Cue Energy Resources Limited Directors' report 30 June 2024 15 Significant changes in the state of affairs On 1 July 2023, 3,473,653 options over the Company’s fully paid ordinary shares expired, with an exercise price of $0.089 (8.9cents) per fully paid ordinary share. On 8 September 2023, the Company issued 4,640,759 options over fully paid ordinary shares to employees with an exercise price of $0.072 (7.2 cents) per fully paid ordinary share and which expire on 1 July 2028. On 3 October 2023, the Consolidated Entity announced the repayment of the remaining $4 million in outstanding unsecured loans to New Zealand Oil & Gas Ltd (NZOG), which renamed to Echelon Resources Ltd (Echelon) on 31 July 2024. On 26 October 2023, Ms Melanie Leydin resigned as the Consolidated Entity's Company Secretary and Ms Anita Addorisio was appointed as Company Secretary with immediate effect. Ms Melanie Leydin retained her position as the Consolidated Entity's Chief Financial Officer until 30 June 2024. On 28 February 2024, the Company’s Board of Directors approved the declaration of an interim special dividend of $0.02 (2 cents) per fully paid ordinary share, totalling $13.97 million. This interim special dividend was declared as a Conduit Foreign Income (CFI), unfranked special dividend and was paid on 5 April 2024. On 19 March 2024, the Consolidated Entity issued 252,562 fully paid ordinary shares upon the exercise of 2,152,655 unlisted options over fully paid ordinary shares with an exercise price of $0.09 (9 cents) per fully paid ordinary share and an expiry date of 1 July 2024. Settlement was made on a cashless net basis; settlement being determined on difference between the 30 day VWAP (volume-weighted average price) for the period immediately preceding the exercise date less the exercise price of $0.09 (9 cents) per fully paid ordinary share. During April 2024, the Consolidated Entity had its interest in the Mahato PSC reduced by 10% (from 12.5% to 11.25%), effective 1 November 2023, for no consideration in accordance with the Mahato PSC and subsequent Indonesian Government regulations. There were no other significant changes in the state of affairs of the Consolidated Entity during the financial year. Matters subsequent to the end of the financial year On 23 July 2024, the Palm Valley production license was renewed for 21 years commencing on 7 November 2024. On 23 August 2024, the Company’s Board of Directors approved the declaration of a final dividend distribution of $0.01 (1 cent) per fully paid ordinary share, totalling $7 million. This final dividend distribution was declared as a Conduit Foreign Income (CFI), unfranked final dividend and was paid on 26 September 2024. No other matter or circumstance has arisen since 30 June 2024 that has significantly affected, or may significantly affect the Consolidated Entity's operations, the results of those operations, or the Consolidated Entity's state of affairs in future financial years. Likely developments and expected results of operations The following activities may affect the expected results of operations: ● Progress on Paus Biru and the Final Investment Decision; ● Further exploration and development drilling in existing company fields; ● Changes in New Zealand legislation and the impact it may have on the scope and funding of the Maari field decommissioning obligations; ● Continuing volatility in global energy markets; and ● Actively seeking to acquire new production opportunities. Environmental regulation Within the last year there have been no incidents, lost time injuries or significant spills within Cue Energy Resources Limited. Among the joint operations there have been incidents that have been reported and investigated by all the relevant parties. Cue Energy Resources Limited continues to monitor the progress of reported incidents and work with the joint operation partners and operators to improve overall health and safety and minimise any impact on the environment. 29 Cue Energy Resources Limited Annual Report 2024
RkJQdWJsaXNoZXIy MjE2NDg3