follows:

G Pettersen was appointed as a director after 31 December 2023 but prior to the date of this report.

B Omdal ceased to be a director after 31 December 2023 but prior to the date of this report.

FINANCIAL INSTRUMENTS RISKS

The Group is exposed to a number of financial risks. Fluctuations in foreign exchange rates, interest rates, bunker prices and credit risks all have an effect on the Group's assets and liabilities, creditworthiness, liquidity, profit and loss and cash flow.

The majority of the transactions, assets and liabilities of the Group are denominated in USD, which is also defined as the Group's functional currency.

The Group's credit risk is primarily attributable to its trade and other short-term debtors. The amounts presented in the balance sheet are net of provisions for doubtful debts, estimated by management based on their prior experience and their assessment of the current economic environment.

STATEMENT OF DIRECTORS' RESPONSIBILITIES

The directors are responsible for preparing the Group Strategic Report, the Report of the Directors and the financial statements in accordance with applicable law and regulations.

Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under company law the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the company and the group and of the profit or loss of the group for that period. In preparing these financial statements, the directors are required to:

-	select suitable accounting policies and then apply them consistently;

-	make judgements and accounting estimates that are reasonable and prudent;

-	prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business.

The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the company's and the group's transactions and disclose with reasonable accuracy at any time the financial position of the company and the group and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the company and the group and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

STATEMENT AS TO DISCLOSURE OF INFORMATION TO AUDITORS

So far as the directors are aware, there is no relevant audit information (as defined by Section 418 of the Companies Act 2006) of which the group's auditors are unaware, and each director has taken all the steps that he ought to have taken as a director in order to make himself aware of any relevant audit information and to establish that the group's auditors are aware of that information.

AUDITORS

The auditors, Rothmans Audit LLP, will be proposed for re-appointment at the forthcoming Annual General Meeting.

ON BEHALF OF THE BOARD:

G Pettersen - Director

2 May 2024

Opinion

We have audited the financial statements of Siem Oil Service Invest Holdings Limited (the 'parent company') and its subsidiaries (the 'group') for the year ended 31 December 2023 which comprise the Consolidated Income Statement, Consolidated Other Comprehensive Income, Consolidated Balance Sheet, Company Balance Sheet, Consolidated Statement of Changes in Equity, Company Statement of Changes in Equity, Consolidated Cash Flow Statement and Notes to the Consolidated Cash Flow Statement, Notes to the Financial Statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:

-	give a true and fair view of the state of the group's and of the parent company affairs as at 31 December 2023 and of the group's profit for the year then ended;

-	have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and

-	have been prepared in accordance with the requirements of the Companies Act 2006.

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the group in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC's Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

In auditing the financial statements, we have concluded that the directors' use of the going concern basis of accounting in the preparation of the financial statements is appropriate.

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the group's and the parent company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.

Our responsibilities and the responsibilities of the directors with respect to going concern are described in the relevant sections of this report.

Other information

The directors are responsible for the other information. The other information comprises the information in the Group Strategic Report and the Report of the Directors, but does not include the financial statements and our Report of the Auditors thereon.

Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.

In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard.

Opinions on other matters prescribed by the Companies Act 2006

In our opinion, based on the work undertaken in the course of the audit:

-	the information given in the Group Strategic Report and the Report of the Directors for the financial year for which the financial statements are prepared is consistent with the financial statements; and

-	the Group Strategic Report and the Report of the Directors have been prepared in accordance with applicable legal requirements.

Matters on which we are required to report by exception

In the light of the knowledge and understanding of the group and the parent company and its environment obtained in the course of the audit, we have not identified material misstatements in the Group Strategic Report or the Report of the Directors.

We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to report to you if, in our opinion:

-	adequate accounting records have not been kept by the parent company, or returns adequate for our audit have not been received from branches not visited by us; or

-	the parent company financial statements are not in agreement with the accounting records and returns; or

-	certain disclosures of directors' remuneration specified by law are not made; or

-	we have not received all the information and explanations we require for our audit.

