Basalt Global Limited - Accounts to registrar (filleted) - small 18.2

REGISTERED NUMBER: 07892984 (England and Wales)

Financial Statements for the Year Ended 31 December 2017

for

BASALT GLOBAL LIMITED

Page

Company Information

1

Balance Sheet

2

Notes to the Financial Statements

3

DIRECTORS:

P A Ash

I M D Jardine

REGISTERED OFFICE:

Progress House 404 Brighton Road

South Croydon

England

Surrey

CR2 6AN

REGISTERED NUMBER:

07892984 (England and Wales)

AUDITORS:

Owadally & King

Chartered Certified Accountants

& Registered Auditors

73 Park Lane

Croydon

Surrey

CR0 1JG

FIXED ASSETS

Tangible assets

4

1,365,920

1,433,110

CURRENT ASSETS

Debtors

5

165,096

383,539

Cash at bank

13,103

53,408

178,199

436,947

CREDITORS

Amounts falling due within one year

6

(454,800

)

(564,488

)

NET CURRENT LIABILITIES

(276,601

)

(127,541

)

TOTAL ASSETS LESS CURRENT LIABILITIES

1,089,319

1,305,569

CREDITORS

Amounts falling due after more than one year

7

-

(146,817

)

NET ASSETS

1,089,319

1,158,752

CAPITAL AND RESERVES

Called up share capital

24,733

24,733

Share premium

8

1,072,666

1,072,666

Retained earnings

8

(8,080

)

61,353

SHAREHOLDERS' FUNDS

1,089,319

1,158,752

The financial statements have been prepared and delivered in accordance with the provisions of Part 15 of the Companies Act 2006 relating to small companies.

In accordance with Section 444 of the Companies Act 2006, the Income Statement has not been delivered.

The financial statements were approved by the Board of Directors on 30 August 2018 and were signed on its behalf by:

P A Ash - Director

1.	STATUTORY INFORMATION

Basalt Global Limited is a private company, limited by shares , registered in England and Wales. The

company's registered number and registered office address can be found on the Company Information

page.

2.	ACCOUNTING POLICIES

Basis of preparing the financial statements

These financial statements have been prepared in accordance with the provisions of Section 1A "Small Entities" of 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.

Turnover

Turnover is measured at the fair value of the consideration received or receivable, excluding discounts,

rebates, value added tax and other sales taxes.

Tangible fixed assets

Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life.

Plant and machinery etc

-

Straight line over 20 years

Financial instruments

The company enters into basic financial instruments that result in the recognition of financial assets

and liabilities like trade and other accounts receivable and payable, loans from banks and other third

parties and loans to related parties.

a) Trade and other debtors

Trade and other debtors are initially recognised at fair value and thereafter stated at amortised cost

using the effective interest method, less impairment losses for bad and doubtful debts except where

the effect of discounting would be immaterial. In such cases, the receivables are stated at cost less

impairment losses for bad and doubtful debts.

b) Cash and cash equivalents

Cash and cash equivalents comprise cash at bank and in hand.

c) Impairment of financial assets

Financial assets that are measured at cost and 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 an asset's carrying amount and the present value of estimated cash flows discounted at the

asset's original 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 the 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.

d) Trade and other creditors

Debt instruments like loans and other accounts receivable and payable are initially measured at

present value of the future payments and subsequently at amortised cost using the effective interest

method. Debt instruments that are payable or receivable within one year, typically trade payables or

receivables, are measured, initially and subsequently, at the undiscounted amount of the cash or other

consideration expected to be paid or received. However, if the arrangements of a short-term

instrument constitute a financing transaction, like the payment of a trade debt deferred beyond normal

business terms or financed at a rate of interest that is not a market rate or in case of an outright

short-term loan not at market rate, the financial asset or liability is measured, initially and subsequently,

at the present value of the future payments discounted at a market rate of interest for a similar debt

instrument.

Financial assets and liabilities are offset and the net amount reported in the statement of financial

position when there is an enforceable right to set off the recognised amounts and there is an intention

to settle on a net basis or to realise the asset and settle the liability simultaneously.

Impairment of non-financial assets

At each reporting date non-financial assets not carried at fair value, like plant and equipment, are

reviewed to determine whether there is an indication that an asset may be impaired. If there is an

indication of possible impairment, the recoverable amount of any asset or group of related assets,

which is the higher of value in use and the fair value less cost to sell, is estimated and compared with

its carrying amount. If the recoverable amount is lower, the carrying amount of the asset is reduced to

its recoverable amount and an impairment loss is recognised immediately in profit and loss.

Inventories are also assessed for impairment at each reporting date. Each item of inventory is

compared to the last sold date and an impairment loss recognised on a percentage basis in profit and

loss.

