Staatsolie Annual Report 2017

Confidence in Our Own Abilities
26
Report on the Audit of the Consolidated Financial Statements
(Continued)
Key audit matters
(Continued)
We have fulfilled the responsibilities described in the Auditor’s responsibilities for the audit of the
consolidated financial statements section of our report, including in relation to these matters.
Key audit matter
How our audit addressed the key audit matter
Initial audit engagement - Transition plan
Initial audits include a number of elements which
are not performed in recurrent audits conducted
on a regular basis. These additional procedures
include in particular planning activities which
are intended to enable an appropriate audit
strategy to be determined for the consolidated
financial statements.
The consolidated financial statements of the
Group for the year ended 31 December 2015
was prepared, in accordance USGAAP, and
were audited by another auditor who expressed
an unmodified opinion on those statements.
This has been discussed in the Other Matter
paragraph above.
After being appointed as the Group’s auditors in
2018, we developed a comprehensive transition
plan to ensure an effective transition from the
predecessor auditor. In order to develop an
appropriate audit strategy and audit plan in the
initial audit engagement for the Group, specific
planning activities were necessary. These
included, but were not limited, to:
• Obtaining an initial understanding of
the Group and its business including
background information, strategy, business
risks, information technology landscape
and its financial reporting and internal
controls framework, to assist in performing
risk assessment procedures;
• Obtaining sufficient appropriate audit
evidence regarding opening balances and
the appropriate selection and consistent
application of accounting policies; and
• Communicating with the predecessor
auditor, including reviews of audit
working papers for previous periods;
and performance of analyses in order
to evaluate the assumptions made by
management in the previous financial year.
The foregoing has been used as a basis for our
audit plan. We discussed and agreed our audit
plan with the Supervisory Board of the Group
in 2018 and have reported status updates,
progress reports and key findings from our audit
process on a regular basis.