Responsibilities of directors

As explained more fully in the Statement of Directors' Responsibilities set out on page three, the directors are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the directors determine necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, the directors are responsible for assessing the group's and the parent company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the directors either intend to liquidate the group or the parent company or to cease operations, or have no realistic alternative but to do so.

Auditors' responsibilities for the audit of the financial statements

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue a Report of the Auditors that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

We obtained an understanding of the legal and regulatory framework that the Group operates in, focusing on those laws and regulations that had a direct effect on the Financial Statements or that had a fundamental effect of the operations of the Group. The key laws and regulations we considered in this context included the UK Companies Act and those in relation to the Group's shipping activities.

Discussions were held within the engagement team regarding how and where fraud might occur in the Financial Statements and any potential indicators of fraud. As part of this discussion, we identified potential risk areas such as the completeness of revenue. Audit procedures were designed to ensure all of the risks were addressed.

In response to the risk of irregularities and non-compliance with laws and regulations, we designed procedures which included, but were not limited to:

o

enquiring of management as to actual and potential litigation and claims; and

o

reviewing any correspondence with regulators and the Group's legal advisors.

To address the risk of fraud through management bias and override of controls, we:

o

performed analytical procedures to identify any unusual or unexpected relationships;

o

tested journal entries to identify unusual transactions and bias.

There are inherent limitations in our audit procedures described above. The more removed that laws and regulations are from financial transactions, the less likely it is that we would become aware of non-compliance. Auditing standards also limit the audit procedures required to identify non-compliance with laws and regulations to enquiry of the director and other management and the inspection of regulatory and legal correspondence, if any.

Material misstatements that arise due to fraud can be harder to detect than those that arise from error as they may involve deliberate concealment or collusion.

A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at www.frc.org.uk/auditorsresponsibilities. This description forms part of our Report of the Auditors.

Other matters which we are required to address

In the previous accounting period the directors of the Group took advantage of the audit exemption under s383 of the Companies Act 2006. Therefore the prior period financial statements were not subject to audit.

Use of our report

This report is made solely to the company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the company's members those matters we are required to state to them in a Report of the Auditors and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the company and the company's members as a body, for our audit work, for this report, or for the opinions we have formed.

Robin Lloyd (Senior Statutory Auditor)

for and on behalf of Rothmans Audit LLP

Statutory Auditors

Chartered Accountants

Fryern House

125 Winchester Road

Chandlers Ford

Hampshire

SO53 2DR

8 May 2024

TURNOVER

3

15,874,033

17,239,470

Cost of sales

9,306,619

13,089,014

GROSS PROFIT

6,567,414

4,150,456

Administrative expenses

4,413,610

4,530,976

OPERATING PROFIT/(LOSS)

5

2,153,804

(380,520

)

Interest receivable and similar income

6

278,854

109,090

2,432,658

(271,430

)

Interest payable and similar expenses

7

440,404

437,600

PROFIT/(LOSS) BEFORE TAXATION

1,992,254

(709,030

)

Tax on profit/(loss)

8

6,183

55

PROFIT/(LOSS) FOR THE FINANCIAL YEAR

1,986,071

(709,085

)

Profit/(loss) attributable to:

Owners of the parent

1,986,071

(709,085

)

PROFIT/(LOSS) FOR THE YEAR

1,986,071

(709,085

)

OTHER COMPREHENSIVE INCOME

-

-

TOTAL COMPREHENSIVE INCOME FOR THE YEAR

1,986,071

(709,085

)

Total comprehensive income attributable to:

Owners of the parent

1,986,071

(709,085

)

