NOTES TO FINANCIAL STATEMENTS 31 December 2025 28 CAPITAL AND OTHER RESERVES (cont’d) (b) During the year, the Group had completed the acquisition of PT BES for a consideration of US$41,217,866, as well as increased its shareholding in MBJ, bringing about change in the Company’s ownership interest in subsidiaries that did not result in change of control, with a corresponding impact of US$5,562,966 (2024 : US$1,375,364) reclassified from non-controlling interests to equity attributable to owners (Note 11). An amount of US$36,075,810 was taken into capital and other reserves, as additional paid-in capital, within transactions with equity owners. (c) On 28 March 2024, the Group issued 21,310,227 unquoted, transferable and free warrants (“First Tranche Warrants”) pursuant to an equity investment agreement [Note 20(a)]. Each warrant in the First Tranche Warrants entitles the holder to subscribe to one new ordinary share at the exercise price of S$0.55 per share with an exercise period of three years at any time from the date of issue. On 27 December 2024, a further 20,092,500 unquoted, transferable and free warrants (“Second Tranche Warrants”) were issued. Each warrant in the Second Tranche Warrants entitles the holder to subscribe to one new ordinary share at the exercise price of S$1.00 per share with an exercise period of three years at any time from the date of issue. The fair value measurement was classified under Level 2 of the fair value hierarchy. The estimated fair value of the First Tranche Warrants and Second Tranche Warrants, determined using the Black-Scholes pricing model, was US$391,871. The deferred gains amortised in the financial year amounted to US$1,037,368 (2024 : US$1,037,368). The deferred gains are amortised over 3 years commencing from the financial year ended 31 December 2024 [Note 20(a)]. (d) On 24 May 2023, the Group announced the grant of share options pursuant to the Geo Energy share option scheme. A total of 35,293,000 options were granted at the exercise price of S$0.27 per share. Details regarding these equity-settled share-based payments are set out in Note 40. As at 31 December 2024, 33,786,500 share options were outstanding. In 2025, share options granted of 124,500 were forfeited as the option holders ceased to be full time employees of the Group, while 18,782,500 share options were exercised. The corresponding impact of the movements in share options was US$236,053 reclassified from capital and other reserves to treasury shares and retained earnings. (e) In November 2018, the Group issued 74,000,000 unquoted warrants for a consideration of S$1 pursuant to the assignment of coal sales contract for TBR mine [Note 20(a)]. Each warrant entitles the holder to subscribe for one new ordinary share at the exercise price of S$0.33 per share for the exercise period of two years at any time from the date of issue up to and including 19 November 2020. The fair value measurement is classified under Level 2 of the fair value hierarchy. The estimated fair value of the warrants granted on 5 November 2018, determined using the Black-Scholes pricing model, was US$713,786. The warrants had expired in 2020, with deferred gains amortised in the financial year amounting to US$317,302 (2024 : US$185,767). The deferred gains will be amortised until the end of the life of mine for the TBR mine. 29 TRANSLATION RESERVE The foreign currency translation reserve represents exchange differences arising from the translation of the financial statements of foreign operations whose functional currencies are different from that of the Group’s presentation currency, USD. 30 COMPONENTS OF OTHER COMPREHENSIVE INCOME Group 2025 2024 US$ US$ Item that may be reclassified subsequently to profit or loss Exchange differences on translation of foreign operations: - Arising during the year (167,362) (1,364,155) Item that will not be reclassified subsequently to profit or loss Remeasurement, credited (charged) to other comprehensive income [Note 24(A)]: - Actuarial gains from changes in experience adjustments 53,846 9,434 - Actuarial (loss) gains from changes in financial assumptions (54,545) 69,872 Deferred tax [Note 35(B)]: - Remeasurement of defined benefit obligations 154 (17,447) - Other adjustments recognised in current year relating to deferred tax on components of other comprehensive income in prior years 15,672 (94,925) Other comprehensive income for the year, net of tax (152,235) (1,397,221) 105 GEO ENERGY | ANNUAL REPORT 2025
RkJQdWJsaXNoZXIy NTkwNzg=