If an impairment loss is subsequently reversed, the carrying amount of the asset or group of related

assets is increased to the revised estimate of its recoverable amount, but not to exceed the amount

that would have been determined had no impairment loss been recognised for the asset or group of

related assets in prior periods. A reversal of an impairment loss is recognised immediately in profit and

loss.

Taxation

Taxation for the year comprises current and deferred tax. Tax is recognised in the Income Statement,

except to the extent that it relates to items recognised in other comprehensive income or directly in

equity.

Current or deferred taxation assets and liabilities are not discounted.

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

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 or 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 of deferred tax liabilities or other future taxable profits.

3.	EMPLOYEES AND DIRECTORS

The average number of employees during the year was NIL (2016 - 2 ).

4.	TANGIBLE FIXED ASSETS

Plant and

machinery

etc

£

COST

At 1 January 2017

1,566,337

Additions

63,855

Disposals

(57,500

)

At 31 December 2017

1,572,692

DEPRECIATION

At 1 January 2017

133,227

Charge for year

77,451

Eliminated on disposal

(3,906

)

At 31 December 2017

206,772

NET BOOK VALUE

At 31 December 2017

1,365,920

At 31 December 2016

1,433,110

5.

DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

31.12.17

31.12.16

£

£

Trade debtors

19,351

48,140

Other debtors

145,745

335,399

165,096

383,539

6.

CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

31.12.17

31.12.16

£

£

Trade creditors

411,104

442,130

Taxation and social security

4

-

Other creditors

43,692

122,358

454,800

564,488

7.

CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR

31.12.17

31.12.16

£

£

Other creditors

-

146,817

8.

RESERVES

During the year dividends of £107,371 (2016: £107,369) were paid to ordinary shareholders.

9.	DISCLOSURE UNDER SECTION 444(5B) OF THE COMPANIES ACT 2006

The Report of the Auditors was unqualified.

F Owadally (Senior Statutory Auditor)

for and on behalf of Owadally & King

10.	RELATED PARTY DISCLOSURES

Growth Power Limited

A company in which the P Ash is a Director and S Almozaffar was a Director in the year.

During the year the company invoiced £35,000 (2016: £952,522) for energy supplied to Growth Power

Limited. The company was also invoiced £nil (2016: £429,722) by Growth Power Limited for energy

and other services.

At the balance sheet date, the company was owed £nil (2016: £23,356) and the company owed

£339,058 (2016: £380,058) to Growth Power Limited.

Rockpool Investments LLP

Rockpool Investments LLP is a related entity to the shareholder, Rockpool Investment Nominee

Limited.

The company paid Rockpool Investments LLP £30,660 (2016: £33,215) for quarterly monitoring fees.

The amount unpaid as at year end is nil (2016:£nil).

Altius Corporate Design & Build Limited

A company in which P Ash is a shareholder.

The company paid £nil (2016: £36,132l) for gas and electricity £6,000 (2016: £10,500) net of VAT for

serviced offices, £12,000 (2016: £3,000) in fees for accountancy services and £63,728 (2016:

£47,796) for Chief Executive Officer Services.

The amount owed as at the year end is £nil (2016: £nil).

CHP Solutions Limited

A company in which S Almozaffar is a shareholder.

During the year the company paid £365,217 (2016: £459,263) to CHP Solutions Limited net of VAT.

This related to the refurbishment of Combined Heat & Power equipment and maintenance on sites

owned by Buckland Nurseries and Lansdale Nurseries located in Worcestershire and Lancashire

respectively.

The amount owed as at year end is £59,940 (2016: £21,000).

Jardine Consulting Limited

A company in which I Jardine is a director and a shareholder.

The company paid £11,885 (2016: £8,572) for accountancy, company secretarial services and for

director related services. The amount owed as at year end is £nil (2016: £2,600).

11.	GOING CONCERN

The Board of Directors believe that the company has adequate resources to continue in operational

existence for the foreseeable future. For this reason, they still adopt the going concern basis in

producing the accounts.

The Directors believe that the business is now in a stable position having grown from a start-up in 2014

to business now generating profits in 2017. The accounts for the year ending 31 December 2016

contained a large exceptional non-recurring payment to a former Director that resulted in the Company

recording a loss.

During the current financial year the Company has now optimised the run regimes of its combined heat

and power (CHP) engines. This has reduced the cost of wasted heat and the related cost of gas used

through the reduction of operating hours when the heat is not required by the client. It has also

increased the income from export electricity through increasing operating hours during periods of peak

demand for power from the National Grid when the best export electricity prices are offered to

generators. The Directors are also working on significantly reducing the cost of maintenance of its

CHPs. The Company has received an acceptable offer from a third party to purchase the shares of the

Company. The new owners, who aim to be one of the leading operators of CHPs in the UK, intend to

build on the platform created and make substantial investments in the acquisition of new clients and

new assets.