FIXED ASSETS

Tangible assets

10

51,964,990

49,996,897

Investments

11

-

-

51,964,990

49,996,897

CURRENT ASSETS

Stocks

12

260,454

415,600

Debtors

13

5,430,679

1,792,423

Cash at bank

3,784,212

6,507,411

9,475,345

8,715,434

CREDITORS

Amounts falling due within one year

14

1,669,617

1,367,684

NET CURRENT ASSETS

7,805,728

7,347,750

TOTAL ASSETS LESS CURRENT LIABILITIES

59,770,718

57,344,647

CREDITORS

Amounts falling due after more than one year

15

23,699,675

23,259,675

NET ASSETS

36,071,043

34,084,972

CAPITAL AND RESERVES

Called up share capital

17

6,179,800

6,179,800

Share premium

18

55,317,202

55,317,202

Retained earnings

18

(25,425,959

)

(27,412,030

)

SHAREHOLDERS' FUNDS

36,071,043

34,084,972

The financial statements were approved by the Board of Directors and authorised for issue on 2 May 2024 and were signed on its behalf by:

G Pettersen - Director

FIXED ASSETS

Tangible assets

10

-

-

Investments

11

38,456,836

38,456,836

38,456,836

38,456,836

CURRENT ASSETS

Debtors

13

1,640,962

1,650,962

Cash at bank

3,090

5,333

1,644,052

1,656,295

CREDITORS

Amounts falling due within one year

14

9,999

9,999

NET CURRENT ASSETS

1,634,053

1,646,296

TOTAL ASSETS LESS CURRENT LIABILITIES

40,090,889

40,103,132

CAPITAL AND RESERVES

Called up share capital

17

6,179,800

6,179,800

Share premium

18

55,317,200

55,317,200

Retained earnings

18

(21,406,111

)

(21,393,868

)

SHAREHOLDERS' FUNDS

40,090,889

40,103,132

Company's loss for the financial year

(12,243

)

(10,629

)

The financial statements have been prepared in accordance with the provisions applicable to companies subject to the small companies regime.

The financial statements were approved by the Board of Directors and authorised for issue on 2 May 2024 and were signed on its behalf by:

G Pettersen - Director

Called up

share

Retained

Share

Total

capital

earnings

premium

equity

$

$

$

$

Balance at 1 January 2022

6,179,800

(26,702,945

)

55,317,202

34,794,057

Changes in equity

Total comprehensive income

-

(709,085

)

-

(709,085

)

Balance at 31 December 2022

6,179,800

(27,412,030

)

55,317,202

34,084,972

Changes in equity

Total comprehensive income

-

1,986,071

-

1,986,071

Balance at 31 December 2023

6,179,800

(25,425,959

)

55,317,202

36,071,043

Called up

share

Retained

Share

Total

capital

earnings

premium

equity

$

$

$

$

Balance at 1 January 2022

6,179,800

(21,383,239

)

55,317,200

40,113,761

Changes in equity

Total comprehensive income

-

(10,629

)

-

(10,629

)

Balance at 31 December 2022

6,179,800

(21,393,868

)

55,317,200

40,103,132

Changes in equity

Total comprehensive income

-

(12,243

)

-

(12,243

)

Balance at 31 December 2023

6,179,800

(21,406,111

)

55,317,200

40,090,889

Cash flows from operating activities

Cash generated from operations

1

2,744,156

4,518,958

Interest paid

(404

)

(5,603

)

Net cash from operating activities

2,743,752

4,513,355

Cash flows from investing activities

Purchase of tangible fixed assets

(5,745,805

)

(811,719

)

Interest received

278,854

107,644

Net cash from investing activities

(5,466,951

)

(704,075

)

(Decrease)/increase in cash and cash equivalents

(2,723,199

)

3,809,280

Cash and cash equivalents at beginning of year

2

6,507,411

2,698,131

Cash and cash equivalents at end of year

2

3,784,212

6,507,411

1.	RECONCILIATION OF PROFIT/(LOSS) BEFORE TAXATION TO CASH GENERATED FROM OPERATIONS

2023

2022

$

$

Profit/(loss) before taxation

1,992,254

(709,030

)

Depreciation charges

3,777,712

3,870,950

Finance costs

440,404

437,600

Finance income

(278,854

)

(109,090

)

