Abbreviated Company Accounts - MAST ENERGY LIMITED

1Accounting Policies

Basis of measurement and preparation of accounts
The accounts have been prepared under the historical cost convention and in accordance with the Financial Reporting Standard for Smaller Entities effective April 2008.

Other accounting policies
Preparation of consolidated financial statements
The financial statements contain information about Mast Energy Limited as an individual company and do not contain consolidated financial information as the parent of a group. The company has taken the option under Section 398 of the Companies Act 2006 not to prepare consolidated financial statements.

Patents, licences and associated costs

The costs of acquisition and implementation of Patents and Licenses are capitalised and amortised over the useful economic life of the licences once brought into operation. Provision is made for impairment where considered appropriate by the directors and charged to the profit and loss account in the year during which the impairment is identified.

Deferred tax

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

Fixed asset investments

Fixed asset investments are stated at cost less any provision necessary for impairment.

3Fixed assets Investments
The company's investments at the balance sheet date in the share capital of companies include the following

Hudol Thermal Limited

Class of Shares Holding
Ordinary 100%
A Ordinary 100%

Aggregate capital and reserves 30.9.14 (202,333)
Loss for the year 30.9.14 (89,147)

A contract was entered into for the acquisition of the entire share capital of the subsidiary for £165,000. Payment was made for 900 shares up to the balance sheet date and a liability for the balance is included in other creditors in note 7 to the accounts. The company is of the view that contractually the shares in the subsidiary are owned entirely although the share transfer documents for the remaining 600 shares have yet to be executed.

As at the balance sheet date the directors are of the view that the value of the shares has diminished and provision is made for that impairment.

Other debtors is represented by an amount due from the subsidiary company referred to in note 5 to these accounts and is considered to be recoverable in full

11,935 Ordinary shares of £0.01 were allotted as fully paid at a premium during the period.

During the period covered by these accounts certain of the shares in the company were issued at a premium in order to satisfy consideration for transactions described in note 5 to the accounts.