Annual Report 2005 (6 MB) - Lundin Petroleum

NOTE 27 – FINANCE LEASE (TSEK)
There are no fi nance leases within the Group.
NOTE 28 – OPERATING LEASE (TSEK)
Operating lease payments in the income statement amounts to MSEK 2.3 (MSEK - ) and relates to the sale and leaseback transaction of
a vessel in Norway. The payments for the coming years have been based on the assumption of a 7% interest in the vessel. The operating
lease expires on 1 July 2010. Lundin Petroleum has an option to lease the vessel for a further 10 years.
Group
Group
Lease payments during 2006 and forward 31 December 2005 31 December 2004
Under 1 year 36,601 –
2 – 5 year 115,841 –
Total 152,442 –
NOTE 29 – ACCRUED EXPENSES AND PREPAID INCOME (TSEK)
Accrued expenses and prepaid income
comprises:
Group
31 December 2005
> 73 <
Group
31 December 2004
Parent Company
31 December 2005
Parent Company
31 December 2004
Holiday pay 6,496 3,996 – –
Operating costs 277,255 190,208 – –
General and administrative costs 747 1,119 – –
Social security charges 6,000 328 442 467
Salaries and wages 413 7,121 – 1,000
Other 7,213 12,557 2,101 2,266
298,124 215,329 2,543 3,733
NOTE 30 – OTHER CURRENT LIABILITIES (TSEK)
Group
Group Parent Company Parent Company
Other current liabilities comprises:
31 December 2005 31 December 2004 31 December 2005 31 December 2004
Overlift 67,911 45,562 – –
Acquisition liabilities 38,615 37,102 – –
Joint venture creditors 389,896 203,819 – –
VAT payable 5,201 4,942 – –
Social charges payable 7,744 9,595 – –
Other 1,953 6,424 438 571
511,320 307,444 438 571
NOTE 31 – PLEDGED ASSETS
During 2004, the Group had entered into a MUSD 385 loan facility under which an amount of MUSD 92.5 was outstanding as at 31
December 2005. This facility was secured by a pledge over the shares of the asset holding companies of the Group and future cash fl ows
generated from the pledged companies.
The amount stated for pledged assets of TSEK 1,128,763 as at 31 December 2005, represents the net asset book values of the pledged
companies.
NOTE 32 – CONTINGENT LIABILITIES
During 2002 the Group completed the acquisition of 95.3% of the outstanding shares in Lundin International SA (formerly Coparex
International SA) for a cash payment of MUSD 172.5 and a deferred consideration of up to MUSD 27.5 payable depending upon the
performance of certain Tunisian assets. An amount of TSEK 38,615 has been recorded against the purchase price of the shares for Lundin
Petroleum’s estimate of the amount payable under the deferred consideration. The contingent liability to pay the deferred consideration
continued up to 31 December 2005 and after that the deferred consideration has been fully accrued.