5,931,516

3,490,430

Decrease in stocks

155,146

25,436

(Increase)/decrease in trade and other debtors

(3,638,256

)

1,535,065

Increase/(decrease) in trade and other creditors

295,750

(531,973

)

Cash generated from operations

2,744,156

4,518,958

2.	CASH AND CASH EQUIVALENTS

The amounts disclosed on the Cash Flow Statement in respect of cash and cash equivalents are in respect of these Balance Sheet amounts:

Year ended 31 December 2023

31/12/23

1/1/23

$

$

Cash and cash equivalents

3,784,212

6,507,411

Year ended 31 December 2022

31/12/22

1/1/22

$

$

Cash and cash equivalents

6,507,411

2,698,131

3.	ANALYSIS OF CHANGES IN NET DEBT

Other

non-cash

At 1/1/23

Cash flow

changes

At 31/12/23

$

$

$

$

Net cash

Cash at bank

6,507,411

(2,723,199

)

3,784,212

6,507,411

(2,723,199

)

3,784,212

Debt

Debts falling due

after 1 year

(23,259,675

)

-

(440,000

)

(23,699,675

)

(23,259,675

)

-

(440,000

)

(23,699,675

)

Total

(16,752,264

)

(2,723,199

)

(440,000

)

(19,915,463

)

1.	STATUTORY INFORMATION

Siem Oil Service Invest Holdings Limited is a private company, limited by shares, registered in England and Wales. The company's registered number is 10140028 and its registered address is 40 Brighton Road, Sutton, SM2 5BN. The principal activity of the Group is that of sea and coastal freight water transport. The principal activity of the Company is that of a holding company.

2.	ACCOUNTING POLICIES

Basis of preparing the financial statements

These financial statements have been prepared in accordance with Financial Reporting Standard 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland" and the Companies Act 2006. The financial statements have been prepared under the historical cost convention.

The functional and presentational currency is US Dollars.

Going concern

The financial statements have been prepared on the going concern basis.

Financial Reporting Standard 102 - reduced disclosure exemptions

The parent company has taken advantage of the following disclosure exemptions in preparing these financial statements, as permitted by FRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland":

o the requirements of Section 7 Statement of Cash Flows;

o the requirement of paragraph 3.17(d);

o the requirements of paragraphs 11.42, 11.44, 11.45, 11.47, 11.48 (a), 11.48 (b) and 11.48 (c);

o the requirements of paragraphs 12.26, 12.27, 12.29 (a), 12.29 (b) and 12.29A

o the requirement of paragraph 33.7.

Basis of consolidation

The consolidated financial statements incorporate the results of Siem Oil Service Invest Holdings Limited and all of its subsidiary undertakings as at 31 December 2023 using the acquisition method of accounting as required. Where the acquisition method is used, the results of subsidiary undertakings are included from the date of acquisition. Subsidiaries are fully consolidated from the date on which control is transferred to the Group. Subsidiaries are excluded from consolidation from the date that control ceases.

Related party exemption

The company has taken advantage of exemption, under the terms of Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland', not to disclose related party transactions with wholly owned subsidiaries within the Group.

Transactions between Group entities which have been eliminated on consolidation are not disclosed within the financial statements.

Significant judgements and estimates

The preparation of the financial statements requires management to make judgements, estimates and assumptions that affect the amounts reported for assets and liabilities as at the balance sheet date, and the amounts reported for revenues and expenses during the year. However, the nature of estimation means that actual outcomes could differ from those estimates.

The following judgements (apart from those involving estimates) have had the most significant effect on amounts recognised in the financial statements.

-

Determining whether to impair vessels during the year depending on changes to the condition of the asset and/or market.

Other key sources of estimation uncertainty:

-

Tangible fixed assets are depreciated over their useful lives taking into account residual values, where appropriate. The actual lives of the assets and residual values are assessed annually and may vary depending on a number of factors. Residual value assessments consider issues such as market conditions, the remaining life of the asset and projected disposal values.

-

Establishing the criteria and assumptions to be used in the impairment review of vessels.

Turnover

Turnover consists of freight revenue on a time-charter basis from voyage charters and time charters. Turnover is derived from ordinary activities, and is stated after trade discounts, other sales taxes and net of VAT.

Income and expenses relating to voyages of vessels have been accrued on the basis of the number of days the voyage lasted in the year. A voyage is defined as starting after unloading from the previous voyage. Expenses in connection with freight-seeking days are expensed as incurred.

Tangible fixed assets

All fixed assets are initially recognised at cost and subsequently carried at cost less accumulated depreciation and accumulated impairment losses.

The cost of fixed assets initially recognised includes its purchase price and any costs that are directly attributable to bringing the asset to the location and condition necessary for it to be capable of operating in a manner intended by management.

Depreciation is calculated so as to write off the cost of an asset, less its estimated residual value, over the useful economic life of that asset as follows:

Deferred dry docking

5 - 7 years (straight-line method)

Vessels

30 years (straight-line method)

The vessels are required to be dry docked for inspection and re-licensing, at which point major repairs and maintenance are performed. The costs associated with dry docking are capitalised as they occur by adding them to the cost of the vessel and depreciating them over the period until the next scheduled dry docking.

The assets residual values and useful lives are reviewed and adjusted if appropriate at the end of each reporting period. The effect of any change is accounted for prospectively.

Fixed assets are derecognised on disposal or when no future economic benefits are expected. On disposal the difference between the net disposal proceeds and the carrying amount is recognised in the Consolidated Income Statement.

Fixed assets are assessed for impairment annually and an impairment processed when the net book value is considered to exceed the recoverable amount.

Investments in subsidiaries

Investments in subsidiary undertakings are measured at cost less impairment.

Stocks

Lubricating oil and bunkers inventories are valued at the lower of historical cost and market value applying the FIFO (first in first out) principle.

Financial instruments

The Group only has financial assets and liabilities of the kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and debt instruments are subsequently measured at amortised cost.

Taxation

Taxation for the year comprises current and deferred tax. Tax is recognised in the Consolidated Income Statement, except to the extent that it relates to items recognised in other comprehensive income or directly in equity.

Current tax is recognised at the amount of tax payable using the tax rates and laws that have been enacted or substantively enacted by the balance sheet date.

Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the balance sheet date.

Timing differences arise from the inclusion of income and expenses in tax assessments in periods different from those in which they are recognised in financial statements. Deferred tax is measured using tax rates and laws that have been enacted of substantively enacted by the year end and that are expected to apply to the reversal of the timing difference.

Unrelieved tax losses and other deferred tax assets are recognised only to the extent that it is probable that they will be recovered against the reversal or other future taxable profits.

Companies qualifying for the tonnage tax regime have elected to apply the regime to its profits. This is calculated by reference to the tonnage of the qualifying vessels.

Foreign currencies

Assets and liabilities in foreign currencies are translated into sterling at the rates of exchange ruling at the balance sheet date. Transactions in foreign currencies are translated into USD at the rate of exchange ruling at the date of transaction. Exchange differences are taken into account in arriving at the operating result.

Finance income and costs

Finance income and costs are charged to the Consolidated Income Statement over the term of the debt using the effective interest rate method so that the amount charged is at a constant rate on the carrying amount.

3.

TURNOVER

The turnover and profit (2022 - loss) before taxation are attributable to the one principal activity of the group.

An analysis of turnover by geographical market is given below:

2023

2022

$

$

United Kingdom

5,703,099

3,334,297

Norway

10,166,820

329,156

Netherlands

-

146,838

France

4,114

13,429,179

15,874,033

17,239,470

4.	EMPLOYEES AND DIRECTORS

There were no staff costs for the year ended 31 December 2023 nor for the year ended 31 December 2022.

The average number of employees during the year was NIL (2022 - NIL).

2023

2022

$

$

Directors' remuneration

-

-